https://www.avient.com/sites/default/files/resources/POL%2520Sidoti%2520IR%2520Presentation%2520w%2520Non%2520GAAP%25203%252018%25202014.pdf
Use of Non-GAAP Measures
Page 3
PolyOne Commodity to Specialty Transformation
Page 4
• Continue specialty
transformation
• Targeting $2.50
Adjusted EPS by
2015, nearly
double 2013 EPS
• Drive double digit
operating income
and adjusted EPS
growth
• 17 consecutive
quarters of double-
digit adjusted EPS
growth
• Shift to faster
growing, high
margin, less cyclical
end markets
• Key acquisitions
propel current and
future growth, as
well as margin
expansion
• Established
aggressive 2015
targets
• Steve Newlin
Appointed,
Chairman, President
and CEO
• New leadership
team appointed
• Implementation of
four pillar strategy
• Focus on value
based selling,
investment in
commercial
resources and
innovation to drive
transformation
• Volume driven,
commodity
producer
• Heavily tied to
cyclical end markets
• Performance largely
dependent on non-
controlling joint
ventures
2000-2005 2006 - 2009 2010 – 2013 2014 and beyond
-150.00%
-50.00%
50.00%
150.00%
250.00%
350.00%
PolyOne S&P 500 Russell 2000 Dow Jones Chemical
All time high of
$38.38
March 7th, 2014
• 17 consecutive quarters of
double digit EPS growth
• 49% CAGR adjusted EPS
expansion 2006-2013
• 2013 stock price increased
73% versus 30% growth in the
S&P
• More than seven fold increase in
market cap: $0.5b $3.6b
Strategy and Execution Drive Results
Page 5
Appliance
4%
Building &
Construction
13%
Wire & Cable
9%
Electrical &
Electronics
5%
Consumer
10%Packaging
16%
Industrial
12%
HealthCare
11%
Transportation
18%
Misc.
2%
United
States
66%
Europe
14%
Canada
7%
Asia
6%
Latin
America
7%
PP&S
Specialty
53%
Distribution
27%
0.12
0.27 0.21
0.13
0.68
0.82
1.00
1.31
2.50
$0.00
$0.25
$0.50
$0.75
$1.00
$1.25
$1.50
$1.75
$2.00
$2.25
$2.50
2006 2007 2008 2009 2010 2011 2012 2013 2015
Target
Ad
ju
st
ed
E
ar
ni
ng
s P
er
S
ha
re
2013 Revenues: $3.8 Billion
End Markets
2013 Revenues: $3.8 Billion
EPS
Page 6
PolyOne
At A Glance
Old
PolyOne Transformation
*Operating Income excludes corporate charges and special items
2%
34% 43%
62%
65-
75%
0%
20%
40%
60%
80%
100%
2005 2008 2010 2013 2015
%
o
f O
pe
ra
tin
g
In
co
m
e*
JV's Performance Products & Solutions Distribution Specialty
Specialty OI $5M $46M $87M $195M Target
Mix Shift Highlights Specialty Transformation
2015
Target
Page 7
2006 2013 2015
“Where we were” “Where we are” Target
1) Operating Income %
Specialty:
Global Color, Additives & Inks 1.7% 12.2% 12 – 16%
Global Specialty Engineered
Materials 1.1% 9.3% 12 – 16%
Designed Structures & Solutions -- 5.6% 8 – 10%
Performance Products &
Solutions 5.4% 7.2% 9 – 12%
Distribution 2.6% 5.9% 6 – 7.5%
2) Specialty Platform % of
Operating Income 6.0% 62% 65 – 75%
3) ROIC* (after-tax) 5.0% 9.1% 15%
4) Adjusted EPS Growth N/A 31% Double Digit
Expansion
Proof of Performance & 2015 Goals
*ROIC is defined as TTM adjusted OI divided by the sum of average debt and equity over a 5 quarter period
Page 8
Bridge To $2.50 Adjusted EPS By 2015
2015 EPS: $2.50
2013 EPS: $1.31
Mid single digit
revenue CAGR
Page 9
Mergers & Acquisitions
Spartech accretion
Incremental share buybacks
Ongoing LSS Programs
(50-100 bps/yr)
Accelerated Innovation &
Mix Improvement
Innovation Drives Earnings Growth
$20.3
$52.3
2006 2013
Research & Development
Spending
($ millions)
Specialty Platform
