www.alfalaval.com

Capital Markets Day 2013

Lars RenströmPresident and CEO

Alfa Laval Group

www.alfalaval.com

November 19, 2013 in Lund11:15 Business update and Q&A

Lars Renström, Susanne Pahlen Åklundh, Svante Karlsson, Peter Leifland, Thomas Thuresson and Q&A

13:30 Theme “Energy efficiency”Introduction; Lars RenströmEnergy efficiency in Comfort; Claes Ericsson Compact heat exchangers - differentiation; Carina ResareCoffee break

14:45 Factory tourEnergy efficiency in Process industry; Mats SkogmanEnergy efficiency in Power; Mats Skogman & Joakim ThölinEnergy efficiency in Marine; Joakim Thölin

Summary of CMD 2013Lars Renström

17:00 Buses depart to Copenhagen & Sturup

Lunch 12:45 In the canteen

Capital Markets Day 2013

www.alfalaval.com

“Marine and Diesel Industry”

Driven

“Process Solution” Driven

“Component” Driven

Strategic drive – DivisionsOrders received, YTD 2013

23%32% 45%

Process Technology DivisionMarine & Diesel DivisionEquipment Division

www.alfalaval.com

Priorities per Division

• Energy

• Environment

• Fast-growing regions

• Environment

• Energy efficiency

• Multiple sales channels

• E-commerce

• Service

Process Technology DivisionMarine & Diesel DivisionEquipment Division

www.alfalaval.com© Alfa Laval

Regional development

13% 13% 13% 10% 9% 10% 10% 10% 9% 9% 9% 10%

30% 30% 30% 30% 28% 26% 25% 27% 24% 22% 22% 22%

19% 17% 16%15%

18% 16% 15% 16%19% 18% 19% 19%

8% 9% 8%8% 9%

9%8%

8% 8%8% 8% 8%

5% 4% 4%5% 5%

6% 6%6% 7%

7% 7% 7%

2% 2%3%

3% 3% 3%5%

3% 3%3% 4% 4%

21% 23% 24% 27% 27% 29% 30%28%

29% 32% 29% 29%

2% 2% 2% 2% 1% 1% 1% 2% 1% 1% 2% 1%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

% o

f tot

al O

R L

TM

Oceania

Asia

Middle East & Africa

Latin America

Central & EasternEurope

North America

Western Europe

Nordic

CAGR2002 – 2013 Q3

2,4 %

10,0 %

14,0 %

11,2 %

7,1%

7,1%

4,3%

4,3 %

SEK 14.7 Bn SEK 30.3 Bn

www.alfalaval.com© Alfa Laval

M€

Order intake- Alfa Laval Group, US

0

100

200

300

400

500

600

700

2005 2006 2007 2008 2009 2010 2011 2012 E2013

www.alfalaval.comSlide 7

Alfa Laval brand

76%

Multibrands

24%

Total order intake mix

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Alfa Laval brand, US

� Food 19%

� Oil & gas 14%

� Wastewater 11%

� Service 33%

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US food industry trends

� Growing US population means a growth of demand

� Growth of ethnic population (Latin, Asian)– Ethnic food category growth

� Aging demographic– Population > 65 yrs: 43.1M in 2013 � 92M in 2060

� Growth of heath conscious categories– Obesity consciousness / health

• Low fructose• Sugar substitutes• Low sodium• Low fat

www.alfalaval.com

Opportunities: Food

� Alfa Laval is a strong player in the US food and beverage market– Broad portfolio of products– Application knowledge

and expertise– Large installed base– Reputation for quality

and reliability

www.alfalaval.com

Opportunities: Oil and gas

Drilling Treatment Transportation

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Orders oil and gas- O&G order volumes Alfa Laval Group (M$)

0

20

40

60

80

100

120

140

160

2010 2011 2012 E2013

Niagara Blower

ACE

Vortex

Traditional O&G

www.alfalaval.com© Alfa Laval 2001 Slide 13

Dewatering technology split

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

0-10k 10-50k 50-100k 100-200k 200k +

Decanters

Belt filter presses

Screw presses

Population of municipality

www.alfalaval.com

Service =

Service

operation

Parts

www.alfalaval.com© Alfa Laval

Prime focus is to increase the market share on our own installed base

� Cover installed base – increase market share:- Take ownership in a more extensive and proactive way- Adding more sales and field service “feet on the street”

� Sell Service operations (man-hours) – increase share of service operations:- Brick-walling – growth opportunity- Develop competence and service products

Service

www.alfalaval.com

100%

100%

2005

Headcount development

1 592

2012

2 458

+54%Sales development (MEUR)

2005 2012

100%

781 +77%

CAGR= 8.5%

439

More feet on the street!

© Alfa Laval Slide 16

Organic base growth:

Service*

*) Excluding Multi-brands

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Perth

© Alfa Laval Slide 17

São Paulo

Scarborough

Edmonton

Mexico CityHouston

Johannesburg

Lyon / Fontanil

Breda/Waalwijk

Lund

Glinde

Monza

Yanbu

Thane

Kaoshiung

Perth

Kuala Lumpur

Singapore

Shenyang

Richmond

Hamilton

Shonan

Camberley

Humppila

Osaka

Sydney

Melbourne

Lodz

Nantes

Buenos Aires

Lima

Santiago

Greenwood Chesapeake

Vejen

BanjarmasinMedan

Bangkok

Tumba

Dubai

Moscow

Carter Lake Poseung

Shenzhen

Tokai

Jubail

Townsville

Qatar

Vizag

Pekanbaru

Istanbul Jiangyin

BintuluSandakan

Kunshan

Vienna

Chugoku

Aalborg

Fort Lauderdale

Singapore

Qingdau

Rotterdam

Dubai

Guny

Halmstad

Genua

Singapore

Indianapolis Newark

Portland

Bristow

Houston

Dayton Philadelphia

Macon

FresnoPeoria

Warsaw

Quartero

Edmonton

Beijing

São Paulo

Farmersville

Houston

Bakersfield

Baroda

Wakefield

Monza

Sharja Shanghai

Hildesheim

Aberdeen

Kobe

Houston

Macae

Madrid

Halmstad

Gimhae

Clute

© Alfa Laval Slide 17

Alfa Laval Group = 102 service centers

www.alfalaval.com

Name Country Strategy Business Sales M€

Acquired growth in 2012 and 2013

AshbrookSimon-Hartley

US Product Provider of belt filter presses, a complement and alternative to Alfa Laval’s decanter range in the dewatering of municipal and industrial wastewater

60

Vortex Systems US Product Supplier of mixing and blending equipment and solutions for the oil & gas industry 12

Gamajet Cleaning Systems

US Product Provider of tank cleaning equipment for the industrial and sanitary markets in North America. 9

Air CooledExchangers

US Product Provider of air-cooled heat exchangers to the North American natural gas market. 40

© Alfa Laval Slide 18

166TOTAL

Snecma France Product Technology for a gas combustion unit. A safety equipment for Liquefied Natural Gas carriers. 5

Niagara Blower Co US Product Provider of air cooled heat exchangers to theNorth American oil and gas processing industries 40

www.alfalaval.com© Alfa Laval Slide 19