https://www.avient.com/sites/default/files/2022-08/AVNT Aug 2022 Presentation - Jefferies.pdf
AVIENT: WHO WE ARE 38 21 9 34 • U.S. and Canada • Latin America • Europe, Middle East & Africa • Asia 25,000+ CUSTOMERS Headquartered in Avon Lake, OH (Cleveland) 8,800+ employees 100+ manufacturing plants Key Financial Data 2022E Sales $5.1 billion 2022E EBITDA $635 million 2022E EPS $3.50 >70% ARE CUSTOMIZED SOLUTIONS TO UNIQUE SPECIFICATIONS of sales 3 WHO WE ARE – VISION, STRATEGY, CULTURE 4 Avient Corporation (NYSE: AVNT) provides specialized and sustainable material solutions that transform customer challenges into opportunities, bringing new products to life for a better world.
Annual Purchases RAW MATERIAL AND SUPPLY CHAIN UPDATE Based on 2021 purchases, excludes Distribution business DYN E E MA ACQ U I S I T I O N 32 15x stronger than steel Reduces weight by 30% vs. other solutions Well-maintained global asset base poised to serve growing demand • Purchase price of $1.48B represents 11.4x multiple of 2022 EBITDA • Acquisition will expand Avient’s composites and fiber portfolio with Dyneema®, the World’s Strongest Fiber™ • $415M sales and 30%+ EBITDA margins; Immediately accretive to pro forma 2022 EPS, adding $0.35 • 1,300 patents globally, ~50% of sales patent protected • 1,000+ employees across global production network and dedicated technology centers • Composites platform will increase from $261M to $680M in revenue and from $49M to $180M in EBITDA Indicates Dyneema® location $175M (42%) $65M (16%) $175M (42%) 2022E Sales By Region ($M) (1) $0.35 EPS excludes intangible amortization (2) Based on 2022 expected results (1) (2) (2) FIT WITH FOUR PILLAR STRATEGY 33 Specialization • Innovation-led organization with tremendous intellectual property value in trademarks, patents and “know-how” • Deep history of application development and premium, leading brand with the World’s Strongest FiberTM Globalization • Global customer base with an established presence across all major geographic regions • Global technology centers complement existing Composites applications and expertise Operational Excellence • Best-in-class safety performance • Well-run and maintained asset base fit to serve future growth • Highly effective and reliable supply chain with emphasis on optimizing service to customers Commercial Excellence • Deep customer relationships extend across the value chain and drive ability to grow • Offer a full suite of services with an active role in design, development and commercialization People Experienced and talented associates with a passion for safety, specialization and winning DYNEEMA® OVERVIEW K E Y I N D U S T R I E S PERSONAL PROTECTION Military • Law Enforcement • First Responders Body Armor • Helmets • Vehicle Protection $215M MARINE & SUSTAINABLE INFRASTRUCTURE Towing / Mooring • Aquaculture • Floating Wind • Offshore Cranes $130M CONSUMER Consumer • Outdoor High Performance • Safety Equipment $70M 34 Figures reflect 2022 expected sales MIFOverview Competition Valuechain & Go-to-market Strategy Innovation Financials TECHNOLOGY 35 1,200 1,300 2,500 Avient Dyneema Combined Patents • True specialty business – the World’s Strongest Fiber™ • Deep history of application development with customers, strongest in the industry • The only UHMwPE (ultra-high molecular weight polyethylene) fiber producer that is backward integrated o Provides innovation advantage through control of all steps of the process • Complementary with our existing reinforced film expertise (PolyStrand) and engineered fiber presences (Fiber-Line) WINNING PROPERTIES Ultra high strength vs. weight Highly flexible Floats on water Chemically inert; no smell/taste and non-toxic High resistance to UV radiation Self-lubricating, with low friction One-of-a-kind technology ® FORMULATION PROCESS 36 • Like Avient, Dyneema® offers similar core competencies around formulation and material science • Technology that combines polymers and fibers to provide specialized, high performing solutions for customers • Design capabilities ensure that applications are highly customized for the specified end use DYNEEMA® IN THE VALUE CHAIN 37 UHMwPE Fiber / Tapes Military Personnel, Law Enforcement Heavy Marine, Offshore Wind Energy and Mooring, Aquaculture Outdoor, Footwear, Apparel, Inflatables • Material Science • Formulation • Service INTERMEDIATE MANUFACTURING (CUSTOMERS) OEM / APPLICATION DEMAND TRENDS 38 • Military spending and near-term demand for higher performing personal protection products (like