Akzonobel Fact File 2010 tcm9-5802 3 PDF

Delivering Tomorrow’s
Answers Today
AkzoNobel Fact File 2010
Looking closer,
seeing further
AkzoNobel is the largest global paints and
coatings company and a major producer
of specialty chemicals. We supply industries
and consumers worldwide with innovative
products and are passionate about developing
sustainable answers for our customers.
Our portfolio includes well known brands such
as Dulux, Sikkens, International and Eka.
Headquartered in Amsterdam, the Netherlands,
we are a Global Fortune 500 company and
are consistently ranked as one of the leaders
on the Dow Jones Sustainability Indexes.
With operations in more than 80 countries,
our 55,000 people around the world are
committed to excellence and delivering
Tomorrow’s Answers Today™.
Contents
02 Tomorrow’s Answers Today
Introduction
08 Decorative Paints
Europe
Americas
Asia
16 Performance Coatings
Marine and Protective Coatings
Car Refinishes
Industrial Coatings
Wood Finishes and Adhesives
Powder Coatings
28 Specialty Chemicals
Functional Chemicals
Industrial Chemicals
Pulp and Paper Chemicals
Surface Chemistry
Chemicals Pakistan
2 Introduction | AkzoNobel Fact File 2010
Tomorrow’s
Answers Today
Often people achieve only incremental We believe in:
• Focusing on our customers’ future first
progress, because their view of tomorrow • Embracing entrepreneurial thinking
is determined by what they see today. • Developing the talents of our people
• The courage and curiosity to question
• Integrity and responsibility in our actions.
At AkzoNobel, we believe the future belongs
to those smart enough to challenge it. We Sustainability
believe that real progress belongs to those AkzoNobel is committed to sustainability at
who not only think with courage, but also all levels.
have the courage to deliver on the thought.
Tomorrow’s answers, delivered today. Top line growth
Our eco-premium products and processes
What drives us is knowing that what is good will help to increase our turnover and will
for our customers today is not necessarily deliver value for society and also improve our
good enough for them tomorrow. What ex- bottom line.
cites us is asking the unasked question. What
inspires us is seeing the opportunity others Capital efficiency
cannot. What unites us is the intelligence to It is AkzoNobel’s policy to ensure that all
deliver where others have not. our new facilities are constructed to meet the
highest applicable standards in areas such
This benefits our customers because we sus- as energy efficiency, eco-efficiency and pro-
tain their future competitiveness and meet cess safety.
the consumers’ unspoken needs. This ambi-
tion defines us. This is the way we work. This Operational efficiency
is why we come to work. This is AkzoNobel. Improving operational efficiency is one of the
ongoing issues in the industry, focusing on
cost reduction, improved process safety, en-
vironmental protection and more effective
use of raw materials, water and energy.
Dow Jones Sustainability Indexes

ranking
2004 No ranking
2005 Top 10
2006 2nd place
2007 Super sector leader
2008 Joint 2nd place
2009 2nd place
AkzoNobel Fact File 2010 | Introduction 3
Our organization
Supervisory Board
Board of Management
Corporate Staff Departments
Business area Business area Business area

Decorative Paints Performance Coatings Specialty Chemicals
• Continental Europe • Marine and Protective Coatings • Functional Chemicals

• Northern and Eastern Europe • Car Refinishes • Industrial Chemicals
• UK, Ireland and South Africa • Industrial Coatings • Pulp and Paper Chemicals
• Canada • Wood Finishes and Adhesives • Surface Chemistry
• US • Powder Coatings • Chemicals Pakistan
• Latin America
• South East Asia and Pacific
• India and South Asia
• China and North Asia
Revenue 2009 €13.0 billion in % EBITDA 2009 €1.7 billion* in %
A A
A Performance Coatings 32 C A Performance Coatings 32
B Decorative Paints 35 B Decorative Paints 27 C
C Specialty Chemicals 33 C Specialty Chemicals 41
100 100
B *
Before incidentals B
Our Board of Management

Hans Wijers
Chief Executive Officer
• Former Senior Partner and Chairman of the Dutch office
of BCG
• Former Dutch Minister of Economic Affairs
• Non-executive director at Royal Dutch Shell.
Keith Nichols
Chief Financial Officer
• Former Group Treasurer of Corus Group plc
• Former Finance Director Logistics Division of TNT NV.
Leif Darner
Board Member responsible for Performance Coatings
• Former Board Member responsible for Chemicals
• Former Business Unit Manager of Marine and Protective
Coatings in AkzoNobel.
Rob Frohn
Board Member responsible for Specialty Chemicals
• Former CFO of AkzoNobel
• Former Business Unit Manager of Surface Chemistry
in AkzoNobel
• Non-executive director at Nutreco NV.
Tex Gunning
Board Member responsible for Decorative Paints
• Former CEO of Vedior NV.
• Former Group Vice-President South East Asia and Australia
of Unilever NV.
Our Supervisory Board

Karel Vuursteen Dolf van den Brink Antony Burgmans
Chairman Board Member Board Member
• Former CEO of Heineken • Former Member of the Managing Board • Former Chairman and CEO of Unilever NV
• Deputy Chairman and Member of the of ABN AMRO Bank NV. and plc
Board of Directors of Heineken Holding • Professor Financial Institutions University • Non-executive director of BP plc
• Chairman of the Supervisory Board of Amsterdam • Member of the Supervisory Boards
of TOMTOM NV. • Chairman of the Supervisory Board of SHV Holdings NV and AEGON NV.
• Member of the Supervisory Board of Nyenrode University.
of Henkel AG. Louis Hughes
Peggy Bruzelius Board Member
Uwe-Ernst Bufe Board Member • Former President and COO of
Deputy Chairman • Former CEO ABB Financial Services Lockheed Martin
• Former CEO of Degussa AG • Former Executive Vice-President SEB • Former Executive Vice-President
• Member of the Supervisory Boards of • Vice-Chairman AB Electrolux of General Motors
Solvay SA, Umicore SA and Kali+Salz AG • Non-executive director of Scania AB, • Chairman and CEO of InZeroSystems LLC
• Non-executive director of Sunpower Inc. A xfood AB, Syngenta AG, Husqvarna AB • Member of the Boards of Directors of ABB
and Diageo plc. AG and Alcatel-Lucent SA
Virginia Bottomley • Chairman Board of Directors of • Executive Advisor of Wind Point Partners.
Board Member Lancelot Asset Management
• Former Secretary of State for Health • Director Axel Johnson AB
and Member of the British Cabinet • Governor Stockholm School of Economics
• Former Secretary of State for • Chairman of the Swedish National Agency
National Heritage for Higher Education.
• Member of the House of Lords
• Chancellor of the University of Hull Peter Ellwood
• Governor of the London School Board Member
of Economics • Former Chairman of ICI plc
• Governor of the Ditchley Foundation • Former Group Chief Executive
• Non-executive director of BUPA of Lloyds TSB Group
• Executive Director of Odgers • Chairman of Rexam plc.
Ray & Berndtson
• Trustee of the Economist newspaper.
A few historical highlights
ICI’s Dulux paint

enters the retail market
Lacquer manufacturer Organon is founded in Oss,

ICI is founded via
Sikkens Lakfabrieken founded the Netherlands, and commences
the Aquitania Agreement
in Groningen, the Netherlands insulin production
1646 1792 1826 1911 1923 1926 1953
Silk manufacturer Courtaulds founded

in Essex, Great Britain
Nederlandse Kunstzijdefabriek (Enka)

Bofors forge founded in Sweden
is founded in Arnhem, the Netherlands
Akzo Nobel acquires Courtaulds.

Akzo Nobel acquires ICI
Best known brand: International
Algemeene Kunstzijde Unie (AKU) Akzo Nobel sells its human and
merges with Koninklijke Zout Organon animal healthcare businesses
to form Akzo to Schering-Plough
1969 1984 1994 1998 2000 2007 2008
Akzo and Nobel Industries merge

to form Akzo Nobel
Akzo Nobel’s Fibers groups is

KemaNobel merges with the company
divested and becomes the independent
Bofors to form Nobel Industries
company Acordis
Alfred Nobel
Decorative
Paints
Europe
Americas
Asia
AkzoNobel Fact File 2010 I Decorative Paints 9
AkzoNobel is the largest global supplier of Decorative Paints,

with a global portfolio of strong and leading brands.
More than 35 percent of revenue is from high growth markets.
• 2009 revenue €4.6 billion 2009 revenue breakdown

by segments in %
• 2009 EBITDA €487 million* C
A Decorative Paints Europe 54
• 21,940 employees at year-end 2009
B Decorative Paints Americas 32
C Decorative Paints Asia 14 B A
* Before incidentals 100
Every day, our products beautify and protect

residential and commercial buildings, as well as
infrastructure around the globe, and promote Product: Eco-premium solutions as % of sales
safety and good health. They bring color to
the world and furnish our homes and offices. 2007 15
And, importantly, they help to create a more 2008 15
sustainable society.
2009 22
Innovation is a priority, and we continuously

launch eco-premium products in all our Key value chains with carbon footprint assessment
markets. Our main brand Dulux has won
several awards – notably in the UK – honoring 2009 32
the sustainable nature of our products.
Our safety performance is also an important Total reportable rate of injuries per million hours
aspect of our business, and we show con-
stant improvement in our total reportable rate 2006 6.3
of injuries. 2007 5.7
2008 4.9
2009 4.7
Decorative Paints 2009 revenue by destination in %

