Unipetrol’s major subsidiaries released their preliminary CAS figures for full-year 2000 yesterday afternoon. Benzina, Kaucuk and Ceska Rafinerska posted results that were in line with both the market consensus and our expectations (in terms of net profit). Chemopetrol reported a net profit of CZK 259 mil., in line with our projections but below the consensus (CZK 600 mil.). In addition to the above-mentioned names, the recently acquired Paramo (a small oil refinery) will be also included in year-2000 consolidation. Paramo is losing money; in 2000 its aftertax loss amounted to CZK 444 mil.
Unipetrol stock did not react to the published figures as expectations of the four major subsidiaries in black numbers were fulfilled. We expect that news related to the privatization process combined with information about the acquisition of additional companies (Spolana, Cepro) to possibly influence the stock in the short term. As the results were in line with our expectations, we reiterate our buy recommendation.