Fourth Quarter and Full Year 2017 Earnings Conference Call

Fourth Quarter and Full Year 2017 Earnings Conference Call February 9, 2018 NYSE: TEN

Agenda Fourth Quarter Highlights Segment Results Financial Overview Full Year Highlights and Outlook Brian Kesseler Chief Executive Officer Jason Hollar SVP Finance Ken Trammell Chief Financial Officer Brian Kesseler Chief Executive Officer Q&A Safe Harbor Statement / Non-GAAP Results: Please see the safe harbor statement and the tables that reconcile GAAP results with non-gaap results at the end of this presentation and in Tenneco s financial results press release, which is incorporated herein by reference. Prior period revision: Financial results for 2016 and first quarter 2017 have been revised for certain immaterial adjustments as discussed in Tenneco s Form 10-K/A for the year ended December 31, 2016 and Form 10-Q/A for the quarter ended March 31, 2017. 2

Fourth Quarter Highlights Delivered strong organic growth in Q4: Record revenue up 11%, constant currency up 7% significantly outpacing the industry in light vehicle, commercial truck and off-highway product applications Record adjusted earnings EBITDA, EBIT, net income and earnings per share Record cash flow from operations Returned $51M to shareholders Repurchased 627,000 shares for $38M Paid $13M in dividends Diversification drives performance 3

Q4 Revenue Q4 VALUE-ADD REVENUE $1.8B, up 7% * Light Vehicle Commercial Truck +4%* +24%* RECORD Outpacing flat** global LV production in all key regions In North America, Europe, South America, China and India Outpacing global production +12%** Strong volume/content growth in Europe, South America and India India ramp-up of Bharat Stage IV commercial truck regulations VA REVENUE by product application AM 16% CT 6% RP LV 23% OH 6% Q4 2017 CA LV 49% Off-Highway & Specialty +60%* Aftermarket +1%* Volumes up double digits in North America, Europe and Japan Off-highway recovering from weak industry conditions Strong growth in Europe and South America established markets Growth in China and India Lower volumes in NA VA REVENUE by product line Ride Performance + 9%* Clean Air + 5%* Outpacing industry production by 7 percentage points * In constant currency **IHS light vehicle production forecast and PSR commercial truck and bus production forecast 4

Q4 Earnings RECORD Q4 ADJUSTED EBIT $168M, UP 10% Revenue growth in light vehicle, commercial truck and off-highway product applications By region, strongest year-on-year growth in Europe and South America VA adjusted EBIT margin 9.3%, consistent with prior year RECORD ADJUSTED EPS $1.89, UP 16% Adjusted net income up 8% 2.9 million shares repurchased over last 12 months Adjusted EPS up 16% on conversion of revenue growth and share repurchases 5

Q4 Ride Performance by Segment Q4 RP VA REVENUE $696M, up 9% * North America - 1%* VA Revenue $279M LV +2%* CTOH +23%* AM -10%* Outpacing NA production down 4% New programs with Jeep and VW NVH content on new BEV platform Outpacing NA CT prod. +7% Higher volumes with Paccar, Hendrickson and Daimler Lower customer out-the-door sales Certain customers reducing inventory Early Q4 impact from weather events VA REVENUE by product application AM 31% CT 7% OH 1% Q4 2017 Light Vehicle 61% Europe and South America + 24%* VA Revenue $290M LV +26%* CTOH +21%* AM +20%* Outpacing prod: EU +6%, SA +15% Higher volumes on JLR, Ford, PSA and Monroe Intelligent Suspension New platforms with VW and Ford Europe CT growth with Volvo Truck, Scania, Paccar and Daimler South America CT recovery Strong growth in Europe +17% and South America +22% Asia Pacific + 8%* VA Revenue $127M LV +4%* AM +33%* Outpacing production of China -1%, India +7% Double digit growth in all regions Investing in emerging markets * In constant currency 6

