SNP — Potential Merger will Make it an International Player

THIS REPORT IS GENERATED FOR

GESHER GROUP INVESTMENT UNIT

EMERGING MARKET

Company name:China Petroleum & Chemical CorpNet Income:$2,957 MTicker:SNPTotal Cash:$3.35 BStock Price:$83.80Total Cash/Share:$2.87Historical High:$105.88Total Debt:$39177 MHistorical Low:$75.31Operating Cash Flow:$9,384 MRevenue Quarterly:$93.77 MTotal Assets:$229,439 MRevenue Annually:$458,929 MRevenue/Share:$93.77Total Liabilities & SE:$230,428 MCost of Goods Sold:$94,485P/E Ratio:9.19Gross Profit:$20,288 MEarnings/Share:$2.52Annually:$9.12

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SNP[/caption]

Market Valuation:

Right now, the Chinese Oil Market has been very profitable. The local oil price did not decrease drastically like the international oil price. However, these oil giants in China are the international players which they do take in the consideration of global crude oil prices. The discrepancy and the natural of its oil pricing structure, I expect a lot of revenue to be generated in this market this upcoming report.

Company Valuation:

WSJ reports that SNP is considering the option to merge with the China National Petroleum Corporation. CNPC is a private company, but this merger will potentially bring benefits to SNP shareholders in the United States.

SNP is one of the major petroleum retailers in China. People consider them as the oligopolies in China. Both companies are state-owned, so the anti-trust will not be an issue.

Other Notes:

The reported date for SNP is not available yet. Please make sure to coordinate your investment with its reporting timeline. There will be a lot of volatility around the next earings due to the uncertainty of the international oil prices.