2005 DuPont Data Book
Contents                                             DuPont
                                                     Investor ...
Board of                                   Senior
Directors                                  Leaders

Charles O. Holliday,...
DuPont 2005 At a Glance
During 2005, DuPont maintained its leading position in biotechnology, safety and protection, and c...
Photos: (Far left) DuPont received
                                                                                       ...
Corporate Financial Data

Corporate Highlights
(dollars in millions, except per share)
                                   ...
2003                2002               2001                                                                  Cash Provided...
Corporate Financial Data

Segment Information
(dollars in millions)
                                                      ...
2005                                                                2004
                                                 ...
Corporate Financial Data

Consolidated Income Statements
(dollars in millions, except per share)
For the year ended Decemb...
Consolidated Balance Sheets
(dollars in millions)
December 31                                                2005      200...
Corporate Financial Data

Consolidated Statements of Cash Flows
(dollars in millions)
For the year ended December 31      ...
Selected Additional Data
                                                                                           2005  ...
Corporate Financial Data

Selected Additional Data
(dollars in millions, except per share)
                               ...
Selected Additional Data
      Price and Volume* Change Summary


      DuPont Sales Volume – Worldwide                   ...
DuPont Core Values: Safety, Health, and the Environment

Throughout its history, DuPont has been guided                   ...
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du pont 2005 Data Book
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du pont 2005 Data Book

  1. 1. 2005 DuPont Data Book
  2. 2. Contents DuPont Investor Relations 1 DuPont Leadership Carl J. Lukach Vice President DuPont Investor Relations 2 2005 At a Glance (302) 774-0001 4 Corporate Financial Data Corporate Highlights David L. Peet Segment Information Director Consolidated Income Statements (302) 774-1125 Consolidated Balance Sheets Consolidated Statement of Cash Flows Selected Additional Data Christine W. Wei Manager 14 DuPont Core Values: (302) 774-0017 Safety, Health, and the Environment 15 Industries, Regions, and Ingredients Pamela R. Schools 16 DuPont Science & Technology Investor Relations Coordinator (302) 774-9870 18 Business Segments Agriculture & Nutrition Coatings & Color Technologies Electronic & Communication Technologies Performance Materials Safety & Protection Pharmaceuticals DuPont DATA BOOK has been prepared to assist financial analysts, 39 Major Global Sites and Principal Products portfolio managers, and others in understanding and evaluating the company. This book presents graphics, tabular, and other statistical data about the consolidated company and its business segments. The information presented in this book is generally included in, or can be calculated from information included in, previously published company reports on Forms 10K, 10Q, and 8K. Dollars are in millions except per share or where Main Office Number: (302) 774-4994 otherwise indicated. Most notes to financial statements are not included. This information is only a summary and should be read in conjunction with Fax: (302) 773-2631 the company’s audited consolidated financial statements and “Management’s Internet: www.dupont.com Discussion and Analysis,” which is located in the 2005 Annual Review on Form 10K filed with the Securities and Exchange Commission. DuPont DATA BOOK is available on the Web at www.dupont.com. The DuPont Oval Logo, DuPontTM, The miracles of science®, and all products denoted with TM or ® are trademarks or registered trademarks of E.I. du Pont de Nemours and Company or its affiliates. April 2006
