BASF Presents First-Quarter Results at 55th Annual Meeting

BASF (NYSE:BF)(FWB:BAS)(LSE:BFA) remained on its successful course in the first quarter of 2007 and looked confidently to the coming months following a powerful start to the year. "BASF’s team is working constantly to bring the company even closer to its customers and make BASF even more innovative and cyclically resilient,” said BASF’s Chairman Dr. Jürgen Hambrecht during the presentation of the company’s results for 2006 and the first quarter of 2007 at the 55th Annual Meeting in Mannheim on April 26, 2007. Compared with the same period of 2006, sales in the first quarter rose 17 percent to €14.6 billion. This was due primarily to the acquisitions in 2006, as well as higher volumes and sales prices in the chemical businesses. Disregarding currency effects, in particular from the depreciation of the U.S. dollar, sales increased by 21 percent. Compared with the very strong first quarter of 2006, BASF increased income from operations (EBIT) before special items by 13 percent to €2.1 billion. Earnings in the Chemicals segment almost doubled, and were significantly higher in all divisions. Margins improved, in particular for petrochemicals. The Catalysts division also made a major contribution to the earnings growth. In the Plastics segment, earnings declined slightly because the Polyurethanes division did not quite match the strong performance of the previous year’s first quarter. Earnings improved in the Styrenics business due to the expansion of the business and improved efficiency. Earnings in the Performance Products segment were lower than in the first quarter of 2006 as a result of persistent pressure on margins for functional polymers. Both divisions in the Agricultural Products & Nutrition segment posted higher earnings. The earnings situation in Brazil improved in the Agricultural Products division. In the Fine Chemicals division, earnings increased as a result of the restructuring measures initiated in 2006 and the contribution from the acquired personal care business. In the Oil & Gas segment, a rise in the contribution from the natural gas trading business kept earnings at the previous year’s strong level despite the decline in oil prices. Compared with the same period of 2006, first-quarter EBIT after special items rose by 9 percent to approximately €2 billion. Special items in income from operations were related to integration costs for the acquisitions made in 2006 and expenses for restructuring. The financial result declined by €115 million to minus €94 million. Interest expenses rose in connection with financing for the acquisitions made in mid-2006. The previous year’s first quarter contained proceeds from the sale of securities. Income before taxes and minority interests rose by 2 percent to €1.9 billion. The tax rate declined from 46 percent to 40 percent as a result of the acquisitions and the lower contribution to the BASF Group’s earnings from the Oil & Gas segment. In the first quarter, foreign taxes for oil production that are noncompensable with German corporate income tax amounted to €258 million compared with €272 million in the same period of 2006. Net income rose by 9 percent to more than €1 billion. Earnings per share were €2.08 compared with €1.87 in the first quarter of 2006. Positive outlook confirmed for full-year 2007 Hambrecht remained confident with regard to the ongoing year, expecting global economic growth of 3.2 percent. In 2007, the company anticipates an average oil price (Brent) of about $55/barrel and an average euro/dollar exchange rate of $1.30 per euro. Major risk factors are seen as being associated with an escalation in geopolitical trouble spots. "The good start in the first quarter confirms our positive outlook for 2007. We expect significantly higher sales based on the acquisitions made in 2006 and organic growth. We expect to at least match the previous year’s strong EBIT before special items despite our assumption of a lower average oil price in 2007,” said Hambrecht. Double-digit sales growth in all regions Sales by location of company in Europe increased by 14 percent in the first quarter of 2007. EBIT before special items rose by €171 million to €1.6 billion. This was due both to the acquired businesses and organic growth in the chemical businesses. Earnings in the Oil & Gas segment matched the previous year’s level despite the decline in oil prices. As a result of the acquisitions, companies in North America increased sales by 23 percent in Dollar terms and by 15 percent in euro terms. EBIT before special items declined by €33 million to €265 million. Earnings were reduced by the shutdown of the TDI plant in Geismar, Louisiana, as well as by weaker demand from the automotive industry. This could not be fully offset by the acquired businesses. In Asia Pacific, BASF increased sales by 37 percent in local currency terms and by 28 percent in euro terms. EBIT before special items climbed €92 million to €207 million. The sales and earnings growth was due to the acquisitions as well as strong demand for products from the Chemicals and Plastics segments. The measures to increase efficiency that were initiated in 2006 also contributed to the rise in earnings. In South America, Africa, Middle East, first-quarter sales by location of company rose by 49 percent in local currency terms and by 41 percent in euro terms. EBIT before special items increased by €21 million to €53 million. The activities of the Catalysts division in South Africa and the Agricultural Products division in South America contributed to the expansion of the business. Higher prices for agricultural produce improved the economic situation for farmers in Brazil, thus increasing demand for crop protection products. BASF is the world’s leading chemical company: The Chemical Company. Its portfolio ranges from chemicals, plastics, performance products, agricultural products and fine chemicals to crude oil and natural gas. As a reliable partner to virtually all industries, BASF’s high-value products and intelligent system solutions help its customers to be more successful. BASF develops new technologies and uses them to meet the challenges of the future and open up additional market opportunities. It combines economic success with environmental protection and social responsibility, thus contributing to a better future. BASF has approximately 95,000 employees and posted sales of €52.6 billion in 2006. BASF shares are traded on the stock exchanges in Frankfurt (BAS), London (BFA), New York (BF) and Zurich (AN). Further information on BASF is available on the Internet at www.basf.com. On April 26, 2007, you can obtain further information from the Internet at the following addresses: Interim Report (from 7:30 a.m. CEST) corporate.basf.com/interimreport (English) corporate.basf.com/zwischenbericht (German) Press release (from 7:30 a.m. CEST) corporate.basf.com/pressrelease (English) corporate.basf.com/pressemitteilungen (German) Live Transmission-Telephone