Braskem S.A. (BRKM5) - Financial and Strategic SWOT Analysis Review by GlobalData

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Braskem S.A. (Braskem) is a petrochemical manufacturing company. Its product portfolio includes polypropylene, polyolefins, polyethylene, PVC, caustic soda, caprolactam and copolymer products. The company's products find application in household appliances, industrial packaging, bottles, shopping bags, automotive parts, paints, resins, adhesives and engineering plastics. Braskem's business operations are classified into five segments, namely, Basic Petrochemicals, Polyolefins, International Business, Vinyls and Chemical Distribution. It has manufacturing facilities in Rio Grande do Sul, Bahia, Rio de Janeiro, Alagoas; Schkopau and Wesseling, Germany; Texas, Pennsylvania, and West Virginia, the US. Geographically, the company operates in various countries including Argentina, Bahamas, Brazil, Germany, Mexico, Netherlands, Peru, Singapore, Chile, the US and Venezuela. Braskem is headquartered in Sao Paulo, Brazil.

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									        Braskem S.A. (BRKM5) - Financial and Strategic SWOT Analysis Review
        Reference Code: GDCH27905FSA                                                                                         Publication Date: MAY 2012

          Rua Eteno 1561,
          Copec, COMPL                                                                                                                        33,176.20
                                   Phone            +55 71 34131897                                                          Revenue
          PETR                                                                                                                                (million BRL)
          CAMACARI
          CAMACARI, Sao                                                                                                                       -525.14
                                   Fax              +55 71 34131536                                                          Net Profit
          Paulo                                                                                                                               (million BRL)
                                                                                                                                              3,000
          42810000                 Website          www.braskem.com.brsiteportal_braskemenhomehome.asp                       Employees
                                                                                                                                              (Estimated)
          Brazil                   Exchange         BRKM5 [Sao Paulo Stock Exchange]                                         Industry         Chemicals

       Company Overview
       Braskem S.A. (Braskem) is a petrochemical manufacturing company. Its product portfolio includes polypropylene, polyolefins,
       polyethylene, PVC, caustic soda, caprolactam and copolymer products. The company's products find application in household
       appliances, industrial packaging, bottles, shopping bags, automotive parts, paints, resins, adhesives and engineering plastics.
       Braskem's business operations are classified into five segments, namely, Basic Petrochemicals, Polyolefins, International
       Business, Vinyls and Chemical Distribution.
       Key Executives                                                                SWOT Analysis
                      Name                                 Title                      Braskem S.A., SWOT Analysis
         Paulo Roberto da Costa              Director                                 Strengths                            Weaknesses
         Marcela Drehmer                     Chief Financial Officer
                                                                                      Inorganic Growth Drivers:            Deteriorating Profitability Ratios
         Marcelo Bahia Odebrecht             Chairman                                 Acquisitions
         Alvaro    Fernandes             da Director
                                                                                      Diversified Petrochemical            Dependence on Suppliers
         Cunha Filho
                                                                                      Products
         Alfredo   Lisboa         Ribeiro Director
         Tellechea
        Source: Annual Report, Company Website, Primary and Secondary
                                                                                      Opportunities                        Threats
        Research, GlobalData
                                                                                      New Product Launches                 Differential Feedstock Costs
       Share Data
         Braskem S.A.                                                                 Strategic Advances                   Stringent Regulations

        Share Price (BRL) as on 04-May-                                13.36
        2012                                                                         Source: Annual Report, Company Website, Primary and Secondary Research,
        EPS (BRL)                                                       -0.66        GlobalData

        Market Cap (million BRL)                                      10,826
        Enterprise Value (million BRL)                                25,855
        Shares Outstanding (million)                                     799
       Source: Annual Report, Company Website, Primary and Secondary
       Research, GlobalData

       Financial Performance                                                         Recent Developments
                                                                                      Apr 27, 2012         Braskem Releases New Polyethylene Resin
                                                                                      Apr 20, 2012         Braskem Provides Update On PP Production
                                                                                                           In Brazil
                                                                                      Apr 03, 2012         Braskem To Open New Butadiene Plant In
                                                                                                           Brazil
                                                                                      Mar 26, 2012         Braskem To Showcase Its Products At NPE
                                                                                                           2012
                                                                                     Source: Annual Report, Company Website, Primary and Secondary Research,
                                                                                     GlobalData

       Source: Annual Report, Company Website, Primary and Secondary
       Research, GlobalData




