https://www.avient.com/sites/default/files/2022-03/Avient 2022 Proxy Statement.pdf
Pursuant to the policy,
any nominee for election as a Director of the Board who receives a greater number of votes “withheld”
from his or her election than votes “for” his or her election in an election of Directors that is not a
contested election is expected to tender his or her resignation as a Director to the Board promptly
following the certification of the election results.
COMPENSATION DISCUSSION AND ANALYSIS
44 PROXY STATEMENT 2022 | Annual Meeting of Shareholders
2021 Company performance highlights include:
• Full-year 2021 EPS from continuing operations was $2.51, compared to $1.46 in 2020, an increase
of 72%;
• Record sales growth of 27% over 2020 to $4.8 billion;
• Increased adjusted EPS 58% from $1.93 (pro forma for the Clariant Color acquisition) to $3.05(1)
driven by demand for sustainable solutions, healthcare applications and composites
technologies;
• Increased our dividend on an annualized basis by 12% to $0.95; the 11th consecutive year of
annual increase;
• Our 0.55 injury incident rate (per 100 full-time workers per year) is world-class in our industry;
• Certified once again as an ACC Responsible Care® organization for outstanding environmental,
health and safety performance;
• Continued our journey of improving our culture: received our 3rd consecutive certification as a
Great Place to Work® by the Great Place to Work Institute; joined the United Nations Global
Compact; and recognized as one of America's Most Responsible Companies by Newsweek;
• The SEM business delivered record operating income of $132 million, up 40% from 2020, driven by
high demand for our composites and other specialty solutions serving the consumer and
healthcare end markets;
• The CAI business grew revenue 18% and operating income 34%.
With respect to the Clariant Color
Integration Objectives described above, the Committee determined all objectives had been met or
exceeded as we prioritized safety training and education and retained ACC Responsible Care certification,
grew revenue and cross-selling leads, successfully engaged employees, achieving our third consecutive
certification as a Great Place to Work® by the Great Place to Work Institute, and achieved $54 million of
cost synergies.
https://www.avient.com/sites/default/files/2022-02/AVNT Q4 2021 Earnings Presentation_0.pdf
FX)
2022 GROWTH PROJECTIONS
( T O TA L C O M PA N Y )
19
$3.05
$3.50
2021 2022E
Full Year – Adjusted EPS
+ 15%
(+ 17% excluding FX)
$0.89
$0.95
2021 2022E
Q1 – Adjusted EPS
+ 7%
(+ 10% excluding FX)
($ millions) Q1 Full Year Q1 Full Year
2021 - Actual 1,162$ 4,819$ 123$ 429$
Sustainable Solutions 27 110 12 44
Healthcare 15 66 4 13
Composites (excl.Outdoor High Performance) 11 29 5 13
Outdoor High Performance Applications (7) (20) (4) (10)
Growth in Asia / LATAM 10 51 3 11
Other 57 115 9 12
Sub-total 1,275$ 5,170$ 152$ 512$
Wage Inflation and Overtime (12) (18)
Other Supply Chain Costs (4) (7)
FX Impact (25) (70) (4) (8)
Synergies 4 15
Travel, Other Employee Costs (1) (4)
2022 - Estimated 1,250$ 5,100$ 135$ 490$
Sales
Adjusted
Operating Income
2022 SALES AND OI – Q1 AND FULL YEAR
( T O TA L C O M PA N Y )
20
($ millions) 2021 2022E
Cash Flow from Operating Activities 234$ 385$
Less:
Run-Rate CapEx (86) (90)
CapEx for Clariant Integration (15) (20)
CapEx for IT System Upgrade - (25)
Total CapEx (101) (135)
Free Cash Flow 133$ 250$
Adjusted EBITDA 581$ 635$
Net Debt / Adjusted EBITDA 2.2x 1.8x
21
C A SH F LOW / L E VE R AGE
22
• Record results – highest level of sales ($4.8B) and earnings
($3.05 adjusted EPS) in company history
• Successful Clariant Color integration – net debt to adjusted
EBITDA reduced to 2.2x, one-year ahead of schedule
• Recognized as one of America’s Most Responsible Companies
by Newsweek
• Earned 3rd consecutive Great Place to Work certification
2021 HIGHLIGHTS
23
• 15% adjusted EPS growth to $3.50, led by growth in sustainable
solutions and increased synergy realization
• Continued strong synergy capture from the Clariant Color integration:
$75M anticipated run-rate synergies by the end of 2022
• Adjusted EBITDA of $635M represents 9% growth above 2021 –
11% excluding the impact of foreign currencies
• Deleveraged to 1.8x net debt to adjusted EBITDA by the end of 2022
2022 SUMMARY
PEER COMPARISONS
25
As a specialty formulator, we don’t
require significant capital
investment, as compared to the
base resin raw material suppliers
we purchase from.