Dyneema®) expected to increase o European NATO members annual defense spend expected to increase by up to 20%(1) o Japan aiming to almost double defense spending over the next 5 years(2) o Accelerated launch of next generation technology in North America • Policy-driven demand for sustainable energy; growth in floating offshore wind farms which require advanced, durable technology o Offshore wind expected to grow at a CAGR of 32% with the level of annual installations quadrupling over the next five years(3) • Continued investment in aquaculture as a sustainable food source(4) • Strong demand in outdoor high performance space across niche consumer applications aligns with 10% growth assumption for Avient’s Composites portfolio Sources: (1) “Funding NATO”, NATO.int (April 1, 2022) (2) “Japan Ruling Party Calls for Defense Spending Boost to 2% of GDP”, WSJ (April 21, 2022) (3) “Global Wind Report 2021”, Global Wind Energy Council (4) “Aquaculture Supports a Sustainable Earth”, NOAA Fisheries 39 A L I G N M E N T W I T H S U S T A I N A B I L I T Y G O A L S PRODUCTS AVIENT’S EXISTING COMPOSITES PORTFOLIO D I V E R S E C A P A B I L I T I E S A N D S O L U T I O N S S E R V I N G M A N U F A C T U R E R S A N D O E M S LFT Tapes Laminates/Panels Shapes Pultrusion Engineered Fibers 40 AVIENT’S COMPOSITES PORTFOLIO SALES AND EBITDA 41 $74 $84 $216 $212 $261 $5 $10 $32 $41 $49 $180 0 50 100 150 200 $- $50 $100 $150 $200 $250 $300 $350 $400 $450 $500 $550 $600 $650 $700 $750 2017 2018 2019 2020 2021 2022E $680 ($ in millions) • Dyneema® acquisition will further improve Composites EBITDA margins to 26% • Dyneema® will complement our existing portfolio with deep formulation expertise, innovative culture and global commercial presence • Composites will continue to be a key growth driver to deliver future revenue growth in excess of GDP (1) Pro forma for the acquisition of Dyneema® (1) SEGMENT DATA U.S. & Canada 50% EMEA 25% Asia 16% Latin America 9% 2021 SEGMENT, END MARKET AND GEOGRAPHY GEOGRAPHY REVENUESEGMENT FINANCIALS Consumer 23% Packaging 19% Industrial 16% Building and Construction 10% Telecommunications 4% Energy 2% END MARKET REVENUE (1) Total company sales and adjusted EBITDA of $4,819M and $581M, respectively, include intercompany sales eliminations and corporate costs $2,402M $409M $919M $164M $1,631M $94M Sales EBITDA Distribution Specialty Engineered Materials Color Additives and Inks $581M$4,819M (1) Transportation 11% Healthcare 15% 43 Packaging 34% Consumer 21% Healthcare 8% Industrial 16% Building & Construction 10% Transportation 9% Energy 1% Telecommunications 1% C O L O R , A D D I T I V E S & I N K S 2021 REVENUE | $2 .4 BILLION US & Canada 32% EMEA 40% Asia 21% Latin America 7% END MARKET REGION 44 All charts reflect 2021 financials S P E C I A LT Y E N G I N E E R E D M AT E R I A L S Consumer 27% Healthcare 10% Packaging 7% Telecommunications 16% Transportation 11% Industrial 11% Building & Construction 11% Energy 7% 2021 REVENUE | $919 MILLION END MARKET US & Canada 55% EMEA 25% Asia 20% REGION 45 All charts reflect 2021 financials D I S T R I BU T I O N Healthcare 26% Consumer 23% Packaging 5% Industrial 20% Transportation 16% Building and Construction 8% Energy 1% Telecommunications 1% US & Canada 80% Asia 3% Latin America 17% END MARKET REGION K EY SU PPL IER S 2021 REVENUE | $1 .6 BILLION 46 All charts reflect 2021 financials TOTA L C O M PA N Y R E G I O N A L S A L E S BY END MARKET Packaging 30% Consumer 26%Healthcare 13% Industrial 14% Building & Construction 5% Telecommunications 2% Energy 2% Asia (16% of sales) Transportation 8% Packaging 32% Consumer 13% Healthcare 5% Industrial 17% Building & Construction 12% Telecommunications 5% Energy 4% EMEA (25% of sales) Transportation 12% 47 Consumer 25% Healthcare 19% Packaging 10% Industrial 17% Building & Construction 10% Telecommunications 4% Energy 2% US & Canada (50% of sales) Transportation 13% Packaging 38% Consumer 33% Healthcare 8% Industrial 10% Building & Construction 5% Telecommunications 1% LATAM (9% of sales) Transportation 5% All charts reflect 2021 financials Reconciliation of Non-GAAP Financial Measures (Unaudited) (Dollars in millions, except for per share data) Senior management uses comparisons of adjusted net income from continuing operations attributable to Avient shareholders and diluted adjusted earnings per share (EPS) from continuing operations attributable to Avient shareholders, excluding special items, to assess performance and facilitate comparability of results.
