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LIGHT VEHICLE COMMERCIAL INDUSTRIAL Metaldyne Performance Group Fiscal Year 2014 Fourth Quarter and Full Year Earnings PresentaHon March 12, 2015

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0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

LIGHT  VEHICLE   COMMERCIAL   INDUSTRIAL  

Metaldyne  Performance  Group  

Fiscal  Year  2014  Fourth  Quarter    and  Full  Year  Earnings  PresentaHon  

March  12,  2015  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

2  

Disclaimer  

This  presenta,on  and  any  related  statements  contains  certain  “forward-­‐looking  statements”  about  MPG’s  financial  results  and  es,mates  and  business  prospects  within  the  meaning  of  the  Private  Securi,es  Li,ga,on  Reform  Act  of  1995.  Forward-­‐looking  statements  may  be  iden,fied  by  words  such  as  “expects,”  “intends,”  “an,cipates,”  “plans,”  “project,”  “believes,”  “seeks,”  “targets,”  “forecast,”  “es,mates,”  “will”  or  other  words  of  similar  meaning  and  include,  but  are  not  limited  to,  statements  regarding  the  outlook  for  the  Company’s  future  business,  prospects,  and  financial  performance;  the  industry  outlook,  our  backlog  and  our  2015  financial  guidance.  Forward-­‐looking  statements  are  based  on  management’s  current  expecta,ons  and  assump,ons,  which  are  subject  to  inherent  uncertain,es,  risks,  and  changes  in  circumstances  that  are  difficult  to  predict.  Actual  outcomes  and  results  may  differ  materially  due  to  global  poli,cal,  economic,  business,  compe,,ve,  market,  regulatory,  and  other  factors  and  risks,  including,  but  not  limited  to,  the  following:  vola,lity  in  the  global  economy  impac,ng  demand  for  new  vehicles  and  our  products;  a  decline  in  vehicle  produc,on  levels,  par,cularly  with  respect  to  plaUorms  for  which  we  are  a  significant  supplier,  or  the  financial  distress  of  any  of  our  major  customers;  seasonality  in  the  automo,ve  industry;  our  significant  compe,,on;  our  dependence  on  large-­‐volume  customers  for  current  and  future  sales;  a  reduc,on  in  outsourcing  by  our  customers,  the  loss  or  discon,nua,on  of  material  produc,on  or  programs,  or  a  failure  to  secure  sufficient  alterna,ve  programs;  our  failure  to  offset  con,nuing  pressure  from  our  customers  to  reduce  our  prices;  our  inability  to  realize  all  of  the  sales  expected  from  awarded  business  or  fully  recover  pre-­‐produc,on  costs;  our  failure  to  increase  produc,on  capacity  or  over-­‐expanding  our  produc,on  in  ,mes  of  overcapacity;  our  reliance  on  key  machinery  and  tooling  to  manufacture  components  for  powertrain  and  safety-­‐cri,cal  systems  that  cannot  be  easily  replicated;  program  launch  difficul,es;  a  disrup,on  in  our  supply  or  delivery  chain  which  causes  one  or  more  of  our  customers  to  halt  produc,on;  work  stoppages  or  produc,on  limita,ons  at  one  or  more  of  our  customer’s  facili,es;  a  catastrophic  loss  of  one  of  our  key  manufacturing  facili,es;  failure  to  protect  our  know-­‐how  and  intellectual  property;  the  disrup,on  or  harm  to  our  business  as  a  result  of  any  acquisi,ons  or  joint  ventures  we  make;  a  significant  increase  in  the  prices  of  raw  materials  and  commodi,es  we  use;  the  damage  to  or  termina,on  of  our  rela,onships  with  key  third-­‐party  suppliers;  our  failure  to  maintain  our  cost  structure;  the  incurrence  of  significant  costs  if  we  close  any  of  our  manufacturing  facili,es;  poten,al  significant  costs  at  our  facility  in  Sandusky,  Ohio;  the  failure  of  or  disrup,ons  in  our  informa,on  technology  networks  and  systems,  or  the  inability  to  successfully  implement  upgrades  to  our  enterprise  resource  planning  systems;  the  incurrence  of  significant  costs,  liabili,es,  and  obliga,ons  as  a  result  of  environmental  requirements  and  other  regulatory  risks;  extensive  and  growing  governmental  regula,ons;  the  adverse  impact  of  climate  change  and  related  energy  legisla,on  and  regula,on;  the  incurrence  of  material  costs  related  to  legal  proceedings;  our  inability  to  recruit  and  retain  key  personnel;  any  failure  to  maintain  sa,sfactory  labor  rela,ons;  pension  and  other  postre,rement  benefit  obliga,ons;  risks  related  to  our  global  opera,ons;  compe,,ve  threats  posed  by  global  opera,ons  and  entering  new  markets;  foreign  exchange  rate  fluctua,ons;  increased  costs  and  obliga,ons  as  a  result  of  becoming  a  public  company;  the  failure  of  our  internal  controls  to  meet  the  standards  required  by  Sarbanes-­‐Oxley;  our  substan,al  indebtedness;  our  inability,  or  the  inability  of  our  customers  or  our  suppliers,  to  obtain  and  maintain  sufficient  debt  financing,  including  working  capital  lines;  our  exposure  to  a  number  of  different  tax  uncertain,es;  the  mix  of  profits  and  losses  in  various  jurisdic,ons  adversely  affec,ng  our  tax  rate;  disrup,on  from  the  combina,on  of  our  opera,ons  and  diversion  of  management’s  aZen,on;  our  limited  history  of  working  as  a  single  company  and  the  inability  to  integrate  HHI,  Metaldyne,  and  Grede  successfully  and  achieve  the  an,cipated  benefits.  

