Lg Chem Ltd. · KRX:051910

Lg Chem — Non-Deal Roadshow (July 2007)

14 slides from Lg Chem's roadshow presentation, Jul 24, 2007

  1. Slide 1: Market Outlook July 2007

    SolutionPartner Market Outlook July 2007 @ LG Chem

  2. Slide 2: Table of Contents

    Table of Contents 2Q 2007 Business Results 1 Divisional Results & Outlook 3 Subsidiaries’ Results & Outlook 6 LGPC Merger Effect 7 Appendix 9

  3. Slide 3: 2Q 2007 Business Results: Income Statements

    2Q 2007 Business Results Income Statements Non-Consolidated Consolidated (Unit : KRW bn) ’ ’ ’ YoY ’ ’ ’ YoY Sales Operating Profit (%) Recurring Profit * (%) Equity Method Gains Net Income Total Net Income * Recurring Profit stands for “Profit from continuing operations before income tax” 1 / 12

  4. Slide 4: 2Q 2007 Business Results: Balance Sheets

    2Q 2007 Business Results Balance Sheets Non-Consolidated Consolidated (Unit : KRW bn) ’06 ’07 2Q ’06 ’07 2Q Assets (Cash and equivalents) Liabilities (Borrowings) Shareholder’s Equity Total Liabilities / Equity (%) Debt / Equity (%) Interest Coverage Ratio ROE (%) ROA (%) EBITDA 2 / 12

  5. Slide 5: Divisional Results & Outlook: Petrochemicals

    Divisional Results & Outlook Petrochemicals Business results Analysis (Unit:KRW bn) / ) * + , " & " · ’ ’ , & , & " " " 0 % '( %$ # " & $' ! "# ) % & ' () * + ( !$ *+ , %, " , " " - " % * % - & '. '# . Operating Profit Margin(%) ! " #$ 3 / 12

  6. Slide 6: Divisional Results & Outlook: Industrial Materials

    Divisional Results & Outlook Industrial Materials Business results Analysis (Unit:KRW bn) , , ( $ & 2 2 $ 04 1 54 1 => ?< => 79 ? : ;< > B ;< 678 1 3 & 3 $ @ 78 @ A 54 1 9 7< C< ? 9 7< D . 4 5 6 7 7 $ ? , ' /) * F ;< E< ? 7< @ 79 9 : => > @ " /0 1 3 1 2 3 1 2 1 " " & " & Operating + " Profit Margin(

  7. Slide 7: Divisional Results & Outlook

    tg y l wui tg qr j m fg no h hi zh s hi rjs hi hi j ng h j ng g ns jxo Profit uv u ns uv h n p kj l Operating Margin(%) _` [\ ab ] ] c_ ^[ ab ] ] Business results d c_ Divisional Results & Outlook eb ] ] (Unit:KRW bn) ' { { { ' { { ‡ { ž { ‡ { ˜™ % € ~  { ™ { – |} Ž % — ‚  ‘Š € |‹ ‹ ‘€ Œ‹

  8. Slide 8: Subsidiaries' Results & Outlook

    Subsidiaries’ Results & Outlook Business results Analysis & Outlook (Unit: KRW bn) ’ ’ ’ Sales LG Operating 9 . 9 + + " Petro- Profit ' ) . chemical (%) Net Income Sales 3 : 7 ; , Operating + Overseas profit 3 : < . & , (%) ) * + Net Income * Figures exclude marketing subsidiaries. 6 / 12

  9. Slide 9: LG PC Merger Effect: Operations & Strategies

    LG PC Merger Effect I. Operations & Strategies Issues Effects + # $ , ' - & . # ' ! " # # $ % & ' & # & ( ' ) * 7 / 12

  10. Slide 10: LG Petrochemicals Merger Effect: Positive effects on financial structure

    LG Petrochemicals Merger Effect . Financials Positive effects on financial structure Financial structure Effects ¬« ­· ­ °¯® ±² ¯´ ³ ®µ ®¶ / ' = > ! ! " > ! ! 3 " 0 % C = <! D ! ? G H <! E ! G ¸© ƪ " " , @ ! ! 4 5 6 " . " .  Ż Ç LG Chem+ LG Petrochem © ª 3 : ) + < " 3 " & I @ >D @ $ 3 " ? >! E $

  11. Slide 11: Appendix: Sales & Operating Profit

    Appendix Sales & Operating Profit (Unit : KRW bn) 2006 2007 1Q 2Q 3Q 4Q Sum 1Q 2Q 3Q 4Q Sum Sales 2,129.1 2,272.5 2,482.5 2,418.2 9,302.3 2,380.0 2,644.9 5,025.0 Operating Profit 65.6 48.1 107.1 112.3 333.9 127.0 162.6 289.9 Petrochemicals 1,364.8 1,429.6 1,582.2 1,508.2 5,884.8 1,498.3 1,647.3 3,14

  12. Slide 12: Appendix: Borrowings & Cash Flow

    Appendix Borrowings & Cash Flow Borrowings Cash Flow (Unit : KRW bn) (Unit : KRW bn) Balance ’06 ’07 1H Changes Beginning 371.0 115.8 Total Operating/Investing 115.8 126.8 KRW Net Income 318.8 349.7 Currency C P Depreciation 502.2 246.2 C B Working -178.5 -95.6 Others Capital Foreign CAPEX -590.5 -2

  13. Slide 13: Appendix: Capex Plan & Results

    Appendix Capex Plan & Results (Unit : KRW bn) ’05 Results ’06 Results ’07 Plan ’07 1H New/Expansion 23.7 118.2 180.6 94.0 Maintenance 69.1 83.6 59.8 31.4 Petrochemicals Equity Investment 41.2 39.0 7.5 13.8 Total 134.0 240.8 247.9 139.2 New/Expansion 17.1 14.5 44.9 6.8 Industrial Maintenance 49.1 56.

  14. Slide 14: Vinyls Styrenics

    Vinyls Styrenics (Unit:U$/MT) (Unit:U$/MT) 1,331 1,638 1,586 1,586 1,584 1,480 1,129 1,151 1,412 1,437 1,067 1,060 1,090 1,050 1,364 1,364 1,384 1,349 1,271 1,303 1,277 970 1,185 1,160 887 834 910 928 841 1,075 1,096 760 798 1,041 740 786 818 854 984 1,023 987 978 775 962 723 727 906 692 863 654 678

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