OMV AG — Interim / Quarterly Report 2015

Feb 18, 2016

Report January – December and Q4 2015

• Q4/15: Clean CCS net income attributable to stockholders at EUR 180 mn, down by 48% vs. Q4/14, clean CCS EBIT at EUR 187 mn, down by 66% vs. Q4/14
• 2015 Clean CCS Earnings Per Share increased by 1% to EUR 3.52, vs. 2014
• Strong result contribution from Downstream offset by negative Upstream result in Q4/15 vs. Q4/14
• Capital expenditure at EUR 2,769 mn in 2015, down by 28% vs. 2014
• Broadly neutral free cash flow before dividends reached in 2015
• Divestment process for OMV Petrol Ofisi initiated
• The Executive Board proposes a dividend of EUR 1.00 per share for 2015

Rainer Seele, CEO of OMV:

"The year 2015 was dominated by the reduction in the oil price of close to 50%. Despite OMV's strong integrated business model, providing some resilience in this very challenging market environment, the drop was inevitably reflected in the financial results with OMV's Clean CCS EBIT down by 38%. The low level of profits in Upstream was partly compensated by a strong contribution from Downstream Oil. With a utilization rate of 93%, our refining business was able to capture the favorable refining margins and benefited additionally from increased petrochemical margins. Clean CCS net income was further supported by the strong contribution of Borealis with full year Clean CCS Earnings Per Share reaching EUR 3.52, up by 1% vs. 2014. In Upstream, measures were taken to reduce costs and investments, achieving an OPEX decrease in USD/boe of 20% and a CAPEX reduction of 28% vs. 2014. We also continued to deliver projects in execution and started production at the Edvard Grieg field in Q4/15. The sharp decrease in oil and gas prices during the year, however, has led to the revision of our future price assumptions, triggering special charges of EUR 3 bn during 2015. Despite these special charges, gearing improved to 28% at year-end, supported by the issuance of hybrid notes in December 2015. Cash flow generation remains the priority and we ended the year with a broadly neutral free cash flow before dividends. The continued volatility in the market outlook has led the Executive Board to propose a reduced dividend of EUR 1.00 per share for the financial year 2015. With our new strategy, we will focus on cash and costs, pursue a sustainable position in Upstream focusing on value over volume growth, continue to strengthen the competitiveness of the Downstream Oil business and restructure the Downstream Gas business to position it for the future."

Q3/15	Q4/15	Q4/14	∆% in EUR mn 1	2015	2014	∆%
(728)	(1,729)	(532)	n.m. EBIT	(2,006)	969	n.m.
495	187	545	(66) Clean CCS EBIT	1,390	2,238	(38)
(456)	(1,017)	(404)	151 Net income attributable to stockholders 2	(1,100)	278	n.m.
367	180	348	(48) Clean CCS net income attributable to stockholders 2	1,148	1,132	1
(1.40)	(3.11)	(1.24)	151 EPS in EUR	(3.37)	0.85	n.m.
1.13	0.55	1.07	(48) Clean CCS EPS in EUR	3.52	3.47	1
1,135	434	1,445	(70) Cash flow from operating activities	2,834	3,666	(23)
–	–	–	n.a. Dividend per share in EUR 3	1.00	1.25	(20)

1 Figures for 2014 and previously reported interim figures of 2015 were adjusted according to IAS 8. Further details are described in the section "Group financial

statements" 2 After deducting net income attributable to hybrid capital owners and net income attributable to non-controlling interests

3 2015: As proposed by the Executive Board. Subject to confirmation by the Supervisory Board and the Annual General Meeting 2016

Content

• 2| Directors' report (unaudited)
• 2| Financial highlights 3| Business Segments 7| Outlook
• 8| Group financial statements (unaudited)
• 21| Declaration of the management

Directors' report (condensed, unaudited)

Financial highlights

Q3/15	Q4/15	Q4/14		∆% in EUR mn 1	2015	2014	∆%
5,932	5,043	7,683		(34) Sales 2	22,527	35,913	(37)
(980)	(1,526)	220		n.m. EBIT Upstream 3	(2,371)	1,466	n.m.
174	(197)	(894)		(78) EBIT Downstream	334	(538)	n.m.
0	(40)	(19)		114 EBIT Corporate and Other	(48)	(63)	(23)
78	33	161		(79) Consolidation	79	104	(24)
(728)	(1,729)	(532)		n.m. EBIT Group	(2,006)	969	n.m.
8	(411)	(38)	n.m.	thereof EBIT OMV Petrom group	(114)	719	n.m.
(1,073)	(1,761)	(781)		126 Special items 4	(3,028)	(908)	n.m.
(16)	(2)	(12)	(85)	thereof: Personnel and restructuring	(34)	(46)	(25)
(1,071)	(1,493)	(699)	114	Unscheduled depreciation	(2,771)	(833)	n.m.
0	(5)	(21)	(76)	Asset disposal	(5)	(20)	(74)
14	(261)	(48)	n.m.	Other	(217)	(9)	n.m.
(149)	(155)	(296)		(48) CCS effects: Inventory holding gains/(losses)	(368)	(361)	2
52	(62)	262		n.m. Clean EBIT Upstream 3, 5	139	1,669	(92)
402	247	228		9 Clean CCS EBIT Downstream 5	1,178	604	95
3	(39)	(15)		157 Clean EBIT Corporate and Other 5	(43)	(48)	(12)
37	41	71		(42) Consolidation	116	13	n.m.
495	187	545		(66) Clean CCS EBIT 5	1,390	2,238	(38)
239	51	239	(79)	thereof clean CCS EBIT OMV Petrom group 5	572	1,160	(51)
(719)	(1,711)	(602)		184 Profit from ordinary activities	(1,909)	792	n.m.
(461)	(1,308)	(448)		192 Net income	(1,255)	527	n.m.
(456)	(1,017)	(404)		151 Net income attributable to stockholders 6	(1,100)	278	n.m.
367	180	348		(48) Clean CCS net income attributable to stockholders 5, 6	1,148	1,132	1
(1.40)	(3.11)	(1.24)		151 EPS in EUR	(3.37)	0.85	n.m.
1.13	0.55	1.07		(48) Clean CCS EPS in EUR 5	3.52	3.47	1
1,135	434	1,445		(70) Cash flow from operating activities	2,834	3,666	(23)
3.48	1.33	4.43		(70) Cash flow per share in EUR	8.68	11.24	(23)
5,398	4,038	4,902		(18) Net debt	4,038	4,902	(18)
39	28	34		(16) Gearing in %	28	34	(16)
600	772	1,066		(28) Capital expenditure	2,769	3,832	(28)
–	–	–		n.a. Dividend per share in EUR 7	1.00	1.25	(20)
–	–	–		n.a. ROFA in %	(9)	5	n.m.
–	–	–		n.a. ROACE in %	(6)	3	n.m.
–	–	–		n.a. Clean CCS ROACE in % 5	8	9	(11)
–	–	–		n.a. ROE in %	(9)	4	n.m.
36	24	26		(8) Group tax rate in %	34	33	2
24,470	24,124	25,501		(5) Employees	24,124	25,501	(5)

Figures in this and the following tables may not add up due to rounding differences.

From January 1, 2015, a combined Business Segment Downstream was created, merging Gas and Power with Refining and Marketing. Additionally, the Business Segment Exploration and Production was renamed Upstream.

1 Figures for 2014 and previously reported interim figures of 2015 were adjusted according to IAS 8. Further details are described in the section "Group financial statements"

2 Sales excluding petroleum excise tax

3 Before intersegmental profit elimination shown in the line "Consolidation"

4 Special items are exceptional, non-recurring items and include unrealized gains/losses on commodity derivatives (starting with Q2/15), which are added back or deducted from EBIT. For more details please refer to Business Segments 5

Adjusted for special items. Clean CCS figures exclude inventory holding gains/losses (CCS effects) resulting from the fuels refineries and OMV Petrol Ofisi 6 After deducting net income attributable to hybrid capital owners and net income attributable to non-controlling interests 7

2015: As proposed by the Executive Board. Subject to confirmation by the Supervisory Board and the Annual General Meeting 2016

Business Segments

Upstream

Q3/15	Q4/15	Q4/14		∆% in EUR mn	2015	2014	∆%
(980)	(1,526)	220		n.m. EBIT	(2,371)	1,466	n.m.
(1,031)	(1,464)	(42)		n.m. Special items	(2,509)	(203)	n.m.
52	(62)	262		n.m. Clean EBIT	139	1,669	(92)
445	433	671		(35) Clean EBITD	1,835	3,323	(45)
500	438	791		(45) Capital expenditure	2,140	2,951	(28)
292	309	318		(3) Total hydrocarbon production in kboe/d	303	309	(2)
174	176	182	(3)	thereof OMV Petrom group	179	180	(1)
13.7	14.2	15.1		(6) Crude oil and NGL production in mn bbl	55.4	57.8	(4)
74.1	80.4	79.9		1 Natural gas production in bcf	309.5	309.7	0
50.47	43.76	76.58		(43) Average Brent price in USD/bbl	52.39	98.95	(47)
50.54	40.61	69.84		(42) Average realized crude price in USD/bbl	48.93	91.34	(46)
5.57	5.32	7.00		(24) Average realized gas price in USD/1,000 cf	5.48	6.92	(21)
1.112	1.095	1.250		(12) Average EUR-USD FX-rate	1.110	1.329	(16)
143	131	187		(30) Exploration expenditure in EUR mn	607	693	(12)
353	185	64		191 Exploration expenses in EUR mn	707	460	54
13.17	12.28	16.89		(27) OPEX in USD/boe	13.24	16.60	(20)

From January 1, 2015, the Business Segment Exploration and Production was renamed Upstream.