Conference for Analysts (from 8:30 a.m. CEST) corporate.basf.com/share (English) corporate.basf.com/aktie (German) Live Transmission – Speech Dr. Jürgen Hambrecht (from 10:00 a.m. CEST) corporate.basf.com/shareholdermeeting (English) corporate.basf.com/hauptversammlung (German) Speech Dr. Jürgen Hambrecht – print version (from 11:30 a.m. CEST) corporate.basf.com/pcon (English) corporate.basf.com/pk (German) Photos (from 7:30 a.m. CEST) corporate.basf.com/photos (English) corporate.basf.com/fotos (German) Photos from the Annual Meeting (from 1:00 p.m. CEST) corporate.basf.com/photos (English) corporate.basf.com/fotos (German) Information about BASF shares corporate.basf.com/share (English) corporate.basf.com/aktie (German) Forward-looking statements This release contains forward-looking statements under the U.S. Private Securities Litigation Reform Act of 1995. These statements are based on current expectations, estimates and projections of BASF management and currently available information. They are not guarantees of future performance, involve certain risks and uncertainties that are difficult to predict and are based upon assumptions as to future events that may not prove to be accurate. Many factors could cause the actual results, performance or achievements of BASF to be materially different from those that may be expressed or implied by such statements. Such factors include those discussed in BASF’s Form 20-F filed with the Securities and Exchange Commission. We do not assume any obligation to update the forward-looking statements contained in this release. Powerful Start to 2007 First-Quarter Results 2007 January - March 2007 Published on April 26, 2007 BASF Group First-Quarter Results 2007 Overview 1st Quarter Million € 2007  2006  Change in % Sales 14,632  12,515  16.9  Income from operations before depreciationand amortization (EBITDA) 2,673  2,401  11.3  Income from operations (EBIT) before specialitems 2,116  1,865  13.5  Income from operations (EBIT) 2,010  1,849  8.7  Financial result (94) 21  .  Income before taxes and minority interests 1,916  1,870  2.5  Net income 1,035  950  8.9  Earnings per share (€) 2.08  1.87  11.2  EBIT before special items in percent of sales 14.5  14.9  –  Cash provided by operating activities 701  1,448  (51.6) Additions to long-term assets1 439  600  (26.8) Excluding acquisitions 439  473  (7.2) Amortization and depreciation1 663  552  20.1  Segment assets (end of period)2 38,367  29,680  29.3  Personnel costs 1,595  1,392  14.6  Number of employees (end of period) 94,956  79,926  18.8  1 Tangible and intangible fixed assets 2 Tangible and intangible fixed assets, inventories and business-related receivables Q1 2007 Sales EBIT BEFORE SPECIAL ITEMS CHANGE COMPARED WITH PREVIOUS YEAR'SQUARTER   Q1 2007 compared with Q1 2006   +17% -2% News from Our Innovation Centers Environmental technology for diesel motors: Exhaust specialists from BASF Catalysts are developing diesel oxidation catalysts and catalyzed soot filters. Innovative solutions are also able to neutralize nitrogen oxides in exhaust fumes. The number of diesel vehicles in Europe is continuing to rise, and their lower fuel consumption is easier on their drivers’ wallets. Diesel exhaust fumes, however, are a real challenge for the specialists at BASF Catalysts: Diesel engines run at lower temperatures. Their main problem is that this results in uncombusted fuel and soot particles in the exhaust, which would rapidly clog up normal catalysts. To solve this problem BASF’s experts have developed special diesel oxidation catalysts and catalyzed soot filters. These initially trap the soot and then burn it using a combination of catalysts and engine controls to govern the oxygen content and temperature. The terms "soot filter” or "particle filter” therefore fall a long way short of describing the innovative technology involved. Diesel engines also require a "lean” air-fuel mixture that results in a high content of residual oxygen in the exhaust gas. This considerably impedes the conversion of nitrogen oxides to nitrogen. But here too, the experts at BASF Catalysts are busy developing technical solutions: The nitrogen oxides are initially stored chemically while the engine is operated in the "lean” mode. When the storage capacity is exhausted, the engine automatically switches to a "rich” air-fuel mixture for a short time, allowing the catalyst to convert the stored nitrogen oxides into nitrogen and oxygen. When the storage catalyst is regenerated, the engine can switch back to the lean mixture, which both enhances engine performance and the combustion of soot particles. Vehicle catalysts are tested under long-term conditions at BASF’s catalyst testing facility in Union, New Jersey. Complex electronic sensors are used to record all exhaust gas values during testing. The experts at BASF Catalysts are among the leading innovators in the development and optimization of catalysts for gasoline and diesel engines. In addition to exhaust catalysts for cars and trucks, there arenumerous additional applications in environmental technology:   Catalysts for large-scale plants: In power plants, catalysts reduce emissions of nitrogen oxides and carbon monoxide. Air purification: Catalytic filters are used in airplane cabins to ensure low concentrations of irritating ozone gas. Catalysts for small engines: Tailor-made solutions are developed for motorbikes, lawnmowers and chainsaws. An umbrella for fungi: Hydrophobin, a protein obtained from fungi that causes water droplets to roll off, is stimulating the imagination of biotechnologists and developers at BASF. If produced on a large scale, it could be used in the future to make car windscreens and other surfaces water repellent. Hydrophobin has a broad range of physical and chemical properties that result in numerous possible applications: It could be used, for example, as a bonding agent between a variety of materials, or as an emulsifier for oil-water mixtures. Once it has fulfilled its function, the protein is naturally biodegraded. Methods from the area of biotechnology are currently being used in BASF’s research labs to produce what are known as performance proteins. Nature offers countless examples of proteins with interesting and promising properties. Technical advances in fermentation – an area within BASF’s white (industrial) biotechnology cluster – are enabling BASF to synthesize some of these proteins on an industrial scale for the first time. This will allow consumers to benefit from the special properties of these natural substances in their everyday life. One example of a new product from BASF’s research labs is hydrophobin. This water-repellent protein is found in nature on the skin of fungi, where it causes raindrops to simply roll off. BASF’s biotechnologists have isolated the gene responsible for producing hydrophobin and transferred it to the bacterium E. coli. BASF is the first company able to produce hydrophobin in industrial quantities. Potential applications, for example