Unifi, Inc. New · NYSE:UFI
Unifi, Inc. New — Unifi — Investor Presentation (March 2011)
20 slides from Unifi, Inc. New's investor presentation, Mar 9, 2011
Slide 1: Investor Presentation March 2011
Investor Presentation March 2011
Slide 2: Cautionary Statement
2 Cautionary Statement 2 Certain statements included herein contain forward-looking statements within the meaning of federal securities laws about Unifi, Inc.'s (the "Company") financial condition and results of operations that are based on management's current expectations, estimates and projection
Slide 3: Presenter: Ron Smith, Chief Financial Officer
Presenter Ron Smith Chief Financial Officer Ron Smith Chief Financial Officer 3
Slide 4: Unifi Overview
Unifi, Inc. is a diversified producer and processor of multi-filament polyester and nylon yarns The Company's product offerings include specialty and premier value-added yarns with enhanced performance characteristics The Company sells to other yarn manufacturers, knitters and weavers that produce f
Slide 5: Unifi's Global Operations
Unifi's Global Operations 5 Manufacturing & Office Business Unit / Office Joint Venture Consolidated Sales by Asset Location ($666 million LTM Dec-10) USA El Salvador Colombia Brazil China Israel (JV)
Slide 6: Growing Global Textile Fibers Market
Growing Global Textile Fibers Market 6 ___________________________ Source: PCI Fibers Global consumption of textile fibers grows based on population and affluence Global Textile Markets Approximately 157 billion pounds of textile fibers sold annually 3%+ annual growth in global textile fibers projec
Slide 7: Unifi Supply Chain Overview
Retailer Product Manufacturer Fabric Producer Synthetic Fiber Manufacturer POY Manufacturer Unifi Supply Chain Overview 7 Para-xylene (PX) Pure Terephthalic Acid (PTA) Mono ethylene Glycol (MEG) Polyester Raw Materials Hexamethylene- dianmine-HMDA Adipic Acid (AA) Cyclohexane Propylene Ammonia Nylon
Slide 8: Texturing and Value-added Processes
Texturing Machines Texturing Units Value-added Processes POY Manufacture Textured Yarns After the POY is processed, the resulting textured yarn has bulk, crimp, strength and consistent dyeability It is now ready to be processed into fabric or used in other processes Package Dyeing Covering Twisting
Slide 9: Leading Market Position in U.S.
Regional leader in the processing of multi-filament polyester and nylon yarns U.S. Nylon Covered Yarn Production Share U.S. Nylon Textured Yarn Consumption Share U.S. Polyester Textured Yarn Consumption Share ___________________________ Source: Unifi internal estimates for CY 2009 U.S. Dyed Yarn Pro
Slide 10: Unifi Sales Segmentation
Diverse product segmentation = diverse customer base Import competition varies by market segment Regional trade requirement key to volume stability for apparel and hosiery segments Continued growth opportunity for PVA products U.S. Sales Revenue by Product Segment Unifi Sales Segmentation 10 _______
Slide 11: U.S. Customer & Channel Segmentation
U.S. Customer & Channel Segmentation Fiber/yarn demanded by a wide variety of customers Approximately 650 polyester customers and approximately 200 nylon customers served from U.S. operations Top 5 U.S. customers include Polyester - Milliken, Polartec, Glen Raven, International Textile Group and Ame
Slide 12: U.S.A. Product Segmentation
U.S.A. Product Segmentation Diverse product offering sells into the apparel, hosiery, furnishings, automotive and industrial markets Compliant sales account for approximately 58% of the company's total sales Large majority of U.S. customers are domestic weavers and knitters Most free trade benefits
Slide 13: Importance of Regional Trade - Synthetic Apparel
Regional Trade (NAFTA / CAFTA / ATPA) U.S. and regional trading partners provide competitive advantages High-quality for critical end-uses Product innovation Compressed supply chain/quick turns Competitive pricing Duty-free movement among participants Requires garment to be fully formed in region Co
Slide 14: U.S. Sources of Synthetic Apparel Supply
U.S. Sources of Synthetic Apparel Supply 14 ___________________________ Source: U.S. Dept. of Commerce, OTEXA, O'Rourke Group Partners, Unifi internal estimates Source: U.S. Dept. of Commerce, OTEXA, O'Rourke Group Partners, Unifi internal estimates Source: U.S. Dept. of Commerce, OTEXA, O'Rourke Gr
Slide 15: Our Operating Environment
Our Operating Environment Continuation of moderate economic recovery at retail More stability in North and Central America regional supply market Opportunity for growth from regional investments and realignment of sourcing patterns Incremental growth in global yarn markets Raw material pricing at hi
Slide 16: Our Focus for FY 2011
Our Focus for FY 2011 Strategy Maintaining conversion margin integrity Continuous improvement across all business processes Statistical Process Control and Lean Manufacturing Share gain Mix enrichment Increase sales and earnings in global growth markets CAFTA plant Brazil specialty texturing China s
Slide 17: Branded / PVA Product Success
Fiscal Year Sales Revenue - U.S. PVA Gross Profit vs. PVA Development Expenditure PVA portfolio represents 12% of U.S. sales and 15% of consolidated sales in fiscal 2010 Products utilized in apparel, contract, home furnishings, military, socks and hospitality Steady investment in R&D and commerciali
Slide 18: Our Premier Value-Added Brands
Our Premier Value-Added Brands 18
Slide 19: Sustainability
Sustainability Sustainability 19 Repreve Global Volume Growth ___________________________ Source: Unifi internal estimates Backward Integration Backward Integration Kevin Plank, the founder and CEO of Under Armor referred to the brand's new collection of recycled polyester products as "one of the mo
Slide 20: Overview
Overview Operational Operating in a stable regional market, with growth opportunities Focus on continuous improvement, conversion margin integrity and mix enrichment Further expansion opportunities in global growth markets Central America, China and Brazil Re-investing in Premier Value-Added product