https://www.avient.com/sites/default/files/2024-06/CM Europe Ltd Modern_Slavery_Statement - 2024 V4.pdf
Modern Slavery Template Statement (HEPA)
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ColorMatrix Europe Limited - Modern Slavery and Human Trafficking Statement
This statement has been published in accordance with section 54(1) of the Modern Slavery Act 2015 and constitutes the
modern slavery and human trafficking statement of ColorMatrix Europe Limited (“ColorMatrix”) and covers the 2023
financial year.
During 2023 we continued to work with our key supplies in order to clarify our expectations regarding their compliance with the Modern
Slavery Act 2015 and any other applicable anti-slavery laws.
https://www.avient.com/sites/default/files/resources/IR_Deck_11.4.19.pdf
V I S I O N
PolyOne Corporation 4
To be the world’s
premier provider of
specialized polymer
materials, services and
solutions
C O R E
V A L U E S
P E R S O N A L
V A L U E S
Honesty IntegrityRespect
Operational
Excellence
Commercial
Excellence
Specialization
Globalization
Collaboration ExcellenceInnovation
To be the world’s
premier provider of
specialized polymer
materials, services
and solutions
S A F E T Y F I R S T
PolyOne Corporation 5
Injuries per 100 Workers
Spartech
Acquisition
1.3
1.1 1.1
0.85
0.65
0.57
0.54
0.97
0.84
0.74 0.74
0.69
0.51
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
PolyOne Corporation 6
P O L Y O N E
P R O F O R M A 2 0 1 8 R E V E N U E | $ 2 . 9 B I L L I O N *
Segment End Market Geography
15% Healthcare
Wire & Cable
Building &
Construction
Electrical &
Textiles
Color
Additives
& Inks
34%
Distribution
41%
Specialty
Engineered
Materials
25%
United States
54% Europe
20%
Latin
America
10%
*Pro Forma excluding PP&S and including Fiber-Line
PolyOne Corporation 204
P R O O F O F PER FO R MA N C E
C O N S E C U T I V E
Y E A R S
10
A D J U S T E D E P S E X P A N S I O N
$1.51
$1.61
S U S T A I N A B L E P A T H T O D O U B L E - D I G I T E P S G R O W T H
PolyOne Corporation 8
P E O P L E P R O D U C T S P L A N E T P E R F O R M A N C E
Double digit
annual EPS
growth
Expand specialty portfolio
with strategic acquisitions
Innovate and develop new
technologies and services
Repurchase 600K-1M
shares annually
Increase commercial
resources 5-7% annually
Double acquired
company margins
Enhance efficiencies
through Lean Six Sigma
and commercial excellence
531
710130
164
504
663
R&D / Technical Marketing Sales
PolyOne Corporation 9
Increased commercial headcount
+ 34%
+ 26%
+ 32%
I N V E S T M E N T I N COMMERCIAL RESOURCES D R I V I N G G R O W T H
Sustained revenue increases led
by organic business
$2.9 $2.9
$3.2
$3.5
2015 2016 2017 2018
Total
+ 9%
Organic
+ 5%
Revenue in billions of $
Total
+ 10%
Organic
+ 7%
Lead
Specialists
T H E E V O L V I N G C U S T O M E R R E L A T I O N S H I P
PolyOne Corporation 10
Expanded Path
Traditional Path
Strategic Accounts/
Field Sales
Business
Development
Customer
Service
Web and Social
Media
Inside Sales
PolyOne Corporation 11
Investments in digital and dedicated inside sales to
improve customer experience
110% increase in leads (from 6,000 to 12,700) driven
by website, phone, and online chat
EXPANDED PATH
A D D I N G C U S T O M E R T O U C H P O I N T S
4
24
Inside sellers
$11M
$109M
Inside sales/digital revenue
A L I G N I N G W I T H T R E N D S F O R G R O W T H
T R A N S P O R T A T I O N P A C K A G I N G H E A L T H C A R E C O N S U M E R
PolyOne Corporation 12
Facilitate
alternative
energy
solutions
Light-
weighting
Reduce
packaging
materials
Improve
recyclability
Reduce
spread of
infection
I N N O V A T I O N
PolyOne Corporation 13
Customization
55%
M&A
30%
Innovation
Pipeline
Innovation comes from Research & Development Spend
($ millions)
Vitality Index
% of sales from products launched last 5 years
35%
2006 2018
$20
$56
2006 2018
Transformational
Opportunity for Growth
Through M&A
Adjacent
Opportunity for
Growth Through New
Product Pipeline
Core
Customization
3 H O R I Z O N S O F D E V E L O P M E N T
PolyOne Corporation 14
Incremental
development
from existing
base of
technology
New development
adjacent to current
New technology
development
outside of and with
our current base
Service adjacent
markets and
Create new
markets, target
new customer
needs
Service existing
markets and
Market
Technical
I N N O V A T I O N
Non-Halogen Flame
Retardants
Barrier Technologies
Fiber Colorants
Advanced Composites
Thermoplastic Elastomers
Gordon Composites/
Polystrand – Composites
GLS – Thermoplastic Elastomers
ColorMatrix – Liquid Color & Additives
PlastiComp
Fiber-Line
I N N O V A T I O N S P O T L I G H T :
C O M P O S I T E S
PolyOne Corporation 15
C O M P O S I T E S R E F R E S H E R
PolyOne Corporation 16
Polymer
Composite
Strength
Design Flexibility
Continuous
Fiber
Thermoset
Short Glass
Fiber
Thermoplastics
Continuous Fiber
Long Glass Fiber
Thermoplastics
S T R A T E G I C I N V E S T M E N T H I S T O R Y
Acquired
Polystrand
Installed LFT
production
Avon Lake
Acquired
Gordon
Thermoplastic Composites
Long Fiber Reinforced Thermoplastics
Continuous Fiber Thermosets
Long Fiber
Thermoplastic
(LFT)
Technology
Installed LFT
production
Barbastro,
Spain
Acquired
Glasforms
Long Fiber Reinforced Thermoplastics
Continuous Fiber Thermosets
2012 2015 20162009 2011
Acquired
PlastiComp,
specialty LFT
producer
2018
PolyOne Corporation
Acquired
Fiber-Line,
specialty
fiber
processor
17
C O M P O S I T E S I N T R A N S P O R T A T I O N
PolyOne Corporation 18
W A T E R C R A F TR A I L H E A V Y T R U C K
Bulkheads and Transoms
Ceilings and Hatches
Doors and Cabinetry
Flooring
Door Panels
Side Walls
Flooring & Side Panels
Aerodynamic Fairings
Seat and Bunk
Reinforcements
P O L Y O N E A P P L I C A T I O N S I N F I B E R O P T I C C A B L E S
PolyOne Corporation 19
1.
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 23
Commercial
Resources
Operating
Income
($ in millions)
Operating
Margins
243
340
$36
$96
20%
Established Acquisitions
(> 7 years)
+ 40% + 165% + 900 bps
I N V E S T - T O - G R O W D R I V I N G T H E F U T U R E
PolyOne Corporation 24
Commercial
Resources
Operating
Income
($ in millions)
Operating
Margins
138
181
251
$23 $25
$70
7% 8%
18-20%
Recent Acquisitions
PolyOne Corporation 25
Average
Company Size
# of
Possibilities
Rationale
250
• Local to regional footprint
• Niche technology focus
• Concentrated customer base
$50M–$200M 150
• Regional to global footprint
• 1–3 specialty technologies
• Diversified customer base
>$200M 30
• Global footprint with local service
• Diverse specialty technologies
• Highly diversified customer &
market portfolio
S T R O N G P I P E L I N E
D R I V E N B Y F R A G M E N T E D M A R K E T
$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
YTD
$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
26
$0.81
PolyOne Corporation 27
W H Y I N V E S T I N P O L Y O N E ?
