taminco corporation jefferies industrial conference company highlights taminco -a sustainable...

Taminco CorporationJefferies Industrial Conference

August 2014

2

Disclaimer

FORWARD-LOOKING STATEMENTS

Any statements made in this presentation that are not statements of historical fact, including statements about our beliefs and expectations, are forward-looking statements within the meaning of the federal securities laws, and should be evaluated as such. Forward-looking statements include information concerning possible or assumed future results of operations, including descriptions of our business plan and strategies. These statements often include words such as “anticipate,” “expect,” “suggests,” “plan,” “believe,” “intend,” “estimates,” “targets,” “projects,” “should,” “could,” “would,” “may,” “will,” “forecast,” and other similar expressions. We base these forward-looking statements or projections on our current expectations, plans and assumptions that we have made in light of our experience in the industry, as well as our perceptions of historical trends, current conditions, expected future developments and other factors we believe are appropriate under the circumstances and at such time. As you read and consider this presentation, you should understand that these statements are not guarantees of performance or results. The forward-looking statements and projections are subject to and involve risks, uncertainties and assumptions and you should not place undue reliance on these forward-looking statements or projections. Although we believe that these forward-looking statements and projections are based on reasonable assumptions at the time they are made, you should be aware that many factors could affect our actual financial results or results of operations and could cause actual results to differ materially from those expressed in the forward-looking statements and projections. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. If we do update one or more forward-looking statements, there should be no inference that we will make additional updates with respect to those or other forward-looking statements.

FURTHER INFORMATION

This presentation should be read together with our SEC filings, including with the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and the consolidated financial statements and the related notes thereto included in such filings. You may get these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, Taminco will arrange to send you our SEC filings if you request it by calling toll-free 1-800-831-9146.

For more information concerning factors that could cause actual results to differ materially from those contained in the forward-looking statements please refer to the “Risk Factors” section of our Annual Report on Form 10-K filed by the Company with the Securities and Exchange Commission and subsequent filings by the Company.

NON-GAAP FINANCIAL MEASURES

In this presentation, Taminco presents Adjusted EBITDA, Adjusted EBITDA margin, and Recurring Free Cash Flow because it believes these measures are useful as supplemental measures in evaluating the performance of its operating businesses and provide greater transparency into our results of operations. Adjusted EBITDA, Adjusted EBITDA margin, and Recurring Free Cash Flow should not be considered in isolation or as a substitute for net income, cash flow from operations or other statement of operations data prepared in accordance with U.S. GAAP. See Appendix for the definitions and reconciliations of these non-GAAP measures.

MARKET, RANKING AND OTHER INDUSTRY DATA

In this presentation we rely on and refer to information and statistics regarding our industry, the size of certain markets and our position within the sectors in which we compete. Some of the market and industry data contained in this presentation are based on independent industry publications or other publicly available information as well as reports privately commissioned by us, which is not publicly available, while other information is based on our good faith estimates, which are derived from our review of internal surveys, as well as independent sources listed, and our management’s knowledge and experience in the markets in which we operate. Our estimates have also been based on information obtained from our customers, suppliers and other contacts in the markets in which we operate. While we are not aware of any misstatements regarding any industry data presented herein, our estimates, in particular as they relate to market share and our general expectations, involve risks and uncertainties and are subject to change based on various factors, including those discussed under “Risk Factors,” “Cautionary Statement Regarding Forward-Looking Statements” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our SEC filings.

http://www.sec.gov/

Taminco -A Global Specialty Chemical Company

Taminco Corporation

Net Sales (LTM Q2 FY ‘14): $1,274mm

Adj. EBITDA (LTM Q2 FY ‘14): $270mm

Adj. EBITDA Margin (LTM Q2 FY ‘14): 21%

Functional Amines

CropProtection

SpecialtyAmines

VerticallyIntegratedSpecialty

Chemicals

• Taminco is a global specialty chemical company with a clear focus on niche markets

• The world’s leading producer of alkylaminesand alkylaminederivatives

• Alkylamines are produced by combining ammonia and an alcohol and play a critical, functional role in many chemical products

• Vertically integrated business model and diverse portfolio of high value specialty derivatives

• Formicacid solutionsrecentlyadded as new niche - part of SpecialtyAminesdivision

3

4

Company Highlights

Taminco -A Sustainable Industry Leader

Global Industry Leaderwith Sustainable Market Position

• Leading global producer of alkylamines and its derivatives, with a clear focus on niche markets

• #1 or #2 market position globally in the vast majority of chemicals Taminco produces

• Favorable industry structure

Resilient, Robust Financial Profile

• Adjusted EBITDA margins averaged above 20% from 2007 – 2013, even during ‘08-‘09 downturn

• Significant recent investments to support growth

• High cash conversion

~80% of Taminco’s End Markets Exposed to

Positive “Mega Trends”

