We add value as one company

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BASF Capital Market Story October 2015 1 150 years 150 years

We add value as one company

150 years

Hans-Ulrich Engel

CFO of BASF SE

Roadshow Boston & New York

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BASF Capital Market Story October 2015 2

Cautionary note regarding

forward-looking statements

This presentation may contain forward-looking statements that are subject to risks and uncertainties, including those pertaining to the anticipated benefits to be realized from the proposals described herein. Forward-looking statements may include, in particular,

statements about future events, future financial performance, plans, strategies,

expectations, prospects, competitive environment, regulation and supply and demand. BASF has based these forward-looking statements on its views and assumptions with

respect to future events and financial performance. Actual financial performance could differ materially from that projected in the forward-looking statements due to the inherent

uncertainty of estimates, forecasts and projections, and financial performance may be better or worse than anticipated. Given these uncertainties, readers should not put undue reliance on any forward-looking statements. The information contained in this presentation is subject to change without notice and BASF does not undertake any duty to update the

forward-looking statements, and the estimates and assumptions associated with them, except to the extent required by applicable laws and regulations.

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BASF – Share information



Symbol: BAS



Trading Platform: Deutsche Börse



ISIN: DE000BASF111



IPO: January 30, 1952



Type of shares: Registered shares



Trading lot: none, one share is tradable



Free float (according to Deutsche Börse):

100 %



Number of subscribed shares outstanding (as of 12/31/2014):

918,478,694



Symbol: BASFY



OTC Trading Platform: OTCQX



CUSIP: 055262505



Ratio: 1 ADR : 1 Ordinary Share



Depositary bank: Deutsche Bank Trust Company Americas

– Tel: +1 212 250 9100 (New York broker desk)

– Tel: +44 207 547 6500 (London broker desk)

– E-mail: adr@db.com

– Website: www.adr.db.com



Depositary bank’s local custodian: Deutsche Bank AG, Frankfurt

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 Chemistry as an enabler

 BASF has superior growth opportunities:

– sustainable innovations

– investments

– emerging markets

 The #1 chemical company

 €74 billion sales, €7.4 billion EBIT bSI in 2014

 #1-3 in ~70% of businesses, in almost all countries

 6 integrated Verbund sites, production in 60 countries

 A track record of strong sales and earnings growth

 12% average annual dividend increase, >3% yield in every single year*

 ~€63 billion market capitalization Sept. 2015 Perspective * For 2004-2014 Ludwigshafen, Germany Antwerp, Belgium Nanjing, China Kuantan, Malaysia Geismar, USA Freeport, USA Verbund site Positioning

We create chemistry for a sustainable

future

Performance 20 30 40 50 60 70 80 90 2008 2009 2010 2011 2012 2013 2014 2015

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Percentage of sales 2014*

* Not depicted here: ~5% of Group sales reported as ‘Other‘. Paper Chemicals results have been incl. in Performance Products

until the end of 2014. Thereafter Paper Chemicals has been dissolved; ** Natural Gas Trading has been sold Sep. 30, 2015 to Gazprom.

BASF today – a well-balanced portfolio

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Global reduction in carbon emissions of 6 million metric tons/a. and reduction of waste

Example Ludwigshafen site: avoidance of 7 million metric tons of freight/a.

= 280,000 fewer truckloads

Shared use of on-site facilities: fire department, security, waste water treatment and analytics

Verbund: Unique competitive advantage

* Savings include only tangible synergies. Additional (intangible) benefits and retained profits are not included.

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Q3 2015 reporting

Business development

Path forward: Our priorities

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Third-quarter sales and EBIT bSI down in a

difficult economic environment

Sales development

Period Volumes Prices Portfolio Currencies

Q3´15 vs. Q3´14 (1%) (8%)  0% 4% 

Business performance Q3’15 Q3’14* vs. Q3’14*

 Sales €17.4 billion €18.3 billion (5%)

 EBITDA €2.9 billion €2.5 billion +14%

 EBIT before special items €1.6 billion €1.8 billion (10%)

 EBIT €1.9 billion €1.7 billion +8%

 Net income €1.2 billion €1.0 billion +19%

 Reported EPS €1.31 €1.11 +18%

 Adjusted EPS €1.07 €1.24 (14%)

 Operating cash flow €3.4 billion €2.2 billion +51%

* Previous year values restated due to dissolution of disposal group “Natural Gas Trading“

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BASF Capital Market Story October 2015 9 150 years 150 years 0 1 2 3 4 5 2005 2006 2007 2008 2009** 2010 2011 2012 2013 2014 Q1-Q3 2015

Strong free cash development Q1-Q3 2015

* Cash provided by operating activities less capex (in 2005 before CTA)

** 2009 adjusted for re-classification of settlement payments for currency derivatives

Free cash flow*

(in billion €) 3.3 3.5 _3.2 2.5 3.2 3.9 3.7 2.6 3.2 1.7 4.1

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 We aim to increase volumes excluding the effects of acquisitions and divestitures.

