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Since the end of 1987, Saudi Arabia has adapted a delivery-based pricing strategy called "Formula-Pricing" (Note 1) (please see Notes page at end), of which the objective is to expand and defend its market shares. (Note 2). The authoritative International Crude Oil Market Handbook ("Handbook") pointed out the flexible and successful application of Formula Pricing as follows:

Effective or Ineffective: Examination of Saudi Pricing Strategy in the Atlantic Europe Between 1987 and 2000