https://www.avient.com/sites/default/files/resources/TRA%2520-%25202016%2520Annual%2520Report%2520for%252017%2520Tideman.pdf
lang=En&n=FD9B0E51-1
https://ec.ss.ec.gc.ca/auth/en/Services
General Information
Substance List
CAS RN Substance Name Releases Releases (Speciated VOCs) Disposals Recycling Unit
NA 01 Antimony (and its compounds) 0.0004 N/A N/A N/A tonnes
NA 02 Arsenic (and its compounds) 0.0007 N/A N/A N/A kg
103231 Bis(2ethylhexyl) adipate 0.0106 N/A N/A N/A tonnes
117817 Bis(2ethylhexyl) phthalate 0.0283 N/A N/A N/A tonnes
85687 Butyl benzyl phthalate 0.0008 N/A N/A N/A tonnes
NA 14 Zinc (and its compounds) 0.0000 N/A N/A 0.0002 tonnes
Applicable Programs
CAS RN Substance Name NPRI ON MOE TRA ON MOE Reg 127/01
First report for
this substance to
the ON MOE TRA
NA 01 Antimony (and its compounds) Yes
NA 02 Arsenic (and its compounds) Yes
103231 Bis(2ethylhexyl) adipate Yes
117817 Bis(2ethylhexyl) phthalate Yes
85687 Butyl benzyl phthalate Yes
NA 14 Zinc (and its compounds) Yes
Position: EHS Manager
Telephone: 5192150535
Email: brian.greer@polyone.com
Contact Type Certifying Official
Name: Najat Kamal
Position: EHSQ specialist
Telephone: 5148089920
Email: najat.kamal@polyone.com
Number of employees: 45
Activities for Which the 20,000Hour Employee
Threshold Does Not Apply:
None of the above
Activities Relevant to Reporting Dioxins,
Furans and Hexacholorobenzene:
None of the above
Activities Relevant to Reporting of Polycyclic
Aromatic Hydrocarbons (PAHs):
Wood preservation using creosote: No
Is this the first time the facility is reporting to
the NPRI (under current or past ownership):
Is the facility controlled by another Canadian
company or companies:
Did the facility report under other
environmental regulations or permits:
Is the facility required to report one or more
NPRI Part 4 substances (Criteria Air
Contaminants):
Was the facility shut down for more than one
week during the year:
Operating Schedule Days of the Week: Mon, Tue, Wed, Thu, Fri
Usual Number of Operating Hours per day: 24
Usual Daily Start Time (24h) (hh:mm): 00:00
General Information about the Substance Releases and Transfers of the Substance
CAS RN
Substance
Name
Was the substance
released onsite
The substance will be reported as the sum of
releases to all media (total of 1 tonne or less)
1 tonne or more of a Part 5 Substance
(Speciated VOC) was released to air
Antimony (and
its compounds)
NA 02
Arsenic (and its
103231
Bis(2ethylhexyl)
adipate
117817
Bis(2ethylhexyl)
85687
Butyl benzyl
NA 14
Zinc (and its
General Information about the Substance Disposals and Offsite Transfers for Recycling
CAS RN
Substance
Name
Was the substance disposed of (onsite or off
site), or transferred for treatment prior to final
disposal
Is the facility required to report on disposals of
tailings and waste rock for the selected
reporting period
Was the substance
transferred offsite for
recycling
Antimony
(and its
NA 02
Arsenic (and
its
103231
Bis(2
ethylhexyl)
adipate
117817
Bis(2
ethylhexyl)
85687
Butyl benzyl
NA 14
Zinc (and its
General Information about the Substance Nature of Activities
CAS RN Substance Name Manufacture the Substance Process the Substance Otherwise Use of the Substance
NA 01 Antimony (and its compounds) For onsite use/processing As a reactant As a byproduct
NA 02 Arsenic (and its compounds) For onsite use/processing As a reactant As a byproduct
103231 Bis(2ethylhexyl) adipate For onsite use/processing As a reactant As a byproduct
117817 Bis(2ethylhexyl) phthalate For onsite use/processing As a reactant As a byproduct
85687 Butyl benzyl phthalate For onsite use/processing As a reactant As a byproduct
NA 14 Zinc (and its compounds) For onsite use/processing As a reactant As a byproduct
Onsite Releases Releases to air
NA 02 Arsenic (and its compounds) Stack or Point Releases O Engineering Estimates 0.0000 kg
NA 14 Zinc (and its compounds) Stack or Point Releases O Engineering Estimates 0.0000 tonnes
Onsite Releases Releases to air Total
CAS RN Substance Name Total Releases to Air
NA 02 Arsenic (and its compounds) 0.0000 kg
NA 14 Zinc (and its compounds) 0.0000 tonnes
