Boise Cascade, L.l.c. · NYSE:BCC
Boise Cascade, L.l.c — Investor Presentation (March 2014)
16 slides from Boise Cascade, L.l.c's investor presentation, Mar 10, 2014
Slide 1: Boise Cascade Company Investor Presentation
0 Boise Cascade Company Investor Presentation July 2013 Investor Presentation March 10, 2014
Slide 2: Forward-Looking Statements / Non-GAAP Financial Measures
1 Forward-Looking Statements / Non-GAAP Financial Measures Forward-Looking Statements During the course of this presentation, we may make forward-looking statements or provide forward- looking information. All statements that address expectations or projections about the future are forward-looking s
Slide 3: Overview
2 2013 Sales (1) $3,273 million (1) Segment percentages are calculated before intersegment eliminations. (2) Segment percentages exclude Corporate and Other segment expenses. • Large, vertically-integrated building products company operating two businesses: • Wood Products (“Manufacturing”) • Buildi
Slide 4: Overview: facilities footprint
3 ID FL NM DE MD TX OK KS NE SD ND MT WY CO UT AZ NV WA CA OR KY ME NY VT NH MA RI CT WV IN IL NC TN SC AL MS AR LA MO IA MN WI NJ GA DC VA MI OH PA Headquarters EWP Manufacturing Facilities (4) Plywood/Veneer Manufacturing Facilities (9) Lumber Manufacturing Facilities (5) Particleboard Manufacturi
Slide 5: Demand Drivers
4 Demand Drivers New Houses / Residential Improvements Bulk of demand improvement will be from new residential construction New residential construction should return to long-term trend demand levels
Slide 6: Growth Strategies
5 Growth Strategies Well Positioned to Grow Distribution • Grow in existing geographic markets/branches • Leverage advantages of national scale • Opportunistically expand into adjacent markets Source: U.S. Census Bureau and Blue Chip Economic Indicators. BMD Sales per U.S. Start and Gross Margin Sig
Slide 7: Wood Products Manufacturing Value Chain
6 Wood Products Manufacturing Value Chain Veneer Purchased Logs Plywood I-joist Conversion Costs Conversion Costs Conversion Costs Purchased Veneer / Lumber / OSB Purchased Plywood Maximize total return on raw materials purchased LVL
Slide 8: Wood Products Manufacturing: EWP Operating Rate
7 Housing Starts (mm): 1.801 1.355 0.906 0.554 0.587 0.609 0.781 0.927 Wood Products Manufacturing EWP Operating Rate Industry’s LVL Press Utilization BCC LVL Sales Volume and Pricing Industry operating rates moving higher in EWP Source: U.S. Census Bureau
Slide 9: Wood Products Manufacturing: Plywood Industry Supply / Demand Balance
8 Wood Products Manufacturing Plywood Industry Supply / Demand Balance Very favorable industry operating rates in plywood Mill and Effective Industry Demand / Capacity Ratio
Slide 10: Positioned for Further Growth
9 Significant restructuring took place in the last economic downturn Despite 49% lower housing start levels, 2013 EBITDA is above 2006 (1) Periods prior to 2009 adjusted to exclude paper and packaging assets sold in February 2008. Positioned for Further Growth
Slide 11: Capital Invested
10 • Acquired Pilot Rock, OR sawmill • New dryer Medford, OR • Relocated Atlanta, GA distribution center • Acquired EWP/ truss plant Saco, ME • Expanded distribution yard Minneapolis, MN Company continues to reinvest to add capacity and improve efficiency 2010 2009 2011 2012 2013 • New dryer Medford
Slide 12: Positioned for the Future
11 Balance sheet supports planned growth initiatives Positioned for the Future Dec-31-2013 ($millions) Net Debt Long-term debt due in 2020 301.6$ Cash & cash equivalents (118.2) Net Debt 183.4$ Liquidity Postion ABL excess availability 258.3$ Cash & cash equivalents 118.2 Total liquidity 376.6$ EBIT
Slide 13: Appendix
Appendix
Slide 14: Historical Financial Performance
13 Historical Financial Performance Year Ended December 31, Dollars in millions 2009 2010 2011 2012 2013 Wood Products 551 687 712 943 1,134 Building Materials Distribution $1,610 $1,778 $1,779 $2,190 $2,600 Eliminations & Other (187) (225) (244) (354) (460) Total Sales $1,973 $2,241 $2,248 $2,779 $
Slide 15: Total Company EBITDA Reconciliation
14 EBITDA represents income (loss) before interest (interest expense and interest income), income taxes, and depreciation and amortization. Adjusted EBITDA represents EBITDA as further adjusted to exclude certain special items. The following table reconciles net income (loss) to EBITDA and Adjusted
Slide 16: Segment EBITDA Reconciliations
15 Segment EBITDA represents segment income (loss) before depreciation and amortization. Adjusted segment EBITDA represents segment EBITDA as further adjusted to exclude certain special items. The following table reconciles segment income (loss) to segment EBITDA and adjusted segment EBITDA. Segment