Q4 Clean Air by Segment Q4 CA VA REVENUE $1,118M, up 5% * VA REVENUE by product application North America + 2%* VA Revenue $501M LV -2%* CTOH +50%* Outpacing NA production down 4% Strong platform mix on light trucks New platform with VW Higher medium duty commercial truck production Off-highway recovering, up over 50% with CAT and Deere AM 6% CT 4% OH 10% Q4 2017 Light Vehicle 80% Europe and South America + 13%* VA Revenue $363M Asia Pacific + 1%* VA Revenue $254M LV +6%* Growth on existing platforms and new programs with JLR and GM LV ~flat* Outpacing China production -1% Higher volumes with GM, VW and Daimler CTOH +71%* CT ramp-up in Europe with MAN and Scania South America CT recovery CTOH +18%* Ramp-up of CT Bharat Stage IV regulations across India Europe off-highway up over 50% Incremental business with Deutz Off-highway volumes up in Japan with Kubota * In constant currency 7

Q4 Results by Product Line and Segment $ Millions Ride Performance Clean Air North America Europe & SA Q4 2017 Q4 2017 Asia Pacific Total North America Europe & SA Asia Pacific Total VA Revenue $ 279 $ 290 $ 127 $ 696 $ 501 $ 363 $ 254 $ 1,118 Adj. EBIT $ 25 $ 17 $ 18 $60 $ 52 $ 34 $ 44 $ 130 Adj. EBIT as a % of VA Revenue 9.0% 5.9% 14.2% 8.6% 10.4% 9.4% 17.3% 11.6% North America Europe & SA Q4 2016 Q4 2016 Asia Pacific Total North America Europe & SA Asia Pacific Total VA revenue $ 282 $ 220 $ 111 $ 613 $ 491 $ 296 $ 240 $ 1,027 Adj. EBIT $ 30 $ 7 $ 21 $ 58 $ 52 $ 27 $ 43 $ 122 Adj. EBIT as a % of VA Revenue 10.6% 3.2% 18.9% 9.5% 10.6% 9.1% 17.9% 11.9% Key margin drivers Strong revenue growth Footprint moves in NA and China Lower NA AM vs. OE revenue Strong revenue growth Europe CTOH ramp improvement Timing of engineering recoveries Q4 YoY steel impact lower than Q3 continued progress on recovery mechanisms Please see the tables that reconcile GAAP results with non-gaap results in Tenneco s financial results press release. See slide 2 on prior period revisions. 8

Q4 Adjustments Restructuring and related expense of $20M pre-tax, or 24-cents per diluted share related to the accelerated move of our Beijing Ride Performance plant and other cost improvement initiatives Goodwill impairment charge of $11M pre-tax, or 21-cents per diluted share recorded in Europe RP and South America RP Pension settlement charges of $2M pre-tax, or 3-cents per diluted share Benefit from net tax adjustments of $11M, or 21-cents per diluted share, for adjustments to prior year estimates Tax reform charges of $15M, or 29-cents per diluted share 9

Tax Expense Reported Q4 tax expense of $29M, includes tax benefit (charge) of: $6M on restructuring $11M for tax adjustments to prior year estimates $(15)M impact from tax reform Before those Q4 items, adjusted tax expense is $31M; full year $141M Effective tax rate of 21% in the quarter; full year 24.5% Q4 and full year rate include benefit from high tech designation ruling in China and global tax planning Q4 cash tax payments $21M; full year $95M At low end of expected range Continued focus on global tax planning 10

Tax Reform Impact Tax Reform Impact on Q4 2017 Net impact of $15M charge The repatriation charge and write-down of U.S. deferred tax assets were partially offset by new foreign tax credits No expected impact on cash taxes for the next several years No expected impact on interest deductibility at least until 2022 2018 Tax Expectations We expect a full year effective tax rate between 23% to 25%, excluding China high-tech designations U.S. tax reform expected to benefit our global effective rate by about 200 bps China high-tech designation renewals would add a 100-150 bps improvement to the effective tax rate Expect cash taxes in the range of $105M to $125M Expect overall positive impact on effective tax rate from tax reform 11