https://www.avient.com/industries/transportation/advanced-mobility/electric-vehicles-infrastructure
To keep up with the fast-paced industry and regulatory demands, our expertise and specialty polymer solutions can help manufacturers navigate common material selection considerations.
https://www.avient.com/news/plastics-and-rubber-thailand-2024-include-avients-showcase-specialty-and-sustainable-materials
Avient’s Product Carbon Footprint (PCF) Calculator: a tool that is third-party-certified by TÜV Rheinland, developed to evaluate the carbon footprint of Avient’s specialized and sustainable material solutions to help companies address the growing demand to create and meet sustainability commitments, understand the environmental impact of products, and navigate the complex landscape of reducing carbon emissions, particularly for upstream materials, and aligns with the ISO 14067:2018 standard for quantifying and reporting the carbon footprint of a product
https://www.avient.com/sites/default/files/resources/POL%2520IR%2520Presentation%2520Wells%2520Fargo%252005%252008%25202014%2520w%2520non%2520GAAP.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 final amount of charges resulting from the planned North American asset realignment and the Company’s ability to realize anticipated savings and operational benefits from the asset realignment; Our ability to achieve the strategic and other objectives relating to the acquisition of Spartech Corporation, including any expected synergies; Our ability to successfully integrate Spartech and achieve the expected results of the acquisition, including, without limitation, the acquisition 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 financial condition of our customers, including the ability of customers (especially those that may be highly leveraged and those with inadequate liquidity) to maintain their credit availability; The speed and extent of an economic recovery, including the recovery of the housing market; Our ability to achieve new business gains; The effect on foreign operations of currency fluctuations, tariffs, and other political, economic and regulatory risks; Changes in polymer consumption growth rates in the markets 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 achieve or delays in achieving or achievement of less than the anticipated financial benefit from initiatives related to working capital reductions, cost reductions, employee productivity goals, and an inability to raise or sustain prices for products or services; An inability to raise or sustain prices for products or services; An inability to maintain appropriate relations with unions and employees; The inability to achieve expected results from our acquisition activities; Our ability to continue to pay cash dividends; The amount and timing of repurchases of our common shares, if any; 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. • The above list of factors is not exhaustive. • We undertake no obligation to publicly update forward-looking statements, whether as a result of new information, future events or otherwise.
