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SABIC
December 4, 2012
FOOTNOTES
INITIATION OF COVERAGE EQUITY RESEARCH
Table 8: Geographic Presence of Manufacturing Affiliates
KSA Bahrain Europe USA Asia
# of Manufacturing Affiliates 17 3 1 1 1
Source: Company Reports
The bulk of production takes place in the Kingdom. The output of Sabic Europe approximates 8
million tpa or 11% of total output (for 2011), comprised of almost 5 million tons of basic chemicals
(10% of consolidated basic chemicals output) and 3 million tons of polymers 39 (27% of consolidated
polymers output). US operations account for around 1 million tons of output or c2% of output,
whereas Asian operations account to approx. 5 million tons or c7% of total output 40 .
1 Sabic ‘s hydrocarbon feedstock mix includes ethane, methane, propane, butane and naphtha.
From these feedstocks, Sabic produces its basic chemicals such as olefins and aromatics
which in turn are used to produce polyolefins and other polymers.
1 Sabic’s top-line and bottom-line figures are foremost derived from the sale of chemicals,
polymers and innovative plastics. Below is a comprehensive breakdown, prior to the
consolidation adjustments and eliminations (based on 2011 report).
Table 9: Breakdown of Operations (for FY 2011)
(SAR million) Chemicals* Fertilizers Metals Corporate** Total***
Sales 218,725 8,654 15,532 17,877 260,788
Gross profit 47,038 5,706 2,829 5,104 60,677
Net profit 32,618 5,952 2,036 30,854 71,460
*Chemicals Segment account for basic chemicals, performance chemicals, polymers and innovative plastics.
**Corporate Segment “includes the corporate operations, technology and innovation centers, the investment activities
and Sabic Industrial Investments Co. “ (Sabic)
***Prior to Consolidation Adjustments and Eliminations
Source: Company Reports
39 Sabic Europe produces mainly HDPE, LDPE, LLDPE and Polypropylene
40 Source: Sabic, ASIB Estimates
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