Dow Announces $2 Billion Share Repurchase Program

Midland, MI - October 26, 2006 - The Dow Chemical Company (NYSE: DOW) announced today that its board of directors has approved a new share buy-back program, authorizing up to $2 billion to be spent on the repurchase of the Company’s stock. The program will begin once the current repurchase authorization - announced in July 2005 and now over 70 percent complete - is concluded.

“Dow stock represents exceptional value and this repurchase program underscores the board’s confidence that the Company’s strategy will continue to generate strong levels of cash flow,” said Andrew Liveris, Dow’s chairman and chief executive officer.

“Our solid financial position allows us to undertake this program, while retaining the financial flexibility necessary to invest in our growth strategy, whether through new capital projects or by pursuing appropriate M&A opportunities. And going forward, we will continue to maximize long-term shareholder value as we effectively balance the use of our cash: on one hand rewarding our shareholders; on the other, growing our businesses,” concluded Liveris.

Dow is a diversified chemical company that harnesses the power of science and technology to improve living daily. The Company offers a broad range of innovative products and services to customers in more than 175 countries, helping them to provide everything from fresh water, food and pharmaceuticals to paints, packaging and personal care products. Built on a commitment to its principles of sustainability, Dow has annual sales of $46 billion and employs 42,000 people worldwide. References to “Dow” or the “Company” mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. More information about Dow can be found at www.dow.com.

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Chris Huntley

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