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Presentation Slides

1) Aerospace & Defense Market Monitor Winter 2016 MOSS ADAMS CAPITAL LLC

2) Aerospace in January 2016  Low Oil Prices are leading to record profits for the airlines. While it will likely bring competitive price pressure, the lower fuel costs will be a net positive for the carriers.  On-Going Demand for Fuel Efficiency. The airline industry remains extremely competitive, and new aircraft, with new fuel efficient engines, are crucial for the major carriers to remain competitive.  Success for the 737Max and A320neo. Boeing rolled out its 737Max and the first test flight went as planned. Airbus A320neo is flying as well. These two single-aisle aircraft, with new fuel-efficient engines, account for 64% of new orders, and 56% of the backlog at the end of 2015.  Record Deliveries for Boeing. Boeing delivered a record 762 aircraft in 2015. Production rates are increasing for most aircraft, while new orders are slowing.  Valuations Remain Higher than Overall Market. Valuations of small-cap aerospace companies are still ahead of the general S&P500, but investor concerns about the global market and slowing orders has taken about a 1x EBITDA multiple off values. As an example, Boeing stock was at roughly $120 at end of January compared to $145 at end of 2015.  Aerospace M&A Remains Active. Both strategic and financial investors remain aggressive in consolidating suppliers within both the commercial and defense aerospace markets. Private-equity backed companies have emerged as strategic buyers themselves as they consolidate multiple suppliers and gain efficiencies.  You Will Get Calls. The owners of private aerospace suppliers will continue to get unsolicited calls from inquiring buyers. Being ready and prepared will protect value. Aerospace & Defense 2 MOSS ADAMS CAPITAL LLC

3) Production Rates Rise as Orders Head Down New Aircraft Orders Single-aisle Widebody Total Orders in 2012 2,192 286 2,478 Orders in 2013 2,498 689 3,187 Orders in 2014 2,834 605 3,439 Orders in 2015 1,632 385 2,017 Change in 2015 (1,202) (220) (1,422) Order Intake is falling. Delivered in 2012 870 319 1,189 Delivered in 2013 933 341 1,274 Delivered in 2014 975 377 1,352 Delivered in 2015 986 411 1,397 Change in 2015 11 34 45 Deliveries continue to rise. Backlog Dec. 31, 2015 10,676 2,655 13,331 Change in 2015 499 (92) 407 Growth in backlog is slowing. Aircraft Deliveries Single-aisle Widebody Total Aircraft Backlog Single-aisle Widebody Total Backlog Dec. 31, 2012 Backlog Dec. 31, 2013 Backlog Dec. 31, 2014 7,327 8,636 10,177 2,352 2,661 2,747 9,679 11,297 12,924 • Valuations for publicly-traded aerospace companies are down from mid-year 2015. • Volatility in January 2016 has placed additional pressure on valuations. Source: Aerospace Market News, January 2016. Aerospace & Defense 3 MOSS ADAMS CAPITAL LLC

4) Single-Aisle Dominates the Backlog. • Single-aisle demand is driven by new-engine options … the largest gains are for A320neo, 737 MAX, and the A319neo. • Nearly 60% of the backlog is A320neo and 737 MAX (with over 6,100 aircraft). This is up from beginning of year. • The rate of order intake is slowing in 2015 compared to prior years. • Boeing production rate still rising for 737. Suppliers are keeping pace. • In the U.S., suppliers to the 737 program have 7-8 years of predictable backlog ahead. Source: Aerospace Market News, December 2015. Aerospace & Defense 4 MOSS ADAMS CAPITAL LLC

5) Valuation Alert: January Volatility – Impacting Aerospace Valuations  Public market valuations are down over a one year period, and in particular, over the last two weeks, due to uncertainty about earnings growth, China’s economy, oil prices, currencies, and long-term interest rates.  Over a one year period, equity investments in small and mid-Cap aerospace companies have lost 14% versus a loss of 7% for the overall S&P 500 index, and a loss of 4% for Boeing.  Trading multiples for Small and Mid-Cap aerospace suppliers are at an average of 10.9x EBITDA, while the S&P 500 is trading at 9.8x EBITDA and Boeing at 8.4x. EBITDA Multiples Small / Mid Cap Aerospace Stock Performance 25% 14.0x 20% 13.0x 10% EV / EBITDA Market Performance 15% 5% 0% -5% -10% -15% 12.0x Small / Mid Cap 11.0x Boeing Aerospace 10.9x -4% 10.0x S&P 500 -7% S&P 500 9.8x Small / Mid Cap 9.0x Aerospace -14% Boeing 8.4x -20% 8.0x Note: Small and Mid-Cap Aerospace companies are composed of the public companies included on slide 5. Source: Capital IQ as of 1/19/16. Aerospace & Defense 5 MOSS ADAMS CAPITAL LLC