Fourth quarter 2015 (Q4/15) vs. fourth quarter 2014 (Q4/14)

• Lower oil and gas prices negatively impacted the result in Q4/15
• Production was 3% lower than in Q4/14, driven by shut-ins in Libya and Yemen, partly offset by higher production in Norway
• Strict cost management led to lower production costs

In Q4/15, the average Brent price in USD was 43% lower than in Q4/14. The Group's average realized crude price, which reflected the positive impact of the oil price hedges, decreased by 42% and the average realized gas price in USD/1,000 cf decreased by 24% compared to Q4/14.

Clean EBIT turned negative to EUR (62) mn, largely driven by lower oil and gas prices, lower sales volumes and higher exploration expenses. The favorable EUR-USD FX-rate development, lower production costs and the positive contribution from the oil price hedges only partially offset these effects. The Group has monetized its oil price hedges for the period Q4/15 through Q2/16 in Q3/15. This improved the Q4/15 clean EBIT by EUR 18 mn. Exploration expenses increased to EUR 185 mn from EUR 64 mn in Q4/14, mainly driven by write-offs of unsuccessful wells in Romania. Impairments of exploration assets in the amount of EUR 55 mn were treated as special items. Clean exploration expenses were EUR 130 mn in Q4/15. Further reductions in the price of oil and gas, together with increased market volatility have caused OMV to further review the price assumptions for both the short and longer term. These revised assumptions have required impairments to asset valuations in Upstream, covering assets under production and development, as well as exploration assets, which were recognized in Q4/15 in the amount of approx. EUR 1.5 bn, thereof approx. EUR 0.4 bn attributable to producing assets in OMV Petrom. Net special items recorded in the quarter, predominantly as a consequence of the reduced price assumptions, amounted to EUR (1,464) mn. These net special items led to a reported EBIT of EUR (1,526) mn (Q4/14: EUR 220 mn).

Production costs excluding royalties (OPEX) in USD/boe were 27% lower than in Q4/14, mainly due to lower personnel as well as service costs, driven by strict cost management, and the favorable EUR-USD FX-rate. OPEX in USD/boe at OMV Petrom decreased by 29%, driven mainly by lower service, material and personnel costs as well as the reduction of the construction tax in Romania from 1.5% to 1.0% and by the advantageous RON-USD FX-rate development. OMV Group's exploration expenditure decreased to EUR 131 mn, down by 30% compared to Q4/14, mainly reflecting lower activity levels in Romania and Austria.

Total OMV daily production of oil, NGL and gas was 309 kboe/d. This was 3% lower than in Q4/14, driven by the shut-ins in Libya and Yemen. Production increases in Norway (up by 32%) and New Zealand (up by 19%) partly offset this decline. OMV Petrom's total daily oil and gas production decreased by 3% compared to Q4/14, mainly due to the revamp of Lebada offshore gas compressors and natural decline at key wells. Total OMV daily oil and NGL production decreased by 6%, reflecting the shut-ins in Libya and Yemen, which was partly offset by increases in Norway and New Zealand. Total OMV daily gas production was 1% higher than in Q4/14, mainly due to higher production volumes in Norway, which more than

offset the decline in Pakistan and Romania. Total sales volumes decreased by 4%, predominantly related to lower volumes from Yemen and Libya.

Fourth quarter 2015 (Q4/15) vs. third quarter 2015 (Q3/15)

Clean EBIT decreased to EUR (62) mn in Q4/15 vs. EUR 52 mn in Q3/15, mainly driven by the fall in oil and gas prices and higher clean exploration expenses. Exploration expenses in the amount of EUR 353 mn in Q3/15, which included significant impairments of exploration assets treated as special items, were substantially above the EUR 185 mn in Q4/15. Clean exploration expenses, however, increased from EUR 81 mn in Q3/15 to EUR 130 mn in Q4/15, driven by write-offs of unsuccessful wells in Romania. Total daily production increased by 6% compared to Q3/15. The increase was mainly driven by higher production contribution from Norway, as the Gullfaks field came fully back on stream following the completion of the planned turnaround at the end of September, and from Romania with higher gas volumes after planned workovers in Q3/15. Daily oil and NGL production increased by 4%, due to higher production in Norway. Daily gas production was 8% higher compared to the previous quarter, with higher volumes from Norway and Romania. Overall, sales volumes were 10% higher compared to the previous quarter primarily as a result of higher liftings in Norway as the underlift from Q3/15 was recovered.

January to December 2015 vs. January to December 2014

The average Brent price in USD dropped by 47%, compared to the 2014 level, to USD 52.39/bbl in 2015. The Group's average realized crude price, which reflected the positive impact of the oil price hedges, decreased by 46%. The Group's average realized gas price in USD/1,000 cf decreased by 21% compared to the 2014 level.

Clean EBIT decreased significantly by 92% to EUR 139 mn vs. EUR 1,669 mn in 2014, reflecting the significant drop in oil and gas prices. In addition, lower sales volumes and higher depreciation weighed on the result, which was only partly offset by lower production costs as well as lower clean exploration expenses. The Group has entered into oil price hedges for the period Q3/15 through Q2/16, and monetized in Q3/15 the oil price hedges for the period Q4/15 through Q2/16. This improved the 2015 clean EBIT by EUR 74 mn. Impairments of exploration assets in the amount of EUR 327 mn, which were treated as special items, led to a 54% increase of exploration expenses amounting to EUR 707 mn in 2015. Clean exploration expenses decreased to EUR 379 mn in 2015 (EUR 437 mn in 2014) and were mainly related to activities in Romania and Norway. Reductions in the price of oil and gas, together with increased market volatility have caused OMV to review the price assumptions for both the short and longer term. These revised assumptions have required impairments to asset valuations in Upstream, covering assets under production and development, as well as exploration assets, which were recognized in Q3/15 and Q4/15 in the total amount of approx. EUR 2.5 bn, thereof approx. EUR 0.6 bn attributable to mainly producing assets in OMV Petrom. Net special items of EUR (2,509) mn in 2015 were mainly related to the before mentioned impairments and led to a reported EBIT of EUR (2,371) mn vs. EUR 1,466 mn in 2014.

Production costs excluding royalties in USD/boe (OPEX) decreased by 20% to USD 13.24/boe, mainly due to the favorable EUR-USD FX-rate and strict cost management resulting in lower service, personnel and material costs. At OMV Petrom, OPEX decreased by 24% compared to 2014, mainly driven by the advantageous RON-USD FX-rate development and lower service, personnel and material costs as well as the reduction of the construction tax in Romania from 1.5% to 1.0%. Exploration expenditure decreased by 12% to EUR 607 mn in 2015, and included mainly high activity levels in Romania (onshore and offshore), in Norway and in the United Arab Emirates. Total OMV daily production of oil, NGL and gas decreased by 2% to 303 kboe/d. Norway's higher contribution was more than offset by the production shut-ins in Libya and Yemen, as both countries were impacted by security issues. Norway benefited from additional wells which came on stream at the Gudrun and Gullfaks field and the start-up of production at the Edvard Grieg field. OMV Petrom's total daily oil and gas production decreased only slightly by 1% compared to 2014, due to lower production volumes in Romania impacted by workovers at key wells. Total OMV daily oil and NGL production was 4% below the level of 2014, mainly reflecting the production shut-ins in Libya and Yemen. Total OMV daily gas production was stable vs. 2014, as increased contribution from Norway offset the decline in Pakistan, New Zealand and Austria. Total sales volumes decreased by 5%, driven by lower volumes in Libya and Yemen partly offset by higher volumes in Norway.

As of December 31, 2015, proved oil and gas reserves (1P) were 1,028 mn boe (thereof OMV Petrom: 647 mn boe) and proved and probable oil and gas reserves (2P) amounted to 1,729 mn boe (thereof OMV Petrom: 917 mn boe). The 2015 single-year Reserve Replacement Rate (RRR) was 44% (2014: 64%). The three-year average RRR stood at 73% in 2015 (2014: 87%).

