https://www.avient.com/products/fiber-line-engineered-fiber-solutions/high-performance-synthetic-fibers
Nymax™ REC Recycled Nylon Formulations
Complēt™ Moisture Resistant Nylons
https://www.avient.com/sites/default/files/2022-03/Avient 2022 Proxy Statement.pdf
ET)
on May 11, 2022.
Call 1-800-690-6903 to vote your proxy by telephone until 11:59 p.m.
ET) on May 11, 2022.
https://www.avient.com/investor-center/news/avient-announces-third-quarter-2024-results
Revised guidance reflects 11% to 13% growth in adjusted EPS over the prior year
each delivered organic double-digit topline increases of 27% and 11%, respectively, driven by growth in the packaging and consumer markets.
https://www.avient.com/investor-center/news/polyone-announces-full-year-and-fourth-quarter-2018-results
Acquired two specialty businesses, repurchased 3.4 million shares and increased quarterly dividend 11%
Increased our dividend by 11% and for the seventh consecutive year in a row
https://www.avient.com/investor-center/news/avient-announces-fourth-quarter-and-full-year-2024-results
the mid-point represents 11% growth when excluding the unfavorable impact of foreign exchange of
represents 11% growth, excluding the unfavorable impact from foreign exchange of
https://www.avient.com/sites/default/files/2022-05/DOC 1879.pdf
TABLE OF CONTENTS PAGE
1.0 QUALITY POLICY……………………………………………………………….. 4
2.0 AVIENT BUSINESS & QMS ALIGNMENT………………………………………. 5
3.0 CUSTOMER FOCUS PROCESS………………………………………………… 6
4.0 SCOPE OF STANDARD QUALITY RESPONSE…………………………….. 7 - 8
5.0 COMPANY INFORMATION…………………………………………………… 9
6.0 IT SECURITY………………………………………………………………….. 10
7.0 ENIVIRONMENTAL HEALTH, SAFETY & SECURITY………………………. 10
8.0 TECHNOLOGY…………………………………………………………………. 11
9.0 REGULATORY & STATUTORY REQUIREMENTS…………………………….. 11
10.0 QUALITY MANAGEMENT SYSTEM……………………………………………… 12
10.1 GENERAL…………………………………………………………………… 13
10.2 FACILITY & MAINTENANCE…………………………………………… 14
10.3 CONTROL OF MONITORING & MEASURING DEVICES……………… 14
10.4 MANUFACTORING, PRODUCTION & PROCESS CONTROLS…………….. 15
10.5 NONCONFORMING MATERIALS……………………………………… 15
10.6 MATERIALS, STORAGE, HANDLING & TRACABILITY……………. 16
10.7 PACKAGING, SHIPPING & DISTRIBUTION…………………………… 16
10.8 QUALITY CONTROL TESTING………………………………………….. 17
11.0 CONTINUOUS IMPROVEMENT…………………………………………… ........ 17
11.1 FIGURE B.
Avient’s No Surprises Pledge https://www.avient.com/company/sustainability/product/no-
surprises-pledge
https://www.avient.com/company/policies-and-governance/it-systems-use-policy
https://www.avient.com/company/policies-and-governance/it-systems-use-policy
https://www.avient.com/company/sustainability/planet/responsible-care
https://www.avient.com/company/sustainability/planet/responsible-care
https://www.avient.com/company/sustainability/product/no-surprises-pledge
https://www.avient.com/company/sustainability/product/no-surprises-pledge
Approved
Corporate : Template/Form
Document #: DOC-01879 Revision: 8
Document
Owners:
Brian Hoar Effective Date: May 13, 2022
Title: QF-02 Quality Standard Response
Page 11 of 19
Only the electronic version of this document in ETQ is the controlled version of the document.
https://www.avient.com/sites/default/files/2020-10/investing-in-avient.pdf
It’s why we win.
11
474
644
924
107
147
208
467
616
872
2014 2018 2020PF
R&D / Technical Marketing Sales
Commercial Resources
+ 36%
+ 37%
+ 32%
+ 43%
+ 41%
+ 42%
Headcount figures are Pro forma for the sale of Designed Structures and Solutions (DSS) and Performance Products and Solutions (PP&S)
segments and the acquisition of the Clariant Masterbatch business. 2020PF data as of August 31, 2020.
