Grundfos – The orld’s Largest Pump CompanyGrundfos – The World’s Largest Pump

Company

GrundfosA Leader in Pump Technology

The Founder of Grundfos - Poul Due Jensen

• Founded Grundfos in 1945

• An inspired and visionary inventor

• A major presence in Danish industry

• Maintained a strong focus on responsibilities to society

• Maintained a strong focus on responsibilities to the environment

• Understood the value of working together

• Built the first Grundfos pump in his basement

• Formed the Poul Due Jensen Foundation

• Died at the age of 65 in 1977

BEING responsible is our foundation

THINKING ahead makes it possible

INNOVATION is the essence

Grundfos’ mission

It is our Mission --- the basis of our existence --- to successfully develop, produce, and sell high quality pumps and pumping systems worldwide, contributing to a better quality of life and a healthier environment.

The Core of Grundfos Values

Grundfos is Looking Towards the Future

Put sustainability first

Be there for a growing world

Pioneer new technologies

Our innovation intent is to put sustainability first, be there for a growing world and to pioneer new technologies. Every major concept that we launch over the next 20 – 30 years should meet all three of the challenges embraced by our innovation intent.

Grundfos Being Responsible to the EnvironmentSolar Field Supplies Energy to Our Fresno Manufacturing

Facility

• On line in December 2008

• 1,000 KW Output

• 5,100 Panels

• Supplies approx. 40% of annual demand

• Supplies approx. 60% of peak demand

An Example of Reinvestment / Innovation – A New Pump Design

Grundfos Wins the 2009 Product of the Year Innovation, and Other, Awards

• CR pump that has ANSI dimensional piping connections

• Great CR efficiencies, ease of maintenance, etc.

• Wear items are “standard CR” components

• No need to re-pipe to replace ANSI pumps

• Can normally greatly lower energy costs VS ANSI pumps

• Can most often reduce maintenance costs VS ANSI pumps

Grundfos Being Responsible to the EnvironmentA Large Portion of Grundfos Products are Recyclable

Impeller – Composite

99% Recyclable

Terminal box cover - Composite

99% Recyclable

Pump housing – Cast Iron

99% Recyclable

Screw – Stainless steel

100% Recyclable

Spring – Steel

100% Recyclable

Stator – Steel, copper, composite

90 – 99% Recyclable

BE responsible

Exceeding International Quality Standards Through ISO

• In 1993, Grundfos earned ISO 9001:2000, Quality System certification• In 1999, Grundfos earned ISO 14001:1996, Environmental Management

System certification• In 2003 Grundfos earned ISO 18001:1999, Occupational Health and

Safety Management Systems certification

• The Grundfos Quality Policy:“Grundfos will exceed our Customers’ expectations by fostering a work environment which motivates all our employees to continuously improve the quality of our products and services.”

• Grundfos has no stockholders

• Grundfos is dedicated to reinvesting its profits

in research & development

• Reinvest approx. 4.5% of gross sales

• The reinvestment is used to improve Grundfos products already on the market as well as developing new leading technology products

• Technology Centers in Denmark & the United States develop the latest and most technologically advanced products for today and the future Technology Center in Olathe, KS in 2005 Technology Center in the Silicon Valley,

CA in 2007 Technology Center in Fresno, CA in

2010

Grundfos Invests in Itself

• Founded in 1945 by Poul Due Jensen and headquartered in Bjerringbro, Denmark

• Grundfos is a privately held company o PDJ Foundation owns 85%o Due Jensen family owns 12% o Grundfos employees own 3%

• Grundfos companies are in 56 countries

• 18,900 Employees at the end of 2013

Grundfos Headquarters- Bjerringbro, Denmark

• Grundfos consists of 83 companies

o 63 Sales companieso 14 Production companieso 2 Other brandso 4 Management companieso First overseas subsidiary established

in the USA in1973

• First centrifugal pump produced in 1952

• First circulator pump introduced in 1959

• Started manufacturing motors in 1974

• PDJ Foundation formed in 1975

• Started electronics development in1985

• Produced the world’s first pump with an

integral frequency converter in 1991

Grundfos Facts

How Grundfos Goes to Market in the USA

• The Grundfos sales force is divided into several business units

• Each business unit has its own sales force & sales channels

• Grundfos primarily sells through distribution Grundfos has some direct accounts, which are primarily

