Slide 1: Third Quarter 2010 Preliminary Earnings Call
fax Third Quarter 2010 Preliminary Earnings Call November 4, 2010
Slide 2: Preliminary Results
FAX Pretimi COMAX ereininary resus spovotangeea The preliminary results for the three and nine months ended October 1, 2010 and the preliminary restated results for the three and nine months ended October 2, 2009, included herein, reflect management's best estimate of corrections related to the over
Slide 3: Forward-Looking Statements
Colfax Forward-Looking Statements Q3 2010 Eamings Call The following information contains forward-looking statements, including forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to, stat
Slide 4: Q3 2010 Highlights
Colfax Q3 2010 Highlights Q3 2010 Eamings Call = Adjusted net income of $9.5 million (22 cents per share) compared to $10.2 million (24 cents per share) in Q3 2009; Q3 2010 results include 3 cents per share related to currency effects and one-time acquisition costs *Net sales of $132.4 million compa
Slide 5: Q3 2010 Highlights Continued
fax “ahi cotta Q3 2010 Highlights Continued 095 2010 Eamings Cal “Both sales and orders increased; 1° time since third quarter of 2008 + Organic sales up 6% + Power gen, general industrial and commercial marine end markets up + Organic orders up 8% * Growth in oil & gas, general industrial and defen
Slide 6: Orders and Backlog
Colfax Orders and Backlog 03.2010 Eamings Cal a s4s0.0 s400.0 $350.0 3000 $300.0 $250.0 $200.0 $150.0 $1000 st00.0 $500 $0.0 90 we am mt ‘roan rae gh gh eo ho a Bes feaisions = = 2% om ctandaion =H = om ToalGonn ars
Slide 7: Revenue and Adjusted Operating Income
fax j i Revenue and Adjusted Operating Income 08 2010 Eamings Call $400.0 por $300.0 $40.0 $300 $200.0 $200 $100.0 $100 $0.0 $00 3 2009 a3 2010 yD YD 03 2009 a3 2010 yo yTD 2009 2010 2009 2010 isting Businesses 59% (0% SeMargin 13.1% 118% ae 105% ‘cqusitions 23% 12% Fx Translation (929% (096 Total G
Slide 8: Q3 2010 Sales and Orders by End Market
FAX o3 2010 sales and Orders by End Market Sales: $132.4 million Defense "0% Power Genera ‘eneraton Instat "6% 35% cia cast 13% ‘Commercial rine 25% ‘TotalGrowth Decline) Organic Growth (Detne Commercial Marne 3% % cia Gas (1ay on Power Generation 10% 2% Defense (or os ‘General industrial 8% 168 Tot
Slide 9: YTD 2010 Sales and Orders by End Market
FAX 2010 y10 Sales and Orders by End Market Sales: $375.3 million million Defense Defense “a. ‘ — General Generation tne none 13% eration 6% 14% orcs 1% Oil & Gas’ 16% Commercial Genera Marine Marine 2% 22% ‘Total Growth (Decline) Organic Growth (Decline) SLi ‘Commercial Marine (5% ee Commercial Mar
Slide 10: 2010 Q3 vs. 2010 Q2 Sales and Orders by End Market
Colfax 2010 Q3 vs. 2010 Q2 Sales and Orders by End Market Q3 2010 Eamings Call General Industrial Total Total ‘otal Growth (Decline) Organic Growth (Decline) ene
Slide 11: Commercial Marine Market Perspective
Colfax Commercial Marine Market Perspective Q3 2010 Eamings Call Sales & Orders Growth (Decline) Q310 YoY | Q310 YTD YoY | Q310 Sequential Total | Organic | Total | Organic | Total | Organic sales | 5% | 9% | (8% | (9)% | 3% 1% Orders | - : 50% | 42% | (36)% | (37)% Highlights and Outlook *Sales inc
Slide 12: Oil & Gas Market Perspective
Colfax Oil & Gas Market Perspective Sales & Orders Growth (Decline) Q310 YoY | Q310 YTD YoY | Q310 Sequential Total | Organic | Total | Organic | Total | Organic Sales | (14)%| (23%) | (26)%| (28)% | 8% | (6)% Orders| 38% | 31% | 6% | 4% | (7)% | (16)% Highlights and Outlook *New project orders begi
Slide 13: Power Generation Market Perspective
Colfax Power Generation Market Perspective Sales & Orders Growth (Decline) Q310 YoY | 340 YTD YoY | @340 Sequential Total | Organic | Total | Organic | Total | Organic Sales | 14% | 21% | (2% | 1% | 31% | 30% Orders | (19)% | (17)% | (4)% | (2)% | (20% | (24)% Highlights and Outlook *Solid growth in