Vitality Index Progression*
*Percentage of Specialty Platform revenue from products introduced in last five years
Page 10
14.3%
30.7%
2006 2013
Specialty Platform
Gross Margin %
19.5%
43.0%
2006 2013
Healthcare
Consumer
Packaging and Additive Technology
Transportation
Page 11
Unique and Innovative Solutions that Help
Customers Win
https://www.dropbox.com/sh/dwe4t8aacvhb8ui/uD3p_bdglP/Presentation revise pics/GLS Beverage can closure XO 2.jpg
https://www.dropbox.com/sh/dwe4t8aacvhb8ui/-YgkycKypw/Anti-Counterfeiting release & images/GN1979.JPG
Net Debt / EBITDA* = 1.8x
$48
$317
$600
$0
$100
$200
$300
$400
$500
$600
$700
$800
2015 2020 2023
Significant Debt Maturities
As of December 31, 2013
($ millions)
Page 12
Coupon Rates: 7.500% 7.375% 5.250%
Debt Maturities & Pension Funding – 12/31/13
*TTM 12/31/2013 ** includes US-qualified plans only
60%
100%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2008 2013
Pension Funding**
As of December 31, 2013
Free Cash Flow and Strong Balance Sheet Fund Investment
•Targets that expand our:
• Specialty offerings
•End market presence
•Geographic footprint
•Operating Margin
• Synergy opportunities
•Adjacent material solutions
•Expanding our sales,
marketing, and technical
capabilities
• Investing in operational and
LSS initiatives (including
synergy capture)
•Manufacturing alignment Organic
Growth
Share
Repurchases
Dividends
Acquisitions
Page 13
$0.16
$0.20 $0.24
$0.32
$0.00
$0.10
$0.20
$0.30
$0.40
2011 2012 2013 2014
Annual Dividend
• Repurchased ~5 million
shares in 2013
• 15 million shares
are available for
repurchase under
the current
authorization
The New PolyOne: A Specialty Growth Company
2015 Target: $2.50 Adjusted EPS
Why Invest In PolyOne?
https://www.avient.com/sites/default/files/2024-02/AVNT Q4 2023 Earnings Presentation_For Website_with Non-GAAP.pdf
ASHISH KHANDPUR
PRESIDENT & CEO
4
5
PORTFOLIO TRANSFORMATION
5
46%
66%
87%
100%
0%
20%
40%
60%
80%
100%
2005 2010 2015 2020 2023
%
o
f A
dj
us
te
d
EB
IT
D
A
Commodity JVs Distribution Performance Products & Solutions Specialty Businesses
Adjusted EBITDA from Specialty Applications
SUSTAINABILITY AS A GROWTH DRIVER
7
LONG-TERM REVENUE GROWTH DRIVERS
Sustainable
Solutions
Composites, Healthcare,
Asia / LATAM
Overlap
Other
60%+
Key Growth
Drivers
Total Company Revenue
Growth Drivers Long-Term
Growth Rate
Sustainable Solutions 8–12%
Composites 8–10%
Healthcare 8–10%
Asia / LATAM 5%
Other 0–2%
Avient 6%
END MARKET OBSERVATIONS
(% OF COMPANY SALES)
ENERGY
DEFENSE
TELECOMMUNICATIONS
HEALTHCARE
8
TRANSPORTATION
INDUSTRIAL
BUILDING &
CONSTRUCTION 9%
CONSUMER
19%
PACKAGING
23%
9
REGIONAL OBSERVATIONS
(% OF COMPANY SALES)
9
41%
36%
Q 4 2 0 2 3 R E S U LT S
Q4 2023 PERFORMANCE VS.
https://www.avient.com/investor-center/news/polyone-announces-second-quarter-2018-results
https://www.avient.com/sites/default/files/2022-05/DOC 1879.pdf
Facility Locations & Businesses
Berea, OH; Color Matrix
Bethel, CT; Colorant Chromatics
Elk Grove, IL; Color and Additives
Glendale, AZ; Color and Additives
Lockport, NY; Color and Additives
Kennesaw, GA; Specialty Inks & Coatings
La Porte, IN; Sil Co Tec
Lehigh Valley, PA; Color and Additives
Massillon, OH; GSDI
Mountain Top, PA; Specialty Coatings
North Baltimore, OH; Specialty Coatings
Norwalk, OH; Color and Additives
St.
https://www.avient.com/sites/default/files/2024-08/Avient-2023-Sustainability-Report_5.pdf
Pune, India(d) 66.