  3. 3. Board of Senior Directors Leaders Charles O. Holliday, Jr. * Chairman of the Board and Chief Executive Officer Alain J. P. Belda * †† Chairman and Chief Executive Officer, James C. Borel* Terry Caloghiris Thomas M. J. Erik Fyrwald Alcoa Inc. Connelly, Jr.* Senior Vice President Group Vice President Group Vice President Richard H. Brown * †† ††† DuPont Human DuPont Coatings & DuPont Agriculture Senior Vice President Former Chairman and Resources Color Technologies & Nutrition Chief Executive Officer, and Chief Science & Electronic Data Systems Technology Officer Curtis J. Crawford *** † †† President and Chief Executive Officer, XCEO, Inc. John T. Dillon * † †† Retired Chairman and Chief Executive Officer, International Paper; Vice Chairman, Evercore Capital Partners Richard R. Diane H. Gulyas John C. Hodgson* Charles O. Louisa C. Duemling ** *** ††† Goodmanson* Holliday, Jr.* Chief Marketing & Senior Vice President & Retiring in April 2006. Sales Officer Chief Customer Officer Executive Vice President Chairman & Chief Eleuthère (Thère) I. du Pont & Chief Operating Officer Executive Officer President, Wawa, Inc. Lois D. Juliber * † †† Retired Vice Chairman and Chief Operating Officer, Colgate-Palmolive Company Masahisa Naitoh ** ††† Chairman and Chief Executive Officer, The Institute of Energy Economics, Japan Sean O’Keefe ** † W. Donald Johnson Ellen J. Kullman Stacey J. Mobley* Chancellor, Louisiana State University Jeffrey L. Keefer Group Vice President Group Vice President Senior Vice President, William K. Reilly ** *** ††† Group Vice President DuPont Global Operations DuPont Safety Chief Administrative Officer Founding Partner, DuPont Performance Aqua International Partners, LP; & Protection & General Counsel Materials Former Administrator, U.S. Environmental Protection Agency H. Rodney Sharp, III *** † †† Retiring in April 2006. Charles M. Vest ** *** † President Emeritus and Professor of Mechanical Engineering, Massachusetts Institute of Technology Board Committees: Craig G. Naylor Gary M. Pfeiffer* Mathieu Vrijsen † Audit Group Vice President Senior Vice President President †† Compensation DuPont Electronic & & Chief Financial Officer ††† Corporate Governance DuPont Europe, Middle East *** Science and Technology Communication and Africa ** Environmental Policy Technologies * Strategic Direction *Member, Office of the Chief Executive 2005 DuPont Databook 1
  4. 4. DuPont 2005 At a Glance During 2005, DuPont maintained its leading position in biotechnology, safety and protection, and crop yield improvement, and continued to execute its three growth strategies while overcoming a number of operational and business challenges. The most significant of these challenges were record-high energy costs and the aftermath of two major hurricanes, Katrina and Rita. Management took actions to increase pricing and improve productivity to offset these cost increases. In addition, management announced acceleration actions to increase shareholder value. January Asia Pacific. The facility, in Shenzhen, DuPont purchased the ISCEON® DuPont and The Dow Chemical Company China, will produce DuPont™ Bynel® and hydrofluorocarbon (HFC) refrigerant announced that Dow elected to acquire DuPont™ Fusabond® adhesive resins. blends business from Rhodia. The ISCEON® certain assets in DuPont Dow Elastomers range of refrigerants comprises non-ozone- DuPont signed a research agreement LLC (DDE) on Dec. 31, 2004. As a result, depleting blends used as a replacement with the National Chemical Laboratory DuPont purchased Dow’s remaining equity for ozone-depleting refrigerants in air (NCL) in Pune, India. The first research interest in DDE. conditioning, cold storage, domestic projects NCL developed were for the refrigeration and process cooling. DuPont donated over $1 million in cash and DuPont Titanium Technologies business. products in response to the earthquake July DuPont increased its equity interest in and tsunami in the Indian Ocean. Magellan Systems International. Magellan The DuPont site in Lerma, Mexico, received DuPont electronic materials helped keep has been working on next generation the Clean Industry Certification from the Mars Rovers operating one year after material in protective applications, M5®, Mexican government for its outstanding landing on Mars. which contains the unique attributes