Celanese Corporation · NYSE:CE
Celanese — Investor Day (December 2007)
172 slides from Celanese's investor day presentation, Dec 11, 2007
Slide 1: Celanese 2007 Investor Day
Celanese 2007 Investor Day December 11, 2007 St. Regis Hotel, New York
Slide 2: Introduction/Agenda
Mark Oberle Vice President, Investor Relations and Public Affairs Introduction/Agenda
Slide 3: Agenda
Agenda 7:30 a.m. Registration & Continental Breakfast 8:30 a.m. Introduction/Agenda Mark Oberle, Vice President, Investor Relations and Public Affairs 8:35 a.m. Pursue. Premier. David Weidman, Chairman & CEO 9:00 a.m. Advanced Engineered Materials Sandra Beach Lin, Executive Vice President and Presi
Slide 4: Forward Looking Statements and Use of Non-GAAP Measures
Forward Looking Statements, Reconciliation and Use of Non-GAAP Measures to U.S. GAAP This presentation may contain "forward-looking statements," which include information concerning the company's plans, objectives, goals, strategies, future revenues or performance, capital expenditures, financing ne
Slide 5: Pursue. Premier.
David N. Weidman Chairman and CEO Pursue. Premier.
Slide 6: Who is Celanese?
Who is Celanese? Leading Global Integrated Producer of Chemicals and Advanced Materials Execution Demonstrated track record of delivering results Strategy Clear focus on growth and value creation Culture Strong performance built on shared principles and objectives Superior Value Creation Industry Le
Slide 7: A leading global integrated producer
A leading global integrated producer 1 Represents 2007 estimated third party net sales Celanese 2007 Revenue1: $6.5B 2007 Op. EBITDA Margin (est.): ~20% Acetyl Intermediates Consumer and Industrial Specialties Advanced Engineered Materials Leading global producer of engineered polymers Strategic aff
Slide 8: An attractive intermediate and specialty business model
An attractive intermediate and specialty business model Commodity Chemicals Intermediate Products Oil & Gas Consumer Products Motorola Toyota Sherwin- Williams Siemens Dow* Lyondell Methanex Rohm & Haas* ICI* Specialty Products Dow* Eastman* PPG* FMC* * Celanese internal peer group Exxon BP Shell Ce
Slide 9: Geographically balanced positions and diversified end markets
28% 44% 28% Geographically balanced global positions and diversified end market exposure Notes: End market breakdown based on 2007 estimated gross sales Geographic breakdown based on 2007 estimated gross sales to external customers by destination Other 10% Construction 7% Paints & Coatings 15% Autom
Slide 10: Integrated businesses aligned to accelerate growth
Integrated businesses aligned to accelerate growth Acetyl Intermediates (AI) Formaldehyde Differentiated Intermediates Specialty Products Building Block Raw Materials Advanced Engineered Materials (AEM) Industrial Specialties (IS) Consumer Specialties (CS) Ticona Engineering Polymers Emulsions Aceta
Slide 11: Strong performance in an uncertain business environment
Strong performance in an uncertain business environment Execution of growth objectives Strong acetyl environment Delivering on Operational Excellence objectives Mitigating raw material volatility Continued strength in Europe and Asia 2007 Updated Guidance 2007 Updated Guidance 2007 Updated Guidance
Slide 12: Celanese strategic pillars
Since 2000, Celanese has executed against a simple strategic foundation Divest non-core assets and revitalize underperforming businesses Aggressively align with our customers and their markets to capture growth Participate in businesses where we have a sustainable competitive advantage Leverage and
Slide 13: Today's portfolio: more resilient and less volatile
2000 2001 2002 2003 2004 2005 2006 2007E As Reported 0.11 0.1 0.11 0.11 0.16 0.17 0.19 0.2 Pro Forma for Current Portfolio 0.16 0.15 0.15 0.17 0.19 0.2 0.19 0.2 Operating EBITDA Margin Today's portfolio: more resilient and less volatile Current portfolio provides overall higher level of earnings His
Slide 14: Today's portfolio: higher growth, more specialty
Operating EBITDA1 Today's portfolio: higher growth, more specialty Strategic growth plans continue to accelerate earnings of specialty businesses Essentially all growth has come from specialty businesses Two-thirds of 2010 Growth Objectives expected from specialty businesses Resulting in: Higher gro
Slide 15: 2010 Growth Objectives aligned with strategic pillars
$300-$350 million EBITDA Growth $350-$400 million EBITDA Growth Operational Excellence Innovation 2010 Growth Objectives are aligned with the strategic pillars Celanese 2010 Objective: Increasing 2010 Growth Objectives by $50 million to $350 - $400 million Balance Sheet Organic Revitalization Asia $
Slide 16: Committed to delivering value creation
Committed to delivering value creation $350 - $400 million increased EBITDA profile plus EPS potential by 2010 Group Asia Revitalization Innovation Organic Balance Sheet Operational Excellence EBITDA Impact Consumer and Industrial Specialties X X X X >$100MM Advanced Engineered Materials X X X X >$1
Slide 17: Operating EBITDA Growth Objectives
2007 2008 2009 2010 AI 20 80 100 120 CIS 44 82 108 130 AEM 25 50 65 110 Operating EBITDA Growth Objectives On track and clear path forward to accelerate 2010 Growth Objectives AEM: volume growth > 2X GDP through further penetration CIS: Acetate continues execution on revitalization strategy; Emulsio
Slide 18: Asia: enhancing Celanese's geographic lead
Asia: enhancing Celanese's geographic lead Note: Revenue breakdown based on 2007 estimated net sales 1 Earnings breakdown based on 2007 estimated Operating Profit Approximately 50% of earnings from the fastest growing region 2007E Regional Split Asia East 67 33 Asia1 ~33% Asia East 72 28 Asia 28% Re
Slide 19: Asia strategy: high-return growth
Asia strategy: high-return growth Total investment: $300 - $350 million - over 80% complete Total revenue: $600 - $800 million when sold out by 2010 Incremental EBITDA: $120 - $150 million by 2010 ROIC = 25 - 30% Investment Dynamics Emulsions Complex Administration & Maintenance Utilities / Tank Far
Slide 20: Operational Excellence and sustainability objectives
Operational Excellence: offset inflation and drive sustainability objectives 2010 Sustainability Goals Energy Waste Air emissions Greenhouse Gases Injury rate East 20 25 30 30 70 8.5 North $1 billion / year overall productivity Fixed Cost Reduction Above Inflation 0 600 2001 2002 2003 2004 2005 2006
Slide 21: Results have led to significant value creation
Enterprise Value2 Cumulative Adjusted Free Cash Flow Results have led to significant value creation 2000 2001 2002 2003 2004 2005 2006 2007E Adjusted free cash flow 156 271 144 195 184 545 458 400 Cumulative - 156 427 571 766 950 1495 1953 YE 2000 IPO Current Net debt 1071 2957 2969 Equity 971.51 25
Slide 22: Capital deployment framework
Return on Capital Deployed/ Value Creation Low High Low High Current balance sheet strategy for cash deployment Dividend Debt repayment Hold cash Returning Cash to Shareholders Difficulty of Realizing Value/ Skills or Competencies Required Return on Capital Deployed/ Value Creation Difficulty of Rea
Slide 23: Bias for growth and high-return projects
14% Low High Low High Bias for growth and high-return projects Dividend Debt repayment Hold cash Returning Cash to Shareholders Asset expansion - low growth area Share repurchase Returning Cost of Capital Cost reduction & revitalization projects Asset expansion - high growth area Core/bolt-on acquis
Slide 24: Celanese core values: our DNA
Celanese core values: our DNA 47 ....a precondition... ....highest standards... ....attract, develop and retain... ....continuously learn... ....think globally... ....create growth opportunities... ....sense of urgency... ....performance driven...
