Materion Corporation · NYSE:MTRN
Materion — Brush Engineered Materials — Investor Presentation (November 2010)
97 slides from Materion's investor presentation, Nov 15, 2010
Slide 1: Brush Engineered Materials Inc. Company Overview November 2010
Brush Engineered Materials Inc. Company Overview November 2010 Transforming our World and Yours .... a leader in creating innovative engineered material solutions and services to make our customers competitive on a global basis .... while enhancing earnings growth, shareholder value, and stability .
Slide 2: Forward-Looking Statements
Forward-Looking Statements These slides contain (and the accompanying oral discussion will contain) "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements involve known and unknown risks, uncertainties and other factors that could ca
Slide 3: Why Brush
Why Brush Unique, rapidly growing, advanced materials company Serving leading edge, high-growth markets Entering a period of accelerated growth driven by secular trends from market and product positioning Smart Mobile devices, 3G/4G, Commercial Aero, O&G, Alternative Energy, Optics, LED/LCD Sustaina
Slide 4: The Transformation... Accelerated Growth
2002-2010 (F) Sales 17% CAGR (13% w/o Acquisitions) 4 The Transformation... Accelerated Growth Transforming our World and Yours $ in millions
Slide 5: Major Segments (YTD Q3-2010)
5 Major Segments (YTD Q3-2010) Transforming our World and Yours Note: %'s are of sales
Slide 6: Shifting the Business Model to Higher Margins and Higher Value
The Transformation ... Shifting the Business Model to Higher Margins and Higher Value Higher Margins and Higher Value Higher Margins and Higher Value 6 Transforming our World and Yours Measuring Value Add 2010 (F) * % of value added revenue which excludes high value metals
Slide 7: Global Sales and Distribution Network
7 Global Sales and Distribution Network Operations in the U.S. and eleven foreign countries International direct sales are approximately 30% of the Company (YTD Q3 2010) ... actual much higher ?-------------- Asia / Pacific ------------? ? ---------------- Europe -------------- ? ? - Exports from US
Slide 8: Customer collaboration ... providing solutions
8 Customer collaboration ... providing solutions Engineered materials that solve many design challenges - Strength - Reliability - Electrical conductivity - Miniaturization - Weight reduction - Corrosion resistance - Light management - Thermal conductivity - Lubricity Targeting profitable growth app
Slide 9: Distinctive Competencies
Distinctive Competencies Precious metal refining and management - Au, Ag, Pd PVD materials and services Melting, powder metallurgy , forming technologies Specialty inorganic chemical powders and evaporative materials Sizing, purification, synthesis Large and small area thin film deposition and desig
Slide 10: Distinctive Competencies
Distinctive Competencies Production of CuBe and specialty CuNi-based alloys Strip, bar, tube, plate, wire Production of pure Be and Be Ceramic materials All product forms Beryllium mining and extraction Selective plating and metal cladding Strip Processing hazardous chemicals and metals Transforming
Slide 11: Typical End Uses
11 Typical End Uses Disk Drives Industrial products for Oil & Gas and Mining Medical Devices Cellular phones, i-Pods(tm), i-Pads(tm) and other wireless communication devices Notebook computers and network servers Electronic components in cars and trucks Commercial Aerospace Defense Transforming our
Slide 12: Typical End Uses
12 Typical End Uses Heavy Equipment Space/Science LED's Telecom Infrastructure Optics Alternative Energy Transforming our World and Yours LCD
Slide 13: Diverse Set of High Growth Markets
Diverse Set of High Growth Markets Consumer Electronics 27% Telecom Infrastructure 7% *Value-added revenue, excludes high value metals YTD Q3 2010 Revenue* Automotive Electronics 8% Appliance 7% Other 5% Services 4% Energy 7% Medical 6% Defense and Science 15% Industrial and Commercial Aerospace 14%
Slide 14: Key Application Examples by Market
Key Application Examples by Market Consumer Electronics Cell Phones I/O Connector Contacts Battery Contacts Internal Antenna Contacts LED Backlight Applications Power amplification, SAW and BAW devices Computers Board-to-Board Connectors Processor Socket Connectors Electronic Shielding Hard Disk Dri
Slide 15: Key Application Examples by Market
