3030 MarchMarch 20102010

OlenOlen sitesite visit,visit, AdvancedAdvanced MaterialsMaterials && GroupGroup R&DR&D presentationpresentation

Olen site visit Agenda of the day

11:30 Introduction on , the Olen site and Advanced Materials

11:45 Cobalt & Specialty Materials, with focus on rechargeable batteries

12:15 Sandwich lunch

13:00 Electro-Optic Materials, with focus on CPV

13:30 Site visit of Electro-Optic Materials Olen

14:15 Coffee break

14:30 Group R&D

15:00 Site visit of Group R&D Olen

15:45 End Umicore today Our business approach

Application know-how

Chemistry material Material Metals Material science solutions solutions Metallurgy

Recycling

3 Umicore today Strategic focus on Clean technologies

Energy Recycling Environmental solutions solutions solutions MaterialsMaterials forfor energyenergy AddressingAddressing resourceresource storage and scarcity and emissions TechnologiesTechnologies toto storage and scarcity and emissions mitigatemitigate environmentalenvironmental sustainablesustainable energyenergy byby closingclosing thethe impacts productionproduction materialsmaterials looploop impacts

CleanClean technologiestechnologies inin UmicoreUmicore todaytoday represrepresentent •• 50%50% ofof revenuesrevenues 4 •• 80%80% ofof R&DR&D eexpensesxpenses

Umicore today A change in the business profile

Revenues 14.6% (in million €) 2,500 2124 1902 1919 1910 11.1% 2,000 10.5% 1725 10.2%

8.7% 8.4% 1,500 1358 8.0% 1723 7.2% 1036 1,000 7.0% 6.9% JJ Core Umicore 5.7% 5.8% 5.4% JJ Divested business 4.8% 500 -„- Capex / revenues 3.2% -„ 2.5% --„„- R&D / revenues 0 2002 2003 2004 2005 2006 2007 2008 2009 Capital intensive R&D intensive Core Umicore Discontinued Umicore R&D / revenues Capex / revenues Metal refiner Materials technology company

Restated for discontinued operations in 2004, 2006 and 2008 5 Umicore today Worldwide presence

North America Europe

• 744 (18) people • 7,342 (980) people

• 12 industrial sites • 38 (7) industrial sites

South America Asia/Pacific

• 1,097 (416) people • 3,025 (1,739) people

• 5 (1) industrial sites Africa • 22 (6) industrial sites

• 1,512 (1,252) people

Total headcount 13,720 people • 3 (1) industrial sites (of which 4,405 in associates)

6 OlenOlen sitesite Presence in

Hoboken # 1,358 Olen # 1,037

• Precious Metals Refining • Cobalt & Specialty Materials • Battery Recycling • Electro-Optic Materials • Group R&D

Brugge # 69 Overpelt # 57 • Cobalt & Specialty Materials • Zinc Chemicals 2,963 people

Vilvoorde # 41 (of which 62 in

associates) Heusden Zolder # 97 (62) • Building Products • Zinc Chemicals

Brussels # 199 Angleur # 105 • Corporate • Cobalt & Specialty Materials • Zinc Chemicals

8 A history of transformation

1800 1850 1900 1950 2000 2010

1853 Asturienne des Mines 1985

1805 Vieille-Montagne 1989

Cie des Métaux d’Overpelt 1928 1970

Cie Industrielle Union 1908 Soc. Générale Métallurgique de Hoboken MHO 1989

Usine de Désargentation 1887 1919 (Degussa) 2005 Traxys

1919 Société Générale de Minerais 1985 2005 Cumerio

1959 Mechim 1989 2007 Nyrstar

1906 Union Minière du Haut-Katanga 1981

Union Minière 1981

1901 ACEC UM 2001

1919 SIBEKA 1990

1873 Degussa (DM) DMC² PMG 2003

Olen before

• One of Umicore’s oldest sites • Inaugurated in 1912 • 2nd site of “Compagnie Industrielle Union”, later

named “Société Générale

Metallurgique de Hoboken”

• Multiple metals processed • Cobalt , germanium, nickel (still today)

• Copper (now part of )

• Sodium, radium and uranium (discontinued many years ago)

10 Olen today

• One of Umicore’s 3 large production sites • 1,027 employees

• Headquarters of • Cobalt & Specialty Materials • Electro-Optic Materials • Umicore Group R&D

• Environmental control • Seveso status • ISO 14001 certified

11 OpticsOptics GeGe AdvancedAdvanced BatteriesBatteries CoCo NiNi PhotovoltaicsPhotovoltaics PigmentsPigments CC MaterialsMaterials ToolsTools

Advanced Materials At a glance

• Leading global position in cathode materials for lithium–ion batteries, cobalt powders for hard metal applications, germanium substrates for space solar cells • Produces high-purity metals, alloys, compounds and engineered products for a wide range of other specialist applications • Industrial operations around the world, supplying a global market

• Synthetic diamond and super-abrasives activities are conducted in a joint venture with De Beers

CobaltCobalt && Electro-Electro- ElementElement SpecialtySpecialty OpticOptic ThinThin FilmFilm SixSix

