https://www.avient.com/sites/default/files/2021-04/avient-sustain-2019-210419-interactive.pdf
Sustainability Report | 2019 15
https://responsiblecare.americanchemistry.com/Management-System-and-Certification/
https://www.avient.com/sites/default/files/2020-10/avient-responsible-care-policy-2020.pdf
https://www.avient.com/company/sustainability/planet/responsible-care
https://www.avient.com/company/sustainability/planet/responsible-care
https://www.avient.com/sites/default/files/2020-10/avient-health-safety-policy-august-2020.pdf
https://www.avient.com/sites/default/files/2020-10/avient-product-stewardship-policy-august-2020.pdf
COVID-19
Protecting our People as an Essential Business
As a global organization, Avient recognized the early risks associated with the COVID-19
pandemic.
Sustainability Report | 2019 62
http://endplasticwaste.org
https://www.opcleansweep.org
https://www.newplasticseconomy.org/projects/plastics-pact
https://www.petcore-europe.org
https://plasticsrecycling.org
P L A N E T
Sustainability Report | 2019 63Sustainability Report | 2019 63
Protecting Our Planet
Avient is fully committed to protecting the environment by addressing climate change,
conserving natural resources and preventing pollution.
Sustainability Report | 2019 65
https://www.avient.com/investors/governance/board-directors
https://www.fsb-tcfd.org
https://www.cdp.net/en/
Water Intensity and
Biodiversity
While water management is a
critical and highly-influential topic
in some industrial sectors, Avient’s
operations are not water intensive.
https://www.avient.com/sites/default/files/resources/POL%2520IR%2520Presentation%2520-%2520Investor%2520Day%25205-18-15.pdf
Garratt
Senior Vice President, President of
Performance Products & Solutions
John Midea
Senior Vice President,
Global Operations & Process
Improvement
Mark Crist
Senior Vice President, President of
PolyOne Distribution
Cathy Dodd
Vice President, Marketing
Chris Murphy
Vice President, Research & Development,
Chief Innovation Officer
Kurt Schuering
Vice President, Global Key Account
Management
The Leaders Behind the Team
PolyOne Corporation Page 8
Commodity to Specialty Transformation
• Volume driven,
commodity producer
• Heavily tied to
cyclical end markets
• Performance largely
dependent on non-
controlling joint
ventures
2000-2005 2006 - 2009 2010 – 2014 2015 and beyond
• 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
• Substantial EPS growth
from $0.13 to all-time
high of $1.80
• Shift to faster growing,
high margin, less
cyclical end markets
• Key acquisitions propel
current and future
growth, as well as
margin expansion
• Specialty mix expands
to 65% of Operating
Income – strongest mix
of earnings in history
• Accelerating growth
• Deliver consistent
double digit annual
EPS growth
• Maintain >35% vitality
index
• Pursue strategic
acquisitions that
expand specialty
offerings and
geographic breadth
• Invest and grow
current and next
generation talent
PolyOne Corporation Page 9
2006 2014
“Where we were” “Where we are”
Operating Income %
Specialty:
Global Color, Additives & Inks 1.7% 14.7%
Global Specialty Engineered Materials 1.1% 12.1%
Designed Structures & Solutions 1.4%(2012) 7.3%
Performance Products & Solutions 5.5% 7.7%
Distribution 2.6% 6.1%
Specialty Platform % of
Operating Income 6.0% 65%
ROIC 5.0% 11.3%
Adjusted EPS Growth N/A 37%
Proof of Performance
PolyOne Corporation Page 10
2%
34% 43% 62% 65%
0%
20%
40%
60%
80%
100%
2005 2008 2010 2013 2014
%
o
f O
pe
ra
tin
g
In
co
m
e*
JV's Performance Products & Solutions Distribution Specialty
Old
PolyOne
Mix Shift Highlights Specialty Transformation
New
PolyOne Transformation
Specialty OI $5M $46M $87M $195M $242M
*Operating Income excludes corporate charges and special items
PolyOne Corporation Page 11
2014 2015 Target
“Where we are” (Est. in 2012)
Operating Income %
Specialty:
Global Color, Additives & Inks 14.7% 12 – 16%
Global Specialty Engineered Materials 12.1% 12 – 16%
Designed Structures & Solutions 7.3% 8 – 10%
Performance Products & Solutions 7.7% 9 – 12%
Distribution 6.1% 6 – 7.5%
Specialty Platform % of
Operating Income 65% 65 – 75%
ROIC 11.3% 15%
Adjusted EPS Growth 37% Double Digit
Expansion
Proof of Performance
PolyOne Corporation Page 12
• Sold non-core resin assets – EPS dilutive
• Completed acquisition of Spartech
• Housing starts below 1.25 million units
Single family units 30% below expectations
• Longstanding weakness in Europe, and
decline in Euro
Successfully Navigating Change Since 2012
PolyOne Corporation Page 13
-100%
200%
300%
400%
500%
600%
POL S&P 500
Strategy and Execution Drive Results
$0.12
$0.27
$0.21
$0.13
$0.68
$0.82
$1.00
$1.31
$1.80
'06 '07 '08 '09 '10 '11 '12 '13 '14
‘06-‘14 Adjusted EPS CAGR = 40%
Adjusted EPS Share Price vs.
