Investor Day Randy Stone, President - November 8, 2018
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Investor Day
November 8, 2018
Tr a n s p o r t a t i o n & Ad va n c e d P o l ym e r s
ProductStone,
Randy or business
President
name
TRANSPORTATION & ADVANCED POLYMERS KEY MESSAGES
Transforming Industries and Improving Lives through Material Science
› 12% Annual revenue growth*
Superior Financial
› 20% Annual adjusted operating EBITDA growth**
Performance* › >360 Basis point margin improvement**
› 95% Product line is specialty, engineered, or custom-formulated
Specialty
› 50% Increase in growth capital for high return businesses
Product Line › 39 Global manufacturing assets, strong and balanced regional footprint
› #1 Leadership position in Automotive, Electronics, Industrial & Consumer
Advantaged
› >2X Growth rate above global autobuilds
Market Positions › ~3,000 Customer development projects to drive growth
2016 and 2017 financial information is on a pro forma basis
*Represents results from 2016-2018E DuPont Transportation & Advanced Polymers 2
**Adjusted operating EBITDA excludes non-operating pension/OPEB costs
TRANSPORTATION & ADVANCED POLYMERS OVERVIEW
LARGE & PROFITABLE (2018E) NET SALES (2018E)
BY BUSINESS SOURCES OF COMPETITIVE ADVANTAGE
$5.7B 29% › Leading customer positions in high growth markets
NET SALES ADJUSTED OP. › Innovation based on advantaged technology platform,
29% application development capabilities
EBITDA MARGIN Performance Solutions
47% Performance Resins › Specialty product portfolio
Engineering Polymers
24%
29% 24% GROWTH STRATEGY
41%
› Extend leadership in attractive growth markets
including auto electrification and healthcare
6%
› Disciplined capital deployment
BY MARKET SEGMENTS
› Drive innovation portfolio
Automotive
4%
5%
Advanced Mobility
16% 34% PEERS
Electronics
› 3M
Industrial
~5,300 39 18%
Healthcare
› EMS
› Hexcel
COLLEAGUES MANUFACTURING 23%
SITES Consumer › Victrex
DuPont Transportation & Advanced Polymers 3
Adjusted operating EBITDA excludes non-operating pension/OPEB costs
STRONG GLOBAL BUSINESSES
Performance Resins Engineering Polymers Performance Solutions
Value Proposition
Unique products & technology and deep Unrivaled engineering plastics portfolio, Highly differentiated specialty businesses
application expertise for highly global presence and leading formulation, in critical industry applications with
demanding applications design and processing expertise secular market growth
› Zytel® › Crastin® › Betamate® › Molykote®
› Delrin® › Vamac®
› Zytel® HTN › Rynite® › Betaseal® › Kalrez®
› Hytrel® › Multibase
Brands
› Specialty › Filaments › Medical › Vespel®
Nylon Silicones
Market Growth Market Growth Market Growth
GDP+ GDP+ ~2x GDP
DuPont Transportation & Advanced Polymers 4
Source: Internal DuPont estimates
ADDRESSING THE WORLD’S MOST CRITICAL NEEDS
Market
Global Megatrends Our Solution Space Size**
Automotive
› Lightweighting › Crash safety
Automotive
Electrification
Nearly half of cars
will be H/E by 2030 › Fuel efficiency & EV › Comfort
$12B
range
Future Mobility
› Structural adhesives, › Materials for power,
thermal management for infrastructure, signal
$6B
Renewability/ batteries electronics
Sustainability 70% higher content*
Electronics
› Semiconductor › Signal electronics
manufacturing › Handheld devices
$3B
› Connectors, cables
1.1 billion 5G
Connectivity
connections by 2025 Industrial & Consumer
› Connected appliances › Oil & gas $4B
› Aero engines
Health and 65+ population Healthcare
Wellness doubles by 2030 › Medical devices › Transdermal drug $1B
› Bio pharma processing delivery
*Additional revenue content per vehicle increase in hybrid / electric cars versus ICE
** 2017 addressable market size DuPont Transportation & Advanced Polymers 5
Source: IHS Data; Internal DuPont estimates
FUTURE MOBILITY DRIVES REVENUE GROWTH
REVENUE PER VEHICLE INCREASES BY >50% FROM INTERNAL COMBUSTION ENGINES TO
ELECTRIC VEHICLES
ICE
$190-$200/vehicle
Hybrid
$300-$320/vehicle
BEV
$320-$340/vehicle
ICE = Internal Combustion Engine
BEV = Battery Electric Vehicle
DuPont Transportation & Advanced Polymers 6
Source: Internal DuPont estimates
DUPONT MOBILITY SOLUTIONS TO MOVE AHEAD™
Future Mobility Time / Requirements
Industry Needs Progression to Scale* DuPont Capabilities
HYBRID / EV Ongoing
PARTIAL
Ongoing
AUTOMATION
• CONNECTIVITY • ADHESIVES
• LIGHTWEIGHTING 2022-24 • ARAMIDS
ELECTRIC
Battery range; Total
VEHICLES
• THERMAL
Cost of Ownership • ELECTRONIC MATERIALS
MANAGEMENT
• DISPLAY TECHNOLOGIES
2028-30
COMPLETE
• NOISE, VIBRATION, Regulation;
AND HARSHENESS
AUTOMATION
Infrastructure • ENGINEERING POLYMERS
• SAFETY • SILICONES
2030
SHARED
Insurance Liability;
MOBILITY
Consumer Acceptance
* Scale defined as 20% of new yearly car build penetration or 20% of total miles driven
DuPont Transportation & Advanced Polymers 7
PROVIDING INDUSTRY LEADING INNOVATION
KALREZ® & VESPEL® HIGH PERFORMANCE PARTS
KALREZ® VESPEL®
STRONG GROWTH STRONG GROWTH
Profitable & Growing Profitable & Growing
Market Market
~10% ~8%