Revenue by destination
21% 50%
North Europe
America
15%
Asia Pacific
10%
Latin
America
4%
Other regions
10 Decorative Paints | AkzoNobel Fact File 2010
Our Decorative Paints business supplies a full range of

interior and exterior decoration and protection products
for both the professional and do-it-yourself markets,
including paints, lacquers and varnishes, as well as
products for surface preparation (pre-deco products).
Strong brands from our portfolio We also supply building adhesives and floor Pre-deco products
leveling compounds and offer services such as • Fillers, wall treatments, sealants and putties
advice and training courses for applicators, as for consumers and professionals.
well as interior design and paint application.
Building adhesives
Our extensive product range is marketed under • Tile and floor adhesives and floor leveling
international and local brand names including compounds used in the building and
Dulux, Glidden, Sikkens, Levis, Flexa, Sico, renovation industry
Hammerite and Schönox. • Supplied for professional workers such
as tile, floor and parquet layers, interior
Some of our customers Market and business characteristics decorators and painters
The size of the global market for decorative • Direct to medium-sized.
paints is around €30 billion1.
Customers
Architectural coatings Our end-users can broadly be segmented
• Interior and exterior wall paints and trim into homeowners (either DIY or BIY – buy-it-
paints (lacquers) for consumers and yourself), professional painters serving home-
professionals. owners and commercial contractors. They are
served through a variety of outlets ranging
Woodcare and specialty products from big box chains such as The Home Depot,
• Lacquers and varnishes for wood B&Q and Leroy Merlin (serving mainly home-
protection and decoration owners) to independent dealers (serving
• Specialty coatings for metal, concrete both homeowners and professionals) and
and other critical building materials. company-owned stores focused on serving
professionals.
Decorative Paints in the world

Decorative Paints in the world
• Operations in
41 countries
1
Based on external sources and company estimates
AkzoNobel Fact File 2010 I Decorative Paints 11
Global market drivers and Innovations Top raw materials

developments Making decoration easy – convenience • Binders/resins
• Growing populations and GDP growth of application • Titanium dioxide
• Activity of residential and commercial • Cuprinol Sprayable – sprayable fence • Packaging materials
new-build and home sales treatment
• Global increase in importance of home • Hammerite Metalmaster – unique “wrap- Price drivers
and interior decoration around” metal protection spray coating • Oil prices
• Rise of middle class in high growth • Dulux PaintPod – automated, easy-to-use • Energy prices
markets wall paint application system. • Steel prices
• Legislative/regulatory pressures
on environmental and health issues Support professional painters with
(VOC, REACH) driving innovation tailor-made products and services
• Increasing importance of large scale • Sikkens object analysis, design support
outlets and marketing programs for painters
• Growth of importance of women • The Dulux Trade Environmental Wash System
as decision-makers and DDC (Dulux Decorator Centers) Paint
• Increasing importance of internet. Can Recycling – professional paint waste
management systems
Drivers for buying decision • Herbol Façade Certification Program
Retailers • Glidden SpeedWall – highly efficient
• Strong brands that attract customers interior wall paint with superior properties
• Innovation that drives demand and basket for the professional painter.
spend
• Category management capability. Eco-premium portfolio
Recent initiatives:
Trade customers • Dulux Trade Ecosure – water-based,
• Product quality, consistency and innovation high performance professional paint
• Product availability and service • Sikkens Rubbol XD – VOC-reduced,
• Technical and business support ultra durable professional trimpaint
• Strong brands supporting loyalty. • The Freshaire Choice – zero-VOC
consumer wall paint
• Dulux Light & Space – highly light reflective,
energy saving wall paint
• Herbol Symbiotec – nanotechnology based,
dirt repellent wall paint.
12 Decorative Paints | AkzoNobel Fact File 2010
AkzoNobel is market leader with 15 percent market share
AkzoNobel market positions by value
• No. 1
• No. 2 or 3
• >No. 3
• Export countries
Source: Euromonitor basis; AkzoNobel analysis 2009

AkzoNobel Fact File 2010 I Decorative Paints I Europe 13
Europe Antoine Fady

Managing Director Continental Europe
• 2009 revenue €2,531 million Segmentation and distribution channels

• Market split between DIY and trade
roughly 50/50 percent with minor
differences per country
• European markets reflect general
development in channel segmentation
Regional market characteristics - High share of small scale outlets (SSO)/
Mature markets (Continental, independent dealers versus large scale
UK/Ireland and Nordics) outlets in high growth markets declines
• Market growth slowed due to economic when markets become more mature
pressures – core growth maintained by and large scale outlets/big box chains
increasing home ownership and growing gain market share (>20 percent in mature Ruud Joosten
number of households, and ageing European markets) Managing Director Northern and Eastern Europe
housing stock - Independent dealers/wholesalers
• Rising individualism and trend away from bought by paint manufacturers and
do-it-yourself to “do-it-for-me” with use of transformed to company-owned stores
professional decorators due to increasing to balance dependence on LSOs and
consumer affluence – opportunity to secure/ serve professional painters.
develop high margin business through
enhanced service offer (decorator, painter).
High growth markets (Central Europe

including Russia, Turkey)
• Trading-up consumers from low to mid
and premium segments
• Rapidly growing market for wooden Richard Stuckes
garden furniture (huge woodcare Managing Director UK, Ireland and South Africa,
maintenance market). Building Adhesives
Market position and value

market position market value*
€ billion
Continental Europe 1 6.5

Northern and Eastern Europe 1 3.0
UK, Ireland and South Africa 1 1.8
* Based on external sources and company estimates

14 Americas I Decorative Paints I AkzoNobel Fact File 2010
Americas Pierre Dufresne

Managing Director Canada
• 2009 revenue €1,413 million • Canada

As market leader, AkzoNobel is present
in all channels of distribution
- Independent and company owned
paint stores
- Big Box (Rona, The Home Depot)
Regional market characteristics and mass merchants
• US: largest single market for coatings and - Small and mid-size outlets (BMR, PRO).
adhesives continues to be fragile. Economy • US
impacted by high unemployement, weak AkzoNobel goes to market with 11 well
consumer confidence and conflicting respected do-it-yourself and trade brands
signs among the main drivers of the through all primary channels of distribution, Erik Bouts
recovery: housing and manufacturing including: Managing Director United States
• Canada: typical mature market with - Big Box (The Home Depot and Lowe’s)
moderate growth rates - Company owned stores (Glidden
• South America: Stable growth after Professional Paint Centers)
periods of volatile macro-economic - Independent dealers (more than 4,000
conditions. locations)
- Distributors
Segmentation and distribution channels - Export.
North America
Fully segmented market (retail/trade approxi- Latin America
mately 50/50 percent) with developed distri- Varying market segmentation with specific
bution channel structure including independent outlet structure per country
dealers (trade and retail), company owned • Strong share of builder merchants in Brazil
stores (trade) and large scale outlets (retail). and hardware stores in Argentina Jaap Kuiper
• Limed share of classical large scale Managing Director Latin America
retail outlets.
Market position and value

€ billion
Canada 1 0.7
United States 3 5.5
Latin America 2 2.5
* Based on external sources and company estimates

AkzoNobel Fact File 2010 I Decorative Paints I Asia 15
Asia Jeremy Rowe

Managing Director South East Asia and Pacific (SEAP)
• 2009 revenue €632 million • China and North Asia: Increasing

consumer sophistication, particularly
on the health impact of paints and their
aesthetic contribution
• China and North Asia: The competitive
landscape is highly fragmented, with
Regional market characteristics the top five players accounting for around
• South East Asia and Pacific: Strong 40 percent. The remainder of the market
market growth expected, especially from is split between >8,000 local and regional
Indonesia and Vietnam manufacturers/brands.
• South East Asia and Pacific: An emerging
middle class is driving more urban house- Segmentation and distribution channels Amit Jain
holds, a move from non-permanent to per- South East Asia and Pacific Managing Director India and South Asia (ISA)
manent and unpainted to painted houses, • Mostly buy-it-yourself consumers where
and spending a greater percentage of their the consumer buys the product and a
disposable income on decoration professional does the painting – this is
• India and South Asia: India provides a 60 percent of our market. Have-it-done
tremendous market potential with a popu- and do-it-yourself are both 20 percent.
lation of over a billion people and per capita
consumption of paint as low as 1.5 liters India and South Asia
• India and South Asia: Consumers are • There are around 30,000 paint retailers in
upgrading to superior paint, with this India and South Asia and about 70 percent
category growing at almost 1.5 times the of them are serviced directly by paint
total market in the past five to six years. companies. These paint stores are largely
This is a reflection of consumers treating in Mom & Pop store format that seem to be
their homes as an extension of their stuck in a time-warp – basic, cluttered, dirty Peter Chen
personality and considering them to Managing Director China and North Asia (CNA)
be symbolic of their standing in society.
• The region is dominated by BIY consumers.