Portfolio Transformation Provides Foundation for Sustainable Long-Term Growth
2006 2014 2023
10.9%
5.4%
16.0%
A
d
ju
st
d
E
B
IT
D
A
M
ar
g
in
%
Total Company Revenue
60%+
Key Growth
Drivers
Sustainable
Overlap
Composites, Healthcare,
Asia/LATAM
Other
HOME | Contents | Message from the CEO | About Us | People | Products | Planet | Performance | Metrics | IndexHOME | Contents | Message from the CEO | About Us | People | Products | Planet | Performance | Metrics | Index Sustainability Report | 2023 66Sustainability Report | 2023 66
*Avient Sustainable Solutions definitions aligned with FTC 2012 Guide for the Use of Environmental Marketing Claims (“Green Guides”)
(1)2020 is Pro Forma to include full year of the Clariant Color business
(2)2022 is Pro Forma for the acquisition of APM and the divestiture of Distribution
Revenue from Sustainable Solutions*Sustainable
Solutions
As highlighted in our Products section, Avient has a highly
technical and broad portfolio of materials solutions that help our
customers—and our planet—be more sustainable.
Environmental data covers all sites
owned or operated by Avient in the reporting period.
102–47 List of material topics
People—Occupational Safety & Health; Training and Development; Diversity & Inclusion Pages 20, 23, 24
Products—Product Stewardship; Supplier Collaboration Page 45, 49
Reducing Emissions Across Our Value Chain; Waste: Preventing, Minimizing, Eliminating Pages 55, 57
Performance Overview Page 66
102–48 Restatements of information 2023 Total Energy: 595,769MWh
102–49 Changes in reporting No change
102–50 Reporting period January 1, 2023 through December 31, 2023
102–51 Date of most recent report This is Avient's 6th sustainability report.
https://www.avient.com/sites/default/files/2024-08/Avient 2023 Sustainability Report_6.pdf
Pune, India(d) 66.
Portfolio Transformation Provides Foundation for Sustainable Long-Term Growth
2006 2014 2023
10.9%
5.4%
16.0%
A
d
ju
st
d
E
B
IT
D
A
M
ar
g
in
%
Total Company Revenue
60%+
Key Growth
Drivers
Sustainable
Overlap
Composites, Healthcare,
Asia/LATAM
Other
HOME | Contents | Message from the CEO | About Us | People | Products | Planet | Performance | Metrics | IndexHOME | Contents | Message from the CEO | About Us | People | Products | Planet | Performance | Metrics | Index Sustainability Report | 2023 66Sustainability Report | 2023 66
*Avient Sustainable Solutions definitions aligned with FTC 2012 Guide for the Use of Environmental Marketing Claims (“Green Guides”)
(1)2020 is Pro Forma to include full year of the Clariant Color business
(2)2022 is Pro Forma for the acquisition of APM and the divestiture of Distribution
Revenue from Sustainable Solutions*Sustainable
Solutions
As highlighted in our Products section, Avient has a highly
technical and broad portfolio of materials solutions that help our
customers—and our planet—be more sustainable.
Environmental data covers all sites
owned or operated by Avient in the reporting period.
