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2 Title of Presentation in This Space Speaker Name or Date in This Area Speaker Title or Location in This Area Alternate area for Month XX, 2013 Alternate area for Location

3 Title of Presentation in This Space Speaker Name or Date in This Area Speaker Title or Location in This Area Alternate area for Month XX, 2013 Alternate area for Location

4 Confidentiality, Safe Harbor and Non-GAAP Results This presentation contains confidential information regarding Tenneco Inc. By reviewing this information, the participants agree to treat the information confidentially, not to distribute it and not to use it for any purpose other than evaluating Tenneco Inc. as a potential supplier. Please see the safe harbor statement and the tables that reconcile GAAP results with non-gaap results in Tenneco s corresponding financial results press release, which is incorporated herein by reference. 4

5 Tenneco Overview Global Supplier of Emission and Ride Control Systems 2012 Revenue $7.4 billion Clean Air by segment Ride Performance by segment $4.9 billion $2.5 billion 5

6 Tenneco Strengths Balance Customers - Markets - Geographies - Products Product Technology - Solutions to meet emissions regulations - Vehicle ride & handling performance Operational Excellence - Executing with discipline Our People - Strong alignment globally - Strength at all levels - Talented and dedicated - Passion for winning 6

7 Tenneco Strengths Balance - Customers - Markets - Geographies - Products Product Technology - Solutions to meet emissions regulations - Vehicle ride & handling performance Operational Excellence - Executing with discipline Our People - Strong alignment globally - Strength at all levels - Talented and dedicated - Passion for winning 7

8 Tenneco Global Operations Nearly 25,000 employees serving customers globally from 89 manufacturing facilities and 14 engineering and technical centers Headquarters Emission Control Manufacturing Ride Control Manufacturing Emission Control Engineering Ride Control Engineering 8

9 Balanced Customer Mix As a % of Total 2012 Revenues % % % % % % % % % % % % % % % % % % % % OE Customer AM Customer 9

10 Diversified Platform Mix As a % of Total 2012 Revenues Top 10 Platforms 32% EC - Emission Control RC - Ride Control EL - Elastomers 10

11 Full-Year 2012 Results $ Millions, except as noted FY 2012 FY 2011 B/(W) % Change Revenues 7,363 7, % Value-Add Revenue 5,703 5, % SGA&E (% of Sales) 7.5% 7.8% 0.3% 4% Adjusted EBIT % Adjusted EBIT (% of VA Revenue) 7.8% 7.2% 0.6% 8% Adjusted EBITDA * % Adjusted Net Income % Adjusted EPS ($) % Cash Flow From Operations % Net Debt / Adjusted EBITDA* 1.5x 1.7x 0.2x 12% * Including noncontrolling interests. Adjusted for restructuring activities, asset impairment charge, Pullman property recoveries, goodwill impairment charge, costs related to refinancing and tax adjustments. See reconciliations to U.S. GAAP at end of presentation. 11

12 Product Line Focused Strategic Imperatives STRATEGIC IMPERATIVES CLEAN AIR Global regulatory expertise Foundation in core sciences Total systems integration Cost-effective global market solutions Light vehicle Commercial vehicle Large engines China specific solutions Large platform lifecycle services PROFITABLE GROWTH RIDE PERFORMANCE Product cost leadership Superior functionality Advanced technology Vehicle dynamics / integrated systems expertise NVH solutions provider Leading aftermarket brands Healthier Lives Smoother, Quieter, Safer Transportation A COMMON FOUNDATION Operational Excellence Safety and quality Tenneco Manufacturing System Global business processes / capabilities Optimized global footprint Strategic supplier partnerships Financial Strength Earnings growth Cash flow EVA Balance sheet strength 12

