Tate & Lyle Plc · LSE:TATE

Tate & Lyle — Corporate Update (April 2015)

10 slides from Tate & Lyle's corporate update, Apr 21, 2015

  1. Slide 1: Actions to re-align and strengthen our business

    Actions to re-align and strengthen our business 21 April 2015, London

  2. Slide 2: Tate & Lyle is announcing two major actions

    Tate & Lyle is announcing two major actions Exit from substantial part of Re-focus SPLENDA® Sucralose on European Bulk Ingredients rigorous value-based strategy  Re-align Eaststarch joint venture  Focus on areas where we see value  Tate & Lyle’s European business  Re-structure manufacturing foot

  3. Slide 3: Re-alignment of the Eaststarch European Joint Venture

    Re-alignment of the Eaststarch European Joint Venture Exit from three  Substantially reduce European Bulk Ingredients footprint predominantly  In advance of EU Sugar Regime reform in October 2017: Bulk Ingredients – Reduce exposure to European bulk sweeteners plants in Bulgaria, Turkey and Hungary

  4. Slide 4: Sucralose market has changed significantly in last 18 months

    Sucralose market has changed significantly in last 18 months New product launches by  Demand for sucralose remains strong driven by: high intensity sweetener 2010-2014 – Global consumer desire for lower-calorie food and drink Sucralose Acesulfame K – Its superior functionality and taste Aspartame S

  5. Slide 5: Re-focus and re-structure SPLENDA Sucralose

    Re-focus and re-structure SPLENDA® Sucralose Pursue rigorous Re-structure valued-based strategy manufacturing footprint  Focus on areas where we see value  All SPLENDA® Sucralose with customers who fully value the production to be consolidated into benefits of SPLENDA® Sucralose: McIntosh, Alabama

  6. Slide 6: Pro-forma financial impact of Eaststarch re-alignment and SPLENDA Sucralose re-structuring

    Pro-forma financial impact of Eaststarch re-alignment and SPLENDA® Sucralose re-structuring Impact on 2015 Eaststarch Sucralose financial year re-alignment re-structuring Group Adjusted £(32)m No change £(32)m Operating profit Adjusted Profit £(31)m No change £(31)m before tax Diluted Earnings per c

  7. Slide 7: Impact of Eaststarch re-alignment and SPLENDA Sucralose re-structuring

    Impact of Eaststarch re-alignment and SPLENDA® Sucralose re-structuring Eaststarch Sucralose Total Impact re-alignment re-structuring Group Cash €240m – €240m proceeds Cash re-structuring c.£(15)m c.£(50)m c.£(65)m charges Capital Expenditure – c.£(18)m c.£(18)m Total cash c.£160m c.£(68)m £90 - £10

  8. Slide 8: Forward dividend

    Forward dividend Maintain dividend to end of 2016 financial year Year ending Year ended Pence per share Growth 31 March 2014 31 March 2015 5.1% Interim dividend 7.8p 8.2p Final dividend 19.8p 19.8p Held Flat Full Year dividend 27.6p 28.0p 1.4% The Board intends to maintain the total payment unchange

  9. Slide 9: Summary

    Summary  Exit from substantial part of European Bulk Ingredients business  Strengthen Speciality Food Ingredients business in Europe  Position SPLENDA® Sucralose as a more focused, low-cost and sustainable business  Proportion of Group adjusted operating profit from Speciality Food Ingredients t

  10. Slide 10: Questions

    Questions TATEMLYLE %

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