Corporate Presentation
4Q16
This presentation contains, or may be deemed to contain, “forward-
looking statements”. By their nature, forward looking statements involve
risks and uncertainties because they relate to events and depend on
circumstances that may or may not occur in the future. The future results
of Alpek, S.A.B. de C.V. And its subsidiaries may differ from the results
expressed in, or implied by the forward-looking statements set out
herein, possibly to a material degree.
16.9
Index
• Business Overview
• Consolidated Financials
• Appendix
Index
• Business Overview
• Consolidated Financials
• Appendix
Investment Highlights
5
Market-leading position in the Americas1
High-return integration and cost-saving projects3
Attractive consumer-oriented product portfolio2
4 Low cost producer with leading technology
5 Experienced management team
6 Strong free cash flow and financial performance
Polyester (71% of Sales) Plastics & Chemicals (29% of Sales)
Alpek is a leading petrochemical company focused
on Polyester chain products, mainly PTA and PET
Source: Alpek estimates
(1) 2016
(2) 6.65% of the subsidiaries Akra Polyester, S.A. de C.V. and 8.55% Tereftalatos Mexicanos, S.A. de C.V., are owned by BP Amoco Chemical Co.
(3) 49% is owned by Lyondell Basell Industries Holdings B.V.
(4) 50% minus one share is owned by BASF de Mexico S.A. de C.V.
Revenues1 US$ 4.8 Billion
EBITDA1 US$ 669 Million
Polypropylene Expandable Polystyrene
Capro-lactamPTA / PET
Polyester Fibers
Fertilizers & Specialty
Chemicals
Products
and Uses
Subsidiaries Grupo Petrotemex2 Indelpro3 Styropek Unimor
Polioles4
6
Source: Alpek
Polyester Chain
Gasoline
Reformer Paraxylene
Crude Oil
Fibers
PET
PTA
MEGEthyleneCrackerEthane
Naphtha Ethylene Oxide
Polyester
7
Alpek´s products are widely used for food
packaging and consumer end-markets
Source: Alpek estimates
Kta: Thousand tons per year
Sample End Users by Industry
Beverage Food
Personal Care Textiles
Volume by Industry 2016(3,938 Kta)
Consumer
Goods
32%
Textiles
7%Construction
3%
Sales Geography 2016
Europe
3%
Mexico
37%
USA
44%
Asia and Others
1%LatAm
14%
Food and
Beverages
58%
Canada
1%
8
Alpek is the largest integrated polyester producer
in North America (PTA-PET)
Source: PCI
2016 Capacities, 2016 M&As
PTA(4,960 kta)
BP
Eastman
Indorama
NanYa
M&G
Indorama
41% 42%
PET(4,443 kta)
North America
2016 Installed Capacity
9
Alpek’s installed capacity amounts to 5.8 M tons;
23 production facilities and ~5,200 employees
Source: Alpek estimates
Kta: Thousand tons per year
(1) Includes industrial and specialty chemicals and recycled PET capacities
Location of Production Sites Installed Capacity Breakdown (Kta)
10
Site PTA PET rPET Fibers PP EPS CPL Other
Mexico
(2,950 Kta)
A Monterrey 160
B Altamira 1,000 640 165
C Salamanca 85
D Ocotlán 10
E Cosoleacaque 610 185
F Lerma 100
USA
(2,343 Kta)
G Cedar Creek 170 73
H Cooper River 170 150
I Columbia 640 725
J Pearl River 430
Canada K Selenis 144
Argentina
(225 kta)
L Zárate 190
M Pacheco 16
N General Lagos 19
Brazil O Guaratingueta 46
Chile
(27 Kta)
P Santiago 5
Q Puerto Montt 2
R Concon 20
Total Capacity1: 5,755 Kta 2,250 2,014 89 310 640 250 85 117
Corpus Christi
(2017)
PTA: 420 k tons
PET: 500 k tons
AB
CD EF
GIHJ
LMN
O
P
Q
R
K
Alpek has developed a leading position in every
product of its portfolio