13 Clean Air Division 2012 Global Emission Control Business ($ millions) Revenue $4,926 Adjusted EBIT $334 Value-Add Revenue* NA $ 1,509 ESI $ 1,156 AP $ 601 $ 3,266 * Value-add revenue is total revenue less substrate sales. See slide 35 for further explanation. Strategic Imperatives Global regulatory expertise Foundation in core sciences Total systems integration Cost-effective global market solutions Light vehicle Commercial vehicle Large engines China specific solutions Large platform lifecycle services See reconciliations to U.S. GAAP at end of presentation. OE Light Vehicle Market Positions** ** Tenneco estimates for 2011 North America #1 Europe #2 China #2 South America #3 13

14 Global Emissions Regulation Timeline CVS - Commercial Vehicle Systems LVS - Light Vehicle Systems * Phased in ** Estimated date U.S US-10 CVS On-Highway Motorcycle Rule Tier 2 EUROPE Euro-5 LVS NL Marine OE / Retrofit PM 2.5 & NO 2 limits CHINA JAPAN Beijing CVS Yellow Label Japan-09 LVS / CVS US Off-Road Tier 4i* EU Off-Road Stage 3B EU CO 2 / GHG 120g PM # LVS CA CVS Retrofit* Motorcycle Euro 4 R.I.C.E. Stationary US revised NAAQS Euro-6 CVS EU Sound regulation Euro-4 LVS Euro-5 LVS Euro-4 CVS Beijing Euro-5 CVS NOx reductions JP-13 CVS LVS BRAZIL US Tier 2 LVS* Motorcycle Rule* Euro-5 CVS RUSSIA Euro-4 LVS / CVS INDIA Euro-4 LVS Euro-4 CVS Motorcycle 11 Cities Rule* US Off-Road Diesel Tier 4f* Locomotive & Marine Tier 4* CA LEV III US Utility MACT EU Off-Road Stage 4 Euro-6 LVS Tier 4i Off-Road Major cities** Stricter Emission Regulations Euro-5 CVS** Unprecedented Speed of Change Motorcycle Euro 5** Euro-5 CVS** Euro-5 LVS/CVS US Fed Tier 3 LVS *,** Marine Annex VI Tier III Marine Annex VI Tier III Marine Annex VI Tier III Marine Annex VI Tier III JP-16 CVS* Euro-6 CVS** US Fed Tier 3 Light Truck *,** NSPS Stationary NOx** Euro-6 LVS Final PM# 14

15 Regulatory-Driven Clean Air Product Pipeline Technology Roadmap Off-Road Diesel Oxidation Catalyst & DPF Off-Road Emissions Module Fuel Vaporizer Fabricated Diesel Manifold Retrofit Marine Aftertreatment Electronic Exhaust Valve Gen 3 Urea Dosing System Enhanced 32 bit ECU 3 Layer Manifold Hydrocarbon Lean NOx Catalyst Low Backpressure Valve Muffler Exhaust Gas Heat Exchanger CVS Vaporizer T.R.U.E.-Clean Mini In production or production ready Euro VI CVS On-Road Aftertreatment System Stationary Engine Aftertreatment Common Rail Urea Dosing System SOLID SCR TM Air-Assisted Dosing System Integrated Manifold & Turbocharger Tier 4 Locomotive Aftertreatment Multiwrap Converter Gasoline Particulate Filter Low Pressure EGR Valve Combined DPF / SCR Catalyst Emissions Air Pump Hydrocarbon Trap Marine SCR System Marine DeSOx System CVS Fabricated Manifold In-tank SCR Dosing Module Waste Heat Recovery Generator TENNECO Signature Sound System (TS 3 ) Large Diameter SCR (24-30 ) Rankine Cycle Waste Heat Recovery Low Temp denox Catalysts LEV3 / Tier 3 Diesel Aftertreatment D-EGR Manifold Pre-Turbo Catalyst In development production ready in

