Freescale Semiconductor, Inc., Reg
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TM Freescale, the Freescale logo, AltiVec, C-5, CodeTEST, CodeWarrior, ColdFire, C-Ware, the Energy Efficient Solutions logo, mobileGT, PowerQUICC, QorIQ, StarCore and Symphony are trademarks of Freescale Semiconductor, Inc., Reg. U.S. Pat. & Tm. Off. Airfast, BeeKit, BeeStack, ColdFire+, CoreNet, Flexis, Kinetis, MagniV, MXC, Platform in a Package, Processor Expert, QorIQ Qonverge, Qorivva, QUICC Engine, Ready Play, SMARTMOS, TurboLink, VortiQa and Xtrinsic are trademarks of Freescale Semiconductor, Inc. All other product or service names are the property of their respective owners. © 2012 Freescale Semiconductor, Inc. This Presentation includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements relate to, among other things, revenues, earnings, cash flows, capital expenditures, working capital and other financial items. These statements also relate to our business strategy, goals and expectations concerning our market position, future operations, margins, profitability, liquidity and capital resources. We have used the words "anticipate", "believe", "could", "estimate", "expect", "intend", "may", "plan", "predict", "project", "will" and similar terms and phrases to identify forward-looking statements in this Presentation. Although we believe the assumptions upon which these forward-looking statements are based are reasonable, any of these assumptions could prove to be inaccurate and the forward-looking statements based on these assumptions could be incorrect. Our operations involve risks and uncertainties, many of which are outside our control, and any one of which, or a combination of which, could materially affect our results of operations and whether the forward-looking statements ultimately prove to be correct. Actual results and trends in the future may differ materially from those suggested or implied by the forward-looking statements depending on a variety of factors which are described in greater detail in our most recent Annual Report on Form 10-K/A and other filings with the Securities Exchange Commission. All future written and oral forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the previous statements. We undertake no obligation to update any information contained herein or to publicly release the results of any revisions to any forward-looking statements that may be made to reflect events or circumstances that occur, or that we become aware of, after the date of this Presentation. Freescale, the Freescale logo, AltiVec, C-5, CodeTEST, CodeWarrior, ColdFire, C-Ware, the Energy Efficient Solutions logo, mobileGT, PowerQUICC, QorIQ, StarCore and Symphony are trademarks of Freescale Semiconductor, Inc., Reg. U.S. Pat. & Tm. Off. BeeKit, BeeStack, ColdFire+, CoreNet, Flexis, Kinetis, MXC, Platform in a TM 2 Package, Processor Expert, QorIQ Qonverge, Qorivva, QUICC Engine, SMARTMOS, TurboLink, VortiQa and Xtrinsic are trademarks of Freescale Semiconductor, Inc. All other product or service names are the property of their respective owners. © 2012 Freescale Semiconductor, Inc. • A Worldwide Leader of Embedded Processing Solutions • Legacy of Innovation • Well-Positioned in High Growth Markets • Long-term Customer Relationships • Efficient Manufacturing Strategy • Well positioned to drive earnings growth through margin expansion and deleveraging balance sheet Freescale, the Freescale logo, AltiVec, C-5, CodeTEST, CodeWarrior, ColdFire, C-Ware, the Energy Efficient Solutions logo, mobileGT, PowerQUICC, QorIQ, StarCore and Symphony are trademarks of Freescale Semiconductor, Inc., Reg. U.S. Pat. & Tm. Off. BeeKit, BeeStack, ColdFire+, CoreNet, Flexis, Kinetis, MXC, Platform in a TM 3 Package, Processor Expert, QorIQ Qonverge, Qorivva, QUICC Engine, SMARTMOS, TurboLink, VortiQa and Xtrinsic are trademarks of Freescale Semiconductor, Inc. All other product or service names are the property of their respective owners. © 2012 Freescale Semiconductor, Inc. A Global Leader in Five Core Product Four Primary Groups Markets Microcontrollers Automotive Digital Networking Networking Automotive MCU >50 Year Legacy Industrial >5,500 Engineers Analog >6,100 Patent Families RF Consumer Freescale, the Freescale logo, AltiVec, C-5, CodeTEST, CodeWarrior, ColdFire, C-Ware, the Energy Efficient Solutions logo, mobileGT, PowerQUICC, QorIQ, StarCore and Symphony are trademarks of Freescale Semiconductor, Inc., Reg. U.S. Pat. & Tm. Off. BeeKit, BeeStack, ColdFire+, CoreNet, Flexis, Kinetis, MXC, Platform in a TM 4 Package, Processor Expert, QorIQ Qonverge, Qorivva, QUICC Engine, SMARTMOS, TurboLink, VortiQa and Xtrinsic are trademarks of Freescale Semiconductor, Inc. All other product or service names are the