https://www.avient.com/sites/default/files/2023-10/31307-Certificate-20SEP2023.pdf
Glendale, AZ 85307
Activity: Design and Manufacture of Colorants for Plastics Activity: Manufacture of Colorants for Plastics
Facility: Avient Corporation - Kennesaw, GA
8155 Cobb Center Drive
Kennesaw, GA 30152
Facility: Avient Corporation - LaPorte, IN
707 Boyd Blvd
LaPorte, IN 46350
Activity: Design and manufacture of specialty inks and specialty coatings.
Purchasing, Customer Service, Logistics,
Quality, Design and Sampling; Corporate HQ, Management of QMS
Activity: Manufacture of Engineered Thermoplastics
Page 3 of 7
Facility: Avient Corporation - Massillon, OH
1675 Navarre Road
Massillon, OH 44646
833 Ridgeview Drive
Activity: Manufacture of Color and Performance Additives Activity: Design, Manufacture and Distribution of Thermoplastic Elastomer
831 Ridgeview Drive
921 Ridgeview Drive
Activity: Design, Manufacture and Distribution of Thermoplastic Elastomer
Activity: Design, Manufacture and Distribution of Thermoplastic Elastomer
Facility: Avient Corporation - Lehigh Valley, PA
2513 Highland Avenue
Bethlehem, PA 18017
Facility: Avient Corporation - Lockport, NY
4921 I D A Drive
Lockport, NY 14094
Activity: Manufacture of Colorants for Plastics Activity: Manufacture of thermoplastic compounds
Page 4 of 7
Facility: Avient Corporation- Suwanee, GA
2900 Shawnee Industrial Way
Suwanee, GA 30024
Facility: Avient Corporation - Toluca, Mexico
AV.
Wischodnia 6
Kutno 99-300
Poland
Activity: Design and Manufacture of Color and Additive Concentrates and
Activity: Design and Manufacture of Color and Additive Concentrates and
Facility: Avient Corporation - Berea, OH
680 N.
https://www.avient.com/sites/default/files/2020-10/fluoropolymer-cable-case-study-.pdf
THE CHALLENGE
A leading manufacturer of data cables in Zhuhai, China,
ran into a serious challenge.
Without these documents,
the manufacturer couldn’t market its products to
international customers.
THE SOLUTION
When the cable manufacturer reached out to Avient
for a solution, its polymer science experts teamed up
with the manufacturer to review quality standards,
manufacturing practices, and the cable performance
its customers required.
https://www.avient.com/sites/default/files/2021-04/bergamid-electronic-connectors-case-study.pdf
In
addition, they are costly to manufacture, which makes them
economically unfeasible for use in low-cost computers.
A technical representative was also on hand
to assist in production startup at the manufacturer’s molding
facility.
Later, when the manufacturer decided to expand production
of the connector to Asia, Avient transferred the product
formulation to its facility in Suzhou, China, and worked with
the manufacturer’s production facility there to ensure a
smooth transition.
https://www.avient.com/sites/default/files/2020-11/what-is-classed-as-recycled-content.pdf
MATERIAL LIFECYCLE GLOSSARY OF TERMS Material Manufacturer - Raw material suppliers or processors who produce materials ready for manufacturing Reworkable Material - O� spec or scrap materials that are re-ground or re-worked back into the same supply or manufacturing process that produced them – these are not considered recycled Prime - Materials supplied that meet the required specification, ready for processing/ manufacturing Processor - Manufacturing of products ready for market e.g. molders and extruders Retail/Consumer - End user Reclaimer - Local recycling center for consumer goods Post-Consumer Recycle (PCR) - Materials derived from polymers reclaimed at the end of their lifecycle that have been through waste treatment Scrap Parts & Materials - Waste from the manufacturing process that cannot be reused within the same process or sold to the market Waste Treater - Regional industrial waste reclamation center Post-Industrial Recycle (PIR) - Material derived from scrap reclaimed within the manufacturing process that has been through waste treatment PRIME POST- CONSUMER RECYCLE (PCR) WASTE TREATER POST- INDUSTRIAL RECYCLE (PIR) REWORKABLE MATERIAL RETAIL/ CONSUMER RECLAIMER MATERIAL MANUFACTURER SCRAP PARTS & MATERIALS PROCESSOR
https://www.avient.com/sites/default/files/2021-04/versalloy-medical-tubing-case-study.pdf
SPECIALTY
SOLUTION BOOSTS
PRODUCTIVITY
FOR MEDICAL HOSE
MANUFACTURER
CASE STUDY: VERSALLOY™ THERMOPLASTIC VULCANIZATE
Challe
nge Accepted.