 Due to the divestment of the gas trading and storage business as part of the asset swap with Gazprom and the lower oil price we expect sales to be slightly lower than in 2014.

 EBIT before special items is expected to be slightly below the level of 2014. The chemicals business is expected to provide a larger contribution than in 2014. Earnings from crop protection will most likely come in slightly below the level of 2014. In Oil & Gas, results will decline significantly caused by the lower oil price and the divestment of the gas trading and storage business.

 We aim to earn a substantial premium on our cost of capital, but on a lower level than in 2014.

Outlook 2015

 GDP: +2.3% (+2.4%)

 Industrial production: +2.0% (+2.9%)

 Chemical production (excl. pharma): +3.5% (+3.8%)

 US$ / Euro: 1.12 (1.15)

 Brent oil price (US$ / bbl): 55 (60-70)

Assumptions 2015

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Q3 2015 reporting

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 Low growth in Europe, Japan and the U.S.

 Strong growth stimulus in China with spillover effects to other emerging markets

 Lower feedstock costs

 Proliferation of some technologies resulted in increased competition

 Faster build-up of significant new capacities in China resulted in overcapacities

 Faster than expected

commoditization in selected product lines

Market dynamics have changed since 2011

Fundamental trends intact; environment

for chemical industry more challenging

CAGR 2010 - 2015 2011 view today’s view

Global GDP

3.4%

2.6%

Industrial production

4.6%

3.2%

Chemical production

(excl. pharma)

4.9%

3.9%

►thereof growth contribution

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Components of growth

* 2010, 2011 indicative, adjusted by IFRS 10 & 11 59,6 74,3 8,7 4,9 -[VALUE] 2,8 20 40 60 80 2010 2014 Volumes Prices FX M&A Sales* analysis 2010 – 2014 (in billion €)

Net sales 2010 Volumes Prices FX M&A Sales CAGR 2010 - 2014 BASF Group

w/o Oil & Gas 51.4

+3.2

(+1.5% CAGR) +3.9 -1.6 +2.2 +3.6%

Oil & Gas 8.2 +5.5

(+13.7% CAGR) +1.0 -0.1 +0.6 +15.7%

5.7%

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 Functional crop care

 Personal care & food

 Omega-3 fatty acids

 Enzymes

 Battery materials

 Specialty plastics

 Selected assets in Oil & Gas

 …

BASF

core business

Strong partnerships  Gazprom  Monsanto  Petronas  Shell  Sinopec  Statoil  Total  Yara Selected transactions 2010 − until today

Acquisitions

~ €4.5 billion sales

in emerging and

innovation-driven

businesses

Divestitures

 Styrenics  Fertilizers  Construction equipment, flooring and wall systems

 Decorative paints in Europe

 Selected assets in Oil & Gas

 Natural gas trading

 Custom synthesis business

~ €20 billion sales*

in businesses with

limited fit and

differentiation

potential

Portfolio development towards more

market-driven and innovative businesses

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Steady earnings growth

* 2010, 2011 indicative, adjusted by IFRS 10 & 11; 2001 – 2009 as reported, without non-compensable foreign income taxes on oil production

EBIT and EBITDA*

(in billion €, 2001 - 2014) 3,7 4,7 4,6 7,0 7,2 8,4 8,9 7,7 6,5 9,9 11,2 10,0 10,4 11,0 8,8 0 2 4 6 8 10 12 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Q1 - 3 2015 EBIT EBITDA 0,7 2,2 _2,2 4,5 4,8 5,5 6,0 4,6 2,8 6,7 8,0 6,7 7,2 7,6 5,9 CAGR EBITDA 8.9 % CAGR EBIT 19.8 %

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BASF Capital Market Story October 2015 16 50 100 150 200 250 300 350 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Strong track record in operational

excellence

EBITDA

Sales

* Excl. companies with major IFRS 10/11 restatements, i.e. BASF YPC Nanjing, Libya onshore, other Oil & Gas and Catalysts companies

BASF Group* 2001–2014 (Index; CAGR 2001–2014) Fixed Costs CAGR EBITDA 9% CAGR Sales 7% CAGR Fixed Costs 3%

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 We want to grow or at least maintain our dividend

