FOR A GREAT DAY AT WORK

Rakennuskonepäivät 7.11.2013

Vesa Koivula

CEO & President

Cramo Plc

2

Contents

1. Cramo in brief and market outlook

2. Rental business growth drivers

3. European Rental Association

Cramo’s path from a domestic company to an

international group

1953 2005 2000

Domestic growth Start of

internationalisation

International

growth

€ 77 m

€ 54 m

Sa

les

(€

m)

Company

founded

(1953)

2011

€ 680 m

Operational

excellence

Acquisition

of Cramo

Group (2006)

Acquisition

of Theisen

Group

(2011)

3

Number of depots

09/2013: 360

Russia

Denmark

Germany Poland

Czech Republic

Austria Hungary

Slovakia

Ukraine

Belarus

Lithuania

Latvia

Estonia

Norway

Sweden

Finland

Romania

Moldova

Bulgaria

Slovenia

Croatia

Bosnia and

Herzegovina Serbia

Macedonia

Albania

Switzerlan

d

Kalinin-

grad

Today

Cramo’s market position today

• 3rd in

European

rental

market

• Presense in

14 countries

65

70

75

80

85

90

95

100

105

110

115

120

125

Jan

-03

Ap

r-0

3

Jul-

03

Oct

-03

Jan

-04

Ap

r-0

4

Jul-

04

Oct

-04

Jan

-05

Ap

r-0

5

Jul-

05

Oct

-05

Jan

-06

Ap

r-0

6

Jul-

06

Oct

-06

Jan

-07

Ap

r-0

7

Jul-

07

Oct

-07

Jan

-08

Ap

r-0

8

Jul-

08

Oct

-08

Jan

-09

Ap

r-0

9

Jul-

09

Oct

-09

Jan

-10

Ap

r-1

0

Jul-

10

Oct

-10

Jan

-11

Ap

r-1

1

Jul-

11

Oct

-11

Jan

-12

Ap

r-1

2

Jul-

12

Oct

-12

Jan

-13

Ap

r-1

3

Jul-

13

Eco

no

mic

Sen

tim

ent

Ind

icat

or

(ESI

)

Finland Sweden Germany Denmark Poland

Lead indicator: economic sentiment 2003-13 Economic sentiment improving in Sweden, Germany, Denmark and

Poland. No clear visibility yet of improving sentiment in Finland

4

Source: European Commission, October 2013

Long-term

average

Mar-09

Jan-11

-60

-40

-20

0

20

40

60

80

Jan

-03

Ap

r-0

3

Jul-

03

Oct

-03

Jan

-04

Ap

r-0

4

Jul-

04

Oct

-04

Jan

-05

Ap

r-0

5

Jul-

05

Oct

-05

Jan

-06

Ap

r-0

6

Jul-

06

Oct

-06

Jan

-07

Ap

r-0

7

Jul-

07

Oct

-07

Jan

-08

Ap

r-0

8

Jul-

08

Oct

-08

Jan

-09

Ap

r-0

9

Jul-

09

Oct

-09

Jan

-10

Ap

r-1

0

Jul-

10

Oct

-10

Jan

-11

Ap

r-1

1

Jul-

11

Oct

-11

Jan

-12

Ap

r-1

2

Jul-

12

Oct

-12

Jan

-13

Ap

r-1

3

Jul-

13

Co

nst

ruct

ion

Co

nfi

den

ce In

dic

ato

r (m

ean

-ad

just

ed)