Key Application Examples by Market Medical Glucose Analysis Test Strips Implantables for Seizure Control and Glucose Analysis X-ray Mammography Radiation Therapy - Neutron Reflectors DNA Sequencing Optics Automotive Electronics High Temperature Connectors, Switches, Relays, Sensors Leadframes for Po
Slide 16: YTD Q3 - 2010
YTD Q3 - 2010 Markets have responded and business is growing with significantly higher sales and profit levels Initial growth led by electronics, followed by industrial and commercial aerospace markets Sales now at record levels Margins are up significantly Recent acquisitions are on track Cost cont
Slide 17: YTD Q3 - 2010 Reported Results
Note: Q-1 2010 included $.12 per share of charges, $1.3 million in EBIT. OP%/VA excludes high value metals YTD Q3 - 2010 ... Reported Results Transforming our World and Yours 17
Slide 18: Outlook
Outlook Normal seasonality of lower sales is expected in 4th quarter 2010 sales are expected to be approximately $1.24 to $1.26 billion 2010 expected profit in the range of $2.00 to $2.10 per share, diluted Solid balance sheet is expected to be even more attractive by year end 2010 Transforming our
Slide 19: Outlook ... Other Considerations
Outlook ... Other Considerations High end more sophisticated electronics are expanding ... although subject to inventory swings Metal prices, raw material prices are a pass through and thus not a significant risk to performance Application base in Specialty Engineered Alloys business continues to gr
Slide 20: Outlook ... Other Considerations
Outlook ... Other Considerations New equipment for the medical market is installed and operating Cost management initiatives are working well and we expect the benefits to continue well into the future Investments in purchasing, marketing and pricing initiatives should add to margins going forward A
Slide 21: The Transformation ... Overview
The Transformation ... Overview From Metals & Mining through Specialty Metals to Advanced Materials Beryllium Businesses.........Metals and Mining Expansion of WAM............Specialty Metals Acquisitions..................... Advanced Materials While increasing value add in all business units From s
Slide 22: The Transformation ... Strategy
The Transformation ... Strategy Create sustainable market advantage and value to customers through unique technological capabilities and innovation Decrease dependency on the Integrated Metals businesses while improving their performance Create the corporate critical mass to perform better in signif
Slide 23: The Transformation ... Tactics
The Transformation ... Tactics Create a broader, more diversified base ... focused on greater than GDP opportunities New Technologies New Markets Target fastest growing segments of fast growing markets Grow faster than the markets Achieve double digit growth over time First Priority.....organic grow
Slide 24: The Transformation ... Tactics
The Transformation ... Tactics Investments...prioritizing a targeted business model Faster cash to cash cycle Low capital intensity...both working capital and reinvestment capital High IP....technology driven business Non-commodity products...high margins Good growth potential in >> GDP opportunitie
Slide 25: Advanced Materials, a Higher Share of Total Sales
Advanced Materials, a Higher Share of Total Sales Integrated Metals Advanced Materials Transforming our World and Yours 25
Slide 26: Faster Cash to Cash Cycle
The Transformation ... Faster Cash to Cash Cycle 26 Transforming our World and Yours *Net income + Depr & Amort - change in working capital - Capex Free Cash Flow* A/R, Inventory & A/P %/Sales 41% 25% $'s in millions
Slide 27: Operating Cash Flow and Debt to Total Capital
Net Cash Provided from Operating Activities* (in millions) 27 The Transformation ... Faster Cash to Cash Cycle Debt to Total Capital Transforming our World and Yours The Balance Sheet *Change in cash, excluding the effect of investing and financing activities
Slide 28: The Transformation ... Key Results
The Transformation ... Key Results The Transformation ... Key Results Advanced Materials growth, market diversification, and Specialty Engineered Alloys improvements 28 Transforming our World and Yours Note: Excludes non-operating charges A Faster Recovery in a Much Tougher Environment (see GAAP rec
Slide 29: Financial Goals/Objectives
The Transformation ... Financial Goals/Objectives Organic growth ... double digit over time Value add margins in mid to high teens (OP% of VA) Acquisitions/augmentations at $50.0 to $75.0 million/yr Drive A/R, inventory and A/P % of sales below 20% Capital spending below depreciation Keep debt to to
Slide 30: Brush Engineered Materials ... Transformed!