Slide 14: Defense Market Perspective
Colfax Defense Market Perspective Q3 2010 Eamings Call Colfax a3 10 Sales & Orders Growth (Decline) Sales Split 310 YoY | Q310 YTD YoY | Q310 Sequential Total | Organic | Total | Organic | Total | Organic Sales | (8)% | (71% | 114% | 11% | 9% 9% Orders] - 2% | (24)%] (24% | (44)% | (44)% Highlights
Slide 15: General Industrial Market Perspective
Colfax General Industrial Market Perspective Sales & Orders Growth (Decline) Q310 YoY | 340 YTD YoY | 310 Sequential Total | Organic | Total | Organic | Total | Organic Sales | 8% | 16% : 2% | 2% 1% Orders | 12% | 19% | 20% | 22% | (6)% | (6)% Highlights and Outlook *Sales and orders up for the quar
Slide 16: Baric Systems acquisition
CEIAX saic stone cvs * Acquired in August =Premier supplier of engineered fluid-handling systems + Primary operations in Blyth, UK = Serves oil & gas, petrochemical and power markets = Installed base of 3,000 systems worldwide = Purchase price $28 million, net of cash acquired ($1 million one-time a
Slide 17: Strong Financial Condition
cotta Strong Financial Condition 23 2010 Eamings Ca "Strong balance sheet + Debt of $85 million, principal payments of $9 million in 2010, matures in 2013 = Cash = $43 million + $133 million available on revolver "Strong cash flow . 1 jedto = Inventory on hand reduced by 19 days (22%) since beginnin
Slide 18: Preliminary Income Statement Summary
FAX pretimi Preliminary Income Statement Summary 08 2010 Eamings Call ‘Three Months Ended Datta ‘October, 2010 October, 2009 3 w ‘Ae Rested Orda s mm $ m2 $ 69 s0% Sales s 4 $ rss $39 30% s a1 $ 462 -$ 09 19% 35.6% 359% s wo $ S21 74% oi 38% TNT haw s BSS 6S $02) 3H Adjusted Net Income s s $05 2% So
Slide 19: Preliminary Income Statement Summary (Nine Months)
FAX Pretiminary Income Statement Summary Nine Months Ended ‘October, 2010 ‘October, 2000 Onder: s 3992 $ Saler s 3538 Goes Profit s Bis $ of Sales 35. SG&A Epenses s ss S$ R&DEpense 47 326 Operating Expenses of Slee Adjusted Operating Income s of Slee Adjusted Net Income s of Slee Adjusted Net Incom
Slide 20: Financial Metrics (as of 10/1/10)
Colfax Financial Metrics (as of 10/1/10) 3 2010 Eamings Call Liquidity Cash Flow (8 months) Cash $43 Depreciation and amortization si Accounts receivable $93 Acquisitions $28 Inventory $58 Capex $9 Accounts payable $43 Working capital $108 Working capital to annualized sales 22% Leverage Current por
Slide 21: 2010 Outlook Summary
FAX 2010 outlook summary pra esmigs ee (1) Excuses impact of soqustions and ferign exchange rate futons (2) Excuses impact of asbestos coverage Itgaten, asbestos abit and defense cossandrestuctsing ad the related charges (@)Spxtrate as of 22010 ‘Typical, 28 cen change inthe Eris expected to resut in
Slide 22: Appendix
«pilex Appendix Q3 2010 Eamings Call 2
Slide 23: Non-GAAP Disclaimer
FAX disciaimer Q3 2010 Eamings Call CCofachas provided fnancial information that has net been pregared in accardance with GAAP, These non-GAAP financial measures are acusted nat income, adjusted netincome per shar, adjusted operating income, organic sales growh (decline) and crganic oder growth (des
Slide 24: Non-GAAP Reconciliation
fax 7 iat cotta Non-GAAP Reconciliation 05 2010 Eamings Cal
Slide 25: Sales & Order Growth
FAX’ sates & order Growth “Three Months Ended October 2, 2009 Conponens of Change: sung bases Acqstass Foriq carey rutin Teal ‘Three Months Ended October 1, 2010 ‘Nine Month Ended October 22008 Congonens of Ong: sung bases: Acqastass Forig carey rutin Teal ‘Nine Month Ended October 12010 Q3 2010 Eam
Slide 26: Non-GAAP Reconciliation
FAX Non-GAAP Reconciliation Colfax Corporation Reconciliation of Projected 2010 Net Income Per Share to Adjusted Net Income Per Share Amounts in Dollar: (Preliminary! and maudited) EPS Ran Projected net income per share filly diluted $038 $ 083 ‘Restrctving and other elated charges incued year-to-da