Aerospace & Electronics

Stephen M. Zimmerman, President

AGENDA

Results and Guidance

Market Overview

Growth and Investment Today

Investing for the Future

Efficient Execution

Summary

2

AEROSPACE & ELECTRONICS

3

Advancing Customer Capabilities Through Innovative,

Reliable Solutions Which Deliver Superior Performance

AEROSPACE & ELECTRONICS SOLUTIONS

4

Cabin Solutions Microwave Solutions Sensing Components & Systems

Fluid ManagementLanding Systems Electrical Power Solutions

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Aerospace

& Electronics

22%

OEM Commercial

45%

OEM Military27%

Military Aftermarket

8%

Commercial Aftermarket

20%

AEROSPACE & ELECTRONICS

• CONSISTENTLY HIGH RETURNS & MARGIN PERFORMANCE WITH DIVERSIFIED PORTFOLIO

*Excludes Special Items. Please see non-GAAP Financial Measures tables for details.Note: Charts based on 2019 actual results.

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($ Millions) 2016 2017 2018 2019 2020G

Sales 746 691 744 799 775

Operating Profit* 150 151 165 193 182

Operating Margin* 20.1% 21.8% 22.2% 24.1% 23.5%

AGENDA

Results and Guidance

Market Overview

Growth and Investment Today

Investing for the Future

Efficient Execution

Summary

6

MARKET OVERVIEW

7

44,000 AircraftNew Commercial Deliveries

2020–2038

$104B2020 DoD Research, Development,

Test & Evaluation

4.6% CAGRTraffic growth (RPK) 2020–2038

$15B IncreaseMaintenance, Repair & Overhaul 2020–2029

Commercial Defense Space

Source: Boeing Commercial Market Outlook and Department of Defense budget

Crane A&E Serves Broad & Growing Markets

CRANE A&E SERVED MARKET OVERVIEW AND OUTLOOK

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Our Value Proposition

Proprietary Technologies

Sole Source Positions

Diversified Customer Base

SpaceCrane 10-year Forecast Sales CAGR: 6%

DefenseCrane 10-year Forecast Sales CAGR: 3%

CommercialCrane 10-year Forecast Sales CAGR: 5%

AGENDA

Results and Guidance

Market Overview

Growth and Investment Today

Investing for the Future

Efficient Execution

Summary

9

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• Commercial aftermarket moderating

• Robust defense spares order book

AEROSPACE & ELECTRONICS SALES OUTLOOK

• STRONG BACKLOG AND DEFENSE PROGRAMS MODERATING IMPACT OF 737 MAX

• Commercial impact of 737 MAX return to service timeline

• Continued strength in defense spending

OEM

Aftermarket

Segment Sales 2018 2019 2020G

Commercial 3% 5% (8%)

Defense 10% 12% 6%

Total OEM 7% 7% (3%)

Segment Sales 2018 2019 2020G

Commercial 12% 7% (7)%

Defense 3% 17% 15%

Total Aftermarket 10% 10% -

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LONG TERM GROWTH – BALANCED PORTFOLIO

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Pursuing New Growth Horizons &Inorganic Opportunities

Solid Legacy Business

High Volume Production & New Development

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LONG TERM GROWTH – SOLID LEGACY BUSINESS

• LIFE-OF-PLATFORM PRODUCTS AND SERVICES»

Spares & RepairsMature Programs Aftermarket Support

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LONG TERM GROWTH – HIGH VOLUME PRODUCTION

• TOTAL FIRM RECORD BACKLOG STANDS AT MORE THAN $570M

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A320neo 737 MAXF-35

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LONG TERM GROWTH – NEW DEVELOPMENT

• HIGH RELIABILITY EQUIPMENT FOR MISSION CRITICAL APPLICATIONS

14

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AGENDA

Results and Guidance

Market Overview

Growth and Investment Today

Investing for the Future

Efficient Execution

Summary

15

TOP LINE GROWTH – STRATEGY DEPLOYMENT PROCESS

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Target Platforms

• New Commercial Aircraft

• Next Generation Defense Systems

• More Electric Aircraft

TOP LINE GROWTH – STRATEGY DEPLOYMENT PROCESS

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Technology

• Wireless Technology

• High Power Electrification

• Accessible Space

2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029

Executing

Facility Expansionfor Growth

8%Forecasted Sales CAGR

Next 10 Years

60K Sq FtAdditional World-class Manufacturing

ELYRIA SITE EXPANSION

18

Annual Sales

FORT WALTON BEACH – HIGH POWER LAB

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Significant Capability Increase

200 kW to > 1.5 MW

10,000 Sq Ft High Tech Infrastructure

+85%

16 Additional Design

Engineering Experts

$85M of New Product

Introductions in Next 5 Yrs

Northrop Grumman

HEMTT Program

Raytheon LTAMDS

2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029

LYNNWOOD FUEL FLOW TEST AND RESEARCH FACILITY

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Best In Class Research & Technology Capability

11%Sales CAGR

12,000 Sq Ft“State of the Art” Fuel Test Capability

Customer-Preferred

Fuel Flow

Transmitters

Annual Sales

AGENDA

Results and Guidance

Market Overview

Growth and Investment Today

Investing for the Future

Efficient Execution

Summary

21

LYNNWOOD / REDMOND CONSOLIDATION COMPLETE

22

Increased Efficiency Via Integration of Departments

10,000Sq Ft

Manufacturing Space Freed-up

222 Associates Relocated

60,000Sq Ft

Office SpaceRemodeled

$3M in Annualized

Savings

BUSINESS EFFICIENCIES SINCE 2015

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Training & Development155,000 Hours

Facility Reduction

12 to 8

Process Improvement

408 Kaizens

Sales / Sq Ft27% Increase

Sales / Employee

20% Increase

CONTINUOUS IMPROVEMENT – “PRESIDENT’S KAIZENS”

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Crane Co. Kaizens~600 in 2019

Fuel Flow Transducer Machining

25% Reduction in Lead-time

On the Job TrainingA&E Wide Training Procedures

Automated Test Equipment Sustainability Strategy

Maintenance and Development Cost Reduction

A&E 2019 President’s Kaizens:

BUSINESS EFFICIENCY – 3D PRINTED CASTING CORE

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42 → 8Casting Pattern Reduction

81% ReductionProduct Lead Time

23% ReductionPart Cost

86% ImprovementCost of Poor Quality

AGENDA

Results and Guidance

Market Overview

Growth and Investment Today

Investing for the Future

Efficient Execution

Summary

26

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VISIBILITY TO LONG-TERM SALES GROWTH

• OUR PLATFORM POSITIONS, TECHNOLOGY INVESTMENTS, CUSTOMER FOCUS, AND MARKET

FUNDAMENTALS ARE DRIVING LONG-TERM GROWTH MEETING OUR 3%-5% COMMITMENT

$500

$600

$700

$800

$900

$1,000

$1,100

$1,200

$1,300

2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029

Actuals 3% CAGR 5% CAGR

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$ Millions

27

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SUMMARY

• WELL POSITIONED FOR CONTINUED PROFITABILITY & LONG-TERM GROWTH

Outstanding Technology in a Growing Market1

Program Wins & New Pursuits Driving Continued Growth2

Well Positioned for New Technology Insertion Opportunities3

Vigilant In Execution & Profitability4

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AEROSPACE & ELECTRONICS

29

CraneAE.com

INNOVATIVE | TRUSTED | COLLABORATIVE

» www.craneco.com