https://www.avient.com/sites/default/files/2024-07/Ballistic Resistant Composite Panels Product Selection _ Install Guide.pdf
CUSTOMIZED SOLUTIONS
Our custom capabilities include:
• Drilling
• Routing
• Machining
USES AND APPLICATIONS
Composite ballistic panels from Avient
are suitable for indoor and outdoor use
in commercial, governmental, industrial,
and residential applications:
• Military structures
• Infrastructure facilities
and equipment
• Banks
• Check cashing stations
• Pawn shops
• Loan and bail/bond offices
• Courtrooms
• Police stations
• Detention facilities
• Bonded warehousing
• Security buildings
• Equipment shielding locations
• Safe rooms
• Storm shelters
• Judges’ chambers
• Finishing
• Custom colors
• Unique panel sizes
UL 752 & NIJ STANDARDS FOR BALLISTIC RESISTANT PROTECTIVE MATERIALS
UL
Rating
NIJ
Level Ammunition Velocity No.
Property GlasArmor Panel ThermoBallistic Panel Test Method
Glass Content 55 wt% 73 wt%
Density 0.066 lb/in3
1.83 g/cm3
0.062 lb/in3
1.72 g/cm3 ASTM D-792
Flex Mod 2.1–2.7 msi
14.5 - 18.6 GPa
2.5 msi
17.2 GPa ASTM D-790
Flex Strength 65 ksi
448 MPa
14 ksi
96.5 MPa ASTM D-790
Barcol Hardness 50–60 n/a ASTM D-2583
Fire Rating 1 hour1 n/a ASTM E-119-09c
Flame Spread Rating 452 n/a ASTM E-84-08a
Smoke Developed Rating 1652 n/a ASTM E-84-08a
MATERIAL DATA (TYPICAL VALUES)
1 UL Level 3 panel was fire tested as part of a wall system with steel studs and drywall face sheet
2 NFPA & IBC Class B rating achieved
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Copyright © 2023, Avient Corporation.
https://www.avient.com/sites/default/files/2023-12/Senior Financial Officer Code of Conduct Policy %282023%29_0.pdf
Each officer must:
• avoid potential, real, or perceived conflict of interest situations between personal
and professional relationships.
Should any such conflict of interest situation arise,
the officer must report the details of the situation to both the General Counsel and
the Chair of the Audit Committee for disposition;
• be responsible, to the best of his or her ability, for full, fair, accurate, timely and
understandable disclosure in reports and documents that the company files with,
or submits to, the SEC and in other public communications made by the company;
• maintain compliance with applicable governmental laws, rules and regulations;
• report violations of this code of ethics in accordance with the procedures outlined
below; and
• be personally responsible for adherence to this Code of Ethics.
Reporting of violations of the Code of Ethics
Should situations arise that cause a potential conflict of interest for any one of these
officers, then the details of the circumstances of the potential conflict of interest must be
reported (including self-reporting) immediately to the General Counsel, the Chair of the
Audit Committee and the independent auditor.
https://www.avient.com/sites/default/files/2021-07/avnt-q2-2021-earnings-release.pdf
We are
optimistic we can host this meeting in person, but will make arrangements to do so by video if
necessary,” said Jamie Beggs, Senior Vice President and Chief Financial Officer, Avient
Corporation.
Three Months Ended
June 30,
Six Months Ended
June 30,
Reconciliation to Consolidated Statements of Income 2021 2020 2021 2020
Sales $ 1,235.2 $ 609.1 $ 2,397.5 $ 1,320.6
Gross margin - GAAP 288.7 149.7 591.1 321.2
Special items in gross margin (Attachment 3) 12.6 (4.2) 10.4 (4.0)
Adjusted gross margin $ 301.3 $ 145.5 $ 601.5 $ 317.2
Adjusted gross margin as a percent of sales 24.4 % 23.9 % 25.1 % 24.0 %
Operating income - GAAP 108.1 38.0 228.5 90.8
Special items in operating income (Attachment 3) 14.2 9.0 16.6 18.7
Adjusted operating income $ 122.3 $ 47.0 $ 245.1 $ 109.5
Adjusted operating income as a percent of sales 9.9 % 7.7 % 10.2 % 8.3 %
The table below reconciles pre-special income tax expense and the pre-special effective tax rate to their most comparable US
GAAP figures.