MaterialsMaterials MaterialsMaterials ProductsProducts AbrasivesAbrasives

13 Business group and business unit structure

UmicoreUmicore

AdvancedAdvanced PreciousPrecious MetalsMetals PreciousPrecious MetalsMetals ZincZinc MaterialsMaterials ProductsProducts && CatalystsCatalysts ServicesServices SpecialtiesSpecialties

CobaltCobalt && SpecialtySpecialty AutomotiveAutomotive JewelleryJewellery && PreciousPrecious MetalsMetals BuildingBuilding MaterialsMaterials CatalystsCatalysts ElectroplatingElectroplating RefiningRefining ProductsProducts

Electro-OpticElectro-Optic TechnicalTechnical PreciousPrecious MetalsMetals ZincZinc MaterialsMaterials MaterialsMaterials ManagementManagement ChemicalsChemicals

ThinThin FilmFilm PlatinumPlatinum EngineeredEngineered BatteryBattery ProductsProducts MaterialsMaterials RecyclingRecycling

ElementElement SixSix PreciousPrecious MetalsMetals AbrasivesAbrasives (40%)(40%) ChemistryChemistry

14 Advanced Materials Key figures

Revenues Recurring EBIT 24.7% (in € million) (in million €) 500 125 20.9% 395 400 100 85 332 15.4% 15.2% 309 305 14.7% 287 13.9% 300 275 75 13.1% 62 59 71 213 221 50 53 200 50 31 4.8% 100 25 22

0 0 2002 2003 2004 2005 2006 2007 2008 2009 2002 2003 2004 2005 2006 2007 2008 2009

Return on Capital Employed (ROCE)

15 Business group breakdown

Revenues EBIT Capital employed (excluding metal) (recurring) (average)

AM ZS AM ZS ZS 11% 15% 18% 16% 16% AM 26%

PMPC 17% PMS 10% PMS 21%

PMS PMPC PMPC 56% 46% 48%

J AM Advanced Materials J PMPC Precious Metals Products & Catalysts J PMS Precious Metals Services Corporate not included J ZSCorporate Zinc Specialties not included Corporate not included Excluding Corporate 16 Business group breakdown

Capital expenditure R&D expenditure Workforce (end of period)

AM C C C 12% ZS 8% AM ZS12% 8% 9% 27% 3% ZS 16% AM PMS 38% 5%

PMS PMS 24% 11%

PMPC PMPC PMPC 27% 32% 68%

J AM Advanced Materials J PMPC Precious Metals Products & Catalysts J PMS Precious Metals Services Corporate not included J ZSCorporate Zinc Specialties not included Corporate not included J CCorporate 17 Olen site visit Agenda of the day

11:30 Introduction on Umicore, the Olen site and Advanced Materials

11:45 Cobalt & Specialty Materials, with focus on rechargeable batteries

12:15 Sandwich lunch

13:00 Electro-Optic Materials, with focus on CPV

13:30 Site visit of Electro-Optic Materials Olen

14:15 Coffee break

14:30 Group R&D

15:00 Site visit of Group R&D Olen

15:45 End BusinessBusiness unitunit CobaltCobalt && SpecialtySpecialty MaterialsMaterials

RechargeableRechargeable ToolTool CeramicsCeramics && BatteriesBatteries MaterialsMaterials ChemicalsChemicals

Cobalt & Specialty Materials At a glance

• Leading player in cobalt applications with niche positions in nickel • Rechargeable Battery Materials: technology solutions for lithium ion cathode materials • Ceramics and Chemicals: chemical specialties with a particular focus on REACH compliance

• Tool Materials: product range for hard metal and diamond tools

• Offers supply security through own refining, recycling, metals management and ethical sourcing policy

• Global footprint with worldwide distribution channels

• Largest BU in Advanced Materials

20 Cobalt & Specialty Materials Footprint: # 2,270 people (of which 1,232 in associates)

Olen Cheonan Belgium # 447 Korea # 129

• Headquarters • Cathode materials • R&D centre • Tech Center RBM • Co & Ni chemicals • Co powders Shanghai • Co & Ni refining China # 43 • Co powders Brugge Belgium # 69 Gangzhou • Organic Co & other China # (874) metal compounds GYHU (40% associate) • Other organics • Co chemicals • Co refining Fort Saskatchewan Canada # 27 Jiangmen • Ultrafine Co powders China # 449 (340)

• Cathode materials

Arab Blodelsheim Milan Subic • Battery precursors USA # 52 France # 12 # 16 (15) Philippines # 81

• Co & Ni chemicals • Cu clippings Todini (40% associate) • Ni specialities JCU (40% associate)

(crystals & solution) • Distribution • Co & Ni products • Ni refining • Ni(OH)2 • Co recycling distribution • Ni refining

21 Cobalt & Specialty Materials Business model

Co & Ni Cathode Rechargeable cathode precursors materials battery industry

Co Co oxides / Specialty Chemicals & concentrates Ni & Co salts chemicals ceramics industry

Co & Ni containing Co Alloyed Tooling secondaries powders powders industry

Co & Ni metal & Add value to the metal Co & Ni compounds refining/recycling

Market leader Diversified in niche Focus on the application supply strategy applications

22 Cobalt & Specialty Materials Cobalt sourcing & usage

• Umicore offers the broadest range of Global applications of cobalt cobalt-based materials Hardfacing 7%

Magnets 7% Batteries 22% • Focus on sustainable supply: Long-term contracts and respecting Code of Conduct

