Attached files

file filename
8-K - FORM 8-K - C H ROBINSON WORLDWIDE INCd415561d8k.htm
EX-99.1 - PRESS RELEASE DATED SEPTEMBER 25, 2012 - C H ROBINSON WORLDWIDE INCd415561dex991.htm
Phoenix International Acquisition
Conference Call
September 25, 2012
John Wiehoff, Chairman & CEO
Chad Lindbloom, CFO
Exhibit 99.2


2
Safe Harbor Statement
Except for the historical information contained herein, the matters set forth in this presentation and the
accompanying earnings release are forward-looking statements that represent our expectations, beliefs,
intentions or strategies concerning future events. These forward-looking statements are subject to
certain risks and uncertainties that could cause actual results to differ materially from our historical
experience or our present expectations, including, but not limited to such factors as changes in
economic conditions, including uncertain consumer demand; changes in market demand and pressures
on the pricing for our services; competition and growth rates within the third party logistics industry;
freight levels and increasing costs and availability of truck capacity or alternative means of transporting
freight, and changes in relationships with existing truck, rail, ocean and air carriers; changes in our
customer base due to possible consolidation among our customers; our ability to integrate the
operations of acquired companies with our historic operations successfully; risks associated with
litigation and insurance coverage; risks associated with operations outside of the U.S.; risks associated
with the potential impacts of changes in government regulations; risks associated with the produce
industry, including food safety and contamination issues; fuel prices and availability; the impact of war on
the economy; and other risks and uncertainties detailed in our Annual and Quarterly Reports. In addition
such forward-looking statements relate to the expected closing date of the acquisition and the
anticipated benefits of the acquisition. Actual results could differ materially from those projected in these
forward-looking statements as a result of (i) unexpected delays in obtaining regulatory approvals; (ii) the
inability of either C.H. Robinson or Phoenix to satisfy the conditions to the consummation of the
acquisition; (iii) unforeseen difficulties in integrating the operations of Phoenix; or (iv) unanticipated
negative reaction to the proposed transaction by customers or suppliers.
Any forward-looking statement speaks only as of the date on which such statement is made, and we
undertake no obligation to update such statement to reflect events or circumstances arising after such
date. All remarks made during our financial results conference call will be current at the time of the call
and we undertake no obligation to update the replay.


3
Call Agenda
Phoenix International overview
Transaction summary
Strategic rationale


4
Phoenix International
Global Forwarding services –
Ocean, Air, and Customs
Approximately $807 million annual gross revenues; $161
million
annual
net
revenues
(1)
Approximately 2,000 employees; 76 offices in 15 countries
Headquartered in Chicago, IL
860 employees in US; 1,030 in Asia
15,000 customers
Founded in 1979; privately held
Strong record of growth: 20% 5-year operating income
CAGR
(1) Fiscal year ending June 30, 2012.


5
Transaction Summary
Purchase
Price:
$635
million
for
100%
stock
purchase
of
Phoenix
International
90% cash and 10% newly-issued CHRW stock
Financed by existing cash and a new credit facility
Transaction expected to be modestly accretive in year one
Approvals and Timing
Subject to regulatory approvals and customary closing conditions
Expected closing Q4 2012


6
Strategic Rationale
High quality, well-run growth business
Strong track record
Diverse customer base
Strengthens C.H. Robinson’s global forwarding service offering
Expanded network
Scale and density
Leverage collective technology investments
Competitively positioned
Top-line synergies
Cross selling
Aggregating volumes
People
Talented senior leadership will continue in significant management roles
Motivated employees with common culture