 For  the  reasons  described  above,  we  cau,on  you  against  relying  on  any  forward-­‐looking  statements,  which  should  also  be  read  in  conjunc,on  with  the  other  cau,onary  statements  that  are  included  elsewhere  in  this  press  release  and  in  our  public  filings,  including  under  the  heading  “Risk  Factors”  in  our  filings  that  we  make  from  ,me  to  ,me  with  the  Securi,es  and  Exchange  Commission  and  Annual  Report  on  Form  10-­‐K  for  the  year  ended  December  31,  2014  to  be  filed  in  the  next  few  days.  You  should  not  consider  any  list  of  such  factors  to  be  an  exhaus,ve  statement  of  all  of  the  risks,  uncertain,es,  or  poten,ally  inaccurate  assump,ons  that  could  cause  our  current  expecta,ons  or  beliefs  to  change.  Further,  any  forward-­‐looking  statement  speaks  only  as  of  the  date  on  which  it  is  made,  and  we  undertake  no  obliga,on  to  update  or  revise  any  forward-­‐looking  statement  to  reflect  events  or  circumstances  acer  the  date  on  which  the  statement  is  made  or  to  reflect  the  occurrence  of  unan,cipated  events,  except  as  otherwise  may  be  required  by  law.  

Non-­‐GAAP  Financial  Measures  

Adjusted  EBITDA    

 We  define  Adjusted  EBITDA  as  net  income  (loss)  before  interest  expense,  provision  for  (benefit  from)  income  taxes  and  depreciaLon  and  amorLzaLon,  with  further  adjustments  to  reflect  the  addiLons  and  eliminaLons  of  certain  income  statement  items,  including  (i)  gains  and  losses  on  foreign  currency  and  fixed  assets  and  debt  transacLon  expenses,  (ii)  stock-­‐based  compensaLon  and  other  non-­‐cash  charges,  (iii)  sponsor  management  fees  and  other  income  and  expense  items  that  we  consider  to  be  not  indicaLve  of  our  ongoing  operaLons,  (iv)  specified  non-­‐recurring  items  and  (v)  other  adjustments.    