Currently,
the Versalloy TPV is used in the manufacture of end cuffs
for a variety of repeated-use surgical and respiratory
hoses.
Cost savings: The hose manufacturer is saving $33,000
per year by using Versalloy TPV instead of its previous
material.
https://www.avient.com/sites/default/files/2021-07/avnt-q2-2021-earnings-release.pdf
Three Months Ended
June 30, 2021
Three Months Ended
June 30, 2020
Reconciliation to Condensed Consolidated Statements of Income $ EPS $ EPS
Net income from continuing operations attributable to Avient shareholders $ 68.8 $ 0.74 $ 23.0 $ 0.25
Special items, after tax (Attachment 3) 11.7 0.13 2.6 0.03
Adjusted net income / EPS - excluding special items $ 80.5 $ 0.87 $ 25.6 $ 0.28
Six Months Ended
June 30, 2021
Six Months Ended
June 30, 2020
Reconciliation to Condensed Consolidated Statements of Income $ EPS $ EPS
Net income from continuing operations attributable to Avient shareholders $ 148.1 $ 1.60 $ 56.1 $ 0.63
Special items, after tax (Attachment 3) 14.3 0.16 11.2 0.12
Adjusted net income / EPS - excluding special items $ 162.4 $ 1.76 $ 67.3 $ 0.75
7
Attachment 2
Avient Corporation
Condensed Consolidated Statements of Income (Unaudited)
(In millions, except per share data)
Three Months Ended
June 30,
Six Months Ended
June 30,
2021 2020 2021 2020
Sales $ 1,235.2 $ 609.1 $ 2,397.5 $ 1,320.6
Cost of sales 946.5 459.4 1,806.4 999.4
Gross margin 288.7 149.7 591.1 321.2
Selling and administrative expense 180.6 111.7 362.6 230.4
Operating income 108.1 38.0 228.5 90.8
Interest expense, net (19.5) (16.2) (38.8) (25.6)
Other income, net 1.2 9.5 2.7 11.1
Income from continuing operations before income taxes 89.8 31.3 192.4 76.3
Income taxes (20.4) (7.9) (43.3) (19.8)
Net income from continuing operations 69.4 23.4 149.1 56.5
Loss from discontinued operations, net of income taxes — (0.2) — (0.5)
Net income 69.4 23.2 149.1 56.0
Net income attributable to noncontrolling interests (0.6) (0.4) (1.0) (0.4)
Net income attributable to Avient common shareholders $ 68.8 $ 22.8 $ 148.1 $ 55.6
Earnings per share attributable to Avient common shareholders - Basic:
Continuing operations $ 0.75 $ 0.25 $ 1.62 $ 0.63
Discontinued operations — — — —
Total $ 0.75 $ 0.25 $ 1.62 $ 0.63
Earnings per share attributable to Avient common shareholders - Diluted:
Continuing operations $ 0.74 $ 0.25 $ 1.60 $ 0.63
Discontinued operations — — — (0.01)
Total $ 0.74 $ 0.25 $ 1.60 $ 0.62
Cash dividends declared per share of common stock $ 0.2125 $ 0.2025 $ 0.4250 $ 0.4050
Weighted-average shares used to compute earnings per
common share:
Basic 91.3 91.4 91.3 88.8
Diluted 92.4 91.8 92.3 89.4
8
Attachment 3
Avient Corporation
Summary of Special Items (Unaudited)
(In millions, except per share data)
Special items (1)
Three Months Ended
June 30,
Six Months Ended
June 30,
2021 2020 2021 2020
Cost of sales:
Restructuring costs, including accelerated depreciation and
amortization $ (1.5) $ (1.2) $ (3.3) $ (1.2)
Environmental remediation costs (12.5) (3.1) (13.0) (3.5)
Reimbursement of previously incurred environmental costs — 8.5 4.5 8.7
Acquisition related costs 1.4 — 1.4 —
Impact on cost of sales (12.6) 4.2 (10.4) 4.0
Selling and administrative expense:
Restructuring, legal and other (1.4) (3.5) (2.7) (5.3)
Acquisition earn-out adjustments — — — (1.0)
Acquisition related costs (0.2) (9.7) (3.5) (16.4)
Impact on selling and administrative expense (1.6) (13.2) (6.2) (22.7)
Impact on operating income (14.2) (9.0) (16.6) (18.7)
Costs related to committed financing in interest expense, net — (0.5) — (0.5)
Other income, net — 0.2 — 0.3
Pension settlement gain and mark-to-market adjustment — 6.9 — 6.9
Impact on income from continuing operations before income taxes (14.2) (2.4) (16.6) (12.0)
