ITW Global AutomotiveRoland Martel, Executive Vice President

Juan Valls, Executive Vice President

December 11, 2009

Today’s Topics

• ITW Global Automotive Overview

• Automotive Industry Overview

• ITW Core Product Lines

• ITW Growth Strategies

ITW Global Automotive

• A strong ITW business

• Above average margins and ROI

• Admittedly difficult market space

• But it’s manageable…

• Very seasoned management team

• Focused on value-added niche products

• ITW is comfortable with an automotive

OEM/tier presence in the range of +/- 10%

of ITW total revenues

ITW Global Automotive

• Design and manufacture metal and plastic

fasteners and components for worldwide

OEM automotive and tiers

– 2009(F) revenues: $1.3 billion (9% of

ITW’s revenues)

– Businesses in 17 countries

20

3

4

26

3

6

1

1

1

ITW Global Automotive Business Units

North America

South America

Africa

Asia

Europe

Australia

$0

$350

$700

$1,050

$1,400

$1,750

$2,100

2008 2009

$749$559

$699

$559

$129

$139

North America Europe Asia Pacific/Other

ITW Global AutomotiveBase Business Revenues (in millions)

$1577

$1257

Automotive Industry

Current State

• Industry severely impacted by global economic crisis

• 2009 global builds of 55 million:- 18% vs. 2008

– NA -32% and Europe -25%

– Japan -32% and Korea -15%

– China 35% and India 6%

• NA and Europe forecasted to account for 45% of the worldwide production in 2009 vs. 50% in 2008

• New Domestic OEMs forecasted to continue to “grab” market share in NA and Europe; now represents 44% and 13% respectively

• OEMs and tiers increasingly seeking financially stable global suppliers like ITW

Automotive Industry

2010 Forecast

• Worldwide production forecasted to

increase 11% vs. 2009: 61 million builds in

2010

• North America at 10.5 million builds

forecasted to grow 22%, but still down 17%

from 2008 builds

– ITW forecast at 9.5 to 10 million builds

• Europe forecasted to modestly grow

compared to 2009 as a result of the strong

build rates of the second half of 2009,

propelled by the government stimulus plans

• All other markets expected to grow an

average 13% from 2009

• ITW global automotive revenues expected

to increase 13% vs. 2009

Source: CSM

Automotive Industry2008-2010 Auto Builds by Region (in millions)

12.68.5

10.5

21.1

15.916.2

33.0

30.4

34.0

2008 2009 2010(F)

Asia Pacific/Other

Europe

North America

Source: CSM

Total

Builds 66.7 54.8 60.7

Automotive Industry2008-2010 Auto Builds by OEM (in millions)

16.6

11.8 13.3

18.6

15.916.9

21.1

17.5

19.9

10.4

9.6

10.6

2008 2009 2010(F)

Other (China/India)

Japan/Korea OEMs

EU OEMs

Detroit 3

60.754.866.7

Total

Builds

Source: CSM

ITW Core Product LinesBody/Exterior Products

www.ford.com

ITW Core Product LinesInterior Products

www.hyundai.com

ITW Core Product LinesElectrical/Safety Products

www.mercedesbenz.com

ITW Core Product LinesEngine/Powertrain Offerings

www.vw.com

ITW Core Product LinesChassis Products

www.toyota.com

ITW Growth Strategies

• Global automotive business and related

penetration is growing in three ways:

– Current Products, New Markets

– Innovation

– Strategic Acquisitions and Alliances

• As the automotive industry evolves, we are

able to evolve with it and deliver what

customers demand

2006 2007 2008 2009

Average ITW

$ per vehicle$35.95 $37.42 $39.90 $40.14

Percent change

(y/o/y)-- 4% 7% 1%

Current Product,

New Market – India

• ITW Automotive India started operations in

2005 with 2009(F) revenues of

approximately $4 million

• Our major customers are Tata, Mahindra &

Mahindra, Suzuki and Hyundai

• 2013 revenues are projected to be in a

range of $35 to $40 million, which represents

a CAGR of 200%

Current Product,

New Market – China

• ITW Automotive China started operations in 2005

• 2009 revenues $29 million, 170% up from 2008

• Our major customers are VW and General Motors

• Now penetrating Chery, Geely, Chang’an, SAIC,

Nissan and Honda

• 2013 revenue is projected to be approximately

$100+ million

Current Product,

New Market – Asia

Hot Melt Plugs

• Hot melt plugs provide chemical sealing

and 100% proved water tightness over the

car life

• ITW has developed this product range and

been successful over years, with multiple

patents, ITW is constantly refreshing this

product range, and continuously launching

improved solutions

• Used in GM, Ford, Chrysler, VW, Renault,

PSA and BMW and now penetrating

Japanese and Chinese OEMs

• We expect revenues to double over the

next 5 years from the current $17 million

Current Product, New Market – Seatbelt Components

2005-$20 million in sales 2013-Adds $13 to $15 million in sales (F)2009-Adds $5 million in sales

Tata

Nano

Renault

Logan

Suzuki, Chery, Brilliance….

Current Product, New MarketLow Cost Vehicles

Innovation – Capless Fuel System

Innovation – Capless Fuel System

Ford vehicles

2009 2013$2.13/vehicle $9.89/vehicle

Innovation – Powertrain and Braking

• Customer : Ford Motor Co.

• Model: Ecoboost Engine

• Part Name : Lower Intake Manifolds

• Revenues: Expected to generate $20 million of new revenues by 2012

• SOP : March 2010

– Status of project: Ready to launch

• Special comments:

– 2 part numbers, 1 for FWD and 1 for RWD

– Replaces existing aluminum parts

– Lowers part weight and reduces cost.

– Innovated the coolant cross tube into the manifold

Innovation – Powertrain and Braking

Green Innovation –Fasteners

Heartflex Clip

• The heart flex clip is a reusable

plastic fastener that installs easily,

holds well, and can be reused

• Over-molded sealing versions

provide complete water tightness

• Protected throughout the world by

8 unique patents

• 2009 Revenues: $13 million/year

• 2013 Revenues: expected to more

than double

• We sell to all OEMs

• We sell in all markets“Versatility: Superior Ergonomics,

Sealing Performance, and Reusable.”

Strategic Acquisitions

and Alliances:Daelim/AOC

• Daelim and AOC acquired since 2006

• Approved suppliers to Korean OEMs

• Manufactured products similar to ITW

• Provided entré to market previously closed

to ITW

Strategic Acquisitions

and Alliances:Hyundai

2005 $0/vehicle

2009 $13.60/vehicle

2013 $28.99/vehicle

Strategic Acquisitions

and Alliances:Japan

ITW & Aoyama

• Aoyama is the major cold headed fastener

supplier to Toyota

• ITW & Aoyama have agreed to jointly

develop and supply plastic fasteners to

Toyota

• ITW contributes technical expertise in plastic

fasteners and manufacturing base outside

Japan, particularly with Toyota

• Aoyama brings excellent customer access

and production capabilities in Japan

&

Future Developments – Technology

& Trends

• Through innovation and manufacturing

expertise, ITW automotive businesses can

respond quickly to industry trends and often

bring customers new products before they

even ask for it

• Plan process includes a review of future

trends and technologies

• Review the potential impact on current

business

• Begin product development activities to take

advantage of the opportunities

Future Developments – Electric “Fuel” Door

BMW X6 Chevrolet Volt

Key Takeaways

• ITW Automotive is a global business with

significant opportunity in emerging

markets

• We will grow the business and related

penetration through:

– Current products, new markets

– Innovation

– Strategic acquisitions and alliances

• The auto industry continues to evolve

and we are prepared and able to evolve

with our customers

Q & A