Investor overview
Ton Büchner and Maëlys Castella
February 15, 2017
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Strong track record of performance improvement
ALPS Continuous improvement
75% sites
20% Eco-premium
solutions Carbon
Footprint
reduced
300+ Human Cities
projects Safer operations
Progress
on a new GBS
model
Acquisition of BASF’s Industrial Coatings business
Record ROS
and ROI
€200+ million
savings
Employee
engagement
up for 6th
year
Volume
Growth
3
Financial topics
Integrated Supply Chain
Business Areas
AkzoNobel at a glance
Full-year and Q4 2016 results
Agenda
Investor overview 3
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Investor overview
Building on our strong foundation of operational excellence to drive growth
Full-year and Q4 2016 results
Decorative Paints Performance Coatings Specialty Chemicals
Higher volumes
and profitability
Dulux Academy and virtual reality
customer center, UK
Fourth Decorative Paints plant in
China (Chengdu)
Visualizer app upgraded and
downloaded 13+ million times
Dulux Forest Breath – sustainable
interior paint - introduced in China
Maintained structurally
higher profitability
Acquisition of BASF’s Industrial
Coatings business
New Specialty Coatings and
Powder Coatings facilities in India
Launch of Aquasilk, water-based
wood coating, in China
Launched colorvation, digital
technology that increases speed
and accuracy in color matching
Volume and profitability
improvement
Largest plant for organic peroxides
in cross-linked rubber, China
Partnership with Atul to produce
MCA in India
Dissolvine M-40 more sustainable
chelating agent for detergents
Launch of Berol DR-B1; surfactant
for “Safer Choice” cleaning products
4
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Investor overview Full-year and Q4 2016 results
Profitability improved further and EBIT was up despite adverse currencies
Revenue
(€ million)
Moving average
ROI %**
EBIT* (€ million) ROS %**
FY 2015 FY 2016
14,197 14,859
1,462
FY 2016
1,502
FY 2015 FY 2016
14.0
FY 2015
15.0
10.6
FY 2016
9.8
FY 2015
*EBIT = Operating income excluding incidentals **ROS% = EBIT/revenue and Moving average ROI (in %) = 12 months EBIT/12 months average invested capital
1,136
FY 2015
1,297
FY 2016
Net cash from
operating activities
5
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Investor overview
Full-year Volumes 1% higher
Revenue down 4%, due to unfavorable currency and price/mix effects
EBIT* up 3% at €1,502 million, positively impacted by volume growth, continuous improvement and lower costs
ROS** up at 10.6 % and ROI** up at 15.0 %
Adjusted EPS up 3% at €4.15
Total dividend proposed for 2016 up 6.5% to €1.65
Net cash inflow from operating activities up 14%
Q4 Volumes up 2%, driven by Decorative Paints and Specialty Chemicals
EBIT at €235 million, mainly due to higher restructuring expenses and weakness in the marine and oil and gas industries
Adjusted EPS at €0.66
Completed acquisition of BASF’s Industrial Coatings business
Share repurchase program announced; anticipated to be concluded by the end of April 2017
Full-year and Q4 2016 results
Record ROS, ROI, adjusted EPS and net cash inflow from operating activities
*EBIT = Operating income excluding incidentals **ROS% = EBIT/revenue ROI = 12 months EBIT/12 months average invested capital
Strong track record of performance improvement
6
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China
South and SE
Asia
Powder Coatings
Specialty Chemicals
Oil and gas
industries
In 2016 seized opportunities for growth and adapted to challenging markets
Automotive and
Specialty Coatings
EMEA
~ Marine industry
Latin America
7
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Full-year and Q4 2016 results
Updated expected growth rates for our relevant markets 2017
Clear aim to build on the foundation we have created and grow in line or faster than our relevant market segments
Investor overview
<0% 0-3% >3%
Mature Europe
Latin America
Asia
Emerging Europe and Africa
Marine and Protective
Coatings
Industrial Coatings
Automotive and Specialty
Coatings
Powder Coatings
Bleaching chemicals
Salt-chlorine chain
Ethylene oxide network
Surfactants
Polymer chemistry
8
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Strategy focused on delivering continuous improvement and growth
Next steps
Culture
Core principles and values
Sustainability – Planet Possible
Society – Human Cities
Drive organic growth and innovation
Pursue value generating acquisitions
Build further operational excellence
Deliver continuous improvement culture
Hardwire new organization model
Investor overview Full-year and Q4 2016 results
9
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Investor overview
Structurally improved to achieve record levels of financial performance in 2016
Hardwiring new organization model
Full-year and Q4 2016 results
Guidance
2016-2018
9-11
2016
10.6
2015
9.8
2014
7.5
13-16.5
Guidance
2016-2018
2016
15.0
2015
14.0
2014
10.9
ROS% = EBIT/Revenue. Moving average ROI (in %) = 12 months EBIT/12 months average invested capital
Return on investment* % Return on sales* %
Engagement
4.17 (2015 4.03)
Total reportable injury rate
1.4 (2015 1.6)
Continuous improvement
Delivering €200+
million savings
10
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Investor overview
€200+ million savings from continuous improvement and operational excellence
ALPS
AkzoNobel Leading Performance System
75% of sites
85% KPI’s
improved
GBS
Global Business Services
Standardized
processes
>70% payables
Serving
66% people ALPS
Deliver
starts in 2017
Engagement
OTIF
>96%
Full-year and Q4 2016 results
5
regional hubs
Finance
HR
>90%
Receivables
Increased
transparency
IM
All
Business
Areas
Delivering
benefits
Expanding into
support functions
11
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Investor overview Full-year and Q4 2016 results
ALPS delivering continuous improvement and capacity for organic growth
5S Implemented, Latin America ALPS in action, Asia
12
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Investor overview
€634 million invested in sites to support organic growth and operational excellence
Full-year and Q4 2016 results
Chengdu, China
Decorative Paints
Performance Coatings
Specialty Chemicals
Shanghai, China Ashington, UK
Los Reyes, Mexico Cikarang, Indonesia
Pasadena, U.S.
Gujurat,India
Mumbai, India
Strongsville, U.S.
Ningbo, China
Ibbenburen, Germany
Chonburi, Thailand
13
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Investor overview
€363 million invested in driving innovation to support organic growth
Full-year and Q4 2016 results
Launched AquaSilk in China,
an innovative waterborne anti-scuff
Visualizer App –
over 13 million downloads
Introduced Dissolvine M-40
for the detergent industry
Virtual reality customer Centre
in the UK
Launched forest breath in China.
