Somnigroup International Inc. · NYSE:SGI
Somnigroup International — Tempur Sealy International — Oppenheimer Consumer Conference 2013
16 slides from Somnigroup International's conference presentation, Jun 26, 2013
Slide 1: Tempur Sealy International, Inc. Oppenheimer Consumer Conference
Tempur Sealy International, Inc.Oppenheimer Consumer ConferenceJune 26, 2013 *
Slide 2: Forward-Looking Statements
Forward-Looking Statements This investor presentation contains "forward-looking statements," within the meaning of federal securities laws, which include information concerning one or more of the objectives, goals, strategies, and other information of Tempur Sealy International, Inc. (the “Company”)
Slide 3: Best of Both
Best of Both Iconic Brands and Complementary Products to Reach v More Consumers vy More Channels yv With More Technologies ... Best of Both” ~Yy <> TEMPUR-PEDIC (2: f = Q PT| Me ©TEMPUR CLUMSY Posturepedic 3 TEMPUR*#SEALY
Slide 4: Strong, Established Management Team
Strong, Established Management Team * Prior Experience Prior Experience Years with Name Position Prior Experience Consumer Products Inter'l Tempur or Sealy Mark Sarvary President and CEO President, Campbell Soup North America CEO, J. Crew Group √ √ 5 President, Stouffer's Frozen Food Division at Nes
Slide 5: Strategic Benefits of Combination
Strategic Benefits of Combination Comprehensive Portfolio of Iconic BrandsThe most iconic and globally recognized brands in the industryStrong brand recognition across North America, South America, Europe, Asia, and AustraliaComplementary Product OfferingProducts for almost every consumer preference
Slide 6: Comprehensive Portfolio of Iconic Brands
Comprehensive Portfolio of Iconic Brands Source: 2012 Mattress Industry Consumer Research – U.S. Market Total Brand Awareness Future Purchase Interest 20042006200820102012 20042006200820102012 20042006200820102012 20042006200820102012 20042006200820102012 20042006200820102012 20042006200820102012 20
Slide 7: Range Of Products
Range Of Products * Innerspring Hybrid Visco Foundations Pillows Accessories Sealy Stearns & Foster Sealy Posturepedic Sealy Posturepedic Sealy Posturepedic TEMPUR-Choice TEMPUR-Rhapsody Breeze Optimum by SealyPosturepedic TEMPUR-CloudLuxe Sealy Foundation TEMPUR-Ergo Premier Adjustable Base TEMPUR-
Slide 8: U.S. Mattress Brand Portfolio by Retail Price Points
* U.S. Mattress Brand Portfolio by Retail Price Points1 1 Retail list price point for queen set. Mattress Segmentation $2,499-$7,999 $3,499-$3,999 $1,999-$4,999 $2,199-$2,699 $1,399 $1,399-$4,499 $1,299-$3,799 $599-$1,799 $399-$699
Slide 9: Highly Complementary Global and Channel Footprint
1 Last 12-months ended March 31, 2013 for Tempur-Pedic and March 3, 2013 for Sealy (reflecting simple combination of both companies’ results, without any Regulation S-X Article 11 adjustments). 2 Management estimates. Highly Complementary Global and Channel Footprint Last 12-Months Net Sales1 Retail
Slide 10: A Truly Global Company
A Truly Global Company ` Tempur-Pedic and/or Sealy Presence Source: Company data. Presence includes subsidiaries, joint ventures, third party, and licensee markets. *
Slide 11: Attractive Upside from Cost Synergies
Attractive Upside from Cost Synergies Cost Synergies Sourcing/Manufacturing Raw materialsFoundationsAdjustable BasesCovers Warehouse/Distribution Improved route efficiencyPotential to integrate distributionBackhaul/returns Corporate Expenses Streamline corporate administration Professional feesIndir
Slide 12: Attractive Upside from Revenue Synergies
Attractive Upside from Revenue Synergies Revenue Synergies Brands / Technology Channels Global Markets New Product Categories Increased investment and innovation in Sealy and Tempur-Pedic brandsLeverage collective IP and technology Leverage Sealy’s competency in Club, Department Stores, and Hospital
Slide 13: Financial Overview
Financial Overview TEMPUR*SEALY
Slide 14: Use of Non-GAAP Financial Measures
* Use of Non-GAAP Financial Measures Tempur Sealy International, Inc. (the “Company”) has presented the following non-GAAP financial measures in this presentation: adjusted EBITDA of each of the Company (which only includes results for the legacy Tempur-Pedic business for the periods prior to March
Slide 15: Q1 2013 Summary Results
03/31/2012 03/31/2013 Q1 2012 Q1 2013 % ∆ TPX North America $269 $226 (16.0%) TPX International 115 118 1.8% Net Sales $384 $390 1.5% Gross Profit 206 188 (8.5%) % Margin 53.6% 48.3% Adjusted EBITDA $99 $77 (22.2%) % Margin 25.7% 19.7% FCF (2) 38 0 Q1 2013 Summary Results * Q1 2013 vs. Q1 2012 Tempu
Slide 16: Adjusted EBITDA Reconciliation
* Adjusted EBITDA Reconciliation For more information regarding EBTIDA and these adjustments please refer to the Company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2013 (reflecting simple combination of both companies’ results, without any Regulation S-X Article 11 adjustments).
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