https://www.avient.com/sites/default/files/2021-04/avient-sustain-2019-210419-interactive.pdf
Color, Additives and Inks (CAI) Acquired CAI Facilities from Clariant Masterbatch Distribution Specialty Engineered Materials 1. ECCOH™ Low Smoke and Fume Non-Halogen Formulations Zodiac™ Aquarius™ Water Based Screen Printing Inks MagIQ™ Non-Woven Electret Plus Technology Example Products and Sustainable Outcomes Sustainability Report | 2019 41 https://www.avient.com/products/engineered-polymer-formulations/eco-conscious-formulations/edgetek-ld https://www.avient.com/products/polymer-additives/processing-enhancement-additives/oncap-multi-purge-additives https://www.avient.com/products/polymer-additives/processing-enhancement-additives/oncap-ctr https://www.avient.com/products/polymer-additives/reheat-additives-pet/colormatrix-joule-reheat-additive-pet https://www.avient.com/products/thermoplastic-elastomers/onflex-thermoplastic-elastomers https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/oncolor-fx-special-effect https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/oncolor-ir-sortable-black-recyclable-packaging https://www.avient.com/products/engineered-polymer-formulations/eco-conscious-formulations/nymax-pir-and-resound-r-nd-recycled-nylon-formulations https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/oncolor-naturals-colorants https://www.avient.com/products/thermoplastic-elastomers/resound-om-thermoplastic-elastomers https://www.avient.com/products/engineered-polymer-formulations/eco-conscious-formulations/eccoh-low-smoke-and-fume-non-halogen-formulations https://www.avient.com/products/screen-printing-inks/zodiac-aquarius/aquarius-soft-base-ink https://www.avient.com/products/fiber-solutions/magiq-fiber-additives/magiq-non-woven-electret-plus Enabling A Circular Economy Circular Economy Highlighted Solutions: ColorMatrix™ Amosorb™ Oxygen Scavenger for PET Creates an active barrier against oxygen ingress to help enhance product protection and extend shelf life. Environmental data covers all sites owned or operated by Avient in the reporting period. 102–47 List of material topics About Avient People Products Planet Performance Avient 2019 Annual Report—Form 10-K 102–48 Restatements of information Products—excludes all Performance Products and Solutions segment; adjusted information based on more detailed portfolio analysis, such as deleting smartbatch sales and including sustainable inks; added new application areas that were not included in previous report such as applications for sustainable healthcare and minimizing food waste.
https://www.avient.com/sites/default/files/2020-10/2019-avient-sustainability-report.pdf
Color, Additives and Inks (CAI) Acquired CAI Facilities from Clariant Masterbatch Distribution Specialty Engineered Materials 1. ECCOH™ Low Smoke and Fume Non-Halogen Formulations Zodiac™ Aquarius™ Water Based Screen Printing Inks MagIQ™ Non-Woven Electret Plus Technology Example Products and Sustainable Outcomes Sustainability Report | 2019 41 https://www.avient.com/products/engineered-polymer-formulations/eco-conscious-formulations/edgetek-ld https://www.avient.com/products/polymer-additives/processing-enhancement-additives/oncap-multi-purge-additives https://www.avient.com/products/polymer-additives/processing-enhancement-additives/oncap-ctr https://www.avient.com/products/polymer-additives/reheat-additives-pet/colormatrix-joule-reheat-additive-pet https://www.avient.com/products/thermoplastic-elastomers/onflex-thermoplastic-elastomers https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/oncolor-fx-special-effect https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/oncolor-ir-sortable-black-recyclable-packaging https://www.avient.com/products/engineered-polymer-formulations/eco-conscious-formulations/nymax-pir-and-resound-r-nd-recycled-nylon-formulations https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/oncolor-naturals-colorants https://www.avient.com/products/thermoplastic-elastomers/resound-om-thermoplastic-elastomers https://www.avient.com/products/engineered-polymer-formulations/eco-conscious-formulations/eccoh-low-smoke-and-fume-non-halogen-formulations https://www.avient.com/products/screen-printing-inks/zodiac-aquarius/aquarius-soft-base-ink https://www.avient.com/products/fiber-solutions/magiq-fiber-additives/magiq-non-woven-electret-plus Enabling A Circular Economy Circular Economy Highlighted Solutions: ColorMatrix™ Amosorb™ Oxygen Scavenger for PET Creates an active barrier against oxygen ingress to help enhance product protection and extend shelf life. Environmental data covers all sites owned or operated by Avient in the reporting period. 102–47 List of material topics About Avient People Products Planet Performance Avient 2019 Annual Report—Form 10-K 102–48 Restatements of information Products—excludes all Performance Products and Solutions segment; adjusted information based on more detailed portfolio analysis, such as deleting smartbatch sales and including sustainable inks; added new application areas that were not included in previous report such as applications for sustainable healthcare and minimizing food waste.
