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1st Quarter 2005 Conference Call
March 8, 2005
Presentation Content
Forward Looking Statements:
Information presented contains certain forward-looking statements, defined in Section 21E
of the Securities Exchange Act of 1934. Forward-looking statements represent our
judgment relating to, among other things, future results of operations, growth plans, sales,
capital requirements and general industry and business conditions applicable to us. They
are based largely on our current expectations. Our actual results could differ materially
from the information contained in the forward-looking statements due to a number of
factors, including changes in the availability and cost of raw materials, changes in the
economy or the plastics industry in general, other unanticipated events that may prevent
us from competing successfully in existing or new markets, and our ability to manage our
growth effectively. Investors are also directed to the discussion of risks and uncertainties
associated with forward-looking statements contained in our Annual Report on Form 10-K
filed with the Securities and Exchange Commission.
Investment Highlights…
1st Quarter 2005 Results
Investment Highlights

Market Leader in Sheet

Diversified Products & End-Use
Markets
1st Quarter 2005 Results
Net Sales
$305 mil.
…26% increase over ‘04
Op. Earnings $10.3 mil.

Solid Historical Performance…53
Consecutive Profitable Quarters

Accountability Based Culture of
Innovation & Productivity with
Experienced Management Team
Diluted EPS $.09/sh.
Growth Strategy Combines New
Product Developments with
Domestic & Global Expansions
Quarterly Dividend

