Ball Corporation is a leading supplier of aluminum packaging for the beverage, personal care, and household products industries, and it also provides aerospace and other technologies and services. The company's operations are organized into three main reportable segments: beverage packaging in North and Central America, EMEA (Europe, Middle East, and Africa), and South America. In 2023, Ball's total consolidated net sales were $14.03 billion, with the packaging businesses contributing 86% of net sales and the aerospace business contributing the remaining 14% **[0001558370-24-001349_ball-20231231x10k.htm:3]** **[0001558370-24-001349_ball-20231231x10k.htm:34]**. The largest product line is aluminum beverage containers, which are sold globally to large multinational companies and regional customers. Ball also manufactures extruded aluminum aerosol containers, recloseable aluminum bottles, aluminum slugs, and aluminum cups **[0001558370-24-001349_ball-20231231x10k.htm:3]** **[0001558370-24-001349_ball-20231231x10k.htm:12]**. The company completed the divestiture of its aerospace business to BAE Systems, Inc. on February 16, 2024, marking a strategic shift and resulting in the aerospace business being reported as discontinued operations **[0000009389-24-000027_ball-20240426xex99.htm:6]** **[0000009389-24-000003_ball-20240201xex99.htm:8]**.

1. **Beverage Packaging in North and Central America** - Supplies aluminum beverage containers to multinational and regional customers across North and Central America.
2. **Beverage Packaging in EMEA (Europe, Middle East, and Africa)** - Provides aluminum beverage packaging solutions tailored for the EMEA region.
3. **Beverage Packaging in South America** - Delivers aluminum beverage containers to clients throughout South America.
4. **Extruded Aluminum Aerosol Containers** - Manufactures aluminum aerosol containers for personal care and household products.
5. **Recloseable Aluminum Bottles** - Produces aluminum bottles with recloseable features for various beverage applications.
6. **Aluminum Slugs** - Supplies aluminum slugs used in the production of various packaging products.
7. **Aluminum Cups** - Offers durable and recyclable aluminum cups for beverage consumption.
8. **Aerospace (Discontinued Operations)** - Previously provided aerospace technologies and services before divestiture to BAE Systems, Inc.

d62b41260915a581a710419700993b2b0e5b95c1f04ec268dec3746dc63dc451

| Segment/Quarter | Q4 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | Q2 2024 | Q3 2024 |
|-----------------|---------|---------|---------|---------|---------|---------|---------|---------|
| Beverage Packaging, North and Central America (USD Million) | **1,512**  **[0000009389-23-000008_bll-20230202xex99.htm:8]**  | **1,504**  **[0001558370-23-008025_bll-20230331x10q.htm:28]**  | **1,537**  **[0000009389-23-000024_ball-20230803xex99.htm:8]**  | **1,541**  **[0000009389-23-000041_ball-20231102xex99.htm:1]**  | **1,380**  **[0000009389-24-000003_ball-20240201xex99.htm:1]**  | **1,403**  **[0001558370-24-006975_ball-20240331x10q.htm:8]**  | **1,469**  **[0000009389-24-000031_ball-20240801xex99.htm:1]**  | **1,456**  **[0000009389-24-000036_ball-20241031xex99.htm:1]**  |
| Beverage Packaging, EMEA (USD Million) | **748**  **[0000009389-23-000008_bll-20230202xex99.htm:8]**  | **834**  **[0001558370-23-008025_bll-20230331x10q.htm:28]**  | **920**  **[0000009389-23-000024_ball-20230803xex99.htm:8]**  | **902**  **[0000009389-23-000041_ball-20231102xex99.htm:1]**  | **739**  **[0000009389-24-000003_ball-20240201xex99.htm:10]**  | **810**  **[0001558370-24-006975_ball-20240331x10q.htm:8]**  | **880**  **[0000009389-24-000031_ball-20240801xex99.htm:1]**  | **950**  **[0000009389-24-000036_ball-20241031xex99.htm:1]**  |
| Beverage Packaging, South America (USD Million) | **614**  **[0000009389-23-000008_bll-20230202xex99.htm:8]**  | **450**  **[0001558370-23-008025_bll-20230331x10q.htm:28]**  | **405**  **[0000009389-23-000024_ball-20230803xex99.htm:8]**  | **489**  **[0000009389-23-000041_ball-20231102xex99.htm:1]**  | **616**  **[0000009389-24-000003_ball-20240201xex99.htm:2]**  | **482**  **[0001558370-24-006975_ball-20240331x10q.htm:8]**  | **422**  **[0000009389-24-000031_ball-20240801xex99.htm:1]**  | **484**  **[0000009389-24-000036_ball-20241031xex99.htm:1]**  |

a203f14be287e400fc280f42a2fd2df6ae2361afb4052b1ca8363b66ae4e0659

| Segment/Quarter | Q4 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | Q2 2024 | Q3 2024 |
|-----------------|---------|---------|---------|---------|---------|---------|---------|---------|
| Aerospace ($M)  | **506**  **[0000009389-23-000008_bll-20230202xex99.htm:8]**  | **508**  **[0001558370-23-008025_bll-20230331x10q.htm:28]** **[0001558370-23-008025_bll-20230331x10q.htm:7]**  | **499**  **[0001558370-23-013128_ball-20230630x10q.htm:7]**  | **460**  **[0001558370-23-017394_ball-20230930x10q.htm:7]**  | **500**  **[0000009389-24-000003_ball-20240201xex99.htm:2]** **[0000009389-24-000003_ball-20240201xex99.htm:1]** **[0000009389-24-000003_ball-20240201xex99.htm:0]**  | N/A | N/A | N/A |
| Other ($M)      | **168**  **[0000009389-23-000008_bll-20230202xex99.htm:8]**  | **193**  **[0001558370-23-008025_bll-20230331x10q.htm:28]** **[0001558370-23-008025_bll-20230331x10q.htm:7]**  | **205**  **[0001558370-23-013128_ball-20230630x10q.htm:7]**  | **179**  **[0000009389-23-000041_ball-20231102xex99.htm:1]** **[0001558370-23-017394_ball-20230930x10q.htm:7]**  | N/A | **179**  **[0000009389-24-000027_ball-20240426xex99.htm:0]** **[0000009389-24-000027_ball-20240426xex99.htm:1]** **[0001558370-24-006975_ball-20240331x10q.htm:8]**  | **188**  **[0000009389-24-000031_ball-20240801xex99.htm:1]** **[0000009389-24-000031_ball-20240801xex99.htm:7]**  | **192**  **[0000009389-24-000036_ball-20241031xex99.htm:7]**  |

f54b441572d2ea2c76a51fe1a9d5bd9d7df656dbd4e36c23eaf739af7a27e531

799ed30a9068bea83d8c1bd0d571fa1e4b05ad3db55d3ba9289174b7d8849757

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d8680bd27363ca6c53beea60d2737c1881cc201f3c470be89e82e6495eab2ae7

