#11 CleanHarbors CleanHarbors TECHNICAL SERVICES Clean Harbors SAFETY-KLEEN 2013 Investor Day INDUSTRIAL & FIELD SERVICES OIL & GAS FIELD SERVICES Jim Buckley, SVP, Investor Relations & Corporate Communications#22 Forward Looking Statements and GAAP Disclaimer These slides contain (and the accompanying oral discussion will contain) "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors that could cause the actual results of the Company to differ materially from the results expressed or implied by such statements, including general economic and business conditions, conditions affecting the industries served by the Company and its subsidiaries, conditions affecting the Company's customers and suppliers, competitor responses to the Company's products and services, the overall market acceptance of such products and services, the integration of acquisitions and other factors disclosed in the Company's periodic reports filed with the Securities and Exchange Commission. Such statements may include, but are not limited to, statements about the Company's business outlook and financial guidance and other statements that are not historical facts. Consequently such forward-looking statements should be regarded as the Company's current plans, estimates and beliefs. The Company does not undertake and specifically declines any obligation to publicly release the results of any revisions to these forward-looking statements that may be made to reflect any future events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events. Statement Regarding use of Non-GAAP Measures: EBITDA, Adjusted EBITDA and adjusted net income as presented in these slides, are supplemental measures of our performance, and net debt, as presented in these slides, is a supplemental measure of our financial position. In each case, these measures are not required by, or presented in accordance with, generally accepted accounting principles in the United States ("GAAP"). EBITDA, Adjusted EBITDA and adjusted net income are not measurements of our financial performance or financial position under GAAP and should not be considered as alternatives to net sales, net income or any other performance measures derived in accordance with GAAP or as alternatives to cash flow from operating activities as measures of our liquidity. EBITDA consists of net income plus accretion of environmental liabilities, depreciation, amortization, net interest expense, provision for income taxes, and other non-recurring items including impairment of long-lived assets and refinancing-related expenses. We also exclude gain (loss) on sale of fixed assets, and other income as these amounts are not considered as part of usual business operations. Our management considers EBITDA and Adjusted EBITDA to be measurements of performance which provide useful information to both management and investors. Because EBITDA is not calculated identically by all companies, our measurement of EBITDA may not be comparable to similarly titled measures reported by other companies. All amounts in USD unless otherwise noted. For a reconciliation of EBITDA and Adjusted EBITDA to net income, please refer to the Company's Annual Report on Form 10-K filed each year with the Securities and Exchange Commission CleanHarbors#33 Agenda 8:35 - 9:00 a.m. Company Overview Alan McKim, Chairman & Chief Executive Officer 9:00 9:30 a.m. Technical Services - Eric Gerstenberg, President, Environmental Services 9:30 10:00 a.m. Safety-Kleen - Jerry Correll, President, Safety-Kleen Environmental Services 10:00-10:15 a.m. Coffee Break 10:15-10:45 a.m. Industrial and Field Services David Parry, President, Industrial and Field Services CleanHarbor#44 Agenda 10:45 11:15 a.m. Oil and Gas Field Services - Laura Schwinn, President, Oil and Gas Field Services 11:15 - 11:40 a.m. M&A/Integration Brian Weber, EVP, Corporate Planning and Development 11:40 - 12:00 p.m. Financial Overview Jim Rutledge, Vice Chairman, President and Chief Financial Officer 12:00 - 12:30 p.m. General Question-and-Answer Session 12:30-2:00 p.m. Lunch CleanHarbor#5LO 5 CleanHarbors TECHNICAL SERVICES CleanHarbors Clean Harbors SAFETY-KLEEN 2013 Investor Day INDUSTRIAL & FIELD SERVICES OIL & GAS FIELD SERVICES Alan McKim, Chairman and CEO#66 Clean Harbors Mission "People and Technology Creating a Safer, Cleaner Environment Through Maintenance and the Treatment, Recycling and Disposal of Hazardous Materials" CleanHarbor#77 Company Snapshot - Four Pillars 250,000+ Customers 55 Lines of Business Technical Services Industrial & Safety-Kleen Oil & Gas Field Services Field Services LQG SQG 35,000+ Assets 100+ Disposal Facilities 13,000+ Employees WIN Technology Platform Clean Harbors#8Our Business Model TS S-K I&F O&G Gather Waste Perform Services Transport Waste Transfer, Treat & Recycle Disposal 8 Technical Services CleanHarbors Safety-Kleen Industrial & Field Services TILE TRENT Oil & Gas Field Services Clean Harbors#9Clean Harbors Key Investment Highlights#10High Barriers to Entry Required safety standards. Unique assets and equipment ■ Substantial capital costs Complex regulatory ~ 500 permits ■ Deeply experienced personnel 10 $125M investment in proprietary software Significant customer switching costs E CleanHarbor#11Industry Leading Asset Base Strategically located network of facilities 11 Unmatched fleet of trucks, trailers and specialty equipment TURBO 382 Nean Harbors BRAINTREE CTHA CINDEP E 07H MORE B NDER&PANY CleanHarbors CleanHarbor#12End Market Diversification 110 10 R-100 6-92 Refineries General Manufacturing & Oilsands Automotive Chemical Oil & Gas Production Oil & Gas Exploration 2008 14% 8% 0% 23% 0% 0% 2012 8% 13% 0% 14% 16% 11% 2013 YTD 17% 14% 11% 10% 9% 6% 12 CleanHarbors#1313 Exceptional Safety Record Recognized industry leader ■ Extensive track record provides competitive advantage ■ Successful company-wide programs TRIR 3.5 3.1 3.0 2.8 2.5 2.4 2.5 2.2 2.2 2.0 1.8 1.7 1.7 1.5 1.0 0.5 0.0 2005 2006 2007 2008 2009 2010 2011 2012 YTD 2013 1.0 0.5 0.0 CleanHarbors#1414 Commitment to Sustainability Recycling services and resource recovery ■ Alternative energy projects ◉ ■ Company-wide focus supported by numerous programs Safety-Kleen's unique closed-loop system: - - Reclaiming - Recycling Reusing customer waste ASPHALT EXTENDERS INDUSTRIAL GLYCOL FUELS BYPRODUCTS BASE OIL FINISHED OIL PACKAGED OIL PRODUCTS RE-REFINED OIL PRODUCTS TO MARK CleanHarbors#15Clean Harbors Growth Strategy safety-kleen 1.800.669.5740 www.sakleen.com EMPTY ULL#1616 Long-term Growth Targets ■ TRIR < 1 ■ Revenue >$5B Adjusted EBITDA >$1B (20% margin) Free cash flow ~$350 million ROIC 13-14% CleanHarbor#1717 Earnings Growth Strategies Cost, Pricing & Productivity Improvement Initiatives Expand Service Offerings & Geographic Coverage Cross-Selling Across Segments Build Projects Backlog Increase Total Capacity Pursue