Investor Presentation | 2008

OTC: MIGL
Safe Harbor Statement

This presentation contains forward-looking statements within the meaning of

the Private Securities Litigation Reform Act of 1995. These statements are
subject to numerous risks and uncertainties that could cause actual results to
differ materially. For information concerning these risks, please see MISCOR
Group’s publicly available filings with the Securities and Exchange Commission
(SEC) at www.sec.gov. MISCOR Group disclaims any intention or obligation to
update or revise any forward-looking statements, whether as the results of
new information, future events or otherwise.

All information should be read in conjunction with the historical financial

statements contained in MISCOR Group’s Form S-1, reports on Form 10-Q and
Form 8-K and public announcements of financial information.

These reports, as well as a financial overview, are available on the Investor

Relations page of MISCOR Group’s website, located at www.miscor.com.

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The MISCOR Story

Vision Statement
To become a leading provider of integrated mechanical and electrical
industrial services and products by delivering unmatched experience,
quality and innovation, while creating long-term relationships and
tangible value for our employees, customers and shareholders.

Strategic Advantage
ƒ Leading provider of industrial services for blue-chip customers serving the
domestic and international markets
ƒ Track record of organic and acquisition growth
ƒ 82% compounded annual sales growth (two-time Inc. 500 company)
ƒ Highly experienced management team
ƒ Leverage opportunity inherent in the fragmented services market

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Unique Corporate Model

Blue-Chip
Customer Base
Leverage
Breadth of
Existing
Geographic
Crossover
Reach
Potential
National,
Multi-Industrial
Services
Provider
Best-in-Class
Skilled Workforce
Management

Strategic
Acquisition
Strategy

4
Management Team

John Martell, PE
President and Chief Executive Officer

ƒ 20+ years experience in electrical contracting

and industrial services

ƒ A founding shareholder of Trans Tech Electric,

Inc., which became a founding member of
Quanta Services, Inc., (NYSE: PWR)

ƒ BS in electrical engineering, Notre Dame;

Certificate in Executive Management, Notre
Dame

Richard Mullin Richard Tamborksi James Lewis

VP, Chief Financial Officer EVP, Chief Operating Officer VP, General Counsel

ƒ 20+ years experience in ƒ Former VP of Operations ƒ 13+ years experience in

senior finance positions in
public accounting and
industry
ƒ CFO at NASDAQ-listed
Starcraft Corporation,
former VP of Finance and
President of Wells
Electronics, Inc.
for Alstrom Transports
Train Life Services in the
U.S.A. and Canada, a
division of Paris, France-
based Alstrom
ƒ Former VP of Global
Sourcing and Logistics for
NYSE-listed Wabtec, Corp.
corporate law firm; focus
in contract, litigation and
product liability law
ƒ Former adjunct professor
of law at Notre Dame
ƒ JD from Notre Dame

ƒ MBA from Notre Dame ƒ BS from Lake Erie College 5

Management Team

Bernard DeWees J. Cullen Burdette Anthony Nicholson

President, Magnetech Vice President, HK Engine Components Vice President, Martell Electric

ƒ 29+ years of industry ƒ 13+ years experience in ƒ 20+ years experience in

experience diesel engine components, electrical contracting and
manufacturing and repair construction management
ƒ President of 3-D Service,
former VP Operations at ƒ Former General Manager ƒ Former COO of Ed
ABB Services and Grand of Hatch & Kirk Nicholson & Assoc.
Eagle, Inc.
ƒ BS in electrical engineering ƒ MBA from Notre Dame
ƒ Duke University, Fuqua from the University of
School of Business, Maryland
Executive Business
Management Program

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Diversified Services with Crossover Potential

Percent of Total Revenue Contribution (2007)

Construction and Engineering Services Repair, Remanufacturing, Manufacturing

Services
(CES)
(RRM)

28%
72%

American Motive
Power
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Midwest Work Ethic | Global Reach

ƒ Providing global industrial solutions through two segments:

ƒ Repair, Remanufacture and Manufacturing Services
RRM Growth

ƒ Construction and Engineering Services $50,000

$43,202
$45,000 $37,916
$40,000 $34,637
$32,088
$35,000

ƒ Expanding services through acquisitions and organic growth

$30,000 $24,405
$25,000
$20,000 $14,820
$11,792
$15,000
$10,000
$3,271
$5,000
$0
2001 2002 2003 2004 2005 2006 2006 2007
9mo. 9mo.

