e2caa052de1165872a3a82edb05d451cd37c27fc974d3358a17f277f1cb60e93

| Metric (USD Million) | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | Q2 2024 | Q3 2024 | Q4 2024 |
|----------------------|---------|---------|---------|---------|---------|---------|---------|---------|
| **North America**    | 844  **[0001306830-23-000086_ce-20230331.htm:27]**  | 832  **[0001306830-23-000129_ce-20230630.htm:30]**  | 815  **[0001306830-23-000161_ce-20230930.htm:33]**  | N/A     | 760  **[0001306830-24-000098_ce-20240331.htm:29]**  | 810  **[0001306830-24-000155_ce-20240630.htm:34]**  | 793  **[0001306830-24-000184_ce-20240930.htm:38]**  | N/A     |
| **Europe and Africa**| 1,020  **[0001306830-23-000086_ce-20230331.htm:27]**  | 956  **[0001306830-23-000129_ce-20230630.htm:30]**  | 857  **[0001306830-23-000161_ce-20230930.htm:33]**  | N/A     | 879  **[0001306830-24-000098_ce-20240331.htm:29]**  | 864  **[0001306830-24-000155_ce-20240630.htm:34]**  | 820  **[0001306830-24-000184_ce-20240930.htm:38]**  | N/A     |
| **Asia-Pacific**     | 915  **[0001306830-23-000086_ce-20230331.htm:27]**  | 933  **[0001306830-23-000129_ce-20230630.htm:30]**  | 986  **[0001306830-23-000161_ce-20230930.htm:33]**  | N/A     | 910  **[0001306830-24-000098_ce-20240331.htm:29]**  | 913  **[0001306830-24-000155_ce-20240630.htm:34]**  | 965  **[0001306830-24-000184_ce-20240930.htm:38]**  | N/A     |
| **South America**    | 74  **[0001306830-23-000086_ce-20230331.htm:27]**   | 74  **[0001306830-23-000129_ce-20230630.htm:30]**   | 65  **[0001306830-23-000161_ce-20230930.htm:33]**   | N/A     | 62  **[0001306830-24-000098_ce-20240331.htm:29]**   | 64  **[0001306830-24-000155_ce-20240630.htm:34]**   | 70  **[0001306830-24-000184_ce-20240930.htm:38]**   | N/A     |
| **Total**            | 2,853  **[0001306830-23-000083_q120238-kex992.htm:10]**  | 2,795  **[0001306830-23-000129_ce-20230630.htm:30]**  | 2,723  **[0001306830-23-000157_q320238-kex992.htm:10]**  | N/A     | 2,611  **[0001306830-24-000098_ce-20240331.htm:29]**  | 2,651  **[0001306830-24-000155_ce-20240630.htm:34]**  | 2,648  **[0001306830-24-000184_ce-20240930.htm:38]**  | N/A     |

9e5b8442bf65882b40ff69bc7e10d7581da0f4312398fa83af315b04e04f1d39

| Metric (USD Million) | Q4 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | Q2 2024 | Q3 2024 |
|----------------------|---------|---------|---------|---------|---------|---------|---------|---------|
| Engineered Materials | $1,237  **[0001306830-23-000019_q420228-kex991.htm:1]**  | $1,630  **[0001306830-23-000086_ce-20230331.htm:27]**  | $1,585  **[0001306830-23-000129_ce-20230630.htm:30]**  | $1,528  **[0001306830-23-000161_ce-20230930.htm:33]**  | $1,378  **[0001306830-24-000098_ce-20240331.htm:29]**  | $1,378  **[0001306830-24-000098_ce-20240331.htm:29]**  | $1,467  **[0001306830-24-000155_ce-20240630.htm:34]**  | $1,481  **[0001306830-24-000180_q320248-kex991.htm:1]**  |
| Acetyl Chain         | $1,135  **[0001306830-23-000019_q420228-kex991.htm:1]**  | $1,250  **[0001306830-23-000082_q120238-kex991.htm:1]**  | $1,210  **[0001306830-23-000129_ce-20230630.htm:30]**  | $1,220  **[0001306830-23-000156_q320238-kex991.htm:1]**  | $1,233  **[0001306830-24-000098_ce-20240331.htm:29]**  | $1,233  **[0001306830-24-000098_ce-20240331.htm:29]**  | $1,202  **[0001306830-24-000151_q220248-kex991.htm:1]**  | $1,190  **[0001306830-24-000180_q320248-kex991.htm:1]**  |
| Total Net Sales      | $2,348  **[0001306830-23-000019_q420228-kex991.htm:1]**  | $2,853  **[0001306830-23-000082_q120238-kex991.htm:1]**  | $2,795  **[0001306830-23-000129_ce-20230630.htm:36]**  | $2,723  **[0001306830-23-000156_q320238-kex991.htm:1]**  | N/A | N/A | $2,651  **[0001306830-24-000151_q220248-kex991.htm:1]**  | $2,648  **[0001306830-24-000180_q320248-kex991.htm:1]**  |

8449980d94c552b62bc90fb88a09e343cdadf835c154c09a47a54177098925dd

Celanese Corporation is a global chemical and specialty materials company that operates primarily through two business segments: Engineered Materials and the Acetyl Chain. The company develops and supplies high-performance specialty polymers for various applications, including automotive, medical, industrial, and consumer electronics **[0001306830-24-000029_ce-20231231.htm:156]** **[0001306830-24-000098_ce-20240331.htm:29]** **[0001306830-24-000184_ce-20240930.htm:38]** **[0001306830-24-000029_ce-20231231.htm:158]**. Additionally, Celanese produces intermediate chemistry and polymers that serve as starting materials for industries such as paints, adhesives, pharmaceuticals, and construction **[0001306830-24-000029_ce-20231231.htm:156]** **[0001306830-24-000098_ce-20240331.htm:29]** **[0001306830-24-000184_ce-20240930.htm:38]** **[0001306830-24-000029_ce-20231231.htm:158]**. The company's broad product portfolio caters to diverse end-use applications with a geographically balanced global customer base **[0001306830-24-000029_ce-20231231.htm:103]** **[0001306830-24-000029_ce-20231231.htm:5]** **[0001306830-24-000184_ce-20240930.htm:43]**.