in detergents, are currently being tested. BASF has almost three decades of experience in the field of white biotechnology. These activities use microorganisms or isolated enzymes to manufacture products such as proteins and chiral intermediates as starting materials for crop protection and pharmaceutical active ingredients. Research at BASF combines key technology-driven issues of the futurein five growth clusters for which it has earmarked €850 million for2006 through 2008. BASF First-Quarter Results 2007 Contents 2 BASF Group Business Review 4 BASF Shares 5 Significant Events and Outlook 6 Chemicals 7 Plastics 8 Performance Products 9 Agricultural Products & Nutrition 10 Oil & Gas 11 Regions 12 Overview of Other Topics 13 Consolidated Statements of Income 14 Consolidated Balance Sheets 15 Consolidated Statements of Cash Flows 16 Consolidated Statements of Recognized Income and Expense 17 Consolidated Statements of Stockholders’ Equity 18 Segment Reporting 19 Explanations to the Interim Financial Statements Front cover: Overview 1st Quarter 2007 News from Our Innovation Centers Back cover: Important Dates Contacts Cover photo: Sandra Cosmo and Edson Oliveira Santos, production workers at BASF S.A.’s coatings plant in São Bernardo do Campo, Brazil. Q1 2007 EARNINGS PER SHARE             €2.08 (+11%) BASF Group Business Review Sales Compared with the same period of 2006, sales in the first quarter rose 17% to €14.6 billion. This was due primarily to the acquisitions in mid-2006, as well as higher volumes and sales prices in the chemical businesses. Disregarding currency effects, in particular from the depreciation of the U.S. dollar, sales increased by 21%. Factors influencing sales % of sales 1st Quarter Volumes 2  Prices 4  Acquisitions/divestitures 15  Currencies (4) 17  The sales growth was highest in the Chemicals segment thanks to the contribution of the new Catalysts division, as well as higher volumes and increased sales prices in the Inorganics, Petrochemicals and Intermediates divisions. Sales rose in all divisions in the Plastics segment. The Styrenics division in particular increased sales prices significantly and posted higher volumes. In the Performance Products segment, all divisions recorded higher sales as a result of the acquisitions. The Construction Chemicals division developed very positively thanks to strong growth in the construction industry in Europe and Asia. Both divisions in the Agricultural Products & Nutrition segment posted higher volumes. In the Agricultural Products division, sales declined compared with the same period of 2006 due to divestitures and currency translation effects. In the Fine Chemicals division, however, the acquired personal care products led to a significant increase in sales. Volumes declined in the Oil & Gas segment. Sales were at approximately the same level as in the first quarter of 2006. The lower oil price led to a decline in sales in the exploration and production business. This was largely offset by higher sales prices in the natural gas trading business. First-quarter sales by segment Million € Chemicals 2007  3,489  56% 2006  2,239  Plastics 2007  3,348  8% 2006  3,091  Performance Products 2007  2,826  32% 2006  2,147  AgriculturalProducts & Nutrition 2007  1,375  0% 2006  1,376  Oil & Gas 2007  2,970  (1)% 2006  2,985  BASF Group     Sales up 17% EBIT before special items up 13% Earnings jump in the Chemicals segment Acquisitions make significant contribution to rise in earnings Earnings Compared with the first quarter of 2006, we increased income from operations (EBIT) before special items by 13% to €2,116 million. Earnings in the Chemicals segment almost doubled, and were significantly higher in all divisions. Margins improved, in particular for petrochemicals. The Catalysts division also made a major contribution to the earnings growth. In the Plastics segment, earnings declined slightly because the Polyurethanes division did not quite match the strong performance of the previous year’s first quarter. Earnings improved in the Styrenics business due to the expansion of the business and improved efficiency. Earnings in the Performance Products segment were lower than in the first quarter of 2006 as a result of persistent pressure on margins for functional polymers. This could not be offset by the earnings contributions from the acquired businesses. Both divisions in the Agricultural Products & Nutrition segment posted higher earnings. The earnings situation in Brazil improved in the Agricultural Products division. In the Fine Chemicals division, earnings increased as a result of the restructuring measures initiated in 2006 and the contribution from the acquired personal care business. In the Oil & Gas segment, a rise in the contribution from the natural gas trading business kept earnings at the previous year’s strong level despite the decline in oil prices. Compared with the same period of 2006, first-quarter EBIT after special items rose by 9% to €2,010 million. Special items in income from operations were related to integration costs for the acquisitions made in 2006 and expenses for restructuring that are recorded under "Other” until they are implemented in the course of the year. The financial result declined by €115 million to €(94) million. Interest expenses rose in connection with financing for the acquisitions made in mid-2006. The previous year’s first quarter contained proceeds from the sale of securities. Income before taxes and minority interests rose by 2% to €1,916 million. The tax rate declined from 46% to 40% as a result of the acquisitions and the lower contribution to the BASF Group’s earnings from the Oil & Gas segment. In the first quarter, foreign taxes for oil production that are noncompensable with German corporate income tax amounted to €258 million compared with €272 million in the same period of 2006. Net income rose by 9% to €1,035 million. Earnings per share were €2.08 compared with €1.87 in the first quarter of 2006. First-quarter EBIT before special items Million € Chemicals 2007  628  98% 2006  317  Plastics 2007  325  (2)% 2006  332  Performance Products 2007  229  (8)% 2006  248  AgriculturalProducts & Nutrition 2007  257  15% 2006  224  Oil & Gas 2007  845  0% 2006  848  Special items 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Full Year Million € 2007  2006  2007  2006  2007  2006  2007  2006  2007  2006  – Incomefromoperations (106) (16) (113) (177) (201) (507) – Financialresult –  –  –  –  –  –  (106) (16) (113) (177) (201) (507) BASF Shares Overview BASF shares   Performance (with dividends reinvested) BASF % 14.1  17.5  Dax 30 % 4.9  22.1  DJ Euro Stoxx 50 % 1.7  18.1  DJ Chemicals % 7.0  21.2  MSCI World Chemicals % 6.3  15.8    Share prices and trading (XETRA) Average € 76.21  64.82  High € 84.28  74.24  Low € 71.95  58.97  Close (end of period) € 84.28  73.85  Average daily trade Millionshares 3.8  3.1  Market capitalization (end of period) Billion € 42.2  37.0  Strong performance of BASF shares BASF shares