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08-12-2008

BASF: Confident Outlook for Full-year 2008

BASF SE presents itself in top form. In both the second quarter and the first half of 2008, the company has again increased sales and income from operations (EBIT) before special items and achieved new records. First-half sales amounted to EUR 32.2 billion, 10 % more than in the same period of 2007. EBIT before special items in the first six months of 2008 rose by 15 % to around EUR 4.8 billion. In the second-quarter, BASF increased sales by 11 % to EUR 16.3 billion, while EBIT before special items climbed approximately 19 %to EUR 2.4 billion.

Second-quarter sales in the Plastics segment rose by 4 % due to higher volumes and prices. The Polyurethanes division especially contributed significantly higher volumes. EBIT before special items declined by 14 %, above all due to weaker business in North America.

Sales grew in all regions in the first half of 2008, and declined only in North America in euro terms.

Despite a slight decline the company is still expecting global chemical production to grow at 2.4 % in the current year, and anticipates global economic growth of 2.8 %.

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