https://www.avient.com/sites/default/files/2022-07/Additives and Colorants for PP-R PP-RCT Pipes - Application Snapshot.pdf
P I P E & F I T T I N G S
M A N U FAC T U R E R
W A T E R / F L U I D D I S T R I B U T I O N
• Suitable for PP-R and PP-RCT
• Specific color targets for external and inner layers
• Improved resistance to chlorine for the inner layer
• Food contact approval for the inner layer
• Batch-to-batch consistency
• Matched color references in concentrates
suitable for PP-R and PP-RCT
• Developed custom colorant/antioxidant
combination masterbatch with high
resistance to chlorine and food contact
approval for the inner layer
• Ensured batch-to-batch consistency for
sustained performance
Color concentrates and color/antioxidant
combination masterbatch
KEY REQUIREMENTS
WHY AVIENT?
https://www.avient.com/sites/default/files/2022-10/Omnicolor Case Study Plastic Molder.pdf
AVIENT SOLUTION
MULTIPLE RESIN USE + LOW LDR
LEARN MORE© 2022, Avient Corporation, All Rights Reserved
https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/omnicolor-multipurpose-masterbatches
https://www.avient.com/sites/default/files/2021-07/mevopur-needle-hub-1-page-case-study.pdf
NEEDLE HUB
MANUFACTURER
N E E D L E H U B C O L O R S
• RAL and Pantone® colors available in palette to align with
ISO 6009 color standard
• Opaque and transparent polypropylene selections
available in both masterbatch and ready-to-use precolors
• Raw materials pre-tested to ISO 10993 and USP Class VI
medical device guidelines
• Certified formulations available globally
• Provided RAL and Pantone colors as
required
• Developed custom polypropylene
formulations to meet specific opacities
• Offered pre-tested raw materials and
produced in an ISO 13485 certified site,
minimizing risk across the value chain
• Provided global formulations transferrable
from our three ISO 13485 certified facilities
Mevopur™ Healthcare Colors
KEY REQUIREMENTS
WHY AVIENT?
AVIENT SOLUTION
COLOR + CERTIFICATION
LEARN MORE
© 2021, Avient Corporation, All Rights Reserved
https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/mevopur-custom-colors-and-formulations
https://www.avient.com/sites/default/files/2022-05/Application Snapshot NIR _ REJOIN Final.pdf
Application Snapshot NIR _ REJOIN Final
COSMETICS
BRAND
P E R S O N A L C A R E & C O S M E T I C S
P A C K A G I N G
• Excellent color performance in PCR resin
• Combinable with functional additives
• Parts manufactured with 100% PCR
• Worked with customer to create circular
packaging options with glamorous and striking
special effects
• Provided a solution that enabled added shine,
ensuring the customer achieved beautiful
packaging without compromising NIR detectability
• Ensured the solution was available for many
cosmetics packaging types, including bottles,
make-up and caps
OnColor™ NIR Black & Dark Sortable
Colorants & Rejoin™ PCR Masterbatch for
Polyolefins
KEY REQUIREMENTS
WHY AVIENT?
https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/oncolor-ir-sortable-black-recyclable-packaging
https://www.avient.com/sites/default/files/2022-09/Omnicolor Case Study Cable Reel.pdf
AVIENT SOLUTION
COST EFFECTIVENESS + LEAD TIME
LEARN MORE
© 2022, Avient Corporation, All Rights Reserved
https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/omnicolor-multipurpose-masterbatches
https://www.avient.com/sites/default/files/2023-05/Cesa Stat Product Selector Guide.pdf
Permanent
antistatic additives, which function regardless
of the relative humidity by creating an internal
conductive network, are also available as custom
masterbatches.
Cesa Stat Antistatic Additives - Standard Portfolio
POLYMER FAMILY MATERIAL PRODUCT NAME DOSAGE
Polyolefin PEATEC Cesa Stat PEATEC 1.0–4.0%
Polypropylene PPA0820051 Cesa Stat PPA0820051 1.0–4.0%
Polyamide ABAN698400 Cesa Stat 99027 5.0–15.0%
Polyester NBAN698440 Cesa Stat 3526 2.5–10.0%
Polycarbonate NCA0820011 Cesa Stat NCA0820011 5.0–8.0%
Styrenic SLAN698401 Cesa Stat 3301 3.0–7.5%
TPU RUA0820024 Cesa Stat RUA0820024 2.0–4.0%
Polyester FPA1660283 Hiformer™ liquid additives for polyolefins 0.10–0.50%
Cesa Stat Antistatic Additives can be used in combination with other Cesa masterbatches, and formulations can be customized for most applications.
https://www.avient.com/sites/default/files/2021-12/MagIQ Nonwoven Electret for HEPA Application Bulletin.pdf
This requires the addition of a specific additive
to the masterbatch prior to the meltblown stage,
followed by a process known as hydro electret
charging.
