© 2013 Holcim Ltd 10 th Annual Pan-European Strategic Decisions Conference Bernhard A. Fuchs / Swetlana Iodko London, October 2, 2013 © 2013 Holcim Ltd Holcim at a glance Holcim’s Strategy House – base for value creation Holcim Leadership Journey Proactive Asset Management – recently announced transactions Key financial figures H1 2013 and outlook Agenda © 2013 Holcim Ltd Product focus – two core segments and their channels Cement Aggregates Net sales CHF 21.5 billion Cement Clinker Product segments 2012 Net sales per segment 2012 217.5 million tonnes production capacity 147 cement and grinding plants Sales: 148.0 million tonnes 470 aggregates plants Sales: 159.7 million tonnes 1,286 RMX plants 99 asphalt plants Sales of ready-mix concrete: 46.9 million m 3 Sales of asphalt: 9.1 million tonnes Aggregates Other construction materials & services 10.4% 58.0% 31.6% Op. EBITDA per segment 2012 Op. EBITDA CHF 4.0 billion 3.4% 86.5% 10.1% Other Construction Materials and Services 10 th Annual Pan-European Strategic Decisions Conference 2013 3 © 2013 Holcim Ltd Holcim – well balanced global portfolio Africa Middle East Europe Net sales per region 2012 14.7% 26.1% 39.2% 4.3% 15.7% Europe Sales volumes per region 2012 North America Latin America Africa Middle East Asia Pacific (million t or m 3 ) Net sales CHF 21.5 billion Op. EBITDA per region 2012 Op. EBITDA CHF 4.0 billion 11.4% 14.9% 44.4% 6.6% 22.7% • Cement 79.2 • Aggregates 27.8 • Ready-mix concrete 12.8 • Cement 24.9 • Aggregates 14.0 • Ready-mix concrete 10.2 • Cement 26.3 • Aggregates 74.3 • Ready-mix concrete 14.7 • Cement 12.0 • Aggregates 41.3 • Ready-mix concrete 8.1 • Cement 8.4 • Aggregates 2.3 • Ready-mix concrete 1.1 Asia Pacific North America Latin America 4 10 th Annual Pan-European Strategic Decisions Conference 2013 © 2013 Holcim Ltd Holcim at a glance Holcim’s Strategy House – base for value creation Holcim Leadership Journey Proactive Asset Management – recently announced transactions Key financial figures H1 2013 and outlook Agenda © 2013 Holcim Ltd Holcim’s Strategy House – base for value creation Creation of Value Mindsets Strategy Goal Base Product Focus Geographic Diversification Local Management Global Standards People Better Cost Management Permanent Marketing Innovation Human Resources Excellence Corporate Social Responsibility Sustainable Environmental Performance 6 10 th Annual Pan-European Strategic Decisions Conference 2013 © 2013 Holcim Ltd Holcim Value Chain Transactional Mortars Ready -mix Concrete Asphalt Concrete Products Direct Sales Direct Sales Traders Wholesalers Retailers Traders Wholesalers Retailers End - users General Contractors Civil Engineering Channels Transformational Masons Self - builders Cementitious Materials (cement, mineral components) Supply Basic Materials Processing Aggregates (sand, gravel, stone, recycled aggregates) Infrastructure Commercial / Industrial Building Housing Demand A p p l i c a t i o n s Applications and Construction Fields 7 10 th Annual Pan-European Strategic Decisions Conference 2013 © 2013 Holcim Ltd Market maturity defines investment focus Added value through business integration Market maturity Ready-mix Concrete Aggregates Cement India Mexico Eastern Europe France, Spain N. America, UK Emerging markets Transition markets Mature markets Value Added Businesses 8 10 th Annual Pan-European Strategic Decisions Conference 2013 © 2013 Holcim Ltd Positioning – Holcim’s cement market portfolio Cumulated population Growth 2012 - 2017E -4% -2% 0% 2% 4% 6% 8% 10% 12% 2% 3% 4% 5% 6% 7% 8% 9% 10% 11% 12% GDP per capita (at PPP) CAGR 2012 - 2017E Western Europe 25.9 Mt Eastern Europe 23.3 Mt Africa Middle East 23.2 Mt Mature markets Emerging markets Size of circles represents influenced capacity 2012 North America 22.0 Mt India 60.5 Mt China 60.0 Mt Asia Pacific excl. India, Oceania, China 43.5 Mt Latin America 35.5 Mt Demand growth Oceania 4.8 Mt Sources: Holcim, US Census Bureau, Datastream – IMF: World Economic Outlook, January 2013 9 10 th Annual Pan-European Strategic Decisions Conference 2013 © 2013 Holcim Ltd Positioning – Holcim’s aggregates market portfolio -4% -2% 0% 2% 4% 6% 8% 10% 12% 2% 3% 4% 5% 6% 7% 8% 9% 10% 11% 12% Western Europe 64.8 Mt Africa Middle East 2.3 Mt Latin America 14.0 Mt North America 41.3 Mt Asia excl. Oceania 3.8 Mt Mature markets Emerging markets Size of circles represents consolidated sales volumes 2012 Eastern Europe 9.5 Mt Demand growth GDP per capita (at PPP) CAGR 2012 - 2017E Cumulated population Growth 2012 - 2017E Oceania 23.9 Mt Sources: Holcim, US Census Bureau, Datastream – IMF: World Economic Outlook, January 2013 10 10 th Annual Pan-European Strategic Decisions Conference 2013 [...]