https://www.avient.com/sites/default/files/resources/PolyOne%2520IR%2520Presentation%2520-%2520Goldman%2520Basic%2520Materials%2520Conference.pdf
A reconciliation of each non-GAAP financial measure with the most directly comparable GAAP financial measure is attached to this presentation which is posted on our website at www.polyone.com. 4 POLYONE CORPORATION What We Do Value Formulation Expertise Inputs Base resins Additives Modifiers Pigments Expertise in Polymer Materials, Services and Solutions OEMs Brand Owners Processers Assemblers Driving customer value with specialty products & services Service InVisiOSM Color Services IQ Design Labs LSS Customer First POLYONE CORPORATION 5 2016 Revenue ($3.3 Billion) by Segment At a Glance United States 65% Canada 8% Europe 12% Asia 8% Latin America 7% $0.13 $0.68 $0.82 $1.00 $1.31 $1.80 $1.96 $2.13 2009 2010 2011 2012 2013 2014 2015 2016 2016 Revenue by Geography 2016 Revenue by End Market Appliance 5% Building & Construction 11% Industrial 15% Electrical & Electronics 5% Consumer 11% Healthcare 11% Packaging 12% Textiles 2% Transportation 19% Wire & Cable 9% Adjusted Earnings Per Share Performance Products & Solutions 19% PolyOne Distribution 31% Designed Structures & Solutions 11% Specialty Engineered Materials 16% Color Additives and Inks 23% 6 POLYONE CORPORATION 2% 43% 80% 0% 20% 40% 60% 80% 100% 2005 2010 1Q 2017 % o f O pe ra tin g In co m e* *Operating Income excludes corporate charges and special items **LTM 1Q 2017 Specialty OI $5M $87M $274M** Mix Shift Highlights Specialty Transformation JV’s Performance Products & Solutions Specialty Mix Distribution 7 POLYONE CORPORATION 2006 1Q 2017 2020 “Where we were” “Where we are” Platinum Vision Operating Income % of Sales Color, Additives & Inks 1.7% 16.6% 20%+ Specialty Engineered Materials 1.1% 14.8% 20%+ Performance Products & Solutions 5.5% 12.0% 12 – 14% Distribution 2.6% 6.5% 6.5 – 7.5% Designed Structures & Solutions N/A -3.2% 8 – 10% ROIC* 5.0% 12.6% 15% Proof of Performance & 2020 Platinum Vision *ROIC is defined as TTM adjusted OI after tax divided by the sum of average debt and equity less cash over a 5 quarter period Consistently Deliver Double Digit Annual EPS Growth 8 POLYONE CORPORATION Returning Cash to Shareholders $0.16 $0.20 $0.24 $0.32 $0.40 $0.48 $0.54 $0.10 $0.20 $0.30 $0.40 $0.50 $0.60 2011 2012 2013 2014 2015 2016 2017 Annual Dividend* Since 2011, we have returned nearly $900 million to shareholders $167 million returned through dividends $731 million returned through share repurchases *Initiated in 2011 $0 $150 $300 $450 $600 $750 2011 2012 2013 2014 2015 2016 1Q 2017 Cumulative Share Repurchases (in millions) $731M 9 POLYONE CORPORATION Free Cash Flow and Strong Balance Sheet Fund Investment / Shareholder Return Expanding our sales, marketing, and technical capabilities Investing in operational and LSS initiatives ~60 - 70% of capital expenditures fund growth initiatives Organic Growth Acquisitions Share Repurchases Dividends Targets that expand our: • Specialty offerings • End market presence • Geographic breadth Growth synergies Adjacent material solutions Repurchased 1.0 million shares in Q1 2017 Repurchased 19.8 million shares since early 2013 7.5 million shares are available for repurchase under the current authorization Increased annual dividend by 12.5% to $0.54 per share, representing the sixth consecutive year of dividend growth POLYONE CORPORATION 10 2,883 2,538 2006 2016 Volume (lbs in millions) -12% $103 $200 2006 2016 Commercial, R&D and Marketing Spending ($M) +95% $88 $317 2006 2016 Adjusted Operating Profit ($M) +263% Ours is Not a Cost Cutting Story 11 POLYONE CORPORATION Primary Industries Served 2016 Revenue: $3.3 Billion Appliance 5% Electrical & Electronic 5% Building & Construction 11% Industrial 15% Wire & Cable 9% Healthcare 11% Consumer 11% Packaging 12% Transportation 19% Focus End Markets 12 POLYONE CORPORATION Innovation Drives Earnings Growth *Specialty Platform revenue from products introduced in last five years $20 $54 2006 2016 Research & Development Spending ($ millions) Specialty Platform Vitality Index Progression* 14% 33% 2006 2016 CAI & SEM Gross Margin 12% 42% 2006 2016 Target ≥ 35% Innovation Pipeline Potential POLYONE CORPORATION 13 The New PolyOne: A Specialty Growth Company Why Invest In PolyOne?
sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRw&url=http://www.mullerquaker.com/products/greek100/greek100-peach-and-passion-fruit&ei=-acYVZq7EIqwyASDjYL4CA&bvm=bv.89381419,d.cWc&psig=AFQjCNGNCQY1_dCN2RPLzxtap_Pu0omTXQ&ust=1427765484498432 POLYONE CORPORATION 18 2016 Revenue: $0.7 Billion At a Glance: Performance Products & Solutions 2016 Revenue by Industry Expanding Profits 5.5% 6.9% 3.8% 3.6% 5.5% 4.3% 6.3% 7.2% 7.7% 8.3% 12-14% 12.0% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 1Q 2017 2020 Operating Income % of Sales 11.1% B & C 30% Transportation 18% W & C 16% Industrial 16% Appliance 6% Consumer 5% Packaging 5% E & E 3% Healthcare 1% United States 78% Canada 16% Latin America 4% Asia 2% Key Applications Platinum Vision POLYONE CORPORATION 19 2016 Revenue: $1.1 Billion At a Glance: Distribution Key Suppliers ROIC Expanding Profits 2.6% 3.0% 3.5% 4.0% 4.6% 5.6% 6.4% 5.9% 6.1% 6.6% 6.5-7.5% 6.4% 6.5% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 1Q 2017 2020 Operating Income % of Sales 4% 36% 2006 2016 Transportation 24% Healthcare 22% Industrial 18% Consumer 15% Appliance 6% E & E 5% B & C 4% Packaging 4% W & C 2% Platinum Vision *After-Tax ROIC http://www.polyone.com/Pages/VariationRoot.aspx 20 POLYONE CORPORATION Target End Markets & Application Examples 21 POLYONE CORPORATION Therma-Tech™ & Sheet GEON™ Vinyl Polymer Colorants Therma-Tech™ TPE’s & Film TPE + OnForce™ Gravi-Tech™ Page 21 Film Target End Markets… Healthcare 22 POLYONE CORPORATION Sound & Vibration Management Fuel Handling Systems Interior & Exterior Trim Structural Braces & Brackets Interior Structural Components Lighting Air management Electronics & Cameras Fluid Handling Target End Markets… Automotive Underhood Components Roof Systems 23 POLYONE CORPORATION PreservaPak™ OnColor™ Smart Batch™ VersaFlex™ TPE Cap Liner ColorMatrix™ Amosorb™ Oxygen Scavenger ColorMatrix™ Ultimate™ UV Light Barrier OnCap™ Laser Marking Additives Target End Markets… Packaging 24 POLYONE CORPORATION Source: Outdoor Industry Association TPE Vibration Dampening (SEM/GLS) TPE + OnForce (SEM) OnForce (SEM) Advanced Composites (SEM) TPE Vibration Dampening (SEM/GLS) Thermoplastic Elastomers (SEM) Advanced Composites (SEM) Polymer Colorants (CAI) Sheet (DSS) TPE & Film (SEM + DSS) Advanced Composites (SEM) Polymer Colorants (CAI) Thermatech (SEM) Thermoplastic Elastomers (SEM) TPE + OnForce (SEM) OnForce (SEM) Target End Markets… Consumer POLYONE CORPORATION 25 Luxury Packaging with Gravitech Density Modified Polymers Impart weight, sound and metallic finish to caps and closures for cosmetics and spirits applications Elevate quality and prestige perceptions among high-end consumers Eliminate time and cost associated with secondary operations and assembly POLYONE CORPORATION 26 Eliminate costs by increasing pigment density Enhance color performance without altering form and formulation Increase design capabilities by reducing weight and layer thickness Optimize Color Usage with OnColor Super Concentrates POLYONE CORPORATION 27 Inhibit microbial growth on polymer surface Enhance value or products and devices Highly versatile concentrate with the ability to be incorporated into a wide variety of products Combat Bacteria Formation with WithStand Antimicrobial Technology POLYONE CORPORATION 28 Medical Device Housings with Chemically Resistant Engineered Polymers Durable, long-lasting products stand up to the most aggressive disinfectants Minimize environmental stress cracking and discoloration One of the broadest medically approved polymer and colorant portfolios POLYONE CORPORATION 29 Color & Design Services Greater control of color development and supply chain Work across entire design process from concept to commercialization Inspire creativity in the use of polymer materials, colors and effects Innovative brand differentiation Faster development timelines POLYONE CORPORATION 30 Outdoor Applications Leading provider of high performance specialty materials for the recreational and sports & leisure industry Well positioned across all segments to address market needs Metal to Polymer Conversion Lightweighting Thermal Management Impact Performance Source: Outdoor Industry Association POLYONE CORPORATION 31 Fiber Colorants Solutions for clothing, apparel, footwear, automotive & sporting goods ColorMatrix Fiber Colorant Solutions Proprietary advanced liquid color formulations and equipment enable greater efficiency and productivity Eliminates aqueous dyeing and its associated wastewater treatment Solid Color Concentrates Extrusion-spun fibers colored via solid masterbatch POLYONE CORPORATION 32 High-Barrier Packaging Containers Capability to extrude up to 13 layers Strong oxygen and moisture vapor transmission protection Can be made symmetrical or asymmetrical to meet customized needs of broad variety of applications Barrier protection and superior sensory properties POLYONE CORPORATION 33 Smart Home Devices with Resilience Vinyl Solutions High flame retardancy to meet strict UL standards Greater processing and design flexibility Specialized additives provide long term color stability Diffusive lens materials improve light dispersion 1 Reconciliation of Non-GAAP Financial Measures (Unaudited) (Dollars in millions, except per share data) Senior management uses comparisons of adjusted net income attributable to PolyOne common shareholders, adjusted earnings per share (EPS) attributable to PolyOne common shareholders and operating income before special items to assess performance and allocate resources because senior management believes that these measures are useful in understanding current profitability levels and that current levels may serve as a base for future performance.