Around 40 percent of brand decision
Market position and value makers are women and this number
increases to 70 percent for colour
decision-making. Painting is contracted
€ billion
out to professional painting contractors.
South East Asia and Pacific 1 1.5 They influence end-customer choice,
especially in the builder and institutional
India and South Asia 2 1.5
segment.
China and North Asia 2 6.0
* Based on external sources and company estimates China and North Asia
• China is mainly dominated by BIY with
very little DIY presence.
Performance
Coatings
Car Refinishes
Industrial Coatings
Powder Coatings
AkzoNobel Fact File 2010 I Performance Coatings 17
We’re world leaders when it comes to performance

coatings. Over the years we’ve earned a rock-solid
reputation based on our innovative technologies,
first class service and flexible distribution.

by business unit in %
• EBITDA €594 million* E
A
A Marine and Protective Coatings 30
B Car Refinishes 21 D
C Industrial Coatings 17
* Before incidentals D Wood Finishes and Adhesives 17
C B
E Powder Coatings 15
Our brands include famous names such 100
as Sikkens, International and Interpon.
Performancecoatings have hundreds of uses.
We’ve divided them into five businesses: Product: Eco-premium solutions as % of sales
Marine and ProtectiveCoatings, Car Refinishes,
Industrial Coatings, Wood Finishes and 2007 17
Adhesives and Powder Coatings. Together they 2008 19
supplybusinesses ranging from construction
2009 18
to consumer electronics and shipping to
sports equipment.
Key value chains with carbon footprint assessment
We are a truly global business with 45 percent
of revenue coming from high growth markets. 2009 52
We have a strong focus on R&D and product

stewardship and continuously concentrate Total reportable rate of injuries per million hours
on innovations in the field of sustainable
technology. Currently, 18 percent of our sales 2006 6.1
are eco-premium products, with products 2007 5.7
such as Intersleek 900, Autoclear UV and
2008 4.8
Interpon leading the way.
2009 3.3
Safety is also an important parameter, and
we are proud to say that our trend shows
constant improvement. Performance Coatings 2009 revenue by destination in %
20% 41%
North Europe
America
25%
Asia Pacific
8%
Latin
America
6%
Other regions
18 Marine and Protective Coatings I Performance Coatings | AkzoNobel Fact File 2010

Ask any experienced sailor and chances are they’ll
recognize the red propeller logo of our International
marine coatings brand. But we don’t just produce
paints and antifouling materials for ships and yachts.
We also supply protective coatings for bridges and
buildings, including some major world landmarks. Bob Taylor Managing Director
Geo-mix revenue by destination in % • Revenue €1,260 million

• 5,250 employees, active in 54 countries
A Europe (includes Middle East A • Marine Coatings, Protective Coatings,
and Africa) 35 C Yacht Paints
B Americas 20
C Asia Pacific 45
100 B
Shown as a percentage of 2009 revenue Next time you visit the London Eye, Sydney
Harbor Bridge, the National Aquatics Center
in Beijing or see the world’s largest cruise liners,
Marine and Protective Coatings in the world you’ll know we’re helping to protect them.
Market and business characteristics

Marine Coatings
• Global market size is about €2.2 billion1
• End markets: New-building, repair
and maintenance of deep sea, coastal
and military vessels
• Market strongly dependent on new-building
activity while maintenance and repair is
a less cyclical business
• 90 percent of new-building market in Asia;
50 percent of ship owners Europe/Middle
East based
• Complex sales and distribution involving
• 17 manufacturing locations including eight R&D centers ship owners, shipyards and dry docks.
• Sales locations
Protective Coatings
• Global target market size is over €5.6 billion1
Market positions • Corrosion and fire protection across a wide
Europe Americas Asia pacific Globally range of industries including upstream
and downstream oil and gas facilities,
Marine 1 1 1 1
chemical and petrochemical installations,
Protective 1 2 1 1 high value infrastructure (airports, stadia,
Yacht 1 1 1 1 etc.), power generation and mining and
minerals markets
• Considerable market growth in China
Strong brands from our portfolio Some of our customers and India, together with significant growth
opportunities in Brazil, Russia, the Middle
BP Hanjin Shipping East and Africa
ExxonMobil Samsung • Complex supply chain involving architects/
GE Power Systems Shell engineers as specifiers and multiple
contractor levels
• Good market positions with high added
value products augmented by the recent
acquisitions of the Devoe, Ceilcote and
Enviroline brands.
AkzoNobel Fact File 2010 I Performance Coatings I Marine and Protective Coatings 19
Yacht Coatings Innovations Top raw materials

• Global market size is about €400 million1 • Intersleek series: Biocide-free antifouling • Epoxy resins and organic solvents
• Coatings to protect and beautify yachts for deep sea vessels (winner of Queen’s • Copper/zinc
from the smallest dinghy to the largest Award for Enterprise in Innovation 2007) • Curing agents
superyacht • Chartek: Passive hydrocarbon fire
• Superyacht segment has been growing protection for the onshore and offshore Price drivers
rapidly oil and gas industry • Oil feedstock chain
• Equal distribution between professionals • Intercure 99: An exciting new product • London metal exchange commodities
(yards) and retail (DIY) already coating the Bayer Arena in • Base chemical prices
• Brands (International, Interlux, Awlgrip) Leverkusen, Germany
are important • Intertherm 751 CSA: A revolutionary
• Customers: Lurssen, West Marine, plus a new product for the oil and gas industry
large number of unique, prestigious projects. • Interfine 1080: The performance of a
two-pack polysiloxane in a single pack
Strategy • Micron Antifoulings: High strength
“Creating growth through leadership” polishing antifoulings, providing
exceptional performance even in
Organic growth difficult fouling c
onditions.
Focus on Asia, Russia, Central/Eastern Europe,
Middle East, Africa and the Americas. Operational excellence
• DATAPLAN – the world’s largest and
Innovation most comprehensive database on marine
Developing products which add value to coatings – used to provide customers
customers and ourselves. with reports on coatings p
erformance and
customized fleet maintenance schedules
Acquisitions • WWF endorsement for Intersleek
Using opportunities for consolidation, especially (customer certificates)
in protective coatings markets. • We track every ship we paint
• We are improving our key performance
indicators every year.
1
20 Car Refinishes I Performance Coatings | AkzoNobel Fact File 2010
Car Refinishes
Car Refinishes is one of the world’s leading suppliers of paints
and services for the vehicle refinish, OEM commercial vehicles,
automotive plastics and aerospace coatings markets.
We provide coatings for original equipment and refinishing
applications to bodyshops, aircraft manufacturers, fleet owners,
automotive suppliers and major bus and truck producers. Jim Rees Managing Director
Geo-mix revenue by destination in % • Revenue €872 million

C
• 5,090 employees, active in more than
A Europe (includes Middle East 130 countries
and Africa) 51
A • Vehicle Refinish, OEM Commercial
B Americas 35 B Vehicles, Automotive Plastic Coatings,
C Asia Pacific 14 Aerospace Coatings
100
Shown as percentage of 2009 revenue

Car Refinishes in the world Vehicle Refinish
• Global market size is €4.5 billion1
• Paints and services for collision repairers
and commercial vehicle refinishers
• Market strongly dependent on GDP
and vehicle population size. Major growth
opportunities in high growth markets
• Value chain includes insurance
companies, fleet owners, car makers,
paint distributors and collision repairers.
OEM Commercial Vehicles

• Global market size is €640 million1
• Paints and services for OEM buses
and trucks and specialized commercial
• Manufacturing locations vehicle builders
• R&D locations • Market strongly dependent on GDP and
• Color Development locations new vehicle build rate. Big markets in
North America and Europe. Major growth
opportunities in high growth markets
Market positions • Market is a blend between true business-
Europe Americas Asia pacific Globally to-business industrial and car refinishes
approach.
Vehicle Refinish 3 4 3 3
OEM Commercial Vehicles 3 3 3 3 Automotive Plastic Coatings
Automotive Plastic Coatings 1 5 5 5 • Global market size is €1.0 billion1
Aerospace 2 2 2 2 • Coatings for automotive components
• Market strongly dependent on OEM
car production volumes. Significant
Strong brands from our portfolio Some of our customers opportunities in China, India, Latin
America and Eastern Europe
• Business-to-business market with
Tier 1 and Tier 2 OEM suppliers, but
closely connected to automotive OEMs.
AkzoNobel Fact File 2010 I Performance Coatings I Car Refinishes 21
Aerospace Coatings Growth trends Operational excellence

• Global market size is €250 million1 • Vehicle refinish – growth in all specified Health and safety
• External and internal coatings for high growth markets At all our sites we focus on safety by continuous
commercial, general aviation and military • OEM commercial vehicles – largest improvement of installations, behavioral safety
markets for both OEM application and growth in the BRIC as these economies training, self-assessment and auditing.
maintenance and repair expand and the requirement for modern
• Market strongly driven by commercial commercial transport increases. In the Supply Chain
sector (airlines), both in new-building medium term we still see a growth trend Integrated supply chain with worldwide cover-
and maintenance (livery changes) • The growth trend is still impacted due age supported by standardized sales and
• Complex manufacturer specifications. to the global OEM downturn. However, operational planning tools providing high
we did manage to outgrow the markets customer service levels and standardized
Strategy in 2009, and in general we feel we have product performance.
To challenge the number two position in the moved off the bottom.
global VR market, and to defend and grow Margin and pricing management
our number two position in Aerospace. By: Innovations Systems are in place to detect and control
• Driving profitable growth: We are intent on continuously bringing new margin leakage and to identify opportunities
- business operational excellence, organic technologies from our development pipeline to to enhance margins.
growth (and outpacing competition) in our customers. We do this through our exper-
major mature markets, developing a strong tise in polymer engineering, color formulation, Color science
position in high growth markets color science and state-of-the-art customer Our own color development centers and
• Participating in industry consolidation: services. Our focus is always on customer a globally accessible color database provide
- selective acquisitions profitability. a perfect color match for any customer any-
• Achieving operational effectiveness and • Mixit Pro: Sikkens online color formula where in the world.
building and maintaining value-creating retrieval software which is easy to use and
relationships with key external stakeholders: offers different reporting functions and
- key focus on color excellence, brand inventory management
management, key account management • Automatchic 3: Hand-held color checking Top raw materials
and distribution device which allows you to measure the • Colored pigments
• Maximizing employee performance car’s exact color and find the right color • Isocyanates, resins
and engagement formula in a matter of seconds
• Striving for world class levels of sustain- • UV LED gun: Innovative spraying device Price drivers
ability and safety: which enables you to spray and cure • Metals, base chemicals prices
- our ambition is to be acknowledged as the Autoclear UV. It offers increased process • Oil, energy prices
sustainability leader in both the aerospace efficiency, flexibility and energy savings
and global car refinishes industries. • StickerFix: The best and at the same time
easiest do-it-yourself solution to mask
High growth markets scratches and protect the vulnerable parts
Total revenue in Brazil, Russia, India, China, of your car
Eastern Europe, Mexico, Latin America and • Autoclear LV Exclusive: Self-healing
Turkey is €220 million. The high growth markets clearcoat which offers excellent scratch
revenue growth for Car Refinishes is linked to resistance and gloss retention by making
GDP growth and vehicles sales. minor scratches disappear when exposed
to (sunlight) heat
• In Aerospace, clear over base exterior
livery technology reduces weight as well
as throughput time, saving in maintenance
costs and fuel costs.
1
22 Industrial Coatings I Performance Coatings | AkzoNobel Fact File 2010
Industrial Coatings
From food and beverage cans, cell phones to building
products, AkzoNobel’s industrial coatings enhance
and protect thousands of products made from steel,
aluminum and plastic. Our coatings are renowned
for their high performance and trend-setting looks.
Conrad Keijzer Managing Director

