https://www.avient.com/sites/default/files/2021-10/microbial-susceptibility-of-various-polymers-and-evaluation.pdf
To prepare samples with an active ingredient, a linear low-density poly(ethylene) masterbatch “AMPE 143101” 2 ZANDER ET AL.
The loading of ZPT was reduced from 1500 to 1250, and 750 ppm, and a blue tint colorant masterbatch was added at two levels, 3% and 6% by weight of the final compound.
Markarian, Addit.
https://www.avient.com/other-plastics-liquid-colorants-and-additives-legislation
https://www.avient.com/investor-center/news/polyone-announces-pricing-650-million-575-senior-notes-due-2025
intends to use the net proceeds from the offering to finance, in part, its pending acquisitions of Clariant AG's global masterbatch business (the "Clariant masterbatch acquisition") and Clariant Chemicals (India) Limited's masterbatch business (collectively, the "acquisitions").
The notes will be subject to a "special mandatory redemption" in the event that (i) the Clariant masterbatch acquisition is not consummated on or prior to
the purchase agreement is terminated, other than in connection with the consummation of the Clariant masterbatch acquisition.
https://www.avient.com/investor-center/news/polyone-announces-commencement-650-million-senior-notes-offering
intends to use the net proceeds from the offering to finance, in part, its pending acquisitions of Clariant AG's global masterbatch business (the "Clariant masterbatch acquisition") and Clariant Chemicals (India) Limited's masterbatch business (collectively, the "acquisitions").
The notes will be subject to a "special mandatory redemption" in the event that (i) the Clariant masterbatch acquisition is not consummated on or prior to
the purchase agreement is terminated, other than in connection with the consummation of the Clariant masterbatch acquisition.
https://www.avient.com/sites/default/files/2020-11/recycle-value-chain-black-pkg_0.pdf
What is Classed as Recycled Content Infographic_Select GLOSSARY OF TERMS POST- CONSUMER RECYCLE (PCR) TRADITIONAL BLACK MASTERBATCH AVIENT ONCOLOR™ IR SORTABLE BLACK MASTER- BATCH RETAIL/ CONSUMER RECLAIMER LANDFILL MATERIAL MANUFACTURER RECYCLE VALUE CHAIN BLACK PACKAGING Material Manufacturer - Raw material suppliers or processors who produce materials ready for manufacturing Masterbatch - A solid or liquid additive used for coloring plastics Retail/Consumer - End user Reclaimer - Local recycling center for consumer goods Post-Consumer Recycle (PCR) - Materials derived from polymers reclaimed at the end of their lifecycle that have been through waste treatment Landfill - Infrastructure with highly engineered containment systems that act as a safe and permanent repository for waste material that cannot be reused or recycled
https://www.avient.com/sites/default/files/2023-07/Terms and Conditions of Sale for China - August 2023.pdf
Any additional, different or other terms and/or conditions contained in any purchase order, document, website or other communication by or from Buyer are hereby objected to and rejected by Seller.
In the event of Buyer’s breach or failure to perform, Seller shall be entitled to (but is not required to) recover from Buyer, in addition to any other damages caused by such action: (i) in the case of Products produced specifically for Buyer or which reasonably cannot be resold by Seller to a third party, the price of such Products as quoted in Seller’s order confirmation; or (ii) in the case of Products which can be resold by Seller, damages equal to fifty percent (50%) of the price for the Products as quoted in Seller’s order confirmation, as liquidated damages. 9.
No modification or addition to the contract shall occur by the acknowledgment or acceptance by Seller of a purchase order, acknowledgment, release or other form submitted by Buyer containing additional or different terms or conditions. 17.
https://www.avient.com/sites/default/files/2024-12/Terms and Conditions of Sale for Taiwan %28English and Chinese Translation%29.pdf
Any additional, different or other terms and/or conditions contained in any purchase order, document, website or other communication by or from Buyer are hereby objected to and rejected by Seller.
In the event of Buyer’s breach or failure to perform, Seller shall be entitled to (but is not required to) recover from Buyer, in addition to any other damages caused by such action: (i) in the case of Products produced specifically for Buyer or which reasonably cannot be resold by Seller to a third party, the price of such Products as quoted in Seller’s order confirmation; or (ii) in the case of Products which can be resold by Seller, damages equal to fifty percent (50%) of the price for the Products as quoted in Seller’s order confirmation, as liquidated damages. 8.
No modification or addition to the contract shall occur by the acknowledgment or acceptance by Seller of a purchase order, acknowledgment, release or other form submitted by Buyer containing additional or different terms or conditions. 19.
https://www.avient.com/sites/default/files/2024-12/Terms and Conditions of Sale for Colombia %28English and Spanish Translation%29.pdf
Any additional, different or other terms and/or conditions contained in any purchase order, document, website or other communication by or from Buyer are hereby objected to and rejected by Seller.