T H E N E W P O L Y O N E : A S P E C I A L T Y G R O W T H C O M P A N Y
Growing leadership position in attractive markets
Innovation, technology and service are differentiators
Capital management is a strength: Record-setting cash generation
to continue for years
Expand ROIC while increasing invested capital
Proven acquisition strategy with robust pipeline
Commercial investments are fueling momentum and generating
organic growth
SERVICE:
T H E T I M E L E S S
D I F F E R E N T I A T O R
PolyOne Corporation 28
T A L E N T D E V E L O P M E N T
PolyOne Corporation 29
Leadership Program Participants
2012
2013
2015
47
86
2016
125
169
412
Campus Hires
2008
2011
2017
25
47
PolyOne LSS Blackbelts
2008
2011
67
247
147
2018 141
A U N I Q U E C U S T O M E R E X P E R I E N C E
Industrial
Design
IQ DESIGN LABS
PolyOne Corporation 30
Material
& Color
Expertise
Manufacturing
Expertise
3
14
Industrial designers
$0
$10M
$4M
$80M
Opportunity funnel New business revenue
LSS CUSTOMER FIRST
PolyOne Corporation 31
Customer Projects
Enables sales growth by building more intimate
customer relationships, giving us insight to customers’
needs, with a service that is not easily replicated
2 104
3 D P R I N T I N G
B R I N G I N G N E W I D E A S T O L I F E
PolyOne Corporation 32
Enables validation of fit and function
Shortens design cycle and time to market
Avoids tooling rework
Drives innovation
Delivers substantial customer value
PolyOne Corporation 33
From concept to production
99.9%
Reduction in
turnaround time
Traditional Timeline
up to 24 weeks
PolyOne ColorMatrix
Select™
6 hours
Innovative system for processors and OEMs to develop colors in real time
Complete system that provides customers with the freedom to match,
prototype and produce color entirely within their own facility
C O L O R M A T R I X S E L E C T ™
“Being able to create color and produce parts in 1 day is unheard of in this industry”
-CEO, Industry Leader
I N N O V A T I N G W I T H P O L Y O N E
PolyOne Corporation 34
SEGMENT HIGHLIGHTS
C O L O R , A D D I T I V E S & I N K S
E N D M A R K E T S & S O L U T I O N S
PolyOne Corporation 35
Solid
Colorants
Performance
Screen
Printing Inks
Liquid
Colorants
28% Industrial
Textiles
Building & Construction
10%
Appliances
Electrical &
Electronic 1%
Operating Income & MarginRevenue by Region
C O L O R , A D D I T I V E S & I N K S
2 0 1 8 R E V E N U E | O V E R $ 1 B I L L I O N
$4
$25
$104
$159
0.9%
5.5%
12.2%
15.1%
8.0%
10.0%
12.0%
14.0%
16.0%
20
30
40
50
60
70
80
100
110
120
130
140
150
160
170
PolyOne Corporation 36
Europe
35%
United
States
45%
1%
Mexico
South
America
S P E C I A L T Y E N G I N E E R E D M A T E R I A L S
E N D M A R K E T S & S O L U T I O N S *
PolyOne Corporation 37
Engineered
Formulations
Advanced
Thermoplastic
Elastomers
22%
16%
9%
7%
Building &
Construction 4%
Electrical &
Electronics
16%
*Pro Forma including Fiber-Line
S P E C I A L T Y E N G I N E E R E D M A T E R I A L S
Revenue by Region Operating Income & Margin
P R O F O R M A 2 0 1 8 R E V E N U E | $ 7 5 0 M I L L I O N *
PolyOne Corporation 38
$21
$57
$72
0.1%
5.1%
9.3%
11.2%
8.0%
10.0%
12.0%
20
30
40
50
60
70
80
Europe
28%
United
States
46%
24%
*Pro Forma including Fiber-Line
D I S T R I B U T I O N
E N D M A R K E T S & S U P P L I E R S
PolyOne Corporation 39
27%
22%
18%
Electrical &
Building &
Construction
$20
$25
$63
$71
2.9%
5.9%
5.6%
1.0%
3.0%
5.0%
7.0%
15
25
35
45
55
65
75
Operating Income & Margin2018 Revenue | $1.3 Billion
http://www.polyone.com/Pages/VariationRoot.aspx
O V E R V I E W O F R A W M A T E R I A L P U R C H A S E S
PolyOne Corporation 40
Performance
Polyethylene
Pigments
9%
TiO2
Styrenic Block
Copolymer 7%
Nylon
Polypropylene
Plasticizers
4%
Dyestuffs
Other Raw
Materials
32%
$900 million of raw material purchases estimated in 2019 excluding Distribution business
Note: All figures exclude PolyOne Distribution business and divested PP&S business
T A R G E T E N D M A R K E T S &
A P P L I C A T I O N E X A M P L E S
PolyOne Corporation 41
Thermally Conductive
Chemical Resistant
Polymer Colorants
Elastomeric Grips and
Handles
Structural Composites
Antimicrobial Technologies
Anti-Counterfeiting
Target End Markets… Healthcare
Catheter Technologies
Under-hood Components
Target End Markets… Automotive
Interior Structural
Sound & Vibration
Management
Roof Systems
Air Management
Electronics and Cameras
Lighting
Exterior / Interior Trim
Braces & Brackets
Fasteners
Seals & Flaps
Target End Markets… Consumer
Thermally Conductive
Polymer Colorants
Elastomeric Grips and
Handles
Structural Composite
Oxygen Scavenger
Laser Marking Additives
Antistatic Technologies
UV Light Barrier Technologies
Cap & Closure Colorants
Process Optimization
Antioxidant Technologies
Density Modified
Target End Markets… Packaging
Impart weight, sound and
metallic finish to caps and
closures for cosmetics and
spirits applications
Elevate quality and
prestige perceptions
among high-end
consumers
Eliminate time and cost
associated with secondary
operations and assembly
Luxury Packaging
GravitechTM Density Modified Polymers
Eliminate costs by
increasing pigment density
Enhance color
performance without
altering form and
formulation
Increase design
capabilities by reducing
weight and layer thickness
Optimize Color Usage
OnColorTM Super Concentrates
Inhibit microbial growth on
polymer surfaces
Enhance value or products
and devices
Highly versatile
concentrate with the
ability to be incorporated
into a wide variety of
products
Combat Bacteria Formation
WithStandTM Antimicrobial Technology
Durable, long-lasting products stand
up to the most aggressive
disinfectants
Minimize environmental stress
cracking and discoloration
One of the broadest medically
approved polymer and colorant
portfolios
Medical Device Housings
Chemically Resistant Engineered Polymers
Color & Design Services
Greater control of color
development and supply chain
Work across entire design
process from concept to
commercialization
Inspire creativity in the use of
polymer materials, colors, and
effects
Innovative brand differentiation
Faster development timelines
Outdoor Applications
Leading provider of high
performance specialty materials
for the recreational and sports &
leisure industry
Well positioned across all
segments to address market needs
Metal to Polymer Conversion
Lightweighting
Thermal Management
Impact Performance
ColorMatrix Fiber Colorant
Solutions
Proprietary advanced liquid color
formulations and equipment
enable greater efficiency and
productivity
Eliminates aqueous dyeing and its
associated wastewater treatment
Solid Color Concentrates
Extrusion-spun fibers colored via
solid masterbatch
Fiber Colorants
Robert W.