• 2,240 employees, active in more
C
A Europe (includes Middle East than 50 countries
and Africa) 45 A
• Coil and Extrusion Coatings,
B Americas 29 Specialty Plastics Coatings
C Asia Pacific 26 and Packaging Coatings
B
100
Coil and Extrusion Coatings
Industrial Coatings in the world • Global market size is €2 billion1
• Coatings for metal building products
(commercial and residential), home
appliancesand automotive components
• Strongly dependent upon construction
activity which represents two-thirds
of the market
• Strong market growth in China, South
East Asia, India and Eastern Europe
as infrastructureand personal wealth
developsacross these regions
• New applications in this area are roofing
and auto OEM.
Specialty Plastics Coatings

• Manufacturing location • Global market size is €2 billion1
• R&D and design location • Coatings and film for consumer electronics,
cosmetic packaging, automotive
components and sporting goods
Market positions • Market growth driven by consumer
Europe Americas Asia pacific Globally buying power, technology advancements,
high growth markets and low cost
Coil and Extrusion Coatings 1 3 2 1
electronic infrastructure (wireless for cell
Specialty Plastics Coatings – – – 1 phones and computers)
Packaging Coatings 1 2 3 2 • Market characterized by personalization,
style and technology choices.
Our most important brand Some of our customers
Apple Crown
Arcelor Mittal Estée Lauder
Ball Impress
Bluescope Nokia
Corus Rexam
AkzoNobel Fact File 2010 I Performance Coatings I Industrial Coatings 23
Packaging Coatings High growth markets Operational excellence

• Global market size €1.5 billion1 • China is the focal point for our Asia Pacific Sales and operational planning
• Coatings for beer and beverage cans, activities. We are well positioned for growth By implementing a well-conceived sales and
food cans, caps and closures and general in this critical market through expanded operational planning process we are able to
line cans production facilities, a new regional R&D ensure high customer satisfaction with a reliable
• Our internal coatings provide the ultimate center and a dedicated team of employees and sustainable supply and with reduced costs
in product resistance, flexibility and • India is an important growth market and efficiently managed working capital.
adhesion. Our external coatings protect and expansion is going ahead in Bangalore
the outside of the can body, while to serve this region Health, safety and environment
retaining the attractive appearance • Brazil continues to be an investment focus We have established a globally standardized
of the finished cans for all our market sectors and we are safety approach which includes intensified
• The Aqualure range of internal waterborne capitalizing on these opportunities through training programs, active involvement of all
coatings is providing highest levels our São Paulo plant. employees to highlight any unsafe activities or
of protection. The Aquabase range working conditions, and regular safety audits
of external waterborne coatings enhances Innovations at all sites.
the appearance of the can Innovation is the key to long-term partnership
• Our commitment to R&D has led to with our customers. Operations
the introduction of waterborne coatings, The higher automation rate combined, with
UV curable products and powder coating We design and develop products that bring improved process control in almost all sites,
for diverse applications new sales and performance opportunities enhances the dosing accuracy and the product
• The beer and beverage can market to our customers and end-users. quality. Energy reduction programs are being
follows GDP and is impacted by global • “Cool Roof” heat reflective and extremely implemented at all locations.
entertainment events (e.g. football durable CERAM-A-STAR coil coatings
championships) which can boost for roofing
the demand for canned drinks • Vitalure 740, a product line consisting of
• The food can market follows basic food an interior coating and side seam stripe Top raw materials
consumption, the yield of the crops for paint cans launched in Latin America. • Polyester resins
in the main agricultural regions and The can liner protects the steel can from • Epoxy resins
the fishing output. corrosion by the paint and will extend • Glycol, ether and aromatic
the “best by” time limit for the paint by • Titanium dioxide
Strategy 50 percent.
• Organic growth with focused geo • FlexPress 3D transfer printing on Price drivers
penetration in China, Eastern Europe, plastic parts. • Basic feedstock prices
Middle East and South America • Oil/gasoline/naphtha/natural gas prices
• Strategic marketing and innovation
excellence
• Excellence in key account management
• Continuous alignment and engagement
of the entire new organization
• Improving people capabilities.
1
24 Wood Finishes and Adhesives I Performance Coatings | AkzoNobel Fact File 2010

AkzoNobel is the world’s predominant supplier of
industrial wood finishes and adhesives. Our innovative
products offer sustainable solutions for the bonding,
protection and decoration of everything wood.
John Wolff Managing Director

C • 3,770 employees, active in 40 countries
A Europe (includes Middle East
A • Wood Finishes, Wood Adhesives and
and Africa) 40
Board Resins
B Americas 40
C Asia Pacific 20
B
100
Shown as percentage of 2009 revenue Leading OEM manufacturers of cabinetry,
furniture, flooring and building products rely
on our stains, glazes, clear coats and primers
Wood Finishes and Adhesives in the world for lasting beauty and protection, with a re-
duced impact on the environment.
Manufacturers of wood products also rely on
AkzoNobel’s market-leading wood adhesives
and board resins as the bonding agents in
engineered wood and laminates. These prod-
ucts are used to make furniture, cabinetry,
flooring and constructive wood components
such as I-beams and window frames.

• Our new Wood Finishes and Adhesives
business places an increased focus on
the wood industry, which will enable us
to leverage customer contacts and market
• 21 manufacturing locations, including ten R&D Centers positions, improving our outlook for
• Research Centers growth in key markets
• In the wood industry, all segments were
adversely impacted by the dramatic
Market positions contraction of demand resulting from
Europe Americas Asia pacific Globally the global economic downturn
• Our focus during that time was reducing
Finishes 1 1 1 1
costs, rationalizing global capacityand
Adhesives 2 4 3 3 managing margins, balanced with main-
taining a high level of quality, innovation
and service to our customers
Strong brands from our portfolio Some of our customers • The markets in the mature regions
are now stabilizing and in the high growth
IKEA Masco countries, growth is returning.
Jeld-Wen Stora Enso Timber
Lacquercraft Swedwood
AkzoNobel Fact File 2010 I Performance Coatings I Wood Finishes and Adhesives 25
Wood Finishes High growth markets Operational excellence

• Global market size is €3.5 billion1 • China is the focal point for our Asia Pacific Customers
• Coatings for wood furniture, kitchen activities. We are poised for growth in this We strive for customer service excellence by
cabinetsand wood building products vital market, with well positioned production precisely matching customer needs in logis-
(flooring, paneling, windows, doors and facilities and further investments to expand tics, products and compliance. Awards from
exterior siding) the regional R&D center. These efforts, key customers – including WoodMark and
• Market strongly influenced by building led by a talented team of employees, have Masco – acknowledge our success.
activity, consumer confidence and GDP enabled us to penetrate new markets in
• Labor rates affect global industry the region Capital utilization
reallocationof products with high labor • Eastern Europe is an important developing We continuously upgrade our factories in
content (i.e. furniture). market for Wood Finishes and Adhesives. existing markets and plan for new factories
We are committed to expanding our or expansions in high growth markets.
Wood Adhesives and Board Resins capacity, distribution channels and support
Global market size is €1.8 billion1 capabilities to underpin our business Products
• Provides innovative combinations of adhe- growth objectives We design and develop products with both
sives and application equipment to meet • Brazil: We are looking to capitalize on the customers and society in mind – coatings
the specific production requirements of the growth opportunities that a stronger Brazil and adhesives with outstanding aesthetics
wood working industry (furniture, flooring, is providing. Our Sao Paulo plant provides and physical properties that also comply with
structural elements and wood panels) us with a solid foundation to support regulations and have a reduced impact
• Market development is dependent upon these ambitions on the environment. A recent award naming
building activities, consumer confidence • Vietnam remains a critical growth market AkzoNobel as Brazil’s best industrial paint
and GDP. for the Wood Finishes and Adhesives manufacturer exemplifies the success of
business and we are investing in additional our efforts.
Strategy capacity to support our growth plans
We want to improve our customers’ profit- • Total sales in high growth markets are
ability through value-added products and 35 percent.
services and migrate, change and innovate Top raw materials
with our customers, faster than our competi- Innovations • Solvents, titanium dioxide, pigments,
tors. We plan to invest in growth in high growth We design and develop products that exceed nitrocellulose
markets, manage performance in mature customer expectations, satisfy regulations and
markets and drive to the low cost position. provide sustainable solutions for our s ociety. Price drivers
• Bio-renewable and sustainable wood • Crude oil prices
It is our goal to grow organically and selec- adhesives achieve significant reductions • Propylene prices
tively acquire businesses that can be lever- in formaldehyde • Feedstock supply capacity
aged globally or that strategically strengthen • A new application process for wood • Construction demand
our position in key markets. We strive to run a adhesives increases customer productivity
socially responsible business encompassing and minimizes hazardous waste generation
People, Planet and Profit. • Patent-pending coatings combine s olvent
and waterborne technologies to signifi-
cantly reduce VOCs, while maintaining
desired solvent-borne performance
• Advancements in radiation and
waterbornecoating technologies reduce
solventemissions by 80-90 percent.
1
26 Powder Coatings I Performance Coatings | AkzoNobel Fact File 2010
Powder Coatings
More businesses around the world are switching to our
powder coatings. We’re the world leader in powder coatings
technology and the market leader in supplying the appliance,
architectural, automotive, furniture, IT and general industrial
markets. The Functional sub-business is maintaining its out
standing performance and is establishing a global footprint. Rob Molenaar Managing Director