Braskem S.A. (BRKM5) - Financial and Strategic SWOT Analysis                                                                  Reference Code: GDCH27905FSA
Review
Source : www.globalcompanyintelligence.com                                                                                                                     Page 1
© GlobalData. This report is a licensed product and is not to be copied, reproduced, shared or resold in any form
       Table of Contents
       Table of Contents ............................................................................................................................................................................... 2
          List of Tables .................................................................................................................................................................................. 4
          List of Figures ................................................................................................................................................................................. 4
       Section 1 - About the Company.......................................................................................................................................................... 5
       Braskem S.A. - Key Facts .................................................................................................................................................................. 5
       Braskem S.A. - Key Employees ......................................................................................................................................................... 6
       Braskem S.A. - Key Employee Biographies ....................................................................................................................................... 7
       Braskem S.A. - Major Products and Services..................................................................................................................................... 8
       Braskem S.A. - History ....................................................................................................................................................................... 9
       Braskem S.A. - Company Statement ................................................................................................................................................ 11
       Braskem S.A. - Locations And Subsidiaries ..................................................................................................................................... 12
          Head Office ................................................................................................................................................................................... 12
          Other Locations & Subsidiaries ..................................................................................................................................................... 12
       Section 2 – Company Analysis ......................................................................................................................................................... 14
       Braskem S.A. - Business Description ............................................................................................................................................... 14
       Braskem S.A. - SWOT Analysis ....................................................................................................................................................... 15
          SWOT Analysis - Overview........................................................................................................................................................... 15
          Braskem S.A. - Strengths ............................................................................................................................................................. 15
             Strength - Inorganic Growth Drivers: Acquisitions ..................................................................................................................... 15
             Strength - Diversified Petrochemical Products .......................................................................................................................... 15
             Strength - Leading Market Position ........................................................................................................................................... 15
          Braskem S.A. - Weaknesses ........................................................................................................................................................ 16
             Weakness - Deteriorating Profitability Ratios ............................................................................................................................ 16
             Weakness - Dependence on Suppliers ..................................................................................................................................... 16
             Weakness - Increase in Debt .................................................................................................................................................... 16
          Braskem S.A. - Opportunities ....................................................................................................................................................... 16
             Opportunity - New Product Launches........................................................................................................................................ 16
             Opportunity - Strategic Advances .............................................................................................................................................. 16
             Opportunity - Strategic Partnerships ......................................................................................................................................... 17
          Braskem S.A. - Threats................................................................................................................................................................. 17
             Threat - Differential Feedstock Costs ........................................................................................................................................ 17
             Threat - Stringent Regulations .................................................................................................................................................. 17
             Threat - Competitive Pressures ................................................................................................................................................. 18
       Braskem S.A. - Key Competitors ...................................................................................................................................................... 19
       Section 3 – Company Financial Ratios ............................................................................................................................................. 20
       Financial Ratios - Capital Market Ratios........................................................................................................................................... 20
       Financial Ratios - Annual Ratios ...................................................................................................................................................... 20
       Performance Chart ........................................................................................................................................................................... 22
       Financial Performance...................................................................................................................................................................... 22
       Financial Ratios - Interim Ratios....................................................................................................................................................... 23
       Financial Ratios - Ratio Charts ......................................................................................................................................................... 24
       Section 4 – Company’s, Oil & Gas, Power Financial Deals and Alliances........................................................................................ 25
          Braskem S.A., Petrochemicals, Deals By Year, 2006 to YTD 2012.............................................................................................. 25
          Braskem S.A., Petrochemicals, Deals By Type, 2006 to YTD 2012 ............................................................................................. 26
          Braskem S.A., Power, Deals By Year, 2006 to YTD 2012 ............................................................................................................ 27


Braskem S.A. (BRKM5) - Financial and Strategic SWOT Analysis                                                                                                   Reference Code: GDCH27905FSA
Review
Source : www.globalcompanyintelligence.com                                                                                                                                                                Page 2
© GlobalData. This report is a licensed product and is not to be copied, reproduced, shared or resold in any form
          Braskem S.A., Power, Deals By Type, 2006 to YTD 2012............................................................................................................ 28
       Braskem S.A., Recent Deals Summary ............................................................................................................................................ 29
       Section 5 – Company’s Recent Developments ................................................................................................................................ 30
          Braskem S.A., Recent Developments ........................................................................................................................................... 30
             Apr 27, 2012: Braskem Releases New Polyethylene Resin ........................
								
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