INSPIRING NEW POSSIBILITIES ANNUAL REPORT 2014 A FUTURE OF CHANGE

By 2050, another 2.5 billion people are expected to be living on our planet. It is the equivalent of adding twice the population of India, itself the world’s second most populous country. What’s more, two thirds of all the world’s people will be living in cities, posing unique infrastructure challenges for African and Asian countries, where most of the growth is predicted to take place.

This dramatic shift presents the world with many challenges. How do we provide the food, buildings, energy and transportation that people need? How do communities provide clean and safe drinking water? What materials should we use to construct these new megacities?

The answer is innovation. It is something that SABIC does every day, all around the world. With new materials, smart solutions and better ways of working, we can provide solutions that help in addressing these challenges to help create a better future for everyone. In 35 years’ time, the world will be a different place. At SABIC, we believe that despite the many challenges THE WORLD IN that society faces today, it can be a better place tomorrow. We have an unshakable faith in the power of human potential and technological innovation to create improved conditions for living.

Imagine a world where precision agriculture delivers better crop yields from less land. Where high-tech materials enable clean, renewable energy to be the principal source of power for our cities and homes. 2050 Where low-cost personal transport takes you wherever you want to go, whenever you want. This is the vision that we work towards every day at SABIC.

Energy challenges 3 BILLION VEHICLES FREQUENT FLYING MORE PEOPLE HI-TECH FARMING WATER WISE MORE FOOD FAILING INFRASTRUCTURE How do we support the There could potentially We will all fly more. The global population How do we reduce A 55% rise in demand As the population As our cities grow, growing demand while be double the number How can we do will grow to over fertilizer wastage in for fresh water will grows, how do we they will need to become also protecting the planet? of vehicles by 2050 and it sustainably? 9 billion and we’ll challenging climates? require ingenious produce more food more resilient and many will be electric all be living longer. solutions. with less land? more technologically or advanced hybrids. advanced.

4 5 FINDING SOLUTIONS TOGETHER

Rail interior provider Monte Meão According to Bombardier Project Director Chris Fifield: “Injection-molded seating is the key to a more visually introduced an innovative design impressive interior, providing the strength to withstand DRIVEN BY and manufacturing concept for the use of hundreds of thousands of passengers the seat banks of São Paulo’s new through time and being lighter in weight to reduce INNOVATION energy consumption. When fully operational, this monorail system. system will transport more than 40,000 passengers Kringlan Composites of Switzerland, per hour per direction, so durability is a key SABIC and other industry participants Developed in association with SABIC, the new seating requirement. This solution will also simplify cleaning solution uses injection-molding methods, making it and part-replacement operations.” worked closely together to advance possible to produce durable, lightweight seating in the development of the world’s first less time and at a substantially lower cost. thermoplastic carbon-composite wheel. Monte Meão chose SABIC’s LEXAN™ FST 3403 resin SABIC’s support truly enabled This ground-breaking innovation leverages SABIC’s for its high-impact resistance, the flexibility required ™ to develop attractive designs and its lightweight us to create a seating system proprietary ULTEM resin and Kringlan’s proprietary “ three-dimensional composite-design capabilities. properties. The resin also complies with the most that departs from traditional stringent fire-safety regulations in the world. Seats approaches, one that will help This combination creates a solution that can be used made using SABIC’s resin can be up to 15% lighter, to replace traditional materials, such as metal and to transport the people of São aluminum alloy, and can result in reduced weight and helping to reduce the monorail’s CO2 emissions. Unlike thermoset solutions, they can also be Paulo comfortably and safely. emissions, lower manufacturing costs and enhanced recycled at the end of the product’s lifespan. recyclability. While the first application of this new Fernando Cerqueira technology is being introduced in the automotive CEO, Monte Meão industry, its potential reach extends to multiple industries where weight reduction is needed, including aerospace and consumer goods.

6 7 CONTENTS

1 Overview and strategy

12 This is SABIC 14 Chairman’S statement 16 Board of Directors 18 A WORLD OF ACHIEVEMENT

2 Our Core Markets

22 Transportation 26 Agri-Nutrients 30 Construction 34 Medical Devices 38 Packaging 42 Clean Energy 46 Electrical and Electronics

3 Our commitment

52 SUSTAINABILITY: A FOUNDATION OF OUR 2025 STRATEGY 53 CORPORATE SOCIAL RESPONSIBILITY 54 PEOPLE WHO CAN 56 TECHNOLOGY AND INNOVATION 58 ENVIRONMENT, HEALTH, SAFETY AND SECURITY (EHSS) 59 COMPLIANCE AND RISK MANAGEMENT 60 SupPLY CHAIN 61 MaNUFACTURING

4 Our businessES

64 Chemicals 65 Performance Chemicals 66 Innovative Plastics 67 68 Fertilizers 69 Metals 70 MaNUFACTURING COMPANIES 76 GLOBAL DIRECTORY

8 9 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW 1 OVERVIEW MARKETS CORE 2 OUR AND STRATEGY 3 OUR COMMITMENT

EVERY DAY, WE APPLY OUR EXPERTISE “IN CHEMICALS AND MATERIALS TO FIND NEW, SUSTAINABLE SOLUTIONS THAT MEET THE CHALLENGES OF

TODAY AND TOMORROW. 4 OUR BUSINESSES 1 OVERVIEW AND STRATEGY 2 OUR CORE MARKETS 3 OUR COMMITMENT 4 OUR BUSINESSES 13 s $ us ASSETS 50 (BILLIONS) COUNTRIE 90.7 $ LOYEES P SALES us (BILLIONS) EM 50.2 40,000 ANY

$ ND us 2 (BILLIONS) 6.2 NET INCOME CHEMICALP COM LARGEST DIVERSIFIED

ortfolio p filings Patent 10,640 From humble beginnings, we have grown steadily to become one of the world’s most successful chemical companies. Among the top producers of , , advanced thermoplastics, glycols, , and fertilizers, we are also one of the largest producers of steel in the . Our and size success are directly connected to our vision and our mission: to be the preferredworld leader in chemicals and to responsibly provide quality products and services through innovation, learning, and operational excellence while sustaining maximum value for our stakeholders.

PHIES WITH 5

INNOVATION HUBS INNOVATION KEY GEOGRA

SCIENTISTS

2,000 12

THIS IS SABIC 1 OVERVIEW AND STRATEGY 2 OUR CORE MARKETS 3 OUR COMMITMENT 4 OUR BUSINESSES 15

into the future. Our commitment continuous to innovation underlined is by SABIC’s global network of Technology and Innovation our new facilitiescenters. in , In 2014, Jeddah, Shanghai, and Bengaluru were joined by a new center Electronics on Electrical and focusing in & Lighting Science In and these Technology. centers, we are able to work closely with our customers and academic partners to create the best solutions to meet the demands of tomorrow. knowWe that achieving vision that the drives 2025 SABIC’s strategy depends on becoming ever closer to our customers. are We building a strong reputation for the collaborative innovation that is essential to finding new solutions to our customers’ problems. we haveThis also year, oriented our business around agri-nutrients, construction, devices, packaging, medical clean energy and electrical & electronics. These are the markets that are both engines for global economic growth and the guarantors of modern, sustainable living standards. In each one, SABIC products arepositioned to a measurable make difference, whether by enabling morelighter, fuel-efficient transport,creating better buildings, orhelping reduce food waste. This holistic, market-oriented approach provides SABIC with a powerful focus on our core priorities and will help drive our goal to be the world leader in chemicals. Our talented, inspired, creative and engaged people continue to create a more competitive company with a more prominent global presence that differentiates SABIC from its competitors and makes impressive efforts towards achieving this ambition. At SABIC we have a deeply held belief in our own capabilities. rise We to every challenge.I know that these qualities will help us achieve our goals long our seven core Market Segments: transportation,

into fertilizer. created We new 2

ossibilities”, is a powerful way of summarizing howossibilities”, As this future-focused report shows, the years ahead will continue to test our abilities to innovate and compete in a market that is changing and evolving rapidly. The title of this year’s annual report, “Inspiring New P SABIC views the future. see We the many challenges of tomorrow as opportunities to apply ingenuity and creativity within our businesses. At the same time, we believe that our materials, processes, and technologies themselves will new inspire possibilities that help improve modern life. In this report, we look ahead to the challenges that will bring.2050 Many of them – from providing food security for a growing population to building new megacities and improving human health – look about was ethos But SABIC’s founding insurmountable. overcoming huge obstacles to achieve what seems impossible. And in the four decades sincewe were founded, our people have shown time and time again that a combination of innovation and dedication can progress. and impetus tremendous create we inspiredThroughout many new possibilities. 2014 completedWe construction of a plant that will transform waste CO plastics and resins grades that will help many different manufacturing industries to achieve more. And smart use of our manufacturing assets is enabling us to do more with less.

In the four decades since we since decades four the In ofa innovation combination and dedication can create tremendous progress. and impetus were founded, our people have have people our founded, were that again time and time shown llah ud a S n Abdu

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CHAIRMAN’s STATEMENT 1 OVERVIEW AND STRATEGY 2 OUR CORE MARKETS 3 OUR COMMITMENT 4 OUR BUSINESSES 17 za . Ham

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ud r i a nc ar S i n Abdu n Th ha l- o 16 Mohamed Al-Mady was the Vice Chairman and CEO of SABIC throughout the financial He was year reassigned 2014. outside to other duties of SABIC by Royal Decree as of February Yousef Al-Benyan 2015. 15, has assumed the position of Vice Chairman and CEO of SABIC. Pr C bi bi A B Abdullah A Dr. Abdu Dr.

BOARD OF DIRECTORS 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW a world of achievement 2 OUR CORE MARKETS CORE 2 OUR 3 OUR COMMITMENT

SABIC is a global company working on the challenges of a changing world. We have business operations in over 50 countries. SABIC innovations share one thing in every region and market: a positive and transforming impact on the lives of people and the environment. 4 OUR BUSINESSES

GLOBAL HEADQUARTERS TECHNOLOGY CENTERS APPLICATION CENTERS DISTRIBUTION, INTERNATIONAL SUBSIDIARIES MANUFACTURING AND Kingdom of China, India, The Netherlands, Saudi Arabia, Japan, Saudi Arabia, South Korea, , STORAGE FACILITIES AND SALES OFFICES COMPOUNDING COMPANIES United States of America United States of America AND LOGISTICAL HUBS Argentina, Australia, Belgium, Brazil, Canada, Argentina, Austria, , Belgium, Argentina, Australia, Austria, Belgium, Brazil, China, Czech Republic, Denmark, , Brazil, Canada, China, Germany, Italy, Canada, China, Czech Republic, Estonia, Ethiopia, Finland, , Germany, Greece, India, Japan, The Netherlands, Malaysia, France, Germany, Greece, Hong Kong, Hungary, India, Indonesia, Iran, Iraq, Italy, Mexico, Saudi Arabia, Singapore, South SABIC CORPORATE RESEARCH Hungary, Italy, India, Japan, Malaysia, Mexico, Japan, Kenya, , Malaysia, Mexico, Korea, Spain, Thailand, AND INNOVATION CENTER Morocco, The Netherlands, Poland, Russia, Morocco, Nepal, The Netherlands, Pakistan, & Northern Ireland, United States Saudi Arabia, Singapore, South Africa, Philippines, Poland, Russia, Saudi Arabia, of America Kingdom of Saudi Arabia South Korea, Spain, Sweden, Thailand, Singapore, South Africa, South Korea, Spain, Turkey, United Kingdom & Northern Ireland, Sri Lanka, Sweden, Taiwan, Thailand, Tunisia, United States of America, Vietnam Turkey, Vietnam, United Arab Emirates, United Kingdom & Northern Ireland, United States of America

18 19 1 OVERVIEW AND STRATEGY 2 OUR CORE MARKETS 3 OUR COMMITMENT 4 OUR BUSINESSES ROVE THEROVE ORT. HIGHER ORT. P ERATIONSP IM YIELDS. STRONGER BUILDINGS. P BETTER HEALTHCARE. SAFER FOOD. FOOD. SAFER BETTER HEALTHCARE. MODERN WORLD. CLEANER SMARTER ENERGY. DEVICES. CRO GREENER TRANS SABIC OP “

MARKETS

OUR CORE OUR CORE 2 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW TRANSPORTATION billion vehicles on the 3R oad MARKETS CORE 2 OUR 3 OUR COMMITMENT 4 OUR BUSINESSES FREEDOM OF MOVEMENT Much of the projected doubling of the world’s car % % bn fleet by 2050 is expected to take place in developing countries, driving an urgent demand for more 75 45 2 infrastructure. At the same time, the success and livability of growing megacities will depend on free- OF CARS COULD REDUCTION in CARS traveling flowing mass transit and road networks as well as BE SELF-DRIVING EMISSIONS through sustainably cleaner air. And the need to dramatically reduce carbon emissions from land, air, and sea transportation BETTER TECHNOLOGY will catalyze a new generation of vehicle design.

22 23 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

TRANSPORTATION LIGHT AND CLEAR Aircraft interior designers are often restricted by the clarity and compliance requirements of the transparent WORLD FIRST materials currently available to them. With 80 percent light transmission – the highest level available in an OSU-compliant sheet material Created during the 2014 International Manufacturing Technology Show, today – SABIC’s new clear LEXAN™ XHR2000 sheet is the world’s first 3D-printed vehicle was built using a carbon-fiber-reinforced a pioneering option for aircraft interiors. It makes it compound from SABIC. possible to include large components such as security partitions and oversized windows, which are becoming increasingly popular in top deck designs. Other potential applications where clarity and light weight are important MARKETS CORE 2 OUR include instrument displays, equipment panels, and lighting lenses.

This world first is the result of a close teamwork We believe that this between SABIC, automotive design firm Local Motors, CLEANER manufacturing system builder Cincinnati Incorporated “technology has far- and process research pioneer Oak Ridge National Laboratory. SABIC’s LNP™ THERMOCOMP™ compound reaching potential for EXHAUSTS was selected for its strength-to-weight ratio and ability to minimize warping during the 3D printing process. applications across the SABIC’s Technical Grade Urea, introduced multiple industries that in 2014, will help reduce pollution from SABIC serves, bringing diesel exhausts and industrial processes. designs to market The new grade is being produced at SABIC’s manufacturing affiliate, Al- Fertilizer Company faster and enabling (Al-Bayroni), a joint venture with the Taiwan Fertilizer Company, with a capacity of 80,000 tons per year. 3 OUR COMMITMENT mass customization. Injecting a solution of urea into the exhaust stream of a diesel engine before the catalytic converter enables Tom Hocker better performance and fuel efficiency while reducing Senior Scientist nitrogen oxide (NOx) emissions. SABIC’s technical-grade Technology & Innovation urea is produced in pastilles using energy-saving Innovative Plastics Rotoformer technology, which gives the product SABIC superior physical and mechanical properties. NEW TIRES The auto industry will soon have a new source of raw material for sophisticated tires when SABIC’s synthetic rubber project comes on-stream.

Scheduled to begin production in 2015, the new

facility at the Kemya manufacturing complex, a joint 4 OUR BUSINESSES venture with ExxonMobil, will create a world-class tire and rubber goods industry in the Middle East to meet burgeoning demand. Tires made from synthetic rubber offer excellent resilience and resistance to wear and tear. SABIC has also introduced a new high-purity diethanolamine grade in the global market to produce polyamide additives for automobiles.

