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Meeting with

Investors
1Q17 Results
May 2017
Disclaimer on forward-looking statements
Unreviewed by the auditors

This presentation includes forward-looking statements. These forward-looking


statements are not solely historical data, but rather reflect the targets and
expectations of Braskem’s management. The terms “anticipate,” “believe,”
“expect,” “foresee,” “intend,” “plan,” “estimate,” “project,” “aim” and similar terms
are used to indicate forward-looking statements. Although we believe these
forward-looking statements are based on reasonable assumptions, they are
subject to various risks and uncertainties and are prepared using the information
currently available to Braskem.

This presentation was up-to-date as of March 31, 2017, and Braskem does not
assume any obligation to update it in light of new information or future
developments.

Braskem assumes no liability for transactions or investment decisions taken based


on the information in this presentation.
2
Agenda
Unreviewed by the auditors

Overview

Financial Highlights

Compliance

Concentrations

Basic Petrochemicals

Vinyls

Polyolefins

United States and Europe

Mexico
Notice to the Market – 1Q17
Unreviewed by the auditors

4
Overview
History of Growth
Unreviewed by the auditors

Production Capacity 200 Green


Ethylene
(kt/year) 200 200 200 200 200
200
8,765 Resins
7,355 7,555 7,555 7,652 7,652
6,305

2,858 3,130 3,290


1,750 1,768 1,808 1,808 2,168 3,752 3,752 3,752 3,752 3,752 3,752 4,802 Ethylene
2,480 2,480 2,480
1,200 1,200 1,280 1,280 1,280

Series 1 Series 2 Series 3 Series 4 Series 5 Series 6 Series 7 Series 8 Series 9 Series Series Series Series Series Series
10 11 12 13 14 15
Leadership in Brazil Leadership in Brazil Going Global

3,301
EBITDA
2,802
(US$ million) 2,308 2,392
2,246 2,217
2,003
1,626 1,638
1,385
872 851 764
581
457

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Market
0.2 1.4 4.0 2.7 2.4 3.6 1.2 4.0 9.1 5.2 4.3 6.3 4.1 4.3 8.4 Cap
(US$ bi)

1Pro-forma figures for 2009: Quattor+Braskem America


6
Ownership Structure
Unreviewed by the auditors

Odebrecht and Petrobras are Braskem’s main shareholders

¹Include shares held in treasury

 Total common shares = 451,668,652


 Total class “A” preferred shares = 345,010,622
 Total class “B” preferred shares = 578,330
Total Shares = 797,257,604
 Odebrecht and Petrobras corporate relations regarding Braskem are regulated by a Shareholders’ Agreement
 Odebrecht appoints Braskem’s Chairman of the Board, while Petrobras appoints its Vice Chairman
 The name to be considered by the Board for the position of Braskem’s CEO is submitted by Odebrecht
 Braskem’s CFO shall be chosen by the CEO from among the members of a list presented by Odebrecht

 Braskem’s Board of Directors is composed of 11 members, 6 of which are considered Independent Directors
 For the current Board, 7 of the members were appointed by Odebrecht, while Petrobras nominated 4 Directors
7
Source: Shareholders’ Agreement of Braskem S.A., BM&FBOVESPA – Data retrieved in 09/30/2016
Strategic Differentials

Size Largest producer of thermoplastic resins in the Americas and sixth largest in
the world, world leader in the production of biopolymers and largest producer
of polypropylene in the United States and polyethylene in Mexico

Geographical Operating 41 industrial units, of which 29 are located in Brazil, in the states of
Diversification Alagoas, Bahia, Rio de Janeiro, Rio Grande do Sul and São Paulo, 6 in the United
States, 2 in Germany and 4 in Mexico

Feedstock Naphtha-based units in Brazil, Gas-based units in Mexico and in Rio de Janeiro and
Diversification propylene-based units in U.S. and Europe

Business
Only petrochemical company integrated in the first and second generation of
Model
thermoplastic resin production in Brazil and Mexico

Productivity and
Operational High standards of personal and process safety, operating at high utilization
Efficiency rates

Commercial Proximity with our customers and understanding of their needs in products
Model and services with a diversified product portfolio, serving customers from
various market segments
8
Risk Management
Unreviewed by the auditors

COUNTRY BRAZILIAN REAL PETROCHEMICAL


FEEDSTOCK
RISK DEMAND VOLATILITY CYCLE

Mitigators/ Protections:

Feedstock Geographical Brazilian Derivative Diversified


Diversification diversification demand growth financial product
Naphtha-based Units in Brazil, tends to be instruments to portfolio
units in Brazil, Mexico, United inversely limit the
Gas-based units States and proportional to the equivalent in
in Mexico and in Europe appreciation of dollars of a
Rio de Janeiro About 50% of the real portion of their
and propylene- net revenue Ability to export cash
based units in and EBITDA the volume not disbursements
U.S. and Europe outside Brazil absorbed by the denominated in
domestic market reais.

9
Global Company
Unreviewed by the auditors
Leader in the Brazilian market: only integrated petrochemical company in 1st and
2nd generations
Leader in thermoplastic resins (PE+PP+PVC) in the Americas
Largest PP producer in USA Largest PE producer in Mexico

#6th LARGEST
PETROCHEMICAL
COMPANY IN THE
WORLD

EUROPE
PP: 545 kt/year
2 plants Total Capacity:
UNITED STATES
PP: 1,570 kt/year Basic Petrochemicals:
UTEC 10,718 kt/ano
6 plants PE: 4,105 kt/ year
PP: 3,965 kt/ year
MEXICO PVC: 710 kt/ year
Ethylene: 1,050 kt/year 41 plants
PE: 1,050 kt/year BRAZIL
4 plants Basic Petrochemicals: 10,718 kt/year
PE: 3,055 kt/year
PP: 1,850 kt/year
PVC: 710 kt/year
29 plants
10
Diversification
Unreviewed by the auditors

PERFILFeedstock Diversification (%)


