Solvay Sa · EURONEXT:SOLB
Solvay Sa — Investor Day (April 2012)
20 slides from Solvay Sa's investor day presentation, Apr 24, 2012
Slide 1: Rare Earth Systems
Rare Earth Systems The leader in rare earth value chain DU, Hua General Manager, Rare Earth Systems April 24, 2012
Slide 2: Agenda
AGENDA 1 Our positioning and strengths 2 Our strategy 3 Our growth ambition Capital Markets Day 2012 April April24, 24,2012 2012 2
Slide 3: Our positioning and strengths
1 Our positioning and strengths Capital Markets Day 2012 April April24, 24,2012 2012 3
Slide 4: Rare Earth Systems at a glance
OUR POSITIONING AND STRENGTHS Rare Earth Systems at a glance A unique global footprint 2011 Net Sales > € 500m Europe Employees 26% of sales > 1000 Asia 46% of sales # 1 in rare earth based specialty North & Latin America 28% of sales chemicals Sales, R&D and industrial footprint close to our target
Slide 5: Differentiated positioning in the rare earth value chain
OUR POSITIONING AND STRENGTHS Differentiated positioning in the rare earth value chain RARE EARTH SYSTEMS APPLICATION MINING CONCENTRATION SEPARATION FORMULATION RECYCLING MARKETS Automotive Catalysis Light Rare Earth La, Ce, Nd, Pr, … Rare Earth Semiconductor Rare Earth oxide CMP Concentrates Heavy
Slide 6: Covering the widest range of applications
OUR POSITIONING AND STRENGTHS Covering the widest range of applications AUTOMOTIVE CATALYST ELECTRONICS RECYCLING & SEPARATION KEY PRODUCTS KEY PRODUCTS KEY PRODUCTS GASOLINE LIGHTING Recycling of Phosphors powders Mixed oxides : Actalys®, Optalys® Phosphors Precursor : Luminostar®, Morningstar® Alu
Slide 7: 2011, an outstanding year capitalizing on our unique positioning
OUR POSITIONING AND STRENGTHS 2011, an outstanding year capitalizing on our unique positioning 2008 - 2011 REBITDA 2011, an exceptional year • Drastic reduction of China export quotas mid 2010 • Unprecedented raw materials price increases 3x 2011 Business achievements • Managed and enhanced security
Slide 8: Our strategy
2 Our strategy Capital Markets Day 2012 April April24, 24,2012 2012 8
Slide 9: Leveraging our unique compelling positioning
OUR STRATEGY Leveraging our unique compelling positioning Combining our four differentiated key pillars Security of supply Industrial expertise Technology innovation Global footprint Capital Markets Day 2012 April 24, 2012 9
Slide 10: Sourcing diversification strategy to secure supply
OUR STRATEGY Sourcing diversification strategy to secure supply Currently Going forward Enjoying access to LIGHT RARE EARTH • Strategic agreement with LYNAS Export quotas • 2nd strategic agreement out of China will be closed in 2012 HEAVY RARE EARTH (HRE) Key players • Strategic agreement with in Ch
Slide 11: Enhancing leadership position in automotive catalysis market
OUR STRATEGY Enhancing leadership position in automotive catalysis market Light Vehicles Gasoline and Diesel Car Production 2011 Market Share > 35% (Million units) 120 +6% CAGR Mixed oxides production start-up in China : 2012 100 China 80 EU 2016 Strategy 60 ROW 40 Nafta 20 • Leverage high performan
Slide 12: Building leadership in Green and Red Phosphor precursor for LFL
OUR STRATEGY Building leadership in Green and Red Phosphor precursor for Linear Fluorescent Lamps (LFL) Number of Lamps in billion units per year 2011 Market Share > 20% (billion units) Incandescent 15 Halogens 2016 Strategy 10 Compact Fluorescent Lamps Light Emitting Diode • Groundbreaking Mornings
Slide 13: Building leadership in semiconductor Chemical Mechanical Planarization (CMP)
OUR STRATEGY Building leadership in semiconductor Chemical Mechanical Planarization (CMP) Produced wafer surface (8-Inch equivalents, x 1,000) 2011 Market Share > 40% +7% CAGR Cerium is the next generation technology 59.000 60.000 55.000 52.000 50.000 47.000 49.500 compared to Silica 43.000 40.000 3
Slide 14: Leading rare earth recycling in selected market segments
OUR STRATEGY Leading rare earth recycling in selected market segments Recycling initiatives LINEAR and COMPACT FLUORESCENT LAMPS New recycling business starting in 2012 in France PERMANENT MAGNETS NICKEL METAL HYBRID BATTERIES Capital Markets Day 2012 April 24, 2012 14
Slide 15: The preferred partner for new Heavy Rare Earth mining separation project
OUR STRATEGY The preferred partner for new Heavy Rare Earth mining separation project Long track record in rare earth industry Expertise in ore processing Monazite, Xenotime, Apatite, Bastnasite, and Ionic ores (Soda, Chloride, Nitrate and Sulfuric routes) Expertise in rare earths separation RES is
Slide 16: Our growth ambition
3 Our growth ambition Capital Markets Day 2012 April April24, 24,2012 2012 16
Slide 17: Committed to outperform market growth
OUR GROWTH AMBITION Committed to outperform market growth 2010 - 2016 EBITDA Exceptional • Recognized specialty chemical leader Pricing conditions in the rare earth value chain • Differentiated strengths in technology innovation, industrial expertise, global footprint and security of supply • Strong
Slide 18: Appendix
Appendix www.solvay.com Capital Market Day 2012 April 24, 2012 18
Slide 19: Where do the rare-earths stand in the Mendeleiev table?
Where do the rare-earths stand in the Mendeleiev table? Capital Markets Day 2012 April 24, 2012 19
Slide 20: Forward-looking statements
“To the extent that any statements made in this presentation contain information that is not historical, these statements are essentially forward-looking. The achievement of forward-looking statements contained in this presentation is subject to risks and uncertainties because of a number of factors