ENI S.P.A.

[Name of Instructor]

TABLE OF CONTENT

ENI S.P.A.i

TABLE OF CONTENTii

ENI S.P.A.1

Introduction1

Logo2

Activities2

Owners and Management4

Exploration and Production4

Refining and Marketing4

Gas and Energy4

History of ENI5

Origins5

Major Gas Discoveries in Italy6

Russian Oil Imports7

Mattei Signs New Contracts with Oil Countries7

ENI in Russia8

ENI Gas and Power in Germany8

The Activity Abroad9

The 70s10

The Privatization11

Structure of the Group13

Structure before Privatization13

After The Privatization15

Criticism on ENI17

Pollution in Third World Countries17

Pricing at the Pump17

Conflict of Interest of The State18

Price Fixing Among Chloroprene Rubber Producers19

Corruption and Support of Dictators19

ENI Human Resources19

Focus of Business21

Career Development International22

Benefits23

ENI Strategies24

Sustainability Strategies24

Objectives of 2012 - 201525

Scope25

Main objectives 2012-201525

Identification Address26

The Planning27

Growth Strategy27

Program Management28

Engineering and Environmental Technology28

Environmental Laboratories29

Groundwater Treatment29

Productive Activities30

Logistics Environment30

Health, Safety And Environment31

ENI Strategic Plan 2012-201531

Refining & Marketing32

Exploration & Production32

Gas & Power33

Chemistry33

Investment Plan and Program Efficiency34

INTERNAL ANALYSIS34

SWOT Analysis34

Strengths36

Robust Research and Development (R&D) Capabilities36

Presence across the Energy Value Chain37

Strong Retail Operations across Europe38

Weaknesses39

Violation of Laws39

Opportunities39

Acquisition to Strengthen Presence In the Belgian Gas and Electricity Sector39

Restructuring of the Chemical Division40

Threats41

Risks Associated with the Regulatory Powers Entrusted to the Italian Authority for Electricity and Gas41

Extensive Government Regulations42

High Levels of Income Taxes42

Financial Analysis43

Financial Data43

Comments on the Balance Sheet Data44

Debt and Credit Rating44

Competitors45

Hypothesis Evaluation and Sensitivity Analysis45

Break even Analysis46

Revenue Budget47

Cash Flow for the Year47

See appendix for cash flow47

Break-Even Analysis47

Presumption (Change and Effect)48

Strategic Cost Management48

Risk Analysis49

Market Risk50

Risk of Exchange Rate53

Risk of Interest Rate54

Risk of Commodity Price55

Credit Risk56

Liquidity Risk57

Country Risk58

Operational Risk61

Business Strategy65

Effective Coprate Strategy - ENI65

ENI strategy with Characteristics67

Strategy Map of ENI68

Strategy plan for ENI70

Goals for next five years70

Increase Sales70

Increase customer satisfaction71

Enhance employee commitment and satisfaction72

Improve internal business process72

Reduce cost of holding inventory73

Strategic actions for next five years73

Strategies and Testing74

Strategy74

Pros74

Cons74

Strategy74

Pros74

Cons74

Strategy75

Pros75

Cons75

Evaluation of business strategy75

Pros and cons76

This section discusses the pros and cons of using the penetration pricing in Libya by ENI.76

Pros76

Cons76

Financial analysis after strategy76

201276

201377

201478

201579

Increase in profit/revenue and customer retention80

Reduction in cost of holding in next 5 years by 10 percent81

Implementation of Six sigma in business processes82

Nestle increased its profits by 25 percent82

External Analysis83

Competitive Advantage83

Reduction in sales opportunities84

Management expectation84

Renegotiations with Sonatrach85

Terms of contract86

Market Trend and ENI86

Temporary Reductions of AMQ87

Oversupply in the European Gas Market87

Energy Roadmap 205088

New infrastructures and ENI89

Creation Of New Storage Capacity91

Set Commercial and Political Margins93

Conclusion94

References96

Data retrieved from finapps.forbes.com assessed on September 15, 201297

ENI: www.eni.com assessed on September 16, 201298

Google Finance: www.google.com/finance assessed on September 16, 201298

APPENDIX99

ENI S.P.A.

A Major Integrated Energy Company

Introduction

ENI is one of the most important integrated energy companies in the world, operating in the oil and gas, power generation, engineering and construction, which have excellent skills and strong market positions worldwide. ENI's objective is to create new value to meet the expectations of shareholders, this is achieved through the continuous improvement of cost efficiency and quality of products and services for its customers, and through the attention to the needs of employees and, in general, to achieve a sustainable growth model, and respecting the interests of all stakeholders, including the careful assessment of the environmental impacts of its activities and the development of new and more efficient technologies.

It operates in 70 countries with approximately 75,000 employees. The station network is under the brand name Agip conducted in Italy and includes 4,356 service stations with which ENI holds ...