Slide 1: Analyst Presentation - Half Year Results 30 June 2003
CAPRAL ALUMINIUM Analyst Presentation - August 2003 Half Year Results 30 June 2003 Capral Strategy Greg L’Estrange — Managing Director Nigel Chalk — Finance Director Page 1
Slide 2: Half Year Results 30 June 2003
Presentation Half Year Results 30 June 2003 a a -
Slide 3: Earnings Summary
arnings Summa Half Year 30 June 2003 Revenue from operating activities Revenue from outside the operating activities Total Revenue EBITDA D&A EBIT Interest Expense (LossyProfit Before Taxation _ Taxation Expense/(Benefit) NPAT 7200s 20a 186,181 230,228 483 1,463 186,664 231,691 2,856 12,083 6,203 6,
Slide 4: Half Year June 2003 Revenue and EBIT
Half Year 30 June 2003 Revenue from operating activities Sales Revenue Australia - core business Sales Revenue Australia - closed business Sales Revenue New Zealand Other (primarily scrap sales) * LME movement year on year represents a shift of approximately $290 per tonne generating a notional reve
Slide 5: EBIT Year over Year Variance
Year over Year IT Volume Pricing Freight Overheads FX Significant Items NZ Interest Income EBIT Variance Description _ 000's | _ Driver EBIT HY 02 5,896 EBIT HY 03 (3,347) EBIT Variance 6,243) (6,920) De-stocking by major Fabricator and Distributor customers / Low er production volurres / transition
Slide 6: Half Year vs Sales Tonnes by Segment
Half Year 02 vs 03 Sales Tonnes by Segment Architectual Industrial Automotive Centres @ 2002 13465 10768 1480 3702 2003 13136 9171 1348 3488 Page 6
Slide 7: SS MM MM Sh Sh Ry SM SP PP PP PS
SS MM MM Sh Sh Ry SM SP PP PP PS ¥ & RS < Ro ys y we of o Roe & Ff & Ro ys e ys » Page 7
Slide 8: Overheads Half Year June 2003
Half Year 30 June 2003 Warehouse Overheads Selling Expenses Information Technology Corporate Overheads Total Australia New Zealand Total "= O00s” “2002 HY | 2002 FY 4,874 9,089 4,501 15,488 31,446 15,478 4,335 8,842 4,213 6,017 13,484 6,620 30,714 62,861 30,812 0 4,095 4,095 30,714 66,956 34,907 Pag
Slide 9: Balance Sheet Half Year 30 June 2003
2003 HY | 2002 FY. 2002 HY | Current Assets & Liabilities Half Year Cash 3,442 5,249 6,133 30 June Receivables 59,317 59,708 66,515 2003 Inventories 49,390 47,797 59,210 Payables (42,909) (49,383) (53,284) Borrowings (40,058) (10,048) (20,048) Provisions (11,374) (10,412) (10,614) Other 2,566 3,328
Slide 10: Operating Working Capital Performance
Performance Current Assets Receivables Inventories Other Current Assets Current Liabilites Payables Other Provisions Operating Working Capital Movement - Year on Year Decrease / (Increase) Operating Working Capital (excluding Borrowings, Cash & Taxation) | 2008 HY | 2002 FY | 2002 HY 59,317 | 59,708
Slide 11: Cash Flow Half Year June 2003
sue lo Half Year 30 June 2003 2003 HY =| 2002FY | 2002 ny Net Cash inflow /{Outflow) from Operating Activities {4,633} 45,652 15,859 Cash Flows from Investing Activities Capital Expenditure (28,632) (41,051) (14,624) Proceeds from Sale of PP&E 514 19,050 1,169) Payments for Intangible Assets it) (2,
Slide 12: Funding Arrangements
unding Arrangements Bremer Park and Campbellfield 5 Yr Term Facility «5 year term facility with ANZ $49m (export guaranteed portion) * Backed by export credit guarantees Hermes/SACE « Major equipment suppliers SMS Eumuco Trevisan Comeial Engineering 3 Yr Core Facility ANZ * Commercial bill facility
Slide 13: Bremer Park and Campbellfield
X Bremer Park and Campbelilfield Budget Spent To Spend Bremer Park $76.4m $39.8m $36.6m Campbellfield $17.1m $11.0m $6.1m Total $93.5m $50.8m $42.7m Page 13
Slide 14: Business
Business Page 14 Coe
Slide 15: Reduce Costs
¢ Reduce Costs ¢ Improve Service ¢ Improve Flexibility Co Ora Page 15
Slide 16: Cost Reduction
Cost Re uction Lever Progress _ ‘Completion _—_—| Target __ One System All sites completed October 2003 $2m p.a. except NSW saving by Distribution 2005 Warehousing | *Campbelifield “Victoria and NSW by | $6m p.a. Overhead construction Jan 2004 saving by commenced *Queensland by 2005 «Homebush Sold D
Slide 17: Improve Service
Improve Service One System — move from 4 business systems to 1 Introduction of Advanced Planning & Optimisation to give end-to-end visibility through the supply chain Warehouse and Stock consolidation — reduces complexity and damage improved freight arrangements through Capral operated hubs Reductio
Slide 18: Improved Flexibility
Improved Flexibili Modernised plant allows Capral to meet market demand shifts Reduced warehouse and overhead improves bottom of cycle performance Additional capacity can be added at marginal cost and modest capital Page 18