https://www.avient.com/sites/default/files/2024-01/SmartHeat RHC Application Snapshot.pdf
PACKAGING
CONVERTER
R P E T W A T E R B O T T L E S
• Provided the only reheat additive with APR
Critical Guidance & Bottle-to-Bottle Recognition
• Allowed increased use of rPET with no negative
impact to performance or aesthetics
• Enabled preforms to heat more quickly to
improve cycle times and reduce energy usage
• Set up onsite dosing equipment for customer at
multiple locations and provided technical support
nationally
ColorMatrix™ SmartHeat™ RHC
WHY AVIENT?
https://www.avient.com/products/polymer-additives/reheat-additives-pet/colormatrix-smartheat-rhc
https://www.avient.com/sites/default/files/2020-07/woonkeatmoh_0.pdf
WOON KEAT MOH
Senior Vice President, President Color, Additives & Inks–Americas and Asia
Woon Keat Moh (“Moh”) is senior vice president, president, Color, Additives & Inks, Americas
and Asia regions for Avient Corporation, a premier provider of specialized and sustainable
material solutions and services.
This has included Sales Director for Avient’s Color and Additives
segment in Asia and General Manager of Engineered Materials Asia.
https://www.avient.com/sites/default/files/2020-08/maxxam-polyolefins-formualtions-case-study.pdf
Avient engineered a new customized formulation for the
part, which provided both the processability required
for extremely short cycle injection-compression
molding, as well as including an additive to stabilize
the material when in contact with copper.
This additive
protects the door from cracking as it comes into contact
with copper particles over time.
In addition, the new material also provides anti-static
properties and low VOC levels, which helps the system
adhere to regulations such as the Vehicle Interior Air
Quality (VIAQ) standard.
https://www.avient.com/sites/default/files/2020-08/silcosperse-ec-product-bulletin.pdf
PRODUCT BULLETIN
1.00E+00
1.00E+02
1.00E+04
1.00E+06
1.00E+08
1.00E+10
1.00E+12
1.00E+14
1.00E+16
1.00E+18
0 10 20 30 40 50 60 70
R
e
s
is
it
iv
it
y
/
O
h
m
Silcosperseä EC dosing percentage (%)
CB HCR
SWCNT HCR
SWCNT LSR
MWCNT HCR
aceSurface Resistivity
Silcosperse™ EC Electrically Conductive
Additive Dispersions
Silcosperse™ EC Electrically Conductive additive
dispersions provide varying levels of electrical
conductivity to silicone material.
These functional
additives allow silicone, which is normally an
electrical insulator, to become an anti-static, static
dissipative or fully conductive material, making it
suitable for a variety of uses.
CB is also available as
a European food regulation compliant grade.
0 10 20 30 40 50 60 70
1.00E+18
1.00E+16
1.00E+14
1.00E+12
1.00E+10
1.00E+08
1.00E+06
1.00E+04
1.00E+02
1.00E+00
INSULATIVE
ANTISTAT
DISSIPATIVE
CONDUCTIVE
KEY CHARACTERISTICS
• Delivers a range of properties from
anti-static through conductive
• Achieves greater conductivity levels
with lower loadings in single- and
multi-wall nanotubes
• Anti-static performance available
at lower doses
• Dark color options, such as browns,
blues or reds, available at lower dosages
in single-wall nanotubes
• Suitable for peroxide- or platinum-cured
silicone formulations
MARKETS AND APPLICATIONS
Silcosperse EC Electrically Conductive additive
dispersions are found in a variety of markets,
including transportation, energy, electrical &
electronics, and the films & coatings industry.
https://www.avient.com/sites/default/files/2020-10/fluoropolymer-cable-case-study-.pdf
CABLE MANUFACTURER
REBOUNDS WITH
SPECIALIZED COLOR
AND ADDITIVE
MASTERBATCHES
CASE STUDY: COLORANT CHROMATICS™
Ch
all
en
ge
A
cc
ep
te
d.
Finding suppliers of fluoropolymer color and
additive masterbatches able to meet its standards has
not always been easy.