Cash Flow Record cash generated from operations of $466M; full year $629M Q4 cash from operations up $215M, including additional factoring program of $107M in the quarter, taking advantage of lower cost of capital Capital expenditures of $117M in the quarter; full year $385M Q4 repurchased 627,000 shares for $38M In 2017 bought back 2.9 million shares for $169M Remaining authorization of $231M Paid $13M in dividends (Q4 $0.25/share) Full year paid $53M in dividends Board of Directors authorized Q1 dividend of $0.25/share Strong cash flow generation 12

Debt and Cash Position $ Millions December 31, 2017 2016 Total Debt $1,441 $1,384 Cash Balances 318 349 Net Debt $ 1,123 $ 1,035 Interest expense of $19M in the quarter Full year adjusted interest expense of $72M*, consistent with previous outlook * Reported interest expense of $73M, including $1M of cost related to the senior credit facility refinancing in Q2 2017. 13

Built to Outperform Proven Track Record of Growth Since 2000, Tenneco has delivered: Value-add (VA) Revenue * growth outpacing LV industry production Margin expansion of over 300 bps Double-digit annual adjusted EPS growth Tenneco Revenue (billion) Industry Production (million) 6% CAGR 6% CAGR VA Revenue (billion) Adjusted EBIT as a % of VA Revenue $6.3B $7.1B 3% CAGR 2% CAGR $4.7B $3.1B $3.8B 9.1% 9.1% Over past 10+ years, TEN outpaced industry production by 2x 6.0% 6.4% 6.6% Expect 3x outperformance through 2020 Total Revenue $ 3.5 $ 4.4 $ 5.9 $ 8.2 $ 9.3 Substrate Sales $ 0.4 $ 0.6 $ 1.2 $ 1.9 $ 2.2 Leading ROIC Performance 5-year average 22.8% Source IHS Automotive January 2018 global light vehicles * Value-add (VA) Revenue is total revenue less substrate sales. See slide 27 for further explanation. See reconciliations to U.S. GAAP at end of presentation. Built to outperform revenue growth and investment returns 14

Built to Outperform Diversified Business Profile As a % of 2017 Revenue Product Applications (VA Revenue) CTOH 11% O'Reilly 1.2% Advance 1.8% Chang an 0.9% BMW 1.4% Beijing Automotive 1.5% NAPA/Alliance 2.0% John Deere 2.0% PSA 2.1% Geely 1.2% Caterpillar 2.6% Renault/Nissan 3.4% Toyota 3.4% Other 16.6% FAW 4.3% More than 600 customers (Total Revenue) SAIC 4.3% FCA 5.0% GM 13.9% Tata /JLR 5.0% Daimler 6.3% Ford 13.2% VW Group 7.9% Aftermarket 18% Ride Performance LV 22% China 15% Europe 30% 2017 Regions (VA Revenue) Rest of AP 5% 2017 South America 4% Clean Air LV 49% North America 46% Diversified customer, product application and regional mix 15

Full Year 2017 Highlights For the full year, delivered strong organic growth: Record revenue up 8%, constant currency up 7% significantly outpacing the industry in light vehicle, commercial truck and off-highway endmarket applications Record adjusted earnings EBITDA, EBIT, net income and earnings per share Adjusted EPS $6.89, up 14% Improved effective tax rate of 24.5% vs. 26.6% last year Adjusted net income up 7% Record cash from operations, up 30% Returned $222M to shareholders Repurchased 2.9 million shares for $169M Paid $53M in dividends Adjusted EPS up 14% on revenue growth, improved tax rate and share repurchases 16

