ORLEN Spolka Akcyjna · GPW:PKN
ORLEN Spolka Akcyjna — PKN Orlen — FY2008 Earnings Presentation
14 slides from ORLEN Spolka Akcyjna's earnings presentation, Apr 30, 2009
Slide 1: PKN ORLEN FY2008 consolidated financial results (audited)
PKN ORLEN FY2008 consolidated financial results (audited) Update on corporate developments Jacek Krawiec, CEO Sławomir Jędrzejczyk, CFO 30 April 2009 1
Slide 2: Agenda
Agenda 1) Settlement with banks regarding credit agreements 2) Put option execution with Government of Lithuania 3) Assets allowance - IAS 36 4) FY2008 consolidated financial results (audited) 5) Mazeikiu Nafta development program 6) Estimates of PKN ORLEN operating data for 1Q2009 2
Slide 3: PKN ORLEN S.A. signed settlement with banks regarding credit agreements
PKN ORLEN S.A. signed settlement with banks regarding credit agreements AREA ACTION • On 27 April 2009 PKN ORLEN signed settlements with the banks with which PKN ORLEN SETTLEMENTS holds debt agreements for financing of its operations, the provisions of which could be SIGNATURE breached referring to
Slide 4: PKN ORLEN has unused credit lines on the level of EUR 1 bn
PKN ORLEN has unused credit lines on the level of EUR 1 bn Debt and unused credit lines • Net debt at the end of 2008 amounted to PLN 12.6 bn. • Foreign debt at the end of March 2009 is not significantly different from the debt at the end of 2008. • At the end of 2008 as well as at the end of March
Slide 5: Acquisition of AB Mazeikiu Nafta shares from the Government of Lithuania under put option
Acquisition of AB Mazeikiu Nafta (MN) shares from the Government of Lithuania (GOL) under terms of put option agreement Schedule of transaction Consequences of transaction • 9.06.2006 – signature of conditional Put Option Agreement • PKN ORLEN owns shares representing 100% of Mazeikiu with GOL (GOL
Slide 6: IAS 36 'Impairment of assets'
IAS 36 „Impairment of assets” International Accounting Standard (IAS) 36 – impairment of assets In accordance with IAS 36 tangible assets are carried at no more than their recoverable amount, as of balance day (value higher of two: fair value or value in use). Reasons to make impairment test in PKN
Slide 7: Reported consolidated results for 2008 influenced by inventory allowance of PLN 2.4 bn
PKN ORLEN reported results (consolidated) for 2008 are influenced by inventory allowance to the amount of PLN 2.4 bn Mazeikiu Inventory 2008 2008 PLN m Nafta allowance - other Other (unaudited) (audited) allowance companies 2 1 Revenues 79 535 79 535 EBIT 758 -2 171 -195 5 -1 603 Financial -1 558 -2
Slide 8: Reported unconsolidated results for 2008 influenced by inventory allowance of PLN 1.7 bn
PKN ORLEN reported results (unconsolidated) for 2008 are influenced by inventory allowance to the amount of PLN 1.7 bn Mazeikiu Inventory 2008 2008 PLN m Nafta allowances - other Other (unaudited) (audited) allowance companies 2 1 Revenues 57 227 57 227 EBIT 633 0 -14 17 636 Financial -1 054 -1 730
Slide 9: Up to now actions of profitability improvement in Mazeikiu Nafta
Up to now actions of profitability improvement in Mazeikiu Nafta • After acquisition of Mazeikiu Nafta the Value Construction Programme (VCP) was started. The Programme was concentrated on increasing of profitability, improving operational efficiency and modernization of production units. • Realizat
Slide 10: Further actions in value growth of Mazeikiu Nafta
Further actions in value growth of Mazeikiu Nafta • Recent years allowed us to gain a lot of experience and prepare a plan of further actions adjusted to the current macro situation. • Initiatives targeted at improvement of financial results will be realized within the frame work of the started seco
Slide 11: Macroeconomic situation in 2009
Macroeconomic situation in 2009 Refining margin and URAL/Brent differential in 2009 Fwd Brent – Ural differential Refining margin „Model 2009” Variable macroeconomic environment in 2009 Impact of environment on key segments in 1Q2009 • Stable crude oil price at the level of USD 40-50/bbl means REFIN
Slide 12: Change in model margins: refining and petrochemical
Change in model margins: refining and petrochemical Starting from 2009 PKN ORLEN introduces new way of presenting model margins for PKN ORLEN Group so as to better reflect PKN ORLEN operating results in refining and petrochemical segment. Refining margin „Model 2009”` Petrochemical margin „Model 200
Slide 13: Thank you for your attention
Thank you for your attention For more information on PKN ORLEN, please contact Investor Relations Department: telephone: + 48 24 365 33 90 fax + 48 24 365 56 88 e-mail: ir@orlen.pl www.orlen.pl 13
Slide 14: Disclaimer Statement
Disclaimer Statement This presentation (“Presentation”) has been prepared by PKN ORLEN S.A. (“PKN ORLEN” or “Company”). Neither the Presentation nor any copy hereof may be copied, distributed or delivered directly or indirectly to any person for any purpose without PKN ORLEN’s knowledge and consent.