With the help of Avient’s color design service, the
company was able to develop new product lines that
paved the way for additional revenue from new and
existing customers.
https://www.avient.com/sites/default/files/resources/PolyOne%2520Investor%2520Day%2520Presentation%2520NonGAAP%2520Reconciliation%2520-%2520May%252016%252C%25202012.pdf
Platform operating income mix percentage 2005Y 2008Y 2011Y
Global Specialty Engineered Materials $ 0.4 $ 17.6 $ 45.9
Global Color, Additives and Inks 4.3 28.1 43.4
Specialty Platform $ 4.7 $ 45.7 $ 89.3
Performance Products and Solutions 75.7 31.3 62.4
Distribution 19.5 28.1 56.0
SunBelt Joint Venture 91.9 28.6 5.0
Corporate (51.5) (425.1) 20.3
Operating income (loss) GAAP $ 140.3 $ (291.4) $ 233.0
Less: Corporate operating expense (income) 51.5 425.1 (20.3)
Operating income excluding Corporate $ 191.8 $ 133.7 $ 212.7
Specialty platform operating mix percentage 2% 34% 42%
Pro forma platform operating income mix percentage
2007
Pro forma
2011Y
Specialty Platform $ 30.6 $ 89.3
Pro forma ColorMatrix - 27.7
Specialty Platform pro forma ColorMatrix $ 30.6 $ 117.0
Performance Products and Solutions 65.8 62.4
Distribution 22.1 56.0
SunBelt Joint Venture 34.8 5.0
Corporate (73.3) 20.3
Operating income pro forma ColorMatrix $ 80.0 $ 260.7
Less: Corporate and SunBelt operating income 73.3 (25.3)
Operating income excluding Corporate operating income $ 153.3 $ 235.4
Specialty platform operating mix percentage 20% 50%
Adjusted EPS 2006Y 2007Y 2008Y 2009Y 2010Y 2011Y
Net Income $ 130.9 $ 40.9 $ (417.0) $ 106.7 $ 162.6 $ 172.6
SunBelt and OxyVinyls equity earnings, after tax (68.5) (26.1) (20.8) (19.0) (14.7) (3.7)
Special items, after tax (21.2) 41.4 310.0 (31.0) 15.8 (30.5)
Tax adjustments (30.0) (30.7) 147.2 (44.9) (88.3) (42.3)
Adjusted net income $ 11.2 $ 25.5 $ 19.4 $ 11.8 $ 75.4 $ 96.1
Diluted shares 92.8 93.1 92.7 93.4 96.0 94.3
Adjusted EPS $ 0.12 $ 0.27 $ 0.21 $ 0.13 $ 0.79 $ 1.02
Adjusted EPS Q1 2011 Q1 2012
Net Income $ 110.2 $ 20.2
SunBelt equity earnings, after tax (3.7) -
Special items, after tax (79.8) 6.1
Tax adjustments (1.5) 0.1
Adjusted net income $ 25.2 $ 26.4
Diluted shares 96.4 90.7
Adjusted EPS $ 0.26 $ 0.29
Platform sales and operating income (OI) 2005 2006 2007 2008 2009 2010 2011
Global Specialty Engineered Materials Sales $ 282.5 $ 345.3 $ 384.4 $ 514.0 $ 402.9 $ 517.4 $ 575.1
Global Color, Additives and Inks Sales 503.7 531.8 560.5 554.3 459.8 527.4 544.6
Specialty Platform Sales $ 786.2 $ 877.1 $ 944.9 $ 1,068.3 $ 862.7 $ 1,044.8 $ 1,119.7
Performance Products and Solutions Sales 1,136.3 1,166.2 1,086.8 1,001.4 667.7 776.3 865.4
PolyOne Distribution Sales 679.2 732.8 744.3 796.7 625.1 911.9 996.5
Corporate and Eliminations (151.1) (153.7) (133.3) (127.7) (94.8) (111.1) (118.1)
Total Sales $ 2,450.6 $ 2,622.4 $ 2,642.7 $ 2,738.7 $ 2,060.7 $ 2,621.9 $ 2,863.5
Pro forma ColorMatrix Sales 196.0
Total sales pro forma ColorMatrix $ 3,059.5