Finland Sweden Germany Denmark Poland

Lead indicator: construction confidence 2003-13 Construction confidence improving in GER. SWE and PL most recently

upwards but still below l-t average. FIN and DEN, no improvement yet

5

Source: European Commission, October 2013

Long-term

average Jun-09

Feb-11

6

Europe shows signs of recovery in 2014 Main Cramo markets amongst most positive

Southern periphery countries also expected to turn to growth in 2014

Real GDP growth % 2013E 2014F

Finland -0,6% 1,1%

Sweden 0,9% 2,3%

Norway 1,6% 2,3%

Denmark 0,1% 1,2%

Germany 0,5% 1,4%

Poland 1,3% 2,4%

Russia 1,5% 3,0%

United Kingdom 1,4% 1,9%

France 0,2% 1,0%

Ireland 0,6% 1,8%

Spain -1,3% 0,2%

Italy -1,8% 0,7%

Portugal -1,8% 0,8%

Greece -4,2% 0,6%

Source: International Monetary Fund (IMF), World Economic Outlook, October 2013

Main Cramo

markets

European

countries

with

sovereign

debt issues

Other big

European

economies

• Policy actions have

reduced some

important tail risks in

the Eurozone and

stabilized financial

markets

• Growth is beginning to

resume. Recent

indicators suggest that

activity would stabilize

in the periphery and

recover in the core

• Main Cramo markets

projected to

experience moderate

growth in 2014

Nordic construction order backlogs 2008-Q2/2013 Q2/13 backlog was up by 3.7% from Q1/13 (+8.0% in local currency), but still

down by 0.9% year-on-year (-0.3% in local currency). Cramo’s Nordic sales

have correlated with changes in backlog with a lag of about 3-4 quarters

7

-40%

-30%

-20%

-10%

0%

10%

20%

30%

40%

50%

0

5

10

15

20

Q1

/20

08

Q2

/20

08

Q3

/20

08

Q4

/20

08

Q1

/20

09

Q2

/20

09

Q3

/20

09

Q4

/20

09

Q1

/20

10

Q2

/20

10

Q3

/20

10

Q4

/20

10

Q1

/20

11

Q2

/20

11

Q3

/20

11

Q4

/20

11

Q1

/20

12

Q2

/20

12

Q3

/20

12

Q4

/20

12

Q1

/20

13

Q2

/20

13

Ch

ange

in vo

lum

e, %

No

rdic

co

nst

ruct

ion

ord

er

bac

klo

g (E

UR

bill

ion

)

Skanska NCC YITVeidekke Lemminkäinen PeabSRV Year-on-year change in order backlog Y-o-Y change in order backlog (with constant FX rates)Year-on-year change in Cramo's Nordic total sales, R12M

8

Rental vs. construction growth: Case Finland According to statistics and estimates, rental growth clearly surpasses

construction growth over the cycle. Rental is an industrial service

business with a number of additional growth drivers to construction

Source: Construction growth rates from Euroconstruct (VTT is the Euroconstruct partner institute in Finland), June 2013.

Rental growth rates and estimates from VTT, June 2013

-6%

-4%

-2%

0%

2%

4%

6%

8%

10%

2010 2011 2012E 2013F 2014F

% c

ha

ng

e f

ro

m p

re

vio

us y

ea

r i

n r

ea

l te

rm

s

Rental market growth Construction output growth

90

95

100

105

110

115

120

2009 2010 2011 2012E 2013F 2014F

Fin

nis

h r

en

tal

an

d c

on

str

ucti

on

vo

lum

e i

nd

ex

(2

00

9=

10

0)

Rental market Construction market

-60 % -40 % -20 % 0 % 20 % 40 % 60 % 80 %

UK

Germany

Nordic region

Multinationals

All Europe

Benelux

Italy

France

Spain

9

Confidence among European rental improving Business conditions and rental activity improving notably in Q3/2013,

driven by UK, Germany and the Nordic region

Source: ERA / IRN Rental Tracker Survey June 2009 – September 2013 (International Rental News/European Rental Association)

Improving

Declining

Current rental activity & conditions in Europe Q3/13 Current regional business conditions Q3/13

