PRESS CONFERENCE

1
SOLVAY GROUP 2001 RESULTS

• PRESS CONFERENCE
• February 8, 2002

2
2001 HIGHLIGHTS

• Net current earnings of EUR 403 M (-7) ? with
  H2/01 higher (10) than H2/00
• (2001 EBIT vs 2000 EBIT) ??
  PHARMACEUTICALS 51 ? CHEMICALS 23
  ?? PLASTICS -70 ? PROCESSING stable
• Implementation of our strategy for change in 2001
  ? faster growth in Pharmaceuticals and
  Specialties? development of our competitive
  position in Essentials? strengthening of our
  leadership in all activities

3
2001 HIGHLIGHTS
2001 2001 H1/01 H2/01 M EUR vs 2000 vs
H1/00 vs H2/00 SALES 8 725 -2 2 -5EBIT 628 -6
-18 10 Net current earnings 403 -7 -18 10
Net earnings 403 -7 -19 10 Depreciation 522 -
5 -10 -1 Cash Flow 925 -6 -14 3 Current
EPS 4.72 -9
() non-audited figures
4
SOLVAYs STRATEGY

• Faster development ofPHARMACEUTICALS and
  SPECIALTIES
• Competitive ESSENTIALS
• WORLD LEADERSHIP in our activities through
  continuous development ofour competitiveness and
  innovation

5
MAJOR STRATEGIC MOVESin 2001 and early 2002

• Investment for faster development in
  Pharmaceuticals ? Marketing and promotion of 5
  new drugs? Acquisition of new products (e.g.
  Omacor, Anoheal, Incostop)? Alliance with TAP
  for the co-promotion of Androgel? Enlarged
  sales force through new commercial
  offices? Start of Phase III for Cilansetron and
  Tedisamil, clinical service agreement with
  Quintiles
• Investment for faster development in
  Specialties? Acquisition of Ausimont in
  fluorinated activities? Transfer of High
  Performance polymers from BP to Solvay? JV with
  Plastic Omnium for Automotive Fuel Systems
  operations (Inergy Automotive Systems)
• ? Acquisition of Cova Products (UK and USA) from
  LPW
• Strengthening of leadership or
  Restructuring/divestment of non core
  activities? JVs with BP for HD-PE? JV with K
  und S (KS) in salt in Europe? Sale of PP
  activities to BP? Decoration activities sold to
  LPW (already deconsolidated in 2001)? Sale of
  the automotive Air Intake Systems to MannHummel

to be finalized during H1/02, subject to the
approval of the competition authorities early
2002
6
THE ACQUISITION OF AUSIMONTFITS PERFECTLY
SOLVAYS STRATEGY
The acquisition of Ausimont is a unique
opportunity to strengthen our competitive
positions in fluoro Specialties(doubling the
size of Solvays existing fluorospecialties)
7
SOLVAY FLUORINATED BUSINESSAFTER THE ACQUISITION
OF AUSIMONT

• Proforma annual sales of EUR 900 million
• About 2,700 employees
• N2 in fluoropolymers and fluoromaterials
• Unique integrated supply chain from fluorspar in
  Namibia to marketing of sophisticated fluorinated
  products

FUNDING (EUR 1.3 Bn) WITHOUT IMPOSING AN
EXCESSIVE BURDEN ON SOLVAYs FINANCES

• To be financed with
• the Groups available cash
• a structured funding from a third party
• cash-in in advance the proceeds that would be
  paid by BP if Solvay were to exercise its put
  option on its interest in the BP Solvay
  Polyethylene joint ventures (Europe and USA)

8
STRONG FINANCIAL MANAGEMENT

• Moderate NET DEBT/EQUITY ratio(decrease in 2001)
  thanks to solid financial structure? Solvays
  commitment not to exceed durably 35
• Strong RATINGS reflecting
• the Groups solid financial position
• increased development pace of non cyclical
  Specialties in Chemicals, Plastics and
  Pharmaceuticals

