https://www.avient.com/sites/default/files/2022-11/AVNT Q3 2022 Earnings Presentation - Website Final.pdf
They use words such as "will," “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,”
“believe” and other words and terms of similar meaning in connection with any discussion of future operating or financial condition, performance and/or sales.
Additionally, Adjusted EPS excludes the impact of special items and amortization expense
associated with intangible assets.2
T RAN S FO R MAT IO NAL
OVE RV IE W
Avient Protective
Materials
Dyneema
®
RECENT TRANSACTIONS
Acquired Divested
$1.45 B $0.95 B
4
Distribution
UPDATED CAPITAL STRUCTURE
& LIQUIDITY
• Proceeds from completed
sale of Distribution used to
pay near-term maturing debt
to strengthen balance sheet
• Fixed/floating debt ratio of
~55/45
• Proven track record of
deleveraging following major
acquisitions through strong
free cash flow generation
• 2022 pro forma net
debt/adjusted EBITDA
expected to be 3.1x
$725 $725
$575 $500
$600
$525
$650
$650
$600
Capital Structure
Cash
$544
Undrawn
Revolver
$250
Liquidity
$3.15B
$2.40B
2030 Notes
2029 Term Loan
2026 Term Loan
2025 Notes
2023 Notes
After Dyneema
Acquisition
After Distribution
Divestiture
$794M
(1) $250M reflects estimated undrawn revolver following the divestiture of Distribution
5
PREVIOUS TRANSACTIONS
Performance
Solutions
Products &
$0.8 B
COLOR
$1.4 B
Acquired (2020)Divested (2019)
6
• Acquisition of Clariant Color business significantly expanded
presence in healthcare, packaging and consumer end markets
• Strength of portfolio – double-digit annual EBITDA growth
since acquisition
• $75 million of realized synergies anticipated in 2022
• Acquisition completed on July 1, 2020 for $1.45 billion.
In addition, operating
income before the effect of special items is a component of Avient’s annual and long-term employee incentive plans and is used
in debt covenant computations.
https://www.avient.com/sites/default/files/AVNT Q1 2023 Earnings Press Release.pdf
Beggs added, “We are focused on executing our long-term strategy while we manage in the
downturn.
They use words such as "will," "anticipate," "estimate," "expect,"
"project," "intend," "plan," "believe," and other words and terms of similar meaning in connection
with any discussion of future operating or financial condition, performance and/or sales.
2) Tax adjustments include the net tax impact from non-recurring income tax items, adjustments to uncertain tax position reserves and changes
to valuation allowances.
10
Attachment 4
Avient Corporation
Condensed Consolidated Balance Sheets
(In millions)
(Unaudited)
March 31, 2023
December 31,
2022
ASSETS
Current assets:
Cash and cash equivalents $ 582.7 $ 641.1
Accounts receivable, net 484.4 440.6
Inventories, net 371.9 372.7
Other current assets 125.3 115.3
Total current assets 1,564.3 1,569.7
Property, net 1,045.7 1,049.2
Goodwill 1,689.7 1,671.9
Intangible assets, net 1,601.7 1,597.6
Other non-current assets 209.8 196.6
Total assets $ 6,111.2 $ 6,085.0
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Short-term debt $ 2.2 $ 2.2
Accounts payable 448.1 454.4
Accrued expenses and other current liabilities 386.9 412.8
Total current liabilities 837.2 869.4
Non-current liabilities:
Long-term debt 2,177.7 2,176.7
Pension and other post-retirement benefits 66.2 67.2
Deferred income taxes 332.5 342.5
Other non-current liabilities 329.0 276.4
Total non-current liabilities 2,905.4 2,862.8
SHAREHOLDERS' EQUITY
Avient shareholders’ equity 2,349.8 2,334.5
Noncontrolling interest 18.8 18.3
Total equity 2,368.6 2,352.8
Total liabilities and equity $ 6,111.2 $ 6,085.0
11
Attachment 5
Avient Corporation
Condensed Consolidated Statements of Cash Flows (Unaudited)
(In millions)
Three Months Ended
March 31,
2023 2022
Operating Activities
Net income $ 20.4 $ 84.5
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization 48.7 35.7
Accelerated depreciation 1.8 2.1
Share-based compensation expense 3.2 3.2
Changes in assets and liabilities, net of the effect of acquisitions:
Increase in accounts receivable (40.2) (118.8)
Decrease (increase) in inventories 3.8 (15.1)
(Decrease) increase in accounts payable (9.9) 90.5
Accrued expenses and other assets and liabilities, net (50.0) (63.2)
Net cash (used) provided by operating activities (22.2) 18.9
Investing activities
Capital expenditures (20.3) (13.3)
Net proceeds from divestiture 7.3 —
Net cash used by investing activities (13.0) (13.3)
Financing activities
Purchase of common shares for treasury — (15.8)
Cash dividends paid (22.5) (21.7)
Repayment of long-term debt (0.8) (2.4)
Other financing (2.3) (3.9)
Net cash used by financing activities (25.6) (43.8)
Effect of exchange rate changes on cash 2.4 (0.4)
Decrease in cash and cash equivalents (58.4) (38.6)
Cash and cash equivalents at beginning of year 641.1 601.2
Cash and cash equivalents at end of period $ 582.7 $ 562.6
12
Attachment 6
Avient Corporation
Business Segment Operations (Unaudited)
(In millions)
Operating income and earnings before interest, taxes, depreciation and amortization (EBITDA) at the segment level does not
include: special items as defined in Attachment 3; corporate general and administration costs that are not allocated to segments;
intersegment sales and profit eliminations; share-based compensation costs; and certain other items that are not included in the
measure of segment profit and loss that is reported to and reviewed by the chief operating decision maker.