16 Technologies to Meet Evolving Light Vehicle Powertrain Needs Improving Fuel Economy Gasoline Gas Direct Injection Diesel Gas & Diesel Hybrids Micro, Mild, Full, Plug-in Catalytic converter systems Ultra-thin substrate converters Semi-active muffler valve technology Catalytic converter systems Ultra-thin substrate converters Semi-active muffler valve technology Diesel particulate filters Diesel oxidation catalysts Selective catalytic reduction and HC-LNC NOx adsorber Catalytic converter systems Ultra-thin substrate converters Diesel aftertreatment Fabricated manifolds Lightweight mufflers and thin-wall pipes Fabricated manifolds Lightweight mufflers and thin-wall pipes Gasoline particulate filters Heat exchangers HC-LNC for Lean GDI Fabricated manifolds Lightweight mufflers and thin-wall pipes Heat exchangers Vaporizers Electronic valves and piping for exhaust gas recirculation Semi-active muffler valve technology Fabricated manifolds Lightweight mufflers and thin-wall pipes Heat exchangers 16

17 Cost-Effective Global Market Solutions Light Vehicle Commercial Vehicle Large Platform 17

18 Migrating Diesel Aftertreatment Expertise North America On-Road beginning 2007 Chrysler General Motors Ford Navistar Off-Road beginning 2011 Caterpillar / Perkins Deere Europe On-Road beginning 2004 Daimler Trucks Scania Off-Road beginning 2011 Caterpillar / Perkins Deere Deutz MAN Scania Customer D China On-Road beginning 2009 China National Heavy-Duty Truck Co. FAW Shanghai Diesel Engine Co. YuChai Customer B India South Korea On-Road beginning 2012 Bus manufacturer Exported from MWM in Brazil Japan On-Road beginning 2011 Caterpillar / Perkins Exported from N. America Kubota Brazil On-Road beginning 2012 Mahindra Tata Motors On-Road beginning 2012 Daimler Trucks MAN MWM (Navistar subsidiary) Scania 18

19 China Specific Solutions Aftertreatment solutions tailored for the China market Sulfur content in fuel Duty cycle differences Durability requirements Cold start Utilizing China s Clean Air technology centers to design aftertreatment solutions to address China market requirements Applicability beyond China market for aftertreatment solutions Opening new large engine aftertreatment technical center in China China on-road commercial vehicle needs Eventual regulation of off-road commercial vehicles and locomotives Geographic proximity to marine vessel production 19

20 Future Market Vision by 2025 Emission Control Market Estimated original equipment market for Clean Air is $100 billion Δ by 2025 Large Application OE and Lifetime Parts & Services Market Δ Average service life for locomotive, marine and stationary engines is 35 to 50 years Opportunity for a lifecycle services and parts business in support of our customers OE Revenue Tenneco THE Clean Air Company Post-OE Revenue Δ Based on third party analysis and Tenneco estimates 20

21 Ride Performance Division 2012 Global Ride Control Business ($ millions) Revenue $2,437 Adjusted EBIT $176 Strategic Imperatives Product cost leadership Superior functionality Advanced technology Vehicle dynamics / integrated systems expertise NVH solutions provider Leading aftermarket brand OE Light Vehicle Market Positions** North America #1 Europe #1 South America #2 See reconciliations to U.S. GAAP at end of presentation. ** Tenneco estimates for

22 Product Cost Leadership Customers demand highly engineered shocks and struts Specific to platform ride and handling targets Often more than one variant per platform Challenging pricing environment for highly engineered product Tenneco manufactures more than 80 million conventional shocks and struts annually Strategic focus on product cost innovation will drive significant opportunity for shareholder value creation Strategic focus on product cost innovation 22

23 Advanced Technologies Continuously Controlled Electronic Suspension (CES ) Continue to win and launch new CES business In production on 37 models with multiple customers including Volvo, Audi, Ford Europe, Mercedes / AMG, Volkswagen, BMW In development with 9 additional models Selling price is about 4-6 times price for a standard shock Targeting substantial portion of CES benefits for broader market Lower total system cost no dedicated ECU required Improved packaging and reduced power consumption Production ready in 2015 IN PRODUCTION DRiV TM TM Digital Valve Kinetic + CES (H2CES) Combination of Kinetic and CES Kinetic Independent corner control with a more neutral steering behavior CES Semi-active body and wheel hop control with a better compromise between handling and comfort Debuted on the McLaren MP4-12C Awarded Supplier of the Year in 2011 from Vehicle Dynamics International magazine for our Kinetic H2/CES semi-active suspension In testing with other manufacturers IN PRODUCTION Actively COntrolled CAR (ACOCAR TM TM ) Fully-active suspension with ultimate comfort and excellent handling Awarded Innovation of the Year in 2012 from Vehicle Dynamics International magazine for our ACOCAR TM active suspension system In testing with several OEMs Production ready in 2016 IN DEVELOPMENT IN DEVELOPMENT CES is a registered trademark of Ohlins Racing AB CORPORATION SWEDEN. All other trademarks, service marks and logos used herein are the trademarks, service marks, or logos of their respective owners. 23

24 Ride Performance Product Pipeline Technology Roadmap Plastic Spring Seat Kinetic H2 CES Combo Lightweight Aluminum Tube Variable Tube Thickness Velocity Progressive Seat Dampers Thin Wall Lightweight Monotube CES II External Valve Aluminum Dual Tube Seat Damper Kinetic H2 CES with hydraulic leveling CVS Double Path Mount (Cab Shock) Motorbike Electronic Shock Improved Monotube (Low Temperature) Global Hydraulic Rebound Stop New Double Tube Base Valve Global BOCS Valve FSD Valving System 35mm LCV Strut New CVS 45mm Shock RC2 (Bidirectional Frequency Selective Damping) Integrated Height Valve for Cab Shocks Dual Valve Semi-active Damper Aluminum Dual Tube Automotive Damper DRiV TM Digital Valve DRiV TM Cab Shock Dual Mode Internal Valve Semi-active Internal Valve ACOCAR TM Full Active Suspension System Low Cost Auto Leveling Ultra Low Cost Damper for LCC Active Suspension with Energy Recuperation Intelligent Suspension System with Vision Dual Range Damping System In production or production ready In development production ready in CES is a registered trademark of Öhlins Racing AB CORPORATION SWEDEN. All other trademarks, service marks and logos used herein are the trademarks, service marks, or logos of their respective owners. 24

25 NVH Solutions Provider Our elastomers business offers a complete line of noise, vibration and harshness control products driving customer satisfaction Strategies Develop differentiated products for light and commercial vehicles Retain and grow business, leveraging existing customer base Implement globally integrated approach for product sourcing and customer expansion Example of solutions Hydroelastic TM Body Mount A new-to-industry device utilizing both fluid hydraulics and elastomeric deflection properties to minimize transmission of frame-to-body oscillations 10x damping of a conventional mount 25

26 Five-Year OE Revenue Growth Total OE Revenue Projection (as of Feb. 2013) Light Vehicle Commercial Vehicle & Specialty (CV&S) Total OE Revenue ( ) $ in billions Industry light vehicle production forecast through yr CAGR - 5% Tenneco OE Revenue projection through yr CAGR - 10%-12% Substrate % of 27% 28% 27% 27% 28% 28% 28% 28% Total OE Revenue Significant Regulation Phase-in: 2013 capital spending expected to be $260 million - $270 million U.S. Europe China Brazil Global Treaty Tier 4i Off-road Tier 4f Off-road U.S. Fed Tier 3 Stage 3B Off-road Euro-5 On-road Euro-6 On-road Euro-4 On-road Stage 4 Off-road Locomotive & Marine Tier 4 Euro-5 On-road Marine Annex VI Tier III See slide 33 for a discussion of key assumptions on which our revenue projections are based. * Percent of Total OE Revenue

27 Leading Aftermarket Brands Tenneco s brand management, marketing and distribution expertise have resulted in leading aftermarket ride performance market shares Leveraging knowledge and capability as car parc grows in new regions Opportunity to add to our aftermarket success #1 #1 #1 Tenneco THE Ride Performance Company 27