1. Given the softer-than-anticipated volume performance in South America due to your exposure to Argentina, what specific actions are you taking to mitigate this risk and improve performance in that region?
2. With the adjustments to North American capacity over the past few years, how does your current capacity compare to 2019, and do you foresee further changes in capacity based on current demand trends?
3. Considering the decline in domestic beer volumes and challenges in the premium light beer segment, how are you adapting your product mix and customer strategies to drive volume growth in these areas?
4. Excluding the nearly $40 million R&D tax credit benefit from last year, can you provide more insight into your underlying earnings growth in Q3 and the sustainability of that growth moving forward?
5. You mentioned being in the early stages of your operational excellence initiatives; can you quantify the expected financial impact of these efficiencies over the next few years and discuss any potential challenges in achieving these targets?

08b182c1dc6f1d4656958ecb68b57c7d8115fcb17153fa968605d9277452d9e0

### Q2 2024 Earnings Call
- **Issued Period**: Q2 2024
- **Guided Period**: FY 2024
- **Guidance**:
  1. **Comparable Diluted EPS Growth**: Mid-single digits plus  **[BALL_3395702_4]** .
  2. **Net Debt to Comparable EBITDA**: Below 2.5x by year-end  **[BALL_3395702_2]** .
  3. **Capital Expenditures (CapEx)**: $650 million  **[BALL_3395702_2]** .
  4. **Share Repurchases**: Exceed $1.4 billion  **[BALL_3395702_2]** .
  5. **Effective Tax Rate**: Approximately 21%  **[BALL_3395702_2]** .
  6. **Interest Expense**: $300 million  **[BALL_3395702_2]** .
  7. **Corporate Undistributed Costs**: $90 million  **[BALL_3395702_2]** .
  8. **Return of Value to Shareholders**: Exceed $1.6 billion  **[BALL_3395702_1]** .
  9. **Long-term EPS Growth**: 10% plus per annum  **[BALL_3395702_4]** .

### Q1 2024 Earnings Call
- **Issued Period**: Q1 2024
- **Guided Period**: FY 2024
- **Guidance**:
  1. **Comparable Diluted EPS Growth**: Mid-single digits plus  **[BALL_3381136_5]** .
  2. **Net Debt to Comparable EBITDA**: Below 2.5x by year-end  **[BALL_3381136_3]** .
  3. **Capital Expenditures (CapEx)**: $650 million  **[BALL_3381136_3]** .
  4. **Share Repurchases**: $1.3 billion  **[BALL_3381136_3]** .
  5. **Effective Tax Rate**: Approximately 21%  **[BALL_3381136_4]** .
  6. **Interest Expense**: $320 million  **[BALL_3381136_4]** .
  7. **Global Shipments Growth**: Low to mid-single digits  **[BALL_3381136_1]** .
  8. **Free Cash Flow**: On track to achieve target  **[BALL_3381136_1]** .
  9. **Return to Shareholders**: Approximately $1.5 billion  **[BALL_3381136_1]** .

### Q4 2023 Earnings Call
- **Issued Period**: Q4 2023
- **Guided Period**: FY 2024
- **Guidance**:
  1. **Free Cash Flow**: $500 million  **[BALL_3371557_3]** **[BALL_3371557_14]** .
  2. **Net Debt to Comparable EBITDA**: 2.7x by year-end  **[BALL_3371557_2]** .
  3. **Capital Expenditures (CapEx)**: $650 million  **[BALL_3371557_2]** .
  4. **Effective Tax Rate**: Approximately 21%  **[BALL_3371557_3]** .
  5. **Interest Expense**: $330 million  **[BALL_3371557_3]** .
  6. **Corporate Undistributed Costs**: $85 million  **[BALL_3371557_3]** .
  7. **Volume Growth**: Favorable inflection after Q1 2024  **[BALL_3371557_1]** .
  8. **Comparable Diluted EPS**: Positioned to grow  **[BALL_3371557_1]** .
  9. **Operational Focus**: Emphasis on efficiency and productivity  **[BALL_3371557_3]** .
  10. **Share Repurchases and Dividends**: Reinitiate meaningful repurchases  **[BALL_3371557_3]** .

### Q3 2024 Earnings Call
- **Issued Period**: Q3 2024
- **Guided Period**: N/A
- **Guidance**: The documents do not contain information from the Q3 2024 earnings call for Ball Corporation. Therefore, I cannot provide the guidance metrics or the guided period from that specific earnings call.

b1393b3fd4d3f5e1b2a9272f3981a3cc57aaee4726418a1a116cf678beed209f

| Program Details          | Program 1          |
|--------------------------|--------------------|
| Approval Date            | **April 24, 2024**  **[0001558370-24-014033_ball-20240930x10q.htm:19]** **[0001558370-24-014033_ball-20240930x10q.htm:36]**  |
| End Date/Duration        | **N/A**            |
| Total additional amount  | **40 million shares**  **[0001558370-24-014033_ball-20240930x10q.htm:19]** **[0001558370-24-014033_ball-20240930x10q.htm:36]**  |
| Remaining authorization amount | **29,011,241 shares**  **[0001558370-24-014033_ball-20240930x10q.htm:45]**  |
| Details                  | Part of a commitment to return value to shareholders, with a plan to spend about **$1.3 billion** on share buybacks for the year.  **[BALL_3381136_18]**  |