Superalloys 20% • Differentiated supply strategy Cutting Tools 13% • Refining of Co concentrates and recycling of production scrap and end of life materials Others 3% • Purchase of Co metal & compounds Carboxylates 9% Colours 10% Catalysts 9%

• Metal price hedging is key Umicore presence

23 Cobalt & Specialty Materials Tool Materials products & applications

Supply Metal Product Application Market

HardHard metalsmetals

CoCo powderspowders AbrasiveAbrasive bondingbonding DiamondDiamond ToolsTools

CoCo concentratesconcentrates ValveValve seatsseats CobaltCobalt

CoCo residuesresidues PowerPower tools

Pre-alloyedPre-alloyed CoCo powderspowders NiMHNiMH batteries

24 CurrentCurrent HEVHEV vehiclesvehicles Cobalt & Specialty Materials Ceramics & Chemicals products & applications

Supply Metal Product Application Market

CoCo oxidesoxides PigmentsPigments CeramicsCeramics && glassglass

CoCo concentratesconcentrates

CoCo PetrochemistryPetrochemistry

CoCo residuesresidues CatalystsCatalysts

CoCo saltssalts PlasticsPlastics

PlatingPlating

NiNi residuesresidues NiNi NiNi saltssalts MetalMetal treatmenttreatment

CarboxylatesCarboxylates

25 AdhesivesAdhesives Cobalt & Specialty Materials Rechargeable Batteries products & applications

Supply Metal Product Application Market

LCOLCO LiLi cobaltitecobaltite PortablePortable electronicselectronics

CoCo concentratesconcentrates

NMCNMC Li-ionLi-ion rechargeablerechargeable CoCo LiLi NiCoMnNiCoMn oxideoxide batteriesbatteries PowerPower toolstools

CoCo residuesresidues

NCANCA LiLi NiCoAlNiCoAl oxideoxide (P)HEV(P)HEV // EVEV

Ni-MHNi-MH rechargeablerechargeable NiNi residuesresidues NiNi NiNi hydroxidehydroxide batteriesbatteries E-bikesE-bikes

26 StationaryStationary powerpower Cobalt & Specialty Materials Business drivers

• Rechargeable battery materials (lithium ion) • Emerging power applications such as (Hybrid) Electrical Vehicles (HEVs) • Growing portable electronics market • In-house technology advances

• Other product areas • Evolution in end user industries, e.g. chemicals, construction, drilling • Legislative demands on new products, e.g. REACH • Development of new applications

• Co & Ni supply & refining • Metal prices

27 Cobalt & Specialty Materials The Li-ion cathode materials market

Power demand for Li-Ion batteries

(in MWh/year) 90,000 Portable electronics Power tools (P)HEV / EV 80,000

70,000 • Growth driven to date by portable electronics 60,000

50,000

40,000

30,000 • Future growth will be increasingly driven by new applications 20,000

10,000

0 2003 2005 2007 2009 2011 2013 2015 2017 Source: IIT Takeshita 2009 28

Cobalt & Specialty Materials The Li-ion battery materials flowsheet

Raw & Components Battery Battery functional Application Recycling (Electrodes) cell pack materials

• Graphite • Cathode • Unit cells • Modules • Portable • Co • Cathode (LiMox) • Anode • Battery packs electronics • Ni • Polymer • Separator • Power tools • Mn • Binder • Connectors • (H)EVs • (Li) • Carbon Black • Housing • Stationary • Cu/Al foils • Industrial • Electrolyte

29 Cobalt & Specialty Materials Li-ion cathode material evolution Ni

• Lithium cobaltite (LiCoO2) dominated Capacity first decade of Li-ion technology

• Mixed compounds as NMC introduced since 2005 Reversibility Safety • NMC compounds reduce Co Mn cobalt use; first enters NMC spectrum

low-mid end of the market Cathode Battery Battery Battery Battery Cathode materials • e.g. Cellcore MX® capacity* capacity safety cyclability cost

LCO (LiCoO ) 160 ++ ++ ++ + 2

• Other materials developed LNO (LiNiO2) 170 +++ + + +

for future generations of NMC (LiNixMnyCo1-x-yO2) 130-160 ++ ++ ++ ++

Li-ion technology LMO (LiMn2O4) 120 + ++++ + +++

LFP (LiFePO4) 160 + ++++ ++ +++

* Ah/kg 30 Cobalt & Specialty Materials Umicore’s unique position in Li-ion cathode materials

• Wide product portfolio • In production: LCO, NMC, NCA • In R&D: LFP → improvement patents and licenses in place • Multiple applications: portable electronics, automotive, stationary power, … • Diversified and integrated production base • Multiple plants, globally spread to stimulate close customer contact • Integrated precursor production • Broad customer base • Closed-loop solution including the battery recycling → Major development efforts go into building a stronger IP position and gaining a higher application knowledge that will further strengthen our position

31 Cobalt & Specialty Materials Umicore’s current position in Li-ion cathode materials market

• Umicore is a leading player with the broadest range of customers and a good geographical mix