property of their respective owners. © 2012 Freescale Semiconductor, Inc. Grow revenue to gain share Increase margin to improve profitability Single Realigning Reallocating Redistributing Manufacturing Businesses R&D Sales Operations Entity Freescale, the Freescale logo, AltiVec, C-5, CodeTEST, CodeWarrior, ColdFire, C-Ware, the Energy Efficient Solutions logo, mobileGT, PowerQUICC, QorIQ, StarCore and Symphony are trademarks of Freescale Semiconductor, Inc., Reg. U.S. Pat. & Tm. Off. BeeKit, BeeStack, ColdFire+, CoreNet, Flexis, Kinetis, MXC, Platform in a TM 5 Package, Processor Expert, QorIQ Qonverge, Qorivva, QUICC Engine, SMARTMOS, TurboLink, VortiQa and Xtrinsic are trademarks of Freescale Semiconductor, Inc. All other product or service names are the property of their respective owners. © 2012 Freescale Semiconductor, Inc. Gregg Lowe President & CEO Staff Product Groups Operations Alan Campbell James Bates David Reed Finance and Analog & Sensors Manufacturing Operations Information Technology Jeff Elson Human Resources Bob Conrad and Security Automotive MCU Jonathan Tom Deitrich Greenberg Digital Networking Legal Ritu Favre RF Geoff Lees Microcontrollers Freescale, the Freescale logo, AltiVec, C-5, CodeTEST, CodeWarrior, ColdFire, C-Ware, the Energy Efficient Solutions logo, mobileGT, PowerQUICC, QorIQ, StarCore and Symphony are trademarks of Freescale Semiconductor, Inc., Reg. U.S. Pat. & Tm. Off. BeeKit, BeeStack, ColdFire+, CoreNet, Flexis, Kinetis, MXC, Platform in a TM 6 Package, Processor Expert, QorIQ Qonverge, Qorivva, QUICC Engine, SMARTMOS, TurboLink, VortiQa and Xtrinsic are trademarks of Freescale Semiconductor, Inc. All other product or service names are the property of their respective owners. © 2012 Freescale Semiconductor, Inc. TM Freescale, the Freescale logo, AltiVec, C-5, CodeTEST, CodeWarrior, ColdFire, C-Ware, the Energy Efficient Solutions logo, mobileGT, PowerQUICC, QorIQ, StarCore and Symphony are trademarks of Freescale Semiconductor, Inc., Reg. U.S. Pat. & Tm. Off. Airfast, BeeKit, BeeStack, ColdFire+, CoreNet, Flexis, Kinetis, MagniV, MXC, Platform in a Package, Processor Expert, QorIQ Qonverge, Qorivva, QUICC Engine, Ready Play, SMARTMOS, TurboLink, VortiQa and Xtrinsic are trademarks of Freescale Semiconductor, Inc. All other product or service names are the property of their respective owners. © 2012 Freescale Semiconductor, Inc. Revenue $ Millions $1,194 $1,223 $1,148 $1,182 $1,108 $1,142 $1,020 $1,013 $1,029 $1,009 $951 $950 $957 $981 $893 $840 $824 2009 2010 2011 2012 1Q13 Freescale, the Freescale logo, AltiVec, C-5, CodeTEST, CodeWarrior, ColdFire, C-Ware, the Energy Efficient Solutions logo, mobileGT, PowerQUICC, QorIQ, StarCore and Symphony are trademarks of Freescale Semiconductor, Inc., Reg. U.S. Pat. & Tm. Off. BeeKit, BeeStack, ColdFire+, CoreNet, Flexis, Kinetis, MXC, Platform in a TM 8 Package, Processor Expert, QorIQ Qonverge, Qorivva, QUICC Engine, SMARTMOS, TurboLink, VortiQa and Xtrinsic are trademarks of Freescale Semiconductor, Inc. All other product or service names are the property of their respective owners. © 2012 Freescale Semiconductor, Inc. As % of Revenue 46% 46% 45% 44% 43% 42% 42% 43% 42% 41% 41% 39% 39% 38% 36% 31% 28% 2009 2010 2011 2012 1Q13 *Adjusted for purchase accounting and other items applicable to quarters prior to 2012. See GAAP reconciliations at www.freescale.com/investor . Freescale, the Freescale logo, AltiVec, C-5, CodeTEST, CodeWarrior, ColdFire, C-Ware, the Energy Efficient Solutions logo, mobileGT, PowerQUICC, QorIQ, StarCore and Symphony are trademarks of Freescale Semiconductor, Inc., Reg. U.S. Pat. & Tm. Off. BeeKit, BeeStack, ColdFire+, CoreNet, Flexis, Kinetis, MXC, Platform in a TM 9 Package, Processor Expert, QorIQ Qonverge, Qorivva, QUICC Engine, SMARTMOS, TurboLink, VortiQa and Xtrinsic are trademarks of Freescale Semiconductor, Inc. All other product or service names are the property of their respective owners. © 2012 Freescale Semiconductor, Inc. Net Debt $10,000 ($ in millions) • Reduced net debt by $3.2 billion since LBO $8,000 $8,816 • Extended maturity profile in connection with Q1 2013 refinancing transaction $6,000 $6,575 $5,649 • Committed to continued deleveraging $4,000 $2,000 $0 4Q06 1Q11 1Q13 Maturity Profile * $3,603 ($ in millions) $2,043 $614 $155 2013 2014 2015 2016 2017 2018 2019 2020 * Term loan due 2016 requires quarterly principal payments in aggregate annual amounts of $3.5 million. Term loan due 2020 requires quarterly principal payments in aggregate annual amounts of $24 million. Freescale, the Freescale logo, AltiVec, C-5, CodeTEST, CodeWarrior, ColdFire, C-Ware, the Energy Efficient Solutions logo, mobileGT, PowerQUICC, QorIQ, StarCore and Symphony are trademarks of Freescale