O-i Glass, Inc. · NYSE:OI
O-i Glass — Owens Illinois — Q1 2010 Earnings Presentation
13 slides from O-i Glass's earnings presentation, Apr 28, 2010
Slide 1: O-I Earnings Presentation First Quarter 2010
O-I Earnings Presentation First Quarter 2010 April 28, 2010
Slide 2: Introduction, Agenda, Regulation G and Forward Looking Statements
Introduction Agenda Business discussion Financial review Business outlook Concluding remarks and Q&A Presenters Regulation G The information included in this presentation regarding adjusted net earnings relates to net earnings attributable to the Company exclusive of items management considers not r
Slide 3: Solid First-Quarter 2010 Earnings
Solid First-Quarter 2010 Earnings $0.50/sh EPS, down modestly from 1Q09 Higher YoY operating profit Despite unfav. Venezuela currency translation Improved price/product mix and flat input costs Shipments in line with 1Q09 levels All regions up YoY, except North America Footprint savings offset highe
Slide 4: Higher Segment Profit Due to Improved Price/Mix and Lower Costs
Higher Segment Profit Due to Improved Price/Mix and Lower Costs ($millions) 3 1Q10 Business Discussion - Segment Operating Profit - Operating profit was impacted ~$25 million due to Venezuelan currency translation 12.8% 7.2% 12.7% 28.0% 13.7% 12.6% 8.4% 14.3% 19.8% 14.7% Segment profit margin $44 $6
Slide 5: Operational Improvements Offset By Higher Non-Operating Costs
Operational Improvements Offset By Higher Non-Operating Costs 1 Reportable segment sales exclude $9 million of revenue, principally for the Company’s global equipment sales business. 2 Cost pass-through provisions include monthly or quarterly contractual cost pass-through provisions as well as the t
Slide 6: Free Cash Flow Consistent with Prior Year
Free Cash Flow Consistent with Prior Year (2) ($millions) 1 Free cash flow equals cash provided or used by operating activities less capital spending. 2 Other operating items is comprised of retained corporate costs, noncontrolling interests, current tax expense, net interest, other non-cash charges
Slide 7: Strategic Use of Cash for Acquisition and to Repurchase Shares
Strategic Use of Cash for Acquisition and to Repurchase Shares Change in Net Debt Cash and debt – March 31, 2010: Cash: $521 million 1Q10; $812 million 4Q09 Debt: $3.47 billion 1Q10; $3.61 billion 4Q09 Net Debt: $2.95 billion 1Q10; $2.80 billion 4Q09 2.3x leverage ratio, per bank credit agreement (1
Slide 8: Expect Improved Price/Mix and Shipment Levels
Expect Improved Price/Mix and Shipment Levels 1 All items are estimates; all estimates are approximate; estimates are subject to change throughout the period. Reported results can be significantly affected by changing foreign currency exchange rates. 2Q10 Business Outlook 7 Year-over-Year Favorable
Slide 9: Concluding Remarks and Q&A
Concluding Remarks and Q&A Second quarter 2010 earnings dates Press release to be issued after market close Wednesday, July 28, 2010 Earnings conference call Thursday, July 29, 2010, 8:30 a.m. ET Investor relations contacts John Haudrich, VP – Investor Relations, 567.336.2700 Jason Bissell, Director
Slide 10: Appendix
2010 Global Leadership Team Meeting Introductions John Haudrich Appendix 9 1Q10 Earnings Presentation
Slide 11: Reconciliation of GAAP to non-GAAP Items
Reconciliation of GAAP to non-GAAP Items 10 Appendix Three months ended March 31 $ Millions, except per-share amounts Earnings EPS Earnings EPS Net income attributable to the Company 85.3 $ 0.50 $ 45.1 $ 0.27 $ ? Charges for restructuring and asset impairment 47.7 0.28 85.3 $ 0.50 $ 92.8 $ 0.55 $ 17
Slide 12: Free Cash Flow
Free Cash Flow 1 Free cash flow equals cash provided by operating activities less capital spending. 11 Appendix $ Millions 2010 2009 Net earnings attributable to the Company 85.3 $ 45.1 $ Non-cash charges: Depreciation and amortization 99.1 95.1 Restructuring and asset impairment - 50.4 All other no
Slide 13: Foreign Currency Exchange Rate Trends
Foreign Currency Exchange Rate Trends 1 Average exchange rate for the quarter (1) 12 Appendix FX Translation Impact on Sales, Segment Operating Profit and Non-GAAP EPS (Compared to prior year) U.S. Dollar Versus Key Currencies 2010 $ Millions except EPS 1Q 2Q 3Q 4Q Year 1Q Sales (246) $ (208) $ (72)