2025 Growth Outlook
Q: What does modest underlying growth and innovation mean for 2025 volumes?
A: Eastman expects modest market growth, accelerated by innovation, leading to a substantial EPS improvement in 2025. "

Methanolysis EBITDA Impact
Q: How will challenges in methanolysis affect EBITDA next year?
A: About two-thirds of the EBITDA shortfall is due to startup costs from low uptime, and one-third from lower volumes due to slower product launches; improvements are expected next year. "

Cost Savings Plans
Q: Where are you cutting costs beyond productivity, and impact in '25?
A: Eastman is optimizing operations and product complexity, shutting down certain facilities, and improving energy efficiency to drive costs below inflation, positively impacting 2025. "

Texas Plant Update
Q: What's different about the Texas plant compared to Kingsport?
A: The Texas plant incorporates Kingsport learnings for lower construction costs; it includes added scope like new polymer lines and decarbonization efforts, supported by $375 million DOE funding and $70 million Texas tax breaks, aiming for a 12% return. "

France Project Status
Q: What's the latest on the France methanolysis project?
A: Progress is made on feedstock sourcing and permits, but lacking customer contracts due to EU policy uncertainties; the project is on hold until contracts are secured. "

Fibers Business Outlook
Q: How are new capacities affecting Fibers, and any asset repurposing?
A: Eastman expects Fibers to stay stable over the next three years; they're repurposing assets to support Naia™ textile growth and Aventa™ food packaging; customer focus remains on supply security. "

2025 Operating Leverage
Q: Will operating leverage benefits continue into 2025?
A: Eastman anticipates further operating leverage in 2025, particularly from stable operations at Kingsport methanolysis, which will contribute to earnings growth.

Inventory Build and Cash Flow
Q: Why reduce free cash flow due to strategic inventory build?
A: Building inventory in polyester and cellulosics to prepare for 2025 growth, while being capital efficient; this supports new product launches like Aventa™. "

Advanced Materials Demand
Q: What's happening with demand and margins in Advanced Materials?
A: Auto interlayers see high single-digit volume growth, outperforming the market due to trends like larger sunroofs and laminated side windows; films are growing but not as fast; Specialty Plastics has modest growth. "

Volume/Mix Improvements
Q: Where did you see the 4% sequential volume/mix growth in Q3?
A: Growth came from heat transfer fluids and coatings globally in AFP; AM was flat but Tritan™ performed well; Chemical Intermediates sold more volume after plant shutdowns. "