• 3,470 employees, manufacturing
C
A Europe (includes Middle East in 28 countries
and Africa) 58
B Americas 15 A
C Asia Pacific 27 B Market and business characteristics
100 Powder Coatings
Shown as percentage of 2009 revenue • Global market size is €5 billion1
• End markets are architectural, automotive,
appliance, functional, furniture, general
Powder Coatings in the world industrial and general trade coaters
• Market growth driver:
- Global GDP growth – especially Asia
and Eastern Europe
- Product performance: tough, durable
and attractive coatings, low application
costs, distinctive technical performance
- Environmentally attractive – negligible
emission of VOCs, low energy usage
and little waste
- Appearance – unique special effects.
Strategy
• Consolidate global leadership position
• Anticipate geographical market movements
• Manufacturing locations and concentrate investment in high growth
• R&D locations markets by building local plants to meet
local needs
• Build leadership positions in high added
Market positions value segments
Europe Americas Asia pacific Globally • Maintain a significant position in bulk
commodities and leverage global leader-
Powder 1 1 1 1
ship to achieve lowest product costs
• Invest in technology development to create
new powder markets e.g. MDF, wood,
Strong brands from our portfolio Some of our customers plastic and automotive body coatings
• Deliver co-ordinated global service
to meet the needs of global customers.
1
AkzoNobel Fact File 2010 I Performance Coatings I Powder Coatings 27
Sustainable excellence Innovations Operational excellence

Powder coatings is the leading green coating Dry-on-dry primer basecoat system Single “virtual” European factory
technology. The emission of volatile organic • Eliminates a complete step in the • Local presence for rapid service and
compounds (VOCs) into the atmosphere is a baking cycle supply, delivering made-to-order products
major environmental issue and could cause • Reduces application costs and energy on three-day lead time
damage to the ozone layer and are ever more consumption • Stock products concentrated at specialist
strictly controlled. Powder coatings emit • Used on Chrysler Dodge Ram pick-up European centers, delivering lowest cost
negligible (VOCs) either in production or • First ever passenger car coated with manufacturing.
application. a powder basecoat.
Achieving market leadership in
We have successfully launched the following Automotive solid topcoat China while maintaining lowest
innovations: • Used by Tata Motors on their ACE operational costs
• Dry-on-dry primer and basecoat systems commercial vehicles • Tight operational management and lean
• Automotive solid color topcoats • First ever powder topcoated commercial organization structure
• High clarity, low temperature cure vehicle. • Continuous investment in production
clearcoats for alloy wheels capacity to match market growth.
• Thin film coatings using patented Particle Particle management technology
Management Technology • Adds value by cutting consumption, Multiple channels to market
• Technology for wood and plastic coating at higher per kilogram powder prices. • Centralized national distribution to
• Anti-corrosive powders increasing lifetime large users
of structures. Color mixing • Localized captive distribution and mixing
• Mixing of powder coatings like liquids plants for small users
to produce colors rapidly. • Agents and third party distributors in new
territories and those below critical mass.
Long-life coatings
• First with large scale commercial
fluoropolymer powders for exterior
coatings Top raw materials
• Unique non-zinc anti-corrosion primers. • Polyester and epoxy resins
• Titanium dioxide
Price drivers
• Gasoline/naphtha prices
Specialty
Chemicals
Surface Chemistry
Chemicals Pakistan
AkzoNobel Fact File 2010 I Specialty Chemicals 29
As a major producer of specialty chemicals with

leadership positions in many markets, we make sure
that industries worldwide are supplied with quality
ingredients for life’s essentials.

by business unit in % E
• 2009 EBITDA €738 million*
A Functional Chemicals 33 D A
B Industrial Chemicals 21
C Pulp and Paper Chemicals 21
* Before incidentals D Surface Chemistry 16 C
B
E Chemicals Pakistan 9
The operational performance of our Specialty 100
Chemicals business is among the best in the
industry. As a result, our products appear in a
remarkable variety of items we all use every Product: Eco-premium solutions as % of sales
day. In fact, they’re essential in everything from
ice cream to asphalt, soup to soap and plas- 2007 23
tics to paper. There are more than 2,000 items 2008 21
in our portfolio. We’ve grouped these into five
2009 20
businesses: Functional Chemicals, Industrial
Chemicals, Pulp and Paper Chemicals, Surface
Chemistry and Chemicals Pakistan. Key value chains with carbon footprint assessment
Our business is global with 32 percent of 2009 74

revenue coming from high growth markets,
while investments such as our new Ningbo
site in China prove our committment to Total reportable rate of injuries per million hours
continuing to grow in these markets.
2006 6.2
We have a strong focus on technology and 2007 6.0
R&D and continue to invest in new products
2008 3.7
and solutions for our customers. The success
of our GLDA green chelate is just one example 2009 2.8
of how this is paying off.
Safety is key to our performance and we are Specialty Chemicals 2009 revenue by destination in %
proud to say that our trend continues to show
improvement.
19% 48%
North Europe
America
20%
Asia Pacific
9%
Latin
America
4%
Other regions
30 Functional Chemicals I Specialty Chemicals | AkzoNobel Fact File 2010
Functional Chemicals has strong worldwide positions in
a variety of chemical intermediates, formulation ingredients
and process aids that serve a broad range of industries,
including: paints, detergents, automotive parts, agricultural
products, building materials, pharmaceuticals, foods,
adhesives, plastics and cosmetics. Bob Margevich Managing Director
Geo-mix revenue by destination in % • Revenue €1,479 million
C • 3,940 employees, active in more

A Europe (includes Middle East than 100 countries
and Africa) 51
A • Cellulosic Specialties, Chelates,
B Americas 26 Cross-Linking Peroxides, Thermoset
C Asia Pacific 23 B Chemicals and Polymer Additives,
100 Elotex, Ethylene Amines,
Shown as percentage of 2009 revenue High Polymers, Salt Specialties,
Sulfur Derivatives
Functional Chemicals in the world

Cellulosic Specialties
• Global market size €1.1 billion1
• Global supplier of two product lines:
Bermocoll and Carboxy Methyl Cellulose
(CMC)
• Bermocoll is a range of non-ionic cellulose
ethers used in paint and building applications
• CMC is an industrial and pharma/food
grade of anionic cellulose ethers
• Market growth is determined both by
the growth of the applications in which
they are used and by the rate of substitution
• 38 manufacturing locations of solvent-born systems by waterborne
• Six R&D locations products in paint applications.
Chelates
Market positions • Global market size €510 million1
Europe Americas Asia pacific Globally • Chelating agents are used in a number
of applications; they control the behavior
Cellulosic Specialties 2 3 4 3
of metal ions in water, a property used
Chelates 1-2 2 1 1 in industrial cleaning and pulp bleaching.
Cross-Linking Peroxides, Thermoset They are also used for “controlled dosing
Chemicals and Polymer Additives (XTP) 1 1 1 1 of metal ions” in applications such as
Elotex 2 2 2 2 micronutrients for plants and to address
Ethylene Amines 1 3 2 1-2 iron deficiency in humans and animals
• Growth of the chelates market follows
High Polymers 1-2 1-2 1 1-2
overall GDP. A broad variety of chelates
Salt Specialties 2* – – – are offered to the market to deliver tailor-
Sulfur Derivatives 1 1 4 1 made performance in different market niches.
* North West Europe
Cross-Linking Peroxides, Thermoset
Chemicals and Polymer Additives (XTP)
Strong brands from our portfolio Some of our customers • Global market size €670 million1
• XTP produces and sells specialty
Dow FMC chemicals to the polymer market
BASF Warwick • Organic peroxides are used in the
Yara Lyondell-Basell cross-linking of rubber, thermoplastics
Fenzi Henkel and e
lastomers
AkzoNobel Fact File 2010 I Specialty Chemicals I Functional Chemicals 31
• Organic peroxides and auxiliary chemicals Salt Specialties Innovations

