Debt Issuance Program Prospectus March 16, 2010 This document constitutes two base prospectuses for the purpose of article 5.4 of the Directive 2003/71/EC (the "Prospectus Directive"): (i) the base prospectus of Merck KGaA in respect of non-equity securities within the meaning of Art. 22 para 6 no. 4 of the Commission Regulation (EC) No. 809/2004 of 29 April 2004 ("Non-Equity Securities") and (ii) the base prospectus of Merck Financial Services GmbH in respect of Non-Equity Securities (together, the "Debt Issuance Program Prospectus" or the "Base Prospectus").

Merck KGaA (, ) as Issuer and, in respect of Notes issued by Merck Financial Services GmbH, as Guarantor Merck Financial Services GmbH (Darmstadt, Germany) as Issuer EUR 10,000,000,000 Debt Issuance Program The Debt Issuance Program Prospectus has been approved by the Commission de Surveillance du Secteur Financier (the "CSSF") which is the Luxembourg competent authority for the purposes of the approval of the Debt Issuance Program Prospectus under the Luxembourg law on prospectuses for securities (loi relative aux prospectus pour valeurs mobilières) dated July 10, 2005 (the "Luxembourg Prospectus Law") transposing under Luxembourg law the Prospectus Directive and request has been made to the CSSF to provide the competent authorities in the Federal Republic of Germany, the Republic of Austria and the Netherlands with a certificate of approval attesting that this Base Prospectus has been drawn up in accordance with the Luxembourg Prospectus Law. Each Issuer may request the CSSF to provide competent authorities in additional host member states within the European Economic Area with such notification. Application has been made to the Luxembourg Stock Exchange for debt instruments (the "Notes") to be issued under the EUR 10,000,000,000 debt issuance program (the "Program") up to the expiry of 12 months after the date of publication hereof to be listed on the official list of the Luxembourg Stock Exchange (the "Official List") and admitted to trading on the Luxembourg Stock Exchange¶s regulated market (the "Regulated Market of the Luxembourg Stock Exchange"), which is a regulated market for the purposes of Directive 2004/39/EC on Markets in Financial Instruments. Notes issued under the Program may also be listed and traded on an alternative stock exchange or may not be listed at all. The maximum aggregate principal amount of Notes outstanding under the Program will not exceed EUR 10,000,000,000. The payments of all amounts due in respect of Notes issued by Merck Financial Services GmbH will be unconditionally and irrevocably guaranteed by Merck KGaA.

Arrangers Barclays Capital

Dealers Barclays Capital BNP PARIBAS BofA Merrill Lynch Citi Commerzbank Deutsche Bank Goldman Sachs International HSBC The Royal Bank of Scotland Société Générale UBS Investment Bank Corporate & Investment Banking RESPONSIBILITY STATEMENT Merck KGaA (together with all consolidated subsidiaries "Merck" or the "Merck Group" or, in connection with the Notes issued by Merck Financial Services GmbH, the "Guarantor") and Merck Financial Services GmbH ("Merck FS") (each of Merck KGaA and Merck FS an "Issuer" and together the "Issuers") are solely responsible for the information given in this Debt Issuance Program Prospectus. Each Issuer hereby declares that, having taken all reasonable care to ensure that such is the case, the information contained in this Debt Issuance Program Prospectus for which it is responsible, is, to the best of its knowledge, in accordance with the facts and contains no omission likely to affect its import.

NOTICE This Debt Issuance Program Prospectus should be read and construed with any supplement (within the meaning of article 16 of the Prospectus Directive and the Luxembourg Prospectus Law) thereto and with any other documents incorporated by reference and, in relation to any Series (as defined herein) of Notes, should be read and construed together with the relevant Final Terms (as defined herein). Each Issuer has confirmed to the Dealers, (as defined herein) that this Debt Issuance Program Prospectus is true and accurate in all material respects and is not misleading; that any opinions and intentions expressed therein are honestly held and based on reasonable assumptions; that there are no other facts with respect to each Issuer and the Guarantor, the omission of which would make this Debt Issuance Program Prospectus as a whole or any statement therein or opinions or intentions expressed therein misleading in any material respect; and that all reasonable enquiries have been made to verify the foregoing. Each Issuer has undertaken with the Dealers to prepare a supplement to this Debt Issuance Program Prospectus or a new prospectus in the event that any significant new factor, material mistake or inaccuracy relating to the information included in this Debt Issuance Program Prospectus, which is capable of affecting the assessment of the Notes, arises or is noted after the date of this Debt Issuance Program Prospectus. No person has been authorized by any of the Issuers or the Guarantor to give any information or to make any representation not contained in or not consistent with this Debt Issuance Program Prospectus or any other document entered into in relation to the Program or any information supplied by any Issuer or the Guarantor or such other information as is in the public domain and, if given or made, such information or representation should not be relied upon as having been authorized by the Issuers, the Guarantor, the Dealers or any individual Dealer. No representation or warranty is made or implied by the Dealers or any of their respective affiliates, and neither the Dealers nor any of their respective affiliates make any representation or warranty or accept any responsibility, as to the accuracy or completeness of the information contained in this Debt Issuance Program Prospectus. This Debt Issuance Program Prospectus is valid for 12 months from the date of publication and this Debt Issuance Program Prospectus and any supplement hereto as well as any Final Terms reflect the status as of their respective dates of issue. Neither the delivery of this Debt Issuance Program Prospectus nor the offering, sale or delivery of any Note shall, in any circumstances, create any implication that the information contained in this Debt Issuance Program Prospectus is true subsequent to the date upon which this Debt Issuance Program Prospectus has been published or most recently amended or supplemented or that there has been no adverse change in the financial position of the Issuers since the date hereof or, as the case may be, the date upon which this Debt Issuance Program Prospectus has been most recently amended or supplemented or the balance sheet date of the most recent financial statements which are deemed to be incorporated into this Debt Issuance Program Prospectus by reference or that any other information supplied in connection with the Program is correct at any time subsequent to the date on which it is supplied or, if different, the date indicated in the document containing the same. This document may only be communicated or caused to be communicated in circumstances in which section 21(1) of the Financial Services and Markets Act 2000 ("FSMA") does not apply. The Notes have not been and will not be registered under the United States Securities Act of 1933, as amended, and will include Notes in bearer form that are subject to U.S. tax law requirements. Subject

ii to certain exceptions, Notes may not be offered, sold or delivered within the United States or to U.S. persons, see "Subscription and Sale ² Selling Restrictions". The distribution of this Debt Issuance Program Prospectus and the respective Final Terms as well as the offering, sale, and delivery of the Notes in certain jurisdictions may be restricted by law. Persons into whose possession this Debt Issuance Program Prospectus or any Final Terms comes are required by the Issuers and the Dealers to inform themselves about and to observe any such restrictions. For a description of certain restrictions on offers, sales and deliveries of Notes and on the distribution of this Debt Issuance Program Prospectus or any Final Terms and other offering material relating to the Notes, see "Subscription and Sale ² Selling Restrictions". Neither this Debt Issuance Program Prospectus nor any Final Terms may be used for the purpose of an offer or solicitation by anyone in any jurisdiction in which such offer or solicitation is not authorized or to any person to whom it is unlawful to make such an offer or solicitation. Neither this Debt Issuance Program Prospectus nor the Final Terms constitutes an offer or an invitation to subscribe for or purchase any Notes and should not be considered as a recommendation by the Issuers, the Guarantor, or any Dealer that any recipient of this Debt Issuance Program Prospectus or any Final Terms should subscribe for or purchase any Notes. Each recipient of this Debt Issuance Program Prospectus or the Final Terms shall be taken to have made its own investigation and appraisal of the condition (financial or otherwise) of the Issuers and the Guarantor. IN CONNECTION WITH THE ISSUE OF ANY TRANCHE OF NOTES, THE DEALER OR DEALERS (IF ANY) NAMED AS THE STABILIZING MANAGER(S) (OR PERSONS ACTING ON BEHALF OF ANY STABILIZING MANAGER(S)) IN THE APPLICABLE FINAL TERMS MAY OVER ALLOT NOTES OR EFFECT TRANSACTIONS WITH A VIEW TO SUPPORTING THE MARKET PRICE OF THE NOTES AT A LEVEL HIGHER THAN THAT WHICH MIGHT OTHERWISE PREVAIL. HOWEVER, THERE IS NO ASSURANCE THAT THE STABILIZING MANAGER(S) (OR PERSONS ACTING ON BEHALF OF A STABILIZING MANAGER) WILL UNDERTAKE STABILIZATION ACTION. ANY STABILIZATION ACTION MAY BEGIN ON OR AFTER THE DATE ON WHICH ADEQUATE PUBLIC DISCLOSURE OF THE TERMS OF THE OFFER OF THE RELEVANT TRANCHE OF NOTES IS MADE AND, IF BEGUN, MAY BE ENDED AT ANY TIME, BUT IT MUST END NO LATER THAN THE EARLIER OF 30 DAYS AFTER THE ISSUE DATE OF THE RELEVANT TRANCHE OF NOTES AND 60 DAYS AFTER THE DATE OF THE ALLOTMENT OF THE RELEVANT TRANCHE OF NOTES. ANY STABILIZATION ACTION OR OVER-ALLOTMENT MUST BE CONDUCTED BY THE RELEVANT STABILIZING MANAGER(S) (OR PERSON(S) ACTING ON BEHALF OF ANY STABILIZING MANAGER(S)) IN ACCORDANCE WITH ALL APPLICABLE LAWS AND RULES. This Debt Issuance Program Prospectus contains assessments of market data and information derived therefrom which could not be obtained from any independent sources. Such information is based on the Issuer¶s own internal assessments and may therefore deviate from the assessments of competitors of Merck or future statistics by independent sources. As regards the market positions of Merck in the Pharmaceutical Business Sector with its divisions and products, Merck¶s own estimations are mainly based on company data which either is derived from information by competitors or from data provided by IMS Health Incorporated. The language of this Debt Issuance Program Prospectus is English. Any part of this Debt Issuance Program Prospectus in the German language constitutes a translation. In respect of the issue of any Tranche of Notes under the Program, the German text of the Terms and Conditions may be controlling and binding if so specified in the relevant Final Terms. In respect of the Guarantee, the German language version is always controlling and binding. In respect of the documents incorporated by reference, the German language version is controlling and binding in relation to the documents listed in the table of documents incorporated by reference under the heading "Merck FS" in the section "Documents Incorporated by Reference".

iii TABLE OF CONTENTS

SUMMARY OF THE DEBT ISSUANCE PROGRAM PROSPECTUS...... 6 Summary in Respect of the Notes ...... 6 Summary Regarding Merck KGaA...... 13 Summary Regarding Merck Financial Services GmbH...... 16 Selected Financial Information ± Key Figures...... 16 Summary Regarding the Risk Factors ...... 16 GERMAN TRANSLATION OF THE SUMMARY ...... 20 Zusammenfassung bezüglich der Schuldverschreibungen...... 20 Zusammenfassung bezüglich der Merck KGaA ...... 28 Ausgewählte konsolidierte Finanzinformationen ± Wichtige Kennzahlen...... 31 Zusammenfassung bezüglich der Merck Financial Services GmbH ...... 32 Ausgewählte Finanzinformationen ± Wichtige Kennzahlen ...... 32 Zusammenfassung bezüglich der Risikofaktoren...... 33 RISK FACTORS...... 37 Risk factors relating to the Issuers in particular Merck KGaA ...... 37 Risk factors relating to Notes...... 51 GENERAL DESCRIPTION OF THE PROGRAMME...... 56 General...... 56 Issue Procedures ...... 56 TERMS AND CONDITIONS OF THE NOTES (ENGLISH LANGUAGE VERSION)...... 58 TERMS AND CONDITIONS OF THE NOTES (GERMAN LANGUAGE VERSION) ± DEUTSCHE FASSUNG DER EMISSIONSBEDINGUNGEN...... 79 DESCRIPTION OF RULES REGARDING RESOLUTIONS OF HOLDERS...... 102 FORM OF GUARANTEE (GERMAN VERSION) DEUTSCHE FASSUNG DER GARANTIE...... 103 FORM OF GUARANTEE (NON-BINDING ENGLISH TRANSLATION)...... 107 FORM OF FINAL TERMS (MUSTER ± ENDGÜLTIGE BEDINGUNGEN) ...... 111 BUSINESS OF THE MERCK GROUP...... 133 Overview...... 133 Principal Markets...... 134 Description of the Pharmaceuticals Business Sector ...... 134 Merck ...... 135 Main Products...... 135 Consumer Health Care...... 137 Main Products...... 137 Description of the Chemicals Business Sector...... 138 Liquid Crystals ...... 138 Investments ...... 140 Risk Management ...... 141 Material Contracts...... 141 Litigation and Arbitration Proceedings...... 142 Recent Developments...... 144 Trend Information and Significant Changes ...... 144 ACQUISITION OF MILLIPORE ...... 145 Reasons for the Acquisition and Strategy...... 145 Description of the Acquisition...... 145 Financing of the Acquisition...... 146 GENERAL INFORMATION ABOUT MERCK KGAA...... 148 History, Formation, Company Name, Registered Office and Fiscal Year of Merck KGaA ...... 148 Legal Structure...... 148

4 Corporate Purpose...... 148 Share Capital ...... 148 Organizational Structure...... 149 Shareholders and Owner Structure...... 150 Corporate Bodies...... 151 General Partners not holding an Equity Interest ± Executive Board...... 151 The General Partner holding an Equity Interest ± E. Merck...... 152 ...... 153 Corporate Governance...... 155 Stock Exchange Listing ...... 156 Ratings ...... 156 Auditors ...... 157 Business Overview, Investments, Legal and Arbitration Proceedings, Material Contracts, Recent Developments, Trend Information and significant changes...... 157 Selected Consolidated Financial Information for Merck KGaA...... 158 GENERAL INFORMATION ABOUT MERCK FINANCIAL SERVICES GMBH ...... 159 Legal Structure...... 159 Corporate Purpose...... 159 Share Capital ...... 159 Organizational Structure...... 159 Shareholders and Owner Structure...... 160 Corporate Bodies...... 160 Board Practices and Corporate Governance...... 160 Auditors ...... 161 Investments ...... 161 Business Overview...... 161 Litigation and Arbitration Proceedings...... 161 Material Contracts...... 161 Recent Developments...... 162 Trend Information and Significant Changes ...... 162 Selected Financial Information for Merck Financial Services GmbH...... 162 USE OF PROCEEDS...... 164 TAXATION...... 165 Grand Duchy of Luxembourg...... 165 Federal Republic of Germany...... 165 Republic of Austria ...... 167 The Netherlands ...... 169 European Savings Tax Directive...... 172 SUBSCRIPTION AND SALE...... 173 Underwriting...... 173 Selling Restrictions...... 173 GENERAL INFORMATION ...... 177 Interest of Natural and Legal Persons involved in the Issue/Offer...... 177 Authorization...... 177 Post-Issuance Information...... 177 Listing and admission to trading of Notes ...... 177 Documents available...... 177 Clearing Systems...... 178 DOCUMENTS INCORPORATED BY REFERENCE...... 179 Merck KGaA ...... 179 Merck FS ...... 180 NAMES AND ADDRESSES ...... 181

5 SUMMARY OF THE DEBT ISSUANCE PROGRAM PROSPECTUS The following constitutes the summary (the "Summary") of the essential characteristics and risks associated with each Issuer and the Notes to be issued under the Program. This Summary should be read as an introduction to this Debt Issuance Program Prospectus. Any decision by an investor to invest in any Tranche of Notes should be based on consideration of this Debt Issuance Program Prospectus as a whole, including the documents incorporated by reference, any supplements thereto and the relevant Final Terms. Where a claim relating to the information contained in this Debt Issuance Program Prospectus, including the documents incorporated by reference, any supplements thereto and the relevant Final Terms is brought before a court, the plaintiff investor might, under the national laws of the individual member states of the European Economic Area, have to bear the costs of translating this Debt Issuance Program Prospectus, including the documents incorporated by reference, any supplements thereto and the relevant Final Terms before the legal proceedings are initiated. Civil liability attaches to those persons who have tabled this Summary including any translation thereof, and have applied or will apply for its notification, but only if the Summary is misleading, inaccurate or inconsistent when read together with the other parts of this Debt Issuance Program Prospectus. The following Summary does not purport to be complete and is taken from and qualified in its entirety by the remainder of this Debt Issuance Program Prospectus and, in relation to the terms and conditions of any particular Tranche of Notes, the applicable Final Terms.

Summary in Respect of the Notes Issuers: ...... Merck KGaA Merck Financial Services GmbH ("Merck FS") Guarantor: ...... Merck KGaA, in respect of Notes issued by Merck FS (in such capacity, the "Guarantor") Arrangers: ...... Barclays Bank PLC Deutsche Bank Aktiengesellschaft Dealers: ...... Barclays Bank PLC BNP PARIBAS Citigroup Global Markets Limited Commerzbank Aktiengesellschaft Deutsche Bank Aktiengesellschaft Goldman Sachs International HSBC Bank plc Merrill Lynch International The Royal Bank of Scotland plc Société Générale UBS Limited Fiscal Agent: ...... Deutsche Bank Aktiengesellschaft Paying Agents: ...... Deutsche Bank Aktiengesellschaft and other institutions, all as indicated in the applicable Final Terms. Listing Agent: ...... Deutsche Bank Luxembourg S.A. Regulatory Matters: ...... Any Tranche of Notes denominated in a currency in respect of which particular laws, regulations, restrictions and reporting requirements apply will only be issued in circumstances which comply with such laws, regulations, restrictions and reporting requirements from time to time. Program Amount: ...... EUR 10,000,000,000 (or its equivalent in other currencies) outstanding at any time. The Issuers may increase the amount of the Program in accordance with the terms of the Dealer Agreement from time to time.

6 Distribution: ...... Notes may be distributed by way of public or private placements and, in each case, on a syndicated or non-syndicated basis. The method of distribution of each Tranche will be stated in the relevant Final Terms. Method of Issue: ...... Notes will be issued on a continuous basis in Tranches (each a "Tranche"), each Tranche consisting of Notes which are identical in all respects. One or more Tranches, which are expressed to be consolidated and forming a single series and identical in all respects, but having different issue dates, interest commencement dates, issue prices and dates for first interest payments may form a series ("Series") of Notes. Further Notes may be issued as part of existing Series. The specific terms of each Tranche (which will be supplemented, where necessary, with supplemental terms and conditions) will be set forth in the applicable Final Terms. Approval: ...... Each Tranche of Notes in an aggregate principal amount of EUR 500 million or higher issued by any Issuer must be approved by resolutions of the executive board of Merck KGaA. Issue Price: ...... Notes may be issued at par or a discount to or a premium over par, as stated in the relevant Final Terms. Specified Currencies: ...... Subject to any applicable legal or regulatory restrictions, and requirements of relevant central banks, Notes may be issued in Euro or any other currency or currency unit agreed to by the relevant Issuer and the relevant Dealer(s). Denominations of Notes: ...... Notes will be issued in such denominations as may be agreed to between the relevant Issuer and the relevant Dealer(s) and as indicated in the applicable Final Terms save that the minimum denomination of the Notes issued will be EUR 1,000 or an amount in any other currency which is at least equal in amount on the issue date and, further, such as may be allowed or required from time to time by the relevant central bank (or equivalent body) or any laws or regulations applicable to the relevant Specified Currency. Unless otherwise permitted by laws and regulations in force at the time, Notes (including Notes denominated in Sterling) in respect of which the issue proceeds are to be accepted by the relevant Issuer in the will have a minimum redemption amount of GBP 100,000 (or its equivalent in other currencies), unless such Notes may not be redeemed until on or after the first anniversary of their date of issue. Maturities: ...... Such maturities as may be agreed on between the relevant Issuer and the relevant Dealer(s) and as indicated in the applicable Final Terms, subject to such minimum or maximum maturities as may be allowed or required from time to time by the relevant central bank (or equivalent body) or any laws or regulations applicable to the relevant Issuer or the relevant Specified Currency. Form of Notes: ...... Notes will be issued in bearer form only. Notes to which U.S. Treasury Regulation § 1.163 ± 5(c)(2)(i)(C) (the "TEFRA C Rules") applies ("TEFRA C Notes") will be represented by a permanent global Note in bearer form, without interest coupons, in a principal amount equal to the aggregate principal amount of such Notes ("Permanent Global Note").

7 Notes to which U.S. Treasury Regulation § 1.163 ± 5(c)(2)(i)(D) (the "TEFRA D Rules") applies ("TEFRA D Notes") will be represented initially by a Temporary Global Note ("Temporary Global Note") which will be exchanged for Notes represented by one or more Permanent Global Note(s), in each case not earlier than 40 days and not later than 180 days after the completion of distribution of the Notes comprising the relevant Tranche upon certification of non-U.S. beneficial ownership in the form available from time to time at the specified office of the Fiscal Agent. Notes to which neither the TEFRA C Rules nor the TEFRA D Rules apply will be represented by a Permanent Global Note. Notes in definitive form and interest coupons will not be issued. ECB-eligible Security: ...... If so required by applicable central bank guidelines relating to the eligibility as security by the European Central Bank ("ECB") the Temporary Global Note and the Permanent Global Note may, as stated in the applicable Final Terms, be delivered on or prior to the issue date of the Tranche to a common safekeeper (the "Common Safekeeper") for Clearstream Banking société anonyme and Euroclear Bank S.A./N.V., as operator of the Euroclear system. The Terms and Conditions of the Notes may be amended if necessary to comply with such requirements. Such requirements are not applicable for clearing by Clearstream Banking AG, am Main, Germany. Types of Notes: ...... Notes may be either interest bearing at fixed or variable rates or non-interest bearing, with principal repayable at a fixed amount or by reference to a formula as may be agreed on between the relevant Issuer and the relevant Dealer(s) as specified in the applicable Final Terms. Fixed Rate Notes: ...... Notes for which the interest rate is fixed will be payable on such basis as may be agreed between the relevant Issuer and the relevant Dealer(s), as specified in the applicable Final Terms. The yield of the Notes will be calculated by using conventional methods. The relevant method will be specified in the applicable Final Terms. Floating Rate Notes: ...... Notes for which the interest rate is variable will bear interest on such basis as may be agreed on between the relevant Issuer and the relevant Dealer(s), as specified in the applicable Final Terms. The margin, if any, relating to such variable rate will be agreed on between the relevant Issuer and the relevant Dealer(s) for each Series of Floating Rate Notes. The Calculation Agent will, on or as soon as practicable after each time at which the Rate of Interest is to be determined, determine the Rate of Interest and calculate the amount of interest (herein called the "Interest Amount") payable on the Floating Rate Notes in respect of each Specified Denomination for the relevant Interest Period. Each Interest Amount shall be calculated by applying the Rate of Interest and the Day Count Fraction detailed in the applicable Final Terms to each Specified Denomination, and rounding the resultant figure to the nearest smallest unit of the Specified Currency, with 0.5 of such unit being rounded upwards. Interest periods for Floating Rate Notes will be one, two, three, six or twelve months or such other period(s) as may be agreed on between the relevant Issuer and the relevant Dealer(s), as specified in the applicable Final Terms.

8 Index Linked Notes: ...... Payments of principal in respect of Index Linked Redemption Amount Notes or of interest in respect of Index Linked Interest Notes (together "Index Linked Notes") will be calculated by reference to such index and/or formula as the relevant Issuer and the relevant Dealer may agree on as indicated in the applicable Final Terms. Each issue of Index Linked Notes will be made in compliance with all applicable legal and/or regulatory requirements. Other provisions in relation to Floating Rate Notes and Index Linked Interest Notes: ...... Floating Rate Notes and Index Linked Interest Notes may also have a maximum interest rate, a minimum interest rate or both. Interest on Floating Rate Notes and Index Linked Interest Notes in respect of each Interest Period, as selected prior to issue by the relevant Issuer and the relevant Dealer(s), will be payable on such Interest Payment Dates specified in, or determined pursuant to, the applicable Final Terms and will be calculated as specified in the applicable Final Terms. Dual Currency Notes: ...... Payments (whether in respect of principal or interest and whether at maturity or otherwise) in respect of Dual Currency Notes will be made in such currencies, and based on such rates of exchange, as the relevant Issuer and the relevant Dealer(s) may agree upon, as specified in the applicable Final Terms. Zero Coupon Notes: ...... Zero Coupon Notes will be offered and sold either at a discount to their principal amount or on an accumulated basis, in each case without periodic payments of interest. Other Notes: ...... Notes may be of any other type, such as Installment Notes, Credit Linked Notes, or may have any other structure, all upon terms agreed on between the relevant Issuer and the relevant Dealer(s) and as specified in the applicable Final Terms. Redemption: ...... The applicable Final Terms will indicate either that the Notes cannot be redeemed prior to their stated maturity (except for taxation reasons, for reasons of a minimal outstanding amount of the Notes or upon the occurrence of an Event of Default) or that such Notes may be redeemable upon the occurrence of a change of control or at the option of the relevant Issuer and/or the Holders upon giving notice within the notice period (if any) specified in the applicable Final Terms to the Holders or the relevant Issuer, as the case may be, on a date or dates specified prior to such stated maturity and at a price or prices and on such terms as indicated in the applicable Final Terms. Any Notes the proceeds of which are to be accepted by the Issuer in the United Kingdom and which must be redeemed before the first anniversary of the date of their issue, shall (a) have a redemption value of not less than GBP 100,000 (or an amount of equivalent value denominated wholly or partly in a currency other than Sterling), and (b) provide that no part of any such Note may be transferred unless the redemption value of that part is not less than GBP 100,000 (or such an equivalent amount).

9 Taxation: ...... All payments of principal and interest made by the Issuer in respect of the Notes to the Holders shall be made free and clear of, and without withholding or deduction for, any present or future taxes or duties of whatever nature imposed or levied by way of deduction or withholding by or on behalf of the Federal Republic of Germany or any authority therein or thereof having power to tax, unless such withholding or deduction is required by law. In such event, subject to customary exceptions set out in the Terms and Conditions of the Notes, the relevant Issuer will pay such additional amounts as shall result in receipt by the Holders of such amounts as would have been received by them had no such withholding or deduction been required. Early Redemption for Taxation Early redemption for taxation reasons will be permitted if as a Reasons: ...... result of any change in, or amendment to, the laws or regulations (including any amendment to, or change in, an official interpretation or application of such laws or regulations) of the Federal Republic of Germany or any political subdivision or taxing authority thereto or therein affecting taxation or the obligation to pay duties of any kind, the Issuer or the Guarantor, as the case may be, is required to pay additional amounts on the Notes all as more fully set out in of the Terms and Conditions of the Notes. Early Redemption for Reason of Minimal Outstanding Amount:...... The Final Terms may provide for an early redemption of the Notes at the option of the Issuer in case the Notes have a minimal outstanding amount. Early Redemption in case of Change of Control...... The Final Terms may provide for an option of the Holders to demand an early redemption of the Notes in case of a change of control in respect of Merck KGaA which leads to a downgrading or withdrawal of the rating of the Notes. Status of the Notes: ...... The Notes will constitute unsecured and unsubordinated obligations of the relevant Issuer ranking pari passu among themselves and pari passu with all other unsecured and unsubordinated obligations of the relevant Issuer unless such obligations are accorded priority under mandatory provisions of statutory law. Guarantee: ...... Notes issued by Merck FS will have the benefit of a Guarantee (the "Guarantee") given by Merck KGaA. The Guarantee constitutes an irrevocable, unsecured and unsubordinated obligation of the Guarantor ranking pari passu with all other unsecured and unsubordinated obligations of the Guarantor. Negative Pledge: ...... The Notes and the Guarantee will contain a negative pledge, see § 2 of the Terms and Conditions of the Notes (Status, Negative Pledge [and Guarantee]) and § 2(3) of the Guarantee. Events of Default: ...... The Notes will provide for events of default entitling Holders to demand an early redemption of the Notes, see § 9 of the Terms and Conditions of the Notes (Events of Default). Cross Default: ...... The Terms and Conditions of the Notes will provide for a cross default, see § 9 of the Terms and Conditions of the Notes (Events of Default).

10 Rating: ...... Notes issued under the Programme may be rated or unrated. In case Notes are rated, such rating will be disclosed in the relevant Final Terms within the item "Rating". A security rating is not a recommendation to buy, sell or hold securities and may be subject to suspension, reduction or withdrawal at any time by the assigning rating agency. Ratings are based on current information furnished to the rating agencies by Merck KGaA and information obtained by the rating agencies from other sources. Because ratings may be changed, superseded or withdrawn as a result of changes in, or unavailability of, such information, a prospective purchaser should verify the current long-term and short-term ratings of Merck KGaA before purchasing the Notes. Listing and Admission to Trading: . Application has been made to listing on the Official List and to admission to trading regarding the Notes to be issued under the Program on the Regulated Market of the Luxembourg Stock Exchange (which is a regulated market for the purposes of Directive 2004/39/EC on Markets in Financial Instruments). The Program provides that Notes may be listed on other or further stock exchanges, as may be agreed on between the relevant Issuer and the relevant Dealer(s) in relation to each issue. Notes may further be issued under the Program which will not be listed on any stock exchange. Governing Law: ...... German law. Selling Restrictions: ...... There will be specific restrictions on the offer and sale of Notes and the distribution of offering materials in the European Economic Area, the United States of America, the United Kingdom and such other restrictions as may be required under applicable law in connection with the offering and sale of a particular Tranche of Notes. Jurisdiction: ...... Non-exclusive place of jurisdiction for any legal proceedings arising under the Notes is Frankfurt am Main, Germany. Clearance and Settlement: ...... Notes will be accepted for clearing through one or more Clearing Systems as specified in the applicable Final Terms. These systems will include those operated by Clearstream Banking AG, Clearstream Banking société anonyme and Euroclear Bank S.A./N.V. as operator of the Euroclear system. Resolution of Holders...... In accordance with the Act on Debt Securities of 2009 (Schuldverschreibungsgesetz± "SchVG") the Notes may contain provisions pursuant to which Holders of such Notes may consent by resolution to amendments of the Terms and Conditions (as proposed by the relevant Issuer) and, as applicable, the Guarantee and to decide upon certain other matters regarding the Notes. Resolutions of Holders of Notes properly adopted, either in a meeting of Holders or by vote taken without a meeting in accordance with the Terms and Conditions, are binding upon all Holders of such Notes. Resolutions which do not provide for identical conditions for all Holders are void, unless Holders which are disadvantaged expressly consent to their being treated disadvantageously. In no event, however, may any obligation to make any payment or render any other performance be imposed on any Holder by resolution. Resolutions providing for material amendments to the Terms and Conditions require a majority of not less than 75%. of the votes cast. Resolutions regarding other amendments are passed by a simple majority of the votes cast, subject to a higher majority provided for in the Terms and Conditions.

11 Holders' Representative...... In accordance with the SchVG the Notes may provide that the Holders of Notes may by majority resolution appoint a representative for all Holders of such Notes (the "Holders' Representative"). The responsibilities and functions assigned to the Holders' Representative appointed by a resolution are determined by the SchVG and by majority resolutions of the Holders of such Notes. The Holders' Representative may also be designated in the Terms and Conditions of the Notes. The Holders' Representative is subject to the instructions of the Holders and its appointment may be revoked at any time by a majority resolution of the Holders. Available Documents: ...... So long as Notes issued under the Program are outstanding, copies of the following documents will be available from the registered office of the relevant Issuer and from the specified offices of the Paying Agents: (a) the articles of association (with an English translation where applicable) of each of the Issuers; (b) the audited consolidated financial statements of Merck in respect of the fiscal years ending December 31, 2009 and December 31, 2008 and the future audited consolidated financial statements of Merck (with an English translation thereof); (c) the future unaudited consolidated semi-annual interim financial statements of Merck (with an English translation thereof); (d) the audited non-consolidated annual financial statements of Merck FS for the fiscal years ended December 31, 2009 and December 31, 2008, the consolidated annual financial statements of Merck FS for the fiscal year ended December 31, 2009 (once available) and the future audited consolidated annual financial statements of Merck FS (with an English translation thereof); (e) the future unaudited semi-annual interim financial statements of Merck FS (with an English translation thereof); (f) the Dealer Agreement, the Fiscal Agency Agreement, the Procedures Memorandum; (g) a copy of this Debt Issuance Program Prospectus; (h) any future information memoranda, supplements to the Debt Issuance Program Prospectus and Final Terms (save that Final Terms relating to an unlisted Note will only be available for inspection by a Holder of such Note and such Holder must produce evidence satisfactory to the relevant Issuer and the Paying Agent as to its holding of Notes and identity) to this Debt Issuance Program Prospectus and any other documents incorporated herein or therein by reference; and (i) in the case of each issue of listed Notes subscribed pursuant to a subscription agreement, the subscription agreement (or equivalent document). Copies of the Guarantee may be obtained free of charge at the specified office of the Fiscal Agent.

12 Summary Regarding Merck KGaA Merck KGaA is the parent company of the Merck Group, a long-established, global group that operates in the fields of pharmaceuticals and chemicals, focusing on innovative pharmaceutical and chemical products. 176 companies operate for Merck on all continents. As of December 31, 2009, Merck has around 33,000 employees currently working worldwide in all areas of research and development, through production to distribution. Merck¶s research and development activities are mainly concentrated in Darmstadt. Additional research and/or development sites are located in Switzerland, the United States, , Spain, the United Kingdom and Japan, among others. In total, Merck currently operates 54 production plants in 25 countries.

Business Overview The Merck Group¶s activities in its Pharmaceuticals Business Sector are organized into two divisions: dealing mainly with prescription drugs and Consumer Health Care dealing with over- the-counter products. According to own company data Merck Serono has well-positioned serving patients in the areas of Oncology, Neurodegenerative Diseases, Fertility, Endocrinology and CardioMetabolic Care. Merck Serono is committed to growing its business in specialist-focused therapeutic areas such as Oncology and Neurodegenerative Diseases, as well as new therapeutic areas potentially arising out of its research and development in Autoimmune & Inflammatory Diseases. The Chemicals Business Sector is comprised of two divisions: the Liquid Crystals division and the Performance & Life Science Chemicals division. Merck offers high-quality specialty (e.g. liquid crystals and effect pigments), industrial and laboratory chemicals for high-tech applications in laboratories and industrial production. The products of the Merck Group are used, for example, for the production of flat screens for computers and televisions, as well as in automotive paints or in cosmetics. With its liquid crystals business Merck is, according to own estimates, world market leader with a significant market share. In the 2009 fiscal year, the Merck Group generated total revenues (including royalty and commission income) of EUR 7,747.0 million and EBIT of EUR 620.9 million. Of these total revenues, EUR 5,811.9 million (+ 6.5% compared to 2008) was attributable to the Pharmaceuticals Business Sector and EUR 1,935.1 million (-9.0% compared to 2008) to the Chemicals Business Sector.

Acquisition of Millipore Corporation On February 28, 2010 Merck entered into an agreement and plan of share exchange (the "Share Exchange Agreement") with Millipore Corporation, Billerica, Massachusetts, U.S.A. ("Millipore"). Under the Share Exchange Agreement, Merck will, subject to certain conditions, acquire all shares in Millipore against a cash consideration of USD 107 per share. The total transaction value, including net debt of Millipore (as of December 31, 2009), is approximately USD 7.2 billion (EUR 5.3 billion). The closing of the Share Exchange Agreement is subject to the approval by the shareholders of Millipore with a two-thirds majority. Furthermore, the closing of the acquisition of Millipore is subject to additional conditions precedent, in particular subject to clearance by the competent merger control authorities. Millipore is listed on the New York Stock Exchange and traded under the symbol MIL. In the 2009 fiscal year Millipore generated global sales of USD 1.65 billion. To partly finance the acquisition of all shares in Millipore, Merck entered into a EUR 4,200,000,000 dual-currency term loan facility agreement on February 28, 2010 (the "Millipore Acquisition Loan"). Furthermore, Merck will finance the acquisition by available cash. Merck may also use proceeds from issues of Notes under the Program to finance the acquisition and/or to fully or partly prepay or cancel the Millipore Acquisition Loan. In connection with the contemplated acquisition of Millipore Standard & Poor's Rating Services downgraded Merck KGaA's long-term corporate credit and senior unsecured debt rating from A- to BBB+ on March 2, 2010. At the same time, Standard & Poor's Rating Services affirmed the A-2 short term rating and the stable outlook. Accordingly, Standard & Poor's Rating Services downgraded the senior unsecured debt rating of Merck Financial Services GmbH from A- to BBB+. Moody's Investors Service placed the senior unsecured and the short term ratings of Merck KGaA and its subsidiaries under review for possible downgrade on March 2, 2010.

Further Recent Developments In February 2009, the European Medicines Agency ("EMA") recommended the suspension of the marketing authorization of the psoriasis treatment Raptiva® in . The scientific committee of the

13 EMA, the Committee for Medicinal Products for Human Use ("CHMP"), had concluded that the benefits of Raptiva® no longer outweigh the risks, mainly because of the occurrence of virologically confirmed cases of progressive multifocal leukoencephalopathy (PML) in psoriasis patients treated with Raptiva®. Merck Serono voluntarily withdrew the market authorization of Raptiva® in all its markets in and outside Europe. As of September 30, 2009, Raptiva® marketing authorizations had been withdrawn in all 66 countries where the product was previously registered. On November 19, 2009, the CHMP adopted a negative opinion for the use of Erbitux® () in combination with platinum-based chemotherapy for the treatment of patients with epidermal growth factor receptor ("EGFR")-expressing, advanced or metastatic non-small cell lung cancer ("NSCLC"). It was the second negative opinion after Merck had requested re-examination of the first negative CHMP opinion received on July 23, 2009. Merck respects the decision of the CHMP for the use of Erbitux® in this indication, but remains, however, committed to the clinical development program for Erbitux®, which includes clinical trials investigating its potential in the treatment of various cancer types, including gastric cancer. In July 2009, Merck received an order from the German Federal Cartel Office (Bundeskartellamt) by which the Federal Cartel Office requests that Merck no longer distributes its laboratory products of the Performance & Life Science Chemicals division through its exclusive licence partner, the laboratory wholesale distributor VWR International, but also through other similarly qualified wholesale distributors in Germany. Merck has initiated advanced interim relief proceedings (Eilverfahren) before the Higher Regional Court of Düsseldorf. In its interim decision, the Higher Regional Court of Düsseldorf has upheld the Federal Cartel Office¶s order with regard to a certain part of Merck¶s laboratory products portfolio. Merck is acting in full compliance with the court¶s interim decision. Currently it cannot be estimated what economic effect the implementation of this order of the Federal Cartel Office will have in the future. On September 9, 2009 Merck KGaA announced that it has acquired Suzhou Taizhu Technology Development Co. Ltd. ("Taizhu"), a supplier of effect pigments located in Taicang near Shanghai, China. Merck expects the acquisition to be of strategic importance to its pigments business. Merck has acquired the production site of Taizhu in Taicang, 40 km from Shanghai, as well as the entire sales and marketing organization in China and abroad for a total consideration of EUR 26 million. On November 30, 2009 Merck KGaA announced that its U.S. affiliate received a Refuse to File letter from the U.S. Food and Drug Administration ("FDA") on the New Drug Application ("NDA") for tablets, Merck Serono¶s proprietary investigational oral formulation of cladribine, as a therapy for relapsing forms of multiple sclerosis. Merck Serono met with the FDA in January 2010. The objective of this meeting was to discuss FDA's comments on the Refuse to File letter, reach an understanding on and define the path forward to resubmission of the cladribine tablets NDA at the earliest point in time.

Formation and Registration Merck KGaA, which was founded in 1995 when a predominant part of the assets of E. Merck OHG (now E. Merck KG) were transferred to it by way of a spin-off, is registered under the name "MERCK Kommanditgesellschaft auf Aktien" in the commercial register of the local court of Darmstadt, Germany (docket number HRB 6164). Merck KGaA and its subsidiaries operate under the name "Merck". In the United States and Canada, the Merck Group operates under the name "EMD". The registered office of Merck KGaA is Darmstadt and its business address is Frankfurter Straße 250, 64293 Darmstadt, Germany.

Executive Board, Supervisory Board and Auditors The executive board of Merck KGaA composed of the general partners not holding an equity interest presently consists of Dr. Karl-Ludwig Kley (Chairman), Dr. Michael Becker, Dr. Bernd Reckmann and Elmar Schnee. The 16 members of the supervisory board are Prof. Dr. Dr. h.c. Rolf Krebs (Chairman), Heiner Wilhelm* (Vice Chairman), Dr. Mechthild Auge*, Crocifissa Attardo*, Johannes Baillou, Frank Binder, Dr. Wolfgang Büchele, Michael Fletterich*, Edeltraud Glänzer*, Michaela Freifrau von Glenck**, Frieder Kaufmann*, Dr. Hans-Jürgen Leuchs, Albrecht Merck**, Dr. Karl-Heinz Scheider*, Prof. Dr. Theo Siegert and Osman Ulusoy* (* employee representative; ** appointed member). The statutory auditor of Merck KGaA is KPMG AG Wirtschaftsprüfungsgesellschaft, Klingelhöferstraße 18, 10785 Berlin ("KPMG").

14 Legal Structure Merck KGaA is a corporation with general partners (Kommanditgesellschaft auf Aktien ± "KGaA") organized under German law. Merck KGaA is governed by German stock corporation and commercial law. A corporation with general partners is a company with its own legal personality, with at least one partner having unlimited liability for the company's creditors (general partner) and the others holding an interest in the share capital, divided into shares, without any personal liability for the company's debts (limited liability shareholders) (§ 278 (1) German Stock Corporation Act ± Aktiengesetz ("AktG")). It is therefore a hybrid of a German stock corporation and a limited with a focus on German stock corporation law. Merck KGaA's general partner holding an equity interest is E. Merck KG (formerly E. Merck OHG), Frankfurter Straße 250, 64293 Darmstadt, Germany ("E. Merck"), which however is excluded from the management of the business pursuant to the articles of association of Merck KGaA. The business activities are instead managed by the general partners not holding an equity interest (the "Executive Board"). However, the members of the Executive Board must also be general partners of E. Merck. E. Merck has under the articles of association of Merck KGaA extensive consultation, decision-making and veto rights with respect to the business of Merck.

Capital As of March 16, 2010, the total capital (Gesamtkapital) of Merck KGaA is EUR 565,211,241.95 and consists of the share capital (Grundkapital) of EUR 168,014,927.60 divided into 64,621,126 shares and the equity interest (Kapitalanteil) of EUR 397,196,314.35 held by the general partner E. Merck. Thus the general partner E. Merck holds approximately a 70% interest in the total capital of Merck KGaA. E. Merck's equity interest is not certificated by shares.

Selected Consolidated Financial Information ± Key Figures The following selected historical financial information for the Merck Group is based on the audited consolidated financial statements of Merck KGaA for the fiscal years ended December 31, 2008 and 2009 ("Consolidated Annual Financial Statements"), all of which are reproduced elsewhere or incorporated by reference in this Debt Issuance Program Prospectus, and should be read together with them. The Consolidated Annual Financial Statements were prepared in accordance with International Financial Reporting Standards (IFRS) as adopted in the European Union. The Consolidated Annual Financial Statements were audited by KPMG AG Wirtschaftsprüfungsgesellschaft and issued in each case with an unqualified auditor¶s opinion. The Consolidated Annual Financial Statements were prepared using the cost of sales method, that is expenses are classified according to their function (production, marketing and sales, administration and research and development) and the costs directly incurred to generate the sales for the reporting period are presented as cost of sales.

Fiscal Year ended December 31, 2009 2008 in EUR million. (audited) (audited) Change in % Total Revenues ...... 7,747 7,590 2.1 Gross Margin ...... 5.718 5,684 0.6 Research and Development...... -1,345 -1,234 8.9 Operating Result...... 649 1,131 -42.6 Exceptional items...... -28 -400 - Earnings before interest and tax (EBIT)(1) ...... 621 731 -15.1 EBIT before depreciation and amortization (EBITDA) ... 1,625 1,947 -16.5 Return on Sales (ROS)(2) in %...... 8.4 14.9 - Free Cash Flow (FCF) ...... 812 438 85.3

Underlying Free Cash Flow...... 852 601 41.6

(1) EBIT is defined as a key figure for the earnings in the respective period before the positions financial result and taxes shown in the income statement. EBIT in the form as accounted for by Merck is not necessarily comparable with identical ratios as accounted for by other companies. (2) Merck KGaA uses ROS (return on sales) among other management indicators. ROS is calculated by dividing the operating result by total revenues.

15 Summary Regarding Merck Financial Services GmbH General Description Merck Financial Services GmbH is a directly wholly owned subsidiary of Merck KGaA. Merck Financial Services GmbH serves as financing and treasury centre for the entire Merck Group and is the primary contact for external financing partners. Merck Financial Services GmbH commenced this business activity in February 2009. Merck Financial Services GmbH was established on August 6, 2007 in the form of a German limited liability company (Gesellschaft mit beschränkter Haftung). Merck Financial Services GmbH has its registered office in Darmstadt, Germany, and registered with the commercial register of the local court of Darmstadt, under docket number HRB 86146. Its business address is Frankfurter Straße 250, 64293 Darmstadt, Germany. The share capital of Merck Financial Services GmbH amounts to EUR 25,000 and is represented by one share with a nominal value of EUR 25,000. The two managing directors of Merck Financial Services GmbH are Rando Bruns and Uta Kemmerich- Keil. The annual non-consolidated financial statements for the 2008 and 2009 fiscal years of Merck Financial Services GmbH were audited by KPMG AG Wirtschaftsprüfungsgesellschaft, Klingelhöferstraße 18, 10785 Berlin.

Selected Financial Information ± Key Figures The following selected historical financial information for Merck Financial Services GmbH is based on the audited annual non-consolidated financial statements of Merck Financial Services GmbH for the fiscal years ended December 31, 2008 and 2009 ("Merck FS Annual Financial Statements"), all of which are reproduced elsewhere or incorporated by reference in this Prospectus, and should be read together with them. The Merck FS Annual Financial Statements were prepared in accordance with the provisions of the German Commercial Code (Handelsgesetzbuch; HGB) applicable to small corporations. The Merck FS Annual Financial Statements were audited by KPMG AG Wirtschaftsprüfungsgesellschaft and issued in each case with an unqualified auditor¶s opinion. The Merck FS Annual Financial Statements were prepared using the total cost accounting method, i.e. all costs incurred during the reporting period by the operations are taken into account and such costs are compared to all generated earnings. Merck Financial Services GmbH is currently preparing consolidated financial statements (subgroup) for the fiscal year ended December 31, 2009 ("Merck FS 2009 Consolidated Annual Financial Statement") which will reflect that Merck Financial Services GmbH acquired a majority participation in Merck Capital Holding Ltd., Malta, in the 2009 fiscal year. Merck Capital Holding Ltd. and its subsidiary Merck Capital Ltd., Malta, are the only subsidiaries of Merck Financial Services GmbH. The Merck FS 2009 Consolidated Annual Financial Statement will be subsequently incorporated into this Debt Issuance Progam Prospectus by way of a supplement. Fiscal Year ended December 31, 2008 2009 in EUR thousand (audited) (audited) Subscribed capital...... 25 25 Net equity ...... 4,999 24 Liabilities 4,015,817 2 Balance sheet total ...... 4,020,864 26 Net loss for the year...... -* -*

* Transfer of loss of EUR 15,421 thousand in the 2009 fiscal year and of EUR 415 in the 2008 fiscal year.

Summary Regarding the Risk Factors The following is a summary of risk factors that could have material adverse effects on the net assets, financial position and results of operations and can affect the ability of the Issuers to fulfill their obligations under the Notes as well as such risk factors that are essential for the evaluation of the

16 market value and/or market risk of the Notes issued within the scope of this Program. Potential investors should consider these risk factors as well as all other information in this Debt Issuance Program Prospectus and consult with their own experts before deciding to buy Notes that are issued within the scope of this program. In addition, investors should be aware of the fact that risks can occur simultaneously and that their effects might therefore be intensified.

Risks Regarding the Issuers, in particular Merck KGaA Such risks regarding the Issuers, in particular Merck KGaA, comprise, inter alia, the following risks: ł The possibilities of Merck to market pharmaceutical products are limited because the pharmaceutical business is strictly regulated by government authorities. ł The business activities of Merck's Pharmaceuticals Business Sector are affected by the rising pressure on healthcare costs worldwide. ł The increasingly stringent regulatory environment for the can have a negative effect on Merck's production costs and the product portfolio of Merck's Chemicals Business Sector. ł The general economic situation and cyclical nature of key customer industries can result in a decline in demand, especially for the Chemicals Business Sector. ł Increased competition in the relevant Business Sectors could have an adverse effect on Merck's sales and adversely affect its future growth potential. ł Due to the international nature of Merck's activities, the Merck Group is confronted with various legal, regulatory, economic, social and political circumstances and environments that could entail risks. ł Rising raw materials prices could adversely affect the profitability of Merck's business. ł Merck could be subject to product liability claims that could lead to substantial expenses and liabilities. ł It is possible that damage, losses or liabilities on the part of Merck will not be sufficiently covered by existing insurance policies. ł Merck might not be in the position to adapt to technological changes and to continue to develop and successfully launch innovative products. ł Due to the uncertainties associated with the process of developing new drugs, Merck might not be in the position to successfully develop new drugs and other pharmaceutical products and launch them in a timely manner. ł If Merck were unable to arrange and maintain alliances and other cooperation agreements with third parties, this could impair Merck's ability to develop new drugs and other pharmaceutical products. ł Merck¶s pharmaceutical Business Sector generates a significant part of its sales with three products, which may not be protected sufficiently. ł No assurances can be given that Merck will be able to recruit or retain qualified employees in the future. ł Merck is subject to risks arising from legal disputes. ł EMD Serono Holding, Inc., a U.S. subsidiary of Merck Serono S.A., is party to a corporate integrity agreement with the U.S. government which entitles the U.S. government under certain circumstances to exclude EMD Serono Holding, Inc. and its subsidiaries from participating in government health insurance programs. ł It cannot be guaranteed that Merck will be successful in protecting its intellectual property and knowledge sufficiently. ł The possibility that Merck could infringe the intellectual property rights of third parties or have to rely on fee-based use of third-party intellectual property cannot be excluded. ł The lack of availability of good quality materials or services that Merck requires for its business activities can adversely affect Merck's results. ł Merck is exposed to risks relating to the proposed acquisition of Millipore and other future acquisitions and divestments.

17 ł If (i) unexpected difficulties were to arise in the course of the acquisition and/or the integration of Millipore or (ii) if either a future division or the Merck Serono division's business failed to develop as expected, Merck could be forced in the future to recognize impairment losses on the intangible assets and/or goodwill of Millipore or Serono. ł In the event, and following the consummation, of the acquisition of Millipore, Merck will be exposed to risks associated with the business of Millipore, some of which Merck may not presently be aware of, and Merck in general will not have warranty claims against Millipore or its shareholders for any such risks. ł Due to a complex group structure, sales of companies and the geographic reach of Merck's business activities, Merck could incur greater tax liabilities than expected and be affected by the levy of additional customs duties, contributions or other fees. ł Changes in exchange rates and interest rates can adversely affect Merck's profits. ł The ongoing financial crisis of some countries and their high level of state indebtedness can adversely affect Merck's sales and profits. ł Possible confusion with Merck & Co. by customers could adversely affect Merck's business. ł Merck is subject to a variety of statutory environmental regulations and could therefore be exposed to the risk of liability due to non-compliance or past pollution. ł Unforeseen business interruptions in individual production facilities can lead to production bottlenecks and revenue shortfalls at Merck. ł Merck depends on uninterrupted operations and the further integration of IT and data processing systems. ł Merck maintains a number of pension plans that, under certain circumstances, may not be covered by sufficient provisions or external fund-financed reserves in the future. ł The interests of major shareholders of Merck may conflict with the interests of the Noteholders. ł Merck Financial Services GmbH is dependent on Merck KGaA to be able to fulfill its obligations under the Notes.

Risks Regarding the Notes ł A potential investor should not invest in Notes which are complex financial Notes unless the investor has the expertise (either alone or with a financial advisor) to evaluate how Notes will perform under changing conditions, the resulting effects on the value of the Notes and the impact this investment will have on the potential investor¶s overall investment portfolio. ł Potential investors must be aware of the foreign exchange risks associated with investment in the Notes and they should decide whether an investment in the Notes would suit their individual interests and whether it is appropriate in consideration of their individual circumstances. ł The Notes are new securities that are possibly not very widely spread and for which there is currently no liquid market. ł There is no guarantee that a liquid market will develop or be maintained for the Notes in the future. In an illiquid market, an investor might not be able to sell his Notes at any time at fair market prices. The possibility to sell Notes might additionally be restricted by country specific reasons. ł Each Issuer has the right to repay all outstanding Notes for reason of minimal outstanding principal amount or if he would be obligated to increase the amounts payable on the Notes due to the deduction or discount of or the owing of current and future taxes. In addition, Notes may be redeemable at the Issuer¶s option under certain other circumstances or because of an event which is defined in the issuance conditions for Notes. In this case, a Holder of such Notes is exposed to the risk that due to early redemption his investment will have a lower than expected yield. Also, after such an advance payment, a reinvestment of the refund in a comparable security with an effective rate of interest in the same amount as the Notes may not be possible. ł The price for which the Holder might possibly sell the Notes prior to maturity could be decreased by a significant amount compared to the issue price or purchase price which the individual Holder paid for at the time of the acquisition of the Notes.

18 ł The market price and the market value of the Notes are influenced, among other things, by the credit standing of the relevant Issuer and by a number of other factors including but not limited to the value of the relevant reference assets or the indices, the outlook and expectation of the markets, interest on the market, the rate of returns, and the remaining time to maturity of the Notes. ł The amount which is payable by the relevant Issuer on the capital and/or possible interest might be considerably lower than the issue price, or, as the case may be, the purchase price that was paid by the respective Holder. It can also not be ruled out that the relevant Issuer will pay no capital and/or interest on the Notes at all. This applies especially to Notes for which payment of capital and/or interest depends on several factors such as indices, net equity, or other asset items, or where payment is limited to amounts that the relevant Issuer receives from a third party; in such cases the Holder might lose his entire invested capital. ł In case of Notes linked to an underlying, the Issuer, each Dealer and any of their respective affiliates may from time to time engage in transactions relating to such underlying which could create conflicts of interest and may have negative impact on the underlying value. ł Structured Notes, for which the interest or the capital is determined by one or several reference asset values, indices, or formulas, or which provide for multipliers or other leverage factors or interest rate caps or floors or a combination of these characteristics may be more volatile and associated with more risks than conventional Notes. ł If the Notes provide for resolutions of Holders, either to be passed in a meeting of Holders or by vote taken without a meeting, the Holders of such Notes may consent by majority resolution to amendments of the Terms and Conditions of such Notes and, as applicable, the Guarantee and a Holder is subject to the risk of being outvoted. ł If the Notes provide for the appointment of a Holders' Representative, it is possible that a Holder may be deprived of its individual right to pursue and enforce its rights under the Terms and Conditions against the Issuer and, as applicable, its rights under the Guarantee against the Guarantor.

19 GERMAN TRANSLATION OF THE SUMMARY DEUTSCHE ÜBERSETZUNG DER ZUSAMMENFASSUNG

Der folgende Abschnitt stellt eine Zusammenfassung (die "Zusammenfassung") der wichtigsten Eigenschaften und Risiken dar, die mit jeder Emittentin und den Schuldverschreibungen, die unter dem Programm begeben werden, verbunden sind. Diese Zusammenfassung ist als Einführung zu diesem Debt Issuance Program Prospekt zu lesen. Eine Entscheidung über die Anlage in die Schuldverschreibungen sollte auf Grundlage des gesamten Debt Issuance Program Prospekts, einschließlich der Dokumente, die durch Bezugnahme einbezogen sind, der Nachträge zu diesem Debt Issuance Program Prospekt und der maßgeblichen Endgültigen Bedingungen, erfolgen. Für den Fall, dass vor einem Gericht Ansprüche aufgrund der im Debt Issuance Program Prospekt, einschließlich der Dokumente, die durch Bezugsnahme einbezogen sind, der Nachträge des Debt Issuance Program Prospekts und der maßgeblichen Endgültigen Bedingungen enthaltenen Informationen, geltend gemacht werden, könnte der als Kläger auftretende Anleger in Anwendung der einzelstaatlichen Rechtsvorschriften der Staaten des Europäischen Wirtschaftsraums die Kosten für die Übersetzung des Debt Issuance Program Prospekts, einschließlich der Dokumente, die durch Bezugnahme einbezogen sind, der Nachträge des Debt Issuance Program Prospekts und den maßgeblichen Endgültigen Bedingungen vor Prozessbeginn zu tragen haben. Diejenigen Personen, die die Zusammenfassung einschließlich einer Übersetzung davon vorgelegt und deren Meldung beantragt haben oder beantragen werden, können haftbar gemacht werden, jedoch nur für den Fall, dass die Zusammenfassung irreführend, unrichtig oder widersprüchlich ist, wenn sie zusammen mit den anderen Teilen des Debt Issuance Program Prospekts gelesen wird. Die folgende Zusammenfassung erhebt keinen Anspruch auf Vollständigkeit und ist aus dem übrigen Teil dieses Debt Issuance Program Prospekts entnommen und wird durch den übrigen Teil dieses Debt Issuance Program Prospekts und in Bezug auf die Emissionsbedingungen einer bestimmten Tranche von Schuldverschreibungen durch die anwendbaren Endgültigen Bedingungen modifiziert.

Zusammenfassung bezüglich der Schuldverschreibungen Emittentinnen: Merck KGaA Merck Financial Services GmbH ("Merck FS") Garantin: ...... Merck KGaA in Bezug auf Schuldverschreibungen ausgegeben von Merck FS (in dieser Eigenschaft, die "Garantin"). Arrangeur: ...... Barclays Bank PLC Deutsche Bank Aktiengesellschaft Plazeure: ...... Barclays Bank PLC BNP PARIBAS Citigroup Global Markets Limited Commerzbank Aktiengesellschaft Deutsche Bank Aktiengesellschaft Goldman Sachs International HSBC Bank plc Merrill Lynch International The Royal Bank of Scotland plc Société Générale UBS Limited Fiscal Agent: ...... Deutsche Bank Aktiengesellschaft Zahlstellen: ...... Deutsche Bank Aktiengesellschaft und jedes andere Institut, das in den betreffenden Endgültigen Bedingungen angeben ist. Listing Agent: ...... Deutsche Bank Luxembourg S.A. Währungsspezifische Jede Emission von Schuldverschreibungen, die auf eine Beschränkungen: ...... Währung lautet, für die bestimmte Gesetze, Verordnungen, Beschränkungen oder Anzeigepflichten gelten, wird nur unter Beachtung dieser Gesetze, Verordnungen, Richtlinien, Beschränkungen oder Anzeigepflichten begeben.

20 Programmvolumen: ...... EUR 10.000.000.000 (oder dem Gegenwert in anderen Währungen) zu jeder Zeit ausstehend. Die Emittentinnen können das Programmvolumen jederzeit gemäß den Bestimmungen der Platzierungsvereinbarung (Dealer Agreement) erhöhen. Platzierung: ...... Schuldverschreibungen werden auf syndizierter oder nichtsyndizierter Basis mittels öffentlichen Angebots oder als Privatplatzierung platziert. Die Art der Platzierung einer Tranche ist in den maßgeblichen Endgültigen Bedingungen angegeben. Emissionsverfahren: ...... Die Schuldverschreibungen werden fortlaufend als Tranchen (jeweils eine "Tranche") begeben, die jeweils aus in jeder Hinsicht identischen Schuldverschreibungen bestehen. Eine oder mehrere Tranchen, die zusammengefasst werden und dann eine einheitliche Serie bilden sollen und in jeder Hinsicht bis auf das Ausgabedatum, den Zinslaufbeginn, den Ausgabepreis und das Datum für die erste Zinszahlung identisch sind, können eine einheitliche Serie von Schuldverschreibungen (eine "Serie") bilden. Diese Serien dürfen auch weiter aufgestockt werden. Die besonderen Bedingungen für jede Tranche (die, sofern nötig, mit zusätzlichen Bedingungen ergänzt werden können) werden in den jeweiligen Endgültigen Bedingungen angegeben. Genehmigung: ...... Jede Begebung von Schuldverschreibungen in einem Gesamtbetrag von EUR 500 Millionen oder höher durch jede Emittentin bedarf der gesonderten Zustimmung der Geschäftsleitung der Merck KGaA. Ausgabepreis: ...... Schuldverschreibungen können zu ihrem Nennbetrag, mit Auf- oder Abschlag begeben werden, wie in den maßgeblichen Endgültigen Bedingungen bestimmt. Währungen: ...... Vorbehaltlich gesetzlicher oder sonstiger Vorschriften, Beschränkungen und Anforderungen von Zentralbanken können Schuldverschreibungen in Euro und in jeder zwischen der betreffenden Emittentin und dem(n) betreffenden Plazeur(en) sonst vereinbarten Währung oder Währungseinheit begeben werden. Stückelungen: ...... Die Stückelung der Schuldverschreibungen entspricht den Vereinbarungen zwischen der betreffenden Emittentin und dem(n) betreffenden Plazeur(en) und den Angaben in den maßgeblichen Endgültigen Bedingungen, und zwar mit der Maßgabe, dass die Mindeststückelung von Schuldverschreibungen, die begeben werden, EUR 1.000 oder einem am Tag der Begebung diesem Betrag entsprechenden Betrag in einer anderen Währung und den jeweiligen Anforderungen der Zentralbank (oder einer vergleichbaren maßgeblichen Stelle) oder den auf die maßgebliche Festgelegte Währung anwendbaren Gesetzen oder sonstigen Vorschriften entspricht. Sofern nicht durch die jeweils geltenden Gesetze und Verordnungen erlaubt, haben Schuldverschreibungen, deren Erlöse von der jeweiligen Emittentin im Vereinigten Königreich vereinnahmt werden, eine Mindeststückelung von GBP 100.000 (bzw. dessen Gegenwert in einer anderen Währung), es sei denn, solche Schuldverschreibungen können nicht vor Ablauf eines Jahres nach ihrer Begebung zurückgezahlt werden.

21 Laufzeiten: ...... Die Laufzeiten der Schuldverschreibungen entsprechen den Vereinbarungen zwischen der betreffenden Emittentin und dem(n) betreffenden Plazeur(en) und den Angaben in den maßgeblichen Endgültigen Bedingungen, vorbehaltlich geltender Mindest- oder Höchstlaufzeiten, die von der maßgeblichen Zentralbank (oder einer vergleichbaren Stelle) oder aufgrund von auf die maßgebliche Emittentin oder die maßgebliche Währung anwendbaren Gesetze oder Rechtsvorschriften gefordert oder erlaubt sind. Form der Schuldverschreibungen:.. Die Schuldverschreibungen lauten auf den Inhaber. Schuldverschreibungen, auf die die U.S. Treasury Regulation § 1.163 ± 5(c) (2) (i) (C) (die "TEFRA C-Rules") anwendbar ist ("TEFRA C-Schuldverschreibungen"), werden stets durch eine auf den Inhaber lautende Dauerglobalurkunde ohne Zinsscheine ("Dauerglobalurkunde") verbrieft, deren Nennbetrag dem Gesamtnennbetrag der Schuldverschreibungen entspricht. Schuldverschreibungen, auf die die U.S. Treasury Regulation § 1.163 ± 5(c) (2) (i) (D) (die "TEFRA D-Rules") anwendbar ist ("TEFRA D-Schuldverschreibungen"), werden anfänglich stets durch eine auf den Inhaber lautende vorläufige Globalurkunde ohne Zinsscheine ("vorläufige Globalurkunde") verbrieft, die nicht früher als 40 Tage und nicht später als 180 Tage nach dem Abschluss der Platzierung der Schuldverschreibungen einer jeweiligen Tranche gegen eine oder mehrere die Schuldverschreibungen verbriefende Dauerglobalurkunde(n) ausgetauscht wird. Der Austausch erfolgt nur gegen Nachweis des Nichtbestehens einer U.S.- Inhaberschaft (certification of non-U.S. beneficial ownership), dessen Muster in der jeweils maßgeblichen Form bei der bezeichneten Geschäftsstelle des Fiscal Agent erhältlich ist. Schuldverschreibungen, auf die weder TEFRA C-Rules noch TEFRA D-Rules anwendbar sind, werden während ihrer gesamten Laufzeit durch eine Dauerglobalurkunde verbrieft. Effektive auf den Inhaber lautende Schuldverschreibungen und Zinsscheine werden nicht ausgegeben. EZB-fähige Sicherheit: ...... Sofern nach anwendbaren Zentralbankvorschriften zur Anerkennung von Wertpapieren als Sicherheit durch die Europäische Zentralbank ("EZB") erforderlich, können die vorläufige Globalurkunde und die Dauerglobalurkunde am oder vor dem Begebungstag der Tranche entsprechend den Bestimmungen in den jeweiligen Endgültigen Bedingungen einer gemeinsamen Verwahrstelle (der "Common Safekeeper") für Clearstream Banking, société anonyme, Luxemburg und Euroclear Bank S.A./N.V. Brüssel, als Betreiberin des Euroclear Systems, übergeben werden. Die Emissionsbedingungen können angepasst werden, wenn dies für die Einhaltung dieser Anforderungen erforderlich ist. Diese Anforderung gilt nicht für das Clearing durch Clearstream Banking AG, Frankfurt am Main.

22 Beschreibung der Schuldverschreibungen: ...... Schuldverschreibungen können entweder zu einem festen oder variablen Zinssatz verzinslich, oder unverzinslich sein und zu einem festen Betrag oder unter Bezugnahme auf eine Formel rückzahlbar sein, wie zwischen der betreffenden Emittentin und dem(n) betreffenden Plazeur(en) vereinbart und in den jeweiligen Endgültigen Bedingungen bestimmt. Festverzinsliche Schuldverschreibungen: ...... Festverzinsliche Schuldverschreibungen werden in der Weise gezahlt, wie zwischen der Emittentin und dem(n) betreffenden Plazeur(en) vereinbart und in den maßgeblichen Endgültigen Bedingungen bestimmt. Die Rendite wird unter Anwendung herkömmlicher Methoden berechnet. Die entsprechende Methode wird in den betreffenden Endgültigen Bedingungen bestimmt. Variabel verzinsliche Schuldverschreibungen: ...... Variabel verzinsliche Schuldverschreibungen werden auf der Grundlage der Vereinbarungen zwischen der betreffenden Emittentin und dem(n) betreffenden Plazeur(en) und den Angaben der maßgeblichen Endgültigen Bedingungen, verzinst. Eine etwaige Marge bei variabler Verzinsung wird zwischen der betreffenden Emittentin und dem betreffenden Plazeur für jede Serie von Schuldverschreibungen vereinbart. Die Berechnungsstelle, wird zu jedem Zeitpunkt (bzw. baldmöglichst danach), zu dem der Zinssatz festzulegen ist, den Zinssatz bestimmen und den Zinsbetrag errechnen (nachstehend der ÄZinsbetrag³), der auf die variabel verzinslichen Schuldverschreibungen für jede Festgelegte Stückelung für die betreffende Zinsperiode fällig ist. Jeder Zinsbetrag wird auf Basis des Zinssatzes und des Zinstagequotienten berechnet, die in den maßgeblichen Endgültigen Bedingungen für jede Festgelegte Stückelung angegeben sind; das Ergebnis wird auf die nächste kleinste Einheit der Festgelegten Währung gerundet, wobei 0,50 einer solchen Einheit aufgerundet wird. Für variabel verzinsliche Schuldverschreibungen sind die Zinsperioden ein, zwei, drei, sechs oder zwölf Monate oder ein solcher anderer Zeitraum, wie zwischen der betreffenden Emittentin und dem(n) betreffenden Plazeur(en) vereinbart und in den maßgeblichen Endgültigen Bedingungen bestimmt. Indexierte Schuldverschreibungen: Zahlungen von Kapital auf Schuldverschreibungen mit indexabhängiger Rückzahlung oder von Zinsen auf Schuldverschreibungen mit indexabhängiger Verzinsung (zusammen "Indexierte Schuldverschreibungen") erfolgen unter Bezugnahme auf einen solchen Index oder eine solche Formel entsprechend den Vereinbarungen zwischen der betreffenden Emittentin und dem(n) betreffenden Plazeur(en) und den Angaben in den maßgeblichen Endgültigen Bedingungen. Jede Emission von Indexierten Schuldverschreibungen erfolgt unter Beachtung aller anwendbaren gesetzlichen und/oder behördlichen Vorschriften.

23 Andere für variabel verzinsliche Schuldverschreibungen und für Schuldverschreibungen mit indexabhängiger Verzinsung geltenden Bestimmungen...... Variabel verzinsliche Schuldverschreibungen und Schuldverschreibungen mit indexabhängiger Verzinsung können mit einer Höchstverzinsung, Mindestverzinsung oder beidem versehen sein. Wie vor der Emission von der betreffenden Emittentin und dem(n) betreffenden Plazeur(en) festgelegt, erfolgt die Zinszahlung auf variabel verzinsliche Schuldverschreibungen und Schuldverschreibungen mit indexierter Verzinsung an Zinszahlungstagen, die in den maßgeblichen Endgültigen Bedingungen bestimmt sind oder gemäß diesem bestimmt werden und werden gemäß den Bestimmungen der maßgeblichen Endgültigen Bedingungen berechnet. Doppelwährungs- Schuldverschreibungen:...... Zahlungen (von Zinsen oder Kapital, sei es zum Rückzahlungstag oder zu einem anderen Zeitpunkt) auf Doppelwährungs-Schuldverschreibungen erfolgen in der Währung und auf der Grundlage der Wechselkurse, wie zwischen der Emittentin und dem(n) betreffenden Plazeur(en) vereinbart und in den anwendbaren Endgültigen Bedingungen angegeben. Nullkupon-Schuldverschreibungen: Nullkupon-Schuldverschreibungen werden ohne periodische Zinszahlungen entweder mit einem Abschlag zu ihrem Nennbetrag oder aufgezinst angeboten und verkauft. Andere Schuldverschreibungen:..... Andere Arten von Schuldverschreibungen, zum Beispiel "Instalment Notes", "Credit Linked Notes" oder Schuldverschreibungen mit einer anderen Struktur, können zu Bedingungen begeben werden, wie zwischen der betreffenden Emittentin und dem(n) betreffenden Plazeur(en) vereinbart. Die für diese Schuldverschreibungen geltenden Bedingungen werden in den maßgeblichen Endgültigen Bedingungen bestimmt. Rückzahlungen: ...... Die maßgeblichen Endgültigen Bedingungen können bestimmen, dass die Schuldverschreibungen nicht vorzeitig zurückgezahlt werden können (es sei denn aus steuerlichen Gründen, aufgrund eines geringfügig ausstehenden Nennbetrags der Schuldverschreibungen oder bei Vorliegen eines Kündigungsgrundes) oder dass die Schuldverschreibungen bei Vorliegen eines Kontrollwechsels oder nach Wahl der betreffenden Emittentin und/oder der Gläubiger durch Kündigung gegenüber den Gläubigern beziehungsweise der betreffenden Emittentin unter Einhaltung etwaiger Fristen, die die Endgültigen Bedingungen bestimmen, zu den in den maßgeblichen Endgültigen Bedingungen vorgesehenen Termin(en) zu einem bestimmten Preis und den dort vorgesehenen Bestimmungen vorzeitig zurückgezahlt werden können.

24 Bei Schuldverschreibungen, deren Erlöse von der Emittentin im Vereinigten Königreich vereinnahmt und die vor dem ersten Jahrestag ihres jeweiligen Ausgabedatums zurückgezahlt werden müssen, muss (a) der Rückzahlungswert mindestens GBP 100.000 (bzw. einen diesem Wert entsprechenden Betrag, der ganz oder teilweise auf eine andere Währung als Pfund Sterling lautet) betragen, und es muss (b) vorgeschrieben sein, dass eine Übertragung von Teilen dieser Schuldverschreibungen nur zulässig ist, wenn der Rückkaufwert des betreffenden Teils mindestens GBP 100.000 (bzw. dem entsprechenden Betrag) entspricht. Steuern:...... Alle in Bezug auf die Schuldverschreibungen von der Emittentin an die Gläubiger zahlbaren Kapital- oder Zinsbeträge werden ohne Einbehalt oder Abzug an der Quelle für oder wegen gegenwärtiger oder zukünftiger Steuern oder Abgaben gleich welcher Art gezahlt, die von oder im Namen der Bundesrepublik Deutschland oder einer politischen Untergliederung oder einer Steuerbehörde dieser Staaten im Wege des Abzugs oder Einbehalts auferlegt oder einbehalten werden, es sei denn, ein solcher Abzug oder Einbehalt ist gesetzlich vorgeschrieben. Vorbehaltlich der üblichen in den Emissionsbedingungen aufgeführten Ausnahmen wird in diesem Fall die Emittentin diejenigen zusätzlichen Beträge zahlen, die erforderlich sind, damit die den Gläubigern zufließenden Nettobeträge nach diesem Einbehalt oder Abzug jeweils den Beträgen an Kapital und Zinsen entsprechen, die ohne einen solchen Einbehalt oder Abzug oder Einbehalt von den Gläubigern erhalten worden wären. Vorzeitige Rückzahlung aus Steuergründen: ...... Die vorzeitige Rückzahlung der Schuldverschreibungen aus steuerlichen Gründen ist zulässig, falls als Folge einer Änderung oder Ergänzung der Gesetze oder Vorschriften (einschließlich einer Änderung oder Ergänzung der Anwendung oder der offiziellen Auslegung dieser Gesetze oder Vorschriften) der Bundesrepublik Deutschland oder deren politischen Untergliederungen oder Steuerbehörden, die Emittentin oder, im Falle von Zahlungen unter der Garantie, die Garantin zur Zahlung zusätzlicher Beträge auf die Schuldverschreibungen verpflichtet ist, wie im Einzelnen in den Emissionsbedingungen der Schuldverschreibungen dargelegt. Vorzeitige Rückzahlung bei geringfügig ausstehendem Die Endgültigen Bedingungen können eine vorzeitige Nennbetrag:...... Rückzahlung der Schuldverschreibungen nach Wahl der Emittentin im Falle eines geringfügigen ausstehenden Nennbetrags vorsehen. Vorzeitige Rückzahlung bei Vorliegen eines Kontrollwechsels: .. Die Endgültigen Bedingungen können eine vorzeitige Rückzahlung der Schuldverschreibungen nach Wahl der Gläubiger bei Vorliegen eines Kontrollwechsels in Bezug auf Merck KGaA, welcher zu einer Herunterstufung oder Rücknahme des Ratings der Schuldverschreibungen führt, vorsehen.

