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Price increase announcement

Sittard, NL, 31-Dec-2007

In view of ongoing and continuously increasing feedstock costs (driven by extremely high oil prices) DSM Elastomers is announcing substantial increases in Keltan® EP(D)M prices in all regions.

The global price increase is 150 €/mt for Europe, Middle East & Africa and 220 US$/mt for all other regions, involving all Keltan® EP(D)M Products and being effective January 15th 2008.

Since a sustainable relief in feed costs is not expected in the short to medium term this substantial price increase is required to enable DSM Elastomers to sustain it’s business ambitions; continuous capital investments in assets and innovation programs are imperative to secure optimal support of our global customer base.

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