Charging only
works when the correct masterbatch is utilized
which, together with the fiber denier, gram weight
and number of layers, ensures that the middle layer
of protective masks can effectively trap smaller
particles.
https://www.avient.com/sites/default/files/2023-01/CFA Product Selection Guide.pdf
Available in masterbatch
pellets, powder form or liquid, they utilize
endothermic, exothermic or an endothermic/
exothermic blend of chemistries to fit the required
applications.
Product
Name
Material/
Product
Code
Type Initiation Temp, C
Optimum
Gas Yield
Temp, C
Gas Yield
Range, cc/g
Uses/
Applications Usage Resins
POWDER
Hydrocerol
BIH
PEAUFF Endo 140 160 140–150
• Weight reduction
• Sink mark removal
• Warpage reduction
EVA, polyethylene,
PE copolymers,
TPEs/TPOs, PVC
Hydrocerol
Compound
EMASAD Endo 140 200 135–145
• Weight reduction
• Sink mark removal
• Warpage reduction
Polyethylene,
polypropylene,
TPEs/TPOs, styrenes,
acrylics, TPUs,
POM, PVC
Hydrocerol
HK
EMA0766025 Endo 200 210 135–145
• Weight reduction
• Sink mark removal
• Warpage reduction
Polypropylene,
styrenes, acrylics,
polyamides
Hydrocerol
1480
EMA0766027 Endo-Exo 140 180 240–259
• Weight reduction
• Sink mark removal
• Warpage reduction
EVA, polyethylenes,
PE copolymers,
TPEs/TPOs, styrenes,
acrylics, PVC
Product
Name
Material/
Product
Code
Type Initiation Temp, C
Optimum
Gas Yield
Temp, C
Gas Yield
Range, cc/g
Uses/
Applications Usage Resins
MASTERBATCH
Hydrocerol
862
PLASAD Endo 140 160 10–20
• Sink mark removal
• Warpage reduction
EVA, polyethylene,
PE compolymers,
TPOs/TPEs
Hydrocerol
BIH-40-E
PLASAF Endo 140 160 55–65
• Weight reduction
• Sink mark removal
• Warpage reduction
EVA, polyethylene,
PE compolymers,
TPOs/TPEs
Hydrocerol
1004
PEAUFQ Endo 140 160 80–90 • Weight reduction
EVA, polyethylene,
PE compolymers,
TPOs/TPEs
Hydrocerol
CF-5-E
PEASCF Endo 140 200 5–10
• Sink mark removal
• Warpage reduction
Polyethylene,
polypropylene,
TPEs/TPOs, styrenes,
acrylics, TPUs, POM
Hydrocerol
1602
PRASAD Endo 140 200 50–60
• Weight reduction
• Sink mark removal
• Warpage reduction
Polyethylene,
polypropylene,
TPEs/TPOs, styrenes,
acrylics, TPUs, POM
Hydrocerol
PEA0820021
PEA0820021 Endo 140 200 25–35
• Weight reduction
• Sink mark removal
• Warpage reduction
Styrenes
Hydrocerol
PEA08200095
PEA0820095 Endo-Exo 140 180 100–120
• Weight reduction
• Sink mark removal
• Warpage reduction
PVC
Hydrocerol
ITP-820
PRAN698588 Endo 200 210 5–10
• Sink mark removal
• Warpage reduction
EVA, polyethylene,
PE copolymers,
TPEs/TPOs, PVC
Hydrocerol
HK-40-E
PLASAH Endo 200 210 55–65
• Weight reduction
• Sink mark removal
• Warpage reduction
Polyethylene,
polypropylene,
TPEs/TPOs, styrenes,
acrylics, TPUs,
POM, PVC
Hydrocerol
CT-3205-B
OMA0698633 Endo 200 210 50–60
• Weight reduction
• Sink mark removal
• Warpage reduction
PLA
Hydrocerol
1135
PEAN698616 Exo 170 190 20–30
• Sink mark removal
• Warpage reduction
Polyethylene,
polypropylene,
TPEs/TPOs, styrenes,
acrylics, TPUs, POM
Hydrocerol
8418M
PHA0698418 Exo 170 190 50–60
• Weight reduction
• Sink mark removal
• Warpage reduction
Polyethylene,
polypropylene,
TPEs/TPOs, styrenes,
acrylics, TPUs, POM
Product
Name
Material/
Product
Code
Type Initiation Temp, C
Optimum
Gas Yield
Temp, C
Gas Yield
Range, cc/g
Uses/
Applications Usage Resins
MASTERBATCH
Hydrocerol
141
PEASCH Exo 200 210 10–20
• Sink mark removal
• Warpage reduction
Polypropylene,
styrenes, acrylics,
polyamides
Hydrocerol
1191
PRAN698433 Exo 200 210 55–65
• Weight reduction
• Sink mark removal
• Warpage reduction
Polypropylene,
styrenes, acrylics,
polyamides
Hydrocerol
NBA0820012
NBA0820012 Exo 240 260 25–35
• Weight reduction
• Sink mark removal
• Warpage reduction
Polyesters,
high-temperature
resins
Hydrocerol
XH-901
SAASCC Exo 240 260 30–40
• Weight reduction
• Sink mark removal