Onsite Releases Releases to land
NA 02 Arsenic (and its compounds) Other O Engineering Estimates 0.0007 kg
Onsite Releases Nature of Other Land Release
CAS RN Substance Name Nature of Other Land Release
NA 02 Arsenic (and its compounds) Landfill disposal
CAS RN Substance Name Nature of Other Land Release
Onsite Releases Releases to land Total
CAS RN Substance Name Total Releases to Land
NA 02 Arsenic (and its compounds) 0.0007 kg
Total Quantity Released (All Media)
NA 01 Antimony (and its compounds) Total Quantity Released O Engineering Estimates 0.0004 tonnes
103231 Bis(2ethylhexyl) adipate Total Quantity Released O Engineering Estimates 0.0106 tonnes
117817 Bis(2ethylhexyl) phthalate Total Quantity Released O Engineering Estimates 0.0283 tonnes
85687 Butyl benzyl phthalate Total Quantity Released O Engineering Estimates 0.0008 tonnes
Onsite Releases Total
CAS RN Substance Name Total releases
NA 02 Arsenic (and its compounds) 0.0007 kg
NA 14 Zinc (and its compounds) 0.0000 tonnes
Onsite Releases Quarterly Breakdown of Annual Releases
CAS RN Substance Name Quarter 1 Quarter 2 Quarter 3 Quarter 4
NA 01 Antimony (and its compounds) 25 25 25 25
NA 02 Arsenic (and its compounds) 25 25 25 25
103231 Bis(2ethylhexyl) adipate 25 25 25 25
117817 Bis(2ethylhexyl) phthalate 25 25 25 25
85687 Butyl benzyl phthalate 25 25 25 25
Onsite Releases Reasons for Changes in Quantities Released from Previous Year
CAS RN Substance Name Reasons for Changes in Quantities from Previous Year Comments
NA 01 Antimony (and its compounds) No significant change (i.e.
https://www.avient.com/sites/default/files/2022-02/Q4 2021 Avient Earnings Release_0.pdf
The Company does not provide reconciliations of forward-looking non-GAAP financial measures,
such as outlook for adjusted earnings per share, to the most comparable GAAP financial
measures on a forward-looking basis because the Company is unable to provide a meaningful or
accurate calculation or estimation of reconciling items and the information is not available without
unreasonable effort.
2) Tax adjustments include the net tax benefit/(expense) from one-time income tax items, adjustments to uncertain tax position reserves and
deferred income tax valuation allowances.
10
Attachment 4
Avient Corporation
Condensed Consolidated Balance Sheets (Unaudited)
(In millions)
Year Ended
December 31,
2021 2020
ASSETS
Current assets:
Cash and cash equivalents $ 601.2 $ 649.5
Accounts receivable, net 642.3 516.6
Inventories, net 461.1 327.5
Other current assets 128.1 108.5
Total current assets 1,832.7 1,602.1
Property, net 676.1 694.9
Goodwill 1,286.4 1,308.1
Intangible assets, net 925.2 1,008.5
Operating lease assets, net 74.1 80.9
Other non-current assets 208.4 176.0
Total assets $ 5,002.9 $ 4,870.5
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Short-term and current portion of long-term debt $ 8.6 $ 18.6
Accounts payable 553.9 471.7
Current operating lease obligations 24.2 25.1
Accrued expenses and other current liabilities 359.6 285.6
Total current liabilities 946.3 801.0
Non-current liabilities:
Long-term debt 1,850.3 1,854.0
Pension and other post-retirement benefits 100.0 115.0
Deferred income taxes 100.6 140.0
Non-current operating lease obligations 50.1 56.0
Other non-current liabilities 165.1 192.8
Total non-current liabilities 2,266.1 2,357.8
SHAREHOLDERS' EQUITY
Avient shareholders’ equity 1,774.7 1,697.1
Noncontrolling interest 15.8 14.6
Total equity 1,790.5 1,711.7
Total liabilities and equity $ 5,002.9 $ 4,870.5
11
Attachment 5
Avient Corporation
Condensed Consolidated Statements of Cash Flows (Unaudited)
(In millions)
Year Ended
December 31,
2021 2020
Operating activities
Net income $ 230.6 $ 133.4
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization 144.2 111.8
Accelerated depreciation 1.7 3.2
Share-based compensation expense 11.2 11.3
Changes in assets and liabilities, net of the effect of acquisitions:
Increase in accounts receivable (143.1) (4.6)
(Increase) decrease in inventories (139.5) 40.2
Increase in accounts payable 95.3 78.4
