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Updates and increases financial outlook for 2021

Amarin-Supported Research and Analyses from Academic Collaborators to Be Featured in Seven Presentations, Including REDUCE-IT® Heart Failure and Additional Analyses from EVAPORATE

AeroFarms Launches New Elevated Branding for Corporate and Retail Expansion

AeroFarms Recognized by Fast Company’s World Changing Ideas for 4^th Year in a Row

NEWARK, N.J.–(BUSINESS WIRE)–
AeroFarms, a certified B Corporation and leader in indoor vertical farming, today announced a new brand identity for AeroFarms and the rebranding of its Dream Greens® retail brand to AeroFarms^®, uniting its mission and activities under one fresh, powerful identify that celebrates its leadership for indoor vertical farming and a brighter future for all.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20210504005716/en/

Since 2004, AeroFarms has been the world trailblazer for technology-enabled controlled environment agriculture and has won over 50 awards for its leadership for innovation, sustainability, and food — including being honored today by Fast Company for its World Changing Ideas for the 4^th year in a row. Honoring its legacy as farmers and agriculture innovators, AeroFarms’ mission today is bigger and bolder than ever: to grow the best plants possible for the betterment of humanity, using proprietary aeroponics and indoor vertical farming technologies to solve agriculture’s biggest challenges and grow the most delicious produce for its communities.

The blue and green colors of the new AeroFarms logo represent the core elements of growing – water and plants – as well as AeroFarms’ environmental stewardship of Mother Earth, that includes using up to 95% less water and zero pesticides versus traditional and organic field farming. The unique floating “E” design represents AeroFarms’ expertise in indoor vertical farming and continued work to raise the bar today and for generations to come for agriculture and business overall. Confident and assertive, the lettering is a modern Gotham font in all capitals that is very straightforward with an engineering quality that speaks to AeroFarms’ leadership and science-driven history while still being sophisticated. In essence, the font sensibility reflects AeroFarms’ bold positioning for years to come. AeroFarms’ expertise in plant biology and the broader farming industry is captured further in its new tagline Agriculture, Elevated.™

AeroFarms starts by selecting the most flavorful varietals of microgreens and baby greens, then perfects them in its proprietary indoor vertical farms for optimal quality, yield, color, nutrition, texture, and taste. In fact, AeroFarms has trademarked Vertical Farming, Elevated Flavor™ to highlight to consumers not only where and how their food is grown, but also more importantly, the key growing benefits that AeroFarms uniquely brings to the market, setting a new culinary standard with millions of data points to prove it.

AeroFarms is able to grow its kale to be sweeter and its arugula to be perfectly peppery, and the Company has developed its signature FlavorSpectrum™ to represent the breadth of flavors and hundreds of varieties of leafy greens that it is able to grow. AeroFarms’ team of experts from horticulturists to engineers to data scientists to nutritionists paired each specific tasting note with a representative color to bring the FlavorSpectrum™ philosophy to life. Across its leafy greens packaging line, the cool blue tones represent sweet and mellow notes, while the intense reds represent bold and zesty flavors.

In addition, AeroFarms’ new packaging design for its sealed tray that is made with 40% less plastic than a traditional clamshell, was developed with rounds of primary consumer research and collaboration with key selling partners. The breakthrough packaging design boasts the largest clear window in the entire packaged salads category. As a result, the leafy greens are showcased, allowing the product to be the hero to signal the ultimate in freshness and flavor. Major consumer attributes like sustainably grown indoors, no pesticides ever, locally grown, no washing needed, and non-GMO are highlighted in a clean presentation for the consumer, and AeroFarms’ expertise in flavor is brought to life through its descriptive product tasting notes and its “Taste our Difference” invitation to the consumer. AeroFarms’ leadership in authenticity and transparency (also represented by the clear window) is reinforced by the grown with purpose messaging and by the logo for Certified B Corporation, that provides a scorecard on both environmental and societal factors.

The new elevated AeroFarms branded leafy greens will continue to be available at Northeast Whole Foods Market and ShopRite locations, and online via FreshDirect and Amazon Fresh. Baldor will continue to serve as the brand’s primary retail and food service distribution partner in the Northeast.

“Now more than ever, customers want to have an emotional and values-based connection to their food. They want to know and understand where their food comes from, how it’s grown and what it stands for,” said David Rosenberg, Co-Founder and Chief Executive Officer. “We are excited to rollout the new look of our namesake brand with the same delicious, sustainably grown local greens that consistently win on quality, texture, and flavor. The AeroFarms brand further connects our customers to our team of growers and plant scientists, and our leading sustainable farming technology platform, that yields annual productivity up to 390 times greater than traditional field farming, while using up to 95% less water and zero pesticides.”

AeroFarms also recently announced the groundbreaking of its next commercial indoor vertical farm in Danville-Pittsylvania County, Virginia. AeroFarms’ next-generation Model 5 farm will be the largest and most technologically advanced aeroponic indoor vertical farm in the world. Strategically located in close proximity to more than 1,000 food retailers in the region, the Danville farm will provide access to approximately 50 million people located within a day’s drive. The new farm will advance AeroFarms’ leadership in plant science and technology and expand its leafy greens business to the Mid-Atlantic and South regions.

About AeroFarms

Since 2004, AeroFarms has been leading the way for indoor vertical farming and championing transformational innovation for agriculture. On a mission to grow the best plants possible for the betterment of humanity, AeroFarms is a Certified B Corporation Company with global headquarters in Newark, New Jersey, United States. Named one of the World’s Most Innovative Companies by Fast Company two years in a row and one of TIME’s Best Inventions in Food, AeroFarms patented, award-winning indoor vertical farming technology provides the perfect conditions for healthy plants to thrive, taking agriculture to a new level of precision, food safety, and productivity while using up to 95% less water and no pesticides ever versus traditional field farming. AeroFarms enables local production to safely grow all year round, using vertical farming for elevated flavor. In addition, through its proprietary growing technology platform, AeroFarms has developed multi-year strategic partnerships ranging from government to major Fortune 500 companies to help uniquely solve agriculture supply chain needs. For additional information, visit: https://aerofarms.com/.

On March 26, 2021, AeroFarms announced a definitive business combination agreement with Spring Valley Acquisition Corp. (Nasdaq: SV). Upon the closing of the business combination, AeroFarms will become publicly traded on Nasdaq under the new ticker symbol “ARFM”. Additional information about the transaction can be viewed here: https://aerofarms.com/investors/

No Offer or Solicitation

This press release does not constitute an offer to sell or a solicitation of an offer to buy, or the solicitation of any vote or approval in any jurisdiction in connection with a proposed potential business combination among Spring Valley and AeroFarms or any related transactions, nor shall there be any sale, issuance or transfer of securities in any jurisdiction where, or to any person to whom, such offer, solicitation or sale may be unlawful. Any offering of securities or solicitation of votes regarding the proposed transaction will be made only by means of a proxy statement/prospectus that complies with applicable rules and regulations promulgated under the Securities Act of 1933, as amended (the “Securities Act”), and Securities Exchange Act of 1934, as amended, or pursuant to an exemption from the Securities Act or in a transaction not subject to the registration requirements of the Securities Act.

