Borealis – Credit Update

Borealis – Credit Update
■ Borealis, headquartered in Vienna, Austria, was formed in 1994
through the merger of Neste's and Statoil's petrochemical
operations. The company is Europe's second biggest producer of
polyethylene and polypropylene in its Polylefins segment (67% of FY11
sales) and it sells petrochemicals in its Base Chemicals segment (31% of
FY11 sales). In FY11, Borealis generated sales of EUR 7,096mn
delivering EBITDA of EUR 569mn. Since 2005, Borealis has been
majority owned by the International Petroleum Investment Company of
Abu Dhabi (64%, rated Aa3s/AAs/AAs; owned by the government of the
Emirate of Abu Dhabi) and Austrian OMV AG (36%, rated A3s/--/A-s;
partially owned by Austrian government).
■ Borealis is a fully integrated petrochemicals player with a focus on
polyolefins. The company owns and operates two crackers for the
production of the required feedstock (ethylene and propylene) from
naphtha. At sites where it does not operate crackers (Schwechat,
Burghausen), ethylene and propylene are procured from its main
shareholder OMV (or other JV partners). Borealis sells its polyolefins to a
wide range of customers, including the automotive, wire & cable, pipe,
and packaging industries. In its Base Chemicals segment, Borealis sells
other chemical byproducts, as well as phenol, melamine and plant
nutrients, which are used in a number of products such as paints, fibers,
pharmaceuticals, coatings etc.
■ Borealis and Abu Dhabi National Oil Company (ADNOC) formed a
40/60 polyolefin JV ('Borouge') in 1998 to serve the fast growing
Asian markets and exploit cheaply available feedstock. Since 2008,
both JV partners have been investing in the third capacity expansion
('Borouge 3'), which will add a further 2.5mn tons p.a. by 2014, creating
the world's largest integrated olefins/polyolefins site with an annual
production capacity of 4.5mn tons. The total cost of the capacity
expansion is expected to be around USD 4.5bn, supported by local debt
financing combined with equity contribution by the shareholders, which
are so far covered by the JV’s strong earnings generation (reinvestment
of cash flows by shareholders). Borealis does not expect the need for a
cash contribution in the near future.
■ In a volatile market environment in FY11, Borealis posted solid
results. FY11 sales of EUR 7.1bn were up by 13% mostly due to higher
prices with largely flat volumes. In light of strongly rising feedstock costs
(+17% yoy), operating profit declined by 18% yoy to EUR 285mn.
Borealis posted negative free cash flow (after capex and dividends) of
EUR -141mn due to a step up in capex (EUR 282mn vs. EUR 136mn in
the prior year) and dividends (EUR 101mn vs. no payout in FY10). At
FYE 2011, adjusted net leverage stood at 2.8x (vs. 2.5x in FY10) with the
gearing ratio at 35% (vs. 37% in the prior year).
■ For FY12, Borealis remains cautious in light of macro concerns,
expecting a gradual recovery over the remainder of the year despite
current challenging operating conditions. Current trading in 2Q12 in
Europe is challenging with low visibility and cautious order behavior from
customers, leading to lower capacity utilization and product prices.
Borealis considers market conditions in Asia to be much brighter, which
bodes well for its Borouge JV and contributions stemming from it.
8 June 2012 Credit Research
Credit Flash – HG Industrials
Major bond issues
Mat Cpn Swap
BRLS 04/17 5.375% 255/234bp
Company web site
www.borealisgroup.com
Financial calendar
1H12 report: 09.08.2012
FY12 report: 20.02.2013
BOND PRICE DEVELOPMENT
0
Apr-10 Jul-10 Oct-10 Jan-11 Apr-11 Jul-11 Oct-11 Jan-12 Apr-12
UniCredit Research page 1 See last pages for disclaimer.
bp
350
300
250
200
150
100
50
BRLS 5.375% 4/17
Author
Max Huefner (UniCredit Bank)
Credit Analyst
+49 89 378-13212
max.huefner@unicreditgroup.de
Bloomberg
UCGR
Internet
www.research.unicreditgroup.eu
Source: Bloomberg, UniCredit Research

SWOT Analysis
8 June 2012 Credit Research
Credit Flash - Borealis AG
Strengths/Opportunities ■ Strong market position as Europe's second biggest producer of polyethylene and
polypropylene
■ Good backward integration through its steam crackers and Base Chemical business and
access to feedstock through its shareholders
■ Positive earnings contributions of its Borouge Joint Venture with Abu Dhabi National Oil
Company (60%), which benefits from cheap feedstock supply
■ Growth opportunities in the Far East and China, in particular through Borouge
■ Strong shareholder background with long-term strong strategic interest of IPIC (Aa3/AA)
and OMV (A3/A-)
■ Conservative capital structure with gearing target of 40-60% (FYE 2011: 35%)
■ Prudent financial policy, with Borealis never engaging in excessive debt-financed
acquisitions, thereby reducing event risk
■ Strong innovation focus, with Borealis developing leading proprietary technologies (i.e.
Borstar) and investing in innovation centers (i.e. research center in Austria; innovation
center in Abu Dhabi for its Borouge JV)
■ Diversification in the Base Chemicals sector (further strengthened by the further expansion
of the fertilizer activities through the acquisition of PEC-Rhin in 2011)
Weaknesses/Threats ■ Pronounced earnings volatility in the cyclical petrochemical industry
■ Low geographic diversification with 81% of FY11 sales coming from Europe; however,
shareholding in Borouge JV provides exposure to robustly growing Asian market
■ Significant capacity is expected to come on stream in the Middle East, which might put
additional pressure on pricing and hence margins
■ Relatively low EBITDA margins, which nevertheless are in line with those of other players
in the petrochemicals industry
■ Earnings contributions from its JV not fully cash accretive to Borealis
■ Significant capex requirements for the expansion of its Borouge JV in Abu Dhabi, though
most of it is expected to be covered by the JV's earnings contribution
■ No detailed cash flow data available (changes in working capital are not disclosed); lack of
interim quarterly financial information
■ Potential combination of Borealis with NOVA Chemicals (owned by Borealis' shareholder
IPIC) although there is currently no fixed timetable. In the past, it was contemplated that
Borealis might acquire up to 24.9% of the share capital in NOVA Chemicals, however, to
date there has been no news concerning this.
UniCredit Research page 2 See last pages for disclaimer.

Key Credit Points
8 June 2012 Credit Research
Credit Flash - Borealis AG
Company overview Borealis AG, headquartered in Vienna, Austria, was formed as recently as 1994 through
the merger of Neste's and Statoil's petrochemical and polyolefins operations. However,
the group looks back on more than 50 years of experience in the production of polyolefins
under the aegis of various predecessor companies. Borealis has customers in around 120
countries with production sites located close to its key markets in Europe, the US and Latin
America. Through the production capacity provided by its Borouge Joint Venture, established
1998 in Abu Dhabi, United Arab Emirates, Borealis serves the emerging markets of Asia and
China in particular. Borealis has around 5,100 employees worldwide.