Brush Engineered Materials ... Transformed ! A Leaner, Faster Growing, More Diversified & Resilient Company More diversified, market and product basket Broader market reach, geography Growing faster, growth more sustainable Growth and higher margin contributions from acquisitions Less cyclical Lower
Slide 31: Key Customers and Examples of Detail Applications by Key Markets
Key Customers and Examples of Detail Applications by Key Markets Transforming our World and Yours
Slide 32: Well Recognized Key Customers & Demand Generators
Well Recognized Key Customers & Demand Generators Consumer Electronics Western Digital RFMD Skyworks Seagate Apple Motorola Cree TriQuint HTC Defense & Science Northrup Grumman DRS Lockheed Martin Raytheon BAE Goodrich General Dynamics 32 Transforming our World and Yours Industrial & Commercial Aero
Slide 33: Well Recognized Key Customers & Demand Generators
Well Recognized Key Customers & Demand Generators Medical Roche Medtronic Varian Medical Siemens Agilent Applied Biosciences Nipro Diagnostics Automotive Electronics Delphi Kostal Johnson Electric Yasaki TRW Visteon 33 Transforming our World and Yours Energy First Solar MiaSole AMAT Primestar Nanoso
Slide 34: Applications - Cell Phones
Applications - Cell Phones I/O Connector Contacts (Alloy) Battery Contacts (Alloy) Internal Antenna Contacts (Alloy) Grounding Clips and Audio Jacks (Alloy) Micro Mezzanine Connectors for LCD Screen (Alloy) Internal Electronics (WAM): Thin Film Materials - Power amplifiers, SAW and BAW devices, filt
Slide 35: Applications - Automotive Electronics
Applications - Automotive Electronics Lithium Ion Battery Interconnects (TMI) Battery Management Resistors (TMI) Electronic Power Steering Modules (TMI) ABS Leadframes (TMI) Engine Efficiency Oxygen Sensors (TMI) Mirror & Windshield Electronic Connections (TMI) Air Bag Sensors (TMI, Alloy) Lamp Sock
Slide 36: Applications - Aerospace
36 Applications - Aerospace Avionics/Electrical Systems Airframe Structure Landing Gear Attachments Engine and Pylon Attachments Flight Control Mechanisms Horizontal Stabilizer & Rudder Attachments Hydraulic Systems Fuel Systems Wing Attachments Doors & Hatches Landing Gear Components Flight Attenda
Slide 37: Applications - Oil & Gas
Applications - Oil & Gas Under Water Wellhead Equipment (Alloy) Blow out preventers, hydraulic actuators Directional Drilling Equipment (Alloy) MWD, LWD, MPT systems Drill Bits (Alloy Structural Rig Components (Alloy) Wellhead Control Equipment (Alloy) Other Oil & Gas Applications: Elemental Analysi
Slide 38: Applications - Photovoltaic (Solar)
Applications - Photovoltaic (Solar) Technology: Amorphous Silicon (a- Si, tandem and multi-junction) Thin Film (PVD) Materials Silicon based photovoltaic cells Front and back contact layers TCO Transparent Conductive Oxide layers Technology: Cadmium Telluride (CdTe) Thin Film (PVD) Materials Cadmium
Slide 39: Applications - Hard Disk Drives
Thin film materials for the read/write head. (WAM) Sputtering Targets/Evaporation Materials (Precious Metals, Alloys, Non-Precious Metals, Alloys, Magnetic Materials, Heusler Alloys and Oxides) Applications - Hard Disk Drives Disk Drive Arm (TMI) Clad Materials (Aluminum and Stainless Alloys) Applic
Slide 40: Applications - Medical
Applications - Medical Cardiac Rhythm Management (TMI): Electronic Interconnects/Components Niobium/Titanium Electron Beam Weld Insulin Pump (Alloy): EMI Shielding and Grounding Electrical Terminals in Connectors Seizure Control (WAM/TFT): Thin Film Deposition Implantable Electrode - Parkinson's dis
Slide 41: The Transformation ... Acquisitions
The Transformation ... Acquisitions The Transformation ... Acquisitions 41 Approximately $175 M invested at EBITDA multiples of 5-7 Transforming our World and Yours
Slide 42: Major Product Forms
Major Product Forms 42 YTD Q3 2010 Revenue Transforming our World and Yours Strip Metal 20% Bulk Metal 11% Powders 2% PVD Targets 38% Coatings 8% Semi-Finished Components 5% Other Precious Metals 13% Other 3%
Slide 43: Company Overview
