Ennis-Flint & the Road Marking Industry – 5 November 2019

1.

What is your updated perspective on the road marking industry, and some of the key drivers or trends we should be monitoring?

2.

How much of a driver is autonomy for thicker and improved lines? California appears to be pioneering in terms of bringing regulations forward for highly populated and densely populated semi-autonomous vehicles.

3.

Is there any degree of cyclicality or seasonality to the business?

4.

What are your thoughts on Ennis-Flint’s market positioning? From a competitive standpoint, what is its overall strengths and weaknesses?

5.

Ennis-Flint has dealt with some balance sheet issues. What are the key challenges to the health of the balance sheet? Are you overall positive?

6.

There’s quite a bit of TiO2 capacity coming online. While you were with Ennis-Flint, what was your outlook on TiO2? Do you have any projections or general thoughts on the material cost trends, moving forward?

7.

You mentioned that footprint and labour issues have been dealt with at this point. Can you discuss your view of these, how they’ve been resolved and your outlook on them?

8.

What is the competitive landscape and how segmented is it? Who are the key players and what is the general market share breakdown?

9.

How loyal are Ennis’s customers currently and historically? Do you anticipate significant market share shifts among the players you mentioned over the next few years?

10.

What’s your consolidation outlook in the sector? Do you anticipate Ennis, Ozark or Geveko acquiring certain players?

11.

Are there still significant cost synergies to be established by getting greater scale? Is there still a lot of runway to realise some cost savings in materials by getting more volume?

12.

What else should be discussed as we assess Ennis’s and the industry’s outlook? Are there topics we haven’t mentioned or things we should be analysing more closely?

13.

Are there any other synergies that could be established with a Geveko acquisition? Why do you think the competitive advantage is established through a potential acquisition?

14.

How much upside is to be gained by entering the European market through an acquisition, or adding new geographies and markets to the footprint? Was that actively discussed while you were at Ennis? How actively was it considering different market opportunities?

15.

Ozark continues to add to its footprint. As an Ennis-Flint customer, do you consider Ozark as well? Do you distribute Ozark products and have you been approached by the company being out in Denver and towards the west coast? What are the competitive landscapes, from your perspective?

16.

What are your thoughts on Ennis's current leadership team, and what do you think is their priority right now? What should they be focusing on strategically?