60% 40% Other Performance Materials

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2 60% 40% 2

3 Profitable growth in core businesses where we have defensible, leading market positions Disciplined M&A to add value and increase Neenah s underlying organic growth rate Capital deployment to maintain a high ROIC, strong balance sheet and attractive dividend Neenah R2000 Value Five Year Shareholder Return ( )

4 Investment in US filtration capacity supporting geographic share gains and $80 million end of curve sales (by 2021) Double-digit growth in premium packaging helping to offset pressures in fine paper market Digital transfer media acquisition providing synergies and a leading position in growing global market Footprint optimization in fine paper & packaging to increase efficiencies Steep and prolonged input cost increases temporarily outpacing selling price recovery Added impact of higher freight rates following U.S. regulatory change New filtration asset generating losses in early ramp up years; expected to turn profitable in 2019 Recent Q3 results include added planned downtime as well as operational inefficiencies 4

5 Growing and profitable performance-based markets 5

6 Leading Positions in Defensible Niche Markets High value, growing specialty markets Long customer qualifications - strong barrier Our media is a key performance driver, but a small part of product cost Broad Range of Technical Abilities Multiple technologies and chemistries Proprietary formulations & strong dark IP Leading performance and innovation Strong customer relationships with long qualification periods Innovative offerings from a global footprint Long-term joint development relationships Strong technical support and service 6

7 Consolidated global market growing ~4%, with tight capacity More demanding engines requiring higher performing filters Products include air, fuel, oil and cabin air filters for both cars and trucks/heavy duty > 80% of sales to after-market (replacement) Net Sales Organic CAGR 7% First asset in U.S. started up in 2017 after capacity in European base was consumed Global customers support expansion and looking for added choice in No. America New asset capabilities/costs best in class Five year ramp up to $80 mm EOC sales with significant profit turnaround Asia share growth a future opportunity '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 ' Global Transportation Filtration Market/Shares ~ US $1.3 billion Other Neenah H&V Ahlstrom Present in fast-growing markets including water, industrial, and beverage filters Europe NAFTA Asia RoW 7

8 Sizeable global category with media primarily used in tapes and abrasives Markets generally grow with GDP Focused on performance niches requiring downstream applications, opportunity to gain share overseas Smaller, specialty markets include labels, digital transfer, security, décor, and others Markets generally growing at GDP+ Saturating and coating know-how used to impart unique characteristics 8

9 Coldenhove a leader in digital image transfer media for clothing, sportswear, and other material European operations and dye sublimation technology complemented and expanded our digital transfer platform and customer base Provides leadership in a ~$200 million digital transfer market growing high single digits $45 million purchase price represented pre-synergy EBITDA multiple of 7.5x Added sales of $45 million with EBITDA of $6 million and immediately accretive to earnings Delivering $1-2 mm of projected annual synergies ahead of plan Neenah 28% Others 72% 9

10 34% 29% 24% 19% 14% 9% 4% $600 $550 $500 $450 $400 $350 $300 $250 5 Yr CAGR > 9%/yr $404 12% $429 $466 13% 14% $502 14% $564 13% 11% 10% LTM Q318* Net Sales Adjusted EBIT % Excluding U.S. Filtration start-up Markets growing GDP+ Share gains through performance, innovation and geographic expansion Investing organically and through M&A *Recent results challenged by filtration start up and $8 mm of temporarily unrecovered input costs Exclusive of recent results, margin gains supported by: Mix enhancement, led by profitable and faster growing filtration products Cost efficiencies and scale R&D investments driving new or improved products valued by customers 10

11 Generating high returns and cash flows while repositioning portfolio for growth 11

12 Leading Brands Creating image and leading brand equity pulls demand Proven pricing ability to recoup input costs over time Best in Class Manufacturing Capabilities Unique purpose-built assets provide fast, flexible and low cost offerings at highest quality Specialty coating, saturation, colors and textures allow creation of a unique and customized breadth of portfolio Go To Market Innovation Design and rapid prototyping, provides customers a more holistic solution and create barriers for competitors Able to replicate short lead times with outstanding service 12

13 Neenah 60% Mohawk Fine Papers 19% Others 21% Consolidated $600 million niche market of premium textured and colored papers Uses include high-end commercial printing and consumer applications Market continues to face pressures by electronic substitution Neenah is the clear market leader in both the commercial and consumer channels with our well-known brands 13