f03d0e8b51d34ed24dc7acecf6781b6e78349cf464727299b90a5da3a40efa8e

73b5b174de517d278d495dd8f64e8ed2fef49d6bbe6e14f9b217ec600a8b8aa2

a31e9317793150dd650ee696e6dbc532096765b57b18e4f38442f183a07118d0

| Name                  | Position                                                        | Start Date          | Short Bio                                                                                                                                                                                                 |
|-----------------------|-----------------------------------------------------------------|---------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Nate C. Carey         | Vice President and Controller                                   | November 2017       | Nate C. Carey has been serving as the Vice President and Controller at Ball Corporation since November 2017. Prior to this role, he was the Assistant Controller from 2014 to November 2017  **[0001558370-24-001349_ball-20231231x10k.htm:104]** .          |
| Carey S. Causey       | Senior Vice President and Chief Growth Officer                  | January 2024        | Carey S. Causey is the Senior Vice President and Chief Growth Officer at Ball Corporation, a position she has held since January 2024. She previously served as President of Beverage Packaging EMEA  **[0001558370-24-001349_ball-20231231x10k.htm:104]** . |
| Daniel W. Fisher      | Chairman and Chief Executive Officer                            | April 27, 2022      | Daniel W. Fisher became the Chief Executive Officer effective April 27, 2022, and later became Chairman of the Board effective April 26, 2023. He has been with Ball Corporation since 2010  **[0001104659-24-033725_tm242638d2_def14a.htm:19]** **[0001558370-24-001349_ball-20231231x10k.htm:104]** **[0001104659-24-033725_tm242638d2_def14a.htm:25]** .     |
| Deron J. Goodwin      | Vice President and Treasurer                                    | September 2022      | Deron J. Goodwin has been serving as the Vice President and Treasurer of Ball Corporation since September 2022. Prior to this role, he was the Assistant Treasurer from 2016 to September 2022  **[0001558370-24-001349_ball-20231231x10k.htm:104]** .        |
| Ronald J. Lewis       | Senior Vice President, Chief Supply Chain and Operations Officer| January 2024        | Ronald J. Lewis has been serving as the Senior Vice President and Chief Supply Chain and Operations Officer at Ball Corporation since January 2024. He was previously the COO for Global Beverage Packaging  **[0001558370-24-001349_ball-20231231x10k.htm:104]** . |
| Hannah Lim-Johnson    | Senior Vice President, Chief Legal Officer, and Corporate Secretary | September 2023      | Hannah Lim-Johnson has been serving as the Senior Vice President, Chief Legal Officer, and Corporate Secretary at Ball Corporation since September 2023. She held the same position at Meritor, Inc.  **[0001558370-24-001349_ball-20231231x10k.htm:104]** .  |
| Kathleen E. Pitre     | Senior Vice President and President, North and Central America  | January 2024        | Kathleen E. Pitre is the Senior Vice President and President, North and Central America at Ball Corporation, a position she has held since January 2024. She was previously President of Beverage Packaging North and Central America  **[0001558370-24-001349_ball-20231231x10k.htm:104]** . |
| Stacey Valy Panayiotou| Senior Vice President and Chief Human Resources Officer         | November 2021       | Stacey Valy Panayiotou has been serving as the Senior Vice President and Chief Human Resources Officer at Ball Corporation since November 2021. She was previously EVP of Human Resources at Graphic Packaging International  **[0001558370-24-001349_ball-20231231x10k.htm:104]** **[0000009389-23-000011_bll-20221231x10k.htm:106]** . |
| Fauze C. Villatoro    | Senior Vice President and President, South America              | January 2024        | Fauze C. Villatoro has been serving as Senior Vice President and President, South America at Ball Corporation since January 2024. He was previously President of Beverage Packaging South America  **[0001558370-24-001349_ball-20231231x10k.htm:104]** .      |
| Howard H. Yu          | Executive Vice President and Chief Financial Officer            | September 25, 2023  | Howard H. Yu is the Executive Vice President and Chief Financial Officer of Ball Corporation. He joined the company in this role on September 25, 2023. He was previously CFO at Envista Holdings Corporation  **[0001104659-24-033725_tm242638d2_def14a.htm:35]** **[0001558370-24-001349_ball-20231231x10k.htm:104]** . |
| Aaron M. Erter        | Director                                                        | June 3, 2024        | Aaron M. Erter serves as a Director at Ball Corporation. He was required to file an initial statement of beneficial ownership of securities on June 3, 2024  **[0001062993-24-011898_xslF345X02/form3.xml:0]** .                                          |

46354f238b1b8a6979d90754e84bb2c30b350c03f2bffc488527c2805de9cf9b

Adjustments for Non-Cash Items [USD, Millions]

Stock-Based Compensation [USD, Millions]

Changes in Working Capital [USD, Millions]

Capital Expenditures (CapEx) [USD, Millions]

Proceeds from Debt [USD, Millions]

Repayments of Debt [USD, Millions]

Share Repurchases [Shares, Units]

Dividend Payments [USD, Millions]

Net Change in Cash [USD, Millions]

7b32f1e09c380440a0c98024d0cf4fea827127abb8cf4773727771f3b3c76089

**Annual guidance for FY 2024:**
- **Interest Expense**: $300 million  **[BALL_3405109_3]**  (no change from $300 million  **[BALL_3395702_2]** )  
- **Corporate Undistributed Costs**: $100 million  **[BALL_3405109_3]**  (raised from $90 million  **[BALL_3395702_2]** )  
- **Global Shipment Growth**: low single digits  **[BALL_3405109_1]**  (no prior guidance)  
- **Comparable Diluted EPS Growth**: mid-single digits plus  **[BALL_3405109_1]**  (no change from mid-single digits plus  **[BALL_3395702_4]** )  
- **Shareholder Returns**: in excess of $1.6 billion  **[BALL_3405109_1]**  (no change from exceed $1.6 billion  **[BALL_3395702_1]** )  
- **Net Debt to Comparable EBITDA**: below 2.5x  **[BALL_3405109_2]**  (no change from below 2.5x  **[BALL_3395702_2]** )  
- **Capital Expenditures**: $650 million  **[BALL_3405109_2]**  (no change from $650 million  **[BALL_3395702_2]** )  
- **Share Repurchases**: exceed $1.4 billion  **[BALL_3405109_2]**  (no change from exceed $1.4 billion  **[BALL_3395702_2]** )  
- **Effective Tax Rate**: slightly above 21%  **[BALL_3405109_2]**  (raised from approximately 21%  **[BALL_3395702_2]** )  
- **Taxes on Aerospace Sale**: $950 million  **[BALL_3405109_2]**  (no prior guidance)