 Dividend paid out per share €2.80, an increase of 3.7%

 Average annual dividend increase of approx. 12% (2005-2014)

 Attractive dividend yield of 4.0% in 2014**

 Dividend yield above 3% in any given year since 2005

3.7%

Key facts Dividend per share

(in €) 0,0 0,5 1,0 1,5 2,0 2,5 3,0 2005 2008 2011 2014 0.50 1.00 1.50 2.00

* Dividend yield based on share price at year-end

3.1% 4.1% 3.8% 7.0% 3.9%

Yield*

** Based on BASF share price of €69.88 on Dec 30, 2014

4.6% 2.50 3.7% 3.00 3.5% 4.0% 1.00 1.50 1.95 1.95 1.70 2.20 2.50 2.60 2.70 2.80 Dividend policy

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Average annual performance

with dividends reinvested

0 3 6 9 12 15 18 21 24 27 30 33 36 39

Euro Stoxx 50

DAX 30

MSCI World Chemicals +6.7% Last 5 years October 2010 – September 2015 +11.9% +5.7% +9.2% +8.7% Last 10 years October 2005 – September 2015 BASF +7.5% +2.1% +35.2%

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Q3 2015 reporting

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Our strategic principles

We add value

as one company.

We innovate to make

our customers more

successful.

We drive

sustainable solutions.

We form

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CAGR 2015 - 2020

2011 view

today’s view

Global GDP

3.2%

3.0%

Industrial production

3.7%

3.5%

Chemical production (excl. pharma)

4.0%

3.9%

►thereof growth contribution of

emerging markets

89%

82%

Fundamental trends intact; chemical

production growing faster than GDP

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

Grow sales and earnings faster than global chemical production,

driven by

–

Continued focus on innovations

–

Capital expenditures

–

Acquisitions

–

Operational excellence and Verbund advantages



Focus on cash generation / conversion



Continue with our progressive dividend policy



Focus on pruning our portfolio



Maintain industry-leading position in sustainability

The way forward:

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Managing volatility: BASF almost perfectly

hedged on hydrocarbon price changes

BASF production and consumption of oil and gas

(in million boe, 2014)

BASF hydrocarbon consumption almost equals hydrocarbon production

Production of oil, liquids and gas Consumption of oil derivatives and gas 136 >100 Natural gas Oil and liquids

Natural gas for energy and as raw material

Naphtha and other oil based raw materials

31

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Strategic lever:

Continuous portfolio development

Specialties and

solutions

Differentiated

commodities

target (in % of sales*)

~ 50%

Keep a balanced portfolio

Divestment of businesses e.g. due to loss of differentiation Divestment of businesses e.g. due to lower market attractiveness Commoditization leads to restructuring Growth fields Innovation pipeline Acquisitions

* Excluding Oil & Gas sales

 Attractive markets

 Differentiation by process technologies and integration

 Attractive markets

 Differentiation by customer proximity and innovations

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 Provide a minimum return on investment of 8% p.a. after tax

 Are EPS accretive by year three at the latest

Financial acquisition criteria

 Generate profitable growth above the industry average

 Are innovation-driven

 Offer a special value proposition to customers

 Reduce earnings cyclicality

Strategic acquisition criteria

We want to acquire businesses which …

Strategic lever:

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Strategic lever:

Capital expenditures – our philosophy

Differentiated commodities



With proprietary technology and/or Verbund advantages



Focus on:

–

emerging markets

–

backward integration in the US

–

upgrading our asset base in Europe

Specialties and solutions



Incremental investments for new products



Regional expansion of businesses

Oil & Gas



Focus

investment budget by active portfolio optimization to secure free cash flow

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Selected major capex projects

Implementation of increased capex

program will drive profitable growth

 Temporarily increased capex is necessary

– to build the base for further growth

– to strengthen our value chains

– to increase our footprint in emerging markets

 Capex peaked in 2014 with €5.4 billion**

Capex spending

* W/o China; ** Investments in property, plant and equipment (without acquisitions)

. Care chemicals Polymer dispersions Polyurethane specialties Specialty plastics North America Cracker flexibilization and expansion Battery materials

Dispersion polymers _{Asia Pacific*}

South America

Automotive coatings Crop protection products Oil & Gas

Europe

Aroma chemicals SAP Crop protection products Automotive catalysts Butadiene Admixture systems Specialty plastics Oil & Gas

China

Cracker expansion Amines Surfactants Acrylic acid & SAP Resins Specialty plastics Crop protection

products Innovation Campus

Start-ups 2011 - 2014 Start-ups planned for 2015 - 2017

TDI complex Precious metal recycling Specialty amines Crop protection products Oil & Gas