9
INVESTMENTS AND RD PROGRAMS(including 2002
budget)
M EUR
RD expenses
2,968
of which 65 for Pharmaceuticals

• Acquisition ofAusimont
• BP s Specialty polymers (exchange of assets)

1,234
1,264
1,172
932
Capitalexpenditures Acquisitions
() non-audited figures
10
PERFORMANCES BY SECTOR- in of Group s EBIT
2001 -
Chemicals 46 (EUR 286 M)
Pharmaceuticals 32 (EUR 203 M)
Processing 11 (EUR 68 M)
Plastics 11 (EUR 70 M)
Total EBIT 2001 EUR 628 M
() non-audited figures
11
2001 EBIT BY SECTOR

• CHEMICALS
• (46 of 2001 EBIT)
• ? Sales 6
• ? Importance of Specialties,
• growth in soda ash and caustic soda and
  continued improvement of competitiveness

• ?PHARMACEUTICALS
• (32 of 2001 EBIT)
• ? Sales 14 ( 27 in N. America) ? record
  EBIT 51
• ? success of recently launched drugs

• ?PLASTICS (11 of 2001 EBIT)? results hit by
  difficult conditions on US market
• ? poor results in HD-PE? decrease in PVC, with
  Europe and Asia better than Mercosur
• PROCESSING (11 of 2001 EBIT)? sale of non core
  activities? resilience to difficult markets
  conditions? growth in industrial films? 10
  increase of sales of Inergy

23
51
- 70
stable
2000 2001
2000 2001
2000 2001
2000 2001
Chemicals
Plastics
Processing
Pharmaceuticals
() non-audited figures
12
RECORD PHARMACEUTICALS EBIT IN 2001 51 EBIT
success of recently launched drugs
M EUR
203
134
30
2nd half
1st half
157
() non-audited figures
13
PHARMACEUTICALS EBIT 51

• Clear illustration of the STRATEGY
• Geographic growth of our existing and new drugs
  sales
• USCanada 27 in EUR
• Europeexport 8 in EUR
• Japan 15 in YEN (5 in EUR)
• Further marketing alliances e.g. in HRT, with
  TAP for the co-promotion of Androgel (USA)
• Acquisition of new products e.g. in
  cardiology, Omacor (Europe) in
  gastroenterology, (Phase III) Anoheal and
  Incostop (Nafta)
• Focused RD efforts alone or with partners
  e.g. Cilansetron (Irritable Bowel Syndrome),
  Tedisamil, clinical service agreement with
  Quintiles, DU127090 with Lundbeck (Parkinson and
  Psychosis), SLV306 (congestive heart failure
  and hypertension), ...

14
STRONG ORGANIC GROWTH 14 SALES IN 2001
Success of recently launched drugs
2001 M EUR vs 2000

• Estratest 199 38
• Androgel 129 n.s.
• Prometrium 66 35
• (Cenestin (Duramed) 36 140)

2001 vs 2000
M EUR
HRT 646 38 GASTRO 507 12 CARDIO 150
42 PSY 356 - 19

• Creon 131 11
• Pantoloc 84 55
• Rowasa 55 17
• Dicetel 41 22

• Physiotens 46 18
• Teveten 35 127
• Aceon 21 X7

• Luvox (world) 147 -46? US
  down? Japan up
• Serc 77 6
• Marinol 65 X3

marketed since June 2000 2000 sales EUR 29 M
15
IMPORTANT RD PROJECT CILANSETRON FOR IBS IN
PHASE III

• Start of the phase III program in July
  2001(after constructive discussions with the US
  FDA)
• Preferred provider clinical services
  (non-exclusive agreement) with QUINTILES
  TRANSNATIONAL
• access to state-of-the-art clinical trial
  execution with certain priority claim on
  QUINTILES resources
• ongoing talks with potential alliance and
  marketing partners

16
CHEMICALS EBIT IN 2001 23

• Resilience to the
• economic evolution
• thanks to its specific
• product mix made of
• competitive Essentials (mostly inorganics)
• higher margins Specialties

