https://www.avient.com/sites/default/files/resources/POL%2520IR%2520Presentation%2520-%2520Goldman%2520Sachs%2520Conference%2520w%2520nonGAAP.pdf
In addition, operating income before special items and adjusted EPS are components of various PolyOne annual and long-term employee incentive plans. A reconciliation of each non-GAAP financial measure with the most directly comparable GAAP financial measure is attached to this presentation which is posted on our website at www.polyone.com.
S&P 500 -150% -50% 50% 150% 250% 350% 450% 550% POL S&P 500 All time high of $43.34 July 1st, 2014 PolyOne Corporation Page 9 2006 2014 YTD 2015 “Where we were” “Where we are” Target 1) Operating Income % Specialty: Global Color, Additives & Inks 1.7% 14.9% 12 – 16% Global Specialty Engineered Materials 1.1% 12.1% 12 – 16% Designed Structures & Solutions -- 7.6% 8 – 10% Performance Products & Solutions 5.5% 8.1% 9 – 12% Distribution 2.6% 6.2% 6 – 7.5% 2) Specialty Platform % of Operating Income 6.0% 65% 65 – 75% 3) ROIC* 5.0% 10.6% 15% 4) Adjusted EPS Growth N/A 37% Double Digit Expansion Proof of Performance & 2015 Goals *ROIC is defined as TTM adjusted OI divided by the sum of average debt and equity over a 5 quarter period PolyOne Corporation Page 10 32% Adjusted EPS CAGR from 2011 2015 EPS: $2.50 2011 EPS: $0.82 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 Growth PolyOne Corporation Page 11 Innovation Drives Earnings Growth *Percentage of Specialty Platform revenue from products introduced in last five years $20 $53 2006 2013 Research & Development Spending ($ millions) Specialty Platform Vitality Index Progression* 14% 31% 2006 2013 Specialty Platform Gross Margin % 20% 43% 2006 2013 Specialty Vitality Index Target ≥ 35% Vitality Products + 700 to 1000 bps PolyOne Corporation Page 12 Prototype Frame Opportunity Scale-up & Test Market Build Business Case Commercial Launch Phase 1 Phase 2 Phase 3 Phase 4 Phase 5 4 11 5 10 6 9 3 4 2 15 9 1 10 4 Breakthrough Platform Derivative A Rich Pipeline of Opportunity Number of Projects 25 14 19 17 18 93 Addressable Market ($ millions) TBD TBD $800 $450 $450 $1,700 PolyOne Corporation Page 13 Megatrends Aligned with Key End Markets Decreasing Dependence on Fossil Fuels Protecting the Environment Improving Health and Wellness Megatrend End Markets Globalizing and Localizing Health & Wellness Transportation Packaging Consumer PolyOne Corporation Page 14 60% 100% 20% 30% 40% 50% 60% 70% 80% 90% 100% 2008 2014 Pension Funding** As of September 30, 2014 Debt Maturities & Pension Funding – 9/30/14 Net Debt / EBITDA* = 1.7x $48 $317 $600 $0 $100 $200 $300 $400 $500 $600 $700 $800 2015 2020 2023 Debt Maturities As of September 30, 2014 ($ millions) Coupon Rates: 7.500% 7.375% 5.250% ** includes US-qualified pension plans only *TTM 9/30/2014 PolyOne Corporation Page 15 Free Cash Flow and Strong Balance Sheet Fund Investment / Shareholder Return Expanding our sales, marketing, and technical capabilities Targets that expand our: • Specialty offerings • End market presence • Geographic footprint • Operating Margin Synergy opportunities Adjacent material solutions Repurchased 1.5 million shares in Q3 2014 Repurchased 9.7 million shares since early 2013 10.3 million shares are available for repurchase under the current authorization Organic Growth Acquisitions Share Repurchases Dividends Investing in operational and LSS initiatives (including synergy capture) Manufacturing alignment $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 PolyOne Corporation Page 16 PolyOne Core Values Innovation Collaboration Excellence PolyOne Corporation Page 17 The New PolyOne: A Specialty Growth Company Why Invest In PolyOne?
Platform operating income mix percentage 2005Y* 2008Y* 2010Y* 2013Y Q3 2014 YTD Global Color, Additives and Inks $ 4.3 $ 28.1 $ 37.7 $ 104.0 $ 98.2 Global Specialty Engineered Materials 0.4 17.6 49.7 57.2 55.6 Designed Structures and Solutions - - - 33.4 37.2 Specialty Platform $ 4.7 $ 45.7 $ 87.4 $ 194.6 $ 191.0 Performance Products and Solutions 75.7 31.3 54.0 56.0 51.4 Distribution 19.5 28.1 42.0 63.3 53.2 Joint ventures 91.9 28.6 18.9 - - Corporate and eliminations (51.5) (425.1) (27.7) (82.4) (126.2) Operating income (loss) GAAP $ 140.3 $ (291.4) $ 174.6 $ 231.5 $ 169.4 Less: Corporate operating expense 51.5 425.1 27.7 82.4 126.2 Operating income excluding Corporate $ 191.8 $ 133.7 $ 202.3 $ 313.9 $ 295.6 Specialty platform operating mix percentage 2% 34% 43% 62% 65% * Historical results include the Resin and Specialty Coatings businesses within the Performance Products and Solutions segment.