Income tax benefit on above special items 3.4 0.7 4.3 2.7
Tax adjustments(2) (0.9) (0.9) (2.0) (1.9)
Impact of special items on net income from continuing operations
attributable to Avient Shareholders $ (11.7) $ (2.6) $ (14.3) $ (11.2)
Diluted earnings per common share impact $ (0.13) $ (0.03) $ (0.16) $ (0.12)
Weighted average shares used to compute adjusted earnings per share:
Diluted 92.4 91.8 92.3 89.4
(1) Special items include charges related to specific strategic initiatives or financial restructuring such as: consolidation of operations; debt
extinguishment costs; costs incurred directly in relation to acquisitions or divestitures; employee separation costs resulting from personnel
reduction programs, plant realignment costs, executive separation agreements; asset impairments; settlement gains or losses and mark-to-
market adjustments associated with actuarial gains and losses on pension and other post-retirement benefit plans; environmental
remediation costs, fines, penalties and related insurance recoveries related to facilities no longer owned or closed in prior years; gains and
losses on the divestiture of operating businesses, joint ventures and equity investments; gains and losses on facility or property sales or
disposals; results of litigation, fines or penalties, where such litigation (or action relating to the fines or penalties) arose prior to the
commencement of the performance period; one-time, non-recurring items; and the effect of changes in accounting principles or other such
laws or provisions affecting reported results
https://www.avient.com/sites/default/files/2023-11/AVNT Q3 2023 Earnings Press Release.pdf
Three Months Ended
September 30, 2023
Three Months Ended
September 30, 2022
Reconciliation to Condensed Consolidated Statements of Income $ EPS $ EPS
Net income (loss) from continuing operations attributable to Avient
shareholders $ 5.1 $ 0.06 $ (27.4) $ (0.30)
Special items, after tax (Attachment 3) 32.0 0.35 68.3 0.75
Amortization expense, after-tax 15.2 0.16 13.4 0.14
Adjusted net income / EPS $ 52.3 $ 0.57 $ 54.3 $ 0.59
Nine Months Ended
September 30, 2023
Nine Months Ended
September 30, 2022
Reconciliation to Condensed Consolidated Statements of Income $ EPS $ EPS
Net income from continuing operations attributable to Avient shareholders $ 48.0 $ 0.52 $ 99.8 $ 1.08
Special items, after tax (Attachment 3) 73.9 0.81 77.9 0.85
Amortization expense, after-tax 46.5 0.51 34.9 0.38
Adjusted net income / EPS $ 168.4 $ 1.84 $ 212.6 $ 2.31
8
Attachment 2
Avient Corporation
Condensed Consolidated Statements of Income (Unaudited)
(In millions, except per share data)
Three Months Ended
September 30,
Nine Months Ended
September 30,
2023 2022 2023 2022
Sales $ 753.7 $ 823.3 $ 2,423.8 $ 2,606.5
Cost of sales 558.4 627.9 1,740.2 1,895.8
Gross margin 195.3 195.4 683.6 710.7
Selling and administrative expense 161.0 154.8 529.9 467.8
Operating income 34.3 40.6 153.7 242.9
Interest expense, net (30.3) (37.3) (88.5) (70.4)
Other income (expense), net 1.0 (32.3) 1.5 (31.3)
Income (loss) from continuing operations before income taxes 5.0 (29.0) 66.7 141.2
Income tax benefit (expense) 0.1 1.2 (18.0) (41.5)
Net income (loss) from continuing operations 5.1 (27.8) 48.7 99.7
Income (loss) from discontinued operations, net of income taxes — 17.1 (0.9) 58.8
Net income (loss) 5.1 (10.7) 47.8 158.5
Net loss (income) attributable to noncontrolling interests — 0.4 (0.7) 0.1
Net income (loss) attributable to Avient common shareholders $ 5.1 $ (10.3) $ 47.1 $ 158.6
Earnings (loss) per share attributable to Avient common shareholders - Basic:
Continuing operations $ 0.06 $ (0.30) $ 0.53 $ 1.09
Discontinued operations — 0.19 (0.01) 0.65