El Comprador estará obligado a aceptar los Productos y a pagar la such Products as quoted in Seller’s order confirmation; or (ii) in the case of Products which can be resold by Seller, damages equal to fifty percent (50%) of the price for the Products as quoted in Seller’s order confirmation, as liquidated damages. 9.
No modification or addition to the contract shall occur by the acknowledgment or acceptance by Seller of a purchase order, acknowledgment, release or other form submitted by Buyer containing additional or different terms or conditions. 20.
https://www.avient.com/sites/default/files/2021-12/MagIQ Nonwoven Electret for HEPA Application Bulletin.pdf
MagIQ™ Nonwoven Electret Additives for High-efficiency Particulate Air (HEPA) Filters The nonwoven electret additives are necessary for the manufacture of polypropylene meltblown nonwoven, used to make fresh air system filters with long-lasting filtration properties.
This requires the addition of a specific additive to the masterbatch prior to the meltblown stage, followed by a process known as hydro electret charging.
By introducing additives with charge storage properties, “charge traps” are created.
https://www.avient.com/sites/default/files/2020-03/Global_High_Yield_%26_Leverage_Conference %281%29.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.
Leverage PolyOne’s global reach Phase 1 Phase 2 Phase 3 18-20% operating margins Invest in commercial resources I N V E S T - T O - G R O W P R O O F O F P E R F O R M A N C E PolyOne Corporation 24 Commercial Resources Operating Income ($ in millions) Operating Margins 256 309 At Acquisition Today $36 $100 At Acquisition Today 9% 19% At Acquisition Today Established Acquisitions (> 7 years) + 20% + 165% + 1000 bps CLARIANT MASTERBATCH ACQUISITION DRIVES NEXT LEVEL SPECIALTY TRANSFORMATION ACCELER ATING GR OWTH WITH SUSTAINABLE SOLUTIONS T R A N S F O R M A T I O N H E A D L I N E S PolyOne Corporation 26 F I T W I T H F O U R P I L L A R S T R A T E G Y PolyOne Corporation 27 Specialization • Innovation-led organization with heavy emphasis on R&D • World-class expertise in color formulation • Strong presence in specialty end markets including Consumer, Packaging and Healthcare Globalization • Diverse geographic portfolio with an established presence in every major region • Expands PolyOne’s ability to serve customers in key growth areas including India, China and Southeast Asia Operational Excellence • Extensive manufacturing footprint with 46 facilities • Organizational focus on optimizing supply chain to better serve customers • Color design expertise Commercial Excellence • Value-focused salesforce with vast experience marketing and commercializing specialty technologies • Diverse customer portfolio with established OEM’s People Experienced and talented associates with a winning mentality E N D M A R K E T T R A N S F O R M A T I O N PolyOne Corporation 28 Building & Construction 5% 2006 2019E PF* 4% 12% 10% 18% 8% 20% 2006 2019E PF* Healthcare Consumer Packaging 50% 22% High Growth End Markets Percentage of Total Revenue 38% * 2019E Pro Forma for PP&S Divestiture and Clariant Masterbatch business E N D M A R K E T T R A N S F O R M A T I O N PolyOne Corporation 29 Packaging 8% Building & Construction 38% Wire & Cable 11% Industrial 10% Electrical & Electronic 7% 2006 2019E PF* Healthcare 4% Transportation 12% Consumer 18% Building & Construction 5% Wire & Cable 6% Industrial 12% Electrical & Electronic 5% Appliance 3% Textiles 6% Transportation 13% Healthcare 12% Packaging 20% Consumer 10% * 2019E Pro Forma for PP&S Divestiture and Clariant Masterbatch business C O M P L E M E N T A R Y G E O G R A P H I C P R E S E N C E PolyOne Corporation 30 United States 38% Europe 33% Asia 19% Canada 4% Latin America 6% United States 22% Europe & Middle East 48% Asia 23% Canada 1% Latin America 6% Color & Engineered Materials Clariant Masterbatch Business Net Sales by Geographic Region United States 31% Europe & Middle East 39% Asia 21% Canada 3% Latin America 6% Pro Forma Color & Engineered Materials U N I F I E D F O C U S O N S U S T A I N A B I L I T Y PolyOne Corporation 31 2006 - 2013 2013 – 2019 PEO PLE PRO D U C TS PLA N ET PER FO R M A N C E PolyOne Clariant Masterbatch Business • Building mini-recycling plants to facilitate customer projects on design for recycling - CycleWorks • Uses packaging additives & colorants to improve recyclability and enhance automated sorting • Manufactures oxygen scavengers to extend shelf-life of perishable items and reduce material requirements • Combines UV-blocking additive colorants & other barriers to prevent spoilage and waste • Offers spin-dyeing solutions that use significantly less water than traditional methods, allowing for sustainable coloration of textiles • Produces infrared absorbing additives that