**Guidance beyond 2024:**
- **Long-term EPS Growth**: exceeding 10% per annum  **[BALL_3405109_4]**  (no change from 10% plus per annum  **[BALL_3395702_4]** )  
- **Cost Savings**: $500 million in gross cost savings  **[BALL_3405109_12]**  (no prior guidance)

fcf5b6ffa93b66493b0e94edea99762660c86063f3500681afa37559c7b3f5a5

| Name                          | Start Date | End Date | Reason for Change |
|-------------------------------|------------|----------|-------------------|
| PricewaterhouseCoopers LLP   | 1962       | Present  | Current auditor   |

456f2b66d5f915d41bed64d06d91591b4729f6c7d912e2e7bf019a4d0ae9ca6b

421617fa6a3fa203a81d31376441790394076d839e3ac35c14a51e882de654bb

23794d91c53ae875c8e247d72561e35d9d06ee07c70c9e0dbcc977a6d161504a

- Total Revenue: $3,082 million in Q3 2024 (3,571 million in Q3 2023), **-14% YoY**  **[0001558370-23-017394_ball-20230930x10q.htm:7]** **[0001558370-24-014033_ball-20240930x10q.htm:9]**   
- Cost of Goods Sold: $2,425 million in Q3 2024 (2,894 million in Q3 2023), **-16% YoY**  **[0001558370-23-017394_ball-20230930x10q.htm:2]** **[0001558370-24-014033_ball-20240930x10q.htm:2]** **[0001558370-24-014033_ball-20240930x10q.htm:20]**   
- Operating Income (EBIT): $227 million in Q3 2024 (325 million in Q3 2023), **-30% YoY**  **[0001558370-23-017394_ball-20230930x10q.htm:2]** **[0001558370-24-014033_ball-20240930x10q.htm:2]** **[0001558370-24-014033_ball-20240930x10q.htm:20]**   
- EPS (Basic): $0.77 in Q3 2024 ($0.65 in Q3 2023), **+18% YoY**  **[0001558370-23-017394_ball-20230930x10q.htm:2]** **[0001558370-24-014033_ball-20240930x10q.htm:2]** **[0001558370-24-014033_ball-20240930x10q.htm:20]**   
- Beverage Packaging, North & Central America: $1,456 million in Q3 2024 (1,541 million in Q3 2023), **-6% YoY**  **[0001558370-23-017394_ball-20230930x10q.htm:7]** **[0001558370-24-014033_ball-20240930x10q.htm:9]**   
- Beverage Packaging, EMEA: $950 million in Q3 2024 (902 million in Q3 2023), **+5% YoY**  **[0001558370-23-017394_ball-20230930x10q.htm:7]** **[0001558370-24-014033_ball-20240930x10q.htm:9]**   
- Other Segment: $192 million in Q3 2024 (179 million in Q3 2023), **+7% YoY**  **[0001558370-23-017394_ball-20230930x10q.htm:7]** **[0001558370-24-014033_ball-20240930x10q.htm:9]**   

06f0c62e4d0710342867f2785461461e7b7de14ba331ad27ca8413806b0365e2

052721c87451d494c453b8096c1ee5cda6dab31d9db6dd0e2398eb24e25d1f13

1. **2024 Free Cash Flow Guidance**  
   **Q:** What's behind the $500 million free cash flow guidance for 2024?  
   **A:** Management explained that the **$500 million** free cash flow guidance includes a **$1 billion tax payment** related to the aerospace divestiture and a **$500 million outflow** from unwinding accounts receivable factoring. Despite these outflows, the underlying business is expected to generate operating earnings of **$1.5 billion to $1.8 billion**, consistent with 2023.  **[BALL_3371557_5]** ,  **[BALL_3371557_14]** 

2. **Volume Growth Expectations for 2024**  
   **Q:** What are the volume growth assumptions across geographies for 2024?  
   **A:** The company anticipates global volume growth of **2% to 3%**. In North America, volumes are expected to be **flat to slightly positive**, with growth starting in the second quarter. Europe should see **low to mid-single-digit growth** in the second half, while South America is projected to achieve **mid-single-digit growth**, driven by continued strength in Brazil.  **[BALL_3371557_5]** ,  **[BALL_3371557_15]** 

3. **Impact of Bud Light Loss**  
   **Q:** How is the company addressing the volume loss from Bud Light?  
   **A:** While incremental volumes from other brands are helping, they haven't materially offset the loss from Bud Light. Ball remains significantly exposed due to its substantial production for that brand. The gap is not expected to close until other products from the brewer grow.  **[BALL_3371557_6]** 

4. **Capacity Footprint Adjustments**  
   **Q:** Are there plans to adjust the capacity footprint in North America or Europe?  
   **A:** In North America, Ball is satisfied with its footprint after retiring older, less efficient assets, resulting in a more fit-for-purpose structure. In Europe and South America, they continue to evaluate the footprint due to regional challenges like conflicts and inflation but believe the current setup can deliver planned modest growth.  **[BALL_3371557_6]** 

5. **North American Market Growth**  
   **Q:** What is the expected market growth rate in North America for 2024?  
   **A:** The market is anticipated to grow at **2% to 4%**. Ball expects its volumes to be flat due to contractual shifts and portfolio rebalancing, while other industry participants may experience growth within this range.  **[BALL_3371557_7]** ,  **[BALL_3371557_10]** 

6. **Aluminum vs. Plastic Carbon Footprint**  
   **Q:** How does aluminum compare to plastic regarding carbon footprint?  
   **A:** Management acknowledges that aluminum's carbon footprint can vary by region but highlights investments in rolling capacity using **85% recycled content** and green energy. With emerging technologies like carbon-free smelting and products like cups with **90% recycled content**, they believe aluminum is on a trajectory to achieve carbon neutrality before other substrates.  **[BALL_3371557_7]** ,  **[BALL_3371557_11]** 

7. **Free Cash Flow Breakdown**  
   **Q:** What's the detailed breakdown of the free cash flow components for 2024?  
   **A:** The **$500 million** free cash flow considers a **$1 billion tax payment** from the aerospace sale and a **$500 million** use of cash from unwinding AR factoring. Operating cash flow is expected to be about **$1.5 billion** after these adjustments, with planned capital expenditures of **$650 million**.  **[BALL_3371557_14]** 