It contains anti-bacterial properties
that improve indoor air quality
Intertrac Vision,
an award winning digital tool
which predicts hull performance
14
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Investor overview
Joint Ventures:
Acquired outstanding shares in Eko Peroxide
Cooperation for Salt production in Spain
Partnership with Atul to produce MCA in India
Production JV with Evonik for Chlorine in Germany
Acquired controlling share in Egypt JV for Powder Coatings
Value generating acquisitions and joint ventures supporting growth
Full-year and Q4 2016 results
#1 in coil
coatings
Full
profitability
by end
2018
Completed
for €425
million
BASF’s
Industrial
Coatings
business
Revenue
~€280
million 2017
Portion of
production
transferred
Synergies
and
additional
production
efficiencies
15
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REI – Resource Efficiency Index
(Gross margin/CO2(e) indexed)
Further progress made towards our 2020 sustainability ambitions
Eco-premium solutions with downstream benefits (in % of revenue)
Cradle-to-Grave, Carbon Footprint
(% reduction CO2(e) per ton of sales from 2012)
Progress on our Planet Possible agenda
Shipping industry’s largest ever number of carbon credits
Exploring feasibility of
waste-to-chemicals
Leading a consortium
for purchase of wind
power
Sustainable steam
project in Delfzijl
17 18 19 19 2020
6
-42 3
25 -30
0
100 98 96113 112
2012 2014 2015 2016 … 2020 2013 2012 2014 2015 2016 … 2020 2013 2012 2014 2015 2016 2013
Investor overview 16
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300+ projects
175,000 liters of paint
9+ million people
Making people’s lives more liveable and inspiring
17
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Investor overview
Full-year
Strong financial performance improvement continued in 2016
Q4
Full-year and Q4 2016 results
Volumes EBIT Record
ROS and ROI
Volumes
Completed acquisition
BASF's Industrial
Coatings business
Up 3% 1% higher
3% At €4.15
Total dividend proposed for 2016
Up 6.5% at €1.65 (2015: €1.55)
Net cash inflow from operating activities
Up 14%
€1,297 million
(2015: €1,136)
Up 2%
Announced share buyback to neutralize the dilutive effect of stock dividends paid in 2016
Adjusted EPS
ROS 10.6% (2015 9.8%)
ROI 15.0% (2015 14.0%) Up 6% excluding currencies
18
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Investor overview
Decorative Paints Performance Coatings Specialty Chemicals
Volume growth overall, driven by Decorative Paints and Specialty Chemicals
AkzoNobel
2 2
-2-1
-2-3 -3
Quarterly volume development in % year-on-year
Quarterly price/mix development in % year-on-year
-2 -2-1-1
-2-1
-4
-2
0
2
-2 -2-3
2
-1
11
-4 -4-3 -3
-2-2-1
4
11
-2 -2
2 21
-1
-1
-3-2-2-2
23
6
11-1
-3
-4
-2
0
2
4
6
Full-year and Q4 2016 results
2015
2016
19
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EBIT growth driven by higher volumes and continuous improvement
*ROS% = EBIT/revenue. Moving average ROI (in %) = 12 months EBIT/12 months average invested capital
€ million FY 2015 FY 2016 Δ%
Revenue 14,859 14,197 (4)
EBIT (Operating income excluding incidental items) 1,462 1,502 3
Operating income 1,573 1,519 (3)
Ratio, % FY 2015 FY 2016
ROS* 9.8 10.6
Moving average ROI* 14.0 15.0
Revenue development full-year 2016
0 1 -2
-3 -4
Total Exchange rates Acquisitions/Divestments Price/Mix Volume
20
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Q4 2016 impacted by restructuring and Marine and oil and gas industries
Investor overview
€ million Q4 2015 Q4 2016 Δ%
Revenue 3,559 3,456 (3)
EBIT (Operating income excluding incidental items) 268 235 (12)
Operating income 345 217 (37)
Ratio, % Q4 2015 Q4 2016
ROS* 7.5 6.8
Moving average ROI* 14.0 15.0
Increase
Decrease
Revenue development Q4 2016 vs. Q4 2015
-4 -2
-2
*ROS% = EBIT/revenue. Moving average ROI (in %) = 12 months EBIT/12 months average invested capital
2
-3
Total Exchange rates
-2
Acquisitions/Divestments
0
Price/Mix
-3
Volume
Full-year and Q4 2016 results 21
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Decorative Paints full-year 2016: Higher volumes and profitability
Investor overview
€ million FY 2015 FY 2016 Δ%
Revenue 4,007 3,835 (4)
EBIT (Operating income excluding incidental items) 345 357 3
Operating income 345 366 6
Ratio, % FY 2015 FY 2016
ROS* 8.6 9.3
Moving average ROI* 11.7 12.8
Revenue development full-year 2016
Increase
Decrease
-5
3 Launched in Rio, our Unexpected
Courts project uses paint to create
Courts and spaces in surprising
places
Our Color of the Year,
Denim Drift, was launched
-3
*ROS% = EBIT/revenue. Moving average ROI (in %) = 12 months EBIT/12 months average invested capital
3
-6
Exchange rates
-4
Total Acquisitions/Divestments
0
Price/Mix
-1
Volume
Flexa Color Tester - winner of the
Dutch Best Product of the Year 2016-
2017
Full-year and Q4 2016 results 22
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Decorative Paints Q4 2016: Another quarter of volume growth
Investor overview
€ million Q4 2015 Q4 2016 Δ%
Revenue 931 898 (4)
EBIT (Operating income excluding incidental items) 46 51 11
Operating income 46 51 11
Ratio, % Q4 2015 Q4 2016
ROS* 4.9 5.7
Moving average ROI* 11.7 12.8
Revenue development Q4 2016 vs. Q4 2015 Increase
Decrease
-5
3
-3
*ROS% = EBIT/revenue. Moving average ROI (in %) = 12 months EBIT/12 months average invested capital
2
Total
-4
Exchange rates
-4
Acquisitions/Divestments
0
Price/Mix
-2
Volume
Recently launched our Dulux
Forest Breath Eco-sense range of
indoor decorative paints
23 Full-year and Q4 2016 results
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Performance Coatings full-year 2016: Maintained structurally higher profitability
Investor overview
Increase
Decrease
Revenue development full-year 2016
€ million FY 2015 FY 2016 Δ%
Revenue 5,955 5,665 (5)
EBIT (Operating income excluding incidental items) 792 759 (4)
Operating income 792 735 (7)
Ratio, % FY 2015 FY 2016
ROS* 13.3 13.4
Moving average ROI* 29.4 29.4
-6 -2
-2 We broke ground on a powder
coatings plant in Mumbai,
which will provide new lines,
including products for pipes
*ROS% = EBIT/revenue. Moving average ROI (in %) = 12 months EBIT/12 months average invested capital
0
Volume Acquisitions/Divestments Total
-5
Exchange rates
-3
Price/Mix
-2 0
Colorvation digital technology -
increases speed and accuracy in color
matching
