UK Communications August 2006CHALLENGING BOUNDARIES

Rhodia in the UK

2006

August 2006UK Communications CHALLENGING BOUNDARIES2

Rhodia UK: a changing business perimeter

1927 - Rhône-Poulenc acquires UK company May & Baker (pharmaceuticals, agrochemicals and chemicals).

1989 - Acquisition of RTZ’s speciality chemicals business and creationof Rhône-Poulenc Chemicals Ltd.

1998 - Rhône-Poulenc’s Chemicals and Fibres sectors are merged to create Rhodia and the company begins trading on the Paris Bourse and New York Stock Exchange.

- Disposal of Lifford and Gloucester sites.

- Creation of Nufarm Ltd.

- Creation of IDS (Isceon distribution).

2000 - Acquisition of Albright & Wilson (Specialty Phosphates and Phosphorus & Performance Derivatives).

- Acquisition of ChiRex (Pharmaceutical contract research and manufacturing).

August 2006UK Communications CHALLENGING BOUNDARIES3

Rhodia UK: a changing business perimeter

2001 - Sale of Albright & Wilson Surfactants Europe to Huntsman.

- Sale of Metal Organic business (Clayton) to OMG.

2002 - Sale of Brewing & Enzymes business (Woodley) to Genencor Inc.

2003 - Sale of the polyurethane flame retardants business and the Avonmouth PPD site to Albemarle Corporation.

2004 - Sale of Specialty Phosphates Europe, including the Widnes site and manufacturing facilities at the Oldbury PPD site to Thermphos.

- Sale of chlor-alkali and sulphuric acid businesses at Staveley, Derbyshire, to INEOS Chlor.

- Sale of anaesthetics business based at the Avonmouth site to Nicholas Piramal India Ltd.

August 2006UK Communications CHALLENGING BOUNDARIES4

Rhodia UK: a changing business perimeter

2005 - Sale of refrigerant blends business based in Avonmouth to DuPont.

- Sale of silicone cartridge sealants, including the Oadby site, to Henkel.

- Sale of the latex coatings business, including the Clayton site, to Hexion

2006 - Sale of custom synthesis business, including the Annan and Dudley sites, to Shasun Chemicals & Drugs.

August 2006UK Communications CHALLENGING BOUNDARIES5

Plant

Offices

Technical Centres

Location of UK sites

Oldbury

BordonAvonmouth

Leeds

Staveley

Watford

August 2006UK Communications CHALLENGING BOUNDARIES6

Sites by global enterprise

• LeedsSurfactants and biocides for the personal care,detergency, emulsion polymerisation, metalworkingand water treatment markets.

• OldburyManufacture of phosphorus derivatives used in water treatment detergents, flame retardants andfine chemicals.

• StaveleyToll manufacturing of sulphuric acid exclusively forINEOS Chlor.

Rhodia Novecare

• BordonSales and technical centre for silicone products used in flame retardant cables, airbags, marine paints etc. .

Silcea

• AvonmouthManufacture of agrochemical intermediates,anaesthetics for human and veterinary use andrefrigerants.

Organics

August 2006UK Communications CHALLENGING BOUNDARIES7

0

500

1000

1500

2000

2500

3000

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005

Headcount

A&W +1432

ChiRex +512

Rhodia UK: headcount

Creation ofRhodia

1395

1198 1118911 930

2855

2288

1951

Rhodia Group total headcount: 19,500

1600

1200*

995

August 2006UK Communications CHALLENGING BOUNDARIES8

Rhodia Group 2005: External sales by production zone

Rest of Europe

North America:19% of sales

Europe:50% of sales

Latin America:12% of sales

Asia Pacific:19% of sales

GLOBAL TOTAL SALES:

€5,085m

UK TOTAL SALES:

€245m