Shanghai Petrochemical Earnings Warning
07 Abril 2006 - 8:32AM
PR Newswire (US)
HONG KONG, April 7 /Xinhua-PRNewswire-FirstCall/ -- Sinopec
Shanghai Petrochemical Company Limited (HKEx: 338; SSE: 600688;
NYSE: SHI) announced today that, in light of high crude oil prices
and stagnant selling prices for downstream oil products, the
Company expects to record a net loss for the three months ended
March 31, 2006 as a result of significant losses from the Company's
refinery businesses. About Sinopec Shanghai Petrochemical Company
Limited: Sinopec Shanghai Petrochemical Company Limited is one of
the largest petrochemical companies in the PRC and was one of the
first Chinese companies to make a global securities offering.
Located in Jinshan District in the southwest of Shanghai, it is a
highly integrated petrochemical complex which processes crude oil
into a broad range of synthetic fibers, resins and plastics,
intermediate petrochemicals and petroleum products. This press
release contains statements of a forward-looking nature. These
statements are made under the 'safe harbor' provisions of the U.S.
Private Securities Litigation Reform Act of 1995. You can identify
these forward-looking statements by terminology such as "will,"
"expects," 'anticipates,' 'future,' 'intends,' 'plans,' 'believes,'
'estimates' and similar statements. The accuracy of these
statements may be impacted by a number of business risks and
uncertainties that could cause actual results to differ materially
from those projected or anticipated, including risks related to:
the risk that the PRC economy may not grow at the same rate in
future periods as it has in the last several years, or at all,
including as a result of the PRC government's macro-economic
control measures to curb over-heating; uncertainty as to global
economic growth in future periods; the risk that prices of the
Company's raw materials, particularly crude oil, will continue to
increase; not being able to raise its prices accordingly which
would adversely affect the Company's profitability; the risk that
fluctuations in demand for the Company's products may cause the
Company to either over-invest or under-invest in production
capacity in one or more of its four major product categories; the
risk that investments in new technologies and development cycles
may not produce the benefits anticipated by management; the risk
that the trading price of the Company's shares may decrease for a
variety of reasons, some of which may be beyond the control of
management; competition in the Company's existing and potential
markets; and other risks outlined in the Company's filings with the
U.S. Securities and Exchange Commission. The Company does not
undertake any obligation to update this forward-looking
information, except as required under applicable law. For further
information, please contact: Ms. Sally Wong / Ms. Polly Tong Rikes
Communications Limited Tel: +852-2520-2201 Fax: +852-2520-2241
DATASOURCE: Sinopec Shanghai Petrochemical Company Limited CONTACT:
Ms. Sally Wong or Ms. Polly Tong, both of Rikes Communications
Limited for Sinopec Shanghai Petrochemical Company Limited,
+852-2520-2201, or fax, +852-2520-2241
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