 We  believe  Adjusted  EBITDA  is  used  by  investors  as  a  supplemental  measure  to  evaluate  the  overall  operaLng  performance  of  companies  in  our  industry.  Management  uses  Adjusted  EBITDA  (i)  as  a  measurement  used  in  comparing  our  operaLng  performance  on  a  consistent  basis,  (ii)  to  calculate  incenLve  compensaLon  for  our  employees,  (iii)  for  planning  purposes,  including  the  preparaLon  of  our  internal  annual  operaLng  budget,  (iv)  to  evaluate  the  performance  and  effecLveness  of  our  operaLonal  strategies  and  (v)  to  assess  compliance  with  various  metrics  associated  with  our  agreements  governing  our  indebtedness.  Accordingly,  we  believe  that  Adjusted  EBITDA  provides  useful  informaLon  to  investors  and  others  in  understanding  and  evaluaLng  our  operaLng  performance  in  the  same  manner  as  our  management.  For  a  reconciliaLon  of  Adjusted  EBITDA  to  net  income,  the  most  directly  comparable  measure  determined  under  U.S.  generally  accepted  accounLng  principles  (“GAAP”),  see  “RECONCILIATION  OF  NET  INCOME  TO  ADJUSTED  EBITDA  AND  ADJUSTED  FREE  CASH  FLOW”.  

Adjusted  Free  Cash  Flow    

 We  define  Adjusted  Free  Cash  Flow  as  Adjusted  EBITDA  less  capital  expenditures.  Capital  expenditures  can  be  found  in  our  consolidated  statements  of  cash  flows  as  a  component  of  cash  flows  from  invesLng  acLviLes.  We  present  Adjusted  Free  Cash  Flow  because  our  management  considers  it  to  be  a  useful,  supplemental  indicator  of  our  performance.  When  measured  over  Lme,  Adjusted  Free  Cash  Flow  provides  supplemental  informaLon  to  investors  concerning  our  results  of  operaLons  and  our  ability  to  generate  cash  flows  to  saLsfy  mandatory  debt  service  requirements  and  make  other  non-­‐discreLonary  expenditures.  For  a  reconciliaLon  of  Adjusted  Free  Cash  Flow  to  net  income,  the  most  directly  comparable  GAAP  measure,  see  “RECONCILIATION  OF  NET  INCOME  TO  ADJUSTED  EBITDA  AND  ADJUSTED  FREE  CASH  FLOW”.  

2  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

3  

Agenda  

IntroducLon     Paul  Suber  Vice  President  of  Investor  RelaLons  

2014  Highlights  and  Accomplishments   George  Thanopoulos  Chief  ExecuLve  Officer    

Market  Outlook   George  Thanopoulos    

Financial  Results   Mark  Blaufuss  Chief  Financial  Officer  and  Treasurer  

2015  Guidance   George  Thanopoulos    

Q  &  A  Session   Mark  Blaufuss    George  Thanopoulos    

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

2014  HIGHLIGHTS  AND  ACCOMPLISHMENTS  

Metaldyne  Performance  Group  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

5  

October  2014  MPG  debt  consolidaLon  

August  2014  HHI,  Metaldyne  and  Grede  merge  to  form  MPG  

2014  Highlights  

December  12,  2014  MPG  IPO  Metaldyne  Performance  Group  Becomes  Public  

o  Key  Strategy  Points  o  Capturing  expected  growth  in  

powertrain  and  safety-­‐criLcal  components    

o  Delivering  strong  profitability  and  cash  flow  generaLon  

o  Capitalizing  on  our  global  scale  and  cross-­‐selling  opportuniLes    

o  On-­‐Going  IntegraLon  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

6  

▫  Capture  specifically  idenLfied  opportuniLes  ▫  Balance  resources  and  opportuniLes  ▫  Manage  process  and  tangible  savings                  

