EX-99.4 5 michel.htm Prepared by E-Services - www.edgar2.com

 

 

Exhibit 99.4  Slides of Presentation by Michel Jacques, Senior Vice President, Alcan Inc., President and Chief Executive Officer, Alcan Engineered Products.

 

 



 

Forward Looking Statements

 
 

Statements made in the course of this presentation which describe the Company's intentions, expectations or predictions may be "forward-looking statements" within the meaning of securities laws. The Company cautions that, by their nature, forward-looking statements involve risk and uncertainty, and actual actions or results could differ materially. Reference should be made to the  most recent Form 10-Q and Form 10-K for a summary of major risk factors. In addition, certain non-GAAP measures are used which are reconciled to the comparable GAAP measures herein or on the Company's website at www.alcan.com in the "Investors" section.

 

© 2005 ALCAN INC.

Slide 2

 


Agenda

 
Engineered Products - A platform for growth

  Group and Business Overview

  Group Strategy Summary

  Recent History

  Engineered Products - Operational excellence as a pre-requisite for growth

  Aerospace Transportation & Industry

  Ravenswood

  Composites

  Extruded Products

  Engineered Products - Innovation as a source of growth

  R&D

  Strengths and Priorities

  Financial Metrics

■  Summary

© 2005 ALCAN INC.

Slide  3


Engineered Products

 
 

A platform for growth

 

2001

Sales:                US$ 1.6bn
Employees:     6,200
Sites:                 30
Countries:        14

 

2005

Sales:                 US $ 6.2bn
Employees:      15,500
Sites:                  130
Countries:         36

 

© 2005 ALCAN INC.

Slide   4

 


Key Drivers

 
 

Ambition to be "best in class" in everything we do

 

  Enrich the portfolio via acquisitions / streamlining

  Extended geographical footprint

  Product / market development

  Customer focus / innovation

  Continue to capture Pechiney integration synergies

  Margin management to deliver superior returns

 

© 2005 ALCAN INC.

Slide  5

 

 


Market Participation

 

 

© 2005 ALCAN INC.

Slide   6

 

 


Recent History

 
 

Portfolio enrichment through acquisitions and divestments

  Exits completed or underway in the last 12 months :

  Sale completed in 2005: General Distribution in France (Almet- France),
    Air Freight Containers

  Closure in process: Mass Transportation Systems (engineering
    and design for rail and bus)

  Sales process under way: Automotive Castings (BDW)

  Restructuring & phase-out: High-purity Aluminum Refining and
    Capacitor Foil Rolling (Mercus
and Froges).

  Under review: Cast Plate (Vernon), Roll-Bond (Chambéry), Capacitor
    and Anodised
Foil (Satma).

  Acquisitions:

  Specialised Distribution (Almet Germany, minority share)

■  Building Wire Systems (Prewired Systems LLC, USA)  

Revenues:
US$ 350M

 

 

Revenues:
US$ 100M

 

 

Revenues:
US$ 45M

 

© 2005 ALCAN INC.

Slide   7

 

 


 

Recent History

 
 

Customer focus and lean business processes lead to
higher-performance organizations

 

EP is in the process of streamlining operations :

  Extruded product facilities in Singen and Sierre to become a single
    operating unit within  the Extruded Products business.

  Automotive structures in Singen to focus its superior design capabilities
    and technological know-how on crash management systems and similar 
    applications.

  Composites operations in Singen to optimize capacity utilization, improve
    competitiveness and serve its customers better.

  Composites has closed a mill in its balsa operations in Ecuador to improve
    productivity.

 

© 2005 ALCAN INC.

Slide   8

 


Aerospace Market Participation

 
 

Operational Excellence as a pre-requisite for growth

© 2005 ALCAN INC.

Slide   9


Aerospace

 
 

Growth in a profitable market with high entry barriers

© 2005 ALCAN INC.

Slide   10


 

Aerospace, Transportation and Industry

 
 

Following the customers

■  Increasing capacity at world-class
    facilities both in North America and in
    Europe to better serve growing
    customer needs    

  Ability to serve customers in all major
    markets via Alcan International
    Network

  Expected average delivery rate on 20
    years : about 900 to 1100 aircraft a
    year

 

© 2005 ALCAN INC.

Slide   11

 


 

Ravenswood Turnaround

 
 

Turnaround to a platform for growth

 

  ■Focus on profitability

■  Renewed working relationship with stakeholders

© 2005 ALCAN INC.

