Unisys Corporation New · NYSE:UIS
Unisys Corporation New — Unisys — Investor Presentation (July 2025)
14 slides from Unisys Corporation New's investor presentation, Jul 24, 2025
Slide 1: July 2025 Capital Structure and Pension Strategy
July 2025 Capital Structure and Pension Strategy
Slide 2: Disclaimer: Forward-Looking Statements
Disclaimer Forward - Looking Statements This presentation contains forward - looking statements within the meaning of Section 27A of the Securities Act of 1933, as amende d, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. Unis
Slide 3: Today's Speakers
Mike Thomson Chief Executive Officer & President Today’s Speakers Deb McCann Chief Financial Officer
Slide 4: Strategic Capital Structure Objectives
Strategic Capital Structure Objectives We continue to focus on the following objectives related to our capital structure and pension Maintain strong cash balances and liquidity Improve net leverage ratio and credit rating Reduce uncertainty and volatility of cash requirements, including pension cont
Slide 5: Steps We Have Taken and Next Steps
Steps We Have Taken… © 2025 UNISYS CORPORATION. ALL RIGHTS RESERVED. 5 Issued new $700M notes Refinanced $485M notes Extended Asset - Backed Revolver Maturity Contributed $250M to U.S. QDB plan Reallocated U.S. QDB Plan Assets …Next Steps Increase Capacity to Fund Cost of Full Removal Execute Annuit
Slide 6: Benefits of Recent Debt Raise and Pension Actions
Benefits of Recent Debt Raise and Pension Actions Removes Substantially All Pension Volatility Enables Further Annuity Purchase Transactions Reduces GAAP Pension Deficit & Contributions Cash Flow Accretive Over Next 5 Years 1 3 - 5 Year Path to Full Removal of U.S. QDB Plans
Slide 7: Summary of Debt Transaction
Summary of Debt Transaction Closed on Friday, June 27, 2025 $700 million of senior secured notes Principal amount 5.5 years; January 15, 2031 Tenor; Maturity 10.625% Coupon NC - 2.5 (to January 15, 2028), then callable at par plus 50% of coupon, then par plus 25% of coupon and then to par In additio
Slide 8: Impact of the Transaction on Leverage and Liquidity
Impact of the Transaction on Leverage and Liquidity Net leverage largely neutral while maintaining solid liquidity position • Net leverage impact: – Swaps $200M of pension deficit with funded debt – Swaps $50M reduction in cash with $50M reduction in pension deficit – Marginal increase in net levera
Slide 9: Reduction of Volatility in the U.S. QDB Plans
Reduction of Volatility in the U.S. QDB plans Provides certainty of cash flow impact of pension contributions Reallocated assets such that movements in assets matches movements in liabilities • Significantly reduces volatility of GAAP pension deficit and fixes aggregate 2025 - 2029 contributions wit
Slide 10: Accretion to Five-Year Cash Flow
Accretion to Five - Year Cash Flow Contribution reduction exceeds interest on incremental debt • Analysis shows $70M cash flow benefit assuming minimum required pension contributions only • Benefit could improve from discretionary debt or pension payments from operational cash flows Total 2029 2028
Slide 11: Ability to Continue U.S. Annuity Purchases
Ability to Continue U.S. Annuity Purchases Removes gross liability with minimal impact to net leverage and significantly reduces costs to remove U.S. Qualified Defined Benefit Plan • Reduces cost of full plan termination to more manageable size – Opportunity to continue annuity purchases beyond 2026
Slide 12: Benefits of Recent Debt Raise and Pension Actions
Benefits of Recent Debt Raise and Pension Actions Removes Substantially All Pension Volatility Reallocated assets to match movements in assets to movements in liabilities, crystallizing U.S. pension contributions Reduces complexity and risk while providing certainty for modeling and valuation purpos
Slide 13: Appendix
Appendix
Slide 14: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation 1Q25 4Q24 3Q24 2Q24 $M ($ 29.5) $ 30.0 ($ 61.9) ($ 12.0) NET (LOSS) INCOME ATTRIBUTABLE TO UNISYS CORPORATION (1.1) 0.5 - (0.5) NET (LOSS) INCOME ATTRIBUTABLE TO NONCONTROLLING INTERESTS 2.5 2.4 2.4 2.6 INTEREST EXPENSE, NET OF INTEREST INCOME OF $6.6, $5.3, $5.5, $5 .