While the Polyolefins segment represents the majority of sales, we note that in FY11 the
majority of operating profit was generated by the Base Chemicals segment.
SALES BY SEGMENT (FY11) SALES BY REGION
Base Chemicals
31.3%
Integrated petrochemical
company
Subject to feedstock cost
volatility
Non Allocated
1.4%
Polyolefins
67.4%
4000
3500
3000
2500
2000
1500
1000
500
0
EU Europe excl.
EU
2009 2010 2011
USA Middle East
and Asia
Others
Source: Company data, UniCredit Research
Borealis is a fully integrated petrochemical company with a historic focus on
polyolefins production. However, as an integrated company owning and operating two
naphtha-based steam crackers (in Finland and Sweden) and one ethane-based cracker at its
Borouge JV (see below), Borealis produces the full range of hydrocarbon feedstock, such as
olefins (ethylene, propylene), butadiene as well as aromatics. While the olefins are used as
feedstock in Borealis' own polyolefins production, the available butadiene and aromatics
(such as benzene and xylene) are mainly sold on to various manufacturing industries through
its Base Chemicals segment (around 32% of FY11 sales). Given that the company does not
operate crackers at its production sites (in Schwechat and Burghausen), it procures the
required ethylene and propylene for its polyolefins plants from its main shareholder (OMV) or
joint venture partners.
Borealis is subject to the volatility in crude oil prices. Given that the majority of crude oil
is used in the fuel industry, the price for naphtha is closely linked to that of gasoline. As a
result, chemical producers such as Borealis, which operates two naphtha-based crackers, are
subject to strong volatility in the price of their main feedstock. In Europe, naphtha-based
crackers are common, while in North America and the Middle East natural gas is the dominant
feedstock. In the energy-intensive cracking process, naphtha (or natural gas) is split (cracked)
into smaller carbon chains (C2 = ethylene, C3= propylene, C4= butadiene) and rings (called
aromatics such as benzene). The price for these cracker products is determined and fixed
once a quarter (cracker margin), which makes cracker operators vulnerable to short-term
fluctuations in the underlying feedstock, i.e. crude oil (more precisely naphtha) or natural gas,
UniCredit Research page 3 See last pages for disclaimer.

8 June 2012 Credit Research
and can turn the cracker margin negative until the next margin settlement.
Credit Flash - Borealis AG
Segments Borealis maintains two segments, Polyolefins and Basic Chemicals, which are
described below:
■ Polyolefins (68% of FY11 sales): Borealis is Europe's second biggest producer of
polyethylene (PE) and polypropylene (PP) (trailing only LyondellBasell with other
competitors including Ineos, Dow Chemical, SABIC) used in the infrastructure, automotive
and packaging industries. The business segment serves a broad variety of markets, and
focuses on high value-added polyolefin grades with superior performance properties and
supposedly less price volatility. Borealis, for example, produces high performance
polymers for the automotive industry which are used in car body panels, dashboards, and
bumpers to reduce weight and thus fuel consumption. It is also an important supplier to the
wire and cable industry (data and communication wires, high, medium and low voltage
energy cables, etc.) and the pipe industry (water and gas distribution pipes, waste and
sewage, chemicals pipes). Other applications of Borealis polyolefins include packaging for
healthcare, food, boxes, etc.
■ Base Chemicals (32% of FY11 sales): Borealis sells a variety of products from the steam
cracking process in its Base Chemicals segment. Borealis' two crackers are included in this
business segment, which also produces the feedstock for the Polyolefins segment. Despite
having operated crackers for some years, Borealis' Base Chemicals was only created as a
separate segment in 2007. The segment is a leading producer of phenol in the Baltic
region. Phenol is a key feedstock in the production of polycarbonates (engineering plastics
used in windows, for example), nylon and, as the name suggests, phenolic resins. Borealis
also produces Acetone, which is a byproduct of the phenol production process, and is used
in solvents for paints, fibers and pharmaceuticals. In Melamines, which are used in the
production of laminates, adhesives for wood-based applications, coatings and compounds
for household goods, Borealis is the European market leader and the second largest
producer in the world. In Linz, Borealis also manufactures plant nutrients. With the
acquisition of the French fertilizer producer PEC-Rhin in November 2011 (acquisition price
not disclosed, but we estimate an amount of around EUR 100mn), Borealis strengthened
its fertilizer activities (including, among others, nitrogen fertilizers). Given the strong
product diversification, Borealis competes with a number of chemical producers including
Yara, Agrofert, Fertiberia, and OCI Melamine.
SALES BY SEGMENT OPERATING PROFIT BY SEGMENT
EUR mn
6,000
5,000
4,000
3,000
2,000
1,000
0
2006 2007 2008 2009 2010 2011
Polyolefins Base Chemicals Non Allocated
in EURmn
400
300
200
100
0
-100
-200
-300
2006 2007 2008 2009 2010 2011
Polyolefins Base Chemicals Non Allocated
Source: Company data, UniCredit Research
Borouge JV In 1998, Borealis and Abu Dhabi National Oil Company formed the Borouge JV in order
UniCredit Research page 4 See last pages for disclaimer.

SHARE IN ASSOCIATED COMPANIES
8 June 2012 Credit Research
Credit Flash - Borealis AG
to serve the fast growing Asian markets (especially China) and use cheaply available
feedstock. Borouge is located in Ruwais, Abu Dhabi in the United Arab Emirates, while its
sales & marketing office, Borouge Pte Ltd, is based in Singapore. The first two expansion
stages of Borouge ("Borouge 1 and 2") started production in 2001 and 2010 using Borealis'
proprietary Borstar technology. Existing annual capacity of around 2 million tons will be
increased to 4.5 million tons by 2014, which will create the largest integrated
olefins/polyolefins site in the world. The total cost of the capacity expansion is expected to be
around USD 4.5bn, which is largely covered by the JV's strong earnings contribution
(reinvestment by shareholders) and local debt financing. In light of the strong earnings
contribution by Borouge so far (we note that the facility is not yet running at full capacity) and
prospects for a continued solid contribution (resting on the expectation of further robust
demand from Asia), management does not expect the need for any cash contributions to the
project in the near future. Given its share of 40% in the Borouge JV, the contribution from
Borouge is accounted at equity. In FY11, the Borouge JV represented the majority of the EUR
333mn of share of income from associates.
2005 2006 2007 2008 2009 2010 2011
Cost 178 178 175 114 114 329 332
Disposals 0 -3 -15 0 0 0 0
Adjustments -39 67 158 303 471 503 674
FX adjustments 19 -29 -33 24 -12 51 43
Net income after tax 90 120 132 144 44 120 333
Dividends -3 0 0 0 0 0 0
Book value YE 245 333 417 585 617 1,003 1,382
Source: Company data, UniCredit Research
Ownership structure Since 2005, Borealis has been majority owned by the International Petroleum
Investment Company of Abu Dhabi (IPIC) and Austrian OMV AG. The shareholding of
IPIC amounts to 64%, while OMV owns the remaining 36% in Borealis. Founded in 1984,
IPIC, in turn, is fully owned by the government of the Emirate of Abu Dhabi (Aa3s/AAs/--). The
company is a state-owned enterprise created to oversee the Emirate's international
investments in refining, petrochemicals and other hydrocarbon-related sectors. IPIC also
holds a 24.8% stake in Borealis' other shareholder, Vienna-based OMV (A3s/--/A-s) AG.
