This document provides a summary of a report on global water scarcity from the perspective of Ecolab, a water, hygiene and energy technology company. It outlines growing global macro trends that will increase demands on water, energy and food resources. It then discusses Ecolab's unique position and solutions to help customers in water-intensive industries improve water efficiency and reduce risks from water scarcity. Case studies demonstrate how Ecolab technologies have helped customers significantly reduce water usage and costs.

1. WATER SCARCITY:
A REPORT FROM THE
FRONT
Douglas M. Baker, Jr.
Chairman and Chief Executive Officer
27 October 2015

2. Don’t Look at the Waves,
Look for the Current
WATER
2

3. MACRO TRENDS
AGING
POPULATION
GROWING
MIDDLE CLASS
POPULATION
GROWTH
RISE OF THE
MILLENNIAL
CONSUMER
50% MORE
PEOPLE by 2050,
with most growth in
emerging markets
in EMEA, Japan,
and China will
shift CONSUMER
BEHAVIOR;
Drive HEALTHCARE
More DISPOSABLE
INCOME,
DIET SHIFTS to
protein and away
from home dining
Socially-conscious,
less BRAND-LOYAL,
more tech savvy
$ $$$$$

4. WATER-ENERGY-FOOD NEXUS
50% MORE ENERGY 35% MORE FOOD
40% MORE WATER

5. WATER INDISPENSABLE FOR DAILY LIFE
167Gallons of Water
=
55Gallons
of Water =
39,090Gallons of Water
=
450Gallons
of Water =
700Gallons
of Water =
2.6Gallons
of Water =

6. INDUSTRY IS SECOND-LARGEST CONSUMER
Source: World Water Assessment Programme
20%
Industry
10%
Domestic
70%
Agriculture

7. BY 2030…
The world will need:
 30% more water
 40% more energy
 50% more food
The global water industry is
estimated at $483 billion and
growing several percentage
points a year, according to
Global Water Intelligence.

8. “THERE IS NO NEW WATER.
ALL WE HAVE IS HERE.”
- National Geographic
8

9. 2.5%
= FRESH
WATER
glaciers, ice caps
groundwater
lakes, rivers,
ice/snow
1.72%
.75%
.03%
97.5%
= SALT
WATER
vs.
WORLD’S WATER INVENTORY

10. GLOBAL RISKS 2015
1. Water crisis
2. Infectious disease
3. WMD
4. International conflicts
5. Climate change

11. WATER CRISIS MAKING HEADLINES

12. saw a
in its California-based carrot division
profits in early 2015 due in part
to drought followed by intense rains
28% drop
U.S. Based Food Company
Global Agriculture Producer
reported a in 2014 Q4
profits as a drought in the U.S.
damaged pastures used to raise beef
12% drop
North American
Food Company
introduced an
on coffee
packs in early 2015 to
offset impact of Brazil
drought
8% price
increaseestimated that
natural disasters linked to a
changing climate cost the company
around $400 million annually
Consumer Packaged Goods
Manufacturer
Australian
Agribusiness
reported a 64% drop in 2014
profits due to a prolonged drought
• cut grain deliveries by 23%
• nearly halved grain exports
on the development of an $81 million
bottling plant in Southern India in April
2015 due to resistance from local
farmers who cited concerns about
strains on local groundwater supplies
decided not to move forward
Fortune 500 Beverage Company
Source: Ceres 2015
IMPACTING REVENUE & PROFITS

13. By 2020, safely return to
communities and nature an
amount of water equal to what is
used in finished beverages and
their production
Committed to “zero-discharge” operations
as a critical part of a long-term target to
build a resource-saving and no-emission
management enterprise
Intends to cut water use per pound of
product by 20% by 2020, compared
to a 2008 baseline
Cut total water intake by 30% by
2020, compared to 2010 baseline
Aims to reduce direct water
withdrawal per ton of product
by 40% by 2015, compared
to 2005 baseline
Goal to reduce water consumption per
guest night by 25% by 2020, 30% in
water-stressed areas
Further reduce water consumption
20 percent per occupied room by
2020 from a 2007 baseline
Water-use-per-vehicle
reduction goal of 30%
from 2009 to 2015
2015 goal to improve
freshwater efficiency by 5%
2020 target to reduce water
intensity by 15% from 2011 levels
20% reduction in fresh water use
by 2015, compared with 2006
15% improvement in water
use by 2015 as compared
to 2011
THE MOST FORWARD-LOOKING COMPANIES
HAVE AGGRESSIVE WATER GOALS

14. UNIQUE VANTAGE POINT

15. ECOLAB BY THE NUMBERS
ASSOCIATES
IN 171 COUNTRIES
> $30 Billion
Market Cap
6,900 Patents
$14 BILLION ANNUAL SALES
47,000 1.3 MILLION
CUSTOMERS