Downstream

Q3/15	Q4/15	Q4/14		∆% in EUR mn 1	2015	2014	∆%
174	(197)	(894)		(78) EBIT	334	(538)	n.m.
(38)	(296)	(735)		(60) Special items	(512)	(691)	(26)
(190)	(147)	(387)		(62) CCS effects: Inventory holding gains/(losses) 2	(332)	(452)	(27)
402	247	228		9 Clean CCS EBIT 2	1,178	604	95
430	288	187	54	thereof Downstream Oil	1,209	503	140
(28)	(40)	41	n.m.	thereof Downstream Gas	(30)	101	n.m.
559	411	387		6 Clean CCS EBITD 2	1,823	1,240	47
98	326	268		22 Capital expenditure	608	850	(28)
				Downstream Oil KPIs
7.84	5.90	5.19		14 OMV indicator refining margin in USD/bbl 3	7.24	3.28	121
521	357	474		(25) Ethylene/propylene net margin in EUR/t 4	419	397	6
93	94	86		9 Utilization rate refineries in % 5	93	89	4
8.21	7.64	7.56		1 Total refined product sales in mn t	29.98	31.10	(4)
2.87	2.60	2.46	6	thereof retail sales volumes in mn t	10.34	9.67	7
0.57	0.60	0.36	67	thereof petrochemicals in mn t	2.30	1.99	16
				Downstream Gas KPIs
20.36	28.71	33.01		(13) Natural gas sales volumes in TWh 6	110.12	114.35	(4)
2.15	1.92	1.71		12 Net electrical output in TWh	5.41	5.81	(7)

From January 1, 2015, a combined Business Segment Downstream was created, merging Gas and Power with Refining and Marketing. Additionally, the

businesses were renamed as follows: Gas and Power to Downstream Gas, Refining and Marketing to Downstream Oil. 1 Figures for 2014 and previously reported interim figures of 2015 were adjusted according to IAS 8. Further details are described in the section "Group financial

statements" 2 Current cost of supply (CCS): Clean CCS figures exclude special items and inventory holding gains/losses (CCS effects) resulting from the fuels refineries and

OMV Petrol Ofisi 3

As of Q3/14, the standard yield for the calculation of the OMV indicator refining margin has been updated following the finalization of the Petrobrazi modernization program. Previously reported figures were not adjusted accordingly 4

Calculated based on West European Contract Prices (WECP)

5 After the finalization of the Petrobrazi refinery modernization, the opportunity was taken to demonstrate the maximum throughput of the refineries based on a timeframe of the best 30 consecutive days. As a result, OMV's total annual refining capacity has been updated from 17.4 mn t to 17.8 mn t as of Q1/15. Previously reported figures were not adjusted accordingly 6

As of Q1/15, this KPI reflects only third-party volumes and excludes trading volumes. Historical figures were adjusted accordingly

Fourth quarter 2015 (Q4/15) vs. fourth quarter 2014 (Q4/14)

Downstream Oil supported by strong refining margins

Increased petrochemicals and Borealis contribution

Downstream Gas burdened by weak market environment with low gas prices

The clean CCS EBIT increased to EUR 247 mn vs. EUR 228 mn in Q4/14, driven by a strong Downstream Oil business, which was partly offset by the negative contribution of the Downstream Gas business. Net special items of EUR (296) mn were recognized in Q4/15, mainly related to a further provision charged against the Gate LNG obligation and associated transportation commitments. This has been necessitated by a revision to the long-term business assumptions for the gas market. Decreased crude prices over the quarter contributed to negative CCS effects of EUR (147) mn, which led to a reported EBIT of EUR (197) mn.

The Downstream Oil clean CCS EBIT substantially increased to EUR 288 mn vs. EUR 187 mn in Q4/14, reflecting the higher refining margin as well as a strong petrochemicals result. The OMV indicator refining margin increased from USD 5.19/bbl in Q4/14 to USD 5.90/bbl in Q4/15, mainly due to lower costs for own crude consumption (OMV indicator refining margin West from USD 4.96/bbl in Q4/14 to USD 5.29/bbl in Q4/15; OMV indicator refining margin East from USD 5.90/bbl in Q4/14 to USD 7.75/bbl in Q4/15). Overall, the refinery utilization rate in Q4/15 was strong and increased to 94% (86% in Q4/14). Total refined product sales were slightly above the level of Q4/14. Starting with Q3/15, the retail sales volumes, part of the total refined product sales, are reported separately due to changes in the organizational structure of the Downstream Oil business, introduced for the optimization of sales channels. In Q4/15, total retail sales volumes increased by 6% compared to Q4/14, due to high demand driven by low product prices. At EUR 52 mn, the clean petrochemicals EBIT was above the EUR 21 mn registered in Q4/14, driven by higher volumes.

The contribution from Borealis (which is accounted for at-equity and therefore shown in the financial result of OMV Group) increased to EUR 87 mn in Q4/15 vs. EUR 51 mn in Q4/14, mainly driven by improved polyolefin margins. Additionally, the Borealis result was also supported by a strong contribution from Borouge.

The Downstream Gas clean EBIT decreased significantly to EUR (40) mn in Q4/15 vs. EUR 41 mn in Q4/14, mainly as a result of a weak gas market environment resulting in lower gas sales volumes and low natural gas margins. The result was burdened by losses from valuation of forward contracts driven by forward gas price developments. The corresponding gain on the physical position hedged by these contracts will be realized mainly in 2016 and 2017. Additionally, the Q4/14 result reflected the positive impact from the amended gas supply contract with Gazprom. Natural gas sales volumes decreased by 13% to 28.71 TWh, mostly due to lower sales volumes in Romania. Overall, the natural gas sales margin was significantly lower compared to the level of Q4/14. Net electrical output increased to 1.92 TWh in Q4/15 compared to 1.71 TWh in Q4/14. This was a consequence of a higher net electrical output in Romania, which more than offset the decrease in the net electrical output in Turkey. The contribution of the gas transportation business in Austria was broadly stable compared to Q4/14.

Fourth quarter 2015 (Q4/15) vs. third quarter 2015 (Q3/15)

Clean CCS EBIT decreased to EUR 247 mn vs. EUR 402 mn, driven by a lower Downstream Oil and Downstream Gas result. The Downstream Oil clean CCS EBIT in Q4/15 was EUR 288 mn, lower than EUR 430 mn in Q3/15, mainly driven by the sharp decrease in refining margins and a lower result in the petrochemicals business. The OMV indicator refining margin decreased significantly vs. Q3/15, mainly due to lower gasoline and middle distillates spreads being only partly compensated by lower oil prices (reducing the cost for own crude consumption). The petrochemicals result decreased to EUR 52 mn from EUR 110 mn in Q3/15, driven by decreased margins. The retail business saw the expected seasonal decrease in sales volumes. The Downstream Gas clean EBIT decreased to EUR (40) mn in Q4/15 vs. EUR (28) mn in Q3/15, mainly as a result of a weak gas market environment. Natural gas sales volumes increased in Q4/15 in the context of seasonally higher gas demand, to 28.71 TWh. The result was significantly below Q3/15, due to losses from valuation of forward contracts driven by forward gas price developments. The corresponding gain on the physical position hedged by these contracts will be realized mainly in 2016 and 2017. Net electrical output decreased from 2.15 TWh in Q3/15 to 1.92 TWh in Q4/15, due to the decrease in the net electrical output in Turkey. The gas transportation business in Austria recorded a similar result compared to Q3/15.

January to December 2015 vs. January to December 2014

Downstream recorded a very strong clean CCS EBIT in 2015 with EUR 1,178 mn vs. EUR 604 mn in 2014 due to a significantly increased contribution of the Downstream Oil business. Net special items of EUR (512) mn were recognized in 2015, mainly driven by the impairment of the Samsun power plant, the further provision charged against the Gate LNG obligation and associated transportation commitments as well as the impairment of the Etzel gas storage. Decreased crude prices over the year contributed to negative CCS effects of EUR (332) mn, which led to a reported EBIT of EUR 334 mn.

At EUR 1,209 mn, the Downstream Oil clean CCS EBIT in 2015 was substantially above the EUR 503 mn achieved in 2014, mainly driven by a significantly increased refining business result. The OMV indicator refining margin increased from USD 3.28/bbl in 2014 to USD 7.24/bbl in 2015, mainly due to lower costs for own crude consumption, better product spreads and the adaption of the standard yield in Petrobrazi as of Q3/14 (OMV indicator refining margin West from USD 3.65/bbl in 2014 to USD 6.76/bbl in 2015; OMV indicator refining margin East from USD 1.89/bbl in 2014 to USD 8.71/bbl in 2015). Overall, the refining utilization rate was strong at 93% (vs. 89% in 2014). The clean petrochemicals EBIT improved by 77% from 2014 to EUR 262 mn, due to an increased ethylene/propylene net margin and higher volumes. The retail performance was supported by the positive effects from the better market environment by higher sales volumes, influenced mainly by the decrease in oil prices. This was only partly offset by a weaker performance of OMV Petrol Ofisi, which was negatively influenced by regulatory intervention.

The Downstream Gas clean EBIT was EUR (30) mn in 2015 vs. EUR 101 mn in 2014, mainly as a result of a weak gas market environment with lower gas sales volumes and lower gas margins. The result was significantly burdened due to losses from valuation of forward contracts driven by forward gas price developments. The corresponding gain on the physical position hedged by these contracts will be realized mainly in 2016 and 2017. Natural gas sales volumes declined to 110.12 TWh in 2015 vs. 114.35 TWh in 2014. Net electrical output decreased in 2015 to 5.41 TWh vs. 5.81 TWh in 2014, due to a lower output of the Samsun power plant driven by negative spark spreads in Turkey. The decrease in Turkey more than offset the higher net electrical output in Romania. The contribution of the gas transportation business in Austria decreased to EUR 123 mn in 2015 vs. EUR 150 mn in 2014, due to the spin-off of the TAG pipeline operations in Q4/14.

Outlook

Market environment

For the year 2016, OMV expects the Brent oil price to average around USD 40/bbl. The Brent-Urals spread is anticipated to be wider than in recent years. The gas market environment is expected to remain challenging in 2016. Refining margins are expected to decline from 2015 levels due to persisting overcapacity in European markets. In the petrochemical business, margins are also expected to decline from 2015. Due to the decreased oil price, lower product prices are expected to support the demand for mineral oil products.