RRM Growth CES Growth

$25,000 $21,634
$60,000
$51,734

$50,000 $20,000 $17,552

$43,202

$40,000 $34,637 $15,000

$11,659
$30,000 $24,405
$10,000
$20,000 $14,820
$11,792 $4,492
$5,000
$10,000 $3,271 $675
$0 $0
2001 2002 2003 2004 2005 2006 2007 2003 2004 2005 2006 2007

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Repair, Remanufacture and Manufacturing Services (RRM)

Provide maintenance and repair services on industrial electric motors, lifting magnets, engineering of
power assemblies, engine parts and other components related to large diesel engines.
Industrial Services
End Markets: Rail, Utility, Maritime, Offshore Drilling Sales

Value Proposition $45,000

$37,228 $38,528
$40,000
ƒ Core competencies include both electrical $35,000 $29,721
and mechanical repair $30,000 $25,389
$25,000
ƒ Largest non-OEM manufacturer of power $20,000 $15,323
assemblies for EMD diesel engines $15,000 $11,792
ƒ Multi-location capability with locations $10,000
throughout the Midwest $5,000
$3,271

ƒ Complete industrial repair services $0

2001 2002 2003 2004 2005 2006 2007
ƒ On-site repair capabilities
ƒ Predictive and preventative maintenance
programs Diesel Engine
ƒ Tier 0 Certification with the EPA for power Sales
assemblies
$14,000 $13,206
ƒ Repair services for growing Wind power
$12,000
industry, hydroelectric, others $9,672
$10,000
ƒ Control complete supply chain for the
manufacturing process with in-house $8,000 $6,321
factory $6,000

ƒ Redesigned various features to improve on $4,000

the original product design $2,000

ƒ Highly trained workforce $0

2005 2006 2007

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RRM – Growth Strategy

ƒ Acquisitions: pursue targeted

acquisitions to expand geographic
reach, customer base

ƒ Organic: expand repair services, grow

geographically with customers

ƒ Position as “service provider of choice”

for all industrial maintenance, diesel
engine repair/maintenance needs

ƒ Leverage existing magnet customer

base as a platform for cross-selling
services

ƒ Continue to take advantage of

outsourcing trends, documented ROI
benefits
Service Areas
ƒ Cross-sell services across internal
business divisions

ƒ Pursue additional EPA certifications –

only non-OEM with Tier 0 Certification
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Global Wind Market Opportunity
ƒ Wind power is now the world's
fastest growing source of energy

ƒ For the last ten years worldwide

wind turbine sales have grown
approximately 29% annually

ƒ Expected to expand for the next

twenty years at double-digit rates

ƒ The global market for all turbines

predicted to jump from $83.6
billion in 2007 to about $106
billion in 2012

ƒ American Wind Energy Association

the National Renewable Energy
Laboratory believe 20% of the
nation's electricity can come from
renewable wind energy within the
next twenty years resulting in
cumulative wind turbine sales of 11
over $250 billion
Global Wind Market Opportunity

12
U.S. Wind Market Opportunity

ƒ The market for wind power in the

U. S. has been erratic and largely
dependent on the availability of
the federal production tax credit
(PTC)

ƒ In 2001, the industry installed

about 1,800 MW of new wind-
power capacity

ƒ In 2007, coupled with the huge

spike in petroleum prices, new
installed wind capacity rose to
more than 5,200 MW, shattering
all previous U.S. records

ƒ U.S. has led the world in new

wind-power capacity installed for
each of the last three years

13
U.S. Wind Market Opportunity

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Magnetech Industrial Services

Business Model
Provide maintenance and repair services to
industry, including:
ƒ Industrial electric motors
ƒ Lifting magnets
ƒ Engineering services
ƒ Wind power services

Services
ƒ AC and DC motor repair
ƒ Manufacturing, remanufacturing and repair
of electrical lifting magnets
ƒ Turbine generator repair
ƒ Support services
– Field services
– Magnetrac Asset Management
– Reliability-centered maintenance
– Predictive and preventative
maintenance
– Education and training

15
3-D System (Acquired Nov. 2007)

Business Model
Specialize in the repair, remanufacture and
maintenance for a variety of commercial
and industrial equipment, including a unique
expertise in wind generation repair, to extend
service life, increase performance and
reliability, while minimizing downtime.

