UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of Earliest Event Reported): August 8, 2019
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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
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Securities registered pursuant to Section 12(b) of the Act:
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Representing Limited Partner Interests | Global Select Market | ||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 or Rule 12b-2 of the Securities Exchange Act of 1934. Emerging Growth Company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Section 7 - Regulation FD
Item 7.01 Regulation FD Disclosure.
Icahn Enterprises L.P. has attached hereto as Exhibit 99.1 a copy of updated presentation materials that it intends to use in connection with meetings with investors, groups of investors and media and in connection with presentations and speeches to various audiences.
The information contained in this Item 7.01 and Exhibit 99.1 is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section. In addition, the information contained in this Item 7.01 and Exhibit 99.1 shall not be incorporated by reference into any of Icahn Enterprises L.P.’s or Icahn Enterprises Holdings L.P.'s filings with the Securities and Exchange Commission or any other document except as shall be expressly set forth by specific reference in such filing or document.
Section 9 - Financial Statements and Exhibits
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits
104 - Cover Page Interactive Data File - the cover page interactive data file does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
ICAHN ENTERPRISES L.P. | |||
(Registrant) | |||
By: | Icahn Enterprises G.P. Inc., its general partner | ||
By: | /s/ Peter Reck | ||
Peter Reck | |||
Chief Accounting Officer | |||
Date: August 8, 2019
ICAHN ENTERPRISES HOLDINGS L.P. | |||
(Registrant) | |||
By: | Icahn Enterprises G.P. Inc., its general partner | ||
By: | /s/ Peter Reck | ||
Peter Reck | |||
Chief Accounting Officer | |||
Date: August 8, 2019
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Icahn Enterprises L.P. Investor Presentation August 2019
Forward-Looking Statements and Non-GAAP Financial Measures Forward-Looking Statements This presentation contains certain statements that are, or may be deemed to be, “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements included herein, other than statements that relate solely to historical fact, are “forward-looking statements.” Such statements include, but are not limited to, any statement that may predict, forecast, indicate or imply future results, performance, achievements or events, or any statement that may relate to strategies, plans or objectives for, or potential results of, future operations, financial results, financial condition, business prospects, growth strategy or liquidity, and are based upon management’s current plans and beliefs or current estimates of future results or trends. Forward-looking statements can generally be identified by phrases such as “believes,” “expects,” “potential,” “continues,” “may,” “should,” “seeks,” “predicts,” “anticipates,” “intends,” “projects,” “estimates,” “plans,” “could,” “designed,” “should be” and other similar expressions that denote expectations of future or conditional events rather than statements of fact. Our expectations, beliefs and projections are expressed in good faith and we believe that there is a reasonable basis for them. However, there can be no assurance that these expectations, beliefs and projections will result or be achieved. There are a number of risks and uncertainties that could cause our actual results to differ materially from the forward-looking statements contained in this presentation. These risks and uncertainties are described in our Annual Report on Form 10-K for the year ended December 31, 2018 and our Quarterly Report on Form 10-Q for the quarter ended June 30, 2019. There may be other factors not presently known to us or which we currently consider to be immaterial that may cause our actual results to differ materially from the forward-looking statements. All forward-looking statements attributable to us or persons acting on our behalf apply only as of the date of this presentation and are expressly qualified in their entirety by the cautionary statements included in this presentation. Except to the extent required by law, we undertake no obligation to update or revise forward-looking statements to reflect events or circumstances after the date such statements are made or to reflect the occurrence of unanticipated events. Non-GAAP Financial Measures This presentation contains certain non-GAAP financial measures, including EBITDA, Adjusted EBITDA and Indicative Net Asset Value. The non-GAAP financial measures contained herein have limitations as analytical tools and should not be considered in isolation or in lieu of an analysis of our results as reported under U.S. GAAP. These non-GAAP measures should be evaluated only on a supplementary basis in connection with our U.S. GAAP results, including those reported in our consolidated financial statements and the related notes thereto contained in our Annual Report on Form 10-K for the year ended December 31, 2018 and our Quarterly Report on Form 10-Q for the quarter ended June 30, 2019. A reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measures can be found in the back of this presentation. 2
Company Overview 3
Overview of Icahn Enterprises ▪ Icahn Enterprises L.P. is a diversified holding company with operating segments in Investment, Energy, Automotive, Food Packaging, Metals, Real Estate, Home Fashion and Mining (until sold on August 1, 2019) ▪ IEP is majority owned and controlled by Carl Icahn – Over many years, Carl Icahn has contributed most of his businesses to and executed transactions primarily through IEP – As of June 30, 2019, Carl Icahn and his affiliates owned approximately 92.0% of IEP’s outstanding depositary units ▪ IEP benefits from cash flows from its subsidiaries: – CVR Energy: $3.00 per share annualized dividend – Recurring cash flows from our Real Estate segment ▪ IEP has daily liquidity through its ability to redeem its investment in the funds on a daily basis ▪ IEP has an $8.00 annualized distribution (10.3% yield as of July 31, 2019) ($ millions) As of June 30, 2019 Twelve Months Ended June 30, 2019 Net Income (loss) Adj. EBITDA Segment Assets Revenue Attrib. to IEP Attrib. to IEP Investment(1) $ 9,289 $ (929) $ (442) $ (414) Energy 4,631 6,872 265 560 Automotive 3,624 2,875 (258) (74) Food Packaging 547 381 (12) 42 Metals 246 406 (8) 11 Real Estate 495 202 103 34 Home Fashion 237 166 (11) (2) Mining 393 157 36 51 Holding Company 3,817 (708) (1,030) (766) Discontinued Operations — 2,377 1,508 — Total $ 23,279 $ 11,799 $ 151 $ (558) (1) Investment segment total assets represents total equity (equity attributable to IEP was $4.6 billion) 4