• Complete portfolio of derivatives

• “Mega Trends” driven by urbanization and population growth globally

• End market CAGR range of ~5-7% through 2018 (growth in nominal value terms)

• Average relationship of 13 years with top customers who are leaders in their markets

• Many opportunities for joint development

• Provides products that are difficult to substitute

Integral Supplierto Blue Chip

Customer Base

5

Alkylamines Derivatives End Markets

C2-6 Alcohols

Methanol

HigherAlkylamines

Methylamines

Ammonia

e.g. ethylene oxide, hydrogen,

carbon disulphide, acetic

acid

Alkylamine Derivatives

Other Ingredients

Rubber Chemicals

Animal Feed

Biocides

Crop Protection

Coatings & Metal Working Fluids

Oil & Gas Treatment

Solvents

Pharma Precursors

Surfactants

Water Treatment

Feedstock

Taminco’s products in the value chain

Taminco’s Position in the Value-Chain

• Alkylamines are organic compounds produced through reaction of an alcohol with ammonia

• Difficult to substitute and to replicate

• Small portion of our customers’ overall costs

• Low cost model through heat and steam recycling (optimizing energy efficiency)

• Manufacturing flexibility to shift production among derivatives

• Large, global, blue-chip customer base, which is served regionally through strategically located manufacturing facilities

• Neutral supplier to customers by not competing in certain downstream end-markets

IrreplaceableFootprint andValue Chain

Formic Acid Derivatives

Formic Acid

AcidDerivatives (salts

& acid blends) End MarketsFeedstock

6

NewR&Dlab in Ghent

UCBcarve-out acquisition

AirProducts’ European acquisitionQ2

AirProducts’USAacquisitionQ3

Fourth generation methylamine unitat Ghent

Successful Start Up of Derivatives Unit in US

MGC JV

Integrationof Riverview unit into St. Gabrielsite

42

2 k

T

45

2 k

T

58

9 k

T

93

3 k

T

1,0

15

kT

1,0

63

kT

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

1,1

86

kT

1,2

72

kT

Successful Start Up of Additional Derivatives unit in US

&

AAA unit in ChinaAcquisition

of FlexsysCustomer Portfolio

IPO in April

2013 allows

Taminco

access to

public equity

markets

Taminco's Evolution - A Balanced Approach to Growth(1)

1,2

72

kT

Acquisitions:

Riverview (Arkema)

Yixing JV (Akzo)

1,0

53

kT

1,1

16

kT

Formic acid solutions acquisition

Balchem JV

Methyl-amine expansion

Pace, FL,US

(on stream June 2014)

1,5

08

kT

(1) Figures are production capacities of alkylamines, alkylamine derivatives and formic acid

7

Growth Characteristics of Taminco’s Key End Markets(1)

Stable High-Growth End Markets Benefitting from “Mega Trends“

End MarketGrowth

Outlook(1)

Taminco’sPosition Underlying “Mega Trend”

Agriculture 7% #1 (2)

Animal Nutrition

5% #2 (3)

Water Treatment

6% #1 (5)

Oil & Gas 6-7% #3 (6)

• Growing population with less arable land

• Continued shift to protein rich diets (increased consumption of white meat, poultry in particular)

Personal & Home Care

6% Top 2/3 (4) • Demand for high performance, sophisticated products

• Increased requirement for clean water

• North American shale gas and demand for increased energy efficiency

Taminco has ~82% of volumes derived from these end markets, comparing favorably to

other leading specialty chemical peers

(1) Growth per annum 2013 – 2018 based in nominal value terms.(2) Represents market position for MIPA, Metam, and Thiram (largest products sold into end-market).(3) Represents market position for Choline Chloride (largest product sold into end-market).(4) Represents market position for DIMLA (largest product sold into end-market).(5) Represents market position for DMAE (largest product sold into end-market).(6) Represents market position for MDEA (largest product sold into end-market).

Note: Growth in nominal value terms.

Other18%

Agriculture30%


20%

Water Treatment

12%

Animal Nutrition

14%

Energy6%

8

Integral Supplier to Blue-Chip Customer Base

• Diverse global blue-chip customer base

• Average relationship of 13 years with top customers

• Products are integral to customer end products, and difficult to substitute or replicate

• Strategic alignment with key downstream customers ; customers depend on Taminco proprietary products

• Only 'neutral' Alkylamines player with full derivatives capacity

Agriculture

Water TreatmentPersonal & Home Care

Animal Nutrition Oil & Gas

9

Contracts

Taminco is relatively insulated from raw material volatility through:

• Cost-Pass-Through (“CPT”) contracts account for 50% of volume

• Market based sale contracts renegotiated quarterly

• Taminco’s products typically represent a small percentage of customers’ total costs

• Top 4 raw materials account for 40% of cost of sales

• All main raw materials are readily available commodity chemicals

• Key raw materials are purchased from a limited number of suppliers providing security of supply through contracts

Raw Materials Pricing Evolution VersusUnit Variable Margin(1)

Margin Stability Supported by Pass Through of Raw Materials

(1) Defined as Variable Margin/Volume.