Group

• CAPEX (incl. capitalized E&A) for 2016 is expected to be around EUR 2.4 bn
• In 2015, OMV implemented a cost reduction program yielding savings of approx. EUR 200 mn compared to 2014. Cost reduction efforts continue, to reflect the current difficult environment, with additional savings of EUR 100 mn targeted in 2017 vs. 2015
• In Q3/15, OMV Group has monetized its oil price hedges for the period Q4/15 through Q2/16. This will improve the Group's Upstream clean EBIT by USD 11 mn in Q1/16 and by USD 2 mn in Q2/16

Upstream

• Production in Libya and Yemen is expected to be affected throughout the year due to the extended critical security situation. Excluding these two countries, we expect total production for 2016 to average approximately 300 kboe/d
• The combined production of Romania and Austria is expected to average in the range of 190-200 kboe/d. In Romania works at onshore facilities, including shut-ins at key wells, which are planned in H2/16, will impact production
• In Norway, the average production for 2016 is expected to increase to approx. 60 kboe/d due to additional volumes mainly from the ramp up of Edvard Grieg. The total production level will be affected by planned turnarounds during the year
• Upstream capital expenditure for 2016 is expected to be roughly 70% of total Group CAPEX and includes, among others, drilling and workover activities in Romania and Austria and the following major investment projects: Gullfaks, Aasta Hansteen and Edvard Grieg in Norway, Nawara in Tunisia and Schiehallion in the UK
• In the Neptun Deep block (Romanian Black Sea), the second exploration drilling campaign was completed in January 2016 with seven wells finalized, the majority of them encountering gas. Further interpretation and analysis of the data gathered is required to enhance the assessment and determine the full block potential. The results of the drilling campaign are sufficiently encouraging to progress more detailed work to determine if a development is commercially viable
• Exploration and appraisal expenditure is expected to be around EUR 450 mn in 2016

Downstream

• Capacity utilization adjusted for turnaround periods is expected to remain high due to the strong performance in all sales channels and will support the stable profit and cash contribution from the Downstream Oil business
• Major shutdowns are planned in the Schwechat refinery for approx. one month from end of Q1/16 into Q2/16 and in the Petrobrazi refinery for approx. one month in Q2/16
• OMV has initiated a process to sell up to 100% of its wholly owned subsidiary OMV Petrol Ofisi. OMV is currently selecting its advisors to support the potential transaction and the structuring of the envisaged process
• Natural gas sales margins are expected to remain at low levels, due to the continued weak gas market environment
• Spark spreads in Romania and Turkey are expected to remain weak
• The divestment of a stake of up to 49% in Gas Connect Austria has been initiated and the transaction is expected to be signed in 2016
• OMV has signed an agreement with its partners for the takeover of the remaining stake of 35.75% in EconGas by OMV, for which antitrust authorities approval is expected during 2016. Consequently, EconGas will be fully integrated into OMV Group, representing a further step in restructuring and increasing the efficiency of the gas business
• Final investment decision for the Nord Stream 2 pipeline project is planned to be taken in the course of 2016

Group financial statements (condensed, unaudited)

Legal principles and general accounting policies

The preliminary, condensed, unaudited, consolidated financial statements for 2015, have been prepared in line with the accounting policies that will be used in preparing the OMV Annual Report, which are consistent with those used in the 2014 Annual Report, except as described herein. The final, audited, consolidated statements will be published at the end of March 2016 as part of the 2015 Annual Report.

The following new and amended standards and interpretations have been implemented since January 1, 2015. None has had a material impact on the condensed interim financial statements.

• Amendments to IAS 19 Defined Benefit plans: Employee Contribution
• Annual Improvements to IFRSs 2010-2012 Cycle
• Annual Improvements to IFRSs 2011-2013 Cycle

Starting with January 1, 2015, the internal organizational structure was changed following a Supervisory Board decision. The Business Segment Gas and Power was merged with the Business Segment Refining and Marketing, thereby creating a combined Business Segment Downstream.

The internal reporting and the relevant information provided to the "chief operating decision maker" in order to assess performance and allocate resources has been updated to reflect the current organization structure.

Segment reporting information of earlier periods has been adjusted consequently.

Changes in the consolidated Group

Compared with the consolidated financial statements as of December 31, 2014, the consolidated Group changed as follows:

In Downstream, OMV Nord Stream II Holding AG, based in Zug, was included starting with September 1, 2015.

In Co&O, OMV FINANCE LIMITED, based in Douglas, was deconsolidated as of September 30, 2015.

Income statement (unaudited)

Q3/15	Q4/15		Q4/14 Consolidated income statement in EUR mn 1	2015	2014
5,932	5,043		7,683 Sales revenues	22,527	35,913
(84)	(79)		(95) Direct selling expenses	(327)	(342)
(5,922)	(6,188)		(7,623) Production costs of sales	(22,174)	(32,613)
(74)	(1,225)		(35) Gross profit	26	2,958
112	100		99 Other operating income	392	337
(215)	(244)		(272) Selling expenses	(906)	(950)
(80)	(96)		(103) Administrative expenses	(371)	(416)
(353)	(185)		(64) Exploration expenses	(707)	(460)
(5)	(12)		(14) Research and development expenses	(28)	(25)
(111)	(68)		(143) Other operating expenses	(413)	(476)
(728)	(1,729)		(532) Earnings Before Interest and Taxes (EBIT)	(2,006)	969
98	76		23 Income from equity-accounted investments	345	180
93	87	51	thereof Borealis	356	205
17	8		0 Dividend income	37	16
24	13		7 Interest income	89	33
(87)	(77)		(88) Interest expenses	(304)	(362)
(43)	(2)		(12) Other financial income and expenses	(70)	(44)
9	18		(70) Net financial result	97	(177)
(719)	(1,711)		(602) Profit from ordinary activities	(1,909)	792
258	403		154 Taxes on income	654	(265)
(461)	(1,308)		(448) Net income for the period	(1,255)	527
(456)	(1,017)	(404)	thereof attributable to stockholders of the parent	(1,100)	278
9	14	10	thereof attributable to hybrid capital owners	42	38
(14)	(305)	(53)	thereof attributable to non-controlling interests	(197)	211
(1.40)	(3.11)		(1.24) Basic Earnings Per Share in EUR	(3.37)	0.85
(1.39)	(3.11)		(1.24) Diluted Earnings Per Share in EUR	(3.37)	0.85
–	–		– Dividend per share in EUR 2	1.00	1.25

1 Figures for 2014 and previously reported interim figures of 2015 were adjusted according to IAS 8

2 2015: As proposed by the Executive Board. Subject to confirmation by the Supervisory Board and the Annual General Meeting 2016

Statement of comprehensive income (condensed, unaudited)

Q3/15	Q4/15		Q4/14 in EUR mn 1	2015	2014
(461)	(1,308)		(448) Net income for the period	(1,255)	527
(374)	74		(200) Exchange differences from translation of foreign operations	(109)	309
0	0		0 Gains/(losses) on available-for-sale financial assets	(1)	0
51	24		(42) Gains/(losses) on hedges	119	(42)
(5)	22	22	Share of other comprehensive income of equity-accounted investments	95	67
(328)	120	(220)	Total of items that may be reclassified ("recycled") subsequently to the income statement	103	335
-	19		(145) Remeasurement gains/(losses) on defined benefit plans	19	(145)
-	9	(22)	Share of other comprehensive income of equity-accounted investments	9	(22)
-	28	(167)	Total of items that will not be reclassified ("recycled") subsequently to the income statement	28	(167)
(10)	(9)	8	Income taxes relating to items that may be reclassified ("recycled") subsequently to the income statement	(36)	3
0	(5)	(56)	Income taxes relating to items that will not be reclassified ("recycled") subsequently to the income statement	(5)	(56)
(10)	(14)	(48)	Total income taxes relating to components of other comprehensive income	(41)	(52)
(338)	134		(435) Other comprehensive income for the period, net of tax	90	116
(799)	(1,174)		(883) Total comprehensive income for the period	(1,166)	643
(835)	(814)	(788)	thereof attributable to stockholders of the parent	(987)	406
9	14	10	thereof attributable to hybrid capital owners	42	38
27	(374)	(105)	thereof attributable to non-controlling interests	(221)	199

1 Figures for 2014 and previously reported interim figures of 2015 were adjusted according to IAS 8

Notes to the income statement

Fourth quarter 2015 (Q4/15) vs. fourth quarter 2014 (Q4/14)

Consolidated sales decreased by 34% vs. Q4/14, mainly due to lower Downstream sales. The Group's reported EBIT was at EUR (1,729) mn, significantly below Q4/14 (EUR (532) mn), driven by Upstream impairments, as well as a lower Upstream result due to the decline in oil prices, only partly offset by the favorable EUR-USD FX-rate and the higher Downstream Oil result. OMV Petrom group's reported EBIT was EUR (411) mn, below Q4/14 (EUR (38) mn), as Q4/15 was burdened by asset impairments and lower oil prices. Net special items of EUR (1,761) mn were recorded in Q4/15, mainly driven by Upstream impairments and a further provision charged against the Gate LNG obligation and associated transportation commitments in Downstream. (for more details related to Upstream impairments please see the section "Other notes", subsection "Impairments"). Negative CCS effects of EUR (155) mn were recognized in Q4/15 due to the decrease of oil prices during the quarter. Clean CCS EBIT decreased from EUR 545 mn in Q4/14 to EUR 187 mn. OMV Petrom's contribution to the Group's clean CCS EBIT was EUR 51 mn, 79% lower vs. Q4/14.The net financial result of EUR 18 mn in Q4/15 improved significantly compared to the EUR (70) mn reported in Q4/14, mainly due to higher income from at equity-accounted investments and an improved net interest result.