I N V E ST M E N T I N C O M M ERC I A L R E S O U RC E S
D R I V E S I N N O V AT I V E P R O D U C T P O R T F O L I O A N D S A L E S G R O W T H
2.6x
TARGET NET
LEVERAGE BY 2021
~$1Bn
REPURCHASED
OVER LAST 10 YEARS
~$350MM
PAID OVER LAST 10 YEARS
R E TU R N I N G VA LU E TO S H A R E H O L D E R S
12
Free Cash Flow Dividends Share Repurchases Deleveraging
Strong track record of cash generation put to work in M&A and return to shareholders while modestly levered
0.16
0.20
0.26
0.34
0.42
0.50
0.58
0.72
0.79 0.81
11 12 13 14 15 16 17 18 19 20
0.1 0.1
0.2
0.5
0.6
0.7
0.8
0.9 0.9
1.0
11 12 13 14 15 16 17 18 19 20
3.1x
2.6x
2020PF* 2021E
Growing Dividend Cumulative Buybacks Net Leverage
$
B
n
$
p
e
r
sh
a
re
*2020 estimate and Pro forma for acquisition of the Clariant Masterbatch business
Cash Generation
19
160
240
2011 2019 2020E
~$240MM
Another unique value creation lever at Avient is synergy capture with our recent
acquisition of Clariant Masterbatch.
https://www.avient.com/sites/default/files/2020-11/investing-in-avient_0.pdf
It’s why we win.
11
474
644
925
107
147
212
467
616
858
2014 2018 2020PF
R&D / Technical Marketing Sales
Commercial Resources
+ 36%
+ 37%
+ 32%
+ 44%
+ 44%
+ 39%
Headcount figures are Pro forma for the sale of Designed Structures and Solutions (DSS) and Performance Products and Solutions (PP&S)
segments and the acquisition of the Clariant Masterbatch business. 2020PF data as of October 31, 2020.
I N V E S T M E N T I N C O M M E RC I A L R E S O U RC E S
D R I V E S I N N O V AT I V E P R O D U C T P O R T F O L I O A N D S A L E S G R O W T H
19
160
270
2011 2019 2020E
0.16
0.20
0.26
0.34
0.42
0.50
0.58
0.72
0.79
0.81
0.85
11 12 13 14 15 16 17 18 19 20 21E
2.5x
TARGET NET
LEVERAGE BY 2021
~$1Bn
REPURCHASED
OVER LAST 10 YEARS
~$350MM
PAID OVER LAST 10 YEARS
R E T U R N I N G VA LU E TO S H A R E H O L D E R S
12
Free Cash Flow Dividends Share Repurchases Deleveraging
Strong track record of cash generation put to work in M&A and return to shareholders while modestly levered
0.1 0.1
0.2
0.5
0.6
0.7
0.8
0.9
0.9 1.0
11 12 13 14 15 16 17 18 19 20
2.9x
2.5x
2020PF* 2021E
Growing Dividend Cumulative Buybacks Net Leverage
$
B
n
$
p
e
r
s
h
a
re
*2020 estimate and Pro forma for acquisition of the Clariant Masterbatch business
Cash Generation
~$270MM
Another unique value creation lever at Avient is synergy capture with our recent
acquisition of Clariant Masterbatch.
https://www.avient.com/sites/default/files/2022-08/Schedule 2 a_b_c - SCCs_0.pdf
Clause 11
Redress
a.
The reference to “Clause 12(c)(i)” at Clause 10(b)(i) of Module one, is replaced with
“Clause 11(c)(i)”;
j.
Clause 11
Redress
a.
https://www.avient.com/sites/default/files/resources/POL%2520Sidoti%2520IR%2520Presentation%2520w%2520Non%2520GAAP%25203%252018%25202014.pdf
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
20%
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
A
dj
us
te
d
Ea
rn
in
gs
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
ti
ng
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?