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DSM Expects Record Year Following Very Strong First Quarter

Source: DSM
29/04/2008

Heerlen, 29 April 2008 - Organic sales growth 14% due to strong business positions and favorable market conditions.

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* EBIT from continuing operations up 22% despite lower US dollar and higher feedstock prices.
* Earnings per share up 42%.
* Execution of Vision 2010 strategy fully on track.
* Resumption of share buy-back program for next EUR 250 million as of 5 May.
* Outlook: 2008 EBIT expected to be EUR 870 million +/- 5%.

Feike Sijbesma, chairman of the DSM Managing Board, made the following comment on the results: "This has been a very strong quarter for DSM with excellent performances across the company, benefiting from the strength of DSM's positions in its various markets and favorable market conditions. We are conscious of the current less favorable macro-economic outlook, but thus far the conditions seen in Q1 have been sustained into the second quarter. We are now expecting 2008 to be a record year for DSM.

"The company's strong business performance confirms our belief in DSM's Vision 2010 strategy to focus on Life Sciences and Materials Sciences. The roll-out of the strategy remains firmly on track, as illustrated by the recent acquisition of the leading US biomedical materials company, PTG, and the major capital expenditure plans for DSM Dyneema. We are confident that DSM is well-placed to exploit the opportunities the markets are offering us."

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