https://www.avient.com/sites/default/files/2020-03/PolyOne_Website-12.19.pdf
S A F E T Y F I R S T PolyOne Corporation 7 Injuries per 100 Workers Spartech Acquisition 1.3 1.1 1.1 0.85 0.65 0.57 0.54 0.97 0.84 0.74 0.74 0.69 0.51 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 G R E A T P L A C E T O W O R K PolyOne Corporation 8 * Pro Forma for sale of DSS Operating Income % of Sales 2006 Q3 YTD 2019 Color, Additives & Inks 1.7% 15.5% Specialty Engineered Materials 1.1% 11.8% Distribution 2.6% 6.3% 2009 2010 2011 2012 2013 2014 2015 2016*2017* 2018 $2.43 P R O O F O F P E R F O R M A N C E C O N S E C U T I V E Y E A R S PolyOne Corporation 9 10 $0.13 $0.68 $0.82 $1.00 $1.31 $1.80 $1.96 $2.06 $2.21 A D J U S T E D E P S E X P A N S I O N 2018 2019E $1.65 $1.51 Pro Forma for sale of PP&S T R A N S F O R M A T I O N H E A D L I N E S PolyOne Corporation 10 C O M M O D I T Y T O S P E C I A L T Y T R A N S F O R M A T I O N PolyOne Corporation 11 • Volume driven, commodity production • Heavily tied to cyclical end markets • Performance largely dependent on non- controlling joint ventures • Shift to value-based selling & an innovative culture • New leadership team appointed • Implementation of four pillar strategy • Investment in commercial training and innovation • Faster growing, high margin focus • Accelerated growth with world class vitality index • Significant commercial resource additions • Expanded margins with specialty focus • Acquired strategic, bolt-on companies to expand technology offerings and improve geographic breadth Volume Value Transformation The Future 2006 - 2013 2013 – 20192000-2005 2006 - 2013 • Landmark portfolio transformation creates specialty growth company • Sustainability / mega- trends drive above market growth 2020 and Beyond F I T W I T H F O U R P I L L A R S T R A T E G Y PolyOne Corporation 12 Specialization • Innovation-led organization with heavy emphasis on R&D • World-class expertise in color formulation • Strong presence in specialty end markets including Consumer, Packaging and Healthcare Globalization • Diverse geographic portfolio with an established presence in every major region • Expands PolyOne’s ability to serve customers in key growth areas including India, China and Southeast Asia Operational • Extensive manufacturing footprint with 46 facilities • Organizational focus on optimizing supply chain to better serve customers • Color design expertise Commercial • Value-focused salesforce with vast experience marketing and commercializing specialty technologies • Diverse customer portfolio with established OEM’s People Experienced and talented associates with a winning mentality L E V E R A G I N G G L O B A L M E G A T R E N D S 13 Facilitate alternative energy solutions Light- weighting Reduce packaging materials Improve recyclability Reduce spread of infection T R A N S P O R T A T I O N P A C K A G I N G H E A L T H C A R EC O N S U M E R PolyOne Corporation E N D M A R K E T T R A N S F O R M A T I O N PolyOne Corporation 14 Building & Construction 18% 8% 50% 22% High