Global Specialty Engineered Materials OI $ 0.4 $ 3.9 $ 4.9 $ 17.6 $ 20.6 $ 49.7 $ 45.9
Global Color, Additives and Inks OI 4.3 8.9 25.7 28.1 25.2 37.7 43.4
Specialty Platform OI $ 4.7 $ 12.8 $ 30.6 $ 45.7 $ 45.8 $ 87.4 $ 89.3
Performance Products and Solutions OI 75.7 64.2 65.8 31.3 33.1 54.0 62.4
PolyOne Distribution OI 19.5 19.2 22.1 28.1 24.8 42.0 56.0
Sunbelt Joint Venture OI 91.9 102.9 34.8 28.6 25.5 18.9 5.0
Corporate and eliminations (21.8) (4.6) (25.5) (28.9) (40.8) (32.5) (26.4)
Special items (29.7) 39.1 (47.8) (396.2) 48.7 4.8 46.7
Operating income (loss) GAAP $ 140.3 $ 233.6 $ 80.0 $ (291.4) $ 137.1 $ 174.6 $ 233.0
Sunbelt equity income (72.5) (107.0) (40.8) (32.5) (29.7) (23.1) (5.7)
Special items 29.7 (39.1) 47.8 396.2 (48.7) (4.8) (46.7)
Operating income adjusted $ 97.5 $ 87.5 $ 87.0 $ 72.3 $ 58.7 $ 146.7 $ 180.6
Operating income pro forma ColorMatrix 27.7
Operating income adjusted pro forma ColorMatrix $ 208.3
Global Specialty Engineered Materials - OI as a
percentage of sales 0.1% 1.1% 1.3% 3.4% 5.1%
9.6%
8.0%
Global Color, Additives and Inks - OI as a
percentage of sales 0.9% 1.7% 4.6% 5.1% 5.5%
7.1%
8.0%
Specialty platform OI as a percentage of sales 0.6% 1.5% 3.2% 4.3% 5.3% 8.4% 8.0%
Specialty platform OI as a percentage of sales -
pro forma ColorMatrix
8.9%
Global Color, Additives and Inks OI as a
percentage of sales – pro forma ColorMatrix
9.6%
PP&S operating OI as a percentage of sales 6.7% 5.5% 6.1% 3.1% 5.0% 7.0% 7.2%
Distribution OI as a percentage of sales 2.9% 2.6% 3.0% 3.5% 4.0% 4.6% 5.6%
PolyOne OI adjusted, as a percentage of sales 4.0% 3.3% 3.3% 2.6% 2.8% 5.6% 6.3%
PolyOne OI adjusted, pro forma for ColorMatrix,
as a percent of sales
6.8%
Operating income (OI) Q1 2011 Q1 2012
Global Specialty Engineered Materials OI $ 14.0 $ 11.8
Global Color, Additives and Inks OI 11.2 17.3
Specialty Platform OI $ 25.2 $ 29.1
Performance Products and Solutions OI 14.3 17.8
PolyOne Distribution OI 14.7 16.7
Corporate and eliminations (1.6) (10.2)
Special items 127.2 (8.5)
Operating income (loss) GAAP $ 179.8 $ 44.9
Research and Development (R&D) – Pro forma ColorMatrix 2011
PolyOne R&D $ 36.9
ColorMatrix R&D 3.6
Pro forma R&D $ 40.5
Gross Margin as a percentage of Sales
2006 2011
2011
Pro forma
ColorMatrix
Specialty platform sales $ 877.1 $ 1,119.7 $ 1,315.7
Specialty platform gross margin 125.2 263.4 345.9
Specialty platform gross margin percentage 14.3 % 23.5 % 26.3 %
Average Debt Q4 2010 Q1 2011 Q2 2011 Q3 2011 Q4 2011 Average
PolyOne Debt $ 452.9 $ 432.9 $ 432.9 $ 432.9 $ 707.0 n/a
Pro forma ColorMatrix 274.1 274.1 274.1 274.1 - n/a
Total Debt $ 727.0 $ 707.0 $ 707.0 $ 707.0 $ 707.0 $ 711.0
Average Equity Q4 2010 Q1 2011 Q2 2011 Q3 2011 Q4 2011 Average
PolyOne $ 516.0 $ 615.2 $ 629.6 $ 608.5 $ 588.3 $ 591.5
https://www.avient.com/sites/default/files/2021-06/avient-ir-presentation-may-2021-w-non-gaap-recs.pdf
There are significant revenue opportunities generated from the combined color and additive technology strengths of the two legacy companies.
