Investor Relations

Fourth Quarter and 2016 Highlights:

• Fourth quarter after-tax net asbestos provision of $125 million, or $2.13 per share; estimate of asbestos liability now covers pending and projected future claims through 2059.
• Full year 2016 GAAP earnings per diluted share (EPS) of $2.07 compared to $3.89 in 2015. Excluding Special Items, EPS of $4.23 increased 3% compared to $4.13 in 2015.
• Full year sales of $2.75 billion increased slightly compared to 2015, with core growth of 2%.
• Introducing 2017 EPS guidance of $4.30-$4.55, with expected sales of $2.7 billion including core sales in a range of flat to +2%.

Crane Co. (NYSE:CR), a diversified manufacturer of highly engineered industrial products, reported a fourth quarter 2016 GAAP net loss of $1.09 per share, compared to earnings of $1.11 per diluted share in the fourth quarter of 2015. Fourth quarter 2016 results include an after-tax net asbestos provision of $125 million, or $2.13 per share, and fourth quarter 2015 results include net after-tax Special Items of $1 million, or $0.01 per share. Excluding Special Items, fourth quarter 2016 earnings per diluted share were $1.02. (Please see the attached Non-GAAP Financial Measures tables.)

Fourth quarter 2016 sales were $681 million, approximately flat compared to the fourth quarter of 2015. Core sales increased $17 million, or 2.5%, mostly offset by a $16 million, or 2.4%, impact from unfavorable foreign exchange.

Full Year 2016 Results

Full year 2016 GAAP EPS was $2.07 compared to $3.89 in 2015. Special Items in full year 2016 results include an after-tax net asbestos provision of $125 million, or $2.11 per share, and a $3 million net after-tax legal settlement charge, or $0.05 per share. Special Items in full year 2015 results include $14 million in net after-tax charges, or $0.24 per share. Excluding Special Items in both years, 2016 EPS was $4.23, a 3% increase compared to $4.13 in 2015. (Please see the attached Non-GAAP Financial Measures tables.)

Full year 2016 sales of $2.75 billion increased slightly compared to $2.74 billion in 2015. Core sales growth of $56 million, or 2%, were mostly offset by a $48 million, or 2%, impact from unfavorable foreign exchange.

Max Mitchell, Crane Co. President and Chief Executive Officer, stated: “We were pleased with our full year performance. Results exceeded our guidance and initial expectations entering 2016, and we were able to deliver adjusted EPS 3% above 2015 levels despite continued weakness in Fluid Handling end markets and a substantial impact from unfavorable foreign exchange. Adjusted operating margins increased 20 basis points compared to last year, driven primarily by very strong execution at Payment & Merchandising Technologies, and I am particularly proud that we delivered free cash flow of $267 million."

Mr. Mitchell continued, "We are introducing 2017 EPS guidance in a range of $4.30-$4.55, with core sales flat to up 2%, and free cash flow of $220-$250 million. We remain excited about our future prospects, both for 2017 and beyond, across our global growth platforms. At Payment & Merchandising Technologies, we are seeing accelerating demand for productivity solutions, and we expect a third consecutive year of substantial growth and margin expansion in 2017. At Aerospace & Electronics, we have challenging top line comparisons following the completion of the Space Fence program; however, we have higher content on the newer, high growth aerospace programs launching over the next few years, along with declining R&D expense as major development programs are winding down. Fluid Handling order rates are stabilizing, and this business is well positioned for an eventual recovery. Lastly, Engineered Materials is positioned for another year of strong margins with continued underlying strength in its primary end markets." (Please see the attached Non-GAAP Financial Measures tables.)

Cash Flow and Other Financial Metrics

Cash provided by operating activities for the fourth quarter of 2016 was $150 million, compared to $114 million in the fourth quarter of 2015. Cash provided by operating activities for the full year 2016 was $318 million, compared to $229 million in 2015. Free cash flow (cash provided by operating activities less capital spending) was $267 million in 2016, compared to $190 million in 2015. The Company's cash position was $510 million at December 31, 2016, compared to $364 million at December 31, 2015. Total debt was $745 million at December 31, 2016, compared to $794 million at December 31, 2015.

