Myers Industries, Inc. · NYSE:MYE
Myers Industries — Proxy Contest (April 2013)
24 slides from Myers Industries's proxy contest presentation, Apr 5, 2013
Slide 1: Schedule 14A - Myers Industries, Inc.
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 SCHEDULE 14A (RULE 14A-101) INFORMATION REQUIRED IN PROXY STATEMENT SCHEDULE 14A INFORMATION PROXY STATEMENT PURSUANT TO SECTION 14(A) OF THE SECURITIES EXCHANGE ACT OF 1934 Filed by the Registrant x Filed by a Party other than
Slide 2: Investor Presentation
April 2013 Myers Industries, Inc. Investor Presentation
Slide 3: Highlights
Highlights Consistent strategic direction resulted in strong performance in 2012 Adjusted EPS increased 40% following an 81% increase in 2011 Share price appreciated 23% in 2012 following a 27% increase in 2011 1-year TSR: 25.3%; 3-year TSR: 21.7% (annualized) Financial position remains solid, with
Slide 4: Company at a Glance
Company at a Glance • NYSE: MYE 2012 Adjusted • Founded in 1933 2012 Net Sales EBIT • Headquartered in Akron, OH • 3,378 employees • Diversified International manufacturer of polymer products and wholesale distributor that operates in four segments 3
Slide 5: Business Segments
Business Segments arkets. | Plastic Reusable Containers & Pallets Beverage Processing Plastic Storage Bins & Systems Food Processing 1 7 r Het . Metal Wire Shelving Systems Industrial / Manufacturing slag i i iin i Custom Material Handling Products Retail Distribution Lawn & Garden ee Lawn & Garden
Slide 6: Our Vision for Profitable Growth
Our Vision for Profitable Growth Myers Industries is: • A diversified industrial company focused on five key growth platforms in niche manufacturing and tire supply distribution • Returnable Packaging • Storage & Safety Products • Tire Repair & Retread Products • Specialty Molding • Tire Supply Dist
Slide 7: Our Strategic Principles
Our Strategic Principles Customer Dedication Innovation Operations Excellence Organization Development Financial Strength 6
Slide 8: Our Goals
Our Goals • Generate returns above cost-of-capital • Produce strong free cash flow • Achieve organic growth > 1.5x GDP • Realize sales >10% of total sales from new products, services or markets developed in the last three years • Target a 5% reduction in COGS each year • Maintain strong financial po
Slide 9: Solid Cash Flow Generation
Solid Cash Flow Generation Cash Flows from Operating Activities $(Millions) 8
Slide 10: Returning Cash to Shareholders
Returning Cash to Shareholders • Dividend paid every year since public in 1971 Dividends Notes: 1) Above adjusted for stock dividends and splits in 2000, 2001, 2002 and 2004. 2) In 2007 there was an additional special dividend (not shown above) of $0.28 or $9.9M accrued but not paid until 2008, resu
Slide 11: Progress in Accomplishing Our Goals
Progress in Accomplishing Our Goals Key Metrics Goals 2012 2011 Sales Growth > 1.5x GDP 4.7% 2.4% Gross Margin > 27% 27.4% 26.3% ROIC* > 10% 10.0% 8.5% Innovation / NPD** >10% of Sales 6% 3% Operations Excellence Savings 5% of COGS (gross) 3% 3% *ROIC = Net Operating Profit After Tax / (Debt + Equit
Slide 12: Full Year 2012 Highlights
Full Year 2012 Highlights • Achieved 40% increase in adjusted EPS • $0.94 compared to $0.67 in 2011 • Completed two strategic acquisitions which were accretive • Novel -designer and manufacturer of returnable plastic crates and totes that is a clear fit with Myers’returnable packaging market focus a
Slide 13: Innovative New Products in 2012
Innovative New Products in 2012 360 Cell 18” Deep Plug Tray Lean Panel - Pick Rack Industry First Decorative Sloped Containers Louvered Panel Bin Clip (Patented) New Sizes Co-Ex Slope-It Pots & Trays Bin Insert Water Based True Size Tread Cement Nursery Containers Tilt-View Electronic Testing Equipm
Slide 14: Solid Corporate Governance Principles
Solid Corporate Governance Principles • Separate roles of CEO and Board Chairman • All directors stand for election annually • No poison pill provision • Broad range of expertise provided by current board • Stock ownership guidelines for officers and directors • Director resignation policy in place
Slide 15: Committed and Experienced Board
Committed and Experienced Board • Myers Industries has extremely experienced and effective Board members overseeing a solid strategic plan and challenging management to drive additional shareholder value creation. • The Board is composed of 9 members, 8 of which are independent • The Board’s composi
Slide 16: Profile of Current Board of Directors
Profile of Current Board of Directors • Vincent C. Byrdserved – as a Director since 2006 • President & Chief Operating Officer, The J.M. Smucker Company (NYSE) and Director of the J.M. Smucker Company • Expertise in operations, branding, finance, international business, mergers and acquisitions, and
Slide 17: Profile of Current Board of Directors
Profile of Current Board of Directors •Richard P. Johnston– servedasa Directorsince1992 • Current Chairman of the Board of Myers Industries; Founder and former CEO of Buckhorn, Inc. • Managing Director of Jackson Hole Capital Partners • Director of Results Radio, Inc. • Expertise in operations, stra
Slide 18: Background and History with GAMCO
Background and History with GAMCO The Company has made every effort over the last several years to understand and respond to GAMCO’s concerns regarding the Board of Directors: In November 2008, GAMCO sent a letter to the Company announcing its intention to nominate 3 nominees for election to the Boa
Slide 19: Background and History with GAMCO
Background and History with GAMCO In May 2009, GAMCO disclosed that it intended to submit one or more individuals as nominees for election to the Board of Directors at the 2010 Annual Meeting. Management of the Company engaged in several conversations with Mr. Mario Gabelli, principal of GAMCO, to u
Slide 20: Background and History with GAMCO
Background and History with GAMCO The Company identified two highly qualified candidates for the Board, William A. Foley and Robert B. Heisler, Jr. , and nominated both individuals for election to the Board at the 2011 Annual Meeting of Shareholders. On February 28, 2011, without any other communica
Slide 21: Background and History with GAMCO
Background and History with GAMCO On February 15, 2012, GAMCO disclosed that it had sent a letter to the Company announcing that it was recommending Richard L. Bready and Robert S. Prather for election to the Board of Directors at the 2012 Annual Meeting. At the April 27, 2012 Annual Meeting of Shar
Slide 22: Conclusion
Conclusion Over the most recent three years, the Company has delivered TSR of 21.7% on an annualized basis, while paying dividends, reducing expenses and investing for future growth and increased productivity. GAMCO has consistently failed to articulate any specific concerns regarding the Company’s
Slide 23: Safe Harbor Statement
Safe Harbor Statement Statements in this presentationconcerning the Company’s goals, strategies, and expectations for business and financial results may be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and are based on current indicators and
Slide 24: Myers Industries - Helping Customers Grow!
MYERS INDUSTRIES, Inc. Helping Customers Grow!