Dupont Slides Sanford Bernstein final 5 27-14
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Transcript of Dupont Slides Sanford Bernstein final 5 27-14

SANFORD C. BERNSTEIN’S 30TH ANNUAL STRATEGIC DECISIONS CONFERENCE
MAY 28, 2014
Ellen J. Kullman, Chair of the Board and CEO E. I. du Pont de Nemours and Company

Regulation G During this presentation we may reference company information that does not conform to generally accepted accounting principles (GAAP). Management believes that an analysis of this data is meaningful to investors because it provides insight with respect to ongoing operating results of the company and allows investors to better evaluate the financial results of the company. These measures should not be viewed as an alternative to GAAP measures of performance. Furthermore, these measures may not be consistent with similar measures provided by other companies. This data should be read in conjunction with previously published company reports on Forms 10-K, 10-Q, and 8-K. These reports, along with reconciliations on non-GAAP measures to GAAP are available on the Investor Center of www.dupont.com under Key Financials & Filings.
Forward Looking Statements During the course of this presentation we may make forward-looking statements or provide forward-looking information. All statements that address expectations or projections about the future are forward-looking statements. Some of these statements include words such as “plans,” “expects,” “will,” “anticipates,” "believes," “intends,” and “estimates.” Although they reflect our current expectations, these statements are not guarantees of future performance, but involve a number of risks, uncertainties, and assumptions. Some of those risk factors include: fluctuations in energy and raw material prices; failure to develop and market new products and optimally manage product life cycles; global economic and capital markets conditions; litigation and environmental matters; changes in laws and regulations or political conditions; business or supply disruptions; inability to protect and enforce the company’s intellectual property rights; successful integration of acquired business and divestitures of underperforming or non-strategic assets; and successful completion of the proposed spinoff of the Performance Chemicals segment including ability to fully realize the expected benefits of the proposed spinoff. The company does not undertake to update any forward-looking statements as a result of future developments or new information.
Developing Markets Total developing markets is comprised of Developing Asia, Developing Europe, Middle East & Africa, and Latin America. A detailed list of all developing countries is available under Key Financials and Filings on the Investor Center website at www.dupont.com.
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DuPont is a Science Company We work collaboratively to find sustainable, innovative, market-driven solutions to solve some of the world’s biggest challenges, making lives better, safer, and healthier for people everywhere.
Our Purpose
© National Geographic Image 3

DuPont Segments, Businesses and Core Markets
DuPont Industrial Biosciences Core Markets: Industrial Enzymes | BioBased Materials
DuPont Performance Chemicals Titanium Technologies | Chemicals & Fluoroproducts
Core Markets: Industrials & Chemicals | Construction | Specialties | Plastics | Transportation
DuPont Agriculture DuPont Pioneer | Crop Protection
Core Markets: Seeds | Agricultural Chemicals
DuPont Safety & Protection Protection Technologies | Building Innovations | Sustainable Solutions
Core Markets: Industrial | Construction | Military & Law Enforcement | Transportation | Consumer
DuPont Performance Materials Performance Polymers | Packaging & Industrial Polymers
Core Markets: Transportation | Industrial | Packaging | Electrical/Electronics
DuPont Nutrition & Health Core Markets: Food Ingredients | Nutritional Products
DuPont Electronics & Communications
Core Markets: Photovoltaics | Consumer Electronics | Advanced Printing | Displays
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Building a Higher Growth, Higher Value Company
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DuPont Stock Performance
Graph assumes that DuPont common stock, the S&P 500 stock index, and the Dow Jones Industrial Average were each valued at $100 on December 31, 2008, and that all dividends were reinvested.
$100
$150
$200
$250
$300
$350
2008 2009 2010 2011 2012 2013
DuPont S&P 500 Index Dow Jones Industrial Average
(Versus S&P 500 Index and Dow Jones Industrial Average)
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2013 Recognitions Reflect Our Commitments
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National Safety Council Robert W. Campbell
Award
FORTUNE Magazine World’s
Most Admired Companies
Working Mother Magazine 100 Best
Companies
HRC Corporate Equality Index
S&P 500 Carbon Performance Leadership
Index (CPLI)
Carbon Disclosure Leadership Index
(CDLI)
CDP Global 500 Carbon Performance
Leadership Index
North America Dow Jones
Sustainability Index (DJSI)

