A little bit of history here. I said that we are about growth in earnings. In the ’06, ’08 period we were operating in an EPS level of approximately $1.50 per share and our ROIC was below our weight of average cost of capital. We have been focusing our strategy on leveraging the portfolio, restructuring assets and building a performance culture and as you can see, we’ve been successful. We’ve increased our performance significantly in the last few years.
We’ve been on the transformational path and journey and we’ve moved the needle with regard to our performance and are now on our next stage of target setting and have committed to delivering between $4.90 and $5 per share in 2014. This is on an adjusted EPS basis.
Let me now move to the Norit acquisition. This is an acquisition that has just been completed. We closed on the acquisition on July 31, so we are in the process of integration. We’ve been very fortunate to add a very high growth, higher margin business to our portfolio. Norit is the global leader in activated carbon. Activated carbons are used for purification of water, air, food and beverages, pharmaceuticals. It also gets used in catalyst type applications.
We see the addition of Norit continue to support the transformation of Cabot into a higher margin, less cyclical, specialty chemicals company and we saw the possibility of adding a business that had quite some similarities with our existing company, similarities around technology. The process of manufacturing activated carbon has some strong similarities. We used somewhat similar engineering and processes to achieve performance in carbon black as we do in activated carbon and we see the possibilities of leveraging those synergies between the two companies.Read the rest of this transcript for free on seekingalpha.com