8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of Earliest Event Reported) – April 27, 2017

WEST PHARMACEUTICAL SERVICES, INC.

(Exact name of registrant as specified in its charter)

Pennsylvania	1-8036	23-1210010
(State or other jurisdiction of Incorporation)	(Commission File Number)	(IRS Employer Identification No.)
530 Herman O. West Drive, Exton, PA		19341-0645
(Address of principal executive offices)		(Zip Code)

 Registrant’s telephone number, including area code: 610-594-2900

Not Applicable

(Former name or address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): 

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR 230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR 240.12b-2).

Emerging growth company ¨

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Item 2.02 Results of Operations and Financial Condition.

On April 27, 2017, West Pharmaceutical Services, Inc. (the “Company”) issued a press release announcing its first-quarter 2017 financial results. A copy of the press release is attached hereto as Exhibit 99.1 and incorporated herein by reference.

Item 7.01 Regulation FD Disclosure.

The information set forth in “Item 2.02 Results of Operations and Financial Condition,” including the exhibit referred to therein, is incorporated herein by reference.

A copy of the Company’s presentation materials used during the call will be available through the Investors link at the Company’s website, http://www.westpharma.com, and is also attached hereto as Exhibit 99.2 and incorporated herein by reference.

The information in this report (including the exhibits attached hereto) is being furnished pursuant to Item 2.02 and Item 7.01 and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (“Exchange Act”), or otherwise subject to the liabilities of that section, nor will it be incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific referencing in such filing.

Item 9.01 Financial Statements and Exhibits.

(d)	Exhibit No.	Description
	99.1	West Pharmaceutical Services, Inc. Press Release, dated April 27, 2017.
	99.2	West Pharmaceutical Services, Inc. Presentation Slides.

2

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	WEST PHARMACEUTICAL SERVICES, INC.
	/s/ William J. Federici
	William J. Federici
	Senior Vice President and Chief Financial Officer
April 27, 2017

3

EXHIBIT INDEX

Exhibit No.	Description
99.1	West Pharmaceutical Services, Inc. Press Release, dated April 27, 2017.
99.2	West Pharmaceutical Services, Inc. Presentation Slides.

4

EX-99.1

Exhibit 99.1

Investor Contact:

Quintin Lai

Vice President, Investor Relations

(610) 594-3318

West Announces First-Quarter 2017 Results

- Conference Call Scheduled for 9 a.m. EDT Today-

Exton, PA, April 27, 2017 – West Pharmaceutical Services, Inc. (NYSE: WST) today announced its financial results for the first-quarter 2017 and updated financial guidance for the full-year 2017.

First-Quarter 2017 Highlights

• Reported net sales of $387.7 million grew 7.1% over the prior-year quarter. Net sales at constant currency grew by 8.7%.

• First-quarter 2017 reported-diluted EPS was $0.81, compared to prior-year quarter’s results of reported-diluted EPS of $0.30 and adjusted-diluted EPS of $0.53. First-quarter 2017 reported-diluted EPS includes the impact of a tax benefit of $0.21 associated with the adoption of guidance issued by the Financial Accounting Standards Board (FASB) regarding share-based payment transactions.

• Reaffirming full-year 2017 sales and raising reported-diluted EPS guidance. Full-year 2017 sales guidance is unchanged and is expected to be between $1.585 billion to $1.610 billion. Full-year 2017 reported-diluted EPS guidance is now expected to be between $2.66 and $2.78, compared to the prior range of $2.45 and $2.57, and reflects the previously-discussed adoption of FASB-issued guidance.

“Adjusted diluted EPS” and “net sales at constant currency” are Non-GAAP measurements. See discussion under the heading “Non-GAAP Financial Measures” in this release.

Executive Commentary

“Our first quarter performance of solid organic sales growth with expansion in both gross profit and operating profit margins shows the benefit of providing critical integrated containment and delivery solutions for injectable medicines to a broad, global customer base,” said Eric M. Green, President and Chief Executive Officer. “We continue to see overall customer demand increase for high-quality components, safe and user-friendly administration devices, and innovative containment and delivery solutions and services.”

