Vp CI Packaging Solutions Vp CI Metalworking Products

Vp. CI™ Packaging Solutions Vp. CI Metalworking Products World Sales Meeting 2009

Product Line Update • Fastest Growing Chemical Market! • New Applications: – Machining – Steel Industry – Rust Prevention • New Technologies – Biobased products • Integrated Solutions Approach

Vp. CI Metalworking Concepts • Corrosion can and does occur during manufacturing • No additional steps (cost, time) • Ensures contamination-free process • Ensures synergy between chemistries • Easier to maintain • Offers protection to equipment • Many offer superior environmental attributes

Metalworking Applications In Process – Vp. CI Coolants – Vp. CI Lubricants Oil Additives – In use or during lay-up – Engines, Hydraulic Systems, Gearboxes Rust Preventatives – Water-based (Cortec’s Strength) – Oil-based – Bio-based (Newest technologies)

Market Development Stage 1: MW Fluids as RP only – Using compatible metalworking fluids as rust preventatives (i. e. Vp. CI 377) prior to packaging – Using compatible metalworking fluids as intra-plant storage or stand alone rust preservatives Stage 2: Fully Integrated Functional Fluid – Using MW fluids as MW fluids, full integration – Offers full benefits as described before – Requires more technical analysis, testing to secure business, but loyalty results.

Developing Accounts Stage 1/Rust Preventatives – Develop process map/flow chart – Identify areas where rust is occurring, clean-up required, high costs – Identify all products used – Specifically look for products used solely for RP • Often are dips immediately after machining operation – Suggest trials to ensure buy-in from customer – Utilize existing test reports and case histories – Offer comparative test if hasn’t already been conducted

Product Focus: Water-Based RP Vp. CI 316: Cu/Yellow Metals, very thin, indoor Vp. CI 337: Mistable, excellent migration, internal voids Vp. CI 377: Most versatile, indoor, multi-metal, wide dilution Vp. CI 378: Rough material surfaces, quenching applications (cast iron/cast Al) Vp. CI 379: Most applications now use 377, still used in some customer specs

Price Comparison Straight Costs • Vp. CI 377 vs. • Slushing Oil – cost per gallon of Vp. CI 377 = $23 – use at 2. 5%-20% conc. = $. 57 -$4. 50 per gallon – cost to end-user = $. 74 -$5. 85 per gallon sell price Hidden Costs – none – $2. 50 on up per gallon Hidden Costs – Messy cleanup – Environmental hazard – Removal required

After Vp. CI 377 Application

After Vp. CI 377 Application

Protected with Vp. CI 377

Rust Preventatives

Vp. CI-337 Application

Product Focus: Oil-Based RP Vp. CI-325: Bio- based, penetrant, lube, flagship RP, direct replacement for popular water-displacing products Vp. CI-329 D: Medium to long term indoor storage (coils) Vp. CI-368/369 D: Medium to long term sheltered outdoor Super Penetrant: Best penetrating oil, medium indoor

Product Focus: Bio-Based RP • Soybean Oil based – Eco. Line Long Term Rust Preventative – Bio. Corr – Eco. Line All Purpose Lubricant – Other Eco. Line Products • Canola Oil based – Eco. Line 3220 – Eco. Line 3690

Developing Accounts 2 Stage 2/Functional Fluids – Can grow from applications starting as stage 1 or can immediately implement integrated approach – Identify key functional properties of the fluid and the process: • • • Temperature Speed Type of operation Critical features (lubricity, cooling, filter) MSDS/PDS for existing product including dilution used Physical/Mechanical/Chemical properties – Utilize existing test reports – Provide process chart with savings (time, steps, money) as clearly identified as possible to offset the per gallon cost objection.

Product Focus: In Process • Vp. CI 344: Wet Tempering • Cold rolled steel, lubricity, light machining • Vp. CI 345: Semi-synthetic • Semi-synthetic, medium duty machining • Vp. CI 347: Soluble oil • Soluble oil, heavy duty lubricity for machining, antiweld (prevents fusing due to heat), excellent for drawing applications • Eco. Line Cutting Fluid: Soluble soya-oil

Ecoline Cutting Fluid Application

Product Focus: Oil Additives • Engine oil M-529 – Lay-up or intermittent use (5%) • Hydraulic oil Vp. CI-322 – Vapor phase protection, limited water contact (10%). Vp. CI-326 – Passes 1 micron filter, no water contact (10%).

Oil Additives

Product Focus: Gearbox Additives Vp. CI 322: Fogged in (full strength) or added at 5 -7%. Vp. CI 329: Lay-up, 5 -10% as additive.

Resources for Metalworking • Many comparative test reports • Case Histories • Detailed recommendations from the lab

Strategy for Packaging Accounts 1. Develop Process Flow Chart 2. Identify step immediately before Packaging • Often Cleaning 3. Identify scrap/repro/blasting areas 4. Identify fluids used as Rust Preventative 5. Identify machining fluids that need boost

Conclusions • New resources exist for development of metalworking accounts • Growth potential is large for liquids • Packaging distributors need not be experts on liquids to be successful—start with existing PACKAGING customers!