are used in the curing of unsaturated • North West European market size • Use of membrane technology to synthesize
polyester and other composite resins €550 million1 waste-free products
• Additives for polymers are used in the poly- • Salt Specialties is one of the world’s major • Development of a new chelate,
mer compounding and processing industry suppliers of salt. Its salt is used in a variety Dissolvine GL, from renewable raw materials
• Market growth is driven by consumer of applications; from food processing to for domestic and industrial dishwashing
markets. pharmaceuticals, from water softening to and others
agriculture, from household salts to a broad • Bio-degradable products
Elotex variety of other industrial applications. • Developments in pelletizing (steel)
• Global market size €810 million1 and paper segments bringing both cost
• Elotex is a leading international producer Sulfur Derivatives savings and sustainability advantages
of building material additives, supplying • Global market size €370 million1 • OneGrain salt technology to lower s odium
the ready-mixed mortar industry with high • Global supplier of two separate product content for health benefits
quality specialty polymers and additives lines: Polysulfides and Sulfur Products • Fuzebox, a sustainable technology
• Redispersible Powders are used in dry • Polysulfides are semi-finished liquid elas- in corrosion protection
mix mortars to improve the adhesion and tomers, used in sealants for insulating • Continuous initiator Dosing (CiD) technology
cohesion behavior of mortars in a prede- glass, aircraft fuel tanks and high-end for PVC productions which reduces batch
signed and high quality standard way applications in the construction industry times and therefore increases output with
• Unique competence in powder technology • Sulfur Products provide sulfur containing minimal investments.
to develop products for new segments. building blocks for various commercial
processes based on Carbon Disulfide Operational excellence
Ethylene Amines (CS2) and its derivatives. • Manufacturing – all of the business’ plants
• Global market size €1 billion1 have conducted operational excellence
• Ethylene Amines are the basic building Strategy programs to maximize output and to
blocks for a range of chemicals used in • Geographical expansion – especially minimize costs plus reduce CO2 emissions
the production of many invaluable everyday in China (Ningbo) through reduced energy consumption
products and are therefore somewhat • Business opportunities • Logistics and supply chain
insensitive to short-term economic cycles - Green chemistry – growth in sustainable • Customer intimacy, technical support.
• Product areas include chemical intermedi- products and segments
ates for the production of bleach activators - Innovative products
for heavy duty detergents, textile softeners, - Industry consolidation
fungicides, chelates, plastics and resins, • Improved asset utilization Top raw materials
automotive and pharmaceutical ingredients. • Benefit from restructurings, including • Aluminum powder
the merger of Functional Chemicals • Ammonia, ethylene, methane, methanol
High Polymers and Polymer Chemicals. and propylene
• Global market size €800 million1 • Chloroformates/acid chlorides
• Producer of organic peroxides and metal High growth markets • Chlorine and caustic
alkyls, used as initiators and co-catalysts High growth markets are key for growing our • Cumene, ethylene, methyl ethyl ketone
in the production of polymers business. Recent investments include: and t-Butyl hydroperoxide
• Applied in production of acrylics, EPDM, • Ningbo, a €275 million investment including • Sulfur
polyethylene, polypropylene, polystyrene infrastructure and product facilities for • Salt
and PVC Chelates (2009), Ethylene Oxide (2010),
• Supplier of high purity metal organics Ethylene Amines (2010), and Organic Price drivers
for Light Emitting Diodes (LED) and solar Peroxides (2011). • Crude oil
cells industry, providing sustainable • Gas
and efficient light and energy sources • Sulfur
• Market growth is determined by growth • Salt
of plastics industry (particularly PVC), • Energy
polyolefins and semi-conductor • Commodities
applications (LEDs).
1
32 Industrial Chemicals I Specialty Chemicals | AkzoNobel Fact File 2010
Industrial Chemicals produces salt and energy, chlor-alkali
products and derivatives such as monochloroacetic acid.
We are Europe’s largest producer of vacuum salt and a
leading supplier of chlorine, caustic lye, and monochloro-
acetic acid (MCA) used in the chemical, detergent,
construction, food, pulp and paper and plastic industries. Werner Fuhrmann Managing Director
Geo-mix revenue by destination in % • Revenue €949 million, excluding joint

BC
ventures
A Europe (includes Middle East • 1,820 employees, manufacturing plants

and Africa) 93 in six countries
B Americas 4 • Chlor-Alkali, Energy, Monochloroacetic
C Asia Pacific 3 Acid, Salt
100 A
Our products are essential in daily life and are

Industrial Chemicals in the world used in the manufacture of, among others,
vehicles, glass, pharmaceuticals, textiles and
disinfectants. Cogeneration units, partly
operated jointly with a Dutch energy company,
enable us to make efficient use of combined
heat and power to assist in the production of
vacuum salt and chlor-alkali products.

Chlor-Alkali
• European market size is about 11 million1
tons of chlorine
• European market size for caustic lye
is about 12 million1 tons
• Chlorine is used for the production of
• Manufacturing plants in six countries construction materials, car components,
• Three joint ventures pharmaceuticals. The business has a
• R&D healthy spread of downstream applica-
tions in PVC (window frames, pipes),
polyurethanes, epoxies and a number
Market positions of specialty applications
EUrope Globally • Caustic lye is a widely used alkali in
the chemical, pulp and paper, textile,
Caustic (merchant) 1
food and mineral industries
Chlorine (merchant) 1 • Chloromethanes include a range of
MCA 1 products, which are widely used, e.g.
Salt (chemical transformation) 1 for pharmaceuticals and agrochemicals,
silicones, methyl cellulose, surfactants,
water treatment chemicals, refrigerants
and fluoropolymers
Our most important brand Some of our customers
Bayer
Huntsman
Shin-Etsu
AkzoNobel Fact File 2010 I Specialty Chemicals I Industrial Chemicals 33
• Management of chlorine in chemical clusters Two tier growth model

is based on state-of-the-art technology
and pipeline connection with customers
• Water treatment chemicals for waste/ Vertical integration
drinking/cooling water treatment and in manufacturing Leveraging market positions
sodium hypochlorite for cleaning, bleaching, • Cost leadership • Market leadership
disinfection
• Focused team to collect, upgrade, sell
hydrochloric acid and hypochlorite built
on efficiency, quality and service. Business leadership; Healthy sustainability profile
Monochloroacetic Acid
• Global market size is about 600 kt1,
expected to grow especially in Asia Innovations An integrated business model
• China is by far the fastest growing market Our innovation has a clear focus on sustain- Our integrated business model includes both
• MCA is an intermediate used for a variety ability. Our list of recent product and process internal and external customers. It all starts
of end products such as thickening developments is a proof point of this: with energy, which counts for about 80 percent
agents (for use in oil and mining industries, • Biomass as alternative fuel (Mariager) of the raw material used. By means of cogen-
food, personal care and detergents), • Fuel cell pilot plants in Delfzijl and Bitterfeld eration, gas is converted into steam and elec-
agro chemicals, surfactants, adhesives, • Remote controlled chlorine units tricity. The steam and the brine are used to
pharmaceuticals and cosmetics • Secondary use of salt caverns (storage produce salt. Salt and electricity eventually
• Our technology allows cost-effective of gas, nitrogen, oil) result via electrolysis in chlorine, caustic and
production of high purity MCA coupled • Pharma grade quality products hydrogen.
with the lowest environmental footprint (ferric chloride, salt)
available in the market. • High concentration products (hypochlorite)
• Benign, biodegradable anti-caking agent
Salt for salt. Top raw materials
• Focused on vacuum salt • Fuels (for cogeneration)
• Main applications in chemical transforma- Operational excellence • Power
tion (CT) for the production of chlorine/ Safety • Acetic acid
caustic lye and salt specialties (captive) Focus on health, safety and environment is
• The business is market leader in the an integral part of how we do business. As a Price drivers
CT segment in Europe and provides responsible manufacturer and supplier, we • Oil, gas and coal prices
an ultra pure salt type ready to be used meet and often surpass industry standards. • Methanol prices
in chlorine production We are dedicated to preserving the environ-
• The business has a strong captive position ment and to being a responsible community
in salt specialties (industrial, consumer). member.
Strategy
• Focus on operational excellence
• Cost leadership (efficiency, innovation)
• Maintain/attain market leadership.
1
34 Pulp and Paper Chemicals I Specialty Chemicals | AkzoNobel Fact File 2010

Pulp and Paper Chemicals, which trades as Eka Chemicals,
is the world’s leading producer of bleaching chemicals
used in the manufacture of paper pulp. Eka supplies
process chemicals and performance chemicals that
improve the properties of paper, as well as systems
and integrated services for the pulp and paper industry. Jan Svärd Managing Director

C • 2,570 employees, locations
A Europe (includes Middle East in 28 countries
and Africa) 45 A
• Pulp and Paper Chemicals,
B Americas 40 Specialty Products
C Asia Pacific 15 B
100
Eka Chemicals also produces specialty
Pulp and Paper Chemicals in the world chemicals, having synergies in our pulp and
paper business, with applications in areas
such as water treatment, explosives, coatings
and the pharmaceutical industry.

• Eka Chemicals is the global market leader
in bleaching chemicals for pulp manufac-
turing and performance chemicals for paper
production
• For relevant segments, mainly process
and functional paper chemicals and
bleaching chemicals, the global market
is around €9 billion1
• Paper and board consumption is driven
• Manufacturing locations by growth in high growth markets with more
than 60 percent of new capacity expected
in China. Globally, printing papers are
Market positions negatively influenced by new technology.
Europe Americas Asia pacific Globally Low profitability is driving restructuring of
the industry in Europe and North America
Bleaching chemicals 1 1 1 1
• Pulp production is moving to regions with
Paper chemicals Strong positions in relevant segments fast growing plantation based species
• Cost increase (fiber, energy), environmental
issues, increased use of recycled fibers and
Strong brands from our portfolio Some of our customers larger and faster machines drives demand
for innovative chemistry and new products.
App
Fibria
Stora-Enso
1
AkzoNobel Fact File 2010 I Specialty Chemicals I Pulp and Paper Chemicals 35
Specialty products Critical success factors Innovations

