Borealis AG Public Offering of up to EUR 200000000 Senior Fixed ...

1.1.6 The Issuer and the Group are subject to the risk of loss of key personnel
As it is the case with most enterprises using advanced technology and R&D, a key factor in
the successful economic development of Borealis Group is the technical know how as well as
market knowledge of its skilled management and key personnel. The loss of key personnel of
the issuer and/or the Group could have a material adverse effect on the Borealis Group's
business, results of operations and financial condition. This negative influence could only be
compensated if within appropriate time the Issuer could hire under equivalent conditions
equally qualified key personnel.
1.1.7 Borealis Group may be exposed to trade receivables credit risk
Borealis Group is subject to trade receivables credit risk as the financial situation of its
customers might deteriorate and could prevent them from paying the amounts owed to the
Issuer on the due date. This could materially negatively impact the financial situation of
Borealis Group.
1.1.8 Borealis Group 's customers' purchases of products and services could be adversely
affected by a global economic downturn or a substantial slowdown in economic
growth, which could lead to recessions in the Issuer's industry and could have a
negative impact on the operating results and financial condition of Borealis Group
The economic and political environment (e.g. unemployment, inflation, inclination to invest,
and economic growth) in the countries where Borealis Group is active or has operations as
well as the development of the world economy have a fundamental influence on the demand
for the services and products developed and offered by Borealis Group.
Although the world economy in the years 2010 and 2011 has improved again, the overall
global economic outlook remains uncertain. The general economic conditions and economic
prospects have been adversely affected in recent years mainly due to the concern that some
Member States of the European Union and other countries, where the Borealis Group is active
or has operations, can no longer afford debt servicing in terms of their debt. Several
international efforts to resolve the debt crisis could not eliminate these concerns and the
continuing uncertainty could affect the global markets negatively.
If the economies in countries where Borealis Group is active resume the deterioration
experienced in the past, or if growth remains at low levels, the level of demand by Borealis
Group's customers for its products and services may weaken. Economic downturns may lead
to recessions in the Issuer's industry, either in individual markets or globally. This could, in
turn, negatively impact the Issuer's revenue development, including in the future growth areas
on which it plans to focus, and jeopardise the attainment of Borealis Group's growth targets.
1.1.9 Borealis Group may be subject to higher capital costs due to the capital requirements
for banks
Due to the rules of the Basel III Accord (International Convergence of Capital Measurement
and Capital Standards by the Basel Committee on Banking Supervision), banks will be
required to monitor their capital adequacy requirements more closely and to a great extent
either raise additional own funds or limit their loan exposures, which in turn would result in
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