MATÉRIA-PRIMA: 2016 Highlights:
Mexico start-up: 1,050 kt/year
0% 3% 3%
20% 10% additional ethane-based PE capacity
23%
Naphtha Higher availability of gas as raw
38% material generating additional RJ
33% Propylene
Gas feedstock
production of approx. 60kt/year.
80%
48% Ethanol Announcement of feedstock flexibility
42% project of the Bahia unit

2009 2015 2016

2016 Highlights: Geographic Diversification (% of total Net Revenue)


Increase in volume of exports due
to sales synergies among all 1 0 3
9 6
Braskem units 26 17 18
Mexico
Resales
Significant results in United States U.S and
22 20
and Europe Europe
Brazil
73 Exports
Brazilian
52 53
Market

Source: Braskem Earnings Release 2009 2015 2016 11


Risk Mitigators
Unreviewed by the auditors

Brazilian Demand
PERFIL MATÉRIA-PRIMA: 2016 Highlights:
15% 4,00 Dynamics as of 2015: retraction of the
10% 3.33 3.49 3,50 resins demand together with the real
3,00 devaluation: benefits of the dollarized
5% 2.35
2,50 business
2.16 2,00
1.95
0% 1.76 1.67 1,50
Dynamics before 2015: appreciated
1,00
real with resins demand growing:
-5%
0,50
better profitability of products sold in
the Brazilian market
-10% 2010 2011 2012 2013 2014 2015 2016 0,00

(%) Demanda Resinas


Resins Demand Câmbio
Avg. FXMédio R$

2016 Highlights: Real Volatility


Average exchange rate in 2016
was 5% more depreciated than 10.000 Avg. Exchange (R$) 3,5

the average exchange rate in 8.000 Impact in EBITDA (R$ MM) 3,0
2016: consolidated EBITDA 2,5
impact of R$ 677 million 6.000
3,759 2,0
In September, Braskem contracted 4.000
1,5
derivative financial instruments to 2.000 1,051 918 817 677
limit the equivalent in dollars of a 1,0

portion of its cash outflows 0 0,5


(332)
denominated in reais. (2.000) 1,051 0,0

2010 2011 2012 2013 2014 2015 2016


12
Business Model - Brazil

Solid business model based on the competitive integration of the value chain

Basic Petrochemicals Unit


Raw material
Clients

Ethene
Naphtha Propylene
Condensed Benzene
Toluene
Ethane
Paraxylene

Propane Butadiene
Cumene

Ethene and Propylene

Polyolefins and Vinyls Unit

Polyethylene

Polypropylene

PVC

Soda

Integrated Petrochemical 13
13
Business Model – US and Europe

Diversified sources of raw materials:

Refineries PDH Crackers

Propylene
Clients

Polypropylene

14
Business Model – Mexico

Clients

Gás

Ethane

HDPE

Ethylene HDPE

LDPE

15
Global Petrochemical Scenario
Unreviewed by the auditors

Ethylene start-ups (1) - Global PP start-ups (1) - Global

8,835
146
563
7,514
1,257

2,070 Global Annual


1,801 5,589 Demand Growth
440 30 4,965
4,241 160
2,238 4,147 Global Annual
408 1,915 Demand Growth
275 1,560 253
765 714 2,982 3,157
2,600 430
5,068 480 2,303 150
2,016
150
2,180 744 250 900
2,987 3,245 2,986 1,002 2,335
1,665 1,025
1,245 1,024 933
194 525 242
-55 -194 93 118
2017 2018 2019 2020 2021 2017 2018 2019 2020 2021

Greenfield projects canceled or postponed: North America


China
U.S.: New capacities of American companies delayed Asia (ex-China)

China/Asia: (i) High cost of investment; (ii) Infrastructure issues; (iii) Middle East
Attractiveness of coal-based projects relative to lower naphtha prices. Europe
Others
16
Source: IHS. (1) In thousand tons
PE Expansions and Spreads - 2017
Unreviewed by the auditors

PE Capacity Expansions PE-Naphtha Spreads Forecasts


2017 1Q17 2017
-9% +8% +6%
7,524
721 704
666 664
Others 835 6,856

865
Middle East 1,360
1,280

India 2,049 4Q16 1Q17 real 4Q16 1Q17


1,649 forecast forecast forecast

Spreads are forecasted to be higher than what was


China 1,551 expected in the last quarter, due to PE/Ethylene project delays:
1,334

India’s 1,050 kt/y PE plant and petrochemical complex was


supposed to be commissioned by the 1Q17, but was
North America 1,729 1,729
postponed to later this year.

China’s 1,000 kt/y naphtha cracker and 700 kt/y PE plant was
4Q16 1Q17 postponed to the end of the year.
Forecast Forecast 17
Source: IHS, Company’s reports
Global Utilization Rate
Unreviewed by the auditors

FORECAST

88.5% 88.8% 88.9%


87.7% 88.1%
87.4%
85.9% 86.1% 86.3%
84.8% 85.1%
PP 83.9% 86.9% 83.8%
83.5% 86.8% 83.5% 83.5%
82.6% 83.0%
84.7%
PE 81.2%
83.1% 83.0% 83.1%
78.8%

76.4% 76.3%
74.5% 75.0%
72.9% 73.1%
71.8%
PVC 71.1% 71.2%

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Braskem´s
PP: Spreads remain healthy
PE: Start-ups of new PE
PVC: No new capacity Capacity
capacity in the United States Asia: new capacities will be
announced, PVC - PP: 4.105 kt/ ano
from 2017 onwards may absorbed by demand.
spreads tend to be
impact the PE spreads - PE: 3.965 kt/ ano
USA: no new greenfield higher
project in this timeframe has - PVC: 710 kt/ ano
been announced.
Source: IHS
2017 Outlook vs. 2016
Unreviewed by the auditors

Brazil USA/Europe Mexico

In line with the growth of Ramp-up of


Sales in the Gradual the economy in those Braskem Idesa
Domestic demand regions.
Net Importer
Market recovery
market of PE
PP market in the U.S.
remaining a net importer

