https://www.avient.com/sites/default/files/resources/POL%2520IR%2520Presentation%2520-%2520Credit%2520Suisse%2520-%2520June%25202015.pdf
PolyOne Corporation Page 4
PolyOne Commodity to Specialty Transformation
• Volume driven,
commodity producer
• Heavily tied to
cyclical end markets
• Performance largely
dependent on non-
controlling joint
ventures
2000-2005 2006 - 2009 2010 – 2014 2015 and beyond
• Steve Newlin
appointed, Chairman,
President and CEO
• New leadership team
appointed
• Implementation of four
pillar strategy
• Focus on value based
selling, investment in
commercial resources
and innovation to drive
transformation
• Substantial EPS growth
from $0.13 to all-time
high of $1.80
• Shift to faster growing,
high margin, less
cyclical end markets
• Key acquisitions propel
current and future
growth, as well as
margin expansion
• Specialty mix expands
to 65% of Operating
Income – strongest mix
of earnings in history
• Accelerating growth
• Deliver consistent
double digit annual
EPS growth
• Maintain >35% vitality
index
• Pursue strategic
acquisitions that
expand specialty
offerings and
geographic breadth
• Invest and grow
current and next
generation talent
PolyOne Corporation Page 5
Building &
10%
Electrical &
11%
9%
Distribution
28%
PP&S
52%
69%
13%
7% Asia
2014 Revenues: $3.8 Billion
End Markets
2014 Revenues: $3.8 Billion
PolyOne
At A Glance
$13
$31
$46 $46
$87 $96
$122
$195
$242
2006 2007 2008 2009 2010 2011 2012 2013 2014
Specialty Operating Income ($M)
PolyOne Corporation Page 6
Old
PolyOne
*Operating Income excludes corporate charges and special items
2%
34% 43%
62%
65%
69%
0%
20%
40%
60%
80%
100%
2005 2008 2010 2013 2014 Q1 2015 2020
%
o
f O
pe
ra
tin
g
In
co
m
e*
JV's Performance Products & Solutions Distribution Specialty
80%+
Specialty OI $5M $46M $87M $195M $242M $60M
Mix Shift Highlights Specialty Transformation
Transformation
2020
Platinum
Vision
Platinum
Vision
PolyOne Corporation Page 7
Confirmation of Our Strategy
The World’s Premier Provider of Specialized
Polymer Materials, Services and Solutions
Specialization Globalization
Operational
Excellence
Commercial
Excellence
PolyOne Corporation Page 8
-100%
0%
200%
300%
400%
500%
600%
Strategy and Execution Drive Results
$0.12
$0.27
$0.21
$0.13
$0.68
$0.82
$1.00
$1.31
$1.80
'06 '07 '08 '09 '10 '11 '12 '13 '14
‘06-‘14 Adjusted EPS CAGR = 40%
Adjusted EPS Share Price vs.
S&P 500
PolyOne Corporation Page 9
2006 Q1 2015 2020
“Where we were” “Where we are” Platinum Vision
1) Operating Income %
Specialty:
Global Color, Additives & Inks 1.7% 16.2% 20%+
Global Specialty Engineered
Materials 1.1% 16.3% 20%+
Designed Structures & Solutions 1.4% (2012) 2.7% 12 – 14%
Performance Products &
Solutions 5.5% 6.5% 10 – 12%
Distribution 2.6% 5.9% 6.5 – 7.5%
2) Specialty Platform % of
Operating Income 6.0% 69% 80%+
3) ROIC 5.0% 11.4% 15%
4) Adjusted EPS Growth N/A
22 Consecutive
Quarters of
EPS Growth
Double Digit
Expansion
Proof of Performance & 2020 Goals
PolyOne Corporation Page 10
Platinum Vision: Pathway to Accelerated Growth
Organic
Sales Growth
Margin
Expansion
Share
Repurchases
Acquisitions
PolyOne Corporation Page 11
Innovation Drives Earnings Growth
*Percentage of Specialty Platform revenue from products introduced in last five years
$20
$53
2006 2014
Research & Development
Spending
($ millions)
Specialty Platform
Vitality Index Progression*
14%
27%
2006 2014
Specialty Platform
Gross Margin %
20%
44%
2006 2014
Specialty Vitality Index Target ≥ 35%