1. **Engineered Materials** - Develops and supplies high-performance specialty polymers used in automotive, medical, industrial, and consumer electronics applications, managed through a project management pipeline focused on customer-specific solutions **[0001306830-24-000029_ce-20231231.htm:156]** **[0001306830-24-000098_ce-20240331.htm:29]** **[0001306830-24-000184_ce-20240930.htm:38]** **[0001306830-24-000029_ce-20231231.htm:158]**.
2. **Acetyl Chain** - Includes intermediate chemistry, emulsion polymers, ethylene vinyl acetate polymers, redispersible powders, and acetate tow businesses, serving as starting materials for industries like paints, adhesives, pharmaceuticals, and construction, leveraging an integrated chain model to maximize value **[0001306830-24-000029_ce-20231231.htm:156]** **[0001306830-24-000098_ce-20240331.htm:29]** **[0001306830-24-000184_ce-20240930.htm:38]** **[0001306830-24-000029_ce-20231231.htm:158]**.

5a53cdd84d690eded893d1bc7b24278eb2db644094aa5ee68cef8aeef5482ab5

1. Given your **disappointing Q3 results** and the outlook for Q4 and into 2025 being **below expectations**  **[CE_3405796_1]** , what **specific actions** are you taking beyond cost reductions and production slowdowns to improve earnings and cash generation, and how will these actions address the **persistent macroeconomic headwinds**?

2. You are committed to **deleveraging the balance sheet to 3x net debt to EBITDA as fast as possible**  **[CE_3405796_22]** **[CE_3405796_2]**  and have **announced your intention to reduce the dividend starting in Q1 2025**  **[CE_3405796_1]** ; can you provide a detailed plan on how you will achieve this deleveraging target, especially if the **macroeconomic environment remains challenging**?

3. With **Chinese VAM margins at a decade low** due to lackluster demand and new capacity  **[CE_3405796_16]** , how realistic is it to expect the **Singapore acetic acid plant** to come back online without a significant recovery in China, and what is your strategy to manage the overcapacity in the **acetyls market**?

4. The **Engineered Materials** segment is facing headwinds, and you've noted that the **volume per project** in your pipeline is smaller and not sufficient to offset base declines  **[CE_3405796_17]** ; what **specific steps** are you taking to **supercharge** the pipeline, and how will this help counteract the challenges in **volume and pricing**?

5. Regarding the **Clear Lake facility**, which is expected to deliver **$100 million** in annual benefits but has only contributed **$10 million in Q1** and **$20 million in Q3**  **[CE_3405796_3]** , what are the reasons for the slower-than-expected ramp-up, and how confident are you that the remaining benefits will be realized as anticipated?

bbd536d2c6b733ba7ee1a75d5959c9f032c24f600b996f77d65ad31848afe54f

### Q3 2024 Earnings Call
- **Issued Period:** Q3 2024
- **Guided Period:** Q4 2024
- **Guidance:**
  1. **Earnings Per Share (EPS):** Expected to decrease from around **$2.50 for Q3 to $1.25 for Q4** due to seasonality, inventory drawdown, and market weakness  **[CE_3405796_14]** .
  2. **Free Cash Flow:** Anticipated to be second-half weighted, aiming for consistency with the previous year despite headwinds  **[CE_3388096_14]** .
  3. **Cash Taxes:** Expected to be about **$300 million**, including a **$90 million transfer tax**  **[CE_3388096_14]** .
  4. **Cash Cost of Synergies:** Projected to be **$100 million to $150 million**  **[CE_3388096_14]** .
  5. **Capital Expenditures (CapEx):** A benefit of **$100 million to $150 million** in lower CapEx versus last year  **[CE_3388096_14]** .
  6. **Cost Reductions:** Further reductions in SG&A and slowing production to match demand  **[CE_3405796_1]** .

### Q2 2024 Earnings Call
- **Issued Period:** Q2 2024
- **Guided Period:** Q3 2024
- **Guidance:**
  1. **Automotive Volumes:** Moderate increase expected, with growth in China  **[CE_3396308_27]** **[CE_3396308_1]** .
  2. **Synergies:** Expected to more than double in the second half to reach **$150 million**  **[CE_3396308_20]** .
  3. **Interest Expense:** Slight decline expected in Q3 and Q4  **[CE_3396308_16]** .
  4. **Force Majeure Impact:** Cost impact of about **$35 million in Q2** and an additional **$5 million to $10 million** in the next quarter  **[CE_3396308_5]** .
  5. **Raw Materials and Pricing:** Margin expansion expected from cheaper raw materials and new projects  **[CE_3396308_17]** .
  6. **Clear Lake Expansion:** Half of the **$100 million EBIT** contribution target expected this year  **[CE_3396308_18]** .
  7. **Free Cash Flow:** Improvements anticipated for 2025  **[CE_3396308_10]** .
  8. **Capital Expenditure:** Maintenance CapEx between **$300 million and $350 million**, total CapEx **$400 million to $450 million**  **[CE_3396308_19]** .
  9. **Fourth Quarter Expectations:** Largest synergy capture for Engineered Materials expected in Q4  **[CE_3396308_3]** .

### Q1 2024 Earnings Call
- **Issued Period:** Q1 2024
- **Guided Period:** FY 2024
- **Guidance:**
  1. **EBITDA:** Driven by **$150 million from M&M synergies** and **$100 million from Clear Lake expansion**  **[CE_3388096_29]** .
  2. **EPS:** Expected to bridge from **$5 in the first half** to **$6.50 at the midpoint in the second half**  **[CE_3388096_3]** .
  3. **Free Cash Flow:** Working capital benefit of **$100 million** anticipated, with significant headwinds  **[CE_3388096_14]** .
  4. **M&M Synergies:** Full-year synergy lift expected to be **$150 million**  **[CE_3388096_19]** **[CE_3388096_13]** .
  5. **Engineered Materials (EM) Sales:** Margin growth rate of approximately **10%** expected  **[CE_3388096_8]** .