PP
PE: Given the
PE differential in the
Petrochemical PP: stable at high purchase of feedstock,
levels positive spreads and
Spreads PVC
recovery of oil prices
Basic Petrochemicals

Lower average
Depreciated
FX dollar, but still Neutral
Mexican Peso
depreciated

EBITDA
(US$/ R$)

Stability of UTEC production Operational stability of


Strategic Flexibility project at the
Feasibility study for PP plant the complex
Direction petrochemical plant
construction 19
Does the Valuation Reflect the Fundamentals?
Unreviewed by the auditors

EV / EBITDA Ratio
PERFIL MATÉRIA-PRIMA:
Considerations
Historical ratio of the company: 5.1x
5.9 Historic
5.8 5.3 5.5
4.7 5.1 Ratio In this period, the Mexico Project was still
4.4
3.7
under construction and the result of the
international units represented about 10%
(versus 25% in 2016)
2009 2010 2011 2012 2013 2014 2015 2016

Peers EV / EBITDA Ratio (Mar/17)

Braskem's EV / EBITDA
11.6
in dollars presents a Peers Average
9.4 9.0x
discount of 52% when 8.3
6.6
compared to its peers’
average

20
WLK DOW LYB MXC
Strategic Direction
Unreviewed by the auditors

Brazil United States and Europe


Ensure operational and business efficiency Ensure operational and business efficiency
Ensure export of the non-marketed volume in Seek growth opportunities in PP from
Brazil competitive propylene in the US
Seek diversification of feedstock Stabilize operation of the new UTEC plant

Mexico Governance
Stabilize operation of the complex Constantly improve the Compliance
Expand sales in the Mexican market Program with a focus on best market
Synergy in exports with operations in the U.S., practices and good governance.
Europe and South America

FINANCIAL HEALTH

Cost discipline (cost reduction Financial Leverage


Cash generation management
program) <2.5x

21
Financial
Highlights
1Q17
Brazil Highlights 1Q17
Unreviewed by the auditors

Brazil:

 Crackers operated at an average capacity utilization rate of 95%, up 6 p.p. from 1Q16 and 5 p.p. from
4Q16, reflecting the:

o good operating performance of all crackers,

o normalization of operations at the cracker in Bahia following the scheduled shutdown in 4Q16,

o higher supply of local feedstock in the Rio de Janeiro cracker; and

o delivery of imported ethane from the United States at the Rio de Janeiro cracker.

 Brazilian demand for resins (PE, PP and PVC) came to 1.2 million tons in 1Q17, growing 5% from 1Q16;

 The Company’s market share expanded 2 p.p., with total sales of 844 kton, representing increases of 8%
and 2% from 1Q16 and 4Q16

 Exports

o Resin exports amounted to 430 kton, increasing 3.5% in relation to both 1Q16 and 4Q16;

o Exports of basic petrochemicals came to 334 kton, advancing 27% and 23% from 1Q16 and 4Q16,
respectively. New record for the Company in the quarter

 EBITDA of R$2,391 million (US$761 million) to account for 68% of the Company’s consolidated EBITDA
from all segments.
23
Brazil
Unreviewed by the auditors

Brazilian Market of Resins (kton) Total Sales – (kton)


7% 3%

1,300 1,314 1,274


1,194 1,239

1Q16 1,168 454 424 430


415 415
5%
4Q16 1,218
0% 780 846 890 824 844
1Q17 1,223

1Q16 2Q16 3Q16 4Q16 1Q17


Exports Brazilian Market Sales

EBITDA (R$ million) Resins Spread (US$/t)*

EBITDA
16% 18% 18% 18% 25%
Margin 1,108 1,124
948 1,057 1,071

2,293 2,391 422 467


2,165 2,206
306 382 365
1,821

2% 1%

642 675 743 649 657

1Q16 2Q16 3Q16 4Q16 1Q17 1Q16 2Q16 3Q16 4Q16 1Q17
Average Resin Price Resins Spread
Average Feedstock Price
(*) Source IHS - 55% PE, 32% PP Asia and 13% PVC Ásia
24
U.S., Europe and Mexico Highlights (1Q17)
Unreviewed by the auditors

United States and Europe


 Capacity utilization rate of PP plants of 101%, increasing 1 p.p. from 1Q16 and 6 p.p. from 4Q16, with
the latter increase due to the scheduled shutdown of the Marcus Hook unit in that period;
 Sales: 534 kton, increasing 7% and 6% from 1Q16 and 4Q16, respectively. New record for the quarter;
 EBITDA: US$188 million (R$592 million), representing 17% of the Company’s consolidated EBITDA from
all segments;
 In January, the new plant in La Porte, Texas to produce ultra-high molecular weight polyethylene
(UHMWPE) started operating, which will enable Braskem to better serve its clients in North America as
well as Europe through exports

Mexico:

 PE plants operated at an average capacity utilization rate of 97%, 24 p.p. higher than in 4Q16;

 PE production amounted to 250 kton, growing 29% compared to 4Q16, in line with the Company’s plans;

 PE sales: 264 kton, 47% sold in the Mexican market;

 EBITDA: US$171 million (R$536 million), representing 15% of the Company’s consolidated segments.

