KeyBanc 2012 Basic Materials & Packaging Conference September 11, 2012 Exhibit 99.1 |
Safe Harbor Statement Safe Harbor Statement Some of the information included in this presentation contains “forward-looking statements” (as defined in Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended). Such forward-looking statements are based on management’s beliefs and assumptions and on information currently available. Forward-looking statements include the information concerning SunCoke’s possible or assumed future results of operations, the planned Master Limited Partnership, business strategies, financing plans, competitive position, potential growth opportunities, potential operating performance improvements, the effects of competition and the effects of future legislation or regulations. Forward-looking statements include all statements that are not historical facts and may be identified by the use of forward-looking terminology such as the words “believe,” “expect,” “plan,” “intend,” “anticipate,” “estimate,” “predict,” “potential,” “continue,” “may,” “will,” “should” or the negative of these terms or similar expressions. Forward-looking statements involve risks, uncertainties and assumptions. Actual results may differ materially from those expressed in these forward-looking statements. You should not put undue reliance on any forward-looking statements. In accordance with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, SunCoke has included in its filings with the Securities and Exchange Commission cautionary language identifying important factors (but not necessarily all the important factors) that could cause actual results to differ materially from those expressed in any forward-looking statement made by SunCoke. For more information concerning these factors, see SunCoke's Securities and Exchange Commission filings. All forward-looking statements included in this presentation are expressly qualified in their entirety by such cautionary statements. SunCoke does not have any intention or obligation to update publicly any forward-looking statement (or its associated cautionary language) whether as a result of new information or future events or after the date of this presentation, except as required by applicable law. This presentation includes certain non-GAAP financial measures intended to supplement, not substitute for, comparable GAAP measures. Reconciliations of non-GAAP financial measures to GAAP financial measures are provided in the Appendix at the end of the presentation. Investors are urged to consider carefully the comparable GAAP measures and the reconciliations to those measures provided in the Appendix, or on our website at www.suncoke.com. KeyBanc 2012 Basic Materials Conference 2 |
Largest independent producer of metallurgical coke in the Americas Cokemaking business generates ~85% of Adjusted EBITDA (1) – 5.9 million tons of capacity in six facilities; five in U.S. and one in Brazil – Four new plants since 2006 proves our ability to permit, design, construct and start up greenfield developments and work internationally – Supply world class steelmakers: Arcelor Mittal, US Steel and AK Steel Coal mining operations represents ~15% of Adjusted EBITDA (1) – 2012 expected production of 1.6 million tons – 114 million tons of primarily mid-vol. metallurgical coal reserves in Virginia and West Virginia About SunCoke About SunCoke SunCoke Cokemaking Capacity (In thousands of tons) KeyBanc 2012 Basic Materials Conference 3 (1) For a definition and reconciliation of Adjusted EBITDA, please see the appendix. 2006 2007 2008 2009 2010 2011 Jewell Coke (Virginia) Indiana Harbor (Indiana) Haverhill I (Ohio) Vitória (Brazil) Haverhill II (Ohio) Granite City (Illinois) Middletown (Ohio) 2,490 4,190 4,740 5,390 5,390 5,940 |
Blast Furnaces and Coke Blast Furnaces and Coke 4 1 short ton of hot metal (NTHM) Top Gas KeyBanc 2012 Basic Materials Conference BEST IN CLASS in lbs/ST BEST IN CLASS in lbs/ST Iron Iron burden burden Iron ore/ Iron ore/ pellets pellets Scrap Scrap 3100 3100 198 198 Flux Flux Limestone Limestone 30 30 Fuel Fuel Coke Coke 600 600 BEST IN CLASS in lbs/ST BEST IN CLASS in lbs/ST Fuel Fuel Nat Gas Nat Gas Coal Coal Most efficient blast Most efficient blast furnaces require furnaces require 800-900 lbs/NTHM 800-900 lbs/NTHM of fuel to produce of fuel to produce a ton of hot metal a ton of hot metal Blast furnaces are the most Blast furnaces are the most efficient and proven method of efficient and proven method of reducing iron oxides reducing iron oxides into liquid iron into liquid iron Coke is a vital material to Coke is a vital material to blast furnace steel making blast furnace steel making We believe stronger, larger We believe stronger, larger coke is becoming more coke is becoming more important as blast furnaces important as blast furnaces seek to optimize fuel needs seek to optimize fuel needs Up to 80-120 Up to 120-180 |
SunCoke’s Cokemaking Technology SunCoke’s Cokemaking Technology 5 KeyBanc 2012 Basic Materials Conference Our industry-leading cokemaking technology meets U.S. EPA Maximum Achievable Control Technology (MACT) Standards |
SunCoke’s Heat Recovery vs. By-Product Oven SunCoke’s Heat Recovery vs. By-Product Oven Pressurization Negative pressure Positive pressure Air Emissions Meets U.S. EPA MACT standards Potential for emission of hazardous compounds Power Generation Cogenerates power Power consuming process Hazardous Inputs None Yes – sulfuric acid Volatile Organic Compounds Complete combustion No combustion Solid Wastes No toxic solid wastes Process produces toxic waste streams SunCoke Heat Recovery Traditional By-Product 6 KeyBanc 2012 Basic Materials Conference |
SunCoke‘s Value Proposition SunCoke‘s Value Proposition Provide an assured supply of coke to steelmakers Larger, stronger coke for improved blast furnace performance Demonstrated sustained 15%-20% turndown High quality coke with cheaper coal blends Burn loss vs. by-product Capital preservation and lower capacity cost per ton; particularly relative to greenfield investment Stringent U.S. regulatory environment Power prices and reliability versus value of coke oven gas and by-product "credits" High Quality & Reliable Coke Supply Turndown Flexibility Coal Flexibility Capital Efficiency & Flexibility Environment /Economic Trade-offs KeyBanc 2012 Basic Materials Conference 7 |
SunCoke’s Contract Proposition SunCoke’s Contract Proposition KeyBanc 2012 Basic Materials Conference We deliver coke to customers through a competitive turnkey solution, which produces a consistent stream of earnings 8 Capital Funding and Ownership Permits and Approvals Engineering, Procurement & Construction Plant Production and Environmental Compliance Reliable, High-Quality Coke Supply Take-Or-Pay Fixed Fee (Profit and Return on Capital) Coal Cost Component (Pass-Through) Operating Cost Component (Pass-Through) Taxes, Transportation & Future Environmental Costs (Pass-Through) What SunCoke Offers Typical Key Coke Contract Provisions SunCoke SunCoke Energy Energy Customer Customer |
Q1 & Q2 2012 Earnings Overview Results driven by strong Coke business performance – Middletown startup has been a success – Continued improvement at Indiana Harbor – Strong operations at other facilities Coal action plan progressing – Difficult demand/price environment – Taking action to reduce high cash production costs – Achieved improved sequential quarter performance Strong liquidity position – Generated $66 million of free cash flow (2) in first half 2012 – Cash balance of $190 million and virtually undrawn revolver of $150 million (1) For a definition and reconciliation of Adjusted EBITDA, please see the appendix. (2) For a definition and reconciliation of free cash flow, please see the appendix. KeyBanc 2012 Basic Materials Conference 9 $26.6 $55.8 $37.7 $65.5 2011 2012 Q1 Q2 Adjusted EBITDA (1) (in millions) $0.17 $0.24 $0.32 $0.32 2011 2012 Q1 Q2 Earnings Per Share (diluted) |
Domestic Coke Business Summary Domestic Coke Business Summary (Jewell Coke & Other Domestic Coke) (Jewell Coke & Other Domestic Coke) KeyBanc 2012 Basic Materials Conference 10 Domestic Coke Production Domestic Coke Adjusted EBITDA (1) Per Ton (Tons in thousands) ($ in millions, except per ton amounts) Strong performance driven by Middletown, Indiana Harbor and other operations /Ton /Ton /Ton (3) /Ton (2) Q2 '11 Q3 '11 Q4 '11 Q1 '12 Q2 '12 Jewell Indiana Harbor Haverhill Granite City Middletown 177 179 176 174 176 301 314 309 291 299 276 293 289 286 291 168 179 172 175 177 68 142 153 922 965 1,014 1,095 1,068 $ 39 $ 50 $ 34 $ 51 $ 57 ($ 60) ($ 40) ($ 20) $ 0 $ 20 $ 40 $ 60 $ 80 – $10 $20 $30 $40 $50 $60 $70 $80 $90 Q2 '11 Q3 '11 Q4 '11 Q1 '12 Q2 '12 Jewell Coke Segment Other Domestic Coke Segment Adjusted EBITDA/ton /ton $11 $14 $11 $15 $13 $25 $34 $21 $40 $49 $36 $48 $32 $55 $61 (1) For a definition of EBITDA and Adjusted EBITDA/Ton and reconciliations, please see the appendix. (2) Includes Indiana Harbor contract billing adjustment of $6.0 million, net of NCI, and inventory adjustment of $6.2 million, net of NCI, of which $3.1 million is attributable to Q3 2011. (3) Includes a $2.4 million, net of NCI, charge related to coke inventory reduction and a $1.3 million, net of NCI, lower cost or market adjustment on pad coal inventory and lower coal-to-coke yields related to the startup at Middletown. |
Coal Mining Financial Summary Coal Mining Financial Summary KeyBanc 2012 Basic Materials Conference 11 (1) For a definition and a reconciliation of Adjusted EBITDA, please see the appendix. (2) Average Sales Price is the weighted average sales price for all coal sales volumes, including sales to affiliates and sales to Jewell Coke. (3) Q4 2011 Adjusted EBITDA inclusive of Black Lung Liability charge of $3.4 million and OPEB expense allocation of $1.8 million. Coal Sales, Production and Purchases Cash production costs increasing in face of difficult demand/price environment Pricing up modestly, reflecting strong mid-vol. pricing/volumes, offset by weak hi-vol. and thermal pricing/volumes Cash costs up $11/ton, reflecting decreased mix and higher costs of hi-vol. and thermal production Coal action plan implemented in Q1 2012 gaining traction Focus on most productive mines to reduce costs delivered sequential quarter improvement Cash cost per ton at Jewell decreased from $161 in Q1 2012 to $143 in Q2 2012 Jewell reject rates improved from 68% in Q1 2012 to 66% in Q2 2012 Expect further cash cost reductions for 2013 Intend to maintain cash neutral position in 2012 Reduced capital spending in line with outlook Coal Mining Adjusted EBITDA (1) and Avg. Sales Price/Ton (2) ($ in millions, except per ton amounts) $11 $9 $2 $7 $9 $162 $155 $159 $171 $167 $34 $25 $20 $20 $25 $126 $132 $138 $151 $137 Q2 '11 Q3 '11 Q4 '11(3) Q1 '12 Q2 '12 Coal Adjusted EBITDA Average Sales Price Coal Adj EBITDA / ton Coal Cash Cost / ton Q2 '11 Q3 '11 Q4 '11 Q1 '12 Q2 '12 Coal Sales 334 371 363 373 365 Coal Producton 340 340 349 375 401 Purchased Coal 24 22 20 19 4 |
2012 Adjusted EBITDA 2012 Adjusted EBITDA (1) (1) Outlook Outlook ($ in millions) KeyBanc 2012 Basic Materials Conference 12 (1) For a definition of Adjusted EBITDA and reconciliation of Adjusted EBITDA, please see the appendix. Strong U.S. cokemaking business expected to drive increase in Adjusted EBITDA (1) in 2012 $141 $250 - $280 $95 - $110 $5 - $15 $9 - $14 2011 Adjusted EBITDA Coke Business Coal Mining Corporate Costs 2012 Adjusted EBITDA (1) (1) |
2012 Guidance 2012 Guidance Metric Expected 2012 Outlook Adjusted EBITDA (1) $250 million – $280 million EPS* (at 22% tax rate) $1.30 – $1.65 Capital Expenditures & Investments Approximately $85 million Free Cash Flow (1) $100 million + Cash Tax Rate 10% – 15% Effective Tax Rate 20% – 24% Corporate Costs $30 million – $35 million Coke Production In excess of 4.3 million tons Coal Production Approximately 1.6 million tons *Diluted KeyBanc 2012 Basic Materials Conference 13 (1) For a definition of Adjusted EBITDA and Free Cash Flow and their reconciliations, please see the appendix. |
Strategies for Enhancing Shareholder Value Strategies for Enhancing Shareholder Value 14 KeyBanc 2012 Basic Materials Conference |
KeyBanc 2012 Basic Materials Conference Source: CRU, The Annual Outlook for Metallurgical Coke 2012. Replace aging coke batteries operated by integrated steel producers Source: CRU, The Annual Outlook for Metallurgical Coke 2012 51% of coke capacity is at facilities >30 years old Integrated Integrated Steel Steel Producers Producers 63% 63% SunCoke 18% DTE 5% Other Merchant Other Merchant & Foundry & Foundry 6% 6% Imports Imports 8% 8% Grow the Coke Business: Grow the Coke Business: U.S. and Canada U.S. and Canada 15 Total 2011 Coke Demand: 19.5 million tons 9 37 27% 24% SunCoke U.S. & Canada (excl SXC) 30-40 years 40+ years Aging Cokemaking Facilities Average Age % of U.S. & Canada coke production U.S. & Canada Coke Supply |
SunCoke believes it has the opportunity to displace higher cost coke imports . (US$/ton) Source: Steel Business Briefing, 2012 (1) Other Domestic Coke sales and other operating revenues less energy sales divided by tons sold. Grow the Coke Business: Grow the Coke Business: U.S. and Canada U.S. and Canada (1) 16 Source: CRU, Metallurgical Coke Market Outlook 2012 (Tons in millions) KeyBanc 2012 Basic Materials Conference Chinese Coke Price vs. Representative SunCoke Price (1) 4.5 4.8 3.2 5.2 0.9 2.0 2.0 2.0 1.8 1.6 1.5 1.7 2005 2006 2007 2008 2009 2010 2011 2012E2013E2014E2015E2016E Imports SunCoke sales volumes $250 $350 $450 Jan-09 Jan-10 Jan-11 Jan-12 SunCoke - Other Domestic Coke U.S. and Canada Coke Imports Chinese Metallurgical Coke (FOB China port - adds $45 - $60/ton) |
Coke Price Comparison Coke Price Comparison 17 SunCoke’s coke is highly competitive on price, quality and reliability versus imported coke KeyBanc 2012 Basic Materials Conference $529 Based on July 2012 prices Representative Delivered Coke Prices - $/ton 1 Includes approx. $50/ton freight and approx. $40/ton handling loss for shipping to Great Lakes region 2 Includes approx. $45/ton freight and approx. $30/ton handling loss for shipping to Great Lakes region SunCoke Coke Price @ Spot Coal Price SunCoke Price - Contracted Coal Price Differential Chinese Coke Price Chinese 40% Export Tax Premium (Tariff) $348 $48 $331 $402 $127 Other Domestic Coke Ukrainian Coke (2) Chinese Coke (1) $396 $331 Source: World Price (DTC), Coke Market Report, CRU and company estimates |
Natural Gas in The Blast Furnace Natural Gas in The Blast Furnace Impact of Low Natural Gas Prices • Natural gas cannot completely replace coke in blast furnace – We estimate natural gas and other injectants can replace up to about 30% – The less coke used the more important the coke’s quality • Alternative technologies take time to implement, require significant capital commitments and are energy intensive • Coke oven gases produced by integrated steelmakers’ own coke ovens is less valuable in low cost natural gas environment, potentially impacting steelmakers’ future reinvest/rebuild decisions Blast Furnace Fuel Pricing 18 Source: CRU, SXC Analysis US$/MMBtu KeyBanc 2012 Basic Materials Conference |
Grow the Coke Business: Grow the Coke Business: U.S. and Canada U.S. and Canada 19 KeyBanc 2012 Basic Materials Conference Permit a potential new multi-customer 660k/TPY U.S. plant SunCoke’s North America Strategy Explore acquisition of existing coke assets U.S. and Canada Potential Coke Market Opportunity Import displacement and demand growth Aging battery replacement Expected demand opportunity by 2015 3 2 in millions of tons 5 |
Sources: CRU, The Annual Outlook for Metallurgical Coke 2011, CIA World Factbook. Grow the Coke Business: Grow the Coke Business: International - International - India India KeyBanc 2012 Basic Materials Conference 20 India Steel/Coke Market Growing Steel Market Blast furnace to play a critical role in growth Coke supply Deficit Importing approximately 2 million tons annually Coke capacity investment lags steel investment Active Merchant Market 3.5 million tons merchant production or 13% of total 17 active merchant coke producers Electric Power Deficit 10% - 20% short power Average wholesale price >$80 mwh (2x U.S. rate) Projected to be 3rd largest steel market by 2020 • • Committed to Committed to India entry India entry strategy strategy – – Discussing Discussing opportunities in opportunities in India India – – Targeting Targeting potential entry potential entry by early 2013 by early 2013 |
Master Limited Partnership Master Limited Partnership Filed S-1 on August 8, 2012 Expected Assets/Structure – At closing of offering, MLP will own 60% interest in Haverhill and Middletown – SXC to own General Partner, incentive distribution rights and a portion of the partnership units Proceeds to SXC – Expected uses will include paying down debt, funding expansion and other general corporate purposes Timing – Expect to close no sooner than fourth quarter 2012 KeyBanc 2012 Basic Materials Conference 21 Middletown Operations Haverhill Operations |
Appendix |
Definitions • Adjusted EBITDA represents earnings before interest, taxes, depreciation, depletion and amortization (“EBITDA”) adjusted for sales discounts and the deduction of income attributable to non-controlling interests in our Indiana Harbor cokemaking operations. EBITDA reflects sales discounts included as a reduction in sales and other operating revenue. The sales discounts represent the sharing with our customers of a portion of nonconventional fuels tax credits, which reduce our income tax expense. However, we believe that our Adjusted EBITDA would be inappropriately penalized if these discounts were treated as a reduction of EBITDA since they represent sharing of a tax benefit which is not included in EBITDA. Accordingly, in computing Adjusted EBITDA, we have added back these sales discounts. Our Adjusted EBITDA also reflects the deduction of income attributable to noncontrolling interest in our Indiana Harbor cokemaking operations. EBITDA and Adjusted EBITDA do not represent and should not be considered alternatives to net income or operating income under United States generally accepted accounting principles (GAAP) and may not be comparable to other similarly titled measures of other businesses. Management believes Adjusted EBITDA is an important measure of the operating performance of the Company’s assets and is indicative of the Company’s ability to generate cash from operations. • Adjusted EBITDA/Ton represents Adjusted EBITDA divided by tons sold. • Free Cash Flow equals cash from operations less cash used in investing activities less cash distributions to non- controlling interests. Management believes Free Cash Flow information enhances an investor’s understanding of a business’ ability to generate cash. Free Cash Flow does not represent and should not be considered an alternative to net income or cash flows from operating activities as determined under GAAP and may not be comparable to other similarly titled measures of other businesses. KeyBanc 2012 Basic Materials Conference 23 |
Reconciliations KeyBanc 2012 Basic Materials Conference 24 $ in millions Q2 2012 Q1 2012 FY 2011 Q4 2011 Q3 2011 Q2 2011 Q1 2011 Adjusted Operating Income 46.6 37.1 80.4 14.9 33.5 24.6 7.4 Net Income (Loss) attributable to Noncontrolling Interest 1.3 (0.3) (1.7) (0.5) 3.4 1.6 (6.2) Subtract: Depreciation Expense (20.2) (18.4) (58.4) (16.0) (14.7) (14.7) (13.0) Adjusted EBITDA 65.5 55.8 140.5 31.4 44.8 37.7 26.6 Subtract: Depreciation, depletion and amortization (20.2) (18.4) (58.4) (16.0) (14.7) (14.7) (13.0) Subtract: Financing expense, net (11.8) (12.0) (1.4) (7.1) (3.3) 4.5 4.5 Subtract: Income Tax (7.0) (5.3) (7.2) 2.9 (5.1) (1.9) (3.1) Subtract: Sales Discount (3.8) (3.2) (12.9) (3.2) (3.5) (3.1) (3.1) Add: Net Income attributable to NCI 1.3 (0.3) (1.7) (0.5) 3.4 1.6 (6.2) Net Income 24.0 16.6 58.9 7.5 21.6 24.1 5.7 Reconciliations from Adjusted Operating Income and Adjusted EBITDA to Net Income |
Reconciliations KeyBanc 2012 Basic Materials Conference 25 $ in millions, except per ton data Jewell Coke Other Domestic Coke International Coke Jewell Coal Corporate Combined Domestic Coke Q2 2012 Adjusted EBITDA 12.5 48.6 0.7 9.3 (5.6) 65.5 61.1 Subtract: Depreciation, depletion and amortization (1.3) (13.7) (0.1) (4.3) (0.8) (20.2) (15.0) Add (Subtract): Net (Income) loss attributable to noncontrolling interests 1.3 1.3 1.3 Adjusted Pre-Tax Operating Income 11.2 36.2 0.6 5.0 (6.4) 46.6 47.4 Adjusted EBITDA 12.5 48.6 0.7 9.3 (5.6) 65.5 61.1 Sales Volume (thousands of tons) 170 892 358 373 1,062 Adjusted EBITDA per Ton 73.5 54.5 2.0 24.9 57.5 Q1 2012 Adjusted EBITDA 15.0 40.1 0.1 7.4 (6.8) 55.8 55.1 Subtract: Depreciation, depletion and amortization (1.3) (12.6) (0.1) (4.1) (0.3) (18.4) (13.9) Add (Subtract): Net (Income) loss attributable to noncontrolling interests (0.3) (0.3) (0.3) Adjusted Pre-Tax Operating Income 13.7 27.2 - 3.3 (7.1) 37.1 40.9 Adjusted EBITDA 15.0 40.1 0.1 7.4 (6.8) 55.8 55.1 Sales Volume (thousands of tons) 186 892 358 373 1,078 Adjusted EBITDA per Ton 80.6 45.0 0.3 19.8 51.1 Reconciliations from Adjusted EBITDA to Adjusted Pre-Tax Operating Income |
Reconciliations KeyBanc 2012 Basic Materials Conference 26 $ in millions, except per ton data Jewell Coke Other Domestic Coke International Coke Jewell Coal Corporate Combined Domestic Coke Q4 2011 Adjusted EBITDA 10.6 21.3 10.2 2.5 (13.2) 31.4 31.9 Subtract: Depreciation, depletion and amortization (1.2) (10.6) (0.1) (3.7) (0.4) (16.0) (11.8) Add (Subtract): Net (Income) loss attributable to noncontrolling interests (0.5) (0.5) (0.5) Adjusted Pre-Tax Operating Income 9.4 10.2 10.1 (1.2) (13.6) 14.9 19.6 Adjusted EBITDA 10.6 21.3 10.2 2.5 (13.2) 31.4 31.9 Sales Volume (thousands of tons) 166 837 295 363 1,003 Adjusted EBITDA per Ton 63.9 25.4 34.6 6.9 31.8 Q3 2011 Adjusted EBITDA 13.9 34.3 1.7 9.2 (14.3) 44.8 48.2 Subtract: Depreciation, depletion and amortization (1.2) (9.9) - (3.3) (0.3) (14.7) (11.1) Add (Subtract): Net (Income) loss attributable to noncontrolling interests 3.4 3.4 3.4 Adjusted Pre-Tax Operating Income 12.7 27.8 1.7 5.9 (14.6) 33.5 40.5 Adjusted EBITDA 13.9 34.3 1.7 9.2 (14.3) 44.8 48.2 Sales Volume (thousands of tons) 191 777 373 371 968 Adjusted EBITDA per Ton 72.8 44.1 4.6 24.8 49.8 Reconciliations from Adjusted EBITDA to Adjusted Pre-Tax Operating Income |
Reconciliations KeyBanc 2012 Basic Materials Conference 27 $ in millions, except per ton data Jewell Coke Other Domestic Coke International Coke Jewell Coal Corporate Combined Domestic Coke Q2 2011 Adjusted EBITDA 10.6 25.3 0.8 11.5 (10.5) 37.7 35.9 Subtract: Depreciation, depletion and amortization (1.4) (9.6) (0.1) (3.2) (0.4) (14.7) (11.0) Add (Subtract): Net (Income) loss attributable to noncontrolling interests 1.6 1.6 1.6 Adjusted Pre-Tax Operating Income 9.2 17.3 0.7 8.3 (10.9) 24.6 26.5 Adjusted EBITDA 10.6 25.3 0.8 11.5 (10.5) 37.7 35.9 Sales Volume (thousands of tons) 170 757 412 334 927 Adjusted EBITDA per Ton 62.4 33.4 1.9 34.4 38.7 Q1 2011 Adjusted EBITDA 11.0 8.5 1.0 12.3 (6.2) 26.6 19.5 Subtract: Depreciation, depletion and amortization (1.1) (8.6) - (2.7) (0.6) (13.0) (9.7) Add (Subtract): Net (Income) loss attributable to noncontrolling interests (6.2) (6.2) (6.2) Adjusted Pre-Tax Operating Income 9.9 (6.3) 1.0 9.6 (6.8) 7.4 3.6 Adjusted EBITDA 11.0 8.5 1.0 12.3 (6.2) 26.6 19.5 Sales Volume (thousands of tons) 175 697 362 386 872 Adjusted EBITDA per Ton 62.9 12.2 2.8 31.9 22.4 Reconciliations from Adjusted EBITDA to Adjusted Pre-Tax Operating Income |
(in millions) 2012E Low 2012E High Net Income $98 $122 Depreciation, Depletion and Amortization 74 72 Total financing costs, net 48 46 Income tax expense 25 37 EBITDA $245 $277 Sales discounts 11 10 Noncontrolling interests (6) (7) Adjusted EBITDA $250 $280 Estimated EBITDA Reconciliation 2012E Net Income to Adjusted EBITDA Reconciliation KeyBanc 2012 Basic Materials Conference 28 |
Free Cash Flow Reconciliations 2012E Estimated Free Cash Flow Reconciliation KeyBanc 2012 Basic Materials Conference 29 (in millions) 1 Half 2012 Cash from operations $ 86.7 Less cash used for investing activities (20.7) Less payments to minority interest ( - ) Free Cash Flow $ 66.0 (in millions) 2012 Cash from operations In excess of $ 189 Less cash used for investing activities Approx. (85) Less payments to minority interest Approx. (4) Free Cash Flow In excess of $ 100 First Half 2012 Free Cash Flow Reconciliation st |