Mr. Green concluded, “Our market-led strategy is strengthening our connections with customers. Our end markets remain solid and growing, and we are reaffirming 2017 full-year organic sales growth of 7% to 9%. While customer-specific issues may sometimes affect quarter-to-quarter variability in order volume, we feel that the strategic focus on high-value products, contract manufacturing and patient self-injection platforms will drive our performance to the high end of our long-term 6% to 8% organic sales growth range.”

Financial Results (comparisons to prior-year period)

First-quarter 2017 reported net sales were $387.7 million, compared to $362.1 million. Reported net sales growth was 7.1%. On a constant-currency basis, organic sales growth was 8.7%.

Proprietary Products segment reported net sales were $308.8 million, compared to $290.8 million. Reported net sales growth was 6.2%. Organic sales growth was 8.0%, led by high-single digit growth of high-value products. The Pharma market unit had double-digit organic sales growth and the Biologics market unit had mid-single digit growth. As expected, the Generics market unit saw organic sales decline in the mid-single digits as customers continued to reduce safety-stock acquired in the first half of 2016.

Committed orders in the Proprietary Products segment at March 31, 2017, were $408 million, a decrease of 5% at constant currency compared to March 31, 2016, and an increase of 8% at constant currency compared to December 31, 2016.

Contract-Manufactured Products segment reported net sales were $79.1 million, compared to $71.6 million. Reported net sales growth was 10.6%, and organic sales growth was 11.4%. Segment growth in the quarter benefited from the initial commercial ramp-up of large projects that commenced in the second half of 2016, as well as a favorable year-over-year comparison with a softer sales quarter in 2016.

Gross profit margin improved to 34.6%, an increase of 60 basis points. Proprietary Products segment gross profit margin was 39.2%, an increase of 40 basis points due to price increases and increased efficiencies, partially offset by higher overhead costs, salaries and unfavorable volume and mix. Contract-Manufactured Products segment gross profit margin was 16.3%, an increase of 160 basis points due to favorable volume, mix and price and increased efficiencies, partially offset by salary increases and increased plant depreciation.

First-quarter 2017 reported operating profit was $61.3 million, which represented an operating profit margin of 15.8%. First-quarter 2016 reported operating profit was $30.0 million. Excluding restructuring and related charges and a Venezuela currency devaluation, first-quarter 2016 adjusted operating profit was $55.6 million, which represented an adjusted operating profit margin of 15.4%. On an adjusted basis, first-quarter 2017 operating profit margin expanded by 40 basis points, primarily driven by higher gross profit margin.

Income tax expense in the quarter was $2.2 million, which represented an effective tax rate of 3.6%. The effective tax rate reflects the impact of a tax benefit of $15.9 million associated with the previously-discussed adoption of FASB-issued guidance. Excluding this tax benefit, the

effective tax rate used in determining adjusted net income was 30.2% as compared to 28.0% in the prior-year quarter, due to increased profitability in higher-tax rate jurisdictions.

During the quarter, the Company repurchased 325,000 shares for $26.9 million. There are 475,000 shares available to be repurchased in the program authorized by our Board of Directors in December 2016.

Full-Year 2017 Financial Guidance

West’s expected full-year 2017 net sales, margin and EPS guidance are as follows:

(in millions, except EPS)	2017 Updated Guidance	Prior Guidance
Consolidated net sales	no change	$1,585 to $1,610
Consolidated gross profit margin (% of net sales)	no change	34.4% to 34.8%
Proprietary Products net sales	no change	$1,245 to $1,260
Contract-Manufactured Products net sales	no change	$340 to $350
Full-Year reported-diluted EPS*	$2.66 to $2.78	$2.45 to $2.57

* Includes the reported-diluted EPS impact of $0.21 for the first-quarter 2017 tax benefit associated with the previously-discussed adoption of FASB-issued guidance.