2017 Revenue RECORD 2017 VALUE-ADD REVENUE $7.1B, UP 7% * VA REVENUE by product application Light Vehicle Commercial Truck +7%* +22%* Outpacing global LV production of +2% NA LV revenue strongly levered to light truck segment** Outpacing global production +13% CT volumes up in all regions, including new business in Europe and India India ramp-up of BS IV regulations AM 18% CT 5% RP LV 22% OH 6% 2017 CA LV 49% Off-Highway & Specialty Aftermarket +21%* ~flat* Volumes up double digits in North America, Europe and Japan, incl. new business with Deutz in Europe Off-highway recovering from weak industry conditions Strength in South America; growing the customer base Europe aftermarket growth Soft North American market VA REVENUE by product line Ride Performance + 8%* Clean Air + 6%* Outpacing industry production by 5 percentage points * In constant currency **Light truck segment includes pickups, SUVs, CUVs and work vans (IHS definition) 17

Accelerating Core Growth Long-term Growth Drivers Technology-driven Growth Monroe Intelligent Suspension Noise Vibration and Harshness (NVH) Solutions Product Applications VA Revenue 12% New Market Growth China aftermarket opportunity Opportunity to add new aftermarket product category 20% 11% 18% 2017 49% 45% Content Growth Light vehicle hybridization of the fleet Tightening emissions regulations globally 22% 23% 2020 Projection Market Expansion Growth Increasing number of commercial truck and off-highway powertrains under regulation Clean Air Light Vehicle Ride Performance Light Vehicle Aftermarket Commercial Truck and Off-Highway Multiple growth drivers further diversify the business profile 18

Focused Priorities Revenue Outlook 2018 Revenue Outlook (in 2017 constant currency) Expecting organic growth of 5%, outpacing industry production by 3% Content growth in light and commercial vehicles Continued recovery in regulated off-highway regions Organic Growth 5% 2018 Assumptions Global light vehicle production +2%* Global commercial truck production about flat** Off-highway engine production for regulated regions expected up low double-digits*** Organic growth is net of OE price downs Substrates estimated at 24% - 25% of total revenue Mid-term Revenue Outlook LV Industry Production* Outperformance Organic Growth 2019 2% 4% - 6% 6% - 8% 2020 2% 3% - 5% 5% - 7% 2018 Currency Sensitivity Impact vs. 2017 Euro/USD RMB/USD Real/USD + 2.5% 1.20 0.156 0.328-1.14 0.149 0.313-2.5% 1.08 0.141 0.297 * IHS Automotive January 2018 global light vehicle production and Tenneco estimates. ** Power Systems Research (PSR) January 2018 global commercial truck and bus production and Tenneco estimates. *** Customer schedules and Tenneco estimates for off-highway engine production in North America and Europe. See slide 26 for further key assumptions related to our revenue projections. Accelerating organic growth through 2020 19

Outlook Q1 and Full Year Q1 Revenue Outlook Expect Q1 revenue to grow 5%, +3% constant currency. Outpacing flat ** light vehicle industry production by 3%. Industry outperformance driven by strong double-digit growth in commercial truck and off-highway revenues Light vehicle revenue expected in line with industry production Expect steady YOY contribution from the global aftermarket * Constant currency with 2017 ** IHS January 2018 global light vehicle production and Tenneco estimates. *** Excluding discrete tax items See slide 25 for our forecast assumptions 2018 Outlook Total revenue (organic growth)* +5% Light vehicle industry production** +2% Capital expenditures $380M to $410M Effective tax rate*** 23% to 25% Cash tax payments $105M to $125M Defined benefit expense /contributions $11M / $15M OPEB expense / contributions $13M / $9M Interest expense $75M to $80M Organic growth expected to outpace production by 3% Continued conversion on incremental revenues Increasing investments in growth advanced suspension technologies, program launches and China aftermarket growth Margins roughly in line with prior year Revenue growth outpacing industry production 20