Full-year and Q4 2016 results 24
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Performance Coatings Q4 2016: Weakness in marine and oil and gas
Investor overview
Increase
Decrease Revenue development Q4 2016 vs. Q4 2015
€ million Q4 2015 Q4 2016 Δ%
Revenue 1,482 1,398 (6)
EBIT (Operating income excluding incidental items) 192 152 (21)
Operating income 192 135 (30)
Ratio, % Q4 2015 Q4 2016
ROS* 13.0 10.9
Moving average ROI* 29.4 29.4
-6 -2
-2
*ROS% = EBIT/revenue. Moving average ROI (in %) = 12 months EBIT/12 months average invested capital
Price/Mix
-3
-2 Total
0
Exchange rates
-6
Acquisitions/Divestments Volume
-1
Akzo Nobel inaugurates a first of
its kind specialty coatings facility
in India
25 Full-year and Q4 2016 results
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Specialty Chemicals full-year 2016: Volume and profitability improvement
Investor overview
Increase
Decrease Revenue development full-year 2016
€ million FY 2015 FY 2016 Δ%
Revenue 4,988 4,783 (4)
EBIT (Operating income excluding incidental items) 578 629 9
Operating income 609 629 3
Ratio, % FY 2015 FY 2016
ROS* 11.6 13.2
Moving average ROI* 16.3 17.9
-3
-1 -3
*ROS% = EBIT/revenue. Moving average ROI (in %) = 12 months EBIT/12 months average invested capital
-1
Acquisitions/Divestments
-3
Price/Mix
-1 -4
Exchange rates Total Volume
1
Inaugurated two new specialty
chemicals plants at the multi-site in
Ningbo, China.
Full-year and Q4 2016 results 26
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Specialty Chemicals Q4 2016: Volumes up 4% driven by Asia and Europe
Investor overview
Increase
Decrease Revenue development Q4 2016 vs. Q4 2015
€ million Q4 2015 Q4 2016 Δ%
Revenue 1,167 1,169 -
EBIT (Operating income excluding incidental items) 90 118 31
Operating income 91 118 30
Ratio, % Q4 2015 Q4 2016
ROS* 7.7 10.1
Moving average ROI* 16.3 17.9
-3
-1 -3
*ROS% = EBIT/revenue. Moving average ROI (in %) = 12 months EBIT/12 months average invested capital
4
Volume
-4
Price/Mix Acquisitions/Divestments
0 0 0 Exchange rates Total
Investments in multi-site in Ningbo
and Tianjin, China
27 Full-year and Q4 2016 results
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EBIT increased due to higher volumes, continuous improvement and lower costs
Investor overview
319
86
+3%
FY 2016 OPI
1,519
incidentals
17
FY 2016 EBIT
1,502
Other* Price/mix
-321
Volume Currency/
acq/div
-44
FY 2015 EBIT
1,462
Incidentals
-111
FY 2015 OPI
1,573
Increase
Decrease € million
* Other costs includes raw materials, restructuring benefits, wage inflation, depreciation and amortization ** Excluding currencies
+6%**
Full-year and Q4 2016 results 28
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Free cash flow continues to improve
Investor overview
€ million
FY2013 FY2014 FY2015 FY2016
EBITDA 1,513 1,690 2,088 2,108
Interest paid -228 -206 -151 -87
Tax paid -230 -258 -261 -285
Changes in working capital, provision* and other 69 -145 -224 -175
Capital expenditures (including intangible assets) -695 -612 -688 -651
Free cash flow, excluding pension top-up payments 429 469 764 910
Pension top-up payments -408 -270 -316 -264
Free cash flow (from operations) 21 199 448 646
*Provisions include recurring pension contributions Free cash flow (from operations) = Net cash from operating activities minus Capital expenditures and Investment in intangibles
646448
199
2014 2015 2013 2016
21
Full-year and Q4 2016 results 29
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Investor overview
IAS19 pension deficit €1.0 billion
Key pension financial assumptions Q4 2015 Q4 2016
Discount rate 3.5% 2.4%
Inflation rate 2.8% 3.1%
297
Deficit end
Q4 2016
(990)
Other
207
UK Buy-in
(637)
Asset return
over P &L
2,394
Inflation
on DBO
(334)
Discount
rates on DBO
(2,290)
Top-ups
Deficit end
Q4 2015
(627)
Pension deficit development in 2016
€ million Decrease Increase
Full-year and Q4 2016 results 30
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Investor overview
563 408
270 316 264 220 200 200 190 190 0
594
438
300 350 297 275
200 200 190 190
2012 2013 2014 2015 2016 2017 E 2018 E 2019 E 2020 E 2021 E 2022 E
From escrow account
CashEstimated cash top-ups € million
Actively managing pension liabilities; lower top-ups due to foreign exchange
Further de-risking through non-cash buy-in transactions totaling €3.3 billion in 2016
Around 60 percent longevity risk and around 80 percent interest rate and inflation risk is hedged
Top-up schedule updated for actual payments 2016 and current exchange rates (2017 onwards)
Relate mainly to two UK plans: ICI Pension Fund and the Courtaulds Pension Scheme
Updated
Assumes €1: £0.86/$1.05 from 2017 Note: schedule includes non-cash transactions related to the CPS escrow account;
Full-year and Q4 2016 results 31
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Investor overview
Cash management discipline continues; Leading performance for working capital
Operating Working Capital € million
1,572 1,384 1,418
1,385 1,405
10.7% 9.9% 10.1%
0%
2%
4%
6%
8%
10%
12%
14%
16%
0
500
1.000
1.500
2.000
2.500
3.000
2012 2013 2014 2015 2016
9.7% 10.2%
Operating Working Capital
OWC as % of LQ revenue * 4
Capital expenditures € million
Other
Decorative Paints
Performance Coatings
Specialty Chemicals
CAPEX as % revenue
2016
634
4.5%
2015
651
4.4%
2014
588
4.1%
2013
666
4.6%
2012
826
5.4%
Full-year and Q4 2016 results 32
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€ million
FY2013 FY2014 FY2015 FY2016
Free cash flow 21 199 448 646
Dividend paid -286 -280 -281 -336
Other 66 57 29 29
Net cash generation (from continued operations) excl. acquisitions and divestments
-199 -24 196 339
Acquisitions -34 -13 -9 -416
Divestments 347 51 160 53
Net cash generation (from continued operations) 114 14 347 -24
Cash flow from discontinued operations 675 -88 -6 -6
Net cash generation 789 -74 341 -30
Investor overview
Positive net cash after dividends for second consecutive year
Other includes: Dividend from associates and joint ventures interest received and issue of shares for stock option plan and other changes
Net Debt 1,529 1,606 1,226 1,252
Full-year and Q4 2016 results 33
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Investor overview
Further increase in dividend shows we are confident in our cash flow generation
* Based on year-end share price
Dividend policy is to pay a “stable to rising”