OEMs

Residential Buildings Business Unit

Commercial Buildings Business Unit

Fire Business Unit

Groundwater / Irrigation Business Unit

Municipal Business Unit

Industrial Business Unit

Water Technology Business Unit

Grundfos in the USA

• Olathe, KS Locationo Technical support of “Grundfos products”o USA Marketing Departmento USA Credit Departmento NAMREG Technology Center ( R&D )

• Fresno, CA Locationo Manufacturing & assembly of “Grundfos products”o Product Engineering for “Grundfos products” o Service Department supporting “Grundfos products”o NAMREG water technology competency center

• Allentown, PA Locationo Assembly of “Grundfos products”o Service Department supporting “Grundfos products”

• Brookshire, TXo Manufacturing & assembly of “PACO products”o Product Engineering for “PACO products”o Technical support of “PACO products”o NAMREG commercial building services competency

centero Service Department supporting “PACO products”o Peerless Engineered Systems

• North American Region (NAMREG) headquarters is in Downer’s Grove, IL

• Indianapolis, INo Manufacturing & assembly of “Grundfos CM & Peerless

products”o Product Engineering for “Peerless products”o Technical support of “Peerless products”o Global fire pump & vertical turbine pump competency

center

• Aurora, IL Locationo Manufacturing & assembly of “Grundfos S / SL & YCC

products”o Product Engineering for “YCC” products”o Technical support of “YCC products”o NAMREG wastewater competency center

• Selma, ALo Manufacturing & assembly of “Peerless ANSI & LaBour

products”

• Lubbock, TXo Assembly of “Peerless products”

• Vista, CAo ENAQUA – Operates as a “stand alone company” at

presento Membrane & UV technology for water purification

Grundfos Sales Numbers

• 2012 Group sales were $4.1 Billion (2014 USD based on 2012 DKK of 22.6 Billion)o This was a 6.7% growth over 2011o Development costs were $246 Million (2014 USD based on 2012 DKK of 1.4

Billion) This 6.% of sales

• 2013 US sales were $361.9 Million

US Brands Acquired by Grundfos

• Established in 1907• Acquired by Grundfos in 2006• A well know brand in plumbing, HVAC & irrigation• North American competency center for commercial

building services

• Established in 1923• Acquired by Grundfos in 2007• A world leader in fire protection and clean fluid pumps• Global competency center for fire & vertical turbine

pumps

• Product brand history back to 1864 (Chicago, Morris & Yeomans)

• Acquired by Grundfos in 2008• Some of the world’s best known brands in wastewater

pumps• North American competency center for wastewater

Grundfos “Clean Fluid” Pumps & Products

Vertical Turbines Horizontal Split Case Deep Well Horizontal & Vertical Multi-stage Packaged Systems

End Suction Vertical In-line Dosing VFDs & Controllers Disinfection

Mixed & Axial Flow

WW Treatment Submersible Non-clog Pumps Axial & Mixed Flow Submersible Pumps

VFDs & Controllers

Solids Reduction(Grinders)

Sewer Chewer®

Vertical Suspended Wet-Pit Pumps

Pneumatic Ejectors

Packaged Lift Stations

DP, EP, Sump Pumps

Dry Pit Non-clog Pumps

Grundfos “Dirty Fluid” Pumps & Products

Circulator Pumps Pumps Primarily Used for Water Purification

Other Grundfos Pumps

In-line Pumps Immersion Pumps

Grundfos is on the Internet

www.grundfos.comwww,pacopumps.com

www.peerlesspump.com

• Information pertaining to all Grundfos brands

• Technical Information

• Electronic catalogs

• Pump sizing & selection programs

• Publications

• Distributor finder

• Training information

• More

Buy American

• Buy American Act

• American Recovery and Reinvestment Act

• A high number of Grundfos products meet the requirements of the acts

• The direct responsibility for determining whether products are manufactured in the US rests with the Recovery Act financial assistance recipient (FAR)

• Grundfos will supply the information necessary to determine whether specific Grundfos products meet the requirements