Slide 25: Expectations from today's meeting
Expectations from today's meeting Portfolio is stronger, more resilient It's the model - not the molecule Ahead of expectations and growth objectives More earnings growth opportunities identified Celanese culture: enabler
Slide 26: Advanced Engineered Materials
Sandra Beach Lin Executive Vice President and President, Ticona Advanced Engineered Materials
Slide 27: Advanced Engineered Materials: delivering performance driven solutions
> 2X GDP volume growth Comprehensive portfolio of high-performance engineering polymers Innovation in automotive and non-automotive applications drives earnings growth China expansion is platform for further penetration into end-use applications Advanced Engineered Materials: delivering performance
Slide 28: Well positioned for continued growth
Well positioned for continued growth Premier Franchise Differentiated business model Sustained performance Growth through Innovation and Technology Capitalize on Megatrends Asia expansion
Slide 29: Providing valuable solutions to extreme requirements
Providing valuable solutions to extreme requirements Precise applications in complex environments Extreme Requirements Highly engineered polymers - high performance portfolio Excellent Products Collaborative engineering right people - right place - - right time Extraordinary Engineering AEM "Sweet S
Slide 30: Excellent Products: value of technology and performance
Excellent Products: value of technology and performance is realized in price $1/ kg $100 / kg $10 / kg $3 / kg Price for Performance 95% 5% Standard Polymers High-Performance Polymers (HPP) Engineering Thermoplastics (ETP) ABS, SAN, ASA: 3% PE = 31% PP = 21% PET = 7% PU = 6% PVC = 17% PS, EPS = 8% o
Slide 31: High performance product portfolio
^ ^ ^ ^ ^ ^ Chemical Resistance ^ ^ ^ ^ ^ Medical Grade ^ ^ ^ Abrasion Resistance ^ ^ ^ ^ ^ ^ Dielectric Strength ^ ^ ^ ^ Functional Aesthetics ^ ^ ^ ^ Extreme Temperature High performance product portfolio with attributes that customers require Fortron(r) (Polyphenylensulfide) Celstran(r) (Long fib
Slide 32: Range of temperature requirements
Extreme Temperature Bulk polymers PP, PE, PVC Critical Part Specification Bulk polymers PET, PEN Riteflex(r) Hostaform(r) GUR(r) Celanex Fortron(r), Vectra(r),Celstran(r) Ticona polymers (40)°F extreme cold 600°F extreme heat Continuous Use Temperature Range of Temperature Requirements
Slide 33: Ticona POM: only polymer that meets all requirements
Ticona POM: Only polymer that meets ALL requirements No Industry Demands More Than Medical Systems Competitive Products Competitive Products Competitive Products Requirements Ticona POM High Temp. PA PP PET FDA compliance + = + + Chemical resistance + + - = Steam sterilization + = - = Dimensional st
Slide 34: Extraordinary Engineering: right people, place, time
End-use Customer Extraordinary Engineering: right people - right place - right time Engineered Polymers Industry Supply Chain Raw Material Supplier AEM Solutions - processing expertise and material performance Material and Performance Specifications Monomer & polymer producer Compounder AEM Injectio
Slide 35: Intellectual capital enables performance-driven solutions
OEM Specification Opportunity Generation Testing Part Design Part Validation Prototype Intellectual capital enables performance-driven solutions Modeling & Simulation Overall development cycle: 18 - 24 months ~70% of Ticona business is specification-based
Slide 36: Case study: orthopedic replacement joints
Case study: orthopedic replacement joints Exceptional Defensibility Bio-compatibility Wear resistance Impact strength FDA compliance Extreme Requirements GUR(r) UHMW-PE Medical grade Abrasion resistance Human cartilage replacement Excellent Products Product chemists - bridging requirements and polym
Slide 37: Broad range of end-use applications
Other 6% Broad range of end-use applications to targeted niches... 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr East 47 8 12 10 12 5 6 West 30.6 38.6 34.6 31.6 North 45.9 46.9 45 43.9 Revenue by End-Use 2007E ~ $1 billion Alternate Fabrication 12% Transportation 47% Fuel systems Safety systems Mechanical compone
Slide 38: Consistent global brand experience
....requiring a consistent global brand experience China Europe Americas Application development Compound development Polymer development Testing Processing optimization Application development Compound development Polymer development Testing Injection molding Application development Compound develo
Slide 39: 1,000s of products in 1,000s of applications
1,000s of products in 1,000s of applications across dozens of industries
Slide 40: Sustained performance: revenue and earnings growth
Sustained performance: proven track record of revenue and earnings growth AEM has consistently delivered continued sales and earnings growth High energy and raw material costs compressed 2007E Operating EBITDA Estimated impact of ~250 - 350 bps Volume growth in both automotive and non- automotive ap
Slide 41: Specification strength and value delivered
Strong correlation between value delivered and specification strength Specification Strength Richness of portfolio Long-term customer relationships Technical and application expertise Global technical and manufacturing presence High value-in-use applications Limited substitute materials Value Delive
Slide 42: Relative financial performance versus peers
Premier franchise Fastest earnings growth Highest relative profitability EBITDA multiple continues to trail peers despite continued earnings strength Peer group: corresponding segments of BASF, DSM, DuPont, GE Plastics, Solvay Plastics YTD 2007 figures include one quarter of GE plastics, now SABIC/S
Slide 43: Well positioned for continued growth
Well positioned for continued growth Premier Franchise Differentiated business model Sustained performance Growth through Innovation and Technology Capitalize on Megatrends Asia expansion
Slide 44: Committed to delivering value creation
Committed to delivering value creation $350 - $400 million increased EBITDA profile plus EPS potential by 2010 Group Asia Revitalization Innovation Organic Balance Sheet Operational Excellence EBITDA Impact Consumer and Industrial Specialties X X X X >$100MM Advanced Engineered Materials X X X X >$1
