Investment Banking I Industry Spotlight Banking I Industry Spotlight . 2 ... Diversified Industrials...

1

Diversified Industrials - Metals & Materials I Q3 2017

Investment Banking I Industry Spotlight

2

Diversified Industrials - Metals & Materials I Industry Spotlight

Q3 2017

Key Industrial Sector Contacts

Investment Banking

Debt Capital Markets Equity Capital Markets

Mike Brothers Managing Director

[email protected]

Mike Ryan Managing Director

[email protected]

Corporate Banking

Diversified Industrials Investment Banking

Industry Expertise Capital Markets Capabilities

Full-service Capital Markets platform staffed with over 200 professionals, offering the following capabilities:

Investment Banking

M&A Advisory

Capital Raising

Strategic Alternatives

Debt Capital Markets (DCM)

Loan Capital Markets:

– Pro Rata

– Institutional

Bond Capital Markets:

– Investment Grade

– High Yield

– Acquisition & Bridge Finance

Securitization & Private Placements

Equity Capital Markets (ECM)

Initial Public Offerings (IPO’s)

Follow-On Offerings

Convertible Debt

Sponsor Coverage

Bill Tyson Co-Head Capital Markets, EVP

[email protected]

Jeff Thieman Managing Director

[email protected]

Diversified Industrials Group Overview

Jeremy Eberlein Managing Director

[email protected]

Zac Kennedy Senior Associate

[email protected]

Senior Diversified Industrials Investment Banking Team

Chemicals, Plastics & Packaging

Coatings Diversified Chemicals

Packaging Plastics Manufacturing

Industrial Technology

Flow Control Process/Motion Control

Test & Measurement

Metals & Materials

Metal Forming & Machining

Mills & Specialty Metal

Natural Resources & Mining

Processors/ Distributors Scrap/Recycling

Specialty Distribution

Automotive Aftermarket Building & Construction

Products

Electrical & Communication

Industrial, MRO & Safety

Transportation & Logistics

Automotive & Heavy Duty Vehicles

Marine

Rail & Rail Services Third Party Logistics

Over 20 years of investment banking experience, inclusive of: merger & acquisition advisory, restructuring advisory, equity offerings, debt placements, and principal investing

Career primarily focused on middle market industrial oriented companies

Previously a Director in Harris Williams & Co’s Industrials Group and led the Metals Industry Practice

BSBA – Ohio University

Over 11 years of investment banking and private equity experience with Corporate Fuel Partners and Fifth Third Securities

Experienced with a variety of middle market industrial manufacturing, distribution and services companies

BS – University of Florida

MBA – New York University’s Stern School of Business

Jeremy Eberlein Managing Director

Marc Hirschfield Vice President

Christopher Mosley Metals West

[email protected]

Rachel Hermanson Metals East

[email protected]

C.J. Andriole Senior Associate

[email protected]

Joe Carson Managing Director

[email protected] Marc Hirschfield

Principal [email protected]

Joe Carson Managing Director

Over 24 years of experience in financial advisory services, investment banking, and strategic planning coupled with direct operational and managerial responsibilities

Prior to FTS, served as a Senior Vice President at Caldwell Tanks; oversaw business development and strategy

Prior to Caldwell Tanks, served as a Managing Director and Co-Head of Industrials at Western Reserve Partners

BSBA – Miami University MBA – Case Western Reserve University’s Weatherhead

School of Management

Melina Audinelle Director

[email protected]

Gregory Eck Asset Based Lending

[email protected]

Chemicals, Plastics & Packaging

Coatings Diversified Chemicals

Packaging Plastics Manufacturing

Specialty Distribution

Automotive Aftermarket Building & Construction

Products

Electrical & Communication

Industrial, MRO & Safety

Industrial Technology

Flow Control Process/Motion Control

Test & Measurement

Metals & Materials

Metal Forming & Machining



Processors/ Distributors Scrap/Recycling

Transportation & Logistics

Automotive & Heavy Duty Vehicles

Marine

Rail & Rail Services Third Party Logistics

3


Q3 2017

July 2017

has been acquired by

The undersigned served as Exclusive Financial Advisor to Schafer in connection with this transaction

About Schafer

Founded in 1934, Schafer Industries is a leading producer of high-precision, custom-engineered gears and machined parts as well as assembled axles, transaxles, transmissions, brake assemblies and other components for a wide variety of industries. An ISO 9001:2015 company, Schafer is headquartered together with an operations facility in South Bend, Ind., and has manufacturing facilities in Illinois and Ohio.

About HBM Holdings

HBM Holdings is an investment and management company that acquires, supports, and operates middle-market businesses in industrial products and services. The firm’s strategy is to grow a diversified portfolio using a long-term buy and build approach. HBM provides our portfolio companies with professional management expertise, financial resources, and high potential human capital to accelerate their growth. HBM invests in high-performing companies in the specialty-manufacturing sector, specifically in industrial equipment and components, energy equipment, transportation equipment (excluding light automotive) and chemical and minerals. HBM’s portfolio of companies includes Mississippi Lime Company, Delavau LLC, Schafer Industries, Tru-Flex LLC, and Breen Energy Solutions LLC.

Highlighted FTS Advisory Transaction

July 2017: Fifth Third Securities, Inc. Advises Schafer Industries, Inc. on its Sale to HBM Holdings Company Fifth Third Securities, Inc. acted as the exclusive financial advisor to Schafer Industries Inc. (“Schafer”) on its recent sale to HBM Holdings Company (“HBM”). The acquisition of Schafer is a continuation of HBM’s long-term strategy to acquire and build market leading manufacturers of industrial products. Advising Schafer on the transaction from Fifth Third were Mike Burr, Managing Director and Head of FTS’ M&A practice; Jeremy Eberlein, Managing Director and Head of FTS’ Diversified Industrials Group; Rob Bohn, Director; C.J. Andriole, Senior Associate; and Max Matthews, Analyst.

Key Transaction Commentary

“The Fifth Third Securities team not only was wonderful to work with, but it also delivered results,” said Bipin Doshi, CEO of Schafer. “The team worked efficiently and effectively with our legal, financial and operational teams and successfully closed the deal in a 45-day window.”

“Our investment banking team is proud to have represented Schafer and its shareholders in their transition to new ownership under HBM Holdings and we look forward to following the company’s continued growth and success,” said Jeremy Eberlein. “Schafer’s impressive capabilities and dedicated employees will be an excellent fit with HBM’s dedication to long-term value creation and provide HBM with a strong platform for future industry leadership.”