Total $ 0.06 $ (0.11) $ 0.52 $ 1.74
Earnings (loss) per share attributable to Avient common shareholders - Diluted:
Continuing operations $ 0.06 $ (0.30) $ 0.52 $ 1.08
Discontinued operations — 0.19 (0.01) 0.64
Total $ 0.06 $ (0.11) $ 0.51 $ 1.72
Cash dividends declared per share of common stock $ 0.2475 $ 0.2375 $ 0.7425 $ 0.7125
Weighted-average shares used to compute earnings per common share:
Basic 91.1 90.9 91.1 91.3
Diluted 91.9 90.9 91.8 92.0
9
Attachment 3
Avient Corporation
Summary of Special Items (Unaudited)
(In millions, except per share data)
Special items (1) Three Months Ended
September 30,
Nine Months Ended
September 30,
2023 2022 2023 2022
Cost of sales:
Restructuring costs, including accelerated depreciation $ (2.1) $ (2.8) $ (9.9) $ (9.8)
Environmental remediation costs (38.1) (18.8) (52.5) (23.8)
Reimbursement of previously incurred environmental costs — 0.1 — 8.3
Acquisition related costs — (10.3) — (10.3)
Impact on cost of sales (40.2) (31.8) (62.4) (35.6)
Selling and administrative expense:
Restructuring and employee separation costs (2.0) 0.3 (13.8) (1.0)
Legal and other 1.7 (0.5) (9.1) 1.0
Acquisition related costs (0.5) (8.2) (4.6) (13.2)
Impact on selling and administrative expense (0.8) (8.4) (27.5) (13.2)
Impact on operating income (41.0) (40.2) (89.9) (48.8)
Interest expense, net - financing costs (2.2) (10.0) (2.2) (10.0)
Mark-to-market on derivative instruments — (31.8) — (30.9)
Other — — (0.1) 0.1
Impact on other expense, net — (31.8) (0.1) (30.8)
Impact on income from continuing operations before income taxes (43.2) (82.0) (92.2) (89.6)
Income tax benefit on above special items 10.8 20.5 23.2 22.5
Tax adjustments(2) 0.4 (6.8) (4.9) (10.8)
Impact of special items on net income from continuing operations $ (32.0) $ (68.3) $ (73.9) $ (77.9)
Diluted earnings per common share impact $ (0.35) $ (0.75) $ (0.81) $ (0.85)
Weighted average shares used to compute adjusted earnings per share:
Diluted 91.9 91.6 91.8 92.0
(1) Special items include charges related to specific strategic initiatives or financial restructuring such as: consolidation of operations; debt
extinguishment costs; costs incurred directly in relation to acquisitions or divestitures; employee separation costs resulting from personnel
reduction programs, plant realignment costs, executive separation agreements; asset impairments; settlement gains or losses and mark-to-
market adjustments associated with gains and losses on pension and other post-retirement benefit plans; environmental remediation costs,
fines, penalties and related insurance recoveries related to facilities no longer owned or closed in prior years; gains and losses on the
divestiture of operating businesses, gains and losses on facility or property sales or disposals; results of litigation, fines or penalties, where
such litigation (or action relating to the fines or penalties) arose prior to the commencement of the performance period; one-time, non-recurring
items; and the effect of changes in accounting principles or other such laws or provisions affecting reported results
https://www.avient.com/sites/default/files/2023-07/AVNT Q2 2023 Earnings Press Release%5B43%5D.pdf
Three Months Ended
June 30, 2023
Three Months Ended
June 30, 2022
Reconciliation to Condensed Consolidated Statements of Income $ EPS $ EPS
Net income from continuing operations attributable to Avient shareholders $ 22.1 $ 0.24 $ 62.8 $ 0.68
Special items, after tax (Attachment 3) 19.6
0.21 3.2 0.03
Amortization expense, after-tax 16.2 0.18 10.5 0.12
Adjusted net income / EPS $ 57.9 $ 0.63 $ 76.5 $ 0.83
Six Months Ended
June 30, 2023 Six Months Ended
June 30, 2022
Reconciliation to Condensed Consolidated Statements of Income $ EPS $ EPS