Acrylic acid & SAP Acrylates

Crop protection products Oil & Gas

Chelating agents Polyurethane systems Formic acid

Butanediol expansion Crop protection products Ammonia MDI Polyamides Butanediol / PolyTHF® Neopentylglycol Specialty amines Ethylene oxide Isononanol Coating resins Automotive catalysts Process catalysts Automotive catalysts Polymer dispersions Specialty plastics Aroma chemicals 2-Ethylhexanoic acid Polyisobutene Innovation Campus

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Investments for organic growth

Performance Products 15%

Oil & Gas 21%

€19.5

billion

Functional Materials & Solutions 13% Capex budget 2015-2019 Other 12% Chemicals 33% Capex budget 2015-2019 Asia Pacific 18%

€19.5

billion

South America* 8% North America 27% Europe 45% Agricultural Solutions 6% Other 2%

(by segment) (by region)

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Customers BASF

Suppliers

Energy & climate protection

 Greenhouse gas reduction* of 40% by 2020 (base 2002)  Energy efficiency: Introduction of certified energy

management system at all major sites by 2020

Water

 Introduction of sustainable water management at all relevant sites by 2025

Safety, health and security

 “Risk assessment” of products by 2020 >99%  Health Performance Index** (annual goal) >0.9  Lost-time injuries*** by 2025 0.5  Process safety incidents*** by 2025 0.5

Employees

 Women in leadership positions  Non-German senior executives

 Senior executives with international experience >80%

Evaluation of 70% of relevant suppliers with regard to their sustainability

performance by 2020

Increase the share of Accelerators from 23% to 28% by 2020

Strategic lever: Sustainability

Sustainability goals along the value chain

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2.6% 0.3%

 Novel methodology to screen and steer our portfolio*

 23% Accelerators:

– outgrow their markets by 2-10%

– deliver margins >10% above the average

– represent >60% of BASF’s R&D pipeline

 74% Performers

 <1% Challenged products

* 60,000 product applications analyzed; covering 98.3% of the relevant portfolio or €66.3bn. in sales (2014 data)

Increase the share of Accelerators from 23% in 2014 to 28% by 2020

Strategic lever: Sustainability

Sustainable Solution Steering

23%

74.1%

Substantial sustainability contribution in the value chain

Meets basic sustainability standards in the market

Specific sustainability issue which is actively addressed

Significant sustainability concern, action plan in development

Sustainable

Solution

Steering

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BASF Capital Market Story October 2015 31 150 years 150 years 0 1,000 2,000 3,000 4,000 5,000 2015 2018

Annual earnings contribution

(in million €)

 Targeted annual earnings

contribution of €1 billion by end of 2018

 Optimization of processes and structures in all regions, e.g.

– manufacturing

– incremental capacities

– productivity increase

 Project timeline: 2016–2018

DrivE program

Strategic lever: Operational excellence

DrivE with ~€1 bn earnings contribution

Former cost saving programs pre- 2008

NEXT 2008-2011 DrivE 2016-2018

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Profitability of BASF will grow faster than

global chemical production



Sales growth*

Slightly faster than the global chemical production



EBITDA growth

Well above global chemical production



Remain a strong cash provider

Continuously generate high levels of free cash flow

Financial targets for next years



Deliver attractive returns

Earn a significant premium on cost of capital

* Without considering Natural Gas Trading and Storage business



Progressive dividend policy

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Appendix I – Q3 2015 reporting

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Chemicals

Slight earnings growth despite start-up costs

Intermediates 707 +1% Monomers 1,522 (4%) Petrochemicals 1,411 (26%)

€3,640

(13%)

Sales development

Q3’15 vs. Q3’14 (2%) (16%)  (2%)  7%

Q3’15 segment sales (in million €) vs. Q3’14 EBIT before special items (in million €)

616 580 726 548 633 0 200 400 600 800 Q3 Q4 Q1 Q2 Q3 2015 2014  

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BASF Capital Market Story October 2015 35 150 years 150 years Performance Chemicals 1,009 (2%)

Performance Products

Earnings impacted by challenging market conditions

Care Chemicals 1,218 +1%

€3,899

(1%)

Nutrition & Health 496 (5%) Dispersions & Pigments 1,176 +1% Sales development

Q3’15 vs. Q3’14 (2%) (4%) (1%) 6%

Q3’15 segment sales (in million €) vs. Q3’14 EBIT before special items (in million €)

  _ 376 217 515 304 319 0 200 400 600 Q3 Q4 Q1 Q2 Q3 2015 2014 

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Functional Materials & Solutions