Current taxes on Group income of EUR 2 mn and deferred taxes of EUR 401 mn were recognized in Q4/15. The effective tax rate in Q4/15 was 24% (Q4/14: 26%) and was impacted by impairments resulting in a high tax relief.

Net income attributable to stockholders was EUR (1,017) mn vs. EUR (404) mn in Q4/14. Minority and hybrid interests were EUR (291) mn (Q4/14: EUR (44) mn). Clean CCS net income attributable to stockholders was EUR 180 mn (Q4/14: EUR 348 mn). EPS for the quarter was at EUR (3.11) and clean CCS EPS was at EUR 0.55 (Q4/14: EUR (1.24) and EUR 1.07 respectively).

Fourth quarter 2015 (Q4/15) vs. third quarter 2015 (Q3/15)

Consolidated sales in Q4/15 decreased by 15% vs. the previous quarter mainly due to seasonality. The Group's reported EBIT was at EUR (1,729) mn, significantly lower compared with Q3/15 (EUR (728) mn), as a result of impairments mainly in Upstream (for more details please see the section "Other notes", subsection "Impairments"). Clean CCS EBIT decreased by 62%, from EUR 495 mn in Q3/15 to EUR 187 mn mainly due to lower oil prices as well as decreased refining margins. The net financial result was above last quarter, mainly driven by an improved foreign exchange result.

The effective tax rate in Q4/15 was 24% compared to 36% in Q3/15. The effective tax rate of both quarters was influenced by impairments.

Net income attributable to stockholders was EUR (1,017) mn (Q3/15: EUR (456) mn). Clean CCS net income attributable to stockholders decreased to EUR 180 mn vs. EUR 367 mn in Q3/15.

January to December 2015 vs. January to December 2014

Consolidated sales decreased by 37% vs. 2014, mainly driven by lower Downstream Oil sales. The Group's reported EBIT was at EUR (2,006) mn, significantly lower compared to 2014 (EUR 969 mn), impacted by the lower Upstream result due to impairments and lower oil prices. OMV Petrom's contribution to the reported EBIT decreased to EUR (114) mn vs. EUR 719 mn the previous year, driven by a lower Upstream result, mainly due to impairments as well as lower oil price. This was partly offset by a better Downstream result due to improved refining margins. Net special items of EUR (3,028) mn (2014: EUR (908) mn) were mainly related to impairments in Upstream, a further provision charged against the Gate LNG obligation and associated transportation commitments and an impairment on the Samsun power plant in Downstream Gas. CCS effects of EUR (368) mn were recognized (2014: EUR (361) mn). Clean CCS EBIT decreased by 38% to EUR 1,390 mn. OMV Petrom's contribution was EUR 572 mn, 51% below 2014 (EUR 1,160 mn).

In 2015, the net financial result of EUR 97 mn was significantly above the level in 2014 (EUR (177) mn), mainly driven by higher income from equity-accounted investments and an improved net interest result.

Current taxes on Group income of EUR (133) mn and deferred taxes of EUR 787 mn were recognized in 2015. The effective tax rate was 34% in 2015 and was impacted by impairments (2014: 33%).

Net income attributable to stockholders was at EUR (1,100) mn, below the 2014 level (EUR 278 mn). Minority and hybrid interests were EUR (155) mn (2014: EUR 249 mn). Clean CCS net income attributable to stockholders was EUR 1,148 mn (2014: EUR 1,132 mn). EPS was EUR (3.37), clean CCS EPS was EUR 3.52 (2014: EUR 0.85 and EUR 3.47 respectively).

Balance sheet, capital expenditure and gearing (unaudited)

Consolidated balance sheet in EUR mn 1	Dec. 31, 2015	Dec. 31, 2014
Assets
Intangible assets	3,275	3,453
Property, plant and equipment	16,440	18,488
Equity-accounted investments	2,562	2,131
Other financial assets	846	816
Other assets	81	117
Deferred taxes	850	459
Non-current assets	24,054	25,464
Inventories	1,873	2,231
Trade receivables	2,567	3,042
Other financial assets	2,245	1,782
Income tax receivables	108	81
Other assets	374	514
Cash and cash equivalents	1,348	649
Current assets	8,516	8,298
Assets held for sale	94	93
Total assets	32,664	33,855
Equity and liabilities
Capital stock	327	327
Hybrid capital	2,231	741
Reserves	9,114	10,523
OMV equity of the parent	11,672	11,591
Non-controlling interests	2,626	2,924
Equity	14,298	14,514
Provisions for pensions and similar obligations	1,045	1,115
Bonds	3,721	3,967
Interest-bearing debts	871	674
Provisions for decommissioning and restoration obligations	3,342	3,148
Other provisions	535	329
Other financial liabilities	410	466
Other liabilities	160	176
Deferred taxes	229	572
Non-current liabilities	10,314	10,449
Trade payables	3,380	4,330
Bonds	295	159
Interest-bearing debts	200	439
Provisions for income taxes	215	286
Provisions for decommissioning and restoration obligations	100	78
Other provisions	418	474
Other financial liabilities	2,341	1,610
Other liabilities	1,074	1,486
Current liabilities	8,021	8,863
Liabilities associated with assets held for sale	32	29
Total equity and liabilities	32,664	33,855

1 Figures for 2014 and previously reported interim figures of 2015 were adjusted according to IAS 8

Notes to the balance sheet as of December 31, 2015

Capital expenditure decreased to EUR 2,769 mn (2014: EUR 3,832 mn).

Upstream invested EUR 2,140 mn (2014: EUR 2,951 mn) mainly in field developments in Norway and field redevelopments, drilling and workover activities in Romania. CAPEX in Downstream amounted to EUR 608 mn (2014: EUR 850 mn), thereof EUR 546 mn in Downstream Oil (2014: EUR 607 mn) and EUR 62 mn in Downstream Gas (2014: EUR 243 mn). CAPEX in the Co&O segment was EUR 21 mn (2014: EUR 31 mn).

Compared to year-end 2014, total assets decreased by EUR 1,191 mn to EUR 32,664 mn. Decreasing effects came mainly from the significant impairments booked during the period.

Equity decreased by 1% in comparison to the previous year. The Group's equity ratio increased to 44% as of December 31, 2015, compared with the end of 2014 (43%). On December 7, 2015 the Group issued hybrid notes in an aggregate amount of EUR 1.5 bn, in two tranches of EUR 750 mn each. According to IFRS the net proceeds of the hybrid bonds can be fully treated as equity.

The total number of own shares held by the Company as of December 31, 2015, amounted to 912,824 (December 31, 2014: 1,015,102).

As of December 31, 2015, short- and long-term borrowings, bonds and finance leases amounted to EUR 5,386 mn (December 31, 2014: EUR 5,551 mn), thereof EUR 290 mn liabilities for finance leases (December 31, 2014: EUR 300 mn).

The cash position increased to EUR 1,348 mn (December 31, 2014: EUR 649 mn).

Net debt decreased to EUR 4,038 mn compared to EUR 4,902 mn at the end of 2014. On December 31, 2015, the gearing ratio stood at 28.2% (December 31, 2014: 33.8%).

Q3/15	Q4/15		Q4/14 Summarized statement of cash flows in EUR mn 1	2015	2014
(461)	(1,308)		(448) Net income for the period	(1,255)	527
			Depreciation, amortization and impairments including write
1,631	2,162	1,278	ups	5,153	3,165
(301)	(401)		(217) Deferred taxes	(787)	(250)
(9)	0		3 Losses/(gains) on the disposal of non-current assets	(19)	6
(11)	236		(11) Net change in long-term provisions	233	(14)
54	(34)		24 Other adjustments	(91)	(173)
903	655		628 Sources of funds	3,234	3,262
169	101		243 (Increase)/decrease in inventories	207	271
(148)	676		336 (Increase)/decrease in receivables	512	184
222	(996)		93 (Decrease)/increase in liabilities	(1,004)	(135)
(11)	(2)		145 (Decrease)/increase in short-term provisions	(114)	85
1,135	434		1,445 Net cash from operating activities	2,834	3,666
			Investments
(689)	(595)		(968) Intangible assets and property, plant and equipment	(2,978)	(3,834)
			Investments, loans and other financial assets including
2	(33)	(31)	changes in short-term financial assets	(88)	(76)
			Disposals
76	51		51 Proceeds from sale of non-current assets	193	175
			Proceeds from the sale of subsidiaries and businesses, net of
-	-	-	cash disposed	-	341
(612)	(577)		(947) Net cash from investing activities	(2,874)	(3,394)
(19)	15		875 (Decrease)/increase in long-term borrowings	137	39
0	0		(24) Change in non-controlling interest	(12)	(24)
(422)	(643)		(1,123) (Decrease)/increase in short-term borrowings	(327)	292
0	0		(4) Dividends paid	(530)	(650)
-	1,490		- Capital increase and hybrid bond	1,490	-
(441)	862		(274) Net cash from financing activities	758	(342)
			Effect of exchange rate changes on cash and cash
(28)	17	6	equivalents	(19)	14
54	736		229 Net (decrease)/increase in cash and cash equivalents	700	(56)
558	612		420 Cash and cash equivalents at beginning of period	649	705
612	1,348		649 Cash and cash equivalents at end of period	1,348	649

Cash flows (condensed, unaudited)

1 Figures for 2014 and previously reported interim figures of 2015 were adjusted according to IAS 8

Notes to the cash flows

In 2015, the inflow of funds from net income, adjusted for non-cash items such as depreciation, net change in long-term provisions, non-cash income from investments and other positions was EUR 3,234 mn (2014: EUR 3,262 mn). Net working capital components in the cash flow statement generated a cash outflow of EUR 400 mn (2014: inflow of EUR 405 mn), which led to a EUR 832 mn decrease in cash flow from operating activities as compared to 2014, reaching EUR 2,834 mn.