Summary Corporate Organizational Chart Icahn 1% Icahn Enterprises L.P. Enterprises G.P. Inc. (NasdaqGS: IEP) 99% LP Interest 1% Icahn Enterprises Holdings L.P. Viskase 79% One of the worldwide leaders in cellulosic, fibrous and Companies Inc. plastic casings for processed meat industry (OTCPK:VKSC) As of 6/30/2019, Icahn Enterprises had investments with a fair market value of approximately $4.6 billion in Icahn Capital LP 100% the Investment Funds 100% Icahn Automotive Engaged in the distribution of automotive parts in the Group LLC aftermarket as well as providing automotive services One of the largest independent metal recycling 100% PSC Metals Inc. companies in the US 71% CVR Energy Inc. Independent refiner and marketer of transportation fuels (NYSE: CVI) Consists of rental commercial real estate, property AREP Real Estate 100% development and associated resort activities Holdings, LLC CVR Partners, LP Producer and distributer of 34% WestPoint Home 100% (NYSE: UAN) nitrogen fertilizer products Provider of home textile products for nearly 200 years LLC Note: Percentages denote equity ownership as of August 1, 2019. Excludes intermediary and pass through entities. 5
Diversified Subsidiary Companies with Significant Inherent Value ▪ IEP’s subsidiary companies possess key competitive strengths and / or leading market positions ▪ IEP seeks to create incremental value by investing in organic growth and targeting businesses that offer consolidation opportunities – Capitalize on attractive interest rate environment to pursue acquisitions and recognize meaningful synergies Strategically located mid-continent petroleum refiner and Engaged in the distribution of automotive parts in the aftermarket nitrogen fertilizer producer generating record profitability as well as providing automotive services Leading global market position in non-edible meat casings Established regional footprint positioned to actively participate poised to capture further growth in emerging markets in consolidation of the highly fragmented scrap metal market AREP Real Estate Holdings, LLC 200 year heritage with some of the best known brands in home Long-term real estate investment horizon with strong, steady fashion; consolidation likely in fragmented sector cash flows The Company’s diversification across multiple industries and geographies provides a natural hedge against cyclical and general economic swings 6
Evolution of Icahn Enterprises ▪ IEP began as American Real Estate Partners, which was founded in 1987, and has grown its diversified portfolio to eight operating segments and approximately $24 billion of assets as of June 30, 2019 ▪ IEP has demonstrated a history of successfully acquiring undervalued assets and improving and enhancing their operations and financial results ▪ IEP’s record is based on a long-term horizon that can enhance business value for continued operations and/or facilitate a profitable exit strategy – In 2017, IEP sold American Railcar Leasing for $3.4 billion, resulting in a pre-tax gain of $1.7 billion – In 2018, IEP sold Federal-Mogul for $5.1 billion, resulting in a pre-tax gain of $251 million, Tropicana for $1.5 billion, resulting in a pre-tax gain of $779 million and ARI for $1.75 billion, resulting in a pre-tax gain of $400 million – In 2019, IEP sold Ferrous Resources for aggregate consideration of approximately $550 million (including repaid indebtedness) ▪ Acquired partnership interest in Icahn Capital Management L.P. in 2007 – IEP and certain of Mr. Icahn's wholly owned affiliates are the sole investors in the Investment Funds ▪ IEP also has grown the business through organic investment and through a series of bolt-on acquisitions Timeline of Recent Acquisitions and Exits As of December 31, 2008 Current(1) ▪ Mkt. Cap: $1.9bn ▪ Mkt. Cap: $14.9bn ▪ Total Assets: $18.8bn ▪ Total Assets: $24.3bn American Railcar Industries CVR Energy CVR Refining & CVR Partners IEH Auto Parts Holding American Railcar Industries Ferrous 1/15/10: 54.4% of ARI’s 5/4/12: Acquired a majority 2013: CVR Refining completed 6/1/15: Acquired 12/5/18: Sold American Railcar Resources shares outstanding were interest in CVR via a tender IPO and secondary offering. CVR substantially all of the auto Industries for $1.75 billion 8/1/19: Sold contributed by Carl Icahn in offer to purchase all Partners completed a secondary part assets in the U.S. of Ferrous Resources exchange for IEP depositary outstanding shares of CVR offering Uni-Select Inc. for $550 million units Year: 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Viskase Tropicana Entertainment American Railcar Ferrous Resources Pep Boys American Railcar Federal-Mogul & Tropicana 1/15/10: 71.4% of 11/15/10: Received an Leasing 6/8/15: IEP acquired a 2/4/16: IEP Leasing 10/1/18: Sold Federal-Mogul Viskase’s shares equity interest as a result of 10/2/13: Acquired 75% controlling interest in acquired Pep 2017: Sale of ARL for for $5.1 billion and Tropicana outstanding were a Ch.11 restructuring and of ARL from companies Ferrous Resources Boys $3.4 billion for $1.5 billion contributed by Carl Icahn in subsequently acquired a wholly owned by Carl exchange for IEP majority stake Icahn depositary units (1) As of June 30, 2019. 7