CAGR growth until 2022 CAGR growth until 2022
Value Proposition Value Proposition
› Specialty seals for the most demanding applications › Custom engineered solutions for challenging wear and friction
› Resistant to 1,800 chemicals applications
› Withstands temperatures up to 325 degrees Celsius › Non-melting engineering plastic – stable up to 370 degrees
Celsius
Source: Internal DuPont estimates
DuPont Transportation & Advanced Polymers 8
DELIVERING COST & GROWTH SYNERGIES
Combining the strengths & capabilities of two GROWTH SYNERGY DRIVERS
leading portfolios to drive innovation in mobility,
healthcare, electronics, and industrials Cross-Technology Innovation
› Complementary automotive portfolio enhances Cross-Selling Opportunities
leadership position in auto electrification
Market
Leadership › Healthcare market leadership in silicones
provides access to expand engineered Capacity Expansion / Release
polymers solutions for Growth Businesses
› Differentiated automotive systems solutions by
combining engineered polymers and adhesives COST SYNERGIES
Innovation
› Unique healthcare wearable device solutions › Increased manufacturing productivity
Platforms
using engineered polymers, silicones, and › Site consolidations
adhesives
DuPont Transportation & Advanced Polymers 9
DRIVING SUSTAINABLE TOP & BOTTOM LINE GROWTH
FINANCIAL SUMMARY ($ BILLIONS) MEDIUM-TERM OUTLOOK
$5.1 $5.7
$4.5
1.5x GDP growth
NET
SALES › Accelerate volume growth through
12% CAGR capacity release
2016A 2017A 2018E Sales
Growth › Mix enrichment strategy for core
products
$1.6
ADJUSTED $1.1
$1.3 › Delivery of innovation pipeline projects
OPERATING and growth synergy opportunities
EBITDA
20% CAGR
2016A 2017A 2018E › Leverage lean operating model &
productivity mindset
29%
ADJ. OPERATING 26% Operating › Maintain strategic pricing capability
25%
EBITDA MARGIN Leverage through reliable supply and
segmentation
>360 bps
improvement › Accelerate digital transformation
2016A 2017A 2018E
Note: 2016 and 2017 financial information is on a pro forma basis DuPont Transportation & Advanced Polymers 10
Adjusted operating EBITDA excludes non-operating pension/OPEB costsInvestor Day
November 8, 2018
Electronics & Imaging
Product
Jim Fahey,
or business
President
nameELECTRONICS & IMAGING KEY MESSAGES
World-leading electronic materials portfolio enabled by expertise in integrating materials to meet
customer needs, global market presence and best-in-class manufacturing capabilities
› Market trends such as AI, IoT, 5G, autonomous vehicles and smart cities/homes
Robust and Multi-
are all accelerating
Faceted End Market
› These market trends are enabled by Moore’s Law
Demand
› Moore’s Law has and will continue to be driven by novel materials
› Key design partner with leading OEMs
Enabling
› Uniquely positioned to win through innovative products, deep customer
Differentiation
intimacy, and materials integration capabilities
Through Innovation
› Largest portfolio of products in the semiconductor industry
› Completion of CMP expansion in Taiwan
Driving Continued
› Expansion in manufacturing for semi and display in Korea
Shift to Asia
› Headcount additions concentrated in Asia (50% R&D located in Asia)
DuPont Electronics & Imaging 12ELECTRONICS & IMAGING OVERVIEW
LARGE & PROFITABLE (2018E) NET SALES (2018E)
BY BUSINESS SOURCES OF COMPETITIVE ADVANTAGE
$4.8B 39% 5% Semiconductor Tech
› Innovation capabilities
NET SALES ADJUSTED OP. 11% › Advantaged product portfolio
Interconnect Solutions
EBITDA MARGIN 35% › Strong customer relationships
Photovoltaic and Advanced
23% Materials
Advanced Printing
10%
23% Display Tech GROWTH STRATEGY
26%
65% › Leadership position in growth markets
2% › Broad portfolio with differentiated strategies
BY MARKET SEGMENTS › Investment plans in attractive markets
Industrial
6%
6% Communications
31% PEERS
15% Consumer
› 3M
Data Processing
~6,000 40 16%
Automotive
› Versum
› Cabot Microelectronics
COLLEAGUES MANUFACTURING 26%
SITES Mil/Aerospace › Entegris
Adjusted operating EBITDA excludes non-operating pension/OPEB costs
DuPont Electronics & Imaging 13STRONG GLOBAL BUSINESSES
Semiconductor Photovoltaics &
Interconnect Solutions Advanced Printing Display Technologies
Technologies Advanced Materials
Value Proposition
Advanced materials for integrated Metallization, imaging, surface Materials to increase the lifetime Flexographic printing solutions for Materials for display applications,
chip fabrication and packaging to treatments and films to enable and power output of solar consumer packaging, and digital OLED materials, quantum dots,
enable improved connectivity, smaller and multi-functional modules. Films and pastes are printing inks for textile, and display process chemicals to
power, functionality and printed circuit boards also used in industrial applications commercial, home and office improve brightness, color
performance such as sensors, wearable applications saturation, viewing angle and light
electronics and protective films management
› Ikonic™ › Kapton® › Tedlar®
› Cyrel®