• Warpage reduction
Polycarbonate blends,
polycarbonate,
high-temperature
resins
Hydrocerol
1376-4
PRAN698541 Endo-Exo 200 210 90–100
• Weight reduction
• Sink mark removal
• Warpage reduction
Polypropylene,
styrenes, acrylics,
polyamides, PVC
LIQUID
Excelite
FA-37
CC10212522 Endo-Exo 120 140 65–75
• Weight reduction/
WPC
Polyethylene
Excelite
PF-1
CC01053625 Endo-Exo 120 140 55–65 • Weight reduction Vinyl
Excelite
FA-185
CC10303252 Endo 140 200 75–85
• Weight reduction
• Direct gas assist
Polyolefin
Excelite
Foam PPRO
CC10250288 Endo 160 200 50–60
• Weight reduction
• Warpage reduction
Polypropylene
Excelite
FA-77
CC10232527 Endo-Exo 120 140 85–95
• Weight reduction/
WPC
Polyethylene
Excelite
FA-108
CC10290626 Endo 180 200 55–65
• Weight reduction
• Sink mark removal
Polyolefin
Excelite
FA-112
CC10313065 Endo 140 200 50-60
• Weight reduction
• Sink mark removal
Polyolefin
1.844.4AVIENT
www.avient.com
Copyright © 2022, Avient Corporation.
https://www.avient.com/sites/default/files/2021-04/avnt-fourth-quarter-2020-news-release.pdf
This represents a 45% increase over the prior
year quarter, pro forma for the Clariant Masterbatch business.”
The Company highlighted that integration of the Clariant Masterbatch business is continuing to
exceed expectations.
Pro Forma
The Company acquired the Clariant Masterbatch business (“CMB”) on July 1, 2020 (the
“Acquisition Date”).
https://www.avient.com/sites/default/files/2020-03/PolyOne_Website-12.19.pdf
Factors that could cause actual results to differ materially from those implied by these forward-looking statements include, but are not limited to:
• The time required to consummate the proposed acquisitions described in this presentation;
• The satisfaction or waiver of conditions in the purchase agreements for the proposed acquisitions;
• Any material adverse changes in the business of Clariant’s Color and Additive Masterbatch business;
• The ability to obtain required regulatory or other third-party approvals and consents and otherwise consummate the proposed acquisitions;
• Our ability to achieve the strategic and other objectives relating to the proposed acquisitions, including any expected synergies;
• Our ability to successfully integrate Clariant’s Color and Additive Masterbatch business and achieve the expected results of the acquisitions,
including, without limitation, the acquisitions being accretive;
• Disruptions, uncertainty or volatility in the credit markets that could adversely impact the availability of credit already arranged and the
availability and cost of credit in the future;
• The effect on foreign operations of currency fluctuations, tariffs and other political, economic and regulatory risks;
• Changes in polymer consumption growth rates and laws and regulations regarding plastics in jurisdictions where we conduct business;
• Changes in global industry capacity or in the rate at which anticipated changes in industry capacity come online;
• Fluctuations in raw material prices, quality and supply, and in energy prices and supply;
• Production outages or material costs associated with scheduled or unscheduled maintenance programs;
• Unanticipated developments that could occur with respect to contingencies such as litigation and environmental matters;
• An inability to raise or sustain prices for products or services;
• An ability to achieve or delays in achieving or achievement of less than the anticipated financial benefit from initiatives related to acquisition and
integration, working capital reductions, costs reductions and employee productivity goals;
• Information systems failures and cyberattacks; and
• Other factors affecting our business beyond our control, including, without limitation, changes in the general economy, changes in interest rates
and changes in the rate of inflation.