25
United States and Europe
Unreviewed by the auditors

United States and Europe Sales (kton): Spread PP USA (US$/t)


7%

534 1,543 1,613


499 504 503 501 1,462 1,451 1,385
1,040
144 154 720 797
147 156 149 834
683

352 348 359 352 380 -3%

860 742 617 588 573

1Q16 2Q16 3Q16 4Q16 1Q17 1Q16 2Q16 3Q16 4Q16 1Q17

Europe USA PP USA Propylene USG Spread PP-Propylene

EBITDA (US$ million) Spread PP Europe (US$/t)

EBITDA
21% 34% 32% 25% 24%
Margin
1,323
1,231 1,219 1,231
219 1,130
212
188 869
718 756 793
161 639

103
+3%

491 513 463 438 453

1Q16 2Q16 3Q16 4Q16 1Q17 1Q16 2Q16 3Q16 4Q16 1Q17
PP Europe Propylene Europe Spread PP-Propylene
Unreviewed by the auditors 26
Mexico
Unreviewed by the auditors

Production (kton) and Utilization Rate (%) Mexico PE Sales (kton)

94% 96% 264


72% 97% 99%
72%
199
44% 78% 140
89 153
117
87 76 85
64 93
62 67 54 124
39 20 82
33 60

AUG SET OCT NOV DEC JAN FEB MAR 2Q16 3Q16 4Q16 1Q17

Exports Mexican Market Sales


Production Utilization Rate

EBITDA (US$ million) Spread PE Mexico (US$/t)

1,132 1,216 1,118 1,191


995
EBITDA 57%
3% 40% 48%
Margin 177 173
117 151 140
171

8%
104

66
981 1,077 941 1,018
878

2Q16 3Q16 4Q16 1Q17 1Q16 2Q16 3Q16 4Q16 1Q17


PE US Ethane USGC Spread PE-Ethane
27
1Q17 Highlights
Unreviewed by the auditors

Braskem - Consolidated:
 EBITDA: amounted to US$1,144 million (R$3,598 million), advancing 45% from the year-ago period, due
to:

o the increases of 2% in the average international spread for the thermoplastic resins produced by
Braskem in Brazil and of 64% in the spreads for basic petrochemicals in the international market;

o sales volume growth in all segments; and

o the good performance of the Mexico complex, which in the same period last year was still in the
ramp-up phase.

 Consolidated net income of R$1,905 million and Parent Company net income of R$1,799 million

o representing quarterly earnings per share (excluding treasury shares) of R$2.26 per common share
or class A preferred share, and of R$0.61 per class B preferred share.

 Financial leverage measured by the ratio of net debt to EBITDA in U.S. dollar ended the first quarter of
2017 at 1.57. In Brazilian real, the leverage ratio stood at 1.52.

 In March the Company paid US$94.8 million referring to the portion of the U.S. Department of Justice
(DoJ) under the Global Settlement.

28
EBITDA 1Q17 vs 1Q16
Unreviewed by the auditors

Braskem’s consolidated EBITDA in 1Q17 was US$1,144 million,


advancing 45% on 1Q16:

 Spreads for basic petrochemicals

 Good performance of the Mexico complex;

 All segments sales volume growth

US$ million

1,144
19
227

791
283
84
55

EBITDA 1Q16 FX Spreads Volume Contribution Fixed Costs, EBITDA 1Q17


Margin SG&A and
Avg. FX 1Q16: 3.91 R$/US$ Other
Avg. FX 1Q17: 3.14 R$/US$
29
Amortization Schedule and Leverage
Unreviewed by the auditors

(03/31/2017 – US$ million)


Debt Profile (1)  Gross Debt: US$ 7,463
(US$ million)
03/31/2017  Net Debt*: US$ 5,246
 Avg. Debt Term**: 17.1 years
 Debt Coverage: 32 months
 Avg. Cost of Debt: 5,64% (US$)
908

*Does not include


23%
3.125 1.083
19%
the global settlement
16% signed by the
2.217 Company in
10% 699 10% 1.548 December 2016
11% 10%
1.450
1.134 370 506 573 750 ** Portion of debt in
527 dollars
398 301 192 2
132 17
0 3 /3 1/17 2017 2018 2019 2020 2 0 2 1/ 2 0 2 3/ 2025
C ash 2022 2024 onwar ds

Stand by of US$ 7 5 0 million and R$ 500 million For eign C urrency


Invested in US$ Local C ur rency
Invested in R$
(1) Does not consider discounts from tr ansaction costs

Net Debt / EBITDA (US$) Corporate Credit Rating

US$ million 1Q16 4Q16 1Q17 Agency Rating Outlook Date


Net Debt (a) 5,334 5,287 5,246 Global Scale
EBITDA (LTM) 3,120 3,152 3,334 Moody’s Ba1 Stable 03/17/2017
Net Debt/EBITDA 1.71x 1.68x 1.57x
Fitch BBB- Stable 09/30/2016
Fine / Global Settlement (b) 875 813 S&P BBB- Negative 04/27/2017
Net Debt/EBITDA 1.71x 1.96x 1.82x

(a) Does not include the financial structure of the Mexico Project
(b) Face Value of USD 957 million, with accounting updated of 12/31/2016
30
Investment*
Unreviewed by the auditors

*Considers operational investments, maintenance shutdowns and “spares” of


Braskem and its subsidiaries and contributions to the Mexico project.

R$ million
1,814

• In 1Q17, Braskem’s units in Brazil, the


United States and Europe made 16% of
1,619 the total investments planned for the
year.
BRAZIL • Brasil The investment of R$20 million in
285 strategic projects refers to the project to
diversify the feedstock profile of the
cracker in Bahia, which already reached
39.2% completion in 1Q17, with startup
238 slated for the second half of 2017.
USA/ EUROPE
142 • United States and Europe units, of the
US$8.7 million (R$27.2 million) refers to
expenses with studies for the project to
MEXICO 53 45 build a new PP plant in the United
2
States.
2017e 1Q17

31
Outlook 9M17 VS. 1Q17
Unreviewed by the auditors

Brazil USA/Europe Mexico

1Q17 9M17e 1Q17 9M17e 1Q17 9M17e

In line Gradual Strong and Strong and Net Importer Net Importer
Sales in the with 4Q16 demand stable stable market of PE market of PE
Domestic recovery demand demand
Market

PP PP

PE PE PP PP PE PE
Petrochemical
Spreads PVC PVC

Basic Basic

Appreciated Maintenance Appreciated Maintenance


Brazilian Real Neutral Neutral Mexican Peso
FX

EBITDA
(US$/ R$)
32
Compliance
Global Settlement with Authorities
Unreviewed by the auditors

Allegations of inappropriate Allegations of new


Tax adjustments made
payments (feedstock wrongdoings were received by
by the company
agreements with Petrobras the Company
voluntarily
2015 2016
Mar Apr Jul Oct Nov Dec

