O-i Glass, Inc. · NYSE:OI
O-i Glass — Owens Illinois — Q1 2014 Earnings Presentation
12 slides from O-i Glass's earnings presentation, Apr 29, 2014
Slide 1: O-I First Quarter 2014 Earnings Presentation
O-I First Quarter 2014 Earnings Presentation April 30, 2014
Slide 2: Safe Harbor Comments
Safe Harbor Comments Regulation G The information presented above regarding adjusted net earnings relates to net earnings from continuing operations attributable to the Company exclusive of items management considers not representative of ongoing operations and does not conform to U.S. generally acc
Slide 3: First Quarter 2014 Summary
First Quarter 2014 Summary 2 Adjusted EPS of $0.62 Up 3% from prior year Positive price Shipments up 2% Growth led by Europe Strong gains in Brazil volume offset by continued Andean weakness Increased profitability in Europe Higher sales volume Cost savings from asset optimization Sales gains in Nor
Slide 4: Regional Financial Performance: Europe and North America
Regional Financial Performance Europe and North America 3 Shipments up 6% Strong beer recovery Wine up (2013 share recapture) Benign inflation environment Asset optimization and cost saving programs improve margins North America ($ Millions) 1Q 2014 1Q 2013 Net Sales - Currency neutral1 $706 $679 $6
Slide 5: Regional Financial Performance: South America and Asia Pacific
Regional Financial Performance South America and Asia Pacific 4 Shipments in tonnes flat (2) Brazil shipments up high single digits Andean demand has not recovered Known headwinds impact profitability Higher planned level of furnace repairs Currency devaluation Asia Pacific ($ Millions) 1Q 2014 1Q 2
Slide 6: 1Q14 Segment Sales and Operating Profit
1Q14 Segment Sales and Operating Profit 5 Note: reportable segment sales exclude the Company’s global equipment business. Price up ~1%, driven by Americas Shipments up 2% Wine up in all regions Beer up, particularly in EU, NA FX headwinds, mainly Brazilian real and Australian dollar Segment Sales ($
Slide 7: 1Q14 Adjusted EPS Bridge
1Q14 Adjusted EPS Bridge 6 Adjusted Earnings Per Share 1Q13 $0.60 Segment operating profit (0.04) Retained corp. costs — Net interest expense 0.02 Non-controlling interests — Effective tax rate 0.04 Total reconciling 0.02 1Q14 $0.62 Corporate costs flat Lower pension expense Higher R&D spend Delever
Slide 8: 2Q14 Business Outlook
2Q14 Business Outlook 7 2Q14 vs. 2Q13 Comments Operational Europe Sales volume modestly positive Asset optimization yields continuing benefits North America Volume flat Carry-over of supply chain headwinds South America Volume modestly positive, driven by Brazil Asia Pacific Double digit volume decl
Slide 9: 2014 Management Priorities
2014 Management Priorities Continue to execute European asset optimization program Capture emerging market growth, aided by product innovation Focus R&D investments on manufacturing efficiencies Strategic Deliver approximately $350M of free cash flow Maintain capital allocation, 90/10 debt to share
Slide 10: Appendix
Appendix 9
Slide 11: Price, Volume and Currency Impact on Reportable Segment Sales
Price, Volume and Currency Impact on Reportable Segment Sales 10 1 Sales negatively impacted by shut down of non-strategic flat glass business in 4Q13 2 Reportable segment sales exclude the Company’s global equipment business $ Millions Europe North America South America 1 Asia Pacific Total 2 1Q13
Slide 12: Reconciliation to Adjusted Earnings
Reconciliation to Adjusted Earnings 11 $ Millions The reconciliation below describes the items that management considers not representative of ongoing operations. Unaudited 2014 2013 102 $ 79 $ Restructuring, asset impairment and related charges 10 Charges for note repurchase premiums and write-off