Winnebago Industries, Inc. · NYSE:WGO

Winnebago Industries — Merger or Acquisition (October 2016)

15 slides from Winnebago Industries's merger presentation, Oct 3, 2016

  1. Slide 1: Acquisition of Grand Design Recreational Vehicles

    0 Color palette Object titles 86, 86, 86 155, 17, 17 22, 87, 136 64, 49, 82 79, 98, 40 152, 72, 7 149, 149, 149 220, 220, 220 A c q u i s i t i o n o f G r a n d D e s i g n R e c r e a t i o n a l V e h i c l e s O c t o b e r 3 , 2 0 1 6 1

  2. Slide 2: Forward Looking Statements

    1 Color palette Object titles 86, 86, 86 155, 17, 17 22, 87, 136 64, 49, 82 79, 98, 40 152, 72, 7 149, 149, 149 220, 220, 220 Forward Looking Statements This presentation may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Investors are

  3. Slide 3: Compelling Strategic Acquisition Driving Growth and Long-Term Value for Shareholders

    2 Color palette Object titles 86, 86, 86 155, 17, 17 22, 87, 136 64, 49, 82 79, 98, 40 152, 72, 7 149, 149, 149 220, 220, 220  Accelerates Winnebago’s expansion in the attractive towables segment  Provides greater scale and a more balanced portfolio across motorized and towable RVs  Combines the

  4. Slide 4: Grand Design Overview

    3 Color palette Object titles 86, 86, 86 155, 17, 17 22, 87, 136 64, 49, 82 79, 98, 40 152, 72, 7 149, 149, 149 220, 220, 220 Grand Design Overview Grand Design is a rapidly growing manufacturer of premium towable fifth-wheel and travel trailers Strategic Focus Long-term value Customer focus Owne

  5. Slide 5: Attractive, Premium Towable Product Portfolio

    4 Color palette Object titles 86, 86, 86 155, 17, 17 22, 87, 136 64, 49, 82 79, 98, 40 152, 72, 7 149, 149, 149 220, 220, 220 Attractive, Premium Towable Product Portfolio 10 Product Category Fifth Wheel Toy Hauler Luxury Extended Stay Fifth Wheel Mid-Profile Fifth Wheel Upscale Travel Trailer Light

  6. Slide 6: Strong Pairing with Winnebago's Towable Business

    5 Color palette Object titles 86, 86, 86 155, 17, 17 22, 87, 136 64, 49, 82 79, 98, 40 152, 72, 7 149, 149, 149 220, 220, 220 Strong Pairing with Winnebago’s Towable Business $55 $58 $72 $89 2013 2014 2015 2016 Winnebago Towable Revenue (in millions) Fifth Wheel Travel Trailers Toy Haulers (1) Note:

  7. Slide 7: Grand Design's Business Model

    6 Color palette Object titles 86, 86, 86 155, 17, 17 22, 87, 136 64, 49, 82 79, 98, 40 152, 72, 7 149, 149, 149 220, 220, 220 Grand Design’s Business Model 9 Product Strategy Dealer Strategy Quality and Service Strategy  One brand per market segment and no “cloning” of models  Cross-functional R&D

  8. Slide 8: Towable RV Market is Large and Growing

    7 Color palette Object titles 86, 86, 86 155, 17, 17 22, 87, 136 64, 49, 82 79, 98, 40 152, 72, 7 149, 149, 149 220, 220, 220 Towable RV Market is Large and Growing 217 228 258 283 313 327 2010 2011 2012 2013 2014 2015 Towable Unit Shipments to Retailers (in thousands) Source: RVIA 2015 Industry Pro

  9. Slide 9: Balanced Portfolio Across Motorized and Towable RVs

    8 Color palette Object titles 86, 86, 86 155, 17, 17 22, 87, 136 64, 49, 82 79, 98, 40 152, 72, 7 149, 149, 149 220, 220, 220 Balanced Portfolio Across Motorized and Towable RVs

  10. Slide 10: Snapshot of Combined Company

    9 Color palette Object titles 86, 86, 86 155, 17, 17 22, 87, 136 64, 49, 82 79, 98, 40 152, 72, 7 149, 149, 149 220, 220, 220 Snapshot of Combined Company Greater Scale (Revenue $mm) Balanced Revenue Base Enhanced Margins (EBITDA Margin) $975 $1,403 $428 7.4% 14.0% 9.4% 91% 9% 100% 63% 37% Motorized

  11. Slide 11: Transaction Overview

    10 Color palette Object titles 86, 86, 86 155, 17, 17 22, 87, 136 64, 49, 82 79, 98, 40 152, 72, 7 149, 149, 149 220, 220, 220 Transaction Overview Consideration  Total consideration of $500 million, including tax assets valued at over $75 million  $395 million cash  $105 million in new Winnebago

  12. Slide 12: Pro Forma Balance Sheet

    11 Color palette Object titles 86, 86, 86 155, 17, 17 22, 87, 136 64, 49, 82 79, 98, 40 152, 72, 7 149, 149, 149 220, 220, 220 Pro Forma Balance Sheet Financing  $500 million in total consideration  Includes tax assets valued at over $75 million  Financing structure – Equity to sellers $105 milli

  13. Slide 13: Advancing Our Strategic Priorities

    12 Color palette Object titles 86, 86, 86 155, 17, 17 22, 87, 136 64, 49, 82 79, 98, 40 152, 72, 7 149, 149, 149 220, 220, 220 Advancing Our Strategic Priorities  Create Connected Customer Advocacy  Elevate Excellence in Operations  Expand to New Markets  Streamline and Strengthen the Core  Rev

  14. Slide 14: 22, 87, 64, 49, 79,

    13 Color palette Object titles 86, 86, 86 155, 17, 17 22, 87, 136 64, 49, 82 79, 98, 40 152, 72, 7 149, 149, 149 220, 220, 220 59

  15. Slide 15: Non-GAAP Reconciliations

    14 Color palette Object titles 86, 86, 86 155, 17, 17 22, 87, 136 64, 49, 82 79, 98, 40 152, 72, 7 149, 149, 149 220, 220, 220 • The following information provides reconciliations of non-GAAP financial measures from operations, which are presented in the accompanying presentation, to the most compar

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