2016 Analyst Meeting

Scott Ernest

Certain statements in today’s discussion will be forward-looking

statements, including those that discuss strategies, goals, outlook or

other non-historical matters; or project revenues, income, returns or

other financial measures. These forward-looking statements speak only

as of the date on which they are made, and we undertake no obligation

to update or revise any forward-looking statements.

These forward-looking statements are subject to risks and uncertainties

that may cause actual results to differ materially from those contained

in the statements, including the risks and uncertainties set forth under

our full disclosure located at the end of this presentation and included

in our SEC filings.

Forward-looking statement

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• Overview

• Accomplishments

• Market

• Product Update

• Defense

• Operations

Agenda

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Broadest product lineup in the industry

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JETS TURBOPROPS PISTONS DEFENSE

King Air 350i/ER

King Air 250

King Air C90GTx

Baron G58

Bonanza G36

AT-6

T-6C

Citation X+

Citation CJ4

Citation XLS+

Citation M2

Citation CJ3+

Caravan

Grand Caravan EX

TTx

Turbo Stationair HD

Skyhawk

Citation Sovereign+

Citation Latitude Citation Mustang

Skylane

Scorpion

Citation Longitude

Citation Hemisphere

4

Denali

Fastest product development in the industry

TEXTRON AVIATION

Textron Aviation Other OEMs

Average Development TimeFaster product development

• Quicker response to

market conditions

• Products to customers on

time, as expected

• Technology customers

value

• Maximize return

Source: Estimated time from program start to EIS. 5

Best in class products in half the time

Largest installed base in the industry

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Delivered 250,000+ aircraft in 170+ countries

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Most comprehensive service network in the industry

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3,30019

38260

Service network employees

Company-owned service centers

Authorized service facilities

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Mobile Service Units

2016 Accomplishments

• Citation Longitude first flight

• Citation Latitude strong deliveries

• Cessna Denali introduced

• Delivered 5000th Citation Light Jet

• Delivered 7000th Citation

• Scorpion-CRADA / Weapons test

• Vertical integration

2016 accomplishments

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Market

$0.0

$0.5

$1.0

$1.5

$2.0

$2.5

2011 2013 2015 2017 2019 2021 2023 2025

Val

ue

(in

20

16

USD

)B

illio

ns

Turboprops

Multi-Engine

Single Engine

Utility

Actual Forecast

Investment focus – expanding our reach

MARKET

$0

$5

$10

$15

$20

$25

$30

2011 2013 2015 2017 2019 2021 2023 2025

Val

ue

(in

20

16

USD

)B

illio

ns

Jets

Ultra Long Range

Large

Midsize

Light

Actual Forecast

Source: Blend of internal, JetNetIQ, Honeywell forecast

Area of focus

Area of focus

Investing in Longitude & Hemisphere

Investing in Denali

for midsize and large jets

for single engine turboprops

$9.5B+2021 Segment Size

$700M+2021 Segment Size

Investing in new segments

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Product Update

Expanding our reach

PRODUCT UPDATE

2,700 nmCitation Latitude

EIS 2015

3,500 nmCitation Longitude

First Flight CompleteEstimated EIS 2017

4,500 nmCitation Hemisphere

FIRST FLIGHT 2019

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Citation Latitude success

PRODUCT UPDATE

40+ aircraft delivered Over 9,000 fleet hours

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NetJets

PRODUCT UPDATE

• Currently operates over 225 Citations

• 7000th Citation delivered to NetJets

• Potential for 200 aircraft

• 2016 NetJets OEM supplier of the year

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7000th Citation delivery ceremony

Citation Longitude first flight

PRODUCT UPDATE

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Rapid product development

CITATION LONGITUDE

Summer 2014

Summer 2016

Optimizing facility footprint17

Best in class

CITATION LONGITUDE

Citation

Longitude

Gulfstream

280

Challenger

350Legacy 500

Range ≥ 3500 nm

Maximum Operating Speed ≥ M0.84

Full Fuel Payload ≥ 1600 lbs

Total DOC < $2000/hr

Quietest cabin in class

EVS & HUD18

Citation Hemisphere

Product Update

4,500 nm

Max Range

102 in.

Diameter

Best in class

Ownership Cost

First flight 2019 19

Best in class

CITATION HEMISPHERE

CitationHemisphere

Legacy 650Challenger

650Gulfstream

450Falcon

2000LXS

Range ≥ 4500 nm

Maximum Operating Speed ≥ M0.90

3-Zone Cabin

Fuselage Diameter ≥ 102 inches

20

Outperforming the competition

CESSNA DENALI

Full Fuel Payload

1,100 lbsHigh Speed Cruise

285 ktsRange

1,600 nm21

Best in class

CESSNA DENALI

Cessna Denali Pilatus PC-12

DaherTBM 930

Piper M600

Range ≥ 1600 nm

High Speed Cruise ≥ 285 kts

Full Fuel Payload ≥ 1100 lb

Total DOC < $615/hr

Cabin Width > 60 inches

22NOTE: Range with 4 pax at High Speed Cruise

Wheels Up

PRODUCT UPDATE

• 54 King Air 350i’s in fleet

• 3550+ memberships sold since

inception (Fall 2013)

• Over 50% increase y/y in new

memberships sold through September

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Defense and Special Missions

Scorpion program update

DEFENSE & SPECIAL MISSIONS

• Scorpion (D1) 750+ hours to date

• Successful live fire test

• Pursuing numerous domestic and

international sales opportunities

• CRADA agreement signed

– “Non-DOD Military Aircraft

Airworthiness Accreditation”

program

– Process underway

25Scorpion-versatile, capable & cost effective

Special Missions

DEFENSE & SPECIAL MISSIONS

• Single-engine & multi-engine turboprop aircraft are favored platforms

– Cost-effective solutions

• ISR missions are the largest opportunity for Textron Aviation special missions

– 40% of SM aircraft are ISR configurations

– Border and maritime patrol

– Counterterrorism

– Economic exclusionary zones

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Operations

Vertical integration in manufacturing

Operations

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Assembly

Fabrication

Composites

Interiors

Summary

TEXTRON AVIATION

• New products drive growth

• Investing in our products, service and people

• Best-in-class product development capability

• World-class manufacturing

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Questions

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