https://www.avient.com/sites/default/files/2022-08/AVNT Aug 2022 Presentation - Jefferies.pdf
Global Compact &
fulfilled Communication of Progress (COP)
requirements
• New Sustainability Strategy overview page including
our 2022 AIP ESG metrics
• New ESG Performance page with ESG ratings,
awards, and certifications
• Increased disclosures on carbon emissions, including
disclosure of Climate Change Scenario Analysis
• Added new Product Stewardship and Chemical
Management policies
• Enhanced data reporting for Workforce
Demographics
• Improved social disclosures on human rights,
dependent care and special leave and strategic
training management
2021 SUSTAINABILITY REPORT
Launching integrated sustainability website in parallel with report
Aligned with leading reporting frameworks
13
ESG PERFORMANCE & A WARDS
14
16th
ENVIRONMENTAL
SOCIAL
GOVERNANCE
2
1
3
(as of 6/30/22)
2 0 2 2 O U T L O O K
$429
$490
2021 2022E
$3.05
$3.50
2021 2022E
FY 2022 GUIDANCE
( T O TA L C O M PA N Y: C U R R E N T P O R T F O L I O )
16
Sales Adjusted Operating Income
$4,819
$5,100
2021 2022E
+ 6%
Adjusted EPS
+ 14% + 15%
(in millions) (in millions)
(+ 9% excluding FX) (+ 18% excluding FX) (+ 20% excluding FX)
17
CASH FLOW / LEVERAGE
($ millions) 2022E
Cash Flow from Operating Activities 400$
Less:
Run-Rate CapEx (90)
CapEx for Clariant Integration (10)
CapEx for IT System Upgrade (15)
Total CapEx (115)
Free Cash Flow 285$
Adjusted EBITDA 635$
Net Debt / Adjusted EBITDA 1.6x
18
DYNEEMA / DISTRIBUTION UPDATES
• Strong performance so far in 2022 in-line
with our modeling
• Acquisition to be finalized as early as
September 1, pending standard
regulatory process and closing conditions
• Encouraging interest thus far from
potential buyers for world-class business
with a strong track record
• Second round bids due in August
DISTRIBUTION
19
PRO FORMA MODELING UPDATE
2022E
($M)
Revenue 5,100$ 415$ 5,515$ (1,635)$ 3,880$
Adjusted EBITDA 635 130 765 (109) 656
EBITDA % 12% 31% 14% 7% 17%
Adj.
https://www.avient.com/sites/default/files/2023-09/Avient Sustainability Day 2023 - Website %289.19%29.pdf
Per Carlsson, Manufacturing and Operations
CUSTOMER
TESTIMONIALS
Avient Corporation 71
50
90
0
20
40
60
80
100
2022 2030
Medical Plastics Market Size
PRESERVE – TAKEAWAY
Protecting Human Life and Enabling Connectivity Drives Growth Projections
Examples
Covered
Today
56%
Other Applications
44%
2022
$525M (i
n
$B
ill
io
ns
)
8% CAGR 34% CAGR
5G Infrastructure Market Size
12
92
0
10
20
30
40
50
60
70
80
90
100
2023 2024 2025 2026 2027 2028 2029 2030
(in
$
B
ill
io
ns
)
Source: Grand View Research Source: Global Data
Summary
Jamie Beggs
Senior Vice President and Chief Financial Officer
Avient Corporation 72
OUR SUSTAINABILITY REPORT
Avient Corporation 73
Avient Corporation 74
2030 SUSTAINABILITY GOALS
Avient Corporation 75
PERFORMANCE AND RECOGNITION
1
2
5
ESG Ratings Performance
ESG Awards and Certifications
top 13%
94th
percentile
Avient Corporation 76
SUSTAINABILITY INNOVATION AWARDS
Ultra-Low Carbon
Footprint TPE
Innovation Award, Finalist:
Plastics Industry Association
PCR Colorants + Additives
Sustainable Packaging Innovation,
Finalist: U.S.