Acquisitions CleanHarbors#1818 Acquisition Expertise ■ More than $2B in acquisitions ■ Centralized shared services business model Talented integration teams Leading-edge systems and technology ■ Proven ability to maximize synergies and cross-selling Well capitalized CleanHarbor#1919 Safety-Kleen Adding Substantial Value... ■ ◉ $1.25B deal successfully completed on 12/28/12 Greatly enhances overall growth potential Multiple factors support overall success of the deal: Drives increases in hazardous waste volumes safety-kleen. A Clean Harbors Company Combines small quantity generators with medium and large Generates significant cross-selling opportunities Strengthens our commitment to recycling/sustainability Capitalizes on strong cultural fit Achieves substantial cost synergies Clean Harbors#2020 Complementary Networks Clean Harbors Footprint Safety-Kleen Footprint Waste Management Facilities Landfill ▲ Solvent Recycling or Oil Recovery ▲ Treatment, Storage & Disposal Facility Transformer Processing Facility Wastewater Treatment ▲ Incineration Environmental Service Locations Energy & Industrial Services Locations Lodging Services Locations Branch Service Centers Recycling Centers Manufacturing/Reconditioning Distribution Centers Accumulation Centers Oil Collection/Processing Oil Refineries Established EFS Hubs Clean Harbors#2121 CleanHarbors TECHNICAL SERVICES CleanHarbors Clean Harbors SAFETY-KLEEN 2013 Investor Day Eric Gerstenberg President, Environmental Services INDUSTRIAL & FIELD SERVICES OIL & GAS FIELD SERVICES#2222 ■ Agenda Review of Technical Services Business Overview - Competitive Landscape - · Customers and Key Verticals - Facilities Network - Market Trends Growth and Margin Enhancement Strategies Clean Harbors#2323 Technical Services Collect & Package Customer Sites Projects Ongoing Maintenance Other Segments Transport Waste Transfer, Treat & Recycle Disposal CleanHarbors#24Technical Services Business Drivers ■ Regulation and compliance (Federal/state/regional) ■ GDP and industrial output 24 ◉ Captive incinerator market Incineration Landfills & Wastewater ◉ Superfund site cleanup Tight industry supply Cross-selling between segments Skilled Labor & Transportation TSDFS Annual Revenue ~$1 Billion CleanHarbor#2525 Experienced Management ■ Team averages 28 years of industry experience Provides depth and continuity ■ Creates significant competitive advantage Eric W. Gerstenberg Barry Fogle Glenn Thompson Kent Bartley Ron Hines Paul Whiting TITLE President, Technical Services SVP, Technical Services SVP, TSDF Facilities SVP, Sales SVP, US Incineration # OF YEARS 24 32 30 24 22 SVP, Engineering 40 Phil Retallick SVP, Regulatory Affairs 37 Jay Cudmore SVP, Incineration, Pricing & Disposal Mgmt. 27 Paul Mello John Ross Jeanne Engel Dale MacIntyre Scott Miller VP, Environmental Applications 27 VP, Central Logistics 20 VP, Central Services 33 VP, CN Refinery Operatons 31 VP, East Chicago Refinery 24 Average 28 CleanHarbors#2626 Key Performance Indicators ■ Health and Safety Management ☐ Regulatory Compliance Standards ■ Revenue and Adjusted EBITDA ■ ◉ Equipment/Facility Utilization. Staffing Ratios and Utilization ▪ DSO ■ Customer Service Metrics ■ Waste Internalization ◉ Pricing Management Return on Capital CleanHarbor#2727 Leading Provider of Hazardous Waste Treatment and Disposal Services Hazardous Incinerator Capacity Other Heritage 6% 7% Ross 9% Hazardous Landfill Volume Treatment, Storage & Market Share Disposal Facilities (TSDFs) Heritage 9% WM 18% Veolia 12% Clean Harbors 66% Other 5% Clean Harbors 24% Other 27% Clean Harbors 35% U.S. Ecology WM EQ 25% 19% 6% Phillips Giant 6% Veolia 13% 13% Source: El Digest Source: El Digest Source: El Digest CleanHarbor#2828 Leadership Position & Barriers to Entry Limit New Entrants ■ No new landfills permitted in 18 years. ■ No new incinerators constructed in 16 years ■ Substantial compliance and regulatory hurdles ■ Large clients require comprehensive service Unique assets and specialized equipment Operating expertise and high safety standards Significant customer switching costs. Collection network difficult to duplicate CleanHarbor#29Large and Loyal Customer Base KOPPERS Chevron DOW United Technologies ARKEMA INNOVATIVE CHEMISTRY CenturyALUMINUM GENERAL DYNAMICS Strength on Your Side™ HESS OXY GE AIR PRODUCTS A AkzoNobel DOW CORNING Roche EOG Resources WEST STERN UNI NORTHWESTERN UNIVERSITY INVISTA™ BOEING® nexen NOVARTIS Honeywell Johnson & Johnson KOCH intel INDUSTRIES INC MERCK Be well 29 William's Bayer B BAYER TARGET Q-BASF The Chemical Company Mercedes-Benz CleanHarbors#30Technical Services Market Diversification Chemical General Manufacturing Brokers Refineries & Oilsands Retail, Recycling, SQG, Other Pharmaceutical & Biotechnology Government Engineering & Consulting Healthcare Services Utilities Transportation Services Education Services Oil, Gas Production Terminals & Pipelines Mining, Primary Metals Oil, Gas Exploration Construction-Bldg Related Trades Engineering & Consulting-Heavy Construction 30 0% 5% 10% 15% 20% 25% Clean Harbors#3131 Technical Services Trends ■ Customer container run rates up 6% YTD Large waste projects ahead of 2012 run rates ■ Chemical Market delivering steady growth of 8% over 2012 ■ Increased demand for recycling options from customers ■ Total Project Management (TPM) offering contributing to growth Anticipated record incineration utilization in 2013 CleanHarbor#3232 Technical Services Operations 95 Technical Services Operation Treatment, Storage & Disposal Facilities CleanHarbor#33Treatment, Storage & Disposal Facilities 33 Baltimore, Maryland Braintree, Massachusetts DI LELL Wilmington, California m TRE ELLE Cincinnati, Ohio Clean Harbors#3434 Technical Services Operations Technical Services Operation Treatment, Storage & Disposal Facilities S-K Accumulation & Recycling Centers CleanHarbor#3535 RC/AC Facilities Smithfield, Kentucky Denton, Texas 1 Dolton, Illinois Lexington, South Carolina יך זד ורח Clean Harbors#3636 Technical Services Operations Technical Services Operation Treatment, Storage & Disposal Facilities S-K Accumulation and Recycling Centers Transformer Processing Facilities Legacy Recycling or Oil Recovery ▲ Wastewater Treatment Landfill Incineration Clean Harbors#3737 Incineration Facilities Aragonite, Utah Kimball, Nebraska El Dorado, Arkansas Deer Park, Texas CleanHarbors#3838 Landfills Lambton, Ontario Buttonwillow, California Lone Mtn, Oklahoma Grassy Mtn, Utah Sawyer, North Dakota Clean Harbors#3939 Re-refineries and Oil Terminals ☐ ப B ப ப ☐ ☐ S-K Oil Terminals S-K Re-refineries Clean Harbors#4040 Re-refineries and Oil Terminals Breslau, Ontario Newark, California East Chicago, Indiana Mkinney Clean Harbors#4141 Comprehensive Environmental Services Operations A Technical Services Operation Treatment, Storage & Disposal Facilities S-K