WHEMCO Inc. Thank you for your strong attention during our first Turkish Roll Seminar in Istanbul! Let us make a few comments to sum up the event and show you our idea about the way forward with Whemco Inc. as a strong partner on your side. Our aim was it with the roll seminar to strengthen the relation with Whemco as one of the world’s leading roll maker. We are happy to receive further comments and suggestions and will certainly answer all the questions you may have. Please stay in touch with Whemco and please do not hesitate to contact us.

Some General Comments by Whemco Whemco is spending every business year several Million US Dollar for research and development of new roll materials and heat treatment technologies and the latest required equipment to make first class rolls with higher strengths and wear resistance. Whemco is asking you for a fair chance to prove our new products in your mill, trial order are the only way to develop business and justify further investments.

Some General Comments by Whemco Please be aware that All Western Roll Makers selling today rolls with negative margins. That was confirmed by GP, Steinhoff, Akers and UE! It was even acknowledged by Sigurd (AM Gent).Still AM opened the 2016 price discussion with the request to reduce roll prices by further 15%! If we have no chance to cover our full production cost we run into a stand still and can not develop new rolls.

Some General Comments by Whemco At Whemco we do believe in the quality and performance our new products and we do promote them world wide. We like to convince you to use our new products by providing references and guarantees. You can hold us responsible for what we promise. All New Products offered outside the US are already proven at the US Market with clients close to our production plants. We use our central database to monitor the performance of our products and we visit our clients frequent to collect latest data.

Some General Comments by Whemco Sure you do agree with Whemco are that the current overcapacity for all kind of mill equipment and components has chanced the balance in the market. We have a strong buyer’s market and we deal beside aggressive competition with destructive price dumping initiated by very naive and inexperienced newcomers in the roll making business doing harm to the whole industry. Whemco is suffering always when the technical team in any mill has no say or influence what rolls are bought by the purchase team. A mill is only making money by selling good products in high quality, cheap roll will not make good material, the downtime at the mill is going up and the costs are 100 times higher than the small savings on rolls.

Some General Comments by Whemco Please make sure your purchase team is aware how big the influence of the mill rolls is on the quality of your finish product from the mill. Looking after the “Total Cost of Ownership” for mill rolls is the future way how successful companies will operate. It is where the future savings are made. You will see that the purchase price on mill rolls over the whole roll life is just a small part of your overall handling costs. But if you achieve to have a better mill availability and better final product quality you can very easy justify a slightly higher roll price. That is something the technical team has to push for every single day, involve the purchase team and support your roll purchase team to understand the issue and what TCO means.

Some General Comments by Whemco Whemco is ready to fight for each new challenge and for each new project. We know that the current conditions (exchange rate, low demand, aggressive competition) will remain in 2016 unchanged. We promise to stay in touch and business with our clients. Our agents LINKAS is a strong partner giving us the best possible support to understand and service the Turkish market. We are sure you can see the value in having a strong partner like LINKAS in Turkey instant available to take on each matter the business will bring up.

Opportunities Turkey: > 40% size US industry Whemco will promote and support together with our Agent Linkas a strong comeback of the Whemco group on the Turkish market !

It’s time for new ideas, open mind and a can-do attitude.

Thanks for your support!