Source: PCI and Alpek estimates
(1) In North America
(2) In the Americas, including recent EPS acquisition
Alpek: Industry Position
Industry Position Comments
PTA #1 in North America • Attractive industry structure
• 41% est. installed capacity share1
PET#1 in North America
#2 Worldwide• 42% est. installed capacity share1
Fibers #2 in North America• Leading supplier of filament for car seatbelts
• 26% est. installed capacity share1
PP Only producer in Mexico • Attractive growth potential
EPS #1 in the Americas• Largest plant in the Americas
• 40% est. installed capacity share2
CPL Only producer in Mexico • Among top 5 lowest cost producers worldwide
Po
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s &
Ch
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ls
11
Alpek is investing in attractive organic projects to
boost profitability
Strategic Guidelines
Source:Alpek estimates
Project OverviewEstimated figures and dates
● Capture natural gas, ethane and propane
advantage in North America
● Maximize operating efficiency
● Selective capacity expansion
● Lever IntegRex® technology
12
ProjectCapex (US$M)
EBITDA (US$M)
Start-up
1. Cosoleacaque Cogeneration 140 30 4Q14
2. MEG Tolling Agreement 65 20 2Q16
3. PTA/PET Site (Corpus Christi) 400+ 100 2017
4. Propylene Spheres (2) 20 10 2017
5. EPS Expansion Altamira 30 10 2017
6. Altamira Cogeneration 350 90 2018
Total ~ $1 B2 ~$260
US $817 M invested up to Dec-16
Alpek also holds a successful M&A track record
and is constantly evaluating potential targets
13
Attractive Market Potential
Existing/Related Business
Cost Competitiveness
M&A Deals (2011-2016)M&A Guidelines
Product Capacity Year Country Investment
1. EastmanPTA /
PET1.3 Mtons 2011 USA US $622 M
2. Wellman PET 430 ktons 2011 USA US $123 M
3. Cabelma rPET 16 ktons 2014 Argentina Undisclosed
4. BASF EPS EPS 230 ktons 2015 The Americas Undisclosed
5. BASF (Concon) EPS 20 Ktons 2016 Chile Undisclosed
6. Selenis PET 144 ktons 2016 Canada Undisclosed
Alpek
M&A
7. Petroquimica
Suape (1)
PTA 700 ktons
TBD Brazil US $385 MPET 450 Ktons
Fibers 90 ktons
(1) Subject to corporate and governmental approvals after suspension imposed on the assets’ sale is resolved by Petrobras
2017 average Brent price estimated at $55/bbl
Brent Crude Oil
14
40
100
60
20
80
120
Dls/Bbl
99 $/bbl
53 $/bbl
2014 2015 2016 2017
44 $/bbl
Guidance 2017
($55/bbl)
• Δ 1 US$ dollar / Bbl = ~ Δ 3 US$ Million EBITDA
2017 Guidance
4,1063,9383,9373,931
2017G
+4%
20152014 2016
Sales Volume Revenues
EBITDA CAPEX
Source: Alpek estimates
502
669630
434
-25%
2016 2017G2014 2015
238
345317320
-31%
2014 2016 2017G2015
(Kto
ns
)
(US
$ M
illio
n)
(US
$ M
illio
n)
(US
$ M
illio
n)
5,0694,8385,284
6,471
20152014 2016
+5%
2017G
% Sales 6.7% 9.9%11.9% 13.8%
15
Lower 2017 EBITDA guidance mainly due to
normalization of PP margins after 1Q16 peak
16
2723
8924
502
637669
PP
Margin
Non
operating
items
EBITDA
2016
EBITDA
2017G
4
EPS
Margin
Comparable
EBITDA
2016
8
Inventory
gain
Polyester Others
17
26
18
111111
20172016201420132012 2015
Agerage Margin:
Polypropylene to Propylene (PGP)(c/lb)
18
23
2830
26
20
15
11
1Q15 4Q163Q162Q161Q164Q152Q15 3Q15
Alpek: EBITDAM dls
Index
• Business Overview
• Consolidated Financials
• Appendix
Sales Volume and Revenues
78%
22%
3,931
2016
3,874
78%
2015
24%
76%
22%
2014
3,938
2013
77%
3,937
23%
0%
