Eastman Chemical Company

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Eastman Chemical Company (NYSE:EMN) $101.81 $106.77 $30.79 $84.64 $71.00 $85.77 $55.19 $66.70 $75.84 $88.37 $63.41 $79.59 $29.62 $29.36 $30.43 $31.40 $44.10 $32.70 $46.09 $62.70 $196.16 $172.21 $78.25 $203.03 $166.29 $141.45 $181.52 $189.63 $152.01 $111.92 $143.32 $147.57 $98.30 $114.53 $120.79 $124.81 $107.56 $119.89 $162.74 $81.45 $- $50 $100 $150 $200 $250 $300 $350 $400 $450 Price/2017E EPS Price/2016E EPS Price/LTM EPS Price/2015A EPS Price to Earnings EV/2017E EBIT EV/2016E EBIT EV/LTM EBIT EV/2015A EBIT Enterprise Value to EBIT EV/2017E EBITDA EV/2016E EBITDA EV/LTM EBITDA EV/2015A EBITDA Enterprise Value to EBITDA EV/2017ERevenue EV/2016E Revenue EV/LTM Revenue EV/2015A Revenue Enterprise Value to Revenue Comparable Companies Analysis DCF: Exit Multiple Method DCF: Perpetuity Growth Method Discounted Cash Flow Analysis Median Valuation Range 52-Week Trading Range Discounted Cash Flow and Comparable Companies Analysis 25th to Median Median to 75th; Trading Range and DCF are described from minimum to maximum

Transcript of Eastman Chemical Company

Page 1: Eastman Chemical Company

Eastman Chemical Company (NYSE:EMN)

$101.81

$106.77

$30.79

$84.64

$71.00

$85.77

$55.19

$66.70

$75.84

$88.37

$63.41

$79.59

$29.62

$29.36

$30.43

$31.40

$44.10

$32.70

$46.09

$62.70

$196.16

$172.21

$78.25

$203.03

$166.29

$141.45

$181.52

$189.63

$152.01

$111.92

$143.32

$147.57

$98.30

$114.53

$120.79

$124.81

$107.56

$119.89

$162.74

$81.45

$- $50 $100 $150 $200 $250 $300 $350 $400 $450

Price/2017E EPS

Price/2016E EPS

Price/LTM EPS

Price/2015A EPS

Price to Earnings

EV/2017E EBIT

EV/2016E EBIT

EV/LTM EBIT

EV/2015A EBIT

Enterprise Value to EBIT

EV/2017E EBITDA

EV/2016E EBITDA

EV/LTM EBITDA

EV/2015A EBITDA

Enterprise Value to EBITDA

EV/2017ERevenue

EV/2016E Revenue

EV/LTM Revenue

EV/2015A Revenue

Enterprise Value to Revenue

Comparable Companies Analysis

DCF: Exit Multiple Method

DCF: Perpetuity Growth Method

Discounted Cash Flow Analysis

Median Valuation Range

52-Week Trading Range

Discounted Cash Flow and Comparable Companies Analysis

25th to Median Median to 75th; Trading Range and DCF are described from minimum to maximum

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Discounted Cash Flow Analysis — Perpetuity Growth Method Operating Scenario: Base(Values in millions, USD, except per-share data) Fiscal Year Ended December 31,Operating Scenario 1Mid-Year Convention Y CAGR CAGRInclude Other Income Y 2013 A 2014 A 2015 A ('13-'15) 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E ('16-'21)Total Revenue $9,350.0 $9,527.0 $9,648.0 1.6% $9,841.0 $10,057.5 $10,308.9 $10,563.8 $10,822.0 $11,083.6 2.4%

% Growth NA 1.9% 1.3% 2.0% 2.2% 2.5% 2.5% 2.4% 2.4%Cost of Goods Sold 6,141.0 6,856.0 6,497.0 6,724.1 6,872.0 7,043.8 7,218.0 7,394.4 7,573.2Gross Profit 3,209.0 2,671.0 3,151.0 (0.9%) 3,116.8 3,185.4 3,265.1 3,345.8 3,427.6 3,510.4 2.4%

% Margin 34.3% 28.0% 32.7% 31.7% 31.7% 31.7% 31.7% 31.7% 31.7%Total Operating Expenses 914.0 1,059.0 1,196.0 1,219.9 1,246.8 1,277.9 1,309.5 1,341.5 1,374.0Other Income (3.0) 15.0 8.0 9.8 10.1 10.3 10.6 10.8 11.1EBITDA 2,292.0 1,627.0 1,963.0 (7.5%) 1,906.8 1,948.7 1,997.4 2,046.8 2,096.9 2,147.5 2.4%

% Margin 24.5% 17.1% 20.3% 19.4% 19.4% 19.4% 19.4% 19.4% 19.4%Depreciation & Amortization 433.0 450.0 571.0 579.5 646.0 712.8 779.7 846.7 913.8EBIT 1,859.0 1,177.0 1,392.0 (13.5%) 1,327.3 1,302.7 1,284.6 1,267.1 1,250.1 1,233.8 (1.5%)

% Margin 19.9% 12.4% 14.4% 13.5% 13.0% 12.5% 12.0% 11.6% 11.1%Income Tax Expense 507.0 235.0 275.0 262.2 257.4 253.8 250.3 247.0 243.7EBIAT 1,352.0 942.0 1,117.0 (9.1%) 1,065.1 1,045.3 1,030.8 1,016.8 1,003.2 990.0 (1.5%)Plus: Depreciation & Amortization 433.0 450.0 571.0 579.5 646.0 712.8 779.7 846.7 913.8Less: Capital Expenditures (483.0) (593.0) (652.0) (665.0) (665.4) (667.5) (669.1) (670.1) (670.6)Less: Inc./(Dec.) in Operating Working Capital (43.0) (105.0) 278.0 (65.5) (22.6) (26.2) (26.6) (26.9) (27.3)Unlevered Free Cash Flow $1,259.0 $694.0 $1,314.0 2.2% $914.0 $1,003.4 $1,049.9 $1,100.9 $1,152.8 $1,205.9 5.7%

WACC 7.9%Discount Period 0.5 1.5 2.5 3.5 4.5Discount Factor 0.96 0.89 0.83 0.77 0.71

Present Value of Free Cash Flow $965.9 $936.8 $910.3 $883.5 $856.5

cc ccCumulative Present Value of FCF $4,552.9 Enterprise Value $20,551.0 Enterprise Value $20,551.0

Less: Total Debt (10,973.0) LTM EBITDA $1,977.4Terminal Value Less: Preferred EquityTerminal Year Free Cash Flow (2021E) $1,205.9 Less: Noncontrolling Interest (75.0) Implied EV/EBITDA 10.4xPerpetuity Growth Rate 2.4% Less: Cash and Cash Equivalents (207.0)

WACC 7.9%Discount Factor 0.71 Implied Equity Value $9,296.0

Terminal Value $22,525.0 Risk Free Rate (10-Year US Treasury) 2.417%Present Value of Terminal Value $15,998.1 Fully Diluted Shares Outstanding 146.8 Long-Term Growth Rate of Sector

% of Enterprise Value 77.8% Long-Term Rate of InflationEnterprise Value $20,551.0 Implied Share Price $63.35 Long-Term GDP Growth Rate

Eastman Chemical Company (NYSE:EMN)

Historical Period

Implied EV/EBITDAImplied Equity Value and Share PriceEnterprise Value – PGM

Projection Period

Choices as to Perpetuity Growth Rate

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Discounted Cash Flow Analysis — Perpetuity Growth Method Operating Scenario: Base(Values in millions, USD, except per-share data) Fiscal Year Ended December 31,Sensitivity Analysis

1.8% 2.1% 2.4% 2.7% 3.0% 1.8% 2.1% 2.4% 2.7% 3.0%9.0% 16,053 16,614 17,227 17,901 18,646 9.0% 17,082 17,907 18,809 19,801 20,8978.4% 17,315 17,983 18,719 19,534 20,443 8.4% 18,450 19,410 20,470 21,644 22,9537.9% 18,797 19,602 $20,498.9 21,503 22,634 7.9% 20,055 21,189 $22,451.6 23,865 25,4577.4% 20,561 21,549 22,661 23,921 25,361 7.4% 21,966 23,327 24,858 26,593 28,5756.8% 22,697 23,933 25,343 26,964 28,849 6.8% 24,280 25,945 27,843 30,026 32,564

1.8% 2.1% 2.4% 2.7% 3.0% 1.8% 2.1% 2.4% 2.7% 3.0%9.0% 72.3% 73.2% 74.2% 75.2% 76.2% 9.0% 4,798 5,359 5,972 6,646 7,3918.4% 74.0% 75.0% 76.0% 77.0% 78.0% 8.4% 6,060 6,728 7,464 8,279 9,1887.9% 75.8% 76.8% 77.8% 78.8% 79.9% 7.9% 7,542 8,347 $9,243.9 10,248 11,3797.4% 77.6% 78.6% 79.7% 80.7% 81.8% 7.4% 9,306 10,294 11,406 12,666 14,1066.8% 79.4% 80.5% 81.6% 82.7% 83.8% 6.8% 11,442 12,678 14,088 15,709 17,594

1.8% 2.1% 2.4% 2.7% 3.0% 1.8% 2.1% 2.4% 2.7% 3.0%9.0% 32.70 36.52 40.70 45.29 50.36 9.0% 8.1x 8.4x 8.7x 9.1x 9.4x8.4% 41.30 45.84 50.86 56.42 62.61 8.4% 8.8x 9.1x 9.5x 9.9x 10.3x7.9% 51.39 56.88 $62.99 69.83 77.54 7.9% 9.5x 9.9x 10.4x 10.9x 11.4x7.4% 63.41 70.15 77.72 86.31 96.12 7.4% 10.4x 10.9x 11.5x 12.1x 12.8x6.8% 77.97 86.39 96.00 107.05 119.89 6.8% 11.5x 12.1x 12.8x 13.6x 14.6x

Assumptions of Sensitivity AnalysisPerpetuity Growth Rate

Difference between minimum and maximum possible Perpetuity Growth Rate: 0.620%WACC

Difference between minimum and maximum possible WACC: 1.065%Note

In the sensitivity analysis tables above, shaded regions indicate the boundary defined by Perpetuity Growth Rate and WACC minima and maxima, while the white regions are slightly beyond the likely minima and maxima.

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Perpetuity Growth RatePV of Terminal Value % of Enterprise Value

Perpetuity Growth Rate

Implied Share PricePerpetuity Growth Rate

Implied Enterprise Value / LTM EBITDAPerpetuity Growth Rate

Perpetuity Growth RateEnterprise Value Terminal Value

Perpetuity Growth Rate

Implied Equity Value

Eastman Chemical Company (NYSE:EMN)

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Discounted Cash Flow Analysis — Exit Multiple Method Operating Scenario: BaseFiscal Year Ended December 31,

Operating Scenario 1Mid-Year Convention Y CAGR CAGRInclude Other Income Y 2013 A 2014 A 2015 A ('13-'15) 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E ('16-'21)Total Revenue $9,350.0 $9,527.0 $9,648.0 1.6% $9,841.0 $10,057.5 $10,308.9 $10,563.8 $10,822.0 $11,083.6 2.4%

% Growth NA 1.9% 1.3% 2.0% 2.2% 2.5% 2.5% 2.4% 2.4%Cost of Goods Sold 6,141.0 6,856.0 6,497.0 6,724.1 6,872.0 7,043.8 7,218.0 7,394.4 7,573.2Gross Profit 3,209.0 2,671.0 3,151.0 (0.9%) 3,116.8 3,185.4 3,265.1 3,345.8 3,427.6 3,510.4 2.4%

% Margin 34.3% 28.0% 32.7% 31.7% 31.7% 31.7% 31.7% 31.7% 31.7%Total Operating Expenses 914.0 1,059.0 1,196.0 1,219.9 1,246.8 1,277.9 1,309.5 1,341.5 1,374.0Other Income (3.0) 15.0 8.0 9.8 10.1 10.3 10.6 10.8 11.1EBITDA 2,292.0 1,627.0 1,963.0 (7.5%) 1,906.8 1,948.7 1,997.4 2,046.8 2,096.9 2,147.5 2.4%

% Margin 24.5% 17.1% 20.3% 19.4% 19.4% 19.4% 19.4% 19.4% 19.4%Depreciation & Amortization 433.0 450.0 571.0 579.5 646.0 712.8 779.7 846.7 913.8EBIT 1,859.0 1,177.0 1,392.0 (13.5%) 1,327.3 1,302.7 1,284.6 1,267.1 1,250.1 1,233.8 (1.5%)

% Margin 19.9% 12.4% 14.4% 13.5% 13.0% 12.5% 12.0% 11.6% 11.1%Income Tax Expense 507.0 235.0 275.0 262.2 257.4 253.8 250.3 247.0 243.7EBIAT 1,352.0 942.0 1,117.0 (9.1%) 1,065.1 1,045.3 1,030.8 1,016.8 1,003.2 990.0 (1.5%)Plus: Depreciation & Amortization 433.0 450.0 571.0 579.5 646.0 712.8 779.7 846.7 913.8Less: Capital Expenditures (483.0) (593.0) (652.0) (665.0) (665.4) (667.5) (669.1) (670.1) (670.6)Less: Inc./(Dec.) in Net Working Capital (43.0) (105.0) 278.0 (65.5) (22.6) (26.2) (26.6) (26.9) (27.3)Unlevered Free Cash Flow $1,259.0 $694.0 $1,314.0 2.2% $914.0 $1,003.4 $1,049.9 $1,100.9 $1,152.8 $1,205.9 5.7%

WACC 7.9%Discount Period 0.5 1.5 2.5 3.5 4.5Discount Factor 0.96 0.89 0.83 0.77 0.71

Present Value of Free Cash Flow $965.9 $936.8 $910.3 $883.5 $856.5

cc ccCumulative Present Value of FCF $4,552.9 Enterprise Value $22,173.3 Terminal Year Free Cash Flow (2021E) $1,205.9

Less: Total Debt (10,973.0) WACC 7.9%Terminal Value Less: Preferred Equity 0.0 Terminal Value $25,770.5Terminal Year EBITDA (2021E) $2,147.5 Less: Noncontrolling Interest (75.0)Exit Multiple (EV/EBITDA) 12.0x Less: Cash and Cash Equivalents (207.0) Implied Perpetuity Growth Rate 2.9%

Terminal Value $25,770.5Discount Factor 0.68 Implied Equity Value $10,918.3

Present Value of Terminal Value $17,620.4 Enterprise Value $22,173.3% of Enterprise Value 79.5% Fully Diluted Shares Outstanding 146.8 LTM EBITDA $1,977.4

Enterprise Value $22,173.3 Implied Share Price $74.40 Implied EV/EBITDA 11.2x

Implied EV/EBITDA

Eastman Chemical Company (NYSE:EMN)

Historical Period Projection Period

Enterprise Value – EMM Implied Equity Value and Share Price Implied Perpetuity Growth Rate

Page 5: Eastman Chemical Company

Discounted Cash Flow Analysis — Exit Multiple Method Operating Scenario: BaseFiscal Year Ended December 31,

Sensitivity Analysis

9.5x 10.8x 12.0x 13.3x 14.5x 9.5x 10.8x 12.0x 13.3x 14.5x9.0% 17,726 19,474 21,221 22,969 24,716 9.0% 74.9% 77.2% 79.1% 80.6% 82.0%8.4% 18,109 19,900 21,691 23,481 25,272 8.4% 75.2% 77.4% 79.3% 80.8% 82.2%7.9% 18,502 20,338 $22,173.3 24,009 25,844 7.9% 75.4% 77.6% 79.5% 81.0% 82.4%7.4% 18,907 20,789 22,670 24,551 26,433 7.4% 75.6% 77.8% 79.7% 81.2% 82.6%6.8% 19,324 21,252 23,181 25,110 27,039 6.8% 75.9% 78.0% 79.9% 81.4% 82.7%

9.5x 10.8x 12.0x 13.3x 14.5x 9.5x 10.8x 12.0x 13.3x 14.5x9.0% 6,471 8,219 9,966 11,714 13,461 9.0% 44.10 56.01 67.91 79.82 91.738.4% 6,854 8,645 10,436 12,226 14,017 8.4% 46.70 58.91 71.11 83.31 95.527.9% 7,247 9,083 $10,918.3 12,754 14,589 7.9% 49.39 61.89 $74.40 86.91 99.417.4% 7,652 9,534 11,415 13,296 15,178 7.4% 52.14 64.96 77.79 90.61 103.436.8% 8,069 9,997 11,926 13,855 15,784 6.8% 54.98 68.13 81.27 94.41 107.56

9.5x 10.8x 12.0x 13.3x 14.5x 9.5x 10.8x 12.0x 13.3x 14.5x9.0% 2.6% 3.3% 3.9% 4.3% 4.7% 9.0% 9.0x 9.8x 10.7x 11.6x 12.5x8.4% 2.1% 2.8% 3.4% 3.8% 4.2% 8.4% 9.2x 10.1x 11.0x 11.9x 12.8x7.9% 1.7% 2.3% 2.9% 3.4% 3.7% 7.9% 9.4x 10.3x 11.2x 12.1x 13.1x7.4% 1.2% 1.9% 2.4% 2.9% 3.2% 7.4% 9.6x 10.5x 11.5x 12.4x 13.4x6.8% 0.7% 1.4% 1.9% 2.4% 2.7% 6.8% 9.8x 10.7x 11.7x 12.7x 13.7x

Assumptions of Sensitivity AnalysisExit Multiple (EV/EBITDA)

Difference between minimum and maximum possible Exit Multiple (EV/EBITDA): 2.500xWACC

Difference between minimum and maximum possible WACC: 1.065%Note

In the sensitivity analysis tables above, shaded regions indicate the boundary defined by Exit Multiple and WACC minima and maxima, while the white regions are slightly beyond the likely minima and maxima.

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Exit Multiple (EV/EBITDA) Exit Multiple (EV/EBITDA)

Implied Equity Value Implied Share PriceExit Multiple (EV/EBITDA) Exit Multiple (EV/EBITDA)

Implied Perpetuity Growth Rate Implied Enterprise Value / LTM EBITDA

Eastman Chemical Company (NYSE:EMN)

Enterprise Value PV of Terminal Value % of Enterprise ValueExit Multiple (EV/EBITDA) Exit Multiple (EV/EBITDA)

Page 6: Eastman Chemical Company

Discounted Cash Flow Analysis — Perpetuity Growth Method Operating Scenario: Upside(Values in millions, USD, except per-share data) Fiscal Year Ended December 31,Operating Scenario 3Mid-Year Convention Y CAGR CAGRInclude Other Income Y 2013 A 2014 A 2015 A ('13-'15) 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E ('16-'21)Total Revenue $9,350.0 $9,527.0 $9,648.0 1.6% $9,889.2 $10,156.2 $10,460.9 $10,771.8 $11,089.0 $11,412.5 2.9%

% Growth NA 1.9% 1.3% 2.5% 2.7% 3.0% 3.0% 2.9% 2.9%Cost of Goods Sold 6,141.0 6,856.0 6,497.0 6,757.1 6,939.5 7,147.7 7,360.2 7,576.9 7,797.9Gross Profit 3,209.0 2,671.0 3,151.0 (0.9%) 3,132.1 3,216.7 3,313.2 3,411.7 3,512.1 3,614.6 2.9%

% Margin 34.3% 28.0% 32.7% 31.7% 31.7% 31.7% 31.7% 31.7% 31.7%Total Operating Expenses 914.0 1,059.0 1,196.0 1,127.0 1,157.4 1,192.2 1,227.6 1,263.7 1,300.6Other Income (3.0) 15.0 8.0 11.9 12.2 12.6 12.9 13.3 13.7EBITDA 2,292.0 1,627.0 1,963.0 (7.5%) 2,017.0 2,071.4 2,133.6 2,197.0 2,261.7 2,327.7 2.9%

% Margin 24.5% 17.1% 20.3% 20.4% 20.4% 20.4% 20.4% 20.4% 20.4%Depreciation & Amortization 433.0 450.0 571.0 584.8 657.4 731.0 805.5 880.8 957.0EBIT 1,859.0 1,177.0 1,392.0 (13.5%) 1,432.2 1,414.0 1,402.6 1,391.5 1,380.9 1,370.6 (0.9%)

% Margin 19.9% 12.4% 14.4% 14.5% 13.9% 13.4% 12.9% 12.5% 12.0%Income Tax Expense 507.0 235.0 275.0 282.9 279.4 277.1 274.9 272.8 270.8EBIAT 1,352.0 942.0 1,117.0 (9.1%) 1,149.2 1,134.7 1,125.5 1,116.6 1,108.1 1,099.9 (0.9%)Plus: Depreciation & Amortization 433.0 450.0 571.0 584.8 657.4 731.0 805.5 880.8 957.0Less: Capital Expenditures (483.0) (593.0) (652.0) (693.0) (697.4) (703.5) (709.2) (714.4) (719.1)Less: Inc./(Dec.) in Operating Working Capital (43.0) (105.0) 278.0 (65.5) (22.6) (26.2) (26.6) (26.9) (27.3)Unlevered Free Cash Flow $1,259.0 $694.0 $1,314.0 2.2% $975.5 $1,072.2 $1,126.8 $1,186.4 $1,247.6 $1,310.6 6.1%

WACC 7.9%Discount Period 0.5 1.5 2.5 3.5 4.5Discount Factor 0.96 0.89 0.83 0.77 0.71

Present Value of Free Cash Flow $1,032.2 $1,005.3 $981.0 $956.1 $930.8

cc ccCumulative Present Value of FCF $4,905.4 Enterprise Value $22,291.9 Enterprise Value $22,291.9

Less: Total Debt (10,973.0) LTM EBITDA $1,977.4Terminal Value Less: Preferred EquityTerminal Year Free Cash Flow (2021E) $1,310.6 Less: Noncontrolling Interest (75.0) Implied EV/EBITDA 11.3xPerpetuity Growth Rate 2.4% Less: Cash and Cash Equivalents (207.0)

WACC 7.9%Discount Factor 0.71 Implied Equity Value $11,036.9

Terminal Value $24,479.9 Risk Free Rate (10-Year US Treasury) 2.417%Present Value of Terminal Value $17,386.5 Fully Diluted Shares Outstanding 146.8 Long-Term Growth Rate of Sector

% of Enterprise Value 78.0% Long-Term Rate of InflationEnterprise Value $22,291.9 Implied Share Price $75.21 Long-Term GDP Growth Rate

Eastman Chemical Company (NYSE:EMN)

Historical Period

Implied EV/EBITDAImplied Equity Value and Share PriceEnterprise Value – PGM

Projection Period

Choices as to Perpetuity Growth Rate

Page 7: Eastman Chemical Company

Discounted Cash Flow Analysis — Perpetuity Growth Method Operating Scenario: Upside(Values in millions, USD, except per-share data) Fiscal Year Ended December 31,Sensitivity Analysis

1.8% 2.1% 2.4% 2.7% 3.0% 1.8% 2.1% 2.4% 2.7% 3.0%9.0% 17,405 18,014 18,680 19,413 20,222 9.0% 18,565 19,461 20,442 21,520 22,7108.4% 18,776 19,501 20,301 21,187 22,175 8.4% 20,051 21,095 22,246 23,522 24,9457.9% 20,385 21,261 $22,235.3 23,326 24,555 7.9% 21,796 23,028 $24,400.2 25,936 27,6677.4% 22,302 23,377 24,585 25,954 27,519 7.4% 23,873 25,352 27,016 28,901 31,0556.8% 24,623 25,967 27,499 29,261 31,309 6.8% 26,387 28,197 30,260 32,632 35,390

1.8% 2.1% 2.4% 2.7% 3.0% 1.8% 2.1% 2.4% 2.7% 3.0%9.0% 72.5% 73.4% 74.4% 75.3% 76.3% 9.0% 6,150 6,759 7,425 8,158 8,9678.4% 74.2% 75.1% 76.1% 77.1% 78.1% 8.4% 7,521 8,246 9,046 9,932 10,9207.9% 75.9% 76.9% 77.9% 79.0% 80.0% 7.9% 9,130 10,006 $10,980.3 12,071 13,3007.4% 77.7% 78.8% 79.8% 80.9% 82.0% 7.4% 11,047 12,122 13,330 14,699 16,2646.8% 79.6% 80.6% 81.7% 82.8% 83.9% 6.8% 13,368 14,712 16,244 18,006 20,054

1.8% 2.1% 2.4% 2.7% 3.0% 1.8% 2.1% 2.4% 2.7% 3.0%9.0% 41.91 46.06 50.60 55.59 61.10 9.0% 8.8x 9.1x 9.4x 9.8x 10.2x8.4% 51.25 56.19 61.64 67.68 74.41 8.4% 9.5x 9.9x 10.3x 10.7x 11.2x7.9% 62.22 68.18 $74.82 82.26 90.63 7.9% 10.3x 10.8x 11.2x 11.8x 12.4x7.4% 75.28 82.60 90.83 100.16 110.82 7.4% 11.3x 11.8x 12.4x 13.1x 13.9x6.8% 91.10 100.25 110.69 122.70 136.66 6.8% 12.5x 13.1x 13.9x 14.8x 15.8x

Assumptions of Sensitivity AnalysisPerpetuity Growth Rate

Difference between minimum and maximum possible Perpetuity Growth Rate: 0.620%WACC

Difference between minimum and maximum possible WACC: 1.065%Note

In the sensitivity analysis tables above, shaded regions indicate the boundary defined by Perpetuity Growth Rate and WACC minima and maxima, while the white regions are slightly beyond the likely minima and maxima.

Eastman Chemical Company (NYSE:EMN)

Perpetuity Growth RateEnterprise Value Terminal Value

Perpetuity Growth Rate

Implied Equity ValuePerpetuity Growth Rate

PV of Terminal Value % of Enterprise ValuePerpetuity Growth Rate

Implied Share PricePerpetuity Growth Rate

Implied Enterprise Value / LTM EBITDAPerpetuity Growth Rate

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Page 8: Eastman Chemical Company

Discounted Cash Flow Analysis — Exit Multiple Method Operating Scenario: UpsideFiscal Year Ended December 31,

Operating Scenario 3Mid-Year Convention Y CAGR CAGRInclude Other Income Y 2013 A 2014 A 2015 A ('13-'15) 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E ('16-'21)Total Revenue $9,350.0 $9,527.0 $9,648.0 1.6% $9,889.2 $10,156.2 $10,460.9 $10,771.8 $11,089.0 $11,412.5 2.9%

% Growth NA 1.9% 1.3% 2.5% 2.7% 3.0% 3.0% 2.9% 2.9%Cost of Goods Sold 6,141.0 6,856.0 6,497.0 6,757.1 6,939.5 7,147.7 7,360.2 7,576.9 7,797.9Gross Profit 3,209.0 2,671.0 3,151.0 (0.9%) 3,132.1 3,216.7 3,313.2 3,411.7 3,512.1 3,614.6 2.9%

% Margin 34.3% 28.0% 32.7% 31.7% 31.7% 31.7% 31.7% 31.7% 31.7%Total Operating Expenses 914.0 1,059.0 1,196.0 1,127.0 1,157.4 1,192.2 1,227.6 1,263.7 1,300.6Other Income (3.0) 15.0 8.0 11.9 12.2 12.6 12.9 13.3 13.7EBITDA 2,292.0 1,627.0 1,963.0 (7.5%) 2,017.0 2,071.4 2,133.6 2,197.0 2,261.7 2,327.7 2.9%

% Margin 24.5% 17.1% 20.3% 20.4% 20.4% 20.4% 20.4% 20.4% 20.4%Depreciation & Amortization 433.0 450.0 571.0 584.8 657.4 731.0 805.5 880.8 957.0EBIT 1,859.0 1,177.0 1,392.0 (13.5%) 1,432.2 1,414.0 1,402.6 1,391.5 1,380.9 1,370.6 (0.9%)

% Margin 19.9% 12.4% 14.4% 14.5% 13.9% 13.4% 12.9% 12.5% 12.0%Income Tax Expense 507.0 235.0 275.0 282.9 279.4 277.1 274.9 272.8 270.8EBIAT 1,352.0 942.0 1,117.0 (9.1%) 1,149.2 1,134.7 1,125.5 1,116.6 1,108.1 1,099.9 (0.9%)Plus: Depreciation & Amortization 433.0 450.0 571.0 584.8 657.4 731.0 805.5 880.8 957.0Less: Capital Expenditures (483.0) (593.0) (652.0) (693.0) (697.4) (703.5) (709.2) (714.4) (719.1)Less: Inc./(Dec.) in Net Working Capital (43.0) (105.0) 278.0 (65.5) (22.6) (26.2) (26.6) (26.9) (27.3)Unlevered Free Cash Flow $1,259.0 $694.0 $1,314.0 2.2% $975.5 $1,072.2 $1,126.8 $1,186.4 $1,247.6 $1,310.6 6.1%

WACC 7.9%Discount Period 0.5 1.5 2.5 3.5 4.5Discount Factor 0.96 0.89 0.83 0.77 0.71

Present Value of Free Cash Flow $1,032.2 $1,005.3 $981.0 $956.1 $930.8

cc ccCumulative Present Value of FCF $4,905.4 Enterprise Value $24,003.7 Terminal Year Free Cash Flow (2021E) $1,310.6

Less: Total Debt (10,973.0) WACC 7.9%Terminal Value Less: Preferred Equity 0.0 Terminal Value $27,932.1Terminal Year EBITDA (2021E) $2,327.7 Less: Noncontrolling Interest (75.0)Exit Multiple (EV/EBITDA) 12.0x Less: Cash and Cash Equivalents (207.0) Implied Perpetuity Growth Rate 2.9%

Terminal Value $27,932.1Discount Factor 0.68 Implied Equity Value $12,748.7

Present Value of Terminal Value $19,098.4 Enterprise Value $24,003.7% of Enterprise Value 79.6% Fully Diluted Shares Outstanding 146.8 LTM EBITDA $1,977.4

Enterprise Value $24,003.7 Implied Share Price $86.87 Implied EV/EBITDA 12.1x

Eastman Chemical Company (NYSE:EMN)

Historical Period Projection Period

Enterprise Value – EMM Implied Equity Value and Share Price Implied Perpetuity Growth Rate

Implied EV/EBITDA

Page 9: Eastman Chemical Company

Discounted Cash Flow Analysis — Exit Multiple Method Operating Scenario: UpsideFiscal Year Ended December 31,

Sensitivity Analysis

9.5x 10.8x 12.0x 13.3x 14.5x 9.5x 10.8x 12.0x 13.3x 14.5x9.0% 19,184 21,078 22,972 24,866 26,761 9.0% 75.0% 77.3% 79.2% 80.7% 82.1%8.4% 19,599 21,540 23,481 25,422 27,363 8.4% 75.3% 77.5% 79.4% 80.9% 82.3%7.9% 20,025 22,014 $24,003.7 25,993 27,983 7.9% 75.5% 77.7% 79.6% 81.1% 82.5%7.4% 20,463 22,503 24,542 26,581 28,620 7.4% 75.7% 77.9% 79.8% 81.3% 82.7%6.8% 20,915 23,005 25,096 27,187 29,277 6.8% 76.0% 78.2% 80.0% 81.5% 82.8%

9.5x 10.8x 12.0x 13.3x 14.5x 9.5x 10.8x 12.0x 13.3x 14.5x9.0% 7,929 9,823 11,717 13,611 15,506 9.0% 54.03 66.94 79.85 92.75 105.668.4% 8,344 10,285 12,226 14,167 16,108 8.4% 56.86 70.08 83.31 96.54 109.767.9% 8,770 10,759 $12,748.7 14,738 16,728 7.9% 59.76 73.32 $86.87 100.43 113.997.4% 9,208 11,248 13,287 15,326 17,365 7.4% 62.75 76.65 90.54 104.44 118.336.8% 9,660 11,750 13,841 15,932 18,022 6.8% 65.82 80.07 94.32 108.56 122.81

9.5x 10.8x 12.0x 13.3x 14.5x 9.5x 10.8x 12.0x 13.3x 14.5x9.0% 2.6% 3.3% 3.9% 4.3% 4.7% 9.0% 9.7x 10.7x 11.6x 12.6x 13.5x8.4% 2.1% 2.8% 3.4% 3.8% 4.2% 8.4% 9.9x 10.9x 11.9x 12.9x 13.8x7.9% 1.6% 2.3% 2.9% 3.3% 3.7% 7.9% 10.1x 11.1x 12.1x 13.1x 14.2x7.4% 1.2% 1.8% 2.4% 2.8% 3.2% 7.4% 10.3x 11.4x 12.4x 13.4x 14.5x6.8% 0.7% 1.3% 1.9% 2.3% 2.7% 6.8% 10.6x 11.6x 12.7x 13.7x 14.8x

Assumptions of Sensitivity AnalysisExit Multiple (EV/EBITDA)

Difference between minimum and maximum possible Exit Multiple (EV/EBITDA): 2.500xWACC

Difference between minimum and maximum possible WACC: 1.065%Note

In the sensitivity analysis tables above, shaded regions indicate the boundary defined by Exit Multiple and WACC minima and maxima, while the white regions are slightly beyond the likely minima and maxima.

