Aimia Inc. · TSX:AIM
Aimia — Shareholder Meeting (April 2020)
28 slides from Aimia's shareholder meeting presentation, Apr 29, 2020
Slide 1: Annual and Special Meeting of Shareholders
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 29 April 2020
Slide 2: Today's Speakers
TODAY’S SPEAKERS Charles Frischer, Edouard Vo Quang, Sandra Hanington, Chairman of the General Counsel Chair of the Governance Board and Nominating Committee © 2020 Aimia. All rights reserved. 2
Slide 3: Formal Business of Meeting
FORMAL BUSINESS OF MEETING 1. 2019 Financial statement 2. Director elections 3. Auditor appointment 4. Change of Registered Office resolution 5. Share consolidation resolution 6. Say-on Pay Advisory resolution © 2020 Aimia. All rights reserved. 3
Slide 4: Formal Business of Meeting
FORMAL BUSINESS OF MEETING 1. 2019 Financial statement 2. Director elections 3. Auditor appointment 4. Change of Registered Office resolution 5. Share consolidation resolution 6. Say-on Pay Advisory resolution © 2020 Aimia. All rights reserved. 4
Slide 5: Formal Business of Meeting: Director Nominees for Election
FORMAL BUSINESS OF MEETING Aimia Director nominees for election Charles Frischer Karen Basian Sandra Hanington Michael Lehmann Chairman Philip Mittleman David Rosenkrantz Jordan Teramo © 2020 Aimia. All rights reserved. 5
Slide 6: Formal Business of Meeting
FORMAL BUSINESS OF MEETING 1. 2019 Financial statement 2. Director elections 3. Auditor appointment 4. Change of Registered Office resolution 5. Share consolidation resolution 6. Say-on Pay Advisory resolution © 2020 Aimia. All rights reserved. 6
Slide 7: Formal Business of Meeting
FORMAL BUSINESS OF MEETING 1. 2019 Financial statement 2. Director elections 3. Auditor appointment 4. Change of Registered Office resolution 5. Share consolidation resolution 6. Say-on Pay Advisory resolution © 2020 Aimia. All rights reserved. 7
Slide 8: Formal Business of Meeting
FORMAL BUSINESS OF MEETING 1. 2019 Financial statement 2. Director elections 3. Auditor appointment 4. Change of Registered Office resolution 5. Share consolidation resolution 6. Say-on Pay Advisory resolution © 2020 Aimia. All rights reserved. 8
Slide 9: Formal Business of Meeting
FORMAL BUSINESS OF MEETING 1. 2019 Financial statement 2. Director elections 3. Auditor appointment 4. Change of Registered Office resolution 5. Share consolidation resolution 6. Say-on Pay Advisory resolution © 2020 Aimia. All rights reserved. 9
Slide 10: Business Update
BUSINESS UPDATE CHARLES FRISCHER CHAIRMAN © 2020 Aimia. All rights reserved. 10
Slide 11: Forward-Looking and Cautionary Statements
FORWARD-LOOKING AND CAUTIONARY STATEMENTS This presentation contains statements that constitute “forward-looking information” within the meaning of Canadian securities laws. (“forward-looking statements”), which are based upon our current expectations, estimated, projections, assumptions and beliefs
Slide 12: 2019 Highlights
BUSINESS UPDATE 2019 HIGHLIGHTS Improving performance of the operating business Maximizing performance of travel loyalty investments Transformative year creating a solid foundation to build Deploying capital to long term value generate strong returns Govern effectively to ensure transparency and acc
Slide 13: New and Value-Enhancing Corporate Strategy
BUSINESS UPDATE NEW AND VALUE-ENHANCING CORPORATE STRATEGY Strategic Committee members Core strategy to deploy cash and tax assets on acquisitions of Free Cash Flow generating Chairman businesses in diverse industries • Strategic Review Committee: Ad hoc committee formed of independent directors to
Slide 14: Accretive Acquisition of Mittleman Brothers LLC
BUSINESS UPDATE ACCRETIVE ACQUISITION OF MITTLEMAN BROTHERS LLC • Accretive acquisition of Mittleman Brothers LLC, a well-respected value investment manager with AUM exceeding US$200 million • Highly ranked performance in the top 1% of global Acquisition of equity managers over the last 17 years(1)