S A F E T Y F I R S T
PolyOne Corporation 7
Injuries per 100 Workers
Spartech
Acquisition
1.3
1.1 1.1
0.85
0.65
0.57
0.54
0.97
0.84
0.74 0.74
0.69
0.51
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
G R E A T P L A C E T O W O R K
PolyOne Corporation 8
* Pro Forma for sale of DSS
Operating Income
% of Sales
2006 Q3 YTD
2019
Color, Additives &
Inks
1.7% 15.5%
Specialty Engineered
Materials
1.1% 11.8%
Distribution 2.6% 6.3%
2009 2010 2011 2012 2013 2014 2015 2016* 2017* 2018
$2.43
P R O O F O F P E R F O R M A N C E
C O N S E C U T I V E
Y E A R S
PolyOne Corporation 9
1 0
$0.13
$0.68
$0.82
$1.00
$1.31
$1.80
$1.96
$2.06
$2.21
A D J U S T E D E P S E X P A N S I O N
2018 2019E
$1.65
$1.51
Pro Forma for sale
of PP&S
T R A N S F O R M A T I O N H E A D L I N E S
PolyOne Corporation 10
C O M M O D I T Y T O S P E C I A L T Y T R A N S F O R M A T I O N
PolyOne Corporation 11
• Volume driven,
commodity
production
• Heavily tied to cyclical
end markets
• Performance largely
dependent on non-
controlling joint
ventures
• Shift to value-based
selling & an innovative
culture
• New leadership team
appointed
• Implementation of
four pillar strategy
• Investment in
commercial training
and innovation
• Faster growing, high
margin focus
• Accelerated growth
with world class
vitality index
• Significant
commercial resource
additions
• Expanded margins
with specialty focus
• Acquired strategic,
bolt-on companies to
expand technology
offerings and improve
geographic breadth
Volume Value Transformation The Future
2006 - 2013 2013 – 20192000-2005 2006 - 2013
• Landmark portfolio
transformation
creates specialty
growth company
• Sustainability / mega-
trends drive above
market growth
2020 and
Beyond
F I T W I T H F O U R P I L L A R S T R A T E G Y
PolyOne Corporation 12
Specialization
• Innovation-led organization with
heavy emphasis on R&D
• World-class expertise in color
formulation
• Strong presence in specialty end
markets including Consumer,
Packaging and Healthcare
Globalization
• Diverse geographic portfolio with
an established presence in every
major region
• Expands PolyOne’s ability to serve
customers in key growth areas
including India, China and
Southeast Asia
Operational
Excellence
• Extensive manufacturing footprint
with 46 facilities
• Organizational focus on optimizing
supply chain to better serve
customers
• Color design expertise
Commercial
Excellence
• Value-focused salesforce with vast
experience marketing and
commercializing specialty
technologies
• Diverse customer portfolio with
established OEM’s
People
Experienced and
talented
associates with a
winning mentality
L E V E R A G I N G G L O B A L M E G A T R E N D S
13
Facilitate
alternative
energy
solutions
Light-
weighting
Reduce
packaging
materials
Improve
recyclability
Reduce
spread of
infection
T R A N S P O R T A T I O N P A C K A G I N G H E A L T H C A R EC O N S U M E R
PolyOne Corporation
E N D M A R K E T T R A N S F O R M A T I O N
PolyOne Corporation 14
Building & Construction
5%
2006 2019E PF*
4%
12%
10%
18%
8%
20%
2006 2019E PF*
Healthcare
Consumer
Packaging
50%
22%
High Growth End Markets
Percentage of Total Revenue
38%
* 2019E Pro Forma for PP&S Divestiture and Clariant Color & Additive Masterbatch business
E N D M A R K E T T R A N S F O R M A T I O N
PolyOne Corporation 15
Packaging
8%
Building &
Construction
38%
Wire &
Cable
11%
Industrial
10%
Electrical &
Electronic
7%
2006 2019E PF*
Healthcare
4%
Transportation
12%
Consumer
18%
Building &
Construction
5%
Wire &
Cable
6%
Industrial
12%
Electrical &
Electronic
5%
Appliance
3%
Textiles
6%
Transportation
13%
Healthcare
12%
Packaging
20%
Consumer
10%
* 2019E Pro Forma for PP&S Divestiture and Clariant Color & Additive Masterbatch business