Sales Volume Revenues
-8%24%
29%
4,838
2016
6,471
2013 2015
76%
73%
27%
2014
73%
27%
7,028
5,284
71%
(Kta
)
(US
$ M
illi
on
)
Polyester Plastics & Chemicals
Source: Alpek estimates 18
Income Statement Accounts
532
481
286
228
2016
+11%
201520142013 (1)
Operating Income EBITDA
Financial Cost, Net (2) Majority Net Income
Source: Alpek estimates
(1) Includes US$173 million asset impairment charge from Cape Fear plant closure
(2) Financial Cost, Net = Net Financial Expenses + Fx Gains (Losses) + Interest Rate Swaps + Gas & Comm. Derivatives
133
116111
91
+15%
201520142013 2016
198
175
65
21
+13%
2016201520142013
(US
$ M
illio
n)
(US
$ M
illio
n)
(US
$ M
illio
n)
(US
$ M
illio
n)
11.0%9.1%3.2% 4.4%% Sales % Sales
4.1%3.3%0.3% 1.0%% Sales
669630
434
572
20152013 2016 2014
+6%
13.8%11.9%8.1% 6.7%
19
Balance Sheet Accounts
632685
915
694
2013 20162014 2015
+10%
Net Working Capital(1) Property, Plant and Equipment
Net Debt(3) Stockholders’ Equity
Source: Alpek estimates
(1) Net Working Capital = Accounts receivable + Other accounts receivable + Inventories - Suppliers - Other accounts payable and accrued expenses
(3) Net Debt = Bank loans and notes payable + Current portion of long term debt + Long term debt – Cash
1,9701,8201,8611,889
2015 201620142013
+8%
1,042
722715766
2015
+44%
20162013 2014
2,0192,0052,0282,071
+1%
20162014 20152013
(US
$ M
illio
n)
(US
$ M
illio
n)
(US
$ M
illio
n)
(US
$ M
illio
n)
534549 47NWC Days
20
Financial Ratios and Other Indicators
Interest Coverage(1)Net Debt / EBITDA
CAPEX
Source: Alpek estimates
(1) Interest coverage= EBITDA / Net financial expenses
10.510.7
6.5
2014
7.1
2013 2015 2016
1.6
1.1
1.6
1.3
2013 2014 2015 2016
345317320
179
20142013 2015 2016
(Tim
es
)
(Tim
es
)
(US
$ M
illio
n)
170160
110
148
2013 2014 20162015
EBITDA / Ton
(US
$ / T
on
)
21
Alpek Consolidated Debt Profile
December 2016
● Gross Debt: U.S. $1.184 billion● Net Debt: U.S. $1,042 million ● 99% of our debt is denominated in US dollars(1)
(1) A small portion of debt is denominated in ARS
300
650
127
72
135142
19Cash 1817 2220 21 23
22
Index
• Business Overview
• Consolidated Financials
• Appendix
Operating & Financial Highlights (4Q16)
Alpek
• 4Q16 Consolidated EBITDA of U.S. $133 million, including a U.S. $16 million non-cash inventory
gain
• 2016 Consolidated EBITDA of U.S. $669 million, including a U.S. $24 million non-cash inventory
gain and U.S. $8 million non-operating gains
• Solid balance sheet: 1.6x Net Debt / LTM EBITDA and 10.5x Interest Coverage
Polyester
• 4Q16 EBITDA of U.S. $82 million, including a U.S. $16 million non-cash inventory gain
• 2016 EBITDA of U.S. $349 million, including a U.S. $12 million non-cash inventory gain and a
U.S. $6 million insurance claim cash gain
• 4Q16 results negatively impacted by Hurricane Matthew force majeure and the integration of
Selenis Canada Inc.
Plastics &
Chemicals
(P&C)
• 4Q16 EBITDA of U.S. $52 million and U.S. $322 million in 2016. Full-year EBITDA includes a
U.S. $12 million non-cash inventory gain and a U.S. $2 million non-operating gain
• Polypropylene margins decreased as expected vs. 3Q16, and remain above historical levels
• Record 2016 EBITDA in polypropylene and expandable polystyrene businesses
24
Latest Quarter Results
Source: Alpek
(1) Times: Last 12 months.
Alpek: Selected Financial Information
25
(%) 4Q16 vs.