25 Status der Schuldverschreibungen: Die Schuldverschreibungen begründen unbesicherte und nicht nachrangige Verbindlichkeiten der betreffenden Emittentin, die untereinander und mit allen anderen unbesicherten und nicht nachrangigen Verbindlichkeiten der Emittentin gleichrangig sind, soweit diesen Verbindlichkeiten kein Vorrang aufgrund verbindlicher gesetzlicher Vorschriften zukommt. Garantie:...... Schuldverschreibungen, die von Merck FS begeben werden, werden von der Merck KGaA garantiert (die "Garantie"). Die Garantie begründet eine unwiderrufliche, nicht nachrangige und nicht besicherte Verpflichtung der Garantin, die mit allen sonstigen nicht besicherten und nicht nachrangigen Verpflichtungen der Garantin im gleichen Rang steht. Negativverpflichtung:...... Die Emissionsbedingungen der Schuldverschreibungen und die Garantie werden eine Negativverpflichtung enthalten. Vgl. § 2 der Emissionsbedingungen (Status ² Negativverpflichtung) und § 2 Absatz 3 der Garantie. Kündigungsgründe:...... Die Emissionsbedingungen der Schuldverschreibungen sehen Kündigungsgründe vor, die die Gläubiger berechtigen, sofortige Rückzahlung der Schuldverschreibungen zu verlangen. Vgl. § 9 der Emissionsbedingungen (Kündigung). Cross Default-Klausel: ...... Die Emissionsbedingungen der Schuldverschreibungen sehen eine Cross Default-Klausel vor. Vgl. § 9 der Emissionsbedingungen (Kündigung). Rating:...... Unter dem Programm begebene Schuldverschreibungen können ein Rating erhalten. Sofern Schuldverschreibungen ein Rating erhalten, wird dieses Rating in den Endgültigen Bedin- gungen unter "Rating" enthalten sein. Ein Rating eines Wert- papiers ist keine Empfehlung, ein Wertpapier zu kaufen, zu verkaufen oder zu halten, und steht unter dem Vorbehalt der jederzeitigen Aussetzung, Verringerung oder Rücknahme durch die Rating-Agentur. Ratings beruhen auf aktuellen Informa- tionen, welche die Merck KGaA den Rating-Agenturen zur Verfügung gestellt hat und informationen, welche die Rating- Agenturen aus anderen Quellen erhalten hat. Da ein Rating infolge von Veränderungen oder der Nichtverfügbarkeit solcher Informationen geändert, ausgesetzt oder zurückgenommen werden kann, sollte sich ein potentieller Investor vor dem Erwerb von Schuldverschreibungen über das aktuelle Rating für langfristige und kurzfristige Verbindlichkeiten der Merck KGaA informieren, Börsennotierung und Für die Schuldverschreibungen, die unter dem Programm Handelsaufnahme:...... begeben werden, ist ein Antrag auf Börsennotierung auf dem amtlichen Kursblatt der Luxemburger Wertpapierbörse und ein Antrag auf Börsenzulassung im regulierten Markt der Luxemburger Wertpapierbörse (der einen regulierten Markt im Sinne der Richtlinie 2004/39/EC über Märkte für Finanzinstrumente darstellt) gestellt worden. Das Programm sieht vor, dass Schuldverschreibungen an anderen oder zusätzlichen Börsen notiert werden können, entsprechend den Vereinbarungen zwischen der betreffenden Emittentin und dem(n) betreffenden Plazeur(en) für eine Emission. Unter dem Programm können auch Schuldverschreibungen begeben werden, die nicht an einer Börse notiert werden. Anwendbares Recht:...... Deutsches Recht.

26 Verkaufsbeschränkungen:...... Das Angebot und der Verkauf von Schuldverschreibungen sowie der Vertrieb von Angebotsunterlagen in dem Europäischen Wirtschaftsraum, den Vereinigten Staaten von Amerika, dem Vereinigten Königreich unterliegen besonderen Beschränkungen und außerdem solchen anderen Beschränkungen, die nach dem jeweils anwendbaren Recht im Zusammenhang mit dem Angebot und dem Verkauf einer bestimmten Tranche von Schuldverschreibungen gelten. Gerichtsstand:...... Nicht ausschließlicher Gerichtsstand für alle sich aus den Schuldverschreibungen ergebenden Rechtsstreitigkeiten ist Frankfurt am Main, Deutschland. Clearing und Abwicklung:...... Das Clearing der Schuldverschreibungen erfolgt durch ein oder mehrere Clearingsysteme, wie in den maßgeblichen Endgültigen Bedingungen angegeben, und schließt die von Clearstream Banking AG, Clearstream Banking société anonyme und Euroclear Bank S.A./N.V., als Betreiber des Euroclearsystems ("Euroclear"), betriebenen Systeme ein. Gläubigerbeschlüsse...... In Übereinstimmung mit dem Schuldverschreibungsgesetz 2009 ("SchVG") können die Schuldverschreibungen vorsehen, dass die Gläubiger dieser Schuldverschreibungen durch Beschluss Änderungen der Emissionsbedingungen (wie von der betreffenden Emittentin vorgeschlagen) und gegebenenfalls der Garantie zustimmen und gewisse sonstige Maßnahmen in Bezug auf die Schuldverschreibungen beschließen. Beschlüsse der Gläubiger können nach Maßgabe der Emissionsbedingungen entweder in einer Gläubigerversammlung oder im Wege der Abstimmung ohne Versammlung gefasst werden. Ordnungsgemäß gefasste Beschlüsse der Gläubiger von Schuldverschreibungen sind für alle Gläubiger dieser Schuldverschreibungen gleichermaßen verbindlich. Beschlüsse, die nicht gleiche Bedingungen für alle Gläubiger vorsehen, sind unwirksam, es sei denn, die benachteiligten Gläubiger stimmen ihrer Benachteiligung ausdrücklich zu. In keinem Fall kann eine Verpflichtung zur Leistung für die Gläubiger durch Mehrheitsbeschluss begründet werden. Beschlüsse der Gläubiger, durch welche der wesentliche Inhalt der Emissionsbedingungen geändert wird, bedürfen einer Mehrheit von mindestens 75% der an der Abstimmung teilnehmenden Stimmrechte. Sonstige Beschlüsse bedürfen ± vorbehaltlich abweichender Bestimmungen in den Emissionsbedingungen ± der einfachen Mehrheit der teilnehmenden Stimmrechte. Gemeinsamer Vertreter...... In Übereinstimmung mit dem SchVG können die Schuldverschreibungen vorsehen, dass die Gläubiger dieser Schuldverschreibungen durch Beschluss einen gemeinsamen Vertreter bestellen. Die Aufgaben und Befugnisse des durch Beschluss bestellten gemeinsamen Vertreters bestimmen sich nach dem SchVG sowie den Mehrheitsbeschlüssen der Gläubiger dieser Schuldverschreibungen. Ein gemeinsamer Vertreter der Gläubiger kann auch bereits in den Emissionsbedingungen der Schuldverschreibungen bestellt werden. Der gemeinsame Vertreter hat die Weisungen der Gläubiger zu befolgen. Er kann von den Gläubigern jederzeit durch Mehrheitsbeschluss abberufen werden.

27 Verfügbare Dokumente ...... Solange im Rahmen des Programms ausgegebene Schuldverschreibungen ausstehen, werden Exemplare der folgenden Dokumente beim Sitz der jeweiligen Emittentin und bei den angegebenen Geschäftsstellen der Zahlstellen erhältlich sein: (a) die Satzung (ggf. mit englischer Übersetzung) jeder Emittentin; (b) der geprüfte Konzernabschluss von Merck für die Geschäftsjahre zum 31. Dezember 2009 und 31. Dezember 2008 sowie die künftigen geprüften Konzernabschlüsse von Merck (mit englischer Übersetzung); (c) die künftigen ungeprüften Konzern- Halbjahreszwischenabschlüsse von Merck (mit englischer Übersetzung); (d) die geprüften nicht konsolidierten Jahresabschlüsse der Merck FS für die Geschäftsjahre zum 31. Dezember 2009 und 31. Dezember 2008, der geprüfte Konzernabschluss der Merck FS für das Geschaftsjahr zum 31. Dezember 2009 (sobald vorliegend) sowie die künftigen geprüften Konzernabschlüsse der Merck FS (mit englischer Übersetzung); (e) die künftigen ungeprüften Halbjahreszwischenabschlüsse von Merck FS (mit englischer Übersetzung); (f) das Dealer Agreement, das Fiscal Agency Agreement, das Procedures Memorandum; (g) eine Kopie dieses Debt Issuance Program Prospekts; (h) alle künftigen Mitteilungen, Nachträge zum Debt Issuance Program Prospekt sowie Endgültige Bedingungen (wobei Endgültige Bedingungen zu einer nicht börsennotierten Schuldverschreibung zur Einsichtnahme nur durch Inhaber einer solcher Schuldverschreibung zur Verfügung stehen und diese Inhaber der betreffenden Emittentin und der Zahlstelle die Tatsache, dass sie Inhaber der Schuldverschreibungen sind, sowie ihre Identität hinreichend nachweisen müssen) zu diesem Debt Issuance Program Prospekt und alle sonstigen, durch Bezugnahme darin eingeschlossenen Dokumente; und (i) bei jeder Ausgabe börsennotierter Schuldverschreibungen, die gemäß einer Zeichnungsvereinbarung gezeichnet werden, die Zeichnungsvereinbarung (oder ein entsprechendes Dokument). Kopien der Garantie können kostenlos bei der bezeichneten Geschäftsstelle des Fiscal Agent bezogen werden.

Zusammenfassung bezüglich der Merck KGaA Die Merck KGaA ist die Obergesellschaft der Merck-Gruppe, ein traditionsreicher und weltweit operierender Konzern, der in den Bereichen Pharma und Chemie tätig ist. Der Schwerpunkt liegt dabei auf innovativen pharmazeutischen und chemischen Produkten. 176 Gesellschaften sind für Merck auf allen Kontinenten tätig. Rund 33.000 Mitarbeiter per 31. Dezember 2009 arbeiten weltweit in allen Bereichen von der Forschung und Entwicklung über die Produktion bis hin zum Vertrieb. Die Forschungs- und Entwicklungsaktivitäten hat Merck hauptsächlich in Darmstadt konzentriert. Weitere Forschungs- beziehungsweise Entwicklungsstandorte befinden sich u.a. in der Schweiz, den

28 Vereinigten Staaten, Frankreich, Spanien, Großbritannien und Japan. Insgesamt unterhält Merck derzeit 54 Produktionsstätten in 25 Ländern.

Geschäftsüberblick Die Merck-Gruppe gliedert ihre Aktivitäten im Unternehmensbereich Pharma in zwei Sparten: Merck Serono mit überwiegend rezeptpflichtigen Medikamenten und Consumer Health Care mit Produkten zur Selbstmedikation. Nach eigenen Unternehmensdaten hat Merck Serono gut im Markt positionierte Marken zur Behandlung von Patienten in den Gebieten Onkologie, Neurodegenerative Erkrankungen, Fertilität, Endokrinologie und CardioMetabolic Care. Merck Serono verfolgt das Ziel, sein Geschäft in spezialisierten fachärztlichen therapeutischen Anwendungsbereichen auszuweiten; einerseits in den Bereichen Onkologie und Neurodegenerative Erkrankungen, andererseits aber auch in neuen therapeutischen Anwendungsbereichen, die sich aus Mercks Forschung und Entwicklung im Gebiet der Autoimmun- & Entzündungserkrankungen ergeben können. Der Unternehmensbereich Chemie ist in zwei Sparten gegliedert. Dabei handelt es sich um die Sparte Liquid Crystals (Flüssigkristalle) sowie um die Sparte Performance & Life Science Chemicals. Merck bietet hochwertige Spezial- (z.B. Flüssigkristalle und Effektpigmente), Industrie- und Laborchemikalien für High-Tech-Anwendungen in Laboren und in der industriellen Produktion an. Die Produkte der Merck-Gruppe werden z.B. für die Produktion von Flachbildschirmen für Computer und Fernseher eingesetzt ebenso wie in Autolackierungen oder in Kosmetika. Mit seinen Flüssigkristallen ist Merck nach eigener Einschätzung Weltmarktführer mit einem bedeutenden Marktanteil. Im Geschäftsjahr 2009 erzielte die Merck Gruppe Gesamterlöse (einschließlich Lizenz- und Provisionserlöse) in Höhe von EUR 7.747,0 Millionen und ein EBIT in Höhe von EUR 620,9 Millionen. Von diesen Gesamterlösen entfielen EUR 5.811,9 Millionen (+ 6,5 % im Vergleich zu 2009) auf den Unternehmensbereich Pharma und EUR 1.935,1 Millionen (- 9,0 % im Vergleich zu 2008) auf den Unternehmensbereich Chemie.

Erwerb von Millipore Corporation Am 28. Februar 2010 hat Merck mit Millipore, Billerica, Massachusetts, U.S.A. ("Millipore") eine Vereinbarung und einen Plan für einen Anteilstausch (agreement and plan of share exchange) abgeschlossen (der "Anteilstauschvertrag"), nach dem Merck unter bestimmten Voraussetzungen alle Aktien von Millipore gegen eine Gegenleistung in bar von USD 107 je Aktie erwerben wird. Das Gesamtvolumen der Transaktion, einschließlich Nettoverschuldung von Millipore (zum 31. Dezember 2009), beträgt ca. USD 7,2 Mrd. (EUR 5.3 Mrd.). Der Vollzug des Erwerbs steht unter der Bedingung der Zustimmung der Aktionäre von Millipore zu dem Anteilstauschvertrag mit Zwei-Drittel-Mehrheit. Der Vollzug des Erwerbs von Millipore steht außerdem unter weiteren Vollzugsbedingungen, insbesondere unter dem Vorbehalt der Freigabe durch die zuständigen Kartellbehörden. Millipore ist an der New York Stock Exchange notiert und wird dort unter dem Kürzel MIL gehandelt. Im Geschäftsjahr 2009 erwirtschaftete Millipore weltweit Umsätze in Höhe von USD 1,65 Mrd. Zur teilweisen Finanzierung des Erwerbs aller Aktien von Millipore hat Merck am 28. Februar 2010 einen Darlehensvertrag über einen EUR 4.200.000.000 Doppelwährungskredit abgeschlossen (das "Millipore-Akquisitionsdarlehen"). Im Übrigen wird Merck die Akquisition durch vorhandene Barmittel finanzieren. Merck kann zudem Erlöse aus der Emission von Schuldverschreibungen unter dem Programm nutzen, um die Akquisition zu finanzieren und/oder ganz oder teilweise das Millipore- Akquisitionsdarlehen vorzeitig zu tilgen oder kündigen. Im Zusammenhang mit dem beabsichtigten Erwerb von Millipore hat Standard & Poor's Rating Services am 2. März 2010 das Rating für langfristige, unbesicherte nicht-nachrangige Finanzverbindlichkeiten der Merck KGaA von A- auf BBB+ abgewertet. Zur gleichen Zeit hat Standard & Poor's Rating Services das Rating für kurzfristige Finanzverbindlichkeiten von A-2 sowie den stabilen Ausblick bestätigt. Entsprechend hat Standard & Poor's Rating Services das Rating der Merck Financial Services GmbH für langfristige, unbesicherte nicht-nachrangige Finanzverbindlichkeiten von A- auf BBB+ abgewertet. Moody's Investors Service hat am 2. März 2010 das Rating der Merck KGaA und ihrer Tochtergesellschaften für unbesicherte, nicht-nachrangige und für kurzfristige Finanzverbindlichkeiten unter Beobachtung für eine mögliche Abwertung gestellt.

Weitere Jüngste Entwicklungen Im Februar 2009 empfahl die European Medicines Agency ("EMA"), die Marktzulassung des Schuppenflechte-Medikaments Raptiva® auszusetzen. Das wissenschaftliche Komitee der EMA, das

29 "Committee for Medicinal Products for Human Use" ("CHMP") war zum Schluss gekommen, dass der Nutzen von Raptiva® nicht länger seine Risiken überwiegt, vor allem da bei Patienten mit Schuppenflechte, die mit Raptiva® behandelt worden waren, virologisch bestätigte Fälle von Progressiver Multifokaler Leukoenzephalopathie (PML) aufgetreten waren. Merck Serono zog daraufhin freiwillig die Marktzulassung von Raptiva® in allen seinen Märkten innerhalb und außerhalb Europas zurück. Am 30. September 2009 waren in allen 66 Ländern, in denen Raptiva® zuvor zugelassen war, die Marktzulassungen zurückgezogen. Am 19. November 2009 hatte das CHMP eine negative Entscheidung zum Einsatz von Erbitux® (Cetuximab) beim EGFR (epidermaler Wachstumsfaktor-Rezeptor)-exprimierendem, fortgeschrittenen oder metastasierten nicht-kleinzelligen Bronchialkarzinom ("NSCLC") in Kombination mit einer platinbasierten Standardchemotherapie ausgesprochen. Es handelt sich um die zweite negative Stellungnahme, nachdem Merck beantragt hatte, die erste negative CHMP-Stellungnahme vom 23. Juli 2009 erneut zu prüfen. Merck respektiert die Entscheidung des CHMP zur Anwendung von Erbitux® für dieses Krankheitsbild, hält aber auch weiterhin am klinischen Entwicklungsprogramm von Erbitux® fest, welches klinische Studien zur Untersuchung seines Potentials in der Behandlung verschiedener Krebsformen, einschließlich Magenkrebs, beinhaltet. Merck hat im Juli 2009 vom Bundeskartellamt eine Verfügung erhalten, die Merck auffordert, Laborprodukte der Sparte Performance & Life Science Chemicals nicht mehr wie bisher exklusiv nur über den Laborgroßhändler VWR International zu vertreiben, sondern auch über andere vergleichbar qualifizierte Großhändler in Deutschland. Merck geht vor dem Oberlandesgericht Düsseldorf im Eilverfahren gegen diese Verfügung vor. In seinem Beschluss im Eilverfahren hat das Oberlandesgericht Düsseldorf die Verfügung des Bundeskartellamts für einen Teil der Laborprodukte von Merck bestätigt. Merck kommt diesem Beschluss in vollem Umfang nach. Inwieweit sich die Umsetzung dieser Verfügung des Bundeskartellamts zukünftig wirtschaftlich auswirken wird, ist derzeit nicht abzuschätzen. Die Merck KGaA hat am 9. September 2009 die Übernahme der Suzhou Taizhu Technology Development Co. Ltd. ("Taizhu") bekannt gegeben, einem Anbieter von Effektpigmenten mit Sitz in Taicang nahe Shanghai/China. Merck geht davon aus, dass die Übernahme von strategischer Bedeutung für ihr Pigmentgeschäft sein wird. Merck übernimmt die Vertriebsorganisation von Taizhu für den chinesischen und internationalen Markt sowie die Produktionsstätte in Taicang, 40 km von Shanghai zu einem Gesamtpreis von EUR 26 Millionen. Die Merck KGaA hat am 30. November 2009 bekannt gegeben, dass die amerikanische Tochtergesellschaft des Unternehmens von der U.S.-amerikanischen Zulassungsbehörde FDA (Food and Drug Administration) einen so genannten "Refuse to File letter³ auf ihren Zulassungsantrag (New Drug Application ± "NDA") für Cladribine Tabletten erhalten hat. Bei Cladribine-Tabletten handelt es sich um Merck Seronos exklusive orale Formulierung von Cladribin zur Verringerung von Schüben bei schubförmiger Multipler Sklerose. Merck Serono ist auf die im Brief genannten offenen Punkte eingegangen und hatte ein Gespräch mit der FDA um diese zu klären Merck Serono hatte ein Treffen mit der FDA im Januar 2010. Das Ziel dieses Treffens war es, die Anmerkungen der FDA im Refuse to File letter zu besprechen, sich auf eine Wiedereinreichung der NDA für Cladribine Tabletten zu verständigen und die Schritte für eine solche Wiedereinreichung zum frühest möglichen Zeitpunkt festzulegen.

Gründung und Eintragung Die im Jahre 1995 durch Übertragung des überwiegenden Teils des Vermögens der E. Merck OHG (nun E. Merck KG) im Wege der Ausgliederung zur Neugründung gegründete Merck KGaA ist unter der Firma "MERCK Kommanditgesellschaft auf Aktien" im Handelsregister des Amtsgerichts Darmstadt unter HRB 6164 eingetragen. Die Merck KGaA und ihre Tochtergesellschaften treten unter dem Namen Merck auf. In den Vereinigten Staaten und Kanada agiert die Merck-Gruppe unter dem Namen "EMD". Sitz der Merck KGaA ist Darmstadt und die Geschäftsadresse Frankfurter Straße 250, 64293 Darmstadt.

Geschäftsleitung, Aufsichtsrat und gesetzliche Abschlussprüfer Der Geschäftsleitung der Merck KGaA gehören gegenwärtig als persönlich haftende Gesellschafter ohne Kapitalanteil Dr. Karl-Ludwig Kley (Vorsitzender), Dr. Michael Becker, Dr. Bernd Reckmann und Elmar Schnee an.

30 Die 16 Mitglieder des Aufsichtsrats sind Prof. Dr. Dr. h.c. Rolf Krebs (Vorsitzender), Heiner Wilhelm* (stellvertretender Vorsitzender), Dr. Mechthild Auge*, Crocifissa Attardo*, Johannes Baillou, Frank Binder, Dr. Wolfgang Büchele, Michael Fletterich*, Edeltraud Glänzer*, Michaela Freifrau von Glenck**, Frieder Kaufmann*, Dr. Hans-Jürgen Leuchs, Albrecht Merck**, Dr. Karl-Heinz Scheider*, Prof. Dr. Theo Siegert und Osman Ulusoy* (* Arbeitnehmerverteter; ** entsandtes Mitglied). Gesetzliche Abschlussprüfer der Merck KGaA sind KPMG AG Wirtschaftsprüfungsgesellschaft, Klingelhöferstraße 18, 10785 Berlin.

Rechtliche Struktur Die Merck KGaA ist eine Kommanditgesellschaft auf Aktien nach deutschem Recht. Als solche unterliegt die Merck KGaA deutschem Aktien- und Handelsrecht. Die Kommanditgesellschaft auf Aktien (KGaA) ist eine Gesellschaft mit eigener Rechtspersönlichkeit, bei der mindestens ein Gesellschafter den Gesellschaftsgläubigern unbeschränkt haftet (persönlich haftender Gesellschafter) und die übrigen an dem in Aktien zerlegten Grundkapital beteiligt sind, ohne persönlich für die Verbindlichkeiten der Gesellschaft zu haften (Kommanditaktionäre) (§ 278 Abs. 1 Aktiengesetz - AktG). Es liegt also eine Mischform von Aktiengesellschaft und Kommanditgesellschaft mit Schwerpunkt im Aktienrecht vor. Persönlich haftender Gesellschafter mit Kapitalanteil der Merck KGaA ist die E. Merck KG (vormals E. Merck OHG), Frankfurter Straße 250, 64293 Darmstadt, Germany, ("E. Merck"), die allerdings nach der Satzung der Merck KGaA von der Geschäftsführung ausgeschlossen ist. Die Geschäftsführung wird stattdessen von den persönlich haftenden Gesellschaftern ohne Kapitalanteil (Geschäftsleitung) wahrgenommen. Mitglied der Geschäftsleitung kann allerdings nur sein, wer zugleich persönlich haftender Gesellschafter der E. Merck ist. E. Merck hat nach der Satzung der Merck KGaA weit reichende Mitwirkungs-, Entscheidungs-, Zustimmungs- und Vetorechte in Bezug auf die Geschicke von Merck.

Kapitalverhältnisse Zum 16. März 2010 belief sich das Gesamtkapital der Merck KGaA auf EUR 565.211.241,95 und setzt sich aus dem in 64.621.126 Aktien eingeteilten Grundkapital in Höhe von EUR 168.014.927,60 und dem vom persönlich haftenden Gesellschafter E. Merck gehaltenen Kapitalanteil von EUR 397.196.314,35 zusammen. Damit hält der persönlich haftende Gesellschafter E. Merck rund 70 % am Gesamtkapital der Merck KGaA. E. Mercks Kapitalanteil ist nicht in Aktien verbrieft.

Ausgewählte konsolidierte Finanzinformationen ± Wichtige Kennzahlen Die nachfolgenden ausgewählten historischen Finanzinformationen der Merck-Gruppe basieren auf den geprüften Konzernabschlüssen der Merck KGaA für die am 31. Dezember 2009 und 2008 endenden Geschäftsjahre (die "Konzernjahresabschlüsse"), die alle an anderer Stelle in diesem Prospekt abgedruckt oder durch Verweis einbezogen worden sind, und sollten in Verbindung mit diesen gelesen werden. Die Konzernjahresabschlüsse wurden nach den International Financial Reporting Standards (IFRS), wie sie in der Europäischen Union anzuwenden sind, erstellt. Die Konzernjahresabschlüsse wurden von der KPMG AG Wirtschaftsprüfungsgesellschaft geprüft und jeweils mit einem uneingeschränkten Bestätigungsvermerk versehen. Die Konzernjahresabschlüsse wurden unter Anwendung des Umsatzkostenverfahrens erstellt, d.h. die Aufwendungen werden nach Funktionsbereichen (Herstellung, Marketing und Vertrieb, Verwaltung und Forschung und Entwicklung) unterteilt, und den Umsatzerlösen die Herstellungskosten gegenübergestellt, die ursächlich für die Umsätze der Berichtsperiode waren.

31 Geschäftsjahr zum 31. Dezember 2009 2008 Unterschied in in EUR Mio. (geprüft) (geprüft) % Gesamterlöse ...... 7.747 7.590 2,1 Bruttoergebnis ...... 5.718 5.684 0,6 Forschung und Entwicklung ...... -1.345 -1.234 8,9 Operatives Ergebnis...... 649 1.131 -42,6 Sondermaßnahmen ...... -28 -400 - Ergebnis vor Zinsen und Steuern (EBIT)(1)...... 621 731 -15,1 EBIT vor Abschreibungen und Wertberichtigungen 1.625 1.947 -16,5 (EBITDA)...... Umsatzrendite (ROS)(2) in % ...... 8,4 14,9 - Free Cash Flow (FCF) ...... 812 438 85,3

Basis Free Cash Flow...... 852 601 41,6

(1) EBIT wird definiert als eine Ergebniskennzahl für den betreffenden Zeitraum vor den Positionen Finanzergebnis und Steuern der Gewinn- und Verlustrechnung. EBIT in der von Merck ausgewiesenen Form ist nicht unbedingt vergleichbar mit gleich lautenden Kennzahlen, wie sie von anderen Unternehmen ausgewiesen werden. (2) Merck KGaA verwendet als Steuerungsgröße unter anderem ROS (Return on sales). Berechnet wird ROS, indem das operative Ergebnis durch die Gesamterlöse geteilt wird.

Zusammenfassung bezüglich der Merck Financial Services GmbH

Allgemeine Beschreibung Merck Financial Services GmbH ist eine direkt, zu 100% gehaltene Tochtergesellschaft der Merck KGaA. Merck Financial Services GmbH hat die Funktion der zentralen Finanzierungs- und Geldverwaltungseinheit für die Merck Gruppe und ist der erste Ansprechpartner für externe Finanzierungspartner. Merck Financial Services GmbH hat diese Geschäftstätigkeit im Februar 2009 aufgenommen. Merck Financial Services GmbH wurde am 6. August 2007 in der Form einer Gesellschaft mit beschränkter Haftung gegründet. Merck Financial Services GmbH hat seinen Sitz in Darmstadt und ist im Handelsregister des Amtsgerichts Darmstadt unter Registernummer HRB 86146 eingetragen. Die Geschäftsadresse lautet Frankfurter Strasse 250, 64293 Darmstadt. Das Stammkapital der Merck Financial Services GmbH beträgt EUR 25.000 und ist durch einen Geschäftsanteil im Nennbetrag von EUR 25.000 repräsentiert. Die beiden Geschäftsführer der Merck Financial Services GmbH sind Rando Bruns und Uta Kemmerich-Keil. Die nicht konsolodierten Jahresabschlüsse für die Geschäftsjahre 2008 und 2009 von Merck Financial Services GmbH wurden von KPMG AG Wirtschaftsprüfungsgesellschaft, Klingelhöferstraße 18, 10785 Berlin geprüft.

Ausgewählte Finanzinformationen ± Wichtige Kennzahlen Die nachfolgenden ausgewählten historischen Finanzinformationen der Merck Financial Services GmbH basieren auf den geprüften nicht konsolidierten Jahresabschlüssen der Merck Financial Services GmbH für die am 31. Dezember 2009 und 2008 endenden Geschäftsjahre (die "Merck FS Jahresabschlüsse"), die alle an anderer Stelle in diesem Prospekt abgedruckt oder durch Verweis einbezogen worden sind, und sollten in Verbindung mit diesen gelesen werden. Die Merck FS Jahresabschlüsse wurden nach den Bilanzvorschriften des deutschen Handelsgesetzbuchs für kleine Kapitalgesellschaften erstellt. Die Merck FS Jahresabschlüsse wurden von der KPMG AG Wirtschaftsprüfungsgesellschaft geprüft und jeweils mit einem uneingeschränkten Bestätigungs- vermerk versehen. Die Merck FS Jahresabschlüsse wurden unter Anwendung des Gesamtkosten- verfahrens erstellt, d.h alle Kosten, die in der betrachteten Rechnungsperiode bei der betrieblichen Leistungserstellung entstanden sind, werden berücksichtigt und ihnen alle erzielten Erlöse gegenüber gestellt. Merck Financial Services GmbH stellt derzeit einen Teilkonzernabschluss für das am 31. Dezember 2009 endende Geschäftsjahr auf (der "Merck FS 2009 Teilkonzernabschluss"), der berücksichtigt,

32 dass Merck Financial Services GmbH im Geschäftsjahr 2009 eine Mehrheitsbeteiligung an der Merck Capital Holding Ltd., Malta, erworben hat. Die Merck Capital Holding Ltd. und ihre Tochtergesellschaft Merck Capital Ltd., Malta, sind die einzigen Tochtergesellschaften der Merck Financial Services GmbH. Der Merck FS 2009 Teilkonzernabschluss wird zu einem späteren Zeitpunkt im Wege eines Nachtrags in diesen Prospekt einbezogen werden.

Geschäftsjahr zum 31. Dezember 2009 2008) in EUR Tausend (geprüft) (geprüft) Gezeichnetes Kapital ...... 25 25 Eigenkapital ...... 4.999 24 Verbindlichkeiten 4.015.817 2 Bilanzsumme ...... 4.020.864 26 Jahresfehlbetrag...... -* -*

* Verlustübernahme in Höhe von EUR 15.421 Tausend im Geschäftsjahr 2009 und von EUR 415 im Geschäftsjahr 2008.

Zusammenfassung bezüglich der Risikofaktoren Nachstehend erfolgt eine Zusammenfassung von Risikofaktoren, die erhebliche nachteilige Auswirkungen auf die Vermögens-, Finanz- und Ertragslage des Merck Konzerns haben könnten und die Fähigkeit der Emittentinnen zur Erfüllung ihrer Verbindlichkeiten aus den Schuldverschreibungen beeinträchtigen können, sowie solcher Risikofaktoren, die für die Beurteilung des Marktwerts bzw. Marktrisikos der im Rahmen dieses Programms begebenen Schuldverschreibungen wesentlich sind. Potentielle Anleger sollten diese Risikofaktoren sowie sämtliche anderen Informationen in diesem Debt Issuance Program Prospekt berücksichtigen und mit ihren eigenen fachlichen Beratern Rücksprache halten, bevor sie sich für einen Kauf der im Rahmen des Programms begebenen Schuldverschreibungen entscheiden. Darüber hinaus sollten sich Anleger im Klaren sein, dass die Risiken gleichzeitig auftreten und sich dadurch in ihren Auswirkungen verstärken können.

Risikofaktoren mit Bezug auf die Emittenten, insbesondere Merck KGaA ł Zu den Risiken mit Bezug zu den Emittenten, insbesondere der Merck KGaA, zählen unter anderem folgende Risiken: ł Die Möglichkeiten von Merck zur Vermarktung von Pharmaprodukten sind eingeschränkt, da das Arzneimittelgeschäft staatlich stark reguliert wird. ł Die Geschäftstätigkeit von Merck im Unternehmensbereich Pharma wird durch den weltweit steigenden Kostendruck im Bereich des Gesundheitswesens beeinflusst. ł Das zunehmend schärfere regulatorische Umfeld für die chemische Industrie kann negative Auswirkungen auf die Produktionskosten und das Produktportfolio von Merck im Unternehmensbereich Chemie haben. ł Die allgemeine Wirtschaftslage und die Zyklizität der wichtigsten Abnehmerbranchen können vor allem im Unternehmensbereich Chemie zu einem Nachfragerückgang führen. ł Verstärkter Wettbewerb in den jeweiligen Unternehmensbereichen könnte sich nachteilig auf die Umsätze von Merck auswirken und das weitere Wachstumspotential beeinträchtigen. ł Aufgrund der Internationalität der Geschäftstätigkeit von Merck ist die Merck-Gruppe mit unterschiedlichen rechtlichen, regulatorischen, wirtschaftlichen, sozialen und politischen Bedingungen und Gegebenheiten konfrontiert, die Risiken bergen können. ł Steigende Preise für Rohstoffe könnten die Profitabilität des Geschäfts von Merck negativ beeinflussen. ł Merck könnte Produkthaftungsansprüchen ausgesetzt werden, die zu erheblichen Kosten und Verbindlichkeiten führen könnten. ł Es ist möglich, dass Schäden, Verluste oder eine Haftung von Merck nicht ausreichend durch bestehende Versicherungsverträge abgedeckt werden. ł Merck könnte nicht in der Lage sein, sich den technologischen Veränderungen anzupassen und weiterhin innovative Produkte zu entwickeln und erfolgreich einzuführen.

33 ł Aufgrund der Unvorhersehbarkeit, die mit dem Entwicklungsprozess neuer Medikamente einhergeht, könnte Merck nicht in der Lage sein, neue Medikamente und andere Pharmaprodukte erfolgreich und rechtzeitig zu entwickeln und auf dem Markt einzuführen. ł Sollte es Merck nicht gelingen, Allianzen und andere Kooperationsvereinbarungen mit Dritten zu schließen und aufrechtzuerhalten, könnte dies die Fähigkeit von Merck beeinträchtigen, neue Medikamente und andere Pharmaprodukte zu entwickeln. ł Der Unternehmensbereich Pharma von Merck erzielt einen bedeutenden Teil seiner Umsätze mit drei Produkten, die nicht ausreichend geschützt sein könnten. ł Es ist nicht sicher, dass es Merck zukünftig gelingt, qualifizierte Mitarbeiter zu gewinnen oder zu halten. ł Merck ist Risiken aus Rechtsstreitigkeiten ausgesetzt. ł EMD Serono Holding, Inc., eine U.S.-Tochtergesellschaft von Merck Serono S.A. hat mit der U.S.-Regierung ein so genanntes "corporate integrity agreement" abgeschlossen, das es der U.S.-Regierung unter bestimmten Umständen erlaubt, EMD Serono Holding Inc. und deren Tochtergesellschaften von der Teilnahme an staatlichen Gesundheitsprogrammen auszuschließen. ł Es besteht keine Gewähr, dass es Merck gelingt, geistiges Eigentum und Know-how in ausreichendem Maße zu schützen. ł Es lässt sich nicht ausschließen, dass Merck geistiges Eigentum Dritter verletzt bzw. auf die kostenpflichtige Nutzung geistigen Eigentums Dritter angewiesen ist. ł Die Nichtverfügbarkeit qualitativ guter Materialien oder Dienstleistungen, die Merck für die Geschäftstätigkeit benötigt, kann nachteilige Auswirkungen auf das Ergebnis von Merck haben. ł Merck ist Risiken im Hinblick auf die beabsichtigte Akquisition von Millipore sowie andere zukünftige Akquisitionen und Desinvestitionen ausgesetzt. ł Sollte (i) der Erwerb und/oder die Integration von Millipore auf unerwartete Schwierigkeiten stoßen oder (ii) sich das Geschäft der künftigen Sparte Merck Millipore oder der Sparte Merck Serono nicht wie erwartet entwickeln, kann es in Zukunft notwendig werden, Abschreibungen auf die immateriellen Vermögenswerte und/oder den Firmenwert von Millipore oder Serono vorzunehmen. ł Im Fall des Erwerbs von Millipore und nach dem Vollzug dieses Erwerbs wird Merck Risiken aus der Geschäftstätigkeit von Millipore ausgesetzt sein, wobei Merck derzeit noch keine Kenntnisse von einigen dieser Risiken haben könnte und Merck für alle diese Risiken grundsätzlich keine Gewährleistungsrechte gegen Millipore oder seine Aktionäre haben wird. ł Aufgrund der komplexen Konzernstruktur von Unternehmensverkäufen und des geographischen Umfangs der Geschäftstätigkeit könnte Merck höheren Steuerverbindlichkeiten als erwartet ausgesetzt sowie von der Erhebung zusätzlicher Zölle, Abgaben oder sonstiger Gebühren betroffen sein. ł Änderungen der Wechselkurse und der Zinssätze können nachteilige Auswirkungen auf den Gewinn von Merck haben. ł Die andauernde Finanzkrise einzelner Länder und deren hohe Staatsverschuldung können nachteilige Auswirkungen auf den Umsatz und Gewinn von Merck haben. ł Mögliche Verwechslungen mit Merck & Co. seitens der Kunden könnten das Geschäft von Merck nachteilig beeinflussen. ł Merck unterliegt vielfältigen umweltrechtlichen Anforderungen und könnte einer Haftung für deren Nichteinhaltung oder für Altlasten ausgesetzt sein. ł Unvorhergesehene Betriebsunterbrechungen in einzelnen Produktionsstätten können zu Produktionsengpässen und einem Umsatzrückgang bei Merck führen. ł Merck ist auf den unterbrechungsfreien Betrieb sowie die weitere Integration der Computer- und Datenverarbeitungssysteme angewiesen. ł Merck unterhält eine Reihe von Pensionsplänen, die unter Umständen zukünftig nicht durch ausreichende Rückstellungen bzw. extern fondsfinanzierte Rücklagen gedeckt sein könnten. ł Die Interessen der Hauptanteilseigner von Merck können denen der Inhaber der Schuldverschreibungen zuwiderlaufen.

34 ł Merck Financial Services GmbH ist von der Merck KGaA abhängig, um ihre Verpflichtungen unter den Schuldverschreibungen erfüllen zu können.

Risikofaktoren mit Bezug auf die Schuldverschreibungen ł Schuldverschreibungen sind komplexe Finanzinstrumente, in die potentielle Anleger nur investieren sollten, wenn sie (selbst oder durch ihre Finanzberater) über die nötige Expertise verfügen, um die Entwicklung der Schuldverschreibungen unter den wechselnden Bedingungen, die resultierenden Wertveränderungen der Schuldverschreibungen sowie die Auswirkungen einer solchen Anlage auf ihr Gesamtportfolio einzuschätzen. ł Potenzielle Investoren müssen sich bewusst sein, dass eine Anlage in die Schuldverschreibungen mit Währungsrisiken verbunden sein kann, und sollten entscheiden, ob eine Anlage in die Schuldverschreibungen ihren individuellen Interessen entspricht und unter Berücksichtigung ihrer individuellen Umstände angemessen ist. ł Die Schuldverschreibungen sind neue Wertpapiere, die möglicherweise nicht sehr breit gestreut sind und für die derzeit kein liquider Markt besteht. ł Es gibt keine Sicherheit, dass sich künftig ein liquider Markt für die Schuldverschreibungen entwickelt oder ein liquider Markt künftig aufrechterhalten wird. In einem illiquiden Markt könnte es sein, dass ein Anleger seine Schuldverschreibungen nicht jederzeit zu angemessenen Marktpreisen veräußern kann. Die Möglichkeit, Schuldverschreibungen zu veräußern, kann darüber hinaus aus landesspezifischen Gründen eingeschränkt sein. ł Jede Emittentin kann das Recht haben, alle ausstehenden Schuldverschreibungen zurückzuzahlen, aufgrund eines geringen ausstehenden Nennbetrags oder wenn sie verpflichtet wäre, die auf die Schuldverschreibungen zahlbaren Beträge wegen Einbehalts oder Abzugs von oder aufgrund von gegenwärtigen oder zukünftigen Steuern zu erhöhen. Des weiteren können Schuldverschreibungen nach Wahl der Emittentin unter bestimmten anderen Umständen oder wegen des Eintritts eines Ereignisses, welches in den Emissionsbedingungen für Schuldverschreibungen festgelegt ist, rückzahlbar sein. In diesem Fall ist der Gläubiger solcher Schuldverschreibungen dem Risiko ausgesetzt, dass infolge der vorzeitigen Rückzahlung seine Kapitalanlage eine geringere Rendite als erwartet aufweisen wird. Weiterhin könnte nach einer solchen vorzeitigen Rückzahlung eine Wiederanlage des Rückzahlungsertrags in ein vergleichbares Wertpapier zu einem effektiven Zinssatz in gleicher Höhe wie der der Schuldverschreibungen nicht möglich sein. ł Der Preis, für den die Inhaber die Schuldverschreibungen vor Fälligkeit möglicherweise verkaufen können, könnte durch einen wesentlichen Abschlag gegenüber dem Ausgabepreis oder Kaufpreis gemindert sein, den der jeweilige Inhaber beim Erwerb der Schuldverschreibungen gezahlt hat. ł Der Marktpreis und der Kurswert der Schuldverschreibungen werden unter anderem durch die Kreditwürdigkeit der jeweiligen Emittentin und eine Anzahl weiterer Faktoren beeinflusst, einschließlich, jedoch ohne Beschränkung hierauf, des Wertes des maßgeblichen Bezugsvermögens oder der Indizes, der Aussichten und Erwartungen des Marktes, des Marktzinses, der Renditen und der Restlaufzeit der Schuldverschreibungen. ł Der Betrag, der auf das Kapital und/oder gegebenenfalls Zinsen durch die Emittentin zahlbar ist, könnte erheblich geringer als der Ausgabepreis oder gegebenenfalls der Kaufpreis sein, der durch den jeweiligen Inhaber gezahlt wurde. Es ist auch nicht ausgeschlossen, dass die jeweilige Emittentin überhaupt kein Kapital und/ oder Zinsen auf die Schuldverschreibungen zahlt. Dies gilt insbesondere für Schuldverschreibungen, bei denen die Zahlung von Kapital und/oder Zinsen von verschiedenen Faktoren abhängt wie Indizes, Eigenkapitalvermögen oder anderen Vermögensteilen oder auf Beträge beschränkt ist, die die jeweilige Emittentin von einer dritten Partei erhält; in solchen Fällen könnte der Inhaber seine gesamtes investiertes Kapital verlieren. ł Bei Schuldverschreibungen, die an einen Basiswerte gebunden sind, können die Emittentin und die Plazeure oder mit diesen verbundene Unternehmen Geschäfte mit Bezug auf den diesen Schuldverschreibungen zu Grunde liegenden Basiswert abschließen, die Interessenkonflikte auslösen und einen negativen Einfluss auf den Wertpapieren zu Grunde liegenden Basiswert haben können.

35 ł Strukturierte Schuldverschreibungen, bei denen der Zins oder das Kapital durch einen oder mehrere Referenzvermögenswerte, -indizes oder -formeln bestimmt wird oder die Multiplikatoren oder andere Hebelfaktoren oder (Zins-) Ober- oder (Zins-) Untergrenzen oder eine Kombination dieser Merkmale vorsehen, können volatiler sein und mit höheren Risiken verbunden sein als konventionelle Schuldverschreibungen. ł Sofern die Schuldverschreibungen Beschlüsse der Gläubiger im Rahmen einer Gläubigerversammlung oder durch Abstimmung ohne Versammlung vorsehen, können die Gläubiger solcher Schuldverschreibungen durch Mehrheitsbeschluss Änderungen der Emissionsbedingungen dieser Schuldverschreibungen und gegebenenfalls der Garantie zustimmen und ein Gläubiger ist dem Risiko ausgesetzt, durch einen Beschluss der Gläubiger überstimmt zu werden. ł Sehen die Schuldverschreibungen die Bestellung eines gemeinsamen Vertreters vor, so ist es für einen Gläubiger möglich, dass sein persönliches Recht zur Geltendmachung und Durchsetzung seiner Rechte aus den Emissionsbedingungen gegenüber der Emittentin und gegebenenfalls seiner Rechte aus der Garantie gegenüber der Garantin auf den gemeinsamen Vertreter übergeht.

36 RISK FACTORS Below is a description of risk factors that are material for the assessment of the market risk associated with the Notes issued under the Program and risk factors that may affect each of the Issuer's ability to fulfill its obligations under the Notes and, as applicable, the Guarantor's ability to fulfill its obligations under the Guarantee and Negative Pledge. Any of these risks could have a material adverse effect on the financial condition and results of operations of Merck. The market price of the Notes could decline due to any of these risks, and investors could lose all or part of their investments. The following statements are not exhaustive and potential investors should carefully consider the specific risk factors outlined below in addition to all other information in this Debt Issuance Program Prospectus and consult with their own professional advisors should they deem it necessary before deciding upon the purchase of Notes issued under the Program. In addition, investors should bear in mind that several of the described risks can occur simultaneously and thus have, possibly together with other circumstances, a stronger impact. The order in which the risks are described neither indicates the probability of their occurrence nor the gravity or significance of the individual risks nor the scope of their financial consequences. Additional risks of which the Issuers are not presently aware could also affect the business operations of Merck and have a material adverse effect on Merck's business activities and financial condition and results of operations. With regard to Notes that require a separate description of risk factors due to their special structure, additional risk factors will be described in the Final Terms for such Notes. Words and terms that are defined in the "Terms and Conditions of the Notes" below or elsewhere in this Debt Issuance Program Prospectus have the same meaning in this section "Risk Factors". Potential investors should, among other things, consider the following:

Risk factors relating to the Issuers in particular Merck KGaA The possibilities of Merck to market pharmaceutical products are limited because the pharmaceutical business is strictly regulated by government authorities. The development, manufacture, marketing, import and advertising of drugs are subject to extensive and restrictive government regulation. In nearly all jurisdictions in which Merck operates, the market launch of new drugs or new dosages of drugs requires regulatory approval. The development and approval process is very costly and time intensive. Moreover, the result of the process cannot always be predicted because it depends on the outcome of scientific studies on the one hand and possible statutory and regulatory measures on the other. For example in November 2009, the Committee for Medicinal Products for Human Use ("CHMP"), the scientific committee of the European Medicines Agency ("EMA"), adopted a negative opinion for the use of Erbitux® (cetuximab) in combination with platinum-based chemotherapy for the treatment of patients with epidermal growth factor receptor ("EGFR")-expressing, advanced or metastatic non-small cell lung cancer. It was the second negative opinion after Merck had requested re-examination of the first negative CHMP opinion received on July 23, 2009. It can, moreover, sometimes take several years to determine whether a drug can be approved. For example, Merck Serono's New Drug Application to the U.S. Food and Drug Administration ("FDA") is currently delayed because Merck Serono's U.S. affiliate received a Refuse to File letter from the FDA in November 2009. If Merck were unsuccessful in obtaining regulatory approval for the marketing of new drugs or existing drugs for new indications on time or at all, or if the Merck Group were to encounter other regulatory hurdles, this could have a material adverse effect on Merck's business. Even after approval, drugs are still the subject of regulatory action if new facts concerning their safety and efficacy come to light. For example, subsequently to EMA¶s recommendation to suspend the marketing authorization for the psoriasis treatment Raptiva® () in the EU, Merck Serono has deliberately withdrawn in the 2009 fiscal year this product from all markets in and outside of Europe. The decision to suspend and withdraw the market authorizations was taken because of safety concerns, including the occurrence of virologically confirmed cases of progressive multifocal leukoencephalopathy (PML) in patients. In addition, there is a risk that claims may be brought against Merck in connection with the suspension of the market authorization. Regulatory measures can also relate to statutory requirements for product labeling. Changes in product labeling could influence decisions of doctors on whether to prescribe or not to prescribe the relevant products. Moreover, regulatory action can have a considerable impact on the marketing of drugs by Merck or even force Merck to take products off the market.

37 The business activities of Merck's Pharmaceuticals Business Sector are affected by the rising pressure on healthcare costs worldwide. The business activities of Merck's Pharmaceuticals Business Sector are strongly influenced by the structure of the public healthcare systems in the relevant countries and the resulting market structures. In particular, regulations that vary by country apply to the selection, price and dispensing of physician- prescribed drugs and to the reimbursement or payment of the cost of such drugs by the relevant health insurance funds, country-specific social security institutions and public health services. Market structures are also shaped by the relevant national regulations on drug pricing. These market structures can force Merck to lower its prices for drugs to market them efficiently. Furthermore, in some markets, major customers of pharmaceutical products (government agencies, health insurance companies or certain healthcare providers) have such market power that they can exert substantial price pressure on pharmaceutical producers as Merck. In many countries, healthcare regulations and regulatory mechanisms are subject to frequent changes, often on short notice. In some cases, new regulations can substantially change the marketing conditions for drugs. For example, Health Care reform is ongoing in the United States which includes proposed legislation to allow U.S. government agencies to establish prices for approved prescription drugs. Investments made relying on an existing market structure could prove to be worthless and existing market positions could be endangered. In general, any measure aimed at decreasing the costs of drug provision applicable to pharmaceutical manufacturers in the countries in which the Merck Group operates may reduce its revenues and profitability.

The increasingly stringent regulatory environment for the chemical industry can have a negative effect on Merck's production costs and the product portfolio of Merck's Chemicals Business Sector. The Merck Group's Chemicals Business Sector must comply with a number of general regulatory requirements regarding the testing, manufacturing and marketing of many of its products. Merck anticipates that regulatory requirements worldwide, particularly in the European Union, will continue to become more demanding. Stricter regulations, in response to growing safety demands and environmental awareness among the general public, can have a negative effect on Merck's production costs and product portfolio. In particular, the regulatory framework for the Registration, Evaluation and Authorisation of Chemicals (REACH) of the European Community, which entered into force on June 1, 2007, makes comprehensive testing of chemical products necessary. This testing can be very costly and time intensive and could lead to increases in costs and reductions in the return on sales of Merck's chemical products. According to information currently available, Merck estimates that the costs of registration and preparatory documentation will total approximately EUR 30 million over a period of one decade. As of August 1, 2008, Merck had pre-registered all relevant substances and has thus the possibility to use the different transitional periods for registration which in some cases last until 2018. In addition, during the authorisation process it could emerge that Merck would no longer be permitted to manufacture certain products or that these products would no longer be profitable to manufacture, as some uses may not be allowed any more.

The general economic situation and cyclical nature of key customer industries can result in a decline in demand, especially for the Chemicals Business Sector. Merck's Chemicals Business Sector is exposed to the various cycles and volatility of the markets served by this segment. This applies not only to the cycles and volatility of the relevant sub-market, but in particular also to the cycles and volatility of key customer industries. These effects vary considerably. In general, weak periods for Merck's customers in key markets result in weak sales growth for Merck's products. Such developments are often amplified by the fact that the Merck Group and its competitors cannot easily reduce existing production capacity and the corresponding costs or otherwise adapt the production processes to decreased demand. The demand for liquid crystals and pigments, in particular, fluctuates in response to general economic developments because consumers delay purchases of products such as laptops, LCD televisions or new cars in difficult economic times. In addition, a weak economy intensifies cost pressure on national healthcare systems in various countries and as a result also increases the frequency and scope of regulatory interventions in market structures. This exposes the Merck Group to the aforementioned risks. Moreover, individual Merck products and product lines in the Pharmaceuticals Business Sector, particularly over-the-counter drugs, are more sensitive to economic cycles because consumers themselves must bear the cost of these products.

38 Increased competition in the relevant Business Sectors could have an adverse effect on Merck's sales and adversely affect its future growth potential. Merck must compete with numerous competitors in each of the Business Sectors of the Merck Group. Some of these competitors have greater financial, marketing or research and development resources at their disposal. Growing competitive pressure could have a material adverse effect on sales and prices of Merck's products and services. In the past, technological innovations have been a key competitive factor in both the pharmaceutical sector and the chemical industry. The launch of new products or services by competitors could make Merck's products and services less competitive or even redundant. The Merck Serono division, for example, could be exposed in the future to increased competitive pressure from products that are currently in clinical development. At present, over 1,000 oncology development projects are known to be ongoing around the world. Moreover, the competitive pressure could further increase to the market entry of new suppliers, mostly from emerging markets such as China or or due to the expansion of activities by existing competitors, such as by shifting production to emerging markets. The business is considerably important for Merck, especially its Merck Serono division. In recent years, have been affected by competition from generics suppliers only to a limited degree, in contrast to that consist of small, chemically synthesizable molecules. Biopharmaceuticals could be subject to increased competition in the future. The EU has established the legal framework for generics in this segment, the so-called biosimilars, regulating the access to the biopharmaceuticals market for generic competitors once the exclusivity period for the original drug has expired. Comparable efforts are underway in the United States. In the case of the Liquid Crystals division, which generated 70% of Merck's Chemicals Business Sector's operating result in the 2009 fiscal year, patent protection exists for the majority of products and technologies. However, the protection of some key patents in liquid crystal technology expired in 2009. It is also possible that competitors will gain some of Merck's business as a result of developments within their own portfolio. In some cases such developments have already reached readiness for marketing. Thus, it cannot be ruled out that such increasing competition will reduce the margins attainable in the liquid crystal business. In the Performance & Life Science Chemicals division, growing competition for high-volume commodity products for simpler applications has already led to increased price pressure, which will also increase in the future with respect to the rest of this division's product range. Increased competition, whether this is due to the above-mentioned factors or other factors, could have a material adverse effect on the market position of the Merck Group and therefore the volume of products it sells, as well as attainable prices and realizable margins.

Due to the international nature of Merck's activities, the Merck Group is confronted with various legal, regulatory, economic, social and political circumstances and environments that entail risks. Merck manufactures products in 25 countries and offers its products and services worldwide. In some of the countries in which Merck manufactures its products, to which Merck exports its products or in which Merck provides services, conditions are significantly different from those in Western Europe, and there is less stability in the economic, political and legal systems. This is particularly the case in a number of countries in , Eastern Europe and South America that the Merck Group has identified as growth markets for its products. In the past, these countries have repeatedly experienced political and economic crises. For this reason, Merck is exposed to a number of factors that it cannot influence and that could have an adverse effect on the business activities and growth opportunities in these countries. In addition to political, economic and social stability, these factors include exchange controls and capital transfer restrictions or taxation, import/export restrictions and duties, and other regulatory restrictions. Each of these factors that Merck cannot influence can adversely affect Merck's business and growth opportunities in the countries in question.

Rising raw materials prices could adversely affect the profitability of Merck's business. In addition to general price increases, Merck's procurement and production operations in particular depend on the availability and purchase prices of raw materials. Raw materials prices are themselves subject to considerable cyclical fluctuations. There is a dependency on the market prices of precious metals and metal compounds, alcohols, sodium and potassium compounds, as well as to a certain

39 degree on the price of crude oil. These price fluctuations primarily affect the Chemicals Business Sector, but also have a secondary effect on the Pharmaceuticals Business Sector in the form of changes in the cost of pharmaceutical active ingredients purchased. If goods that Merck requires for its business activities are not available or if Merck is not able to compensate for or pass on to customers increases in the price of such materials in the future, this could adversely affect the profitability of Merck's business.

Merck could be subject to product liability claims that could lead to substantial expenses and liabilities. Companies in the chemical and pharmaceutical industries are subject in particular to the risk of lawsuits alleging negligence, product liability, violations of warranty obligations and other claims relating to product defects. Such lawsuits may include claims based on personal injury or death allegedly caused by a product of Merck, in particular pharmaceutical products. The risks of products and product liability can lead to claims for substantial amounts of damages, including compensation for consequential damage and substantial costs for legal representation. In addition, pharmaceutical products (drugs and other healthcare products) are especially likely to be the subject of recalls or patent infringement suits. For this reason, it cannot be guaranteed that extensive claims will not be asserted against Merck in the future or that large-scale product recall measures will not be necessary. Some countries in which Merck operates have a special legal framework for pharmaceutical products that could increase the risk of product liability claims being asserted. For example, the assertion of claims against pharmaceutical manufacturers has been simplified for users of pharmaceuticals in Germany since 2002, among other things by reversal of the burden of proof, the presumption of causation, and the right to request information from pharmaceutical companies and authorities. In the United States, the opportunity to bring class actions substantially increases the risk that very large damages will be awarded. The Chemicals Business Sector's product portfolio includes some substances that are classified as hazardous to health. On January 20, 2009, the Globally Harmonised System of Classification and Labelling of Chemicals, GHS, entered into force. The labelling of substances according to the GHS is mandatory in the European Union as of December 1, 2010, and will be mandatory for mixtures as of June 1, 2015. Merck has started immediately to implement GHS and provide GHS-labeled products. In addition to obvious changes regarding the labeling elements (e.g. new hazard pictograms and the signal word), GHS lowers some classification thresholds (e.g. for acute toxicity). As a consequence, the wording of the hazard communication under GHS will change fundamentally. Although all chemical products of the Merck portfolio remain physically the same, their labels will display more often and more severe hazards under GHS. Such a classification leads to an increased perception by third parties that Merck's products are hazardous to health. However, even with an up to date hazard communication in place, the possibility that the health or even the life of humans is affected cannot be ruled out, particularly in case of improper use of a product, or due to unknown product characteristics. Such consequences can also occur due to contamination during the production process. Merck could incur large expenses based on product liability claims, other violations of duties of care or contractual provisions, recall measures or penalties imposed for these reasons by public authorities. Such lawsuits can also adversely affect Merck's reputation and therefore reduce market acceptance of Merck's products.

It is possible that damage, losses or liability on the part of Merck will not be sufficiently covered by existing insurance policies. Merck has obtained a number of insurance policies to cover risks arising from its business activities. Although Merck sees itself sufficiently insured, it is uncertain whether the insurance policies offer sufficient coverage in individual cases for damages, losses or liability claims. Moreover, it is also uncertain whether Merck will be able to continue to obtain suitable insurance coverage for all business risks on economically acceptable terms in the future. For example, insurance coverage for product liability risks arising from drugs does not apply until a certain threshold has been reached, below which the insurance benefits do not apply, unless stipulated otherwise by law in Germany. This means that until a certain amount of damages is reached, no insurance coverage applies. In addition, various active ingredients used in the are generally excluded from insurance coverage due to unilateral conditions imposed by the insurance industry.

40 Merck might not be in the position to adapt to technological changes and to continue to develop and successfully launch innovative products. Merck operates in the pharmaceutical and chemical industries, within both of which there is fierce competition and intense research and development activity as well as associated rapid technological change. As part of its strategy, the Merck Group also focuses on products that require above-average research and development spending. Merck's success therefore depends on its continued ability to cost-effectively develop innovative products, launch these products on the market and therefore to address current technological developments in a timely manner. Merck competes with numerous companies, which include small niche suppliers as well as large international corporations. New developments and adaptations may cause technical problems or delays in their implementation, can fail entirely or be rejected by the market. If competitors were to develop their current products and technologies more quickly than Merck or launch alternative products or technologies that are more cost effective, of higher quality or are for other reasons more attractive than Merck's products, this could adversely affect demand for Merck's products.

Due to the uncertainties associated with the process of developing new drugs, Merck might not be in the position to successfully develop new drugs and other pharmaceutical products and launch them in a timely manner. Merck's Pharmaceuticals Business Sector's success relies on launching newly developed drugs in a timely manner. Whether a drug can be introduced into the market after the development and approval process cannot be predicted in advance. For example, drugs that were considered very promising in Phase I studies could prove to be unsuitable for regulatory approval in Phase II and Phase III clinical trials. This can occur for various reasons. For instance, a drug can prove to be ineffective, previously unknown side effects can appear in later phases, risk-benefit analyses can produce a negative result, or changes in the competitive environment can make continuing development unprofitable. In addition, the required approvals by authorities for drugs may be delayed or denied or drugs may not be approved for all indications for which applications for marketing authorisations were submitted. For example in November 2009, the Committee for Medicinal Products for Human Use ("CHMP"), the scientific committee of the EMA, adopted a negative opinion for the use of Erbitux® (cetuximab) in combination with platinum-based chemotherapy for the treatment of patients with epidermal growth factor receptor ("EGFR")-expressing, advanced or metastatic non-small cell lung cancer. It was the second negative opinion after Merck had requested re-examination of the first negative CHMP opinion received July 23, 2009. Furthermore, in November 2009 an U.S. affiliate of Merck Serono received a Refuse to File letter from the FDA on the New Drug Application for cladribine tablets which will delay the application process. Due to the uncertainties associated with the process of developing new drugs, no assurance can be given that Merck will be in a position to successfully develop and launch new drugs and other pharmaceutical products in a timely manner. The aforementioned factors also influence the development and approval process for new indications of drugs that have already been approved.

If Merck were unable to arrange and maintain alliances and other cooperation agreements with third parties, this could impair Merck's ability to develop new drugs and other pharmaceutical products. Merck is increasingly making use of the opportunity to outsource key services in the Pharmaceuticals Business Sector to third parties by way of , particularly by entering into cooperation agreements with biotech companies. As a result, Merck depends on its partners to fulfill their contractual obligations and, for example, to maintain the underlying patents and fulfill their delivery and quality obligations. However, Merck's contractual partners may not be in a position to do so due to limited financial resources or other reasons. Merck could also be unable to enter into the required cooperation agreements at suitable terms and conditions, or at all, in the future. Against the backdrop of further consolidation in the biotech industry, it could become more difficult for Merck to find suitable partners for cooperation agreements in this field. In addition, there is a strong competition among pharmaceutical and biotech companies for the acquisition of licenses for technologies and active ingredients developed by third parties.

41 Merck's Pharmaceutical Business Sector generates a significant part of its sales with three products, which may not be protected sufficiently. In the 2009 fiscal year, Merck Serono generated about 54% of its sales (excluding royalty income) from the sale of three products. Sales of Rebif® accounted for about 31%, sales of Gonal-f® generated about 10% and of Erbitux® about 14% of Merck Serono's sales in this period. Due to the influence of the revenues from these products on Merck Serono's total revenues and results of operations, the successful marketing or launch of comparable products by competitors or the results of clinical comparative efficacy trials involving products already approved by competitors could have a material adverse effect on Merck Serono's business activities and therefore Merck's financial condition and results of operations. Furthermore, it is possible that the bestselling product Rebif® is not sufficiently protected. Besides through a formulation patent expiring 2015, Rebif® is currently protected only by a covenant not to sue arrangement in the United States. This covenant not to sue replaces a true licensing agreement on the Freedom-to-Operate under the "Sugano" patents in the United States. These U.S. patents are the most important property rights still in existence relating to beta interferon, which is the active ingredient of Rebif®. In the event of infringement of these U.S. patents, for example by biosimilars manufacturers, Merck through its subsidiary Merck Serono S.A. itself does not have the right to take court action against such infringement due to this agreement. This means that Merck Serono S.A. has no control to directly prevent the manufacture of products using a different formulation and competing directly with Rebif®. In Europe, data exclusivity in respect of Rebif® has expired. The EU has established the legal framework for generics in this segment the so-called biosimilars. Supplemental guidelines, however, clarifying the regulatory path for biosimilars of some biopharmaceuticals, such as Rebif®, have not yet been issued. Comparable efforts are underway in the United States. The only protection still available in Europe is through a formulation patent, yet to be granted, directed to the recently registered Rebif® new formulation. This situation can cause additional competition in the U.S.A. and in Europe.

No assurance can be given that Merck will be able to recruit or retain qualified employees in the future. Merck is to a great extent dependent on highly qualified executives and technical experts, in particular in the area of research and development. In past years, there has been intense competition in Merck's markets for employees with scientific, technical or industry-specific knowledge. Merck's success has depended and will continue to depend on recruiting and retaining highly qualified employees in these areas. In the event that Merck experiences high rates of employee turnover or if specialist teams are poached by Merck's competitors, it is possible that Merck may not be able to recruit new employees from the labor market immediately to fill the key positions and which may result in additional costs. Furthermore, the loss of qualified employees or ongoing difficulties in the hiring of suitable employees could lead to a situation in which Merck cannot successfully implement key decisions, measures and developments, which would adversely affect its business.

Merck is subject to risks arising from legal disputes. Merck's business can be adversely affected by the detrimental outcome of legal disputes and investigations by government agencies. Pending legal disputes and investigations, which could adversely affect Merck's business and many of which are related to activities of former Serono S.A., now being Merck Serono S.A., and its subsidiary companies, include, but are not limited to, the following. Dey, Inc., a former U.S. subsidiary of Merck, is the defendant in various lawsuits in the United States, including class actions. The plaintiffs are the U.S. federal government, various states and private individuals. The lawsuits allege that Dey, Inc. falsely reported certain price information concerning the drugs it sells. The plaintiffs assert, among other things, that this caused the reimbursements for drugs by Medicaid and Medicare to doctors and pharmacists to be higher than their actual purchase prices, which resulted in damages. Though Dey, Inc. was sold to Laboratories Inc. as part of the divestment of Merck¶s business with generic pharmaceutical products (Generic¶s division), Merck remains liable for all costs and expenses arising from such lawsuits. Following such divestment, Merck KGaA or its subsidiaries set up provisions considered appropriate for these legal risks as the existing provisions were transferred with the sold Generics division to the buyer.

42 Since 1993, lawsuits have been pending in between Israel Bio-Engineering Project (IBEP) and various subsidiaries of Serono S.A., now Merck Serono S.A. IBEP is claiming ownership rights and payment of license fees and royalties. The lawsuits filed by IBEP relate to the financing of the development of Rebif® and other products and related intellectual property rights in the first half of the 1980s. In addition, Italy-based Italfarmaco S.p.A. was involved in arbitration proceedings against Merck Serono S.A.'s Italian subsidiary before the court of arbitration of the International Chamber of Commerce (ICC) in Milan, Italy. The background is a licensing and supply contract signed by the two parties with regard to Rebif® in 1996, which was originally intended to remain in force until 2011 and which Italfarmaco S.p.A. terminated in 1999 due to alleged breaches of contract by Merck Serono S.A. Italfarmaco S.p.A. was asserting claims for damages, among other things, from lost profits. In November 2009, the court of arbitration rendered a negative award against Merck Serono. An appeal has been filed with the Appeal Court of Milan. In March 2007, EMD Serono, Inc. received a subpoena from the U.S. Attorney¶s Office in Baltimore, Maryland seeking documents concerning the sales and marketing of Rebif® from January 2001 to the present. EMD Serono, Inc. has fully cooperated with the United States Department of Justice ("DOJ"). The DOJ has made civil claims under the False Claims Act following this subpoena and EMD Serono is currently discussing with the DOJ the settlement of these claims. Merck KGaA has set up a provision for the above mentioned legal disputes in an amount deemed appropriate by Merck KGaA. It cannot however be excluded that the amount of these provisions will be sufficient to cover all damages or costs and expenses arising from these legal disputes.

EMD Serono Holding, Inc., a U.S. subsidiary of Merck Serono S.A. is party to a corporate integrity agreement with the U.S. government which entitles the U.S. government under certain circumstances to exclude EMD Serono Holding, Inc. and its subsidiaries from participating in government health insurance programs. In October 2005, EMD Serono Holding, Inc., a U.S. subsidiary of Merck Serono S.A. entered into a corporate integrity agreement with the U.S. federal government. The conclusion of this corporate integrity agreement was part of a settlement agreement of civil and criminal charges regarding the marketing and sale of the hormone treatment ®. The objective of the corporate integrity agreement is to promote compliance with U.S. laws and regulations, including those of all government health insurance programs. The agreement is valid for at least five years. It cannot be excluded that the U.S. federal government will request an extension or a variation of the terms of the corporate integrity agreement as part of the settlement of the Maryland investigation mentioned above (see "± Merck is subject to risks arising from legal disputes."). The corporate integrity agreement requires EMD Serono Holding, Inc. and its U.S. biopharmaceutical subsidiaries and their affiliates to comply with laws and regulations, certain standards of conduct and to introduce a comprehensive compliance program. Among other things, this includes a compliance officer, a written code of conduct, training programs, regulatory compliance rules and processes, annual audits and periodic and event reporting to the U.S. federal government. The corporate integrity agreement permits the U.S. government to exclude the applicable companies from participating in government health insurance programs (particularly Medicare and Medicaid) in the event of a material breach of the integrity agreement that is not rectified within 30 days after receipt of a written notice of the contractual violations. For this reason, a material breach of the integrity agreement leading to the exclusion of the applicable companies from continued participation in these programs would result in a significant decline in these companies¶ revenues. Even if Merck does not anticipate the integrity agreement being applied to it in whole (including those subsidiaries which were formerly not a part of the Serono Group), it cannot be guaranteed that the companies of the Merck Group not having been formerly part of the Serono Group will not be deemed affiliates of EMD Serono Holding, Inc. according to the settlement agreement and will not be excluded from participation in government health insurance programs in the event of a violation of the integrity agreement as well. This could have a material adverse effect on Merck¶s business activities.

It cannot be guaranteed that Merck will be successful in protecting its intellectual property and knowledge sufficiently. Merck has a large number of patents and other intellectual property rights at its disposal that are important for the business success of the Merck Group. The patent application process including

43 maintenance and enforcement is time consuming and expensive. It cannot be guaranteed that Merck will be granted the necessary patents based on currently pending and future application processes. Even if patents raise a presumption of their validity under law, their approval alone does not necessarily ensure that they are valid or that any patents claims can be asserted successfully in the required or desired scope. Merck could find it necessary to enforce and protect patents, licenses and other intellectual property rights by taking legal action. Such processes can be time intensive and expensive. Moreover, it cannot be guaranteed that all of Merck's patents are valid or that Merck has sufficient legal protection against infringement and circumvention. In this case, Merck could lose such legal disputes, which could limit, prevent or at least substantially delay the further marketing or launch of products. Merck also depends on the existence and protection of its trademark rights, which comprise the names of many of its key products and are registered in the countries in which the Merck Group sells the majority of its products. Trademark protection is mainly guaranteed through the right to take court action against illegal use of a trademark. Effective trademark protection therefore requires extensive controls and subsequent research. If Merck does not identify the illegal use of its trademarks early enough or at all, or if Merck is unsuccessful in taking court action to protect its trademark rights, this could adversely affect the reputation and image of Merck at the customer level or could adversely affect its ability to effectively protect its trademarks.

The possibility that Merck could infringe the intellectual property rights of third parties or have to rely on fee-based use of third-party intellectual property cannot be excluded. The possibility that Merck is infringing on third-party patents or other industrial property rights cannot be excluded, because Merck's competitors apply for patents and receive patent protection for a significant number of inventions, as also does the Merck Group. If this were to occur, Merck could be prevented from using the relevant technologies in the countries in which the industrial property rights were granted. This holds true regardless of whether Merck had used these technologies before in other countries in a permitted way and itself had not applied for a patent, possibly due to reasons of confidentiality. In all of these cases, Merck could possibly be denied the opportunity to manufacture or market products, and Merck would then be forced, if applicable, to acquire licenses or change manufacturing processes. Moreover, Merck could be subject to the obligation to pay damages for patent infringement or infringement of other intellectual property. In addition, Merck's competitors could prohibit Merck from producing or selling such products in countries in which the respective competitor holds higher priority patent protection. Merck could also be forced to rely on obtaining access to third-party technologies by acquiring licenses, which would result in corresponding expenses. However, it cannot be guaranteed that the Merck Group will be able to obtain the number of licenses required for the success of its business at reasonable terms and conditions in the future. In addition, it cannot be guaranteed that licenses acquired were granted in the required scope.