› Optiline™ › Riston® › Solamet® › Trevista®
Brands
› Artistri®
› AR™ 201 › Pyralux® › Intexar®
Market Growth Market Growth Market Growth Market Growth Market Growth
~ 2x GDP GDP+ GDP+ GDP+ > 5x GDP
Source: Internal DuPont estimates DuPont Electronics & Imaging 14ADDRESSING THE WORLD’S MOST CRITICAL NEEDS
Market
Global Megatrends Our Solution Space Size*
Semiconductor Technologies
› Smart phones › Automotive
Artificial intelligence
› PCs & servers › Data storage
$8B
Ubiquitous
Connectivity
Internet of things Interconnect Materials
› PCs › Automotive $5B
› Smart phones › Servers
Enhanced User
Experience
5G
Photovoltaics & Advanced Materials
› PV modules › Military & aerospace $6B
› Automotive
Smart cities
Future Mobility
Advanced Printing Materials
› Textile printing › Industrial printing $3B
Flexible electronics › Consumer digital printing
Environment
Display Materials
› OLED smartphones › LEDs
Autonomous driving
› LCD displays
$2B
* 2017 materials addressable market size DuPont Electronics & Imaging 15
Source: Internal DuPont estimatesPROVIDING INDUSTRY LEADING INNOVATION
IoT and Artificial Intelligence 5G Infrastructure
STRONG GROWTH STRONG GROWTH
Large & Growing New Market
Market
> 20% $3.5B
CAGR growth until 2022 Market Opportunity by 2022
Key Strengths Leveraged Key Strengths Leveraged
› IC and advanced packaging materials › High reliability circuit materials for ultra reliable low latency
› Flexible & foldable films for substrates and displays applications
› Solutions for improved performance and energy efficiency › High resolution display materials for AR/VR
› Thermal management solutions › Advanced low-loss dielectrics and high resolution
metallization
› Thermal management solutions
Sources: McKinsey, Gartner, BCG; Yole Development, SNS Research DuPont Electronics & Imaging 16DELIVERING COST & GROWTH SYNERGIES
SUCCESS STORIES
MORE SOLUTIONS ACROSS
THE COMPLETE VALUE CHAIN
KEY ACTIONS
› Amplify sales of existing products leveraging
market channels CMPT Kapton® Dielectric Smart
& EKC Film Infrastructure
› Integrate heritage technology programs to build
novel materials solutions › Continue › Expanding use of › Development of › Materials for next
investment and polyimide highly differentiated generation smart
localization in Asia dielectrics at higher materials for the devices &
(Taiwan and frequencies 5G space infrastructure
COST SYNERGIES Korea)
› Synergistic growth › Synergistic growth › Collaborating
› Consolidating offices and R&D sites in each › Synergistic growth focused on by leveraging across multiple
country/region through leveraging leveraging internal internal materials, businesses and
customers and materials, design integration product lines
› Leveraging contract manufacturing network in market channels expertise and expertise and
Asia across CMP, Litho market channel capacity availability
& EKC
DuPont Electronics & Imaging 17DRIVING SUSTAINABLE TOP & BOTTOM LINE GROWTH
FINANCIAL SUMMARY ($ BILLIONS) MEDIUM-TERM OUTLOOK
$4.8 $4.8
$4.3
NET 1.5x GDP driven by:
SALES
6% CAGR Sales › Market trends driving growth of new
2016A 2017A 2018E Growth applications and materials needs
› Design partner at key OEMs
$1.8 $1.9
$1.4
ADJUSTED
OPERATING
EBITDA
14% CAGR 2016A 2017A 2018E › New products commanding higher
price points
39% 39% Operating
33%
ADJ. OPERATING Leverage › Continued cost productivity
EBITDA MARGIN › Unique scale and channel access
>550 bps
improvement 2016A 2017A 2018E
Note: 2016 and 2017 financial information is on a pro forma basis
Adjusted operating EBITDA excludes non-operating pension/OPEB cost DuPont Electronics & Imaging 18
2018 net sales growth negatively impacted by SKC Haas divestmentInvestor Day
November 8, 2018
Safety & Construction
Product
Rose Lee,
or business
PresidentnameSAFETY & CONSTRUCTION KEY MESSAGES
A global leader providing highly engineered solutions for essential needs of water, shelter and
safety across a wide variety of end markets
› Solving world’s challenges in water, shelter, and safety
Strong Market
› Market leader based on proven track record, global scale and expertise
Leadership › Investing in capacity expansion and accelerating innovation
Highly › Unique technology and brand platforms
Differentiated › New application development powered by deep market intimacy
Offerings › Strong value chain partnerships in all regions
Solid Trajectory › Differential pricing and portfolio actions
for Margin › Operational reliability and productivity gains
Expansion › Strategic sourcing partnerships and supply chain simplification
DuPont Safety & Construction 20SAFETY & CONSTRUCTION OVERVIEW
LARGE & PROFITABLE (2018E) NET SALES (2018E)
BY BUSINESS SOURCES OF COMPETITIVE ADVANTAGE
$5.5B 25% › Global market reach and credibility
NET SALES ADJUSTED OP. 19% Aramids › Technical depth linked with market intimacy
29%
EBITDA MARGIN › Strong, global brands
Construction
23% Tyvek
27%
43% 29% Water GROWTH STRATEGY
26%
› Business simplification
4% › Disciplined capital deployment
BY MARKET SEGMENTS › Innovation acceleration