Methanol Ammonia Taminco Unit Variable Margin

0

50

100

150

Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13

Taminco UVM

Methanol

Ammonia

10

Growth Strategy to Drive Shareholder Value

Underlying End Market Growth Range of ~5-7%

Recent and Upcoming Capital

Investments

New ProductPipeline

M&AGrowth

• Global "mega trends" driving

increasing opportunities

• Positioned to benefit from

secular growth opportunities

in key end markets

• Generates significant organic

growth

• Pipeline of attractive

opportunities

• Successfully acquired and

integrated 7 businesses /

assets over the last decade

• Pursue acquisitions to

bolster footprint and product

portfolio

• Portfolio of new products to

address identified

opportunities

• Collaborating with key

customers to develop new

products

11

Agricultural

• Tenaz & Banguard

• DAS Herbicide Amine

• Advanced Metam

• Amine based fungicideprecursor

Animal Nutrition

• Taminizer A

• Taminizer D

• Other Taminizers

Oil & Gas• Amietol M42, M44, M52

• Taminizer CL

Recent and Upcoming Investments New Product Pipeline

Water Treatment• Neutralizing amine

• Functional Diamines


• Surfactant precursor

• Tamisolve NxG

• Novel tertiary amines

USA

China

Growth from Recent Investments and New Products

DMAPA Growth Project Startup Date: Q4 2011End Markets: Personal & Home Care

DIMLA Growth Project Startup Date: Q2 2012End Markets: Personal & Home Care; Industrial Disinfectants

MA Expansion Growth ProjectStartup Date: Q3 2014

End Markets: Personal & Home Care, Agricultural, and Oil & Gas

New Amietols (AAA) UnitStartup Date: Q4 2012End Markets: Water Treatment, Personal & Home Care and Oil & Gas

BanguardEnd Markets: Agricultural

DAS Herbicide AmineEnd Markets: Agricultural

Tamisolve NxGEnd Markets: Personal & Home Care

Denotes Growth Opportunities Further Developed Since IPO

Europe

Red font denotes ongoing investments.Navy blue font denotes operational investments.

12

Proven and Experienced Management Team

Name TitleYears With

Taminco

Laurent Lenoir Chief Executive Officer 22

Kurt Decat Chief Financial Officer 11

Colin GouveiaEVP – Functional AminesHead of Global PurchasingRegional President North America

2

Sabine KetsmanEVP – Specialty AminesHead of Global Sales

14

Guy Van den Bossche EVP – Crop Protection 28

Johan de SaegherChief Operating OfficerEVP – Supply Chain and ICT

20

Piet Vanneste EVP – Strategy, R&D, M&A 24

Edward YocumEVP, General Counsel, Chief Compliance Officer and Corporate Secretary

2

• Transformed Taminco into a leader through investment

o Invested significantly over the last decade to expand business lines, capacity and new product introductions

o Reinvigorated M&A execution strategy and successfully acquired and integrated six businesses / assets over the last decade

o Focused on optimization and driving efficiencies throughout the organization

o Successfully completed IPO of the business in April 2013

• Grew Taminco through the economic downturn while improving operational performance

o Grew Adjusted EBITDA by ~20% between 2008 – 2009

o Guided sustained Adjusted EBITDA margin expansion

o Achieved lowest cost producer status due to integrated business model

o Developed sophisticated sales and marketing expertise

Taminco Management Achievements

Executive Team – Cumulative Years in Industry: 185Executive Team – Average Years with Taminco: 15

13

Opportunity to Capture Value from Recent Formic Acid Solutions Acquisition

Strategic Rationale Potential Opportunities to Capture Value

• Repositioning business model and corporate / product rebranding to optimize margins

• Customer segmentation

• Selective market targeting

• Semi specialty approach

• Focus on new business development by advancing innovative accretive new products

• Selectively expand into China through industrial partnerships and our own operations

• Leverage Taminco’s operational experience to efficiently manufacture products

• Operational excellence

• Pricing excellence

• Customer intimacy

• Market knowledge to reshape industry structure

• Further M&A opportunities can lead to incremental upsides

• Leading solutions provider to solid end markets with attractive growth potential including animal feed, agriculture, pharma, rubber, de-icing, leather tanning

• Sustainability and regulation expected to positively influence growth

• Downstream integration brings value in niche market

• Market / application focus and segmentation will allow for differentiation

• High potential to materially enhance business model through Taminco’s operational excellence