The principal currency assumption used in preparing these estimates is the translation of the euro at $1.05 for the remainder of 2017.

Excluding the impact from tax benefits associated with the previously-discussed adoption of FASB-issued guidance, the Company expects that its annual effective tax rate will be approximately 29.5%. These tax benefits will typically be largest in the first quarter of a calendar year due to the expiration of most stock options. The Company does not plan on forecasting future benefits as they could vary quarter to quarter with the time and size of stock option exercises. Instead, the Company will include the impacts with each reported period. As a point of reference, the Company would have had $11 million of net income benefit in the first quarter of 2016 and would have had $18 million for the full-year 2016, resulting in an EPS benefit of $0.15 in the first-quarter 2016 and $0.24 for the full-year 2016.

The Company estimates its 2017 capital spending at between $150 million and $175 million.

First-Quarter Conference Call

The Company will host a conference call to discuss the results and business expectations at 9:00 a.m. Eastern Time today. To participate on the call please dial 877-930-8295 (U.S.) or 253-336-8738 (International). The conference ID is 3829053.

A live broadcast of the conference call will be available at the Company’s web site, www.westpharma.com, in the “Investors” section. Management will refer to a slide presentation

during the call, which will be made available on the day of the call. To view the presentation, select “Presentations” in the “Investors” section of the Company’s website.

An online archive of the broadcast will be available at the site three hours after the live call and will be available through Thursday, May 4, 2017, by dialing 855-859-2056 (U.S.) or 404-537-3406 (International) and entering conference ID 3829053.

Forward-Looking Statements

Certain forward-looking statements are included in this release. They use such words as “reaffirming,” “raising,” “unchanged,” “expected,” “reflects,” “continue,” “see,” “increase,” “strengthening,” “remain,” “may affect,” “believe,” “expects,” “revising,” “include,” “estimates,” and other similar terminology. These statements reflect management’s current expectations regarding future events and operating performance and speak only as of the date of this release. There is no certainty that actual results will be achieved in line with current expectations. These forward-looking statements involve a number of risks and uncertainties. The following are some of the factors that could cause our actual results to differ materially from those expressed in or underlying our forward-looking statements: customers’ changing inventory requirements and manufacturing plans; customer decisions to move forward with our new products and product categories; average profitability, or mix, of the products we sell; dependence on third-party suppliers and partners; interruptions or weaknesses in our supply chain; increased raw material costs; fluctuations in currency exchange; and the ability to meet development milestones with key customers. This list of important factors is not all inclusive. For a description of certain additional factors that could cause the Company's future results to differ from those expressed in any such forward-looking statements, see Item 1A, entitled “Risk Factors,” in the company's Annual Report on Form 10-K for the years ended December 31, 2016.

Except as required by law or regulation, we undertake no obligation to publicly update any forward-looking statements, whether as a result of new information, future events, or otherwise.

Non-GAAP Financial Measures

This press release and the preceding discussion of the Company’s results, financial guidance and the accompanying financial tables use the following financial measures that have not been calculated in accordance with U.S. generally accepted accounting principles (GAAP), and therefore are referred to as Non-GAAP financial measures:

• Net sales at constant currency (organic sales growth)

• Adjusted operating profit

• Adjusted operating profit margin

• Adjusted income tax expense

• Adjusted net income

• Adjusted diluted EPS

• Net debt

• Total invested capital

• Net debt-to-total invested capital

The Company believes that these Non-GAAP measures of financial results provide useful information to management and investors regarding business trends, results of operations, and the Company’s overall performance and financial position. The Company’s executive management team uses these financial measures to evaluate the performance of the Company in terms of profitability and efficiency, to compare operating results to prior periods, to evaluate changes in the operating results of each segment, and to measure and allocate financial resources to its segments. The Company believes that the use of these Non-GAAP financial measures provides an additional tool for investors to use in evaluating ongoing operating results and trends in comparing its financial measures with other companies.