Services
ƒ Electric motors and generators
ƒ Steam, combustion and hydroelectric
turbines
ƒ Repair services for renewable wind
generation facilities
ƒ Class I light rail generators, motors, etc.
ƒ Navy and marine duty motors Renewable Wind Generation Repair Services
ƒ Nuclear reactor coolant pump motors
ƒ Drives, drive systems, printed circuit
boards
ƒ Power systems
ƒ Plant site services
ƒ New equipment

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HK Engine Components

Business Model
Provides manufacturing, remanufacturing,
repair and engineering of power assemblies,
engine parts and other components related to
large diesel engines for multiple industries,
including:
ƒ Rail
ƒ Maritime
ƒ Offshore drilling

Services
ƒ Manufacture and remanufacture power
assemblies for 710, 645 and 547 EMD
diesel engines
ƒ Only non-OEM with Tier 0 Certification
from the Environmental Protection Agency
(EPA) for power assemblies
ƒ Component parts for engines
ƒ 1/3 of the production exported to
customers outside North America Power Assembly

17
American Motive Power (Acquired Jan. 2008)

Business Model
Provider of a wide range of services to the
railroad industry, including the reconditioning,
remanufacturing and manufacturing of
locomotives. The 240,000-square-foot, East
Coast-based facility has the capacity to service
up to 20 locomotives simultaneously, as well as
offering wreak repair to quickly put assets back
into service.

Services
ƒ Locomotive reconditioning and rebuilding
ƒ Engine rebuilding, with an emphasis on
EMD 645 and 710 power assemblies
ƒ Wreak repair services
ƒ Technological enhancements
ƒ 104-foot paint shop with air scaffolding
system
ƒ Truck repair (locomotive undercarriages)

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Construction and Engineering Services

Provide a wide range of electrical contracting and HVAC services, mainly to industrial and
institutional customers, as well as commercial builders/contractors

Value Proposition
ƒ A market leader in locations served Electrical Contracting
ƒ Recent entry into industrial HVAC Sales

market through Ideal Consolidated $25,000

acquisition $21,634
$20,000
ƒ Highly trained workforce
$14,207
ƒ High level of design/build competency $15,000
$10,254
ƒ Specialists in fast-track construction $10,000
methods $5,000 $3,508
ƒ Key relationships with all major $174
general contractors serving our $0
2003 2004 2005 2006 2007
regional footprint

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CES – Growth Strategy

ƒ Acquisitions: pursue targets that

expand geographic reach, customer
base

ƒ Organic: expand existing customer

repair services

ƒ Expand footprint throughout

Midwest; grow with key general
contractors

ƒ Replicate national expansion led by

management members in the 1990’s
Current Service Hubs Target Service Hubs

ƒ Align with suppliers to leverage Market Opportunity

partnership opportunities in current

and target markets

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Martell Electric

Business Model
Provide a wide range of electrical contracting
services, mainly to industrial and institutional
customers, as well as commercial builders and
contractors

Services
ƒ Design/Build and Plan/Specification
Methods
ƒ Commercial, industrial and institutional
construction
ƒ Telecommunications
ƒ Traffic
ƒ 24/7 service department Hilton Regional Laundry Facility, Portage, Ind.
ƒ Three locations in Northern Indiana 34.5 KV High Voltage Switchgear Upgrade

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Magnetech Power Services

Business Model
Maintenance and repair services to industry,
including:
ƒ Engineering
ƒ Power system studies
ƒ Transformer services
ƒ Circuit breakers
ƒ Locomotive controls

Services
ƒ Design/build mechanical solutions
ƒ Circuit breaker reconditioning
ƒ 24/7 service
ƒ Total circuit breaker management
programs
ƒ Onsite repair capabilities
ƒ Predictive and preventative maintenance
programs

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Ideal Consolidated (Acquired Oct. 2007)

Business Model
Provide a wide range of mechanical contracting
services, mainly to industrial and institutional
customers, as well as commercial builders and
contractors

Services
ƒ Design/Build, Design Assist and
Plan/Specification Methods
ƒ Commercial, industrial and institutional
construction University of Notre Dame Football Stadium
ƒ Service department
ƒ Predictive and preventative maintenance

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MISCOR Growth Story – Organic & Acquisitions

Total Growth
Total Acquisition Total Organic

$100.0

$80.0

$60.0 82% CAGR

$40.0

$20.0

$-
2000 2001 2002 2003 2004 2005 2006 2007

Acquisition Timeline
Organic
Ideal
Acquisition Consolidated
Huntington
HKEC: 3-D Service
Boardman Mobile Martell S.B . Weston Martell Valpo. Cincinnati AMP Canada

HKEC: 3-D Service

South Bend Hammond Indy Merrillville M artell Elk. Haggerstow Sarland AMP USA
Massillon

2000 2001 2002 2003 2004 2005 2006 2007 2008 24

 Growth Summary

Employees Square Ft. Locations Organic Operating

Starts Acquisitions

21 4,000 1 N/A N/A

7
3 ‘01, ’02(3), ’06,
Includes 3-D Service 385 325,784 9 2000, ‘04, ‘07 ’07(2)

2
84 70,576 3 N/A ‘05(2)

American Motive
Power 1
68 250,000 1 N/A 2008
1
17 6,000 1 2004 N/A
2 1
86 41,004 3 ‘03, ’05 2004
1
41 15,360 1 N/A 2007