…3.4% of Sales or 3¢
per pound shipped
…vs $.26/sh last yr
… $.12/share
Sales Fluctuations (Last Five Quarters). . .
Internal Volume/Acquisition/Price-Mix
1st Qtr
4th Qtr
3rd Qtr
2005
2004
3%
Acq
Prc/Mx
Int Vol
Total
2nd Qtr
1st Qtr
FY
FY
2004
2004
2004
2004
2003
11%
15%
9%
5%
9%
1%
10%
6%
3%
4%
4%
4%
3%
13%
3%
3%
2%
4%
4%
2%
26%
20%
====
===
====
21%
===
===
13%
17%
===
===
===
===
===
===
15%
===
===
6%
Company Overview…
Diversity of Products & Markets
Key Base Materials...
Comprehensive Product Portfolio
Customer End Markets...
Packaging Largest Sector
[Full Year Estimate]
[1st Qtr Actual]
Lawn &
Other--Specialty
20%
Garden
Polyethylene
25%
ABS
Appliances &
Electronics
Other
10%
Packaging
23%
6%
6%
10%
Sign &
Advertising
PVC
8%
10%
Polystyrene
20%
Polypropylene
15%
Rec. &
Leisure
11%
Bldg. &
Const.
13%
Transportation
23%
2005 1st Quarter Sales of $305 Million and 340 Million Pounds
Sales Outlook…
By “End Market” Application
Market
Application
Packaging
“
Transportation
“
“
Rec & Leisure
“
“
Build & Constr
“
Lawn &
Garden
Elec & Appl
Food
Consumer & Industrial
Automotive
Aero. & Mass Trans
Ag. & Truck
Marine
Pool & Spas
RVs
Bath & Shower Surrounds
Roofing
Lawn Mowers, Garden
Equip, & Refuse
Consumer Appliances &
Industrial Electronics
Retail Signage & POP
Displays
Sign &
Advertising
Outlook *
C
Strong
Weak
Weak
Flat
Flat
Strong
Weak
Weak
Flat
Flat
Strong
Capab
Capab
New A
Qual.,
Weigh
Qual, N
Produc
New A
New A
Qual &
New A
Weak
Qual.,
Capab
Qual.,
Capab
Flat
* The following represents rough guidelines for the Outlook Ratings above:
Strong = +3% or higher growth;
Flat = +/-2% change;
Weak = -3% or more decline
Spartech Operating Results…
Operating Earnings Per Pound Shipped
Operating Earnings Per Pound
10.0
7. 9¢
8.0
6. 2¢
5. 7¢
5 . 6¢
6.0
4.0
3 . 0¢
2.0
2001
2002
2003
First Quarter
2004
2005
Culture --- Philosophy --- Strategy…
Mission -- To Generate Integrity-Based Shareholder Value
MISSION STATEMENT
Committed to Generating Value For…Customers, Shareholders, Employees
STRATEGY
CULTURE
PHILOSOPHY
“Growth with Integrity” ‘02
“Investing in…P.P.T.G” ‘04
“Accountable and Lean”
‘03
INTEGRATED MANAGEMENT SYSTEM
TTQ
‘90
TOS
‘92
GEP
‘94
GTT
‘96
TCS
‘98
GFC
‘00
CPC
‘01
Outsourcing Acquisitions…
Transactions Completed Last Two Years
Date
Company
Vol (Lbs)
Business/Segment
SEH Producing
Location
M & P…S-Industries
Tupelo, MS
26 Mil
S & R…S-Plastics
Ramos-Arizpe,
Mexico
Dec ‘01
MTD-Cleveland
April ‘02
Whirlpool-Mexico
July ’02
MAAX-Canada
7 Mil
S & R…S-Plastics
Granby, Can.
Jan ’03
G. Lakes-Ohio
22 Mil
C & C…S-Polycom
Arlington, TX
40 Mil
S & R…S-Plastics
Portage, WI
6 Mil
S & R…S-Plastics
Greenville, OH;
Richmond, IN
C & C…S Polycom
Donchery, France
Sept ’03 TriEnda-Portage
5 Mil
Jan ‘04
QPS-Midwest
April ‘04
BASF-FR & Antistat 15 Mil
121Mil+
International Expansion Activities…
Outlook for Next Two Years
Location
Vol (Lbs)
Mexico
55 Mil
France
65 Mil
China
N/A*
Europe
N/A
* Est Vol ~ 50Mil In 1st Yr
Business Segment
Status...Future Potential
S & R…C & C
Commenced Full Production
…April 2003
C & C...S & R
New Visteon Tank Contract
…16 Mil Lbs To Start 9/04
All Three Segments
Made Week Long Visit In Oct,
with another follow up visit
scheduled for early Sept.
…Shanghai Area Likely Site
S & R…C & C
Have Held Few Discussions
....Southern Europe Potential
Focused Growth…
Organic Growth Via Innovative New Products
Introduced New Class of Ten Alloy Plastics--April 2004
Introduced Volume II of Product Transformations Brochure--June 2003
Growth Thru Product Transformations …
Recognizable PT’s Over Last 8 Years
Packaging
Recreation & Leisure
Transportation
Building & Construction
Appliance & Hardware
Business Partnership Enhancement Effort…
New Centralized Product Development Center - ’04
 A Spartech Centralized Product Development Center
Located at Our Warsaw, Indiana Facility; Opened June
2004:
» Purpose – To Develop New Products In One Plant
Alleviating Stress On Manufacturing Sites
To Double As Development Centers
» Structure – Will House Two Sheet Lines, VEC
Cell, & Two Test Thermoformers To Allow For The
Testing Of Various Materials
 Benefits Of Centralized R & D Location Will Include:
» Improved Production Efficiencies…At Current Manufacturing Sites
» Centralized Knowledge Base…On New Product Development
» Further Integration…Of S & R And C & C Groups
» Accelerate New Products To Market…Both Potential PT’s & Samples
Focused Internal Growth from New Products…
Alloy Plastics Drive Product Transformations
54 Alloy Plastics
471 Product Transformations
10
10
9
94
80
72
8
7
5
5
5
60
54
5
5
58
56
54
35
40
28
20
8
0
12
0
1996
1997
1998
1999
2000
2001
2002
2003
2004
1996
1997
1998
1999
2000
2001
2002
2003
2004
New Products = 16% of First Qtr ‘05 Sales of $305 Mil ($48Mil) vs.
17% of ‘04 Sales of $241 Mil ($41Mil)
2005
1Q05
Lean Business Enterprise…
Strategy and Key Initiatives
Objectives:
Information Sharing
 Kanban Implementation
 Purchasing Leverage
 Reduction in Suppliers
 Corporate Purchasing Teams
Objectives:

Benefits:
Reduced Supplier Lead Times
Reduced Freight Costs
 Improved Material Costs
 Improved Material Availability
 Improved Material Quality Levels

Reduce Change Over Time
Yield Improvement
 Scrap Reduction
 Cycle Time Reduction
 Improved Mfg Flexibility
 Productivity Gains