(Decrease) increase in pension and other post-retirement benefits (10.9) 30.7
Increase in post-acquisition earnout liabilities — 1.0
Increase (decrease) in accrued expenses and other assets and liabilities, net 44.3 (3.7)
Taxes paid on gain on divestiture — (142.0)
Payment of post-acquisition date earnout liability — (38.1)
Net cash provided by operating activities 233.8 221.6
Investing activities
Capital expenditures (100.6) (63.7)
Business acquisitions, net of cash acquired (47.6) (1,380.2)
Net proceeds from divestiture — 7.1
Other investing activities (2.0) 5.2
Net cash used by investing activities (150.2) (1,431.6)
Financing activities
Debt offering proceeds — 650.0
Purchase of common shares for treasury (4.2) (22.4)
Cash dividends paid (77.7) (71.3)
Repayment of long-term debt (18.5) (7.8)
Payments on withholding tax on share awards (10.7) (2.3)
Debt financing costs — (9.5)
Equity offering proceeds, net of underwriting discount and issuance costs — 496.1
Payment of acquisition date earnout liability — (50.8)
Other financing activities (3.5) —
Net cash (used) provided by financing activities (114.6) 982.0
Effect of exchange rate changes on cash (17.3) 12.8
Decrease in cash and cash equivalents (48.3) (215.2)
Cash and cash equivalents at beginning of year 649.5 864.7
Cash and cash equivalents at end of year $ 601.2 $ 649.5
12
Attachment 6
Avient Corporation
Business Segment Operations (Unaudited)
(In millions)
Operating income at the segment level does not include: special items as defined in Attachment 3; corporate general and
administration costs that are not allocated to segments; intersegment sales and profit eliminations; share-based compensation
costs; and certain other items that are not included in the measure of segment profit and loss that is reported to and reviewed by
the chief operating decision maker.
Three Months Ended
December 31,
Year Ended
December 31,
2021 2020 2021 2020
Sales:
Color, Additives and Inks $ 581.3 $ 525.8 $ 2,401.6 $ 1,502.9
Specialty Engineered Materials 228.2 190.6 918.9 708.8
Distribution 425.0 305.1 1,630.9 1,110.3
Corporate and eliminations (33.0) (24.5) (132.6) (79.9)
Sales $ 1,201.5 $ 997.0 $ 4,818.8 $ 3,242.1
Gross margin:
Color, Additives and Inks $ 164.5 $ 164.3 $ 727.5 $ 484.4
Specialty Engineered Materials 60.0 59.1 257.4 207.6
Distribution 36.5 32.4 155.8 124.0
Corporate and eliminations (7.9) (2.9) (41.1) (31.7)
Gross margin $ 253.1 $ 252.9 $ 1,099.6 $ 784.3
Selling and administrative expense:
Color, Additives and Inks $ 103.3 $ 106.8 $ 424.4 $ 303.6
Specialty Engineered Materials 31.2 28.7 125.4 113.2
Distribution 14.8 14.4 62.6 54.5
Corporate and eliminations 29.8 38.0 106.0 123.7
Selling and administrative expense $ 179.1 $ 187.9 $ 718.4 $ 595.0
Operating income:
Color, Additives and Inks $ 61.2 $ 57.5 $ 303.1 $ 180.8
Specialty Engineered Materials 28.8 30.4 132.0 94.4
Distribution 21.7 18.0 93.2 69.5
Corporate and eliminations (37.7) (40.9) (147.1) (155.4)
Operating income $ 74.0 $ 65.0 $ 381.2 $ 189.3
13
Attachment 7
Avient Corporation
Reconciliation of Non-GAAP Financial Measures (Unaudited)
(In millions, except per share data)
Senior management uses gross margin before special items and operating income before special items to assess performance
and allocate resources because senior management believes that these measures are useful in understanding current profitability
levels and how it may serve as a basis for future performance.
https://www.avient.com/sites/default/files/2021-10/avnt-q3-2021-news-release.pdf
The Company does not provide reconciliations of forward-looking non-GAAP financial measures,
such as outlook for adjusted earnings per share, to the most comparable GAAP financial
measures on a forward-looking basis because the Company is unable to provide a meaningful or
accurate calculation or estimation of reconciling items and the information is not available without
unreasonable effort.
2) Tax adjustments include the net tax benefit/(expense) from one-time income tax items, the set-up or reversal of uncertain tax position reserves
and deferred income tax valuation allowance adjustments.
