Outline

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Preliminary Results - 1999
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Dennis Millard
Group Finance Director
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Introduction

• Transformation process during 1999
• Disposals during the year Fibers, Zimco,
  Tam, Entek and Polyflex
• To be disposed Neptco, Moldings and Focas
• Focus on results of ongoing operations
  Electronics, Ceramics and Precious Metals
• Acquisitions Premier, Enthone, Plaskon and
  others
• Group Results Earnings, Cash Flow, Exceptional
  Items and Financial Condition

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Financial Highlights of 1999

• Group - Profit before Tax149m for year - in
  line with expectationsStrong H2 growth - up 18
• Ongoing Operations - Operating Profit10 for
  year39 for H2
• Positive Free Cash Flow 5th year in succession
• 900m acquisitions disposals concludedNet cash
  outlay of 524m
• Borrowings rise interest cover in line with
  target

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Ongoing Operations
Trading Results
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Sales Ongoing Operations
(at 1999 exchange rates)
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Divisional Sales Ongoing Operations
(at 1999 exchange rates)
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Sales Ongoing Operations
Growth vs Previous Year
(at 1999 exchange rates)
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Operating Profit Ongoing Operations
(at 1999 exchange rates)
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Divisional Operating Profit Ongoing Operations
(at 1999 exchange rates)
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Operating Profit Ongoing Operations
Growth vs Previous Year
(at 1999 exchange rates)
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Return on Sales Ongoing Operations
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Return on Investment Pre-Tax
(after tax - 9)
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Group Results
Profit, Cashflow, Exceptionalsand Financial
Condition
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Group Operating Profit
(Before goodwill amortisation exceptional
items)
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Group Profit Before After Tax
(before goodwill amortisation exceptional
items)
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Shareholder Returns
(before goodwill amortisation exceptionals)
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Operating Exceptionals Costs
(excludes asset write-offs 1998 - 41m 1999 -
10m)
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Operating Exceptionals Benefits
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Operating Cash Flow 1999 (millions)
(before rationalisation costs)
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Free Cash Flow 1999 (millions)
(before rationalisation costs)
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Transactions
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Borrowings Interest Cover
Net Borrowings
Interest Cover
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Borrowings Interest Cover
Net Borrowings
Interest Cover
(Premier, Enthone Plaskon w.e.f. January 1999)
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Summary

• Group - Profit before Tax149m for year - in
  line with expectationsStrong H2 growth - up 18
• Ongoing Operations - Operating Profit10 for
  year39 for H2
• Positive Free Cash Flow 5th year in succession
• 900m acquisitions disposals concludedNet cash
  outlay of 524m
• Borrowings rise interest cover in line with
  target

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Stephen Howard
Group Chief Executive
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Agenda

• Process of transformation
• Acquisitions - update
• Recent current trading environment
• Forward priorities

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Highlights

• Groups transformation substantially complete
• Disposal of Focas advanced Neptco Moldings
  disposal process underway
• Integration of acquisitions on target
• Strong H2 1999
• Positive free cash flow, despite rationalisation
  spend
• e-business opportunities being crystalised

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Process of Transformation
Cookson in Q4 1997
Electronics
Engineered Products
Plastics
Ceramics
Advanced Refractories
CMC
Precious Metals
Specialty Fibers
Zimco
Telecom Products

• 4 divisions
• 5 businesses
• 9 markets
• Over 100 companies

Specialty Moldings
Plastic Additives
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Process of Transformation
Cookson in Q1 2000
Electronic Materials
Ceramics
PreciousMetals
Materials technology process improvements for
industry worldwide
Fewer, Stronger, Leaner
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Acquisitions - Update
Premier Refractories

• Integration proceeding to plan
• 20 million in cost savings initially identified
  for 2001 and beyond
• Additional 10m of cost savings identified to
  impact from 2001

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Vesuvius Premier Refractories

• One of only two world players
• Market leadership at high-tech, high margin end
  of market
• Customer reaction favourable
• Many opportunities for expanded customer
  relationships identified

World-class refractories group, with strong
management, unparalleled breadth of product range
and service capability
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Acquisitions - Update
PC Fab Enthone-OMI/Dexter

• Integration process commenced with full
  integration by end of 2000
• 12m savings to accrue from 2001 onwards
• Positive reaction from Electronics market
• Enhances service capability geographic reach

Strong management, world-class product line,
and critical mass to deliver enhanced process
solutions
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Acquisitions - Update
Assembly Materials Plaskon IRI
Plaskon integration complete
Leverages high growth BGA position, and equipment
product lines, to provide semiconductor packaging
solutions
IRI integration complete
Positions Cookson as global leader in stencils
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Recent and Current Trading
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Q4 1999 Trading Environment
Electronics
General improving trend continued
Ceramics
Start of recovery in steel industry
Precious Metals
Market conditions remained sound
An increased momentum in our core markets
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Q1 2000 Trading Environment Electronics
Polyclad Alpha-Fry Technologies
Continuation of buoyant Q4 trading conditions
Speedline Technologies
Order backlog remains strong
PCB shipments
US - 7 growth expected in 2000 Global - growth
7-12 (by value) to 2004
Source Henderson Ventures
Source Prismark
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Q1 2000 Trading Environment Ceramics
Steel sector
- Marked improvement in demand in Americas,
continental Europe and Asia - Exciting
developments emerging in thin slab and strip
casting technologies
Foundry sector
- Remains steady
Glass sector
- Remains soft, due to delayed furnace
refurbishments
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Q1 2000 Trading Environment Precious Metals
Jewellery
- US findings up over record 1999 - Mill business
in line with previous normalised trading levels
Precision Products
- Trading well up over 1999
Precious Metal Consignment Fees
- Expenses higher, but expected to decline as
gold lease rates fall
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Forward Priorities
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Forward Priorities
Operational and technological excellence
through