### Q4 2023 Earnings Call
- **Issued Period:** Q4 2023
- **Guided Period:** FY 2024
- **Guidance:**
  1. **Earnings Per Share (EPS):** Guidance range of **$11 to $12**  **[CE_3374397_7]** .
  2. **Free Cash Flow:** Focus on generating free cash flow and reaching a **3x leverage level** by 2025  **[CE_3374397_15]** .
  3. **Working Capital:** Target of **$100 million to $150 million** benefit for 2024  **[CE_3374397_15]** .
  4. **Capital Expenditures (CapEx):** Expected to be lower by **$100 million to $150 million**  **[CE_3374397_15]** .
  5. **Synergies:** Expected **$150 million** in synergies  **[CE_3374397_4]** .
  6. **Tax Rate:** Expected to be around **9%**  **[CE_3374397_14]** .
  7. **Turnaround Impacts:** Incremental **$50 million** in the first quarter, with another $50 million spread across the remaining quarters  **[CE_3374397_26]** .

4a26238c7586ad2d40bbaae9f5ede1be43963d3c0b29eaabc8ba13e20a19f7c2

- Anhui Jinhe Industrial Co., Ltd.
- Ascend Performance Materials LLC
- BASF SE
- Daicel Corporation (Daicel)
- DOMO Chemicals
- E. I. du Pont de Nemours and Company
- Kingfa Science and Technology
- Korea Petrochemical Ind. Co, Ltd (KPIC)
- Envalior GmbH
- SABIC Innovative Plastics
- Solvay S.A.
- Asahi Kasei Corporation (regional competitor)
- Braskem S.A. (regional competitor)
- Mitsubishi Gas Chemical Company, Inc. (regional competitor)
- Sumitomo Corporation (regional competitor)
- Teijin Limited (regional competitor)
- Toray Industries, Inc. (regional competitor)  **[0001306830-24-000029_ce-20231231.htm:6]** 

18abcbba71baca7cc683dced0f2acf2f9e3f281cd53449c24db2801dcdc3c0c3

Engineered Materials

Acetate Tow

Acetyl Chain

Advanced Engineered Materials

Consumer Specialties

Industrial Specialties

Acetyl Intermediates

Other Activities

Eliminations

Total Revenue

8d33a1b2ce473a6b2e9e550395cf09b0635d8a5f2100dda1d74df7bd063299aa

| Name                | Position                                      | Start Date          | Short Bio                                                                                                                                                                                                 |
|---------------------|-----------------------------------------------|---------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Lori J. Ryerkerk    | Chair of the Board, CEO, and President        | May 2019            | Lori J. Ryerkerk has been serving as the Chair of the Board, CEO, and President of Celanese Corporation since May 2019. She was appointed Chair of the Board in April 2020. She will step down at the end of 2024  **[0001306830-24-000029_ce-20231231.htm:51]** **[0001306830-24-000087_ce-20240321.htm:20]** **[0001306830-24-000070_ce-20240308.htm:20]** .                     |
| Scott A. Richardson | Executive Vice President and COO              | November 2023       | Scott A. Richardson was named Executive Vice President and COO in November 2023. He will become CEO and President effective January 1, 2025. He joined Celanese in 2005 and has held various roles, including CFO  **[0001306830-24-000029_ce-20231231.htm:51]** **[0001104659-24-126774_tm2430529d1_ex99-1.htm:0]** **[0001104659-24-126774_tm2430529d1_8k.htm:1]** .                     |
| Chuck B. Kyrish     | Senior Vice President and CFO                 | November 2023       | Chuck B. Kyrish has been serving as the Senior Vice President and CFO since November 2023. He previously held roles such as Vice President of Corporate Finance and CFO of the Acetyl Chain  **[0001306830-24-000029_ce-20231231.htm:52]** **[0001306830-24-000070_ce-20240308.htm:95]** .                                              |
| Thomas F. Kelly     | Senior Vice President, Engineered Materials   | April 2020          | Thomas F. Kelly was named Senior Vice President, Engineered Materials in April 2020. He leads the Engineered Materials business with global responsibility for product and business management  **[0001306830-24-000029_ce-20231231.htm:52]** **[0001306830-23-000023_ce-20221231.htm:49]** .                                            |
| Mark C. Murray      | Senior Vice President, Acetyls                | February 2023       | Mark C. Murray was named Senior Vice President, Acetyls in February 2023. He rejoined Celanese in June 2022 as Vice President of Business Strategy and Development  **[0001306830-24-000029_ce-20231231.htm:52]** **[0001306830-23-000023_ce-20221231.htm:49]** .                                                                       |
| Ashley B. Duffie    | Senior Vice President and General Counsel     | November 2023       | Ashley B. Duffie has served as Senior Vice President and General Counsel since November 2023. She previously held the position of Vice President and Chief Procurement Officer from June 2020  **[0001306830-24-000029_ce-20231231.htm:53]** **[0001306830-24-000029_ce-20231231.htm:51]** .                                            |
| Edward G. Galante   | Upcoming Chair of the Board                   | January 1, 2025     | Edward G. Galante has been an independent director on the Celanese Board since 2013. He will assume the role of Chair of the Board effective January 1, 2025. He was previously a Senior Vice President at Exxon Mobil Corporation  **[0001104659-24-126774_tm2430529d1_ex99-1.htm:0]** **[0001104659-24-126774_tm2430529d1_8k.htm:1]** **[0001306830-24-000087_ce-20240321.htm:21]** .     |

f9b06b92fb9eff312ee1929cdcd65217fc5edd8befce6747d247131543335ad7

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 / Repayments of Debt (USD, millions)

Share Repurchases (USD, millions)

Dividend Payments (USD, millions)