Founded in 1954, OMV is Austria's main Oil & Gas company (the Austrian government owns
a 31.4% stake) with a broad asset base in its home country as well as in Germany (45% in
Bayernoil Raffineriegesellschaft GmbH) and Romania (51% in Petrom SA). Further assets
include a 55.4% stake in Turkish Petrol Ofisi A.Ş. and 16.67% in the international gas pipeline
project Nabucco. The company also owns a majority stake in the Adria-Wien-Pipeline, which
supplies Borealis' sites in Wien Schwechat as well as its site in Burghausen with crude oil.
Possible combination with
NOVA chemicals
Borealis maintains high-level cooperation with Canada-based petrochemicals producer
NOVA Chemicals (Ba1s/BBp/BB-p; FY11 sales: USD 5.2bn; Operating profit: USD 1bn),
which is owned by Borealis' shareholder IPIC. Currently, according to Borealis, there is
no fixed timetable for a combination of both companies. While Borealis and its
shareholders OMV and IPIC signed an "agreement in principle" in September 2009 for the
cooperation and possible combination with NOVA Chemicals (at that time, the purchase of a
24.9% minority stake in NOVA by Borealis was contemplated), to date no transaction has
happened and according to management this is not expected in the short term.
Management Strategy
General mission statement Borealis aims to be the leading provider of innovative and value-creating plastic
UniCredit Research page 5 See last pages for disclaimer.

8 June 2012 Credit Research
Credit Flash - Borealis AG
solutions. The company is striving to move away from being a supplier of commodity
plastics, such as standard grade polyethylene and polypropylene, towards being a supplier of
plastic solutions, offering products that address global challenges in the field of mobility,
infrastructure and advanced packaging. Already around 60% of its products are considered
specialties, while around 40% are commodities. In close cooperation with its customers,
Borealis aims to improve the performance properties of its products through continuous focus
on research and development-based innovation. The group maintains several leading
proprietary technologies such as Borstar (for the production of polyethylene and
polypropylene). We note that Borealis has invested in research centers in the past (e.g.
research center in Austria; innovation center in Abu Dhabi for its Borouge JV) highlighting
their commitment to R&D.
Growth strategy Borealis' growth strategy is mainly centered on organic growth through selected
acquisitions. While current investment projects include a new catalyst plant in Austria (using
Borealis proprietary production technology Sirius), according to management there are no
significant capex projects in the pipeline. In that respect, we note that there is no update on
the group's involvement in the multi-billion dollar base chemicals project in Uzbekistan or in
Chemaweyaat (Abu Dhabi), which have been discussed in the past. On average, annual
capex spending over the last three years was in line with depreciation levels (FY11: 1.0x
capex/D&A), which is a good proxy for future capex spending (annual maintenance capex are
around EUR 200mn). We note that Borealis is constantly monitoring its asset base in order to
improve the cost competitiveness of its European production assets. In FY11, this has
resulted in the closure of two melamine plants.
In terms of external growth, to date Borealis has focused on contributions to its Borouge JV
(for capacity expansion), while carrying out medium-sized acquisitions. Regarding the latter,
we highlight the group's acquisition of fertilizer producer PEC-Rhin in November 2011.
Looking ahead, we expect small-to-medium-sized acquisitions. This does not include a
potential purchase of a minority stake in NOVA Chemicals (please see above).
Financial targets The main financial targets of the group are the gearing ratio and ROCE. Owing to the
sensitivity of the petrochemical industry to economic cycles, management considers a target
gearing ratio of between 40% and 60%. At FYE 2011, this ratio was at 35% (vs. 37% at FYE
2010) and thereby at the lower end of the group's target range. Another key performance
indicator is average return on capital employed (ROCE) for which Borealis targets a level of
above 11%. Following a couple of years of coming in below this target, Borealis achieved a
level of 13% in FY11.
Dividend policy Borealis does not have a formal dividend policy in place. Dividends to its shareholders
fluctuated in the past (i.e. no dividend payouts in FY09 and FY10), but were in the area of
EUR 100-110mn in FY11 and FY12.
Financial Profile
Latest results With 2011 marked by a volatile market environment, Borealis' FY11 results were solid.
While 1H11 was characterized by solid demand levels with strong pressure on input costs,
conditions in 2H11 deteriorated. FY11 sales of EUR 7.1bn were up by 13% mostly due to
higher prices with largely flat volumes (e.g. Polyolefins volumes up by 0.4% yoy). Due to
strongly rising feedstock costs (+17% yoy), operating profit declined by 18% yoy to EUR
285mn. In the first full year of production, Borouge was the main driver of the strong increase
in the share of income from associates (to EUR 333mn vs. EUR 120mn in FY10), which is not
included in the calculation of operating profit. In terms of cash generation, Borealis posted
negative free cash flow (after capex and dividends) of EUR -141mn due to a step up in capex
(EUR 282mn vs. EUR 136mn in the prior year), dividends (EUR 101mn vs. no payout in
UniCredit Research page 6 See last pages for disclaimer.

8 June 2012 Credit Research
Credit Flash - Borealis AG
FY10) and continued strong working capital outflows (which we estimate at EUR 131mn in
FY11 vs. EUR 151mn in FY10; Borealis does not disclose working capital movements in the
cash flow statement). At FYE 2011, adjusted net leverage stood at 2.8x (almost flat yoy) with
the gearing ratio at 35% (vs. 37% in the prior year).
In 1Q12, the market environment was difficult, especially in the European Polyolefins
segment, while Borouge and Fertilizers performed robustly. On a group basis, Borealis posted
a slight increase in sales (around 1.3% to EUR 1.9bn) with a corresponding 20% decline in
net profit. During 1Q12, the group recorded a EUR 186mn (EUR 195mn in 1Q11) increase in
debt, which was due to seasonal working capital outflows, the funding of the PEC-Rhin
acquisition and the dividend payment. The gearing ratio improved yoy to 40% (vs. 43% in
1Q11).
SEQUENTIAL DEVELPOMENT OF OPERATING PERFORMANCE FROM 2010 THROUGH 1Q12
EUR mn 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12
Sales 1,412 1,614 1,590 1,653 1,859 1,897 1,751 1,589 1,882
change qoq 11.4% 14.3% -1.5% 4.0% 12.5% 2.0% -7.7% -9.3% 18.4%
Net profit 54 92 54 134 174 168 107 58 140
Changes in
net debt 214 -76 -103 -9 195 -12 -17 -82 186
Net debt rep. 1245 1169 1066 1058 1253 1241 1224 1142 1328
Gearing 49% 44% 39% 37% 43% 41% 38% 35% 40%
Source: Borealis, UniCredit Research
Outlook and current trading For FY12, Borealis remains cautious in light of macro concerns, expecting a gradual
recovery over the remainder of the year despite current difficult operating conditions.