Eastman Chemical Company (NYSE:EMN)

Enterprise Value PV of Terminal Value % of Enterprise ValueExit Multiple (EV/EBITDA) Exit Multiple (EV/EBITDA)

Exit Multiple (EV/EBITDA)

Implied Equity Value Implied Share PriceExit Multiple (EV/EBITDA) Exit Multiple (EV/EBITDA)

Implied Perpetuity Growth Rate Implied Enterprise Value / LTM EBITDA

WA

CCW

ACC

WA

CC

WA

CCW

ACC

WA

CC

Exit Multiple (EV/EBITDA)

Page 10: Eastman Chemical Company

DCF Weighted Average Cost of Capital 76.0 143.0 180.0 187.0 263.0 180.4Calculation of Weighted Average Cost of Capital 2.44% 2.00% 3.00% 1.91% 2.91% 2.30%Capital Sctucture Projection

2011 A 2012 A 2013 A 2014 A 2015 A LTM 2016 E Target Capital StructureEquity Capital Common Equity 61.01%

Share Price (Feb. 28) 46.70 54.96 69.73 87.43 74.46 83.67 Preferrred Equity 0.00%Basic Shares Outstanding 139.5 145.7 153.9 149.3 148.5 146.8 Total Equity Capital 61.01%

Shares Issued/(Repurchased) NA 6.1 8.2 (4.6) (0.8) (1.8) Borrowings due within one year 3.35%% Change NA 4.40% 5.65% (2.98%) (0.53%) (1.19%) Post-employment & Other LT Liabilities 6.16%

Market Capitalization 6,515.8 8,005.8 10,731.2 13,053.7 11,058.2 0.0 12,278.8 Long-term borrowings 29.48%Preferred Share Price (Feb. 28) 0.00 0.00 0.00 0.00 0.00 0.00 Total Debt Capital 38.99%Preferred Shares Outstanding 0.0 0.0 0.0 0.0 0.0 0.0 Target Debt-to-Equity 63.91%Total Preferred Equity 0.0 0.0 0.0 0.0 0.0 0.0 0.0

Total Equity (Common & Preferred) 6,515.8 8,005.8 10,731.2 13,053.7 11,058.2 0.0 12,278.8 Cost of Common EquityRisk-Free Rate 2.417%

Debt Capital Expected Market Rate of Return 8.11%Borrowings due within one year 153.0 4.0 0.0 301.0 431.0 675.0 Market-Risk Premium 5.69%Post-employment & Other LT Liabilities 1,514.0 2,357.0 1,750.0 2,266.0 1,998.0 1,239.0 Relevered Beta 1.70Long-term borrowings 1,445.0 4,779.0 4,254.0 7,248.0 6,608.0 5,933.0 Size Premium

Total Debt Capital 3,112.0 7,140.0 6,004.0 9,815.0 9,037.0 0.0 7,847.0 Cost of Equity 12.06%

Total Capitalization 9,627.8 15,145.8 16,735.2 22,868.7 20,095.2 0.0 20,125.8 Cost of Preferred Equity

Marginal Tax Rate 40.0% 40.0% 40.0% 40.0% 40.0% 40.0% Cost of DebtMarket Risk Premium 6.01% 5.78% 4.96% 5.78% 6.12% 5.69% Pre-Tax Cost of Debt 2.43%Analysis of Capital Structure Target Marginal Tax Rate 40.00%

Common Equity 67.68% 52.86% 64.12% 57.08% 55.03% 0.00% 61.01% After-Tax Cost of Debt (rd-After-Tax) 1.46%Preferrred Equity 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%Total Equity Capital 67.68% 52.86% 64.12% 57.08% 55.03% 0.00% 61.01% Weighted Average Cost of Capital 7.93%Borrowings due within one year 1.59% 0.03% 0.00% 1.32% 2.14% 0.00% 3.35%Post-employment & Other LT Liabilities 15.73% 15.56% 10.46% 9.91% 9.94% 0.00% 6.16% Notes:Long-term borrowings 15.01% 31.55% 25.42% 31.69% 32.88% 0.00% 29.48% 1. Here all debt is assumed to take on the cost of long-term debt (put-sloping).Total Debt Capital 32.32% 47.14% 35.88% 42.92% 44.97% 0.00% 38.99% 2. The cost of Preferred Equity is only taken into account if available.Debt-to-Equity 47.76% 89.18% 55.95% 75.19% 81.72% 0.00% 63.91% 3. Preferred Equity not considered in Sensitivity Analysis.

Calculation of Relevered Beta from Closest Comparables Predicted Market Market Debt-to- Marginal UnleveredCompany Levered Beta Value of Debt Value of Equity Equity Tax Rate BetaThe Dow Chemical Company (NYSE:DOW) 1.12 21,056.0 75,540.8 27.87% 40.0% 0.96E. I. Du Pont de Nemours and Company (NYSE:DD) 1.68 11,356.0 67,903.6 16.72% 40.0% 1.53 Top Ten Comparables Chosen from Among the Following Sources:LyondellBasell Industries N.V. (NYSE:LYB) 1.04 9,088.0 36,727.0 24.74% 40.0% 0.91 1. Morning Star 5. S&P Capital IQCelanese Corporation (NYSE:CE) 1.23 3,015.0 12,566.4 23.99% 40.0% 1.08 2. Yahoo Finance 6. ZacksAlbemarle Corporation (NYSE:ALB) 1.41 3,449.3 11,417.4 30.21% 40.0% 1.19 3. Reuters 7. Value LineWestlake Chemical Corporation (NYSE:WLK) 1.69 3,680.6 8,177.7 45.01% 40.0% 1.33 4. Google Finance 8. SentieoAshland Global Holdings Inc. (NYSE:ASH) 0.95 3,244.0 7,507.1 43.21% 40.0% 0.75Huntsman Corporation (NYSE:HUN) 2.61 4,556.0 5,390.2 84.52% 40.0% 1.73Trinseo S.A. (NYSE:TSE) 1.55 1,190.9 3,087.8 38.57% 40.0% 1.26PolyOne Corporation (NYSE:POL) 1.60 1,259.5 2,767.4 45.51% 40.0% 1.26

13.0Mean 1.49 38.04% 1.20 53.09% 57.05% 61.01% 64.97% 68.93%Median 1.48 34.39% 1.23 32.07% 8.78%

36.03% 8.36%Calculation of Relevered Beta Mean Median Maximum Target 39.99% 7.94%

Unlevered Unlevered of Mean Target Marginal Relevered 43.95% 7.52%Beta Beta and Median Debt/Equity Tax Rate Beta 47.91% 7.10%1.20 1.23 1.23 63.91% 40.0% 1.70

Eastman Chemical Company (NYSE:EMN)

WACC as a Function of Capital StructureEquity-to-Total Capitalization

Historical Period WACC Calculation

Deb

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Page 11: Eastman Chemical Company

WACC Sensitivity AnalysisCalculation of Weighted Average Cost of CapitalSensitivity Analysis Tables numbered in logical order of analysis.

12.0 10.011.79% 11.90% 12.01% 12.12% 12.23% 1.79% 2.10% 2.41% 2.72% 3.03%

1.53% 7.79% 7.86% 7.92% 7.99% 8.05% 1.75 7.74% 7.93% 8.12% 8.31% 8.50%1.49% 7.78% 7.84% 7.91% 7.98% 8.04% 1.72 7.63% 7.82% 8.01% 8.20% 8.39%1.46% 7.77% 7.83% 7.90% 7.96% 8.03% 1.69 7.53% 7.72% 7.90% 8.09% 8.28%1.43% 7.75% 7.82% 7.88% 7.95% 8.02% 1.66 7.42% 7.61% 7.80% 7.99% 8.17%1.39% 7.74% 7.81% 7.87% 7.94% 8.00% 1.63 7.31% 7.50% 7.69% 7.88% 8.07%

11.0 9.05.49% 5.59% 5.69% 5.79% 5.89% 2.20% 2.32% 2.43% 2.54% 2.66%

1.75 7.91% 8.01% 8.13% 8.23% 8.34% 45.00% 7.70% 7.72% 7.74% 7.77% 7.79%1.72 7.80% 7.91% 8.02% 8.12% 8.23% 42.50% 7.78% 7.81% 7.84% 7.86% 7.89%1.69 7.70% 7.80% 7.91% 8.01% 8.12% 40.00% 7.87% 7.90% 7.93% 7.95% 7.98%1.66 7.59% 7.69% 7.80% 7.90% 8.01% 37.50% 7.96% 7.99% 8.02% 8.05% 8.07%1.63 7.49% 7.59% 7.69% 7.79% 7.90% 35.00% 8.05% 8.08% 8.11% 8.14% 8.17%

8.0 6.01.70% 2.01% 2.32% 2.63% 2.94% 1.79% 2.10% 2.41% 2.72% 3.03%

8.30% 8.44% 8.30% 8.17% 8.04% 7.91% 1.75 11.76% 12.07% 12.38% 12.69% 13.00%8.20% 8.34% 8.21% 8.07% 7.94% 7.81% 1.72 11.58% 11.89% 12.20% 12.51% 12.82%8.10% 8.23% 8.09% 7.96% 7.83% 7.70% 1.69 11.41% 11.72% 12.03% 12.34% 12.65%8.00% 8.10% 7.97% 7.84% 7.71% 7.58% 1.66 11.23% 11.54% 11.85% 12.16% 12.47%7.90% 7.97% 7.84% 7.71% 7.58% 7.44% 1.63 11.05% 11.36% 11.67% 11.98% 12.29%

7.0 5.05.49% 5.59% 5.69% 5.79% 5.89% 1.79% 2.10% 2.41% 2.72% 3.03%

1.75 12.03% 12.20% 12.39% 12.57% 12.75% 8.30% 12.83% 12.62% 12.40% 12.18% 11.97%1.72 11.86% 12.03% 12.21% 12.39% 12.56% 8.20% 12.68% 12.46% 12.24% 12.03% 11.81%1.69 11.68% 11.86% 12.03% 12.21% 12.38% 8.10% 12.49% 12.27% 12.05% 11.84% 11.62%1.66 11.51% 11.68% 11.86% 12.02% 12.19% 8.00% 12.28% 12.06% 11.85% 11.63% 11.42%1.63 11.34% 11.51% 11.68% 11.84% 12.01% 7.90% 12.05% 11.83% 11.62% 11.40% 11.19%

Rele

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Cost of Equity as a Function of Risk Free Rate and Market Rate of ReturnRisk Free Rate

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Cost of Equity as a Function of Market Risk Premium and Relevered BetaMarket Risk Premium

WACC as a Function of Cost of Equity and After Tax Cost of DebtCost of Common Equity

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WACC as a Function of Risk Free Rate and Relevered BetaRisk Free Rate

Rele

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WACC as a Function of Market Risk Premium and Relevered BetaMarket Risk Premium

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WACC as a Function of Risk Free Rate and Market Rate of Return

WACC as a Function of Pre-Tax Cost of Debt and Tax RatePre-Tax Cost of Debt

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Cost of Equity as a Function of Risk Free Rate and Relevered Beta

Eastman Chemical Company (NYSE:EMN)

Page 12: Eastman Chemical Company

Assumptions CAGR CAGROperating Scenario 1 2013 A 2014 A 2015 A ('13-'15) 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E ('16-'21)

#DIV/0! #DIV/0!

Income Statement Assumptions Total RevenueRevenue (% Growth) 15.40% 1.89% 1.27% 2.00% 2.20% 2.50% 2.47% 2.44% 2.42%

Base 1 15.40% 1.89% 1.27% 2.00% 2.20% 2.50% 2.47% 2.44% 2.42%Management 2Upside 3 15.40% 1.89% 1.27% 2.50% 2.70% 3.00% 2.97% 2.94% 2.92%Downside 1 4 15.40% 1.89% 1.27% 1.85% 2.05% 2.35% 2.32% 2.29% 2.27%Downside 2 5 15.40% 1.89% 1.27% 1.75% 1.95% 2.25% 2.22% 2.19% 2.17%

COGSCOGS (% Revenue) 65.7% 72.0% 67.3% 68.3% 68.3% 68.3% 68.3% 68.3% 68.3%

Base 1 65.7% 72.0% 67.3% 68.3% 68.3% 68.3% 68.3% 68.3% 68.3%Management 2Upside 3 65.7% 72.0% 67.3% 68.33% 68.33% 68.33% 68.33% 68.33% 68.33%Downside 1 4 65.7% 72.0% 67.3% 69.00% 69.00% 69.00% 69.00% 69.00% 69.00%Downside 2 5 65.7% 72.0% 67.3% 70.00% 70.00% 70.00% 70.00% 70.00% 70.00%

Operating ExpensesOperating Expenses (% Revenue) 9.8% 11.1% 12.4% 12.4% 12.4% 12.4% 12.4% 12.4% 12.4%

Base 1 9.8% 11.1% 12.4% 12.4% 12.4% 12.4% 12.4% 12.4% 12.4%Management 2Upside 3 9.8% 11.1% 12.4% 11.4% 11.4% 11.4% 11.4% 11.4% 11.4%Downside 1 4 9.8% 11.1% 12.4% 12.5% 12.5% 12.5% 12.5% 12.5% 12.5%Downside 2 5 9.8% 11.1% 12.4% 12.6% 12.6% 12.6% 12.6% 12.6% 12.6%

Depreciation and AmortizationD&A (% Revenue) 4.63% 4.72% 5.92% 5.89% 6.42% 6.91% 7.38% 7.82% 8.24%

Base 1 4.63% 4.72% 5.92% 5.89% 6.42% 6.91% 7.38% 7.82% 8.24%Management 2Upside 3 4.63% 4.72% 5.92% 5.89% 6.42% 6.91% 7.38% 7.82% 8.24%Downside 1 4 4.63% 4.72% 5.92% 5.89% 6.42% 6.91% 7.38% 7.82% 8.24%Downside 2 5 4.63% 4.72% 5.92% 5.89% 6.42% 6.91% 7.38% 7.82% 8.24%

Eastman Chemical Company (NYSE:EMN)

Historical Period Projection Period

Page 13: Eastman Chemical Company

Assumptions CAGR CAGROperating Scenario 1 2013 A 2014 A 2015 A ('13-'15) 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E ('16-'21)

#DIV/0! #DIV/0!Income Statement Assumptions Other Income

Other Income (% Revenue) (0.03%) 0.16% 0.08% 0.10% 0.10% 0.10% 0.10% 0.10% 0.10%Base 1 (0.03%) 0.16% 0.08% 0.10% 0.10% 0.10% 0.10% 0.10% 0.10%Management 2Upside 3 (0.03%) 0.16% 0.08% 0.12% 0.12% 0.12% 0.12% 0.12% 0.12%Downside 1 4 (0.03%) 0.16% 0.08% 0.09% 0.09% 0.09% 0.09% 0.09% 0.09%Downside 2 5 (0.03%) 0.16% 0.08% 0.08% 0.08% 0.08% 0.08% 0.08% 0.08%

0.14%Cash Flow Statement Assumptions Capital Expenditures

Capex (% Revenue) (5.17%) (6.22%) (6.76%) (6.76%) (6.62%) (6.48%) (6.33%) (6.19%) (6.05%)Base 1 (5.17%) (6.22%) (6.76%) (6.76%) (6.62%) (6.48%) (6.33%) (6.19%) (6.05%)Management 2Upside 3 (5.17%) (6.22%) (6.76%) (7.01%) (6.87%) (6.73%) (6.58%) (6.44%) (6.30%)Downside 1 4 (5.17%) (6.22%) (6.76%) (6.76%) (6.62%) (6.48%) (6.33%) (6.19%) (6.05%)Downside 2 5 (5.17%) (6.22%) (6.76%) (6.76%) (6.62%) (6.48%) (6.33%) (6.19%) (6.05%)

Balance Sheet Assumptions Trade receivables, netDays Sales Outstanding (DSO) 33.2 34.3 32.2 32.2 32.2 32.2 32.2 32.2 32.2

Base 1 33.2 34.3 32.2 32.2 32.2 32.2 32.2 32.2 32.2Management 2Upside 3 33.2 34.3 32.2 32.2 32.2 32.2 32.2 32.2 32.2Downside 1 4 33.2 34.3 32.2 32.2 32.2 32.2 32.2 32.2 32.2Downside 2 5 33.2 34.3 32.2 32.2 32.2 32.2 32.2 32.2 32.2

Miscellaneous receivablesDays Sales Outstanding (DSO) 6.9 8.9 9.5 9.5 9.5 9.5 9.5 9.5 9.5

Base 1 6.9 8.9 9.5 9.5 9.5 9.5 9.5 9.5 9.5Management 2Upside 3 6.9 8.9 9.5 9.5 9.5 9.5 9.5 9.5 9.5Downside 1 4 6.9 8.9 9.5 9.5 9.5 9.5 9.5 9.5 9.5Downside 2 5 6.9 8.9 9.5 9.5 9.5 9.5 9.5 9.5 9.5

Historical Period Projection Period

Eastman Chemical Company (NYSE:EMN)

Page 14: Eastman Chemical Company

Assumptions CAGR CAGROperating Scenario 1 2013 A 2014 A 2015 A ('13-'15) 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E ('16-'21)

#DIV/0! #DIV/0!

Balance Sheet Assumptions InventoriesDays Inventory Held (DIH) 74.0 72.8 82.8 82.8 82.8 82.8 82.8 82.8 82.8

Base 1 74.0 72.8 82.8 82.8 82.8 82.8 82.8 82.8 82.8Management 2Upside 3 74.0 72.8 82.8 82.8 82.8 82.8 82.8 82.8 82.8Downside 1 4 74.0 72.8 82.8 82.8 82.8 82.8 82.8 82.8 82.8Downside 2 5 74.0 72.8 82.8 82.8 82.8 82.8 82.8 82.8 82.8

Other current assetsPrepaid and Other CA (% Revenue) 2.68% 2.62% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70%

Base 1 2.68% 2.62% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70%Management 2Upside 3 2.68% 2.62% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70%Downside 1 4 2.68% 2.62% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70%Downside 2 5 2.68% 2.62% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70%

Payables and other current liabilitiesDays Payable Outstanding (DPO) 83.0 83.8 92.7 92.7 92.7 92.7 92.7 92.7 92.7

Base 1 83.0 83.8 92.7 92.7 92.7 92.7 92.7 92.7 92.7Management 2Upside 3 83.0 83.8 92.7 92.7 92.7 92.7 92.7 92.7 92.7Downside 1 4 83.0 83.8 92.7 92.7 92.7 92.7 92.7 92.7 92.7Downside 2 5 83.0 83.8 92.7 92.7 92.7 92.7 92.7 92.7 92.7

Short-term time depositsPrepaid and Other CA (% Revenue) 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Base 1 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%Management 2Upside 3 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%Downside 1 4 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%Downside 2 5 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Historical Period

Eastman Chemical Company (NYSE:EMN)

Projection Period

Page 15: Eastman Chemical Company

Assumptions CAGR CAGROperating Scenario 1 2013 A 2014 A 2015 A ('13-'15) 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E ('16-'21)

Not required. #VALUE! #DIV/0!Balance Sheet Assumptions Company Specific Line Item

(% Revenue) NA NA NA NA NA NA NA NA NABase 1 NA NA NA NA NA NA NA NA NAManagement 2Upside 3 NA NA NA NA NA NA NA NA NADownside 1 4 NA NA NA NA NA NA NA NA NADownside 2 5 NA NA NA NA NA NA NA NA NA

Not required.Company Specific Line Item

(% Revenue) NA NA NA NA NA NA NA NA NABase 1 NA NA NA NA NA NA NA NA NAManagement 2Upside 3 NA NA NA NA NA NA NA NA NADownside 1 4 NA NA NA NA NA NA NA NA NADownside 2 5 NA NA NA NA NA NA NA NA NA

Not required.Company Specific Line Item

(% Revenue) NA NA NA NA NA NA NA NA NABase 1 NA NA NA NA NA NA NA NA NAManagement 2Upside 3 NA NA NA NA NA NA NA NA NADownside 1 4 NA NA NA NA NA NA NA NA NADownside 2 5 NA NA NA NA NA NA NA NA NA

Not required.Company Specific Line Item

(% Revenue) NA NA NA NA NA NA NA NA NABase 1 NA NA NA NA NA NA NA NA NAManagement 2Upside 3 NA NA NA NA NA NA NA NA NADownside 1 4 NA NA NA NA NA NA NA NA NADownside 2 5 NA NA NA NA NA NA NA NA NA

Projection PeriodHistorical Period

Eastman Chemical Company (NYSE:EMN)

Page 16: Eastman Chemical Company

Comparable Companies Analysis

Current % LTM Total Long TermShare 52-week 52-week Market Equity Enterprise 2015 A LTM 2016 E 2017 E 2015 A LTM 2016 E 2017 E 2015 A LTM 2016 E 2017 E EBITDA Debt / 2015 A LTM 2016 E 2017 E EPS

Company(1) Ticker(2) Price(3) High(4) High(5) Cap.(6) Value(7) Value(8) Revenue(9) Revenue(10) Revenue(11) Revenue(12) EBITDA(13) EBITDA(14) EBITDA(15) EBITDA(16) EBIT(17) EBIT(18) EBIT(19) EBIT(20) Margin(21) EBITDA(22) EPS(23) EPS(24) EPS(25) EPS(26) Growth(27)

Eastman Chemical Company EMN 80.25 81.45 98.53% 11,776.8 11,776.8 18,252.8 1.89x 2.02x 2.03x 2.00x 9.30x 9.67x 9.23x 9.10x 13.11x 13.94x 13.02x 12.83x 20.86% 3.50x 14.18x 5.50x 12.61x 12.30x 2.93%Closest Comparables

The Dow Chemical Company DOW 62.26 64.36 96.74% 75,540.8 75,540.8 94,878.8 1.95x 2.04x 1.97x 1.88x 7.12x 7.77x 11.82x 8.26x 8.78x 9.95x 18.37x 11.19x 26.19% 1.73x 10.12x 4.36x 17.69x 13.28x 3.06%E. I. Du Pont de Nemours and Company DD 78.54 80.66 97.37% 67,903.6 67,903.6 75,247.6 2.99x 3.44x 3.06x 2.92x 16.86x 18.52x 15.37x 16.52x 25.11x 27.07x 20.68x 23.26x 18.57% 2.80x 36.55x 14.29x 27.67x 30.97x 2.95%LyondellBasell Industries N.V. LYB 91.24 97.64 93.45% 36,727.0 36,727.0 45,100.0 1.38x 1.58x 1.55x 1.60x 5.99x 6.85x 6.84x 8.58x 6.96x 8.16x 8.16x 10.66x 23.09% 1.38x 9.51x 4.15x 9.99x 12.50x 2.93%Celanese Corporation CE 89.17 91.17 97.81% 12,566.4 12,566.4 14,770.4 2.60x 2.73x 2.74x 2.47x 15.27x 14.01x 10.25x 14.95x 24.45x 20.37x 12.89x 22.34x 19.48% 2.86x 44.59x 11.18x 14.43x 33.51x 3.45%Albemarle Corporation ALB 101.51 102.56 98.98% 11,417.4 11,417.4 14,785.6 4.05x 4.74x 4.74x 5.36x 18.91x 23.62x 19.93x 22.53x 28.33x 37.92x 29.25x 33.05x 20.07% 5.51x 33.84x 18.71x 32.30x 36.32x 2.93%Westlake Chemical Corporation WLK 63.43 66.83 94.91% 8,177.7 8,177.7 11,674.9 2.62x 2.70x 2.30x 1.91x 9.39x 12.17x 11.50x 5.99x 11.70x 17.52x 18.30x 7.83x 22.17% 3.84x 13.05x 7.63x 20.73x 8.63x 2.93%Ashland Global Holdings Inc. ASH 120.66 125.00 96.53% 7,507.1 7,507.1 9,381.1 1.82x 1.90x 1.90x 1.87x 10.72x 15.06x 11.70x 11.52x 17.50x 32.80x 20.17x 19.86x 12.59% 5.21x 21.12x 30.07x 25.26x 24.16x 3.45%Huntsman Corporation HUN 22.60 23.02 98.18% 5,390.2 5,390.2 9,690.2 0.94x 1.01x 1.00x 0.98x 12.34x 11.01x 8.99x 10.19x 25.10x 21.25x 15.00x 19.10x 9.17% 5.18x 59.47x 8.29x 16.62x 22.60x 2.93%Trinseo S.A. TSE 69.15 72.60 95.25% 3,087.8 3,087.8 3,812.4 0.96x 1.03x 1.03x 0.98x 9.68x 6.93x 11.16x 10.64x 12.83x 8.49x 15.87x 15.12x 14.88% 2.17x 25.33x 4.55x 29.17x 25.74x 3.45%PolyOne Corporation POL 33.68 38.41 87.69% 2,767.4 2,767.4 3,815.6 1.13x 1.15x 1.14x 1.11x 11.57x 11.29x 9.97x 13.36x 16.46x 15.96x 13.53x 20.99x 10.16% 3.73x 20.66x 7.60x 17.27x 27.39x 3.45%

Analysis of Closest Comparables

High 4.05x 4.74x 4.74x 5.36x 18.91x 23.62x 19.93x 22.53x 28.33x 37.92x 29.25x 33.05x 26.19% 5.51x 59.47x 30.07x 32.30x 36.32x 3.45%75th Percentile 2.61x 2.72x 2.63x 2.33x 14.54x 14.80x 11.79x 14.55x 24.94x 25.61x 19.72x 22.00x 21.64% 4.84x 35.87x 13.51x 27.07x 30.07x 3.45%Mean 2.04x 2.23x 2.14x 2.11x 11.79x 12.72x 11.75x 12.25x 17.72x 19.95x 17.22x 18.34x 17.64% 3.44x 27.42x 11.08x 21.11x 23.51x 3.15%Median 1.88x 1.97x 1.93x 1.87x 11.14x 11.73x 11.33x 11.08x 16.98x 18.94x 17.09x 19.48x 19.02% 3.29x 23.22x 7.96x 19.21x 24.95x 3.01%25th Percentile 1.19x 1.26x 1.24x 1.23x 9.46x 8.58x 10.04x 8.98x 11.98x 11.45x 13.89x 12.17x 13.16% 2.32x 14.95x 5.32x 16.78x 15.61x 2.93%Low 0.94x 1.01x 1.00x 0.98x 5.99x 6.85x 6.84x 5.99x 6.96x 8.16x 8.16x 7.83x 9.17% 1.38x 9.51x 4.15x 9.99x 8.63x 2.93%

Eastman Chemical Company (NYSE:EMN)

Enterprise Value / Price /

Page 17: Eastman Chemical Company

Consolidated Statements of IncomeValues in Millions USD except per-share data (0.028%)

Historical Period CAGR Projection Period CAGR2011 A 2012 A 2013 A 2014 A 2015 A ('11-'15) 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E ('16-'21)

Sales 7,178.0 8,102.0 9,350.0 9,527.0 9,648.0 7.67% 9,841.0 10,057.5 10,308.9 10,563.8 10,822.0 11,083.6 2.41%Growth (%) NA 12.87% 15.40% 1.89% 1.27% NA 2.00% 2.20% 2.50% 2.47% 2.44% 2.42% 3.86%

Cost of sales 5,336.0 5,980.0 6,141.0 6,856.0 6,497.0 5.04% 6,724.1 6,872.0 7,043.8 7,218.0 7,394.4 7,573.2 2.41%COGS as a Percentage of Sales 74.34% 73.81% 65.68% 71.96% 67.34% (2.44%) 68.33% 68.33% 68.33% 68.33% 68.33% 68.33% 0.00%

Gross profit 1,842.0 2,122.0 3,209.0 2,671.0 3,151.0 14.36% 3,116.8 3,185.4 3,265.1 3,345.8 3,427.6 3,510.4 2.41%Gross profit margin (%) 25.66% 26.19% 34.32% 28.04% 32.66% 6.21% 31.67% 31.67% 31.67% 31.67% 31.67% 31.67% (0.00%)

Operating ExpensesSelling, general and administrative expenses 481.0 644.0 645.0 755.0 762.0 777.2 794.3 814.2 834.3 854.7 875.4

SG&A as a Percentage of Sales 6.70% 7.95% 6.90% 7.92% 7.90% 7.90% 7.90% 7.90% 7.90% 7.90% 7.90%Research and development expenses 159.0 198.0 193.0 227.0 251.0 256.0 261.7 268.2 274.8 281.5 288.3

R&D as a Percentage of Sales 2.22% 2.44% 2.06% 2.38% 2.60% 2.60% 2.60% 2.60% 2.60% 2.60% 2.60%Asset impairments and restructuring charges, net (8.0) 120.0 76.0 77.0 183.0 186.7 190.8 195.5 200.4 205.3 210.2

Asset Impairments & Restructuring as a Percentage of Sales (0.11%) 1.48% 0.81% 0.81% 1.90% 1.90% 1.90% 1.90% 1.90% 1.90% 1.90%Total Operating Expenses 632.0 962.0 914.0 1,059.0 1,196.0 17.29% 1,219.9 1,246.8 1,277.9 1,309.5 1,341.5 1,374.0 2.41%

Total Operating Expenses as a Percentage of Sales 8.80% 11.87% 9.78% 11.12% 12.40% 12.40% 12.40% 12.40% 12.40% 12.40% 12.40%Operating earnings 1,210.0 1,160.0 2,295.0 1,612.0 1,955.0 12.74% 1,896.9 1,938.7 1,987.1 2,036.3 2,086.0 2,136.5 2.41%Other (income) charges, net (20.0) 8.0 3.0 (15.0) (8.0) (9.8) (10.1) (10.3) (10.6) (10.8) (11.1)

Other (income) charges as a Percentage of Sales (0.28%) 0.10% 0.03% (0.16%) (0.08%) (0.10%) (0.10%) (0.10%) (0.10%) (0.10%) (0.10%)EBITDA 1,230.0 1,152.0 2,292.0 1,627.0 1,963.0 12.40% 1,906.8 1,948.7 1,997.4 2,046.8 2,096.9 2,147.5 2.41%

EBITDA Margin (%) 17.14% 14.22% 24.51% 17.08% 20.35% 19.38% 19.38% 19.38% 19.38% 19.38% 19.38%Depreciation and Amortization 273.0 360.0 433.0 450.0 571.0 579.5 646.0 712.8 779.7 846.7 913.8

D&A as a Percentage of Sales 3.80% 4.44% 4.63% 4.72% 5.92% 5.89% 6.42% 6.91% 7.38% 7.82% 8.24%EBIT 957.0 792.0 1,859.0 1,177.0 1,392.0 9.82% 1,327.3 1,302.7 1,284.6 1,267.1 1,250.1 1,233.8 (1.45%)

EBIT Margin (%) 13.33% 9.78% 19.88% 12.35% 14.43% 13.49% 12.95% 12.46% 11.99% 11.55% 11.13%Net interest expense 76.0 143.0 180.0 187.0 263.0 180.4 176.1 171.0 165.9 160.7 155.4

Other (Income) Charges as a Percentage of Sales 1.06% 1.76% 1.93% 1.96% 2.73% 1.83% 1.75% 1.66% 1.57% 1.49% 1.40%Earnings from continuing operations before income taxes (EBT) 881.0 649.0 1,679.0 990.0 1,129.0 6.40% 1,146.8 1,126.5 1,113.6 1,101.2 1,089.4 1,078.4 (1.22%)

EBT Margin (%) 12.27% 8.01% 17.96% 10.39% 11.70% 11.65% 11.20% 10.80% 10.42% 10.07% 9.73%Provision for income taxes from continuing operations 274.0 206.0 507.0 235.0 275.0 279.3 274.4 271.3 268.2 265.4 262.7

Effective Tax Rate (%) 31.10% 31.74% 30.20% 23.74% 24.36% 24.36% 24.36% 24.36% 24.36% 24.36% 24.36%Earnings from continuing operations 607.0 443.0 1,172.0 755.0 854.0 8.91% 867.5 852.1 842.4 833.0 824.1 815.7 (1.22%)Earnings from discontinued operations, net of tax 9.0 0.0 0.0 2.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Gain from disposal of discontinued operations, net of tax 31.0 1.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Net earnings 647.0 444.0 1,172.0 757.0 854.0 867.5 852.1 842.4 833.0 824.1 815.7Net earnings attributable to noncontrollig interest 1.0 7.0 7.0 6.0 6.0 6.1 6.0 5.9 5.9 5.8 5.7

NCI as a Percentage of Net earnings 0.15% 1.58% 0.60% 0.79% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70%Net earnings attributable to Eastman stockholders 646.0 437.0 1,165.0 751.0 848.0 7.04% 861.4 846.1 836.5 827.1 818.3 810.0 (1.22%)Amounts attributable to Eastman stockholders