102–47 List of material topics
People—Occupational Safety & Health; Training and Development; Diversity & Inclusion Pages 20, 23, 24
Products—Product Stewardship; Supplier Collaboration Page 45, 49
Reducing Emissions Across Our Value Chain; Waste: Preventing, Minimizing, Eliminating Pages 55, 57
Performance Overview Page 66
102–48 Restatements of information 2023 Total Energy: 595,769MWh
102–49 Changes in reporting No change
102–50 Reporting period January 1, 2023 through December 31, 2023
102–51 Date of most recent report This is Avient's 6th sustainability report.
https://www.avient.com/sites/default/files/resources/POL%2520IR%2520Presentation%2520-%2520Investor%2520Day%25205-18-15.pdf
Garratt
President, Performance Products and Solutions
PolyOne Corporation Page 48
2014 Revenue by
Industry Segment
2014 Revenues:
$0.8 Billion
At a Glance
Performance Products & Solutions
80%
14%
Latin
America
4%
Building &
33%
Electrical &
1%
11%
5% Transportation
18% Wire & Cable
16%
PolyOne Corporation Page 49
What We Have Delivered
4.3%
6.3%
7.2%
7.7%
2011 2012 2013 2014
Operating Margin
$28
$39
$56
$63
2011 2012 2013 2014
Operating Income ($M) •Relentless focus on
portfolio mix optimization
•Lean Six Sigma drives
operational excellence
• Innovating in new markets
such as healthcare
•Expanding presence in
Mexico and China
Performance Products & Solutions
PolyOne Corporation Page 50
$96
$109
2006* 2014
To Value
Gross Margin
($ in millions)
+13%
1,431
1,124
2006* 2014
From Volume…
(lbs in millions)
-21%
Performance Products & Solutions
*2006 = Near peak housing
PolyOne Corporation Page 51
Accelerating Growth
Market Growth/
Megatrends
Innovation
Collaboration
Geographic
Expansion
Performance Products & Solutions
PolyOne Corporation Page 52
Who We Are Growing With
Performance Products & Solutions
PolyOne Corporation Page 53
Geographic Growth Opportunities
Mexico represents growth,
spurred by:
• Robust demand in Automotive
• Re-shoring from Asia
• PolyOne collaboration
China is a $2B PVC market;
2nd largest in the world:
• A new tax license enables
domestic (vs. export) business
• We have expanded capacity
• We are investing in capability
Performance Products & Solutions
PolyOne Corporation Page 54
Addressable Market
($ millions) $300 $150 $200
Innovation Pipeline Potential
Performance Products & Solutions
Prototype Frame
Opportunity
Scale-up & Test
Market
Build
Business Case
Commercial
Launch
Phase 1 Phase 2 Phase 3 Phase 4 Phase 5
0
2
0
1
0
3
0 1 1
1
5
3
1
1
1
Breakthrough
Platform
Derivative
PolyOne Corporation Page 55
Megatrends Aligned with Key End Markets
Increasing
Energy
Efficiency
Protecting
the
Environment
Improving
Health and
Wellness
Megatrend End Markets
Globalizing
and
Localizing
Health &
Wellness
Transportation
Packaging
Consumer
Performance Products & Solutions
PolyOne Corporation Page 56
Healthcare Solutions
LED Lighting
Key Initiatives
Eco-Conscious
Solutions
$25M
Revenue
potential
$30M
Revenue
potential
$60M
Revenue
Potential
Performance Products & Solutions
PolyOne Corporation Page 57
Platinum Vision
4.3%
6.3%
7.2% 7.7%
10-12%
2011 2012 2013 2014 2020
Platinum
Vision
World Class Operating Margin
Accelerating Growth
Performance Products & Solutions
Market Growth/
Megatrends
Innovation Collaboration Geographic
Expansion
PolyOne Corporation Page 58
Summary
• Business evolution from volume to value