https://www.avient.com/sites/default/files/resources/Investor%2520Day%2520-%2520May%25202018.pdf
Patterson
Chairman, President and CEO
INTRODUCTION
B O B P A T T E R S O N
PolyOne Corporation 7
PolyOne Corporation 8
H I S T O R I C P A S T
S U S T A I N A B I L I T Y A T P O L Y O N E
PolyOne Corporation 9
P E O P L E P R O D U C T S P L A N E T
S A F E T Y F I R S T
PolyOne Corporation 10
1.3
1.1 1.1
0.85
0.65
0.57
0.54
0.97
0.84
0.74 0.74
0.69
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Injuries per 100 Workers
Spartech
Acquisition
T H E P O L Y O N E A C A D E M Y
PolyOne Corporation 11
Leadership Program Participants
2012
2013
2015
86
2016
125
169
216
Campus Hires
2008
2011
25
S U S T A I N A B L Y I M P A C T I N G D I V E R S E E N D M A R K E T S
PolyOne Corporation 12
With emphasis on:
• Light-weighting
• Reducing packaging materials
• Improving recyclability
• Reducing spread of infection
• Facilitating alternative energy
solutions
Building &
9%
Electrical &
P R O D U C T S A N D P O R T F O L I O O P T I M I Z A T I O N
PolyOne Corporation 13
R E I N V E S T G R O WD I V E S T ( D S S )
OUR PLANET
PolyOne Corporation 14
Energy
Saving Projects
26
REDUCTION
REDUCTION
Waste
Reduction Projects
2,557
LSS Projects
Executed
202
PolyOne LSS
Blackbelts
2011
2017 202
2008
147
67
2,557
2008 2017
S U S T A I N A B I L I T Y A T P O L Y O N E
PolyOne Corporation 15
2009 2010 2011 2012 2013 2014 2015 2016* 2017*
A D J U S T E D E P S E X P A N S I O N
C O N S E C U T I V E
Y E A R S
PolyOne Corporation 16
$0.13
$0.68
$0.82
$1.00
$1.31
$1.80
$1.96
$2.06
$2.21
*Pro Forma for sale of DSS
E A R L Y Y E A R S D E F I N E D B Y S P E C I A L T Y
M I X I M P R O V E M E N T
PolyOne Corporation 17
65%
2005 2014
$5M $242M
+ 25%
+ 33%
Specialty OI
% of Operating Income
C O M M O D I T Y P R U N I N G
H E L D O R G A N I C S A L E S F L A T
PolyOne Corporation 18
2010 2011 2012 2013 2014
Acquisitions
Organic
Revenue
I N V E S T M E N T I N COMMERCIAL RESOURCES D R I V I N G R E S U L T S
PolyOne Corporation 19
Largest organic revenue growth
since recession
$2.9 $2.9
$3.2
2015 2016 2017
Revenue in billions of $
Total + 10%
Organic + 7%
S U S T A I N A B L E P A T H T O D O U B L E - D I G I T E P S G R O W T H
PolyOne Corporation 20
Double digit
annual EPS
growth
Expand specialty portfolio
with strategic acquisitions
Innovate and develop new
technologies and services
Repurchase 600K-1M
shares annually
Increase commercial
resources 6-8% annually
Double acquired
company margins
Enhance efficiencies
through Lean Six Sigma
and commercial excellence
5.0%
2006 2017 Platinum Vision Updated Expectations
R A I S I N G T H E B A R
R O I C D R I V E S S H A R E H O L D E R R E T U R N
PolyOne Corporation 21
COMMERCIAL
EXCELLENCE
PolyOne Corporation 22
M I C H A E L G A R R A T T
PolyOne Corporation 23
PolyOne Corporation 24
35% more sales calls
25% more marketing campaigns
1,000 new customers, expanding
customer base by 5%
$1.0B increase in new opportunities
8% reduction of average territory
size, enabling greater
customer focus
20% more prospecting calls
PolyOne Corporation 25
P O L Y O N E
+34%
$3.0 billion
$4.0 billion
A L I G N I N G W I T H T R E N D S F O R G R O W T H
T R A N S P O R T A T I O N P A C K A G I N G H E A L T H C A R E C O N S U M E R
PolyOne Corporation 26
Facilitate
alternative
energy
solutions
Light-
weighting
Reduce
packaging
materials
Improve
recyclability
Reduce
spread of
infection
PolyOne Corporation 27
Customization
55%
M&A
Innovation
Pipeline
Adjacent
Opportunity for
Growth Through New
Innovation comes from
PolyOne Corporation 28
Adjacent
Opportunity for
Growth Through New
New
development
adjacent to our
existing
New development
beyond our current
Development within
our current
markets and
Create new
markets, target
new customer
Service existing
markets and
Adjacent
Opportunity for
Growth Through New
PolyOne Corporation 29
markets and
Create new
markets, target
new customer
Service existing
markets and
Gordon/Polystrand –
Composites
GLS – Thermoplastic Elastomers
ColorMatrix – Liquid
Color & Additives
New
development
adjacent to our
existing
New development
beyond our current
Development within
our current
Adjacent
Opportunity for
Growth Through New
PolyOne Corporation 30
markets and
Create new
markets, target
new customer
Service existing
markets and
Non-Halogen Flame
Retardant Polymers
Barrier Technologies
Fiber Colorants
Advanced Composites
Thermoplastic Elastomers
New
development
adjacent to our
existing
New development
beyond our current
Development within
our current
I N N O V A T I O N P I P E L I N E
PolyOne Corporation 31
PrototypeFrame
Opportunity
Scale-up & Test
Build
Business Case
Commercial
Launch
Phase 1 Phase 2 Phase 3 Phase 4 Phase 5
6
2 1
15 4
10
11
4
7
Breakthrough
Platform
Derivative
Number of Projects 26 16 20 15 2 79
Color Technologies – – $335 $670 $410 19 $1,415
Barrier Additives – – $160 $255 – 8 $415
Flame Retardant Polymers – – $200 $50 – 14 $250
Thermoplastic Elastomers – – $410 $80 $30 17 $520
Advanced Composites – – $100 $40 – 8 $140
Specialty Vinyl Formulations – – $25 $75 – 13 $100
Total Addressable Market
($ millions)
– – $1,230 $1,170 $440 $2,840
38%
$20
$52
Research & Development Spend
($ millions)
Vitality Index
% of sales from products launched last 5 years
I N N O V A T I O N D R I V E S E A R N I N G S G R O W T H
PolyOne Corporation 32
A U N I Q U E C U S T O M E R E X P E R I E N C E
Industrial
Design
IQ DESIGN LABS
PolyOne Corporation 33
Material
& Color
Expertise
Manufacturing
Expertise
3
14
Industrial designers
$0
$7M
$4M
$40M
Opportunity funnel New business revenue
3 D P R I N T I N G
B R I N G I N G N E W I D E A S T O L I F E
PolyOne Corporation 34
Enables validation of fit and function
Shortens design cycle and time to market
Avoids tooling rework
Drives innovation
Delivers substantial customer value
LSS CUSTOMER FIRST
PolyOne Corporation 35
Customer Projects
Enables sales growth by building more intimate
customer relationships, giving us insight to customers’
needs, with a service that is not easily replicated
2 85
Lead
Specialists
T H E E V O L V I N G C U S T O M E R R E L A T I O N S H I P
PolyOne Corporation 36
Expanded Path
Traditional Path
Strategic Accounts/
Field Sales
Business
Development
Customer
Service
Web and Social
Media
Inside Sales
PolyOne Corporation 37
Investments in digital and dedicated inside sales to
improve customer experience
80% increase in leads (from 6,000 to 11,000) driven
by website, phone, and online chat
EXPANDED PATH
A D D I N G C U S T O M E R T O U C H P O I N T S
4
21
Inside sellers
$11M
$88M
Inside sales/digital revenue
4 focused end-markets aligned with global
megatrends
5 strategic innovation platforms
30% increase in IQ Design projects
35% increase in revenue from inside sales/digital
≥35% vitality index
PolyOne Corporation 38
I N N O V A T I N G W I T H P O L Y O N E
PolyOne Corporation 39
SEGMENT REVIEWS
POLYONE
DISTRIBUTION
PolyOne Corporation 40
S C O T T H O R N
D I S T R I B U T I O N
E N D M A R K E T S & S U P P L I E R S
PolyOne Corporation 41
23%
22%
Electrical &
Building &
$20
$63
$73
2.9%
5.9%
1.0%
3.0%
5.0%
7.0%
15
25
35
45
55
65
75
Operating Income & Margin2017 Revenue | $1.2 Billion