Earnings from continuing operations, net of tax 606.0 436.0 1,165.0 749.0 848.0 861.4 846.1 836.5 827.1 818.3 810.0Earnings from discontinued operations, net of tax 40.0 1.0 0.0 2.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

Net earnings attributable to Eastman stockholders 646.0 437.0 1,165.0 751.0 848.0 7.04% 861.4 846.1 836.5 827.1 818.3 810.0 (1.22%)

Earnings Per ShareBasic earnings per share attributable to Eastman

Earnings from continuing operations 4.34 2.99 7.57 5.01 5.71 5.87 5.83 5.82 5.78 5.75 5.72Earnings from discontinued operations 0.29 0.01 0.00 0.02 0.00 0.00 0.00 0.00 0.00 0.00 0.00Basic earnings per share attributable to Eastman 4.63 3.00 7.57 5.03 5.71 5.38% 5.87 5.83 5.82 5.78 5.75 5.72 (0.52%)

Diluted earnings per share attributable to EastmanEarnings from continuing operations 4.24 2.92 7.44 4.95 5.66 5.87 5.83 5.82 5.78 5.75 5.72Earnings from discontinued operations 0.28 0.01 0.00 0.02 0.00 0.00 0.00 0.00 0.00 0.00 0.00Diluted earnings per share attributable to Eastman 4.52 2.93 7.44 4.97 5.66 5.78% 5.87 5.83 5.82 5.78 5.75 5.72 (0.52%)

Shares OutstandingBasic 139.5 145.7 153.9 149.3 148.5 1.57% 146.8 145.2 143.8 143.1 142.4 141.6 (0.71%)Diluted 142.9 149.1 156.6 151.1 149.8 1.19% 146.8 145.2 143.8 143.1 142.4 141.6 (0.71%)

Percent Change in Shares OutstandingBasic NA 4.40% 5.65% (2.98%) (0.53%) NA (1.19%) (1.03%) (1.00%) (0.50%) (0.50%) (0.50%) (15.86%)Diluted NA 4.36% 4.99% (3.50%) (0.85%) NA NA

Eastman Chemical Company (NYSE: EMN)

Page 18: Eastman Chemical Company

Consolidated Statements of Cash FlowsValues in Millions USD except per-share data

Historical Period CAGR Projection Period CAGR2011 A 2012 A 2013 A 2014 A 2015 A ('11-'15) 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E ('16-'21)

Operating activitiesNet earnings including noncontrolling interest 647.0 444.0 1,172.0 757.0 854.0 7.19% 867.5 852.1 842.4 833.0 824.1 815.7 (1.22%)

Adjustments to reconcile net earnings to net cash provided by operating activities:Depreciation and amortization 273.0 360.0 433.0 450.0 571.0 579.5 646.0 712.8 779.7 846.7 913.8Asset impairment charges 0.0 46.0 28.0 52.0 107.0 0.0 0.0 0.0 0.0 0.0 0.0Gains on sale of assets (70.0) 0.0 0.0 (5.0) 0.0 0.0 0.0 0.0 0.0 0.0 0.0Provision for deferred income taxes (22.0) 48.0 331.0 99.0 107.0 0.0 112.9 75.1 41.6 11.6 (15.7)Mark-to-market (gain) loss on pension and other postretirement benefit plans 147.0 247.0 (383.0) 304.0 115.0 0.0 0.0 0.0 0.0 0.0 0.0

Changes in operating assets and liabilities, net of effect of acquisitions and divestitures:(Increase) decrease in trade receivables (73.0) 48.0 (38.0) 19.0 114.0 (103.4) (25.1) (29.2) (29.6) (30.0) (30.3)(Increase) decrease in inventories (156.0) 38.0 (6.0) (61.0) (26.0) (67.2) (34.0) (39.5) (40.0) (40.6) (41.1)Increase (decrease) in trade payables (51.0) 10.0 (2.0) (30.0) (102.0) 106.5 38.1 44.2 44.8 45.4 46.0Pension and other postretirement contributions (in excess of) less than expenses (103.0) (97.0) (149.0) (165.0) (259.0) 0.0 0.0 0.0 0.0 0.0 0.0Variable compensation (in excess of) less than expenses 15.0 26.0 82.0 27.0 71.0 0.0 0.0 0.0 0.0 0.0 0.0Other items, net 18.0 (42.0) (171.0) (39.0) 60.0 (1.4) (1.5) (1.8) (1.8) (1.8) (1.8)

Net cash provided by operating activities 625.0 1,128.0 1,297.0 1,408.0 1,612.0 26.73% 1,381.5 1,588.5 1,604.1 1,627.7 1,655.5 1,686.6 4.07%Investing activities

Additions to properties and equipment (Capex) (457.0) (465.0) (483.0) (593.0) (652.0) (665.0) (665.4) (667.5) (669.1) (670.1) (670.6)Capex as a Percentage of Sales 6.37% 5.74% 5.17% 6.22% 6.76% 6.76% 6.62% 6.48% 6.33% 6.19% 6.05%

Proceeds from redemption of short-term time deposits 0.0 200.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Proceeds from sale of assets and investments 651.0 7.0 31.0 13.0 4.0 0.0 0.0 0.0 0.0 0.0 0.0Acquisitions and investments in joint ventures, net of cash acquired (156.0) (2,669.0) 0.0 (3,509.0) (45.0) 0.0 0.0 0.0 0.0 0.0 0.0Additions to short-term time deposits (200.0) 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Additions to capitalized software (9.0) (5.0) (5.0) (3.0) 0.0 0.0 0.0 0.0 0.0 0.0 0.0Other items, net 29.0 (30.0) 0.0 1.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

Net cash used in investing activities (142.0) (2,962.0) (457.0) (4,091.0) (693.0) 48.63% (665.0) (665.4) (667.5) (669.1) (670.1) (670.6) 0.17%Financing activities

Net increase (decrease) in commercial paper and other borrowings 1.0 (1.0) 425.0 (190.0) 195.0 0.0 0.0 0.0 0.0 0.0 0.0Proceeds from borrowings (36.0) 3,511.0 150.0 3,565.0 250.0 0.0 0.0 0.0 0.0 0.0 0.0Repayment of borrowings (2.0) (1,866.0) (1,105.0) (125.0) (950.0) 0.0 0.0 0.0 0.0 0.0 0.0

Net Borrowings (38.0) 1,645.0 (955.0) 3,440.0 (700.0) 0.0 0.0 0.0 0.0 0.0 0.0Dividends paid to stockholders (136.0) (192.0) (140.0) (210.0) (238.0) (263.4) (287.0) (307.4) (325.0) (337.3) (343.7)Treasury stock purchases (316.0) 0.0 (238.0) (410.0) (103.0) (108.3) (110.6) (113.4) (116.2) (119.0) (121.9)

Treasury stock purchases as a % of Sales 4.40% 0.00% 2.55% 4.30% 1.07% 1.10% 1.10% 1.10% 1.10% 1.10% 1.10%Dividends paid to noncontrolling interests (3.0) (4.0) (10.0) (9.0) (6.0) (6.0) (6.0) (6.0) (6.0) (6.0) (6.0)

Dividends as a % of NCI 9.68% 4.71% 12.66% 11.25% 7.50% 7.50% 7.50% 7.50% 7.50% 7.50% 7.50%Proceeds from stock option exercises and other items, net 69.0 56.0 59.0 43.0 20.0 0.0 0.0 0.0 0.0 0.0 0.0

Net cash (used in) provided by financing activities (423.0) 1,504.0 (859.0) 2,664.0 (832.0) 18.43% (377.7) (403.7) (426.8) (447.2) (462.3) (471.6) 4.54%Effect of exchange rate changes on cash and cash equivalents 1.0 2.0 7.0 (4.0) (8.0) NA 0.0 0.0 0.0 0.0 0.0 0.0 NA

Net change in cash and cash equivalents 61.0 (328.0) (12.0) (23.0) 79.0 6.68% 338.8 519.4 509.8 511.5 523.1 544.3 9.95%Cash and cash equivalents at beginning of period 516.0 577.0 249.0 237.0 214.0 (19.75%) 293.0 631.8 1,151.2 1,661.0 2,172.5 2,695.5 55.87%

Cash and cash equivalents at end of period 577.0 249.0 237.0 214.0 293.0 (15.58%) 631.8 1,151.2 1,661.0 2,172.5 2,695.5 3,239.9 38.67%

Eastman Chemical Company (NYSE: EMN)

Page 19: Eastman Chemical Company

Consolidated Balance SheetsValues in Millions USD except per-share data

Historical Period CAGR Projection Period CAGRASSETS 2011 A 2012 A 2013 A 2014 A 2015 A ('11-'15) 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E ('16-'21)Current assets

Cash and cash equivalents 577.0 249.0 237.0 214.0 293.0 (15.58%) 631.8 1,151.2 1,661.0 2,172.5 2,695.5 3,239.9 38.67%Short-term time deposits 200.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Trade receivables, net 632.0 846.0 880.0 936.0 792.0 881.3 900.7 923.2 946.0 969.1 992.6Miscellaneous receivables 72.0 151.0 208.0 264.0 246.0 260.1 265.8 272.5 279.2 286.0 292.9Inventories 779.0 1,260.0 1,264.0 1,509.0 1,479.0 1,546.2 1,580.2 1,619.7 1,659.8 1,700.4 1,741.5Other current assets 42.0 193.0 251.0 250.0 68.0 69.4 70.9 72.7 74.5 76.3 78.1

Total current assets 2,302.0 2,699.0 2,840.0 3,173.0 2,878.0 5.74% 3,388.8 3,968.8 4,549.0 5,132.0 5,727.4 6,345.0 13.36%Properties

Properties and equipment at cost 8,383.0 9,681.0 9,958.0 11,026.0 11,234.0 7.59% 11,899.0 12,564.5 13,232.0 13,901.1 14,571.2 15,241.8 5.08%Less: Accumulated depreciation 5,276.0 5,500.0 5,668.0 5,939.0 6,104.0 3.71% 6,683.5 7,329.6 8,042.4 8,822.1 9,668.8 10,582.6 9.63%

Accumulated Depreciation Percentage 62.94% 56.81% 56.92% 53.86% 54.34% 56.17% 58.34% 60.78% 63.46% 66.36% 69.43%Net properties 3,107.0 4,181.0 4,290.0 5,087.0 5,130.0 13.36% 5,215.5 5,234.9 5,189.6 5,079.0 4,902.4 4,659.3 (2.23%)

Goodwill 406.0 2,644.0 2,637.0 4,486.0 4,518.0 4,518.0 4,518.0 4,518.0 4,518.0 4,518.0 4,518.0Intangible assets, net of accumulated amortization 101.0 1,849.0 1,781.0 2,905.0 2,650.0 2,650.0 2,650.0 2,650.0 2,650.0 2,650.0 2,650.0Other noncurrent assets 268.0 337.0 297.0 421.0 435.0 435.0 435.0 435.0 435.0 435.0 435.0

Total assets 6,184.0 11,710.0 11,845.0 16,072.0 15,611.0 26.05% 16,207.3 16,806.8 17,341.7 17,814.0 18,232.8 18,607.2 2.80%LIABILITIESCurrent liabilities

Payables and other current liabilities 961.0 1,360.0 1,470.0 1,721.0 1,625.0 14.03% 1,731.5 1,769.6 1,813.8 1,858.7 1,904.1 1,950.1 2.41%Borrowings due within one year 153.0 4.0 0.0 301.0 431.0 29.55% 431.0 431.0 431.0 431.0 431.0 431.0 0.00%

Total current liabilities 1,114.0 1,364.0 1,470.0 2,022.0 2,056.0 16.56% 2,162.5 2,200.6 2,244.8 2,289.7 2,335.1 2,381.1 1.94%Long-term borrowings 1,445.0 4,779.0 4,254.0 7,248.0 6,608.0 6,608.0 6,608.0 6,608.0 6,608.0 6,608.0 6,608.0Deferred income tax liabilities 210.0 182.0 496.0 946.0 928.0 928.0 1,040.9 1,116.0 1,157.6 1,169.2 1,153.6Post-employment obligations 1,411.0 1,856.0 1,297.0 1,498.0 1,297.0 1,297.0 1,297.0 1,297.0 1,297.0 1,297.0 1,297.0Other long-term liabilities 103.0 501.0 453.0 768.0 701.0 701.0 701.0 701.0 701.0 701.0 701.0

Total liabilities 4,283.0 8,682.0 7,970.0 12,482.0 11,590.0 28.26% 11,696.5 11,847.5 11,966.8 12,053.3 12,110.3 12,140.7 0.75%Stockholders' equity

Common stock 2.0 2.0 2.0 2.0 2.0 2.0 2.0 2.0 2.0 2.0 2.0Additional paid-in capital 900.0 1,709.0 1,778.0 1,817.0 1,863.0 1,863.0 1,863.0 1,863.0 1,863.0 1,863.0 1,863.0Retained earnings 2,760.0 3,038.0 4,012.0 4,545.0 5,146.0 5,744.1 6,303.1 6,832.1 7,334.2 7,815.0 8,281.0Accumulated other comprehensive loss 138.0 123.0 171.0 (277.0) (390.0) (390.0) (390.0) (390.0) (390.0) (390.0) (390.0)

Total stockholders' equity before treasury stock 3,800.0 4,872.0 5,963.0 6,087.0 6,621.0 7,219.1 7,778.1 8,307.1 8,809.2 9,290.0 9,756.0Less: Treasury stock at cost 1,930.0 1,929.0 2,167.0 2,577.0 2,680.0 2,788.3 2,898.9 3,012.3 3,128.5 3,247.5 3,369.4

Total Eastman stockholders' equity 1,870.0 2,943.0 3,796.0 3,510.0 3,941.0 4,430.8 4,879.3 5,294.9 5,680.7 6,042.4 6,386.6Noncontrolling interest 31.0 85.0 79.0 80.0 80.0 80.0 80.0 80.0 80.0 80.0 80.0

Total equity 1,901.0 3,028.0 3,875.0 3,590.0 4,021.0 20.60% 4,510.8 4,959.3 5,374.9 5,760.7 6,122.4 6,466.6 7.47%Total liabilities and stockholders' equity 6,184.0 11,710.0 11,845.0 16,072.0 15,611.0 26.05% 16,207.3 16,806.8 17,341.7 17,814.0 18,232.8 18,607.2 2.80%

Balance 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

Eastman Chemical Company (NYSE: EMN)

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Operating Working Capital ScheduleValues in Millions USD except per-share data

Historical Period CAGR Projection Period CAGRIncome Statement Data 2011 A 2012 A 2013 A 2014 A 2015 A ('11-'15) 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E ('16-'21)

Sales 7,178.0 8,102.0 9,350.0 9,527.0 9,648.0 7.67% 9,841.0 10,057.5 10,308.9 10,563.8 10,822.0 11,083.6 2.41%Cost of sales 5,336.0 5,980.0 6,141.0 6,856.0 6,497.0 5.04% 6,724.1 6,872.0 7,043.8 7,218.0 7,394.4 7,573.2 2.41%

Balance Sheet DataCurrent Assets

Short-term time deposits 200.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Trade receivables, net 632.0 846.0 880.0 936.0 792.0 5.80% 881.3 900.7 923.2 946.0 969.1 992.6 2.41%Miscellaneous receivables 72.0 151.0 208.0 264.0 246.0 35.96% 260.1 265.8 272.5 279.2 286.0 292.9 2.41%Inventories 779.0 1,260.0 1,264.0 1,509.0 1,479.0 17.38% 1,546.2 1,580.2 1,619.7 1,659.8 1,700.4 1,741.5 2.41%Other current assets 42.0 193.0 251.0 250.0 68.0 12.80% 69.4 70.9 72.7 74.5 76.3 78.1 2.41%

Total current assets 1,725.0 2,450.0 2,603.0 2,959.0 2,585.0 10.64% 2,757.0 2,817.6 2,888.1 2,959.5 3,031.8 3,105.1 2.41%

Current LiabilitiesPayables and other current liabilities 961.0 1,360.0 1,470.0 1,721.0 1,625.0 14.03% 1,731.5 1,769.6 1,813.8 1,858.7 1,904.1 1,950.1 2.41%

Total Operating Working Capital 764.0 1,090.0 1,133.0 1,238.0 960.0 5.88% 1,025.5 1,048.0 1,074.2 1,100.8 1,127.7 1,155.0 2.41%Change in Total Operating Working Capital NA (326.0) (43.0) (105.0) 278.0 NA (65.5) (22.6) (26.2) (26.6) (26.9) (27.3) (16.08%)

Match

Assumptions AssumptionsShort-term deposits (% Sales) 2.79% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%Days Sales Outstanding: Trade receivables, net NA 32.8 33.2 34.3 32.2 32.2 32.2 32.2 32.2 32.2 32.2Days Sales Outstanding: Miscellaneous receivables NA 5.0 6.9 8.9 9.5 9.5 9.5 9.5 9.5 9.5 9.5Days Inventory Outstanding NA 61.4 74.0 72.8 82.8 82.8 82.8 82.8 82.8 82.8 82.8Other Current Assets (% Sales) 0.59% 2.38% 2.68% 2.62% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70%Days Payable Outstanding: Payables and Other Current Liabilities NA 69.9 83.0 83.8 92.7 92.7 92.7 92.7 92.7 92.7 92.7

Eastman Chemical Company (NYSE: EMN)

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Depreciation ScheduleValues in Millions USD except per-share data

Historical Period CAGR Projection Period CAGR2011 A 2012 A 2013 A 2014 A 2015 A ('11-'15) 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E ('16-'21)

Net properties, End of the Year, and Beginning of 2016 3,107.0 4,181.0 4,290.0 5,087.0 5,130.0 13.36% 5,130.0 (100.00%)Additions to properties and equipment (Capex) 457.0 465.0 483.0 593.0 652.0 665.0 665.4 667.5 669.1 670.1 670.6

Book (GAAP) Depreciation: Useful Lives and DepreciationPP&E Years 10.0Capex Years 10.0 10.0 10.0 10.0 10.0 10.0

Book (GAAP) Depreciation: Straight-LineExisting PP&E 513.0 513.0 513.0 513.0 513.0 513.02016 Capex 66.5 66.5 66.5 66.5 66.5 66.52017 Capex 66.5 66.5 66.5 66.5 66.52018 Capex 66.8 66.8 66.8 66.82019 Capex 66.9 66.9 66.92020 Capex 67.0 67.02021 Capex 67.1

Total Book Depreciation 273.0 360.0 433.0 450.0 571.0 20.26% 579.5 646.0 712.8 779.7 846.7 913.8 9.54%

Accelerated Depreciation (%): MACRS (For Tax Purposes)Existing PP&E 10.00% 18.00% 14.40% 11.52% 9.22% 7.37%2016 Capex 10.00% 18.00% 14.40% 11.52% 9.22% 7.37%2017 Capex 10.00% 18.00% 14.40% 11.52% 9.22%2018 Capex 10.00% 18.00% 14.40% 11.52%2019 Capex 10.00% 18.00% 14.40%2020 Capex 10.00% 18.00%2021 Capex 10.00%

Accelerated Depreciation: MACRSExisting PP&E 513.0 923.4 738.7 591.0 473.0 378.12016 Capex 66.5 119.7 95.8 76.6 61.3 49.02017 Capex 66.5 119.8 95.8 76.7 61.42018 Capex 66.8 120.2 96.1 76.92019 Capex 66.9 120.4 96.32020 Capex 67.0 120.62021 Capex 67.1

Total Tax Depreciation 579.5 1,109.7 1,021.0 950.5 894.5 849.4 7.95%Difference in Depreciation 0.0 463.6 308.2 170.8 47.8 (64.4)

Effective Tax Rate (%) 24.36% 24.36% 24.36% 24.36% 24.36% 24.36%Deferred Income Taxes 0.0 112.9 75.1 41.6 11.6 (15.7)

Eastman Chemical Company (NYSE: EMN)

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Debt ScheduleValues in Millions USD except per-share dataPeriod ending December 31, Historical Period CAGR Projection Period CAGR

2011 A 2012 A 2013 A 2014 A 2015 A ('11-'15) 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E ('16-'21)Here historical figures are analyzed in order to assess NA NA

Cash Available to Pay Down Debt prior behavior; historical schedule is incomplete.Cash at the Beginning of the Year 516.0 577.0 249.0 237.0 214.0 293.0 631.8 1,151.2 1,661.0 2,172.5 2,695.5Cash Flow Before Debt Paydown 98.0 (1,972.0) 518.0 (3,273.0) 584.0 338.8 519.4 509.8 511.5 523.1 544.3Minimum Cash Cushion (200.0) (200.0) (200.0) (200.0) (200.0) (200.0)

Total Cash Available to Pay Down Debt 614.0 (1,395.0) 767.0 (3,036.0) 798.0 431.8 951.2 1,461.0 1,972.5 2,495.5 3,039.9

Borrowings due within one yearBorrowings due within one year, Beginning of the Year NA 153.0 4.0 0.0 301.0 431.0 431.0 431.0 431.0 431.0 431.0Mandatory Issuances / (Retirements) NA 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Non-Mandatory Issuances / (Retirements) NA (149.0) (4.0) 301.0 130.0 0.0 0.0 0.0 0.0 0.0 0.0Borrowings due within one year, End of the Year 153.0 4.0 0.0 301.0 431.0 431.0 431.0 431.0 431.0 431.0 431.0Interest Expense 12.9 12.9 12.9 12.9 12.9 12.9

Interest Rate 3.00% 3.00% 3.00% 3.00% 3.00% 3.00%

Long-term borrowingsLong-term borrowings, Beginning of the Year NA 1,445.0 4,779.0 4,254.0 7,248.0 6,608.0 6,608.0 6,608.0 6,608.0 6,608.0 6,608.0Mandatory Issuances / (Retirements) NA 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Non-Mandatory Issuances / (Retirements) NA 3,334.0 (525.0) 2,994.0 (640.0) 0.0 0.0 0.0 0.0 0.0 0.0Long-term borrowings, End of the Year 1,445.0 4,779.0 4,254.0 7,248.0 6,608.0 6,608.0 6,608.0 6,608.0 6,608.0 6,608.0 6,608.0Interest Expense 132.2 132.2 132.2 132.2 132.2 132.2

Interest Rate 2.00% 2.00% 2.00% 2.00% 2.00% 2.00%

Post-employment obligationsPost-employment obligations, Beginning of the Year NA 1,411.0 1,856.0 1,297.0 1,498.0 1,297.0 1,297.0 1,297.0 1,297.0 1,297.0 1,297.0Mandatory Issuances / (Retirements) NA 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Non-Mandatory Issuances / (Retirements) NA 445.0 (559.0) 201.0 (201.0) 0.0 0.0 0.0 0.0 0.0 0.0Post-employment obligations, End of the Year 1,411.0 1,856.0 1,297.0 1,498.0 1,297.0 1,297.0 1,297.0 1,297.0 1,297.0 1,297.0 1,297.0Interest Expense 25.9 25.9 25.9 25.9 25.9 25.9

Interest Rate 2.00% 2.00% 2.00% 2.00% 2.00% 2.00%

Other long-term liabilitiesOther long-term liabilities, Beginning of the Year NA 103.0 501.0 453.0 768.0 701.0 701.0 701.0 701.0 701.0 701.0Mandatory Issuances / (Retirements) NA 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Non-Mandatory Issuances / (Retirements) NA 398.0 (48.0) 315.0 (67.0) 0.0 0.0 0.0 0.0 0.0 0.0Other long-term liabilities, End of the Year 103.0 501.0 453.0 768.0 701.0 701.0 701.0 701.0 701.0 701.0 701.0Interest Expense 14.0 14.0 14.0 14.0 14.0 14.0

Interest Rate 2.00% 2.00% 2.00% 2.00% 2.00% 2.00%

Total Issuances / (Retirements) NA 4,028.0 (1,136.0) 3,811.0 (778.0) 0.0 0.0 0.0 0.0 0.0 0.0Total Interest Expense 76.0 143.0 180.0 187.0 263.0 36.39% 185.1 185.1 185.1 185.1 185.1 185.1 0.00%

Cash at the End of the Year 577.0 249.0 237.0 214.0 293.0 (15.58%) 631.8 1,151.2 1,661.0 2,172.5 2,695.5 3,239.9 38.67%Interest Income 0.0 0.0 0.0 0.0 0.0 4.6 8.9 14.1 19.2 24.3 29.7

Interest Rate 2.44% 2.00% 3.00% 1.91% 2.91% 1.00% 1.00% 1.00% 1.00% 1.00% 1.00%Match (Yes/No) 0.0 0.0 0.0 0.0 0.0 0.0

Eastman Chemical Company (NYSE: EMN)

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Ratio AnalysisValues in Millions USD except per-share data

Historical Period CAGR Projection Period CAGR2011 A 2012 A 2013 A 2014 A 2015 A ('11-'15) 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E ('16-'21)

Liquidity LiquidityWorking Capital 1,188.0 1,335.0 1,370.0 1,151.0 822.0 (8.80%) 1,226.3 1,768.3 2,304.2 2,842.3 3,392.3 3,963.8 26.45%Operating Working Capital 764.0 1,090.0 1,133.0 1,238.0 960.0 5.88% 1,025.5 1,048.0 1,074.2 1,100.8 1,127.7 1,155.0 2.41%Current Ratio 2.07 x 1.98 x 1.93 x 1.57 x 1.40 x (9.28%) 1.57 x 1.80 x 2.03 x 2.24 x 2.45 x 2.66 x 11.20%Current Cash Debt Coverage NA 0.91 x 0.92 x 0.81 x 0.79 x 0.65 x 0.73 x 0.72 x 0.72 x 0.72 x 0.72 x 1.78%Inventory Turnover NA 5.87 x 4.87 x 4.94 x 4.35 x 4.45 x 4.40 x 4.40 x 4.40 x 4.40 x 4.40 x (0.20%)Days in Inventory NA 62.2 75.0 73.8 83.9 82.1 83.0 82.9 82.9 82.9 82.9 0.20%

Solvency SolvencyDebt / Assets Ratio 0.69 x 0.74 x 0.67 x 0.78 x 0.74 x 1.75% 0.72 x 0.70 x 0.69 x 0.68 x 0.66 x 0.65 x (2.00%)Cash Debt Coverage NA 0.17 x 0.16 x 0.14 x 0.13 x 0.12 x 0.13 x 0.13 x 0.14 x 0.14 x 0.14 x 3.23%Interest Coverage Ratio NA 7.99 8.21 8.27 5.71 6.13 7.38 7.45 7.57 7.71 7.86 5.08%Times Interest Earned 13.12 x 5.55 x 10.33 x 6.30 x 5.29 x (20.30%) 7.36 x 7.40 x 7.51 x 7.64 x 7.78 x 7.94 x 1.54%Free Cash Flow 29.0 467.0 664.0 596.0 716.0 122.91% 447.0 630.1 623.2 627.7 642.1 666.2 8.31%Unlevered Free Cash Flow (Approx. Due to Tax Differences) 499.0 155.0 1,259.0 694.0 1,314.0 27.39% 896.9 986.3 1,032.5 1,083.0 1,134.5 1,187.0 5.76%

Profitability ProfitabilityQuality of Earnings Ratio 0.97 x 2.54 x 1.11 x 1.86 x 1.89 x 18.23% 1.59 x 1.86 x 1.90 x 1.95 x 2.01 x 2.07 x 5.36%Gross Profit Margin 25.7% 26.2% 34.3% 28.0% 32.7% 6.21% 31.7% 31.7% 31.7% 31.7% 31.7% 31.7% (0.00%)EBITDA Margin 17.1% 14.2% 24.5% 17.1% 20.3% 4.39% 19.4% 19.4% 19.4% 19.4% 19.4% 19.4% 0.00%EBIT Margin 13.3% 9.8% 19.9% 12.4% 14.4% 1.99% 13.5% 13.0% 12.5% 12.0% 11.6% 11.1% (3.77%)EBT Margin 12.3% 8.0% 18.0% 10.4% 11.7% (1.19%) 11.7% 11.2% 10.8% 10.4% 10.1% 9.7% (3.54%)Effective Tax Rate 31.1% 31.7% 30.2% 23.7% 24.4% (5.93%) 24.4% 24.4% 24.4% 24.4% 24.4% 24.4% 0.00%Net Profit Margin 9.0% 5.4% 12.5% 7.9% 8.8% (0.59%) 8.8% 8.4% 8.1% 7.8% 7.6% 7.3% (3.54%)

Earnings per Share Earnings per ShareBasic 4.63 3.00 7.57 5.03 5.71 5.38% 5.87 5.83 5.82 5.78 5.75 5.72 (0.52%)Diluted 4.52 2.93 7.44 4.97 5.66 5.78% 5.87 5.83 5.82 5.78 5.75 5.72 (0.52%)

Price Earnings Ratio Price Earnings Ratio: Assuming 12.37 % Annual Growth RateShare Price as at Feb. 28 46.70 54.96 69.73 87.43 74.46 12.37% 83.7 94.0 105.7 118.7 133.4 149.9 12.37%Basic 10.09 x 18.32 x 9.21 x 17.38 x 13.04 x 6.63% 14.25 x 16.14 x 18.16 x 20.54 x 23.21 x 26.22 x 12.96%Diluted 10.33 x 18.76 x 9.37 x 17.59 x 13.16 x 6.23% 14.25 x 16.14 x 18.16 x 20.54 x 23.21 x 26.22 x 12.96%

Enterprise Value / EBITDA Enterprise Value / EBITDA4.56 x 9.95 x 5.06 x 9.75 x 7.80 x 14.38% 8.17 x 8.03 x 7.85 x 7.64 x 7.41 x 7.16 x (2.61%)

Returns on Investment Returns on InvestmentReturn on Common Stockholders' Equity 34.4% 18.3% 34.5% 20.5% 22.8% (9.83%) 20.6% 18.2% 16.4% 15.1% 14.0% 13.0% (8.74%)Dividend Payout Ratio 21.1% 43.9% 12.0% 28.0% 28.1% 7.45% 30.6% 33.9% 36.7% 39.3% 41.2% 42.4% 6.77%Asset Turnover Ratio NA 90.6% 79.4% 68.3% 60.9% 61.9% 60.9% 60.4% 60.1% 60.0% 60.2% (0.55%)Return on Assets NA 5.0% 10.0% 5.4% 5.4% 5.5% 5.2% 4.9% 4.7% 4.6% 4.4% (4.08%)

Eastman Chemical Company (NYSE: EMN)

Page 24: Eastman Chemical Company

Comparable Companies AnalysisComparables Input Page — Values in Millions, USD except per-share data Fiscal Year Ended December 31,

Company(1) Prior Current 2014 A 2015 A 2/28/17Ticker(2) Stub Stub LTM Cash and Cash Equivalents 214.0 293.0 207.0Exchange 2011 A 2012 A 2013 A 2014 A 2015 A 3Q15 3Q16 2/28/17 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E Receivables, Net 1,200.0 1,038.0 1,163.0Fiscal Year Ended Revenue 7,178.0 8,102.0 9,350.0 9,527.0 9,648.0 7,423.0 6,820.0 9,045.0 9,008.0 9,140.0 9,295.7 9,476.1 9,682.6 9,916.6 Inventories 1,509.0 1,479.0 1,471.0Moody's Rating COGS 5,609.0 6,340.0 6,574.0 7,306.0 7,068.0 5,352.0 4,960.0 6,676.0 6,613.6 6,710.5 6,824.8 6,957.3 7,108.9 7,280.7 Prepaid and Other Current Assets 250.0 68.0 59.0S&P Rating Gross Profit 1,569.0 1,762.0 2,776.0 2,221.0 2,580.0 2,071.0 1,860.0 2,369.0 2,394.4 2,429.5 2,470.9 2,518.9 2,573.8 2,636.0 Total Current Assets 3,173.0 2,878.0 2,900.0Predicted Beta Operating Expenses 640.0 842.0 838.0 982.0 1,013.0 729.0 701.0 985.0 893.9 907.0 922.4 940.3 960.8 984.1Marginal Tax Rate Other Expenses / (Income) (68.0) 127.0 79.0 60.0 175.0 132.0 32.0 75.0 98.7 100.2 101.9 103.9 106.1 108.7 Property, Plant & Equipment, Net 5,087.0 5,130.0 5,197.0

EBIT 997.0 793.0 1,859.0 1,179.0 1,392.0 1,210.0 1,127.0 1,309.0 1,401.8 1,422.4 1,446.6 1,474.7 1,506.8 1,543.2 Goodwill and Intangible Assets 7,812.0 7,603.0 7,392.0Net Interest 76.0 143.0 180.0 187.0 263.0 198.0 191.0 256.0 198.6 201.5 204.9 208.9 213.5 218.6 Total Assets 16,072.0 15,611.0 15,489.0