Construction
19% Personal Protective
34% Equipment PEERS
Transportation
11% › Honeywell
Medical
~7,000 42 5%
12%
Industrial/Other
› 3M
› Hexcel
COLLEAGUES MANUFACTURING 19%
SITES Water
› Kimberly-Clark
DuPont Safety & Construction 21
Adjusted operating EBITDA excludes non-operating pension/OPEB costsSTRONG GLOBAL BUSINESSES
Aramids Construction Tyvek® Enterprise Water Solutions
Value Proposition
Unmatched leader in essential From foundation to attic, our Tough, durable, breathable Innovators in purification,
lightweight strength, durability, portfolio of insulation, sealants materials that enable unique filtration and separation
thermal and electrical and weatherization products solutions for protecting people, technologies, setting industry
protection solutions across a deliver energy efficiency, goods and buildings standards for quality and
diverse array of industries and durability and comfort reliability
applications
› Styrofoam™ › Taptec™
› Kevlar®
Brands
› Corian® › Tyvek® › Filmtec™
› Nomex®
› Great Stuff™ › Amberlite™
Market Growth Market Growth Market Growth Market Growth
GDP+ GDP+ > 1.5x GDP > 2x GDP
Source: BCG
DuPont Safety & Construction 22ADDRESSING THE WORLD’S MOST CRITICAL NEEDS
Market
Global Megatrends Our Solution Space Size*
Medical & Pharma Packaging
Nearly half
› Medical Device › Pharma Cold Chain $4B
Packaging Packaging
Of the global population
could be facing water
scarcity by 20301
Water
Sustainable
Development › Residential, Industrial, › Specialty Processing $5B
Wastewater Filtration
53%
Global energy demand
growth by 20352
Aerospace & Automotive xEV
› Aerospace Light › xEV Electrical & Thermal $3B
2 million Weighting Insulation Systems
Target reduction in number
of fatalities from occupational Construction
accidents by 20303
› Building Thermal › Air-Sealing $20B
Protection
From Harm Management › Solid Surfaces
› Weatherization
20% CAGR
China’s medical device
market growth per year4 Personal Protective Equipment
› Chemical, Fire, Electrical, Biological and Ballistics $19B
Protection
Sources: 1. OECD 2. U.S. Department of Energy 3. United Nations 4. Financial Times DuPont Safety & Construction 23
* 2017 addressable market sizePROVIDING INDUSTRY LEADING INNOVATION
FILMTEC™ Residential Water Filtration Membrane Tyvek® 40L Medical Device Packaging
STRONG GROWTH STRONG GROWTH
Growing Market New Market
~20% ~$400MM
CAGR growth until 2022 Market Opportunity
Key Strengths Leveraged Key Strengths Leveraged
› Most trusted brand in RO space with three decades of › A unique and competitive solution for medical packaging
performance and three new products introduced this year challenges in Asia
› Multi-Tiered offering, partnering with leading brand owners to › 1st Tyvek® global medical product designed for and launched
customize solutions for their targeted consumers in China
Sources: BCG and internal estimates
DuPont Safety & Construction 24DELIVERING COST & GROWTH SYNERGIES
Combining the strengths & capabilities of two MARKET DRIVERS
influential portfolios in building materials to drive
innovative solutions Sustainable, Energy Efficient
Structures
› Complementary portfolio enables new solutions in
thermal comfort, structural protection and air sealing
Broad Solution & weatherization Construction Productivity
Portfolio › Increased end-user awareness and relevancy with
our branded solutions
“Smart” Enablement & Sensing
› Amplified market coverage leveraging DuPont’s
residential market footprint and Dow’s commercial
Market and retail market strength
Leadership › Deep technical expertise in all major building types:
concrete, timber and steel
COST SYNERGIES
› Market-intimacy led innovation focused on capturing › Manufacturing site consolidation and
value by transforming building practices and driving productivity
Innovation construction efficiencies
Platforms › Well positioned to foster partnerships across the › Business process simplification
value chain
DuPont Safety & Construction 25DRIVING SUSTAINABLE TOP & BOTTOM LINE GROWTH
FINANCIAL SUMMARY ($ BILLIONS) MEDIUM-TERM OUTLOOK
$5.5
$5.0 $5.1 1.5x GDP driven by:
NET
SALES › Innovation acceleration
5% CAGR Sales
2016A 2017A 2018E Growth › Capacity expansion
› Technical depth linked with market
$1.4 intimacy
$1.2 $1.2
ADJUSTED
OPERATING
EBITDA
4% CAGR 2016A 2017A 2018E
› Operational reliability and
Operating productivity gains
25% 24% 25%
Leverage › Differential pricing and portfolio
ADJ. OPERATING actions
EBITDA MARGIN
2016A 2017A 2018E
Note: 2016 and 2017 financial information is on a pro forma basis
Adjusted operating EBITDA excludes non-operating pension/OPEB benefit
DuPont Safety & Construction 26Investor Day
November 8, 2018
DuPont Industrial Biosciences
Product or
William Feehery,
business
President
nameINDUSTRIAL BIOSCIENCES KEY MESSAGES
World-leading position in the industrial biotechnology technology space, accessing a broad set of
markets, disrupting traditional chemical and material markets
› Leveraging world-leading biotechnology into enzyme and microbial solutions