Current trading in 2Q12 in Europe is challenging with low visibility and cautious order behavior
from customers, leading to lower capacity utilization (still above 80% according to
management, but down from 1Q12 levels) and product prices (see chart below).
Nevertheless, the recent decline in the oil price (from USD 125/bbl to below USD 100/bbl) is
expected to lead to a decrease in working capital requirements. Compared to Europe,
Borealis considers market conditions in Asia to be much brighter (e.g. robust demand levels),
which bodes well for its Borouge JV.
SELECTED PETROCHEMICAL PRODUCT PRICES
5,000
4,500
4,000
3,500
3,000
2,500
2,000
1,500
1,000
500
0
1/1/2008
3/1/2008
Ethylene,Eur Spot FD NWE Pipe E/MT Propylene (P),Spot CIF NWE E/MT Butadiene,Spot FOB Rdam U$/MT
5/1/2008
7/1/2008
9/1/2008
11/1/2008
1/1/2009
3/1/2009
5/1/2009
7/1/2009
9/1/2009
11/1/2009
1/1/2010
3/1/2010
5/1/2010
7/1/2010
9/1/2010
11/1/2010
1/1/2011
3/1/2011
5/1/2011
7/1/2011
9/1/2011
11/1/2011
1/1/2012
3/1/2012
5/1/2012
Source: Datastream, UniCredit Research
Liquidity position Borealis' liquidity position rests on available cash on balance sheet, operating cash
flows and unutilized credit facilities. At the end of 2011, cash balances were at EUR 96mn.
UniCredit Research page 7 See last pages for disclaimer.

8 June 2012 Credit Research
Credit Flash - Borealis AG
The main operating liquidity requirements relate to capital expenditure (the company's
guidance is for lower capex than in FY11 [EUR 282mn] given that there are no significant
capex projects in the pipeline for FY12; annual maintenance capex: EUR 150mn), working
capital requirements (mainly determined by volatility in the oil price and its impact on
inventories), dividends (EUR 110mn to be paid in FY11) and the funding of the PEC-Rhin
acquisition (we estimate an outflow of EUR 100mn). Borealis has access to a syndicated
revolving credit facility of EUR 1.1bn (around EUR 163mn used; maturing in July 2013) and a
further EUR 166mn (in undrawn evergreen facilities, but including a one-year cancellation
notice) in export credit lines. Some of the financing agreements are subject to a gearing (max.
125%; FY11: 35%) and solvency (min. 30%; FY11: 53%) covenant. As a further liquidity
source, Borealis has a securitization program in place under which it sells eligible securities
on a non-recourse (true sale) basis to external parties. EUR 403mn worth of receivables were
sold as of 31 December 2011 (down from EUR 427mn yoy). Borealis faces around EUR 200-
220mn of debt maturities in FY12 and FY13 with the majority relating to the drawing under the
RCF.
Debt metrics At the end of 2011, adjusted net leverage was 2.8x, which was down from the peak level
of 5.1x achieved in bottom-of-the-cycle conditions in FY09. Over a 3Y period, adjusted
net leverage stands at an average of 3.5x, while being close to 3.0x on average over a 5Y
period. We adjust Borealis' debt position for unfunded pension obligations (FY11: EUR
224mn), operating leases (EUR 29mn) as well as factoring (EUR 255mn). The group's equity
ratio stood at 54% at FYE 2011 (FYE 2010: 52%; 3Y average: 52%; 5Y average: 51%)
reflecting the conservatively funded capital structure. In terms of cash flow coverage, we
calculate cash flow from operations/adjusted net debt of 14% in FY11 (vs. 17% in FY10),
which is below the 3Y average of 20% and 5Y average of 26%, with the deterioration being,
among other things, due to continued working capital outflows in FY10 and FY11.
Credit Profile
Credit profile Borealis' credit profile is supported by the conservative financing strategy (equity ratio
stands above 50%), strong diversification (i.e. serves a variety of end-markets),
backward integration, leading market positions and strong innovation focus of Borealis
as well as the group's stable shareholder background. On a more negative note, we note
that Borealis operates in a cyclical industry that is also currently facing difficult market
conditions, is subject to significant input cost volatility (that can negatively impact margins and
influence working capital requirements) and faces high capex requirements with the capacity
expansion at Borouge (although most is expected to be covered by the JV's earnings
contribution). With regard to event risk, we highlight the group's prudent focus on smaller bolton
acquisitions, but note the existing uncertainties surrounding the potential acquisition of a
minority stake in NOVA Chemicals.
UniCredit Research page 8 See last pages for disclaimer.

FINANCIAL STATISTICS
8 June 2012 Credit Research
Credit Flash - Borealis AG
EUR mn 2006 2007 2008 2009 2010 2011
Sales 5,742 6,350 6,697 4,714 6,269 7,096
EBIT margin adj. 6.4% 7.3% 2.7% 0.8% 5.9% 4.2%
EBITDA rep. 513 666 428 261 610 569
EBITDA margin adj. 9.2% 10.7% 6.6% 5.9% 10.0% 8.2%
Net income 328 533 239 38 333 506
Funds from operations (FFO)* 443 691 100 250 558 305
Operating cash flow 277 647 144 395 268 242
Free cash flow rep. (after Capex) 18 147 -336 50 132 -40
Dividend payment -45 -45 -110 0 0 -101
Retained cash flow (RCF)* 398 646 -10 250 558 204
Acquisitions/disposals 3 188 -4 1 -213 69
Share buybacks/issues 0 0 0 0 0 0
Total debt rep. 554 579 1,049 965 1,121 1,238
Net debt rep. 523 530 983 928 987 1,142
Adj. for pensions 157 185 165 182 229 224
Adj. for operating leases and others 350 348 244 307 339 284
Net debt adj. 1,029 1,062 1,392 1,417 1,555 1,650
DEBT LEVERAGE DEBT MATURITY PROFILE AS OF 31 DECEMBER 2011
70%
60%
50%
40%
30%
20%
10%
0%
CREDIT METRICS
FFO adj. / net debt adj. Net debt adj. / EBITDA adj. (RS)
2006 2007 2008 2009 2010 2011
6.0
5.0
4.0
3.0
2.0
1.0
0.0
UniCredit Research page 9 See last pages for disclaimer.
in EUR mn
1,400
1,200
1,000
800
600
400
200
0
Available
Liquidity
as of
2011
Bonds Other Debt Cash Available RCF

Disclaimer
8 June 2012 Credit Research
Credit Flash - Borealis AG
Our recommendations are based on information obtained from, or are based upon public information sources that we consider to be reliable but for the completeness and accuracy of
which we assume no liability. All estimates and opinions included in the report represent the independent judgment of the analysts as of the date of the issue. We reserve the
right to modify the views expressed herein at any time without notice. Moreover, we reserve the right not to update this information or to discontinue it altogether without notice.