4Q16 3Q16 4Q15 3Q16 4Q15 2016 2015 Ch.%
Total Volume (ktons) 970 998 967 (3) - 3,938 3,937 -
Polyester 749 757 733 (1) 2 3,004 3,015 -
Plastics & Chemicals 221 241 235 (8) (6) 934 922 1
Consolidated Revenues 1,183 1,236 1,219 (4) (3) 4,838 5,284 (8)Polyester 851 885 884 (4) (4) 3,444 3,840 (10)
Plastics & Chemicals 332 351 335 (5) (1) 1,394 1,444 (3)
Consolidated EBITDA 133 157 143 (15) (7) 669 630 6Polyester 82 83 70 (1) 17 349 344 2
Plastics & Chemicals 52 73 72 (28) (28) 322 284 14
Profit Attributable to Controlling Interest 28 50 29 (45) (4) 198 175 13
CAPEX and Acquisitions 75 128 168 (41) (55) 345 317 9
Net Debt 1,042 915 722 14 44
Net Debt/LTM EBITDA(1) 1.6 1.3 1.1
Interest Coverage(1) 10.5 10.8 10.7
Latest Quarter Results
Sales Volume Revenues
EBITDA Majority Net Income
Source: Alpek
(Kto
ns
)
(US
$ M
illio
n)
(US
$ M
illio
n)
(US
$ M
illio
n)
9679801,000989 970998981988
3Q 4Q2Q1Q
143156
195
137 133
157
208
171
4Q2Q1Q 3Q
1,2191,3461,3981,321
1,1831,2361,2371,182
4Q1Q 3Q2Q
29
38
83
25 28
5048
72
2Q 3Q1Q 4Q
1.8% -8.2%
0.6% 29.6%
Ch.% Ch.%
Ch.% Ch.%
0.3% -2.9%
-6.8% -4.2%
-0.1% -10.5%
25.5% 189.9%
(US
$ M
illio
n)
-1.9% -11.5%
6.7% -42.1%
262015 2016
Latest Quarter Results
Source: Alpek
Alpek: Net Income
Alpek: Cash Flow
27
(%) 4Q16 vs.
4Q16 3Q16 4Q15 3Q16 4Q15 2016 2015 Ch.%
EBITDA 133 157 143 (15) (7) 669 630 6
Net Working Capital & Others (84) 37 12 (328) (806) (183) 5 (3,931)
Capital Expenditures & Acq. (75) (128) (168) 41 55 (345) (317) (9)
Financial Expenses (16) (18) (17) 11 2 (58) (75) 23
Income tax (22) (23) (14) 2 (62) (164) (54) (201)
Dividends (20) - (10) (100) (102) (225) (160) (41)
Payment affiliated companies 8 (4) - 297 4,292 68 (2) 3,596
Other Sources / Uses (50) (25) (13) (104) (298) (83) (34) (141)
Decrease (Increase) in Net Debt (127) (4) (66) (2,767) (93) (320) (7) (4,380)
(%) 4Q16 vs.
4Q16 3Q16 4Q15 3Q16 4Q15 2016 2015 Ch.%
Consolidated Net Income 33 65 43 (49) (24) 272 233 17
Non-Controlling Interest 5 15 14 (65) (63) 75 58 28
Controlling Interest 28 50 29 (45) (4) 198 175 13
Earnings per Share (U.S. Dollars) 0.01 0.02 0.01 (45) (4) 0.09 0.08 13
Avg. Outstanding Shares (Millions)* 2,117 2,118 2,118 2,117 2,118
Comparable EBITDA
28
Reported EBITDA 2014 2015 2016 2017G
Polyester 270 344 349 304
Plastics & Chemicals 159 284 322 198
TOTAL 434 630 669 502
Comparable EBITDA 2014 2015 2016 2017G
Polyester 341 378 331 304
Plastics & Chemicals 159 273 308 198
TOTAL 505 654 637 502
Adjustments* 2014 2015 2016 2017G
Polyester 71 35 (18) -
Plastics & Chemicals - (11) (14) -
TOTAL 71 24 (32) -
*Adjustments: Inventory and non-operating, one-time (gains) losses
New Guidance 2017
2017 Ch.% (vs. 2016)
Volume (Ktons) 4,106 4
Net Sales (Million) U.S. $5,069 5
EBITDA (Million)1 U.S. $502 (25)
Capex (Million) U.S. $238 (31)
2017 New Consolidated Guidance
(1) Does not include any impact from inventory valuation.29
Polyester Chain
PTA, PET, and Polyester Fibers
Employees: 3,629
Products (Capacity):
• PTA (2,250 Kta)
• PET (2,014 Kta)
• rPET (89 Kta)
• PSF (150 Kta)
• Filament and polymer (160 Kta)
Raw Materials:
• Paraxylene (Px)
• Monoethyleneglycol (MEG)
• Acetic Acid
End Markets:
• Food and beverage
• Textile
• Consumer Goods
EBITDA 2016
US$ 3,444 Million
Revenues 2016
US$ 349 Million
General Information
Source: Alpek30
Pearl River, MI
PET
Cedar Creek, NC
PET, R-PET
Columbia, SC
PTA & PET
Cooper River,
SC
PET & PSFMonterrey, N.L.