http://www.polyone.com/Pages/VariationRoot.aspx
http://www.polyone.com/Pages/VariationRoot.aspx
S E R V I C E I S O U R B U S I N E S S
PolyOne Corporation 42
Uniquely positioned to help our customers grow
their brand and value-added solutions
1.2B
$
Annual Sales
250
Global Employees
24
Strategic
Presence
132
Sales Reps
Warehouse
Locations
6
Service Centers
Dedicated Commercial
Team
S E R V I C E I S O U R B U S I N E S S
S A F E L Y A N D R E S P O N S I B L Y
PolyOne Corporation 43
95% on-time delivery
Customer/Product
Combinations
14,000
Transactions/Month
In-Person
Customer Visits
6,500 27,000
$
PolyOne Corporation 44
37% more sales calls
$65M in new revenue from
inside sales
$400M increase in new
opportunities
24% increase in close rate
51% increase in prospecting calls
119
13211
1315
23
Sales R&D / Technical Marketing
+ 53%
+ 11%
PolyOne Corporation 45
Providing differentiated services that meet the needs
of the changing customer landscape
G R O W T H T H R O U G H I N S I D E S A L E S
$65
PolyOne Distribution Inside Sales
$ in millions
PolyOne Corporation 46
G R O W T H T H R O U G H M U L T I P L E S A L E S
C H A N N E L S
Technical
Field Sales
Key Accounts /
Industry Sales
Inside
Sales
Serving a broad spectrum of customers
Leveraging digital systems to drive awareness and
enhance the customer experience
PolyOne Corporation 47
P O D S A L E S
+27%
$1.2 billion
$1.6 billion
>10% annual increase in revenue from inside sales and
digital with expanded customer touch points
8% annual expansion of sales funnel with best-in-class
service and technical expertise
6-8% compound annual operating income growth
6-7% operating margins
PolyOne Corporation 48
SPECIALTY
ENGINEERED
MATERIALS
PolyOne Corporation 49
M I C H A E L G A R R A T T
S P E C I A L T Y E N G I N E E R E D M A T E R I A L S
PolyOne Corporation 50
Engineered
Formulations
Advanced
Thermoplastic
Elastomers
19%
Electrical &
13%
8%
Building &
S P E C I A L T Y E N G I N E E R E D M A T E R I A L S
Revenue by Region Operating Income & Margin
2 0 1 7 R E V E N U E | $ 6 2 4 M I L L I O N
PolyOne Corporation 51
$21
$57
$76
0.1%
5.1%
9.3%
12.1%
Europe
28%
48%
22%
C A P I T A L I Z I N G O N T H E G L O B A L M A R K E T
PolyOne Corporation 52
Demand for engineered materials is accelerating
Expanding thermoplastic elastomer portfolio to meet
the demands of local consumption
Grow and develop low smoke, non-halogen
technologies to meet increasing European standards
Adding capacity in strategic markets
India Germany
China North America
Establishing a commercial hub in Southeast Asia
PolyOne Corporation 53
PolyOne Corporation 54
13% more sales calls
36% increase in customization
projects
$270M increase in new opportunities
12% reduction in average territory
size, enabling greater
customer focus
50% improvement in speed of
formulation turnaround
Increased commercial headcount
133
17335
39
120
147
+ 30%
+ 11%
PolyOne Corporation 55
S E M
S A L E S
+43%
$610 million
$880 million
PolyOne Corporation 56
Leading Sporting Goods
Manufacturer
Provided Lean Six Sigma training
and led an onsite Black Belt
project to improve product
development cycle times
Reduced
innovation project
cycle times by over
10%
and prototyping by
40%
80%
increased
resulting in
$500k
savings
I N N O V A T I O N S P O T L I G H T :
C O M P O S I T E S
PolyOne Corporation 57
C O M P O S I T E S R E F R E S H E R
PolyOne Corporation 58
Polymer
Composite
Strength
Design Flexibility
Continuous
Fiber
Thermoset
Short Glass
Fiber
Thermoplastics
Continuous Fiber
Long Glass Fiber
Thermoplastics
S T R A T E G I C I N V E S T M E N T H I S T O R Y
PolyOne Corporation 59
Acquired
Polystrand
Installed LFT
production
Avon Lake
Long Fiber
Thermoplastic
(LFT)
Technology
Installed
LFT
Barbastro,
Spain
Acquired
Glasforms
Acquired
Gordon
Thermoplastic
Long Fiber Reinforced Thermoplastics
Continuous Fiber Thermosets
2010 2012 2015 2016 20162009 20122011 2014
C O M P O S I T E S I N T R A N S P O R T A T I O N
PolyOne Corporation 60
W A T E R C R A F TR A I L H E A V Y T R U C K
Bulkheads and Transoms
Ceilings and Hatches
Doors and Cabinetry
Flooring
Door Panels
Side Walls
Flooring & Side Panels
Aerodynamic Fairings
Seat and Bunk
Reinforcements
44
At Acquisition Now
Commercial Resources
0%
At Acquisition Goal
Operating Margins
Test Market
Innovation
Projects
PolyOne Corporation 61
A D V A N C E D C O M P O S I T E S
Long-term investments align with key global megatrends
Light-Weighting Design Flexibility Sustainability
>10% annual increase in customization projects
10% annual expansion of sales funnel, enhancing
portfolio in 4 focus end markets
20% increase in global capacity
12-15% compound annual operating income growth
14-16% operating margins
PolyOne Corporation 62
PERFORMANCE
PRODUCTS
& SOLUTIONS
PolyOne Corporation 63
D O N W I S E M A N
P E R F O R M A N C E P R O D U C T S & S O L U T I O N S
PolyOne Corporation 64
Specialty Vinyl
Solutions
Healthcare
Formulations
Smart Device
Materials
Flame Retardant
Polymers
Building &
Electrical &
1%
Asia
77%
Mexico
P E R F O R M A N C E P R O D U C T S & S O L U T I O N S
Operating Income & MarginRevenue by Region
2 0 1 7 R E V E N U E | $ 7 2 1 M I L L I O N
$40
$33
$56
$77
4.6%
3.6%
7.2%
10.7%
16.0%
10
PolyOne Corporation 65
$886 $668 $773 $721Sales
PolyOne Corporation 66
PolyOne Corporation 67
25% more sales calls
113% increase in innovation
pipeline
$240M increase in new
opportunities
36% increase in
prospecting calls
300 basis point
improvement in
operating margin
57
66
18
37
53
+ 16%
+ 43%
+ 6%
PolyOne Corporation 68
P P & S
S A L E S
+40%
$610 million
$850 million
PolyOne Corporation 69
Leading Wire & Cable
Manufacturer
Provided Lean Six Sigma training
and led on-site Kaizen process
improvements
Reduced
over
400
labor hours
through
reorganized
work area and
floor space
Increased
manufacturing
throughput value
$1.4M
PolyOne Corporation 70
IQ Design is collaborating with a
leading medical device
manufacturer to replace metal
and provide chemical resistance
to solve cracking issues related
to intense cleaning requirements
H E A L T H C A R E I N N O V A T I O N S
I N N O V A T I O N S P O T L I G H T :
F L A M E R E T A R D A N T
P O L Y M E R S
PolyOne Corporation 71
F L A M E R E T A R D A N T
D R I V E R S
PolyOne Corporation 72
Shift toward less toxic solutions
Increased consumer awareness
Focus on environmentally
friendly solutions
New regulatory standards
F L A M E R E T A R D A N T P E R F O R M A N C E S P E C T R U M
PolyOne Corporation 73
Flame Retardant Flame Retardant Flame Retardant
Non-Halogen
No Dripping
Low Smoke
Low Toxicity &
Corrosiveness
H A L O G E N N O N - H A L O G E N L S F O H
( L o w S m o k e a n d F u m e ,
N o n - H a l o g e n )
Non-Halogen
R E G U L A T O R Y C H A N G E S P R O V I D E O P P O R T U N I T Y
L E D S O L U T I O N S
PolyOne Corporation 74
Solutions for rigid molded &
extruded applications
Superior outdoor weather performance
Excellent light dispersion qualities
Formulated to meet stringent
flame-rating regulations
Custom design support to meet demand
8% more sales calls annually
10% annual expansion of sales funnel, including
breakthroughs in healthcare technologies
