m - The Weir Group

The Weir Group PLCAnalysts PresentationLondon, 21 March 2007ExcellentEngineeringSolutions2006 Full Year Results

The Weir Group PLCExcellentEngineeringSolutionsFinancial Highlights 20062006 Group ResultsContinuing Operations2006 Variance%Order Input (1) £1,099.5m Up 23%Revenue £940.9m Up 19%Operating profit (2) £87.7m Up 32%Pre-tax profit (2) £87.1m Up 40%Earnings per share (2) 32.4p Up 38%Cash generated from Operations £134.5m Up 89%Dividend 14.5p Up 10%(1) Excludes JVs & Associates; calculated at 2006 average exchange rates(2) Adjusted to exclude exceptional items3

4The Weir Group PLCAnalysts PresentationLondon, 21 March 2007ExcellentEngineeringSolutions2006 Full Year ResultsFinancial review

The Weir Group PLCExcellentEngineeringSolutionsConsolidated Income Statement2006£m2005£mRevenue – Continuing Operations 940.9 789.4Profit from Continuing Operations 87.7 66.3Exceptional items 15.7 (24.7)Operating profit from Continuing Operations 103.4 41.6Net Interest & Other Finance Income (0.6) (4.1)Profit before Tax from Continuing Operations 102.8 37.5Profit before Tax from Continuing Operations (Pre exceptional items) 87.1 62.2Tax (22.6) (13.8)Profit from Continuing Operations after Tax 80.2 23.7Profit from Discontinued Operations 1.4 2.381.6 26.0EPS – Continuing (Pre Exceptional items) 32.4p 23.5pEPS – Total Operations (Post Exceptional items) 39.4p 12.6pDividend per share 14.5p 13.2p5

6The Weir Group PLCExcellentEngineeringSolutionsRevenue Up £151.5mContinuing Operations 2006 2005£m £m(1)Engineering Products 608.5 501.4 +21%(1)Engineering Services 225.2 218.8 +3%(1)Defence, Nuclear & Gas 107.2 68.3 +57%940.9 788.5 +19%Foreign Exchange - 0.9Group Operations 940.9 789.4 +19%(1) 2005 restated at 2006 average exchange rates

The Weir Group PLCExcellentEngineeringSolutions(1)Operating Profit Up £21.4mContinuing Operations 2006 2005 Variance 2006 2005£m £m £m % %(1) (2)Engineering Products 62.6 41.9 20.7 10.3 8.4(2)Engineering Services 12.4 13.6 (1.2) 5.5 6.2(2)Defence, Nuclear & Gas 9.8 6.7 3.1 9.1 9.8Central Costs (7.6) (5.1) (2.5)77.2 57.1 20.1 8.2 7.2JVs & Associates 10.5 9.2 1.387.7 66.3 21.4Foreign Exchange - --(1)Operating Profit 87.7 66.3 21.4(1) Profit before exceptional items, net finance costs and tax(2) 2005 restated at 2006 average exchange rates7

The Weir Group PLCExcellentEngineeringSolutionsExceptional Items – Continuing Operations2006 2005£m £mProfit on sale of Huddersfield Site 6.8 -Fundamental restructuring costs (1.8) (24.7)Pension Scheme benefit amendments 10.7 -Net exceptional items 15.7 (24.7)8

The Weir Group PLCExcellentEngineeringSolutionsNet Interest Expense2006 2005 Variance£m £m £mInterest Costs (10.8) (6.6) 4.2Interest Income 5.3 2.0 (3.3)Net Interest Costs (5.5) (4.6) 0.9Other Finance Income – retirement benefits 4.9 0.5 (4.4)(0.6) (4.1) (3.5)9

10The Weir Group PLCExcellentEngineeringSolutionsTaxationProfitBeforeTax Tax Rate£m £m %Excluding exceptional items:- before JVs & Associates 76.6 (19.9) 26- JVs & Associates 14.2 (3.7) 2690.8 (23.6)Exceptional items 15.7 (2.7) 17106.5 (26.3) 25JVs & Associates (3.7) 3.7Reported in Income Statement 102.8 (22.6)

The Weir Group PLCExcellentEngineeringSolutionsCash Flow and Net Debt2006£m2005£mOperating cash flows – pre working capital and pension contribution 99.6 76.7Working Capital 34.9 (5.4)Cash generated from operations 134.5 71.3Special Pension Contribution (7.0) (10.0)Operating cash flows 127.5 61.3Interest and tax (19.5) (14.3)Net Capex (26.6) (25.1)Dividends paid (27.7) (26.6)Other cash flows 4.6 (0.4)Net Cash Movements (Pre exceptionals) and Acquisitions / Disposals 58.3 (5.1)Acquisitions / (Disposals) (3.9) (61.4)Fundamental restructuring costs and exceptionals 2.5 (16.6)Net cash movements 56.9 (83.1)Non-cash movements 12.4 (5.9)Movement in net debt 69.3 (89.0)Opening net (debt) / funds (76.4) 12.6Closing net debt (7.1) (76.4)11