24 25 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

NOURISHING GROWTH By 2050, the UN’s Food and Agriculture Organization % bn % (FAO) estimates that food production will need to rise by 70 percent to feed the world’s growing population. 70 3 80 With more people moving to urban areas, this extra food must be produced by a smaller rural labor force. INCREASE IN FOOD TONS OF CEREAL INCREASED And with a finite supply of agricultural land, production PRODUCTION NEEDED PER YEAR PRODUCTION MUST needs to be more efficient and more sustainable. REQUIRED TO FEED THE COME FROM HIGHER 2050 POPULATION YIELD INTENSITY 2 OUR CORE MARKETS CORE 2 OUR 3 OUR COMMITMENT

AGRI-NUTRIENTS % MORE 4 OUR BUSINESSES FOOD 26 70 27 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

AGRI-NUTRIENTS TARGETEd NUTRIENTS 2 OUR CORE MARKETS CORE 2 OUR

SABIC’s fertilizers are specifically designed for particular crops, and we have also devised grades that suit the demanding growing conditions in different climates and terrains.

This targeted approach helps minimize waste and improve yields in areas where agriculture can be challenging.

Our fertilizers are used from the wheat prairies of North America to the rice fields of Thailand, nourishing the

crops that feed us all. They help farmers produce higher 3 OUR COMMITMENT yields, and play a vital role in providing secure, reliable food sources.

The center will use technologically advanced research and collaborate with the agricultural community BY-PRODUCT GLOBAL SUPPORTING to support more sustainable agricultural techniques. When complete in 2016, the Estidamah Center will TO FERTILITY SPREAD FARM RESEARCH conduct applied research on innovative techniques for greenhouses, biological control of agricultural A new plant at SABIC’s manufacturing SABIC is a leading global exporter of SABIC is constructing the Estidamah pests, development of fertilization programs, and rationalization of irrigation water. affiliate, SAFCO, transforms waste CO2 granular urea – the most popular and Agricultural Research Center at the into fertilizer. economical nitrogen-based fertilizer. Riyadh Techno Valley, King Saud As part of SABIC’s efforts to collaborate with the

University, in association with the Ministry agricultural sector, it conducted and participated 4 OUR BUSINESSES Manufactured fertilizers are essential to meeting We are also a significant producer of prilled urea. of Agriculture in Saudi Arabia, with the in a series of outreach programs in 2014 to educate the challenge of feeding the world’s population. Overall, SABIC’s supply of global traded urea is the farming community on sustainable agriculture, Their production is both energy and resource-intensive, expected to increase with SAFCO V. primary goal of promoting sustainable crop improvement, and optimizing fertilizer use. so reducing the “footprint” of fertilizer manufacture agriculture in Saudi Arabia. In association with the National Research Center is an important step towards increasing agricultural of the Ministry of Agriculture, SABIC addressed key yields sustainably. At SAFCO, a new standalone urea issues facing the agricultural sector based on various plant will convert 850,000 metric tons per annum of studies conducted by the ministry, Saudi universities, excess vented CO2 from existing facilities into valuable research centers, and private farming companies. fertilizer. SAFCO V is expected to begin production at 1.1 million metric tons per annum of urea, with energy and water consumption reduced by 8 and 11 percent respectively.

28 29 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

BUILDING THE FUTURE By 2050, it is anticipated that 66 percent of the bn % world’s population will live in cities. Most of this new urbanization, which will create at least 13 new 6 30 90 “megacities” with populations of 10+ million, will be concentrated in Asia and Africa. This growth CITY DWELLERS TRILLION DOLLARS OF URBANIZATION will need trillions of dollars of new infrastructure. IN 2050 OF INFRASTRUCTURE IN ASIA How can we build future cities that are sustainable, successful, and good to live in? NEEDED IN NEXT AND AFRICA 30 YEARS 2 OUR CORE MARKETS CORE 2 OUR CONSTRUCTION 3 OUR COMMITMENT

NEW 4 OUR BUSINESSES MEGA­ 30 13 CITIES 31 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

CONSTRUCTION SUSTAINABLE STADIUMS RESILIENT Architects for four of Brazil’s stadiums, including two of the 2014 World Cup, selected SABIC’s LEXAN™ sheet for 53,620m2 of roofing and facades.

This high-tech material offers long life, strength and weather resistance as well as valuable sustainability STRUCTURES benefits. The virtually unbreakable sheet, which is up to 50 percent lighter than glass, provides natural light and

improves thermal insulation, providing energy savings MARKETS CORE 2 OUR of up to 50 percent thanks to its highly reflective surface. At Arena de Baixada, LEXAN™ THERMOCLICK™ sheet has been used to clad the facade in a structure that can help reduce power consumption by 17 percent when compared with traditional double-pane glass glazing.

Energy-absorbing rebar helps In response to increasing demand from customers in seismically active locations, SABIC has developed buildings to withstand earthquakes. reinforcing bars (rebars) made from high-energy- SECURE absorption steel. Designed to reinforce concrete structures in areas prone to seismic activity, the DELIVERY new rebars are now part of SABIC’s metals product portfolio and are being specified for projects in SABIC’s new HDPE pipe grade for gas earthquake-hit regions. distribution allows for more efficient manufacturing while offering the impressive strength and durability the industry demands.

The gas pipe industry demands outstanding safety 3 OUR COMMITMENT and reliability. SABIC’s new VESTOLEN™ A 6060R High Density Polyethylene (HDPE) grade supplies the qualities that the market needs. This orange-colored grade, which completes the VESTOLEN™ A pipe portfolio, resists crack growth and offers a 10.0 MRS (Minimum Required Strength) rating. And because the new grade reduces die deposits during extrusion, converters can achieve higher productivity. LOWER-CARBON MANUFACTURING Production improvements are helping reduce the carbon footprint of SABIC steel production.

Adding a special coating to the refractory surfaces of 4 OUR BUSINESSES the billet reheating furnace at Hadeed’s Long Product Rolling Mills helps maintain high emissivity at furnace working temperatures. This reduces the amount of natural gas needed to fuel the process by 2 percent, cutting carbon emissions and also reducing the furnace operating temperature.

32 33 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

HEALTH FOR LIFE Driven by genetic and technological advances, PERSONALIZED bn MOBILIZED healthcare in 2050 will become more personalized, predictive, and preventive, dealing with the root 2 causes of health problems. This departure from the current focus on curing diseases could be enormously MEDICINE TO SUIT ELDERLY PEOPLE DEVICES TO MONITOR beneficial, but it will come against the backdrop of a EACH CITIZEN WORLDWIDE AND MANAGE WELLNESS growing and aging world population. High-technology devices and materials will be at the heart of healthcare development. 2 OUR CORE MARKETS CORE 2 OUR MEDICAL DEVICES 3 OUR COMMITMENT

HEALTHCARE GOES 4 OUR BUSINESSES HI-TECH 34 35 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

MEDICAL DEVICES clear dosage Pharmaceutical packaging experts Bormioli Rocco chose SABIC’s new dedicated MARKETS CORE 2 OUR polypropylene medical grade SABIC® PP PCGR40 for a new “ultra clear” liquid medicine dosage delivery system.

The new grade will be used to produce dosing cups We are proud to be a As the healthcare industry moves towards greater that are stronger and more transparent than previous easier outpatient care and home administration of polypropylene and polystyrene grades, yet still comply “SABIC customer and were medication, manufacturers of drug delivery devices, with strict European medical regulations. such as insulin pens, need to develop solutions that really impressed with the medicine are easy to use, compact, and aesthetically pleasing A long-standing SABIC customer, Bormioli Rocco to patients. In 2014, SABIC helped its customers adapt approached SABIC’s healthcare team with the challenge way they responded to New materials help manufacturers to this trend with its new CYCOLOY™ HCX1640 resin, of developing a new solution for medical dosage our challenge and by design medical devices that are smaller which can enable manufacturers to design robust, systems that could fit within revised regulations in and easier for patients to use themselves. light, and attractive drug-delivery devices that meet both the EU and the US while offering better strength how keen they were to standard healthcare regulations. and transparency. Bormioli is a leading player in pharmaceutical packaging, with an expected increase work together to find in volume in the dosing cups segment. The company a solution. Working with

values SABIC’s production consistency and its ability 3 OUR COMMITMENT to deliver the required volume of material. SABIC was a really positive experience especially, due NEXT- to the constant feedback and responsiveness GENERATION we received from their MATERIALS dedicated healthcare SABIC has worked closely with medical technical team. and hygiene industries to develop new fiber products that offer outstanding Roberto Valenti Manager for R&D Materials qualities without the need for phthalates Bormioli Rocco in the production processes.

Anticipating the demand in healthcare and hygiene products, SABIC has collaborated with OEMs and market players to develop new materials that meet performance demands. 4 OUR BUSINESSES It takes less of the new PP511A and PP519A grades to provide the same strength and mechanical properties, reducing the energy needed for their manufacture. Converters have confirmed that both grades offer excellent process efficiency, with low breakage and waste. Leading medical and hygienic fabrics providers have now fully approved both grades.

36 37 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

PROTECTING VALUABLE RESOURCES ADVANCED bn INTELLIGENT In a globalized supply chain, everyone depends on goods arriving in perfect condition, whether they 1. 3 be the products that enhance our lives, or the food PACKAGING tons of FUTURE PACKAGING and drink that sustain us. With tomorrow’s resource challenges, packaging has a crucial role to play, KEEPS FOOD AND FOOD LOST OR WILL TELL particularly in helping to reduce the waste in global DRINK IN GOOD WASTED GLOBALLY CONSUMERS food supply – at the moment, approximately one CONDITION FOR EVERY YEAR WHETHER FOOD third of food produced for human consumption LONGER IS FRESH is lost or wasted. 2 OUR CORE MARKETS CORE 2 OUR

PACKAGING 3 OUR COMMITMENT BN

$252 4 OUR BUSINESSES LOSSES DUE TO FOOD WASTAGE

38 39 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

PACKAGING LASTING APPEAL Manufacturers are constantly looking for ways to make their products more BETTER attractive while at the same time packing them in containers that are both durable and recyclable. SABIC’s latest HDPE grade, CLARENE, offers this combination of visual appeal and sustainability, using blow molding and compression molding to achieve a bright finish that helps to strengthen our customers’ brand image in the marketplace.

CAPS MARKETS CORE 2 OUR

Two new HDPE grades meet industry For the beverage-packaging industry, SABIC’s advanced High Density Polyethylene (HDPE) – needs for caps and closures that combine SABIC™ HDPE AX7611 – offers three important greater product safety with cost-efficient benefits. Manufacturers can produce more quickly manufacturing and lighter weight. and efficiently, consumers are protected by its superior strength, and better products can be created from less material. And the high-safety SABIC™ PP PHC28 also offers an efficiency advantage to the specialty caps and closures market segments. Its combination of high Melt Flow Rate and modern nucleation additivation allows for more energy-efficient manufacturing.

HEALTHIER 3 OUR COMMITMENT PACKAGING New PET grade for hot filling process extends the shelf life of liquid food products at ambient temperature without the need for additives.

Many beverages and liquid food products sold at ambient temperature still contain additives to extend shelf life. However, consumers are demanding additive-free products. In response to this need, SABIC has developed a new hot-fill PET (polyethylene terephthalate) grade, BC114, which enables our customers to use hot-fill technology. This technique has been developed to help extend the shelf life of products such as ketchup and fruit juices at ambient temperature, without the need for additives. It’s a perfect illustration of how advanced polymers can

address the food industry’s challenges and improve 4 OUR BUSINESSES the supply chain.

40 41 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

POWER FOR LIFE In 2050, energy will be different. It is anticipated double % SMART that solar power will be the biggest single source of electricity generation, driven by rapid advances 80 in materials and the imperative to decarbonize the energy sector. At the same time, industry will have THE ENErGY GLOBAL ELECTRICITY INTELLIGENT ENERGY adopted smart solutions for using energy, capturing DEMAND GENERATED IN 2050 CONSERVATION and recycling byproducts like CO2, and conserving WILL BE FROM energy in intelligent ways. LOW-CARBON SOURCES 2 OUR CORE MARKETS CORE 2 OUR

CLEAN 3 OUR COMMITMENT ENERGY %

27 4 OUR BUSINESSES sourced from the sun

42 43 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

CLEAN ENERGY THE CASE FOR

CHANGE MARKETS CORE 2 OUR As consumers and the auto industry embrace the potential of electric and hybrid vehicles, SABIC is delivering support and advanced materials to help accelerate progress.

For electric-vehicle manufacturers, maximizing driving This glazing solution was demonstrated in 2014 when range is a top priority. Lowering the car’s weight can it was used for the all-plastic windows of the Visio.M, play a big part in achieving this aim. SABIC’s scientists a lightweight urban electric concept vehicle developed are working to address this need. One example is the by the Technical University of Munich, BMW, Daimler development of our LEXAN™ resin and EXATEC™ coating and a consortium of industry participants. SABIC’s technology for vehicle windows. It’s just one of our many material reduces the vehicle’s weight by over 13 kg specialized solutions to the light-weighting challenges compared to conventional glass. Because of this, it is that automakers face. possible to extend range by 2 km on a single battery charge. The low weight also enables improved acceleration and vehicle handling. Additionally, the lightweight material offers 100 times the impact resistance of glass, increasing the security of the car. It also provides superior insulating properties, reducing

demands on the car’s heating and air conditioning 3 OUR COMMITMENT (HVAC) system and extending range even further – SUSTAINABLE by up to 15 km. SHOWCASE Home of Innovation™, a SABIC growth initiative, combines marketing, innovation, and technology to create demand and promote downstream industry development. This initiative brings together the best minds and WORLD’S BIGGEST organizations interested in the future of the Middle East region and acts as a catalyst to transform ideas to industry. CO2 PLANT

Currently under construction in Riyadh’s Techno- Construction of the new CO2 utilization Valley, the Home of Innovation™ facility will showcase plant at United, SABIC’s joint-venture innovative yet commercially available advances affiliate in Jubail, is progressing ahead

in energy-efficient building design, construction, 4 OUR BUSINESSES operation, and management that support a of schedule with production planned sustainable lifestyle. It will serve as a platform to for mid 2015. showcase and explore ideas that address energy- related challenges and opportunities in the region. The plant will compress and purify around 1,500 tons of raw CO2 per day from -glycol plants, which will then be pipelined to SABIC affiliates for use in methanol and urea production. Besides providing raw material for these important commodities, the project is expected to save 500,000 tons of CO2 emissions each year.

44 45 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW ELECTRICAL and ELECTRONICS 2 OUR CORE MARKETS CORE 2 OUR 10 0 BN

DEVICES 3 OUR COMMITMENT 4 OUR BUSINESSES THE WORLD AT YOUR FINGERTIPS smarter % PERVASIVE Today’s electronic devices have changed the world, accelerating the pace of innovation in developed 58 economies and giving people in emerging countries easy access to wireless communications. As trends like and smaller ANNUAL GROWTH TECHNOLOGY wearable tech and the “Internet of Things” become mobile devices IN INTERNET TRAFFIC, EMBEDDED IN mainstream, our daily lives will increasingly be enhanced MIDDLE EAST THE PHYSICAL by technology. These advances depend in turn on AND AFRICA WORLD innovative materials that create new possibilities.

