Celanese Corporation · NYSE:CE
Celanese — Non-Deal Roadshow (2001)
17 slides from Celanese's roadshow presentation, 2001
Slide 1: Leadership and Growth
Leadership and Growth Spring - 2001
Slide 2: Forward-Looking Statements
Forward-Looking Statements Statements in this presentation relating to future status or circumstances, including statements regarding management’s plans and objectives for future operations, products and services, are forward-looking statements of goals and expectations based on estimates and the an
Slide 3: Strong Presence in Key Markets
Strong Presence in Key Markets Sales 2000: € 5.2 bn > 30 plants in 11 countries > 13,200 employees > 6 R&D sites > 68% of assets in NAFTA ROW Asia 4% 13% >#1 or #2 global supplier in key products 35% Europe >Leading technology position >Global share traded on:NYSE - CZ NAFTA Frankfurt, Germany - CZZ
Slide 4: Leading Global Positions in Core Products
Leading Global Positions in Core Products Acetyl Products Technical Polymers Performance Products Ticona E Sales: € 923 m X Sales: € 2,023 m Sales: € 409 m Products: Polyacetal P Products: Acetic acid, vinyl polyester, UHMW-PE, liquid Business: Nutrinova food A acetate, polyvinyl alcohol crystal pol
Slide 5: Financial Overview
Financial Overview in € millions 1999 2000 % chg. Net sales 4,318 5,207 +21% EBITDA excluding special charges 377 500 +33% EBITDA margin (excl. Special charges) 8.7% 9.6% Special charges -559 -29 -95% Operating profit (loss) -521 83 n.m. Net earnings (loss) -207 58 n.m. Earnings (loss) per share (EP
Slide 6: Segment Performance 2000
Segment Performance 2000 EBITDA* in € million and % of sales 9.5 % FY 1999 FY 2000 200 150 15.2 % 15.6 % 5.7 % 12.9 % 12.2 % 100 9.5 % 18.1 % 4.6 % 50 10.6 % 0 Acetyl Chemical Acetate Ticona Performance Products Intermediates Products Products Target EDITDA* margin: 15-20% 6 Spring - 2001 * excludin
Slide 7: Development of Net Debt
Development of Net Debt In € million Internal Growth External Growth Other 1,141 570 Dec. 31, Operating CapEx Working Dispositions Acquisitions Special Share Buy- Other Dec. 31, 1999 Cash Flow Capital Charges Back 2000 Leverage* 2000: 29.1% Target Range: 30-40% Strong operating cash flow finances gr
Slide 8: Vision and Strategy
Vision and Strategy Drive Operational internal growth excellence Vision 2005 >#1 or #2 in our global businesses >€10 billion company Acquisitions >Premium share Reduce and joint ventures cyclicality Focus on geographic growth areas 8 Spring - 2001
Slide 9: Outlook for 2001
Outlook for 2001 > Difficult first half with high costs of energy and raw materials continuing > Slowing US economy, particularly automotive industry > Concerns about Europe and Asia as well > Further cost reductions and efficiency increases > Increase to full-scale operation of acetic acid plant in
Slide 10: Actions 2001
Actions 2001 > Step-up in cost reduction and productivity through “Focus” and “Six Sigma” = EBITDA improvement through efficiency improvements = Working capital optimization of € 100 million = Capital expenditures limited to essential projects > Further expansion of core value chains Top and bottom
Slide 11: The Six Sigma Process in Acetyl and Chemical Intermediates Segments
The Six Sigma Process in Acetyl and Chemical Intermediates Segments > > Six Six Sigma: Sigma: > > Our Our Goals: Goals: = = employee employee = = achieve achieve >> €€ 100 100 mil mil engagement engagement cumulative cumulative EBITDA EBITDA byby = end end of of 2003 2003 = breakthrough breakthrough
Slide 12: Leading Innovation in Process Technology
Leading Innovation in Process Technology > Acetyls = 2000: Step-up in VAM production technology, leading to increased output and reduced operating costs = 2001: New AO Plus technology raising existing acetic acid capacity at Clear Lake by 20% p.a. > Technical Polymers Ticona = 2000: Optimization of
Slide 13: Growth Initiatives
Growth Initiatives Technical Polymers Ticona TOPAS®, Vectra®, Hostaform®, Celstran®, GUR®, TICONA/DSM Germany Shelby, NC Germany Germany Bishop, TX PBT Polyester Sept. 2000 2002 2002 2002 2002 feasibility € 60 m.* € 30 m.* € 25 m.* € 2 m.* € 50 m.* study Chemical Products Acetyl complex, PVOH acquis
Slide 14: Growth through selective acquisitions
Growth through selective acquisitions Polyvinyl alcohol Korea Eng. Plastics (50%) € 359 Million - 2000 € 92 Million - 1999 =Downstream integration =Global expansion of acetyl value chain of Ticona technical polymer business ROW Europe 1% 23% CO C2 Asia Americas Acetic Vinyl Polyvinyl 42% Natural Gas
Slide 15: Return to Shareholders
Return to Shareholders > Dividends = 1999: € 0.11 per share (German tax credit € 0.05 per share) = 2000*: € 0.40 per share (German tax credit € 0.17 per share) > Share Buy-back = 2000: Bought back 5,591,500 shares - ~10% of outstanding shares = 2001*: Seek approval for a possible further 10% share b
Slide 16: Ownership in Performance
Ownership in Performance > Senior management owns a significant interest in shares and rights > One year´s salary invested by senior managers > 60% of compensation for senior management is variable > Rigorous hurdles for stock appreciation rights > Employees embrace share ownership plans A culture f
Slide 17: Solid platform for growth
Solid platform for growth > No. 1 or No. 2 position in majority of products > Technology leadership > Success in achieving profitability improvements > Track record in optimizing and delivering on set targets > Well-defined growth strategy > Sound financial position > Management dedicated to increas