In addition, the cross-
selling opportunities that leverage Avient’s Engineered Materials and Distribution segments will identify and deliver additional growth.
Whether
an additional line at an existing
manufacturing plant, or a new
facility in a growing region, we
ramp-up quickly and cost-efficiently.
26
Capex / Revenue
2021E (%)
AV I E N T I S A SS E T L I G H T
Avient Specialty
Formulators
Other
Chemical/Specialty
Companies
2 3 2 2 2
3 3
4 3 3 3
4 4 5
5 5 6
7 7
8
24
A
vi
e
n
t
A
vi
e
n
t
(E
xc
l.
https://www.avient.com/sites/default/files/2023-09/Avient Sustainability Day 2023 - Website %289.19%29.pdf
Packaging and
Packaging Waste Directive)
RECYCLE SOLUTIONS
Sources: UN Environment Programme; Deloitte; McKinsey & Company;
European Commission: Environment
SOLVING CHALLENGES IN KEY END MARKETS
Avient Corporation 33
Transportation
Lightweighting
Recycle solutions
VOC reduction
Consumer
Recycle solutions
Lightweighting
Carbon footprint
Healthcare
Carbon footprint
Bio-based content
Eco-conscious
Packaging
Recycle solutions
Lightweighting
Food waste reduction
Sustainable
Infrastructure
Eco-conscious
Carbon footprint
Resource conservation
HOW AVIENT INNOVATION ENABLES SUSTAINABLITY
Avient Corporation 34
Solutions to increase recycled
content and minimize plastic waste
Solutions to reduce weight and
energy consumption
Solutions to preserve and protect
natural resources & human life
HOW WE ENABLE SUSTAINABILITY
Renew
Michael Garratt
Senior Vice President, President of Color, Additives and Inks – EMEA
Avient Corporation 35
RENEW
Avient Corporation 36
KEY CUSTOMER CHALLENGES:
• Meet Aggressive Sustainability Goals - While brand owners have made
strong, public sustainability commitments – many are currently trailing far
behind goals
• Develop Strategies to Minimize Plastic Waste - Plastic waste remains
a global priority with consumers and legislatures – forcing brand owners to
implement tangible mitigation strategies
• Increase Post Consumer Recycle (PCR) Utilization & Post
Consumer Recycle Availability - Increasing the use of PCR is far more
challenging than many companies had anticipated
• Meet Legislation Requirements - Legislatures are drafting financial
penalties for companies unable or unwilling to meet post-consumer recycled
content targets
Solutions to increase
recycled content and
minimize plastic waste
PLASTICS ARE PART OF THE SOLUTION
Avient Corporation 37
Source: Franklin Associates / American Chemistry Council
PLASTIC ALTERNATIVE PACKAGING (GLASS + ALUMINUM + PAPER)
2x More energy
3x More greenhouse gas emissions
5x More waste
6x More waterWater
Waste
Emissions
Energy
BRAND OWNER PROGRESS AGAINST COMMITMENTS
39%
29%
37%
16%
25%
11%
11%
6%
19%
7%
0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0% 45.0% 50.0%
Brand Owner 1
Brand Owner 2
Brand Owner 3
Brand Owner 4
Brand Owner 5
Brand Owner 6
Brand Owner 7
Brand Owner 8
Brand Owner 9
Brand Owner 10
Percent Recycled Plastic Used
Progr ess through 2022
Gap t o r ea ch 2025 targets
Source: Ellen MacArthur Foundation 2022
Avient Corporation 38
Color
Management
Maintaining
Mechanical
Properties
Decontamination
Mono-Material
Construction
Consistent Quality
TOP 5 GAPS TO RECYCLE CONTENT UTILIZATION
Avient Corporation 39
Avient Corporation 40
Food & Beverage Packaging