Vision: Be the most innovative and focused leader in niche Formic Acid markets

14

Joint Venture with Balchem for Choline Chloride

• Announced an agreement on January 27, 2014 with Balchem Corporation to build and operate a choline chloride facility in St. Gabriel, Louisiana

• Consistent with Taminco’s strategy of pursuing partnership and developing products in an optimal way

• The new capacity will help to serve the growing North American market

• Underpinned by increasing demand for choline chloride, in particular in shale gas applications

• Ideal joint production model will lead to state-of-the-art unit, using most advanced technology

• Generate advantages of scale and provide customers a high quality product and reliable supply chain at competitive cost

• Balchem will contribute its current St. Gabriel choline chloride production assets to the JV

• Both parties will invest into expanding these assets into a world scale production unit

• Will market the product through separate and fully independent channels

• Expected to come on stream in second half of 2015

15

($ in millions)

Increasing Profitability(Adjusted EBITDA and Margins)(1)

2006 – 2013 CAGR: 13.6%Taminco was able to continue to grow Adjusted EBITDA (20% in ’08-’09) while most of the chemical industry saw EBITDA decline

Strong Cash Conversion (Adj. EBITDA Less Capex / Adj. EBITDA)(1)

90% 90% 94%90%

96%94% 93%

Best in Class Financial Profile with Stability Through the Economic Cycle

Market leadership in an attractive industry, significant portion of sales with pass-through contracts, and vertical integration drives strong financial performance

Based on Maintenance Capex Only

Based on Total Capex

(1) The above financial information includes the results of operations for each of the acquisitions we have made from the date of acquisition.

92%

$104

$149 $164

$196 $203

$229 $240

$255

15%

18% 16%

24%

21% 20% 22% 21%

0%

10%

20%

30%

40%

50%

$0

$50

$100

$150

$200

$250

$300

'06 '07 '08 '09 '10 '11 '12 '13

85% 84% 74%

79% 69%

77% 76% 74%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

110%

'06 '07 '08 '09 '10 '11 '12 '13

16

Strong Cash Conversion(Adj. EBITDA Less Capex / Adj. EBITDA)

• Strong cash management including capex discipline and effective working capital management

• Limited maintenance capital requirement

• Considerable flexibility to reinvest in the business through high ROI growth capex projects

Robust and Stable Free Cash Flow Generation

Significant Growth CapEx Invested($ in millions)

Growth Capex

Maintenance Capex

79% 69%

77% 76% 74%

2009 2010 2011 2012 2013

Based on Maintenance Capex Only

Based on Total Capex

90%

96%94% 93% 92%

$21

$54

$41 $41 $47

$20

$8

$13 $16

$19

2009 2010 2011 2012 2013

Debt Outlook (Net Debt / LTM Adj. EBITDA)

4.6x

3.2x

2.0x

Pre IPO FY '13 Target Leverage

3.0x

2.5x

17

Executed Our Goals in 2013Goal Result

Accretive Investment of

Capital

• Taminco is realizing meaningful performance contributions from recent significant capital projects in the U.S. relating to downstream derivative products

• Announced a joint venture with Balchem Corporation in January 2014 to build and operate a world-class choline chloride facility

• Announced an agreement in December 2013 to acquire the Formic Acid Solutions business from KemiraOyj for $190 million or less than 5x synergized EBITDA

• Completed expansion on our Methylamine expansion project at our Pace, FL facility which increases US capacity by over 50% (Startup Date: June 2014)

Optimize Capital Structure

• Executed the IPO of Taminco in April 2013; proceeds were used to de-lever to ~3.6x Net Debt / Adj. EBITDA

• Leverage down to 3.2x at the end of FY’13 – in line with expectations (2)

• Executed a secondary offering in December 2013; public float now ~42% of shares outstanding

• Repriced credit agreement in February 2014, lowering the interest rate on the senior secured facilities by 100 bps, or $5 million per year (pre tax) , creating greater cash flow to use accretively across Taminco’s strategies

Maintain Leading Specialty Chemical

Player Profile

• Maintained leading market position in stable niche market, which is expected to remain well structured and cycle resilient

• Continued to deliver predictable earnings across geographies, including Europe

• Exposure to Mega-Trends, as key end market CAGR range of ~5-7% through 2018 (growth in nominal value terms) (1)

• Continued opportunity to capitalize on recent investments in the U.S. and Asia

• Meaningful opportunities for additional growth via new product introductions and M&A

Deliver Financial Outperformance

• 2013 results driven by strong performance in all divisions, in particular supported by significant growth in Specialty Amines

• Outperformed broader economic environment

• Record 2013 Adjusted EBITDA of $255 million (up 6% vs. 2012)

• Record 2013 Net Sales of $1.2 billion (up 8% vs. 2012)