IntegraLon  Process  

Process  Update  o  Stage  one  opportuniLes    

▫  Benefits  of  combined  business  leverage    -­‐  insurance,  fees  and  other  captured  

o  Stage  two  opportuniLes  ▫  Larger  scale  items  such  as  IT,  healthcare  and  benefits    

o  CoordinaLon  of  Cross-­‐Selling    ▫  Cohesive  teams  across  all  three  operaLng  segment  formed  to  coordinate  customer  and  quoLng  acLvity  

Strategic  

Process  Overview  

Regimented  CommunicaLon  and  CoordinaLon  

 Thomas  Amato  

George  Thanopoulos  Doug  Grimm  Mark  Blaufuss  

IntegraLon  Steering  CommiYee  

 ▫  President’s  Council  ▫  Commercial  Council  ▫  Technical  Council  ▫  EH&S  Council    

Leadership  Councils   IntegraLon  Steering  CommiYee  

TacHcal  

o  MPG  has  implemented  integraLon  teams  o  Each  team  collaborates  to  find  potenLal  synergies  and  opportuniLes  within  the  three  business  segment  

o  Sharing  best  pracLces  across  the  three  business  segment  

Business  Unit  Leadership  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

7  

$43  

$122  

$156  

4.9%   6.0%   5.7%  

2012   2013   2014  

$886  

$2,017  

$2,717  

2012   2013   2014  

Net  Sales  

$143  

$363  

$479  

16.1%  

17.9%  

17.6  %  

2012   2013   2014  

11.3%   11.9%   11.9%    $100    

 $241    

$322  

 $-­‐        

 $50    

 $100    

 $150    

 $200    

 $250    

 $300    

 $350    

 $400    

 $450    

2012   2013   2014  

Adjusted  EBITDA  /  %  of  Net  Sales  

Adjusted  Free  Cash  Flow  1  /  %  of  Net  Sales  CapEx  /  %  of    Net  Sales  

Net  Sales  

Note:  Dollars  in  millions    |    1.  Defined  as  Adjusted  EBITDA  less  CapEx    |  2012  figures  include  both  predecessor  and  successor  periods  

Financial  History    -­‐  GAAP  Basis  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

8  

$129  

$162   $168  

4.2%   5.3%   5.4%  

2012   2013   2014  

$3,057   $3,053   $3,144  

2012   2013   2014  

$472  $509  

$545  

15.4%  16.7%  

17.3  %  

2012   2013   2014  

11.2%   11.4%   12.0%  

 $343      $347     $377  

 $-­‐        

 $50    

 $100    

 $150    

 $200    

 $250    

 $300    

 $350    

 $400    

 $450    

2012   2013   2014  

Combined  Adjusted  EBITDA  1  /  %  of  Combined  Net  Sales  (non-­‐GAAP)  

Combined  Adjusted  Free  Cash  Flow  1,4  /  %  of  Combined  Net  Sales  (non-­‐GAAP)  Combined  CapEx  1,3  /  %  of    Combined  Net  Sales  (non-­‐GAAP)  

Combined  Net  Sales  (non-­‐GAAP)  1,2  

Note:  Dollars  in  millions  |    1.  See  Appendix  slides  for  reconcilia,on  to  GAAP  2.  Defined  as  MPG  Net  Sales  plus  pre-­‐acquisi,on  Net  Sales  of  Grede  3.  Defined  as  MPG  Capital  Expenditures  plus  pre-­‐acquisi,on  Capital  Expenditures  of  Grede  4.  Defined  as  Adjusted  EBITDA  less  CapEx  

Financial  History  –  Combined  Non-­‐GAAP  Basis  

’12  –  ‘14E  CAGR:  7.5%  

’12  –  ‘14E  CAGR:  4.8%  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

MARKET  OUTLOOK  Metaldyne  Performance  Group  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

