GKN Overview and introduction 23 February 2016

2 GKN Overview Presentation 2016

GKN Aerospace

A leading first tier supplier to the

global aerospace industry.

A Tier 1 Supplier to the major OE manufacturers in Automotive, Aerospace and Land Systems markets

GKN Driveline

The world leading supplier of

automotive driveline systems

and solutions.

GKN Powder Metallurgy

One of the world’s largest

manufacturers of metal powder

and sintered components.

GKN Land Systems

A leading supplier of engineered

power management products,

systems and services.

2015 - Sales by division

Driveline (46%)

£3,548m

Aerospace (33%)

£2,500m

Land Systems (9%)

£693m

Other (0%)

£42m

All group financial data in this document relates to 2015 unless otherwise stated. Figures are presented on a management basis.

Powder Metallurgy

(12%)

£906m

Global engineering group

Sales of £7.69 billion in 2015

56,000 people in more than 30 countries

3 GKN Overview Presentation 2016

Our strategy

Creating long-term

shareholder value

Four strong

divisions

Lead in chosen markets

Leverage global footprint

Technology driving margin

Operational excellence

Increasing cash flow,

EPS and dividends

BUSINESS

PERFORMANCE

Growth target:

Above market

Group target:

8-10%

Target: 20%

Sustain above

market growth

Cash Flow

Growth

ROIC Margin

Five strategic

objectives

4 GKN Overview Presentation 2016

Key financial metrics

6%8%9%

11%

FY2011

FY2012

FY2013

FY2014

FY2015

£0m

£200m

£400m

FY2011

FY2012

FY2013

FY2014

FY2015

Sales

£7,689m

Margin

8.8% 16%

18%

20%

FY2011

FY2012

FY2013

FY2014

FY2015

ROIC

17.8%

Free Cash

Flow

£370m

Net Debt

£769m

EPS

27.8p 20p

25p

30p

FY2011

FY2012

FY2013

FY2014

FY2015

Dividend

8.7p 4p

7p

10p

FY2011

FY2012

FY2013

FY2014

FY2015

£0m

£500m

£1,000m

FY2011

FY2012

FY2013

FY2014

FY2015

PBT

£603m £400m

£550m

£700m

FY2011

FY2012

FY2013

FY2014

FY2015

Figures are presented on a management basis.

£5,000m

£6,500m

£8,000m

FY2011

FY2012

FY2013

FY2014

FY2015

5 GKN Overview Presentation 2016

Airbus 20%

UTC 13%

GE 13% Boeing

11% Snecma 6%

Honeywell 4%

Spirit 4%

Rolls-Royce 4%

Lockheed 3%

Others 22%

GKN Aerospace Sales by Customer 2015

75% Commercial

25% Military

GKN Aerospace Sales by market 2015

£1,116m (47%)

Engine components and sub-systems

£1,128m (47%)

Aerostructures

£143m (6%) Special

products

GKN Aerospace (excluding Fokker) Sales by product 2015

GKN Aerospace – at a glance

16,700 employees

62 manufacturing

locations

14 countries

Sales: £2.50bn

GKN Aerospace is a leading global tier one

supplier of airframe and engine structures, landing

gear, electrical interconnection systems,

transparencies and aftermarket services. It

supplies products and services to a wide range of

commercial and military aircraft and engine prime

contractors and other tier one suppliers.