(% market share of non captive market) 30%

25%

20%

15%

10%

5%

0% . l l l s re a o a D al X o g rp s rp ic ca ial y c Y ic O m m y n o ie o co o r g i B N e iu g i C n C i m L st o m m O t h o in a e u K e e R ys it K u p ia m h e d a h h T S L a M k h U C s n C C 3 l to m c i e I a 2 od a i in l Tod o k MC T t n co N im h a id a 1 F e a r e C ic A M S e S Se n h m Ta o t C e m o G h o 7 A C it n o m p Su ip N Source: Avicenne 2008 32

Cobalt & Specialty Materials Umicore’s position in Li-ion cathode production

• Existing production base • Cheonan, Korea • Li-Ion cathode materials production CheonanCheonan plantplant • Applied research centre

• Jiangmen, China • Li-Ion cathode precursors & materials production Cheonan • Olen, Belgium • Li-Ion cathode precursors production • Basic battery materials research

• Recent investments enable larger scale JUCJUC plantplant production of new materials • Additional investments will be required when the market further develops Jiangmen

33 Cobalt & Specialty Materials Business strategy

• Rechargeable battery materials • Develop new product technologies (and production infrastructure) • Penetrate the new markets for rechargeable batteries including (H)EV • Increase presence with Japanese battery manufacturers

• Other product areas • Develop new, advanced chemical solutions (e.g. carboxylates, …)

• Differentiate supply / extend closed-loop offering (cfr. Umicore Battery Recycling)

34 Olen site visit Agenda of the day

11:30 Introduction on Umicore, the Olen site and Advanced Materials

11:45 Cobalt & Specialty Materials, with focus on rechargeable batteries

12:15 Sandwich lunch

13:00 Electro-Optic Materials, with focus on CPV

13:30 Site visit of Electro-Optic Materials Olen

14:15 Coffee break

14:30 Group R&D

15:00 Site visit of Group R&D Olen

15:45 End BusinessBusiness unitunit Electro-OpticElectro-Optic MaterialsMaterials

OpticsOptics SubstratesSubstrates Electro-Optic Materials At a glance

• World leader in germanium products • Substrates for solar cells used in space applications • Customised germanium-based material solutions for infrared optics and opto- electronics

• Focuses on high added value products and high volume markets

• Makes the difference through innovation and technological base

• Offers supply security through own refining, recycling and metals management

• Umicore BU with highest premium over metal content

37 Electro-Optic Materials Footprint # 392 people

Olen Dundee Belgium # 251 UK # 20

• Headquarters • R&D centre coatings

• R&D centre • Ge refining & recycling • GeCl4 • Ge substrates • Ge optics

Quapaw Acigné USA # 91 France # 10

• GeCl4 • R&D centre GASIR glass • Ge & GASIR optics • GASIR production • Ge substrates

38 Electro-Optic Materials Business model

GeCl • Complete Ge product portfolio covering 4 Ge residues all Ge-based products

GeO • Focus on higher added value products 2 and customer-specific products • Integrated Ge refining capacity Ge metal • To secure part of Ge supply needs and thereby enable a fixed Ge substrates

Ge price for customers

• To allow recycling of internal and the High purity Ge customer’s production scrap Ge lenses

39 Electro-Optic Materials Germanium sourcing & usage

• Yearly world primary refining: ~90 tonnes Global applications of germanium • By-product of mainly zinc and coal mining Electronics (Ge substrates) • Starting material can be as low as 0.5% Ge <5% Fibre optics (GeCl4) 20%

• Yearly supply from recycling: ~30 tonnes Infrared optics (Ge lenses) • Important due to scarcity of the material 30% and relatively high price

• Umicore supply strategy • Own refining/recycling capacity allows choice Chemical (GeO2) 45% in sourcing refined Ge, concentrates or recyclables Source: Umicore estimates Source: Umicore estimates • Majority of supply needs covered by long term contracts, remainder spot contracts Umicore active in all domains

40 Electro-Optic Materials Optics products & applications

Supply Metal Product Application Market

GeClGeCl44 OpticOptic fibresfibres OpticalOptical networksnetworks

SurveillanceSurveillance && securitysecurity MineMine residuesresidues e.g.e.g. ZnZn oresores

GeGe GeGe opticsoptics MedicalMedical applicationsapplications

ProductionProduction residuesresidues IRIR camerascameras e.g.e.g. fromfrom opticoptic fibresfibres

PreventivePreventive maintenancemaintenance GASIRGASIR®® opticsoptics

DriverDriver visionvision 41 enhancementenhancement

Electro-Optic Materials Substrates products & applications

Supply Metal Product Application Market

SpaceSpace satellitessatellites

Multi-junctionMulti-junction solarsolar cellscells MineMine residuesresidues e.g.e.g. ZnZn oresores Solar power stations Solar power stations

GeGe GeGe substratessubstrates

ProductionProduction residuesresidues e.g.e.g. fromfrom opticoptic fibresfibres

LEDsLEDs Solid-stateSolid-state lightinglighting

42 Electro-Optic Materials Business drivers

• Need for sustainable energy solutions, leading to • Growth of concentrator photovoltaics for clean energy generation • LED technology allowing energy-efficient and durable lighting solutions

• Continuous increase of telecommunication needs, leading to • Growing power demand for newly launched (telecom) satellites • Deployment of optical fibre networks

• Increasing safety and security needs • Creating a need for infra-red camera and detector systems used in night vision, fire- fighting and surveillance systems