Businesses with leading positions, creating Improve our customers’ cost position by part- Through our continuous, focused research
synergies with our pulp and paper chemicals, nership, by addressing – in a sustainable way. and development, we aim to remain the most
representing approximately 15 percent of our • Fiber yield cost-effective supplier of bleaching and paper
turnover. • Energy consumption chemicals worldwide. We are also committed
• EXPANCEL (expandable thermoplastic • Capital utilization and improvement of the to supplying world class expertise on manu-
microspheres) with a variety of applications value of customers products facturing processes for all kinds of wood
• Separation products. KROMASIL – • Water management fibers, including eucalyptus, bagass and
purifying of pharmaceuticals • Supply chain structuring. various regional fibers. We file for around 20
• PERMASCAND – equipment for electro- patents yearly. Some of our recent innova-
chemical and other advanced industries Development of new systems and products tions include:
• Industrial Specialties. Leading in colloidal by innovative chemistry from a solid platform. • New bleaching sequence reducing energy
silica and high purity alkali for pharma, Implementation of modern industrial IT to consumption
food and electronic industry eliminate costs and improve efficiency in the • New water treatment technology replacing
• PURATE – small scale chlorine dioxide value chain. traditional biocides
water purification replacing biocide and • The Chemical Island concept
non-wood bleaching. High growth markets • Remote monitoring of chemical plants
• High growth markets constitute around • Retention concept (Compozil Fx) which
Strategy 25 percent of Eka’s pulp and paper is used in seven of the ten largest paper
Different regions demand different chemicals business machines at global level.
strategies • Long-term growth opportunities are in
• In all markets expanding pulp industry in South America Operational excellence
- Growth by development of innovative due to low cost fiber supply and modern • Chemicals management services to the
chemicals from a solid platform efficient mills and in expanding paper customers’ mill: Use of modern industrial
• Mature markets industry in Asia due to growing economies, IT to reduce costs and improve efficiency
- Traditional paper and board markets particularly China in the value chain
(North America, Western Europe, Japan, • Major investments are in Chemical Island • Remote monitoring and control of chemical
South Korea). Currently enhanced major installations and in paper chemicals in Asia, production and usage at customer sites,
asset restructuring and cost reductions primarily China. More than €100 million from Vendor Managed Inventory (VMI) and
in the supply chain for mature markets in recent years. on-site production, to full responsibility for
• High growth markets a mill’s total chemical supply (Chemical
- Regions with growth in paper demand Island concept).
(China, South East Asia, Brazil). Growth
investments in paper chemical plants
and in technical support organization
for customers in development Top raw materials
- Regions with readily available fiber • Energy
raw materials (South America, • Salt and rosin
Indonesia, Russia) • Polymers
- Growth investments in bleaching
chemical plants and technical support Price drivers
in value chain – Chemical Island concept. • Energy prices and logistic costs
• Power costs (electricity)
36 Surface Chemistry I Specialty Chemicals | AkzoNobel Fact File 2010
Surface Chemistry
We develop, manufacture and market a unique spectrum
of specialty surfactants and polymers. Our products are
used in everything from agricultural chemicals and personal
care products to industrial applications.
Frank Sherman Managing Director

C
• 1,480 employees, active in 50 countries
A Europe (includes Middle East
A • Surfactants, synthetic polymers and
and Africa) 38
biopolymers
B Americas 51
C Asia Pacific 11 B - 45 percent of sales from
100
eco-premium products
Shown as percentage of 2009 revenue - Leadership positions in attractive
market segments
Surface Chemistry in the world
We develop, manufacture and market a

unique spectrum of specialty surfactants and
polymers. These products are used in con-
sumer product and industrial applications.
Surface science expertise is combined with

deep application knowledge to provide sus-
tainable solutions and deliver value added
formulation ingredients and process aids to
our customers.

Agricultural chemicals
• 13 manufacturing locations • Market size approximately €1 billion1
• Six R&D locations • Inert additives that act as adjuvants,
• Four regional headquarters dispersants and emulsifiers for herbicide,
fungicide and insecticide formulations
• Growth drivers include biotechnology,
Market positions biofuels, environmental regulations,
Europe Americas Asia pacific Globally farming efficiency, water management
and population growth
Industrial 1 2 2 1
• Market highly concentrated to a few
Agricultural 1 1 1 1 global and several regional agro-chemical
Home and personal care 3 3 5 3 formulators.
Household and institutional cleaning

Strong brands from our portfolio Some of our customers • Market size €1.8 billion1
• Active ingredients for fabric care, hard
Armeen Amphomer Elementis Potash Corporation surface cleaning, disinfectants, carpet
Arquad Naviance GE of Saskatchewan cleaners and other formulated products
Berol Alcogum Monsanto Unilever • Growth drivers include sustainable
Morwet Alcosperse Procter & Gamble chemistries, environmental regulations,
lower cost benefits and rising disposable
income in high growth countries
AkzoNobel Fact File 2010 I Specialty Chemicals I Surface Chemistry 37
• Market is concentrated in a few global Strategy: growth, innovation, Innovations

consumer and institutional cleaning and high performance Leveraging unique chemical expertise, process
companies. Mega retailers driving cost Drive growth by technology and application know-how, we
out of the supply chain. Differentiation • Targeting niche applications in provide market and customer solutions with a
based on greener products, sensory attractive markets focus on sustainabililty.
benefits and consumer convenience. • Promoting sustainable solutions Examples include:
• Investing in developing regions, where • Household cleaning – Biodegradable,
Personal care our customers are growing aqueous cleaning formulations reducing
• Market size €4 billion1 • Pursuing external business development use of organic solvents
• Functional ingredients for hairspray, hair (e.g. M&A, licensing, alliances, etc.). • Personal care – Biopolymer-based hair gels
styling, skin care, sun care and cleansing • Fabric care – Biodegradable polymer
• Growth drivers include rising disposable Drive innovation by improving the efficiency of fabric softeners
income in high growth countries, natural • Leveraging technology platforms and • Asphalt roads – Lower temperature
actives, anti-aging and sensory benefits product families across multiple market formulations reducing energy consumption
• Highly concentrated market with segments and VOC emissions
70 percent of the market served by • Exploiting unique surfactant-polymer • Oilfield – Biodegradable hybrid polymers
15 global companies. technology synergies. oilfield drilling additives for corrosion
inhibition and dispersion
Petroleum and water treatment Drive high performance by • Proprietary glyphosate adjuvants –
• Market size €1.5 billion1 • Leveraging AkzoNobel scale and Increased efficacy and concentration
• Functional additives for oilfield drilling, market synergies of glyphosate herbicides.
production and stimulation, fuel and • Optimizing matrix organization to
lubricant additives and water conditioning deliver customer value Operational excellence
• Growth drivers include crude oil and natural • Increasing diversity and investing • World class technology and global
gas prices, green chemistry, offshore in our people. manufacturing supply chain
deep-well drilling, secondary oil recovery, • Backward integration of key building
lower auto emissions and fuel efficiency Developing regions blocks (EO, fatty acid, nitrile amines)
• Highly cyclical markets with a complex Recent investments in developing • Strategic supply relationships for key
supply chain (chemical suppliers > formu- regions raw materials
lators > service companies > end users). • Specialty polymers manufacturing • Deep surface chemistry expertise
plant – Shanghai and application know-how
Various industrial applications • Acquisition of IAAS (adjuvant tank mix • Leader in sustainable products
• Market size €1 billion1 applications) – emerging opportunities and operations processes.
• Process aids and chemical intermediates in Eastern Europe
for mining, asphalt road paving, textiles, • Personal care and asphalt applications
coatings and chemical intermediates laboratory in Mumbai, India
• Growth drivers include infrastructure • Surfactants and polymers laboratory Raw materials
investment (roads, housing, coatings), in China technical center – Shanghai • Animal fats and vegetable oils,
crop fertilizers, renewable feedstocks, • Asphalt labs in Brazil, China and former • Starch (corn, potato, tapioca)
reduced energy and water use, population CIS countries. • Ethylene oxide
growth and emerging technologies (nano- • Acrylates
particles, ionic liquids, supraconductors) • Alcohols
• Diverse mix of market characteristics and
applications, encompassing performance Price drivers
chemicals delivering a function (e.g. mining, • Biofuels and food prices
coatings, asphalt applications) and • Ethylene prices
specification products delivering a • Propylene prices
molecule (e.g. chemical intermediates). • Oil and gas prices
1
38 Chemicals Pakistan I Specialty Chemicals | AkzoNobel Fact File 2010
Chemicals Pakistan
Chemicals Pakistan, along with the Industrial and
Refinish coating segments, operates under the umbrella
of ICI Pakistan Limited, a listed company in Pakistan
with 75.8 percent of shares held by AkzoNobel.
Waqar A Malik Chief Executive ICI Pakistan
Locations Chemicals Pakistan • Revenue €405 million Life Sciences