Net Change in Cash (USD, millions)

c1a18105ebf15636c5def452d21e32a12fb1691097f680410a0e10028fed22f4

675212e3ee350957aa9cead2c70506a8b9f52d78e5b505c1a57f9b55253708ad

| Program Details            | Program 1      |
|----------------------------|----------------|
| Approval Date              | N/A            |
| End Date/Duration          | N/A            |
| Total additional amount    | **$6.9 billion**  **[0001306830-24-000184_ce-20240930.htm:69]**  |
| Remaining authorization amount | **$1.1 billion**  **[0001306830-24-000184_ce-20240930.htm:69]**  |
| Details                    | The program is authorized by the Board of Directors and gives management discretion in determining the timing and conditions under which shares may be repurchased. The purpose is to reduce the number of shares outstanding for compensation programs and other corporate purposes. The program does not have an expiration date.  **[0001306830-24-000184_ce-20240930.htm:22]** **[0001306830-24-000029_ce-20231231.htm:142]** **[0001306830-24-000098_ce-20240331.htm:17]** **[0001306830-23-000161_ce-20230930.htm:19]** **[0001306830-24-000029_ce-20231231.htm:141]** **[0001306830-24-000155_ce-20240630.htm:19]** **[0001306830-22-000184_ce-20220930.htm:19]** **[0001306830-23-000023_ce-20221231.htm:137]** **[0001306830-23-000086_ce-20230331.htm:16]** **[0001306830-23-000129_ce-20230630.htm:18]**  |

6c17126f75295de0658b79acd91379da33b8fe51b7a524fef75921503a9cc33e

- North America

- Europe and Africa

- Asia-Pacific

- South America

Other

096c616381321078e0d94aeb77a2bb4e7446b496a58a1c90e77ff18f5a16ea9a

**Quarterly guidance for Q4 2024:**
- **Earnings Per Share (EPS)**: $1.25  **[CE_3405796_14]**  (no prior guidance)  
- **Free Cash Flow**: Anticipated to be second-half weighted, aiming for consistency with the previous year despite headwinds  **[CE_3388096_14]**  (no direct numeric prior guidance to compare)  
- **Cash Taxes**: $300 million (includes a $90 million transfer tax)  **[CE_3388096_14]**  (no prior guidance)  
- **Cash Cost of Synergies**: $100 million to $150 million  **[CE_3388096_14]**  (no prior guidance)  
- **Capital Expenditures (CapEx)**: A benefit of $100 million to $150 million in lower CapEx versus last year  **[CE_3388096_14]**  (no direct numeric prior guidance to compare)  
- **Cost Reductions**: Further reductions in SG&A and slowing production to match demand  **[CE_3405796_1]**  (no prior guidance)  

0f4c047a7506f1e8907e83ffa480f0bcb6cbd10af364256ba415c2b49b2d1021

| Name     | Start Date | End Date | Reason for Change |
|----------|------------|----------|-------------------|
| KPMG LLP | 2004  **[0001306830-24-000029_ce-20231231.htm:98]**  | Present  | Current auditor   |

6698c17498b55ca42dac8d20d865517da0b19a2fb8c845390e1929c7025f80da

6f5e62db39dbc7c04a83a3954bb285dbb948b9b4b80ff078e7d2aecc24f1b202

23794d91c53ae875c8e247d72561e35d9d06ee07c70c9e0dbcc977a6d161504a

- Total Revenue: $2.648 billion (-3% YoY)  **[0001306830-24-000184_ce-20240930.htm:2]** **[0001306830-23-000161_ce-20230930.htm:31]**   
- Engineered Materials: $1.481 billion (-3% YoY)  **[0001306830-24-000184_ce-20240930.htm:36]** **[0001306830-23-000161_ce-20230930.htm:31]**   
- Acetyl Chain: $1.190 billion (-2% YoY)  **[0001306830-24-000184_ce-20240930.htm:36]** **[0001306830-23-000161_ce-20230930.htm:31]**   
- Asia-Pacific Revenue: $355 million (-13% YoY)  **[0001306830-24-000184_ce-20240930.htm:38]** **[0001306830-23-000161_ce-20230930.htm:33]**   
- South America Revenue: $32 million (+14% YoY)  **[0001306830-24-000184_ce-20240930.htm:38]** **[0001306830-23-000161_ce-20230930.htm:33]**   
- Operating Income: $248 million (-71% YoY)  **[0001306830-24-000184_ce-20240930.htm:2]** **[0001306830-23-000161_ce-20230930.htm:31]**   
- Net Income: **$12 million (-99% YoY)**  **[0001306830-24-000184_ce-20240930.htm:2]** **[0001306830-23-000161_ce-20230930.htm:31]**   
- Diluted EPS: $1.06 (-88% YoY)  **[0001306830-24-000184_ce-20240930.htm:2]** **[0001306830-23-000161_ce-20230930.htm:31]**   

2d5efd3eac0925ac68a9b90a2fd2252751541d7901f0be5a347b15b3846dddeb

d399bef6ee09af590d112e751008a7162da04038b94e1942047d0aceb2f05997

| Year | Amount Due (in $ millions) | Debt Type                              | Interest Rate (%) | % of Total Debt                                                                                     |
|----------|--------------------------------|--------------------------------------------|------------------------|---------------------------------------------------------------------------------------------------------|
| 2025     | 1,336                         | 1.250% Senior Notes + 6.050% Senior Notes | 1.250, 6.050          | 10.4% = (1,336 / 12,931) * 100 **[0001306830-24-000184_ce-20240930.htm:14]** **[0001306830-24-000184_ce-20240930.htm:44]**                                                          |
| 2026     | 1,520                         | 1.400% Senior Notes + 4.777% Senior Notes | 1.400, 4.777          | 11.8% = (1,520 / 12,931) * 100 **[0001306830-24-000184_ce-20240930.htm:14]** **[0001306830-24-000184_ce-20240930.htm:44]**                                                          |
| 2027     | 3,439                         | 2.125% Senior Notes + 6.165% Senior Notes + Term Loan | 2.125, 6.165, 6.718 | 26.6% = (3,439 / 12,931) * 100 **[0001306830-24-000184_ce-20240930.htm:14]** **[0001306830-24-000184_ce-20240930.htm:44]**                                                          |
| 2028     | 1,559                         | 0.625% Senior Notes + 6.350% Senior Notes | 0.625, 6.350          | 12.1% = (1,559 / 12,931) * 100 **[0001306830-24-000184_ce-20240930.htm:14]** **[0001306830-24-000184_ce-20240930.htm:44]**                                                          |
| 2029     | 1,310                         | 5.337% Senior Notes + 6.330% Senior Notes | 5.337, 6.330          | 10.1% = (1,310 / 12,931) * 100 **[0001306830-24-000184_ce-20240930.htm:14]** **[0001306830-24-000184_ce-20240930.htm:44]**                                                          |
| 2030     | 1,436                         | 6.550% Senior Notes + Pollution Control Bonds | 6.550, 4.1-5.0       | 11.1% = (1,436 / 12,931) * 100 **[0001306830-24-000184_ce-20240930.htm:14]** **[0001306830-24-000184_ce-20240930.htm:44]**                                                          |
| 2032     | 1,000                         | 6.379% Senior Notes                       | 6.379                 | 7.7% = (1,000 / 12,931) * 100 **[0001306830-24-000184_ce-20240930.htm:14]** **[0001306830-24-000184_ce-20240930.htm:44]**                                                           |
| 2033     | 1,000                         | 6.700% Senior Notes                       | 6.700                 | 7.7% = (1,000 / 12,931) * 100 **[0001306830-24-000184_ce-20240930.htm:14]** **[0001306830-24-000184_ce-20240930.htm:44]**                                                           |
| 2054     | 159                           | Obligations under Finance Leases          | N/A                   | 1.2% = (159 / 12,931) * 100 **[0001306830-24-000184_ce-20240930.htm:14]** **[0001306830-24-000184_ce-20240930.htm:44]**                                                             |