• Business is at an inflection point
• Growth will be driven by:
Economic & Megatrend alignment
Innovation
Collaboration across PolyOne
Geographic sales expansion in China and Mexico
Performance Products & Solutions
PolyOne Corporation Page 59
PolyOne Distribution
Mark Crist
President, Distribution
PolyOne Corporation Page 60
At a Glance
PolyOne Distribution
15%
52%
2006 2014
Key Suppliers 2014 Revenues: $1.1 Billion
ROIC
Building &
13%
Electrical &
23%
15%
4%
25%
http://www.polyone.com/Pages/VariationRoot.aspx
PolyOne Corporation Page 61
What We Do
Processing Expertise
World-Class Supply Chain
Deep Customer Relationships
Market Consultation
Right the First Time… Every Time
PolyOne Corporation Page 62
What We Have Delivered
2.6%
3.5%
4.6%
6.4% 6.1%
2006 2008 2010 2012 2014
Operating Margin
$19
$28
$42
$66 $68
2006 2008 2010 2012 2014
Operating Income ($M) • World class supplier
line card
• Differentiating with
service and operational
excellence
• Key portfolio additions
with DuPont, Bayer
and Ineos
• Value based selling
and discipline
PolyOne Distribution
PolyOne Corporation Page 63
Accelerating Growth
PolyOne Distribution
Market Growth/
Megatrends
Commercial
Investment
Cross-Selling &
Collaboration
Growth in
Targeted Areas
PolyOne Corporation Page 64
Who We Are Growing With
PolyOne Distribution
PolyOne Corporation Page 65
Megatrends Aligned with Key End Markets
Increasing
Energy
Efficiency
Protecting
the
Environment
Improving
Health and
Wellness
Megatrend End Markets
Globalizing
and
Localizing
Health &
Wellness
Transportation
Packaging
Consumer
PolyOne Distribution
PolyOne Corporation Page 66
Geographic Growth Opportunities
• Currently 10% of POD’s revenue is
generated from Mexico
• Existing business is served “from
the border”
• New Mexico district & warehouse
will drive transportation growth in
Central Mexico
• Expansion in China resulted from
growing with our NA HC customers
• Investing in sales deployments
• Localizing supply
• Gaining Share
PolyOne Distribution
PolyOne Corporation Page 67
Going Beyond Distribution
WeatherTech® –
Polymer BumpStep®
BEDRUG™ – Tri-fold
Truck Bed Cover
CeQur PaQ – Type 2
Insulin Delivery Device
PolyOne Distribution
PolyOne Corporation Page 68
Platinum Vision
2.6%
4.6%
6.1%
6.5 - 7.5%
2006 2010 2014 2020
Platinum
Vision
World Class Distribution Margin
Accelerating Growth
PolyOne Distribution
Market Growth/
Megatrends
Commercial Investment Cross-Selling &
Collaboration
Growth in
Targeted Areas
PolyOne Corporation Page 69
Summary
• Motivated and well trained POD sellers
making the calls / collaborating with other
PolyOne businesses
• Representing a world class supplier line card
• Delighted customers and
suppliers who choose us
to represent them
PolyOne Distribution
PolyOne Corporation Page 70
Financial Highlights
Bradley C.
https://www.avient.com/sites/default/files/2020-10/luxury-closures-gravi-tech-design-guide-2.0-application-specific.pdf
Base Resin ABS PA PBT PC PE PEEK PP PPS
Barrel Temperatures °F (°C)
Rear Zone 400–475
(200–250)
430–500
480–520
(250–270)
480–570
(250–300)
400–445
(200–230)
660–700
(350–475)
400–440
(200–225)
520–600
(270–300)
Center Zone 410–480
(205–253)
440–510
(225–265)
483–522
(252–272)
500–580
(260–305)
410–455
(207–237)
670–710
(357–385)
410–450
(205–230)
550–610
(285–310)
Front Zone 420–490
(210–257)
450–520
(230–270)
487–527
(254–274)
515–590