Includes 2 months of Fokker Sales £113m

6 GKN Overview Presentation 2016

25%

20% 30%

25%

GKN Aerospace – Fokker Technologies

Airbus A350

Acquisition completed 28 October 2015

Fokker increases scale of division by c20%

Enhances GKN market leadership and positions on key growth platforms

− No.2 Aerostructures Sales

− No.3 Electrical wiring systems

− Additional content on A350 and F-35

Extends global footprint

− China, Turkey, India & Mexico

Expands technology and product capabilities

Aerostructures 45%

Electrical 20%

Services 21%

SABCA 9%

Landing Gear 5%

Sales by sub-division Revenue by customer

22%

17%

17%

16%

12%

5%

8%

Boeing

Other

Airbus

Lockheed

NHI

Bombardier Gulfstream

Dassault

3%

Revenue by end-market

Commercial Services

Military Business

Jets

7 GKN Overview Presentation 2016

GKN Aerospace – world class product portfolio

AEROSTRUCTURES ENGINE SYSTEMS SPECIAL PRODUCTS LANDING GEAR WIRING INTER-

CONNECT SYSTEMS

GLOBAL SERVICES

GLOBAL

NO. 2

GLOBAL

NO. 2

GLOBAL

NO. 1

GLOBAL

NO. 8

GLOBAL

NO. 3

GLOBAL

BRAND

Fuselage, wing, nacelle & pylon,

Inflight opening doors and empennage (tails)

Static & rotating structures

Titanium engine inlet parts

Transparencies

Ice protection systems

Flotation devices

Fuel tanks

Helicopter Landing Gear

Composite load carrying landing gear components (drag brace)

Availability Services, MRO, Conversion and Completion for Mature and Legacy aircraft

Electrical Wiring Interconnection Systems (EWIS) for aircraft & aircraft engines

8 GKN Overview Presentation 2016

GKN Aerospace portfolio

Reven

ue p

er

Air

cra

ft

Declining Stable Growing

A320

B737MAX

A350

B787

A330

A380

Black Hawk A400M

C130J

JSF

CH53-K

G650 HTF7000

F/A-18

Commercial

Military

$6-9 million

$3-6 million

$0-3 million

B777X

9 GKN Overview Presentation 2016

GKN Aerospace - summary

Key growth drivers

Commercial (75% of sales)

− Strong position on existing programmes

with increasing build rates from 2016/2017

− New programmes ramping up

production – Boeing 787, A350

Military (25% of sales)

− Ending of older military

programmes (C17, F/A-18) will

present a headwind before new

programmes ramp up (F-35)

Good technology – aim to win new positions on growth programmes

Integration of Fokker proceeding well

F-35 Joint Strike Fighter

Airbus A380

Boeing 737 MAX

Airbus A350

10 GKN Overview Presentation 2016

CVJ Systems 60%

AWD & eDrive Systems

40%

GKN Driveline Sales by product 2015

GKN Driveline – at a glance

26,300 employees

46 manufacturing

locations

23 countries

Sales: £3.55bn

GKN Driveline is the world’s leading supplier of

automotive driveline systems and solutions. As a

global business serving the leading vehicle

manufacturers, it develops, builds and supplies

an extensive range of automotive driveline

products and systems – for use in everything

from the smallest low-cost car to the most

sophisticated premium vehicle demanding

complex driving dynamics.

Fiat Chrysler,

14%

VW Group, 13%

GM Group, 11%

Ford Group, 11% Renault-

Nissan, 10%

Toyota Group, 7%

BMW, 5%

Tata, 5%

Mitubishi Group, 3%

Other, 21%

GKN Driveline Sales by customer 2015

Europe 36%

Americas 37%

Rest of World 27%

GKN Driveline Sales by region 2015

Source: IHS Automotive, February 2016

11 GKN Overview Presentation 2016

GKN Driveline - a complete driveline solution

Leadership in all major product lines

12 GKN Overview Presentation 2016

GKN Driveline – summary

Key growth drivers

CVJ – unrivalled global footprint and increasing global platforms

AWD – increased content per vehicle and broadening customer base

− China is a special market for AWD growth

Well positioned to outperform global markets - targeting 2% above

Maintain margin above 8%

13 GKN Overview Presentation 2016

GKN Powder Metallurgy – at a glance

6,600 employees

32 locations

9 countries

Sales: £906m

GKN Powder Metallurgy comprises GKN Sinter

Metals and Hoeganaes. GKN Sinter Metals is the

world’s leading manufacturer of precision automotive

sintered components as well as components for

industrial and consumer applications. Hoeganaes is

one of the world’s leading manufacturers of metal

powder, the essential raw material for powder

metallurgy.

