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  • ACT RESEARCH

    March 24, 2015

    Spring Seminar

  • John WalshVice President

    Mack Trucks Marketing

  • | ACT Research Spring Seminar 2015 March 24, 2015

    Mack Trucks

    Founded in 1900 by the Mack Brothers in Brooklyn, New York

    Committed to durability, reliability, application excellence and total cost of ownership

    Full range of vocational & highway Class 8 trucks, all built in the U.S.A.

    Pioneers of integration

    3

  • | ACT Research Spring Seminar 2015 March 24, 2015

    Mack Trucks

    Component integration knowledge for last 115 years

    430+ dealer locations in U.S. and Canada

    Strong e-commerce platform connecting our customer to Mack

    Industry-leading telematics integration

    4

  • | ACT Research Spring Seminar 2015 March 24, 2015

    Industry Outlook

    Anticipating a near-record 2015 U.S. market:

    Expect North American Class 8 industry retail sales of 310,000

    Continued growth in vocational applications as well as TL

    Strong demand will pressure supply chain

    Continued focus on integration

    5

  • | ACT Research Spring Seminar 2015 March 24, 2015

    Key Concerns Highway Customers

    Traffic congestion

    Driver shortages

    Asset utilization / productivity

    Dealer & OEM support

    Cost of ownership: reliability, fuel, maintenance, etc.

    6

  • | ACT Research Spring Seminar 2015 March 24, 2015

    Key Concerns Vocational Customers

    Reliability and durability

    Dealer and OEM support

    Asset utilization / productivity

    Integration of chassis and body

    Cost of ownership: fuel, maintenance, etc.

    7

  • | ACT Research Spring Seminar 2015 March 24, 2015

    Focus on Integration

    Why integration?

    Addresses concerns today and tomorrow

    Optimizes communication among powertrain components

    Improved design to meet specific applications

    Increases fuel efficiency, reliability

    Enables improved analytics for maintenance and uptime

    8

  • | ACT Research Spring Seminar 2015 March 24, 2015

    Mack MP Series engines

    More power, less fuel MP8 505C+

    Only about 15 percent of 15-liter

    engines sold offer more power than

    MP8 505C+

    Mack Integration Powertrain Development

    9

    Mack mDRIVE and mDRIVE HD

    Boosts efficiency, driver comfort,

    safety

    The enabling component for Super

    Econodyne solution

  • | ACT Research Spring Seminar 2015 March 24, 2015

    Mack Integration Customer Support

    People

    Factory-trained and certified technicians

    Staffed for Uptime and communication with customer

    Ability to analyze equipment before breakdown

    Provide guidance on maintenance and future truck components

    Innovation

    On-Board Diagnostic tools

    Connectivity of major components and operating events

    Ongoing analysis of vehicle data for improved performance

    10

  • David PardueVice President Aftermarket Business Development

    Mack Trucks North America

  • | ACT Research Spring Seminar 2015 March 24, 2015

    Mack Integration Connectivity

    ASIST

    Mack GuardDog Connect

    Uptime Center - 24/7 support backed by the right blend of

    people and technology

    Mack Fleet Management Services

    12

  • | ACT Research Spring Seminar 2015 March 24, 2015

    Body Builder Integration & Connectivity

    GuardDog Connect now standard on TerraPro concrete pumpers

    First proactive support service in the industry for pumpers

    Simplifies service needs in this demanding application

    Includes specialized body builder support

    Dedicated pumper support hotline

    13

  • | ACT Research Spring Seminar 2015 March 24, 2015

    The Future of Connectivity

    Connected vehicle and

    managing your fleet

    Independent

    systems and data

    14

  • | ACT Research Spring Seminar 2015 March 24, 2015

    Turning Data into Operating Results

    Our customers require reliable, real-time connectivity to their trucks in order to better manage their business.

    Mack investments in support of our customers

    15

    Integrated hardware

    Robust cloud-based data integration

    Choice in service providers

    Defined costs

    Driver and fleet efficiency

    Shorter diagnostic and repair times

    Geo-fence

    BYOD

  • | ACT Research Spring Seminar 2015 March 24, 2015

    Example: Cargomatic

    Volvo Group Venture Capital working with Cargomatic

    Technology platform connecting shippers with drivers who have available capacity

    Shippers know who has capacity, how quickly they can deliver and at what price

    More efficient process for moving goods

    Fills under-utilized capacity

    16

  • | ACT Research Spring Seminar 2015 March 24, 2015

    By 2020 (or sooner)

    Future interaction with Mack dealers

    Vehicles self-evaluate

    Trucks repaired remotely via wireless updates

    Older vehicles diagnosed with physical tool and updates sent remotely

    Wireless Workshops quick download

    Further reduction in diagnostic and repair time

    Truck communicates issue and repair

    17

  • | ACT Research Spring Seminar 2015 March 24, 2015

    By 2020 (or sooner)

    Remote changes to vehicles

    Update vehicle parameters (speed limiter)

    Adjust for legislation (ex. fuel tax)

    Predictive vehicle analytics

    Increased driver and fleet efficiency

    Manage driver information & performance

    Deliver real-time road conditions

    18

  • | ACT Research Spring Seminar 2015 March 24, 2015

    Summary

    Integration is key to improving vehicle productivity and uptime

    Integration is going beyond truck components and moving toward a connected vehicle society

    Vehicle data will drive enhancements to truck reliability and improvements in vehicle maintenance

    Truck diagnostic and software repair will be managed remotely limiting unplanned downtime

    Vehicle support will require People + Innovation

    Mack is well positioned to lead the integration movement

    19

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