https://www.avient.com/sites/default/files/2020-03/polyone-2019-annual-report.pdf
SHAREHOLDER INQUIRIES
If you have any questions concerning your account as a shareholder, name or address
changes, inquiries regarding stock certificates, or if you need tax information regarding your
account, please contact our transfer agent:
Equiniti Trust Company
1110 Centre Pointe Curve, Suite 101
Mendota Heights, MN 55120-4100
Phone: 1-855-598-2615
or 1-651-450-4064
www.shareowneronline.com
Additional information about PolyOne, including current and historic copies of Annual
Reports on Form 10-K and other reports filed with the Securities and Exchange
Commission, is available online at www.polyone.com or free of charge from:
Investor Affairs Relations
PolyOne Corporation
33587 Walker Road
Avon Lake, Ohio 44012
Phone: 440-930-1000
ANNUAL MEETING
The annual meeting of shareholders of PolyOne will be held May 14, 2020 at 9:00 a.m.
https://www.avient.com/sites/default/files/2024-03/2024 Proxy Statement_March.pdf
Our key development opportunities include nomination-based leadership programs (such as NextGen,
Emerging Leaders and Elevate), foundational leadership training for all current or aspiring people
managers, called Core Leadership, and LSS training at a variety of levels, where individuals can be
certified for job-specific LSS programs, up through Master Black Belt certification.
We are
proud to share that our associates feel we are a Great Place to Work® and, in 2023, we received our fifth
certification.
The
“People” metric considered both (1) the results of our 2023 Great Places to Work® employee engagement
survey (and whether the results resulted in certification by Great Places to Work and an improvement over
the prior year’s scores), and (2) the percentage of employees who participated in a safety activity during
the year.
https://www.avient.com/sites/default/files/2025-03/2025 Proxy Statement.pdf
We are proud that our employees feel we are a Great Place to Work®, and in 2024, we received our sixth
certification.
Pursuant to the policy, any
nominee for election as a Director of the Board who receives a greater number of votes “withheld” from his or
her election than votes “for” his or her election in an election of Directors that is not a contested election is
expected to tender his or her resignation as a Director to the Board promptly following the certification of the
election results.
The employee engagement metric
considered the results of our 2024 Great Places to Work® employee engagement survey (and whether the results
resulted in certification by Great Places to Work and an improvement over the prior year’s scores).
https://www.avient.com/sites/default/files/2023-03/2023 Avient Bookmarked Proxy Statement - FINAL.pdf
We are proud to share that our associates feel we are a Great Place to Work® and, in
2022, we received our fourth certification and the highest scores in the history of our Company.
m) “Evidence of Award” means an agreement, certificate, resolution or other
type or form of writing or other evidence approved by the Compensation Committee that sets
forth the terms and conditions of the awards granted under this Plan.
Unless
otherwise directed by the Compensation Committee, (i) all certificates representing shares of
Restricted Stock will be held in custody by the Company until all restrictions thereon will have
lapsed, together with a stock power or powers executed by the Participant in whose name
such certificates are registered, endorsed in blank and covering such shares, or (ii) all shares of
Restricted Stock will be held at the Company’s transfer agent in book entry form with
appropriate restrictions relating to the transfer of such shares of Restricted Stock.
https://www.avient.com/sites/default/files/2024-03/2024 Proxy Statement %28Filed%29.pdf
Our key development opportunities include nomination-based leadership programs (such as NextGen,
Emerging Leaders and Elevate), foundational leadership training for all current or aspiring people
managers, called Core Leadership, and LSS training at a variety of levels, where individuals can be
certified for job-specific LSS programs, up through Master Black Belt certification.
We are
proud to share that our associates feel we are a Great Place to Work® and, in 2023, we received our fifth
certification.
The
“People” metric considered both (1) the results of our 2023 Great Places to Work® employee engagement
survey (and whether the results resulted in certification by Great Places to Work and an improvement over
the prior year’s scores), and (2) the percentage of employees who participated in a safety activity during
the year.
https://www.avient.com/sites/default/files/2024-12/Terms and Conditions of Sale for Japan %28English and Japanese Translation%29.pdf
Seller warrants
good and clear title in goods subject to the sale
(“Product”) and that the Product conforms at the
time of shipment to a Certificate of Analysis,
(bunseki shomei sho)a Certificate of Compliance
(tekigo-sei shomei sho), or a Product
Specification Sheet, if any such document exists,
and other specifications signed by Seller
(“Specifications”).