Legal related (costs) gains

Legal related and other

Legal related and other

Fragen Sie sich selbst … Falls Sie eine Frage oder Bedenken betreffend der angemessenen Verhaltensweise für Sie oder jemand anderen haben und im Kodex oder in unseren Richtlinien keine Antwort finden können, dann überprüfen Sie, ob Sie die für eine Entscheidung notwendigen Tatsachen haben, denken Sie darüber nach, wer betroffen sein könnte, und stellen Sie sich dann die folgenden Fragen: • Ist die Vorgehensweise legal? Daher sind keinerlei Bestechungszahlungen oder Kickbacks erlaubt, nicht einmal in Ländern, in denen sie eventuell legal sind. Dabei sammeln wir technische, Kosten-, Produkt-, Markt- und sonstige Informationen über die Märkte und unsere Konkurrenten auf legale und ethische Weise über öffentlich verfügbare Informationen und über Kunden, Analysten, Untersuchungen und Beobachtungen.

Any or all of the responsible parties may be required to bear all of the costs of clean up, regardless of fault or legality of the waste disposal or ownership of the site, and may also be subject to liability for natural resource damages. LEGAL PROCEEDINGS In December 2007, the EPA met with the Company to discuss possible violations of the Clean Air Act, the Clean Water Act and the Resource Conservation and Recovery Act at its polyvinyl chloride resin manufacturing facilities located in Henry, Illinois and Pedricktown, New Jersey. Cost of sales in 2010 and 2009 reflects gains of $21.4 million and $23.9 million, respectively, associated with legal and insurance settlements.

Given the lack of comparable precedent, it is unclear what financial, trade and legal implications the withdrawal of the UK from the EU would have and how such withdrawal would affect us. LEGAL PROCEEDINGS Information regarding other legal proceedings can be found in Note 11, Commitments and Contingencies, to the accompanying consolidated financial statements and is incorporated by reference herein. These benefits related to a 2017 European legal entity realignment.

Any or all of the responsible parties may be required to bear all of the costs of clean up, regardless of fault or legality of the waste disposal or ownership of the site, and may also be subject to liability for natural resource damages. LEGAL PROCEEDINGS In December 2007, the EPA met with the Company to discuss possible violations of the Clean Air Act, the Clean Water Act and the Resource Conservation and Recovery Act at its polyvinyl chloride resin manufacturing facilities located in Henry, Illinois and Pedricktown, New Jersey. Information regarding other legal proceedings can be found in Note 12, Commitments and Contingencies, to the consolidated financial statements and is incorporated by reference herein.

LEGAL PROCEEDINGS Information regarding other legal proceedings can be found in Note 11, Commitments and Contingencies, to the consolidated financial statements and is incorporated by reference herein. Significant or unusual items impacting the effective income tax rate are described below. 2017 Significant items The increase in the Foreign tax rate differential line item in the table above, compared to 2016, primarily related to a European legal entity realignment. LEGAL PROCEEDINGS ITEM 4.

