Sabic reports consolidated financial results for period ended June 30, 2009

The results were as follows:

1. The net income for the quarter ended June 30, 2009 amounted to SR1.8bn, compared to the net income of SR7.5bn for the same quarter in 2008, a decline of 76%, and compared to the net loss of SR974m in the previous quarter ended March 31, 2009.

2. The gross profit for the quarter ended June 30, 2009 was SR6.2bn compared to SR14.8bn for the same quarter in 2008, a decline of 58%.

3. The income from main operations for the quarter ended June 30, 2009 was SR4.1bn compared to SR12.1bn for the same quarter in 2008, a decline of 66%.

4. The net income for the six months ended June 30, 2009 amounted to SR830m, compared to the net income of SR14.47bn for the same period in 2008, a decline of 94%.

5. The earnings per share (EPS) during the six months ended June 30, 2009 was SR0.28 compared to EPS of SR4.82 during the same period in 2008.

6. The gross profit for the six months ended June 30, 2009 was SR9.84bn compared to SR28.64bn for the same period in 2008, a decline of 66%.

7. The income from main operations for the six months ended June 30, 2009 was SR4.46bn compared to SR23.03bn for the same period in 2008, a decline of 81%.

The decline of the net income for the quarter ended June 30, 2009 compared to the same quarter of 2008 is due to the sharp decline in the prices of petrochemicals, plastics and metals owing to the global financial and economic crises. Corporate income remarkably improved compared to the income in the first quarter of 2009 due to improvement in prices of some products.

Mr. Mohamed Al-Mady, Sabic Vice Chairman and CEO, said:

"Sabic has maintained outstanding levels of operations despite the global financial and economic crises. Sabic's total production volume during the first half of 2009 reached 28.5 million tons, reflecting an increase of 1%, while total quantity sold reached 22.9 million tons, an increase of 2% over the same period last year."

"Sabic's strong financial position, its ability to generate strong cash flows, and the continued efforts to reduce costs, optimize operational efficiencies, and maintain high utilization rates together with the new production capacities coming on-stream at Yansab and Sharq will have a positive impact on its performance and corporate results in the coming quarters. Sabic's investment in China with Sinopec will profitably further enhance our footprint in the fast growing Chinese market," Al-Mady added.