14 Beauty 49% Alcohol 29% Retail/ Other 22% Premium market growing 3-5% annually; Neenah growing at a double-digit pace Products include spirit & wine labels, premium folding board, luxury box wrap, and paper gift cards (a green alternative to plastic), and others Efficiently uses Fine Paper assets and their texture & color capabilities to provide customers with preferred products unique to their brands Neenah Design Center helping customers visualize final products more quickly and accelerate time to commercialization 14

15 Yr CAGR > 1%/yr $436 $443 $452 $455 $ % 47.0% 45.0% 43.0% 41.0% 39.0% 37.0% 35.0% 33.0% 31.0% 29.0% 27.0% 25.0% 23.0% Outperforming market with double-digit packaging growth, gains in digital and wide format categories and other initiatives, including M&A Potential for other small, consolidating acquisitions % % 16% 16% 15% 13% LTM Q318 Net Sales Adjusted EBIT % 19.0% 17.0% 15.0% 13.0% 11.0% 9.0% 7.0% 5.0% 3.0% 1.0% -1.0% -3.0% Historical mid-teen EBIT margins as brand equity supports pricing through input cost cycles Recent headwinds from combined double impact of input cost/freight increases Planned footprint and portfolio optimization efforts to increase efficiencies and profitability High return on capital and substantial cash generation available for redeployment 15

16 Consistent strategy execution to drive profitable growth Focus on Return on Capital Flexible and prudent capital structure Attractive shareholder returns 16

17 Performance-based and aligned with shareholders All employees have a component of pay that is performance-based Return on Capital Revenue Growth Majority of executive pay is performance-based (CEO = 70%) Management also required to hold a multiple of base salary in stock (4-6 times) Shareholder Return (vs. Russell 2000) Performance Share Metrics Earnings per Share 17

18 Substantial cash flows and balanced capital deployment has resulted in: Return to Shareholders $140mm Double digit earnings growth High Return on Capital Acquisitions $250mm Increasing cash returns to shareholders Value-Adding Organic Capital $150mm Strong balance sheet Market-beating shareholder returns 18

19 12.0% 10.0% 8.0% 6.0% % Annual Growth % 6% 10% Net Sales Adjusted EBIT % $840 $888 $942 $980 $1, % 27.0% 22.0% 17.0% 4.0% % 12% 13% 11% 9% 12.0% 7.0% % 2.0% % 0.0% Sales Adj. EBIT Adj. E.P.S LTM Q318 Five-year growth driven by share gains, new products, price/mix improvement and acquisitions Adjusted E.P.S. $3.21 $3.70 $4.54 $4.32 $ results reflect temporary impacts of filtration capacity ramp-up and unrecovered input costs following a period of rapid increases LTM Q318 19

20 Profitable growth leveraging asset base Disciplined organic capital spending % ROIC 13% 12% 13% 10% 10% WACC ~ 7-9% Continual focus on asset efficiency and footprint optimization Value-adding acquisitions -and divestitures of non-returning assets LTM Q318 20

21 Capital structure with significant 300 flexibility to act on future opportunities $175 million bond due 2021; 5.25% Ba3/BB Short-term debt primarily from ABL (sized at $200 million, current draw only $66 million) Strong cash generation keeping Debt to EBITDA ratio below target 2-3x range $ x $ x Debt ($ millions) $ x $ x $ x Debt/ 2 EBITDA Willing to go up to 4x Debt/EBITDA for right opportunity 0 Dec 14 Dec 15 Dec 16 Dec 17 LTM Q318 Bonds S-T Debt 0 21

22 Strong business cash flows, compounded with acquisitions Efficient assets; capital spend 3-5% of sales (maintenance spend < $20 mm) Cash tax rate < 10% as we consume prior period R&D tax credits Recent results w/filtration start up Prioritize highest return investments Organic initiatives Value-adding M&A Committed to an attractive dividend, with a five-year CAGR of ~20%/yr Authorized $25 mm/yr buyback plan Cash From Operations $95 $111 $116 $100 $ Dividends per share $1.02 $1.20 $1.32 $1.48 $ LTM Q