 Strong past performance demonstrates that our strategy and execution are working  Megatrends and emerging opportunities align with our strengths  Innovation and services provide differentiation, incremental pricing power, and competitive advantage  Strong and proven management team driving growth and performance  Addressable market exceeds $40 billion PolyOne Corporation Page 44 Appendix Kiosk Summaries Segments at a Glance Officer Biographies PolyOne Corporation Page 45 Anti-Counterfeiting Solutions  Includes formulation and consultative services to assist manufacturers and brand owners in positively identifying their packaging, devices, end products and raw materials in the field  Protects brand equity – defense against customer complaints or legal actions based on erroneous product identification  Protects consumer welfare – decrease in potential harm to consumers, reduction in unwarranted recall expenses  Secures supply chain integrity – support for safe expansion into new geographies PolyOne Corporation Page 46 Security and Safety Solutions  Polycast™ Bullet Resistant Sheet, an optically clear, non-yellowing acrylic, provides ballistics protection against powerful weapons • High-impact resistance that foils “smash-and-grab” thieves  GlasArmor™ Bullet Resistant Panels, a UL-listed solution with superior ballistic resistance yet weights 75% less than steel panel • Used in commercial security applications for business, home, and governmental facilities PolyOne Corporation Page 47 3D Printing  Collaborating with customers using 3D printers to create prototypes and samples  Enables customers to develop and test their products and innovations quickly and accurately  3D printing of molds and inserts allows OEMs to develop and test new product innovation using their own equipment and material of choice, more efficient than traditional processes PolyOne Corporation Page 48 Enhanced Ergonomic Technologies  Versaflex™ VDT was developed to absorb vibration and noise in a broad range of applications, including minimally invasive surgical instruments, electronics, firearms, archery and automotive  Can be overmolded onto a rigid substrate without the need for an adhesive to increase production efficiencies and profitability  Creates value by: • Increasing end-user comfort • Eliminating secondary assembly • Differentiating end products PolyOne Corporation Page 49 Sustainable Solutions  reFlex™ Bio-Based Plasticizer non- phthalate additive used to make vinyl more flexible • Derived primarily from soybeans rather than petroleum • Certified by USDA BioPreferred® program  Wilflex™ Oasis Water-Based Inks satisfy consumer demand for eco- conscious products • Long screen life and production- friendly to improve operational efficiencies, increase design quality PolyOne Corporation Page 50 Color and Design Services  First-of-its-kind offering that supports color and product development from concept to reality  Helps brand managers and designers evaluate color and design alternatives to: – accelerate and streamline product development – strengthen brand equity – build marketplace excitement  Enhances product differentiation  Improves efficiency and profitability PolyOne Corporation Page 51 Metal Replacement Technology  Portfolio of solutions that meet upper range of performance requirements, removing barriers to replacing metal with polymers  Applications include: • LED heat sinks • Electronic shielding (EMI/RFI) • Structural integrity at elevated temperatures (i.e., large appliances) • Lead-free radiation shielding (i.e., CT scanners)  Creates value by eliminating the need for machining and secondary operations, removing weight, streamlining production and improving cost efficiencies PolyOne Corporation Page 52 Medical Device Solutions  Catheters made using NEU™ View patent-pending technology are optically translucent, and have superior contrast under X-ray (radiopaque) when compared with alternative catheter materials  Formulations for cardiovascular and intravascular catheters are application-specific, incorporating medical-grade polymers, additives, color, and healthcare-centric manufacturing practices  Only commercially available product that has excellent visibility, both optically and under X-ray, to bolster clinician confidence and offer significant market advantage PolyOne Corporation Page 53 Consumer Electronics Solutions  Ability to offer multiple technology solutions on a global basis for this industry, where many OEMs design in one region, prototype in another, and manufacture in yet another  Sustainable / “green” solutions help customers to differentiate in this market  New formulations for emerging wearables market that meet skin contact requirements and aesthetic needs PolyOne Corporation Page 54 Appliances 4% Building & Construction 4% Consumer 17% Electrical & Electronics 16% Healthcare 12% Industrial 8% Packaging 7% Transportation 19% Wire & Cable 13% At a Glance Global Specialty Engineered Materials 2013 Revenues: $0.6 Billion Solutions 2013 Revenue by Industry Segment Expanding Profits 1.1% 1.3% 3.4% 5.1% 9.6% 8.0% 8.6% 9.3% 12-16% 2006 2007 2008 2009 2010 2011 2012 2013 Q1 2014 2015 Operating Income % of Sales Target United States 43% Europe 33% Canada 2% Asia 18% Latin America 4% 11.6% PolyOne Corporation Page 55 Appliances 2% Building & Construction 11% Consumer 5% Electrical & Electronics 6% Healthcare 7% Industrial 13% Packaging 34% Transportation 10% Wire & Cable 12% Target At a Glance Global Color, Additives and Inks 2013 Revenues: $0.9 Billion Solutions Expanding Profits 1.7% 4.6% 5.1% 5.5% 7.2% 8.1% 9.7% 12.2% 12-16% 2006 2007 2008 2009 2010 2011 2012 2013 Q1 2014 2015 Operating Income % of Sales United States 44% Europe 37% Canada 2% Asia 11% Latin America 6% 2013 Revenue by Industry Segment 13.8% PolyOne Corporation Page 56 At a Glance Designed Structures and Solutions Solutions 2013 Revenues: $0.6 Billion Expanding Profits 2.2% 8 - 10% 6.5% 2012 PF Q1 2013 Q1 2014 2015 Operating Income % of Sales 0.2% Target United States 96% Canada 3% Latin America 1% Appliances 2% Building & Construction 10% Consumer 11% Healthcare 6% Industrial 13% Packaging 32% Transportation 26% 2013 Revenue by Industry Segment PolyOne Corporation Page 57 5.5% 6.9% 3.8% 3.6% 5.5% 4.3% 6.3% 7.2% 2006 2007 2008 2009 2010 2011 2012 2013 Q1 2014 Operating Income % of Sales At a Glance Performance Products and Solutions Solutions Expanding Profits 2013 Revenues: $0.8 Billion United States 81% Europe 1% Canada 14% Asia 2% Latin America 2% 9-12% Target 2013 Revenue by Industry Segment Appliances 8% Building & Construction 34% Consumer 4% Electrical & Electronics 3% Healthcare 1%Industrial 10% Packaging 6% Transportation 16% Wire & Cable 18% 2015 7.7% PolyOne Corporation Page 58 2.6% 3.0% 3.5% 4.0% 4.6% 5.6% 6.4% 5.9% 6 - 7.5% 2006 2007 2008 2009 2010 2011 2012 2013 Q1 2014 2015 Operating Income % of Sales 15.3% 46.0% 2006 Q1 2014 At a Glance Distribution *ROIC is defined as TTM adjusted OI divided by the sum of average debt and equity over a 5 quarter period Solutions 2013 Revenues: $1.1 Billion ROIC* Expanding Profits Target Appliances 5% Building & Construction 5% Consumer 14% Electrical & Electronics 5% Healthcare 24% Industrial 16% Packaging 5% Transportation 23% Wire & Cable 3% 6.1% http://www.polyone.com/Pages/VariationRoot.aspx

Avient is committed to defining our position in the marketplace and understanding how relevant factors arising from legal, political, economic, social and technological issues influence our strategic direction and our organizational context.