FLEETWOOD LIMITED — Call Transcript 2015

Aug 30, 2015

Teleconference 31 August 2015 11:30am AWST, 1:30pm AEST Dial-in 1800 123 296, Conference ID 9023 5990

Group Structure

Industry leaders, # 1 or 2 in markets

Accommodation

Division

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Recreational Vehicles Division

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Recreational vehicles, parts & accessories

• Major manufacturing facilities in Qld, Vic, WA, NSW

• Osprey village, South Hedland

• Searipple village, Karratha

• Camec – caravan parts & accessories

• Fleetwood RV – Coromal & Windsor caravans

• Flexiglass – commercial vehicles canopies & trays

• Bocar – ute trays & accessories

2

Overall Themes for 2015

• Strong education demand in Victoria

• Restructuring and an acquisition improved profitability at Flexiglass

• Rio Tinto agreement resulted in increased occupancy at Searipple

• Significant headway made in entering affordable housing market

• Final outcome on Osprey commercials resulted in repayment of debt

… however

• Strong competition for remaining resource projects in WA

• Poor performance in caravan manufacturing

3

Accommodation Division

Growth in education and affordable housing. Competition strong for remaining projects in mining

Affordable Housing

• Osprey Project

• Two year exclusive supply agreement with Gateway Lifestyle

  • Opportunities in WA

Resources

• Rio Tinto preferred supplier agreement, Searipple occupancy presently 57%

• Subdued WA market and increased competition

Education

• Significant demand from Victorian Transfer Program

• Strong demand for new buildings in Victoria

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4

Osprey

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Gateway

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Recreational Vehicles Division

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Fleetwood RV (Coromal and Windsor caravan brands)

• Improving design and manufacturing process

• Aligning fixed costs with volume

• Senior management change

Camec

• Competitive pressure

• Continued to develop new Asian sourced products

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Flexiglass

• Benefited from Bocar acquisition

• Restructuring has improved profitability

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Silver Series Element

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8

Financial Performance

Increased group EBIT despite tough market conditions

Group Revenue ($m)

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----- Start of picture text ----- 227.6188.4 176.2185.3144.9212.1 194.3 190.3148.6 157.02011 2012 2013 2014 2015----- End of picture text -----

MA EBIT ($m)

MA Revenue ($m)

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----- Start of picture text ----- 157.9 38.9124.2 126.3 108.5 89.3 33.916.7134.3 125.2 94.4 121.2 100.3 27.3 37.3 14.9 6.3 9.7 12.6 5.92011 2012 2013 2014 2015 2011 2012 2013 2014 2015----- End of picture text -----

NPAT ($m)

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----- Start of picture text ----- 27.527.124.3 27.7 7.81.48.94.2 3.92011 2012 2013 2014 2015----- End of picture text -----

RV Revenue ($m)

RV EBIT ($m)

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----- Start of picture text ----- 69.5 8.364.1 67.657.6 55.51.877.4 68.7 53.8 69.0 56.7 10.15.10.1 -1.0-4.8 -1.2 -4.02011 2012 2013 2014 2015-3.02011 2012 2013 2014 2015----- End of picture text -----

First half Second half

Results above exclude impairment loss & loss from discontinued operations

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Financial Performance

$42m in operating cash flows, debt repaid

Operating Cash Flows ($m)

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----- Start of picture text ----- 29.736.5 19.547.6 12.419.222.715.3 18.56.22011 2012 2013 2014 2015----- End of picture text -----

Net (Debt) Cash ($m)

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----- Start of picture text ----- 13.0 16.5 (11.7) (32.0) (45.6) (56.0) (55.9) (63.3) 1H12 2H12 1H13 2H13 1H14 2H14 1H15 2H15----- End of picture text -----

Debt was repaid on completion of the Osprey transaction in July 2015.

First half

Second half

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Outlook

Manufactured Accommodation

Affordable housing

• Gateway volume in line with expectation

• Opportunities in WA and NSW

Recreational Vehicles

Component parts and accessories

• Competitive environment remains challenging

• Asian supply increasing – level playing field

• Synergies from Bocar acquisition

Mining

Caravan manufacturing

• Sector volume is low and competition strong

• Visibility on Searipple utilisation

• Turnaround expected to take time

• New Products

Education

• Reappointment to Victorian panel

  • Development of dealer network, particularly NSW

  • Focus on manufacturing efficiency and fixed costs

• Funding commitments from Vic government provide visibility

11

Questions

12