Slide 45: AEM Operating EBITDA Growth Objectives
Operating EBITDA Growth Objectives (versus 2006 Baseline) An important contributor to the Celanese growth strategy Volume growth > 2X GDP Innovation in automotive and non-automotive applications drives continued earnings improvement Expansion in China provides platform for further penetration in end
Slide 46: Celanese
Celanese
Slide 47: Power: Empower sustainable technologies
Power Empower sustainable technologies
Slide 48: Technologies to reduce emissions and improve fuel efficiency
Technologies to reduce emissions and improve fuel efficiency Weight reduction Engine combustion efficiency Alternative fuels Fuel cells Hybrid-engine systems Alternative renewable fuel sources help reduce CO2 Advanced air management enhances engine combustion efficiency Development time to full comm
Slide 49: Emissions innovation and fuel efficiency
Leading engineered polymers in emissions innovation and fuel efficiency E85 Compatible Polymers Drivers: Alternative fuels - Bio-fuels Air quality SORE emissions Legislation - environmental & safety Chemical resistance Impact resistance Dimensional stability High heat 65 million lbs. acetal in 2006
Slide 50: Emissions reduction beyond fuel systems
Emissions reduction beyond fuel systems Metallic-look Hostaform(r)/POM Eliminates painting/plating Reduces VOCs Color matching to interior painted metallic parts Saves $1 to $4 per vehicle Customer Requirements Functional aesthetics Wear resistance Strength Significant opportunity: currently only ~2
Slide 51: Safety: Advance intelligent systems
Safety Advance intelligent systems
Slide 52: Vectra LCP: connector leadership into LED lighting
Vectra(r) LCP: Translating connector leadership into LED lighting $17.4 billion in 2017 Drivers: Improved safety Lower energy consumption Miniaturization Aesthetics Design trends LED Street Lamps Audi A8 Daytime Running Lights Audi R8 54 LEDs per Headlamp Customer Requirements High flow Low emission
Slide 53: Life: Enhance living comfort
Celanese Life oat ivy gto, b, ; Life Enhance living comfort
Slide 54: GUR UHMW-PE for water filtration
5.5 billion with clean water access - 2006 Shower Filter Faucet Filter Drinking Water Filter Customer Requirements NSF specification Proprietary binding agent to boost filtration efficiency GUR(r) UHMW-PE: well positioned to provide solutions for global water filtration 2000 2003 2006 2008 2010 Tota
Slide 55: Long history in Asia provides competitive advantage
Long history in Asia provides competitive advantage 40 years of experience in Asia through strong affiliate relationships Strong relationships with our customers in Asia Expanding model of local customer support and development Full range offering of leading products Investing in local manufacturing
Slide 56: Nanjing provides platform for Ticona growth in Asia
GUR(r) and Celstran(r) unit construction underway and production expected in 2008 Recently announced addition of new compounding plant at Nanjing in 2009 Application development center in Shanghai Incremental contribution by 2010: ~$100 million in annual sales Fully Integrated Complex Emulsions Comp
Slide 57: Technologies to reduce particulate emissions: coal-fired power
2,100 GW coal-fired power in 2020 Customer Requirements Chemical resistance High heat Technologies to reduce particulate emissions: coal-fired power plants Drivers: Increased global power consumption More coal-fired power plants Air quality Environmental legislation Fortron(r) PPS Air Filter Bags Co
Slide 58: Coal-fired power plants growth opportunity
Coal-fired power plants provide significant growth opportunity Characteristics of filter bags Typically 6 inches in diameter and 26 feet in length Up to 20,000 bags used per house Life span of 3 to 5 years Filter bags contain an average of 4.0 to 4.5 lbs. of Fortron(r) PPS Electricity from coal in C
Slide 59: Opportunity for increased penetration in China autos
China Current Highest Current Model 2010E 2007E 2001 Lbs/ car 60 2.5 40 18 13 6 Source: Global Insight Pounds per Vehicle Source: Celanese Estimates Significant opportunity for increased penetration in high growth region 2006 Production Production Growth 2006-2012 Mexico 1955 312 Canada 2496.9 176.3
Slide 60: Translating auto application expertise to Asia
Translating auto application expertise to Asia Door Systems Window lifts Door locks Door modules Power motor housings Fuel Delivery Systems Fuel reservoirs Fuel limit valves Roll-over valves Fuel flanges Fuel pumps Structural Parts Front-end modules Instrument panels Sunroof systems Select Interior
Slide 61: Global application development network
Application development requirement: a global network to serve global demand Application Development Center Frankfurt New Application Development Center Shanghai Application Development Centers Florence, KY Auburn Hills, MI
Slide 62: Industry recognition of innovation
Industry recognition of innovation Winner Of SPE 2007 Grand Innovation Award Mercedes-Benz C-Class Vectra(r) LCP active safety sensor Detects moisture, activates wipers, dries brakes Winner Of SPE Innovation Award BMW X5 Celstran(r) LFRT fender carrier Strong, lightweight
Slide 63: AEM is well positioned for continued growth
AEM is well positioned for continued growth Premier Franchise Differentiated business model Sustained performance Growth through Innovation and Technology Capitalize on Megatrends Asia expansion
Slide 64: Consumer and Industrial Specialties
Doug Madden President, Acetate, AT Plastics and Emulsions & PVOH Consumer and Industrial Specialties
Slide 65: Consumer and Industrial Specialties: value-added specialty businesses
Consumer and Industrial Specialties: value-added specialty businesses Celanese 2007 Revenue1: $6.5 B 2007 Op. EBITDA Margin (est.): ~20% Acetyl Intermediates Consumer and Industrial Specialties Advanced Engineered Materials 2007 Revenue1: $2.5 B 2007 Op. EBITDA Margin (est.): ~15% Industrial Special
Slide 66: Committed to delivering value creation
Group Asia Revitalization Innovation Organic Balance Sheet Operational Excellence EBITDA Impact Consumer and Industrial Specialties X X X X >$100MM Advanced Engineered Materials X X X X >$100MM Acetyl Intermediates X X X >$100MM Celanese Corporate X X Incremental EPS Operating EBITDA EPS Committed t