2022 Revenue: $43M
Taste and Odor Management
ColorMatrix™ AAnchor Scavenger
• Improves recyclability
• Reduces regulatory risk from migration issues
75%
ACETALDEHYDE REDUCTION Recyclable Oxygen Barrier
ColorMatrix™ Capture ™ Oxygen Scavenger
• Protects recyclate - maintains clarity with no
discoloration
• Enables higher rPET content utilization
rPET UTILIZATION
Food & Beverage Packaging
2022 Revenue: $88M
PCR Performance Additives
ColorMatrix™ SmartHeat™
• Lowers energy use - CO2 Emissions
• Reduces yellowing and thermal instability
• Enables increased use of rPET
• Minimal impact on part color
35%
LOWER CARBON EMISSIONS
THINNER WALLS
Reduced Wall Thickness Packaging
ColorMatrix™ Ultimate™UV Light Barrier Stabilizer
Cesa™ Light Additives
• Protects ingredients from UV degradation
• Enables reduced wall thicknesses
• No negative effect on recycling
Increased Recycle Content
ColorMatrix™ Process Aid and Toner for
Recycled PET (rPET)
• Improves ability to recycle PET
• Enables higher percentages of recycled content
• Provides superior aesthetics
• Prevents degradation of physical properties
ENHANCES RECYCLING
Avient Corporation 41
Avient Corporation 42
Design for Recycling
CycleWorks™ Center for Mechanical Recycling
• Recycling trials and field testing
• Solutions evaluation and screening
• Customer collaboration
EXPANDS PCR USAGE
PCR Color Prediction Service
• Enables use of lower-quality PCR
• Predicts achievable colors
• Increases PCR utilization rates
• Helps brands to achieve PCR usage goals
85%
CONSUMERS:
CHOOSE BASED ON COLOR
CycleWorks™ Center
Milan, Italy
Additives for Recycling
2022 Revenue: $50M
Stabilization During Recycling
Cesa™ A4R Additives for Recycling
• Enables multi-loop recycling
• Stabilizes recyclate during processing
• Reduces discoloration, gels, and black spots
100%
PCR UTILIZATION
ENABLES
Personal Care Packaging
New Product
Avient Corporation 43
Bio-Based Phone Case
reSound™ OM BIO-based Thermoplastic Elastomers
• Derived from non-fossil-based raw materials
• Good property retention and UV resistance
• Easily colorable
40%
BIO-BASED CONTENT
Avient Corporation 44
High PCR Content Razor
reSound™ Recycled Thermoplastic Elastomers
• Excellent processability
• Easily colorable
62%
RECYCLE CONTENT
Consumer
2022 Revenue: $1M
Carbon Footprint Analysis
Carbon Footprint Mapping Service
• Provides input metrics for independent brand
carbon footprint calculations
• Aligns with a defined ISO standard, certified by
TUV Rhineland
ENABLES
CARBON AWARENESS
Avient Corporation 45
Consumer
2022 Revenue: $1M
Portable Power Station
Nymax™ Recycled Nylon
• Recycle content up to 60%
• Excellent weathering performance
• Reduces weight
60%
RECYCLE CONTENT
Swim Goggles
reSound™ BIO Thermoplastic Elastomers
• Easily colorable
• Performs like traditional TPE
35 - 70%
BIO-RENEWABLE CONTENT
Avient Corporation 46
Consumer
2022 Revenue: $3M
Off Road Vehicle Structural Components
Nymax™ REC Reinforced Nylon
• Replaces steel/aluminum
• Excellent fatigue resistance
INCORPORATES
RECYCLE CONTENT
CUSTOMER
TESTIMONIALS
Avient Corporation 47
“Avient’s bio-circular materials for our Biofuse 2.0 goggles are a real game changer that
will set Speedo apart from the competition - and will support our aim of reducing
environmental impact.”