47 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

ELECTRICAL and ELECTRONICS GLASS ALTERNATIVES SLIMMER FOR SCREENS AND MONITORS SABIC announced in 2014 that it will be SMARTPHONES manufacturing polymethyl methacrylate (PMMA) for the first time in Saudi Arabia, Three SABIC materials helped Xiaomi respond to the demand offering high-performance solutions for for more compact yet powerful mobile devices. metal and glass replacements that could MARKETS CORE 2 OUR lead to weight and cost savings.

PMMA is being used by leading electronics brands to make LCD screens and monitors due to its excellent clarity, scratch resistance, durability, and impact- resistance. PMMA will be produced in Jubail by the Saudi Manufacturers have always worked to make smartphones Methacrylates Company, a newly established 50/50 increasingly thin, compact, and lightweight to keep SABIC delivered a joint venture company between SABIC and Mitsubishi pace with growing consumer demands. In addition, combination of materials Rayon Company (MRC). Besides electronics, PMMA will an emphasis on aesthetics has led consumers to “ serve a number of applications and industries, helping increasingly value the look and feel of a device alongside that enabled Xiaomi to customers tackle some of the industry’s most pressing its functionality. Mobile Internet company Xiaomi challenges and respond to broader sustainability needs. selected SABIC’s LNP™ THERMOCOMP™ compound, LNP™ integrate the antenna THERMOCOMP™ LDS compound, and LEXAN™ EXL resin into the frame of the to create a smartphone that met complex technical specifications without sacrificing design and aesthetic phone, which helped appeal, allowing it to stand apart from the competition. to reduce the part space Xiaomi used SABIC’s new grade of LNP™ THERMOCOMP™ ™ ™ and weight without

compound, along with SABIC’s LNP THERMOCOMP LDS, MATERIAL 3 OUR COMMITMENT to create a new smartphone frame that required strength, sacrificing design or stiffness, impact resistance, and an integrated antenna. This last feature is attractive because it can reduce the performance. SABIC’s SECURITY size of the device and eliminate the secondary process of incorporating a separate antenna into the phone, ability to offer all three Smart card, passport and e-ID helping to reduce assembly time and cost. Additionally, materials ENABLED them manufacturers can now integrate next SABIC’s LEXAN™ EXL resin was selected to allow for rich, level security features using a patented jewel-toned colors for the backing of the device. to develop this industry- UV laser technology thanks to the new leading smartphone. LEXAN™ SD film overlay, a (PC) based material from SABIC. Alan Tsai Director Consumer Electronics Technology AND Innovation The demand for more sophisticated solutions to protect SABIC government ID cards and other related documents has led SABIC to pioneer the development of a PC material technology. This advance enables customers to apply a ghost image into the card or document and create a tactile white marking which will fluoresce under UV light, all during the personalization phase, giving manufacturers greater flexibility in design. 4 OUR BUSINESSES With the LEXAN™ SD film’s low and controlled shrinkage, manufacturers can use heat and pressure to join all layers together to form a card that cannot be pulled apart. The films are also ideal for different printing and security features as they can be screen-printed, offset- printed, or even hot-stamped to integrate a hologram. Potential applications for SABIC’s portfolio of LEXAN™ SD films include electronic ID cards, government and police ID cards, passport data pages, and driver’s licenses.

48 49 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW 3 OUR MARKETS CORE 2 OUR COMMITMENT 3 OUR COMMITMENT

WE ARE COMMITTED TO “SUPPORTING THE COMMUNITIES IN WHICH WE OPERATE AND PROTECTING THE ENVIRONMENT WE ALL SHARE. SABIC OPERATES 4 OUR BUSINESSES A CONTINUOUS PROGRAM OF IMPROVING SAFETY, EFFICIENCY, AND SUSTAINABILITY. 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

SUSTAINABILITY: CORPORATE SOCIAL A FOUNDATION OF RESPONSIBILITY OUR 2025 STRATEGY

Through sustainability, we focus on creating lasting HUMAN CAPITAL In 2014, we made significant progress in advancing campaign for cleaning Miramar Beach. In Singapore, value for stakeholders and our business. To achieve our commitment to global communities through 20 SABIC employees conducted educational workshops

SABIC relies on its people in order to implement the MARKETS CORE 2 OUR this, we work on material solutions that address the charitable contributions, employee volunteer for about 200 students from elementary school to 2025 strategy. That is why in 2014 we made significant, social, environmental, and economic sustainability programs, in-kind contributions and unique projects encourage optimal use of natural resources such as long-term investments in workforce development. With issues that affect our business and beyond. and sponsorships. We also joined hands with water and energy, and minimize carbon-dioxide and the introduction of 12 career lines and individualized numerous sovereign governments, universities, waste production. This year we launched our 2025 corporate strategy, professional development strategies, SABIC is shifting public institutions, foundations, and civil society positioning sustainability as a foundation that to a culture that rewards top performance. In addition, organizations around the world. We invested SR 64.7 supports our strategic pillars. We made this decision we are working towards an organizational refresh focused COMMUNITY ENGAGEMENT million in education, healthcare, community deliberately, recognizing that the way in which on strategic markets and introducing transformation development, and environmental-protection Some of SABIC’s prominent community programs we secure our feedstock, manage our sites, develop programs to increase the agility of our employees. programs, forming sustainable strategy relationships in 2014 were the SABIC Knowledge Arena in Hail, our people, and innovate our product portfolio will Success in 2025 also requires a diverse and inclusive and holding awareness-raising events. the SABIC Knowledge Beacon in Jubail, and the not only help us achieve our business goals, but also workforce, and in 2014 SABIC took positive steps on SABIC School Bag Project in Riyadh, Jubail and . enable SABIC’s continued growth and economic gender diversity by hiring our first female employees We continued to support the SABIC Employees Charity success, in harmony with the natural environment. in Jubail and Yanbu. HEALTH AND WELLNESS Fund (BERR) through a donation of SR 8.7 million, Towards the end of 2014, SABIC signed an agreement which doubles the total amount of donations to the NATURAL CAPItAL SUSTAINABILITY INNOVATION with Saudi National Committee for Narcotics Control Fund provided by company employees. Under a special and began the five-year, SR 50 million SABIC National funding relationship formed with our joint venture Integrating sustainability into SABIC’s innovation process Using resources efficiently is one of SABIC’s foremost Program for Drug Prevention (NEBRAS). We continued affiliate Al-Bayroni, SABIC bought a SR 10 million has helped to build a 2025 pipeline of solutions that sustainability priorities. To improve our manufacturing our work with the Zahra Cancer Association to provide endowment for the benefit of the Autism Families meet our sustainability challenges as well as those of our process efficiency, we have set goals – in line with our a mobile breast cancer detection clinic, which was Society and a SR 23 million endowment for SABIC markets. It enables SABIC’s new generation of products 2025 strategy – to reduce greenhouse gases, energy, received by the association late in 2014. Our Disabled Employees Charity Fund. Along with Joannou to perform better with a reduced footprint compared and water intensity by 25 percent and material loss Children’s Association scholarship program continues, & Paraskevaides, the contractor for SABIC’s staff intensity by 50 percent against 2010 levels. Several with incumbent market solutions. In 2014, SABIC’s

and work began to establish a building for pre-school housing project in Riyadh, SABIC also plans to establish 3 OUR COMMITMENT sustainability team launched an effort to integrate and SABIC affiliate plants in Saudi Arabia have performed and elementary students at the first model school for a SR 15 million drug-rehabilitation center in cooperation assess sustainability criteria at each stage-gate of new energy efficiency benchmarking against global children with Down’s syndrome. Furthermore, SABIC with the Ministry of Health and Diriyah . Technology & Innovation (T&I) projects. The intention competitors, and are working on closing the identified carried out an eye-care program in India, ‘They See, was to maximize the sustainability benefits of all new gaps toward top quartile global performance. They Learn’, for close to 20,000 less-privileged students products. We have internally qualified 13 new products “RAISE” CSR STRATEGY from government-aided schools and provided them as sustainability solutions, adding to the 32 existing These site assessments are part of a structured program with vision-correction treatment and surgery. SABIC developed its CSR strategy, RAISE, a global CSR towards achieving our 2025 sustainability targets. They solutions across all business units. framework to ensure corporate contributions and have identified many new sustainability improvement employee volunteering adhere to the following criteria: ideas, which can eventually be translated into viable One such example is SABIC’s first portfolio of certified EDUCATION R: Reputation, Raises SABIC’s overall visibility and reflects projects. One such example was the extensive energy renewable . Launched in 2014, and SABIC signed a SR 7 million agreement with the King positively on corporate identity; A: Audience, Addresses efficiency and boiler upgrades at the Al-Bayroni plant – developed at SABIC’s T&I Center in Geleen, Netherlands, Abdulaziz and His Companions Foundation for Giftedness key community needs and engages key stakeholders; I: a 50/50 joint venture with the Taiwan Fertilizer Company the innovation saw SABIC become the first chemical and Creativity (Mawhiba) to support the Saudi Science Innovation, Includes a novel approach or new technology in the Kingdom of Saudi Arabia. company capable of producing renewable second- and Creativity Festival. We also completed preparations that distinguishes SABIC’s leadership; S: Strategy, generation polyolefins made from waste fats and oils. for the 2015 SABIC Science Caravan in Saudi Arabia. Complements business interests and aligns with company But our work goes beyond efficiency to include the This accomplishment came as a result of collaboration An Innovation Award, a Technology & Innovation initiative, values; E: Endurance, Promotes a socially responsible use of alternative feedstock sources. For example, our both upstream and downstream in SABIC’s value chain. was launched, which offers prizes totaling SR 10 million culture and generates a positive and lasting impact. business units are taking a coordinated approach to SABIC’s Fertilizers business also saw success in this area, to stimulate and support innovative ideas in the RAISE supports priority CSR areas: Environmental improve CO2 utilization in our manufacturing processes. as production began on a new technical-grade urea smart-plastics industry. The year also saw SABIC continue Protection, Water and Sustainable Agriculture, Science Additionally, 2015 will see the completion of a project used in diesel and heavy oil-based factories that reduces to implement its Smart Investor program, which teaches and Technology Education, and Health and Wellness. to capture high-purity CO2 and use it to produce urea, NOx and SOx emissions. children the principles of money saving and management. methanol and industrial-grade CO2 product. The new We also supported the Educational Museum in Europe

SPONSORSHIPS 4 OUR BUSINESSES SAFCO V plant will capture more than 900,000 metric and inspired 28 postgraduate students from two LOOKING AHEAD SABIC continued sponsoring events and activities tons of CO2 to produce fertilizers. Overall, SABIC’s prestigious universities in China to create innovative, In 2014, SABIC has committed to sustainability by manufacturing assets showed that our sustainability economic, and environmentally friendly solutions for that support social programs and activities. In 2014 improving our operational footprint, increasing our performance exceeded 2014 targets. waste plastic and 3D printing. this included gifted-people programs, charity programs, employees’ knowledge and competence, and building economic conferences and seminars, and sporting and a pipeline of more sustainable products. Sustainability cultural events. We continued to make donations to is fundamental to our corporate strategy, and we look ENVIRONMENTAL PROTECTION charitable organizations, while sponsoring a number forward to developing ways to further integrate it into In 2014, SABIC implemented the “Waste-Free of programs and events organized by SABIC affiliates our business processes. Environment” initiative in cooperation with the Gulf in Jubail and Yanbu. Petrochemicals and Chemicals Association (GPCA) where a number of company employees and volunteers participated in cleaning a desert area in Riyadh. SABIC employees in the United States conducted a similar

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PERFORMANCE EMPLOYEE ENGAGEMENT PEOPLE WHO CAN SABIC is proud to have earned the Top Employers Asia The last year saw the second round of the CEO Pacific and Europe certification from the Top Employers Leadership Challenge, which invites emerging leaders Institute in recognition of our efforts to provide an in SABIC to develop solutions for the organization’s key excellent working environment. challenges. This initiative is designed to create direct engagement between the CEO and the company’s To drive our culture of rewarding performance, in 2014 rising talent. In 2014 we also communicated results 2014 marked the first year of progress on our roadmap towards building we introduced annual incentive pay for non-executives. from the second employee-satisfaction survey to the the human capital capability to meet our 2025 growth ambitions. We also assessed our current organizational structure global SABIC community in a town-hall meeting hosted We are working towards five key objectives: in the light of our 2025 ambitions, in a study that led by the CEO and Executive Committee. to small changes at the lower levels of our organization. To ensure that we act on the employee survey results – Fulfilling the needs of a high-growth workforce And to ensure that we apply performance practices in a structured way, line managers with more than nine fairly around the world, we completed Talent Review direct reports were encouraged to log their follow-up – Transforming organizational culture Programs for 15,800 professional employees globally. actions. 88 percent of managers have accomplished – Enabling functional excellence this to date. 2 OUR CORE MARKETS CORE 2 OUR – Enhancing organizational effectiveness DEVELOPING TALENT As part of our work to ensure a continuous pipeline of – Building the capabilities of our HR organization new talent in specific roles throughout the Middle East and Africa region, we selected 191 high-school students Throughout the year we also made strong progress towards building for the SABIC scholarship program. employee engagement and developing a performance culture. We also made progress in 2014 towards our objective of achieving functional excellence throughout the organization, completing career and competency development for Finance, IT, Legal, Supply Chain, and Procurement. At the SABIC Academy, 8,087 participants attended a total of 614 training programs through the year, 117 of which were focused on leadership development. In 2014, the SABIC Global Mobility Company helped 337 employees and their dependents to take up global assignments. 3 OUR COMMITMENT 4 OUR BUSINESSES