23 Strong track record of value-adding acquisitions Active and disciplined process with dedicated resources. Ideas come from robust network of sources Focused on growing, profitable and defensible niche markets, with bias to performance-based technical products Most targets $50 - $250 million of sales Seek strategic fit to unlock synergies Products/ End Markets Customers Technologies Geographies Strategic Touch Points 2013 Southworth (Fine Paper) 2014 Crane (Filtration) 2015 FiberMark (Packaging, Other) 2017 Hazen (Packaging) 2017 Coldenhove (Perf. Materials) 23

24 Leading positions in defensible and profitable core categories, with ROIC focus Catalysts to increase organic growth Complete US filtration ramp up Additional filtration geographic share gains Premium packaging growth Fast-growing adjacent technical product markets Strong cash flows and balance sheet provide flexibility to act on attractive opportunities Proven record of value-adding capital deployment Technical Products Technical Products Fine Paper & Packaging Premium Packaging & Fine Paper 24

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26 95 85 Neenah Stock Price (Year End ) $85 $91 $80 NP R2000 Neenah vs Russell $28 $43 $60 $

27 NP Trading Liquidity $/day millions $8.4 $8.5 $ Top 10 Shareholders (13-F) Shares 6/30/18 BlackRock Institutional Trust Company 2,2201,633 Wells Capital Mgmt 1,071,752 $6.6 $6.5 $6.4 $5.3 $5.0 $4.8 $5.0 $4.5 $4.1 $3.3 $3.5 $3.0 $2.6 $2.6 $2.3 $ $6.6 $ The Vanguard Group 992,959 Wellington Mgmt Company 924,302 Macquarie Investment Mgmt 827,972 Dimensional Fund Advisors 737,050 Aberdeen Asset Mgmt 731,379 Daruma Capital Mgmt 492,972 State Street Global Advisors 484,932 Fidelity Mgmt & Research Company 401,525 27

28 Continuing Operations $ millions LTM Q318 GAAP Operating Income $ 86.6 $ $ $ $ 55.4 Impairment loss 34.0 Acquisition/Integration/Restructuring Costs Pension/Insurance Settlement/Other (2.6) 1.8 Adjusted Operating Income $ 92.6 $ $ $ $91.2 Depreciation & Amortization Amort. Equity-Based Compensation Adjusted EBITDA $ $ $ $ $ Earnings (Loss) per Share $ 3.99 $ 3.53 $ 4.26 $ 4.68 $2.51 Impairment loss 1.49 Acquisition/Integration/Restructuring Costs (0.02) Prior Period R&D Tax Credits (1.00) (0.07) Tax Adjustment for Indefinite Reinvestment (0.24) TCJA and Other Tax Adjustments (0.08) (0.03) Pension/Insurance Settlement/Other (0.10) 0.08 Adjusted Earnings per Share $ 3.21 $ 3.70 $ 4.54 $ 4.32 $4.03 Results for year ended December 31, 2014, include integration and restructuring costs of $2.3 million, a pension plan settlement charge of $3.5 million and costs related to the early extinguishment of debt of $0.2 million. Results for the year ended December 31, 2015, include integration and restructuring costs of $6.5 million. Results for the year ended December 31, 2016, include integration and restructuring costs of $7.0 million and a pension plan settlement charge of $0.8 million. Results for the year ended December 31, 2017, include integration and restructuring costs of $1.3 million, a pension plan settlement charge of $0.6 million and Insurance Settlement of ($3.2) 28

29 Statements in this presentation which are not statements of historical fact are forwardlooking statements within the safe harbor ' provision of the Private Securities Litigation Reform Act of These forward-looking statements are based on the information available to, and the expectations and assumptions deemed reasonable by, Neenah Paper, Inc. at the time this presentation was made. Although Neenah Paper believes that the assumptions underlying such statements are reasonable, it can give no assurance that they will be attained. Factors that could cause actual results to differ materially from expectations include the risks detailed in the section Risk Factors in the Company s most recent Form 10-K and SEC filings. In addition, the company may use certain figures in this presentation that include non- GAAP financial measures as defined by SEC regulations. As required by those regulations, a reconciliation of these measures to what management believes are the most directly comparable GAAP measures would be included as an appendix to this presentation and posted on the company s web site at 29

30 Visit Our Website: Bill McCarthy VP Investor Relations and Corporate Analysis 3460 Preston Ridge Road Suite 600 Alpharetta, GA Phone: (678)