Lizzy Bee

Volvo Penta

Volvo Group Organization

Corporate presentation 2013 2 Date

Group Trucks Sales & Marketing

APAC

Group Trucks Technology

Group Trucks Operations

Group Trucks Sales & Marketing

Americas

Group Trucks Sales & Marketing

EMEA

Volvo Buses Construction Equipment

Volvo Penta

BUSINESS AREAS

Governmental Sales

Volvo Penta

AB VOLVO

2012 Global Production Diesel engines 10-18L

Volvo Penta Department, Name, Security Class 4 Date

History of Marine Innovations

IPS

Duoprop Joystick

1959 1973 1982 2004 2005 1922

U2

Aquamatic sterndrive

1907

Saildrive

Volvo Penta VPA, Product management

10/9/2012

D13 Volvo • The D13 base engine is used within the Volvo group for several different

applications: – Trucks – Buses – Construction Equipment – Volvo Penta

• Marine Commercial • Marine Leisure • Industrial VE and GE

• Base engine commonality D9,D11,D13,D16 • The D13 base engine is produced in a modern, automated engine plant. • 85.000 D13 engines are forecasted for 2013 production.

750.000 built since 2006.

5

Volvo Penta VPA, Product management

10/9/2012

Compact & service friendly

High capacity alternator • All with automatic tensioner Plate type heat exchanger

with integrated oil cooler for compact dimensions

Closed crankcase ventilation

D13 Marine Engine

Easy accessible rear facing sea water pump

Easy accessible service fuel, oil & air filters

Oil dipstick and oil fill.

Coolant check & fill

6 cylinder in-line

12,78 liter

Bore 131mm Stroke 158 mm

4 valve / cylinder

Overhead camshaft

Electronically controlled Unit injectors

6

Volvo Penta D13 New Orleans 2012 - Thomas Lantz - CB76000 7 2012-12-04

Rpm %

Torque at full throttle increases if engine loses rpm due to heavy load: • Better load-carrying ability. • High cruising speed even with a fully loaded boat.

High torque directly from low revs gives: • Easy and powerful manoeuvring. • Rapid acceleration

Major technical features Torque for marine use

Volvo Penta Department, Name, Security Class 8 Date

Volvo Penta IPS

• 30% reduced fuel consumption • 30% less CO2 emissions • 40% longer operating range • 50% lower perceived noise

and vibration level • 20% higher top speed • Joystick Docking

Volvo Penta

IPS Range after 12 years

D4 IPS 1 350-400

D6 IPS 1

450-500-600

D11 IPS 2 800-950

IPS 3 D13 IPS 1050-1200

6/14/2016 John Garvey, VPA Marine Sales 9

Volvo Penta

5.Technology

• 12 years since introduction of IPS!

• Over 18,000 IPS units produced since 2004!

• Continuous product enhancements improving reliability and durability for the commercial market

• Volvo Penta continues to invest in POD technology with the introduction of a 4th model IPS

• Electronic platform EVC – Can bus integration since 2004

• IPS – Designed, engineered, manufactured and supported by one company!

Virginia Pilots Assoc.

6/14/2016 10

Volvo Penta Volvo Penta of the Americas, Inc.

6/14/2016, Slide 11

Volvo Penta IPS

A complete package

Full redundancy in the EVC system.

Electronic steering, shift and throttle.

Propulsion forces and vibrations absorbed by the twin rubber rings.

Unique, steerable pods.

Exhaust fumes emitted into the prop wash.

Joystick option.

Forward-facing, twin counter-rotating propellers.

Volvo Penta Pilot Boat Strategy

Fuel consumption

30 % lower fuel consumption at 30 knots

6/14/2016 12

Volvo Penta

Volvo Penta of the Americas, Inc. 6/14/2016, Slide 13

Volvo Penta in 1988: Rear facing pod • Efficiency improvement but not good enough • Improved fuel consumption • Some NVH improvement • Prop Location Problematic

IPS Functionality -Why pulling propeller … ?

Every Option Considered !

