Voestalpine Ag · VIE:VOE
Voestalpine — Corporate Update (April 2014)
26 slides from Voestalpine's corporate update, Apr 23, 2014
Slide 1: voestalpine Group Press conference
voestalpine Group Press conference April 23, 2014, Corpus Christi/Texas voestalpine AG www.voestalpine.com
Slide 2: Group Overview
Group Overview voestalpine AG 2 | April 23, 2014 | voestalpine Group in North America
Slide 3: voestalpine Group Overview
voestalpine Group Overview Largest Austrian industrial group Originally state-owned, IPO 1995 (Vienna Stock Exchange) 100% privatized since September 2005 Revenue 2012/13: EUR 11.5 billion / USD 15.8 billion Operating result (EBITDA): EUR 1.5 billion / USD 2.1 billion Workforce (March 20
Slide 4: Business model
voestalpine Group Business model From a steel company to a global technology and capital goods group The Group’s base is high-tech steel Processing of other materials as well (titanium, aluminum, etc.) Consistent “downstream strategy” transformation of the Group from a steel manufacturer to
Slide 5: Business model (2)
voestalpine Group Business model (2) Number 3 in Europe in revenue and market capitalization Focus markets with highest technology and quality demands – mobility and energy (60% of total revenue) Long-term partnerships with customers, suppliers, and R&D institutions as the key to innovation
Slide 6: Overview of divisions
voestalpine Group Overview of divisions Business year 2012/13 Revenue: EUR 11.5 billion/ USD 15.8 billion Division Steel Special Steel Metal Engineering Metal Forming Worldwide quality Worldwide Worldwide Worldwide Position leadership leadership leadership leadership Revenue (share in %) 33% 23% 25%
Slide 7: Global Presence
voestalpine Group Revenue: EUR 11.5 bn (USD 15.8 bn) EBITDA: EUR 1.5 bn (USD 2.1 bn) Global Presence Employees: 46,400 (FTE) 500 Group companies and sites 50 Countries – 5 Continents voestalpine AG 7 | April 23, 2014 | voestalpine Group in North America
Slide 8: voestalpine in North America
voestalpine in North America voestalpine AG 8 | April 23, 2014 | voestalpine Group in North America
Slide 9: Overview of locations in North America
voestalpine Group Overview of locations in North America Employees Land Revenue Locations (FTE) € 842 million USA 1,996 49 $ 1.1 billion € 124 million Canada 129 10 $ 159 million € 64 million Mexico 378 9 $ 83 million € 1 billion Total 2,503 68 $ 1.3 billion voestalpine AG 9 | April 23, 2014 | voest
Slide 10: Presence in North America
voestalpine Group Presence in North America*) North American share of revenue*): currently 8%, > EUR 1 billion (about USD 1.3 billion) 36 companies with a total of 68 locations and 2,503 employees in the USA, Canada, and Mexico USA: 28 companies, 49 locations (16 producing), 1,996 employees (F
Slide 11: Product highlights – phs-ultraform
voestalpine Group voestalpine Automotive Body Parts Inc. Product highlights – phs-ultraform® Cartersville/GA Hot-dip galvanized, ultra-high tensile hot-stamping steel, including forming technology Technology is unique worldwide – properties and advantages: Highest tensile strength (up to 1,500
Slide 12: Product highlights – Dreamliner
voestalpine Group Global Rollforming Corporation Product highlights – Dreamliner Shelbyville/KY Highlight Dreamliner Seat rails for the Boeing 787 manufactured by voestalpine Technological innovations Production using laser-welded titanium Production of variable thicknesses (weight reducti
Slide 13: Product highlights – Rails and light rail
voestalpine Group voestalpine Nortrak Inc.; 7 locations Product highlights – Rails and light rail in North America voestalpine Nortrak Inc. provides rails and special rail systems Largest manufacturer of turnouts in North America Segment Transit Systems (light rail systems) is booming in urban
Slide 14: Strategy 2020
Strategy 2020 voestalpine AG 14 | April 23, 2014 | voestalpine Group in North America
Slide 15: Strategy 2020
voestalpine Group Strategy 2020 Consistent continuation of value-added growth Growth focused on the mobility and energy industries; target: 70% of total revenue leading global position in core segments Expansion primarily outside of Europe; in Europe, consolidation of market, quality, and te
Slide 16: Strategy 2020 – Objectives North America
voestalpine Group Strategy 2020 – Objectives North America Target: EUR 3 billion revenue (~ USD 3,9 billion) – 15% of Group’s revenue Currently > EUR 1 billion (USD 1.3 billion), around 8% of Group’s revenue Current focal points Customer sectors of mobility (railway infrastructure technology
Slide 17: Direct reduction plant voestalpine Texas LLC / Corpus Christi
Direct reduction plant voestalpine Texas LLC/ Corpus Christi voestalpine AG 17 | April 23, 2014 | voestalpine Group in North America
Slide 18: Direct Reduction Plant – Facts and figures
Direct Reduction Plant – voestalpine Texas LLC Facts and figures The project is voestalpine’s largest foreign investment to date CAPEX: EUR 550 million / USD 740 million New jobs: 150 Construction jobs: 1.000 Planned start of production: end of 2015 Structural steel: 20,000 tons Mechanic
Slide 19: Direct reduction plant – New environmental benchmark
Direct reduction plant – New environmental benchmark Use of bay water for secondary cooling max. conservation of scarce fresh water resources Use of natural gas instead of coke less emissions, more efficiency Fully enclosed iron ore handling and storage system eliminating dust emissions Innova
Slide 20: The green alternative to a coke-fed blast furnace
Direct reduction plant – voestalpine Texas LLC The green alternative to a coke-fed blast furnace A direct reduced iron (DRI) plant uses natural gas, which is more environmentally friendly Iron ore pellets 3 million metric tons p.a. 67% Fe content HBI Hot Briquetted Iron 2 million metric tons p.a. Na
Slide 21: Criteria for a long-term business model
Direct reduction plant – voestalpine Texas LLC Criteria for a long-term business model voestalpine has chosen the most sustainable location instead of the cheapest one Site conditions Natural gas Logistics Best location Workforce Business climate and legal stability voestalpine AG 21 | April 23, 201
Slide 22: Location Factors – Natural Gas
Direct reduction plant – voestalpine Texas LLC Location Factors – Natural Gas Competitive natural gas prices and sustainable supply create long-term opportunities for Texas 4-year average natural gas price USA (Henry Hub): ~ USD 3.70 (EUR 2.68) per MMBTU* 4-year average natural gas price Europe:
Slide 23: Location factors – Site conditions
Direct reduction plant – voestalpine Texas LLC Location factors – Site conditions The ‘La Quinta’ site: unique location and favorable conditions Size: 470 acres (approx. 2 km²) Owner: Port of Corpus Christi Authority Lease term: 50 years + 2 x 15 years Lot Loading dock (45 foot draft) Dire
Slide 24: Location Factors – Workforce
Direct reduction plant – voestalpine Texas LLC Location Factors – Workforce We need 150 qualified, motivated, and solution-oriented employees We offer attractive careers with competitive compensation packages We benefit from an industry-experienced and well trained labor market We partner wi
Slide 25: Location factors – Business climate
Direct reduction plant – voestalpine Texas LLC Location factors – Business climate Texas combines legal stability, affordable energy prices with a positive attitude towards industry voestalpine AG 25 | April 23, 2014 | voestalpine Group in North America
Slide 26: voestalpine Group Press conference
voestalpine Group Press conference April 23, 2014, Corpus Christi/Texas voestalpine AG www.voestalpine.com