• realisation of benefits from transformation
  programme
• continuous re-invention within our core
  businesses
• executing e-business opportunities

delivering top and bottom line growth
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Cookson 4 Phase e-Business Development
Strategy
Phase 1 Presence
Phase 4 Transformation
Phase 2 Interaction
Phase 3 Transaction
Brochure-ware General market information
Product process specification Catalogues
Personalisation
E-commerce EDI support Databases Customer se
lf-service Real time access
Supply chain optimization Customer integration
Industry specific application engines New
business models
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Cookson 4 Phase e-Business Development
Strategy
Phase 1 Presence
Phase 4 Transformation
Phase 2 Interaction
Phase 3 Transaction
Product process specification Catalogues
Personalisation
E-commerce EDI support Databases Customer se
lf-service Real time access
Supply chain optimization Customer integration
Industry specific application engines New
business models
Award winning Group site
Customer-facing sitesall sectors
New industry portal addresses registered
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Cookson 4 Phase e-Business Development
Strategy
Phase 1 Presence
Phase 4 Transformation
Phase 2 Interaction
Phase 3 Transaction
E-commerce EDI support Databases Customer se
lf-service Real time access
Supply chain optimization Customer integration
Industry specific application engines New
business models
Award winning Group site
Speedline parts catalogues
Customer-facing sitesall sectors
US findings catalogues
New industry portal addresses registered
Online CRM
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Cookson 4 Phase e-Business Development
Strategy
Phase 1 Presence
Phase 4 Transformation
Phase 2 Interaction
Phase 3 Transaction
Supply chain optimization Customer integration
Industry specific application engines New
business models
E-learning solutions for CED customers
Award winning Group site
Speedline parts catalogues
Customer-facing sitesall sectors
US findings catalogues
cooksongold.com online shop
New industry portal addresses registered
On-line ordering
Online CRM
Major ERP investment
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e-Business Electronics Case Study
FryTechnology
AlphaMetals
e-business Initiatives
Polyclad
Speedline



Business-to-Business (B2B) Electronic
On-Line Ordering Customer Self Service
Sector TopInitiatives
?
?
?
?
?
?
On-Line Customer Relationship Management
?
?
Employee Intranet

?
Engineering to Order (Stencils)
?
Automated PCB Design/Configuration Tool
One additional Initiative for procurement and
vendor interface will be surfaced by the
Divisional Procurement Team headed by Chris
Benincasa
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On-Line Technical Service Expert System
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Technical Documentation On-Line
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Remote Service/Diagnosis On-Line
Automated/Advanced Planning Scheduling Supply
Chain Management
?
?
Vendor Managed Inventory (VMI)
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Cookson Performance Solutions

• Trademark CPS WebWare
• Industrys first internet-based interactive
  multi-media training system for PCB assemblers
• Fast efficient new techniques in training
  customers employees, enhancing Cooksons
  function as a process solution provider
• Showcasing 10 training modules at Apex trade fair

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Cookson 4 Phase e-Business Development
Strategy
Phase 1 Presence
Phase 4 Transformation
Phase 2 Interaction
Phase 3 Transaction
Supply chain optimization Customer integration
Industry specific application engines New
business models
E-learning solutions for CED customers
Award winning Group site
Speedline parts catalogues
Customer-facing sitesall sectors
US findings catalogues
cooksongold.com online shop
New industry portal addresses registered
On-line ordering
Online CRM
Major ERP investment
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Cookson 4 Phase e-Business Development
Strategy
Total e-business acceptance
Phase 1 Presence
Phase 4 Transformation
Phase 2 Interaction
Phase 3 Transaction
E-learning solutions for CED customers
Award winning Group site
Speedline parts catalogues
Customer-facing sitesall sectors
US findings catalogues
TheOpportunity
cooksongold.com online shop
New industry portal addresses registered
On-line ordering
Online CRM
Major ERP investment
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Cooksons e-Business Strategies will

• Increase

Reduce

• Supply chain velocity
• Productivity
• Customer satisfaction
• Reach into new existing markets
• Top line growth

• Costs
• Time to market

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Summary

• Cookson now substantially transformed
• Three growth businesses
• Improved trading conditions continuinginto 2000
• Rationalisation and integration programmes
  delivering
• Strong competitive positioning in e-business
• Total focus on delivering results

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Operational excellencedelivering consistent,
sustainable, profitable growth
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