Special Items Including Updated Asbestos Liability

The Company extended the time horizon of its estimated asbestos liability through the generally accepted end point in 2059, reflecting stabilization in key trends such as indemnity and defense costs, and the number of claims filed against the Company. As a result, the fourth quarter of 2016 included an after-tax net asbestos provision of $125 million, or $2.13 per share. The prior liability estimate, recorded as of December 31, 2011, covered costs related to claims filed and projected to be filed through 2021. The following table shows the Company's estimate of its asbestos liability:

($ millions)			Liability for Claims Filed Through 2021					Impact to Extend Liability for Claims Filed Through 2059
			Before 4Q 2016									Balance at
			Provision					4Q 2016 Provision				December 31, 2016
Asbestos Liability			$	469				$	227			$	696
Insurance Receivable			(108		)			(35		)		(143		)
Net Asbestos Liability			361					192				553
Tax Benefit			(127		)			(67		)		(194		)
After-Tax Asbestos Liabilities			$	234				$	125			$	359

Rich Maue, Crane Co.'s Chief Financial Officer, stated: "Overall, trends have been generally favorable and demonstrate a pattern of stability in recent periods. As a consequence, we were able to extend the liability estimate to the generally accepted end point in 2059. We expect an after-insurance, pre-tax cash outflow of approximately $55 million in 2017 (approximately $36 million after-tax), with annual cash outflows stable to gradually declining thereafter. That said, due to uncertainties in the tort system, as well as uncertainties inherent in the estimation process, future reviews may result in additional adjustments to our total asbestos-related liability." For additional information, please see the Company's Form 8-K filed with the SEC today.

In addition to the aforementioned asbestos provision, Special Items for the full year 2016 included $3.3 million in net after-tax charges, or $0.05 per share, related to a legal settlement.

Special Items in the fourth quarter of 2015 totaled $1 million in after-tax charges, or $0.01 per share. Special Items for the full year 2015 included $9 million in after-tax charges, or $0.15 per share, related to repositioning activities, and $5 million, or $0.08 per share, of after-tax integration-related charges associated with the MEI acquisition.

Segment Results

All comparisons detailed in this section refer to operating results for the fourth quarter 2016 versus the fourth quarter 2015.

Fluid Handling

				Fourth Quarter									Change
(dollars in millions)				2016				2015
Sales				$	240			$	259				$	(19	)		(7	)%
Operating Profit				$	28			$	29				$	(1	)		(4	)%
Operating Profit, before Special Items*				$	28			$	30				$	(2	)		(7	)%
Profit Margin				11.6		%		11.3		%
Profit Margin, before Special Items*				11.6		%		11.6		%
*Please see the attached Non-GAAP Financial Measures tables

Sales decreased $19 million, driven by a $10 million, or -4%, core sales decline, and $9 million, or -3%, of unfavorable foreign exchange. Operating margin improved to 11.6%, compared to 11.3% last year, primarily reflecting the impact of productivity, net repositioning benefits and favorable mix, partially offset by lower volumes, and to a lesser extent, competitive pricing. Excluding Special Items in 2015, operating margins were flat at 11.6%. Fluid Handling order backlog was $228 million at December 31, 2016, compared to $267 million at December 31, 2015 and $242 million at September 30, 2016.

Payment & Merchandising Technologies

				Fourth Quarter								Change
(dollars in millions)				2016				2015
Sales				$	195			$	174			$	21		12	%
Operating Profit				$	38			$	29			$	10		33	%
Operating Profit, before Special Items*				$	38			$	30			$	9		29	%
Profit Margin				19.7		%		16.6		%
Profit Margin, before Special Items*				19.7		%		17.1		%
*Please see the attached Non-GAAP Financial Measures tables

Sales increased $21 million, or 12%, driven by $28 million, or 16%, of core growth, partially offset by a $7 million, or -4%, impact from unfavorable foreign exchange. Operating margin expanded 310 basis points to 19.7%, driven primarily by integration synergies, the higher core sales and strong productivity.

Aerospace & Electronics

				Fourth Quarter									Change
(dollars in millions)				2016				2015
Sales				$	187			$	191				$	(4	)		(2	)%
Operating Profit				$	39			$	47				$	(8	)		(16	)%
Operating Profit, before Special Items*				$	39			$	45				$	(6	)		(13	)%
Profit Margin				21.0		%		24.6		%
Profit Margin, before Special Items*				21.0		%		23.5		%
*Please see the attached Non-GAAP Financial Measures tables

Sales decreased $4 million, or 2%, primarily as a result of unfavorable comparisons related to military modernization and upgrade programs. Operating margins declined to 21.0%, as expected, primarily reflecting unfavorable mix and the lower volumes. Aerospace & Electronics order backlog was $353 million at December 31, 2016, compared to $436 million at December 31, 2015 and $377 million at September 30, 2016.