8-10% compound annual operating income growth
12-14% operating margins
PolyOne Corporation 75
COLOR ADDITIVES
& INKS
PolyOne Corporation 76
M A R K C R I S T
C O L O R , A D D I T I V E S & I N K S
PolyOne Corporation 77
Solid
Colorants
Performance
Additives
Screen
Printing Inks
Liquid
Colorants
27%
14%
Textiles
Building &
8%
Electrical &
Operating Income & MarginRevenue by Region
C O L O R , A D D I T I V E S & I N K S
2 0 1 7 R E V E N U E | $ 8 9 3 M I L L I O N
$104
$139
0.9%
5.5%
12.2%
15.5%
16.0%
18.0%
110
120
130
140
150
PolyOne Corporation 78
Europe
32%
46%
1%
Mexico
Brazil
C A P I T A L I Z I N G O N T H E G L O B A L M A R K E T
PolyOne Corporation 79
Emerging markets driving strong demand for color
and additives
Rapid adoption of food and beverage
packaging additives
Fiber colorants growth focused on expanding
Asia-Pacific market
Increase commercial investments focused on China,
India and Mexico
Expand capacity in China and leverage investments
in India
Recent acquisitions increasing global reach
PolyOne Corporation 80
PolyOne Corporation 81
35% more sales calls
30% increase in customized color
formulations
106% increase in innovation pipeline
$170M increase in new opportunities
20% increase in prospecting calls
9 days or less in design
turnaround time:
best-in-class
Increased commercial investment
301
382
38
43
209
275
+ 27%
+ 13%
+ 32%
PolyOne Corporation 82
C A I S A L E S
+32%
$540 million
$710 million
PolyOne Corporation 83
Developed
inventory
management
framework to
reduce
working
capital by
Printing Equipment
and Supply Manufacturer
Provided Lean Six Sigma training
and conducted process mapping
exercises to identify key
improvement opportunities
Optimize
manufacturing:
45%
improvement in
assembly process,
25%
cycle time
A D D I T I V E & C O L O R A N T
T E C H N O L O G I E S
PolyOne Corporation 84
B A R R I E R T E C H N O L O G I E S
Active oxygen scavenging
additive in the bottle wall
Evolving technology for active
oxygen scavenging additive in
the bottle cap
Amosorb™ HyGuard™
UV and visible light blocking
additive to prevent degradation
of product
Lactra™ SX
Market leader in oxygen, light and UV barrier solutions for the PET bottle market
PolyOne Corporation 85
S T R A T E G I C A D D R E S S A B L E M A R K E T > $ 2 0 0 M
F I B E R C O L O R A N T S
Eliminate waste water associated
with conventional dyeing
Help meet sustainability targets
for brand owners
Enable “uncolored fiber” producers
to bypass dyehouse
Strategic addressable market >$300M
PolyOne Corporation 86
S T R A T E G I C I N V E S T M E N T H I S T O R Y
PolyOne Corporation 87
Thermoplastic
2011 2015 2018
Acquired
ColorMatrix
Acquired
Magenta
Acquired
IQAP
$10
$45
Revenue from Fiber Color
Invested in
development
of liquid fiber
colorant
technology
Expanded
solid
colorant
offerings
38
43
At Acquisition Now
Commercial Resources
Innovation
Projects
PolyOne Corporation 88
I N V E S T I N G F O R T H E F U T U R E
Nearly 900 projects identified
Gaining sustainable momentum & building trust with consumers
Sales Funnel
$125M
“We are unleashing the power of human potential, all
to advance the game.
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 98
Commercial
Operating
Income
Operating
243
335
$36
$90
Established Acquisitions
(> 7 years)
+ 40% + 150% + 900 bps
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 99
Commercial
Operating
Income (millions)
53
109
187
214
3
12
$12
$45
$22
$42
$2
Acquisition #1
(10 years)
Acquisition #3
(7 years)
Acquisition #2
(9 years)
EBITDA
Multiple
10.5x
3.0x
11.1x
7.6x
4.9x
2.8x
23%
17%
21%
Return on Sales
I N V E S T - T O - G R O W D R I V I N G T H E F U T U R E
PolyOne Corporation 100
Commercial
Operating
Income
Operating
44
65
$0 $0
0% 0%
Advanced Composites
I N V E S T - T O - G R O W D R I V I N G T H E F U T U R E
PolyOne Corporation 101
Commercial
Operating
Income
Operating
96
141
$16
$18
$36
11% 12%
18-20%
Recent Color Acquisitions
PolyOne Corporation 102
Average
Company Size
# of
Possibilities
Rationale
250
• Local to regional footprint
• Niche technology focus
• Concentrated customer base
$50M–$200M 150
• Regional to global footprint
• 1–3 specialty technologies
• Diversified customer base
>$200M 30
• Global footprint with local service
• Diverse specialty technologies
• Highly diversified customer & market
portfolio
S T R O N G P I P E L I N E
D R I V E N B Y F R A G M E N T E D M A R K E T
S U M M A R Y
PolyOne Corporation 103
Proven track record with specialty acquisitions using
invest-to-grow strategy
Our approach to integration differentiates PolyOne in
a competitive M&A market
Trusted brand and reputation
Buyer of choice
Robust pipeline with a range of opportunities that fit
our strategy
FINANCIAL
REVIEW
B R A D R I C H A R D S O N
PolyOne Corporation 104
PolyOne Corporation 105
A D J U S T E D E P S E X P A N S I O N
2009 2010 2011 2012 2013 2014 2015 2016* 2017*
C O N S E C U T I V E
Y E A R S
$0.13
$0.68
$0.82
$1.00
$1.31
$1.80
$1.96
$2.06
$2.21
*Pro Forma for sale of DSS
PolyOne Corporation 106
S T R A T E G I C C A S H D E P L O Y M E N T
ORGANIC GROWTH
Investing in R&D and
capacity
11
Maintenance
40%
Strategic Growth
Investments
60%
Capital Expenditures
M&A OPPORTUNITIES
Continued pursuit of strategic bolt
on acquisitions that expand
specialty offerings
2
SHAREHOLDER RETURN
Dividends and share buybacks3
Over $400
million
M&A Spending
Since 2014
$809
million
Share Repurchases
2011-Q1 2018
60%
Increase in annual
dividend over next three
years
2011 2013 2015 2017
“Where we were” “Where we are”
ROIC 5.0% 14.0%
Operating Income % of Sales
Color, Additives & Inks 1.7% 15.5%
Specialty Engineered Materials 1.1% 12.1%
Performance Products &
Solutions 4.3% 10.7%
Distribution 2.6% 6.3%
P R O O F O F P E R F O R M A N C E
E X P A N D I N G M A R G I N S & R O I C
PolyOne Corporation 107
I N V E S T M E N T I N COMMERCIAL RESOURCES D R I V I N G R E S U L T S
PolyOne Corporation 108
Largest organic revenue growth
since recession
$2.9 $2.9
$3.2
2015 2016 2017
Revenue in billions of $
Total + 10%
Organic + 7%
S U S T A I N A B L E P A T H T O D O U B L E - D I G I T E P S G R O W T H
PolyOne Corporation 109
Double digit
annual EPS
growth
Expand specialty portfolio
with strategic acquisitions
Innovate and develop new
technologies and services
Repurchase 600K-1M
shares annually
Increase commercial
resources 6-8% annually
Double acquired
company margins
Enhance efficiencies
through Lean Six Sigma
and commercial excellence
R O I C D R I V E S S H A R E H O L D E R R E T U R N
PolyOne Corporation 110
R O I C D R I V E S S H A R E H O L D E R R E T U R N
PolyOne Corporation 111
$570
$1,650 $1,750
$2,000
ROIC
Invested Capital
Improving ROIC + Expanding Invested Capital = Outperforming the Market
CONCLUSION
B O B P A T T E R S O N
PolyOne Corporation 112
1
Reconciliation of Non-GAAP Financial Measures (Unaudited)
(Dollars in millions, except per share data)
Senior management uses comparisons of adjusted net income from continuing operations attributable to PolyOne shareholders and diluted adjusted earnings per share (EPS)
from continuing operations attributable to PolyOne shareholders, excluding special items, to assess performance and facilitate comparability of results.
