SEPARATION AGREEMENT

This SEPARATION AGREEMENT (this “Agreement”) is entered into as of February 27, 2015, between SIFCO Industries, Inc., an Ohio corporation (the “Company”), and James P. Woidke (“Executive”).

A.Executive has been employed by the Company as its President and Chief Operating Officer.

B.    Executive and the Company are parties to the Amended and Restated Change in Control and Severance Agreement dated April 27, 2010 (“Severance Agreement”).

C.    Executive and the Company are parties to a Confidentiality Agreement, an Agreement on Inventions and Patents, and an Employee Non‑Compete Agreement each dated April 4, 2006 (collectively, “Confidentiality, Inventions and Non‑Compete Agreements”).

D.    Executive and the Company have mutually agreed to terminate the employment relationship effective on February 28, 2015 (the “Termination Date”).

E.    Executive and the Company desire to provide for a smooth transition of Executive’s responsibilities and to resolve all issues regarding his employment with and separation from the Company. Accordingly, and without admitting any liability or wrongdoing whatsoever, they are entering into this Agreement.

In consideration of the promises and mutual agreements, provisions, and covenants contained in this Agreement and other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties agree as follows:

1.1Executive hereby acknowledges, covenants, and agrees:

now owns or holds, has at any time heretofore owned or held or may at any time own or hold by reason of any matter or thing arising from any cause whatsoever prior to the Effective Date of this Agreement, and without limiting the generality of the foregoing, from all claims, demands, and causes of action based on, relating to, or arising out of Executive’s status as a shareholder, or ownership of shares, in the Company, or Executive’s employment with the Company or any of its affiliates, compensation for such employment, or the termination of such employment relationship, including but not limited to claims for breach of contract, defamation, invasion of privacy, wrongful discharge, retaliatory discharge based on the asserted engagement of any type of protected activity, or whistleblowing including, without limitation, under the Sarbanes-Oxley Act, or those claims arising under the Americans With Disabilities Act, the Age Discrimination in Employment Act, Title VII of the Civil Rights Act of 1964, Ohio Revised Code Chapter 4112, Section 4113.52 of the Ohio Revised Code, and any other federal, state, or local laws prohibiting age, sex, race, national origin, disability, or any other forms of discrimination or sexual or other forms of harassment. The foregoing shall not release any rights under this Agreement or the obligation of the Company to indemnify or advance expenses, or the rights to indemnification or advancement of any expenses that Executive has, pursuant to any director and officer or other insurance policy the Company maintains or has maintained (including self-insurance), the General Corporation laws of the State of Ohio or other applicable state or jurisdiction or pursuant to the articles of incorporation or code of regulations of the Company.

Executive acknowledges and agrees that this Agreement waives and releases any right to individual relief at law or equity that Executive may otherwise have in connection with any proceeding arising out of any such charge of discrimination.

2.1    The Company hereby acknowledges and agrees that upon Executive’s prior execution and delivery of this Agreement to the Company, the Company shall, following the Effective Date (as defined in paragraph 3.7 of this Agreement):

i)    Severance pay in a lump sum amount equal to the sum of one and one-half (1.5) times Executive’s base salary in effect on the Termination Date (total amount of $525,000.00).

ii)    Severance pay in a lump sum amount equal to one and one-half (1.5) times Executive’s average annual incentive compensation during the prior three year period ($180,800.00).

iii)    A lump sum amount of $9,423.00 representing seven (7) days of vacation pay.

2.2    Executive’s coverage under the Company’s dental, long term and short term disability, life, and any other insurance plans or policies in which Executive participated immediately prior to the Termination Date, as well as any such insurance obtained by Executive and reimbursed by the Company immediately prior to the Termination Date will continue at the Company’s expense until the earlier of (a) six (6) months following the Termination Date or (b) until Executive becomes eligible to participate in health insurance provided by a new employer, subject to Executive’s right to continue coverage under the Consolidated Omnibus Budget Reduction Act of 1986 (“COBRA”). The Company will provide any notices regarding the foregoing as required by law. The Company will provide COBRA coverage for Executive at the Company’s expense until the earlier of (a) eighteen (18) months or (b) until Executive becomes eligible to participate in health insurance provided by a new employer, if Executive properly elects such COBRA coverage. Notwithstanding the foregoing, the COBRA coverage under the Company’s plans will only be available to Executive for a maximum of eighteen (18) months, or such shorter period of time as required by applicable law.