Current Share Price(3) 2/28/17 $80.25 EBT 921.0 650.0 1,679.0 992.0 1,129.0 1,012.0 936.0 1,053.0 1,203.2 1,220.8 1,241.6 1,265.7 1,293.3 1,324.6% 52-week High(5) 98.5% Income Tax Expense 274.0 206.0 507.0 235.0 275.0 283.0 195.0 187.0 263.9 267.8 272.4 277.6 283.7 290.6 Payables, Net 1,721.0 1,625.0 1,531.052-week High(4) 2/28/17 81.45 Noncontrolling Interest 1.0 7.0 7.0 6.0 6.0 5.0 3.0 4.0 5.6 5.7 5.8 5.9 6.0 6.2 Accrued Liabilities 0.0 0.0 0.052-week Low 2/28/17 62.70 Preferred Dividends 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Other Current Liabilities 0.0 0.0 0.0Dividend Per Share (MRQ) Net Income 646.0 437.0 1,165.0 751.0 848.0 724.0 738.0 862.0 933.7 947.4 963.5 982.2 1,003.6 1,027.9 Total Current Liabilities 1,721.0 1,625.0 1,531.0

Basic Shares Outstanding 146.8 Effective Tax Rate 29.75% 31.69% 30.20% 23.69% 24.36% 27.96% 20.83% 17.76% 21.94% 21.94% 21.94% 21.94% 21.94% 21.94%Fully Diluted Shares Outstanding 146.8 Total Debt 7,549.0 7,039.0 6,608.0

Market Capitalization(6) 11,776.8 Weighted Avg. Diluted Shares 142.9 149.1 156.6 151.1 149.8 149.7 148.7 148.8 146.8 145.2 143.8 143.1 142.4 141.6 Other Long-Term Liabilities 3,212.0 2,926.0 2,834.0Equity Value(7) 11,776.8 Diluted EPS 4.52 2.93 7.44 4.97 5.66 4.84 4.96 5.79 6.36 6.52 6.70 6.86 7.05 7.26 Total Liabilities 12,482.0 11,590.0 10,973.0

Plus: Total Debt 6,608.0 Percent Change in Shares Outstanding NA 4.36% 4.99% (3.50%) (0.85%) * Approximately (0.66%) (2.05%) (1.03%) (1.00%) (0.50%) (0.50%) (0.50%)Plus: Preferred Equity 0.0 Noncontrolling Interest 80.0 80.0 75.0Plus: Noncontrolling Interest 75.0 Preferred Equity 0.0 0.0 0.0Less: Cash and Cash Equivalents (207.0) Reported Gross Profit 1,569.0 1,762.0 2,776.0 2,221.0 2,580.0 2,071.0 1,860.0 2,369.0 2,394.4 2,429.5 2,470.9 2,518.9 2,573.8 2,636.0 Shareholders' Equity 3,510.0 3,941.0 4,441.0

Enterprise Value(8) 18,252.8 Non-Recurring Items in COGS 0.0 Total Liabilities and Equity 16,072.0 15,611.0 15,489.0Adj. Gross Profit 1,569.0 1,762.0 2,776.0 2,221.0 2,580.0 2,071.0 1,860.0 2,369.0 2,394.4 2,429.5 2,470.9 2,518.9 2,573.8 2,636.0 Balance Yes Yes Yes

% Margin 21.9% 21.7% 29.7% 23.3% 26.7% 27.9% 27.3% 26.2% 26.6% 26.6% 26.6% 26.6% 26.6% 26.6%(9-20, 23-26) Historical LTM

2015 A 2/28/17 2016 E 2017 E Reported EBIT 997.0 793.0 1,859.0 1,179.0 1,392.0 1,210.0 1,127.0 1,309.0 1,401.8 1,422.4 1,446.6 1,474.7 1,506.8 1,543.2EV/Revenue 1.9 x 2.0 x 2.0 x 2.0 x Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Basic Shares Outstanding 146.8

Metric 9,648.0 9,045.0 9,008.0 9,140.0 Other Non-Recurring Items 0.0 Plus: Shares from In-the-Money Options 0.0EV/EBITDA 9.3 x 9.7 x 9.2 x 9.1 x Adjusted EBIT 997.0 793.0 1,859.0 1,179.0 1,392.0 1,210.0 1,127.0 1,309.0 1,401.8 1,422.4 1,446.6 1,474.7 1,506.8 1,543.2 Less: Shares Repurchased 0.0

Metric 1,963.0 1,887.0 1,977.4 2,006.4 % Margin 13.9% 9.8% 19.9% 12.4% 14.4% 16.3% 16.5% 14.5% 15.6% 15.6% 15.6% 15.6% 15.6% 15.6% Net New Shares from Options 0.0EV/EBIT 13.1 x 13.9 x 13.0 x 12.8 x Plus: Shares from Convertible Securities 0.0

Metric 1,392.0 1,309.0 1,401.8 1,422.4 Depreciation & Amortization 273.0 360.0 433.0 450.0 571.0 429.0 436.0 578.0 575.6 584.1 594.0 605.6 618.7 633.7 Fully Diluted Shares Outstanding 146.8P/E 14.2 x 5.5 x 12.6 x 12.3 x Adjusted EBITDA 1,270.0 1,153.0 2,292.0 1,629.0 1,963.0 1,639.0 1,563.0 1,887.0 1,977.4 2,006.4 2,040.6 2,080.2 2,125.5 2,176.9

Metric 5.7 14.6 6.4 6.5 % Margin 17.7% 14.2% 24.5% 17.1% 20.3% 22.1% 22.9% 20.9% 22.0% 22.0% 22.0% 22.0% 22.0% 22.0% Options/WarrantsNumber of Exercise In-the-Money

Reported Net Income 646.0 437.0 1,165.0 751.0 848.0 724.0 738.0 862.0 933.7 947.4 963.5 982.2 1,003.6 1,027.9 Tranche Shares Price Shares ProceedsReturn on Invested Capital 12.16% Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 1 0.0 0.0Return on Equity 51.80% Other Non-Recurring Items 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 2 0.0 0.0Return on Assets 13.96% Non-Operating Non-Rec. Items 1,210.0 1,127.0 1,309.0 Tranche 3 0.0 0.0Implied Annual Dividend Per Share 0.00% Tax Adjustment 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 4 0.0 0.0

Adjusted Net Income 646.0 437.0 1,165.0 751.0 848.0 1,934.0 1,865.0 2,171.0 933.7 947.4 963.5 982.2 1,003.6 1,027.9 Tranche 5 0.0 0.0% Margin 9.0% 5.4% 12.5% 7.9% 8.8% 26.1% 27.3% 24.0% 10.4% 10.4% 10.4% 10.4% 10.4% 10.4% Total 0.0 0.0 0.0

Debt/Total Capitalization 59.81%Total Debt/EBITDA(22) 3.5x Adjusted Diluted EPS 4.52 2.93 7.44 4.97 5.66 12.92 12.54 14.59 6.36 6.52 6.70 6.86 7.05 7.26 Convertible SecuritiesNet Debt/EBITDA 4.9x Conversion Conversion NewEITDA/Interest Expense 7.4x Issue Amount Price Ratio Shares[EBITDA-Capex]/Interest Expense 5.0x Depreciation and Amortization 273.0 360.0 433.0 450.0 571.0 429.0 436.0 578.0 575.6 584.1 594.0 605.6 618.7 633.7 Issue 1 0.0 0.0EBIT/Interest Expense 5.1x % Revenue 3.80% 4.44% 4.63% 4.72% 5.92% 5.78% 6.39% 6.39% 6.39% 6.39% 6.39% 6.39% 6.39% 6.39% Issue 2 0.0 0.0

Capital Expenditures 457.0 465.0 483.0 593.0 652.0 426.0 375.0 601.0 598.5 607.3 617.7 629.6 643.4 658.9 Issue 3 0.0 0.0% Revenue 6.37% 5.74% 5.17% 6.22% 6.76% 5.74% 5.50% 6.64% 6.64% 6.64% 6.64% 6.64% 6.64% 6.64% Issue 4 0.0 0.0

Revenue EBITDA EPS Issue 5 0.0 0.0Historical Total 0.0

CAGR (4-Year) 7.7% 11.5% 5.8%CAGR (2-Year) 1.6% (7.5%) (12.8%) Notes and Assumptions Balance Sheet Raw Data and Details Dec. 31, 2014 Dec. 31, 2015 Sep. 30, 20162012 A 12.9% (9.2%) (35.2%) 1. Revenue Growth Rate NA 12.87% 15.40% 1.89% 1.27% St. Dev. (Revenue Growth) 7.33% (6.63%) 1.47% 1.70% 1.94% 2.18% 2.42% 2014 A 2015 A 3Q162013 A 15.4% 98.8% 153.9% 2. Average Revenue Growth (Last 5 Years) 7.86% 9,008.0 9,140.0 0.24% Slope to the Risk-Free Rate Current assets2014 A 1.9% (28.9%) (33.2%) 3. COGS (% Revenue) 78.1% 78.3% 70.3% 76.7% 73.3% St. Dev. (COGS %) 3.55% 73.42% 73.42% 73.42% 73.42% 73.42% 73.42% Cash and cash equivalents 214.0 293.0 207.02015 A 1.3% 20.5% 13.9% 4. Operating Expenses (% Revenue) 8.9% 10.4% 9.0% 10.3% 10.5% St. Dev. (Op. Ex. %) 0.72% 9.92% 9.92% 9.92% 9.92% 9.92% 9.92% Trade receivables, net 936.0 792.0 905.0

5. Other Expenses (% Revenue) (0.95%) 1.57% 0.84% 0.63% 1.81% St. Dev. (Other Ex. %) 0.57% 1.10% 1.10% 1.10% 1.10% 1.10% 1.10% Miscellaneous receivables 264.0 246.0 258.0Estimated 6. Net Interest (% Revenue) 1.06% 1.76% 1.93% 1.96% 2.73% St. Dev. (Net Interest %) 0.43% 2.20% 2.20% 2.20% 2.20% 2.20% 2.20% Inventories 1,509.0 1,479.0 1,471.0

2016 E (6.6%) 0.7% 12.4% 7. NCI (% Revenue) 0.01% 0.09% 0.07% 0.06% 0.06% St. Dev. (NCI %) 0.01% 0.06% 0.06% 0.06% 0.06% 0.06% 0.06% Other current assets 250.0 68.0 59.0CAGR (2-Year) (2.7%) 1.1% 7.3% 8. Preferred Dividends (% Revenue) 0.00% 0.00% 0.00% 0.00% 0.00% St. Dev. (Preferred Div. %) 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Total current assets 3,173.0 2,878.0 2,900.0CAGR (4-Year) (0.4%) 1.5% 4.9% 9. Gross Profit Margin (%) 21.86% 21.75% 29.69% 23.31% 26.74% 26.58% 26.58% 26.58% 26.58% 26.58% 26.58% PropertiesLong Term(27) 2.4% 2.4% 2.9% 10. EBIT Margin (%) 13.89% 9.79% 19.88% 12.38% 14.43% 15.56% 15.56% 15.56% 15.56% 15.56% 15.56% Properties and equipment at cost 11,026.0 11,234.0 11,564.0

Fully Diluted Shares Outstanding

LTM Return on Investment Ratios

LTM Credit Statistics

Cash Flow Statement Data

Growth Rates

Estimates

EMN Fiscal Year Ended December 31,NYSE

31-DecNANA

1.5140.00%

Market Data

Adjusted Income Statement

Trading Multiples

Eastman Chemical Company (NYSE:EMN)

General Information Reported Income Statement Balance Sheet DataEastman Chemical Company Extended Historical Period Projection Period

Page 25: Eastman Chemical Company

Comparable Companies AnalysisComparables Input Page — Values in Millions, USD except per-share data Fiscal Year Ended December 31,

Company(1) Prior Current 2014 A 2015 A 2/28/17Ticker(2) Stub Stub LTM Cash and Cash Equivalents 5,654.0 8,577.0 7,032.0Exchange 2011 A 2012 A 2013 A 2014 A 2015 A 3Q15 3Q16 2/28/17 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E Receivables, Net 9,372.0 7,846.0 9,108.0Fiscal Year Ended Revenue 59,985.0 56,786.0 57,080.0 58,167.0 48,778.0 37,316.0 35,138.0 46,600.0 48,158.0 50,500.0 52,647.1 54,563.5 56,215.9 57,574.7 Inventories 8,101.0 6,871.0 8,013.0Moody's Rating COGS 51,525.0 48,270.0 48,055.0 47,900.0 38,255.0 29,346.0 27,454.0 36,363.0 38,185.0 40,595.9 42,321.9 43,862.4 45,190.8 46,283.1 Prepaid and Other Current Assets 1,128.0 1,181.0 625.0S&P Rating Gross Profit 8,460.0 8,516.0 9,025.0 10,267.0 10,523.0 7,970.0 7,684.0 10,237.0 9,973.0 9,904.1 10,325.2 10,701.0 11,025.1 11,291.6 Total Current Assets 24,255.0 24,475.0 24,778.0Predicted Beta Operating Expenses 4,434.0 4,569.0 4,771.0 4,753.0 4,569.0 3,408.0 3,552.0 4,713.0 4,888.0 4,359.3 4,544.6 4,710.0 4,852.7 4,970.0Marginal Tax Rate Other Expenses / (Income) (876.0) 1,054.0 (3,610.0) (683.0) (4,851.0) (1,880.0) (1,044.0) (4,015.0) (79.0) (2,936.4) (3,061.2) (3,172.6) (3,268.7) (3,347.7) Property, Plant & Equipment, Net 22,252.0 21,812.0 26,877.0

EBIT 4,902.0 2,893.0 7,864.0 6,197.0 10,805.0 6,442.0 5,176.0 9,539.0 5,164.0 8,481.2 8,841.8 9,163.6 9,441.1 9,669.3 Goodwill and Intangible Assets 22,180.0 21,739.0 28,969.0Net Interest 1,301.0 1,228.0 1,060.0 932.0 875.0 660.0 565.0 780.0 751.0 884.3 921.9 955.4 984.4 1,008.2 Total Assets 68,687.0 68,026.0 80,624.0

Current Share Price(3) 2/28/17 $62.26 EBT 3,601.0 1,665.0 6,804.0 5,265.0 9,930.0 5,782.0 4,611.0 8,759.0 4,413.0 7,596.9 7,919.9 8,208.2 8,456.8 8,661.2% 52-week High(5) 96.7% Income Tax Expense 817.0 565.0 1,988.0 1,426.0 2,147.0 1,630.0 291.0 808.0 9.0 1,467.0 1,529.3 1,585.0 1,633.0 1,672.5 Payables, Net 7,331.0 6,318.0 7,413.052-week High(4) 2/28/17 64.36 Noncontrolling Interest 42.0 (82.0) 29.0 67.0 98.0 79.0 54.0 73.0 86.0 101.5 105.8 109.6 112.9 115.7 Accrued Liabilities 2,839.0 3,212.0 3,534.052-week Low 2/28/17 47.51 Preferred Dividends 340.0 340.0 340.0 340.0 340.0 255.0 255.0 340.0 340.0 340.0 340.0 340.0 340.0 340.0 Other Current Liabilities 1,029.0 1,144.0 1,075.0Dividend Per Share (MRQ) Net Income 2,402.0 842.0 4,447.0 3,432.0 7,345.0 3,818.0 4,011.0 7,538.0 3,978.0 5,688.5 5,944.8 6,173.5 6,370.8 6,533.0 Total Current Liabilities 11,199.0 10,674.0 12,022.0

Basic Shares Outstanding 1,213.3 Effective Tax Rate 22.69% 33.93% 29.22% 27.08% 21.62% 28.19% 6.31% 9.22% 19.31% 19.31% 19.31% 19.31% 19.31% 19.31%Fully Diluted Shares Outstanding 1,213.3 Total Debt 19,123.0 16,756.0 21,056.0

Market Capitalization(6) 75,540.8 Weighted Avg. Diluted Shares 1,171.7 1,202.9 1,208.4 1,195.8 1,194.3 3,534.1 3,464.5 1,196.5 1,130.1 1,213.3 1,207.2 1,201.2 1,195.2 1,189.2 Other Long-Term Liabilities 14,809.0 14,413.0 17,197.0Equity Value(7) 75,540.8 Diluted EPS 2.05 0.70 3.68 2.87 6.15 1.08 1.16 6.30 3.52 4.69 4.92 5.14 5.33 5.49 Total Liabilities 45,131.0 41,843.0 50,275.0

Plus: Total Debt 21,056.0 Percent Change in Shares Outstanding NA 2.66% 0.46% (1.04%) (0.13%) * Approximately 0.18% (5.38%) 7.36% (0.50%) (0.50%) (0.50%) (0.50%)Plus: Preferred Equity 4,000.0 Noncontrolling Interest 931.0 809.0 1,314.0Plus: Noncontrolling Interest 1,314.0 Preferred Equity 4,000.0 4,000.0 4,000.0Less: Cash and Cash Equivalents (7,032.0) Reported Gross Profit 8,460.0 8,516.0 9,025.0 10,267.0 10,523.0 7,970.0 7,684.0 10,237.0 9,973.0 9,904.1 10,325.2 10,701.0 11,025.1 11,291.6 Shareholders' Equity 18,625.0 21,374.0 25,035.0

Enterprise Value(8) 94,878.8 Non-Recurring Items in COGS 0.0 Total Liabilities and Equity 68,687.0 68,026.0 80,624.0Adj. Gross Profit 8,460.0 8,516.0 9,025.0 10,267.0 10,523.0 7,970.0 7,684.0 10,237.0 9,973.0 9,904.1 10,325.2 10,701.0 11,025.1 11,291.6 Balance Yes Yes Yes

% Margin 14.1% 15.0% 15.8% 17.7% 21.6% 21.4% 21.9% 22.0% 20.7% 19.6% 19.6% 19.6% 19.6% 19.6%(9-20, 23-26) Historical LTM

2015 A 2/28/17 2016 E 2017 E Reported EBIT 4,902.0 2,893.0 7,864.0 6,197.0 10,805.0 6,442.0 5,176.0 9,539.0 5,164.0 8,481.2 8,841.8 9,163.6 9,441.1 9,669.3EV/Revenue 1.9 x 2.0 x 2.0 x 1.9 x Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Basic Shares Outstanding 1,213.3

Metric 48,778.0 46,600.0 48,158.0 50,500.0 Other Non-Recurring Items 0.0 Plus: Shares from In-the-Money Options 0.0EV/EBITDA 7.1 x 7.8 x 11.8 x 8.3 x Adjusted EBIT 4,902.0 2,893.0 7,864.0 6,197.0 10,805.0 6,442.0 5,176.0 9,539.0 5,164.0 8,481.2 8,841.8 9,163.6 9,441.1 9,669.3 Less: Shares Repurchased 0.0

Metric 13,326.0 12,206.0 8,026.0 11,482.4 % Margin 8.2% 5.1% 13.8% 10.7% 22.2% 17.3% 14.7% 20.5% 10.7% 16.8% 16.8% 16.8% 16.8% 16.8% Net New Shares from Options 0.0EV/EBIT 8.8 x 9.9 x 18.4 x 11.2 x Plus: Shares from Convertible Securities 0.0

Metric 10,805.0 9,539.0 5,164.0 8,481.2 Depreciation & Amortization 2,883.0 2,698.0 2,681.0 2,747.0 2,521.0 1,921.0 2,067.0 2,667.0 2,862.0 3,001.2 3,128.8 3,242.7 3,340.9 3,421.6 Fully Diluted Shares Outstanding 1,213.3P/E 10.1 x 4.4 x 17.7 x 13.3 x Adjusted EBITDA 7,785.0 5,591.0 10,545.0 8,944.0 13,326.0 8,363.0 7,243.0 12,206.0 8,026.0 11,482.4 11,970.6 12,406.3 12,782.0 13,091.0

Metric 6.2 14.3 3.5 4.7 % Margin 13.0% 9.8% 18.5% 15.4% 27.3% 22.4% 20.6% 26.2% 16.7% 22.7% 22.7% 22.7% 22.7% 22.7% Options/WarrantsNumber of Exercise In-the-Money

Reported Net Income 2,402.0 842.0 4,447.0 3,432.0 7,345.0 3,818.0 4,011.0 7,538.0 3,978.0 5,688.5 5,944.8 6,173.5 6,370.8 6,533.0 Tranche Shares Price Shares ProceedsReturn on Invested Capital 27.81% Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 1 0.0 0.0Return on Equity 73.59% Other Non-Recurring Items 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 2 0.0 0.0Return on Assets 22.98% Non-Operating Non-Rec. Items 6,442.0 5,176.0 9,539.0 Tranche 3 0.0 0.0Implied Annual Dividend Per Share 0.00% Tax Adjustment 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 4 0.0 0.0

Adjusted Net Income 2,402.0 842.0 4,447.0 3,432.0 7,345.0 10,260.0 9,187.0 17,077.0 3,978.0 5,688.5 5,944.8 6,173.5 6,370.8 6,533.0 Tranche 5 0.0 0.0% Margin 4.0% 1.5% 7.8% 5.9% 15.1% 27.5% 26.1% 36.6% 8.3% 11.3% 11.3% 11.3% 11.3% 11.3% Total 0.0 0.0 0.0

Debt/Total Capitalization 45.68%Total Debt/EBITDA(22) 1.7x Adjusted Diluted EPS 2.05 0.70 3.68 2.87 6.15 2.90 2.65 14.27 3.52 4.69 4.92 5.14 5.33 5.49 Convertible SecuritiesNet Debt/EBITDA 1.5x Conversion Conversion NewEITDA/Interest Expense 15.6x Issue Amount Price Ratio Shares[EBITDA-Capex]/Interest Expense 10.8x Depreciation and Amortization 2,883.0 2,698.0 2,681.0 2,747.0 2,521.0 1,921.0 2,067.0 2,667.0 2,862.0 3,001.2 3,128.8 3,242.7 3,340.9 3,421.6 Issue 1 0.0 0.0EBIT/Interest Expense 12.2x % Revenue 4.81% 4.75% 4.70% 4.72% 5.17% 5.15% 5.88% 5.72% 5.94% 5.94% 5.94% 5.94% 5.94% 5.94% Issue 2 0.0 0.0

Capital Expenditures 2,687.0 2,614.0 2,302.0 3,572.0 3,703.0 2,817.0 2,877.0 3,763.0 3,804.0 3,989.0 4,158.6 4,310.0 4,440.5 4,547.8 Issue 3 0.0 0.0% Revenue 4.48% 4.60% 4.03% 6.14% 7.59% 7.55% 8.19% 8.08% 7.90% 7.90% 7.90% 7.90% 7.90% 7.90% Issue 4 0.0 0.0

Revenue EBITDA EPS Issue 5 0.0 0.0Historical Total 0.0

CAGR (4-Year) (5.0%) 14.4% 31.6%CAGR (2-Year) (7.6%) 12.4% 29.3% Notes and Assumptions Balance Sheet Raw Data and Details Dec. 31, 2014 Dec. 31, 2015 Sep. 30, 20162012 A (5.3%) (28.2%) (65.9%) 1. Revenue Growth Rate NA (5.33%) 0.52% 1.90% (16.14%) St. Dev. (Revenue Growth) 8.21% (1.27%) 4.86% 4.25% 3.64% 3.03% 2.42% 2014 A 2015 A 3Q162013 A 0.5% 88.6% 425.7% 2. Average Revenue Growth (Last 5 Years) (4.76%) 48,158.0 50,500.0 (0.61%) Slope to the Risk-Free Rate Consolidated Balance Sheets2014 A 1.9% (15.2%) (22.0%) 3. COGS (% Revenue) 85.9% 85.0% 84.2% 82.3% 78.4% St. Dev. (COGS %) 2.93% 80.39% 80.39% 80.39% 80.39% 80.39% 80.39% Current Assets2015 A (16.1%) 49.0% 114.3% 4. Operating Expenses (% Revenue) 7.4% 8.0% 8.4% 8.2% 9.4% St. Dev. (Op. Ex. %) 0.60% 8.63% 8.63% 8.63% 8.63% 8.63% 8.63% Cash and cash equivalents 5,654.0 8,577.0 7,032.0

5. Other Expenses (% Revenue) (1.46%) 1.86% (6.32%) (1.17%) (9.95%) St. Dev. (Other Ex. %) 5.26% (5.81%) (5.81%) (5.81%) (5.81%) (5.81%) (5.81%) Accounts and notes receivable:Estimated 6. Net Interest (% Revenue) 2.17% 2.16% 1.86% 1.60% 1.79% St. Dev. (Net Interest %) 0.23% 1.75% 1.75% 1.75% 1.75% 1.75% 1.75% Trade 4,685.0 4,078.0 4,746.0

2016 E (1.3%) (39.8%) (42.8%) 7. NCI (% Revenue) 0.07% (0.14%) 0.05% 0.12% 0.20% St. Dev. (NCI %) 0.15% 0.20% 0.20% 0.20% 0.20% 0.20% 0.20% Other 4,687.0 3,768.0 4,362.0CAGR (2-Year) 1.7% (7.2%) (12.7%) 8. Preferred Dividends (% Revenue) 0.57% 0.60% 0.60% 0.58% 0.70% St. Dev. (Preferred Div. %) 0.05% 0.71% 0.67% 0.65% 0.62% 0.60% 0.59% Inventories 8,101.0 6,871.0 8,013.0CAGR (4-Year) 2.8% (1.8%) (4.4%) 9. Gross Profit Margin (%) 14.10% 15.00% 15.81% 17.65% 21.57% 20.71% 19.61% 19.61% 19.61% 19.61% 19.61% Deferred income tax assets - current 812.0 827.0 0.0Long Term(27) 2.4% 2.4% 3.1% 10. EBIT Margin (%) 8.17% 5.09% 13.78% 10.65% 22.15% 10.72% 16.79% 16.79% 16.79% 16.79% 16.79% Other current assets 316.0 354.0 625.0

Fully Diluted Shares Outstanding

LTM Return on Investment Ratios

LTM Credit Statistics

Balance Sheet Data

The Dow Chemical Company (NYSE:DOW)

Projection PeriodThe Dow Chemical CompanyDOW

General InformationExtended Historical Period

Reported Income Statement

Growth Rates

Estimates

Cash Flow Statement Data

Adjusted Income Statement

Fiscal Year Ended December 31,

Market Data

Trading Multiples

NA1.12

40.00%

NA

NYSE31-Dec

Page 26: Eastman Chemical Company

Comparable Companies AnalysisComparables Input Page — Values in Millions, USD except per-share data Fiscal Year Ended December 31,

Company(1) Prior Current 2014 A 2015 A 2/28/17Ticker(2) Stub Stub LTM Cash and Cash Equivalents 6,910.0 5,300.0 4,452.0Exchange 2011 A 2012 A 2013 A 2014 A 2015 A 3Q15 3Q16 2/28/17 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E Receivables, Net 5,238.0 4,643.0 7,073.0Fiscal Year Ended Revenue 33,681.0 34,812.0 28,998.0 28,406.0 25,130.0 22,640.0 19,383.0 21,873.0 24,594.0 25,800.0 26,904.7 27,889.5 28,737.0 29,431.6 Inventories 6,787.0 6,140.0 5,168.0Moody's Rating COGS 21,264.0 21,538.0 17,642.0 17,023.0 15,112.0 13,917.0 11,322.0 12,517.0 14,469.0 15,557.5 16,223.7 16,817.5 17,328.6 17,747.4 Prepaid and Other Current Assets 7,147.0 1,672.0 1,605.0S&P Rating Gross Profit 12,417.0 13,274.0 11,356.0 11,383.0 10,018.0 8,723.0 8,061.0 9,356.0 10,125.0 10,242.5 10,681.1 11,072.0 11,408.5 11,684.2 Total Current Assets 26,082.0 17,755.0 18,298.0Predicted Beta Operating Expenses 5,270.0 5,650.0 7,379.0 6,849.0 6,513.0 5,184.0 4,615.0 5,944.0 5,960.0 6,490.8 6,768.8 7,016.5 7,229.7 7,404.5Marginal Tax Rate Other Expenses / (Income) 2,454.0 3,764.0 (1,693.0) (647.0) 508.0 139.0 263.0 632.0 526.0 516.0 538.1 557.8 574.7 588.6 Property, Plant & Equipment, Net 10,008.0 9,784.0 9,654.0

EBIT 4,693.0 3,860.0 5,670.0 5,181.0 2,997.0 3,400.0 3,183.0 2,780.0 3,639.0 3,235.6 3,374.2 3,497.7 3,604.0 3,691.1 Goodwill and Intangible Assets 14,400.0 13,627.0 14,529.0Net Interest 447.0 464.0 448.0 377.0 342.0 293.0 278.0 327.0 370.0 364.0 379.6 393.5 405.5 415.3 Total Assets 50,490.0 41,166.0 42,481.0

Current Share Price(3) 2/28/17 $78.54 EBT 4,246.0 3,396.0 5,222.0 4,804.0 2,655.0 3,107.0 2,905.0 2,453.0 3,269.0 2,871.6 2,994.6 3,104.2 3,198.5 3,275.8% 52-week High(5) 97.4% Income Tax Expense 647.0 616.0 360.0 1,168.0 696.0 892.0 643.0 447.0 744.0 658.1 686.3 711.4 733.0 750.7 Payables, Net 3,786.0 3,398.0 2,627.052-week High(4) 2/28/17 80.66 Noncontrolling Interest 40.0 25.0 14.0 11.0 6.0 9.0 14.0 11.0 12.0 11.0 11.0 11.0 11.0 11.0 Accrued Liabilities 5,596.0 5,580.0 3,132.052-week Low 2/28/17 60.81 Preferred Dividends 10.0 10.0 10.0 10.0 10.0 0.0 0.0 10.0 10.0 10.0 10.0 10.0 10.0 10.0 Other Current Liabilities 3,001.0 210.0 109.0Dividend Per Share (MRQ) Net Income 3,549.0 2,745.0 4,838.0 3,615.0 1,943.0 2,206.0 2,248.0 1,985.0 2,503.0 2,192.5 2,287.3 2,371.8 2,444.5 2,504.1 Total Current Liabilities 12,383.0 9,188.0 5,868.0

Basic Shares Outstanding 864.6 Effective Tax Rate 15.24% 18.14% 6.89% 24.31% 26.21% 28.71% 22.13% 18.22% 22.92% 22.92% 22.92% 22.92% 22.92% 22.92%Fully Diluted Shares Outstanding 864.6 Total Debt 10,655.0 8,807.0 11,356.0

Market Capitalization(6) 67,903.6 Weighted Avg. Diluted Shares 944.0 946.7 935.9 924.7 904.2 903.8 879.3 866.8 881.8 864.6 860.3 855.9 851.7 847.4 Other Long-Term Liabilities 14,074.0 12,971.0 15,303.0Equity Value(7) 67,903.6 Diluted EPS 3.76 2.90 5.17 3.91 2.15 2.44 2.56 2.29 2.84 2.54 2.66 2.77 2.87 2.95 Total Liabilities 37,112.0 30,966.0 32,527.0

Plus: Total Debt 11,356.0 Percent Change in Shares Outstanding NA 0.29% (1.14%) (1.19%) (2.23%) * Approximately (4.13%) (2.48%) (1.95%) (0.50%) (0.50%) (0.50%) (0.50%)Plus: Preferred Equity 237.0 Noncontrolling Interest 58.0 207.0 203.0Plus: Noncontrolling Interest 203.0 Preferred Equity 237.0 237.0 237.0Less: Cash and Cash Equivalents (4,452.0) Reported Gross Profit 12,417.0 13,274.0 11,356.0 11,383.0 10,018.0 8,723.0 8,061.0 9,356.0 10,125.0 10,242.5 10,681.1 11,072.0 11,408.5 11,684.2 Shareholders' Equity 13,083.0 9,756.0 9,514.0

Enterprise Value(8) 75,247.6 Non-Recurring Items in COGS 0.0 Total Liabilities and Equity 50,490.0 41,166.0 42,481.0Adj. Gross Profit 12,417.0 13,274.0 11,356.0 11,383.0 10,018.0 8,723.0 8,061.0 9,356.0 10,125.0 10,242.5 10,681.1 11,072.0 11,408.5 11,684.2 Balance Yes Yes Yes

% Margin 36.9% 38.1% 39.2% 40.1% 39.9% 38.5% 41.6% 42.8% 41.2% 39.7% 39.7% 39.7% 39.7% 39.7%(9-20, 23-26) Historical LTM

2015 A 2/28/17 2016 E 2017 E Reported EBIT 4,693.0 3,860.0 5,670.0 5,181.0 2,997.0 3,400.0 3,183.0 2,780.0 3,639.0 3,235.6 3,374.2 3,497.7 3,604.0 3,691.1EV/Revenue 3.0 x 3.4 x 3.1 x 2.9 x Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Basic Shares Outstanding 864.6