4


Q3 2017

July 2017

Advanced Energy Technologies LLC

a subsidiary of

has been acquired by

The undersigned served as Exclusive

Financial Advisor to GrafTech in connection with this transaction

About AET

Founded in 1886 in Cleveland, Ohio, by its predecessor firm, the National Carbon Company, Advanced Energy Technologies LLC (renamed following the closing to Neograf Solutions, LLC) is a leading technology developer and manufacturer of high quality flexible natural and synthetic graphite solutions for thermal management, fluid sealing, and industrial additive and powder applications in the consumer electronics, automotive, and other industries.

About GrafTech

GrafTech International Ltd. is a global company, established more than 130 years ago. It offers innovative graphite and petroleum needle coke material solutions to its customers in a wide range of industries and end markets, including steel and other metals manufacturing, graphite electrode, and specialties manufacturing. GrafTech operates 12 principal manufacturing facilities on four continents and sells products in over 70 countries. Headquartered in Brooklyn Heights, Ohio, GrafTech employs approximately 1,500 people.

Highlighted FTS Advisory Transaction

July 2017: Fifth Third Securities, Inc. Advises GrafTech International Ltd. on the Sale of Advanced Energy Technologies LLC to Aterian Investment Partners

Fifth Third Securities, Inc. (“FTS”) acted as exclusive financial advisor to GrafTech International Ltd. (“GrafTech”) on the sale of Advanced Energy Technologies LLC (“AET”) to Aterian Investment Partners (“Aterian”). The sale was completed as part of the on-going divestiture of GrafTech’s Engineered Solutions segment, enabling GrafTech to focus on its core graphite electrode and related businesses. Advising GrafTech on the transaction from Fifth Third were Jeremy Eberlein, Managing Director and Head of FTS’ Diversified Industrials Group; Marc Hirschfield, Principal; and Colin Schulz, Analyst.

Key Transaction Commentary

“This transaction infuses new energy and business development experience into the Company and is a critical step in NeoGraf’s continued development. Aterian has demonstrated a track record of investing in operations and growing businesses alongside management. Aterian’s support will allow NeoGraf to continue providing technology-leading, high quality products to our existing customers, as well as pursue additional business initiatives and service offerings.” – Andy Reynolds, CEO of NeoGraf

5


Q3 2017

+47%

(25%)

0%

25%

50%

75%

Sep-16 Dec-16 Mar-17 Jun-17 Sep-17

Metal Forming & Machining Mills & Specialty MetalNatural Resources & Mining Processors/DistributorsScrap/Recycling S&P 500

+6%

+33%

+37%

(20%)

(10%)

0%

10%

20%

Sep

-16

Oct

-16

No

v-1

6

Dec

-16

Jan

-17

Feb

-17

Mar

-17

Ap

r-17

May

-17

Jun

-17

Jul-

17

Au

g-1

7

Sep

-17

Hot-Rolled Steel Coil ($/ton) Cold-Rolled Steel Coil ($/ton)

Copper ($/lbs.) Zinc ($/ton)

5

10

15

20

20

40

60

80

Au

g-1

0

Dec

-10

Ap

r-11

Au

g-1

1

Dec

-11

Ap

r-12

Au

g-1

2

Dec

-12

Ap

r-13

Au

g-1

3

Dec

-13

Ap

r-14

Au

g-1

4

Dec

-14

Ap

r-15

Au

g-1

5

Dec

-15

Ap

r-16

Au

g-1

6

Dec

-16

Ap

r-17

Au

g-1

7

ROW China North America

[1] Washington Post [2] Ducker Worldwide [3] World Steel Association [4] American Iron and Steel Institute

Selected Price Performance Benchmarks (% monthly change) [6]

+34%

Latest Twelve Months (“LTM”) Share Price Performance [7,8]

Market Insights Metals & Materials

RECENT HEADLINES Tuesday, August 8, 2017: U.S. Commerce Department issued an import tax on

shipments of aluminum foil from various Chinese providers [1]

− Specifically levied “countervailing duties” on four Chinese companies ranging from 17% on one firm to 81% for two others

Ruling still awaits final decision from the Commerce Department on October 23rd, in addition to a decision from the International Trade Commission

Automotive industry aluminum consumption is expected to rise by 42% over the next decade, lower than previous forecasts [2]

− Analysts do not expect another scaled aluminum model like the Ford F-150 to enter the market, as designers turn to new lightweight, high-strength steels and materials, including magnesium and carbon fiber to achieve weight savings

MARKET UPDATES AND TRENDS YTD Aug-2017 global crude steel production increased 5.0% vs. YTD Aug-2016 [3]

− Chinese steel production outpaced North American production in the first eight months of the year, growing at 5.6% Y-o-Y versus 3.2% Y-o-Y, respectively [3]

− North American M-o-M growth in steel production from July to August outpaced Chinese production, growing at 2.9% vs. Chinese growth of 1.1% [3]

Capacity utilization for raw steel and iron produced through August 2017 was 74.6%, an increase from the 72.2% utilization rate seen over the same period in 2016 [4]

The gap between U.S. and Chinese hot-rolled steel pricing narrowed by approximately 50% from January to August 2017 [4]

As a result of the increased steel demand, the pricing of electrodes, used by mini-mills to melt scrap in electric arc furnaces, have soared from about $1.0/lb. to $5.0/lb., raising the cost from as low as $10 per net ton of steel to as high as $80 per net ton of steel produced

For the first eight months of 2017, U.S. total and finished steel imports were 26.7 million net tons and 20.6 million net tons, up 21.4% and 16.5%, respectively, from the same period in 2016 [4]

Current agricultural steel demand is relatively frothy, as export pricing and the demand outlook for tractors, combines, and implements both continue to experience volatility and uncertain growth

− Machinery and equipment accounts for ~ 9.0% of U.S. steel demand, with agricultural equipment representing a portion of that percentage, mostly in tractors and combines [4]

− For the first half of 2017:

Shipments of 2WD tractors classified as <40 horsepower (HP) were up 12.1%, consistent with FY 2016 growth [5]

Growth in shipments of larger, 2WD >100 HP tractors remains negative, although less so than FY 2016 (-14.0% vs. -22.4%, respectively) [5]

Global Crude Steel Production (million tons) [3]

+17%

Source Websites: [1] https://www.washingtonpost.com/news/wonk/wp/2017/08/09/trump-edges-closer-to-a-trade-war-with-china-thanks-to-aluminum-foil/?utm_term=.74261d9f4418 [2] Potential: http://www.reuters.com/article/us-usa-trump-steel-idUSKBN17M237

Ch

ina

an

d R

est

of

Wo

rld

No

rth A

merica

[5] Association of Equipment Manufacturers [6] Steelbenchmarker, S&P Capital IQ as of September 29, 2017 [7] S&P Capital IQ as of September 29, 2017 [8] Detail related to indices can be found on pgs. 6 – 9

