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Timken Comments on 13D Filing By CalSTRS and Relational Investors

      Timken Comments on 13D Filing By CalSTRS and Relational Investors

PR Newswire

CANTON, Ohio, Nov. 28, 2012

CANTON, Ohio, Nov. 28, 2012 /PRNewswire-FirstCall/ --The Timken Company
(NYSE: TKR; www.timken.com) commented on the Schedule 13D filed today by
California State Teachers' Retirement System (CalSTRS) and Relational
Investors LLC with the U.S.Securities and Exchange Commission. In the
filing, CalSTRS and Relational disclosed that their group owns 6.15 percent of
Timken shares and urged the company to spin off its Steel Business into a
separate company.

(Logo: http://photos.prnewswire.com/prnh/20100210/TIMKENLOGO )

"Timken is always open to constructive input from shareholders and has had
meetings with Relational to listen to their views," said JamesW. Griffith,
president and CEO of The Timken Company. "The Board and our management team
regularly evaluate the optimal allocation of capital to generate shareholder
value, including capital expenditures, pension funding, acquisitions,
divestitures and returning capital to shareholders in the form of dividends
and share repurchases. As part of this process, over the years we have
carefully evaluated separating the steel and bearing businesses. This
includes a thorough review with our Board this summer of Relational's
proposal, with input from outside financial advisors.

"As a market leader in high-quality engineered steel products, our Steel
Business leverages the same expertise and know-how that we apply across our
businesses. We have significant technology, cost and revenue synergies
between our bearing and steel businesses as well as diversification benefits
in continuing to operate under our current structure," Griffith said. "These
synergies and benefits, coupled with a potential reduction in financial
flexibility, among other factors, led the Board to conclude that the
separation of the businesses at this time would not be in the best interests
of Timken shareholders."

About The Timken Company

The Timken Company (NYSE: TKR), a global industrial technology leader, applies
its deep knowledge of metallurgy, friction management and power transmission
to improve the reliability and efficiency of machinery all around the world.

The company engineers, manufactures and markets mechanical components and
high-performance steel. Its bearings, engineered steel bars and tubes—as well
as transmissions, gearboxes, chain and related products and services—support
diversified markets worldwide.

With sales of $5.2 billion in 2011 and approximately 21,000 people operating
from 30 countries, Timken makes the world more productive and keeps industry
in motion.

SOURCE The Timken Company

Website: http://www.timken.com
Contact: Media Contact -- Pat Carlson, Global Media Relations,
+1-330-471-3514, pat.carlson@timken.com; Investor Contact -- Steve Tschiegg,
Director - Capital Markets and Investor Relations, +1-330-471-7446,
steve.tschiegg@timken.com
 
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