Transcript Document
Phillips Chemical Company and Chevron Chemical Company Joint Venture Transaction Summary 1 Joint Venture of Phillips & Chevron Chemicals Joint Venture Overview Transaction Summary Joint Venture to consist of: – Chevron and Phillips chemicals segments – Excludes Chevron Oronite Division Joint ownership: 50/50 Investment grade credit rating $1.6 billion initial debt; each receives $800 MM at closing Regulatory review required Target closing: mid-year 2000 $6.1 billion in assets 6,000 employees Headquartered in Houston Limited Liability Company Accounting and Tax – Equity accounting by each party – Flow-through taxation JV to be Self-Managed and Governed by a JV Board – 50/50 Board representation 2 Strategic Rationale Creates world-class chemical business with strong, compatible partners Excellent business fit along product and technology lines Improves earnings and ROCE for Phillips and Chevron through lower operating and capital costs Positions JV company for profitable growth 3 Joint Venture Structure and Management Structure Phillips $800MM Management Board of Directors Chevron 50/50 Equal Members $800MM CEO (P) Joint Venture (LLC) SVP (C) CFO SVP (P) Plan & Str Trans SVP (P) Olefins/ Polyolefins Phillips SVP (C) Aromatics SVP (C) Styrenics/ Specialty Chevron 4 THIS IS ONLY A PARTIAL VIEW OF THE FULL DOCUMENT. THE REMAINING PAGES ARE INTENTIONALLY NOT SHOWN. THEY ARE SHOWN ONLY IN THE MEMBERS DOWNLOAD AREA. HOW TO CRUSH IT – DELIVER A+ WORK 1. 2. 3. 4. 5. 6. 7. 8. 9. Download the full unrestricted template(s) from the members area a. Use more than one template alternative to cover all the angles b. Cut and paste from each to produce one unique to your situation Determine the thought areas that are critical for delivering excellence For the “excellence areas” do a competitive benchmarking assessment by using the market research and market intelligence tools a. State of the industry – current status and trends b. State of the competition – existing, new, and those in related markets c. State of your company – get honest internal and external views From analysis of the data in #3, develop alternative options a. Out of the box thinking – use the creativity tools to generate unique ideas b. Test them and get input and feedback – use the collaboration tools to add value from others with different perspectives c. Narrow down to the best option for the “excellence areas” Complete the template using the best “narrowed” down option Develop eye catching reports that communicate your results very well and cause reviewers to be awed by its quality a. Use the designer power point graphics b. Use the designer excel charts Ask for help at any point in the process – contact us online or offline. Present your report and receive praise for its comprehensiveness and creativity. You are now viewed as different from the pack. Get bigger rewards, be in demand, and field better opportunities. Use the personal growth tools to get the edge.