CRANE Co. Overview. Aerospace & Electronics. Engineered Materials

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1 CRANE Co. Overview Aerospace & Electronics Engineered Materials Merchandising Fluid Handling Controls 1

2 Crane Aerospace & Electronics $678M Sales (2011) AEROSPACE 62% Aerospace 61% text Electronics 39% ELECTRONICS 38% Crane Ltd Balanced portfolio 2

Site Locations Americas Europe & Middle East Asia Beverly, MA Burbank, CA Chandler, AZ Elyria, OH Fort Walton Beach, FL Lynnwood, WA Norwalk, CT Redmond, WA San Jose, Costa Rica West Caldwell, NJ

3 Site Locations Americas Europe & Middle East Asia Beverly, MA Burbank, CA Chandler, AZ Elyria, OH Fort Walton Beach, FL Lynnwood, WA Norwalk, CT Redmond, WA San Jose, Costa Rica West Caldwell, NJ Wichita, KS Dubai, UAE Filton, UK Hampshire, UK Lyon, FR Saint Gratien, FR 2012 Crane Aerospace & Electronics Beijing, China Kaohsiung, Taiwan Pune, India Shanghai, China *Red = Electronics Group Location 3

4 Electronics Customers 4

5 Providing Solutions in Demanding Applications POWER Solution 2011 % of Group Sales 64% Current Products / Capabilities High-Reliability DC-DC Converters Custom Power Supplies Transmitters Battery Chargers and Power Subsystems MICROWAVE 26% Beamformers Frequency Sources Multi-function Microwave Integrated Assemblies RF Switches MICROELECTRONICS 10% Custom Electronic Packaging and Manufacturing 2011 Revenues Market Mix Defense 61% 39% Commercial 5

6 Electronics Key Applications Power Solutions Data Link* Electronic Warfare* Radar* Satellites* Avionics Utilities Flight Controls Secondary Power Emergency Power Microwave Solutions Radar* Data Link* Electronic Warfare* Satellites* Communications* Missile Electronics* *ISR application 6

7 Aerospace & Electronics Segment ($ millions) E Aerospace Sales $ 404 $ 340 $ 345 $ 417 $ 435 Electronics Sales $ 235 $ 231 $ 232 $ 261 $ 265 Total Sales $ 639 $ 571 $ 577 $ 678 $ 700 Operating Profit* $ 56 $ 82 $ 109 $ 146 $ 155 Operating Margin* 8.8% 14.4% 19.0% 21.5% 22.1% * * Electronics Group 2011 Results Launch of new products transitioning into production Commercial revenues grew over $21M Commercial Aerospace Microelectronics Defense revenues grew $4M Consistently strong margins Focus on Power and Microwave markets * Before Special Item. See Non-GAAP table for details 2011 Aerospace 62% Electronics 38% 7

8 U.S. Defense Market Headwinds Budget Control Act Major contractors - internalize work ISR CAGR is greater than rest of Defense Budget Tailwinds Growth in CYBER, ISR, unmanned vehicles, directed energy Opportunities in foreign military sales Targeting ISR market - a key budget area Expect a modest decline in Crane s Defense sales 12 8

9 2000A 2001A 2002A 2003A 2004A 2005A 2006A 2007A 2008A 2009A 2010A 2011E 2012E 2013E 2014E 2015E 2000A 2001A 2002A 2003A 2004A 2005A 2006A 2007A 2008A 2009A 2010A 2011E 2012E 2013E 2014E 2015E Commercial Aircraft Market 1,800 1,600 1,400 BOA and Teal Commercial & Regional Transport Aircraft Delivery Forecast 1,200 1,000 BOA and Teal Business Jet Aircraft Delivery Forecast 1,200 1, Actual Bank of America Teal Group Air Transport and Regional Jet Actual Bank of America Teal Group Business Jet Headwinds Fuel prices Tailwinds Passenger traffic Asia and Mid-East Backlog in commercial aircraft Fuel prices fuel efficient aircraft Crane products on the right platforms Expect growth in commercial Aerospace to offset Defense decline 9

10 Power is Our Largest Business Area Power products convert and condition power not generate power Input power Power Supply Output Power AC or DC Externally generated Tailored outputs Circuit Protection Source Switching Energy Storage Integration with load Filtering Low power DC High power DC Low Voltage High Voltage 10

11 Power Overview Strong base and growing in ISR and Commercial Aerospace Growth via increased content on new platforms and system upgrades on existing platforms Premium pricing for specialized products Low cost manufacturing strategy Total Market (Available and Customer Captive) Merchant Power Market Merchant All Others Crane All Others <1% Share Captive $1,800M Total $1,000M Total 11

12 Commercial Aerospace Power Flight Controls Lithium Ion Batteries B787 and A350 Seamless integration with Tier 1 integrators High integrity power Integrated power conversion and distribution Common Core Power Supplies Flight Controls Power Conditioning Modules Auto Transformer Rectifier Units Transformer Rectifier Units 12