Appendix: Industry Production YoY% Change Major Regions Q4 17 FY 17 Q1 18 FY 18 North America -4% -4% 0% 2% Europe 6% 3% 2% 2% South America 15% 20% 15% 14% China -1% 2% -4% 1% India 7% 7% 6% 7% Global LV Industry Production 0% 2% 0% 2% Global light vehicle production forecast of 2% in 2017 and 2018 Source: IHS Automotive January 2018 global light vehicle production forecast and Tenneco estimates. 21

Appendix: Pension and OPEB $ Millions Pension 2014 2015 2016 Q4 17 2017 2018E Defined Benefit Expense* $15 $15 $11 $3 $15** $11 Defined Benefit Contributions $46 $25 $38 $10 $32 $15 OPEB 2014 2015 2016 Q4 17 2017 2018E Expense $3 $8 $10 $1 $9 $13 Cash Payments $8 $9 $9 $2 $10 $9 * Does not include settlement or curtailment amounts. **Does not include contribution from unconsolidated JV. 22

Appendix: Financial Overview Q4 $ Millions, except as noted Q4 17 Q4 16** Change Total Revenue 2,391 2,155 11% Value-add Revenue Δ 1,814 1,640 11% Adjusted EBIT 168 153 10% Adjusted EBIT (% of VA Revenue) 9.3% 9.3% - Adjusted EBITDA * 227 205 11% Adjusted Net Income 97 90 8% Adjusted EPS ($) $1.89 $1.63 16% Cash Flow From Operations 466 251 86% Net Debt / Adjusted LTM EBITDA* 1.3x 1.2x 0.1x Δ Value-add Revenue is total revenue less substrate sales. * Including noncontrolling interests. See the tables that reconcile GAAP results with non-gaap results in Tenneco s financial results press release. ** Financial results for 2016 and first quarter 2017 have been revised for certain immaterial adjustments as discussed in Tenneco s Form 10-K/A for the year ended December 31, 2016 and Form 10-Q/A for the quarter ended March 31, 2017. 23

Appendix: Financial Overview FY 17 $ Millions, except as noted FY 17 FY 16** Change Total Revenue 9,274 8,599 8% Value-add Revenue Δ 7,087 6,571 8% Adjusted EBIT 647 624 4% Adjusted EBIT (% of VA Revenue) 9.1% 9.5% (40)bps Adjusted EBITDA * 868 832 4% Adjusted Net Income 365 340 7% Adjusted EPS ($) $6.89 $6.02 14% Cash Flow From Operations 629 484 30% Net Debt / Adjusted LTM EBITDA* 1.3x 1.2x 0.1x Δ Value-add Revenue is total revenue less substrate sales. * Including noncontrolling interests. See the tables that reconcile GAAP results with non-gaap results in Tenneco s financial results press release. ** Financial results for 2016 and first quarter 2017 have been revised for certain immaterial adjustments as discussed in Tenneco s Form 10-K/A for the year ended December 31, 2016 and Form 10-Q/A for the quarter ended March 31, 2017. 24

Appendix: Tenneco Projections Tenneco s revenue outlook for 2018 is as of January 2018. Revenue assumptions are based on projected customer production schedules, IHS Automotive January 2018 forecasts, Power Systems Research January 2018 forecasts and Tenneco estimates. Tenneco s revenue outlook for 2019 and 2020 is as of January 2018. Revenue assumptions are based on projected customer production schedules, IHS Automotive January 2018 forecasts, Power Systems Research January 2018 forecasts and Tenneco estimates. In addition to the information set forth on slide 14 and slides 18-20, Tenneco s revenue projections are based on the type of information set forth under Outlook in Item 7 Management s Discussion and Analysis of Financial Condition and Results of Operations as set forth in Tenneco s Annual Report on Form 10-K/A for the year ended December 31, 2016. Please see that disclosure for further information. Key additional assumptions and limitations described in that disclosure include: Revenue projections are based on original equipment manufacturers programs that have been formally awarded to the company; programs where the company is highly confident that it will be awarded business based on informal customer indications consistent with past practices; and Tenneco s status as supplier for the existing program and its relationship with the customer. Revenue projections are based on the anticipated pricing of each program over its life. Except as otherwise indicated, revenue projections assume a fixed foreign currency value. This value is used to translate foreign business to the U.S. dollar. Revenue projections are subject to increase or decrease due to changes in customer requirements, customer and consumer preferences, the number of vehicles actually produced by our customers, and pricing. Certain elements of the restructuring and related expenses, legal settlements and other unusual charges we incur from time to time cannot be forecasted accurately. In this respect, we are not able to forecast EBIT (and the related margins) on a forward-looking basis without unreasonable efforts on account of these factors and the difficulty in predicting GAAP revenues (for purposes of a margin calculation) due to variability in production rates and volatility of precious metal pricing in the substrates that we pass through to our customers. 25

