![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-11.jpg)
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-12.jpg)
This presentation and discussion may contain forward-looking statements
regarding the future performance of the Company, including representations
about the Company's future financial performance, market conditions, the
long-term growth prospects of the Company and its markets, opportunities
for market share gains and acquisitions and performance of companies in
Astec's markets. These forward-looking statements reflect management’s
beliefs and assumptions. They are not guarantees of performance and are
therefore subject to risks and uncertainties. The information in this
presentation is not an update or reaffirmation of previously disclosed
information. Future events and actual results could differ materially from
those expressed in or implied by the forward-looking statements. Factors
that could cause future events or actual results to differ materially from the
Company’s expectations include uncertainty in the economy, rising oil and
liquid asphalt prices, rising interest rates, changes in highway funding
availability, the timing of large contracts, production capacity, changes in
size and mix of backlog, seasonality and cyclicality in operating results,
seasonality of sales volumes, demand for the Company's products,
competitive activity and those other factors listed from time to time in the
Company’s reports filed with the SEC.
regarding the future performance of the Company, including representations
about the Company's future financial performance, market conditions, the
long-term growth prospects of the Company and its markets, opportunities
for market share gains and acquisitions and performance of companies in
Astec's markets. These forward-looking statements reflect management’s
beliefs and assumptions. They are not guarantees of performance and are
therefore subject to risks and uncertainties. The information in this
presentation is not an update or reaffirmation of previously disclosed
information. Future events and actual results could differ materially from
those expressed in or implied by the forward-looking statements. Factors
that could cause future events or actual results to differ materially from the
Company’s expectations include uncertainty in the economy, rising oil and
liquid asphalt prices, rising interest rates, changes in highway funding
availability, the timing of large contracts, production capacity, changes in
size and mix of backlog, seasonality and cyclicality in operating results,
seasonality of sales volumes, demand for the Company's products,
competitive activity and those other factors listed from time to time in the
Company’s reports filed with the SEC.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-13.jpg)
Company Statistics as of 6-30-2009
• 3,357 Employees
• 16 Companies
• 17 Manufacturing Plants Plus 14 Sales/Service
Facilities
Facilities
• 2.7 Million Sq. Ft. of Office and Manufacturing Space
• 50 States Served
• 144 Countries Shipped
• 180 Products Built
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-14.jpg)
• Maintain profitability and positive cash flow for
2H09 and 2010.
2H09 and 2010.
• Manage expenses in conjunction with market
conditions.
conditions.
• Develop new products to facilitate organic
growth and utilize facilities.
growth and utilize facilities.
• Acquisitions - Consider Synergistic Bolt-on
Acquisitions.
Acquisitions.
• Prepare to return to growth as market conditions
improve.
improve.
Strategic Objectives
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-15.jpg)
• Federal Highway Funding
• Infrastructure Stimulus Package
• International Business & U.S. Dollar
• State Budgets
• Use of Recycle
• Oil Prices
• Steel Prices
• Customer Confidence
2009 Drivers
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-16.jpg)
Telsmith, Inc.
Mequon, Wisconsin
Kolberg-Pioneer, Inc.
Yankton, South Dakota
Johnson Crushers International, Inc.
Eugene, Oregon
Breaker Technology Ltd.
Thornbury, Ontario, Canada
Astec Mobile Screens, Inc.
Sterling, Illinois
Osborn Engineered Products SA (Pty) Ltd
Johannesburg, South Africa
Aggregate and Mining Group
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-17.jpg)
Aggregate and Mining Group
Telsmith
Kolberg-Pioneer
Johnson Crushers
Breaker Technology
Astec Mobile Screens
Osborn Engineered
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-18.jpg)
Telsmith, Inc.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-19.jpg)
Telsmith, Inc.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-110.jpg)
Kolberg-Pioneer, Inc.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-111.jpg)
Kolberg-Pioneer, Inc.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-112.jpg)
Johnson Crushers International, Inc.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-113.jpg)
Breaker Technology Ltd.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-114.jpg)
Astec Mobile Screens, Inc.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-115.jpg)
Osborn Engineered Products SA (Pty) Ltd
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-116.jpg)
Astec, Inc.
Chattanooga, Tennessee
Dillman Equipment - a division of Astec, Inc.
Prairie du Chien, Wisconsin
Heatec, Inc.
Chattanooga, Tennessee
CEI Enterprises, Inc.