54 55 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

Throughout the year, in collaboration with our associates, traditional fields like catalysis, and SABIC has been innovating in a range of areas. Some of in target market segments like Energy Storage, Energy TECHNOLOGY the highlights include: Generation, Automotive & Light Truck, Consumer Electronics, and Construction. This will be achieved – The first transparent conductive polycarbonate film by making nanointermediates more viable for industrial material, aimed at bringing the response times of implementation through improved scale-up, ease and AND INNOVATION small-size touchscreens to large-format touchscreens. effectiveness of use, and teaming up with customers. The film also provides high transparency, flexibility A tangible example of this is the formation of our and formability. Applications for this material include joint-venture with molecular rebar design. Together we automotive windows, better EMI shielding effectiveness will develop and commercialize nanomaterials for select for electronics, and transparent WiFi/Bluetooth market segments and applications. antennas for mobile devices such as smartphones, tablets, laptops and all-in-one computers. Additionally, additive manufacturing, more commonly – The world’s first thermoplastic composite wheel, known as 3D printing, has taken great strides thanks Technology and Innovation (T&I) was a key driver for SABIC’s growth in 2014, made possible by SABIC® resin. This product could to SABIC materials. In 2014, SABIC played a part in potentially replace traditional tires made of metal the creation of a first-of-its-kind concept vehicle using contributing to our market share and position in the petrochemicals industry. Our first MARKETS CORE 2 OUR and aluminum alloy, offering a far lighter design that advanced 3D printing. Our carbon-fiber-reinforced Innovation Day at the company’s headquarters in Riyadh was a significant milestone saves fuel and reduces emissions. compound was chosen for its excellent strength- on the journey to becoming a more innovative and sustainable company. Innovation to-weight ratio and high stiffness, which minimizes – A new range of non-phthalate products to fulfill warping during the 3D printing process, enabling Day showcased our innovation story from invention to new products and processes. demands for advanced solutions in various segments enhanced aesthetics and performance. Additionally, such as hygiene fabrics and flexible packaging. SABIC’s expertise in this emerging technology – – A new technical grade urea that is used in diesel including material selection and validation, equipment and heavy oil-based engines to reduce NOx and specification and processing – was instrumental METRICS than a hundred institutes and tens of thousands of SOx emissions. throughout the development process. SABIC’s scientists. SABIC further extended its commitment to SABIC is working on over 889 research projects leadership in this area was recognized at the 4th groundbreaking technology by signing an agreement concurrently around the world, each contributing to GROWING MARKET SEGMENTS International Conference on Additive Manufacturing with HTE – a leader in high-throughput technologies. new technologies that will drive our business forward. Technologies in Bengaluru, India. These technologies are being mastered for advanced 2014 saw SABIC place particular emphasis on two In 2014, we hit a new record for patent applications, catalysis efforts, among other uses. areas: nanotechnology and additive manufacturing. filing a patent every 19 hours. Each patent is based The aggressive growth of these areas has encouraged on the work of an average of four researchers, and Last but not least, Innovation Day saw SABIC sign an SABIC to seek a leading position in their innovation this patent efficiency is better than anyone else in a Memorandum of Understanding with KAUST, further and manufacture. SABIC is also working towards the chemical industry top ten. At SABIC, our strategy extending a long-standing cooperative relationship. a strong positioning in nanofabrication, both in relies on innovation as a key contributor to profits, SABIC will commit a minimum amount of additional so successful innovation has helped us see a substantial resources, primarily for chemical catalysis and increase in sales of products developed in-house over nanotechnology initiatives. The program will hone and the past few years, especially in market-focused SBUs

extend the talent of SABIC’s innovation professionals via 3 OUR COMMITMENT such as Polymers and Innovative Plastics. a combination of higher education and visiting scientist assignments. This renewed approach will be extended INNOVATION FOOTPRINT to other Saudi Arabian universities throughout 2015, SABIC continued its double-digit resourcing growth starting with KSU. in 2014, raising the number of SABIC professionals fully dedicated to innovation to over 2,000. Proximity to HIGHLIGHTS key manufacturing hubs, as well as to agglomerations SABIC’s ambition to become a leading deployer and of specifiers and talent, has defined our innovation licensor of its own technology is reflected in the many footprint. We have established hubs in five key regions: plants that SABIC is building with proprietary technology. USA, Western Europe, Saudi Arabia, Southeast Asia, This includes acetic-acid technology, linear alpha olefins, and North East Asia. and the forthcoming ultra-high-molecular-weight polyethylene in Saudi Arabia and polycarbonate in China. Additionally, our new T&I centers – opened in 2013 in Riyadh, Thuwal, Shanghai, and Bengaluru – are now Additionally, our joint-venture with leads the in full operation. They were joined in 2014 by a new licensing of technology for and glycol Technology Center in South Korea. This Center focuses manufacturing. We are hard at work monetizing and on Electronics and Electrical & Lighting Science extending our LAO, LDPE, and ABS technology offerings. and Technology in association with the prestigious SABIC also recently revealed that a number of its heavily Sungkyunkwan University in Suwon, South Korea. patent-protected breakthroughs are in the final stages Sungkynkwan is home to some of the world’s leading of evaluation. These include technologies that fully experts in innovative technology for the electronics 4 OUR BUSINESSES convert oil to chemicals, and directly convert syngas and electrical and lighting industries. to olefins. In Saudi Arabia, SABIC announced plans to significantly Regarding products, SABIC outlined its market-focused expand its footprint in Jubail at Innovation Day. The approach at Innovation Day, emphasizing solutions for Technology Center there is expected to be up-and- Consumer Electronics, Transportation, Construction, running in three years and will house up to 500 Packaging, and Nutrients. These innovative solutions researchers. Its focus will be on process chemistry and are in the cell phones you have in your pockets, in the engineering. In 2014, SABIC continued to expand its cars you drive, and in the houses that you live in. Even network of innovation associates. Highlights include the food that sustains you has likely been grown or signing a collaboration agreement with the Chinese preserved by SABIC. Academy of Science (CAS), which is the largest national laboratory organization in the world, comprising more

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ENVIRONMENT, COMPLIANCE AND HEALTH, SAFETY RISK MANAGEMENT AND SECURITY (EHSS)

Protection of human health, safety, and the environment is one of SABIC’s most SABIC’s compliance and risk-management processes are designed to safeguard

important values. We continually strive to protect the environment and the health, and promote the interests of all our stakeholders, including customers, employees, MARKETS CORE 2 OUR safety and security of our communities, our personnel, and our assets. We believe it is shareholders, and communities. We build and maintain world-class compliance and imperative to create a culture that not only meets regulatory requirements, but also risk-management processes through our Legal Affairs, Enterprise Risk Management, goes beyond compliance and continually strives to improve our EHSS performance. and Internal Audit departments. In 2014, the SABIC Board of Directors formed a Risk and Compliance Committee to ensure effective Board oversight for managing the company’s key risks. This Committee will complement the Board’s Audit Committee KEY PERFORMANCE INDICATORS PRODUCT STEWARDSHIP in promoting compliance and risk-management controls across SABIC. AND CONTINUOUS IMPROVEMENT We have implemented extensive programs to promote We monitor a set of EHSS key performance indicators for the safety of our products, including a new SHEMS our facilities and across the supply chain to continuously element that helps enhance the growth of a strong LEGAL AFFAIRS readiness to respond to unexpected interruptions improve EHSS performance. Since 2005, the OSHA product stewardship culture within SABIC. and increase business resilience. This is consistent Legal Affairs provides proactive support to manage legal recordable injury rate for direct hire employees has with ISO 22301 for BCM and in 2014, one of SABIC’s risk for the business, while promoting growth through improved by 32 percent, and the injury rate including PROCESS SAFETY manufacturing sites was certified under ISO 22301. commercial transactions, M&A activities, strategic contractor employees has improved by 56 percent. ERM will continue to support SABIC’s other manufacturing Process safety is critical for ensuring that our processes counseling, etc. The team also supports the company’s A key measure of EHSS performance across SABIC is sites globally in obtaining this certification within the next are safely designed, constructed, maintained, and 2025 goals in two key areas: (i) building and maintaining the SHER (Safety, Security, Health, and Environmental four years. ERM has conducted several risk-assessment operated. We held workshops in each region to raise robust compliance processes and a strong compliance Incident Rate), an internally developed metric that and business-continuity workshops covering multiple awareness and application of process-safety principles culture to foster the highest ethical standards; and (ii) encompasses process safety, occupational health sites. Our goal is to have risk management and business within SABIC. We also hosted the second process working closely with technology and business leaders to and safety, environment, and security. SABIC’s SHER continuity fully embedded within SABIC’s culture to safety symposium and workshops in Jubail and Yanbu, maximize the value of our innovation activities through has improved by 81 percent since 2005. enhance our ability to prevent and respond to risks. 3 OUR COMMITMENT which were attended by senior executives from SABIC strategic intellectual-property protection. As part of our With a distinctly aligned ERM function and a robust and its affiliates. Compliance program, SABIC employees completed some risk governance and oversight structure, appropriate SAFETY, SECURITY, HEALTH & 300,000 Code of Ethics training modules in 2014, with escalation and cascading of risk information and overall completion rates exceeding 98 percent. We held ENVIRONMENT MANAGEMENT eSHEMS mitigation actions is carried out throughout the Compliance Review and Risk Mitigation sessions with STANDARDS (SHEMS) To promote continuous improvement, EHSS programs organization. This provides the board and stakeholders 39 business leaders, launched a desktop Compliance depend on timely reporting of EHSS incidents and with the assurance that potential threats and weaknesses These comprehensive, state-of the-art management reporting tool, and conducted focus groups with identification of their root causes. SABIC is replacing are detected and managed proactively. In 2014, SABIC standards are the cornerstone of our EHSS program. 2,600 employees to increase comfort with reporting its existing legacy systems with eSHEMS, an integrated continued to utilize its Compliance and Risk Management They establish consistent, global procedures for Compliance concerns. all aspects of EHSS. All these standards are living web-based system that will allow for more effective system to support risk-management processes executed assessment of SABIC’s EHSS performance, in line with by its ERM and Legal Compliance teams, reviewing documents, subject to periodic review, which reflect Our Legal team also has a leading role in promoting our 2025 strategy. two Business Units and two Corporate Functions. our drive to continually improve by embedding global SABIC’s commitment to fighting corruption, including best practices in our operations and integrating new participation in the B20 Task Force on Transparency and learning from within and outside our industry. EMERGENCY RESPONSE Anti-Corruption, the Global Compact, INTERNAL AUDIT We continually assess the effectiveness and extent AND CRISIS MANAGEMENT the World Economic Forum, and events sponsored The Internal Audit Department audited the company’s of SHEMS implementation within SABIC through an by the Saudi National Anti-Corruption Commission. operations in 2014, in accordance with the SABIC extensive audit and assurance program. The results While we have many programs and processes to prevent Transparency International recently placed SABIC in the Audit Committee Approved Annual Audit Plan. show significant improvement each year. The SHEMS emergencies, we recognize the importance of being top quartile of the world’s 124 largest public companies PricewaterhouseCoopers, the company’s external auditor, program has now been implemented at all sites globally. prepared to respond rapidly and appropriately to any such events. Our emergency management program based on the strength of its anti-corruption program also conducted periodic audits and reviewed the closing and reporting practices. financial statements of the company. No fundamental ® is designed to promote effective crisis-management RESPONSIBLE CARE PROGRAM weaknesses were reported after these audits and reviews

systems at local, regional, and global levels. It includes 4 OUR BUSINESSES As part of our drive to go beyond compliance, crisis management teams and creates a framework to In Intellectual Property, we grew our original patent and the company continues to maintain a strong internal SABIC has adopted the Responsible Care® program. identify opportunities for improvement. During 2014, applications by more than 20 percent in 2014 and built control environment. The Internal Audit Department The Responsible Care® program was developed by the we conducted five global crisis-management drills, our overall patent estate to more than 10,600 global completed all planned audits for 2014, including reviews chemical industry to promote continuous improvement at both site and business level. dockets. We are actively using this portfolio to boost within some of the company’s affiliates. Consistent with in EHSS performance for facilities, processes, and margins and drive growth. In addition, our IP awareness SABIC’s growth in recent years, Internal Audit increased products. SABIC is leading the Responsible Care® EHSS AWARD PROGRAM training has reaped substantial benefits, particularly staff in 2014, enhanced its operations in risk assessment initiative in the Middle East through the Gulf in Saudi Arabia, where we saw a significant increase and electronic documentation, and is in the process of Petrochemicals and Chemicals Association. During Recognition of excellence is a key element in creating in patent filings in 2014. developing and implementing robust data analytics and 2014, all relevant sites in Europe received Responsible a sound EHSS culture. Every year, we present EHSS Awards continuous-control auditing capabilities. Adherence to Care® RC14001 certification, while the Middle East to SABIC facilities that have demonstrated excellence ENTERPRISE RISK MANAGEMENT international auditing standards is maintained through in their EHSS programs. the department’s expertise center for quality-assurance and Americas region maintained this certification. During 2014, the ERM department continued the and improvement programs. rollout and implementation of the Business Continuity Management (BCM) process, which raises the level of

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SUPPLY CHAIN MANUFACTURING

Derived from SABIC’s overall 2025 strategy, our Global Supply Chain Strategy aims to With over 60 percent of our major assets benchmarked as demonstrating 1st-2nd

ensure a sustainable supply chain. An assessment carried out with Pennsylvania State quartile on-stream reliability, our aim remains to retain this leadership. By end of 2014, MARKETS CORE 2 OUR University (PSU) endorsed our EMDAD Supply Chain transformation project as a solid our global asset landscape was subjected to rigorous criticality assessments covering one base for moving towards our 2025 goals. million pieces of equipment worldwide, and we created reliability and maintenance plans for over 400,000 equipment items. Asset reliability has improved by approximately 0.35 percent year-on-year, equivalent to a 500 KMT production improvement. SUSTAINABILITY INFRASTRUCTURE SABIC developed a “SusCHAINability” program with SABIC’s Jubail Portside Logistics Facility reduced lead the Institute for Sustainable Leadership at the University time to Saudi ports by four days and cut the collection MANUFACTURING WORK PROCESSES RELIABILITY AWARD PROGRAM of Cambridge, with the aim of becoming the recognized of empty containers from other ports by 20-25 percent. supply-chain sustainability leader in the chemical In Asia, two additional container hubs in Malaysia and Our success centers on our ability to apply best-in-class SABIC inspires manufacturing excellence through industry. In November, we launched the world’s first China will improve lead times for customers. To support Manufacturing Work Processes across our global assets annual awards for Reliability Performance. In 2014, LNG-powered gas carriers to cut the environmental large long-range ships, the Chemicals business has effectively and consistently, supported by a world-wide Hadeed won the Gold Award, Al-Bayroni received the impact of chemical transport. The two ships will reduce contracted a large storage facility in Shanghai. network of technical experts. The Manufacturing Work Silver Award, and Sharq the Bronze Award. We have Processes, which are fully equipped with guidance seen significant improvements across all KPIs since emissions of nitrogen oxide, sulphur oxides, and CO2 by 85, 100, and 20 percent respectively. Polymers in Asia SABIC formally signed a Memorandum of Understanding materials, training, and adoption methodology, play the launch of this program. has introduced LNG-powered trucks in China, aiming with Saudi Arabian Railways, which will enhance customer a major role in the transformation journey of the to convert its entire fleet to LNG within five years. services, expand transportation options and reduce fuel Manufacturing organization towards excellence. COST LEADERSHIP All Tier 1 work processes (with the highest priority consumption. Effective scheduling helped the Metals Our Asset Performance Management processes have SABIC’s Innovative Plastics business has introduced business dispatch a record 5.67 million tons of material and business value) are now ready for deployment, and structural rollout will begin in 2015. also optimized costs: risk-based equipment inspection measurements to identify the most sustainable shipping with 500 fewer vehicles than 2013. For Performance plans reduced Preventive Maintenance Program costs methods and its Americas Supply Chain has reduced Chemicals, a new flexi tank packaging solution has by SR 200 million per year. Benchmarking and site 3 OUR COMMITMENT greenhouse gas intensity by 11 percent, saving 19kt of reduced costs by over 50 percent while increasing Our technical experts at the Manufacturing Center of Excellence have established a program to identify and synergies provide further cost optimization opportunities. CO2 emissions. Polymers has led the way in developing load capacity. safety guidelines for tipping bulk trailers. In the Gulf, address reliability bottlenecks and “performance killers” (that is, factors that adversely affect performance) at a “WIN” PROJECT SABIC aligned with the Gulf Petro Chemical Association PROCESS and SYSTEMS (GPCA) and developed a Sustainability and Quality global manufacturing level. This helps us to share lessons Focused on EHSS, Cost, and Customer Value, this European Assessment System (SQAS) for the region. The assessment The FANAR+ program was introduced to ensure a global learned and eliminate root causes across all sites globally. project, which covers all manufacturing sites in Europe, scheme ensures that world-class road transport standards and uniform platform for standardized planning and For example, addressing EO Reactor integrity has avoided encompassed over 250 initiatives. By 2014 it had resulted are maintained internally and for our partners. Metals operations. Rollout will be in 2015 for Europe and the annual downtime amounting to SR 400 million. in a total project value delivery ahead of the original implemented new haulage regulations to ensure Innovative Plastics business. The Global Supply Chain SR 1. 2 billion target. sustainable, safe, and reliable delivery. Council was established to create an official forum to KNOWLEDGE discuss cross-business supply chain matters, sustainability SYNERGIES projects and to share best practices. The global rollout Our Manufacturing Center of Excellence (MCE) CAPABILITY of a standard customer service organization continues continues to attract specialist talent from across Manufacturing synergies are opportunities where we March saw the launch of the Early Career Program, and is now complete at Chemicals, Polymers and the globe. Active networking between the MCE can creatively upgrade certain streams by channeling part of the Supply Chain Career Development program. Innovative Plastics. Changes to bulk delivery have and manufacturing sites enables SABIC to capture, them into other plants, or through other processes or Career paths and guidelines are now available to over further improved reliability and cost at Polymers, while retain, and disseminate knowledge, and develop technologies existing within our diverse assets portfolio 1,100 employees. The “Functional Competency Model” Innovative Plastics has reduced delivery cycles with manufacturing standards and best practices. SABIC for maximum value. We identified several opportunities was piloted, covering over 50 employees in nine a plant resizing program. Fertilizers is now certified Manufacturing Standards (SMS) define requirements for such manufacturing synergies in 2014, including to safely and consistently achieve optimum asset countries and achieving a 100 percent assessment rate. to export to New Zealand and at Metals, inventory the project to use CO2 from United at SABIC affiliates, Our “Applied Learning” collaboration with PSU continued, days are down 4 percent. utilization for common manufacturing. In 2014, which has enhanced methanol and urea production the focus was on change management and driving and cut ca. 500 KMT of CO2 emissions per year. The BTX applying supply-chain improvement projects to 4 OUR BUSINESSES successful implementation of SMS at sites. Chemicals, Innovative Plastics, and Polymers. In the STRATEGIC SOURCING synergy project between Petrokemya and Saudi Kayan’s Kingdom of Saudi Arabia it has created an enhanced unit increased these assets’ production capacity end-to-end view of the value chain to improve product Central, global sourcing is rolling out best-in-class BENCHMARKING by 25 percent. procurement and category management practices. and service delivery into China, and the US project In 2014, we conducted a record number of benchmarks aimed to speed up processes and reduce variation in This helps capture synergies and improve transparency and will be supported by an e-sourcing process and covering olefins, polyethylene, ammonia/urea, MTBE, feedstock network inventory. Innovative Plastics used methanol and . With 70 percent of our customer-segmentation work and value-chain diagnostics tool to create global visibility of vendors’ capability, performance, contracts and pricing. global assets now benchmarked, we have a clear view to uncover competitive intelligence and unmet needs, of the opportunities that exist; this is important both for and develop new value-added service offerings. our 2025 strategy and for where market conditions and cost constraints continue to be challenging.