performance and a continuous commitment of strength, stiffness and resistance to to reducing its environmental footprint. February high temperatures. DuPont sites in Corpus Christi, Sabine, The United States Customs and Border DuPont increased its quarterly dividend LaPorte and Bayport, Texas were honored Protection Border Patrol signed a from $.35 to $.37 per share. for their commitment to “Caring for Texas” multi-year agreement with DuPont to by the Texas Chemical Council (TCC) at outfit its agents with protective vests May the organization’s annual meeting. containing new DuPont™ Kevlar® Martin Drigotas, DuPont Automotive Comfort XLT™ technology. August Refrigerants manager, was awarded the DuPont™ Sorona®, the first DuPont U.S. Environmental Protection Agency DuPont Qualicon and Applied Biosystems polymer derived from a biological source, (EPA) Climate Protection Award as a Group announced that they will was recognized by the China State founder of the Improved Mobile Air jointly develop and market new BAX® Intellectual Property Office as the “Most Conditioning Cooperative Research system applications for the food industry. Visionary Innovation.” Program (IMAC). Innovations in DNA technology from Applied Biosystems will provide additional DuPont served as the premier sponsor of DuPont and the Republic of Korea signed capabilities, strain discrimination and other the XVII “World Congress on Safety and an agreement to build a $12 million benefits of great value to the food industry. Health at Work.” nonwovens market development manufacturing facility in the province of DuPont donated Personal Protection March Gyeong-gi, near Seoul. products to agencies supporting Fortune magazine named DuPont #37 on Hurricane Katrina relief and recovery DuPont contributed another $25 million to the 2005 Global Most Admired Companies efforts in Mississippi, Louisiana and continue funding the DuPont MIT All Star list. Alabama. DuPont Personal Protection Alliance (DMA) through 2010. DMA is a products contain Kevlar®, Nomex® and DuPont Aichi Coatings Laboratory research program focused on creating Tyvek® high performance materials; celebrated groundbreaking in Japan. This innovative, next-generation materials. Virkon® S disinfectant; RelyOn™ disinfec- laboratory services the growing coatings tant wipes; and Solae® energy bars and June business with Japanese automakers and soy beverages. facilitates customer approvals of tech- DuPont Senior Vice President and Chief nologies and colors for use worldwide. Science & Technology Officer Thomas M. DuPont celebrated the opening of a new Connelly, Jr. was presented the 2005 solid surfaces manufacturing site in April “Award for Executive Excellence” as part Guangzhou, China. DuPont Packaging & Industrial Polymers of the Chemical Heritage Foundation opened its first copolymer operation in “Heritage Day 2005” ceremonies. 2
  5. 5. Photos: (Far left) DuPont received its 7 millionth U.S. patent on an industrial biotechnology process. (Middle) Latin-American farmers increase crop yield with the help of DuPont. (Left) DuPont™ Building Innovations™ provides environmen- tally sustainable building solutions. Stephanie Kwolek, inventor of DuPont™ DuPont was honored with the Working ranked DuPont number 24 among all Kevlar®, was inducted into the National Mother Award and inducted into the companies in the category “World, Women’s Hall of Fame. Working Mother Hall of Fame. Community Commitment.” DuPont acquired 100 percent ownership DuPont announced that it is taking December of DuPont Authentication Systems (DAS) actions to repatriate approximately $9.4 DuPont placed first on BusinessWeek’s from Keystone Technologies, LLC. DAS billion of cash under the American Jobs ranking of “The Top Green Companies.” provides customers with complete overt, Creation Act before year-end. covert and forensic brand authentication DuPont announced that it has selected DuPont initiated a series of actions to and security systems built around its Izon™ Singapore for expected investment in two increase shareholder value and accelerate deep, three-dimensional photopolymer- growth businesses—DuPont™ Zytel® its growth and productivity strategies, based labels. HTN high-performance