RECENT INFRASTRUCTURE AND TRADE HEADLINES

The Trump Administration’s $1 trillion infrastructure plan is gaining visibility, after more than 500 infrastructure projects were recently submitted for proposal from every U.S. state and several U.S. territories, totaling over $500 billion [1]

− President Trump granted permit for construction of the Keystone XL pipeline March 24, 2017

− Notables currently in plan: $45 billion Alaska Pipeline and LNG Project; $25 billion Gateway Rail Tunnel Project connecting New York and New Jersey; $15 billion California WaterFix (Bay Delta Tunnels) Project [1]

Current prioritization and future result of the U.S. Section 232 case, which allows the President to adjust imports if excessive foreign imports are found to be a threat to national security, serves as a potential catalyst to the broader Metals & Materials industry

− Potential macroeconomic result: less foreign steel imports in the U.S., leading to an increase in domestic metals production

MARKET UPDATES AND REVIEWS

Although China still disproportionately utilizes blast furnaces to produce the majority of its steel, the U.S. continues to transition to more energy and operationally efficient arc furnaces for raw steel production [2]

− U.S. electric arc furnace output increased 6.6% while U.S. blast furnace output was down 3.0% in 1Q 2017 when compared to 1Q 2016 [2]

Adjusted YTD Jun-2017 U.S. steel production was 41.6 million net tons, up 2.5% from the same period last year [2]

− YTD Jun-2017 U.S. steel production capability utilization rate of 74.4%, increasing 1.8% from the same period last year [2]

GLOBAL CRUDE STEEL PRODUCTION TRENDS

YTD May-2017 global crude steel production increased 4.9% when compared to the same period last year [3]

− Chinese steel production out-paced North American production in the first five months of the year, growing at 4.3% Y-o-Y versus 3.6% Y-o-Y [3]

However, North America recently experienced a favorable steel production uptick, growing 4.2% in May 2017 M-o-M from April 2017, while Chinese steel production declined 0.7% over the same period [3]

MAJOR INDUSTRY PLAYERS: LAST TWELVE MONTHS STOCK PERFORMANCE

Since June 2016, all public market Metals & Materials indices have outperformed the S&P 500, excluding the Processors/Distributors index

− Metal Forming & Machining index trending upwards YTD 2017

− Scrap/Recycling public companies marginally performed most favorably over the last twelve months from a pricing perspective, gaining 31% since June 2016

https://www.washingtonpost.com/news/wonk/wp/2017/08/09/trump-edges-closer-to-a-trade-war-with-china-thanks-to-aluminum-foil/?utm_term=.74261d9f4418


























6


Q3 2017

3.0x

5.0x

7.0x

9.0x

11.0x

13.0x

Sep-12 Sep-13 Sep-14 Sep-15 Sep-16 Sep-17

Metal Forming & Machining Mills & Specialty Metal

Natural Resources & Mining Processors/Distributors

Scrap/Recycling S&P 500

+75% +64% +62%

Sub Sector Indices’ Stock Price Performance and Valuation Summary

Metals & Materials 5-Year Share Price Performance Metals & Materials 5-Yr. Median EV/1-Yr. Forward EBITDA Valuation

Public Market Valuation Trends Metals & Materials

Source: S&P Capital IQ as of September 29, 2017

+13%

+36%

(36%)

(100%)

(75%)

(50%)

(25%)

0%

25%

50%

75%

100%

Sep-12 Sep-13 Sep-14 Sep-15 Sep-16 Sep-17

Metal Forming & Machining Mills & Specialty MetalNatural Resources & Mining Processors/DistributorsScrap/Recycling S&P 500

Sub SectorNumber of

Companies

Median

Enterprise Value

Median

% Change in Stock Price

Median TEV /

LTM Multiples

Median TEV /

Forward Multiples

$ in millions 12 Months YTD Revenue EBITDA Revenue EBITDA

Metal Forming & Machining 18 $1,922 34% 24% 1.4x 11.4x 1.4x 9.6x

Mills & Specialty Metal 19 $4,392 33% 16% 0.9x 7.5x 0.9x 7.4x

Natural Resources & Mining 6 $40,843 47% 11% 1.6x 6.3x 1.4x 5.2x

Processors/Distributors 6 $1,762 6% (4%) 0.6x 10.1x 0.6x 8.7x

Scrap/Recycling 4 $2,659 37% 3% 0.6x 9.9x 0.6x 7.9x

S&P 500 500 17% 12% 2.4x 12.3x 2.3x 10.6x

7


Q3 2017 Comparable Public Companies Metals & Materials – Metal Forming & Machining

Operating & Trading Statistics ($ in millions, except per-share data)

NA – Not available NM – Not meaningful E – Estimate Enterprise value equals market capitalization plus minority equity plus debt minus cash Source: S&P Capital IQ as of September 29, 2017

Stock % of 52- Enterprise Value /

Price at Week Market Enterprise Revenue Growth LTM Margins Debt / Price / Revenue EBITDA

9/29/17 High Cap Value '15A - '16A '16A - '17E Gross EBITDA EBITDA Earnings LTM 2017E LTM 2017E

Metal Forming

Arconic Inc. $24.88 81% $11,476 $16,606 (0%) (2%) 21.0% 10.7% 5.1x NM 1.3x 1.4x 12.3x 9.2x

Voestalpine AG 50.99 96% 8,991 13,020 (4%) 4% 22.3% 14.0% 2.5x 16.8x 1.0x 1.0x 6.9x 7.4x

Kaiser Aluminum Corporation 103.14 100% 1,741 1,877 (4%) 2% 22.9% 14.9% 1.8x 18.2x 1.4x 1.4x 9.2x 10.0x

Shiloh Industries Inc. 10.40 62% 238 405 (1%) NA 10.6% 6.8% 2.5x 27.4x 0.4x NA 5.6x NA

SIFCO Industries Inc. 5.70 49% 32 66 9% NA 11.6% 3.9% 7.0x NM 0.5x NA 13.4x NA

Median: Metal Forming (1%) 2% 21.0% 10.7% 2.5x 18.2x 1.0x 1.4x 9.2x 9.2x

Industrial Machining

Regal Beloit Corporation $79.00 90% $3,559 $4,659 (8%) 1% 27.0% 14.4% 2.8x 17.1x 1.4x 1.4x 9.9x 9.5x

The Timken Company 48.55 94% 3,795 4,384 (7%) (0%) 26.2% 13.9% 2.6x 30.9x 1.6x 1.7x 11.4x 11.3x