MIGL TOTAL 25
702 712,724 19 6 12
Growth Driver: End-Market Diversification

Rail
$144 billion
Marine
$4 billion

Transit
$65 billion
Construction
$24 billion

Utilities
$554 billion
Petrochemical
$101 billion

Steel
Energy/ $574 billion
Renewable Power 26
$204 billion
 Leveraging Complementary Business Units

ƒ Divisional Cross-Selling
– Diversified business segments offer customers a wide range of industrial-based services
– “One-stop-shop” for Blue Chip customers
– Increased penetration reduces cost for customers, drives MISCOR profitability
– Case Study: Australia Rail Group

ƒ Aggregating Specialized Talent

– Training programs for customers = cost savings, loyalty
– Shrinking talent pool of industrial services workforce creates competitive advantage
– Average employee has 15+ years experience
– Attracting talent through aggressive growth
– Training and education programs
– Case Studies: Magnetrac Asset Management, Beta Steel

27
Sizing the Market Potential

Electrial Contracting Market

Total U.S. Market $76 Billion
ƒ Fragmented, legacy-based
industries create numerous
Balance of
acquisition and expansion U.S. $20B
opportunities
Midwest
ƒ Midwest location, combined with a $56B
global reach, provides a strategic
advantage for increasing market
share
Motor & Magnet Diesel Engine Power Assembly Market
Total U.S. Market $8 Billion Total World Market $370 Million

U.S.A., $3.5 World

U.S.A. $137.0M
Eastern $223M
U.S.A., $4.5

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Evolution of a National Leader
2000 – 2004
Company Formation
2000 – MISCOR Founded
ƒSeasoned core
management
ƒProven track record
ƒFocused service offerings
ƒTarget blue-chip customers
Long-Term Plan
2005 – 2007
Accelerated Growth
ƒAddition of Martell
Electric
ƒ6 acquisitions, 12 new
locations
ƒBuild management
ƒLeverage industry trends
ƒExpand service offerings
ƒGrow customer base
ƒInc. 500
ƒIPO
•Industry recognition
•Continued acquisitions
•Strengthen management
team
•Building national image
•Execute strategic vision
•Acquisitions and organic
growth
•Bring Company story to the
Street
•Team in place
•Leverage industry trends
•Expand service offerings
•Strong customer base
2008 – Beyond: Our Future
•$500 million diversified
services provider
•National exchange listing
Profitability & Increasing Revenue Growth
•Leverage public company
currency
•“Service provider of choice”
•Live the strategic vision
•Strengthen management
team
•Achieve national reputation
•Continue organic and
acquisition growth
•Build a following on the
Street
•Team in place
•Leverage industry trends
•Expand service offerings
•Strong customer base
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Favorable Industry Tailwinds

ƒ Outsourcing non-core industrial services can create significant cost savings

ƒ Internal utilization of skilled employees will never be at 100%: The mounting

costs of training skilled employees, maintaining a satisfactory safety record and
complying with rapidly changing government regulations are driving outsourcing

ƒ Breadth of Geographic Coverage Remains Critical: National and multi-site

industrial companies prefer to simplify vendor management, work with larger providers
with broad geographic coverage

ƒ Aging U.S. Industrial Base: As equipment and motors continue to age, companies
turn to preventative, predictive and remanufactured goods as a valuable cost-saving tool

ƒ Industry Succession Plans: Fragmented legacy-based industry lacks succession

planning, resulting in attractive acquisition targets with unrealized potential

In response to these trends, we have made strategic business acquisitions to

consolidate fragmented service providers in the Midwest, resulting in
significant revenue growth and geographic expansion

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Financial Overview

Gross Profit
Sales

$6,000
$35,000

$30,000 $5,000

$25,000 $4,000

$20,000 $3,000
$15,000
$2,000
$10,000
$1,000
$5,000
$0
$0 3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 3Q08
3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 3Q08

Operating Income EBITDA

$1,200 $2,000
$1,800
$1,000 $1,600
$1,400
$800
$1,200
$600 $1,000
$800
$400 $600
$400
$200
$200
$0 $0
3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 3Q08 3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 3Q08

31
 Investment Catalysts

ƒ Leading industrial services and manufacturing company in growing niche

markets

ƒ Established, nationwide blue-chip customer base

ƒ Highly-trained workforce with niche expertise amid limited pool of talent

ƒ Industry Tailwinds: The aging “industrial backbone” needs maintenance;

repairs are a fraction of the replacement cost

ƒ Highly experienced management team with proven track record

ƒ Diversified end-market exposure

ƒ Balance of organic and acquisition growth

ƒ Fragmented legacy-based industry creates attractive acquisition targets with

untapped potential
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Investor Presentation | 2008