Dow Releases White Paper on Joint Ventures

The Dow Chemical Company today released a White Paper providing greater clarity around the Company’s joint venture activities.

The Paper has a specific focus on the Company’s principal joint ventures, numbering around a dozen in total, which last year accounted for approximately 90 percent of Dow’s equity earnings and cash distributions from nonconsolidated affiliates.

The significance to Dow of its joint venture activities – as contributors to current earnings and cash flow, as well as vehicles for future value growth – has risen markedly in recent years.

In 2006, the Company’s nonconsolidated affiliates contributed equity earnings of almost $1 billion, while Dow’s share of cash distributions from these operations totaled more than $600 million.

Dow formed its first joint venture, Dow Corning Corporation, in 1943. Today, joint ventures are an integral part of the Company’s business model, providing access to key markets, growth geographies, new technologies and advantaged feedstocks, while at the same time lowering capital investment and reducing risk.