Slide 67: CIS: path to improved earnings
Operating EBITDA Growth Objectives (versus 2006 Baseline) CIS: path to improved earnings Ahead of schedule to deliver > $100 million in additional EBITDA Consumer Specialties Successful completion of Acetate revitalization Integration of Acetate Products Limited (APL) acquisition Industrial Specialt
Slide 68: Consumer Specialties: stable earnings and cash generation
Consumer Specialties: stable earnings and cash generation Acetate Products and Ventures Nutrinova PVOH Emulsions AT Plastics Consumer and Industrial Specialties 2007 Revenue1: $2.5 B 2007 Op. EBITDA Margin (est.): ~15% Industrial Specialties Leading global franchises Stable, consistent cash flows Ec
Slide 69: Acetate Products: execution of strategy
Acetate Products: execution of strategy continues to deliver earnings growth Timeframe APL Acquisition Integrate the business Capture/realize synergies 2004 2005 2006 2007 2008 2009 Restructuring/Repositioning China venture tow expansions Filament exit/site optimization China venture flake expansion
Slide 70: Successful revitalization of Acetate Products
Successful revitalization and strategy progress for Acetate Products Significant improvement to manufacturing cost structure Consolidated manufacturing footprint to lower-cost regions Closed the Edmonton flake plant in 1Q 2007 Completed planned China venture expansions - more than doubled Expanded f
Slide 71: APL acquisition: a strategic fit
Benefits to Celanese Acetate Products Limited APL Acquisition: a strategic fit Acquired cellulose acetate flake, tow and film business of APL Purchase price ~$110 million Additional $30 million for synergies 2 U.K. manufacturing facilities: Spondon Little Heath - Closed 3Q 2007 Customers - Broadens
Slide 72: Optimized global manufacturing footprint
Acetate Products: optimized global manufacturing footprint Tow Production Flake Production Nantong, China Lanaken, Belgium Spondon, United Kingdom Narrows, Virginia Ocotlan, Mexico Kunming, China Zhuhai, China Only integrated producer in each region of the world
Slide 73: Celanese share of global acetate tow market
Asia Europe Americas ROW Total CE 0.47 0.42 0.3 0.6 0.43 Others 0.53 0.58 0.7 0.4 0.57 Celanese Share of Global Acetate Tow Market (2007E) CAGR 2005 - 2010E 2 - 3% 1 - 2% (1 - 2)% 1 - 2% Strategically positioned for further expansion in growth regions 1Includes share attributable to China ventures S
Slide 74: CS Operating EBITDA 2004-2010E
CS Operating EBITDA 2004 - 2010E 2004 2005 2006 2007E 2008E 2009E 2010E Perf. Prod. Seg. EBITDA 55 63 65 67 64 58 58 Acetate Seg. EBITDA 77 77 77 77 77 77 77 North America/EU Revitalization 0 17 62 71 64 75 75 APL 20 40 41 41 JV Dividends 6 4 24 38 42 47 47 Consumer Specialties: successful revitaliz
Slide 75: Industrial Specialties: integrated technology solutions
Industrial Specialties: integrated technology solutions Acetate Products and Ventures Nutrinova Consumer and Industrial Specialties 2007 Revenue1: $2.5 B 2007 Op. EBITDA Margin (est.): ~15% Industrial Specialties Significant consumer of Acetyl Intermediates products Earnings improvement through revi
Slide 76: Integrated model captures value and mitigates volatility
Profit Added Through Chain Production and Market Driven Profit Range per Ton of Acetic Acid Increased Value Acid Margin Sell Acid as VAM Technology and Customer Driven Integrated model captures value and mitigates volatility Reduced Volatility Peak 9 Average 30 Trough 37 Earnings Improvement per Ton
Slide 77: Strategy for earnings growth
Strategy for earnings growth Operational Excellence Technology Globalization Revitalization Operational Excellence: Reliable, efficient asset utilization and cost reduction implementation Technology: Expanding applications and margins through innovation Globalization: Growth and increasing leadershi
Slide 78: Operational Excellence: manufacturing cost structure
Operational Excellence: significant improvement in manufacturing cost structure North America Redeploying production portfolio - capitalize on low cost production Completed sale of AT Plastics films business Europe Exiting Warrington, Guardo and Roussilon production Expanding Geleen and Frankfurt si
Slide 79: Cost reductions and efficiency improvements
Fixed Cost per Pound Annual Production Capacity Growth (2004-2008E) 2004 2005 2006 2007 2008E Frankfurt 1 1.05 1.16 1.25 1.29 Perstorp 1 1.1 1.15 1.55 1.68 Cost reductions and efficiency improvements enhance production capabilities Production Capacity (2004 = 100%) 2004 2007 2008E 1 0.766 0.67 Incre
Slide 80: Technology enables access to expanded applications
Technology enables access to expanded applications Industrial Specialties Applications Engineered Fabrics/ Textiles: 13% Celvol(r), Elite(r) Paints & Coatings: 18% Mowilith(r) Specialty/Other: 8% Celvol(r), Vinamul(r) Ateva(r) Paper: 11% Celvol(r), Vinamul(r) Construction: 5% DUR-O-SET(r), Vinamul(r
Slide 81: Technology enhancements open $1.0 billion of opportunities
2006 2010E Others 2.294 3.041 Celanese 0.86 1.14 Global Vinyl Emulsions Applications Driving 2010 Growth Others Celanese Technology enhancements open $1.0 billion of new opportunities $ in billions Applications 2010E Application Sales ($MM) Growth Rate Low VOC and nano paints $400 - $500 10+% Engine
Slide 82: European interior paint: low-emission binders
European Interior Paint Industry Development Case study: Celanese is the global leader in low-emission binders European success driven by increasing consumer awareness and regulatory requirements of low-VOC products Celanese technology position: clear leader 1996 2006 2010E Celanese 0.02 0.25 0.33 O
Slide 83: U.S. VOC trends following European precedent
Current trends in U.S. following European precedent In 2008, Southern California will further restrict emission requirements in paints Today, less than 25% of the interior paints meet the contemplated guidelines $100 - $2001 per ton estimated cost for non-VAE emulsions to achieve standard U.S. inter
Slide 84: Technology provides access to new applications
Technology provides access to new applications and improves earnings profile Expanding the available application space Anticipating the future needs of a changing world Creating opportunities for favorable substitution and improved product mix Vinyl Other 3154 4630 Vinyl Target Space Other 3154 1000