Three Months Ended June 30,
2021 2020
GAAP
Results
Special
Items
Adjusted
Results
GAAP
Results
Special
Items
Adjusted
Results
$ 89.8 $ 14.2 $ 104.0 $ 31.3 $ 2.4 $ 33.7
Income tax expense - GAAP (20.4) — (20.4) (7.9) — (7.9)
Income tax impact of special items (Attachment 3) — (3.4) (3.4) — (0.7) (0.7)
Tax adjustments (Attachment 3) — 0.9 0.9 — 0.9 0.9
Income tax (expense) benefit $ (20.4) $ (2.5) $ (22.9) $ (7.9) $ 0.2 $ (7.7)
Effective Tax Rate(1) 22.7 % 22.0 % 25.1 % 22.5 %
(1) Rates may not recalculate from figures presented herein due to rounding
13
Six Months Ended June 30,
2021 2020
GAAP
Results
Special
Items
Adjusted
Results
GAAP
Results
Special
Items
Adjusted
Results
$ 192.4 $ 16.6 $ 209.0 $ 76.3 $ 12.0 $ 88.3
Income tax expense - GAAP (43.3) — (43.3) (19.8) — (19.8)
Income tax impact of special items (Attachment 3) — (4.3) (4.3) — (2.7) (2.7)
Tax adjustments (Attachment 3) — 2.0 2.0 — 1.9 1.9
Income tax (expense) benefit $ (43.3) $ (2.3) $ (45.6) $ (19.8) $ (0.8) $ (20.6)
Effective Tax Rate(1) 22.5 % 21.8 % 25.9 % 23.3 %
(1) Rates may not recalculate from figures presented herein due to rounding
The following pro forma adjustments are referenced by management to provide comparable business performance by
incorporating the Clariant Masterbatch business in periods prior to the acquisition date (July 1, 2020).
https://www.avient.com/company/sustainability/sustainability-report/planet/waste
These waste standards have established a hierarchy of waste management with the elimination of waste as the highest priority, followed by reuse or recycling, and disposal without any beneficial reuse as the lowest priority.
https://www.avient.com/resources/safety-data-sheets?page=2557
DB4289 NEUTRAL LOWEST VISC
https://www.avient.com/resources/safety-data-sheets?page=1418
MB2493B Clear Lowest Visc
https://www.avient.com/sites/default/files/2021-04/avient-q4-earnings-and-2021-outlook-website.pdf
Factors that could cause actual results to differ materially from those implied by these forward-looking statements include, but are not limited to:
• The impact of the COVID-19 pandemic has on our business, results from operations, financial condition and liquidity;
• Our ability to achieve the strategic and other objectives relating to the acquisition of Clariant’s Masterbatch business, including any expected synergies;
• Disruptions, uncertainty or volatility in the credit markets that could adversely impact the availability of credit already arranged and the availability and cost of credit in the future;
• The effect on foreign operations of currency fluctuations, tariffs and other political, economic and regulatory risks;
• Changes in polymer consumption growth rates and laws and regulations regarding the disposal of plastic in jurisdictions where we conduct business;
• Changes in global industry capacity or in the rate at which anticipated changes in industry capacity come online;
• Fluctuations in raw material prices, quality and supply and in energy prices and supply;
• Production outages or material costs associated with scheduled or unscheduled maintenance programs;
• Unanticipated developments that could occur with respect to contingencies such as litigation and environmental matters;
• Our ability to continue to pay cash dividends including at the increased rate;
• Our ability to consummate and successfully integrate acquisitions;
• An inability to raise or sustain prices for products or services;
• An ability to achieve or delays in achieving or achievement of less than the anticipated financial benefit from initiatives related to acquisitions and integration, working capital reductions, cost reductions, and employee productivity goals;
• Information systems failures and cyber attacks; and
• Other factors affecting our business beyond our control, including, without limitation, changes in the general economy, changes in interest rates and changes in the rate of inflation.
