https://www.avient.com/sites/default/files/resources/PolyOne%25202014%2520Annual%2520Report.pdf
Our segments are further discussed in Note 16, Segment Information.
See Note 16, Segment Information, for more information.
The information regarding Section 16(a) beneficial ownership reporting compliance is incorporated by
reference to the material under the heading “Section 16(a) Beneficial Ownership Reporting
Compliance” in the 2015 Proxy Statement.
https://www.avient.com/sites/default/files/resources/PolyOne%25202011%2520Annual%2520Report.pdf
Dongguan, China 16.
See Note
16, Segment Information, for more information.
The information regarding Section 16(a) beneficial ownership reporting
compliance is incorporated by reference to the material under the heading
“Section 16(a) Beneficial Ownership Reporting Compliance” in the 2012 Proxy
Statement.
https://www.avient.com/sites/default/files/2023-07/Avient_CodeConduct_2023_France.pdf
Notre Code de
conduite
2023
Un message du président-directeur général 1
Notre vision et notre stratégie 2
Valeurs fondamentales et personnelles 2
Notre Code de conduite
Directives pour un comportement éthique 4
Valeurs personnelles 4
Résoudre les questions et signaler les situations
de non-conformité 6
Ligne d’assistance liée à l’éthique 6
Non-représailles 6
Application du Code de conduite 7
Violations du Code 7
Respect pour tous
Diversité et inclusion 9
Discrimination ou harcèlement 9
Relations sur le lieu de travail 9
La toxicomanie/l’alcoolisme 10
Sécurité physique et violence sur le lieu de travail 10
Honnêteté au travail
Exactitude des informations, données et archives 12
Intégrité comptable 12
Communications de la société 14
Protection et utilisation des actifs 14
Informations exclusives et confidentielles ; idées
et propriété intellectuelle 14
Protection de la sphère privée, des informations et
données personnelles 15
Utilisation d’Internet et des courriers
électroniques 15
Médias sociaux et réseaux sociaux 16
Sécurité informatique, licences logicielles
et copyrights 16
Délit d’initié 16
Contributions/activités politiques
et contributions caritatives 17
Enquêtes et demandes de renseignements du
gouvernement 17
Intégrité dans notre activité
Traitement équitable 19
Corruption et pots-de-vin 19
Agents et Consultants 20
Concurrence 20
Cadeaux et marques d’hospitalité 20
Conflits d’intérêts 21
Transactions intéressées 22
Commerce international 22
Responsabilité sociale
d’entreprise
Durabilité 24
Sécurité, santé et environnement 24
Sécurité des produits et des services 25
Respect des droits de l’homme 25
Un engagement partagé 25
Ressources et coordonnées 26
1
Un message du président-directeur général
Chers collaborateurs d’Avient,
En tant que société mondiale en pleine expansion, nous sommes confrontés à des situations difficiles et à des prises de
décisions complexes.
Lorsque vous
voyagez dans un autre pays, consultez l’équipe de
sécurité informatique ou le département juridique
d’Avient afin de voir si vous devez prendre des
précautions supplémentaires.
16
Médias sociaux et réseautage
sociaux
Avient reconnaît que les médias/réseaux sociaux
peuvent présenter un intérêt professionnel.
Nous définissons le travail des enfants
comme des services effectués par une personne de moins
de 16 ans et, si la législation locale est plus restrictive
que notre politique, nous nous conformerons à cette
dernière.
https://www.avient.com/sites/default/files/2023-07/Avient_CodeConduct_2023_Canada.pdf
Notre Code de
conduite
2023
Un message du président-directeur général 1
Notre vision et notre stratégie 2
Valeurs fondamentales et personnelles 2
Notre Code de conduite
Lignes directrices en matière d’éthique 4
Valeurs personnelles 4
Résolution des problèmes et signalement
des situations de non-conformité 6
Ligne d’assistance en matière d’éthique 6
Absence de représailles 6
Application du Code de conduite 7
Violations du Code 7
Respect de tous
Diversité et inclusion 9
Discrimination ou harcèlement 9
Relations au travail 9
Abus de drogues ou d’alcool 10
Sécurité physique et violence au travail 10
Honnêteté au travail
Renseignements, données et dossiers 12
Intégrité comptable 12
Communications de l’Entreprise 14
Protection et utilisation des biens 14
Renseignements internes, exclusifs et confidentiels,
idées novatrices et propriété intellectuelle 14
Confidentialité, renseignements personnels et
protection des données 15
Utilisation d’Internet et des courriels 15
Médias sociaux et réseautage social 16
Sécurité informatique, licence de logiciels
et droits d’auteur 16
Information privilégiée et délit d’initié 16
Contributions/activités politiques et contributions
de bienfaisance 17
Enquêtes administratives et autres enquêtes 17
Intégrité dans nos affaires
Utilisation équitable 19
Corruption et commissions clandestines 19
Agents et consultants 20
Concurrence 20
Cadeaux et hospitalité 20
Conflits d’intérêts 21
Transactions d’initié 22
Commerce international 22
Responsabilité sociale d’entreprise
Développement durable 24
Sécurité, santé et environnement 24
Sécurité des produits et des services 25
Respect des droits de la personne 25
Un engagement commun 25
Ressources et coordonnées 26
1
Un message du président-directeur général
Chers associés Avient,
En tant qu’entreprise mondiale en pleine croissance, nous sommes confrontés à des situations difficiles et à des décisions
complexes.