12The Weir Group PLCExcellentEngineeringSolutionsWorking Capital Cash FlowContinuing operations 2006CashFlow£m2006ClosingBalanceSheetClosing BalanceSheetAs % of revenue£m 2005 2006Inventories (7.0) 120.9 15.6 12.8Trade and other receivables (2.9) 203.8 26.3 21.7Trade and other payables 34.2 (197.5) (22.1) (21.0)Advance Payments 10.9 (14.9) (0.6) (1.6)Construction Contracts (0.1) (11.4) (1.4) (1.2)Forward currency contracts (0.2) 6.6 (0.6) 0.734.9 107.5 17.1 11.4

The Weir Group PLCExcellentEngineeringSolutionsPension and other post-employment benefit plans£m £mNet deficit at Dec 2005 (61.6)Service Costs(5.8)Expected return on plan assets 36.2Interest cost on plan liabilities(31.3)Other finance income 4.9Exceptional gain – pension benefit amendments 10.7Actuarial gains - assets 14.0Actuarial gains - liabilities 19.0Total Actuarial gains 33.0Normal employer contributions 6.7Exceptional contributions 7.0Exchange 1.2Net deficit at Dec 2006 (3.9)13

14The Weir Group PLCExcellentEngineeringSolutionsFinancial Summary• Operating profit of £87.7m, up £21.4m (32%).• Operating cash flow of £134.5m, up £63.2m.• EPS - Continuing Operations (excluding exceptionals), 32.4p (up 38%).• Dividend 14.5p per ordinary share, up 10%.• Net debt and pension deficit of £11.0m, down £127m.

The Weir Group PLCAnalysts PresentationLondon, 21 March 2007ExcellentEngineeringSolutions2006 Full Year ResultsInput & Operational review

The Weir Group PLCExcellentEngineeringSolutionsOrder Input by Division 1Continuing Operations2006 2005 Variance£m £m %Engineering Products 683.8 555.0 +23%Engineering Services 236.6 225.5 +5%Defence, Nuclear & Gas 179.1 112.0 +60%Total 1099.5 892.5 +23%Engineering Products:Minerals 390.5 328.1 +19%Clear Liquid 222.7 168.2 +32%Valves 70.6 58.7 +20%Total 683.8 555.0 +23%(1) Excluding JVs and Associates; Calculated at 2006 average exchange rates16

The Weir Group PLCExcellentEngineeringSolutionsOrder input by geographic location 1Continuing Operations2006 2005 Variance£m £m %Americas 380.0 328.2 +15.8%Indo Pacific 203.4 156.5 +30.0%Europe & FSU 163.0 81.7 +99.5%Middle East / Africa 132.8 111.9 +18.7%United Kingdom 129.3 127.5 +1.4%Australia 91.0 86.7 +5.0%Total 1099.5 892.5 +23%(1) Excluding JVs and Associates; Calculated at 2006 average exchange rates17

The Weir Group PLCExcellentEngineeringSolutionsOrder input by sector 1Continuing operations>80% of input2006£m2005£mVariance%Water & wastewater5%2006 InputGeneral industrial14%Minerals processing 308.7 261.0 +18%Oil & gas 225.8 168.4 +34%Power generation 173.5 147.5 +18%Naval & marine16%Mineralsprocessing28%Naval & marine 181.0 94.2 +92%General industrial 154.6 163.3 -5%Water & waste water 55.9 58.1 -4%Power generation16%1099.5 892.5 +23%Oil & gas21%(1) Excluding JVs and Associates; Calculated at 2006 average exchange rates18

The Weir Group PLCExcellentEngineeringSolutionsEngineering Products DivisionSector Summary ORDER INPUT Up 23%0% 20% 40% 60% 80% 100%0% 20% 40% 60% 80% 100%PowerOilMinerals ProcessingGeneral IndustrialWaterOtherGeographic SummaryAmericasEurope & FSUUKMid Eas t/AfricaIndo PacificAus tralia£683.8mFinancial summary2006 2005 Var£m £m %Order input 683.8 555.0 +23%Revenue 608.5 501.4 +21%Operating profit 1 62.6 41.9 +49%Margin 10.3% 8.4%Billion PeopleSource: EarthTrends WRIMiningPowerOilLean manufacturingWeir Production SystemGlobal population growth19

The Weir Group PLCWeir Engineering Products DivisionMinerals – 2006 performanceExcellentEngineeringSolutions£m25020015010050Sector SummaryMINERALSORDER INPUT£390.5mUp 19%0Minerals Power Gen Ind Oil Other2006 265.6 47.2 45.4 26.0 6.32005 228.7 36.8 44.5 11.3 6.8% Var 16% 28% 2% 130% -7%100Geographic SummaryInput history400350300250£m50£m2001501000Australia &Indo PacificSouthAmericaNorth AmericaEurope &FSUMideast &AfricaOther2006 107.9 89.5 87.8 62.6 33.4 9.32005 106.3 75.8 65.7 41.4 27.9 10.9% Var 2% 18% 34% 51% 20% -15%5002001 2002 2003 2004 2005 2006£m 197.8 206.8 232.5 277.8 328.1 390.5% Inc - 4.6% 12.4% 19.5% 18.1% 19.0%Worldwide locations South American mining Flue gas desulphurisation FGD pump Canadian oil sands Increased foundry capacity20