increased in value by 14% in the first three months of 2007. As a result, our shares outperformed the German and European stock markets, whose key indices DAX 30 and DJ EURO STOXX 50 rose by approximately 5% and 2%, respectively, in the same period. In the first quarter, BASF shares also outperformed the global industry indices DJ Chemicals and MSCI World Chemicals, which increased by 7% and 6%, respectively. Attractive dividend policy The proposed dividend of €3.00 per share for 2006 is 50% higher than in the previous year. We aim to increase our dividend further in the future, or at least maintain it at the previous year’s level. Further share buybacks In the first quarter of 2007, we purchased 4.98 million of our own shares for a total of €381 million or €76.50 per share under our €3 billion buyback program. The goal of this program, which is to run until the end of 2008, is to increase our earnings per share and further optimize our balance sheet structure. Inclusion in Global 100 sustainability ranking In January, BASF was included in the Global 100 list by the New York research house Innovest for the second year in succession. The Global 100 list comprises the world’s most successful companies in the areas of environmental protection, social affairs and corporate governance. Investor relations award BASF was awarded first place in a ranking of 145 investor relations websites of companies in 33 countries performed by the financial communications consulting firm MZ Consult. > Up-to-date information on BASF shares is available on the Internet at corporate.basf.com/share. BASF Shares     BASF shares rise 14% in first quarter Shares bought back for €381 million in the first three months of 2007 Significant Events and Outlook Significant events The Board of Executive Directors and Supervisory Board of BASF Aktiengesellschaft have resolved to propose to the Annual Meeting on April 26, 2007 the transformation of BASF Aktiengesellschaft into a European Company (Societas Europaea, SE) with the name BASF SE. We consider the European Company to be a modern legal form for a global company whose home market is in Europe. The company’s headquarters and chief administrative offices will remain in Ludwigshafen, Germany. Subject to antitrust approval, BASF plans to sell the majority of its premix business to the Dutch animal feed group Nutreco as part of its global program to increase efficiency in the Fine Chemicals division. In addition, the closure of the production plant for lysine in Gunsan, South Korea, by mid-2007 was announced at the end of March. On March 21, 2007, BASF and Monsanto announced a long-term research and development and commercialization collaboration in plant biotechnology. The collaboration is effective immediately. Over the life of the collaboration, the two companies will dedicate a joint budget of potentially $1.5 billion to the joint development of high yielding crops and crops that are more tolerant to adverse environmental conditions. The first products developed as part of this collaboration are expected to be commercialized in the first half of the next decade. Outlook We continue to expect the following conditions in 2007: Global economic growth of 3.2% Average oil prices (Brent) of about $55/barrel An average euro/dollar exchange rate of $1.30 per euro and moderately higher interest rates, primarily in Europe Major risk factors are associated with an escalation in geopolitical trouble spots. The good start in the first quarter confirms our positive outlook for 2007. We expect significantly higher sales based on the acquisitions made in 2006 and organic growth. We expect to at least match the previous year’s strong EBIT before special items despite our assumption of a lower average oil price in 2007. POWERFUL START TO 2007 -- Transformation of BASF Aktiengesellschaft into a European Company(BASF SE) planned -- Long-term plant biotechnology cooperation with Monsanto -- Good start to 2007 confirms positive outlook:Significant increase in sales;EBIT before special items to at least match the previous year'sstrong level Chemicals Segment data 1st Quarter Million € 2007  2006  Changein % Sales 3,489  2,239  56  Thereof Inorganics 292  285  2  Catalysts 1,200  21  .  Petrochemicals 1,384  1,374  1  Intermediates 613  559  10  EBITDA 786  452  74  EBIT before special items 628  317  98  EBIT before special items in percent of sales 18.0  14.2  –  EBIT 618  317  95  Assets 10,444  6,198  69  Compared with the same period of 2006, first-quarter sales in the Chemicals segment rose significantly (volumes 5%, prices 3%, portfolio 53%, currencies –5%). In addition to higher sales volumes and prices, the sales growth was due in particular to the acquisition of the catalysts business. Earnings almost doubled compared with the first quarter of 2006. Inorganics Demand remained strong, and we increased the prices of our products. Sales of inorganic specialties, glues and impregnating resins and inorganic basic chemicals grew particularly strongly. Earnings rose as a result of the improvement in margins. Catalysts Sales developed particularly positively in the European business with catalysts for diesel engines, the global business with refinery catalysts, and the materials services business. The division contributed significantly to the segment’s EBIT even after taking account of special charges for the integration. Petrochemicals Thanks to continued strong demand, sales were at the same level as in the first quarter of 2006. Earnings increased significantly due to strong margins for cracker products in Europe and Asia and the positive development of the global solvents and plasticizers businesses. Intermediates We posted sales growth worldwide in almost all areas of the portfolio. Strong demand enabled us to increase sales prices. Earnings increased significantly compared with the first quarter of 2006. This was due in particular to high capacity utilization rates, as well as lower fixed costs as a result of the restructuring measures that we have initiated. CHEMICALS Sales EBITbefore special items -- Record sales and earnings -- All divisions contribute to strong earnings growth Q1 2007compared with Q1 2006 Q1 2007compared with Q1 2006 -- Significant contribution from acquired catalysts business   +56% +98% Plastics Segment data 1st Quarter Million € 2007  2006  Changein % Sales 3,348  3,091  8  Thereof Styrenics 1,339  1,151  16  Performance Polymers 785  750  5  Polyurethanes 1,224  1,190  3  EBITDA 452  456  (1) EBIT before special items 325  332  (2) EBIT before special items in percentof sales 9.7  10.7  –  EBIT 325  331  (2) Assets 6,856  6,894  (1) Sales in the Plastics segment rose as a result of higher volumes and prices (volumes 4%, prices 9%, currencies –5%). Earnings were slightly lower than in the first quarter of 2006 due to a decline in the Polyurethanes division. Styrenics Higher sales volumes and significantly higher prices led to strong sales growth. Business developed particularly positively in