Decorative Paints – Overview

• Revenue down 1 percent due to unfavorable price/mix and adverse currencies
• Volumes stabilizing but market conditions in Europe remained challenging
• Operating income benefited from lower cost, but was impacted by a weak volume development in mature markets
• Asian revenue grew due to strong volume development in China

Revenue declined 1 percent, mainly due to negative price/mix and unfavorable currency effects. The slowdown in global markets continues to affect the top line. In general volumes stabilized, with some markets, in particular China, making a positive contribution in the quarter. Operating income for the quarter totaled €102 million (9 percent lower than the previous year), mainly due to restructuring costs in mature markets. We have been benefiting from a lower cost basis and lower raw material prices.

Revenue development Q2 2013