Accumulation & Recycling Centers Transformer Processing Facilities Legacy Recycling or Oil Recovery ▲ Wastewater Treatment Landfill Incineration S-K Oil Terminals S-K Re-refineries CleanHarbors#42Incineration Performance: U.S. ■ Capacity expansion of approximately 10% since 2007 ■ Utilization increasing - 150 basis points on average annually ◉ Optimization of waste streams at higher utilization levels Tons (in thousands) 42 Utilization 360 350 340 330 94% 92% 90% 88% 86% % 84% 320 310 82% 80% 300 78% 2007 2008 2009 2010 2011 2012 2013 Clean Harbors#4343 Captive Incinerator Update ■ 44 locations operating 62 Units ■ Closed or idled 5 units in past year ■ Potential closing of 10 units due to low utilization ■ 19 units in TX, AR, and LA in Chemical vertical ■ Chemical sites produce substantial volumes of "Direct Burn" streams and containerized wastes ■ Active units increased tonnage shipped to CLH by 42% in past 3 years CleanHarbor#44Re-refinery Throughput Gallons (in thousands) East Chicago 120,000 100,000 80,000 60,000 40,000 20,000 44 Gallons (in thousands) 50,000 Breslau 45,000 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5,000 0 0 2008 2009 2010 2011 2012 Proj. 2008 2009 2010 2011 2012 2013 Proj. 2013 Used Oil Received Base Lube Produced Used Oil Received Base Lube Produced Clean Harbors#4545 Growth Strategy ■ Maximize cross-selling through combined sales force ■ Gain market share to drive utilization ■ Grow InSite Services Expand capacity within existing facilities Target remedial and Superfund activities Expand pharma and healthcare service offerings ■ Increase penetration of retail market Leverage our solvent recycling capabilities Clean Harbors#4646 Margin Enhancement Strategy ■ Reduce headcount ■ Internalize waste disposal Internalize outside transportation Optimize containerized waste routing Leverage central maintenance platform Capitalize on procurement opportunities ■ Internalize turnaround services CleanHarbor#4747 CleanHarbors CleanHarbors TECHNICAL SERVICES SAFETY-KLEEN INDUSTRIAL & FIELD SERVICES OIL & GAS FIELD SERVICES Clean Harbors Questions & Answers#4848 CleanHarbors TECHNICAL SERVICES CleanHarbors Clean Harbors SAFETY-KLEEN 2013 Investor Day Jerry Correll President, Safety-Kleen Environmental Services INDUSTRIAL & FIELD SERVICES OIL & GAS FIELD SERVICES#4949 Agenda Strategic Overview Business Segments Industry Trends ■ Markets Served ■ Growth and Cross-Sell Strategies Margin Enhancement Strategies CleanHarbors#5050 Strategic Overview ■ S-K brand represents 50-year industry leadership and service excellence - Branch model designed to service small and large customers North America's largest re-refiner of used oil Ability to continuously re-refine used oil S-K Collection Model + Industry Leading Re-refineries Totally integrated waste mgmt/ recycling solutions to targeted markets CleanHarbor#5151 Experienced Team ◉ Top six executives average 20 years industry experience ■ One of the industry's most qualified management teams Significant tenure and experience TITLE # OF YEARS Jerry Correll President, Safety-Kleen 27 Curt Knapp EVP, Oil Sales & Marketing 30 Dave Eckelbarger EVP, Branch Sales & Service 11 Les Fry Mike Smith Chip Duffie SVP, National Accounts SVP, Oil Sales SVP, Compliance & Sustainability 18 19 16 Average 20 CleanHarbors#5252 S-K Environmental Services Overview Branch Services Market Position Competitive Advantage Collection/services #1 network 150+ branches in U.S, Canada and Puerto Rico over 2M services per year - Small Quantity #1 Generator Program Largest provider to SQG market – more than 200,000 customers - Parts Washers #1 Turnkey Services #1 Largest equipment and service provider of parts cleaning technology, used solvent collector/recycler in North America Vacuum and containerized services, product/supply sales CleanHarbors#53S-K Environmental Services Gather Materials Perform Services Transport Materials Terminals, Solvent Plants & Recycling Centers Treatment Disposal National Accounts Small Quantity Generators Parts Washer Services 53 Waste Oil Collection Vacuum Services TILX 2007 Clean Harbors#5454 S-K Environmental Services Business Drivers ■ Additional branch locations ■ New sources of waste oil collection Placement of more parts washers ■ Cross-sell between segments Parts Washers Containerized Waste Services Other Vacuum Services Allied Products Annual Revenue ~$600 Million Clean Harbors#55Safety-Kleen Re-refining Collect Waste Oil Transport Oil Oil Terminals Recycling at Re-refineries Automotive Customers Ind./Comm. Customers Additional Sources Clean Harbors 55 TILX 2007 ECD POWE DW-3025 ECO POWER 3 DW-38C WER CleanHarbors#5656 North America's Largest Used Oil Recycler 85% used oil from automotive market 15% used oil from industrial market 70% Re-Refinery Primary products are base oils and associated blended products Secondary products are fuel grade distillates, anti-freeze, asphaltic oils Major Customers ■ Oil distributors Compound blenders 30% Recycled Fuel Oil Derived product from used oil Primarily used as an alternative energy sources Major Customers Asphalt Plants Pulp and Paper Mills ■ Electrical Utilities CleanHarbors#5757 Safety-Kleen Re-refining Business Drivers ■ Base oil market demand ■ Additional plant capacity ◉ Expanded blending capabilities ■ Greater acceptance/demand for recycled products ■ Cross-sell between segments Base Oils Blended RFO Byproducts Annual Revenue ~$600 Million Clean Harbors#5858 % Change Base Oil Market Conditions Group II Base Oil market pricing still disconnected from crude - 90%+ of National Account used-oil pricing indexed to U.S. Gulf Coast Ultra-low Sulfur No. 2 Diesel ■ Base Oil Prices plummeted relative to energy markets since Q2 2012 10% 5% 0% Q2'12 Q3'12 Q4'12 Q1'13 Q2'13 -5% -10% -15% -20% -25% -30% Motiva GC #2 Crude (Brent) Clean Harbors#5959 Re-refined Oil Strategies Incoming Feedstock - priority to reduce PFO in all markets ■ Product Output - - Increase volume of blended products to lower volatility associated with base lube rates Promote EcoPower brand 100% usage of EcoPower in CLH fleets across North America ECO POWER The engine oil that protects both. Clean Harbor#6060 Used Oil Collections PFO pricing ■ Rates/collection strategies affected by regional supply/demand dynamics. and logistics - - California and Canada rates significantly lower than U.S. average Upper Midwest faces upward pricing pressures PFO reduction strategies ■ National Accounts - 19M gallons targeted - $1.5M in annualized PFO reductions ■ Branch Accounts - New initiative to reduce PFO at branch accounts - Average $0.21/gal reduction on 1.2M gallons Clean Harbors#6161 Re-refined Oil Trends Short-Term Group II August price movement allows S-K to increase contracted pricing by $.10/gallon effective October 1 - - Applied to ~50M contract base oil gallons, plus spot pricing $0.20/gallon increase on blended products effective end of September ■ Continued financial pressure due to depressed pricing and high PFO cost Mid-to Long-Term ■ Additional base oil capacity within the next year ■ Re-refinery industry ripe for consolidation ■ Well-positioned due to consistent supply of high-quality used oil, efficient. operations and high-quality base oil products Clean Harbor#6262 Automotive Markets Represents ~40% of Q2 2013 S-K ENV revenue ■ 18 classes Top 5 classes - 82% of revenue ■ Used oil volume ~85% of total ■ Market characterizations 9% Large number of customers 11% - Heavy route density - High-quality used engine oil - Shorter sales cycle Q2 2013 Revenue Top 5 Automotive Classes 9% 20% 33%. Auto Maint ■Dealerships Auto Retail ■Trucking & Trans Quick Lubes Strong S-K brand recognition CleanHarbors#6363 Industrial Markets Represents ~40% of Q2 2013 S-K ENV revenue ■ 35 classes Top 8 classes - 80% of revenue Q2 2013 Revenue Top 8 Industrial Classes 5% 5% 19% ☐ ■ Used oil volume ~9% of total 6% ■ Market characterizations Larger REV/customer 9% - Smaller number of customers - Some customer cross-over Longer sales cycle Typically lower quality used oil 9% MFG-Mach/Med Fab Metal Products MFG - Misc Chemical MFG Exploration/Drilling ■Printing MFG-Non metal 17% MFG-Trans Equip 12% CleanHarbors#6464 Commercial (Specialty) Markets Represents -20% of Q2 2013 S-K ENV revenue ■ Smallest and most diverse - 42 classes Top 8 classes - 63% of revenue ■ Used oil volume ~6% of total ■ Market characterizations 5% 5% - Mid-size to large customers represent 68% of revenue - Some customer overlap with CLH 7% - Route density in some classes Q2 2013 Revenue Top 8 Commercial Classes 4% 4% 19% Lodging/Pers Srvcs 11% 8% Construction Banks/Bus Srvcs Govt-Town/County Retail Bldg Materials Govt-Fed/Defense Wholesale CleanHarbor#6565 Growth Strategy - 10/10/10/10 10 new Safety-Kleen Branches ◉ Analysis of market density and combined customer base identified 14 locations for branch expansion ■ First steps - Western Canada - two Alberta branches being set up 10 thousand net new parts washers ◉ Marketing, sales and incentive plans implemented ■ Parts washers targeted growth segments Existing branch organic growth - Branch expansion plans - New sales channels CleanHarbor#6666 Growth Strategy - 10/10/10/10 10 million gallons of used oil collected from Western Canada ■ Major recent account win in Alberta - leveraged existing CLH relationship ■ Received customer commitments on 2M+ annualized volumes ◉ Opportunities for large volumes of used oil from O&G customers/prospects 10 million gallons of EcoPower above 2012 volume ■ Oil sales team realigned to drive blended and EcoPower sales to distributor and fleet segments ■ 2.2M gallon EcoPower volume increase over first-half 2012 Clean Harbors#6767 Growth Strategy - Cross-Sell to S-K Customers Standby ER Agreements (SERA) sold to S-K customers - - Responses performed by CLH Field Services ER agreements executed ~300+ SERA subscription revenue $100K CLH revenue from ERs ~$2.2M ■ Total Project Management services provided by CLH Field Services and Lab-Pack Services formerly serviced by competitors Clean Harbors#6868 Growth Strategy - Cross-Sell to CLH Customers ■ S-K Branch services sold by CLH (PW, VAC, Oil, Allied Products) - ~250 opportunities with pipeline value of over $1M CLH Corporate Accounts (Industrial and Fleet) targeted for used oil Focus on eight customer verticals with high probability of oil opportunities Evaluated 97 Opportunities for Used Oil Identified 29 Used Oil Candidates ~3.3M Gallons Closed-Won Five Used Oil accounts ~1.4M Gallons Clean Harbors#6969 Margin Enhancement Strategies Significant headcount reduction in corporate headquarters ■ Reduce PFO rates ■ Elimination of selected outsourced services ■ Internalization of branch containerized waste ■ Consolidation of S-K branches and CLH facilities CleanHarbor#7070 Conclusion S-K Brand Industry Leadership Collection Model + Dynamic industry leader delivering world-class results and value to customers and stakeholders FIFTY YEARS 1963 2013 safety-kleen. CLH Industry Leadership Disposal Network Logistics CleanHarbors#7171 CleanHarbors CleanHarbors TECHNICAL SERVICES SAFETY-KLEEN INDUSTRIAL & FIELD SERVICES OIL & GAS FIELD SERVICES Clean Harbors Questions & Answers#7272 CleanHarbors Clean Harbors TECHNICAL SERVICES CleanHarbors SAFETY-KLEEN Morning Break INDUSTRIAL & FIELD SERVICES OIL & GAS FIELD SERVICES#7373 CleanHarbors TECHNICAL SERVICES CleanHarbors SAFETY-KLEEN INDUSTRIAL & FIELD SERVICES OIL & GAS FIELD SERVICES Clean Harbors 2013 Investor Day David Parry President, Industrial & Field Services#7474 Agenda Review of Organization Overview of Business - · Customers/Market - Competitive Landscape - Competitive Advantage - Growth Drivers Growth and Margin Enhancement Strategies CleanHarbors#7575 Industrial & Field Services Complementary Service Organization Field Services (US & Canada) Industrial Services (US/Canada/Oilsands) Lodging Services ◉ Sharing of personnel & equipment ■ Delivery of disposal & recycling ■ Efficient internal accommodations ■ Internal septic, water & trash support CleanHarbors#7676 Industrial & Field Services Business Drivers Strong safety results ■ Oilsands growth trajectory Petrochem/refinery production increases ■ W. Canada accommodations market Industrial Field Services Services ◉ Additional S-K branch sales and locations Lodging Oilsands ■ National reputation for emergency response and disposal services ■ Cross-sell between segments Annual Revenue ~$900 Million CleanHarbor#7777 Field Services Field Services (planned) CleanHard ENVIRO Rapid Response (unplanned) Major Event Oversight ■ Planned hazardous cleaning service ■ Tank cleaning/vacuum service Decontamination services ■ Manhole/transformer services ■ Preventative boom operations ■ Day-to-day road/water/rail spills ■Internal facility spills/emergencies ■ Abandoned waste collection ■ Post catastrophe hazardous cleanup ■Large oil spills/releases ■ Natural disaster cleanup Major chemical releases ■Fire/Explosion remediation CleanHarbors#7878 Field Services - Verticals ◉ ◉ Utility Customers Terminals and Pipelines Transportation ■ Chemical Manufacturing Automotive CleanHarbors#7979 Field Services - Competitive Landscape Local: Many local small providers in all markets Regional: USES NRC (ES) Clean Venture Patriot SWS Garner ES&H Hepaco Envirosystems (Can) Tervita Philip Services Veolia CleanHarbor#8080 Field Services - Competitive Advantages ◉ 30-year track record Direct sales personnel > 500 ■ Service locations in all key geographic areas in U.S. and Canada ■ Contracts with key government and commercial clients Supported by our hazardous waste disposal network Clean Harbor#8181 Field Services - Market Size and Trends Market Size ~$1B (U.S.) ~$300M (Canada) Trends Growing