Beginning of voluntary Beginning of formal negotiations Global settlement


internal investigation with the Brazilian and American with the authorities
authorities

Agreement Obligations

Amount: Approximately R$3.1 billion Status:


 MPF - approved by the 5th Coordination and Review Chamber
Approx. R$1.6 billion to be paid after homologation of (already produces its civil effects)  still subject to
the agreement by the authorities. homologation by the judge of the 13th federal branch of Curitiba.
Approx. R$1.5 billion will be paid to the MPF in 6  DoJ - final decision on January 26th by the competent court.
annual installments adjusted by the IPCA. • Financial penalties of US$94.8 mi paid in Mar-17
Note: a significant portion of the R$2.2 billion to be paid  SEC - final decision still pending by the competent court.
to the MPF will be made available for use in reimbursing • Financial penalties of US$65 mi paid in Apr-17
third parties for any damages caused by the
 Switzerland - the agreement was finalized on December 21,
wrongdoings.
2016.

Additional Obligations:
3-year independent monitoring, may be extended for 1 year

Improvements to the Company's anticorruption compliance program 34


Compliance Program
Unreviewed by the auditors

Compliance 7 Ethics Line


Governance 1
Policies, Directives
and Procedures 2
Monitoring
8 Controls

Risk Detect
Assessment 3
Prevent
Training &
Communication 4
LEADERS

Third-party
Compliance 5

Engagement in
Collective 6 Remediate Risk remediation
9 and strengthen
Solutions
control environment

10 Disciplinary
measures and
Incentives

35
Compliance Program Overall Performance
Unreviewed by the auditors

36
Compliance Program Overall Performance
Unreviewed by the auditors

37
Concentrations
Concentrations
Unreviewed by the auditors

Goals
Focus on operational and
Productivity and commercial efficiency seeking
1 Competitiveness competitiveness of the current 1st Quartile Operator
operation

Feedstock Diversification of the raw < 50% of polymer


2 material matrix, increasing the production from
Diversification share of gas in the feedstock profile Naphtha

Expand the global presence Results of international


Geographic outside Brazil with gains in scale operations above 50%
3
Diversification in PE and PP of consolidated results

Foundation for the Business Conduction

Strengthen Braskem's image and Recognition as a world


Reputation and reputation through advances in leader and national
4 Governance compliance, sustainability, innovation pride in Brazil
and people management
39
Basic
Petrochemicals
and Vinyls
Basic Petrochemicals Unit
Unreviewed by the auditors

Triunfo, RS
4 Petrochemical Complexes:
Bahia, Rio Grande do Sul, Rio de
Janeiro e São Paulo

Total basic petrochemical


production capacity 1 of
approx. 9.5 million t/year

Net Revenue in
2016
R$ 25 billion
EBITDA Margin: 20%

Team Members:
2,300
Camaçari, BA
(1) Does not consider the production capacity of Green Ethylene
Health, Safety and Environment- HSE ½ (*)
Unreviewed by the auditors

Injury Rate Without Lost Time + With Lost Time


Braskem continued to evolve in
(1.000.000 hht) the management of HSE and
remained focused on the aspects of
Process Safety as a priority, in line
-30.2% with SEMPRE (Integrated System of

1.16
Health, Safety and Environment)
1.04 1.04 1.00 through audits and critical analysis

0.81
0.68
The Injury Rate Without Lost
Time + With Lost Time,
considering both Team Members
and Partners per million hours
2011 2012 2013 2014 2015 2016 worked, was 0.81
Considered sector benchmark

42
(*) Braskem consolidated without Mexico
Health, Safety and Environment- HSE ½ (*)
Unreviewed by the auditors

With regard to the Environment, in 2016, Braskem


made progress on various actions that culminated in
improvements in most of its indicators

Energy consumption (GJ/T) Water consumption (m3/t)


RECORD
-5%
10.77 10.55 10.67 10.74 10.49 10.22 -12%

4.48 4.23 4.30 4.16 4.05 3.95

2011 2012 2013 2014 2015 2016 2011 2012 2013 2014 2015 2016

Solid waste generation (kg/t) Liquid generation (m3/t)

-20% RECORD
-16%
2.67 2.28 2.30
2.20 2.01 2.13
1.32 1.17 1.22 1.28 1.15 1.11

2011 2012 2013 2014 2015 2016 2011 2012 2013 2014 2015 2016

43
(*) Braskem consolidated without Mexico
Operational Highlights
Unreviewed by the auditors

Production Volume(1) and Ethylene Utilization Rate(2)


94% 96% 95%
89% 90%
83%

2,077 2,116 2,156 2,135 2,175


Great operational performance 1,898
explained by
831 881 903 844 880
• The normalization of 787
operations at the cracker in
Bahia following the scheduled
maintenance shutdown in the 1,111 1,246 1,235 1,253 1,290 1,295
prior quarters
• Availability of raw materials,
including imported ethane from 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17
the U.S., to supply the Rio de Ethylene Utilization Rate Ethylene Main Basic Petrochemicals
Janeiro cracker

The operating performance in the


quarter supported record-high Propylene Production Volume(1)
basic petrochemicals
production volume, of 2.2 million +7%
tons
341 367 362 330 365
329

4Q15 1Q16 2Q16 3Q16 4Q16 1Q17


44
(1) In thousand tons (2) Does not consider the production capacity of Green Ethylene
Sales Volume in Brazil and Exports
Unreviewed by the auditors

Basic Petrochemicals Sales Volume in Brazil(1)

-2%
827 790 797 807
670 676 Sales in Brazil were down from
the same period last year, in
line with the demand from clients
in the domestic market

4Q15 1Q16 2Q16 3Q16 4Q16 1Q17

Basic Petrochemicals Exports(1)

+23%
358 389
Higher volume of exports are 346 350
284 300
mainly explained by the window of
opportunity presented during the
quarter, when the cracker
maintenance season in Europe and
Asia resulted in higher spreads in
the international market,
especially for butadiene 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17

45
(1) In thousand tons
Project to diversify the feedstock profile in Bahia
Unreviewed by the auditors

