Visteon Corporation · NASDAQ:VC
Visteon — Deutsche Bank Global Auto Industry Conference January 2014
48 slides from Visteon's conference presentation, Jan 15, 2014
Slide 1: Leveraging Core Strengths
Exhibit 99.1 Leveraging Core Strengths Deutsche Bank Global Auto Industry Conference January 2014
Slide 2: Forward-Looking Information
Forward-Looking not forward-looking particular customers, civil to and foreign restructurings, offset identified looking commitments exchange us; guarantees cost-reduction unrest; our orsubsidiaries statements, recover rates. ability Ford’s inincluding our our from employee ofPage ability filings st
Slide 3: Use of Non-GAAP Financial Information
Use reasonably Cash GAAP comparable measures can ofFlow Non-GAAP financial are and GAAP likely Adjusted predict. measures financial Financial to vary Page Free for from measures 3Information full-year Cash those Flowis presented. 2014, not used Because intended the throughout Company The notreconcil
Slide 4: Today's Objectives
Today and Performance We Will &Announce Present Visteon 2014 Full-Year Today Provide Guidance Status and Update Objectives on KeyPage Near-Term 4 Transactions Introduce Long-Term Outlook Supporting Investment Premise Review 2013 Key Accomplishments
Slide 5: Key Accomplishments and Performance
Page 5 Please see important disclosures regarding _Forward Looking Information_ and _Use of Non-GAAP Financial Information_
Slide 6: Page 6 Please see important disclosures regarding _Forward Looking Information_
Page 6 Please see important disclosures regarding _Forward Looking Information_
Slide 7: Climate Overview
TheIHS profile Climate (1) (2) 9.4% #2 Experienced Automotive unconsolidated Player, 10.4% with HVCC Climate and 13%unit 2013 successful Market share. Company StockShare leadership Price inQ3 the Performance 2013 World team YTD YH Overview Jan Financial Park Feb (CEO) #2 MarPerformance climate Apr w
Slide 8: Climate: A First
Climate: A First Using Competitor 0 Refrigerant Rapid Innovative Cabin B 400World Heating Technologies Competitor First2000 Efficient C&2001 Competitor Intellectual Thermal 2002 2003 DProperty Management 300 2004 Heat 2005 Innovative Pump 2006 by (As System 2007 Technologies of Dec 2008 for 31, Elec
Slide 9: Climate Product Platforms
Hyundai Genesis Mercedes Powertrain ECooling 300 Audi Jaguar Radiator, A8XK/XJ Center Charge Ford Radiator Air Transit Cooler BlueTEC A/CPage System, HYBRID 9 Please Powertrain Main see important Radiator, Coolingdisclosures A/C Condenser, Lines with regarding A/CIHX Lines Low-Temperature “Forward H
Slide 10: 2013 Ending Cash Balance of Approximately $1.7 Billion
2013 Total Visteon Ending Cash Balance of Approximately $1.7 Billion Page 10 (1) Approximately 6x 2013 EBITDA. Please see important disclosures regarding _Forward Looking Information_
Slide 11: SG&A Spend 2013-2014
2013-2014 SG&A business Spend Looking (1) activities Information” units $437 Transformation: with <= Center $410 greater –<= Historically admin Lean $380 Corporate responsibility Interiors – Visteon 2012 Staffand corporate 2013 Model capability 2014 Ongoing costs Actual • were SG&A •Outlook Implemen
Slide 12: 2014 Transformation: Exit Interiors
2014 Transformation: Expect impact as transactions cash outflows to Exit beand defined Interiors assetsas: retained Exit Stand-alone Interiors are expected Asian in 2014 JV toWe European equal are liabilities working customer toward transferred legacy a divestiture business Page 12 of Remaining Plea