The Company’s executive management does not consider such Non-GAAP measures in isolation or as an alternative to such measures determined in accordance with GAAP. The principal limitation of these financial measures is that they exclude significant expenses and income that are required by GAAP to be recorded. In addition, they are subject to inherent limitations as they reflect the exercise of judgment by management about which items are excluded. In order to compensate for these limitations, Non-GAAP financial measures are presented in connection with GAAP results. The Company urges investors and potential investors to review the reconciliations of its Non-GAAP financial measures to the comparable GAAP financial measures, and not to rely on any single financial measure to evaluate the Company’s business.

Net sales at constant currency translates the current-period reported sales of subsidiaries whose functional currency is other than the U.S. dollar at the applicable foreign exchange rates in effect during the comparable prior-year period. In calculating adjusted operating profit, adjusted operating profit margin, adjusted income tax expense, adjusted net income and adjusted diluted EPS, the Company excludes the impact of items that are not considered representative of ongoing operations. Such items may include restructuring and related costs, certain asset impairments, other specifically-identified gains or losses, and discrete income tax items. A reconciliation of these adjusted Non-GAAP measures to the comparable GAAP financial measures is included in the accompanying tables.

The following is a description of the items excluded from adjusted operating profit, adjusted income tax expense, adjusted net income, and adjusted diluted EPS for the three months presented in the accompanying tables:

Restructuring and related charges - During the three months ended March 31, 2016, the Company recorded $22.9 million in restructuring and related charges, consisting of $7.9 million for severance charges and $15.0 million for non-cash asset write-downs associated with the discontinued use of certain trademarks and certain equipment.

Venezuela currency devaluation - During the three months ended March 31, 2016, the Company recorded a charge of $2.7 million related to the devaluation of the Venezuelan Bolivar from the previously-prevailing official exchange rate of 6.3 Bolivars to USD to 10.0 Bolivars to USD.

WEST PHARMACEUTICAL SERVICES, INC. CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) (in millions, except per share data)
	Three Months Ended March 31,
	2017				2016
Net sales	$	387.7	100	%	$	362.1	100	%
Cost of goods and services sold	253.6		65		238.8		66
Gross profit	134.1		35		123.3		34
Research and development	10.3		3		9.4		2
Selling, general and administrative expenses	61.6		16		58.1		16
Other expense, net	0.9		—		25.8		7
Operating profit	61.3		16		30.0		9
Interest expense, net	1.8		—		2.2		1
Income before income taxes	59.5		16		27.8		8
Income tax expense	2.2		1		6.9		2
Equity in net income of affiliated companies	3.6		1		1.2		—
Net income	$	60.9	16	%	$	22.1	6	%
Net income per share:
Basic	$	0.83			$	0.31
Diluted	$	0.81			$	0.30
Average common shares outstanding	73.3				72.5
Average shares assuming dilution	74.9				74.1

WEST PHARMACEUTICAL SERVICES REPORTING SEGMENT INFORMATION (UNAUDITED) (in millions)
	Three Months Ended March 31,
Net Sales:	2017			2016
Proprietary Products	$	308.8		$	290.8
Contract-Manufactured Products	79.1			71.6
Eliminations	(0.2		)	(0.3		)
Consolidated Total	$	387.7		$	362.1
Operating Profit (Loss):
Proprietary Products	$	64.9		$	61.9
Contract-Manufactured Products	8.8			7.0
U.S. pension expense	(1.2		)	(2.2		)
Stock-based compensation expense	(3.5		)	(4.6		)
General corporate costs	(7.7		)	(6.5		)
Adjusted Operating Profit	$	61.3		$	55.6
Adjusted Operating Profit Margin	15.8		%	15.4		%
Restructuring and related charges	—			(22.9		)
Venezuela currency devaluation	—			(2.7		)
Reported Operating Profit	$	61.3		$	30.0
Reported Operating Profit Margin	15.8		%	8.3		%

