Low Cost Titanium by Advanced Powder. Distinguishing the Current Opportunities from

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Low Cost Titanium by Advanced Powder Manufacturing Technology Distinguishing the Current Opportunities from the Wishful Thinking Titanium 2007 ITA Conference & Exhibition Oct 7-9 Orlando, FL Stanley Abkowitz Dynamet Technology, Inc., Eight A Street, Burlington, MA 01803

Overview CHIP Process (NNS) Current PM Mill Product Rapid p Turnaround Custom Alloys for Unique Applications Summary 2

PM Near Net Shape Technology, Inc.

Dynamet s Near-Net Shape (NNS) CHIP Process Technology, Inc. THE CHIP PROCESS Dynamet s powder metal CHIP process is used to produce near net shape titanium alloys and MMCs. The PM preforms can be hot worked to produce titanium MMC forgings and extrusions. 4

Ti-6Al-4V Microstructure Ti-6Al-4V 100µm 100% theoretical density 5

Ti-6Al-4V Alloy: ASTM E-8 Tensile Properties UTS (ksi) YS (ksi) El (%) Spec. Minimum 130 120 10 Typical Wrought 140 130 14 Typical PM* 140 130 14 *Dynamet Technology, Inc. CHIP Process 6

Titanium Powder Ti Powder produced from Kroll Sponge, currently commercially available with increased worldwide capacity underway Without Na & low Cl content Could also use other powders in future years, if and when they become available, useable, and prove to be of lower cost. 7

Examples of Cost Saving Technology, Inc. Production Missile Components Stinger Warhead Casing Ti-6Al-6V-2Sn CHIP 50,000 parts 50-70% Cost Savings Seeker Housing Ti-6Al-4V CHIP Process 2,000 parts Sidewinder Dome Housing Ti-6Al-4V CIP+Sinter 45,000 parts 8

Larger NNS Missile Parts Billet (130 lbs) Part (<1lb) Preform (30 lbs) Mat l Part Buy- Wt to-fly 130 < 1 lb 130 30 <1 lb 30 9

Future Aircraft NNS Parts: P/M Ti-6Al-4V Fittings CHIP Process Replacing Forging from Barstock, or Forged from a PM Preform 10

Future Automotive Parts 11

P/M Titanium Automotive Con Rod and Exhaust Valve CHIP FORGED CermeTi Cladding 99% 100% Ti-6Al-4V Core 12

PM Mill Product Technology, Inc.

Low Cost PM Billet Feedstock for Production of Casting Billet, Extrusion Billet, Forging Billet, and Plate 14

Mill Product Manufacture by PM vs Conventional Ingot Metallurgy VAR Double Melt Process Titanium Sponge Technology, Inc. Dynamet PM Process Titanium Powder Blend First Melt Second Melt Densified, Homogeneous, Alloyed Billet Densified, Homogeneous, Alloyed Billet Forging to Billet Casting Extruding Forging Raw Material Yield 66% Casting Extruding Forging Raw Material Yield 98% 15

Rapid Turnaround 16

Production Leadtimes Sidewinder Ti-6Al-4V Housings (including finish machining) Raytheon PO 5/9/06; shipped 6/1/06 /06 (4 weeks) Raytheon PO 9/21/06; shipped 11/29/06 (9 weeks) Raytheon PO 4/12/07; shipped 5/11/07 (4 weeks) Raytheon PO 7/19/07; shipped 9/12/07 (8 weeks) Stinger Ti-6Al-6V-2Sn Preforms (CHIP Process) Army Subcontractor PO- 6/30/07 Shipped 9/12/07 (~10 weeks) Ti-6Al-4V Forging Billet Boeing PO 5/17/07; shipped 7/18/07 (8 weeks) 17

Custom Alloys for Unique Applications

Improved Titanium Alloys Material UTS YS El RA (ksi) (ksi) (%) (%) CP Ti 75 60 24 46 Ti-6Al-4V 138 125 14 28 Abkolloy booy -15 132 124 27 58 Abkolloy -HS 212 196 5 24 Abkolloy is a registered trademark of Dynamet Technology, Inc. referring to titaniumtungsten alloys that are the subject of US and international patents pending. 19

Additional Ti Alloys & MMCs Titanium alloys with excellent high temperature strength Ti-W alloys and MMCs with 80-140 ksi at 1000 F (vs. Ti-64 60ksi) Titanium alloy with low modulus Ti-Ta T alloys with 11-13 13 msi modulus (vs 16-17) 17) Wear resistant titanium MMCs TiC and TiB reinforced 20

Current & Emerging Dynamet Products 21

Summary Economic Near Net Shapes Low Cost Mill Products Rapid Turnaround Custom Alloys for Unique Applications 22