DowDuPont Announces Filing of Initial Form 10 Registration Statement for the New Dow

Friday, September 7, 2018 7:30 am EDT

Dateline:

MIDLAND, Mich. & WILMINGTON, Del.

Public Company Information:

NYSE:
DWDP
"The new Dow will be a more focused and agile solutions provider, well-positioned to quickly and effectively innovate and grow with customers in our targeted market verticals to deliver greater shareholder value."

MIDLAND, Mich. & WILMINGTON, Del.--(BUSINESS WIRE)--DowDuPont™ (NYSE: DWDP) today announced the filing of the initial Form 10 registration statement with the U.S. Securities and Exchange Commission (“SEC”) for the separation of its Materials Science Division (to be called Dow).

Dow’s initial Form 10 filing includes a business and strategy overview, competitive strengths and end-market information, as well as historical and unaudited pro forma financial information, among other details for the intended company.

“The Form 10 is a significant step towards the creation of the new Dow – the world’s leading materials science company,” said Jim Fitterling, chief operating officer of the Materials Science Division of DowDuPont and chief executive officer of Dow. “The new Dow will be a more focused and agile solutions provider, well-positioned to quickly and effectively innovate and grow with customers in our targeted market verticals to deliver greater shareholder value.”

As detailed in the filing, the new Dow will have a portfolio comprised of six global business units, serving three consumer-driven market verticals: consumer care, infrastructure and packaging. Through its deep materials science expertise, value chain intimacy, global reach, scale and competitive capabilities, the new Dow will provide differentiated products and solutions to its customers.

“This initial filing underscores the position of financial and operational strength the new Dow will possess upon separation,” said Howard Ungerleider, chief financial officer of DowDuPont and president and chief financial officer of Dow. “It also emphasizes our focus on driving profitable growth, increasing return on invested capital and enhancing free cash flow.”

Consistent with the Form 10 process, the filing will be iterative, with additional information regarding capital structure, dividend policy, governance, initiation of Dow common stock upon separation from DowDuPont and other matters filed in subsequent versions of the document. Dow anticipates the SEC will declare the Form 10 effective in the first quarter of 2019, aligned to the company’s timeline to separate from DowDuPont by April 1, 2019.

As previously communicated, Corteva Agriscience intends to file its Form 10 in October.

The Form 10 can be found on the investors section of the DowDuPont website at http://www.dow-dupont.com/investors/default.aspx.

About DowDuPont™

DowDuPont (NYSE: DWDP) is a holding company comprised of The Dow Chemical Company and DuPont with the intent to form strong, independent, publicly traded companies in agriculture, materials science and specialty products sectors that will lead their respective industries through productive, science-based innovation to meet the needs of customers and help solve global challenges. For more information, please visit us at www.dow-dupont.com.

Cautionary Statement About Forward-Looking Statements

This communication contains “forward-looking statements” within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. In this context, forward-looking statements often address expected future business and financial performance and financial condition, and often contain words such as “expect,” “anticipate,” “intend,” “plan,” “believe,” “seek,” “see,” “will,” “would,” “target,” and similar expressions and variations or negatives of these words.

On December 11, 2015, The Dow Chemical Company (“Dow”) and E. I. du Pont de Nemours and Company (“DuPont”) entered into an Agreement and Plan of Merger, as amended on March 31, 2017, (the “Merger Agreement”) under which the companies would combine in an all-stock merger of equals transaction (the “Merger”). Effective August 31, 2017, the Merger was completed and each of Dow and DuPont became subsidiaries of DowDuPont (Dow and DuPont, and their respective subsidiaries, collectively referred to as the "Subsidiaries").

