Slide 1: Forward-Looking Statements
This presentation includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements include statements concerning our plans, objectives, goals, strategies, future events, futu
Slide 2: Highlights
See Appendix for reconciliations and important explanatory notes (1) Pro forma adjusted for the sale of our European surfactants business to Innospec on December 30, 2016 as if it had occurred at the beginning of the periods shown. Highlights
Slide 3: Polyurethanes Second Quarter 2017
Polyurethanes Second Quarter 2017 Price: Local(1) Price: FX(1) Mix & Other Volume(2) Y/Y 15% 2% 10% 18% Y/Y(3) 15% 2% 7% 8%(4) Q/Q 4% 1% 3% 1% Q/Q(3) 3% 1% ---- 11%(4) $ in millions $ in millions Current Quarter + Strong underlying demand for MDI across all regions + MDI growth YOY +4%, excluding pl
Slide 4: Performance Products Second Quarter 2017
Performance Products Second Quarter 2017 Price: Local(2) Price: FX(2) Mix & Other Volume(3) Y/Y 6% 1 ---- 6% Y/Y(1) 3% 1 ---- 9% Q/Q 3% 1% 2% 3% $ in millions $ in millions Current Quarter + Margins in Amines, Maleic and Surfactants improved sequentially + Pro-forma volume increased both Q/Q and Y/Y
Slide 5: Advanced Materials Second Quarter 2017
Advanced Materials Second Quarter 2017 Price: Local(1) Price: FX(1) Mix & Other Volume(2) Y/Y 1% 1% 2% 2% Q/Q ----- 2% 1% 1% $ in millions $ in millions Current Quarter + Excluding BLR, volume was 6% higher YOY (Lower Y/Y volume in commodity BLR) – Competitive wind markets and higher raw materials O
Slide 6: Textile Effects Second Quarter 2017
Textile Effects Second Quarter 2017 Price: Local(1) Price: FX(1) Mix & Other Volume(2) Y/Y 2% 1% 1% 6% Q/Q ---- 1% 4% 4% $ in millions $ in millions Current Quarter + 5 consecutive quarters of YOY volume growth + 8% YOY growth in key markets + LTM RONA 15% Outlook + YOY growth above GDP (1) Excludes
Slide 7: Pigments and Additives Q2 2017 Performance
Highlights Recent Developments Adjusted EBITDA(1) Revenues Pigments Additives Q2 2017 Performance 7 Successfully undertook the issuance of new financing comprised of: $375 million Senior Unsecured Notes, due 2025, completed $375 million Term Loan B, due 2024, allocated and committed $300 million ABL
Slide 8: Adjusted EBITDA Bridge
Adjusted EBITDA Bridge Year / Year(1) Quarter / Quarter(1) Second Quarter 2017 $ in millions $ in millions (1) Pro forma adjusted to exclude European surfactants business sold on December 30, 2016
Slide 9: Finance and Cash Considerations
Finance and Cash Considerations Strong Free Cash Flow Liquidity & Debt Considerations Primary Working Capital Trends Liquidity $1,293mm combined cash and unused borrowing capacity Expected 2017 CAPEX ~$380mm Debt Net debt / 2Q17 LTM adj. EBITDA = 2.9x On July 26, 2017 prepaid $100mm of term loans, t
Slide 10: Venator Separation Update
Venator Separation Update Venator launched IPO on July 24th $750mm of standalone debt financing secured: $375mm in bonds(1) $375mm in Term Loans $300mm committed line through secured Asset Backed Facility Estimated net debt proceeds of approx. $725mm to be paid to Huntsman for debt reduction upon cl
Slide 11: Creating a Global Specialty Chemical Leader: First Merger Update
Creating a Global Specialty Chemical Leader First Merger Update July 27, 2017
Slide 12: Cautionary Statement Regarding Forward-Looking Statements
Cautionary Statement Regarding Forward-Looking Statements This communication contains certain statements that are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, a
Slide 13: General Disclosure (Cont'd)
General Disclosure (Cont’d) Important Additional Information and Where to Find It NO OFFER OR SOLICITATION This communication is not intended to and does not constitute an offer to sell or the solicitation of an offer to subscribe for or buy or an invitation to purchase or subscribe for any securiti
Slide 14: Merger Creates Substantial Long-Term Value
Merger Creates Substantial Long-Term Value Highly complementary product portfolios creating production set up and supply chain benefit opportunities in specific overlapping businesses. Performance Products / Care Chemicals / Natural Resources represent approx. 35% of overall sales Meaningful opportu
Slide 15: Strategic Direction for Near- and Long-Term Value Creation
Strategic Direction for Near- and Long-Term Value Creation Clear joint understanding of the combined company’s future core segments in higher growth and higher margin businesses Significant strategic flexibility to be utilized, including add-on acquisitions and divestments Joint strategic direction
Slide 16: HuntsmanClariant Portfolio Management Principles and Capital Allocation Plans
Alignment on HuntsmanClariant Portfolio Management Principles and Capital Allocation Plans Direct majority of investments to growth areas & growth regions Expand the existing downstream presence, and further advance the current integration into key building blocks such as MDI systems, liquid epoxy,
Slide 17: Merger Implementation Update – according to plan
Merger Implementation Update – according to plan Progress Timeline Integration teams established, cost synergy targets in excess of $400m plus $25m of tax savings confirmed and additional revenue synergies revealed Daily interaction - 13 primary work streams, 35 different working teams, 100+ individ
Slide 18: Merger Implementation Update - according to plan
HUNTS! CLARIANT™ Merger Implementation Update - according to plan v Integration teams established, cost synergy targets in excess of $400m plus $25m of tax savings confirmed and additional revenue synergies revealed = Daily interaction - 13 primary work streams, 35 different working teams, 100+ indi
Slide 19: Reconciliation of U.S. GAAP to Non-GAAP Measures
Reconciliation of U.S. GAAP to Non-GAAP Measures (1) Pro forma adjusted for the sale of our European surfactants business to Innospec on December 30, 2016 as if it had occurred at the beginning of the periods shown. (1)
Slide 20: Reconciliation of U.S. GAAP to Non-GAAP Measures
Reconciliation of U.S. GAAP to Non-GAAP Measures (1) Pro forma adjusted for the sale of our European surfactants business to Innospec on December 30, 2016 as if it had occurred at the beginning of the periods shown. (1)
Slide 21: Reconciliation of U.S. GAAP to Non-GAAP Measures: Free Cash Flow
Reconciliation of U.S. GAAP to Non-GAAP Measures Free Cash Flow
Slide 22: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation
Slide 23: Revenue, Adjusted EBITDA & Margin by Segment
Revenue, Adjusted EBITDA & Margin by Segment
Slide 24: Explanatory Notes on Adjusted EBITDA
We use adjusted EBITDA to measure the operating performance of our business and for planning and evaluating the performance of our business segment. We provide adjusted net income because we feel it provides meaningful insight for the investment community into the performance of our business. We bel
Slide 25: Explanatory Notes
Explanatory Notes We use adjusted EBITDA to measure the operating performance of our business and for planning and evaluating the performance of our business segment. We provide adjusted net income because we feel it provides meaningful insight for the investment community into the performance of ou