Shiner International — Investor Presentation (September 2010)
25 slides from Shiner International's investor presentation, Sep 23, 2010
Slide 1: Shiner International, Inc. Investor Presentation
Shiner International, Inc. INVESTOR PRESENTATION September 2010 Green — Environmentally Friendly —— Healthier Products
Slide 2: Slide 2
Slide 3: Safe Harbor Statement
Safe Harbor Statement This presentation includes or incorporates by reference statements that constitute forward- looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements relat
Slide 4: Company Overview
Company Overview ‘One of the Largest Flexible Packaging Color Printing, Manufacturers in China and Emerging Leader Globally, with over 50 customers in 20 countries Focused on value-atided, specialty packaging using proprietary film structures Headquarters in Haikou, P.R.C.; facilities In Hainan and
Slide 5: Investment Highlights
Investment Highlights Well-known Customer Base: Most of Shiner’s customers are the industry leaders, such as “Shineway”, a leading meat processor; “Master Kong”, a leading producer of instant noodles; “Want Want”, a leading biscuit company. Customer-Tailored Packaging Solutions: Shiner has strong re
Slide 6: China Flexible Packaging Growth Drivers
China Flexible Packaging Growth Drivers = China's packaging industry remains the world's third largest packaging market and worth over USD 81 billion. = Consumers are trading up from unpackaged goods, a traditional and large market in China, to branded and packaged alternatives. = Modern Chinese con
Slide 7: International Flexible Packaging Growth Drivers
International Flexible Packaging Growth Drivers « Worldwide demand for converted flexible packaging is forecast to grow 3.6 percent per year to over 19 million metric tons in 2013. = Demand for converted flexible packaging will benefit from the products’ environmentally friendly image as well as cos
Slide 8: Leading Products
Leading Products ® Rinagecey yee . S CHnInErEt Packaging = Reduces waste = Food and Beverage = Lower energy requirements = Medical/Surgical = Extended shelf life = Pharmaceutical = Easy storage = Cosmetics = Lower weight = Consumer Products = Environmentally friendly
Slide 9: Products Categories
Products Categories > Food Safe Packaging ee ealgparrcameter sae ie = Annual Capactry: 12,060. menic tons metal packaging, single layer compared * Excellent moisture, oxygen barrier with mult-ayer Qutstanding flavor and aroma barvier = Superior machinability and scalability * Qutstanding optical per
Slide 10: Sample of Top Customers
Sample of Top Customers The largest meat processing company in China with US$ 6 billion in sales. The leading producer of instant noodle, beverages and baked goods with USS 6 billion in sales. 543% market shate of the instant ‘noodle market in China. One of the largest food companies in China, with
Slide 11: Product Innovations
Product Innovations Superba film BariCoated film Vv ‘Super High barrier Reduces material volume Lower product cost Increased shelf life Food Safe Package High barrier Reduces material volume Lower product cost Increased sheff life vv v VV VV UniGard UniSpecial > — UniGard is the technical core of ou
Slide 12: Proprietary Film Manufacturing Technology
Proprietary Film Manufacturing Technology > Specialty film using BOPP as o base fim for conted, anti-counterfeit, and tobacco BOPF Sims. ValueAdded Coates Filen varieties Patented » Specialization improves water vepor end iba BasicBOPP Film cera! Anti-Counterfet fils gas borrier properties, visual q
Slide 13: Food Safety Reform
Food Safety Reform The Chinese Food Safety Law enacted in June 2009 has created a huge opportunity for Shiner > New Food Safety Law greatly improves the regulatory environment > Domestically in China rising consumer classes and incomes are driving higher consumer demand for convenience and attractiv
Slide 14: Solution Provider Case Study - Shineway
Solution Provider Case Study - Shineway Shineway is the largest meat processing company in China with 6 Billion USD sales in 2009. Shineway's high-temperature meat products accounted for 1.4 Billion USD sales in 2009. Existing Packaging Problems: Current material used for processed sausage is PET (p
Slide 15: Competitive Advantages
vy vy vy vy Compe ive Advantages Quality - In the domestic Chinese market, our products generally exceed accepted industry standards Price - We have a lower operating cost basis than most of our competitors due to economies of scale and the proprietary design of our own production lines and lower la
Slide 16: Growth Strategy
SHINER INTERNATIONAL Growth Strategy Technology & Customer Focus Innovation Excellence ‘Manufacturing Acquisitions » Focuson » World class » Focused factory material science customers: strategy > Strong R&D > Divarsified > World class Capabilities geographically manufacturing » Patented » Long » New
Slide 17: Sales & Distribution - China
Sales & Distribution - China Experienced, knowledgeable and customer- oriented marketing team 25 employees in our marketing group, 17 of whom have worked in the industry for five years or more and are familiar with buyers’ changing needs and concerns New sales offices opening in Shanghai and Hong Ko
Slide 18: Manufacturing Facilities
Manufacturing Facilities ® 2008 ~ 2009: Zhuhai manufacturing facili was up and running; ® 04/2009: Hainan new manufacturing facility was under construction; ® 10/2010: the world first 10,000-ton tobacce film production line will be set up, and willbe aperating in May 2011; » Atthe end of 2010, the c
Slide 19: Top Management Team
Top Management Team Qingtao Xing, CEO & President — Mr. Xing became President of Shiner in 2008, prior to serving as Shiner's vice president for strategic initiatives. From 2007 to 2008, Mr. Xing worked as a project development associate for LaSalle Investment Management. Mr. Xing received his maste
Slide 20: Key Financials - I
Key Financials - | (mn Mons ofthe trading currency, except ‘LTM? For the Fiscal Period Ending 12 months 12 months 12 months 12 monthst Dec-31-2008A_ Dec-31-2009A8 Jun-30-2010A Dec-31-2010E Currency USD usD USD USD Total Revenue 34.517 (44.241 54.032 Growth Over Prior Year (33.10%) 7.29% (56.54% Gros
Slide 21: Key Financials - II
Key Financials - Il Revenues (us $ milion) Gross Profit (uss mution) Net Income (uss mition) ™ Bad year of 2009 due to financial crisis * More than 50% growth rate in revenue expected in 2010 and 2011 = Higher profit margin year over year
Slide 22: Balance Sheet
Balance Sheet LL Balance Sheet as of: pose 70094221 2010.80 one-12-31 20084231 2010-6.30 Currency fn Mion usp usp usp uso uso. usp ASSETS LABILTES ‘Cash And Equivalonis 3816 306 3249 Accounts Payable 3709 facenied Exp 004 ‘Accounts Receivable 1595 6406 7779 Shortterm Boroxings 3.884 Notes Receivable
Slide 23: Comparable Companies
Comparable Companies Currency: US Detar s-Of Date: Sep-05-2010 E c ‘Company Name Market PiDiluted —NTMForward Total Enterprise LTMTotal_—_LTMEBITDA LTM Diluted Capitalization EPSLTM PIE (Capital IQ) Value Revenue [AEP industries ine. (NasdaqGS:AEP!) 163.70 NM - 363.33 754.50 35.60 Bemis Company, Ine
Slide 24: Investment Highlights
Investment Highlights Well-known Customer Base: Most of Shiner’s customers are the industry leaders, such as “Shineway”, a leading meat processor; “Master Kong”, a leading producer of instant noodles; “Want Want”, a leading biscuit company. Customer-Tailored Packaging Solutions: Shiner has strong re
Slide 25: Contact Information
Contact Information Auditor: Company Contact: Goldman Parks Kurland Mohidin LLP Qingtao Ning Legal Counsel: Steven & Lee PC
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