60 61 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW 4 OUR MARKETS CORE 2 OUR BUSINESSES 3 OUR COMMITMENT

FROM THE ESSENTIAL INGREDIENTS “FOR INDUSTRY TO THE MOST HIGH-TECH, CUTTING-EDGE PLASTICS, SABIC RESEARCHES, DEVELOPS, AND MANUFACTURES THE MATERIALS 4 OUR BUSINESSES THAT MOVE THE WORLD FORWARD. 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

CHEMICALS PERFORMANCE CHEMICALS

Our strategy focuses on improving We consider the environment as a key MARKETS CORE 2 OUR “existing assets, creating profitable “factor in the design, planning, and execution growth globally, developing new of development projects of Performance platforms, and continuously developing Chemicals. Several major development capabilities toward our 2025 targets. milestones were achieved in 2014 within long-term planning and continuous efforts toward incremental contribution Yousef Al-Benyan Abdulrahman Al-Fageeh and improvement. Executive Vice President Executive Vice President Chemicals Performance Chemicals

HIGHLIGHTS FUTURE STEPS HIGHLIGHTS FUTURE STEPS

SUSTAINABLE Chemicals’ strategy focuses on making the most of our NEW GRADES Performance Chemicals plays a critical role in helping existing assets while targeting new markets for growth, SABIC reach its 2025 goals and becoming the preferred First bio-based olefins produced by our crackers In 2014 we completed the development of 31 new and bolstering innovation. Our four key areas of focus world leader in chemicals. By introducing new products 3 OUR COMMITMENT in the Netherlands. grades, which include 20 ethoxylates, and several are: (i) optimizing costs and returns, (ii) prioritizing into the company’s diverse and growing portfolio, synthetic rubber and PMMA grades. global opportunities, (iii) building platforms for we are a key element of SABIC’s transformation from EFFICIENT competitiveness and sustainability, and (iv) upgrading a provider of commodities into a trusted partner in Asset optimization across our business enables capabilities to continuously hone our organizational RELIABILITY the development and implementation of advanced SABIC to produce more with less. effectiveness. When fully implemented, these pillars will Plant reliability has dramatically improved, with only solutions. In 2015, we will introduce a wide range of enable us to take operations to the next level and meet 84 days of unscheduled shutdown in 2014 compared synthetic rubber products that will serve numerous 2025 strategy targets. By excelling in the production of to 309 in 2013. applications – and enhance our customers’ capabilities basic hydrocarbon feedstocks, we will continue to provide – in diverse industries, including transportation, the foundation for industrial and consumer products. construction, electrical, and electronics. 4 OUR BUSINESSES

NO1 NO1 1ST 33% 20 9 GLYCOLS PRODUCER MTBE PRODUCTION FIRST LOW EMISSION INCREASE IN NEW ETHOXYLATE EPDM DEVELOPMENT GAS CARRIERS ETHANOLAMINE GRADES IN 2014 PROGRAMS TO SUPPORT PRODUCTION ADVANCED APPLICATIONS IN CONSTRUCTION, AUTOMOTIVE AND CONSUMER GOODS

64 65 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

INNOVATIVE POLYMERS PLASTICS

We are increasing our competitive The Polymers business is transforming to MARKETS CORE 2 OUR “advantage as a supplier to customers “a MARKET-FOCUSED business model that will by investing in innovation that strengthen the value we create FOR our enhances our global competitiveness customers by focusing on selected market across our core product portfolio segments and applications best served by our and in our ability to provide solutions diversified product and services portfolio. that solve the ever more sophisticated By winning WITH our customers, we will Keith Smith needs of the industries we serve. Mosaed S. al-Ohali drive our future growth and margins. Executive Vice President Executive Vice President Innovative Plastics POLYMERS

HIGHLIGHTS FUTURE STEPS HIGHLIGHTS FUTURE STEPS

EMERGING TECHNOLOGIES We will continue to strive to find the best combination SOUTH KOREA PARTNERSHIP As the world population surges toward an estimated of technologies and services to solve problems and nine billion in 2050 and with around 60% of those Our innovative materials and processing expertise SABIC’s Polymers business is greatly enhancing its value grow our collaboration with well-known industry OEMs. people living in urban areas, the demand for materials 3 OUR COMMITMENT were used to create the world’s first 3D printed car, creation for customers by the addition of metallocene- We will remain focused on helping reduce weight in that are lighter and more environmentally-friendly can demonstrating how large free-form designs can be catalyzed linear low-density polyethylene, transportation segments, making consumer electronics only grow. We will strengthen our relationship with manufactured faster and at a lower cost. plastomers, and polyolefin elastomers to its portfolio. smaller and stronger, and providing materials for medical OEMs and brand owners, collaborate across the value This will be accomplished via a joint venture with devices that help enhance the patient and healthcare chain to drive innovation, and jointly develop innovative Korea’s SK Global Chemical to use SK’s cutting-edge AUTOMOTIVE provider experience. We will utilize our own materials and sustainable solutions to meet future customer needs. Nexlene™ solution technology. Composite plastic hybrid solutions that can help portfolio and engage with world class leaders to develop By putting the customer at the heart of everything we automakers enhance the crashworthiness of their solutions that go beyond our product or service offering. do, we will stay ahead of the competition and further vehicles and save more than 50 percent in weight RENEWABLE expand our portfolio of polymer solutions. compared to steel. SABIC has launched its first portfolio of certified renewable polyolefin products. 4 OUR BUSINESSES

10 0 x 53,620 M2 35% 12.4 134 23 LEXAN™ RESIN HAS 100X THE OF ROOF GLAZING WEIGHT SAVING FROM MMT SALES VOLUME PRODUCTS DEVELOPED BY NEW PRODUCTS IMPACT RESISTANCE OF GLASS AND FACADES PROVIDED ADVANCED POLYCARBONATE CUSTOMERS WITH SUPPORT INTRODUCED FOR FOUR ARENAS GLAZING IN FORD LIGHTWEIGHT FROM SABIC FOR FIFA IN BRAZIL CONCEPT VEHICLE

66 67 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

FERTILIZERS METALS

SABIC’s ambition is to continue the Despite the significant challenges we faced MARKETS CORE 2 OUR “growth in its fertilizer business by “in the year, we achieved exceptional results, creating RELATIONSHIPS, offering different clearly demonstrating our committed and differentiated products, sustainable leadership in the regional market and market development, excellent service, positioning the Metals business towards and global reach. achieving SABIC’s 2025 Strategy.

Khaled Al-Mana Abdulaziz S. Al-Humaid Executive Vice President Executive Vice President Fertilizers Metals

HIGHLIGHTS FUTURE STEPS HIGHLIGHTS FUTURE STEPS

FIRST OF ITS KIND Fertilizers will grow its comprehensive portfolio and SALES By turning innovative ideas into real solutions, Metals offer innovative solutions to our customers, enabling will continue adding value and growing in stature as United Nations Framework Convention on Climate Sales reached record levels with a 12 percent farmers across the world to feed a growing population the region’s preferred manufacturer of steel products. 3 OUR COMMITMENT Change recognized the manufacturing affiliate increase in volume. with less land. Full certification of all of our fertilizer Our innovative solutions marked us as a valued partner Al-Bayroni plant’s boiler rehabilitation product – manufacturing sites and export terminals by Oceania’s in the development of greener and smarter products a unique achievement in Saudi Arabia. major importers in 2014 will further open up the INNOVATION that will expand downstream value chains – especially continent to our products, while newly opened offices The commercial production of high strength steel in construction, pipe manufacturing, and other EXPANSION in Australia, Pakistan, Kenya, and Ethiopia will give for construction and industrial applications, seismic downstream steel industries. Through cutting-edge Construction is now complete at the manufacturing communities across the world more opportunities to resistance steel bars, and cold-rolled products with materials technology and close collaboration with our affiliate SAFCO V, which will produce around 1.1 million benefit from high-value crops. Sustainability is at the Extra Deep Drawing Quality (EDDQ) were among customers, we will meet the engineering challenges tons per year of urea and offer reductions in energy heart of what we do. Promoting food and nutrient 32 successful projects. of the future. and water use. security and minimizing carbon footprints will continue to drive our success.

UREA 4 OUR BUSINESSES

80,000 1% 4 5.8 32 0.49 TONS PER YEAR OF SABIC’S ANNUAL TARGETS FOR NUTRIENT MILLION METRIC RESEARCH AND OUR BEST SHER RATING OF EMISSIONS-REDUCING GLOBAL CO2 FOOTPRINT STEWARDSHIP: RIGHT SOURCE, TONS PER ANNUM INNOVATION PROJECTS PERFORMANCE TO DATE TECHNICAL GRADE UREA SAVED BY AL-BAYRONI RIGHT RATE, RIGHT TIME, TOTAL PRODUCTION (SAFETY, HEALTH, BOILER PROJECT RIGHT PLACE ENVIRONMENTAL AND REGULATORY)

68 69 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

Chemicals Polymers MANUFACTURING Fertilizers performance Chemicals COMPANIES Metals Innovative Plastics

COMPANY LOCATION PARTNERSHIP PRODUCTS COMPANY LOCATION PARTNERSHIP PRODUCTS

Alba Bahrain SABIC Industrial Investments Aluminum (liquid metal, ingots, Ibn Rushd Yanbu, SABIC (45.19%), PIF (33.51%), Aromatics (xylenes and MARKETS CORE 2 OUR Aluminium Bahrain** Company (20%), State of Bahrain rolling slabs, and billet) Arabian Industrial Saudi Arabia and a group of Saudi Arabian benzene), purified terephthalic (77%), Brenton Investments, Fibers Company and regional private-sector acid (PTA), bottle-grade chips, Germany (3%) partners (21.30%) PET, and acetic acid

Al-Bayroni Al-Jubail, A 50/50 SABIC joint-venture Ammonia, urea, 2-ethyl hexanol, Ibn Sina Al-Jubail, SABIC (50%), CTE (50% – Chemical-grade methanol Al-Jubail Fertilizer Saudi Arabia with Taiwan Fertilizer Company and DOP National Methanol Saudi Arabia owned by Elwood Insurance and MTBE Company Company Ltd., 25%, and Texas Eastern Arabian Ltd., 25%)

Ar-Razi Al-Jubail, A 50/50 SABIC joint-venture Chemical-grade methanol Ibn Zahr Al-Jubail, SABIC (80%), Ecofuel-Italy (10%), MTBE and polypropylene Saudi Methanol Company Saudi Arabia with a consortium of Japanese Saudi European Saudi Arabia Arab Petroleum Investment companies led by Mitsubishi Gas Petrochemical Company Corporation APICORP (10%) Chemical Company

GARMCO Bahrain SABIC (31.28%), Kuwait Aluminum sheets and can stocks Kemya Al-Jubail, A 50/50 SABIC joint-venture Polyethylene and ethylene Gulf Aluminum Rolling (16.97%), Bahrain (38.36%), Al-Jubail Petrochemical Saudi Arabia with ExxonMobil (USA) Mill Company** Iraq (4.12%), Oman (2.06%), Company

Qatar (2.06%), and Gulf 3 OUR COMMITMENT Investment Corporation (5.15%)