10
Attachment 4
Avient Corporation
Condensed Consolidated Balance Sheets
(In millions)
(Unaudited)
September 30, 2021
December 31,
2020
ASSETS
Current assets:
Cash and cash equivalents $ 545.2 $ 649.5
Accounts receivable, net 703.0 516.6
Inventories, net 477.2 327.5
Other current assets 123.5 108.5
Total current assets 1,848.9 1,602.1
Property, net 669.6 694.9
Goodwill 1,293.9 1,308.1
Intangible assets, net 948.4 1,008.5
Operating lease assets, net 81.6 80.9
Other non-current assets 168.6 176.0
Total assets $ 5,011.0 $ 4,870.5
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Short-term and current portion of long-term debt $ 8.7 $ 18.6
Accounts payable 557.7 471.7
Current operating lease obligations 24.1 25.1
Accrued expenses and other current liabilities 371.3 285.6
Total current liabilities 961.8 801.0
Non-current liabilities:
Long-term debt 1,851.0 1,854.0
Pension and other post-retirement benefits 111.0 115.0
Non-current operating lease obligations 57.7 56.0
Other non-current liabilities 244.1 332.8
Total non-current liabilities 2,263.8 2,357.8
SHAREHOLDERS' EQUITY
Avient shareholders’ equity 1,768.8 1,697.1
Noncontrolling interest 16.6 14.6
Total equity 1,785.4 1,711.7
Total liabilities and equity $ 5,011.0 $ 4,870.5
11
Attachment 5
Avient Corporation
Condensed Consolidated Statements of Cash Flows (Unaudited)
(In millions)
Nine Months Ended
September 30,
2021 2020
Operating Activities
Net income $ 201.7 $ 58.6
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization 105.8 74.8
Accelerated depreciation and amortization 1.9 2.5
Share-based compensation expense 8.4 7.1
Changes in assets and liabilities, net of the effect of acquisitions:
Increase in accounts receivable (199.7) (12.7)
(Increase) decrease in inventories (156.2) 53.0
Increase in accounts payable 95.3 21.3
Decrease in pension and other post-retirement benefits (14.2) (14.4)
Increase in post-acquisition earnout liabilities — 2.5
Increase in accrued expenses and other assets and liabilities, net 67.0 56.1
Taxes paid on gain on divestiture — (142.0)
Payment of post-acquisition date earnout liability — (38.1)
Net cash provided by operating activities 110.0 68.7
Investing activities
Capital expenditures (62.7) (38.6)
Business acquisitions, net of cash acquired (47.6) (1,342.7)
Net proceeds from divestiture — 7.1
Other investing activities (2.0) 5.2
Net cash used by investing activities (112.3) (1,369.0)
Financing activities
Debt offering proceeds — 650.0
Purchase of common shares for treasury (4.2) (13.6)
Cash dividends paid (58.2) (52.8)
Repayment of long-term debt (16.5) (6.0)
Payments of withholding tax on share awards (9.1) (1.9)
Debt financing costs — (9.5)
Equity offering proceeds, net of underwriting discount and issuance costs — 496.1
Payment of acquisition date earnout liability — (50.8)
Other financing activities (3.5) —
Net cash (used) provided by financing activities (91.5) 1,011.5
Effect of exchange rate changes on cash (10.5) 1.4
Decrease in cash and cash equivalents (104.3) (287.4)
Cash and cash equivalents at beginning of year 649.5 864.7
Cash and cash equivalents at end of period $ 545.2 $ 577.3
12
Attachment 6
Avient Corporation
Business Segment Operations (Unaudited)
(In millions)
Operating income and earnings before interest, taxes, depreciation and amortization (EBITDA) at the segment level does not
include: special items as defined in Attachment 3; corporate general and administration costs that are not allocated to segments;
intersegment sales and profit eliminations; share-based compensation costs; and certain other items that are not included in the
measure of segment profit and loss that is reported to and reviewed by the chief operating decision maker.
