China Aviation Oil

China Aviation Oil (CAO): 3Q13 net profit up 65% to US$21.8m due to higher share of profits from associate, Shanghai Pudong International Airport Aviation Fuel Supply Company, due to a one-off credit resulting from the provision of previous claims on custom duties and value added tax of US$11.9m. CAO recorded revenue of US$3,667.5m (-3%) from middle distillates contributing US$2,999.7m (-9%) and other oil products of US$667.8m (+39%). The lower revenue from middle distillates was mainly attributed to lower trading volume. Going forward, the group intends to leverage on its jet fuel supply and trading business to grow its presence globally to achieve its long term goal of becoming a global transportation fuels provider by 2020. Separately, CAO proposed 1-for-5 bonus issue to reward shareholders for their continuing support of the company.