October 5, 2016 Lubrication Filtration Systems David Cline Product Manager, Lubrication Filtration Systems

22 Who is Parker? Parker is your partner in designing and delivering innovative motion and control products and systems. Our focus is on our customers. By improving their productivity and profitability we create a cleaner, more efficient future for everyone.

33 Strategy Parker’s Win Strategy is a disciplined and consistent business strategy that has helped transform the company and improve operations worldwide since Vision Our vision is simple: to be the #1 motion and control company in the world. Values A Winning Culture, Passionate People, Valued Customers and Engaged Leadership. These are the distinguishing characteristics that have led to Parker’s long-term success.

44 What do we do, exactly?

55 Technology Expertise

66 Technology Expertise Filtration Quality filtration products and systems for industrial and mobile markets. Key Racor Markets Construction Marine Mobile equipment Power generation Transportation Military Industrial Machinery

77 Technology Expertise Fluid & Gas Handling Directing the flow of critical fluids in hundreds of applications. Key Markets Aerial lift Agriculture Bulk chemical handling Construction machinery Food & beverage Fuel & gas delivery Industrial machinery Life sciences & medical Marine Mining Mobile Oil & gas Transportation

88 Technology Expertise Lube and Hydraulics The world leader in improving machinery performance with system solutions. Key Markets Mobil Over the Road Agriculture Construction machinery Forestry Industrial machinery Mining Oil & gas Power generation & energy Truck hydraulics Marine Military

99 Where do we work?

10 Argentina, Australia, Austria, Belarus, Belgium, Brazil, Canada, Chile, China, Czech Republic, Denmark, Egypt, Finland, France, Germany, Greece, Hungary, Hong Kong, India, Ireland, Italy, Japan, Korea, Latvia, Mexico, Malaysia, Namibia, New Zealand, Netherlands, Norway, Poland, Portugal, Romania, Russia, Singapore, Slovenia, South Africa, Spain, Sweden, Switzerland, Taiwan, Thailand, Turkey, Ukraine, United Arab Emirates, United Kingdom, United States of America, and Venezuela.

11 Premier Customer Service The best systems and quality products delivered on-time Parker is the partner customers can depend on to help improve their productivity and profitability

12 How are we helping?

13 The Environment Parker Racor technologies are critical to safeguarding the environment by helping to meet humanity’s need for clean and efficient energy generation As an environmental steward, Parker acts responsibly by Reducing its own energy use and water consumption Minimizing the generation of waste Conserving natural resources Annually tracking continuous improvement in these areas

14 Parker Racor Engine Lube Oil Filtration Products Full Flow Lube Bypass Oil Cleaner’s Synthetic Engine Oil Oil Monitoring Products

15 Racor Absolute Oil Cleaners Setting standards in oil filtration Clean and Green

16 Characteristics of Engine Lube Oil The ability of the oil to properly lubricate moving parts is determined by the level of contaminants Oil oxidizes from the combustion process Oil properties change due to high temperature, silicon, metal particles, acid, sulfur, water/fuel dilution, and glycol When the oil becomes contaminated it no longer can effectively cool, protect and lubricate The increase of contaminants will reduce the active additive package Oil Does Not Wear Out Oil Can Last Indefinitely By removing the harmful liquids, and solid contaminants The Racor Absolute Oil Cleaner Protects the Oil By removing solid contaminants By removing the liquid contaminants

17 About The Racor Absolute Oil Cleaner It is a multi stage 114mm depth load filter It has the ability to absorb moisture It comes in 3 micron sizes, 3u,5u,10u Works in conjunction with the engine full-flow oil filter Controls contaminants to maintain proper oil viscosity Can Safely Extend Oil Drain Intervals

18 The Racor Absolute Oil Filter Design Lube oil enters from the bottom Lube oil is distributed evenly across the top of the element Stage #1 The first stage of filtration traps the larger particles, soot and sludge Stage #2 The second and third Stages of filtration effectively remove smaller particles Oil returns to the engine through an orifice to control flow

19 Benefits Racor Absolute Oil Cleaner Reduce new oil purchase over 50% Decrease waste oil disposal over 50% Reduce hazardous waste issues More uptime – less maintenance down time Important oil properties maintained Safely Extends Oil Drain Intervals Engine always running on cleaner oil Reduce engine wear from damaging contaminants Increase bottom line profits from less maintenance

Engine Life versus Filtration 20

Lab Tests Prove “Absolute” Benefits 4 micron particles reduced 62% in 21 hours running time! ISO Cleanliness code proves oil is cleaner!

22 Oil Analysis – Predictive maintenance Reports on base elements of engine oil Indicates possible engine or component wear Oil condition based on additive package Necessary for engine wear trends Necessary for predictive maintenance rather than pro-active maintenance Blood test for the engine – evaluates the physical properties of the engine and oil Oil analysis is necessary to safely extend engine Service intervals

23 Cost Savings Analysis

24 Selecting A Racor Absolute System Absolute System P/NSump Capacity ABS Quart (112.5 Ltr) ABS Quart (187.5 ltr.)

25 Racor Absolute Oil Cleaner Summary Safely Extends Oil Drain Intervals Absorbs Moisture Removes Solid Particles Eliminates Engine Component Wear Install Easily Heavy Duty Housing Can Be Transferred From Vehicle to Vehicle Increases Bottom Line Profit

26 Racor Absolute Installation – CAT C7

27 Absolute Installation – CAT 3408 Levy Company – Slag Mine Construction Equipment

Racor Absolute Oil Cleaner Kits 28

29 Racor Absolute Installation – Ford 6.0

30 Racor Absolute Installation – GM 6.6

New Markets For Racor Engine Oil Cleaning Systems 31 Large Sump – Stationary Engines

Transmission Filtration 32

Racor Lube and Hydraulic Oil Monitor 33 Calibrate Test Oil Condition In Minutes

34 Parker Racor Filtration Contact: David Cline 3400 Finch Rd. Modesto, CA