Slide 13: 2014 Transformation: Acquire JCI Electronics
2014 largest by center “Use 2017 Transformation: ofto provider Non-GAAP Balanced supportofthis customer cockpit Financial transaction. Acquire electronics portfolio Information” JCIPage Auto (1) Transaction 13 Electronics Represents (2) Based highlights: Acquire on 9/30 estimates fiscal Johnson Purc
Slide 14: Visteon Post Acquisition Cockpit Electronics
Visteon the Information_ Major Electronics Forces in Market the HMIPresence Conversion Postof Acquisition the VehiclePro to the Forma _Largest MarketMobile Share Device Cockpita Electronics Consumer Will Key Ever Visteon Purchase_ CockpitPage Electronics 14 Please Markets see important Driver Inform
Slide 15: Transaction Rationale
Creates lines objective Electronics Balances world’s through Page global #2 15 economies driver Please manufacturing information seeofimportant scaleand and supplier R&D disclosures synergies and footprint #3 Purchased regarding provider with leadership at of _Forward attractive cockpitinLooking ele
Slide 16: Electronics Products and Vehicle Applications
Ford Focus/BEV Display Information” Cluster, Display Ford F-Series and Audio Trucks Head Ford Unit Explorer ClusterMulti JaguarFunction XJ AcuraDisplay MDX and Cluster Cluster, and Infotainment Display and Audio Climate Display Control HD/Satellite Page 16 Please Radiosee Head important Unit Ford di
Slide 17: Electronics Products and Vehicle Applications
Camaro Coupe Audio/Infotainment disclosures regarding Convertible Lighting “Forward Mazda Control Looking 2 Hyundai Module Information” Volvo Santa Fe XCPremium 60/70 Chevrolet Audio Amplifier Volt Renault FuelLogan Delivery Family Module Entertainment Climate Controls SystemMahindra Fuel Pump Boler
Slide 18: LightScape Video Clip
LightScapeTM Video Clip Page 18 Please see important disclosures regarding _Forward Looking Information_
Slide 19: Visteon Investment Premise
Visteon 2012 in businesses share Shareholder Visteon Committed repurchases Investment Electronics with Value industry-leading toauthorized Page Premise Creating Agreement 19 Please Continue Value through technologies to see Through acquire end important to Progress of Strategic JCI 2015 Strong discl
Slide 20: 2017 Targets
2017 Targets: EBITDA 51.4M regarding Financial “Forward Information” ~45.5M (2013 Information” “Forward Looking The ~40.2M Definition) Investment Information” Looking (1) 22%2013 Adjusted Information“ (1) Premise and (3) 2013Assumes 2014 67% and Guidance ~$1,000M exclude 2014 (3)$400 Assumes exclude
Slide 21: Deutsche Bank Global Auto Industry Conference
Deutsche Bank Global Auto Industry Conference January 2014
Slide 22: Strong Financial Performance in 2013
Strong Free not disclosure important include Cash Financial disclosures Flow will potential be$102M Performance provided impact regarding $145-185M inof2013 inKorea _Forward 2013 10-K 62% Supreme 2012 filing. Wt. Looking 2013 Avg. Court (1) Guidance Shares Information_ 49.4 ruling million 53.3M 2013
Slide 23: 2013 Full-Year Outlook
2013 Full-Year EBITDA Cash Labor _Use Flow of Ruling Non-GAAP atto top be Page Current end in 23 line or Financial (1) slightly with Outlook Excludes Free Information_ above 2013 Cash YFV EBITDA Current million transaction Guidance million guidance impact guidance Outlook Flow andExpect any range (1
Slide 24: Adjusted EPS
Adjusted related to EPS Korean Guidance labor ruling. of $5.00 Please to $6.26 see important _ Divesteddisclosures Yanfeng Affiliates regardingExpected _ForwardtoLooking Contribute Information_ ~$2.75 to 2013 and _Use Adjusted of Non-GAAP EPS Page 24 Financial (1) Excludes Information_ YFV transacti