Biotechnology › Accelerating new product introductions with high throughput robotic
Innovation experiments
Pioneer › Breakthrough renewable polymer products enabled by enzymes
› Strong pipeline of application and new product innovations
› Healthy pipeline of new-to-the-world molecules and formulated products
Technology Driven › Significant cost reduction and capital avoidance via continuous improvement of
Margin Expansion the “cell factory”
› 40% revenue from new products introduced in the last 5 years
› Global leader in industrial biotechnology, enzymatic solutions, high performance
Leader in Growing
biomaterials and specialty microbial control
Market Segments
› Pursue robust growth of animal, plant and skin microbiome
DuPont Industrial Biosciences 28INDUSTRIAL BIOSCIENCES OVERVIEW
LARGE & PROFITABLE (2018E) NET SALES (2018E)
BY BUSINESS SOURCES OF COMPETITIVE ADVANTAGE
$2.2B 13% Bioactives
› 25+ years of industrial biotechnology expertise
› Deep customer-focused application development
NET SALES
› Large scale manufacturing and operational
Biomaterials
24% 48% productivity
Microbial Control › Regulatory expertise
26% 15% Clean Technologies
41% GROWTH STRATEGY
26%
› Product innovation via cutting edge biotechnology
7% › Focus on high-growth markets
› Rapid new product speed-to-market
BY MARKET SEGMENTS
› Capacity and margin expansion through technology
advances
17% 10% Food & Bev
11% PEERS
Animal Nutrition
16% Home & Personal Care
› Novozymes
› Chr. Hansen
~2,800 19 18% Energy & Water
Industrial › Lonza
COLLEAGUES MANUFACTURING 28%
SITES Textile › Croda
DuPont Industrial Biosciences 29STRONG GLOBAL BUSINESSES
Bioactives Biomaterials Microbial Control Clean Technologies
Value Proposition
Premier global industrial enzymes Successful enzyme-enabled Leading producer of main
biopolymer businesses, selling a microbial control agent in oil/gas Primary technology provider to all
business, with significant biotech
highly differentiated specialty production; leading position in industries requiring high-quality
capability to genetically engineer
polyester to the carpet and primary microbial control agent in sulfuric acid with low
microbes using big data, 3D
apparel markets; world leading many personal care products; environmental impact; engineering
visualization and robotics; large
share in bio-PDO production; late- extensive microbiology, high and design services, aftermarket
manufacturing scale, global
stage pipeline of exciting new throughput testing and regulatory parts, and catalyst supply
footprint, and exposure to a wide
array of end markets biomaterials experience
› Synerxia® › Genencare® › Aqucar™ › Silvadur™ › Belco® › MECS®
› Excellenz™ › Axtra® Phy › Zemea® › Sorona® › Kathon™ › Stratco®
Brands
› Preferenz™ › Glutex™ › Isotherming®
Market Growth Market Growth Market Growth Market Growth
GDP+ ~ GDP GDP+ ~ GDP
Sources: Euromonitor, Bernstein, McKinsey, Freedonia, CRI, Intercontuft, BI Services, CRU, Platts and internal estimates
DuPont Industrial Biosciences 30ADDRESSING THE WORLD’S MOST CRITICAL NEEDS
Market
Global Megatrends Our Solution Space Size*
Industrial Biotechnology
› Food and grain processing › Animal health and nutrition
› Home and personal care › Carpet and apparel
Hygiene Solutions $15B
› Enzymes, yeast & › Enzymatic polysaccharides
Health & probiotics
Wellness › Specialty polyesters
Health & nutrition
Microbial Control
› Energy and water › Home and personal care
› Preservatives
Comfort
Solutions $7B
› Specialty biocides
Sustainable processes
& materials
Sustainability Clean Technologies
› FCC scrubbing › Acid and alkylation
solutions
Clean fuels & clean air
Solutions $2B
› Process technology and › Emissions control solutions
equipment › Industry support solutions
› Catalyst
* 2017 addressable market size
Source: Internal estimates
DuPont Industrial Biosciences 31PROVIDING INDUSTRY LEADING INNOVATION
Enzymes Power Cold Water Washing Probiotics and Enzymes in Poultry Feed Energy Solutions
STRONG STRONG STRONG
GROWTH GROWTH GROWTH
Large Market Expanding Market Large & Growing
Market
$1B ~$1B $1B
Market Market Market
Opportunity Opportunity Opportunity
Key Strengths Leveraged Key Strengths Leveraged Key Strengths Leveraged
› Best-in-class protein engineering technologies › Microbiome understanding, characterization, › Targeted microbial control to prepare,
to create superior cold water performance selection, and custom formulation decontaminate and protect oil & gas (water,
wells and reservoirs)
› Deep application expertise in laundry shortens › Probiotics and enzymes reduce feed costs,
time-to-market and improves success rate and enable healthier poultry › Integrated offering of yeast and enzymes that
improve bioethanol production yield by >3%
› Strong customer intimacy and collaboration › Reduced feed costs and increased farmer
across all functions returns
Sources: Bernstein, MarketsandMarkets, internal and customer consensus estimates DuPont Industrial Biosciences 32DELIVERING COST & GROWTH SYNERGIES
A POWERFUL COMBINATION OF CAPABILITIES ACCELERATES GROWTH IN HOME CARE