The lack of availability of good quality materials or services that Merck requires for its business activities can adversely affect Merck's results. Merck depends on the availability of certain materials and services for implementation of its production processes. In addition, Merck also partly uses external contract manufacturers to manufacture products. In both cases, Merck places considerable demands on suppliers and contract manufacturers with regard to the quality of the materials supplied and services performed. In the case of the drug Erbitux®, Boehringer Ingelheim Pharma GmbH & Co. KG is currently the only other manufacturer contracting with Merck besides ImClone Systems, a wholly-owned subsidiary of Eli Lilly and Company. Merck currently builds its own production facility for, among others, Erbitux®. If such suppliers and contract manufacturers were unavailable temporarily or permanently, or were no longer able or willing to supply or manufacture products for other reasons, Merck could be unable to replace these shortfalls on short notice. This could then lead to a situation in which Merck could no longer manufacture individual products, at least temporarily, or the amount needed, which in turn could adversely affect Merck's financial condition and results of operations.

44 Merck is exposed to risks relating to the proposed acquisition of Millipore and other future acquisitions and divestments. On February 28, 2010 Merck entered into an agreement and plan of share exchange (the "Share Exchange Agreement") with Millipore Corporation, Billerica, Massachusetts, U.S.A. ("Millipore"). Under the Share Exchange Agreement, Merck will, subject to certain conditions, acquire all shares in Millipore against a cash consideration of USD 107 per share. The total transaction value, including net debt of Millipore (as of December 31, 2009), is approximately USD 7.2 billion (EUR 5.3 billion). The closing of the acquisition of Millipore is subject to merger clearance and the approval of the shareholders of Millipore with a two-thirds majority. Should those or other conditions precedent for the acquisition of Millipore not be fulfilled and/or obtained, the acquisition will fail. For example it cannot be excluded that the shareholders of Millipore will deny approval to the Share Exchange Agreement, e.g. in case of a competing offer of another bidder perceived more attractive by the shareholders. For Merck, a failure of the acquisition may entail (i) reputational damage due to the failure of the transaction (e.g. at the stock and bond markets) and (ii) financial disadvantages caused, inter alia, by the lost time and costs incurred in connection with the transaction. For example, on February 28, 2010 Merck signed a EUR 4,200,000,000 dual-currency term loan facility agreement in connection with the acquisition of all shares in Millipore (the "Millipore Acquisition Loan") under which Merck has to pay a commitment fee to the lenders regardless of whether the acquisition is successful or not. Carrying out the acquisition of Millipore, as any other acquisition, also involves risk. For instance, the acquisition of Millipore, as any other acquisition, carries the risk that the strategic price paid is considered too high by the market, that the acquisition proves to be less successful than anticipated, that Millipore does not develop as expected by the market, and that sales and earnings goals pursued by way of the acquisition are not met. In addition, the acquisition of Millipore, as any other acquisition, is subject to the risk that Merck will not be able to integrate the acquired company into the Merck Group as planned or only at a higher cost than originally planned, and/or that any intended synergy effects cannot be realized to the extent planned or cannot be realized at all. In addition, the acquisition and integration of Millipore may expose Merck to the following risks: · Commitment of management capacity: The integration of Merck and Millipore will require a large amount of the time and attention of both companies' management. If integration issues divert management from other responsibilities, Merck's and Millipore's business could be adversely affected. · Increased Indebtedness: As a result of the acquisition of Millipore, Merck's net financial liabilities will increase considerably due to the financing of the acquisition by way of the Millipore Acquisition Loan and/or the issue of Notes under this Debt Issuance Program. This has already led to a downgrade in Merck's rating by Standard & Poor's Rating Services and could lead to further downgrades as Moody's Investors Service placed Merck's ratings under review, which could adversely affect interest expenses. · Risks arising from the Millipore Acquisition Loan: The Millipore Acquisition Loan contains certain undertakings, restrictions and covenants that restrict Merck's entrepreneurial flexibility. The Millipore Acquisition Loan furthermore contains certain market-standard provisions, pursuant to which the lenders may terminate the Millipore Acquisition Loan and accelerate all borrowings under the loan · Higher consideration for the acquisition of Millipore caused by appraisal rights: The Share Exchange Agreement regarding all shares in Millipore must be approved by the shareholders of Millipore with a two-thirds majority. Dissenting shareholders of Millipore that disagree with the amount of the consideration offered under the Share Exchange Agreement have the right to demand from Millipore to be paid fair value of their shares (so-called appraisal rights). An appraisal process will not delay the filing or registration and thus effectiveness of the share exchange, but could result in court proceedings to determine the faire value. Such court proceedings could extend for a substantial period of time. In case the fair value for each share in Millipore to be paid to the dissenting shareholders ± on the basis of a mutual settlement or after a court decision ± is higher than the consideration offered by Merck, the acquisition of Millipore will become more expensive for Merck. · Possible loss of key employees: Both Merck and Millipore depend on their key employees for the successful integration and implementation of a common strategy. If either of the companies were to lose key employees due to their combination, rapid integration and leveraging of the respective strengths of each company could be more difficult.

45 In addition to the acquisition of Millipore, Merck continues to examine possibilities to expand its business through acquisitions and/or in-licensing in the chemicals and pharmaceutical sector. Merck may thus grow further through additional acquisitions or in-licensing. No guarantee can be given that additional suitable acquisition targets or license partners can be found or that further acquisitions that are identified as strategically important can be realized. If such further acquisitions should fail to materialize, this could adversely affect Merck's financial condition and the result of operations; on the other hand, the consummation of such further acquisitions may involve risks similar to those described above with regard to the acquisition of Millipore. Divestments, on the other side, bear risks arising from the sale contract with the purchaser and that the achieved sale price is too low in the view of the market. If any of the aforementioned risks materializes, this could adversely affect Merck's financial condition and results of operations.

If (i) unexpected difficulties were to arise in the course of the acquisition and/or the integration of Millipore or (ii) if either a future Merck Millipore division or the Merck Serono division's business failed to develop as expected, Merck could be forced in the future to recognize impairment losses on the intangible assets and/or goodwill of Millipore and Serono. After the acquisition of Millipore, Merck will have to recognize a substantial portion of the difference between the amount paid for the acquisition and the book value of Millipore's equity as intangible assets and/or goodwill of Millipore. These items must be tested for impairment at the end of each fiscal year. During the fiscal year, these items must also be tested for impairment whenever extraordinary events indicate a substantial loss in value. If unexpected difficulties were to arise in the course of the integration of Millipore into the Merck Group, if Millipore's business were to fail to develop as expected or if any other unexpected development occurs in relation to Millipore's business, Merck may in the future be forced to recognize an impairment loss on the intangible assets and/or goodwill of Millipore in accordance with IFRS. Similar risks exist with regard to the acquisition of Merck Serono S.A., formerly known as Serono S.A., in 2007. For this acquisition Merck also had to recognize a substantial portion of the difference between the amount paid for the acquisition and the book value of Serono-group's equity as intangible assets and/or goodwill. If the business of the Merck Serono division failed to develop as expected, Merck could be forced in the future to recognize comparable impairment losses on the intangible assets and/or goodwill of Serono in accordance with IFRS. Any such impairment losses could have a material adverse effect on Merck's financial condition and results of operations. In the event, and following the consummation, of the acquisition of Millipore, Merck will be exposed to risks associated with the business of Millipore, some of which Merck may not presently be aware of, and Merck in general will not have warranty claims against Millipore or its shareholders for any such risks. Merck has performed a limited due diligence investigation as part of the acquisition of Millipore with respect to selected aspects of the legal, financial and business condition of Millipore. Merck believes that it may, following the acquisition of Millipore, face the following specific risks associated with the business of Millipore and that exist in addition to the risks described in this section ³Risk Factors´ with regard to Merck¶s business generally: · Dependency on developments of customers: Many products of Millipore are used in the manufacturing and research processes of its customers. It is important for Millipore to have its products incorporated in its customers' manufacturing processes early in the manufacturing design phase; otherwise, Millipore may permanently lose the opportunity to participate in the relevant customer's production of the product. Furthermore, any decline in sales of, economic difficulties of or regulatory measures affecting a customer, or any voluntary or involuntary suspension or termination by a customer of its production of a product, may simultaneously affect the sales of Millipore to that customer as it may curtail or stop delivery of Millipore's products to it. In respect of Millipore's products used for the research and development of drugs, any reduction of private or public research and development budgets may negatively affect Millipore. In addition, sales of several products of Millipore depend on a small number of customers, the loss of any of which may harm the business of Millipore. Finally, for many customers, Millipore is presently the single source supplier for one or several critical components used in their production lines; increasingly, customers are seeking to implement a second sourcing of products which may result

46 in existing customers becoming able to choose another supplier to supply components that are presently supplied by Millipore, which may result in a loss of future business opportunities or future revenues for Millipore. · Dependency on key suppliers: Certain critical raw materials and supplies required for some of Millipore¶s principal products, as well as several products that Millipore distributes, are only available from a single supplier. If any such suppliers were to limit or terminate production or otherwise fail to supply these materials or products for any reason, such failure could have an adverse impact on Millipore¶s product sales and business. · Competition with one significant distributor: Millipore directly competes with one of its significant distributors. In case this distributor discontinued selling the products of Millipore or materially changed the terms of the underlying distribution agreement, the sales and earnings of Millipore could be adversely affected in the short term. · Animal-based cell culture products: Millipore produces animal-based cell culture products. Generally, animal-free serum products are increasingly favoured over animal materials serum. In addition, concerns by some regulatory authorities, including in Japan, concerning products that are derived from animal materials, such as bovine serum, may further reduce the demand of Millipore's animal-based cell culture products. · Increased exposure to Product Liability Claims: As Millipore's products and services are further integrated into its customers' production processes, Millipore may increasingly become exposed to product liability claims. · Stem Cells: Millipore supplies stem cells and reagents for stem cell research to third parties and is not involved in embryo selection. However, it cannot be excluded that customers or other third parties may indifferently associate Millipore with stem cell research and project any reservations against stem cell research on Millipore. · Change of control: Certain of Millipore¶s suppliers and customers may be able to invoke a right to terminate, or to request a change to the terms of, the relevant agreement in the event of a change of control occurring in respect of Millipore, or may otherwise seek to terminate, or to reduce the scope or volume of, their business relationship with Millipore as a result of Millipore¶s acquisition by Merck. If, following the completion of the acquisition of Millipore, a significant number of suppliers or customers invoked such termination rights or otherwise sought to reduce the scope or volume of their business with Millipore, or if significant and material supplier or customer agreements were thus terminated or reduced in scope or volume, this could adversely affect Millipore¶s product sales and business. In addition, all other risk factors described in this section ³Risk Factors´ generally also apply to the business of Millipore. Millipore¶s business may be subject to additional risks that Merck may not be aware of and that may only emerge after the acquisition has been consummated or during the integration process. The Share Exchange Agreement underlying the acquisition of Millipore provides, in line with market practice for acquisitions of public companies, that warranties and representations made by Millipore shall not survive the closing of the acquisition. No warranties and representations are made by the shareholders of Millipore. Merck may therefore not be in a position to assert claims against Millipore or its shareholders based on risks, defects, losses and damages identified after the closing of the acquisition of Millipore. If any of the business risks of Millipore proved to be more severe or if any unknown risks emerge, this could have a material adverse effect on Merck's financial condition and results of operations, especially as Merck can in general not recover any losses or damages under warranty claims.

Due to a complex group structure, sales of companies and the geographic reach of Merck's business activities, Merck could incur greater tax liabilities than expected and be affected by the levy of additional customs duties, contributions or other fees. The companies of the Merck Group operate in many countries that have complex tax systems. Due to the type of operating activities performed by Merck and the significant restructuring of recent years, the tax issues the Merck Group is facing are complex. In the future, this could lead to disputes with tax authorities and could further lead to an increase of tax liabilities for Merck, even for past periods. In addition, the introduction of new customs duties, contributions or other fees or increases in existing ones could adversely affect Merck's results.

47 Changes in exchange rates and interest rates can adversely affect Merck's profits. Merck operates worldwide and therefore also generates a substantial portion of its revenues, earnings and expenses in currencies other than the euro. The foreign currencies involved include the U.S. dollar, the Swiss franc, the Japanese yen and the dollar in particular. Changes in the exchange rates between the relevant currencies can have two different effects. First, because income and expenses in the relevant currencies seldomly match up in the same period, unfavorable developments in exchange rates between these foreign currencies and in relation to the euro can lead to a difference between the actual value of the product or service provided and the consideration received (transaction effect) due to cross-border deliveries of goods and performance of services. A negative difference has a direct effect on Merck's financial condition and profits. For example, in the 2009 fiscal year Merck recorded currency losses of EUR 59 million in the operating results of its Merck Serono division owing to the growing and emerging crisis in Venezuela. Second, Merck's financial condition and results of operations are affected by translation of the Group's reporting currency into euros in the course of consolidation of financial information in the financial statements of the consolidated subsidiaries prepared in the respective national currencies (translation effect). For example, a weak U.S. dollar in comparison to the euro results in a negative translation effect for Merck. Furthermore Merck, in particular Merck Financial Services GmbH as internal finance centre of the Merck Group, is exposed to interest rate changes as bonds issued on the capital markets partially provide for a fixed interest and the funds of such issue are reinvested internally or on the capital markets with a shorter maturity. In case the funds cannot be reinvested at interest rates being at least equal to those of the issued bonds the profits of Merck can be adversely affected by interest payments.

The ongoing financial crisis of some countries and their high level of state indebtedness can adversely affect Merck's sales and profits. Merck's customers include, primarily in the Pharmaceutical Business Division, among others states and state-owned entities as for example hospitals or public health services. Due to the ongoing financial crisis some states encounter severe economic problems and are burdened by a high level of state indebtedness. Due to this situation such states could reduce orders and/or order volumes with Merck. Furthermore, it cannot be excluded that such states will partially or totally cease payments to Merck for goods and services delivered in order to balance their public budget or avoid an even more increased level of state indebtedness. In the case of Greece, Merck has for example already set up an allowance in an amount of EUR 13 million. Such reduced orders and a cessation of payment can adversely affect Merck's profits.

Possible confusion with Merck & Co. by customers could adversely affect Merck's business. One of Merck's competitors, U.S.-based Merck & Co., operates under a similar name. There is no longer any affiliation between the two companies. Merck & Co. holds the rights to this name in North America, where Merck operates under the EMD . However, Merck holds the rights to this name in the rest of the world, including key sales markets in Europe and Asia. Merck & Co. operates in these regions under the name of Merck Sharp and Dohme (MSD) or MSD Sharp & Dohme. Despite these regional divisions, there is a danger that customers may confuse the two brands and therefore attribute products, and possible quality problems, at Merck & Co. to Merck. Moreover, negative press about Merck & Co. for example, could damage the reputation of Merck KGaA due to the risk of confusion.

Merck is subject to a variety of statutory environmental regulations and could therefore be exposed to the risk of liability due to non-compliance or past pollution. All of Merck's businesses worldwide are subject to a number of continually changing, developing and increasingly complex environmental and health protection requirements and regulations with regard to the handling of chemicals and hazardous substances. These regulations relate to the emission of pollutants, waste water and garbage disposal, and the investigation and elimination of soil and groundwater pollution. In the past, these requirements have resulted in the need to invest in equipping and retrofitting Merck's plants. Merck assumes that investments will be required for this purpose in the future as well. This would apply in particular if the regulations to be observed by Merck were to be considerably tightened. Merck can neither influence this risk, nor predict its effects. Any increase in the

48 expenses required to meet such obligations would affect the financial position and results of operations of Merck. Merck operates 54 production facilities in 25 countries. Some of these locations have been used for industrial purposes for a long time. It cannot be guaranteed that substances hazardous to the environment have not leaked into the air, groundwater or soil of the production facilities or neighboring properties in the past or that these substances do not otherwise pose a hazard to the environment and that Merck will not be held responsible for remediation. This applies regardless of whether Merck caused the pollution and also applies, depending on local laws, in principle to properties formerly owned by Merck that have been sold. Despite a contractual exclusion or limitation of liability in respect of the buyer, it cannot be guaranteed that Merck will not be held responsible under public and/or private law as the former owner or user for environmental pollution that may become known in the future. As of December 31, 2009, Merck has provisions in place for the remediation of already identified soil and groundwater contamination in the amount of the estimated remediation costs of around EUR 28.9 million for its property in Darmstadt, Germany, around EUR 5.3 million for remediation of the former company landfill in Darmstadt. For the same reasons, Merck set up futher provisions in an amount of around EUR 21.6 million for the Gernsheim site, Germany, and in an amount of around USD 13.8 million for the Norwood site in the United States. Even if Merck has defined standards for environmentally friendly operations and checks compliance on a regular basis, it cannot be guaranteed for the future that Merck will not release substances in the course of its business activities that pollute the environment and that a company of the Merck Group will not be held responsible for remediation. The costs of the remediation of pollution that Merck would be liable for could adversely affect Merck's financial condition and results of operations. In addition, there is a danger associated with these risks that Merck's public image or Merck's relationships with customers could suffer.

Unforeseen business interruptions in individual production facilities can lead to production bottlenecks and revenue shortfalls at Merck. Although the Merck Group applies stringent technology and safety standards to the construction, operation and maintenance of its production plants, and chemical processes are performed in multi- purpose plants, as is common in the industry, the risk of business disruptions and interruptions cannot be ruled out. These may occur due to external factors that cannot be influenced by Merck (e.g., natural disasters or terrorism) or for other reasons, such as fire, explosions or the release of poisonous substances or substances hazardous to health. In addition, in all of these cases there is a risk that people, third-party property and/or the environment could be harmed, which could lead to a substantial financial burden for Merck. Merck entered into insurance policies to cover such risks in amounts deemed appropriate by it (e.g., property, third-party liability and business interruption insurance). However, no assurance can be given that this insurance coverage is sufficient. Any production downtime or shutdown that is not compensated for by corresponding insurance benefits would result in a loss of revenue.

Merck depends on uninterrupted operations and the further integration of IT and data processing systems. The ability of the Merck Group to keep its business running depends on the efficient and uninterrupted operation of its IT and data processing systems in both Business Sectors. A number of components of Merck's IT and data processing systems have been expanded, extended and in some cases upgraded in the past. Acquisitions such as that of Serono S.A., now Merck Serono S.A., have also required the integration of different IT-systems and software applications. Because the individual components are produced by various manufacturers, entered into operation at various times or are based on different versions of the same software, the interplay between various components can in some cases make the systems more susceptible to disruptions than in cases where entire systems were purchased from a single vendor and brought into service at the same time. The integration and improvement of systems requires additional efforts, particularly by efficient monitoring. Moreover, IT and data processing systems are generally susceptible to disruptions, damage, power outages, computer viruses, fire and similar events. The disruption or interruption of the operation of these systems, for example while the system is being expanded, cannot be ruled out. The disruption or interruption of the operation of the IT and data processing systems used by Merck can affect the ability of the Merck Group to efficiently run its production and development processes and ensure sufficient monitoring,

49 and therefore adversely affect its financial condition and results of operations, particularly due to its complex production and development processes.

Merck maintains a number of pension plans that, under certain circumstances, may not be covered by sufficient provisions or external fund-financed reserves in the future. Merck offers access to certain pension plans to its employees in various countries, the structure of which depends on the legal, business and financial circumstances in the respective countries. Merck's pension obligations comprise both defined benefit and defined contribution plans and include both liabilities arising from current pensions, as well as entitlements to pensions to be paid in the future. The amount of the liabilities is based on certain actuarial assumptions, which include discount factors, life expectancy, projected pension increases, future developments in wages and salaries, and the expected return on the plan's assets. If actual developments, particularly with regard to discount rates, differ from these assumptions, this could lead to a substantial increase in pension liabilities on the balance sheet and therefore to higher additions to provisions for pensions. The majority of the liabilities arising from current pensions and entitlements to future pensions are covered by provisions. The remaining portion is covered by external funding commitments. If pension funds do not perform as expected, Merck will have to increase the amount of these provisions.

The interests of major shareholders of Merck may conflict with the interests of the Noteholders. In the event that circumstances arise in which the interests of the major shareholders of Merck or of E. Merck, the general partner holding an equity interest of approximately 70% in the total capital of Merck KGaA, conflict with the interests of the Noteholders, the Noteholders may be disadvantaged by the ability of the major shareholders of Merck KGaA or of E. Merck to veto or otherwise block actions of Merck KGaA or any other company of the Merck Group that may be in the interest of the Noteholders.

Merck Financial Services GmbH is dependent on Merck KGaA. Merck Financial Services GmbH serves as financing and service provider company for the Merck Group. Its assets mainly consist of finance investments in companies of the Merck Group, receivables from loans to group companies and other receivables owed by companies of the Merck Group. In addition, Merck Financial Services GmbH is the debtor under a EUR 750 million publicly offered bond issued under the Program in 2009 and due 2013 and three Tranches of Notes distributed by way of private placement. Merck Financial Services GmbH may issue further Notes under the Programm in future. Merck Financial Services GmbH has furthermore concluded as controlled company a domination and profit and loss transfer agreement (Beherrschungs- und Gewinnabführungsvertrag) with Merck KGaA as controlling company. Accordingly, Merck KGaA is legally obliged to compensate all losses of Merck Financial Services GmbH (Verlustübernahme). The ongoing business activities of Merck Financial Services GmbH depend on the ability of the Merck KGaA and other companies of the Merck Group to fulfill their payment obligations vis-à-vis Merck Financial Services GmbH or the duty to compensate losses. If individual or all members of the Merck Group were unable to fulfill their payment obligations to Merck Financial Services GmbH in due time, this may considerably impair the ability of Merck Financial Services GmbH to fulfill its obligations arising from the Notes towards the investors. All Notes issued by Merck Financial Services GmbH under the Program will have the benefit of a guarantee granted by Merck KGaA. The guarantee constitutes an irrevocable, unconditional, unsecured, and non-subordinated obligation on the part of the Guarantor, ranking pari passu with all other unsecured and non-subordinate obligations of the Guarantor and which is legally enforceable in the Federal Republic of Germany. Details concerning the risk factors of Merck KGaA as the guarantor of the obligations under all Notes issued by Merck Financial Services GmbH under the Program are described above.

50 Risk factors relating to Notes Suitability Potential investors should consider whether an investment in the Notes is appropriate in their respective circumstances and should consult with their legal, business, and tax advisors to determine the consequences of an investment in the Notes and to get their own idea about the investment. An investment in the Notes is only suitable for investors who (i) possess the required knowledge and experience in financial and business matters to evaluate the chances and risks of an investment in the Notes and the information contained or incorporated by reference into the Debt Issuance Program Prospectus and any applicable Final Terms; (ii) have access to, and knowledge of, appropriate analytical tools to evaluate such chances and risks in the context of the potential investor's particular financial situation and to evaluate the impact the Notes will have on their overall investment portfolio; (iii) understand thoroughly the terms of the relevant Notes and are familiar with the behavior of the financial markets; (iv) are capable of bearing the economic risk of an investment in the Notes until the maturity of the relevant Notes; and (v) know that it may not be possible to dispose of the Notes for a substantial period of time, if at all before maturity.

Currency risks/Dual currency Notes Potential investors should bear in mind that an investment in Notes involves currency risks. If a note is denominated in a foreign currency or if it is a dual currency note, the Holder carries the risk of currency rate fluctuations, which can influence the rate of return for such a Note. For example, a change in value of a foreign currency against the euro will result in a corresponding change of value of a note that is denominated in a currency other than the euro. If the underlying exchange rate drops and if the value of the euro rises accordingly, the market value of the Note given in euro will drop. In addition, government and monetary authorities may impose (as some have done in the past) exchange controls that could adversely affect an applicable currency exchange rate. As a result, investors may receive less interest or principal than expected, or no interest or principal.

Liquidity risk Notes issued within the scope of the Program are new securities which are not widely distributed and for which there is currently no active trading market. If the Notes are traded after their initial issuance, they may trade with a discount to the initial issue price, depending on the prevailing interest rates, the market for comparable securities, the general economic situation, and the financial situation of the respective Issuer. Even though it is possible to make an application at the Luxemburg stock exchange for the admission of Notes to be issued within the scope of the Program to be listed on the official list of the Luxembourg Stock Exchange and traded on its regulated market (regulated market "Bourse de Luxembourg" which is a regulated market for the purposes of Directive 2004/39/EC on Markets in Financial Instruments), it is not guaranteed that an admission will take place, that a particular tranche of Notes will be admitted, or that an active trading market will develop. Accordingly, there is no assurance whatsoever in regard to the development or liquidity of any trading market for any particular Tranche of Notes. In an illiquid market, an investor might not be able to sell Notes at any time at fair market prices. The possibility to sell Notes might additionally be restricted by country specific reasons. A buyer of a Note must therefore be prepared to retain the Notes until the day of maturity or final redemption.

Risk of early redemption Unless otherwise specified in the relevant Final Terms in regard to a certain Tranche of Notes, the Issuer may redeem all outstanding Notes in accordance with the relevant Final Terms for reason of minimal outstanding amount and if the respective Issuer is obligated to increase the amounts payable in respect to the Notes due to withholding or deduction or on account of, any current or future taxes or any other dues imposed, levied, collected, or withheld by or on behalf of the Federal Republic of

51 Germany or for its account or from or for the account of an area municipality authorized to raise taxes or an agency in the Federal Republic of Germany. In addition, the Issuer ± if it is so specified in the respective Final Terms in regard to a certain Tranche of Notes that these can be redeemed at the respective Issuer¶s option in certain circumstances ± may optionally choose to redeem the Notes if the prevailing interest rates are relatively low or, if applicable, to redeem the Notes early in case of an event described in more detail in the applicable Final Terms (reason for an early redemption). If the Notes are redeemed prior to maturity, a Holder of such Notes is exposed to the risk that due to such early redemption his investment will have a lower than expected yield. In such circumstances, the investor might possibly not be able to reinvest the redemption proceeds in a comparable security at an effective interest rate as high as that of the relevant Notes.

Risk of change in market value The market value of the Notes is influenced by a change in the creditworthiness (or the perception thereof) of the Issuers or the Guarantor and by the credit rating of the relevant Issuer and, as applicable, the Guarantor and a number of other factors including market interest and rate of return and the remaining time until the day of maturity. The market value of Index Linked Notes and Credit Linked Notes can also be influenced by the value of the index or the reference asset, its volatility, the dividend rate on the reference asset, or the dividend on securities included in the index, as well as the financial results and the outlook of the issuer of the reference asset or a security included in the index. The value of the Notes, the reference asset, or the index depends on a number of interacting factors, including economic and political events in Germany or elsewhere, factors affecting the capital markets in general and the stock exchanges on which the Notes, the reference asset, the securities included in the index or the index are traded. The price at which a Holder can sell the Notes prior to maturity might be considerably below the issue price or the purchase price paid by such Holder. Investors in Index Linked Notes or Credit Linked Notes should bear in mind that the historical performance of the reference asset or the index is not an indication for the future performance of the reference asset or the index.

Risk of change in rating Ratings assigned to the relevant Issuer or, as applicable, the Guarantor by certain independent rating agencies are an indicator of the relevant Issuer's or, as applicable, the Guarantor's ability to meet its obligations in a timely manner. The lower the assigned rating is on the respective scale the higher the respective rating agency assesses the risk that obligations will not be met at all or not be met in a timely manner. Rating agencies may change, suspend or withdraw their ratings at short notice. A rating's change, suspension or withdrawal may affect the price and the market value of the outstanding Notes. An investor may thus incur financial disadvantages as he may not be able to sell the Notes at a fair price. A credit rating is not a recommendation to buy, sell or hold securities and may be revised or withdrawn by the rating agency at any time.

Notes issued at a considerable premium or discount The market value of securities which are issued at a considerable premium or discount from their nominal value are more susceptible to interest rate fluctuations than is the case with conventional interest-bearing securities. Basically, the longer the remaining time to maturity is, the greater the price volatility compared to conventional interest-bearing securities.

Risks in connection with caps on interest If an interest rate and/or redemption amount of an issue of Notes is not fixed but determined according to the structure of the Notes as described in the relevant Final Terms of the Notes, a cap can be established. The effect of such cap is that the interest and/or the redemption amount will never rise above the predetermined cap, so that the Holder will not be able to benefit from an actual positive development beyond this cap. The rate of return could thus be considerably lower than the rate of return of similarly structured Notes without a cap.

Risk of potential conflicts of interest relating to an underlying asset Each Issuer, each Dealer and any of the companies associated with these entities not only issue Notes but also have other business areas that independently do business with, or engage in

52 transactions relating to, companies that might be part of an underlying asset (for example in the form of an index, a single stock, or basket (different securities)) for their own accounts or for the accounts of third parties and may issue financial products in respect of such underlying asset. It cannot be ruled out that decisions made by those independent business areas have a negative impact on the underlying asset.

General risks relating to structured Notes Basically, an investment in Notes on which the premium and/or the interest and/or the principal amount is established on the basis of the value of one or several currencies or commodities, one or several interest rates, or other indices, or one or several formulas may involve considerable risks that are not associated with similar investments in conventional Notes. These include the risk that the Holder of such Notes will not receive any interest or that the interest rate will be less than the interest to be paid on conventional Notes and/or that the investor and Holder of such Notes may lose the capital invested in the Notes completely or in a substantial amount. In addition, investors should bear in mind that the market value of such Notes (depending on the volatility of the respective currency or commodity or the respective interest rate or other indices or the respective other formula) can be extremely volatile. The future performance of these currencies, commodities, interest rates, indices, or formulas during the maturing of Notes can neither be deduced from the current nor the past value of the respective currencies, commodities, interest rates, indices or formulas.

Notes with fixed interest rates The Holder of a fixed interest rate Note carries the risk that the prices of the Notes can fall as a result of changes in the interest rate on the market. While the nominal interest rate of a Note with a fixed interest rate, as specified in the applicable Final Terms, is fixed for the entire duration of such Notes, the current interest rate on the capital market ("market interest rate") typically changes on a daily basis. As the market interest rate changes, the price of a Note with a fixed interest rate also changes ± but in the opposite direction. If the market interest rate increases, the price of a Note with a fixed interest rate typically falls until the rate of return of these Notes approximately equals the market interest rate. If the Holder of a Note with a fixed interest rate holds them until maturity, changes of the market interest rate will be irrelevant as the Notes will be redeemed at a fixed redemption amount, which is normally the nominal amount of such Notes.

Notes with floating interest rates Notes with a floating interest rate can be a volatile investment. A Holder of a Note with a floating interest rate carries the risk of fluctuating interest rate levels and uncertain interest earnings. Interest rate fluctuations make it impossible to determine the profitability of Notes with floating interest rates in advance. If they are structured to include multipliers or other leverage factors or caps or floors, or a combination of those or other similar characteristics, their market value may be more volatile than conventional Notes without such characteristics. If the interest to be paid is determined in conjunction with a multiplier greater than one or in connection with some other leverage factor, the effects of changes in the interest on interest to be paid will be magnified. Investors in Notes with floating interest rates should bear in mind that neither the current nor the historical level of the relevant floating interest rate, as specified in the applicable Final Terms, is an indication of the future development of such floating interest rate during the term of any Note.

Inverse floating rate Notes The interest rate for inverse floating rate Notes is determined as the difference between a fixed interest rate and a reference floating interest rate such as the Euro Interbank Offered Rate (EURIBOR) or the London Interbank Offered Rate (LIBOR), which means that the interest earnings on such Notes fall if the reference interest rate increases. The market value of inverse floating rate Notes is typically more volatile than other, more conventional Notes with floating interest rate based on the same reference interest rate (and otherwise comparable conditions). Inverse floating rate Notes are more volatile as an increase in the reference interest rate not only leads to a decrease of the interest payable but, if so, can also reflect an increase in prevailing interest rates, which might further affect the market value of such Notes.

53 Notes with fixed to floating interest rates In the case of Notes with fixed to floating interest rates, the relevant Issuer may choose to convert from Notes with fixed interest rates to Notes with floating interest rates or Notes with floating interest rates to Notes with fixed interest rates. Because the relevant Issuer is able to convert, the interest rate will influence the secondary market and the market value of the Notes as the relevant Issuer can be expected to convert the interest rate when it is likely to lead to a reduction of the overall financing costs. If the relevant Issuer converts a Note from a fixed interest rate to a Note with a floating interest rate, the spread on the Notes with fixed to floating interest rates will be less favorable than the prevailing spread on comparable Notes with floating interest rates based on the same reference interest rate. In addition, the new floating rate may turn out to be lower than the interest rates payable on other comparable Notes at any time. If the relevant Issuer converts a Note from a floating interest rate to a Note with a fixed interest rate, the fixed interest rate may turn out to be lower than the prevailing interest rate payable on his Note at the corresponding point in time.

Zero-coupon Notes There is no interest payable on zero-coupon Notes but they are issued at a discount from their nominal value. Instead of periodical interest payments it is the difference between the redemption price and the issue price that constitutes the interest earnings until maturity and that reflects the market interest rate. The Holder of a zero-coupon Note carries the risk that the price of such a Note falls as a result of changes in the market interest rate. Zero-coupon Notes are more volatile than Notes with fixed interest rates and they are likely to react more strongly to changes in the market interest rate than interest-bearing Notes with a similar maturity.

Index Linked Notes Index Linked Notes are Notes for which the redemption amounts and/or interests payments are not determined on or prior to the relevant issue date, but for which payments on the capital and/or interest payments depend on the performance of an index (as specified in the applicable Final Terms) which itself can be subject to considerable risks of changes in interest or other risks. Interest payments may be lower than expected or no interest may be payable and redemption amounts might be considerably less than the issue price or, as the case may be, the purchase price invested by the Holder and it may even be zero in which case the Holder might lose his entire investment. The more volatile the relevant index is, the greater the risk of losses of the Holder in respect of interest income and repayment amount. Investors in Index Linked Notes should bear in mind that neither the current nor the historical level of the relevant index is an indication of the future development of such index level during the term of any Note. Index Linked Notes are not in any way financed, issued, sold, or promoted by the index sponsors or the respective licenser of the index; and the index sponsor or the licenser will give no assurance or guarantee, explicit or implied, as to the results in reference to the future performance of the reference asset. Each index is determined, composed, and calculated by its respective index sponsor or licenser without considering the relevant Issuer, the Guarantor or the Notes. None of the index sponsors or licensers assumes the responsibility or is involved when the timing of, the prices for, or quantities of the Notes are determined or in the determination or calculation of the equation by which the Notes are settled into cash. None of the index sponsors are obligated or liable in connection with the administration, marketing, or trading of the Notes. The index sponsor or licenser of the index is not liable for the adjustment of the index carried out by an agency. Neither the Issuers nor the Guarantor nor any of their respective affiliated companies give any assurances or guarantees in regard to the reference entities relevant for determining the performance of the index, especially not on their credit rating at the time of issue of the Index Linked Notes or at any time later. Each potential investor should inform himself about the nature and the financial situation of other parties involved in the issue, including each reference entity.

Credit Linked Notes When buying Credit Linked Notes, the investor carries a credit risk with regard to each of the relevant Issuer and, as applicable, the Guarantor and the reference entities and their obligations. As it will be described in more detail in the Final Terms, the Credit Linked Notes can be linked to the performance and credit rating of one or several reference entities and their obligations. An investment in such Credit Linked Notes is speculative and volatile and carries considerable risks. Under certain circumstances

54 the Credit Linked Notes may pay no more interest and the Holders of the Credit Linked Notes may not retrieve their original investment in whole or in part. With Credit Linked Notes for which delivery of the reference value has been agreed on, Holders can receive certain obligations of the reference entities instead of the principle amount and whose market value, if applicable, may be considerably less than the original investment of such a Holder. Investors are asked to bear in mind that they are, as the case may be, obligated to accept these obligations and should ensure that they are legally in a position to accept such obligations when buying the Credit Linked Notes. The obligations may be denominated in a currency other than the currency of the Credit Linked Notes and the redemption amount in regard to a Credit Linked Note will be affected by any loss in value of such a currency compared to the currency of the Credit Linked Notes. Any taxes or transfer costs payable in regard to the delivery of such obligations will be for the account of the Holder. Neither the Issuers nor the Guarantor nor any of their respective affiliated companies give any assurances or guarantees in regard to the reference entities, especially not on their credit rating at the time of issue of the Credit Linked Notes or at any time later. Each potential investor should inform himself about the nature and the financial situation of other parties involved in the issue, including each reference entity. The investment in the Notes does not result in the right to receive information from the reference entities, to execute voting rights, or to receive distributions on any securities of the reference entities. Resolutions of Holders If the Notes provide for meetings of Holders or the taking of votes without a meeting, the Holders of such Notes may consent by majority resolution to amendments of the Terms and Conditions of such Notes and, as applicable, the Guarantee and a Holder is subject to the risk of being outvoted by a majority resolution of the Holders. As such majority resolution is binding on all Holders, certain rights of such Holder against the Issuer under the Terms and Conditions and, as applicable, certain rights of such Holder against the Guarantor under the Guarantee may be amended or reduced or even cancelled. Holders' Representative If the Notes provide for the appointment of a Holders' Representative, either in the Terms and Conditions or by a majority resolution of the Holders, it is possible that a Holder may be deprived of its individual right to pursue and enforce its rights under the Terms and Conditions against the Issuer and, as applicable, its rights under the Guarantee against the Guarantor, such right passing to the Holders' Representative who is then exclusively responsible to claim and enforce the rights of all the Holders.

Further risks pertaining to a certain structure of a tranche of Notes may be described in the Final Terms applicable to the respective tranche.

55 GENERAL DESCRIPTION OF THE PROGRAMME

General Under this EUR 10,000,000,000 Debt Issuance Program, Merck and Merck FS may from time to time issue notes (the "Notes") to one or more of the following Dealers: Barclays Bank PLC, Deutsche Bank Aktiengesellschaft, BNP PARIBAS, Citigroup Global Markets Limited, Commerzbank Aktiengesellschaft, Goldman Sachs International, HSBC Bank plc, Merrill Lynch International, The Royal Bank of Scotland plc, Société Générale, UBS Limited and any additional Dealer appointed under the Program from time to time by the Issuer(s), which appointment may be for a specific issue ³Dealer of the Day´) or on an ongoing basis (together, the "Dealers"). Barclays Bank PLC and Deutsche Bank Aktiengesellschaft act as arrangers in respect of the Program (the "Arrangers"). The maximum aggregate principal amount of the Notes outstanding at any one time under the Program will not exceed EUR 10,000,000,000 (or its equivalent in any other currency). The Issuers may increase the amount of the Program in accordance with the terms of the Dealer Agreement from time to time. Notes issued by Merck FS will have the benefit of a Guarantee (the "Guarantee") given by Merck KGaA. The Guarantee constitutes an irrevocable, unsecured and unsubordinated obligation of the Guarantor ranking pari passu with all other unsecured and unsubordinated obligations of the Guarantor. The Guarantee will be governed by German law. Notes may be issued on a continuing basis to one or more of the Dealers. Notes may be distributed by way of public offer or private placement and, in each case, on a syndicated or non-syndicated basis. The method of distribution of each tranche ("Tranche") will be stated in the relevant final terms (the "Final Terms"). In case of Notes listed on the official list of the Luxembourg Stock Exchange and admitted to trading on its regulated market, the Final Terms will be displayed on the website of the Luxembourg Stock Exchange (www.bourse.lu). One or more Tranches may form a series of Notes ("Series"). Notes may be issued at par or a discount to or a premium over par, as stated in the relevant Final Terms. Application has been made to list on the Official List and trade Notes to be issued under the Program on the Regulated Market of the Luxembourg Stock Exchange (which is a regulated market for the purposes of Directive 2004/39/EC on Markets in Financial Instruments). The Program provides that Notes may be listed on other or further stock exchanges, as may be agreed upon between the relevant Issuer and the relevant Dealer(s) in relation to each issue. Notes may further be issued under the Program which will not be listed on any stock exchange. Notes will be accepted for clearing through one or more Clearing Systems as specified in the applicable Final Terms. These systems will include those operated by Clearstream Banking AG, Clearstream Banking, société anonyme and Euroclear Bank S.A./N.V. as operator of the Euroclear system. Deutsche Bank Luxembourg S.A. will act as Listing Agent ("Listing Agent") and Deutsche Bank Aktiengesellschaft will act as fiscal agent (the "Fiscal Agent"). Deutsche Bank Aktiengesellschaft and other institutions, all as indicated in the applicable Final Terms, will act as paying agents (the "Paying Agents") under the Program.

Issue Procedures General The relevant Issuer and the relevant Dealer(s) will agree on the terms and conditions applicable to each particular Tranche of Notes (the "Conditions"). The Conditions will be constituted by the Terms and Conditions of the Notes set forth below (the "Terms and Conditions") as completed, modified, supplemented or replaced by the provisions of the relevant Final Terms. The Final Terms relating to each Tranche of Notes will specify: - whether the Conditions are to be Long-Form Conditions or Integrated Conditions (each as described below); and - whether the Conditions will be in the German language or the English language or both (and, if both, whether the German language version or the English language version is binding).

56 As to whether Long-Form Conditions or Integrated Conditions will apply, the relevant Issuer anticipates that: - Long-Form Conditions will generally be used for Notes sold on a non-syndicated basis and which are offered to qualified investors as defined in the Prospectus Directive. - Integrated Conditions will generally be used for Notes sold and distributed on a syndicated basis. Integrated Conditions will be required where the Notes are to be publicly offered, in whole or in part, or are to be distributed, in whole or in part, to non-qualified investors. As to the binding language of the respective Conditions, the relevant Issuer anticipates that, in general, subject to any stock exchange or legal requirements applicable from time to time, and unless otherwise agreed upon between the relevant Issuer and the relevant Dealer(s): - in the case of Notes sold and distributed on a syndicated basis, German will be the binding language. - in the case of Notes publicly offered, in whole or in part, in the Federal Republic of Germany ("Germany"), or distributed, in whole or in part, to non-qualified investors in Germany, German will be the binding language. If, in the event of such public offer or distribution to non-qualified investors, however, English is chosen as the binding language, a German language translation of the Conditions will be available from the principal offices of the Fiscal Agent and Merck KGaA, as specified on the back cover of this Debt Issuance Program Prospectus.

Long-Form Conditions If the Final Terms specify that Long-Form Conditions are to apply to the Notes, the provisions of the applicable Final Terms and the Terms and Conditions, taken together, shall constitute the Conditions. Such Conditions will be constituted as follows: - the blanks in the provisions of the Terms and Conditions which are applicable to the Notes will be deemed to be completed by the information contained in the Final Terms as if such information was inserted in the blanks of such provisions; - the Terms and Conditions will be modified, supplemented or replaced by the text of any provisions of the Final Terms modifying, supplementing or replacing, in whole or in part, the provisions of the Terms and Conditions; - alternative or optional provisions of the Terms and Conditions as to which the corresponding provisions of the Final Terms are not completed or are deleted will be deemed to be deleted from the Conditions; and - all instructions and explanatory notes set out in square brackets in the Terms and Conditions and any footnotes and explanatory text in the Final Terms will be deemed to be deleted from the Conditions. Where Long-Form Conditions apply, each global note representing the Notes of the relevant Series will have the Final Terms and the Terms and Conditions attached.

Integrated Conditions If the Final Terms specify that Integrated Conditions are to apply to the Notes, the Conditions in respect of such Notes will be constituted as follows: - all of the blanks in all applicable provisions of the Terms and Conditions will be completed according to the information contained in the Final Terms and all non-applicable provisions of the Terms and Conditions (including the instructions and explanatory notes set out in square brackets) will be deleted; and/or - the Terms and Conditions will be otherwise modified, supplemented or replaced, in whole or in part, according to the information set forth in the Final Terms. Where Integrated Conditions apply, the Integrated Conditions alone will constitute the Conditions. The Integrated Conditions will be attached to each global note representing Notes of the relevant Series.

57 TERMS AND CONDITIONS OF THE NOTES (ENGLISH LANGUAGE VERSION) This Series of Notes is issued pursuant to an amended and restated Fiscal Agency Agreement dated as of March 16, 2010 (the "Fiscal Agency Agreement") between Merck KGaA and Merck Financial Services GmbH ("Merck FS") (each an "Issuer" and together the "Issuers") and Deutsche Bank Aktiengesellschaft as fiscal agent (the "Fiscal Agent", which expression shall include any successor fiscal agent there under) and the other parties named therein. Copies of the Fiscal Agency Agreement may be obtained free of charge at the specified office of the Fiscal Agent, at the specified office of any Paying Agent and at the principal office of each Issuer. [In the case of Notes issued by an Issuer other than Merck KGaA insert: The Notes have the benefit of an unconditional and irrevocable guarantee by Merck KGaA (the "Guarantor").]

In the case of [The provisions of these Terms and Conditions apply to the Notes as completed, modified, Long-Form Conditions supplemented or replaced, in whole or in part, by the terms of the final terms which is attached hereto insert: (the "Final Terms"). The blanks in the provisions of these Terms and Conditions which are applicable to the Notes shall be deemed to be completed by the information contained in the Final Terms as if such information were inserted in the blanks of such provisions; any provisions of the Final Terms modifying, supplementing or replacing, in whole or in part, the provisions of these Terms and Conditions shall be deemed to so modify, supplement or replace the provisions of these Terms and Conditions; alternative or optional provisions of these Terms and Conditions as to which the corresponding provisions of the Final Terms are not completed or are deleted shall be deemed to be deleted from these Terms and Conditions; and all provisions of these Terms and Conditions which are inapplicable to the Notes (including instructions, explanatory notes and text set out in square brackets) shall be deemed to be deleted from these Terms and Conditions, as required to give effect to the terms of the Final Terms. Copies of the Final Terms may be obtained free of charge at the specified office of the Fiscal Agent and at the specified office of any Paying Agent and at the principal office of each Issuer provided that, in the case of Notes which are not listed on any stock exchange, copies of the relevant Final Terms will only be available to Holders of such Notes.]

§ 1 (CURRENCY, DENOMINATION, FORM, CERTAIN DEFINITIONS) (1) Currency; Denomination. This Series of Notes (the "Notes") of [insert Issuer] (the "Issuer") is being issued in [insert Specified Currency] (the "Specified Currency") in the aggregate principal amount [in the case the Global Note is an NGN insert: (subject to § 1(4))] of [insert aggregate principal amount] (in words: [insert aggregate principal amount in words]) in the denomination of [insert Specified Denomination] (the "Specified Denomination"). (2) Form. The Notes are being issued in bearer form. In the case of [(3) Permanent Global Note. The Notes are represented by a permanent global note (the Notes which are represented by a "Permanent Global Note") without coupons. The Permanent Global Note shall be signed manually by Permanent Global Note authorized signatories of the Issuer and shall be authenticated by or on behalf of the Fiscal Agent. insert: Definitive Notes and interest coupons will not be issued.]

In the case of [(3) Temporary Global Note ² Exchange. Notes which are initially (a) The Notes are initially represented by a temporary global note (the "Temporary Global Note") represented by a Temporary without coupons. The Temporary Global Note will be exchangeable for Notes in Specified Global Note Denominations represented by a permanent global note (the "Permanent Global Note") without insert: coupons. [In the case of Euroclear and CBL and if the Global Note is an NGN insert: The details of such exchange shall be entered in the records of the ICSD (as defined below).] The Temporary Global Note and the Permanent Global Note shall each be signed manually by authorized signatories of the Issuer and shall each be authenticated by or on behalf of the Fiscal Agent. Definitive Notes and interest coupons will not be issued. (b) The Temporary Global Note shall be exchanged for the Permanent Global Note on a date (the "Exchange Date") not later than 180 days after the date of issue of the Notes. The Exchange Date shall not be earlier than 40 days after the date of issue. Such exchange shall only be made upon delivery of certifications to the Issuer or the Paying Agent on behalf of the Issuer to the effect that the beneficial owner or owners of the Notes is not a U.S. person (other than certain financial institutions or certain persons holding Notes through such financial institutions). Payment of interest on Notes represented by a Temporary Global Note will be made only after delivery of such certifications. A separate certification shall be required in respect of each such

58 payment of interest. Any such certification received on or after the 40th day after the date of issue of the Notes will be treated as a request to exchange the Temporary Global Note pursuant to subparagraph (b) of this § 1(3). Any Notes delivered in exchange for the Temporary Global Note shall be delivered only outside of the United States (as defined in § 1(7)). (c) Each Note issued in accordance with U.S. Treasury Regulation § 1.163 ± 5(c)(2)(i)(D) (the "TEFRA D Rules") will bear the following legend: ³ANY UNITED STATES PERSON (AS DEFINED IN THE INTERNAL REVENUE CODE OF THE UNITED STATES OF AMERICA) WHO HOLDS THIS OBLIGATION, DIRECTLY OR INDIRECTLY, WILL BE SUBJECT TO LIMITATIONS UNDER THE UNITED STATES INCOME TAX LAWS, INCLUDING THE LIMITATIONS PROVIDED IN SECTIONS 165(J) AND 1287(A) OF THE INTERNAL REVENUE CODE OF THE UNITED STATES OF AMERICA.´] (4) Clearing System. The Permanent Global Note will be kept in custody by or on behalf of the Clearing System until all obligations of the Issuer under the Notes have been satisfied. "Clearing System" means [if more than one Clearing System insert: each of] the following: [Clearstream Banking AG, Frankfurt am Main,] [Clearstream Banking, société anonyme Luxembourg ("CBL")] [Euroclear Bank S.A./N.V. Brussels as operator of the Euroclear System ("Euroclear")] [,] [and] [specify other Clearing System] and any successor in such capacity. [In the case of CBL and Euroclear as Clearing System insert: "International Central Securities Depositary" or "ICDS" means each of CBL and Euroclear (together, the "ICSDs").] [In the case the Global Note is an NGN insert: The Notes are issued in new global note ("NGN") form and are kept in custody by a common safekeeper on behalf of both ICSDs.] [In the case the Global Note is a CGN insert: The Notes are issued in classical global note ("CGN") form and are kept in custody by a common depositary on behalf of both ICSDs.] (5) Holder of Notes. "Holder" means any holder of a proportionate co-ownership or other beneficial interest or right in the Notes.

In the case the [(6) Records of the ICSDs. The principal amount of Notes represented by the Global Note shall be Global Note is an NGN insert: the aggregate amount from time to time entered in the records of both ICSDs. The records of the ICSDs (which expression means the records that each ICSD holds for its customers which reflect the amount of such customer's interest in the Notes) shall be conclusive evidence of the principal amount of Notes represented by the [Temporary Global Note or the] Permanent Global Note [, as the case may be,] and, for these purposes, a statement issued by an ICSD stating the principal amount of Notes so represented at any time shall be conclusive evidence of the records of the relevant ICSD at that time. On any redemption or payment of an installment or interest being made in respect of, or purchase and cancellation of, any of the Notes represented by the Global Note the Issuer shall procure that details of any redemption, payment or purchase and cancellation (as the case may be) in respect of the Global Note shall be entered pro rata in the records of the ICSDs and, upon any such entry being made, the principal amount of the Notes recorded in the records of the ICSDs and represented by the Global Note shall be reduced by the aggregate principal amount of the Notes so redeemed or purchased and cancelled or by the aggregate amount of such installment so paid.] [In the case the Temporary Global Note is an NGN insert: On an exchange of a portion only of the Notes represented by a Temporary Global Note, the Issuer shall procure that details of such exchange shall be entered pro rata in the records of the ICSDs.] (7) United States. For the purposes of these Terms and Conditions "United States" means the United States of America (including the States thereof and the District of Columbia) and its possessions (including Puerto Rico, the U.S. Virgin Islands, Guam, American Samoa, Wake Island and Northern Mariana Islands).

§ 2 (STATUS, NEGATIVE PLEDGE [in the case of Notes issued by an Issuer other than Merck KGaA insert: AND GUARANTEE]) (1) Status. The obligations under the Notes constitute unsecured and unsubordinated obligations of the Issuer ranking pari passu among themselves and pari passu with all other unsecured and unsubordinated obligations of the Issuer, unless such obligations are accorded priority under mandatory provisions of statutory law.

59 (2) Negative Pledge. The Issuer undertakes, as long as any Notes are outstanding, but only up to the time all amounts (i) of principal and interest have been placed at the disposal of the Fiscal Agent not to create or permit to subsist any mortgage, charge, pledge, lien or other encumbrance upon any or all of its present or future assets as security for any present or future Capital Market Indebtedness (as defined below), or (ii) any guarantees or other indemnities in respect of any such Capital Market Indebtedness, without at the same time having the Holders share equally and rateably in such security or such other security as shall be approved by an independent accounting firm of internationally recognized standing as being equivalent security. For purposes of these Terms and Conditions, "Capital Market Indebtedness" means any obligation for the payment of borrowed money which is in the form of, or represented by, notes or other securities with an original maturity of more than one year which are or are capable of being quoted, listed, dealt in or traded on a stock exchange or other recognized and regulated securities market. [(3) Guarantee and Negative Pledge.

In the case of (a) Merck KGaA has given its unconditional and irrevocable guarantee (the "Guarantee") for the Notes issued by an Issuer other due and punctual payment of principal of, and interest on, and any other amounts payable than Merck under any Note. The Guarantee constitutes a contract for the benefit of the Holders from time to KGaA insert: time as third party beneficiaries in accordance with § 328 paragraph 1 of the German Civil Code1, giving rise to the right of each Holder to require performance of the Guarantee directly from the Guarantor and to enforce the Guarantee directly against the Guarantor. Copies of the Guarantee may be obtained free of charge at the specified office of the Fiscal Agent. (b) The Guarantor has undertaken in the Guarantee, as long as any Notes are outstanding, but only up to the time all amounts of principal and interest have been placed at the disposal of the Fiscal Agent not to create or permit to subsist any mortgage, charge, pledge, lien or other encumbrance upon any or all of its present or future assets as security for any present or future Capital Market Indebtedness (as defined in § 2(2)), or any guarantees or other indemnities in respect of any such Capital Market Indebtedness, without at the same time having the Holders share equally and rateably in such security or such other security as shall be approved by an independent accounting firm of internationally recognized standing as being equivalent security.]

§ 3 (INTEREST)

In the case of [(1) Rate of Interest and Interest Payment Dates. The Notes shall bear interest on their principal Fixed Rate Notes insert: amount at the rate of [insert Rate of Interest]% per annum from (and including) [insert Interest Commencement Date] to (but excluding) the Maturity Date (as defined in § 5(1)). Interest shall be payable in arrear on [insert Fixed Interest Payment Date(s)] in each year (each such date, an "Interest Payment Date"). The first payment of interest shall be made on [insert First Interest Payment Date] [if First Interest Payment Date is not first anniversary of Interest Commencement Date insert: and will amount to [insert Initial Broken Amounts per Specified Denomination].] [If Maturity Date is not a Fixed Interest Date insert: Interest in respect of the period from (and including) [insert last Fixed Interest Date preceding the Maturity Date] to (but excluding) the Maturity Date will amount to [insert Final Broken Amounts per Specified Denomination].] (2) Calculation of Interest for Periods of less than one Year. If interest [if First Interest Payment Date is not first anniversary of Interest Commencement Date and the Initial Broken Amounts per Specified Denomination have been specified in the applicable Final Terms insert: for any period other than the first interest period] is to be calculated for a period of less than one year, it shall be calculated on the basis of the Day Count Fraction (as defined below).] [If the Specified Currency is Euro and if Actual/Actual (ICMA) is applicable insert: The number of Interest Payment Dates per calendar year (each a "Determination Date") is [insert number of regular Interest Payment Dates per calendar year].]

1 An English language translation of § 328 paragraph 1 BGB (German Civil Code) reads as follows: "A contract may stipulate performance for the benefit of a third party, to the effect that the third party acquires the right directly to demand performance".

60 (3) Late Payments. If the Issuer for any reason fails to render any payment in respect of the Notes when due, interest shall continue to accrue at the default rate of interest established by statutory law2 on the outstanding amount from (and including) the due date to (but excluding) the day on which such payment is received by or on behalf of the Holders.

In the case of [(1) Interest Payment Dates. Floating Rate Notes insert: (a) The Notes bear interest on their principal amount from (and including) [insert Interest Commencement Date] (the "Interest Commencement Date´) to but excluding the first Interest Payment Date and thereafter from (and including) each Interest Payment Date to but excluding the next following Interest Payment Date. Interest on the Notes shall be payable on each Interest Payment Date. (b) "Interest Payment Date" means [in the case of Specified Interest Payment Dates insert: each [insert Specified Interest Payment Dates].] [in the case of Specified Interest Periods insert: each date which (except as otherwise provided in these Terms and Conditions) falls [insert number] [weeks] [months] [insert other specified periods] after the preceding Interest Payment Date or, in the case of the first Interest Payment Date, after the Interest Commencement Date.] (c) If any Interest Payment Date would otherwise fall on a day which is not a Business Day (as defined below), it shall be: [if Modified Following Business Day Convention insert: postponed to the next day which is a Business Day unless it would thereby fall into the next calendar month, in which event the Interest Payment Date shall be the immediately preceding Business Day.] [if FRN Convention insert: postponed to the next day which is a Business Day unless it would thereby fall into the next calendar month, in which event (i) the Interest Payment Date shall be the immediately preceding Business Day and (ii) each subsequent Interest Payment Date shall be the last Business Day in the month which falls [insert number] [months] [insert other specified periods] after the preceding applicable Interest Payment Date.] [if Following Business Day Convention insert: postponed to the next day which is a Business Day.] [if Preceding Business Day Convention insert: the immediately preceding Business Day.] (d) In this § 3 "Business Day" means [if the Specified Currency is not Euro insert: a day which is a day (other than a Saturday or a Sunday) on which commercial banks are generally open for business in, and foreign exchange markets settle payments in [insert all relevant financial centers]] [if the Specified Currency is Euro insert: a day (other than a Saturday or Sunday) on which the Clearing System as well as all relevant parts of the Trans-European Automated Real-time Gross settlement Express Transfer system ("TARGET2") are operational to effect the relevant payment]. (2) Rate of Interest. [If Screen Rate Determination insert: The rate of interest (the "Rate of Interest") for each Interest Period (as defined below) will, except as provided below, be the offered quotation (expressed as a percentage rate per annum) for deposits in the Specified Currency for that Interest Period which appears on the Screen Page as of 11:00 a.m. ([London] [Brussels] time) on the Interest Determination Date (as defined below) [if Margin insert: [plus] [minus] the Margin (as defined below)], all as determined by the Calculation Agent (as defined in § 6). "Interest Period" means each period from (and including) the Interest Commencement Date to (but excluding) the first Interest Payment Date and from each Interest Payment Date to the following Interest Payment Date. "Interest Determination Date" means the [if same-day fixing applies, insert: first [London] [TARGET] [insert other relevant location] Business Day] [[if same-day fixing does not apply, insert: [second] [insert other applicable number of days] [London] [TARGET] [insert other relevant location] Business Day prior to the commencement] of the relevant Interest Period.

2 The default rate of interest established by statutory law is five percentage points above the basis rate of interest published by Deutsche Bundesbank from time to time, §§ 288 paragraph 1, 247 paragraph 1 of the German Civil Code.

61 ["[London] [insert other relevant location] Business Day" means a day which is a day (other than a Saturday or Sunday) on which commercial banks are open for business (including dealings in foreign exchange and foreign currency) in [London] [insert other relevant location].] ["TARGET Business Day" means a day (other than a Saturday or Sunday) on which the (Trans-European Automated Real-time Gross settlement Express Transfer system) (TARGET2) is open.] [If Margin insert: "Margin" means [insert relevant Margin]% per annum.] "Screen Page" means [insert relevant Screen Page] or any successor page. [If another basis for determining any reference rate is agreed upon, full details thereof will be set forth in the applicable Final Terms.] If the Screen Page is not available or if no such quotation appears as at such time, the Calculation Agent shall request each of the Reference Banks (as defined below) to provide the Calculation Agent with its offered quotation (expressed as a percentage rate per annum) for deposits in the Specified Currency for the relevant Interest Period and in a representative amount to leading banks in the [London] [insert other relevant locations] interbank market [in the Euro-Zone] at approximately 11.00 a.m. ([Brussels] [London] time) on the Interest Determination Date. If two or more of the Reference Banks provide the Calculation Agent with such offered quotations, the Rate of Interest for such Interest Period shall be the arithmetic mean (rounded if necessary to the nearest [if the Reference Rate is EURIBOR insert: one thousandth of a percentage point, with 0.0005] [if the Reference Rate is not EURIBOR insert: [one hundred-thousandth of a percentage point, with 0.000005] [insert other applicable rounding provision]] being rounded upwards) of such offered quotations [if Margin insert: [plus] [minus] the Margin], all as determined by the Calculation Agent. If on any Interest Determination Date only one or none of the Reference Banks provides the Calculation Agent with such offered quotations as provided in the preceding paragraph, the Rate of Interest for the relevant Interest Period shall be the rate per annum which the Calculation Agent determines as being the arithmetic mean (rounded if necessary to the nearest [if the Reference Rate is EURIBOR insert: one thousandth of a percentage point, with 0.0005] [if the Reference Rate is not EURIBOR insert: [one hundred-thousandth of a percentage point, with 0.000005] [insert other applicable rounding provision]] being rounded upwards) of the rates, as communicated to (and at the request of) the Calculation Agent by major banks in the [London][insert other relevant location] interbank market [in the Euro-Zone], selected by the Calculation Agent acting in good faith, at which such banks offer, as at 11.00 a.m. ([London] [Brussels] [insert other relevant location] time) on the relevant Interest Determination Date, loans in the Specified Currency for the relevant Interest Period and in a representative amount to leading European banks [if Margin insert: [plus] [minus] the Margin]. As used herein, "Reference Banks" means [if no other Reference Banks are specified in the Final Terms, insert: four major banks in the [London] [insert other relevant location] interbank market [in the Euro-Zone] [if other Reference Banks are specified in the Final Terms, insert names here]. [In the case of the interbank market in the Euro-Zone insert: "Euro-Zone" means the region comprised of those member states of the European Union that have adopted, or will have adopted from time to time, the single currency in accordance with the Treaty establishing the European Community (signed in Rome on 25 March 1957), as amended by the Treaty on European Union (signed in Maastricht on 7 February 1992) and the Amsterdam Treaty of 2 October 1997, as further amended from time to time.] [If Reference Rate is other than EURIBOR or LIBOR, insert relevant details in lieu of the provisions of this paragraph (2)] [If ISDA Determination applies insert the relevant provisions and attach the 2000 ISDA Definitions or the 2006 ISDA Definitions, as applicable, published by the International Swap and Derivatives Association ("ISDA")] [If other method of determination/indexation applies, insert relevant details in lieu of the provisions of this paragraph (2)] [If Minimum and/or Maximum Rate of Interest applies insert: (3) [Minimum] [and] [Maximum] Rate of Interest. [If Minimum Rate of Interest applies insert: If the Rate of Interest in respect of any Interest Period determined in accordance with the above provisions is less than [insert Minimum Rate of Interest], the Rate of Interest for such Interest Period shall be [insert Minimum Rate of Interest].]

62 [If Maximum Rate of Interest applies insert: If the Rate of Interest in respect of any Interest Period determined in accordance with the above provisions is greater than [insert Maximum Rate of Interest], the Rate of Interest for such Interest Period shall be [insert Maximum Rate of Interest].] [(4)] Interest Amount. The Calculation Agent will, on or as soon as practicable after each time at which the Rate of Interest is to be determined, determine the Rate of Interest and calculate the amount of interest (the "Interest Amount") payable on the Notes in respect of each Specified Denomination for the relevant Interest Period. Each Interest Amount shall be calculated by applying the Rate of Interest and the Day Count Fraction (as defined below) to each Specified Denomination and rounding the resultant figure to the nearest unit of the Specified Currency, with 0.5 of such unit being rounded upwards. [(5)] Notification of Rate of Interest and Interest Amount. The Calculation Agent will cause the Rate of Interest, each Interest Amount for each Interest Period, each Interest Period and the relevant Interest Payment Date to be notified to the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: and the Guarantor] and to the Holders in accordance with § 12 as soon as possible after their determination, but in no event later than the ninth [London] [TARGET] [insert other relevant reference] Business Day (as defined in § 3(2)) thereafter and if required by the rules of any stock exchange on which the Notes are from time to time listed, to such stock exchange as soon as possible after their determination, but in no event later than the first day of the relevant Interest Period. Each Interest Amount and Interest Payment Date so notified may subsequently be amended (or appropriate alternative arrangements made by way of adjustment) without notice in the event of an extension or shortening of the Interest Period. Any such amendment will be promptly notified to any stock exchange on which the Notes are then listed and to the Holders in accordance with § 12. [(6)] Determinations Binding. All certificates, communications, opinions, determinations, calculations, quotations and decisions given, expressed, made or obtained for the purposes of the provisions of this § 3 by the Calculation Agent shall (in the absence of manifest error) be binding on the Issuer, [in the case of Notes issued by an Issuer other than Merck KGaA insert: the Guarantor,] the Fiscal Agent, the Paying Agents and the Holders. [(7)] Late Payments. If the Issuer for any reason fails to render any payment in respect of the Notes when due, interest shall continue to accrue at the default rate of interest established by statutory law3 on the outstanding amount from (and including) the due date to (but excluding) the day on which such payment is received by or on behalf of the Holders.]

In the case of [(1) No Periodic Payments of Interest. There will not be any periodic payments of interest on the discounted Zero Coupon Notes Notes during their term. insert: (2) Late Payments. If the Issuer for any reason fails to render any payment in respect of the Notes when due, interest shall continue to accrue at the default rate of interest established by statutory law on the outstanding amount from (and including) the due date to (but excluding) the day on which such payment is received by or on behalf of the Holders.] [In case of other structured Floating Rate Notes including Inverse Floating Rate Notes and Fixed to Floating Rate Notes, set forth applicable provisions herein.] [In the case of Dual Currency Notes, set forth applicable provisions herein.] [In the case of Partly Paid Notes, set forth applicable provisions herein.] [In the case of Installment Notes, set forth applicable provisions herein.] [In the case of Index Linked Interest Notes, set forth applicable provisions herein.] [In the case of Credit Linked Interest Notes, set forth applicable provisions herein.] [In the case of other structured Interest Notes, set forth applicable provisions herein.] [ ‡)] Day Count Fraction. "Day Count Fraction" means with regard to the calculation of the amount of interest on the Notes for any period of time (the "Calculation Period"): [If Actual/365 or Actual/Actual insert: the actual number of days in the Calculation Period divided by 365 (or, if any portion of that Calculation Period falls in a leap year, the sum of (A) the actual number

3 The default rate of interest established by statutory law is five percentage points above the basis rate of interest published by Deutsche Bundesbank from time to time, §§ 288 paragraph 1, 247 paragraph 1 of the German Civil Code.

63 of days in that portion of the Calculation Period falling in a leap year divided by 366 and (B) the actual number of days in that portion of the Calculation Period falling in a non-leap year divided by 365).] [In the case of Fixed Rate Notes, if the Specified Currency current is Euro and if Actual/Actual (ICMA) is applicable insert: (i) if the Calculation Period (from and including the first day of such period but excluding the last) is equal to or shorter than the Determination Period during which the Calculation Period ends, the number of days in such Calculation Period (from and including the first day of such period but excluding the last) divided by the product of (1) the number of days in such Determination Period and (2) the number of Determination Dates (as specified in § 3(2)) that would occur in one calendar year; or (ii) if the Calculation Period is longer than the Determination Period during which the Calculation Period ends, the sum of: (A) the number of days in such Calculation Period falling in the Determination Period in which the Calculation Period begins divided by the product of (1) the number of days in such Determination Period and (2) the number of Determination Dates (as specified in § 3(2)) and (B) the number of days in such Calculation Period falling in the next Determination Period divided by the product of (1) the number of days in such Determination Period and (2) the number of Determination Dates (as specified in § 3(2)) that would occur in one calendar year. "Determination Period" means the period from (and including) a Determination Date to, (but excluding) the next Determination Date.] [if Actual/365 (Fixed) insert: the actual number of days in the Calculation Period divided by 365.] [if Actual/360 insert: the actual number of days in the Calculation Period divided by 360.] [if 30/360, 360/360 or Bond Basis insert: the number of days in the Calculation Period divided by 360, the number of days to be calculated on the basis of a year of 360 days with twelve 30-day months (unless (A) the last day of the Calculation Period is the 31st day of a month but the first day of the Calculation Period is a day other than the 30th or 31st day of a month, in which case the month that includes that last day shall not be considered to be shortened to a 30-day month, or (B) the last day of the Calculation Period is the last day of the month of February in which case the month of February shall not be considered to be lengthened to a 30-day month).] [if 30E/360 or Eurobond Basis: the number of days in the Calculation Period divided by 360 (the number of days to be calculated on the basis of a year of 360 days with twelve 30-day months, without regard to the date of the first day or last day of the Calculation Period unless, in the case of the final Calculation Period, the Maturity Date is the last day of the month of February, in which case the month of February shall not be considered to be lengthened to a 30-day month).] [Insert other applicable provision.]

§ 4 (PAYMENTS) (1) [(a)] Payment of Principal. Payment of principal in respect of the Notes shall be made, subject to subparagraph (2) below, to the Clearing System or to its order for credit to the accounts of the relevant account holders of the Clearing System.

In the case of [(b) Payment of Interest. Payment of interest on the Notes shall be made, subject to Notes other than Zero Coupon subparagraph (2), to the Clearing System or to its order for credit to the accounts of the relevant Notes insert: account holders of the Clearing System. [In the case of interest payable on a Temporary Global Note insert: Payment of interest on Notes represented by the Temporary Global Note shall be made, subject to subparagraph (2), to the Clearing System or to its order for credit to the accounts of the relevant account holders of the Clearing System, upon due certification as provided in § 1(3)(b).]] (2) Manner of Payment. Subject to applicable fiscal and other laws and regulations, payments of amounts due in respect of the Notes shall be made in [insert Specified Currency] [in the case of Dual Currency Notes insert relevant currencies/ exchange rate formulas]. Payment of principal and interest on the Notes shall not be paid to an account within or mailed to an address within the United States.

64 (3) Discharge. The Issuer [In the case of Notes issued by an Issuer other than Merck KGaA insert: or, as the case may be, the Guarantor] shall be discharged by payment to, or to the order of, the Clearing System. (4) Payment Business Day. If the date for payment of any amount in respect of any Note is not a Payment Business Day then the Holder shall not be entitled to payment until the next such day in the relevant place and shall not be entitled to further interest or other payment in respect of such delay. For these purposes, "Payment Business Day" means any day which is [in the case of Notes not denominated in Euro insert: a day (other than a Saturday or a Sunday) on which commercial banks and foreign exchange markets settle payments in [insert all relevant financial centers]] [in the case of Notes denominated in Euro insert: a day (other than a Saturday or a Sunday) on which the Clearing System as well as all relevant parts of the Trans-European Automated Real-time Gross settlement Express Transfer system ("TARGET2") are operational to forward the relevant payment]. (5) References to Principal and Interest. References in these Terms and Conditions to principal in respect of the Notes shall be deemed to include, as applicable: the Final Redemption Amount of the Notes; the Early Redemption Amount of the Notes; [if redeemable at the option of the Issuer for other than tax reasons or reasons of minimal outstanding principal amount insert: the Call Redemption Amount of the Notes;] [if redeemable at the option of the Holder other than for reason of a Change of Control insert: the Put Redemption Amount of the Notes;] [in the case of Installment Notes insert: the Installment Amount(s) of the Notes;] and any premium and any other amounts which may be payable under or in respect of the Notes. References in these Terms and Conditions to interest in respect of the Notes shall be deemed to include, as applicable, any Additional Amounts which may be payable under § 7. (6) Deposit of Principal and Interest. The Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or, as the case may be, the Guarantor] may deposit with the local court (Amtsgericht) in Darmstadt principal or interest not claimed by Holders within twelve months after the Maturity Date, even though such Holders may not be in default of acceptance of payment. If and to the extent that the deposit is effected and the right of withdrawal is waived, the respective claims of such Holders against the Issuer shall cease.