reduce energy requirements for bottle manufacturing ($ in millions) PolyOne (Continuing Operations) Clariant Color & Additive Masterbatch Business Synergies New PolyOne 2019 Total Sales $2,863 $1,150 $4,013 2019 Adjusted EBITDA $309 $130 $60 $499 % Margin 10.8% 11.3% 12.4% 2019 CapEx $68 $85 % Sales 2.4% 2.1% 2019 Free Cash Flow $161 $250 2019 Adjusted EPS $1.69 $2.22 2019 PF Adjusted EPS $1.69 $2.54 P O L Y O N E + C L A R I A N T M A S T E R B A T C H B U S I N E S S PolyOne Corporation 32 (1) Excludes step-up of depreciation & amortization related to purchase accounting of transaction (1) $0.85/share O V E R 8 5 % O F A D J U S T E D E B I T D A F R O M S P E C I A L T Y PolyOne Corporation 33 46% 66% 0% 20% 40% 60% 80% 100% 2005 2010 2015 2019E PF % o f A d ju st e d E B IT D A * JV's Performance Products & Solutions Distribution Specialty 7% 87% * Adjusted EBITDA is EBITDA excluding corporate costs and special items ** 2019E Pro Forma for PP&S Divestiture and Clariant Masterbatch business acquisition with synergies Specialty EBITDA $14M $117M $273M $500M ** T R A N S A C T I O N O V E R V I E W • Expected mid-2020, subject to regulatory approvals and customary closing conditions Closing Conditions / Timing • Committed financing in place • Permanent financing to be combination of available cash on-hand, new debt and equity component to limit leverage • Equity issuance of $500MM • Target net leverage below 3.5x, 3.1x synergized PolyOne Corporation 36 • $1.45 B net purchase price • Represents 11.1x adjusted EBITDA (excluding synergies), 7.6x adjusted EBITDA (including synergies) • Pre-tax synergies of $60MM expected to be fully realized by the end of 2023 • Synergies realized from sourcing, operational, technology / commercial, and general administrative Transaction Value Synergies Financing Estimated Synergy Breakdown $60MM • Expect EBITDA synergies of $60MM – Proven integration expertise with a decade of acquisition experience – Administrative synergies reflect reduction of duplicative internal and third-party costs • Run rate synergies of $20MM by the end of Year 1 with $60MM achieved by the end of Year 3 • Significant additional opportunity for geographical expansion – Clariant Masterbatch business has complementary regional presence in key growth areas including India & Southeast Asia • Opportunity to accelerate growth with a combined portfolio of innovative solutions aligned with sustainability megatrends Sourcing 40% Operational 30% Administrative 30% PolyOne Corporation 37 S I G N I F I C A N T S Y N E R G Y O P P O R T U N I T I E S $450 $600 $624 $743 2019 2020 2021 2022 2023 2024 2025 2026 A T T R A C T I V E F I N A N C I N G S T R U C T U R E Attractive Debt Maturity Profile Existing Revolver Existing Senior Notes Existing Term Loan B New Debt Financing Financing Summary Terms on New Debt • $465 million of cash from the balance sheet expected to fund a portion of the purchase price • Bridge financing for remainder fully committed from Citi, Morgan Stanley and Wells Fargo • Permanent financing expected to include a combination of long-term debt and new equity • The timing of the permanent financing is subject to a number of factors, including, but not limited to, market conditions • PolyOne is committed to preserving a strong balance sheet – Target net leverage at close below 3.5x, excluding synergies • Pro forma capital structure positions PolyOne with flexibility to pursue continued growth strategy • New financing expected to have same or better covenant package than existing capital structure • Capital structure would be “covenant lite” Capital Policy • Transaction in line with PolyOne’s disciplined capital allocation policy • Existing PolyOne dividend policy to be maintained • Focus on deleveraging in the near term 2028+ PolyOne Corporation 38 PolyOne Corporation 37 $0.16 $0.20 $0.24 $0.32 $0.40 $0.48 $0.54 $0.70 $0.78 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Cumulative Share Repurchases (In millions) $0 $150 $300 $450 $600 $750 $900 2011 2012 2013 2014 2015 2016 2017 2018 2019 $917M R E T U R N I N G C A S H T O S H A R E H O L D E R S O V E R $ 1 . 2 B I L L I O N S I N C E 2 0 1 1 PolyOne Corporation Increasing Annual Dividend 38 $0.81 PolyOne Corporation 39 W H Y I N V E S T I N P O L Y O N E ?
Service:�The Timeless differentiator Talent development IQ DESIGN LSS CUSTOMER FIRST Innovating with PolyOne COLOR, ADDITIVES & INKS Color, Additives & Inks Specialty Engineered Materials Specialty Engineered Materials DISTRIBUTION Overview of RAW MATERIAL PURCHASES Target end markets & �application examples Slide Number 52 Slide Number 53 Slide Number 54 Slide Number 55 Slide Number 56 Slide Number 57 Slide Number 58 Slide Number 59 Slide Number 60 Slide Number 61 Slide Number 62 Slide Number 63 Slide Number 64 Slide Number 65