Adjusted EBIT as a Percentage of Value-add Revenue Reconciliation of Non-GAAP Results $ Millions Q1 16* Q2 16* Q3 16* Q4 16* FY 16* Net sales and operating revenues $ 2,136 $ 2,212 $ 2,096 $ 2,155 $ 8,599 Less: Substrate sales 510 519 484 515 2,028 Value-add revenues (1) $ 1,626 $ 1,693 $ 1,612 $ 1,640 $ 6,571 EBIT $ 124 $ 171 $ 150 $ 71 $ 516 Adjustments (reflect non-gaap (2) measures) Restructuring and related expenses 14 5 7 10 36 Pension charges / Stock vesting - - - 72 72 Adjusted EBIT (non-gaap Financial Measures) (3) $ 138 $ 176 $ 157 $ 153 $ 624 Adjusted EBIT as % of value-add revenue (4) 8.5% 10.4% 9.7% 9.3% 9.5% (1) Tenneco presents the above reconciliation of revenues in order to reflect value-add revenues separately from substrate sales, which include precious metals pricing, which may be volatile. Substrate sales occur when, at the direction of its OE customers, Tenneco purchases catalytic converters or components thereof from suppliers, uses them in its manufacturing processes and sells them as part of the completed system. While Tenneco original equipment customers assume the risk of this volatility, it impacts reported revenue. Excluding substrate sales removes this impact. Tenneco uses this information to analyze the trend in revenues before this factor. Tenneco believes investors find this information useful in understanding period to period comparisons in the company's revenues. (2) Generally Accepted Accounting Principles. (3) Tenneco presents the above reconciliation of GAAP to non-gaap earnings measures primarily to reflect the results in a manner that allows a better understanding of the results of operational activities separate from the financial impact of decisions made for the long-term benefit of the company and other items impacting comparability between the periods. Adjustments similar to the ones reflected above have been recorded in earlier periods, and similar types of adjustments can reasonably be expected to be recorded in future periods. Using only the non-gaap earnings measures to analyze earnings would have material limitations because its calculation is based on the subjective determinations of management regarding the nature and classification of events and circumstances that investors may find material. Management compensates for these limitations by utilizing both GAAP and non-gaap earnings measures reflected above to understand and analyze the results of the business. The company believes investors find the non-gaap information helpful in understanding the ongoing performance of operations separate from items that may have a disproportionate positive or negative impact on the company s financial results in any particular period. (4) Tenneco presents adjusted EBIT as a percentage of value-add revenue to assist investors in evaluating our company s operational performance without the impact of substrate sales. * Financial results for 2016 and first quarter 2017 have been revised for certain immaterial adjustments as discussed in Tenneco s Form 10-K/A for the year ended December 31, 2016 and Form 10-Q/A for the quarter ended March 31, 2017. 26