national demand from small businesses and automotive clients ■ Consolidation of Field Service competitors ■ ER competitors formed during Gulf spill shutting down ■ Market shift from maritime commerce to domestic rail and pipeline transportation Insurance companies proactively contracting with national providers CleanHarbor#82Industrial Services & Oilsands Industrial Maintenance and Cleaning 82 Turnaround/Major Event Services Maintenance Project Services ◉ ◉ ◉ " Vacuum services High pressure cleaning Disposal and container services Daily InSite services ■ Fluids handling (Oilsands) " Mine maintenance and cleaning (Oilsands) Catalyst services Furnace pigging/de-coking Chemical cleaning Specialty high pressure cleaning Sonic cleaning ■ Pipeline coating service ■ Tank cleaning ■ Coker vessel ■ Hydrostatic testing ■ Ultra high pressure cutting ■ Sediment pond cleaning and maintenance CleanHarbor#83Industrial Services & Oilsands - Verticals Refineries ■ Chemical Manufacturers ■ Utilities (Power Generator) ◉ Pulp and Paper E&C (Consultants & Mechanical Firms) 83 IN PEG CleanHarbor#8484 Industrial Services & Oilsands - Competitive Landscape Highly competitive mature business. Oilsands and Gulf petrochemical markets expanding. Local: Regional: Many small, local providers support individual plants Envirosystems (Can) Thomson Industrial (U.S.) Shale Industrial (W. Can) Veolia (E. Can) National: Philip Services (U.S.) Veolia (U.S. and E. Can) Hydrochem (U.S.) Ceda International (Can) CleanHarbors#8585 Industrial Services & Oilsands - Competitive Advantages ◉ ◉ ◉ Reputation as "best in class” provider of services Safety leader Field and industrial service personnel cross trained for seasonality One-stop-shop for services and disposal Recognized for industrial experts and service delivery ■ Service locations in all key refinery/petrochem hubs CleanHarbor#8686 Industrial Services & Oilsands - Market Size and Trends 2 Market Size ~ $2.5B (US) ~ $1.5B (CAN) Trends ■ Gulf Coast and Oilsands throughput expanding ■ ■ ■ Refinery furnaces fouling more frequently due to shale derived crude Competitors face skilled labor challenges in Gulf and Alberta regions U.S. refinery throughput at record levels (~18m barrels/day) ■ Growth in Oilsands production on low trajectory - pipeline construction news will ramp up spending CleanHarbor#8787 Lodging Services Lodging Services Remote Accommodations Manufacturing Operate 9 company-owned "open" lodges ■ We own and operate 3 "closed" lodges ■ One longer term lodge asset rental ■ Additional permitted sites under plan for expansion ■ Provide drill camp rental/ set up/operation ■ Housekeeping services. ■ Catering services. ■Internal or third-party lodge manufacturing ☐ Camp manufacturing ■ Wellsite manufacturing Assembly and construction. of lodges and camps ■ Waste and water design assembly and service capabilities CleanHarbor E#8888 Lodging Services – Verticals - Oil & Gas Production Mining ■ Oil & Gas Exploration Utilities Engineering & Construction Government CleanHarbors#8989 Lodging Services – - Competitive Landscape Historical focus on AB, Southern SK and Northern BC Manufacturing Competitors ■ AltaFab Structures ■ Atco Structures ■ Britco Manufacturing ■ Horizon North Logistics ■ PTI Group ■ William Scotsman/Horizon Logistics Lodging and Remote Camps ■ PTI Group ■ ATCO Structures ■ Black Diamond ■ Horizon North Logistics. ■ Noralta ☐ Royal Camps William Scotsman/Horizon Logistics CleanHarbor#9090 Lodging Services – - Competitive Advantages ■ <1,000 room "open" lodge facilities in key locations ◉ ◉ Reputation for quality service and catering excellence Full control of reservations and rates (utilization) Flexibility to manage internal lodging needs with external customer demand ■ Internal design and manufacturing capabilities. ◉ Cross-selling to oil/gas, environmental and Oilsands customers CleanHarbors#9191 Lodging Services – - Market Size and Trends 2 Market Size ~ $2.5B (Western Canada) Trends ■ Mining and LNG/Utility projects taking modest lodging/construction capacity ■ Small skidded lodges becoming priority solution for remote projects ■ Room rates and utilization trends remain steady to slightly increasing ■ Customers demanding larger rooms, better food, more entertainment and private bathrooms CleanHarbors#9292 Growth Strategy Expect >10% organic growth ■ Oilsands Industrial growth. ■ InSite Industrial Service expansion ■ Field Services cross-sell through S-K customers Field Services expansion in Canada ■ Turnaround capacity expansion ☐ O Catalyst lifecycle Material processing growth in the U.S. and Canada Clean Harbor#9393 Margin Enhancement Strategy Asset utilization ■ Rental equipment reduction ■ Maintenance internalization ■ Increased labor utilization and labor sharing ◉ Price increases Return on capital CleanHarbors#9494 CleanHarbors CleanHarbors TECHNICAL SERVICES SAFETY-KLEEN INDUSTRIAL & FIELD SERVICES OIL & GAS FIELD SERVICES Clean Harbors Questions & Answers#9595 CleanHarbors TECHNICAL SERVICES CleanHarbors SAFETY-KLEEN INDUSTRIAL & FIELD SERVICES OIL & GAS FIELD SERVICES Clean Harbors 2013 Investor Day Laura Schwinn President, Oil & Gas Field Services#9696 Agenda Oil and Gas Field Services Overview Industry Trends & Growth Outlook ■ Overview of Businesses - Competitive Landscape - Competitive Advantages Growth and Margin Enhancement Strategies CleanHarbors#9797 Oil and Gas Field Services Rationale ◉ Why is it important for CLH to be in this sector? - Environmental responsibility a key focus in Oil and Gas - Increasing federal regulations aligned with CLH expertise - - Drives volumes into our disposal network Growth potential with new and large customer base ■ Our environmental service reputation differentiates us because: - Industry increasingly compliance driven - Market shifting to safety/environmentally focused providers - Integration of complementary services CleanHarbors#98Oil and Gas Field Services Seismic and Right-of-Way Services Surface Rentals Oilfield Transport & Production Services CleanHarbors 1-1 ■ Front end services and seismic surveying Mulching/line clearing Shot-hole drilling Directional boring ■ Solids control systems ■ Wellsites ■ ■ Wastewater treatment Asset rental ■ Downhole well cleaning and maintenance ☐ ■ Fluids handling, transport and disposal ■ Turnarounds, oilfield spills and tank cleanings Hydroexcavation ■ Rental production equipment Pressure/hydrotest equipment Clean Harbors 98#9999 Oil and Gas Field Services Business Drivers ■ Well counts, footage drilled and rig count ■ Number of drilling days Oil/gas basins (unconventional plays) ■ Number of horizontal wells ■ Environmental regulations ■ Service intensity ■ Cross-sell between segments Seismic/ Right-of-Way Surface Rentals Transport & Production Annual Revenue ~$400 Million CleanHarbor#100Industry Trends and Outlook Oil outlook: robust Natural Gas: muted Wells: ongoing shift to unconventional Oil demand: Increase 0.9% per year until 2025, driving production to 100mmboed in 2025 Service demand: field development complexity increasing, intensifying need for oilfield services U.S. plays: gradual recovery in 2014; after 2015, increased access to foreign markets to significantly push up production rates Canada plays: in 2014, gas rig count projected to rise 18%, well count to grow 9% Unconventional resources: driving production growth through 2025 US light tight oil: 6mmboed by 2025 - - Other unconventional resources: 6.2mmboed by 2025 100 E&P spend: steady growth Capex and opex spending: steady growth of 4-7% per year, driven by robust oil demand and change in resource type mix CleanHarbors#101U.S. Well Forecast ◉ Drilling picking up in Q3 after Spring break-up in Canada 14,000 ■ Overall growth supported by increased exploration ■ Reflects the influence of unconventional plays 12,000 10,000 8,000 6,000 4,000 2,000 0 3Q10 Source: API, Barclay's Research 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 101 Clean Harbor#102U.S. Footage Drilled ◉ Deeper more complex wells are increasing footage drilled Supports focus on unconventional plays (millions of feet) 120 100 60 80 60 60 40 40 20 20 CleanHarbor 0 3Q10 4Q10 1011 2011 3011 4Q11 1012 2012 3Q12 4Q12 1013 2013 3Q13 4Q13 1014 2014 3014 4Q14 Source: API, Barclay's Research 102#103103 North American Rig Count ■ Near-term increase expected, primarily due to coming out of Spring break-up ◉ Increased pad drilling Industry focusing more on well count and footage drilled 2,500 2,000 1,500 1,000 500 0 1Q11 2Q11 3Q11 4Q11 Source: Spears Drilling and Production Outlook – September 2013 1Q12 2Q12 3Q12 - 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 CleanHarbor#104U.S. and Canada Shale Plays 104 Monterey Cardium Duvernay Exshaw Green River Mancos Viking Niobrara 4 Permian Bakken CAN Bakken ND Mississippi Lime Anadarko Barnett CLH Oil & Gas locations Other CLH locations Producing plays Marcellus Utica Eagle Ford/Pearsall SOURCES: EIA; Deutsche Bank; Shale Gas.com; USGS; NPC; company announcements Clean Harbor#105Industry Growth Opportunities 105 Regional Growth Service Line Growth Customer Growth Canada: Duvernay, Bakken and Cardium U.S.: Bakken, Eagle Ford, Niobrara, Piceance and Permian - ― Liquid rich plays in U.S. will see sustained activity due to elevated oil prices - Gas rich plays will see less activity/limited growth with current natural gas prices Surface Rentals: service intensity and geographic expansion Oilfield Transport & Production Services: diversify from rig count dependent services and leverage geographic expansion Seismic & Right-of-Way Services: leverage increase spending in exploration Reputation - Customers with a focus on safety and environmental sustainability - Leverage relationships and cross sell expertise and services CleanHarbors#106106 Our Performance vs. Rig Count ■ Captured market share through flat rig count in 2012 ◉ ■ Growth in U.S. and diversification mitigating Q2 seasonality Captured more liquids rich plays after significant fall in dry gas drilling in 2012-13 Revenue (in millions) Rig Count Total O&G REV $160 3,000 $140 2,500 $120 2,000 $100 $80 1,500 $60 1,000 $40 500 $20 $0 0 Q1 2011 Q2 2011 Q3 2011 Q4 2011 Q1 2012 Q2 2012 Q3 2012 Q4 2012 Q1 2013 Q2 2013 Rig Count (North America) CleanHarbors#107Seismic and Right-of-Way Services Trailing 12 Month Revenues June 2013 107 Seismic surveying Mulching/line clearing ■Shot-hole drilling Directional boring ◉ Primary growth engine from increased exploration budgets and land sales Integrated front-end services, shot-hole and heli-drilling capability ■ Extensive mulching capability - low environmental footprint ■ Skilled and trained resources with industry track record Specialized and proprietary data integration technology Clean Harbors#108Seismic and Right-of-Way Services - Competitive Landscape ■ ◉ ◉ Front-end Seismic Survey - International Seismic companies internalizing services Mulching/Line-Clearing ― Omni, Strike Energy and Independent providers Shot-hole Drilling - Omni, Global, CGG/Veritas, Western Geco Directional boring - Small independent providers 108 Clean Harbors#109Seismic and Right-of-Way Services - Competitive Advantages ◉ ◉ Completely integrated front-end services Significant mulching, shot-hole drilling capability Skilled and trained personnel Specialized technology and equipment 109 CleanHarbors#110Surface Rentals Trailing 12 Month Revenues June 2013 110 ■Solids control systems ■Wastewater treatment ■Wellsites Tank rentals ■ Significant portion of business in highest margin potential services Strong growth potential in wastewater treatment - in U.S. and Canada ■ Both wellsites and tank rentals typically bundled with solids control systems Clean Harbors#111Surface Rentals - Competitive Landscape 111 ■ ◉ ◉ Solids Control - Apex, Baroid, BOS, MI Swaco, Newalta, NOV Brandt Wellsite Accommodations - Apex, Campbell, Stallion Wastewater Treatment - Precision Rentals, Remote Wastewater, PTI Group Tank Rentals - Precision, Total, Stallion CleanHarbors#112Surface Rentals - Competitive Advantages Significant asset base ■ Versatile equipment ◉ State-of-the-art maintenance program Access to cuttings disposal ■ Skilled and trained personnel 112 CleanHarbors#113Oil Field Transport and Production Services Trailing 12 Month Revenues June 2013 Fluid & solid handling, T&D Hydroexcavation Turnarounds, spills & tank cleaning ■ Pressure/hydrotest equipment Rental production equipment Downhole well cleaning & maintenance 113 Largest business line not rig count dependent ■ Fluids and solids handling complements Field Services and Surface Rentals Turnarounds, spills and tank cleaning complements Industrial and Field Services Clean Harbor#114Oil Field Transport and Production Services Competitive Landscape ◉ Downhole cleaning/maintenance 114 - Essential Energy, Mullen ■ Fluid and solids handling ◉ ◉ ◉ - Mullen, Gibsons, Power Fuels, URS Flint Turnaround/Spills/tank cleaning - CEDA, Young Energy, URS Flint Hydroexcavation - Badger, Big Eagle, numerous local competitors, URS Flint Production Rental Equipment Precision Rentals ■ Pressure and hydro test Mullen, URS Flint CleanHarbor -#115Oil Field Transport and Production Services Competitive Advantages 115 ■ Service diversity ■ Mobile dispatch technology ■ Cross-sell capability with other CLH services ■ Skilled and trained personnel Existing infrastructure CleanHarbor -#116116 Growth Strategy Expect >10% organic growth Increase service intensity Optimize assets geographically Thoroughly leverage established tools and processes Expand geographic footprint into new plays. Deepen customer relationships Pursue value add cross-selling opportunities CleanHarbor#117Margin Enhancement Strategy ■ Achieve double-digit