43 Electro-Optic Materials Concentrator photovoltaics (CPV)

• Germanium-based solar cells offer highest ConcentrationConcentration withwith lenslens systemsystem energy conversion ratio • Industrial efficiencies up to 40% (cfr. Si 15%-20%)

• Higher cost limits use to niches (space)

• Concentration set-up allows cost-effective use on earth CPVCPV bbasedased solarsolar panelpanel • Using concentration optics (lenses or mirrors) • Using concentrations of up to factor 1,000x • Applicability limited to • Sun-rich countries (direct sunlight needed) • Larger installations (sun tracking required)

44 Electro-Optic Materials High-efficiency solar cells

• Best energy conversion ratio • III-V compounds are deposited onto a germanium substrate to form a number of cells

on top of each other front • Allows to convert solar spectrum more A/R* contact A/R* efficiently top cell (1.8eV) GaInP • Industrial efficiency up to 40% tunnel junction middle cell (1.4eV) Ga(In)As • World record at 42% tunnel junction bottom cell (0.7eV) • Application Ge substrate • Main application up to today is Ge back contact for space solar cells *A/R: Anti-Reflective coating

• Use of these cells in terrestrial applications is rapidly growing, using concentration (CPV)

45 Electro-Optic Materials Principle of Concentrator Photovoltaics (CPV)

• Using high concentration factors (100x – 1000x), the

relative cost of the cell in the

Concentrating optics system goes down

• Increased efficiency of total system more than offsets the

higher cost of high efficiency 80-85% optical efficiency solar cells

Module efficiency • Cell also needs to resist to higher temperatures >30 % feasible (Si cells are less tolerant)

40% cell efficiency Heat sink

Courtesy of Concentrix GmbH,

46 Electro-Optic Materials Advantages of tracking systems

• Optimisation of effective surface following the sun movement • During the day • Over the seasons

• Concentration mandatory for CPV to allow concentration

Silicon fixed CPV tracked

10:00 12:00 14:00 16:00 18:00

Data: May 1st 2008, Sevilla, courtesy of Concentrix GmbH, Germany

47 Electro-Optic Materials Where to install CPV?

• Direct irradiation required to allow for concentration to function • Sufficient irradiation required for optimal cost structure Courtesy of Concentrix GmbH, Germany • Regions with direct irradiation (marked in yellow) are potential markets for efficient use of CPV systems

48 Electro-Optic Materials Basic idea is translated in a wealth of designs

49 Electro-Optic Materials CPV summary

• High system efficiency allows efficient land use

• Efficiency remains high with high ambient temperatures

• Strong cost reduction still feasible

Competitive in sunny locations !

• Competitiveness versus solar thermal power plants • Favourable modularity (100 kW units) • Low maintenance • No water usage

50 Electro-Optic Materials The high efficiency solar cell materials flowsheet

Ge Solar cell Solar cell Ge Solar cell substrate module system recycling

Optical system system Electrical Infrastructure Ge Ga In …

Current market share in Ge substrates >50%

51 Electro-Optic Materials Concentrator photovoltaics potential

• Germanium solar cells are a niche application • More than $ 1 billion invested into CPV over the past few years

Yearly installed terrestrial CPV solar power (in MW) 1200 1044 • Current substrates business 988 for space applications 1000 875 = ~ 400.000 4” wafers/year 800 739

614 600 500 • 1000 MWp terrestrial solar 400 power 400 324 251 = ~ 1,3 million 4”wafers 183 200 120 62

0 Source: CPV Today, July 2009 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

52 Electro-Optic Materials Business strategy

• Focus on higher added value products

• Maintain leading position in substrates for space photovoltaics

• Enable the further penetration of germanium “Bring space PV down to earth” in terrestrial photovoltaics and LED lighting

• Development of Ge-light optics for high- volume applications (GASIR®)

53 BusinessBusiness unitunit ThinThin FilmFilm ProductsProducts

OpticsOptics && LargeLarge AreaArea EleElectronicsctronics CoatiCoatingsngs

Thin Film Products At a glance

• Supplier of sputtering targets and evaporation sources for a number of coating applications • Antireflection and wear protection coatings • Layers for the semiconductor and optical data storage industry • Transparent conductive layers (TCO) for displays, photovoltaics and architectural glass

• Recycling of the different materials

• Innovative product portfolio

55 Thin Film Products Footprint # 217 people

Providence Balzers USA # 48 Liechtenstein # 112

• ITO for large area • Headquarters coatings • production • R&D centre • R&D centre

Nashua USA # 6 Bejing China # 29 • Sales office • Bond shop • Production & sales of optical materials

Manaus Brazil # 4 Hsinchu Hsien Taiwan # 12 • Production silver sputtering targets • Sales office • Bond-shop

56 Thin Film Products Business model

• Thin Film Products’ business model is based on 2 core competencies: • The design and manufacturing of sputtering targets • The recycling of spent targets

Casting & Bonding • Material utilisation of sputtering targets is 30-40% Recycling is crucial for planar and 70 - 80% for Raw in order to support Use of the supply and rotary targets. The need for materials targets sustainability of recycling of spent targets is the business

therefore built into the business model of Thin Film Products Recycling of spent targets