10
2021 O U TLO O K
Synergies
($ millions)
Initial
Three-Year
Estimate
Revised
Three-Year
Estimate
2021
Expected
Realization
Administrative $ 18 $ 20 $ 15
Sourcing 24 30 15
Operational 18 25 5
Total Synergies $ 60 $ 75 $ 35
CLARIANT INTEGRATION &
COST SYNERGIES UPDATE
12
• Integration going extremely well: synergy target increased from $60 million to $75 million
• $5 million of synergies in 2020 and expect to realize $35 million in 2021
• Relentless focus on guiding principles of safety first, employee collaboration and exceeding
customer expectations
• Future revenue synergies are not part of these estimates and represent additional growth over
the long term
$86
$103
$0.53
$0.70
ORGANIC GROWTH PROJECTIONS – Q1
13
Sales Adjusted Operating Income
$991
$1,090
+ 10%
Adjusted EPS
+ 20% + 32%
(in millions) (in millions)
(1) (1) (1)
(1) Financial information is pro forma to include a full year of Clariant Masterbatch business acquisition
$308
$360
$1.93
$2.40
ORGANIC GROWTH PROJECTIONS – FULL YEAR
14
Sales Adjusted Operating Income
$3,783
$4,100
+ 8%
Adjusted EPS
+ 17% + 24%
(1) Financial information is pro forma to include a full year of Clariant Masterbatch business acquisition
(in millions) (in millions)
2020 Pro forma $3,783 $308
Sustainable Solutions 60 11% 24
Healthcare 60 11% 18
Composites 20 10% 10
Growth in Emerging Regions 50 7% 11
Other (GDP growth) 82 5% 11
Sub-total $4,055 7% $382
COVID Response Applications (25) - (11)
Outdoor High Performance Applications (15) - (7)
Asia Payroll Tax Subsidy (COVID) - - (4)
FX Impact 85 - 7
Synergies - - 30
Incentives, Travel, Other Employee Costs - - (37)
2021 Estimated $4,100 8% $360
2021 ORGANIC SALES AND OPERATING INCOME
15 (1) Financial information is pro forma to include a full year of Clariant Masterbatch business acquisition
(2) COVID Response Applications: facemasks, personal protective equipment
Sales Growth Rate
Operating
Income$ millions
(2)
CASH FLOW AND LEVERAGE
16
• Asset light business generates
significant free cash flow
• Cash generation in 2021 partially offset
by restructuring activities to capture
synergies associated with the Clariant
Masterbatch acquisition
• Cash flow deployed to M&A,
opportunistic share repurchases and
balance sheet / leverage reduction
3.5x
2.7x
2.1x
2019PF 2020PF 2021E
Net Debt / Adjusted EBITDA
(1) Financial information is pro forma to include a full year of Clariant Masterbatch business acquisition
($ millions) 2020 2021E
Adjusted EBITDA 382 510
Working Capital: Source / (Use) 116 (30)
Cash Taxes (40) (53)
Interest Paid (67) (76)
CapEx (62) (75)
CapEx for Synergy Capture (2) (20)
Restructuring for Synergy Capture (11) (25)
Other 22 19
Free Cash Flow 338 250
We sell solutions not commodities.
We also monitor earnings (defined as net income from continuing operations) before interest,
taxes, depreciation and amortization (EBITDA) and adjusted EBITDA (EBITDA before the impact of special items) as a
supplement to our GAAP measures.
https://www.avient.com/sites/default/files/2023-07/AVNT Q2 2023 Earnings Press Release%5B43%5D.pdf
Compared to our prior adjusted EPS expectations, raw material deflation as
well as improving mix from composites and sustainable solutions positively impacted the quarter
and more than offset weaker demand conditions.”
2
“Sequentially, we’ve seen modest improvement in Asia, but demand across other regions remains
sluggish, particularly in Europe, as consumers remain cautious with continued inflation and rising
interest rates,” Mr.
Conference call
participants in the question and answer session should pre-register using the link at
avient.com/investors, or here, to receive the dial-in numbers and a personal PIN, which are
required to access the conference call.