Company Overview Review our two largest segments Growth drivers, future initiatives, sustainability 43 Transforming our World and Yours
Slide 44: Profile
Profile A leading manufacturer of high performance advanced engineered materials and services ... an enabling materials technology company Four segments ... with operations, service centers and major office locations in North America, Europe and Asia Serving long-term growth oriented global markets
Slide 45: Core Competency
45 Core Competency Collaborating with customers worldwide to solve material application challenges ... with a focus on enabling technology and services "Own" a niche orientation ... non-commodity Focus on global growth and service Constantly looking ahead to realign product and service portfolios to
Slide 46: Ongoing value creation initiatives in three key areas
46 Our ongoing value creation initiatives are focused in three key areas Growth Expanding and diversifying the revenue base Targeting profitable niche growth applications in growing markets New product innovation and service Ongoing global expansion Strategic acquisitions, fast accretion Margin Impr
Slide 47: Specialty Engineered Alloys
Specialty Engineered Alloys Transforming our World and Yours
Slide 48: Specialty Engineered Alloys - Overview
Specialty Engineered Alloys - Overview World's Leader in Copper Beryllium North America's only Bertrandite Ore Mine Only Fully Integrated Copper Beryllium Business (mine - manufacture - sales - distribution - technical support) 848 Employees at 8 Locations Growing Non-Beryllium Product Family of Hig
Slide 49: Operations and Distribution
Operations and Distribution Operation Location Products Mine Delta, UT Bertrandite Ore Chemical Mill Be Hydroxide Primary Operations Elmore, OH Cast Billets Strip Mill Strip Coils Bulk Mill Rod, Bar, Tube and Plate Finishing Operations Reading, PA Finished Strip and R&W Non-Be Casting Lorain, OH Cas
Slide 50: Independent Distributors
Independent Distributors Transforming our World and Yours 50 Americas Europe - - Admiral Metals - - Bohler Uddeholm - - Bohler Uddeholm - - Busby Metals - - Busby Metals - - Laminaries Matthey - - EJ Brooks - - Stainless - - Farmers - - Thyssen Krupp - - Mead Metals Asia Pacific - - Schmoltz & Bicke
Slide 51: Why use Copper Beryllium and our other Alloys?
Why use Copper Beryllium and our other Alloys? High Strength and Hardness High Thermal Conductivity High Thermal Stability High Electrical Conductivity Miniaturization Anti-Microbial Non-Biofouling Non-Magnetic Non-Sparking Anti-Galling Corrosion Resistant Good Machinability Good Castability Good Fo
Slide 52: Major Product Forms
Major Product Forms Strip Rod Wire Plate Bar Tube Billet Casting Alloys Mainly CuBe and other Specialty CuNi based products Transforming our World and Yours 52
Slide 53: Specialty Engineered Alloys - Annual Sales
Specialty Engineered Alloys - Annual Sales $ millions Transforming our World and Yours 53
Slide 54: Specialty Engineered Alloys - Transformation
Specialty Engineered Alloys - Transformation Lower Breakeven Reduce Overhead Improve Margins Attack Costs Increase Prices Lower Breakeven to Reduce the Impact of Business Cycles and Grow the Top Line Faster Growth Establish Growth Teams New Alloys New Applications New Geographies Higher Margin Produ
Slide 55: Transformation - Lower Overhead
Transformation - Lower Overhead 2009 OH Reduction (23%) $25 M Headcount Reduction Transition to 3rd Party Distribution More to Come (2010 to 2013) $6-8 M Depreciation Reduction Operating Efficiencies Lean Sigma Initiatives Transforming our World and Yours 55
Slide 56: Transformation - Attack Costs
Transformation - Attack Costs 2009 Variable Cost Reductions $5-7 M Labor Cost and Utilization Purchasing Initiatives Lean Sigma Savings More to Come 2010 - 2013 $2-4 M Transforming our World and Yours 56
Slide 57: Transformation - Pricing Actions
Transformation - Pricing Actions 2009 - Hired Pricing Consultant 2009 Theme - "Capture the Value of Brush" Freight Charge Expedite Fees Fabrication Increases Price Setting Transforming our World and Yours 57
Slide 58: Breakeven Reduction - Complete
