Company Presentation March/April 2019 Disclaimer The forecasts, - PowerPoint PPT Presentation

Company Presentation March/April 2019

Disclaimer  The forecasts, budgets and forward-looking assessments and statements contained in this presentation were compiled on the basis of information available to AMAG at the time the report was prepared. In the event that the assumptions underlying these forecasts prove to be incorrect, targets are missed, or risks materialise, actual results may depart from those currently anticipated. We are not obliged to revise these forecasts in light of new information or future events. This presentation was prepared and the data contained in it verified with the greatest possible  care. Nevertheless, misprints and rounding and transmission errors cannot be entirely ruled out. In particular, AMAG and its representatives do not assume any liability for the completeness and correctness of information included in this presentation. This presentation is also available in German. In cases of doubt, the German-language version shall be authoritative.  This report does not comprise either a recommendation or a solicitation to either buy or sell securities of AMAG. 2 2

Aluminium: one of the most important industrial metals Outstanding properties Examples of application areas Low specific weight Lightweight solutions for Main material in the automotive industry aircraft industry Strength Recyclability Conductivity Visual attractiveness Recyclable products for Architectural packaging industry applications 3 3

Primary aluminium: good demand growth Demand for primary aluminium in millions of tonnes 80 66 million tonnes in 2018 + 4 % 60 in 2018 40 + 3 % p.a. 20 expected until 2023 0 1950 1960 1970 1980 1990 2000 2010 2020 4 4 Source: CRU, July 2018

Aluminium rolled products High growth momentum in global demand Global demand growth by sector in 2018 +4% Transportation industry Growth Packaging compared to 2017 Construction Forecast up to 2023: +4 % p.a. 5 5 Source: CRU Aluminium Rolled Products Market Outlook, November 2018

Aircraft manufacturers report record sales Boeing and Airbus with around 800 deliveries each 806 800 762 763 748 Airbus Boeing 723 718 688 +11 % +6 % 648 635 629 626 compared to 2017 compared to 2017 2013 2014 2015 2016 2017 2018 6 6 Source: Airbus, Boeing

Aluminium outer skin applications for cars High growth in demand due to substitution by aluminium Worldwide demand for auto body sheets [in millions of tonnes] 3.8 4.0 Growth driver: rising aluminium content Growth driver: car sales trends 3.0 +1.8 thanks to rising aluminium content in cars 2.0 1.6 +0.4 thanks to expected growth in car sales +1.1 1.0 0.5 +0.1 0.0 2013 2018 2027 7 7 Source: CRU December 2018, AMAG analysis

AMAG’s value chain Alumina Pet Coke / Pitch Primary Aluminum 20% stake in Alouette Metal Division Electric energy (hydropower) smelter in Canada Aluminium scrap Foundry Alloys Casting Division Primary aluminium Energy (gas, electricity) Rolled Products Integrated site in Rolling slabs Ranshofen, Austria Rolling Division 8 8

Quality supplier of primary aluminium, foundry alloys and special rolled products of aluminium Metal Division Casting Division Rolling Division  Primary aluminium for the  Recycling foundry alloys  High-quality rolled products in external market and to secure in the form of ingots, sows and form of sheets, strips and plates the supply of raw materials for liquid aluminium  Uniquely high proportion of the Ranshofen site  Expertise in aluminium special products  Aluminium price risk recycling  Highest flexibility management 20 % Revenue split by 70 % division (2018): 10 % 9 9

Rolling division: Wide range of application areas Aerospace Packaging industry Automotive Sports industry Brazing sheets for heat Architectural applications Treadplate exchangers 10 10

Sustainable raw material supply AMAG is one of Europe’s largest aluminium scrap recyclers  Recycling requires up to 95 % less Raw material mix in Ranshofen 1 energy than primary metal production Alloy metals  Cost advantages through processing 0-5% a wide range of different scrap types Primary aluminium ~ 20% Aluminium scrap 75-80 % 11 11 1) For the production of rolling slabs and foundry alloys

Strategy of profitable growth

Organic growth in rolled products Ramp-up to increase annual shipments to more than 300,000 tonnes Site expansion projects implemented on Rolling Division shipments budget and schedule (EUR >500 million) >300 [in thousand tonnes] 223 214 198 175 170 158 151 2012 2013 2014 2015 2016 2017 2018 Target 13 13 13

Site expansion in Ranshofen Europe’s most state-of-the-art aluminium cold rolling mill Cold rolling mill Continuous heat-treatment furnace / passivation plant Operating cabin Annealing furnaces Slitting line 14 14