Forward Looking Statements

Certain statements included in this press release that are not historical facts are forward-looking statements for purposes of the safe harbor provisions under the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements generally are accompanied by words such as “believe,” “may,” “will,” “estimate,” “continue,” “anticipate,” “intend,” “expect,” “should,” “would,” “plan,” “predict,” “potential,” “seem,” “seek,” “future,” “outlook,” and similar expressions that predict or indicate future events or trends or that are not statements of historical matters. All statements, other than statements of present or historical fact included in this presentation, regarding Spring Valley’s proposed acquisition of AeroFarms, Spring Valley’s ability to consummate the transaction, the benefits of the transaction and the combined company’s future financial performance, as well as the combined company’s strategy, future operations, estimated financial position, estimated revenues and losses, projected costs, prospects, plans and objectives of management are forward-looking statements. These statements are based on various assumptions, whether or not identified in this press release, and on the current expectations of the respective management of AeroFarms and Spring Valley and are not predictions of actual performance. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as, and must not be relied on as, a guarantee, an assurance, a prediction, or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions. Many actual events and circumstances are beyond the control of AeroFarms and Spring Valley. These forward-looking statements are subject to a number of risks and uncertainties, including changes in domestic and foreign business, market, financial, political, and legal conditions; the inability of the parties to successfully or timely consummate the proposed transaction, including the risk that any regulatory approvals are not obtained, are delayed or are subject to unanticipated conditions that could adversely affect the combined company or the expected benefits of the proposed transaction or that the approval of the stockholders of Spring Valley or AeroFarms is not obtained; failure to realize the anticipated benefits of the proposed transaction; risks relating to the uncertainty of the projected financial information with respect to AeroFarms; risks related to the expansion of AeroFarms’ business and the timing of expected business milestones; the effects of competition on AeroFarms’ business; the ability of Spring Valley or AeroFarms to issue equity or equity-linked securities or obtain debt financing in connection with the proposed transaction or in the future, and those factors discussed in Spring Valley’s final prospectus dated November 25, 2020 under the heading “Risk Factors,” and other documents Spring Valley has filed, or will file, with the SEC. If any of these risks materialize or our assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. There may be additional risks that neither Spring Valley nor AeroFarms presently know, or that Spring Valley nor AeroFarms currently believe are immaterial, that could also cause actual results to differ from those contained in the forward-looking statements. In addition, forward-looking statements reflect Spring Valley’s and AeroFarms’ expectations, plans, or forecasts of future events and views as of the date of this press release. Spring Valley and AeroFarms anticipate that subsequent events and developments will cause Spring Valley’s and AeroFarms’ assessments to change. However, while Spring Valley and AeroFarms may elect to update these forward-looking statements at some point in the future, Spring Valley and AeroFarms specifically disclaim any obligation to do so. These forward-looking statements should not be relied upon as representing Spring Valley’s and AeroFarms’ assessments of any date subsequent to the date of this press release. Accordingly, undue reliance should not be placed upon the forward-looking statements.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210504005716/en/

AeroFarms Contacts

Investor Relations:

Jeff Sonnek ICR

[email protected]

1-646-277-1263

Media Relations:

Marc Oshima

AeroFarms

[email protected]

1-917-673-4602

KEYWORDS: United States North America New Jersey

INDUSTRY KEYWORDS: Retail Other Natural Resources Other Retail Agriculture Natural Resources Food/Beverage

MEDIA:

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Seres Therapeutics Reports First Quarter 2021 Financial Results and Provides Business Updates

– Topline clinical data from SER-287 Phase 2b study in patients with mild-to-moderate ulcerative colitis expected in mid-2021, microbiome biomarker data anticipated in H2 2021 –

– Ongoing enrollment in SER-109 open label study for recurrent C. difficile infection; On track to achieve 300 subject enrollment target in Q3 2021 –

– Virtual ulcerative colitis microbiome therapeutic investor event to be held June 21, 2021 –

– Conference call at 8:30 a.m. ET today –

CAMBRIDGE, Mass.–(BUSINESS WIRE)–Seres Therapeutics, Inc., (Nasdaq: MCRB), a leading microbiome company developing a novel class of multifunctional bacterial therapeutics designed to functionally interact with host cells and tissues to treat disease, today reported first quarter 2021 financial results and provided business updates.

“We continue to make steady progress across our broad microbiome pipeline and we look forward to an eventful remainder of the year with important clinical milestones,” said Eric Shaff, President and Chief Executive Officer of Seres. “Our SER-287 ECO-RESET Phase 2b study in mild-to-moderate ulcerative colitis patients is fully enrolled and we anticipate topline clinical results in mid-year. Following successful SER-109 Phase 3 pivotal results in patients with recurrent C. difficile infection, we continue to enroll an open label study to expand our safety database. We are very pleased with the pace of study enrollment and we anticipate achieving target enrollment during the third quarter of 2021. Completion of the required SER-109 safety database will support a Biologics License Application (BLA) filing, and potentially pave the way for SER-109 to become the first-ever FDA-approved microbiome therapeutic.”

Program and Corporate Updates

SER-109 Phase 3 ECOSPOR III study in recurrent C. difficile infection: SER-109, an investigational oral, live microbiome therapeutic, achieved a high rate of sustained clinical response in Seres’ Phase 3 clinical trial in patients with recurrent C. difficile infection (CDI).

In August 2020, Seres announced positive topline interim results from the SER-109 Phase 3 study, ECOSPOR III. The Phase 3 study (ClinicalTrials.gov identifier: NCT03183128) was a multicenter, randomized, placebo-controlled study that enrolled 182 patients with multiply recurrent CDI. Patients were randomized 1:1 to receive either SER-109 or placebo after standard of care antibiotic treatment. Study results demonstrated that ECOSPOR III achieved the study’s primary endpoint at eight weeks and demonstrated a sustained clinical response rate of approximately 88% at eight weeks post-treatment. SER-109 resulted in a 27% absolute reduction of recurrence of CDI compared to placebo at eight weeks post-treatment, which is a relative risk reduction of 68%. SER-109 was well tolerated, with no treatment-related serious adverse events (SAEs) observed in the active arm and an adverse event profile comparable to placebo. In addition, subsequent 24-week end-of-study data indicate that the clinical effect of SER-109 is durable.

Following the topline Phase 3 study results, the FDA reaffirmed its prior position regarding the efficacy requirements to support a SER-109 BLA submission, which were exceeded by the positive SER-109 ECOSPOR III study results, as well as its prior position that the safety database should be at least 300 subjects. Seres believes that ECOSPOR III will be a single pivotal efficacy study supporting product registration and expects to reach target enrollment for the safety database study in the third quarter of 2021.

In January 2021, Seres presented Phase 3 microbiome and metabolomic endpoint data at the Keystone Symposium, which provide mechanistic support for the SER-109 efficacy observed. The study data demonstrate that SER-109 bacterial species rapidly engraft into the gastrointestinal tract; engraftment was observed as early as one week post-treatment and was durable through eight weeks, confirming the biological activity of SER-109. SER-109 administration was also observed to rapidly shifted the gastrointestinal metabolic landscape, including a significant decrease in primary bile acids and an increase in secondary bile acids, providing a mechanistic basis for inhibition of C. difficile spore germination and vegetative growth.