Slide 85: Globalization: opportunities in high growth regions
Globalization: significant opportunities in high growth regions Percent of Celanese Emulsions Net Sales1 by Region 37% 62% 1% 1 Based on 2006 sales
Slide 86: Estimated regional balance 2010
Estimated Regional Balance - 2010 Percent of Celanese Emulsions Net Sales1 by Region 30 - 35% 50 - 55% 15+% 1 Based on Celanese estimates
Slide 87: Nanjing allows Celanese to capture growth in Asia
Nanjing allows Celanese to capture significant growth in Asia 60 wet kt capacity Construction completed in October 2007 Commercial sales underway Primary supply for customer locations in China and the rest of Asia Application development center in Shanghai Fully Integrated Complex Emulsions Complex
Slide 88: Significant growth expected in China vinyl systems
2005 2010E Other Systems 1.8245 3.096 Vinyl Systems 0.4593 1.093 Significant growth expected in China vinyl systems Industry trends driving significant growth in China Vinyl systems growing faster than other systems $ in billions 19% Growth 11% Growth Adhesives Coatings Construction Nonwovens Size o
Slide 89: Nanjing platform for vinyl systems growth
2006 2007E 2008E 2009E 2010E 183 395 0.03 0.08 0.14 Nanjing provides platform for vinyl systems growth in China through VAE VAE industry in China growing at ~20% Began commercial sales in 2006 Nanjing unit operational in 2007 Capturing growth at faster- than-expected rate Objective by 2010: ~25% of
Slide 90: Other emerging economies: next frontier for emulsions
Other emerging economies... the next frontier for emulsions 1985 1995 2005 2015 2025 Low 6 194 315 363 339 Middle 0.5 24 73 363 993 Upper 0.5 12 24 97 339 India: Our next focus of expansion India is poised to significantly grow its middle class Rising wealth and consumption will drive vinyl product
Slide 91: CIS: executing and exceeding our plan
Consumer and Industrial Specialties: executing and exceeding our plan ~$350 MM > $450 MM 2010E EBITDA Profile Achieve ? $100 million by 2009 2006E EBITDA CS IS Consumer Specialties Successful completion of revitalization APL: acquire, integrate and realize synergies Industrial Specialties: Revitaliz
Slide 92: Acetyl Intermediates
John Gallagher Executive Vice President and President, Acetyls and Celanese Asia Acetyl Intermediates
Slide 93: Acetyl Intermediates: leading global franchise
Acetyl Intermediates: leading global franchise of intermediate products 1Represents 2007 estimated third party net sales Celanese 2007 Revenue1: $6.5 B 2007 Op. EBITDA Margin (est.): ~20% Acetyl Intermediates Consumer and Industrial Specialties Advanced Engineered Materials 2007 Revenue1: $3.0 B 200
Slide 94: Differentiated intermediates with strong integration
Differentiated intermediates with strong integration into Celanese specialties Acetyl Intermediates (AI) Formaldehyde Acetic Acid Differentiated Intermediates Specialty Products Building Block Raw Materials Advanced Engineered Materials (AEM) Industrial Specialties (IS) Anhydride and esters Consumer
Slide 95: Acetyl Intermediates business model
Acetyl Intermediates business model: positioned to create sustainable value Attractive industry structure Leading technology with a steep cost curve Global footprint Significant capital efficiency Favorable supply/demand outlook Advantaged raw material supply Long-term growth opportunities
Slide 96: Why we like acetyls: attractive industry structure
VAM Acetic Acid (2007E) Why we like acetyls: attractive industry structure Global leader GDP plus 1-2% growth Well-structured Industry Source: Tecnon 2007, Celanese estimates 1Schedule for startup in 2008 Global leader GDP+ growth Benefits from upstream integration VAM (2007E) 1 Dairen 11% Celanese
Slide 97: Celanese technology drives leading operating costs
Celanese technology drives leading operating costs Source: Celanese estimates, available public data 2010E Acetic Acid Cost Curve (kt) (based on nameplate capacity) By- prod High Cost Supply Celanese Technology 0 2,000 4,000 6,000 8,000 10,000 14,000 Conventional MeOH/CO AOPlus(tm)/Leading Competiti
Slide 98: Aggressive protection of Celanese technology
Aggressive Protection of Celanese Technology Positive outcome from all patent protection activities undertaken to date Multi-million dollar judgments in Celanese's favor Actively track competitive activities and will continue to pursue instances of infringement Continue to improve and aggressively p
Slide 99: Nanjing advantages improve cost structure
Nanjing advantages further improve Celanese cost structure Celanese Estimates of Acetic Acid Delivery Costs' Percent (%) North Middle East. CE Nanjing America Indexed: China Average Costs = 100% Variable Coste = Fixed Coste = Freight Duty/Dizrubtion ‘Source’ Edemal benchmarkang, Celanese analysis *R
Slide 100: Global footprint positioned to capture emerging demand
A global footprint positioned to capture emerging demand Americas Europe Asia Acetic Acid 1,490 440 1,200 VAM 725 635 510 Anhydride 235 30 100 Esters 165 40 130 All values shown in kt per year 1Startup schedule for 2008 Singapore Acid = 600 VAM = 210 Esters = 130 Frankfurt, Germany VAM = 285 Esters
Slide 101: Lower capital intensity versus other acetyl complexes
Significantly lower capital intensity versus other new acetyl complexes Nanjing Phase 1: delivers capital advantage that is between ~2 to 3 times greater than all other acetyl projects Nanjing Phase 2: a fraction of Phase 1 capital for the same production capabilities Celanese capital efficiency: a
Slide 102: Less efficient new capacity reducing effective utilization
Historical Industry Effective Capacity1 Less efficient new capacity has been reducing effective utilization New entrants with less reliable acetic acid technology Significantly longer startup curves Higher number of outages Less reliable equipment Natural gas restrictions in emerging regions Further
Slide 103: Delays continue for acetyl projects
A Delays continue to be common for acetyl projects = Project delay Company announced startup A CE 2005 update CE 2006 update CE 2007 update 500kt Acetex (Tasnee) 150kt Sopo 150kt Fanavaran 200kt Lunan Cathay 200kt Wujing 150kt BP / Yaraco 300kt BP/FPC 2008 2007 2006 2005 425kt 550kt 600kt Capacity B
Slide 104: Acetic acid high utilization rates into 2010