Laundry Malodor is an Emerging From DuPont
• Protein libraries
Challenge for Consumers • Probiotics
From Dow
• Microbial control
• Odor science
Shorter wash cycles, lower wash temperatures and
synthetic fabrics are more favorable to microbial growth From both companies
and malodor issues • Hygiene applications know-how
• Regulatory expertise
Permastink Low Temp Funk
COST SYNERGIES
› Elimination of redundant lab and analytical
Air Dry Stench Machine Odor capabilities
› Site consolidation
DuPont Industrial Biosciences 33DRIVING SUSTAINABLE TOP & BOTTOM LINE GROWTH
FINANCIAL SUMMARY ($ BILLIONS) MEDIUM-TERM OUTLOOK
$2.2
NET SALES $2.1 1.5x GDP growth driven by:
6% CAGR Sales › New products
$1.9 Growth
› Leadership positions in growth
markets and regions
› Technology-driven higher
value/lower cost products
Operating
› Product and customer segmentation
Leverage
› Efficiency of industrial-scale
fermentation
2016A 2017A 2018E
Note: 2016 and 2017 financial information is on a pro forma basis DuPont Industrial Biosciences 34Investor Day November 8, 2018 Nutrition & Health Matthias Heinzel, President
NUTRITION & HEALTH KEY MESSAGES
World-leading provider of innovative and sustainable solutions for the food and health industry, offering the
broadest portfolio across the food & beverage, dietary supplements and pharma excipients segments
Powerful and › Leading positions vs competition in key segments
Sustainable Market › Broadest portfolio in the market
Leadership › Unique route-to-market with strong customer access
› Combination of customer oriented application development and new product
Outstanding platforms
Innovation a Key › Differential portfolio management with focus on probiotics, cultures, HMO
Strength (Human Milk Oligosaccharides), pharma excipients and microbiome
› Metrics driven, strong pipeline management
› Proven track record of delivering profitable growth
Positioned for Top-
› Favorable secular markets with areas of high growth
Line Growth & Margin
› Proven, differentiated strategy and lean operating model to deliver strong
Expansion
operating leverage
DuPont Nutrition & Health 36NUTRITION & HEALTH OVERVIEW
LARGE & PROFITABLE (2018E) NET SALES (2018E)
BY BUSINESS SOURCES OF COMPETITIVE ADVANTAGE
$4.7B Probiotics, Cultures & Food
› Broad, market leading portfolio
› Innovation leadership with strong science foundation
NET SALES 16% 17%
Protection
Pharma Excipients
› Route-to-market and customer intimacy
22% 18% Systems & Texturants GROWTH STRATEGY
31% Protein Solutions › Focus on innovation to enable high-growth and high-
40% margin platforms
21% 27% Emulsifiers & Sweeteners
› Disciplined capital allocation
8% › Efficient operation model
› Active portfolio management
BY MARKET SEGMENTS
PEERS
› Chr. Hansen
Health & Wellness
35%
(includes dietary
› Kerry
supplements and pharma) › Givaudan
~8,000 55 65%
Food & Beverage › Int’l Flavors & Fragrances
COLLEAGUES MANUFACTURING
SITES
DuPont Nutrition & Health 37STRONG GLOBAL BUSINESSES
Probiotics & Pharma Systems & Emulsifiers &
Protein Solutions
Cultures Excipients Texturants Sweeteners
Value Proposition
Serving global Meeting drug delivery First choice for High-quality and Solutions for efficient,
demand for healthy, needs through healthy, application-specific functional food
natural and fermented innovative convenient and functionality for emulsification and
food & supplements solutions and close affordable foods that nutritionally and cost- natural specialty
market collaboration feel and taste great beneficial soy protein sweeteners
› Danisco® › MethocelTM › Danisco® › Danisco® › Danisco®
› Howaru® › Avicel® › Grindsted® › Supro® Max › Grindsted®
› Choozit® › Supro® › SolecTM
Brands
Nuggets
› Xivia®
› Supro® XT
Market Growth1) Market Growth2) Market Growth3) Market Growth4) Market Growth5)
> 2.5x GDP > 1.5x GDP GDP+ GDP+ ~ GDP
Sources: 1) Euromonitor, Nielsen, 2) BCG, BCC, Goldman Sachs, Technavio, 3) Euromonitor, Trade Data, BCC,
IMR, Martec, SAI, 4) Euromonitor, Trade Data, Martec, 5) Euromonitor, Trade Data BCC, Giract
DuPont Nutrition & Health 38ADDRESSING THE WORLD’S MOST CRITICAL NEEDS
Market
Global Megatrends Our Solution Space Size*
Food & Beverage
› Dairy
Nutrition for healthy › Beverages
living › Bakery $10B
› Confectionary and snacks
Growing & › Frozen desserts and fruit applications
Aging Smaller & local brands › Meat and poultry
Population winning
Demand for clean label
Dietary Supplements
Health & › Probiotics – concentrates
Wellness
Focus
›
›
Probiotics – finished formats
Microbiome solutions
$2B
Preventative health › Nutraceuticals
Health Next generation pharma
Solutions
ingredients
Access & Pharma Excipients
Affordability
› Immediate release tablets
Industrialization of food › Controlled release tablets
in emerging markets › Hard capsules $3.5B
› Non-gelatine, vegan soft capsules
› Enterics and solubility enhancement
› Anti-reflux
Sources: Euromonitor, BCC, Trade Data, Martec, IMR, Giract, 3A, Blimling, NBJ, Nielsen, BCG, Goldman Sachs, Technavio, Company
