© 2011 CRS Holdings, Inc. All rights reserved Confidential Where Do We Go From Here? May 4, 2011 Mark S. Kamon VP International / Dynamet / CPP Carpenter

© 2011 CRS Holdings, Inc. All rights reserved Confidential

Where Do We Go From Here?

May 4, 2011Mark S. KamonVP International / Dynamet / CPPCarpenter Technology Corporation

Unless otherwise noted, the logo and registered trademarks are property of CRS Holdings, Inc. a subsidiary of Carpenter Technology Corporation.

Confidential© 2011 CRS Holdings, Inc. All rights reserved 2

Overview

• 36 years

• Carpenter

• Future

• Happiness

Engage – Exchange - Inspire


Is U.S. Manufacturing Dying?


U. S. Manufacturing Trends . . .

1985 2005

•Employees at local steel company 4,500 1,200

•U.S. Mfg. employees as % of total 16% 11%


U. S. Manufacturing Trends . . .

1985 2005

•Employees at local steel company 4,500 1,200

•U.S. Mfg. employees as % of total 16% 11%

•U.S. share of global mfg. 20% 22%

•Total U.S. GDP - $Bil 4,500 12,500

•U.S. Mfg. GDP - $Bil 900 1,900

Manufacturing is alive and well . . .


Carpenter Technology develops, manufactures and distributes high-performance specialty alloys to meet the challenges of advancing technologies. (NYSE:CRS)


A Global Presence

• About 50 manufacturing, sales and distribution facilities on four continents

• in 18 different time zones• in more than a dozen languages• in which more than 10% of our

employees work outside the U.S.

More Than a Steel Company

Since the early 1990s, Carpenter has grown from a U.S. specialty steel producer to a specialty materials producer with a global reach.

Confidential© 2011 CRS Holdings, Inc. All rights reserved 8© 2011 CRS Holdings, Inc. All rights reserved

Carpenter Technology

Core Values

• Drive world-class innovation for diverse applications

• Enable customer success in demanding applications

• Loyalty, integrity, respect, dignity, work ethic and professionalism guide our actions

• Dedication, pride in craftsmanship, quality and service shine through in all we do

• Positive force in our community

Aspiration

Become the most

profitable, most

global and most

respected company

in specialty metals


A Diverse Product Catalog

• High-strength steels• Superior corrosion-

resistant alloys• High temperature

alloys• Titanium alloys• Stainless steels• Tool and die steels• other specialty and

custom grades


Carpenter is All Around Youin These Major Global Markets

• Aerospace• Energy• Automotive

• Medical• Consumer Products• Industrial• Defense


Carpenter Sales FY 2010

0

20

40

60

80

100%

Market

Energy 7

Industrial 23

Aerospace 43

Medical 9

Consumer 10

Automotive 8

Geography

Asia Pacific 7

Europe 16

USA 68

Canada 3Mexico 5

Product Class

StainlessSteels 33

Special Alloys 53

Ti Products 9

Other 1 Other 1

Tools/Other Steels 3


FASTENERS (Airframe/Pylon)

STRUCTURAL/ OTHER COMPONENTS Flaptrack / Slat Track Components

Landing Gear

ENGINE COMPONENTS

Engineered Materials For Aerospace$604 Million

42% of Revenues CY2010

Avionics / APU

© 2011 CRS Holdings, Inc. All rights reserved


FRACTURE FIXATION

HIP AND KNEE

REPLACEMENTS

VASCULAR DEVICES (stents)

ARTIFICIAL DISCS AND SPINAL

FIXATION

SURGICAL NEEDLES AND

STAPLES

DENTAL INSTRUMENTS

AND IMPLANTS

Arterial Stent

Engineered Materials For Medical Applications

Steady Market Growth and Share Gain in Higher Value Products



Diversifying Energy Applications

Oil & Gas– Non Mag drill collars– Wireline/slick line– Completions

Power Generation– Gas turbines– Nuclear

Completions

Non-Mag collars

Wireline/ Slickline

Nuclear Primary Circuit

Gas Turbine Disc

11 Additional Applications in Development


Key Applications - Defense

Existing Applications Applications in Development

M-1 Abrams engine components

Missile Systems

Lighter – Faster - Stronger


Key Applications - Consumer

Existing Applications Applications in Development

Specialty SportingGoods

Cutting Blades

Tubularsand Face cages


World Class Modeling Drives Efficiency• Computational design used in new product development• Increases speed to market and reduces manufacturing costs