https://www.avient.com/sites/default/files/2022-05/ColorMatrix Amosorb Solo Technical Bulletin.pdf
Pressure from the media, the scientific community,
end-consumers, and legislation is pushing
members of the polymer industry value chain
to play their part, in proposing alternative
sustainable solutions that can perform in terms of
recyclability.
The
ColorMatrix™ Amosorb™ product line currently offers
a wide range of masterbatch grades that can be
used to address the needs of different beverages or
foods in terms of protection from oxygen ingress.
Amosorb SolO2 in particular is often utilized for
products requiring long-term shelf-life protection
from oxygen ingress and/or CO2 egress.
https://www.avient.com/sites/default/files/2021-02/avient-ir-presentation-goldman-sachs-and-morgan-stanley.pdf
Investing in Innovation — Specialty companies invest to grow, so we ensure our
resources are concentrated on material science for high-growth end markets, poised for
value creation in the long term.
Whether it’s an ambitious start-up bringing a new product to market, or a large, multi-
national OEM looking for consistency and reliability of global supply, Avient is built for
long-term partnerships.
In addition, operating
income before the effect of special items is a component of Avient’s annual and long-term employee incentive plans and is used
in debt covenant computations.
https://www.avient.com/sites/default/files/resources/PolyOne%25202014%2520Annual%2520Report.pdf
We offer payment terms to our customers that are competitive.
Š To develop our expected long-term
return on plan assets, we consider
historical and forward looking long-term
asset returns and the expected
investment portfolio mix of plan assets.
Short-term
investments in common collective funds represent cash and other short-term investments.
https://www.avient.com/sites/default/files/2022-03/AVNT Mar 2022 Presentation.pdf
They use words such as "will," “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “believe” and other words
and terms of similar meaning in connection with any discussion of future operating or financial condition, performance and/or sales.
Whether it’s an ambitious start-up bringing a new product to market, or a large, multi-
national OEM looking for consistency and reliability of global supply, Avient is built for
long-term partnerships.
Investing in Innovation — Specialty companies invest to grow, so we ensure our
resources are concentrated on material science for high-growth end markets, poised for
value creation in the long term.
https://www.avient.com/sites/default/files/2023-11/AVNT Q3 2023 Earnings Press Release.pdf
The company also noted that it had paid down $100 million of debt and refinanced its Term Loan
during the third quarter, reducing the interest rate and extending certain maturities from 2026 to
2029.
This reflects the confidence we have in our ability to continue to deliver consistent free
cash flow, but more importantly to drive long-term earnings growth from the areas of focus we
highlighted at our Sustainability Day in September.”
They use words such as "will," "anticipate," "estimate," "expect,"
"project," "intend," "plan," "believe," and other words and terms of similar meaning in
connection with any discussion of future operating or financial condition, performance and/or
sales.
https://www.avient.com/sites/default/files/2021-10/avnt-q3-2021-news-release.pdf
We are excited to
lay out our long-term growth plans, highlighting our sustainable solutions portfolio as well as
provide an update on the synergies expected from the Clariant color business acquisition,” said
Jamie Beggs, Senior Vice President and Chief Financial Officer, Avient Corporation.
They use words such as “will,” “anticipate,” “estimate,” “expect,” “project,” “intend,”
“plan,” “believe,” and other words and terms of similar meaning in connection with any discussion
of future operating or financial condition, performance and/or sales.
In addition, operating income before the effect of special items is
a component of Avient annual and long-term employee incentive plans and is used in debt covenant computations.
https://www.avient.com/sites/default/files/2021-08/avient-cdp-climate-change-questionnaire-2021.pdf
From (years) To (years) Comment
Avient CDP Climate Change Questionnaire 2021 Tuesday, August 3, 2021
12
Short-term 0 5
Medium-term 5 15
Long-term 15 30
C2.1b
(C2.1b) How does your organization define substantive financial or strategic impact
on your business?
Time horizon covered by the financial planning process for Access to
Capital: long term
Such process and guidance are fully integrated in our financial planning,
which outlook can span from short term to long term.
https://www.avient.com/sites/default/files/2021-06/avient-ir-presentation-june-2021-w-non-gaap-recs_0.pdf
Whether it’s an ambitious start-up bringing a new product to market, or a large, multi-
national OEM looking for consistency and reliability of global supply, Avient is built for
long-term partnerships.
Investing in Innovation — Specialty companies invest to grow, so we ensure our
resources are concentrated on material science for high-growth end markets, poised for
value creation in the long term.
Published 2030 performance goals, further enhancing our position as
a responsible business creating sustainable, long-term value for its
stakeholders