Gas Al-Jubail, SABIC (70%) and a group of Oxygen, nitrogen, argon and Petrokemya Al-Jubail, A wholly owned affiliate of SABIC Ethylene, polystyrene, butene-1, National Industrial Saudi Arabia Saudi Arabian private-sector krypton/xenon (Al-Jubail); Arabian Petrochemical Saudi Arabia propylene, , benzene, Gases Company (head office); companies (30%) oxygen and nitrogen (Yanbu) Company polyethylene, VCM, E-PVC, Yanbu, S-PVC, and ABS Saudi Arabia (branch) Sadaf Al-Jubail, A 50/50 SABIC joint-venture Ethylene, crude industrial GPIC Bahrain Joint-venture with equal Methanol, ammonia, and urea Saudi Petrochemical Saudi Arabia with Shell Chemicals Arabia, LLC ethanol, , caustic soda, Gulf Petrochemical partnership for the Company (an affiliate of Royal Dutch Shell) ethylene dichloride, and MTBE Industries Company** Petrochemical Industries Company of Kuwait, State of Bahrain and SABIC SAFCO Al-Jubail, SABIC (42.99%), GOSI and Ammonia, urea, and urea Hadeed Al-Jubail, A wholly owned affiliate of SABIC Steel rebar, wire rod, hot-rolled Saudi Arabian Saudi Arabia Public Pension Agency (15.4%), formaldehyde Saudi Iron and Saudi Arabia coils, cold-rolled coils, galvanized Fertilizer Company public shareholders (41.61%) Steel Company coil, and flat-steel products 4 OUR BUSINESSES SABIC Innovative Bay St. Louis, A wholly owned affiliate of SABIC CYCOLAC™, CYCOLOY™, Ibn Al-Baytar Al-Jubail, 50/50 SABIC joint-venture Ammonia, urea, compound Plastics Mississippi, and GELOY™ resins National Chemical Saudi Arabia with SAFCO fertilizer, phosphate, and USA Fertilizer Company liquid fertilizer

70 71 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

Chemicals Polymers Fertilizers performance Chemicals Metals Innovative Plastics

COMPANY LOCATION PARTNERSHIP PRODUCTS COMPANY LOCATION PARTNERSHIP PRODUCTS

SABIC Innovative Bergen A wholly owned affiliate of SABIC LEXAN™, XENOY™, NORYL™, SABIC Geleen, A wholly owned affiliate of SABIC Polyethylene (HDPE, LDPE, MARKETS CORE 2 OUR Plastics op Zoom, NORYL™ GTX™ and VALOX™ resins; Petrochemicals B.V. Netherlands LLDPE), polypropylene, ethylene, Netherlands LEXAN™ sheet, and film propylene, butadiene, MTBE/ ETBE, benzene, gasoline components, styrene, C9 resin feed, cracked distillate, ™ SABIC Innovative Burkville, A wholly owned affiliate of SABIC LEXAN resin acetylene, hydrogen, and Plastics Alabama, USA carbon-black oil

SABIC UK , UK A wholly owned affiliate of SABIC Ethylene, propylene, benzene Petrochemicals Ltd cyclohexane, cracked distillate SABIC Innovative Cartagena, A wholly owned affiliate of SABIC LEXAN™, EXTEM™, ULTEM™, hydrogen, butadiene, Plastics Spain and CYCOLOY™ resins polyethylene (LDPE)

SABIC Polyolefine GmbH Gelsenkirchen, A wholly owned affiliate of SABIC (HDPE, LLDPE) Germany and polypropylene SABIC Innovative Mt. Vernon, A wholly owned affiliate of SABIC LEXAN™, CYCOLOY™, ULTEM™, Plastics Indiana, USA VALOX™, XENOY™, XYLEX™, SUPEC™, and SILTEM™ resins,

™ 3 OUR COMMITMENT LEXAN sheet and film, and SAMAC Al-Jubail, A 50/50 joint venture with Methyl Methacrylate (MMA), ™ ILLUNINEX display film Saudi Saudi Arabia Mitsubishi Rayon Company polymethylmethacrylate (PMMA) SABIC Innovative Ottawa, A wholly owned affiliate of SABIC CYCOLAC™, CYCOLOY™, Methyl Acrylate Plastics Illinois, USA and GELOY™ resins Company

SINOPEC SABIC Tianjin, China A 50/50 joint-venture between Ethylene, propylene, Tianjin Petrochemical SABIC Industrial Investments polyethylene (HDPE, LLDPE), SABIC Innovative Selkirk, A wholly owned affiliate of SABIC PPO™ resin, NORYL®, NORYL PPX® Co. Ltd. Company and SINOPEC polypropylene, ethylene oxide, Plastics New York, USA and NORYL GTX® resins, and (China Petroleum & Chemical MEG, DEG, , , high-impact polystyrene (HIPS) Corporation) MTBE, butadiene, and butene-1

Saudi Kayan Al-Jubail, SABIC (35%), Ethylene, propylene, Saudi Kayan Saudi Arabia public shareholders (65%) polypropylene, LDPE, HDPE, SABIC Innovative Washington, A wholly owned affiliate of SABIC CYCOLAC™, CYCOLOY™, Petrochemical Company ethylene glycol, acetone, Plastics West Virginia, and GELOY™ resins polycarbonate (PC), USA ethanolamines (EOA), ethoxylates, bisphenol A, benzene, normal butanol, and natural-detergent alcohol (NDA)

SABIC Innovative Wixom, Exatec LLC – A wholly owned PC automotive glazing 4 OUR BUSINESSES Plastics Michigan affiliate of SABIC Sharq Al-Jubail, A 50/50 SABIC joint-venture Ethylene, propylene, aromatics Eastern Petrochemical Saudi Arabia with a consortium of Japanese (BTX), ethylene glycol (mono, Company companies led by Mitsubishi di, tri), linear low-density Corporation polyethylene (LLDPE), and high-density polyethylene (HDPE)

72 73 COMPANY LOCATION PARTNERSHIP PRODUCTS

Shrouq Al-Jubail, SABIC (50%), ASAHI Kasei Chemicals Saudi Japanese Saudi Arabia Chemicals Corporation (30%) Acrylonitrile Company and Mitsubishi Corporation (20%)

SOCC Al-Jubail, A 50/50 joint-venture between Tri-ethyl aluminum (TEAL) Saudi Organometallic Saudi Arabia Saudi Specialty Chemicals Chemicals Company Company and Albemarle Netherlands BV

Specialty Chem Al-Jubail, Wholly owned affiliate of Tri-ethyl aluminum (TEAL), TPO/PP Saudi Specialty Saudi Arabia SABIC (Arabian Petrochemical compounds, PC compounds, Chemicals Company Company – Petrokemya, 99%, ABS compounds, and specialty and SABIC Industrial Investments products Company 1%)

United Al-Jubail, SABIC (75%), Pension Fund Ethylene, polyethylene, ethylene Jubail United Saudi Arabia (15%), General Organization glycol (EG), and linear-alpha Petrochemical Company of Social Insurance (10%) olefins (LAO)

Yanpet Yanbu, A 50/50 SABIC joint-venture Ethylene, polyethylene, ethylene Saudi Yanbu Saudi Arabia with Mobil Yanbu Petrochemical glycol, polypropylene, pyrolysis Petrochemical Company Company (an affiliate of gasoline, and propylene ExxonMobil Chemical, USA)

Yansab Yanbu, SABIC (51%), public shareholders Ethylene, propylene, ethylene Yanbu National Saudi Arabia or owned by others (49%) glycol (mono, di, tri), linear Petrochemical Company low-density polyethylene (LLDPE), high-density polyethylene (HDPE), polypropylene, butene-1, butene-2, benzene, toluene/ xylene mixture, and MTBE

* Brands marked with ™ are trademarks of SABIC ** SABIC joint-ventures in Bahrain

This list includes all manufacturing affiliates (with the exception of compounding facilities), as wholly owned by SABIC or to which SABIC is partner. It includes each affiliate’s location, types of products produced, and if not wholly owned, the percentage owned by SABIC in such affiliate.

74 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

GLOBAL DIRECTORY

ALBANIA SABIC Innovative Plastics Gulf Aluminium Rolling Mill Co. BULGARIA SABIC (Shanghai) Trading Co. Ltd. SABIC Innovative Plastics SABIC Greece MEPE Australia Pty Ltd. (Regional joint-venture) SABIC Greece MEPE Shenzhen Branch Guangzhou Office Cosmos Offices 78 Fullarton Road, Ground Floor N. Sitra Industrial Area Cosmos Offices, Agiou Georgiou 5 Unit 01, 3rd floor, Tower 3 Rm 2502, China Mayors Plaza MARKETS CORE 2 OUR Agiou Georgiou 5 Norwood SA 5067 PO Box 20725, Bahrain Patriarchiko Pylea, Thessaloniki Kerry Plaza, 1-Zhong Xin Si Road No. 189 Tianhe Bei Rd Patriarchiko Pylea PO Box 650, Kent Town 5071 T: +97 317 731 000 Greece Futian District, Shenzhen Guangzhou 510620, China Thessaloniki, Greece Adelaide, Australia +97 317 734 600 T: +30 231 308 0310 518048, China T: +86 203 848 8383 T: +30 231 308 0310 T: +61 385 613 600 F: +97 317 730 542 F: +30 231 308 0319 T: +86 755 2583 8828 F: +86 203 848 8266 F: +30 231 308 0319 F: +61 395 614 922 E: [email protected] F: +86 755 2583 8933 BRAZIL E: [email protected] SABIC Innovative Plastics ARGENTINA AUSTRIA BALTIC STATES SABIC Innovative Plastics Hangzhou Office SABIC Innovative Plastics SABIC Deutschland GmbH SABIC Eastern Europe South America – Indústria e SABIC Innovative Plastics Rm 1703, West Tower Argentina S.R.L Ernst-Gnoss-Str. 24 Kosmodamianskaya Comércio de Plásticos Ltda. Chengdu Office Fortune Finance Centre Descartes 24 – 40219 Dusseldorf Naberezhnaya 52, Bld 4 Av. Ibirapuera, 2332 Torre I cj.42 19/B, City Tower, No. 86, Section 1 No. 37, Jiefang E. Road, 3668 ZIP B1661AYF Postfach 104865 115054, Moscow, Russia 04028-900 São Paulo – SP, Brazil South of Renmin Road Hangzhou 310016, China Tortuguitas – Pcia. 40039 Dusseldorf, Germany T: +7 985 766 69 14 T: +55 113 708 0500 Chengdu 610016, China T: +86 571 876 31747 Buenos Aires, Argentina T: +49 211 171 400 +7 495 287 92 05 F: +55 113 708 0505 T: +86 236 3462 000 F: +86 571 876 31748 T: +52 232 055 2800 F: +49 211 171 40101 F: +7 495 287 92 02 F: +86 236 3462 028 F: +54 232 055 2831 E: [email protected] SABIC Innovative Plastics SABIC Innovative Plastics SABIC Innovative Plastics South America - Indústria e SABIC Innovative Plastics Suzhou Office SABIC Innovative Plastics GmbH & CoKG BELARUS Comércio de Plásticos Ltda. (Chongqing) Company Limited Rm 812, 8th Floor International Building Argentina S.R.L Pottendorfer Strasse 47 SABIC Eastern Europe Rua Manoel Thomaz, 545 No. 2 Xiqu Er Road No. 2 Suzhou Avenue West Ing Butty, 240, Piso 11 2700 Wiener Neustadt, Austria Kosmodamianskaya 13067-190 Campinas – SP, Brazil Shapingba District Suzhou 215021, Jiangsu, China Buenos Aires T: +43 262 239 031 Naberezhnaya 52, Bld 4 T: +55 193 781 1000 Chongqing 401332, China T: +86 512 628 82286 3 OUR COMMITMENT Argentina C1001AFB F: +43 262 239 020 115054, Moscow, Russia F: +55 193 281 2144 T: +86 236 562 1231 F: +86 512 628 82289 T: +7 985 766 69 14 F: +86 236 562 0251 ARMENIA SABIC Innovative Plastics Aus GmbH +7 495 287 92 05 CANADA SABIC Innovative Plastics SABIC Innovative Plastics SABIC Dubai Dr. Karl Lueger Ring 10 F: +7 495 287 92 02 SABIC Innovative Plastics Shenzhen Office (Shanghai) Co. Ltd. PO Box 25892 1010 Wien, Austria E: [email protected] Canada Inc. Unit 01, 3rd floor SABIC Innovative Plastics Dubai UAE T: +43 26 22 39 00 Plastiques Innovants SABIC Tower 3, Kerry Plaza International Trading (Shanghai) Ltd. T: +971 44 355 888 BELGIUM Canada Inc. 1-Zhong Xin Si Road, Futian 58, Ai Du Road F: +971 44 230 810 AZERBAIJAN SABIC Sales Europe 1 Structured Products Drive SABIC Turkey Shenzhen 518048, China Wai Gao Qiao Free Zone PO Box 5151, 6130 PD Sittard Long Sault, Ont, K0C 1P0, Canada T: +86 755 2583 8828 Shanghai 200131, China AUSTRALIA SABIC Petrokimya Tic. LTS STI The Netherlands T: +90 553 481 99 F: +86 755 2583 8663 T: +86 215 046 0000 SABIC Innovative Plastics SABIC Polymerland Muhendislik T: +31 467 222 381 F: +90 553 492 20 Plastikleri San. Tic.A.S. F: +86 215 046 0600 Australia Pty Ltd. F: +31 102 644 822 SABIC Innovative Plastics Brandon Office Park Saray Mah. Dr. Adnan E: [email protected] 9150 Airport Road Buyukdeniz Cad Xiamen Office SABIC Innovative Plastics 530 – 540 Springvale Road Brampton, Ontario L6S 6G1 Rm 213, Crowne Plaza Tianjin Office, Rm 1912 Building 4, Level 1 Akkom Ofis Park Cessas SABIC Belgium N.V. Canada Plaza B Block 20 – 21 Floor, Harbour View, Xiamen Tianjin International Building Glen Waverley 3150 Geleenlaan 35, B-3620 No. 12-8 Zhen Hai Road No. 75, Nanjing Road Victoria, Australia Umraniye Istanbul, Turkey Genk, Belgium CHINA T: +90 21 66 365 000 Xiamen China Tianjin 300050, China T: +61 385 613 600 T: +32 895 747 07 SABIC (Shanghai) Trading Co. Ltd. F: +90 21 66 365 050 Fujian, 361001, China T: +86 222 330 1851 F: +61 395 614 900 2550, Xiupu Road T: +86 592 268 1280 F: +86 222 330 0995 Pudong Shanghai 201319, China BAHRAIN BOSNIA AND HERZEGOVINA F: +86 592 268 1283

SABIC Innovative Plastics T: +86 21 2037 8118 4 OUR BUSINESSES ALBA (Aluminum Bahrain) SABIC Hungary Kft. SABIC Innovative Plastics Australia Pty Ltd. F: +86 21 2037 8288 (Regional joint-venture) Duna Tower Office Building SABIC Innovative Plastics Qingdao Office SABIC Polymershapes E: [email protected] PO Box 570, Manama, Bahrain Népfürdõ u. 22 Beijing Office Rm 2801-2, 28th floor Australia Pty Ltd. th T: +97 317 830 000 B Building, 10 Floor, 1138 Budapest Rm 3604, 36FL Cosco Plaza, Tower B Suite 2, Level 4 SABIC (Shanghai) Trading Co. Ltd. F: +97 317 662 120 Hungary Yintai Office Tower C No. 61, Hong Kong Middle Road 1C Grand Avenue T: +36 188 933 36 Beijing Branch Beijing Yintai Centre No. 2 Qingdao 266071, China Rosehill 2142 Tower C, Beijing Yintai Centre No. 2 Gulf Petrochemical Industrial Co. +36 188 933 37 Jianguomenwai Street T: +86 532 857 93886 New South Wales, Australia Jianguomenwai Street (Regional joint-venture) F: +36 188 933 38 Chaoyang District F: +86 532 857 93889 T: +1 800 649 112 Chaoyang District PO Box 26730, Manama, Bahrain Beijing 100022, China F: +61 395 614 922 Beijing 100022, China T: +97 317 731 777 T: +86 106 649 5888 T: +86 106 648 5888 F: +97 317 731 047 F: +86 108 529 6781 F: +86 108 529 6781 E: [email protected] E: [email protected]

