Merrill Lynch Agrochemicals Conference

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®Trademark of The Dow Chemical Company

Jerome PeriberePresident and CEODow AgroSciences

Merrill Lynch Agrochemicals Conference Merrill Lynch Agrochemicals Conference Merrill Lynch Agrochemicals Conference June 5, 2008

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JP: June 5, 2008®Trademark of The Dow Chemical Company

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Commodity Prices Buoyed by Strong Demand Trading volatility since 2006

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$2.0

$2.5

$3.0

$3.5

$4.0

2001 2003 2005 2007

$Billion Sales

Dow AgroSciences Growth Ahead of Market Trend

6% CAGR

23% CAGR

$0$100

$200$300

$400$500

$600

2001 2003 2005 2007

$Million EBIT*

*Non-GAAP financial measure, excludes certain items

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0.00.20.40.60.81.01.21.4

1Q07 1Q08

Outstanding Momentum Continued in First Quarter

All-Time Record Quarter – Sales and EBIT Strong Volume Growth in all GeographiesGrowth in Local Pricing

Sales EBIT*27% Growth$Billion 17% Growth

$Million

150

200

250

300

350

1Q07 1Q08

*See www.dow.com for reconciliation of Non-GAAP financial measure

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Investment Drives Growth and Returns


SARD CAGR

EBIT* CAGR

SALES CAGR

2%16%

5%

2001-2010

CAGR Goal

6%

23%1%

2001-07

Actual CAGR

Technology Leadership

Growth

$1 Billion Corn Business

Ag Chem Pipeline

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Ag Chem Pipeline is Robust

Growth Components - New Product Launches- Segmentation


Growth


Ag Chem Pipeline

Ag Chem Pipeline

Extending “green”

insecticides

Excellent combination

partners

Resistance breakers

Filling needs unmet by

biotechnology

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Pipeline Builds and Expands Agricultural Chemicals Success

Patented/Generic Balance

Future Pipeline

ChannelStrength

Geographic Balance

PortfolioBreadth

Replace and expand strategy

Launches continue in 2008

Maturity Sales >$300MM

Excellent fit globally

Extends “green”insecticides

Launched in 2007, continues in 2008


Registered in 4 countries; many others to follow

Opens new market space

New broad-spectrum cereal herbicide

Launching2008


To be Registered in 45 countries

Excellent combination

partner

Resistance breaker

Expedited Timeline

For large (>$2B)market segment

Global potential

Fits growing need unmet by

biotechnology

1

4

5

2

3Pastures/Cereals/

Oilseed rape

Pyroxsulam New InsecticideAminopyralid Spinetoram Ag Chem Pipeline

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Broad Leaf WeedsCross SpectrumGrass WeedsBurndownOthers

Segmentation Enables Growth as Market Moves to Our New Product Space

Ag Chem Pipeline

Broad Leaf WeedsCross SpectrumGrass WeedsBurndownOthers

Cereal Herbicide Market in 2008

Source: Agrobase

41% 21%

27% 10%

1%

Cereal Herbicide Market in 2015

Cross Spectrum segment will increase to 38%

38% 15% 38% 8%

1%

Grass weed segment will decrease to 15%

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Cereal Herbicides Mix Strategy Delivers Customer-Valued Solutions

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Pre-2000 2003 2007 2011

Enables new concepts for growth in multiple marketsStrengthens product performanceReplaces off-patent chemistry with proprietary mixtures

Cereal Herbicide Portfolio % Total Sales

New Product LaunchesFlorasulam PyroxsulamSTARANE™

Three-Way Mixture (Patented) Three-Way Mixture (Patented) Three-Way Mixture (Patented) Three-Way Mixture (Patented)

Two-Way Mixture (Patented) Two-Way Mixture (Patented) Two-Way Mixture (Patented) Two-Way Mixture (Patented)

Single Entity (Patented)Single Entity (Patented)

Single Entity (Patented)

Single Entity (Patented)Single Entity (Off Patent)

Single Entity (Off Patent)Single Entity (Off Patent)

Single Entity (Off Patent)

Future New

™Trademark of Dow AgroSciences LLC

Ag Chem Pipeline

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Building a $1 Billion Corn Business

Growth Components - Germplasm progress- Channel access


Growth


Ag Chem Pipeline


Germplasm Acquisitions

Geographic Acquisitions

Access to DeKalb hybrids

SmartStax™, DHT Family of

Traits

™Trademark of Monsanto Technology LLC

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Above Ground

Below Ground

Smar

tSta

x™+

DH

T

Herbicide Tolerance

DHT

Multiple Modes of Action for Insect and Weed Control Open New Acreage Opportunities

Increase of Glyphosate

Resistant Weeds


Source: University and public data

+50 MM acres of corn require a ~20% refuge

Potential +8MM additional acre opportunity

®HERCULEX is a trademark of Dow AgroSciences LLC; SmartStax, YieldGard and Roundup Ready are trademarks of Monsanto Technology LLC.

http://www.prnewswire.com/mnr/pioneer/22864/images/logob.jpg

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0%

10%

20%

30%

40%

50%

60%

70%

2007 2010E 2012E

Share Penetration of HERCULEX Traits of Total U.S. Corn Acres

HERCULEX®

HERCULEX®+ SmartStax™

launch

HERCULEX® + SmartStax™

IR= Insect Resistance

By 2012: HERCULEX® the Leading IR Trait$1 Billion Corn Business

®HERCULEX is a trademark of Dow AgroSciences LLC, ™SmartStax is a trademark of Monsanto Technology LLC.