13 Defense Power Electronic Warfare (EW) & Radar Modernization / Upgrades Extends 1990 s legacy Electronic Warfare (EW) Suites & Radars Transition path to fully solid state solutions F-15 Auto-Transformer Rectifier Units (ATRUs) EW Power Transformer Rectifier Units (TRUs) Communications Power EW Power 13

Power Key Programs Strong Base in Production Programs B787 Boeing 737 NG, 747-400, 757, 767, 777 Gulfstream G450, G550

Warning Receiver Directed Infrared Counter Measures (DIRCM) Patriot PAC3 Missile ALQ-99 transmitters Development

Warfare Suite (SPEWS I) P8A Multi-Mission Maritime Aircraft F-35 Lightning II F-15SA New EW Suite F-16 IFF Interrogator

Development Bombardier 7000/8000 KC-46 Tanker Air and Missile Defense Radar (AMDR) Next Generation Jammer AWACS upgrade

14 Power Key Programs Strong Base in Production Programs B787 Boeing 737 NG, , 757, 767, 777 Gulfstream G450, G550 Embraer 170 / 190 Bombardier Global Express Multifunctional Information Distribution System (MIDS) APR-39 (V)2 Radar Warning Receiver Directed Infrared Counter Measures (DIRCM) Patriot PAC3 Missile ALQ-99 transmitters Development Programs Transitioning to Production Airbus A350 COMAC ARJ21 Mitsubishi RJ Gulfstream G650 Self Protection Electronic Warfare Suite (SPEWS I) P8A Multi-Mission Maritime Aircraft F-35 Lightning II F-15SA New EW Suite F-16 IFF Interrogator APX-113 Targeting the Right New Programs for Growth Airbus A320NEO Boeing 737MAX COMAC C919 Gulfstream New Airplane Development Bombardier 7000/8000 KC-46 Tanker Air and Missile Defense Radar (AMDR) Next Generation Jammer AWACS upgrade 3D Extended Long Range Radar INTOP/SEWIP Satellites Building on a Solid Base in the Commercial Aerospace, Space and Defense Markets 14

15 Microwave Major Focus for Growth Microwave products process signals to enable the operation of ISR and Satellite systems. Signals Microwave Products Microwave Signals Voice Data Video Enables signals to travel through the air Essential element of all these systems 15

funding Leverage success with key customers Continued investment in

16 Microwave Overview Leveraging Multi-Mix as technical discriminator Targeting key programs for growth Programs with high priority funding Leverage success with key customers Continued investment in new product development $~3B Total Market Crane All Others Minor Shares 16

17 Microwave Radars, Communications & Electronic Warfare EA-18 EW System (AN/ALQ-218) F35 (JSF) Radar SATCOM Teleport Upgrade INTOP/SEWIP Warfighter Information Network - Tactial (WinT) 17

Microwave Key Programs Strong base in production programs Patriot

programs transitioning to production Undisclosed SATCOM Upgrade GPS III

Satellites-more proprietary military projects Next Generation Jammer

18 Microwave Key Programs Strong base in production programs Patriot Missile APR 39 Aegis TPY-2 Radar JSF Radar & Communications Development programs transitioning to production Undisclosed SATCOM Upgrade GPS III WinT Targeting the right new programs for growth AMDR Space Fence Satellites-more proprietary military projects Next Generation Jammer INTOP/SEWIP Building on a stable base of legacy business with new high-growth programs 18

19 Continue Cost Reduction Initiatives Cost and Expense Control Budget control for all variable expenses Manufacturing expense Transfer key commercial aerospace programs to Taiwan All discretionary spending Productivity Improvements Formalize cost reduction process Develop Asian supply base to support lower material costs Crane Business System drives customer satisfaction and productivity savings Healthy funnel of productivity initiatives reduces risk 19

Summary 2009 2010 2011 2012E Sales ($M) $ 231 $ 232 $ 261 $ 265 Commercial $ 81 $ 79 $ 104 $ 110 Defense $ 150 $

order book going into 12 driven by Commercial Aerospace Defense budgets under pressure Targeted programs in

20 Summary E Sales ($M) $ 231 $ 232 $ 261 $ 265 Commercial $ 81 $ 79 $ 104 $ 110 Defense $ 150 $ 153 $ 157 $ 155 New products developed and moving into production Continued solid program execution in 12 Solid order book going into 12 driven by Commercial Aerospace Defense budgets under pressure Targeted programs in Commercial Aerospace and Defense show growth Expect growth in Commercial Aerospace business to offset modest Defense decline. 20

21 Any Questions? For more information please visit 21

AEROSPACE & ELECTRONICS BRENDAN CURRAN PRESIDENT

AEROSPACE & ELECTRONICS BRENDAN CURRAN PRESIDENT Executive Summary Revenue projections growing with commercial volumes and strengthening defense market Maintaining excellent margins High-value products