Lorsque vous
voyagez dans un autre pays, communiquez avec
l’équipe de sécurité informatique ou du service
juridique d’Avient pour savoir si vous devez prendre
des précautions supplémentaires.
16
Médias sociaux et réseautage
social
Avient reconnaît que les médias sociaux peuvent être
utiles sur le plan professionnel.
Nous définissons le travail des
enfants comme les services fournis par toute personne âgée
de moins de 16 ans.
https://www.avient.com/sites/default/files/2024-09/Terms and Conditions of Sale for Germany.pdf
INDEMNITIES 16.
NOTICE OF CHANGE
16.
FREISTELLUNGSANSPRÜCHE
16.
https://www.avient.com/sites/default/files/2023-06/Terms and Conditions of Sale for the U.S.%5B17%5D.pdf
With respect to the state of
Ohio, this waiver applies to Section 35 Article II of the Ohio
Constitution and Ohio Revised Code Sec. 4123.74.
16.
https://www.avient.com/sites/default/files/2023-06/Terms and Conditions of Sale for the Netherlands.pdf
Buyer intends that its indemnification obligations for claims related
to or brought by anyone directly or indirectly employed by Buyer or
its subcontractors will not be limited by any provision of any
worker’s compensation act, disability benefit act or other employee
benefit act, and Buyer hereby waives immunity under such acts to
the extent it would bar recovery under or prevent enforcement of
Buyer’s indemnification obligations.
16.
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/2023-05/AVNT Q1 2023 Earnings Presentation.pdf
National Defense
budget of $842 billion submitted to Congress
in Q1 2023
• European NATO members annual defense
spend expected to increase by up to 20%
Dyneema® is the world’s strongest fiber™
One of the highest strength to weight
ratios of any material on Earth
Direct relationships with industry leading
armor manufacturers
Resistant to most chemicals, UV, and
moisture to handle any environment
Avient Confidential 13
DEFENSE
Source: US Department of Defense, defense.gov, NATO13
Source:
TRANSPORTATION
• Increased EPA regulations requiring
improved fuel efficiency, enabled in part by
lower-weight vehicles
• Automakers preparing for 2/3 of U.S.
vehicles to be 100% electric by 2032
Lightweight panels that establish both
strength and stiffness resulting in
decreased energy usage, lower emissions
Long-lasting Color applications to resist
UV exposure, temperature fluctuations
and exceed the stylistic requirements of
global automakers
14
$130
$530
$0.60
$2.40
2023 GUIDANCE
15
Sales Adjusted EBITDA
$845
$3,400
Adjusted EPS
(in millions) (in millions)
CASH FLOW / LEVERAGE
16
• Maintaining free cash flow
and leverage guidance from
February earnings call
• IT investment to further
integrate acquired
businesses and capture
operational efficiencies
• Restructuring actions to
streamline operations and
improve profitability,
primarily in Europe
($ millions) 2023E
Cash Flow from Operating Activities 350$
Less:
Run-Rate CapEx (110)
CapEx for IT System Upgrade (25)
CapEx for Restructuring (15)
Total CapEx (150)
Free Cash Flow 200$
Adjusted EBITDA 530$
Net Debt / Adjusted EBITDA 2.9x
LONG-TERM REVENUE GROWTH DRIVERS
Growth Drivers
Long-Term
Growth Rate
Sustainable Solutions 8–12%
Healthcare 8–10%
Composites 10%
Asia / LATAM 5%
Other (GDP growth) 2–3%
Avient 6.5%
17
Sustainable
Solutions
32%
Asia / LATAM
Composites
Other (GDP
Growth)
39%
• Virtual presentation to be held
September 20, 2023
• The company will be
conducting an investor-focused
presentation around our
sustainability solutions portfolio
Avient Confidential 18