Cracker Flexibility Project


To permit flexibility in the use of up to 15%
of ethane as feedstock for the Bahia US Gulf Coast
cracker.
Total Investment: R$ 380 million
Start up: 2H17

Brazil
Feedstock Profile in Brazil

0% 5%
15%
15%

80%
85%

Naphta Gas Flexibility


46
Financial Highlights
Unreviewed by the auditors
Financial Overview (R$ million) 1Q17 4Q16 1Q16 Change Change
BASIC PETROCHEMICALS (A) (B) (C) (A)/(B) (A)/(C)
Net Revenue 6,564 6,548 5,950 0% 10%
Cost of Good Sold (5,200) (5,285) (4,798) -2% 8%
Gross Profit 1,364 1,263 1,152 8% 18%
Gross Margin 21% 19% 19% 1 p.p. 1 p.p.
SG&A (188) (179) (151) 5% 25%
Other Operating Income (expenses) (27) (305) (53) -91% -49%
EBITDA 1,414 1,076 1,239 31% 14%

EBITDA Margin 22% 16% 21% 5 p.p. 1 p.p.

Non-audited

In 1Q17, the Basic Petrochemicals Unit posted EBITDA of R$1,414


million, an increase of 14% on 1Q16
o Spreads for basic petrochemicals, particularly butadiene, benzene and
cumene, increased 474%, 76% and 71% vs. 1Q16, respectively
o In U.S. dollar, EBITDA amounted to US$450 million, up 42% from
1Q16.
In the 1Q17, EBITDA from the Basic Petrochemicals segment
accounted for 41% of the Company’s consolidated EBITDA.
47
Vinyls
Vinyls Unit
Unreviewed by the auditors

Industrial plants:  2 PVC


Alagoas and Bahia  1 chlor-alkali

 1 PVC
 1 chlor-alkali

Total production capacity of 710


kt/y of PVC and 539 kt/y of chlor-
alkali

Net Revenue in
2016:
R$ 3 billion
EBITDA Margin: 8%
Operational Highlights
Unreviewed by the auditors

Brazilian Market for PVC(1) PVC Production Volume(1)


+26%
Better
+0% 88% 91% utilization
84% 90%
PVC market rate due to
250 270 71%
251 254 251 showing signs of 163 the 1Q16
149 157 158
stabilization being
impacted mainly 126
affected by
by construction shutdowns
and infrastructure in Alagoas
and Bahia
0

units
1Q16 2Q16 3Q16 4Q16 1Q17 1Q16 2Q16 3Q16 4Q16 1Q17

PVC – Sales in Brazilian Market(1) PVC – Exports(1)

-21%
+16%
Market 39 Decrease in
share 34 exports
133 138 137 139 due to
120 expanded 8 27 27
p.p. to 52% increased
16 sales in
Brazil

1Q16 2Q16 3Q16 4Q16 1Q17 1Q16 2Q16 3Q16 4Q16 1Q17
50
(1) In thousand tons
Financial Highlights
Unreviewed by the auditors
Financial Overview (R$ million) 1Q17 4Q16 1Q16 Change Change
VINYLS (A) (B) (C) (A)/(B) (A)/(C)
Net Revenue 808 794 746 2% 8%
Cost of Good Sold (690) (730) (671) -5% 3%
Gross Profit 118 64 75 84% 57%
Gross Margin 15% 8% 10% 7 p.p. 5 p.p.
SG&A (38) (67) (54) -43% -30%
Other Operating Income (expenses) (18) (51) (6) -65% 183%
EBITDA 149 38 84 293% 77%

EBITDA Margin 18% 5% 11% 14 p.p. 7 p.p.

Non-audited

In the 1Q17, EBITDA from the Vinyls segment amounted to


R$149 million, up 77% from 1Q16.

In U.S. dollar, EBITDA increased 123% to US$47 million, with


EBITDA margin of 18%, expanding 7 p.p. from 1Q16.

In the 1Q17, the segment’s EBITDA accounted for 4%


of consolidated EBITDA.

51
Polyolefins
Polyolefins Unit
Unreviewed by the auditors

Industrial plants: Bahia,


Rio Grande do Sul, Rio de
Janeiro and São Paulo
 3 PE
 1 PP
 1 PE
 1 PP
Total resins production
 3 PE
capacity of 5 million per  2 PP
year
 3 PE
 2 PP

Net Revenue in 2016: Innovation and Technology Center- RS

R$ 20.3 billion
EBITDA Margin: 16%

Team Members:
2,833
Operational Highlights
Unreviewed by the auditors

PE Production Volume(1) and


Utilization Rate Total Production(1)

87% 93% 89% 89% +7%


80%
700 712 1038 1087 1115 1061 1109
667 672
630

1Q16 2Q16 3Q16 4Q16 1Q17


1Q16 2Q16 3Q16 4Q16 1Q17

PP Production Volume(1) and In the 1Q17 the production of PE and PP reached 1.1
Utilization Rate million tons
96% Production was up 7% from last year due to the:
89% 84% 87% 85%
o Good operational performance without shutdowns;
404 437
408 387 394
o Recovery of Brazilian demand; and

o No issues with the supply of raw materials to our units

1Q16 2Q16 3Q16 4Q16 1Q17

(1) In thousand tons


54
Brazilian resins market and Braskem’s sales
Unreviewed by the auditors

Brazilian Resins Demand(1) GDP vs. Brazilian Resins Demand

+6% 11
10 GDP
1,027 8 Resins Demand
954 965 972
917

0
-1

-3
1Q16 2Q16 3Q16 4Q16 1Q17
2010 2011 2012 2013 2014 2015 2016

Braskem’s Sales(1) Braskem’s Sales Profile in the 1Q17(2)


+7%
713 751 705
661 686

1Q16 2Q16 3Q16 4Q16 1Q17


Market Share

72% 75% 73% 71% 73%


55
(1) In thousand tons (2) Includes PVC
Brazilian Exports of Polyolefins
Unreviewed by the auditors