Segment Highlights At a Glance: Color, Additives & Inks At a Glance: Specialty Engineered Materials At a Glance: Designed Structures & Solutions At a Glance: Performance Products & Solutions At a Glance: Distribution Target End Markets &�Application Examples Slide Number 21 Slide Number 22 Slide Number 23 Slide Number 24 Luxury Packaging�with Gravitech Density Modified Polymers Optimize Color Usage�with OnColor Super Concentrates Combat Bacteria Formation�with WithStand Antimicrobial Technology Medical Device Housings�with Chemically Resistant Engineered Polymers Color & Design Services Outdoor Applications Fiber Colorants�Solutions for clothing, apparel, footwear, automotive & sporting goods High-Barrier Packaging Containers Smart Home Devices�with Resilience Vinyl Solutions Investor Presentation Non-GAAP Rec - May 2017 r2 Investor Presentation - May 2017
https://www.avient.com/sites/default/files/2022-04/Sustainable Material Answers_ Recycled PET 2022.pdf
Another color-related challenge is the multitude of different color streams of recycled PET, which can limit the uses for recycled colored PET.
Fortunately, there is new technology that can analyze the color of the PET or rPET to be used for a new product and predict the range of colors possible for the end product.
In many instances, these colored bottles may offer an outlet to utilize some of the less transparent rPET feedstock as the colorant can mask the original recyclate color.
https://www.avient.com/sites/default/files/2020-08/bottle-optimization-brochure-8.5x11.pdf
Polymer science, industry-leading expertise with colors and additives, and our in-house color design service make us a powerful collaborator during bottle design, manufacturing, and product marketing.
With our color and design support, your bottle can get noticed quickly.
They provide leading-edge insight in polymer science, packaging design and consumer trends while helping you explore innovative colorants and effects that will set you apart in the market. • Design support • Color consulting • Special effects colorants 3 • ISBM and multi-layer EBM prototyping • Testing • Operations support REDUCE ENVIRONMENTAL FOOTPRINT Meet your objectives for environmental responsibility.
https://www.avient.com/sites/default/files/2025-05/Bergamid Crane Control Housing case study snapshot.pdf
INDUSTRIAL EQUIPMENT MANUFACTURER H O U S I N G F O R C R A N E C O N T R O L • High impact performance, charpy notched > 60kJ/m2 • Part assembly: tight dimensional tolerances ±0.05mm • Critical weld lines are invisible on the final part • Red RAL 3020 as branding color • Color stability during injection • Offered a nylon (PA66) formulation with high impact resistance and dimensional stability • Supported injection trials with field technical services • Developed a ready-to-use solution in RAL 3020 with excellent color stability, helping to reduce scrap rate from >50% to 4% • Enabled timely production through fast new developments and samplings • Offered additional color options Bergamid Polyamide Formulations KEY REQUIREMENTS WHY AVIENT?
HIGH-IMPACT PA66 + COLOR MATCHING LEARN MORE Copyright © 2025, Avient Corporation.
https://www.avient.com/sites/default/files/2025-01/OnForce LFT-Truck Foot Pedal-Case study Snapshot.pdf
Heavy Truck manufacturer HEAVY TRUCK MANUFACTURER E X T E R I O R S T E P P E D A L • Offer pre-color support to achieve an approved silver color formulation • Provide a metallic look with good weather resistance and wear performance for the exterior part • Shorten development time to gain durability approval • Offered color options that met desired metal color and texture, which was different from an ordinary plastic feel • Achieved excellent wear performance and weather resistance, qualifying it to replace metal • Provided support in achieving durability approval, resulting in significant time and cost savings OnForce Long Glass Fiber Reinforced Polypropylene Composites KEY REQUIREMENTS WHY AVIENT?