Factors
that could cause actual results to differ materially from those implied by these forward-looking
statements include, but are not limited to: disruptions, uncertainty or volatility in the credit
markets that could adversely impact the availability of credit already arranged and the
availability and cost of credit in the future; the effect on foreign operations of currency
fluctuations, tariffs and other political, economic and regulatory risks; changes in laws and
regulations regarding plastics in jurisdictions where we conduct business; fluctuations in raw
material prices, quality and supply, and in energy prices and supply; production outages or
material costs associated with scheduled or unscheduled maintenance programs; unanticipated
developments that could occur with respect to contingencies such as litigation and
environmental matters; our ability to achieve strategic objectives and successfully integrate
acquisitions, including Avient Protective Materials; an inability to raise or sustain prices for
products or services; our ability to pay regular quarterly cash dividends and the amounts and
timing of any future dividends; information systems failures and cyberattacks; amounts for cash
and non-cash charges related to restructuring plans that may differ from original estimates,
including because of timing changes associated with the underlying actions; and other factors
affecting our business beyond our control, including without limitation, changes in the general
economy, changes in interest rates, changes in the rate of inflation and any recessionary
conditions.
https://www.avient.com/content/ballistic-panel-quote-request-form
Bahrain
https://www.avient.com/sites/default/files/2021-10/avnt-q3-2021-news-release.pdf
We will be
sending out registration information shortly and will offer both in-person and virtual options in light
of the continuing impacts of the pandemic.”
Three Months Ended
September 30,
Nine Months Ended
September 30,
Reconciliation to Consolidated Statements of Income 2021 2020 2021 2020
Sales $ 1,219.8 $ 924.5 $ 3,617.3 $ 2,245.1
Gross margin - GAAP 255.4 210.2 846.5 531.4
Special items in gross margin (Attachment 3) 17.3 27.6 27.7 23.6
Adjusted gross margin $ 272.7 $ 237.8 $ 874.2 $ 555.0
Adjusted gross margin as a percent of sales 22.4 % 25.7 % 24.2 % 24.7 %
Operating income - GAAP 78.7 33.5 307.2 124.3
Special items in operating income (Attachment 3) 20.0 40.4 36.6 59.1
Adjusted operating income $ 98.7 $ 73.9 $ 343.8 $ 183.4
Adjusted operating income as a percent of sales 8.1 % 8.0 % 9.5 % 8.2 %
The table below reconciles pre-special income tax expense and the pre-special effective tax rate to their most comparable US
GAAP figures.
Three Months Ended September 30,
2021 2020
GAAP
Results
Special
Items
Adjusted
Results
GAAP
Results
Special
Items
Adjusted
Results
$ 61.1 $ 19.9 $ 81.0 $ 5.3 $ 50.0 $ 55.3
Income tax expense - GAAP (8.5) — (8.5) (2.7) — (2.7)
Income tax impact of special items (Attachment 3) — (4.6) (4.6) — (12.7) (12.7)
Tax adjustments (Attachment 3) — (3.6) (3.6) — 3.0 3.0
Income tax (expense) benefit $ (8.5) $ (8.2) $ (16.7) $ (2.7) $ (9.7) $ (12.4)
Effective Tax Rate(1) 14.1 % 20.8 % 51.9 % 22.7 %
(1) Rates may not recalculate from figures presented herein due to rounding
14
Nine Months Ended September 30,
2021 2020
GAAP
Results
Special
Items
Adjusted
Results
GAAP
Results
Special
Items
Adjusted
Results
$ 253.5 $ 36.5 $ 290.0 $ 81.6 $ 62.0 $ 143.6
Income tax expense - GAAP (51.8) — (51.8) (22.5) — (22.5)
Income tax impact of special items (Attachment 3) — (8.9) (8.9) — (15.4) (15.4)
Tax adjustments (Attachment 3) — (1.6) (1.6) — 4.9 4.9
Income tax (expense) benefit $ (51.8) $ (10.5) $ (62.3) $ (22.5) $ (10.5) $ (33.0)
Effective Tax Rate(1) 20.5 % 21.5 % 27.6 % 23.0 %
(1) Rates may not recalculate from figures presented herein due to rounding
The following pro forma adjustments are referenced by management to provide comparable business performance by
incorporating the Clariant Masterbatch business in periods prior to the acquisition date (July 1, 2020).