28 Tenneco Manufacturing System (T.M.S.) Highly focused on global manufacturing performance Safety Process driven quality Process efficiency Inventory management T.M.S. University Plants in all operating regions Structured to drive focused development of core competencies and standardization Leverage operational leadership and best practices Standardization of global processes are key to our success Global platform management Industrialization of new technologies Supplier management Total capital efficiency TM Over $50 million Process Excellence savings in 2011 (Lean and Six Sigma) Driving Consistency Across Global Operations 28

29 Health & Safety Strategy Key elements of Global Safety Management System T.M.S.S. Tenneco Machine Safeguarding Standard A.U.T.O. (danger zone protection) Control reliable safety systems All machines undergo a detailed risk assessment Behavioral Safety Process Peer-to-peer observations to change at-risk behaviors HEC Hazardous Energy Control Zero tolerance for knowingly circumventing lockout and tag procedure Ergonomics Applied ergo and Engineering Design Guidelines for Engineers (EDGE) Create an Injury-free Career for All Employees 29

30 Operational Excellence 2012 Update Safety Safety is our key priority globally Total Case Rate (TCR) measures the number of injuries per 100 workers in a year Focus results in benchmarkable performance Renewed focus on Behavioral Safety Initiative 1.17 TCR for 2012 is record low and approaching world-class (1.0) Overall, 27% decline in total injury rate from 2011, nearly 60% decline since 2008 Quality PPM measures the number of defective Parts Per Million shipped to a customer Progress attributed to Business Operating System, linked tightly to the Tenneco Manufacturing System, Six Sigma, Lean tools Drivers include standard processes, design improvements, mistake proofing, supplier management Global Total Case Rate Tenneco TCR 8.1 U. S. Industry Average* * Source: U.S. Bureau of Labor Statistics, NAICS code 3363 motor vehicle parts manufacturing. Global Customer PPM

31 Summary History of growth, profitability and deleveraging Clean Air regulations and technology drive growth opportunities Light vehicle content and market share growth Content and market share growth in on-road and off-road commercial vehicles, and locomotive, marine and stationary engines Content and volume growth in emerging markets Market leading Ride Performance business Product cost leadership leveraging scale of business Semi-active and active damping technologies Sound business model with geographic, customer, end-market, product and platform balance Leading supplier of Clean Air and Ride Performance products and systems No. 1 aftermarket supplier driven by leading brands Strong operational capabilities and manufacturing footprint Demonstrated commitment to balance sheet strength and financial stability Experienced management team 31

32 32

33 Tenneco s OE Revenue Projections Tenneco s revenue projections are as of February 2013, and the company does not otherwise intend to update these projections until February Revenue assumptions are based on projected customer production schedules, IHS Automotive January 2013 forecasts and Power Systems Research January 2013 forecasts. Our currency assumption is $1.27/ for all years in our projection. In addition to the information set forth on this slide and slide 26, Tenneco s OE revenue projections are based on the type of information set forth under Outlook in Item 7 Management s Discussion and Analysis of Financial Condition and Results of Operations as set forth in Tenneco s Annual Report on Form 10-K for the year ended December 31, Please see that disclosure for further information. Key additional assumptions and limitations described in that disclosure include: Revenue projections are based on original equipment manufacturers programs that have been formally awarded to the company; programs where the company is highly confident that it will be awarded business based on informal customer indications consistent with past practices; Tenneco s status as supplier for the existing program and its relationship with the customer; and the actual original equipment revenues achieved by the company for each of the last several years compared to the amount of those revenues that the company estimated it would generate at the beginning of each year. Revenue projections are based on the anticipated pricing of each program over its life. Revenue projections assume a fixed foreign currency value. This value is used to translate foreign business to the U.S. dollar. Revenue projections are subject to increase or decrease due to changes in customer requirements, customer and consumer preferences, the number of vehicles actually produced by our customers, pricing and foreign currency. 33