8. **European Volume Outlook**  
   **Q:** How are volumes in Europe expected to progress in 2024?  
   **A:** Volumes in Europe are expected to improve sequentially, starting flat to down in the first quarter but achieving **low to mid-single-digit growth** in the second half. Factors include moderating inflation and aggressive retailer pricing strategies that could boost volumes.  **[BALL_3371557_15]** 

9. **South America Performance and Argentina Impact**  
   **Q:** What is the outlook for South America, and how does Argentina affect it?  
   **A:** South America is expected to see **mid-single-digit volume growth** and around **10% earnings growth**, driven by strong performance in Brazil. Argentina's volumes are anticipated to be flat or slightly better year-over-year, but its performance impacts margins due to country mix effects. Overall, the region should experience earnings growth despite the challenges in Argentina.  **[BALL_3371557_5]** ,  **[BALL_3371557_16]** 

10. **Innovation and Business Development**  
    **Q:** Is Ball accelerating its innovation and business development efforts?  
    **A:** Yes, the company is making a conscious effort to push innovation in response to customer demand for new products and differentiation. They expect to see new products on shelves in the back half of the year and into 2025, leveraging their strengths without significantly increasing costs.  **[BALL_3371557_18]** 

11. **Retailers Resisting Price Increases**  
    **Q:** How does retailer pushback on price increases affect Ball?  
    **A:** In Europe, retailers like Carrefour are resisting price increases from consumer goods companies, which could benefit Ball by potentially increasing can volumes as brands strive to maintain sales without raising prices. In North America, brands have more pricing power, but there's a growing need to focus on volume growth over price hikes.  **[BALL_3371557_22]** 

12. **Customer Operational Issues**  
    **Q:** Are customer operational issues impacting Ball's operations and demand?  
    **A:** Ball is better positioned to handle customer volume surges due to improved plant operations and processes. They have some slack capacity and can react more effectively to disruptions, which may ultimately help the company if it leads to increased demand.  **[BALL_3371557_7]** ,  **[BALL_3371557_17]** 

13. **Industry Capacity Adjustments**  
    **Q:** Does the industry need further capacity adjustments?  
    **A:** Management believes the North American industry is at a good equilibrium with current capacity, assuming industry growth of **2% to 4%**. Ball is managing some excess capacity due to the Bud Light issue but feels no significant additional capacity closures are needed.  **[BALL_3371557_12]** 

14. **Aerosol Business Improvement**  
    **Q:** How is the aerosol business performing?  
    **A:** The aerosol business saw a **40% year-over-year improvement in operating earnings** and is expected to achieve double-digit earnings growth next year. This turnaround is driven by growth in the reuse category, especially in Europe, and disciplined contract management.  **[BALL_3371557_16]** 

bf94d0b740bccfa27a88cf437ee1f2d18161971be7e46aedbd1b41a53c859a56

- Ball Corporation's aerosol business experienced **6% volume growth**, outperforming the global market growth rate of about **3%**. This growth is driven by their ability to produce bottles with higher recycled content, appealing to sustainability-focused customers like Unilever and Bayer, and leading to disproportionate market share gains.  **[BALL_3395702_18]**
- In the EMEA region, Ball saw **6.5% volume growth**, exceeding internal expectations. This was due to factors such as favorable product mix, inflation relief leading to strengthened consumer demand, and aggressive pricing strategies by key customers. The company is bullish about Europe over the medium and long term, citing significant opportunities for can growth in the region.  **[BALL_3395702_5]**
- Despite challenges in Argentina, Ball remains optimistic about its South American business, particularly in Brazil, where they reported **year-to-date volume growth of over 10%**. They anticipate sequential earnings and volume improvement in the second half of 2024, driven by strong partnerships and favorable market dynamics. Margin growth is also expected as economic conditions stabilize in Argentina.  **[BALL_3395702_13]** **[BALL_3395702_22]**

bfaebdc4547d2ace8383e995969023e3b75afe5762e2c38ad53f66a558083cb6

1. **North America Volume Outlook**  
   **Q:** How will North American volumes evolve post brewer share shift?  
   **A:** A prior share shift in the brewing industry led to a loss of approximately **2 billion units** for us, which is already reflected in our numbers. We've won new business to fill that hole and expect volume increases in the back half of the year. We anticipate industry growth of around **1% to 2%**, with beer being softer and carbonated soft drinks performing better. Regardless of slight fluctuations, we have strong visibility into our operating earnings and cash generation in North America.  **[BALL_3381136_11]** 

2. **Regional Market Outlook**  
   **Q:** What's the updated outlook across various regions?  
   **A:** In **South America**, we're seeing strength continue from the fourth quarter into the first, particularly in Brazil, where the economy is incrementally improving. We expect higher performance this year compared to our initial outlook. **Argentina** is holding steady due to a good crop season, which should benefit us financially. In **Europe**, growth is ahead of expectations due to improved inventory positions and increased focus on volume, especially in the beer sector. However, we remain cautious about potential impacts from the Middle East on energy prices and consumer behavior.  **[BALL_3381136_7]** 

3. **Operating Efficiency Improvements**  
   **Q:** How are you progressing on recovering operating efficiency?  
   **A:** We've regained approximately **1%** of the **3%** efficiency lost over recent years. This improvement is primarily due to reduced overtime and spoilage, largely from retiring older assets, which contributed to about **80%** of the improvement. We have significant runway to achieve the remaining **2%** efficiency gains across our newer assets and expect continued progress over the next **18 to 24 months**.  **[BALL_3381136_13]** 

4. **Cost Reductions from Plant Closures**  
   **Q:** Beyond plant closures, what's driving North American cost reductions?  
   **A:** The cost reductions are twofold: fixed-cost absorption from plant closures and improved operational performance. We've regained a couple of efficiency points lost over the past five years, thanks to eliminating higher-cost facilities and better performance from plants with more experienced staff. These factors have led to an almost **25%** increase in EBIT despite flat or down volumes.  **[BALL_3381136_9]** 