§ 5 (REDEMPTION) (1) Final Redemption. Unless previously redeemed in whole or in part or purchased and cancelled, the Notes shall be redeemed at their Final Redemption Amount on [in the case of a specified Maturity Date insert such Maturity Date] [in the case of a Redemption Month insert: the Interest Payment Date falling in [insert Redemption Month and year]] (the "Maturity Date"). The Final Redemption Amount in respect of each Note shall be [if the Notes are redeemed at their principal amount insert: its principal amount] [otherwise insert Final Redemption Amount per Specified Denomination/index and/or formula by reference to which the Final Redemption Amount is to be calculated]. [In the case of Installment Notes insert: Unless previously redeemed in whole or in part or purchased and cancelled, the Notes shall be redeemed at the Installment Date(s) and in the Installment Amount(s) set forth below: Installment Date(s) Installment Amount(s) [insert Installment Dates(s)] [insert Installment Amount(s)] [ ] [ ] [ ] [ ]] (2) Early Redemption for Reasons of Taxation. If as a result of any change in, or amendment to, the laws or regulations of the Federal Republic of Germany or any political subdivision or taxing authority thereto or therein affecting taxation or the obligation to pay duties of any kind, or any change in, or amendment to, an official interpretation or application of such laws or regulations, which amendment or change is effective on or after the date on which the last tranche of this series of Notes was issued, the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor, as the case may be,] is required to pay Additional Amounts (as defined in § 7 herein) [in the case of Notes other than Zero Coupon Notes insert: on the next succeeding Interest Payment Date (as defined in § 3(1))] [in the case of Zero Coupon Notes insert: at maturity or upon the sale or exchange of any Note], and this obligation cannot be avoided by the use of reasonable measures available to the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or

65 the Guarantor, as the case may be], the Notes may be redeemed, in whole but not in part, at the option of the Issuer, upon not more than 60 days' nor less than 30 days' prior notice of redemption given to the Fiscal Agent and, in accordance with § 12 to the Holders, at their Early Redemption Amount (as defined below), together with interest accrued to the date fixed for redemption. However, no such notice of redemption may be given (i) earlier than 90 days prior to the earliest date on which the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor] would be obligated to pay such Additional Amounts were a payment in respect of the Notes then due, or (ii) if at the time such notice is given, such obligation to pay such Additional Amounts does not remain in effect. [In the case of Floating Rate Notes insert: The date fixed for redemption must be an Interest Payment Date.] Any such notice shall be given in accordance with § 12. It shall be irrevocable, must specify the date fixed for redemption and must set forth a statement in summary form of the facts constituting the basis for the right of the Issuer so to redeem. Before the publication of any notice of redemption pursuant to this paragraph, the Issuer shall deliver to the Fiscal Agent a certificate signed by an executive director of the Issuer stating that the Issuer is entitled to effect such redemption and setting forth a statement of facts showing that the conditions precedent to the right of the Issuer so to redeem have occurred, and an opinion of independent legal or tax advisers of recognized standing to the effect that the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor, as the case may be], has or will become obliged to pay such additional amounts as a result of such change or amendment.

If the Notes are [[(3)] Early Redemption at the Option of the Holders upon a Change of Control. subject to Early Redemption at (a) A Put Event will be deemed to occur if any person or persons acting in concert or any person or the Option of the Holder upon a persons acting on behalf of any such person(s), at any time directly or indirectly acquire(s) Change of Control insert: (whether or not approved by the partners liable on an unlimited basis (persönlich haftende Gesellschafter) or the supervisory board (Aufsichtsrat) of [in case of Notes issued by Merck KGaA insert: the Issuer] [in case of Notes issued by an Issuer other than Merck KGaA insert: the Guarantor] more than 50 per cent. of (i) the shares of the general partner (Komplementäranteile) of the partners liable on an unlimited basis (in total, 50 per cent. or more of the capital (Kapitalanteil) of the partners liable on an unlimited basis)] of [in case of Notes issued by Merck KGaA insert: the Issuer] [in case of Notes issued by an Issuer other than Merck KGaA insert: the Guarantor] and (ii) of the share capital (Grundkapital) of [in case of Notes issued by Merck KGaA insert: the Issuer] [in case of Notes issued by an Issuer other than Merck KGaA insert: the Guarantor] (a "Change of Control"); and at the time of the occurrence of a Change of Control, the Notes carry (with the agreement of the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor, as the case may be,]) from any of Moody¶s Investors Service, Inc. ("Moody¶s") or Standard & Poor¶s Rating Services, a division of The McGraw-Hill Companies Inc. ("S&P"), or any of their respective successors (each, a "Rating Agency"): (x) an investment grade credit rating (Baa3/BBB-, or equivalent, or better), and such rating from any Rating Agency is within 120 days of such time either downgraded to a non-investment grade credit rating (Ba1/BB+, or equivalent, or worse) or withdrawn and is not within such 120-day period subsequently (in the case of a downgrade) upgraded to an investment grade credit rating by such Rating Agency or (in the case of withdrawal) replaced by an investment grade credit rating from any other Rating Agency; or (y) a non-investment grade credit rating (Ba1/BB+, or equivalent, or worse), and such rating from any Rating Agency is within 120 days of such time downgraded by one or more notches (for illustration, Ba1 to Ba2 being one notch) and is not within such 120-day period subsequently upgraded to its earlier credit rating or better by such Rating Agency, provided that if at the time of the occurrence of the Change of Control the Notes carry a rating from more than one Rating Agency, at least one of which is investment grade, then sub-paragraph (x) will apply; and in making the relevant decision(s) referred to above, the relevant Rating Agency announces publicly or confirms in writing to the Issuer that such decision(s) resulted, in whole or in part, from the occurrence of the Change of Control. (b) If a Put Event occurs, each Holder of Notes shall have the option to require the Issuer to redeem or, at the Issuer¶s option, purchase (or procure the purchase of) that Note at its Early Redemption Amount together with interest accrued to but excluding the date of redemption or purchase. Such option shall operate as set out below.

66 (c) If a Put Event occurs then, within 20 Payment Business Days of the end of the 120 day period referred to in paragraph (a)(x) or (y) above, the Issuer shall give notice (a "Put Event Notice") to the Holders of Notes in accordance with § 12 specifying the nature of the Put Event and the procedure for exercising the option contained in this § 5(3). (d) To exercise the option to require the redemption or purchase of a Note under this § 5(3) the Holder of Notes must deliver such Note(s), on any Payment Business Day falling within the period (the "Put Period") of 30 days after a Put Event Notice is given, to the Fiscal Agent accompanied by a duly signed and completed notice of exercise in the form (for the time being current) obtainable from the Fiscal Agent (a "Put Notice"). The Fiscal Agent to which such Note(s) and Put Notice are delivered will issue to the Holder of Notes concerned a non- transferable receipt in respect of the Note(s) so delivered. The Issuer shall at its option redeem or purchase (or procure the purchase of) the relevant Note(s) on the date (the "Put Date") seven days after the expiration of the Put Period unless previously redeemed or purchased and cancelled. Payment in respect of any Note so delivered will be made, if the Holder duly specified in the Put Notice a bank account to which payment is to be made, on the Put Date by transfer to that bank account and, in every other case, on or after the Put Date against presentation and surrender of such receipt at the Paying Agent. A Put Notice, once given, shall be irrevocable. (e) If the rating designations employed by any of Moody¶s or S&P are changed from those which are described in paragraph (a) above, the Issuer shall determine the rating designations of Moody¶s or S&P (as appropriate) as are most equivalent to the prior rating designations of Moody¶s or S&P and paragraph (a) shall be read accordingly.]

If the Notes are [[(4)] Early Redemption at the Option of the Issuer. subject to Early Redemption at the Option of the (a) The Issuer may, upon notice given in accordance with clause (b), redeem all or some only of the Issuer insert: Notes on the Call Redemption Date(s) at the Call Redemption Amount(s) set forth below together with accrued interest, if any, to (but excluding) the Call Redemption Date. [If Minimum Redemption Amount or Higher Redemption Amount applies insert: Any such redemption must be of a principal amount equal to [at least [insert Minimum Redemption Amount]] [insert Higher Redemption Amount].] Call Redemption Date(s) Call Redemption Amount(s) [insert Call Redemption Dates(s)] [insert Call Redemption Amount(s) or specify formula for calculating such Call Redemption Amount(s)] [ ] [ ] [ ] [ ] [If Notes are subject to Early Redemption at the Option of the Holder insert: The Issuer may not exercise such option in respect of any Note which is the subject of the prior exercise by the Holder thereof of its option to require the redemption of such Note under subparagraph [(5)] of this § 5.] (b) Notice of redemption shall be given by the Issuer to the Holders of the Notes in accordance with § 12. Such notice shall specify: (i) the Series of Notes subject to redemption; (ii) whether such Series is to be redeemed in whole or in part only and, if in part only, the aggregate principal amount of the Notes which are to be redeemed; (iii) the Call Redemption Date, which shall be not less than [insert Minimum Notice to Holders] nor more than [insert Maximum Notice to Holders] days after the date on which notice is given by the Issuer to the Holders; and (iv) the Call Redemption Amount at which such Notes are to be redeemed. (c) In the case of a partial redemption of Notes, Notes to be redeemed shall be selected in accordance with the rules of the relevant Clearing System.] [In the case of Notes in NGN form insert: For technical procedure of the ICSDs, in the case of a partial redemption the outstanding redemption amount will be reflected in the records of the ICSDs as either a reduction in nominal amount or as a pool factor, at the discretion of the ICSDs.]

If the Notes are [[(5)] Early Redemption at the Option of a Holder. subject to Early Redemption at the Option of the Holder insert: 67 (a) The Issuer shall, at the option of the Holder of any Note, redeem such Note on the Put Redemption Date(s) at the Put Redemption Amount(s) set forth below together with accrued interest, if any, to (but excluding) the Put Redemption Date. Put Redemption Date(s) Put Redemption Amount(s) [insert Put Redemption Dates(s)] [insert Put Redemption Amount(s) or specify formula for calculating the Put Redemption Amount] [ ] [ ] [ ] [ ] The Holder may not exercise such option in respect of any Note which is the subject of the prior exercise by the Issuer of any of its options to redeem such Note under this § 5. (b) In order to exercise such option, the Holder must, not less than [insert Minimum Notice to Issuer] nor more than [insert Maximum Notice to Issuer] days before the Put Redemption Date on which such redemption is required to be made as specified in the Put Redemption Notice (as defined below), submit during normal business hours at the specified office of the Fiscal Agent a duly completed early redemption notice ("Put Redemption Notice") in the form available from the specified offices of the Fiscal Agent and the Paying Agents. The Put Redemption Notice must specify (i) the principal amount of the Notes in respect of which such option is exercised, and (ii) the securities identification number of such Notes, if any. No option so exercised may be revoked or withdrawn. The Issuer shall only be required to redeem Notes in respect of which such option is exercised against delivery of such Notes to the Issuer or to its order.] [[(6)] Early Redemption at the Option of the Issuer for Reasons of Minimal Outstanding Principal Amount. If 80 per cent. or more in principal amount of the Notes then outstanding have been redeemed or purchased by the Issuer [in case of Notes issued by an Issuer other than Merck KGaA insert:, the Guarantor] or any direct or indirect subsidiary [in case of Notes issues by an Issuer other than Merck KGaA insert: of the Guarantor] pursuant to the provisions of this § 5, the Issuer may, on not less than 30 or more than 60 days¶ notice to the Holders of Notes given within 30 days after the Put Date, redeem, at its option, the remaining Notes as a whole at their Early Redemption Amount (as defined below) plus interest accrued to but excluding the date of such redemption.]

In the case of [[(7)] Early Redemption Amount. Notes other than Zero Coupon For purposes of subparagraph (2) [,][and] [(3)] [and] [(6)] of this § 5 and § 9, the Early Redemption Notes insert: Amount of a Note shall be its Final Redemption Amount.] [For purposes of subparagraph[s] [(3)] [and] [(6)] of this § 5, the Early Redemption Amount of a Note shall be its Present Value. The "Present Value" will be calculated by the Calculation Agent by discounting the principal amount of the Notes and the remaining interest payments to [insert Maturity Date] on an annual basis, assuming a 365-day year or a 366-day year, as the case may be, and the actual number of days elapsed in such year and using the Comparable Benchmark Yield plus [insert percentage] %. The "Comparable Benchmark Yield" will be the yield at the Redemption Calculation Date on the corresponding Euro benchmark security of the Bund, as having a maturity comparable to the remaining term of the Notes to [insert Maturity Date] that would be utilized, at the time of selection and in accordance with customary financial practice, in pricing new issues of corporate debt securities of comparable maturity to [insert Maturity Date]. "Redemption Calculation Date" means the third Payment Business Day prior to the date on which the Notes are redeemed as a result of any event specified in this § 5.]

In the case of [[(7)] Early Redemption Amount. Zero Coupon Notes insert (a) For purposes of subparagraph (2) [,] [and] [(3)] [and] [(6)] of this § 5 and § 9, the Early Redemption Amount of a Note shall be an amount equal to the sum of: (i) [insert Reference Price] (the "Reference Price"), and (ii) the product of [insert Amortization Yield in %] (the "Amortization Yield") and the Reference Price from (and including) [insert Issue Date] to (but excluding) the date fixed for redemption or (as the case may be) the date upon which the Notes become due and payable, whereby the Amortization Yield shall be compounded annually.

68 Where such calculation is to be made for a period which is not a whole number of years, the calculation in respect of the period of less than a full year (the "Calculation Period") shall be made on the basis of the Day Count Fraction (as defined in § 3). (b) If the Issuer fails to pay the Early Redemption Amount when due, such amount shall be calculated as provided herein, except that references in subparagraph (a)(ii) above to the date fixed for redemption or the date on which such Note becomes due and repayable shall refer to the date on which payment is made.] [(c) For purposes of subparagraph[s] [(3)] [and] [(6)] of this § 5, the Early Redemption Amount of a Note shall be its Present Value. The "Present Value" will be calculated by the Calculation Agent by discounting the principal amount of the Notes using the Comparable Benchmark Yield plus [insert percentage] %. The "Comparable Benchmark Yield" will be the yield at the Redemption Calculation Date on the corresponding Euro benchmark security of the Bund, as having a maturity comparable to the remaining term of the Notes to [insert Maturity Date] that would be utilized, at the time of selection and in accordance with customary financial practice, in pricing new issues of corporate debt securities of comparable maturity to [insert Maturity Date]. "Redemption Calculation Date" means the third Payment Business Day prior to the date on which the Notes are redeemed as a result of any event specified in this § 5.] [In the case of Dual Currency Notes, set forth applicable provisions herein.] [In the case of Partly Paid Notes, set forth applicable provisions herein.] [In the case of Installment Notes, set forth applicable provisions herein.] [In the case of Index Linked Redemption Notes, set forth applicable provisions herein.] [In the case of Credit Linked Redemption Notes, set forth applicable provisions herein.] [In the case of other structured Redemption Notes, set forth applicable provisions herein.]

§ 6 (THE FISCAL AGENT [,] [AND] THE PAYING AGENT[S] [AND THE CALCULATION AGENT]) (1) Appointment; Specified Office. The initial Fiscal Agent [,] [and] the initial Paying Agent[s] [and the initial Calculation Agent] and [its] [their respective] initial specified office[s] shall be: Fiscal Agent: Deutsche Bank Aktiengesellschaft Trust & Securities Services (TSS) Grosse Gallusstrasse 10-14 60272 Frankfurt am Main Germany Paying Agent[s]: Deutsche Bank Aktiengesellschaft Trust & Securities Services (TSS) Grosse Gallusstrasse 10-14 60272 Frankfurt am Main Germany [If the Fiscal Agent is to be appointed as Calculation Agent insert: The Fiscal Agent shall also act as Calculation Agent.] [If a Calculation Agent other than the Fiscal Agent is to be appointed insert: The Calculation Agent and its initial specified office shall be: Calculation Agent:[insert name and specified office]] The Fiscal Agent [,] [and] the Paying Agent[s] [and the Calculation Agent] reserve[s] the right at any time to change [its] [their respective] specified office[s] to some other specified office in the same city. (2) Variation or Termination of Appointment. The Issuer reserves the right at any time to vary or terminate the appointment of the Fiscal Agent or any Paying Agent [or the Calculation Agent] and to appoint another Fiscal Agent or additional or other Paying Agents [or another Calculation Agent]. The Issuer shall at all times maintain (i) a Fiscal Agent [in the case of Notes listed on a stock exchange insert: [,] [and] (ii) so long as the Notes are listed on the [name of Stock Exchange], a Paying Agent (which may be the Fiscal Agent) with a specified office in [location of Stock Exchange] and/or in such other place as may be required by the rules of such stock exchange] [,] (iii) a Paying Agent in an EU member state, if any, that will not be obliged to withhold or deduct tax pursuant to the European Council Directive 2003/48/EC dated June 3, 2003 or any other Directive implementing the ECOFIN

69 Council meeting of November 26 ± 27, 2000 on taxation of savings income or any law implementing or complying with, or introduced in order to conform to such Directive, [in the case of payments in United States dollar insert: [and] [(iv)] if payments at or through the offices of all Paying Agents outside the United States (as defined in § 1(7)) become illegal or are effectively precluded because of the imposition of exchange controls or similar restrictions on the full payment or receipt of such amounts in United States dollar, a Paying Agent with a specified office in New York City (so long as such payment is then permitted under United States law without involving, in the opinion of the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: and the Guarantor] adverse tax consequences to the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor])] [if any Calculation Agent is to be appointed insert: [,] [and] [(v)] a Calculation Agent [if Calculation Agent is required to maintain a Specified Office in a Required Location insert: with a specified office located in [insert Required Location]]]. Any variation, termination, appointment or change shall only take effect (other than in the case of insolvency, when it shall be of immediate effect) after not less than 30 nor more than 45 days' prior notice thereof shall have been given to the Holders in accordance with § 12. (3) Agent of the Issuer. The Fiscal Agent[,] [and] the Paying Agent[s] [and the Calculation Agent] act[s] solely as the agent[s] of the Issuer and [does] [do] not assume any obligations towards or relationship of agency or trust for any Holder.

§ 7 (TAXATION) All payments of principal and interest made by the Issuer in respect of the Notes to the Holders shall be made free and clear of, and without withholding or deduction for, any present or future taxes or duties of whatever nature imposed or levied by way of deduction or withholding by or on behalf of the Federal Republic of Germany or any authority therein or thereof having power to tax (the "Taxing Jurisdiction"), unless such deduction or withholding is required by law. In that event the Issuer shall pay such additional amounts (the "Additional Amounts") as shall result in receipt by the Holders of such amounts as would have been received by them had no such withholding or deduction been required, except that no Additional Amounts shall be payable with respect to (a) German Kapitalertragsteuer (including Abgeltungsteuer) to be deducted or withheld pursuant to the German Income Tax Act, even if the deduction or withholding has to be made by the Issuer or its representative, and the German Solidarity Surcharge (Solidaritätszuschlag) or any other tax which may substitute the German Kapitalertragsteuer or Solidaritätszuschlag, as the case may be; or (b) payments to, or to a third party on behalf of, a Holder where such Holder (or a fiduciary, settlor, beneficiary, member or shareholder of such Holder, if such Holder is an estate, a trust, a partnership or a corporation) is liable to such withholding or deduction by reason of having some present or former connection with Germany, including, without limitation, such Holder (or such fiduciary, settlor, beneficiary, member or shareholder) being or having been a citizen or resident thereof or being or having been engaged in a trade or business or present therein or having, or having had, a permanent establishment therein, other than by reason only of the holding of such Note or the receipt of the relevant payment in respect thereof; or (c) payments to, or to a third party on behalf of, a Holder where no such withholding or deduction would have been required to be made if the Notes were credited at the time of payment to a securities deposit account with a bank, financial services institution, securities trading business or securities trading bank, in each case outside Germany; or (d) payments where such withholding or deduction is imposed on a payment to an individual and is required to be made pursuant to European Council Directive 2003/48/EC dated June 3, 2003 or any other directive implementing the conclusions of the ECOFIN Council meeting of November 26 ± 27, 2000 on taxation of savings income or any law implementing or complying with, or introduced in order to conform to such Directive; or (e) payments to the extent such withholding or deduction is payable by or on behalf of a Holder who could lawfully avoid (but has not so avoided) such withholding or deduction by complying or procuring that any third party complies with any statutory requirements or by making or procuring that a third party makes a declaration of non-residence or other similar claim for exemption to any tax authority in the place where the payment is effected; or

70 (f) payments to the extent such withholding or deduction is payable by or on behalf of a Holder who would have been able to avoid such withholding or deduction by effecting a payment via another Paying Agent in a Member State of the European Union, not obliged to withhold or deduct tax; or (g) payments to the extent such withholding or deduction is for or on account of the presentation by the Holder of any Note for payment on a date more than 30 days after the date on which such payment became due and payable or the date on which payment thereof is duly provided for, whichever occurs later; or (h) any combination of items (a)-(g); nor shall any Additional Amounts be paid with respect to any payment on a Note to a Holder who is a fiduciary or partnership or who is other than the sole beneficial owner of such payment to the extent such payment would be required by the laws of the Taxing Jurisdiction to be included in the income, for tax purposes, of a beneficiary or settlor with respect to such fiduciary or a member of such partnership or a beneficial owner who would not have been entitled to such Additional Amounts had such beneficiary, settlor, member or beneficial owner been the Holder of the Note.

§ 8 (PRESENTATION PERIOD) The presentation period provided in § 801 paragraph 1, sentence 1 BGB (German Civil Code) is reduced to ten years for the Notes.

§ 9 (EVENTS OF DEFAULT) (1) Events of default. Each Holder shall be entitled to declare due and payable by notice to the Fiscal Agent its entire claims arising from the Notes and demand immediate redemption thereof at the Early Redemption Amount (as described in § 5) together with accrued interest (if any) to the date of repayment, in the event that: (a) the Issuer fails to pay principal or interest under the Notes within 30 days from the relevant due date, or [in the case of Notes issued by an Issuer other than Merck KGaA insert: (b) the Guarantor fails to pay amounts payable under the Guarantee within 30 days from the relevant due date, or] [(c)] the Issuer fails to duly perform any other material obligation arising from the Notes [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor fails to perform any other material obligation arising from the Guarantee] and such failure continues unremedied for more than 30 days after the Fiscal Agent has received a written request thereof in the manner set forth in § 9(3) from a Holder to perform such obligation; or [(d)] the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor] fails to fulfill any payment obligation in excess of EUR 75,000,000 or the equivalent thereof under any Capital Market Indebtedness or under any guarantees or suretyships given for any Capital Market Indebtedness of others within 30 days from its due date or, in the case of such guarantee or suretyship, within 30 days of such guarantee or suretyship being invoked, unless the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor] contests in good faith that such payment obligation exists or is due or that such guarantee or suretyship has been validly invoked; or [(e)] the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor] ceases generally its payments; or [(f)] the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor] announces its inability to meet its financial obligations generally; or [(g)] a court institutes insolvency proceedings or composition proceedings to avert insolvency or bankruptcy, or similar proceedings against the assets of the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor] and such proceedings have not been discharged or stayed within 90 days, or the Issuer [in the case of Notes issued

71 by an Issuer other than Merck KGaA insert: or the Guarantor] applies for institution of such proceedings in respect of its assets or offers or makes a general arrangement for the benefit of its creditors generally or a third party applies for insolvency proceedings against the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor] and such proceedings are not discharged or stayed within 90 days; or [(h)] the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor] enters into liquidation except in connection with a merger or other form of combination with another company or in connection with a reorganization and such other or new company assumes all obligations contracted by the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor] in connection with the Notes [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantee] [; or][.] [In the case of Notes issued by an Issuer other than Merck KGaA insert: (i) the Guarantee ceases to be valid and legally binding for any reason whatsoever.] (2) No Termination. The right to declare Notes due shall terminate if the situation giving rise to it has been cured before the right is exercised. (3) Notice. Any default notice in accordance with § 9(1) shall be made by means of a written notice in the German or English language delivered by hand or registered mail to the Fiscal Agent together with evidence by means of a certificate of the Holder's Custodian (as defined in § [16](3)) that such Holder, at the time of such written notice, is a holder of the relevant Notes. (4) Quorum. In the events specified in subparagraph (1) [(c)] and/or [(d)], any notice declaring Notes due shall, unless at the time such notice is received any of the events specified in subparagraph (1) (a), [(b)] and [(e)] through [(i)] entitling Holders to declare their Notes due has occurred, become effective only when the Fiscal Agent has received such default notices from the Holders representing at least 10 per cent. of the aggregate principal amount of Notes then outstanding.

§ 10 (SUBSTITUTION) (1) Substitution. The Issuer (reference to which shall always include any previous Substitute Debtor (as defined below)) may, at any time, if no payment of principal of or interest on any of the Notes is in default, without the consent of the Holders, substitute for the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: Merck KGaA or] any Affiliate (as defined below) of [in the case of Notes issued by Merck KGaA insert: the Issuer] [in the case of Notes issued by an Issuer other than Merck KGaA insert: the Guarantor] as the principal debtor in respect to the Notes (any such company, the "Substitute Debtor"), provided that: (a) the Substitute Debtor assumes all obligations of the Issuer in respect of the Notes and is in a position to fulfill all payment obligations arising from or in connection with the Notes in the Specified Currency without the necessity of any taxes or duties levied by the country or jurisdiction in which the Substitute Debtor is domiciled (other than taxes which would also be levied in the absence of such substitution) to be withheld or deducted at source and to transfer all amounts which are required therefore to the Paying Agent without any restrictions, and that in particular all necessary authorizations to this effect by any competent authority have been obtained, and, to the extent service of process must be effected to the Substitute Debtor outside of Germany, a service of process agent in Germany is appointed; (b) [In the case of Notes issued by Merck KGaA insert: the Issuer] [in the case of Notes issued by an Issuer other than Merck KGaA insert: the Guarantor if it is not itself the Substitute Debtor] irrevocably and unconditionally guarantees in favor of each Holder the payment of all sums payable by the Substitute Debtor in respect of the Notes on terms equivalent to the terms of the [in the case of Notes issued by Merck KGaA insert: form of the guarantee in respect of the notes to be issued by an Issuer other than Merck KGaA under the Debt Issuance Program] [in the case of Notes issued by an Issuer other than Merck KGaA insert: the Guarantee] (the "Substitution Guarantee"); (c) the Substitute Debtor and the Issuer have obtained all necessary governmental and regulatory approvals and consents for such substitution and for the giving by [in the case of Notes issued by Merck KGaA insert: the Issuer] [in the case of Notes issued by an Issuer other than

72 Merck KGaA insert: the Guarantor if it is not itself the Substitute Debtor] of the Substitution Guarantee in respect of the obligations of the Substitute Debtor, that the Substitute Debtor has obtained all necessary governmental and regulatory approvals and consents for the performance by the Substitute Debtor of its obligations under the Notes, and that all such approvals and consents are in full force and effect and that the obligations assumed by the Substitute Debtor and the Substitution Guarantee given by [in the case of Notes issued by Merck KGaA insert: the Issuer] [in the case of Notes issued by an Issuer other than Merck KGaA insert: the Guarantor if it is not itself the Substitute Debtor] are each valid and binding in accordance with their respective terms and enforceable by each Holder; (d) § 9 shall be deemed to be amended so that it shall also be an Event of Default under such provision if the Substitution Guarantee shall cease to be valid or binding on or enforceable against [in the case of Notes issued by Merck KGaA insert: the Issuer] [in the case of Notes issued by an Issuer other than Merck KGaA insert: the Guarantor if it is not itself the Substitute Debtor]; (e) the Substitute Debtor undertakes to reimburse any Holder for such taxes, fees or duties which may be imposed upon such Holder in connection with any payments on the Notes (including taxes or duties being deducted or withheld at source), upon conversion or otherwise, as a consequence of the assumption of the Issuer's obligations by the Substitute Debtor, provided that such undertaking shall be limited to amounts that would not have been imposed upon the Holder had such substitution not occurred; (f) there shall have been delivered to the Fiscal Agent one opinion for each jurisdiction affected of lawyers of recognized standing to the effect that subparagraphs (a) through (e) above have been satisfied; and (g) the Substitute Debtor is not a United States person as defined in the U.S. Internal Revenue Code of 1986, as amended. For purposes of this § 10, "Affiliate" shall mean any affiliated company (verbundenes Unternehmen) within the meaning of § 15 German Stock Corporation Act (Aktiengesetz) held by [in the case of Notes issued by Merck KGaA insert: the Issuer] [in the case of Notes issued by an Issuer other than Merck KGaA insert: the Guarantor]. (2) Discharge from Obligations. References. Upon a substitution in accordance with this § 10, the Substitute Debtor shall be deemed to be named in the Notes as the principal debtor in place of the Issuer as issuer and the Notes shall thereupon be deemed to be amended to give effect to the substitution including that the relevant jurisdiction in relation to the Issuer in § 7 shall be the Substitute Debtor's country of domicile for tax purposes. Furthermore, in the event of such substitution the following shall apply:

In the case of [(a) in § 7 and § 5(2) an alternative reference to the Federal Republic of Germany shall be deemed Notes issued by Merck KGaA to have been included in addition to the reference according to the preceding sentence to the insert: country of domicile or residence for taxation purposes of the Substitute Debtor; (b) in § 9(1)(c) to (g) an alternative reference to the Issuer in its capacity as guarantor shall be deemed to have been included in addition to the reference to the Substitute Debtor.]

In the case of [In § 7 and § 5(2) an alternative reference to the Federal Republic of Germany shall be deemed to Notes issued by Merck FS insert: have been included in addition to the reference according to the preceding sentence to the country of domicile or residence for taxation purposes of the Substitute Debtor.] Any such substitution, together with the notice referred to in subparagraph (3) below, shall, in the case of the substitution of any other company as principal debtor, operate to release the Issuer as issuer from all of its obligations as principal debtor in respect of the Notes. (3) Notification to Holders. Not later than 15 Payment Business Days after effecting the substitution, the Substitute Debtor shall give notice thereof to the Holders and, if any Notes are listed on any stock exchange, to such stock exchange in accordance with § 12 and to any other person or authority as required by applicable laws or regulations.

§ 11 (FURTHER ISSUES, PURCHASES AND CANCELLATION) (1) Further Issues. The Issuer may from time to time, without the consent of the Holders, issue further Notes having the same terms and conditions as the Notes in all respects (or in all respects

73 except for the settlement date, interest commencement date and/or issue price) so as to form a single Series with the Notes. (2) Purchases. The Issuer may at any time purchase Notes in the open market or otherwise and at any price. Notes purchased by the Issuer may, at the option of the Issuer, be held, resold or surrendered to the Fiscal Agent for cancellation. If purchases are made by tender, tenders for such Notes must be made available to all Holders of such Notes alike. (3) Cancellation. All Notes redeemed in full shall be cancelled forthwith and may not be reissued or resold.

§ 12 (NOTICES)

In the case of [(1) Publication. All notices concerning the Notes will be made by means of electronic publication on Notes which are listed on the the internet website of the Luxembourg Stock Exchange (www.bourse.lu). Any notice will be deemed Luxembourg to have been validly given on the third day following the date of such publication (or, if published more Stock Exchange insert: than once, on the third day following the date of the first such publication). (2) Notification to Clearing System. So long as any Notes are listed on the Luxembourg Stock Exchange, subparagraph (1) shall apply. In the case of notices regarding the Rate of Interest or, if the Rules of the Luxembourg Stock Exchange otherwise so permit, the Issuer may deliver the relevant notice to the Clearing System for communication by the Clearing System to the Holders, in lieu of publication as set forth in subparagraph (1) above; any such notice shall be deemed to have been given on the seventh day after the day on which the said notice was given to the Clearing System.]

In the case of [(1) Notification to Clearing System The Issuer will deliver all notices to the Clearing System for Notes which are unlisted insert: communication by the Clearing System to the Holders. Any such notice shall be deemed to have been given to the Holders on the seventh day after the day on which the said notice was given to the Clearing System.]

In the case of [insert relevant provisions] Notes which are listed on an Stock Exchange other than the § 13 Luxembourg (APPLICABLE LAW, PLACE OF JURISDICTION AND ENFORCEMENT) Stock Exchange insert: (1) Applicable Law. The Notes, as to form and content, and all rights and obligations of the Holders and the Issuer, shall be governed in every respect by German law. (2) Submission to Jurisdiction. The District Court (Landgericht) in Frankfurt am Main shall have non-exclusive jurisdiction for any action or other legal proceedings (³Proceedings´) arising out of or in connection with the Notes. (3) Enforcement. Any Holder of Notes may in any proceedings against the Issuer, [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor] or to which such Holder and the Issuer [in the case of Notes issued by an Issuer other than Merck KGaA insert: or the Guarantor] are parties, protect and enforce in his own name his rights arising under such Notes on the basis of (i) a statement issued by the Custodian with whom such Holder maintains a securities account in respect of the Notes (a) stating the full name and address of the Holder, (b) specifying the aggregate principal amount of Notes credited to such securities account on the date of such statement and (c) confirming that the Custodian has given written notice to the Clearing System containing the information pursuant to (a) and (b) which has been confirmed by the Clearing System; (ii) a copy of the Note in global form certified as being a true copy by a duly authorized officer of the Clearing System or a depositary of the Clearing System, without the need for production in such proceedings of the actual records or the global note representing the Notes or (iii) any other means of proof permitted in legal proceedings in the country of enforcement. For purposes of the foregoing, "Custodian" means any bank or other financial institution of recognized standing authorized to engage in securities custody business with which the Holder maintains a securities account in respect of the Notes and which maintains an account with the Clearing System, and includes the Clearing System.

In the case the § [14] Notes are to provide for RESOLUTIONS OF HOLDERS Resolutions of Holders insert: (1) Pursuant to section 5 et seqq. of the German Act on Issues of Debt Securities (Gesetz über Schuldverschreibungen aus Gesamtemissionen ± SchVG), the Holders may consent to amendments

74 to the Terms and Conditions by majority resolution and [in the case certain matters shall not be subject to majority resolutions of Holders, insert: , subject to § 14 (3) below,] the Holders may agree by majority resolution on all matters permitted by law, provided that no obligation to make any payment or render any other performance shall be imposed on any Holder by majority resolution. (2) Majority resolutions which have been duly resolved shall be binding on all Holders. Resolutions which do not provide for identical conditions for all Holders are void, unless Holders who are disadvantaged have expressly consented to their being treated disadvantageously. [In the case certain matters shall not be subject to majority resolutions of Holders, insert: (3) The following matters shall not be subject to majority resolutions of Holders: [insert matters which shall not be subject to majority resolutions of Holders].] ([4]) Unless otherwise provided for in this § 14([4]) and provided that the quorum requirements set out in [in the case resolutions shall be passed in a Holders' meeting insert: section 15 paragraph 3 SchVG] [in the case resolutions shall be passed by vote without a meeting insert: section 18 paragraph 4 SchVG in connection with section 15 paragraph 3 SchVG] are being met, resolutions shall be passed by a simple majority of the votes cast. Resolutions relating to amendments to the Terms and Conditions which are material, in particular in case of amendments pursuant to section 5 paragraph 3 no. 1 through 9 of the SchVG [in the case certain matters shall not be subject to majority resolutions of Holders or in the case certain matters shall require a higher majority, insert: , unless otherwise provided for in this § 14, ] require a majority of not less than [insert applicable percentage] per cent. (qualified majority) of the votes cast. [In the case certain matters shall require a higher majority, insert: Resolutions on the following matters shall require the majority of not less than [insert applicable percentage] per cent. of the votes cast: [insert matters which shall require a higher majority].] ([5]) Holders shall pass resolutions [in the case resolutions shall be passed in a Holders' meeting insert: by vote taken at a Holders' meeting] [in the case resolutions shall be passed by vote without a meeting insert: by vote taken without a meeting]4. ([6]) Each Holder participating in any vote shall cast votes in accordance with the nominal amount or the notional share of its entitlement to the outstanding Notes. As long as the entitlement to the Notes lies with, or the Notes are held for the account of, the Issuer or any of its affiliates (section 271 paragraph 2 of the German Commercial Code (Handelsgesetzbuch)), the right to vote in respect of such Notes shall be suspended. The Issuer may not transfer Notes, of which the voting rights are so suspended, to another person for the purpose of exercising such voting rights in the place of the Issuer; this shall also apply to any affiliate of the Issuer. No person shall be permitted to exercise such voting right for the purpose stipulated in sentence 3, first half sentence, herein above. No person shall be permitted to offer, promise or grant any benefit or advantage to another person entitled to vote in consideration of such person abstaining from voting or voting in a certain way. A person entitled to vote may not demand, accept or accept the promise of, any benefit, advantage or consideration for abstaining from voting or voting in a certain way.]

In the case no § [15] Holders' Representative HOLDERS' REPRESENTATIVE is designated in the Conditions (1) The Holders may by majority resolution appoint a common representative (the "Holders' but the Holders may appoint a Representative") to exercise the Holders' rights on behalf of each Holder. Holders' Representative (2) The Holders' Representative shall have the duties and powers provided by law or granted by by resolution, insert majority resolution of the Holders. The Holders¶ Representative shall comply with the instructions of the Holders. To the extent that the Holders' Representative has been authorized to assert certain rights of the Holders, the Holders shall not be entitled to assert such rights themselves, unless explicitly provided for in the relevant majority resolution. The Holders' Representative shall provide reports to the Holders on its activities. (3) The Holders' Representative shall be liable for the performance of its duties towards the Holders who shall be joint and several creditors (Gesamtgläubiger); in the performance of its duties it shall act

4 Pursuant to § 5 (6) SchVG, the Terms and Conditions of a given note issue may provide solely for one of the two possibilities mentioned.

75 with the diligence and care of a prudent business manager. The liability of the Holders' Representative may be limited by a resolution passed by the Holders. The Holders shall decide upon the assertion of claims for compensation of the Holders against the Holders' Representative. (4) The Holders' Representative may be removed from office at any time by the Holders without specifying any reasons. (5) The Holders' Representative may demand from the Issuer to furnish all information required for the performance of the duties entrusted to it.

In the case the Holders' § [15] Representative is appointed in HOLDERS' REPRESENTATIVE the Conditions, insert: (1) The common representative (the "Holders' Representative") to exercise the Holders' rights on behalf of each Holder shall be5: >Ɣ] (2) The Holders' Representative shall have the following duties and powers: [If the Holders' Representative is authorized to convene a meeting of Holders or to call for a vote of Holders without a meeting insert: The Holders' Representative shall be authorized, at its discretion, in respect of the matters determined by it [insert one of the following alternatives: [to convene a meeting of Holders] [to call for a vote of Holders without a meeting]] and to preside the [insert one of the following alternatives: [meeting] [the taking of votes]].]6 [If relevant, insert further duties and powers of the Holders' Representative, provided, however, that the Holders' Representative may not to be authorized to waive any rights of the Holders and, in particular, to agree to the measures set out in section 5 paragraph 3 sentence 1 no. 1 through 9 SchVG by a provision of the Terms and Conditions but only by way of resolution of the Holders.] (3) The Holders' Representative shall comply with the instructions of the Holders. To the extent that the Holders' Representative has been authorized to assert certain rights of the Holders, the Holders shall not be entitled to assert such rights themselves, unless explicitly provided so by majority resolution. The Holders' Representative shall provide reports to the Holders with respect to its activities. (4) The Holders' Representative shall be liable for the proper performance of its duties towards the Holders who shall be joint and several creditors (Gesamtgläubiger); in the performance of its duties it shall act with the diligence and care of a prudent business manager. The liability of the Holders' Representative shall be limited to ten times the amount of its annual remuneration, unless the Holders' Representative has acted willfully or with gross negligence. The liability of the Holders' Representative may be further limited by a resolution passed by the Holders. The Holders shall decide upon the assertion of claims for compensation of the Holders against the Holders' Representative. (5) The Holders' Representative may be removed from office at any time by the Holders without specifying any reason. (6) The Holders' Representative may demand from the Issuer to furnish all information required for the performance of the duties entrusted to it.

In the case of Notes issued by § [16] Merck FS which provide for the GUARANTEE [, RESOLUTIONS OF HOLDERS] [, HOLDERS' REPRESENTATIVE] application of § 14 (Resolu- The provisions of [in the case the Terms and Conditions provide for resolutions of Holders tions of Holders) and/or of § [15] insert: § 14] [and] [in the case the Terms and Conditions provide for the appointment of a (Holders' Representative) Holders' Representative insert: § 15] applicable to the Notes shall apply mutatis mutandis to the insert: Guarantee of Merck KGaA.

5 The Holders¶ Representative must satisfy the conditions specified in § 8 (1) SchVG. 6 Pursuant to § 5 subparagraph 6 SchVG the relevant Terms and Conditions of the specific note can only provide one of the two stipulated possibilities.

76 § [17] (LANGUAGE) If the Conditions [These Terms and Conditions are written in the German language and provided with an English shall be in the German language language translation. The German text shall be controlling and binding. The English language with an English language translation is provided for convenience only.] translation insert:

If the Conditions [These Terms and Conditions are written in the English language and provided with German language shall be in the English language translation. The English text shall be controlling and binding. The German language translation is with a German language provided for convenience only.] translation insert:

If the Conditions shall be in the [These Terms and Conditions are written in the German language only.] German language only insert: If the Conditions shall be in the [These Terms and Conditions are written in the English language only.] English language only insert:

In the case of [Eine deutsche Übersetzung der Emissionsbedingungen wird bei der Merck KGaA, Frankfurter Strasse Notes that are publicly offered, in 250, 65293 Darmstadt zur kostenlosen Ausgabe bereitgehalten.] whole or in part, in Germany or distributed, in whole or in part, to non- professional investors in Germany with English language Conditions insert:

77 Falls Schuldver- schreibungen ANNEX ± Rules regarding Resolutions of Holders die Geltung von § 14 (Beschlüs- Bestimmungen betreffend Gläubigerbeschlüsse se der Gläubi- ger), § [15] (Ge- meinsamer Ver- treter der [The provisions of the Annex are set out in Schedule 5 to the Fiscal Agency Agreement. The Gläubiger) und/oder § [16] provisions of the Annex are not replicated in this Prospectus. (Garantie [, Be- schlüsse der Copies of the Fiscal Agency Agreement are available free of charge at the specified office of the Fiscal Gläubiger] [, Ge- meinsamer Ver- Agent. A summary description of the rules regarding resolutions of Holders is set out on page 102 of treter]) vorse- hen, sollte die- the Prospectus under "Description of Rules regarding Resolutions of Holders".] ser Annex den Emissionsbe- dingungen bei- gefügt werden:

78 TERMS AND CONDITIONS OF THE NOTES (GERMAN LANGUAGE VERSION) ± DEUTSCHE FASSUNG DER EMISSIONSBEDINGUNGEN Diese Serie von Schuldverschreibungen wird gemäß einem Amended and Restated Fiscal Agency Agreement vom 16. März 2010 (das ³Fiscal Agency Agreement´) zwischen der Merck KGaA und der Merck Financial Services GmbH (³Merck FS´) (einzeln jeweils die ³Emittentin´ und zusammen die ³Emittentinnen´) und der Deutsche Bank Aktiengesellschaft als Fiscal Agent (der ³Fiscal Agent´, wobei dieser Begriff jeden Nachfolger des Fiscal Agent gemäß dem Fiscal Agency Agreement einschließt) und den anderen darin genannten Parteien begeben. Kopien des Fiscal Agency Agreement können kostenlos bei der bezeichneten Geschäftsstelle des Fiscal Agent und bei den bezeichneten Geschäftsstellen einer jeden Zahlstelle sowie bei der Hauptgeschäftsstelle einer jeden Emittentin bezogen werden. [Im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: Die Schuldverschreibungen sind mit einer unbedingten und unwiderruflichen Garantie der Merck KGaA (die ³Garantin´) versehen.]

Im Falle von [Die Bestimmungen dieser Emissionsbedingungen gelten für diese Schuldverschreibungen so, wie sie nicht- konsolidierten durch die Angaben der beigefügten endgültigen Bestimmungen (die ³Endgültigen Bestimmungen´) Bedingungen vervollständigt, geändert, ergänzt oder ganz oder teilweise ersetzt werden. Die Leerstellen in den auf einfügen: die Schuldverschreibungen anwendbaren Bestimmungen dieser Emissionsbedingungen gelten als durch die in den Endgültigen Bedingungen enthaltenen Angaben ausgefüllt, als ob die Leerstellen in den betreffenden Bestimmungen durch diese Angaben ausgefüllt wären; sofern die Endgültigen Bedingungen die Änderung, Ergänzung oder (vollständige oder teilweise) Ersetzung bestimmter Emissionsbedingungen vorsehen, gelten die betreffenden Bestimmungen der Emissionsbedingungen als entsprechend geändert, ergänzt oder ersetzt; alternative oder wählbare Bestimmungen dieser Emissionsbedingungen, deren Entsprechungen in den Endgültigen Bedingungen nicht ausgefüllt oder die gestrichen sind, gelten als aus diesen Emissionsbedingungen gestrichen; sämtliche auf die Schuldverschreibungen nicht anwendbaren Bestimmungen dieser Emissionsbedingungen (einschließlich der Anweisungen, Anmerkungen und der Texte in eckigen Klammern) gelten als aus diesen Emissionsbedingungen gestrichen, so dass die Bestimmungen der Endgültigen Bedingungen Geltung erhalten. Kopien der Endgültigen Bedingungen sind kostenlos bei der bezeichneten Geschäftsstelle des Fiscal Agent und bei den bezeichneten Geschäftsstellen einer jeden Zahlstelle sowie bei der Hauptgeschäftsstelle jeder Emittentin erhältlich; bei nicht an einer Börse notierten Schuldverschreibungen sind Kopien der betreffenden Endgültigen Bedingungen allerdings ausschließlich für die Gläubiger solcher Schuldverschreibungen erhältlich.]

§ 1 (WÄHRUNG, STÜCKELUNG, FORM, BESTIMMTE DEFINITIONEN)

Im Falle von (1) Währung; Stückelung. Diese Serie von Schuldverschreibungen (die ³Schuldverschreibungen´) Schuldver- schreibungen, der [Emittentin einfügen] (die ³Emittentin´) wird in [Festgelegte Währung einfügen] (die die durch eine ³Festgelegte Währung´) im Gesamtnennbetrag [falls die Globalurkunde eine NGN ist, einfügen: Dauerglobal- urkunde verbrieft (vorbehaltlich § 1(4))] von [Gesamtnennbetrag einfügen] (in Worten: [Gesamtnennbetrag in Worten sind, einfügen: einfügen]) in einer Stückelung von [Festgelegte Stückelung einfügen] (die ³Festgelegte Stückelung´) begeben. (2) Form. Die Schuldverschreibungen lauten auf den Inhaber.

Im Falle von [(3) Dauerglobalurkunde. Die Schuldverschreibungen sind durch eine Dauerglobalurkunde (die Schuldver- schreibungen, ³Dauerglobalurkunde´) ohne Zinsscheine verbrieft. Die Dauerglobalurkunde trägt die eigenhändigen die anfänglich Unterschriften ordnungsgemäß bevollmächtigter Vertreter der Emittentin und ist von dem Fiscal Agent durch eine vorläufige oder in dessen Namen mit einer Kontrollunterschrift versehen. Einzelurkunden und Zinsscheine Globalurkunde verbrieft sind, werden nicht ausgegeben.] einfügen: [(3) Vorläufige Globalurkunde ² Austausch. (a) Die Schuldverschreibungen sind anfänglich durch eine vorläufige Globalurkunde (die ³vorläufige Globalurkunde´) ohne Zinsscheine verbrieft. Die vorläufige Globalurkunde wird gegen Schuldverschreibungen in den Festgelegten Stückelungen, die durch eine Dauerglobalurkunde (die ³Dauerglobalurkunde´) ohne Zinsscheine verbrieft sind, ausgetauscht. [Im Fall von Euroclear und CBL und wenn die Globalurkunde eine NGN ist, einfügen: Die Einzelheiten eines solchen Austausches werden in die Aufzeichnungen der ICSD (wie nachstehend definiert) aufgenommen.] Die vorläufige Globalurkunde und die Dauerglobalurkunde tragen jeweils die eigenhändigen Unterschriften ordnungsgemäß

79 bevollmächtigter Vertreter der Emittentin und sind jeweils von dem Fiscal Agent oder in dessen Namen mit einer Kontrollunterschrift versehen. Einzelurkunden und Zinsscheine werden nicht ausgegeben. (b) Die vorläufige Globalurkunde wird an einem Tag (der ³Austauschtag´) gegen die Dauerglobalurkunde ausgetauscht, der nicht mehr als 180 Tage nach dem Tag der Begebung der Schuldverschreibungen liegt. Der Austauschtag wird nicht weniger als 40 Tage nach dem Tag der Begebung liegen. Ein solcher Austausch darf nur nach Vorlage von Bescheinigungen gegenüber der Emittentin oder gegenüber der Zahlstelle als Vertreterin der Emittentin erfolgen, wonach der oder die wirtschaftlichen Eigentümer der Schuldverschreibungen keine U.S.- Personen sind (ausgenommen bestimmte Finanzinstitute oder bestimmte Personen, die Schuldverschreibungen über solche Finanzinstitute halten). Solange die Schuldverschreibungen durch eine vorläufige Globalurkunde verbrieft sind, werden Zinszahlungen erst nach Vorlage solcher Bescheinigungen vorgenommen. Eine gesonderte Bescheinigung ist für jede solche Zinszahlung erforderlich. Jede Bescheinigung, die am oder nach dem 40. Tag nach dem Tag der Begebung der Schuldverschreibungen eingeht, wird als ein Ersuchen behandelt werden, diese vorläufige Globalurkunde gemäß Absatz (b) dieses § 1(3) auszutauschen. Schuldverschreibungen, die im Austausch für die vorläufige Globalurkunde geliefert werden, dürfen nur außerhalb der Vereinigten Staaten (wie in § 1(7) definiert) geliefert werden. (c) Alle Schuldverschreibungen, die gemäß U.S. Treasury Regulation § 1.163 ± 5(c)(2)(i)(D) (die "TEFRA D Rules") begeben werden, werden den folgenden Hinweistext enthalten: ³ANY UNITED STATES PERSON (AS DEFINED IN THE INTERNAL REVENUE CODE OF THE UNITED STATES OF AMERICA) WHO HOLDS THIS OBLIGATION, DIRECTLY OR INDIRECTLY, WILL BE SUBJECT TO LIMITATIONS UNDER THE UNITED STATES INCOME TAX LAWS, INCLUDING THE LIMITATIONS PROVIDED IN SECTIONS 165(J) AND 1287(A) OF THE INTERNAL REVENUE CODE OF THE UNITED STATES OF AMERICA.´] (4) Clearingsystem. Die Dauerglobalurkunde wird solange von einem oder im Namen eines Clearingsystems verwahrt, bis sämtliche Verbindlichkeiten der Emittentin aus den Schuldverschreibungen erfüllt sind. ³Clearingsystem´ bedeutet [bei mehr als einem Clearingsystem einfügen: jeweils] folgendes: [Clearstream Banking AG, Frankfurt am Main] [Clearstream Banking, société anonyme, Luxemburg (³CBL´)] [Euroclear Bank S.A./ N.V. Brüssel, als Betreiberin des Euroclear Systems (³Euroclear´)] [,] [und] [anderes Clearingsystem angeben] sowie jeder Funktionsnachfolger. [Im Falle von CBL oder Euroclear als Clearingsystem einfügen: ³International Central Securities Depositary´ oder ³ICSD´ bezeichnet jeweils CBL und Euroclear (zusammen die ³ICSDs´)]. [Falls die Globalurkunde eine NGN ist, einfügen: Die Schuldverschreibungen werden in Form einer New Global Note ³NGN´ ausgegeben und von einem Common Safekeeper im Namen beider ICSDs verwahrt.] [Falls die Globalurkunde eine CGN ist, einfügen: Die Schuldverschreibungen werden in Form einer Classical Global Note (³CGN³) ausgegeben und von einer gemeinsamen Verwahrstelle im Namen beider ICSDs verwahrt.] (5) Gläubiger von Schuldverschreibungen. ³Gläubiger´ bedeutet jeder Inhaber eines Miteigentumsanteils oder anderen vergleichbaren Rechts an den Schuldverschreibungen.

Falls die (6) Register der ICSDs: Der Nennbetrag der durch die Globalurkunde verbrieften Globalurkunde eine NGN ist, Schuldverschreibungen entspricht dem jeweils in den Registern beider ICSDs eingetragenen einfügen: Gesamtbetrag. Die Register der ICSDs (unter denen man die Register versteht, die jeder ICSD für seine Kunden über den Betrag ihres Anteils an den Schuldverschreibungen führt) sind schlüssiger Nachweis über den Nennbetrag der durch die [vorläufige Globalurkunde bzw. die] Dauerglobalurkunde verbrieften Schuldverschreibungen und eine zu diesen Zwecken von einem ICSD jeweils ausgestellte Bestätigung mit dem Nennbetrag der so verbrieften Schuldverschreibungen ist zu jedem Zeitpunkt ein schlüssiger Nachweis über den Inhalt des Registers des jeweiligen ICSD. Bei Rückzahlung oder Zahlung einer Rückzahlungsrate oder Zinszahlung bezüglich der durch die Globalurkunde verbrieften Schuldverschreibungen bzw. bei Kauf und Entwertung der durch die Globalurkunde verbrieften Schuldverschreibungen stellt die Emittentin sicher, dass die Einzelheiten über jede Rückzahlung und Zahlung bzw. Kauf und Löschung bezüglich der Globalurkunden pro rata in die Unterlagen der ICSDs eingetragen werden, und nach dieser Eintragung vom Nennbetrag der in

80 die Register der ICSDs aufgenommenen und durch die Globalurkunde verbrieften Schuldschreibungen der Gesamtnennbetrag der zurückgezahlten bzw. gekauften und entwerteten Schuldverschreibungen bzw. der Gesamtbetrag der so gezahlten Raten abgezogen wird. [Falls dir Globalurkunde eine NGN ist, einfügen: Bei Austausch nur eines Teils von Schuldverschreibungen, die durch eine vorläufige Globalurkunde verbrieft sind, wird die Emittentin sicherstellen, dass die Einzelheiten dieses Austauschs pro rata in die Register der ICSDs aufgenommen werden.] (7) Vereinigte Staaten. Für die Zwecke dieser Emissionsbedingungen bezeichnet ³Vereinigte Staaten´ die Vereinigten Staaten von Amerika (einschließlich deren Bundesstaaten und des District of Columbia) sowie deren Territorien (einschließlich Puerto Rico, der U.S. Virgin Islands, Guam, American Samoa, Wake Island und Northern Mariana Islands).

§ 2 (STATUS, NEGATIVVERPFLICHTUNG) [Im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: UND GARANTIE] (1) Status. Die Schuldverschreibungen begründen nicht besicherte und nicht nachrangige Verbindlichkeiten der Emittentin, die untereinander und mit allen anderen nicht besicherten und nicht nachrangigen Verbindlichkeiten der Emittentin gleichrangig sind, soweit diesen Verbindlichkeiten nicht durch zwingende gesetzliche Bestimmungen ein Vorrang eingeräumt wird. (2) Negativverpflichtung. Die Emittentin verpflichtet sich, solange Schuldverschreibungen ausstehen, jedoch nur bis zu dem Zeitpunkt, an dem alle Beträge an Kapital und Zinsen dem Fiscal Agent zur Verfügung gestellt worden sind, keine Grund- oder Mobiliarpfandrechte oder sonstigen dinglichen Sicherungsrechte oder sonstigen Belastungen von gegenwärtigen oder zukünftigen Teilen ihres Vermögens oder ihres Vermögens insgesamt zur Sicherung der gegenwärtigen oder zukünftigen Kapitalmarktverbindlichkeiten (wie nachfolgend definiert) zu bestellen oder fortbestehen zu lassen und keine Garantien oder andere Gewährleistungen für solche Kapitalmarktverbindlichkeiten abzugeben oder fortbestehen zu lassen, ohne jeweils die Gläubiger zur gleichen Zeit und im gleichen Rang an solchen Sicherheiten oder an solchen anderen Sicherheiten, die von einer international anerkannten unabhängigen Wirtschaftsprüfungsgesellschaft als gleichwertige Sicherheit anerkannt werden, teilhaben zu lassen. Im Sinne dieser Emissionsbedingungen bezeichnet "Kapitalmarktverbindlichkeit" jede Verbindlichkeit zur Rückzahlung aufgenommener Geldbeträge, die durch Schuldverschreibungen oder sonstige Wertpapiere mit einer ursprünglichen Laufzeit von mehr als einem Jahr, die an einer Börse oder an einem anderen anerkannten und regulierten Wertpapiermarkt notiert, zugelassen oder gehandelt werden oder notiert, zugelassen oder gehandelt werden können, verbrieft, verkörpert oder dokumentiert ist.

Im Falle von [(3) Garantie und Negativverpflichtung. Schuldver- schreibungen, (a) Merck KGaA hat die unbedingte und unwiderrufliche Garantie (die ³Garantie´) für die die von einer anderen ordnungsgemäße und pünktliche Zahlung von Kapital und Zinsen und allen anderen zu Emittentin als Merck KGaA zahlenden Beträgen unter den Schuldverschreibungen übernommen. Die Garantie stellt einen begeben Vertrag zugunsten der Gläubiger als begünstigte Dritte im Sinne des § 328 Absatz 1 BGB dar, werden, einfügen: der jedem Gläubiger das Recht gibt, Erfüllung der in der Garantie übernommenen Verpflichtungen unmittelbar von der Garantin zu verlangen und diese Verpflichtungen unmittelbar gegen die Garantin durchzusetzen. Kopien der Garantie können kostenlos bei der bezeichneten Geschäftsstelle des Fiscal Agent bezogen werden. (b) Die Garantin hat sich in der Garantie verpflichtet, solange Schuldverschreibungen ausstehen, jedoch nur bis zu dem Zeitpunkt, in dem alle Beträge an Kapital und Zinsen dem Fiscal Agent zur Verfügung gestellt worden sind, keine Grund- oder Mobiliarpfandrechte oder sonstigen dinglichen Sicherungsrechte oder sonstigen Belastungen von gegenwärtigen oder zukünftigen Teilen ihres Vermögens oder ihres Vermögens insgesamt zur Sicherung der gegenwärtigen oder zukünftigen Kapitalmarktverbindlichkeiten (wie in § 2(2) definiert) zu bestellen oder fortbestehen zu lassen und keine Garantien oder andere Gewährleistungen für solche Kapitalmarktverbindlichkeiten abzugeben oder fortbestehen zu lassen, ohne jeweils die Gläubiger zur gleichen Zeit und im gleichen Rang an solchen Sicherheiten oder an solchen

81 anderen Sicherheiten, die von einer international anerkannten unabhängigen Wirtschaftsprüfungsgesellschaft als gleichwertige Sicherheit anerkannt werden, teilhaben zu lassen.]

§ 3 (ZINSEN)

Im Falle von fest [(1) Zinssatz und Zinszahlungstage. Die Schuldverschreibungen werden bezogen auf ihren verzinslichen Schuldver- Nennbetrag verzinst, und zwar vom [Verzinsungsbeginn einfügen] (einschließlich) bis zum schreibungen Fälligkeitstag (wie in § 5(1) definiert) (ausschließlich) mit jährlich [Zinssatz einfügen]%. Die Zinsen einfügen: sind nachträglich am [Festzinszahlungstermin(e) einfügen] eines jeden Jahres zahlbar (jeweils ein ³Zinszahlungstag´). Die erste Zinszahlung erfolgt am [ersten Zinszahlungstag einfügen] [sofern der erste Zinszahlungstag nicht der erste Jahrestag des Verzinsungsbeginns ist, einfügen: und beläuft sich auf [die anfänglichen Bruchteilzinsbeträge je Festgelegte Stückelung einfügen].] [Sofern der Fälligkeitstag kein Festzinstermin ist, einfügen: Die Zinsen für den Zeitraum vom [den letzten dem Fälligkeitstag vorausgehenden Festzinstermin einfügen] (einschließlich) bis zum Fälligkeitstag (ausschließlich) belaufen sich auf [die abschließenden Bruchteilzinsbeträge je Festgelegte Stückelung einfügen].] (2) Berechnung der Zinsen für Zeiträume von weniger als einem Jahr. Sofern Zinsen für einen Zeitraum von weniger als einem Jahr zu berechnen sind, erfolgt [sofern der erste Zinszahlungstag nicht der erste Jahrestag des Verzinsungsbeginns ist und der anfängliche Bruchteilszinsbetrag pro Festgelegte Stückelung in den Endgültigen Bedingungen festgelegt wurde, einfügen: , außer für den ersten Zinszahlungszeitraum,] die Berechnung auf der Grundlage des Zinstagequotienten (wie nachfolgend definiert). [Falls die Festgelegte Währung Euro ist, und falls Actual/Actual (ICMA) anwendbar ist, einfügen: Die Anzahl der Zinszahlungstage im Kalenderjahr (jeweils ein ³Feststellungstermin´) beträgt [Anzahl der regulären Zinszahlungstage im Kalenderjahr einfügen].]] (3) Verzugszinsen. Wenn die Emittentin eine fällige Zahlung auf die Schuldverschreibungen aus irgendeinem Grund nicht leistet, wird der ausstehende Betrag von dem Tag der Fälligkeit (einschließlich) bis zum Tag der vollständigen Zahlung an die Gläubiger (ausschließlich) mit dem gesetzlich bestimmten Verzugszins7 verzinst.

Im Falle von [(1) Zinszahlungstage. variabel verzinslichen (a) Die Schuldverschreibungen werden bezogen auf ihren Nennbetrag ab dem Schuldver- schreibungen [Verzinsungsbeginn einfügen] (der ³Verzinsungsbeginn´) (einschließlich) bis zum ersten einfügen: Zinszahlungstag (ausschließlich) und danach von jedem Zinszahlungstag (einschließlich) bis zum nächstfolgenden Zinszahlungstag (ausschließlich) verzinst. Zinsen auf die Schuldverschreibungen sind an jedem Zinszahlungstag zahlbar. (b) ³Zinszahlungstag´ bedeutet [im Falle von festgelegten Zinszahlungstagen einfügen: jeder [festgelegte Zinszahlungstage einfügen].] [im Falle von festgelegten Zinsperioden einfügen: (soweit diese Emissionsbedingungen keine abweichenden Bestimmungen vorsehen) jeweils der Tag, der [Zahl einfügen] [Wochen] [Monate] [andere festgelegte Zeiträume einfügen] nach dem vorhergehenden Zinszahlungstag, oder im Fall des ersten Zinszahlungstages, nach dem Verzinsungsbeginn liegt.] (c) Fällt ein Zinszahlungstag auf einen Tag, der kein Geschäftstag (wie nachfolgend definiert) ist, so wird der Zinszahlungstag [bei Anwendung der modifizierten folgender Geschäftstag-Konvention einfügen: auf den nächstfolgenden Geschäftstag verschoben, es sei denn, jener würde dadurch in den nächsten Kalendermonat fallen; in diesem Fall wird der Zinszahlungstag auf den unmittelbar vorhergehenden Geschäftstag vorgezogen.]

7 Der gesetzliche Verzugszinssatz beträgt für das Jahr fünf Prozentpunkte über dem von der Deutsche Bundesbank von Zeit zu Zeit veröffentlichten Basiszinssatz, §§ 288 Absatz 1, 247 Absatz 1 BGB.

82 [bei Anwendung der FRN-Konvention einfügen: auf den nächstfolgenden Geschäftstag verschoben, es sei denn, jener würde dadurch in den nächsten Kalendermonat fallen; in diesem Fall (i) wird der Zinszahlungstag auf den unmittelbar vorhergehenden Geschäftstag vorgezogen und (ii) ist jeder nachfolgende Zinszahlungstag der jeweils letzte Geschäftstag des Monats, der [Zahl einfügen] Monate] [andere festgelegte Zeiträume einfügen] nach dem vorhergehenden anwendbaren Zinszahlungstag liegt.] [bei Anwendung der folgender Geschäftstag-Konvention einfügen: auf den nachfolgenden Geschäftstag verschoben.] [bei Anwendung der vorhergegangener Geschäftstag-Konvention einfügen: auf den unmittelbar vorhergehenden Geschäftstag vorgezogen.] (d) In diesem § 3 bezeichnet ³Geschäftstag´ [falls die Festgelegte Währung nicht Euro ist, einfügen: einen Tag (außer einem Samstag oder Sonntag), an dem Geschäftsbanken allgemein für Geschäfte geöffnet sind und Devisenmärkte Zahlungen in [sämtliche relevanten Finanzzentren einfügen] abwickeln] [falls die Festgelegte Währung Euro ist, einfügen: einen Tag (außer einem Samstag oder Sonntag) an dem das Clearingsystem sowie alle betroffenen Bereiche des Trans-European Automated Real-time Gross settlement Express Transfer system (³TARGET2´) betriebsbereit sind, um die betreffende Zahlung abzuwickeln]. (2) Zinssatz. [Bei Bildschirmfeststellung einfügen: Der Zinssatz (der ³Zinssatz´) für jede Zinsperiode (wie nachfolgend definiert) ist, sofern nachfolgend nichts Abweichendes bestimmt wird, der Angebotssatz (ausgedrückt als Prozentsatz per annum) für Einlagen in der Festgelegten Währung für die jeweilige Zinsperiode, der auf der Bildschirmseite am Zinsfestlegungstag (wie nachfolgend definiert) gegen 11.00 Uhr ([Londoner] [Brüsseler] Ortszeit) angezeigt wird [im Falle einer Marge einfügen: [zuzüglich] [abzüglich] der Marge (wie nachfolgend definiert)], wobei alle Festlegungen durch die Berechnungsstelle (wie in § 6 definiert) erfolgen. ³Zinsperiode´ bezeichnet jeweils den Zeitraum vom Verzinsungsbeginn (einschließlich) bis zum ersten Zinszahlungstag (ausschließlich) bzw. von jedem Zinszahlungstag (einschließlich) bis zum jeweils darauffolgenden Zinszahlungstag (ausschließlich). ³Zinsfestlegungstag´ bezeichnet den [falls die Festlegung am ersten Tag der Zinsperiode erfolgt, einfügen: [ersten] [Londoner] [TARGET] [zutreffende andere Bezugnahmen einfügen] Geschäftstag] [falls die Festlegung nicht am ersten Tag der Zinsperiode erfolgt, einfügen: [zweiten] [zutreffende andere Zahl von Tagen einfügen] [Londoner] [TARGET] [zutreffende andere Bezugnahmen einfügen] Geschäftstag vor Beginn] der jeweiligen Zinsperiode. [³[Londoner] [zutreffenden anderen Ort einfügen] Geschäftstag´ bezeichnet einen Tag (außer einem Samstag oder Sonntag), an dem Geschäftsbanken in [London] [zutreffenden anderen Ort einfügen] für Geschäfte (einschließlich Devisen- und Sortengeschäfte) geöffnet sind.] [³TARGET-Geschäftstag´ bezeichnet einen Tag (außer einem Samstag oder Sonntag), an dem das Trans-European Automated Real- time Gross settlement Express Transfer system (³TARGET2´) betriebsbereit ist.] [Im Falle einer Marge einfügen: Die ³Marge´ beträgt [entsprechende Marge einfügen]% per annum.] ³Bildschirmseite´ bedeutet [Bildschirmseite einfügen] oder jede Nachfolgeseite. [Falls der Gebrauch einer anderen Basis zur Bestimmung eines Referenzsatzes vereinbart wird, werden vollständige Einzelheiten dieser Basis in den anwendbaren Endgültigen Bedingungen ausgeführt sein.] Sollte zu der genannten Zeit die maßgebliche Bildschirmseite nicht zur Verfügung stehen oder wird kein Angebotssatz angezeigt, wird die Berechnungsstelle von den Referenzbanken (wie nachfolgend definiert) deren jeweilige Angebotssätze (jeweils als Prozentsatz per annum ausgedrückt) für Einlagen in der Festgelegten Währung für die betreffende Zinsperiode und über einen repräsentativen Betrag gegenüber führenden Banken im [Londoner] [zutreffenden anderen Ort einfügen] Interbanken- Markt [in der Euro-Zone] um ca. 11.00 Uhr ([Brüsseler] [Londoner] Ortszeit) am Zinsfestlegungstag anfordern. Falls zwei oder mehr Referenzbanken der Berechnungsstelle solche Angebotssätze nennen, ist der Zinssatz für die betreffende Zinsperiode das arithmetische Mittel (falls erforderlich, auf- oder abgerundet auf das nächste [falls der Referenzsatz EURIBOR ist, einfügen: ein Tausendstel Prozent, wobei 0,0005] [falls der Referenzsatz nicht EURIBOR ist, einfügen: ein Hunderttausendstel Prozent, wobei 0,000005] [andere anwendbare Rundungsbestimung einfügen] aufgerundet wird) dieser Angebotssätze [im Falle einer Marge einfügen: [zuzüglich] [abzüglich] der Marge], wobei alle Festlegungen durch die Berechnungsstelle erfolgen.

83 Falls an einem Zinsfestlegungstag nur eine oder keine der Referenzbanken der Berechnungsstelle solche im vorstehenden Absatz beschriebenen Angebotssätze nennt, ist der Zinssatz für die betreffende Zinsperiode der Satz per annum, den die Berechnungsstelle als das arithmetische Mittel (falls erforderlich, auf- oder abgerundet auf das nächste ein [falls der Referenzsatz EURIBOR ist, einfügen: ein Tausendstel Prozent, wobei 0,0005] [falls der Referenzsatz nicht EURIBOR ist, einfügen: ein Hunderttausendstel Prozent, wobei 0,000005] [andere anwendbare Rundungsbestimmungen einfügen] aufgerundet wird) der Angebotssätze ermittelt, die von der Berechnungsstelle in angemessener Sorgfalt ausgewählte Großbanken im [Londoner] [zutreffenden anderen Ort einfügen] Interbanken-Markt [in der Euro-Zone] der Berechnungsstelle auf ihre Anfrage als den jeweiligen Satz nennen, zu dem sie um ca. 11.00 Uhr ([Londoner] [Brüsseler] [zutreffenden anderen Ort einfügen] Ortszeit) am betreffenden Zinsfestlegungstag Darlehen in der festgelegten Währung für die betreffende Zinsperiode und über einen repräsentativen Betrag gegenüber führenden Europäischen Banken anbieten [im Falle einer Marge einfügen: [zuzüglich] [abzüglich] der Marge].] "Referenzbanken" bezeichnet [falls in den Endgültigen Bedingungen keine anderen Referenzbanken bestimmt werden, einfügen: vier Großbanken im [Londoner] [zutreffenden anderen Ort einfügen] Interbanken-Markt [in der Euro-Zone.] [Falls in den Endgültigen Bedingungen andere Referenzbanken bestimmt werden, sind sie hier einzufügen]. [Im Fall des Interbankenmarktes in der Euro-Zone einfügen: ³Euro-Zone´ bezeichnet das Gebiet derjenigen Mitgliedstaaten der Europäischen Union, die gemäß dem Vertrag über die Gründung der Europäischen Gemeinschaft (unterzeichnet in Rom am 25. März 1957), geändert durch den Vertrag über die Europäische Union (unterzeichnet in Maastricht am 7. Februar 1992) und den Amsterdamer Vertrag vom 2. Oktober 1997, in seiner jeweiligen Fassung, eine einheitliche Währung eingeführt haben oder jeweils eingeführt haben werden.] [Wenn der Referenzsatz ein anderer als EURIBOR oder LIBOR ist, sind die entsprechenden Einzelheiten anstelle der Bestimmungen dieses Absatzes 2 einzufügen] [Sofern ISDA-Feststellung gelten soll, sind die entsprechenden Bestimmungen einzufügen und die von der International Swap and Derivatives Association, Inc. (³ISDA´) veröffentlichten 2000 ISDA Definitionen oder 2006 ISDA Definitionen diesen Emissionsbedingungen als Anlage beizufügen] [Sofern eine andere Methode der Feststellung/Indexierung anwendbar ist, sind die entsprechenden Einzelheiten anstelle der Bestimmungen dieses Absatzes 2 einzufügen] [Falls ein Mindest- und/oder Höchstzinssatz gilt, einfügen: (3) [Mindest-] [und] [Höchst-] Zinssatz. [Falls ein Mindestzinssatz gilt einfügen: Wenn der gemäß den obigen Bestimmungen für eine Zinsperiode ermittelte Zinssatz niedriger ist als [Mindestzinssatz einfügen], so ist der Zinssatz für diese Zinsperiode [Mindestzinssatz einfügen].] [Falls ein Höchstzinssatz gilt: Wenn der gemäß den obigen Bestimmungen für eine Zinsperiode ermittelte Zinssatz höher ist als [Höchstzinssatz einfügen], so ist der Zinssatz für diese Zinsperiode [Höchstzinssatz einfügen]. [(4)] Zinsbetrag. Die Berechnungsstelle wird zu oder baldmöglichst nach jedem Zeitpunkt, an dem der Zinssatz zu bestimmen ist, den Zinssatz bestimmen und den auf die Schuldverschreibungen zahlbaren Zinsbetrag in Bezug auf jede Festgelegte Stückelung (der ³Zinsbetrag´) für die entsprechende Zinsperiode berechnen. Der Zinsbetrag wird ermittelt, indem der Zinssatz und der Zinstagequotient (wie nachfolgend definiert) auf jede Festgelegte Stückelung angewendet werden, wobei der resultierende Betrag auf die kleinste Einheit der Festgelegten Währung auf- oder abgerundet wird, wobei 0,5 solcher Einheiten aufgerundet werden. [(5)] Mitteilung von Zinssatz und Zinsbetrag. Die Berechnungsstelle wird veranlassen, dass der Zinssatz, der Zinsbetrag für die jeweilige Zinsperiode, die jeweilige Zinsperiode und der betreffende Zinszahlungstag der Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: und der Garantin] sowie den Gläubigern gemäß § 12 baldmöglichst, aber keinesfalls später als am neunten auf die Berechnung jeweils folgenden [Londoner] [TARGET] [zutreffende andere Bezugnahme einfügen] Geschäftstag (wie in § 3(2) definiert) sowie jeder Börse, an der die betreffenden Schuldverschreibungen zu diesem Zeitpunkt notiert sind und deren Regeln eine Mitteilung an die Börse verlangen, baldmöglichst nach der Bestimmung, aber keinesfalls später als am ersten Tag der jeweiligen Zinsperiode mitgeteilt werden. Im Fall einer Verlängerung oder Verkürzung der Zinsperiode können der mitgeteilte

84 Zinsbetrag und Zinszahlungstag ohne Vorankündigung nachträglich geändert (oder andere geeignete Anpassungsregelungen getroffen) werden. Jede solche Änderung wird umgehend allen Börsen, an denen die Schuldverschreibungen zu diesem Zeitpunkt notiert sind, sowie den Gläubigern gemäß § 12 mitgeteilt. [(6)] Verbindlichkeit der Festsetzungen. Alle Bescheinigungen, Mitteilungen, Gutachten, Festsetzungen, Berechnungen, Quotierungen und Entscheidungen, die von der Berechnungsstelle für die Zwecke dieses § 3 gemacht, abgegeben, getroffen oder eingeholt werden, sind (sofern nicht ein offensichtlicher Irrtum vorliegt) für die Emittentin, [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: die Garantin,] den Fiscal Agent, die Zahlstellen und die Gläubiger bindend. [(7)] Verzugszinsen. Wenn die Emittentin eine fällige Zahlung auf die Schuldverschreibungen aus irgendeinem Grund nicht leistet, wird der ausstehende Betrag von dem Tag der Fälligkeit (einschließlich) bis zum Tag der vollständigen Zahlung an die Gläubiger (ausschließlich) mit dem gesetzlich bestimmten Verzugszins8 verzinst.] Im Falle von [(1) Keine periodischen Zinszahlungen. Es erfolgen während der Laufzeit keine periodischen abgezinsten Nullkupon- Zinszahlungen auf die Schuldverschreibungen. Schuldverschrei- bungen (2) Verzugszinsen. Wenn die Emittentin eine fällige Zahlung auf die Schuldverschreibungen aus einfügen: irgendeinem Grund nicht leistet, wird der ausstehende Betrag von dem Tag der Fälligkeit (einschließlich) bis zum Tag der vollständigen Zahlung an die Gläubiger (ausschließlich) mit dem gesetzlich bestimmten Verzugszins verzinst.] [Im Fall von anderen strukturierten variabel verzinslichen Schuldverschreibungen, einschließlich Inverse Floater und Festzins/variabel verzinsliche Schuldverschreibungen, anwendbare Bestimmungen hier einfügen.] [Im Fall von Doppelwährungs-Schuldverschreibungen anwendbare Bestimmungen hier einfügen.] [Im Fall von Teileingezahlten Schuldverschreibungen anwendbare Bestimmungen hier einfügen.] [Im Fall von Raten-Schuldverschreibungen anwendbare Bestimmungen hier einfügen.] [Im Fall von Schuldverschreibungen mit indexabhängiger Verzinsung anwendbare Bestimmungen hier einfügen.] [Im Fall von Credit Linked Interest Notes anwendbare Bestimmungen hier einfügen] [Im Fall von anders strukturierten verzinslichen Schuldverschreibungen anwendbare Bestimmungen hier einfügen.] [ ‡)] Zinstagequotient. ³Zinstagequotient´ bezeichnet im Hinblick auf die Berechnung von Zinsbeträgen auf die Schuldverschreibungen für einen beliebigen Zeitraum (der ³Zinsberechnungszeitraum´): [Im Falle von Actual/365 oder Actual/Actual einfügen: die tatsächliche Anzahl von Tagen im Zinsberechnungszeitraum dividiert durch 365 (oder, falls ein Teil dieses Zinsberechnungszeitraumes in ein Schaltjahr fällt, die Summe aus (A) der tatsächlichen Anzahl der in das Schaltjahr fallenden Tage des Zinsberechnungszeitraumes, dividiert durch 366, und (B) die tatsächliche Anzahl der nicht in das Schaltjahr fallenden Tage des Zinsberechnungszeitraums, dividiert durch 365).]