Net income from continuing operations attributable to Avient
shareholders $ 42.9 $ 0.47 $ 127.2 $ 1.38
Special items, after tax (Attachment 3) 41.9 0.46 9.6 0.10
Amortization expense, after-tax 31.3 0.34 21.3 0.23
Adjusted net income / EPS $ 116.1 $ 1.27 $ 158.1 $ 1.71
8
Attachment 2
Avient Corporation
Condensed Consolidated Statements of Income (Unaudited)
(In millions, except per share data)
Three Months Ended
June 30,
Six Months Ended
June 30,
2023 2022 2023 2022
Sales $ 824.4 $ 891.0 $ 1,670.1 $ 1,783.2
Cost of sales 583.7 630.1 1,181.8 1,267.9
Gross margin 240.7 260.9 488.3 515.3
Selling and administrative expense 178.4 160.8 368.9 313.0
Operating income 62.3 100.1 119.4 202.3
Interest expense, net (29.4) (16.2) (58.2) (33.1)
Other (expense) income, net (0.2) 1.6 0.5 1.0
Income from continuing operations before income taxes 32.7 85.5 61.7 170.2
Income tax expense (10.4) (22.7) (18.1) (42.7)
Net income from continuing operations 22.3 62.8 43.6 127.5
Income (loss) from discontinued operations, net of income taxes — 21.9 (0.9) 41.7
Net income 22.3 84.7 42.7 169.2
Net income attributable to noncontrolling interests (0.2) — (0.7) (0.3)
Net income attributable to Avient common shareholders $ 22.1 $ 84.7 $ 42.0 $ 168.9
Earnings (loss) per share attributable to Avient common shareholders - Basic:
Continuing operations $ 0.24 $ 0.69 $ 0.47 $ 1.39
Discontinued operations — 0.24 (0.01) 0.46
Total $ 0.24 $ 0.93 $ 0.46 $ 1.85
Earnings (loss) per share attributable to Avient common shareholders - Diluted:
Continuing operations $ 0.24 $ 0.68 $ 0.47 $ 1.38
Discontinued operations — 0.24 (0.01) 0.45
Total $ 0.24 $ 0.92 $ 0.46 $ 1.83
Cash dividends declared per share of common stock $ 0.2475 $ 0.2375 $ 0.4950 $ 0.4750
Weighted-average shares used to compute earnings per common share:
Basic 91.1 91.4 91.1 91.4
Diluted 91.9 92.1 91.9 92.2
9
Attachment 3
Avient Corporation
Summary of Special Items (Unaudited)
(In millions, except per share data)
Special items (1) Three Months Ended
June 30,
Six Months Ended
June 30,
2023 2022 2023 2022
Cost of sales:
Restructuring costs, including accelerated depreciation $ (1.2) $ (2.6) $ (7.8) $ (7.0)
Environmental remediation costs (13.0) (3.0) (14.4) (5.0)
Reimbursement of previously incurred environmental costs — 7.6 — 8.2
Impact on cost of sales (14.2) 2.0 (22.2) (3.8)
Selling and administrative expense:
Restructuring (0.5) (2.9) (11.9) (1.3)
Legal and other (6.4) 1.2 (10.6) 1.5
Acquisition related costs (0.7) (2.1) (4.2) (5.0)
Impact on selling and administrative expense (7.6) (3.8) (26.7) (4.8)
Impact on operating income (21.8) (1.8) (48.9) (8.6)
Other income (loss), net 0.1 0.9 (0.1) 1.0
Impact on income from continuing operations before income taxes (21.7) (0.9) (49.0) (7.6)
Income tax expense (benefit) on above special items 5.5 0.2 12.4 2.0
Tax adjustments(2) (3.4) (2.5) (5.3) (4.0)
Impact of special items on net income from continuing operations $ (19.6) $ (3.2) $ (41.9) $ (9.6)
Diluted earnings per common share impact $ (0.21) $ (0.03) $ (0.46) $ (0.10)
Weighted average shares used to compute adjusted earnings per share:
Diluted 91.9 92.1 91.9 92.2
(1) Special items include charges related to specific strategic initiatives or financial restructuring such as: consolidation of operations; debt
extinguishment costs; costs incurred directly in relation to acquisitions or divestitures; employee separation costs resulting from personnel
reduction programs, plant realignment costs, executive separation agreements; asset impairments; settlement gains or losses and mark-to-
market adjustments associated with gains and losses on pension and other post-retirement benefit plans; environmental remediation costs,
