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Superior Industries International, Inc. November 3, 2010. NYSE: SUP. Gabelli & Company, Inc. 34th Annual Automotive Aftermarket Symposium. Safe Harbor.
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Superior Industries International, Inc. November 3, 2010 NYSE: SUP Gabelli & Company, Inc. 34th Annual Automotive Aftermarket Symposium
Safe Harbor Certain remarks in today’s presentation are forward looking in nature, and as such, are subject to uncertainty and change. Such remarks are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Act of 1995. For a fuller discussion of the Company’s risk factors, we encourage you to read our SEC filings. www.supind.com
Who We Are Superior Industries International, Inc. designs and manufactures cast aluminum road wheels for sale to original equipment manufacturers of automobiles and light trucks worldwide. www.supind.com
Superior at a Glance • NYSE: SUP • Founded: 1957 • Cash Balance: $143.4 Million as of 6/30/10 • Working Capital: $274.7 Million as of 6/30/10 • Shares Outstanding: 26.7 Million as of 6/30/10 • Institutional Ownership: 87% • 2010 1st Half Revenues: $344.8 Million • 2009 Annual Revenues: $418.8 Million • Cash Dividends: Paid Quarterly Since 1984 • Long Term Debt: Zero • Employees: 3,470 • HQ: Van Nuys, CA www.supind.com
Market Overview • 2010 – A year of industry recovery, stabilization and continued structural change • Vehicle production much more tied to true retail and fleet demand levels with tight control on new vehicle inventories in North America. • Focus on high value-add product content in current and future vehicle offerings driven by consumer preference and affordability. • Industry global scope and focus continues to emerge at the product and supply levels. www.supind.com
Superior’s Approach • Continue to position the company to meet the needs of a rapidly changing industry: • Taking advantage of previous capacity consolidation actions. • Divesting JV position in European market. • Investing in solid producer in India – Synergies Castings LTD. • Establishing strategic initiative for future growth. • Deploying key executive talent – Kerry Shiba appointment as CFO. • Launched new ERP operating system corporate wide. www.supind.com
Keeping Our Eye on Priorities • Optimize existing manufacturing footprint capacity, continue to maximize opportunities in Mexico. • Promote Operational Excellence through renewed focus on product quality and enhanced process control and continued product innovation. • Finalize initial Synergies investment and begin to leverage the relationship to add business value to existing customer base and pursue potential growth opportunities in India. • Focus on sustainable long term financial performance based on a high utilization and flexible business model in North America, positive cash flow and strong balance sheet. www.supind.com
Valued Customers, Product Mix Diversification 2010 Customer Market Share www.supind.com
2011 Jeep Grand Cherokee Ford Fiesta Ford Explorer 2010 Outback 2011 Buick Enclave – 19” Clad New Product Launch Successes 2010 F250 2011 GMX Sierra All Terrain 18” Clad www.supind.com
Growing Applications with Toyota & VW 2011 Highlander 2011 Avalon 2011 Volkswagen Jetta 2011 Sienna www.supind.com
Diversifying Mix Key Crossover Applications 2011 BMW X3 2010 BMW X5 Ford Edge 2011 U205 Explorer 2010 Cadillac SRX Subaru Tribeca 2010 Venza www.supind.com
Growing Passenger Car Applications with Ford and Nissan Ford Taurus 2010 Fusion 2010 Mustang 2010 Sentra 2010 Altima 2010 Versa www.supind.com
Focus on Growing Value-Added Specialty Processes and Finishes 2010 Cadillac SRX 20” Premium Paint Finish 2010 Buick LaCrosse 19” Premium Paint & Flowform 2010 Mustang Halibrand 19” Flowform www.supind.com
Investing in Key Emerging Market - India Synergies Castings LTD • Vizag, India www.supind.com
Optimize Manufacturing Footprint and Capacity Utilization • Leverage existing North American plant capabilities: • Specific plant loading and product mix strategy by facility. • Total focus on Operational Excellence. • Leverage management talent and standardized structure. • Effectively re-deploy capital equipment to optimize capacity. www.supind.com
Sustainable Long-Term Financial Performance • Strong balance sheet, no long-term debt. • Maintain positive cash flow and financial flexibility. • Leverage strengths to take advantage of quick-to-market business opportunities. • Expand when/where financial upside exists. • Further penetration of existing markets. • Evaluate emerging global prospects. www.supind.com
Superior Industries International, Inc. Thank You! NYSE: SUP www.supind.com