Improving Declining

-80 %

-60 %

-40 %

-20 %

0 %

20 %

40 %

60 %

80 %

Q2/0

9

Q3/0

9

Q4/0

9

Q1/1

0

Q2/1

0

Q3/1

0

Q4/1

0

Q1/1

1

Q2/1

1

Q3/1

1

Q4/1

1

Q1/1

2

Q2/1

2

Q3/1

2

Q4/1

2

Q1/1

3

Q2/1

3

Q3/1

3

Current business conditions Quarterly activity year-on-year

10

Rental business growth drivers

11

Growth drivers in rental business

Increasing rental

penetration,

outsourcing

Rental-related

services

Exchange of

manpower for

machinery

Environmental

concerns, energy

efficiency and

sustainability

Renovation

construction

Demographic

changes

Rental is a

growing

industrial

services

business

1 2 3

4 5 6

12

Most European rental markets expected to grow in 2014-15 European Rental Association’s estimates from October 2013

Source: European Rental Association, The European Equipment Rental Industry 2013 Report, October 2013

4,5

%

4,5

%

4,0

%

3,8

%

3,2

%

2,7

%

2,6

%

2,3

%

2,1

%

1,7

%

1,4

%

-2,5

%

-3%

-2%

-1%

0%

1%

2%

3%

4%

5%U

nit

ed K

ingd

om

Po

lan

d

Fin

lan

d

Ge

rman

y

No

rway

Net

her

lan

ds

Swed

en

Den

mar

k

Ital

y

Bel

giu

m

Fran

ce

Spai

n

No

min

al r

enta

l gro

wth

, CA

GR

20

13

-15

13

European Rental Association

(ERA)

14

ERA is an extension to national rental associations

• Representative association of

the equipment rental sector in

Europe

• Represents over 4,700 rental

companies in Europe, either

directly or through 13 national

rental associations

• Potential to grow up to ~ 20

associations in the future

15

ERA’s key mission is to support the growth of European rental industry

THROUGH:

• Promotion of the Rental Concept

• Economic studies and their impact on decision makers from construction industry

to financial markets

• Involvement in European regulations

– in preparation and/or in revision

– in connection with the national associations

16

ERA has active, regularly meeting committees

• Promotion

– promoting the rental concept; attracting and keeping talents to the rental industry

• Statistics

– developing definitions and methodologies for statistics; increasing international cooperation

• Equipment Technology

– providing a forum for equipment manufacturers and rental companies to discuss issues of

common interest

• Sustainability

– delivering tools to communicate on resource efficiency and sustainability of rental

• National Rental Associations

– monitoring and providing input in EU policies

SUCCESS THROUGH EXPERTISE, INDUSTRY KNOWLEDGE AND COMMITMENT OF THE

MEMBERS

17

Worldwide and European Rental Markets

• GRA (USA, Europe, Canada, Brazil,

Australia and New Zealand) shares a

total rental revenue number of US$

66 billion for fiscal year 2011

• Worldwide total rental revenue

estimated in 2011 at US$ 80/85 billion

of which Europe represents around

33% to 35%

Source: The European Rental Industry 2013 Report, October 2013

CountryMarket size

(EUR billion)

United Kingdom 6,1

France 3,9

Germany 3,5

Sweden 1,5

Spain 1,4

Italy 1,4

Norway 0,9

Total Europe 23,0

MAIN RENTAL MARKETS IN EUROPE IN 2012

18

Construction Industry Penetration in 2012 0

,50

%

0,7

0 %

0,8

5 %

0,9

5 %

1,0

5 %

1,1

5 % 1,3

5 %

1,4

0 %

1,4

5 %

1,6

0 %

1,7

0 %

2,0

5 %

2,5

0 %

2,6

0 %

3,3

5 %

0,0 %

0,5 %

1,0 %

1,5 %

2,0 %

2,5 %

3,0 %

3,5 %

4,0 %

Po

lan

d

Rem

ain

ing

EU27

+ E

FTA

Ital

y

Bel

giu

m

Spai

n

Net

her

lan

ds

Ger

man

y

Tota

l Eu

rop

e

Fin

lan

d

Fran

ce

Den

mar

k

No

rway

USA

Un

ited

Kin

gdo

m

Swed

en

Co

nst

ruct

ion

ind

ust

ry p

enet

rati

on

rat

e, 2

01

2

Source: The European Rental Industry 2013 Report, October 2013

19

Thank You!