In 2015, net cash from investing activities resulted in an outflow of EUR 2,874 mn (2014: EUR 3,394 mn), mainly related to investments in Norway and Romania. In 2014, the higher payments for investments in intangible assets and property were partially offset by the closure of the sale of the stake in Bayernoil and other divestments which led to a significant net cash inflow.

Free cash flow (defined as net cash from operating activities less net cash used in investing activities) showed an outflow of funds of EUR 39 mn (2014: inflow of EUR 272 mn). Free cash flow less dividend payments resulted in a cash outflow of EUR 569 mn (2014: EUR 377 mn).

Cash flow from financing activities reflected a net inflow of funds amounting to EUR 758 mn (2014: net outflow of EUR 342 mn) following the issuance of the new hybrid notes (inflow of EUR 1,490 mn) and new drawings of long-term loans, compensated by repayments of the US private placement bond and other long-term debt and finance leases as well shortterm money market lines. Other effects were the dividends paid during the period and purchase of remaining shares from the minority shareholders of OMV Petrol Ofisi A.S.

Statement of changes in equity (condensed, unaudited)

in EUR mn 1	Share capital	Capital reserves	Hybrid capital	Revenue reserves	Other reserves 2	Treasury shares	OMV equity of the parent	Non controlling interests	Total equity
January 1, 2015	327	1,503	741	10,117	(1,086)	(11)	11,591	2,924	14,514
Net income for the period				(1,058)			(1,058)	(197)	(1,255)
Other comprehensive income for the period				10	103		113	(24)	90
Total comprehensive income for the period				(1,048)	103		(945)	(221)	(1,166)
Capital increase			1,490				1,490		1,490
Dividend distribution and hybrid coupon				(459)			(459)	(72)	(531)
Disposal of treasury shares		1				1	3		3
Share-based payments		(4)		3			(1)		(1)
Increase/(decrease) in non-controlling interests				(1)	(6)		(7)	(4)	(12)
December 31, 2015	327	1,500	2,231	8,613	(989)	(10)	11,672	2,626	14,298

	Share	Capital	Hybrid	Revenue	Other	Treasury	OMV equity	Non controlling	Total
in EUR mn 1	capital	reserves	capital	reserves	reserves 2	shares	of the parent	interests	equity
January 1, 2014	327	1,498	741	10,471	(1,412)	(11)	11,614	2,931	14,545
Net income for the period				316			316	211	527
Other comprehensive income for the period				(199)	327		128	(12)	116
Total comprehensive income for the period				117	327		444	199	643
Dividend distribution and hybrid coupon				(458)			(458)	(194)	(653)
Disposal of treasury shares		1				0	1		1
Share-based payments		4					4		4
Increase/(decrease) in non-controlling interests				(13)			(13)	(13)	(26)
December 31, 2014	327	1,503	741	10,117	(1,086)	(11)	11,591	2,924	14,514

1 Figures for 2014 and previously reported interim figures of 2015 were adjusted according to IAS 8 2

Other reserves contain exchange differences from the translation of foreign operations, unrealized gains and losses from hedges and available-for-sale financial assets as well as the share of other comprehensive income of equity-accounted investments

Dividends and interest on hybrid capital

On May 19, 2015, the Annual General Meeting approved the payment of a dividend of EUR 1.25 per share, resulting in a total dividend payment of EUR 408 mn to OMV Aktiengesellschaft shareholders. Dividend distributions to minorities amounted to EUR 72 mn in 2015. The interest payment to hybrid capital owners amounted to EUR 51 mn.

Segment reporting *

Intersegmental sales

Q3/15	Q4/15	Q4/14		∆% in EUR mn	2015	2014	∆%
673	628	983		(36) Upstream	2,883	4,284	(33)
18	21	24		(13) Downstream	83	99	(16)
7	10	10	(2)	thereof Downstream Oil	32	43	(24)
31	54	50	9	thereof Downstream Gas	167	167	0
(20)	(43)	(36)	20	thereof intrasegmental elimination Downstream	(116)	(111)	5
100	96	106		(9) Corporate and Other	393	416	(6)
791	745	1,113		(33) OMV Group	3,359	4,799	(30)

Sales to external customers

Q3/15	Q4/15	Q4/14	∆% in EUR mn	2015	2014	∆%
282	293	383	(24) Upstream	1,017	1,489	(32)
5,649	4,749	7,299	(35) Downstream	21,506	34,419	(38)
4,674	3,788	6,080	(38) thereof Downstream Oil	17,290	27,787	(38)
975	961	1,219	(21) thereof Downstream Gas	4,215	6,632	(36)
1	1	1	26 Corporate and Other	4	4	4
5,932	5,043	7,683	(34) OMV Group	22,527	35,913	(37)

Total sales (not consolidated)

Q3/15	Q4/15	Q4/14	∆% in EUR mn	2015	2014	∆%
956	921	1,366	(33) Upstream	3,900	5,773	(32)
5,667	4,770	7,323	(35) Downstream	21,589	34,518	(37)
4,681	3,798	6,090	(38) thereof Downstream Oil	17,323	27,830	(38)
1,007	1,015	1,269	(20) thereof Downstream Gas	4,382	6,799	(36)
(20)	(43)	(36)	20 thereof intrasegmental elimination Downstream	(116)	(111)	5
101	97	106	(9) Corporate and Other	397	420	(6)
6,723	5,788	8,796	(34) OMV Group	25,886	40,711	(36)

Segment and Group profit

Q3/15	Q4/15	Q4/14		∆% in EUR mn 1	2015	2014	∆%
(980)	(1,526)	220		n.m. EBIT Upstream 2	(2,371)	1,466	n.m.
174	(197)	(894)		(78) EBIT Downstream	334	(538)	n.m.
238	138	(599)	n.m.	thereof EBIT Downstream Oil	890	(338)	n.m.
(64)	(334)	(295)	13	thereof EBIT Downstream Gas	(555)	(200)	178
0	(40)	(19)		114 EBIT Corporate and Other	(48)	(63)	(23)
(805)	(1,762)	(693)		154 EBIT segment total	(2,085)	865	n.m.
78	33	161		(79) Consolidation: Elimination of intersegmental profits	79	104	(24)
(728)	(1,729)	(532)		n.m. OMV Group EBIT	(2,006)	969	n.m.
9	18	(70)		n.m. Net financial result	97	(177)	n.m.
(719)	(1,711)	(602)		184 OMV Group profit from ordinary activities	(1,909)	792	n.m.

Assets ³

in EUR mn 1	Dec. 31, 2015	Dec. 31, 2014
Upstream	13,036	14,619
Downstream	6,492	7,113
thereof Downstream Oil	4,985	5,213
thereof Downstream Gas	1,507	1,899
Corporate and Other	188	209
Total	19,715	21,941

* From January 1, 2015, a combined Business Segment Downstream was created, merging Gas and Power with Refining and Marketing. Additionally, the businesses were renamed as follows: Gas and Power to Downstream Gas, Refining and Marketing to Downstream Oil. The Business Segment Exploration and Production was renamed Upstream. Due to these organizational changes, the historical total intersegmental sales figures have been adjusted

consequently. 1 Figures for 2014 and previously reported interim figures of 2015 were adjusted according to IAS 8 2

Before intersegmental profit elimination shown in the line "Consolidation" 3

Segment assets consist of intangible assets and property, plant and equipment

Other notes

Transactions with related parties

In 2015, there were arm's-length supplies of goods and services between the Group and at-equity accounted companies.

Significant transactions with related parties in EUR mn		2015		2014
	Sales and other income	Purchases	Sales and other income	Purchases
Borealis	1,262	41	1,574	45
GENOL Gesellschaft m.b.H. & Co	285	2	169	-
Erdöl-Lagergesellschaft m.b.H.	44	49	163	94
Enerco Enerji Sanayi ve Ticaret A.Ş.	0	219	-	244

Balance sheet positions in EUR mn	Dec. 31, 2015 Dec. 31, 2014		∆%
Loans receivable	19	55	(65)
Trade receivables	26	18	43
Trade payables	28	41	(32)
Prepayments received	168	178	(6)

In 2015, the EUR 36 mn loan granted to Trans Austria Gasleitung GmbH was entirely cashed in.

The outstanding trade receivables from GENOL Gesellschaft m.b.H. & Co amounted to EUR 14 mn (December 31, 2014: EUR 13 mn).

At December 31, 2015, trade payables to ENERCO Enerji Sanayi ve Ticaret A.Ş. amounted to EUR 18 mn (December 31, 2014: EUR 31 mn).

In June 2015, Borealis received a reassessment decision from the Finnish tax authority for its Finnish subsidiary Borealis Technology Oy in regard to the year 2010. The authority requested Borealis to pay an additional amount of EUR 124.6 mn, comprising taxes, late payment interest and penalties. This reassessment decision follows the reassessment decision received by Borealis at the end of 2014 for Borealis Technology Oy in regard to the year 2008 requesting Borealis to pay an additional EUR 281.7 mn. Borealis believes that both reassessment decisions are unjustified and has appealed by filing claims for adjustment with the Finnish tax authority's Board of Adjustment.