Rexnord Corporation 25.41 99% 2,642 3,754 (0%) 1% 35.3% 17.0% 5.0x 39.7x 1.9x 1.9x 11.4x 9.8x

RBC Bearings Inc. 125.15 99% 2,941 3,133 3% 4% 37.9% 24.2% 1.6x 42.1x 5.0x 4.9x 20.7x 20.3x

Actuant Corporation 25.60 86% 1,531 1,864 (5%) 1% 34.6% 11.4% 4.5x 30.5x 1.7x 1.7x 14.9x 12.3x

Altra Industrial Motion Corp. 48.10 99% 1,424 1,690 (5%) 19% 31.7% 14.1% 2.9x 47.9x 2.2x 2.0x 15.2x 13.7x

CIRCOR International, Inc. 54.43 75% 905 1,080 (10%) 12% 31.9% 9.6% 4.5x NM 1.8x 1.6x 19.1x 13.2x

Median: Industrial Machining (5%) 1% 31.9% 14.1% 2.9x 35.3x 1.8x 1.7x 14.9x 12.3x

Aerospace Machining

Spirit AeroSystems Holdings, Inc. $77.72 98% $9,182 $9,573 2% 1% 14.2% 10.9% 1.5x 21.9x 1.4x 1.4x 12.9x 8.8x

Triumph Group, Inc. 29.75 85% 1,499 2,743 (9%) (2%) 23.9% 11.7% 3.2x NM 0.8x 0.8x 6.8x 5.9x

Kaman Corporation 55.78 102% 1,526 1,932 2% 3% 29.9% 9.1% 2.7x 28.4x 1.1x 1.0x 12.0x 11.4x

Magellan Aerospace Corp. 14.32 84% 845 941 9% 3% 17.6% 15.5% 0.9x 10.6x 1.2x 1.2x 8.0x 6.9x

Ducommun Inc. 32.05 90% 366 528 (17%) 2% 19.1% 9.4% 3.3x 26.4x 1.0x 0.9x 10.2x 9.3x

Heroux-Devtek Inc. 10.38 81% 366 436 (3%) (2%) 16.7% 13.8% 2.4x 15.7x 1.4x 1.5x 10.3x 9.3x

Median: Aerospace Machining (0%) 1% 18.4% 11.3% 2.5x 21.9x 1.2x 1.1x 10.3x 9.1x

All Indices Median (3%) 2% 23.4% 12.7% 2.7x 26.9x 1.4x 1.4x 11.4x 9.6x

8


Q3 2017 Comparable Public Companies Metals & Materials – Mills & Specialty Metal

Operating & Trading Statistics ($ in millions, except per-share data)






NIPPON STEEL & SUMITOMO METAL CORPORATION $22.94 89% $20,242 $41,550 (5%) 11% 12.2% 10.0% 4.4x 17.3x 0.9x 0.9x 9.4x 8.5x

ArcelorMittal 25.79 82% 26,311 40,644 (11%) 13% 11.8% 12.0% 1.9x 8.6x 0.7x 0.6x 5.4x 5.2x

POSCO 277.17 91% 22,173 38,410 (11%) 17% 13.3% 12.1% 3.2x 13.6x 0.8x 0.7x 6.3x 6.1x

Nucor Corporation 56.04 82% 17,901 21,054 (1%) 18% 14.3% 14.6% 1.6x 16.9x 1.2x 1.1x 7.9x 7.2x

Voestalpine AG 50.99 96% 8,991 13,020 (4%) 4% 22.3% 14.0% 2.5x 16.8x 1.0x 1.0x 6.9x 7.4x

Steel Dynamics Inc. 34.47 86% 8,268 9,692 2% 15% 18.7% 15.6% 1.7x 16.3x 1.1x 1.1x 7.1x 6.6x

Alcoa Inc. 46.62 97% 8,594 11,322 (17%) 24% 18.0% 15.5% 0.9x NM 1.1x 1.0x 7.1x 5.6x

United States Steel Corp. 25.66 61% 4,488 5,894 (11%) 18% 8.4% 7.5% 3.5x NM 0.5x 0.5x 7.0x 4.5x

Outokumpu Oyj 10.39 84% 4,282 5,613 (13%) 17% 10.5% 11.1% 2.2x 11.1x 0.8x 0.8x 7.0x 6.6x

Acerinox, S.A. 14.42 86% 3,981 4,823 (9%) 21% 35.4% 11.6% 2.4x 20.0x 0.9x 1.0x 8.1x 8.9x

AK Steel Holding Corporation 5.59 49% 1,760 3,666 (12%) 3% 15.0% 12.0% 2.4x 21.7x 0.6x 0.6x 5.1x 6.2x

Allegheny Technologies Inc. 23.90 100% 2,602 4,493 (16%) 10% 9.9% 8.9% 6.6x NM 1.4x 1.3x 15.2x 11.0x

Commercial Metals Company 19.03 77% 2,203 2,992 (23%) 11% 13.1% 6.4% 3.5x 28.8x 0.6x 0.6x 9.8x 8.0x

Ferroglobe PLC 13.16 91% 2,263 2,694 21% 6% 34.4% 3.8% 10.5x NM 1.7x 1.6x 45.7x 19.3x

Carpenter Technology Corp. 48.03 101% 2,246 2,784 (1%) 7% 15.2% 11.9% 2.8x NM 1.5x 1.4x 13.0x 10.4x

Schmolz + Bickenbach AG 0.92 90% 868 1,415 (16%) 10% 37.3% 7.8% 2.6x NM 0.5x 0.5x 6.4x 6.7x

Global Brass and Copper Holdings, Inc. 33.80 85% 740 975 (11%) 6% 12.8% 7.8% 2.8x 19.9x 0.7x 0.7x 8.6x 7.8x

TimkenSteel Corporation 16.50 72% 733 865 (21%) 41% NM NM NM NM 0.8x 0.7x NM 9.7x

Universal Stainless & Alloy Products Inc. 20.85 100% 151 228 (15%) 11% 10.0% 10.2% 4.3x NM 1.3x 1.3x 12.8x 9.2x

Median: Mills & Specialty Metal (11%) 11% 13.8% 11.3% 2.7x 16.9x 0.9x 0.9x 7.5x 7.4x

9


Q3 2017 Comparable Public Companies Metals & Materials – Natural Resources & Mining, Processors/Distributors, and Scrap/Recycling

Natural Resources & Mining Operating & Trading Statistics ($ in millions, except per-share data)

Processors/Distributors Operating & Trading Statistics ($ in millions, except per-share data)

Scrap/Recycling Operating & Trading Statistics ($ in millions, except per-share data)