Adjusted EBIT as a Percentage of Value-add Revenue Reconciliation of Non-GAAP Results $ Millions 2017 2015 2010 2006 2005 2000 Value-add revenue (1) $ 7,087 $ 6,293 $ 4,653 $ 3,755 $ 3,759 $ 3,127 Clean Air substrate sales $ 2,187 $ 1,888 $ 1,284 $ 927 $ 681 $ 401 Total revenue $ 9,274 $ 8,181 $ 5,937 $ 4,682 $ 4,440 $ 3,528 EBIT $ 417 $ 508 $ 281 $ 196 $ 217 $ 122 Adjustments (reflect non-gaap (2) measures) Restructuring and related expenses 72 63 19 27 12 61 Pension / post retirement charges 13 4 6 (7) - - New aftermarket customer changeover costs - - - 6 10 - Goodwill impairment 11 - - - - - Reserve for receivables from former affiliate - - - 3 - - Antitrust settlement accrual 132 - - - - - Warranty settlement 7 - - - - - Gain on sale of unconsolidated JV (5) - - - - - Other non-operational items - - - - - 4 Adjusted EBIT (non-gaap Financial Measures) (3) $ 647 $ 575 $ 306 $ 225 $ 239 $ 187 Adjusted EBIT as a % of value-add revenue (4) 9.1% 9.1% 6.6% 6.0% 6.4% 6.0% (1) Tenneco presents the above reconciliation of revenues in order to reflect value-add revenues separately from substrate sales, which include precious metals pricing, which may be volatile. Substrate sales occur when, at the direction of its OE customers, Tenneco purchases catalytic converters or components thereof from suppliers, uses them in its manufacturing processes and sells them as part of the completed system. While Tenneco original equipment customers assume the risk of this volatility, it impacts reported revenue. Excluding substrate sales removes this impact. Tenneco uses this information to analyze the trend in revenues before this factor. Tenneco believes investors find this information useful in understanding period to period comparisons in the company's revenues. (2) Generally Accepted Accounting Principles. (3) Tenneco presents the above reconciliation of GAAP to non-gaap earnings measures primarily to reflect the results in a manner that allows a better understanding of the results of operational activities separate from the financial impact of decisions made for the long-term benefit of the company and other items impacting comparability between the periods. Adjustments similar to the ones reflected above have been recorded in earlier periods, and similar types of adjustments can reasonably be expected to be recorded in future periods. Using only the non-gaap earnings measures to analyze earnings would have material limitations because its calculation is based on the subjective determinations of management regarding the nature and classification of events and circumstances that investors may find material. Management compensates for these limitations by utilizing both GAAP and non-gaap earnings measures reflected above to understand and analyze the results of the business. The company believes investors find the non-gaap information helpful in understanding the ongoing performance of operations separate from items that may have a disproportionate positive or negative impact on the company s financial results in any particular period. (4) Tenneco presents adjusted EBIT as a percentage of value-add revenue to assist investors in evaluating our company s operational performance without the impact of substrate sales. 27

Value-add Revenue Reconciliation of Non- GAAP Results $ Millions 2017 Total revenue $ 9,274 Less: Clean Air substrate sales $ 2,187 Value-add revenue (1) $ 7,087 Clean Air light vehicle value-add revenue $ 3,446 Ride Performance light vehicle value-add revenue $ 1,580 Commercial truck & off-highway value-add revenue $ 810 Aftermarket value-add revenue $ 1,251 Value-add revenue $ 7,087 (1)Tenneco presents the above reconciliation of revenues in order to reflect value-add revenues separately from substrate sales, which include precious metals pricing, which may be volatile. Substrate sales occur when, at the direction of its OE customers, Tenneco purchases catalytic converters or components thereof from suppliers, uses them in its manufacturing processes and sells them as part of the completed system. While Tenneco original equipment customers assume the risk of this volatility, it impacts reported revenue. Excluding substrate sales removes this impact. Tenneco uses this information to analyze the trend in revenues before this factor. Tenneco believes investors find this information useful in understanding period to period comparisons in the company's revenues. 28