Ability to Maximize Shareholder Value Through Proven Activist Strategy ▪ IEP seeks undervalued companies and often becomes “actively” involved in the targeted companies Putting Activism into Action ▪ Activist strategy requires significant capital, rapid execution and willingness to take control of companies ▪ With over 300 years of collective ▪ Implement changes required to improve experience, IEP’s investment and legal team is capable of unlocking businesses ▪ IEP pursues its activist strategy a target’s hidden value and seeks to promulgate change – Financial / balance sheet – Dealing with the board and restructuring management – Operation turnarounds – Proxy fights – Strategic initiatives Purchase of Stock or Debt – Tender offers – Corporate governance changes – Taking control ▪ Mr. Icahn and Icahn Capital have a long and successful track record of generating significant returns employing the activist strategy – IEP’s subsidiaries often started out as investment positions in debt or equity either directly by Icahn Capital or Mr. Icahn ▪ Active participation in the strategy and capital allocation for targeted companies – Not involved in day-to-day operations ▪ IEP will make necessary investments to ensure subsidiary companies can compete effectively 8
Deep Team Led by Carl Icahn ▪ Led by Carl Icahn – Substantial investing history provides IEP with unique network of relationships and access to Wall Street ▪ Team consists of approximately 20 professionals with diverse backgrounds – Well rounded team with professionals focusing on different areas such as equity, distressed debt and credit Years of Industry Name Title Years at Icahn Experience Keith Cozza President & Chief Executive Officer, Icahn Enterprises L.P. 15 18 SungHwan Cho Chief Financial Officer, Icahn Enterprises L.P. 13 22 Courtney Mather Portfolio Manager, Icahn Capital 5 20 Nick Graziano Portfolio Manager, Icahn Capital 3 24 Brett Icahn Consultant, Icahn Enterprises L.P. 13 13 Jesse Lynn General Counsel, Icahn Enterprises L.P. 15 24 Andrew Langham General Counsel, Icahn Enterprises L.P. 14 20 Michael Nevin Managing Director, Icahn Enterprises L.P. 4 10 Jonathan Frates Managing Director, Icahn Enterprises L.P. 4 10 9
Overview of Operating Segments 10
Segment: Investment Segment Description Highlights and Recent Developments ▪ IEP invests its proprietary capital through various ▪ Since inception in 2004 through June 30, 2019 the Investment Funds’ cumulative return private investment funds (the “Investment Funds”) was approximately 117.1%, representing an annualized rate of return of approximately managed by the Investment segment 5.4% ▪ Long history of investing in public equity and debt securities and pursuing activist agenda ▪ Fair value of IEP’s interest in the Investment Funds was approximately $4.6 billion as of June 30, 2019 ▪ Employs an activist strategy that seeks to unlock hidden value through various tactics – Financial / balance sheet restructurings (e.g., CIT Group, Apple) ▪ IEP has daily liquidity through its ability to redeem its – Operational turnarounds (e.g., Motorola, Navistar) investment in the Investment Funds on a daily basis – Strategic initiatives (e.g., eBay / PayPal, Xerox / Conduent) – Corporate governance changes (e.g., Newell, Caesars, DELL Technologies) ▪ As of June 30, 2019, the Investment Funds’ had a net short notional exposure of 37% Historical Segment Financial Summary Historical Returns(2) LTM Investment Segment FYE December 31, June 30, ($ millions) 2016 2017 2018 2019 Select Income Statement Data: Total revenue $ (1,223) $ 297 $ 737 $ (929) Net (loss) income (1,487) 118 679 (1,002) 33.3% 34.5% (3) 30.8% 7.9% Net (loss) income attrib. to IEP (604) 80 319 (442) 15.2% 20.2% 2.1% (4) Select Balance Sheet Data(1): (7.4)% (8.8)% (18)% Total Equity $ 7,541 $ 5,396 $ 10,101 $ 9,289 (20.3)% Equity attributable to IEP 3,428 1,669 5,066 4,624 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 (1) Balance Sheet data as of the end of each respective fiscal period. (2) Represents a weighted-average composite of the gross returns, net of expenses for the Investment Funds. (3) 2012 gross return assumes that IEP’s holdings in CVR Energy remained in the Investment Funds for the entire period. IEP obtained a majority stake in CVR Energy in May 2012. Investment Funds returns were approximately 6.6% when excluding returns on CVR Energy after it became a consolidated entity. 11 (4) For the six months ended June 30, 2019
Segment: Energy Segment Description Highlights and Recent Developments ▪ CVR Energy, Inc. (NYSE:CVI) is a diversified ▪ In January 2019, CVR Energy purchased the remaining common units of CVR holding company primarily engaged in the petroleum Refining not already owned by CVR Energy for $241 million, excluding the amount refining and nitrogen fertilizer manufacturing paid to us. As a result: businesses through its interests in CVR Refining, LP – CVR Energy and its affiliates own 100% of CVR Refining’s outstanding common and CVR Partners, LP (NYSE:UAN) units – CVR Refining is an independent petroleum refiner and marketer of high-value transportation fuels in ▪ CVR Energy's annualized dividend is $3.00 per unit the mid-continent of the United States – CVR Partners is a manufacturer of ammonia and urea ammonium nitrate solution fertilizer products Petroleum Historical Segment Financial Summary ▪ Strategic location and complex refineries allows CVR to benefit from access to price LTM advantaged crude oil Energy Segment FYE December 31, June 30, ($ millions) 2016 2017 2018 2019 – Approximately 221,000 bpcd of crude processing Select Income Statement Data: – Access to quality and price advantaged crude – 100% of crude purchased is Total revenue $ 4,764 $ 5,988 $ 7,135 $ 6,872 WTI based Adjusted EBITDA 303 405 821 940 Net (loss) income (603) 316 334 402 Adjusted EBITDA attrib. to IEP 153 215 457 560 Fertilizer Net (loss) income attrib. to IEP (327) 257 208 265 ▪ CVR Partners acquired an additional fertilizer plant in April 2016, giving it Select Balance Sheet Data(1): geographic and feed stock diversity Total assets $ 4,888 $ 5,013 $ 4,831 $ 4,631 Equity attributable to IEP 1,508 1,034 1,274 1,317 – Large geographic footprint serving the Southern Plains and Corn Belt region – 2018 UAN summer fill prices improved $30 to $40 per ton over last year (1) Balance Sheet data as of the end of each respective fiscal period. 12
