KLW: SMART SOLUTIONS FOR LOCOMOTIVE AND FREIGHT TRANSPORT

KLW: SMART SOLUTIONS FOR LOCOMOTIVE AND FREIGHT TRANSPORT

INTERNATIONAL WHEEL BRAND KLW INTERPIPE STEEL: IN-HOUSE STEEL PRODUCTION KLW IS A WHEEL BRAND OF TUBULAR AND WHEEL COMPANY INTERPIPE. INTERPIPE IS ONE OF THE LARGEST MANUFACTURES OF FORGED WHEELS IN THE WORLD. THE VOLUME OF PRODUCTION IN 2014 WAS 125 THOUSAND TONS. IN 2012, INTERPIPE COMMISSIONED A NEW ELECTRIC STEEL MELTING COMPLEX - INTERPIPE STEEL. THE CAPACITY OF THE MILL IS 1,320,000 TONS OF STEEL BILLETS. TOTAL INVESTMENT IN PROJECT HAS REACHED $700 MILLION. Interpipe has 80 years of experience in the production of railway wheels. Railway wheels under the KLW brand are produced in the wheel-rolling shop of Interpipe NTRP (Dnepropetrovsk, Ukraine). Interpipe has a vertically integrated business structure, which includes 5 highly efficient mills. Such structure allows for controlling product quality at every stage: from steel production to the delivery of final products to customers. INNOVATIVE DANIELI TECHNOLOGIES ON INTERPIPE STEEL Continuous casting machine 1 Continuous casting machine 2 Twin tank vacuum degasser Twin position ladle furnace INTERPIPE HAS A VERTICALLY INTEGRATED BUSINESS STRUCTURE SCRAP PROCESSING STEEL PRODUCTION WHEEL PRODUCTION Electric arc furnace, 160 tons Two continuous casting machines IN 2014 INTERPIPE STEEL STARTED TO EXPORT STEEL BILLETS AS FINISHED PRODUCTS. THE MAIN USES ARE: production for railway use (wheels, bandages and axles) production of forgings (rings, shafts, pulleys, flanges, fittings and for space industry) tube production CUSTOMERS INCLUDE THE EUROPEAN RAILWAY WHEEL PRODUCERS FROM POLAND, CZECH REPUBLIC, SPAIN, FRANCE AND GERMANY. Interpipe Vtormet Scrap Metal Processing Plant Interpipe Steel Modern electric steel melting complex Interpipe NTRP Dnepropetrovsk, Ukraine The geography of sales of railway wheels under the KLW brand covers more than 60 countries. With the development of the Company, we have 40 years of experience in cooperation with national railway operators in India and Australia, and have supplied products to major markets including Germany and the Commonwealth of Independent States (CIS) countries. SELLING TO CUSTOMER GLOBALLY KEY MARKETS Interpipe Ukraine North American Interpipe Interpipe Central Trade GmbH Germany Interpipe Europe SA Interpipe Middle East Interpipe М Russia