Use of Non-GAAP Measures Page 3 PolyOne 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 • 18 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 • Continue specialty transformation • Targeting $2.50 Adjusted EPS by 2015, nearly double 2013 EPS • Drive double digit operating income and adjusted EPS growth Confirmation of Our Strategy The World’s Premier Provider of Specialized Polymer Materials, Services and Solutions Specialization Globalization Operational Excellence Commercial Excellence -150.00% -50.00% 50.00% 150.00% 250.00% 350.00% 450.00% PolyOne S&P 500 Russell 2000 Dow Jones Chemical All time high of $39.28 April 4th, 2014 • 18 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 6 Appliance 4% Building & Construction 13% Wire & Cable 9% Electrical & Electronics 5% Consumer 10%Packaging 16% Industrial 12% HealthCare 11% Transportation 18% Misc. 2% 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 7 PolyOne At A Glance United States 67% Europe 14% Canada 7% Asia 6% Latin America 6% Specialty 54% PP&S 18% Distribution 28% Mix Shift Highlights Specialty Transformation Page 8 Old PolyOne Transformation *Operating Income excludes corporate charges and special items 2% 34% 43% 62% 64% 0% 20% 40% 60% 80% 100% 2005 2008 2010 2013 Q1 2014 2015 % o f O pe ra tin g In co m e* JV's Performance Products & Solutions Distribution Specialty 65-75% Specialty OI $5M $46M $87M $195M $60M Target 2015 Target Proof of Performance & 2015 Goals Page 9 2006 Q1 2014 2015 “Where we were” “Where we are” Target 1) Operating Income % Specialty: Global Color, Additives & Inks 1.7% 13.8% 12 – 16% Global Specialty Engineered Materials 1.1% 11.6% 12 – 16% Designed Structures & Solutions -- 6.5% 8 – 10% Performance Products & Solutions 5.5% 7.7% 9 – 12% Distribution 2.6% 6.1% 6 – 7.5% 2) Specialty Platform % of Operating Income 6.0% 64% 65 – 75% 3) ROIC* (after-tax) 5.0% 9.4% 15% 4) Adjusted EPS Growth N/A 42% Double Digit Expansion *ROIC is defined as TTM adjusted OI divided by the sum of average debt and equity over a 5 quarter period Bridge to $2.50 Adjusted EPS by 2015 2015 EPS: $2.50 2013 EPS: $1.31 Continued Gross Margin Expansion Mergers & Acquisitions Spartech Accretion Incremental share buybacks Ongoing LSS Programs (50-100 bps/yr) Accelerated Innovation & Mix Improvement Several Levers to Drive Growth Mid single digit revenue CAGR 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 11 14.3% 30.7% 2006 2013 Specialty Platform Gross Margin % 19.5% 42.0% 2006 Q1 2014 Healthcare Consumer Packaging and Additive Technology Transportation Page 12 Unique and Innovative Solutions 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 60% 100% 20% 30% 40% 50% 60% 70% 80% 90% 100% 2008 2014 Pension Funding** As of March 31, 2014 Debt Maturities & Pension Funding – 3/31/14 Net Debt / EBITDA* = 1.9x $48 $317 $600 $0 $100 $200 $300 $400 $500 $600 $700 $800 2015 2020 2023 Debt Maturities As of March 31, 2014 ($ millions) Coupon Rates: 7.500% 7.375% 5.250% ** includes US-qualified pension plans only *TTM 3/31/2014 Free Cash Flow and Strong Balance Sheet Fund Investment / Shareholder Return $0.16 $0.20 $0.24 $0.32 $0.10 $0.20 $0.30 $0.40 2011 2012 2013 2014 Annual Dividend Expanding our sales, marketing, and technical capabilities Investing in operational and initiatives that drive profitability growth Manufacturing realignment Targets that expand our: • Specialty offerings • End market presence • Geographic footprint • Operating Margin Synergy opportunities Adjacent material solutions Repurchased 1.4 million shares in Q1 2014 Repurchased 6.4 million shares since April 2013 13.6 million shares are available for repurchase under the current authorization Organic Growth Acquisitions Share Repurchases Dividends The New PolyOne: A Specialty Growth Company Why Invest In PolyOne?
https://www.avient.com/sites/default/files/2021-05/avnt-tpe-beginner-guide-fin.pdf
This reduction in weight allows trucks to move with greater fuel efficiency, and fewer trucks are needed on the road in general. https://www.avient.com/products/thermoplastic-elastomers/resound-om-thermoplastic-elastomers https://www.avient.com/avient-launches-resound-r-recycled-content-portfolios-north-america-and-asia https://www.avient.com/industries/transportation/trucking/trucking-structural-components https://www.avient.com/lighter-weight-easier-processing-heat-resistance-polyone%E2%80%99s-crosslinkable-barricade-elastomers-have-it-all What are medical grade TPEs?
https://www.avient.com/sites/default/files/2020-08/fiber-solutions-business-unit-overview-2020.pdf
Rachatewa, Bangplee Samutprakarn, Thailand, 10540 Phone: +66 232 791 00 Americas The ColorMatrix Corporation 680 North Rocky River Drive Berea, 44017 OH, USA Phone: +1 216 622 0100 Innovation Center & Manufacturing Plant 2900 Shawnee Industrial Way Suwanee, GA, United States, 30024 Phone: +1 770 271 5900 ColorMatrix do Brasil Indústria e Comércio de Pigmentos e Aditivos Ltda. 13295-000 Itupeva, SP Brazil Av.