This analysis is for information purposes only and (i) does not constitute or form part of any offer for sale or subscription of or solicitation of any offer to buy or subscribe for any
financial, money market or investment instrument or any security, (ii) is neither intended as such an offer for sale or subscription of or solicitation of an offer to buy or subscribe
for any financial, money market or investment instrument or any security nor (iii) as an advertisement thereof. The investment possibilities discussed in this report may not be
suitable for certain investors depending on their specific investment objectives and time horizon or in the context of their overall financial situation. The investments discussed
may fluctuate in price or value. Investors may get back less than they invested. Changes in rates of exchange may have an adverse effect on the value of investments.
Furthermore, past performance is not necessarily indicative of future results. In particular, the risks associated with an investment in the financial, money market or investment
instrument or security under discussion are not explained in their entirety.
This information is given without any warranty on an "as is" basis and should not be regarded as a substitute for obtaining individual advice. Investors must make their own
determination of the appropriateness of an investment in any instruments referred to herein based on the merits and risks involved, their own investment strategy and their legal,
fiscal and financial position. As this document does not qualify as an investment recommendation or as a direct investment recommendation, neither this document nor any part
of it shall form the basis of, or be relied on in connection with or act as an inducement to enter into, any contract or commitment whatsoever. Investors are urged to contact their
bank's investment advisor for individual explanations and advice.
Neither UniCredit Bank, UniCredit Bank London, UniCredit Securities, UniCredit Menkul, UniCredit Romania, Zagrebačka banka and UniCredit Bulbank nor any of their
respective directors, officers or employees nor any other person accepts any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of this
document or its contents or otherwise arising in connection therewith.
This analysis is being distributed by electronic and ordinary mail to professional investors, who are expected to make their own investment decisions without undue reliance on
this publication, and may not be redistributed, reproduced or published in whole or in part for any purpose.
Responsibility for the content of this publication lies with:
a) UniCredit Bank AG (UniCredit Bank), Am Tucherpark 16, 80538 Munich, Germany, (also responsible for the distribution pursuant to §34b WpHG). The company belongs to
UniCredit Group. Regulatory authority: “BaFin“ – Bundesanstalt für Finanzdienstleistungsaufsicht, Lurgiallee 12, 60439 Frankfurt, Germany.
b) UniCredit Bank AG London Branch (UniCredit Bank London), Moor House, 120 London Wall, London EC2Y 5ET, United Kingdom. Regulatory authority: “BaFin“ – Bundesanstalt für
Finanzdienstleistungsaufsicht, Lurgiallee 12, 60439 Frankfurt, Germany and subject to limited regulation by the Financial Services Authority (FSA), 25 The North Colonnade,
Canary Wharf, London E14 5HS, United Kingdom. Details about the extent of our regulation by the Financial Services Authority are available from us on request.
c) CJSC UniCredit Securities Russia (UniCredit Securities), Boulevard Ring Office Building, 17/1 Chistoprudni Boulevard, Moscow 101000, Russia. Regulatory authority: Federal
Service on Financial Markets, 9 Leninsky prospekt, Moscow 119991, Russia
d) UniCredit Menkul Değerler A.Ş. (UniCredit Menkul), Büyükdere Cad. No. 195, Büyükdere Plaza Kat. 5, 34394 Levent, Istanbul, Turkey. Regulatory authority: Sermaye
Piyasası Kurulu – Capital Markets Board of Turkey, Eskişehir Yolu 8.Km No:156, 06530 Ankara, Turkey
e) UniCredit CAIB Securities Romania (UniCredit Romania), Str. Nicolae Caramfil nr. 25, Etaj 5, Sector 1, Bucharest, Romania. Regulatory authority: CNVM, Romanian National
Securities Commission, Foisurului street, no. 2, sector 3, Bucharest, Romania
f) Zagrebačka banka, Paromlinska 2, HR-10000 Zagreb, Croatia. Regulatory authority: Croatian Agency for Supervision of Financial Services, Miramarska 24B, 10000 Zagreb, Croatia
g) UniCredit Bulbank, Sveta Nedelya Sq. 7, BG-1000 Sofia, Bulgaria. Regulatory authority: Financial Supervision Commission (FSC), 33 Shar Planina str.,1303 Sofia, Bulgaria
This report may contain excerpts sourced from UniCredit Bank Russia, UniCredit Tiriac Bank, Bank Pekao or Yapi Kredi all members of the UniCredit group. If so, the pieces and
the contents have not been materially altered.
POTENTIAL CONFLICTS OF INTERESTS
Company Key
Key 1a: UniCredit Bank AG, UniCredit Bank AG London Branch, CJSC UniCredit Securities Russia, UniCredit Menkul Değerler A.Ş., Zagrebačka banka, UniCredit CAIB Securities
Romania S.A., UniCredit Bulbank, UniCredit Bank Czech Republic, UniCredit Bank Slovakia, UniCredit CAIB Romania and/or a company affiliated with it (pursuant to relevant
domestic law) owns at least 2% of the capital stock of the company.
Key 1b: The analyzed company owns at least 2% of the capital stock of UniCredit Bank AG, UniCredit Bank AG London Branch, CJSC UniCredit Securities Russia, UniCredit Menkul
Değerler A.Ş., Zagrebačka banka, UniCredit CAIB Securities Romania S.A., UniCredit Bulbank, UniCredit Bank Czech Republic, UniCredit Bank Slovakia and UniCredit CAIB
Romania and/or a company affiliated with it (pursuant to relevant domestic law).
Key 2: UniCredit Bank AG, UniCredit Bank AG London Branch, CJSC UniCredit Securities Russia, UniCredit Menkul Değerler A.Ş., Zagrebačka banka, UniCredit CAIB Securities
Romania S.A., UniCredit Bulbank, UniCredit Bank Czech Republic, UniCredit Bank Slovakia and UniCredit CAIB Romania and/or a company affiliated with it (pursuant to relevant
domestic law) belonged to a syndicate that has acquired securities or any related derivatives of the analyzed company within the twelve months preceding publication, in
connection with any publicly disclosed offer of securities of the analyzed company, or in any related derivatives.
Key 3: UniCredit Bank AG, UniCredit Bank AG London Branch, CJSC UniCredit Securities Russia, UniCredit Menkul Değerler A.Ş., Zagrebačka banka, UniCredit CAIB Securities
Romania S.A., UniCredit Bulbank, UniCredit Bank Czech Republic, UniCredit Bank Slovakia and UniCredit CAIB Romania and/or a company affiliated (pursuant to relevant
domestic law) administers the securities issued by the analyzed company on the stock exchange or on the market by quoting bid and ask prices (i.e. acts as a market maker or
liquidity provider in the securities of the analyzed company or in any related derivatives).
Key 4: The analyzed company and UniCredit Bank AG, UniCredit Bank AG London Branch, CJSC UniCredit Securities Russia, UniCredit Menkul Değerler A.Ş., Zagrebačka
banka, UniCredit CAIB Securities Romania S.A., UniCredit Bulbank, UniCredit Bank Czech Republic, UniCredit Bank Slovakia and UniCredit CAIB Romania and/or a company
affiliated (pursuant to relevant domestic law) concluded an agreement on services in connection with investment banking transactions in the last 12 months, in return for which
the Bank received a consideration or promise of consideration.
