Jotun Group

Jotun – A growth story ….in the paints and coatings industry Jotun Group Jotun today

Jotun – a global company…. …..with regional strongholds – Middle East, Asia and Scandinavia

• Total sales USD 2 billion* • EBIT margin 11.2% • 9th largest paint company in the world • 41 factories located on all continents • 70 companies in 40 countries • 7 800 employees • Head office in , Norway – 2 divisions managed from

* Consolidated figures Jotun Group

A story of growth….

Excellent people working in a unique corporate culture….. ….The Penguin Spirit

A long-term strategy that stays firm… ….Organic growth ….Multi-local vs global

Unique geographical footprint accelerates growth Jotun Group Jotun today

Decades of growth and profitability…… NOK million 14 000 1400

12 000 1200

10 000 1000

8 000 800

Net Sales EBIT

6 000 600

4 000 400

2 000 200

0 0 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 Consolidated figures Jotun Group

Strong in selected segments and markets Global market - our segments Global market - our sales

Protective 10% Protective 20% Marine 5% Decorative Powder 36% 12%

Decorative Marine 73% Powder 33% 11% Market size : USD 80 billion Jotun sales : USD 2.4 billion

Decorative Powder Protective Marine Jotun Jotun Jotun 1.5% 4.0% 6.0% Jotun 20.0%

Others Others Others Others 98.5% 96.0% 94.0% 80.0% Jotun Group

Very strong positions in selected markets

Decorative Protective Marine Share Position Share Position Share Position UAE - Abu Dhabi 42% 1 50% 1 - - Saudi Arabia 15% 1 17% 3 17% 3 Egypt 10% 3 48% 1 50 % 1 Yemen 6% 3 55% 1 - - Syria 10% 4 - - - - Jordan 15% 3 - - - - Oman 52% 1 48% 1 - - UAE - Dubai 46% 1 37% 1 38% 2 Bahrain 32% 2 26% 2 40% 1 Kuwait 18% 2 16% 2 26% 3 Qatar 38% 1 9% 2 4% - Jotun Group

Strong growth and stable profitability

Annual volume growth % Manageable cost / Working capital %

16 39 14 37 12 35 10 33 8 31 6 29 27 4 25 2 2003 2004 2005 2006 2007 2008 2009 2010 0 2003 2004 2005 2006 2007 2008 2009 2010 Manageable cost Working capital

EBITA % ROCE %

14 35 12 30 10 25 8 20 6 15 4 10 2 5 0 0 2003 2004 2005 2006 2007 2008 2009 2010 2003 2004 2005 2006 2007 2008 2009 2010 Jotun Group Jotun today

Ownership structure…. …..supports a long-term approach

• Approx 400 shareholders

• Gleditsch family holds 54% – 59% of votes – 68 family shareholders

• Orkla holds 42.5% – 38.2% of votes

• Prudent dividend policy

• Excellent cooperation between Orkla and Jotun Jotun Group The Penguin Spirit

Jotun Protects Property

Loyalty Care Respect Boldness Jotun Group

Our corporate culture is unique…. ….Penguin day , Expo Main Hall Jotun Group Strategy

A simple strategy that stays firm

– The strategy is based on the present portfolio of businesses – Powder – Marine – Protective – Decorative

– Organic growth – Existing markets – New markets

– Differentiated approach – Multi-local Jotun Group Strategy

Decorative Paints develops in emerging markets

Strong in mature Scandinavia – Branded products – Fighting private labels – New manufacturing structure

Strong growth in selected markets – Jotun as the brand – Distribution of Multicolor tinting

Innovations Jotun Group Jotun Group Strategy

Protective Coatings is growing fast globally

Profitable growth in many markets

Adding new concepts – Oil & Gas – Energy

Selected markets are important

Global key accounts – Network

Innovations based on concept needs Jotun Group Strategy

Marine Coatings is a truly global business

Global delivery capabilities

Focus on profitability regardless of cycle

Demanding delivery structure

Few very important markets

Innovations consist of more than the coating Jotun Group Strategy

Powder Coatings offers growth opportunities

Industrialized products

Environment

Selected markets

Synergies with other segments Jotun Group Jotun facts

Growth characteristics – future opportunities

Volume performance per region Market ”logic”

300

250

200

150

100

50

0 Asia Middle East Scandinavia Rest of Rest of world Europe

2003 2010 Jotun Group

Organic growth in Indonesia

Sales Development (Bill IDR) History

700 600 1983 – Agent 500 1986 – Local production with partner 400 1996 - Est. Jotun Indonesia 300 - 2 factories 200 100 2000 – Decorative 0 2004 – New powder factory 2002 2003 2004 2005 2006 2007 2008 2009 2010 Est 11 2005 – New paints factory

No - Multicolor EBITA Success factors

450 100 400 350 80 • Long term – organic growth 300 60 250 • Corporate culture 200 40 • Multicolor 150 100 20 • Local production 50 0 0 • Early to market 2004 2005 2006 2007 2008 2009 2010 Est 11 2004 2005 2006 2007 2008 2009 2010 2011 -20 • Strong local organization • Regional support Jotun Group

Future growth…… …..is not limited by number of potential markets

• Russia • USA • North Africa • • Brazil • South America • Bangladesh Jotun Group

A story of growth….

Excellent people working in a unique corporate culture….. ….The Penguin Spirit

A long-term strategy that stays firm… ….Organic growth ….Multi-local vs global

Unique geographical footprint accelerates growth Jotun Group