34 Financial Results Disclaimer Use of Non-GAAP Financial Information In addition to the results reported in accordance with accounting principles generally accepted in the United States ( GAAP ) included in this presentation, the company has provided information regarding certain non-gaap financial measures. These measures include Earnings Before Interest Expense, Income Taxes, Noncontrolling Interests and Depreciation and Amortization ( EBITDA* ), Adjusted EBITDA*, Adjusted Earnings Before Interest Expense, Income Taxes and Noncontrolling Interests ( Adjusted EBIT ), Adjusted Net Income and Adjusted Earnings Per Share. Reconciliations of these non-gaap financial measures to the comparable GAAP measure are included in this presentation. * Including noncontrolling interests. 34

35 Segment Financials Reconciliation of Non-GAAP Results $ Millions, Unaudited FY 2012 Clean Air Division Ride Performance Division North America Europe SA & India Asia Pacific Total North America Europe SA & India Asia Pacific Total Other Total Total Revenue $ 2,506 $ 1,726 $ 694 $ 4,926 $ 1,213 $ 1,041 $ 183 $ 2,437 $ - $ 7,363 Less: Substrate sales , ,660 Value-add revenue (1) $ 1,509 $ 1,156 $ 601 $ 3,266 $ 1,213 $ 1,041 $ 183 $ 2,437 $ - $ 5,703 EBIT $ 202 $ 54 $ 71 $ 327 $ 122 $ 41 $ 5 $ 168 $ (67) $ 428 Adjustments (reflect non-gaap (2) measures) Restructuring and related expenses Asset impairment charge Pullman recoveries (5) - - (5) - (5) Adjusted EBIT (non-gaap Financial Measures) (3) $ 202 $ 61 $ 71 $ 334 $ 118 $ 53 $ 5 $ 176 $ (67) $ 443 (1) Tenneco presents the above reconciliation of revenues in order to reflect value-add revenues separately from substrate sales, which include precious metals pricing, which may be volatile. Substrate sales occur when, at the direction of its OE customers, Tenneco purchases catalytic converters or components thereof from suppliers, uses them in its manufacturing processes and sells them as part of the completed system. While Tenneco original equipment customers assume the risk of this volatility, it impacts reported revenue. Excluding substrate sales removes this impact. Tenneco uses this information to analyze the trend in revenues before this factor. Tenneco believes investors find this information useful in understanding period to period comparisons in the company's revenues. (2) Generally Accepted Accounting Principles (3) Tenneco presents the above reconciliation of GAAP to non-gaap earnings measures primarily to reflect the results in a manner that allows a better understanding of the results of operational activities separate from the financial impact of decisions made for the long-term benefit of the company and other items impacting comparability between the periods. Adjustments similar to the ones reflected above have been recorded in earlier periods, and similar types of adjustments can reasonably be expected to be recorded in future periods. Using only the non-gaap earnings measures to analyze earnings would have material limitations because its calculation is based on the subjective determinations of management regarding the nature and classification of events and circumstances that investors may find material. Management compensates for these limitations by utilizing both GAAP and non-gaap earnings measures reflected above to understand and analyze the results of the business. The company believes investors find the non-gaap information helpful in understanding the ongoing performance of operations separate from items that may have a disproportionate positive or negative impact on the company s financial results in any particular period. 35