Headquarters
Polyester Filament
Cosoleacaque, Ver.
PTA & PET
Altamira, Tamps.
PTA
Selenis, Quebec.
PET
ARG
Zárate, Arg.
PET
Pacheco, Arg.
PET
Plastics & Chemicals
PP, EPS, CPL and Others
General Information
Employees: 1,527
Products (Capacity):
• Polypropylene - PP (640 Kta)
• Expandable Polystyrene - EPS (250 Kta)
• Caprolactam - CPL (85 Kta)
• Other (117 Kta)
Raw Materials:
• Propylene, Styrene, Cyclohexane,
Ammonia, Sulfur, Pentane, Ethylene
Oxide, Propylene Oxide and Others
End Markets:
• Consumer Goods
• Food and Beverage
• Construction
EBITDA 2016
US$ 1,394 Million
Revenues 2016
US$ 322 Million
Source: Alpek
Ocotlán, Jal.
Nylon 6
Monterrey, N.L.
Headquarters,
Lerma, Edo. De Mex.
Specialty Chemicals
Altamira, Tamps.
PP, EPS
Salamanca, Gto.
CPL and Fertilizers
Guaratingueta, Brazil
EPS
Santiago, Chile
Other
Puerto Montt, Chile
Other
General Lagos, Argentina
EPS
31
Concon, Chile
EPS
Alpek is managed by an experienced team focused
on delivering value to shareholders
Source: Alpek
Po
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Name PositionYears with
Alpek / Alfa
José de Jesús Valdez Simancas CEO 40
Eduardo Escalante Castillo CFO 29
Felipe Garza Medina Co-President, Alpek Polyester 39
Jorge Young Cerecedo Co-President, Alpek Polyester 26
Jorge González Escobedo President, Polyester Filaments 42
Alejandro Llovera Zambrano President, Polypropylene 31
José Luis Zepeda Peña President, EPS and Chemicals 30
Gustavo Talancón Gómez President, CPL and Ammonium Sulfate 27
Po
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ste
rP
las
tic
s&
Ch
em
ica
ls
32
Plastics & Chemicals
Organization Chart
Source: Alpek
Polyester Chain
Felipe GarzaCo-President
Alpek Polyester
Jorge YoungCo-President
Alpek Polyester
Alejandro Llovera
President, Polypropylene
Jorge GonzálezPresident, Polyester Filaments
Eduardo Escalante
CFO
José de Jesús ValdezCEO
José Luis Zepeda
President, EPS and Chemicals
Gustavo Talancón
President, CPL and Ammonium
Sulfate
33
Polypropylene Chain
Source: Alpek
Propylene
Refinery
Cracker
Polypropylene
34
Gasoline
Reformer Benzene
Refinery
Crude Oil
EPS
EPS & CPL Chain
Source: Alpek
Ethylene
Styrene
Cyclohexane Caprolactam
(CPL)
Cracker
Ammonia
35
+ +
World leader in PP production with sales
in more than 100 countries
Largest petrochemical company in the
world with more than 370 sites
Alpek has been a reliable partner to other global
industry leaders through successful joint ventures
51.0%50.0%
+ 1 Share
Source: Alpek
Alpek: Sample Joint Ventures
36
Alpek has grown at a 8% annualized rate since
1986 through M&A, JVs and organic projects
1985 1988 1991 1994 1997 2000 2003 2006 2009 2012 2015
PTA/PET acquisitions
(USA)
CabelmaPET
Coso Cogen
Acquisition of
Univex
(Caprolactam)
Clear Path
Recycling
Cogeneration
project
Acquisition of PTA
plant
Polypropylene plant
start-up
Propylene
splitter
installation
Acquisition of
polyester business
(USA)
