SKF is a global bearing and seal manufacturer established in 1907. In 2011, SKF had sales of SEK 66.2 billion, employed 46,039 people across 130 production sites in 32 countries, and had a presence in over 130 countries. SKF aims to strengthen its aftermarket sales and create sales pull from original equipment manufacturers through its technology platforms of bearings and units, seals, mechatronics, lubrication systems, and services. The company pursues long-term financial targets of 15% operating margin, 8% annual sales growth in local currency, and 27% return on capital employed.

1. SKF Group presentation 2011
© SKF Group

2. SKF - A truly global company
Established 1907
Sales 2011 SEK 66,216 million
Employees 46,039
Production sites around 130 in 32 countries
SKF presence in over 130 countries
Distributors/dealers 15,000 locations
Global certificates ISO 14001
OHSAS 18001 certification
© SKF Group Slide 1 25 September, 2012

3. Net sales by customer segment 2011
Cars and
light vehicles
Industrial 13%
distribution Aerospace
28% 5%
Railway
4%
4% Off-highway
5%
Trucks
10% 3%
Vehicle Service Two-wheeler
Market 5% and Electrical
15%
8%
Energy Industrial,
general
Industrial, heavy
and special
Previously published shares have been restated to reflect the new business structure from 2012.
© SKF Group

4. SKF 2011 % of group total
Net sales*
Average number of employees
42
38
Tangible asset
37
28 28
24
19
13
10
9
8 8 8 7
6 6
4
3
1 1
0
North Latin Western Sweden Eastern Middle East Asia/Pacific
America America Europe Europe and Africa
* Previously published shares have been restated to reflect customer delivery locations.
© SKF Group

5. SKF Group vision
© SKF Group Slide 4 25 September, 2012

6. What is SKF knowledge?
© SKF Group Slide 5 25 September, 2012

7. Industry specialist and partner to many industries
General Industry Energy Commercial Special industrial Automotive
• Industrial gearboxes • Renewable transport machinery • Cars and light
• Fluid power • Traditional • Aerospace • Food & Beverage trucks
• Material handling • Railways • Machine Tools • Trucks
• Industrial Electrical • Off-highway • Marine • Two wheelers
• Healthcare • Vehicle service
• Medical market
Heavy Industry • Home appliances
• Printing
• Metal-working
• Textile & Portable power
• Mining
tools
• Pulp & Paper
© SKF Group Slide 6 25 September, 2012

8. What we are aiming for
OEM Strengthen aftermarket sales End user
Industry Applications Industry
Gearboxes Oil platforms
Machines Paper mills
Conveyers Steel plants
Pumps
t Railways
a sse
Fans Mines
The ycle
... ...
life c
Create OEM sales pull
© SKF Group Slide 7 25 September, 2012

9. SKF technology platforms
© SKF Group Slide 8 25 September, 2012

10. SKF technology platforms
Bearings
and units
© SKF Group Slide 9 25 September, 2012

11. SKF technology platforms
Seals
© SKF Group Slide 10 25 September, 2012

12. SKF technology platforms
Mechatronics
© SKF Group Slide 11 25 September, 2012

13. SKF technology platforms
Lubrication
systems
© SKF Group Slide 12 25 September, 2012

14. SKF technology platforms
Services
© SKF Group Slide 13 25 September, 2012

15. Acquisition 2003-2011
Identifying gaps and opportunities in all platforms
Bearings Lubrication
Seals Services systems Mechatronics
and units
Technologies/p SNFA (2006) Economos Baker (2007) Vogel (2004) Jaeger (2005)
roducts GLO (2008)
(2006)
Safematic ABBA (2007)
Macrotech (2006)
S2M (2007) (2006)
Lincoln
Industrial (2010)
Geographies QPM (2008) PMCI (2007) ALS (2007) TCM (2003)
Segments Scandrive PB&A (2006) Sommers
(2003)
Monitek (2006) (2005)
Cirval (2008)
PEER (2008)
GBC (2012)
Focus on industrial and aftermarket business.
© SKF Group Slide 14 25 September, 2012

16. Long-term financial targets
15% 8% 27%
Operating Changes in sales Return on capital
margin, level in local currency employed
© SKF Group Slide 15 25 September, 2012

17. Six Sigma
2011 status
• 484 Black Belts
• 2,154 Green Belts
• 1,124 projects closed
Hard savings
2005 SEK 150 m
2006 SEK 200 m
2007 SEK 302 m
2008 SEK 462 m
4 dimensions
”Standard” Six Sigma, Design for Six
2009 SEK 430 m
Sigma, Lean Six Sigma and Six Sigma
2010 SEK 468 m for Growth
2011 SEK 392 m
© SKF Group Slide 16 25 September, 2012

18. SKF Care
Business Care Employee Care
SKF BeyondZero
SKF
Care
Environmental Care Community Care
© SKF Group Slide 17 25 September, 2012

19. SKF BeyondZero
© SKF Group Slide 18 25 September, 2012

20. SKF BeyondZero concept
+ Customers:
SKF BeyondZero portfolio
Reduce the negative environmental SKF
impact from our own operations and BeyondZero
those of our suppliers.
0 SKF
Suppliers Manufacturing Transportation
Innovate and offer our customers
new technologies, products and
-
services with enhanced
environmental
performance characteristics.
Scope 2 Scope 1 Scope 3
© SKF Group Slide 19 25 September, 2012

21. SKF BeyondZero portfolio - Industrial
SKF Energy Monitoring Service for pump
systems helped reduce 1,700 tonnes of
CO2 emission per year.
SKF ConRo reduced CO2 emissions
with 1.5 tonne per unit and year.
SKF Solar Linear Actuator contributes to
increasing the energy production from one
solar panel which 4.4 tonnes CO2 /year
© SKF Group Slide 20 25 September, 2012

22. SKF BeyondZero portfolio - Industrial
Replacement of hydraulic lifts with two
SKF CASM electric cylinders produced
a CO2 savings of 4.9 tonnes per year for
one machine.
SKF products and solutions for
renewable energy help display CO2
If SKF were to equip all new motors ranging
from sizes 1-50 HP with its current SKF E2
bearing range, a yearly 290 000 tonnes of CO2
emissions would be avoided.
© SKF Group Slide 21 25 September, 2012

23. SKF BeyondZero portfolio - Automotive
SKF bus door actuator saves 1900 kg
CO2/year compared using pressurized
air for operating the doors.
SKF Rotor Positioning bearing reduces
fuel consumption and CO2 emissions up
to 15%.
SKF StopGo for two-wheelers reduces CO2
emissions by 5 g per kilometre.
© SKF Group Slide 22 25 September, 2012

24. SKF BeyondZero portfolio - Automotive
SKF Low Friction Seal reduces friction by up
to 55%, which provides a CO2 savings of
over 1 g per kilometre.
A light commercial vehicle with four SKF
Low Weight Hub Bearing Units reduces
CO2 by 5.0kg CO2 per year.
SKF products & solutions for
electric vehicles
© SKF Group Slide 23 25 September, 2012

25. SKF community projects worldwide
Austria, Basky Germany, OBArt Sweden, Gothia Cup Turkey, Siirt
China,Hope School
Brazil, Communidade
Malaysia, volunteer
Argentina, Garrahan Foundation
South Africa, Legae India, Sports Academy
© SKF Group Slide 24 25 September, 2012

26. SKF Commitments Values
High Ethics
Openness
Empowerment
Team Work
Drivers
Profitability
Quality
Innovation
Speed
Sustainability
© SKF Group Slide 25 25 September, 2012

27. © SKF Group Slide 26 25 September, 2012