(1) Per ADL, January 2013. Growth per annum 2012 – 2016 based on aggregate nominal value.(2) Pro-forma adjustment for acquisition of Formic Acid Solutions business of Kemira Oyj

18

Second Quarter FY ‘14 Overview

Q21

FY’14Q2

FY’13YoY%

Volume (kT) 182 146 25%

Net Sales $370 $305 21%

Adjusted EBITDA $77 $66 17%

Adjusted EBITDA Margin

21% 22% (1%)

($ in millions)

Q2 FY ‘14 Performance Historical Adjusted EBITDA Trend

$203$229 $240 $255 $270

15%

20%

25%

100

150

200

250

300

FY'10 FY'11 FY'12 FY'13 Q2'14LTM

$M

M

Adjusted EBITDA Adjusted EBITDA Margin

• Reiterating full year Adjusted EBITDA guidance of $290-295 million on record Q2 FY’14 performance

• Q2 FY’14 Volume increased 25% and Adjusted EBITDA increased 17% year over year for a 21% Adjusted EBITDA margin

• Cash from Operations of $93 million and Recurring Free Cash Flow of $50 million for the 6 months ended June 30 FY’14

• Record performance in Crop Protection and continued strong demand in personal & home care, water treatment and energy end-markets, which drove solid results in our Specialty Amines division

• Strong volume and sales growth in all regions

• Methylamine expansion project at our Pace, FL facility was successfully completed and is currently operational

• The majority of our large capital expenditures are behind us for the year and we are well positioned to generate strong cash flow and Adjusted EBITDA growth in the second half of FY’14

• Integration of Formic Acid Solutions business is on track and we feel comfortable delivering the anticipated synergies and growth opportunities

• Evaluating a healthy pipeline of potential bolt on acquisitions that would continue to strengthen our market position

1 Note: Includes contributions from Formic Acid Solutions business of 31 kT and $38 million for volume and net sales, respectively

19

Q2 FY ’14 Net Sales Mix

Q2 FY ’14 Net Sales by End Markets Q2 FY ’14 Net Sales by Region Q2 FY '14 Net Sales by Division

•Our top 5 end markets account for 82% of our Q2 FY ’14 net sales and continue to be driven by favorable mega-trends

•North America was up 10% year over year primarily due to higher volume in Specialty Amines

•Our European business was up 42% year over year due to strong sales across all divisions and the contribution of the Formic Acid Solutions business

• Emerging markets increased 10% from the prior period due to strong sales in Latin America of Specialty Amines and Crop Protection

Emerging Markets: 16% Americas:

50%

Top 5 Accountfor 82% of Q2 FY’14

Net Sales

Other18%

Agriculture30%


20%

Water Treatment

12%

Animal Nutrition

14%

Energy6%

North America

42%

Europe 42%

Asia 8%

Latin America

8%

Functional Amines

38%

Specialty Amines

51%

Crop Protection

11%

20

Divisional Highlights – Functional Amines

Q2 FY ‘14 Performance

• Volume – Flat year over year, driven by stronger demand in solvents and higher amines, offset by declines in methylamines and salts. Volumes grew 7% from Q1 FY ‘14

• Adjusted EBITDA - Decreased $2 million year over year to $30 million, which was primarily driven by lower margins due to a negative mix effect. The agriculture market improved from the first quarter and we saw good performance across home & personal care and oil & gas

Year-over-Year Comparison

Q2FY’14

Q2FY’13

Volume (kT) 75 75

Net Sales $140 $137

Adjusted EBITDA $ 30 $32

Adjusted EBITDA Margin 21% 23%

($ in millions)

Q2 FY’14

Volume 0%

Net Sales 2%

Adjusted EBITDA (6%)

Adjusted EBITDA Margin (2%)

Highlights Historical Adjusted EBITDA Trend

$106 $110

$122 $122 $117

15%

20%

25%

30%

90

100

110

120

130

FY'10 FY'11 FY'12 FY'13 Q2'14LTM

$M

M


21

Divisional Highlights – Specialty Amines

Q2 FY ’14 Performance

• Volume - Increased 59% year over year for Q2 FY’14 primarily due to the contribution of the Formic Acid Solutions business and strong demand in personal & home care, energy and water treatment, both in the US and Europe. Animal nutrition was slightly weaker year over year

• Adjusted EBITDA - Increased 48% year over year to $34 million due to a full quarter’s contribution from the formic acid solutions business, increases in volume, higher pricing and product mix effects


Q21

FY’14Q2

FY’13

Volume (kT) 92 58

Net Sales $188 $131

Adjusted EBITDA $34 $23


($ in millions)