Segment: Automotive Segment Description Highlights and Recent Developments ▪ We conduct our Automotive segment through our wholly owned subsidiary Icahn Automotive Group ▪ In October 2018, IEP sold Federal-Mogul, which was previously reported in our LLC ("Icahn Automotive"). Automotive segment. IEP is reporting Federal-Mogul's results in discontinued operations ▪ Icahn Automotive is engaged in the retail and wholesale distribution of automotive parts in the aftermarket as well as providing automotive repair ▪ Icahn Automotive is in the process of implementing a multi-year transformation and maintenance services to its customers. plan, which includes the integration and restructuring of the operations of its businesses. The transformation plan includes streamlining Icahn Automotive's corporate and field support teams; facility closures, consolidations and conversions; inventory optimization actions; and the re-focusing of its automotive parts business on certain core markets. Our Automotive segment's priorities include: – Positioning the service business to take advantage of opportunities in the do-it-for-me market and vehicle fleets; – Optimizing the value of the commercial parts distribution business in certain high-volume Historical Segment Financial Summary core markets; LTM Automotive Segment FYE December 31, June 30, – Exiting the automotive parts distribution business in certain low volume, non-core (2) markets; ($ millions) 2016 2017 2018 2019 Select Income Statement Data: – Improving inventory management across Icahn Automotive's parts and tire distribution Total revenue $ 2,503 $ 2,728 $ 2,856 $ 2,875 network; and Adjusted EBITDA 108 3 (48) (74) – Business process improvements, including investments in our supply chain and Net income (loss) 19 (51) (230) (258) information technology capabilities. Adjusted EBITDA attrib. to IEP 108 3 (48) (74) Net income (loss) attrib. to IEP 19 (51) (230) (258) Select Balance Sheet Data(1): Total assets $ 478 $ 2,573 $ 3,024 $ 3,624 Equity attributable to IEP 249 1,319 1,747 1,844 (1) Balance Sheet data as of the end of each respective fiscal period. (2) Results include Pep Boys beginning February 3, 2016 13
Segment: Food Packaging Segment Description Highlights and Recent Developments ▪ Viskase Companies, Inc (OTCPK:VKSC) is a worldwide leader in the production and sale of ▪ Future growth expected to be driven by changing diets of a growing middle class cellulosic, fibrous and plastic casings for the in emerging markets processed meat and poultry industry – Majority of revenues from emerging markets ▪ Leading worldwide manufacturer of non-edible – Acquired a plastic casing manufacturer in Poland in December 2016 and a cellulosic casings for small-diameter meats (hot fibrous casing manufacturer in January 2017 dogs and sausages) – Leading manufacturer of non-edible fibrous ▪ Developed markets remain a steady source of income casings for large-diameter meats (sausages, salami, hams and deli meats) – Distribution channels to certain customers spanning more than 50 years ▪ Significant barriers to entry – Technically difficult chemical production process Historical Segment Financial Summary – Significant environmental and food safety regulatory requirements LTM Food Packaging Segment FYE December 31, June 30, – Substantial capital cost ($ millions) 2016 2017 2018 2019 Select Income Statement Data: Total revenue $ 328 $ 389 $ 379 $ 381 ▪ Rights offering completed in January 2018 raising $50 million Adjusted EBITDA 55 62 54 53 Net income (loss) 8 (6) (15) (15) Adjusted EBITDA attrib. to IEP 40 45 43 42 Net income (loss) attrib. to IEP 6 (5) (12) (12) Select Balance Sheet Data(1): Total assets $ 416 $ 428 $ 511 $ 547 Equity attributable to IEP 23 25 55 54 (1) Balance Sheet data as of the end of each respective fiscal period. 14
Segment: Metals Segment Description Highlights and Recent Developments ▪ PSC Metals, Inc. is one of the largest independent metal recycling companies in the U.S. ▪ Increasing global demand for steel and other metals drives demand for U.S. scrap ▪ Collects industrial and obsolete scrap metal, processes it into reusable forms and supplies the recycled metals to its customers ▪ Scrap recycling process is “greener” than virgin steel production ▪ Strong regional footprint (Upper Midwest, St. Louis – Electric arc furnace drive scrap demand and are significantly more energy Region and the South) efficient than blast furnaces – Electric arc furnace steel mills are approximately 60% of U.S. production ▪ Highly fragmented industry with potential for further consolidation – Capitalizing on consolidation and vertical integration opportunities – PSC is building a leading position in its markets Historical Segment Financial Summary LTM ▪ Product diversification will reduce volatility through cycles Metals Segment FYE December 31, June 30, ($ millions) 2016 2017 2018 2019 – Expansion of non-ferrous share of total business Select Income Statement Data: Total revenue $ 269 $ 408 $ 467 $ 406 Adjusted EBITDA (15) 20 24 11 Net (loss) income (20) (44) 5 (8) Adjusted EBITDA attrib. to IEP (15) 20 24 11 Net (loss) income attrib. to IEP (20) (44) 5 (8) Select Balance Sheet Data(1): Total assets $ 215 $ 193 $ 233 $ 246 Equity attributable to IEP 182 155 177 170 (1) Balance Sheet data as of the end of each respective fiscal period. 15
Segment: Real Estate Segment Description Highlights and Recent Developments ▪ Consists of rental real estate, property development and club operations ▪ Business strategy is based on long-term investment outlook and operational expertise ▪ Rental real estate consists primarily of retail, office and industrial properties leased to single corporate tenants Rental Real Estate Operations ▪ Property development is focused on the construction ▪ Maximize value of commercial lease portfolio through effective management of existing and sale of single and multi-family houses, lots in properties subdivisions and planned communities and raw land for residential development – Seek to sell assets on opportunistic basis ▪ Club operations focus on operating golf club and related activities Property Development & Club Operations ▪ New Seabury in Cape Cod, Massachusetts and Grand Harbor in Vero Beach, Florida Historical Segment Financial Summary include land for future residential development of approximately 219 and 1,114 units, respectively LTM Real Estate Segment FYE December 31, June 30, (2) (2) ▪ Club operations in New Seabury, Cape Cod and Grand Harbor, Vero Beach focus on ($ millions) 2016 2017 2018 2019 operating golf club and related activities Select Income Statement Data: Net sales and other revenues from operations $ 88 $ 87 $ 106 $ 104 ▪ Includes hotel, timeshare and casino resort property in Aruba and Plaza Hotel and Adjusted EBITDA 35 40 48 34 Casino in Atlantic City, NJ, which ceased operations in 2014 Net income 5 549 112 103 Adjusted EBITDA attrib. to IEP 35 40 48 34 Net income attrib. to IEP 5 549 112 103 Select Balance Sheet Data(1): Total assets $ 701 $ 731 $ 508 $ 495 Equity attributable to IEP 656 684 465 452 (1) Balance Sheet data as of the end of each respective fiscal period. (2) Excludes results from timeshare and casino resort property in Aruba 16