[Im Falle von festverzinslichen Schuldverschreibungen, falls die Festgelegte Währung Euro ist und Actual/Actual (ICMA) anwendbar ist, einfügen: (i) wenn der Zinsberechnungszeitraum (einschließlich des ersten aber ausschließlich des letzten Tages dieser Periode) kürzer ist als die Feststellungsperiode, in die das Ende des Zinsberechnungszeitraumes fällt oder ihr entspricht, die Anzahl der Tage in dem betreffenden Zinsberechnungszeitraum (einschließlich des ersten aber ausschließlich des letzten Tages dieser Periode) geteilt durch das Produkt (1) der Anzahl der Tage in der Feststellungsperiode

8 Der gesetzliche Verzugszinssatz beträgt für das Jahr fünf Prozentpunkte über dem von der Deutsche Bundesbank von Zeit zu Zeit veröffentlichten Basiszinssatz, §§ 288 Absatz 1, 247 Absatz 1 BGB.

85 und (2) der Anzahl der Feststellungstermine (wie in § 3(2) angegeben) in einem Kalenderjahr; oder (ii) wenn der Zinsberechnungszeitraum (einschließlich des ersten aber ausschließlich des letzten Tages dieser Periode) länger ist als die Feststellungsperiode, in die das Ende des Zinsberechnungszeitraumes fällt, die Summe (A) der Anzahl der Tage in dem Zinsberechnungszeitraum, die in die Feststellungsperiode fallen, in welcher der Zinsberechnungszeitraum beginnt, geteilt durch das Produkt (1) der Anzahl der Tage in dieser Feststellungsperiode (2) der Anzahl der Feststellungstermine (wie in § 3(2) angegeben) in einem Kalenderjahr und (B) der Anzahl der Tage in dem Zinsberechnungszeitraum, die in die nächste Feststellungsperiode fallen, geteilt durch das Produkt (1) der Anzahl der Tage in dieser Feststellungsperiode und (2) der Anzahl der Feststellungstermine (wie in § 3(2) angegeben) in einem Kalenderjahr. ³Feststellungsperiode´ ist die Periode ab einem Feststellungstermin (einschließlich desselben) bis zum nächsten Feststellungstermin (ausschließlich desselben).] [im Falle von Actual/365 (Fixed) einfügen: die tatsächliche Anzahl von Tagen im Zinsberechnungszeitraum, dividiert durch 365.] [im Falle von Actual/360 einfügen: die tatsächliche Anzahl von Tagen im Zinsberechnungszeitraum, dividiert durch 360.] [im Falle von 30/360, 360/360 oder Bond Basis einfügen: die Anzahl von Tagen im Zinsberechnungszeitraum, dividiert durch 360, wobei die Anzahl der Tage auf der Grundlage eines Jahres von 360 Tagen mit zwölf Monaten zu je 30 Tagen zu ermitteln ist (es sei denn, (A) der letzte Tag des Zinsberechnungszeitraums fällt auf den 31. Tag eines Monates, während der erste Tag des Zinsberechnungszeitraumes weder auf den 30. noch auf den 31. Tag eines Monats fällt, in welchem Fall der diesen Tag enthaltende Monat nicht als ein auf 30 Tage gekürzter Monat zu behandeln ist, oder (B) der letzte Tag des Zinsberechnungszeitraumes fällt auf den letzten Tag des Monats Februar, in welchem Fall der Monat Februar nicht als ein auf 30 Tage verlängerter Monat zu behandeln ist).] [im Falle von 30E/360 oder Eurobond Basis einfügen: die Anzahl der Tage im Zinsberechnungszeitraum, dividiert durch 360 (dabei ist die Anzahl der Tage auf der Grundlage eines Jahres von 360 Tagen mit zwölf Monaten zu 30 Tagen zu ermitteln, und zwar ohne Berücksichtigung des Datums des ersten oder letzten Tages des Zinsberechnungszeitraumes, es sei denn, dass im Falle einer am Fälligkeitstag endenden Zinsperiode der Fälligkeitstag der letzte Tag des Monats Februar ist, in welchem Fall der Monat Februar als nicht auf einen Monat zu 30 Tagen verlängert gilt).] [andere anwendbare Vorschrift einfügen:]

§ 4 (ZAHLUNGEN) (1) [(a)] Zahlungen auf Kapital. Zahlungen von Kapital auf die Schuldverschreibungen erfolgen nach Maßgabe des nachstehenden Absatzes 2 an das Clearingsystem oder dessen Order zur Gutschrift auf den Konten der jeweiligen Kontoinhaber des Clearingsystems.

Im Falle von [(b) Zahlung von Zinsen. Die Zahlung von Zinsen auf Schuldverschreibungen erfolgt nach Schuldver- schreibungen, Maßgabe von Absatz 2 an das Clearingsystem oder dessen Order zur Gutschrift auf den Konten der die keine jeweiligen Kontoinhaber des Clearingsystems. Nullkupon- Schuld- verschreibungen [Im Falle von Zinszahlungen auf eine vorläufige Globalurkunde einfügen: Die Zahlung von sind, einfügen: Zinsen auf Schuldverschreibungen, die durch die vorläufige Globalurkunde verbrieft sind, erfolgt nach Maßgabe von Absatz 2 an das Clearingsystem oder dessen Order zur Gutschrift auf den Konten der jeweiligen Kontoinhaber des Clearingsystems, und zwar nach ordnungsgemäßer Bescheinigung gemäß § 1(3)(b).] (2) Zahlungsweise. Vorbehaltlich geltender steuerlicher und sonstiger gesetzlicher Regelungen und Vorschriften erfolgen zu leistende Zahlungen auf die Schuldverschreibungen in [Festgelegte Währung einfügen] [bei Doppelwährungsanleihen entsprechende Währungen/Wechselkursformeln einfügen]. Die Zahlung von Kapital und Zinsen auf die Schuldverschreibungen soll weder auf ein Konto innerhalb der Vereinigten Staaten überwiesen werden noch an eine Adresse innerhalb der Vereinigten Staaten gesendet werden.

86 (3) Erfüllung. Die Emittentin [Im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: bzw. die Garantin] wird durch Leistung der Zahlung an das Clearingsystem oder dessen Order von ihrer Zahlungspflicht befreit. (4) Zahltag. Fällt der Fälligkeitstag einer Zahlung in Bezug auf eine Schuldverschreibung auf einen Tag, der kein Zahltag ist, dann hat der Gläubiger keinen Anspruch auf Zahlung vor dem nächsten Zahltag am jeweiligen Geschäftsort. Der Gläubiger ist nicht berechtigt, weitere Zinsen oder sonstige Zahlungen aufgrund dieser Verspätung zu verlangen. Für diese Zwecke bezeichnet ³Zahltag´ einen Tag, [bei nicht auf Euro lautenden Schuldverschreibungen, einfügen: der ein Tag (außer einem Samstag oder Sonntag) ist, an dem Geschäftsbanken und Devisenmärkte Zahlungen in [sämtliche relevanten Finanzzentren angeben] abwickeln] [bei auf Euro lautenden Schuldverschreibungen, einfügen: der ein Tag (außer einem Samstag oder Sonntag) ist, an dem das Clearingsystem sowie alle betroffenen Bereiche des Trans- European Automated Real-time Gross settlement Express Transfer system (³TARGET2´) betriebsbereit sind, um die betreffenden Zahlungen weiterzuleiten.] (5) Bezugnahmen auf Kapital und Zinsen. Bezugnahmen in diesen Emissionsbedingungen auf Kapital der Schuldverschreibungen schließen, soweit anwendbar, die folgenden Beträge ein: den Rückzahlungsbetrag der Schuldverschreibungen; den vorzeitigen Rückzahlungsbetrag der Schuldverschreibungen; [falls die Emittentin das Wahlrecht hat, die Schuldverschreibungen aus anderen als steuerlichen Gründen oder aufgrund eines geringfügig ausstehendem Nennbetrag vorzeitig zurückzuzahlen, einfügen: den Wahl-Rückzahlungsbetrag (Call) der Schuldverschreibungen;] [falls der Gläubiger ein Wahlrecht hat, die Schuldverschreibungen, außer bei Vorliegen eines Kontrollwechsels, vorzeitig zu kündigen, einfügen: den Wahl- Rückzahlungsbetrag (Put) der Schuldverschreibungen;] [im Fall von Raten-Schuldverschreibungen einfügen: die auf die Schuldverschreibungen anwendbare(n) Rate(n)] sowie jeden Aufschlag sowie sonstige auf oder in bezug auf die Schuldverschreibungen zahlbaren Beträge. Bezugnahmen in diesen Emissionsbedingungen auf Zinsen auf die Schuldverschreibungen sollen, soweit anwendbar, sämtliche gemäß § 7 zahlbaren zusätzlichen Beträge einschließen. (6) Hinterlegung von Kapital und Zinsen. Die Emittentin [Im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: bzw. die Garantin] ist berechtigt, beim Amtsgericht Darmstadt Zins- oder Kapitalbeträge zu hinterlegen, die von den Gläubigern nicht innerhalb von zwölf Monaten nach dem Fälligkeitstag beansprucht worden sind, auch wenn die Gläubiger sich nicht in Annahmeverzug befinden. Soweit eine solche Hinterlegung erfolgt, und auf das Recht der Rücknahme verzichtet wird, erlöschen die diesbezüglichen Ansprüche der Gläubiger gegen die Emittentin.

§ 5 (RÜCKZAHLUNG) (1) Rückzahlung bei Endfälligkeit. Soweit nicht zuvor bereits ganz oder teilweise zurückgezahlt oder angekauft und entwertet, werden die Schuldverschreibungen zu ihrem Rückzahlungsbetrag am [im Falle eines festgelegten Fälligkeitstages, Fälligkeitstag einfügen] [im Falle eines Rückzahlungsmonats einfügen: in den [Rückzahlungsmonat und -jahr einfügen] fallenden Zinszahlungstag] (der ³Fälligkeitstag´) zurückgezahlt. Der Rückzahlungsbetrag entspricht [falls die Schuldverschreibungen zu ihrem Nennbetrag zurückgezahlt werden einfügen: dem Nennbetrag der Schuldverschreibungen] [ansonsten den Rückzahlungsbetrag für die jeweilige Festgelegte Stückelung/den Index und/oder die Formel, auf dessen/deren Grundlage der Rückzahlungsbetrag zu berechnen ist, einfügen]. [Im Fall von Raten-Schuldverschreibungen einfügen: Soweit nicht zuvor bereits ganz oder teilweise zurückgezahlt oder angekauft und entwertet, werden die Schuldverschreibungen an dem/den nachstehenden Ratenzahlungstermin(en) zu der/den folgenden Rate(n) zurückgezahlt: Ratenzahlungstermin(e) Rate(n) [Ratenzahlungstermin(e) einfügen] [Rate(n) einfügen] [ ] [ ] [ ] [ ]] (2) Vorzeitige Rückzahlung aus steuerlichen Gründen. Die Schuldverschreibungen können insgesamt, jedoch nicht teilweise, nach Wahl der Emittentin mit einer Kündigungsfrist von nicht weniger als 30 und nicht mehr als 60 Tagen durch Erklärung gegenüber dem Fiscal Agent und gemäß § 12 gegenüber den Gläubigern vorzeitig gekündigt und zu ihrem vorzeitigen Rückzahlungsbetrag

87 (wie nachfolgend definiert) zuzüglich bis zum für die Rückzahlung festgesetzten Tag aufgelaufener Zinsen zurückgezahlt werden, falls die Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin] als Folge einer Änderung oder Ergänzung der Steuer- oder Abgabengesetze und -vorschriften der Bundesrepublik Deutschland oder deren politischen Untergliederungen oder Steuerbehörden oder als Folge einer Änderung oder Ergänzung der Anwendung oder der offiziellen Auslegung dieser Gesetze und Vorschriften (vorausgesetzt, diese Änderung oder Ergänzung wird am oder nach dem Tag, an dem die letzte Tranche dieser Serie von Schuldverschreibungen begeben wird, wirksam) [im Falle von Schuldverschreibungen, die nicht Nullkupon- Schuldverschreibungen sind, einfügen: am nächstfolgenden Zinszahlungstag (wie in § 3(1) definiert)] [im Falle von Nullkupon- Schuldverschreibungen einfügen: bei Fälligkeit oder im Fall des Kauf oder Tauschs einer Schuldverschreibung] zur Zahlung von zusätzlichen Beträgen (wie in § 7 dieser Bedingungen definiert) verpflichtet sein wird und diese Verpflichtung nicht durch das Ergreifen zumutbarer, der Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder der Garantin] zur Verfügung stehender Maßnahmen vermieden werden kann. Eine solche Kündigung darf allerdings nicht (i) früher als 90 Tage vor dem frühestmöglichen Termin erfolgen, an dem die Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin] verpflichtet wäre, solche zusätzlichen Beträge zu zahlen, falls eine Zahlung auf die Schuldverschreibungen dann fällig sein würde, oder (ii) erfolgen, wenn zu dem Zeitpunkt, zu dem die Kündigung erklärt wird, die Verpflichtung zur Zahlung von zusätzlichen Beträgen nicht mehr wirksam ist. [Bei variabel verzinslichen Schuldverschreibungen einfügen: Der für die Rückzahlung festgelegte Termin muss ein Zinszahlungstag sein.] Eine solche Kündigung hat gemäß § 12 zu erfolgen. Sie ist unwiderruflich, muss den für die Rückzahlung festgelegten Termin nennen und eine zusammenfassende Erklärung enthalten, welche die das Rückzahlungsrecht der Emittentin begründenden Umständen darlegt. Vor Bekanntgabe einer Mitteilung über eine Rückzahlung gemäß diesen Bestimmungen hat die Emittentin dem Fiscal Agent eine von einem Mitglied der Geschäftsleitung der Emittentin unterzeichnete Bescheinigung zukommen zu lassen, der zufolge die Emittentin berechtigt ist, eine entsprechende Rückzahlung zu leisten, und in der nachvollziehbar dargelegt ist, dass die Bedingungen für das Recht der Emittentin zur Rückzahlung gemäß diesen Bestimmungen erfüllt sind; zusätzlich hat die Emittentin ein von unabhängigen und anerkannten Rechts- oder Steuerberatern erstelltes Gutachten vorzulegen, demzufolge die Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin] in Folge einer entsprechenden Änderung oder Ergänzung zur Zahlung zusätzlicher Beträge verpflichtet ist oder sein wird.

Falls der (3) Vorzeitige Rückzahlung nach Wahl der Gläubiger bei Vorliegen eines Kontrollwechsels. Gläubiger ein Wahlrecht ha, (a) Ein Rückzahlungsereignis gilt als eingetreten, wenn eine Person oder mehrere Personen, die die Schuldver- schreibungen abgestimmt handeln, oder einer oder mehrere Dritte, die im Auftrag einer solchen Person oder bei Vorliegen eines solcher Personen handeln, zu irgendeiner Zeit mittelbar oder unmittelbar (unabhängig davon, Kontrollwechsel ob die persönlich haftenden Gesellschafter oder der Aufsichtsrat der [im Falle von vorzeitig zu kündigen, Schuldverschreibungen, die von Merck KGaA begeben werden, einfügen: Emittentin] [im einfügen: Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: Garantin] ihre bzw. seine Zustimmung erteilt hat bzw. haben) (i) mehr als 50 % der Komplementäranteile der persönlich haftenden Gesellschafter (insgesamt mindestens 50% des Kapitalanteils der persönlich haftenden Gesellschafter) der [im Falle von Schuldverschreibungen, die von Merck KGaA begeben werden, einfügen: Emittentin] [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: Garantin] und (ii) mehr als 50 % des Grundkapitals der [im Falle von Schuldverschreibungen, die von Merck KGaA begeben werden, einfügen: Emittentin] [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: Garantin] erwirbt (erwerben) (ein "Kontrollwechsel"); und die Schuldverschreibungen bei Eintritt des Kontrollwechsels über ein (mit Zustimmung der Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder Garantin] erteiltes) Rating von Moody¶s Investors Service, Inc. ("Moody¶s") oder Standard & Poor¶s Rating Services, eine Abteilung von The McGraw-Hill Companies Inc. ("S&P") oder einer jeweiligen Nachfolgegesellschaft (jeweils

88 eine "Rating Agentur") verfügen, entsprechend: (x) einem Investment Grade Rating (Baa3/BBB- oder gleichwertig oder besser) und dieses Rating von einer Rating Agentur innerhalb von 120 Tagen nach dem Kontrollwechsel zu einem non-investment Grade Rating (Ba1/BB+ oder gleichwertig oder schlechter) abgesenkt oder das Rating zurückgezogen wurde und nicht innerhalb dieser 120-Tagesperiode anschließend (im Falle einer Absenkung) durch diese Rating Agentur wieder auf ein Investment Grade Rating angehoben oder (im Falle einer Zurückziehung) durch das Investment Grade Rating einer anderen Rating Agentur ersetzt wurde; oder (y) einem non-investment Grade Rating (Ba1/BB+ oder gleichwertig oder schlechter) und dieses Rating durch irgendeine Rating Agentur innerhalb von 120 Tagen nach Kontrollwechsel um einen oder mehrere Punkte (zur Erläuterung: Ba1 nach Ba2 entspricht einem Punkt) abgesenkt und nicht innerhalb dieser 120-Tagesperiode anschließend wieder auf das ursprüngliche oder ein besseres Kreditrating durch diese Ratingagentur angehoben wurde, wobei falls die Schuldverschreibungen zum Zeitpunkt des Eintritts des Kontrollwechsels über ein Rating von mehr als einer Rating Agentur verfügen, von denen mindestens eines ein Investment Grade Rating ist, Absatz (x) Anwendung findet; und im Zusammenhang mit einer der oben genannten Entscheidungen hat die betreffende Rating Agentur öffentlich bekannt gemacht oder gegenüber der Emittentin schriftlich bestätigt, dass diese Entscheidung ganz oder teilweise auf den Kontrollwechsel zurückzuführen ist. (b) Wenn ein Rückzahlungsereignis eintritt, hat jeder Gläubiger das Recht, von der Emittentin die Rückzahlung oder, nach Wahl der Emittentin, den Ankauf seiner Schuldverschreibungen durch die Emittentin (oder auf ihre Veranlassung durch einen Dritten) zum Nennbetrag zuzüglich bis zum Rückzahlungstag (ausschließlich) aufgelaufener Zinsen zu verlangen. Diese Option ist wie nachstehend beschrieben auszuüben. (c) Wenn ein Kontrollwechsel eintritt, wird die Emittentin innerhalb von 20 Zahltagen nach Ablauf der in (a)(x) oder (y) genannten 120 Tage-Frist den Gläubigern Mitteilung vom Rückzahlungsereignis gemäß § 12 machen (eine "Rückzahlungsmitteilung"), in der die Umstände des Rückzahlungsereignisses sowie das Verfahren für die Ausübung der in diesem § 5(3) genannten Option angegeben sind. (d) Zur Ausübung der Rückzahlungs- bzw. Ankaufsoption für eine Schuldverschreibung nach Maßgabe dieses § 5(3) muss der Gläubiger seine Schuldverschreibung(en) an einem Zahltag innerhalb eines Zeitraums (der "Rückzahlungszeitraum") von 30 Tagen, nachdem die Rückzahlungsmitteilung veröffentlicht wurde, bei dem Fiscal Agent unter Beifügung einer ordnungsgemäß ausgefüllten und unterzeichnenden Ausübungserklärung einreichen, die in ihrer jeweils maßgeblichen Form bei dem Fiscal Agent erhältlich ist (die "Ausübungserklärung"). Die Zahlstelle, der die Schuldverschreibung(en) und die Ausübungserklärung übermittelt werden, wird dem Gläubiger eine nichtübertragbare Quittung für die Schuldverschreibung übergeben. Die Emittentin wird nach ihrer Wahl die maßgebliche(n) Schuldverschreibung(en) 7 Tage nach Ablauf des Rückzahlungszeitraums (der "Rückzahlungstag") zurückzahlen oder erwerben (bzw. erwerben lassen), soweit sie nicht bereits vorher zurückgezahlt oder erworben und entwertet wurde(n). Die Zahlung in bezug auf solchermaßen eingereichte Schuldverschreibung(en) erfolgt entweder am Rückzahlungstag auf ein Bankkonto des Gläubigers, falls der Gläubiger ein solches Konto in der Ausübungserklärung ordnungsgemäß bezeichnet hat, bzw. in anderen Fällen am oder nach dem Rückzahlungstag gegen Vorlage und Aushändigung der Quittung bei der Zahlstelle. Eine einmal gegebene Ausübungserklärung ist unwiderruflich. (e) Falls sich die von Moody¶s oder S&P verwendeten Rating Kategorien gegenüber denen, die in Absatz (a) angegeben wurden, ändern sollten, wird die Emittentin diejenigen Rating Kategorien von Moody¶s oder S&P bestimmen, die den früheren Rating Kategorien von Moody¶s oder S&P möglichst nahe kommen; Absatz (a) ist dann entsprechend auszulegen.

Falls die [(4) Vorzeitige Rückzahlung nach Wahl der Emittentin. Emittentin das Wahlrecht hat, (a) Die Emittentin kann, nachdem sie gemäß Absatz (b) gekündigt hat, die Schuldverschreibungen die Schuldver- schreibungen insgesamt oder teilweise am/an den Wahl-Rückzahlungstag(en) (Call) zum/zu den Wahl- vorzeitig zurück- Rückzahlungsbetrag/beträgen (Call), wie nachfolgend angegeben, nebst etwaigen bis zum zuzahlen, einfügen: Wahl- Rückzahlungstag (Call) (ausschließlich) aufgelaufenen Zinsen zurückzahlen. [Bei Geltung eines Mindestrückzahlungsbetrages oder eines erhöhten Rückzahlungsbetrages einfügen: Eine solche Rückzahlung muss in Höhe eines Nennbetrages von [mindestens [Mindestrückzahlungsbetrag einfügen]] [erhöhter Rückzahlungsbetrag] erfolgen.]

89 Wahl-Rückzahlungstag(e) (Call) Wahl-Rückzahlungsbetrag/beträge (Call) [Wahl-Rückzahlungstag(e) einfügen] [Wahl-Rückzahlungsbetrag/beträge oder Formel zur Berechnung des/der Wahl- Rückzahlungsbetrags/beträge einfügen] [ ] [ ] [ ] [ ] [Falls der Gläubiger ein Wahlrecht hat, die Schuldverschreibungen vorzeitig zu kündigen, einfügen: Der Emittentin steht dieses Wahlrecht nicht in Bezug auf eine Schuldverschreibung zu, deren Rückzahlung bereits der Gläubiger in Ausübung seines Wahlrechts nach [Absatz 5] dieses § 5 verlangt hat.] (b) Die Kündigung ist den Gläubigern der Schuldverschreibungen durch die Emittentin gemäß § 12 bekanntzugeben. Sie muss die folgenden Angaben enthalten: (i) die zurückzuzahlende Serie von Schuldverschreibungen; (ii) eine Erklärung, ob diese Serie ganz oder teilweise zurückgezahlt wird und im letzteren Fall den Gesamtnennbetrag der zurückzuzahlenden Schuldverschreibungen; (iii) den Wahl-Rückzahlungstag (Call), der nicht weniger als [Mindestkündigungsfrist einfügen] und nicht mehr als [Höchstkündigungsfrist einfügen] Tage nach dem Tag der Kündigung durch die Emittentin gegenüber den Gläubigern liegen darf; und (iv) den Wahl-Rückzahlungsbetrag (Call), zu dem die Schuldverschreibungen zurückgezahlt werden. (c) Wenn die Schuldverschreibungen nur teilweise zurückgezahlt werden, werden die zurückzuzahlenden Schuldverschreibungen in Übereinstimmung mit den Regeln des betreffenden Clearingsystems ausgewählt.] [Falls die Globalurkunde eine NGN ist, einfügen: Für das technische Verfahren der ICSDs wird im Fall einer teilweisen Rückzahlung der entstehende Rückzahlungsbetrag entweder als reduzierter Nennbetrag oder als Poolfaktor nach Ermessen der ICSDs in das Register der ICSDs aufgenommen.]

Falls der [[(5)] Vorzeitige Rückzahlung nach Wahl des Gläubigers. Gläubiger ein Wahlrecht hat, (a) Die Emittentin hat eine Schuldverschreibung nach Ausübung des entsprechenden Wahlrechts die Schuldver- schreibungen durch den Gläubiger am/an den Wahl-Rückzahlungstag(en) (Put) zum/zu den Wahl- vorzeitig zu Rückzahlungsbetrag/ beträgen (Put), wie nachfolgend angegeben nebst etwaigen bis zum kündigen, einfügen: Wahl-Rückzahlungstag (Put) (ausschließlich) aufgelaufener Zinsen zurückzuzahlen. Wahl-Rückzahlungstag(e) (Put) Wahl-Rückzahlungsbetrag/beträge(s) [Wahl- Rückzahlungstag(e) einfügen] (Put) [Wahl-Rückzahlungsbetrag/beträge oder Formel zur Berechnung des/der Wahl- Rückzahlungsbetrags/beträge einfügen]

[ ] [ ] [ ] [ ] Dem Gläubiger steht dieses Wahlrecht nicht in Bezug auf eine Schuldverschreibung zu, deren Rückzahlung die Emittentin zuvor in Ausübung eines ihrer Wahlrechte nach diesem § 5 verlangt hat. (b) Um dieses Wahlrecht auszuüben, hat der Gläubiger nicht weniger als [Mindestkündigungsfrist einfügen] und nicht mehr als [Höchstkündigungsfrist einfügen] Tage vor dem Wahl-Rückzahlungstag (Put), an dem die Rückzahlung gemäß der Rückzahlungs-Ausübungserklärung (wie nachfolgend definiert) erfolgen soll, bei der bezeichneten Geschäftsstelle des Fiscal Agent während der normalen Geschäftszeiten eine ordnungsgemäß ausgefüllte Mitteilung zur vorzeitigen Rückzahlung (die ³Rückzahlungs- Ausübungserklärung´), wie sie bei den bezeichneten Geschäftsstellen des Fiscal Agent und der Zahlstelle erhältlich ist, zu hinterlegen. Die Rückzahlungs-Ausübungserklärung hat anzugeben: (i) den Nennbetrag der Schuldverschreibungen, für die das Wahlrecht ausgeübt wird und (ii) die Wertpapier-Kenn-Nummer dieser Schuldverschreibungen (soweit vergeben). Die Ausübung des Wahlrechts kann nicht widerrufen werden. Die Rückzahlung der Schuldverschreibungen, für welche das Wahlrecht ausgeübt worden ist, erfolgt nur gegen Lieferung der Schuldverschreibungen an die Emittentin oder deren Order.] [(6)] Vorzeitige Rückzahlung nach Wahl der Emittentin bei geringfügig ausstehendem Nennbetrag.

90 Wenn 80 % oder mehr des Nennbetrags der dann ausstehenden Schuldverschreibungen nach diesem § 5 durch die Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: , die Garantin] oder eine direkte oder mittelbare Tochtergesellschaft [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: der Garantin] zurückgezahlt oder zurückerworben wurde, ist die Emittentin berechtigt, nach vorheriger Bekanntmachung, die innerhalb von 30 Tagen nach dem Rückzahlungstag erfolgen muss, gegenüber den Gläubigern mit einer Frist von mindestens 30 und höchstens 60 Tagen nach ihrer Wahl alle ausstehenden Schuldverschreibungen zum Nennbetrag zuzüglich bis zum Rückzahlungstag (ausschließlich) aufgelaufener Zinsen zurück zu zahlen.]

Im Falle von [[(7)] Vorzeitiger Rückzahlungsbetrag. Schuldver- schreibungen Für die Zwecke des Absatzes [Absätze] 2 [,] [und] [3] [und] [6] dieses § 5 und des § 9, entspricht der (außer Nullkupon- vorzeitige Rückzahlungsbetrag einer Schuldverschreibung dem Rückzahlungsbetrag.] Schuldver- schreibungen) [Für die Zwecke des Absatzes [Absätze] [3] [und] [6] dieses § 5 entspricht der vorzeitige einfügen: Rückzahlungsbetrag einer Schuldverschreibung dem abgezinsten Marktwert der Schuldverschreibung. Der abgezinste Marktwert der Schuldverschreibung wird von der Berechnungsstelle errechnet, indem der Nennbetrag der Schuldverschreibungen und bis zum [Fälligkeitstag einfügen] verbleibende Zinszahlungen auf jährlicher Basis, unter Zugrundelegung eines Jahres mit 365 bzw. 366 Tagen und der Zahl der tatsächlich in dem Jahr verstrichenen Tage und der Vergleichbaren Benchmark Rendite zuzüglich [Abzinsungssatz einfügen]%, abgezinst werden. Die Vergleichbare Benchmark Rendite entspricht der am Rückzahlungs-Berechnungstag bestehenden Rendite der korrespondierenden Euro-Referenz-Anleihe des Bundes mit einer mit der verbleibenden Laufzeit der Schuldverschreibungen bis zum [Fälligkeitstag einfügen] vergleichbaren Laufzeit. Dabei handelt es sich um die Rendite der jeweiligen korrespondierenden Euro-Referenz-Anleihe des Bundes, die im Zeitpunkt der Auswahlentscheidung und entsprechend der üblichen Finanzmarktpraxis zur Preisbestimmung bei Neuemissionen von Unternehmensanleihen mit einer mit dem Zeitraum bis zum [Fälligkeitstag einfügen] vergleichbaren Laufzeit verwendet würde. ³Rückzahlungs- Berechnungstag³ ist der dritte Zahltag vor dem Tag, an dem die Schuldverschreibungen infolge eines der in diesem § 5 genannten Ereignisse zurückgezahlt werden.]

Im Falle von [[(7)] Vorzeitiger Rückzahlungsbetrag. Nullkupon- Schuldver- (a) Für die Zwecke des Absatzes [Absätze] 2 [,] [und] [3] [und] [6] dieses § 5 und des § 9, schreibungen einfügen: entspricht der vorzeitige Rückzahlungsbetrag einer Schuldverschreibung der Summe aus: (i) [Referenzpreis einfügen] (der ³Referenzpreis´), und (ii) dem Produkt aus [Emissionsrendite in Prozent einfügen] (die ³Emissionsrendite´) und dem Referenzpreis ab dem [Tag der Begebung einfügen] (einschließlich) bis zu dem vorgesehenen Rückzahlungstag (ausschließlich) oder (je nachdem) dem Tag, an dem die Schuldverschreibungen fällig und rückzahlbar werden, wobei die Emissionsrendite jährlich kapitalisiert wird. Wenn diese Berechnung für einen Zeitraum, der nicht vollen Jahren entspricht, durchzuführen ist, hat sie im Fall des nicht vollständigen Jahres (der ³Zinsberechnungszeitraum´) auf der Grundlage des Zinstagequotienten (wie vorstehend in § 3 definiert) zu erfolgen. (b) Falls die Emittentin den vorzeitigen Rückzahlungsbetrag bei Fälligkeit nicht zahlt, wird er wie vorstehend beschrieben berechnet, jedoch mit der Maßgabe, dass die Bezugnahmen in Unterabsatz (a)(ii) auf den für die Rückzahlung vorgesehenen Rückzahlungstag oder den Tag, an dem diese Schuldverschreibungen fällig und rückzahlbar werden, durch den Tag ersetzt werden, an dem die Rückzahlung erfolgt.] [(c) Für die Zwecke des Absatzes [Absätze] [3] [und] [6] dieses § 5 entspricht der vorzeitige Rückzahlungsbetrag einer Schuldverschreibung dem abgezinsten Marktwert der Schuldverschreibung. Der abgezinste Marktwert der Schuldverschreibung wird von der Berechnungsstelle errechnet, indem der Nennbetrag der Schuldverschreibungen unter Zugrundelegung der Vergleichbaren Benchmark Rendite zuzüglich [Abzinsungssatz einfügen]%, abgezinst wird. Die Vergleichbare Benchmark Rendite entspricht der am Rückzahlungs-Berechnungstag bestehenden Rendite der korrespondierenden Euro-Referenz- Anleihe des Bundes mit einer mit der verbleibenden Laufzeit der Schuldverschreibungen bis zum [Fälligkeitstag einfügen] vergleichbaren Laufzeit. Dabei handelt es sich um die Rendite der jeweiligen korrespondierenden Euro-Referenz-Anleihe des Bundes, die im Zeitpunkt der Auswahlentscheidung und entsprechend der üblichen Finanzmarktpraxis zur

91 Preisbestimmung bei Neuemissionen von Unternehmensanleihen mit einer mit dem Zeitraum bis zum [Fälligkeitstag einfügen] vergleichbaren Laufzeit verwendet würde. Rückzahlungs-Berechnungstag ist der dritte Zahltag vor dem Tag, an dem die Schuldverschreibungen infolge eines der in diesem § 5 genannten Ereignisse zurückgezahlt werden.] [Im Fall von Doppelwährungs-Schuldverschreibungen anwendbare Bestimmungen hier einfügen.] [Im Fall von Teileingezahlten Schuldverschreibungen anwendbare Bestimmungen hier einfügen.] [Im Fall von Raten-Schuldverschreibungen anwendbare Bestimmungen hier einfügen.] [Im Fall von Schuldverschreibungen mit indexabhängiger Rückzahlung anwendbare Bestimmungen hier einfügen.] [Im Fall von Credit Linked Redemption Notes anwendbare Bestimmungen hier einfügen] [Im Fall von Schuldverschreibungen mit anders strukturierter Rückzahlung anwendbare Bestimmungen hier einfügen.]

§ 6 (DER FISCAL AGENT [, ] [UND] DIE ZAHLSTELLE[N] [UND DIE BERECHNUNGSSTELLE]) (1) Bestellung; bezeichnete Geschäftsstelle. Der anfänglich bestellte Fiscal Agent [und] [,] die anfänglich bestellte[n] Zahlstelle[n] [und die anfänglich bestellte Berechnungsstelle] und [deren] [ihre] bezeichnete[n] Geschäftsstelle[n] laute[t][n] wie folgt: Fiscal Agent: Deutsche Bank Aktiengesellschaft Trust & Securities Services (TSS) Grosse Gallusstrasse 10-14 60272 Frankfurt am Main Germany

Zahlstelle[n]: Deutsche Bank Aktiengesellschaft Trust & Securities Services (TSS) Grosse Gallusstrasse 10-14 60272 Frankfurt am Main Germany [Falls der Fiscal Agent als Berechnungsstelle bestellt werden soll, einfügen: Der Fiscal Agent handelt auch als Berechnungsstelle.] [Falls eine Berechnungsstelle bestellt werden soll, die nicht der Fiscal Agent ist, einfügen: Die Berechnungsstelle und ihre anfängliche Geschäftsstelle lauten: Berechnungsstelle: [Namen und bezeichnete Geschäftsstelle einfügen]] Der Fiscal Agent [,] [und] die Zahlstelle[n] [und die Berechnungsstelle] [behält] [behalten] sich das Recht vor, jederzeit [seine] [ihre] jeweilige(n) bezeichnete[n] Geschäftsstelle[n] durch eine andere bezeichnete Geschäftsstelle in derselben Stadt zu ersetzen. (2) Änderung der Bestellung oder Abberufung. Die Emittentin behält sich das Recht vor, jederzeit die Bestellung des Fiscal Agent oder einer Zahlstelle [oder der Berechnungsstelle] zu ändern oder zu beenden und einen anderen Fiscal Agent oder zusätzliche oder andere Zahlstellen [oder eine andere Berechnungsstelle] zu bestellen. Die Emittentin wird zu jedem Zeitpunkt (i) einen Fiscal Agent unterhalten [im Fall von Schuldverschreibungen, die an einer Börse notiert sind, einfügen:[,] [und] (ii) solange die Schuldverschreibungen an der [Name der Börse] notiert sind, eine Zahlstelle (die der Fiscal Agent sein kann) mit bezeichneter Geschäftsstelle in [Sitz der Börse] und/oder an solchen anderen Orten unterhalten, die die Regeln dieser Börse verlangen] [,] (iii) eine Zahlstelle in einem Mitgliedsstaat der Europäischen Union, sofern dies möglich ist, unterhalten, die nicht gemäß der Richtlinie des Rates der Europäischen Union 2003/48/EC vom 3. Juni 2003 oder einer anderen die Beschlüsse des ECOFIN Ratstreffens vom 26. bis 27. November 2000 zur Zinsbesteuerung umsetzenden Richtlinie oder gemäß eines dieses Richtline umsetzenden oder sie befolgenden oder zu ihrer Befolgung erlassenen Gesetzes zur Einbehaltung oder zum Abzug von Quellensteuern oder sonstigen Abzügen verpflichtet ist [im Fall von Zahlungen in US-Dollar einfügen: [und] [(iv)] falls Zahlungen bei den oder durch die Geschäftsstellen aller Zahlstellen außerhalb der Vereinigten Staaten

92 (wie in § 1(7) definiert) aufgrund der Einführung von Devisenbeschränkungen oder ähnlichen Beschränkungen hinsichtlich der vollständigen Zahlung oder des Empfangs der entsprechenden Beträge in US-Dollar widerrechtlich oder tatsächlich ausgeschlossen werden, eine Zahlstelle mit bezeichneter Geschäftsstelle in New York City unterhalten (solange eine solche Zahlung nach dem Recht der Vereinigten Staaten zulässig ist ohne nach Einschätzung der Emittentin [Im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: und der Garantin] nachteilige steuerliche Folgen für die Emittentin [Im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin] nach sich zu ziehen)] [falls eine Berechnungsstelle bestellt werden soll, einfügen:[,] [und] [(v)] eine Berechnungsstelle [falls die Berechnungsstelle eine bezeichnete Geschäftsstelle an einem vorgeschriebenen Ort zu unterhalten hat, einfügen: mit bezeichneter Geschäftsstelle in [vorgeschriebenen Ort einfügen]] unterhalten]. Eine Änderung, Abberufung, Bestellung oder ein sonstiger Wechsel wird nur wirksam (außer im Insolvenzfall, in dem eine solche Änderung sofort wirksam wird), sofern die Gläubiger hierüber gemäß § 12 vorab unter Einhaltung einer Frist von mindestens 30 und nicht mehr als 45 Tagen informiert wurden. (3) Erfüllungsgehilfe(n) der Emittentin. Der Fiscal Agent[,] [und] [die Zahlstelle[n]] [und die Berechnungsstelle] [handelt] [handeln] ausschließlich als Erfüllungsgehilfe[n] der Emittentin und [übernimmt] [übernehmen] keinerlei Verpflichtungen gegenüber den Gläubigern und es wird kein Auftrags- oder Treuhandverhältnis zwischen [ihm] [ihnen] und den Gläubigern begründet.

§ 7 (STEUERN) Alle in Bezug auf die Schuldverschreibungen von der Emittentin an die Gläubiger zahlbaren Kapital- oder Zinsbeträge werden ohne Einbehalt oder Abzug an der Quelle für oder wegen gegenwärtiger oder zukünftiger Steuern oder Abgaben gleich welcher Art gezahlt, die von oder im Namen der Bundesrepublik Deutschland oder einer politischen Untergliederung oder einer Steuerbehörde dieses Staates (die "Steuerjurisdiktion") im Wege des Abzugs oder Einbehalts auferlegt oder erhoben werden, es sei denn, ein solcher Abzug oder Einbehalt ist gesetzlich vorgeschrieben. In diesem Fall wird die Emittentin diejenigen zusätzlichen Beträge ("Zusätzliche Beträge") zahlen, die erforderlich sind, damit die den Gläubigern zufließenden Nettobeträge nach diesem Einbehalt oder Abzug jeweils den Beträgen an Kapital und Zinsen entsprechen, die ohne einen solchen Einbehalt oder Abzug von den Gläubigern erhalten worden wären; jedoch sind solche Zusätzlichen Beträge nicht zu zahlen: (a) in Bezug auf die deutsche Kapitalertragsteuer (inklusive der sog. Abgeltungsteuer), die nach dem deutschen Einkommensteuergesetz abgezogen oder einbehalten wird, auch wenn der Abzug oder Einbehalt durch die Emittentin oder ihren Vertreter vorzunehmen ist, und den deutschen Solidaritätszuschlag oder jede andere Steuer, welche die deutsche Kapitalertragsteuer bzw. den Solidaritätszuschlag ersetzen sollte; oder (b) an einen Gläubiger oder an einen Dritten für einen Gläubiger, falls dieser Gläubiger (oder ein Treuhänder, Gründer eines Treuhandvermögens, ein Begünstigter, oder ein Gesellschafter eines solchen Gläubigers, falls es sich bei diesem um ein Nachlassvermögen, ein Treuhandvermögen, eine Personengesellschaft oder eine Kapitalgesellschaft handelt) auf Grund einer früheren oder gegenwärtigen Verbindung zu Deutschland (einschließlich solcher Gläubiger (bzw. Treuhänder, Gründer eines Treuhandvermögens, Begünstigter oder Gesellschafter), welche Staatsbürger dieses Landes waren oder sind oder in diesem Land Handel oder Geschäfte betrieben haben oder betreiben oder in diesen eine Betriebsstätte hatten oder haben) einem solchen Einbehalt oder Abzug unterliegt und sich diese Verbindung nicht nur darauf beschränkt, dass er die Schuldverschreibung hält oder die unter dieser jeweils zu leistenden Zahlungen erhält; oder (c) an den Gläubiger oder an einen Dritten für den Gläubiger, falls kein Einbehalt oder Abzug hätte erfolgen müssen, wenn die Schuldverschreibung zum Zeitpunkt der fraglichen Zahlung einem Depotkonto bei einer bzw. einem nicht in Deutschland ansässigen Bank, Finanzdienstleistungsinstitut, Wertpapierhandelsunternehmen oder Wertpapierhandelsbank gutgeschrieben gewesen wären; oder (d) falls der Einbehalt oder Abzug bei Zahlungen an eine Privatperson vorgenommen wird und die Verpflichtung dazu durch die Richtlinie des Rates der Europäischen Union 2003/48/EC vom 3. Juni 2003 oder durch eine andere die Beschlüsse des ECOFIN Ratstreffens vom 26. bis 27.

93 November 2000 zur Zinsbesteuerung umsetzende Richtlinie oder durch ein diese Richtlinie umsetzendes oder sie befolgendes oder zu ihrer Befolgung erlassenes Gesetz begründet wird; oder (e) soweit der Einbehalt oder Abzug von dem Gläubiger oder von einem Dritten für den Gläubiger zahlbar ist, der einen solchen Einbehalt oder Abzug dadurch rechtmäßigerweise hätte vermeiden können (aber nicht vermieden hat), dass er gesetzliche Vorschriften beachtet, oder dafür sorgt, dass Dritte dieses tun, oder dadurch dass er eine Nichtansässigkeitserklärung oder einen ähnlichen Antrag auf Quellensteuerbefreiung gegenüber der am Zahlungsort zuständigen Steuerbehörde; abgibt oder dafür sorgt, dass dies durch einen Dritten erfolgt, oder (f) soweit der Einbehalt oder Abzug von dem Gläubiger oder von einem Dritten für den Gläubiger vorzunehmen ist, der einen solchen Einbehalt oder Abzug durch die Bewirkung einer Zahlung über eine andere Zahlstelle in einem Mitgliedsstaat der Europäischen Union, welche nicht zu einem solchen Einbehalt oder Abzug verpflichtet ist, hätte vermeiden können; oder (g) soweit der Einbehalt oder Abzug für einen Gläubiger oder dessen Rechnung vorzunehmen ist, der Schuldverschreibungen mehr als 30 Tage nach dem Tag, an dem eine Zahlung unter den Schuldverschreibungen fällig und zahlbar wurde bzw., soweit dies später eintritt, nach dem Tag, an dem die Zahlung ordnungsgemäß vorgenommen wurde, vorgelegt hat; oder (h) jegliche Kombination der Absätze (a)-(g). Zudem werden keine Zusätzlichen Beträge im Hinblick auf Zahlungen auf die Schuldverschreibungen an einen Gläubiger gezahlt, welcher die Zahlung als Treuhänder oder Personengesellschaft oder als sonstiger nicht alleiniger wirtschaftlicher Eigentümer erhält, soweit nach den Gesetzen der Steuerjurisdiktion(en) eine solche Zahlung für Steuerzwecke dem Einkommen des Begünstigten bzw. Gründers eines Treuhandvermögens oder dem Gesellschafter der Personengesellschaft zugerechnet würde, der jeweils selbst nicht zum Erhalt von Zusätzlichen Beträgen berechtigt gewesen wäre, wenn der Begünstigte, Gründer eines Treuhandvermögens, Gesellschafter oder wirtschaftliche Eigentümer unmittelbarer Gläubiger der Schuldverschreibungen wäre.

§ 8 (VORLEGUNGSFRIST) Die in § 801 Absatz 1 Satz 1 BGB bestimmte Vorlegungsfrist wird für die Schuldverschreibungen auf zehn Jahre verkürzt.

§ 9 (KÜNDIGUNG) (1) Kündigungsgründe. Jeder Gläubiger ist berechtigt, seine sämtlichen Forderungen aus den Schuldverschreibungen durch Kündigung gegenüber dem Fiscal Agent fällig zu stellen und die unverzügliche Rückzahlung zu ihrem vorzeitigen Rückzahlungsbetrag (wie in § 5 beschrieben), zuzüglich etwaiger bis zum Tage der Rückzahlung aufgelaufener Zinsen zu verlangen, falls: (a) die Emittentin auf die Schuldverschreibungen Kapital oder Zinsen nicht innerhalb von 30 Tagen nach dem betreffenden Fälligkeitstag zahlt; oder [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: (b) die Garantin auf die Garantie zahlbare Beträge nicht innerhalb von 30 Tagen nach dem Fälligkeitstag zahlt; oder] [(c)] die Emittentin die ordnungsgemäße Erfüllung irgendeiner anderen wesentlichen Verpflichtung aus den Schuldverschreibungen unterlässt [Im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin die Erfüllung irgendeiner anderen wesentlichen Verpflichtung aus der Garantie unterlässt] und die Unterlassung jeweils länger als 30 Tage fortdauert, nachdem die Zahlstelle eine schriftliche Aufforderung in der in § 9(3) vorgesehenen Art und Weise von dem Gläubiger erhalten hat, die Verpflichtung zu erfüllen; ode [(d)] die Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin] eine Zahlungsverpflichtung in Höhe oder im Gegenwert von mehr als EUR 75.000.000 aus einer

94 Kapitalmarktverbindlichkeit oder aufgrund einer Bürgschaft oder Garantie, die für Kapitalmarktverbindlichkeiten Dritter gegeben wurde, nicht innerhalb von 30 Tagen nach ihrer Fälligkeit bzw. im Falle einer Bürgschaft oder Garantie nicht innerhalb von 30 Tagen nach Inanspruchnahme aus dieser Bürgschaft oder Garantie erfüllt, es sei denn, die Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin] bestreitet in gutem Glauben, dass diese Zahlungsverpflichtung besteht oder fällig ist bzw. diese Bürgschaft oder Garantie berechtigterweise geltend gemacht wird; oder [(e)] die Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin] ihre Zahlungen generell einstellt; oder [(f)] die Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin] ihre Zahlungsunfähigkeit allgemein bekannt gibt; oder [(g)] ein Gericht ein Insolvenzverfahren oder ein Vergleichsverfahren zur Abwendung der Insolvenz oder des Konkurses oder ein vergleichbares Verfahren über das Vermögen der Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin] eröffnet, und ein solches Verfahren nicht innerhalb von 90 Tagen aufgehoben oder ausgesetzt worden ist, oder die Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin] die Eröffnung eines solchen Verfahrens beantragt oder einleitet oder eine allgemeine Schuldenregelung zugunsten ihrer Gläubiger anbietet oder trifft oder ein Dritter ein Insolvenzverfahren gegen die Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin] beantragt und ein solches Verfahren nicht innerhalb einer Frist von 90 Tagen aufgehoben oder ausgesetzt worden ist; oder [(h)] die Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin] in Liquidation tritt, es sei denn, dies geschieht im Zusammenhang mit einer Verschmelzung oder einer anderen Form des Zusammenschlusses mit einer anderen Gesellschaft oder im Zusammenhang mit einer Umwandlung und die andere oder neue Gesellschaft übernimmt alle Verpflichtungen, die die Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin] im Zusammenhang mit den Schuldverschreibungen [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder der Garantie] eingegangen ist [.][; oder] [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: (i) die Garantie aus irgendeinem Grund ungültig wird oder nicht mehr rechtsverbindlich ist.] (2) Keine Kündigung. Das Kündigungsrecht erlischt, falls der Kündigungsgrund vor Ausübung des Rechts geheilt wurde. (3) Kündigungserklärung. Eine Kündigungserklärung gemäß § 9(1) hat in der Weise zu erfolgen, dass der Gläubiger der Zahlstelle eine entsprechende schriftliche Erklärung in englischer oder deutscher Sprache übergibt oder durch eingeschriebenen Brief übermittelt und dabei durch eine Bescheinigung seiner Depotbank (wie in § [16](3) definiert) nachweist, dass er die betreffenden Schuldverschreibungen zum Zeitpunkt der Erklärung hält. (4) Quorum. In den Fällen gemäß Absatz (1)[(c)] und/oder [(d)] wird eine Kündigungserklärung, sofern nicht bei deren Eingang zugleich einer der in Absatz (1)(a), [(b)] und [(e)] bis [(i)] bezeichneten Kündigungsgründe vorliegt, erst wirksam, wenn bei der Zahlstelle Kündigungserklärungen von Gläubigern im Nennbetrag von mindestens 10% des Gesamtnennbetrages der zu diesem Zeitpunkt noch insgesamt ausstehenden Schuldverschreibungen eingegangen sind.

§ 10 (ERSETZUNG) (1) Die Emittentin (wobei eine Bezugnahme auf die Emittentin auch alle früheren Nachfolgeschuldner (wie nachfolgend definiert) umfasst) ist jederzeit berechtigt, wenn kein

95 Zahlungsverzug hinsichtlich Kapital oder Zinsen auf die Schuldverschreibungen vorliegt, ohne weitere Zustimmung der Gläubiger [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: Merck KGaA oder] ein mit der [im Falle von Schuldverschreibungen, die von Merck KGaA begeben werden, einfügen: Emittentin] [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: Garantin] verbundenes Unternehmen (wie nachfolgend definiert) an ihrer Stelle als Hauptschuldnerin (ein solches Unternehmen ist die "Nachfolgeschuldnerin") für alle Verpflichtungen aus und im Zusammenhang mit den Schuldverschreibungen einzusetzen, vorausgesetzt, dass: (a) die Nachfolgeschuldnerin alle Verpflichtungen der Emittentin im Zusammenhang mit den Schuldverschreibungen rechtswirksam übernimmt und sie sämtliche sich aus oder im Zusammenhang mit den Schuldverschreibungen ergebenden Zahlungsverpflichtungen in der Festgelegten Währung ohne die Notwendigkeit einer Einbehaltung an der Quelle oder des Abzugs irgendwelcher Steuern oder Abgaben in dem Land oder Hoheitsgebiet, in dem die Nachfolgeschuldnerin ihren Sitz hat (mit Ausnahme von Steuern, die auch angefallen wären, wäre die Ersetzung nicht erfolgt), erfüllen sowie die hierzu erforderlichen Beträge ohne Beschränkungen an die Zahlstelle transferieren kann und sie insbesondere jede hierfür notwendige Genehmigung der Behörden ihres Landes erhalten hat, und, sofern eine Zustellung an die Nachfolgeschuldnerin außerhalb von Deutschland erfolgen müsste, ein Zustellungsbevollmächtigter in Deutschland bestellt wird; (b) [im Falle von Schuldverschreibungen, die von Merck KGaA begeben werden, einfügen: die Emittentin] [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: die Garantin, falls sie nicht selbst die Nachfolgeschuldnerin ist,] unwiderruflich und unbedingt gegenüber den Gläubigern die Zahlung aller von der Nachfolgeschuldnerin auf die Schuldverschreibungen zahlbaren Beträge zu Bedingungen garantiert, [im Fall von Schuldverschreibungen, die von Merck KGaA begeben werden, einfügen: die den Bedingungen der Garantie der Emittentin hinsichtlich der Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA unter dem Debt Issuance Program begeben werden] [im Fall von Schuldverschreibungen, die von die von einer anderen Emittentin als Merck KGaA werden: die den Bedingungen der Garantie] entsprechen (die ³Ersetzungsgarantie´); und (c) die Nachfolgeschuldnerin und die Emittentin alle für die Ersetzung und [im Falle von Schuldverschreibungen, die von Merck KGaA begeben werden, einfügen: die Emittentin] [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: die Garantin, falls sie nicht selbst die Nachfolgeschuldnerin ist,] alle für die Abgabe der Ersetzungs-Garantie notwendigen Genehmigungen und Einverständniserklärungen von Regierungsstellen und Aufsichtsbehörden erhalten haben, die Nachfolgeschuldnerin alle für die Erfüllung ihrer Verpflichtungen aus den Schuldverschreibungen notwendigen Genehmigungen und Einverständniserklärungen von Regierungsstellen und Aufsichtsbehörden erhalten hat und weiterhin sämtliche dieser Genehmigungen und Einverständniserklärungen in vollem Umfang gültig und wirksam sind und zudem die Verpflichtungen der Nachfolgeschuldnerin und die von [im Falle von Schuldverschreibungen, die von Merck KGaA begeben werden, einfügen: der Emittentin] [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: der Garantin, falls sie nicht selbst die Nachfolgeschuldnerin ist,] begebene Ersetzungs-Garantie jeweils gemäß ihren Bestimmungen wirksam und rechtsverbindlich und durch jeden Gläubiger durchsetzbar sind; (d) § 9 dergestalt als ergänzt gilt, dass ein zusätzlicher Kündigungsgrund unter dieser Bestimmung der Wegfall der Wirksamkeit, Rechtsverbindlichkeit oder Durchsetzbarkeit der Ersetzungs- Garantie gegen die [im Falle von Schuldverschreibungen, die von Merck KGaA begeben werden, einfügen: die Emittentin] [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: die Garantin, falls sie nicht selbst die Nachfolgeschuldnerin ist,] ist; (e) die Nachfolgeschuldnerin sich verpflichtet, jedem Gläubiger alle Steuern, Gebühren oder Abgaben zu erstatten, die ihm im Zusammenhang mit Zahlungen auf die Schuldverschreibungen (einschließlich Steuern und Abgaben, die an der Quelle abgeführt oder einbehalten wurden), durch den Schuldnerwechsel oder in anderer Weise infolge der Schuldübernahme durch die Nachfolgeschuldnerin auferlegt werden, vorausgesetzt, dass sich

96 die Verpflichtung auf Beträge beschränkt, die der Gläubiger ohne die Ersetzung der Emittentin nicht hätte tragen müssen; (f) dem Fiscal Agent jeweils ein Rechtsgutachten bezüglich der betroffenen Rechtsordnungen von anerkannten Rechtsanwälten vorgelegt wurden, die bestätigen, dass die Bestimmungen in den vorstehenden Unterabsätzen (a) bis (e) erfüllt wurden; und (g) die Nachfolgeschuldnerin keine "United States person", wie im U.S. Internal Revenue Code von 1986 in seiner jeweils geltenden Fassung definiert, ist. Für Zwecke dieses § 10 bedeutet "verbundenes Unternehmen" jedes von [im Falle von Schuldverschreibungen, die von Merck KGaA begeben werden, einfügen: der Emittentin] [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: der Garantin] gehaltene verbundene Unternehmen im Sinne des § 15 Aktiengesetz.

Im Falle von (2) Schuldbefreiung. Bezugnahmen. Nach einer Ersetzung gemäß dieses § 10 gilt die Schuldver- schreibungen, Nachfolgeschuldnerin als in den Schuldverschreibungen an Stelle der Emittentin als Hauptschuldnerin die von der bestimmt und die Schuldverschreibungen gelten als dementsprechend ergänzt, um der Ersetzung zur Merck KGaA begeben Durchsetzung zu verhelfen, und als die relevante Steuerjurisdiktion in Bezug auf § 7 gilt die werden, einfügen: Jurisdiktion, in der die Nachfolgeschuldnerin steuerlich ansässig ist. Des weiteren gilt im Fall einer Ersetzung folgendes: [(a) in § 7 und § 5(2) gilt eine alternative Bezugnahme auf die Bundesrepublik Deutschland als aufgenommen (zusätzlich zu der Bezugnahme nach Maßgabe des vorstehenden Satzes auf das Land, in dem die Nachfolgeschuldnerin ihren Sitz oder Steuersitz hat); (b) in § 9(1)(c) bis (g) gilt eine alternative Bezugnahme auf die Emittentin in ihrer Eigenschaft als Garantin als aufgenommen (zusätzlich zu der Bezugnahme auf die Nachfolgeschuldnerin).]

Im Falle von [In § 7 und § 5(2) gilt eine alternative Bezugnahme auf de Bundesrepublik Deutschland als Schuldver- schreibungen, aufgenommen (zusätzlich zu der Bezugnahme nach Maßgabe des vorstehenden Satzes auf das die von der Land, in dem die Nachfolgeschuldnerin ihren Sitz oder Steuersitz hat).] Merck FS begeben werden, Jede Ersetzung zusammen mit der Mitteilung gemäß Absatz 3 dieser Bestimmung befreit, im einfügen: Fall der Einsetzung einer anderen Gesellschaft als Hauptschuldnerin, die Emittentin von allen Verbindlichkeiten, die sie als Hauptschuldnerin unter den Schuldverschreibungen hatte. (3) Benachrichtigung der Gläubiger. Spätestens 15 Zahltage nach Durchführung der Ersetzung wird die Nachfolgeschuldnerin dies den Gläubigern und, sollten die Schuldverschreibungen an einer Börse notiert sein, dieser Börse gemäß § 12 mitteilen und jede andere Person oder Stelle, gemäß den anwendbaren Gesetzen und Regelungen informieren.

§ 11 (BEGEBUNG WEITERER SCHULDVERSCHREIBUNGEN, ANKAUF UND ENTWERTUNG) (1) Begebung weiterer Schuldverschreibungen. Die Emittentin ist berechtigt, jederzeit ohne Zustimmung der Gläubiger weitere Schuldverschreibungen mit gleicher Ausstattung (gegebenenfalls mit Ausnahme des Tags der Begebung, des Verzinsungsbeginns und/oder des Ausgabepreises) in der Weise zu begeben, dass sie mit diesen Schuldverschreibungen eine einheitliche Serie bilden. (2) Ankauf. Die Emittentin ist berechtigt, jederzeit Schuldverschreibungen im Markt oder anderweitig zu jedem beliebigen Preis zu kaufen. Die von der Emittentin erworbenen Schuldverschreibungen können nach Wahl der Emittentin von ihr gehalten, weiterverkauft oder bei dem Fiscal Agent zwecks Entwertung eingereicht werden. Sofern diese Käufe durch öffentliches Angebot erfolgen, muss dieses Angebot allen Gläubigern gemacht werden. (3) Entwertung. Sämtliche vollständig zurückgezahlten Schuldverschreibungen sind unverzüglich zu entwerten und können nicht wiederbegeben oder wiederverkauft werden.

§ 12 (MITTEILUNGEN)

Im Falle von [(1) Bekanntmachung. Alle die Schuldverschreibungen betreffenden Mitteilungen sind auf der Schuldver- schreibungen, Internetseite der Luxemburger Börse (www.bourse.lu) zu veröffentlichen. Jede derartige Mitteilung gilt die an der mit dem dritten Tag nach dem Tag der Veröffentlichung (oder bei mehreren Veröffentlichungen mit dem Luxemburger Börse notiert dritten Tag nach dem Tag der ersten solchen Veröffentlichung) als wirksam erfolgt. werden, einfügen:

97 (2) Mitteilungen an das Clearingsystem. Solange Schuldverschreibungen an der Luxemburger Börse notiert sind, sind alle die Schuldverschreibungen betreffenden Mitteilungen gemäß Absatz 1 bekanntzumachen. Soweit die Mitteilung den Zinssatz von variabel verzinslichen Schuldverschreibungen betrifft, oder die Regeln der Luxemburger Börse dies sonst zulassen, kann die Emittentin eine Veröffentlichung nach Absatz 1 durch eine Mitteilung an das Clearing System zur Weiterleitung an die Gläubiger ersetzen; jede derartige Mitteilung gilt am siebten Tag nach dem Tag der Mitteilung an das Clearing System als den Gläubigern mitgeteilt.] Im Falle von Schuldver- [(1) Mitteilungen an das Clearing System. Die Emittentin wird alle die Schuldverschreibungen schreibungen, die nicht an betreffenden Mitteilungen an das Clearing System zur Weiterleitung an die Gläubiger übermitteln. einer Börse Jede derartige Mitteilung gilt am siebten Tag nach dem Tag der Mitteilung an das Clearing System als notiert werden, einfügen: den Gläubigern mitgeteilt.]

Im Falle von [relevante Bestimmungen einfügen] Schuldver- schreibungen, die an einer anderen Börse § 13 als der (ANWENDBARES RECHT, GERICHTSSTAND UND GERICHTLICHE GELTENDMACHUNG) Luxemburger Börse notiert werden, (1) Anwendbares Recht. Form und Inhalt der Schuldverschreibungen sowie die Rechte und einfügen: Pflichten der Gläubiger und der Emittentin bestimmen sich in jeder Hinsicht nach deutschem Recht. (2) Gerichtsstand. Nicht ausschließlich zuständig für sämtliche im Zusammenhang mit den Schuldverschreibungen entstehenden Klagen oder sonstige Verfahren (³Rechtsstreitigkeiten´) ist das Landgericht Frankfurt am Main. [(3)] Gerichtliche Geltendmachung. Jeder Gläubiger von Schuldverschreibungen ist berechtigt, in jedem Rechtsstreit gegen die Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin] oder in jedem Rechtsstreit, in dem der Gläubiger und die Emittentin [im Falle von Schuldverschreibungen, die von einer anderen Emittentin als Merck KGaA begeben werden, einfügen: oder die Garantin] Partei sind, seine Rechte aus diesen Schuldverschreibungen im eigenen Namen auf der folgenden Grundlage zu schützen oder geltend zu machen: (i) er bringt eine Bescheinigung der Depotbank bei, bei der er für die Schuldverschreibungen ein Wertpapierdepot unterhält, welche (a) den vollständigen Namen und die vollständige Adresse des Gläubigers enthält, (b) den Gesamtnennbetrag der Schuldverschreibungen bezeichnet, die unter dem Datum der Bestätigung auf dem Wertpapierdepot verbucht sind und (c) bestätigt, dass die Depotbank gegenüber dem Clearingsystem eine schriftliche Erklärung abgegeben hat, die die vorstehend unter (a) und (b) bezeichneten Informationen enthält und einen Bestätigungsvermerk des Clearingsystems trägt; (ii) er legt eine Kopie der die betreffenden Schuldverschreibungen verbriefenden Globalurkunde vor, deren Übereinstimmung mit dem Original eine vertretungsberechtigte Person des Clearingsystems oder des Verwahrers des Clearingsystems bestätigt hat, ohne dass eine Vorlage der Originalbelege oder der die Schuldverschreibungen verbriefenden Globalurkunde in einem solchen Verfahren erforderlich wäre oder (iii) auf jede andere Weise, die im Lande der Geltendmachung prozessual zulässig ist. Für die Zwecke des Vorstehenden bezeichnet ³Depotbank´ jede Bank oder ein sonstiges anerkanntes Finanzinstitut, das berechtigt ist, das Wertpapierverwahrungsgeschäft zu betreiben und bei der/dem der Gläubiger ein Wertpapierdepot für die Schuldverschreibungen unterhält und ein Konto beim Clearingsystem unterhält, einschließlich des Clearingsystems.

§ [14] Falls die Schuldverschrei BESCHLÜSSE DER GLÄUBIGER bungen Beschlüsse der (1) Die Gläubiger können nach Maßgabe der §§ 5 ff. des Gesetzes über Schuldverschreibungen aus Gläubiger vorsehen, Gesamtemissionen (Schuldverschreibungsgesetz ± SchVG) durch Mehrheitsbeschluss Änderungen einfügen: der Anleihebedingungen zustimmen und [soweit einzelne Maßnahmen nicht der Zustimmung durch Mehrheitsbeschluss unterliegen sollen, einfügen: , vorbehaltlich § 14(3),] in allen gesetzlich zulässigen Fällen Beschluss fassen. Eine Verpflichtung zur Leistung kann für die Gläubiger durch Mehrheitsbeschluss nicht begründet werden. (2) Ein ordnungsgemäß gefasster Mehrheitsbeschluss ist für alle Gläubiger verbindlich. Ein Mehrheitsbeschluss der Gläubiger, der nicht gleiche Bedingungen für alle Gläubiger vorsieht, ist unwirksam, es sei denn, die benachteiligten Gläubiger stimmen ihrer Benachteiligung ausdrücklich zu. [Soweit einzelne Maßnahmen nicht der Zustimmung durch Mehrheitsbeschluss unterliegen sollen, einfügen:

98 (3) Von der Zustimmung der Gläubiger durch Mehrheitsbeschluss sind folgende Maßnahmen ausgenommen: [Maßnahmen, die nicht der Zustimmung durch Mehrheitsbeschluss unterliegen sollen, einfügen].] ([4]) Vorbehaltlich der weiteren Bestimmungen dieses § 14[(4)] und der Erreichung der erforderlichen Beschlussfähigkeit gemäß [falls Beschlüsse in Gläubigerversammlungen gefasst werden sollen, einfügen: § 15 Absatz 3 SchvG] [falls Beschlüsse im Wege der Abstimmung ohne Versammlung gefasst werden sollen, einfügen: § 18 Absatz 4 SchVG in Verbindung mit § 15 Absatz 3 SchVG], bedürfen Beschlüsse der Gläubiger zu ihrer Wirksamkeit der einfachen Mehrheit der an der Abstimmung teilnehmenden Stimmrechte. Beschlüsse, durch welche der wesentliche Inhalt der Anleihebedingungen, insbesondere in den Fällen des § 5 Abs. 3 Nr. 1 bis 9 SchVG geändert wird, bedürfen zu ihrer Wirksamkeit [soweit einzelne Maßnahmen nicht der Zustimmung durch Mehrheitsbeschluss unterliegen sollen oder für einzelne Maßnahmen eine höhere Mehrheit gelten soll, einfügen: , soweit in diesem § 14 nichts Abweichendes bestimmt ist,] einer Mehrheit von [anwendbaren Prozentsatz einfügen] Prozent (qualifizierte Mehrheit) der an der Abstimmung teilnehmenden Stimmrechte. [Soweit für einzelne Maßnahmen eine höhere Mehrheit gelten soll, einfügen: Beschlüsse über folgende Maßnahmen bedürfen zu ihrer Wirksamkeit einer Mehrheit von mindestens [anwendbaren Prozentsatz einfügen] Prozent der an der Abstimmung teilnehmenden Stimmrechte: [Maßnahmen, für die eine höhere Mehrheit gelten soll, einfügen].] ([5]) Die Gläubiger beschließen [falls Beschlüsse in Gläubigerversammlungen gefasst werden sollen, einfügen: in einer Gläubigerversammlung] [falls Beschlüsse im Wege der Abstimmung ohne Versammlung gefasst werden sollen, einfügen: im Wege der Abstimmung ohne Versamm- lung]9. ([6]) An Abstimmungen der Gläubiger nimmt jeder Gläubiger nach Maßgabe des Nennwerts oder des rechnerischen Anteils seiner Berechtigung an den ausstehenden Schuldverschreibungen teil. Das Stimmrecht ruht, solange die Anteile der Emittentin oder einem mit ihr verbundenen Unternehmen (§ 271 Absatz 2 des Handelsgesetzbuchs) zustehen oder für Rechnung der Emittentin oder eines mit ihr verbundenen Unternehmens gehalten werden. Die Emittentin darf Schuldverschreibungen, deren Stimmrechte ruhen, einem anderen nicht zu dem Zweck überlassen, die Stimmrechte an ihrer Stelle auszuüben; dies gilt auch für ein mit der Emittentin verbundenes Unternehmen. Niemand darf das Stimmrecht zu dem in Satz 3 erster Halbsatz bezeichneten Zweck ausüben. Niemand darf dafür, dass eine stimmberechtigte Person nicht oder in einem bestimmten Sinne stimme, Vorteile als Gegenleistung anbieten, versprechen oder gewähren. Wer stimmberechtigt ist, darf dafür, dass er nicht oder in einem bestimmten Sinne stimme, keinen Vorteil und keine Gegenleistung fordern, sich versprechen lassen oder annehmen.]

Falls kein § [15] gemeinsamer Vertreter in den GEMEINSAMER VERTRETER DER GLÄUBIGER Bedingungen bestellt wird und (1) Die Gläubiger können durch Mehrheitsbeschluss zur Wahrnehmung ihrer Rechte einen die Gläubiger 10 einen gemeinsamen Vertreter für alle Gläubiger bestellen. gemeinsamen Vertreter durch (2) Der gemeinsame Vertreter hat die Aufgaben und Befugnisse, welche ihm durch Gesetz oder von Mehrheitsbeschl uss bestellen den Gläubigern durch Mehrheitsbeschluss eingeräumt wurden. Er hat die Weisungen der Gläubiger zu können, einfügen: befolgen. Soweit er zur Geltendmachung von Rechten der Gläubiger ermächtigt ist, sind die einzelnen Gläubiger zur selbständigen Geltendmachung dieser Rechte nicht befugt, es sei denn, der Mehrheitsbeschluss sieht dies ausdrücklich vor. Über seine Tätigkeit hat der gemeinsame Vertreter den Gläubigern zu berichten. (3) Der gemeinsame Vertreter haftet den Gläubigern als Gesamtgläubiger für die ordnungsgemäße Erfüllung seiner Aufgaben; bei seiner Tätigkeit hat er die Sorgfalt eines ordentlichen und gewissenhaften Geschäftsleiters anzuwenden. Die Haftung des gemeinsamen Vertreters kann durch Beschluss der Gläubiger beschränkt werden. Über die Geltendmachung von Ersatzansprüchen der Gläubiger gegen den gemeinsamen Vertreter entscheiden die Gläubiger.