AVIENT SOLUTION PRE-COLOR + METAL REPLACEMENT LEARN MORE Copyright © 2025, Avient Corporation.
https://www.avient.com/sites/default/files/2021-08/air-fryer-window-one-page-case-study.pdf
COOKWARE MANUFACTURER A I R F R Y E R W I N D O W • Clear, FDA food-contact compliant material that can be run through a dishwasher • Able to withstand long-term steam and heat • Allows injection molding of a complex shape with aesthetics that convey cleanliness and quality • Added concentrate to a natural PES material allowing it to retain clarity and aesthetics in an FDA-compliant solution • Enabled material to withstand sterilization and maintain continuous heat resistance • Provided a more pleasing appearance that could command a greater price point due to perception of higher quality Colorant Chromatics™ PESU Concentrate KEY REQUIREMENTS WHY AVIENT?
Neat PESU Modified PESU https://www.avient.com/products/polymer-colorants/high-temperature-color-concentrates/colorant-chromatics-pes/psu/ppsu-color-concentrates-0
https://www.avient.com/sites/default/files/2024-02/EMEA Automotive Case Study Paint Replacement Construction Vehicle _1_.pdf
LEARN MORE TIER 2 MOLDER P A N E L F O R C O N S T R U C T I O N V E H I C L E S • Transition from painting extruded sheet (3-5mm) to molded-in color for two different thermoplastics • UV stability • Good appearance for visible part • Expedited approved solution that delivered the appearance and performance of a painted part • Developed formulations for two materials- PMMA and ABS • Offered aluminum appearance and required UV stability SmartBatch™ FX for Paint Replacement KEY REQUIREMENTS WHY AVIENT?
AVIENT SOLUTION PAINT REPLACEMENT Copyright © 2024, Avient Corporation https://www.avient.com/products/polymer-colorants/color-additive-combination-masterbatches/smartbatch-fx-paint-replacement-0 https://www.avient.com/products/polymer-colorants/color-additive-combination-masterbatches/smartbatch-fx-paint-replacement-0 Tier 2 molder
https://www.avient.com/sites/default/files/2025-02/Mevopur White Formulation for PCR Well Plates - Case Study_0.pdf
LABORATORY EQUIPMENT MANUFACTURER P C R W E L L P L A T E S • Very high level of TiO2 to prevent “cross-talk” between the wells during the qPCR fluorescence testing procedure • Minimized background phosphorescence caused by agglomeration of TiO2 and/or oxidized (stressed) polystyrene • Preservation of polystyrene grade properties • Change control of formulation and manufacturing process • Robust product quality from batch to batch • Developed optimally dispersed, ready-to-use white formulation that maintains adequate signal transmission, as well as minimizing “cross-talk” and background phosphorescence • Optimized the use of general purpose polystyrene (GPPS) for a good balance between melt flow and other physical properties, such as stiffness • Provided comprehensive change control of raw materials and formulation, with a robust manufacturing process and quality control under a third party ISO 13485:2016 certified QMS Mevopur Healthcare Colorants and Formulations – pre-colored solution WHY AVIENT?
All Rights Reserved. https://www.avient.com/products/polymer-colorants/healthcare-colorants/mevopur-healthcare-colorants-and-formulations Slide 1: laboratory equipment manufacturer
https://www.avient.com/sites/default/files/2023-09/ColorWorks Body Wash Case_Study_Snapshot.pdf
LEADING CONSUMER GOODS COMPANY B O D Y W A S H C A P S • Lend guidance in using color trending intelligence to customize 20+ colors for product line rebranding • Provide fast turnaround on new designs to improve speed to market • Navigate development efforts with external design firms and label manufacturers to ensure visual consistency and brand identity • Receive technical support before and during processing • Delivered over 20 approved custom colors utilizing market and trend expertise • Employed both virtual and onsite co-collaboration sessions for quick turnaround on crucial color decisions • Worked with all necessary parties, including design firms, manufacturers, and internal engineering team to protect brand integrity • Provided technical support and expertise to converter ColorWorks™ Design & Technology Centers – West Chicago KEY REQUIREMENTS WHY AVIENT?
AVIENT SOLUTION COLOR MATCHING + SPEED TO MARKET LEARN MORE Copyright © 2023, Avient Corporation.
https://www.avient.com/sites/default/files/2024-06/Smartbatch FX for Paint Replacement.pdf
Smartbatch™ FX for Paint Replacement The replacement of paint on plastic parts with molded-in color (MIC) has several benefits.
With MIC the incorporation of color with a color concentrate during the manufacturing of plastic components reduces the number of processing steps and complexity.
Since the color is incorporated into the plastic matrix, it also prevents color peel-off and flaking.