Segment: Home Fashion Segment Description Highlights and Recent Developments ▪ WestPoint Home LLC is engaged in manufacturing, sourcing, marketing, distributing and selling home ▪ One of the largest providers of home textile goods in the United States fashion consumer products ▪ Transitioned majority of manufacturing to low cost plants overseas ▪ WestPoint Home owns many of the most well- known brands in home textiles including Martex, ▪ Streamlined merchandising, sales and customer service divisions Grand Patrician, Luxor and Vellux ▪ Focus on core profitable customers and product lines ▪ WPH also licenses brands such as IZOD, Under – WPH has implemented a more customer-focused organizational structure with the Canopy, Southern Tide and Hanes the intent of expanding key customer relationships and rebuilding the company’s sales backlog – Realizing success placing new brands with top retailers Historical Segment Financial Summary – Continued strength with institutional customers LTM Home Fashion Segment FYE December 31, June 30, ($ millions) 2016 2017 2018 2019 ▪ Consolidation opportunity in fragmented industry Select Income Statement Data: Total revenue $ 196 $ 183 $ 171 $ 166 ▪ Acquired Vision Support Services ("VSS") in June, 2019. VSS produces bedding Adjusted EBITDA (1) (9) — (2) and bath products for hospitality and healthcare sectors with strong presence in Net loss (12) (20) (11) (11) Europe and Middle East. VSS sources from a global network of 50 Adjusted EBITDA attrib. to IEP (1) (9) — (2) manufacturers Net loss attrib. to IEP (12) (20) (11) (11) Select Balance Sheet Data(1): Total assets $ 206 $ 193 $ 172 $ 237 Equity attributable to IEP 176 164 133 155 (1) Balance Sheet data as of the end of each respective fiscal period. 17
Financial Performance 18
Financial Performance Net (loss) Income Attributable to Adjusted EBITDA Attributable to Icahn Enterprises Icahn Enterprises $2,458 $641 $554 $1,477 $58 $329 $(1,128) $(558) FYE 2016 FYE 2017 FYE 2018 LTM 6/30/19 FYE 2016 FYE 2017 FYE 2018 LTM 6/30/19 LTM LTM FYE December 31, June 30, FYE December 31, June 30, ($ millions) 2016 2017 2018 2019 ($ millions) 2016 2017 2018 2019 Net (loss) income attributable to Icahn Enterprises: Adjusted EBITDA attributable to Icahn Enterprises: Investment $ (604) $ 80 $ 319 $ (442) Investment $ (528) $ 138 $ 339 $ (414) Energy (327) 257 208 265 Energy 153 215 457 560 Automotive 19 (51) (230) (258) Automotive 108 3 (48) (74) Food Packaging 6 (5) (12) (12) Food Packaging 40 45 43 42 Metals (20) (44) 5 (8) Metals (15) 20 24 11 Real Estate 5 549 112 103 Real Estate 35 40 48 34 Home Fashion (12) (20) (11) (11) Home Fashion (1) (9) — (2) Mining (19) 9 3 36 Mining 1 17 16 51 Railcar 112 1,171 1 — Railcar 266 136 (2) — Holding Company (287) 355 (638) (1,030) Holding Company (1) 36 (323) (766) Discontinued Operations (1) 157 1,720 1,686 Net (loss) income attributable to Adjusted EBITDA attributable to Icahn Enterprises $ (1,128) $ 2,458 $ 1,477 $ 329 Icahn Enterprises $ 58 $ 641 $ 554 $ (558) 19
Consolidated Financial Snapshot ($ Millions) LTM FYE December 31, Six Months Ended June 30, June 30, 2016 2017 2018 2018 2019 2019 Net income from continuing operations: Investment $ (1,487) $ 118 $ 679 $ 798 $ (883) $ (1,002) Energy (603) 316 334 138 206 402 Automotive 19 (51) (230) (52) (80) (258) Food Packaging 8 (6) (15) (4) (4) (15) Metals (20) (44) 5 7 (6) (8) Real Estate 5 549 112 14 5 103 Home Fashion (12) (20) (11) (8) (8) (11) Mining (24) 10 1 (1) 41 43 Railcar 117 1,171 1 1 — — Holding Company (287) 355 (639) (116) (508) (1,031) Net (loss) income from continuing operations $ (2,284) $ 2,398 $ 237 $ 777 $ (1,237) $ (1,777) Less: net income from continuing operations attributable to NCI (1,157) 97 480 531 (369) (420) Net (loss) income from continuing operations attributable to IEP $ (1,127) $ 2,301 $ (243) $ 246 $ (868) $ (1,357) Adjusted EBITDA: Investment $ (1,257) $ 284 $ 725 $ 825 $ (844) $ (944) Energy 303 405 821 384 503 940 Automotive 108 3 (48) — (26) (74) Food Packaging 55 62 54 28 27 53 Metals (15) 20 24 16 3 11 Real Estate 35 40 48 25 11 34 Home Fashion (1) (9) — (1) (3) (2) Mining 2 22 20 6 51 65 Railcar 271 136 (2) (2) — — Holding Company (1) 36 (323) 53 (390) (766) Consolidated Adjusted EBITDA $ (500) $ 999 $ 1,319 $ 1,334 $ (668) $ (683) Less: Adjusted EBITDA attributable to NCI (558) 358 765 674 (216) (125) Adjusted EBITDA attributable to IEP $ 58 $ 641 $ 554 $ 660 $ (452) $ (558) Capital expenditures $ 247 $ 316 $ 272 $ 126 $ 132 $ 278 20
Strong Balance Sheet ($ Millions) As of June 30, 2019 Food Home Holding Investment Energy Automotive Packaging Metals Real Estate Fashion Mining Company Consolidated Assets Cash and cash equivalents $ 8 $ 540 $ 53 $ 22 $ 3 $ 41 $ 4 $ — $ 3,337 $ 4,008 Cash held at consolidated affiliated partnerships and restricted cash 651 — — 1 1 2 1 — 8 664 Investments 8,191 82 107 — — 15 — — 463 8,858 Accounts receivable, net — 168 170 82 44 4 40 — — 508 Inventories, net — 390 1,231 111 39 — 80 — — 1,851 Property, plant and equipment, net — 2,950 939 166 124 382 69 — — 4,630 Goodwill and intangible assets, net — 268 388 31 14 19 22 — — 742 Assets held for sale — 6 — — 1 — 393 — 400 Other assets 1,508 227 736 134 20 32 21 — 9 2,687 Total assets $ 10,358 $ 4,631 $ 3,624 $ 547 $ 246 $ 495 $ 237 $ 393 $ 3,817 $ 24,348 Liabilities and Equity Accounts payable, accrued expenses and other liabilities $ 923 $ 1,076 $ 1,374 $ 206 $ 66 $ 41 $ 62 $ — $ 186 $ 3,934 Securities sold, not yet purchased, at fair value 146 — — — — — — — — 146 Liabilities held for sale — — — — — — — 164 — 164 Debt — 1,195 406 270 10 2 20 — 6,755 8,658 Total liabilities 1,069 2,271 1,780 476 76 43 82 164 6,941 12,902 Equity attributable to Icahn Enterprises 4,624 1,317 1,844 54 170 452 155 199 (3,124) 5,691 Equity attributable to non-controlling interests 4,665 1,043 — 17 — — — 30 — 5,755 Total equity 9,289 2,360 1,844 71 170 452 155 229 (3,124) 11,446 Total liabilities and equity $ 10,358 $ 4,631 $ 3,624 $ 547 $ 246 $ 495 $ 237 $ 393 $ 3,817 $ 24,348 21