1840

1800

1400

1300

1200

1100

1750

1700

radial distance (r/R)

height(z/R)

0 1

0

0.5

1

1.5

2

2.5

3

3.5

electrode

TL

Ts

1100

1200

1300

1400

1500

1600

1700

1800

1900

2000

2100

TE

MP

ER

AT

UR

E_K

EL

VIN

0 2 4 6 8 10 12 14 16 18 20

10-3

MASS_FRACTION N

THERMO-CALC (2009.07.17:14.15) : DATABASE:TCFE6 W(CR)=0.2496, W(NI)=7.64E-2, W(MO)=4.1E-2, W(MN)=8E-3, W(CO)=2.7E-3, W(SI)=4.9E-3, P=1E5, N=1;

1

1:*CHI_A12

1

2

2:*SIGMA

22

3

3:*HCP_A3#2

3

34

4:*LIQUID

4

4

5

5:*FCC_A1#1

5 5

6

6:*BCC_A2

6

6

4

6

3

3

6

6

2

46 66

2009-07-17 14:15:05.49 output by user u26004 from DTHWKLDF1

Drawing

ForgingESR MeltingAlloy Design

State of the art simulation tools for process and alloy development create competitive advantage



Powder technology targeting the energy market. Market size >$100M

Storage racks for spent nuclear fuel

HIGHLIGHTS

• New alloy has neutron absorbing capability superior to current alloys

• The alloy will affect a net cost savings by increasing the life of wet storage racks for nuclear fuel to more than 60 years

Powder Technology Applications

Near net shapes

HIGHLIGHTS

•Metal powders and hot isostatic pressing (HIP) can provide large near-net shapes (NNS) with weight > 20 tons

•NNS can replace forgings and castings as a manufacturing process for producing components required in power generation, oil & gas


Specialty Alloys

Main plant headquarters in Reading, PA since 1889

• Manufactures long-product specialty metals in a wide range of shapes, sizes and finishes


Focus on Establishing a Broad Footprint

Production Locations

• Carpenter Technology Corporation (Reading, PA)

• Talley Metals Technology Inc. (Hartsville, SC)

• Shalmet Corporation (Orwigsburg, PA; Elyria, OH)

• Dynamet Inc. (Washington, PA; Clearwater, FL)

• Carpenter Powder Products (Bridgeville, PA; Woonsocket, RI; Torshalla, Sweden)

• Carpenter Specialty Wire Products (Orangeburg, SC)

• Amega West Services (Tyler, Texas)

Production

Distribution

Production

Distribution & Sales



Workforce of the Future . . .

Then Now

Company Loyalty Mobile

Security Growth / Diversity

HS/BS/MS MS/PhD/Special

Move Locations Selective

Job #1 Multi-Faceted


Leaders of the Future . . .

• International experience desired / required

• Science and Technology experience

• Multi-cultural / multi-lingual

• Change is normal!


Relocation Future . . .

• Third party provider

• Current Home: Future Home: - Marketing - Find it

- Selling transaction - Fill it - Family guidance - Zero family hassles

• Speed, full service, positive interaction

• High potential clients – sophisticated, future company leaders

• 80% of all international relos “touch” the U.S.


. . . “Life, Liberty and the Pursuit of Happiness”

Declaration of IndependenceJuly 4, 1776


“Pursuit of Happiness . . . “

H - Honesty, Integrity




A - Attitude




A - Attitude

P - Pride - “Sign your actions”




A - Attitude


P - People - Build relationships




A - Attitude


P - People - Build relationships

Y - You - You make the choices . . .

Documents

© 2011 CRS Holdings, Inc. All rights reserved Confidential Where Do We Go From Here? May 4, 2011 Mark S. Kamon VP International / Dynamet / CPP Carpenter