At the end of December 2015, Borealis received a reassessment decision from the Finnish tax authority for its Finnish subsidiary Borealis Polymers Oy in regard to the year 2009. The authority is requesting Borealis to pay an additional EUR 152.5 mn, an amount comprising taxes, late payment interest and penalties. Borealis believes also this reassessment decision is unjustified and will appeal against it by filing a claim for adjustment with the Finnish tax authority's Board of Adjustment.

On June 30, 2015, Gerhard Roiss resigned from his position as Chairman of the Executive Board and CEO. At that time a liability amounting to EUR 3.4 mn was recognized for the outstanding remuneration incl. bonuses (excluding Long Term Incentive Plan and Strategic Incentive Plan).

Impairments

The further decline in the oil and gas prices and the market volatility have led to the further review of OMV's oil and gas price assumptions for both the short and longer term. The assumptions for Brent crude price are now for 2016 at USD 40/bbl, for 2017 at USD 55/bbl, for 2018 at USD 65/bbl, for 2019 at USD 70/bbl and then USD 75/bbl from 2020 onwards. The gas price assumptions have been aligned reflecting the current depressed European market conditions. These revised assumptions led to impairments of EUR 1,475 mn recognized in Q4/15 in the Upstream business, covering both assets under production and development, as well as exploration assets, in addition to the impairments recognized in Q3/15, leading to a total amount of EUR 2,449 mn recognized in 2015. EUR 68 mn thereof were related to the goodwill allocated to the Middle East and Caspian region. The impairments have been recorded in 12 different countries across the portfolio.

Due to the challenging market environment for the gas storage business and the supply/demand outlook for natural gas, the long-term summer/winter spreads have been reviewed and revised downwards. This had an adverse effect on the Etzel gas storage and led to an impairment amounting to EUR 58 mn in 2015.

A decrease in spark spreads in Turkey had an adverse effect on the Samsun power plant and led to an impairment in Q2/15. The amount of the impairment was adjusted for EUR-TRY FX-rate effects and amounted in total to EUR 194 mn in 2015.

Fair value measurement

Financial instruments recognized at fair value are disclosed according to the following fair value measurement hierarchy:

Level 1: Using quoted prices in active markets for identical assets or liabilities.

Level 2: Using inputs for the asset or liability, other than quoted prices, that are observable either directly (i.e. as prices) or indirectly (i.e. derived from prices).

Level 3: Using inputs for the asset or liability that are not based on observable market data such as prices, but on internal models or other valuation methods.

in EUR mn			Dec. 31, 2015			Dec. 31, 2014
Financial instruments on asset side	Level 1	Level 2	Total	Level 1	Level 2	Total
Investment funds	7	-	7	7	-	7
Bonds	97	-	97	79	-	79
Derivatives designated and effective as hedging
instruments	-	165	165	-	184	184
Other derivatives	732	894	1,626	588	425	1,013
Total	836	1,059	1,895	675	610	1,284

in EUR mn			Dec. 31, 2015			Dec. 31, 2014
Financial instruments on liability side	Level 1	Level 2	Total	Level 1	Level 2	Total
Liabilities on derivatives designated and
effective as hedging instruments	-	91	91	-	232	232
Liabilities on other derivatives	779	917	1,696	580	425	1,005
Total	779	1,008	1,787	580	657	1,238

There were no transfers between levels of the fair value hierarchy.

With the exception of investments in other companies valued at cost, for which no reliable estimates of their fair values can be made, the carrying amounts of financial assets are the fair values.

Bonds and other interest-bearing debts amounting to EUR 5,087 mn (December 31, 2014: EUR 5,240 mn) are valued at amortized cost. The estimated fair value of these liabilities was EUR 5,449 mn (December 31, 2014: EUR 5,798 mn). The carrying amount of other financial liabilities is effectively the same as their fair value, as they are predominantly short-term.

Subsequent events

On February 12, 2016, OMV has announced the initiation of a process to sell up to 100% of its wholly owned subsidiary OMV Petrol Ofisi A.Ş.

Restatement

The consolidated financial statements for the year 2014 as well as the half-year financial statements 2014 and 2015 of OMV Group were selected at random by the Austrian Financial Reporting Enforcement Panel (Österreichische Prüfstelle für Rechnungslegung - OePR) and were audited according to Section 2 (1) 2 of the Law on Financial Reporting Enforcement (audit without particular cause).

OMV was informed by OePR that its interpretation of IFRS 10 in combination with IFRS 13 was incorrect with regard to the partial divestment of the 45% stake in Marmara Depoluk Hizmetleri ve Ticaret Anonim Sirketi (Marmara) on June 16, 2014 which led to loss of control in this entity. At the time of loss of control the remaining shares in Marmara should have been revalued at their fair value in accordance with IFRS 10.25 (b). As a consequence a gain of EUR 23 mn should have been recognized.

Furthermore, additional impairments of goodwill and tangible assets of EUR 109 mn should have been recorded in the 2014 financial statements and were related to the goodwill arising from Petrol Ofisi acquisition (EUR 71 mn including the effect from the revaluation of Marmara that increased the carrying amount of the Cash Generating Unit (CGU)), to Brazi power plant (EUR 20 mn) as well as to Etzel gas storage (EUR 17 mn).

The discount rates used to calculate the value in use of these CGUs did not reflect the current market assessments as of the balance sheet date and therefore did not comply with IAS 36.55 for two reasons: market risk premium included in the discount rate was not based on the latest available data and the discount rates were determined on the basis of tax rates for Etzel and Brazi, which were distorted by exceptional, non-recurring expenses.

Prior period errors are accounted for retrospectively. The Consolidated Financial Statements including comparative figures for prior periods are reported as if the prior period errors had not occurred.

The retrospective adjustment did not have any impact on the information provided in the statement of financial positions at the beginning of the prior year (January 1, 2014).

The effects on the items concerned in the consolidated income statement, the consolidated statement of financial position and the consolidated cash flow statement are presented in the following tables:

Summary of the impact of IAS 8 restatement on the previously reported figures (unaudited) Financial highlights

	Re sta ted	Pre vio ly us		Re sta ted	Pre vio ly us		Re sta ted	Pre vio ly us
	fig ure s	ort ed rep	∆	fig ure s	ort ed rep	∆	fig ure s	ort ed rep	∆
Fin cia l h ig hli hts in EU R m an g n	Q 3/1 5	Q 3/1 5	in EU R m n	20 14	20 14	in EU R m n	Q 4/1 4	Q 4/1 4	in EU R m n
EB IT Do str wn ea m	174	15 7	17	( 53 8)	( 45 3)	( 86 )	( 89 4)	( 78 6)	( 108 )
Gr EB IT ou p	( 8) 72	( 4) 74	17	96 9	1, 05 4	( ) 86	( 2) 53	( 4) 42	( 8) 10
the f E BIT O MV Pe tro reo m gro up	8	8	0	71 9	74 0	( 20 )	( 38 )	( 17 )	( 20 )
the f E BIT O MV Pe tro l O fis i reo	1	1	0	( 26 0)	( 21 2)	( 48 )	( 35 6)	( 28 5)	( 71 )
1 Sp ial ite ec ms	( 1, 07 3)	( 1, 09 0)	17	( 90 8)	( 82 2)	( 86 )	( 78 1)	( 67 2)	( 108 )
Un sch ed ule d d iat ion ep rec	( 1, 07 1)	( 1, 08 8)	17	( 83 3)	( 72 4)	( 109 )	( 69 9)	( 59 0)	( 109 )
As set di al sp os	0	0	-	( 20 )	( 43 )	24	( 21 )	( 22 )	0
Pro fit fro ord ina ivit ies act m ry	( 71 9)	( 73 5)	17	79 2	87 8	( 86 )	( 60 2)	( 49 3)	( 108 )
Ne t in co me	( 46 1)	( 47 7)	16	52 7	61 3	( 86 )	( 44 8)	( 34 4)	( 105 )
2 Ne t in at trib uta ble to st kho lde co me oc rs	( 45 6)	( 47 2)	16	27 8	35 7	( 79 )	( 40 4)	( 30 8)	( 96 )
EP S i n E UR	( 1.4 0)	( 1.4 5)	0.0 5	0.8 5	1.0 9	( 0.2 4)	( 1.2 4)	( 0.9 4)	( 0.3 0)
Ge % ari in ng	39	38	0	34	34	0	34	34	0
RO FA in %	-	-	-	5	5	0	-	-	-
RO AC E i n %	-	-	-	3	4	0	-	-	-
3 Cle CC S R OA CE in % an	-	-	-	9	9	0	-	-	-
RO n % E i	-	-	-	4	4	( 1)	-	-	-
Gr % tax te in ou p ra	36	35	1	33	30	3	26	30	( 5)

1 Special items are exceptional, non-recurring items and include unrealized gains/losses on commodity derivatives (starting with Q2/15), which are added back or deducted from EBIT. For more details please refer to Business Segments

2 After deducting net income attributable to hybrid capital owners and net income attributable to non-controlling interests

3 Adjusted for special items. Clean CCS figures exclude inventory holding gains/losses (CCS effects) resulting from the fuels refineries and OMV Petrol Ofisi

Income statement (condensed)