Slide 25: 2014 Guidance
(Assumes Full Year of Interiors Operations / Excludes Impact of JCI Acquisition) Deutsche Bank Global Auto Industry Conference January 2014
Slide 26: Adjusted EBITDA Definition Recast
Adjusted controlling significantly EBITDA Recast Non-GAAPGuidance Current EBITDA interest Financial benefited Income Definition Definition beginning Information_ from % Margin equity $626 with Change $690 first income. 7.7% (Dollars quarter Remove 8.1% Postin 2014 2013 the Equity Millions) Yanfeng f
Slide 27: OEM Production Volumes and Largest Customers
20140.4 Sales) 19.6 4% Meaningful conjunction 1.8% OEM vs. Ford 0.5 2017 North 20.2% Production 11% Step with vs.America 1.4 Toward customer Hyundai Hyundai 1.5Volumes 2.0% 2017 Ford data // Kia All Hyundai Targets 8% to IHS Other 21% develop 3.1 Production 5.6 Despite 33.0 / 4.1 Kia 5.7 Visteon_s (
Slide 28: Strong Three-Year Backlog
Strong Bank than (Excluding important 2012) Conference, Three-Year disclosures Visteon Interiors Visteon Backlog current and regarding JCI disclosed three-year for Electronics) Climate _Forward anbacklog $800 &2013E Looking Electronics million forSales core Information_ backlog Visteon 2013E Climate
Slide 29: 2014 Free Cash Flow Guidance
2014 Cash $125 Depreciation Payments YFV of Information” YFVE Transaction Guidance M Flow (ex. and $55 Free Restr., and the M(1) Cash $50 Amortization exit Note: “Use 2013E Transaction-Related M of Flow of Does YFV Capital Non- 2014E (2)not Interiors. $40 $265 (3) Spending include Midpoint 2013 M—$8
Slide 30: 2014 Full-Year Guidance Walk
2014 Full-Year Other Volume, Note: Information” Does Consol) NBWs, notGroup Guidance include Equity Wins impacts Non- Walk 2013 Consol Product ofMidpoint Interiors andSales Legacy 2014 divestiture $7.7B Midpoint Climate $7.8B or JCI and Adjusted $7.4B Electronics Net$0.3B Income EBITDA ($0.2B) acqui
Slide 31: 2014 Adjusted EPS Build-up
2014 Corporate 31 Information_ (1)EPS Primarily Adjusted Build-up reflects 2014 EPS corporate Expense AdjustedCosts administrative EPS (Midpoint (1) 2014 Adjusted costs Values) which $1.70 EPSareReflects ($0.45) held centrally. Strength ($0.30)Please ($0.90) at Climate see $3.80 important and($1.20)
Slide 32: U.S. NOL Update
U.S. NOL million Excluding (350) Post-Emergence Shield important (350) up of to disclosures post-emergence Update Potential Additional $200Attributes, Million U.S. NOLS regarding NOLs NOLof NOLs U.S. Including Additional development Expected _Forward Post-Emergence at theForeign end in Gains 2014 Lo
Slide 33: 2014 Objectives
2014 Objectives Electronics’ placement Visteon Focused ofstrategy business Maintain on Continuing and Drive global Focus Further position toonDrive Core Overhead and Shareholder Value-Creating integrate Cost Savings Value JCIAssets Electronics Page Continue Climate 33 Please Integrate to and execute
Slide 34: Deutsche Bank Global Auto Industry Conference
Deutsche Bank Global Auto Industry Conference January 2014
Slide 35: 2014 Exchange Rate Assumptions and Risks
2014 Euro: Opportunity (2) Excludes Exchange $0.05 Increase Related hedges. Rate to Assumptions $100 the $25 Euro+20 and (1) bps Risks Effective Won Related 1,117 Rate 1,093 tow/ theImpact Won: Korean25 ofWon KRW Hedges and Decrease 2014 IndianImpact Rupee $30 ($12) of_ Movements In(20) Total, BpsCu
Slide 36: Significant New Business Wins
