1. 1 1 © 2011 Eaton Corporation. All rights reserved. LifeSense™ Hydraulic Hose Condition Monitoring

2. 2 2 © 2011 Eaton Corporation. All rights reserved. LifeSense Technology

3. 3 3 © 2011 Eaton Corporation. All rights reserved. The Problem: Sudden Hose Failures High pressure hydraulic hose assemblies are subject to field failures. Consequences of hose failure: Safety issues Environmental concerns System downtime Collateral damage Replacement cost

4. 4 4 © 2011 Eaton Corporation. All rights reserved. The Solution: LifeSense™ Eaton’s LifeSense™ Hydraulic Hose Condition Monitoring Eaton’s new LifeSense system monitors the health of hydraulic hose assemblies. As the hose approaches the end of its useful life, LifeSense detects events occurring within the hose that have been shown to lead to failure and notifies the designated individual that the hose needs to be replaced. This notification is provided with enough time to replace the hose during planned maintenance prior to failure thus saving downtime, clean-up costs, environmental damage and potential injury.

5. 5 5 © 2011 Eaton Corporation. All rights reserved. Benefits Saved Time & Money Prevent downtime Prevent environmental clean-ups Prevent injury Prevent equipment & collateral damage Gain full useful life of each hydraulic hose 50+% longer life Planned replacement Prior to failure

6. 6 6 © 2011 Eaton Corporation. All rights reserved. Significant Results Improved Productivity Improved Reliability Identifiable maintenance costs reduction Improved Peace-of-Mind

7. 7 7 © 2011 Eaton Corporation. All rights reserved. Hydraulic Hose Replacement Cycle Current Replacement Procedures Failure based Time based Hose-life “estimating” process Future Replacement Procedure Eaton’s LifeSense™ System True condition monitoring of critical factors which cause failure Active, real-time monitoring Prevent costs of unplanned downtime and spills, injuries, etc. Maximize useful life of each hose monitored Hose Replacement Needed Replace Hose Soon

8. 8 8 © 2011 Eaton Corporation. All rights reserved. Reliability is Valuable! Spill Clean-up = $3k-$40k/incident Downtime = $500k/day Downtime = $35k-70k/hour Downtime = $78k/day @50MW plant Productivity = $7k/hour D9R rental = $225/hr. Spill Clean-up = $40k/incident

9. 9 9 © 2011 Eaton Corporation. All rights reserved. First of its Kind LifeSense Unique technology Patented by Purdue University and Eaton Corporation No competitor in the world has hose condition monitoring technology like LifeSense. Competitor “life-predicting” systems Measure system pressures and temperatures Estimate how long a hose will last Won’t catch abrasion, and other, failures Abrasion is the #1 cause of hydraulic hose failure

10. 10 © 2011 Eaton Corporation. All rights reserved. Commercialization Market introductions IFPE/CONEXPO- Las Vegas (Mar 22-26) Hannover Messe- Germany (Apr 4-8) Trial Kits available -8, -12 and -16 hose at 2SN pressures JIC swivel fittings Factory assembled Wiring and monitor

11. 11 © 2011 Eaton Corporation. All rights reserved. Press Release 3-14-11

12. 12 © 2011 Eaton Corporation. All rights reserved. Brochure Cover Theme: OK, or NOT OK Bulletin # E-HOOV-MR011-E

13. 13 © 2011 Eaton Corporation. All rights reserved. Brochure pages 2 & 3 Bulletin # E-HOOV-MR011-E

14. 14 © 2011 Eaton Corporation. All rights reserved. Eaton Invention: LifeSense TM Hose A Way to Know When a Hose will Fail Prior to Actual Failure Combining Two Eaton Technologies: 1. Sensing of an impending hose failure New designs for hose and fittings Electrical measurements detect localized condition changes Monitors the entire length of each hose assembly 2. Notification of an impending hose failure Provide advanced warning of failure to decision makers

15. 15 © 2011 Eaton Corporation. All rights reserved. Actual Impulse Results Expanded View Failure process initiated here; Advanced warning given Years and Months Hours & Minutes To Failure Months & Weeks

16. 16 © 2011 Eaton Corporation. All rights reserved. Conservative Life Time Average Life Time Based Maintenance vs. LifeSense™

17. 17 © 2011 Eaton Corporation. All rights reserved. LifeSense TM Hose Program Roadmap Mar 2011Phase 2 Trial Packages Wired Notification 08,12,16 2SN Hose Factory assembled Straight JIC Wired Notification 08,12,16 2SN Hose Factory assembled Straight JIC/ORS Wireless Notification 16 100R12 Hose Wired Notification 08,12,16 2SN Hose Factory assembled Straight JIC/ORS Wireless 12, 16, 20 100R12 Non-skive fittings All Hydraulic Hose Other hose styles Battery-free wireless All terminal ends All configurations End-user assembly Remote Monitoring Asset Tracking Phase 3Final Vision Additions by phase noted in red

18. 18 © 2011 Eaton Corporation. All rights reserved. 1) Customer Service starts RFQ including "LifeSense Trial Kit Quote Request Form" 2) CSR sends RFQ and Form to Applications Engineering 3) AE will fill in part number line items in quote and send to Pricing 4) Pricing will price and return to CSR to send to customer 5) When order is received CSR will send to ProTeam 6) All LifeSense orders will be fulfilled by ProTeam LifeSense: Quote-to-Order Process

19. 19 © 2011 Eaton Corporation. All rights reserved. Quote Request Form

20. 20 © 2011 Eaton Corporation. All rights reserved.