Dow Increases Global Capacity for Solid CARBOWAX™ SENTRY™ PEGs

Midland, MI -In response to growing global demand for its products, The Dow Chemical Company will increase production capacity for solid grade CARBOWAX™ SENTRY™ Polyethylene Glycols (PEGs) by approximately 30 percent before the end of 2008. The capacity increase will occur at the St. Charles Operations manufacturing facility located in Hahnville, Louisiana. St. Charles Operations is a Union Carbide facility, owned by The Dow Chemical Company.

While recognized as a global leader in the PEG market, this capacity increase reinforces Dow’s comittment to support the growth requirements of its global customer base. CARBOWAX™ SENTRY™ PEGs are produced to meet the high quality requirements of pharmaceutical, food and personal care applications around the world. These materials are produced under strict cGMP compliance and meet applicable requirements of the United States Pharmacopeia (USP)/National Formulary (NF), European Pharmocopoeia (EP) and Food Chemicals Codex (FCC ).

Dow’s Growth Strategy

Increasing its participation in performance chemicals is part of Dow’s overall strategy to grow anddeliver more consistent earnings and growth. The expansion at St. Charles Operations is another example of how Dow is executing this strategy. The St. Charles Operations plant is the world’s largest and newest facility dedicated exclusively to the production of polyethylene glycols.