https://www.avient.com/sites/default/files/resources/POL%2520IR%2520Presentation%2520-%2520Credit%2520Suisse%2520Conference%2520w%2520non-GAAP%252009%252018%25202014.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 final amount of charges resulting from the planned North American asset realignment and the Company’s ability to realize anticipated savings and operational benefits from the asset realignment; Our ability to achieve the strategic and other objectives relating to the acquisition of Spartech Corporation, including any expected synergies; Our ability to successfully integrate Spartech and achieve the expected results of the acquisition, including, without limitation, the acquisition 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 financial condition of our customers, including the ability of customers (especially those that may be highly leveraged and those with inadequate liquidity) to maintain their credit availability; The speed and extent of an economic recovery, including the recovery of the housing market; Our ability to achieve new business gains; The effect on foreign operations of currency fluctuations, tariffs, and other political, economic and regulatory risks; Changes in polymer consumption growth rates in the markets 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 achieve or delays in achieving or achievement of less than the anticipated financial benefit from initiatives related to working capital reductions, cost reductions, employee productivity goals, and an inability to raise or sustain prices for products or services; An inability to raise or sustain prices for products or services; An inability to maintain appropriate relations with unions and employees; The inability to achieve expected results from our acquisition activities; Our ability to continue to pay cash dividends; The amount and timing of repurchases of our common shares, if any; 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. The above list of factors is not exhaustive. We undertake no obligation to publicly update forward-looking statements, whether as a result of new information, future events or otherwise.
PolyOne Corporation Page 4 PolyOne 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 • 19 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 • Continue specialty transformation • Goal of $2.50 Adjusted EPS by 2015, nearly double 2013 EPS • Drive double digit operating income and adjusted EPS growth PolyOne Corporation Page 5 Building & Construction 13% Industrial 12% Transportation 18% Wire & Cable 9% Packaging 16% Consumer 10% HealthCare 11% Appliance 6% Electronics & Electrical 5% 2013 Revenues: $3.8 Billion End Markets 2013 Revenues: $3.8 Billion PolyOne At A Glance United States 67% Europe 14% Canada 7% Asia 6% Latin America 6% Specialty 54% PP&S 18% Distribution 28% $13 $31 $46 $46 $92 $96 $122 $195 $0 $50 $100 $150 $200 2006 2007 2008 2009 2010 2011 2012 2013 Specialty Operating Income PolyOne Corporation Page 6 Old PolyOne Transformation *Operating Income excludes corporate charges and special items 2% 34% 43% 62% 66% 0% 20% 40% 60% 80% 100% 2005 2008 2010 2013 2014 YTD 2015 % o f O p e ra ti n g I n c o m e * JV's Performance Products & Solutions Distribution Specialty 65-75% Specialty OI $5M $46M $87M $195M $129M Target Mix Shift Highlights Specialty Transformation 2015 Target PolyOne Corporation Page 7 Confirmation of Our Strategy The World’s Premier Provider of Specialized Polymer Materials, Services and Solutions Specialization Globalization Operational Excellence Commercial Excellence PolyOne Corporation Page 8 Strategy and Execution Drive Results $0.12 $0.27 $0.21 $0.13 $0.68 $0.82 $1.00 $1.31 '06 '07 '08 '09 '10 '11 '12 '13 ‘06-‘13 EPS CAGR = 41% EPS Share Price vs.
https://www.avient.com/sites/default/files/resources/POL%2520IR%2520Presentation%2520-%2520KeyBanc%2520Conference%2520w%2520nonGAAP.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 final amount of charges resulting from the planned North American asset realignment and the Company’s ability to realize anticipated savings and operational benefits from the asset realignment; Our ability to achieve the strategic and other objectives relating to the acquisition of Spartech Corporation, including any expected synergies; Our ability to successfully integrate Spartech and achieve the expected results of the acquisition, including, without limitation, the acquisition 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 financial condition of our customers, including the ability of customers (especially those that may be highly leveraged and those with inadequate liquidity) to maintain their credit availability; The speed and extent of an economic recovery, including the recovery of the housing market; Our ability to achieve new business gains; The effect on foreign operations of currency fluctuations, tariffs, and other political, economic and regulatory risks; Changes in polymer consumption growth rates in the markets 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 achieve or delays in achieving or achievement of less than the anticipated financial benefit from initiatives related to working capital reductions, cost reductions, employee productivity goals, and an inability to raise or sustain prices for products or services; An inability to raise or sustain prices for products or services; An inability to maintain appropriate relations with unions and employees; The inability to achieve expected results from our acquisition activities; Our ability to continue to pay cash dividends; The amount and timing of repurchases of our common shares, if any; 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. The above list of factors is not exhaustive. We undertake no obligation to publicly update forward-looking statements, whether as a result of new information, future events or otherwise.