fines, penalties and related insurance recoveries related to facilities no longer owned or closed in prior years; gains and losses on the
divestiture of operating businesses, gains and losses on facility or property sales or disposals; results of litigation, fines or penalties, where
such litigation (or action relating to the fines or penalties) arose prior to the commencement of the performance period; one-time, non-recurring
items; and the effect of changes in accounting principles or other such laws or provisions affecting reported results
https://www.avient.com/sites/default/files/2021-04/avnt-fourth-quarter-2020-news-release.pdf
Reconciliation to Condensed Consolidated Statements of Income $ EPS(1) $ EPS(1)
Net income from continuing operations attributable to Avient shareholders $ 74.2 $ 0.81 $ 6.4 $ 0.08
Special items, after tax (Attachment 3) (26.7) (0.29) 19.9 0.26
Adjusted net income / EPS - excluding special items $ 47.5 $ 0.52 $ 26.3 $ 0.34
(1) Per share amounts may not recalculate from figures presented herein due to rounding
Reconciliation to Condensed Consolidated Statements of Income $ EPS(1) $ EPS(1)
Net income from continuing operations attributable to Avient shareholders $ 132.0 $ 1.46 $ 75.5 $ 0.97
Special items, after tax (Attachment 3) 24.8 0.27 55.8 0.72
Adjusted net income / EPS - excluding special items $ 156.8 1.73 $ 131.3 1.69
(1) Per share amounts may not recalculate from figures presented herein due to rounding
6
Attachment 2
Condensed Consolidated Statements of Income (Unaudited)
Three Months Ended
Year Ended
Sales $ 997.0 $ 658.6 $ 3,242.1 $ 2,862.7
Cost of sales 744.1 505.3 2,457.8 2,205.5
Gross margin 252.9 153.3 784.3 657.2
Selling and administrative expense 187.9 132.8 595.0 500.4
Operating income 65.0 20.5 189.3 156.8
Interest expense, net (19.3) (11.9) (74.6) (59.5)
Other income, net 11.7 10.7 24.3 12.1
Income from continuing operations before income taxes 57.4 19.3 139.0 109.4
Income tax benefit (expense) 17.3 (12.9) (5.2) (33.7)
Net income from continuing operations 74.7 6.4 133.8 75.7
Income (loss) from discontinued operations, net of income taxes 0.1 458.9 (0.4) 513.1
Net income 74.8 465.3 133.4 588.8
Net income attributable to noncontrolling interests (0.5) — (1.8) (0.2)
Net income attributable to Avient common shareholders $ 74.3 $ 465.3 $ 131.6 $ 588.6
Earnings per share attributable to Avient common shareholders - Basic:
Continuing operations $ 0.81 $ 0.08 $ 1.47 $ 0.98
Discontinued operations — 5.97 (0.01) 6.64
Total $ 0.81 $ 6.05 $ 1.46 $ 7.62
Earnings per share attributable to Avient common shareholders - Diluted:
Continuing operations $ 0.81 $ 0.08 $ 1.46 $ 0.97
Discontinued operations — 5.92 (0.01) 6.61
Total $ 0.81 $ 6.00 $ 1.45 $ 7.58
Cash dividends declared per share of common stock $ 0.2125 $ 0.2025 $ 0.8200 $ 0.7875
Weighted-average shares used to compute earnings per common share:
Basic 91.4 76.9 90.1 77.2
Diluted 92.1 77.5 90.6 77.7
7
Attachment 3
Summary of Special Items (Unaudited)
Special items (1)
Three Months Ended
Year Ended
Cost of sales:
Restructuring costs, including accelerated depreciation $ (1.8) $ — $ (4.3) $ 0.3
Environmental remediation costs (1.1) 0.3 (20.4) (10.1)
Reimbursement of previously incurred environmental costs — 0.5 8.7 4.5
Inventory fair market value step-up expense 1.2 — (9.3) (2.0)
Impact on cost of sales (1.7) 0.8 (25.3) (7.3)
Selling and administrative expense:
Restructuring, legal and other (13.0) (4.4) (22.5) (18.6)
Acquisition earn-out adjustments 1.5 (15.7) (1.0) (36.4)
Acquisition related costs (1.4) (5.3) (24.9) (9.4)
Impact on selling and administrative expense (12.9) (25.4) (48.4) (64.4)
Impact on operating income (14.6) (24.6) (73.7) (71.7)
