Slide 1: Half Year Results 31 December 2009
For personal use only Half Year Results 31 December 2009 Investor Presentation February 23, 2010
Slide 2: Forward looking statements
For personal use only Forward looking statements This presentation contains forward-looking statements that involve subjective judgment and analysis and are subject to significant uncertainties, risks and contingencies, many of which are outside the control of, and are unknown to, Amcor. Forward-loo
Slide 3: Presentation agenda; Half year profit results
Presentation agenda For personal use only • Amcor half year results • Overview • Business unit performance • Finance • Alcan Packaging acquisition • Summary 3 Half year profit results Actual exchange rates Constant exchange rates $ million Dec 08 Dec 09 Δ% $ million Dec 08 Dec 09 Δ% S l Sales 4 835
Slide 4: PBIT performance; Cash flow
PBIT performance For personal use only million Dec 08 Dec 09 Δ% Rigid Plastics (USD) 81.7 82.3 0.7 Australasia (AUD) 74.3 74.8 0.7 Flexibles (€) 59.1 66.7 12.9 Packaging Distribution (USD) 19.6 16.9 (13.8) Asia (SGD) 28.0 25.8 (7.9) 5 Cash flow • Outstanding working capital performance $ million Dec
Slide 5: Rigid Plastics
Rigid Plastics For personal use only US$ million Dec 08 Dec 09 11.3% Sales 1 272 1,272 1 064 1,064 9.9% PBIT 81.7 82.3 81.7 82.3 AFE 1,655 1,453 PBIT/AFE% 9.9 11.3 Operating cash flow 46.3 57.4 Dec 08 Dec 09 PBIT US$ million 7 Rigid Plastics North America • Volumes down 11% – Custom volumes down 22%
Slide 6: Australasia
Australasia For personal use only A$ million Dec 08 Dec 09 9.8% Sales 1 120 1,120 1 083 1,083 8.9% PBIT 74.3 74.8 AFE 1,677 1,526 74.3 74.8 PBIT/AFE% 8.9 9.8 Operating cash flow 66.7 97.9 Dec 08 Dec 09 PBIT A$ million 9 Australasia Fibre Flexibles • Volumes lower, market share stable • Improved volu
Slide 7: Flexibles
Flexibles For personal use only € million Dec 08 Dec 09 15.8% Sales 813 752 13.3% PBIT 59.1 66.7 66.7 AFE 886 842 PBIT/AFE% 13.3 15.8 59.1 Operating cash flow 6.2 45.3 Dec 08 Dec 09 PBIT € million 11 Flexibles Index of Raw Material Input Costs 120 110 100 90 Stable outlook for input costs over the n
Slide 8: Food Flexibles; Healthcare Flexibles
Food Flexibles For personal use only • Weaker economic conditions continued to impact demand – Volumes approximately 7% lower • Benefits from – Restructuring program Flex 1 – Lower raw material costs Outlook Uncertain economic conditions although volumes 13 appear to have stabilised Healthcare Flexi
Slide 9: Tobacco Packaging; Packaging Distribution
Tobacco Packaging For personal use only • Very strong first half • Higher volumes – Benefited from one time innovative promotional products – Continued growth in Eastern Europe and Russia – Improved product mix • Full period benefits from capital expenditure Outlook Continued sound performance 15 Pa
Slide 10: Asia; Finance
Asia For personal use only SG$ million Dec 08 Dec 09 9 0% 9.0% 8.1% Sales 80 60 PBIT 28.0 25.8 28.0 AFE 621 639 25.8 PBIT/AFE% 9.0 8.1 Operating cash flow 24.9 23.2 PBIT – consolidated lid t d entities titi 8.4 84 11.9 11 9 PAT – AMVIG investment 19.6 13.9 Dec 08 Dec 09 Reported PBIT 28.0 25.8 PBIT
Slide 11: Results all operations; Cash flow
Results all operations For personal use only Δ% Dec 08 Dec 09 Δ% $ million constant fx Sales 4,835.3 4,082.5 (15.6) (9.4) PBITDA(1) 535.7 502.4 (6.2) 1.4 PBIT(1) 316.8 300.9 (5.0) 3.1 Net Interest (102.9) (65.3) (36.5) (33.0) Tax & minorities (46.5) (63.1) 35.7 48.0 PAT(1) 167.4 172.5 3.0 12.8 Weigh
Slide 12: Cash flow; Working capital performance
Cash flow For personal use only $ million Dec 08 Dec 09 p g cash flow Operating ((60.5)) 144.5 Dividend (145.3) (129.3) Free cash flow (205.8) 15.2 Growth capex / acquisitions (231.8) (168.5) Divestments (1.8) - Proceeds from share issues 2.0 1,566.7 Proceeds on capital contribution from MI - 2.0 Fo
Slide 13: Significant items; Capital structure
Significant items For personal use only $ million Dec 09 Transaction costs (32.7) Brazil tax amnesty program (20.5) Restructuring / Impairments (29.4) ACCC legal costs and other (5.3) Significant items before related income tax (87.9) Income tax on significant items 10 4 10.4 Significant items after
Slide 14: US$850 million US Private Placement; Debt Profile
US$850 million US Private Placement For personal use only Use of funds US$ million USPP 850 Matured December USPP note (40) Acquisition facility refinancing (475) Reduction in USD floating debt (335) Substantial upsizing from US$200 to US$850 million at an average interest rate of 5.7% and maturitie
Slide 15: Alcan Packaging acquisition
For personal use only Alcan Packaging acquisition 31 December 2009 Ken MacKenzie – Managing Director and Chief Executive Officer 27 Alcan Packaging acquisition • C Consideration id ti off US$1 US$1,948 948 million illi • PBITDA for year ended 31 December 2009 – US$383 million (€274 million) Creating
Slide 16: Alcan operating performance
Alcan operating performance(1) For personal use only 2008 2009 • Improved earnings in the December € million H1 H2 CY H1 H2((2)) CY 2009 half year Sales 1,373 1,312 2,685 1,269 1,348 2,617 • Driven predominately by; PBITDA 141 123 264 124 150 274 – Cost reduction programs PBIT 78 60 138 60 88 148 –
Slide 17: Synergies; Implementing The Amcor Way
Synergies For personal use only Synergies and restructuring costs Year 1 Year 2 Year 3 • No change from expectations Synergies realised (%) 35 80 100 outlined tli d iin prospectus t Restructuring costs (A$ million) 150 150 – Range A$200 - $250 million • Modest amount in the first six months Synergie
Slide 18: Summary
Summary For personal use only • Solid financial performance in difficult economic conditions • Alcan Packaging acquisition completed – Attractive purchase price Creating a new • Comprehensive integration program • New Amcor well positioned to create value world of packaging To view a three minute vi
Slide 19: Rigid Plastics sales and product mix
Rigid Plastics For personal use only Sales (US$m) Dec 08 Dec 09 North America 761 573 Latin America 469 447 Bericap 40 42 BG/India 2 2 Total 1,272 1,064 35 Rigid Plastics product mix North N th A America i sales l Total sales Latin America sales US$573 m US$1,064 m US$447 m 13 42 44 30 8 Custom Dive
Slide 20: Flexibles and Australasia sales
Flexibles For personal use only Sales (€m) Dec 08 Dec 09 Food 402 348 Healthcare 243 229 Tobacco packaging 168 175 Total ota 813 752 37 Australasia Sales (A$m) Dec 08 Dec 09 Fibre 598 575 Flexibles 186 181 Rigids 336 327 Total 1 120 1,120 1 083 1,083 38 19