Breakeven Reduction - Complete Transforming our World and Yours 58
Slide 59: Key Customers and Demand Generators by Market
Key Customers and Demand Generators by Market Transforming our World and Yours 59
Slide 60: Growth - Alloys/Processes Recently Developed
Growth - Alloys/Processes Recently Developed for: Strip Backplane Connectors, Processor Sockets, BITS and Modular Jacks Non-Be for micro motors and voice coil motors Bulk Non-Be Aerospace Bearings and Rub Strips Non-Be Oil & Gas Housings and Drilling Tools Non-Be Fittings for the Marine Market Non-B
Slide 61: Applications - Smart Phones
Smart Phone Shipments (millions of units) Source: Frost and Sullivan Board to Board Contacts SIM Card Contacts Vibrator Motor Contacts Battery Contacts Applications - Smart Phones OEMs are seeing the value of using high performance alloys to make more reliable connectors Audio Jack Contact 2008 2009
Slide 62: Applications - Infrastructure (Local Area Networks)
Applications - Infrastructure (Local Area Networks) Shielding Modular Jacks PCB Sockets Processor Sockets Transforming our World and Yours 62
Slide 63: Applications - Voice Coil Motors
Applications - Voice Coil Motors Applications: Cell Phones Computers Digital Cameras BF158 was developed and launched in 2009 and is currently used to make VCM spring plates. During 2010, 93.4% of U.S. mobile phone sales will be camera phones. Transforming our World and Yours 63
Slide 64: Applications - Micromotors
Applications - Micromotors Applications: Automotive Home Electronics Appliance Power tools Optical & Precision Instruments HVAC Brush springs are made using Alloy 25. Two new products have been developed for commutator applications and are currently being evaluated by potential new customers. Commut
Slide 65: Bulk Products - Revenue Growth
Bulk Products - Revenue Growth 2000 2010 (F) Oil & Gas Exploration and Production 14% 27% Aerospace 14% 24% Automotive 37% 23% Consumer 6% 16% Const & Mining Equip 2% 7% Undersea Telecom 19% 2% Electric Power 2% 1% Sales $50M $100M Transforming our World and Yours 65
Slide 66: Applications - Oil & Gas
66 Applications - Oil & Gas Under Water Wellhead Equipment ROV's, blow out preventers, hydraulic actuators, control fluid couplings Directional Drilling Equipment MWD, LWD, MPT systems Drill Bits Structural Rig Components Wellhead Control Equipment Artificial Lift Equipment ToughMet bearings in Elec
Slide 67: Energy Growth (Oil & Gas)
Energy Growth (Oil & Gas) Transforming our World and Yours 67
Slide 68: Applications - Aerospace
68 Applications - Aerospace Avionics/Electrical Systems Airframe Landing Gear Attachments Engine and Pylon Attachments Flight Control Mechanisms Horizontal Stabilizer & Rudder Attachments Hydraulic Systems Fuel Systems Wing Attachments ( Doors & Hatches Landing Gear Components Flight Attendant Jumps
Slide 69: Aerospace Growth
Aerospace Growth Aerospace Growth Aerospace Growth Transforming our World and Yours 69 "Aircraft Delivered" - JPMorgan forecast
Slide 70: Applications - Mining Equipment
Applications - Mining Equipment Non-galling: dynamic bushings on 16 high- stress positions in all models. ToughMet 3 Replaces carburized 8620. • Corrosion resistance: all salt and potash miners specified with 100% ToughMet 3 bushings. ToughMet 3 Bushings Bearing life improved 6X Transforming our Wor
Slide 71: Applications - Injection Mold Tooling (Consumer)
Applications - Injection Mold Tooling (Consumer) MoldMAX mold core and cavity tooling inserts at all the hot spots Cycle time reduced 30%. Scrap rate reduced to zero. One less molding machine required to meet demand growth. Transforming our World and Yours 71
Slide 72: New Geographies
New Geographies Focus on Brazil, Russia, India and China Expanding Footprint in China New Distributors Growing Plastics Business in Asia Added Sales, Distribution and Slitting in India Developing Oil & Gas Business in Russia Increased Market Share in UK with Distribution Partner Transforming our Wor
Slide 73: Breakeven Reduction - Goal
Breakeven Reduction - Goal Transforming our World and Yours 73
Slide 74: What are the key points today?