Highlights 2018

"AMAG 2020" expansion project Positive progress in ramp-up of new plants  Optimisation of process parameters for new plants and products  Demanding qualifications across the entire value chain  Scheduled production of first series products Successful completion of qualifications for further growth in 2019 Automotive Brazing Aircraft Packaging 16 16

Total shipments Growth in the Rolling Division leads to new AMAG shipments record [in '000 tonnes] 424.6 421.7 405.9 • Continuation of strategic Rolling growth program +4 % 213.9 222.9 198.0 • Shipments reach previous Casting year's level despite H1 modernisation activities -1 % 86.7 87.4 86.9 • Decline mainly due to Metal relining of smelter pots 121.2 120.4 114.9 -5 % 2016 2017 2018 Comparison with 2017 17 17

New aluminium recycling record Recycling requires up to 95% less energy than primary metal production Scrap input in Ranshofen [in '000 tonnes] 366.3 347.8 330.2 2016 2017 2018 18 18

Market environment affected by special factors Additional US import tariff of 10 % on aluminium After two postponements, since June 2018 also affects shipments from the EU and Canada High price volatility and higher prices of alumina as a result of: US sanctions against one of the largest alumina and primary  aluminium producers in Russia  Production cut ordered by the authorities at the world's largest alumina refinery in Brazil 19 19

Aluminium price trends Volatile price trend, down during H2/2018 2,587 USD/t [3-month LME in USD / t] April 19, 2018 2,600 2,400 2,200 2,000 1,846 USD/t December 31, 2018 1,800 1,600 Dec 2016 Dec 2017 Dec 2018 20 20

Alumina and aluminium price trends Considerable increase in alumina price compared to aluminium Alumina price Aluminium price [Year-average in USD/t] [3-month LME annual average in USD/t] 473 2,115 351 1,980 2017 2018 2017 2018 Smelter Input: around 2 tonnes Production: 1 tonne 21 21 Source: Bloomberg

Revenue record Revenue growth mainly due to the positive trend in the Rolling Division Revenue Change in revenue by division [in EUR millions] [difference in EUR millions compared with 2017] 1,101.6 1,036.2 Metal 8.3 913.3 906.2 Casting -4.6 Rolling 61.6 Service 0.0 2015 2016 2017 2018 22 22

EBITDA particularly affected by higher raw material costs in the Metal Division EBITDA Change in EBITDA by division (Earnings before interest, tax, depreciation and amortisation) [in EUR millions] [difference in EUR millions compared with 2017] 164.5 Metal -18.3 143.0 141.0 123.9 114.7 Casting 2.2 Rolling -10.3 Service 3.1 2014 2015 2016 2017 2018 23 23

FY 2018 EBITDA reconciliation Reduction in results mainly reflects higher raw materials costs and ramp- up costs for site expansion 190 [in EUR millions] +15 approx. -4 approx. -11 -43 164.5 170 -13 +10 +22 150 141.0 130 110 90 70 50 24 24

AMAG Group – key figures Q4 Q4 +/- +/- 2018 2017 2018 2017 (%) (%) Shipments, total 108,900 102,800 6 424,600 421,700 1 [in tonnes] Revenue 276.6 246.0 12 1,101.6 1,036.2 6 [in EUR millions] EBITDA 20.9 35.5 -41 141.0 164.5 -14 [in EUR millions] EBITDA margin 7.5 % 14.4 % - 12.8 % 15.9 % - [in %] EBIT 0.6 14.8 -96 60.6 86.8 -30 [in EUR millions] EBIT margin 0.2 % 6.0 % - 5.5 % 8.4 % - [in %] Net income after taxes 1.2 14.5 -92 44.5 63.2 -29 [in EUR millions] Earnings per share 0.03 0.41 -92 1.26 1.79 -29 [in EUR] 25 25

Cash flow trends Ranshofen site: new EBITDA record Positive free cash flow in FY 2018 [in EUR millions] Cash flow from operating activities 185.4 Cash outflows from investing activities Free Cashflow 114.9 108.2 101.8 94.3 82.8 11.5 -6.3 -70.5 2016 2017 2018 26 26

Solid key balance sheet figures Cash and cash equivalents Net financial debt  Successful placement of of a [in EUR millions] [in EUR millions] promissory note loan in the amount of 311.3 295.9 282.4 EUR 200 million 169.8 Increase in equity due to earnings and  positive effects in currency translation  Increase in total assets leads to a 31.12.2017 31.12.2018 31.12.2017 31.12.2018 mathematical decline in the equity ratio Gearing ratio Equity and equity ratio Solid gearing ratio almost unchanged  [in EUR millions or %] [in %] compared to the previous year 50.1% 43.3% 39.8% 46.4% 620.9 607.9 31.12.2017 31.12.2018 31.12.2017 31.12.2018 27 27