Adjusted Earnings Per Share Reconciliation of Non- GAAP Results 2017 2000 Earnings Per Share $ 3.91 $ (1.18) Adjustments (reflect non-gaapmeasures): Restructuring and related expenses 1.12 1.21 Antitrust settlement accrual 1.61 - Goodwill impairment 0.20 - Warranty settlement 0.09 - Gain on sale of unconsolidated JV (0.08) - Pension / post retirement charges 0.17 - Costs related to refinancing 0.02 - Tax adjustments from US tax reform 0.28 - Net tax adjustments (0.43) - Other non-operational items - 0.07 Adjusted Earnings Per Share (1) $ 6.89 $ 0.10 (1) Tenneco presents the above reconciliation of GAAP to non-gaap earnings measures primarily to reflect the results in a manner that allows a better understanding of the results of operational activities separate from the financial impact of decisions made for the long-term benefit of the company and other items impacting comparability between the periods. Adjustments similar to the ones reflected above have been recorded in earlier periods, and similar types of adjustments can reasonably be expected to be recorded in future periods. Using only the non-gaap earnings measures to analyze earnings would have material limitations because its calculation is based on the subjective determinations of management regarding the nature and classification of events and circumstances that investors may find material. Management compensates for these limitations by utilizing both GAAP and non-gaap earnings measures reflected above to understand and analyze the results of the business. The company believes investors find the non-gaap information helpful in understanding the ongoing performance of operations separate from items that may have a disproportionate positive or negative impact on the company s financial results in any particular period. 29

Return on Invested Capital Reconciliation of Non-GAAP Results $ Millions, Unaudited 2012 Dec 31 2013 Dec 31 Short-term Debt $ 113 $ 83 $ 60 $ 86 $ 90 $ 83 Long-term Debt 1,052 1,006 1,055 1,124 1,294 1,358 Redeemable Noncontrolling Interests 15 20 34 41 40 42 Tenneco Inc. Shareholders' Equity 246 432 495 425 573 686 Noncontrolling Interests 45 39 40 39 47 46 Invested Capital $ 1,471 $ 1,580 $ 1,684 $ 1,715 $ 2,044 $ 2,215 Average Invested Capital $ 1,526 $ 1,632 $ 1,700 $ 1,880 $ 2,130 EBIT $ 422 $ 489 $ 508 $ 516 $ 417 Adjustments (reflect non-gaap (1) measures) (2) Restructuring and related expenses 78 49 63 36 72 Antitrust settlement accrual - - - - 132 Goodwill impairment - - - - 11 Warranty settlement - - - - 7 Gain on sale of unconsolidated JV - - - - (5) Bad debt charge - 4 - - - Pension / post retirement charges / Stock vesting - 32 4 72 13 Adjusted EBIT (non-gaap financial measure) (2) 500 574 575 624 647 Effective Tax Rate 35.7% 33.7% 32.9% 26.6% 24.5% Tax effected Adjusted EBIT $ 321 $ 381 $ 386 $ 458 $ 488 Return on Invested Capital (ROIC) (3) (non-gaap financial measure) (2) 21.1% 23.3% 22.7% 24.4% 22.9% 2014 Dec 31 2015 Dec 31 2016 Dec 31 2017 Dec 31 5 year Average Invested Capital $ 1,785 5 years Average tax effected Adjusted EBIT 407 5 year Average ROIC 22.8% (1) Generally accepted Accounting Principles (2) Tenneco presents the above reconciliation of non-gaap results in order to allow a better understanding of our performance. (3) We consider Return on Invested Capital (ROIC) to be a meaningful indicator of our operating performance, and we evaluate ROIC because it measures how effectively we use the capital we invest in our operations. Tenneco defines ROIC as tax effected Adjusted EBIT divided by Average Invested Capital, which is the beginning and ending balances of debt, equity and noncontrolling interests. See the tabular calculation above. 30