CAFE: Corporate Average Fuel Economy
>50% Improvement
REDUCE – TAKEAWAY
Reducing Energy Consumption and Dependence on Fossil Fuels Drives Growth Projections
Examples
Covered
Today
45%
Other
Applications
55%
2022PF
$310M
38
46
CAFE1 Miles Per Gallon Proposed Requirements
HOW WE ENABLE SUSTAINABILITY
Preserve
Woon Keat Moh
Senior Vice President, President of Color, Additives and Inks –
Americas and Asia
Avient Corporation 61
PRESERVE
Avient Corporation 62
KEY CUSTOMER CHALLENGES:
• Preserving Key Natural Resources - Companies are being challenged to
mitigate high environmental impact processes such as water-intensive textile dyeing or
food spoilage
• Incorporating Renewable Materials - Adoption of bio-based raw materials
requires design and formulation expertise to overcome performance shortcomings of
neat resins
• Increasing Healthcare Regulations - Utilizing sustainable materials in
healthcare applications requires considerable support in navigating complex regulatory
requirements
• Increasing Regulatory Compliance - Non-Intentionally Added Substances
(NIAS) need to be controlled in sensitive applications
• Enabling Faster and More Reliable Connectivity – Substantial investments
in 5G infrastructure are required to unlock the potential of the Internet of Things
Solutions to preserve and
protect natural resources &
human life
Avient Corporation 63
Spin Dyed Precolor Textile Yarn
Renol™ Spin Dyeing Colorants
• Replaces water-based dye processes to reduce
waste creation
• Conserves water and energy
75%
LESS WATER
PROTECTIVE DENIM
Dyneema® Workwear Solutions
• Improves tear resistance 50-100%
• More protective than competitive alternatives
• Enables the amount of protective fiber to be
reduced without sacrificing performance
600%
IMPROVED ABRASION RESISTANCE
Clothing & Textiles
2022 Revenue: $49M
Avient Corporation 64
Low Cure Textile Inks
Avient Specialty Inks™ Low Cure Inks
• Decreases energy consumption
• Reduces scrap due to heat-related defects
SAVES ENERGY
Clothing & Textiles
2022 Revenue: $40M
BIO-BASED
FORMULATIONS
Water Based Textile Inks
Zodiac™ Aquarius™ Specialty Inks
• Incorporates bio-based materials
• Non-formaldehyde solutions available
• Reduces waste by enabling high open screen time
Avient Corporation 65
Mosquito Netting
Cesa™ Fiber Anti-Mosquito Additives
• Helps control malaria
• Protects consistently using a controlled
release of insecticide
• Expands access to healthcare
breakthroughs to global communities
ANNUAL NEW MALARIA CASES
200 Million
Antimicrobial Protection
Cesa™ WithStand™ Antimicrobial Additives
• Reduces microbial / mold growth
• Helps reduce odor, staining, discoloration
• Excellent comfort and wearability
• Chemical resistance - will not discolor
or degrade
REDUCES MICROBES
Human Health & Safety
2022 Revenue: $5M
Avient Corporation 66
Cut-Resistant Gloves
Dyneema® Solutions
• Incorporates bio-based materials
• Reduces carbon emissions
• Excellent wearability / comfort
WORK INJURIES
REDUCES
Rescue Rope
Dyneema® Solutions
• Superior strength-to-weight ratio
• High break load
• Extraordinary reliability
SAVES LIVES
Human Health & Safety
2022 Revenue: $106M
Body Armor
Dyneema® Protective Solutions
• Exceptional trauma protection
• Excellent wearability
LIGHTER
THAN ARAMID FIBER
35%
Avient Corporation 67
40%
BIO-DERIVED
Pharmaceutical Tubing
Versaflex™ Healthcare Pharma Tubing Formulations
NEU™ Specialty Engineered Materials
• Facilitates incorporation of sustainable materials
with healthcare device manufacturers
• Eliminates vulcanization processes
Medical
2022 Revenue: $40M
NON-PHTHALATE
Respiratory Conduit
Versaflex™ Healthcare Corrugated
Tubing Formulations
• Non-Phthalate
• ISO 10993 & USP Class VI compliant
Avient Corporation 68
100%
UP TO
BIO-BASED CARRIER
Medical Devices
Mevopur™ Bio-Based Colorants
• Minimizes risk through pre-testing
• Provides vital regulatory compliance
• Minimizes global supply chain risk with
validated backup supply
Continuous Glucose Monitoring
and Auto Injectors
Trilliant™ Healthcare Polymer Solutions
• Impact performance
• Chemical resistance
ENABLES HOME CARE
Medical
2022 Revenue: $16M
Avient Corporation 69
Fiber Optic Cable and Jacketing
Fiber-Line™ Optical Fiber Cable Components
• Reduction in weight & energy usage
• Thermal and abrasion resistant
• Extends product life
ENABLES CONNECTIVITY
Cable Micromodules
ECCOH™ Low Smoke Formulations
• Non-halogen
• Low smoke and toxicity
SUPPORTS SUSTAINABLE
INFRASTRUCTURE
Base Station Components
Edgetek™ Low-Density Formulations
• Low density – lighter weight
• Low warpage & thermal conductivity
EXTENDS PRODUCT LIFE
Antenna Components
PREPERM™ Low Loss
Dielectric Formulations
• Replaces costly ceramics
• Consistent and efficient antenna performance
ENHANCES
PERFORMANCE
5G Infrastructure
2022 Revenue: $39M
Avient Corporation 70
“Nike has partnered with Avient extensively over the years because of their leadership in
eco-friendly screen printing inks.”