C O M P L E M E N T A R Y G E O G R A P H I C P R E S E N C E
PolyOne Corporation 16
United States
38% Europe
33%
Asia
19%
Canada
4%
Latin America
6%
United States
22%
Europe
40%
Asia & Middle East
31%
Canada
1%
Latin America
6%
Color & Engineered
Materials
Clariant Color & Additive
Masterbatch Business
Net Sales by Geographic Region
United States
31%
Europe
36%
Asia & Middle East
24%
Canada
3%
Latin America
6%
Pro Forma Color &
Engineered Materials
531
710
1,042
130
164
208
504
663
880
2014 2018 2019E PF*
R&D / Technical Marketing Sales
PolyOne Corporation 17
+ 34%
+ 26%
+ 32%
E X P A N S I O N O F C O M M E R C I A L R E S O U R C E S D R I V I N G G R O W T H
$2.9 $2.9
$3.5
2015 2016 2017 2018 2019E
PF
Total
+ 9%
Organic
+ 5%
Revenue in Billions
Total
+ 10%
Organic
+ 7%+ 47%
+ 27%
+ 33%
$4.0
$3.2
2019E PF*
* 2019E Pro Forma for PP&S Divestiture and Clariant Color & Additive Masterbatch business
P R I O R A C Q U I S I T I O N S : P R O O F O F P E R F O R M A N C E
PolyOne Corporation 18
Commercial
Resources
Operating
Income
($ in millions)
Operating
Margins
243
340
At Acquisition 2018
$36
$96
At Acquisition 2018
11%
20%
At Acquisition 2018
Established Acquisitions
(> 7 years)
+ 40% + 165% + 900 bps
U N I F I E D F O C U S O N S U S T A I N A B I L I T Y
PolyOne Corporation 19
2006 - 2013
2013 – 2019
PEOPLE
PRODUCTS PLANET
PERFORMANCE
PolyOne
Clariant Color & Additive
Masterbatch Business
• Building mini-recycling plants to
facilitate customer projects on
design for recycling - CycleWorks
• Uses packaging additives &
colorants to improve recyclability
and enhance automated sorting
• Manufactures oxygen scavengers
to extend shelf-life of perishable
items and reduce material
requirements
• Combines UV-blocking additive
colorants & other barriers to
prevent spoilage and waste
• Offers spin-dyeing solutions that
use significantly less water than
traditional methods, allowing for
sustainable coloration of textiles
• Produces infrared absorbing
additives that reduce energy
requirements for bottle
manufacturing
($ in millions)
PolyOne
(Continuing
Operations)
Clariant Color &
Additive Masterbatch
Business
Synergies
New
PolyOne
2019E Total Sales $2,860 $1,150 $4,010
2019E Adjusted EBITDA $310 $130 $60 $500
% Margin 10.8% 11.3% 12.5%
2019E CapEx $60 $85
% Sales 2.1% 2.1%
2019E Free Cash Flow $170 $250
2019E Adjusted EPS $1.65 $2.22
2019E PF Adjusted EPS $1.65 $2.50
P O L Y O N E + C L A R I A N T C O L O R & A D D I T I V E
M A S T E R B A T C H B U S I N E S S
PolyOne Corporation 20
(1) Excludes step-up of depreciation & amortization related to purchase accounting of transaction
(1)
$0.85/share
O V E R 8 5 % O F A D J U S T E D E B I T D A F R O M S P E C I A L T Y
PolyOne Corporation 21
46%
66%
0%
20%
40%
60%
80%
100%
2005 2010 2015 2019E PF
%
o
f
A
d
ju
s
t
e
d
E
B
IT
D
A
*
JV's Performance Products & Solutions Distribution Specialty
7%
87%
* Adjusted EBITDA is EBITDA excluding corporate costs and special items
** 2019E Pro Forma for PP&S Divestiture and Clariant Color & Additive Masterbatch business acquisition with synergies
Specialty EBITDA $14M $117M $273M $500M
**
PolyOne Corporation 22
T R A N S A C T I O N O V E R V I E W
• Expected mid-2020, subject to regulatory approvals and customary closing conditions
Closing
Conditions /
Timing
• Committed financing in place
• Permanent financing to be combination of available cash on-hand, new debt and equity component to limit leverage
• Equity issuance of $400 to $500MM
• Target net leverage below 3.5x, 3.1x synergized, with intention to de-lever below 3.0x within 2 years
PolyOne Corporation 23
• $1.45 B net purchase price
• Represents 11.1x adjusted EBITDA (excluding synergies), 7.6x adjusted EBITDA (including synergies)