BHP Billiton plc $17.62 87% $93,823 $116,926 23% 12% 85.6% 50.6% 1.6x 37.8x 3.1x 2.7x 6.0x 4.8x

Rio Tinto plc 46.56 92% 82,943 96,733 (3%) 17% 20.7% 40.5% 1.0x 18.2x 2.6x 2.4x 6.4x 5.4x

Glencore Plc 4.59 91% 65,390 92,089 4% 19% 2.1% 5.7% 2.9x NM 0.5x 0.5x 8.8x 6.5x

Vedanta Resources plc 11.69 78% 3,342 19,860 7% 17% 23.7% 27.5% 6.3x NM 1.7x 1.5x 6.3x 5.4x

Cliffs Natural Resources Inc. 7.15 58% 2,120 3,583 5% 19% 20.0% 20.5% 3.5x 26.6x 1.5x 1.4x 7.5x 5.1x

ERAMET S.A. 67.94 86% 1,795 2,668 (7%) 14% 19.5% 17.0% 3.4x NM 0.7x 0.8x 4.1x 3.8x

Median: Natural Resources & Mining 4% 17% 20.4% 24.0% 3.1x 26.6x 1.6x 1.4x 6.3x 5.2x




Processors/Distributors

Reliance Steel & Aluminum Co. $76.17 86% $5,560 $7,513 (8%) 10% 29.6% 9.3% 2.4x 17.2x 0.8x 0.8x 8.8x 8.4x

Worthington Industries, Inc. 46.00 74% 2,829 3,539 7% 1% 16.7% 9.2% 2.7x 16.2x 1.1x 1.2x 12.3x 11.8x

Klöckner & Co SE 12.82 83% 1,279 1,834 (14%) 8% 21.5% 3.5% 2.9x 14.8x 0.3x 0.3x 7.5x 8.0x

Russel Metals Inc. 22.07 93% 1,369 1,568 (14%) 19% 19.4% 6.1% 2.4x 17.7x 0.7x 0.7x 11.4x 11.5x

Ryerson Holding Corporation 10.85 64% 353 1,314 (10%) 12% 18.1% 5.0% 6.6x 26.9x 0.4x 0.4x 8.4x 5.9x

Olympic Steel, Inc. 22.00 77% 239 446 (10%) 15% 21.3% 3.0% 5.9x 28.9x 0.4x 0.4x 12.4x 9.0x

Median: Processors/Distributors (10%) 11% 20.3% 5.6% 2.8x 17.5x 0.6x 0.6x 10.1x 8.7x




Scrap/Recycling

Steel Dynamics, Inc. $34.47 86% $8,268 $9,692 2% 15% 18.7% 15.6% 1.7x 16.3x 1.1x 1.1x 7.1x 6.6x

Commercial Metals Company 19.03 77% 2,203 2,992 (23%) 11% 13.1% 6.4% 3.5x 28.8x 0.6x 0.6x 9.8x 8.0x

Sims Metal Management Limited 10.58 82% 2,125 1,831 12% 3% 14.2% 4.6% 0.0x 25.7x 0.5x 0.5x 10.3x 7.7x

Schnitzer Steel Industries, Inc. 28.15 92% 741 915 (29%) 13% 13.3% 5.7% 2.0x 18.1x 0.6x 0.6x 10.1x 9.0x

Median: Scrap/Recycling (10%) 12% 13.8% 6.0% 1.9x 21.9x 0.6x 0.6x 9.9x 7.9x

10


Q3 2017

8.0x

9.3x

8.7x

7.2x

8.1x8.4x 8.3x 8.4x

9.3x

9.9x 9.7x10.0x 10.2x

8.8x 8.7x9.0x

8.3x8.8x 9.0x

8.7x 8.7x 8.9x

9.6x9.3x

10.2x

8.5x

6.0x

8.0x

10.0x

12.0x

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 YTD8/2016

YTD8/2017

Financial Buyers Strategic Buyers

0

4,000

8,000

12,000

16,000

20,000

24,000

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 3Q 2016 3Q 2017

Under $25mm $25 to $500mm Above $500mm Undisclosed

U.S. M&A Volume and Valuation Trends

Median Transaction Multiples (Enterprise Value / LTM EBITDA)

Transaction Volume

Note: This data represents the entire U.S. market (all industries) Source: PitchBook, S&P Capital IQ, and S&P Capital IQ LCD

Recession Recession

’16 vs. ’17

▼ 15%

‘07 to ‘11 Median Financial = 8.4x Strategic = 8.8x

‘12 to ‘16 Median Financial = 9.3x Strategic = 8.9x

11


Q3 2017

U.S. Metals & Materials M&A Announced Deal Volume Recent activity in U.S. Metals & Materials M&A has been driven by middle market transactions

− Highlighted middle market transactions include:

Gamut Capital’s acquisition of JPW Industries, announced July 19, 2017

White Wolf Capital’s acquisition of Astro-Tek Industries, announced June 30, 2017

− U.S. deal volume increased in 3Q 2017 from the prior quarter, but was lower on a Q-o-Q basis when compared to 3Q 2016

U.S. middle market deal multiples have strengthened YTD 9/2017 from 2016 and remain in line with the seven-year average

− The average YTD 9/2017 enterprise value to LTM EBITDA multiple for U.S. middle market transactions was 7.1x (vs. 6.0x for 2016)

U.S. M&A outlook for Metals & Materials remains strong

− Current low interest rate environment in the U.S. is a positive tailwind and attractive for valuation

− Domestic steel pricing trending favorably, potentially strengthening U.S. metals companies’ operating performance and pushing valuations to more attractive levels

U.S. Hot-Rolled Coil (FOB Midwest Mill) pricing has increased by 7.0% YTD 9/2017

U.S. Metals & Materials M&A Disclosed Deal Value ($ in billions)

U.S. Metals & Materials M&A Closed Deal Average EV / EBITDA Multiple

Note: Middle Market defined as transactions with disclosed deal values less than $1 billion EV – Enterprise Value ND – No Transaction Values Disclosed NM – Not Meaningful Source: Fifth Third Securities, Bloomberg, PitchBook and S&P Capital IQ

