3M PSD - Customer Innovation Center Visits. External (August 2016)

3M & Personal Safety

Division Overview

Jason Kunz

3M

Agenda

Personal Safety Division Overview

3M and Safety & Graphics Overview

3M: Working from a position of leadership and

growth

Applying science to life for over 100 years

• Founded in 1902

• HQ in Saint Paul, MN

Continued strong performance in 2015

• Global Sales: $31 Billion (63% international)

• Net income: $5 billion

• One of 30 companies in DJIA stock index

• Global reach: sales in~200 countries

• 90,000 employees worldwide

• 46 technology platforms

• R&D and related investment: $1.8 billion

• Earned more than 100,000 patents since 1902

4. All Rights Reserved.23 August 2016© 3M 3M Confidential.

Our Vision

3M Technology Advancing Every Company

3M Products Enhancing Every Home

3M Innovation Improving Every Life

Our Strategies

- Expand Relevance to our Customers and our Presence in the Marketplace

- Gain Profitable Market Share and Accelerate Market Penetration Everywhere

- Invest in Innovation: Invigorate Existing Market Opportunities and Focus on Emerging Megatrends

- Intensify Capabilities to Achieve Regional Self-Sufficiency

- Build High Performing and Diverse Global Talent

- Drive Consistent Superior Levels of Operational Excellence


Our fundamental strengths are our foundation

Leveraging these assets creates value; strengthening them ensures our future

Brand

Brand equity in the

3M brand and in strategic

brands that are shared

across business groups.

Global capabilities

Subsidiary front- and back-

office footprint that allows

for the effective development,

adaptation and commercializa-

tion of products.

Manufacturing

Utilization of 3M

manufacturing footprint

and technology, including

process trade secrets,

leading to higher-performing

products and lower unit cost.

Technology

Ability to share and

combine elements of

3M’s broad technology

portfolio to produce

unique, differentiated

products, translating

to premium margins.


We apply our technologies across diverse areas of expertise

12 expertise categories

Automotive

Commercial Solutions

Communications

Consumer

Design & Construction

Electronics

Energy

Health Care

Manufacturing

Mining, Oil & Gas

Safety

Transportation

46 technology platforms


Sales & Marketing

Manufacturing/Converting

Technical Capabilities

Mexico

Brazil

Colombia

Venezuela

Argentina

Chile

Costa Rica

El Salvador

Panama

Ecuador

Peru

Uruguay

Guatemala

Italy

France

UK

Turkey

Greece

Morocco

Canada

Jamaica

Dominican Republic

Puerto Rico

Trinidad & Tobago

Poland

Czech Republic

Germany

Lithuania

Latvia

Estonia

Hungary

Romania

Ukraine

Kazakhstan

Russia

Japan

China

Taiwan

Vietnam

Thailand

Singapore

Indonesia

Hong Kong

Korea

Philippines

India

Israel

Egypt

Pakistan

UAE

Kenya

Malaysia

Sri Lanka

South Africa

Belgium

Portugal

Spain

Netherlands

Austria

Switzerland

Finland

Sweden

Norway

New Zealand

Australia

Denmark

Global Reach & Touch Points

DIVISION FOOTPRINT

5 market-leading business groups

Safety & GraphicsIndustrial Energy & Electronics ConsumerHealth Care

$11.0B in Sales $5.6B in Sales $4.5B in Sales$5.7B in Sales $5.6B in Sales


3M Safety & Graphics BusinessesPersonal Safety Infrastructure Commercial Solutions


Personal SafetyHelping workers return home safely and live healthier lives

Respiratory Hearing Solutions Fall Protection Body Protection Head, Eye

& Face


Agenda

Personal Safety Division Overview

3M and Safety & Graphics Overview


Our Vision

Our customer’s first

choice in Personal

Protective Equipment


3M's Personal Safety Division

Helping workers return home safely and live healthier lives

Respiratory Protection Hearing Protection

Visibility & Protective Clothing

Fall Protection

Welding ProtectionHead and

Face ProtectionEye Protection

Noise Detection


MARKET ESTIMATES

• 2013 Est. Global Market Size: $33.95B

• 2014-2020 Projected CAGR: 7.3%• Note: projections created before downturn in Mining, Oil & Gas

Source: Transparency Market Research: Personal

Protective Equipment Market 2014-2020

Head, Eye, Face

Protection, 5.9

Hearing Protection,

2.8

Protective Clothing, 2.2

Respiratory Protection,

3.2Professional Footwear, 7

Fall Protection,

2.8

Hand Protection, 5

Other, 5.1

2013(in billions)

• 2020 Est. Global Market Size: $55.51B

Head, Eye, Face

Protection, 9.2

Hearing Protection,

4.7

Protective Clothing, 3.7

Respiratory Protection,

5.4Professional Footwear, 10.7

Fall Protection, 5

Hand Protection,

8.5

Other, 8.3

2020(in billions)

Growing Personal Protective Equipment Market

Construction, 20%

General Mfg , 16%

Defense, 9%

Transportation, 8%Metal, 8%

Oil & Gas , 7%

Chemical & Pharma, 7%

Food , 3%

Healthcare & EP, 2%

Law Enforcement,

2%

Other, 18%Construction,

18%

General Mfg, 16%

Defense, 10%

Transportation, 8%Metal, 8%

Oil & Gas, 7%

Chemical & Pharma, 7%

Food, 3%

Healthcare & EP, 2%

Law Enforcement,

2%

Other, 19%

2020 Key Industries

Safety is relevant in various verticals…

2015 Key Industries Growth Prospects (2015 – 2020)

2020 US

Addressable

$3.1B

2015 US

Addressable

$2.7B

Priority MarketsMetal FoodTransportation Construction

Note: *Addressable size excludes EEBA/SCBA, personal gas detection, apparel, hand & foot

We will focus our sales, marketing and technical service efforts to penetrate further and drive share

2.5% PPE CAGR

0% 2% 4% 6% 8%

Other

Defense

Law Enforcement

Food

Oil & Gas

Healthcare & EP

Chemical & Pharma

Metal

Transportation

Gen Mfg

Construction

Source: 1). “ Global Trends Impacting PPE Market 2014” 2) other Frost & Sullivan market research reports

Chem/Pharma


6%8% 9%

11%15% 16%

20%

28% 28% 27% 27%

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

3M’s New Product Vitality Index %

HornellWelding Helmets

DailysProtective

Clothing

QuestDetection and

Monitoring

AearoHearing, Head, Eye,

Communication, Fall Safety

Acquisitions

Reinvigorating Research & Development

A Respiratory

Company

Yesterday

The Past and FutureDIVISION EVOLUTION

Future

Safety Leader with

Connected & Smart

Personal Safety Equipment

Capital SafetyFall Protection


Service

Quality

Innovation

Field Sales “Pull” Channel “Push”

Technical Service

People & Brand

Training

PSD Value Proposition


2016…

• Engineered

• Disposable

• Worker Safety

• Safety Initiatives

• Stand alone

• Standardized

• Worker

• Analog

• Prescriptive

• Passive Safety

2020…

• Designed

• Sustainable

• Democratization of Safety

• Zero Initiatives

• Matched Components

• Personalized

• Connected Worker

• Digital

• Predictive

• Active Safety

Safety Products Today and Tomorrow

SAFETY OF THE

FUTURE

Documents

3M PSD - Customer Innovation Center Visits. External (August 2016)