What are the key points today? Overhead has Dropped and Margins have Improved Breakeven has Significantly Improved Better Positioned for Business Cycles Breakeven will Further Improve Robust New Product Development Growing Internationally Markets being Served are Robust (> GDP) Gaining Share in Grow
Slide 75: Advanced Material Technologies and Services
Advanced Material Technologies and Services Transforming our World and Yours "Our Customers' First Choice!"
Slide 76: Strategic Augmentation
Strategic Augmentation Williams Precious Metals Acquired 1987 Advanced Materials Technology 1989 Hydrostatics Inc. 1994 Pure Tech Inc. 1998 Wheatfield (Greenfield) 1998 Semi Alloys Inc. 2001 Honeywell FLA (Technology) 2003 OMC Scientific Ireland 2005 Thin Film Technology 2005 CERAC inc. 2006 Suzhou,
Slide 77: Sales History
Sales History 77 "Our Customers' First Choice!" Transforming our World and Yours $'s in millions
Slide 78: Transformation Elements
Transformation Elements Customer Centricity Sustain the "Base" Quality as the Differentiator Leading Edge Technologies Niche Markets / Applications Focus on Innovation The "Right" Organization / People Global Manufacturing Capabilities "Our Customers' First Choice!" Transforming our World and Yours
Slide 79: Markets and Business Segments
Markets PRECISION THIN FILM OPTICS MICROELECTRONICS SERVICES LARGE AREA SPECIALTY THIN FILM ADVANCED CHEMICALS BUFFALO BUELLTON BARR BUFFALO WHEATFIELD NBPT SINGAPORE EUROPE BREWSTER MILWAUKEE BUELLTON ACADEMY BUFFALO HARTFORD MILWAUKEE BUELLTON ACADEMY CHEMICAL / COMPOUNDS ALTERNATIVE ENERGY BEM BU
Slide 80: Overview Global Presence: Advanced Materials Technologies
Overview Global Presence: Advanced Materials Technologies 1,100 Employees 15 Asset Locations Strategic Business Units - Organization Support Functions Sales Administration Technology / new product development Virtual new product development i-Flow Stage-Gate Technology Experts "Our Customers' First
Slide 81: Distinctive Competencies
Distinctive Competencies Precious Metal Refining and Management - Au, Ag Pd PVD Materials and Services Melt and Powder Metallurgy Shield Cleaning and Bonding Large and Small Area Thin Film Deposition and Design Hazardous Chemical Processing Electronic Packing Materials, Fabrication and Assembly Glob
Slide 82: Core Technologies
Core Technologies PM Casting / Rolling Non PM Casting Investment Casting High Volume Casting PM Refining (Au/Pd) Component Machining Assembly Welding Wire Fabrication Rod / Turks Head Hot Pressing (Induction) Hot Pressing (Resistive) Au/Ni Plating Component Design Brazing High Temp Component Assembl
Slide 83: Microelectronics & Services
Microelectronics & Services Key Markets Photonic & Optical Applications (LED) Semiconductor Defense Medical Products Semi PVD Targets Precious Metal Targets Evaporation Materials Architectural Glass Targets Vacuum Grade Joining Materials High Reliability Microelectronic Materials Hermetic Covers Pre
Slide 84: Products Precision Optics
Products Precision Optics Core Technology Key Markets Defense Applications Commercial Application Space, Science & Astronomy Thermal Imaging Flex Sensors Visi-Lids(r) Filter Sets Linear Variable Filters High Value Coatings Non-optical Coatings Hybrid Circuits Magnetron Sputter Ion Beam Sputter Therm
Slide 85: Advanced Chemicals
Advanced Chemicals Key Markets HI B LED's Applications Security Application Alternative Energy Specialty Inorganic Chemicals Products Optic Materials LED Phosphor Additives Specialty Chemicals Thermal Management Specialty Battery GaAs Precursors Solar PVD Targets Thin Film PV (CdTe,CIGS) Thermal Ref
Slide 86: Large Area Specialty Thin Film