Q2 FY’14

Volume 59%

Net Sales 44%

Adjusted EBITDA 48%

Adjusted EBITDA Margin 0%


$57$78 $80

$91

$104

5%

10%

15%

20%

25%

10

30

50

70

90

110

FY'10 FY'11 FY'12 FY'13 Q2'14LTM

$M

M


1 Note: Includes contributions from Formic Acid Solutions business of 31 kT and $38 million for volume and net sales, respectively

22

Divisional Highlights – Crop Protection

Q2 FY ‘14 Performance

• Volume - Increased 15% year over year primarily due to strong European and Latin American performance. This was partially offset by lower volumes in soil fumigants in North America, which we expect to recapture in the second half of FY’14

• Adjusted EBITDA - Increased 18% year over year to $13 million, primarily due to higher pricing and positive mix effects, confirming the strong growth already achieved in Q1 FY’14


Q2FY’14

Q2FY’13

Volume (kT) 15 13

Net Sales $42 $37

Adjusted EBITDA $13 $11


($ in millions)

Q2 FY’14

Volume 15%

Net Sales 14%

Adjusted EBITDA 18%

Adjusted EBITDA Margin 1%


$40 $41$38

$42$49

15%

20%

25%

30%

35%

40%

0

10

20

30

40

50

FY'10 FY'11 FY'12 FY'13 Q2'14LTM

$M

M


23

Cash Flow and Balance Sheet Update

Recurring Free Cash Flow

Balance Sheet & Cash Flow

• Recurring Free Cash Flow of $50 million for the 6 months ended June 30, 2014:

$54 million of capital expenditures, including a significant part of the methylamine expansion project

• Free cash flow generation is expected to be robust in the second half of the year as well, following the completion of the methylamine capacity expansion at the Pace facility. Total capital expenditures for FY’14 is expected to be $85 million5

• Q2 FY ‘14 Adjusted EBITDA less Capex: $50 million2

• Cash & Cash Equivalents: $67 million

• Net Debt: $978 million

• Net Debt / LTM 6/30/14 Adjusted EBITDA: 3.4x4

• Trade working capital: $121 million which includes the impact of the Formic Acid Acquisition

Six months ended

June 30, 2014

Net Income (reported) 24

Plus: Depreciation and Amortization 66

Less: Change in Trade Working Capital 6

Less: Other1 (3)

Net Cash from Operations $93

Less: Capital Expenditures2 (54)

Free Cash Flow $39

Plus: Non-Recurring Cash Items3 11

Recurring Free Cash Flow $50

($ in millions)

1 Note: Primarily due to deferred taxes and amortization of debt costs2 Note: Excludes intangibles. 3 Note: Includes non-recurring items such as transaction costs related to the Formic Acid Solutions acquisition and one-time expenses related to the Methylamines capacity expansion at the Pace facility4 Note: Pro-forma for Formic Acid Solutions acquisition 5 Note: Tangible capital expenditures, which includes all capital expenditures required for Formic Acid Solutions

Financial Highlights

2424

Execution of Strategic Goals and Realizing

Financial Success

Deliver volume, net sales and Adjusted EBITDA growth in FY ’14 for >20% margin Integration of recently acquired formic acid solutions business Robust organic growth, complemented by new projects and bolt-on M&A Production joint-venture with Balchem Corp. for choline chloride in US

Optimizing Capital Structure and cash flow

generation

Further lowered cost of debt via term loan repricing in February 2014 Net leverage only moderately increased due to formic acid solutions acquisition Strong free cash flow generation, despite investments in growth projects Deleveraging target to 2-2.5x and opportunity to call senior secured notes latest Q1 FY ‘15

Confident Long-Term Outlook

Key end-markets show healthy long-term growth rate Stable niche market expected to remain well structured and cycle resilient Recovery in agriculture after cold weather impact in North-America in Q1 FY ‘14 Strong performance expected in Crop Protection throughout the year

Taminco Continues to Execute in FY ‘14

Operating leverage

Continuous focus on safety and operational excellence Customer driven innovation Completion of MA expansion project provides platform for further growth Pricing excellence and cost-pass through contracts

25

Characteristics Taminco’s Attributes

Niche Industry

Leading Market Positions

Attractive Financial Profile

End-Markets with Strong Underlying Fundamentals

Growing Fast in the “Right” Regions

Economic Resiliency

Positive Short and Long-Term Outlook

• #1 or #2 market positions in vast majority of chemicals produced• Robust product development

• GDP+ growth (e.g. 2x GDP)• Long-term sustainable growth trajectory

•Strong momentum across entire business portfolio• Pipeline of growth opportunities

• Footprint located to serve around the world• Exposure to high growth regions

• Strong Adjusted EBITDA margins (i.e. > 20%)• High free cash flow conversion

• Non-discretionary demand for products• End markets driven by positive “Mega Trends”

