INVESTOR PRESENTATION
Scott Thomson, President and CEO
Toronto
March 20, 2014
Forward Looking Information
2
This report contains statements about the Company’s business outlook, objectives, plans, str...
Compelling Value Proposition
 Passionate and committed employees
 Right people in the right places to execute on the pla...
Diverse & Growing Customer Base
4
63% of new equipment deliveries from non-mining
* Agriculture, industrial and government...
Powerful, Sustainable Business Model
5
6
All priorities are linked directly to EBIT or Invested Capital
Priorities Will Drive Improved
Return on Invested Capital...
Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
42
47
53
52
50
51 51
48
41
2012 2013 20142011
45%
35%
TARGET
RANGE
Strengthening Ba...
Market Outlook
Canada
 Continued stable oil sands activity
 Solid infrastructure activity and market share gains to driv...
Key Takeaways
 Focus on what we can control: costs, working capital and capital investment
 Significant increase in inve...
APPENDIX
Finning 101
World’s largest Caterpillar dealer:
 New equipment and engines sales
 Used equipment sales
 Products suppor...
2006 2007 2008 2009 2010 2011 2012 2013
ROIC 27.6% 26.8% 15.0% 10.2% 15.3% 16.0% 16.5% 15.7%
0.0%
5.0%
10.0%
15.0%
20.0%
2...
Q4 2013 Results
13
Earnings
C$ millions Q4 2013 Q4 2012* % change
Revenue 1,796 1,746 3
Gross profit 554 524 6
GP margin 3...
Q4 2013 Results
14
Invested Capital
Q4 2013 Q3 2013
Inventory ($ millions) 1,756 1,904
Inventory turns (times) 2.7 2.4
Inv...
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Investor Presentation March 20, 2014

  1. 1. INVESTOR PRESENTATION Scott Thomson, President and CEO Toronto March 20, 2014
  2. 2. Forward Looking Information 2 This report contains statements about the Company’s business outlook, objectives, plans, strategic priorities and other statements that are not historical facts. A statement Finning makes is forward-looking when it uses what the Company knows and expects today to make a statement about the future. Forward-looking statements may include words such as aim, anticipate, assumption, believe, could, expect, goal, guidance, intend, may, objective, outlook, plan, project, seek, should, strategy, strive, target, and will. Forward-looking statements in this report include, but are not limited to, statements with respect to: expectations with respect to the economy and associated impact on the Company’s financial results; expected revenue; EBIT margin; ROIC; market share growth; expected results from service excellence action plans; anticipated asset utilization, inventory turns and parts service levels; and the expected target range of the Company’s net debt to invested capital ratio. All such forward-looking statements are made pursuant to the ‘safe harbour’ provisions of applicable Canadian securities laws. Unless otherwise indicated by us, forward-looking statements in this report describe Finning’s expectations at March 20, 2014. Except as may be required by Canadian securities laws, Finning does not undertake any obligation to update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise. Forward-looking statements, by their very nature, are subject to numerous risks and uncertainties and are based on several assumptions which give rise to the possibility that actual results could differ materially from the expectations expressed in or implied by such forward-looking statements and that Finning’s business outlook, objectives, plans, strategic priorities and other statements that are not historical facts may not be achieved. As a result, Finning cannot guarantee that any forward-looking statement will materialize. Factors that could cause actual results or events to differ materially from those expressed in or implied by these forward- looking statements include: general economic and market conditions; foreign exchange rates; commodity prices; the level of customer confidence and spending, and the demand for, and prices of, Finning’s products and services; Finning’s dependence on the continued market acceptance of Caterpillar’s products and Caterpillar’s timely supply of parts and equipment; Finning’s ability to continue to improve productivity and operational efficiencies while continuing to maintain customer service; Finning’s ability to manage cost pressures as growth in revenues occur; Finning’s ability to reduce costs in response to slowing activity levels; Finning’s ability to attract sufficient skilled labour resources to meet growing product support demand; Finning’s ability to negotiate and renew collective bargaining agreements with satisfactory terms for Finning’s employees and the Company; the intensity of competitive activity; Finning’s ability to raise the capital needed to implement its business plan; regulatory initiatives or proceedings, litigation and changes in laws or regulations; stock market volatility; changes in political and economic environments for operations; the integrity, reliability, availability and benefits from information technology and the data processed by that technology. Forward-looking statements are provided in this report for the purpose of giving information about management’s current expectations and plans and allowing investors and others to get a better understanding of Finning’s operating environment. However, readers are cautioned that it may not be appropriate to use such forward-looking statements for any other purpose. Forward-looking statements made in this report are based on a number of assumptions that Finning believed were reasonable on the day the Company made the forward-looking statements. Refer in particular to the Outlook section of the Company’s Management’s Discussion and Analysis. Some of the assumptions, risks, and other factors which could cause results to differ materially from those expressed in the forward-looking statements contained in this report are discussed in Section 4 of the Company’s Annual Information Form (AIF). Finning cautions readers that the risks described in the AIF are not the only ones that could impact the Company. Additional risks and uncertainties not currently known to the Company or that are currently deemed to be immaterial may also have a material adverse effect on Finning’s business, financial condition, or results of operations. Except as otherwise indicated, forward-looking statements do not reflect the potential impact of any non-recurring or other unusual items or of any dispositions, mergers, acquisitions, other business combinations or other transactions that may be announced or that may occur after the date hereof. The financial impact of these transactions and non-recurring and other unusual items can be complex and depends on the facts particular to each of them. Finning therefore cannot describe the expected impact in a meaningful way or in the same way Finning presents known risks affecting its business.