57 Thin Film Products Optics & Electronics products & applications

Supply Metal Product Application Market

PreciousPrecious metals:metals: OphthalmicOphthalmic glasses,glasses, Au,Au, Ag,Ag, Pt,Pt, PdPd OphthalmicOphthalmic coatingcoating binoculars,…binoculars,…

End-of-lifeEnd-of-life materialsmaterials e.g.e.g. spentspent targetstargets EvaporationEvaporation materials,materials, SpecialSpecial metals:metals: tabletstablets granulesgranules In,In, Se,Se, Te,Te, GeGe (oxides(oxides && fluorides)fluorides) PrecisionPrecision opticsoptics InfraredInfrared applicationsapplications

PrimaryPrimary materialsmaterials

Zr,Zr, ZnS,ZnS, Ti,Ti, SiSi SemiconductorsSemiconductors && DataData ,Cr,,Cr, Al,Al, TaTa SputteringSputtering targetstargets DifferentDifferent layerlayer coatingscoatings storage:storage: HardHard discs,discs, DVD,DVD,

SecondarySecondary materialsmaterials

Mg,Mg, Y,Y, Sc,Sc, Nb,Nb, HfHf MicroelectronicMicroelectronic WaferWafer MicroelectronicMicroelectronic ChipChip 58 Thin Film Products Large Area Coatings products & applications

Supply Metal Product Application Market

IndiumIndium LCDLCD andand plasmaplasma screensscreens End-of-lifeEnd-of-life materialsmaterials ITOITO sputteringsputtering targetstargets e.g.e.g. spentspent targetstargets Planar/RotatablePlanar/Rotatable

TransparentTransparent conductiveconductive

ZnOZnO oxideoxide layerlayer

TouchTouch panelspanels SecondarySecondary materialsmaterials AZOAZO sputteringsputtering targetstargets

SilverSilver

PrimaryPrimary materialsmaterials Si,Si, AgAg targetstargets ThinThin filmfilm photovoltaicsphotovoltaics

Aluminum Anti reflective layer Recycling of spent Aluminum Anti reflective layer targets in BU, Zn recycled in ZC BU, DecorativeDecorative && other materials architecturalarchitectural glassglass 59 SiliconSilicon VariousVarious otherother targets recycled in PMR BU Thin Film Products Business drivers

• Growth of large area coating applications • Driven by growing demand for photovoltaics and penetration of thin film technology as a viable technology

• Driven by demand for flat screen displays • Driven by demand for window glass coatings

• General demand for coating materials • Used in electronics, optics, wear protection, … • Driven by global economic demand

60 Thin Film Products Business strategy

• Develop industrial scale production for new materials • ITO* and AZO* used in photovoltaics, glass and display applications

• Using innovative product designs as rotary targets

• Strengthen Umicore’s position in sputtering targets & evaporation materials for Optics & Electronics, based on our key competencies in production and application know-how.

* ITO: Indium Tin Oxide; AZO = Aluminium-doped Zinc Oxide

61 ElementElement SixSix AbrasivesAbrasives

AdAdvancedvanced HardHard OilOil && GasGas MaterialsMaterials MaterialsMaterials

Element Six Abrasives At a glance

• World’s leading supplier of industrial diamond and superabrasives

• Global presence

• Manufactures diamond* using high pressure high temperature (HPHT) synthesis

• Encompasses applications in the automotive, aerospace, oil & gas drilling, mining, electronics, construction and wood-working industry. • Joint venture set-up: Umicore 40%, De Beers 60%

* Diamond materials are the hardest substance known and are widely used in cutting, grinding, shearing and polishing applications

63 63 Element Six Abrasives Footprint # 2,530 people

Robertsfors Poltava Sweden # 68 Ukraine # 203

• CBN & polycrystalline • Diamond Synthesis / synthesis / Processing Processing • R&D Centre Suzhou Chiswick China # 173 UK # 26

• Diamond Synthesis / • Group Service Centre Processing

Wuxi Shannon China # 77 Ireland # 242 • Carbide production • Diamond Processing • Market Support Centre Johannesburg South Africa # 1,357 Burghaun Germany # 303 • Diamond Synthesis / Processing • Carbide production • Carbide production • Sales and Marketing Operational plants only # = Headcount • Diamond Research Centre Laboratory

64 Element Six Abrasives Business model

To deliver extreme performance through innovative diamond solutions

OilOil && GasGas AdvancedAdvanced MaterialsMaterials HardHard MaterialsMaterials

Element Six is the established Element Six manufactures Through the use of tungsten leader in the market of diamond and cubic boron nitride carbide, Element Six has a long polycrystalline diamond drills (CBN) in both grit and poly- established presence in mining heads for the oil & gas crystalline forms to serve a wide through drilling components, industries. range of precision applications road construction and wear like cutting, grinding, drilling parts. and polishing. These products are then used in various industries like automotive, wood-cutting, metal-cutting, 65 electronics and aerospace. Element Six Abrasives Oil & Gas products & applications

Supply Material Product Application Market

GraphiteGraphite

DiamondDiamond impregnatedimpregnated IndustrialIndustrial diamonddiamond gritgrit cuttingcutting surfacessurfaces

MetalMetal additivesadditives

OilOil industryindustry (onshore(onshore && offshore)offshore)

DrillDrill Cutters DrillingDrilling solutionssolutions

GasGas industryindustry PolycrystallinePolycrystalline diamonddiamond (onshore(onshore && offshore)offshore)