5. **Use of Proceeds from Aerospace Sale**  
   **Q:** How are the aerospace sale proceeds being utilized?  
   **A:** We've received over **$5.5 billion** from the aerospace sale. We've paid down approximately **$2.8 billion** in debt, including euro-denominated debt due in March, and plan to repurchase about **$1.3 billion** worth of shares in 2024, aligning with a recent Board authorization for **40 million** shares. Our anticipated CapEx for the year is **$650 million**, consistent with prior guidance, and interest expense is projected at around **$320 million**, slightly better than earlier estimates.  **[BALL_3381136_8]** 

6. **South America Volume vs. Earnings**  
   **Q:** Why did South America's EBIT growth lag volume growth?  
   **A:** In South America's peak season, we experienced a **26%** volume increase but only a **10%** EBIT increase. This is due to mix and timing differences, particularly in cans and ends shipments. When considering both the fourth quarter and first quarter together, volumes are up about **12%**, and operating earnings are up over **40%**. Therefore, it's important to look at performance over the entire season rather than isolated quarters to understand the leverage dynamics.  **[BALL_3381136_10]** 

7. **Aluminum Price Volatility Impact**  
   **Q:** How does aluminum price volatility affect your business?  
   **A:** Currently, aluminum prices are at historically low levels, and there's a shift toward aluminum packaging in parts of Europe. While we remain vigilant about potential impacts from Middle East developments on energy prices, we aren't seeing concerns from customers or adverse effects on demand. Customers have become more attentive to hedging strategies, often locking in prices at favorable levels, which helps mitigate risks associated with price fluctuations.  **[BALL_3381136_11]** 

8. **Aluminum Supply Chain Risks**  
   **Q:** How are you managing aluminum supply chain disruptions?  
   **A:** We've significantly improved our risk management since tariffs were imposed in 2016. With **21 different metal programs**, we're not shipping metals affected by sanctions to sensitive countries, thus reducing exposure. We actively manage potential risks from sanctions or trade issues and consider the current risk level to be very low due to our diversified supply chain and proactive strategies.  **[BALL_3381136_16]** 

1ac9c0e48939c981f56720bfcabdfc9a582a9926609ed8626f7ecbf5fc7094ac

| Year  | Amount Due [Millions/Billions] | Debt Type                          | Interest Rate [%] | % of Total Debt                                                                 |
|-------|--------------------------------|------------------------------------|-------------------|---------------------------------------------------------------------------------|
| 2024  | $235 million                  | Short-term loans and credit       | N/A               | 2.7% = (0.235B / 8.62B) * 100 **[0001558370-24-014033_ball-20240930x10q.htm:37]** **[0001558370-24-014033_ball-20240930x10q.htm:15]**                                   |
| 2024  | $25 million                   | Short-term finance lease          | N/A               | 0.3% = (0.025B / 8.62B) * 100 **[0001558370-24-014033_ball-20240930x10q.htm:37]** **[0001558370-24-014033_ball-20240930x10q.htm:15]**                                   |
| 2025  | $1.00 billion                 | 5.25% Senior Notes                | 5.25              | 11.6% = (1.00B / 8.62B) * 100 **[0001558370-24-014033_ball-20240930x10q.htm:37]** **[0001558370-24-014033_ball-20240930x10q.htm:15]**                                   |
| 2026  | $750 million                  | 4.875% Senior Notes               | 4.875             | 8.7% = (0.750B / 8.62B) * 100 **[0001558370-24-014033_ball-20240930x10q.htm:37]** **[0001558370-24-014033_ball-20240930x10q.htm:15]**                                   |
| 2027  | $1.75 billion                 | Multi-currency revolving facilities | N/A               | 20.3% = (1.75B / 8.62B) * 100 **[0001558370-24-014033_ball-20240930x10q.htm:37]** **[0001558370-24-014033_ball-20240930x10q.htm:15]**                                   |

c9390de50907001d06c6eda27bc1146ace27ff8427a895e51f985656bc474218

- **Ball Corporation anticipates mid-single-digit plus EPS growth in 2024**, despite the sale of its Aerospace business, driven by strong performance in its core beverage packaging operations, interest income, lower interest expenses, and share repurchases.  **[BALL_3381136_20]**
- **The company plans to return significant value to shareholders, with share repurchases expected to be in the range of $1.3 billion by year-end 2024**, and has increased its share repurchase authorization to **40 million shares**.  **[BALL_3381136_4]**
- **Operational efficiencies are improving, with Ball already recovering 1% of the 3% operating efficiency loss over the past few years**, and expecting to regain the remaining 2% over the next **18 to 24 months**, enhancing profitability.  **[BALL_3381136_13]** **[BALL_3381136_14]**

8811960169848ff316a213549b8a104bb6643f8ae0e04359570d7febd57fb0b8

- The company has **only recovered 1% out of the 3% operating efficiency loss** experienced over the past few years, with remaining improvements expected to take **18 to 24 months**, suggesting ongoing operational challenges and potential execution risks.  **[BALL_3381136_13]** **[BALL_3381136_14]**
- The company's volume growth and earnings are heavily reliant on **peak season performance**, with **April trends slightly softer than March** and the **beer category down**, raising concerns about achieving projected growth if peak season demand is weaker than anticipated. Additionally, **ongoing labor issues with major customers** could negatively impact North American results.  **[BALL_3381136_25]** **[BALL_3381136_15]**
- Despite management's confidence, potential disruptions in **aluminum supply chains due to sanctions or tariffs** could lead to **aluminum price volatility**, posing a risk to profitability.  **[BALL_3381136_16]**

46b29e60d4c07cbd50db64f286d611774a6f2fc101b2c7b7cd99a2b54bb0ab55

1. **EPS Growth Outlook**  
   **Q:** Can you achieve over 10% EPS growth in coming years?  
   **A:** Management is confident in delivering **over 10% EPS growth**, potentially reaching **13-15%**, by focusing on operational efficiencies, a **$500 million** cost savings plan, and continued share buybacks totaling over **$1.4 billion** since mid-February. They emphasize that significant growth isn't required to achieve these targets due to improved cash flow and capital discipline.  **[BALL_3395702_11]** **[BALL_3395702_13]** 