polyamide and including Capital Deployment, DuPont™ Vespel® parts and shapes. DuPont and Tate & Lyle formed a joint Productivity Advancement and Growth venture to invest $100 million and build a Acceleration, including a $5 billion U.S. Gulf Coast Hurricanes large-scale aerobic fermentation plant in Share Repurchase program. The company has 14 manufacturing Loudon, Tennessee to produce DuPont’s DuPont accelerated efforts to supply plants located in the U.S. Gulf Coast first bio-based material, Bio-PDO™. DuPont™ Virkon® S veterinary disinfectant region that were affected by hurricanes to help prevent avian flu from spreading. Katrina & Rita in 2005. Ten plants had September minimal damage and resumed operations DuPont™ Kevlar® marked its 40th anniver- November quickly. Four plants, two in Mississippi sary with a host of new and emerging Mohawk Industries, Inc. announced a and two in Texas, experienced serious innovations, from an in-home storm new line of residential carpet to the damage to electrical systems, instrument shelter that helps provide protection from flooring industry—SmartStrand™ with controls and computer-based electronic hurricanes and tornadoes, to emerging DuPont™ Sorona® bio-based polymer. process control systems. All sites had ultra-strong protective applications to resumed operations by the end of the support the “soldier of the future.” DuPont signed an agreement for the first quarter 2006. construction of its titanium dioxide plant DuPont was selected as a member of the in Dongying city’s Economic Development Charges of $160 million were recorded in 2006 Dow Jones Sustainability Index. Zone, China. 2005 for cleanup, repair, lost inventories DuPont has been a member since the and other hurricane-related costs. index was launched in 1999. Ellen Kullman, group vice president, DuPont Safety & Protection, was named Following the hurricanes, DuPont declared DuPont made a $1 billion voluntary to Fortune magazine’s annual list of the “force majeure” for several product lines contribution to its principal U.S. Pension 50 Most Powerful Women in Business. of the Coatings and Color Technologies, and Retirement Plan. Safety and Protection and Performance Herculex® XTRA Double-Stack Insect DuPont announced its intention to Materials segments manufactured at four Protection was approved by the United raise prices further for all products in of the impacted sites. Sales lost because States Environmental Protection Agency light of rapidly increasing costs for of these hurricanes were estimated to be (EPA), following the recent registration of energy and feedstocks. $350 million in 2005. Herculex® RW by EPA. DuPont managed through the hurricanes October DuPont Corporate Economist Bob Shrouds while ensuring all employees were safe and Du Pont China Holding Company hosted an and Senior Associate Economist Robert all sites remained environmentally secure. opening for DuPont (Shenzhen) Industrial Fry received the 2005 Lawrence R. Klein Co. Ltd. in Shenzhen Futian Free Trade Award for Blue Chip Forecast Accuracy. DuPont donated over $1.3 million in cash Zone. The opening marked the production and products, and our employees another The 2005 Financial Times startup of two new facilities—DuPont $300,000, to support community relief and PricewaterhouseCoopers’ “World’s Display Enhancements and DuPont Liquid recovery efforts. Most Respected Companies” survey Packaging Systems. 2005 DuPont Databook 3
  6. 6. Corporate Financial Data Corporate Highlights (dollars in millions, except per share) 2005 2004 Operating Results Net sales $26,639 $27,340 Income 1 2,053 1,780 Net income (loss) 2,053 1,780 Income before significant items 1 2,329 2,393 Depreciation 1,128 1,124 EBIT 3,876 1,687 EBITDA 5,201 3,000 Cash provided by operating activities 2,542 3,231 Capital expenditures 1,406 1,298 Research and development expense 5 1,336 1,333 Financial Position, Total assets $33,250 $35,632 Year End Working capital 4,959 7,272 Total debt 8,180 6,485-6 Stockholders’ equity 8,907 11,377 Data Per Common Share Income 1, 7 $2.07 $1.77 Net income (loss) 7 $2.07 $1.77 Income before significant items 1, 7 $2.34 $2.38 Dividends $1.46 $1.40 Market price – year-end close $42.50 $49.05 high-low range $54.90 – $37.60 $49.39 – $39.88 Book value at year-end $9.43 $11.20 Average number of shares (millions) – diluted 989 1,003 Shares outstanding – year-end (millions) 920 994 Ratios Total stockholder return (10.4)% 9.9% Dividend yield 8 3.4% 2.9% Share price (decrease) increase (13.4)% 6.9% P/E on income before significant items 1, 8 18 21 Dividend payout, as percentage of earnings per share before significant items 1 62.4% 58.8% Return on average stockholders’ equity before significant items 1 20.6% 23.0% Return on average investors’ capital before significant items 1 12.7% 12.3% Asset Turnover Ratio 80% 77% Cash provided by operating activities as percentage of total debt 6 31.1% 49.8% Debt to total capital 6 46.5% 34.2% Interest coverage ratio 10 11.1 11.5 Current ratio 6 1.7 1.9 Exchange Loss – net of tax $ (38) $ (51) Employees Number of employees – year-end (thousands) 60 60 1 Before cumulative effect of changes in accounting principles. 6 Includes related assets and/or liabilities classified as held for sale within the 2 Includes a cumulative effect of a change in accounting principle charge of $29 and Consolidated Balance Sheet. $0.03 per share (diluted). 7 Diluted, based on average number of common shares. 3 Includes a cumulative effect of a change in accounting principle charge of $2,944 and 8 Based on year-end share price. $2.95 per share (diluted). 9 Ratio excludes increase in tax payments related to sale of DuPont Pharmaceuticals. 4 Includes a cumulative effect of a change in accounting principle benefit of $11 and 10 Income before significant items and income taxes, plus the sum of interest expense $.01 per share (diluted). and amortization of capitalized interest less interest income, divided by the sum of 5 Excludes purchased in-process research and development. interest expense and capitalized interest less interest income. Use of Non-GAAP Measures Management believes that measures of earnings before significant items (“non-GAAP” information) are meaningful to investors because they provide insight with respect to ongoing operating results of the company. Significant items represent significant charges or credits that are important to an understanding of the company’s ongoing operations. The use of other non-GAAP financial measures includes Earnings before Interest, Income Taxes and Minority Interests (“EBIT”), as defined by the company, and Earnings before Interest, Income Taxes, Minority Interests, Depreciation and Amortization (“EBITDA”), which are intended to help investors to better evaluate the financial results of the company. Certain non-GAAP measures have been adjusted to best reflect the on-going performance of the company and are identified in the reconciliations. Such measures are not recognized in accordance with generally accepted accounting principles in the United States of America (GAAP) and should not be viewed as an alternative to GAAP measures of performance. A reconciliation of non-GAAP measures to GAAP is provided on the Web at www.dupont.com. For complete details of significant items, see DuPont’s quarterly earnings news releases. 4
  7. 7. 2003 2002 2001 Cash Provided By Earnings Per Share – Diluted Operating Activities Before Significant Items $26,996 $24,006 $24,726 1,002 1,841 4,328 (dollars) (dollars in millions) 973-2 (1,103) 3 4,339-4 $3.00 $3,500 1,669 2,009 1,251 $2.50 1,355 1,297 1,320 $2,800 407 2,343 7,302 $2.00 1,938 3,799 8,995 $2,100 $1.50 2,589 2,439 2,454 $1,400 1,784 1,416 1,634 $1.00 1,349 1,264 1,588 $700 $0.50 $37,039 $34,621 $40,319 5,419 6,363 6,734 2001 2002 2003 2004 2005 2001 2002 2003 2004 2005 10,479-6 6,832 6,814 9,781 9,063 14,452 $0.99 $1.84 $4.15 Cash Returned to Shareholders $0.96-2 $(1.11)-3 $4.16-4 $1.66 $2.00 $1.19 (dollars in millions) $1.40 $1.40 $1.40 Share Repurchase $6,000 $45.89 $42.40 $42.51 Dividends $46.00 – $34.71 $49.80 – $35.02 $49.88 – $32.64 $5,000 $9.57 $8.88 $14.20 $4,000 1,000 999 1,041 997 994 1,002 $3,000 11.5% 3.0% (9.1)% 3.1% 3.3% 3.3% $2,000 8.2% (0.3)% (12.0)% $1,000 28 21 36 2001 2002 2003 2004 2005 84.3% 70% 117.6% 17.9% 17.4% 9.4% 9.0% 10.6% 6.8% Five-Year Performance 2001 – 2005 73% 69% 61% 24.7% 65.1%-9 36.0% Stockholder Return DuPont S&P 500 50.3% 37.3% 28.8% Dividend Yield1 3.2% 1.6% 7.9 9.7 4.7 1.2 1.9 1.8 Share Price Annual Appreciation2 (2.5)% (1.1)% $ (3) $ (99) $ (15) 81 79 79 Total Annual Return2, 3 0.7% 0.5% Dividend Growth2 0.8% 6.4% Ten-Year Performance 1996 – 2005 Stockholder Return DuPont S&P 500 Dividend Yield1 2.8% 1.5% Share Price Annual Appreciation2 2.0% 7.3% Total Annual Return2, 3 4.9% 9.1% Dividend Growth2 3.7% 4.6% 1. Average annual dividend yield based on year-end stock price over the period shown. 2. Compounded annual growth rate over the period shown. 3. Includes reinvestment of dividends. 2005 DuPont Databook 5
