Sulzer Ag · SIX:SUN

Sulzer — Investor Day (September 2004)

21 slides from Sulzer's investor day presentation, Sep 13, 2004

  1. Slide 1: Sulzer Hexis: Heat and Electricity for Family Homes

    Sulzer Hexis Heat and Electricity for Family Homes Roland Diethelm, President Capital Market Day 2004 / Roland Diethelm / page 1

  2. Slide 2: Our Business: Heat and Electricity for Family Homes

    Our Business: Heat and Electricity for Family Homes Sulzer Hexis „ Narrow focus on „ Solid oxide fuel cell (SOFC) „ Fuel cell system for single family homes „ Combined Heat and Power (CHP): best technology in low-power range „ Higher electrical efficiency „ Lower emissions „ Lower maintenance and op

  3. Slide 3: Industries Playing the Fuel Cell Game

    Industries Playing the Fuel Cell Game Sulzer Hexis „ Utilities EWE, EON, RWE, EnbW, etc. „ Oil / Gas Shell, Aral, Aramco, etc. „ Energy equipment Siemens, GE, Alstom, etc. manufacturers „ Heating equipment Bosch, Vaillant, etc. manufacturer „ Fuel cell companies Ballard, Plug-Power, etc. „ Automotiv

  4. Slide 4: Why Is There a Bright Future for Fuel Cells?

    Why Is There a Bright Future for Fuel Cells? Sulzer Hexis „ Natural gas is becoming the fuel of choice in Europe „ Electricity prices demonstrate continued volatility „ Power quality is emerging as a critical issue in today’s digital society „ Environmental sensitivity is increasing „ End users beco

  5. Slide 5: Financial Expectations

    Financial Expectations Sulzer Hexis „ Units sold 2005: First batch of next-generation 2006: First commercial sales 2007: Market > 1’000 units/year 2008: Market > 2’500 units/year „ Market share 2010: >50% for 1 kWe fuel cell systems „ Sales 2010: Mass market >10’000 units/year „ Cash needs Approx. 2

  6. Slide 6: Plan for Going Forward (I)

    Plan for Going Forward (I) Sulzer Hexis We follow a consistent product/market philosophy to build-up trust and market acceptance: 1998 Functional „ First field test >90’000 hrs demonstrator „ Market reaction, acceptance of concept 2001 Pre-series product „ Optimized components (function/cost) HXS 10

  7. Slide 7: Plan for Going Forward II

    Plan for Going Forward II Sulzer Hexis Design Costs Manufacturing Gas Heating Supply Chain Management Industry R&D (Materials) Market Price Lifetime Cumulative Experience Needs + Value Market Validation Market Channel (going to market) Promotion /Communication Capital Market Day 2004 / Roland Diethe

  8. Slide 8: Design to Cost

    Design to Cost Sulzer Hexis HXS1000Premiere Project Galileo Mk I Project Galileo Mk II Weight/Volume: 350 kg/100% 223 kg/70% 170 kg/40% „ 110 systems installed and 30 systems in operation or Further reduction of operating under real under construction: manufacturing costs conditions „ CE-approval in

  9. Slide 9: Design to Cost: Manufacturing costs per system

    Design to Cost Sulzer Hexis 100% HXS1000 Mfc. costs/system (%) 80% Galileo Mk I 60% Galileo Mk II 40% Acceptable manufacturing costs for mass 20% market product (10’000 +) 0% 1 2 3 Capital Market Day 2004 / Roland Diethelm / page 9

  10. Slide 10: Design to Cost

    Design to Cost Sulzer Hexis Current collector HXS1000Premiere: Air Cathode „ Two-plate design including Fuel: reformed Electrolyte Anode heat exchanger natural gas (H2, CO) Galileo: single plate design, separation of Low cost thermal insulation/heat heat exchanger exchanger Current collector Fuel An

  11. Slide 11: Mass Producers as Suppliers

    Mass Producers as Suppliers Sulzer Hexis SMA/D: „ DC/AC inverter Market leader D & USA Kromschröder/D: „ Safety electronics Ruhrgas/EON company Gastec & Aluheat/NL: „ Burner First class OEM EU „ Heat exchanger „ CE approval Nippon Shokubai/J: „ Electrolytes Mass producer ceramics Plansee/A: „ Curren

  12. Slide 12: Plan for Going Forward III

    Plan for Going Forward III Sulzer Hexis Design Gas Heating Costs Manufacturing Supply Chain Management 9 Industry R&D (Materials) Market Price Lifetime Cumulative Experience Needs + Value Market Validation Market Channel (going to market) Promotion /Communication Capital Market Day 2004 / Roland Die

  13. Slide 13: Market Validation: Field Experience of Our Series Product

    Market Validation: Field Experience of Our Series Product Sulzer Hexis „HXS1000Premiere 2002 2003 2004 Production and installation of > 100 pre-series systems „Project «Galileo» Field testing Development of Galileo Mk I > 15 Units 1. 2. 3. 4. Milestones: 1. Modular concept 2. Selection suppliers 3.

  14. Slide 14: Lifetime: Impressive Improvements From the Field

    Lifetime: Impressive Improvements From the Field Sulzer Hexis Capital Market Day 2004 / Roland Diethelm / page 14

  15. Slide 15: Plan for Going Forward IV

    Plan for Going Forward IV Sulzer Hexis Design Gas Heating Costs Manufacturing Supply Chain Management 9 Industry 9 R&D (Materials) Market Price Lifetime Cumulative Experience Needs + Value Market Validation Market Channel (going to market) Promotion /Communication Capital Market Day 2004 / Roland Di

  16. Slide 16: Channel to Market: Partners & Systems Installed

    Channel to market: Partners & Systems Installed Sulzer Hexis Status August 2004 Die Energie-AG. Capital Market Day 2004 / Roland Diethelm / page 16

  17. Slide 17: Channel to Market: Strong Fuel Cell Lobby

    Channel to Market: Strong Fuel Cell Lobby Sulzer Hexis Initiative Brennstoffzelle (www.ibz-info.de): „ Support for fuel cells (suppliers, system manufacturers) „ Communication „ Lobbying Æ public support (“100’000 Keller Programm”) Capital Market Day 2004 / Roland Diethelm / page 17

  18. Slide 18: Plan for Going Forward V

    Plan for Going Forward V Sulzer Hexis Design Gas Heating Costs Manufacturing Supply Chain Management 9 Industry 9 R&D (Materials) Market Price Lifetime Cumulative Experience Needs + Value Market Validation Market Channel (going to market) Promotion /Communication ¾ Capital Market Day 2004 / Roland D

  19. Slide 19: Project Galileo is on Track

    Project Galileo is on Track Sulzer Hexis „ First 15 systems are operational „ One Galileo system is operating for more than 3’500 h at a degradation of approx. 5%/1000 h (680 We Æ 550 We) „ First systems are operating in homes of Hexis employees „ New stack design proves power output of >1’000 We „

  20. Slide 20: Questions?

    Questions? Capital Market Day 2004 / Roland Diethelm / page 20

  21. Slide 21: Safe Harbor Statement

    Safe Harbor Statement Sulzer Hexis THE SAFE HARBOR STATEMENT UNDER THE US PRIVATE SECURITIES LITIGATION REFORM ACT 1995 This presentation contains forward-looking statements, including, but not limited to projections of future performance of materials and products, containing risks and uncertainties

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