9 Nach § 5 Abs. (6) SchVG können die Anleihebedingungen einer bestimmten Anleihe ausschließlich eine der beiden genannten Möglichkeiten vorsehen. 10 Der gemeinsame Vertreter muss in persönlicher Hinsicht den Anforderungen des § 8 Abs. (1) SchVG genügen.

99 (4) Der gemeinsame Vertreter kann von den Gläubigern jederzeit ohne Angabe von Gründen abberufen werden. (5) Der gemeinsame Vertreter kann von der Emittentin verlangen, alle Auskünfte zu erteilen, die zur Erfüllung der ihm übertragenen Aufgaben erforderlich sind.

Im Fall der § [15] Bestellung des GEMEINSAMER VERTRETER DER GLÄUBIGER gemeinsamen Vertreters in den Bedingungen, (1) Gemeinsamer Vertreter für alle Gläubiger zur Wahrnehmung ihrer Rechte ist: einfügen: [Ɣ] (2) Der gemeinsame Vertreter hat folgende Aufgaben und Befugnisse: [Falls der gemeinsame Vertreter befugt ist eine Gläubigerversammlung einzuberufen oder zu einer Abstimmung der Gläubiger ohne Versammlung aufzufordern, einfügen: der gemeinsame Vertreter ist befugt, nach seinem Ermessen zu dem von ihm bestimmten Maßnahmen [relevante Alternative einfügen: [eine Gläubigerversammlung einzuberufen] [zu einer Abstimmung der Gläubiger ohne Versammlung aufzufordern]] und die [relevante Alternative einfügen: [Versammlung] [Abstimmung]] zu leiten.]11 [Ggf. weitere Aufgaben des gemeinsamen Vertreters hier einfügen, wobei der gemeinsame Vertreter zu einem Verzicht auf Rechte der Gläubiger, insbesondere zu den in § 5 Absatz 3 Satz 1 Nr. 1 bis 9 SchVG genannten Entscheidungen, jedoch nicht in den Anleihebedingungen, sondern nur auf Grund eines Beschlusses der Gläubigerversammlung ermächtigt werden kann.] (3) Der gemeinsame Vertreter hat die Weisungen der Gläubiger zu befolgen. Soweit er zur Geltend- machung von Rechten der Gläubiger ermächtigt ist, sind die einzelnen Gläubiger zur selbständigen Geltendmachung dieser Rechte nicht befugt, es sei denn, die Gläubiger bestimmen durch Mehrheits- beschluss etwas anderes. Über seine Tätigkeit hat der gemeinsame Vertreter den Gläubigern zu berichten. (4) Der gemeinsame Vertreter haftet den Gläubigern als Gesamtgläubiger für die ordnungsgemäße Erfüllung seiner Aufgaben; bei seiner Tätigkeit hat er die Sorgfalt eines ordentlichen und gewissen- haften Geschäftsleiters anzuwenden. Die Haftung des gemeinsamen Vertreters ist auf das Zehnfache seiner jährlichen Vergütung beschränkt, es sei denn, dem gemeinsamen Vertreter fällt Vorsatz oder grobe Fahrlässigkeit zur Last. Die Haftung des gemeinsamen Vertreters kann durch Beschluss der Gläubiger weiter beschränkt werden. Über die Geltendmachung von Ersatzansprüchen der Gläubiger gegen den gemeinsamen Vertreter entscheiden die Gläubiger. (5) Der gemeinsame Vertreter kann von den Gläubigern jederzeit ohne Angabe von Gründen abberu- fen werden. (6) Der gemeinsame Vertreter der Gläubiger kann von der Emittentin verlangen, alle Auskünfte zu erteilen, die zur Erfüllung der ihm übertragenen Aufgaben erforderlich sind.

Falls Schuldver- schreibungen, § [16] die von Merck GARANTIE [, BESCHLÜSSE DER GLÄUBIGER] [, GEMEINSAMER VERTRETER] FS begeben werden, die Gel- tung von § 14 Die auf die Schuldverschreibungen anwendbaren Bestimmungen des [falls die (Beschlüsse der Emissionsbedingungen Beschlüsse der Gläubiger vorsehen, einfügen: § 14] [und des] [falls die Gläubiger) und/oder von Gläubiger einen gemeinsamen Vertreter durch Mehrheitsbeschluss bestellen können bzw. im § [15] (Gemein- samer Vertreter Fall der Bestellung des gemeinsamen Vertreters in den Emissionsbedingungen, einfügen: der Gläubiger) § [15]] finden sinngemäß auf die Bestimmungen der Garantie der Merck KGaA Anwendung. vorsehen, sollte folgende Bestim- mung eingefügt werden:

11 Nach § 5 Abs. (6) SchVG können die Anleihebedingungen einer bestimmten Anleihe ausschließlich eine der beiden genannten Möglichkeiten vorsehen.

100 § [17] (SPRACHE)

Falls die [Diese Emissionsbedingungen sind in deutscher Sprache abgefasst. Eine Übersetzung in die Emissions- bedingungen in englische Sprache ist beigefügt. Der deutsche Text ist bindend und maßgeblich. Die Übersetzung in deutscher Sprache die englische Sprache ist unverbindlich.] mit einer Übersetzung in die englische Sprache abgefaßt sind, einfügen:

Falls die Emissi- [Diese Emissionsbedingungen sind in englischer Sprache abgefasst. Eine Übersetzung in die onsbedingungen in englischer Spra- deutsche Sprache ist beigefügt. Der englische Text ist bindend und maßgeblich. Die Übersetzung in che mit einer Übersetzung in die die deutsche Sprache ist unverbindlich.] deutsche Sprache abgefasst sind, einfügen:

Falls die Emissions- [Diese Emissionsbedingungen sind ausschließlich in englischer Sprache abgefasst.] bedingungen nur in englischer Sprache abgefasst sind, einfügen:

Falls die Emissi- [Diese Emissionsbedingungen sind ausschließlich in deutscher Sprache abgefasst.] onsbedingungen nur in deutscher Sprache abgefasst sind, einfügen:

Falls Schuldver- ANNEX ± Rules regarding Resolutions of Holders schreibungen die Geltung von Bestimmungen betreffend Gläubigerbeschlüsse § 14 (Beschlüs- se der Gläubi- ger), § [15] (Ge- meinsamer Ver- treter der [Die Bestimmungen des Annex sind in Schedule 5 zum Fiscal Agency Agreement enthalten. Von einer Gläubiger) und/oder § [16] Wiedergabe der Bestimmungen des Annex in diesem Prospekt wurde abgesehen. (Garantie [, Be- schlüsse der Kopien des Fiscal Agency Agreement können kostenlos bei der Geschäftsstelle des Fiscal Agent Gläubiger] [, Ge- meinsamer Ver- bezogen werden. Eine zusammenfassende Beschreibung der Bestimmungen betreffend treter]) vorse- Gläubigerbeschlüsse (Rules regarding Resolutions of Holders) ist auf Seite 102 des Prospekts unter hen, sollte die- ser Annex den "Description of Rules regarding Resolutions of Holders" dargestellt.] Emissionsbe- dingungen bei- gefügt werden:

101 DESCRIPTION OF RULES REGARDING RESOLUTIONS OF HOLDERS The Terms and Conditions pertaining to a certain issue of Notes may provide that the Holders may agree to amendments or decide on other matters relating to the Notes by way of resolution to be passed in meetings of Holders or by taking votes without a meeting. The rules regarding the convening and conduct of meetings of Holders and the taking of votes without meetings, the passing and publication of resolutions as well as their implementation and challenge before German courts are set out in the German Act on Debt Securities (Schuldverschreibungsgesetz ± "SchVG"). These rules are largely mandatory, although they permit in limited circumstances supplementary provisions set out in the Terms and Conditions of the relevant issue of Notes. It is important to note that the rules governing resolutions of Holders, whether to be taken in a meeting or by a vote without a meeting, apply only if the Terms and Conditions pertaining to a certain issue of Notes so provide. In addition to the provisions included in the Terms and Conditions of a particular issue of Notes, the rules regarding resolutions of Holders are substantially set out in a Schedule to the Fiscal Agency Agreement in the German language together with a non-official English translation. If the Notes provide for resolutions of Holders, the rules regarding resolutions of Holders in the form set out in the Fiscal Agency Agreement will form an annex to the Terms and Conditions of such Notes. The following is a brief summary of some of the statutory rules regarding the convening and conduct of meetings of Holders and the taking of votes without meetings, the passing and publication of resolutions as well as their implementation and challenge before German courts. Holders' Meetings may be convened by the Issuer and, where so appointed either in the Terms and Conditions or by a Holders' resolution, by the Holders' Representative. Holders' Meetings must be convened if one or more Holders holding 5% or more of the outstanding Notes so require for specified reasons permitted by the SchVG. Meetings may be convened not less than 14 days before the date of the meeting. Attendance and voting at the meeting may be made subject to prior registration of Holders. The convening notice will provide what proof will be required for attendance and voting at the meeting. The place of the meeting in respect of a German issuer is the place of the issuer's registered office, provided, however, that where the relevant Notes are listed on a stock exchange within the European Union or the European Economic Area, the meeting may be held at the place of such stock exchange. The convening notice must include relevant particulars and must be made publicly available together with the agenda of the meeting setting out the proposals for resolution. Each Holder may be represented by proxy. A quorum exists if Holders representing by value not less than 50% of the outstanding Notes are present or represented at the meeting. If the quorum is not reached, a second meeting may be called at which no quorum will be required, provided that where a resolution may only be adopted by a qualified majority, a quorum requires the presence of at least 25% of the principal amount of outstanding Notes. All resolutions adopted must be properly published. In the case of Notes represented by one or more Global Notes, resolutions which amend or supplement the Terms and Conditions have to be implemented by supplementing or amending the relevant Global Note(s). In insolvency proceedings instituted in Germany against an Issuer, a Holders' Representative, if appointed, is obliged and exclusively entitled to assert the Holders' rights under the Notes. Any resolutions passed by the Holders are subject to the provisions of the German Insolvency Code (Insolvenzordnung). If a resolution constitutes a breach of the SchVG or the Terms and Conditions, Holders may bring an action to set aside such resolution. Such action must be filed with the competent court within one month following the publication of the resolution. If the Terms and Conditions provide for resolutions to be passed by Holders without a meeting, the rules applicable to Holders' Meetings apply mutatis mutandis to any taking of votes by Holders without a meeting, subject to certain special provisions.

102 FORM OF GUARANTEE (GERMAN VERSION) DEUTSCHE FASSUNG DER GARANTIE GARANTIE UND NEGATIVVERPFLICHTUNG der Merck KGaA (einer Kommanditgesellschaft auf Aktien gegründet nach dem Recht der Bundesrepublik Deutschland) (die "Garantin") zugunsten der Gläubiger von Schuldverschreibungen (die "Schuldverschreibungen") emittiert durch Merck Financial Services GmbH (einer Gesellschaft mit beschränkter Haftung gegründet nach dem Recht der Bundesrepublik Deutschland) im Rahmen des EUR 10.000.000.000 Debt Issuance Program der Merck KGaA und Merck Financial Services GmbH (wie jeweils abgeändert, ergänzt oder neu gefasst) (das "Programm") Präambel: (A) Die Emittentin (wie nachstehend definiert) beabsichtigt, von Zeit zu Zeit Schuldver- schreibungen im Rahmen des Programms zu emittieren. (B) Die Garantin beabsichtigt, die Zahlung von Kapital und Zinsen sowie aller anderen in Bezug auf die im Rahmen des Programms von der Emittentin von Zeit zu Zeit emittierten Schuldverschreibungen zahlbaren Beträge unbedingt und unwiderruflich zu garantieren. (C) Die Garantin beabsichtigt, zugunsten der Gläubiger der im Rahmen des Programms von der Emittentin von Zeit zu Zeit emittierten Schuldverschreibungen eine Negativverpflichtung einzugehen. (D) Soweit nicht anderweitig definiert, haben Begriffe, die hierin benutzt werden, die ihnen in den Emissionsbedingungen (wie nachstehend definiert) zugewiesene Bedeutung.

§ 1 Definitionen In dieser Garantie haben nachstehende Begriffe die folgende Bedeutung: "Emissionsbedingungen" bezeichnet die Emissionsbedingungen der Schuldverschreibungen, wie jeweils durch die anwendbaren Endgültigen Bestimmungen abgeändert, ergänzt oder modifiziert; "Emittentin" bezeichnet die Merck Financial Services GmbH und, im Fall einer Ersetzung der Emittentin gemäß § 10 der Emissionsbedingungen, jede Nachfolgeschuldnerin (mit Ausnahme der Garantin); "Garantin" bezeichnet die Merck KGaA; "Gemeinsamer Vertreter" bezeichnet den gemäß § 15 der Emissionsbedingungen gewählten bzw. nach § 15 der Emissionsbedingungen bestellten Vertreter der Gläubiger; "Gläubiger" bezeichnet die jeweiligen Inhaber der Schuldverschreibungen (wobei dieser Begriff jede Vorläufige Globalurkunde und Endgültige Globalurkunde, welche die Schuldverschreibungen verbrieft, einschließt) und ein "Gläubiger" bedeutet jeder solche Inhaber; und "Schuldverschreibungen" bezeichnet die von der Emittentin jeweils im Rahmen des Programms begebenen Schuldverschreibungen.

103 § 2 Garantie und Negativverpflichtung (1) Die Garantin garantiert hiermit unbedingt und unwiderruflich gegenüber jedem Gläubiger einer Schuldverschreibung, die jetzt oder zu irgendeinem Zeitpunkt nach dem Datum dieser Garantie von der Emittentin im Rahmen des Programms begeben wird, die ordnungsgemäße Zahlung bei Fälligkeit aller in Bezug auf die betreffenden Schuldverschreibungen zahlbaren Beträge gemäß den Emissionsbedingungen der betreffenden Schuldverschreibungen jeweils zu den Zeitpunkten, für welche deren Fälligkeit in den Emissionsbedingungen der betreffenden Schuldverschreibungen vorgesehen ist. (2) Die Garantie stellt eine direkte, unbedingte, nicht nachrangige und (vorbehaltlich der in dieser Garantie enthaltenen Negativverpflichtung) nicht besicherte Verbindlichkeit der Garantin dar, die mit allen anderen nicht besicherten und nicht nachrangigen gegenwärtigen wie zukünftigen Verbindlichkeiten der Garantin gleichrangig ist, es sei denn, dass solchen Verbindlichkeiten zwingend durch Gesetze Vorrang eingeräumt wird. (3) Die Garantin verpflichtet sich darüber hinaus gegenüber jedem Gläubiger, solange Schuld- verschreibungen ausstehen, jedoch nur bis zu dem Zeitpunkt, an dem alle Beträge an Kapital und Zinsen dem Fiscal Agent (wie in den Emissionsbedingungen der betreffenden Schuldverschreibungen bestimmt und definiert) zur Verfügung gestellt worden sind, keine Grund- oder Mobiliarpfandrechte oder sonstige dingliche Sicherungsrechte oder sonstige Belastungen von gegenwärtigen oder zukünftigen Teilen ihres Vermögens oder ihres Vermögens insgesamt zur Sicherung der gegenwärtigen oder zukünftigen Kapitalmarktverbindlichkeiten (wie nachstehend definiert) zu bestellen oder fortbestehen zu lassen und keine Garantien oder andere Gewährleistungen für solche Kapitalmarktverbindlichkeiten abzugeben oder fortbestehen zu lassen, ohne jeweils die Gläubiger zur gleichen Zeit und im gleichen Rang an solchen Sicherheiten oder an solchen anderen Sicherheiten, die von einer international anerkannten unabhängigen Wirtschaftsprüfungsgesellschaft als gleichwertige Sicherheit anerkannt werden, teilhaben zu lassen. Im Sinne dieser Garantie bezeichnet "Kapitalmarktverbindlichkeit" jede Verbindlichkeit zur Rückzahlung aufgenommener Geldbeträge, die durch Schuldverschreibungen oder sonstige Wertpapiere mit einer ursprünglichen Laufzeit von mehr als einem Jahr, die an einer Börse oder an einem anderen anerkannten und regulierten Wertpapiermarkt notiert, zugelassen oder gehandelt werden oder notiert, zugelassen oder gehandelt werden können, verbrieft, verkörpert oder dokumentiert ist. (4) Die Verpflichtungen der Garantin aus dieser Garantie (i) sind selbständig und unabhängig von den Verpflichtungen der Emittentin aus den Schuldverschreibungen, (ii) bestehen ohne Rücksicht auf die Rechtmäßigkeit, Gültigkeit, Verbindlichkeit und Durchsetzbarkeit der Schuld- verschreibungen und (iii) werden nicht durch irgendein Ereignis, eine Bedingung oder einen Umstand tatsächlicher oder rechtlicher Natur berührt, außer durch die volle, endgültige und unwiderrufliche Erfüllung jedweder in den Schuldverschreibungen ausdrücklich eingegangener Zahlungsverpflichtungen. (5) Sämtliche von der Garantin auf diese Garantie zu zahlenden Beträge werden ohne Einbehalt oder Abzug an der Quelle für oder wegen gegenwärtiger oder zukünftiger Steuern oder Abgaben gleich welcher Art gezahlt, die von oder im Namen der Bundesrepublik Deutschland ("Deutschland") oder einer politischen Untergliederung oder einer Steuerbehörde dieses Staates (die "Steuerjurisdiktion") im Wege des Abzugs oder Einbehalts im Hinblick auf Zahlungen auf diese Garantie auferlegt oder erhoben werden, es sei denn, ein solcher Abzug oder Einbehalt ist gesetzlich vorgeschrieben. In diesem Fall wird die Garantin diejenigen zusätzlichen Beträge ("Zusätzliche Beträge") zahlen, die erforderlich sind, damit die den Gläubigern zufließenden Nettobeträge nach diesem Einbehalt oder Abzug jeweils den Beträgen an Kapital und Zinsen entsprechen, die ohne einen solchen Einbehalt oder Abzug von den Gläubigern erhalten worden wären; jedoch sind solche Zusätzlichen Beträge nicht zu zahlen: (a) in Bezug auf die deutsche Kapitalertragsteuer (inklusive der sog. Abgeltungsteuer), die nach dem deutschen Einkommensteuergesetz abgezogen oder einbehalten wird, auch wenn der Abzug oder Einbehalt durch die Garantin oder ihren Vertreter vorzunehmen ist,

104 und den deutschen Solidaritätszuschlag oder jede andere Steuer, welche die deutsche Kapitalertragsteuer bzw. den Solidaritätszuschlag ersetzen sollte; oder (b) an einen Gläubiger oder an einen Dritten für einen Gläubiger, falls dieser Gläubiger (oder ein Treuhänder, Gründer eines Treuhandvermögens, ein Begünstigter, oder ein Gesellschafter eines solchen Gläubigers, falls es sich bei diesem um ein Nachlassvermögen, ein Treuhandvermögen, eine Personengesellschaft oder eine Kapitalgesellschaft handelt) auf Grund einer früheren oder gegenwärtigen Verbindung zu Deutschland (einschließlich solcher Gläubiger (bzw. Treuhänder, Gründer eines Treuhandvermögens, Begünstigter oder Gesellschafter), welche Staatsbürger dieses Landes waren oder sind oder in diesem Land Handel oder Geschäfte betrieben haben oder betreiben oder in diesen eine Betriebsstätte hatten oder haben) einem solchen Einbehalt oder Abzug unterliegt und sich diese Verbindung nicht nur darauf beschränkt, dass er Begünstigter der Garantie ist oder die unter der Garantie jeweils zu leistenden Zahlungen erhält; oder (c) an den Gläubiger oder an einen Dritten für den Gläubiger, falls kein Einbehalt oder Abzug hätte erfolgen müssen, wenn die Schuldverschreibungen zum Zeitpunkt der fraglichen Zahlung einem Depotkonto bei einer bzw. einem nicht in Deutschland ansässigen Bank, Finanzdienstleistungsinstitut, Wertpapierhandelsunternehmen oder Wertpapierhandelsbank gutgeschrieben gewesen wären; oder (d) falls der Einbehalt oder Abzug bei Zahlungen an eine Privatperson vorgenommen wird und die Verpflichtung dazu durch die Richtlinie des Rates der Europäischen Union 2003/48/EC vom 3. Juni 2003 oder durch eine andere die Beschlüsse des ECOFIN Ratstreffens vom 26. bis 27. November 2000 zur Zinsbesteuerung umsetzende Richtlinie oder durch ein diese Richtlinie umsetzendes oder sie befolgendes oder zu ihrer Befolgung erlassenes Gesetz begründet wird; oder (e) soweit der Einbehalt oder Abzug von dem Gläubiger oder von einem Dritten für den Gläubiger zahlbar ist, der einen solchen Einbehalt oder Abzug dadurch rechtmäßigerweise hätte vermeiden können (aber nicht vermieden hat), dass er gesetzliche Vorschriften beachtet, oder dafür sorgt, dass Dritte dieses tun, oder dadurch dass er eine Nichtansässigkeitserklärung oder einen ähnlichen Antrag auf Quellensteuerbefreiung gegenüber der am Zahlungsort zuständigen Steuerbehörde; abgibt oder dafür sorgt, dass dies durch einen Dritten erfolgt, oder (f) soweit der Einbehalt oder Abzug für einen Gläubiger oder dessen Rechnung vorzunehmen ist, der den Nachweis für den Zahlungsanspruch aus der Garantie mehr als 30 Tage nach dem Tag, an dem eine Zahlung unter der Garantie fällig und zahlbar wurde bzw., soweit dies später eintritt, nach dem Tag, an dem die Zahlung ordnungsgemäß vorgenommen wurde, vorgelegt hat; oder (g) jegliche Kombination der Absätze (a)-(f). Zudem werden keine Zusätzlichen Beträge im Hinblick auf Zahlungen auf diese Garantie an einen Gläubiger gezahlt, welcher die Zahlung als Treuhänder oder Personengesellschaft oder als sonstiger nicht alleiniger wirtschaftlicher Eigentümer erhält, soweit nach den Gesetzen der Steuerjurisdiktion eine solche Zahlung für Steuerzwecke dem Einkommen des Begünstigten bzw. Gründers eines Treuhandvermögens oder dem Gesellschafter der Personengesellschaft zugerechnet würde, der jeweils selbst nicht zum Erhalt von Zusätzlichen Beträgen berechtigt gewesen wäre, wenn der Begünstigte, Gründer eines Treuhandvermögens, Gesellschafter oder wirtschaftliche Eigentümer unmittelbar Gläubiger der Schuldverschreibungen wäre. Falls die Garantin künftig anstelle oder zusätzlich zu Deutschland dem Steuerrechtsregime einer anderen Rechtsordnung unterfallen sollte, sind die in dieser Garantie enthaltenen Bezugnahmen auf Deutschland als Bezugnahmen auf Deutschland und/oder diese andere Rechtsordnung zu verstehen. (6) Sofern auf Schuldverschreibungen die Bestimmungen über Beschlüsse der Gläubiger oder den Gemeinsamen Vertreter der Gläubiger Anwendung finden, gelten diese Bestimmungen sinngemäß auch für diese Garantie.

105 § 3 Vertrag zugunsten Dritter Diese Garantie ist ein Vertrag gemäß § 328 Absatz 1 BGB zugunsten jedes Gläubigers als begünstigtem Dritten, der das Recht jedes Gläubigers begründet, die Garantin unmittelbar aus dieser Garantie in Anspruch zu nehmen und Ansprüche gegen die Garantin unmittelbar durchzusetzen.

§ 4 Ersetzung Im Fall der Ersetzung der Emittentin durch eine andere Rechtspersönlichkeit gemäß § 10 der Emissionsbedingungen der betreffenden Schuldverschreibungen sollen sich diese Garantie und die Verpflichtungen aus dieser Garantie dann auf die Bezahlung aller Beträge erstrecken, die von einer nicht mit der Garantin identischen Nachfolgeschuldnerin gemäß den Emissionsbedingungen der betreffenden Schuldverschreibungen geschuldet werden, dies gilt auch dann, wenn die Nachfolgeschuldnerin die Verpflichtungen aus den Schuldverschreibungen direkt von der Garantin übernommen haben sollte.

§ 5 Anwendbares Recht, Sonstige Bestimmungen Die aus dieser Garantie erwachsenden Rechte und Pflichten bestimmen sich in jeder Hinsicht nach deutschem Recht. Erfüllungsort ist Frankfurt am Main, Deutschland. Nicht ausschließlicher Gerichtsstand für alle Rechtsstreitigkeiten in den in dieser Garantie geregelten Angelegenheiten ist Frankfurt am Main, Deutschland. Das Original dieser Garantie wird der Deutsche Bank Aktiengesellschaft in ihrer Eigenschaft als Fiscal Agent unter dem Programm ausgehändigt und von dieser verwahrt. Der Fiscal Agent handelt nicht als Beauftragter, Treuhänder oder in einer ähnlichen Eigenschaft für die Gläubiger. Jeder Gläubiger einer Schuldverschreibung kann in jedem Rechtsstreit gegen die Garantin und in jedem Rechtsstreit, in dem er und die Garantin Partei sind, seine aus dieser Garantie hervorgehenden Rechte auf der Grundlage einer von einer vertretungsberechtigten Person des Fiscal Agent beglaubigten Kopie dieser Garantie ohne Vorlage des Originals im eigenen Namen wahrnehmen und durchsetzen. Diese Garantie ist in deutscher Sprache abgefasst. Eine Übersetzung in die englische Sprache ist beigefügt. Der deutsche Text ist bindend und maßgeblich. Die Übersetzung in die englische Sprache ist unverbindlich. Darmstadt, __. März 2010 Merck KGaA

Wir nehmen die Bedingungen der vorstehenden Garantie ohne Obligo, Gewährleistung oder Haftung und ohne als Beauftragter, Treuhänder oder in einer ähnlichen Eigenschaft für einen Gläubiger zu handeln, an. Frankfurt am Main, __. März 2010 Deutsche Bank Aktiengesellschaft

106 FORM OF GUARANTEE (NON-BINDING ENGLISH TRANSLATION) The German version of this Guarantee and Negative Pledge shall be the only legally binding version. This English translation is for convenience only. GUARANTEE AND NEGATIVE PLEDGE of Merck KGaA (a partnership limited by shares (Kommanditgesellschaft auf Aktien) incorporated under the laws of the Federal Republic of Germany) (the "Guarantor") for the benefit of the holders of Notes (the "Notes") issued by Merck Financial Services GmbH (a limited liability company (Gesellschaft mit beschränkter Haftung) incorporated under the laws of the Federal Republic of Germany) under the EUR 10,000,000,000 Debt Issuance Program of Merck KGaA and Merck Financial Services GmbH (as amended, supplemented or restated from time to time) (the "Program") Whereas: (A) The Issuer (as defined below) intends to issue Notes under the Program from time to time. (B) The Guarantor wishes to guarantee unconditionally and irrevocably the payment of principal and interest as well as any other amounts payable in respect of the Notes that may be issued by the Issuer under the Program. (C) The Guarantor wishes to enter into a negative pledge for the benefit of each holder of Notes that may be issued by the Issuer under the Program. (D) Unless otherwise defined herein, terms used and not separately defined herein shall have the same meaning to such terms as defined in the Terms and Conditions (as defined below).

§ 1 Definitions In this Guarantee: "Terms and Conditions" means the terms and conditions of the Notes, as amended, supplemented or varied by the applicable Final Terms; "Issuer" means Merck Financial Services GmbH and, upon any substitution of the Issuer pursuant to § 10 of the Terms and Conditions of the Notes, any Substitute Issuer (other than the Guarantor); "Guarantor" means Merck KGaA; "Holders' Representative" means the representative of the Holders elected pursuant to § 15 of the Terms and Conditions or appointed pursuant to § 15 of the Terms and Conditions; "Holders" means the holders of the Notes (which expression shall include any Temporary Global Note or Permanent Global Note representing the Notes) from time to time and a "Holder" means each such holder; and "Notes" means the notes issued under the Program by the Issuer from time to time.

§2 Guarantee and Negative Pledge (1) The Guarantor hereby unconditionally and irrevocably guarantees to each Holder of a Note, issued by the Issuer on or after the date of this Guarantee under the Program, the due and punctual payment of all amounts payable in accordance with the Terms and Conditions of the relevant Notes on the due dates provided for in the Terms and Conditions of the relevant Notes.

107 (2) The Guarantee constitutes a direct, unconditional, unsubordinated and (subject to the provisions of the negative pledge contained in this Guarantee) unsecured obligation of the Guarantor ranking pari passu with all other unsecured and unsubordinated obligations of the Guarantor, present and future, unless such obligations are accorded priority under mandatory provisions of statutory law. (3) The Guarantor further undertakes towards each Holder, so as long as any Notes remain outstanding, but only up to the time all amounts of principal and interest have been placed at the disposal of the Fiscal Agent (as set forth and defined in the Terms and Conditions of the relevant Notes), not to create, grant or permit to subsist any mortgage, charge, pledge, lien or other encumbrance upon any or all of its present or future assets as security for any present or future Capital Market Indebtedness (as defined below), or any guarantees or other indemnities in respect of any such Capital Market Indebtedness, without at the same time having the Holders share equally and rateably in such security or such other security as shall be approved by an independent accounting firm of internationally recognised standing as being equivalent security. For purposes of this Guarantee, "Capital Market Indebtedness" means any obligation for the payment of borrowed money which is in the form of, or represented by, notes or other securities with an original maturity of more than one year which are or are capable of being quoted, listed, dealt in or traded on a stock exchange or other recognised and regulated securities market. (4) The obligations of the Guarantor under this Guarantee (i) shall be separate and independent from the obligations of the Issuer under the Notes, (ii) shall exist irrespective of the legality, validity and binding effect or enforceability of the Notes, and (iii) shall not be affected by any event, condition or circumstance of whatever nature, whether factual or legal, save the full, definitive and irrevocable satisfaction of any and all payment obligations expressed to be assumed under the Notes. (5) All amounts payable by the Guarantor under the Guarantee shall be made free and clear of, and without withholding or deduction for, any present or future taxes or duties of whatever nature imposed or levied by way of deduction or withholding with respect to payments made under the Guarantee by or on behalf of the Federal Republic of Germany ("Germany") or any authority therein or thereof having power to tax (the "Taxing Jurisdiction"), unless such deduction or withholding is required by law. In that event the Guarantor shall pay such additional amounts (the "Additional Amounts") as shall result in receipt by the Holders of such amounts as would have been received by them had no such withholding or deduction been required, except that no Additional Amounts shall be payable with respect to: (a) German Kapitalertragsteuer (including Abgeltungsteuer) to be deducted or withheld pursuant to the German Income Tax Act, even if the deduction or withholding has to be made by the Guarantor or its representative, and the German Solidarity Surcharge (Solidaritätszuschlag) or any other tax which may substitute the German Kapitalertragsteuer or Solidaritätszuschlag, as the case may be; or (b) payments to, or to a third party on behalf of, a Holder where such Holder (or a fiduciary, settlor, beneficiary or shareholder of such Holder, if such Holder is an estate, a trust, a partnership or a corporation) is liable to such withholding or deduction by reason of having some present or former connection with Germany, including, without limitation, such Holder (or such fiduciary, settlor, beneficiary or shareholder) being or having been a citizen or resident thereof or being or having been engaged in a trade or business or present therein or having, or having had, a permanent establishment therein, other than by reason only of being the beneficiary under this Guarantee or the receipt of the relevant payment under this Guarantee; or (c) payments to, or to a third party on behalf of, a Holder where no such withholding or deduction would have been required to be made if the Notes were credited at the time of payment to a securities deposit account with a bank, financial services institution, securities trading business or securities trading bank, in each case outside Germany; or (d) payments where such withholding or deduction is imposed on a payment to an individual and is required to be made pursuant to European Council Directive 2003/48/EC dated June 3, 2003 or any other directive implementing the conclusions of the ECOFIN Council meeting of November 26 ± 27, 2000 on taxation of savings income or any law implementing or complying with, or introduced in order to conform to such Directive; or

108 (e) payments to the extent such withholding or deduction is payable by or on behalf of a Holder who could lawfully avoid (but has not so avoided) such withholding or deduction by complying or procuring that any third party complies with any statutory requirements or by making or procuring that a third party makes a declaration of non-residence or other similar claim for exemption to any tax authority in the place where the payment is effected; or (f) payments to the extent such withholding or deduction is for or on account of the presentation of evidence by the Holder for payment under this Guarantee on a date more than 30 days after the date on which such payment became due and payable or the date on which payment thereof is duly provided for, whichever occurs later; or (g) any combination of items (a)-(f); nor shall any Additional Amounts be paid with respect to any payment under this Guarantee to a Holder who is a fiduciary or partnership or who is other than the sole beneficial owner of such payment to the extent such payment would be required by the laws of the Taxing Jurisdiction to be included in the income, for tax purposes, of a beneficiary or settlor with respect to such fiduciary or a member of such partnership or a beneficial owner who would not have been entitled to such Additional Amounts had such beneficiary, settlor, member or beneficial owner been the Holder of the Note. If the Guarantor becomes subject generally at any time to any taxing jurisdiction other than or in addition to Germany, references herein to Germany shall be read and construed as references to Germany and/or to such other jurisdiction. (6) If and to the extent the provisions regarding resolutions of Holders or the Holders' Representative are applicable to the Notes, these provisions shall apply mutatis mutandis to the Guarantee.

§ 3 Contract for the Benefit of Holders This Guarantee constitutes a contract for the benefit of the Holders as third party beneficiaries pursuant to § 328 paragraph 1 BGB (German Civil Code)12 giving rise to the right of each Holder to require performance of the obligations undertaken herein directly from the Guarantor and to enforce such obligations directly against the Guarantor.

§ 4 Substitution In the event of any substitution of the Issuer by any other entity pursuant to § 10 of the Terms and Conditions of the relevant Notes, this Guarantee and the obligations hereunder shall extend to any and all sums expressed to be payable pursuant to the Terms and Conditions of the relevant Notes by any Substitute Issuer (other than the Guarantor) even if the Substitute Issuer shall have assumed the obligations arising under the Notes directly from the Guarantor.

§ 5 Governing Law, Miscellaneous The rights and obligations arising from this Guarantee are in all respects governed by the laws of Germany. The place of performance is Frankfurt am Main, Germany. Non-exclusive place of jurisdiction for all proceedings arising from matters provided for in this Guarantee shall be Frankfurt am Main, Germany. The original of this Guarantee shall be delivered to, and kept by, Deutsche Bank Aktiengesellschaft in its capacity as Fiscal Agent under the Program. The Fiscal Agent does not act as agent, fiduciary or in any other similar capacity for the Holders.

12 An English language translation of § 328 paragraph 1 BGB (German Civil Code) reads as follows: "A contract may stipulate performance for the benefit of a third party, to the effect that the third party acquires the right directly to demand performance".

109 On the basis of a copy of this Guarantee, certified as being a true copy by a duly authorized officer of the Fiscal Agent, each Holder may protect and enforce it his own name his rights arising under this Guarantee in any legal proceedings against the Guarantor or to which such Holder and the Guarantor are parties, without the need for production of the original of this Guarantee in such proceedings. This Guarantee is written in the German language and provided with an English language translation. The German text shall be controlling and binding. The English language translation is provided for convenience only. Darmstadt, March ___, 2010 Merck KGaA

We accept the terms of the above Guarantee without recourse, warranty or liability and without acting as agent, fiduciary or in any similar capacity for any Holder. Frankfurt am Main, March ___, 2010 Deutsche Bank Aktiengesellschaft

110 In case of Notes to be listed on any regulated market or publicly offered in one or more member states of the European Economic Area, the Final Terms of Notes issued by Merck KGaA and Merck Financial Services GmbH will be displayed in electronic form on the website of Merck KGaA (www.merck.de) and, if the Notes are listed on the official list of the Luxembourg Stock Exchange and admitted to trading on its regulated market, in addition on the website of the Luxembourg Stock Exchange (www.bourse.lu). Falls Schuldverschreibungen, die an einem regulierten Markt notiert oder öffentlich in einem oder mehreren Mitgliedstaaten des Europäischen Wirtschaftsraumes werden, werden die Endgültigen Bedingungen von Schuldverschreibungen, die von der Merck KGaA oder der Merck Financial Services GmbH begeben werden, in elektronischer Form auf der Internetseite der Merck KGaA (www.merck.de) und, falls die Schuldverschreibungen auf dem amtlichen Kursblatt der Luxemburger Wertpapierbörse notiert werden und zum Handel an deren reguliertem Markt zugelassen sind, zusätzlich auf der Internetseite der Luxemburger Wertpapierbörse (www.bourse.lu) angezeigt.

FORM OF FINAL TERMS (MUSTER ± ENDGÜLTIGE BEDINGUNGEN)

[Date] [Datum] Final Terms Endgültige Bedingungen

[Title of relevant Series of Notes] [Bezeichnung der betreffenden Serie der Schuldverschreibungen]

issued pursuant to the begeben aufgrund des EUR 10,000,000,000 Debt Issuance Program of der Merck KGaA and und Merck Financial Services GmbH

dated March 16, 2010 vom 16. März 2010

Issue Price: [ ]% Ausgabepreis: [ ]%

Settlement Date: [ ]1 Tag der Begebung: [ ]

Series No.: [ ] Serien Nr.: [ ]

1 The "Settlement Date" is the date of payment and settlement of the Notes. In the case of free delivery, the Settlement Date is the delivery date. Der ÄTag der Begebung³ ist der Tag, an dem die Schuldverschreibungen begeben und bezahlt werden. Bei freier Lieferung ist der Tag der Begebung der Tag der Lieferung.

111 These Final Terms are issued to give details of an issue of Notes under the EUR 10,000,000,000 Debt Issuance Program of Merck KGaA and Merck Financial Services GmbH (the "Program"). Full information on Merck KGaA and Merck Financial Services GmbH and the offer of the Notes is only available on the basis of the combination of the Debt Issuance Program Prospectus pertaining to the Program dated March 16, 2010 (the "Prospectus") which constitutes a base prospectus for the purpose of the Prospectus Directive (Directive 2003/71/EC (the "Prospectus Directive")) and these Final Terms. The Prospectus and any supplement thereto are available for viewing in electronic form on the website of Merck KGaA (www.merck.de) and, if the Notes are listed on the official list of the Luxembourg Stock Exchange and admitted to trading on its regulated market, in addition on the website of the Luxembourg Stock Exchange (www.bourse.lu), and copies may be obtained from Merck KGaA, Frankfurter Strasse 250, 65293 Darmstadt, Federal Republic of Germany. Diese Endgültigen Bedingungen enthalten Angaben zur Emission von Schuldverschreibungen unter dem EUR 10.000.000.000 Debt Issuance Program der Merck KGaA und der Merck Financial Services GmbH (das "Programm"). Vollständige Informationen über Merck KGaA und Merck Financial Services GmbH und das Angebot der Schuldverschreibungen sind nur verfügbar, wenn die Endgültigen Bedingungen und der Debt Issuance Program Prospekt vom 16. März 2010 über das Programm (der "Prospekt"), welcher ein Basisprospekt im Sinne der Prospektrichtlinie (Richtlinie 2003/71/EC (die "Prospektrichtlinie")) ist, zusammengenommen werden. Der Prospekt sowie jeder Nachtrag können in elektronischer Form auf der Internetseite der Merck KGaA (www.merck.de) und, sofern die Schuldverschreibungen auf dem amtlichen Kursblatt der Luxemburger Wertpapierbörse notiert werden und zum Handel an deren reguliertem Markt zugelassen sind, auf der Internetseite der Luxemburger Wertpapierbörse (www.bourse.lu) eingesehen werden. Kopien sind erhältlich bei der Merck KGaA, Frankfurter Strasse 250, 65293 Darmstadt.

Part I: Terms and Conditions Teil I: Emissionsbedingungen [In the case of Long-form Conditions, insert: Im Fall von nicht konsolidierten Bedingungen einfügen: This part I of the Final Terms is for the purpose of Article 5.4 of the Prospectus Directive to be read in conjunction with the Terms and Conditions of the Notes (the "Terms and Conditions") set forth in the Debt Issuance Program Prospectus pertaining to the Program dated March 16, 2010. Capitalized Terms not otherwise defined herein shall have the meanings specified in the Terms and Conditions. Dieser Teil I der Endgültigen Bedingungen ist im Sinne des Artikel 5.4 der Prospektrichtlinie in Verbindung mit den Emissionsbedingungen der Schuldverschreibungen (die "Emissionsbedingungen") zu lesen, die in der Fassung vom 16. März 2010 des Debt Issuance Program Prospekts über das Programm enthalten sind. Begriffe, die in den Emissionsbedingungen definiert sind, haben, falls die Endgültigen Bedingungen nicht etwas anderes bestimmen, die gleiche Bedeutung, wenn sie in diesen Endgültigen Bedingungen verwendet werden. All references in these Final Terms to numbered Articles and sections are to Articles and sections of the Terms and Conditions. Bezugnahmen in diesen Endgültigen Bedingungen auf Paragraphen und Absätze beziehen sich auf die Paragraphen und Absätze der Emissionsbedingungen. All provisions in the Terms and Conditions corresponding to items in these Final Terms which are either not selected or completed or which are deleted shall be deemed to be deleted from the terms and conditions applicable to the Notes (the "Conditions"). Sämtliche Bestimmungen der Emissionsbedingungen, die sich auf Variablen dieser Endgültigen Bedingungen beziehen und die weder angekreuzt noch ausgefüllt werden oder die gestrichen werden, gelten als in den auf die Schuldverschreibungen anwendbaren Emissionsbedingungen (die "Bedingungen") gestrichen.] [In the case of Integrated Conditions, insert: Im Fall von konsolidierten Bedingungen einfügen: The Integrated Conditions applicable to the Notes [and the [German][English] language translation thereof, if any,] are attached hereto and replace in full the Terms and Conditions of the Notes as set out in the Prospectus pertaining to the Program dated March 16, 2010. The Integrated Conditions shall take precedence over any conflicting term set forth in these Final Terms.

112 Die für die Schuldverschreibungen geltenden konsolidierten Bedingungen [und eine [deutschsprachige][englischsprachige] Übersetzung] sind diesen Endgültigen Bedingungen beigefügt und ersetzen in Gänze die im Prospekt vom 16. März 2010 über das Programm abgedruckten Emissionsbedingungen. Die konsolidierten Bedingungen gehen etwaigen abweichenden Bestimmungen dieser Endgültigen Bedingungen vor.] Issuer [Merck KGaA] Emittentin [Merck Financial Services GmbH]

Form of Conditions2 Form der Bedingungen ¨ Long-Form Nicht-konsolidierte Bedingungen ¨ Integrated Konsolidierte Bedingungen

Language of Conditions3 Sprache der Bedingungen ¨ German only ausschließlich Deutsch ¨ English only ausschließlich Englisch ¨ English and German (English binding) Englisch und Deutsch (englischer Text maßgeblich) ¨ German and English (German binding) Deutsch und Englisch (deutscher Text maßgeblich)

CURRENCY, DENOMINATION, FORM, CERTAIN DEFINITIONS (§ 1) WÄHRUNG, STÜCKELUNG, FORM, DEFINITIONEN (§ 1) Currency and Denomination Währung und Stückelung Specified Currency [ ] Festgelegte Währung Aggregate Principal Amount [ ]

2 To be determined in consultation with the Issuer. It is anticipated that Long-Form Conditions will generally be used for Notes in bearer form sold on a non-syndicated basis and which are not publicly offered. Integrated Conditions will generally be used for Notes in bearer form sold and distributed on a syndicated basis. Integrated Conditions will be required where the Notes are to be publicly offered, in whole or in part, or to be distributed, in whole or in part, to non-qualified investors (i.e. investors other than qualified investors as defined in the Prospectus Directive). Die Form der Bedingungen ist in Abstimmung mit der Emittentin festzulegen. Es ist vorgesehen, dass nicht-konsolidierte Bedingungen für Inhaberschuldverschreibungen verwendet werden, die auf nicht syndizierter Basis verkauft und die nicht öffentlich zum Verkauf angeboten werden. Konsolidierte Bedingungen werden in der Regel für Inhaberschuldverschreibungen verwendet, die auf syndizierter Basis verkauft und vertrieben werden. Konsolidierte Bedingungen sind erforderlich, wenn die Schuldverschreibungen insgesamt oder teilweise an nicht qualifizierte Investoren (d.h. Investoren, die keine qualifizierten Anleger im Sinne der Prospektrichtlinie sind) verkauft oder öffentlich angeboten werden. 3 To be determined in consultation with the Issuer. It is anticipated that, subject to any stock exchange or legal requirements applicable from time to time, and unless otherwise agreed, in the case of Notes in bearer form sold and distributed on a syndicated basis, German will be the controlling language. In the case of Notes in bearer form publicly offered, in whole or in part, in the Federal Republic of Germany, or distributed, in whole or in part, to non-qualified investors in the Federal Republic of Germany, German will be the controlling language. If, in the event of such public offer or distribution to non-qualified investors, however, English is chosen as the controlling language, a German language translation of the Conditions will be available from the principal office of Merck KGaA. In Abstimmung mit der Emittentin festzulegen. Es wird erwartet, dass vorbehaltlich geltender Börsen- oder anderer Bestimmungen und soweit nicht anders vereinbart, die deutsche Sprache für Inhaberschuldverschreibungen maßgeblich sein wird, die auf syndizierter Basis verkauft und vertrieben werden. Falls Inhaberschuldverschreibungen insgesamt oder teilweise öffentlich zum Verkauf in der Bundesrepublik Deutschland angeboten oder an nicht qualifizierte Investoren in der Bundesrepublik Deutschland verkauft werden, wird die deutsche Sprache maßgeblich sein. Falls bei einem solchen öffentlichen Verkaufsangebot oder Verkauf an nicht qualifizierte Investoren die englische Sprache als maßgeblich bestimmt wird, wird eine deutschsprachige Übersetzung der Bedingungen bei der Hauptgeschäftsstelle der Merck KGaA erhältlich sein.

113 Gesamtnennbetrag Specified Denomination4 [ ] Festgelegte Stückelung Number of Notes to be issued in each Specified Documentation. [ ] Zahl der in jeder Festgelegten Stückelung auszugebenden Schuldverschreibungen. Minimum Principal Amount for Transfers (specify) [ ] Mindestnennbetrag für Übertragungen (angeben)

New Global Note [Yes/No] New Global Note [Ja/Nein] ¨ TEFRA C TEFRA C Permanent Global Note Dauerglobalurkunde ¨ TEFRA D TEFRA D Temporary Global Note exchangeable for Permanent Global Note Vorläufige Globalurkunde austauschbar gegen Dauerglobalurkunde ¨ Neither TEFRA D nor TEFRA C5 Weder TEFRA D noch TEFRA C Permanent Global Note Dauerglobalurkunde

Certain Definitions Definitionen Clearing System Clearingsystem ¨ Clearstream Banking AG Neue Börsenstraße 1 60487 Frankfurt am Main Germany ¨ Clearstream Banking, société anonyme 42 Avenue JF Kennedy 1855 Luxembourg The Grand Duchy of Luxembourg ¨ Euroclear Bank S.A./N.V., as Operator of the Euroclear System 1 Boulevard du Roi Albert II 1210 Brussels Kingdom of Belgium ¨ Other ± specify [ ] sonstige (angeben) Calculation Agent [Yes/No] Berechnungsstelle [Ja/Nein]

4 The minimum denomination of the Notes issued will be EUR 1,000 or an amount in any other currency which is at least equivalent on the issue date. Die Mindeststückelung der Schuldverschreibungen, die begeben werden, ist EUR 1.000 oder ein am Tag der Begebung diesem Betrag mindestens entsprechender Betrag in einer anderen Währung. 5 Applicable only if Notes have an initial maturity of one year or less. Nur anwendbar bei Schuldverschreibungen mit einer ursprünglichen Laufzeit von einem Jahr oder weniger.

114 ¨ Fiscal Agent ¨ Other (specify) [ ] sonstige (angeben)

INTEREST (§ 3) ZINSEN (§ 3) ¨ Fixed Rate Notes Festverzinsliche Schuldverschreibungen Rate of Interest and Interest Payment Dates Zinssatz und Zinszahlungstage Rate of Interest [ ]% per annum Zinssatz [ ]% per annum Interest Commencement Date [ ] Verzinsungsbeginn Fixed Interest Payment Date(s) [ ] Festzinstermin(e) First Interest Payment Date [ ] Erster Zinszahlungstag Initial Broken Amount(s) per Specified Denomination Anfängliche(r) [ ] Bruchteilzinsbetrag(-beträge) je Festgelegte Stückelung Fixed Interest Date preceding the Maturity Date [ ] Festzinstermin, der dem Fälligkeitstag vorangeht Final Broken Amount(s) per Specified Denomination [ ] Abschließende(r) Bruchteilzinsbetrag(-beträge) je Festgelegte Stückelung Determination Date(s)6 [ ] in each year Feststellungstermin(e) [ ] in jedem Jahr ¨ Floating Rate Notes Variabel verzinsliche Schuldverschreibungen Interest Payment Dates Zinszahlungstage Interest Commencement Date [ ] Verzinsungsbeginn Specified Interest Payment Dates [ ] Festgelegte Zinszahlungstage Specified Interest Period(s) [ ] [weeks/months/other ± specify] Festgelegte Zinsperiode(n) [ ] [Wochen/Monate/andere ± angeben] Business Day Convention Geschäftstagskonvention ¨ Modified Following Business Day Convention Modifizierte-Folgender-Geschäftstag-Konvention ¨ FRN Convention (specify period(s)) [ ] [months/other ± specify] FRN Konvention (Zeitraum angeben) [ ] [Monate/andere ± angeben] ¨ Following Business Day Convention

6 Insert regular Interest Dates ignoring Issue Date or Maturity Date in the case of a long or short first or last Coupon. N.B. only relevant where the Specified Currency is Euro and the Date Count Fraction is Actual/Actual (ICMA). Einzusetzen sind die festen Zinstermine, wobei im Falle eines langen oder kurzen ersten oder letzten Kupons der Tag der Begebung bzw. der Fälligkeitstag nicht zu berücksichtigen sind; nur einschlägig, falls die festgelegte Währung Euro ist und der Zinstagequotient Actual/Actual (ICMA) anwendbar ist.

115 Folgender-Geschäftstag-Konvention ¨ Preceding Business Day Convention Vorangegangener-Geschäftstag-Konvention Relevant Financial Centers [ ] Relevante Finanzzentren Adjustment of interest [Yes/No] Anpassung der Zinsen [Ja/Nein] Rate of Interest Zinssatz ¨ Screen Rate Determination Bildschirmfeststellung ¨ EURIBOR ([11.00 a.m.] Brussels time/TARGET Business [ ] Day/ interbank market in the euro-zone) EURIBOR ([11.00 Uhr] Brüsseler Ortszeit/TARGET Geschäftstag/Interbanken-Markt in der Euro-Zone) Screen page Bildschirmseite ¨ LIBOR (London time/London Business Day/London [ ] Interbank Market) LIBOR (Londoner Ortszeit/Londoner Geschäftstag/Londoner Interbanken-Markt) Screen page Bildschirmseite ¨ Other (specify) [ ] Sonstige (angeben) Screen page [ ] Bildschirmseite ¨ Other applicable rounding provision (specify) [ ] Andere anwendbare Rundungsbestimmung (angeben) Margin [ ]% per annum Marge [ ]% per annum ¨ plus plus ¨ minus minus Interest Determination Date Zinsfestlegungstag ¨ second Business Day prior to commencement of Interest Period zweiter Geschäftstag vor Beginn der jeweiligen Zinsperiode ¨ first day of each Interest Period erster Tag der jeweiligen Zinsperiode ¨ other (specify) [ ] sonstige (angeben) Reference Banks (if other than as specified in § 3(2)) (specify) [ ] Referenzbanken (sofern abweichend von § 3 Absatz 2) (angeben)

116 ¨ ISDA Determination7 [specify details] ISDA-Feststellung [Details einfügen] ¨ Other Method of Determination (insert details (including Margin, [ ] Interest Determination Date, Reference Banks, fall-back provisions)) Andere Methoden der Bestimmung (Einzelheiten angeben (einschließlich Marge, Zinsfestlegungstag, Referenzbanken, Ausweichbestimmungen)) Minimum and Maximum Rate of Interest Mindest- und Höchstzinssatz ¨ Minimum Rate of Interest [ ]% per annum Mindestzinssatz [ ]% per annum ¨ Maximum Rate of Interest [ ]% per annum Höchstzinssatz [ ]% per annum ¨ Zero Coupon Notes Nullkupon-Schuldverschreibungen Accrual of Interest Auflaufende Zinsen Amortisation Yield [ ] Emissionsrendite ¨ Other structured Floating Rate Notes [ ] Sonstige strukturierte variabel verzinsliche Schuldverschreibungen (set forth details in full here (including fall back provisions, if the relevant reference rate is not available)) (Einzelheiten einfügen (einschließlich Ausweichbestimmungen, wenn der maßgebliche Referenzsatz nicht verfügbar ist)) ¨ Dual Currency Notes [ ] Doppelwährungs-Schuldverschreibungen (set forth details in full here (including exchange rate(s) or basis for calculating exchange rate(s) to determine interest, a description of any market disruption or settlement disruption events that affect the underlying and adjustment rules with relation to events concerning the underlying)) (Einzelheiten einfügen (einschließlich Wechselkurs(e) oder Grundlage für die Berechnung des/der Wechselkurs(e) zur Bestimmung von Zinsbeträgen, eine Beschreibung etwaiger Störungen des Marktes oder bei der Abrechnung, die den Basiswert beeinflussen sowie Korrekturvorschriften in Bezug auf Vorfälle, die den Basiswert beeinflussen)) ¨ Partly Paid Notes [ ] Teileingezahlte Schuldverschreibungen (set forth details in full here (including amount of each instalment/ due dates for payment/consequences of failure to pay/interest rate)) (Einzelheiten einfügen (einschließlich Höhe der Raten/ Ratenzahlungstermine/Konsequenzen bei Nicht-Zahlung/Zinssatz)) ¨ Installment Notes [ ]

7 ISDA Determination should only be applied in the case of Notes permanently represented by a Global Note because the ISDA Agreement and the ISDA Definitions have to be attached to the relevant Notes. ISDA-Feststellung sollte nur dann gewählt werden, wenn die betreffenden Schuldverschreibungen durch eine Dauerglobalurkunde verbrieft werden, weil das ISDA-Agreement und die ISDA Definitions den Schuldverschreibungen beizufügen sind.

117 Raten-Schuldverschreibungen (set forth details in full here (including Installment Date(s) and Installment Amount(s))) (Einzelheiten einfügen (einschließlich Ratenzahlungstermin(e) und Rate(n))) ¨ Index Linked Interest Notes Ҙ [ ] Schuldverschreibungen mit indexabhängiger Verzinsung (set forth details in full here, (including index/formula, basis for calculating interest, a description of any market disruption or settlement disruption events that affect the underlying and adjustment rules with relation to events concerning the underlying)) (Einzelheiten einfügen, (einschließlich des Index/der Formel, der Grundlage für die Berechnung der Zinsbeträge, eine Beschreibung etwaiger Störungen des Marktes oder bei der Abrechnung, die den Basiswert beeinflussen sowie Korrekturvorschriften in Bezug auf Vorfälle, die den Basiswert beeinflussen)) ¨ Credit Linked Interest Note [ ] Credit Linked Interest Notes (set forth details in full (including basis for calculating interest and a description of the reference entity and its obligation)) (Einzelheiten einfügen (einschließlich der Grundlagen für die Berechnung der Zinsbeträge sowie eine Beschreibung der Bezugsgesellschaft und ihrer Verpflichtungen)) ¨ Other structured Interest Notes [ ] Anders strukturierte verzinsliche Schuldverschreibungen (set forth details in full here (including fall back provisions, if the relevant reference rate is not available)) (Einzelheiten einfügen (einschließlich Ausweichbestimmungen, wenn der maßgebliche Referenzsatz nicht verfügbar ist)) Day Count Fraction Zinstagequotient ¨ Actual/365 (Actual/Actual) ¨ Actual/Actual (ICMA) ¨ Actual/365 (Fixed) ¨ Actual/360 ¨ 30/360 or 360/360 (Bond Basis) ¨ 30E/360 (Eurobond Basis) ¨ Other Sonstige

PAYMENTS (§ 4) ZAHLUNGEN (§ 4) Payment Business Day Zahlungstag ¨ Relevant Financial Centre(s) (specify all) [ ] Relevante Finanzzentren (alle angeben)

REDEMPTION (§ 5)

Ҙ * [Note: Check requirements regarding licence from Index Sponsor.] [Anmerkung: Anforderungen bezüglich Lizenz des Index Sponsors prüfen.]

118 RÜCKZAHLUNG (§ 5) Final Redemption Rückzahlung bei Endfälligkeit Maturity Date [ ] Fälligkeitstag Redemption Month and year [ ] Rückzahlungsmonat Final Redemption Amount Rückzahlungsbetrag ¨ Principal amount Nennbetrag ¨ Final Redemption Amount (specify) [ ] Rückzahlungsbetrag (angeben) Early Redemption Vorzeitige Rückzahlung Early Redemption at the Option of a Holder upon a Change of [Yes/No] Control [Ja/Nein] Vorzeitige Rückzahlung nach Wahl des Gläubigers bei Vorliegen eines Kontrollwechsels Early Redemption at the Option of the Issuer [Yes/No] Vorzeitige Rückzahlung nach Wahl der Emittentin [Ja/Nein] Minimum Redemption Amount [ ] Mindestrückzahlungsbetrag Higher Redemption Amount [ ] Höherer Rückzahlungsbetrag Call Redemption Date(s) [ ] Wahlrückzahlungstag(e) (Call) Call Redemption Amount(s) [ ] Wahlrückzahlungsbetrag/-beträge (Call) Minimum Notice to Holders [ ] Mindestkündigungsfrist Maximum Notice to Holders [ ] Höchstkündigungsfrist Early Redemption at the Option of a Holder [Yes/No] Vorzeitige Rückzahlung nach Wahl des Gläubigers [Ja/Nein] Put Redemption Date(s) [ ] Wahlrückzahlungstag(e) (Put) Put Redemption Amount(s) [ ] Wahlrückzahlungsbetrag/-beträge (Put) Minimum Notice to Issuer [ ] days Mindestkündigungsfrist [ ] Tage Maximum Notice to Issuer (never more than 60 days) [ ] days Höchstkündigungsfrist (nie mehr als 60 Tage) [ ] Tage Early Redemption at the Option of the Issuer for Reasons of Minimal [Yes/No] Outstanding Principal Amount [Ja/Nein] Vorzeitige Rückzahlung nach Wahl der Emittentin bei geringfügig ausstehendem Nennbetrag Early Redemption Amount Vorzeitiger Rückzahlungsbetrag Percentage above Comparable Benchmark Yield [ ] Prozentsatz über Vergleichbarer Benchmark Rendite [ ]

119 Zero Coupon Notes: Nullkupon-Schuldverschreibungen Reference Price [ ] Referenzpreis ¨ Dual Currency Notes [ ] Doppelwährungs-Schuldverschreibungen (set forth details in full here (including exchange rate(s) or basis for calculating exchange rate(s) to determine principal/fall-back provisions)) (Einzelheiten einfügen (einschließlich Wechselkurs(e) oder Grundlage für die Berechnung des/der Wechselkurs(e) zur Bestimmung von Kapitalbeträgen/Ausweichbestimmungen)) ¨ Partly Paid Notes [ ] Teileingezahlte Schuldverschreibungen (set forth details in full here (including amount of each instalment/ due dates for payment/consequences of failure to pay/interest rate)) (Einzelheiten einfügen (einschließlich Höhe der Raten/ Ratenzahlungstermine/Konsequenzen bei Nicht-Zahlung/Zinssatz)) ¨ Installment Notes [ ] Teileingezahlte Schuldverschreibungen (set forth details in full here (including amount of each instalment/ due dates for payment/consequences of failure to pay/interest rate)) (Einzelheiten einfügen (einschließlich Höhe der Raten/ Ratenzahlungstermine/Konsequenzen bei Nicht-Zahlung/Zinssatz)) ¨ Index Linked Redemption Notes* [ ] Schuldverschreibungen mit indexabhängiger RückzahlungҘ (set forth details in full here or in an attachment) (Einzelheiten hier oder in einer Anlage einfügen) ¨ Credit Linked Redemption Notes [ ] Credit Linked Redemption Notes (set forth details in full here or in an attachment) (Einzelheiten hier oder in einer Anlage einfügen) ¨ Other structured Redemption Notes [ ] Schuldverschreibungen mit anders strukturierter Rückzahlung (set forth details in full here or in an attachment) (Einzelheiten hier oder in einer Anlage einfügen)

AGENTS (§ 6) Calculation Agent/specified office8 [ ] Berechnungsstelle/bezeichnete Geschäftsstelle Required location of Calculation Agent (specify) [ ] Vorgeschriebener Ort für Berechnungsstelle (angeben) ¨ Paying Agents

* [Note: Check requirements regarding licence from Index Sponsor.] [Anmerkung: Anforderungen bezüglich Lizenz des Index Sponsors prüfen. Ҙ 8 Not to be completed if Fiscal Agent is to be appointed as Calculation Agent. Nicht auszufüllen, falls Fiscal Agent als Berechnungsstelle bestellt werden soll.

120 Zahlstellen ¨ Deutsche Bank Aktiengesellschaft ¨ >Ɣ] ¨ Additional Paying Agent(s)/specified office(s) [ ] Zahlstelle(n)/bezeichnete Geschäftsstelle(n) ¨ NOTICES (§ 12) MITTEILUNGEN (§ 12) Place and medium of publication Ort und Medium der Bekanntmachung ¨ Website of the Luxembourg Stock Exchange (www.bourse.lu) Internetseite der Luxemburger Börse (www.bourse.lu) ¨ Clearing System ¨ Other (specify) [ ] sonstige (angeben)

MAJORITY RESOLUTIONS OF HOLDERS (§ [14]) (opt-in) [Yes/No] MEHRHEITSBESCHLÜSSE DER GLÄUBIGER (§ [14]) (opt-in) [Ja/Nein] Resolutions to be passed9: Beschlussfassung ¨ in Holders' meetings in Gläubigerversammlungen ¨ by voting without a meeting im Wege der Abstimmung ohne Versammlung If relevant, matters which are not subject to majority resolutions (specify [ ] details) Soweit relevant, Maßnahmen, die nicht der Zustimmung durch Mehrheitsbeschluss unterliegen (Einzelheiten einfügen) Majority requirements Mehrheitserfordernisse If relevant, matters which require a qualified majority (specify [ ] details) Soweit relevant, Maßnahmen, die eine qualifizierte Mehrheit verlangen (Einzelheiten einfügen) Qualified majority qualifizierte Mehrheit 75% Other (specify) [ ] sonstige (angeben) If relevant, matters which require a majority higher than the qualified majority (specify details) Soweit relevant, Maßnahmen angeben, die eine höhere Mehrheit verlangen als die qualifizierte Mehrheit - (Einzelheiten einfügen)

APPOINTMENT OF HOLDERS' REPRESENTATIVE (§ [15]) (opt-in) [Yes/No] BESTELLUNG EINES GEMEINSAMEN VERTRETERS DER

9 Pursuant to section 5 paragraph 6 SchVG the Terms and Conditions of Notes may provide solely for one of the two alternatives mentioned. Nach § 5 Absatz 6 SchVG können die Emissionsbedingungen einer Anleihe ausschließlich eine der beiden genannten Möglichkeiten vorsehen.

121 GLÄUBIGER (§ [15]) (opt-in) [Ja/Nein] ¨ Appointment of a Holders' Representative by resolution passed by Holders Bestellung eines gemeinsamen Vertreters der Gläubiger durch Beschluss der Gläubiger ¨ Appointment of a Holders' Representative in the Conditions10 Bestellung eines gemeinsamen Vertreters der Gläubiger in den Bedingungen Name and address of the Holders' Representative (specify [ ] details) Name und Anschrift des Gemeinsamen Vertreters (Einzelheiten einfügen) (specify details) [ ] (Einzelheiten einfügen) Responsibilities and functions of the Holders' Representative: Aufgaben und Befugnisse des Gemeinsamen Vertreters Responsibilities and functions in connection with Holders' meetings / votes without a meeting11 Aufgaben und Befugnisse im Zusammenhang mit Gläubiger- versammlungen / Abstimmungen ohne Versammlung Convening of a meeting of Holders Einberufung einer Gläubigerversammlung Call for a vote without a meeting Aufforderung zur Abstimmung ohne Versammlung Other responsibilities and functions of the Holders' [ ] Representative (specify details)12 Sonstige Aufgaben und Befugnisse des Gemeinsamen Vertreters (Einzelheiten einfügen)

GUARANTEE ([§ 16]) GARANTIE ([§ 16]) ¨ [§ 16] is applicable [§ 16] findet Anwendung In respect of: In Bezug auf: [§14] [§15]

Governing law German law Anwendbares Recht Deutsches Recht

10 The Holders' Representative must satisfy the conditions specifed in section 8 paragraph 1 SchVG. Der gemeinsame Vertreter muss in persönlicher Hinsicht den Anforderungen des § 8 Absatz 1 SchVG genügen. 11 Pursuant to section 5 paragraph 6 SchVG the Terms and Conditions of Notes may provide solely for one of the two alternatives mentioned. Nach § 5 Absatz 6 SchVG können die Emissionsbedingungen einer Anleihe ausschließlich eine der beiden genannten Möglichkeiten vorsehen. 12 It should be noted that the Holders' Representative may not to be authorized to waive any rights of the Holders and, in particular, to agree to the measures set out in section 5 paragraph 3 sentence 1 no. 1 through 9 SchVG by a provision of the Terms and Conditions. Hierbei ist zu beachten, dass der gemeinsame Vertreter in den Anleihebedingungen nicht zu einem Verzicht auf Rechte der Gläubiger, insbesondere zu den in § 5 Absatz 3 Satz 1 Nr. 1 bis 9 SchVG genannten Entscheidungen ermächtigt werden kann.

122 Part II: Other Information13 Teil II: Andere Angaben Additional Risk Factors14 [specify details] Zusätzliche Risikofaktoren [Einzelheiten einfügen] Interest of natural and legal persons involved in the issue/offer Interessen von Seiten natürlicher und juristischer Personen, die an der Emission/dem Angebot beteiligt sind ¨ Save as discussed in the Debt Issuance Program Prospectus under "Interest of Natural and Legal Persons involved in the Issue/Offer", so far as the Issuer is aware, no person involved in the offer of the Notes has an interest material to the offer. Mit Ausnahme der im Debt Issuance Program Prospekt im Abschnitt "Interessen von Seiten natürlicher und juristischer Personen, die an der Emission/dem Angebot beteiligt sind" angesprochenen Interessen besteht bei den an der Emission beteiligten Personen nach Kenntnis der Emittentin kein wesentliches Interesse an dem Angebot. ¨ Other interest (specify) Andere Interessen (angeben) Reasons for the offer15 [specify details] Gründe für das Angebot [Einzelheiten einfügen] Estimated net proceeds16 Geschätzter Nettobetrag der Erträge Estimated total expenses of the issue17 Geschätzte Gesamtkosten der Emission Securities Identification Numbers Wertpapierkennnummern ISIN Code ISIN Code Common Code Common Code German Securities Code Wertpapierkennnummer (WKN)

13 There is no obligation to complete part II of the Final Terms in its entirety in case of Notes with a minimum denomination of at least EUR 50,000 or its equivalent in any other currency or, as the case may be, in case of Notes with a minimum transfer amount of at least EUR 50,000 or its equivalent in any other currency, provided that such Notes will not be traded on any regulated market or, where applicable, listed on any official list within the European Economic Area. To be completed in consultation with the Issuer on a case by case basis. Es besteht keine Verpflichtung, Teil II der Endgültigen Bedingungen vollständig auszufüllen bei Schuldverschreibungen mit einer Mindeststückelung von EUR 50.000 oder dem Gegenwert in einer anderen Währung beziehungsweise bei Schuldverschreibungen mit einem Mindestübertragungswert von EUR 50.000 oder dem entsprechenden Gegenwert in einer anderen Währung, sofern diese Schuldverschreibungen nicht an einem geregelten Markt einer Börse des Europäischen Wirtschaftsraums gehandelt oder, wo erforderlich, zu einer offiziellen Liste zugelassen werden. Auszufüllen im Einzelfall in Absprache mit der Emittentin. 14 Include only product risk factors which are not covered under "Risk Factors" in the Debt Issuance Program Prospectus Nur produktbezogene Risikofaktoren aufnehmen, die nicht bereits im Abschnitt "Risikofaktoren" des Debt Issuance Program Prospekts aufgeführt sind. 15 See "Use of Proceeds" wording in the Debt Issuance Program Prospectus. If reasons for the offer is different from making profit and /or hedging certain risks include those reasons here. Not to be completed in case of Notes with a Specified Denomination of at least EUR 50,000 which are not derivative securities to which Annex XII of the Commission Regulation 809/2004 applies. Siehe "Verwendung des Erlöses" im Debt Issuance Program Prospekt. Sofern die Gründe für das Angebot nicht in der Gewinnerzielung und/oder der Absicherung bestimmter Risiken bestehen, sind die Gründe hier anzugeben. Nicht auszufüllen bei Schuldverschreibungen mit einer festgelegten Stückelung von mindestens EUR 50.000, bei denen es sich nicht um derivative Wertpapiere handelt, auf die Anhang XII der Verordnung 809/2004 Anwendung findet. 16 If the Notes are derivative securities (i. e. if the final redemption amount may be less than 100% of the principal amount) to which Annex XII of the Commission Regulation 809/2004 applies it is only necessary to include disclosure of estimated net proceeds where disclosure regarding reasons for the offer is included. Sofern es sich um derivative Wertpapiere handelt (d. h. Wertpapiere, bei denen der Rückzahlungsbetrag geringer als 100 % des Nennbetrags der Wertpapiere sein kann), auf die Anhang XII der Verordnung 809/2004 Anwendung findet, ist der geschätzte Nettobetrag der Erlöse nur dann zu veröffentlichen, wenn Angaben zu den Gründen für das Angebot gemacht worden sind. 17 If the Notes are derivative securities to which Annex XII of the Commission Regulation 809/2004 applies it is only necessary to include disclosure of total expenses where disclosure regarding reasons for the offer is included. Sofern es sich um derivative Wertpapiere handelt, auf die Anhang XII der Verordung 809/2004 Anwendung findet, sind Angaben zu den geschätzten Gesamtkosten nur dann zu veröffentlichen, wenn Angaben zu den Gründen für das Angebot gemacht worden sind.

123 Any other securities number Sonstige Wertpapierkennnummer New Global Note intended to be [Not Applicable/Yes/No] held in a manner which would allow Eurosystem eligibility: [Note that the designation "Yes" simply means that the Notes are intended upon issue to be deposited with one of the ICSDs as common safekeeper and does not necessarily mean that the Notes will be recognized as eligible collateral for Eurosystem monetary policy and intra-day credit operations by the Eurosystem either upon issue or at any or all times during their life. Such recognition will depend upon the ECB being satisfied that Eurosystem eligibility criteria have been met.] [Include this text if "Yes" selected in which case the Notes must be issued in NGN form]´ Es ist beabsichtigt, die New [Nicht Anwendbar /Ja/Nein] Global Note in einer Art zu halten, die Eurosystemfähigkeit zulassen würde: [Zu beachten, dass die Beziehung "Ja" lediglich bedeutet, dass die Schuldverschreibungen nach Begebung bei einer der ICSDs als Common Safekeeper hinterlegt werden sollen. Es bedeutet nicht unbedingt, dass die Schuldverschreibungen nach Begebung oder während ihrer Existenz als geeignete Sicherheit im Sinne der Währungspolitik des Eurosystems und der taggleichen Überziehung (intra-day credit operations) des Eurosystems anerkannt werden. Eine solche Anerkennung wird von dem Urteil der EZB abhängen, dass die Kriterien für die Eurosystemfähigkeit erfüllt werden.] [Diesen Text einfügen, wenn "Ja" gewählt wird. Dann müssen die Schuldverschreibungen als NGN begeben werden.] Yield18 Rendite Yield [ ] Rendite Method of calculating the yield19 Berechnungsmethode der Rendite ¨ ICMA method: The ICMA method determines the effective interest rate of notes taking into account accrued interest on a daily basis. ICMA Methode: Die ICMA Methode ermittelt den effektiven Zinssatz von Schuldverschreibungen unter Berücksichtigung der täglichen Stückzinsen. ¨ Other method (specify) Andere Methoden (angeben)

18 Only applicable for Fixed Rate Notes. Nur bei festverzinslichen Schuldverschreibungen anwendbar. 19 Not required for Notes with a Specified Denomination of at least EUR 50,000. Nicht erforderlich bei Schuldverschreibungen mit einer Stückelung von mindestens EUR 50.000.

