PTC Corporate Update

Rosemary Astheimer

Product Manager MCAD Interoperability

October 2010

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Agenda

> We understand your challenges

> The PTC Product Development System

> Why we’re winning

> Our business strategy and results

PTC: The Product Development Company

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PTC: The Product Development Company

Passionate5,000 professionals

focused solely on

product development

solutions

InnovativeOur ability to foresee

industry needs has enabled

us to be first to market with

powerful product

development solutions

TrustedEvery year, more than 25,000

companies rely on us to help

give life to their product ideas

and to drive product

development success

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Technology Leader in Product Development

880,000active seats

Product Development System

Outgrew Industry2004-2009

PTC PLM 15.5%, PLM industry 7%*

Only integral PDS in the market

Broadcapability footprint

OOTB

Best-of-breedsolutions

Single best-selling PLM software

Winningbenchmarks and raising

the bar

Integralarchitecture

*Source: AMR Research, CIMdata, IDC and company estimates

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Committed to Helping Customers Realize Value

Identify value

Plan

Support

Optimize

AdoptValidate

Deploy

Program

governance

Customer

value

roadmap

Value

scorecard

Best

practices

Proven

delivery

model

CUSTOMER

VALUE

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Product Development Challenges

Economic

factors

IT

fragmentation

Lean product

development

IT

consolidation

Global product

development

Workforce

demographics

Web 2.0

technology

Regulatory

pressures

Compliance

management

CHALLENGES

INITIATIVES

Global

competition

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DesignPlan Concept SupportValidate ProductionOrganization

Requirements Capture and Management

Proposal Response

Manufacturing Outsourcing

Tooling Design and Manufacture

Manufacturing Process Management

Optimizing Product Development Processes is Critical

Regulatory Compliance

Portfolio Management

Quality & Reliability Management

Change and Configuration Management

Program Management

Project Management

Concept Development

System Design

Detailed Design

Verification and Validation

Design Outsourcing

Variant Design & Generation

Component and Supplier Management

Early Sourcing

Product Support Analysis & Planning

Technical Information Creation & Delivery

Performance Analysis & Feedback

Environmental Performance Management

PRODUCT DEVELOPMENT LIFECYCLE

Engineering

Management

Sales & Marketing

Sourcing

Manufacturing

Service

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Our Product Development System

DistributedCollaboration

VisualizationChange & Config. Mgmt

Workflow

Communities of Practice

Heterogeneous CAD Data Mgmt

Complete BOM Management

Product

Lifecycle

Management

Document Management

ECAD DataManagement

EnterpriseInteroperability

ERP

SAP, Oracle,

Dynamics

Business Reporting

ProductAnalytics

InSight

ServiceInformation

Arbortext

Quality, Risk & Reliability Mgt.

Relex

Component Management

Windchill PartsLink

DigitalMockup

ProductViewWindchill Supplier Management

Supplier Management

Manufacturing Process Mgmt.

Windchill MPMLink

Financials

SCM

MRP

Engineering

Calculations

Mathcad

Program Portfolio

Management

Windchill

PPMLink

Embedded

Software

Open Source,

Rational

Requirements

Management

Windchill

RequirementsLink

MCAD /

CAM / CAE

Pro/ENGINEER

and other MCAD

ECAD

Cadence,

Mentor, Zuken

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Winning in the Marketplace

Large enterprisesLargest, brand name OEMs are repeatedly choosing PTC

200+other competitive

displacement opportunities

underway!

On track to win 15 strategic, domino accounts

through FY’10

2,000 Direct

accounts

Small & medium businessesThousands of SMB’s selecting PTC

415+channelpartners

focused onSMB market

4,000+new

customers per year

80% of PTC

customer base

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PTC’s Corporate Culture

Committed

to customer

success

Customer

satisfaction

Developing the

engineers of

the future

Community

Vision,

experience,

and focus

Innovation

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Madhavi Ramesh, Product Manager, ProductViewCo-founded Visual Collaboration Technologies, Inc.

MS, Computer Science, University of Mysore, India

4 years of service at PTC

Michael Brook, DVP, Pro/ENGINEER Product GroupLeading the development of Pro/ENGINEER & interoperability

Masters of Science, EE

8.5 years of service at PTC

Lan Chen, Principal Software Engineer, QA, WindchillMS, Computer Science, Eastern Michigan University

10 years of service at PTC

Boris Kruk, Technical Fellow - Software Development, Pro/ENGINEER Core Geometry30+ years in applied mathematics, mechanical engineering and software development

PhD, ME, Moscow State University

13 years of service at PTC

Olga Shekhtman, Director, R&DBachelor’s degree in Computer Science, Northeastern University

14 years of service at PTC

Howard Rhett, Product Manager, Windchill Workgroup Managers20+ years in CAD/CAM PLM market space

BS ME, University of Massachusetts

James (Jim) Heppelmann, President & Chief Executive Officer 25 years of information technology industry experience, Co-founded Windchill Technology

BS ME, U of MN IT

12 years of service at PTC

Culture of Innovation

From our executives to our engineers – PTC’s global team has

vision, experience, and focus

575 employees

in QA

100+patents,

35 pending

1,950employees

in R&D

900service

professionals

18global

development

locations

12

8.6%

19.8%

11%

14.2%

-12.7%

8.0%

$0

$50

$100

$150

$200

$250

$300

$0

$200

$400

$600

$800

$1.000

$1.200

2004 2005 2006 2007 2008 2009 2010Guidance

Total non-GAAPoperating profit*

($ millions)

Total revenue($ millions)

Solid Business Results

% = YOY growth

*This presentation contains non-GAAP financial measures. A reconciliation between the non-GAPP measures and the comparable GAAP measures is located in the “Financial and Operating Metrics” document on the

Investor Relations page of our website at www.ptc.com.

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PTC Corporate Strategy

Grow by solving important

customer problems

Be the leader in our

target markets

Run an

efficient operation

Deliver stable & predictable

business results

Our goals:

For investors: 20% sustainable earnings growth

For customers: Competitive advantage through product development

For employees: Great place to work

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Analysts Validate PTC’s Leadership Position

“PTC endured the pain of a

five year rewrite to integrate

its software, while its

competitors have this

challenge ahead of them.”

– Needham Report, 2009

“PTC is rapidly transforming

itself from a secondary

competitor in a mature

computer-aided design (CAD)

market to the market leader in

PLM, a standalone enterprise

applications category with

excellent growth potential.”

– Longbow, 2010

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FY2010 plan Targeted growth rate FY2014

Revenue $1,000 ~ 13% CAGR $1.6B

Margin 16% ~ 1% annually 20%

EPS $1.00 ~ 20% CAGR $2.00

The Optimum Growth Balance

Attractive

Achievable Sustainable

Long-term financial targets

Superior technology

Excellent service, support

& value

Proven strategy

for growth

Committed to winning in

the market