The Weir Group PLCWeir Engineering Products DivisionClear Liquid – 2006 performanceExcellentEngineeringSolutions£m10080604020>75% of inputSector SummaryCLEAR LIQUIDORDER INPUT£222.7mUp 32%£m0Oil Gen Ind Power Water Minerals2006 97.6 41.0 34.3 31.8 18.12005 62.3 30.0 29.7 33.0 13.1% Var 57% 37% 16% -4% 38%6040200AmericasMideast &AfricaUK, Europe &FSUGeographic SummaryIndo PacificOther2006 65.1 60.0 57.1 39.6 0.92005 51.8 36.1 42.0 35.0 3.3% Var 26% 66% 36% 13% -73%Input history£m2502001501005002001 2002 2003 2004 2005 2006£m 156.7 147.4 134.9 146.7 168.2 222.7% inc - -5.9% -8.5% 8.7% 14.7% 32.0%Weir Floway pumps Floway firepump Weir Lewis pump Weir Gabbioneta pump Weir Specialty Pumps Weir Pumps, Glasgow21

The Weir Group PLCWeir Engineering Products DivisionValves & Controls – 2006 performanceExcellentEngineeringSolutions£m403020100Power Oil & Gas Gen Ind Other2006 39.5 18 12.4 0.62005 35.5 12.2 10.6 0.3% Var 11% 48% 17% 100%£m20151050Europe & FSU>80% of inputAmericasSector Summary VALVES & CONTROLS Up 20%ORDER INPUT£70.6mGeographic SummaryMideast &Africa2006 20.8 19 11.4 10.4 8.92005 12.5 16 6.3 7.5 16.3% Var 66% 19% 81% 39% -45%UK2010Indo Pacific &Australia 0Input history£m8070605040302001 2002 2003 2004 2005 2006£m 69.5 55.9 57.5 73.0 58.6 70.6% inc - -19.6% 2.9% 27.0% -19.7% 20.5%Chinese valves WVC France valves WVC UK plant New WVC USA plant On-site testing Specialist subsea valve22

The Weir Group PLCWeir Defence, Nuclear & Gas Division2006 performanceExcellentEngineeringSolutions£m150100500Sector SummaryNaval & marine Power General OilDEFENCE, NUCLEAR& GASORDER INPUT£179.1mUp 60%£m2006 164.2 9.8 5.1 0.02005 77.0 14.0 0.8 20.3% Var 113% -30% 538% -100.0%1007550250Indo Pacific& AustraliaGeographic SummaryEurope UK AmericasMideast &Africa2006 108.0 38.8 27.6 4.7 02005 55.7 8.7 26.6 0.9 20.1% Var 94% 346% 4% 422% -Financial summary2006 2005 Variance£m £m %Order input 179.1 112.0 +60%Revenue 107.2 68.3 +57%Operating profit 9.8 6.7 +46%Margin 9.1% 9.8%Liquid gas storage Gas storage tanks on ship Ship control panel Decommissioning Weapons handling systemsGlobal defence24

The Weir Group PLCExcellentEngineeringSolutions“Journey to Excellence” scorecardDisposal and closure of 13non core businesses“Best ever results”Focus on power, oil, miningand naval & defence2002* 2006** VarianceRestructured under-performersInput£650.9m £1,099.5m Up 69%Programme of operationalimprovementRevenueOperating profit£841.7m £940.9m Up 12%£62.2m £87.7m Up 41%Expanded geographic footprintin high growth marketsCash generatedfrom operations£69.4m £134.5m Up 94%Best ever financial results* Statutory reported numbers** Continuing operations, before exceptional itemsNaval & MarineMarketattractivenessCompetitivepositionPower generationOil & gasMinerals processingWaterGeneral industrial

The Weir Group PLCExcellentEngineeringSolutionsOutlookEngineering ProductsDivisionExpected to delivergrowth in revenue,margins and profit whencompared to 2006.• Minerals – anothergood year anticipated.• Clear Liquid –outlookis also encouraging.• Valves – expected todeliver further progressin 2007.Engineering ServicesDivisionExpected to growmargins and profitswhen compared to 2006.Defence, Nuclear &Gas DivisionLike for like performanceis anticipated in 2007.New work input in 2006should not be expectedto repeat in 2007.JVs & AssociatesExpected to deliverreduced profit whencompared to 2006.“The Group remains in excellent financial condition and will delivera good level of progress in 2007.”26

27The Weir Group PLCAnalysts PresentationLondon, 21 March 2007ExcellentEngineeringSolutions2006 Full Year Results