New Ultra Low Profile Wide Base Single Tires

New Ultra Low Profile Wide Base Single Tires …or, what we call X-One by Mike Hurley Segment Manager –Michelin NA Bulk Fleets 2/20/2021

2/20/2021

New Wide Single topics What are they all about ? What are their advantages ? What are their disadvantages ? Are they here to stay or are they just a “flash in the pan”? 2/20/2021

What are they all about ? The Premise : • To increase the overall productivity of the trucking industry by optimizing the vehicle / tire / wheel configuration. 2/20/2021

What are they all about ? • These are NOT “Super Singles” – 445/50 R 22. 5 is ~ 4” less in O/A Diam than 425/65 R 22. 5 ~ 5. 3” less than 445/65 R 22. 5 2/20/2021

Genesis ¢ Conceived in Europe ¢ Developed and tested in the US ¢ Introduced in fall of 2000 at the Great American Truck Show, Dallas, TX 2/20/2021

Testing ¢ Thousands of tires over hundreds of millions of miles in both internal and fleet testing ¢ Track testing to evaluate vehicle dynamics including sudden failure conditions ¢ 2/20/2021 Ensuring retreadability

Market ¢ Hundreds of thousands of tires on hundreds of thousands of wheel positions ¢ Hundreds of BILLIONS of road miles since launch ¢ Later introduced in Europe ¢ New markets / vocations underway ¢ 2/20/2021 Urban Buses, Refuse Vehicles, Concrete Mixers, Military and. . . ?

Converter Dollies • Dramatically reduces effort needed to handle / turn dollies – 2 pivot points instead of 4 2/20/2021

New Wide Base Single Tires Are there advantages? 2/20/2021

New Wide Base Single Tires There are 2 core advantages and several secondary advantages: • Fuel Savings • Weight Savings 2/20/2021

Fuel Savings • Documented, demonstrable fuel savings of 4% when converting from comparable tire types – ie: fuel efficient duals to fuel efficient wide single tires – ie: high mileage tires to high mileage wide single tires – DON’T FORGET THE TRAILER!!! 2/20/2021(with one exception presently)

Example: #1 • T/A tractor trailer converted from an 18 wheeler to a 10 wheeler @ 150, 000 mi/yr @ 6. 0 mpg @$3. 90/gal • LP 22. 5 energy efficient drive and trailer tires to energy efficient wide base singles = Fuel Savings of $4, 970 per vehicle PER YEAR! Comparing Michelin XZA 3 / X One XDA / X One XTA with XZA 3/ XDA 3 / XTA Energy 2/20/2021

Example: #2 • T/A tractor trailer converted from an 18 wheeler to a 10 wheeler @ 150, 000 mpy @ 6. 0 mpg @$3. 90/gal • LP 22. 5 high mileage drive and trailer tires to high mileage wide = base Fuel Savings of $2, 778 singles per vehicle per year Comparing Michelin XZA 3 / X One XDA-HT Plus / X One XTE with XZA 3/ XDA-HT / XTE 2/20/2021

Weight Savings • Replacing dual assemblies with wide base single tires delivers significant reduction in unsprung weight • Increased payload = increased revenue 2/20/2021

Example #1 • T/A tractor trailer converted from an 18 wheeler to a 10 wheeler • LP 22. 5 energy efficient drive and trailer tires to energy efficient wide base singles – all on aluminum wheels = Weight Savings of 768 lbs. per vehicle per year 2/20/2021

Example #2 • T/A tractor trailer converted from an 18 wheeler to a 10 wheeler • LP 22. 5 high mileage drive and trailer tires to high mileage wide base singles – all on aluminum wheels = Weight Savings of 796 lbs. per vehicle per year 2/20/2021

Do they offer any other benefits Improved ride comfort – The new generation of wide base singles dramatically improve spring rate relative to traditional dual fitments – ~15% Improvement (validated by onboard accelerometers) – Improvement in subjective ride quality similar to changing from leaf spring to air ride suspensions 2/20/2021

Do they offer any other benefits Improved Handling • Higher cornering stiffness delivers improved handling response • Subjective feel of improved control in curves • Actually lower the center of gravity of a vehicle 2/20/2021

benefits ? Improved Stability • New generation wide base singles increase lateral stability and lower vehicle center of gravity 71. 5” 0” offset 95. 6” 74. 6” 2” offset 2/20/2021 91. 9”

Do they offer any other benefits Easier Maintenance • One tire to mount vs two • Reduced inventory – tires & wheels • One pressure check per axle end – no more “ignored” inside duals 2/20/2021

Do they offer any other benefits Reduced FET 18 wheeler on LP 22. 5 10 wheeler on 445/50 R 22. 5 $454. 14 $303. 74 Net reduction of 2/20/2021 $150. 40 per vehicle

What are the disadvantages? Fewer Miles • Depending on the nature of the application – Low scrub long haul service = +/- 10% – Higher scrub regional/highway service = - 10 to 30% 2/20/2021

What are the disadvantages? Flats on the Road • Fleets report fewer flats with new wide base singles – Easier pressure maintenance – 2 extra layers of steel in crown – Different mechanical reaction to penetrating objects When compared to traditional duals 2/20/2021

What are the disadvantages? Flats on the Road • Michelin Commercial Truck dealers and many mainstream Travel Plazas like Flying J, Love’s and Pilot are stocking the tires. • Michelin On. Call statistics report only an additional 10 minute average time to complete ERS calls for wide base singles compared to traditional duals. 2/20/2021

Are they here to stay ? • Yes ! • The benefits are real and cannot be ignored in today’s competitive environment – reduced fuel consumption – improved ride and handling – weight reduction = increased payload • Michelin North America has committed + $80 Million USD to expanding X One 2/20/2021

What’s Next ? • Optimizing vehicle design around the technology 2/20/2021

What’s Next ? • Developing new tire technologies that capitalize on the wide base single design 2/20/2021