Europe and Asia, where we benefited from strong demand in the construction sector. Due to rapidly rising demand for products for thermal insulation, we will increase production capacity for our innovative insulating foam Neopor® in Ludwigshafen from 60,000 to 190,000 metric tons per year by the end of 2008 and are starting production of Neopor in Asia. Earnings more than doubled compared with the weak first quarter of 2006. This was also due to the ongoing measures to increase the profitability of the division. Performance Polymers Sales were higher than in the first quarter of the previous year due to higher sales prices. In Asia, we increased sales volumes, among other things due to the new capacity for Ultradur® in Kuantan, Malaysia. We passed on increases in raw material prices in the form of higher prices. Earnings rose compared with the first quarter of 2006. Polyurethanes Sales rose only slightly compared with the same period of the previous year as a result of the shutdown of the TDI plant in Geismar, Louisiana; prices remained stable. Demand and volumes continued to develop positively, especially in Europe and Asia. As a result of the difficulties with the TDI plant and higher raw material costs, it was not possible to match the very strong earnings posted in the first quarter of 2006. We have strengthened our position in the attractive Benelux market by acquiring a Dutch polyurethanes systems house. PLASTICS Sales EBITbefore special items   -- Strong business in Europe and Asia     -- Improved earnings situation in Styrenics division Q1 2007compared with Q1 2006 Q1 2007compared with Q1 2006 -- Shutdown of a TDI plant impacts earnings in Polyurethanes division +8% -2% Performance Products Segment data 1st Quarter Million € 2007  2006  Changein % Sales 2,826  2,147  32  Thereof Construction Chemicals 458  –  –  Coatings 621  591  5  Functional Polymers 852  792  8  Performance Chemicals 895  764  17  EBITDA 355  329  8  EBIT before special items 229  248  (8) EBIT before special items in percent ofsales 8.1  11.6  –  EBIT 219  247  (11) Assets 9,882  4,936  100  The strong sales growth was due to the businesses acquired in June and July 2006 (volumes 2%, prices 1%, portfolio 33%, currencies –4%). Earnings before special items were lower than in the first quarter of 2006. Earnings were negatively impacted by ongoing margin pressure for acrylic monomers and paper chemicals. Construction Chemicals In Europe, the business grew strongly thanks to the mild weather and the robust construction industry. In Asia, negative currency effects in Japan were offset by growth in China, Australia and Indonesia. In North America, the business was negatively impacted as a result of the harsh winter and a decline in construction activity. The overall positive earnings trend in 2006 continued in the first quarter. Coatings First-quarter sales were higher than in 2006. Sales of automotive (OEM) coatings increased despite a decline in production at some North American automobile manufacturers. Sales of refinish coatings were weaker, while sales of architectural coatings and industrial coatings rose, in particular thanks to the activities acquired from Degussa in 2006. Earnings declined compared with the previous year, primarily due to the weaker business in North America. Functional Polymers Sales increased compared with the previous year’s first quarter as a result of the acquisitions. Persistently high raw material costs and competitive pressure due to high capacities, in Asia especially, had a negative impact on margins for acrylic monomers and paper chemicals. Earnings were therefore significantly lower than in the strong first quarter of 2006. Performance Chemicals Sales rose significantly, in particular due to the activities acquired in 2006. Sales of performance chemicals for detergents and formulators also increased, whereas sales of performance chemicals for textile and leather declined. First-quarter earnings were higher than in 2006, primarily due to the contribution of the acquired businesses. PERFORMANCE PRODUCTS Sales EBITbefore special items   -- Strong sales growth due to acquisitions in 2006 Q1 2007compared with Q1 2006 Q1 2007compared with Q1 2006 -- Ongoing margin pressure for acrylic monomers and paper chemicals -- Earnings lower than in first quarter of 2006 +32% - 8% Agricultural Products & Nutrition Overview Agricultural Products 1st Quarter Million € 2007  2006  Changein % Sales 897  928  (3) EBITDA 268  333  (20) EBIT before special items 225  213  6  EBIT before special items in percent ofsales 25.1  23.0  –  EBIT 220  280  (21) Assets 4,880  5,365  (9) Sales in the Agricultural Products division declined slightly compared with the first quarter of 2006 due to the divestiture of large parts of the generics business of Micro Flo Company as well as the global business with the active ingredient terbufos (volumes 6%, prices –1%, portfolio –4%, currencies –4%). Currency effects also had a negative impact on sales. In Brazil, we increased sales volumes, in particular of products for sugarcane. In addition, we benefited from a gradual recovery in the market for soybeans. Although earnings before special items improved, EBIT declined compared with the same period of the previous year. In 2006, the special gain from the sale of the generics business of Micro Flo Company increased earnings. Overview Fine Chemicals 1st Quarter Million € 2007  2006  Changein % Sales 478  448  7  EBITDA 55  40  38  EBIT before special items 32  11  191  EBIT before special items in percent of sales 6.7  2.5  –  EBIT 28  10  180  Assets 1,551  1,489  4  Sales increased in the Fine Chemicals division, in particular due to the acquired personal care business (volumes 5%, prices –1%, portfolio 7%, currencies –4%). We increased volumes in other parts of the portfolio, especially for UV absorbers and Pharma Solutions. Earnings improved significantly compared with the previous year’s first quarter, also as a result of a reduction in fixed costs. In February, we signed an agreement to sell the premix business in eight countries to the Dutch animal feed group Nutreco. In mid-2007, we will close the production plant for lysine in Gunsan, South Korea, and will thus exit this business. Both of these measures are part of our global program to increase efficiency. AGRICULTURAL PRODUCTS& NUTRITION SalesQ1 2007compared with Q12006 EBIT beforespecialitemsQ1 2007comparedwith Q1 2006 -- Agricultural Products benefits from gradual market recovery in Brazil -- Fine Chemicals proceeds with program to increase efficiency AgriculturalProducts-3% AgriculturalProducts+6%   Fine Chemicals+7% Fine Chemicals+191% Oil & Gas Segment data 1st Quarter Million € 2007  2006  Changein % Sales 2,970  2,985  (1) Thereof Exploration and production 972  1,081  (10) Natural gas trading 1,998  1,904  5  EBITDA 969  953  2  Thereof Exploration and production 623  707  (12) Natural gas trading 346  246  41  EBIT before special items 845  848  0  Thereof Exploration and production 