WEST PHARMACEUTICAL SERVICES

RECONCILIATION OF NON-GAAP MEASURES (UNAUDITED)

Please refer to "Non-GAAP Financial Measures" for more information

(in millions, except per share data)

Reconciliation of Reported and Adjusted Operating Profit, Net Income and Diluted EPS

Three months ended March 31, 2016	Operating profit		Income tax expense		Net income		Diluted EPS
Reported (GAAP)	$	30.0	$	6.9	$	22.1	$	0.30
Restructuring and related charges	22.9		7.9		15.0		0.20
Venezuela currency devaluation	2.7		0.2		2.5		0.03
Adjusted (Non-GAAP)	$	55.6	$	15.0	$	39.6	$	0.53

Reconciliation of Net Sales to Net Sales at Constant Currency⁽¹⁾ 

Three months ended March 31, 2017	Proprietary		CM		Eliminations			Total
Reported net sales (GAAP)	$	308.8	$	79.1	$	(0.2	)	$	387.7
Effect of changes in currency translation rates	5.2		0.6		—			5.8
Net sales at constant currency (Non-GAAP)(1)	$	314.0	$	79.7	$	(0.2	)	$	393.5

⁽¹⁾Net sales at constant currency translates the current-period reported sales of subsidiaries whose functional currency is other than the U.S. dollar at the applicable foreign exchange rates in effect during the comparable prior-year period.

WEST PHARMACEUTICAL SERVICES CASH FLOW ITEMS (UNAUDITED) (in millions)
	Three Months Ended March 31,
	2017		2016
Depreciation and amortization	$	23.3	$	22.3
Operating cash flow	$	20.7	$	3.0
Capital expenditures	$	37.5	$	39.0

WEST PHARMACEUTICAL SERVICES FINANCIAL CONDITION (UNAUDITED) (in millions)
	As of March 31, 2017			As of December 31, 2016
Cash and cash equivalents	$	169.4		$	203.0
Debt	$	228.6		$	228.6
Equity	$	1,168.6		$	1,117.5
Net debt-to-total invested capital(2)	4.8		%	2.2		%
Working capital	$	396.1		$	400.9

⁽²⁾Net debt and total invested capital are Non-GAAP measures. Net debt is determined by reducing total debt by the amount of cash and cash equivalents, and for purpose of measuring net debt to invested capital, total invested capital is the sum of net debt and shareholders’ equity. Please refer to “Non-GAAP Financial Measures” in this release for additional information regarding those measures.

Trademark Notices

Trademarks and registered trademarks are the property of West Pharmaceutical Services, Inc., in the United States and other jurisdictions, unless noted otherwise.

Daikyo^® Crystal Zenith^® and Daikyo^® are trademarks of Daikyo Seiko, Ltd. Daikyo Crystal Zenith^® technologies are licensed from Daikyo Seiko, Ltd.

EX-99.2

West Pharmaceutical Services, Inc. First-Quarter 2017 Analyst Conference Call 9 a.m. Eastern Time, April 27, 2017 Speakers: Eric M. Green President and Chief Executive Officer William J. Federici Senior Vice President and Chief Financial Officer  A webcast of today’s call can be accessed in the “Investors” section of the Company’s web site: www.westpharma.com  To participate on the call please dial: − 877-930-8295 (U.S.) − 253-336-8738 (International). − The conference ID is 3829053  An online archive of the broadcast will be available at the site three hours after the live call and will be available through Thursday, May 4, 2017, by dialing: − 855-859-2056 (U.S.) − 404-537-3406 (International) − The conference ID 3829053 These presentation materials are intended to accompany today’s press release announcing the Company’s results for the first-quarter 2017 and management’s discussion of those results during today’s conference call.