PE and PP Exports (1)

+6%
During the 1Q17, the polyolefins
426 407 402 unit exported 402 kton, or 6% more
405 381 376
370 than in the 1Q16, especially due to
131 151 136 the growth in sales in South
256 114 275 137 142 162
America and better prices in the
53 88 international market
256 274 244 275 271 241
204 234
187
PP PE
1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17

Synergies with International Braskem Operations(1)


51

PE PP 41
Braskem’s presence in the U.S. and
32
28 29 35 Europe, in addition to the other
31 33
24 commercial offices worldwide, has
25
21 21 generated a closer relationship
24
22 with international clients,
32 25
11 28 13 enabling a more representative
9 21 21 24 22
6 6 6 6
8
17 flow of exports from Brazil
11 3 10 11
9 7 7
6 6 1 8
1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17
Europe US
56
(1) In thousand tons
Innovation and New Applications
Unreviewed by the auditors

International Space Station (ISS)

Braskem, in partnership with U.S. company Made In


Space, has put its I'm Green Plastic onboard the
International Space Station (ISS). The product will be
used to fabricate objects through 3D printing.
Developed by Made In Space with the Center for the
Advancement of Science in Space (CASIS)'s support,
the Additive Manufacturing Facility (AMF) is the first
commercial 3D printer permanently allocated outside
of planet Earth.
The equipment was installed on the International
Space Station (ISS) was made out of Braskem's ultra-
high molecular weight polyethylene resin (UTEC).
The first part, printed on September 19 fabricated,
was a tubing connector for a vegetable irrigation
system.

57
Financial Highlights
Unreviewed by the auditors

Financial Overview (R$ million) 1Q17 4Q16 1Q16 Change Change


POLYOLEFINS (A) (B) (C) (A)/(B) (A)/(C)
Net Revenue 4,845 4,730 5,092 2% -5%
Cost of Good Sold (3,805) (3,718) (4,032) 2% -6%
Gross Profit 1,040 1,013 1,060 3% -2%
Gross Margin 21% 21% 21% 0 p.p. 1 p.p.
SG&A (331) (342) (310) -3% 7%
Other Operating Income (expenses) (38) (84) (33) -55% 14%
EBITDA 781 694 828 13% -6%

EBITDA Margin 16% 15% 16% 1 p.p. 0 p.p.


Non-audited

In the 1Q17, EBITDA amounted to R$781 million, down 6%


from 1Q16.

o Higher international spreads were offset by the 20%


average Brazilian real appreciation between periods

In U.S. dollar, EBITDA increased 17% to US$249 million, with


EBITDA margin of 16%, in line with the 1Q16.

In the 1Q17, EBITDA from Polyolefins accounted for


23% of consolidated EBITDA.
58
USA
and Europe
United States
Unreviewed by the auditors

La Porte - Texas

5 Industrial Plants:
Pennsylvania, Virginia and Texas

Innovation and Technology


Center in Pittsburgh I&T Center - Pittsburgh

Production capacity of
1,570 kt/year of PP

Team Members:
649
PP Market in United States
Unreviewed by the auditors

PP Demand in the U.S. (1) PP Demand in the U.S. remained stable vs. the
1Q16, but lower volumes of imported resin
benefitted the domestic industries
-4%
2,063 2,091 There is no announced additional greenfield PP
2,017 1,904 1,986
179 183 137 106 capacity in the short term
138
Braskem is studying to build a new PP plant in the
1,885 1,909 1,880 1,766 1,879 U.S. w/ capacity of approximately 500 kt/y.

0% Spreads decreased with lower availability of

3Q16 4Q16 1Q17


propylene due to exports, refinery stoppages and
1Q16 2Q16
delays in the startup of a PDH unit
PP Demand Imports

Largest PP Producers in US Prices and Spreads (2)


Ranking by Capacity (kt/year) 1,613
1,543
1,462 1,451
1,570 1,508 1,385

1,160 1,150
683 834
853 815 797 1,040
720
860
742
617 588 573

-33%
Braskem Lyondell ExxonMobil Total PC FPC USA Ineos 1Q16 2Q16 3Q16 4Q16 1Q17
Basell
Propylene PP Spread
61
(1) In thousand tons (2) USD/t Sources: IHS, American Chemistry Council
Europe
Unreviewed by the auditors

Wesseling

1 2

2 Industrial Units:
Wesseling and Schkopau
(Germany)

Schkopau

Production Capacity of
545 kt/y of PP

Team Members: 165


PP Market in Europe
Unreviewed by the auditors

PP demand in Europe strengthened in relation to


PP Demand in Europe (1) (w/ Imports)
1Q16, driven primarily by the automotive, consumer
goods and construction material industries.
-6%
The number with imports decreased mainly due to
2,592 2,473 2,343 2,438 shutdowns at PP plants in the Middle East, which
2,331
affected 15% of the region’s total capacity.

No new additional capacity of PP in the period of


2017-2021 is expected by the market.

Spreads decreased due to higher propylene prices


1Q16 2Q16 3Q16 4Q16 1Q17
caused by scheduled and non-scheduled stoppages.

Largest PP Producers in Europe Prices and Spreads (2)


1,322
Ranking by Capacity (kt/year) 1,231 1,219 1,231
1,130
2,400

1,920 870
756 793
718
639
1,130 1,100 -8%
740
545 491 513 463 438 453

Lyondell Borealis SABIC Total PC Ineos Braskem 1Q16 2Q16 3Q16 4Q16 1Q17
Basell
Propylene PP Spread
63
(1) In thousand tons (2) USD/t Sources: IHS, AC-Fiduciaire AS
Operating Highlights – USA and EUROPE
Unreviewed by the auditors

Production and (kton) and Utilization Rate (%) Initiatives to improve productivity through
the years and the DBN completed in 2016
+5%
resulted in the expansion of 105 kt in
499 513 512 526 the PP capacity of the U.S. units.
100% 103% 101% 482 101%
95%

The expansion of capacity and the lack of


maintenance shutdowns during the
quarter led to a 5% increase in the
production for the 1Q17, in comparison
with the same period last year.
1Q16 2Q16 3Q16 4Q16 1Q17
Utilization Rate Production
OBS: PP production capacity expanded by 105 kt, effective 01/01/2017

PP Sales Volume (kton)


1Q17 net revenue of US$771 million
+7% or R$2.4 billion:
500 504 503 502 534  17% of the Company’s
consolidated EBITDA.

