https://www.avient.com/products/long-fiber-technology/long-vs-short-fiber
Fiber reinforced thermoplastic composites offer many advantages over metals when it comes to part design.
Since fiber in long fiber composites is continuous throughout the length of each cut pellet, long fiber materials have a higher fiber aspect ratio than short fiber filled plastics.
https://www.avient.com/industries/industrial/agriculture-construction/agriculture-construction-lighting
Lighting systems that incorporate materials from Avient’s portfolio of long- and continuous-fiber composites are more likely to maintain the integrity of their design
Advanced Mobility Composite Structures
https://www.avient.com/news/polyone-showcases-its-expanding-portfolio-long-fiber-thermoplastics-chinaplas-2019
Our customers are looking for sustainable thermoplastic composite materials that are tougher, stronger, and lighter to accelerate their products from concept to production,” said Flight Xu, general manager, Specialty Engineered Materials Asia for PolyOne.
PHOTO CAPTION: PolyOne Showcase Its Expanding Portfolio of Long Fiber Thermoplastic Composite at CHINAPLAS 2019
https://www.avient.com/news-events
Avient Design and Georgia Tech Students Team Up to Innovate with Polystrand™ Composites...
New Hammerhead™ FR Flame Retardant Composite Panels from Avient Featured at JEC World 2025...
https://www.avient.com/products/fiber-line-engineered-fiber-solutions/fiber-line-engineered-fiber-products/fiber-reinforced-polymer
Composite Fiber Rods
Low smoke, low halogen, flame rated and custom colors are also available for upjacketed composite rods.
https://www.avient.com/products/engineered-polymer-formulations/sustainable-formulations/gravi-tech-lead-replacement-formulations
Gravi-Tech™ polymer-metal composites are high density materials developed as thermoplastic-based alternatives to lead and other traditional metals
High density polymer-metal composites are an ideal alternative to lead and other traditional metals
https://www.avient.com/knowledge-base/article/rethinking-materials-automotive-aftermarket-parts
Using these composites can help OEMs increase product performance, reduce processing steps, and meet the specific needs of the applications and automotive enthusiasts:
Below are two real-world examples to demonstrate the benefits of converting to long fiber composites in very practical terms.
https://www.avient.com/sites/default/files/resources/POL%2520IR%2520Presentation%2520-%2520Investor%2520Day%25205-18-15.pdf
The non-GAAP financial measures
include: adjusted EPS, earnings before interest, tax, depreciation and amortization
(EBITDA), adjusted EBITDA, net debt, Specialty platform operating income, Specialty
platform gross margin percentage, adjusted operating income, return on invested
capital, net debt/ EBITDA, and the exclusion of corporate charges in certain
calculations
S&P 500
PolyOne Corporation Page 14
Well Positioned for Accelerated Growth
$40 billion of market potential
• Megatrends favor our solutions
$1.9 billion of opportunities in our specialty innovation pipeline
• Increased $200m from a year ago
44% of Specialty products introduced in the last 5 years
World class leadership team drives next
phase of specialty transformation:
From Gold to Platinum
PolyOne Corporation Page 15
Global Color, Additives & Inks
John V.
Special items include charges related to specific strategic initiatives or financial restructuring such as: consolidation of operations; debt
extinguishment costs; employee separation costs resulting from personnel reduction programs, plant phase-in costs, executive separation agreements; asset impairments; mark-to-market
adjustments associated with actuarial gains and losses on pension and other post-retirement benefit plans; environmental remediation costs, fines, penalties, remediation costs and related
insurance recoveries related to facilities no longer owned or closed in prior years; gains and losses on the divestiture of operating businesses, joint ventures and equity investments; gains and
losses on facility or property sales or disposals; results of litigation, fines or penalties, where such litigation (or action relating to the fines or penalties) arose prior to the commencement of
the performance period; unrealized gains and losses from foreign currency option contracts; one-time, non-recurring items; and the effect of changes in accounting principles or other such
laws or provisions affecting reported results.
(2) Tax adjustments include the net tax expense (benefit) from one-time income tax items and deferred income tax valuations allowance adjustments.
https://www.avient.com/sites/default/files/2022-08/Schedule 2 a_b_c - SCCs_0.pdf
Until the data is deleted or returned, the data importer shall continue to
ensure compliance with these Clauses.
Until the data is deleted
or returned, the data importer shall continue to ensure compliance with these Clauses.
Until the data is deleted or returned, the data importer shall continue to
ensure compliance with these Clauses.
https://www.avient.com/sites/default/files/resources/POL%2520Gabelli%2520IR%2520Presentation%2520w%2520Non-GAAP%252003%252020%25202014.pdf
The non-GAAP financial measures
include: adjusted EPS, earnings before interest, tax, depreciation and
amortization (EBITDA), adjusted EBITDA, net debt, Specialty platform operating
income, Specialty platform gross margin percentage, adjusted operating income,
return on invested capital, net debt/ EBITDA, and the exclusion of corporate
charges in certain calculations.