Safe Harbor Statement Cautionary Statement Under the Private Securities Litigation Reform Act of 1995 This presentation and any accompanying management commentary contain “forward-looking statements” as that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements about product development and operational performance. Each of these statements is based on preliminary information, and actual results could differ from any preliminary estimates. We caution investors that the risk factors listed under “Cautionary Statement” in our press releases, as well as those set forth under the caption "Risk Factors" in our most recent Annual Report on Form 10-K as filed with the Securities and Exchange Commission and as revised or supplemented by our quarterly reports on Form 10-Q, could cause our actual results to differ materially from those estimated or predicted in the forward-looking statements. You should evaluate any statement in light of these important factors. Except as required by law or regulation, we undertake no obligation to publicly update any forward-looking statements, whether as a result of new information, future events, or otherwise. Non-U.S. GAAP Financial Measures Certain financial measures included in these presentation materials, or which may be referred to in management’s discussion of the Company’s results and outlook, have not been calculated in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”), and therefore are referred to as non-GAAP financial measures. Non-GAAP financial measures should not be considered in isolation or as an alternative to such measures determined in accordance with GAAP. Please refer to “Reconciliation of Non-GAAP Measures” at the end of these materials for more information. Trademarks Registered trademarks used in this report are the property of West Pharmaceutical Services, Inc. or its subsidiaries, in the United States and other jurisdictions, unless noted otherwise. 2 |

First-Quarter 2017 Highlights * Excluding the impact from translational changes in foreign exchange  Net sales of $387.7 million, representing 8.7% organic sales growth* ‒ Proprietary Products organic sales growth of 8.0% ‒ Contract-Manufactured Products organic sales growth of 11.4%  Expanded gross profit margin by 60 basis points and adjusted operating profit margin by 40 basis points  Launched new high-value products including LyoSeal® cap, an all-plastic, instant sealing solution for lyophilized drug products, and NovaGuard® SA Pro, a safety system to aid in the protection against accidental needlesticks  Commenced commercial production at expanded Dublin contract manufacturing site. Remain on schedule for first phase at Waterford, Ireland facility.  Record-high reported diluted EPS of $0.81, a 52% increase over prior-year adjusted diluted EPS ‒ Excluding tax benefits from stock-based compensation expenses, adjusted diluted EPS would have grown by 13% over prior-year quarter 3 |

Organic Sales Growth 4 | Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 FY 2017E Overall Organic Sales Growth 10.5% 8.2% 10.0% 7.7% 8.7% 7-9% Pharma MSD HSD MSD HSD DD HSD Generics DD DD HSD (MSD) (MSD) MSD Biologics DD HSD DD DD MSD DD Contract Manufacturing LSD MSD MSD DD DD HSD Abbreviations: LSD – low-single digit; MSD – mid-single digit; HSD – high-single digit; DD – double digit

STERILIZED WASHED COATED ADMINISTERED CAMERA INSPECTED QUALITY BY DESIGN CONTAINMENT SELF INJECTION 5 | Increasing levels of customer intimacy Increasing value to West Next Generation of Self-Injection Delivery Devices Our Pipeline of New Products is Robust INJECTION MOLDING MULTI-COMPONENT ASSEMBLY

2017 Outlook  Maintaining full-year 2017 net sales organic sales growth guidance in a range of 7% to 9%  2017 net sales range: $1.585 billion to $1.610 billion  Raising 2017 adjusted diluted EPS(1) guidance to a new range of $2.66 to $2.78 compared to a prior range of $2.45 to $2.57 (1) Please refer to “Notes to Non-GAAP Financial Measures” on slides 13-16, and “Non-GAAP Financial Measures” in today’s press release, for additional information regarding adjusted diluted EPS. 6 |

7 | First Quarter 2017 Summary Results ($ millions, except earnings-per-share (EPS) data) (1) “Net sales at constant currency”, “adjusted operating profit”, and “adjusted diluted EPS” are Non-GAAP measures. See slides 13-16 and the discussion under the heading “Non-GAAP Financial Measures” in today’s press release for an explanation and reconciliation of these items. Except as noted, statements in these slides concerning comparative sales are measured on a constant currency basis. Three Months Ended March 31, 2017 2016 Reported Net Sales $387.7 $362.1 Net Sales at Constant Currency(1) $393.5 $362.1 Gross Profit Margin 34.6 % 34.0 % Reported Operating Profit $61.3 $30.0 Adjusted Operating Profit(1) $61.3 $55.6 Diluted EPS $0.81 $0.30 Adjusted Diluted EPS(1) $0.81 $0.53