16. WE ARE UNIQUELY POSITIONED TO HELP
MEET THE WORLD’S GROWING DEMANDS
SAFE FOOD
ABUNDANT
ENERGY
HEALTHY
ENVIRONMENTS
CLEAN WATER

17. SERVING THE WORLD’S MOST
WATER-INTENSIVE INDUSTRIES

18. GLOBAL CUSTOMERS: FOOD
SERVICE, HOSPITALITY AND F&B

19. GLOBAL CUSTOMERS: ENERGY,
POWER AND INDUSTRY

20. DELIVERING EXCEPTIONAL PERFORMANCE
$0.70
$1.20
$1.70
$2.20
$2.70
$3.20
$3.70
$4.20
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
$0
$3,000
$6,000
$9,000
$12,000
$15,000
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
2012 Sales and EPS include the Nalco merger
2013 Sales and EPS include the Champion acquisition
SALES
($ mlns.)
EPS (adjusted)
14% 13%
14%
16%
0%
4%
8%
12%
16%
20 yrs 15 yrs 10 yrs 5 yrs
EPS CAGR
Adjusted Earnings
Two decades of
consistent, double digit
EPS growth

21. DEMAND WILL ACCELERATE

22. Ranked #78 Ranked #9
Ranked #7 U.S. 500 List
Ranked #12 Global 500 List
Ranked #36
Change the World List
Fastest Growing Companies:
Ones to Watch
9th Consecutive Year
China’s Top 100
Green Companies
2015 North America Index
Ranked #43
Ranked #17
Ranked #47
Ranked #2
in Chemicals Industry
Forbes
America’s Best
Employers
Rank #6 in Business
Services & Supplies
DELIVERED THE RIGHT WAY
Ranked #66

23. FOR A CLEANER, SAFER, HEALTHIER WORLD
PROTECTING PEOPLE AND VITAL RESOURCES
Wash more
than 146 billion
plates
Clean dairy
operations to
help process
330 billion glasses of milk
Process
1.2 billion loads
of laundry
Touch
14 trillion liters
of water
Wash more
than 31 billion
hands
Help customers
produce oil and gas on
100offshore
platforms

24. HERE’S WHAT WE SEE
24

25. UNSUSTAINABLE WATER PRICES
Source: Fortune (GWI 2013 data)
Water IN / Out Pricing

26. LONDON INFRASTRUCTURE
Thames Water loses 200 liters per customer, per day,
due to leaks
– The Guardian
AGRICULTURE
60% of water diverted or pumped for irrigation is wasted
– via runoff into waterways or evapotranspiration
– UN Food and Agriculture Organization
US INFRASTRUCTURE
34 billion gallons of drinking water is lost per day, about 1/6
of the US public water systems supply
– EPA
INDUSTRY
Up to 10% of total water use from pump leaks due to
seal failure alone
– EPA
WATER USED AS IF IT’S PLENTIFUL AND
CHEAP

27. INDUSTRY RANGE OF WATER EFFICIENCY
LOW
56,402 L
113,562 L
1.48 L/L
850 L
CSD BOTTLING
PAPER MILL
STEEL MINI-MILL
PROCESSING PLANT
HIGH
LODGING
Liters of water/liter
of product3.95 L/L
56,781 L Liters per ton of paper
96,149 L Liters per ton of steel
250 L
Liters of water/guest
night (ranges across
regions)

28. GOOD NEWS – WE CAN HAVE IT ALL
REDUCE REUSE RECYCLE
 More throughput
 Lower water footprint
 Reduced cost
30% to 90% REDUCTIONS POSSIBLE Compared to Baseline
3D TRASAR
30%
Advantis
45%
Aquanomic
50%
DryExx
90%

29. OUR APPROACH

30. ISSUE IDENTIFICATION
Potential Revenue at Risk =
estimated amount and likelihood
of the revenue that could
potentially be lost at a facility due
to the impact of water scarcity on
operations
Full Value of Water (Risk-
Adjusted Water Price) =
monetary estimate of the full
value of water at a facility level,
based on what water would
cost if supply and demand were
accurately reflected
TECHNOLOGY SOLUTIONS
Improved outcomes
Reduced total cost of
operation
Apex™
DryExx™
Reduced footprint
WHERE IS THE PROBLEM?
Measure water/
footprint analysis
Identify steps to
reduce
Total Plant Assessment
FROM OPERATIONS AT RISK
TO RISK MITIGATION