• Pre-tax synergies of $60MM expected to be fully realized by the end of 2023
• Synergies realized from sourcing, operational, technology / commercial, and general administrative
Transaction
Value
Synergies
Financing
Estimated Synergy Breakdown
$60MM
• Expect EBITDA synergies of $60MM
– Proven integration expertise with a decade of acquisition experience
– Administrative synergies reflect reduction of duplicative internal and
third-party costs
• Run rate synergies of $20MM by the end of Year 1 with $60MM
achieved by the end of Year 3
• Significant additional opportunity for geographical expansion
– Clariant Color & Additive Masterbatch business has complementary
regional presence in key growth areas including India & Southeast
Asia
• Opportunity to accelerate growth with a combined portfolio of
innovative solutions aligned with sustainability megatrends
Sourcing
40%
Operational
30%
Administrative
30%
PolyOne Corporation 24
S I G N I F I C A N T S Y N E R G Y O P P O R T U N I T I E S
C A P I T A L S T R U C T U R E / L E V E R A G E
PolyOne Corporation 25
At Close Year 1 Year 2
3.2x
3.5x
3.1x
2.6x
Pro Forma with Synergies
2019E PF
Two year leverage goal
(1) Pro Forma Capitalization is for illustrative purposes only; amounts may vary depending on various market and other factors.
Sources
Cash from Balance Sheet $465
New Senior Unsecured Notes 650
New Equity 450
Total Sources $1,565
Uses
Clariant Masterbatch $1,500
Clariant India Masterbatch 60
Less: Lease Adjustment (113)
Net Purchase Price $1,447
Net Cash Acquired 57
Fees, Expenses & OID 61
Total Uses $1,565
($ Millions)
Cash and Cash Equivalents $370
$450M Senior Secured ABL Revolver -
Senior Secured Term Loan B due 2026 624
Other Debt 25
Total Senior Secured Debt $649
5.25% Senior Unsecured Notes due 2023 $600
New Senior Unsecured Notes 650
Total Senior Debt $1,899
Net Debt $1,529
New Equity $450
Pro Forma Capitalization
(1)
PF 12/31/2019
$450
$600 $624
$743
2019 2020 2021 2022 2023 2024 2025 2026
A T T R A C T I V E F I N A N C I N G S T R U C T U R E
Attractive Debt
Maturity Profile
Existing Revolver Existing Senior Notes Existing Term Loan B
New Debt
Financing
Financing
Summary
Terms on
New Debt
$465 million of cash from the balance sheet expected to fund a portion of the purchase price
Bridge financing for remainder fully committed from Citi, Morgan Stanley and Wells Fargo
Permanent financing expected to include a combination of long-term debt and new equity
The timing of the permanent financing is subject to a number of factors, including, but not limited
to, market conditions
PolyOne is committed to preserving a strong balance sheet
– Target net leverage at close below 3.5x, excluding synergies
Pro forma capital structure positions PolyOne with flexibility to pursue continued growth strategy
New financing expected to have same or better covenant package than existing capital structure
Capital structure would be “covenant lite”
Capital
Policy
Transaction in line with PolyOne’s disciplined capital allocation policy
Existing PolyOne dividend policy to be maintained
Focus on deleveraging in the near term
2028+
PolyOne Corporation 26
PolyOne Corporation 27
T H E N E W P O L Y O N E : A S P E C I A L T Y G R O W T H C O M P A N Y
Landmark portfolio transformation: > 85% of Adjusted EBITDA
from specialty solutions
World-class innovation, technology and service are differentiators
Sustainability initiatives and alignment with megatrends drive
above market growth in key end markets and applications:
Capital management is a strength - proven track record of
expanding ROIC while increasing invested capital
Transaction expected to add $0.85 to pro forma adjusted EPS
PolyOne Corporation 28
PolyOne Corporation 29