Acetic acid high utilization rates continue into 2010 2004 2005 2006 2007E 2008E 2009E 2010E Low Cost 6919 7166 7694 8204 8798 9766 10388 12008E-2010E effective utilization based on external analysis assumptions Source: available public data Utilization of Effective Capacity1(Nov, 2007 ): 91% 93% 92
Slide 105: Acetyls remains an advantaged industry
Acetyls remains an advantaged industry Acetyls: differentiated and less cyclical versus mainstream commodities 1Source: Tecnon 2007 2Source: CMAI Acetyls Ethylene Advantage Industry Structure Attractive Top 2 producers1: ~50% of the global market Fragmented Top 2 producers1: ~ 15% of the total globa
Slide 106: Continued earnings stability
Continued earnings stability from Celanese structural improvements and market conditions - Chemical 4 coma Stable Acetyl Intermediates Operating c > Advantaged EBITDA Margin ‘ European a methanol * = > Producer-type § ** hal ethylene 2 economics > » Significant 3" | Vola thal Pies (USton | captive 6
Slide 107: Committed to delivering value creation
Group Asia Revitalization Innovation Organic Balance Sheet Operational Excellence EBITDA Impact Consumer and Industrial Specialties X X X X >$100MM Advanced Engineered Materials X X X X >$100MM Acetyl Intermediates X X X >$100MM Celanese Corporate X X Incremental EPS Operating EBITDA EPS Committed t
Slide 108: AI Operating EBITDA Growth Objectives
Operating EBITDA Growth Objectives (versus 2006 Baseline) An important contributor to the Celanese growth strategy Acetyl Intermediates is on track to deliver >$100 million in increased EBITDA profile by 2009 Continued strong growth in global acetyl demand supported by new Nanjing facility Successfu
Slide 109: Nanjing allows Celanese to capture growth in Asia
Nanjing allows Celanese to capture significant growth in Asia Successful startup of acetic acid facility in June 2007 Downstream acetyl products startup on schedule Acetic anhydride: 1H 2008 Vinyl acetate: mid-2008 Primary target is China and the rest of Asia ~$500 million of total additional revenu
Slide 110: Case study: Celanese growth in China
Case study: Celanese growth in China Normalized Celanese China Growth Growth supported by Singapore Facility China Growth (kta) Source: Celanese estimates and actuals; Tecnon 3Q 2007 database Successfully utilized Singapore plant to seed China growth Celanese growth supported by Nanjing Phase 1 Nanj
Slide 111: Beyond Nanjing: Asia outside of China
Beyond Nanjing: Asia outside of China 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 India Market Growth 360 425 450 480 504 530 562.9420065 597.9315146 635.095786 674.5699927 716.497708 Celanese growth supported by Singapore Facility Utilizing Singapore facility to become leading importer t
Slide 112: Consumer trends support long-term growth
Consumer trends support long-term growth 1-2% greater than GDP Key Trends End Market Increased Demand Acetyl Product Benefited Emerging Economies Paints, coatings, inks and adhesives used in residential and commercial applications VAM, Esters Demographics Pharmaceuticals Acetic Acid, Acetic Anhydrid
Slide 113: Capitalize on growth in vinyl emulsions systems
Capitalize on growth in vinyl emulsions systems Increasing vinyls' share of emulsion systems Formulation work continues to improve performance of vinyl systems relative to competing systems Opportunities to capture needs created by market trends (environment, lifestyle, convenience) Results in 300 k
Slide 114: Downstream integration drives earnings growth
Celanese Acetic Acid Volume Growth Using downstream integration to drive continued earnings growth Celanese merchant acetic acid volume has grown at 7% CAGR Forward integration into downstream specialty businesses has more than doubled since 2000 Merchant versus Downstream Specialty Integration 2000
Slide 115: Acetyl Intermediates: advantages support strong growth
Acetyl Intermediates: advantages continue to support strong growth Attractive industry structure Leading technology with a steep cost curve Global footprint Significant capital efficiency versus competing technologies Favorable supply/demand outlook through 2010 Advantaged raw material supply Long-t
Slide 116: Global Operational Excellence
Jim Alder Senior Vice President, Operations and Technical Global Operational Excellence
Slide 117: Global Operational Excellence
Global Operational Excellence Operational Excellence Culture Manufacturing and beyond Corporate sustainability Nanjing Competitive Advantages Demonstrated success Transferable platform for growth
Slide 118: Operational Excellence engrained in Celanese culture
Operational Excellence engrained in Celanese culture 2001 2002 2003 2004 2005 2006 2007 2008 Manufacturing Productivity Productivity Beyond Manufacturing Growth, Safety and Environmental Pre-IPO Today Manufacturing Beyond Mfg. Six Sigma Maintenance Excellence Mfg. Digitization Energy Excellence One
Slide 119: $1 billion/year overall productivity
2001 2002 2003 2004 2005 2006 2007E 2008B 0 49.2 142.9 215.5 296.5 412.7 489.8 49.2 93.7 72.6 81 116.2 77.1 90.7 524 Variable and Energy Cost Improvement $1 Billion / Year Overall Productivity Proven track record of productivity in all areas Fixed Cost Reduction Above Inflation $1.0 billion/year ove
Slide 120: Manufacturing productivity continues
Energy Usage (MM BTU/lb) What's Next Site specific projects Nanjing startup Pampa sale/shutdown Kelsterbach relocation (2011) Manufacturing productivity will continue in 2008 and beyond Accomplishments: 2001 - 2007 28% reduction > $150 million per year sustainable productivity > 40 % reduction vs. 2
Slide 121: Finance cost productivity
Finance Cost Productivity beyond manufacturing will also continue in 2008 and beyond What's Next Optimize Budapest shared service center Treasury function redesign Finance back office consolidation Consolidation and optimization of U.S. finance operations 5-day close Systems consolidation Shared ser
Slide 122: Proven safety and environmental performance
2006 Safety Performance (OSHA) Proven track record in safety and environmental performance CE One of the top performers in the chemical industry Reductions per unit of production: Air emissions 21% Waste generation 48% Energy usage 25% Greenhouse gas emissions 32% 2006 Environmental Performance (vs.
