Dow Inc. · NYSE:DOW
Dow — Bernstein's 35th Annual Strategic Decisions Conference (May 2019)
8 slides from Dow's conference presentation, May 30, 2019
Slide 1: The New Dow
THE NEW DOW JIM FITTERLING, CHIEF EXECUTIVE OFFICER May 30, 2019
Slide 2: Safe Harbor
SAFE HARBOR Cautionary Statement about Forward-Looking Statements This presentation contains “forward-looking statements” within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as ame
Slide 3: Safe Harbor (Continued)
SAFE HARBOR (CONTINUED) Non-GAAP Financial Measures This presentation includes information that does not conform to U.S. GAAP and are considered non-GAAP measures. Dow’s management believes that these non-GAAP measures best reflect the ongoing performance of Dow during the periods presented and prov
Slide 4: Compelling Investment Opportunity
COMPELLING INVESTMENT OPPORTUNITY HIGHER EARNINGS & CASH FLOW HIGHER VALUE • Reduced cost structure • Greater financial & capital discipline • Suite of low-risk growth projects • Streamlined, focused portfolio • Cycle discipline • Lower volatility vs. peers • Lower capex • Higher ROIC • Higher EBITD
Slide 5: Disciplined Capital Allocation Framework
DISCIPLINED CAPITAL ALLOCATION FRAMEWORK CREDIT GROWTH DIVIDEND SHARE PROFILE INVESTMENTS POLICY REPURCHASES • Strong investment-grade • Lower-risk capex spending • Industry-leading long-term • Share repurchases are a credit profile across the payout ratio target across consistent part of ongoing •
Slide 6: Improving Value Chain Fundamentals
IMPROVING VALUE CHAIN FUNDAMENTALS Consumer Indicators Pointing Higher Naphtha-Ethane Spread is Widening Industrial Production ▪ US +3.7% ▪ China +5.3% year-over-year ▪ EU -1.1% 15 75 Europe Naphtha & Auto Production ▪ US: Up ▪ Brent Crude Oil China: Down USGC Ethane month-over-month ▪ EU: Down ($/m
Slide 7: Near-Term Priorities
NEAR-TERM PRIORITIES PROFITABLE DISCIPLINED CAPITAL LOW-COST OPERATING GROWTH ALLOCATION MODEL BEST OWNER MINDSET Capitalize on growth and Prioritize lower-risk, faster- Achieve best-in-class Implement most value- value-add materials science payback projects, with capex cost structures creating stra
Slide 8: seek Together’
<r seek Together’
Dow — Bernstein's 35th Annual Strategic Decisions Conference (May 2019) on 6ix