  3. 3. Compelling Value Proposition  Passionate and committed employees  Right people in the right places to execute on the plan  Best products, best territories  Aligned with Caterpillar, world’s best heavy equipment company  Resource-rich territories with significant organic growth opportunities  Compelling business model  Machine population provides embedded product support growth  Opportunity to generate positive free cash flow throughout the cycle  Significant opportunity to improve operating performance  Going forward, profit can grow faster than revenue and working capital management will improve markedly  Opportunity to optimize and capitalize on historic investments  More disciplined approach to capital investment 3
  4. 4. Diverse & Growing Customer Base 4 63% of new equipment deliveries from non-mining * Agriculture, industrial and government segments
  5. 5. Powerful, Sustainable Business Model 5
  6. 6. 6 All priorities are linked directly to EBIT or Invested Capital Priorities Will Drive Improved Return on Invested Capital (ROIC)
  7. 7. Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 42 47 53 52 50 51 51 48 41 2012 2013 20142011 45% 35% TARGET RANGE Strengthening Balance Sheet Positive free cash flow through the cycle  Strong cash flow from operations  Improving working capital primarily through higher inventory turnover  Capital expenditures to remain significantly below 3-year average  Strong operating cash flow comfortably supports debt levels and investment grade ratings 7 Target Range Net debt to total capital ratio (%)FCF per Share (dollars) Net debt / EBITDA
  8. 8. Market Outlook Canada  Continued stable oil sands activity  Solid infrastructure activity and market share gains to drive growth in Core and BCP  Growing power systems opportunities (LNG)  Product support remains solid South America  Slower pace of growth - copper producers are focused on productivity and efficiencies  Expect reduction in new equipment sales to be offset by continued growth in product support, driven by large equipment population and solid utilization levels  Construction and power systems activity impacted by mining slowdown  Argentina’s business continues to be impacted by import restrictions UK and Ireland  Signs of macro-economic improvement  Coal mining stabilizing; increased confidence in infrastructure spend; active quarrying and aggregates; improving plant-hire market  Power Systems: EPG projects, industrial, pleasure craft remain active 8
  9. 9. Key Takeaways  Focus on what we can control: costs, working capital and capital investment  Significant increase in invested capital has offset profitability improvements over last three years  Opportunity to materially increase Return on Invested Capital over time  Improved profitability, primarily in Canada  Working capital management  Improved capital discipline  Operational priorities linked to improving Return on Invested Capital; team aligned and executing  Finning has a great business model with resource rich territories – general economic trends support continued growth 9
  10. 10. APPENDIX
  11. 11. Finning 101 World’s largest Caterpillar dealer:  New equipment and engines sales  Used equipment sales  Products support / parts and service  Equipment rental Main industries:  Mining (oil sands, copper, coal)  Construction  Other: petroleum, forestry, pipeline Key 2013 statistics:  Revenue = $6.8 billion  Basic EPS = $1.95  Quarterly dividend = $0.1525/share  ~15,000 employees  Market cap ~ $5.2 billion* 11 Vancouver (head office) Edmonton Fort McMurray Santiago Antofagasta Cannock British Columbia Yukon Alberta The Northwest Territories Bolivia Argentina Chile Uruguay United Kingdom Ireland * At March 11, 2014
  12. 12. 2006 2007 2008 2009 2010 2011 2012 2013 ROIC 27.6% 26.8% 15.0% 10.2% 15.3% 16.0% 16.5% 15.7% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 2006 2007 2008 2009 2010 2011 2012 2013 EBIT Margin 7.8% 8.3% 6.8% 5.5% 6.3% 6.3% 7.4% 7.7% Inv. Cap. T/O 3.6x 3.2x 2.2x 1.8x 2.4x 2.5x 2.2x 2.0x 1.0x 2.0x 3.0x 4.0x 5.0% 6.0% 7.0% 8.0% 9.0% Return on Invested Capital 12 Historical Performance Results were adjusted to exclude discontinued operations Economic downturn  Significant Investments: - Drills & Shovels - Fort MacKay  Underperforming working capital  ERP implementation
  13. 13. Q4 2013 Results 13 Earnings C$ millions Q4 2013 Q4 2012* % change Revenue 1,796 1,746 3 Gross profit 554 524 6 GP margin 30.9% 30.0% SG&A (403) (384) (5) SG&A as % of revenue (22.4)% (22.0)% Equity earnings 0 2 Other income (expenses) (6) 6 EBIT 145 148 (2) EBIT margin 8.1% 8.5% Net income 93 103 (9) Basic EPS 0.54 0.60 (10) EBITDA 200 203 (1) Free cash flow 365 245 * Restated to reflect the adoption of the amendments to International Accounting Standard 19 (Employee Benefits)  Q4 2013 results included $5.5 million or $0.02 per share write-off from previously capitalized ERP system costs in the UK  Q4 2012 results included $9.7 million or $0.06 per share gain on sale of property in Canada
  14. 14. Q4 2013 Results 14 Invested Capital Q4 2013 Q3 2013 Inventory ($ millions) 1,756 1,904 Inventory turns (times) 2.7 2.4 Invested capital ($ millions) 3,138 3,342 Invested capital turnover (times) 2.0 2.0 Working capital to sales ratio (%) 26.5 26.7 Return on invested capital (%) 15.7 15.8 Net debt to invested capital (%) 40.8 47.8  Invested capital declined by $204 million from Q3 2013  ROIC unchanged from Q3 2013 due to averaging of invested capital over four quarters  Strong free cash flow of $365 million driven by strong EBITDA and lower working capital, largely through reduced equipment inventory

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