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INVESTOR PRESENTATION MARCH 2011

A Global Leader in Integrated Clean Air Solutions for Industry. INVESTOR PRESENTATION MARCH 2011. 1. 1. Safe Harbor Statement.

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INVESTOR PRESENTATION MARCH 2011

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  1. A Global Leader in Integrated Clean Air Solutions for Industry INVESTOR PRESENTATION MARCH 2011 1 1

  2. Safe Harbor Statement In addition to historical information, this presentation contains forward-looking statements. These statements relate to future events or our future financial performance. These statements are only predictions and involve known and unknown risks, uncertainties, and other factors. The following factors, among others, could cause our actual results and performance to differ materially from the results and performance projected in, or implied by, the forward-looking statements: our dependence on fixed price contracts and the risks associated therewith, including actual costs exceeding our estimates and our method of accounting for contract revenue; our history of losses and possibility of further losses; the effect of poor operating results on our company; fluctuations in operating results from period to period due to seasonality of our business; the effect of growth on our infrastructure, resources, and existing sales; our ability to expand our operations in both new and existing markets; the potential for contract delay or cancellation; the potential for fluctuations in prices for manufactured components and raw materials; our ability to raise capital and the availability of capital resources; our ability to fully utilize and retain executives; the impact of federal, state, or local government regulations; labor shortages or increases in labor costs; economic and political conditions generally; and the effect of competition in the air pollution control and industrial ventilation industry. We assume no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in, or implied by, these forward-looking statements, even if new information becomes available in the future. Although the Company believes the expectations reflected in such forward looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. 2 2

  3. Growing global demand for improved air pollution regulations Comprehensive portfolio, products, services, and integrated solutions Serving diverse industries and markets with strong brands Strong long term customer relationships to facilitate global growth Global market sales coverage expansion taking place Operational excellence standards to drive margin and cost leadership No bank debt and strong cash flow generation capabilities New executive leadership focused on growth and shareholder value CECO Investor Highlights 3 3

  4. Who Are We? • We make clean air for industry all over the world. Our systems, equipment and services: • Remove airborne contaminants and pollutants from the largest and critical industrial facilities in the world • Clean the air exhausted from those large industrial facilities • CECO will be positioned well at the intersection of these critical global growth needs Our Competitive Advantages • Leading full-service provider of air pollution control and industrial ventilation products and services • Strong brand recognition and loyalty • Long-standing customer relationships • Technology leadership • End-to-end solutions; integrated systems capability • Globally focused 4 4

  5. Key Facts About Us • Company: CECO Environmental Corp. • Exchange / Ticker: NasdaqGM / CECE • Headquarters: Cincinnati, Ohio • Share Price (3/1/11): $5.87 • 52-Week High / Low: $6.53 / $3.31 • Shares O/S Basic/Diluted: 14.3 million / 17.9 million* • Insider Ownership: 29.5% • Market Cap: $84.9 million • Enterprise Value: $95.7 million • Revenue – 2010: $141.0 million • Adj. EBITDA – 2010: $7.3 million • Backlog (12/31/10): $54.3 million • Bookings – 2010: $128.5 million *Includes 2.7 million shares related to $10.8 convertible note issued in November 2009 5 5

  6. Company Leadership Phillip DeZwirek - Chairman • Founder and Chairman of CECO Environmental Corp. • Founder of API Technologies Corp. Jeff Lang - Chief Executive Officer • 30 years of industrial and energy-related operating and executive management experience  • Former Executive Vice President, Operating Officer at McJunkin Red Man Corp., a Goldman Sachs portfolio company with $4.5 billion in annual sales • 25 years at Ingersoll Rand, including leading their Industrial Air Solutions sales, service and operations for North America • Bachelors degree – Ohio University, MBA – Averett University Dennis W. Blazer - CFO and Vice President – Finance and Administration • 35 years of financial management experience • Former CFO of Interlott Technologies – AMEX listed under symbol ILI • Certified Public Accountant • Bachelors degree – Ohio University 6 6

  7. Improved SG&A and Gross Margin focus Consolidated manufacturing footprint Streamlined and upgraded management team Raised operational excellence bar with balanced scorecard Aggressively focused on China, India and Brazil Re-engaged with investment community Sold non-core manufacturing real estate ACTIONS TAKEN - 2010 7 7

  8. STRATEGIC GOALS - 2011 • Grow revenue and continue margin improvement • Complete manufacturing and operations consolidations • Continue renewed North America sales and market coverage • Continue expanding China operations • Improve sales coverage in Brazil, India and Mexico • Select bolt-on acquisitions • Increase cash flow generation and shareholder return 8

  9. Recent New Orders 9

  10. What We Offer • SERVICES (40%) • Industrial Ventilation Engineering • Pressure Vessel & • Custom Fabrication • Energy Management • Stack Emission Testing • Electrostatic Precipitator Rebuilds • Precipitator Controls and Parts • EQUIPMENT (60%) • Cyclones • Thermal and Catalytic • Oxidizers • Rolling Mill Ventilation • Scrubbers • Dampers & • Expansion Joints • Electrostatic Precipitators A GLOBAL LEADER IN CLEAN AIR SOLUTIONS 10 10

