Algoma Central Corporation · TSX:ALC
Algoma Central — Shareholder Meeting (May 2020)
26 slides from Algoma Central's shareholder meeting presentation, May 1, 2020
Slide 1: 2020 Annual General Meeting of Shareholders
2020 Annual General Meeting of Shareholders Your Marine Carrier of Choice
Slide 2: Forward Looking Statements
Forward Looking Statements Certain statements in this document about our current and future plans, expectations and intentions, results, levels of activity, performance, goals or achievements or any other future events or developments constitute forward-looking statements. Forward-looking statements
Slide 3: Marine Carrier of Choice
Marine Carrier of Choice 3 UF Lf @ TEAMWORK PASSION INTEGRITY We are stronger We are committed We are honest, we together. in heart and mind, are courageous we are driven and and we always we are proud. strive to make the right choice. r Sb OWNERSHIP SUSTAINABILITY We take We believe in our accounta
Slide 4: Celebrating 120 Years
Celebrating 120 Years
Slide 5: Dividends
Dividends $0.14 $0.12 Q2 - 2020 $0.10 Dividend $0.08 $0.12 $0.06 $0.04 $0.02 $— 5 5 5 5 01 201 201 201 201 201 6 6 16 16 17 17 17 17 18 18 18 18 19 19 19 19 20 20 2 - 20 - 20 - 20 - 20 - 20 - 20 - 20 - 20 - 20 - 20 - 20 - 20 - 20 - 20 - 20 - 20 Q 1- Q2 - Q3 - Q4 - Q1 - Q2 - Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q
Slide 6: 2019 Operational Highlights
2019 Operational Highlights The Algoma Conveyor, the eighth new Equinox Class vessel, arrived in Canada and began operations at the start of the 2019 navigation season. Completed integration of the Algonorth into the product tanker fleet and acquired and integrated the Algoterra into the fleet in Ap
Slide 7: Sustainability Highlights
Sustainability Highlights 2019/2020 Installing ballast water treatment systems on 5 ocean self-unloaders and a test unit on our newest Equinox Class vessel. 15% Reduction in Lost Time Injuries 19% 4.3/5 Compared to 2018. Reduction in GHG emissions since 2009 Green Marine Score 11 Dry-bulk fleet, per
Slide 8: 2019 Financial Highlights
2019 Financial Highlights REVENUE EBITDA Return on Revenue Assets Equity Outside of Canada Outside of Canada 12% 22% 3.5% 46% 61%
Slide 9: Delivering Our Strategy 2018 to 2019
Delivering Our Strategy 2018 to 2019 2019 Objectives 1. Develop talented pool of Canadian Seafarers ☑ 2. Acquire and integrate new product tankers ☑ 3. Increase vessel availability ☒ 4. Acquire and integrate 3 ocean self-unloaders ☑ 5. Improve return on Global Short Sea Shipping ☒ 6. Prepare for IMO
Slide 10: Strategic Focus 2020 Objectives
Strategic Focus 2020 Objectives 1. Optimize fleet availability 2. Ensure long-term availability of qualified seafarers. 3. Efforts to ensure we are at the forefront of compliance with changing environmental stewardship expectations. 4. Completion of vessels under construction. 5. Focus on reducing o
Slide 11: Domestic Dry-Bulk 2019 Financial Highlights
Domestic Dry-Bulk 2019 Financial Highlights Revenue EBITDA Domestic Dry-Bulk 2019 2019 2018 2018 $— $50 $100 $150 $200 $250 $300 $350 $— $10 $20 $30 $40 $50 $60 $70 Revenue Days Commercial Utilization 2019 2019 2018 2018 — 1,000 2,000 3,000 4,000 5,000 6,000 —% 25% 50% 75% 100% 125%