2. **Cost Savings Initiatives**  
   **Q:** When will standardization efforts boost profits significantly?  
   **A:** They are in early stages but expect meaningful benefits within **2-3 years**, achieving about **80%** standardization across facilities. This will enhance productivity, reduce capital needs, and contribute significantly to earnings through the gross cost savings plan, with substantial gains in 2024 and 2025.  **[BALL_3395702_14]** **[BALL_3395702_15]** 

3. **North America Beverage Market**  
   **Q:** How are U.S. consumer trends affecting your business?  
   **A:** In the U.S., high-end brands are driving innovation, while value brands focus on pricing. The middle market, especially premium light beers, faces softness due to consumers trading down. Ball benefits from favorable customer mix and expects inventories to strengthen, aiding second-half performance.  **[BALL_3395702_6]** **[BALL_3395702_7]** **[BALL_3395702_12]** 

4. **South America Outlook**  
   **Q:** What are your expectations for South America amid Argentina's challenges?  
   **A:** Despite challenges in Argentina, including volume declines impacting overall volume by about **1%**, they anticipate margin growth and a positive trajectory in Brazil, driven by strong performance from key partners and can's market share gains. They expect **Q4** to return to growth.  **[BALL_3395702_13]** **[BALL_3395702_21]** **[BALL_3395702_23]** 

5. **European Performance**  
   **Q:** How did European operations fare, and what's the outlook?  
   **A:** Europe exceeded internal expectations with **6.5% growth**, benefiting from favorable mix and aggressive customer pricing. They remain bullish on Europe's medium and long-term prospects due to the can's market potential and anticipate continued strong performance without significant destocking concerns.  **[BALL_3395702_5]** **[BALL_3395702_20]** 

6. **Capacity Utilization and Inventory**  
   **Q:** What's the current capacity utilization and inventory status?  
   **A:** Capacity utilization is healthy, with low to mid-**90%** in Europe, low **90%** in the U.S., and high **80%** in Brazil. Inventories are historically low, especially in North America, but expected to strengthen, improving absorption in **Q4**. No significant curtailments are anticipated except seasonal ones in South America.  **[BALL_3395702_9]** **[BALL_3395702_26]** **[BALL_3395702_27]** 

7. **Aerosol Business Growth**  
   **Q:** What's driving growth in the aerosol segment?  
   **A:** The aerosol business saw **6% volume growth**, outperforming the market due to offering bottles with higher recycled content, appealing to customers focused on sustainability. This strategic advantage contributes to winning market share, and they remain optimistic about continued growth.  **[BALL_3395702_18]** **[BALL_3395702_19]** 

8. **Bud Light Impact**  
   **Q:** Is Bud Light's decline affecting your sales?  
   **A:** The decline in Bud Light is offset by growth in other brands like Michelob Ultra within the same portfolio. Promotional activities in these growing brands are encouraging, filling the volume gap created by Bud Light's downturn.  **[BALL_3395702_17]** 

9. **Aluminum Cup Adoption**  
   **Q:** What's the status of the Ball aluminum cup product?  
   **A:** Adoption of the aluminum cup has been slower than expected due to a weakened consumer impacting volume. While they continue to gain traction in certain venues, it's not at the levels anticipated **2-3 years** ago.  **[BALL_3395702_25]** 

ca50fcea6813c40ad50a1a5c6ab7cf5f29f2382ca065609ec3988667ba5e1047

- **Flat volume outlook in North America for 2024**: Ball Corporation anticipates only flat volume growth in North America for 2024, with potential growth not expected until after the first quarter.  **[BALL_3371557_5]**
- **Cash flow pressures due to high CapEx and AR factoring unwind**: The company projects 2024 free cash flow to be around **$500 million**, impacted by a **$650 million** capital expenditure and a **$500 million** outflow from unwinding accounts receivable factoring, which may pressure cash flow.  **[BALL_3371557_5]** **[BALL_3371557_20]**
- **Potential challenges in Europe and South America due to geopolitical and economic factors**: Ball acknowledges that conflicts in Europe and the Middle East, along with inflationary pressures, could impact their operations in Europe and South America, necessitating further review of their capacity footprint in these regions.  **[BALL_3371557_7]**

81ffe0de1ec73c8fe524963ac2b047ecd3fc0690a80a96829f5b6ef25eaa53ae

- **Declining volumes in key markets, particularly in North America and Europe, due to weaker end consumer demand and mass beer brand disruptions, leading to softer growth expectations into 2024.**  **[BALL_3363652_21]** ,  **[BALL_3363652_12]**
- **Complete loss of the Verona, Virginia slug manufacturing facility due to a fire, resulting in operational disruptions and inability to operate at the current site.**  **[BALL_3363652_3]** ,  **[BALL_3363652_5]**
- **Sale of the profitable Aerospace business may lead to earnings dilution and challenges in offsetting the lost earnings, potentially impacting future growth and profitability.**  **[BALL_3363652_4]** ,  **[BALL_3363652_16]**

294a340f7fb29f158522cccbca576d4e06db6c9fa27aa61eb2854703e6d9094c

- **Volatile consumer backdrop could impact future earnings:** The company acknowledges that the consumer environment remains volatile, which may affect demand for aluminum packaging solutions and challenge their ability to meet 2024 guidance and long-term commitments.  **[BALL_3395702_4]**
- **Underperformance in South America due to regional risks:** Softer-than-anticipated volume performance in South America, specifically driven by exposure to Argentina, indicates regional risks that could negatively impact overall financial performance.  **[BALL_3395702_4]**
- **Early stages of operational efficiency improvements may delay benefits:** The company is in the early innings of implementing operational efficiencies and standardizing best practices, suggesting that significant cost savings and margin improvements may not materialize in the near term.  **[BALL_3395702_15]**

66fae327cbfe38f88927012ad4ba3af5bde1d11363766cffc219ebb3d14ddd29

- **Ball Corporation expects volume growth in North America and Europe in 2024**, with global growth of **2%-3% heading into 2025**, indicating a positive outlook on future demand.  **[BALL_3371557_5]**
- **Operating EBIT in North America increased by 11% despite a 7% volume decline**, demonstrating improved **unit economics and strong operational efficiency**.  **[BALL_3371557_10]**
- The company is **actively pushing innovation**, receiving positive feedback, and anticipates **new product launches and growth opportunities**, which could drive future revenue growth.  **[BALL_3371557_18]**

a7a1fd0ca4bd9256bb8f39c34e926620ab1f1f9202aa01db7a2fa130fee9282e

1. **Earnings Growth Outlook**  
   **Q:** Can you clarify your expectation for Q4 EPS and 2025 earnings growth?  **[BALL_3405109_20]**   
   **A:** We expect Q4 EPS to increment upwards, likely in the **mid-single-digit range**, leading to full-year mid-single-digit growth. Looking ahead to 2025, we are confident in delivering over **10% EPS growth** due to volume growth, efficiency gains, and share repurchases.  **[BALL_3405109_20]** **[BALL_3405109_9]** **[BALL_3405109_12]** 