Key 5: The analyzed company and UniCredit Bank AG, UniCredit Bank AG London Branch, CJSC UniCredit Securities Russia, UniCredit Menkul Değerler A.Ş., Zagrebačka
banka, UniCredit CAIB Securities Romania S.A. , UniCredit Bulbank, UniCredit Bank Czech Republic, UniCredit Bank Slovakia, UniCredit CAIB Romania and/or a company
affiliated (pursuant to relevant domestic law) have concluded an agreement on the preparation of analyses.
Key 6a: Employees of UniCredit Bank AG Milan Branch and/or members of the Board of Directors of UniCredit (pursuant to relevant domestic law) are members of the Board of
Directors of the Issuer. Members of the Board of Directors of the Issuer hold office in the Board of Directors of UniCredit (pursuant to relevant domestic law).
Key 6b: The analyst is on the supervisory/management board of the company they cover.
Key 7: UniCredit Bank AG Milan Branch and/or other Italian banks belonging to the UniCredit Group (pursuant to relevant domestic law) extended significant amounts of credit
facilities to the Issuer.
RECOMMENDATIONS, RATINGS AND EVALUATION METHODOLOGY
Company Date Rating Currency Target price
Overview of our ratings
You will find the history of rating regarding recommendation changes as well as an overview of the breakdown in absolute and relative terms of our investment ratings on our
websites www.research.unicreditgroup.eu and www.cib-unicredit.com/research-disclaimer under the heading “Disclaimer.”
Note on what the evaluation of equities is based:
UniCredit Research page 10

8 June 2012 Credit Research
We currently use a three-tier recommendation system for the stocks in our formal coverage: Buy, Hold, or Sell (see definitions below):
Credit Flash - Borealis AG
A Buy is applied when the expected total return over the next twelve months is higher than the stock's cost of equity.
A Hold is applied when the expected total return over the next twelve months is lower than its cost of equity but higher than zero.
A Sell is applied when the stock's expected total return over the next twelve months is negative.
We employ three further categorizations for stocks in our coverage:
Restricted: A rating and/or financial forecasts and/or target price is not disclosed owing to compliance or other regulatory considerations such as blackout period or conflict of interest.
Coverage in transition: Due to changes in the research team, the disclosure of a stock's rating and/or target price and/or financial information are temporarily suspended. The
stock remains in the research universe and disclosures of relevant information will be resumed in due course.
Not rated: Suspension of coverage.
Company valuations are based on the following valuation methods: Multiple-based models (P/E, P/cash flow, EV/sales, EV/EBIT, EV/EBITA, EV/EBITDA), peer-group
comparisons, historical valuation approaches, discount models (DCF, DVMA, DDM), break-up value approaches or asset-based evaluation methods. Furthermore,
recommendations are also based on the Economic profit approach. Valuation models are dependent on macroeconomic factors, such as interest rates, exchange rates, raw
materials, and on assumptions about the economy. Furthermore, market sentiment affects the valuation of companies. The valuation is also based on expectations that might
change rapidly and without notice, depending on developments specific to individual industries. Our recommendations and target prices derived from the models might therefore
change accordingly. The investment ratings generally relate to a 12-month horizon. They are, however, also subject to market conditions and can only represent a snapshot. The
ratings may in fact be achieved more quickly or slowly than expected, or need to be revised upward or downward.
Note on the bases of evaluation for interest-bearing securities:
Our investment ratings are in principle judgments relative to an index as a benchmark.
Issuer level:
Marketweight: We recommend having the same portfolio exposure in the name as the respective reference index (the iBoxx index universe for high-grade names and the ML
EUR HY index for sub-investment grade names).
Overweight: We recommend having a higher portfolio exposure in the name as the respective reference index (the iBoxx index universe for high-grade names and the ML EUR
HY index for sub-investment grade names).
Underweight: We recommend having a lower portfolio exposure in the name as the respective reference index (the iBoxx index universe for high-grade names and the ML EUR
HY index for sub-investment grade names).
Instrument level:
Core hold: We recommend holding the respective instrument for investors who already have exposure.
Sell: We recommend selling the respective instrument for investors who already have exposure.
Buy: We recommend buying the respective instrument for investors who already have exposure.
Trading recommendations for fixed-interest securities mostly focus on the credit spread (yield difference between the fixed-interest security and the relevant government bond or
swap rate) and on the rating views and methodologies of recognized agencies (S&P, Moody’s, Fitch). Depending on the type of investor, investment ratings may refer to a short
period or to a 6 to 9-month horizon. Please note that the provision of securities services may be subject to restrictions in certain jurisdictions. You are required to acquaint
yourself with local laws and restrictions on the usage and the availability of any services described herein. The information is not intended for distribution to or use by any person
or entity in any jurisdiction where such distribution would be contrary to the applicable law or provisions.
The prices used in the analysis are the closing prices of the appropriate local trading system or the closing prices on the relevant local stock exchanges available on the day after
the mentioned date at 2:00 GMT, unless otherwise specified. In the case of unlisted stocks, the average market prices based on various major broker sources (OTC market)
on the day after the mentioned date at 2:00 GMT, are used, unless otherwise specified. The exact closing time depends where the stock is traded: Bulgaria 13:00 GMT,
Croatia 14:00 GMT, Czech Republic 14:00 GMT, Hungary 15:10 GMT, Kazakhstan 11:00 GMT, Poland 15:35 GMT, Romania 13:30 GMT, Russia 15:45 GMT, Serbia 11:00 GMT,
Slovenia 11:00 GMT, Turkey 12:30 GMT, Ukraine 15:35 GMT, United Kingdom 16:30 GMT and United States 20:00 GMT.
The MSCI sourced information is the exclusive property of Morgan Stanley Capital International Inc. (MSCI). Without prior written permission of MSCI, this information and any
other MSCI intellectual property may not be reproduced, redisseminated or used to create any financial products, including any indices. This information is provided on an “as is”
basis. The user assumes the entire risk of any use made of this information. MSCI, its affiliates and any third party involved in, or related to, computing or compiling the
information hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any of this
information. Without limiting any of the foregoing, in no event shall MSCI, any of its affiliates or any third party involved in, or related to, computing or compiling the information
have any liability for any damages of any kind. MSCI, Morgan Stanley Capital International and the MSCI indexes are services marks of MSCI and its affiliates.
The Global Industry Classification Standard (GICS) was developed by and is the exclusive property of Morgan Stanley Capital International Inc. and Standard & Poor’s. GICS is a
service mark of MSCI and S&P and has been licensed for use by UniCredit Bank AG.
Coverage Policy
A list of the companies covered by UniCredit Bank, UniCredit Bank London, UniCredit Securities, UniCredit Menkul, UniCredit Romania, Zagrebačka banka and UniCredit Bulbank is
available upon request.
Frequency of reports and updates
It is intended that each of these companies be covered at least once a year, in the event of key operations and/or changes in the recommendation.