dividend each year
Final dividend paid in cash, unless
shareholders elect to receive a stock dividend
Proposed final dividend €1.28 resulting in
total dividend for 2016 up 6.5% to €1.65
Share repurchase program to neutralize the
dilutive effect of stock dividends paid in 2016
2016
1.65
0.37
1.28
2015
1.55
0.35
1.20
2014
1.45
0.33
1.12
2013
1.45
0.33
1.12
Interim dividend
Final dividend
Dividends € per share
2.6% 2.5% 2.5% 2.8% Yield*:
+7% +6.5%
Full-year and Q4 2016 results 34
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Retain strong investment grade credit rating
Limit risk and reduce uncertainty
Strategically aligned and value generating
Pay a stable to rising dividend
Innovation and capital expenditure
Cash generation restored to invest in growth and improve shareholder returns
Investor overview
2. Dividend
1. Profitable organic growth
3. Acquisitions
5. Manage pension liabilities
4. Balance sheet
Full-year and Q4 2016 results 35
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We are stronger, more agile, better able to adapt and grow
ALPS Continuous improvement
75% sites
20% Eco-premium
solutions Carbon
Footprint
reduced
300+ Human Cities
projects Safer operations
Progress
on a new GBS
model
Acquisition of BASF’s Industrial Coatings business
Record ROS
and ROI
€200+ million
savings
Employee
engagement
up for 6th
year
Volume
Growth
36
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We are stronger, more agile, better able to adapt and grow
We maintain our financial guidance for 2016-2018
We anticipate positive developments for EMEA,
North America and Asia, improving during the
year, while Latin America is expected to
stabilize.
Some economic and political uncertainty is
expected to remain.
Market trends experienced in the second part of
2016, including for marine and oil and gas
industries, are expected to continue during the
first half of 2017.
We have structurally improved our ability to
respond to developments in our markets.
We are taking appropriate measures to deal
with higher raw material prices in an inflationary
environment.
Our stronger operational and financial
foundation means we are more agile and better
able to seize growth opportunities, including
acquisitions.
37
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Investor overview
AkzoNobel at a glance
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Global paints, coatings and specialty chemicals company
€14.2 billion revenue
€1,502 million EBIT
80+ countries
46,000 employees
Leadership positions in many markets
Revenue by Business Area
43%
21%
36% 36%
27%
17%
9%
7% 4% Mature Europe
Asia Pacific
North America
Latin America
Emerging Europe
Other
40%
27%
33%
PerformanceCoatings
DecorativePaints
SpecialtyChemicals
EBIT by Business Area Revenue by geographic region
39
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Revenue split per Business Unit
35%
25%
21%
19% Functional
Industrial
Surface
Pulp andPerformance
Specialty Chemicals
26%
26%
48%
Marine andProtective
Automotive andSpecialty
Industrial andPowder
Performance Coatings
56%
13%
31%
EMEA
LatinAmerica
Asia
Decorative Paints
40
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Buildings and infrastructure
Transportation
Consumer durables
Consumer packaged goods
Natural resource and energy industries
Process industries
Automotive repair
Automotive OEM, parts and assembly
Marine and air transport
Consumer goods
Industrial
New build projects
Maintenance, renovation & repair
Building products and components
21%
of revenue
18%
of revenue
17%
of revenue
44%
of revenue
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Investor overview
Global paints and coatings by market sector
~€100 billion, 2012 – 2015
Chemicals industry
~€3,500 billion, 2012 – 2015
Present in large and attractive markets
42%
6% 6% 6%
6%
6%
3% 2% 2% 1% 1%
16%
Decorative
Automotive OEM (metal)
Wood finishes
Vehicle refinish
Protective coatings
Powder coatings
Coil coatings
Marine
Packaging coatings
Auto plastics exterior
Wireless/IT plastics
Auto plastics interior
Aerospace
Yacht
GI/OthersPerformance
Coatings 58%
Decorative
Paints 42%
5% 5%
1% 1%
23%
17% 16%
11%
11%
9%
Manufactured fibres
Coatings
Adhesives and sealants
Synthetic rubber
Bulk petrochemical andintermediates
Plastic resins
Other specialties
Agricultural chemicals
Consumer products
Inorganic chemicals
AkzoNobel at a glance
Source: Global paints and coatings by market, Orr & Boss; Global chemical shipments by segment 2014, excluding pharmaceuticals, American Chemistry Council
42
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Investor overview
Strategy delivering results and building foundation for continuous improvement
Achievements
Transformation | New operating models for all Business Areas
Realignment of the functions
Operational optimization; reduction in:
– Factory footprint
– Enterprise Resource Planning systems
– SKUs
Portfolio optimization with selected divestments
Proactive management of pension liabilities
Continued focus on sustainability
Core principles and values | Human Cities
AkzoNobel at a glance 43
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Investor overview
Support functions are progressing towards the future operating model
Decentralized functions
Function reporting and alignment
Shared services/ outsourcing
Global Business Services
Human Resources
Information Management
Finance
Procurement (non product related)
AkzoNobel at a glance 44
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Core principles and values in place; Incentives aligned with strategy
We build successful partnerships with our customers
We do what we say we will do
We strive to be the best in everything we do, every day
We develop, share and use our personal strengths to win as a team
Core
principles:
Safety
Integrity
Sustainability
Customer Focus
Deliver on Commitments
Passion for Excellence
Winning Together
STI Element Metric *
20% Return on investment
20% Operating income
30% Operating cash flow
30% Personal targets – partly related to strategic targets
LTI Element Metric
35% Return on investment
35% Total Shareholder Return
30% Sustainability /
RobecoSAM - DJSI
Investor overview AkzoNobel at a glance
*A new metric, revenue growth, was approved at the AGM 2016. It has been introduced for some executives.