091bee5a753d3c3fe93b68dce09fb4b99f91d6d7641320addcfa5407b9a88086

- **Reduced working capital benefit expected in 2024**: The company's target for working capital benefit in 2024 is **$100 million to $150 million**, significantly lower than the **over $500 million** benefit achieved in 2023, which could impact free cash flow and deleveraging efforts.  **[CE_3374397_15]**
- **Some positive impacts from 2023 may not repeat in 2024**: The Acetyl Chain's earnings in 2023 were supported by industry outages and market dislocations, but **"some of those reverse out as we move our way into next year"**, potentially leading to lower earnings in this segment.  **[CE_3374397_17]**
- **Synergy realization from the M&M acquisition depends on demand recovery**: The company achieved **$100 million** in synergies in 2023, **"a little bit lower than we had anticipated earlier in the year"** due to volume-related issues; the realization of the **$150 million** synergy target for 2024 may be impacted if demand does not improve.  **[CE_3374397_10]**

3331a71810b55adf0cb41d086c670eb5cfee9b74acbc7cb6dede21dbb936bd99

- **Supplier outages and raw material constraints have led to operational inefficiencies and reduced production flexibility**, particularly at the Clear Lake facility, impacting Celanese's ability to participate in spot markets and capitalize on opportunities.  **[CE_3396308_7]** ,  **[CE_3396308_21]**
- **Weak demand in key end markets, especially in China, has resulted in margin compression**, notably in the VAM (vinyl acetate monomer) business, due to softness in paints, coatings, construction, and solar sectors.  **[CE_3396308_32]**
- **Achievement of targeted synergies appears challenging**, with only **$40 million** realized in the first half against a full-year target of **$150 million**, requiring more than doubling synergies in the second half, which may be aggressive given current market conditions.  **[CE_3396308_20]**

0068413348e67c73c64d2af4946a5c3a5b40cb478a098743c688b6803cb3a18a

- **Celanese expects moderate volume growth in the automotive sector**, particularly in China, supported by access to new customers and applications in electric vehicles (EVs) through the integration of the Mobility and Materials (M&M) business from DuPont. This strengthens their position across all platforms in auto, including applications with nylon in EVs.  **[CE_3396308_2]** **[CE_3396308_9]** **[CE_3396308_1]**
- **Synergy capture from the M&M acquisition is set to more than double in the second half**, with cost synergies expected to reach **$150 million** by year-end, up from **$40 million** in the first half. This is driven by actions taken on manufacturing footprint adjustments and functional integrations, with benefits rolling in as planned.  **[CE_3396308_20]**
- **Celanese is actively reducing debt**, having paid down **$500 million** in the second quarter and planning to pay down another **$500 million** in the third quarter, indicating strong cash generation and a focus on strengthening the balance sheet.  **[CE_3396308_3]**

a902e739dbb9d4c2318238b758910d5d716adaf57dc4f4420591d70ec7674cc7

- **Advantaged Acetic Acid Production Technology**: Celanese has an advantaged technology for acetic acid production, providing cost advantages and a strong competitive position. Their U.S. Gulf Coast acetic acid plant is believed to be the **lowest cost and lowest carbon acetic acid plant in the world today**.  **[CE_3405796_26]**
- **Focusing on High-Growth Markets and Applications**: The company is investing in high-growth sectors such as **electric vehicles**, **non-automotive applications**, **oil well pipes with flexible covers**, **high-performance athletic shoes**, and **electrical and electronics**. The demand for electricity is expected to **double over the next 5 years**, and Celanese is poised to benefit from the associated build-out of electrical infrastructure.  **[CE_3405796_21]**
- **Aggressive Footprint Optimization and Flexibility**: Celanese is **aggressively optimizing its asset footprint**, including integrating assets from the M&M acquisition, to enhance operational flexibility and respond quickly to customer needs. This positions the company to **capture opportunities and drive long-term growth**.  **[CE_3405796_24]**

32906b59b2e7a45d766acfb76d07456c033fc08e372150cc45e5b5a204b3c501

- Celanese anticipates significant EBITDA contributions from M&M synergies (**$150 million**) and the Clear Lake expansion (**$100 million**) in 2024, along with lower debt service costs due to substantial debt reduction.  **[CE_3388096_29]**
- The company expects Engineered Materials volumes to increase in the **second half of 2024** due to the end of destocking and the commercialization of their project pipeline, enhancing earnings.  **[CE_3388096_7]**
- Celanese is strengthening its acetyls business through downstream expansions, including **new VAE capacity in China** and **RDP debottlenecks**, aiming to stabilize and enhance earnings from this segment.  **[CE_3388096_15]**