Three Months Ended
September 30,
Nine Months Ended
September 30,
2021 2020 2021 2020
Sales:
Color, Additives and Inks $ 586.6 $ 493.8 $ 1,820.3 $ 977.1
Specialty Engineered Materials 233.6 174.1 690.7 518.2
Distribution 438.8 276.9 1,205.9 805.2
Corporate and eliminations (39.2) (20.3) (99.6) (55.4)
Sales $ 1,219.8 $ 924.5 $ 3,617.3 $ 2,245.1
Gross margin:
Color, Additives and Inks $ 172.1 $ 155.0 $ 563.0 $ 320.1
Specialty Engineered Materials 63.1 53.4 197.4 148.5
Distribution 39.9 30.8 119.3 91.6
Corporate and eliminations (19.7) (29.0) (33.2) (28.8)
Gross margin $ 255.4 $ 210.2 $ 846.5 $ 531.4
Selling and administrative expense:
Color, Additives and Inks $ 105.3 $ 104.5 $ 321.1 $ 196.8
Specialty Engineered Materials 31.4 28.7 94.2 84.5
Distribution 16.1 13.3 47.8 40.1
Corporate and eliminations 23.9 30.2 76.2 85.7
Selling and administrative expense $ 176.7 $ 176.7 $ 539.3 $ 407.1
Operating income:
Color, Additives and Inks $ 66.8 $ 50.5 $ 241.9 $ 123.3
Specialty Engineered Materials 31.7 24.7 103.2 64.0
Distribution 23.8 17.5 71.5 51.5
Corporate and eliminations (43.6) (59.2) (109.4) (114.5)
Operating income $ 78.7 $ 33.5 $ 307.2 $ 124.3
Earnings before interest, taxes, depreciation and
amortization (EBITDA):
Color, Additives and Inks $ 93.4 $ 76.8 $ 321.1 $ 171.3
Specialty Engineered Materials 39.6 32.2 127.0 86.7
Distribution 24.0 17.7 72.1 51.9
Corporate and eliminations (41.5) (56.7) (105.3) (108.3)
Other income, net 1.4 1.5 4.1 12.6
EBITDA $ 116.9 $ 71.5 $ 419.0 $ 214.2
13
Attachment 7
Avient Corporation
Reconciliation of Non-GAAP Financial Measures (Unaudited)
(In millions, except per share data)
Senior management uses gross margin before special items and operating income before special items to assess performance
and allocate resources because senior management believes that these measures are useful in understanding current profitability
levels and how it may serve as a basis for future performance.
https://www.avient.com/company/sustainability/sustainability-report/preserving-planet/waste
These efforts are in line with our commitment to sustainability and strengthen the health of our communities and operations worldwide.
Operation Clean Sweep companies greatly help to prevent plastics from making their way into the ocean, promoting safety, health and cleanliness for marine life.
https://www.avient.com/resource-center?document_type=59&document_subtype=0&industry=0&product_family=0&product_name=0&op=FILTER RESULTS&form_id=resource_filter_form&page=29
Trendwatch™: Medical Wearables + Digital Health - Webinar
What are the materials that will make next-generation wearable and digital health trends possible?
https://www.avient.com/resource-center?document_subtype=0&document_type=59&form_id=resource_filter_form&industry=0&op=FILTER RESULTS&product_family=0&product_name=0&page=29
Trendwatch™: Medical Wearables + Digital Health - Webinar
What are the materials that will make next-generation wearable and digital health trends possible?
https://www.avient.com/sites/default/files/resources/Gabelli%2520Conf%2520-%2520POL%2520IR%2520Presentation%2520wNon%2520GAAP%2520Reconciliation%252003%252026%252015.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.
S&P 500
All time high of
$43.34
July 1st, 2014
PolyOne Corporation Page 9
2006 2014 2015 Target
“Where we were” “Where we are” (Est. in 2012)
1) Operating Income %
Specialty:
Global Color, Additives & Inks 1.7% 14.7% 12 – 16%
Global Specialty Engineered
Materials 1.1% 12.1% 12 – 16%
Designed Structures & Solutions 1.4% (2012) 7.3% 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% 65% 65 – 75%
3) ROIC* 5.0% 11.3% 15%
4) Adjusted EPS Growth N/A 37% Double Digit
Expansion
*ROIC is defined as TTM adjusted OI divided by the sum of average debt and equity over a 5 quarter period
Proof of Performance & 2015 Goals
PolyOne Corporation Page 10
Continuing Earnings Growth
Double
Digit EPS
Expansion
Ongoing LSS
Programs
Incremental
Share
Buybacks
Mergers &
Acquisitions
Continued
Gross
Margin
Expansion
Mid Single
Digit
Revenue
Growth
Accelerated
Innovation &
Mix
Improvement
PolyOne Corporation Page 11
Innovation Drives Earnings Growth
*Percentage of Specialty Platform revenue from products introduced in last five years
$20
$53
2006 2014
Research & Development
Spending
($ millions)
Specialty Platform
Vitality Index Progression*
14%
27%
2006 2014
Specialty Platform
Gross Margin %
20%
44%
2006 2014
Specialty Vitality Index Target ≥ 35%
PolyOne Corporation Page 12
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 13
60%