reports DuPont Nutrition & Health 39
* 2017 addressable market sizePROVIDING INDUSTRY LEADING INNOVATION
Probiotics: Creating a Health Category HMO: The Next Step in Infant Formulation Pharma Excipients: Free-From Capsules
The Core:
STRONG Infant STRONG STRONG
GROWTH Nutrition GROWTH GROWTH
Next Tier:
Toddler &
Large & Trending Market
Adult Health New Market
Growing Market
~$1B ~8%
~7-8% Annual growth
Probiotics annual Market gelatin-free
growth rate1) Opportunity2) capsules market3)
Key Strengths Leveraged Key Strengths Leveraged Key Strengths Leveraged
› Cultures expertise and strong science › Reputation for quality and safety › Combined excipient know-how used to
foundation develop gelatin-free capsules
› Innovation skills and probiotics leadership
› Global consumer insights › Expertise and formulation skills from soft gels
› External partnerships and Industrial
and hard capsules
› Committed investment strategy for continued Biosciences collaboration
growth › Global market reach
Sources: 1) Euromonitor, 2) Euromonitor, 3) Newry DuPont Nutrition & Health 40DELIVERING COST & GROWTH SYNERGIES
Bringing Together Three Winning Businesses Creates a Unique Value Proposition
% of
Food & Dietary Pharma
Revenue Beverage Supplements Excipients
(2018E)
...and growth and cost synergies
Innovation Capabilities Lean Business Structure
Example: Example:
Improve Formulation Expertise Operations & Sourcing In-sourcing of
probiotics with cellulosics for
pharma Channel Reach Lower Overhead Costs higher-value
excipients functional
expertise systems
Growth Platform Office & Warehouse Consolidation
Growth Cost
DuPont Nutrition & Health 41DRIVING SUSTAINABLE TOP & BOTTOM LINE GROWTH
FINANCIAL SUMMARY ($ BILLIONS) MEDIUM-TERM OUTLOOK
$6.0 $6.9
$5.7
NET $2.2
$1.9 $2.1 1.5x GDP driven by:
SALES IB
$3.8 $3.9 $4.7
9% CAGR N&H › Underlying market growth driven by
Sales consumer trends
2016A 2017A 2018E
Growth › Outstanding innovation strength
$1.6
ADJUSTED $1.3 $1.3 › Global customer intimacy and
footprint in emerging regions
OPERATING
EBITDA
13% CAGR 2016A 2017A 2018E
24% › Lean operating model
22% 22%
ADJ OPERATING Operating
Leverage › Portfolio investments in high
EBITDA MARGIN
growth/high margin markets
>160 bps
improvement 2016A 2017A 2018E
Note: 2016 and 2017 financial information is on a pro forma basis
Operating EBITDA excludes non-operating pension/OPEB costs DuPont Nutrition & Health 42
2018 N&H results benefitting from FMC H&N acquisitionSafe Harbor Statement
This presentation contains “forward-looking statements” within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. In this context, forward-looking statements often address expected future business and financial performance and financial condition, and often contain
words such as “expect,” “anticipate,” “intend,” “plan,” “believe,” “seek,” “see,” “will,” “would,” “target,” “objective,” and similar expressions and variations or negatives of these words.
Forward-looking statements by their nature address matters that are, to different degrees, uncertain, such as statements about the internal reorganization of DowDuPont’s agriculture, materials science
and specialty products businesses and the anticipated benefits thereof as well as the anticipated separation and distribution of Corteva Inc. (“Corteva”) and Dow Holding Inc. (“Dow”). These and other
forward-looking statements, including the failure to complete, or to make any filing or take any other action required to be taken to complete, the separations and distributions are not guarantees of future
results and are subject to risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed in any forward-looking statements. Forward-looking statements also
involve risks and uncertainties, many of which are beyond our control. Some of the important factors that could cause the actual results of DuPont to differ materially from those projected in any such
forward-looking statements include, but are not limited to (i) changes in credit ratings, (ii) risks associated with international sales and operations, (iii) availability, and variable costs, of raw materials and
energy, (iv) competitive conditions and customer preferences, (v) the costs of complying with evolving regulatory requirements, (vi) disruptions to supply chains, information technology or network
systems, (vii) protection of intellectual property, (viii) concerns regarding chemicals in commerce, including their environmental impact, (ix) failure to comply with government regulations, (x) impairments to
goodwill or intangible assets, (xi) failure to effectively manage acquisitions, divestitures, alliances and other portfolio actions, (xii) litigation and other commitments and contingencies, (xiii) subjection to
laws, regulations and mandates globally, (xiv) failure to increase productivity through sustainable operational improvements, (xv) the dependence of tax liabilities upon the distribution of income among the
various jurisdictions in which we operate and (xvi) failure of risk management strategies.