10  

17.0   17.4   17.9   18.3   18.6  

2014   2015   2016   2017   2018  

North  America  Light  Vehicle  ProducLon1  

Industry  Growth  

20.1   20.1   20.5  21.3  

22.1  

2014   2015   2016   2017   2018  

294   320   266   263   270  

219   220   233   245   247  

513   540   499   508   517  

2014   2015   2016   2017   2018  

FTR  Class  8   ACT  Class  5-­‐7  

European  Light  Vehicle  ProducLon1  

North  America  Class  5-­‐8  Vehicle  ProducLon2  

45.0  46.6  

48.8  50.7  

52.3  

2014   2015   2016   2017   2018  

Asian  Light  Vehicle  ProducLon1  

PosiHve  Outlook  for  Primary  Regions  and  Markets  

1.  Vehicle  Produc,on  in  millions:  IHS  January  2015  2.  Vehicle  Produc,on  in  thousands:  FTR  and  ACT  December    2014  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

11  

455  1,750  

400  

2,700  

1,400  

2014   2018E  8-­‐Speed   9-­‐Speed   10-­‐Speed  

240  Hp    289  Hp    

240    (lb-­‐k)  284    (lb-­‐k)  

2005   2013   2005   2013  

Source:  IHS,  LMC  Automo,ve,  ICCT  ,  Yengst  Associates,  ACT  Research  and  FTR.  1.  LMC  Automo,ve  as  of  December  2014  2.  ICCT  as  of  May  2014.  3.  Source:  IHS.  Note:  Amounts  reflect  weighted  average  horsepower  and  torque  for  North  American  engines  produced.  

Develop  Customized  and  InnovaHve  Products  For  Powertrain  and  Safety-­‐CriHcal  Components  

o  Light  weighLng  through  stronger  products  that  reduce  size  and  weight  

o  Advanced  transmissions  with  more  gears  and  conLnuously  variable  transmissions  

o  Smaller  engines;  turbocharged  to  improve  power    and  performance  

 

Horsepower   Torque  

Capture  Expected  Growth  in  Powertrain  and  Safety-­‐CriLcal  Components  

34  

53  45   55  

U.S.   Japan  

45  61  

E.U.  2012  2021E  

2012  2020E  

2012  2020E  

5,850  

     855  

Improving  Fuel  Economy  and  Safety  to    Meet  Consumer  Preferences  and  Regulatory  Standards  

N.A.  Higher  Speed  Transmission  ProducLon  Forecast  1  (units  in  thousands)  

Higher  Fuel  Efficiency  Standards  2  (Miles  per  gallon)  

N.A.  6  Cylinder  Engine  Torque  and  Horsepower  Growth  3  

32%   4%   36%   20%  Increase  

18%  Increase  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

FINANCIAL  RESULTS    Metaldyne  Performance  Group  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

13  

Full  Year  Selected  Financial  Data  -­‐  GAAP  

($  in  Millions)   Metaldyne  Performance  Group  

2013   2014   Difference  Net  Sales   $2,017.3   $2,717.0   $699.7  Gross  Profit   308.6   422.9   114.3  

Percentage  of  Net  Sales   15.3%   15.6%  Adjusted  EBITDA1   363.1   478.6   115.5  

Percentage  of  Net  Sales   18.0%   17.6%  Capex   122.3   156.4   34.1  Adjusted  Free  Cash  Flow2   240.8   322.2   81.4  

Net  Debt3   1,211.8   1,805.3   593.5  Trade  Working  Capital4   223.1   264.1   41.0  

1  See  Appendix  for  reconcilia,on  to  GAAP  2  Defined  as  Adjusted  EBITDA  less  CapEx  

3  Defined  as  debt  (current  and  long-­‐term)  capital  lease  obliga,ons  less  cash  and  cash  equivalents    4  Defined  as  Total  Receivables,  net  plus  Inventories,  less  Accounts  Payable    

