- OMV Petrom announces the correction of an error contained in the 2015 Annual Report regarding the split of total refined product sales volumes
- The error was caused by changes in the management reporting as a result of modifications in company’s organizational structure
- The correction does not have any impact on the company’s reported financial statements
OMV Petrom announces that the 2015 Annual Report, published on 26 April 2016, on the company’s website www.omvpetrom.com (section Investor Relations > Investor Reports and Presentations > Annual Reports as well as in the section Annual Report) contains an error on page 29 of both Romanian and English versions of the 2015 Annual Report (section Business Segments/Downstream Oil).
The error refers to one of the KPIs reported in the Downstream Oil business segment, namely "Total refined product sales". The error resulted from a change in the detailed split by main products (Gasoline, Diesel, Jet and Fuel Oil) deriving from modifications in the organizational structure and management reporting of the Downstream Oil business segment, that occurred in mid-2015.
Please find below the correct split per products of Total refined product sales indicator:
The information regarding Total refined product sales was reflected correctly in the 2013, 2014 and 2015 Annual Reports. Likewise, the reporting of the detailed split per product was also correct in the 2013 and 2014 Annual Reports, as the changes that occurred in mid-2015 impacted only the 2015 Annual Report.
The correction does not have any impact on the company’s reported financial statements. No other corrections of the other data and information in the 2015 Annual Report were made.
Additional details and explanations are provided attached hereto in Appendix.
Until mid of 2015, the reporting for Downstream Oil consisted of "Refining" and "Marketing" business units, each of them covering the distribution channels as follows:
- export, oil companies and other domestic sales reported under "Refining";
- retail and commercial sales reported under "Marketing".
Additionally, the detailed split of Marketing volumes per product type was included in the Annual Reports until 2015 covering the main products: Gasoline, Diesel, Jet and Fuel Oil.
Extract of 2014 Annual Report:
Following the mid 2015 organizational change, the detailed information on sales channels was structured as "Retail" and "Non-retail", the latter covering former commercial business, oil companies, other domestic and export sales.
As a result, in the 2015 Annual Report, the details for "thereof Marketing sales volumes" were removed and replaced with "Retail sales volumes", but the split per products was erroneously kept unchanged (including the retail and commercial volumes only), and not updated accordingly to reflect all components of the "Total refined product sales" indicator (i.e. exports and sales to oil companies and other domestic sales were missing).
Extract of 2015 Annual Report:
About OMV Petrom
OMV Petrom is the largest integrated oil and gas group in Southeastern Europe, with an annual oil and gas production of approximately 65 mn boe in 2015. The Group has a refining capacity of 4.5 mn tons / year and operates an 860 MW high efficiency power plant and a 45 MW wind park. The group is present on the oil products retail markets in Romania and neighboring countries through approximately 800 filling stations, as at end 2015.
OMV, one of Austria's largest listed industrial companies, holds a 51.01% stake in OMV Petrom. The Romanian state, via the Ministry of Energy, holds 20.64% of OMV Petrom shares, Fondul Proprietatea holds 18.99%, and 9.36% is free float on the Bucharest Stock Exchange.
Starting 2007, OMV Petrom has integrated the principles of corporate responsibility into its business strategy. In this period, the company has allocated more than EUR 40 mn for the development of communities in Romania, focusing on environmental protection, education, health and local development.