Costs related to committed financing in interest expense, net — — (10.1) —
Other income, net 0.1 0.1 0.4 0.5
Pension settlement/curtailment gains and mark-to-market adjustment 10.3 9.5 17.2 9.5
Impact on income from continuing operations before income taxes (4.2) (15.0) (66.2) (61.7)
Income tax benefit (expense) on above special items (1.3) (0.4) 14.1 11.1
Tax adjustments(2) 32.2 (4.5) 27.3 (5.2)
Impact of special items on net income from continuing operations
attributable to Avient Shareholders $ 26.7 $ (19.9) $ (24.8) $ (55.8)
Diluted earnings per common share impact of special items on net income
from continuing operations attributable to Avient shareholders $ 0.29 $ (0.26) $ (0.27) $ (0.72)
Weighted average shares used to compute adjusted earnings per share:
Diluted 92.1 77.5 90.6 77.7
(1) Special items include charges related to specific strategic initiatives or financial restructuring such as: consolidation of operations; debt
extinguishment costs; costs incurred directly in relation to acquisitions or divestitures; employee separation costs resulting from personnel
reduction programs, plant realignment costs, executive separation agreements; asset impairments; settlement gains or losses and mark-to-
market adjustments associated with actuarial gains and losses on pension and other post-retirement benefit plans; environmental
remediation costs, fines, penalties and related insurance recoveries related to facilities no longer owned or closed in prior years; gains and
losses on the divestiture of operating businesses, joint ventures and equity investments; gains and losses on facility or property sales or
disposals; results of litigation, fines or penalties, where such litigation (or action relating to the fines or penalties) arose prior to the
commencement of the performance period; one-time, non-recurring items; and the effect of changes in accounting principles or other such
laws or provisions affecting reported results
https://www.avient.com/sites/default/files/2022-02/Q4 2021 Avient Earnings Release_0.pdf
Three Months Ended
December 31,
2021 2020
Reconciliation to Condensed Consolidated Statements of Income $ EPS(1) $ EPS(1)
Net income from continuing operations attributable to Avient shareholders $ 29.8 $ 0.32 $ 74.2 $ 0.81
Special items, after tax (Attachment 3) 24.0 0.26 (26.7) (0.29)
Adjusted net income / EPS - excluding special items $ 53.8 $ 0.58 $ 47.5 $ 0.52
(1) Per share amounts may not recalculate from figures presented herein due to rounding
Year Ended
December 31,
2021 2020
Reconciliation to Condensed Consolidated Statements of Income $ EPS(1) $ EPS(1)
Net income from continuing operations attributable to Avient shareholders $ 230.8 $ 2.51 $ 132.0 $ 1.46
Special items, after tax (Attachment 3) 50.0 0.54 24.8 0.27
Adjusted net income / EPS - excluding special items $ 280.8 3.05 $ 156.8 1.73
(1) Per share amounts may not recalculate from figures presented herein due to rounding
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Attachment 2
Avient Corporation
Condensed Consolidated Statements of Income (Unaudited)
(In millions, except per share data)
Three Months Ended
December 31,
Year Ended
December 31,
2021 2020 2021 2020
Sales $ 1,201.5 $ 997.0 $ 4,818.8 $ 3,242.1
Cost of sales 948.4 744.1 3,719.2 2,457.8
Gross margin 253.1 252.9 1,099.6 784.3
Selling and administrative expense 179.1 187.9 718.4 595.0
Operating income 74.0 65.0 381.2 189.3
Interest expense, net (17.5) (19.3) (75.3) (74.6)
Other (expense) income, net (5.4) 11.7 (1.3) 24.3
Income from continuing operations before income taxes 51.1 57.4 304.6 139.0
Income tax (expense) benefit (22.2) 17.3 (74.0) (5.2)
Net income from continuing operations 28.9 74.7 230.6 133.8