6) Small/Mid-Cap Aerospace Firms: Valuations ($US in millions, except where noted and per share amounts) 1/19/2016 Company Name Share Price TTM Data 52 week High/Low Market Cap Enterprise Value Sales EBITDA NTM Est. Growth EBITDA Margin Sales EBITDA EV Multiple TTM Sales TTM EBITDA NTM Sales NTM EBITDA Small/Mid Cap Aerospace B/E Aerospace Inc. $38.01 $64.58 / $37.35 $3,973 $5,842 $2,708 $514 19.0% 4.2% 16.6% 2.2x 11.4x 2.1x 9.7x TransDigm Group Incorporated 220.82 244.90 / 200.00 13,446 21,234 2,707 1,204 44.5% 16.2% 19.5% 7.8x 17.6x 6.7x 14.8x Spirit AeroSystems Holdings, Inc. 43.98 57.99 / 41.46 5,997 6,096 6,609 1,033 15.6% 2.9% 4.2% 0.9x 5.9x 0.9x 5.7x Hexcel Corp. 38.93 54.72 / 38.46 3,678 4,232 1,868 398 21.3% 4.1% 14.5% 2.3x 10.6x 2.2x 9.3x Esterline Technologies Corp. 74.68 120.45 / 69.77 2,211 2,911 1,936 280 14.5% 5.9% 20.2% 1.5x 10.4x 1.4x 8.7x Teledyne Technologies Inc. 77.01 111.81 / 76.49 2,729 3,371 2,320 382 16.5% (0.5%) 0.4% 1.5x 8.8x 1.5x 8.8x Triumph Group, Inc. 32.04 70.68 / 31.20 1,580 3,145 3,912 351 9.0% 0.0% 81.1% 0.8x 8.9x 0.8x 4.9x Moog Inc. 52.40 77.28 / 51.02 1,923 2,690 2,526 337 13.3% 1.3% 2.8% 1.1x 8.0x 1.1x 7.8x Curtiss-Wright Corporation 65.75 77.57 / 58.00 3,006 3,717 2,190 381 17.4% 3.3% 20.6% 1.7x 9.7x 1.6x 8.1x HEICO Corporation 52.37 63.73 / 47.24 3,219 3,728 1,189 278 23.4% 9.2% 8.6% 3.1x 13.4x 2.9x 12.4x AAR Corp. 21.88 34.24 / 18.39 767 838 1,598 61 3.8% 9.5% 151.1% 0.5x 13.8x 0.5x 5.5x Astronics Corporation 32.23 77.35 / 31.70 825 1,011 701 129 18.4% 2.0% 5.7% 1.4x 7.8x 1.4x 7.4x Ducommun Inc. 12.89 33.45 / 12.59 143 391 697 51 7.4% (5.1%) 34.9% 0.6x 7.6x 0.6x 5.6x 9.13 14.79 / 9.09 121 391 374 39 10.3% 5.1% 24.3% 1.0x 10.1x 1.0x 8.1x Median $3,258 $2,063 $344 16.0% 3.7% 18.0% 1.4x 9.9x 1.4x 8.1x Average $4,257 $2,238 $388 16.7% 4.2% 28.9% 1.9x 10.3x 1.8x 8.3x LMI Aerospace Inc. as of January 19, 2016 Note: Not meaningful (NM) if EV/Sales is greater than 10x, or EV/EBITDA is greater than 20x. NA if denominator is 0, for percentages and multiples, or if estimates are not available. NTM figures are based on the median estimate of Wall St. analysts. Source: Capital IQ as of 1/19/16. Aerospace & Defense 6 MOSS ADAMS CAPITAL LLC