Metric 25,130.0 21,873.0 24,594.0 25,800.0 Other Non-Recurring Items 0.0 Plus: Shares from In-the-Money Options 0.0EV/EBITDA 16.9 x 18.5 x 15.4 x 16.5 x Adjusted EBIT 4,693.0 3,860.0 5,670.0 5,181.0 2,997.0 3,400.0 3,183.0 2,780.0 3,639.0 3,235.6 3,374.2 3,497.7 3,604.0 3,691.1 Less: Shares Repurchased 0.0

Metric 4,463.0 4,062.0 4,897.0 4,555.3 % Margin 13.9% 11.1% 19.6% 18.2% 11.9% 15.0% 16.4% 12.7% 14.8% 12.5% 12.5% 12.5% 12.5% 12.5% Net New Shares from Options 0.0EV/EBIT 25.1 x 27.1 x 20.7 x 23.3 x Plus: Shares from Convertible Securities 0.0

Metric 2,997.0 2,780.0 3,639.0 3,235.6 Depreciation & Amortization 1,560.0 1,713.0 1,603.0 1,617.0 1,466.0 1,163.0 979.0 1,282.0 1,258.0 1,319.7 1,376.2 1,426.6 1,469.9 1,505.4 Fully Diluted Shares Outstanding 864.6P/E 36.5 x 14.3 x 27.7 x 31.0 x Adjusted EBITDA 6,253.0 5,573.0 7,273.0 6,798.0 4,463.0 4,563.0 4,162.0 4,062.0 4,897.0 4,555.3 4,750.4 4,924.3 5,073.9 5,196.5

Metric 2.1 5.5 2.8 2.5 % Margin 18.6% 16.0% 25.1% 23.9% 17.8% 20.2% 21.5% 18.6% 19.9% 17.7% 17.7% 17.7% 17.7% 17.7% Options/WarrantsNumber of Exercise In-the-Money

Reported Net Income 3,549.0 2,745.0 4,838.0 3,615.0 1,943.0 2,206.0 2,248.0 1,985.0 2,503.0 2,192.5 2,287.3 2,371.8 2,444.5 2,504.1 Tranche Shares Price Shares ProceedsReturn on Invested Capital 18.73% Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 1 0.0 0.0Return on Equity 49.46% Other Non-Recurring Items 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 2 0.0 0.0Return on Assets 11.39% Non-Operating Non-Rec. Items 3,400.0 3,183.0 2,780.0 Tranche 3 0.0 0.0Implied Annual Dividend Per Share 0.00% Tax Adjustment 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 4 0.0 0.0

Adjusted Net Income 3,549.0 2,745.0 4,838.0 3,615.0 1,943.0 5,606.0 5,431.0 4,765.0 2,503.0 2,192.5 2,287.3 2,371.8 2,444.5 2,504.1 Tranche 5 0.0 0.0% Margin 10.5% 7.9% 16.7% 12.7% 7.7% 24.8% 28.0% 21.8% 10.2% 8.5% 8.5% 8.5% 8.5% 8.5% Total 0.0 0.0 0.0

Debt/Total Capitalization 54.41%Total Debt/EBITDA(22) 2.8x Adjusted Diluted EPS 3.76 2.90 5.17 3.91 2.15 6.20 6.18 5.50 2.84 2.54 2.66 2.77 2.87 2.95 Convertible SecuritiesNet Debt/EBITDA 2.5x Conversion Conversion NewEITDA/Interest Expense 12.4x Issue Amount Price Ratio Shares[EBITDA-Capex]/Interest Expense 9.1x Depreciation and Amortization 1,560.0 1,713.0 1,603.0 1,617.0 1,466.0 1,163.0 979.0 1,282.0 1,258.0 1,319.7 1,376.2 1,426.6 1,469.9 1,505.4 Issue 1 0.0 0.0EBIT/Interest Expense 8.5x % Revenue 4.63% 4.92% 5.53% 5.69% 5.83% 5.14% 5.05% 5.86% 5.12% 5.12% 5.12% 5.12% 5.12% 5.12% Issue 2 0.0 0.0

Capital Expenditures 1,843.0 1,793.0 1,882.0 2,020.0 1,629.0 1,291.0 759.0 1,097.0 1,019.0 1,069.0 1,114.7 1,155.5 1,190.7 1,219.4 Issue 3 0.0 0.0% Revenue 5.47% 5.15% 6.49% 7.11% 6.48% 5.70% 3.92% 5.02% 4.14% 4.14% 4.14% 4.14% 4.14% 4.14% Issue 4 0.0 0.0

Revenue EBITDA EPS Issue 5 0.0 0.0Historical Total 0.0

CAGR (4-Year) (7.1%) (8.1%) (13.0%)CAGR (2-Year) (6.9%) (21.7%) (35.5%) Notes and Assumptions Balance Sheet Raw Data and Details Dec. 31, 2014 Dec. 31, 2015 Sep. 30, 20162012 A 3.4% (10.9%) (22.9%) 1. Revenue Growth Rate NA 3.36% (16.70%) (2.04%) (11.53%) St. Dev. (Revenue Growth) 9.06% (2.13%) 4.90% 4.28% 3.66% 3.04% 2.42% 2014 A 2015 A 3Q162013 A (16.7%) 30.5% 78.3% 2. Average Revenue Growth (Last 5 Years) (6.73%) 24,594.0 25,800.0 (0.62%) Slope to the Risk-Free Rate Consolidated Balance Sheets2014 A (2.0%) (6.5%) (24.4%) 3. COGS (% Revenue) 63.1% 61.9% 60.8% 59.9% 60.1% St. Dev. (COGS %) 0.88% 60.30% 60.30% 60.30% 60.30% 60.30% 60.30% Assets2015 A (11.5%) (34.3%) (45.0%) 4. Operating Expenses (% Revenue) 15.6% 16.2% 25.4% 24.1% 25.9% St. Dev. (Op. Ex. %) 4.53% 25.16% 25.16% 25.16% 25.16% 25.16% 25.16% Cash and cash equivalents 6,910.0 5,300.0 4,452.0

5. Other Expenses (% Revenue) 7.29% 10.81% (5.84%) (2.28%) 2.02% St. Dev. (Other Ex. %) 7.18% 2.00% 2.00% 2.00% 2.00% 2.00% 2.00% Marketable securities 124.0 906.0 1,080.0Estimated 6. Net Interest (% Revenue) 1.33% 1.33% 1.54% 1.33% 1.36% St. Dev. (Net Interest %) 0.10% 1.41% 1.41% 1.41% 1.41% 1.41% 1.41% Accounts and notes receivable, net 5,238.0 4,643.0 7,073.0

2016 E (2.1%) 9.7% 32.1% 7. NCI (% Revenue) 0.12% 0.07% 0.05% 0.04% 0.02% St. Dev. (NCI %) 0.02% 0.05% 0.04% 0.04% 0.04% 0.04% 0.04% Inventories 6,787.0 6,140.0 5,168.0CAGR (2-Year) 1.3% 1.0% 8.6% 8. Preferred Dividends (% Revenue) 0.03% 0.03% 0.03% 0.04% 0.04% St. Dev. (Preferred Div. %) 0.00% 0.04% 0.04% 0.04% 0.04% 0.03% 0.03% Prepaid expenses 264.0 248.0 525.0CAGR (4-Year) 2.6% 2.5% 6.6% 9. Gross Profit Margin (%) 36.87% 38.13% 39.16% 40.07% 39.86% 41.17% 39.70% 39.70% 39.70% 39.70% 39.70% Deferred Income Taxes 532.0 518.0 0.0Long Term(27) 2.4% 2.4% 3.0% 10. EBIT Margin (%) 13.93% 11.09% 19.55% 18.24% 11.93% 14.80% 12.54% 12.54% 12.54% 12.54% 12.54% Assets of discontinued operations 6,227.0 0.0 0.0

Fully Diluted Shares Outstanding

LTM Return on Investment Ratios

LTM Credit Statistics

Cash Flow Statement Data

Growth Rates

Estimates

DD Fiscal Year Ended December 31,NYSE

31-DecNANA

1.6840.00%

Market Data

Adjusted Income Statement

Trading Multiples

E. I. Du Pont de Nemours and Company (NYSE:DD)

General Information Reported Income Statement Balance Sheet DataE. I. Du Pont de Nemours and Company Extended Historical Period Projection Period

Page 27: Eastman Chemical Company

Comparable Companies AnalysisComparables Input Page — Values in Millions, USD except per-share data Fiscal Year Ended December 31,

Company(1) Prior Current 2014 A 2015 A 2/28/17Ticker(2) Stub Stub LTM Cash and Cash Equivalents 1,031.0 924.0 740.0Exchange 2011 A 2012 A 2013 A 2014 A 2015 A 3Q15 3Q16 2/28/17 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E Receivables, Net 3,448.0 2,517.0 2,852.0Fiscal Year Ended Revenue 48,183.0 45,352.0 44,062.0 45,608.0 32,735.0 25,664.0 21,436.0 28,507.0 29,183.0 28,192.0 25,288.0 20,937.1 15,889.2 16,273.3 Inventories 4,517.0 4,051.0 4,015.0Moody's Rating COGS 42,732.0 39,595.0 37,940.0 38,939.0 25,683.0 19,891.0 16,771.0 22,563.0 23,191.0 23,487.7 21,068.4 17,443.5 13,237.9 13,557.8 Prepaid and Other Current Assets 2,649.0 2,297.0 1,946.0S&P Rating Gross Profit 5,451.0 5,757.0 6,122.0 6,669.0 7,052.0 5,773.0 4,665.0 5,944.0 5,992.0 4,704.2 4,219.7 3,493.7 2,651.3 2,715.4 Total Current Assets 11,645.0 9,789.0 9,553.0Predicted Beta Operating Expenses 1,114.0 1,081.0 1,020.0 933.0 930.0 627.0 580.0 883.0 932.0 676.8 607.0 502.6 381.4 390.6Marginal Tax Rate Other Expenses / (Income) 131.0 (125.0) (181.0) (291.0) (359.0) (284.0) (390.0) (465.0) (468.0) (201.6) (180.9) (149.7) (113.6) (116.4) Property, Plant & Equipment, Net 9,142.0 9,388.0 10,456.0

EBIT 4,206.0 4,801.0 5,283.0 6,027.0 6,481.0 5,430.0 4,475.0 5,526.0 5,528.0 4,229.1 3,793.5 3,140.8 2,383.5 2,441.2 Goodwill and Intangible Assets 3,434.0 3,580.0 3,410.0Net Interest 1,007.0 640.0 294.0 319.0 277.0 207.0 224.0 294.0 305.0 208.0 186.5 154.4 117.2 120.0 Total Assets 24,221.0 22,757.0 23,419.0

Current Share Price(3) 2/28/17 $91.24 EBT 3,199.0 4,161.0 4,989.0 5,708.0 6,204.0 5,223.0 4,251.0 5,232.0 5,223.0 4,021.1 3,606.9 2,986.3 2,266.3 2,321.1% 52-week High(5) 93.4% Income Tax Expense 1,059.0 1,327.0 1,136.0 1,540.0 1,730.0 1,468.0 1,104.0 1,366.0 1,386.0 1,085.4 973.6 806.1 611.7 626.5 Payables, Net 3,064.0 2,182.0 2,329.052-week High(4) 2/28/17 97.64 Noncontrolling Interest (7.0) (14.0) (4.0) (6.0) (2.0) (2.0) 1.0 1.0 1.0 (1.7) (1.5) (1.3) (1.0) (1.0) Accrued Liabilities 1,554.0 1,810.0 1,357.052-week Low 2/28/17 69.82 Preferred Dividends 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Other Current Liabilities 469.0 0.0 0.0Dividend Per Share (MRQ) Net Income 2,147.0 2,848.0 3,857.0 4,174.0 4,476.0 3,757.0 3,146.0 3,868.0 3,836.0 2,937.5 2,634.9 2,181.6 1,655.6 1,695.6 Total Current Liabilities 5,087.0 3,992.0 3,686.0

Basic Shares Outstanding 402.5 Effective Tax Rate 33.10% 31.89% 22.77% 26.98% 27.89% 28.11% 25.97% 26.11% 26.99% 26.99% 26.99% 26.99% 26.99% 26.99%Fully Diluted Shares Outstanding 402.5 Total Debt 7,045.0 8,028.0 9,088.0

Market Capitalization(6) 36,727.0 Weighted Avg. Diluted Shares 574.1 578.9 571.4 522.4 466.7 466.5 413.9 427.4 420.2 402.5 398.5 394.5 392.5 390.6 Other Long-Term Liabilities 3,745.0 4,163.0 4,538.0Equity Value(7) 36,727.0 Diluted EPS 3.74 4.92 6.75 7.99 9.59 8.05 7.60 9.05 9.13 7.30 6.61 5.53 4.22 4.34 Total Liabilities 15,877.0 16,183.0 17,312.0

Plus: Total Debt 9,088.0 Percent Change in Shares Outstanding NA 0.84% (1.29%) (8.58%) (10.66%) * Approximately (8.43%) (9.98%) (4.19%) (1.00%) (1.00%) (0.50%) (0.50%)Plus: Preferred Equity 0.0 Noncontrolling Interest 30.0 24.0 25.0Plus: Noncontrolling Interest 25.0 Preferred Equity 0.0 0.0 0.0Less: Cash and Cash Equivalents (740.0) Reported Gross Profit 5,451.0 5,757.0 6,122.0 6,669.0 7,052.0 5,773.0 4,665.0 5,944.0 5,992.0 4,704.2 4,219.7 3,493.7 2,651.3 2,715.4 Shareholders' Equity 8,314.0 6,550.0 6,082.0

Enterprise Value(8) 45,100.0 Non-Recurring Items in COGS 0.0 Total Liabilities and Equity 24,221.0 22,757.0 23,419.0Adj. Gross Profit 5,451.0 5,757.0 6,122.0 6,669.0 7,052.0 5,773.0 4,665.0 5,944.0 5,992.0 4,704.2 4,219.7 3,493.7 2,651.3 2,715.4 Balance Yes Yes Yes

% Margin 11.3% 12.7% 13.9% 14.6% 21.5% 22.5% 21.8% 20.9% 20.5% 16.7% 16.7% 16.7% 16.7% 16.7%(9-20, 23-26) Historical LTM

2015 A 2/28/17 2016 E 2017 E Reported EBIT 4,206.0 4,801.0 5,283.0 6,027.0 6,481.0 5,430.0 4,475.0 5,526.0 5,528.0 4,229.1 3,793.5 3,140.8 2,383.5 2,441.2EV/Revenue 1.4 x 1.6 x 1.5 x 1.6 x Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Basic Shares Outstanding 402.5

Metric 32,735.0 28,507.0 29,183.0 28,192.0 Other Non-Recurring Items 0.0 Plus: Shares from In-the-Money Options 0.0EV/EBITDA 6.0 x 6.9 x 6.8 x 8.6 x Adjusted EBIT 4,206.0 4,801.0 5,283.0 6,027.0 6,481.0 5,430.0 4,475.0 5,526.0 5,528.0 4,229.1 3,793.5 3,140.8 2,383.5 2,441.2 Less: Shares Repurchased 0.0

Metric 7,528.0 6,582.0 6,592.0 5,257.0 % Margin 8.7% 10.6% 12.0% 13.2% 19.8% 21.2% 20.9% 19.4% 18.9% 15.0% 15.0% 15.0% 15.0% 15.0% Net New Shares from Options 0.0EV/EBIT 7.0 x 8.2 x 8.2 x 10.7 x Plus: Shares from Convertible Securities 0.0

Metric 6,481.0 5,526.0 5,528.0 4,229.1 Depreciation & Amortization 931.0 983.0 1,021.0 1,019.0 1,047.0 782.0 791.0 1,056.0 1,064.0 1,027.9 922.0 763.4 579.3 593.3 Fully Diluted Shares Outstanding 402.5P/E 9.5 x 4.2 x 10.0 x 12.5 x Adjusted EBITDA 5,137.0 5,784.0 6,304.0 7,046.0 7,528.0 6,212.0 5,266.0 6,582.0 6,592.0 5,257.0 4,715.5 3,904.1 2,962.9 3,034.5

Metric 9.6 22.0 9.1 7.3 % Margin 10.7% 12.8% 14.3% 15.4% 23.0% 24.2% 24.6% 23.1% 22.6% 18.6% 18.6% 18.6% 18.6% 18.6% Options/WarrantsNumber of Exercise In-the-Money

Reported Net Income 2,147.0 2,848.0 3,857.0 4,174.0 4,476.0 3,757.0 3,146.0 3,868.0 3,836.0 2,937.5 2,634.9 2,181.6 1,655.6 1,695.6 Tranche Shares Price Shares ProceedsReturn on Invested Capital 39.35% Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 1 0.0 0.0Return on Equity 148.73% Other Non-Recurring Items 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 2 0.0 0.0Return on Assets 40.69% Non-Operating Non-Rec. Items 5,430.0 4,475.0 5,526.0 Tranche 3 0.0 0.0Implied Annual Dividend Per Share 0.00% Tax Adjustment 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 4 0.0 0.0

Adjusted Net Income 2,147.0 2,848.0 3,857.0 4,174.0 4,476.0 9,187.0 7,621.0 9,394.0 3,836.0 2,937.5 2,634.9 2,181.6 1,655.6 1,695.6 Tranche 5 0.0 0.0% Margin 4.5% 6.3% 8.8% 9.2% 13.7% 35.8% 35.6% 33.0% 13.1% 10.4% 10.4% 10.4% 10.4% 10.4% Total 0.0 0.0 0.0

Debt/Total Capitalization 59.91%Total Debt/EBITDA(22) 1.4x Adjusted Diluted EPS 3.74 4.92 6.75 7.99 9.59 19.69 18.41 21.98 9.13 7.30 6.61 5.53 4.22 4.34 Convertible SecuritiesNet Debt/EBITDA 1.5x Conversion Conversion NewEITDA/Interest Expense 22.4x Issue Amount Price Ratio Shares[EBITDA-Capex]/Interest Expense 15.0x Depreciation and Amortization 931.0 983.0 1,021.0 1,019.0 1,047.0 782.0 791.0 1,056.0 1,064.0 1,027.9 922.0 763.4 579.3 593.3 Issue 1 0.0 0.0EBIT/Interest Expense 18.8x % Revenue 1.93% 2.17% 2.32% 2.23% 3.20% 3.05% 3.69% 3.70% 3.65% 3.65% 3.65% 3.65% 3.65% 3.65% Issue 2 0.0 0.0

Capital Expenditures 1,050.0 1,060.0 1,561.0 1,499.0 1,440.0 957.0 1,676.0 2,159.0 2,243.0 2,166.8 1,943.6 1,609.2 1,221.2 1,250.8 Issue 3 0.0 0.0% Revenue 2.18% 2.34% 3.54% 3.29% 4.40% 3.73% 7.82% 7.57% 7.69% 7.69% 7.69% 7.69% 7.69% 7.69% Issue 4 0.0 0.0

Revenue EBITDA EPS Issue 5 0.0 0.0Historical Total 0.0

CAGR (4-Year) (9.2%) 10.0% 26.5%CAGR (2-Year) (13.8%) 9.3% 19.2% Notes and Assumptions Balance Sheet Raw Data and Details Dec. 31, 2014 Dec. 31, 2015 Sep. 30, 20162012 A (5.9%) 12.6% 31.6% 1. Revenue Growth Rate NA (5.88%) (2.84%) 3.51% (28.23%) St. Dev. (Revenue Growth) 13.81% 3.51% (3.40%) (10.30%) (17.21%) (24.11%) 2.42% 2014 A 2015 A 3Q162013 A (2.8%) 9.0% 37.2% 2. Average Revenue Growth (Last 5 Years) (8.36%) 30,780.0 Slope to the Risk-Free Rate Consolidated Balance Sheets2014 A 3.5% 11.8% 18.4% 3. COGS (% Revenue) 88.7% 87.3% 86.1% 85.4% 78.5% St. Dev. (COGS %) 3.98% 83.31% 83.31% 83.31% 83.31% 83.31% 83.31% Current assets:2015 A (28.2%) 6.8% 20.0% 4. Operating Expenses (% Revenue) 2.3% 2.4% 2.3% 2.0% 2.8% St. Dev. (Op. Ex. %) 0.33% 2.40% 2.40% 2.40% 2.40% 2.40% 2.40% Cash and cash equivalents 1,031.0 924.0 740.0

5. Other Expenses (% Revenue) 0.27% (0.28%) (0.41%) (0.64%) (1.10%) St. Dev. (Other Ex. %) 0.36% (0.72%) (0.72%) (0.72%) (0.72%) (0.72%) (0.72%) Restricted cash 2.0 7.0 4.0Estimated 6. Net Interest (% Revenue) 2.09% 1.41% 0.67% 0.70% 0.85% St. Dev. (Net Interest %) 0.35% 0.74% 0.74% 0.74% 0.74% 0.74% 0.74% Short-term investments 1,593.0 1,064.0 1,090.0

2016 E (10.9%) (12.4%) (4.8%) 7. NCI (% Revenue) (0.01%) (0.03%) (0.01%) (0.01%) (0.01%) St. Dev. (NCI %) 0.01% (0.01%) (0.01%) (0.01%) (0.01%) (0.01%) (0.01%) Accounts receivable:CAGR (2-Year) (7.2%) (16.4%) (12.8%) 8. Preferred Dividends (% Revenue) 0.00% 0.00% 0.00% 0.00% 0.00% St. Dev. (Preferred Div. %) 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Trade, net 3,226.0 2,363.0 2,702.0CAGR (4-Year) (10.6%) (15.1%) (12.9%) 9. Gross Profit Margin (%) 11.31% 12.69% 13.89% 14.62% 21.54% 20.53% 16.69% 16.69% 16.69% 16.69% 16.69% Related parties 222.0 154.0 150.0Long Term(27) 2.4% 2.4% 2.9% 10. EBIT Margin (%) 8.73% 10.59% 11.99% 13.21% 19.80% 18.94% 15.00% 15.00% 15.00% 15.00% 15.00% Inventories 4,517.0 4,051.0 4,015.0

Fully Diluted Shares Outstanding

LTM Return on Investment Ratios

LTM Credit Statistics

Cash Flow Statement Data

Growth Rates

Estimates

LYB Fiscal Year Ended December 31,NYSE

31-DecNANA

1.0440.00%

Market Data

Adjusted Income Statement

Trading Multiples

LyondellBasell Industries N.V. (NYSE:LYB)

General Information Reported Income Statement Balance Sheet DataLyondellBasell Industries N.V. Extended Historical Period Projection Period

Page 28: Eastman Chemical Company

Comparable Companies AnalysisComparables Input Page — Values in Millions, USD except per-share data Fiscal Year Ended December 31,

Company(1) Prior Current 2014 A 2015 A 2/28/17Ticker(2) Stub Stub LTM Cash and Cash Equivalents 780.0 967.0 1,252.0Exchange 2011 A 2012 A 2013 A 2014 A 2015 A 3Q15 3Q16 2/28/17 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E Receivables, Net 1,042.0 991.0 1,005.0Fiscal Year Ended Revenue 6,763.0 6,418.0 6,510.0 6,802.0 5,674.0 4,340.0 4,078.0 5,412.0 5,389.0 5,970.0 6,488.8 6,917.0 7,228.8 7,403.5 Inventories 782.0 682.0 652.0Moody's Rating COGS 5,408.0 5,288.0 5,177.0 5,206.0 4,367.0 3,290.0 3,002.0 4,079.0 3,993.0 4,637.2 5,040.2 5,372.8 5,615.0 5,750.7 Prepaid and Other Current Assets 94.0 147.0 69.0S&P Rating Gross Profit 1,355.0 1,130.0 1,333.0 1,596.0 1,307.0 1,050.0 1,076.0 1,333.0 1,396.0 1,332.8 1,448.6 1,544.2 1,613.8 1,652.8 Total Current Assets 2,698.0 2,787.0 2,978.0Predicted Beta Operating Expenses 903.0 934.0 396.0 844.0 625.0 395.0 290.0 520.0 494.0 597.0 648.9 691.7 722.9 740.4Marginal Tax Rate Other Expenses / (Income) (234.0) (304.0) (843.0) (328.0) 78.0 (186.0) (176.0) 88.0 (244.0) 74.6 81.1 86.5 90.4 92.5 Property, Plant & Equipment, Net 4,609.0 4,447.0 4,442.0

EBIT 686.0 500.0 1,780.0 1,080.0 604.0 841.0 962.0 725.0 1,146.0 661.2 718.6 766.1 800.6 819.9 Goodwill and Intangible Assets 1,489.0 1,352.0 1,337.0Net Interest 218.0 183.0 171.0 146.0 118.0 85.0 90.0 123.0 118.0 125.4 136.3 145.3 151.8 155.5 Total Assets 8,796.0 8,586.0 8,757.0

Current Share Price(3) 2/28/17 $89.17 EBT 468.0 317.0 1,609.0 934.0 486.0 756.0 872.0 602.0 1,028.0 535.8 582.4 620.8 648.8 664.5% 52-week High(5) 97.8% Income Tax Expense 41.0 (55.0) 508.0 314.0 201.0 170.0 127.0 158.0 122.0 180.8 196.5 209.5 218.9 224.2 Payables, Net 757.0 587.0 591.052-week High(4) 2/28/17 91.17 Noncontrolling Interest 0.0 0.0 0.0 (4.0) (19.0) (16.0) 5.0 2.0 6.0 (20.0) (21.7) (23.2) (24.2) (24.8) Accrued Liabilities 0.0 0.0 0.052-week Low 2/28/17 60.08 Preferred Dividends 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Other Current Liabilities 444.0 450.0 415.0Dividend Per Share (MRQ) Net Income 427.0 372.0 1,101.0 624.0 304.0 602.0 740.0 442.0 900.0 375.0 407.6 434.5 454.1 465.1 Total Current Liabilities 1,201.0 1,037.0 1,006.0

Basic Shares Outstanding 140.9 Effective Tax Rate 8.76% (17.35%) 31.57% 33.62% 41.36% 22.49% 14.56% 26.25% 33.74% 33.74% 33.74% 33.74% 33.74% 33.74%Fully Diluted Shares Outstanding 140.9 Total Debt 2,723.0 2,981.0 3,015.0

Market Capitalization(6) 12,566.4 Weighted Avg. Diluted Shares 158.7 159.7 159.3 156.0 152.0 150.5 144.8 146.3 145.6 140.9 138.7 137.3 135.9 134.5 Other Long-Term Liabilities 1,794.0 1,739.0 1,585.0Equity Value(7) 12,566.4 Diluted EPS 2.69 2.33 6.91 4.00 2.00 4.00 5.11 3.02 6.18 2.66 2.94 3.17 3.34 3.46 Total Liabilities 5,718.0 5,757.0 5,606.0

Plus: Total Debt 3,015.0 Percent Change in Shares Outstanding NA 0.58% (0.20%) (2.09%) (2.56%) * Approximately (3.76%) (4.19%) (3.23%) (1.62%) (1.00%) (1.00%) (1.00%)Plus: Preferred Equity 0.0 Noncontrolling Interest 260.0 451.0 441.0Plus: Noncontrolling Interest 441.0 Preferred Equity 0.0 0.0 0.0Less: Cash and Cash Equivalents (1,252.0) Reported Gross Profit 1,355.0 1,130.0 1,333.0 1,596.0 1,307.0 1,050.0 1,076.0 1,333.0 1,396.0 1,332.8 1,448.6 1,544.2 1,613.8 1,652.8 Shareholders' Equity 2,818.0 2,378.0 2,710.0

Enterprise Value(8) 14,770.4 Non-Recurring Items in COGS 0.0 Total Liabilities and Equity 8,796.0 8,586.0 8,757.0Adj. Gross Profit 1,355.0 1,130.0 1,333.0 1,596.0 1,307.0 1,050.0 1,076.0 1,333.0 1,396.0 1,332.8 1,448.6 1,544.2 1,613.8 1,652.8 Balance Yes Yes Yes

% Margin 20.0% 17.6% 20.5% 23.5% 23.0% 24.2% 26.4% 24.6% 25.9% 22.3% 22.3% 22.3% 22.3% 22.3%(9-20, 23-26) Historical LTM

2015 A 2/28/17 2016 E 2017 E Reported EBIT 686.0 500.0 1,780.0 1,080.0 604.0 841.0 962.0 725.0 1,146.0 661.2 718.6 766.1 800.6 819.9EV/Revenue 2.6 x 2.7 x 2.7 x 2.5 x Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Basic Shares Outstanding 140.9

Metric 5,674.0 5,412.0 5,389.0 5,970.0 Other Non-Recurring Items 0.0 Plus: Shares from In-the-Money Options 0.0EV/EBITDA 15.3 x 14.0 x 10.3 x 15.0 x Adjusted EBIT 686.0 500.0 1,780.0 1,080.0 604.0 841.0 962.0 725.0 1,146.0 661.2 718.6 766.1 800.6 819.9 Less: Shares Repurchased 0.0

Metric 967.0 1,054.0 1,441.0 988.0 % Margin 10.1% 7.8% 27.3% 15.9% 10.6% 19.4% 23.6% 13.4% 21.3% 11.1% 11.1% 11.1% 11.1% 11.1% Net New Shares from Options 0.0EV/EBIT 24.5 x 20.4 x 12.9 x 22.3 x Plus: Shares from Convertible Securities 0.0

Metric 604.0 725.0 1,146.0 661.2 Depreciation & Amortization 311.0 320.0 319.0 298.0 363.0 257.0 223.0 329.0 295.0 326.8 355.2 378.6 395.7 405.3 Fully Diluted Shares Outstanding 140.9P/E 44.6 x 11.2 x 14.4 x 33.5 x Adjusted EBITDA 997.0 820.0 2,099.0 1,378.0 967.0 1,098.0 1,185.0 1,054.0 1,441.0 988.0 1,073.8 1,144.7 1,196.3 1,225.2

Metric 2.0 8.0 6.2 2.7 % Margin 14.7% 12.8% 32.2% 20.3% 17.0% 25.3% 29.1% 19.5% 26.7% 16.5% 16.5% 16.5% 16.5% 16.5% Options/WarrantsNumber of Exercise In-the-Money

Reported Net Income 427.0 372.0 1,101.0 624.0 304.0 602.0 740.0 442.0 900.0 375.0 407.6 434.5 454.1 465.1 Tranche Shares Price Shares ProceedsReturn on Invested Capital 16.36% Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 1 0.0 0.0Return on Equity 45.87% Other Non-Recurring Items 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 2 0.0 0.0Return on Assets 13.46% Non-Operating Non-Rec. Items 841.0 962.0 725.0 Tranche 3 0.0 0.0Implied Annual Dividend Per Share 0.00% Tax Adjustment 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 4 0.0 0.0

Adjusted Net Income 427.0 372.0 1,101.0 624.0 304.0 1,443.0 1,702.0 1,167.0 900.0 375.0 407.6 434.5 454.1 465.1 Tranche 5 0.0 0.0% Margin 6.3% 5.8% 16.9% 9.2% 5.4% 33.2% 41.7% 21.6% 16.7% 6.3% 6.3% 6.3% 6.3% 6.3% Total 0.0 0.0 0.0

Debt/Total Capitalization 52.66%Total Debt/EBITDA(22) 2.9x Adjusted Diluted EPS 2.69 2.33 6.91 4.00 2.00 9.59 11.76 7.98 6.18 2.66 2.94 3.17 3.34 3.46 Convertible SecuritiesNet Debt/EBITDA 2.4x Conversion Conversion NewEITDA/Interest Expense 8.6x Issue Amount Price Ratio Shares[EBITDA-Capex]/Interest Expense 6.0x Depreciation and Amortization 311.0 320.0 319.0 298.0 363.0 257.0 223.0 329.0 295.0 326.8 355.2 378.6 395.7 405.3 Issue 1 0.0 0.0EBIT/Interest Expense 5.9x % Revenue 4.60% 4.99% 4.90% 4.38% 6.40% 5.92% 5.47% 6.08% 5.47% 5.47% 5.47% 5.47% 5.47% 5.47% Issue 2 0.0 0.0

Capital Expenditures 349.0 349.0 277.0 254.0 232.0 108.0 186.0 310.0 246.0 272.5 296.2 315.8 330.0 338.0 Issue 3 0.0 0.0% Revenue 5.16% 5.44% 4.25% 3.73% 4.09% 2.49% 4.56% 5.73% 4.56% 4.56% 4.56% 4.56% 4.56% 4.56% Issue 4 0.0 0.0