PolyOne Corporation Page 4 PolyOne 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 • 19 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 • Continue specialty transformation • Goal of $2.50 Adjusted EPS by 2015, nearly double 2013 EPS • Drive double digit operating income and adjusted EPS growth PolyOne Corporation Page 5 Building & Construction 13% Industrial 12% Transportation 18% Wire & Cable 9% Packaging 16% Consumer 10% HealthCare 11% Appliance 6% Electronics & Electrical 5% 2013 Revenues: $3.8 Billion End Markets 2013 Revenues: $3.8 Billion PolyOne At A Glance United States 67% Europe 14% Canada 7% Asia 6% Latin America 6% Specialty 54% PP&S 18% Distribution 28% $13 $31 $46 $46 $92 $96 $122 $195 $0 $50 $100 $150 $200 2006 2007 2008 2009 2010 2011 2012 2013 Specialty Operating Income PolyOne Corporation Page 6 Old PolyOne Transformation *Operating Income excludes corporate charges and special items 2% 34% 43% 62% 66% 0% 20% 40% 60% 80% 100% 2005 2008 2010 2013 2014 YTD 2015 % o f O p e ra ti n g I n c o m e * JV's Performance Products & Solutions Distribution Specialty 65-75% Specialty OI $5M $46M $87M $195M $129M Target Mix Shift Highlights Specialty Transformation 2015 Target PolyOne Corporation Page 7 Confirmation of Our Strategy The World’s Premier Provider of Specialized Polymer Materials, Services and Solutions Specialization Globalization Operational Excellence Commercial Excellence PolyOne Corporation Page 8 Strategy and Execution Drive Results $0.12 $0.27 $0.21 $0.13 $0.68 $0.82 $1.00 $1.31 '06 '07 '08 '09 '10 '11 '12 '13 ‘06-‘13 EPS CAGR = 41% EPS Share Price vs.
https://www.avient.com/sites/default/files/resources/POL%2520IR%2520Presentation%2520-%2520RW%2520Baird%2520Conference%2520w%2520non-GAAP.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 final amount of charges resulting from the planned North American asset realignment and the Company’s ability to realize anticipated savings and operational benefits from the asset realignment; Our ability to achieve the strategic and other objectives relating to the acquisition of Spartech Corporation, including any expected synergies; Our ability to successfully integrate Spartech and achieve the expected results of the acquisition, including, without limitation, the acquisition 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 financial condition of our customers, including the ability of customers (especially those that may be highly leveraged and those with inadequate liquidity) to maintain their credit availability; The speed and extent of an economic recovery, including the recovery of the housing market; Our ability to achieve new business gains; The effect on foreign operations of currency fluctuations, tariffs, and other political, economic and regulatory risks; Changes in polymer consumption growth rates in the markets 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 achieve or delays in achieving or achievement of less than the anticipated financial benefit from initiatives related to working capital reductions, cost reductions, employee productivity goals, and an inability to raise or sustain prices for products or services; An inability to raise or sustain prices for products or services; An inability to maintain appropriate relations with unions and employees; The inability to achieve expected results from our acquisition activities; Our ability to continue to pay cash dividends; The amount and timing of repurchases of our common shares, if any; 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. The above list of factors is not exhaustive. We undertake no obligation to publicly update forward-looking statements, whether as a result of new information, future events or otherwise.