7) Recent A&D Transactions with Disclosed Value $ in millions Transaction Value Announced Acquirer/Investor Target Target Description 02/03/16 Liberty Hall Capital Partners, L.P. AIM Aerospace, Inc. Designs, manufactures, and supplies interiors, composites, ducting and tooling products to airlines and original equipment manufacturers worldwide. $220.0 01/08/16 GE Aviation Convergence Fuel Systems, LLC Designs and manufactures fuel systems for commercial aerospace applications $323.4 12/21/15 HEICO Electronic Technologies Corp. Robertson Fuel Systems, LLC Develops, manufactures, and markets primary and auxiliary fuel systems for rotary and fixed wing aircraft and ground combat vehicles. $255.0 11/19/15 Senior plc (LSE:SNR) STEICO Industries Inc. Manufactures precision tube and welded assemblies for aerospace companies 11/19/15 TransDigm Group Incorporated (NYSE:TDG) Breeze-Eastern Corporation (AMEX:BZC) 10/22/15 Benchmark Electronics Inc. (NYSE:BHE) 10/13/15 Metric $75.0 2.03x Rev Designs, develops, manufactures, sells and services engineered mission equipment. $197.0 1.8x Rev; 8.0x EBITDA Secure Communication Systems Inc. Designs and manufactures tactical mission computing products $230.0 L-3 Communications Holdings Inc. (NYSE:LLL) L-3 ForceX Provides navigation, surveillance, tracking, command and control, and situational awareness solutions to customers in security and defense industries. $60.0 09/25/15 Kolon Glotech, Inc. DACC Co., Ltd Manufactures carbon / carbon-composites for aircraft brake disks, as well as high temperature jigs and fixtures. $22.3 0.9x Rev 09/23/15 BBA Aviation plc (LSE:BBA) Landmark Aviation, L.L.C. Provides end-to-end services for business and general aviation customers. One of the largest FBO networks in the world. $2,065.0 2.9x Rev; 18.0x EBITDA 09/22/15 Meggitt (Rockmart), Inc. EDAC Composites LLC Produces composites for the aerospace & defense industries. $340.0 2.9x Rev; 10.6x EBITDA 09/16/15 Aerojet Rocketdyne Holdings, Inc. (NYSE:AJRD) United Launch Alliance, LLC Provides space launch services. 09/09/15 Versar Inc. Johnson Controls Security Systems, LLC Serves Federal clients by designing, installing and supporting physical security, network security, and facilities management systems. 08/27/15 The Carlyle Group LP Novetta Solutions, LLC Provides advanced analytics software and solutions to detect threat and fraud, for government and commercial enterprises worldwide. $2,000.0 $20.0 0.6x Rev $650.0 14.4x EBITDA Source: Capital IQ as of 02/03/16. Aerospace & Defense 7 MOSS ADAMS CAPITAL LLC

8) Recent A&D Transactions with Disclosed Value (continued) $ in millions Transaction Value Metric $37,916.7 3.7x Rev; 13.9x EBITDA Announced Acquirer/Investor Target Target Description 08/10/15 Berkshire Hathaway Inc. (NYSE:BRK.A) Precision Castparts Corp. (NYSE:PCP) Manufactures and sells metal components and products to the aerospace, power, and general industrial markets. 08/07/15 Sunvair Aerospace Aviation Avionics & Instruments, Inc. Aircraft repair company. $29.0 08/06/15 Rockwell Collins Inc. International Communications Group, Inc. Designs, develops, and manufactures communications systems and solutions for aerospace & defense industry. $50.0 07/30/15 Sensata Technologies Holding NV Custom Sensors & Technologies, Inc. Comprised of sensing product lines and brands, including Kavlico, BEI, Crydom, and Newall. $1,000.0 07/28/15 TransDigm Group Incorporated (NYSE:TDG) PneuDraulics, Inc. Develops and manufactures precision hydraulic components for the aerospace industry. $325.0 07/28/15 GKN plc Fokker Technologies Group B.V. Supplies aerostructures, electrical wiring systems, landing gear, etc. for the military and business jet end markets. $778.3 0.8x Rev; 9.2x EBITDA 07/27/15 Precision Castparts Corp. (NYSE:PCP) Noranco Inc. Manufactures aerostructures, landing gear systems, and aero engine precision components. $560.0 10.0x EBITDA 07/20/15 Lockheed Martin Corporation (NYSE:LMT) Sikorsky Aircraft Corporation Designs, manufactures, and services commercial and military helicopters. $9,000.0 1.2x Rev; 13.0x EBITDA 06/30/15 H-D Advanced Manufacturing Company Firstmark Corporation Manufactures and sells components and sub-assemblies for aerospace and defense applications. $84.0 06/29/15 Ballard Power Systems Inc. Protonex Technology Corporation Manufactures power management products. $25.1 06/19/15 Astro-Med, Inc. RITEC Corporation Designs and manufactures computer and related peripheral products for the military and aerospace industries. 06/09/15 Global Defense & National Security Systems, Inc. STG Incorporated Provides a variety of services including cyber security and intelligence solutions. $165.5 0.8x Rev; 9.0x EBITDA 06/01/15 Handy & Harman Group Ltd. JPS Industries, Inc. Manufactures materials for highly engineered products. $110.7 0.7x Rev 3.1x Rev 1.8x Rev $7.4 Source: Capital IQ as of 02/03/16. Aerospace & Defense 8 MOSS ADAMS CAPITAL LLC