INTERPIPE NTRP: SPECIAL EQUIPMENT FOR PRODUCTION ACCORDING TO MAIN STANDARDS THE MILL HAS BEEN PRODUCING RAILWAY WHEEL PRODUCTS FOR THE PAST 80 YEARS. THE PRODUCTION CAPACITY TOTALS 600,000 PIECES. LOCOMOTIVE AND FREIGHT WHEELS PRODUCTION FACILITIES AND PROCESSES: Process Heat-treating department Facility Electric Arc Furnace, Ladle-Furnace, Vacuumator, Blank Continuous Casting Machines, Special ingot-cutting machines, Annular Furnace KLW PROVIDES A HIGH LEVEL OF SERVICE TO CUSTOMERS OUR TECHNICAL DEPARTMENT FOCUSES ON THE QUALITY, SAFETY AND STRENGTH OF WHEELS FOR FREIGHT AND LOCOMOTIVE TRANSPORTATION. IN 2015 KLW BEGAN A NEW INVESTMENT PROJECT WHICH IS AIMED: to provide customers with additional services on finishing bore in the wheel to increase machining capacities and finishing processes to improve the control systems THE TOTAL INVESTMENT IN THE PROJECT HAS REACHED $ USD 23.1 MILLION. NEW TECHNOLOGIES FOR WHEEL ORDERS: Equipment Moulding operations Machining of the wheels Web shot blasting Marking Quality control MN presses Turning-and-boring lathes 1B502 and KC274 Unit manufactured (Pangborn Company) Marker or percussion pistol (Hilti Company) UTS-600 machine, Psd 50 5 impact pendulum-type testing machine, universal computerized testing machine Hydropuls Sinus 250 For finishing bore of the nave-hole in the wheel hub for mountingof wheels For bore drilling of the disk for the installation of brakes disc For the coating with operating covers Modernization of wheel control and acceptance stand Shot-blast machine New control measuring equipment TECHNOLOGY OF RAILWAY WHEEL PRODUCTION NEW EQUIPMENT WILL GIVE KLW AN OPPORTUNITY TO INCREASE ITS PRODUCT PORTFOLIO. KLW FORGED RAILWAY WHEELS GUARANTEE HIGH SAFETY 1. Steel melting 2. Continuous casting 3. Billet cutting, notching and breaking 4. Billet inspecting, repairing and weighing 5. Billet heating in the rotary furnance KLW IS INVOLVED IN MANUFACTURING, EXPORTING AND SUPPLYING A WIDE RANGE OF FORGED WHEELS. THESE WHEELS ARE PRODUCED FROM TOP QUALITY MATERIAL AND ADVANCED MACHINERY IN COMPLIANCE WITH THE DEFINED INDUSTRY STANDARDS. THE MAIN ADVANTAGES OF FORGED WHEELS FROM KLW COMPARED TO CAST WHEELS ARE: Increased wear resistance due to the usage of carbon steel (more than 0,77%), High lasting qualities due to the retentive structure of metal, High reliability, High characteristics of ductility, High resistance to formation of explorative heat defects, Long life cycle. 6. Hydrobreaking of the scale 7. Forging on 2 000 and 5 000 ton presses 8. Punching on the 10 000 ton press 9. Wheel rolling on the rolling mill 10. Wheel calibration on the 3 500 ton press and piercing the hub THESE FEATURES PROVIDE HIGH SAFETY AND A LONG LIFE CYCLE OF KLW FORGED WHEELS FOR CUSTOMERS. The wheels are produced from steel grade B and C with a diameter from 28 to 38 inches for freight cars and with an outside diameter of 40 to 43 inches for locomotives. 11. Heat treatment 12. Machining 13. Quality control 14. Balancing, drilling, marking 15. Storing

INTERNATIONAL CERTIFICATION QUALITY IS A BASIS OF WHEEL PRODUCTION IN KLW. KLW products correspond to the requirements of international and interstate standards, such as UIC 812-3 (О), 812-2, DB BN 918-277, AAR M-107/M-208, GOST 10791-2011, AAR M-1003, IRIS, ISO 9001 and RISAS. KLW railway wheel products have received certificates on compliance with individual requirements from operators in a number of European countries, North America and other regions. KLW has successfully passed the audit inspection of the finished railway wheels under the KLW brand, which are being produced specifically for Deutsche Bahn and VUZ re-certification. AAR WHEELS IN THE FOCUS В-38 KP-0035-11 Е-28 KP-0041-11 H-36 KP-0055-05A J-33 KP-0058-05A J-36 KP-0059-05A E-40 KP -0060-05A A-41 KP -0061-05A D-42 KP -0062-05A A-43 KP-0063-05A Wheels of locomotive group from steel grade B. Wheels of locomotive group from steel grade B. Development of production of new size. Wheels of locomotive group from steel grade B. Development of production of new size. Wheels of locomotive group from steel grade B.

KLW WHEELCO SA Address: Via San Salvatore 13 - P.O. Box 745 CH-6902 Paradiso - Lugano, Switzerland Contact telephone: +41 91 261 39 10 Fax: +41 91 261 39 19 E-mail: info@klw-wheelco.ch Interpipe Central Trade GmbH Corneliusstrasse 34, 60325 Frankfurt am Main, Germany Tel.: +49 69 505 02 58 50