  8. 8. Corporate Financial Data Segment Information (dollars in millions) 2005 2004 2003 Segment Sales 1 Agriculture & Nutrition $ 6,394 $ 6,244 $ 5,468 Coatings & Color Technologies 6,234 6,028 5,503 Electronic & Communication Technologies 3,506 3,279 2,892 Performance Materials 4 6,750 6,633 5,376 Safety & Protection 5,230 4,696 4,077 Textiles & Interiors 5 N/A 3,250 6,937 Other 52 44 15 Total segment sales 28,166 30,174 30,268 Elimination of transfers (294) (553) (940) Elimination of equity affiliate sales (1,233) (2,281) (2,332) Net sales $26,639 $27,340 $26,996 Segment Pretax Operating Income – Before Significant Items Agriculture & Nutrition $ 862 $ 803 $ 607 Coatings & Color Technologies 677 814 731 Electronic & Communication Technologies 484 367 181 Performance Materials 531 630 410 Pharmaceuticals 751 681 548 Safety & Protection 1,002 907 805 Textiles & Interiors N/A 142 (1) Other (117) (139) (143) Total segment pretax operating income – before significant items 4,190 4,205 3,138 Exchange gains and losses 445 (411) (220) Corporate expenses and interest (1,049) (932) (930) Income before significant items, income taxes, and minority interests 2 3,586 2,862 1,988 Net significant items 3 (28) (1,420) (1,845) Income before income taxes and minority interests 2 $ 3,558 $ 1,442 $ 143 1 Sales include transfers and pro rata share of equity affiliate sales. 2 Before cumulative effect of changes in accounting principles. 3 For complete details of significant items, see DuPont’s quarterly earnings news releases. 4 Performance Materials 2004 sales include the benefit from the consolidation of DuPont Dow Elastomers (DDE) in April 2004. 5 Textiles & Interiors 2004 sales reflect the divestiture of INVISTA in April 2004. DuPont’s Share of DuPont’s Share of Equity Affiliate Sales Equity Affiliate Earnings 2005 2004 2003 2005 2004 2003 Equity Affiliate Analysis Agriculture & Nutrition $ 76 $ 79 $ 152 $ (2) $ (4) $ (7) Coatings & Color Technologies 27 46 71 1 3 3 Electronic & Communication Technologies 251 284 233 37 29 8 Performance Materials 794 876 1,143 29 (100)-1 9 Safety & Protection 85 64 58 17 13 14 Textiles & Interiors N/A 932 675 N/A 71 (277)-2 Other – – – 9 (2) – Total segments $1,233 $2,281 $2,332 $ 91 $ 10 $ (250) 1 Includes a charge of $150 for antitrust litigation matters associated with DuPont Dow Elastomers LLC which was accounted for as an equity affiliate until April 30, 2004. 2 Includes impairment charge of $293 in connection with the planned separation of INVISTA. 6
  9. 9. 2005 2004 1st 2nd 3rd 4th Full Yr. 1st 2nd 3rd 4th Full Yr. Segment Sales 1 Agriculture & Nutrition $ 2,356 $2,102 $ 997 $ 939 $ 6,394 $ 2,201 $ 2,076 $ 969 $ 998 $ 6,244 Coatings & Color Technologies 1,536 1,640 1,545 1,513 6,234 1,417 1,560 1,476 1,575 6,028 Electronic & Communication Technologies 854 933 875 844 3,506 816 845 815 803 3,279 Performance Materials 1,785 1,836 1,539 1,590 6,750 1,519 1,703 1,672 1,739 6,633 Safety & Protection 1,282 1,388 1,268 1,292 5,230 1,089 1,169 1,185 1,253 4,696 Textiles & Interiors N/A N/A N/A N/A N/A 1,883 826 286 255 3,250 Other 12 13 14 13 52 12 13 12 7 44 Total segment sales $ 7,825 $7,912 $6,238 $6,191 $28,166 $ 8,937 $ 8,192 $ 6,415 $ 6,630 $30,174 Segment Pretax Operating Income – Before Significant Items Agriculture & Nutrition $ 757 $ 511 $ (134) $ (272) $862 $ 631 $ 482 $ (183) $ (127) $ 803 Coatings & Color Technologies 166 194 155 162 677 189 214 179 232 814 Electronic & Communication Technologies 105 163 129 87 484 92 87 97 91 367 Performance Materials 211 187 79 54 531 156 171 160 143 630 Pharmaceuticals 159 192 197 203 751 148 174 173 186 681 Safety & Protection 231 283 278 210 1,002 231 234 216 226 907 Textiles & Interiors N/A N/A N/A N/A N/A 150 15 (14) (9) 142 Other (21) (32) (13) (51) (117) (33) (48) (25) (33) (139) Total segment pretax operating income – before significant items 1,608 1,498 691 393 4,190 1,564 1,329 603 709 4,205 Exchange gains and losses 111 183 71 80 445 (13) (76) (22) (300) (411) Corporate expenses and interest (225) (240) (266) (318) (1,049) (213) (229) (226) (264) (932) Income before significant items 2 1,494 1,441 496 155 3,586 1,338 1,024 355 145 2,862 Pretax Impact of Significant Items 2 Textiles & Interiors – related items – 39 – – 39 (345) (183) (102) (37) (667) DDE – related items – 3 – – 3 – – – (118) (118) Employee separation activities and asset impairment charges – – – – – – (433) – 22 (411) Hurricane losses – – (146) – (146) – – – – – Sale of Photomasks stock – 48 – – 48 – – – – – Litigation costs – – – – – (186) (45) (63) 20 (274) Other – 28 – – 28 – – 35 15 50 Net impact of significant items 0 118 (146) 0 (28) (531) (661) (130) (98) (1,420) Income before income taxes and minority interests $ 1,494 $ 1,559 $ 350 $ 155 $ 3,558 $ 807 $ 363 $ 225 $ 47 $ 1,442 2005 2004 1st 2nd 3rd 4th Full Yr. 1st 2nd 3rd 4th Full Yr. Earnings Per Share of Common Stock – Diluted 3 Income before significant items $ 0.96 $ 0.90 $ 0.33 $ 0.13 $ 2.34 $ 0.96 $ 0.80 $ 0.25 $ 0.37 $ 2.38 Significant items 0.00 0.11 (0.42) 0.03 (0.27) (0.30) (0.30) 0.08 (0.09) (0.61) Income (loss) $ 0.96 $ 1.01 $ (0.09) $ 0.16 $ 2.07 $ 0.66 $ 0.50 $ 0.33 $ 0.28 $ 1.77 1 Sales include transfers and pro rata share of equity affiliate sales. 2 For complete details of significant items, see DuPont’s quarterly earnings news releases. 3 Earnings per share for the year may not equal the sum of quarterly earnings per share due to changes in average share calculations. 2005 DuPont Databook 7
  10. 10. Corporate Financial Data Consolidated Income Statements (dollars in millions, except per share) For the year ended December 31 2005 2004 2003 2002 2001 Net sales $26,639 $27,340 $26,996 $24,006 $24,726 Other income, net 1 1,852 655 734 516 644 Total 28,491 27,995 27,730 24,522 25,370 Cost of goods sold and other operating charges 19,701 20,416 20,759 17,529 17,980 Selling, general and administrative expenses 3,223 3,141 3,067 2,763 2,992 Amortization of intangible assets 230 223 229 218 434 Research and development expense 1,336 1,333 1,349 1,264 1,588 Interest expense 518 362 347 359 590 Employee separation activities and asset impairment charges (credits) (13) 411 (17) 290 1,078 Separation activities – Textiles & Interiors (62) 667 1,620 – – Goodwill impairment – Textiles & Interiors – – 295 – – Gain on sale of interest by subsidiary – nonoperating – – (62) – – Gain on sale of DuPont Pharmaceuticals – – – (25) (6,136) Total 24,933 26,553 27,587 22,398 18,526 Income before income taxes and minority interests 3,588 1,442 143 2,124 6,844 Provision for (benefit from) income taxes 1,468 (329) (930) 185 2,467 Minority interests in earnings (losses) of consolidated subsidiaries 37 (9) 71 98 49 Income before cumulative effect of changes in accounting principles 2,053 1,780 1,002 1,841 4,328 Cumulative effect of changes in accounting principles, net of income taxes – – (29) (2,944) 11 Net income (loss) $ 2,053 $ 1,780 $ 973 $ (1,103) $ 4,339 Diluted earnings (loss) per share of common stock Income before cumulative effect of changes in accounting principles $ 2.07 $ 1.77 $ 0.99 $ 1.84 $ 4.15 Cumulative effect of changes in accounting principles – – (0.03) (2.95) .01 Net income (loss) $ 2.07 $ 1.77 $ 0.96 $ (1.11) $ 4.16 1 Other income, net: Cozaar®/Hyzaar® income $ 747 $ 675 $ 573 $ 469 $ 321 Royalty income 130 151 141 128 155 Interest income, net of miscellaneous interest expense 244 188 70 97 146 Equity in (losses) earnings of affiliates 108 (39) 10 36 (43) Net gains on sales of assets 82 28 17 30 47 Net exchange gains (losses)* 423 (391) (134) (294) (29) Miscellaneous income and expenses – net 118 43 57 50 47 Total Other income, net $ 1,852 $ 655 $ 734 $ 516 $ 644 * 2005 includes net pretax exchange gains of $423; 2004 and 2003 include net pretax exchange losses of $391 and $164, respectively, which resulted from hedging an increased net monetary asset position and a weakening U.S. dollar. These pretax gains and losses are largely offset by associated tax benefits. See pages 4 and 5 for Exchange Loss, net of tax. 8