2.3    Except as provided in paragraph 2.1(c) above, the Company and Executive acknowledge that Executive is forfeiting the Performance Shares pursuant to those certain Performance Shares Award Agreements between the Company and Executive dated as of November 13, 2013, January 28, 2014, and November 13, 2014.

2.4    The Company acknowledges that Executive has certain personal effects, which are his personal possessions and which Executive shall have a right to remove from the Company on or before the Termination Date. Executive and the Company will cooperate in good faith in the review of the Company’s files and documents to determine those items that Executive may retain. Executive’s retention of any such items shall be subject to his confidentiality and nondisclosure obligations under this Agreement and any nondisclosure agreement.

2.5    The Company agrees to provide Executive in advance with sufficient time for review (which shall be deemed to be no less than 24 hours by Email), any press release or filing to be made publicly, or with the Securities and Exchange Commission or the New York Stock

Exchange, which has as its subject the termination of Executive’s relationship with the Company; provided, however, the Company will need to only provide the portion of the press release or filing that deals with Executive.

2.6    The Company releases and forever discharges Executive, his heirs, attorneys, successors, and assigns, and each of them, from all liabilities, claims, causes of action, charges, complaints, obligations, costs, losses, damages, injuries, attorneys’ fees, and other legal responsibilities, of any form whatsoever, whether known or unknown, foreseen or unforeseen, anticipated or unanticipated, suspected or unsuspected, manifest or latent, which the Company now holds, has at any time heretofore owned or held, or may at any time own or hold by reason of any matter or thing arising from any cause whatsoever prior to the Effective Date of this Agreement.

2.7    That (i) the Company has made no assignment and will make no assignment of the claims, demands, causes of action, or other rights released herein; and (ii) it will not institute any legal proceedings or, absent an order from a court of competent jurisdiction, participate in any manner in any civil lawsuit based upon, arising out of, or relating to any claim, demand, cause of action, or other right released herein.

3.0    Executive shall fully cooperate with the Company in the transition of his duties and responsibilities by being reasonably available to answer questions and other inquiries by telephone.

3.1    Subject to paragraph 2.4 and except as set forth on Exhibit A, Executive covenants and represents that he has returned, or will return before the Effective Date of this Agreement, to the Company all of the Company’s property of any kind in his possession or the possession of his agents including, without limitation, all keys, credit cards, files, papers, documents, and devices for holding electronic information. Executive further agrees that he will not, without prior written consent of the Company, directly or indirectly, disclose, reveal, or communicate, or cause or allow to be disclosed, revealed, or communicated, to any third party any of the Company’s or its affiliates’ confidential matters, non-public information, proprietary information, or trade secrets.

3.2    All provisions of this Agreement will be binding on and inure to the benefit of the dependents, successors, heirs, executors, representatives, administrators, and assigns of Executive, and the Company and All Related Parties.

3.3    With the exception of the Confidentiality, Inventions and Non‑Compete Agreements, the Performance Shares Award Agreements, the conversion rights to any insurance benefits, the vested rights in the Company’s 401(k) Plan, and Executive’s COBRA rights, all of which shall remain in full force and effect, this Agreement constitutes the entire agreement among the parties and supersedes and extinguishes all prior negotiations and agreements among the parties. It is further agreed that, other than the payments and entitlements specifically referenced in this Agreement, all payments due Executive as a result of his employment, whether salary, severance, bonus, commission, stock options,

membership interest, stock grant, or other payments, have been made and that Executive is due no other payments whatsoever, except those specifically provided for herein.