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Investor overview
Strategy will be maintained and move towards the next phase
Return on sales below peers
Not earning our cost of capital
Inadequate free cash flow
Operating expenses too high
Not leveraging scale
Vision and strategy:
Organic growth
Operational excellence
Sustainability
2015 targets:
ROS 9%; ROI 14%
Aligned remuneration
Core principles and values
Limited economic
recovery
Slowing
emerging markets
Historical issues Building the foundation Continuous improvement
Organic growth
External environment
AkzoNobel at a glance 46
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Focus will shift towards continuous improvement and organic growth
Next steps
Culture
Core principles and values
Sustainability – Planet Possible
Society – Human Cities
Drive organic growth and innovation
Pursue value generating acquisitions
Build further operational excellence
Deliver continuous improvement culture
Hardwire new organization model
Investor overview AkzoNobel at a glance 47
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Investor overview
Vision confirmed; financial guidance 2016-2018
Guidance 2016-2018:
Return on sales: 9-11%
Return on investment: 13-16.5%
Clear aim to build on the foundation we have created and grow in line or faster than our relevant market segments
Vision: Leading market positions delivering leading performance
AkzoNobel at a glance
Key assumptions: Currencies versus €: $1.1, £0.71, ¥7.1 Oil price ~$60/bbl ; no significant market disruption
ROS% = EBIT/revenue. Moving average ROI (in %) = 12 months EBIT/12 months average invested capital
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Investor overview
Visions confirmed; performance ranges 2016-2018
Performance Coatings
Vision:
Leading market positions
delivering leading performance
Performance range 2016-2018: Return on sales: 12-14% Return on investment >25%
Decorative Paints
Vision:
The leading global Decorative Paints company
in size and performance
Performance range 2016-2018: Return on sales: 8-10% Return on investment: >11.5%
Specialty Chemicals
Vision:
Delivering leading performance
based on sustainable chemical platforms
driving profitable growth in selected markets
Performance range 2016-2018: Return on sales: 11.5-13% Return on investment: >16%
Clear aim to build on the foundation we have created and grow in line or faster than our relevant market segments
AkzoNobel at a glance
Key assumptions: Currencies versus €: $1.1, £0.71, ¥7.1 Oil price ~$60/bbl ; no significant market disruption
ROS% = EBIT/revenue. Moving average ROI (in %) = 12 months EBIT/12 months average invested capital
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Sustainability is business; business is sustainability
(Resource Efficiency Index)
A new indicator measuring how efficiently we generate value (expressed as
gross margin divided by cradle-to-grave carbon footprint)
of revenue by 2020 from products that are more sustainable for
our customers than the products of our competitors
more efficient resource and energy use across the entire value chain
by 2020 (measured by carbon footprint reduction)
Investor overview AkzoNobel at a glance 50
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A strong case for investment
Investor overview
Portfolio of businesses with leadership positions in many markets
Strong global brands in both consumer and industrial markets
Long-term growth potential from end-user segments
Balanced exposure across geographic regions
Track record of improving returns and cash flow
History of successfully commercializing innovation
Clear leader in sustainability
Commitment to Human Cities
AkzoNobel at a glance 51
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Investor overview
Business Areas
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A global player with leading market positions
Key capabilities
Understanding customer needs
Management of integrated value chains
Continuous technological advancement
Engineering and project management
Specialty Chemicals key figures
Revenue by end-user segment
Revenue by geographic spread
€ million 2016
Revenue 4,783
EBIT 629
Operating income 629
Return on sales 13.2%
Return on investment 17.9%
Employees 9,000
50%
34%
16% EMEA
Americas
Asia Pacific
21%
6%
28%
45%
Buildings andInfrastructure
Transportation
Consumer Goods
Industrial
53
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– Ethylene oxide
– Ethylene amines
– Ethoxylates
– Natural oil and fat-based nitrogen surfactants
– Organic peroxides
– Metal alkyls
– Energy/Salt
– Caustic/Chlorine
– Sodium chlorate
– Hydrogen peroxide
Resilient portfolio organized in five strong chemical platforms
Our main chemical platforms Our products
Investor overview
– Monochloroacetic acid
– Chloromethanes
– Polymer additives
– Cellulosics
– Chelates/Micronutrients
Salt-chlorine chain
Bleaching chemicals
Polymer chemistry
Surfactants
Our business units
Ethylene oxide network
Pulp and Performance
Chemicals
Industrial Chemicals
Polymer Chemistry
Ethylene and Sulfur
Derivatives
Surface Chemistry
Business Areas 54
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Improve performance by driving
operational excellence ~50% of portfolio
We continue with pursuing differentiated strategies
Investor overview
Outgrow the market organically
~50% of portfolio
Actions
Capitalize on investments
Successfully commercialize
products for attractive applications
Invest when attractive growth
opportunities arise
Actions
Reduce costs and further improve
productivity in operations
Improve raw material (cost) position
Leverage existing production
capacity
Growth range
2012-2015
0 to 15% per year
Average +3%
Growth range
2012-2015
-10 to +5%
Average -3%
Business Areas
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3000
3500
4000
4500
5000
5500
60002003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015 LV
Investor overview
Quality of business improved
Customer portfolio
Product portfolio Strategic focus
Improve performance
platforms
Outgrow the market
platforms
New product introductions
Rest of the world
Current products
Strategic customers
Other accounts Europe
Geo-spread
Rest of world
CAGR
2.5%
418
508
Operating income
€ million, 2013-2014
Revenue
2003-2015
Business Areas
56
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Continued market growth expected over the next few years
Investor overview
Market growth**
% p.a., 2015-2018
>3%
1.5-3%
<1.5%
1.5-3%
<1.5%
Platform
Surfactants 6,7
3,9
1,9
6,6
1,7
Market size*
€ billion, 2014
Salt-chlorine
chain
Ethylene
oxide network
Polymer
chemistry
Bleaching
chemicals
Global leadership
Regional or segment
leadership
Other
Leading positions Revenue breakdown by position % of revenue, 2014
Business Areas
* Sum of sectors relevant to AkzoNobel **Related to AkzoNobel portfolio Source: AkzoNobel internal analysis
57
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Investor overview
We have the right strategy in place
Strategic focus areas End-user segments Action Processes
Business Area Actions
Drive functional excellence
– Supply chain and operations
– Commercial excellence
– Talent management
Reduce organizational
complexity
Strengthen product and
process innovation
Capitalize on industry changes
Build on our strong chemical
platforms to deliver profitable
growth in selected markets
Business Areas
58
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Dedicated RD&I resources in world class laboratories around the globe
– >500 highly qualified FTE’s
– ~€100m per annum; ~2% of sales
More than 5,000 patents
Overarching technology programs
– Bio-based chemicals, Process technology, Shared applications
Co-operations with customers, suppliers, and academia
High sustainability content, in line with our Planet Possible strategy
Process and product innovation enables growth across all businesses
Resource preservation Increasing end-use
demands
Accelerated technology
development Changing demographics
and spending patterns
End-user requirements/trends
Investor overview Business Areas
59
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Regional opportunities enable additional growth
Investor overview
North America
Shale gas, increased investments in
petrochemicals and plastics
Growth products: Polymer Chemistry,
Surfactants
Latin America
Increased pulp production. Growing
consumer markets
Growth products: Surfactants,
bleaching chemicals
India
Specialty chemicals growth
(pharmaceutical and agriculture raw
materials) Growth middle class
Growth products: Ethylene amines,
MCA, Surfactants, Polymer Chemistry
Europe
High valued add specialties
Growth products: Surfactants,
Chelates, Performance Additives,
Expancel, Colloidal Silica
Middle East
Moving down the value chain.
Expanding petrochemicals and plastics
customers
Growth products: Polymer Chemistry,
Ethylene derivatives
China
Urbanization, growing middle class.
Improved safety and environmental
controls
Growth products: Polymer Chemistry,
Ethylene Amines, Chelates and
Micronutrients
Africa
Improved agriculture. Growing
demand for housing
Growth products: Surfactants,
Micronutrients, Performance Additives
South East Asia
Increased pulp production. Growing
consumer markets
Growth products: Bleaching chemicals,
Surfactants, Polymer Chemistry
Business Areas
60
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Performance Coatings at a glance
Performance Coatings key figures
Revenue by end-user segment
Revenue by geographic spread
€ million 2016
Revenue 5,665
EBIT 759
Operating income 735
Return on sales 13.4%
Return on investment 29.4%
Employees 19,700
25%
39%
21%
15% Buildings andInfrastructure
Transportation
Consumer Goods
Industrial
38%
28%
34% EMEA
Americas
Asia Pacific
Key capabilities
Industrial key account management
Technical support and service
Design, color and color matching
Continuous innovation in functionality and ease-of-use
Sustainable, safe solutions
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Performance
Coatings
To
Performance
Coatings
6 regions
7 strategic market units
New simplified organization drives operational excellence and organic growth
Investor overview
From
Accountability and collaboration
Speed of decision-making
Customer proximity
4 business units
12 sub-business units
72 regional units
Business Areas
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Vehicle Refinishes
Protective
Marine
Packaging
Yacht
Coil
Wood Finishes
Aerospace
Specialty Plastics
Powder
0 1 2 3 4 5 6
We have leading positions in the markets we serve
Investor overview
Segment size
€ billion, 2014
AkzoNobel market share
and position (by value) 2014
x
1
1
1
1
3/4
2
1
1
1/2
Segment growth
2016-2018
>3%
2-3%
<2%
1
Business Areas
Source: Orr & Boss base data for segment sizes, AkzoNobel internal analysis
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Investor overview
We have the right strategy in place
Business Area actions
Pursue differentiated growth
strategies
Drive overarching performance
improvement initiatives
• Reduce external spend
• Improve our operations
• Commercial excellence
Strategic focus areas End-user segments Action Processes
Business Areas
64
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We are outgrowing our markets in targeted areas
Sector Action examples
Powder Coatings • Full wheel offering including powder primer, liquid color and
powder clearcoat
Protective Coatings • Focus on downstream oil and gas and growth outside of oil and gas (Power)
Marine Coatings • Continue to invest in fouling control, sustainability innovation and enhanced
services
Investor overview Business Areas
65
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Sales force effectiveness
Common processes and tools
Sales force incentives
Sales force efficiency
Margin management
Drive commercial excellence
Investor overview
We are driving overarching performance improvement initiatives
Local sourcing of raw materials
Focus on indirect material spend
Standardize product range Double/triple source raw materials
Reduce external spend
Operational excellence program focused on
customer satisfaction, reducing costs and
increasing yields
Manufacturing footprint optimization: Closed 17 factories
Improve our operations
Ambition Achievements Focus areas
Business Areas
66
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Investor overview
Dedicated RD&I resources
>2,000 highly qualified scientists and technicians
~3% of revenues
Strategic research groups:
– Sassenheim (NL)
– Felling (UK)
– Strongsville (US)
– Songjiang (China)
– Bangalore (India)
Growth through product, process and service innovation across all businesses
Strategic drivers
Customer efficiency
Customer benefits
Global future trends
Internal efficiency
Business Areas
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75%
25% Maintenance, renovationand repair
New build projects
Decorative Paints at a glance
Key capabilities Branding Digital Distributor, wholesale, retail management Understanding and serving professional painters Consumer inspiration Quality management, including portfolio management
Decorative Paints key figures
Buildings and Infrastructure revenue breakdown
Revenue by geographic spread
€ million 2016
Revenue 3,835
EBIT 357
Operating income 366
Return on sales 9.3%
Return on investment 12.8%
Employees 14,700
56%
13%
31% EMEA
Latin America
Asia
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Changing growth expectations in maintenance, renovation and repair
Investor overview
Maintenance and repair, excluding infrastructure and industrial construction
$ billion, output
Global Europe
2013 2014 2015 2016 2017 2018 2019
4.6% p.a.
1.7% p.a.
5.3% p.a. China 4% p.a.
Europe* 2.4% p.a.
India 5.9% p.a. 3.3% p.a.
North America**
0.4% p.a.
2013 2014 2015 2016 2017 2018 2019
4.3% p.a.
-1.3% p.a.
6.5% p.a.
-3.4% p.a.
Turkey 2.1% p.a.
Russia 1.8% p.a.
2% p.a.
-5% p.a.
France 1.2% p.a.
Germany 4.5% p.a.
Italy 1.7% p.a.
UK -0.2% p.a.
-4.7% p.a. Brazil 0.3% p.a.
Business Areas
*Europe includes Russia and Turkey ** North America Excludes Mexico Source: IHS/Construction IC
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0 2.500 5.000
Market size
€ million, 2014
AkzoNobel has a strong 1 or 2 market position in all regions where present
Investor overview
UK & Ireland
North & West Europe
Eastern & Southern
Europe & Africa
South East & South
Asia & Middle East
x AkzoNobel market share
position* (by value) 2014
Segment growth
% p.a., 2015-2018
2
AkzoNobel
regions*
South America
1.5 – 3.0% 1
2
China & North Asia
1
1
1
>3%
0 – 1.5%
>3%
>3%
>3%
Business Areas
*Arranged by market size. Containing the countries where AkzoNobel is present
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Unique competitive positioning demonstrating resilient business model
Investor overview
Diversified,
exposure outside
mature
geographies
Diversified,
mostly mature
geography
Focused,
exposure outside
mature
geographies
Focused,
mature
geography
2014 revenues
€ millions
PPG
AkzoNobel
Sherwin-Williams
Nippon
Asian Paints
Cromology
Tikkurila
Valspar
Jotun
Masco (Behr)
Business Areas
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Investor overview
We have updated our strategic actions to reflect our new priorities
Business Area actions
Win locally
Leverage our scale:
• Innovation
• Commercial excellence
• Digital
• Painters
• Color
• Supply chain
• Brands
• Sustainability
Strategic focus areas End-user segments Actions Processes
Business Areas
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Winning locally by leveraging our scale
Consumer and Professional
Link to other AkzoNobel
brands and programs
Brands Building on our award-winning
Visualizer global launch Digital
Products and services Innovation
Leverage our credentials
through Planet Possible and
lead market to water-based
Sustainability Global needs-based research
Next steps as appropriate,
including digital
Painters
Multi-functional approach
Recognized as passionate
color expert
Color
Menu to facilitate
winning locally
Commercial
excellence
Continued emphasis on
procurement (including
localization)
Continuous improvement
Supply chain
Investor overview Business Areas
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Decorative Paints innovation agenda
Mass market growth (emerging markets)
End-user segment requirements/trends
Well-being
Regulatory
compliance
Differentiation in
large scale outlets
(LSOs)
Energy-efficient
solutions
Beyond
commoditization of
color (aesthetics)
Innovation agenda implication
Lower cost solutions Waterborne trim
and other wood
solutions
Zero volatile
organic compounds
(VOC) and zero
emissions
Customization at
point of order or
purchase
Coatings that help
manage energy use
Highly differentiated
color
Significant focus on sustainability
Investor overview Business Areas
74
Transforming Integrated
Supply Chain to deliver
leading performance
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Investor overview
Our supply chain is fundamental to our success
Largest function in the company, with close to 22,000 colleagues across our three Business Areas
Backbone of company, responsible for processes to design, deploy and deliver our products
We deliver to our customers from over 200 manufacturing sites
Each Business Area has different supply chain characteristics and customer service model
We contribute to our long-term sustainability goals by improving energy/material efficiency across the value chain
Integrated Supply Chain 76
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Investor overview
The Supply Chain vision and targets support delivering leading performance
World class safety, operational and customer service performance Cost position creates competitive advantage in our industry Leveraging size and infrastructure to serve most effectively Create sustainable value through standard, best-in-class, work processes Building a global performance-based continuous improvement culture Taking pride and ownership in delivering leading performance
World class metrics
Safety TRR
Zero process safety incidents
Service OTIF
Lean six sigma quality
Capital Days Inventory
Cost Cost productivity
Supply Chain cost – % of revenue Procurement effectiveness
People Top quartile in engagement
Strategic imperatives
Integrated Supply Chain
TRR = Total reportable injury rate OTIF – On-time in-full
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Investor overview
Leading performance is gaining momentum
Objective:
Functional excellence and capability transformation to operate at peak performance
Initiatives (launched 2014):
New organization model
ALPS deployment - Plan, Source,
Make and Deliver
Objective:
Delivering leading and sustainable performance in functional and operational excellence
Initiatives (launch 2016 onwards):
Advanced manufacturing excellence
ALPS continuous improvement
Commitment-based safety culture
Objective:
Delivering world class functional and operational excellence
Initiatives (launch 2016 onwards):
World scale integrated production
World class Supply Chain
Internal best performance Industry best performance World class
performance
1 – 3 years 3 – 6 years 7+ years
Today
Integrated Supply Chain
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We are implementing the AkzoNobel Leading Performance System (ALPS)
Enablers
Capability development
Leading edge principles,
methods and IT systems
Organization
Clear roles and
responsibilities
Lean organization structure
Processes
Standard and integrated work processes
Clear goals and metrics
ALPS
Organization
Processes
Enablers Behaviors
Behaviors
Performance-driven,
continuous
improvement culture
Change management
Investor overview Integrated Supply Chain
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Robust organization utilizing rigorous process
Boot camp Assessment Foundational
Processes Primary
Processes Embed and
mature
Continuous
improvement
Process optimization 12-18 months 4-13 weeks 3-6 months 3 days 4 days
Design Deploy Deliver
200+ sites worldwide 100+ CI team members 5 CI experts
Governance process Maturity audit
GO
LIVE
Decorative Paints
deploy team
Performance Coatings
deploy team
Specialty Chemicals
deploy team
Center of
Excellence
Investor overview Integrated Supply Chain
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Investor overview
Decorative Paints: ALPS improvement in productivity