Income (loss) from discontinued operations, net of income taxes — 0.1 — (0.4)
Net income 28.9 74.8 230.6 133.4
Net loss (income) attributable to noncontrolling interests 0.9 (0.5) 0.2 (1.8)
Net income attributable to Avient common shareholders $ 29.8 $ 74.3 $ 230.8 $ 131.6
Earnings per share attributable to Avient common shareholders - Basic:
Continuing operations $ 0.33 $ 0.81 $ 2.53 $ 1.47
Discontinued operations — — — (0.01)
Total $ 0.33 $ 0.81 $ 2.53 $ 1.46
Earnings per share attributable to Avient common shareholders - Diluted:
Continuing operations $ 0.32 $ 0.81 $ 2.51 $ 1.46
Discontinued operations — — — (0.01)
Total $ 0.32 $ 0.81 $ 2.51 $ 1.45
Cash dividends declared per share of common stock $ 0.2375 $ 0.2125 $ 0.8750 $ 0.8200
Weighted-average shares used to compute earnings per common share:
Basic 91.5 91.4 91.4 90.1
Diluted 92.4 92.1 92.1 90.6
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Attachment 3
Avient Corporation
Summary of Special Items (Unaudited)
(In millions, except per share data)
Special items (1) Three Months Ended
December 31,
Year Ended
December 31,
2021 2020 2021 2020
Cost of sales:
Restructuring costs, including accelerated depreciation $ (6.0) $ (1.8) $ (14.6) $ (4.3)
Environmental remediation costs (0.5) (1.1) (22.9) (20.4)
Reimbursement of previously incurred environmental costs — — 4.5 8.7
Acquisition related costs 0.6 1.2 (0.6) (9.3)
Impact on cost of sales (5.9) (1.7) (33.6) (25.3)
Selling and administrative expense:
Restructuring, legal and other (4.2) (13.0) (5.9) (22.5)
Acquisition earn-out adjustments — 1.5 — (1.0)
Acquisition related costs (1.1) (1.4) (8.3) (24.9)
Impact on selling and administrative expense (5.3) (12.9) (14.2) (48.4)
Impact on operating income (11.2) (14.6) (47.8) (73.7)
Costs related to committed financing in interest expense, net — — — (10.1)
Other income, net — 0.1 0.1 0.4
Pension settlement/curtailment and mark-to-market adjustment (loss) gain (9.4) 10.3 (9.4) 17.2
Impact on income from continuing operations before income taxes (20.6) (4.2) (57.1) (66.2)
Income tax benefit (expense) on above special items 4.1 (1.3) 13.0 14.1
Tax adjustments(2) (7.5) 32.2 (5.9) 27.3
Impact of special items on net income from continuing operations
attributable to Avient Shareholders $ (24.0) $ 26.7 $ (50.0) $ (24.8)
Diluted earnings per common share impact of special items on net income
from continuing operations attributable to Avient shareholders $ (0.26) $ 0.29 $ (0.54) $ (0.27)
Weighted average shares used to compute adjusted earnings per share:
Diluted 92.4 92.1 92.1 90.6
(1) Special items include charges related to specific strategic initiatives or financial restructuring such as: consolidation of operations; debt
extinguishment costs; costs incurred directly in relation to acquisitions or divestitures; employee separation costs resulting from personnel
reduction programs, plant realignment costs, executive separation agreements; asset impairments; settlement gains or losses and mark-to-
market adjustments associated with actuarial gains and losses on pension and other post-retirement benefit plans; environmental remediation
costs, fines, penalties and related insurance recoveries related to facilities no longer owned or closed in prior years; gains and losses on the
divestiture of operating businesses, joint ventures and equity investments; gains and losses on facility or property sales or disposals; results
of litigation, fines or penalties, where such litigation (or action relating to the fines or penalties) arose prior to the commencement of the
performance period; one-time, non-recurring items; and the effect of changes in accounting principles or other such laws or provisions affecting
reported results