Slide 12: Product Tankers 2019 Financial Highlights
Product Tankers 2019 Financial Highlights Revenue EBITDA Domestic Dry-Bulk 2019 2019 2018 2018 $— $25 $50 $75 $100 $125 $150 $— $5 $10 $15 $20 $25 $30 $35 Vessel Days Commercial Utilization 2019 2019 2018 2018 — 500 1,000 1,500 2,000 2,500 3,000 3,500 Algoma Fleet Chartered Vessels —% 25% 50% 75% 10
Slide 13: Ocean Self-Unloaders 2019 Financial Highlights
Ocean Self-Unloaders 2019 Financial Highlights Revenue EBITDA Domestic Dry-Bulk 2019 2019 2018 2018 $— $25 $50 $75 $100 $125 $150 $— $10 $20 $30 $40 $50 $60 Revenue Days Commercial Utilization 2019 2019 2018 2018 — 500 1,000 1,500 2,000 2,500 —% 25% 50% 75% 100% 125%
Slide 14: Global Short Sea 2019 Financial Highlights
Global Short Sea 2019 Financial Highlights Revenue Joint Venture Earnings (Excluding Impairment) Domestic Dry-Bulk 2019 2019 2018 2018 $— $50 $100 $150 $200 $250 $300 $— $2 $4 $6 $8 Number of Owned Vessels at Year End NACC NASC NABH — 5 10 15 20 25 2019 2018
Slide 15: 2020 First Quarter Results
2020 First Quarter Results Revenue EBITDA $— 2020 $(2) $(4) 2019 $(6) $(8) $— $10 $20 $30 $40 $50 $60 $70 $80 $90 2020 2019
Slide 16: Domestic Dry-Bulk Q1 2020
Domestic Dry-Bulk Q1 2020 Revenue EBITDA Domestic Dry-Bulk $— $(5) 2020 $(10) $(15) 2019 $(20) $(25) $— $3 $5 $8 $10 $13 $15 $18 $20 $23 2020 2019
Slide 17: Product Tankers Q1 2020
Product Tankers Q1 2020 Revenue EBITDA Domestic Dry-Bulk 2020 2020 2019 2019 $— $5 $10 $15 $20 $25 $30 $— $1 $2 $3 $4 $5 $6
Slide 18: Ocean Self-Unloaders Q1 2020
Ocean Self-Unloaders Q1 2020 Revenue EBITDA Domestic Dry-Bulk 2020 2020 2019 2019 $— $5 $10 $15 $20 $25 $30 $35 $40 $— $2 $4 $6 $8 $10 $12 $14
Slide 19: Global Short Sea Q1 2020
Global Short Sea Q1 2020 Revenue EBITDA Domestic Dry-Bulk 2020 2020 2019 2019 $— $10 $20 $30 $40 $50 $60 $70 $— $1 $2 $3 $4 $5
Slide 20: 2020 Outlook
ALGOMA NIAGARA ST CATHARINES IMO 9619270
Slide 21: COVID-19 Update
COVID-19 Update
Slide 22: COVID-19 Mitigation Measures
COVID-19 How are incidents stopped? Mitigation Measures What are we doing about them? Incident stopped by improved working conditions Incident stopped by Conditions improved human on the job behaviours site Incident stopped by improved management No Incidents! systems
Slide 23: 2020 Outlook Our Core Businesses
2020 Outlook Our Core Businesses Domestic Dry-Bulk Product Tankers Ocean Self-Unloaders • Fuel demand for • Reduction in volumes • Pandemic expected to aviation & automotive affect construction expected to drop. • Iron & steel markets will markets. be down. • Focus on efficiency. • Impact on power •
Slide 24: Sustainability
Sustainability Environment Safety Carbon reduction continues to be a focus We remain committed to our ultimate goal for Algoma and the shipping industry. of ZERO lost time injuries. 25% 15% GHG Reduction Reduction in lost time Core Values Target by injuries 2025 “We believe in our people, we care Wh
Slide 25: Questions?
Questions?
Slide 26: Thank You
Thank You