SIGNIFICANT FINANCIAL INTEREST:
UniCredit Bank, UniCredit Bank London, UniCredit Securities, UniCredit Menkul, UniCredit Romania, Zagrebačka banka and UniCredit Bulbank and/or a company affiliated (pursuant to
relevant national German, Italian, Austrian, UK, Russian and Turkish law) with them regularly trade shares of the analyzed company. UniCredit Bank, UniCredit Bank London,
UniCredit Securities, UniCredit Menkul, UniCredit Romania, Zagrebačka banka and UniCredit Bulbank may hold significant open derivative positions on the stocks of the company
which are not delta-neutral.
Analyses may refer to one or several companies and to the securities issued by them. In some cases, the analyzed issuers have actively supplied information for this analysis.
ANALYST DECLARATION
The author’s remuneration has not been, and will not be, geared to the recommendations or views expressed in this study, neither directly nor indirectly.
ORGANIZATIONAL AND ADMINISTRATIVE ARRANGEMENTS TO AVOID AND PREVENT CONFLICTS OF INTEREST
To prevent or remedy conflicts of interest, UniCredit Bank, UniCredit Bank London, UniCredit Securities, UniCredit Menkul, UniCredit Romania, Zagrebačka banka and UniCredit
Bulbank have established the organizational arrangements required from a legal and supervisory aspect, adherence to which is monitored by its compliance department. Conflicts
of interest arising are managed by legal and physical and non-physical barriers (collectively referred to as “Chinese Walls”) designed to restrict the flow of information between
one area/department of UniCredit Bank, UniCredit Bank London, UniCredit Securities, UniCredit Menkul, UniCredit Romania, Zagrebačka banka and UniCredit Bulbank and another. In
particular, Investment Banking units, including corporate finance, capital market activities, financial advisory and other capital raising activities, are segregated by physical and
non-physical boundaries from Markets Units, as well as the research department. Disclosure of publicly available conflicts of interest and other material interests is made in the
research. Analysts are supervised and managed on a day-to-day basis by line managers who do not have responsibility for Investment Banking activities, including corporate
finance activities, or other activities other than the sale of securities to clients.
ADDITIONAL REQUIRED DISCLOSURES UNDER THE LAWS AND REGULATIONS OF JURISDICTIONS INDICATED
Notice to Australian investors
This publication is intended for wholesale clients in Australia subject to the following:
UniCredit Bank AG and its branches do not hold an Australian Financial Services licence but are exempt from the requirement to hold a licence under the Act in respect of the
financial services to wholesale clients. UniCredit Bank AG and its branches are regulated by BaFin under German laws, which differ from Australian laws. This document is only
for distribution to wholesale clients as defined in Section 761G of the Corporations Act. UniCredit Bank AG and its branches are not Authorised Deposit Taking Institutions under
the Banking Act 1959 and are not authorised to conduct a banking business in Australia.
UniCredit Research page 11

8 June 2012 Credit Research
Credit Flash - Borealis AG
Notice to Austrian investors
This document does not constitute or form part of any offer for sale or subscription of or solicitation of any offer to buy or subscribe for any securities and neither this document
nor any part of it shall form the basis of, or be relied on in connection with or act as an inducement to enter into, any contract or commitment whatsoever.
This document is confidential and is being supplied to you solely for your information and may not be reproduced, redistributed or passed on to any other person or published, in
whole or part, for any purpose.
Notice to Czech investors
This report is intended for clients of UniCredit Bank, UniCredit Bank London, UniCredit Securities, UniCredit Menkul, UniCredit Romania, Zagrebačka banka and UniCredit Bulbank in
the Czech Republic and may not be used or relied upon by any other person for any purpose.
Notice to Italian investors
This document is not for distribution to retail clients as defined in article 26, paragraph 1(e) of Regulation n. 16190 approved by CONSOB on 29 October 2007.
In the case of a short note, we invite the investors to read the related company report that can be found on UniCredit Research website www.research.unicreditgroup.eu.
Notice to Japanese investors
This document does not constitute or form part of any offer for sale or subscription for or solicitation of any offer to buy or subscribe for any securities and neither this document
nor any part of it shall form the basis of, or be relied on in connection with or act as an inducement to enter into, any contract or commitment whatsoever.
Notice to Polish investors
This document is intended solely for professional clients as defined in Art. 3 39b of the Trading in Financial Instruments Act of 29 July 2005. The publisher and distributor of the
recommendation certifies that it has acted with due care and diligence in preparing the recommendation, however, assumes no liability for its completeness and accuracy.
Notice to Russian investors
As far as we are aware, not all of the financial instruments referred to in this analysis have been registered under the federal law of the Russian Federation "On the Securities
Market" dated 22 April 1996, as amended (the "Law"), and are not being offered, sold, delivered or advertised in the Russian Federation. This analysis is intended for qualified
investors, as defined by the Law, and shall not be distributed or disseminated to a general public and to any person, who is not a qualified investor.
Notice to Turkish investors
Investment information, comments and recommendations stated herein are not within the scope of investment advisory activities. Investment advisory services are provided in
accordance with a contract of engagement on investment advisory services concluded with brokerage houses, portfolio management companies, non-deposit banks and the
clients. Comments and recommendations stated herein rely on the individual opinions of the ones providing these comments and recommendations. These opinions may not suit
your financial status, risk and return preferences. For this reason, to make an investment decision by relying solely on the information stated here may not result in consequences
that meet your expectations.
Notice to UK investors
This communication is directed only at clients of UniCredit Bank, UniCredit Bank London, UniCredit Securities, UniCredit Menkul, UniCredit Romania, Zagrebačka banka and UniCredit
Bulbank who (i) have professional experience in matters relating to investments or (ii) are persons falling within Article 49(2)(a) to (d) (“high net worth companies, unincorporated
associations, etc.”) of the United Kingdom Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 or (iii) to whom it may otherwise lawfully be communicated
(all such persons together being referred to as “relevant persons”). This communication must not be acted on or relied on by persons who are not relevant persons. Any
investment or investment activity to which this communication relates is available only to relevant persons and will be engaged in only with relevant persons.
Notice to U.S. investors
This report is being furnished to U.S. recipients in reliance on Rule 15a-6 ("Rule 15a-6") under the U.S. Securities Exchange Act of 1934, as amended. Each U.S. recipient of this
report represents and agrees, by virtue of its acceptance thereof, that it is such a "major U.S. institutional investor" (as such term is defined in Rule 15a-6) and that it understands
the risks involved in executing transactions in such securities. Any U.S. recipient of this report that wishes to discuss or receive additional information regarding any security or
issuer mentioned herein, or engage in any transaction to purchase or sell or solicit or offer the purchase or sale of such securities, should contact a registered representative of
UniCredit Capital Markets, LLC.
Any transaction by U.S. persons (other than a registered U.S. broker-dealer or bank acting in a broker-dealer capacity) must be effected with or through UniCredit Capital Markets.
The securities referred to in this report may not be registered under the U.S. Securities Act of 1933, as amended, and the issuer of such securities may not be subject to U.S.
reporting and/or other requirements. Available information regarding the issuers of such securities may be limited, and such issuers may not be subject to the same auditing and
reporting standards as U.S. issuers.
The information contained in this report is intended solely for certain "major U.S. institutional investors" and may not be used or relied upon by any other person for any purpose.