Engineered Materials

						Fourth Quarter									Change
(dollars in millions)						2016				2015
Sales						$	60			$	56				$	4		6	%
Operating Profit						$	10			$	10				$	1		9	%
Profit Margin						17.4		%		16.8		%

Sales increased $4 million, or 6%, driven by higher sales to the Recreational Vehicle and Building Product markets, partially offset by lower sales to the Transportation market. Operating margin increased 60 basis points to 17.4%, primarily reflecting higher volumes and strong productivity, partially offset by competitive pricing actions.

Providing Initial 2017 Guidance

Sales for 2017 are expected to be approximately $2.7 billion, reflecting core sales of 0% to +2%, more than offset by unfavorable foreign exchange of approximately 3%, and a 0.5% impact from divestitures. Earnings are expected to be in a range of $4.30-$4.55 per diluted share. Full year 2017 free cash flow (cash provided by operating activities less capital spending) is expected to be in a range of $220-$250 million. (Please see the attached Non-GAAP Financial Measures tables.)

Additional guidance details will be provided at the Company's investor conference on March 2, 2017.

Additional Information

Additional information with respect to the Company’s asbestos liability and related accounting provisions and cash requirements is set forth in the Current Report on Form 8-K filed with a copy of this press release.

Conference Call

Crane Co. has scheduled a conference call to discuss the fourth quarter financial results on Tuesday, January 31, 2017 at 10:00 A.M. (Eastern). All interested parties may listen to a live webcast of the call at http://www.craneco.com. An archived webcast will also be available to replay this conference call directly from the Company’s website. Slides that accompany the conference call will be available on the Company’s website.

Crane Co. is a diversified manufacturer of highly engineered industrial products. Founded in 1855, Crane provides products and solutions to customers in the hydrocarbon processing, petrochemical, chemical, power generation, unattended payment, automated merchandising, aerospace, electronics, transportation and other markets. The Company has four business segments: Fluid Handling, Payment & Merchandising Technologies, Aerospace & Electronics and Engineered Materials. Crane has approximately 11,000 employees in the Americas, Europe, the Middle East, Asia and Australia. Crane Co. is traded on the New York Stock Exchange (NYSE:CR). For more information, visit www.craneco.com.

This press release may contain forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. These statements present management’s expectations, beliefs, plans and objectives regarding future financial performance, and assumptions or judgments concerning such performance. Any discussions contained in this press release, except to the extent that they contain historical facts, are forward-looking and accordingly involve estimates, assumptions, judgments and uncertainties. There are a number of factors that could cause actual results or outcomes to differ materially from those addressed in the forward-looking statements. Such factors are detailed in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2015 and subsequent reports filed with the Securities and Exchange Commission.

(CR-E)

(Financial Tables Follow)

CRANE CO.
Income Statement Data
(in millions, except per share data)
			Three Months Ended									Twelve Months Ended
			December 31,									December 31,
				2016				2015					2016				2015
Net Sales:
Fluid Handling			$	240.4			$	259.4				$	999.5			$	1,091.3
Payment & Merchandising Technologies				194.6				174.0					745.8				703.0
Aerospace & Electronics				186.5				190.9					745.7				691.3
Engineered Materials				59.9				56.4					257.0				254.8
Total Net Sales			$	681.4			$	680.6				$	2,748.0			$	2,740.5
Operating Profit (Loss):
Fluid Handling			$	28.0			$	29.2				$	119.5			$	125.4
Payment & Merchandising Technologies				38.4				28.9					135.5				101.4
Aerospace & Electronics				39.2				46.9					149.8				145.1
Engineered Materials				10.4				9.5					49.0				48.4
Corporate				(15.2	)			(11.0	)				(61.1	)	*		(47.5	)
Asbestos Provision				(192.4	)			-					(192.4	)			-
Total Operating (Loss) Profit				(91.6	)			103.5					200.3				372.9
Interest Income				0.5				0.5					1.9				1.9
Interest Expense				(9.0	)			(9.1	)				(36.5	)			(37.6	)
Miscellaneous- Net				(1.1	)			(0.4	)				(1.6	)			(0.7	)
(Loss) Income Before Income Taxes				(101.2	)			94.4					164.1				336.5
(Benefit from) Provision for Income Taxes				(37.6	)			28.8					40.3				106.5
Net (loss) income before allocation to noncontrolling interests				(63.6	)			65.6					123.8				230.0
Less: Noncontrolling interest in subsidiaries' earnings				0.4				0.4					1.0				1.1
Net (loss) income attributable to common shareholders			$	(64.0	)		$	65.2				$	122.8			$	228.9
Share Data:
(Loss) Earnings per Diluted Share			$	(1.09	)		$	1.11				$	2.07			$	3.89
Average Diluted Shares Outstanding				58.8				58.7					59.3				58.8
Average Basic Shares Outstanding				58.8				58.1					58.5				58.1
Supplemental Data:
Cost of Sales			$	433.7			$	441.4				$	1,758.3			$	1,783.4
Asbestos Provision				192.4				-					192.4				-
Selling, General & Administrative				146.9				135.0					597.0		*		566.2
Repositioning Charges (see non-GAAP measures)				-				(0.1	)				-				11.6
Acquisition Related Charges (see non-GAAP measures)				-				0.8					-				6.6
Depreciation and Amortization **				16.6				17.1					67.4				67.0
Stock-Based Compensation Expense **				4.9				5.5					21.7				21.3
* Includes a $5 million legal settlement.
** Amount included within cost of sales and selling, general & administrative costs.