94%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2008 2014
Pension Funding**
As of December 31, 2014
Debt Maturities & Pension Funding – 12/31/14
Net Debt / EBITDA* = 1.9x
$49
$317
$600
$0
$100
$200
$300
$400
$500
$600
$700
$800
2015 2020 2023
Debt Maturities
As of December 31, 2014
($ millions)
Coupon Rate: 7.500% 7.375% 5.250%
** includes US-qualified pension plans only *TTM 12/31/2014
PolyOne Corporation Page 14
Free Cash Flow and Strong Balance Sheet
Fund Investment / Shareholder Return
Expanding our sales,
marketing, and
technical capabilities
Investing in operational
and LSS initiatives
(including synergy
capture)
~75% of capital
expenditures fund
growth initiatives
Organic
Growth
Acquisitions
Share
Repurchases
Dividends
$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
Targets that expand
our:
• Specialty offerings
• End market
presence
• Geographic breadth
• Operating Margin
Synergy opportunities
Adjacent material
solutions
Repurchased 1.6
million shares in Q4
2014
Repurchased 11.3
million shares since
early 2013
8.7 million shares are
available for
repurchase under the
current authorization
PolyOne Corporation Page 15
PolyOne Core Values
Innovation
Collaboration
Excellence
PolyOne Corporation Page 16
The New PolyOne: A Specialty Growth Company
Why Invest In PolyOne?
Strong 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 17
Appendix
PolyOne Corporation Page 18
+25%
$262
$320
$200
$275
$350
2013 2014
Adjusted Operating Income
(in millions)
+22%
2014 Financial Highlights
All of our segments delivered both
operating income and margin
expansion during the year
Our specialty businesses
achieved record levels of profits
and profitability this year
Achieved 21st consecutive
quarter, or over five years, of
strong, double-digit adjusted EPS
growth
+37%
$1.31
$1.80
$1.00
$1.50
$2.00
2013 2014
Adjusted EPS
$195
$242
$150
$200
$250
2013 2014
Specialty Operating Income
(in millions)
PolyOne Corporation Page 19
Building &
7%
Electrical &
1%
31% Textiles
7%
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 2014 2015
Operating Income % of Sales
At a Glance
Global Color, Additives and Inks
2014 Revenues: $0.9 Billion Solutions
Expanding Profits 2014 Revenue by Industry Segment
14.7%
Target
36%
PolyOne Corporation Page 20
4% Building &
18%
Electrical &
16%
At a Glance
Global Specialty Engineered Materials
2014 Revenues: $0.6 Billion Solutions
2014 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 2014 2015
Operating Income % of Sales
Target
12.1%
33%
19%
PolyOne Corporation Page 21
2% Building &
23%
27%
30%
96%
At a Glance
Designed Structures and Solutions
Solutions 2014 Revenues: $0.6 Billion
Expanding Profits 2014 Revenue by Industry Segment
1.4%
5.6%
7.3%
8-10%
2012 2013 2014 2015
Operating Income % of Sales
Target
PolyOne Corporation Page 22
Building &
33%
5% Electrical &
1%
18%
16%
5.5%
6.9%
3.8% 3.6%
5.5%
4.3%
6.3%
7.2%
2006 2007 2008 2009 2010 2011 2012 2013 2014
Operating Income % of Sales
At a Glance
Performance Products and Solutions
Solutions
Expanding Profits
2014 Revenues: $0.8 Billion
9-12%
Target
2014 Revenue by Industry Segment
2015
7.7%
PolyOne Corporation Page 23
Building &
13%
Electrical &
23%
15%
25%
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 2014 2015
Operating Income % of Sales
15%
52%
2006 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
Key Suppliers 2014 Revenues: $1.1 Billion
ROIC* Expanding Profits
6.1%
Target
http://www.polyone.com/Pages/VariationRoot.aspx
PolyOne Corporation Page 24
2 lbs Plastic
=
3 lbs aluminum
or
8 lbs steel
or
27 lbs glass
33% less material by weight
than aluminum
75% less material by weight
than steel
93% less material by weight
than glass
Requires 91% less energy to
recycle a pound of plastic versus
a pound of paper
Source: SPI: Sustainability and the Plastics Industry
Plastics: Key to Future Sustainable Development
PolyOne Corporation Page 25
Commitment to Operational Excellence
81%
93%
2006 2014
16.2%
9.9%
2006 2014
On-Time Delivery
Working Capital % of Sales
5%
43%
2006 2014
Percent of Associates Trained in LSS
Four consecutive years – CFO Magazine
Best Working Capital Management in the
chemical industry
World’s Best Business
Process Excellence
Program in 2012*
103 trained Black Belts
247 trained Green Belts
127 trained Kaizen Leaders
World’s Best Start-up
Program for Lean Six Sigma
Deployment in 2009*
*Both awards received from International Quality and Productivity Center
PolyOne Corporation Page 26
Prototype Frame
Opportunity
Scale-up &
Test Market
Build
Business Case
Commercial
Launch
Phase
1
Phase