(267–310)
420–465
(213–243)
680–720
(363–400)
420–455
(215–235)
570–620
(300–320)
Nozzle 425–500
(215–260)
460–530
(235–275)
490–530
(255–275)
530–600
(275–315)
700–730
(370–395)
430–460
(220–240)
610–620
(320–325)
Melt Temperature 425–515
(215–270)
530–580
(276–300)
500–565
(260–300)
530–615
(275–325)
430–495
700–725
(370–385)
610–635
(320–335)
Mold Temperature 140–200
(60–90)
150–200
(65–90)
140–250
(60–120)
160–240
(70–115)
300–400
(150–200)
190–300
(90–150)
Drying Parameters
190 (90)
2–4 Hours
0.01%–0.15%
180 (80)
4–5 Hours
0.10%–0.20%
275 (135)
0.02%–0.04%
250 (125)
0.02%
300 (150)
0.10%
280 (135)
2–3 Hours
0.01%–0.20%
Nozzle Type General Purpose Nylon or
ReverseTaper General Purpose General Purpose General Purpose General Purpose General Purpose General Purpose
Injection Velocity1 2.0–5.0 in/sec; 50–125 mm/sec
Injection Pressure 2,000–4,000 psi; 13,000–30,000 kpa
Back Pressure 0–50 psi; 0–350 kpa
Screw Speed 25–75 RPM
Cushion 0.125"–0.250"; 3.175 mm–6.35 mm
Screw Compression Ratio2 2.0:1–2.5:1
Design Guide 7
Base Resin ABS PA PBT PC PE PEEK PP PPS
Barrel Temperatures °F (°C)
Rear Zone 400–475
(200–250)
430–500
480–520
(250–270)
480–570
(250–300)
400–445
(200–230)
660–700
(350–475)
400–440
(200–225)
520–600
(270–300)
Center Zone 410–480
(205–253)
440–510
(225–265)
483–522
(252–272)
500–580
(260–305)
410–455
(207–237)
670–710
(357–385)
410–450
(205–230)
550–610
(285–310)
Front Zone 420–490
(210–257)
450–520
(230–270)
487–527
(254–274)
515–590
(267–310)
420–465
(213–243)
680–720
(363–400)
420–455
(215–235)
570–620
(300–320)
Nozzle 425–500
(215–260)
460–530
(235–275)
490–530
(255–275)
530–600
(275–315)
700–730
(370–395)
430–460
(220–240)
610–620
(320–325)
Melt Temperature 425–515
(215–270)
530–580
(276–300)
500–565
(260–300)
530–615
(275–325)
430–495
700–725
(370–385)
610–635
(320–335)
Mold Temperature 140–200
(60–90)
150–200
(65–90)
140–250
(60–120)
160–240
(70–115)
300–400
(150–200)
190–300
(90–150)
Drying Parameters
190 (90)
2–4 Hours
0.01%–0.15%
180 (80)
4–5 Hours
0.10%–0.20%
275 (135)
0.02%–0.04%
250 (125)
0.02%
300 (150)
0.10%
280 (135)
2–3 Hours
0.01%–0.20%
Nozzle Type General Purpose Nylon or
ReverseTaper General Purpose General Purpose General Purpose General Purpose General Purpose General Purpose
Injection Velocity1 2.0–5.0 in/sec; 50–125 mm/sec
Injection Pressure 2,000–4,000 psi; 13,000–30,000 kpa
Back Pressure 0–50 psi; 0–350 kpa
Screw Speed 25–75 RPM
Cushion 0.125"–0.250"; 3.175 mm–6.35 mm
Screw Compression Ratio2 2.0:1–2.5:1
Comments
1.
End of Fill
Part Length
Dynamic Pressure
Hydrostatic Pressure
P
ss
Gate End Part
FIGURE 61 - Deflection Equations
H
F
WLMax Deflection:
0.002" (0.05mm)
1 = W • H3
12
_______
bending = F • L3
48 • E • I
_______
k
Vcoolant
nmax, coolant
• Pcoolant • Cp, coolant
Dmin =
k
Vcoolant
nmax, coolant
• Pcoolant • Cp, coolant
Dmin =
k
Vcoolant
nmax, coolant
• Pcoolant • Cp, coolant
Dmin =
FIGURE 60 - Pressure vs Part Length
FIGURE 61 - Deflection equations
FIGURE 62 - For Plate Shaped Parts
FIGURE 63 - For Cylindrical Shaped Parts
Design Guide 49
• MMoldings = Combined mass of molded parts
• Cp = Specific Heat of the material
Step 3 – Heat Removal Rate
• Nlines = The total number of independent
cooling lines there are in the mold
• tc = The cooling time required by the part
(Determined in step 1)
Step 4 – Coolant Volumetric Flow Rate
• ΔTMax,Coolant = Change in coolant