M&A Trends Metals & Materials Specific Activity

0

50

100

150

1Q

201

0

2Q

201

0

3Q

201

0

4Q

201

0

1Q

201

1

2Q

201

1

3Q

201

1

4Q

201

1

1Q

201

2

2Q

201

2

3Q

201

2

4Q

201

2

1Q20

13

2Q

201

3

3Q

201

3

4Q

201

3

1Q

201

4

2Q

201

4

3Q

201

4

4Q

201

4

1Q

201

5

2Q

201

5

3Q

201

5

4Q

201

5

1Q

201

6

2Q

201

6

3Q

201

6

4Q

201

6

1Q

201

7

2Q

201

7

3Q

201

7

Total U.S. Metals & Materials Deal Volume

9.8x

5.8x 6.1x

9.8x7.5x

11.5x

6.0x7.1x

ND ND

14.0x11.8x

16.2x

10.5x

14.1x

ND0.0x

5.0x

10.0x

15.0x

20.0x

2010 2011 2012 2013 2014 2015 2016 YTD 9/2017

Middle Market >$1 Billion

$0

$2

$4

$6

$8

$10

1Q

201

0

2Q

201

0

3Q

201

0

4Q

201

0

1Q

201

1

2Q20

11

3Q

201

1

4Q

201

1

1Q

201

2

2Q

201

2

3Q

201

2

4Q

201

2

1Q

201

3

2Q

201

3

3Q

201

3

4Q

201

3

1Q

201

4

2Q

201

4

3Q

201

4

4Q

201

4

1Q

201

5

2Q

201

5

3Q

201

5

4Q

201

5

1Q

201

6

2Q

201

6

3Q

201

6

4Q

201

6

1Q20

17

2Q

201

7

3Q

201

7

Middle Market >$1 Billion

12


Q3 2017

Metals & Materials ($ in millions)

M&A Trends Metals & Materials – Select Global Transaction Detail

Source: Company Filings, S&P Capital IQ, PitchBook

Transaction's Implied Target's

Date Enterprise Enterprise Value / LTM Last Twelve Months ("LTM")

Announced Acquirer Target Value Revenue EBITDA

Sep-17 Quadrant Management General Flange & Forge $3 - -

Sep-17 Santa Fe Gold Corporation (OTCPK:SFEG) Bullard's Peak Corporation and Black Hawk Consolidated Mines Company, Inc. $3 - -

Sep-17 Kencoa Aerospace LLC Heart of Georgia Metal Crafters, LLC NA - -

Sep-17 Wolfden Resources Corporation (TSXV:WLF) Base-Metal Project In Penobscot County, Maine, USA $9 - -

Sep-17 Auxo Investment Partners Atlas Die LLC NA - -

Aug-17 PHI Group Inc. (OTCPK:PHIL) Twenty-One Mining Claims in Granite Mining District, Grant County, Oregon $49 - -

Aug-17 Kadant Inc. (NYSE:KAI) UNAFLEX, LLC $31 1.7x -

Aug-17 TCTM Financial FS LLC Wellman Dynamics Corporation $21 - -

Aug-17 New Hampshire Ball Bearings, Inc.; Development Bank of Japan Inc., Investment Arm C&A Tool Engineering, Inc. NA - -

Aug-17 Nucor Corporation (NYSE:NUE) St. Louis Cold Drawn, Inc. NA - -

Aug-17 Lippo China Resources Limited (SEHK:156); CCI U.S. Asset Holdings LLC CS Mining, LLC $35 - -

Aug-17 ConforMIS, Inc. (NasdaqGS:CFMS) Broad Peak Manufacturing LLC, Machining and Polishing Assets $7 - -

Aug-17 GenNx360 Capital Partners; Yukon Partners Management, LLC Tooling Technology Group, LLC NA - -

Aug-17 Speyside Equity LLC Craftsman Custom Metals, LLC NA - -

Aug-17 Ta Chen International, Inc. Outokumpu Oyj, Pipe Plant in Wildwood, Florida $30 - -

Jul-17 HBM Holdings Company Schafer Industries, Inc.

Jul-17 Aterian Investment Partners Advanced Energy Technologies LLC (business unit of GrafTech International Ltd.)

Jul-17 Trex Company, Inc. (NYSE:TREX) Staging Concepts Acquisition, LLC $72 - -

Jul-17 MCM Capital Partners First Impression Security Doors NA - -

Jul-17 H.I.G. Capital Diamond Gypsum Company NA - -

Jul-17 Arlington Capital Partners Thortex NA - -

Jul-17 RoadSafe Traffic Systems, Inc. IJN Inc. NA - -

Jul-17 The CapStreet Group, LLC Marco Group International, Inc. NA - -

Jul-17 PPG Industries, Inc. (NYSE:PPG) The Crown Group, Inc. NA - -

Jul-17 Gamut Capital Management, L.P. JPW Industries, Inc. $340 2.3x -

Jul-17 Amerinac Holding Corp. Prime Metals & Alloys Inc. $10 - -

Jul-17 Wingate Partners Precision Mine Repair NA - -

Jul-17 Genstar Capital Tri-Star Industries (United States) NA - -

Jul-17 American Alloy Acquisition LLC CC Metals and Alloys, LLC NA - -

Jun-17 AZZ Inc. (NYSE:AZZ) Enhanced Powder Coating, Inc. NA - -

Jun-17 White Wolf Capital Astro-Tek Industries NA - -

Jun-17 Synalloy Corporation (NasdaqGM:SYNL) (3% minority position) Universal Stainless & Alloy Products, Inc. (NasdaqGS:USAP) NA - -

Jun-17 Kyocera Corporation (TSE:6971) Kyocera Senco Industrial Tools, Inc. NA - -

Jun-17 Spell Capital Partners LLC Jet Edge, Inc. NA - -

Jun-17 Compco Industries, Incorporated Compco Quaker Manufacturing Inc. NA - -

Jun-17 Prospect Partners, LLC Qualitas Manufacturing Inc. NA - -

Jun-17 QVT Financial; JHL Capital Group; Shenghe Resources International Trading Co. Molycorp Minerals, LLC, Mountain Pass Mine $21 - -

Jun-17 Audax Group United Welding Services NA - -

Jun-17 Gulfco Forge Company, LLC (Ellwood Group Subsidiary) Gulf Coast Machine & Supply Company NA - -

Jun-17 Atkore International Group Inc. (NYSE:ATKR) Cobra Systems Inc. NA - -

May-17 Highland Capital Management, L.P. Structural & Steel Products, Inc. NA - -

May-17 TianJin Motor Dies Co., Ltd. (SZSE:002510) DieTech North America, LLC $33 - -

May-17 Boyd Corporation Aavid Thermalloy NA - -

May-17 Speyside Equity LLC Avon Machining Company NA - -

May-17 Reliance Worldwide Corporation Limited (ASX:RWC) Securus, Inc. $93 - -

May-17 Triton Investment Management Werner Holding Co. NA - -

May-17 Speyside Equity LLC Ashland Foundry & Machine Works LLC NA - -

Confidential

Confidential

13


Q3 2017

U.S. Private Equity deal flow was down during the third quarter of 2017 on a volume basis and up on a deal value basis