Adjusted EPS attributable to PolyOne common shareholders is calculated as follows:
2009* 2010* 2011* 2012* 2013* 2014* 2015* 2016 2017
Net income from continuing operations attributable
to PolyOne common shareholders $ 106.7 $ 152.5 $ 153.4 $ 53.3 $ 94.0 $ 78.0 $ 144.6 $ 166.4 $ 173.5
Joint venture equity earnings, after tax (19.0) (14.7) (3.7) — — — — — —
Special items, before tax(1) (48.7) 24.2 (48.1) 55.1 46.3 164.2 87.6 23.8 32.9
Special items, tax adjustments(1) (27.2) (96.7) (24.7) (18.9) (13.7) (73.7) (58.7) (15.9) (24.8)
Adjusted net income from continuing operations
attributable to PolyOne common shareholders $ 11.8 $ 65.3 $ 76.9 $ 89.5 $ 126.6 $ 168.5 $ 173.5 $ 174.3 $ 181.6
Diluted shares 93.4 96.0 94.3 89.8 96.5 93.5 88.7 84.6 82.1
Adjusted EPS attributable to PolyOne common
shareholders $ 0.13 $ 0.68 $ 0.82 $ 1.00 $ 1.31 $ 1.80 $ 1.96 $ 2.06 $ 2.21
* Historical results are shown as presented in prior filings and have not been updated to reflect subsequent changes in accounting principle, discontinued operations or the related resegmentation
https://www.avient.com/sites/default/files/2020-03/PolyOne_Website-12.19.pdf
S A F E T Y F I R S T
PolyOne Corporation 7
Injuries per 100 Workers
Spartech
Acquisition
1.3
1.1 1.1
0.85
0.65
0.57
0.54
0.97
0.84
0.74 0.74
0.69
0.51
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
G R E A T P L A C E T O W O R K
PolyOne Corporation 8
* Pro Forma for sale of DSS
Operating Income
% of Sales
2006 Q3 YTD
2019
Color, Additives &
Inks
1.7% 15.5%
Specialty Engineered
Materials
1.1% 11.8%
Distribution 2.6% 6.3%
2009 2010 2011 2012 2013 2014 2015 2016*2017* 2018
$2.43
P R O O F O F P E R F O R M A N C E
C O N S E C U T I V E
Y E A R S
PolyOne Corporation 9
10
$0.13
$0.68
$0.82
$1.00
$1.31
$1.80
$1.96
$2.06
$2.21
A D J U S T E D E P S E X P A N S I O N
2018 2019E
$1.65
$1.51
Pro Forma for sale
of PP&S
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 10
C O M M O D I T Y T O S P E C I A L T Y T R A N S F O R M A T I O N
PolyOne Corporation 11
• Volume driven,
commodity
production
• Heavily tied to cyclical
end markets
• Performance largely
dependent on non-
controlling joint
ventures
• Shift to value-based
selling & an innovative
culture
• New leadership team
appointed
• Implementation of
four pillar strategy
• Investment in
commercial training
and innovation
• Faster growing, high
margin focus
• Accelerated growth
with world class
vitality index
• Significant
commercial resource
additions
• Expanded margins
with specialty focus
• Acquired strategic,
bolt-on companies to
expand technology
offerings and improve
geographic breadth
Volume Value Transformation The Future
2006 - 2013 2013 – 20192000-2005 2006 - 2013
• Landmark portfolio
transformation
creates specialty
growth company
• Sustainability / mega-
trends drive above
market growth
2020 and
Beyond
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 12
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
• Extensive manufacturing footprint
with 46 facilities
• Organizational focus on optimizing
supply chain to better serve
customers
• Color design expertise
Commercial
• 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
L E V E R A G I N G G L O B A L M E G A T R E N D S
13
Facilitate
alternative
energy
solutions
Light-
weighting
Reduce
packaging
materials
Improve
recyclability
Reduce
spread of
infection
T R A N S P O R T A T I O N P A C K A G I N G H E A L T H C A R EC O N S U M E R
PolyOne Corporation
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 14
Building & Construction
18%
8%
50%
22%
High Growth End Markets
Percentage of Total Revenue
38%
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 15
8%
Building &
Construction
38%
Wire &
Cable
11%
Industrial
Electrical &
Electronic
7%
Transportation
18%
Building &
Construction
Wire &
Cable
Industrial
Electrical &
Electronic
Appliance
3%
Textiles
Transportation
13%
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 16
38% Europe
33%
Asia
19%
22%
Europe
Asia & Middle East
31%
1%
Color & Engineered
Materials
Clariant Color & Additive
Masterbatch Business
Net Sales by Geographic Region
31%
Europe
36%
Asia & Middle East
24%
3%
Pro Forma Color &
Engineered Materials
531
710
1,042
130
164
208
504
663
880
2014 2018 2019E PF*
R&D / Technical Marketing Sales
PolyOne Corporation 17
+ 34%
+ 26%
+ 32%
E X P A N S I O N O F COMMERCIAL RESOURCES D R I V I N G G R O W T H
$2.9 $2.9
$3.5
2015 2016 2017 2018 2019E
PF
Total
+ 9%
Organic
+ 5%
Revenue in Billions
Total
+ 10%
Organic
+ 7%+ 47%
+ 27%
+ 33%
$4.0
$3.2
2019E PF*
P R I O R A C Q U I S I T I O N S : P R O O F O F P E R F O R M A N C E
PolyOne Corporation 18
Commercial
Resources
Operating
Income
($ in millions)
Operating
Margins
243
340
$36
$96
11%
Established Acquisitions
(> 7 years)
+ 40% + 165% + 900 bps
U N I F I E D F O C U S O N S U S T A I N A B I L I T Y
PolyOne Corporation 19
2006 - 2013
2013 – 2019
PEOPLE
PRODUCTS PLANET
PERFORMANCE
Clariant Color & Additive
Masterbatch Business
• Building mini-recycling plants to
facilitate customer projects on
design for recycling - CycleWorks
• Uses packaging additives &
colorants to improve recyclability
and enhance automated sorting
• Manufactures oxygen scavengers
to extend shelf-life of perishable
items and reduce material
requirements
• Combines UV-blocking additive
colorants & other barriers to
prevent spoilage and waste
• Offers spin-dyeing solutions that
use significantly less water than
traditional methods, allowing for
sustainable coloration of textiles
• Produces infrared absorbing
additives that reduce energy
requirements for bottle
manufacturing
($ in millions)
(Continuing
Operations)
Clariant Color &
Additive Masterbatch
Business
Synergies
New
2019E Total Sales $2,860 $1,150 $4,010
2019E Adjusted EBITDA $310 $130 $60 $500
% Margin 10.8% 11.3% 12.5%
2019E CapEx $60 $85
% Sales 2.1% 2.1%
2019E Free Cash Flow $170 $250
2019E Adjusted EPS $1.65 $2.22
2019E PF Adjusted EPS $1.65 $2.50
P O L Y O N E + C L A R I A N T C O L O R & A D D I T I V E
M A S T E R B A T C H B U S I N E S S
PolyOne Corporation 20
(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 21
46%
66%
0%
60%
80%
100%
2005 2010 2015 2019E PF
%
o
f
A
d
ju
s
te
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 Color & Additive Masterbatch business acquisition with synergies
Specialty EBITDA $14M $117M $273M $500M
**
PolyOne Corporation 22
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 $400 to $500MM
• Target net leverage below 3.5x, 3.1x synergized, with intention to de-lever below 3.0x within 2 years
PolyOne Corporation 23
• $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
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 Color & Additive 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
Operational
30%
Administrative
30%
PolyOne Corporation 24
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
C A P I T A L S T R U C T U R E / L E V E R A G E
PolyOne Corporation 25
At Close Year 1 Year 2
3.2x
3.5x
3.1x
2.6x
Pro Forma with Synergies
2019E PF
Two year leverage goal
(1) Pro Forma Capitalization is for illustrative purposes only; amounts may vary depending on various market and other factors.