533  638  (16) Natural gas trading 312  210  49  EBIT before special items in percent ofsales 28.5  28.4  –  Thereof Exploration and production 54.8  59.0  –  Natural gas trading 15.6  11.0  –  EBIT 845  848  0  Thereof Exploration and production 533  638  (16) Natural gas trading 312  210  49  Assets 4,754  4,798  (1) Thereof Exploration and production 2,163  2,123  2  Natural gas trading 2,591  2,675  (3) Segment sales were at the level of the first quarter of 2006 (volumes –6%, prices/currencies 5%). Earnings were also at the same level as in the first quarter of the previous year due to a higher contribution from natural gas trading. Volumes in the exploration and production business declined slightly, in particular due to scheduled maintenance shutdowns in natural gas production in Argentina. Compared with the first quarter of 2006, the average price of Brent crude declined by 7% to approximately $58/barrel. In euro terms, this corresponds to an decrease of 14% to approximately €44/barrel. This resulted in a decline in earnings compared with the first quarter of 2006. Sales volumes in the natural gas trading business were lower than in the first quarter of 2006 due to the milder weather in Europe; sales prices and margins improved, however. Sales and earnings were therefore considerably higher. The Norwegian energy ministry has assigned Wintershall a new offshore license. With a stake of 40%, Wintershall will participate with Norsk Hydro in the exploration block 6407/9. Norway is the world’s fourth largest producer of natural gas and one of the most important suppliers to the European Union. OIL & GAS Sales EBITbeforespecialitems   -- Decline in oil prices negatively impacts earnings in exploration and production Q1 2007compared withQ1 2006 Q1 2007compared withQ1 2006 -- Higher contribution to earnings from natural gas trading -1% 0% Regions Overview Regions Sales(location of company) Sales(location of customer) EBIT before special items Million € 2007  2006  Changein % 2007  2006  Changein % 2007  2006  Changein % 1st Quarter Europe 8,860  7,786  14  8,441  7,415  14  1,591  1,420  12  Thereof Germany 6,544  5,757  14  3,391  2,972  14  1,199  1,015  18  North America (NAFTA) 3,036  2,637  15  3,049  2,617  17  265  298  (11) Asia Pacific 2,111  1,648  28  2,228  1,777  25  207  115  80  South America, Africa,Middle East 625  444  41  914  706  29  53  32  66  14,632  12,515  17  14,632  12,515  17  2,116  1,865  13  Sales by location of company in Europe increased by 14% in the first quarter of 2007. EBIT before special items rose by €171 million to €1,591 million. This was due both to the acquired businesses and organic growth in the chemical businesses. Earnings in the Oil & Gas segment matched the previous year’s level despite the decline in oil prices. As a result of the acquisitions, companies in North America increased sales by 23% in dollar terms and by 15% in euro terms. EBIT before special items declined by €33 million to €265 million. Earnings were reduced by the shutdown of the TDI plant in Geismar, Louisiana, as well as by weaker demand from the automotive industry. This could not be fully offset by the acquired businesses. In Asia Pacific, we increased sales by 37% in local currency terms and by 28% in euro terms. EBIT before special items climbed €92 million to €207 million. The sales and earnings growth was due to the acquisitions as well as strong demand for products from the Chemicals and Plastics segments. The measures to increase efficiency that were initiated in 2006 also contributed to the rise in earnings. In South America, Africa, Middle East first-quarter sales by location of company rose by 49% in local currency terms and by 41% in euro terms. EBIT before special items increased by €21 million to €53 million. The activities of the Catalysts division in South Africa and the Agricultural Products division in South America contributed to the expansion of the business. Higher prices for agricultural produce have improved the economic situation for farmers in Brazil, thus increasing demand for crop protection products. FROM THE REGIONS     Europe: Earnings improve due to acquisitions and organic growth North America: Shutdown of TDI plant negatively impacts earnings Asia: Profitable growth in Chemicals and Plastics segments South America: Agricultural Products business improves Overview of Other Topics Research and development In 2007, BASF is planning to launch two new active ingredients: the rice fungicide orysastrobin and the insecticide metaflumizone. The peak sales potential of BASF’s development pipeline of innovative crop protection active ingredients is €800 million. The Agricultural Products division is currently working on developing seven new active ingredients and on one new herbicide tolerance project. Seven additional crop protection active ingredients with a peak sales potential of €1,000 million are currently being introduced to the market. The collaboration agreement with Monsanto that was signed in March shows that BASF’s innovativeness makes it an attractive partner in the area of plant biotechnology. The collaboration focuses on developing and marketing high yielding crops and crops that are more tolerant to adverse environmental conditions such as heat and drought. The joint pipeline will include the companies’ existing and planned yield and stress tolerance programs for the globally important crops corn (maize), soybeans, cotton and canola (oilseed rape). The companies also announced that they had entered into a separate development and commercialization collaboration to research methods to control the soybean cyst nematode, a parasitic worm that can limit and destroy yields for soybean farmers. Over the life of the collaboration, BASF and Monsanto will dedicate a combined budget of potentially $1.5 billion to the joint development pipeline. This results in an increase in BASF’s research costs for plant biotechnology, which are recorded under "Other.” The innovative insulating foam Neopor® needs less material to achieve the same insulation quality as Styropor®, thus making a key contribution to energy efficiency and climate protection. Silver-gray Neopor is primarily used to insulate buildings and contains special graphite particles that reflect heat waves like a mirror. Thanks to strong demand, BASF will triple production capacity for Neopor in Ludwigshafen by the end of 2008 and will also start producing this insulating material in South Korea. Employees Compared with the end of 2006, the number of BASF Group employees declined by 291 to 94,956. As a result, the number of employees declined by 0.7% in Europe and by 0.6% in North America. In the South America, Africa, Middle East region and in Asia Pacific, the number of employees rose by 0.9% and 1.5%, respectively. As a result of the acquisitions, personnel costs increased by 15% compared with the same period of 2006 and amounted to €1,595 million in the first quarter of 2007.   