Private equity activity started off slow in 2017, yet market fundamentals point to strong deal flow in the year ahead as fundraising has continued at a rampant pace

As of June 30th, 2017, there were 5,758 private equity sponsored middle market companies in the U.S., representing a 40% increase in inventory since 2010

− 39.7% of U.S. private equity sponsored middle market companies were acquired over five years ago

Metals & Materials private equity disclosed capital invested and number of deals closed increased slightly YTD 9/2017 when compared to the same period last year

− 53 deals closed for a total disclosed value of $1.3 billion during the first three quarters of 2017

The number of private equity exits within Metals & Materials decreased slightly YTD 9/2017 when compared to the same period last year, exhibiting a disclosed median deal size of $358 million

Overall U.S. Private Equity Deal Flow ($ in billions)

U.S. Metals & Materials Private Equity Deal Flow ($ in billions)

U.S. Metals & Materials Private Equity Exits ($ in millions)

*3Q17 preliminary PitchBook data ND – No Transaction Values Disclosed Source: Fifth Third Securities, PitchBook

Private Equity Activity Metals & Materials

67 64

8072

87 8569

52 53

$3.7 $4.1

$2.0 $1.0

$4.5

$3.2 $1.1

$1.1 $1.3

2010 2011 2012 2013 2014 2015 2016 YTD9/2016

YTD9/2017

# of Deals Closed Disclosed Capital Invested ($)

912

19

1116

13

22

1714

$142

$980

$78 $18

$800

$291 $54 $54 $358

2010 2011 2012 2013 2014 2015 2016 YTD9/2016

YTD9/2017

# of Exits Disclosed Median Deal Size ($)

0

500

1,000

1,500

$0

$50

$100

$150

$200

$250

1Q

11

2Q

11

3Q

11

4Q

11

1Q

12

2Q

12

3Q

12

4Q

12

1Q

13

2Q

13

3Q

13

4Q

13

1Q

14

2Q14

3Q

14

4Q

14

1Q

15

2Q

15

3Q

15

4Q

15

1Q

16

2Q

16

3Q

16

4Q

16

1Q

17

2Q

17

3Q

17*

Deal Value ($) # of Deals Closed

14


Q3 2017

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%

9.0%

10.0%

MM B-rated MM NR

6.12%

6.29%

Note: This data represents the entire U.S. middle market (all industries) Note: The middle market is defined as deal size < $100 million and borrower sales < $500 million [1] Includes both non-sponsored and sponsored transactions; sufficient data not available for MM NR loans in 1Q15 and 1Q17 Source: Bloomberg, S&P Capital IQ LCD, and Thomson Reuters LPC

U.S. Middle Market Loan Market Trends

Loan Volume: Low Level of Supply Continues ($ in billions) Non-Rated Term Loan Yields Tighten Further [1]

Covenant-Lite Volume Surges in 2Q17 ($ in billions) Leverage Multiples Remain Aggressive on Middle Market LBOs

$0.0

$10.0

$20.0

$30.0

$40.0

$50.0

$60.0

$70.0

Non-Sponsored Sponsored

$0.0

$1.0

$2.0

$3.0

$4.0

$5.0

$6.0

$7.0

0.0x

1.0x

2.0x

3.0x

4.0x

5.0x

6.0x

7.0x1st Lien Debt to EBITDA Junior Debt to EBITDA

15


Q3 2017

112

159 197 181

241 241 273

313

361 347 366

L+0

L+50

L+100

L+150

L+200

L+250

L+300

L+350

L+400

L+450

Observation: Closing leverage determines ~97% (R2) of the variations in pricing; every 0.5x turn of leverage costs ~25bps (slope)

Pro Rata Market Update: 2Q 2017 Banks Ease Terms for Larger Credits; Downward Pricing Pressure Remains

Structure

Banks largely left C&I lending standards for firms of all sizes unchanged,

with a modest easing of most terms, including pricing and covenants, for

large and middle-market firms per the 2Q17 Federal Reserve Senior Loan

Officer Survey results. Per results of the 2Q17 Federal Reserve’s Senior Loan

Officer Survey. A moderate net percentage of banks increased the maximum

size of credit lines, reduced the cost of such credit lines, narrowed the spread

of loan rates over their cost of funds, and eased loan covenants

Observations from Fifth Third’s loan database:

Financial Covenants – single covenant deals became slightly more

prevalent through LTM Q2 2017, with two covenant deals remaining

most common, typically consisting of a leverage and coverage ratio

Tenors – static at 5 years, co-terminus revolver and term loans

Amortization – no discernable market-driven movement, with a

standard 5yr tenor term loan amortizing anywhere between 25-75%,

with ~30-35% amortization being most common

Excess Cash Flow Recapture – fewer deals continue to have no sweep,

with roughly half of all pro rata issuance executing without a sweep, up

from ~1/3 of deals in 2016

Pricing

While pricing in the pro rata market is highly subjective depending upon

banking relationships and ancillary business, respondents to the Fed Survey

have now reported net pricing reductions for 29 consecutive quarters

In-line with Fed survey muted responses with respect to pricing, Fifth

Third’s pro rata database showed a modest 4 bps of YoY spread contraction,

bringing the average drawn spread at close to L+200 for the 2Q17 vs. 2Q16

With many grids reaching levels below L+200, approaching pricing on

investment grade and asset based loans, there appears to be little runway for

further pricing concessions in the pro rata market

Source: Fifth Third Securities, Federal Reserve Board

Average Pro Rata Pricing at Close by Market Segment (as of 2Q17)

LTM 2Q17 Synthetic Leverage Grid for Pro Rata Executions

417 445

414 431

270 272 267 298

218 207 197 210

L + 0

L + 50

L + 100

L + 150

L + 200

L + 250

L + 300

L + 350

L + 400

L + 450

L + 500

Current Prior Yr Current Prior Yr

Trailing 3M Trailing 12M

Middle Market Sponsored Middle Market Non-Sponsored Pro Rata / Bank-Only

417445

414 431

270 272 267298

218 207 197 210

L +0

L +50

L +100

L +150

L +200

L +250

L +300

L +350

L +400

L +450

L +500

Current Prior Yr. Current Prior Yr.