Growth End Markets Percentage of Total Revenue 38% E N D M A R K E T T R A N S F O R M A T I O N PolyOne Corporation 15 8% Building & Construction 38% Wire & Cable 11% Industrial Electrical & Electronic 7% Transportation 18% Building & Construction Wire & Cable Industrial Electrical & Electronic Appliance 3% Textiles Transportation 13% C O M P L E M E N T A R Y G E O G R A P H I C P R E S E N C E PolyOne Corporation 16 38% Europe 33% Asia 19% 22% Europe Asia & Middle East 31% 1% Color & Engineered Materials Clariant Color & Additive Masterbatch Business Net Sales by Geographic Region 31% Europe 36% Asia & Middle East 24% 3% Pro Forma Color & Engineered Materials 531 710 1,042 130 164 208 504 663 880 2014 2018 2019E PF* R&D / Technical Marketing Sales PolyOne Corporation 17 + 34% + 26% + 32% E X P A N S I O N O F COMMERCIAL RESOURCES D R I V I N G G R O W T H $2.9 $2.9 $3.5 2015 2016 2017 2018 2019E PF Total + 9% Organic + 5% Revenue in Billions Total + 10% Organic + 7%+ 47% + 27% + 33% $4.0 $3.2 2019E PF* P R I O R A C Q U I S I T I O N S : P R O O F O F P E R F O R M A N C E PolyOne Corporation 18 Commercial Resources Operating Income ($ in millions) Operating Margins 243 340 $36 $96 11% Established Acquisitions (> 7 years) + 40% + 165% + 900 bps U N I F I E D F O C U S O N S U S T A I N A B I L I T Y PolyOne Corporation 19 2006 - 2013 2013 – 2019 PEOPLE PRODUCTS PLANET PERFORMANCE Clariant Color & Additive Masterbatch Business • Building mini-recycling plants to facilitate customer projects on design for recycling - CycleWorks • Uses packaging additives & colorants to improve recyclability and enhance automated sorting • Manufactures oxygen scavengers to extend shelf-life of perishable items and reduce material requirements • Combines UV-blocking additive colorants & other barriers to prevent spoilage and waste • Offers spin-dyeing solutions that use significantly less water than traditional methods, allowing for sustainable coloration of textiles • Produces infrared absorbing additives that reduce energy requirements for bottle manufacturing ($ in millions) (Continuing Operations) Clariant Color & Additive Masterbatch Business Synergies New 2019E Total Sales $2,860 $1,150 $4,010 2019E Adjusted EBITDA $310 $130 $60 $500 % Margin 10.8% 11.3% 12.5% 2019E CapEx $60 $85 % Sales 2.1% 2.1% 2019E Free Cash Flow $170 $250 2019E Adjusted EPS $1.65 $2.22 2019E PF Adjusted EPS $1.65 $2.50 P O L Y O N E + C L A R I A N T C O L O R & A D D I T I V E M A S T E R B A T C H B U S I N E S S PolyOne Corporation 20 (1) Excludes step-up of depreciation & amortization related to purchase accounting of transaction (1) $0.85/share O V E R 8 5 % O F A D J U S T E D E B I T D A F R O M S P E C I A L T Y PolyOne Corporation 21 46% 66% 0% 60% 80% 100% 2005 2010 2015 2019E PF % o f A d ju s te d E B IT D A * JV's Performance Products & Solutions Distribution Specialty 7% 87% * Adjusted EBITDA is EBITDA excluding corporate costs and special items ** 2019E Pro Forma for PP&S Divestiture and Clariant Color & Additive Masterbatch business acquisition