IEP Summary Financial Information ($ Millions) ▪ Significant Valuation demonstrated by market value of IEP’s public subsidiaries and Holding Company interest in Funds and book value or market comparables of other assets Actual As of Jun 30 Sep 30 Dec 31 Mar 31 Jun 30 2018 2018 2018 2019 2019 Market-valued Subsidiaries and Investments: Holding Company interest in Funds(1) $ 3,354 $ 3,003 $ 5,066 $ 4,772 $ 4,624 CVR Energy(2) 2,634 2,864 2,455 2,933 3,559 CVR Refining - direct holding(2) 129 113 60 — — American Railcar Industries(2) 469 547 — — — Tenneco Inc.(2) — — 806 652 327 Total market-valued subsidiaries and investments $ 6,585 $ 6,527 $ 8,387 $ 8,357 $ 8,510 Other Subsidiaries: Tropicana(3) $ 1,509 $ 1,566 $ — $ — $ — Viskase(4) 198 185 147 141 123 Federal-Mogul(5) 2,094 2,041 — — — Real-Estate Holdings(1) 843 915 465 444 452 PSC Metals(1) 177 179 177 174 170 WestPoint Home(1) 137 134 133 129 155 ARL(6) 1 — — — — Ferrous Resources(7) 154 166 423 428 455 Icahn Automotive Group(1) 1,877 1,891 1,747 1,832 1,844 Total other subsidiaries $ 6,990 $ 7,077 $ 3,092 $ 3,148 $ 3,199 Add: Holding Company cash and cash equivalents(8) 79 97 1,834 2,139 3,337 Less: Holding Company debt(8) (5,505) (5,505) (5,505) (5,505) (6,755) Add: Other Holding Company net assets(9) 273 448 344 50 (33) Indicative Net Asset Value $ 8,422 $ 8,644 $ 8,152 $ 8,189 $ 8,258 Note: Indicative net asset value does not purport to reflect a valuation of IEP. The calculated Indicative net asset value does not include any value for our Investment Segment other than the fair market value of our investment in the Investment Funds. A valuation is a subjective exercise and Indicative net asset value does not necessarily consider all elements or consider in the adequate proportion the elements that could affect the valuation of IEP. Investors may reasonably differ on what such elements are and their impact on IEP. No representation or assurance, express or implied is made as to the accuracy and correctness of indicative net asset value as of these dates or with respect to any future indicative or prospective results which may vary. (1) Represents equity attributable to us as of each respective date. (2) Based on closing share price on each date (or if such date was not a trading day, the immediately preceding trading day) and the number of shares owned by the Holding Company as of each respective date. (3) Amounts based on market comparables due to lack of material trading volume, valued at 9.0x Adjusted EBITDA for the twelve months ended June 30, 2018. September 30, 2018 value is pro-forma the announced sale of Tropicana. (4) Amounts based on market comparables due to lack of material trading volume, valued at 9.0x Adjusted EBITDA for the twelve months ended June 30, 2018, September 30, 2018, December 31, 2018, March 31, 2019 and June 30, 2019. (5) June 30, 2018 and September 30, 2018 value is pro-forma the announced sale to Tenneco Inc. (6) Represents the option purchase price of the remaining cars not sold in the initial ARL sale, plus working capital as of that date. (7) Represents equity attributable to us as of each respective data, except for December 31, 2018, March 31, 2019 and June 30, 2019 which represent the estimated proceeds based on the sale agreement signed during December 2018. (8) Holding Company’s balance as of each respective date. 22 (9) Holding Company’s balance as of each respective date. For March 31, 2019, the distribution payable was adjusted to $27 million, which represents the actual distribution paid subsequent to March 21, 2019
Appendix Adjusted EBITDA 23
Non-GAAP Financial Measures The Company uses certain non-GAAP financial measures in evaluating its performance. These include non-GAAP EBITDA and Adjusted EBITDA. EBITDA represents earnings from continuing operations before interest expense, income tax (benefit) expense and depreciation and amortization. We define Adjusted EBITDA as EBITDA excluding the effects of impairment, restructuring costs, certain pension plan expenses, certain share-based compensation, discontinued operations, gains/losses on extinguishment of debt and certain other non-operational charges. We present EBITDA and Adjusted EBITDA a consolidated basis and attributable to Icahn Enterprises net of the effect of non- controlling interests. We conduct substantially all of our operations through subsidiaries. The operating results of our subsidiaries may not be sufficient to make distributions to us. In addition, our subsidiaries are not obligated to make funds available to us for payment of our indebtedness, payment of distributions on our depositary units or otherwise, and distributions and intercompany transfers from our subsidiaries to us may be restricted by applicable law or covenants contained in debt agreements and other agreements to which these subsidiaries currently may be subject or into which they may enter into in the future. The terms of any borrowings of our subsidiaries or other entities in which we own equity may restrict dividends, distributions or loans to us. We believe that providing EBITDA and Adjusted EBITDA to investors has economic substance as these measures provide important supplemental information of our performance to investors and permits investors and management to evaluate the core operating performance of our business without regard to interest, taxes and depreciation and amortization and the effects of impairment, restructuring costs, certain pension plan expenses, certain gains/losses on disposition of assets, certain share-based compensation, discontinued operations, gains/losses on extinguishment of debt and certain other non-operational charges. Additionally, we believe this information is frequently used by securities analysts, investors and other interested parties in the evaluation of companies that have issued debt. Management uses, and believes that investors benefit from referring to these non- GAAP financial measures in assessing our operating results, as well as in planning, forecasting