Decisions Driven by Three Strategic Priorities…
AGRICULTURE & NUTRITION
BIOBASED MATERIALS
ADVANCED MATERIALS
Extend leadership across high-value, science-driven
segments of the Ag and food value chains.
Develop world-leading industrial biotech
capabilities to create new businesses.
Grow leading position in differentiated
high-value materials.
Higher Growth, Higher Value Company Through Three World-Leading Positions
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INNOVATION GLOBAL REACH EXECUTION
…Together with Three Operational Priorities
© National Geographic Image
• Rigorous pipeline management
• Disciplined project execution
• Increasing return on R&D
• Driving penetration in fast-growing, developing markets
• Delivering ongoing productivity
• Optimizing resource allocation
• Returning cash to shareholders
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Recent Strategic Decisions Advance Our Transformation
Acquired Danisco
Sold Performance Coatings
Acquired Pannar Seeds (Pty) Ltd.
Announced separation plan for Performance Chemicals
Repurchased $3 billion of DuPont common stock*
Redesigning business support
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* From 2011 through March 31, 2014

Segm
ent S
ales
$ in
Bill
ions
$0
$10
$20
$30
$40
2008* 2013
Performance Coatings
Performance Chemicals
Safety & Protection
Performance Materials
Nutrition & Health
Industrial Biosciences
Electronics & Communications
Agriculture
* Includes sales from Performance Coatings, classified as discontinued operations. ** CAGR calculated based upon Segment Sales and excludes Performance Coatings and Performance Chemicals in all periods presented.
Higher Growth Portfolio Delivered 8% CAGR from 2008 - 2013
Positioning DuPont for Higher Growth, Higher Value
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7% LONG TERM
GROWTH TARGET

Will Create Two Highly Competitive Companies with Separate and Distinct Value Creation Strategies
SCIENCE & TECHNOLOGY DRIVEN
• Leading Technologies • Science Integration Across
Businesses • Strong Applications Development • Targets Secular Driven Growth • Innovative Products; Robust
Pipeline • Global Reach and Productivity
PROCESS TECHNOLOGY DRIVEN
• Leading Businesses • Customer Focused Application
Development • Low Cost Production • Capital Productivity • Sustainable Operator • Regulatory Leadership and
Advocacy
PERFORMANCE CHEMICALS DUPONT
MISSION: Growth Differentiated and integrated science
MISSION: Cash Generation Industry leadership and productivity
Upcoming Performance Chemicals Separation
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…COMPELLING MARKET INSIGHTS TO SOLVE WORLD SCALE CHALLENGES
WORLD CLASS INTEGRATED SCIENCE COUPLED WITH…
DuPont is on the Forefront of Another Wave of Innovation
Materials Science
Chemistry
Biological Sciences
Engineering
Integration of emerging biological sciences
ENERGY
PROTECTION
Materials Science Chemistry Biological Sciences Engineering
Translating Science into Solutions
FOOD
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PREPARING FOR PERFORMANCE CHEMICALS SEPARATION
• Eliminate stranded costs • Avoid margin impact from
deleveraging Performance Chemicals
RECASTING THE NEW DUPONT
• Benchmark business support • Redesign end-to-end processes • Simplify, standardize, digitize • Step-change improvement in
productivity
TO FROM
Redesign of Business Support Underway
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CAPITAL RETURNED TO SHAREHOLDERS HAS ACCELERATED
• Two dividend increases • $1B share repurchase with
Performance Coatings proceeds • Announced $5B share repurchase
program January 2014. Completed $1B in Q1; expect additional $1B in 2014. $1B
$3B
$5B
$7B
$10B
$0B
$2B
$4B
$6B
$8B
$10B
$12B
2009 2010 2011 2012 2013
Cum
ulat
ive
Capi
tal R
etur
ned
To S
hare
hold
ers
($B)
Cumulative Dividends Cumulative Buybacks
* Common dividends paid to shareholders
Dividends and Share Repurchase
Committed to a Strong Balance Sheet
Rising Amount of Capital Returned to Shareholders
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*

7% 12% Sales CAGR Operating EPS CAGR
Ushering in the next era of innovation
OPERATIONAL PRIORITIES Innovation
Global Reach Execution
STRATEGIC PRIORITIES Extended Ag & Nutrition Leadership
Build Biobased Businesses Strengthen Advanced Materials
Long Term Growth Targets
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Copyright © 2014 DuPont or its affiliates. All rights reserved. The DuPont Oval Logo, DuPont™, The miracles of science™ and all products denoted with ™ or ® are registered trademarks or trademarks of E. I. du Pont de Nemours and Company or its affiliates.
Images reproduced by E. I. du Pont de Nemours and Company under license from the National Geographic Society.
© National Geographic Image 17