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

14  

MPG  Fourth  Quarter  Financial  Results  -­‐  GAAP  

($  in  Millions)   Fourth  Quarter  

2013   2014   Difference  

Net  Sales   $511.4   $762.2   $250.8  

Adjusted  EBITDA1   92.0   125.7   33.7  

Percentage  of  Net  Sales   18.0%   16.5%  

Capex   35.4   54.2   18.8  

Adjusted  Free  Cash  Flow2   56.6   71.5   14.9  

1.  See  Appendix  for  reconcilia,on  to  GAAP  2.  Defined  as  Adjusted  EBITDA  less  CapEx      

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

15  

Full  Year  Combined  Non  -­‐  GAAP  Results  

($  in  Millions)   Metaldyne  Performance  Group  

2013   2014   Difference  Combined  Net  Sales  (non-­‐GAAP)1   $3,052.9   $3,144.0   $91.1  Combined  Gross  Profit  (non-­‐GAAP)1     486.0   497.6   11.6  

Percentage  of  Combined  Net  Sales  (Non-­‐GAAP)   15.9%   15.8%  

Combined  Adjusted  EBITDA1     508.8   545.1   36.3  Adjusted  EBITDA  %   16.7%   17.3%  

Combined  Capex1     161.7   168.2   6.5  Combined  Adjusted  Free  Cash  Flow1,2   347.1   376.9   29.8  

1  See  Appendix  for  reconcilia,on  to  GAAP  2  Defined  as  Adjusted  EBITDA  less  CapEx    

Financial  informa,on  is  presented  on  a  combined  non-­‐GAAP  basis  to  give  effect  to  the  combina,on  of  the  three  business  segments  as  of  January  1,  2013  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

16  

MPG  Fourth  Quarter  Combined  Non  -­‐  GAAP  Results  

($  in  Millions)   Fourth  Quarter  

2013   2014   Difference  

Combined  Net  Sales1,2   $755.1   $762.2   $7.1  

Combined  Adjusted  EBITDA1   128.6   125.7   (2.9)  

Percentage  of  Net  Sales   17.0%   16.5%  

Combined  CapEx1   44.5   54.2   9.7  

Combined  Adjusted  Free  Cash  Flow  1,3   84.1   71.5   (12.6)  

1  See  Appendix  for  reconcilia,on  to  GAAP  2  2014  Net  Sales  is  a  GAAP  amount,  2013  is  a  non-­‐GAAP  amount  3  Defined  as  Adjusted  EBITDA  less  CapEx    

Financial  informa,on  is  presented  on  a  combined  non-­‐GAAP  basis  to  give  effect  to  the  combina,on  of  the  three  business  segments  as  of  January  1,  2013  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

17  

Financial  Results  by  Segment  

($  in  Millions)    HHI         Metaldyne       Grede1  

2013   2014   2013   2014   2013   2014  

Net  Sales   $916.5     $977.6         $1,112.0     $1,177.5       $1,035.6     $999.1    

Gross  Profit   151.0     164  .4       157.6   173.4         177.4   159.8    Percentage  of  Net  Sales   16.5%   16.8%       14.2%   14.7%       17.1%   16.0%  

Adjusted  EBITDA   175.0     193.5          188.1     202.3       145.7     149.3    Percentage  of  Net  Sales   19.1%   19.8%       16.9%   17.1%       14.1%   14.9%  

Note:  The  above  revenue  figures  do  not  include  the  elimina,on  of    intersegment  revenue  1  Grede  results  shown  on  a  combined,  non-­‐GAAP  basis  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

18  

Debt  and  Dividends  

o   MPG  Net  Debt    

▫  $1,805.3  million  of  net  debt  outstanding  at  12/31/14  

▫  $250  million  line  of  credit,  $235  million  available  ($15  million  of  leYers  of  credit  outstanding)1  

o Voluntary  Prepayment  of  Term  Debt  

▫  Q4  2014  –  The  Board  of  Directors  approved  and  MPG  executed  a  voluntary  repayment  of  $10  million  of  its  outstanding  Term  Loan  in  December  2014  