Bu

sin

ess

Mo

del

Fi

nan

cial

Pro

file

Partnerships with Blue-Chip Customers

• Long tenure with top customers• Track-record of partnerships with customers

Taminco: Invest With Us

• Specialized player with large capital investments•Highly valued / integral element of final product

Appendix – Additional Information

27

MA Expansion Supports Strong UnderlyingGrowth

Overview / Objectives

Solution

• US market for methylamines will exceed installed capacity in the next 2-3 years

• Taminco is committed long-term to the industry by being the leading MA supplier

• Taminco is already the #1 producer of methylamines in the US market

• Funded a plant expansion at our Pace, FL facility to support our customer base

• New capacity came on stream in June 2014

• The Pace expansion extends Taminco’s lead as the world’s largest and most efficient methylamines producer

Case Study: US MA Plant Expansion

Summary of Value Creation

• Increases US capacity by over 50% and brings 100% capacity utilization back to 65%

• Allows organic growth in merchant MA and derivatives

• Allows further growth from new projects

Expansion Project’s Impact on US MA Capacity (1)

Taminco - Pace, FL

Before After

(1) MA unit capacity and expansion project capacity not shown to scale.

UnusedCapacity for

Growth

UNIT 1

~100% Capacity Utilization

UNIT 2

~65% Capacity Utilization

UNIT 1

Exp

an

sio

n P

roje

ct

UNIT 1 UNIT 2

UnusedCapacity for

Growth

28

Partnership with Market Leading Customer

Source: Company filings, news releases, and websites.

Case Study: Choline Hydroxide Supply Agreement

Agreement Overview

• On August 12, 2013, Taminco announced it had entered into a strategic supply agreement with Dow AgroSciences (“DAS”), a subsidiary of The Dow Chemical Company, for choline hydroxide for its Enlist™ Weed Control System

Growth Opportunity

• Enhances Taminco’s exposure to the high-growth agriculture end-market via a new derivative supplied to a market-leading customer

Taminco Added Value / DAS

Benefits

• Provides DAS a technical expert in amine chemistry, with support from Taminco’s global footprint

Strategic Value to Taminco

• Strengthens Taminco’s business profile

– Long term exclusive supply agreement with market leading customer

– Growth in derivatives portfolio

29

Significant Players

Alkylamines Ethanol Amines Ethylene Amines

Significant Players Significant Players

Industry Characteristics Industry Characteristics Industry Characteristics

• ~20% EBITDA margins

• Highest valued amine

• Non-cylical end-markets

• Niche industry

• Mid-teens EBITDA margins (10-15% estimated)

• Very fragmented market

• Focused on cyclical growth markets

• Global overcapacity with several regional expansions planned

• High-teens EBITDA margins (15-20% estimated)

• Focused on developing markets

• Current significant players expected to cede market share in the mid-term (due to weak position in emerging markets)

Source: Company information, SRI (Alkylamines, 2011; Ethanolamines, 2012, Ethylene Amines, 2012).

Alkylamines are the Highest Valued Amines

30

• Alkylamines and their derivatives is a noticeably more defensive industry than either Ethanol or Ethylene Amines and their derivatives

Alkylamines Ethanol Amines Ethylene Amines Comments

Niche Industry

• Taminco is clear global leader in alkylamines and derivatives with few players

• Other amines experiencing an increased number of low-cost competitors (e.g. in Asia)

Not Able to Be Transported Easily

• Ethanol Amines and Ethylene Amines are relatively more thermally stable molecules making them conducive to transport

PlayerVerticalIntegration

• All key players of each sector are vertically integrated into several derivatives although many derivatives are also produced by 3rd parties in Ethanol and Ethylene Amines space

• Taminco and BASF offer very broad array of derivatives produced on same sites as alkylamines

End Market Diversity

• Ethanol Amines offers lowest end market diversity with key focus on commodity surfactants and gas/metal working

High Rates of Customer Loyalty and High Switching Costs

• Taminco and BASF have cost advantages from vertical integration

Secular Growth• Taminco and BASF less focused on industrial end-

markets

Global Amines Scoresheet

31

Reconciliation of Net Income to Adjusted EBITDA

Reconciliation of Net Income to Adjusted EBITDA: Three and Six Months Ended June 30, 2014 and 2013

($ in millions)

2014 2013 2014 2013

Net Income (Loss) 14$ (13)$ 24$ (5)$

GAAP Income Taxes 6 (22) 10 (16)

Net Interest Expense & Def Fin. Fees 17 24 35 48

Operating Depreciation & Amortization 13 8 24 16

Acquisition Related Depreciation & Amortization 21 20 42 40

EBITDA 71$ 17$ 135$ 83$

Transaction and Integration Costs 3 - 9 -

Foreign Currency Exchange Gains/Losses (1) (1) (2) (3)