In certain cases throughout this presentation, we
have presented GAAP and non-GAAP financial measures adjusted to reflect full-
year 2012 Pro forma results, including Spartech and Glasforms and excluding
discontinued operations
Use of Non-GAAP Measures
Page 3
PolyOne Commodity to Specialty Transformation
Page 4
• Continue specialty
transformation
• Targeting $2.50
Adjusted EPS by
2015, nearly
double 2013 EPS
• Drive double digit
operating income
and adjusted EPS
growth
• 17 consecutive
quarters of double-
digit adjusted EPS
growth
• Shift to faster
growing, high
margin, less cyclical
end markets
• Key acquisitions
propel current and
future growth, as
well as margin
expansion
• Established
aggressive 2015
targets
• Steve Newlin
Appointed,
Chairman, President
and CEO
• New leadership
team appointed
• Implementation of
four pillar strategy
• Focus on value
based selling,
investment in
commercial
resources and
innovation to drive
transformation
• Volume driven,
commodity
producer
• Heavily tied to
cyclical end markets
• Performance largely
dependent on non-
controlling joint
ventures
2000-2005 2006 - 2009 2010 – 2013 2014 and beyond
-150.00%
-50.00%
50.00%
150.00%
250.00%
350.00%
PolyOne S&P 500 Russell 2000 Dow Jones Chemical
All time high of
$38.38
March 7th, 2014
• 17 consecutive quarters of
double digit EPS growth
• 49% CAGR adjusted EPS
expansion 2006-2013
• 2013 stock price increased
73% versus 30% growth in the
S&P
• More than seven fold increase in
market cap: $0.5b $3.6b
Strategy and Execution Drive Results
Page 5
Appliance
4%
Building &
Construction
13%
Wire & Cable
9%
Electrical &
Electronics
5%
Consumer
10%Packaging
16%
Industrial
12%
HealthCare
11%
Transportation
18%
Misc.
2%
United
States
66%
Europe
14%
Canada
7%
Asia
6%
Latin
America
7%
PP&S
Specialty
53%
Distribution
27%
0.12
0.27 0.21
0.13
0.68
0.82
1.00
1.31
2.50
$0.00
$0.25
$0.50
$0.75
$1.00
$1.25
$1.50
$1.75
$2.00
$2.25
$2.50
2006 2007 2008 2009 2010 2011 2012 2013 2015
Target
Ad
ju
st
ed
E
ar
ni
ng
s P
er
S
ha
re
2013 Revenues: $3.8 Billion
End Markets
2013 Revenues: $3.8 Billion
EPS
Page 6
PolyOne
At A Glance
Old
PolyOne Transformation
*Operating Income excludes corporate charges and special items
2%
34% 43%
62%
65-
75%
0%
20%
40%
60%
80%
100%
2005 2008 2010 2013 2015
%
o
f O
pe
ra
tin
g
In
co
m
e*
JV's Performance Products & Solutions Distribution Specialty
Specialty OI $5M $46M $87M $195M Target
Mix Shift Highlights Specialty Transformation
2015
Target
Page 7
2006 2013 2015
“Where we were” “Where we are” Target
1) Operating Income %
Specialty:
Global Color, Additives & Inks 1.7% 12.2% 12 – 16%
Global Specialty Engineered
Materials 1.1% 9.3% 12 – 16%
Designed Structures & Solutions -- 5.6% 8 – 10%
Performance Products &
Solutions 5.4% 7.2% 9 – 12%
Distribution 2.6% 5.9% 6 – 7.5%
2) Specialty Platform % of
Operating Income 6.0% 62% 65 – 75%
3) ROIC* (after-tax) 5.0% 9.1% 15%
4) Adjusted EPS Growth N/A 31% Double Digit
Expansion
Proof of Performance & 2015 Goals
*ROIC is defined as TTM adjusted OI divided by the sum of average debt and equity over a 5 quarter period
Page 8
Bridge To $2.50 Adjusted EPS By 2015
2015 EPS: $2.50
2013 EPS: $1.31
Mid single digit
revenue CAGR
Page 9
Mergers & Acquisitions
Spartech accretion
Incremental share buybacks
Ongoing LSS Programs
(50-100 bps/yr)
Accelerated Innovation &
Mix Improvement
Innovation Drives Earnings Growth
$20.3
$52.3
2006 2013
Research & Development
Spending
($ millions)
Specialty Platform
Vitality Index Progression*
*Percentage of Specialty Platform revenue from products introduced in last five years
Page 10
14.3%
30.7%
2006 2013
Specialty Platform
Gross Margin %
19.5%
43.0%
2006 2013
Healthcare
Consumer
Packaging and Additive Technology
Transportation
Page 11
Unique and Innovative Solutions that Help
Customers Win
https://www.dropbox.com/sh/dwe4t8aacvhb8ui/uD3p_bdglP/Presentation revise pics/GLS Beverage can closure XO 2.jpg
https://www.dropbox.com/sh/dwe4t8aacvhb8ui/-YgkycKypw/Anti-Counterfeiting release & images/GN1979.JPG
Net Debt / EBITDA* = 1.8x
$48
$317
$600
$0
$100
$200
$300
$400
$500
$600
$700
$800
2015 2020 2023
Significant Debt Maturities
As of December 31, 2013
($ millions)
Page 12
Coupon Rates: 7.500% 7.375% 5.250%
Debt Maturities & Pension Funding – 12/31/13
*TTM 12/31/2013 ** includes US-qualified plans only
60%
100%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2008 2013
Pension Funding**
As of December 31, 2013
Free Cash Flow and Strong Balance Sheet Fund Investment
•Targets that expand our:
• Specialty offerings
•End market presence
•Geographic footprint
•Operating Margin
• Synergy opportunities
•Adjacent material solutions
•Expanding our sales,
marketing, and technical
capabilities
• Investing in operational and
LSS initiatives (including
synergy capture)
•Manufacturing alignment Organic
Growth
Share
Repurchases
Dividends
Acquisitions
Page 13
$0.16
$0.20 $0.24
$0.32
$0.00
$0.10
$0.20
$0.30
$0.40
2011 2012 2013 2014
Annual Dividend
• Repurchased ~5 million
shares in 2013
• 15 million shares
are available for
repurchase under
the current
authorization
The New PolyOne: A Specialty Growth Company
2015 Target: $2.50 Adjusted EPS
Why Invest In PolyOne?