https://www.avient.com/investor-center/news/polyone-announces-commencement-650-million-senior-notes-offering
The net proceeds will also fund, in part, the payment of expenses related to the acquisitions.
https://www.avient.com/investor-center/news/polyone-announces-pricing-650-million-575-senior-notes-due-2025
The net proceeds will also fund, in part, the payment of expenses related to the acquisitions.
https://www.avient.com/investors/investor-news?page=21
2024 Investor Day
https://www.avient.com/sites/default/files/resources/POL%2520IR%2520Presentation%2520-%2520RW%2520Baird%2520Conference%2520w%2520non-GAAP.pdf
S&P 500
-150%
-50%
50%
150%
250%
350%
450%
550%
POL S&P 500
All time high of
$43.34
July 1st, 2014
PolyOne Corporation Page 9
2006 2014 YTD 2015
“Where we were” “Where we are” Target
1) Operating Income %
Specialty:
Global Color, Additives & Inks 1.7% 14.9% 12 – 16%
Global Specialty Engineered
Materials
1.1% 12.1% 12 – 16%
Designed Structures & Solutions -- 7.6% 8 – 10%
Performance Products &
Solutions
5.5% 8.1% 9 – 12%
Distribution 2.6% 6.2% 6 – 7.5%
2) Specialty Platform % of
Operating Income
6.0% 65% 65 – 75%
3) ROIC* 5.0% 10.6% 15%
4) Adjusted EPS Growth N/A 37%
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
PolyOne Corporation Page 10
32% Adjusted EPS CAGR from 2011
2015 EPS: $2.50
2011 EPS: $0.82
Continued Gross Margin
Expansion
Mergers & Acquisitions
Spartech Accretion
Incremental Share Buybacks
Ongoing LSS Programs
(50-100 bps/yr)
Accelerated Innovation
& Mix Improvement
Several Levers to
Drive Growth
Mid Single Digit Revenue Growth
PolyOne Corporation Page 11
Innovation Drives Earnings Growth
*Percentage of Specialty Platform revenue from products introduced in last five years
$20
$53
2006 2013
Research & Development
Spending
($ millions)
Specialty Platform
Vitality Index Progression*
14%
31%
2006 2013
Specialty Platform
Gross Margin %
20%
43%
2006 2013
Specialty Vitality Index Target ≥ 35%
Vitality Products
+ 700 to 1000 bps
PolyOne Corporation Page 12
Prototype Frame
Opportunity
Scale-up &
Test Market
Build
Business Case
Commercial
Launch
Phase
1
Phase
2
Phase
3
Phase
4
Phase
5
4
11
5
10
6
9
3 4 2
15
9
1
10
4
Breakthrough
Platform
Derivative
A Rich Pipeline of Opportunity
Number of Projects 25 14 19 17 18 93
Addressable Market
($ millions)
TBD TBD $800 $450 $450 $1,700
PolyOne Corporation Page 13
Megatrends Aligned with Key End Markets
Decreasing
Dependence
on Fossil
Fuels
Protecting
the
Environment
Improving
Health and
Wellness
Megatrend End Markets
Globalizing
and
Localizing
Health &
Wellness
Transportation
Packaging
Consumer
PolyOne Corporation Page 14
60%
100%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2008 2014
Pension Funding**
As of September 30, 2014
Debt Maturities & Pension Funding – 9/30/14
Net Debt / EBITDA* = 1.7x
$48
$317
$600
$0
$100
$200
$300
$400
$500
$600
$700
$800
2015 2020 2023
Debt Maturities
As of September 30, 2014
($ millions)
Coupon Rates: 7.500% 7.375% 5.250%
** includes US-qualified pension plans only *TTM 9/30/2014
PolyOne Corporation Page 15
Free Cash Flow and Strong Balance Sheet
Fund Investment / Shareholder Return
Expanding our sales, marketing,
and technical capabilities
Targets that expand our:
• Specialty offerings
• End market presence
• Geographic footprint
• Operating Margin
Synergy opportunities
Adjacent material solutions
Repurchased 1.5 million shares in
Q3 2014
Repurchased 9.7 million
shares since early 2013
10.3 million shares are
available for
repurchase under the
current authorization
Organic
Growth
Acquisitions
Share
Repurchases
Dividends
Investing in operational and
LSS initiatives (including
synergy capture)
Manufacturing alignment
$0.16
$0.20
$0.24
$0.32
$0.40
$0.10
$0.20
$0.30
$0.40
$0.50
2011 2012 2013 2014 2015
Annual Dividend
PolyOne Corporation Page 16
PolyOne Core Values
Innovation
Collaboration
Excellence
PolyOne Corporation Page 17
The New PolyOne: A Specialty Growth Company
Why Invest In PolyOne?
https://www.avient.com/products/polymer-colorants/fiber-colorants/renol-fiber-colorants
The Renol™ Fiber Colorants portfolio includes black, white, single pigment dispersion and custom color masterbatches for spun-dyed polyester and polyamide.
The color can be combined with additives for a single masterbatch solution that provides coloration and enhances the properties of spun-dyed fibers.
https://www.avient.com/products/polymer-colorants/fiber-colorants/remafin-fiber-colorants
The Remafin Fiber Colorants for PP range includes black, white, single pigment dispersion and custom color masterbatches for spun-dyed polypropylene.
The color can be combined with additives for a single masterbatch solution that provides coloration and enhances the properties of spun-dyed polypropylene.
https://www.avient.com/products/polymer-colorants/colorant-dispersions/colorants-liquid-silicone-rubber
These silicone paste colorants are single-pigment or custom-made dispersions using a silicone carrier developed for liquid silicone rubber (LSR) injection molding applications.
Standard single-pigment colorants, or custom multi-pigment colorants for one-component moisture-cured and two-component systems
https://www.avient.com/news/revolutionary-new-fiber-coloration-technology-polyone-showcased-itma-2015
While traditional aqueous dyeing can use up to 10 liters of water to color a single kilogram of fiber, spin coloring uses no water, less energy and fewer chemicals.
Further, several injection points can be added to run multiple colors or additives at the same time on a single extruder to enhance flexibility.
https://www.avient.com/products/polymer-colorants/liquid-color-concentrates/mevopur-lq-liquid-color-additives-healthcare
Versatile colorants in single-pigment or custom multi-pigment options.
Keep it simple: Get the color and additive enhancement you need from a single concentrate
https://www.avient.com/investor-center/events/polyone-corporation-celebrates-10-years-trading-nysechairman-president-and-ceo-stephen-d-newlin-rings-opening-bell