LyondellBasell Industries NV · NYSE:LYB
LyondellBasell Industries NV — Q2 2010 Earnings Presentation
19 slides from LyondellBasell Industries NV's earnings presentation, Aug 16, 2010
Slide 1: Second-Quarter 2010 Earnings
Second-Quarter 2010 Earnings Jim Gallogly, Chief Executive Officer Kent Potter, Chief Financial Officer August 16, 2010
Slide 2: Disclaimer and Notice
Disclaimer and Notice The statements in this presentation relating to matters that are not historical facts are forward-looking statements. These forward-looking statements are based upon assumptions of management which are believed to be reasonable at the time made, and are subject to significant r
Slide 3: Second-Quarter Highlights
Second-Quarter Highlights • Net income(1): $203 million excluding $8,640 million after-tax gain on discharge of liabilities subject to compromise and fresh-start accounting adjustments • EBITDAR(1),(2): $1,403 million excluding $333 million Lower of Cost or Market (LCM) inventory valuation adjustmen
Slide 4: LyondellBasell Safety Performance 2003-2010
LyondellBasell Safety Performance 2003-2010 0.60 Injuries per 200,000 hours worked - Employees and Contractors 0.50 0.40 0.30 0.20 0.10 0.00 2003 2004 2005 2006 2007 2008 2009 Jul-10 YTD lyondellbasell.com Second-Quarter 2010 Earnings 4
Slide 5: LyondellBasell Second-Quarter 2010 Segment EBITDAR
LyondellBasell Second-Quarter 2010 Segment EBITDAR 700 600 EBITDAR (1), (2) $1,403 ex LCM charge 500 Operating Income (2) USD, million 400 $745 million 300 200 100 0 Olefins & Olefins & Intermediates & Refining & Technology Polyolefins - Polyolefins - EAI Derivatives Oxyfuels Americas 1) EBITDAR exc
Slide 6: Cash Flow Since Emergence
Cash Flow Since Emergence 4,000 3,753 3,750 3,500 USD, millions 3,250 3,000 2,750 2,711 2,500 (1) (2) May 1, 2010 Cash Cash Flow from Working Capital Debt Increase Capex Other (prim arily 2Q10 Ending Cash Balance Operations (Euro FX) Balance excluding Securitization) Working Capital 1) Includes inve
Slide 7: Working Capital and Liquidity
Working Capital and Liquidity Working Capital (1) Liquidity 6 5 4 4 USD, billion USD, billion 3 2 2 1 0 0 1Q 09 2Q 09 3Q 09 4Q 09 1Q 10 2Q 10 1Q 09 2Q 09 3Q 09 4Q 09 1Q 10 2Q 10 -2 Total WC Inventory AR AP June 30 Statistics -4 Liquidity: ~ $5.0 billion Net Debt: ~ 3.6 billion 1) Second-quarter 2010
Slide 8: Corporate Items
Corporate Items • Capital spending • Cost control • Debt/Interest going forward • “Fresh-Start” accounting effects • Supervisory Board members • NYSE listing lyondellbasell.com Second-Quarter 2010 Earnings 8
Slide 9: Olefins & Polyolefins – Americas Performance
Olefins & Polyolefins – Americas Performance 2Q10 EBITDAR (1), (3) YTD EBITDAR (2), (3) $585 million ex LCM charge $859 million ex LCM charge 2Q10 Operating Income (1), (3) YTD Operating Income (2), (3) $324 million $469 million Second-Quarter 2010 EBITDAR Year-to-Date 2010 EBITDAR 900 900 600 600 U
Slide 10: Olefins & Polyolefins – Americas Highlights and Business Drivers – 2Q10
Olefins & Polyolefins – Americas Highlights and Business Drivers – 2Q10 Second-Quarter 2010 Results (1) Indicative Margins (per CMAI) $585 million EBITDAR excluding 30 25 $171 million LCM charge 20 (cents/pound) 15 U.S. Olefins 10 • Strong margins 5 • ~65% of ethylene from NGLs 0 • Morris, Illinois
Slide 11: Olefins & Polyolefins – Europe, Asia, International Performance
Olefins & Polyolefins – Europe, Asia, International Performance 2Q10 EBITDAR (1), (3) YTD EBITDAR (2), (3) $257 million ex LCM charge $409 ex LCM charge 2Q10 Operating Income (1), (3) YTD Operating Income (2), (3) $158 million $229 million 150 Second-Quarter 2010 EBITDAR 150 Year-to-Date 2010 EBITDA
Slide 12: Olefins & Polyolefins – Europe, Asia, International Highlights and Business Drivers – 2Q10
Olefins & Polyolefins – Europe, Asia, International Highlights and Business Drivers – 2Q10 Second-Quarter 2010 Results (1) Indicative Margins (per CMAI) 30 $257 million EBITDAR excluding n 25 $5 million LCM charge n 20 (cents/pound) 15 EU Olefins 10 • Butadiene strength 5 • Competitor outages 0 -5 2
Slide 13: Intermediates & Derivatives Performance
Intermediates & Derivatives Performance Second-Quarter 2010 Results (1), (3) 300 Second-Quarter 2010 EBITDAR 250 $209 million EBITDAR, excluding $25 200 million LCM charge, and $143 million USD, millions Operating Income 150 100 Propylene Oxide and Derivatives 50 • Relatively unchanged from first 0
Slide 14: Refining & Oxyfuels Performance
Refining & Oxyfuels Performance 2Q10 EBITDAR (1), (3) YTD EBITDAR (2), (3) $229 million ex LCM charge $233 million ex LCM charge 2Q10 Operating Income (1), (3) YTD Operating Loss (2), (3) $43 million $85 million Second-Quarter 2010 EBITDAR Year-to-Date 2010 EBITDAR 200 200 150 150 100 100 USD, milli
Slide 15: Refining & Oxyfuels Highlights and Business Drivers – 2Q10
Refining & Oxyfuels Highlights and Business Drivers – 2Q10 Second-Quarter 2010 Results (1) Spreads (per Platts) 25 $229 million EBITDAR excluding 20 $132 million LCM charge (US$/bbl) 15 Houston Refining 10 • Crude throughput: 189 MB/D 5 • Maya 2-1-1 spread: $19.99/bbl 0 • Intermediate goods purchase
Slide 16: Technology Performance
Technology Performance Brindisi, Italy Second-Quarter 2010 Results (1), (3) $43 million EBITDAR $31 million Operating Income • Continued strong catalyst volumes • Licensing unchanged from first quarter Year to Date EBITDAR (2), (3) $90 million Operating Income (2), (3) $62 million 1) Represents a co
Slide 17: Second-Quarter Summary and Outlook
Second-Quarter Summary and Outlook Second-Quarter Summary Near-Term Outlook • Emergence from Chapter 11 on April • Rebalancing of U.S. ethylene industry 30, 2010 as competitors restart facilities • Generally improved business • Middle Eastern and Asian plant start- conditions ups • Strong U.S. ethyl
Slide 18: Appendix
Appendix lyondellbasell.com Second-Quarter 2010 Earnings 18
Slide 19: Reconciliations of non-GAAP Financial Measures
Reconciliations of non-GAAP Financial Measures • For reconciliations of non-GAAP financial measures, please see Table No. 9 of our earnings release which is available on our website, www.lyondellbasell.com/investorrelations lyondellbasell.com Second-Quarter 2010 Earnings 19
LyondellBasell Industries — Q2 2010 Earnings Presentation on 6ix