RATHI EUROPE GMBH. Firmenpräsentation

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1 RATHI EUROPE GMBH Firmenpräsentation

2 PRODUCTPROGRAM

3 Additional products to Rathi SAMIFLEX COUPLINGS TORQUE LIMITER

4 SALES AND SERVICE TERRITORY Germany Netherlands France Scandinavia Swiss Russia Balkan North Africa Midle East Great Britain Austria Poland Italy Spain, Portugal

5 OEM VERTICALS PUMPS, FANS, COMPRESSOR Targets: KSB Grundfos Flowserve Wilo Colfax Group SPX MATERIAL HANDLING SEW FLS WEIR Metso Cargotec Moventas / Santasalo Sulzer

6 DISTRIBUTION SMALL OEM AND RESELLER BUSINESS ENDUSER

7 DISTRIBUTION SMALL OEM AND RESELLER BUSINESS ENDUSER Rathi Europe works in areas outside Germany with distributors who are covering the market in a limited territory. The distribution needs to be able and motivated to sell the products in the area in which they are already working. To avoid confusion in the market it is our wish that a distributor will not work outside the agreed area. We should not sell to each company when we have a suitable distributor covering his area. We expect: active sales, small machining capacity to make bores and key. Technical service capability. Product and market knowledge. Stock of regular needed products. Without above they are resellers and will not get protection.

8 DISTRIBUTION SMALL OEM AND RESELLER BUSINESS ENDUSER Enquiries from enduser or small resellers will be handled through distribution. If the enquiry comes from an area which is not covered by a distributor, Rathi Europe will sell direct, and hand over the customer when a distributor is found at a later state.

9 AGENTS Due to size of Rathi Europe we will work with agents in some areas. This agent close the gap between Rathi and the market in some countries. The agent works similar to an sales employee of Rathi, but he is self employed. He has to find distributors, works with OEM and translates quotes and enquiries. For the agents activities there is a commission payable which will need to be variable in some extend to reflect the business. A commission for a low margin customer will be in percentage lower as for an end user, but because it is repeatable business in the end more attractive.

10 AGENTS In the moment we have agents in: Great Britain: Paul Selini Russia and Baltic: Gediminas Meskauskas

11 PRICES The price structure is based on our main competitors. These are Flender, KTR, Renk, John Crane, Fenner, Rexnord, Renold The discount levels reflect the known discount schemes, and our prices are on a lower level as above companies, by app. 10 to 15% We are not trying to compete against project prices from Chinese or other manufacturer. There will be always somebody able to supply one specific coupling series cheaper. We are following the main manufacturer.

12 PRICES We have an end user / gross price list with discount scheme for each coupling series. In areas in which agents are working the max. discount is by the amount of the agents commission lower.

13 PRICES Global OEM prices We have as target to work with a global pricing for global OEM customers. Only currency and transport / customs costs will make the end price different. Global prices will be agreed with category managers of the global OEM and Rathi management. Commission for agents will be possible on this accounts if the OEM is ready to work with the agent and the agent adds value to the business. Still the percentage has to be agreed on between the agent and Rathi Management based on margins available.

14 PRICES List prices should stay valid for 1 Year Currency is Euros All European prices are ex Works Barntrup as base.

15 PRICES Distributors and existing business in Europe which exist since before the start of Rathi Europe, will be given the choice to buy from Rathi Europe or buy from India as before. Rathi India will only sell ex works Pune. If the customer needs CIF or DDU he should change to Rathi Europe because of regular shipments to Rathi Europe. It would not make sense to organize smaller shipments to various locations if they can be combined.

16 STOCK Rathi Europe will keep stock of standard pilot bored couplings and wear material. Only regular bought units will be kept on stock. The distributors are expected to carry also stock for their territory. This should start after they have established sales. Value of stock depends on their customers demand.

17 CATALOGS Rathi Europe will use existing catalogs from Rathi India but will add translated versions Translations are necessary for German, France, Russia, Italy, Instruction manuals will be made for the products following the European machine regulations

18 MARKETING Rathi will exhibit on the Hanover Fair Other fairs are not planned for Advertising in magazines is not planed for Internet presentation will be extended Direct marketing through GPT sales and agents is the key to the business.

19 TECHNICAL SUPPORT Rathi Transpower will support technical enquiries through engineering and customer service team. In 2015 we will not have a technican employed in Germany. If budget allows this will follow in 2016.

20 CUSTOMER SUPPORT AND SERVICE Rathi Europe will have with the increase of business staff members to support the customers and the material handling. Probably in April we will have to start hiring. Then we expect the first serial orders from larger customers and after the Hanover Fair we will have to cover the expected amount of enquiries.

21 PRODUCT RANGE Rathi Europe has the Rathi couplings incl. High performance couplings made by Rathi (not Bibby Turboflex) Samiflex couplings Torque limiters from Bibby, CIT, Rathi Fluid couplings Additional clutches and brakes based on OEM request from selected partners like Heid, KWD, Tschan, Rexnord.

22 FUTURE MARKETS Rathi Europe should follow the trend in the market which asks power transmission manufacturer to supply a wide range of power transmission products. There could be gear boxes, chains, bearings or other products necessary to compete against companies like Renold, Rexnord, Flender, KTR or others. We see us as a key player in a global market, with a lot of experience and market knowledge. Marine, Automotive, Construction and Agriculture OEM should be our future targets. Therefore we will need a network of partners helping where we need products which we don t have.

23 WHERE ARE OUR STRENGTHS

24 Market leader in India, many global customers Large product range for standard and special application Large engineering team for customized solutions more as 45 years experience in Industry High quality standards for design, manufacturing and service. ATEX / API / ISO certifcations Competitive prices interchangeability to existing products in the market

25 MANUFACTURING Rathi produces in India couplings to European and global specifications and norms.