IDC-USA 2010 Fall Meeting October 20, 2010

Pay Day!

2009/2010 Year In Review Great Year in a Tough Market! $659,694 Engineering Chain Sales $2,120,421 Roller Chain Sales $2,780,115 total sales Hit $2M goal with an end of year push 25 owners hit $30K vs 18 previous year 6 new stocking distributors

IDC Annual Roller Chain Purchases 36%

IDC Annual Eng. Chain Purchases - 27 %

Owner Rebates All Roller Chain Approx. 5% for IDC member rebate Plus, 7% on roller chain sales $30K or more 2010/2011 Rebate Programs

2010/2011 Year To Date (April Through September) Roller Chain up $472,479 or 41% Engineered Chain up $50,931 or 13% Attachment Chain up $29,451 or 31% Synergy up only $2,745 or 7% Syno up $52,673 or 80% 11 owners over $30K RC VS 7 last year

Marketing Programs For 2010 Synergy/Syno  November 2010  Samples  One page front and back flier  Success stories and cost savings  Raffle for prize winner (test) Hydro-Service or Attachment in Q4 Engineering Chain

IDC Initiative Sponsorships 2010/2011 Entertainment sponsor at 2010 Spring Meeting Trade show booth & raffle Half page ad in spring issue of IDC Industrial Review Half page ad in fall issue of IDC Industrial Review IDC University sponsor Lunch sponsor at Fall Meeting and presentation Sponsor for both receptions at Fall Meeting Flash ad program Message on hold program

New Roller Chain Promotion

New Promotion

Engineering Chain On Time Every Time GUARANTEED or 15% Money Back

On Time Every Time GUARANTEED Engineering chain manufactured in our Morristown, TN factory. “Promise Date” is date the shipment is to be completed and ready for shipment. If “Promise Date” is missed the end customer receives a check for 15% of his invoiced amount. Trial program begins immediately and runs until end of year. We’re confident, motivated, committed, and proud to offer our “On Time Every Time Guarantee” on Morristown, TN, USA made Engineering Chain.

Benefits to You and Your Customers Helps customers plan maintenance shutdowns Reduces unplanned downtime — and costs, provides confidence and reduced risk to end customer and distributor Leverages our proven capabilities in Morristown and makes it known to the marketplace Reduces need to cut price to win order Enhances customer relationships Gives you a new, powerful selling tool Helps win more business

Whitney ® Brand Roller Chain Solid roller solid bushing Wide waist link plates Carburized and heat treated alloy steel pins Heavy series Conveyor series Stainless steel

Inventory in Indianapolis DC Inventory in Stockton, CA Inventory soon to be in Reno Priced to compete with HKK, Hitachi & Daido Priced 32% below Renold Counts towards the 7% at $30K rebate Provides a tier B chain offering to IDC from Gold preferred vendor Whitney ® Brand Roller Chain

Attachment Chain Rapid Delivery Program Up to 50’ 1 working day 51 to 100’ 2 working days 101 to 200’ 3-5 working days Free freight Includes all common attachments Carbon steel or Hydro- Service Attachment assembly department in Tennessee

Summary Record Setting Last Year On Pace for Another Record This Year Member Support Increasing Profitable Pricing & Rebate Programs Strong Support of IDC Initiatives New Marketing Programs On Time Every Time Guarantee = Recipe for Continued Success!

Thank you for your business and support!