CRANE CO.
Condensed Balance Sheets
(in millions)
						December 31,				December 31,
						2016				2015
ASSETS
Current Assets
Cash and Cash Equivalents					$	509.7			$	363.5
Accounts Receivable, net						396.4				397.6
Current Insurance Receivable - Asbestos						18.0				20.5
Inventories, net						342.5				376.9
Other Current Assets						49.1				45.0
Total Current Assets						1,315.7				1,203.5
Property, Plant and Equipment, net						278.9				276.0
Long-Term Insurance Receivable - Asbestos						125.2				108.7
Other Assets						559.0				580.8
Goodwill						1,149.2				1,167.9
Total Assets					$	3,428.0			$	3,336.9
LIABILITIES AND EQUITY
Current Liabilities
Notes Payable and Current Maturities of Long-Term Debt					$	-			$	49.6
Accounts Payable						223.2				223.3
Current Asbestos Liability						71.0				75.0
Accrued Liabilities						223.0				218.6
Income Taxes						3.5				6.3
Total Current Liabilities						520.8				572.8
Long-Term Debt						745.3				744.6
Long-Term Deferred Tax Liability						42.4				50.0
Long-Term Asbestos Liability						624.9				470.5
Other Liabilities						348.9				348.1
Total Equity						1,145.7				1,150.8
Total Liabilities and Equity					$	3,428.0			$	3,336.9

CRANE CO.
Condensed Statements of Cash Flows
(in millions)
			Three Months Ended December 31,									Twelve Months Ended December 31,
			2016				2015					2016				2015
Operating Activities:
Net (loss) income attributable to common shareholders			$	(64.0	)		$	65.2				$	122.8			$	228.9
Noncontrolling interest in subsidiaries' earnings				0.4				0.4					1.0				1.1
Net (loss) income before allocations to noncontrolling interests				(63.6	)			65.6					123.8				230.0
Asbestos provision				192.4				-					192.4				-
Restructuring - Non Cash				-				0.5					-				2.0
Depreciation and amortization				16.6				17.1					67.4				67.0
Stock-based compensation expense				4.9				5.5					21.7				21.3
Defined benefit plans and postretirement credit				(1.8	)			(1.9	)				(9.1	)			(11.6	)
Deferred income taxes				(41.2	)			16.3					(25.1	)			39.7
Cash provided by (used for) operating working capital				61.4				30.5					27.0				(16.1	)
Defined benefit plans and postretirement contributions				(2.4	)			(2.5	)				(8.8	)			(17.9	)
Environmental payments, net of reimbursements				(3.4	)			(4.6	)				(11.6	)			(18.2	)
Other				1.3				0.8					(3.6	)			(17.0	)
Subtotal				164.2				127.3					374.1				279.2
Asbestos related payments, net of insurance recoveries				(14.5	)			(13.7	)				(56.0	)			(49.9	)
Total provided by operating activities				149.7				113.6					318.1				229.3
Investing Activities:
Capital expenditures				(13.0	)			(11.4	)				(51.5	)			(39.6	)
Proceeds from disposition of capital assets				0.1				2.5					0.9				4.4
Total used for investing activities				(12.9	)			(8.9	)				(50.6	)			(35.2	)
Financing Activities:
Dividends paid				(19.4	)			(19.2	)				(77.2	)			(76.6	)
Reacquisition of shares on open market				-				-					-				(25.0	)
Stock options exercised - net of shares reacquired				16.8				1.6					26.4				8.9
Excess tax shortfall from stock-based compensation				-				0.3					-				0.1
Repayment of credit facility				-				-					-				(100.0	)
(Repayment) proceeds from issuance of commercial paper				(34.0	)			(48.2	)				(49.6	)			48.8
Total used for financing activities				(36.6	)			(65.5	)				(100.4	)			(143.8	)
Effect of exchange rate on cash and cash equivalents				(26.8	)			(10.9	)				(20.9	)			(33.1	)
Increase in cash and cash equivalents				73.4				28.3					146.2				17.2
Cash and cash equivalents at beginning of period				436.3				335.2					363.5				346.3
Cash and cash equivalents at end of period			$	509.7			$	363.5				$	509.7			$	363.5