	Re sta ted	Pre vio ly us		Re sta ted	Pre vio ly us		Re sta ted	Pre vio ly us
	fig ure s	ed ort rep	∆	fig ure s	ed ort rep	∆	fig ure s	ed ort rep	∆
Co oli da ted in in EU R m st ate nt ns co me me n	Q 3/1 5	Q 3/1 5	in EU R m n	20 14	20 14	in EU R m n	Q 4/1 4	Q 4/1 4	in EU R m n
Pro du ctio ost f s ale n c s o s	( 5, 92 2)	( 5, 93 9)	17	( 32 61 3) ,	( 32 50 4) ,	( 109 )	( 7, 62 3)	( 7, 51 4)	( 109 )
Gr rof it os s p	( 74 )	( 91 )	17	2, 95 8	3, 06 7	( 10 9)	( 35 )	73	( 10 9)
Ot he ing in rat r o pe co me	112	11 2	-	33 7	31 4	24	99	99	0
Ea rni s B efo Int d T ( EB IT) st ng re ere an ax es	( 72 8)	( 74 4)	17	96 9	1, 05 4	( 86 )	( 53 2)	( 42 4)	( 10 8)
Ne t fi ial ult na nc res	9	9	-	( 17 7)	( 17 7)	0	( 70 )	( 70 )	0
Pro fit fro ord ina tiv itie m ry ac s	( 71 9)	( 73 5)	17	79 2	87 8	( 86 )	( 60 2)	( 49 3)	( 10 8)
Tax in es on co me	25 8	25 9	( 1)	( 26 5)	( 26 4)	( 1)	154	15 0	4
Ne t in fo r th eri od co me e p	( 46 1)	( 47 7)	16	52 7	61 3	( 86 )	( 44 8)	( 34 4)	( 105 )
the f a ttri bu tab le t toc kho lde of the t reo o s rs pa ren	( 45 6)	( 47 2)	16	27 8	35 7	( 79 )	( 40 4)	( 30 8)	( 96 )
the f a ttri bu tab le t ntr olli inte ts reo o n on -co ng res	( 14 )	( 14 )	0	21 1	21 9	( 8)	( 53 )	( 45 )	( 8)
Ba sic Ea rni s P Sh in EU R ng er are	( 1)	( 1)	0	1	1	0	( 1)	( 1)	0
Sh Dil ute d E ing s P in EU R arn er are	( 1)	( 1)	0	1	1	0	( 1)	( 1)	0

Balance sheet (condensed)

	Re sta ted fig ure s	Pr iou sly rte d ev re po	∆
Co oli da ted ba lan sh t in EU R m ns ce ee n	De 31 20 14 c. ,	De 31 20 14 c. ,	in EU R m n
As ts se
Int ible set an g as s	3, 45 3	3, 52 8	( ) 74
Pro lan nd uip rty t a nt pe , p eq me	18 48 8 ,	18 50 0 ,	( 12 )
De fer red ta xe s	45 9	45 6	3
No t a ets n-c urr en ss	25 46 4 ,	25 54 8 ,	( 83 )
Cu nt ts rre as se	8, 29 8	8, 29 8	-
To tal ts as se	33 85 5 ,	33 93 8 ,	( ) 83
Eq uity d l iab iliti an es
Re se rve s	10 52 3 ,	10 60 2 ,	( 80 )
OM V e ity of the t qu pa ren	11, 59 1	11 67 0 ,	( 80 )
No tro llin inte ts n-c on g res	2, 92 4	2, 93 2	( 8)
Eq uit y	14 51 4 ,	14 60 2 ,	( 88 )
De fer red ta xe s	57 2	56 8	4
No t li ab ilit ies n-c urr en	10 44 9 ,	10 44 5 ,	4
Cu nt lia bil itie rre s	8, 86 3	8, 86 3	-
To tal uit nd lia bil itie eq y a s	33 85 5 ,	33 93 8 ,	( 83 )

Cash flows (condensed)

	Re sta ted fig ure s	Pre vio ly us ed ort rep	∆	Re sta ted fig ure s	Pre vio ly us ed ort rep	∆	Re sta ted fig ure s	Pre vio ly us ed ort rep	∆
Su f c h f ari d s tat t o low s i n E UR mm ze em en as m n	Q 3/1 5	Q 3/1 5	in EU R m n	20 14	20 14	in EU R m n	Q 4/1 4	Q 4/1 4	in EU R m n
Ne t in fo r th eri od co me e p	( 46 1)	( 47 7)	16	52 7	61 3	( 86 )	( 44 8)	( 34 4)	( 105 )
De cia tio ort iza tio nd im irm ts inc lud ing rite pre n, am n a pa en w -up s	1, 63 1	1, 64 7	( 17 )	3, 165	3, 05 6	10 9	1, 27 8	1, 169	10 9
fer De red ta xe s	( 30 1)	( 30 2)	1	( 25 0)	( 25 1)	1	( 21 7)	( 21 4)	( 4)
Ot he dju stm ts r a en	54	54	-	( 173 )	( 150 )	( 24 )	24	24	0
So of fu nd urc es s	90 3	90 3	-	3, 26 2	3, 26 2	0	62 8	62 8	0
Ne t c h f tin cti vit ies as rom op era g a	1, 13 5	1, 13 5	-	3, 66 6	3, 66 6	0	1, 44 5	1, 44 5	0
h f Ne t c in sti tiv itie as rom ve ng ac s	( 2) 61	( 2) 61	0	( 4) 3, 39	( 4) 3, 39	0	( 7) 94	( 7) 94	0
h f fin Ne t c cin cti vit ies as rom an g a	( 44 1)	( 44 1)	0	( 34 2)	( 34 2)	0	( 27 4)	( 27 4)	0
Ne t ( de e) /in e i h a nd sh uiv ale nts cre as cre as n c as ca eq	54	54	0	( 56 )	( 56 )	0	22 9	22 9	0
Ca sh d c h e iva len ts at d o f p eri od an as qu en	61 2	61 2	0	64 9	64 9	0	64 9	64 9	0

D Declara ation o of the m manage ement

W th a p We confirm to he assets, liab and that the Gr position of the the best of ou bilities, financia roup Directors Group togethe ur knowledge t al position and s' report gives er with a desc that the prelim d profit or loss a true and fai cription of the p minary and una s of the Group ir view of the d principal risks audited financi as required b development a and uncertain ial statements by the applicab and performan nties that the g s give a true a ble accounting nce of the bus group faces. nd fair view of g standards siness and the fe

V Vienna, Februa ary 18, 2016

T The Executive Board

Rai Chairman of t and Chief ner Seele the Executive B Executive Offic Board er

Deputy a David C. D Chairman of the and Chief Finan Davies e Executive Boa ncial Officer ard

Johan Member of th U nn Pleininger he Executive Bo Upstream oard

Me Manfred L mber of the Exe Downstre Leitner ecutive Board eam

Further information

Abbreviations and definitions

bbl: barrel(s), i.e. approximately 159 liters; bcf: billion standard cubic feet; bn: billion; boe: barrel(s) of oil equivalent; boe/d: boe per day; capital employed: equity including non-controlling interests plus net debt; CCS: Current Cost of Supply; Co&O: Corporate and Other; EBITD: Earnings Before Interest, Taxes, Depreciation and amortization, impairments and writeups of fixed assets; EPS: Earnings Per Share; EUR: Euro; FX: Foreign Exchange; gearing ratio: Net debt divided by equity expressed as a percentage; GWh: Gigawatt hour(s); kbbl, kbbl/d: Thousand barrels, kbbl per day; kboe, kboe/d: Thousand barrel oil equivalent, kboe per day; LNG: Liquefied Natural Gas; mn: million; MWh: Megawatt hour(s); n.a.: not available; n.m.: not meaningful; NGL: Natural Gas Liquids; NOPAT: Net Operating Profit After Tax. Profit on ordinary activities after taxes plus net interest on net borrowings, +/– result from discontinued operations, +/– tax effect of adjustments; ROFA: Return On Fixed Assets. EBIT divided by average intangible and tangible assets expressed as a percentage; ROACE: Return On Average Capital Employed. NOPAT divided by average capital employed expressed as a percentage; ROE: Return On Equity. Net income for the year divided by average equity expressed as a percentage (ROFA, ROACE and ROE indicators are calculated on a rolling basis based on the previous four consecutive quarters); RON: new Romanian leu; t: metric tonne(s); TRY: Turkish lira; TWh: Terawatt hour(s); USD: US dollar

For a full list of abbreviations and definitions please see the OMV Annual Report.

OMV contacts

Felix Rüsch, Investor Relations Tel. +43 1 40440-21600; e-mail: investor.relations@omv.com

Robert Lechner, Media Relations Tel. +43 1 40440- 21472; e-mail: media.relations@omv.com

Please find additional information on our webpage www.omv.com.

Disclaimer regarding forward looking statements

This report contains forward looking statements. Forward looking statements may be identified by the use of terms such as "outlook", "believe", "expect", "anticipate", "intend", "plan", "target", objective, "estimate", "goal", "may", "will" and similar terms, or by their context. These forward looking statements are based on beliefs, estimates and assumptions currently held by and information currently available to OMV. By their nature, forward looking statements are subject to risks and uncertainties, both known and unknown, because they relate to events and depend on circumstances that will or may occur in the future and are outside the control of OMV. Consequently, the actual results may differ materially from those expressed or implied by the forward looking statements. Therefore, recipients of this report are cautioned not to place undue reliance on these forward looking statements.

Neither OMV nor any other person assumes responsibility for the accuracy and completeness of any of the forward looking statements contained in this report. OMV disclaims any obligation and does not intend to update these forward looking statements to reflect actual results, revised assumptions and expectations and future developments and events. This report does not contain any recommendation or invitation to buy or sell securities in OMV.