Revenue EBITDA EPS Issue 5 0.0 0.0Historical Total 0.0

CAGR (4-Year) (4.3%) (0.8%) (7.1%)CAGR (2-Year) (6.6%) (32.1%) (46.2%) Notes and Assumptions Balance Sheet Raw Data and Details Dec. 31, 2014 Dec. 31, 2015 Sep. 30, 20162012 A (5.1%) (17.8%) (13.4%) 1. Revenue Growth Rate NA (5.10%) 1.43% 4.49% (16.58%) St. Dev. (Revenue Growth) 9.33% 4.49% 10.78% 8.69% 6.60% 4.51% 2.42% Consolidated Balance Sheets 2014 A 2015 A 3Q162013 A 1.4% 156.0% 196.6% 2. Average Revenue Growth (Last 5 Years) (3.94%) 5,970.0 (2.09%) Slope to the Risk-Free Rate Current Assets2014 A 4.5% (34.3%) (42.1%) 3. COGS (% Revenue) 80.0% 82.4% 79.5% 76.5% 77.0% St. Dev. (COGS %) 2.70% 77.68% 77.68% 77.68% 77.68% 77.68% 77.68% Cash and cash equivalents 780.0 967.0 1,252.02015 A (16.6%) (29.8%) (50.0%) 4. Operating Expenses (% Revenue) 13.4% 14.6% 6.1% 12.4% 11.0% St. Dev. (Op. Ex. %) 3.60% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% Trade receivables 801.0 706.0 791.0

5. Other Expenses (% Revenue) (3.46%) (4.74%) (12.95%) (4.82%) 1.37% St. Dev. (Other Ex. %) 5.88% 1.25% 1.25% 1.25% 1.25% 1.25% 1.25% Non-trade receivables, net 241.0 285.0 214.0Estimated 6. Net Interest (% Revenue) 3.22% 2.85% 2.63% 2.15% 2.08% St. Dev. (Net Interest %) 0.37% 2.10% 2.10% 2.10% 2.10% 2.10% 2.10% Inventories 782.0 682.0 652.0

2016 E (5.0%) 49.0% 209.0% 7. NCI (% Revenue) 0.00% 0.00% 0.00% (0.06%) (0.33%) St. Dev. (NCI %) 0.16% (0.33%) (0.33%) (0.33%) (0.33%) (0.33%) (0.33%) Deferred income taxes 29.0 68.0 0.0CAGR (2-Year) 2.6% 1.1% 15.3% 8. Preferred Dividends (% Revenue) 0.00% 0.00% 0.00% 0.00% 0.00% St. Dev. (Preferred Div. %) 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Marketable securities, at fair value 32.0 30.0 34.0CAGR (4-Year) 5.1% 4.3% 12.2% 9. Gross Profit Margin (%) 20.04% 17.61% 20.48% 23.46% 23.03% 25.90% 22.32% 22.32% 22.32% 22.32% 22.32% Other assets 33.0 49.0 35.0Long Term(27) 2.4% 2.4% 3.5% 10. EBIT Margin (%) 10.14% 7.79% 27.34% 15.88% 10.65% 21.27% 11.07% 11.07% 11.07% 11.07% 11.07% Total current assets 2,698.0 2,787.0 2,978.0

Fully Diluted Shares Outstanding

LTM Return on Investment Ratios

LTM Credit Statistics

Cash Flow Statement Data

Growth Rates

Estimates

CE Fiscal Year Ended December 31,NYSE

31-DecNANA

1.2340.00%

Market Data

Adjusted Income Statement

Trading Multiples

Celanese Corporation (NYSE:CE)

General Information Reported Income Statement Balance Sheet DataCelanese Corporation Extended Historical Period Projection Period

Page 29: Eastman Chemical Company

Comparable Companies Analysis Significant price change Feb 27 - Feb 28. Look into this further.Values Converted to Millions, USD except per-share data Fiscal Year Ended December 31, Values Converted to Millions, USD

Company(1) Prior Current 2014 A 2015 A 2/28/17Ticker(2) Stub Stub LTM Cash and Cash Equivalents 2,489.8 213.7 233.6Exchange 2011 A 2012 A 2013 A 2014 A 2015 A 3Q15 3Q16 2/28/17 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E Receivables, Net 434.6 632.7 491.5Fiscal Year Ended Revenue 2,869.0 2,519.2 2,394.3 2,445.5 3,651.3 2,721.0 2,188.7 3,119.1 3,119.1 2,760.0 2,826.7 2,895.0 2,965.0 3,036.7 Inventories 358.4 508.7 505.0Moody's Rating COGS 1,914.1 1,620.3 1,543.8 1,674.7 2,454.5 1,849.7 1,364.3 1,969.0 2,081.3 1,841.7 1,886.2 1,931.8 1,978.4 2,026.3 Prepaid and Other Current Assets 66.1 475.8 327.6S&P Rating Gross Profit 954.9 898.8 850.5 770.8 1,196.9 871.2 824.5 1,150.1 1,037.8 918.3 940.5 963.3 986.6 1,010.4 Total Current Assets 3,348.9 1,831.0 1,557.7Predicted Beta Operating Expenses 437.2 387.4 240.4 443.4 615.1 498.2 376.4 493.4 468.1 414.2 424.2 434.5 445.0 455.7Marginal Tax Rate Other Expenses / (Income) (44.1) 68.1 4.2 106.7 59.8 46.5 253.5 266.9 64.2 56.8 58.2 59.6 61.0 62.5 Property, Plant & Equipment, Net 1,425.9 2,940.2 2,813.7

EBIT 561.9 443.4 605.8 220.7 521.9 326.5 194.5 389.9 505.5 447.3 458.2 469.2 480.6 492.2 Goodwill and Intangible Assets 448.3 4,843.9 5,025.5Net Interest 37.6 32.8 31.6 41.4 132.7 101.0 57.0 88.7 83.1 73.5 75.3 77.1 79.0 80.9 Total Assets 5,223.1 9,615.0 9,396.9

Current Share Price(3) 2/28/17 $101.51 EBT 524.3 410.6 574.3 179.4 389.2 225.6 137.5 301.2 422.5 373.8 382.9 392.1 401.6 411.3% 52-week High(5) 99.0% Income Tax Expense 104.1 80.4 134.4 18.5 29.1 48.2 67.0 48.0 47.5 42.0 43.0 44.1 45.1 46.2 Payables, Net 231.7 306.5 241.552-week High(4) 2/28/17 102.56 Noncontrolling Interest 28.1 18.6 26.7 27.6 25.2 16.7 28.9 37.3 21.5 19.0 19.5 19.9 20.4 20.9 Accrued Liabilities 166.2 402.4 240.752-week Low 2/28/17 56.03 Preferred Dividends 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Other Current Liabilities 30.9 230.4 193.8Dividend Per Share (MRQ) Net Income 392.1 311.5 413.2 133.3 334.9 160.7 41.6 215.8 353.5 312.8 320.4 328.1 336.0 344.2 Total Current Liabilities 428.8 939.3 675.9

Basic Shares Outstanding 112.5 Effective Tax Rate 19.86% 19.59% 23.41% 10.30% 7.48% 21.36% 48.74% 15.93% 11.24% 11.24% 11.24% 11.24% 11.24% 11.24%Fully Diluted Shares Outstanding 112.5 Total Debt 2,934.1 3,852.0 3,449.3

Market Capitalization(6) 11,417.4 Weighted Avg. Diluted Shares 91.6 89.8 84.3 78.9 111.6 70.9 114.5 111.6 112.5 111.9 111.4 110.8 110.2 109.7 Other Long-Term Liabilities 371.5 1,422.3 1,820.2Equity Value(7) 11,417.4 Diluted EPS 4.28 3.47 4.90 1.69 3.00 2.27 0.36 1.93 3.14 2.80 2.88 2.96 3.05 3.14 Total Liabilities 3,734.5 6,213.7 5,945.5

Plus: Total Debt 3,449.3 Percent Change in Shares Outstanding NA (2.00%) (6.08%) (6.45%) 41.52% * Approximately 0.00% 0.75% (0.50%) (0.50%) (0.50%) (0.50%) (0.50%)Plus: Preferred Equity 0.0 Noncontrolling Interest 129.2 146.9 152.4Plus: Noncontrolling Interest 152.4 Preferred Equity 0.0 0.0 0.0Less: Cash and Cash Equivalents (233.6) Reported Gross Profit 954.9 898.8 850.5 770.8 1,196.9 871.2 824.5 1,150.1 1,037.8 918.3 940.5 963.3 986.6 1,010.4 Shareholders' Equity 1,359.5 3,254.4 3,299.0

Enterprise Value(8) 14,785.6 Non-Recurring Items in COGS 0.0 Total Liabilities and Equity 5,223.1 9,615.0 9,396.9Adj. Gross Profit 954.9 898.8 850.5 770.8 1,196.9 871.2 824.5 1,150.1 1,037.8 918.3 940.5 963.3 986.6 1,010.4 Balance Yes Yes Yes

% Margin 33.3% 35.7% 35.5% 31.5% 32.8% 32.0% 37.7% 36.9% 33.3% 33.3% 33.3% 33.3% 33.3% 33.3%(9-20, 23-26) Historical LTM

2015 A 2/28/17 2016 E 2017 E Reported EBIT 561.9 443.4 605.8 220.7 521.9 326.5 194.5 389.9 505.5 447.3 458.2 469.2 480.6 492.2EV/Revenue 4.0 x 4.7 x 4.7 x 5.4 x Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Basic Shares Outstanding 112.5

Metric 3,651.3 3,119.1 3,119.1 2,760.0 Other Non-Recurring Items 0.0 Plus: Shares from In-the-Money Options 0.0EV/EBITDA 18.9 x 23.6 x 19.9 x 22.5 x Adjusted EBIT 561.9 443.4 605.8 220.7 521.9 326.5 194.5 389.9 505.5 447.3 458.2 469.2 480.6 492.2 Less: Shares Repurchased 0.0

Metric 782.0 626.0 741.7 656.3 % Margin 19.6% 17.6% 25.3% 9.0% 14.3% 12.0% 8.9% 12.5% 16.2% 16.2% 16.2% 16.2% 16.2% 16.2% Net New Shares from Options 0.0EV/EBIT 28.3 x 37.9 x 29.2 x 33.1 x Plus: Shares from Convertible Securities 0.0

Metric 521.9 389.9 505.5 447.3 Depreciation & Amortization 96.8 99.0 107.4 103.6 260.1 200.4 176.4 236.2 236.2 209.0 214.0 219.2 224.5 229.9 Fully Diluted Shares Outstanding 112.5P/E 33.8 x 18.7 x 32.3 x 36.3 x Adjusted EBITDA 658.7 542.4 713.2 324.3 782.0 526.9 371.0 626.0 741.7 656.3 672.2 688.4 705.1 722.1

Metric 3.0 5.4 3.1 2.8 % Margin 23.0% 21.5% 29.8% 13.3% 21.4% 19.4% 16.9% 20.1% 23.8% 23.8% 23.8% 23.8% 23.8% 23.8% Options/WarrantsNumber of Exercise In-the-Money

Reported Net Income 392.1 311.5 413.2 133.3 334.9 160.7 41.6 215.8 353.5 312.8 320.4 328.1 336.0 344.2 Tranche Shares Price Shares ProceedsReturn on Invested Capital 5.82% Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 1 0.0 0.0Return on Equity 18.49% Other Non-Recurring Items 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 2 0.0 0.0Return on Assets 6.37% Non-Operating Non-Rec. Items 326.5 194.5 389.9 Tranche 3 0.0 0.0Implied Annual Dividend Per Share 0.00% Tax Adjustment 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 4 0.0 0.0

Adjusted Net Income 392.1 311.5 413.2 133.3 334.9 487.2 236.1 605.7 353.5 312.8 320.4 328.1 336.0 344.2 Tranche 5 0.0 0.0% Margin 13.7% 12.4% 17.3% 5.5% 9.2% 17.9% 10.8% 19.4% 11.3% 11.3% 11.3% 11.3% 11.3% 11.3% Total 0.0 0.0 0.0

Debt/Total Capitalization 51.11%Total Debt/EBITDA(22) 5.5x Adjusted Diluted EPS 4.28 3.47 4.90 1.69 3.00 6.87 2.06 5.43 3.14 2.80 2.88 2.96 3.05 3.14 Convertible SecuritiesNet Debt/EBITDA 8.2x Conversion Conversion NewEITDA/Interest Expense 7.1x Issue Amount Price Ratio Shares[EBITDA-Capex]/Interest Expense 4.8x Depreciation and Amortization 96.8 99.0 107.4 103.6 260.1 200.4 176.4 236.2 236.2 209.0 214.0 219.2 224.5 229.9 Issue 1 0.0 0.0EBIT/Interest Expense 4.4x % Revenue 3.37% 3.93% 4.48% 4.24% 7.12% 7.36% 8.06% 7.57% 7.57% 7.57% 7.57% 7.57% 7.57% 7.57% Issue 2 0.0 0.0

Capital Expenditures 190.6 280.9 155.3 110.6 227.6 164.6 141.3 204.4 204.4 180.9 185.2 189.7 194.3 199.0 Issue 3 0.0 0.0% Revenue 6.64% 11.15% 6.49% 4.52% 6.23% 6.05% 6.46% 6.55% 6.55% 6.55% 6.55% 6.55% 6.55% 6.55% Issue 4 0.0 0.0

Revenue EBITDA EPS Issue 5 0.0 0.0Historical Total 0.0

CAGR (4-Year) 6.2% 4.4% (8.5%)CAGR (2-Year) 23.5% 4.7% (21.8%) Notes and Assumptions Balance Sheet Raw Data and Details Dec. 31, 2014 Dec. 31, 2015 Sep. 30, 20162012 A (12.2%) (17.7%) (18.9%) 1. Revenue Growth Rate NA (12.19%) (4.96%) 2.14% 49.31% St. Dev. (Revenue Growth) 27.78% (14.58%) (11.51%) 2.42% 2.42% 2.42% 2.42% Values in Thousands, USD 2014 A 2015 A 3Q162013 A (5.0%) 31.5% 41.2% 2. Average Revenue Growth (Last 5 Years) 8.57% 3,119.1 2,760.0 Current assets:2014 A 2.1% (54.5%) (65.5%) 3. COGS (% Revenue) 66.7% 64.3% 64.5% 68.5% 67.2% St. Dev. (COGS %) 2.06% 66.73% 66.73% 66.73% 66.73% 66.73% 66.73% Cash and cash equivalents 2,489,768 213,734 233,5992015 A 49.3% 141.1% 77.5% 4. Operating Expenses (% Revenue) 15.2% 15.4% 10.0% 18.1% 16.8% St. Dev. (Op. Ex. %) 3.55% 15.01% 15.01% 15.01% 15.01% 15.01% 15.01% Trade accounts receivable 385,212 552,828 441,266

5. Other Expenses (% Revenue) (1.54%) 2.70% 0.18% 4.36% 1.64% St. Dev. (Other Ex. %) 1.76% 2.06% 2.06% 2.06% 2.06% 2.06% 2.06% Other accounts receivable 49,423 79,877 50,250Estimated 6. Net Interest (% Revenue) 1.31% 1.30% 1.32% 1.69% 3.63% St. Dev. (Net Interest %) 1.11% 2.66% 2.66% 2.66% 2.66% 2.66% 2.66% Inventories 358,361 508,728 504,984

2016 E (14.6%) (5.2%) 4.8% 7. NCI (% Revenue) 0.98% 0.74% 1.11% 1.13% 0.69% St. Dev. (NCI %) 0.24% 0.69% 0.69% 0.69% 0.69% 0.69% 0.69% Other current assets 66,086 71,351 72,027CAGR (2-Year) (13.1%) (8.4%) (3.5%) 8. Preferred Dividends (% Revenue) 0.00% 0.00% 0.00% 0.00% 0.00% St. Dev. (Preferred Div. %) 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Assets held for sale 0 404,485 255,577CAGR (4-Year) (5.6%) (3.1%) (0.3%) 9. Gross Profit Margin (%) 33.28% 35.68% 35.52% 31.52% 32.78% 33.27% 33.27% 33.27% 33.27% 33.27% 33.27% Total current assets 3,348,850 1,831,003 1,557,703Long Term(27) 2.4% 2.4% 2.9% 10. EBIT Margin (%) 19.59% 17.60% 25.30% 9.03% 14.29% 16.21% 16.21% 16.21% 16.21% 16.21% 16.21% Property, plant and equipment, at cost2,620,670 3,881,162 3,890,254

Fully Diluted Shares Outstanding

LTM Return on Investment Ratios

LTM Credit Statistics

Cash Flow Statement Data

Growth Rates

Estimates

ALB Fiscal Year Ended December 31,NYSE

31-DecNANA

1.4140.00%

Market Data

Adjusted Income Statement

Trading Multiples

Albemarle Corporation (NYSE:ALB)

General Information Reported Income Statement Balance Sheet DataAlbemarle Corporation Extended Historical Period Projection Period

Page 30: Eastman Chemical Company

Comparable Companies AnalysisValues Converted to Millions, USD except per-share data Fiscal Year Ended December 31, Values Converted to Millions, USD

Company(1) Prior Current 2014 A 2015 A 2/28/17Ticker(2) Stub Stub LTM Cash and Cash Equivalents 880.6 662.5 549.8Exchange 2011 A 2012 A 2013 A 2014 A 2015 A 3Q15 3Q16 2/28/17 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E Receivables, Net 560.7 508.5 1,070.5Fiscal Year Ended Revenue 3,619.8 3,571.0 3,759.5 4,415.4 4,463.3 3,476.6 3,340.3 4,327.0 5,075.5 6,125.0 6,972.1 7,459.0 7,719.4 7,905.9 Inventories 525.8 434.1 744.5Moody's Rating COGS 3,060.8 2,834.1 2,658.0 3,098.0 3,278.1 2,527.6 2,641.2 3,391.8 4,094.9 4,375.6 4,980.7 5,328.5 5,514.5 5,647.8 Prepaid and Other Current Assets 44.2 570.1 54.9S&P Rating Gross Profit 559.0 737.0 1,101.4 1,317.4 1,185.2 949.0 699.1 935.3 980.6 1,749.4 1,991.4 2,130.5 2,204.8 2,258.1 Total Current Assets 2,011.3 2,175.2 2,419.7Predicted Beta Operating Expenses 112.2 121.6 148.0 193.4 225.4 170.3 187.5 242.5 295.4 272.9 310.6 332.3 343.9 352.2Marginal Tax Rate Other Expenses / (Income) (5.6) (12.9) (6.8) 2.7 (38.3) (33.8) 30.8 26.3 47.3 (15.3) (17.4) (18.6) (19.3) (19.8) Property, Plant & Equipment, Net 2,757.6 3,004.1 6,450.9

EBIT 452.4 628.2 960.3 1,121.3 998.1 812.5 480.9 666.5 637.9 1,491.9 1,698.2 1,816.8 1,880.2 1,925.7 Goodwill and Intangible Assets 445.1 396.0 2,026.4Net Interest 51.0 43.0 18.1 37.4 34.7 26.8 37.0 44.9 79.5 42.9 48.9 52.3 54.1 55.4 Total Assets 5,214.0 5,575.3 10,897.0

Current Share Price(3) 2/28/17 $63.43 EBT 401.4 585.2 942.2 1,083.9 963.4 785.7 443.9 621.6 558.4 1,449.0 1,649.4 1,764.5 1,826.1 1,870.3% 52-week High(5) 94.9% Income Tax Expense 142.5 199.6 331.7 398.9 298.4 236.8 129.3 190.9 138.5 475.7 541.5 579.3 599.5 614.0 Payables, Net 261.1 235.3 503.452-week High(4) 2/28/17 66.83 Noncontrolling Interest 0.0 0.0 0.0 6.5 19.0 13.8 14.7 19.8 21.0 26.1 29.7 31.8 32.9 33.7 Accrued Liabilities 276.1 287.3 701.352-week Low 2/28/17 39.48 Preferred Dividends 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Other Current Liabilities 0.0 0.0 0.0Dividend Per Share (MRQ) Net Income 259.0 385.6 610.4 678.5 646.0 535.0 299.9 410.9 398.9 947.2 1,078.2 1,153.5 1,193.7 1,222.6 Total Current Liabilities 537.2 522.6 1,204.7

Basic Shares Outstanding 128.9 Effective Tax Rate 35.49% 34.11% 35.21% 36.80% 30.97% 30.14% 29.14% 30.71% 32.83% 32.83% 32.83% 32.83% 32.83% 32.83%Fully Diluted Shares Outstanding 128.9 Total Debt 764.0 764.1 3,680.6

Market Capitalization(6) 8,177.7 Weighted Avg. Diluted Shares 66.9 133.9 134.2 133.8 132.9 132.1 128.7 129.6 130.3 128.9 127.6 126.4 125.7 125.1 Other Long-Term Liabilities 710.9 726.6 2,187.7Equity Value(7) 8,177.7 Diluted EPS 3.87 2.88 4.55 5.07 4.86 4.05 2.33 3.17 3.06 7.35 8.45 9.13 9.49 9.77 Total Liabilities 2,012.1 2,013.3 7,072.9

Plus: Total Debt 3,680.6 Percent Change in Shares Outstanding NA 100.06% 0.21% (0.24%) (0.68%) * Approximately (2.51%) (1.94%) (0.97%) (1.00%) (1.00%) (0.50%) (0.50%)Plus: Preferred Equity 0.0 Noncontrolling Interest 290.4 296.1 366.4Plus: Noncontrolling Interest 366.4 Preferred Equity 0.0 0.0 0.0Less: Cash and Cash Equivalents (549.8) Reported Gross Profit 559.0 737.0 1,101.4 1,317.4 1,185.2 949.0 699.1 935.3 980.6 1,749.4 1,991.4 2,130.5 2,204.8 2,258.1 Shareholders' Equity 2,911.5 3,265.9 3,457.7

Enterprise Value(8) 11,674.9 Non-Recurring Items in COGS 0.0 Total Liabilities and Equity 5,214.0 5,575.3 10,897.0Adj. Gross Profit 559.0 737.0 1,101.4 1,317.4 1,185.2 949.0 699.1 935.3 980.6 1,749.4 1,991.4 2,130.5 2,204.8 2,258.1 Balance Yes Yes Yes

% Margin 15.4% 20.6% 29.3% 29.8% 26.6% 27.3% 20.9% 21.6% 19.3% 28.6% 28.6% 28.6% 28.6% 28.6%(9-20, 23-26) Historical LTM

2015 A 2/28/17 2016 E 2017 E Reported EBIT 452.4 628.2 960.3 1,121.3 998.1 812.5 480.9 666.5 637.9 1,491.9 1,698.2 1,816.8 1,880.2 1,925.7EV/Revenue 2.6 x 2.7 x 2.3 x 1.9 x Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Basic Shares Outstanding 128.9

Metric 4,463.3 4,327.0 5,075.5 6,125.0 Other Non-Recurring Items 0.0 Plus: Shares from In-the-Money Options 0.0EV/EBITDA 9.4 x 12.2 x 11.5 x 6.0 x Adjusted EBIT 452.4 628.2 960.3 1,121.3 998.1 812.5 480.9 666.5 637.9 1,491.9 1,698.2 1,816.8 1,880.2 1,925.7 Less: Shares Repurchased 0.0

Metric 1,243.9 959.2 1,015.5 1,947.7 % Margin 12.5% 17.6% 25.5% 25.4% 22.4% 23.4% 14.4% 15.4% 12.6% 24.4% 24.4% 24.4% 24.4% 24.4% Net New Shares from Options 0.0EV/EBIT 11.7 x 17.5 x 18.3 x 7.8 x Plus: Shares from Convertible Securities 0.0

Metric 998.1 666.5 637.9 1,491.9 Depreciation & Amortization 131.4 144.5 157.8 208.5 245.8 180.2 227.2 292.7 377.7 455.8 518.8 555.0 574.4 588.3 Fully Diluted Shares Outstanding 128.9P/E 13.1 x 7.6 x 20.7 x 8.6 x Adjusted EBITDA 583.8 772.8 1,118.1 1,329.8 1,243.9 992.7 708.1 959.2 1,015.5 1,947.7 2,217.0 2,371.8 2,454.6 2,514.0

Metric 4.9 8.3 3.1 7.3 % Margin 16.1% 21.6% 29.7% 30.1% 27.9% 28.6% 21.2% 22.2% 20.0% 31.8% 31.8% 31.8% 31.8% 31.8% Options/WarrantsNumber of Exercise In-the-Money

Reported Net Income 259.0 385.6 610.4 678.5 646.0 535.0 299.9 410.9 398.9 947.2 1,078.2 1,153.5 1,193.7 1,222.6 Tranche Shares Price Shares ProceedsReturn on Invested Capital 13.39% Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 1 0.0 0.0Return on Equity 32.05% Other Non-Recurring Items 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 2 0.0 0.0Return on Assets 13.08% Non-Operating Non-Rec. Items 812.5 480.9 666.5 Tranche 3 0.0 0.0Implied Annual Dividend Per Share 0.00% Tax Adjustment 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 4 0.0 0.0

Adjusted Net Income 259.0 385.6 610.4 678.5 646.0 1,347.5 780.8 1,077.4 398.9 947.2 1,078.2 1,153.5 1,193.7 1,222.6 Tranche 5 0.0 0.0% Margin 7.2% 10.8% 16.2% 15.4% 14.5% 38.8% 23.4% 24.9% 7.9% 15.5% 15.5% 15.5% 15.5% 15.5% Total 0.0 0.0 0.0

Debt/Total Capitalization 51.56%Total Debt/EBITDA(22) 3.8x Adjusted Diluted EPS 3.87 2.88 4.55 5.07 4.86 10.20 6.06 8.31 3.06 7.35 8.45 9.13 9.49 9.77 Convertible SecuritiesNet Debt/EBITDA 4.7x Conversion Conversion NewEITDA/Interest Expense 21.4x Issue Amount Price Ratio Shares[EBITDA-Capex]/Interest Expense 7.3x Depreciation and Amortization 131.4 144.5 157.8 208.5 245.8 180.2 227.2 292.7 377.7 455.8 518.8 555.0 574.4 588.3 Issue 1 0.0 0.0EBIT/Interest Expense 14.9x % Revenue 3.63% 4.05% 4.20% 4.72% 5.51% 5.18% 6.80% 6.76% 7.44% 7.44% 7.44% 7.44% 7.44% 7.44% Issue 2 0.0 0.0

Capital Expenditures 176.8 386.9 679.2 431.1 491.4 329.2 467.3 629.5 628.5 758.4 863.3 923.6 955.9 979.0 Issue 3 0.0 0.0% Revenue 4.89% 10.83% 18.07% 9.76% 11.01% 9.47% 13.99% 14.55% 12.38% 12.38% 12.38% 12.38% 12.38% 12.38% Issue 4 0.0 0.0

Revenue EBITDA EPS Issue 5 0.0 0.0Historical Total 0.0

CAGR (4-Year) 5.4% 20.8% 5.9%CAGR (2-Year) 9.0% 5.5% 3.4% Notes and Assumptions Balance Sheet Raw Data and Details Dec. 31, 2014 Dec. 31, 2015 Sep. 30, 20162012 A (1.3%) 32.4% (25.6%) 1. Revenue Growth Rate NA (1.35%) 5.28% 17.45% 1.09% St. Dev. (Revenue Growth) 8.35% 12.02% 20.68% 13.83% 6.98% 3.49% 2.42% Values in Thousands, USD 2014 A 2015 A 3Q162013 A 5.3% 44.7% 58.0% 2. Average Revenue Growth (Last 5 Years) 5.62% 5,000.0 6,125.0 (6.85%) Slope to the Risk-Free Rate Consolidated Balance Sheets2014 A 17.4% 18.9% 11.4% 3. COGS (% Revenue) 84.6% 79.4% 70.7% 70.2% 73.4% St. Dev. (COGS %) 4.22% 71.44% 71.44% 71.44% 71.44% 71.44% 71.44% Current assets2015 A 1.1% (6.5%) (4.1%) 4. Operating Expenses (% Revenue) 3.1% 3.4% 3.9% 4.4% 5.0% St. Dev. (Op. Ex. %) 0.70% 4.45% 4.45% 4.45% 4.45% 4.45% 4.45% Cash and cash equivalents 880,601.0 662,525.0 549,839.0

5. Other Expenses (% Revenue) (0.16%) (0.36%) (0.18%) 0.06% (0.86%) St. Dev. (Other Ex. %) 0.39% (0.25%) (0.25%) (0.25%) (0.25%) (0.25%) (0.25%) Marketable securities 0.0 520,144.0 0.0Estimated 6. Net Interest (% Revenue) 1.41% 1.21% 0.48% 0.85% 0.78% St. Dev. (Net Interest %) 0.30% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70% Accounts receivable, net 560,666.0 508,532.0 1,070,501.0

2016 E 13.7% (18.4%) (37.0%) 7. NCI (% Revenue) 0.00% 0.00% 0.00% 0.15% 0.43% St. Dev. (NCI %) 0.20% 0.43% 0.43% 0.43% 0.43% 0.43% 0.43% Inventories 525,776.0 434,060.0 744,536.0CAGR (2-Year) 17.1% 25.1% 22.9% 8. Preferred Dividends (% Revenue) 0.00% 0.00% 0.00% 0.00% 0.00% St. Dev. (Preferred Div. %) 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Prepaid expenses and other current assets11,807.0 14,489.0 54,868.0CAGR (4-Year) 13.7% 17.5% 17.1% 9. Gross Profit Margin (%) 15.44% 20.64% 29.30% 29.84% 26.55% 19.32% 28.56% 28.56% 28.56% 28.56% 28.56% Deferred income taxes 32,437.0 35,439.0 0.0Long Term(27) 2.4% 2.4% 2.9% 10. EBIT Margin (%) 12.50% 17.59% 25.54% 25.39% 22.36% 12.57% 24.36% 24.36% 24.36% 24.36% 24.36% Total current assets 2,011,287.0 2,175,189.0 2,419,744.0

Fully Diluted Shares Outstanding

LTM Return on Investment Ratios

LTM Credit Statistics

Cash Flow Statement Data

Growth Rates

Estimates

WLK Fiscal Year Ended December 31,NYSE

31-DecNANA

1.6940.00%

Market Data

Adjusted Income Statement

Trading Multiples

Westlake Chemical Corporation (NYSE:WLK)

General Information Reported Income Statement Balance Sheet DataWestlake Chemical Corporation Extended Historical Period Projection Period

Page 31: Eastman Chemical Company

Comparable Companies Analysis Fiscal Year Ended September 30,Comparables Input Page — Values in Millions, USD except per-share data Recalendarized to December 31,

Company(1) Prior Current 2014 A 2015 A 2/28/17Ticker(2) Stub Stub LTM Cash and Cash Equivalents 1,256.0 1,039.0 1,188.0Exchange 2011 A 2012 A 2013 A 2014 A 2015 A 3Q15 3Q16 2/28/17 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E Receivables, Net 1,032.0 851.0 894.0Fiscal Year Ended Revenue 6,999.0 8,145.0 7,812.0 5,644.0 5,159.0 4,948.0 4,948.0 5,025.0 5,114.0 5,215.6 5,330.4 5,459.3 Inventories 746.0 723.0 671.0Moody's Rating COGS 5,258.0 5,949.0 5,420.0 4,254.0 3,603.0 3,321.0 3,539.3 3,594.4 3,658.1 3,730.8 3,812.9 3,905.1 Prepaid and Other Current Assets 207.0 319.0 113.0S&P Rating Gross Profit 1,741.0 2,196.0 2,392.0 1,390.0 1,556.0 0.0 0.0 1,627.0 1,408.7 1,430.6 1,455.9 1,484.9 1,517.5 1,554.2 Total Current Assets 3,241.0 2,932.0 2,866.0Predicted Beta Operating Expenses 1,617.0 1,920.0 1,226.0 1,344.0 1,136.0 1,328.0 1,014.8 1,030.6 1,048.8 1,069.7 1,093.2 1,119.6Marginal Tax Rate Other Expenses / (Income) (354.0) (49.0) (81.0) (58.0) (116.0) 13.0 (71.1) (72.2) (73.5) (75.0) (76.6) (78.5) Property, Plant & Equipment, Net 2,253.0 2,156.0 2,224.0

EBIT 478.0 325.0 1,247.0 104.0 536.0 0.0 0.0 286.0 465.0 472.3 480.6 490.2 501.0 513.1 Goodwill and Intangible Assets 4,855.0 4,585.0 4,607.0Net Interest 151.0 304.0 280.0 165.0 175.0 182.0 163.3 165.8 168.8 172.1 175.9 180.2 Total Assets 10,349.0 9,673.0 9,697.0

Current Share Price(3) 2/28/17 $120.66 EBT 327.0 21.0 967.0 (61.0) 361.0 0.0 0.0 104.0 301.7 306.4 311.9 318.1 325.1 332.9% 52-week High(5) 96.5% Income Tax Expense (61.0) (45.0) 275.0 (216.0) (5.0) 133.0 (4.2) (4.2) (4.3) (4.4) (4.5) (4.6) Payables, Net 529.0 461.0 541.052-week High(4) 2/28/17 125.00 Noncontrolling Interest 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Accrued Liabilities 513.0 433.0 486.052-week Low 2/28/17 95.22 Preferred Dividends 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Other Current Liabilities 0.0 0.0 0.0Dividend Per Share (MRQ) Net Income 388.0 66.0 692.0 155.0 366.0 0.0 0.0 (29.0) 305.9 310.7 316.2 322.5 329.6 337.5 Total Current Liabilities 1,042.0 894.0 1,027.0