https://www.avient.com/sites/default/files/2020-08/case-study-lightweight-garden-hose.pdf
GILMOUR® A Q U A A R M O R T M L I G H T W E I G H T H O S E • Lightweight • Improved kink resistance and flexibility • Soft yet durable solution for consumer appeal • Shelf differentiation • Drinking water safe • Met all requirements with a custom TPE solution, enabling Gilmour to produce a more compact hose about 50% lighter than standard PVC hoses • Incorporated custom colorants for brand consistency, and specialty additives for enhanced UV and abrasion resistance • Delivered a single-material solution for easier manufacturing, and supplied materials locally to align with customer’s “Made in the USA” brand • Provided regulatory and technical support to product development Customized Versaflex™ TPE KEY REQUIREMENTS WHY AVIENT?
https://www.avient.com/sites/default/files/2021-02/edwards-ballistic-panels-case-study.pdf
EDWARDS DESIGN & FABRICATION M O D U L A R M I L I T A R Y B A L L I S T I C S H E L T E R S • Blast and bullet resistance to protect soldiers and military assets in mortar pits, shelters, and guard towers • Lightweight for portability and quick deployment without heavy equipment • Specific colors required to provide visual cover in the field • Provided UL 752 Level 3 ballistic resistance, additional protection by layering panels • Reduced weight by 75% compared to steel, improved portability over concrete or sandbags • Enabled easy installation with common carpentry tools • Customized color formulations to meet needed camouflage without painting GlasArmor™ Ballistic Resistant Composite Panels KEY REQUIREMENTS WHY AVIENT?
https://www.avient.com/sites/default/files/2020-07/ISO 14001 - 14 March 2026.pdf
F-27, MIDC, Ranjangaon, Shirur, Pune, Maharashtra 412 220 India ISO 14001:2015 The Environmental Management System is applicable to: Certificate No: 55688 Certification Date: 15 March 2017 Effective Date: 09 March 2023 Expiration Date: 14 March 2026 Revision Date: 21 March 2023 Dominic Townsend, President DESIGN MANUFACTURE OF COLOR MASTER BATCHES, ADDITIVES CONCENTRATES AND SPECIALTY COMPOUNDS This certificate may be found on the ABS QE Website (www.abs-qe.com).
https://www.avient.com/sites/default/files/2020-07/ISO 45001 14 March 2026.pdf
F-27, MIDC, Ranjangaon, Shirur, Pune, Maharashtra 412 220 India ISO 45001:2018 The Occupational Health and Safety Management is applicable to: Certificate No: 55689 Certification Date: 15 March 2017 Effective Date: 09 March 2023 Expiration Date: 14 March 2026 Revision Date: 15 March 2023 Dominic Townsend, President DESIGN MANUFACTURE OF COLOR MASTER BATCHES, ADDITIVES CONCENTRATES AND SPECIALTY COMPOUNDS.
https://www.avient.com/sites/default/files/2021-04/versaflex-hc-bt218-biopharmaceutical-tubing-case-study.pdf
MEDICAL TUBING EXTRUDER B I O P H A R M A C E U T I C A L T U B I N G • Low leachables & extractables • Great tensile performance and kink resistance • Good thermal weldability • Excellent clarity and medical blue tint • ISO 10993-4 & 5, USP Class VI & Animal Derivative Free (ADF) • Supplied drop-in material replacement to overcome supply constraints of incumbent TPE • Offered a lower extractable profile than comparable materials in the market • Enabled easy material transition without changes in tooling or thermal welding machine settings • Formulated solution with proprietary additives to provide clarity and prevent yellowing after sterilization Versaflex™ HC BT218 Thermoplastic Elastomer KEY REQUIREMENTS WHY AVIENT?
https://www.avient.com/sites/default/files/2024-12/2024 Avient Executive Bios_George Inglis.pdf
These include positions in Assistant Corporate Corporate Controller; an ex-pat assignment in the UK supporting Avient’s Color business; Director of Finance for the Color, Additives & Inks segment; and, most recently, as Vice President of Internal Audit.
https://www.avient.com/sites/default/files/2022-12/15719637-22-AVIENT ESPAÑA SL-INGLES.pdf
Certificate Number: Certificate expiration date: Effective date: 31-10-2022 30-10-2025 Expiry date of previous cycle: 30-10-2022 31-10-2016 ES133794 Scope of certification: MANUFACTURING OF MASTERBATCHES, ADDITIVES AND COMPOUNDS FOR PIGMENTING THERMOPLASTIC MATERIALS USED IN FOOD INDUSTRY ISO 22000:2018 POLIGONO INDUSTRIAL EZCABARTE, C/H, Nº3 - 31194 - ORICAIN - NAVARRA - ESPAÑA AVIENT ESPAÑA, S.L.
https://www.avient.com/sites/default/files/2023-02/PH - 15701960 AVIENT ASSESSE ISO 14001.pdf
AVIENT BELGIUM 2, RUE MELVILLE WILSON 5330 ASSESSE- BELGIUM Bureau Veritas Certification France certify that the Management System of the above organization has been audited and found to be in accordance with the requirements of the management system standard detailed below: Standard ISO 14001 : 2015 Scope of certification DESIGN AND MANUFACTURE OF COLOUR AND ADDITIVE CONCENTRATES, THERMOPLASTIC RESINS AND SPECIALITY COMPOUNDS.
https://www.avient.com/sites/default/files/2023-12/Jeddah%2C Saudia Arabia ISO 14001.pdf
Limited PO Box 2137, Jeddah 22758 Saudi Arabia Has been assessed and found to meet the requirements of ISO 14001:2015 This certificate is valid for the following scope of operations: Production and Supply of Color and Additive Master Batches Authorised by: Stan Wright Director Date of Certificate Issue: 20 December 2022 Certificate Valid Until: 19 December 2025 Recertification audit before 20 November 2025.