SignificantFull Incremental (Including Songjiang. New New Year Business Rewins of Songjiang) Climate Awards inBusiness Note: 2013Wins (Dollars 73% and Visteon rewins in Millions) was for Awarded Climate Consolidated and Over Electronics $1.8 WinsBillion andonly. Rewins of Excludes Incremental Produc
Slide 37: Restructuring Activities
Executing approximately activities $100 Costs million ~ $50 Right-sizing $100 ~although $100 $100 Million ~million $50 European some Restructuring 2013 to outflows allow 2014 activities the Announced will Program company inline occur(Dollars with inRestructuring to 2014 further anticipated in This M
Slide 38: 2014 Estimated Tax Provision and Cash Taxes
2014 Full-Year Estimated Tax Provision of Approximately $135 Million _ Estimated Cash Taxes of Approximately $170 Million Page 38
Slide 39: Cash and Debt Balances and Share Repurchases
SharePaydown actions Transactions YFV received Repurchases asprior part• to Progressing of Cash 9/30/2013. $100 $ Other 993 million (1) plans Estimated ($program 101) to divest ~Consol ($to120) Interiors further Cash $ 93 reduce Visteon business ($ 27)cost ~Expects •$Plans $862 1,700structure, to Ye
Slide 40: Reconciliation: Adjusted EBITDA
Reconciliation: /High-end Interest (258) —Other ——Net NCI)(265) $529 expense, non-operating Income Mid-point (265) $590 2012-2014, attributable net (265) $600 Adjusted (35) costs, $610 (285) (40) 2017 to $660 net (285) EBITDA (40) Visteon (26) Adjusted $680 (40) (285) ——(30) (2012 $100 (40) $700 (31
Slide 41: Reconciliation: Adjusted EPS
Reconciliation: Climate (50) (10) outstanding, (50)Electronics (10) (50)diluted (10) (20) (10) 2013-2014 (20) ——(10) Interiors 51.4(20) 51.4 Adjusted ——(20) Other Corp 51.4 Mid-point non-operating 45.5 EPS (20) 45.5 2013 Equity 45.5 Net FYcosts, Income 45.5 investment Guidance 45.5 net(loss) ——(30)
Slide 42: Reconciliation: Free Cash Flow
Reconciliation: 2012-2014, 2017 Free Cash Flow Page 42
Slide 43: Deutsche Bank Global Auto Industry Conference
Deutsche Bank Global Auto Industry Conference January 2014
Slide 44: HVCC: World-Class, Innovative Product Portfolio
HVCC:TOC) Compressor EHRS, World-Class, power in oneconsumption cooler Innovative Customer reduced Product Benefits Portfolio by 20% COCompact 2IHX emission Sub-Cooled andreduction reliable Water A/C andCooled system improved Condenser Design fuel economy freedom Main water-cooled of (2-3%) packagin
Slide 45: HVCC: World-Class, Innovative Product Portfolio (cont'd)
HVCC:Smart Personalized Using brushless World-Class, blower Phone and motor spot Climate Innovative cooling/heating (5-10%) control Wireless Product software/hardware Supplemental Portfolio and remote(cont_d) system control integrated Adaptive toofoccupant HVAC intoTemperature BLDC unit sensor Simpl
Slide 46: Horizon Cockpit Concept
Horizon technologies the these features/content communications connected occupants human cockpit_s technologies machine Cockpit can experience become dual-layered interact interface in network Concept provide thecognitively to with cluster the (HMI). yet This display. aconnectivity cloud. compelling
Slide 47: New Product Technologies
New Product Resolution Access Brands Off-Board OpenAir™Content LightScape™ and Services Premium ColorAudio Display & Connected Infotainment Audio Products Display Premium Only Native Instrumentation Apps, Enhanced Products HMIOpen Display Architecture and Mechanical Reconfigurable GaugesHMI Command
Slide 48: www.visteon.com
www.visteon.com
Visteon — Deutsche Bank Global Auto Industry Conference January 2014 on 6ix