Trailing 3M Trailing 12M

Middle Market Sponsored Middle Market Non-Sponsored Pro Rata / Bank-Only

16


Q3 2017 Asset Based Lending Market Update

ABL Deal Purpose Dispersion ABL Average Pro Rata Pricing

ABL Volume and Deal Count ($ billions) 2Q 2017: ABL Market Commentary

ABL issuance volumes totaled $25.3 billion in 2Q17, an increase of 13% and 29% from 2Q16 and prior quarter volumes, respectively. 1H17 volumes totaled nearly $45.0 billion

1H17 new money deal flow totaled $9.8 billion, or 22% of volume

Volume continued to consist primarily of refinancing activity with general corporate purposes being the primary use of proceeds. M&A lending was limited to 4% of total 1H17 volume

Deal size continued to skew towards the smaller end of the market (sub $250.0 million) as refinancings and add-ons dominated. Larger sized credits north of $500.0 million were heavily weighted towards repricings and opportunistic refinancings

Clubby deals under $150.0 million made up 52% of total 1H17 volumes. Deals ≥ $500.0 million represented 13% of 1H17 deal flow

Quarter over quarter ABL drawn spreads continue to tighten. Average drawn pricing decreased to 167 bps from 200bps. Average undrawn pricing decreased to 29 bps from 35 bps

In 1H17, 89% of deals ≥ $75 million in size were priced (drawn pricing) below 250 bps, of which 48% were priced between 150-199 bps

Source: Thomson Reuters LPC

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Gen. Corp. Purp. Amend & Extends DIP/Exit Fin. M&A Other

L+0

L+100

L+200

L+300

Drawn Undrawn

0

20

40

60

80

100

120

$0

$5

$10

$15

$20

$25

$30

$35

Volume Deal Count

17


Q3 2017 Economic Dashboard

Industrial Production Index Capital Goods Orders Housing Starts

Source: Board of Governors of the Federal Reserve System

($ in billions)

Source: United States Census Bureau

National Unemployment Rate Real GDP Growth Additions to Non-Farm Payrolls

Housing Starts

Source: Bureau of Economic Analysis Source: Bureau of Labor Statistics Source: Bureau of Labor Statistics

Source: United States Census Bureau

(in thousands of employees)

(in thousands of units)

$200

$225

$250

$275

96

102

108

114

5.0%

2.3%2.0%

2.6%2.0%

0.9% 0.8%1.4%

3.5%

2.1%1.4%

2.6%

3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q

'14 '15 '16 '17

4.0%

5.0%

6.0%

7.0%

0

100

200

300

400

750

850

950

1,050

1,150

1,250

1,350

18


Q3 2017 Notes & Definitions

S&P 500 Index- A broad index that includes American Companies. EBITDA- A company's earnings before interest, taxes, depreciation, and amortization, is an accounting measure calculated using a company's net earnings, before interest expenses, taxes, depreciation and amortization are subtracted, as a proxy for a company's current operating profitability. Dry Powder- Refers to cash reserves kept on hand to cover future obligations or to purchase assets. GDP- Gross domestic product is the market value of the goods and services produced by labor and property located in the United States Consumer Sentiment Index- The University of Michigan Consumer Sentiment Index is a consumer confidence index published monthly by the University of Michigan. The index is normalized to have a value of 100 in December 1964 National Unemployment Rate- the percentage of the total labor force that is unemployed but actively seeking employment and willing to work. Non-Farm Payroll- Nonfarm payroll employment is a compiled name for goods, construction and manufacturing companies in the US. It does not include farm workers, private household employees, non-profit organization employees, or government employees . It is an economic indicator released monthly by the United States Department of Labor as part of a comprehensive report on the state of the labor market. Housing Starts- are the number of new residential construction projects that have begun during any particular month. The Economist- offers authoritative insight and opinion on international news, politics, business, finance, science, technology and the connections between them LBO -- leveraged buyout (LBO) is the acquisition of another company using a significant amount of borrowed money to meet the cost of acquisition. The assets of the company being acquired are often used as collateral for the loans, along with the assets of the acquiring company. Industrial Production Index (IPI)- is an economic indicator published by the Federal Reserve Board of the United States that measures the real production output of manufacturing, mining, and utilities Capital Goods Orders. Covenant-lite loans- means that debt is being issued, both personally and commercially, to borrowers with less restrictions on collateral, payment terms, and level of income. IRR-Internal Rate of Return.

About Fifth Third Capital Markets

Fifth Third Capital Markets is the marketing name under which Fifth Third Bank and its subsidiary, Fifth Third Securities, Inc., provide certain securities and investment banking products and services. Banking products and services are offered by Fifth Third Bank. Securities products and services are offered by licensed securities representatives of Fifth Third Securities, Inc., who may be employees of Fifth Third Bank. Important notice This document has been prepared by Fifth Third Bank (“Fifth Third”) or one of its subsidiaries for the sole purpose of providing a proposal to the parties to whom it is addressed in order that they may evaluate the capabilities of Fifth Third to supply the proposed services. It is not intended to provide specific investment advice or investment recommendations and does not constitute either a commitment to enter into a specific transaction or an offer or solicitation, with respect to the purchase or sale of any security. The information contained in this document has been compiled by Fifth Third and includes material which may have been obtained from information provided by various sources and discussions with management but has not been verified or audited. This document also contains confidential material proprietary to Fifth Third. Except in the general context of evaluating our capabilities, no reliance may be placed for any purposes whatsoever on the contents of this document or on its completeness. No representation or warranty, express or implied, is given and no responsibility or liability is or will be accepted by or on behalf of Fifth Third or by any of its subsidiaries, members, employees, agents or any other person as to the accuracy, completeness or correctness of the information contained in this document or any other oral information made available and any such liability is expressly disclaimed. This document and its contents are confidential and may not be reproduced, redistributed or passed on, directly or indirectly, to any other person in whole or in part without our prior written consent. Past performance is No Guarantee of Future Results. Fifth Third Capital Markets is a wholly owned subsidiary of Fifth Third Bank offering investment banking++, debt capital markets+, bond capital markets++, equity capital markets++, financial risk management+, and fixed income sales and trading++. Fifth Third Bank provides access to investments and investment services through various subsidiaries, including Fifth Third Securities. Fifth Third Securities is the trade name used by Fifth Third Securities, Inc., member FINRA/SIPC, a registered broker-dealer and registered investment advisor registered with the U.S. Securities and Exchange Commission (SEC). Registration does not imply a certain level of skill or training. Securities and investments offered through Fifth Third Securities, Inc. and insurance products: + Services and activities offered through Fifth Third Bank ++ Services and activities offered through Fifth Third Securities, Inc © Fifth Third Bank 2017

19

Are Not FDIC Insured Offer No Bank Guarantee May Lose Value

Are Not Insured By Any Federal Government Agency Are Not A Deposit

Investment Banking I Industry Spotlight Banking I Industry Spotlight . 2 ... Diversified Industrials...

Documents

Transcript of Investment Banking I Industry Spotlight Banking I Industry Spotlight . 2 ... Diversified Industrials...