WearWear PartsParts

tungstentungsten carbidecarbide

66 CarbideCarbide drilldrill piecespieces Element Six Abrasives Advanced Materials products & applications

Supply Material Product Application Market

CuttingCutting discs,discs, wheelswheels GraphiteGraphite IndustrialIndustrial diamonddiamond gritgrit CoarseCoarse diamonddiamond gritgrit andand wireswires ConstructionConstruction && ExtractionExtraction

FineFine diamonddiamond gritgrit GrindingGrinding discs,discs, wheels,wheels, wireswires andand powderspowders AutomotiveAutomotive industryindustry

PolycrystallinePolycrystalline diamonddiamond

MetalworkingMetalworking PolycrystallinePolycrystalline discsdiscs andand toolstools Metal-cuttingMetal-cutting industriesindustries MetalMetal additivesadditives cubiccubic boronboron nitridenitride insertsinserts

WoodworkingWoodworking tungstentungsten carbidecarbide toolstools Wood-workingWood-working 67 Element Six Abrasives Hard Materials products & applications

Supply Material Product Application Market

PolycrystallinePolycrystalline diamonddiamond RoadRoad planingplaning pickpick RoadRoad planingplaning machinesmachines RoadRoad constructionconstruction

DrillingDrilling insertsinserts TungstenTungsten SteelSteel MiningMining picks DrillingDrilling && miningmining MiningMining

BespokeBespoke TungstenTungsten Multi-industryMulti-industry (e.g.(e.g. CobaltCobalt TungstenTungsten carbidecarbide carbidecarbide productsproducts WearWear partsparts millmill rolls,rolls, paperpaper cutting)cutting)

SolidSolid carbidecarbide rodsrods && MetalMetal cuttingcutting MetalMetal AdditivesAdditives burrsburrs DrillsDrills (e.g.(e.g. automotive)automotive) 68

Element Six Abrasives Business drivers

• Growth of construction activity • Building, road, automotive, machinery and other industrial applications • Supported by global demand

• Growth of mining, oil and gas industry • Supported by increased demand for materials and fossil fuels

• Substitution of lower performance abrasives by high-end synthetic diamonds • Material cost being outweighed by longer operational lifetime of the tool

69 Element Six Abrasives Technology

• Diamond synthesis • Capsule recipes • High pressure systems • Coatings and claddings • Carbide capabilities • Finished processing = Application performance

70 Element Six Abrasives Business strategy

• Mission: To deliver extreme performance through innovative diamond solutions

• Vision: • Build a high margin, sustainable Diamond solutions business, through: • Market-driven strategic prioritisation & focus • Downstream development partnerships • Competitive total innovation capabilities • Continuous productivity enhancement

71 Olen site visit Agenda of the day

11:30 Introduction on Umicore, the Olen site and Advanced Materials

11:45 Cobalt & Specialty Materials, with focus on rechargeable batteries

12:15 Sandwich lunch

13:00 Electro-Optic Materials, with focus on CPV

13:30 Site visit of Electro-Optic Materials Olen

14:15 Coffee break

14:30 Group R&D

15:00 Site visit of Group R&D Olen

15:45 End ResearchResearch andand developmentdevelopment

MarcMarc VanVan SandeSande ChiefChief TechnologyTechnology OfficerOfficer Research & development At a glance

• Strong and consistent commitment to R&D • R&D organised in competence platforms over Group R&D and the different BUs • R&D efforts focused on clean-tech domains • Recycling solutions → Closing the materials loop Energy Recycling Environmental • EnvironmentalSolutions solutions → SolutionsPollution reduction Solutions • EnergySustainable solutions energy → ClosingSustainable the energy prPollutionoduction and storage production and materials loop reduction • storage • Balanced R&D portfolio (Short term product development and long term research projects) • 890 people currently employed in R&D functions (of which 236 in associates) • 325 granted patent families, and 199 pending

74 Research & development Footprint Rechargeable batteries Electro-optic materials Group R&D

Automotive catalysts Precious metals products Thin film products 75 Research & Development Expenditure

R&D 7.1% (in million €) 6.9% 200

5.7% 5.8% 5.8% 165 • R&D expenditure currently at some 7% 5.4% of revenues 150 136 125 149 112 110 104 3.2% 120 100 111 • Some 80% of expenditure focused on 99 98 2.5% 91 Clean Technologies 48 50 31 44 • R&D efforts planned to continue at 25 similar level 0 2002 2003 2004 2005 2006 2007 2008 2009

Fully consolidated Associates

R&D / revenues

Restated for discontinued operations in 2004, 2006 and 2008 7617 Research & development Focus

R&D expenditure R&D expenditure

Other AM 20% C 12% ZS12% 3%

PMS 5%

Clean Technolo PMPC gies 68% 80%

Corporate not included Corporate not included 77 Research & development Patent filings

Intellectual Property: Priority Filings 2004 - 2009

(# of filings) 60

51 50 43 43 41 40 34

30 22 20

10

0 2004 2005 2006 2007 2008 2009

Hanau Olen Total

78 Group Research & Development Key activities

79 Research & development: An integrated approach

• Technology platforms are found both in Group R&D and in the business unit R&D

• Part of the R&D performed by each BU is specific to the BU technology and market, and therefore might not fit in a technology platform