124 ¨ Historic Interest Rates20 Zinssätze der Vergangenheit Details of historic [EURIBOR][EURO-LIBOR][LIBOR][OTHER] rates [ ] can be obtained from [insert relevant Screen Page] Einzelheiten der Entwicklung der [EURIBOR][EURO-LIBOR] [LIBOR][OTHER] Sätze in der Vergangenheit können abgerufen werden unter [relevante Bildschirmseite einfügen] ¨ Details relating to the Performance of the [Index][Formula][Other Variable].21 Einzelheiten hinsichtlich der Entwicklung des [Index][der Formel][einer anderen Variablen]. [specify details here (including where information relating to past and future performance and volatility of the index/formula/other variable can be obtained] [Einzelheiten hier angeben (einschließlich, wo Informationen über die vergangene und künftige Weiterentwicklung sowie die Volatilität des Index/der Formel/einer anderen Variablen eingeholt werden können] Name of Index22 [ ] Bezeichnung des Index Description of index23/Details of where information about index can be [ ] obtained24 Indexbeschreibung/Angaben, wo Informationen zum Index zu finden sind Description of interest rate25 [ ] Beschreibung des Zinssatzes Other equivalent information regarding the underlying (including, in the [ ] case of a basket of underlyings, a disclosure of the relevant weightings of each underlying in the basket, and in the case of securities as underlying, the name of the issuer and the ISIN of the security)26 Sonstige gleichwertige Informationen bezüglich des Basiswertes (einschließlich, im Falle eines Korbs von Basiswerten, die Angabe der entsprechenden Gewichtungen jedes einzelnen Basiswertes im Korb und, im Falle von Wertpapieren als Basiswert, der Name der Emittentin und die ISIN des Wertpapiers)

20 Only applicable for Floating Rate Notes. Not required for Notes with a Specified Denomination of at least EUR 50,000. Nur bei variabel verzinslichen Schuldverschreibungen anwendbar. Nicht anwendbar auf Schuldverschreibungen mit einer Stückelung von mindestens EUR 50.000. 21 Only applicable for Index Linked or other Variable Linked Notes. Nur bei indexgebundenen und anderen an eine Variable gebundenen Schuldverschreibungen anwendbar. 22 Only applicable for Notes where the underlying is an index. Nur bei Schuldverschreibungen anwendbar, denen ein Index als Basiswert zugrunde liegt. 23 Only applicable for Notes where the underlying is an index. In case the Index is composed by the Issuer. Nur bei Schuldverschreibungen anwendbar, denen ein Index als Basiswert zugrunde liegt, sofern der Index von der Emittentin zusammengestellt wird. 24 Only applicable for Notes where the underlying is an Index, in case the index is not composed by the Issuer. Nur bei Schuldverschreibungen anwendbar, denen ein Index als Basiswert zugrunde liegt, sofern der Index nicht von der Emittentin zusammengestellt wird. 25 Only applicable for Notes where the underlying is an Interest rate. Nur bei Schuldverschreibungen anwendbar, denen ein Zinssatz als Basiswert zugrunde liegt. 26 Only applicable for Notes where the underlying is not an index. Nur bei Schuldverschreibungen anwendbar, denen kein Index als Basiswert zugrunde liegt.

125 Comprehensive explanation of how the value of the Investment is [insert details here] affected by the underlying and the circumstances when risks are most evident27 [Einzelheiten hier Umfassende Erläuterung darüber, wie der Wert der Anlage durch den angeben] Wert des Basiswerts beeinflusst wird, insbesondere in den Fällen, in denen die Risiken offensichtlich sind

Market disruption or settlement disruption events that may affect the [insert details here] underlying28 Störungen des Markts oder bei der Abrechnung, die den Basiswert [Einzelheiten hier beeinflussen angeben] Adjustment rules with relation to events concerning the underlying [insert details here] Korrekturvorschriften in Bezug auf Vorfälle, die den Basiswert [Einzelheiten hier beeinflussen angeben] ¨ Details Relating to the Performance of Rate(s) of Exchange and [specify details here] Explanation of Effect on Value of Investment and Associated Risks29 [Einzelheiten hier Einzelheiten der Entwicklung des bzw. Wechselkurse und angeben] Erläuterung der Auswirkungen auf den Wert der Anlage sowie verbundene Risiken Selling Restrictions Verkaufsbeschränkungen The Selling Restrictions set out in the Debt Issuance Program Prospectus shall apply. Es gelten die im Debt Issuance Program Prospekt wiedergegebenen Verkaufsbeschränkungen. ¨ TEFRA C TEFRA C ¨ TEFRA D TEFRA D ¨ Neither TEFRA C nor TEFRA D Weder TEFRA C noch TEFRA D

Non-Exempt Offer [Not Applicable/Applicable]30 Nicht-befreites Angebot [nicht anwendbar/ anwendbar] Additional Selling Restrictions (specify) [None][insert details] Zusätzliche Verkaufsbeschränkungen (angeben) [Keine][Einzelheiten einfügen]

27 Not required for Notes with a Specified Denomination of at least EUR 50,000 or a minimum transfer amount of at least EUR 50,000. Nicht erforderlich bei Schuldverschreibungen mit einer festgelegten Stückelung von mindestens EUR 50.000 oder Schuldverschreibungen, die lediglich für mindestens EUR 50.000 pro Wertpapier erworben werden können. 28 To be completed only if applicable. Nur falls anwendbar einzufügen. 29 Only applicable for Dual Currency Notes. Need to include details of where past and future performance and volatility of the relevant rate(s) can be obtained. In case of Notes with a Specified Denomination of less than EUR 50,000 need to include a clear and comprehensive explanation of how the value of the investment is affected by the underlying and the circumstances when the risks are most evident. Nur bei Doppelwährungsschuldverschreibungen anwendbar. Angaben darüber erforderlich, wo Informationen über die vergangene und künftige Wertentwicklung und Volatilität der maßgeblichen Wechselkurse eingeholt werden können. Bei Schuldverschreibungen mit einer Stückelung von weniger als EUR 50.000 ist eine klare und umfassende Erläuterung vorzunehmen, wie der Wert der Anlage durch den Wert des Basiswerts beeinflusst wird, insbesondere in Fällen, in denen die Risiken offensichtlich sind. 30 Not applicable in Germany. If applicable in the relevant jurisdiction, insert: ³An offer of the Notes may be made by the Dealers [and [specify, if applicable]] other than pursuant to Article 3(2) of the Prospectus Directive in [specify relevant Member State(s) ± which must be jurisdictions where the Prospectus and any supplements have been passported] during the period from [•• ] until [ ]´. Nicht anwendbar in Deutschland. Wenn anwendbar in der jeweiligen Jurisdiktion, einfügen: ´Die Schuldverschreibungen können von den Plazeuren [und [angeben, falls anwendbar] anders als gemäß Artikel 3(2) der Prospektrichtlinie in [die jeweiligen Mitgliedstaaten angeben, die den Jurisdiktionen entsprechen müssen, in die der Prospekt und etwaige Nachträge notifiziert wurden] im Zeitraum von [•• ] bis [ ] angeboten werden´.

126 Taxation Besteuerung

Information on taxes on the income from the notes withheld at source in respect of countries where the offer is being made or admission to trading is being sought31 [None] [specify details] Informationen über die an der Quelle einbehaltene Einkommensteuer auf die Schuldverschreibungen hinsichtlich der Länder in denen das Angebot unterbreitet oder die Zulassung zum Handel beantragt wird. [keine] [Einzelheiten einfügen]

Restrictions on the free transferability of the Notes [None] [specify details] Beschränkungen der freien Übertragbarkeit der Schuldverschreibungen [keine] [Einzelheiten einfügen]

Resolutions, authorisations and approvals by which the Notes will be created. [specify details] Beschlüsse, Ermächtigungen und Genehmigungen, welche die Grundlage für die Schaffung der Schuldverschreibungen bilden. [Einzelheiten einfügen]

31 Unless specified in the Debt Issuance Program Prospectus. Only applicable for Notes with a Specific Denomination of less than EUR 50,000 per Notes. Soweit nicht bereits im Debt Issuance Program Prospekt beschrieben. Nur bei Schuldverschreibungen mit einer Stückelung von weniger als EUR 50.000 anwendbar.

127 Terms and Conditions of the Offer32 Bedingungen und Voraussetzungen für das Angebot Conditions to which the offer is subject Bedingungen, denen das Angebot unterliegt Total amount of the issue/offer and description of the arrangements and time for announcing to the public the amount of the offer Gesamtsumme der Emission/des Angebots und Beschreibung der Vereinbarungen und des Zeitpunkts für die Ankündigung des endgültigen Angebotsbetrags an das Publikum Time period, including any possible amendments, during which the offer will be open Frist ± einschließlich etwaiger Änderungen ± während der das Angebot vorliegt Description of the application process Beschreibung des Prozesses für die Umsetzung des Angebots A description of the possibility to reduce subscriptions and the manner for refunding excess amount paid by applicants Beschreibung der Möglichkeit zur Reduzierung der Zeichnungen und der Art und Weise der Erstattung des zu viel gezahlten Betrags an die Zeichner Details of the minimum and/or maximum amount of application, (whether in number of notes or aggregate amount to invest) Einzelheiten zum Mindest- und/oder Höchstbetrag der Zeichnung (entweder in Form der Anzahl der Schuldverschreibungen oder des aggregierten zu investierenden Betrags) Method and time limits for paying up the notes and for delivery of the notes Methode und Fristen für die Bedienung der Schuldverschreibungen und ihre Lieferung Manner and date in which results of the offer are to be made public Art und Weise und Termin, auf die bzw. an dem die Ergebnisse des Angebots offen zu legen sind The procedure for the exercise of any right of pre-emption, the negotiability of subscription rights and the treatment of subscription rights not exercised. Verfahren für die Ausübung eines etwaigen Vorzugsrechts, die Marktfähigkeit der Zeichnungsrechte und die Behandlung der nicht ausgeübten Zeichnungsrechte Various categories of potential investors to which the notes are offered Angabe der verschiedenen Kategorien der potentiellen Investoren, denen die Schuldverschreibungen angeboten werden Process for notification to applicants of the amount allotted and indication whether dealing may begin before notification is made Verfahren zur Meldung des den Zeichnern zugeteilten Betrags und Angabe, ob eine Aufnahme des Handels vor dem Meldeverfahren möglich ist Expected price at which the notes will be offered / method of determining the price and the process for its disclosure and amount of any expenses and taxes specifically charged to the subscriber or purchaser Kurs, zu dem die Schuldverschreibungen angeboten werden / Methode, mittels derer der Angebotskurs festgelegt wird und Angaben zum Verfahren für die Offenlegung sowie der Kosten und Steuern, die speziell dem Zeichner oder Käufer in Rechnung gestellt werden. Name and address of the co-ordinator(s) of the global offer and of single parts of the offer and, to the extent known to the Issuer or the offeror, or the placers in the various countries where the offer takes place. Name und Anschrift des Koordinator/der Koordinatoren des globalen Angebots oder einzelner Teile des Angebots und ± sofern dem Emittenten oder dem Bieter bekannt ± Angaben zu den Plazeuren in den einzelnen Ländern des Angebots

32 Items 5.1.1, 5.1.3 ± 5.1.8, 5.2, 5.4.1 of Annex V and items 5.1.1, 5.1.3 ± 5.1.6, 5.2, 5.4.1 of Annex XII of the Commission Regulation are in general not applicable. However, in respect of each issue of Notes with a Specified Denomination of less than EUR 50,000 (Annex V) and in case of derivative securities (Annex XII), the Issuer shall consider whether one of these items is applicable and, if so, specify the relevant details relating thereto. Die Unterpunkte 5.1.1, 5.1.3 ± 5.1.8, 5.2 und 5.4.1 von Anhang V sowie die Unterpunkte 5.1.1, 5.1.3 ± 5.1.6, 5.2, 5.4.1 von Anhang XII der EG-Verordnung sind im Regelfall nicht anwendbar. Bei jeder Emission mit einer festgelegten Stückelung von weniger als EUR 50.000 (Anhang V) bzw. im Fall von derivativen Wertpapieren (Anhang XII) hat die Emittentin jedoch zu prüfen, ob einer der genannten Unterpunkte anwendbar ist, und falls ja, die entsprechenden Einzelheiten einzufügen.

128 Method of distribution Vertriebsmethode ¨ Non-syndicated Nicht syndiziert ¨ Syndicated Syndiziert Date of Subscription Agreement33 [ ] Datum des Übernahmevertrages [ ] Material Features of the Subscription Agreement [ ] Wesentliche Merkmale des Übernahmevertrages [ ]

Management Details including form of commitment34 Einzelheiten bezüglich des Bankenkonsortiums einschließlich der Art der Übernahme Dealer/Management Group (specify name(s) and address(es)) Plazeur/Bankenkonsortium (Name(n) und Adresse(n) angeben) ¨ Firm commitment [ ] feste Zusage ¨ No firm commitment/best efforts arrangements [ ] Keine feste Zusage/zu den bestmöglichen Bedingungen Commissions35 Provisionen Management/Underwriting Commission (specify) [ ] Management- und Übernahmeprovision (angeben) Selling Concession (specify) [ ] Verkaufsprovision (angeben) Listing Commission (specify) [ ] Börsenzulassungsprovision (angeben) Other (specify) [ ] Andere (angeben) Stabilising Dealer/Manager [Insert details][None] Kursstabilibisierender Dealer/Manager [Einzelheiten einfügen][keiner] Listing and Admission to Trading and Dealing Arrangements Börsennotierung und Zulassung zum Handel und Handelsregeln Listing(s) [Yes][No] Börsenzulassung(en) [Ja][Nein] ¨ Luxembourg Stock Exchange Luxemburger Börse ¨ Regulated Market Regulierter Markt ¨ Euro MTF Euro MTF ¨ Other (insert details) [ ] Sonstige (Einzelheiten einfügen)

33 Only required for syndicated issues and Notes with a Specified Denomination of less than EUR 50,000. Nur erforderlich bei syndizierten Ziehungen und Schuldverschreibungen mit einer Stückelung von weniger als EUR 50.000. 34 Not required for Notes with a Specified Denomination of at least EUR 50,000. Nicht erforderlich bei Schuldverschreibungen mit einer Stückelung von mindestens EUR 50.000. 35 Not required for Notes with a Specified Denomination of at least EUR 50,000. Nicht erforderlich bei Schuldverschreibungen mit einer Stückelung von mindestens EUR 50.000.

129 Expected Date of admission36 [ ] Erwarteter Termin der Zulassung Estimate of the total expenses related to admission to trading37 [ ] Geschätzte Gesamtkosten für die Zulassung zum Handel Regulated markets or equivalent markets on which, to the knowledge of the Issuer, notes of the same class of the notes to be offered or admitted to trading are already admitted to trading.38 Angabe geregelter oder gleichwertiger Märkte, auf denen nach Kenntnis der Emittentin Schuldverschreibungen der gleichen Wertpapierkategorie, die zum Handel angeboten oder zugelassen werden sollen, bereits zu Handel zugelassen sind. Luxembourg Luxemburg Regulated Market "Bourse de Luxembourg" Geregelter Markt "Bourse de Luxembourg" Other (insert details) [ ] Sonstige (Einzelheiten einfügen) Name and address of the entities which have commitment to act as intermediaries in secondary trading, providing liquidity through bid and offer rates and description of the main terms of their commitment39 Name und Anschrift der Institute, die aufgrund einer festen Zusage als Intermediäre im Sekundärhandelt tätig sind und Liquidität mittels Geld- und Briefkursen erwirtschaften, und Beschreibung der Hauptbedingungen der Zusagevereinbarung [not applicable] [specify details] [nicht anwendbar] [Einzelheiten einügen]

Rating40 [ ] Rating Other relevant terms and conditions (specify) [ ] Andere relevante Bestimmungen (einfügen) Issuer provides post issuance information41 Veröffentlichung von Informationen nach erfolgter Emission durch die Emittentin ¨ Yes [ ] Ja ¨ No [ ] Nein

36 To be completed only, if known. Nur auszufüllen, sofern bekannt. 37 Only required for syndicated issues and Notes with a Specified Denomination of less than EUR 50,000. Nur erforderlich bei syndizierten Ziehungen und Schuldverschreibungen mit einer Stückelung von weniger als EUR 50.000. 38 Only to be completed in case of an increase. In case of a fungible issue, need to indicate that the original notes are already admitted to trading. Not required for Notes with a Specified Denominatin of at least EUR 50,000. Nur auszufüllen im Falle einer Aufstockung. Im Falle einer Aufstockung, die mit einer vorangegangenen Emission fungible ist, ist die Angabe erforderlich, dass die ursprünglichen Schuldverschreibungen bereits zum Handel zugelassen sind. Nicht erforderlich bei Schuldverschreibungen mit einer festgelegten Stückelung von mindestens EUR 50.000. 39 Not required for Notes with a Spoecified Denomination of at least EUR 50,000. Nicht erforderlich bei Schuldverschreibungen mit einer Stückelung von mindestens EUR 50.000. 40 Do not complete, if the Notes are not rated on an individual basis. In case of Notes with a Specified Denomination of less than EUR 50,000, need to include a brief expanation of the meaning of the ratings if this has been previously published by the rating provider. Nicht auszufüllen, wenn kein Einzelrating für die Schuldverschreibungen vorliegt. Bei Schuldverschreibungen mit einer Stückelung von weniger als EUR 50.000, kurze Erläuterung der Bedeutung des Ratings, wenn dieses unlängst von der Ratingagentur erstellt wurde. 41 Only applicable in case of derivative securities to which Annex XII of the Commission Regulation applies. Nur bei derivativen Schuldverschreibungen anwendbar, auf die Annex XII der EG-Verordnung Anwendung findet.

130 [Listing:42 [Börsenzulassung:

42 Include only in the version of the Final Terms which is submitted to the relevant stock exchange in the case of Notes to be listed on such stock exchange. Nur in derjenigen Fassung der Endgültigen Bedingungen einzufügen, die der betreffenden Börse, bei der die Schuldverschreibungen zugelassen werden sollen, vorgelegt wird.

131 The above Final Terms comprise the details required to list this issue of Notes (as from [insert Issue Date for the Notes]) pursuant to the EUR 10,000,000,000 Debt Issuance Program of Merck KGaA and Merck Financial Services GmbH. Die vorstehenden Endgültigen Bedingungen enthalten die Angaben, die für die Zulassung dieser Emission von Schuldverschreibungen unter dem EUR 10.000.000.000,- Debt Issuance Program der Merck KGaA und der Merck Financial Services GmbH (ab dem [Tag der Begebung der Schuldverschreibungen einfügen]) erforderlich sind.]

Responsibility Verantwortlichkeit The Issuer accepts responsibility for the information contained in the Final Terms as set out in the Responsibility Statement on page ii of the Debt Issuance Program Prospectus, provided that, with respect to any information included herein and specified to be sourced from a third party (i) the Issuer confirms and accepts responsibility that any such information has been accurately reproduced and as far as the Issuer is aware and is able to ascertain from information available to it from such third party, no facts have been omitted, the omission of which would render the reproduced information inaccurate or misleading and (ii) the Issuer has not independently verified any such information and accepts no responsibility for the accuracy thereof. Die Emittentin übernimmt die Verantwortung für die in diesen Endgültigen Bedingungen enthaltenen Informationen, wie in der Erklärung zur Verantwortlichkeit auf Seite ii des Debt Issuance Program Prospekts bestimmt. Hinsichtlich der hierin enthaltenen und als solche gekennzeichneten Informationen von Seiten Dritter gilt Folgendes: (i) Die Emittentin bestätigt und übernimmt die Verantwortung dafür, dass diese Informationen zutreffend wiedergegeben worden sind und ± soweit es der Emittentin bekannt ist und sie aus den von diesen Dritten zur Verfügung gestellten Informationen ableiten konnte ± wurden keine Fakten weggelassen, die die reproduzierten Informationen unzutreffend oder irreführend gestalten würden; (ii) die Emittentin hat diese Informationen nicht selbständig überprüft und übernimmt keine Verantwortung für ihre Richtigkeit. [Merck KGaA] [Merck Financial Services GmbH]

(as Issuer)

(als Emittentin)

132 BUSINESS OF THE MERCK GROUP

Overview Merck is a long-established global group that operates in the fields of pharmaceuticals and chemicals, focusing on innovative pharmaceutical and chemical products. 176 companies operate for Merck on all continents. As of December 31, 2009, Merck has around 33,000 employees working worldwide in all areas of research and development, through production to distribution. Merck¶s research and development activities are mainly concentrated in Darmstadt, Germany. Additional research and/or development sites are located in Switzerland, the United States, France, Spain, the United Kingdom, and Japan, among others. In total, Merck currently operates 54 production plants in 25 countries. The Merck Group¶s activities in its Pharmaceuticals Business Sector are organized into two divisions: Merck Serono dealing mainly with prescription drugs and Consumer Health Care dealing with over- the-counter products. The Merck Group¶s activities in its Chemical Business Sector are comprised of two divisions: liquid crystal mixtures (Liquid Crystal) and mainly effect pigments, ingredients, solvents and inorganics (Performance & Life Science Chemicals).

In the 2009 fiscal year, the Merck Group generated total revenues (including royalty and commission income) of EUR 7,747.0 million and EBIT of EUR 620.9 million. Of these total revenues, EUR 5,811.9 million (+6.5% compared to 2008) was attributable to the Pharmaceuticals Business Sector and EUR 1,935.1 million (- 9.0% compared to 2008) to the Chemicals Business Sector. On February 28, 2010 Merck entered into an agreement and plan of share exchange (the "Share Exchange Agreement") with Millipore Corporation, Billerica, Massachusetts, U.S.A. ("Millipore"). Under the Share Exchange Agreement, Merck will, subject to certain conditions, acquire all shares in Millipore against a cash consideration of USD 107 per share. The total transaction value, including net debt of Millipore (as of December 31, 2009), is approximately USD 7.2 billion (EUR 5.3 billion). The closing of the Share Exchange Agreement is subject to the approval by the shareholders of Millipore with a two-thirds majority. Furthermore, the closing of the acquisition of Millipore is subject to additional conditions precedent, in particular subject to clearance by the competent merger control authorities. Millipore is listed on the New York Stock Exchange and traded under the symbol MIL. In the 2009 fiscal year Millipore generated global sales of USD 1.65 billion. For more details please refer to the section "Acquisition of Millipore" below.

133 Principal Markets With its Pharmaceutical Business Sector, Merck operates, through its Merck Serono division, mainly on the so-called ethical market, i.e., the market for patented, predominantly prescription drugs. Merck considers itself to be in a good market position with its oncology product Erbitux® and in leading positions with its multiple sclerosis product Rebif® as well as with its fertility product Gonal-f®. With its Chemicals Business Sector, Merck operates in several markets. The Liquid Crystal division is active in the market for liquid crystals. The markets for the respective products of the Performance & Life Science Chemicals division are diversified. With its liquid crystals, Merck is, according to own estimates, world market leader with a significant market share. In the other markets served by its Chemicals Business Sector, Merck considers itself well positioned (laboratory business), among the follow-up competitors (life science solutions) or among the largest suppliers (effect pigments). Regionally, the sales of the Merck Group in the 2009 fiscal year were distributed as follows:

Description of the Pharmaceuticals Business Sector Of the two divisions in the Pharmaceuticals Business Sector, the Merck Serono division dominates this Business Sector. The following charts show to what extent the divisions contributed to the total revenues and the operating result of the Pharmaceuticals Business Sector in the 2009 fiscal year:

134 Merck Serono The Merck Serono division comprises company-owned or in-licensed, predominantly prescription drugs. Merck Serono has ± according to own company data ± well-positioned brands serving patients in the areas of Oncology, Neurodegenerative Diseases, Fertility, Endocrinology and CardioMetabolic Care. Merck Serono is committed to growing its business in specialist-focused therapeutic areas such as Oncology and Neurodegenerative Diseases, as well as new therapeutic areas potentially arising out of its research and development in Autoimmune & Inflammatory Diseases.

Main Products Oncology: Merck Serono¶s focus in oncology is on the development and marketing of novel therapies that specifically target cancer cells, the tumor environment and the immune system. The monoclonal antibody Erbitux® (cetuximab), Merckµs first oncology product, specifically blocks the epidermal growth factor receptor (EGFR). Erbitux® enhances the effect of chemotherapy and radiotherapy. Erbitux® is used for the treatment of metastatic colorectal cancer and locally advanced and recurrent and/or metastatic squamous cell carcinoma of the head and the neck. In 1998, Merck licensed the right to market Erbitux® outside of the U.S. and Canada from ImClone Systems, a wholly-owned subsidiary of Eli Lilly and Company. In Japan, ImClone Systems, Bristol-Myers Squibb Company and Merck jointly develop and, following approval in 2008, commercialize Erbitux®. Erbitux® generated sales of EUR 696.6million (+ 23.4%)* in the 2009 fiscal year. Merck Serono is working to expand the range of indications of Erbitux®, e.g. as treatment for advanced non-small cell lung cancer (submission to European Medicines Agency ("EMA") in September 2008), colon cancer and for gastric cancer (Phase III clinical studies ongoing). On November 19, 2009, the

135 Committee for Medicinal Products for Human Use ("CHMP"), the scientific committee of EMA, adopted a negative opinion for the use of Erbitux® (cetuximab) in combination with platinum-based chemotherapy for the treatment of patients with epidermal growth factor receptor ("EGFR")- expressing, advanced or metastatic non-small cell lung cancer ("NSCLC"). It was the second negative opinion after Merck had requested re-examination of first negative CHMP opinion received July 23, 2009. Merck respects the decision of the CHMP for the use of Erbitux® in this indication, but remains, however, committed to the clinical development program for Erbitux®. Furthermore, Merck Serono in-licensed the product Stimuvax® (BLP25 liposome ) from Oncothyreon Inc. This investigational therapeutic cancer vaccine is currently investigated for the treatment of non-small cell lung cancer and breast cancer (Phase III clinical studies). In addition, the investigational integrin inhibitor cilengitide is now being studied in a global Phase III trial to evaluate its efficacy in patients with newly diagnosed glioblastoma (brain tumors). Neurodegenerative Diseases: The main product of Merck Serono in the area of Neurodegenerative Diseases is Rebif® (interferon beta-1a), a disease-modifying drug used to treat relapsing forms of multiple sclerosis. Rebif® is registered in more than 90 countries worldwide. In the United States, Rebif® is co-promoted with Inc. In the 2009 fiscal year, Rebif® was Merck Serono's best selling brand, accounting for 31% of all sales of Merck Serono and generating sales of EUR 1,536.7 million (+15.4%)*. A new formulation of Rebif®, designed to improve injection tolerability and immunogenicity profiles, was introduced in 2007. It is now marketed in all member states of the European Union as well as in Canada, Australia, Switzerland, Latin American and Asian countries. In the U.S.A., Merck Serono is in discussion with the U.S. Food and Drug Administration ("FDA") concerning the approval of this new formulation. Furthermore, Merck Serono introduced a new electronic injection device, RebiSmartTM in Europe and Canada. An important research and development project of Merck Serono in the field of Neurodegenerative Diseases are cladribine tablets for oral treatment of relapsing-remitting multiple sclerosis. Merck submitted applications for marketing authorization of cladribine tablets to the EMA in July 2009, to the FDA in September 2009 and to the authorities in Canada, Switzerland, Australia and Russia in the third quarter of the 2009 fiscal year. In November 2009 Merck Serono's U.S. affiliate received a Refuse to File letter from the FDA on the New Drug Application ("NDA") for cladribine tablets. Based on current regulations, once an NDA is submitted to the FDA, the FDA has 60 days to preliminarily review the NDA submission and assess whether the NDA is sufficiently complete to permit a substantive review. If it determines that the NDA is not sufficiently complete, the FDA issues a Refuse to File letter to the applicant. Merck Serono met with the FDA in January 2010. The objective of this meeting was to discuss FDA's comments on the Refuse to File letter, reach an understanding on and define the path forward to resubmission of the cladribine tablets NDA at the earliest point in time. Safinamide, a treatment against Parkinson's disease, is in the late stages of clinical development (Phase III). The clinical program is investigating the clinical benefits of add-on therapy to dopamine agonists in ³early Parkinson's disease patients and add-on therapy to levodopa in mid-late stage Parkinson's disease patients. In the research and development of safinamide, Merck Serono collaborates with Newron Pharmaceuticals S.p.a. Fertility: Merck's most important product in the area of fertility is Gonal-f® (follitropin alfa). Other important fertility products are Ovidrel®/Ovitrelle® (choriogonadotropin alfa) and Pergoveris® (follitropin alfa/lutropin alfa), which was introduced to the market in 2007. Gonal-f® has been approved in over 100 countries worldwide for the treatment of female infertility and in 77 countries for the treatment of male infertility. In July 2009 the Japanese authorities extended the indication of Gonal-f® to female infertility. Gonal-f® is, according to Merck's estimation, the leading treatment for female infertility. Ovidrel®/Ovitrelle® is used to induce ovulation in women who are not ovulating or who are receiving assisted reproductive techniques. It is offered in vials or in a ready-to-inject, prefilled syringe that is easy to use. Pergoveris® is the first biotechnology product based on combination of recombinant human follicle stimulation hormone (r-FSH) and recombinant human (r-hLH). These products generated sales in the 2009 fiscal year as follows: Gonal-f® EUR 486.3 million (+ 5.8%)*, Ovidrel®/Ovitrelle® EUR 37.4 million (+ 9.5%)* and Pergoveris® EUR 29.3 million (+ EUR 15.5 million). Endocrinology: Merck Serono offers two main brands of recombinant human growth hormone (somatropin): (i) the worldwide available ® for the treatment of growth hormone deficiency in children and adults, Turner¶s syndrome, growth disturbance in short children born small for gestational

136 age and chronic renal failure as well as (ii) Serostim® for the treatment of AIDS wasting. Serostim® is available in North America and some Latin-American and Asian countries. In the 2009 fiscal year, Saizen® generated sales of EUR 191.3 million (+11.1%)* and Serostim® of EUR 64.6 million (+ 16.7%)*. In April 2009, Merck Serono initiated the European launch of Kuvan® (sapropterin dihydrochloride), indicated for the treatment of hyperphenylalaninaemia (HPA) due to phenylketonuria (PKU) or tetrahydrobiopterin (BH4) deficiency. Both of these are rare diseases caused by genetic defects in the metabolism of the amino acid phenylalanine, resulting in abnormally high levels of phenylalanine in the blood, which can cause serious brain damage in children, and neurocognitive impairment in teenagers and adults. Kuvan® had previously received Orphan Medicinal Product designation from the EMA. It is the first drug approved in Europe for hyperphenylalaninemia due to PKU or BH4 deficiency. In the 2009 fiscal year, Kuvan® generated sales of EUR 5.6 million. In June 2009, Merck Serono¶s license partner in the U.S., Theratechnologies Inc., Canada, has submitted an NDA for Tesamoralin, a growth hormone-releasing factor analogue, for the treatment of excess abdominal fat in HIV patients with lipodystrophy.The NDA was accepted for filing in August 2009. Merck Serono has obtained the rights to commercialize the product in the U.S.A. once the NDA has been approved by the FDA. CardioMetabolic Care: The Concor® product family (active ingredient ) offers an extensive range of therapeutic options to treat cardiovascular diseases. The based Glucophage® franchise of products is a treatment for type 2 diabetes. For the treatment of thyroid disorders, Merck Serono markets the product Euthyrox® () as well as other drugs. These product families generated sales in the 2009 fiscal year as follows: Concor® EUR 395.0 million (-5.4%)*, Glucophage® EUR 291.0 million (+8.5%)* and Euthyrox® EUR 137.2 million (+6.5%)*. Autoimmune & Inflammatory Diseases: Merck Serono conducts, inter alia, research in the area of autoimmune and inflammatory diseases in order to offer new therapeutic options to patients with high unmet medical needs. In 2009, Merck has voluntarily withdrawn the psoriasis treatment Raptiva® (efalizumab) from all its markets in and outside Europe after the EMA had recommended to the European Commission the suspension of the marketing authorization for Raptiva® in February 2009. The decision to suspend and withdraw the market authorizations was taken because of safety concerns, including the occurrence of virologically confirmed cases of progressive multifocal leukoencephalopathy (PML) in patients treated with Raptiva®. An important research activity of Merck Serono in the therapeutic area Autoimmune & Inflammatory Diseases is the development of atacicept (formerly known as TACI-Ig). Atacicept is a soluble fusion protein that neutralizes molecules involved in the development of various autoimmune diseases. Merck Serono is developing atacicept for the treatment of lupus (Phase III clinical study). (* all percentages compared to sales in the 2008 fiscal year)

Consumer Health Care The Consumer Health Care division offers consumers over-the-counter products for preventive health care and self-treatment of minor ailments. According to Merck¶s own estimates, many of the brands of the Consumer Health Care division enjoy high awareness and trust among consumers and physicians. The products are mainly distributed through , but in some countries also through gross merchants and distance sellers. In the 2009 fiscal year, the Consumer Health Care division expanded its position in the Chinese market by establishing an own subsidiary and strengthened its market position in Belgium by integrating the company Bio-Fyt Pharma NV which was acquired at the end of the 2008 fiscal year.

Main Products Mobility: Products to strengthen the joints, including the brands Kytta® and Seven Seas®/Flexagil®. Everyday health protection: Vitamins and mineral substances sold under international brand names such as Cebion®, Diabion® and the probiotic multivitamin product Bion®3/Multibionta®. Women¶s and children¶s health: Femibion®, a multivitamin product with folic acid for pregnant and nursing women; Kidabion® (Haliborange®), a vitamin product for children. Cough and cold: Cold remedy Nasivin®.

137 Description of the Chemicals Business Sector In its Chemicals Business Sector, Merck offers specialty (e.g. liquid crystals and effect pigments), industrial and laboratory chemicals for high-tech applications in laboratories and industrial production. The products of the Merck Group are used, for example, for the production of flat screens for computers and televisions, as well as in automotive paints or in cosmetics. Merck offers chemicals globally through two different divisions (Liquid Crystals and Performance & Life Science Chemicals), each of which steer their research, production and marketing activities independently; however, they are supported by a central development unit. Merck looks for acquisition opportunities to strengthen the chemicals business. With the currently ongoing acquisition of Millipore, Billerica, Massachusetts, U.S.A. Merck adds a business that is complementary to existing customer relations or technology platforms to its Chemicals Business Sector. The acquisition is, among other reasons, made with the intention to reduce the dependency of the Chemicals Business Sector from Liquid Crystals and to balance the chemical and pharmaceutical business of the Merck Group. For more details please refer to the section "Acquisition of Millipore" below.

In the 2009 fiscal year the two divisions contributed to the sales of the Chemicals Business Sector as follows:

Liquid Crystals

138 The Liquid Crystals (LC) division of the Merck Group develops customer-specific liquid crystal mixtures for major display manufacturers worldwide. In close cooperation with its industry customers, Merck focuses on developing special, customized liquid crystal mixtures with the properties required for the respective display type. Merck develops and produces the liquid crystals at its Darmstadt site; however, the customers' mixtures are manufactured locally in close proximity to their production sites. Merck holds currently more than 2,500 patents for liquid crystals, mixtures thereof and display applications and considers itself to be technology and market leader in the field of liquid crystals. Some of Merck¶s key patents in liquid crystal technology expired in 2009. Four applications are dominant in the liquid crystal market: televisions, monitors for personal computers, notebooks and small LC displays. Merck supplies materials to the display manufacturers who, in turn, supply the manufacturers of the aforementioned applications.

Main Products In the display industry, commercially most important are Active Matrix (AM) Liquid Crystal displays (LCDs) where the electronic driving for the display is provided by a Thin Film Transistor (TFT) array. Various LC technologies can be used in combination with TFT arrays. Merck offers a wide variety of liquid crystal mixtures for all important main stream technologies such as TN (twisted nematic), VA (Vertical Alignment) and IPS (Inplane Switching), but also for other special display technologies as for example Polymer Stabilized Vertical Alignment (PS VA and Blue Phase). The liquid crystals must be tailor made to each technology and product. Typically a layer of LC less than five microns thick is sandwiched between two parallel glass plates, one of which supports the TFT array. A complex combination of alignment layers, color filters, conductive electrodes and optical films completes the display but it is the unique properties of the liquid crystals, that provides the switching effect which enables the display of graphical information. Twisted Nematic: This classical technology still dominates notebook and personal computer - monitor applications and is widely used for smaller area applications such as mobile phones, car navigation and digital photo frames. Supertwisted Nematic: An enhancement of the TN cell is the supertwisted nematic (STN) display which enables high-resolution, high-contrast screens that are easier to read. Passive Matrix LCDs based on twisted nematic or supertwisted nematic technology are still significant for automotive and mobile phone applications. Vertical Alignment: This is an alternative wide-viewing-angle technology. Merck supported its development by inventing completely new classes of liquid crystals. Vertical alignment is the dominating technology for television screens (in terms of volumes). Vertical alignment displays also appear in mobile telephones. Inplane Switching: This technology was developed by Merck together with a partner and improved the viewing angle compared to the twisted nematic technology. Together with the vertical alignment technology it enabled and enhanced the use of LCDs in TV panels. Variations of the inplane switching technology are also increasingly used in mobile phones. Polymer Stabilized Vertical Alignment: This is an evolution of vertical alignment technology where the alignment of the liquid crystal is achieved through the use of special functional additives in the LC mixture. Polymer Stabilized Vertical Alignment technology offers faster switching time, improved contrast and better brightness which can translate into better energy efficiency. Due to these advantages it is particularly attractive for large size TV panels as well as mobile devices and is quickly becoming the preferred technology for high-end displays, gradually replacing the Vertical Alignment technology. Blue Phase: This is a new liquid crystal technology. Among its advantages are a reduction of the switching times below the 1 millisecond level and the facilitating of all foreseeable fast switching and three-dimensional requirements. At the same time it simplifies display manufacturing. Main areas of research and development in the Liquid Crystals division are the further development of liquid crystal components and mixtures for existing and new LCD technologies. Innovative technologies such as OLEDs (organic light-emitting diodes) and organic electronics can be grouped under the broad theme of displays. In addition, the Liquid Crystals division has Lighting (e.g. luminescent materials for white light-emitting diodes) and Photovoltaics (e.g. materials for organic solar cells) as focus areas or research and development.

139 Performance & Life Science Chemicals (PLS) The Performance & Life Science Chemicals division offers customers worldwide products and services for the analytical and preparative laboratory, as well as for production processes in the pharmaceutical, chemical and food industries. The division offers more than 30,000 specialty products to meet the customers¶ specific needs. Typical consumers are pharmaceutical, cosmetics, chemical and food manufacturers, as well as analytical and preparative laboratories, authorities and research institutes (academia). In addition, other important markets for pigments are the coating, plastics and printing industries.

Business fields and main products Laboratory business: The business field of Laboratory business offers researchers, teachers and industry a broad spectrum of laboratory chemicals in a range of quality grades with certificates of analysis ensuring consistent and comparable results. Products include reagents for analysis and other applications, products for analytical chromatography, food and environmental analysis, and a broad range of solvents, salts, acids and organic chemicals. Life Science Solutions: In the business field Life Science Solutions, Merck offers products and solutions covering the entire range of the latest technological expertise in chemical and physical processes. The primary customers of the Life Science Solutions business field are in the healthcare and the cosmetics sectors. Pigments business: The main products of the Pigments business field are innovative effect pigments which are used in cosmetics, coating, packaging and product design. Some of the offered effect pigments do not only fulfill decorative aspects (e.g. pearlescent shimmer, changing colors, three- dimensional appearance) but also have functional features as security technology purposes (e.g. protection against product counterfeiting) or as antistatic properties. The effect pigments are predominantly marketed under the brands Iriodin®, Pyrisma®, Colorstream®, Xirallic®, MiravalŒ, Timirion®, Xirona®, Ronastar®, Candurin® and Minatec®. On September 9, 2009 Merck KGaA announced that it has acquired Suzhou Taizhu Technology Development Co. Ltd. ("Taizhu"), a supplier of effect pigments located in Taicang near Shanghai, China, with total revenues of more than EUR 14 million in 2008 and 300 employees. Merck expects the acquisition to be of strategic importance to its pigments business and to complement Merck's existing portfolio of effect pigments in the growing value-for-money market segment. Merck has acquired the production site of Taizhu in Taicang, 40 km from Shanghai, as well as the entire sales and marketing organization in China and abroad for a total consideration of EUR 26 million. Main areas of research and development in the Performance & Life Science Chemicals are new, innovative products for the biopharmaceutical industry and new, innovative effect pigments.

Investments The following tables give an overview of the investments made by the Merck Group in 2009 and the investments that management has decided to make since the date of the publication of the 2009 Annual Report.

Investments in the Pharmaceuticals Business Sector Amount Region Country Project Timeframe (in million) Europe Switzerland Construction of biopharmaceutical production 2007-2012 EUR 380 plant Europe Germany Construction of pharma research facilities 2009-2012 EUR 39 Europe Germany Enlargement of service module for 2007-2008 EUR 11 pharmaceutical production North-America U.S.A. Extension of U.S. research facilities 2008-2011 USD 52 Europe Austria Enlargement production probiotics 2008-2009 EUR 3 Latin America Mexico Bion® 3 production 2008-2010 EUR 8

Investments in the Chemicals Business Sector Amount Region Country Project Timeframe (in million) Europe Germany Material research centre 2008-2010 EUR 47

140 Europe Germany Expansion organic production 2007-2011 EUR 39 Europe Germany Modernization of anorganic production 2009-2011 EUR 30 New production unit chromatographic Europe Germany materials 2009-2010 EUR 13 Production cleaning solutions for Europe Germany biopharmaceutical manufacturer 2009-2010 8 Europe Switzerland Laboratotry extension 2008-2009 9 Asia Korea Technology centre 2008-2010 EUR 7

Financing of the Investments Merck uses credit facilities within the scope of its ordinary business activities. However, none of these loans serves exclusively or specifically to finance the investments described above. Investments are financed in all Business Sectors from the funds readily available.

Risk Management Risk management within the Merck Group is described for all risk owners in detailed guidelines. These define the principles of risk management, outline roles and responsibilities, and help those responsible to implement the legal and operational requirements. Specific terminology and standard risk reports harmonize the risk management process worldwide. Risk reports are submitted to the Executive Board every six months or, in special cases, on an ad-hoc basis. The internal auditing department reviews the risk management system.

Material Contracts

Multicurrency Revolving Credit Facility In October 2007 Merck entered into a EUR 2.0 billion multicurrency revolving credit facility. The credit facility is used for general corporate purposes and has a seven-year term. The facility replaced the former EUR 2.0 billion multicurrency revolving credit facility that was part of a meanwhile cancelled and repaid EUR 11.5 billion multicurrency loan agreement established for the financing of the acquisition of Serono S.A., now being Merck Serono S.A.

2005/2012 Benchmark bond of EUR 500 million In the 2005 fiscal year, Merck-Finanz AG, Luxembourg, a direct, wholly-owned subsidiary of Merck KGaA, issued a benchmark bond of EUR 500 million on the European capital market. Merck KGaA guarantees this bond. The German law-governed bond has a maturity of seven years and a fixed interest rate of 3.75% per annum. The issuing price was 99.716%. The bond is listed on the Luxembourg Stock Exchange (ISIN XS0237054431 and German Securities Identification No. WKN A0GKBZ). This bond does not bear conversion rights, warrants or options.

2007/2010 Benchmark bond of EUR 500 million In the 2007 fiscal year, Merck KGaA issued a benchmark bond of EUR 500 million on the European capital market. The German law-governed bond has a maturity of three years and a fixed interest rate of 4.75% per annum. The issuing price was 99.70%. The bond is listed on the Luxembourg Stock Exchange (ISIN DE 000 A0PNJA0 and German Securities Identification No. WKN A0PNJA0). This bond does not bear conversion rights, warrants or options.

Notes issued under the Program In the 2009 fiscal year, Merck Financial Services GmbH, a direct, wholly-owned subsidiary of Merck KGaA, issued Notes under the Program in a principal amount of EUR 750 million on the European capital market. Merck KGaA guarantees these Notes. The German law-governed Notes have a maturity of four and a half years and a fixed interest rate of 4.875% per annum. The issuing price was 99.697%. The Notes are listed on the Luxembourg Stock Exchange (ISIN XS0419828024 and German Securities Identification No. WKN A0XFHF). The Notes do not bear conversion rights, warrants or options.

141 In addition, Merck Financial Services GmbH distributed the following three Tranches of German law- governed Notes under the Program in a total amount of EUR 230 million by way of private placement in the 2009 fiscal year. All tranches are guaranteed by Merck KGaA.

Principal Amount Maturity Interest rate Issuing Price Tranche 1 EUR 60 million 7 years 4,000% 100% Tranche 2 EUR 70 million 10 years 4,250% 97,79% Tranche 3 EUR 100 million 6 years 3-month 100% EURIBOR + 0.77%

Commercial Paper Program In order to meet short-term capital requirements, Merck established in 2008 a standard German commercial paper program with a volume of up to EUR 2.0 billion (or its equivalent in other currencies). Notes may be issued in euro, U.S. dollars, British pounds sterling, Swiss francs, Japanese yen, or such other currency as may be agreed. The notes issued on the basis of this commercial paper program have a maturity of at least one day and a maximum of 364 days. The notes are issued in series of at least EUR 2.5 million; the principal amount of each individual note is at least EUR 500,000 or such other conventionally or legally accepted principal amount(s) for commercial paper in the relevant currency (e.g., USD 500,000, GBP 100,000, JPY 100,000,000, CHF 500,000). The notes are not admitted to trading on any stock exchange. This program replaced and expanded a former commercial paper program of Merck KGaA established in 1998.

Corporate Integrity Agreement In October 2005, EMD Serono Holding, Inc, a U.S. subsidiary of Merck Serono S.A. entered into a corporate integrity agreement with the U.S. federal government. The conclusion of this corporate integrity agreement was part of a settlement agreement of civil and criminal charges regarding the marketing and sale of the hormone treatment Serostim®. The objective of the corporate integrity agreement is to promote compliance with U.S. laws and regulations, including those of all government health insurance programs. The agreement is valid for at least five years and requires EMD Serono Holding, Inc. and its U.S. biopharmaceutical subsidiaries and their affiliates to comply with laws and regulations, certain standards of conduct and to introduce a comprehensive compliance program. Among other things, this includes a compliance officer, a written code of conduct, training programs, regulatory compliance rules and processes, annual audits and periodic and event reporting to the U.S. federal government. The corporate integrity agreement permits the U.S. government to exclude the applicable companies from participating in government health insurance programs (particularly Medicare and Medicaid) in the event of a material breach of the integrity agreement that is not rectified within 30 days after receipt of a written notice of the contractual violations.

Agreement and plan of share exchange regarding the acquisition of all shares in Millipore For details regarding this agreement and plan of share exchange please refer to the description under "Acquisition of Millipore ± Description of the Acquisition" below.

EUR 4,200,000,000 Dual-Currency Term Loan Facility Agreement to finance the acquisition of all shares in Millipore For details regarding this loan agreement please refer to the description under "Acquisition of Millipore ± Financing of the Acquisition" below."

Litigation and Arbitration Proceedings Save as described in the following or elsewhere in this Prospectus, there are currently no, and Merck KGaA or any of its subsidiaries has or have not been involved in any, governmental, legal or arbitration proceedings during the period of the last twelve months, against or affecting Merck KGaA or any of its subsidiaries, nor is Merck aware of any pending or threatened proceedings, which (in either case) may

142 have or have had in the recent past significant effects on the financial position or profitability of Merck KGaA or the Merck Group.

Lawsuits in the United States in connection with price information The U.S. federal government, various U.S. states, a large number of New York counties and some individuals have filed suit in the United States against Dey, Inc., a former U.S. subsidiary of Merck KGaA, as well as a number of other pharmaceutical companies, for falsely reporting certain price information concerning drugs marketed by it. The plaintiffs argue that, as a result of this, refunds to physicians and pharmacists for drugs from the government health schemes Medicare and Medicaid ± which are determined based on the price information provided ± were higher than the actual purchase costs, resulting in financial losses for them. It is also claimed that Dey, Inc. illegally used this difference between actual costs and the amount to be reimbursed as a marketing incentive. Many U.S. states have filed claims against Dey, Inc. in this connection since 1995. Dey, Inc. has since then settled some of these claims without any admission of liability, by paying compensation; claims asserted by various federal states are still pending. The U.S. federal government also filed a claim against Dey, Inc. in September 2006 which is still pending. Dey, Inc. and the other pharmaceutical companies affected are mounting a defense against these claims. Though Dey, Inc. was sold to Mylan Laboratories Inc. as part of the divestment of Merck¶s business with generic pharmaceutical products (Generic¶s division), Merck remains liable for all costs and expenses arising from such lawsuits. Following such divestment, Merck KGaA or its subsidiaries set up provisions in an amount as considered appropriate for these legal risks as the existing provisions were transferred with the sold Generics division to the buyer. It cannot be excluded that these provisions made by Merck KGaA or its subsidiaries will not cover all costs and expenses arising from these lawsuits.

Lawsuits and Legal Proceedings with regard to Rebif®

Lawsuit with IBEP Since 1993, lawsuits have been pending in Israel between Israel Bio-Engineering Project Limited Partnership (IBEP) and various subsidiaries of Merck Serono S.A. IBEP is claiming ownership rights and payment of license fees and royalties. The lawsuits filed by IBEP relate to the financing of the development of Rebif® and other products in the first half of the 1980s. In view of the claim asserted by IBEP Merck Serono S.A. has set up a provision for these legal disputes in an amount considered appropriate by Merck KGaA. It cannot be excluded that these provisions made by Merck KGaA or its subsidiaries will not cover all costs and expenses arising from these lawsuits.

Lawsuits with Italfarmaco S.p.A In addition, Italy-based Italfarmaco S.p.A. was involved in arbitration proceedings against Merck Serono S.A.'s Italian subsidiary before the court of arbitration of the International Chamber of Commerce (ICC) in Milan, Italy. The background is a licensing and supply contract signed by the two parties with regard to Rebif® in 1996, which was originally intended to remain in force until 2011 and which Italfarmaco S.p.A. terminated in 1999 due to alleged breaches of contract by Merck Serono S.A. Italfarmaco S.p.A. was asserting claims for damages, among other things, from lost profits. In November 2009, the court of arbitration rendered a negative award against Merck Serono. An appeal has been filed with the Appeal Court of Milan.

Subpoena from the U.S. Attorney¶s Office In March 2007, EMD Serono, Inc. received a subpoena from the U.S. Attorney¶s Office in Baltimore, Maryland seeking documents concerning the sales and marketing of Rebif® from January 2001 to the present. EMD Serono, Inc. has fully cooperated with the United States Department of Justice ("DOJ"). The DOJ has made civil claims under the False Claims Act following this subpoena and EMD Serono is currently discussing with the DOJ the settlement of these claims.Investigation in Switzerland in connection with the United Nations Oil-For-Food Programme and claim by the Republic of Iraq Merck Serono International S.A. and one of its affiliates were listed in the report published on October 27, 2005 by the Independent Inquiry Committee into the United Nations Oil-For-Food Programme (known as the "Volcker Report"). Following such publication, the Swiss authorities have referred the matter to the Swiss Attorney General for further investigation, and possibly, criminal prosecution. Merck is in contact with the Swiss Attorney General in relation to this matter. The outcome of this investigation is currently uncertain.

143 The Republic of Iraq has initiated legal proceedings before the U.S. District Court of Southern District of New York in June 2008 against a series of companies, including Serono Pharma International, a branch of Ares Trading S.A., a Swiss affiliate of Merck KGaA. The Republic of Iraq seeks damages in relation to the facts alleged in the Volcker Report. Neither Merck KGaA nor any of its subsidiaries has yet been served with this claim. The litigation is at a very early stage and as a result a risk assesement is currently not possible.

Order of the German Federal Cartel Office concerning the exclusive distributorship of Laboratory Products with VWR International In July 2009 Merck received an order from the German Federal Cartel Office (Bundeskartellamt) by which the Federal Cartel Office requests that Merck no longer distributes its laboratory products of the Performance & Life Science Chemicals division through its exclusive licence partner, the laboratory wholesale distributor VWR International, but also through other similarly qualified wholesale distributors in Germany. Merck has initiated advanced interim relief proceedings (Eilverfahren) before the Higher Regional Court of Düsseldorf. In its interim decision, the Higher Regional Court of Düsseldorf has upheld the Federal Cartel Office¶s order with regard to a certain part of Merck¶s laboratory products portfolio. Merck is acting in full compliance with the court¶s interim decision. Currently it cannot be estimated what economic effect the implementation of this order of the Federal Cartel Office will have in the future. The order is based on an investigation initiated by the Federal Cartel Office in 2005 after Merck sold VWR International to an investor. The investigation had been temporarily suspended. The investigation and the directive center around the question whether the exclusive European distribution agreement with VWR International is compatible with the applicable German antitrust law and whether Merck is subject to special antitrust requirements due to its market position.

Recent Developments Regarding the acquisition of Millipore, Billerica, Massachusetts, U.S.A. see below under the section "Acquisition of Millipore". For the downgrading of Merck's rating in connection with this acquisition please refer to "General Information about Merck KGaA ± Ratings" below. Regarding the recommendation of the suspension of the marketing authorization for the psoriasis treatment Raptiva® and its voluntary withdrawal from the market see above under "± Description of the Pharmaceuticals Business Sector ± Merck Serono ± Main Products". Regarding (i) the negative opinion of the CHMP concerning the use of Erbitux® for the treatment of patients with advanced or metastatic non-small cell lung cancer ("NSCLC") and (ii) the Refuse to File letter of the FDA regarding cladribine tablets see above under ± Description of the Pharmaceuticals Business Sector ± Merck Serono ± Main Products". Regarding the acquisition of Suzhou Taizhu Technology Development Co. Ltd. see above under "± Description of the Chemicals Business Sector ± Performance & Life Science Chemicals (PLS) ± Business fields and main products ± Pigments business". Regarding the directive issued by the Federal Cartel Office concerning the exclusive distributorship with VWR International see above under "Litigation and Arbitration Proceedings ± Order of the German Federal Cartel Office concerning the exclusive distributorship of Laboratory Products with VWR International".

Trend Information and Significant Changes Since the last audited financial statements of Merck KGaA as of December 31, 2009 and save as disclosed herein, there has been no material adverse change in the prospects of the Merck KGaA and no significant change in the financial or trading position of Merck KGaA. Other than the general economic uncertainties and the impact of the current financial crisis and worldwide recession Merck KGaA is not aware of any trends, uncertainties, demands, commitments or events that are reasonably likely to have a material effect on the prospects of Merck KGaA for at least the current financial year.

144 ACQUISITION OF MILLIPORE

On February 28, 2010 Merck entered into an agreement and plan of share exchange (the "Share Exchange Agreement") with Millipore Corporation, Billerica, Massachusetts, U.S.A. ("Millipore"). Under the Share Exchange Agreement, Merck will, subject to certain conditions, acquire all shares in Millipore against a cash consideration of USD 107 per share. The total transaction value, including net debt of Millipore (as of December 31, 2009), is approximately USD 7.2 billion (EUR 5.3 billion). The closing of the Share Exchange Agreement is subject to the approval by the shareholders of Millipore with a two-thirds majority. Furthermore, the closing of the acquisition of Millipore is subject to additional conditions precedent, in particular subject to clearance by the competent merger control authorities. Millipore is listed on the New York Stock Exchange and traded under the symbol MIL. In the 2009 fiscal year Millipore generated global sales of USD 1.65 billion.

Reasons for the Acquisition and Strategy With global sales of USD 1.65 billion in 2009, Millipore is well positioned in the attractive life science sector, providing tools and services for bioscience research and biopharmaceutical manufacturing. Headquartered in Billerica, Massachusetts, U.S.A. Millipore is organized in two operating divisions: Bioscience and Bioprocess. The Bioscience Division, which contributes approximately 44% of the company¶s 2009 revenues, offers products, technologies and services to improve laboratory productivity and work flows for life science research including, for example, molecular biology tools for purifying, preparing or screening biological samples. The Bioprocess Division, which contributes approximately 56% of the company¶s 2009 revenues, sells products for pharmaceutical and biotechnology companies to develop and optimize manufacturing processes and to ensure drug quality. These products range from cell culture media supplements to process-monitoring tools and filtration consumables and devices. As of December 31, 2009 Millipore Corporation had around 6,100 employees in 30 countries. Major facilities include 11 manufacturing sites and 10 research and development centers. With the acquisition of Millipore, Merck intends to further develop its Chemicals business and to improve its position in the global market for life sciences. In addition, this transaction aims at achieving a more balanced business profile for the Merck Group ± one of the cornerstones of Merck¶s strategy. In the 2009 fiscal year the Chemicals Business Sector generated around 25% of total revenues and the Pharmaceuticals Business Sector 75%. Following the transaction, Chemicals will contribute a significantly higher percentage to the total revenues of the Merck Group; based on the respective revenues of the 2009 fiscal year and on an adjusted combined basis the contribution would have been 35%. Millipore¶s two divisions Bioscience and Bioprocess will be combined with Merck¶s Laboratory business and major parts of its Life Science Solutions business to form a partner for the life science sector with adjusted combined sales of EUR 2.1 billion (based on the respective sales of the 2009 fiscal year). The combination provides an attractive growth profile in the business with high margin specialty products. With Millipore¶s bioscience and biopharmaceutical expertise and Merck¶s in depth pharma knowledge, the joint business will be able to cover the entire value chain for pharma and biopharma customers. By combining the R&D budgets of both companies it is intended to create a powerful innovation platform in life sciences. Through the combination of the two companies, distribution capabilities of the new Merck Millipore business will be strengthened. In addition, customers will benefit from an enhanced specialty sales force and Millipore¶s well reputed e-commerce platform. Together, Millipore and Merck will have a significant presence in high-growth segments and an enhanced geographic footprint. In particular, Merck¶s presence will be strengthened in the U.S. market, the most important single market for life sciences. As part of the integration into the Merck Group major parts of Merck¶s Laboratory business and major parts of its Life Science Solutions business will be combined with Millipore's activities. The new sector will be called ³Merck Millipore´ and will be headquartered in Billerica, Massachusetts, U.S.A.

Description of the Acquisition Merck agreed to acquire all shares in Millipore by way of a statutory share exchange pursuant to Part 11, § 11.03 et seq. of the Massachusetts Business Corporation Act. A statutory share exchange provides for the mandatory acquisition of all shares in a target company against any possible consideration, including cash.

145 To implement such a share exchange, Merck KGaA, Concord Investments Corp., a Massachusetts based wholly owned subsidiary of Merck, and Millipore have signed an agreement and plan of share exchange regarding all shares in Millipore on February 28, 2010 (the "Share Exchange Agreement"). Under the Share Exchange Agreement which is governed by the laws of the Commonwealth of Massachusetts, Merck will, subject to certain conditions, acquire all shares in Millipore against a cash consideration of USD 107 per share. The total transaction value, including net debt of Millipore, is approximately USD 7.2 billion (EUR 5.3 billion). The closing of the Share Exchange Agreement is subject to the approval by the shareholders of Millipore with a two-thirds majority. An extraordinary general assembly of shareholders of Millipore will be called to approve the Share Exchange Agreement. Merck currently expects such extraordinary general assembly to be held in mid-2010. Furthermore, the closing of the acquisition of Millipore is subject to other closing conditions, most notably the clearance by the competent merger control authorities. The Share Exchange Agreements provides for termination rights both for Merck and Millipore, including a termination right of both parties in case the share exchange has not been consummated until October 31, 2010 or ± in case of a possible extension ± November 30, 2010. Upon termination under specified circumstances (e.g. competing offer by another bidder prior to the general assembly of the shareholders), Millipore would be required to pay Merck a termination fee. Once the approval of the shareholders of Millipore is in place and all closing conditions have been met or waived, including merger clearance, so-called Articles of Share Exchange will be filed for registration with the Secretary of the Commonwealth of Massachusetts. As a result of such filing the share exchange becomes effective. As Merck expects to receive merger clearance in the second half year of 2010 and as such filing and registration is rather a mere formality which can normally be completed within one day, the exchange of all shares in Millipore to Merck is likely to occur in the second half year of 2010. Dissenting shareholders of Millipore that disagree with the amount of consideration offered under the share exchange have the right to demand from Millipore to be paid fair value of their shares (so-called appraisal rights). An appraisal process will not delay the filing or registration of the share exchange but could lead into court proceedings to determine the fair value, unless a mutual settlement can be agreed with the dissenting shareholders. Such court proceedings can extend for a substantial period of time. In case the fair value for each share in Millipore estimated by a dissenting shareholder or determined by a court is higher than the consideration offered by Merck, Merck will have to pay the higher amount of the fair value (as agreed under a mutual settlement with the dissenting shareholders or as determined in the appraisal proceedings) to the dissenting shareholders, and the acquisition of Millipore will become more expensive for Merck.

Financing of the Acquisition Merck will use its own cash to finance the acquisition and will also make use of the following instruments: · drawing of tranches under the terms of a dual-currency term loan facility agreement; · issuance of Notes under the Program and use of proceeds therefrom to finance the acquisition and/or to fully or partly prepay or cancel the dual-currency term loan facility agreement.

Dual-Currency Term Loan Facility Agreement to finance the acquisition of all shares in Millipore On February 28, 2010 Merck KGaA and Merck FS entered into a EUR 4,200,000,000 dual-currency term loan facility agreement with a syndicate of banks including, inter alia, BNP Paribas, Commerzbank Aktiengesellschaft and Merrill Lynch International as mandated lead arrangers (the "Millipore Acquisition Loan"). Other Dealers may also become lenders under the Millipore Acquisition Loan. Both Merck KGaA and Merck FS may borrow loans under the Millipore Acquisition Loan. Merck KGaA will guarantee any borrowings and any other payment obligations of Merck FS under the Millipore Acquisition Loan. The Millipore Acquisition Loan, which is divided into three tranches, serves primarily to finance the acquisition of Millipore, including (i) refinancing or repurchasing of financial liabilities incurred by Millipore and assumed by Merck as part of the acquisition and (ii) financing appraisal rights of dissenting shareholders of Millipore. The maturity of the tranches varies between the first anniversary

146 (Tranche A of EUR 1 billion, if not extended), the second anniversary (Tranche A, if extended, and Tranche B of EUR 1.2 billion) and the third anniversary (Tranche C of EUR 2 billion) of the conclusion of the Millipore Acquisition Loan. All tranches are committed and may be utilized in Euro or U.S. dollar. Subject to the absence of a major default and the correctness of major representations made by Merck, the lenders are obliged to provide the committed financing for the acquisition of the shares in Millipore until the closing of the acquisition of Millipore, provided that the acquisition is closed before December 6, 2010. Except for the guarantee by Merck KGaA for any borrowings and other payment obligations of Merck FS under the Millipore Acquisition Loan, the loans granted under this Millipore Acquisition Loan are unsecured. The Millipore Acquisition Loan contains market-standard undertakings, restrictions and financial covenants (consolidated net debt to consolidated EBITDA and consolidated EBITDA to consolidated net interest expense tested each business quarter) that may influence the flexibility of the Merck Group¶s operations. A breach of the financial covenants, as well as any breach of the additional restrictive covenants, will give rise (subject, in certain instances, to cure periods) to a right of the lenders of the Millipore Acquisition Loan to accelerate the loans and cancel their respective commitments thereunder. Other circumstances that may allow the lenders of the Millipore Acquisition Loan to accelerate the loans and cancel their respective commitments under the Millipore Acquisition Loan include, notably, any non- payment or other default by companies of the Merck Group in respect of financial liabilities totalling EUR 50 million or more (cross default), any insolvency event in relation to the borrowers, any member of the Group incorporated in Germany or any material subsidiary of Merck KGaA incorporated in any other jurisdiction, any materially adverse court judgement, and generally any significant deterioration of Merck KGaA¶s or the Merck Group¶s overall financial position such that Merck¶s ability to meet its payment obligations as defined in the loan agreement are or may reasonably expected to be adversely affected. The three tranches carry interest at a rate that corresponds to the total of defined applicable margins, EURIBOR (or, in the case of U.S. dollar denominated loans, LIBOR) for the selected interest period, and the mandatory costs. Merck is also obliged to pay a standard market commitment fee, amounting to a percentage of the margins applicable to the individual tranches, as well as an upfront fee and a facility agency fee and, in the case Merck exercises its extension option to extend the maturity for Tranche A, an extension fee. Merck may at any time cancel unutilised commitments and voluntarily prepay loans, in each case subject to a minimum cancellation or repayment amount of EUR 25,000,000, by giving a five business days¶ advance notice. Partial cancellations and voluntary prepayments will first be offset against Tranche A, then against Tranche B and, finally, against Tranche C. Merck and Merck FS, if acting as borrower, are obliged to prepay the loans and cancel commitments upon the occurrence of certain mandatory prepayment events, including, subject to certain exceptions and baskets, in particular with the proceeds from (i) any capital increase of Merck KGaA, (ii) any borrowings in the international or domestic loan markets or any issue of debt instruments (such as the Notes) in the international and domestic capital markets, excluding commercial paper issues under Merck's existing commercial paper program, (iii) any disposal of shares in or assets of Millipore or its affiliates to any person who is not a member of the Merck Group and (iv) ± subject to Merck's long- term credit ratings ± any disposal of any other asset. In addition, in the event of E. Merck KG no longer has the right to appoint the majority of the general partners with no equity interest (change of control) of Merck KGaA or in the event of an breach of the provision pertaining to the maintenance of capital under § 288 AktG (Drawings of the general partners; granting of credit), any lender under the Millipore Acquisition Loan may individually cancel its commitments and accelerate the loans granted by it with an advance notice of at least 30 days.

147 GENERAL INFORMATION ABOUT MERCK KGAA

History, Formation, Company Name, Registered Office and Fiscal Year of Merck KGaA Merck KGaA was established in 1995 by transferring to it a predominant part of the assets of E. Merck ± at this time a general partnership under German law (offene Handelsgesellschaft ± "OHG", since January 1, 2009 operating as a limited partnership under German law (Kommanditgesellschaft ± ³KG´)) with its registered office in Darmstadt, Germany ± by way of a spin-off pursuant to § 123 (3) No. 2 of the German Reorganization and Transformation Act (Umwandlungsgesetz, "UmwG") in line with the spin-off plan (Spaltungsplan) dated July 6, 1995. The incorporation for an indefinite term became effective with the registration of this spin-off and new formation in the commercial register on July 18, 1995. The transferred assets excluded, in particular, a minority limited partnership share in the subsidiary Merck & Cie. KG, Altdorf, Switzerland, having an equity interest of CHF 1,890,000; the majority limited partnership share of CHF 90,810,000 was transferred to Merck KGaA. Merck KGaA is recorded in the commercial register of the local court of Darmstadt, Germany, (docket number HRB 6164) under its company name "MERCK Kommanditgesellschaft auf Aktien". Merck KGaA has had its registered office in Darmstadt, Germany since its formation. The business address is: Merck KGaA, Frankfurter Straße 250, 64293 Darmstadt, Germany. Merck KGaA may be reached by telephone on +49 6151 72-0. Merck KGaA's fiscal year is the calendar year. Merck KGaA and its subsidiaries operate under the trade name "Merck". In the United States and Canada the Merck Group operates under the trade name "EMD". Pursuant to an agreement with Merck & Co., a company not linked to Merck, Merck & Co. has the right to use the name Merck in the United States and Canada, whereas Merck has the right to use this name in the rest of the world.

Legal Structure Merck KGaA is a corporation with general partners (Kommanditgesellschaft auf Aktien - "KGaA") organized under German law. Merck KGaA is governed by German stock corporation and commercial law. A corporation with general partners is a company with its own legal personality, with at least one partner having unlimited liability for the company's creditors (general partner) and the others holding an interest in the share capital, divided into shares, without any personal liability for the company's debts (limited liability shareholders) (§ 278 (1) German Stock Corporation Act (Aktiengesetz, "AktG")). It is therefore a hybrid of a German stock corporation and a limited partnership with a focus on German stock corporation law.

Corporate Purpose The corporate purpose of Merck KGaA is pursuant to § 2 of its articles of association (a) the manufacture and distribution of chemical and biotechnological products, particularly pharmaceuticals, basic substances for medicinal products, specialty chemicals, industrial chemicals, pigments and cosmetic substances, (b) the manufacture, distribution and trade in laboratory preparations and equipment, particularly reagents and diagnostic agents, and (c) the development, acquisition and exploitation of chemical processes and facilities. Merck KGaA is entitled to enter into all transactions and take all actions that appear suited to achieve the object of the company. For this purpose, Merck KGaA may, in particular, provide services, acquire, manage and sell properties, set up, acquire or invest in other companies, and manage such companies or limit itself to the management of its investments. Merck KGaA is also entitled to conduct its business activities through subsidiaries, associated companies and joint ventures. It may spin off or transfer its operations to affiliated companies, either in full or in part.

Share Capital As of March 16, 2010, the total capital (Gesamtkapital) of Merck KGaA is EUR 565,211,241.95 and consists of the share capital (Grundkapital) of EUR 168,014,927.60 divided into 64,621,126 shares and the equity interest (Kapitalanteil) of EUR 397,196,314.35 held by the general partner E. Merck.

148 Thus the general partner E. Merck holds approximately a 70% interest in the total capital of Merck KGaA. E. Merck's equity interest in Merck KGaA is not certificated by shares and does not carry any voting rights. The total capital is fully paid up. The shares of Merck KGaA are no-par value shares. One share is a registered share (share number 1); the remaining shares are bearer shares. The following chart illustrates the shareholder and owner structure of Merck KGaA as described above:

Organizational Structure Merck KGaA is the parent company of the Merck Group. As of March 16, 2010, the Merck Group had the following organizational structure:

149 Major Compa nies and Issue rs of t he Merck Group as of March 16 th, 20 10

Mer ck KGaA D arm stadt, Germany 100,00 % 100,00 % Merc k Fin anc ial Se rvi ces Merck & Cie KG 98,87% 100,00 % Mer ck Hol din g GmbH Merc k- Fi nan z A G A l t do r f , S w it z er l a nd Gernsheim,Germany Luxembourg,Luxembourg Gm bH Darmstadt, Germany 79,13 % Me rck Vier te Allg emein e Merc k AG 20,87 % 100,00 % 100,00 % Chemitra GmbH Zug,Sw itzerland and D arm stadt, Bet eili gu ng sg es . mbH Ge r ma ny Darmstadt, Germany Gernsheim,Germany

100,00 % Mer ck Int er nat ion ale 20,10 % 79,90 % SeroMer Holding SA Sub-H oldings and / or oper ative Beteiligungen GmbH C héserex, Switzerland C ompanies D arm stadt, Germany

100,00 % Sub-Holding s an d/ o r operat ive EMD Chemicals US Companies Ho ldi ng s I nc. Wilmington,U SA

18,00 % 82,00 % 100,00 % Mer ck Ltd . EMD Ch emical s I nc. , Japan G ibbsto wn, USA 83,24 % 100,00 %

99,72 % 16,76 % M erc k Cap it al Ho ld in g Merc k S .A. Mer ck Sero n o SA Lyon, France Coinsins, Switzerland Ltd. St. Julians, Malta

100,00 % 100,00% Other op erative Companies S er on o Tr i H old i n gs B. V . Merc k Ca pit al Ltd. Schiphol-Rijk, Netherlands St. Julians, Malta

100,00 % M er ck B .V. Sub-H oldings and / or oper ative Schiphol-Rijk, Netherlands C ompanies

9,47 % Serono France Holding 90,53 % 100,00 % Merck Santé S.A.S. S.A.S. Lyon, France Lyon, France

For further information on the major affiliates of Merck KGaA, please refer to page 106 of the Annual Report 2009 incorporated by reference into this Prospectus (see "Documents Incorporated by Reference").

Shareholders and Owner Structure According to the notifications received under Section 21 of the German Securities Trading Act shareholders holding at least 3% of the voting rights in Merck KGaA are the following companies (including, where relevant, their affiliates and subsidiaries): 3%-5% Fidelity International Ltd., Hamilton, Bermudas (4.48% notified on November 13, 2006) 3%-5% Templeton Global Advisors Limited, Nassau, Bahamas (3.01% notified on May 27, 2009) 3%-5% Capital World Growth and Income Fund, Inc., Los Angeles, U.S.A. (3.04% notified on June 03, 2009) 5%-10% BlackRock Inc., New York, U.S.A. (5.10% notified on March 9, 2010) 5%-10% Barclays PLC, London, UK (5.6% notified on September 28, 2005) 5%-10% Capital Group Companies Inc., Los Angeles, U.S.A. (9.787% notified on October 9, 2006) 5%-10% Inc., Toronto, Canada (9.55626% notified on January 21, 2010)

A change in the shareholder structure is possible in certain cases. For example, E. Merck may use its right under the articles of association of Merck KGaA to convert its equity interest in whole or in part into share capital. No arrangements are known to Merck KGaA which may at a subsequent date result in a change in control over Merck KGaA.

