Boral — Shareholder Meeting (2008)
18 slides from Boral's shareholder meeting presentation, 2008
Slide 1: Chairman's Address
Boral Annual General Meeting 2008 1 Chairman’s Address Ken Moss Boral Annual General Meeting 2008 2 1
Slide 2: FY2008 financial results amid extraordinary external factors
2008 was a particularly challenging year due to several extraordinary external factors 1 Significant deterioration in US housing activity 2 Dramatic increase in energy and other input costs 3 Protracted Australian housing downturn especially in NSW 4 Demand for concrete in Australia at recor
Slide 3: Australian EBITDA lift offset by offshore decline
A solid lift in Australian EBITDA ( $52m) was offset by a large decline in offshore EBITDA ( $123m) EBITDA (A$m) FY2007 FY2008 $35m (8%) $17m (11%) $118m (91%) $5m (22%) 489 454 151 168 129 11 21 16 Construction Building USA Asia Materials Products Boral Annual General Meeting 2008 5 FY2008 financia
Slide 4: Dividend returns continued to be solid and fully franked
Dividend returns continued to be solid and fully franked Final dividend 17 cents Interim dividend 17 cents Total dividend 34 cents Franking level remains at 100% Gross-up dividend 49 cents Dividend payout ratio from 68% to 83% Boral Annual General Meeting 2008 7 Relative share price performance inde
Slide 5: Leadership & People Management: safety performance
Leadership & People Management Boral Annual General Meeting 2008 9 Boral’s safety performance has continued to improve Lost time injury frequency rate (LTIFR)1 % Hours lost 9 0.24 0.17 0.16 5 5 5.1 0.15 0.15 4.5 4.2 0.11 0.11 3.1 0.09 2.8 0.08 2.5 FY00 FY01 FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY00 FY
Slide 6: Social Responsibility: Boral's Sustainability Priorities
Boral Annual General Meeting 2008 11 Boral’s Sustainability Priorities are broad Health, safety and Community relations and Social Responsibility wellbeing engagement Human Resources Employee and labour Business ethics and relation corporate governance Communications, External relations
Slide 7: The Board & Corporate Governance; Managing Director's Address
The Board & Corporate Governance Boral Annual General Meeting 2008 13 Managing Director’s Address Rod Pearse Boral Annual General Meeting 2008 14 7
Slide 8: Sales lifted 6% while EBITDA was down 10%
2008 was a particularly challenging year due to several extraordinary external factors 1 Significant deterioration in US housing activity 2 Dramatic increase in energy and other input costs 3 Protracted Australian housing downturn especially in NSW 4 Demand for concrete in Australia at recor
Slide 9: US dwelling starts around 40% of sustainable demand
US dwelling starts will be around 40% of sustainable underlying demand this year Total US dwelling starts (‘000)1 2,600 2,400 2,200 Total Housing Starts 2,000 1,800 1,600 1,400 1,200 1,000 800 600 400 Single Family Housing Starts 200 0 1960 1962 1964 1966 1968 1970 1972 1974 1976 1978 1980 1982 1984
Slide 10: Detached dwellings in NSW remain at year low levels
Detached dwellings in NSW remain at 40 year low levels and well below underlying demand Building approvals for detached houses (MAT)2 40,000 35,000 VIC 30,000 QLD 25,000 20,000 WA 15,000 NSW 10,000 Others1 5,000 0 Jun-84 Jun-85 Jun-86 Jun-87 Jun-88 Jun-89 Jun-90 Jun-91 Jun-92 Jun-93 Jun-94 Jun-95 Ju
Slide 11: Construction Materials Australia; Asia
Construction Materials Australia Boral Annual General Meeting 2008 21 Asia Boral Annual General Meeting 2008 22 11
Slide 12: Industry recognition and Outlook FY2009
Boral is being recognised as an industry leader Member of the FTSE4Good Index Carbon Disclosure Project (CDP6) Climate Change Leader “Commendation for excellent report structure” in Association of Chartered Certified Accountants (ACCA) awards Special Award for Corporate Governance at the 7th
Slide 13: Ordinary Business: Financial Reports
Ordinary Business Boral Annual General Meeting 2008 25 Financial Reports Boral Annual General Meeting 2008 26 13
Slide 14: Resolution 1 – Adoption of Remuneration Report
Resolution 1 Adoption of Remuneration Report Boral Annual General Meeting 2008 27 Resolution 1 – Adoption of Remuneration Report Boral’s policies relating to remuneration of key management personnel Boral Annual General Meeting 2008 28 14
Slide 15: Resolution 1 – Adoption of Remuneration Report
Resolution 1 – Adoption of Remuneration Report Boral’s policies relating to remuneration of key management personnel Relationship between remuneration policies and the Company’s performance Boral Annual General Meeting 2008 29 Resolution 1 – Adoption of Remuneration Report Boral’s policies rel
Slide 16: Worked example of options
Worked example of options Performance Value of Increase in Share price TSR relative to CEO’s options market after 3 yrs achieved ASX100 pre-tax capitalisation $6.83 7% pa <50th percentile Nil $0m (0%1) $7.25 9% pa <50th percentile Nil $245m (6%1) $7.68 11% pa 50th percentile $0.7m $500m (13%1) $9.10
Slide 17: Resolution 1 proxy votes; Resolution 2 Election of Director
Resolution 1 – proxy votes Adoption of Remuneration Report For 123,541,273 Open 10,092,918 Against 174,210,568 % to be cast FOR the resolution* 43.4% * On basis open proxies in favour of Chairman of the Meeting are voted FOR Boral Annual General Meeting 2008 33 Resolution 2 Election of Director Bora
Slide 18: Election of Paul Rayner – proxy votes
Paul Rayner Boral Annual General Meeting 2008 35 Resolution 2 – proxy votes Election of Paul Rayner For 297,176,821 Open 10,281,477 Against 1,205,703 % to be cast FOR the resolution* 99.6% * On basis open proxies in favour of Chairman of the Meeting are voted FOR Boral Annual General Meeting 2008 36