64
1Q16 2Q16 3Q16 4Q16 1Q17
2016/2017 Capex – USA and EUROPE
Unreviewed by the auditors

Propane Feedstock Profile


(Propylene)
Dehydrogenation (PDH):
Propylene supply for Braskem’s
16.0%
PP plants in the US Golf by
USA - PDH
Enterprise 73.0%
57.0% USA - PGP/RGP
Startup: 2H17 Europe - PGP

15 years supply agreement based


27.0% 27.0%
on propane cost
2015 2017e

New Polypropylene plant Marcus Hook


feasibility studies debottleneck
DBN to expand Marcus Hook PP capacity
In the 1Q17, US$8.7 million was
(+64 kt/y)
expended with studies for the
Investment of around US$21 million
project to build a new PP plant in
the United States New UTEC®
The unit will have capacity of Complement the production of existing
approximately 500 kt/y UTEC® line in Bahia 65
Financial Highlight
Unreviewed by the auditors

Financial Overview (R$ million) 1Q17 4Q16 1Q16 Change Change


UNITED STATES AND EUROPE (A) (B) (C) (A)/(B) (A)/(C)
Net Revenue 2,425 1,997 2,535 21% -4%
Cost of Good Sold (1,738) (1,554) (1,624) 12% 7%
Gross Profit 686 443 911 55% -25%
Gross Margin 28% 22% 36% 6.1 p.p. -7.6 p.p.
SG&A (170) (148) (111) 15% 53%
Other Operating Income (expenses) 4 (25) (10) - -
EBITDA 579 336 855 72% -32%

EBITDA Margin 24% 17% 34% 7.0 p.p. -9.9 p.p.

EBITDA amounted to US$184 million in the 1Q17, down 16%


from 1Q16, which is explained by the reduction in the PP-
propylene spread (33% in USA and 8% in Europe) due to
higher raw material prices in both regions.

In Brazilian real, EBITDA was R$579 million,


accounting for 17% of consolidated EBITDA from all
segments. 66
Mexico
Mexico Complex: 2016 - Year of the startup
Unreviewed by the auditors

Cracker Capacity utilization rate of 32% and Capacity utilization


Startup Startup of the operations of the LDPE rate of 73%
plant

2016 January February March April May June July August September October November December

Startup of first the two HDPE plant Capacity utilization


and first sale in Mexican market and rate of 63%
export

42%
Average capacity utilization rate

2016 Highlights

Production of more than 20 grades, as planned


Zero injury rate
In less than six months, exports to more than 40
countries
Members: 115 and 14,000 training hours for 89% of the
members
68
Mexican Demand and Sales
Unreviewed by the auditors

PE Demand
Source: IHS (million tons/year) Europe
2,1 2,1 2,2 North
2,0
America
Priority is Asia
Central
supplying the
The surplus can America
Mexican PE
market, which be exported
has a deficit of very
competitively
around 70%
taking advantage
its demand of Braskem’s South
2014 2015 2016 2017 commercial America
presence around
Demand Actual Capacity the world
Braskem Idesa
Utilization Rate (%)/ PE Production (kt) Total Sales (kt)
97% 99% 96%
94%
264
72% 72% 78% 199
87 89 85 124
76 153
64 62 67 82
44% 60
39
54 140
94 117
26 33
26 21
Aug Sep Oct Nov Dec Jan Feb Mar 1Q16 2Q16 3Q16 4Q16 1Q17
Production Utilization Rate Mexican Market Exports 69
Source: IHS
Project Competitiveness
Unreviewed by the auditors

Ethylene Cash Cost Global Curve

Ethylene Cash Cost Forecast


Ethylene XXI

The ethane-based ethylene


will keep its cost
The project is the advantage versus the
naphtha-based...
most competitive
in the Americas…

70
Financial Highlight
Unreviewed by the auditors
Financial Overview (R$ million) 1Q17 4Q16 1Q16 Change Change
MEXICO (A) (B) (C) (A)/(B) (A)/(C)

Net Revenue 940 714 31 32% 2941%


Cost of Good Sold (505) (426) (30) 19% 1569%
Gross Profit 435 288 1 51% 68256%
Gross Margin 46% 40% 2% 6.0 p.p. 44.2 p.p.
SG&A (66) (63) (7) 5% 806%
Other Operating Income (expenses) 5 (38) (0) -114% -
EBITDA 536 336 (7) 59% -
EBITDA Margin 57% 47% -23% 9.9 p.p. 79.6 p.p.

Financial Overview (US$ million) 1Q17 4Q16 1Q16 Change Change


MEXICO (A) (B) (C) (A)/(B) (A)/(C)

Net Revenue 299 217 31 38% 868%


Cost of Good Sold (161) (129) (30) 25% 431%
Gross Profit 138 88 1 58% 21647%
Gross Margin 46% 40% 2% 5.8 p.p. 44.2 p.p.
SG&A (21) (19) (7) 9% 188%
Other Operating Income (expenses) 2 (12) (0) - -
EBITDA 171 102 (7) 67% -
EBITDA Margin 57% 47% -23% 9.9 p.p. 79.6 p.p.
Net Revenue - R$ million 940 714 31 32% 2941%
Non-audited
EBITDA - R$ million 536 336 (7) 59% -

In 1Q17, EBITDA amounted to US$171 million, advancing 67%


compared to 4Q16, with EBITDA margin of 57%, representing
expansion of 10 p.p. from 4Q16, driven by sales volume growth
and higher petrochemical spreads in the international market.

In Brazilian real, EBITDA came to R$536 million.


71
Meeting with
Investors
1Q17 Results
May 2017