▫  Q1  2015  –  The  Board  of  Directors  approved  a  voluntary  repayment  of  an  addiLonal  $10  million  of  its  outstanding  Term  Loan  before  the  end  of  the  first  quarter  of  2015    

o Dividends    ▫  On  March  10th,  The  Board  of  Directors  declared  a  1st  quarter  $.09/share  dividend  payable  

on  May  26,  2015  to  stockholders  of  record  as  of  May  12,  2015  

1  Depending  on  the  ,ming  of  cash  flows  from  opera,ons,  capital  spending,  taxes  and  debt  service,  the  Company  may  draw  on  the  Company’s  line  of  credit  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

2015  GUIDANCE  Metaldyne  Performance  Group  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

20  

AssumpLons  

Industry  ProducLon  /  AssumpLons     2015E   Reference  Rate    Light  Vehicle  SAAR  North  America1   ~2.5%  

Light  Vehicle  SAAR  Europe1   ~0%  

Light  Vehicle  SAAR  Asia1   ~3.5%  

NAFTA  Heavy  Truck  Class  5-­‐82   ~5%  

AMM  –  Chicago  #1  Bundles3   $251  per  gross  ton   $347  per  gross  ton  

FX  Rate3  

Euro/USD   1.12   1.22  

USD/Mexican  Peso   14.94   14.78  

USD/Chinese  Yuan   6.16   6.14  

USD/Korean  Won   1,100   1,096  1  IHS  January  2015  2  FTR  and  ACT  December    2014  3  2015  es,mate    AMM  and  FX  rates  as  of  2/10/15  and  February  month  end,  respec,vely;  AMM  Reference  Rate  as  of  12/18/14;  FX  Reference  Rate  as  of  12/31/14    

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

21  

2015  Guidance  Ranges      

Guidance   2015E    

Net  Sales   $3.0  -­‐  $3.15  billion    

Adjusted  EBITDA1   $520  -­‐  $560  million  

Capital  Expenditures     $210  -­‐  $225  million  

Adjusted  Free  Cash  Flow2   $310  -­‐  $335  million  

1  See  appendix  for  reconcilia,on  to  GAAP  

2  Defined  as  Adjusted  EBITDA  less  CapEx,  u,lizing  consistent  high  and  low  ends  of  EBITDA  and  CapEx    

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

Q  &  A  SESSION  Metaldyne  Performance  Group  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

APPENDIX  Metaldyne  Performance  Group  

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

24  

GAAP  ReconciliaLon  Slides  Full  Year  

Metaldyne Performance Group (MPG) Adjustments to Reconcile Net Income to EBITDA

Consolidation Full Year Full Year 12/31/2014 12/31/2013

Net income attributable to stockholders $72.8 57.6 Income attributable to noncontrolling interest 0.4 0.3 Net income 73.3 57.9

Addbacks to Arrive at Unadjusted EBITDA Interest expense 99.9 74.7 Loss on debt extinguishment 60.7 - Income tax (benefit) expense (19.1) 35.0 Total depreciation and amortization 210.8 163.4 Unadjusted EBITDA 425.6 331.0

Adjustments to Arrive at Adjusted EBITDA Foreign currency (gains) losses (15.7) 2.3 (Gain) loss on fixed asset disposition 2.1 1.4 Debt transaction expenses 3.0 6.0 Stock-based compensation 17.3 6.2 Sponsor management fee 5.1 4.0 Non-recurring acquisition and purchase accounting related items (1) 23.0 10.5 Non-recurring operational items (2) 18.2 1.7 Adjusted EBITDA $478.6 363.1

(1) Acquisition and related purchase accounting items including transaction costs, adjustments to inventory step-ups and other.

(2) Non-recurring operational items including charges for disposed operations, impairment charges, insurance proceeds, curtailment gain and other.

