Information regarding forward-looking statements
This Interim Report on Form 10-Q contains certain statements, statistics and
projections that are, or may be, forward-looking. These forward-looking
statements are subject to known and unknown risks, uncertainties, assumptions
and other factors that could cause our actual results of operations, financial
condition, liquidity, performance, prospects, opportunities, achievements or
industry results, as well as those of the markets we serve or intend to serve,
to differ materially from those expressed in, or suggested by, these
forward-looking statements. The accuracy and completeness of all such
statements, including, without limitation, statements regarding our future
financial position, strategy, plans and objectives for the management of future
operations, is not warranted or guaranteed. These statements typically contain
words such as "believes," "intends," "expects," "anticipates," "estimates,"
"may," "will," "should" and words of similar import. By their nature,
forward-looking statements involve risk and uncertainty because they relate to
events and depend on circumstances that will occur in the future. We undertake
no obligation to update any forward-looking statements, whether as a result of
new information, future events or otherwise. Although we believe that the
expectations reflected in such statements are reasonable, no assurance can be
given that such expectations will prove to be correct. There are a number of
factors that could cause actual results and developments to differ materially
from those expressed or implied by such forward-looking statements. These
factors include, but are not limited to, factors identified in "Business," "Risk
factors," and "Management's Discussion and Analysis of Financial Condition and
Results of Operations," or elsewhere in this Interim Report, as well as:
•general economic conditions, or conditions affecting demand for the services
offered by us in the markets in which we operate, both domestically and
internationally, being less favorable than expected;
•worldwide economic and business conditions and conditions in the industries in
which we operate;
•ongoing impact of COVID-19 and future pandemics;
•fluctuations in the cost of raw materials and utilities;
•availability of essential inputs, including but not limited to, raw materials,
transport, energy and labor;
•currency fluctuations and other financial risks;
•our ability to protect our intellectual property;
•the amount of indebtedness we have incurred and may incur, and the obligations
to service such indebtedness and to comply with the covenants contained therein;
•relationships with our customers and suppliers;
•increased competition from other companies in the industries in which we
operate;
•changing technology;
•our ability to execute and integrate new acquisitions;
•claims for personal injury, death or property damage arising from the use of
products produced by us;
•the occurrence of accidents or other interruptions to our production processes;
•changes in our business strategy or development plans, and our expected level
of capital expenditure;
•our ability to attract and retain qualified personnel;
•restrictions on the ability of Luxfer Holdings PLC to receive dividends or
loans from certain of its subsidiaries;
•regulatory, environmental, legislative and judicial developments; and
•our intention to pay dividends.
Please read the sections "Business" and "Risk factors" included within the 2020
Annual Report on Form 10-K and "Management's Discussion and Analysis of
Financial Condition and Results of Operations," and "Risk factors" of this
Interim Report on Form 10-Q for a more complete discussion of the factors that
could affect our performance and the industries in which we operate, as well as
those discussed in other documents we file or furnish with the SEC.
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About Luxfer Luxfer is a global manufacturer of highly-engineered industrial materials, which focuses on value creation by using its broad array of technical know-how and proprietary technologies. Luxfer's high-performance products are used in defense and emergency response, healthcare, transportation, and general industrial settings. For more information, visit www.luxfer.com. Key trends and uncertainties regarding our existing business Impact of COVID-19 on operations

The global COVID-19 outbreak characterized by increased business uncertainty and broad based market weakness, had an adverse impact on our financial results during 2020 impacting demand across most of our end markets. We took a variety of actions during 2020 to help mitigate the financial impact, including executing additional cost savings measures, reducing our capital spending, initiating restructuring actions and proactively managing our working capital. Activity in most of the end markets we serve has improved throughout 2021 year-to-date, although like-for-like sales are still tracking at around 10% below the pre-pandemic 2019 level. The recovery in demand has had business impacts, including increased material cost inflation on key inputs (including magnesium, aluminum and carbon fiber), labor availability issues and energy and transport cost increases. Currently our expectation is that the impact of material and energy cost inflation and labor and transport constraints will continue at least into the fourth quarter of 2021, with continuing uncertainty around the outlook for 2022.

Luxfer's top priority during this global pandemic has been the health and well-being of our employees, customers, shareholders, and the communities in which we operate. The Company continues to monitor the COVID-19 situation closely, including subsequent constraints on supply, while simultaneously executing business continuity plans. These business continuity plans include, but are not limited to, (i) retooling operations to maintain social distance and maximize employee safety; (ii) increasing resources and efforts to manage supply constraints in order to satisfy demand from the most impactful parts of our business; (iii) expanding flexible work arrangements and policies, where practical, to maximize employee safety; and (iv) providing regular updates to our shareholders, employees, customers, and suppliers in a transparent and timely manner.




Operating objectives and trends
In 2021, we expect the following operating objectives and trends to impact our
business:
•Continuing proactive response to the COVID-19 pandemic, including the health
and well-being actions highlighted above, in addition to initiatives to
stimulate demand for products, ensure continuity of supply and focus on cost
saving programs;
•Divestiture of non-strategic aluminum businesses (identified as discontinued
operations) in the Gas Cylinders segment;
•Refocus on productivity acceleration and growth recovery post COVID-19 as we
capitalize on lean manufacturing initiatives and pursue faster product
innovation;
•Continued focus on developing global talent and implementing a high-performance
culture; and
•Continued focus on improved operating cash generation with lower restructuring
activity and maintaining strong working capital performance.
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