3.4    Executive and the Company further acknowledge and agree:

(i)    solicit, hire, or otherwise engage the services of any person who then currently is, or who within the previous twelve (12) calendar months was, an employee, consultant, officer, or agent of the Company or any affiliate of the Company, or induce or attempt to induce a current customer or supplier of the Company, to cease doing business with the Company or any affiliate of the Company;

(ii)     solicit for the purpose of selling, sell to or otherwise provide any products or services competitive with the products and services of the Company or any affiliate of the Company to any person, firm or entity which was a customer or prospective customer of the Company or any affiliate of the Company, at any time within the previous twelve (12) calendar months, or advise or assist in any way any person or entity in such activity. As used herein, “prospective customer” means any potential customer of the

Company or any affiliate of the Company which Executive knew or reasonably should have known that the Company or any affiliate of the Company was actively soliciting (other than through a general campaign) or actively considered soliciting (other than through a general campaign) at any time within the previous twelve (12) calendar months; or

(iii)     divert or attempt to divert any business, customer, partner, or supplier of the Company or any affiliate of the Company to any competitor, or do or perform, directly or indirectly, any other act injurious or prejudicial to the goodwill and business reputation associated with the Company or any affiliate of the Company.

(c)    Executive and the Company agree they will not make any disparaging remarks about the other. Disparagement for purposes of this Agreement means to engage in any act or omission that would in either case subject Executive or the Company to public disrespect, scandal, or ridicule, or have a material adverse effect on their businesses, results of operations, financial conditions, reputations, or standing in the community.

(d)    For purposes of paragraphs 3.1 and 3.4 of this Agreement, Executive and the Company acknowledge that the term “Company” includes the Company and All Related Parties as defined in paragraph 1.1(b) of this Agreement.

(e)    Executive retains any and all rights that he may have as a shareholder of the Company under Ohio law, the Company’s Articles of Incorporation, or the Company’s Code of Regulations, except to the extent any such right is expressly waived, released, prohibited, or otherwise restricted by this Agreement.

3.5    Executive and the Company acknowledge that they understand the terms of this Agreement, that they have had the opportunity to review it with legal counsel of their own choosing, and that they are relying solely on the contents of this Agreement and are not relying on any other representation whatsoever as an inducement to enter into this Agreement.

3.6    This Agreement will be construed and enforced in accordance with the laws of the State of Ohio. This Agreement may not be varied, altered, modified, canceled, changed, or in any way amended, except by written agreement, signed by both parties.

3.7    Executive acknowledges that he is aware of his right to revoke this Agreement at any time within the seven (7) day period following the date this Agreement is signed by him and that, unless so revoked by written notice to the Company, this Agreement will become effective as of the eighth day following the date he executes the Agreement (the “Effective Date”). Executive further acknowledges that the payments to him specified in this Agreement will be paid only after the expiration of such seven (7) day revocation period.

3.8    Executive and the Company further acknowledge that (a) they have read this Agreement, (b) the Company has offered Executive a period of twenty-one (21) days for Executive to consider whether to enter into this Agreement, and Executive has either considered this Agreement and its terms for that period of time or has knowingly and voluntarily waived his right to do so, (c) the Company has advised Executive in writing to consult with an attorney prior to his signing this Agreement, (d) they are each signing this Agreement voluntarily with full knowledge that it is intended, to the maximum extent permitted by law, as a complete release and waiver of all claims, and without any coercion, undue influence, threat, or intimidation of any kind or type whatsoever, and (e) nothing herein constitutes any admission of liability or wrongdoing on the part of Executive or the Company. The Company represents that it has the full authority to enter into this Agreement and that the terms and conditions are fully binding upon it.

3.9    Certain payments contemplated by this Agreement may be “deferred compensation” for purposes of Section 409A of the Internal Revenue Code (“Code”). Accordingly, the following provisions shall be in effect for purposes of avoiding or mitigating any adverse tax consequences to the Executive under Section 409A:

Agreement which imposes a dollar limit on deferred compensation, then Executive will cooperate with the Company in restructuring any items of compensation under this Agreement that are deemed to be deferred compensation subject to such limitation, provided such restructuring shall not reduce the dollar amount of any such item, adversely affect the vesting provisions applicable to such item, or otherwise reduce the present value of that item.

or to such other address as either party hereto may have furnished to the other in writing and in accordance herewith; except that notices of change of address shall be effective only upon receipt.

IN WITNESS WHEREOF, this Agreement has been executed by or on behalf of each of the parties hereto as of the date first written above.