SUSTAINABILITY
INVESTOR DAY
18
$340M
$405M
$455M
$550M
$790M
$915M
2016 2017 2018 2019 2020PF** 2021 2022PF***
SUSTAINABILITY FOR A BETTER TOMORROW
Revenue From Sustainable Solutions* 2016-2022
($ in millions)
Organic Future Growth Revenue Assumptions From Sustainable Solutions: 8 - 12%
19
*Avient Sustainable Solutions definitions aligned with FTC 2012 Guide for the Use of Environmental Marketing Claims (“Green Guides”)
**2020 is Pro Forma to include full year of the Clariant Color business
***2022 is Pro Forma for the acquisition of Avient Protective Materials and the divestiture of Distribution
$1,175M
Lightweighting
Eco-Conscious
Recycle Solutions
VOC Reduction
Sustainable Infrastructure
Human Health & Safety
Reduced Energy Use
Bio-polymers
SUSTAINABILITY NEEDS BY MARKET
B&C
• Eco-Conscious
• Carbon footprint
• Resource
conservation
• Carbon footprint
• Bio based content
• Eco-Conscious
Automotive
• Light weighting
• Recycled Content
• VOC reduction
• Recycle Solutions
• Carbon Footprint
Packaging
• Recycle Solutions
• Food waste
reduction
Common Theme: CO2 Emission Goals
Increasing Single-Use Plastic Regulation
20
INVESTING
IN INNOVATION
S U S T A I N A B I L I T Y P O R T F O L I O
21
AP P EN D IX
24
RAW MATERIAL 2022 ANNUAL PURCHASES
Performance
Additives
Pigments
12%
TiO2
Dyestuffs
2%
Polyethylene
Nylon
Polypropylene
Styrenic Block
Copolymer
Other Raw
Materials
33%
~40% hydrocarbon based
(Grey shaded materials are hydrocarbon based,
includes portion of “Other Raw Materials”)
Non-hydrocarbon
based materials
• Cost inflation
decelerating,
particularly for
hydrocarbon-based
raw materials
2022 pro forma results for the acquisition of Avient Protective Materials
SEGMENT DATA
U.S. & Canada
40%
37%
18%
2022 PRO FORMA SEGMENT, END MARKET AND GEOGRAPHY
GEOGRAPHY REVENUESEGMENT FINANCIALS
24%
Building and
END MARKET REVENUE
$2,355M $402M
$1,300M $272M
Sales EBITDA
Specialty Engineered Materials
Color Additives and Inks
$592M$3,653M
(1)
9%
26
(1) Total company sales and adjusted EBITDA of $3,653M and $592M, respectively, include intercompany sales eliminations and corporate costs
C O L O R , A D D I T I V E S & I N K S
2022 REVENUE | $2 .4 B ILL ION
34%
38%
END MARKET REGION
27
34%
21%
Building &
1% Energy
2%
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
2022 PRO FORMA REVENUE | $1 .3 B ILL ION
END MARKET
52%
35%
REGION
28
19%
8%Industrial
9% Defense
Building &
32%
27%
14%
Building &
3%
1% Defense
1%
(18% of sales)
9%
2022 PROFORMA AVIENT REGIONAL SALES
BY END MARKET
27%
14%
17%
Building &
(37% of sales)Transportation
24%
12%
Building &
US &
Canada
(40% of sales)
56%
23%
Building &
1%
LATAM
(5% of sales)
3%
29
PEER COMPARISONS
AVIENT IS ASSET LIGHT
Capex / Revenue
2023E (%)
Avient Specialty
Other Specialty /
Note: Avient reflects 2023 estimated revenue of $3,400 and estimated run-rate CAPEX of $110M.
31
4 4
5 5 5
6
7
9
FREE CASH FLOW CONVERSION
Note: Free cash flow conversion calculated as (Adjusted EBITDA – Capex) / Adjusted EBITDA.
https://www.avient.com/sites/default/files/2024-03/Terms and Conditions of Sale for Luxembourg.pdf
Buyer intends
that its indemnification obligations for claims related to or brought
by anyone directly or indirectly employed by Buyer or its
subcontractors will not be limited by any provision of any
worker’s compensation act, disability benefit act or other
employee benefit act, and Buyer hereby waives immunity under
such acts to the extent it would bar recovery under or prevent
enforcement of Buyer’s indemnification obligations.
16.