Formosa Plastics : Announcement of FPC consolidated results in February 2022

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Provided by: Formosa Plastics Corporation
SEQ_NO	1	Date of announcement	2022/03/08	Time of announcement	13:46:04
Subject	Announcement of FPC consolidated results in February 2022
Date of events	2022/03/08	To which item it meets	paragraph 51
Statement	1.Date of occurrence of the event:2022/03/08 2.Company name:Formosa Plastics Corporation 3.Relationship to the Company (please enter "head office" or "subsidiaries"):head office 4.Reciprocal shareholding ratios:N/A 5.Cause of occurrence: Announcement of FPC consolidated results in February 2022 6.Countermeasures:None 7.Any other matters that need to be specified: 1. Compared consolidated sales in February and January 2022: The consolidated sales of NTD 20.59bn in February 2022, decreased by NTD 3.34bn and was down 14% from January 2022. The reasons were as follows: The total sales volume of each product in February 2022 decreased 87,000 MT from January 2022, given (1) the demand decreased because the downstream customers shut down for Chinese New Year vacation, (2) the delivery days were shorter, and (3) there were 8 plants in turnaround. 2. Compared consolidated sales in February 2022 and February 2021: The consolidated sales of NTD 20.59bn in February 2022, which reached the historical high at the same period, increased by NTD 4.22bn and was up 25.8% from February 2021. The reasons were as follows: (1). The sales spread of price increased by NTD 3.26bn. The price of each product in February 2022 was up 12~115% from February 2021, given (1) the economic recovered gradually as the global pandemic is slowing down, (2) the supply decreased because of the abnormal weather in the USA, the frequently unplanned shutdown from global peers, and China energy policy, and (3) the intense situation between Russia and Ukraine made the sharply raised in crude oil and pushed up the feedstock cost of petrochemical products. (2). The sales spread of volume increased by NTD 0.96bn. A. The sales volume of PVC and EVA in February 2022 increased 15,000 MT from February 2021, and sales increased NTD 0.64bn, given (1) the delivery days in February 2022 were longer than which in the same period of 2021, because the Chinese New Year vacation in 2022 was earlier than which in 2021, and (2) the demand of the solar cell encapsulation film and shoes market increased. B. The sales volume of PE in February 2022 increased 8,000 MT from February 2021, and sales increased NTD 0.27bn, because the operating rate of HDPE plant of Formosa Industries Corporation in February 2022 was higher than which in the same period of 2021. Formosa Industries Corporation had the unplanned shutdown resulted in the decreased production because the ice storm attacked Texas in the U.S.A. in February 2021.