SUPPLY
CHAIN
MANAGEMENT
SHOP FLOOR
KAIZENS
Benefits:

Lower Conversion Costs
Increase of Current Capacity
 Higher Customer Satisfaction
 Improved Cash Flows
 Improved Lead Times


SPARTECH LEAN
ENTERPRISE
Objectives:
Formalized New Product Process
Faster Time to Market
 Standardized Equipment
 Smart Automation
Objectives:


Benefits:
Lower Conversion Costs
Higher Customer Satisfaction
 Improved Sales Growth
 Improved Cash Flows


Black & Green Belt Program
Improved Yields
 Standardized Processes
 Root Cause/Problem Solving
 Improved Specifications
 Total Productive Maintenance

ADVANCED
PRODUCT
DEVELOPMENT &
MANUFACTURING

6 SIGMA
QUALITY
Benefits:
Lower Conversion Costs
Higher Customer Satisfaction
 Improved Sales Growth
 Improved Cash Flows


($'s in Millions)
Total Debt to Total Debt and Equity...
Current 1.1 To 1.0 Ratio
$500
$400
$300
$200
$100
$0
$474
$443
$393
$418
$384
$291
$466
$419
$322
$217
1st Qtr
2001
Debt/Equity Ratio… 2.0
2002
2003
2004
2005
1.4
1.2
1.1
1.1
Total Debt
Stockholders' Equity
Operating Results for 1st Qtr '05 Versus '04…
Sales Up 26% and Net Earnings Down 63%
Sales (26%). . . . . . . . . . . . . . . . . . . .
2005
$304.5
2004
$241.5
Operating Earnings (45%) . . . . . . .
$ 10.3
$ 18.8
($’s In Millions, Except Per Share Data)
Operating Earnings Per # (52%) . .
3.0¢
6.2¢
Interest Costs (2%) . . . . . . . . . . . . .
$ 6.5
$ 6.3
Net Earnings (63%). . . . . . . . . . . . .
$ 2.8
$ 7.7
Diluted EPS (65%). . . . . . . . . . . . . .
$.09/Sh $.26/Sh
Spartech Corporation: “Good to Great”…
2005 Financial & Operating Goals
G
row…Global Sales – Both Internally And Thru Acquisitions – To Produce A 12-15%
Sales Increase in 2005…1st Qtr ’05=13% (3% Internal/10% Acquisition)
R
esults …Target Is To  Operating Earnings Per Pound Shipped by .5¢ and Increase
Earnings Per Share by 15-20%...Not achieved in 1st Qtr ‘05
E
fficiently…Utilize Lean Concepts & ACT’s to  Production Capacity by 5-10% And
Reduce Debt As CapEx Principally Used To Fund New Technology…Improving &
Seasonal
A
ccelerate…Efforts to Advance The Knowledge of our People & Expand Capabilities of
our Information Technology System at a Faster Pace (Send Additional 30 People
Thru MDT & Initiate Annual Sales Personnel Training)…In Process
T
echnology…Advancements To  the Flow of Alloy Plastics & Product Transformations
to Market Thru New Technology Developments at our Product Development Center
(Complete 12 Successful Programs in 2005) …In Process
Key Operating Theme for 2005…
Investing In “P-P-T-G” Strategy
MDT
PDC
MLB
AAE
Spartech Investment Highlights…
Market Leader With Solid Growth Strategy
 Leader In Custom Sheet Market
– North American leader with more than 25% share of custom market
 Diversified End-Use Markets
– Largest is non-cyclical Packaging market ~ 23% of sales
– Largest customer represents less than 5% of sales
– Continuing to expand end markets and product offerings
 Solid Historical Performance/Outlook
– Nine consecutive years of improved earnings performance (1992-2000)
– Solid performance in difficult economy (2001-2003)… positioned for future 
 New Outsourcing & International Opportunities
– 1st Generation Outsourcing Trend Now Occurring
– Vita’s Departure Opens Up International Opportunities
 Solid Growth Story
– New Products represent 17% of Sales For Fiscal 2004
– 25 Acquisitions In Last 12 Years
– Operating Management Bonuses Linked To 2005 Goals
1st Quarter 2005 Conference Call
March 8, 2005