31. Understand
the full value of
water to your
business
Quantify
water risks in
financial terms
that make
business sense
Calculate
potential revenue
at risk
First-of-its-kind Publicly available No cost
Assess
water scarcity
risks at site and/or
enterprise level
A NEW WAY TO FACTOR WATER RISKS
INTO BUSINESS DECISIONS

32. Beverage plant water usage
= 5,353,591
Water Cost
Risk Adjusted Water Cost
Potential Revenue at Risk
Likelihood of Revenue Loss
$
LOS ANGELES
RIO
MUMBAI
$1.85
$1.11
$.17
$.31
$ $6.33
$ $5.59
$ $4.65
$ $4.79
37%
<1%
96%
17%
BEIJINGLOW
HIGH
MODERATE
MODERATE
VISIBILITY INTO OPERATIONAL RISKS

33. TOTAL PLANT ASSESSMENT
REDUCE | REUSE | RECYCLE
COOLING SYSTEM EFFLUENT
BOILER
POST-TREATMENT
PLANT PROCESS
SOFTENERFILTRATION
INFLUENT
REVERSE OSMOSIS

34. WATER BALANCE CALCULATION

35. TOTAL WATER MANAGEMENT
=
TOTAL WATER MANAGEMENT
Pre-
Treatment
Process
Boiler
Cooling
Post-
Treatment
TOTAL WATER MANAGEMENT

36. MEASURING RETURN ON INVESTMENT

37. PROGRESSIVE DELIVERY
37
Reduce
Single Application
Reuse
Between Applications
Recycle
Post-treatment Recycle
>100% water reduction goal achievement
< 50% Up to 100%< 25%
Water Savings

38. TOTAL PLANT ASSESSMENTS
200+ TPAs have identified water reduction opportunities of 34%
Average Number
of opportunities
Identified per TPA24
Average* SAVINGS
$1M IN SAVINGS
660,000 lbs
69,000,000 gals – 34%
52,500 DTH – 20%

39. 3D TRASARTM ALLOWS HIGH RECYCLING

40. 36,000+ REAL-TIME SENSORS GLOBALLY
Most Efficient
Use of WATER
& ENERGY
OUT
Total
WATER AND
ENERGY IN
BOILERS
PROCESS
POST-
TREATMENT
COOLING
SYSTEM
RAW
MATERIALS
SURFACE
WATER
ENERGY
RAW WATER
TREATMENT
AIR RELEASES
DISCHARGE
WATER
SOLID WASTE
PRE
TREATMENT

41. THE MOST EXTENSIVE WATER DATA SYSTEM
SYSTEMS
MONITORED IN 123 COUNTRIES
27 Billion
DATA POINTS
COLLECTED PER YEAR
10,000
CHEMICAL TANK LEVELS
AUTOMATICALLY MONITORED
68,000
SYSTEM UDPATE REPORTS
DELIVERED PER MONTH
36,000

42. - $1.42M
- 2.2 Billion
gallons
- 6.2Million
KWh
- 1,226Metric
Tons
LOCATION
Romania
Implementation of 3D TRASAR®
Technology in blast furnace open
cooling systems
CASE STUDY
Raw Materials & Ingredient Processing

43. - $1.5M
- 1.84 Million
gallons
LOCATION
South Africa
Implemented 3D TRASAR® Technology
for Cooling Water, 24/7 System
Assurance Center and formal audits
560% ROI
GAS-TO-LIQUIDS
REFINERY
CASE STUDY
Raw Materials & Ingredient Processing

44. LOCATION
Cold Spring, MN
Inspexx Inside Outside Bird Washer
(IOBW) Water Recycling System
(WRS) helped make progress toward
company goal of reducing water use
- $190,600
- 68 Million
gallons
20% production capacity
INCREASE in
Eliminated the need for a
$500,000 investment
in additional water treatment capacity
CASE STUDY
Production & Manufacturing

45. - 65 Million
gallons
- 946K Therms
- 15,400 Metric
Tons
LOCATION
United States
Sodexo used Apex Warewashing, Solid
Power XL Warewash, Wash ‘n Walk Floor
Cleaner, Oasis Pro Housekeeping solutions
and 3D TRASAR® Technology to reduce
carbon & water intensity & waste
- 4.5 Million
Pounds
CASE STUDY
Retail Services

46. Chemical Processing
- $4 Million
- 1 Billion gallons
LOCATION
Freeport, TX
Enough water for the daily use of
more than 14.4 million people.*
*Based on average daily water use estimated by the American Water Works Association.
In 1 year at 1 plant, enough water saved
to sustain the population of Freeport,
Texas for 3 years
CASE STUDY

47. “DO NOT WAIT UNTIL
YOU ARE THIRSTY
TO BUILD A WELL.”
- Japanese Saying