Shiner International — Investor Presentation (February 2011)
24 slides from Shiner International's investor presentation, Feb 17, 2011
Slide 1: Shiner International, Inc. Investor Presentation
Shiner International, Inc. INVESTOR PRESENTATION February 2011 Flexible Packaging Solutions Provider
Slide 2: Haikou Industrial Park Base
Slide 3: Safe Harbor Statement
Safe Harbor Statement This presentation includes or incorporates by reference statements that constitute forward- looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements relat
Slide 4: Company Overview
v v Company Overview One of the Largest Flexible Packaging Manufacturers in China and Emerging Leader Globally, with over 50 customers in 20 countries Focused on value-added, specialty packaging using proprietary film structures Headquarters in Haikou, P.R.C.; facilities in Hainan and Zhuhai R&D Cen
Slide 5: Investment Highlights
Investment Highlights Most of Shiner’s customers are the industry leaders, such as “Shineway”, a leading meat processor; “Master Kong’, a leading producer of instant noodles; “Want Want”, a leading biscuit company. Customer-Tailored Packaging Solutions: Shiner has strong research capabilities and is
Slide 6: China Flexible Packaging Growth Drivers
China Flexible Packaging Growth Drivers * China's packaging industry remains the world's third largest packaging market and worth over USD 81 billion. * Consumers are trading up from unpackaged goods, a traditional and large market in China, to branded and packaged alternatives. * Modern Chinese con
Slide 7: International Flexible Packaging Growth Drivers
International Flexible Packaging Growth Drivers + Worldwide demand for converted flexible packaging is forecast to grow 3.6 percent per year to over 19 million metric tons by 2013. + Demand for converted flexible packaging products will benefit from the environmentally friendly image of these produc
Slide 8: Leading Products
Leading Products oe He Applications: = Commercial Packaging = Food and Beverage = Medical/Surgical = Pharmaceutical = Cosmetics = Consumer Products Gh 2a FF rc Benefits: = Reduces waste = Lower energy requirements = Extended shelf life = Easy storage = Lower weight = Environmentally friendly
Slide 9: Products Categories
Products Categories > Food Safe Packaging High barier to vapor and oxygen, longer 7 ‘Annual Capacity: 15,000 metric tons, shelf lf, transparent compared with ‘metal packaging, single layer compared Excellent moisture, oxygen barrier with multhlayer Outstanding flavor and aroma barrier Superior machi
Slide 10: Sample of Top Customers
Ra | Sample of Top Customers The largest meat processing company in China with US$. 6 billion USD in sales. ‘The leading producer of instant noodle, beverages and baked ‘goods with US$ 6 billion in sales. 549% market share of the instant noodle market One of the largest food companies in China, with
Slide 11: Product Innovations
Product Innovations Superba film BariCoated film > Superior barrier > Food Safe Package properties > High barrier > Reduces material volume > Reduces material volume > Lower product cost > Lower product cost > Increased shelf life > Increased shelf life UniGard UniSpecial > UniGard is the technical
Slide 12: Proprietary Film Manufacturing Technology
Proprietary Film Manufacturing Technology > Specialty film using BOPP as a base film for coated, anti-counterfeit, and tobacco BOPP films. Coated Film vaneties > Specialization improves water vapor and gas barrier properties, visual quality and printability of films. BadioBOPP Fa Anti-Counterfit fil
Slide 13: Case Study - Shineway
Case Study - Shineway Shineway is the largest meat processing company in China with 6 Billion USD sales in 2009. Shineway’s high-temperature meat products accounted for 1.4 Billion USD sales in 2009. Existing Packaging Problems: Current material used for processed sausage is PET (polyethylene tereph
Slide 14: Competitive Advantages
Competitive Advantages Quality - In the domestic Chinese market, our products generally exceed accepted industry standards Price - We have a lower operating cost basis than most of our international competitors due to economies of scale and the proprietary design of our own production lines and lowe
Slide 15: Shiner International Growth Strategy
SHINER INTERNATIONAL Acquisitions Growth Strategy Technology & Manufacturin, BY Customer Focus sald Innovation Excellence Focus on > World class > Focused factory material science customers strategy Strong R&D > Diversified > World class Capabilities geographically manufacturing > Patented > Long >
Slide 16: Sales & Distribution
Sales & Distribution Experienced, knowledgeable and customer- oriented marketing team 30 employees in our marketing group, 10 of whom have worked in the industry for ten years or more and are familiar with buyers’ changing needs and concerns New sales offices opened in Shanghai = Shanghai sales offi
Slide 17: Manufacturing Facilities
Manufacturing Facilities 2009: Zhuhai manufacturing facility began operations; 2009: Began construction in Hainan on new manufacturing facility; 10,000-ton tobacco film production line will be set up, and will be operating in the middle of 2011; » 2011, the Company plans to have a new manufacturing
Slide 18: Top Management Team
Top Management Team Qingtao Xing, CEO & President ~ Mr. Xing became President of Shiner in 2008, prior to serving as Shiner's vice president for strategic initiatives. From 2007 to 2008, Mr. Xing worked as a project development associate for LaSalle Investment Management. Mz. Xing received his maste
Slide 19: Key Financials - I
Key Financials - | For the Figcal Peril Ending 12 months: ee31-2008A Currency? usd Total Revenue 340 Growth Over Prior Yeor 21.9% Gross Pront 66 ‘Margin % 195% EBITDA 43 ‘Margin % 120% pI 38 ‘Margin % 11.3% Earnings ftom Cont. Ops 36 ‘Margin % 105% netincome 36 ‘Margin % 105% Dinmed EPs oe Grout Ove
Slide 20: Key Financials - II
Revenues (us $ milion) Key Financials - II Gross Profit (vss milion) Net Income (uss milton) = Over 50% growth in revenue expected in 2010 and 2011 = Improving profit margins year over year 20
Slide 21: Balance Sheet
Balance Sheet Balance Sheet as of: Dec-31-2008 Dec-31-2009 Sep-30-2010 Dec-31-2008 Dec-31-2009 Sep-30-2010 Currency usD usD usp usD usp sD ASSETS LIABILITIES (Cash And Equivalents 3816 306 3013 Accounts Payable 3798 2.868 5051 Total Cash & ST Investments 3816 —~306—~—~S.OS Accrued Exp. 004 0.139 014
Slide 22: Equity Snapshot and Cap Structure
Equity Snapshot and Cap Structure Share Type Number of Shares Common Shares Outstanding 27,296,491 Warrants Outstanding 521,664 Ticker BEST Closing Price (12/31/10] $1.36 Market Cap (12/31/10) | $37.1M Shares Outstanding | 27.3M (12/3110) Float (12/31/10) 12.4M 52-Week Range $0.85-$1.66 (12131110) R
Slide 23: Investment Highlights
Investment Highlights Most of Shiner’s customers are the industry leaders, such as “Shineway”, a leading meat processor; “Master Kong’, a leading producer of instant noodles; “Want Want”, a leading biscuit company. Customer-Tailored Packaging Solutions: Shiner has strong research capabilities and is
Slide 24: Contact Information
Contact Information Auditor: Company Contact: Goldman Parks Kurland Mohidin LLP Qingtao Xing, CEO Legal Counsel: Steven & Lee PC 24
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