organic growth Optimize asset utilization Enhance management team Comprehensive work force training 117 CleanHarbors#118118 CleanHarbors CleanHarbors TECHNICAL SERVICES SAFETY-KLEEN INDUSTRIAL & FIELD SERVICES OIL & GAS FIELD SERVICES Clean Harbors Questions & Answers#119119 CleanHarbors TECHNICAL SERVICES CleanHarbors SAFETY-KLEEN INDUSTRIAL & FIELD SERVICES OIL & GAS FIELD SERVICES Clean Harbors 2013 Investor Day Brian Weber Executive Vice President, Corporate Planning and Development#120120 Agenda M&A Overview Safety-Kleen Update Evergreen Oil Update M&A Outlook CleanHarbor#121121 Revenue Growth Timeline ($ Millions) $3,000 $2,500 $2,000 $1,500 $1,000 $500 Company $0 Founded 1980 1982 Eveready Teris Vertical Market Chemical Services Strategy Division of Safety-Kleen Kimball, NE Incinerator 1984 1985 1987 Chem Clear 1988 1995 1997 2002 2003 2004 2005 2006 2007 2008 2009 Peak Safety-Kleen 2010 2011 2012 LTM 6/30/13 Clean Harbors#122122 2012 M&A Recap Key Deals Closed in 2012 - Elite Camp Services: June - - Sierra Process Systems: July Catalyst Services Inc: December - Safety-Kleen: December ■ All acquired business fully integrated except S-K, which will be complete in Q4 CleanHarbor#123123 Mergers & Acquisitions ■ M&A key part of future growth plans ■ Consistent due diligence process and experienced deal team ■ Seasoned integration leaders and proven approach Aggressive Day One cutover plan ■ Robust post merger integration process CleanHarbor#124124 Deal Flow ■ Proactive pursuit of opportunities - Aligned with company growth aspirations - Often funneled up through field organization ■ Consider investment bank targets - Geographic reach and service portfolio drives opportunities Evaluate 5-7 opportunities per week ■ Review against evaluation criteria checklist ■ Determine seller's expectation on valuation CleanHarbor#125125 Acquisition Criteria ■ Can acquisition create value by: - Extending our lines of business - Providing platform for regional expansion - - - Creating cross-selling opportunities Driving more waste into our fixed facilities Leveraging systems and back office ■ Areas to evaluate - - Financial performance and prospects Capital requirements Cultural fit - Competitive landscape CleanHarbor#126126 Acquisition Valuation ■ Valuation model using historical financial information and factoring in growth potential Synergy opportunities ■ Assessment against investment criteria - - - Accretion/dilution analysis ROIC Revenue/EBITDA multiples Proposed transaction structure CleanHarbor#127127 Due Diligence ■ Deal Team (30-60 days) ▪ Extensive diligence in finance, tax, risk management, legal, operations, human resources, environmental liabilities. ■ Site visits ■ Weekly deal team meetings led by CEO Drafting of acquisition agreement CleanHarbor#128128 Integration Planning ■ Integration Teams (30-60 days) - Launched after signing of acquisition agreement - Generally 25+ teams organized under 4 silos ➤ Corporate, Operations, MIS/IT, Commercial Primary focus on day one - integration plans, risk mitigation, post close problem resolution - Participation from target subject matter experts - Weekly steering committee meetings CleanHarbor#129129 Common Integration Team Deliverables REPORT CARD A+ STOP ? Deliverable Team charter and work plan "To-be" processes and systems Performance metrics and targets Risk overview and mitigation Implementation workplan Day one checklists Team specific Description ■ Confirm understanding of goals and scope ■ Outline key activities to be performed ■ Identify business processes and supporting. information systems Key Performance Indicators and targets for the function ■ List of key risks evaluated and mitigation approaches ■ Timeline for implementing new organization and processes ■ Exhaustive list of all activities needed to be ready for close ■ Any team specific output to be defined as part of charters Clean Harbors#130130 Day One Approach Very aggressive day one plans typically include: - Cutover to our industry leading business systems - Implement business model and back office support structure - I I - - Eliminate redundant headcount and consolidate facilities CLH personnel onsite at all newly acquired locations Post-close steering committee meetings drive synergy capture and strategic projects Aggressive business development efforts maximize returns on newly acquired assets and create cross-sell opportunities Clean Harbors#131131 Integration Keys To Success ■ Build one Company Create unified top level organization from the combination ■ Retain key talent - Capitalize on target's expertise in areas of core competencies ■ Maintain critical customer relationships ◉ - Minimize disruption to customers and ID cross-selling opportunities Leverage existing systems and infrastructure - Select the best systems and processes for each function. - Leverage legacy CLH systems where possible ■ Maximize synergies - Identify and quickly capture cost and revenue synergies ■ Over-communicate Clean Harbors#132132 Safety-Kleen Integration Update ■ Closed on December 28, 2012 Integration milestones include - Single ERP system for entire company - Moving Safety-Kleen to WIN New platform to manage re-refined product sales ■ Identified $70-$75M in 2013 cost synergies ■ 30+ strategic initiatives focused on cost savings and revenue growth CleanHarbor#133Status of Post-Close Actions (through week of 9/12) Team Commercial Complete Due Action Status % of Actions On track Late Total Actions Corporate functions 76% 133 Finance Operations Systems 88% 86% 81% 93% 11% 114 24% 195 14% 92 42 6% 160 19% 16 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 577 Total Actions: 85% Complete, 14% on Track, 1% Due, 0% Late CleanHarbors#134Safety-Kleen Synergies More than 500 projects identified 134 ■ Headcount reductions ◉ Internalizing waste disposal Internalizing outside trans. ■ Vehicle maintenance ■ Professional fees ■ Total Project Management ◉ Procurement ■ Central IT platform $70-$75M ~$100M Annualized 2013 2014 CleanHarbors#135135 Evergreen Overview ◉ Re-refinery and environmental business headquartered in Irvine, CA Re-refinery in Newark, CA has 24M gallons of annual waste oil capacity and can produce 17M gallons of base oil ■ Re-refined >175M gallons of used oil since founding ■ Provides waste oil collection, wastewater, drum, and glycol collection services Significant fire at re-refinery in 2011 ■ Unable to recover financially after rebuilding re-refinery ■ Filed for voluntary Chapter 11 bankruptcy protection on April 9, 2013 CLH emerged as winning bid Clean Harbors#136136 Evergreen Locations Lake Davis, CA Tahoe Consolidation Station Sacramento Napa Oakland Nevada Fresno, CA Consolidation Station San Francisco San Jose California Fresno Monterey Newark, CA Re-refinery San Luis Obispo Bakersfield Pacific Ocean Santa Barbara Santa Maria, CA