76 77 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

SABIC Innovative Plastics EGYPT GEORGIA HONG KONG SABIC Innovative Plastics SABIC Innovative Plastics Dalian Office SABIC Africa SABIC Eastern Europe SABIC Innovative Plastics India Private Limited India Private Limited Rm 1803A, Senmao Building 47th Building, 3rd floor SABIC Turkey Hong Kong Limited Plastics Avenue 9C, Ega Trade Center MARKETS CORE 2 OUR No. 147, Zhongshan Road P.O. Box 11835, City Center, SABIC Petrokimya Tic. LTS STI SABIC innovative Plastics SIT P. O. Jawahar Nagar Poonamalle High Road Dalian 116011, China New Cairo, Egypt SABIC Polymerland Muhendislik Holding Limited Vadodara – 391320, India Kilpauk, Chennai – 600010, India T: +86 411 837 03331 T: +202 261 602 30 Plastikleri San. Tic.A.S. Room 1701, Tower One T: +91 265 306 8551/2 T: +91 44 49025600 F: +86 411 837 03330 F: +202 261 602 40 / 41 Saray Mah. Dr. Adnan The Gateway F: +91 265 223 2144 F: +91 44 49025611 Buyukdeniz Cad Harbour City, 25 Canton Road SABIC Innovative Plastics ESTONIA Akkom Ofis Park Cessas Tsimshatsui, Kowloon SABIC India Private Ltd. SABIC Innovative Plastics (China) Co. Ltd. SABIC Eastern Europe Plaza B Block 20 – 21 Floor, Hong Kong 253/4, 4th M.H. Street India Private Ltd. No. 1 Plastics Ave Kosmodamianskaya Umraniye Istanbul, Turkey T: +85 226 290 888 Basavangudi, Bengaluru 560004 MLS Business Centres Western Industrial District Naberezhnaya 52, Bld 4 T: +90 21 66 365 000 F: +85 226 290 800 Karnataka, India Panchshil Tech Park ETDZ Panyu, Guangzhou 511458 115054, Moscow, Russia F: +90 21 66 365 050 T: +91 80 26769439 Survey No. 19/20 China T: +7 985 766 69 14 HUNGARY F: +91 80 26768528 Hinjewadi T: +86 208 498 0148 +7 495 287 92 05 GERMANY SABIC Poland Sp z.o.o. Pune – 411057, India F: +86 208 498 0202 F: +7 495 287 92 02 SABIC Deutschland GmbH ul.17 Stycznia 45A SABIC Innovative Plastics T: +20 30013081/82 E: [email protected] Ernst- Gnoss-Str. 24 02-146 Warsaw, Poland India Private Limited F: +20 30013080 CROATIA 40219 Dusseldorf T: +48 224 323 737 B5, Plot No. 81-85 SABIC Hungary Kft. FINLAND Postfach 104865 F: +48 224 323 740 Chikkadunnasandra Village SABIC Research & Technology Duna Tower Office building SABIC Nordic A/S 40039 Dusseldorf Anekal Taluk Private Limited (SRTPL) Népfürdõ u. 22 Kogle Allé 2 Germany SABIC Innovative Plastics Off Sarjapura-Attibele Plot No. 81-85 B building, 10 floor, 1138 Budapest DK-2970 Hørsholm T: +49 211 171 400 Kereskedelmi Kft State Highway Chikkadunnasandra Village Hungary Denmark F: +49 211 171 401 01 Duna Tower, Népfürdõ u. 22 Near St. Philomena School Anekal Taluk, Sharjapura 3 OUR COMMITMENT T: +36 188 933 36 T: +45 33 32 49 18 B Building, 10th Floor Bengaluru – 562125, India Off Sarjapura-Attibele +36 188 933 37 SABIC Polyolefine GmbH 1138 Budapest T: +91 806 772 5000 State Highway F: +36 188 933 38 SABIC Innovative Plastics Finland OY Pawikerstr. 30 Hungary F: +91 804 053 9605 Bengaluru – 562125, India Italahdenkatu 22B 45896 Gelsenkirchen T: + 36 188 933 45 T: +91 806 760 6200 CZECH REPUBLIC FIN-00210 Helsinki, Finland Germany F: + 36 188 933 44 SABIC Innovative Plastics T: +91 806 736 2300 SABIC Poland Sp z.o.o. T: +35 896 211 010 T: +49 209 933 91 India Private Limited F: +91 806 760 6201 ul.17 Stycznia 45A F: +49 209 933 9200 ICELAND 9th Floor, Tower B, Building No-9 E: [email protected] 02 – 146 Warsaw, Poland FRANCE E: [email protected] SABIC Nordic A/S DLF Cyber City Phase-III Gurgaon – 122002, India SABIC India Private Limited T: +48 224 323 737 SABIC France SAS Kogle Allé 2 T: +91 244 745 300 (Nepal Liaison Office) F: +48 224 323 740 22, Place des Vosges SABIC Innovative Plastics GmbH DK-2970 Hørsholm F: +91 244 745 355 62, Yellow House, 2nd Floor La Défense 5 SABIC Innovative Plastics Holding Denmark In front of ‘Buds Montessori School’ SABIC Innovative Plastics Immeuble le Monge Germany GmbH T: +45 33 32 49 18 SABIC Innovative Plastics Jalbinayak – Aadinath Marg Czech, s.r.o. 92979 Paris La Défense Cedex Ernst-Gross-Str. 24 India Private Limited Nakhu, Lalitpur, Kathmandu, Nepal Anglicka 140/20 France 40219 Dusseldorf INDIA Postfach 104865 781 Solitaire Corporate Park T: +977 1 5592491 120 00 Prague 2 – Vinhorady T: +33 (0)1 41 97 83 00 SABIC India Private Limited 40039 Dusseldorf Andheri Ghatcopar Link Road F: +977 5591384 Czech Republic F: +33 (0)1 41 97 83 01 5th Floor, The Capital Court T: +42 022 051 1400 Germany Chakala, Andheri East Olof Palme Marg Mumbai – 400093, India SABIC India Private Limited F: +42 023 901 5608 SABIC Innovative Plastics France SAS T: +49 211 17 1400 Munirka T: +91 22-42481800 122, Fatima Road 22, Place des Vosges F: +49 211 17 1401 01 New Delhi 110067 F: +91 22-42481802 Kadana, Sri Lanka DENMARK La Défense 5 India GREECE T: +94 224 4780

SABIC Nordic A/S Immeuble le Monge 4 OUR BUSINESSES T: +91 11 26713121/22/23/24 SABIC India Private Limited F: +94 223 2359 Kogle Allé 2 92979 Paris La Défense Cedex SABIC Greece MEPE F: +91 11 26713125/26 AJ Block, 4th Street, No.55 DK-2970 Hørsholm France Cosmos Offices E: [email protected] Lakshmi Nivas, First Floor Denmark T: +33 (0)1 41 97 82 56 Agiou Georgiou 5 INDONESIA Anna Nagar T: +45 33 32 49 18 F: +33 (0)1 41 97 82 53 Patriarchiko Pylea SABIC India Private Limited SABIC Asia Pacific Pte. Ltd. Thessaloniki, Greece Chennai – 600040, India Indonesia Stock Exchange Building 313, Maker Chambers V T +91 44 26269522 SABIC Innovative Plastics T: +30 231 308 0310 Suite 1702, Tower 1, Level 17 Nariman Point F +91 44 26289766 Denmark ApS F: +30 231 308 0319 Mumbai 400021, India Jalan Jend Kogle Allé 2 T: +91 22 2283 0354 Sudirman Kav. No. 52 – 53 DK-2970 Hørsholm F: +91 22 2204 3891 Jakarta 12190, Indonesia Denmark T: +62 215 140 0055 T: +45 33 32 49 18 F: +62 215 140 0077 E: [email protected]

78 79 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

SABIC Innovative Plastics (SEA) JAPAN Kenya LATVIA SABIC Innovative Plastics THE NETHERLANDS Pte. Ltd SABIC Japan Ltd. Pacis Center, 4th Floor, SABIC Eastern Europe Malaysia Sdn. Bhd. SABIC Capital B.V. Indonesia Representative Office Tokyo Club Building Waiyaki Way, Westlands, Kosmodamianskaya Suite 3B-11-3, Level 11 World Trade Center MARKETS CORE 2 OUR Indonesia Stock Exchange Building Kasumigaseki 3-2-6, Chiyoda-ku P.O Box 14819 – 00800 Naberezhnaya 52, Bld 4 Block 3B, Plaza Sentral Tower H, 27th floor Suite 1702, Tower 1, Level 17 Tokyo, 100-0013, Japan Nairobi, Kenya 115054, Moscow, Russia Jalan Stesen Sentral 5 Zuidplein 216 Jalan Jend T: +81 3 3580 3930 T: +254 20 294 4000 T: +7 985 766 69 14 KL Sental, 50470 1077 XV Amsterdam Sudirman Kav. No. 52 – 53 F: +81 3 3580 9777 F: +254 20 294 4111 +7 495 287 92 05 Kuala Lumpur, Malaysia The Netherlands Jakarta 12190, Indonesia E: [email protected] F: +7 495 287 92 02 T: +60 322 746 198 T: +31 203 333 030 T: +62 215 150 150 KOREA E: [email protected] F: +60 322 733 487 F: +31 203 333 040 F: +62 215 150 140 SABIC Innovative Plastics Japan LLC SABIC Korea Ltd. Tokyo Office, Tokyo Club Building 20th floor, Donghoon Tower LEBANON MEXICO SABIC Europe IRAN Kasumigaseki 3-2-6 702 –19, Yeoksam-dong SABIC Lebanon SABIC Innovative Plastics Mexico PO Box 5151 SABIC Iran Chiyoda-ku Kangnam-ku Mina El Hosn, Park Avenue, S. de R.L. de C.V. 6130 PD Sittard Units D3, 3rd Floor Tokyo, 100-0013, Japan 135 – 513 Berytus Bldg 1344, 5th Floor SABIC Innovative Plastics Servicios The Netherlands No. 1643 T: +81 3 3593 4700 South Korea Block B Ahmad Daouk Street Mexico, S. de R.L. de C.V. T: +31 467 222 222 Safiran Commercial Complex F: +81 3 3593 4709 T: +82 220 527 790 P.O. Box 11– 2153, Av. Paseo de la Reforma No. 2620 F: +31 467 220 000 Opp Gas Station, Shariati Street F: +82 220 527 794 2011– 8403, Lebanon Torre reforma Plus E: [email protected] Postal Code 1939613881 SABIC Innovative Plastics Japan LLC E: [email protected] T: +96 119 734 44 Ext 220 or 0 Piso 17 Col. Tehran, Iran (Japan Technology Center) F: +96 119 728 65 Lomas Altas 11950 Mexico SABIC Sales Europe T: +98 21 22 648053 – 5 2–2 Kinugaoka, Moka SABIC Innovative Plastics Korea Ltd. E: [email protected] D.F. Boulevard de los Rios Europaboulevard 1, F: +98 21 22 632954 Tochigi 321–4392, Japan Seoul Office K.M. 48 Puerto Industrial Altamira 6135 LD Sittard 20th Floor, Donghoon Tower LITHUANIA Altamira, Tamaulipas, Mexico The Netherlands IRAQ Moka Plant 702 –19, Yeoksam-Dong SABIC Eastern Europe T: +52 551 105 6700 T: +31 467 222 289 3 OUR COMMITMENT SABIC Iraq Representative Office 2–2 Kinugaoka, Moka Tochigi Kangnam-ku Kosmodamianskaya F: +52 551 105 6799 F: +31 102 644 822 Villa in Mansour Business Area 321–4392, Japan Seoul, 135 – 513, South Korea Naberezhnaya 52, Bld 4 E: [email protected] Mansour District T: +81 3 8580 2111 T: +82 2 510 6250 115054, Moscow, Russia SABIC Polymershapes Mexico, Baghdad, Iraq F: +81 3 8580 2156 F: +82 2 510 6461 T: +7 985 766 69 14 S. de R.L. de C.V. SABIC Europe Manufacturing T: + 964 780 925 5422 +7 495 287 92 05 Calle E No. 24 Col. Cerveceria PO Box 475 Osaka Office SABIC Innovative Plastics Korea Ltd. F: +7 495 287 92 02 Modelo, 53330 Naucalpan 6160 AL Geleen ITALY Sun Mullion Osaka Building Korea Technology Center E: [email protected] Mexico The Netherlands SABIC Italia Srl 2-6-12, Minami-Honmachi 7138-3, Taepyeong-dong T: +31 464 767 000 Via Simone Schiaffino 11/19 Chuo-ku, Osaka-shi Sujeong-Gu MACEDONIA MOLDAVA E: [email protected] Osaka 541-0054 20158 Milano, Italy Sungnam City SABIC Greece MEPE SABIC Poland Sp z.o.o. Japan T: +39 02 859741 Cosmos Offices ul.17 Stycznia 45A SABIC Europe Research T: +81 6 6282 2601 F: +39 02 86465472 461– 824, South Korea Agiou Georgiou 5 02-146 Warsaw, Poland & Development F: +81 6 6282 2606 T: +82 317 785 000 Patriarchiko Pylea T: +48 224 323 737 PO Box 319 SABIC Innovative Plastics Italy Srl F: +82 317 785 102 Thessaloniki, Greece F: +48 224 323 740 6160 AH Geleen Nagoya Sales Office Via Simone Schiaffino 11/19 T: +30 231 308 0310 The Netherlands Sakuradori MID Building 20158 Milano, Italy SABIC Innovative Plastics Korea Ltd. F: +30 231 308 0319 MONTENEGRO T: +31 464 760 207 T: +39 02 3771351 3-23-20, Marunouchi Office SABIC Hungary Kft. F: +31 464 760 503 Naka-ku, Nagoya F: +39 02 37713533 Jeonmun Keonsul Hwoikwan 3F. MALAYSIA Duna Tower Office Building Aichi 460-0002 356-5 Shinchun 4- Dong SABIC Innovative Plastics B.V. SABIC Innovative Plastics Népfürdõ u. 22 SABIC Innovative Plastics Italy Srl Japan Dong-Gu, Daegu-Si th SABIC Innovative Plastics Malaysia Sdn. Bhd. B Building, 10 Floor Via San Francesco d’Assisi 11/13 T: +81 52 855 2440 701-829, South Korea 1138 Budapest, Hungary Financing B.V. Lot 762 Jalan Haji Sirat 4 OUR BUSINESSES 21057 Olgiate Olana (VA), Italy F: +81 52 855 2459 T: +82 537 464 104 SABIC Innovative Plastics GP B.V. 42100 Klang, Selangor, Malaysia T: +36 188 933 36 T: +39 0331 34 9911 F: +82 537 464 102 SABIC Innovative Plastics T: +60 332 913 133 +36 188 933 37 F: +39 0331 34 9921 KAZAKHSTAN Holding B.V. F: +60 332 903 133 F: +36 188 933 38 SABIC Dubai SABIC Innovative Plastics Korea, Ltd. SABIC Innovative Plastics IP B.V. IRELAND PO Box 25892 ChungJu Plant, 240 – MOROCCO SABIC Innovative Plastics IP SABIC Innovative Plastics Licensing B.V. SABIC United Kingdom Ltd. Dubai, UAE 18 Mokhang-Dong Malaysia Sdn. Bhd. SABIC Morocco European Headquarters Papermill Drive T: +971 44 355 888 Chungju-Si Chungbuk Unit 4B Lower Level 5 23, Rue Bani Ritoune Plasticslaan 1 Redditch F: +971 44 230 810 380-240 Hotel Equatorial Km 4.2 Avenue, Mohammed 6 4612 PX Bergen op Zoom Worcestershire South Korea No. 1 Jalan Bukit Jambul Hay Souissi, Rabat, Morocco The Netherlands B98 8QJ, UK T: +82 438 508 111 11900 Bayan Lepas T: +212 537 751 702 / 03 T: +31 164 292 911 T: +44 (0)15 275 90570 F: +82 438 508 050 Penang, Malaysia F: +212 537 751 705 F: +31 164 292 940 F: +44 (0)15 275 90577 T: +60 481 808 86 F: +60 481 808 80