PolyOne Corporation Page 12
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 13
Prototype Frame
Opportunity
Scale-up &
Test Market
Build
Business Case
Commercial
Launch
Phase
1
Phase
2
Phase
3
Phase
4
Phase
5
6
9
7
3
5
12
5 3 2
8
4
2
4
3
1
Breakthrough
Platform
Derivative
A Rich Pipeline of Opportunity
Number of Projects 14 8 18 12 22 74
Addressable Market
($ millions) $700 $600 $600 $1,900
PolyOne Corporation Page 14
60%
98%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2008 Q1 2015
Pension Funding**
As of March 31, 2015
Debt Maturities & Pension Funding
Net Debt / EBITDA* = 2.1x
$49
$317
$600
$0
$100
$200
$300
$400
$500
$600
$700
$800
2015 2020 2023
Debt Maturities
As of March 31, 2015
($ millions)
Coupon Rate: 7.500% 7.375% 5.250%
** includes US-qualified pension plans only *TTM 3/31/2015
PolyOne Corporation Page 15
Free Cash Flow and Strong Balance Sheet
Fund Investment / Shareholder Return
Expanding our sales,
marketing, and
technical capabilities
Investing in operational
and LSS initiatives
~75% of capital
expenditures fund
growth initiatives Organic
Growth
Acquisitions
Share
Repurchases
Dividends
$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
Targets that expand
our:
• Specialty offerings
• End market
presence
• Geographic breadth
Synergy opportunities
Adjacent material
solutions
Repurchased over
500k shares in Q1
2015
Repurchased 11.8
million shares since
early 2013
8.2 million shares are
available for
repurchase under the
current authorization
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?
Net debt to adjusted EBITDA is calculated as follows:
Three Months
Twelve Months
Three Months
Trailing Twelve
Months (TTM)
(In millions) March 31, 2014 December 31, 2014 March 31, 2015 March 31, 2015
Short-term portion and current portion of
long-term debt $ 12.8 $ 61.8 $ 61.9
Long-term debt 968.1 962.0 1,049.2
Less: Cash and cash equivalents (238.3) (238.6) (226.4)
Net Debt $ 742.6 785.2 884.7
Income before income taxes $ 39.9 $ 88.4 $ 53.3 $ 101.8
Interest expense, net 15.5 62.2 16.1 62.8
Depreciation and amortization 32.8 123.9 25.1 116.2
Special items, impact on operating income 22.9 164.9 9.3 151.3
Accelerated depreciation included in special
items (6.8) (23.1) (0.1) (16.4)
Adjusted EBITDA $ 104.3 $ 416.3 $ 103.7 $ 415.7
Net Debt/TTM Adjusted EBITDA 2.1
POL IR Presentation - Credit Suisse - June 2015
��PolyOne Investor Presentation�Credit Suisse �Boston Basic Materials Conference �June 2015��
Forward-Looking Statements
Use of Non-GAAP Measures
PolyOne Commodity to Specialty Transformation
PolyOne�At A Glance
Mix Shift Highlights Specialty Transformation
Confirmation of Our Strategy
Strategy and Execution Drive Results
Proof of Performance & 2020 Goals
Platinum Vision: Pathway to Accelerated Growth
Innovation Drives Earnings Growth
Megatrends Aligned with Key End Markets
A Rich Pipeline of Opportunity
Debt Maturities & Pension Funding
Free Cash Flow and Strong Balance Sheet �Fund Investment / Shareholder Return
PolyOne Core Values
Why Invest In PolyOne?
https://www.avient.com/investor-center/news/polyone-announces-second-quarter-2017-results
These resources, coupled with innovative service offerings such as IQ Design and LSS Customer First, have been the driving force behind our sales growth."
Richardson continued, "Two of our segments, Performance Products and Solutions and Distribution delivered record levels of second quarter operating income, largely driving results for the quarter.