Albuquerque, New Mexico
Asphalt Group
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-117.jpg)
Asphalt Group
Astec
Heatec
CEI
Dillman
Astec Rossville Building
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-118.jpg)
Astec, Inc.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-119.jpg)
Astec, Inc. (Dillman Equipment, a division of Astec, Inc.)
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-120.jpg)
Heatec, Inc.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-121.jpg)
CEI Enterprises, Inc.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-122.jpg)
Roadtec, Inc.
Chattanooga, Tennessee
Carlson Paving Products, Inc.
Tacoma, Washington
Tacoma, Washington
Mobile Asphalt Paving Group
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-123.jpg)
Mobile Asphalt Paving Group
Roadtec
Carlson Paving Products
Roadtec Riverside Building
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-124.jpg)
Roadtec, Inc.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-125.jpg)
Roadtec, Inc.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-126.jpg)
Carlson Paving Products, Inc.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-127.jpg)
Astec Underground, Inc.
Loudon, Tennessee
American Augers, Inc.
West Salem, Ohio
Underground Group
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-128.jpg)
Underground Group
Astec Underground
American Augers
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-129.jpg)
Astec Underground, Inc.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-130.jpg)
American Augers, Inc.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-131.jpg)
American Augers, Inc.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-132.jpg)
Peterson Pacific Corp.
Eugene, Oregon
Astec Australia Pty Ltd
Sumner Park, Australia
Other Group
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-133.jpg)
Other Group
Peterson Pacific
Astec Australia
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-134.jpg)
Peterson Pacific Corp.
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-135.jpg)
Astec Australia (Pty) Ltd
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-136.jpg)
Green & More Sustainability
How do we do that?
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-137.jpg)
Solutions
• Increase RAP to 50%
without affecting quality and life of mixes
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-138.jpg)
Recycling Asphalt Pavement
Removal of Old
Pavement
Pavement
Processing of
Recycle
Recycle
Converting to
Warm Mix Asphalt
Remixing & Paving
the New Road
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-139.jpg)
Removal of Old Pavement
Recycling Asphalt Pavement
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-140.jpg)
Processing Reclaimed Asphalt Pavement (RAP)
Recycling Asphalt Pavement
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-141.jpg)
Converting to Warm Mix Asphalt
Recycling Asphalt Pavement
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-142.jpg)
Recycling Asphalt Pavement
Burn Less Fuel
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-143.jpg)
– By Milling & Recycling - 100% of the
material can be re-used
material can be re-used
– Reduce oil consumption by 80,000,000
bbl/year…approximately 7 days of
imported oil
bbl/year…approximately 7 days of
imported oil
Recycling Asphalt Pavement
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-144.jpg)
Remixing and Paving the Road
Recycling Asphalt Pavement
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-145.jpg)
-WMA-
-HMA-
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-146.jpg)
Solutions
• Increase RAP to 50%
without affecting quality and life of mixes
• Increase the use of Tear-Off Shingles
without affecting quality and life of mixes
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-147.jpg)
Asphalt Roofing Shingles
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-148.jpg)
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-149.jpg)
Adjusted to reflect continuing operations and unusual items
(in Millions, except for percentage and EPS data)
FY | FY | FY | FY | FY | |
2004 | 2005 | 2006 | 2007 | 2008 | |
Net Sales | $505 | $616 | $711 | $869 | $974 |
Growth % | 25% | 22% | 15% | 22% | 12% |
GM % | 20.4% | 21.6% | 23.7% | 24.1% | 24.0% |
Income from Operations | $24 | $40 | $60 | $87 | $92 |
EPS | $0.62 | $1.34 | $1.81 | $2.53 | $2.80 |
Historical Highlights
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-150.jpg)
Sales
Gross Margin
Operating Segments FY 2008
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-151.jpg)
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-152.jpg)
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-153.jpg)
Price Per CWT
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-154.jpg)
Debt to Total Capitalization
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-155.jpg)
Adjusted to reflect continuing operations
International Sales
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-156.jpg)
Adjusted to reflect continuing operations
(In Millions)
Part Sales
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-157.jpg)
Year-end and Interim Backlogs
(In Thousands)
(In Thousands)
Backlog
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-158.jpg)
• Return On Capital Employed
• Cash Flow on Capital Employed
• Safety
Management Compensation Metrics
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-159.jpg)
• Strong Balance Sheet
• Positioned For Economic Conditions
• Greater International Penetration
• Significant Management Ownership
• Green Initiatives
Investment Highlights as of 6-30-09
![](https://capedge.com/proxy/8-K/0000792987-09-000030/ex99-160.jpg)