bfc995b5a34a206a57860b2e4057bc9bae5ef67ceeca6d43fb678a8a758ee4b2

- **Celanese plans to temporarily reduce its quarterly dividend beginning in the first quarter of 2025** to support deleveraging efforts due to challenging macroeconomic conditions and recent demand deterioration affecting cash flow expectations.  **[CE_3405796_1]** **[CE_3405796_8]**
- **Significant debt maturities approaching in 2026 ($1.5 billion) and 2027 ($3.4 billion) may require heavy lifting to achieve the target of 3x net debt to EBITDA**, given the current glide path of EBITDA.  **[CE_3405796_23]**
- **Demand deterioration, particularly in the automotive sector, has led to unexpected inventory build-ups and production slowdowns**, impacting the company's ability to match production with demand and affecting cash flows.  **[CE_3405796_25]** **[CE_3405796_8]**

be5bc6b404e20ed0402948019bbd818b20f5b4dff995ef1b394e820632db7018

- **Celanese expects to achieve $150 million in synergies in 2024**, confident in delivering this even if demand trends sideways. The synergies come from footprint optimization ($50 million), transition to a single SAP platform, and cross-sell opportunities.  **[CE_3374397_10]**
- **Foundational level of earnings in the Acetyl Chain is $1.3 billion, expected to increase by $100 million in 2024** due to productivity gains from the Panther (Clear Lake acetic acid expansion) and CCU projects.  **[CE_3374397_14]**
- **Celanese is committed to deleveraging, targeting 3x leverage**, expecting to finish 2024 closer to this target and achieve it by 2025. Strong free cash flow is anticipated, with incremental net income of about **$300 million** in 2024, a working capital benefit of **$100 million to $150 million**, and lower CapEx by **$100 million to $150 million**.  **[CE_3374397_15]**

44b6ea92eefe670c672706c2082da728d0a05b836dc705b4783bb4f1dd21358a

1. **Dividend Cut and Deleveraging**  
   **Q:** Why did you reduce the dividend, and what's your deleveraging plan?  
   **A:** Due to challenging market conditions and reduced free cash flow in 2024, we are not deleveraging as quickly as intended. With uncertainty extending into **2025**, we determined that reducing the dividend is the most prudent and cost-effective way to achieve our goal of deleveraging to **3× net debt-to-EBITDA** as quickly as possible.  **[CE_3405796_2]** **[CE_3405796_5]** **[CE_3405796_8]** **[CE_3405796_10]** 

2. **Outlook for Engineered Materials**  
   **Q:** How do you view the earnings power of your EM business, and are impairments a concern?  
   **A:** Our long-term view of the EM business remains strong. Despite short-term challenges, we believe in the value of the M&M acquisition and our differentiated products. We tested goodwill and did not record an impairment, though we recognized a **$34 million** impairment on certain trade names, mainly **Zytel**.  **[CE_3405796_6]** **[CE_3405796_12]** **[CE_3405796_17]** 

3. **Cost Reduction Measures**  
   **Q:** What cost-cutting actions are you taking, and how will they impact 2025?  
   **A:** We are focusing on reducing costs, including an additional **$75 million** in SG&A reductions to align with current demand. These actions are intended to be sustainable even if demand recovers. Total cash spend on cost actions and synergies in 2025 will be similar to this year.  **[CE_3405796_7]** **[CE_3405796_9]** **[CE_3405796_11]** **[CE_3405796_23]** 

4. **Impact of Weak Markets**  
   **Q:** How have weak auto and China markets affected your performance and outlook?  
   **A:** The abrupt decline in demand, especially in automotive and industrial sectors, has pressured our earnings. European auto registrations fell **40%** from June to August, and conditions continue to worsen. We are adjusting our operations to match the current demand environment.  **[CE_3405796_4]** **[CE_3405796_10]** **[CE_3405796_25]** 

5. **Cash Flow and Debt Obligations**  
   **Q:** Can you meet your debt obligations, and how does the dividend cut help?  
   **A:** While we have sufficient cash for debt due next year, reduced free cash flow means we aren't deleveraging as quickly as planned. The dividend cut helps us stay on track with deleveraging to **3× net debt-to-EBITDA** and supports our commitment to maintaining an investment-grade rating.  **[CE_3405796_2]** **[CE_3405796_8]** **[CE_3405796_23]** **[CE_3405796_24]** 

6. **Potential Asset Sales**  
   **Q:** Are you considering asset sales to aid deleveraging?  
   **A:** Yes, we are actively pursuing divestitures where it makes sense, exploring multiple opportunities across regions and business segments, but timing is uncertain.  **[CE_3405796_2]** **[CE_3405796_11]** **[CE_3405796_22]** **[CE_3405796_28]** 

7. **Acetyl Chain Margins**  
   **Q:** What is the outlook for Acetyl Chain margins, and are they sustainable?  
   **A:** We believe margins in the Acetyl Chain are sustainable due to global trade flows, our advantaged technology, and cost position. We are leveraging our flexibility to maximize earnings despite market challenges.  **[CE_3405796_16]** **[CE_3405796_26]** **[CE_3405796_27]** 

8. **Guidance for Q4 and 2025**  
   **Q:** What is your guidance for Q4 and expectations for 2025?  
   **A:** For Q4, we expect significant impacts from seasonality, destocking, and inventory actions, reducing EPS to approximately **$1.25**. For 2025, there is significant uncertainty, but we are focusing on cost reductions, synergy delivery, and growing our project pipeline.  **[CE_3405796_7]** **[CE_3405796_13]** **[CE_3405796_14]** **[CE_3405796_15]** 

9. **Clear Lake Plant Contribution**  
   **Q:** How is the Clear Lake plant contributing to earnings?  
   **A:** Clear Lake contributed about **$10 million** in Q1 and **$20 million** in Q3. We expect additional benefits in Q4 and anticipate a full-year benefit of around **$100 million** next year.  **[CE_3405796_3]** **[CE_3405796_31]** 

10. **Forecasting Amid Market Changes**  
    **Q:** How are you adapting your forecasting amid changing customer behaviors?  
    **A:** We are remaining flexible, adjusting production to match demand, and optimizing our operations. We're enhancing our forecasting methods to respond to rapid market changes and shifts in customer buying patterns.  **[CE_3405796_25]** **[CE_3405796_30]** 

dbebd29ca34622fc2187306f7bb4ba24ff347f5953dce580458d0919092b4a1e

1. **Full-Year Guidance Confidence**  
   **Q:** Can you meet full-year guidance without macro improvement?  
   **A:** Yes, we expect to hit our full-year numbers through controllable actions like **$150 million** in M&M synergies, benefits from the Clear Lake expansion, and reduced turnaround costs, without relying on macroeconomic recovery.  **[CE_3388096_3]** 