Such information is provided for informational purposes only and does not constitute a solicitation to buy or an offer to sell any securities under the Securities Act of 1933, as
amended, or under any other U.S. federal or state securities laws, rules or regulations. The investment opportunities discussed in this report may be unsuitable for certain
investors depending on their specific investment objectives, risk tolerance and financial position. In jurisdictions where UniCredit Capital Markets is not registered or licensed to
trade in securities, commodities or other financial products, transactions may be executed only in accordance with applicable law and legislation, which may vary from jurisdiction
to jurisdiction and which may require that a transaction be made in accordance with applicable exemptions from registration or licensing requirements.
The information in this publication is based on carefully selected sources believed to be reliable, but UniCredit Capital Markets does not make any representation with respect to
its completeness or accuracy. All opinions expressed herein reflect the author’s judgment at the original time of publication, without regard to the date on which you may receive
such information, and are subject to change without notice.
UniCredit Capital Markets may have issued other reports that are inconsistent with, and reach different conclusions from, the information presented in this report. These
publications reflect the different assumptions, views and analytical methods of the analysts who prepared them. Past performance should not be taken as an indication or
guarantee of future performance, and no representation or warranty, express or implied, is provided in relation to future performance.
UniCredit Capital Markets and any company affiliated with it may, with respect to any securities discussed herein: (a) take a long or short position and buy or sell such securities;
(b) act as investment and/or commercial bankers for issuers of such securities; (c) act as market makers for such securities; (d) serve on the board of any issuer of such
securities; and (e) act as paid consultant or advisor to any issuer.
The information contained herein may include forward-looking statements within the meaning of U.S. federal securities laws that are subject to risks and uncertainties. Factors
that could cause a company’s actual results and financial condition to differ from expectations include, without limitation: political uncertainty, changes in general economic
conditions that adversely affect the level of demand for the company’s products or services, changes in foreign exchange markets, changes in international and domestic
financial markets and in the competitive environment, and other factors relating to the foregoing. All forward-looking statements contained in this report are qualified in their
entirety by this cautionary statement.
This document may not be distributed in Canada.
UniCredit Research page 12

UniCredit Research*
Michael Baptista
Global Head of Research
+44 207 826-1328
michael.baptista@unicredit.eu
Credit Research
Luis Maglanoc, CFA, Head
+49 89 378-12708
luis.maglanoc@unicreditgroup.de
Credit Strategy & Structured Credit Research
Dr. Philip Gisdakis, Head
Credit Strategy
+49 89 378-13228
philip.gisdakis@unicreditgroup.de
Dr. Tim Brunne
Quantitative Credit Strategy
+49 89 378-13521
tim.brunne@unicreditgroup.de
Markus Ernst
Credit Strategy & Structured Credit
+49 89 378-14213
markus.ernst1@unicreditgroup.de
Dr. Stefan Kolek
EEMEA Corporate Credits & Strategy
+49 89 378-12495
stefan.kolek@unicreditgroup.de
Manuel Trojovsky
Credit Strategy & Structured Credit
+49 89 378-14145
manuel.trojovsky@unicreditgroup.de
Dr. Christian Weber, CFA
Credit Strategy
+49 89 378-12250
christian.weber@unicreditgroup.de
Financials Credit Research
Franz Rudolf, CEFA, Head
Covered Bonds
+49 89 378-12449
franz.rudolf@unicreditgroup.de
Alexander Plenk, CFA, Deputy Head
Banks
+49 89 378-12429
alexander.plenk@unicreditgroup.de
Andreas Bohnacker, CFA
Regulatory & Accounting Service
+49 89 378-12242
andreas.bohnacker@unicreditgroup.de
Amey Dyckmans
Sub-Sovereigns & Agencies
+49 89 378-12004
anna-maria.dyckmans@unicreditgroup.de
Florian Hillenbrand, CFA
Covered Bonds
+49 89 378-12961
florian.hillenbrand@unicreditgroup.de
Dr. Tilo Höpker
Banks
+49 89 378-12960
tilo.hoepker@unicreditgroup.de
Publication Address
UniCredit Research
Corporate & Investment Banking
UniCredit Bank AG
Arabellastrasse 12
D-81925 Munich
Tel. +49 89 378-18927
UniCredit Research page 13
8 June 2012 Credit Research
Dr. Ingo Heimig
Head of Research Operations
+49 89 378-13952
ingo.heimig@unicreditgroup.de
Luis Maglanoc, CFA
Regulatory & Accounting Service
+49 89 378-12708
luis.maglanoc@unicreditgroup.de
Valentina Stadler
Sub-Sovereigns & Agencies
+49 89 378-16296
valentina.stadler@unicreditgroup.de
Emanuel Teuber
Banks, Financial Services, Insurance
+49 89 378-14245
emanuel.teuber@unicreditgroup.de
Corporate Credit Research
Stephan Haber, CFA, Co-Head
Telecoms, Media, Technology
+49 89 378-15192
stephan.haber@unicreditgroup.de
Dr. Sven Kreitmair, CFA, Co-Head
Automotive & Mobility
+49 89 378-13246
sven.kreitmair@unicreditgroup.de
Jana Arndt, CFA
Basic Resources, Industrial G&S, Construction & Materials
+49 89 378-13211
jana.arndt@unicreditgroup.de
Christian Aust, CFA
Industrial Transportation, Media, Pulp & Paper
+49 89 378-12806
christian.aust@unicreditgroup.de
Dr. Manuel Herold
Oil & Gas, Travel & Leisure
+49 89 378-12650
manuel-bastian.herold@unicreditgroup.de
Max Huefner
Chemicals, Aerospace & Defense, Packaging
+49 89 378-13212
max.huefner@unicreditgroup.de
Susanne Reichhuber
Utilities
+49 89 378-13247
susanne.reichhuber@unicreditgroup.de
Rocco Schilling, CFA
Consumers, Healthcare
+49 89 378-15449
rocco.schilling@unicreditgroup.de
Kai Zirwes
Industrial Transportation, Media, Pulp & Paper
+49 89 378-11962
kai.zirwes@unicreditgroup.de
Bloomberg
UCCR
Internet
www.research.unicreditgroup.eu
Credit Flash - Borealis AG
* UniCredit Research is the joint research department of UniCredit Bank AG (UniCredit Bank), UniCredit Bank AG London Branch (UniCredit Bank London), UniCredit Bank AG Milan Branch (UniCredit Bank Milan),
UniCredit Bank AG Vienna Branch (UniCredit Bank Vienna), CJSC UniCredit Securities Russia (UniCredit Securities), UniCredit Menkul Değerler A.Ş. (UniCredit Menkul), UniCredit CAIB Securities Romania (UniCredit
Romania), UniCredit Bulbank, Zagrebačka banka, UniCredit Bank Czech Republic (UniCredit Bank Czechia), Bank Pekao, ZAO UniCredit Bank Russia (UniCredit Russia), UniCredit Bank Slovakia a.s. (UniCredit
Slovakia), UniCredit Tiriac Bank (UniCredit Tiriac) and ATF Bank