36 Reconciliation of Non-GAAP Results EBITDA* ($ Millions) FY 12 FY 11 Net income attributable to Tenneco Inc. $ 275 $ 157 Net income attributable to noncontrolling interests Net income Income tax expense Interest expense (net of interest capitalized) EBIT, earnings before interest expense, income taxes and noncontrolling interests (GAAP measure) Depreciation & amortization of other intangibles Total EBITDA* $ 633 $ 586 EBITDA* represents earnings before interest expense, income taxes, noncontrolling interests and depreciation and amortization. EBITDA* is not a calculation based upon generally accepted accounting principles. The amounts included in the EBITDA* calculation, however, are derived from amounts included in the historical statements of income. In addition, EBITDA* should not be considered as an alternative to net income (loss) attributable to Tenneco Inc. or operating income as an indicator of the company s operating performance, or as an alternative to operating cash flows as a measure of liquidity. Tenneco has presented EBITDA* because it regularly reviews EBITDA* as a measure of the company s performance. In addition, Tenneco believes that its security holders utilize and analyze its EBITDA* for similar purposes. Tenneco also believes EBITDA* assists investors in comparing a company s performance on a consistent basis without regard to depreciation and amortization, which can vary significantly depending upon many factors. However, the EBITDA* measure presented may not always be comparable to similarly titled measures reported by other companies due to differences in the components of the calculation. * Including noncontrolling interests. 36

37 Financial Accomplishments Reconciliation of Non-GAAP Results $ Millions, Unaudited EBITDA* EBIT Net Income Attributable to Tenneco Inc. EPS FY 12 FY 11 FY 12 FY 11 FY 12 FY 11 FY 12 FY 11 Financial measures $633 $586 $428 $379 $275 $157 $4.50 $2.55 Adjustments (reflect non-gaap (1) measures): Restructuring and related expenses Asset impairment charge Pullman recoveries (5) - (5) - (3) - (0.05) - Goodwill impairment charge Costs related to refinancing Tax adjustments (96) (7) (1.57) (0.10) Non-GAAP financial measures (2) $641 $605 $443 $398 $203 $163 $3.32 $2.66 (1) Generally Accepted Accounting Principles (2) Tenneco presents the above reconciliation of GAAP to non-gaap earnings measures primarily to reflect the results of 2012 and 2011 in a manner that allows a better understanding of the results of operational activities separate from the financial impact of decisions made for the long-term benefit of the company. Adjustments similar to the ones reflected above have been recorded in earlier periods, and similar types of adjustments can reasonably be expected to be recorded in future periods. Using only the non-gaap earnings measures to analyze earnings would have material limitations because its calculation is based on the subjective determinations of management regarding the nature and classification of events and circumstances that investors may find material. Management compensates for these limitations by utilizing both GAAP and non-gaap earnings measures reflected above to understand and analyze the results of the business. * Including noncontrolling interests. 37

38 Adjusted EBIT as a Percentage of Value-Add Revenue Reconciliation of Non-GAAP Results $ Millions, Unaudited FY 12 FY 11 Total revenue $ 7,363 $ 7205 Less: Substrate sales 1,660 1,678 Value-add revenue $ 5,703 $ 5,527 Adjusted EBIT $ 443 $ 398 Adjusted EBIT as a percentage of value-add revenue (1) 7.8% 7.2% (1) Tenneco presents the above reconciliation of revenues in order to reflect value-add revenue. Substrate sales include precious metals pricing, which may be volatile. Substrate sales occur when, at the direction of its OE customers, Tenneco purchases catalytic converters or components thereof from suppliers, uses them in its manufacturing processes and sells them as part of the completed system. While Tenneco original equipment customers assume the risk of this volatility, it impacts reported revenue. Excluding substrate sales removes this impact. Further, presenting adjusted EBIT as a percentage of value-add revenue assists investors in evaluating our company s operational performance without the impact of such substrate sales. 38

39 Net Debt / Adjusted EBITDA* Reconciliation of Non-GAAP Results $ Millions, Unaudited Total debt $ 1,180 $ 1,224 Cash and cash equivalents Debt net of cash balances 957 1,010 Adjusted EBITDA* $ 641 $ 605 Ratio of net debt to adjusted EBITDA* 1.5x 1.7x Note: We present debt net of cash balances because management believes it is a useful measure of our credit position and progress toward reducing leverage. The calculation is limited in that we may not always be able to use cash to repay debt on a dollar-for-dollar basis. * Including noncontrolling interests. 39