First Quarter 2015 BMV: RASSINI. April 24,

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1 First Quarter 2015 April 24, 2015 BMV: RASSINI

2 First Quarter 2015 Highlights Net revenue increased 6.8% year-over-year to $3,207 million Mexican pesos. EBITDA grew 35.1% to $537.0 million Mexican pesos, with an EBITDA margin of 17%. Net income before taxes and minority interest increased 22.5% year-over-year to $297.8 million Mexican pesos. Net Debt/annualized EBITDA ratio as of 1 st Q 15 was 1.0x. EBITDA/Net Interest Expense ratio as of 1 st Q 15 was 8.5x. 2

3 Operational and Industry Update

4 US Light Vehicle SAAR Annual average March Industry Snapshot Million units NAFTA Light Vehicle Market Condition % % % 18.3 Country USA CAN MEX NAFTA Actual IHS Forecast / Mar'15 8 J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M Light Vehicle Production Passenger Cars Light Trucks 2% stQ14 1stQ15 SAAR reached 17.0 million units during March 2015 Production in North America is expected to reach 17.4 million units in 2015 according to the experts from IHS March inventories closed at a level of 58 days supply, two days down a year ago and close to the industry ideal of 60 days supply. Source: March 15 4

5 Strategic Execution to Capitalize on Market Demand and Opportunities Rassini was awarded with new contracts in North America that will generate additional sales for more than $6,600 million Pesos Rassini installs its second manufacturing plant in the U.S. to machine brake rotors in Michigan, U.S.A. Rassini invests to increase its foundry capacity in Puebla, Mexico with a flawless execution Rassini starts the machining expansion for AUDI operations

6 Business Model Focused on Free Cash Flow Generation 7 Highly trained and experienced top notch human talent with a can do attitude Continued investment in Research & Development (focus on product innovation and technology) 1 6 Close relationships with OEMs tailoring their technology needs Profitability and FCF generation 2 Production facilities located in strategic locations (serving customers JIT inventory management) 5 Competitive cost structure based on operational efficiency, lean manufacturing and tight control in all areas Operational flexibility (operation maintained with low level of fixed costs) Quality, production controls and product engineering processes 4 3 6

7 Consolidated Financial Highlights MxP/USD 1stQ'14 1stQ'15 End Average

8 Consolidated Sales and EBITDA Millions of Pesos Sales EBITDA 11,900 9,353 9,392 10,362 CAGR 09-'14 Sales 17% EBITDA 26% 7,621 1,058 1,178 1,203 1,343 1,568 3,001 3, J-M '14 J-M '15 8

9 YTD Sales and EBITDA by Region Millions of Pesos Sales 1stQ14 1stQ15 Actual dist. Sales NAFTA 86% Brazil 14% Consolidated 100% 3,001 3,207 2,305 2,745 (34%) 7% 19% Consolidated Rassini Nafta Brazil EBITDA Actual dist. EBITDA NAFTA 96% Brazil 4% Consolidated 100% (60%) 35% 50% Consolidated Rassini Nafta Brazil 9

10 Consolidated Sales Breakdown Millions of Pesos Sales by Product and Region Jan-Mar Jan-Mar 2014 % 2015 % Leaf Springs (1) 1, , Coil Springs NAFTA Subtotal 1, , Brakes (1) Trailers Brazil 2% Aftermarket 3% Sales distribution by customer Other 8% European OEMs 6% Asian OEMs 8% US OEMs 74% TOTAL 2, , Leaf Springs (1) BRAZIL Coil Springs TOTAL OEM: Original Equipment Manufacturer CONSOLIDATED SALES 3, , (1) Includes elimination of intercompany transactions 10

11 Consolidated Income Statement Millions of Pesos Consolidated Jan-Mar Jan-Mar % Var Income Statement /14 Net Sales 3, , Cost of sales 2, ,483.5 (2) Gross Profit % of sales SG&A (3) EBITDA % of sales Depreciation (52) Interest & other financial charges Other expenses (1.6) 45.8 Income before Taxes & Minority Int Taxes & Deferred Taxes (2) Minority Interest (0.9) (19.5) Net Income

12 Consolidated Cash Flow Millions of Pesos Consolidated Jan-Mar Jan-Mar % Var Cash Flow /14 EBITDA Working Capital and Taxes (261.0) (272.8) Net operating cash flow Interest expense (37.0) (60.9) Cash flow after int. expense Capex (88.7) (114.2) Cash flow available for debt service Financing & Amortization Debt (30.5) (82.2) Other (107.1) (46.7) Beginning cash balance Ending cash balance

13 Consolidated Debt Millions of US dollars As of End of March 2015 Short Term Current Portion LTD Long Term Total Suspension Division NA Brakes Division Suspension Division Brazil Cash balance Mar 15 = US$53 mill. Net Debt Mar 15 = US$141 mill. TOTAL Long Term Debt Amortization Profile US$ Million Suspension Division NA Brakes Division Note: Debt profile does not include working capital financings and Brazil 13

14 Financial Ratios by Region (Times) Net debt / EBITDA 1stQ14 1stQ15 37% 1.5 (29%) Consolidated Rassini Nafta Brazil EBITDA / Net interest 105% 44% 21.8 (69%) Consolidated Rassini Nafta Brazil 14

15 Appendix BMV: RASSINI

16 What defines Rassini World s largest producer of suspension components for light commercial vehicles Largest fully integrated brake disc producer in the Americas Absolute Leader in technology and market share designing and producing suspension components and high performance brake rotors. Proven and reliable supplier with more than 85 years in the automotive industry. Within the Top 100 North American suppliers by Automotive News. Recognized year after year for our operational excellence. 16

17 Our Products 17

18 Our Presence Flint, MI, USA Plymouth, MI, USA Montpelier, OH, USA Coahuila, Mexico NORTH AMERICA Coahuila, Mexico Leaf Springs and Coil Springs NORTH AMERICA Ohio, U.S.A Coil Springs Michigan, U.S.A. Sales, engineering, research and development Flint, U.S.A. Brakes Queretaro, Mexico Ecatepec, Mexico Puebla, Mexico Xalostoc, Mexico Leaf Springs Queretaro, Mexico Elastomers and Bushing assemblies San Martin Texmelucan, Puebla Brakes Mexico City Headquarters Rio de Janeiro, Brazil Sao Paulo, Brazil SOUTH AMERICA Sao Paulo, Brazil Leaf Springs and Coil Springs Rio de Janeiro, Brazil Leaf Springs Resende, Brazil Distribution Center Resende, Brazil 18

19 Thank you Francisco Freyre Juan Pablo Sánchez Assistant VP Inv. Rel. and Finance Finance VP BMV: RASSINI

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