2
Phase
3
Phase
4
Phase
5
4
11
5
10
6
9
3 4 2
15
9
1
10
4
Breakthrough
Platform
Derivative
A Rich Pipeline of Opportunity
Number of Projects 25 14 19 17 18 93
Addressable Market
($ millions) TBD TBD $800 $450 $450 $1,700
PolyOne Corporation Page 27
Application Examples
PolyOne Corporation Page 28
$1.5 billion attractive, growing market
Additives improve performance and reduce cost
through light-weighting, reduced waste, faster
cycle times, and extended shelf life of finished
product
Aligned with megatrend of protecting the
environment:
Sustainability benefits include lower
package weight and improved recyclability
of package at end of use
Market Opportunity
Leading Global Supplier of Additives In Fast Growing PET Market
Shelf-life extension
Greater product
consistency
Recyclability and
reduced carbon
footprint
Color and Special
Effects
Weight reduction
Enhanced product
aesthetics
High heat resistance
4% 4%
8% 9% 9%
10%
11%
14%
Western
Europe
North
America
South
America
MEA Easter
Europe
Asia
Pacific
China India
PET 2008-13P CAGR
PET Bottling Technology
PolyOne Corporation Page 29
• Includes formulation and
consultative services to assist
manufacturers and brand owners in
positively identifying their finished
goods
• Protects brand equity & consumer
welfare
• Reduces exposure to unwarranted
recall expenses
• Secures supply chain integrity –
support for safe expansion into new
geographies
Authentication Technology
PolyOne Corporation Page 30
• Color harmonization across
15 unique color-and-polymer
combinations
• Eliminated need for multiple pre-
colored materials
• Reduced Land Rover’s working
capital
Range Rover Evoque Interior
PolyOne Corporation Page 31
• Reduced health and
environmental impact
• System cost reduction
• Radiation-shielding
performance
• Parts consolidation
• Design freedom
CT Scanner
PolyOne Corporation Page 32
Metal Replacement Solutions
• Replaces metal in LED lighting
• Extends LED durability and life
span eliminating hot spots
• Greater design flexibility with
fewer parts
• Weight reduction
• Simplifies manufacturing and
lowers total production cost
PolyOne Corporation Page 33
Next Generation Solar Charger
• Ginkgo Solar Tree charger utilizing our
unique reSound™ material
• reSound™ is a durable material
consisting of 50% bio-derived plastic
and 50% traditional petroleum-based
plastic
• Use of reSound™ reduced the carbon
footprint for this product by 35%
• reSound™ Is classified as a PolyOne
Sustainable SolutionSM PolyOne
Sustainable
SolutionSM
PolyOne Corporation Page 34
High-Barrier Packaging Containers
• Capability to extrude up to 13
layers
• Strong oxygen and moisture
vapor transmission protection
• Can be made symmetrical or
asymmetrical to meet
customized needs of broad
variety of applications
• Barrier protection and superior
organoleptic properties
PolyOne Corporation Page 35
Aerospace Applications
• Leading provider of specialty materials
for the aerospace industry
• Typical applications
Mil-spec aircraft windows, canopies,
windscreens, instrument panels,
wingtip lenses
Interior – gallery furnishings, tray
tables, arm rests, trim strips, joint/edge
coverings
• Benefits:
High impact strength
Resistant to UV rays
Flame and smoke compliance
Easy to clean with aggressive cleaners;
anti-microbial grades available
Range of sizes, thicknesses, colors, etc.
https://www.avient.com/investor-center/news/polyone-announces-first-quarter-2019-results
Special items include charges related to specific strategic initiatives or financial restructuring such as: consolidation of operations; debt extinguishment costs; costs incurred directly in relation to acquisitions or divestitures; employee separation costs resulting from personnel reduction programs, plant realignment costs, executive separation agreements; asset impairments; mark-to-market adjustments associated with actuarial gains and losses on pension and other post-retirement benefit plans; environmental remediation costs, fines, penalties and related insurance recoveries related to facilities no longer owned or closed in prior years; gains and losses on the divestiture of operating businesses, joint ventures and equity investments; gains and losses on facility or property sales or disposals; results of litigation, fines or penalties, where such litigation (or action relating to the fines or penalties) arose prior to the commencement of the performance period; one-time, non-recurring items; and the effect of changes in accounting principles or other such laws or provisions affecting reported results.