Joint-Venture Investment - - 1 1

Stock Option Compensation 1 - 1 -

Loss on Early Extinguishment of Debt - 12 - 12

Shutdown Costs Associated With Plant Expansion 3 - 3 -

Apollo Termination Fee - 35 - 35

Apollo Management Fee - 3 - 4

Adjusted EBITDA 77$ 66$ 147$ 132$

June 30, June 30,

Three Months Ended Six Months Ended

32

Reconciliation of Cash from Operations to Recurring Cash Flow

Reconciliation of Net Cash from Ops to Recurring Free Cash Flow: Six Months Ended June 30, 2014($ in millions)

Actual

Six Months

Ended June 30, 2014

Net Cash Flows Provided by Operating Activities 93$

Capital Expenditures (54)

Free Cash flow 39

Non-recurring cash items 11

Recurring Free Cash Flow 50$

33

Use of Non-GAAP Financial Measures

We present Adjusted EBITDA, Adjusted EBITDA margin, and Recurring Free Cash Flow to enhance an investor’s understanding of our results of operations, financial condition, and cash generating ability of the operating business. EBITDA consists of profit for the period before interest, taxes, depreciation and amortization. Adjusted EBITDA consists of EBITDA and eliminates transaction costs, (ii) restructuring charges, (iii) foreign currency exchange gains/losses, (iv) non-cash equity in earnings/losses of unconsolidated affiliates net of cash dividends received (as we receive cash only when these unconsolidated affiliates pay us a dividend, regardless of equity-based earnings), (v) stock option compensation (vi) shutdown costs associated with plant expansion and (vii) Apollo management and director fees and expenses. Adjusted EBITDA margin reflects Adjusted EBITDA as a percentage of Net Sales. Recurring Free Cash Flow consists of net cash flow provided by operating activities and eliminates tangible capital expenditures and adds back cash paid for transaction costs related to the Formic Acid acquisition. We believe that making such adjustments provides investors meaningful information to understand our operating results and ability to analyze financial and business trends on a period-to-period basis.

You should not consider Adjusted EBITDA, Adjusted EBITDA margin, or Recurring Free Cash Flow as an alternative to (a) operating profit or profit for the period, as reported in accordance with U.S. GAAP, as a measure of our operating performance, (b) cash flows from operating, investing and financing activities as a measure to meet our cash needs or (c) any other measures of performance under generally accepted accounting principles. You should exercise caution in comparing Adjusted EBITDA, Adjusted EBITDA margin, and Recurring Free Cash Flow as reported by us to similar measures of other companies.

In evaluating Adjusted EBITDA and Recurring Free Cash Flow, you should be aware that we are likely to incur expenses similar to the adjustments in this presentation in the future and that certain of these items could be considered recurring in nature. Our presentation of Adjusted EBITDA and Recurring Free Cash Flow should not be construed as an inference that our future results will be unaffected by non-recurring items.

We present Adjusted EBITDA, Adjusted EBITDA margin, and Recurring Free Cash Flow because we believe these are useful as supplemental measures in evaluating the performance of our operating businesses and provide greater transparency into our results of operations and cash flows. Adjusted EBITDA should not be considered in isolation or as a substitute for net income or other statement of operations data prepared in accordance with U.S. GAAP. Recurring Free Cash Flow should not be considered in isolation or as a substitute for net cash flows provided by operating activities or other statement of cash flows data prepared in accordance with U.S. GAAP.

Our management, including our chief operating decision makers, uses Adjusted EBITDA and Recurring Free Cash Flow as factors in evaluating the performance of our business. These measures are not recognized in accordance with U.S. GAAP and should not be viewed as an alternative to U.S. GAAP measures of performance. The most directly comparable financial measure presented in accordance with U.S. GAAP in our consolidated financial statements for Adjusted EBITDA is net income and for Recurring Free Cash Flow is net cash flow provided by operating activities.

Adjusted EBITDA and Recurring Free Cash Flow have limitations as analytical tools, and you should not consider these measures either in isolation or as a substitute for analyzing our results as reported under U.S. GAAP. Some of these limitations include: (i) Adjusted EBITDA does not reflect our cash expenditures or future requirements for capital expenditures or contractual commitments; (ii) although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often need to be replaced in the future and Adjusted EBITDA and Recurring Free Cash Flow do not reflect any cash requirements that would be required for such replacements; (iii) Adjusted EBITDA does not reflect the interest expense, or the cash requirements necessary, to service interest or principal payments on our debt; (iv) Adjusted EBITDA does not reflect stock option expense or its potentially dilutive impact; (v) some of the exceptional items that we eliminate in calculating Adjusted EBITDA and Recurring Free Cash Flow reflect cash payments that were made, or will be made in the future; and (vi) other companies in our industry may calculate Adjusted EBITDA and Recurring Free Cash Flow differently than we do, which limits its usefulness as a comparative measure.

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