RESEARCH AND DEVELOPMENT Collaboration with Monsanto to develop and market stress-tolerant and high yielding crops Innovative insulating foam Neopor®ensures greater energy efficiency Research costs by segment First quarter 2007   1  Chemicals 13% 2  Plastics 11% 3  Performance Products 23% 4  Agricultural Products &Nutrition 26% 5  Corporate research, Other 27% 100% Consolidated Statements of Income 1st Quarter Full Year Million € 2007  2006  Changein % 2006  Sales 14,632  12,515  16.9  52,610    Cost of sales 10,355  8,888  16.5  37,698  Gross profit on sales 4,277  3,627  17.9  14,912  Selling expenses 1,325  1,103  20.1  4,995  General and administrative expenses 246  186  32.3  893  Research and development expenses 345  305  13.1  1,277  Other operating income 156  250  (37.6) 934  Other operating expenses 507  434  16.8  1,931  Income from operations 2,010  1,849  8.7  6,750  Income from financial assets 18  15  20.0  72  Interest result (112) (48) .  (372) Other financial result –  54  –  77  Financial result (94) 21  .  (223) Income before taxes and minority interests 1,916  1,870  2.5  6,527  Income taxes 775  853  (9.1) 3,061  Income before minority interests 1,141  1,017  12.2  3,466  Minority interests 106  67  58.2  251  Net income 1,035  950  8.9  3,215    Earnings per share Number of shares, in million (weighted) 497  509  (2.4) 504  Dilutive effect –  –  –  –  Earnings per share (€) Undiluted 2.08  1.87  11.2  6.37  Diluted 2.08  1.87  11.2  6.37  Consolidated Balance Sheets Assets Million € March31,2007 March31,2006 Changein % Dec. 31,2006 Changein % Long-term assets Intangible assets 8,888  3,662  142.7  8,922  (0.4) Property, plant and equipment 14,772  13,976  5.7  14,902  (0.9) Investments accounted for using the equitymethod 672  267  151.7  651  3.2  Other financial assets 1,181  866  36.4  1,190  (0.8) Deferred taxes 622  1,046  (40.5) 622  –  Other long-term assets 698  521  34.0  612  14.1  26,833  20,338  31.9  26,899  (0.2) Short-term assets Inventories 6,372  5,364  18.8  6,672  (4.5) Accounts receivable, trade 8,714  7,529  15.7  8,223  6.0  Other receivables and miscellaneousshort-term assets 3,056  1,694  80.4  2,607  17.2  Marketable securities 59  116  (49.1) 56  5.4  Cash and cash equivalents 658  2,999  (78.1) 834  (21.1) 18,859  17,702  6.5  18,392  2.5  Total assets 45,692  38,040  20.1  45,291  0.9  Stockholders’ equity Million € March31,2007 March31,2006 Changein % Dec. 31,2006 Changein % Stockholders’ equity Subscribed capital 1,267  1,301  (2.6) 1,279  (0.9) Capital surplus 3,157  3,118  1.3  3,141  0.5  Retained earnings 13,974  12,525  11.6  13,302  5.1  Other comprehensive income 329  680  (51.6) 325  1.2  Minority interests 568  478  18.8  531  7.0  19,295  18,102  6.6  18,578  3.9  Long-term liabilities Provisions for pensions and similarobligations 1,446  1,419  1.9  1,452  (0.4) Other provisions 3,055  2,788  9.6  3,080  (0.8) Deferred taxes 1,396  640  118.1  1,441  (3.1) Financial indebtedness 5,783  3,629  59.4  5,788  (0.1) Other long-term liabilities 947  1,033  (8.3) 972  (2.6) 12,627  9,509  32.8  12,733  (0.8) Short-term liabilities Accounts payable, trade 3,791  2,770  36.9  4,755  (20.3) Provisions 2,994  3,046  (1.7) 2,848  5.1  Tax liabilities 1,163  1,252  (7.1) 858  35.5  Financial indebtedness 3,803  1,719  121.2  3,695  2.9  Other short-term liabilities 2,019  1,642  23.0  1,824  10.7  13,770  10,429  32.0  13,980  (1.5) Total stockholders’ equity and liabilities 45,692  38,040  20.1  45,291  0.9  Consolidated Statements of Cash Flows 1st Quarter Million € 2007  2006  Net income 1,035  950  Depreciation and amortization of long-term assets 663  552  Changes in net working capital (1,031) 61  Miscellaneous items 34  (115) Cash provided by operating activities 701  1,448    Payments related to tangible and intangible assets (465) (493) Acquisitions/divestitures (15) (7) Financial investments and other items (6) 195  Cash using in investing activities (486) (305)   Proceeds from capital increases/repayments (381) (377) Changes in financial liabilities 50  1,407  Dividends (66) (85) Cash provided by/used in financing activities (397) 945    Net changes in cash and cash equivalents (182) 2,088  Cash and cash equivalents as of beginning of yearand other changes 840  911  Cash and cash equivalents as shown on the balancesheet 658  2,999  Cash provided by operating activities In the first quarter of 2007, cash provided by operating activities amounted to €701 million compared with €1,448 million in the same period of 2006. This significant decline was due to a higher level of net working capital. As a result of the expansion of the business and seasonal effects in the Agricultural Products division, receivables rose, while trade accounts payable declined significantly. Cash used in investing activities Cash used in investing activities amounted to €486 million compared with €305 million in the first quarter of 2006. The first quarter of 2006 contained a cash inflow from the sale of securities. Cash used in financing activities We used €381 million to buy back shares. In the first quarter of 2007, we bought back 4.98 million shares for an average price of €76.50 per share under the €3 billion buyback program that is scheduled to run until the end of 2008. Cash and cash equivalents amounted to €658 million as of March 31, 2007 compared with €834 million as of the end of 2006. In the same period, financial indebtedness rose by €103 million to €9,586 million. Compared with year-end 2006, net debt increased by €279 million to €8,928 million. Consolidated Statements of Recognized Income and Expense Income and expense items 1st Quarter Million € 2007  2006  Net income before minority interests 1,141  1,017    Fair value changes in available-for-sale securities 1  56  Cash-flow hedges 49  16  Change in foreign currency translation adjustments (30) (83) Actuarial gains/losses from pensions and otherobligations 15  55  Deferred taxes (10) (14) Minority interests (3) (5) Total income and expenses recognized in equity 22  25    Total income and expense for the period 1,163  1,042  Thereof BASF 1,060  979  Thereof minority interests 103  63  Development of income and expense recognized directly in equity Retainedearnings Other comprehensive income Total incomeand expenserecognizeddirectly inequity     Million €   Actuarialgains/losses Foreigncurrencytranslationadjustments Fair valuechanges inavailable-for-salesecurities Cash-flowhedges Total ofothercomprehen-sive income   As of January1, 2007 (782) 26  341  (42) 325  (457) Additions 15  –  1  49  50  65  Releases –  (30) –  –  (30) (30) Deferred taxes 6  1  .  (17) (16) (10) As of March 31,2007 (761) (3) 342  (10) 329  (432)   As of January1, 2006 (894) 475  258  (37) 696  (198) Additions 55  –  56  16  72  127  Releases –  (83) –  –  (83) (83) Deferred taxes (9) 2  (1) (6) (5) (14) As of March 31,2006 (848) 394  313  (27) 680  (168) Consolidated Statements of Stockholders’ Equity 1st Quarter 2007 Number ofsubscribedshares outstanding Subscribed capital Capitalsurplus Retainedearnings Other comprehensive income Minority interests Stock-holders’equity Million € As of January 1, 2007 499,680,000  1,279  3,141  13,302  325  531  18,578    Share buy-back andcancellation of ownshares including own sharesintended to be cancelled (4,975,000) (12) 16  (385) –  –  (381)   Capital injection byminority interests –  –  –  –  –  –  –    Dividends paid –  –  –  –  –  (66) (66)   Net income –  –  –  1,035  –  106  1,141    Income and expenserecognized directlyin equity –  –  –  21  4  (3) 22    Change in scope ofconsolidation andother changes –  –  –  1  –  –  1    As of March 31, 2007 494,705,000  1,267  3,157  13,974  329  568  19,295  1st Quarter 2006 Number ofsubscribed shares outstanding Subscribed capital Capitalsurplus Retainedearnings Other com-prehensive income Minority interests Stock-holders’equity Million € As of January 1, 2006 514,379,000  1,317  3,100  11,928  696  482  17,523    Share buy-back andcancellation of ownshares including own sharesintended to be cancelled (6,259,000) (16) 18  (398) –  –  (396)   Capital injection byminority interests –  –  –  –  –  18  18    Dividends paid –  –  –  –  –  (85) (85)   Net income –  –  –  950  –  67  1,017    Income and expenserecognized directlyin equity –  –  –  46  (16) (5) 25    Change in scope ofconsolidation andother changes –  –  –  (1) –  1  –    As of March 31, 2006 508,120,000  1,301  3,118  12,525  680  478  18,102  Segment Reporting 1st Quarter Sales EBITDA Income from operations before special items Income from operations (EBIT) Million € 2007  2006  Changein % 2007  2006  Changein % 2007  2006  Changein % 2007  2006  Changein % Chemicals 3,489  2,239  55.8  786  452  73.9  628  317  98.1  618  317  95.0  Plastics 3,348  3,091  8.3  452  456  (0.9) 325  332  (2.1) 325  331  (1.8) Performance Products 2,826  2,147  31.6  355  329  7.9  229  248  (7.7) 219  247  (11.3) Agricultural Products& Nutrition 1,375  1,376  (0.1) 323  373  (13.4) 257  224  14.7  248  290  (14.5) Thereof AgriculturalProducts 897  928  (3.3) 268  333  (19.5) 225  213  5.6  220  280  (21.4) Fine Chemicals 478  448  6.7  55  40  37.5  32  11  190.9  28  10  180.0  Oil & Gas 2,970  2,985  (0.5) 969  953  1.7  845  848  (0.4) 845  848  (0.4) Other* 624  677  (7.8) (212) (162) (30.9) (168) (104) (61.5) (245) (184) (33.2) 14,632  12,515  16.9  2,673  2,401  11.3  2,116  1,865  13.5  2,010  1,849  8.7  1st Quarter Research and development expenses Assets** Additions to fixed assets*** Amortization and depreciation*** Million € 2007  2006  Changein % 2007  2006  Changein % 2007  2006  Changein % 2007  2006  Changein % Chemicals 46  31  48.4  10,444  6,198  68.5  130  162  (19.8) 168  135  24.4  Plastics 36  41  (12.2) 6,856  6,894  (0.6) 92  218  (57.8) 127  125  1.6  Performance Products 79  60  31.7  9,882  4,936  100.2  87  81  7.4  136  82  65.9  Agricultural Products& Nutrition 91  97  (6.2) 6,431  6,854  (6.2) 28  37  (24.3) 75  83  (9.6) Thereof AgriculturalProducts 75  80  (6.3) 4,880  5,365  (9.0) 17  15  13.3  48  53  (9.4) Fine Chemicals 16  17  (5.9) 1,551  1,489  4.2  11  22  (50.0) 27  30  (10.0) Oil & Gas –  –  –  4,754  4,798  (0.9) 79  75  5.3  124  105  18.1  Other* 93  76  22.4  7,325  8,360  (12.4) 23  27  (14.8) 33  22  50.0  345  305  13.1  45,692  38,040  20.1  439  600  (26.8) 663  552  20.1  * "Other” includes the fertilizers business and other businesses as well as expenses, income and assets not allocated to the segments. This item also includes foreign currency results from financial indebtedness that are not allocated to the segments, hedging of forecasted sales as well as from currency positions that are macro-hedged [€3 million in the first quarter of 2007 (first quarter 2006: €55 million)]. ** The assets of "Other” includes the assets of the fertilizers business and other businesses as well as assets that are not allocated to the segments (financial assets, cash and cash equivalents, financial receivables, deferred taxes; first quarter 2007: €4,826 million, first quarter 2006: €6,685 million). *** Tangible and intangible fixed assets Explanations to the Interim Financial Statements 1. Basis of presentation The Consolidated Financial Statements of BASF Group for the year ended December 31, 2006 were prepared according to the International Financial Reporting Standards (IFRS) valid as of the balance sheet date. The current interim financial statements were prepared using the same accounting policies. > BASF’s Financial Report for fiscal 2006 is available on the Internet at corporate.basf.com/financial-report. Compared with the end of 2006, the assumptions used to determine expenses for pension benefit did not have to be changed as of March 31, 2007: The interest rate and expected pension increase were unchanged at 4.50% and 1.75%, respectively. The interim financial statements have not been audited. 2. Scope of consolidation The Consolidated Financial Statements include BASF Aktiengesellschaft, the parent company, as well as all material subsidiaries on a fully consolidated basis. Material jointly operated companies are proportionally consolidated. The number of fully and proportionally consolidated companies has developed as follows: Scope of consolidation 2007  2006  As of January 1 328  180  Thereof proportionally consolidated 19  15  First-time consolidations 11  151  Thereof proportionally consolidated –  4  Thereof changes in the consolidation method –  –  Deconsolidations 4  3  Thereof proportionally consolidated –  –  As of March 31/December 31 335  328  Thereof proportionally consolidated 19  19  Eleven companies, thereof nine holding companies and two companies due to their increased importance, have been included in the scope of consolidation for the first time since January 1, 2007. Four companies have been deconsolidated since the beginning of 2007 because they were merged with other BASF companies or sold. Companies accounted for using the equity method were as follows: Equity method March 31,2007 Dec. 312006 Affiliated companies 10  11  Joint ventures 6  6  Other associated companies 3  3  19  20  FORWARD-LOOKING STATEMENTS This report contains forward-looking statements under the U.S. Private Securities Litigation Reform Act of 1995. These statements are based on current expectations, estimates and projections of BASF management and currently available information. They are not guarantees of future performance, involve certain risks and uncertainties that are difficult to predict and are based upon assumptions as to future events that may not prove to be accurate. Many factors could cause the actual results, performance or achievements of BASF to be materially different from those that may be expressed or implied by such statements. Such factors include those discussed in BASF’s Form 20-F filed with the Securities and Exchange Commission. The Report on Form 20-F is available on the Internet at corporate.basf.com/20-F-Report. We do not assume any obligation to update the forward-looking statements contained in this report.