Basic Shares Outstanding 62.2 Effective Tax Rate (18.65%) (214.29%) 28.44% 354.10% (1.39%) 0.00% 0.00% 127.88% (1.39%) (1.39%) (1.39%) (1.39%) (1.39%) (1.39%)Fully Diluted Shares Outstanding 62.2 Total Debt 3,275.0 4,037.0 3,244.0

Market Capitalization(6) 7,507.1 Weighted Avg. Diluted Shares 79.7 80.3 79.1 69.9 64.1 64.1 64.1 62.2 61.6 61.0 60.4 59.8 Other Long-Term Liabilities 2,707.0 2,195.0 2,261.0Equity Value(7) 7,507.1 Diluted EPS 4.87 0.82 8.75 2.22 5.71 0.00 0.00 (0.45) 4.78 4.99 5.13 5.29 5.46 5.65 Total Liabilities 7,024.0 7,126.0 6,532.0

Plus: Total Debt 3,244.0 Percent Change in Shares Outstanding NA 0.72% (1.56%) (11.55%) (8.39%) 0.00% 0.00% (1.00%) (1.00%) (1.00%) (1.00%) (1.00%)Plus: Preferred Equity 0.0 Noncontrolling Interest 0.0 0.0 (182.0)Plus: Noncontrolling Interest (182.0) Preferred Equity 0.0 0.0 0.0Less: Cash and Cash Equivalents (1,188.0) Reported Gross Profit 1,741.0 2,196.0 2,392.0 1,390.0 1,556.0 0.0 0.0 1,627.0 1,408.7 1,430.6 1,455.9 1,484.9 1,517.5 1,554.2 Shareholders' Equity 3,325.0 2,547.0 3,347.0

Enterprise Value(8) 9,381.1 Non-Recurring Items in COGS 0.0 Total Liabilities and Equity 10,349.0 9,673.0 9,697.0Adj. Gross Profit 1,741.0 2,196.0 2,392.0 1,390.0 1,556.0 0.0 0.0 1,627.0 1,408.7 1,430.6 1,455.9 1,484.9 1,517.5 1,554.2 Balance Yes Yes Yes

% Margin 24.9% 27.0% 30.6% 24.6% 30.2% 0.0% 0.0% 32.9% 28.5% 28.5% 28.5% 28.5% 28.5% 28.5%(9-20, 23-26) Historical LTM

2015 A 2/28/17 2016 E 2017 E Reported EBIT 478.0 325.0 1,247.0 104.0 536.0 0.0 0.0 286.0 465.0 472.3 480.6 490.2 501.0 513.1EV/Revenue 1.8 x 1.9 x 1.9 x 1.9 x Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Basic Shares Outstanding 62.2

Metric 5,159.0 4,948.0 4,948.0 5,025.0 Other Non-Recurring Items 0.0 Plus: Shares from In-the-Money Options 0.0EV/EBITDA 10.7 x 15.1 x 11.7 x 11.5 x Adjusted EBIT 478.0 325.0 1,247.0 104.0 536.0 0.0 0.0 286.0 465.0 472.3 480.6 490.2 501.0 513.1 Less: Shares Repurchased 0.0

Metric 875.0 623.0 802.0 814.5 % Margin 6.8% 4.0% 16.0% 1.8% 10.4% 0.0% 0.0% 5.8% 9.4% 9.4% 9.4% 9.4% 9.4% 9.4% Net New Shares from Options 0.0EV/EBIT 17.5 x 32.8 x 20.2 x 19.9 x Plus: Shares from Convertible Securities 0.0

Metric 536.0 286.0 465.0 472.3 Depreciation & Amortization 316.0 433.0 423.0 373.0 339.0 0.0 0.0 337.0 337.0 342.2 348.3 355.2 363.0 371.8 Fully Diluted Shares Outstanding 62.2P/E 21.1 x 30.1 x 25.3 x 24.2 x Adjusted EBITDA 794.0 758.0 1,670.0 477.0 875.0 0.0 0.0 623.0 802.0 814.5 828.9 845.4 864.0 884.9

Metric 5.7 4.0 4.8 5.0 % Margin 11.3% 9.3% 21.4% 8.5% 17.0% 0.0% 0.0% 12.6% 16.2% 16.2% 16.2% 16.2% 16.2% 16.2% Options/WarrantsNumber of Exercise In-the-Money

Reported Net Income 388.0 66.0 692.0 155.0 366.0 0.0 0.0 (29.0) 305.9 310.7 316.2 322.5 329.6 337.5 Tranche Shares Price Shares ProceedsReturn on Invested Capital 5.22% Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 1 0.0 0.0Return on Equity 8.72% Other Non-Recurring Items 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 2 0.0 0.0Return on Assets 2.65% Non-Operating Non-Rec. Items 0.0 0.0 286.0 Tranche 3 0.0 0.0Implied Annual Dividend Per Share 0.00% Tax Adjustment 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 4 0.0 0.0

Adjusted Net Income 388.0 66.0 692.0 155.0 366.0 0.0 0.0 257.0 305.9 310.7 316.2 322.5 329.6 337.5 Tranche 5 0.0 0.0% Margin 5.5% 0.8% 8.9% 2.7% 7.1% 0.0% 0.0% 5.2% 6.2% 6.2% 6.2% 6.2% 6.2% 6.2% Total 0.0 0.0 0.0

Debt/Total Capitalization 49.22%Total Debt/EBITDA(22) 5.2x Adjusted Diluted EPS 4.87 0.82 8.75 2.22 5.71 0.00 0.00 4.01 4.78 4.99 5.13 5.29 5.46 5.65 Convertible SecuritiesNet Debt/EBITDA 7.2x Conversion Conversion NewEITDA/Interest Expense 3.4x Issue Amount Price Ratio Shares[EBITDA-Capex]/Interest Expense 1.8x Depreciation and Amortization 316.0 433.0 423.0 373.0 339.0 337.0 337.0 342.2 348.3 355.2 363.0 371.8 Issue 1 0.0 0.0EBIT/Interest Expense 1.6x % Revenue 4.51% 5.32% 5.41% 6.61% 6.57% 0.00% 0.00% 6.81% 6.81% 6.81% 6.81% 6.81% 6.81% 6.81% Issue 2 0.0 0.0

Capital Expenditures 223.0 305.0 315.0 239.0 275.0 300.0 300.0 304.7 310.1 316.2 323.2 331.0 Issue 3 0.0 0.0% Revenue 3.19% 3.74% 4.03% 4.23% 5.33% 0.00% 0.00% 6.06% 6.06% 6.06% 6.06% 6.06% 6.06% 6.06% Issue 4 0.0 0.0

Revenue EBITDA EPS Issue 5 0.0 0.0Historical Total 0.0

CAGR (4-Year) (7.3%) 2.5% 4.1%CAGR (2-Year) (18.7%) (27.6%) (19.2%) Notes and Assumptions Balance Sheet Raw Data and Details Dec. 31, 2014 Dec. 31, 2015 Sep. 30, 20162012 A 16.4% (4.5%) (83.1%) 1. Revenue Growth Rate NA 16.37% (4.09%) (27.75%) (8.59%) St. Dev. (Revenue Growth) 18.11% (4.09%) 1.56% 1.77% 1.99% 2.20% 2.42% 2014 A 2015 A 3Q162013 A (4.1%) 120.3% 965.1% 2. Average Revenue Growth (Last 5 Years) (6.02%) 4,948.0 5,025.0 0.22% Slope to the Risk-Free Rate Consolidated Balance Sheets2014 A (27.8%) (71.4%) (74.7%) 3. COGS (% Revenue) 75.1% 73.0% 69.4% 75.4% 69.8% St. Dev. (COGS %) 2.83% 71.53% 71.53% 71.53% 71.53% 71.53% 71.53% Current assets2015 A (8.6%) 83.4% 157.7% 4. Operating Expenses (% Revenue) 23.1% 23.6% 15.7% 23.8% 22.0% St. Dev. (Op. Ex. %) 3.80% 20.51% 20.51% 20.51% 20.51% 20.51% 20.51% Cash and cash equivalents 1,256.0 1,039.0 1,188.0

5. Other Expenses (% Revenue) (5.06%) (0.60%) (1.04%) (1.03%) (2.25%) St. Dev. (Other Ex. %) 0.71% (1.44%) (1.44%) (1.44%) (1.44%) (1.44%) (1.44%) Accounts receivable 1,032.0 851.0 894.0Estimated 6. Net Interest (% Revenue) 2.16% 3.73% 3.58% 2.92% 3.39% St. Dev. (Net Interest %) 0.35% 3.30% 3.30% 3.30% 3.30% 3.30% 3.30% Inventories - Note A 746.0 723.0 671.0

2016 E (4.1%) (8.3%) (16.4%) 7. NCI (% Revenue) 0.00% 0.00% 0.00% 0.00% 0.00% St. Dev. (NCI %) 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Deferred income taxes - Note L 118.0 155.0 0.0CAGR (2-Year) (1.3%) (3.5%) (6.5%) 8. Preferred Dividends (% Revenue) 0.00% 0.00% 0.00% 0.00% 0.00% St. Dev. (Preferred Div. %) 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Other assets 89.0 164.0 113.0CAGR (4-Year) 0.3% (0.9%) (1.9%) 9. Gross Profit Margin (%) 24.87% 26.96% 30.62% 24.63% 30.16% 28.47% 28.47% 28.47% 28.47% 28.47% 28.47% Total current assets 3,241.0 2,932.0 2,866.0Long Term(27) 2.4% 2.4% 3.5% 10. EBIT Margin (%) 6.83% 3.99% 15.96% 1.84% 10.39% 9.40% 9.40% 9.40% 9.40% 9.40% 9.40% Property, plant and equipment - Note G

Fully Diluted Shares Outstanding

LTM Return on Investment Ratios

LTM Credit Statistics

Cash Flow Statement Data

Growth Rates

Estimates

ASH Fiscal Year Recalendarized to December 31,NYSE

30-SepNANA

0.9540.00%

Market Data

Adjusted Income Statement

Trading Multiples

Ashland Global Holdings Inc. (NYSE:ASH)

General Information Reported Income Statement Balance Sheet DataAshland Global Holdings Inc. Extended Historical Period Projection Period

Page 32: Eastman Chemical Company

Recalendarized Quarterly Model — Fiscal Year Ended December 31,Q 1 Q 2 Q 3 Q 4 2011 A Q 1 Q 2 Q 3 Q 4 2012 A Q 1 Q 2 Q 3 Q 4 2013 A Q 1 Q 2 Q 3 Q 4 2014 A Q 1 Q 2 Q 3 Q 4 2015 A Q 1 Q 2 Q 3 Q 4 2016 A

Sales 1,557.0 1,667.0 1,845.0 1,930.0 6,999.0 2,079.0 2,141.0 2,056.0 1,869.0 8,145.0 1,974.0 2,059.0 1,911.0 1,868.0 7,812.0 1,545.0 1,605.0 1,103.0 1,391.0 5,644.0 1,350.0 1,367.0 1,279.0 1,163.0 5,159.0 1,247.0 1,290.0 1,248.0 0.0 3,785.0Cost of sales 1,135.0 1,236.0 1,479.0 1,408.0 5,258.0 1,504.0 1,514.0 1,599.0 1,332.0 5,949.0 1,406.0 1,479.0 1,202.0 1,333.0 5,420.0 1,168.0 1,161.0 943.0 982.0 4,254.0 925.0 939.0 968.0 771.0 3,603.0 823.0 854.0 873.0 0.0 2,550.0Gross profit 422.0 431.0 366.0 522.0 1,741.0 575.0 627.0 457.0 537.0 2,196.0 568.0 580.0 709.0 535.0 2,392.0 377.0 444.0 160.0 409.0 1,390.0 425.0 428.0 311.0 392.0 1,556.0 424.0 436.0 375.0 0.0 1,235.0Selling, general and administrative expense 292.0 304.0 560.0 362.0 1,518.0 381.0 349.0 708.0 343.0 1,781.0 342.0 363.0 (4.0) 343.0 1,044.0 370.0 286.0 359.0 226.0 1,241.0 203.0 216.0 383.0 224.0 1,026.0 258.0 244.0 502.0 0.0 1,004.0Research and development expense 22.0 22.0 25.0 30.0 99.0 31.0 30.0 46.0 32.0 139.0 39.0 35.0 72.0 36.0 182.0 36.0 23.0 19.0 25.0 103.0 25.0 24.0 36.0 25.0 110.0 25.0 25.0 25.0 0.0 75.0Equity and other income - Note D 14.0 15.0 8.0 14.0 51.0 16.0 15.0 13.0 14.0 58.0 18.0 28.0 9.0 23.0 78.0 (35.0) 8.0 6.0 11.0 (10.0) (4.0) 8.0 8.0 8.0 20.0 6.0 8.0 6.0 0.0 20.0Operating income 122.0 120.0 (211.0) 144.0 175.0 179.0 263.0 (284.0) 176.0 334.0 205.0 210.0 650.0 179.0 1,244.0 (64.0) 143.0 (212.0) 169.0 36.0 193.0 196.0 (100.0) 151.0 440.0 147.0 175.0 (146.0) 0.0 176.0Net interest and other financing expense - Note I39.0 22.0 33.0 57.0 151.0 56.0 53.0 151.0 44.0 304.0 145.0 51.0 42.0 42.0 280.0 41.0 41.0 42.0 41.0 165.0 40.0 54.0 39.0 42.0 175.0 43.0 40.0 57.0 0.0 140.0Net gain (loss) on divestitures - Note B 0.0 (1.0) (25.0) (4.0) (30.0) 1.0 5.0 (1.0) 0.0 5.0 7.0 (1.0) (14.0) 5.0 (3.0) 1.0 (3.0) 1.0 (85.0) (86.0) (33.0) 0.0 3.0 2.0 (28.0) (2.0) 3.0 (12.0) 0.0 (11.0)Other expense 0.0 0.0 1.0 0.0 1.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Income (loss) from continuing operations before income taxes83.0 97.0 (270.0) 83.0 (7.0) 124.0 215.0 (436.0) 132.0 35.0 67.0 158.0 594.0 142.0 961.0 (104.0) 99.0 (253.0) 43.0 (215.0) 120.0 142.0 (136.0) 111.0 237.0 102.0 138.0 (215.0) 0.0 25.0Income tax expense (benefit) - Note L (13.0) 28.0 (99.0) 23.0 (61.0) 34.0 55.0 (164.0) 30.0 (45.0) 12.0 41.0 191.0 31.0 275.0 (43.0) 28.0 (204.0) 3.0 (216.0) 25.0 27.0 (77.0) 20.0 (5.0) 15.0 41.0 57.0 0.0 113.0Income from continuing operations 96.0 69.0 (171.0) 60.0 54.0 90.0 160.0 (272.0) 102.0 80.0 55.0 117.0 403.0 111.0 686.0 (61.0) 71.0 (49.0) 40.0 1.0 95.0 115.0 (59.0) 91.0 242.0 87.0 97.0 (272.0) 0.0 (88.0)Income from discontinued operations (net of tax) - Note C257.0 18.0 58.0 1.0 334.0 (2.0) (9.0) (2.0) (1.0) (14.0) (2.0) 7.0 2.0 (1.0) 6.0 17.0 28.0 117.0 (8.0) 154.0 129.0 (8.0) 5.0 (2.0) 124.0 0.0 (26.0) (3.0) 0.0 (29.0)Net income 353.0 87.0 (113.0) 61.0 388.0 88.0 151.0 (274.0) 101.0 66.0 53.0 124.0 405.0 110.0 692.0 (44.0) 99.0 68.0 32.0 155.0 224.0 107.0 (54.0) 89.0 366.0 87.0 71.0 (275.0) 0.0 (117.0)Net income attributable to NCI 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 1.0 0.0 1.0Net income (loss) attributable to ASH 353.0 87.0 (113.0) 61.0 388.0 88.0 151.0 (274.0) 101.0 66.0 53.0 124.0 405.0 110.0 692.0 (44.0) 99.0 68.0 32.0 155.0 224.0 107.0 (54.0) 89.0 366.0 87.0 71.0 (276.0) 0.0 (118.0)Basic earnings per shareIncome from continuing operations (usd per share) NA NA NA NA NA NAIncome from discontinued operations (usd per share) NA NA NA NA NA NANet income (usd per share) 4.47 1.12 (1.42) 0.78 4.95 1.12 1.93 (3.50) 1.28 0.84 0.67 1.58 5.18 1.46 8.89 (0.57) 1.27 0.88 0.47 2.24 3.30 1.58 (0.81) 1.37 5.79 1.39 1.15 (4.37) #DIV/0! (1.90)Diluted earnings per shareIncome from continuing operations (usd per share) NA NA NA NA NA NAIncome from discontinued operations (usd per share) NA NA NA NA NA NANet income (usd per share) 4.39 1.09 (1.40) 0.77 4.87 1.10 1.90 (3.44) 1.26 0.82 0.66 1.55 5.10 1.44 8.75 (0.57) 1.25 0.88 0.46 2.22 3.26 1.56 (0.80) 1.35 5.71 1.38 1.13 (4.32) #DIV/0! (1.87)

Common Shares OutstandingBasic 79.0 77.7 79.6 78.2 78.3 78.6 78.2 78.3 78.9 79.0 79.1 78.5 78.2 75.3 77.8 77.2 78.0 77.3 68.1 69.3 67.9 67.7 66.7 65.0 63.2 62.6 61.7 63.2 0.0 62.2Diluted 80.4 79.8 80.7 79.2 79.7 80.0 79.5 79.7 80.2 80.3 80.3 80.0 79.4 76.4 79.1 77.2 79.2 77.3 69.6 69.9 68.7 68.6 67.5 65.9 64.1 63.0 62.8 63.9 0.0 63.0

Depreciation and Amortization 56.0 68.0 88.0 104.0 316.0 108.0 108.0 110.0 107.0 433.0 105.0 106.0 107.0 105.0 423.0 78.0 98.0 112.0 85.0 373.0 85.0 85.0 86.0 83.0 339.0 85.0 86.0 83.0 0.0 254.0

Capital Expenditures (30.0) (44.0) (105.0) (44.0) (223.0) (54.0) (66.0) (134.0) (51.0) (305.0) (66.0) (71.0) (126.0) (52.0) (315.0) (44.0) (56.0) (96.0) (43.0) (239.0) (43.0) (61.0) (118.0) (53.0) (275.0) (50.0) (78.0) (119.0) 0.0 (247.0)

Complete Quarterly Model — Fiscal Year Ended September 30,Q 1 Q 2 Q 3 Q 4 2011 A Q 1 Q 2 Q 3 Q 4 2012 A Q 1 Q 2 Q 3 Q 4 2013 A Q 1 Q 2 Q 3 Q 4 2014 A Q 1 Q 2 Q 3 Q 4 2015 A Q 1 Q 2 Q 3 Q 4 2016 A

Sales 1,433.0 1,557.0 1,667.0 1,845.0 6,502.0 1,930.0 2,079.0 2,141.0 2,056.0 8,206.0 1,869.0 1,974.0 2,059.0 1,911.0 7,813.0 1,868.0 1,545.0 1,605.0 1,103.0 6,121.0 1,391.0 1,350.0 1,367.0 1,279.0 5,387.0 1,163.0 1,247.0 1,290.0 1,248.0 4,948.0Cost of sales 1,040.0 1,135.0 1,236.0 1,479.0 4,890.0 1,408.0 1,504.0 1,514.0 1,599.0 6,025.0 1,332.0 1,406.0 1,479.0 1,202.0 5,419.0 1,333.0 1,168.0 1,161.0 943.0 4,605.0 982.0 925.0 939.0 968.0 3,814.0 771.0 823.0 854.0 873.0 3,321.0Gross profit 393.0 422.0 431.0 366.0 1,612.0 522.0 575.0 627.0 457.0 2,181.0 537.0 568.0 580.0 709.0 2,394.0 535.0 377.0 444.0 160.0 1,516.0 409.0 425.0 428.0 311.0 1,573.0 392.0 424.0 436.0 375.0 1,627.0Selling, general and administrative expense 286.0 292.0 304.0 560.0 1,442.0 362.0 381.0 349.0 708.0 1,800.0 343.0 342.0 363.0 (4.0) 1,044.0 343.0 370.0 286.0 359.0 1,358.0 226.0 203.0 216.0 383.0 1,028.0 224.0 258.0 244.0 502.0 1,228.0Research and development expense 20.0 22.0 22.0 25.0 89.0 30.0 31.0 30.0 46.0 137.0 32.0 39.0 35.0 72.0 178.0 36.0 36.0 23.0 19.0 114.0 25.0 25.0 24.0 36.0 110.0 25.0 25.0 25.0 25.0 100.0Equity and other income - Note D 12.0 14.0 15.0 8.0 49.0 14.0 16.0 15.0 13.0 58.0 14.0 18.0 28.0 9.0 69.0 23.0 (35.0) 8.0 6.0 2.0 11.0 (4.0) 8.0 8.0 23.0 8.0 6.0 8.0 6.0 28.0Operating income 99.0 122.0 120.0 (211.0) 130.0 144.0 179.0 263.0 (284.0) 302.0 176.0 205.0 210.0 650.0 1,241.0 179.0 (64.0) 143.0 (212.0) 46.0 169.0 193.0 196.0 (100.0) 458.0 151.0 147.0 175.0 (146.0) 327.0Net interest and other financing expense - Note I27.0 39.0 22.0 33.0 121.0 57.0 56.0 53.0 151.0 317.0 44.0 145.0 51.0 42.0 282.0 42.0 41.0 41.0 42.0 166.0 41.0 40.0 54.0 39.0 174.0 42.0 43.0 40.0 57.0 182.0Net gain (loss) on divestitures - Note B 21.0 0.0 (1.0) (25.0) (5.0) (4.0) 1.0 5.0 (1.0) 1.0 0.0 7.0 (1.0) (14.0) (8.0) 5.0 1.0 (3.0) 1.0 4.0 (85.0) (33.0) 0.0 3.0 (115.0) 2.0 (2.0) 3.0 (12.0) (9.0)Other expense 0.0 0.0 0.0 1.0 1.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Income (loss) from continuing operations before income taxes93.0 83.0 97.0 (270.0) 3.0 83.0 124.0 215.0 (436.0) (14.0) 132.0 67.0 158.0 594.0 951.0 142.0 (104.0) 99.0 (253.0) (116.0) 43.0 120.0 142.0 (136.0) 169.0 111.0 102.0 138.0 (215.0) 136.0Income tax expense (benefit) - Note L 31.0 (13.0) 28.0 (99.0) (53.0) 23.0 34.0 55.0 (164.0) (52.0) 30.0 12.0 41.0 191.0 274.0 31.0 (43.0) 28.0 (204.0) (188.0) 3.0 25.0 27.0 (77.0) (22.0) 20.0 15.0 41.0 57.0 133.0Income from continuing operations 62.0 96.0 69.0 (171.0) 56.0 60.0 90.0 160.0 (272.0) 38.0 102.0 55.0 117.0 403.0 677.0 111.0 (61.0) 71.0 (49.0) 72.0 40.0 95.0 115.0 (59.0) 191.0 91.0 87.0 97.0 (272.0) 3.0Income from discontinued operations (net of tax) - Note C25.0 257.0 18.0 58.0 358.0 1.0 (2.0) (9.0) (2.0) (12.0) (1.0) (2.0) 7.0 2.0 6.0 (1.0) 17.0 28.0 117.0 161.0 (8.0) 129.0 (8.0) 5.0 118.0 (2.0) 0.0 (26.0) (3.0) (31.0)Net income 87.0 353.0 87.0 (113.0) 414.0 61.0 88.0 151.0 (274.0) 26.0 101.0 53.0 124.0 405.0 683.0 110.0 (44.0) 99.0 68.0 233.0 32.0 224.0 107.0 (54.0) 309.0 89.0 87.0 71.0 (275.0) (28.0)Net income attributable to NCI 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 1.0 1.0Net income (loss) attributable to ASH 87.0 353.0 87.0 (113.0) 414.0 61.0 88.0 151.0 (274.0) 26.0 101.0 53.0 124.0 405.0 683.0 110.0 (44.0) 99.0 68.0 233.0 32.0 224.0 107.0 (54.0) 309.0 89.0 87.0 71.0 (276.0) (29.0)Basic earnings per shareIncome from continuing operations (usd per share)0.79 1.22 0.88 (2.17) 0.72 0.77 1.15 2.04 (3.47) 0.49 1.29 0.70 1.49 5.16 8.64 1.44 (0.78) 0.91 (0.63) 0.94 0.58 1.40 1.70 (0.87) 2.81 1.39 1.39 1.57 (4.32) 0.03Income from discontinued operations (usd per share)0.32 3.25 0.24 0.75 4.56 0.01 (0.03) (0.11) (0.03) (0.16) (0.01) (0.03) 0.09 0.02 0.07 0.02 0.21 0.36 1.51 2.10 (0.11) 1.90 (0.12) 0.06 1.73 (0.03) 0.00 (0.42) (0.05) (0.50)Net income (usd per share) 1.11 4.47 1.12 (1.42) 5.28 0.78 1.12 1.93 (3.50) 0.33 1.28 0.67 1.58 5.18 8.71 1.46 (0.57) 1.27 0.88 3.04 0.47 3.30 1.58 (0.81) 4.54 1.37 1.39 1.15 (4.37) (0.47)Diluted earnings per shareIncome from continuing operations (usd per share)0.78 1.20 0.86 (2.14) 0.70 0.76 1.13 2.00 (3.41) 0.48 1.27 0.68 1.47 5.08 8.50 1.42 (0.78) 0.90 (0.61) 0.93 0.57 1.39 1.68 (0.86) 2.78 1.38 1.38 1.55 (4.28) 0.03Income from discontinued operations (usd per share)0.31 3.19 0.23 0.74 4.47 0.01 (0.03) (0.10) (0.03) (0.15) (0.01) (0.02) 0.08 0.02 0.07 0.02 0.21 0.35 1.49 2.07 (0.11) 1.87 (0.12) 0.06 1.70 (0.03) 0.00 (0.42) (0.04) (0.49)Net income (usd per share) 1.09 4.39 1.09 (1.40) 5.17 0.77 1.10 1.90 (3.44) 0.33 1.26 0.66 1.55 5.10 8.57 1.44 (0.57) 1.25 0.88 3.00 0.46 3.26 1.56 (0.80) 4.48 1.35 1.38 1.13 (4.32) (0.46)

Implied Shares Outstanding

Page 33: Eastman Chemical Company

Comparable Companies AnalysisComparables Input Page — Values in Millions, USD except per-share data Fiscal Year Ended December 31,

Company(1) Prior Current 2014 A 2015 A 2/28/17Ticker(2) Stub Stub LTM Cash and Cash Equivalents 860.0 257.0 439.0Exchange 2011 A 2012 A 2013 A 2014 A 2015 A 3Q15 3Q16 2/28/17 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E Receivables, Net 1,707.0 1,449.0 1,466.0Fiscal Year Ended Revenue 11,221.0 11,187.0 11,079.0 11,578.0 10,299.0 7,967.0 7,262.0 9,594.0 9,657.0 9,920.0 10,159.8 10,405.3 10,656.8 10,914.4 Inventories 2,025.0 1,692.0 1,444.0Moody's Rating COGS 9,363.0 9,146.0 9,309.0 9,651.0 8,447.0 6,495.0 5,991.0 7,943.0 7,979.0 8,184.0 8,381.8 8,532.4 8,738.6 8,949.8 Prepaid and Other Current Assets 447.0 436.0 434.0S&P Rating Gross Profit 1,858.0 2,041.0 1,770.0 1,927.0 1,852.0 1,472.0 1,271.0 1,651.0 1,678.0 1,736.0 1,778.0 1,873.0 1,918.2 1,964.6 Total Current Assets 5,039.0 3,834.0 3,783.0Predicted Beta Operating Expenses 1,082.0 1,086.0 1,076.0 1,127.0 1,137.0 851.0 792.0 1,078.0 1,072.0 1,008.1 1,032.4 1,057.4 1,082.9 1,109.1Marginal Tax Rate Other Expenses / (Income) 141.0 163.0 207.0 186.0 329.0 261.0 49.0 117.0 (40.0) 220.5 225.9 231.3 236.9 242.6 Property, Plant & Equipment, Net 4,773.0 4,793.0 4,635.0

EBIT 635.0 792.0 487.0 614.0 386.0 360.0 430.0 456.0 646.0 507.4 519.7 584.2 598.4 612.8 Goodwill and Intangible Assets 1,111.0 1,193.0 1,289.0Net Interest 262.0 238.0 203.0 214.0 214.0 158.0 152.0 208.0 202.0 190.4 195.0 199.7 204.6 209.5 Total Assets 10,923.0 9,820.0 9,707.0

Current Share Price(3) 2/28/17 $22.60 EBT 373.0 554.0 284.0 400.0 172.0 202.0 278.0 248.0 444.0 317.0 324.6 384.5 393.8 403.3% 52-week High(5) 98.2% Income Tax Expense 113.0 179.0 137.0 43.0 45.0 85.0 58.0 18.0 87.0 46.7 47.8 56.6 58.0 59.4 Payables, Net 1,275.0 1,061.0 1,026.052-week High(4) 2/28/17 23.02 Noncontrolling Interest 7.0 10.0 21.0 22.0 33.0 28.0 22.0 27.0 31.0 31.8 32.6 33.3 34.1 35.0 Accrued Liabilities 739.0 686.0 655.052-week Low 2/28/17 10.33 Preferred Dividends 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Other Current Liabilities 51.0 0.0 20.0Dividend Per Share (MRQ) Net Income 253.0 365.0 126.0 335.0 94.0 89.0 198.0 203.0 326.0 238.5 244.3 294.6 301.7 309.0 Total Current Liabilities 2,065.0 1,747.0 1,701.0

Basic Shares Outstanding 238.5 Effective Tax Rate 30.29% 32.31% 48.24% 10.75% 26.16% 42.08% 20.86% 7.26% 14.72% 14.72% 14.72% 14.72% 14.72% 14.72%Fully Diluted Shares Outstanding 238.5 Total Debt 5,121.0 4,795.0 4,556.0

Market Capitalization(6) 5,390.2 Weighted Avg. Diluted Shares 248.0 241.7 237.7 255.7 247.4 241.7 239.7 238.5 236.1 233.8 232.6 231.4 Other Long-Term Liabilities 1,786.0 1,649.0 1,679.0Equity Value(7) 5,390.2 Diluted EPS 1.02 1.51 0.53 1.31 0.38 0.00 0.00 0.84 1.36 1.00 1.03 1.26 1.30 1.34 Total Liabilities 8,972.0 8,191.0 7,936.0

Plus: Total Debt 4,556.0 Percent Change in Shares Outstanding NA (2.55%) (1.65%) 7.57% (3.27%) * Approximately (2.30%) (3.10%) (0.50%) (1.00%) (1.00%) (0.50%) (0.50%)Plus: Preferred Equity 0.0 Noncontrolling Interest 173.0 187.0 183.0Plus: Noncontrolling Interest 183.0 Preferred Equity 0.0 0.0 0.0Less: Cash and Cash Equivalents (439.0) Reported Gross Profit 1,858.0 2,041.0 1,770.0 1,927.0 1,852.0 1,472.0 1,271.0 1,651.0 1,678.0 1,736.0 1,778.0 1,873.0 1,918.2 1,964.6 Shareholders' Equity 1,778.0 1,442.0 1,588.0

Enterprise Value(8) 9,690.2 Non-Recurring Items in COGS 0.0 Total Liabilities and Equity 10,923.0 9,820.0 9,707.0Adj. Gross Profit 1,858.0 2,041.0 1,770.0 1,927.0 1,852.0 1,472.0 1,271.0 1,651.0 1,678.0 1,736.0 1,778.0 1,873.0 1,918.2 1,964.6 Balance Yes Yes Yes

% Margin 16.6% 18.2% 16.0% 16.6% 18.0% 18.5% 17.5% 17.2% 17.4% 17.5% 17.5% 18.0% 18.0% 18.0%(9-20, 23-26) Historical LTM

2015 A 2/28/17 2016 E 2017 E Reported EBIT 635.0 792.0 487.0 614.0 386.0 360.0 430.0 456.0 646.0 507.4 519.7 584.2 598.4 612.8EV/Revenue 0.9 x 1.0 x 1.0 x 1.0 x Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Basic Shares Outstanding 238.5

Metric 10,299.0 9,594.0 9,657.0 9,920.0 Other Non-Recurring Items 0.0 Plus: Shares from In-the-Money Options 0.0EV/EBITDA 12.3 x 11.0 x 9.0 x 10.2 x Adjusted EBIT 635.0 792.0 487.0 614.0 386.0 360.0 430.0 456.0 646.0 507.4 519.7 584.2 598.4 612.8 Less: Shares Repurchased 0.0