• Market size €1.2 billion1 (pharmaceuticals
• 1,330 employees
€1.1 billion1, animal health €75 million,
• Polyester Fiber, Soda Ash, seeds €29 million)
Life Sciences, Chemicals • The Life Sciences business comprises
and Decorative Paints four segments: Pharmaceuticals, Animal
Health (veterinary and poultry medicine,
feed for livestock), Seeds (sunflower, fodder
and corn) and the newly launched Vegetable
The company focuses almost exclusively on Seeds segment. Each has a portfolio of
Pakistan. The main areas of expertise include leading brands that are both imported
soda ash, polyester fiber, pharmaceuticals, and locally toll manufactured.
animal health and agriculture products,
decorative paints and a host of specialty Chemicals
• Regional offices chemicals. With a diversified product range, • Market size General Chemicals
• Business offices and warehouses practically every key industry in Pakistan is €1.7 billion1, Specialty Chemicals
serviced, prominent among which are textile, €10 million1
construction, pharmaceuticals, personal • Specialty Chemicals manufactures and
Market positions care, food and beverage, agriculture and markets textile auxiliaries, woodworking
household appliances. adhesives, poly vinyl chloride adhesives
business and crop protection emulsifiers, while
Polyester 3 Market and business characteristics General Chemicals includes a trading
Soda Ash 1 Polyester fibers house; marketing a range of industrial
• Market size €560 million1 chemicals sourced from renowned world-
Life Sciences • Polyester Staple Fiber (PSF), is a man-made wide principals, and supplies polyurethanes
Pharmaceuticals 21 fiber widely used in the textile industry for the appliance industry and seating
Animal Health 3
in the production of blended yarn, fabrics for the automotive sector. The diverse
and clothing. Other applications include product ranges of both segments extend
Seeds 2
the use of PSF in bedding and bed linen, to almost all major industrial applications
Chemicals filler, carpets and tents as a leading supplier.
• Ranked second in the Industry
General Chemicals • Current capacity of Polymer is 130 ktpa Decorative Paints
(Trading House) 2
and PSF 128 ktpa • Market size €68 million1 (95 million liters)
Specialty Chemicals 3 • The business provides customers which • The Decorative segment offers a wide
Decorative Paints 1 unmatched technical support and has array of water/solvent-based products.
strong manufacturing performance indi- The business caters to all consumer
cators which rival the best in the industry. segments, offering basecoats (primers/
Strong brands from our portfolio putty), emulsions and enamels in all tiers
Soda Ash • The industry leader with annual production
• Market size €85 million1 of more than 35 million liters, the business
• Soda Ash is a prime raw material used offers a complete range of products to
in the manufacture of glass, soaps, cater to the growing needs of the market
detergents, paper silicates and textiles. with a primary focus on expanding and
Construction, hygiene, packaging and the improving service levels for customers.
paper industry are the key drivers of growth
• With a capacity of 350 ktpa, the business
is the leading manufacturer of soda ash
in Pakistan and has continuously expanded
and modernized to retain its market
leadership position.
1
AkzoNobel Fact File 2010 I Specialty Chemicals I Chemicals Pakistan 39
Strategy Chemicals Operational excellence

We aim at delivering sustainable profit through • General Chemicals: A new supplier, • Excellent Health, Safety and
aggressive organic and inorganic growth. Johnson Diversey, has been developed, Environment (HSE) record
To do so we focus on: heralding our entry into the food and • Strong manufacturing base – best in class
• Remaining innovation focused by introducing beverage segment in a substantial way in operating efficiencies
new profitable solutions • Specialty Chemicals: Boiler optimization • Customer focus
• Expanding geographic scope (Soda Ash has led to energy and capital advantages. • Unmatched technical support
and Chemicals) Condensate recovery plan introduced at • Reputation for pioneering innovative
• Building manufacturing scale (Soda Ash) plant which will result in gas and water solutions
• Enhancing channel growth and leadership savings. • Channel understanding and strength.
(Soda Ash and Pharmaceuticals)
• Successfully incorporating AkzoNobel Life Sciences
product offerings (Chemicals) Pharmaceuticals: Launched Glibetic, an oral
• Continuously striving for excellence combination anti-diabetic in unique bi-layered Top raw materials
in business operations tablet form, which offers consumers a pre- • MEG
• Building scale for Dulux, driving value dictable dosage response. Seeds: Introduced • PTA
share and creating brand stretch a technique for intercropping sugarcane with • Acetic acid
(Decorative Paints) sunflower to maximize utilization of available • Hard coke
• Improving profitability through focused acreage. • Raypol 4218
innovation and insight driven consumer • Lisinopril dihydrate
communication (Decorative Paints) Decorative Paints
• Increasing network coverage by focusing • Developed modernized retail outlets and Price drivers
on brand availability, visibility and channel state-of-the-art color studios to meet • Oil and naphtha
engagement (Decorative Paints). international standards and offer point • Polyethylene oxide
of sale tinting technology, advanced color • USD fluctuation
Innovations selection tools and other services that • Base chemicals prices
Our businesses have been built on the spirit ensure a better, more accurate paint
of constant innovation. Some recent succes selection process for customers
sful innovations are: • Mobile Color Solution Center, a state-of-
the-art Dulux-branded mobile shop, was
Polyester fiber launched to provide services similar to a
• Development of a cost-effective recycled premium retail outlet. It visits residential
polyester fiber demanded by customers and commercial localities in large urban
to compete in a price-sensitive segment centers to provide products and services
of the market to our consumers literally on their doorstep
• Reduction in packaging waste by increasing • Dulux raised the bar on service by intro-
polyester bale size and removal of poly- ducing a dedicated customer services
ethylene wrapper without compromising department to offer quick, easy access
on product quality. to a wide array of technical solutions and
inspirational designs. Our toll-free helpline
(0800-Dulux) is helping our customers
nationwide.
40 Additional information I AkzoNobel Fact File 2010
Financial calendar
Report for the 2nd quarter 2010 July, 23, 2010
Report for the 3rd quarter 2010 October 21, 2010
Report for the 4th quarter and the year 2010 February 17, 2011
Safe harbor statement

This document contains statements which address such key issues as
AkzoNobel’s growth strategy, future financial results, market positions,
product development, products in the pipeline, and product approvals.
Such statements should be carefully considered, and it should be
understood that many factors could cause forecasted and actual r esults
to differ from these statements. These factors include, but are not
limited to, price fluctuations, currency fluctuations, developments in raw
material and personnel costs, pensions, physical and environmental
risks, legal issues, and legislative, fiscal, and other regulatory measures.
Stated competitive positions are based on management estimates
supported by information provided by specialized external agencies.
For a more comprehensive discussion of the risk factors affecting our
business please see our latest Annual Report, a copy of which can be
found on the company’s corporate website www.akzonobel.com.
Brands and trademarks

In this Fact File, reference is made to brands and trademarks owned by, or
licensed to, AkzoNobel. Unauthorized use of these is strictly prohibited.
AkzoNobel
Strawinskylaan 2555
P.O. Box 75730
1070 AS Amsterdam, the Netherlands
Tel: +31 20 502 7555
Fax: +31 20 502 7666
Internet: www.akzonobel.com
AkzoNobel Corporate Communications

Tel: +31 20 502 7833
Fax: +31 20 502 7604
E-mail: [email protected]
AkzoNobel Investor Relations

Tel: +31 20 502 7854
Fax: +31 20 502 7605
E-mail: [email protected]
www.akzonobel.com
AkzoNobel is the largest global paints and coatings

company and a major producer of specialty chemicals.
We supply industries and consumers worldwide with
innovative products and are passionate about developing
sustainable answers for our customers. Our portfolio
includes well known brands such as Dulux, Sikkens,
International and Eka. Headquartered in Amsterdam,
the Netherlands, we are a Global Fortune 500 company
and are consistently ranked as one of the leaders on
the Dow Jones Sustainability Indexes. With operations
in more than 80 countries, our 55,000 people around
the world are committed to excellence and delivering
Tomorrow’s Answers Today™.
03413_280510
© 2010 Akzo Nobel N.V. All rights reserved.

“Tomorrow’s Answers Today” is a trademark
of Akzo Nobel N.V.

Akzonobel Fact File 2010 tcm9-5802 3 PDF

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Akzonobel Fact File 2010 tcm9-5802 3 PDF

Uploaded by

Copyright:

Available Formats

Delivering Tomorrow’s

Dow Jones Sustainability Indexes

Corporate Staff Departments

Business area Business area Business area

• Continental Europe • Marine and Protective Coatings • Functional Chemicals

Revenue 2009 €13.0 billion in % EBITDA 2009 €1.7 billion* in %

Our Board of Management

Our Supervisory Board

A few historical highlights

ICI’s Dulux paint

Lacquer manufacturer Organon is founded in Oss,

1646 1792 1826 1911 1923 1926 1953

Silk manufacturer Courtaulds founded

Nederlandse Kunstzijdefabriek (Enka)

Akzo Nobel acquires Courtaulds.

1969 1984 1994 1998 2000 2007 2008

Akzo and Nobel Industries merge

Akzo Nobel’s Fibers groups is

AkzoNobel is the largest global supplier of Decorative Paints,

• 2009 revenue €4.6 billion 2009 revenue breakdown

Every day, our products beautify and protect

Innovation is a priority, and we continuously

Decorative Paints 2009 revenue by destination in %

Our Decorative Paints business supplies a full range of

Decorative Paints in the world

Global market drivers and Innovations Top raw materials

AkzoNobel is market leader with 15 percent market share

AkzoNobel market positions by value

Source: Euromonitor basis; AkzoNobel analysis 2009

Europe Antoine Fady

• 2009 revenue €2,531 million Segmentation and distribution channels

High growth markets (Central Europe

Market position and value

Continental Europe 1 6.5

* Based on external sources and company estimates

Americas Pierre Dufresne

• 2009 revenue €1,413 million • Canada

Market position and value

* Based on external sources and company estimates

Asia Jeremy Rowe

• 2009 revenue €632 million • China and North Asia: Increasing

• The region is dominated by BIY consumers.

We’re world leaders when it comes to performance

• 2009 revenue €4.1 billion 2009 revenue breakdown

We have a strong focus on R&D and product

Marine and Protective Coatings

Geo-mix revenue by destination in % • Revenue €1,260 million

Market and business characteristics

Yacht Coatings Innovations Top raw materials

Geo-mix revenue by destination in % • Revenue €872 million

Market and business characteristics

OEM Commercial Vehicles

Aerospace Coatings Growth trends Operational excellence

Geo-mix revenue by destination in % • Revenue €725 million

Specialty Plastics Coatings

Our most important brand Some of our customers

Packaging Coatings High growth markets Operational excellence

Wood Finishes and Adhesives

John Wolff Managing Director

Geo-mix revenue by destination in % • Revenue €684 million

Market and business characteristics

Wood Finishes High growth markets Operational excellence

Geo-mix revenue by destination in % • Revenue €597 million