  11. Installations with our World Class Brand Names Regenerative Thermal Oxidizer Alternative Fuels Market – Ethanol Severe Service Cyclone Petrochemical Market FCC Cyclones Refinery Market Fiber Bed Filtration Chemical Process Market Dampers Power and Utility Market Steel Rolling Mill Filtration Metals Market 11 11

  12. Global Market Coverage Sales Facilities Future Agents 486 Worldwide Employees 73 Sales Engineers 71 Sales Rep Agents 12 12 12

  13. Demand Driver: Regulation U.S. • EPAhas mandated industrial air quality standards by requiring MACT (Maximum Achievable Control Technology) for general air pollution as well as for NOx, SO2 and mercury reduction. • OSHA has established TLV (Threshold Limit Values) for more than 1,000 industrial contaminants. • DOE promotes new technology growth in biomass and gasification through its Financial Institution Partnership Program. • States continually promulgate new Renewable Energy Standards (RES) such as 12 to 15% technologies for electric companies. Global • Clean Air For Europe (CAFÉ) Policy Development for Air Pollution Control in Europe. • Eastern Europe Caucasus and Central Asia for Pollution Control (EECCA) Joint Policy Development. • Ministry of Environmental Protection – People’s Republic of China (China has targeted 50% or greater reduction in SO2 and NOx emissions) • ENFORCEMENT OF THESE STANDARDS • IS EXPECTED TO INCREASE 13 13

  14. Demand Driver: Energy Growth Worldwide net electrical demand is projected to double by 2030. Projected GW 20-Year Growth Sources: DOE’s Energy Information Agency ( EIA) and World Analysis & Forecast, McIlvaine Company 14 14

  15. Demand Driver: Energy-Alternative Fuels • Biomass • Energy Policy Act of 2005 mandates 7.5 billion gallons of renewable fuels by 2012 • Energy Independence and Security Act of 2007 expands mandate for US-grown biofuels to 36 billion gallons in 2022 • Ethanol from corn capped at 15 billion gallons; rest must come from non-food cellulosic biomass • Gasification • World gasification capacity is expected to grow more than 70% by 2015 • 80+% of the growth will occur in China and India • US regulations will push demand for gasification 15 15

  16. Strong, Diverse and Global Customer Base

  17. 2010 Top 10 Customers (product, % of bookings) • Delaware City Refining – FCC cyclones (4.3%) • Siemens (Allegheny Steel) – ventilation systems (4.1%) • Matheson Tri-Gas – ventilation systems (2.7%) • Total Petrochemicals – FCC cyclones (2.3%) • Arcelor Mittal – baghouses (2.1%) • Foster Wheeler (Exxon) – FCC cyclones (2.1%) • S&B Engineers (CITGO) – FCC cyclones (1.9%) • Poet – oxidizers (1.7%) • Siemens Energy – electrical equipment (1.7%) • Appomattox – oxidizers (1.5%) 17 17

  18. Global Installed Base of $2 Billion of Equipment Representing Significant Recurring Revenue Opportunities • Cyclones and Scrubbers • Pulse Jet Fabric Baghouses • ESP, Electrostatic Precipitators • Dampers, Louvers, Flex Connectors • SO2 Filtration • Specialty Ventilation Equipment • Thermal Regenerative Oxidizers 18 18

  19. Our Growth Strategy • Leverage customer relationships to expand globally • Continue investments into emerging markets (China, Brazil and India) • Continue to focus on streamlining operations and manufacturing to enhance profitability • Continue focus on higher value-added opportunities with improved margin potential • Expand product offerings, services, and technologies • Operational excellence – running smart, lean, and best-in-class processes 19 19

  20. 2010 Global Bookings by Industry - $129M 20 20

  21. A Global Leader in Integrated Clean Air Solutions for Industry FINANCIAL INFORMATION 21 21

  22. Revenues* $ in 000’s *Excluding revenues from discontinued operations 22 22

  23. Increasing Gross Margins 23 23 23 23

  24. Operating Margins * Excluding goodwill impairment charges

  25. Adjusted EBITDA* $ in 000’s *See appendix for reconciliation to GAAP net income 25 25 25 25

  26. Q4 2010 Results - in 000’s 23.0% 3.9% * 2009 excludes goodwill write off 26 26 26 26

  27. Strong Cash Flow & Debt Reduction $ in 000’s 27 27

  28. A Global Leader in Integrated Clean Air Solutions for Industry Contact Information: • Jeff Lang – Chief Executive Officer • Phone: 513-458-2602 • Email: jeff.lang@cecoenviro.com • Dennis Blazer – Chief Financial Officer • Phone: 513-458-2676 • Email: dblazer@cecoenviro.com 28 28

  29. A Global Leader in Integrated Clean Air Solutions for Industry Thank You! 29 29

  30. APPENDIX 30 30

  31. Key Markets Served 31 31

  32. Markets Served 32 32

  33. Markets Served - continued 33 33

  34. Reconciliation 34 34

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