Risks related to the separations and distributions and to achieving the anticipated benefits thereof include, but are not limited to, a number of conditions which could delay, prevent or otherwise adversely
affect the separations and distributions, as well as other risks, including risks related to (i) our inability to achieve some or all of the benefits that we expect to receive from the separations and distributions,
(ii) certain tax risks associated with the separations and distributions, (iii) our inability to make necessary changes to operate as a stand-alone company following the separations and distributions, (iv) the
failure of our pro forma financial information to be a reliable indicator of our future results, (v) our inability to enjoy the same benefits of diversity, leverage and market reputation that we enjoyed as a
combined company, (vi) restrictions under the intellectual property cross-license agreements, (vii) our inability to receive third-party consents required under the separation agreement, (viii) our customers,
suppliers and others’ perception of our financial stability on a stand-alone basis, (ix) non-compete restrictions under the separation agreement, (x) receipt of less favorable terms in the commercial
agreements we will enter into with Dow and Corteva than we would have received from an unaffiliated third party and (xi) our indemnification of Dow and/or Corteva for certain liabilities. We assume no
obligation to publicly provide revisions or updates to any forward-looking statements, whether as a result of new information, future developments or otherwise, should circumstances change, except as
otherwise required by securities and other applicable laws.
Additionally, this presentation includes certain estimates, objectives and targets that are forward-looking and subject to significant business, economic, regulatory and competitive uncertainties and
contingencies, many of which are beyond our control, and are based upon assumptions with respect to future decisions, which are subject to change. Actual results will vary and those variations may be
material. Nothing in this presentation should be regarded as a representation by any person that these objectives will be achieved and we undertake no duty to update this information, except as otherwise
required by securities and other applicable laws.
For further discussion of certain important factors that could cause variations in our forward-looking statements, please consult the “Risk Factors” section of the most recent Annual Report on Form 10-K
and Quarterly Reports on Form 10-Q of DowDuPont, The Dow Chemical Company (“Historical Dow”) and E. I. du Pont de Nemours and Company (“Historical DuPont”), as well as the current reports and
other information that DowDuPont, Historical DuPont, Historical How, Dow or DuPont may file with the Securities and Exchange Commission from time to time.
43Safe Harbor Statement, continued
Non-GAAP Information: This presentation includes information that does not conform to U.S. GAAP and are considered non-GAAP measures. These measures include operating EBITDA and operating
EBITDA margin, and pro forma operating EBITDA and pro forma operating EBITDA margin, as adjusted by removing expense/benefits associated with non-operating pension and other postemployment
benefits (OPEBs). We believe that these non-GAAP measures best reflect the ongoing performance of DuPont during the periods presented and provide more relevant and meaningful information to investors
as they provide insight with respect to ongoing operating results of the DuPont and a more useful comparison of year-over-year results. These non-GAAP measures supplement our U.S. GAAP disclosures
and should not be viewed as an alternative to U.S. GAAP measures of performance. Furthermore, such non-GAAP measures may not be consistent with similar measures provided or used by other
companies. Reconciliations for these non-GAAP measures to GAAP are included in this presentation or on the company’s website.
Divisional Information: Discussion of DuPont net sales, adjusted operating EBITDA, including on a pro forma basis, and price/volume metrics on a divisional and segment basis is based on the combined and
separate results of and estimates for DowDuPont’s Electronics & Imaging, Nutrition & Biosciences, Transportation & Advanced Polymers, and Safety & Construction segments. Information for the years ended
December 31, 2017 and 2016 are presented on a pro forma basis as though the merger of Historical Dow and Historical DuPont had occurred on January 1, 2016. This information is presented in this manner
for informational purposes only and should not be viewed as an indication of DuPont’s current or future operating results on a standalone basis assuming completion of the intended business separations.
Full Year 2018 Estimates for Net Sales, Adjusted Operating EBITDA and Adjusted Operating EBITDA Margin (collectively, the “FY2018 Estimates”) are based on forward- looking information provided in
connection with DowDuPont’s third quarter 2018 earnings announcement (“DowDuPont’s FY2018 Guidance”) for results of operations for DowDuPont’s Specialty Products Division and the segments that
comprise it: Electronics & Imaging, Nutrition & Biosciences, Transportation & Advanced Polymers, and Safety & Construction, and the relative contribution of each such segment to divisional results of
operations. FY2018 Estimates are not intended to and should not be interpreted as updating DowDuPont’s FY2018 Guidance.
Unaudited Pro Forma Financial Information: The unaudited pro forma financial information included in this presentation is based on the historical consolidated financial statements and accompanying notes of
DowDuPont, Historical Dow and Historical DuPont and has been prepared to illustrate the effects of the merger, assuming the merger had occurred on January 1, 2016. For all periods presented prior to
January 1, 2018, adjustments have been made for (1) the preliminary purchase accounting impact, (2) accounting policy alignment, (3) eliminate the effect of events that are directly attributable to the merger
agreement (e.g., one-time transaction costs), (4) eliminate the impact of transactions between Dow and DuPont, and (5) eliminate the effect of consummated divestitures agreed to with certain regulatory
agencies as a condition of approval for the merger. The unaudited pro forma financial information was based on and should be read in conjunction with the separate historical financial statements and
accompanying notes contained in each of Historical Dow’s and Historical DuPont’s Quarterly Reports on Form 10-Q and Annual Reports on Form 10-K for the applicable periods. The pro forma financial
statements were prepared in accordance with Article 11 of Regulation S-X. The unaudited pro forma financial information has been presented for informational purposes only and is not necessarily indicative of
what DuPont's results of operations actually would have been had the Merger had been completed as of January 1, 2016, nor is it indicative of the future operating results of DuPont as a standalone public
company.
44Non-GAAP Reconciliation
45Non-GAAP Reconciliation
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