CRANE CO.
Order Backlog
(in millions)
			December 31,			September 30,			June 30,			March 31,			December 31,
			2016			2016			2016			2016			2015
Fluid Handling			$	228.3		$	241.6		$	246.3		$	263.4		$	267.2
Payment & Merchandising Technologies				94.0			65.6			65.8			60.4			62.6
Aerospace & Electronics				353.4			377.1			435.9			418.7			436.4
Engineered Materials				15.7			12.3			15.4			16.0			15.2
Total Backlog			$	691.4		$	696.7		$	763.5		$	758.6		$	781.5

CRANE CO.
Non-GAAP Financial Measures
(in millions, except per share data)
INCOME ITEMS
			Three Months Ended									Twelve Months Ended									Percent Change				Percent Change
			December 31,									December 31,									December 31, 2016				December 31, 2016
			2016				2015					2016				2015					Three Months				Twelve Months
Net Sales			$	681.4			$	680.6				$	2,748.0			$	2,740.5				0.1	%			0.3	%
Operating Profit (Loss)				(91.6	)			103.5					200.3				372.9				(188.5	%)			(46.3	%)
Percentage of Sales				-13.4	%			15.2	%				7.3	%			13.6	%
Special Items impacting Operating Profit:
Asbestos provision				192.4				-					192.4				-
MEI Acquistion related integration charges				-				1.6					-				7.2
MEI Acquistion related restructuring charges				-				(0.8	)				-				(0.6	)
Repositioning charges				-				(0.1	)				-				11.6
Legal settlement charge				-				-					5.0				-
Operating Profit before Special Items			$	100.8			$	104.2				$	397.7			$	391.1				(3.2	%)			1.7	%
Percentage of Sales				14.8	%			15.3	%				14.5	%			14.3	%
Net Income (Loss) Attributable to Common Shareholders			$	(64.0	)		$	65.2				$	122.8			$	228.9
Per Share			$	(1.09	)		$	1.11				$	2.07			$	3.89				NM				(46.8	%)
Special Items Impacting Net Income Attributable to Common Shareholders:
Asbestos provision - Net of Tax				125.1				-					125.1				-
Per Share			$	2.13								$	2.11
MEI acquisition related integration charges - Net of Tax				-				1.0					-				4.8
Per Share							$	0.02								$	0.08
MEI acquisition related restructuring charges - Net of Tax				-				(0.6	)				-				(0.3	)
Per Share							$	(0.01	)							$	(0.01	)
Repositioning charges - Net of Tax				-				0.2					-				9.2
Per Share							$	0.00								$	0.16
Legal settlement charge - Net of Tax				-				-					3.3				-
Per Share												$	0.05
Net Income Attributable To Common Shareholders Before Special Items			$	61.1			$	65.8					251.1			$	242.5				(7.2	%)			3.6	%
Per Basic Share			$	1.04			$	1.13				$	4.30			$	4.18
Per Diluted Share			$	1.02			$	1.12				$	4.23			$	4.13				(8.8	%)			2.6	%
In the three months ended December 31, 2016, Average Shares Outstanding excluding the effect of diluted stock options were used to compute the per share amounts since this period was in a loss position. Had Net Income Attributable To Common Shareholders been reported for this period, Average Shares Outstanding would have included the effect of diluted stock options when computing per share amounts (see chart below).
			(in thousands)
Average Basic Shares Outstanding				58,768
Effect of Diluted Stock Options				991
Average Shares Outstanding including the effect of Stock Options				59,759
When considering the effect of dilutive stock options on shares outstanding, Net Income Attributable To Common Shareholders Before Special Items is $1.02 per share for the three months ended December 31, 2016.
Special Items Impacting Provision for Income Taxes
Provision for Income Taxes - GAAP Basis			$	(37.6	)		$	28.8				$	40.3			$	106.5
Tax effect of asbestos provision				67.3				-					67.3				-
Tax effect of MEI acquisition related integration charges				-				0.6					-				2.3
Tax effect of MEI acquisition related restructuring charges				-				(0.2	)				-				-
Tax effect of repositioning charges				-				(0.3	)				-				2.4
Tax effect of legal settlement charge				-				-					1.8				-
Provision for Income Taxes - non-GAAP Basis			$	29.7			$	29.0				$	109.4			$	111.2