Slide 15: Investment Committee Formed to Deliver Value
BUSINESS UPDATE INVESTMENT COMMITTEE FORMED TO DELIVER VALUE Current Investment Committee members Highly skilled capital allocators with decades of proven experience as professional Chairman investment managers • New Investment Committee formed to oversee investments to execute on the company’s new
Slide 16: New Corporate Team Realigned to New Strategy
BUSINESS UPDATE NEW CORPORATE TEAM REALIGNED TO NEW STRATEGY • Substantial reduction in annualized operating expense run-rate from $27 million in 2019 to around $15 million in 2020(1) Aimia will own valuable travel- • Significant reduction in operational loyalty investments complexity, with total em
Slide 17: A Merger of Equals Creating a Visionary Leader to Redefine the Loyalty Industry
A MERGER OF EQUALS CREATING A VISIONARY LEADER TO REDEFINE THE LOYALTY INDUSTRY PHIL MITTLEMAN BRUCE KERR CINDY FAUST INTERIM CEO AND CHIEF COMMERCIAL CHIEF COMMERCIAL BOARD DIRECTOR OFFICER OFFICER © 2020 Aimia. All rights reserved. 17
Slide 18: Transaction Highlights
LS & KOGNITIV MERGER UPDATE TRANSACTION HIGHLIGHTS Transaction Highlights ✓ Merger of Aimia Loyalty Solutions with Kognitiv concurrent with a cash investment of ~$35mm from Aimia Inc. and Kognitiv investors (~$21mm from Aimia and ~$14mm from Kognitiv investors and board members) ✓ Creates a technolo
Slide 19: Strategic Rationale
LS & KOGNITIV MERGER UPDATE STRATEGIC RATIONALE Strategic Rationale Opportunity to redefine the loyalty industry by creating a truly transformative loyalty solutions provider offering a unique business model and technology. Already well-positioned within the $850bn(1) Hospitality & Travel sector and
Slide 20: Kognitiv Overview
LS & KOGNITIV MERGER UPDATE KOGNITIV OVERVIEW Kognitiv Overview • Kognitiv is a technology company serving clients in the loyalty industry across multiple verticals including hospitality & travel, financial services, purchased goods and entertainment • The Company has raised over $142mm and invested
Slide 21: How the Loyalty Capital Network Works
LS & KOGNITIV MERGER UPDATE HOW THE LOYALTY CAPITAL NETWORK WORKS Inbound Trading Subscribers 3 Definitions Receive Capital 1 From Client Trading Accounts Trading Subscribers connect to the LCN for the purpose of trading capital between one another. Loyalty Program Bank Retailer 1 Capital in the LCN
Slide 22: Richer Set of Managed Services for Clients
LS & KOGNITIV MERGER UPDATE RICHER SET OF MANAGED SERVICES FOR CLIENTS Kognitiv’s unique business model and commerce marketplace complements Aimia’s Loyalty Solutions product offerings Merged Entity Business Synergies Inbound Trading Subscribers Receive Capital From Client Trading Accounts Entertain
Slide 23: Kognitiv's Collaborative Peer-to-Peer Model
LS & KOGNITIV MERGER UPDATE KOGNITIV’S COLLABORATIVE PEER-TO-PEER MODEL WIN-WIN-WIN-WIN CONSUMER BANK / RETAILER HOTEL / AIRLINE / RETAILER KOGNITIV (Inbound Trading Subscriber) (Outbound Trading Subscriber) Significantly Greater Access to billions in Better Economics Built a powerful P2P Reward and
Slide 24: Promising Opportunities for All Stakeholders
LS & KOGNITIV MERGER UPDATE PROMISING OPPORTUNITIES FOR ALL STAKEHOLDERS MERGER OF EQUALS CREATING A VISIONARY LEADER TO REDEFINE THE LOYALTY INDUSTRY • Enhanced capabilities to support our clients in deepening customer relationships and increasing revenue • Combining Kognitiv’s transformative peer-
Slide 25: Closing Remarks
CLOSING REMARKS CHARLES FRISCHER CHAIRMAN © 2020 Aimia. All rights reserved. 25
Slide 26: Tremendous Opportunities Ahead to Create Value
KEY TAKEAWAYS TREMENDOUS OPPORTUNITIES AHEAD TO CREATE VALUE World-class board of directors assembled to oversee our new management team’s efforts to create significant value for Aimia’s stakeholders Major cost reductions successfully executed creating a leaner organization with annualized operating
Slide 27: Q&A
Q&A
Slide 28: Slide 28