Operating income at the segment level does not include: special items as defined in Attachment 3; corporate general and administration costs that are not allocated to segments; intersegment sales and profit eliminations; share-based compensation costs; and certain other items that are not included in the measure of segment profit and loss that is reported to and reviewed by the chief operating decision maker.
Senior management uses gross margin before special items and operating income before special items to assess performance and allocate resources because senior management believes that these measures are useful in understanding current profitability levels and how it may serve as a basis for future performance.
https://www.avient.com/sites/default/files/2023-09/SEM Services Capabilities Overview Brochure.pdf
This enables us to
evaluate how different materials perform and to
establish best practice processing parameters.
Material Data Sets
• A number of material characterization data sets
are available in .udb, moldex 3D, xChange data
cards, and SIPOE format
Mold Filling Simulation (see examples below)
• Serves to validate part design (e.g., gate location,
fill/pack/warp/cool) & material solution
• Evaluates component design viability with
preferred Avient material solution
• Fiber analysis determines fiber orientation
and length
• Predicts part quality and manufacturability
(shrink, warp, weld line location)
FILLING PART QUALITYFIBER ORIENTATION
Finite Element Analysis (FEA)
• Virtually simulates how an application will perform in real-world conditions with a high
level of precision
• Able to represent a variety of problems, test methods, models and outputs to evaluate the design,
process and material combination for validation or optimization
• Dynamic
- Acceleration
- Impact
- Break/no break
- Transmitted force
- Energy absorption
• Thermal Mechanical
- Temperature Computational Fluid Dynamics (CFD)
- Heat path
- Dominant heat transfer
- Temperature mapping
- Coupling with mechanical simulations
FEA Simulation Capabilities
• Static
- Displacement/rotations
- Stress and strains
- Contact pressure
- Reaction forces/moments
- Factors of safety
• Vibration
- Eigen frequencies
- Harmonic response
○ Harmonic
displacement,
acceleration and stress
Software Used
• Autodesk Moldflow
• Digimat
• Simulia/Abaqus
• MSC Cradle
• CAD/CAE
- MSC Apex
- SolidWorks
Failure Mode Effect Analysis (FMEA) Support
By leveraging mold filling simulation,
multiphysics simulation, and the understanding
of the link between design, process and material,
we can help inform your decision-making
process for product development.
ONSITE TECHNICAL SUPPORT
The product development process does not end with design and testing.
https://www.avient.com/sites/default/files/2023-05/SEM Services Capabilities Overview Brochure.pdf
This enables us to
evaluate how different materials perform and to
establish best practice processing parameters.
Material Data Sets
• A number of material characterization data sets
are available in .udb, moldex 3D, and SIMPOE
format
Mold Filling Simulation (see examples below)
• Serves to validate part design (e.g., gate location,
fill/pack/warp/cool) & material solution
• Evaluates component design viability with
preferred Avient material solution
• Fiber analysis determines fiber orientation
and length
• Predicts part quality and manufacturability
(shrink, warp, weld line location)
FILLING PART QUALITYFIBER ORIENTATION
Finite Element Analysis (FEA)
• Virtually simulates how an application will perform in real-world conditions with a high
level of precision
• Able to represent a variety of problems, test methods, models and outputs to evaluate the design,
process and material combination for validation or optimization
FEA Simulation Capabilities
• Static
- Displacement/rotations
- Stress and strains
- Contact pressure
- Reaction forces/moments
- Factors of safety
• Vibration
- Eigen frequencies
- Harmonic response
○ Harmonic displacement,
acceleration and stress
Software Used
• Autodesk Moldflow
• Simulia/Abaqus
• MSC Cradle
• CAD/CAE
- MSC Apex
- SolidWorks
• Failure mode effect analysis (FMEA) support
By leveraging mold filling simulation, data software,
and physical simulation capabilities, we can help
inform your decision-making process.
Dynamic
- Acceleration
- Impact
- Break/no break
- Transmitted force
- Energy absorption
• Thermal Mechanical
- Temperature
- Heat bath
- Dominant heat transfer
- Temperature mapping
- Coupling with mechanical simulations
ONSITE TECHNICAL SUPPORT
The product development process does not end with design and testing.