Shiner International — Shareholder Meeting (June 2010)
24 slides from Shiner International's shareholder meeting presentation, Jun 24, 2010
Slide 1: Annual Shareholder Meeting June 2010
GD) Bis Elina PRA w/ SHINER INTERNATIONAL, INC. Shiner International, Inc. NASDAQ: BEST Annual Shareholder Meeting June 2010 Fora Sater Tomorrow
Slide 2: Safe Harbor Statement
SAFE HARBOR STATEMENT This presentation contains "forward-looking statements" within the meaning of the “safe-harbor” provisions of the Securities Litigation Reform Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors that could cause the actual results of th
Slide 3: Emerging global supplier of coated film and advanced packaging products
We are emerging global supplier of coated film and advanced packaging products BOPP tobacco film, coated film, anti-counterfeit film, and color printing. Headquarter in Haikou, P.R.C.; facilities in Hainan and Zhuhai 531 employees 14 patents in China California Proposition 65 EDA EEC €& SHINER INTER
Slide 4: Company Overview
i COMPANY OVERVIEW Address Area Capacity _ Employees. Headquarter Haikou 10,000 54 Facility in Haikou Haikou 250,000 349 Facility in Zhuhai Zhuhai 180,000 128 Coated film 15,000 Anti-counterfeit film 2,500 BOPP tobacco film 10,500 Color printin: 3 lines an Proposition 65 . EDA E EC @}D snes wreANATI
Slide 5: Anti-counterfeit film, coated film, BOPP film, color printing
Anti-counterfeit film — Applied in tobacco, DVD/CD and food packaging Coated film — The largest coated film manufacturer in China — Food and consumer packaging companies. BOPP film — 2BOPP Tobacco lines - 9 China Tobacco Industrial Companies in 15 provinces in China Color printing — 3 color printing
Slide 6: BOPP Tobacco Film
BOPP TOBACCO FILM ie = High profit margin = Complete product portfolio = Leverage Shiner’s R&D to focus on emerging product trends = Customized “State of the Art” technology -competitive advantage = 4 patents = Market Opportunity: — Market Growth @ 4% per year. — Integrate existing Shiner technology
Slide 7: Coated Film
COATED FILM = Food safety: extending the quality guarantee period more than one year = Base film & coating on the either side or both sides of films = Significant functions in barrier, heat-sealing, printing suitability = Applied in food and consumer packaging = Obtained 6 patents = Market Opportuni
Slide 8: Anti-Counterfeit Film
ANTI-COUNTERFEIT FILM = Thermal shrinkage - applied to hard packaging = Unable to reuse the anti-counterfeit images - images will disappear when reheated = 3 patents = Main application industries: cigarette, audio, and liquor = Main customers: Vintaba. Shanghai Epic (Sony Music), Warner Music = Mark
Slide 9: Color Printing
COLOR PRINTING Color Printing Packaging Value maximization, saving delivery time and cost = High quality guarantee of products and services The unique company in China for providing one-stop film & printing services cannarominss SA EEC € ‘SHINER INTERNATIONAL, INC.
Slide 10: Domestic Market
DOMESTIC MARKET Tomorrow = The sales team of 25 people = More than 20 years industrial experience ®. 6 Fiwuguug SONY : Bree RAR SoMY, He je, Moe BORAT RARE A CBlifornia Proposition 65 @ FDA EEC] & SHINER INTERNATIONAL, INC,
Slide 11: International Market
INTERNATIONAL MARKET International operations commenced in 2005 50 customers in 20 countries worldwide ‘Diet Sales Regions : ‘* Markole reachod via comvorter International sales revenue Sh siivor accounted for 30% of the annual revenue, and it is expected to w cs increase to 30-35% in 2010 iellefl I
Slide 12: Certifications
CERTIFICATIONS winwers awa on Gu rok aaa 10
Slide 13: FY 2009 - A Transition Year
FY 2009 — A TRANSITION YEAR Impact of global recession. Implementation of Food Safety law. Restructured company for future growth Commenced construction of Hainan facility A E owen €& ‘SHINER INTERNATIONAL, INC.
