DOCUMENTS FOR THE ANNUAL GENERAL MEETING

MOL Plc. Annual General Meeting 2013 Documents
beside almost flattish diesel sales, sales of loss-making black
products decreased considerably, by 20% yoy.
Decreasing retail sales in
line with lower market
demand
Total retail sales volumes, including LPG and lubricants volumes,
decreased by 4% in line with lower market demand.
Total retail sales (kt) FY 2011 FY 2012 YoY %
Hungary 804 767 (5)
Slovakia 452 424 (6)
Croatia 1,226 1,134 (8)
Romania 451 469 4
Other 574 581 1
Total retail sales 3,507 3,375 (4)
In Hungary, Slovakia and Croatia, retail fuel sales decreased as a
result of the economic slowdown and increasing retail fuel prices,
however our market share was maintained in other key countries.
In Romania, retail fuel sales increased in line with our network
development growth and intensive marketing activities and thus
achieved 12% market share.
Retail: successful
implementation of
strategy continued...
Starting on 1 st October, 2012, Pap Oil became part of MOL Group
with 125 filling stations in the Czech Republic. In INA, we continued
the retail business efficiency improvement program.
Downstream outlook
The New Downstream
Program: most of the
benefit is due by 2013
Efficiency improvement
through cost management -
70% of the benefits…
As a response to the challenging Downstream business environment,
in 2012, MOL initiated its comprehensive, Group-level efficiency
program, the New Downstream Program, targeting USD 500-550mn
EBITDA improvement by 2014 on a like-for-like basis compared with
2011. In Downstream, the spotlight will be on the continuation of
the program and the successful achievement of its ambitious target.
Most of the total benefit, USD 400mn, compared with the base
period, should be achieved by the end of 2013.
The primary focus of the program is on cost reduction, which will
represent 70% of the benefits. Actions targeting key cost elements,
such as energy, maintenance, organisational costs and hydrocarbon
losses will deliver more than 50% of the total benefits.
Energy costs are expected to reduce significantly by 2014 through
more efficient energy consumption and distribution, increased
flexibility, diversification of energy sources and achieving more
favourable supply conditions and prices.
Maintenance costs have been revised throughout our value chain
aiming at decreasing Complex Maintenance Spending (CMS) by 20%
by 2014.
Further optimisation of existing assets, advanced hydrocarbon loss
management, review of our business processes and streamlining of
our organisation are also among the key cost reduction measures.
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