https://www.avient.com/sites/default/files/resources/PolyOne%2520IR%2520Presentation%2520-%2520Gabelli%2520%2526%2520Co%2520Specialty%2520Chemicals%2520Conference.pdf
Use of Non-GAAP Measures
4POLYONE CORPORATION
FORMULATION
EXPERTISE SERVICE INNOVATION
Expertise in
Polymer
Materials,
Services and
OEMs
Brand Owners
Processers
Assemblers
IQ Design Labs
InVisiOSM Color
Services
LSS Customer
First
Specialty products & services driving customer value
What We Do
5POLYONE CORPORATION
PolyOne At a Glance
2017 Revenue – $3.2 billion
Performance
Products &
Solutions
21%
PolyOne
Distribution
34%
Specialty
Engineered
Materials
19%
Color
Additives
& Inks
26%
United
States
59%
Europe
14%
Latin
9%
8%
10%
$0.13
$0.68
$0.82
$1.00
$1.31
$1.80
$1.96
$2.06
$2.21
2009 2010 2011 2012 2013 2014 2015 2016* 2017
18%
11%
11% Industrial
16%
Building &
Construction
Wire &
Cable 9%
Electrical &
Electronics
6%
Appliance
5%
*Recast for DSS in discontinued operations
6POLYONE CORPORATION
43%
76%
0%
20%
40%
60%
80%
100%
2005 2010 2017
%
o
f O
pe
ra
tin
g
In
co
m
e*
*Operating Income excludes corporate charges and special items
Specialty OI $5M $87M $280M
JV’s Performance Products & Solutions
Specialty MixDistribution
Mix Shift Highlights Specialty Transformation
Distribution and Contract
Manufacturing Businesses
7POLYONE CORPORATION
Consistently Deliver Double Digit Annual EPS Growth
*ROIC is defined as TTM adjusted OI after tax divided by the sum of average debt and equity less cash over a 5 quarter period
Proof of Performance
2020 Platinum Vision
12 - 14%
6.5 – 7.5%
15%
2006 2017 2020
“Where we were” “Where we are” Platinum Vision
ROIC* 5.0% 14.0%
Color, Additives & Inks 1.7% 15.5%
Specialty Engineered Materials 1.1% 12.5%
Performance Products & Solutions 5.5% 10.7%
Distribution 2.6% 6.3%
8POLYONE CORPORATION
$50
$116
$0
$40
$80
$120
$160
$200
2012 2014 2016 2018
10.8%
11.3%
10.0%
11.0%
12.0%
13.0%
14.0%
15.0%
2012 2014 2016 2017 2020
*ROIC is defined as TTM adjusted OI after tax divided by the sum of average debt and equity less cash over a 5 quarter period
Free Cash Flow and Improving Returns
Free Cash Flow (in millions) ROIC*
$200 - $220
14.0%
$143
12.9%
15.0%
9POLYONE CORPORATION
$767M
Returning Cash to Shareholders
$0
$150
$300
$450
$600
$750
2011 2012 2013 2014 2015 2016 2017
Since 2011, we have returned over $950 million to shareholders
$767M
Cumulative Share Repurchases (in millions)
$0.16
$0.20
$0.24
$0.32
$0.40
$0.48
$0.58
$0.70
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
3-Year Dividend Plan
Increasing Annual Dividend
10POLYONE CORPORATION
Expanding our sales,
marketing, and
technical capabilities
Investing in
operational and LSS
initiatives
~60 - 70% of capital
expenditures fund
growth initiatives
Organic
Growth
Acquisitions
Share
Repurchases
Dividends
Targets that expand
our:
• Specialty offerings
• End market
presence
• Geographic breadth
Growth synergies
Adjacent material
solutions
Repurchased 2.0
million shares
in 2017
Repurchased 20.8
million shares
since early 2013
6.5 million shares
are available for
repurchase under
the current
authorization
Increased annual
dividend by 30% to
$0.70 per share,
representing the
eighth consecutive
year of dividend
growth
Expect to increase
annual dividend 60%
or more cumulatively
over next three years
Free Cash Flow and Strong Balance Sheet
Fund Investment / Shareholder Return
11POLYONE CORPORATION
*Specialty Platform revenue from products introduced in last five years
Vitality Index Progression*
38%
Target ≥ 35%
Innovation Drives Earnings Growth
$20
$52
Research & Development Spend
($ millions)
Total Specialty Addressable Market of over $2.6 Billion
(10 Projects) (10 Projects)
($500 million)
(19 Projects)
($1.4 billion)
Innovation Pipeline Potential
Frame
Opportunity
Prototype Scale-up and
Test Market
Commercial
Launch
$500 Million $1.4 Billion $700 Million
Phase 5Phase 4Phase 3Phase 2Phase 1
Build Business
Case
12POLYONE CORPORATION
Key Innovation Growth Platforms
Composites
Barrier Additive
Technology
Fiber Colorants
Flame Retardant
Polymers
Increasing regulatory drive for halogen replacements
$400m addressable market
Drive to prevent oxygen, light and UV rays from affecting
contents in PET packaging, extending shelf life
$200m addressable market
60% of world fiber consumption is synthetic, need to
simplify manufacturing and eliminate waste
$300m addressable market
Polymer formulation and process engineering create a
pipeline for next generation materials
Drive to replace aluminum and steel with plastics without
compromising on strength
Total Sales
($millions)
13POLYONE CORPORATION
Providing LSS services to
small/medium sized customers –
have trained over 30 customers
in LSS methodology
Providing Industrial design and
color services to small/medium
sized customers
On time delivery above 95%
Strengthening Relationships:
Customer First Through World-Class Service
14POLYONE CORPORATION
Addressable market exceeds $40 billion
Strong performance demonstrates that our strategy and execution are
working
Megatrends and emerging opportunities align with strengths
Innovation and services provide differentiation, incremental pricing
power and competitive advantage
Strategic reinvestment for growth while returning cash to shareholders
Strong and proven management team driving growth and performance
Why Invest In PolyOne?