and analyzing future periods. Adjusting earnings for these charges allows investors to evaluate our performance from period to period, as well as our peers, without the effects of certain items that may vary depending on accounting methods and the book value of assets. Additionally, EBITDA and Adjusted EBITDA present meaningful measures of performance exclusive of our capital structure and the method by which assets were acquired and financed. EBITDA and Adjusted EBITDA have limitations as analytical tools, and you should not consider them in isolation, or as substitutes for analysis of our results as reported under generally accepted accounting principles in the United States, or U.S. GAAP. For example, EBITDA and Adjusted EBITDA: • do not reflect our cash expenditures, or future requirements for capital expenditures, or contractual commitments; • do not reflect changes in, or cash requirements for, our working capital needs; and • do not reflect the significant interest expense, or the cash requirements necessary to service interest or principal payments on our debt. Although depreciation and amortization are non-cash charges, the assets being depreciated or amortized often will have to be replaced in the future, and EBITDA and Adjusted EBITDA do not reflect any cash requirements for such replacements. Other companies in the industries in which we operate may calculate EBITDA and Adjusted EBITDA differently than we do, limiting their usefulness as comparative measures. In addition, EBITDA and Adjusted EBITDA do not reflect the impact of earnings or charges resulting from matters we consider not to be indicative of our ongoing operations. EBITDA and Adjusted EBITDA are not measurements of our financial performance under U.S. GAAP and should not be considered as alternatives to net income or any other performance measures derived in accordance with U.S. GAAP or as alternatives to cash flow from operating activities as a measure of our liquidity. Given these limitations, we rely primarily on our U.S. GAAP results and use EBITDA and Adjusted EBITDA only as a supplemental measure of our financial performance. 24
Adjusted EBITDA Reconciliation by Segment – Last Twelve Months Ended June 30, 2019 ($ Millions) Food Home Holding Investment Automotive Energy Metals Mining Packaging Real Estate Fashion Company Consolidated Adjusted EBITDA: Net (loss) income $ (1,002) $ (258) $ 402 $ (8) $ 43 $ (15) $ 103 $ (11) $ (1,031) $ (1,777) Interest expense, net 58 18 101 — 2 17 — 1 311 508 Income tax (benefit) expense — (47) 90 1 2 (4) 4 — (47) (1) Depreciation, depletion and amortization — 91 347 18 2 27 18 7 — 510 EBITDA before non-controlling interests $ (944) $ (196) $ 940 $ 11 $ 49 $ 25 $ 125 $ (3) $ (767) $ (760) Impairment of assets — 87 — 1 — 1 — 1 — 90 Restructuring costs — 7 — 2 — 16 — (1) — 24 Non-service cost of U.S. based pension — — — — — (1) — — — (1) Loss (gain) on disposition of assets, net — 3 — (1) 3 — (89) — — (84) Other — 25 — (2) 13 12 (2) 1 1 48 Adjusted EBITDA before non-controlling interests $ (944) $ (74) $ 940 $ 11 $ 65 $ 53 $ 34 $ (2) $ (766) $ (683) Adjusted EBITDA attributable to IEP: Net (loss) income $ (442) $ (258) $ 265 $ (8) $ 36 $ (12) $ 103 $ (11) $ (1,030) $ (1,357) Interest expense, net 28 18 42 — 1 13 — 1 311 414 Income tax (benefit) expense — (47) 67 1 2 (2) 4 — (48) (23) Depreciation, depletion and amortization — 91 186 18 1 22 18 7 — 343 EBITDA attributable to Icahn Enterprises $ (414) $ (196) $ 560 $ 11 $ 40 $ 21 $ 125 $ (3) $ (767) $ (623) Impairment of assets — 87 — 1 — 1 — 1 — 90 Restructuring costs — 7 — 2 — 12 — (1) — 20 Non-service cost of U.S. based pension — — — — — (1) — — — (1) Loss (gain) on disposition of assets, net — 3 — (1) 2 — (89) — — (85) Other — 25 — (2) 9 9 (2) 1 1 41 Adjusted EBITDA attributable to Icahn Enterprises $ (414) $ (74) $ 560 $ 11 $ 51 $ 42 $ 34 $ (2) $ (766) $ (558) 25
Adjusted EBITDA Reconciliation by Segment – Six Months Ended June 30, 2019 ($ Millions) Food Home Holding Investment Automotive Energy Metals Mining Packaging Real Estate Fashion Company Consolidated Adjusted EBITDA: Net (loss) income $ (883) $ (80) $ 206 $ (6) $ 41 $ (4) $ 5 $ (8) $ (508) $ (1,237) Interest expense, net 39 10 52 — 2 9 — — 149 261 Income tax (benefit) expense — (22) 68 — 2 (2) (1) — (31) 14 Depreciation, depletion and amortization — 48 177 9 — 14 9 3 — 260 EBITDA before non-controlling interests $ (844) $ (44) $ 503 $ 3 $ 45 $ 17 $ 13 $ (5) $ (390) $ (702) Impairment of assets — — — — — 1 — — — 1 Restructuring costs — 2 — 2 — 7 — — — 11 Non-service cost of U.S. based pension — — — — — 1 — — — 1 Loss (gain) on disposition of assets, net — 2 — (1) — — — — — 1 Other — 14 — (1) 6 1 (2) 2 — 20 Adjusted EBITDA before non-controlling interests $ (844) $ (26) $ 503 $ 3 $ 51 $ 27 $ 11 $ (3) $ (390) $ (668) Adjusted EBITDA attributable to IEP: Net (loss) income $ (443) $ (80) $ 142 $ (6) $ 33 $ (3) $ 5 $ (8) $ (508) $ (868) Interest expense, net 19 10 24 — — 7 — — 149 209 Income tax (benefit) expense — (22) 51 — 2 (1) (1) — (31) (2) Depreciation, depletion and amortization — 48 99 9 — 11 9 3 — 179 EBITDA attributable to Icahn Enterprises $ (424) $ (44) $ 316 $ 3 $ 35 $ 14 $ 13 $ (5) $ (390) $ (482) Impairment of assets — — — — — 1 — — — 1 Restructuring costs — 2 — 2 — 5 — — — 9 Non-service cost of U.S. based pension — — — — — 1 — — — 1 Loss (gain) on disposition of assets, net — 2 — (1) — — — — — 1 Other — 14 — (1) 5 — (2) 2 — 18 Adjusted EBITDA attributable to Icahn Enterprises $ (424) $ (26) $ 316 $ 3 $ 40 $ 21 $ 11 $ (3) $ (390) $ (452) 26