Slide 123: 2010 sustainability goals
2010 Sustainability Goals Corporate sustainability targets drive further improvement Energy Waste Air Emissions Greenhouse Gases Injury Rate East 20 25 30 30 70 8.5 North Employees Safer workplace Communities Improved environment Company Additional productivity What's Next Injury rate Greenhouse gas
Slide 124: Emissions reductions improve sustainability
Air (kg/T) Emissions reductions continue to improve sustainability 2001 2002 2003 2004 2005 2006 2007E 2008 2010E 0.904 0.843 0.823 0.828 0.659 0.618 0.57 0.46 North 45.9 46.9 45 43.9 Accomplishments: 2001 - 2007 37% reduction > 3 million ton/year CO2 reduction What's Next Further energy reduction N
Slide 125: Nanjing: from green field site to integrated complex
Nanjing: from "green field" site to integrated complex Site Entrance and Administration Building Early 2004 - Site Entrance Early 2003 - Plans Admin. & Maintenance Plant Infrastructure Acetic Acid Flare Photo omitted Photo omitted
Slide 126: Acetic acid and emulsions units operating
Acetic acid and emulsions units operating; two acetyl units under construction VAM Emulsions Acetic Anhydride Acetic Acid Photo omitted Photo omitted Photo omitted Photo omitted
Slide 127: Construction underway for two AEM units
Construction underway for two AEM units and one additional unit planned Compounding Celstran(r) 2009 - Plans GUR(r) Emulsions Complex Admin. & Maintenance Plant Infrastructure Acetic Anhydride Warehouse Compounding Acetic Acid Vinyl Acetate Monomer Celstran(r) Flare GUR(r) Photo omitted Photo omitte
Slide 128: Nanjing: key decisions positioned Celanese to generate value
Nanjing: key decisions have positioned Celanese to generate significant value 1. Ownership/Governance Global/Highest Local Offshore Local/In-house Basic Technologies Best-in-Class Technologies Natural Gas- based CO Coal Based CO ? Global/Highest 5. EHS Standards 6. Sourcing/Engineering ? Best-in-Cla
Slide 129: Ownership/Governance: go alone
257 1. Ownership/Governance: joint venture or go alone Go Alone decision provided flexibility and control Integrate Celanese units in all divisions Establish Celanese culture (i.e., safety, preferred employer) Select suppliers and vendors Protect intellectual property Keep 100% of profits Several ch
Slide 130: Level of integration: highly integrated complex
2. Level of Integration: highly integrated complex M e r c h a n t S a l e s Methanol Coal-based CO Ethylene ~40% 100% ~90% ~10% 100% 20% ~40% 100% Emulsions Acetic Acid GUR(r) Vinyl Acetate Polypropylene Celstran(r) 100% Polymer Resin Acetic Anhydride Compounding Infrastructure
Slide 131: Nanjing: facts and figures
Nanjing: facts and figures Acetic Acid Capacity - 600 kt (expandable to 1,200 kt) AOPlus(tm) Technology Acetic Anhydride Capacity - 100 kt Vinyl Acetate Monomer Capacity - 300 kt VAntage Plus(tm) Technology Celstran(r) Capacity - 4 kt (expandable to 8 kt) 2007 2008 Emulsions Capacity - 60 kt VAE - 4
Slide 132: Feedstocks: advantaged position with coal-based CO
263 Proven 2004-2010 gasification scorecard2 China 29 US 0 Reliable CO supplier (Wison) performance first five months >97% CO availability3 Low cost Significant cost advantage versus natural gas Synergies from co-production of methanol and CO 3. Feedstocks: advantaged position with coal-based CO 1Fr
Slide 133: Coal gasification cost advantage versus natural gas
Coal Gasification in China: Cost Advantage versus Natural Gas1 265 Nanjing: advantaged feedstock position with coal-based CO Coal has a 40% cost advantage vs. natural gas at current natural gas pricing Cost advantage likely to increase given relative coal versus natural gas reserves 1Proforma econom
Slide 134: AOPlus acetic acid technology
AOPlus(tm) Implementation in Clear Lake 4. Technologies: leading Celanese acetic acid technology (AOPlus(tm)) protected with patents 25 years of Celanese technology development integrated in Nanjing design Celanese patents worldwide 531 total with 473 active 400 additional applications Celanese pate
Slide 135: VAntage VAM technology
VAntage(tm) Implementation in Bay City Nanjing: leading Celanese VAM technology (VAntageTM) 0 350 1970 1975 1980 1985 1990 1995 2000 2005 Unit Capacity, kta Debottlenecking and Technology Technology Technology Technology Debottlenecking and Technology Technology Technology 2008 35 years of Celanese
Slide 136: EHS standards: safety and environmental excellence
5. EHS Standards: committed to safety and environmental excellence and environmental excellence and environmental excellence and environmental excellence and environmental excellence U.S. or China standards, whichever greater No significant environmental incidents to date China standards higher Inte
Slide 137: Sourcing/Engineering: lowest capital acetyl complex
Capital Intensity 6. Sourcing/Engineering: lowest capital acetyl complex in the world Information obtained from various press releases, 2007 China Acetic Acid Conference, and Celanese estimates CE Nanjing Local Chinese Sipchem 80 180 280 East 40 40 40 s g CE Nanjing vs. Local Chinese CE Nanjing vs.
Slide 138: Operational Excellence: integral part of value proposition
Operational Excellence: integral part of Celanese value proposition $300-350 million total capital $600-800 million revenue by 2010 $1 billion/year in 2001 - 2007 More in 2008 and beyond Sustained Productivity Nanjing: Demonstrated Success 2001 2002 2003 2004 2005 2006 2007E 2008B 0 57.2 184.5 310 4
Slide 139: Nanjing: platform for growth
Nanjing: platform for growth Successful Execution Expertise Scalable Portable Pursue. Premier. 1. Ownership/Governance Global/Highest Local Offshore Basic Technologies Natural Gas Based CO Acetic Acid Unit Joint Venture Local Best-in-Class Technologies Coal Based CO Integrated Complex Go Alone ? Glo
Slide 140: Value Creation
Steven M. Sterin Senior Vice President and CFO Value Creation
Slide 141: Building a case for value
Building a case for value 2007 financial update 2008 financial outlook Cash flow and capital structure strategy Case for improved value creation
Slide 142: Progression of Adjusted EPS outlook
Progression of Adjusted EPS Outlook Continued strength in 2007: increasing guidance Adjusted EPS guidance range increased to $3.26 to $3.31 per share Current full-year 2007 guidance range above high end of original estimates Continued strong global demand for acetyl products Ticona volume growth in
Slide 143: Realizing progress in 2007
2006 Rptd Oxo Disc. Ops. 2006 Base Strategy Market 2007E Base 1144 1144 1218 Add 74 71 Subtract 100 Total 1244 1144 1289 Realizing progress in 2007 1,280 - 1,310 85 - 90 56 - 61 Delivering on strategic growth objectives Consumer Specialties on track with revitalization Nanjing acetic acid plant star
Slide 144: Building a case for value