• Group R&D creates, fosters and develops Group innovation projects from the idea stage to venture unit status

80 Competence platform Recycling & Extraction Technology

• Development of metallurgical processes to close the materials loop: • Waste-free recycling • Green processes

• High throughput of precious and specialty metals • Strong knowledge base built on historical expertise of the predecessors of Umicore

81 Competence platform Fine Particle Technology

• Development of micron- and nano-sized functional materials: metals, alloys, oxides • Functionalisation of particles for specific applications: coatings, dispersions • Cost-effective industrial scale processing and production processes

82 Competence platform Scientific & Technical Operations Support

• State of the art laboratory and pilot installations • Advanced research methods: • Computer modelling • High throughput experimentations

• Data mining

• IP-protection, external funding, external network management and scouting

83 Competence platform Environment, Health & Safety (EHS)

• Scientific and technology development to implement Umicore’s EHS-policies • EHS-related risk assessments

• Toxicity and exo-toxicity evaluation

• Product life cycle analysis

84 Competence platform Analytical Competencies

• Analytical services to business units and Group R&D

• Development and implementation of state of the art analytical tools

85 Research & Development Clean Technologies definition

86 Research & Development: Recycling solutions

Advanced Precious Metals Precious Metals Zinc Corporate Corporate Materials Products & Catalysts Services Specialties

Ge Co Industrial E-scrap refining/ refining/ by-products recycling Recycling & recycling recycling recycling Solar-grade RecyclingJewelleryJewellery Zn Si extraction solutionsrecyclingrecycling recycling technology (HyCore) Ni Catalyst Catalyst Battery recycling recyclingrecyclingrecycling

Zn Ceramics & Tool Automotive Zn • All business groups have anFuel expertise cells / presence in recycling battery chemicals materials catalysts oxides materials Fine particle technology Nano- technology oxides Precious Rechargeable Thin film Fine Zn metals •batteriesIt is a keyproducts component in powders chemistry • Closing the materials loop and reducing energy consumption Pt Ge• ProvidingGe economicTechnical value for both customers and Umicore engineered optics substrates materials materials BU specific • Promoting closer customer relationships Building technology products Jewellery •SyntheticSecurity of supply Electro- & industrial 87 diamonds plating metals

Research & Development: Environmental solutions

Advanced Precious Metals Precious Metals Zinc Corporate Materials Products & Catalysts Services Specialties

• The majority of environmental solutions currently provided by Recycling & Umicore are based on catalysts extraction technology • The market for environmental catalysis is evolving rapidly and requires constant innovation

Automotive catalysts Fine particle technology Fine Zn powders

Pt engineered materials BU specific technology

88 Research & Development: Energy solutions

Advanced Precious Metals Precious Metals Zinc Corporate Materials Products & Catalysts Services Specialties

• The focus is on materials used in the production of clean energy Recycling & (e.g. photovoltaics, fuel cells) or in solutions for energy storage (e.g. extraction lithium-ion rechargeable batteries) technology Solar-grade Si (HyCore)

Fuel cells Fine particle technology Rechargeable Thin film batteries products

Ge Technical substrates materials BU specific Building technology products

89 Research & Development Some notable recent Cleantech breakthroughs

• Energy Solutions • Pioneer in new Li-ion materials e.g. Cellcore MX®, QX ® • Breakthrough in 12” and <100 micron Ge substrates production • Environmental solutions • First developer of Pd-containing catalysts for automotive diesel applications • Pioneer of catalyzed diesel particulate filters (DPF) • Market first in lean-burn catalysis (for Daimler and BMW) • Successful delivery of full Heavy Duty Diesel product range • Recycling solutions • New process for precious metals recycling pre-concentration step • New battery recycling process using ultra high temperature technology

90 Research & Development Pipeline: current Cleantech focus

• Energy Solutions • Development of next generation Lithium-ion battery materials • Reforming, electro catalysis and coated membranes (SolviCore) for PEMFC – fuel cells • Materials for photovoltaics (PV) • Solar grade Silicon (HyCore) • Next generation transparent conductive oxides for thin film solar cells • Environmental solutions • Next generation exhaust catalyst solutions for on-road and off-road applications • Integrated solutions for electrification of drive-trains • Recycling solutions • Innovative metallurgical recycling solutions

91 Olen site visit Agenda of the day

11:30 Introduction on Umicore, the Olen site and Advanced Materials

11:45 Cobalt & Specialty Materials, with focus on rechargeable batteries

12:15 Sandwich lunch

13:00 Electro-Optic Materials, with focus on CPV

13:30 Site visit of Electro-Optic Materials Olen

14:15 Coffee break

14:30 Group R&D

15:00 Site visit of Group R&D Olen

15:45 End Forward-looking statements

• This presentation contains forward-looking information that involves risks and uncertainties, including statements about Umicore’s plans, objectives, expectations and intentions.

• Readers are cautioned that forward-looking statements include known and unknown risks and are subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond the control of Umicore.

• Should one or more of these risks, uncertainties or contingencies materialize, or should any underlying assumptions prove incorrect, actual results could vary materially from those anticipated, expected, estimated or projected.

• As a result, neither Umicore nor any other person assumes any responsibility for the accuracy of these forward-looking statements. 93