Slide 14: FY 2009 Results
FY 2009 RESULTS Earning per share were 0.0 for the year. Repositioned operations in advance of the FSL. Cash flows from operations: $6.7M Signed contracts for capital equipment: $13.2M New products introduced: 3 535 employees New patents granted: | Csinaromsias 4 EEC QZ @D suinen TERNATIONAL, INC,
Slide 15: Year to date
Year to date: Continued integration of new CEO and CFO to achieve future growth. Retumed to profitability. Increased transparency through improved public communications. Relocated our color printing operations to our new Hainan facility. |e) California Proposition 65 « & SHINER INTERNATIONAL, INC.
Slide 16: Management Team
MANAGEMENT TEAM ‘Mr. Qingtao Xing, CEO & President — Mr. Xing became President of Shiner in 2008, prior to serving as Shines's vice President for steategic initiatives. From 2007 to 2008, Mr. Ning worked as a project development associate for LaSalle Investment Management. Mr. Ning received his Mast
Slide 17: FY 2010 - Restoration of Credibility
FY 2010 -RESTORATION OF CREDIBILITY "kK ish tn By year end, we plan to: Complete Hainan facility. Commence installation - new capital equipment. Coated film line relocated and fully operational. Increase our domestic and international distribution. Improve operational efficiencies. Achieve SOX 404 c
Slide 18: FY 2010 Guidance
FY 2010 GUIDANCE We are projecting: Revenue $53M. Gross Profit $8.4M Net Income $ 4M EPS. $0.16 18 € SHINER INTERNATIONAL, INC.
Slide 19: FY 2011 - Renewed Optimism
FY 2011 -RENEWED OPTIMIMISM may a. FY 2011 OBJECTIVES: — < Hainan Facility 100% on line by June 2011. Enhancing R&D program through acquisitions. Significantly expand our coated film operations both domestically and internationally. Cross selling our technology to increase our BOPP Tobacco business.
Slide 20: Capacity Expansion FY 2011
i CAPACITY EXPANSION FY 2011 a. Address Area Capacity _ Employees Headquarter Haikou 10,000 Facility in Haikou Haikou 750,000 400 Facility in Zhuhai Zhuhai 180,000 158 Coated film 15,000 Anti-counterfeit film 2,500 BOPP tobacco film 20,500 Color printin: 3 lines
Slide 21: Equity Highlights
EQUITY HIGHLIGHTS a OTR Stock Code Nasdaq:BEST Market Cap. $ 28M FD. Shares Outstandi 246M Revenue (ttm) $ 39M Net Income (ttm) $1.1M EPS (ttm) $ 0.04 Forward P/E! (ee: EV/EBITDA 8.9 Fiscal Year End December 31 21 €> ‘SHINER INTERNATIONAL, INC.
Slide 22: Summary Income Statement
SUMMARY INCOME STATEMENT December 31, December 31, March 31, March 31, (US$ Millions) 2009 2008 2010 2009 Net Revenue 345 51.6 116 7A Revenue Growth 33.0% 20.6% 63.9% -37.3% Cost of Revenue (30.0) (42.0) (7 66 Gross Profit 45 96 19 05 Gross Profit Margin 13.0% 18.6% 16.4% 7.0% Selling Expenses (8) (
Slide 23: Balance sheet and operating efficiency ratios
(USD $ Millions) December 31, March 31, 2009 2010 Cash & Cash Equivalents 3.1 18 Accounts Receivable 64 72 Inventory 83 10.1 Total Current Assets 214 241 Property and Equipment 12.2 118 Construction in Progress 6.6 TI Intangible Assets 04 04 Total Assets 412 43.9 Accounts Payable By 44 Short Tecm Lo
Slide 24: Thank you!
is Elin BiRAS SHINER INTERNATIONAL, INC. Thank you! Fora Sater Tomorrow
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