Forward-looking statements by their nature address matters that are, to varying degrees, uncertain, including the intended separation, subject to approval of the Company’s Board of Directors and customary closing conditions of DowDuPont’s agriculture, materials science and specialty products businesses in one or more tax-efficient transactions on anticipated terms (the “Intended Business Separations”). Forward-looking statements are not guarantees of future performance and are based on certain assumptions and expectations of future events which may not be realized. Forward-looking statements also involve risks and uncertainties, many of which are beyond the Company’s control. Some of the important factors that could cause DowDuPont’s, Dow’s or DuPont’s actual results to differ materially from those projected in any such forward-looking statements include, but are not limited to: (i) costs to achieve and achieving the successful integration of the respective agriculture, materials science and specialty products businesses of Dow and DuPont, anticipated tax treatment, unforeseen liabilities, future capital expenditures, revenues, expenses, earnings, productivity actions, economic performance, indebtedness, financial condition, losses, future prospects, business and management strategies for the management, expansion and growth of the combined operations; (ii) costs to achieve and achievement of the anticipated synergies by the combined agriculture, materials science and specialty products businesses; (iii) risks associated with the Intended Business Separations, including conditions which could delay, prevent or otherwise adversely affect the proposed transactions, including possible issues or delays in obtaining required regulatory approvals or clearances related to the Intended Business Separations, associated costs, disruptions in the financial markets or other potential barriers; (iv) disruptions or business uncertainty, including from the Intended Business Separations, could adversely impact DowDuPont’s business (either directly or as conducted by and through Dow or DuPont), or financial performance and its ability to retain and hire key personnel; (v) uncertainty as to the long-term value of DowDuPont common stock; and (vi) risks to DowDuPont’s, Dow’s and DuPont’s business, operations and results of operations from: the availability of and fluctuations in the cost of feedstocks and energy; balance of supply and demand and the impact of balance on prices; failure to develop and market new products and optimally manage product life cycles; ability, cost and impact on business operations, including the supply chain, of responding to changes in market acceptance, rules, regulations and policies and failure to respond to such changes; outcome of significant litigation, environmental matters and other commitments and contingencies; failure to appropriately manage process safety and product stewardship issues; global economic and capital market conditions, including the continued availability of capital and financing, as well as inflation, interest and currency exchange rates; changes in political conditions, including trade disputes and retaliatory actions; business or supply disruptions; security threats, such as acts of sabotage, terrorism or war, natural disasters and weather events and patterns which could result in a significant operational event for the Company, adversely impact demand or production; ability to discover, develop and protect new technologies and to protect and enforce the Company’s intellectual property rights; failure to effectively manage acquisitions, divestitures, alliances, joint ventures and other portfolio changes; unpredictability and severity of catastrophic events, including, but not limited to, acts of terrorism or outbreak of war or hostilities, as well as management’s response to any of the aforementioned factors. These risks are and will be more fully discussed in the current, quarterly and annual reports filed with the U. S. Securities and Exchange Commission by DowDuPont. While the list of factors presented here is, considered representative, no such list should be considered to be a complete statement of all potential risks and uncertainties. Unlisted factors may present significant additional obstacles to the realization of forward-looking statements. Consequences of material differences in results as compared with those anticipated in the forward-looking statements could include, among other things, business disruption, operational problems, financial loss, legal liability to third parties and similar risks, any of which could have a material adverse effect on DowDuPont’s, Dow’s or DuPont’s consolidated financial condition, results of operations, credit rating or liquidity. None of DowDuPont, Dow or DuPont assumes any obligation to publicly provide revisions or updates to any forward-looking statements whether as a result of new information, future developments or otherwise, should circumstances change, except as otherwise required by securities and other applicable laws. A detailed discussion of some of the significant risks and uncertainties which may cause results and events to differ materially from such forward-looking statements is included in the section titled “Risk Factors” (Part I, Item 1A) of DowDuPont’s 2017 annual report on Form 10-K.

Discussion of segment revenue, operating EBITDA and price/volume metrics on a divisional basis for Agriculture is based on the results of the Agriculture segment; for Materials Science is based on the combined results of the Performance Materials & Coatings, Industrial & Infrastructure, and Packaging & Specialty Plastics segments; and for Specialty Products is based on the combined results of the Electronics & Imaging, Nutrition & Biosciences, Transportation & Advanced Polymers, and Safety & Construction segments. The segment disclosures have been presented in this manner for informational purposes only and should not be viewed as an indication of each division’s current or future operating results on a standalone basis assuming completion of the Intended Business Separations.

The Dow Diamond, DuPont Oval logo, DuPont™, the DowDuPont logo and all products, unless otherwise noted, denoted with ™, ℠ or ® are trademarks, service marks or registered trademarks of The Dow Chemical Company, E. I. du Pont de Nemours and Company, DowDuPont Inc. or their affiliates.

Contact:

DowDuPont
Investors:
Greg Friedman, +1 302-774-4994
greg.friedman@dupont.com
or
Neal Sheorey, +1 989-636-6347
nrsheorey@dow.com
or
Media:
Dan Turner, +1 302-996-8372
daniel.a.turner@dupont.com
or
Rachelle Schikorra, +1 989-638-4090
ryschikorra@dow.com