Adjusted EPS attributable to PolyOne common shareholders is calculated as follows:
2009* 2010* 2011* 2012* 2013* 2014* 2015* 2016 2017
Net income from continuing operations attributable
to PolyOne common shareholders $ 106.7 $ 152.5 $ 153.4 $ 53.3 $ 94.0 $ 78.0 $ 144.6 $ 166.4 $ 173.5
Joint venture equity earnings, after tax (19.0) (14.7) (3.7) — — — — — —
Special items, before tax(1) (48.7) 24.2 (48.1) 55.1 46.3 164.2 87.6 23.8 32.9
Special items, tax adjustments(1) (27.2) (96.7) (24.7) (18.9) (13.7) (73.7) (58.7) (15.9) (24.8)
Adjusted net income from continuing operations
attributable to PolyOne common shareholders $ 11.8 $ 65.3 $ 76.9 $ 89.5 $ 126.6 $ 168.5 $ 173.5 $ 174.3 $ 181.6
Diluted shares 93.4 96.0 94.3 89.8 96.5 93.5 88.7 84.6 82.1
Adjusted EPS attributable to PolyOne common
shareholders $ 0.13 $ 0.68 $ 0.82 $ 1.00 $ 1.31 $ 1.80 $ 1.96 $ 2.06 $ 2.21
* Historical results are shown as presented in prior filings and have not been updated to reflect subsequent changes in accounting principle, discontinued operations or the related resegmentation
https://www.avient.com/sites/default/files/2023-10/ISO13485 -2016 - 2021.2.20~2024.2.19 -EN.pdf
5‘冲」之七乃竿月 rf』J枯:“号淤,石
「3
;:;This certificate is valid from 20 February 2021 until 19 February 2024
S
SGSGS and remains valid subject to satisfactor
y
surveillance audits
Re certification audit due before 6 January 2024
Issue 6.
https://www.avient.com/sites/default/files/2024-05/ISO14001 Global Cert_Avient_2024.pdf
This is to certify that the Environmental Management System of:
Avient Corporation HQ
33587 Walker Road
The Environmental Management System is applicable to:
Certificate No: 65537
Certification Date: 29 September 2023
Effective Date: 22 March 2024
Expiration Date: 27 September 2026
Revision Date: 22 March 2024 Dominic Townsend, President
CORPORATE SUPPORT ACTIVITIES, DESIGN, MANUFACTURE AND DISTRIBUTION OF COLOUR AND ADDITIVE
CONCENTRATES, THERMOPLASTIC RESINS AND PELLETS, SPECIALTY COMPOUNDS AND COLORANTS.
This certificate may be found on the ABS QE Website (www.abs-qe.com).
For certificates issued in the People's Republic of China information may also be
verified on the CNCA website (www.cnca.gov.cn).
https://www.avient.com/sites/default/files/2021-09/cai-biopolymers-brochure-2021.pdf
Use of Biopolymers in Packaging Types
Introduction to Biopolymers
Less
Frequently
Used
More
Frequently
Used
Single Use Bottles
Single Use Cups, Tubs & Trays
Clothing Packaging Bags
Pre-packed Fruit Bags
Vegetable Bags
Coffee Capsules
Carrier Bags
Fruit Labels
Fast Food Trays (closed system)
Teabags
Biowaste Bags
To ensure compliance with requirements and
regulations, suitable certification is of crucial
importance.
Avient is a TÜV Austria certified masterbatch
supplier and can help support and secure the
full certification process of a final part.
In compliance with certification requirements,
Avient biocolorants can offer a large spectrum
of color possibilities supporting differentiation
and appeal at consumer level.
https://www.avient.com/sites/default/files/2023-03/AVNT Q2 2022 Earnings Presentation - Website Version.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
9
ESG PERFORMANCE & AWARDS
10
84th
ENVIRONMENTAL
SOCIAL
GOVERNANCE
1
3
(as of 6/30/22)
2022 O U TLO O K
$429
$490
$3.05
$3.50
FY 2022 GUIDANCE
(TOTAL COMPANY: CURRENT PORTFOLIO)
12
Sales Adjusted Operating Income
$4,819
$5,100
+ 6%
Adjusted EPS
+ 14% + 15%
(in millions) (in millions)
(+ 9% excluding FX) (+ 18% excluding FX) (+ 20% excluding FX)
13
CASH FLOW / LEVERAGE
($ 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
14
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
15
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.
EPS (ex Amort) 3.96$ 0.13$ 4.09$ (0.58)$ 3.51$
Pro Forma Leverage (12/31/2022E)
Net Debt / Adjusted EBITDA 1.6x 3.4x 2.8x
Forecast Dyneema
Forecast +
Dyneema
Sale of
Distribution
Pro Forma
2022
TWO-YEAR LEVERAGE MODEL
16
3.5x
2.7x
1.6x
2.8x
2.4x
2.0x
2019PF 2020PF 2022E 2022PF 2023E 2024E
Dyneema® AcquisitionClariant Color Acquisition
(1) Pro forma for the acquisition of the Clariant Color business
(2) Pro forma for the acquisition of Dyneema® and potential divestiture of
Distribution, including repayment of senior notes due 2023 and Term Loan
(1) (1) (2)
OUR SPECIALTY JOURNEY CONTINUES
17
• Dyneema® brings leading technology and brand with
the World’s Strongest Fiber™, deep history of
application development and strong
management team focused on specialty
applications
• Dyneema® transaction is aligned with our previously
stated acquisition goal of expanding our composites
and fiber capabilities
• Similar to our other technology expansion
acquisitions, Dyneema® allows us to leverage our
invest-to-grow strategy
• The possible sale of our Distribution business also
presents potential benefits with respect to leverage
and EBITDA margins
46%
66%
86%
100%
0%
40%
60%
80%
100%
2005 2010 2015 2021 2022 PF
%
o
f A
dj
u
st
ed
E
B
IT
D
A
(1
)
JVs Distribution Performance Products & Solutions Specialty
(1) Adjusted EBITDA is EBITDA excluding corporate costs and special items
(2) Pro forma for the acquisition of Dyneema® and potential divestiture of Distribution
(2)
Building &
43%
14%
Telecom.
2006 2022 Pro forma
Building &
Telecom.
https://www.avient.com/sites/default/files/2022-01/NAI_1525166563_1_Poland_8B.d_Extract %28new name branch%29.PDF
SOCIETE A RESPONSABILITE LIMITEE
5.Nazwa rejestru, numer w rejestrze,
określenie ogranu prowadzącego rejestr i
przechowującego akta przedsiębiorcy
zagranicznego
REGISTRE DE COMMERCE ET DES SOCIETES B226205 LUXEMBOURG BUSINESS REGISTERS G.I.E.
6.Prawo państwa właściwego dla
przedsiębiorcy zagranicznego, jeśli
przedsiębiorca nie podlega prawu jednego z
państw członkowskich UE lub EFTA - stron
umowy o EOG
WIELKIE KSIĘSTWO LUKSEMBURGA
7.Dane o wcześniejszej rejestracji ------
8.Czy przedsiębiorca prowadzi działalność
gospodarczą z innymi podmiotami na
podstawie umowy spółki cywilnej?