Seres is conducting an ongoing SER-109 open-label study in patients with recurrent CDI (ClinicalTrials.gov identifier: NCT03183128), which also admits patients with a single recurrence of CDI, to expand the SER-109 safety database. The SER-109 open label study is being enrolled at more than 100 sites across the U.S. and Canada, representing a substantial increase over those that recruited subjects into the SER-109 Phase 3 ECOSPOR III study. Additional information is available at serescdiffstudy.com.

Seres continues to execute activities necessary to enable a SER-109 BLA submission. The Company is completing supportive market assessment work, including primary research with physicians and payers, and pricing and reimbursement analyses. Seres continues to hire, train, and deploy a medical science liaison team in order to increase market education efforts. The Company believes that a substantial commercial opportunity exists for SER-109. The recurrent CDI population includes approximately 170,000 patients in the U.S.

SER-287 Phase 2b ECO-RESET study in ulcerative colitis (UC): SER-287, an oral microbiome therapeutic candidate consisting of a bacterial consortium, is designed to restructure the gastrointestinal microbiome and reduce inflammation in individuals with UC. Seres has obtained FDA Fast Track designation for SER-287 in active mild-to-moderate ulcerative colitis. SER-287 targets restructuring the microbiome to reduce proinflammatory activity and modulate UC-relevant inflammatory pathways, potentially providing a much-needed non-immunosuppressive treatment option to patients suffering from ulcerative colitis. SER-287 has the potential to be used as both a monotherapy and in combination with other approved agents.

The SER-287 Phase 2b ECO-RESET study is a randomized, placebo-controlled, three-arm induction trial that has enrolled 203 patients with active mild-to-moderate ulcerative colitis who have had inadequate response or loss of response on prior therapy. In arm A, patients receive a short course of vancomycin preconditioning followed by ten weeks of the same daily regimen used in the arm of the Phase 1b trial that showed the highest clinical remission rate. In arm B, patients receive vancomycin preconditioning followed by two weeks of the SER-287 daily regimen as in the first arm, followed by eight weeks of a lower dose of SER-287. In arm C, patients receive placebo. The study’s primary endpoint is the proportion of patients achieving clinical remission at ten weeks. The study will assess endoscopic improvement as a secondary endpoint, as well as a range of microbiome and metabolomic measures.

Seres has completed enrollment in the SER-287 Phase 2b ECO-RESET induction study in patients with active mild-to-moderate ulcerative colitis and expects to report topline clinical study results in mid-2021, with additional microbiome biomarker data becoming available in H2 2021.

Publication of SER-287 Phase 1b study results: Data from a Phase 1b study demonstrated that SER-287 administration was associated with high rates of clinical remission, endoscopic improvement, modulation of the gastrointestinal microbiome, and a favorable tolerability profile. The paper, titled “A Phase 1b Safety Study of SER-287, a Spore-Based Microbiome Therapeutic, For Active Mild-To-Moderate Ulcerative Colitis,” was published as the highlighted cover article in the January 2021 print edition of the leading journal Gastroenterology.

SER-301 Phase 1b study in adults with mild-to-moderate ulcerative colitis: Seres is enrolling its Phase 1b study for SER-301, an investigational oral, rationally-designed, cultivated microbiome therapeutic, and study enrollment is ongoing. SER-301 is being evaluated in a Phase 1b study in adults with mild-to-moderate ulcerative colitis. The study is being conducted in Australia and New Zealand and is designed to enroll approximately 65 subjects. The study objectives are to evaluate drug safety and pharmacokinetics and to evaluate clinical remission and other measures of efficacy as secondary endpoints.

The consortia of bacteria in SER-301 is designed to modify the microbiome and microbe-associated metabolites in the gastrointestinal tract and modulate pathways linked to gastrointestinal inflammation and epithelial barrier integrity in patients with ulcerative colitis. SER-301 was designed using Seres’ reverse translation discovery and development platforms. The design incorporated learnings from the SER-287 Phase 1b study related to the bacterial species and the microbiome functional signatures associated with clinical efficacy. Additionally, the design incorporated insights on the engraftment dynamics of different bacteria and also the association of specific bacteria with the modulation of inflammatory and immune pathways in human subjects that have been observed across our broader clinical portfolio and confirmed using our nonclinical human-cell based assays and in vivo models.

In December 2020, Seres received a $10 million milestone payment associated with the Phase 1b SER-301 clinical study initiation from Nestlé, the Company’s ex-North American collaborative partner for this program.

SER-155 Phase 1b clinical study activities: SER-155 is an investigational oral, rationally-designed, cultivated microbiome therapeutic designed to reduce the incidence of gastrointestinal infections, bacteremia, and graft versus host disease (GvHD) in immunocompromised patients, including patients receiving allogeneic hematopoietic stem cell transplantation. SER-155 is a consortium of bacterial species selected using microbiome biomarker data and from human clinical data and nonclinical human cell-based assays and in vivo disease models. The composition aims to decrease infection and translocation of antibiotic-resistant bacteria in the gastrointestinal tract and modulate host immune responses to decrease GvHD.

The SER-155 program is supported by a CARB-X grant. Seres continues to advance SER-155 toward a Phase 1b clinical study initiation in collaboration with Memorial Sloan Kettering Cancer Center.

SER-401 program update: Seres, in collaboration with study partners, The Parker Institute for Cancer Immunotherapy and The University of Texas MD Anderson Cancer Center, had announced the voluntary discontinuation of further enrollment in the Melanoma Checkpoint and Gut Microbiome Alteration With Microbiome Intervention (MCGRAW) study evaluating the safety and drug activity of SER-401 or fecal microbiota transplant (FMT) in combination with nivolumab in patients with metastatic melanoma. Seres has deprioritized further development of SER-401, and will prioritize rationally-designed, cultivated leads designed using the Company’s reverse translational platforms and learnings from the SER-401 trial. Future oncology programs aim to modulate host immunity/inflammation to improve response and tolerability of cancer drugs.

Upcoming investor event: Seres plans to hold a webcast and conference call on June 21, 2021 with a focus on the Company’s efforts to develop microbiome therapeutics for ulcerative colitis and the substantial opportunity for safe, effective alternative therapeutics for the over 700,000 individuals (U.S. estimate) suffering from UC. The event will include discussion of the ongoing SER-287 Phase 2b study, and SER-301 Phase 1b study. The Company anticipates topline SER-287 Phase 2b study clinical results in mid-2021, and additional microbiome biomarker data in H2 2021. Further details will be provided closer to the event.

Financial Results

Seres reported a net loss of $35.5 million for the first quarter of 2021, as compared with a net loss of $19.9 million for the same period in 2020. The first quarter net loss was driven primarily by clinical and development expenses, personnel expenses and ongoing development of the Company’s microbiome therapeutics platform.

Research and development expenses for the first quarter of 2021 were $29.3 million, compared with $21.7 million for the same period in 2020. The research and development expenses were primarily related to Seres’ late stage SER-109 and SER-287 clinical development programs.

General and administrative expenses for the first quarter of 2021 were $11.7 million, compared with $6.1 million for the same period in 2020. General and administrative expenses were primarily due to headcount, professional fees and facility costs.

Seres ended the first quarter of 2021 with approximately $272.5 million in cash, cash equivalents and short and long-term investments.

Conference Call Information

Seres’ management will host a conference call today, May 4, 2021, at 8:30 a.m. ET. To access the conference call, please dial 844-277-9450 (domestic) or 336-525-7139 (international) and reference the conference ID number 9967338. To join the live webcast, please visit the “Investors and News” section of the Seres website at www.serestherapeutics.com.

A webcast replay will be available on the Seres website beginning approximately two hours after the event and will be archived for at least 21 days.

About Seres Therapeutics

Seres Therapeutics, Inc., (Nasdaq: MCRB) is a leading microbiome therapeutics company developing a novel class of multifunctional bacterial consortia that are designed to functionally interact with host cells and tissues to treat disease. Seres’ SER-109 program achieved the first-ever positive pivotal clinical results for a targeted microbiome drug candidate and has obtained Breakthrough Therapy and Orphan Drug designations from the FDA. The SER-109 program is being advanced for the treatment of recurrent C. difficile infection and has potential to become a first-in-class FDA-approved microbiome therapeutic. Seres’ SER-287 program has obtained Fast Track and Orphan Drug designations from the FDA and is being evaluated in a Phase 2b study in patients with active mild-to-moderate ulcerative colitis. Seres is evaluating SER-301 in a Phase 1b study in patients with ulcerative colitis, and SER-155 to prevent mortality due to gastrointestinal infections, bacteremia and graft versus host disease. For more information, please visit www.serestherapeutics.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including the potential market for SER-109, the timing of study enrollment, the impact of the microbiome and metabolomic data on our other programs, the potential approval of SER-109 and its potential status as a first-in-class therapeutic, the timing of topline results and microbiome analysis from the SER-287 study, the safety results observed to-date in our clinical studies, the promise of our microbiome therapeutics, our development plans, the potential impact of the COVID-19 pandemic, and other statements that are not historical facts.

These forward-looking statements are based on management’s current expectations. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to, the following: we have incurred significant losses, are not currently profitable and may never become profitable; our need for additional funding; our limited operating history; the impact of the COVID-19 pandemic; our unproven approach to therapeutic intervention; the lengthy, expensive and uncertain process of clinical drug development; our reliance on third parties and collaborators to conduct our clinical trials and manufacture our product candidates, if approved; our ability to retain key personnel and to manage our growth; and our management and principal stockholders have the ability to control or significantly influence our business. These and other important factors discussed under the caption “Risk Factors” in our Annual Report on Form 10-K filed with the Securities and Exchange Commission, or SEC, on March 2, 2021, and our other reports filed with the SEC could cause actual results to differ materially from those indicated by the forward-looking statements made in this press release. Any such forward-looking statements represent management’s estimates as of the date of this press release. While we may elect to update such forward-looking statements at some point in the future, we disclaim any obligation to do so, even if subsequent events cause our views to change. These forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date of this press release.

SERES THERAPEUTICS, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands, except share and per share data)
		March 31,				December 31,
		2021				2020
Assets
Current assets:
Cash and cash equivalents		$	66,579			$	116,049
Short term investments			176,221				137,567
Prepaid expenses and other current assets			6,574				5,774
Accounts receivable			2,604				9,387
Total current assets			251,978				268,777
Property and equipment, net			13,580				13,897
Operating lease assets			8,386				9,041
Restricted investments			1,400				1,400
Long term investments			29,749				49,825
Other non-current assets			602				—
Total assets		$	305,695			$	342,940
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable		$	4,879			$	4,018
Accrued expenses and other current liabilities			13,153				14,226
Operating lease liabilities			5,250				5,115
Short term portion of note payable, net of discount			3,339				454
Deferred revenue – related party			21,242				22,602
Total current liabilities			47,863				46,415
Long term portion of note payable, net of discount			21,872				24,639
Operating lease liabilities, net of current portion			9,194				10,561
Deferred revenue, net of current portion – related party			82,284				85,572
Other long-term liabilities			777				1,003
Total liabilities			161,990				168,190
Commitments and contingencies
Stockholders’ deficit:
Preferred stock, $0.001 par value; 10,000,000 shares authorized at March 31, 2021 and December 31, 2020; no shares issued and outstanding at March 31, 2021 and December 31, 2020			—				—
Common stock, $0.001 par value; 200,000,000 shares authorized at March 31, 2021 and December 31, 2020; 91,588,264 and 91,459,239 shares issued and outstanding at March 31, 2021 and December 31, 2020, respectively			92				91
Additional paid-in capital			727,869				723,482
Accumulated other comprehensive (loss)			(15	)			(47	)
Accumulated deficit			(584,241	)			(548,776	)
Total stockholders’ equity			143,705				174,750
Total liabilities and stockholders’ equity		$	305,695			$	342,940

SERES THERAPEUTICS, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (In thousands, except share and per share data)
		Three Months Ended March 31,
		2021				2020
Revenue:
Collaboration revenue – related party		$	4,648			$	5,462
Grant revenue			1,070				739
Collaboration revenue			—				1,988
Total revenue			5,718				8,189
Operating expenses:
Research and development expenses			29,303				21,743
General and administrative expenses			11,741				6,138
Total operating expenses			41,044				27,881
Loss from operations			(35,326	)			(19,692	)
Other (expense) income:
Interest income			966				159
Interest expense			(696	)			(716	)
Other (expense) income			(409	)			368
Total other (expense) income, net			(139	)			(189	)
Net loss		$	(35,465	)		$	(19,881	)
Net loss per share attributable to common stockholders, basic and diluted		$	(0.39	)		$	(0.28	)
Weighted average common shares outstanding, basic and diluted			91,527,800				70,821,514
Net loss			(35,465	)			(19,881	)
Other comprehensive income (loss):
Unrealized gain (loss) on investments, net of tax of $0			32				(10	)
Total other comprehensive income (loss)			32				(10	)
Comprehensive loss		$	(35,433	)		$	(19,891	)

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20210504005473/en/

PR Contact

Kristin Ainsworth

[email protected]

IR Contact

Carlo Tanzi, Ph.D.

[email protected]

KEYWORDS: United States North America Massachusetts

INDUSTRY KEYWORDS: Oncology Health Infectious Diseases Clinical Trials Pharmaceutical Biotechnology

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Taysha Gene Therapies to Release First Quarter 2021 Financial Results and Host Conference Call and Webcast on May 11

DALLAS–(BUSINESS WIRE)–
Taysha Gene Therapies, Inc. (Nasdaq: TSHA) (“Taysha”), a patient-centric, clinical-stage gene therapy company focused on developing and commercializing AAV-based gene therapies for the treatment of monogenic diseases of the central nervous system (CNS) in both rare and large patient populations, today announced that it will report its financial results for the first quarter ended March 31, 2021, and host a corporate update conference call and webcast on Tuesday, May 11, 2021, at 8:00 AM Eastern Time.

Conference Call Details
Tuesday, May 11, at 8:00 AM Eastern Time / 7:00 AM Central Time
Toll Free:		855-327-6837
International:		631-891-4304
Conference ID:		10014460
Webcast:		https://ir.tayshagtx.com/news-events/events-presentations

About Taysha Gene Therapies

Taysha Gene Therapies (Nasdaq: TSHA) is on a mission to eradicate monogenic CNS disease. With a singular focus on developing curative medicines, we aim to rapidly translate our treatments from bench to bedside. We have combined our team’s proven experience in gene therapy drug development and commercialization with the world-class UT Southwestern Gene Therapy Program to build an extensive, AAV gene therapy pipeline focused on both rare and large-market indications. Together, we leverage our fully integrated platform—an engine for potential new cures—with a goal of dramatically improving patients’ lives. More information is available at www.tayshagtx.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210504005337/en/

Company Contact:

Kimberly Lee, D.O.

SVP, Corporate Communications and Investor Relations

Taysha Gene Therapies

[email protected]

Media Contact:

Carolyn Hawley

Canale Communications

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KEYWORDS: United States North America Texas

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SEE Reports Q1 2021 Results

Sales Growth Accelerated 

Raising Full Year Outlook

Net sales of $1.3 billion, up 8% as reported; up 6% constant currency 

Net earnings of $106 million, down 8%; EPS of $0.68, down 8% 

    Adjusted EBITDA of $268 million, up 6%; Adjusted EPS of $0.78, up 7% 

Cash flow from operations of $80 million, up 95%

CHARLOTTE, N.C.–(BUSINESS WIRE)–
Sealed Air Corporation (NYSE: SEE) today announced financial results for the first quarter 2021.

“Our Q1 results reflect strong performance and our focus on automation, digital and sustainability. Net sales increased 8% with strength in eCommerce, food retail and equipment, combined with increasing momentum in industrials. Adjusted EBITDA increased 6% as higher volumes and productivity improvements more than offset global supply chain disruptions related to Winter Storm Uri,” said Ted Doheny, Sealed Air’s President and CEO.

“As market opportunities move to a ‘touchless environment,’ customers are looking to Sealed Air’s leadership in automation, service, and high-performance packaging materials. Strong operational execution as well as growth opportunities give us confidence to raise our full year outlook,” continued Doheny.

Unless otherwise stated, all results compare first quarter 2021 to first quarter 2020 results from continuing operations. Year-over-year financial discussions present operating results from continuing operations as reported. Year-over-year comparisons are also made on a constant dollar basis, which is a non-U.S. GAAP measure. Constant dollar refers to changes in net sales and earnings, including changes in unit volume and price performance, but excluding the impact of currency translation. Additionally, non-U.S. GAAP adjusted financial measures, such as Adjusted Earnings Before Interest Expense, Taxes, Depreciation and Amortization (“Adjusted EBITDA”), Adjusted Net Earnings, Adjusted Diluted Earnings Per Share (“Adjusted EPS”) and Adjusted Tax Rate, exclude the impact of specified items (“Special Items”), such as restructuring charges, restructuring associated costs, gains and losses related to acquisition and divestiture of businesses, special tax items (“Tax Special Items”) and certain infrequent or one-time items. Please refer to the supplemental information included with this press release for a reconciliation of U.S. GAAP to Non-U.S. GAAP financial measures.

Business Highlights

First quarter net sales in Food were $702 million, an increase of 2% as reported, primarily driven by a favorable currency impact of 1.5%. On a constant dollar basis, net sales were essentially flat with 5% growth in Asia Pacific (APAC) and 1% in EMEA, largely offset by a 1% decline in Americas. Americas includes both North and South America. Retail and equipment demand remained strong, while food service trends continued to trail prior year levels. Adjusted EBITDA of $157 million, or 22.3% of net sales, compares to $156 million, or 22.6% of net sales, in the prior year. Reinvent SEE productivity improvements were offset by raw material inflation and higher costs related to the winter storm supply chain disruptions.

First quarter net sales in Protective were $565 million, an increase of 17% as reported. Currency had a favorable impact of $15 million, or 3%. On a constant dollar basis, net sales increased $67 million, or 14%, driven by a 13% increase in volume. Continued momentum in e-Commerce, fulfillment and automated equipment, along with a recovery in industrial segments, contributed to constant dollar growth of 23% in APAC, 14% in EMEA and 12% in Americas. Adjusted EBITDA increased 18% to $110 million, or 19.5% of sales. The increase in Adjusted EBITDA was primarily attributable to volume growth and Reinvent SEE productivity improvements, partially offset by raw material inflation and higher costs related to the winter storm supply chain disruptions.

First Quarter 2021 U.S. GAAP Summary

Net sales of $1.3 billion increased 8% as reported. Currency contributed $25 million, or approximately 2%, to net sales as compared to first quarter 2020.

Net earnings in first quarter 2021 were $106 million, or $0.68 per diluted share, as compared to net earnings of $115 million, or $0.74 per diluted share, in first quarter 2020.

The effective tax rate in first quarter 2021 was 34.0%, as compared to 22.2% in first quarter 2020. The current year effective tax rate was unfavorably impacted by legislative and administrative changes to enacted foreign statutes. The lower prior year tax rate was favorably impacted by the resolution of specific uncertain tax positions associated with a U.S. IRS audit.

First Quarter 2021 Non-U.S. GAAP Summary

Net sales increased $68 million, or 6%, on a constant dollar basis. Volumes increased $60 million, or 5%. Volumes were higher across all regions, with APAC up 13%, EMEA up 7% and Americas up 3%. Pricing increased 1%, primarily in Americas.

Adjusted EBITDA was $268 million, or 21.2% of net sales in first quarter 2021 as compared to $253 million, or 21.6% in first quarter 2020. Currency fluctuations had a favorable impact of $4 million, or 2% in first quarter 2021. The increase in Adjusted EBITDA was largely due to volume growth and benefits from our Reinvent SEE business transformation, partially offset by raw material inflation and higher costs related to the winter storm supply chain disruptions.

The Adjusted Tax Rate was 27.6% in first quarter 2021, as compared to 27.9% in first quarter 2020.

Adjusted earnings per diluted share were $0.78 in first quarter 2021, as compared to $0.73 in first quarter 2020. The increase in Adjusted EPS was attributable to higher Adjusted EBITDA.

Cash Flow and Net Debt

Cash flow provided by operating activities for first quarter 2021 was a source of $80 million, as compared to a source of $41 million for first quarter 2020. The increase in cash from operating activities was primarily due to a tax refund of $24 million received during the quarter and lower restructuring and associated payments of $5 million in first quarter 2021, as compared to $26 million in first quarter 2020. Capital expenditures were $44 million during first quarter 2021 as compared to $49 million in the same period last year. Free Cash Flow, defined as net cash provided by operating activities less capital expenditures, was a source of $36 million in first quarter 2021, as compared to a use of $8 million in first quarter 2020.

During first quarter 2021, the Company repurchased 4 million shares for an aggregate cost of $177 million and paid cash dividends of $26 million.

Net Debt, defined as total debt less cash and cash equivalents, was $3.4 billion as of March 31, 2021 as compared to $3.2 billion as of December 31, 2020. As of March 31, 2021, Sealed Air had approximately $1.5 billion of liquidity available, comprised of $370 million of cash and $1,133 million of undrawn, committed credit facilities.

Updated 2021 Full Year Outlook

For the full year 2021, Sealed Air now expects net sales in the range of $5.25 billion to $5.35 billion, which represents an increase of 7% to 9% as reported and 6% to 8% in constant dollars. This compares to the Company’s previous net sales outlook in the range of $5.10 billion to $5.20 billion. Adjusted EBITDA is now expected to be in the range of $1.12 billion to $1.15 billion, compared to the previous outlook of $1.10 billion to $1.13 billion. Sealed Air now forecasts Adjusted EPS to be in the range of $3.40 to $3.55, which is based on approximately 154 million weighted average shares outstanding. The Company continues to anticipate the Adjusted Tax Rate to be 26% to 27%. The previous EPS range was $3.25 to $3.40 based on 157 million shares.

Free Cash Flow in 2021 is now expected to be in the range of $520 million to $570 million, with capital expenditures of approximately $210 million and Reinvent SEE restructuring and associated payments of approximately $40 million. This compares to the previous Free Cash Flow range of $500 million to $550 million.

Conference Call Information

Sealed Air Corporation will host a conference call and webcast on Tuesday, May 4, 2021 at 10:00 a.m. (ET) to discuss our First Quarter 2021 Results. The conference call will be webcast live on the Investors homepage at www.sealedair.com/investors. A replay of the webcast will also be available thereafter.

About Sealed Air (NYSE: SEE)

Sealed Air is in business to protect, to solve critical packaging challenges and to make our world better than we found it. Our packaging technology, solutions and systems create a safer, more resilient and less wasteful global food supply chain, enable eCommerce and protect the movement of goods worldwide.

Our globally recognized brands include CRYOVAC^® brand food packaging, SEALED AIR^® brand protective packaging, AUTOBAG^® brand automated systems, BUBBLE WRAP^® brand packaging and SEE^TM Automation solutions.

Our SEE Operating Model, along with industry-leading experts in materials, engineering, technology and science, are driving our innovative solution systems to be more sustainable, automated and digitally connected.

Sealed Air is leading the packaging industry to create a more environmentally, socially, and economically sustainable future and has pledged to design or advance 100% of its packaging materials to be recyclable or reusable by 2025, and an even bolder goal to reach net-zero carbon emissions in its global operations by 2040.

Sealed Air generated $4.9 billion in sales in 2020 and has approximately 16,500 employees who serve customers in 117 countries/territories. To learn more, visit www.sealedair.com.

Website Information

We routinely post important information for investors on our website, www.sealedair.com, in the Investors section. We use this website as a means of disclosing material, non-public information and for complying with our disclosure obligations under Regulation FD. Accordingly, investors should monitor the Investors section of our website, in addition to following our press releases, SEC filings, public conference calls, presentations and webcasts. The information contained on, or that may be accessed through, our website is not incorporated by reference into, and is not a part of, this document.

Non-U.S. GAAP Information

In this press release and supplement, we have included several non-U.S. GAAP financial measures, including Net Debt, Adjusted Net Earnings and Adjusted EPS, net sales on an “organic” and a “constant dollar” basis, Free Cash Flow, Adjusted EBITDA and Adjusted Tax Rate, as our management believes these measures are useful to investors. We present results and guidance, adjusted to exclude the effects of Special Items and their related tax impact that would otherwise be included under U.S. GAAP, to aid in comparisons with other periods or prior guidance. In addition, non-U.S. GAAP measures are used by management to review and analyze our operating performance and, along with other data, as internal measures for setting annual budgets and forecasts, assessing financial performance, providing guidance and comparing our financial performance with our peers and may also be used for purposes of determining incentive compensation. The non-U.S. GAAP information has limitations as an analytical tool and should not be considered in isolation from or as a substitute for U.S. GAAP information. It does not purport to represent any similarly titled U.S. GAAP information and is not an indicator of our performance under U.S. GAAP. Non-U.S. GAAP financial measures that we present may not be comparable with similarly titled measures used by others. Investors are cautioned against placing undue reliance on these non-U.S. GAAP measures. For a reconciliation of these U.S. GAAP measures to non-U.S. GAAP measures and other important information on our use of non-U.S. GAAP financial measures, see the attached supplementary information entitled “Condensed Consolidated Statements of Cash Flows” (under the section entitled “Non-U.S. GAAP Free Cash Flow”), “Reconciliation of Net Earnings and Net Earnings Per Common Share to Non-U.S. GAAP Adjusted Net Earnings and Non-U.S. GAAP Adjusted Net Earnings Per Common Share,” “Reconciliation of Net Earnings to Non-U.S. GAAP Total Company Adjusted EBITDA,” “Components of Change in Net Sales by Segment” and “Components of Change in Net Sales by Region.” Information reconciling forward-looking U.S. GAAP measures to non-U.S. GAAP measures is not available without unreasonable effort.

We have not provided guidance for the most directly comparable U.S. GAAP financial measures, as they are not available without unreasonable effort due to the high variability, complexity, and low visibility with respect to certain Special Items, including restructuring charges, gains and losses related to acquisition and divestiture of businesses, the ultimate outcome of certain legal or tax proceedings, and other unusual gains and losses. These items are uncertain, depend on various factors, and could be material to our results computed in accordance with U.S. GAAP.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 concerning our business, consolidated financial condition, results of operations or cash flows. Forward-looking statements are subject to risks and uncertainties, many of which are outside our control, which could cause actual results to differ materially from these statements. Therefore, you should not rely on any of these forward-looking statements. Forward-looking statements can be identified by such words as “anticipate,” “believe,” “plan,” “assume,” “could,” “should,” “estimate,” “expect,” “intend,” “potential,” “seek,” “predict,” “may,” “will” and similar references to future periods. All statements other than statements of historical facts included in this press release regarding our strategies, prospects, financial condition, operations, costs, plans and objectives are forward-looking statements. Examples of forward-looking statements include, among others, statements we make regarding expected future operating results, expectations regarding the results of restructuring and other programs, anticipated levels of capital expenditures and expectations of the effect on our financial condition of claims, litigation, environmental costs, contingent liabilities and governmental and regulatory investigations and proceedings.

The following are important factors that we believe could cause actual results to differ materially from those in our forward-looking statements: global economic and political conditions, currency translation and devaluation effects, changes in raw material pricing and availability, competitive conditions, the success of new product offerings, consumer preferences, the effects of animal and food-related health issues, the effects of epidemics or pandemics, including the Coronavirus Disease 2019 (COVID-19), changes in energy costs, environmental matters, the success of our restructuring activities, the success of our merger, acquisition and equity investment strategies, the success of our financial growth, profitability, cash generation and manufacturing strategies and our cost reduction and productivity efforts, changes in our credit ratings, the tax benefit associated with the Settlement agreement (as defined in our 2020 Annual Report on Form 10-K), regulatory actions and legal matters and the other information referenced in the “Risk Factors” section appearing in our most recent Annual Report on Form 10-K, as filed with the Securities and Exchange Commission, and as revised and updated by our Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Any forward-looking statement made by us is based only on information currently available to us and speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether because of new information, future developments or otherwise.

The supplementary information included for 2021 in this press release on the current and subsequent pages is preliminary and subject to change prior to the filing of our upcoming Quarterly Report on Form 10-Q with the Securities and Exchange Commission.

Sealed Air Corporation Condensed Consolidated Statements of Operations (Unaudited)
		Three Months Ended March 31,
(In USD millions, except per share data)		2021				2020
Net sales		$	1,267.1			$	1,173.9
Cost of sales		866.0				783.4
Gross profit		401.1				390.5
Selling, general and administrative expenses		188.9				194.1
Amortization expense of intangible assets		9.7				9.0
Restructuring charges		—				0.6
Operating profit		202.5				186.8
Interest expense, net		(43.1		)		(44.4		)
Other income, net		1.0				4.8
Earnings before income tax provision		160.4				147.2
Income tax provision		54.6				32.7
Net earnings from continuing operations		105.8				114.5
Gain on sale of discontinued operations, net of tax		4.3				12.1
Net earnings		$	110.1			$	126.6
Basic:
Continuing operations		$	0.68			$	0.74
Discontinued operations		0.03				0.08
Net earnings per common share – basic		$	0.71			$	0.82
Weighted average common shares outstanding – basic		154.1				154.5
Diluted:
Continuing operations		$	0.68			$	0.74
Discontinued operations		0.03				0.08
Net earnings per common share – diluted		$	0.71			$	0.82
Weighted average number of common shares outstanding – diluted		155.4				154.8

Sealed Air Corporation Condensed Consolidated Balance Sheets (Unaudited)
(In USD millions)		March 31, 2021				December 31, 2020
Assets
Current assets:
Cash and cash equivalents		$	370.0			$	548.7
Trade receivables, net		584.2				541.0
Income tax receivables		33.5				71.2
Other receivables		72.5				69.5
Inventories, net		652.3				596.7
Current assets held for sale		—				0.3
Prepaid expenses and other current assets		47.0				54.1
Total current assets		1,759.5				1,881.5
Property and equipment, net		1,177.5				1,189.7
Goodwill		2,217.2				2,222.6
Identifiable intangible assets, net		164.2				171.0
Deferred taxes		172.9				187.1
Operating lease right-of-use-assets		70.2				76.1
Other non-current assets		357.2				355.8
Total assets		$	5,918.7			$	6,083.8
Liabilities and Stockholders’ Equity
Current liabilities:
Short-term borrowings		$	8.8			$	7.2
Current portion of long-term debt		22.1				22.3
Current portion of operating lease liabilities		23.8				24.3
Accounts payable		814.0				754.2
Accrued restructuring costs		8.3				12.2
Income tax payable		25.9				19.9
Other current liabilities		423.5				527.3
Total current liabilities		1,326.4				1,367.4
Long-term debt, less current portion		3,706.6				3,731.4
Long-term operating lease liabilities, less current portion		48.3				53.2
Deferred taxes		32.0				31.0
Other non-current liabilities		704.0				728.3
Total liabilities		5,817.3				5,911.3
Stockholders’ equity:
Preferred stock		—				—
Common stock		23.2				23.2
Additional paid-in capital		2,090.8				2,093.0
Retained earnings		2,485.6				2,400.7
Common stock in treasury		(3,528.6		)		(3,380.9		)
Accumulated other comprehensive loss, net of taxes		(969.6		)		(963.5		)
Total stockholders’ equity		101.4				172.5
Total liabilities and stockholders’ equity		$	5,918.7			$	6,083.8

				Calculation of Net Debt (Unaudited)
				(In USD millions)		March 31, 2021				December 31, 2020
				Short-term borrowings		$	8.8			$	7.2
				Current portion of long-term debt		22.1				22.3
				Long-term debt, less current portion		3,706.6				3,731.4
				Total debt		3,737.5				3,760.9
				Less: cash and cash equivalents		(370.0		)		(548.7		)
				Non-U.S. GAAP Net Debt		$	3,367.5			$	3,212.2

Sealed Air Corporation Condensed Consolidated Statements of Cash Flows (Unaudited)
		Three Months Ended March 31,
(In USD millions)		2021				2020
Net earnings		$	110.1			$	126.6
Adjustments to reconcile net earnings to net cash provided by operating activities(1)		68.4				55.0
Changes in operating assets and liabilities:
Trade receivables, net		(56.0		)		(33.6		)
Inventories, net		(70.9		)		(27.6		)
Accounts payable		69.3				0.3
Customer advance payments		2.6				5.3
Income tax receivable/payable		44.4				23.1
Other assets and liabilities		(88.0		)		(108.1		)
Net cash provided by operating activities		$	79.9			$	41.0
Cash flows from investing activities:
Capital expenditures		(43.9		)		(48.7		)
Receipts associated with sale of business and property and equipment		0.6				9.3
Payments associated with debt investments		(6.0		)		—
Investment in marketable securities		—				12.2
Settlement of foreign currency forward contracts		8.2				2.5
Other investing activities		0.1				—
Net cash used in investing activities		$	(41.0	)		$	(24.7	)
Cash flows from financing activities:
Net proceeds of short-term borrowings		1.7				69.4
Payments of long-term debt		(2.8		)		—
Dividends paid on common stock		(25.8		)		(25.7		)
Impact of tax withholding on share-based compensation		(13.7		)		(11.2		)
Repurchases of common stock		(177.1		)		—
Principal payments related to financing leases		(2.6		)		(3.0		)
Net cash (used in) provided by financing activities		$	(220.3	)		$	29.5
Effect of foreign currency exchange rate changes on cash and cash equivalents		$	2.7			$	(33.6	)
Cash and cash equivalents		548.7				262.4
Restricted cash and cash equivalents		—				—
Balance, beginning of period		$	548.7			$	262.4
Net change during the period		$	(178.7	)		$	12.2
Cash and cash equivalents		370.0				274.6
Restricted cash and cash equivalents		—				—
Balance, end of period		$	370.0			$	274.6
Non-U.S. GAAP Free Cash Flow:
Cash flow from operating activities		$	79.9			$	41.0
Capital expenditures for property and equipment		(43.9		)		(48.7		)
Free Cash Flow		$	36.0			$	(7.7	)
		Three Months Ended March 31,
(In USD millions)		2021				2020
Supplemental Cash Flow Information:
Interest payments, net of amounts capitalized		$	43.3			$	50.0
Income tax (refunds) payments, net		$	(1.6	)		$	15.9
Restructuring payments including associated costs		$	5.0			$	25.7
Non-cash items:
Transfers of shares of common stock from treasury for profit-sharing contributions		$	28.0			$	24.4

_______________
(1)	2021 adjustments primarily consist of depreciation and amortization of $46 million, share based compensation expense of $11 million and profit sharing expense of $6 million. 2020 adjustments primarily consist of depreciation and amortization of $43 million, share based compensation expense of $9 million and profit sharing expense of $6 million.

Sealed Air Corporation Reconciliation of Net Earnings and Net Earnings Per Common Share to Non-U.S. GAAP Adjusted Net Earnings and Non-U.S. GAAP Adjusted Net Earnings Per Common Share (Unaudited)
		Three Months Ended March 31,
		2021								2020
(In USD millions, except per share data)		Net Earnings				Diluted EPS				Net Earnings				Diluted EPS
U.S. GAAP net earnings and diluted EPS from continuing operations		$	105.8			$	0.68			$	114.5			$	0.74
Special Items(1)		16.0				0.10				(1.1		)		(0.01		)
Non-U.S. GAAP adjusted net earnings and adjusted diluted EPS		$	121.8			$	0.78			$	113.4			$	0.73
Weighted average number of common shares outstanding – Diluted						155.4								154.8

_______________
(1)	Special Items include the following:

		Three Months Ended March 31,
(In USD millions, except per share data)		2021				2020
Special Items:
Restructuring charges		$	—			$	0.6
Other restructuring associated costs(i)		5.3				4.0
Foreign currency exchange loss due to highly inflationary economies		1.4				0.9
Charges related to acquisition and divestiture activity		0.3				2.9
Other Special Items		0.8				1.7
Pre-tax impact of Special Items		7.8				10.1
Tax impact of Special Items and Tax Special Items		8.2				(11.2		)
Net impact of Special Items		$	16.0			$	(1.1	)
Weighted average number of common shares outstanding – Diluted		155.4				154.8
(Loss) Gain per share impact from Special Items		$	(0.10	)		$	0.01

_______________
(i)	Restructuring associated costs for the three months ended March 31, 2021 primarily relate to a one-time, non-cash cumulative translation adjustment loss (CTA) recognized due to the wind-up of one of our legal entities as well as fees paid to third-party consultants in support of the Reinvent SEE business transformation. Restructuring associated costs for the three months ended March 31, 2020, primarily relate to fees paid to third-party consultants in support of Reinvent SEE business transformation.
	The calculation of the non-U.S. GAAP Adjusted income tax rate is as follows:

		Three Months Ended March 31,
(In USD millions)		2021				2020
U.S. GAAP Earnings before income tax provision from continuing operations		$	160.4			$	147.2
Pre-tax impact of special items		7.8				10.1
Non-U.S. GAAP Adjusted Earnings before income tax provision		$	168.2			$	157.3
U.S. GAAP Income tax provision from continuing operations		$	54.6			$	32.7
Tax Special Items		(9.1		)		8.6
Tax impact of Special Items		0.9				2.6
Non-U.S. GAAP Adjusted Income tax provision		$	46.4			$	43.9
U.S. GAAP Effective income tax rate		34.0		%		22.2		%
Non-U.S. GAAP Adjusted income tax rate		27.6		%		27.9		%

Sealed Air Corporation Components of Change in Net Sales by Segment (Unaudited)
		Three Months Ended March 31,
(In USD millions)		Food							Protective							Total Company
2020 Net Sales		$	690.3			58.8	%		$	483.6			41.2	%		$	1,173.9			100.0		%
Price		4.0				0.6	%		3.6				0.7	%		7.6				0.7	%
Volume(1)		(2.7		)		(0.4	)%		62.9				13.0	%		60.2				5.1	%
Total constant dollar change (non-U.S. GAAP)(2)		1.3				0.2	%		66.5				13.7	%		67.8				5.8	%
Foreign currency translation		10.6				1.5	%		14.8				3.1	%		25.4				2.1	%
Total change (U.S. GAAP)		11.9				1.7	%		81.3				16.8	%		93.2				7.9	%
2021 Net Sales		$	702.2			55.4	%		$	564.9			44.6	%		$	1,267.1			100.0		%

Components of Change in Net Sales by Region(3) (Unaudited)
		Three Months Ended March 31,
(In USD millions)		Americas							EMEA							APAC							Total
2020 Net Sales		$	766.3			65.2	%		$	246.1			21.0	%		$	161.5			13.8	%		$	1,173.9			100.0		%
Price		9.1				1.2	%		0.3				0.1	%		(1.8		)		(1.1	)%		7.6				0.7	%
Volume(1)		22.5				2.9	%		16.0				6.5	%		21.7				13.4	%		60.2				5.1	%
Total constant dollar change (non-U.S. GAAP)(2)		31.6				4.1	%		16.3				6.6	%		19.9				12.3	%		67.8				5.8	%
Foreign currency translation		(10.0		)		(1.3	)%		18.9				7.7	%		16.5				10.2	%		25.4				2.1	%
Total change (U.S. GAAP)		21.6				2.8	%		35.2				14.3	%		36.4				22.5	%		93.2				7.9	%
2021 Net Sales		$	787.9			62.2	%		$	281.3			22.2	%		$	197.9			15.6	%		$	1,267.1			100.0		%

_______________
(1)	Our volume reported above includes the net impact of changes in unit volume as well as the period-to-period change in the mix of products sold.
(2)	Total constant dollar change is a non-U.S. GAAP financial measure which excludes the impact of foreign currency translation. Since we are a U.S. domiciled company, we translate our foreign currency denominated financial results into U.S. dollars. Due to changes in the value of foreign currencies relative to the U.S. dollar, translating our financial results from foreign currencies to U.S. dollars may result in a favorable or unfavorable impact. It is important that we take into account the effects of foreign currency translation when we view our results and plan our strategies. Nonetheless, we cannot control changes in foreign currency exchange rates. Consequently, when our management looks at our financial results to measure the core performance of our business, we exclude the impact of foreign currency translation by translating our current period results at prior period foreign currency exchange rates. We also may exclude the impact of foreign currency translation when making incentive compensation determinations. As a result, our management believes that these presentations are useful internally and may be useful to our investors.
(3)	As of January 1, 2021, we consolidated the reporting of the North America and South America geographic regions, which are now collectively presented as Americas. No changes were made to EMEA or APAC. This change has no impact on our prior period consolidated results and is only the aggregation of the previously bifurcated continents.

Sealed Air Corporation Segment Information Reconciliation of Net Earnings to Non-U.S. GAAP Total Company Adjusted EBITDA (Unaudited)
		Three Months Ended March 31,
(In USD millions)		2021				2020
Adjusted EBITDA from continuing operations:
Food		$	156.9			$	156.3
Adjusted EBITDA Margin		22.3		%		22.6		%
Protective		109.9				92.8
Adjusted EBITDA Margin		19.5		%		19.2		%
Corporate		1.4				4.1
Non-U.S. GAAP Total Company Adjusted EBITDA		$	268.2			$	253.2
Adjusted EBITDA Margin		21.2		%		21.6		%

		Three Months Ended March 31,
(In USD millions)		2021				2020
U.S. GAAP Net earnings from continuing operations		$	105.8			$	114.5
Interest expense, net		43.1				44.4
Income tax provision		54.6				32.7
Depreciation and amortization(1)		56.9				51.5
Special Items:
Restructuring charges		—				0.6
Other restructuring associated costs		5.3				4.0
Foreign currency exchange loss due to highly inflationary economies		1.4				0.9
Charges related to acquisition and divestiture activity		0.3				2.9
Other Special Items		0.8				1.7
Pre-tax impact of Special items		7.8				10.1
Non-U.S. GAAP Total Company Adjusted EBITDA		$	268.2			$	253.2

_______________
(1)	Depreciation and amortization by segment are as follows:

						Three Months Ended March 31,
				(In USD millions)		2021				2020
				Food		$	31.7			$	29.0
				Protective		25.2				22.5
				Total Company depreciation and amortization(i)		$	56.9			$	51.5

(i)

Includes share-based incentive compensation of $11.5 million and $8.5 million for the three months ended March 31, 2021 and 2020, respectively.

 

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KEYWORDS: United States North America North Carolina

INDUSTRY KEYWORDS: Packaging Manufacturing

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