9) Recent A&D Transactions with Disclosed Value (continued) $ in millions Transaction Value Metric $1,037.0 1.0x Rev; 12.0x EBITDA Manufactures systems, subsystems, and components for electronic warfare, missile, radar, intelligence surveillance, and reconnaissance programs. $265.0 1.2x Rev:12.0x EBITDA CTC Aviation Group Ltd Operates as an airline training organization. $218.5 2.5x Rev Veritas Capital StandardAero Business Aviation Services, LLC Provides MRO services and custom solutions for aircraft and rotorcraft engines. $2,275.0 1.3x Rev; 11.9x EBITDA 05/21/15 Cyberit Ltd. NICE Systems Ltd., Cyber and Intelligence Division Provides cyber and intelligence solutions. $157.9 2.0x Rev 05/15/15 Magellan Aerospace Corp. Euravia Engineering & Supply Co. Ltd Operates as an aviation company that provides repair and overhaul services for a range of gas turbines, and engine and airframe components. $47.0 2.2x Rev 05/18/15 Ametek Inc. Global Tubes Manufactures precision engineered tube products. $500.0 1.7x Rev 04/30/15 TransDigm Group Incorporated (NYSE:TDG) Pexco LLC, Aerospace Business Designs, fabricates, and delivers custom plastic extrusion products for specialty uses in industries including aerospace and defense. $336.0 2.2x Rev; 10.0x EBITDA 04/28/15 ManTech Interational Corporation Welkin Associates, Ltd Provides systems engineering and technical assistance support (SETA) to the US government and commercial clients. $34.0 1.0x Rev 04/23/15 API Technologies Corp. Aeroflex/Inmet Inc. and Aeroflex / Weinschel, Inc. A portfolio of aerospace parts manufacturers and test equipment. $80.0 1.6x Rev 04/14/15 Sparton Corp. Hunter Technology Corporation Provides electronic design and manufacturing services for a variety of industries, including A&D. $68.0 0.8x Rev 04/09/15 Insitu, Inc. 2d3 Inc. Provides science solutions for industrial, defense, and entertainment applications. $24.8 3.0x Rev 04/01/15 Adams Rite Aerospace, Inc. Adams Rite Aerospace, Inc. Designs and manufactures control and security systems for customers in the commercial, military, and general aviation aerospace markets. $75.0 1.7x Rev; 8.3x EBITDA Announced Acquirer/Investor Target Target Description 06/01/15 Apollo Global Management, LLC OM Group Inc. Develops and manufactures magnetic materials, chemicals, batteries, and battery management systems. 06/01/15 Ultra Electronics Defense, Inc. Kratos Defense & Security Solutions, Inc., Electronic Products Division 05/28/15 L3 Communications Holdings, Inc. 05/26/15 Source: Capital IQ as of 02/03/16. Aerospace & Defense 9 MOSS ADAMS CAPITAL LLC

10) Recent A&D Transactions with Disclosed Value (continued) Transaction Value Target 04/01/15 ITT Corporation Hartzell Aerospace Group Designs and manufactures a variety of products for use in the aerospace industry. 03/26/15 Roller Bearing Company of America, Inc. Avborne Accessory and Sonic Industries and Sargent Aerospace Canada Provides repair and overhaul services to the commercial and military aviation industry worldwide. 03/20/15 Better Capital PCC Limited CAV Aerospace Limited Manufactures aerostructures and ice protection systems. 03/09/15 Alcoa Inc. (NYSE:AA) RTI International Metals, Inc. (NYSE:RTI) Supplies titanium mill products for the commercial aerospace sector, along with other industries. 03/01/15 Science Applications International Corporation Scitor Corporation 02/23/15 TransDigm Group Incorporated (NYSE:TDG) 02/06/15 1.6x Rev; 8.5x EBITDA $500.0 Target Description Metric $53.1 Announced Acquirer/Investor 2.6x Rev; 9.4x EBITDA $59.7 $1,821.0 1.9x Rev; 12.9x EBITDA Provides engineering and integration services for a range of industries including aerospace. $790.0 1.3x Rev; 15.2x EBITDA Telair International GmbH and Nordisk Aviation Products Manufactures, and supports on-board baggage and cargo handling systems for wide and narrow body aircrafts. $725.0 2.4x Rev; 12.1x EBITDA Harris Corporation (NYSE:HRS) Exelis Inc. Provides (C4ISR) electronics and systems in the United States and internationally. $5,193.2 1.4x Rev; 9.1x EBITDA 01/26/15 CAE Inc. (TSX:CAE) Bombardier Inc., Military Aviation Training Provides military aviation training activities. 01/12/15 Onex Corporation (TSX:OCX) Survitec Group Limited Manufactures survival and safety equipment for marine, offshore and aviation industries. 01/06/15 Meggitt PLC Precision Engine Controls Corporation Manufactures industrial turbine control systems and related components. 01/05/15 Chart Acquisition Corp. (OTCPK:CACG) Tempus Applied Solutions, LLC Offers aircraft engineering, integration and operations solutions to support missions of the U.S. $15.9 $680.0 1.8x Rev $44.2 $100.2 Deal Revenue EBITDA Size Multiple Multiple Transactions Represented 50 32 20 Median $219.3 1.7x 11.3x Mean $1,432.2 1.8x 11.4x Source: Capital IQ as of 02/03/16. Aerospace & Defense 10 MOSS ADAMS CAPITAL LLC