M EUR
250 200 150 100 50 0
286
233
2nd half
1st half
() non-audited figures
17
CHEMICALS EBIT in 2001 23

• ? SPECIALTIES
• FLUORINATED PRODUCTS
• ? sales in organic Solkane
• ? sales in inorganic compounds (weak market
  conditions)
• ADVANCED FUNCTIONAL MATERIALS and CAPROLACTONES
  are progressing satisfactorily
• ? ESSENTIALS
• SODA ASH
• Europe strong demand and ? prices
• USA still high energy costs but capacity
  rationalization
• CAUSTIC SODA strong price increase (X2) and
  cost reduction
• BUT deteriorating market conditions for HYDROGEN
  PEROXIDE and BARIUM AND STRONTIUM CARBONATES

18
PLASTICS EBIT IN 2001 -70
? results hit by difficult conditions on US
market ? poor results in HD-PE ? decrease in
PVC,with Europe and Asia better than Mercosur
M EUR
230
- 70
2nd half
70
1st half
() non-audited figures, BP activities included
from October 1, 2001
19
STRATEGIC REPOSITIONINGTRANSACTION WITH BP
1. Reduction of SOLVAYs exposure to cyclical
markets 2. Growth in high-margin Specialties
Cash Payment
80 Mio
SOLVAY
BP
High-performance engineering Polymers Business
SpecialtyPolymers business
European HDPE Activities
European Joint Venture (50/50)
European HDPE Activities
US HDPE Activities
US Joint Venture (51/49)
Worldwide PP Activities
20
STABLE PROCESSING EBIT IN 2001
100 50 0
? Sale of non core activities (decoration,
AIS) ? Resilience to difficult markets
conditions ? Growth in industrial
films (medical, laminates and waterproofing for
swimming pools) ? 10 sales for Inergy
Automotive Systems
M EUR
68
69
2nd half
1st half
() non-audited figures, () early 2002
21
2002 PROSPECTS
The beginning of 2002 is still marked by
uncertainty concerning the future performance of
the world economy. The Group nevertheless should
continue to benefit in 2002 from the strategy,
followed for a number of years, of focusing on
more rapid development in its Pharmaceuticals
sector and the highest-added-value Specialties,
while reinforcing its competitive position in
its Essentials portfolio and its leadership in
world markets
Press conference of February 8, 2002
22
CONCLUSION WE REAP THE BENEFITS OF OUR STRATEGY

• Faster development ofPHARMACEUTICALS and
  SPECIALTIES
• Competitive ESSENTIALS
• WORLD LEADERSHIP in our activities through
  continuous development oftheir competitiveness
  and the innovation

23
HIGHER PROPORTION OF SPECIALTIES AND
PHARMACEUTICALS
In of Group EBIT

• Accelerated shiftto higher margin Specialties
  with the acquisitionof Ausimont
• More efficient and more competitiveEssentials

Pharmaceuticalsand Specialties
Essentials
1995
2001
2005
24
THE RECENT STRATEGIC CHANGES ? growth prospects ?
high-margin activities? cyclicality and results
sensitivity to economic evolution
25
FORWARD LOOKING STATEMENT
To the extent that any statements made in this
presentation contain information that is not
historical, these statements are essentially
forward-looking. The achievement of
forward-looking statements contained in this
presentation is subject to risks and
uncertainties because of a number of factors,
including general economic factors, interest rate
and foreign currency exchange rate fluctuations
changing market conditions, product competition,
the nature of product development, impact of
acquisitions and divestitures, restructurings,
products withdrawals regulatory approval
processes and other unusual items. Consequently,
actual results may differ materially from those
expressed or implied by such forward-looking
statements. Forward-looking statements can be
identified by the use of words such as "expects,"
"plans," "will," "believes," "may," "could"
"estimates," "intends", "targets", "objectives",
"potential", and other words of similar meaning.
Should known or unknown risks or uncertainties
materialize, or should our assumptions prove
inaccurate, actual results could vary materially
from those anticipated. The Company undertakes no
obligation to publicly update any forward-looking
statements"
and Innovation