Metric 785.0 880.0 1,078.0 951.2 % Margin 5.7% 7.1% 4.4% 5.3% 3.7% 4.5% 5.9% 4.8% 6.7% 5.1% 5.1% 5.6% 5.6% 5.6% Net New Shares from Options 0.0EV/EBIT 25.1 x 21.3 x 15.0 x 19.1 x Plus: Shares from Convertible Securities 0.0

Metric 386.0 456.0 646.0 507.4 Depreciation & Amortization 439.0 432.0 448.0 445.0 399.0 297.0 322.0 424.0 432.0 443.8 454.5 465.5 476.7 488.2 Fully Diluted Shares Outstanding 238.5P/E 59.5 x 8.3 x 16.6 x 22.6 x Adjusted EBITDA 1,074.0 1,224.0 935.0 1,059.0 785.0 657.0 752.0 880.0 1,078.0 951.2 974.2 1,049.7 1,075.1 1,101.1

Metric 0.4 2.7 1.4 1.0 % Margin 9.6% 10.9% 8.4% 9.1% 7.6% 8.2% 10.4% 9.2% 11.2% 9.6% 9.6% 10.1% 10.1% 10.1% Options/WarrantsNumber of Exercise In-the-Money

Reported Net Income 253.0 365.0 126.0 335.0 94.0 89.0 198.0 203.0 326.0 238.5 244.3 294.6 301.7 309.0 Tranche Shares Price Shares ProceedsReturn on Invested Capital 7.80% Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 1 0.0 0.0Return on Equity 43.50% Other Non-Recurring Items 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 2 0.0 0.0Return on Assets 6.75% Non-Operating Non-Rec. Items 360.0 430.0 456.0 Tranche 3 0.0 0.0Implied Annual Dividend Per Share 0.00% Tax Adjustment 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 4 0.0 0.0

Adjusted Net Income 253.0 365.0 126.0 335.0 94.0 449.0 628.0 659.0 326.0 238.5 244.3 294.6 301.7 309.0 Tranche 5 0.0 0.0% Margin 2.3% 3.3% 1.1% 2.9% 0.9% 5.6% 8.6% 6.9% 3.4% 2.4% 2.4% 2.8% 2.8% 2.8% Total 0.0 0.0 0.0

Debt/Total Capitalization 74.15%Total Debt/EBITDA(22) 5.2x Adjusted Diluted EPS 1.02 1.51 0.53 1.31 0.38 0.00 0.00 2.73 1.36 1.00 1.03 1.26 1.30 1.34 Convertible SecuritiesNet Debt/EBITDA 9.0x Conversion Conversion NewEITDA/Interest Expense 4.2x Issue Amount Price Ratio Shares[EBITDA-Capex]/Interest Expense 1.8x Depreciation and Amortization 439.0 432.0 448.0 445.0 399.0 297.0 322.0 424.0 432.0 443.8 454.5 465.5 476.7 488.2 Issue 1 0.0 0.0EBIT/Interest Expense 2.2x % Revenue 3.91% 3.86% 4.04% 3.84% 3.87% 3.73% 4.43% 4.42% 4.47% 4.47% 4.47% 4.47% 4.47% 4.47% Issue 2 0.0 0.0

Capital Expenditures 330.0 412.0 471.0 601.0 663.0 454.0 290.0 499.0 421.0 432.5 442.9 453.6 464.6 475.8 Issue 3 0.0 0.0% Revenue 2.94% 3.68% 4.25% 5.19% 6.44% 5.70% 3.99% 5.20% 4.36% 4.36% 4.36% 4.36% 4.36% 4.36% Issue 4 0.0 0.0

Revenue EBITDA EPS Issue 5 0.0 0.0Historical Total 0.0

CAGR (4-Year) (2.1%) (7.5%) (21.9%)CAGR (2-Year) (3.6%) (8.4%) (15.3%) Notes and Assumptions Balance Sheet Raw Data and Details Dec. 31, 2014 Dec. 31, 2015 Sep. 30, 20162012 A (0.3%) 14.0% 48.0% 1. Revenue Growth Rate NA (0.30%) (0.97%) 4.50% (11.05%) St. Dev. (Revenue Growth) 6.53% 1.08% 2.72% 2.42% 2.42% 2.42% 2.42% 2014 A 2015 A 3Q162013 A (1.0%) (23.6%) (64.9%) 2. Average Revenue Growth (Last 5 Years) (1.95%) 9,920.0 CONSOLIDATED BALANCE SHEETS2014 A 4.5% 13.3% 147.2% 3. COGS (% Revenue) 83.4% 81.8% 84.0% 83.4% 82.0% St. Dev. (COGS %) 1.08% 82.50% 82.50% 82.50% 82.00% 82.00% 82.00% Current assets:2015 A (11.0%) (25.9%) (71.0%) 4. Operating Expenses (% Revenue) 9.6% 9.7% 9.7% 9.7% 11.0% St. Dev. (Op. Ex. %) 0.66% 10.16% 10.16% 10.16% 10.16% 10.16% 10.16% Cash and cash equivalents 860.0 257.0 439.0

5. Other Expenses (% Revenue) 1.26% 1.46% 1.87% 1.61% 3.19% St. Dev. (Other Ex. %) 0.79% 2.22% 2.22% 2.22% 2.22% 2.22% 2.22% Restricted cash 10.0 12.0 11.0Estimated 6. Net Interest (% Revenue) 2.33% 2.13% 1.83% 1.85% 2.08% St. Dev. (Net Interest %) 0.15% 1.92% 1.92% 1.92% 1.92% 1.92% 1.92% Accounts and notes receivable 1,665.0 1,420.0 1,456.0

2016 E (6.2%) 37.3% 257.9% 7. NCI (% Revenue) 0.06% 0.09% 0.19% 0.19% 0.32% St. Dev. (NCI %) 0.09% 0.32% 0.32% 0.32% 0.32% 0.32% 0.32% Accounts receivable from affiliates 42.0 29.0 10.0CAGR (2-Year) (1.9%) 10.1% 62.2% 8. Preferred Dividends (% Revenue) 0.00% 0.00% 0.00% 0.00% 0.00% St. Dev. (Preferred Div. %) 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Inventories 2,025.0 1,692.0 1,444.0CAGR (4-Year) 0.3% 7.5% 34.9% 9. Gross Profit Margin (%) 16.56% 18.24% 15.98% 16.64% 17.98% 17.38% 17.50% 17.50% 18.00% 18.00% 18.00% Prepaid expenses 62.0 112.0 75.0Long Term(27) 2.4% 2.4% 2.9% 10. EBIT Margin (%) 5.66% 7.08% 4.40% 5.30% 3.75% 6.69% 5.11% 5.11% 5.61% 5.61% 5.61% Deferred income taxes 62.0 0.0 0.0

Fully Diluted Shares Outstanding

LTM Return on Investment Ratios

LTM Credit Statistics

Cash Flow Statement Data

Growth Rates

Estimates

HUN Fiscal Year Ended December 31,NYSE

31-DecNANA

2.6140.00%

Market Data

Adjusted Income Statement

Trading Multiples

Huntsman Corporation (NYSE:HUN)

General Information Reported Income Statement Balance Sheet DataHuntsman Corporation Extended Historical Period Projection Period

Page 34: Eastman Chemical Company

Comparable Companies AnalysisValues Converted to Millions, USD except per-share data Fiscal Year Ended December 31, Values Converted to Millions, USD

Company(1) Prior Current 2014 A 2015 A 2/28/17Ticker(2) Stub Stub LTM Cash and Cash Equivalents 220.8 431.3 466.3Exchange 2011 A 2012 A 2013 A 2014 A 2015 A 3Q15 3Q16 2/28/17 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E Receivables, Net 601.1 494.6 511.6Fiscal Year Ended Revenue 5,451.9 5,307.4 5,128.0 3,971.9 3,074.9 2,799.2 3,696.2 3,696.2 3,880.0 4,048.1 4,197.7 4,326.0 4,430.6 Inventories 473.9 353.1 375.7Moody's Rating COGS 5,115.2 4,949.4 4,830.6 3,502.8 2,718.1 2,349.4 3,134.1 3,289.6 3,453.2 3,602.9 3,736.0 3,850.1 3,943.2 Prepaid and Other Current Assets 27.0 10.1 37.8S&P Rating Gross Profit 336.7 358.0 297.3 469.1 356.8 449.8 562.1 406.6 426.8 445.3 461.7 475.9 487.4 Total Current Assets 1,322.7 1,289.0 1,391.5Predicted Beta Operating Expenses 182.1 216.9 232.6 208.0 153.6 180.6 235.0 184.8 194.0 202.4 209.9 216.3 221.5Marginal Tax Rate Other Expenses / (Income) (3.2) 9.5 (12.6) (35.9) (7.9) (93.7) (121.7) (18.5) (19.4) (20.2) (21.0) (21.6) (22.2) Property, Plant & Equipment, Net 724.4 701.6 681.9

EBIT 157.8 131.7 77.3 297.1 211.1 362.8 448.8 240.3 252.2 263.1 272.9 281.2 288.0 Goodwill and Intangible Assets 309.1 294.0 279.4Net Interest 110.0 132.0 124.9 93.2 73.9 56.5 75.8 89.6 94.0 98.1 101.7 104.8 107.4 Total Assets 2,356.1 2,284.6 2,352.8

Current Share Price(3) 2/28/17 $69.15 EBT 47.8 (0.4) (47.6) 203.9 137.1 306.3 373.0 150.7 158.2 165.0 171.1 176.4 180.6% 52-week High(5) 95.2% Income Tax Expense 17.6 21.8 19.7 70.2 46.6 66.5 90.1 36.4 38.2 39.9 41.3 42.6 43.6 Payables, Net 434.7 324.6 331.952-week High(4) 2/28/17 72.60 Noncontrolling Interest 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Accrued Liabilities 120.9 98.8 130.952-week Low 2/28/17 28.90 Preferred Dividends 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Other Current Liabilities 10.8 20.8 25.2Dividend Per Share (MRQ) Net Income 30.3 (22.2) (67.3) 133.6 90.5 239.8 282.9 114.3 120.0 125.2 129.8 133.8 137.0 Total Current Liabilities 566.4 444.3 487.9

Basic Shares Outstanding 44.7 Effective Tax Rate 36.70% (5921.14%) (41.42%) 34.44% 33.99% 21.71% 24.15% 24.15% 24.15% 24.15% 24.15% 24.15% 24.15%Fully Diluted Shares Outstanding 44.7 Total Debt 1,202.2 1,207.8 1,190.9

Market Capitalization(6) 3,087.8 Weighted Avg. Diluted Shares 16.1 37.0 43.4 49.0 49.1 47.0 48.2 48.2 44.7 44.2 43.8 43.3 42.9 Other Long-Term Liabilities 266.6 243.5 250.5Equity Value(7) 3,087.8 Diluted EPS 1.88 (0.60) (1.55) 2.73 1.84 5.10 5.87 2.37 2.69 2.83 2.97 3.09 3.19 Total Liabilities 2,035.3 1,895.6 1,929.3

Plus: Total Debt 1,190.9 Percent Change in Shares Outstanding 0.00% 129.89% 17.31% 12.70% *Approximately (1.54%) (1.54%) (7.36%) (1.00%) (1.00%) (1.00%) (1.00%)Plus: Preferred Equity 0.0 Noncontrolling Interest 0.0 0.0 0.0Plus: Noncontrolling Interest 0.0 Preferred Equity 0.0 0.0 0.0Less: Cash and Cash Equivalents (466.3) Reported Gross Profit 336.7 358.0 297.3 469.1 356.8 449.8 562.1 406.6 426.8 445.3 461.7 475.9 487.4 Shareholders' Equity 320.9 389.0 423.4

Enterprise Value(8) 3,812.4 Non-Recurring Items in COGS 0.0 Total Liabilities and Equity 2,356.1 2,284.6 2,352.8Adj. Gross Profit 336.7 358.0 297.3 469.1 356.8 449.8 562.1 406.6 426.8 445.3 461.7 475.9 487.4 Balance Yes Yes Yes

% Margin 6.2% 6.7% 5.8% 11.8% 11.6% 16.1% 15.2% 11.0% 11.0% 11.0% 11.0% 11.0% 11.0%(9-20, 23-26) Historical LTM

2015 A 2/28/17 2016 E 2017 E Reported EBIT 157.8 131.7 77.3 297.1 211.1 362.8 448.8 240.3 252.2 263.1 272.9 281.2 288.0EV/Revenue 1.0 x 1.0 x 1.0 x 1.0 x Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Basic Shares Outstanding 44.7

Metric 3,971.9 3,696.2 3,696.2 3,880.0 Other Non-Recurring Items 0.0 Plus: Shares from In-the-Money Options 0.0EV/EBITDA 9.7 x 6.9 x 11.2 x 10.6 x Adjusted EBIT 157.8 131.7 77.3 297.1 211.1 362.8 448.8 240.3 252.2 263.1 272.9 281.2 288.0 Less: Shares Repurchased 0.0

Metric 393.8 550.0 341.5 358.4 % Margin 2.9% 2.5% 1.5% 7.5% 6.9% 13.0% 12.1% 6.5% 6.5% 6.5% 6.5% 6.5% 6.5% Net New Shares from Options 0.0EV/EBIT 12.8 x 8.5 x 15.9 x 15.1 x Plus: Shares from Convertible Securities 0.0

Metric 297.1 448.8 240.3 252.2 Depreciation & Amortization 85.6 95.2 103.7 96.8 67.3 71.7 101.2 101.2 106.2 110.8 114.9 118.5 121.3 Fully Diluted Shares Outstanding 44.7P/E 25.3 x 4.6 x 29.2 x 25.7 x Adjusted EBITDA 243.4 226.9 181.0 393.8 278.3 434.6 550.0 341.5 358.4 374.0 387.8 399.6 409.3

Metric 2.7 15.2 2.4 2.7 % Margin 4.5% 4.3% 3.5% 9.9% 9.1% 15.5% 14.9% 9.2% 9.2% 9.2% 9.2% 9.2% 9.2% Options/WarrantsNumber of Exercise In-the-Money

Reported Net Income 30.3 (22.2) (67.3) 133.6 90.5 239.8 282.9 114.3 120.0 125.2 129.8 133.8 137.0 Tranche Shares Price Shares ProceedsReturn on Invested Capital 38.80% Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 1 0.0 0.0Return on Equity 180.14% Other Non-Recurring Items 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 2 0.0 0.0Return on Assets 31.56% Non-Operating Non-Rec. Items 211.1 362.8 448.8 Tranche 3 0.0 0.0Implied Annual Dividend Per Share 0.00% Tax Adjustment 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 4 0.0 0.0

Adjusted Net Income 30.3 (22.2) (67.3) 133.6 301.6 602.7 731.8 114.3 120.0 125.2 129.8 133.8 137.0 Tranche 5 0.0 0.0% Margin 0.6% (0.4%) (1.3%) 3.4% 9.8% 21.5% 19.8% 3.1% 3.1% 3.1% 3.1% 3.1% 3.1% Total 0.0 0.0 0.0

Debt/Total Capitalization 73.77%Total Debt/EBITDA(22) 2.2x Adjusted Diluted EPS 1.88 (0.60) (1.55) 2.73 6.14 12.81 15.18 2.37 2.69 2.83 2.97 3.09 3.19 Convertible SecuritiesNet Debt/EBITDA 1.6x Conversion Conversion NewEITDA/Interest Expense 7.3x Issue Amount Price Ratio Shares[EBITDA-Capex]/Interest Expense 5.8x Depreciation and Amortization 85.6 95.2 103.7 96.8 67.3 71.7 101.2 101.2 106.2 110.8 114.9 118.5 121.3 Issue 1 0.0 0.0EBIT/Interest Expense 5.9x % Revenue 1.57% 1.79% 2.02% 2.44% 2.19% 2.56% 2.74% 2.74% 2.74% 2.74% 2.74% 2.74% 2.74% Issue 2 0.0 0.0

Capital Expenditures 118.5 73.5 98.6 109.3 79.1 82.7 112.9 112.9 118.5 123.6 128.2 132.1 135.3 Issue 3 0.0 0.0% Revenue 2.17% 1.39% 1.92% 2.75% 2.57% 2.95% 3.05% 3.05% 3.05% 3.05% 3.05% 3.05% 3.05% Issue 4 0.0 0.0

Revenue EBITDA EPS Issue 5 0.0 0.0Historical Total 0.0

CAGR (4-Year) 0.0% 0.0% 0.0%CAGR (2-Year) (13.5%) 31.8% 0.0% Notes and Assumptions Balance Sheet Raw Data and Details Dec. 31, 2014 Dec. 31, 2015 Sep. 30, 20162012 A 0.0% 0.0% 0.0% 1. Revenue Growth Rate 0.00% (2.65%) (3.38%) (22.54%) St. Dev. (Revenue Growth) 10.37% (6.94%) 4.97% 4.33% 3.69% 3.06% 2.42% Values in Thousands, USD 2014 A 2015 A 3Q162013 A (2.7%) (6.8%) (131.9%) 2. Average Revenue Growth (Last 5 Years) (7.14%) 3,696.2 3,880.0 (0.64%) Slope to the Risk-Free Rate Consolidated Balance Sheets2014 A (3.4%) (20.2%) 158.3% 3. COGS (% Revenue) 93.8% 93.3% 94.2% 88.2% St. Dev. (COGS %) 2.81% 89.00% 89.00% 89.00% 89.00% 89.00% 89.00% Current assets2015 A (22.5%) 117.6% (276.1%) 4. Operating Expenses (% Revenue) 3.3% 4.1% 4.5% 5.2% St. Dev. (Op. Ex. %) 0.80% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% Cash and cash equivalents 220,786.0 431,261.0 466,287.0

5. Other Expenses (% Revenue) (0.06%) 0.18% (0.25%) (0.90%) St. Dev. (Other Ex. %) 0.46% (0.50%) (0.50%) (0.50%) (0.50%) (0.50%) (0.50%) Accounts receivable, net of allowance 601,066.0 494,556.0 511,624.0Estimated 6. Net Interest (% Revenue) 2.02% 2.49% 2.44% 2.35% St. Dev. (Net Interest %) 0.21% 2.42% 2.42% 2.42% 2.42% 2.42% 2.42% Inventories 473,861.0 353,097.0 375,747.0

2016 E (6.9%) (13.3%) (13.2%) 7. NCI (% Revenue) 0.00% 0.00% 0.00% 0.00% St. Dev. (NCI %) 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Deferred income tax assets 11,786.0 0.0 0.0 CAGR (2-Year) (1.2%) (4.6%) (0.8%) 8. Preferred Dividends (% Revenue) 0.00% 0.00% 0.00% 0.00% St. Dev. (Preferred Div. %) 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Other current assets 15,164.0 10,120.0 37,832.0CAGR (4-Year) 1.4% (0.4%) 2.1% 9. Gross Profit Margin (%) 6.18% 6.75% 5.80% 11.81% 11.00% 11.00% 11.00% 11.00% 11.00% 11.00% Total current assets 1,322,663.0 1,289,034.0 1,391,490.0Long Term(27) 2.4% 2.4% 3.5% 10. EBIT Margin (%) 2.89% 2.48% 1.51% 7.48% 6.50% 6.50% 6.50% 6.50% 6.50% 6.50% Investments in unconsolidated affiliates167,658.0 182,836.0 186,999.0

Fully Diluted Shares Outstanding

LTM Return on Investment Ratios

LTM Credit Statistics

Cash Flow Statement Data

Growth Rates

Estimates

TSE Fiscal Year Ended December 31,NYSE

31-DecNANA

1.5540.00%

Market Data

Adjusted Income Statement

Trading Multiples

Trinseo S.A. (NYSE:TSE)

General Information Reported Income Statement Balance Sheet DataTrinseo S.A. Extended Historical Period Projection Period

Page 35: Eastman Chemical Company

Comparable Companies AnalysisComparables Input Page — Values in Millions, USD except per-share data Fiscal Year Ended December 31,

Company(1) Prior Current 2014 A 2015 A 2/28/17Ticker(2) Stub Stub LTM Cash and Cash Equivalents 238.6 279.8 212.2Exchange 2011 A 2012 A 2013 A 2014 A 2015 A 3Q15 3Q16 2/28/17 2016 E 2017 E 2018 E 2019 E 2020 E 2021 E Receivables, Net 396.8 347.0 418.3Fiscal Year Ended Revenue 2,709.4 2,860.8 3,771.2 3,835.5 3,377.6 2,601.8 2,552.1 3,327.9 3,339.8 3,450.0 3,533.4 3,618.8 3,706.3 3,795.8 Inventories 309.0 287.0 325.6Moody's Rating COGS 2,280.1 2,329.7 3,109.0 3,127.6 2,696.1 2,077.2 2,001.2 2,620.1 2,633.6 2,803.8 2,871.5 2,941.0 3,012.0 3,084.8 Prepaid and Other Current Assets 54.0 47.0 45.5S&P Rating Gross Profit 429.3 531.1 662.2 707.9 681.5 524.6 550.9 707.8 706.2 646.2 661.8 677.8 694.2 711.0 Total Current Assets 998.4 960.8 1,001.6Predicted Beta Operating Expenses 226.3 393.6 430.7 552.8 430.6 305.0 326.9 452.5 424.3 443.7 454.4 465.4 476.7 488.2Marginal Tax Rate Other Expenses / (Income) (18.8) (15.2) (132.8) 3.3 19.1 3.0 0.2 16.3 (0.2) 20.7 21.2 21.7 22.2 22.8 Property, Plant & Equipment, Net 596.7 583.5 605.0

EBIT 221.8 152.7 364.3 151.8 231.8 216.6 223.8 239.0 282.1 181.8 186.2 190.7 195.3 200.1 Goodwill and Intangible Assets 1,071.2 1,050.8 1,143.2Net Interest 33.7 50.8 63.5 62.2 64.1 48.5 44.3 59.9 59.8 59.8 61.3 62.8 64.3 65.8 Total Assets 2,666.3 2,595.1 2,749.8

Current Share Price(3) 2/28/17 $33.68 EBT 188.1 101.9 300.8 89.6 167.7 168.1 179.5 179.1 222.3 122.0 124.9 128.0 131.0 134.2% 52-week High(5) 87.7% Income Tax Expense 15.5 30.1 58.1 11.2 23.0 26.4 48.2 44.8 57.3 20.8 21.3 21.8 22.4 22.9 Payables, Net 365.9 351.6 383.452-week High(4) 2/28/17 38.41 Noncontrolling Interest 0.0 (0.1) (1.1) (0.8) 0.1 0.2 (0.1) (0.2) (0.2) 0.1 0.1 0.1 0.1 0.1 Accrued Liabilities 172.9 127.9 124.852-week Low 2/28/17 26.84 Preferred Dividends 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Other Current Liabilities 0.0 0.0 0.0Dividend Per Share (MRQ) Net Income 172.6 71.9 243.8 79.2 144.6 141.5 131.4 134.5 165.2 101.1 103.5 106.0 108.6 111.2 Total Current Liabilities 538.8 479.5 508.2

Basic Shares Outstanding 82.2 Effective Tax Rate 8.24% 29.54% 19.32% 12.50% 13.71% 15.70% 26.85% 25.01% 17.08% 17.08% 17.08% 17.08% 17.08% 17.08%Fully Diluted Shares Outstanding 82.2 Total Debt 1,010.6 1,146.6 1,259.5

Market Capitalization(6) 2,767.4 Weighted Avg. Diluted Shares 93.8 89.9 96.4 93.2 88.7 89.0 84.6 84.3 84.7 82.2 81.2 80.4 79.6 78.8 Other Long-Term Liabilities 339.7 263.8 225.8Equity Value(7) 2,767.4 Diluted EPS 1.84 0.80 2.53 0.85 1.63 1.59 1.55 1.60 1.95 1.23 1.27 1.32 1.36 1.41 Total Liabilities 1,889.1 1,889.9 1,993.5

Plus: Total Debt 1,259.5 Percent Change in Shares Outstanding NA (4.19%) 7.22% (3.31%) (4.79%) * Approximately (4.96%) (4.50%) (2.25%) (1.13%) (1.00%) (1.00%) (1.00%)Plus: Preferred Equity 0.0 Noncontrolling Interest 0.9 1.0 0.9Plus: Noncontrolling Interest 0.9 Preferred Equity 0.0 0.0 0.0Less: Cash and Cash Equivalents (212.2) Reported Gross Profit 429.3 531.1 662.2 707.9 681.5 524.6 550.9 707.8 706.2 646.2 661.8 677.8 694.2 711.0 Shareholders' Equity 776.3 704.2 755.4

Enterprise Value(8) 3,815.6 Non-Recurring Items in COGS 0.0 Total Liabilities and Equity 2,666.3 2,595.1 2,749.8Adj. Gross Profit 429.3 531.1 662.2 707.9 681.5 524.6 550.9 707.8 706.2 646.2 661.8 677.8 694.2 711.0 Balance Yes Yes Yes

% Margin 15.8% 18.6% 17.6% 18.5% 20.2% 20.2% 21.6% 21.3% 21.1% 18.7% 18.7% 18.7% 18.7% 18.7%(9-20, 23-26) Historical LTM

2015 A 2/28/17 2016 E 2017 E Reported EBIT 221.8 152.7 364.3 151.8 231.8 216.6 223.8 239.0 282.1 181.8 186.2 190.7 195.3 200.1EV/Revenue 1.1 x 1.1 x 1.1 x 1.1 x Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Basic Shares Outstanding 82.2

Metric 3,377.6 3,327.9 3,339.8 3,450.0 Other Non-Recurring Items 0.0 Plus: Shares from In-the-Money Options 0.0EV/EBITDA 11.6 x 11.3 x 10.0 x 13.4 x Adjusted EBIT 221.8 152.7 364.3 151.8 231.8 216.6 223.8 239.0 282.1 181.8 186.2 190.7 195.3 200.1 Less: Shares Repurchased 0.0

Metric 329.9 338.0 382.6 285.6 % Margin 8.2% 5.3% 9.7% 4.0% 6.9% 8.3% 8.8% 7.2% 8.4% 5.3% 5.3% 5.3% 5.3% 5.3% Net New Shares from Options 0.0EV/EBIT 16.5 x 16.0 x 13.5 x 21.0 x Plus: Shares from Convertible Securities 0.0

Metric 231.8 239.0 282.1 181.8 Depreciation & Amortization 57.5 69.8 109.8 123.9 98.1 73.8 74.7 99.0 100.5 103.8 106.3 108.9 111.5 114.2 Fully Diluted Shares Outstanding 82.2P/E 20.7 x 7.6 x 17.3 x 27.4 x Adjusted EBITDA 279.3 222.5 474.1 275.7 329.9 290.4 298.5 338.0 382.6 285.6 292.5 299.6 306.9 314.3

Metric 1.6 4.4 2.0 1.2 % Margin 10.3% 7.8% 12.6% 7.2% 9.8% 11.2% 11.7% 10.2% 11.5% 8.3% 8.3% 8.3% 8.3% 8.3% Options/WarrantsNumber of Exercise In-the-Money

Reported Net Income 172.6 71.9 243.8 79.2 144.6 141.5 131.4 134.5 165.2 101.1 103.5 106.0 108.6 111.2 Tranche Shares Price Shares ProceedsReturn on Invested Capital 14.17% Non-Recurring Items in COGS 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 1 0.0 0.0Return on Equity 51.18% Other Non-Recurring Items 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 2 0.0 0.0Return on Assets 13.98% Non-Operating Non-Rec. Items 216.6 223.8 239.0 Tranche 3 0.0 0.0Implied Annual Dividend Per Share 0.00% Tax Adjustment 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Tranche 4 0.0 0.0

Adjusted Net Income 172.6 71.9 243.8 79.2 144.6 358.1 355.2 373.5 165.2 101.1 103.5 106.0 108.6 111.2 Tranche 5 0.0 0.0% Margin 6.4% 2.5% 6.5% 2.1% 4.3% 13.8% 13.9% 11.2% 4.9% 2.9% 2.9% 2.9% 2.9% 2.9% Total 0.0 0.0 0.0

Debt/Total Capitalization 62.51%Total Debt/EBITDA(22) 3.7x Adjusted Diluted EPS 1.84 0.80 2.53 0.85 1.63 4.02 4.20 4.43 1.95 1.23 1.27 1.32 1.36 1.41 Convertible SecuritiesNet Debt/EBITDA 4.4x Conversion Conversion NewEITDA/Interest Expense 5.6x Issue Amount Price Ratio Shares[EBITDA-Capex]/Interest Expense 4.2x Depreciation and Amortization 57.5 69.8 109.8 123.9 98.1 73.8 74.7 99.0 100.5 103.8 106.3 108.9 111.5 114.2 Issue 1 0.0 0.0EBIT/Interest Expense 4.0x % Revenue 2.12% 2.44% 2.91% 3.23% 2.90% 2.84% 2.93% 2.97% 3.01% 3.01% 3.01% 3.01% 3.01% 3.01% Issue 2 0.0 0.0

Capital Expenditures 54.1 57.4 76.4 92.8 91.2 61.6 58.0 87.6 84.2 87.0 89.1 91.2 93.4 95.7 Issue 3 0.0 0.0% Revenue 2.00% 2.01% 2.03% 2.42% 2.70% 2.37% 2.27% 2.63% 2.52% 2.52% 2.52% 2.52% 2.52% 2.52% Issue 4 0.0 0.0

Revenue EBITDA EPS Issue 5 0.0 0.0Historical Total 0.0

CAGR (4-Year) 5.7% 4.3% (3.0%)CAGR (2-Year) (5.4%) (16.6%) (19.7%) Notes and Assumptions Balance Sheet Raw Data and Details Dec. 31, 2014 Dec. 31, 2015 Sep. 30, 20162012 A 5.6% (20.3%) (56.5%) 1. Revenue Growth Rate NA 5.59% 31.82% 1.71% (11.94%) St. Dev. (Revenue Growth) 18.30% 10.00% 3.30% 2.42% 2.42% 2.42% 2.42% 2014 A 2015 A 3Q162013 A 31.8% 113.1% 216.3% 2. Average Revenue Growth (Last 5 Years) 6.79% 3,450.0 Consolidated Balance Sheets2014 A 1.7% (41.8%) (66.4%) 3. COGS (% Revenue) 84.2% 81.4% 82.4% 81.5% 79.8% St. Dev. (COGS %) 1.09% 81.27% 81.27% 81.27% 81.27% 81.27% 81.27% Current assets:2015 A (11.9%) 19.7% 91.8% 4. Operating Expenses (% Revenue) 8.4% 13.8% 11.4% 14.4% 12.7% St. Dev. (Op. Ex. %) 1.30% 12.86% 12.86% 12.86% 12.86% 12.86% 12.86% Cash and cash equivalents 238.6 279.8 212.2

5. Other Expenses (% Revenue) (0.69%) (0.53%) (3.52%) 0.09% 0.57% St. Dev. (Other Ex. %) 1.84% 0.60% 0.60% 0.60% 0.60% 0.60% 0.60% Accounts receivable, net 396.8 347.0 418.3Estimated 6. Net Interest (% Revenue) 1.24% 1.78% 1.68% 1.62% 1.90% St. Dev. (Net Interest %) 0.12% 1.73% 1.73% 1.73% 1.73% 1.73% 1.73% Inventories, net 309.0 287.0 325.6

2016 E (1.1%) 16.0% 19.6% 7. NCI (% Revenue) 0.00% (0.00%) (0.03%) (0.02%) 0.00% St. Dev. (NCI %) 0.01% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Other current assets 54.0 47.0 45.5CAGR (2-Year) 1.1% (6.9%) (13.1%) 8. Preferred Dividends (% Revenue) 0.00% 0.00% 0.00% 0.00% 0.00% St. Dev. (Preferred Div. %) 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Total current assets 998.4 960.8 1,001.6CAGR (4-Year) 1.7% (2.4%) (5.2%) 9. Gross Profit Margin (%) 15.84% 18.56% 17.56% 18.46% 20.18% 21.14% 18.73% 18.73% 18.73% 18.73% 18.73% Property, net 596.7 583.5 605.0Long Term(27) 2.4% 2.4% 3.5% 10. EBIT Margin (%) 8.19% 5.34% 9.66% 3.96% 6.86% 8.45% 5.27% 5.27% 5.27% 5.27% 5.27% Goodwill 590.6 597.7 672.9

Fully Diluted Shares Outstanding

LTM Return on Investment Ratios

LTM Credit Statistics

Cash Flow Statement Data

Growth Rates

Estimates

POL Fiscal Year Ended December 31,NYSE

31-DecNANA

1.6040.00%

Market Data

Adjusted Income Statement

Trading Multiples

PolyOne Corporation (NYSE:POL)

General Information Reported Income Statement Balance Sheet DataPolyOne Corporation Extended Historical Period Projection Period