col fax, charlie hornbostel presentation

Colfax Global Defense Solutions

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INTRODUCINGCOLFAX CORPORATION

MSFSC Port Engineers Conference

2-4 Nov 2010


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MSFSC Port Engineers Conference2- 4 Nov 2010

COLFAX CORPORATION – NYSE: CFX

http://www.colfaxcorp.com

A global leader in the development, engineering, manufacturing, distribution, service and support

of pumping and fluid-handling systems.


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2009 revenue of $525 million

~2,000 associates

14 production facilities in 8 countries

Over 300 direct sales and marketing associates

Ten companies, six of which are located in the USA

Headquartered in Richmond, VA

Colfax is strategically focused on serving key infrastructure end markets in the fluid handling industry

2 & 3 Screw 2 & 3 Screw PumpsPumps

2 & 3 Screw 2 & 3 Screw PumpsPumps

Centrifugal Centrifugal Pumps Pumps

Centrifugal Centrifugal Pumps Pumps

Progressive Progressive Cavity PumpsCavity PumpsProgressive Progressive

Cavity PumpsCavity PumpsPrecision Gear Precision Gear

PumpsPumpsPrecision Gear Precision Gear

PumpsPumpsSpecialty Specialty

ValvesValvesSpecialty Specialty

ValvesValvesFluid Handling Fluid Handling

SystemsSystemsFluid Handling Fluid Handling

SystemsSystems

End MarketsEnd MarketsEnd MarketsEnd Markets

ProductsProductsProductsProducts

DefenseDefenseDefenseDefense GeneralGeneralIndustrialIndustrialGeneralGeneral

IndustrialIndustrialCommercial Commercial

MarineMarineCommercial Commercial

MarineMarine

Oil & GasOil & GasOil & GasOil & Gas Power Power GenerationGeneration

Power Power GenerationGeneration

Company Overview


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Strong legacy brandsLeaders in their industry

Specific pump technologies

Specific fluid handling solutions


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Derived from the proven Danaher Business System

Utilizes Voice of the Customer (“VOC”) to target breakthrough growth initiatives, new products and applications

Conducts root-cause analysis, develops process improvements and implements sustainable systems

Culture of continuous improvement

All aspects of operations and strategic planning

CBS is how we manage our business and is the key driver of our success

Colfax Business System Drives Business Improvement


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Colfax OEM’s

Offers a range of screw, centrifugal and progressive cavity pumps for a wide variety of applications with over 150 years of experience

Provides complete pump units and packaged systems to simplify installation and minimize costs

Offers API and non–API lube oil, seal oil and other specialty packaged systems

End-markets include oil & gas, chemical, petrochemical, power generation and general industrial

Offers a wide range of screw and gear pumps with a broad range of applications

End-markets include hydrocarbon and chemical processing, crude oil transport, Navy and commercial marine, power generation and general machinery

Specializes in low and medium -pressure two-screw technology

End-markets include chemical and petrochemical industry, oil & gas, power generation, refineries, marine, food, beverage and plastics

Representative ProductsDescriptionBrands


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Colfax OEM’s

Specializes in high-pressure two-screw technology

110 years of experience in engineering pumping applications for the U.S. Military and a wide range of industrial and marine customers

Specializes in a wide range of precision metering pumps

End-markets include fiber, polymer processing, adhesive, paints and food

Products include valves, actuators, components, sub-assemblies and fabrications

Major contractor for the U.S. Navy while also manufacturing products for Army Weapons systems

Specializes in a wide range of rotary positive displacement pumps

Serves a wide range of industries, including oil and gas, power generation, marine, food and beverage, steel, cement and chemical



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Colfax OEM’s

Manufactures and installs lubrication and oil purification systems featuring two patented flagship products (LubriMist and ThermoJet)

End-markets include oil and gas refineries, petrochemical plants and marine

Provides controls hardware, engineering services and project integration support for process control and machinery automation applications

End markets include navy and general industrial



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Markets & Revenue

Colfax provides deep expertise in critical applications for strategic markets


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Financial Performance Overview – 2006-2009 ($M)

Power Generation

General Industrial

Oil & Gas

Commercial Marine

Global Defense

2009 Revenue by End Market2009 Revenue by End Market2009 Revenue by End Market2009 Revenue by End Market

9%

34%14%

17%

26%


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Defense Operations Overview


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Colfax US Defense Operations

IMOKY

WRN

IMO

PV

FA

ECRC

WCRC

•Factories dedicated to DefensePortland Valve – 100%Fairmount – 100%Warren – 50%+Imo – 10%

•Repair Centers on East and West Coasts


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IMO Pump

Headquarters and main manufacturing operation is located in Monroe, North Carolina, USA, with a subsidiary operation in Columbia, Kentucky, USA

Founded in 1928

Manufactures untimed screw pumps for engine room services such as:• Lubrication service for diesel engines, gas and steam turbines, reduction

gearing, generator sets, blowers and other similar equipment• Fuel oil transfer • Fuel oil booster/service• Stripping • Burner

Fuels handled, range from heavy bunker fuels to light jet fuels

Pumps can be supplied to commercial marine standards or to full military specifications including US Navy shock, vibration and noise requirements

Canned Lube Oil Pumps

State of the Art Compact Design


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Warren Pumps

Headquarters and manufacturing facility is located in Warren, Massachusetts, USA

Founded in 1897 – Reciprocating Steam Piston Pumps

Manufactures both commercial marine and full combat ship capable centrifugal pumps for services that include:

• Fire main • Feed• Chilled water• Main condensate• Lube oil• Main sea water• Sewage• Auxiliary sea water• Brine