>80% of sales to Automotive Sector

Sinter Americas 43%

Sinter Europe 33%

Sinter Rest of world

8%

Hoeganaes 16%

GKN Powder Metallurgy Sales by region 2015

Global PM Market Share

Ford 9%

GM 7%

Hilite 5%

Fiat Chrysler 4%

Linamar 3%

ZF Group 3%

Borg Warner 2%

Schaeffler 4%

VW Group 2%

Bosch 2%

Other 59%

GKN Powder Metallurgy Sales by customer 2015

GKN PM 18%

Sumitomo 9%

Hitachi PM 6%

Fine Sinter 5%

Miba 5%

Porite 4% PMG 4%

Metaldyne 4%

Schunk 3% Ames 2%

Stackpole 2%

Others 38%

14 GKN Overview Presentation 2016

Energy efficiency Renewable energy Reduced Emissions

VVT

(CAM PHASING)

START/STOP

EPS (ELECTRIC

POWER STEERING)

ALUMINIUM CARRIER

7+ SPEED TRANSMISSIONS

TRANSMISSION

GEARS

GKN Powder Metallurgy - Automotive trends driving Design for PM

VARIABLE VANE

PUMPS

Fuel efficiency Electrification Lightweight

15 GKN Overview Presentation 2016

GKN Powder Metallurgy – summary

Key growth drivers

Value of PM content per vehicle outgrowing market

− Continued market growth in Europe and North America with accelerated growth

in India and China

− Increasing penetration in industrial markets

Unique parts and powder position supports rapid exploitation of “Design

for PM”

Additive layer manufacturing / 3D printing – complementary process and

investing in high technology powders eg. alloyed tool steels, nickel based

alloys, stainless steel and titanium

Targets growth of 2% above market with continued margin expansion

16 GKN Overview Presentation 2016

Europe 76%

Americas 20%

Rest of World 4%

GKN Land Systems Sales by Region 2015

Agriculture 45%

Industrial 24%

Automotive 10%

Structures 9%

Construction & Mining

12%

GKN Land Systems Sales by market 2015

GKN Land Systems – at a glance

5,000 employees

23 locations

10 countries

Sales: £693m

GKN Land Systems is a leading supplier of power

management products and services. It designs,

manufactures and supplies products and services for

the agricultural, construction, mining and utility vehicle

markets and key industrial segments, offering

integrated powertrain solutions and complete in-

service support.

Other 62%

GKN Land Systems Sales by customer 2015

Caterpillar 4%

Claas 4%

John Deere 9%

Case New Holland 7%

Tata 6%

Agco 3%

JCB 2%

VW 1%

Toyota Group 1%

Agri-Italia/Carraro 1%

17 GKN Overview Presentation 2016

GKN Land Systems – integrated Powertrain components

PTO shafts

Gearboxes

Clutches

World no 1 global supplier of agricultural power take off

shafts and high speed primary driveshafts

A leading global supplier of clutch and brake solutions

A leading global supplier of off-highway wheels

18 GKN Overview Presentation 2016

Key growth drivers

Continued “industrialisation” of agriculture and urbanisation provide good

underlying market fundamentals

Leveraging customer relationships to increase content per vehicle

Geographic and product expansion – China and North America

Exploit Group technology and develop market leadership in electro mechanical

power management

Targeting organic growth above global market; margin currently depressed due

to weak agricultural equipment and construction markets

GKN Land Systems - summary

19 GKN Overview Presentation 2016

GKN summary

Delivering shareholder value through a balance of:

Growth in excess of the markets

Improving margins

Return on invested capital

Increasing cashflow and dividends

Additional growth through strategic,

bolt-on acquisitions - adding capability,

market position and global footprint

Well positioned to deliver sustainable growth

Growth

ROIC Margin

Cash Flow

Financial

Metrics

20 GKN Overview Presentation 2016

Disclaimer

Cautionary statement

This presentation contains forward looking statements which are made in good faith

based on the information available at the time of its approval. It is believed that the

expectations reflected in these statements are reasonable but they may be affected

by a number of risks and uncertainties that are inherent in any forward looking

statement which could cause actual results to differ materially from those currently

anticipated. Nothing in this document should be regarded as a profits forecast.