Earnings growth on continued good demand in automotive

and construction

Catalysts 1,472 (6%) Construction Chemicals 614 +9% Coatings 753 +2%

€4,517

0%

Q3’15 segment sales (in million €) vs. Q3’14

Sales development

Q3’15 vs. Q3’14 (1%) (5%) 0% 6% Performance Materials 1,678 +1% 

EBIT before special items (in million €)

 310 220 431 458 371 0 200 400 600 Q3 Q4 Q1 Q2 Q3 2015 2014 

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Agricultural Solutions

Difficult market environment impacts earnings

in seasonally slow quarter

Sales development

Q3’15 vs. Q3’14  6%  10% 0% (10%) 

Q3’15 segment sales (million €) vs. Q3’14

0 50 100 Q3 Q3 0 300 600 900 1.200 Q3 Q3 1,077 7 43 1,018

EBIT before special items (million €)

2015

2014 2014 2015

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Oil & Gas

Higher earnings in Exploration & Production

Sales development

Period Volumes Price/Currencies Portfolio

Q3’15 vs. Q3’14 2% (6%)  2%

* Previous year values restated due to dissolution of disposal group “Natural Gas Trading“

  9 176 236 79 625 0 100 200 300 400 500 600 700

Q3/2014 Net Income Q3/2015 Net Income Exploration & Production 667 +9% Natural Gas Trading 2,939 (4%)

€3,606

(2%)

Q3’15 segment sales (million €) vs. Q3’14 EBIT bSI/Net income (million €)

Natural Gas Trading Exploration & Production

Net income

436*

260

292

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* incl. Gas Marketing Company ** Economic interest of BASF

Oil & Gas

Impact of projects with Gazprom on BASF’s P&L

Oil & Gas EBIT Financial results

= Income before taxes and minority interests

./. Income taxes ./. Minority interests = Net income OPAL 50.02% At-equity consolidation

(share of net income shown in the EBIT)

Achimgaz (Achimov area IA) Wintershall AG

(Libya)

51%

Nord Stream (I) (offshore)

15.5%

GASCADE

50.02%

Planned Nord Stream (II)

(offshore) 10% NEL Planned Achimov area IV/V* 25% + 1 share Wintershall Noordzee (Netherlands) 50% 50% Yuzhno Russkoye (SNGP) 35%** Yuzhno Russkoye Gas Mktg C. Upstream

Natural Gas Transport

100%

49.98% entitled to Gazprom Upstream

Natural Gas Transport

50.02%

50.02% entitled to BASF Proportionally/

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Review of ’Other’

Million € Q3´15 Q3´14

Sales 685 977

EBIT before special items (98) (7)

Thereof corporate research costs group corporate costs

currency results, hedges and other valuation effects

other businesses (104) (53) 22 30 (96) (53) 100 23 Special items 26 (20) EBIT (72) (27)

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Million € Q1-Q3’15 Q1-Q3’14*

Cash provided by operating activities 8,494 4,932

Thereof changes in net working capital miscellaneous items

2,500 (497)

(900) (181)

Cash used in / provided by investing activities (4,955) (3,785)

Thereof payments related to tangible / intangible assets (4,387) (3,587)

acquisitions / divestitures 227 355

Cash used in financing activities (3,504) (995)

Thereof changes in financial liabilities dividends

(649) (2,900)

1,661 (2,656)

* Previous-year figures restated due to dissolution of disposal group “Natural Gas Trading“

Q1-Q3 2015

 Cash flow from operating activities increased by 72% to €8.5 billion

 Cash inflow from changes in net working capital of €2.5 billion

 Free cash flow improved to €4.1 exceeding free cash flow of FY 2014

Cash Flow

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Balance sheet remains strong

Balance sheet September 30, 2015 vs. December 31, 2014* (in billion €) Liquid funds Trade accounts receivable Long-term assets 10.4 1.7 Dec 31 2014 Sep 30 2015 Inventories Other assets 11.3 4.1 9.7 1.8 9.7 4.3 28.2 27.8 30.6 43.9 71.4 72.3 45.7 15.4 25.3 15.5 1.1 0.5 Disposal group Highlights September 30, 2015  Total assets increased slightly

by ~€1 billion to €72.3 billion

 Inventories decreased by ~€1.6 billion

 Trade accounts receivable down by €0.7 billion

 Net debt nearly unchanged at €13.8 billion

 Equity up ~€2 billion and an equity ratio of 42% Provisions & other liabilities Financial debt Equity Sep 30 2015 Dec 31 2014 71.4 72.3 Disposal group 28.2 27.8 30.1 15.4 26.2 15.5 0.5

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