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Acquisitions Illustrate Disciplined, Effective Progress

More to come! Growing channel for SmartStax™ opportunity Complementary growth for Mycogen Seeds Marketed under current brandRun independently


™Trademark of Monsanto Technology LLC

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Growth Components - Next Generation Herbicide

Tolerance - Improved food ingredients- Gene regulation


Growth


Ag Chem Pipeline

Dow Herbicide Tolerance Traits

Zinc Fingers

DHA Omega-3 Fatty Acid


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Grasses

Weed Examples:HorseweedGiant RagweedCommon RagweedPalmer AmaranthWaterhempHairy FleabaneRyegrass sppJohnsongrassJunglericeSourgrass

BroadleafGrassesBroadleafConfirmed

Suspected

Confirmed and Developing (Suspected) Resistance to Glyphosate Revolutionary new family of traits with exceptional performanceProvide tolerance to multiple classes of herbicidesThe best competitive traits to improve the performance of herbicide-tolerant cropping systems such as glyphosateAnticipated Launch:

Corn: 2012Cotton, Soybeans: 2013

Source: International Survey of Herbicide Resistant Weeds and public literature


Farmers Need Dow Herbicide Tolerance Family of Traits

Dow’s Herbicide Tolerance Trait solutions uniquely provide selective use of multiple modes of action for both broadleaf and grass weed resistance management

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13

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Global

Transformed Untransformed

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0%

10%

20%

30%

40%

50%

60%

70%Share

Adds More Power to Technology Share

Targets for Share of U.S. Acres in 2015 with Dow Herbicide Tolerance Technology


Cotton Corn Soybeans

Just Announced:

Dow AgroSciences, Mertec LLC, M.S. Technologies LLC

Collaborate to Bring New Soybean Technologies to U.S.

Soybean Growers

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DHA a Preferred Omega 3 for Human Diet

The Value PropositionDow AgroSciences to produce DHA-rich canola oil, Martek to market An economical vegetarian source of DHA rather than fish or fish oil alternativesTechnology opportunity to help consumer have healthier dietOne of first traits to market that will help provide this essential nutrient for human health Gene set with simpler biosynthetic process than competitors’approaches, produces DHA with fewer intermediates


The Distinct Health Benefits of

DHA=Docosahexaenoic Acid EPA=Eicosapentaenoic Acid ALA=Alpha-Linolenic Acid

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Exciting Progress Being Made with Zinc Fingers

Milestones Achieved and In Progress

The Best Technology for Rapid Product Development and New Applications

Zinc finger proteins afford the broadest and most flexible range of capabilities for gene targeting, gene editing and gene regulation

Enable precision engineering of genomes to eventually deliver “Designer” crops

2008 Milestones

Gene Editing• Targeted sequence modification of a native gene• Targeted regulation of native gene expression

Distribute the Technology• Establish collaborations with leading academic researchers• Develop technical partnerships in new fields with private companies• Intention is to sublicense the technology broadly, including other

companies in the plant field

Just Announced! • Have achieved precision

insertion of a proprietary gene to enable rapid stacking with existing traits

• Have proven activation and repression of native genes associated with seed oil biosynthesis in canola plants


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Pipeline Reinforces Technology Leadership

Discovery Development Launch

Chem

ical S

olut

ions

Biol

ogica

l Sol

utio

ns

*Novel Delivery SystemAnimal HealthVaccine 1

Animal HealthVaccine 2

Animal HealthVaccine 3

Stress Trait 1

Healthier OilTrait 3

InsectTrait 2

NutritionTrait 1

InsectTrait 1

New Venture

NutritionTrait 3

Yield Trait 1



DHTTrait 2 Oilseed Breeding

Enhancement

New Venture

DHTTrait 1

Fungicide

Herbicide

NDS*4

ChewingInsecticide

Herbicide

FungicideHerbicide NDS*3

NDS*1

Sap FeedingInsecticide

ECOZOME™

SmartStax™

FutureAdvanced in 2007 Advanced in 2008

NDS*2

NutritionTrait 2



™Trademarks of Dow AgroSciences LLC, SmartStax is a trademark of Monsanto Technology LLC.

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Investment Drives Growth and Returns


SARD CAGR

EBIT* CAGR

SALES CAGR

2%16%

5%

2001-2010

CAGR Goal

6%

23%1%

2001-07

Actual CAGR


Growth


Ag Chem Pipeline

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SEC Disclosure Rules

Some of our comments today include statements about our expectations for the future. Those expectations involve risks and uncertainties. Dow cannot guarantee the accuracy of any forecasts or estimates, and we do not plan to update any forward-looking statements if our expectations change. If you would like more information on the risks involved in forward-looking statements, please see our annual report and our SEC filings.

In addition, some of our comments reference non-GAAP financial measures. Where available, a reconciliation to the most directly comparable GAAP financial measures and other associated disclosures are provided on the internet at www.dow.com in the Financial Reports page of the Investor Relations section.

®

®Trademark of The Dow Chemical Company

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