Per Carlsson, Manufacturing and Operations
CUSTOMER
TESTIMONIALS
Avient Corporation 71
50
90
0
20
40
60
80
100
2022 2030
Medical Plastics Market Size
PRESERVE – TAKEAWAY
Protecting Human Life and Enabling Connectivity Drives Growth Projections
Examples
Covered
Today
56%
Other Applications
44%
2022
$525M (i
n
$B
ill
io
ns
)
8% CAGR 34% CAGR
5G Infrastructure Market Size
12
92
0
10
20
30
40
50
60
70
80
90
100
2023 2024 2025 2026 2027 2028 2029 2030
(in
$
B
ill
io
ns
)
Source: Grand View Research Source: Global Data
Summary
Jamie Beggs
Senior Vice President and Chief Financial Officer
Avient Corporation 72
OUR SUSTAINABILITY REPORT
Avient Corporation 73
Avient Corporation 74
2030 SUSTAINABILITY GOALS
Avient Corporation 75
PERFORMANCE AND RECOGNITION
1
2
5
ESG Ratings Performance
ESG Awards and Certifications
top 13%
94th
percentile
Avient Corporation 76
SUSTAINABILITY INNOVATION AWARDS
Ultra-Low Carbon
Footprint TPE
Innovation Award, Finalist:
Plastics Industry Association
PCR Colorants + Additives
Sustainable Packaging Innovation,
Finalist: U.S.
https://www.avient.com/sites/default/files/resources/POL%2520IR%2520Presentation%2520-%2520BOAML%2520Basic%2520Materials%2520Conference%2520w%2520non-GAAP%252012%252011%25202014.pdf
In addition, operating income before special items and
adjusted EPS are components of various PolyOne annual and long-term employee
incentive plans
Platform operating income mix percentage
2005Y* 2008Y* 2010Y* 2013Y
Q3 2014
YTD
Global Color, Additives and Inks $ 4.3 $ 28.1 $ 37.7 $ 104.0 $ 98.2
Global Specialty Engineered Materials 0.4 17.6 49.7 57.2 55.6
Designed Structures and Solutions - - - 33.4 37.2
Specialty Platform $ 4.7 $ 45.7 $ 87.4 $ 194.6 $ 191.0
Performance Products and Solutions 75.7 31.3 54.0 56.0 51.4
Distribution 19.5 28.1 42.0 63.3 53.2
Joint ventures 91.9 28.6 18.9 - -
Corporate and eliminations (51.5) (425.1) (27.7) (82.4) (126.2)
Operating income (loss) GAAP $ 140.3 $ (291.4) $ 174.6 $ 231.5 $ 169.4
Less: Corporate operating expense 51.5 425.1 27.7 82.4 126.2
Operating income excluding Corporate $ 191.8 $ 133.7 $ 202.3 $ 313.9 $ 295.6
Specialty platform operating mix percentage 2% 34% 43% 62% 65%
* Historical results include the Resin and Specialty Coatings businesses within the Performance Products and Solutions segment.
