Critical Issues Update

1. Critical Issues Update April 28, 2013

2. Department of Energy Regulations • Appliance Standards Agreement of 2010 • Clothes Dryers auto-termination test procedure • Refrigerator icemaker test procedure • Early compliance, including transitional EnergyGuide label • Harmonize in Canada • Other Energy Standards/Test Procedures • Battery Chargers (and External Power Supplies) • Microwave Ovens • Wine Chillers • Commercial Clothes Washers • Dehumidifiers • Conventional Cooking Products (Induction) • Problem: Test Procedure Changes Impacting Energy

3. ENERGY STAR • Pending Specification Changes • Refrigerator/Freezers • Clothes Dryers • Clothes Washers • Room Air Conditioners (likely on the horizon) • Humidifiers (interest) • 5% Allowance for Connected Capabilities Specifications • Refrigerator/Freezers – expected soon • Room AC – allowance expected • Dryer – allowance expected • Clothes Washer – allowance expected Test Procedures • Refrigerator/Freezer – expected Spring 2013 • Room AC -- AHAM draft to DOE Feb 2012 • Dryer -- AHAM draft to DOE Dec 2012 • Clothes Washer -- AHAM draft to DOE 2013

4. ENERGY STAR • Verification • DOE Letter of Recognition of AHAM Verification Program Pending • GAO Report on Duplicative Testing • Programmatic Reform Needed • Refusal to Synchronize with DOE Amended Standards or Multiple Changes in Short Timeframes • Lack of Data and Consistent, Uniform Process

5. Product Safety, CPSC • Analyzing CPSC Database • Working with CPSC to Further Investigate Potential Cooking Fires Mitigation Technologies • AHAM Staff met with CPSC Staff in January 2013 to discuss CPSC’s report (Written by Primaira, LLC) on cooking fires mitigation technology • A delegation of AHAM Members and Staff, with CPSC Officials, visited Primairato investigate the technology in the report

6. Company Perspective

7. Congress • Early Retirement Rebates/Authorization • Energy Policy • Tax Reform • TSCA

8. States • EPR • Hawaii – Appliances excluded • Washington – Rechargeable batteries • New York City – Refrigerant recovery delayed • Massachusetts – Framework bill • Green Chemistry • California – DTSC regulation anticipated to go into effect July 2013. AHAM products not expected in first grouping of product/chemical list • Washington – Initial phase of developing green chemistry program identified in their Roadmap with parallel development of a law/regulation • Warranties • Maryland – AHAM changed lemon law for Refrigerators, Clothes Washers & Dryers and Dishwashers to a bill to study the matter • Energy Standards • California – Possible Commercial Dryer energy standard

10. State Priority Bills & Regulations

11. Company Perspective

12. Canada • EPR • British Columbia -- Small appliances (CESA) & Major appliances (MARR) • Quebec – Major appliances • Ontario – Considering changing law to hide eco-fees • French Language in Quebec • Energy Standards, Test Procedures, & Labeling (NRCan) • Need to harmonize standards, test procedures, and labeling with the US and minimize lag time • Product Safety • Coordination of UL and CSA Standards • AHAM has recently taken the role of Chairing the Technical Harmonization Committee (THC) on Dishwashers (UL749/CSA No. 167) • Flammable Refrigerants • CSA approved use of Isobutane

13. Company Perspective

14. International-Europe • Proposed HFC ban on Refrigerator/Freezers in 2015 • Proposed HFC ban on Room ACs in 2020 • Working to ensure HFO’s are not banned • Clarifying if foam is proposed to be banned • US-EU High Level Working Group on Trade and Jobs

15. Safety Standards • Refrigerators--UL 250 • Related to broader UL JTG on flammable refrigerants • UL 250 TG reviewing charge size • Coordination with ISO 5149, ISO TC86, SC-1 & IECSC61D • Microwave Ovens • New proposals on “child resistance” • Smart Enabled Appliances • UL to publish smart enabled safety requirements • IEC developing Guide 110 revisions to address home controls • IEC 60335 Safety Standards • Surface temperature limits being debated and incorporated • Applies to most AHAM products • Batteries • UL 2595 on Lithium Batteries to be published end of April • UL 4200A Standard for button cell batteries ballot in May

16. Energy/Performance Standards • AHAM Performance Test Methods • ER-1 (Electric Range), TC-1 (Trash Compactor) published • Active Task Forces on Washer Rinsing, Refrigerators, Room Air Conditioners, Portable Air Conditioners, Dehumidifiers, Dishwashers and Air Cleaners • PAC-1 being re-written to harmonize with CSA • RAC-1 general update and inclusion of pertinent DOE language • HRF-1 significant revision to include ice and other energy tests • HRF-2 performance tests previously in HRF-1-2007 • HLW-1 revising rinsing test and will review capacity • DH-1 general update and inclusion of pertinent DOE language • AC-2 general update

17. Energy/Performance Standards • AHAM Continues to Support International Performance Standards • IECTC 59 for Dishwashers, Vacuums, Small Appliances, Clothes Washers and Dryers, Ovens and Microwaves, and Refrigerators • AHAM is Organizational Member of ASTM for Vacuum Standards • ASTM Committee F11 for Floor Care

18. Sustainability Standards • Refrigeration Appliances Standard • Initial phase of ANSI process • Clothes Washer Standard • Anticipated release in May 2013 • Cooking Appliance Standard • Anticipated release in late fall 2013 • Dishwasher Standard • Task Force held first meeting in March 2013 • Portable & Floor Care Standard • Received insufficient vote to pass Engineering Councils • Upcoming standards • Clothes Dryer • Microwave Oven • Dehumidifiers • RACs

19. Company Perspective

20. Questions