Adjusted EBITDA Reconciliation by Segment – Six Months Ended June 30, 2018 ($ Millions) Food Home Holding Investment Automotive Energy Metals Railcar Mining Packaging Real Estate Fashion Company Consolidated Adjusted EBITDA: Net income (loss) $ 798 $ (52) $ 138 $ 7 $ 1 $ (1) $ (4) $ 14 $ (8) $ (116) $ 777 Interest expense, net 27 8 53 — — 2 7 1 — 166 264 Income tax (benefit) expense — (27) 24 — 2 2 (2) — — 2 1 Depreciation, depletion and amortization — 49 169 9 — 4 13 10 4 — 258 EBITDA before non-controlling interests $ 825 $ (22) $ 384 $ 16 $ 3 $ 7 $ 14 $ 25 $ (4) $ 52 $ 1,300 Impairment of assets — 3 — — — — — — — — 3 Restructuring costs — — — — — — — — 3 — 3 Non-service cost of U.S. based pension — — — — — — 8 — — — 8 Gain on disposition of assets, net — — — — (5) — — — — — (5) Other — 19 — — — (1) 6 — — 1 25 Adjusted EBITDA before non-controlling interests $ 825 $ — $ 384 $ 16 $ (2) $ 6 $ 28 $ 25 $ (1) $ 53 $ 1,334 Adjusted EBITDA attributable to IEP: Net income (loss) $ 318 $ (52) $ 85 $ 7 $ 1 $ — $ (3) $ 14 $ (8) $ (116) $ 246 Interest expense, net 11 8 22 — — 1 5 1 — 166 214 Income tax (benefit) expense — (27) 22 — 2 2 (2) — — 2 (1) Depreciation, depletion and amortization — 49 84 9 — 2 11 10 4 — 169 EBITDA attributable to Icahn Enterprises $ 329 $ (22) $ 213 $ 16 $ 3 $ 5 $ 11 $ 25 $ (4) $ 52 $ 628 Impairment of assets — 3 — — — — — — — — 3 Restructuring costs — — — — — — — — 3 — 3 Non-service cost of U.S. based pension — — — — — — 6 — — — 6 Gain on disposition of assets, net — — — — (5) — — — — — (5) Other — 19 — — — — 5 — — 1 25 Adjusted EBITDA attributable to Icahn Enterprises $ 329 $ — $ 213 $ 16 $ (2) $ 5 $ 22 $ 25 $ (1) $ 53 $ 660 27
Adjusted EBITDA Reconciliation by Segment – Year Ended December 31, 2018 ($ Millions) Food Home Holding Investment Automotive Energy Metals Railcar Mining Packaging Real Estate Fashion Company Consolidated Adjusted EBITDA: Net income (loss) $ 679 $ (230) $ 334 $ 5 $ 1 $ 1 $ (15) $ 112 $ (11) $ (639) $ 237 Interest expense, net 46 16 102 — — 2 15 1 1 328 511 Income tax (benefit) expense — (52) 46 1 2 2 (4) 5 — (14) (14) Depreciation, depletion and amortization — 92 339 18 — 6 26 19 8 — 508 EBITDA before non-controlling interests $ 725 $ (174) $ 821 $ 24 $ 3 $ 11 $ 22 $ 137 $ (2) $ (325) $ 1,242 Impairment of assets — 90 — 1 — — — — 1 — 92 Restructuring costs — 5 — — — — 9 — 2 — 16 Non-service cost of U.S. based pension — — — — — — 6 — — — 6 Loss (gain) on disposition of assets, net — 1 — — (5) 3 — (89) — — (90) Other — 30 — (1) — 6 17 — (1) 2 53 Adjusted EBITDA before non-controlling interests $ 725 $ (48) $ 821 $ 24 $ (2) $ 20 $ 54 $ 48 $ — $ (323) $ 1,319 Adjusted EBITDA attributable to IEP: Net income (loss) $ 319 $ (230) $ 208 $ 5 $ 1 $ 3 $ (12) $ 112 $ (11) $ (638) $ (243) Interest expense, net 20 16 40 — — 2 11 1 1 328 419 Income tax (benefit) expense — (52) 38 1 2 2 (3) 5 — (15) (22) Depreciation, depletion and amortization — 92 171 18 — 3 22 19 8 — 333 EBITDA attributable to Icahn Enterprises $ 339 $ (174) $ 457 $ 24 $ 3 $ 10 $ 18 $ 137 $ (2) $ (325) $ 487 Impairment of assets — 90 — 1 — — — — 1 — 92 Restructuring costs — 5 — — — — 7 — 2 — 14 Non-service cost of U.S. based pension — — — — — — 4 — — — 4 Loss (gain) on disposition of assets, net — 1 — — (5) 2 — (89) — — (91) Other — 30 — (1) — 4 14 — (1) 2 48 Adjusted EBITDA attributable to Icahn Enterprises $ 339 $ (48) $ 457 $ 24 $ (2) $ 16 $ 43 $ 48 $ — $ (323) $ 554 28
Adjusted EBITDA Reconciliation by Segment – Year Ended December 31, 2017 ($ Millions) Food Home Holding Investment Automotive Energy Metals Railcar Mining Packaging Real Estate Fashion Company Consolidated Adjusted EBITDA: Net income (loss) $ 118 $ (51) $ 316 $ (44) $ 1,171 $ 10 $ (6) $ 549 $ (20) $ 355 $ 2,398 Interest expense, net 166 13 109 — 23 5 13 2 — 319 650 Income tax (benefit) expense — (146) (341) 43 531 3 21 — — (643) (532) Depreciation, depletion and amortization — 111 322 20 7 5 25 20 8 — 518 EBITDA before non-controlling interests $ 284 $ (73) $ 406 $ 19 $ 1,732 $ 23 $ 53 $ 571 $ (12) $ 31 $ 3,034 Impairment of assets — 15 — — 68 — 1 2 1 — 87 Restructuring costs — — — 1 — — 2 — 1 — 4 Non-service cost of U.S. based pension — — — — — — 4 — — — 4 Gain on disposition of assets, net — (5) — — (1,664) — — (496) — (1) (2,166) Tax settlements — — — — — — — (38) — — (38) Other — 66 (1) — — (1) 2 1 1 6 74 Adjusted EBITDA before non-controlling interests $ 284 $ 3 $ 405 $ 20 $ 136 $ 22 $ 62 $ 40 $ (9) $ 36 $ 999 Adjusted EBITDA attributable to IEP: Net income (loss) $ 80 $ (51) $ 257 $ (44) $ 1,171 $ 9 $ (5) $ 549 $ (20) $ 355 $ 2,301 Interest expense, net 58 13 44 — 23 4 9 2 — 319 472 Income tax (benefit) expense — (146) (240) 43 531 2 16 — — (643) (437) Depreciation, depletion and amortization — 111 155 20 7 2 18 20 8 — 341 EBITDA attributable to Icahn Enterprises $ 138 $ (73) $ 216 $ 19 $ 1,732 $ 17 $ 38 $ 571 $ (12) $ 31 $ 2,677 Impairment of assets — 15 — — 68 — 1 2 1 — 87 Restructuring costs — — — 1 — — 1 — 1 — 3 Non-service cost of U.S. based pension — — — — — — 3 — — — 3 Gain on disposition of assets, net — (5) — — (1,664) — — (496) — (1) (2,166) Tax settlements — — — — — — — (38) — — (38) Other — 66 (1) — — — 2 1 1 6 75 Adjusted EBITDA attributable to Icahn Enterprises $ 138 $ 3 $ 215 $ 20 $ 136 $ 17 $ 45 $ 40 $ (9) $ 36 $ 641 29
Adjusted EBITDA Reconciliation by Segment – Year Ended December 31, 2016 ($Millions) Food Home Holding Investment Automotive Energy Metals Railcar Mining Packaging Real Estate Fashion Company Consolidated Adjusted EBITDA: Net (loss) income $ (1,487) $ 19 $ (603) $ (20) $ 117 $ (24) $ 8 $ 5 $ (12) $ (287) $ (2,284) Interest expense, net 230 7 82 — 62 5 12 2 — 288 688 Income tax (benefit) expense — (32) (44) (16) — 2 8 — — (5) (87) Depreciation, depletion and amortization — 98 294 22 92 6 20 22 8 — 562 EBITDA before non-controlling interests $ (1,257) $ 92 $ (271) $ (14) $ 271 $ (11) $ 48 $ 29 $ (4) $ (4) $ (1,121) Impairment of assets — 1 574 1 — — — 5 2 3 586 Restructuring costs — — — 2 — — 3 — — — 5 Non-service cost of U.S. based pension — — — — — — 5 — — — 5 Gain on disposition of assets, net — (1) — (1) — — — (1) — — (3) Other — 16 — (3) — 13 (1) 2 1 — 28 Adjusted EBITDA before non-controlling interests $ (1,257) $ 108 $ 303 $ (15) $ 271 $ 2 $ 55 $ 35 $ (1) $ (1) $ (500) Adjusted EBITDA attributable to IEP: Net (loss) income $ (604) $ 19 $ (327) $ (20) $ 112 $ (19) $ 6 $ 5 $ (12) $ (287) $ (1,127) Interest expense, net 76 7 31 — 62 4 9 2 — 288 479 Income tax (benefit) expense — (32) (31) (16) — 2 6 — — (5) (76) Depreciation, depletion and amortization — 98 146 22 92 4 14 22 8 — 406 EBITDA attributable to Icahn Enterprises $ (528) $ 92 $ (181) $ (14) $ 266 $ (9) $ 35 $ 29 $ (4) $ (4) $ (318) Impairment of assets — 1 334 1 — — — 5 2 3 346 Restructuring costs — — — 2 — — 2 1 — — 5 Non-service cost of U.S. based pension — — — — — — 4 — — — 4 Gain on disposition of assets, net — (1) — (1) — — — (1) — — (3) Other — 16 — (3) — 10 (1) 1 1 — 24 Adjusted EBITDA attributable to Icahn Enterprises $ (528) $ 108 $ 153 $ (15) $ 266 $ 1 $ 40 $ 35 $ (1) $ (1) $ 58 30