2. **Macroeconomic Conditions**  
   **Q:** What's the current macro outlook across regions?  
   **A:** The macro environment remains unchanged; destocking has ended, China domestic demand is steady but exports lag due to weak Europe, U.S. demand is steady, and Europe is lackluster without expected seasonal uplift; construction remains notably weak.  **[CE_3388096_1]** 

3. **Chinese Acetyls Capacity Impact**  
   **Q:** Is new Chinese capacity more disruptive than expected?  
   **A:** Yes, new acetic acid capacity in China is more disruptive because downstream demand hasn't developed as planned due to delays, but we view this as temporary until demand normalizes.  **[CE_3388096_2]** 

4. **Engineered Materials Pricing Pressure**  
   **Q:** Where are you seeing pricing pressure in EM?  
   **A:** We're facing pricing pressure in standard-grade materials, particularly in nylon, due to mismatched pricing and cost structures, but we're focusing on upgrading our mix through pipeline development.  **[CE_3388096_4]** 

5. **Engineered Materials Volume Outlook**  
   **Q:** Do you need EM volumes to improve to hit outlook?  
   **A:** We expect EM volumes to be relatively flat year-over-year in Q2 and to increase in the second half due to the end of destocking and the commercialization of our pipeline, which supports our outlook without relying on market recovery.  **[CE_3388096_7]** 

6. **M&M Synergies Contribution**  
   **Q:** How will M&M synergies uplift earnings?  
   **A:** M&M synergies are expected to provide a **$150 million** lift this year, heavily weighted in the second half, driven by actions like the shutdown of nylon 66 in Germany and SAP integration.  **[CE_3388096_13]** **[CE_3388096_20]** 

7. **Free Cash Flow and Tax Payment**  
   **Q:** What is the outlook for free cash flow and cash taxes?  
   **A:** We anticipate free cash flow similar to last year, with **$300 million** in cash taxes this year, including a one-time **$90 million** transfer tax in Q2 related to debt redomiciliation, which we expect to recoup in future years.  **[CE_3388096_14]** 

8. **Potential Asset Rationalization**  
   **Q:** Will you rationalize acetyl assets after Clear Lake expansion?  
   **A:** No, we believe our current acetyls footprint provides optionality and flexibility, meeting regional demands efficiently; we have no plans to rationalize assets.  **[CE_3388096_15]** 

9. **Automotive Market Dynamics**  
   **Q:** How does the shift in auto industry impact EM?  
   **A:** We're well-positioned as long as consumers buy vehicles; EVs offer **10%** more content for us, hybrids offer **20%**, and we're happy with ICE vehicles too, providing significant opportunities.  **[CE_3388096_26]** 

10. **Nylon Variable Costs**  
    **Q:** What caused higher variable costs in nylon?  
    **A:** Higher variable costs are due to purchased methanol flowing through our results, as we produced less of our own methanol this quarter, impacting the Palm business.  **[CE_3388096_10]** 

11. **Labor and Transportation Costs**  
    **Q:** Are rising labor and transportation costs a concern?  
    **A:** While we've seen pressures on labor costs, we've managed them through productivity measures and aren't seeing significant pressure for the second half; transportation costs remain consistent with previous levels.  **[CE_3388096_24]** 

53e2838b90d7820326c5dc19ba636b0e7c859b99ac7054130f3441dc43af2e75

1. **Force Majeure Impact**  
   **Q:** What is the status and cost impact of the Clear Lake force majeure?  
   **A:** The force majeure at Clear Lake is still ongoing, but we expect to lift it sometime this quarter.  **[CE_3396308_5]**  The outage cost about **$35 million in Q2** and will have an additional **$5–$10 million impact in the next quarter**, totaling around **$45 million for the year**.  **[CE_3396308_5]** 

2. **Second-Half and 2025 Outlook**  
   **Q:** How confident are you in achieving second-half guidance amid potential macro headwinds?  
   **A:** We don't expect market conditions to change materially and are focusing on factors within our control, such as synergy capture and productivity improvements.  **[CE_3396308_3]**  For 2025, we'll continue self-help initiatives, including further synergies and full productivity from Clear Lake, which should lift our results.  **[CE_3396308_4]** 

3. **Synergy Realization**  
   **Q:** What gives you confidence in achieving the $150 million synergy target this year?  
   **A:** The actions we've taken, including integrating our manufacturing footprint and commercial teams, position us to achieve more than double the first-half synergies in the second half.  **[CE_3396308_20]** 

4. **Raw Material Impact on Margins**  
   **Q:** How are raw material costs affecting your margins and earnings?  
   **A:** We had anticipated up to **$150 million** in pull-through from lower raw materials but will likely realize only about **half** of that this year due to compressed margins in POM and nylon.  **[CE_3396308_11]** 

5. **Market Conditions in Key Segments**  
   **Q:** What are you seeing in key markets like auto and construction?  
   **A:** The automotive market is stable to slightly up, with expected growth in China, supporting moderate volume increases  **[CE_3396308_1]** **[CE_3396308_9]** **[CE_3396308_27]** . Construction and coatings demand remains stable at very low levels, and we are not anticipating a seasonal uptick.  **[CE_3396308_9]** 

6. **Acetyl Chain Dynamics**  
   **Q:** How is the acetyl chain market responding to new capacity and your production adjustments?  
   **A:** Despite the Clear Lake outage, we didn't see much price response, reflecting weak demand in construction and coatings.  **[CE_3396308_13]**  New acetic acid capacity in China has not been fully absorbed due to low downstream demand, particularly in EVA for solar panels.  **[CE_3396308_32]** 

7. **Capital Allocation and Debt Reduction**  
   **Q:** How will debt reduction and cash flow trends impact interest expenses?  
   **A:** We're reducing debt by **$500 million** in Q2 and another **$500 million** in Q3.  **[CE_3396308_16]**  We expect a slight decline in interest expense in the second half and further reductions next year as we pay down debt  **[CE_3396308_10]** **[CE_3396308_16]** .