Building a case for value 2007 financial update 2008 financial outlook Cash flow and capital structure strategy Case for improved value creation
Slide 145: 2008 business outlook
2008 business outlook Volume growth >2x GDP across both transportation and non-transportation applications Aggressive cost control offsets continued high energy and raw material costs Significant progress expected in Nanjing production capabilities Advanced Engineered Materials Synergy capture from
Slide 146: 2008 expectations: Operating EBITDA
2006 Base 2006 Methanol 2007 Strategy 2008 Strategy 2008E 2008E Outlook Range Base 1092 1092 1177 1257 Add 85 110 60 Subtract 52 Total 1144 1287 Continue to deliver on growth objectives - expect to realize >50% of objectives by 2008 Operational Excellence expected to more than offset inflation Outlo
Slide 147: 2008 guidance additional items
2008 guidance Additional Items Affiliate Income1 $175 - $185 million Net Interest2 $200 - $210 million Depreciation and Amortization $300 - $310 million Share Count 169 million 1 Cost dividends and equity earnings 2 Net cash interest and interest expense Estimated Adjusted Tax Rate for Adjusted EPS
Slide 148: Building a case for value
Building a case for value 2007 financial update 2008 financial outlook Cash flow and capital structure strategy Case for improved value creation
Slide 149: Strong cash flow generation continues
Strong cash flow generation continues Strong operating results Lower cash taxes Working capital productivity 2008 estimate excludes Kelsterbach relocation Adjusted Free Cash Flow1 2006 2007E 2008E EBITDA/Net Interest 458 400 500 458 ~400 500 - 550 1 Adjusted free cash flow calculated as cash flow fr
Slide 150: Bias for growth and high-return projects
14% Difficulty of Realizing Value/ Skills or Competencies Required Low High Low High Bias for growth and high-return projects Return on Capital Deployed/ Value Creation Dividend Debt repayment Hold cash Returning Cash to Shareholders Asset expansion - low growth area Share repurchase Returning Cost
Slide 151: Cash flow and capital structure strategy
Cost Reduction & Revitalization Projects Growth Projects Core/Bolt-on Acquisitions Cash flow and capital structure strategy Share Repurchase Dividends Debt Repayment Execute Growth Strategy Optimize Capital Structure Cash Available for Strategic Use Cost Stability Flexibility Maximize shareholder va
Slide 152: Effective use of cash to create shareholder value in 2007
Effective use of cash to create shareholder value in 2007 Execute Growth Strategy ~$400 million Optimize Capital Structure ~$875 million ~$140 million APL for ~$110 million ~$30 million additional spend for synergies ~$60 million Industrial Specialties revitalization SG&A improvement Energy reductio
Slide 153: Current credit structure near investment grade
Current credit structure near investment grade Cost LIBOR +175 bps (step-down to 150 bps) Reduced annual interest cost by $50 - $60 million "Covenant-lite" structure supports growth strategy and flexibility to return cash to shareholders Stability Flexibility Term loan maturity not until 2014 Annual
Slide 154: Improved leverage profile
Improved leverage profile reduces risk and increases earnings Decrease in overall borrowing costs since 2005 Continued improvement in interest coverage ratio Improved capital flexibility Further debt reduction provides minimal value at this time 2005 2006 2007E 2008E EBITDA/Net Interest 4.3 4.9 5.9
Slide 155: Improvement in credit statistics
2005 2006 2007E 2008E East 0.172 0.224 0.225 0.238 Improvement in credit statistics Current performance at or above BB credit rating Financial performance and growth plans support current capital structure 1Adjusted FFO (Funds from Operations) equals Net Income plus D&A, Deferred Taxes, Non-Cash Cha
Slide 156: Capital structure and cash flow summary
Capital structure and cash flow summary Operating EBITDA Growth Objectives 2007 2008 2009 2010 AI 20 80 120 120 CIS 44 82 108 130 AEM 25 50 65 110 Clear Growth Objectives Improved Shareholder Value Operating EBITDA/Net Interest Increased Financial Flexibility Operating EBITDA Margin Improved Portfol
Slide 157: Building a case for value
Building a case for value 2007 financial update 2008 financial outlook Cash flow and capital structure strategy Case for improved value creation
Slide 158: Additional value in affiliates
Additional value in affiliates $20 $50 $10 $5 2007E Unreported Proportional EBITDA $85 $20 $30 $15 $15 2007E Reported Equity Earnings $80 $165 $40 $80 $25 $20 2007E Proportional EBITDA Subtotal AI <50% Infraservs AEM 45% Polyplastics AEM 50% Korea Engineered Plastics AEM 50% Fortron Industries Repor
Slide 159: Peer comparison of financial metrics
DOW PPG EMN ROH FMC CE FCF/Yield 0.051858056 0.038835515 0.041167458 0.042278652 0.05027073 0.068040892 3Yr Avg FCF Yield2 DOW PPG EMN ROH FMC CE EBITDA/Sales 0.14 0.15 0.14 0.18 0.2 0.196018315 3Yr Avg EBITDA/Sales2 DOW PPG EMN ROH FMC CE Emerging Market 0.12 0.09 0.14 0.2 0.15 0.28 Asia % of Sales
Slide 160: Significant shareholder value upside continues to exist
P/E Significant shareholder value upside continues to exist for Celanese Building a premier portfolio Pursuing aggressive and sustainable earnings growth Generating significant cash flow for reinvestment at very attractive returns 1Thompson Financial as of December 7, 2007, Company reports, Celanese
Slide 161: Key takeaways from today's meeting
Key takeaways from today's meeting Portfolio is stronger, more resilient It's the model - not the molecule Ahead of expectations and growth objectives More earnings growth opportunities identified Celanese culture: enabler
Slide 162: Appendix
© Celanese Appendix
Slide 163: Reg G: Reconciliation of Diluted Adjusted EPS
Reg G: Reconciliation of Diluted Adjusted EPS
Slide 164: Reg G: Reconciliation of Net Debt
Reg G: Reconciliation of Net Debt Net Debt - Reconciliation of a Non-U.S. GAAP Measure
Slide 165: Reg G: Reconciliation of Other Charges and Other Adjustments
Reg G: Reconciliation of Other Charges and Other Adjustments
Slide 166: Reg G: Equity Affiliate Data
Reg G: Equity Affiliate Data © Celanese
Slide 167: Reg G: Reconciliation of Operating EBITDA
Reg G: Reconciliation of Operating EBITDA
Slide 168: Reg G: Reconciliation of Operating EBITDA
Reg G: Reconciliation of Operating EBITDA
Slide 169: Reg G: Reconciliation of Operating EBITDA
Reg G: Reconciliation of Operating EBITDA
Slide 170: Reg G: Reconciliation of Operating EBITDA
Reg G: Reconciliation of Operating EBITDA
Slide 171: Reg G: Reconciliation of 2000-2006 Operating EBITDA
Reg G: Reconciliation of 2000 - 2006 Operating EBITDA
Slide 172: Reg G: Other Items Adjusted Total Debt, Adjusted Funds from Operations
Reg G: Other Items Adjusted Total Debt Adjusted Funds from Operations 2000 - 2006 Adjusted Free Cash Flow