Key Markets Medical Applications Alternative Energy Display Technologies Products Core Technology Engineered Thin Film New Product Development Services Sputtering Converting Large Area Specialty Coatings Thin Film Stack with Custom Optical and/or Electrical Properties Precision Slit Base film and Co
Slide 87: End Use Markets
End Use Markets Market Growth Wireless 12-20% LED's 20-30% Precision Optics 12% Photovoltaic 30% Medical 8-12% Market Growth Defense Flat Semiconductor 6% Data Storage 10-12% PM Services 10+% "Our Customers' First Choice!" Transforming our World and Yours 87
Slide 88: Wireless/Photonics
Wireless/Photonics Wireless/Photonics Technology: Specialty Inorganic Compounds, and High Purity NPM/PM (Au) TFT LCD backlights, Monitor lighting, signage displays, billboards, traffic lights conventional lighting Technology: Gallium Arsenide devices (GaAs) Cellphones, PDA's, wireless devices requir
Slide 89: Precision Optics
Precision Optics Precision Optics Technology: Filter Arrays Satellite imaging filters, Medical /DNA sensors, filters Color matching food processing ,Gas analysis ,Laser , communications Technology: NIR and IR Lenses Thin Film (PVD) Deposition Process Multi -layer filters for Thermal weapon sites, la
Slide 90: Applications - Photovoltaic
Applications - Photovoltaic Technology: Amorphous Silicon (a-Si, tandem and multi-junction) Thin Film (PVD) Materials Silicon based photovoltaic cells Front and back contact layers TCO (Transparent Conductive Oxide) layers Technology: Cadmium Telluride (CdTe) Thin Film (PVD) Materials Cadmium based
Slide 91: Other Segments Key Initiatives
Other Segments Key Initiatives Transforming our World and Yours
Slide 92: Beryllium and Beryllium Composites - Applications
92 Beryllium and Beryllium Composites - Applications (lightweight, strength, dimensional, stability...typically 40% to 100% Beryllium) - - Infrared sensors for fighter jet and UAV optical targeting, radar and navigation/guidance systems and special ops (FLIR) -Structural and electronic components fo
Slide 93: Beryllium and Beryllium Composites - Platforms for Sustainable Growth
Beryllium and Beryllium Composites - Applications (lightweight, strength, dimensional, stability...typically 40% to 100% Beryllium) Optical data collection and targeting systems - vision and sensors Fabricated parts up x3 since 2009 Energy ITER (International Fusion Reactor) Nuclear fission reactors
Slide 94: Engineered Material Systems - solving customers' problems
94 Engineered Material Systems - solving customers' problems with engineered strip metals Mill Products Specialty cladding and inlay Electron beam welding of dissimilar materials Profiling shapes by milling and/or grinding Close tolerance rolling Electroplating Precious and non-precious metals Overa
Slide 95: TMI Core Technologies
Electron Beam Welding Clad Inlays, Overlays Electroplating Solder Technologies Profiled Machining Transforming our World and Yours 95 TMI Core Technologies
Slide 96: Engineered Material Systems - Platforms for Sustainable Growth
Engineered Material Systems - solving customers' problems with engineered strip metals Platforms for Sustainable Growth Li-ion battery power interconnect solutions Solar power interconnect clad foil solutions Medical - reroll and specialty applications High power specialty electronics products - glo
Slide 97: Reconciliation of Non-GAAP Financial Measures
Reconciliation of Non-GAAP Financial Measures Transforming our World and Yours 97 *Reconciliation of 2010 Forecast information: expected earnings per diluted share for the 2010 full year excludes special items. It is not possible at this time to identify the potential amount or significance of these
Brush Engineered Materials — Investor Presentation (November 2010) on 6ix