2. **Volume Projections for 2025**  
   **Q:** What is the starting point for base volumes in 2025 to achieve your earnings target?  **[BALL_3405109_9]**   
   **A:** Our initial projections align with our long-term algorithm of **2% to 3% top-line growth**, stronger in Europe and South America. North America is expected to improve from current levels. We have the volume and efficiency gains needed to support our **10%+ EPS growth** next year.  **[BALL_3405109_9]** **[BALL_3405109_12]** 

3. **Cost Savings and Operational Excellence**  
   **Q:** What incremental catalysts can we expect from the cost side into 2025?  **[BALL_3405109_5]**   
   **A:** We plan to drive **2% to 3% productivity improvements** in our cost structure annually. This comes from better planning, reducing conversions and label changes, lowering spoilage, and less overtime. Our operational excellence initiatives, including lean standardization and continuous improvement, will contribute to these gains moving forward.  **[BALL_3405109_5]** **[BALL_3405109_12]** 

4. **Impact of Macroeconomic Factors**  
   **Q:** How are macro factors affecting consumer demand and your business?  **[BALL_3405109_7]** **[BALL_3405109_25]**   
   **A:** Reduced discretionary spending power, down **8% versus 2019**, is weighing on food and beverage categories due to inflation. Interest rate cuts and decreased savings rates are expected to restore consumer spending. Our customers are optimistic about 2025, anticipating a tailwind from improved consumer health.  **[BALL_3405109_7]** **[BALL_3405109_25]** 

5. **South America Volumes and Argentina Impact**  
   **Q:** Can you explain the volume situation in South America, especially Argentina?  **[BALL_3405109_18]** **[BALL_3405109_16]**   
   **A:** In Brazil, we left **3% to 4% growth** on the table by not matching production with demand. Argentina experienced a volume decline of over **30%** in Q3, impacting full-year volumes by **500 to 600 million units**. Despite this, we're optimistic about Argentina's long-term prospects as policies take hold, and we're prepared for better top-line stability next year.  **[BALL_3405109_18]** **[BALL_3405109_16]** **[BALL_3405109_19]** 

6. **Plant Closures and Restructuring Charges**  
   **Q:** What's included in the $90 million restructuring charges this quarter?  **[BALL_3405109_10]** **[BALL_3405109_11]**   
   **A:** The majority relates to closures in North and South America, including Santa Cruz in Brazil and Kent, Washington. Additional charges stem from IT and operational restructuring, including severance as we rightsize the business post-aerospace acquisition.  **[BALL_3405109_10]** **[BALL_3405109_11]** 

7. **Aluminum Cups Business Strategy**  
   **Q:** What are the key reasons holding back the aluminum cups initiative?  **[BALL_3405109_10]** **[BALL_3405109_23]**   
   **A:** The primary issues are inflation and a weakened consumer, making the price point unsustainable for what people are willing to pay for sustainability. Additionally, complexities in recycling infrastructure presented significant barriers, especially in service industries like airports. We're exploring strategic alternatives, as the business is currently losing about **$40 million** this year.  **[BALL_3405109_10]** **[BALL_3405109_23]** 

8. **Mass Beer Strategy and Portfolio Rebalancing**  
   **Q:** How are you addressing the maturity of mass beer in your portfolio?  **[BALL_3405109_6]** **[BALL_3405109_25]**   
   **A:** We're ensuring alignment with strategic partners who are winning in the category. While beer has declined for 20 years, the **substrate shift to cans and innovation** have offset this. We've started rebalancing our portfolio, focusing on beverage and alcohol companies with strong growth in ready-to-drink products and innovative offerings.  **[BALL_3405109_6]** **[BALL_3405109_25]** 

9. **Europe Growth and Capacity**  
   **Q:** Can you meet the 3% to 5% long-term growth in Europe without new plants?  **[BALL_3405109_14]**   
   **A:** Yes, we don't foresee the need for additional greenfields in Europe for the next **2 to 3 years**. We'll maximize existing facilities by adding lines, speeding up production, and debottlenecking, all within our capital expenditure plans. The substrate shift is still early in Europe, with penetration below **32%**, offering ample growth opportunity.  **[BALL_3405109_14]** 

10. **North America Mix and Specialty Cans**  
    **Q:** Is there a mix shift affecting profitability between specialty cans and standard sizes?  **[BALL_3405109_15]**   
    **A:** While specialty cans remain tight, consumer weakness is impacting all categories and sizes. In energy drinks, which use **16-ounce specialty cans**, demand is affected by higher unemployment among key demographics and elevated interest rates. We expect improvement as interest rates decline and consumer spending strengthens in 2025.  **[BALL_3405109_15]** **[BALL_3405109_7]** 

c1c6e5a0a49460c14afcb35e7ba4d38b33ece4eb351f2058a71d69ef8921f9c4

- **Ball Corporation expects to generate approximately $750 million in free cash flow in 2023 and plans to significantly reduce capital expenditures in 2024 to levels around GAAP depreciation and amortization, enhancing cash flows.**  **[BALL_3363652_5]**
- **Following the sale of its Aerospace business for $5.6 billion, Ball intends to reduce leverage to approximately 3x and return substantial value to shareholders through share repurchases and dividends, strengthening its balance sheet and driving value creation.**  **[BALL_3363652_3]** **[BALL_3363652_5]**
- **The company anticipates volume recovery and improved operating earnings, particularly in South America where volumes increased 14.1% in the third quarter, expecting a significant inflection in the fourth quarter.**  **[BALL_3363652_3]** **[BALL_3363652_15]**

913270def09880d19cee9771eec3741f6068b7b2493fc315c3d6ff0571b854d5

Ball Corp (BALL)

Financials