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Richardson
Executive Vice President, Chief Financial Officer
PolyOne Corporation Page 15
Track Record of Accelerated Growth
Total Revenue Adjusted EPS Adjusted EBITDA
$2,061
$2,506
$2,709
$2,861
$3,771
2009 2010 2011 2012 2013
($ in millions, except EPS )
$105
$179
$202
$255
$344
2009 2010 2011 2012 2013
$0.13
$0.68
$0.82
$1.00
$1.31
2009 2010 2011 2012 2013
PolyOne Corporation Page 16
$0.31
$0.44
$0.20
$0.30
$0.40
Q1 2013 Q1 2014
Adjusted EPS
$42
$60
$20
$40
$60
Q1 2013 Q1 2014
Specialty Operating Income
($ millions)
Q1 2014 Financial Highlights
Growth momentum accelerates
driven by specialty platform
Specialty segments and
Distribution achieve record results
All segments increase operating
income compared to prior year
Revenue grew 25% versus
Q1 2013
+43%
+42%
$57
$79
$30
$60
$90
Q1 2013 Q1 2014
Adjusted Operating Income
($ millions)
+39%
PolyOne Corporation Page 17
Commitment to Operational Excellence
81%
96%
2006 2013
16.2%
10.9%
2006 2013
On-Time Delivery
Working Capital % of Sales
5.0%
31.0%
2006 2013
Percent of Associates Trained in LSS
Three consecutive years – CFO Magazine
Best Working Capital Management
Program in the chemical industry
World’s Best Business
Process Excellence
Program in 2012*
95 certified Black Belts
211 certified Green Belts
422 Project Leaders
World’s Best “Start-up
Program” for Lean Six Sigma
Deployment in 2009*
*Both awards received from International Quality and Productivity Center
PolyOne Corporation Page 18
Debt Maturities & Pension Funding – 3/31/14
Net Debt / EBITDA* = 1.9x
$48
$317
$600
$0
$100
$200
$300
$400
$500
$600
$700
$800
2015 2020 2023
Debt Maturities
As of March 31, 2014
($ millions)
Coupon Rates: 7.500% 7.375% 5.250%
*TTM 12/31/2013
** includes US-qualified pension plans only
60%
100%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2008 2014
Pension Funding**
As of March 31, 2014
PolyOne Corporation Page 19
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 1.4 million shares in
Q1 2014
Repurchased 6.4 million
shares since April 2013
13.6 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 20
3.07 3.05
1.81
1.45
1.82
1.54
0.85
3.15
1.17
1.69
0.00
0.50
1.00
1.50
2.00
2.50
3.00
3.50
4.00
0.91
PolyOne
Valuation Aspirations
PEG Ratio Comparison
Represents $38 of
share price upside
Avg = 1.96
PolyOne Corporation Page 21
Innovating for the Future
Dr.
https://www.avient.com/sites/default/files/resources/Innovation%2520Day%2520-%2520May%25202014.pdf
Richardson
Executive Vice President, Chief Financial Officer
PolyOne Corporation Page 15
Track Record of Accelerated Growth
Total Revenue Adjusted EPS Adjusted EBITDA
$2,061
$2,506
$2,709
$2,861
$3,771
2009 2010 2011 2012 2013
($ in millions, except EPS )
$105
$179
$202
$255
$344
2009 2010 2011 2012 2013
$0.13
$0.68
$0.82
$1.00
$1.31
2009 2010 2011 2012 2013
PolyOne Corporation Page 16
$0.31
$0.44
$0.20
$0.30
$0.40
Q1 2013 Q1 2014
Adjusted EPS
$42
$60
$20
$40
$60
Q1 2013 Q1 2014
Specialty Operating Income
($ millions)
Q1 2014 Financial Highlights
Growth momentum accelerates
driven by specialty platform
Specialty segments and
Distribution achieve record results
All segments increase operating
income compared to prior year
Revenue grew 25% versus
Q1 2013
+43%
+42%
$57
$79
$30
$60
$90
Q1 2013 Q1 2014
Adjusted Operating Income
($ millions)
+39%
PolyOne Corporation Page 17
Commitment to Operational Excellence
81%
96%
2006 2013
16.2%
10.9%
2006 2013
On-Time Delivery
Working Capital % of Sales
5.0%
31.0%
2006 2013
Percent of Associates Trained in LSS
Three consecutive years – CFO Magazine
Best Working Capital Management
Program in the chemical industry
World’s Best Business
Process Excellence
Program in 2012*
95 certified Black Belts
211 certified Green Belts
422 Project Leaders
World’s Best “Start-up
Program” for Lean Six Sigma
Deployment in 2009*
*Both awards received from International Quality and Productivity Center
PolyOne Corporation Page 18
Debt Maturities & Pension Funding – 3/31/14
Net Debt / EBITDA* = 1.9x
$48
$317
$600
$0
$100
$200
$300
$400
$500
$600
$700
$800
2015 2020 2023
Debt Maturities
As of March 31, 2014
($ millions)
Coupon Rates: 7.500% 7.375% 5.250%
*TTM 12/31/2013
** includes US-qualified pension plans only
60%
100%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2008 2014
Pension Funding**
As of March 31, 2014
PolyOne Corporation Page 19
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 1.4 million shares in
Q1 2014
Repurchased 6.4 million
shares since April 2013
13.6 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 20
3.07 3.05
1.81
1.45
1.82
1.54
0.85
3.15
1.17
1.69
0.00
0.50
1.00
1.50
2.00
2.50
3.00
3.50
4.00
0.91
PolyOne
Valuation Aspirations
PEG Ratio Comparison
Represents $38 of
share price upside
Avg = 1.96
PolyOne Corporation Page 21
Innovating for the Future
Dr.