Slide   12


 

Aerospace, Transportation and Industry

 
 

Executing a value-creating strategy

 

  Long-term supply agreements with Boeing and Airbus well advanced

  MOU for plate supply signed with Airbus (2011)

  Negotiations with Boeing in final stage

  Projects under way to increase plate capacity (8% in Europe)

  Renewed R&D effort for 3rd generation aluminium-lithium
    solutions –
already the most active supplier

  Development of specialised solutions in Transport, Marine and
    Industry, and increased branding efforts

© 2005 ALCAN INC.

Slide   13

 


 

Composites Market Participation

 
 

Leadership in global markets

© 2005 ALCAN INC.

Slide   14

 


 

Composites: Baltek and Uniwood 
Fome-Cor

 

 

Baltek
a "natural"addition to our
core materials

 

Uniwood Fome-Cor
complete offering of display
products

  Complementary solutions for customers
     through Baltek
acquisition

  Core Materials is now the fastest
     growing and most profitable business
     within Composites

  Current sales are more than 150% of the
     combined pre-acquisition level in 2003

  Environment-friendly and sustainable

    Uniwood Fome-Cor: Complementary
     products, strong brands and unique
     assets in North America

  Common distribution network

  Significant synergies were realized

  Current sales are 125% of the combined
      pre-acquisition sales in 2003

  Further operational improvements
     expected

 

© 2005 ALCAN INC.  

Slide   15

 


Synergies

 
 

Execution of a value-creating growth strategy

  Successful integration is the key value-creating task for growth by acquisitions

  Synergies driven by marketing & sales reorganisation and improved offering

© 2005 ALCAN INC.

Slide   16


 

Extruded Products Market Participation

 
 

Anchored in Central Europe

© 2005 ALCAN INC.

Slide   17

 


 

Extruded Products Market Trends

 
 

Streamlining in Western Europe and expanding in the East

  A key player in Europe, maintaining its focus on speciality products

  Streamlining operations in Western Europe

  Integration of Pechiney in France

  Combination of large profile activities in Germany and Switzerland

  Growing in the East

  Build on highly successful operation in Decin (Czech Republic)

  Expand soft alloy business in Eastern Europe

■  Develop presence in China

 

© 2005 ALCAN INC.

Slide   18

 


 

R&D and Future Options

 
 

Innovation as a source of growth

  Unique know-how through two world-class R&D centers

  Mandate: increase rate of innovation through step changes

  Approach: encourage generation of ideas for exploitation by
    business units

  Process:

© 2005 ALCAN INC.

Slide   19

 


Strengths and Priorities

 
 

Innovation in everything we do

 

Competitive Strengths

 

 

Key Priorities

  Alcan name and reputation

  Global coverage

  Close to customers

  Wide range of technologies and
     solutions.

  Best-in-class R&D and engineering
     centres

  Entrepreneurial spirit

  International, autonomous
     management teams in close
     contact with markets

  Teamwork

 

■  EHS - recognition as leaders

  Capture synergies

  "Fit for Future" and information
     integration

  Innovation: customer-oriented R&D

  Prepare for growth:

  Portfolio enrichment through
     acquisitions and divestments

  Innovation in everything we do

 

© 2005 ALCAN INC.  

Slide   20


 

Financial Metrics

 
 

Significant value creation potential

 

© 2005 ALCAN INC.

Slide   21

 


Summary

 
 

Engineered Products committed to maximizing value

 

  Enrich the portfolio via acquisitions/streamlining

  Extended geographical footprint

  Product/market development

  Key drivers: customer focus / innovation

  Grow the business profitably and in a sustainable way

  Continue to capture the synergies from Pechiney and recent acquisitions

  5yr plan more than double value

  EVA positive position within reach

  Develop human resources, our management model and organization

© 2005 ALCAN INC.

Slide   22


 

© 2005 ALCAN INC.

Slide   23


 

  

 

APPENDIX

 

 

 

 

 

 

 

© 2005 ALCAN INC.

Slide   24

 


 

Aerospace, Transportation and Industry

 
 

Facilities located close to largest customers

© 2005 ALCAN INC.

Slide   25

 


Composites

 
 

Leadership in global markets

 

© 2005 ALCAN INC.

Slide   26


 

Extruded Products

 
 

Anchored in Central Europe

© 2005 ALCAN INC.

Slide   27

 


 

 

© 2005 ALCAN INC.

Slide   28