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

25  

GAAP  ReconciliaLon  Slides  Q4  

Metaldyne Performance Group (MPG) Adjustments to Reconcile Net Income to EBITDA

Consolidation Q4 Q4 12/31/2014 12/31/2013

Net income attributable to stockholders $10.2 4.0 Income attributable to noncontrolling interest 0.2 0.1 Net income 10.4 4.0

Addbacks to Arrive at Unadjusted EBITDA Interest expense 29.6 20.7 Loss on debt extinguishment 60.4 - Income tax (benefit) expense (50.2) 8.4 Total depreciation and amortization 58.4 43.5 Unadjusted EBITDA 108.5 76.6

Adjustments to Arrive at Adjusted EBITDA Foreign currency (gains) losses (4.2) 0.8 (Gain) loss on fixed asset disposition 0.7 0.7 Debt transaction expenses 0.1 1.6 Stock-based compensation 2.8 1.6 Sponsor management fee 1.4 1.0 Non-recurring acquisition and purchase accounting related items (1) 0.2 9.7 Non-recurring operational items (2) 16.1 - Adjusted EBITDA $125.7 92.0

(1) Acquisition and related purchase accounting items including transaction costs, adjustments to inventory step-ups and other.

(2) Non-recurring operational items including charges for disposed operations, impairment charges, insurance proceeds, curtailment gain and other.

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

26  

GAAP  ReconciliaLon  Slides  Full  Year  and  Q4  

Metaldyne Performance Group (MPG) Adjustments to Reconcile to US GAAP

Consolidation Full Year Full Year Q4 Q4 12/31/2014 12/31/2013 12/31/2014 12/31/2013

Net Sales $2,717.0 2,017.3 762.2 511.4 Grede pre-acquisition Net Sales 427.0 1,035.6 - 243.7 Combined Net Sales (non-GAAP) 3,144.0 3,052.9 762.2 755.1

Gross Profit 422.9 308.6 Grede pre-acquisition Gross Profit 74.7 177.4 Combined Gross Profit (non-GAAP) 497.6 486.0

Adjusted EBITDA 478.6 363.1 125.7 92.0 Grede pre-acquisition Adjusted EBITDA 66.5 145.7 - 36.6 Combined Adjusted EBITDA 545.1 508.8 125.7 128.6

CapEx 156.4 122.3 54.2 35.4 Grede pre-acquisition CapEx 11.8 39.4 - 9.1 Combined CapEx 168.2 161.7 54.2 44.5

Adjusted Free Cash Flows 322.2 240.8 71.5 56.6 Grede pre-acquisition Adjusted Free Cash Flows 54.7 106.3 - 27.5 Combined Adjusted Free Cash Flows $376.9 347.1 71.5 84.1

0,  84,  128  

163,  135,  97  

184,  209,  237  

89,  89,  89  

45,  123,  158  

200,  200,  200  

169,  219,  195  

27  

GAAP  ReconciliaLon  Guidance  Slide  

Metaldyne Performance Group (MPG) Reconciliation of 2015 Guidance of Net Income to Adjusted EBITDA

Consolidation   2015 Guidance 2015 Guidance

Low End of Range High End of

Range

Net income attributable to stockholders

$102.5 127.8 Income attributable to noncontrolling interest 0.5 0.5 Net income 102.9 128.3

Addbacks to Arrive at Unadjusted EBITDA Interest expense, net 117.3 117.3 Income tax expense 50.5 65.1 Depreciation and amortization 234.2 234.2 Unadjusted EBITDA 504.9 544.9

Adjustments to Arrive at Adjusted EBITDA Foreign currency (gains) losses (2.9) (2.9) Stock-based compensation expense 16.6 16.6 Non-recurring operational items (1) 1.4 1.4 Adjusted EBITDA $520.0 560.0

(1) Non-recurring operational items including charges for disposed operations, restructuring costs and other.