New 3M Aerosol Launch January 1, M™ Series 20 Aerosol Adhesives 3M™ Inverted Aerosol Adhesives

What’s new? 3 New Premium line Spray Adhesives “Added Value” Products –Inverted Hi-Strength 90 –Inverted Foam Fast 74 Orange –Inverted Polystyrene 78 3 New Series 20 Spray Adhesives Competitive Price Point products –Woodworking 20 –Foam and Fabric 24 –Multi-Purpose 27 3M™ Series 20 Aerosol Adhesives 3M™ Inverted Aerosol Adhesives

Why use an Aerosol Adhesive? Ultimate convenience in a sprayable adhesive –No equipment –No mess –No set up time –Minimal training –Extremely portable Small jobs (doesn’t mean small volume!) –Multiple stations –Precise placement Portability –Compliments bulk or cylinder adhesives –Need to apply away from spray station –Jobsites

All about Market Segmentation and opening market space for increased sales Market opportunity is doubled Understand your customers 3M™ Inverted Aerosols: Premium Line –Line extension to existing premium aerosols: 74, 78, 90 –Value added products –Top tier customers –Typically requires a demo to sell these Customers see the WOW! Series 20 Aerosols –New product portfolio –Competitive price point –Middle tier customers New 3M™ Aerosol Spray Adhesive Launch A B C Market Segmentation

-Private label -Low brand recognition -Large quantities -Lowest price -Relationships -Brand recognition -Confidence -Trust -Shelf space -Competitive price -Premium perception -High performance -Expect premium service -Expect tech support, data, testing, spec in -Expect premium price Tier Strategy – Market Space - Examples

Product Overview – Inverted Aerosols A B C Market Segmentation Traditional spray pattern Inverted spray pattern Premium line inverted aerosols –WOW factor –3 Proven & high performance formulations –Inverted spray technology Sprays upside down New to the world for adhesives Product differentiation No competitors offer this –Increase productivity High output Wide patterns –Reduced waste 100% adhesive use –Improved ergonomics Comfort actuator

3M™ Hi-Strength 90 Inverted Spray Adhesive Fast tacking High temperature resistance High moisture resistance Bonds many substrates: –HPL –Concrete –Polyethylene –Wood –Metals –MDF Target Applications Construction Woodworking –Bench top applications or lower Furniture Marine Seaming polyethylene Aluminum and metal bonding Traditional spray pattern Inverted spray pattern

3M™ Inverted Foam Fast 74 Orange Spray Adhesive Fast tacking Foam tearing strength –Flexible urethanes –Latex foams Soft glue line Non-dimpling Bonds many substrates: –Foams –Fabrics –Wood –Metal –Non-vinyl plastics Target Applications Furniture Upholstery Marine Automotive Seat/chair manufacturing Acoustics Bedding Construction

3M™ Inverted Polystyrene 78 Spray Adhesive Does not degrade polystyrene Stronger than foam itself Expanded and extruded polystyrene Single or double surface bonds Bonds many substrates: –Polystyrene –Concrete –Wood –Fiberglass –Plastics Target Applications Construction Packaging/crating Design Sets Refrigeration manufacturing Spa manufacturing HVAC applications LEED projects

Product Overview – 3M™ Series 20 Aerosols 3M™ Series 20 Aerosol Adhesives –3 new products –Competitive price point < $3.99 distributor cost –Strong 3M brand recognition –Trust in brand –Confidence in products –Good quality products –Strong relationships A B C Market Segmentation

3M™ Woodworking 20 Spray Adhesive Fast grabbing Industrial grade Variable width lace Bonds many substrates: –Laminates –Metals –Plastics –Rubber Multi-purpose lace adhesive Competitive price point Target Applications Woodworking Furniture Construction Transportation Marine General Industrial A B C Market Segmentation

3M™ Foam & Fabric 24 Spray Adhesive Aggressive tack Industrial grade Variable width lace Bonds are stronger than foam itself Bonds many substrates: –Foam –Fabrics –Metal –Wood Competitive price point Target Applications Furniture Upholstery Marine Automotive Seat and chair manufacturing Bedding Acoustics A B C Market Segmentation

3M™ Multi-Purpose 27 Spray Adhesive Fast tack Versatile light weight adhesive Industrial grade Mist spray pattern Bonds many substrates: –Paper –Cardboard –Fabrics –Soft foams Competitive price point Target Applications General Industrial Packaging Labeling Printing Paper Third hand Market Segmentation A B C

Aerosol Positioning Strategy Strategy Lead with Tier A product. Show value with the current portfolio and innovation with the inverted aerosol products 3M offers alternatives solutions like cylinders, bulk, and water-based adhesives If the customer has cost concerns, and is not concerned with premium performance, close with the Series 20 product line. Good performance, great cost/value.

Tools available New literature for Inverted and Series 20 New distributor rep sales guides Training videos on Youtube SGF-KEP-Printstore Competitive cross reference tools Target SIC’s Spray Away program –Apr thru Oct

Three Unique Stocking Programs Local distributor inventory is critical for aerosol sales Series 20/Inverted Aerosol Intro Deal –Available thru March 31, 2010 –Includes 2 cases each of 6 new SKU’s –Pallet pricing for 12 case order Inverted Aerosols only –Available thru June 30, 2010 –Pallet pricing for ½ pallet quantities –No mix/match –½ pallet equals 384 cans Series 20 Aerosols only –Available thru December 31, 2010 –Pallet pricing for ½ pallet quantities –Mix/match allowed between Series 20 products –½ pallet equals 432 cans +

Target SIC codes SIC Codes by rank Foam Fast 74Super 77Polystyrene 78Hi-Strength

Aerosols = Money Machine or… Why distributors should sell 3M Aerosols!!! 3M™ Inverted Hi-Strength 90 example: Pallet buy $10.97/can $131.64/case Find 1 new customer per week for 50 weeks using 1 case/month You continued through year 2 (for obvious reasons) 3M™ Multi-Purpose 27 example: Pallet buy $3.41/can $40.92/case Find 1 new customer per week for 50 weeks using 1 case/month You continued through year 2 (for obvious reasons)

Aerosols = Money Machine or… Why distributors should sell 3M Aerosols!!! 3M™ Inverted Hi-Strength 90 Assumptions 25% GP Gain 1 new customer/week Use 1 case of aerosols/month Selling Price = $131.64/case First year sales = $44,494 –YR 1 Gross Profit $11,124 –338 cases sold Second year sales = $171,132 –YR 2 Gross Profit $42,783 –1300 cases sold 3M™ Multi-Purpose 27 Assumptions 25% GP Gain 1 new customer/week Use 1 case of aerosols/month Selling Price = $40.94/case First year sales = $13,838 –YR 1 Gross Profit $3,459 –338 cases sold Second year sales = $53,222 –YR 2 Gross Profit $13,035 –1300 cases sold

3M™ Aerosol Adhesives: The complete portfolio for all your customer needs