Acquisition of Argentina
and Mexico PET plants
EPS expansion in
Altamira
IPO (BMV)
DMT
Expansion EPS
Expansion
Polypropylene
expansion
EPS
acquisition
Source: Alpek
Sales Volume 1986-2016(Index: 1986=100)
37
Selenis/ Concon
Acquisition
Organic growth and acquisitions position Alpek as
a leading PTA and PET producer in North America
2004(5,500 Kta)
2016(4,960 Kta)
2004 (3,800 Kta)
2016(4,443 Kta)
PTA – Installed Capacity(1)
PET – Installed Capacity(1)
InvistaInterquisa
Eastman
BP
Others
M&G
Indorama
NanYa
Wellman
Invista
Eastman
NanYa
M&G
IndoramaSource: PCI
(1) In North America
29%
41%
8%
42%
38
BP
Eastman
Indorama
Proprietary Technologies
(I&D, acquisitions)
Third-Party
Technologies
Alpek operates a state-of-the-art portfolio of
proprietary and third-party technologies
PTA
• Integrex PTA
PET
• Integrex PET
• Melt – TekTM
Oilfield Chemicals
• In-house
technology
Polypropylene
• Spheripol (LB)
• Spherizone (LB)
EPS
• Single Step
(BASF)
Caprolactam
• HSO
Alpek: Proprietary and Third-Party Technologies
Source: Alpek
39
Oxidation
Post-Oxidation
Filtration and
Drying
CTA Storage
Filtration and
Drying
Feed prep
Hydrogenation
Crystallization Crystallization
PTA Storage
Polymerization
Precursor
Storage
Esterification
Pre-Poly
Annealing
Solid State
Polymerization
Crystallization
PET Resin
Pelletization
Precursor
Preheating
Steps eliminated
with IntegRexTM
technology
Alpek’s IntegRex® technology simplifies both PTA
and PET production processes
Benefits from IntegRexTM technology:
• ~20% reduction in conversion cost
• ~US$15 less per ton in capital cost
• 11 less steps for the production of PTA and PET
• Lower wastewater by-product and greenhouse gas emissionsSource: Alpek
PTA / PET: Process Diagram
40
Power cogeneration overview
Contract-based
power
customers
Ga
s
turb
ine
Heat Recovery
Cogeneration plant
Ste
am
turb
ineNatural Gas
Electricity
Steam
Steam
12
3
1. Gas turbine generates electricity
2. Combustion gases produce steam
3. Steam is used to generate additional electricity and for Alpek’s chemical reactions
Hot
gases
41
Alpek signed an IntegRex® PTA license and PTA-
PET sourcing agreement with M&G
• Integrated PTA - PET site in Corpus Christi, TX
• Capacity: 1.2 M tons PTA and 1.1 M tons PET
• Wholly owned and operated by the M&G Group
• ~U.S.$ 1B estimated investment (green field)
• Largest IntegRex® PTA facility in the world
• Expected to begin operations in 2017
License fee ($)
U.S.$ 350M
400 Ktons per year
of integrated PET
PTA-PET
Sourcing
Agreement
IntegRex®
PTA License
Agreement
Corpus Christi Site
42
The sourcing agreement provides Alpek with
unique access to M&G’s Corpus Christi site
(1) Additional supply rights acquired in 4Q15
336 Ktons+84 Ktons1
PTA1.2 M tons
M&G864 Ktons
400 Ktons+100 Ktons1
M&G600 Ktons
Pearl River
PET1.1 M tons
350 Ktons PTA
Corpus Christi Site (CC)
Raw materials(e.g. Px, MEG, etc.)
Raw materials(e.g. Px, MEG, etc.)