... terminal Aggregates Participation: Cement plant 1 Under construction Cement capacity*: 47.9 Mt * as of June 30, 20 13 10th Annual Pan- European Strategic Decisions Conference 20 13 © 20 13 Holcim Ltd 26 Positions in North America Cement capacity*: 22 .0 Mt Cement plant Grinding plant/ terminal Aggregates * as of June 30, 20 13 10th Annual Pan- European Strategic Decisions Conference 20 13 © 20 13 Holcim Ltd 27 ... 30, 20 13 10th Annual Pan- European Strategic Decisions Conference 20 13 © 20 13 Holcim Ltd 30 Contact information and event calendar Contact information Event calendar Bernhard A Fuchs Michel R Gerber Swetlana Iodko November 5, 20 13 Press and analyst conference for the third quarter 20 13 February 26 , 20 14 Press and analyst conference on annual results for 20 13 Investor Relations Phone +41 58 858 87 87 Fax... Latin America Cement plant Grinding plant/terminal Aggregates Participation: Cement plant 1 Grinding plant/terminal Aggregates 1 Under construction Cement capacity*: 35 .2 Mt * as of June 30, 20 13 10th Annual Pan- European Strategic Decisions Conference 20 13 © 20 13 Holcim Ltd 28 Positions in Africa Middle East 1 1 Cement plant Grinding plant/terminal Aggregates Participation: Cement plant Grinding plant/terminal... outstanding Note: Due to the changes in accounting policies explained in note 2 of the interim financial statements, the comparative information for the first half and full year 20 12 has been restated for each financial statement line item 10th Annual Pan- European Strategic Decisions Conference 20 13 © 20 13 Holcim Ltd 23 Outlook for 20 13 • Asia Pacific: Positive development in Asia, stable cement demand... Annual Pan- European Strategic Decisions Conference 20 13 © 20 13 Holcim Ltd 13 Agenda Holcim at a glance Holcim’s Strategy House – base for value creation Holcim Leadership Journey Proactive Asset Management – recently announced transactions Key financial figures H1 20 13 and outlook © 20 13 Holcim Ltd Value creative portfolio adjustments in Europe © 20 13 Holcim Ltd Acquisition of Cemex West Germany and sale... plant/terminal Aggregates Cement capacity*: 10.7 Mt; further 12. 5 Mt with partners * as of June 30, 20 13 10th Annual Pan- European Strategic Decisions Conference 20 13 © 20 13 Holcim Ltd 29 Positions in Asia Pacific 1 1 1 Cement plant Grinding plant/terminal Aggregates Participation: Cement plant Grinding plant/terminal 1 1 Under construction Cement capacity*: 90.6 Mt; further 81.5 Mt with partners * as of... strong dealer networks / distribution in respective markets Commit to India Group • Investment in Marwar Mundwa • Intent to increase economic ownership in ACC over time • ACC is a perfect fit, being a Holcim Group company already 10th Annual Pan- European Strategic Decisions Conference 20 13 © 20 13 Holcim Ltd 21 Agenda Holcim at a glance Holcim’s Strategy House – base for value creation Holcim Leadership... North-Western Germany and connect current Northern Germany and France Benelux operations • Additional operating EBITDA and synergies expected to be at least EUR 20 million p .a • Combine operations in Spain to add value and benefit from expected synergies • Closing expected in Q4 20 13, subject to due diligence, regulatory and other approvals 10th Annual Pan- European Strategic Decisions Conference 20 13 © 20 13 Holcim... 9.4 Aggregates quarries (#) 30 30 Ready-Mix plants (#) 57 63 as of August 20 13 • Holcim to remain shareholder of the combined entity for at least 5 years 10th Annual Pan- European Strategic Decisions Conference 20 13 © 20 13 Holcim Ltd 18 Unlocking Synergies Deriving Further Value from the India Platform © 20 13 Holcim Ltd ACL acquires Holcim’s 50.01% equity stake in ACC Evolution of current to target shareholder... Česko Asset combination in Spain with 25 % shareholding by Holcim Laegerdorf Ruedersdorf Hoever + Beckum-Kollenbach Prachovice Dotternhausen Morata de Jalón Alcanar Legend Lloseta Buñol Castillejo Integrated Cement Plant Grinding Station + Slag Granulator Jerez Gador 10th Annual Pan- European Strategic Decisions Conference 20 13 Alican . © 20 13 Holcim Ltd 10 th Annual Pan- European Strategic Decisions Conference Bernhard A. Fuchs / Swetlana Iodko London, October 2, 20 13 © 20 13 Holcim Ltd Holcim at a glance Holcim’s Strategy. Resources Excellence Corporate Social Responsibility Sustainable Environmental Performance 6 10 th Annual Pan- European Strategic Decisions Conference 20 13 © 20 13 Holcim Ltd Holcim Value Chain Transactional Mortars Ready -mix Concrete Asphalt Concrete. January 20 13 10 10 th Annual Pan- European Strategic Decisions Conference 20 13 © 20 13 Holcim Ltd Holcim at a glance Holcim’s Strategy House – base for value creation Holcim Leadership Journey Proactive