Temperature During Molding (1°C)
• ρCoolant = Density of coolant
• CP = Specific heat of coolant
Step 5 – Determine Cooling Line Diameter
• ρCoolant = Density of coolant
• VCoolant = Volumetric flow rate of coolant
• μCoolant = Viscosity of coolant
• ΔPline = Max pressure drop per line
(Usually equals half of the pump capacity)
• LLine = Length of the cooling lines
COOLING LINE SPACING
k
Vcoolant
nmax, coolant
• Pcoolant • Cp, coolant
Dmin =
k
Vcoolant
nmax, coolant
• Pcoolant • Cp, coolant
Dmin =
k
Vcoolant
nmax, coolant
• Pcoolant • Cp, coolant
Dmin =
k
Vcoolant
nmax, coolant
• Pcoolant • Cp, coolant
Dmin =
k
Vcoolant
nmax, coolant
• Pcoolant • Cp, coolant
Dmin =
k
Vcoolant
nmax, coolant
• Pcoolant • Cp, coolant
Dmin =
2D < H
< 5D
H
< W
< 2H
FIGURE 70 - Cooling Line Spacing
FIGURE 64 - Heat Transfer Equation
FIGURE 65 - Total Cooling for Mold
FIGURE 66 - Cooling Required by Each Line
FIGURE 68 - Max Diameter Equation
FIGURE 69 - Min Diameter Equation
FIGURE 67 - Volumetric Flow Rate Equation
50 Gravi-Tech
ADHESIVE ADVANTAGES DISADVANTAGES
Cyanoacrylate
Rapid, one-part process
Various viscosities
Can be paired with primers
for polyolefins
Poor strength
Low stress crack resistance
Low chemical resistance
Epoxy
High strength
Compatible with various
substrates
Tough
Requires mixing
Long cure time
Limited pot life
Exothermic
Hot Melt
Solvent-free
High adhesion
Different chemistries for
different substrates
High temp dispensing
Poor high temp performance
Poor metal adhesion
Light Curing Acrylic
Quick curing
One component
Good environmental resistance
Oxygen sensitive
Light source required
Limited curing configurations
Polyurethane
High cohesive strength
Impact and abrasion resistance
Poor high heat
performance
Requires mixing
Silicone
Room temp curing
Good adhesion
Flexible
Performs well in high temps
Low cohesive strength
Limited curing depth
Solvent sensitive
No-Mix Acrylic
Good peel strength
Fast cure
Adhesion to variety
of substrates
Strong odor
Exothermic
Limited cure depth
Design Guide 51
Bibliography
1.
https://www.avient.com/sites/default/files/2021-10/microbial-susceptibility-of-various-polymers-and-evaluation.pdf
ZPT-
containing TPEs inhibited the growth (rating = 0) for a
mixture of environmentally relevant fungal species during
ASTM G21-15 testing (Table 2) and also yielded ≥3-log
reductions (99.9%) in E. coli and ≥4-log reductions
TABLE 3 Typical physical and mechanical properties observed for Versaflex™ GP 2810-40N thermoplastic elastomer with increasing
zinc pyrithione (ZPT) loading levels
Property Control
ZPT loading (ppm)
1000 2000 3000
Specific gravity (g/cm3) 0.877 ± 0.001 0.877 ± 0.001 0.878 ± 0.001 0.879 ± 0.001
Hardness, Shore A 37.2 ± 1.7 39.0 ± 1.2 40.2 ± 1.4 41.1 ± 1.9
Tensile strength (MPa) 3.45 ± 0.14 3.58 ± 0.19 3.63 ± 0.16 3.57 ± 0.26
Tensile elongation (%) 712 ± 22 696 ± 24 667 ± 16 679 ± 31
300% modulus (MPa) 1.65 ± 0.12 1.73 ± 0.10 1.86 ± 0.12 1.78 ± 0.12
Viscosity at 1340 s�1 (Pa s) 38.5 ± 2.5 40.1 ± 1.6 38.9 ± 1.3 39.8 ± 0.9
Viscosity at 11 170 s�1 (Pa s) 7.8 ± 0.3 8.1 ± 0.4 8.0 ± 0.4 8.5 ± 0.4
FIGURE 3 (A) A plot of haze and yellowness index as a function of zinc pyrithione (ZPT) loading level shows a relatively monotonic
relationship as well as a clear reduction in yellowness index with the addition of blue tint.
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.