Consolidation Station Santa Catalina Carson, CA Transfer &Storage Facility Los Angeles Palm Springs Irvine, CA Headquarters San Diego CleanHarbors#137137 ◉ Acquisition Rationale Expands re-refining footprint to provide coverage in Western U.S. ■ Access to one of the lowest cost pay-for-oil (PFO) markets in U.S. ◉ S-K's excess feedstock can be re-refined vs. sold as lower margin recycled fuel oil (RFO) ■ Second largest collector of waste oil in California Ancillary environmental services business and valuable waste assets, such as TSDF in Carson Significant upside potential and multiple avenues for profitable growth CleanHarbor#138138 M&A Outlook Moving from opportunistic to more targeted acquisitions by segment and line of business - Tuck-ins to accelerate growth - Major acquisitions to build capabilities and market presence Well-positioned - - Track record of successful acquisitions Well-capitalized Demonstrated ability to be selective CleanHarbor#139139 M&A Outlook ■ Robust pipeline of opportunities - - - Not looking beyond four pillars of the business Continue to evaluate 5+ opportunities per week Many PE-owned environmental assets may come to market in next 12-18 months Still room for consolidation in the environmental services space CleanHarbor#140140 CleanHarbors CleanHarbors TECHNICAL SERVICES SAFETY-KLEEN INDUSTRIAL & FIELD SERVICES OIL & GAS FIELD SERVICES Clean Harbors Questions & Answers#141141 CleanHarbors TECHNICAL SERVICES CleanHarbors SAFETY-KLEEN INDUSTRIAL & FIELD SERVICES OIL & GAS FIELD SERVICES Clean Harbors 2013 Investor Day Jim Rutledge, Vice Chairman, President and CFO#142Q2 2013 Financial Results ■ Revenue increases 64% to $860.5M Net Income declined to $22.9M or $0.38 EPS Adjusted EBITDA up 39% to $123.6M ■ Factors influencing Q2 performance - - - - Historic flooding in Western Canada Delay in some turnarounds Reduction in volumes of blended lubricant sales Lower-than-expected project work - Unplanned three-week shutdown at Deer Park - Strong incineration and landfill volumes. ■ Revised 2013 revenue and Adjusted EBITDA guidance Exited Q2 with cash and securities of $274M 142 Clean Harbors#143Q2 2013 Financial Results 143 ($ in millions, except per share figures) 3 Months 06/30/12 3 Months 06/30/13 Revenues $523.1 $860.5 Gross Profit % Margin $155.5 $246.2 29.7% 28.6% (1) (2) Adjusted EBITDA $88.7 $123.6 % Margin 17.0% 14.4% (2) Net Income $23.4 $22.9 Diluted EPS $0.44 $0.38 (1) See disclosures regarding non-GAAP financial results in Clean Harbors' news release dated August 7, 2013 located at www.cleanharbors.com (2) Net income, Adjusted EBITDA and EPS includes pre-tax integration and severance costs of approximately $6.8 million for the second quarter of 2013. Clean Harbors#144144 Historical Revenue Summary Acquisitions, new service locations and increasing demand for environmental and industrial services are driving top line growth ($ in millions) FY05-12 CAGR: 17% $2,187.9 $1,984.1 $1,731.2 $1,074.2 $1,030.7 $946.9 $829.8 $711.2 $2,815.5 2012 2010 2011 2009 LTM 06/30/13 2008 2007 2006 2005 Clean Harbors#145145 Historical Adjusted EBITDA* Summary Internal cost-savings initiatives coupled with leveraging our fixed costs have driven margin expansion ($ in millions) $373.8 $418.9 FY05-12 CAGR: 23% $350.0 $314.7 $163.2 $157.6 $133.3 $119.0 $90.3 2011 2012 LTM 2009 2010 06/30/13 2008 2007 2006 2005 * For a reconciliation of Adjusted EBITDA to net income, please refer to the Company's Annual Report on Form 10-K filed each year with the Securities and Exchange Commission. In addition, the Adjusted EBITDA of certain time periods were unfavorably affected by acquisition-related costs including $8.1 million in 2009, $7.5 million in 2012 and $20 million in last 12 months ended 6/30/13. CleanHarbors#146Historical Margin Performance 146 15.8% 15.8% 15.2% 15.2% 15.0% 15.5% 14.7% 12.7% 14.4% 14.1% 18.2% 17.6% 17.1% 14.9% 12.8% 12.5% 13.7% 11.9% $90.3 $119.0 $133.3 $163.2 $157.6 $314.7 $350.0 $373.8 $418.9 2005 2006 2007 2008 Adjusted EBITDA 2009 2010 Adjusted EBITDA Margin 2011 2012 SG&A% LTM 06/30/13 * For a reconciliation of Adjusted EBITDA to net income, please refer to the Company's Annual Report on Form 10-K filed each year with the Securities and Exchange Commission. In addition, the Adjusted EBITDA of certain time periods were unfavorably affected by acquisition-related costs including $8.1 million in 2009, $7.5 million in 2012 and $20 million in last 12 months ended 6/30/13. CleanHarbors#147Historical Free Cash Flow Generation 147 LTM (USD $ in millions) 2009 2010 2011 2012 6/30/13 Adjusted EBITDA $157.6 $314.7 $350.0 $373.8 $418.9 Cash Interest, net (6.4) (26.1) (30.4) (41.0) (56.1) Taxes (Cash) (14.6) (56.0) (48.7) (13.2) (16.2) Change in Working Capital (11.6) (2.6) (74.4) 44.9 6.0 Capital Expenditures (62.2) (116.4) (148.5) (195.8) (255.9) Environmental Expenditures (8.6) (10.2) (11.3) (11.2) (17.2) Environmental Changes in Estimate (4.7) (8.3) (2.9) (8.5) (5.8) Stock Based Comp 1.0 7.2 8.2 7.5 7.8 | Free Cash Flow $50.5 $102.3 $42.0 $156.5 $81.5 I * For a reconciliation of Adjusted EBITDA to net income, please refer to the Company's Annual Report on Form 10-K filed each year and subsequent filings with the Securities and Exchange Commission. CleanHarbors#148Q2 2013 Balance Sheet Highlights 12/31/12 6/30/13 Cash and securities $241.6M $273.8M Billed & unbilled receivables $568.5M $584.2M DSO 73 days 62 days Deferred revenues $50.9M $63.4M Long-term debt $1,400M $1,400M Accounts payable $256.5M $273.1M Environmental liabilities $221.5M $218.3M 148 Clean Harbors#149Environmental Liabilities Summary ■ $218.3M as of 6/30/13 - Highest level was $268M in 2002 $47 million in closure/post closure (asset retirement obligations) - Landfill closure and post closure ($29 million) Non-landfill closure liabilities ($18 million) ■ $172 million in remedial obligations - Landfill ($6 million) - - Non-landfill ($74 million) - Superfund ($15 million) Discontinued facilities ($77 million) 149 CleanHarbor#150Capital Allocation Strategy Expect 2013 Capex ~$280 million Maintenance Capex: ~ $130 million - Refurbishment - Replacement - Landfills - - - Safety & Compliance Maintenance - Technology Focus on high-return projects and ROIC ■ Areas of Growth Investment: ~$150 million - Transportation fleet - Containers Lodging camp facilities - Landfill cell construction - Specialized equipment - Disposal facility enhancements 150 Clean Harbors#151Why Invest in Clean Harbors? 151 Positioning Markets Performance ■ Premier provider in North America Diverse industries High barriers to entry Dynamic growth Large customer base Cross-selling Leverageable model Earnings potential ■ Proven management Clean Harbor#152152 CleanHarbors CleanHarbors TECHNICAL SERVICES SAFETY-KLEEN INDUSTRIAL & FIELD SERVICES OIL & GAS FIELD SERVICES Clean Harbors Questions & Answers