Ncr Voyix Corporation · NYSE:VYX
Ncr Voyix — NCR — Investor Presentation (July 2012)
10 slides from Ncr Voyix's investor presentation, Jul 31, 2012
Slide 1: Pension Strategy Update
Bill Nuti, Chairman & CEO, NCR Bob Fishman, CFO, NCR July 31, 2012 Pension Strategy Update Exhibit 99.2
Slide 2: Note to Investors
Note to Investors Comments made during this conference call and in the related presentation materials may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements use words such as “seek,” “potential,” “expect,” “strive
Slide 3: Reinventing NCR
Reinventing NCR 3 ‘We’ve had some big rocks to move’ Eliminating legacy issues… …to focus on transformational growth
Slide 4: Our Pension Strategy
Our Pension Strategy Phase I Phase II Phase III 2010 - 2012 2012 2012 and beyond Reallocation of US plan assets to approximately 100% fixed income by end of 2012; saved NCR more than $200M in additional underfunded liability Work with trustee boards of international plans to shift asset allocati
Slide 5: Phase II: Executive Summary
Phase II: Executive Summary 5 Contribute at least $500M to the US qualified pension plan in 2012 Planned contribution will be financed through capital market borrowing Reduces overall enterprise risk by substantially reducing volatility and size of liability Reduces US pension plan underfund
Slide 6: Phase I: 2010-2012 Reduce risk and volatility
56% 39% 5% 38% 59% 3% Phase I: 2010-2012 Reduce risk and volatility by re-allocating our domestic pension portfolio to fixed-income securities by year-end 2012 – At the end of 2011, we had allocated approx. 80% of pension assets to fixed income assets as compared to 59% at the end of 2010. By the
Slide 7: Follow-Through on Investor Day Communication
Follow-Through on Investor Day Communication Prefund & Begin process to settle liabilities Economics Investor Complexity Financial Flexibility GAAP/Non- GAAP EPS NPOI/FCF Conversion Liquidity Enterprise Risk P/E Impacts NPV Analysis Debt Capacity Fund minimum, Complete asset shift (
Slide 8: NCR's Pension Strategy – Phase II
NCR’s Pension Strategy – Phase II Catalyst NCR’s legacy pension liability is large relative to market capitalization and the underfunded position creates income statement volatility Objectives Substantially reduce volatility and size of the pension liability - underfunded position improves by an
Slide 9: Phase II: Transaction Benefits
Phase II: Transaction Benefits Reduces overall enterprise risk by reducing the size of the pension plan Reduces US pension plan underfunding by an estimated $800M No annual US qualified plan pension cash contributions expected through 2017(1) NPV positive; reduced administrative costs Locks in
Slide 10: Questions
Questions 10