Composite centrifugal pump parts manufactured from Simsite are also supplied to the US Navy


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Fairmount Automation

Founded in 1996

Acquired – November 2007

Strong engineering focus• Approx 25 engineers

Control hardware

• Programmable automation controllers

• Control system software configuration

• Products installed on over 30% of U.S. Navy fleet

System development / integration

• Automated damage control (focus on fluid systems)

• SMART-valve based systems

• Machinery skids

• High-performance control

• Ship vulnerability analyses

Programmable Automation Controller

Chameleon Installation

Design Pad G3 Software Package


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Portland Valve

Headquarters and manufacturing facility is in South Portland, Maine, USA

Founded in 1973

Acquired August 2004

Products and Services• Valves

BallButterflyGateRegulatingCustom engineeredSmart

• Electric Actuators & Smart Controls

• WeldingSMAW, GMAW, GMAW-P, GTAW and silver brazing

• TestingHydrostatic testing – up to 11,000 psigFlow testing – up to 8,000 scfmElectrical testing – timing and hipotHelium leak detection


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Colfax and MSC


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COLFAX AND MSC

LEGACY PUMPS ON NAVY MSC SHIPS MSC

(IMO, WARREN)

COMMERCIAL MARINE MSC SHIPS

(IMO, WARREN, IMO AB, ALLWEILER)


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COLFAX AND MSC

AS (Submarine Tender)LCC (Command Ship)T-AE (Ammunition Ship) T-AH (Hospital Ship)

T-AKE (Dry Cargo/Ammunition Ship)T-AO (Fleet Replenishment Oiler)

T-AOE (Fast Combat Support Ship)T-ARC (Cable Repair Ship)

T-ARS (Rescue and Salvage Ship)


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COLFAX AND MSC

OILERSOILERS

T-AO - 187 HENRY J. KAISER T-AO - 198 BIG HORN

T-AO - 188 JOSHUA T HUMPHREYS T-AO - 199 TIPPECANOE

T-AO - 189 JOHN LENTHALL T-AO - 200 GUADALUPE

T-AO - 193 WALTER S. DIEHL T-AO - 201 PATUXENT

T-AO - 194 JOHN ERICSSON T-AO - 202 YUKON

T-AO - 195 LEROY GRUMMAN T-AO - 203 LARAMIE

T-AO - 196 KANAWHA T-AO - 204 RAPPAHANNOCK

T-AO - 197 PECOS

Equipment Population on this Class > 400 Imo & Warren Pumps


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OLDER SHIPS – STEAM PROPULSION

SUB TENDER ASSUB TENDER AS

COMBAT STORES T-AFSCOMBAT STORES T-AFS

AMMUNITION T-AEAMMUNITION T-AE

HOSPITAL T-AHHOSPITAL T-AH

RESCUE/SALVAGE T-ARSRESCUE/SALVAGE T-ARS

COMMAND SHIP LCC/T-AGFCOMMAND SHIP LCC/T-AGF

EQUIPMENT SUPPORTABILITY, OBSOLESENCE, EQUIPMENT SUPPORTABILITY, OBSOLESENCE, MODERNIZATION CONCERNSMODERNIZATION CONCERNS


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Defense Service & Repair Centers

A Solution for Many Problems



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Problem: OEM Participation Repairs/Overhauls

• Technical expertise in the ship repair community has declined

• Need to share the technical knowledge, pass it on, use it

• Repairers lacking in engineering knowledge but have practical repair

•OEM has the engineering knowledge but some practical repair knowledge

•OEM excluded from Turn Key participation


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Solution: 2010 PD Consolidation

• Manufacturing units consolidated under one head, separated from aftermarket issues

• Administration of each operating unit consolidated into one

• Sales (new and aftermarket) consolidated into a new unit called Colfax Global Defense Solutions

•Repair Centers handle aftermarket contact with and inquiries from our customers, ie., Pumps, Parts, Service, Repairs, Overhauls


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USA Defense Aftermarket, Service & Repair

Service Center2012

WRN

IMO

PV

WCRC2008

ECRC(Norfolk)

2010

Service (Mayport)

2011

ServiceGulf2011

Manufacturing Plant Role• Major overhauls & testing • Parts Manufacture & Support to the Naval Supply Center

Repair Center Role• Repair centers independent from plants• Handle all Waterfront aftermarket for Colfax

•Turn key repairs & upgrades•West Coast location – San Diego, CA•East Coast location - Norfolk, VA•Maintain $500K field inventory

Service Center Role• Local resources & facility to support field service • Tools & equipment to support local service• Inventory for local needs• Ship Surveys

Three tiers of Aftermarket Activity

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IMO KY


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Repair Centers

East Coast Repair Center5840 Burton Station Road Suite "103" ServiceVirginia Beach, Va. 23455ECRC - Office: 757 416-7741 ECRC - Fax: 757 416-6634 West Coast Repair Center693 Marsat Court Suite "B" Sales & Service Chula Vista, Ca. 91911WCRC - Office: 619 621-5258 WCRC - Fax: 619 621-5260


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Repair Centers

Points of Contact for:Information, Pumps, Parts, Repairs, Overhauls,

Upgrades, Replacements, Turn Key Work, Tech Assists, etc.

Charlie Hornbostel – Sales Manager, ECRC

757-565-3490, [email protected]

Greg Woolman - Repair Center Manager

619-244-3523, [email protected]


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Thank You for your time and attention!

col fax, charlie hornbostel presentation

Education

wide range of screw

wide range of industrial

wide range of industries

seal oil

screw technologyendmarkets

oil purification systems

fluidhandling systems

crude oil transport