8. **Divestiture Opportunities**  
   **Q:** Are you considering divestitures similar to the food ingredients sale?  
   **A:** We are actively exploring multiple opportunities but don't comment on specific assets. We're open to divestments if assets are worth more to someone else.  **[CE_3396308_15]** 

9. **Nylon Business Dynamics**  
   **Q:** How is the nylon business performing amid market pressures?  
   **A:** Despite price pressures in raw nylon polymer, our strategy of sourcing flexibility mitigates the impact.  **[CE_3396308_6]**  We're focusing on specialty applications and have closed over **400 projects** in the first half, aiming for **greater than 25% EBITDA** in any economic environment  **[CE_3396308_24]** **[CE_3396308_29]** .

10. **Free Cash Flow Outlook**  
    **Q:** Are there factors affecting free cash flow in 2025 compared to 2024?  
    **A:** Next year's cash taxes will be significantly lower, and cash interest will decrease as we pay off debt. CapEx will remain similar while we deleverage, providing positive cash flow drivers in 2025.  **[CE_3396308_10]** 

cb417d1b9043b65ee5746e62a77f58bbd41e5d698cc178e212d6917e5d58cba6

1. **M&M Business Outlook**  
   **Q:** What are expectations for M&M earnings and synergies in 2024?  
   **A:** Celanese anticipates a significant uplift in M&M earnings in 2024, with first-quarter EBITDA expected to be the highest since the acquisition.  **[CE_3374397_1]**  They project **$150 million** in synergies for 2024, with about **40%** impacting M&M.  **[CE_3374397_4]**  Despite challenging demand, they are confident in delivering these synergies through footprint optimization, SAP integration, and cross-selling opportunities.  **[CE_3374397_10]** 

2. **Input Cost Tailwinds**  
   **Q:** What is the outlook for input costs in 2024?  
   **A:** Lower raw material and fixed costs are expected to flow through in 2024, providing a tailwind to earnings.  **[CE_3374397_3]**  Variable margins are improving, particularly in the nylon business, as they begin to realize the benefits of lower-cost inventory.  **[CE_3374397_9]** 

3. **Acetyl Chain Earnings**  
   **Q:** How is the Acetyl Chain expected to perform post-expansion?  
   **A:** The foundational earnings level for the Acetyl Chain is **$1.3 billion**, with an expected increase of **$100 million** in 2024 from productivity gains due to the Clear Lake expansion.  **[CE_3374397_11]**  The company has meaningfully exceeded prior targets in Acetate Tow, contributing to stabilized chain earnings.  **[CE_3374397_11]** 

4. **Deleveraging and Free Cash Flow**  
   **Q:** What is the plan for deleveraging and free cash flow generation?  
   **A:** Celanese is focused on generating free cash flow to reduce leverage to **3x** by 2025.  **[CE_3374397_15]**  They anticipate incremental net income of around **$300 million** in 2024, with working capital benefits and lower CapEx contributing to free cash flow.  **[CE_3374397_15]** 

5. **SAP Integration Benefits**  
   **Q:** How is the SAP implementation impacting the business?  
   **A:** The SAP integration was completed smoothly, involving over **1,600** team members.  **[CE_3374397_2]**  This final major integration step is expected to unlock synergies, facilitate better data access, and eliminate dependence on DuPont's TSA.  **[CE_3374397_2]** 

6. **Auto Industry Exposure**  
   **Q:** What is the outlook for auto builds and exposure to China autos?  
   **A:** Celanese projects auto builds to be flat, with their business growing **150 to 200 basis points** above builds.  **[CE_3374397_12]**  They are largely agnostic to the mix between EVs and ICE vehicles, and about **25%** of sales are exposed to China.  **[CE_3374397_12]** 

7. **Nylon Pricing and Margins**  
   **Q:** Are there improvements in nylon pricing and margins?  
   **A:** Nylon pricing and variable margins have stabilized and are improving as lower raw material costs flow through.  **[CE_3374397_9]**  Margins are expanding in the nylon business, and the company is confident these levels are sustainable.  **[CE_3374397_13]** 

8. **Supply Chain Disruptions**  
   **Q:** How are supply chain disruptions affecting the business?  
   **A:** The company notes less material movement from Asia to Europe, indicating improved local demand in China.  **[CE_3374397_7]**  While disruptions in the Red Sea have lengthened supply chains, Celanese's global network mitigates significant impact.  **[CE_3374397_20]** 

9. **Potential Impairment in M&M**  
   **Q:** Are there any impairments expected in the M&M business?  
   **A:** Currently, Celanese has not identified any indicators suggesting an impairment in the M&M business.  **[CE_3374397_6]** 

10. **Portfolio Management**  
    **Q:** Are there plans for portfolio changes or divestitures?  
    **A:** While focused on integrating M&M, Celanese remains opportunistic and will pursue divestitures if assets are deemed more valuable to others.  **[CE_3374397_16]** 

ccf7f20921a0b48f00c980f85ad49353600489ccb2b5238b70d3a7b5eb0caed5

- **Weak Global Demand Limiting Pricing Power**: Despite a competitor outage in acetyls, Celanese saw only a small and short-lived benefit due to low global demand. This indicates limited pricing power and persistent market weakness.  **[CE_3388096_19]**
- **Significant Decline in Engineered Materials Volumes**: Engineered Materials volumes decreased by **12% year-over-year**, outpacing the **1% decline in global auto production** and low single-digit declines in coatings demand. This suggests potential market share loss or underlying issues in sales.  **[CE_3388096_5]**
- **Overcapacity and Delayed Recovery in China's Acetic Acid Market**: Excess supply in China's acetic acid market, coupled with delayed downstream startups and reliant on increased exports, means **several more quarters before significant demand improvement**. This could lead to continued oversupply and margin pressure.  **[CE_3388096_25]**

49d8d4b6255278256e1507e6c17c988aac83e1e4e7ef9cf2f8cf266b5d8cd5ce

Celanese Corp (CE)

Financials