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
ALPS
implementation
Oct 2014
2014
2015
Weeks
Avera
ge c
ycle
tim
e
ALPS
implementation
Batch production time reduced by 11% + less variation Filling line down-time dropped 79% after ALPS implementation
Integrated Supply Chain
Source : AkzoNobel analysis
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Investor overview
Performance Coatings: ALPS improvement in on-time in-full
Actual 2015
On-time in-full target
60%
75% 80%
85% 90% 92% 93% 94% 95% 95% 95% 95%
Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec
ALPS
implementation
On-time in-full improved 58% after ALPS implementation
Integrated Supply Chain
Source : AkzoNobel analysis
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(8.000)
(6.000)
(4.000)
(2.000)
-
2.000
4.000
6.000
8.000
10.000
-1,5%
-1,0%
-0,5%
0,0%
0,5%
1,0%
1,5%
2,0%
2,5%
Investor overview
Specialty Chemicals: ALPS improvement in productivity
Productivity YTD %
Productivity value YTD
--- Productivity target %
0
Q1 Q2 Q3 Q4
Productivity offsets inflation after ALPS implementation
ALPS
implementation
Integrated Supply Chain
Source : AkzoNobel analysis
83
Building a strong financial
foundation to deliver
leading performance
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1.61
1.23 1.25
1.0
0.6 0.6
0
0,5
1
1,5
0
0,5
1
1,5
2
2,5
3
3,5
4
2014 2015 2016
Net debt (€ billion)/EBITDA
Average cost of long-term bonds %
Seek to maintain investment grade rating of BBB+ (currently A-)
Net debt at €1.25 billion (0.6 x EBITDA)
Average interest rate reduced with repayment of high interest debt
Renewal of €1.8 billion undrawn credit facility Debt maturities € million (average debt duration 5 years 6 months)
Investor overview
Strong financial position provides foundation for growth
Financial topics
500500
750800
2026 2025 2024 2023 2022 2021 2020 2019 2018 2017
4.000% 2.625%
1.750% 1.125%
2016 2015
2.9
2014
3.6
2.6
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Investor overview
Further de-risking of pension liabilities including £2.8 billion non-cash buy-ins*
Various activities to reduce liabilities
£8.5 billion insurance buy-ins for UK schemes (2014-16). $0.7 billion buy-out relate to a US scheme (2013)
Active management of interest rate and inflation exposure, with around 80 percent of overall defined benefit obligation risks hedged
Almost 60 percent of longevity risk is covered by insurance contracts and hedging
Financial topics
80
6061
21
16
Longevity hedging Interest and
inflation hedging
Defined benefit
obligations
100 2
Other post-retirement benefits
ICI PF UK
Other pension plans
CPS UK
*Total year to date December 2016
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9%
22%
15%
5%
23%
8%
8%
10%
Breakdown of total raw material spend
2016
Investor overview
Titanium
dioxide
Latex and monomers
Resins
Pigments
Additives
Solvents Chemicals and
intermediates*
Packaging
Financial topics
*Chemicals and intermediates include caustic soda, acetic acid, tallow, ethylene, ethylene oxide, sulfur, amines etc.
87
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The net impact of a sustained lower oil price can have a positive impact
Investor overview Financial topics
Inventories
GDP
Fre
igh
t an
d lo
gis
tics
F
reig
ht a
nd
log
istic
s
Sales Raw materials Production
88
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Investor overview
Downstream oil related products have clearly different dynamics
Financial topics
Monomers,
Precursors, etc.
Feedstocks Base (petro)chemicals
Intermediates and more complex molecules
Methanol
Ethylene
Ethanol
Propylene
Benzene
Xylenes
Etc.
Intermediates More complex
molecules
Monomers & Latex
Resins
Packaging
Additives
Solvents
Crude Oil
(Shale) Gas
Coal
Bio based
Renewables
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Financial topics
Category Comments / assumption FY Revenue FY EBIT
Acquisition
BASF’s Industrial Coatings business. The full profitability of the acquisition will be
realized by the end of 2018, in line with the stated financial guidance for the
Performance Coatings business
~€280 mln Transition during
2017/2018
Currencies Assuming December 2016 exchange rates (€: $1.05, £0.86, RMB 7.3) = / + = / +
Continuous
improvement
Seek year-on-year productivity gains from continuous improvement (e.g. ALPS and
GBS) to at least offset inflation N/A
€100 - €200 mln
(positive effect)
Inflation Inflation on fixed cost base 2.5- 3%
Restructuring Medium term guidance 0.5 - 1% of revenue; 2017 in line with 2016 N/A ~€70 mln
Market growth 2-3% (volume and price/mix), based on relevant geographic and market presence. Market trends in marine and oil & gas
experienced in the second part of 2016 are expected to continue during the first half of 2017
Raw materials
We are likely to see higher year-over-year input costs in 2017 due to the inflationary environment, while there are various supply and
demand dynamics related to our raw materials basket. We are taking appropriate measures to deal with higher raw material prices in
an inflationary environment
Tax rate ETR 28-29%
Cash deployment Capital expenditures at 4- 4.5% of revenue and RD&I at ~2.5% of revenue
Other WACC ~7%, interest rate ~3.3%, OWC 10-12% of revenue
2017 Financial assumptions
Investor overview 90
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Purchase Managers’ Index (PMI)*
Figures below 50 indicate pessimism
Purchase Managers’ Index (PMI)*
December 2016
Manufacturing indices up in all regions and countries
Financial topics
Investor overview
*Bubble size=manufacturing output, 2016e (US$bn: 2010 prices) Sources: Oxford Economics, Markit (incl. US)
40
50
60
Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16
US
Eurozone
ChinaBrazil
Indonesia
India
Japan
China
Vietnam
France
Russia
US
Germany
UK
Netherlands
Sweden
40
45
50
55
60
65
91
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Consumer confidence up in many European countries
636677
858890100101102108112
120123136
0
20
40
60
80
100
120
140
Russia France S Africa Brazil Poland Turkey Netherlands Germany UK China Vietnam Indonesia US India
Recent trends compared to Q4 2015
Consumer confidence, Q4 2016
Figures below 100 indicate some degree of pessimism
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Investor overview
Decorative Paints Performance Coatings Specialty Chemicals
Foreign exchange a headwind in 2016
AkzoNobel
10 11
5
-2-5-4
-2
4
Quarterly foreign exchange rate development in % year-on-year
-3
35
86
-2 -1
8
-2-5
-3
9
-2
34
-7-5 -4
7
-7
2
7
-10
-5
0
5
10
2015
2016
-30%
-20%
-10%
0%
10%
Q1 '15 Q2 '15 Q3 '15 Q4 '15 Q1 '16 Q2 '16 Q3 '16 Q4 '16
USD GBP CNY SEK BRL
Financial topics 93
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