80 81 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

BV Snij-Unie HiFi ROMANIA Yanbu Office Ibn Zahr Saudi European SOCC Saudi Organometallic Technology & Innovation Zoutketen 23 SABIC Poland Sp z.o.o. PO Box 30382, Yanbu Petrochemical Co. Chemicals Company PO Box 42503, Riyadh 11551 1601EX Enkhuizen ul.17 Stycznia 45A Saudi Arabia PO Box 10330, Al-Jubail 10330 PO Box 11241 Saudi Arabia MARKETS CORE 2 OUR The Netherlands 02-146 Warsaw, Poland T: +966 (014) 321 9100 Saudi Arabia Al-Jubail 31961 T: +966 (011) 499 9333 T: +31 228 317 944 T: +48 224 323 737 F: +966 (014) 321 2483 T: +966 (013) 341 5060 Saudi Arabia F: +966 (011) 265 1101 F: +31 228 317 278 F: +48 224 323 740 F: +966 (013) 341 2966 T +966 (013) 356 7950 Ar-Razi Saudi Methanol Co. E: [email protected] F +966 (013) 358 6025 Technical Services Laboratory NORWAY RUSSIA PO Box 10065, Al-Jubail 31961 T: +966 (011) 265 1661 SABIC Nordic A/S SABIC Eastern Europe Saudi Arabia Kemya Jubail Petrochemical Co. Sharq Eastern Petrochemical Co. F: +966 (011) 265 1686 Kogle Allé 2 Kosmodamianskaya T: +966 (013) 357 7800 PO Box 10084, Al-Jubail 31961 PO Box 10035, Al-Jubail 31961 DK-2970 Hørsholm Naberezhnaya 52, Bld 4 F: +966 (013) 358 5552 Saudi Arabia Saudi Arabia SERBIA Denmark 115054, Moscow, Russia E: [email protected] T: +966 (013) 357 6000 T: +966 (013) 357 5000 SABIC Hungary Kft. T: +45 33 32 49 18 T: +7 985 766 69 14 F: +966 (013) 358 7858 F: +966 (013) 358 0385 Duna Tower Office Building +7 495 287 92 05 Al-Bayroni Jubail Fertilizer Co. E: [email protected] E: [email protected] Népfürdõ u. 22 PAKISTAN F: +7 495 287 92 02 PO Box 10046, Al-Jubail 31961 B Building, 10th Floor SABIC Pakistan Pvt Ltd Saudi Arabia Petrokemya Arabian Shrouq Saudi Japanese 1138 Budapest, Hungary M-123 – 126, Mezzanine Floor SABIC Innovative Plastics Rus. OOO T: +966 (013) 341 6488 Petrochemical Co. Acrylonitrile Company T: +36 188 933 36 Business Arcade Mövenpick Kosmodamianskaya F: +966 (013) 341 7122 PO Box 10002, Al-Jubail 31961 PO Box 10868 +36 188 933 37 Mövenpick Hotel, Club Road Naberezhnaya 52 – Bld 4 E: [email protected] Saudi Arabia Jubail Industrial City 31961 F: +36 188 933 38 Karachi-75530, Pakistan 115054 Moscow, Russia T: +966 (013) 358 7000 Saudi Arabia T: +92 21 3563 3229 - 31 T: +7 985 766 69 14 Gas National Industrial Gases Co. F: +966 (013) 358 4480 T: +966 (013) 340 6707 SINGAPORE E: [email protected] PO Box 10110, Al-Jubail 31961 E: petrokemya@petrokemya. F: +966 (013) 340 6878 SABIC Asia Pacific Pte. Ltd sabic.com PHILIPPINES Saudi Arabia One Temasek Avenue Specialty Chem Saudi Specialty 3 OUR COMMITMENT SAUDI ARABIA T: +966 (013) 357 5738 # 06-01 Millenia Tower SABIC Asia Pacific Pte Ltd. F: +966 (013) 358 8880 Sadaf Saudi Petrochemical Co. Chemicals Company Philippines Representative Office Saudi Basic Industries Singapore 039192 E: [email protected] PO Box 10025, Al-Jubail 31961 PO Box 10273, Al-Jubail 31961 T: +65 655 725 55 38th Floor, Philamlife Tower Corporation (HQ) Saudi Arabia Saudi Arabia 8767 Paseo de Roxas PO Box 5101, Riyadh 11422 F: +65 653 181 01 Hadeed Saudi Iron & Steel Co. T: +966 (013) 357 3000 T: +966 (013) 356 7900 E: [email protected] Makati City 1226 Saudi Arabia PO Box 10053, Al-Jubail 31961 F: +966 (013) 357 3343 F: +966 (013) 358 7577 Philippines T: +966 (011) 225 8000 Saudi Arabia E: [email protected] E: [email protected] T: +63 2 885 0497 F: +966 (011) 225 9000 SABIC Innovative Plastics (SEA) T: +966 (013) 357 1100 Pte. Ltd. F: +63 2 885 0294 E: [email protected] F: +966 (013) 358 5000 SAMAC Saudi Methyl Acrylate United Jubail United E: [email protected] SABIC Innovative Plastics Company Petrochemical Company Singapore Pte. Ltd. Office Ibn Al-Baytar National Chemical P.O. Box. 10003, Al-Jubail 31961 PO Box 10085, Al-Jubail 31961 POLAND PO Box 2629, Dammam 31461 23 Benoi Road Fertilizer Co. T: +966 (013) 340 5500 Saudi Arabia Singapore 629895 SABIC Poland Sp z.o.o. Saudi Arabia PO Box 10283, Al-Jubail 31961 F: +966 (013) 340 5604 T: +966 (013) 359 5000 ul.17 Stycznia 45A T: +966 (013) 810 8444 T: +65 621 041 00 Saudi Arabia F: +966 (013) 358 7752 F: +65 686 130 63 02-146 Warsaw, Poland F: +966 (013) 810 8420 T: +966 (013) 341 1100 SAFCO Saudi Arabian Fertilizer Co. T: +48 224 323 737 F: +966 (013) 341 1257 PO Box 11044, Al-Jubail 31961 Yansab Yanbu National SLOVAKIA F: +48 224 323 740 Jeddah Office Saudi Arabia Petrochemical Company PO Box 30204, Jeddah 21477 Ibn Rushd Arabian Industrial T: +966 (013) 341 1100 PO Box 31396 SABIC Poland Sp z.o.o. SABIC Innovative Plastics Saudi Arabia Fibers Co. F: +966 (013) 341 1257 Yanbu Industrial City 41912 ul.17 Stycznia 45A Poland Sp. z.o.o. T: +966 (012) 608 8888 PO Box 30701 E: [email protected] Saudi Arabia 02-146 Warsaw, Poland 17 Stycznia 45A F: +966 (012) 636 2561 Yanbu Industrial City 41912 T: +966 (014) 325 9000 T: +48 224 323 737 02-146 Warsaw, Poland Saudi Arabia Saudi Kayan F: +966 (013) 325 6600 F: +48 224 323 740 4 OUR BUSINESSES T +48 224 323 722 Al-Jubail Office T: +966 (014) 321 8000 Petrochemical Co. E: [email protected] F +48 224 323 740 PO Box 10040, Al-Jubail 31961 F: +966 (014) 321 8008 PO Box 10302, Al-Jubail 31961 SLOVENIA Saudi Arabia E: [email protected] Saudi Arabia Yanpet Saudi Yanbu SABIC Hungary Kft. T: +966 (013) 347 7200 T: +966 (013) 359 3000 Petrochemical Co. Duna Tower Office Building SABIC Marketing Ibérica S.A.U F: +966 (013) 347 0400 Ibn Sina National Methanol Co. F: +966 (013) 359 3111 PO Box 30333 41912 Népfürdõ u. 22 th Edificio Euro-3, C/ PO Box 10003, Al-Jubail 31961 Yanbu Industrial City 41912 21441 B Building, 10 Floor Frederic Mompou 5, 4°– 4a Sabtank SABIC Terminal Saudi Arabia Saudi Arabia 1138 Budapest, Hungary E–08960 Sant Just Desvern Services Co. T: +966 (013) 340 5500 T: +966 (014) 396 5000 T: +36 188 933 36 Barcelona, Spain PO Box 10135, Al-Jubail 31961 T: +966 (013) 340 5604 F: +966 (014) 396 5006 +36 188 933 37 T: +34 934 703 060 Saudi Arabia E: [email protected] F: +36 188 933 38 F: +34 934 736 436 T: +966 (013) 345 3646 F: +966 (013) 357 5470

82 83 1 OVERVIEW AND STRATEGY AND 1 OVERVIEW

SOUTH AFRICA TAIWAN TURKMENISTAN SABIC Technology Center SABIC Innovative Plastics Mt VIETNAM SABIC South Africa (Pty) Ltd SABIC Taiwan Holding Limited SABIC Dubai 1600 Industrial Boulevard Vernon LLC SABIC Asia Pacific Pte Ltd 23rd Floor, Metropolitan Building Taiwan Branch PO Box 25892 Sugar Land 1 Lexan Lane Vietnam Representative Office MARKETS CORE 2 OUR 7 Walter Sisulu Avenue 7F. No. 8, Sec.3 Dubai, UAE TX 77478, USA Mt Vernon, IN 47620, USA Unit 3, Level 40 PO Box 7193 Min Sheng E. Road T: +971 44 355 888 T: +1 281 207 5500 T: +1 812 831 7000 Bitexco Financial Tower Roggebaai, Cape Town 8001 Taipei 10480 F: +971 44 230 810 F: +1 281 207 5550 02 Hai Trieu Street South Africa Taiwan Selkirk, NY Office Ben Nghe Ward, District 1 T: +27 214 096 100 T: +886 2 2183 1800 UKRAINE SABIC Innovative Plastics US LLC 1 Noryl Ave Ho Chi Minh City, Vietnam F: +27 214 096 101 F: +886 2 2516 8178 SABIC Eastern Europe Global HQ, 1 Plastics Avenue Selkirk, NY 12158, USA T: +84 882 438 02 E: [email protected] Kosmodamianskaya Pittsfield, MA 01201, USA T: +1 518 475 5011 F: +84 882 439 73 SPAIN Naberezhnaya 52, Bld 4 T: +1 413 448 7110 E: [email protected] SABIC Marketing Ibérica S.A.U. THAILAND 115054, Moscow, Russia F: +1 413 448 5573 Ottawa, IL Office Edificio Euro-3 SABIC Innovative Plastics T: +7 985 766 69 14 2148 North 2753rd Road SABIC Innovative Plastics (SEA) C/Frederic Mompou, 5, 4º – 4E (Thailand) Co., Ltd. +7 495 287 92 05 Huntersville Office Ottawa, IL 61350, USA Pte. Ltd. 08960 Sant Just Desvern 15th Fl., Thaniya Plaza Building, F: +7 495 287 92 02 9930 Kincey Ave T: +1 815 434 7000 Hanoi Representative Office Barcelona, Spain 52 Silom Road, E: [email protected] Huntersville Suite 1506 Ocean Park Building T: +34 934 703 060 Suriyawong, Bangrak, NC 28078, USA Burkville, AL Office 1 Dao Duy Anh, Dong Da District F: +34 934 736 436 Bangkok 10500, Thailand UNITED ARAB EMIRATES T: +1 800 752 7842 1 Plastics Drive Hanoi, Vietnam T: +66 2 2312323-4 F: +1 888 752 7842 Burkville, AL 36752, USA T: +84 435 772 518 F: + 66 2 2312322 SABIC Dubai T: +1 334 832 5000 SABIC Innovative Plastics PO Box 25892, Dubai, UAE F: +84 435 772 515 España S.c.p.A. SABIC Polymershapes SABIC Innovative Plastics T: +97 144 355 888 9930 Kincey Ave UZBEKISTAN C/ Frederic Mompou 5, 4°– 4a F: +97 144 230 810 SABIC Innovative Plastics (SEA) 08960 Sant Just Desvern (Thailand) Co., Ltd. Huntersville, NC 28078, USA SABIC Dubai Pte. Ltd. 3 OUR COMMITMENT Barcelona, Spain 64/22 Moo 4 Tumbol Pluak Daeng T: +1 704 948 5000 PO Box 25892 Ho Chi Minh Representative Office Amphur UNITED KINGDOM AND F: +1 704 948 5082 T: +34 934 703 060 NORTHERN IRELAND Dubai, UAE Unit 3, Level 40 F: +34 934 736 436 Pluak Daeng, Rayong 21140 T: +971 44 355 888 Bitexco Financial Tower Thailand SABIC United Kingdom Ltd. Exatec, LLC F: +971 44 230 810 02 Hai Trieu Street Papermill Drive, Redditch SABIC Innovative Plastics T: +66 389 270 00 31220 Oak Creek Drive Ben Nghe Ward, District 1 F: +66 389 552 44 Worcestershire Wixom, MI 48393, USA Ho Chi Minh City, Vietnam España S.c.p.A. B98 8QJ, UK Ctra. de Cartagena a Alhama T: +1 248 926 4200 T: +84 862 918 781 TUNISIA T: +44 (0)15 275 90570 F: +1 248 960 1143 F: +84 862 918 896 de Murcia, Km 13 F: +44 (0)15 275 90577 30390 La Aljorra Immeuble Matrix, Murcia, Spain Bloc B 2éme étage, Exton, PA Office Rue Lac Constance, SABIC UK Petrochemicals Limited 475 Creamery Way PO Box 99 Wilton Centre SWEDEN Les Berges du lac, Exton, PA 19341, USA 1053, La Marsa, Tunis Redcar TS10 4YA, UK T: +1 610 363 4500 SABIC Nordic A/S T: +44 (0)16 424 53366 Kogle Allé 2 Tunisia T: +216 71 860 231 F: +44 (0)16 428 34608 DK-2970 Hørsholm, Denmark E: [email protected] T: 45 33 32 49 18 +216 71 860 234 F: +216 71 860 735 SABIC Innovative Plastics Ltd. SABIC Innovative Plastics This list includes all material affiliates (including sales organizations), as wholly owned by SABIC or to which SABIC is partner, on the basis of their TURKEY Papermill Drive, Redditch Sweden AB Worcestershire country/countries of operations. 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