Richardson
Executive Vice President and
Chief Financial Officer
PolyOne Corporation Page 71
Who We Are Growing With
PolyOne Corporation Page 72
2014 Awards and Recognitions
PolyOne Corporation Page 73
2014 Financial Highlights
$131
$151
$191
$262
$320
Adjusted Operating
Income
$0.68
$0.82
$1.00
$1.31
$1.80
Adjusted EPS
($ millions)
PolyOne Corporation Page 74
2006 2015 Target 2014
“Where we were” (Est. in 2012) “Where we are”
Operating Income %
Specialty:
Global Color, Additives & Inks 1.7% 12 – 16% 14.7%
Global Specialty Engineered Materials 1.1% 12 – 16% 12.1%
Designed Structures & Solutions 1.4%(2012) 8 – 10% 7.3%
Performance Products & Solutions 5.5% 9 – 12% 7.7%
Distribution 2.6% 6 – 7.5% 6.1%
Specialty Platform % of
Operating Income 6.0% 65 – 75% 65%
ROIC 5.0% 15% 11.3%
Adjusted EPS Growth N/A Double Digit
Expansion 37%
Proof of Performance & 2015 Targets
PolyOne Corporation Page 75
2,883
2,565
2006 2014
Volume
(lbs in millions)
-11%
$219
$451
2006 2014
Commercial Investment
($M)
+105%
$303
$770
2006 2014
Adjusted
Gross Margin ($M)
+154%
*Total SG&A
Ours is Not a Cost Cutting Story
Investment in
Commercial Resources…
Drives Mix Improvement AND
Gross Profit $$ Expansion
PolyOne Corporation Page 76
Financial Strength
$76
$222
$154
$105
$176 $179
$230
2008 2009 2010 2011 2012 2013 2014
Adjusted Cash Flow from
Operations
($ in millions)
18.9%
11.7%
9.6% 9.6%
10.8% 10.9%
9.9%
2008 2009 2010 2011 2012 2013 2014
Working Capital %
of Sales
PolyOne Corporation Page 77
Financial Flexibility
$49
$317
$600
2015 2020 2023
Debt Maturities
As of December 31, 2014
($ millions)
Coupon: 7.500% 7.375% 5.250%
2.6x
2.0x
1.8x
1.9x
2011 2012 2013 2014
Net Debt / Adjusted EBITDA
PolyOne Corporation Page 78
Shares
Purchased
(M)
2012 1.2
2013 5.0
2014 6.3
Cash to Generate Value
Expand marketing,
commercial and technical
capabilities
Leverage supplier
partnerships for
innovation
Organic
Growth
Acquisitions
Share
Repurchases
Dividends
$0.16
$0.20 $0.24
$0.32
$0.40
$0.10
$0.20
$0.30
$0.40
$0.50
2011 2012 2013 2014 2015
Annual Dividend Targets that expand:
• Specialty offerings
• End market
presence
• Geographic
breadth
PolyOne Corporation Page 79
PolyOne Corporation Page 80
PolyOne Corporation Page 81
2020 Platinum Vision
Robert M.
Platform operating income mix
percentage 2005* 2006* 2007* 2008* 2009* 2010* 2011 2012 2013 2014
Global Color, Additives and Inks $ 4.3 $ 8.9 $ 25.7 $ 28.1 $ 25.2 $ 37.7 $ 50.2 $ 75.3 $104.0 $124.9
Global Specialty Engineered
Materials 0.4 3.9 4.9 17.6 20.6 49.7 45.9 47.0 57.2 72.4
Designed Structures and
Solutions - - - - - - - - 33.4 45.1
Specialty Platform $ 4.7 $ 12.8 $ 30.6 $ 45.7 $ 45.8 $ 87.4 $ 96.1 $122.3 $194.6 $242.4
Performance Products and
Solutions 75.7 64.2 65.8 31.3 33.1 54.0 27.7 38.8 56.0 63.1
Distribution 19.5 19.2 22.1 28.1 24.8 42.0 56.0 66.0 63.3 68.2
Joint ventures 91.9 102.9 34.8 28.6 25.5 18.9 5.0 - - -
Corporate and eliminations (51.5) 34.5 (73.3) (425.1) 7.9 (27.7) 18.2 (89.6) (82.4) (218.6)
Operating income (loss) GAAP $140.3 $ 233.6 $ 80.0 $(291.4) $137.1 $174.6 $203.0 $137.5 $231.5 $155.1
Less: Corporate operating
expense 51.5 (34.5) 73.3 425.1 (7.9) 27.7 (18.2) 89.6 82.4 218.6
Operating income excluding
Corporate $191.8 $199.1 $153.3 $133.7 $129.2 $202.3 $184.8 $227.1 $313.9 $373.7
Specialty platform operating mix
percentage 2% 6% 20% 34% 35% 43% 52% 54% 62% 65%
* Historical results have not been restated for the Resin business divestiture or the related resegmentation.