Segment Information:			For the three months ended December 31, 2016
			Fluid Handling				Payment & Merchandising Technologies				Aerospace & Electronics				Engineered Materials				Corporate			Asbestos Provision				Total Company
Net Sales			$	240.4			$	194.6			$	186.5			$	59.9			-				-			$	681.3
Operating Profit (Loss)- GAAP				28.0				38.4				39.2				10.4			(15.2	)			(192.4	)			(91.6	)
Asbestos Provision				-				-				-				-			-				192.4				192.4
Operating Profit before Special Items				28.0				38.4				39.2				10.4			(15.2	)			-				100.8
Percentage of Sales				11.6	%			19.7	%			21.0	%			17.4	%										14.8	%
			For the three months ended December 31, 2015
			Fluid Handling				Payment & Merchandising Technologies				Aerospace & Electronics				Engineered Materials				Corporate			Total Company
Net Sales			$	259.4			$	174.0			$	190.9			$	56.4			-			$	680.6
Operating Profit - GAAP				29.2				28.9				46.9				9.5			(11.0	)			103.5
Acquisition related integration charges				-				0.8				-				-			-				0.8
Repositioning Charges				1.0				-				(2.0	)			-			1.0				(0.1	)
Operating Profit before Special Items				30.2				29.7				44.9				9.5			(10.1	)			104.2
Percentage of Sales				11.6	%			17.1	%			23.5	%			16.8	%						15.3	%

CRANE CO.
Guidance
(in millions, except per share data)
	CASH FLOW ITEMS
				Three Months Ended								Twelve Months Ended
				December 31,								December 31,								2017 Full Year Guidance
				2016				2015				2016				2015				Low				High
Cash Provided by Operating Activities
before Asbestos - Related Payments				$	164.2			$	127.3			$	374.1			$	279.2			$	325.0			$	355.0
Asbestos Related Payments, Net of Insurance Recoveries					(14.5	)			(13.7	)			(56.0	)			(49.9	)			(55.0	)			(55.0	)
Cash Provided by Operating Activities					149.7				113.6				318.1				229.3				270.0				300.0
Less: Capital Expenditures					(13.0	)			(11.4	)			(51.5	)			(39.6	)			(50.0	)			(50.0	)
Free Cash Flow				$	136.7			$	102.1			$	266.6			$	189.6			$	220.0			$	250.0
Certain non-GAAP measures have been provided to facilitate comparison with the prior year.

The Company reports its financial results in accordance with U.S. generally accepted accounting principles (GAAP). However, management believes that non-GAAP financial measures which exclude certain non-recurring items present additional useful comparisons between current results and results in prior operating periods, providing investors with a clearer view of the underlying trends of the business. Management also uses these non-GAAP financial measures in making financial, operating, planning and compensation decisions and in evaluating the Company's performance.

In addition, Free Cash Flow provides supplemental information to assist management and investors in analyzing the Company’s ability to generate liquidity from its operating activities. The measure of Free Cash Flow does not take into consideration certain other non-discretionary cash requirements such as, for example, mandatory principal payments on the Company's long-term debt. Non-GAAP financial measures, which may be inconsistent with similarly captioned measures presented by other companies, should be viewed in addition to, and not as a substitute for, the Company’s reported results prepared in accordance with GAAP.

Crane Co.
Jason D. Feldman, 203-363-7329
Director, Investor Relations
www.craneco.com