PolyOne Corporation Page 4 PolyOne 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 • 20 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 • Continue specialty transformation • Goal of $2.50 adjusted EPS by 2015, three times the EPS generated in 2011 of $0.82 • Drive double digit operating income and adjusted EPS growth PolyOne Corporation Page 5 Building & Construction 13% Industrial 12% Transportation 18% Wire & Cable 9% Packaging 16% Consumer 10% HealthCare 11% Appliance 6% Electronics & Electrical 5% 2013 Revenues: $3.8 Billion End Markets 2013 Revenues: $3.8 Billion PolyOne At A Glance United States 67% Europe 14% Canada 7% Asia 6% Latin America 6% Specialty 54% PP&S 18% Distribution 28% $13 $31 $46 $46 $92 $96 $122 $195 $0 $50 $100 $150 $200 2006 2007 2008 2009 2010 2011 2012 2013 Specialty Operating Income PolyOne Corporation Page 6 Old PolyOne *Operating Income excludes corporate charges and special items 2% 34% 43% 62% 65% 0% 20% 40% 60% 80% 100% 2005 2008 2010 2013 2014 YTD 2015 % o f O p e ra ti n g I n c o m e * JV's Performance Products & Solutions Distribution Specialty 65-75% Specialty OI $5M $46M $87M $195M $191M Target Mix Shift Highlights Specialty Transformation Transformation 2015 Target PolyOne Corporation Page 7 Confirmation of Our Strategy The World’s Premier Provider of Specialized Polymer Materials, Services and Solutions Specialization Globalization Operational Excellence Commercial Excellence PolyOne Corporation Page 8 Strategy and Execution Drive Results $0.12 $0.27 $0.21 $0.13 $0.68 $0.82 $1.00 $1.31 '06 '07 '08 '09 '10 '11 '12 '13 ‘06-‘13 EPS CAGR = 41% EPS Share Price vs.
https://www.avient.com/sites/default/files/resources/POL%2520IR%2520Presentation%2520-%2520Goldman%2520Sachs%2520Conference%2520w%2520nonGAAP.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 final amount of charges resulting from the planned North American asset realignment and the Company’s ability to realize anticipated savings and operational benefits from the asset realignment; Our ability to achieve the strategic and other objectives relating to the acquisition of Spartech Corporation, including any expected synergies; Our ability to successfully integrate Spartech and achieve the expected results of the acquisition, including, without limitation, the acquisition 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 financial condition of our customers, including the ability of customers (especially those that may be highly leveraged and those with inadequate liquidity) to maintain their credit availability; The speed and extent of an economic recovery, including the recovery of the housing market; Our ability to achieve new business gains; The effect on foreign operations of currency fluctuations, tariffs, and other political, economic and regulatory risks; Changes in polymer consumption growth rates in the markets 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 achieve or delays in achieving or achievement of less than the anticipated financial benefit from initiatives related to working capital reductions, cost reductions, employee productivity goals, and an inability to raise or sustain prices for products or services; An inability to raise or sustain prices for products or services; An inability to maintain appropriate relations with unions and employees; The inability to achieve expected results from our acquisition activities; Our ability to continue to pay cash dividends; The amount and timing of repurchases of our common shares, if any; 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. The above list of factors is not exhaustive. We undertake no obligation to publicly update forward-looking statements, whether as a result of new information, future events or otherwise.
PolyOne Corporation Page 4 PolyOne 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 • 20 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 • Continue specialty transformation • Goal of $2.50 adjusted EPS by 2015, three times the EPS generated in 2011 of $0.82 • Drive double digit operating income and adjusted EPS growth PolyOne Corporation Page 5 Building & Construction 13% Industrial 12% Transportation 18% Wire & Cable 9% Packaging 16% Consumer 10% HealthCare 11% Appliance 6% Electronics & Electrical 5% 2013 Revenues: $3.8 Billion End Markets 2013 Revenues: $3.8 Billion PolyOne At A Glance United States 67% Europe 14% Canada 7% Asia 6% Latin America 6% Specialty 54% PP&S 18% Distribution 28% $13 $31 $46 $46 $92 $96 $122 $195 $0 $50 $100 $150 $200 2006 2007 2008 2009 2010 2011 2012 2013 Specialty Operating Income PolyOne Corporation Page 6 Old PolyOne *Operating Income excludes corporate charges and special items 2% 34% 43% 62% 65% 0% 20% 40% 60% 80% 100% 2005 2008 2010 2013 2014 YTD 2015 % o f O pe ra tin g In co m e* JV's Performance Products & Solutions Distribution Specialty 65-75% Specialty OI $5M $46M $87M $195M $191M Target Mix Shift Highlights Specialty Transformation Transformation 2015 Target PolyOne Corporation Page 7 Confirmation of Our Strategy The World’s Premier Provider of Specialized Polymer Materials, Services and Solutions Specialization Globalization Operational Excellence Commercial Excellence PolyOne Corporation Page 8 Strategy and Execution Drive Results $0.12 $0.27 $0.21 $0.13 $0.68 $0.82 $1.00 $1.31 '06 '07 '08 '09 '10 '11 '12 '13 ‘06-‘13 EPS CAGR = 41% EPS Share Price vs.