43
Alpek acquires Polioles’ and BASF’s EPS business
activities in North and South America
Polioles’ EPS business activities
EPS site in Altamira, Mexico
Polyurethane (PU) business activities
Selected assets in Lerma, Mexico
EPS sales & distribution in NA/SA
EPS site in Guaratingueta, Brazil
EPS site in General Lagos, Argentina
Aislapol, S.A. (Chile)
Industrial & Specialty Chemicals
Alpek/BASF JV
44
Styropek is the leading EPS player in the Americas
Sites
Sales office
Warehouses
• Largest EPS capacity in the Americas (~250 ktons)
• Only EPS producer covering North and South America
Styropek: Locations
45
Alpek has effectively transformed its EPS business
46
The Americas’ installed EPS capacity 2017ETotal: 600 ktons
Flint Hills
Nexkemia42%
Others
8%
Nova18%
17%
15%
Alpek
(Styropek)
32575
23065
165
20
2018Altamira
Expansion
Concon
Plant
2015Acquisition2014
Kta
Alpek: EPS capacityExpandable Polystyrene (EPS)
Alpek acquired a 20 Kta EPS plant in Concon, Chile
from BASF
47
Alpek: EPS production facilities Concon Plant
• Capacity: 20 Kta (EPS)
• Location: Concon, Chile (BASF site)
• Closing: March 31, 2016Altamira. México
Guaratingueta, Brasil
Santiago, Chile
Puerto Montt, Chile
General Lagos, Argentina,
Concón, Chile
Styropek Plants (230 Kta)
Concon Plant (20 Kta)
Alpek acquired a controlling interest in Selenis
Canada Inc.
48
• Capacity: 144 Ktons (PET)
• Location: Montreal, Canada
• Rationale: • Only PET plant in Canada• Alpek to capture PTA integration synergies• Complement product portfolio with
differentiated PET products
Montreal. Canada
Charleston. USAColumbia. USA
Bay St. Louis. USA
Monterrey. México
Fayetteville. USA
Altamira. México
Cosoleacaque. México
Zárate. Argentina
Pacheco. Argentina
Alpek: Polyester production facilities
Polyester Plants (4,519 Kta)
Selenis Plant (144 Kta)
Selenis Plant
U.S. PET antidumping case
Case Calendar
• March´15: Department of Commerce (DOC) and
International Trade Commission (ITC) filing
• March´16: DOC issued affirmative FINAL Antidumping
Duty and Countervailing Duty determinations
• April´16: ITC issued affirmative FINAL determinations
Countervailing Antidumping
Canada N/A 14 %
China 7 – 126 % 105 – 126 %
India 0 – 1541 % 8 – 19 %
Oman 1 % 8 %
(1) 154% only for JBF Industries Limited
Final Rates
49
• Rates applicable for a minimum period of five years.
• Trade orders could be renewed in five-year increments
871920
838882
948
1,168
9701,014
1,6411,6351,708
926
4Q’162011 1Q’162Q’15 4Q’15 3Q’162Q’163Q’151Q’1520132012 2014
Px USA Contract Price
(US
$ / To
n)
Paraxylene (Px) Price
50
205202215
200208210217213
235236246
394377
2014 4Q3Q 4Q 1Q 2Q2Q1Q2013201220112010 3Q
Margin: China PET to Px/MEG
(US
$ / To
n)
PET Margin (Asia)
2015 2016
51
Alpek stock highlights (BMV: ALPEK)
Valuation 4Q13 4Q14 4Q15 4Q16 2017G
Market Cap. (U.S.$ B) 4.600 3.372 3.068 2.999 2,117
Net Debt (U.S.$ M) 766 715 722 1,042 1,020
EBITDA LTM (U.S.$ M) 572 434 630 669 502
Enterprise Value / EBITDA 9.8 10.0 6.4 6.4 6.7
Price / Earnings 24.4 32.5 13.1 11.0 N/A
Price per Share (MXN) 28.29 22.03 24.26 28.1 21.5
Exchange Rate (MXN/USD) 13.03 13.84 16.75 19.83 21.50
6
5
4
3
2
1
0
1
2
5
4
3
0
DecNovOctJul AugJunMayApr SepDec FebJan Mar Jan
Daily Average Traded Shares & Value
2016
Daily Stock Price
(Pe
so
s)
36
26
28
22
20
30
24
32
34
Aug DecOctJunAprFebDec
2016
Performance ALPEK IPC DJI
December 2016 -12.5% 0.7% 3.3%
YTD (Dec-16) 2.4% 6.2% 13.4%
LTM (Dec-16) 2.4% 6.2% 13.4%
Shares
Value
(M Shares) (U.S. $ M)
52
2017
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