Volvo Penta in 1999: Pulling propellers • Efficiency improvement but not good enough • Improved fuel consumption • Prop Location Problematic

Volvo Penta

Volvo Penta of the Americas, Inc. 6/14/2016, Slide 14

IPS Functionality Why pulling propeller… ?

Propeller Location: Well proven - Same as inboard Undisturbed water to the propeller

Volvo Penta

IPS Structural Integrity

Hull must be stronger than the drive !

Lamination schedule tested and approved by Volvo Penta

Volvo Penta Volvo Penta of the Americas, Inc.

6/14/2016, Slide 16

IPS Functionality Inboard Performance System Components

Water Intake

Exhaust Outlet

SUS Steering Unit (Servo Unit Steering)

Exhaust System

Hydraulic reverse gear

Volvo Penta Volvo Penta of the Americas, Inc.

6/14/2016, Slide 17

IPS Safety-Typical Grounding Conventional Boat

Volvo Penta , Slide 18

Volvo Penta IPS Safety

Designated break point Hull is still sealed after breakaway of lower unit • Minimized risk of leakage • Virtually no fiberglass damage

Volvo Penta

What if I hit a floating object in the water such as a Crab Pot?

• A. You could tangle a line but the counter rotating props tend to chop line. We also offer line cutter as an accessory item.

• B. You could bend a prop blade. Props can be changed without special tools in less than an hour by an inexperienced diver.

• C. You could damage the lower unit horizontal shaft. The boat would need to be hauled, oil drained and new shaft installed. Installation is less than one day including haul out.

IPS Review 2012 19 6/14/2016

Volvo Penta

EVC platform Strength

One System

All Engines

One System

All functions

One Point of Contact

One Way of

Installation

One Service tool

One User interface

One Company

Designed,Tested & Manufactured

John Garvey, VPA Marine Sales 6/14/2016 20

Volvo Penta

IPS Bells & Whistles Feature Advantage Benefit Dynamic Positioning Eliminate manual

anchor Stress free boating while waiting on bridges,docking,fishing

Clear Wake Exhaust Less Exhaust noise & turbulence

Less disturbed water at the transom

Cruise Control Car Like interface Ease of boat speed adjustment

Low Speed Decrease Boat Speed Safer close quarters maneuvering

Joystick Driving Ease of Driving Intuitive Driving Single Lever Sync Fewer Throttle

Adjustments Easier Boating

Volvo Glass Cockpit Clean Helm One product at the helm

John Garvey, VPA Marine Sales 21 6/14/2016

Volvo Penta Volvo Penta of the Americas, Inc.

6/14/2016, Slide 22

IPS-3 Service Service data: • Oil volume IPS approx. 31 liters • Oil change interval Every 2 years or 400 hours • Oil grade GL5 75W-90 Synthetic

•Prop Shaft Seals 1000 Hrs. (new 3000 Hr. seals available)

Volvo Penta

Overall Satisfaction after One Year

With Dealer

With Engine

With Boat

66%

86%

80%

62%

80%

78%

64%

76%

64%

Fixed Shaft Inboard Propulsion 2007 IPS Owners 2010 IPS Owners

IPS Review 2012 6/14/2016 23

IPS Owners vs. Traditional Inboard Owners

Volvo Penta

• 206 Volvo Power Boats Total

• 87 IPS Power Boats

• IPS 1200 Boats

– Riviera 57 Enclosed FB

– Sabre 66 Dirgio

– Prestige 68

– Monte Carlo 5S

– Marquis 660 Sport Yacht

– Azimuth 775

– Azimuth 76 Magellan

Corporate presentation 2012 24 Date

2016 Miami Boat Show Record Number of Volvo IPS Boats

Volvo Penta VPA 25 February 5, 2016

Volvo Penta Advantages Volvo has large US presence

• Volvo and Mack Trucks

• Volvo Construction Equipment

• Volvo Penta Marine and Industrial

• World Wide Service Network

Customized Service Training Classes

Key Customer Support 24/7

New 1,000,000 sq./ft. Parts Warehouse in Byhalia, MS

Local Service Dealers