with synergies Specialty EBITDA $14M $117M $273M $500M ** PolyOne Corporation 22 T R A N S A C T I O N O V E R V I E W • Expected mid-2020, subject to regulatory approvals and customary closing conditions Closing Conditions / Timing • Committed financing in place • Permanent financing to be combination of available cash on-hand, new debt and equity component to limit leverage • Equity issuance of $400 to $500MM • Target net leverage below 3.5x, 3.1x synergized, with intention to de-lever below 3.0x within 2 years PolyOne Corporation 23 • $1.45 B net purchase price • Represents 11.1x adjusted EBITDA (excluding synergies), 7.6x adjusted EBITDA (including synergies) • Pre-tax synergies of $60MM expected to be fully realized by the end of 2023 • Synergies realized from sourcing, operational, technology / commercial, and general administrative Transaction Value Synergies Estimated Synergy Breakdown $60MM • Expect EBITDA synergies of $60MM – Proven integration expertise with a decade of acquisition experience – Administrative synergies reflect reduction of duplicative internal and third-party costs • Run rate synergies of $20MM by the end of Year 1 with $60MM achieved by the end of Year 3 • Significant additional opportunity for geographical expansion – Clariant Color & Additive Masterbatch business has complementary regional presence in key growth areas including India & Southeast Asia • Opportunity to accelerate growth with a combined portfolio of innovative solutions aligned with sustainability megatrends Sourcing Operational 30% Administrative 30% PolyOne Corporation 24 S I G N I F I C A N T S Y N E R G Y O P P O R T U N I T I E S C A P I T A L S T R U C T U R E / L E V E R A G E PolyOne Corporation 25 At Close Year 1 Year 2 3.2x 3.5x 3.1x 2.6x Pro Forma with Synergies 2019E PF Two year leverage goal (1) Pro Forma Capitalization is for illustrative purposes only; amounts may vary depending on various market and other factors.
https://www.avient.com/sites/default/files/2021-09/avient2020sustainabilityreport-9-2-21.pdf
Color, Additives and Inks (CAI) Distribution Specialty Engineered Materials 1. Adam Reckless, Plant Manager, Norwalk, Ohio, Color, Additives and Inks recalled, “Participating in World Clean Up Day was a great opportunity to spend more time outside, and seeing less waste in the environment shows that it really can make a difference!”Keeping our environment and planet clean is our daily responsibility to ensure a great place to live for future generations,” shared Michael Adam, Global Technology Director, Color, Additives and Inks in Pommerloch, Luxembourg. 5.
https://www.avient.com/sites/default/files/resources/PolyOne%2520Proxy%2520Statement%25202016.pdf
This growth was driven by record-setting performances by our established specialty businesses, Color, Additives & Inks and Engineered Materials. Van Hulle Senior Vice President, President of Global Color, Additives and Inks Craig M. Van Hulle received a payout based on 80.0% attainment resulting from our Color, Additives and Inks business performance.
