Horgen, Switzerland - May 22, 2008

Effective June 1, 2008, or as contract terms allow, Dow Europe GmbH will increase the price of MAGNUM™ ABS by 150 Euros per metric tonne and TYRIL™ SAN by 100 Euros per metric tonne.

While demand remains strong, the recent increases in crude oil and all hydrocarbon feedstock costs have compressed Dow’s margins for Styrenic Copolymers products to unacceptable levels. Due to this situation, Dow Europe GmbH is announcing a price increase across Europe, India, the Middle East and Africa.

Isidro Quiroga, commercial vice president, Basic and Performance Plastics for Europe, India, Middle East and Africa commented: “Compared to the same time last year, the cost of oil is already twice as high and industry reports indicate that it will continue going up in the near future. We must reflect the impact of the current feedstock cost in the price of our product, so as to restore our margins to prevent business becoming unaffordable and to avoid asset decisions at a time when we’re experiencing strong demand.”

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