Appendix
Q3 2014 Financial Highlights
At a Glance�Global Color, Additives and Inks
At a Glance�Global Specialty Engineered Materials
At a Glance�Designed Structures and Solutions
At a Glance�Performance Products and Solutions
At a Glance�Distribution
Plastics: Key to Future Sustainable Development
Commitment to Operational Excellence
Application Examples
Slide Number 28
Anti-Counterfeiting Solutions
2012 Range Rover Evoque Interior
Slide Number 31
Metal Replacement Solutions
Next Generation Solar Charger
High-Barrier Packaging Containers
Aerospace Applications
Non GAAP Rec - 11 5 14.pdf
Sidoti & Company non-GAAP Rec
https://www.avient.com/sites/default/files/resources/POL%2520IR%2520Presentation%2520Jefferies%2520Conf%2520w%2520Non%2520GAAP%252008%252012%25202014.pdf
In addition, operating income before special items and
adjusted EPS are components of various PolyOne annual and long-term employee
incentive plans
S&P 500
All time high of
$43.34
July 1st, 2014
PolyOne Corporation Page 8
2006 2014 YTD 2015
“Where we were” “Where we are” Target
1) Operating Income %
Specialty:
Global Color, Additives & Inks 1.7% 15.2% 12 – 16%
Global Specialty Engineered
Materials 1.1% 11.8% 12 – 16%
Designed Structures & Solutions -- 7.1% 8 – 10%
Performance Products &
Solutions 5.5% 8.0% 9 – 12%
Distribution 2.6% 6.0% 6 – 7.5%
2) Specialty Platform % of
Operating Income 6.0% 66% 65 – 75%
3) ROIC* 5.0% 9.9% 15%
4) Adjusted EPS Growth N/A 40% 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
(Est. in 2012)
PolyOne Corporation Page 9
Bridge to $2.50 Adjusted EPS by 2015
2015 EPS: $2.50
2013 EPS: $1.31
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 CAGR
PolyOne Corporation Page 10
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*
14.3%
30.7%
2006 2013
Specialty Platform
Gross Margin %
19.5%
43.0%
2006 2013
Specialty Vitality Index Target ≥ 35%
PolyOne Corporation Page 11
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
*Pipeline as of May 29, 2014 as presented during our Innovation Day
PolyOne Corporation Page 12
Healthcare
Consumer
Packaging and Additive Technology
Transportation
Unique and Innovative Solutions
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
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 June 30, 2014
Debt Maturities & Pension Funding – 6/30/14
Net Debt / EBITDA* = 1.8x
$48
$317
$600
$0
$100
$200
$300
$400
$500
$600
$700
$800
2015 2020 2023
Debt Maturities
As of June 30, 2014
($ millions)
Coupon Rates: 7.500% 7.375% 5.250%
** includes US-qualified pension plans only *TTM 6/30/2014
PolyOne Corporation Page 15
Free Cash Flow and Strong Balance Sheet
Fund Investment / Shareholder Return
$0.16
$0.20
$0.24
$0.32
$0.10
$0.20
$0.30
$0.40
2011 2012 2013 2014
Annual Dividend
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 1.8 million shares in
Q2 2014
Repurchased 8.2 million
shares since early 2013
11.8 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
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?
Platform operating income mix percentage 2005Y* 2008Y* 2010Y* 2013Y 2014 Q2
Global Color, Additives and Inks $ 4.3 $ 28.1 $ 37.7 $ 104.0 $ 68.1
Global Specialty Engineered Materials 0.4 17.6 49.7 57.2 37.2
Designed Structures and Solutions - - - 33.4 24.1
Specialty Platform $ 4.7 $ 45.7 $ 87.4 $ 194.6 $ 129.4
Performance Products and Solutions 75.7 31.3 54.0 56.0 33.6
Distribution 19.5 28.1 42.0 63.3 34.5
Joint ventures 91.9 28.6 18.9 - -
Corporate and eliminations (51.5) (425.1) (27.7) (82.4) (91.7)
Operating income (loss) GAAP $ 140.3 $ (291.4) $ 174.6 $ 231.5 $ 105.8
Less: Corporate operating expense 51.5 425.1 27.7 82.4 91.7
Operating income excluding Corporate $ 191.8 $ 133.7 $ 202.3 $ 313.9 $ 197.5
Specialty platform operating mix percentage 2% 34% 43% 62% 66%
* Historical results include the Resin and Specialty Coatings businesses within the Performance Products and Solutions segment.