https://www.avient.com/sites/default/files/2022-03/AVNT Mar 2022 Presentation.pdf
& Canada 50% Latin America 9% 2021 SEGMENT, END MARKET AND GEOGRAPHY 37 GEOGRAPHY REVENUESEGMENT FINANCIALS 23% 19% Building and END MARKET REVENUE (1) Total company sales and adjusted EBITDA of $4,819M and $581M, respectively, include intercompany sales eliminations and corporate costs $2,402M $409M $919M $164M $1,631M $94M Sales EBITDA Distribution Specialty Engineered Materials Color Additives and Inks $581M$4,819M 15% 34% 21% Building & 9% 1% Telecommunications C O L O R , A D D I T I V E S & I N K S 2021 REVENUE | $2 .4 BILL ION 32% 40% 21% Latin America END MARKET REGION 38 S P E C I A LT Y E N G I N E E R E D M AT E R I A L S 27% Building & 2021 REVENUE | $919 MILLION END MARKET 55% 20% REGION 39 DI S TR IBU T I ON 26% 23% 20% Building and 80% 3% Latin America END MARKET REGION K E Y S U P P L I ER S 2021 REVENUE | $1 .6 B ILL ION 40 TOTA L C O M PA N Y R E G I O N A L S A L E S BY END MARKET 30% 26%Healthcare 14% Building & 2% Energy (16% of sales) 32% Building & (25% of sales) 41 19% Building & US & Canada (50% of sales) 38% 33% Building & LATAM (9% of sales)
https://www.avient.com/sites/default/files/2021-03/avient-march-ir-fermium_0.pdf
& Canada 50% 26% 16% Latin America 2020 SEGMENT, END MARKET AND GEOGRAPHY 29 GEOGRAPHY REVENUESEGMENT FINANCIALS 21%Industrial Building & Electrical & END MARKET REVENUE All data reflects 2020 Pro forma for acquisition of the Clariant Masterbatch business. (1) The total company sales and EBITDA of $3,783M and $457M, respectively, include intercompany sales eliminations and corporate costs $2,043M $331M $709M $124M $1,110M $70M Sales EBITDA Distribution Specialty Engineered Materials Color Additives and Inks $457M$3,783M 35% 14% Building & Electrical & C O L O R , A D D I T I V E S & I N K S 2020 PF REVENUE | $2 .0 BILLION 31% 40% 22% Latin America END MARKET REGION 30 2020 figures Pro forma for acquisition of the Clariant Masterbatch business S P E C I A LT Y E N G I N E E R E D M AT E R I A L S 24% Wire & Cable(1) 24% Electrical & 13% 11% Building & 2020 REVENUE | $709 MILLION END MARKET 58% 19% REGION 31 (1) Approximately 50% of Wire and Cable sales are associated with Fiber Optic Cabling DI S TR IBU T I ON 2020 REVENUE | $1 .1 B ILL ION 29% 25% 20% 14% Electrical & Building & 1% 82% Latin America END MARKET REGION K E Y S U P P L I ER S 32 AMERICAS EMEA ASIA 26% 19% 13% 16% Building & Electrical & 34% 16%Healthcare 17% Building & Electrical & 32% 27% 12% Building & Electrical & 9% 2020 figures Pro forma for acquisition of the Clariant Masterbatch business TOTA L C O M PA N Y R E G I O N A L S A L E S BY END MARKET (58% of sales) (26% of sales) (16% of sales) 33
https://www.avient.com/sites/default/files/2020-11/investing-in-avient_0.pdf
1) The total company sales and EBITDA of $3,700M and $440M, respectively, include intercompany sales eliminations and corporate costs $2,015M $320M $700M $120M $1,100M $70M Sales EBITDA Distribution Specialty Engineered Materials Color Additives and Inks $440M$3,700M Innovation is the lifeblood of a specialty company.
https://www.avient.com/sites/default/files/2020-10/investing-in-avient.pdf
& Canada 49% 25% 17% Latin America SEGMENT, END MARKET AND GEOGRAPHY 5 GEOGRAPHY REVENUESEGMENT FINANCIALS 21%Industrial Building & Electrical & END MARKET REVENUE All data reflects 2020 estimate and Pro forma for acquisition of the Clariant Masterbatch business. (1) The total company sales and EBITDA of $3,650M and $425M, respectively, include intercompany sales eliminations and corporate costs $2,000M $310M $685M $115M $1,050M $65M Sales EBITDA Distribution Specialty Engineered Materials Color Additives and Inks $425M$3,650M Innovation is the lifeblood of a specialty company.
https://www.avient.com/sites/default/files/resources/PolyOne%25202018%2520Proxy%2520Statement.PDF
Crist Senior Vice President, President of Color, Additives and Inks (“CAI”) Michael A. Van Hulle retired from his position as Senior Vice President, President of Color, Additives and Inks. Van Hulle, Former Senior Vice President, President of Color, Additives and Inks Michael A.