11) Middle Market M&A Volume Declines in Q4 after Historic Q1-Q3 2015 • Overall, 2015 was a record year for M&A with transaction values totaling $4.7 trillion, according to Thomson Reuters • EBITDA multiples in middle market transactions in Q4 2015 finished the quarter at 8.3x EBITDA, equal to the 5 year average for this metric and up from Q2 and Q3 2015. • In Q4 2015, U.S. middle market M&A deal volumes declined 15% from Q3 2015, and declined 26% from Q4 2015. • Q4 2015 EBITDA margins of reportable transactions surged also remained consistent with the 5 year average for this metric. Reported EBTIDA margins in Q4 2015 were 9%, while the 5 year average for this metric is 8%. • U.S. middle market M&A activity, measured by deal values, remained consistent with prior quarters at $94 billion of aggregate transaction value closed in Q4. U.S. MIDDLE MARKET M&A 1 U.S. MIDDLE MARKET M&A VALUATIONS 2 1) Middle market M&A includes transactions with undisclosed values, and disclosed values where EV < $500 million. 2) Middle market M&A includes transactions with disclosed EBITDA, where EV < $500 million and EV/EBITDA between 3.0x and 15.0x. Note: transactions with disclosed EBITDA represent <5% of all transactions. Source: CapitalIQ. Aerospace & Defense 11 MOSS ADAMS CAPITAL LLC

12) Moss Adams at a Glance: Leadership through Experience and Results Moss Adams Capital LLC Moss Adams LLP • • 100+ years old – Founded in 1913 • Largest accounting firm headquartered in the western U.S. Full-service investment banking and strategic advisor services • Dedicated industry specialists • Focus on privately owned and family-held companies • 2,200 employees in 28 offices • Fully integrated accounting, tax, and business advisory firm • Mergers and acquisitions • Middle-market specialists • Private debt & equity placements • • Mezzanine capital • Due Diligence preparation & advisory The Moss Adams Advantage: Discrete, highly leverageable transaction resources and services International Presence • Aerospace & Defense Major market affiliates throughout the U.S. and more than 100 countries around world 12 MOSS ADAMS CAPITAL LLC

13) Expert Teams for Aerospace Companies Industry Expertise & Relationships INDUSTRY KNOWLEDGE MATCHED WITH AN EXPERIENCED TEAM IndustrySpecific Accounting • Senior-Level Attention • Commitment to Our Clients • Professional Excellence • Objective & Independent Advice Strategic Planning & Exit Advice Relevant Tax Expertise • Creating Value for Owners • Global Presence & Capabilities Investment Banking & Transaction Support Aerospace & Defense Premier accounting and financial services advice for middle-market aerospace companies. 13 MOSS ADAMS CAPITAL LLC

14) Contact Us Aerospace Team: Harman Wales Managing Director (206) 302-6770 jet.wales@mossadams.com Kurt Lippmann Partner (425) 317-3042 kurt.lippmann@mossadams.com Scott Porter Vice President (206) 302-6326 scott.porter@mossadams.com Richard Anderson Managing Director (949) 221-4006 rich.anderson@mossadams.com Wiley Kitchell Managing Director (206) 302-6780 wiley.kitchell@mossadams.com Daniel Seubert Analyst (206) 302- 6775 daniel.seubert@mossadams.com Moss Adams Capital LLC 2040 Main Street Suite 900 Irvine, CA 92614 Aerospace & Defense 999 Third Avenue Suite 2800 Seattle, WA 98104 14 MOSS ADAMS CAPITAL LLC