Tax adjustments include the net tax expense/benefit from one-time income tax items, the set-up or reversal of uncertain tax position reserves and deferred income tax valuation allowance adjustments.
https://www.avient.com/sites/default/files/resources/US_North%2520Baltimore_RC14001_2020Exp.pdf
has been assessed by ABSQuality Evaluations,Inc. and found to be in conformance with the requirements set forth by:
RC14001®:2015
DESIGN AND MANUFACTURE OF CUSTOM PVC COMPOUNDS
Certificate No: 55421
Effective Date: 20 November 2017
Expiration Date: 19 November 2020
Issue Date: 20 November 2017 Alex Weisselberg, President
Validity of this certificate is based on the successful completion of the periodic surveillance audits of the management system defined by the above scope and is contingent upon
prompt,written notification to ABS Quality Evaluations, Inc. of significant changes to the management system or components thereof.
ABS Quality Evaluations, Inc. 16855 Northchase Drive, Houston, TX 77060, U.S.A.
http://www.abs-qe.com/cert_validation
PolyOne Corporation
has been assessed by ABSQuality Evaluations,Inc. and found to be in conformance with the requirements set forth by:
Certificate No: 55421
https://www.avient.com/sites/default/files/2023-11/ISO 9001 2015_Hickory NC.pdf
This is to certify that
Fiber-Line, LLC
280 Performance Drive SE, Hickory, North Carolina 28602 USA
Quality Management System
ISO 9001:2015
Manufacture of textile components to cable manufacturers.
https://www.avient.com/sites/default/files/2023-11/AS9100 REV D_Hatfield PA.pdf
AS9100 Certication DEKRA
CERTIFICATE
Certificate Number: 131789.01
The Aerospace Quality Management System and implementation of:
Fiber-Line, LLC
With Central Functions At:
3050 Campus Drive
Hatfield, PA 19440
United States
The certification has been performed in accordance with the requirements of AS9104/1:2012, including its
implementation, and meets the requirements of the standard:
AS9100D
(Based on and including ISO 9001:2015)
Scope:
The value added design and development of synthetic fiber products for
use in public and private sectors.
https://www.avient.com/sites/default/files/resources/Polyone%2520Barbastro_ISO%25209001_2015%2520EXP%25202021.pdf
Industrial Valle del Cinca
s/n Apartado 18
22300 Barbastro, Huesca
Spain
has been assessed by ABS Quality Evaluations, Inc. and found to be in conformance with the requirements set forth by:
ISO 9001:2015
The Quality Management System is applicable to:
DEVELOPMENT, PRODUCTION & DISTRIBUTION OF TECHNICAL THERMOPLASTICS.
ABS Quality Evaluations, Inc. 16855 Northchase Drive, Houston, TX 77060, U.S.A.
https://www.avient.com/sites/default/files/resources/Polyone%2520Barbastro_ISO%252014001_2015_EXP%25202021_0.pdf
Industrial Valle del Cinca
s/n Apartado 18
22300 Barbastro, Huesca
Spain
has been assessed by ABS Quality Evaluations, Inc. and found to be in conformance with the requirements set forth by:
ISO 14001:2015
The Environment Management System is applicable to:
DEVELOPMENT, PRODUCTION & DISTRIBUTION OF TECHNICAL THERMOPLASTICS.
ABS Quality Evaluations, Inc. 16855 Northchase Drive, Houston, TX 77060, U.S.A.
https://www.avient.com/sites/default/files/2023-12/Avient_ProdStewardship_Policy_Dec_18_2023.pdf
Setting goals and objectives that drive continual improvement and
check effectiveness of risk reduction measures in product safety
and stewardship
https://www.avient.com/sites/default/files/resources/Ramos_ISO_14001.pdf
Gamma 650
Parque Industrial Santa María
Ramos Arizpe, Coahuila 25900
México
has been assessed by ABS Quality Evaluations, Inc. and found to be in conformance with the requirements set forth by:
ISO 14001:2015
The Environment Management System is applicable to:
COMPOUNDING OF THERMOPLASTIC PRODUCTS
This certificate may be found on the ABS QE Website (www.abs-qe.com).
ABS Quality Evaluations, Inc. 1701 City Plaza Drive, Spring, TX 77389, U.S.A.
https://www.avient.com/sites/default/files/2020-07/ISO 14001 - 14 March 2026.pdf
ECert (3).pdf
ABS Quality Evaluations
ABS Quality Evaluations, Inc. 1701 City Plaza Drive, Spring, TX 77389, U.S.A.
Certificate Of Conformance
has been assessed by ABS Quality Evaluations, Inc. and found to be in conformance with the requirements set forth by: