EX-99.1 2 dex991.htm SLIDES FOR THE FMC TECHNOLOGIES, INC. PRESENTATION ON DECEMBER 4, 2006 Slides for the FMC Technologies, Inc. presentation on December 4, 2006
2006 Capital One Southcoast
Energy Conference
Director of Investor Relations and Corporate Communications
Maryann T. Seaman
(281) 591-4080 Houston
maryann.seaman@fmcti.com
Presenters:
Peter D. Kinnear
President and COO
Exhibit 99.1

These slides and the accompanying presentation contain “forward-looking”
statements
which represent management’s best judgment as of the date hereof, based on currently
available
information.
Actual
results
may
differ
materially
from
those
contained
in
such
forward-looking statements.
The Company’s periodic reports filed under the Securities Exchange Act of 1934 include
information concerning factors that may cause actual results to differ from those
anticipated by these forward-looking statements. The Company undertakes no obligation
to update or revise these forward-looking statements to reflect new events or
uncertainties.
Although
the
Company
reports
its
results
using
GAAP,
the
Company
uses
non-GAAP
measures when management believes those measures provide useful information for its
stockholders.
The Appendices to this presentation provide reconciliations to GAAP for any non-GAAP
measures referenced in today’s presentation.

•
Citrus Extractors
•
Freezing Systems
•
Food Processing
Systems
•
Loaders
•
Deicers
•
Boarding
Bridges
•
RampSnake
•
Subsea Trees
•
Subsea
Controls
•
Subsea
Production Systems
•
Surface Wellheads
•
Floating Production
Systems
•
Separation Systems
•
Fluid Control
•
Loading Systems
•
Measurement Solutions
FMC Technologies at a Glance
2006 Q3 YTD Revenue: $2.7 Billion
Energy
Systems
77 %
Airport
Systems
9 %
FoodTech
14 %
Revenue from Continuing Operations

0
200
400
600
800
1,000
1,200
1,400
1,600
2001
2002
2003
2004
2005
2006 YTD
`
Subsea Production Systems
30% Compounded Annual Growth
Subsea
45%
All Others
55%
$M
2005 FTI Revenues
Subsea Revenue
Subsea is Our Largest And Fastest Growing Business

2002-Q3 2006
Unit Market Share*
Subsea Production Systems
Market Leader
*Source:  Quest Offshore Resources October 2006
Aker
Kvaerner
14%
Dril Quip
3%
Vetco Gray
17%
Cameron
26%
FTI
40%

Major Subsea
Project Opportunities
Greater than $150M Over the Next 15 Months
Operator
Project
Location
No of
Trees
Estimated
Value
Shell
Perdido
GoM
25
220
        
Shell
BC-10
Brazil
20
200
        
Statoil
Gjoa
Norway
12
250
        
Chevron
Gorgon
Australia
12
250
        
BP
Skarv
Norway
15
240
        
Shell
Gumusut
Malaysia
30
150
        
ExxonMobil
Bosi
Nigeria
17
200
        
Shell
Bonga SW
Nigeria
28
300
        
BP
Block 31
Angola
36
300
        
Total
Pazflor
Angola
46
700
        
Total
Usan
Nigeria
40
400
        
Chevron
Jack
GoM
24
200
        
305
3,410
$    
Total Major Project Awards

0
50
100
150
200
250
300
350
400
450
500
2004
2005
2006
2007
0
50
100
150
200
250
300
350
2004
2005
2006
2007 - 2008
Global Subsea Tree Installations*
FTI Manufacturing Capacity
FoodTech
Airport
Energy
Systems
Capacity Increases to Meet Tree Demand
$125 -
$130 million
Capital Spending Projections for 2006
*Source:  Quest Offshore Resources Inc. Sept. 2006
Units
Units

Growing Energy Systems
•
Expanding the subsea franchise
•
Expanding other energy businesses

Subsea Processing
Light Well
Intervention
Expanding the Subsea Franchise
Subsea Separation
Gas Compression

Light
Well Intervention
Increased Oil Recovery
•
Low-cost subsea well intervention
•
Enhanced reservoir recovery
•
6-year contract with Statoil
538
381
376
168  
1210  
Subsea Wells >5-yrs Old in ~2012
(Intervention need occurs after ~5 years of  production)

Tordis Subsea Separation Station
Potential to recover additional
19 million barrels
•
First full-scale subsea separation
station
•
Operational Q4 2007
•
Contract value for FTI $100 million

Subsea Gas Compression
Subsea Compression
Station
Subsea Compressor
System

Surface Wellhead Strategic Acquisition
Thermal Wellhead Product Line for Heavy Oil
•
Purchased assets of Galaxy Oilfield Services in Q3 2006
•
Supply specialty wellhead equipment for production of oil
sands and heavy oil
–
Unique high temperature technology
–
Market leader in Canada
–
Strong customer relationships
•
Synergies with FMC include
–
Facilities in Edmonton and Cold Lake, Alberta
–
Integration with current FMC Canada business will double Canadian presence
–
Replacement of FTI gates valves currently sourced from other suppliers
–
International distribution
–
World wide sourcing

Surface Systems Strategic Acquisition
Specialty Wellhead Products for Oil Sands Production
Oil Sands Thermal Wellhead
Steam Assisted Gravity Drainage
SAG-D
Producing
Well
Steam
Injection Well

Well Service Pumps
Expanding the Energy Franchise
•
Well service pump product introduction in January 2007 as part of
FMC’s Fluid Control business
•
Two pump models under development with maximum ratings of 2700
hp (Quintuplex) and 2400 hp (Triplex)
•
Estimating incremental revenue in the range of $20 -
$25 M for 2007

Order Inbound and Backlog
Continued Growth on the Strength of Subsea
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
2002
2003
2004
2005
2006 YTD
0
300
600
900
1,200
1,500
1,800
2,100
2,400
2002
2003
2004
2005
2006 YTD
Orders
Backlog
Energy Systems
FoodTech and Airport
$M
$M
1,969
2,299
3,058
3,495
899
1,008
1,530
1,886
2,154
2,982

$2.2
$2.7
$2.0
$2.5
$3.1
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
2002
2003
2004
2005
2006 YTD
Strong Financial Results
Energy Systems Driving Growth
1
See Appendix I  for reconciliation of 2004 adjusted segment operating profit (non-GAAP measure) to U.S. GAAP.
0
50
100
150
200
250
300
2002
2003
2004
2005
2006 YTD
Segment Operating Profit
(Adj. Op. Profit)
Airport
FoodTech
Energy Systems
1
$M
$B
Revenue

$2.00
$1.41
$2.84 - $2.89
$0.81
$3.70 - $3.90
$1.00
$0.00
$0.50
$1.00
$1.50
$2.00
$2.50
$3.00
$3.50
$4.00
2002
2003
2004
2005
2006 Est
2007 Est
Strong
Financial Results
Upward Trend in Income from Continuing Operations
Adjusted Income from Continuing Operations per Diluted Share
(Adjusted Income)
1
See Appendix II for reconciliation of 2004 and 2005 adjusted income per diluted share (non-GAAP measure) to U.S. GAAP.
2
Includes $0.05 to $0.07 per diluted share from estimated restructuring charge.
1
(Adjusted Income)
2
1

Strong Cash Flow Has Reduced Net Debt
At January 1, 2001, debt, net of cash is presented on a pro forma basis as defined in the Separation and Distribution
Agreement with FMC Corporation.
$164
$301
$245
$203
$193
$39
$103
$37
$66
$69
1/1/01     
(pro-forma)
12/31/01
12/31/02
12/31/03
12/31/04
12/31/05
Synthetic Leases
Debt Net of Cash
$M
9/30/06

Return On Investment
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
2002
2003
2004
2005
Return on Investment (ROI) is calculated as income from continuing operations plus after-tax interest expense as a percentage
of total average debt and equity.  The calculations of 2004 and 2005 ROI use adjusted income from continuing operations which
is a non-GAAP measure.  See Appendices I and III.
FMC Technologies
Oil Service Index Median
S&P 500 Median

In Summary
•
Strong and Growing Subsea Franchise
•
Expanding the Subsea Franchise
–
Light Well Intervention
–
Subsea Separation
–
Gas Compression
•
Growing Other Energy Business
–
Well Service Pumps
–
Thermal Wellhead for Oil Sands
•
Strong Balance Sheet
An Oilfield Services Company with

Appendices

Appendix I
Reconciliation of Non-GAAP measures (as required by Regulation G)
(In millions)
FY 2004
$     91.6
Net income from continuing operations (GAAP measure)
6.1
Add back: Goodwill impairment
$  124.2
Adjusted segment operating profit -
Energy Systems
(non-GAAP measure)
$    97.7
Adjusted income from continuing operations (non GAAP measure)
6.5
Add back: Goodwill impairment
$    117.7
Segment operating profit -
Energy Systems (GAAP measure)
FY 2004

Appendix II
Reconciliation of Non-GAAP measures (as required by Regulation G)
$  2.00
Adjusted income from continuing operations per diluted share (non-GAAP measure)
0.36
Plus:
Tax
expense
–
American
Jobs
Creation
Act
(0.22)
Less: Gain on disposal of investment
$  1.86
Income from continuing operations per diluted share (GAAP measure)
FY 2005
2005
$  1.41
Adjusted income from continuing operations per diluted share (non-GAAP measure)
0.09
Plus: Goodwill impairment
$  1.32
Income from continuing operations per diluted share (GAAP measure)
FY 2004
2004

Appendix III
Reconciliation of Non-GAAP measures (as required by Regulation G)
(In millions)
(15.4)
Less: Gain on disposal of investment, net of income taxes
$ 131.5
Net income from continuing operations (GAAP measure)
25.5
Plus: Tax expense –
American Jobs Creation Act
$ 141.6
Adjusted income from continuing operations (non-GAAP measure)
FY 2005