$387.7 ($5.8) $23.7 $7.7 $362.1 2016 Volume & Mix Sales Price * Currency 2017 Change in Consolidated Sales First quarter 2016 to 2017 ($ millions) 8 | * Includes $4.9 million of inflationary increases in South America.

34.6% (1.3%) 1.0% 34.0% 2016 Efficiency Net Currency Sales Price Volume & Mix Plant OH & Other 2017 (0.3%) Change in Gross Profit Margin % First quarter 2016 to 2017 9 | 0.7% 0.5%

Change in SG&A Costs First quarter 2016 to 2017 ($ millions) $61.6 $0.1 $0.4 $1.0 $3.2 $1.8 $58.1 2016 Comp and Benefits Other Incentive & Stock Comp Currency Translation US Pension 2017 16.0% of Sales 15.9% of Sales 10 |

Cash Flow and Balance Sheet Metrics ($ millions) 11 | CASH FLOW ITEMS (UNAUDITED) (in millions) FINANCIAL CONDITION (UNAUDITED) (in millions) Three Months Ended March 31, 2017 2016 Depreciation and amortization $23.3 $22.3 Operating cash flow (1) $20.7 $3.0 Capital expenditures $37.5 $39.0 As of March 31, 2017 As of December 31, 2016 Cash and cash equivalents $169.4 $203.0 Debt $228.6 $228.6 Equity $1,168.6 $1,117.5 Net debt-to-total invested capital 4.8% 2.2% Working capital $396.1 $400.9 (1) 2017 includes a tax benefit of $15.9 million associated with the adoption of guidance issued by the Financial Accounting Standards Board regarding share-based payment transactions.

2017 Full-Year Guidance ($ millions, except EPS) (1) (2) (3) (1) Guidance includes various currency exchange rate assumptions, most significantly the euro at $1.05 for 2017. Actual results will vary as a result of variability of exchange rates, among other items. (2) Assumes no non-recurring items in 2017. (3) Includes previously-discussed tax benefit of $15.9 million ($0.21 per diluted share). 2017 Updated Guidance Prior Guidance Proprietary Products net sales no change $1,245 to $1,260 Contract-Manufactured Products net sales no change $340 to $350 Consolidated net sales no change $1,585 to $1,610 Consolidated gross profit margin (% of net sales) no change 34.4% to 34.8% Full-year reported diluted EPS (1) (2) (3) $2.66 to $2.78 $2.45 to $2.57 12 |

Today’s press release, these presentation materials and associated presentation use the following financial measures that have not been calculated in accordance with generally accepted accounting principles (GAAP) accepted in the U.S., and therefore are referred to as non-GAAP financial measures:  Net sales at constant currency (organic sales)  Adjusted operating profit  Adjusted operating profit margin  Adjusted net income  Adjusted income tax expense  Adjusted diluted EPS  Net debt  Total invested capital  Net debt to total invested capital West believes that these non-GAAP measures of financial results provide useful information to management and investors regarding business trends, results of operations, and the Company’s overall performance and financial position. Our executive management team uses these financial measures to evaluate the performance of the Company in terms of profitability and efficiency, to compare operating results to prior periods, to evaluate changes in the operating results of each segment, and to measure and allocate financial resources to our segments. The Company believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating ongoing operating results and trends in comparing its financial measures with other companies. Our executive management does not consider such non-GAAP measures in isolation or as an alternative to such measures determined in accordance with GAAP. The principal limitation of these financial measures is that they exclude significant expenses and income that are required by GAAP to be recorded. In addition, they are subject to inherent limitations as they reflect the exercise of judgment by management about which items are excluded. In order to compensate for these limitations, non-GAAP financial measures are presented in connection with GAAP results. We urge investors and potential investors to review the reconciliations of our non-GAAP financial measures to the comparable GAAP financial measures, and not to rely on any single financial measure to evaluate the Company’s business. Net sales at constant currency translates the current-period reported sales of subsidiaries whose functional currency is other than the U.S. dollar at the applicable foreign exchange rates in effect during the comparable prior-year period. In calculating adjusted operating profit, adjusted income tax expense, adjusted net income and adjusted diluted EPS, we exclude the impact of items that are not considered representative of ongoing operations. Such items generally include restructuring and related costs, certain asset impairments, other specifically identified gains or losses, and discrete income tax items. Please see “Financial Guidance” and “Non-GAAP Financial Measures” in today’s press release for further information concerning reconciling items. Notes to Non-GAAP Financial Measures For additional details, please see today’s press release & Safe Harbor Statement 13 |