150 Corporate Bodies In accordance with the provisions of the German Stock Corporation Act (Aktiengesetz) and the German Commercial Code (Handelsgesetzbuch), Merck KGaA has three corporate bodies: the general partners, the supervisory board (the "Supervisory Board"), and the general meeting (the "General Meeting"). The administrative bodies are the general partners not holding an equity interest (forming the "Executive Board") (Geschäftsleitung) and the Supervisory Board. These two bodies are separate corporate organs; no individual can be a member of both bodies. The group of general partners currently comprises four general partners not holding an equity interest and the general partner holding an equity interest, E. Merck Kommanditgesellschaft (until December 31, 2008: E. Merck Offene Handelsgesellschaft), Frankfurter Straße 250, 64293 Darmstadt, Germany ("E. Merck"). Only general partners of E. Merck may be general partners not holding an equity interest in Merck KGaA. According to the articles of association of Merck KGaA, the general partners not holding an equity interest are responsible for the management of Merck KGaA and thus form the Executive Board. E. Merck is generally excluded from managing and representing Merck KGaA. However, on account of its substantial capital investment and unlimited personal liability, E. Merck advises and supervises the Executive Board of Merck KGaA in addition to the expertise and activities of the Supervisory Board. Furthermore, E. Merck has under the articles of association of Merck KGaA extensive consultation, decision-making and veto rights with respect to the business of Merck.

General Partners not holding an Equity Interest ± Executive Board The following summary provides an overview of the current members of the Executive Board and their current activities outside of Merck KGaA or other companies of the Merck Group. Other current activities outside of Name Position Responsibilities Merck KGaA or the Merck Group

Dr. Karl-Ludwig Chairman Group Functions: Corporate - Member of the Supervisory Kley Human Resources, Corporate Board Bertelsmann AG, Legal & Compliance, Patents & Gütersloh, Germany Scientific Information, Corporate - Member of the Supervisory Auditing and Risk Management, Board BMW AG, Munich, Corporate Communications, Germany Inhouse Consulting, Corporate Strategic Planning, Corporate - Chairman of the Information Services, Environment Supervisory Board 1.FC Health and Safety Security Quality Köln GmbH & Co. KGaA, Cologne, Germany

Dr. Michael Becker Member Finance: Corporate Finance, - No positions on external Accounting & Controlling, boards Corporate Tax, Insurances, Corporate Procurement

Dr. Bernd Member Chemicals: Performance & Life - No positions on external Reckmann Science Chemicals, Liquid boards Crystals, Business Development Chemicals, Operations Chemicals, Advanced Technologies, Technical Operations,Site Management Darmstadt and Gernsheim, Human Resources Germany

151 Other current activities outside of Name Position Responsibilities Merck KGaA or the Merck Group Elmar Schnee Member Pharmaceuticals: Merck Serono, - ChemGenex Consumer Health Care Pharmaceuticals Ltd., Australia (Board of Directors ± Non-executive director)

The members of the Executive Board can be contacted at the business address of Merck KGaA (Frankfurter Straße 250, 64293 Darmstadt, Germany). The following potential conflict of interest exists: According to the articles of association of Merck KGaA, general partners not holding an equity interest who are members of the Executive Board are appointed by the general partner holding an equity interest, E. Merck, together with a simple majority vote of the other general partners. Each general partner of Merck KGaA must at the same time be a general partner of E. Merck. Thus, E. Merck de facto appoints the members of the Executive Board. The legal relationships between Merck KGaA and the general partners not holding an equity interest, i.e., the members of the Executive Board, are governed by separate agreements between E. Merck and the general partner in question. E. Merck is entitled to terminate this agreement for good cause. There are no other conflicts of interest between the duties of the Executive Board members and their respective personal interests and/or other duties.

The General Partner holding an Equity Interest ± E. Merck E. Merck currently holds approximately 70% of the total capital of Merck KGaA. E. Merck does not have any operating activities itself. E. Merck has under the articles of association of Merck KGaA extensive consultation, decision-making and veto rights with respect to the business of Merck KGaA. E. Merck and its general partners appoint the members of Merck KGaA's Executive Board. In contrast to the situation at a German stock corporation, where the management board is appointed by the supervisory board that includes shareholder representatives, at Merck KGaA the members of the Executive Board (i.e. the general partners not holding an equity interest) are named by the general partner holding an equity interest (E. Merck) with the approval of a simple majority of the other general partners of Merck KGaA. The only persons who can be general partners with no equity interest, and therefore members of the Executive Board, are those who are also general partners of E. Merck. This creates a close relationship between the Executive Board and E. Merck. Other individuals may only become members of the Executive Board if they are nominated by E. Merck and receive the approval of all general partners with no equity interest. Moreover, the Executive Board requires the consent of E. Merck for all transactions that are beyond the scope of the ordinary business of Merck. For the aforementioned reasons and to the extent described above Merck KGaA is partially dependent on E. Merck. The following chart shows the relationship between Merck KGaA, the general partner holding an equity interest E. Merck and E. Merck Beteiligungen KG (as of March 16, 2010):

152 Supervisory Board The Supervisory Board of Merck KGaA currently consists of sixteen members. Eight members are elected by the employees pursuant to the provisions of the German Co-determination Act (Mitbestimmungsgesetz). Of the eight members elected by the shareholders, six are elected by the shareholders at the General Meeting in accordance with the German Stock Corporation Act. Two members are appointed by the holder of the registered share (currently E. Merck Beteiligungen KG) provided that a general partner is not the holder of the registered share. If a general partner holds the registered share, these two members are elected by the General Meeting. The following table shows the current members of the Supervisory Board of Merck KGaA, the year of their initial election to the Supervisory Board, and their main occupation as well as all current activities outside of the Merck Group.

Name Position Year of initial Profession/ Other current activities outside election occupation of the Merck KGaA or the Merck Group*

Prof. Dr. Dr. h.c. Rolf Krebs Chairman 2006 Physician, retired (a) - Epigenomics AG, Berlin, Germany (Chairman) - Ganymed Pharmaceuticals AG, Mainz, Germany (Chairman) - Merz GmbH & Co KGaA, Frankfurt - Senator GmbH & Co KGaA, Frankfurt - Merz Pharmaceuticals GmbH, Frankfurt am Main, Germany (b)- Air Liquide S.A., Paris, France

Heiner Wilhelm (1) Vice 2007 Chairman of the No positions on Chairman Works Council of external boards Merck KGaA

153 Name Position Year of initial Profession/ Other current activities outside election occupation of the Merck KGaA or the Merck Group*

Crocifissa Attardo (1) Member 2009 Member of the No positions on works council of external boards Merck KGaA

Dr. Mechthild Auge (1) Member 2009 Project Manager No positions on for Planning and external boards Information Western Europe

Johannes Baillou Member 2008 Entrepreneur No positions on external boards

Frank Binder Member 2008 Entrepreneur (a) - Landbell AG für Rückholsysteme, Mainz (Chairman) (b) - Board of Directors BMR-Yachting AG, Zurich, Switzerland (Chairman) - Board of Directors Athena AG, Zurich, Switzerland

Dr. Wolfgang Büchele Member 2009 Chief Executive (b) - BorsodChem Zrt., Officer of Kazinbarcika, Hungary BorsodChem Zrt., - Kemira Oy, Helsinki, Hungary Finland

Michael Fletterich (1) Member 1997 Chairman of the No positions on (election as Works Council of external boards deputy; the Gernsheim member site of Merck since KGaA 1998)

Edeltraud Glänzer (1) Member 2008 Member of the (a) - - B. Braun Melsungen main Board of AG, Melsungen Directors of the - Solvay Deutschland Mining, Chemical GmbH, Hannover and Energy (Vice Chairman) Industrial Union (IG BCE)

Michaela Freifrau von Appointed 2008 Pedagogue No positions on Glenck Member external boards

Frieder Kaufmann (1) Member 2008 Member of the No positions on Works Council of external boards Merck KGaA

Dr. Hans-Jürgen Leuchs Member 2009 Diplom Chemist, (a) - Zeton B.V., Enschede, retired Netherlands

154 Name Position Year of initial Profession/ Other current activities outside election occupation of the Merck KGaA or the Merck Group*

Albrecht Merck Appointed 2005 Entrepreneur No positions on Member external boards

Dr. Karl-Heinz Scheider (1) Member 2009 Chemist No positions on external boards

Prof. Dr. Theo Siegert Member 2006 Managing Partner (a) - Deutsche Bank AG, of de Haen Frankfurt am Main, Carstanjen & Germany Söhne, - ERGO AG, Düsseldorf Düsseldorf, Germany - E.ON AG, Düsseldorf, Germany - AG & Co. KGaA, Düsseldorf, Germany (b) - Board of Directors of DKSH Holding Ltd., Zurich, Switzerland

Osman Ulusoy (1) Member 2003 District Head of (a) Evonik Röhm GmbH, the Mining, Darmstadt, Germany Chemical and (Vice Chairman) Energy Industrial Union (IG BCE)

(1) Employee representatives

* Organized by membership of (a) other statutory supervisory boards, (b) comparable supervisory bodies of commercial enterprises within and outside Germany.

The members of Merck's Supervisory Board can be contacted at the business address of Merck KGaA. There are no possible conflicts of interest between the duties of the Supervisory Board members and/or their respective private interests or other duties. There are no permanent committees such as an audit committee or a compensation committee due to the restrictions of rights and obligations of the supervisory board of a KGaA. In particular, the supervisory board of a KGaA is not responsible for appointing the general partners who form the Executive Board of Merck KGaA, or for regulating the terms and conditions of their contracts. However, the board of partners of E. Merck KG, the entity responsible for the appointment and dismissal of the members of the Executive Board of Merck KGaA, has set up committees, namely a Human Resources Committee, a Finance Committee and a Research & Development Committee.

Corporate Governance The German Corporate Governance Code is geared exclusively towards the conditions prevailing at a German stock corporation (Aktiengesellschaft). Merck KGaA therefore independently examined and decided how the Code can be applied to a corporation with general partners (Kommanditgesellschaft

155 auf Aktien). The recommendations of the Code are largely being observed, with a few exceptions. These exceptions are as follows: 1. Contrary to section 3.8 (2) of the German Corporate Governance Code, the Directors & Officers (D&O) liability insurance policy, which Merck KGaA maintains for its supervisory board members, does not include a deductible. Merck KGaA has dispensed with a deductible because D&O insurance policies with the required deductible are not actively offered by the insurance sector and the individual agreement on a deductible is not countered by a substantial reduction in the premium. However, the deductible will be implemented effectively July 1, 2010. 2. Contrary to section 5.4.1 sentence 2 of the German Corporate Governance Code, no age limit is taken into account when proposing the election of Supervisory Board members. The age of Supervisory Board members is not a criterion for their qualifications and competence. Moreover, the many years of experience of Supervisory Board members should not be dispensed with. 3. Contrary to section 5.4.6 (3) of the German Corporate Governance Code, the remuneration paid to members of the Supervisory Board is not reported individually. The amount of compensation received by the members of the Supervisory Board can be calculated in accordance with the articles of association of Merck KGaA, making a separate disclosure unnecessary.

Stock Exchange Listing The shares of Merck KGaA have been admitted to the regulated market (regulierter Markt) and to the listing segment with additional transparency requirements (Prime Standard) of the . On June 18, 2007 Merck KGaA joined the DAX 30 Index. The DAX 30 Index is the index that tracks the price developments of the 30 largest and most actively traded German equities.

Ratings The rating agencies Standard & Poor¶s (S&P) and Moody¶s published their first credit ratings for Merck KGaA in 2003. Merck has retained an investment-grade rating since then, and can thus rely on credit financing from a wide variety of sources. The following table shows the development in the rating since its first issuance: Report Year Standard & Poor's Moody's

Long-term Outlook Short-term Long-term Outlook Short-term Rating Rating Rating Rating

2010 BBB+ Stable A-2 A3 Under P-2 (02.03) (02.03) review 2008 A- Stable A-2 A3 Stable P-2 (30.06.) (16.12.) BBB+ Watch pos. A-2 Baa1 Positive P-2 (20.05.) (20.02.) 2007 BBB+ Stable A-2 Baa1 Stable P-2 (19.10.) (06.06.) BBB Stable A-2 P-2 (09.01.) 2006 BBB+ Watch neg. A-2 Baa1 Under P-2 (21.09.) (21.09.) review BBB+ Stable A-2 Baa1 Stable P-2 (31.03.) (31.03.) BBB+ Watch neg. A-2 Baa1 Under P-2 (13.03.) (14.03.) review 2005 Baa1 Positive P-2 (21.11.) 2004 BBB+ Stable A-2 Baa1 Stable P-2 (07.07.) (04.06.) 2003 BBB Stable A-2 Baa2 Stable P-2 (19.09.) (19.09.)

156 Moody¶s Investors Service, Inc. currently rates Merck for senior unsecured long term debt at A3, upgraded from Baa1 on December 16, 2008. The short-tem rating of P-2 was affirmed. In connection with the contemplated acquisition of Millipore Moody's Investors Service placed the senior unsecured and the short term ratings of Merck KGaA and its subsidiaries under review for possible downgrade on March 2, 2010. In connection with the contemplated acquisition of Millipore Standard & Poor's Rating Services downgraded Merck KGaA's long-term corporate credit and senior unsecured debt rating from A- to BBB+ on March 2, 2010. At the same time, Standard & Poor's Rating Services affirmed the A-2 short term rating and the stable outlook. The aforementioned current ratings are based on current information furnished to the rating agencies by Merck and information obtained by the rating agencies from other sources. Because ratings may be changed, superseded or withdrawn as a result of changes in, or unavailability of, such information, a prospective purchaser of Notes should verify the current long-term and short-term ratings of Merck before purchasing the Notes.

Auditors The auditor of Merck KGaA's annual and consolidated financial statements for the 2008 and 2009 fiscal years is KPMG AG Wirtschaftsprüfungsgesellschaft, Klingelhöferstraße 18, 10785 Berlin, ("KPMG"). The annual financial statements according to HGB, as well as the consolidated financial statements of Merck KGaA according to IFRS for the 2008 and 2009 fiscal years, were audited by KPMG and each provided with an unqualified auditor's opinion. KPMG is a member of the German Chamber of Auditors (Wirtschaftsprüferkammer). In the Annual General Meeting to be held on April 9, 2010 the Supervisory Board will propose to appoint KPMG also as auditor for the 2010 fiscal year.

Business Overview, Investments, Legal and Arbitration Proceedings, Material Contracts, Recent Developments, Trend Information and significant changes Please refer to the section "Business of the Merck Group" and the respective subsections "Business of the Merck Group ± Investments"/ ± Legal and Arbitration Proceedings"/ ± Material Contracts"/± Recent Developments"/ ± Trend Information and Significant Changes".

157 Selected Consolidated Financial Information for Merck KGaA The following selected historical financial information for the Merck Group is based on the audited consolidated financial statements of Merck KGaA for the fiscal years ended December 31, 2008 and 2009 ("Consolidated Annual Financial Statements"), all of which are reproduced elsewhere or incorporated by reference in this Debt Issuance Program Prospectus, and should be read together with them. The Consolidated Annual Financial Statements were prepared in accordance with International Financial Reporting Standards (IFRS) as adopted in the European Union. The Consolidated Annual Financial Statements were audited by KPMG AG Wirtschaftsprüfungsgesellschaft and issued in each case with an unqualified auditor¶s opinion. The Consolidated Annual Financial Statements were prepared using the cost of sales method, that is expenses are classified according to their function (production, marketing and sales, administration and research and development) and the costs directly incurred to generate the sales for the reporting period are presented as cost of sales.

Fiscal Year ended December 31, 2009 2008 in EUR million. (audited) (audited) Change in % Total Revenues ...... 7,747 7,590 2.1 Gross Margin ...... 5.718 5,684 0.6 Research and Development...... -1,345 -1,234 8.9 Operating Result...... 649 1,131 -42.6 Exceptional items...... -28 -400 - Earnings before interest and tax (EBIT)(1) ...... 621 731 -15.1 EBIT before depreciation and amortization (EBITDA) ... 1,625 1,947 -16.5 Return on Sales (ROS)(2) in %...... 8.4 14.9 - Free Cash Flow (FCF) ...... 812 438 85.3

Underlying Free Cash Flow...... 852 601 41.6

(1) EBIT is defined as a key figure for the earnings in the respective period before the positions financial result and taxes shown in the income statement. EBIT in the form as accounted for by Merck is not necessarily comparable with identical ratios as accounted for by other companies. (2) Merck KGaA uses ROS (return on sales) among other management indicators. ROS is calculated by dividing the operating result by total revenues.

158 GENERAL INFORMATION ABOUT MERCK FINANCIAL SERVICES GMBH History, Formation, Company Name, Registered Office and Fiscal Year of Merck Financial Services GmbH Merck Financial Services GmbH (also "Merck FS") was established on August 6, 2007 for an indefinite term under the initial company name Merck Oktober Allgemeine Beteiligungs GmbH and registered with the commercial register of the local court of Darmstadt, Germany, (docket number HRB 86146) on August 27, 2007. As of October 26, 2007 (date of registration with the commercial register) the company name was changed to Merck 9. Allgemeine Beteiligungs GmbH. As of February 5, 2009 (date of registration with the commercial register) the company name was changed again to Merck Financial Services GmbH and the corporate purpose was also changed. Since this date, Merck Financial Services GmbH acts as an active company. Since its formation Merck Financial Services GmbH has its registered office in Darmstadt. Its business address is Frankfurter Straße 250, 64293 Darmstadt, Germany (telephone +49 6151 72-0). The fiscal year of Merck Financial Services GmbH is the calendar year.

Legal Structure Merck Financial Services GmbH is a limited liability company (Gesellschaft mit beschränkter Haftung) governed by the laws of Germany.

Corporate Purpose Pursuant to § 2 of the articles of association of Merck Financial Services GmbH, the corporate purpose of Merck Financial Services GmbH is to carry out all activities necessary to fulfill the function as "inhouse-bank" of the Merck Group; in particular (i) to centralize the financing activities of the Merck Group, (ii) to steer and manage the cash flow, (iii) to take out loans and to issue bonds, obligations, notes and any other capital- and money market products, (iv) to grant loans to and to support companies of the Merck Group in any manner possible, (v) to manage and hedge currency, interest and market price risks as well as (vi) to manage assets and pensions. Merck Financial Services GmbH may also hold participations in domestic and foreign legal entities of the same or similar business purpose, to establish branches in Germany and abroad and to carry out all transactions serving its corporate purpose.

Share Capital The share capital of Merck Financial Services GmbH amounts to EUR 25,000 and is represented by one share with a nominal value of EUR 25,000. A transfer or of a pledge on a share requires the written consent of all shareholders. Each euro of a share grants one vote in shareholder meetings. The share capital of Merck Financial Services GmbH as well as the capital reserve in an amount of EUR 4,975,000 are fully paid up.

Organizational Structure Merck Financial Services GmbH is a directly wholly owned subsidiary of Merck KGaA, the parent company of Merck Group. The only directly held and wholly owned55 subsidiary of Merck Financial Services GmbH is Merck Capital Holdings Ltd., Malta, which itself directly holds all shares in Merck Capital Ltd., Malta. Merck Capital Holdings Ltd. was transferred to Merck Financial Services GmbH by Merck Serono S.A. in June 2009. For further information on the structure of Merck Group, including Merck Financial Services GmbH and its two subsidiaries, please see "General Information about Merck KGaA ² Organizational Structure". Merck Financial Services GmbH is dependent upon the administrative and management services provided by Merck KGaA.

55 Except for one share.

159 On January 22, 2008 Merck Financial Services GmbH entered as controlled company into a domination and profit and loss transfer agreement (Beherrschungs- und Gewinnabführungsvertrag) with Merck KGaA as controlling company. The shareholders of Merck Financial Services GmbH approved this domination and profit and loss transfer agreement on January 28, 2008. The conclusion of the domination and profit and loss transfer agreement was registered in the commercial register of Merck Financial Services GmbH on May 13, 2008. Accordingly, Merck KGaA is legally obliged to compensate all losses of Merck Financial Services GmbH (Verlustübernahme) and Merck Financial Services GmbH is dependent on the ability of Merck KGaA to do so.

Shareholders and Owner Structure Merck KGaA is the sole shareholder of Merck Financial Services GmbH. There are no arrangements known to Merck Financial Services GmbH and/or Merck, which at a subsequent date will result in a change in control over Merck Financial Services GmbH. In the usage of the controlling power resulting from its shareholding in Merck Financial Services GmbH and from the domination and profit and loss transfer agreement, Merck KGaA is subject to the applicable company law provisions in Germany and the articles of association of Merck Financial Services GmbH.

Corporate Bodies Pursuant to its articles of association and German corporate law the managing directors manage and represent Merck Financial Services GmbH. The shareholders appoint the managing directors by shareholder resolution. The current managing directors are: Other current activities outside of the Merck Financial Services GmbH Name Power of Representation or the Merck Group Rando Bruns...... Jointly together with another No positions on external managing director or jointly boards. together with a holder of a general power of attorney (Prokurist). Uta Kemmerich-Keil ...... Jointly together with another Member of the Supervisory managing director or jointly Board of Pensionskasse für die together with a holder of a Deutsche Wirtschaft VVaG. general power of attorney (Prokurist).

The managing directors can be contacted at the business address of Merck Financial Services GmbH (Frankfurter Straße 250, 64293 Darmstadt, Germany). Both managing directors are employed by the shareholder Merck KGaA and do not have service agreements with Merck Financial Services GmbH. Apart from any potential conflicts of interest deriving from that employment situation, there are no conflicts of interest between the duties of the managing directors of Merck Financial Services GmbH and their respective private interests or other duties.

Board Practices and Corporate Governance If two or more managing directors are appointed Merck Financial Services GmbH is represented by two managing directors acting jointly or by one managing director acting jointly with a holder of a general power of attorney (Prokurist). If only one managing director is appointed, this managing director represents Merck Financial Services GmbH acting alone. The shareholders may grant one or several managing directors single power of representation (Einzelvertretungsbefugnis). They may also exempt one or several managing directors from the restrictions set forth in § 181 of the German Civil Code (Bürgerliches Gesetzbuch - BGB).

160 Merck Financial Services GmbH has established an audit committee composed of the two managing directors and the chairman Karl Kaschuge, head of accounting and controlling of Merck KGaA, and complies in all respects with the laws of Germany on corporate governance. There are no other regimes of corporate governance applicable to Merck Financial Services GmbH.

Auditors The annual financial statements for the 2008 and 2009 fiscal years of Merck Financial Services GmbH were audited by KPMG AG Wirtschaftsprüfungsgesellschaft, Klingelhöferstraße 18, 10785 Berlin who will also audit the annual statements for the 2010 fiscal year. KPMG is a member of the German Chamber of Auditors (Wirtschaftsprüferkammer).

Investments Merck Financial Services GmbH has made no material investments since the date of its last published financial statements and, as at the date of this Prospectus, its management has made no firm commitments on such material investments in the future.

Business Overview Pursuant to its corporate purpose, Merck Financial Services GmbH serves as financing and treasury center for the entire Merck Group and is the primary contact for external financing partners. Merck Financial Services GmbH commenced this business activity in February 2009 and assumed the role as central financing entity for the Group from Merck KGaA in the second half of the 2009 fiscal year. Because of its purely internal purpose, Merck Financial Services GmbH does not have any markets in which it competes and, therefore, Merck Financial Services GmbH cannot make a statement regarding its competitive position in any markets.

Litigation and Arbitration Proceedings There are currently no, and Merck Financial Services GmbH has not been involved in any, governmental, legal or arbitration proceedings during the period of the last twelve months, against or affecting Merck Financial Services GmbH, nor is Merck Financial Services GmbH aware of any pending or threatened proceedings, which (in either case) may have or have had in the recent past significant effects on the financial position or profitability of Merck Financial Services GmbH. For the legal and arbitration proceedings regarding Merck KGaA and the Merck Group as a whole please refer to "Business of the Merck Group ± Litigation and Arbitration Proceedings".

Material Contracts In the 2009 fiscal year, Merck Financial Services GmbH issued Notes under the Program in a principal amount of EUR 750 million on the European capital market. In addition, Merck Financial Services GmbH issued three Tranches of Notes under the Program in a total amount of EUR 230 million by way of private placement in the 2009 fiscal year (see above under "Business of the Merck Group-Material Contracts ±Notes issued under the Program"). To finance the acquisition of all shares in Millipore Merck FS as borrower and Merck KGaA as borrower and guarantor entered into a EUR 4,200,000,000 dual-currency term loan facility agreement on February 28, 2010 (the "Millipore Acquisition Loan"). For details regarding this loan agreement please refer to the description under "Acquisition of Millipore± Financing of the Acquisition" above. Other than these Notes issued under the Program, the entering into the Millipore Acquisition Loan and the domination and profit and loss transfer agreement with Merck KGaA as controlling entity, Merck Financial Services GmbH has not entered in any material contract that is not entered into in the ordinary course of its business, which could result in any group member (including Merck Financial Services GmbH) being under an obligation or entitlement that is material to the ability of Merck Financial Services GmbH or Merck KGaA to meet its obligation to security holders in respect of the securities being issued.

161 For the material contracts regarding Merck KGaA and the Merck Group as a whole please refer to "Business of the Merck Group ± Material Contracts".

Recent Developments Other than the commencement of business as financing and treasury centre, the issue of Notes and the entering into the Millipore Acquisition Loan described under "General Information about Merck Financial Services GmbH ± Material Contracts", there are no recent events particular to Merck Financial Services GmbH which are to a material extent relevant to the evaluation of the solvency of Merck Financial Services GmbH. For the recent developments regarding Merck KGaA and the Merck Group as a whole please refer to "Business of the Merck Group ± Recent Developments".

Trend Information and Significant Changes Save as disclosed herein, since the last audited non-consolidated financial statements of Merck Financial Services GmbH as of December 31, 2009 there has been no material adverse change in the prospects of Merck Financial Services GmbH and no significant change in the financial or trading position of Merck Financial Services GmbH. Merck Financial Services GmbH expects that the interest rates on the capital markets will increase in the coming years. Such an increase may positively affect the operating results of Merck Financial Services GmbH as it may close the existing gap between the higher interest rates of Notes issued by Merck Financial Services GmbH and the lower interest rates receivable from reinvestments of the funds of the Notes. Other than that, no developments are currently foreseen that are reasonably likely to have a material effect on the prospects of Merck Financial Services GmbH

For trend information and significant changes regarding Merck KGaA and the Merck Group as a whole please refer to "Business of the Merck Group ± Trend Information and Significant Changes".

Selected Financial Information for Merck Financial Services GmbH The following selected historical financial information for Merck Financial Services GmbH is based on the audited financial statements of Merck Financial Services GmbH for the fiscal years ended December 31, 2008 and 2009 ("Merck FS Annual Financial Statements"), all of which are reproduced elsewhere or incorporated by reference in this Debt Issuance Program Prospectus, and should be read together with them. The Merck FS Annual Financial Statements were prepared in accordance with the provisions of the German Commercial Code (Handelsgesetzbuch; HGB) applicable to small corporations. The Merck FS Annual Financial Statements were audited by KPMG AG Wirtschaftsprüfungsgesellschaft and issued in each case with an unqualified auditor¶s opinion. The Merck FS Annual Financial Statements were audited by KPMG AG Wirtschaftsprüfungsgesellschaft and issued in each case with an unqualified auditor¶s opinion. The Merck FS Annual Financial Statements were prepared using the total cost accounting method, i.e. all costs incurred during the reporting period by the operations are taken into account and such costs are compared to all generated earnings. Merck Financial Services GmbH currently prepares consolidated financial statements (subgroup) for the fiscal year ended December 31, 2009 ("Merck FS 2009 Consolidated Annual Financial Statement") which consider that Merck Financial Services GmbH acquired a majority participation in Merck Capital Holding Ltd., Malta, in the 2009 fiscal year. Merck Capital Holding Ltd. and its subsidiary Merck Capital Ltd., Malta, are the only subsidiaries of Merck Financial Services GmbH. The Merck FS 2009 Consolidated Annual Financial Statement will be incorporated into this Debt Issuance Program Prospectus by way of a subsequent supplement. Fiscal Year ended December 31, 2008 2009 in EUR thousand (audited) (audited) Subscribed capital...... 25 25

162 Fiscal Year ended December 31, Net equity ...... 4,999 24 Liabilities 4,015,817 2 Balance sheet total ...... 4,020,864 26 Net loss for the year...... -* -*

______* Transfer of loss of EUR 15,421 thousand in the 2009 fiscal year and of EUR 415 in the 2008 fiscal year.

163 USE OF PROCEEDS The net proceeds from each issue of Notes by Merck KGaA or Merck FS will generally be used for general corporate and financing purposes of Merck KGaA and its subsidiaries. These general corporate and financial purposes may include, among other things, the refinancing of existing indebtedness, acquisitions, the underpinning of pension obligations and general working capital requirements. Moreover, Merck plans to issue Notes in one or several Tranches in the near future and use the proceeds therefrom to finance the acquisition of Millipore and/or to fully or partly prepay or cancel the EUR 4,200,000,000 dual-currency term loan facility agreement entered into by Merck to finance the acquisition of all shares in Millipore.

164 TAXATION The following discussion of the tax consequences of an investment in the Notes is based on the laws in force on the date of this Debt Issuance Program Prospectus. We emphasize that the tax implications can be subject to alteration due to future changes in law. Although this discussion reflects the opinion of the Issuer, it should not be misunderstood as a guarantee in an area of law which is not free from doubt. Further, this discussion is not intended as the sole basis for an investment in the Notes as the individual tax position of the Holder needs to be investigated. Therefore, this statement is confined to a general discussion of certain Luxembourg tax, Austrian tax, Netherlands tax and German income tax consequences of an investment in the Notes. Prospective Holders are recommended to consult their own tax advisors as to the tax consequences to them of the investment.

Grand Duchy of Luxembourg

Non-residents Since neither the Issuer nor the Guarantor nor the Paying Agent are located in Luxembourg, no Luxembourg withholding tax will arise on any payments of interest or principal under the Notes to non- resident holder of Notes.

Residents Since neither the Issuer nor the Guarantor nor the Paying Agent are located in Luxembourg, no Luxembourg withholding tax will arise on any payments of interest or principle under the Notes to Luxembourg resident holder of Notes. According to the law of December 23rd 2005, as amended, for interest payments on notes paid by a paying agent established in the EU or EEA to an individual holder of a Note who is a resident of Luxembourg or to a foreign residual entity securing the payment for such individual, the individual holder of a Note can opt under a specific procedure to remit a 10 % tax to the Luxembourg Treasury. If the individual holder holds the Note acts in the course of the management of his or her private wealth, the aforementioned 10 % tax will operate a full discharge of income tax due on such payments. Luxembourg resident individuals holding the Notes in the course of the management of their private wealth will only be subject to taxation on the difference between the sales price and the acquisition price of the Notes in case the transfer of the Notes occurs within a period of less than 6 months from their acquisition. The amount of accrued but unpaid interest is in any event taxable but may be subject to the aforementioned 10 %. Unless exempt from taxation, other Luxembourg resident holder of Notes will be subject to corporate taxation or income taxation, as the case may be, on any payment of interest on the Notes as well as the difference between the sales price and the acquisition price of the Notes. Unless exempt from net wealth tax, Luxembourg resident corporate holder of Notes and foreign entities of the same type having a permanent establishment or representative in Luxembourg, will be subject to net wealth tax for the holding of the Notes.

Federal Republic of Germany

German Tax Resident Private Holders

General Interest payments and capital gains from the sale or redemption of the Notes held by tax residents of the Federal Republic of Germany (i.e., persons whose residence or habitual abode is located in the Federal Republic of Germany) qualify as investment income pursuant to Sec. 20 German Income Tax Act and are generally subject to income tax at a flat tax rate of 25% (plus 5.5% solidarity surcharge thereon). Losses from the sale or redemption of the Notes can only be offset against other investment income. In the event that an off-set is not possible in the assessment period in which the losses have

165 been realized, such losses will be carried forward into future assessment periods only and can be off- set against investment income generated in future assessment periods subject to the minimum taxation rule. Capital gains and losses are determined by the difference between the sales/redemption price after the deduction of expenses directly connected to the sale/redemption and the acquisition costs for the Notes. If the Notes are denominated in a currency other than Euro, the sales/redemption price and the acquisition costs have to be converted into Euro on the basis of the foreign exchange rates prevailing on the sale or redemption date and the acquisition date respectively. The basis for taxation is determined as the gross income from Holder's total capital investment in a given year less the savers¶ allowance (Sparer-Pauschbetrag) of EUR 801 (EUR 1,602 for married couples filing jointly), with no deduction for costs actually incurred to generate the income.

Withholding Tax If the Notes are held in custody with or administered by a German credit institution, financial services institution (including a German permanent establishment of foreign institution of such kind), securities trading business or securities trading bank as disbursing agent (inländische auszahlende Stelle), a tax at a rate of 25% (plus 5.5% solidarity surcharge thereon) is withheld by such institution on interest payments and upon sale or redemption of the Notes. In the case of the sale/redemption of the Notes the withholding tax is imposed on the excess of the proceeds from the sale/redemption after the deduction of expenses directly connected to the sale/redemption over the acquisition costs for the Notes (if applicable converted into Euro terms on the basis of the foreign exchange rates as of the acquisition date and the sale or redemption date respectively), if the Notes were held in custody by such institution since their acquisition. If custody has changed since the acquisition and the acquisition data is not proved, the tax at a rate of 25% (plus 5.5% solidarity surcharge thereon) will be imposed on an amount equal to 30% of the proceeds from the sale or redemption of the Notes (if applicable converted into Euro terms as of the sale/redemption date). No tax is withheld by the disbursing agent if the (i) Holder is an individual who has filed a certificate of exemption (Freistellungsauftrag) with the disbursing agent and the Notes held by such individual are not part of a German commercial business property and (ii) the income plus the capital gains from the sale or redemption of the Notes together with Holder's other investment income administered by the disbursing agent does not exceed the amount of EUR 801 (for individuals), or EUR 1,602 (for married couples filing jointly), or any lower amount shown on the certificate of exemption. Neither the Issuer nor the Guarantor, unless either of them qualifies as disbursing agent, is obliged under German law to withhold any withholding tax (Quellensteuer) on interest payments and upon the sale or redemption of the Notes. For private Holders the withholding tax is generally definitive. Private Holders having a lower personal income tax rate may, upon application, include the capital investment income in their personal income tax return to achieve a lower tax rate. Income not subject to a definitive withholding tax must be included into the personal income tax return.

German Tax Resident Business Holders Interest payments under the Notes and capital gains from the sale or redemption of the Notes are subject to income tax or corporate income tax as well as solidarity surcharge and trade tax if the Notes are held as assets of a German commercial trade or business. Any withholding tax imposed on interest income or on the sale or redemption of the Notes, if any, is credited against the Holder¶s final (corporate) income tax liability (and the solidarity surcharge) in the course of the tax assessment procedure, i.e. the withholding tax is not definitive. Any potential surplus of the withholding tax over the corporate tax/income tax will be refunded. No withholding tax deduction will generally apply on the capital gains from the sale or redemption of the Notes where the Notes are held by a corporation. The same applies if the capital gains from the sale or redemption of the Notes are business proceeds of a business situated in Germany and the Holder of the Notes has provided the disbursing agent with an officially prescribed certificate thereof.

166 Foreign Tax Resident Holders As a rule, Holders not resident in Germany (i.e., persons having neither their residence nor their habitual abode nor legal domicile nor place of effective management in the Federal Republic of Germany) should not be taxable in Germany with interest payments under the Notes or with income from the sale/redemption of the Notes and no German withholding tax should be withheld from such income, even if the Notes are held in custody with a German credit (or comparable) institution. Exceptions apply e.g. when the Notes are held as business assets in a German permanent establishment of the Holder.

Republic of Austria This summary is based on the assumption that the Notes do not qualify as equity for Austrian tax purposes, i.e. do not cumulatively provide for a participation in profits and liquidation profits of the Issuer. An investor (individual or corporation) is considered resident for Austrian tax purposes and subject to unlimited tax liability (unbeschränkte Steuerpflicht) if it has its tax residence/domicile and/or its habitual place of abode in Austria or if the registered office or place of effective management of a corporation is located in Austria. Generally, individuals are subject to income tax under the Austrian Income Tax Act ("EStG") at progressive tax rates between 0% and 50%. Corporate investors are generally subject to corporate income tax at a flat rate of 25% under the Austrian Corporate Income Tax Act ("KStG").

Residents Austrian tax resident individual investors If interest payments are made by an Austrian coupon paying agent (kuponauszahlende Stelle), i.e. an Austrian credit institution or Austrian branch of a non-Austrian credit institution or securities services provider, Austrian withholding tax (Kapitalertragsteuer) at a rate of 25% is levied. Such Austrian withholding tax is final (i.e., the investor does not have to include such income in the income tax return) provided that the Notes are both legally and actually publicly offered (Austrian Federal Ministry of Finance, "BMF", EStR 2000 para 7803). If interest payments are not made by an Austrian coupon paying agent, the investor has to include the interest income in the income tax return and Austrian income tax at the special rate of 25% is due provided that the Notes are both legally and actually publicly offered. If the investor's applicable average income tax rate is below 25%, the investor may file an income tax return including the interest income and apply for assessment of his income tax liability based on his income tax return. Austrian withholding tax would be considered a prepayment of income tax in this case and be credited against the income tax payable for the respective calendar year. If the interest is realised upon alienation of the Notes the seller will be taxed on a fraction of the interest accrued (Stückzinsen) until the time the Notes are sold (BMF, EStR 2000 para 7758). Such fraction of the interest accrued is subject to the Austrian (withholding) tax treatment described above. Expenses that are economically directly connected to the Notes are not deductible for Austrian tax purposes if the income is subject to flat and final Austrian withholding tax or to the special income tax rate of 25%.

Index Linked Notes Income received from index linked notes and similarly structured products is considered interest income for Austrian income tax purposes. According to Austrian tax authorities this as well applies to Notes under which the investor is entitled to a repayment amount, which depends on the performance of single equities or commodities (BMF, EStR 2000 para 6198a). Any positive difference between the issue price and the repurchase price of an Index Linked Note at maturity due to the development of the reference value is treated as interest (§ 27(2)(2) EStG) for Austrian income tax purposes. Equally, any positive difference between the issue amount and the sale price due to the development of the reference value that is realised upon the alienation of a Note prior to maturity is treated as interest income.

167 Fixed Rate Notes In case of redemption or repurchase of Notes, which pay interest on a current basis, by the Issuer any difference between the issue price and a higher redemption (repurchase) amount will be tax exempt if the difference does not exceed 2%. The 2% exemption threshold is based on a maturity of the Notes of five years and is reduced proportionally if the maturity of the Notes is less than five years (BMF, EStR 2000 para 6181). If the difference exceeds 2% the above mentioned tax treatment applies.

Dual Currency Notes Any capital gain on foreign exchange rates will be realized only upon conversion into Euro or a currency with fixed exchange rates vis-à-vis the Euro.

Capital gains If the redemption amount of Notes disproportionally depends on value fluctuations of an underlying the return would be considered capital gains if the initial investment does not exceed 20% of the value of the underlying (i.e. a multiplier of five) (BMF, EStR 2000 para 6197b). Capital gains from the sale of the Notes, held by a private investor, are only taxable if the Note is sold prior to or at the end of one year after its acquisition ("speculative transaction", Spekulationsgeschäft). Income tax at the regular rates of up to 50% would be due if the aggregate amount of profits from such speculative transactions realised by the private investor in a given calendar year exceeds EUR 440. Losses from a speculative transaction realised within the calendar year may only be set-off against speculation profits realised in that specific calendar year. If Notes are held as a business asset, capital gains from the sale of the Notes are taxable at the progressive tax rate irrespective of any holding period.

Austrian tax resident corporations A corporation receiving income from the Notes will be subject to Austrian corporate income tax at a rate of 25%. 25% Austrian withholding tax may be triggered but is creditable against the corporate investor's Austrian corporate income tax liability. Corporate investors may avoid that Austrian withholding tax on interest is levied by filing a declaration of exemption (§ 94(5) EStG). Capital gains from the sale of Notes, held as a business asset, are taxable income irrespective of any holding period. A specific tax rate (12.5%; interim taxation) applies to interest income received by an Austrian private- law foundation (Privatstiftung). That interim corporate income tax may be credited against Austrian withholding tax due on distributions of the private-law foundation.

Non-Residents Interest payments received from the Notes by investors that are not resident in Austria for tax purposes and do not maintain a permanent establishment in Austria to which such interest is attributable would not be subject to tax in Austria. If Austrian withholding tax is levied by an Austrian coupon paying agent, the non-Austrian tax resident investor may reclaim the Austrian withholding tax within five calendar years following the date of the imposition of the Austrian withholding tax. Non- resident investors may avoid the deduction of the Austrian withholding tax at source if they provide proof of their status as a non-resident to the Austrian coupon paying agent (BMF, EStR 2000 para 7775 and BMF, KStR 2001 para 1464). Under the Austrian EU-Source Tax Act (EU-QuStG; implementing Directive 2003/48/EC of 3 June 2003), interest paid by an Austrian coupon-paying agent to an individual beneficial owner resident in another EU member state may be subject to EU source tax at a rate of currently 20% (as of 1 July 2011: 35%).

Inheritance and gift tax As from 1 August 2008 inheritance and gift tax is no longer levied in Austria. Pursuant to the Gift Notification Tax Act gifts exceeding certain minimum thresholds must be notified to the Austrian tax authorities as from 1 August 2008.

168 The Netherlands General The following summary outlines certain Netherlands tax consequences to holders of the Notes. The summary does not purport to present any comprehensive or complete picture of all Netherlands tax aspects that could be of relevance to the acquisition, ownership and disposal of Notes by a (prospective) holder of Notes who may be subject to special tax treatment or has a direct or indirect interest in any of the Issuers or the Guarantor. The summary is based on the tax laws and practice of the Netherlands as in effect on the date of this prospectus, which are subject to changes that could prospectively or retrospectively affect the stated tax consequences. Prospective holders of Notes should consult their own professional adviser with respect to the tax consequences of any acquisition, ownership or disposal of the Notes in their individual circumstances.

Withholding Tax All payments under the Notes may be made free of withholding or deduction of or for any taxes of whatever nature imposed, levied, withheld or assessed by the Netherlands or any political subdivision or taxing authority thereof or therein.

Taxes on Income and Capital Gains Holders of Notes resident in the Netherlands: individuals A holder of Notes, who is an individual resident or deemed to be resident of the Netherlands, or who has elected to be taxed as a resident of the Netherlands for Netherlands income tax purposes, will be subject to regular Netherlands income tax on the income derived from the Notes and the gains realized upon the acquisition, redemption and/or disposal of the Notes by the holder thereof, if: (a) such holder of Notes has an enterprise or an interest in an enterprise, to which enterprise the Notes are attributable; and/or (b) such income or capital gain forms "a benefit from miscellaneous activities" ("resultaat uit overige werkzaamheden") which, for instance, would be the case if the activities with respect to the Notes exceed "normal active asset management" ("normaal, actief vermogensbeheer") or if income and gains are derived from the holding, whether directly or indirectly, of (a combination of) shares, debt claims or other rights (together, a "lucrative interest") that the holder thereof has acquired under such circumstances that such income and gains are intended to be remuneration for work or services performed by such holder (or a related person) in the Netherlands, whether within or outside an employment relation, where such lucrative interest provides the holder thereof, economically speaking, with certain benefits that have a relation to the relevant work or services. If either of the abovementioned conditions (a) or (b) applies, the income derived from the Notes and the gains realized upon the acquisition, redemption and/or disposal of the Notes will in general be subject to Netherlands income tax at the progressive rates up to 52%. If the abovementioned conditions (a) or (b) do not apply, the holder of Notes who is an individual resident or deemed to be resident of the Netherlands, or who has elected to be taxed as a resident of the Netherlands for Netherlands tax purposes, will not be subject to taxes on income and capital gains in the Netherlands. Instead, such individual is taxed at a flat rate of 30% on deemed income from "savings and investments" ("sparen en beleggen"). This deemed income amounts to 4% of the average of the individual¶s "yield basis" ("rendementsgrondslag"), generally, at the beginning of the calendar year and the individual¶s "yield basis" at the end of the calendar year (minus a tax-free threshold). The yield basis would include the fair market value of the Notes.56

56 From January 1, 2011, the deemed income will amount to 4% of the individual¶s yield basis, determined per the beginning of the calendar year (minus a tax-free threshold).

169 Holder of Notes resident in the Netherlands: corporate entities A holder of Notes that is resident or deemed to be resident of the Netherlands for Netherlands corporate income tax purposes, and that is: (a) a corporation; (b) another entity with a capital divided into shares; (c) a cooperative (association); or (d) another legal entity that has an enterprise or an interest in an enterprise to which the Notes are attributable, but which is not: (a) a qualifying pension fund; (b) a qualifying investment fund ("fiscale beleggingsinstelling" or "vrijgestelde beleggingsinstelling"); or (c) another entity exempt from corporate income tax, will in general be subject to regular Netherlands corporate income tax, levied at a rate of 25.5% (20% over profits up to EUR 200,000)57 over income derived from the Notes and gains realized upon acquisition, redemption and disposal of the Notes.

Holders of Notes resident outside the Netherlands: individuals A holder of Notes, who is an individual not resident or deemed to be resident in the Netherlands, and who has not elected to be taxed as a resident of the Netherlands for Netherlands income tax purposes, will not be subject to any Netherlands taxes on income derived from the Notes and the gains realized upon the acquisition, redemption and/or disposal of the Notes, unless: (a) such holder has an enterprise or an interest in an enterprise that is, in whole or in part, carried on through a permanent establishment or a permanent representative in the Netherlands and to which enterprise or part of an enterprise, as the case may be, the Notes are attributable; (b) such holder or any of his spouse, his partner, a person deemed to be his partner, or other persons sharing such person¶s house or household, or certain other of such persons¶ relatives (including foster children), whether directly and/or as (deemed) settlor, grantor or similar originator (the "Settlor") or upon the death of the Settlor, his/her beneficiaries (the "Beneficiaries") in proportion to their entitlement to the estate of the Settlor of a trust, foundation or similar arrangement (the "Separated Private Assets")) (i) has indirectly the disposition of the proceeds of the Notes in the Netherlands, (ii) has a substantial interest in any entity that legally or de facto, directly or indirectly, has the disposition of the proceeds of the Notes in the Netherlands. For purposes of this clause (b), a substantial interest is generally present if a holder holds, alone or together with his spouse, his partner, a person deemed to be his partner, or other persons sharing such person¶s house or household, or certain other of such person¶s relatives (including foster children), whether directly or indirectly, (i) the ownership of, certain other rights, such as usufruct, over, or rights to acquire (whether or not already issued) shares representing five per cent. or more of the total issued and outstanding capital (or the issued and outstanding capital of any class of shares) of a company; or (ii) the ownership of, or certain other rights, such as usufruct, over profit participating certificates ("winstbewijzen"), or membership rights in a co-operative association, that relate to five per cent. or more of the annual profit of a company or co-operative association or to five per cent. or more of the liquidation proceeds of a company or co-operative association; or (iii) membership rights representing five per cent. or more of the voting rights in a co-operative association¶s general meeting; and/or (c) such income or capital gain forms "a benefit from miscellaneous activities" ("resultaat uit overige werkzaamheden") which, for instance, would be the case if the activities with respect to the Notes exceed "normal active asset management" ("normaal, actief vermogensbeheer") or if

57 From January 1, 2011, the rates will be 20% over profits up to EUR 40,000 and 23% over profits between EUR 40,000 and EUR 200,000, with the 25.5% rate continuing to apply to profits from EUR 200,000.

170 income and gains are derived from the holding, whether directly or indirectly, of (a combination of) shares, debt claims or other rights (together, a "lucrative interest") that the holder thereof has acquired under such circumstances that such income and gains are intended to be remuneration for work or services performed by such holder (or a related person) in the Netherlands, whether within or outside an employment relation, where such lucrative interest provides the holder thereof, economically speaking, with certain benefits that have a relation to the relevant work or services. If either of the abovementioned conditions (a), (c) or (c) applies, the income derived from the Notes and gains realized upon acquisition, redemption and disposal of the Notes will in general be subject to Netherlands income tax at the progressive rates up to 52%

Holders of Notes resident outside the Netherlands: legal and other entities A holder of Notes, which is a legal entity, another entity with a capital divided into Notes, an association, a foundation or a fund or trust, not resident or deemed to be resident in the Netherlands for Netherlands corporate income tax purposes, will not be subject to any Netherlands taxes on income or capital gains in respect of Notes, including such tax on any payment under Notes or in respect of any gain realised on the disposal of Notes, deemed disposal or exchange of Notes, unless such holder has an enterprise or an interest in an enterprise that is, in whole or in part, carried on through a permanent establishment or a permanent representative in the Netherlands and to which enterprise or part of an enterprise, as the case may be, the Notes are attributable. In case the abovementioned condition applies, income derived from the Notes and gains realised on the Notes will, in general, be subject to regular corporate income tax levied at a rate of 25.5% (20% over profits up to EUR 200,000).58

Gift, Estate and Inheritance Taxes No gift, estate or inheritance taxes will arise in the Netherlands with respect to an acquisition of the Notes by way of a gift by, or on the death of, a holder of the Notes who is neither resident, deemed to be resident nor treated (at the request of the beneficiar(y)(ies) of the gift or estate) as resident in the Netherlands for Netherlands inheritance and gift tax purposes, unless: (a) such holder at the time of the gift has or at the time of his death had an enterprise or an interest in an enterprise that is or was, in whole or in part, carried on through a permanent establishment or a permanent representative in the Netherlands and to which enterprise or part of an enterprise, as the case may be, the Notes are or were attributable; or (b) in the case of a gift of Notes by an individual who at the date of the gift was neither resident nor deemed to be resident in the Netherlands, such individual dies within 180 days after the date of the gift, while being resident or deemed to be resident in the Netherlands. For purposes of Netherlands gift and inheritance tax, an individual with the Netherlands nationality will be deemed to be resident in the Netherlands if he has been resident in the Netherlands at any time during the ten years preceding the date of the gift or his death. For purposes of Netherlands gift tax, an individual not holding the Netherlands nationality will be deemed to be resident in the Netherlands if he has been resident in the Netherlands at any time during the twelve months preceding the date of the gift.

Other Taxes and duties No Netherlands registration tax, capital tax, customs duty, transfer tax, stamp duty or any other similar documentary tax or duty, other than court fees, will be payable in the Netherlands in respect of or in connection with the execution, delivery and/or enforcement by legal proceedings (including the enforcement of any foreign judgment in the courts of the Netherlands) of the documents relating to the issue of the Notes.

58 From January 1, 2011, the rates will be 20% over profits up to EUR 40,000 and 23% over profits between EUR 40,000 and EUR 200,000, with the 25.5% rate continuing to apply to profits from EUR 200,000.

171 European Savings Tax Directive Under EC Council Directive 2003/48/EC on the taxation of savings income, Member States are required to provide to the tax authorities of another Member State details of payments of interest (or similar income) paid by a person within its jurisdiction to an individual resident in that other Member State. However, for a transitional period, Luxembourg and Austria are instead required (unless during that period they elect otherwise) to operate a withholding system in relation to such payments (the ending of such transitional period being dependent upon the conclusion of certain other agreements relating to information exchange with certain other countries). A number of non-EU countries and territories including Switzerland have agreed to adopt similar measures (a withholding system in the case of Switzerland). On 15 September 2008 the European Commission issued a report to the Council of the European Union on the operation of the Directive, which included the Commission's advice on the need for changes to the Directive. On 13 November 2008 the European Commission published a more detailed proposal for amendments to the Directive, which included a number of suggested changes. This proposal continues to be discussed in the Council of the European Union. If any of those proposed changes are made in relation to the Directive, they may amend or broaden the scope of the requirements described above.

172 SUBSCRIPTION AND SALE

Underwriting The Notes may be issued on a continuous basis to one or more of the Dealers and any additional Dealer appointed under the Program from time to time by the Issuer(s), which appointment may be for a specific issue or on an ongoing basis. Notes may be distributed by way of public or private placements and, in each case, on a syndicated or non-syndicated basis. The method of distribution of each Tranche of Notes will be stated in the relevant Final Terms. The Issuers, the Guarantor and the Dealers specified herein have entered into an amended and restated dealer agreement dated March 16, 2010 (the "Dealer Agreement") which sets out, inter alia, the arrangements under which Notes, issued under the Program, may from time to time be agreed to be purchased by any one or more Dealers from the relevant Issuer. Any such agreement will, inter alia, contain provisions dealing with the form and terms and conditions of the relevant Notes, the price at which such Notes will be purchased by the Dealer(s) and the commissions or any other agreed deductibles payable or allowable by the relevant Issuer in respect of such purchase. Further, the Dealer Agreement provides for the resignation or termination of appointment of existing Dealers and for the appointment of additional or other Dealers either generally in respect of the Program or in relation to a particular Tranche of Notes. A subscription agreement prepared in relation to a particular Tranche of Notes will typically be dated on or about the date of the relevant Final Terms applicable to such Tranche of Notes.

Selling Restrictions

European Economic Area ± Public Offer Selling Restriction Under the Prospectus Directive In relation to each Member State of the European Economic Area which has implemented the Prospectus Directive (each, a "Relevant Member State"), each Dealer has represented, warranted and agreed, and each further Dealer appointed under the Program will be required to represent, warrant and agree, that with effect from and including the date on which the Prospectus Directive is implemented in that Relevant Member State (the "Relevant Implementation Date") it has not made and will not make an offer of Notes which are the subject of the offering contemplated by the Debt Issuance Program Prospectus as completed by the Final Terms in relation thereto to the public in that Relevant Member State except that it may, with effect from and including the Relevant Implementation Date, make an offer of such Notes to the public in that Relevant Member State: (a) if the Final Terms in relation to the Notes specify that an offer of those Notes may be made other than pursuant to Article 3(2) of the Prospectus Directive in that Relevant Member State (a "Non- exempt Offer"), following the date of publication of a prospectus in relation to such Notes which has been approved by the competent authority in that Relevant Member State or, where appropriate, approved in another Relevant Member State and notified to the competent authority in that Relevant Member State, provided that any such prospectus has subsequently been completed by the Final Terms contemplating such Non-exempt Offer, in accordance with the Prospectus Directive, in the period beginning and ending on the dates specified in such prospectus or final terms, as applicable; (b) at any time to legal entities which are authorized or regulated to operate in the financial markets or, if not so authorized or regulated, whose corporate purpose is solely to invest in securities; (c) at any time to any legal entity which has two or more of (1) an average of at least 250 employees during the last financial year; (2) a total balance sheet of more than EUR 43,000,000 and (3) an annual net turnover of more than EUR 50,000,000, all as shown in its last annual or consolidated accounts; or (d) Fewer than 100 offerees: at any time to fewer than 100 natural or legal persons (other than qualified investors as defined in the Prospectus Directive) subject to obtaining the prior consent of the relevant Dealer or Dealers nominated by the Issuer for any such offer; or (e) at any time in any other circumstances falling within Article 3(2) of the Prospectus Directive;

173 provided that no such offer of Notes referred to in (b) to (e) above shall require the Issuer or any Dealer to publish a prospectus pursuant to Article 3 of the Prospectus Directive or supplement a prospectus pursuant to Article 16 of the Prospectus Directive. For the purposes of this provision, the expression an "offer of Notes to the public" in relation to any Notes in any Relevant Member State means the communication in any form and by any means of sufficient information on the terms of the offer and the Notes to be offered so as to enable an investor to decide to purchase or subscribe the Notes, as the same may be varied in that Member State by any measure implementing the Prospectus Directive in that Member State and the expression "Prospectus Directive" means Directive 2003/71/EC and includes any relevant implementing measure in each Relevant Member State.

United States of America The Notes have not been and will not be registered under the Securities Act and, except as provided in the relevant Final Terms with respect to Notes with a maturity on the issue date of one year or less, may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons except in certain transactions exempt from the registration requirements of the Securities Act. Terms used in this paragraph shall have the same meanings given to them by Regulation S. Except as provided in the relevant Final Terms with respect to Notes with a maturity on the issue date of one year or less, each Dealer has represented and agreed that it has not offered and sold any Notes, and will not offer and sell any Notes (i) as part of their distribution at any time and (ii) otherwise until 40 days after the completion of the distribution of all Notes of the Tranche of which such Notes are a part within the United States or to, or for the account or benefit of, U.S. persons, and it will have sent to each dealer to which it sells Notes during the distribution compliance period a confirmation or other notice setting forth the restrictions on offers and sales of the Notes within the United States or to, or for the account or benefit of, U.S. persons. Terms used in this paragraph shall have the meanings given to them by Regulation S. Notes, other than Notes with an initial maturity at original issue of one year or less, will be issued in accordance with the provisions of United States Treasury Regulation § 1.163-5(c)(2)(i)(D) (the "D Rules"), or in accordance with the provisions of United States Treasury Regulation § 1.163- 5(c)(2)(i)(C) (the "C Rules"), as specified in the applicable Final Terms. In addition, in respect of Notes issued in accordance with the D Rules, each Dealer has represented, undertaken and agreed that: (a) except to the extent permitted under the D Rules, (i) it has not offered or sold, and during the restricted period will not offer or sell, directly or indirectly, Notes in bearer form to a person who is within the United States or its possessions or to a United States person, and (ii) such Dealer has not delivered and will not deliver within the United States or its possessions definitive Notes in bearer form that are sold during the restricted period; (b) it has and throughout the restricted period will have in effect procedures reasonably designed to ensure that its employees or agents who are directly engaged in selling Notes in bearer form are aware that such Notes may not be offered or sold during the restricted period to a person who is within the United States or its possessions or to a United States person, except as permitted by the D Rules; (c) if such Dealer is a United States person, it is acquiring the Notes in bearer form for purposes of resale in connection with their original issuance and if such Dealer retains Notes in bearer form for its own account, it will only do so in accordance with the requirements of U.S. Treasury Regulation § 1.163-5(c)(2)(i)(D)(6); (d) with respect to each affiliate that acquires from such Dealer Notes in bearer form for the purposes of offering or selling such Notes during the restricted period, such Dealer either (i) has repeated and confirmed the agreements contained in sub-clauses (a), (b) and (c) on such affiliate's or distributor¶s behalf or (ii) has agreed that it will obtain from such affiliate or distributor for the benefit of the Issuer the representations, undertakings and agreements contained in sub-clauses (a), (b) and (c); and (e) shall obtain for the benefit of the Issuer the representations, undertakings and agreements contained in sub-clauses (a), (b), (c) and (d) from any person other than its affiliate with whom it

174 enters into a written contract (a "distributor" as defined in United States Treasury Regulation § 1.163-5(c)(2)(i)(D)(4)), for the offer or sale during the restricted period of the Notes in bearer form. In addition, each Note issued in accordance with the D Rules will bear the following legend: ANY UNITED STATES PERSON (AS DEFINED IN THE INTERNAL REVENUE CODE OF THE UNITED STATES OF AMERICA) WHO HOLDS THIS OBLIGATION, DIRECTLY OR INDIRECTLY, WILL BE SUBJECT TO LIMITATIONS UNDER THE UNITED STATES INCOME TAX LAWS, INCLUDING THE LIMITATIONS PROVIDED IN SECTIONS 165(J) AND 1287(A) OF THE INTERNAL REVENUE CODE OF THE UNITED STATES OF AMERICA. Terms used in the above paragraph have the meanings given to them by the U.S. Internal Revenue Code of 1986, as amended and regulations there under, including the D Rules. In addition, where the C Rules are specified in the relevant Final Terms as being applicable to any Tranche of Notes, Notes in bearer form must be issued and delivered outside the United States and its possessions in connection with their original issuance. Each Dealer has represented and agreed that it has not offered, sold or delivered, and will not offer, sell or deliver, directly or indirectly, Notes in bearer form within the United States or its possessions in connection with the original issuance. Further, each Dealer has represented and agreed in connection with the original issuance of Notes in bearer form, that it has not communicated, and will not communicate directly or indirectly, with a prospective purchaser if either such purchaser or Dealer is within the United States or its possessions and will not otherwise involve in the U.S. office of such Dealer in the offer or sale of Notes in bearer form. Terms used in this paragraph have the meanings given to them by the U.S. Internal Revenue Code of 1986, as amended and regulations there under, including the C Rules. Each issue of index-, commodity- or currency-linked Notes shall be subject to such additional U.S. selling restrictions as the Issuer and the relevant Dealer may agree as a term of the issue and purchase of such Notes, which additional selling restrictions shall be set out in the Final Terms. Each Dealer has agreed that it shall offer, sell and deliver such Notes only in compliance with such additional U.S. selling restrictions.

United Kingdom of Great Britain and Northern Ireland ("United Kingdom") Each Dealer has represented and agreed, and each further Dealer appointed under the Program will be required to represent and agree, that: (a) with respect to any Tranche of Notes having a maturity of less than one year, (a) it is a person whose ordinary activities involve it in acquiring, holding, managing or disposing of investments (as principal or agent) for the purposes of its business, and (b) it has not offered or sold and will not offer or sell any such Notes other than to persons: (i) whose ordinary activities involve them in acquiring, holding, managing or disposing of investments (as principal or agent) for the purposes of their business; or (ii) who it is reasonable to expect will acquire, hold, manage or dispose of investments (as principal or agent) for the purposes of their business, where the issue of the Notes would otherwise constitute a contravention of Section 19 of the Financial Services and Markets Act 2000 (the "FSMA") by the Issuer. (b) it has only communicated or caused to be communicated and will only communicate or cause to be communicated any invitation or inducement to engage in investment activity (within the meaning of Section 21 of the FSMA) received by it in connection with the issue or sale of any Notes in circumstances in which Section 21(1) of the FSMA does not apply to the Issuer or the Guarantor, and (c) it has complied and will comply with all applicable provisions of the FSMA with respect to anything done by it in relation to any Notes in, from or otherwise involving the United Kingdom.

General In addition to the specific restrictions set out above, the Dealers have agreed, and each further Dealer appointed under the Program will be required to agree, that they will, to their best knowledge and

175 belief, observe all applicable provisions of law in each jurisdiction in or from which it may offer Notes or distribute any offering material.

176 GENERAL INFORMATION

Interest of Natural and Legal Persons involved in the Issue/Offer The Dealers BNP Paribas, Commerzbank Aktiengesellschaft and Merrill Lynch International are lenders under the EUR 4,200,000,000 dual-currency term loan facility agreement entered into by Merck to finance the acquisition of all shares in Millipore (the "Millipore Acquisition Loan") and may thus benefit from issues of Notes under the Program used to refinance this loan agreement. Other Dealers may become lenders under the Millipore Acquisition Loan. Furthermore, certain of the Dealers and their affiliates may be customers of, borrowers from or creditors of Merck KGaA or Merck FS and/or their affiliates. In addition, certain Dealers and their affiliates have engaged, and may in the future engage, in investment banking and/or commercial banking transactions with, and may perform services for Merck KGaA or Merck FS and/or their affiliates in the ordinary course of business.

Authorization The update of the Program, including the increase in the program amount to EUR 10,000,000,000, was authorized by the Executive Board of Merck KGaA, the managing board (Vorstand) and board of partner (Gesellschafterrat) of E. Merck KG on February 18, 2010. These authorizations include all transactions under the Program, including the issue of Notes, provided that any issue of Notes in an aggregate principal amount of EUR 500 million or more requires the consent of the Executive Board of Merck KGaA. The managing directors of Merck FS authorized the update of the Program, including the increase in the program amount to EUR 10,000,000,000, and any transaction thereunder on February 23, 2010, provided that any issue of Notes in an aggregate principal amount of EUR 500 million or more requires the consent of its sole shareholder Merck KGaA which in turn has to be authorized by the Executive Board of Merck KGaA. By shareholder resolution dated February 23, 2010, Merck KGaA, as the sole shareholder of Merck FS, consented to this update of the Program by the managing directors.

Post-Issuance Information The Issuers will not provide any post-issuance information with regard to Notes constituting derivative securities within the meaning of Annex XII of the Commission Regulation (EC) No. 809/2004 of 29 April 2004 except if required by any applicable laws and regulations.

Listing and admission to trading of Notes Certain Notes to be issued under the Program will be admitted for trading on the date of issue on the Regulated Market of the Luxembourg Stock Exchange (which is a regulated market for the purposes of Directive 2004/39/EC on Markets in Financial Instruments) and listed on its Official List. The Program provides that Notes may be listed on other or further stock exchanges, as may be agreed between the relevant Issuer and the relevant Dealer(s) in relation to each issue. Notes may further be issued under the Program which will not be listed on any stock exchange.

Documents available So long as Notes issued under the Program are outstanding, copies of the following documents will be available from the registered office of the relevant Issuer and from the specified offices of the Paying Agents: (a) the articles of association (with an English translation where applicable) of each of the Issuers; (b) the audited consolidated financial statements of Merck in respect of the fiscal years ending December 31, 2009 and December 31, 2008 and the future audited consolidated financial statements of Merck KGaA (with an English translation thereof); (c) the future unaudited consolidated semi-annual interim financial statements of Merck (with an English translation thereof);

177 (d) the audited non-consolidated annual financial statements of Merck FS for the fiscal year ended December 31, 2008 and the fiscal year ended December 31, 2009, the consolidated annual financial statements of Merck FS for the fiscal year ended December 31, 2009 (once available) and the future audited consolidated annual financial statements of Merck FS (with an English translation thereof); (e) the future unaudited semi-annual interim financial statements of Merck FS (with an English translation thereof); (f) the Dealer Agreement, the Fiscal Agency Agreement, the Procedures Memorandum; (g) a copy of this Debt Issuance Program Prospectus; (h) any future information memoranda, supplements to the Debt Issuance Program Prospectus and Final Terms (save that Final Terms relating to an unlisted Note will only be available for inspection by a Holder of such Note and such Holder must produce evidence satisfactory to the relevant Issuer and the Paying Agent as to its holding of Notes and identity) to this Debt Issuance Program Prospectus and any other documents incorporated herein or therein by reference; and (i) in the case of each issue of listed Notes subscribed pursuant to a subscription agreement, the subscription agreement (or equivalent document). Copies of the Guarantee may be obtained free of charge at the specified office of the Fiscal Agent. This Debt Issuance Program Prospectus, each Final Terms relating to those Notes admitted to trading on the Regulated Market of the Luxembourg Stock Exchange (which is a regulated market for the purposes of Directive 2004/39/EC on Markets in Financial Instruments) as well as the documents incorporated by reference in this Debt Issuance Program Prospectus may be obtained from the Paying Agent in Luxembourg free of charge and are also available on the website of the Luxembourg Stock Exchange (www.bourse.lu).

Clearing Systems The Notes have been accepted for clearance through Clearstream Banking AG, Frankfurt am Main ("CBF"), Clearstream Banking société anonyme, Luxembourg ("CBL") and Euroclear Bank S.A./N.V. as operator of the Euroclear system ("Euroclear"). The appropriate German securities number ("WKN") (if any), Common Code and ISIN for each Tranche of Notes allocated by CBF, CBL and Euroclear will be specified in the applicable Final Terms. If the Notes are to clear through an additional or alternative clearing system the appropriate information will be specified in the applicable Final Terms.

178 DOCUMENTS INCORPORATED BY REFERENCE The pages set out in the "Table of documents incorporated by reference" below which are extracted from the following documents shall be deemed to be incorporated in, and to form part of, this Debt Issuance Program Prospectus: (a) the annual report 2008 and the annual report 2009 of Merck, including the audited consolidated financial statements of Merck for the fiscal years ending December 31, 2008 and December 31, 2009, in each case including the respective audit opinion; and (b) the accountants' reports (Prüfungsbericht) relating to and including the audited annual financial statements for Merck FS for the fiscal year ending December 31, 2008 and the fiscal year ended December 31, 2009, in each case including the respective auditors¶ report. Merck Financial Services GmbH currently prepares consolidated financial statements (subgroup) for the fiscal year ended December 31, 2009 ("Merck FS 2009 Consolidated Annual Financial Statement") which consider that Merck Financial Services GmbH acquired a majority participation in Merck Capital Holding Ltd., Malta, in the 2009 fiscal year. Merck Capital Holding Ltd. and its subsidiary Merck Capital Ltd., Malta, are the only subsidiaries of Merck Financial Services GmbH. Merck Financial Services GmbH expects that the Merck FS 2009 Consolidated Annual Financial Statement will be available by the end of April 2010. The Merck FS 2009 Consolidated Annual Financial Statement will be incorporated into this Debt Issuance Program Prospectus by way of a subsequent supplement. Any information not listed in the "Table of documents incorporated by reference" below but included in the documents listed under (a) through (b) above does not form part of this Debt Issuance Program Prospectus and is given for information purposes only. Each Issuer will provide, without charge, upon written or oral request, a copy of any or all of the documents incorporated herein by reference. Requests for such documents should be directed to either Issuer at their registered offices set out at the end of this Debt Issuance Program Prospectus. In addition, such documents will be available free of charge from the principal office in Luxembourg of Deutsche Bank Luxembourg S.A. (the "Listing Agent"). Table of documents incorporated by reference:

Merck KGaA Audited consolidated financial statements for the fiscal year ending December 31, 2009 (IFRS) (Extracted from the Merck KGaA 2009 Annual Report) Pages - Income Statement ...... 96 - Balance Sheet...... 97 - Segment Reporting ...... 98-99 - Cash Flow Statement ...... 100 - Free Cash Flow ...... 101 - Statement of Comprehensive Income...... 101 - Statement of Changes in Net Equity including Minority Interest...... 102 - Notes ...... 103-160 - Responsibility Statement ...... 161 - Auditor's Report ...... 162-163

Audited consolidated financial statements for the fiscal year ending December 31, 2008 (IFRS) (Extracted from the Merck KGaA 2008 Annual Report) Pages - Income Statement ...... 72 - Balance Sheet...... 73 - Segment Reporting ...... 74-75 - Cash Flow Statement ...... 76 - Free Cash Flow ...... 77 - Statement of Recognized Income and Expense...... 77 - Statement of Changes in Net Equity, including Minority Interest ...... 78 - Notes ...... 79-136 - Responsibility Statement ...... 137 - Auditor's Report ...... 138-139

179 Merck FS Audited non-consolidated financial statements for the fiscal year ending December 31, 2009 (HGB) Pages (Extracted from the Merck FS Auditors' Report (Bestätigungsvermerk) (German language version which is controlling and binding) and accompanied by an English language convenience translation thereof) - Income Statement ...... Anlage 2 - Balance Sheet...... Anlage 1 - Notes, including Cash flow statement...... Anlage 3 and Anlage zum Anhang - Auditor's Report59 ...... unnumbered last two pages

Audited non-consolidated financial statements for the fiscal year ending December 31, 2008 (HGB) Pages (Extracted from the Merck FS Accountants' Report (Prüfungsbericht) (German language version which is controlling and binding) and accompanied by an English language convenience translation thereof) - Income Statement ...... Anlage 2 - Balance Sheet...... Anlage 1 - Notes, including Cash flow statement...... Anlage 3/1 through 3/5 and Anlage zum Anhang - Auditor's Report60 ...... Anlage 4/1 and 4/2

59 The Auditor's Report also covers the Cash flow statement which forms an annex to the notes to the non-consolidated financial statements for the fiscal year ending December 31, 2009. 60 The Auditor's Report also covers the Cash flow statement which forms an annex to the notes to the non-consolidated financial statements for the fiscal year ending December 31, 2008.

180 NAMES AND ADDRESSES ISSUERS Merck KGaA Merck Financial Services GmbH Frankfurter Str. 250 Frankfurter Str. 250 64293 Darmstadt 64293 Darmstadt Germany Germany

PAYING AGENT LISTING AGENT Deutsche Bank Aktiengesellschaft Deutsche Bank Luxembourg S.A. Grosse Gallusstrasse 10-14 2 Boulevard Konrad Adenauer 60272 Frankfurt am Main 1115 Luxembourg Germany The Grand Duchy of Luxembourg

DEALERS Arranger and Dealer: Arranger and Dealer: Barclays Bank PLC Deutsche Bank Aktiengesellschaft 5 North Colonnade Grosse Gallusstrasse 10-14 Canary Wharf 60272 Frankfurt am Main London E14 4BB Germany United Kingdom

BNP PARIBAS Citigroup Global Markets Limited 10 Harewood Avenue Citigroup Center London NW1 6AA Canada Square United Kingdom Canary Wharf London E14 5LB United Kingdom

Commerzbank Aktiengesellschaft Goldman Sachs International Kaiserstrasse 16 (Kaiserplatz) Peterborough Court 60311 Frankfurt am Main 133 Fleet Street Germany London EC4A 2BB United Kingdom

HSBC Bank plc Merrill Lynch International 8 Canada Square 2 King Edward Street London E14 5HQ London EC1A 1HQ United Kingdom United Kingdom

The Royal Bank of Scotland plc Société Générale 135 Bishopsgate 17 Cours Valmy London EC2M 3UR 92987 Paris la Défense United Kingdom France

UBS Limited 1 Finsbury Avenue London EC2M 2PP United Kingdom

AUDITORS KPMG AG Wirtschaftsprüfungsgesellschaft Klingelhöferstraße 18 10785 Berlin Germany

181 LEGAL ADVISORS TO THE ISSUER As to German law Hengeler Mueller Partnerschaft von Rechtsanwälten Bockenheimer Landstraße 24 60323 Frankfurt am Main Germany

LEGAL ADVISORS TO THE DEALERS As to German law Freshfields Bruckhaus Deringer LLP Bockenheimer Anlage 44 60322 Frankfurt am Main Germany

182