2002 News Story

SABIC reports increased earnings in second quarter of 2002

Saudi Basic Industries Corporation (SABIC) has achieved a 123 percent increase in quarterly earnings with a net profit of SR 680 million [US $181.33 million] for the second quarter of 2002. This quarter's increase is attributable to a slight improvement in petrochemical prices, although still lower than in the corresponding period of 2001. The net profit for the first half of the year, however, was only SR 985 million ($262.66 million), down from SR 1,503 million ($400.43 million) earned in the corresponding period of 2001. As for production, a four percent increase resulted in total output of 17.8 million metric tons for the first half of 2002. Marketed tonnage increased during the period by 5 percent to 14 million metric tons. It is to be noted that the recent acquisition of SABIC Euro Petrochemicals will result in increased operating and marketing activity, especially in Europe.