https://www.avient.com/sites/default/files/2020-10/2019-avient-sustainability-report.pdf
OF ASSOCIATES
completed
web-based
cybersecurity
training in
Sustainability Report | 2019 21
https://responsiblecare.americanchemistry.com/Responsible-Care-Program-Elements/Responsible-Care-Security-Code/PDF-Responsible-Care-Security-Code.pdf
https://gdpr-info.eu
https://gdpr-info.eu
https://www.cbp.gov/border-security/ports-entry/cargo-security/ctpat
https://www.cbp.gov/border-security/ports-entry/cargo-security/ctpat
https://www.cbsa-asfc.gc.ca/security-securite/pip-pep/menu-eng.html
https://www.cbsa-asfc.gc.ca/security-securite/pip-pep/menu-eng.html
Training and development of our workforce is crucial for Avient, as it influences our
great place to work culture while enabling our teams to accomplish business goals.
Sustainability Report | 2019 62
http://endplasticwaste.org
https://www.opcleansweep.org
https://www.newplasticseconomy.org/news/uk-plastics-pact-launched-by-the-ellen-macarthur-foundation-and-wrap
https://www.petcore-europe.org
https://plasticsrecycling.org
P L A N E T
Sustainability Report | 2019 63Sustainability Report | 2019 63
Protecting Our Planet
Avient is fully committed to protecting the environment by addressing climate change,
conserving natural resources and preventing pollution.
Sustainability Report | 2019 65
https://www.avient.com/investors/governance/board-directors
https://www.fsb-tcfd.org
https://www.cdp.net/en/
Water Intensity and
Biodiversity
While water management is a
critical and highly-influential topic
in some industrial sectors, Avient’s
operations are not water intensive.
https://www.avient.com/sites/default/files/2021-11/avient-design-ergonomic-design-guide.pdf
Figure 12: Duration of use
BMC Musculoskeletal Disorders 2021 22:186.
https://doi.org/10.1186/s12891-021-04054-6
Figure 11: Duration of use
Journal of Rehabilitation Medicine, 47 2 (2015): 154-60.
https://doi.org/10.2340/16501977-1897
https://doi.org/10.1186/s12891-021-04054-6
https://doi.org/10.2340/16501977-1897
https://www.semanticscholar.org/paper/Hand-grip-fatigability-in-persons-with-multiple-to-Severijns-Lamers/834a2a4e4665c6e9f3d7513507807314d0214828
Ergonomic Grip Design Guide 11
Pre-production validation of the conceptual design
is paramount in reducing the overall risk of the
program.
PART MODEL (GEOMETRY AND MESH)
MATERIAL MODEL
Steel hammer shaft Polymer hammer shaft Wood hammer shaft
Figure 19: Material data Inputs
* http://www.scielo.org.mx/pdf/remcf/v9n48/2007-1132-remcf-9-48-181-en.pdf
** https://www.westsystem.com/products/compare-epoxy-physical-properties/
http://www.scielo.org.mx/pdf/remcf/v9n48/2007-1132-remcf-9-48-181-en.pdf
https://www.westsystem.com/products/compare-epoxy-physical-properties/
Ergonomic Grip Design Guide 19
After setting up the part and material models,
the team determined applicable physics for the
study.
Figure 27: Mold flow fill analysis
https://www.avient.com/products/thermoplastic-elastomers/tpe-knowledge-center
HOW AVIENT CAN HELP
We can help you improve the ergonomic properties
of your handheld device to achieve greater
usability, comfort, safety and satisfaction.
https://www.avient.com/resources/safety-data-sheets?page=3853
Geon(TM) DB5042 Red Prop 65
https://www.avient.com/resources/safety-data-sheets?page=2475
9261-65 DARK BRONZE FURNITURE PLASTISOL
https://www.avient.com/resources/safety-data-sheets?page=5294
Geon(TM) MB2802 Dk Flesh 65 Non-Phthalate
https://www.avient.com/resources/safety-data-sheets?page=3171
MASTERMIX ZINC OXIDE 5945 PASTE-65
https://www.avient.com/resources/safety-data-sheets?page=2788
Geon(TM) DB5042 Black Prop 65
https://www.avient.com/resources/safety-data-sheets?page=4325
65-WT-97 WT PET MINI BEADS MASTERBATCH