Notes to Non-GAAP Financial Measures RECONCILIATION OF NON-GAAP MEASURES (UNAUDITED) See “Notes to Non-GAAP Financial Measures” (Slide 13-16), “Cautionary Statement” (Slide 2) and today’s press release for an explanation and reconciliation of these items. 14 | Reconciliation of Reported and Adjusted Operating Profit, Net Income and Diluted EPS ($ million, except EPS data) Three months ended March 31, 2016 Operating profit Income tax expense Net income Diluted EPS Reported (GAAP) $30.0 $6.9 $22.1 $0.30 Restructuring and related charges 22.9 7.9 15.0 0.20 Venezuela currency devaluation 2.7 0.2 2.5 0.03 Adjusted (Non-GAAP) $55.6 $15.0 $39.6 $0.53

Notes to Non-GAAP Financial Measures RECONCILIATION OF NON-GAAP MEASURES (UNAUDITED) See “Notes to Non-GAAP Financial Measures” (Slide 13-16), “Cautionary Statement” (Slide 2) and today’s press release for an explanation and reconciliation of these items. 15 | Reconciliation of Net Sales to Net Sales at Constant Currency(1) ($ million, except EPS data) (1) Net sales at constant currency translates the current-period reported sales of subsidiaries whose functional currency is other than the U.S. dollar at the applicable foreign exchange rates in effect during the comparable prior-year period. Three months ended March 31, 2017 Proprietary CM Eliminations Total Reported net sales (GAAP) $308.8 $79.1 $(0.2) $387.7 Effect of changes in currency translation rates 5.2 0.6 - 5.8 Net sales at constant currency (Non-GAAP)(1) $314.0 $79.7 $(0.2) $393.5

Notes to Non-GAAP Financial Measures RECONCILIATION OF NON-GAAP MEASURES (UNAUDITED) See “Notes to Non-GAAP Financial Measures” (Slide 13-16), “Cautionary Statement” (Slide 2) and today’s press release for an explanation and reconciliation of these items. 16 | Reconciliation of reported diluted EPS guidance to adjusted diluted EPS guidance Full Year 2017 Guidance(1) (2) (3) Reported diluted EPS guidance $2.66 to $2.78 Estimated Venezuela deconsolidation (4) 0.12 to 0.15 Adjusted diluted EPS guidance $2.78 to $2.93 (1) Please refer to “Notes to Non-GAAP Financial Measures” on slides 13 and 14, and “Non-GAAP Financial Measures” in today’s press release, for additional information regarding adjusted diluted EPS. (2) Guidance includes various currency exchange rate assumptions, most significantly the euro at $1.05 for the remainder of 2017. Actual results will vary as a result of exchange rate variability. (3) Includes previously-discussed tax benefit of $15.9 million ($0.21 per diluted share). (4) We continue to actively monitor the political and economic developments in Venezuela, particularly as we have recently experienced reduced access to USD controlled by their government. If there are further devaluations or other changes, a pre-tax charge of up to $15 million could be required.