  11. 11. Consolidated Balance Sheets (dollars in millions) December 31 2005 2004 2003 2002 2001 Assets Current assets Cash and cash equivalents $ 1,736 $ 3,369 $ 3,273 $ 3,678 $ 5,763 Marketable debt securities 115 167 25 465 85 Accounts and notes receivable, net 4,801 4,889 4,218 3,884 3,903 Inventories 4,743 4,489 4,107 4,409 4,215 Prepaid expenses 199 209 208 175 217 Income taxes 828 1,557 1,141 848 618 Assets held for sale – 531 5,490 – – Total current assets 12,422 15,211 18,462 13,459 14,801 Property, plant and equipment 24,963 23,978 24,149 33,732 33,778 Less: Accumulated depreciation 14,654 13,754 14,257 20,446 20,491 Net property, plant and equipment 10,309 10,224 9,892 13,286 13,287 Goodwill 2,087 2,082 1,939 1,167 3,746 Other intangible assets 2,684 2,848 2,986 3,109 3,151 Investment in affiliates 844 1,034 1,304 2,047 2,045 Other assets 4,904 4,233 2,456 1,553 3,289 Total $33,250 $35,632 $37,039 $34,621 $40,319 Liabilities and Stockholders’ Equity Current liabilities Accounts payable $ 2,819 $ 2,661 $ 2,341 $ 2,636 $ 2,176 Short-term borrowings and capital lease obligations 1,397 936 5,914 1,185 1,464 Income taxes 280 192 60 47 1,295 Other accrued liabilities 2,967 4,054 3,034 3,228 3,132 Liabilities held for sale – 96 1,694 – – Total current liabilities 7,463 7,939 13,043 7,096 8,067 Long-term borrowings and capital lease obligations 6,783 5,548 4,301 5,647 5,350 Other liabilities 8,441 8,692 8,909 9,829 8,447 Deferred income taxes 1,166 966 508 563 1,579 Total liabilities 23,853 23,145 26,761 23,135 23,443 Minority interests 490 1,110 497 2,423 2,424 Stockholders’ equity 8,907 11,377 9,781 9,063 14,452 Total $33,250 $35,632 $37,039 $34,621 $40,319 2005 DuPont Databook 9
  12. 12. Corporate Financial Data Consolidated Statements of Cash Flows (dollars in millions) For the year ended December 31 2005 2004 2003 2002 2001 Operating activities Net income (loss) $ 2,053 $1,780 $ 973 $(1,103) $4,339 Adjustments to reconcile net income (loss) to cash provided by operating activities: Cumulative effect of changes in accounting principles – – 29 2,944 (11) Depreciation 1,128 1,124 1,355 1,297 1,320 Amortization of intangible assets 230 223 229 218 434 Separation activitites – Textiles & Interiors (62) 667 1,620 – – Goodwill impairment – Textiles & Interiors – – 295 – – Contributions to pension plans (1,253) (709) (460) (172) (171) Gain on sale of DuPont Pharmaceuticals – – – (25) (6,136) Other operating activities – net (388) 774 334 833 1,000 (Increase) decrease in operating assets: Accounts and notes receivable (74) (309) (852) 468 435 Inventories and other operating assets 203 569 335 (304) (191) Increase (decrease) in operating liabilities: Accounts payable and other operating liabilities (408) (28) (51) (158) (408) Accrued interest and income taxes 1,113 (860) (1,218) (1,559) 1,843 Cash provided by operating activities 2,542 3,231 2,589 2,439 2,454 Investing activities Purchases of property, plant and equipment (1,340) (1,232) (1,713) (1,280) (1,494) Investments in affiliates (66) (66) (71) (136) (140) Payments for businesses net of cash acquired (206) (119) (1,527) (697) (78) Proceeds from sale of assets, net of cash sold 312 3,908 17 74 8,051 Purchase of beneficial interest in securitized trade receivables – – (445) – – Maturity/repayment of beneficial interest in securitized trade receivables – – 445 – – Net decrease (increase) in short-term financial instruments 36 (137) 458 (318) (2) Forward exchange contract settlements 653 (509) (631) (264) 93 Other investing activities – net 9 91 92 29 (117) Cash (used for) provided by investing activities (602) 1,936 (3,375) (2,592) 6,313 Financing activities Dividends paid to stockholders (1,439) (1,404) (1,407) (1,401) (1,460) Net (decrease) increase in short-term (less than 90 days) borrowings (494) (3,853) 3,792 607 (1,588) Long-term and other borrowings: Receipts 4,311 1,601 553 934 904 Payments (2,045) (1,555) (954) (1,822) (2,342) Acquisition of treasury stock (3,530) (457) – (470) (1,818) Proceeds from exercise of stock options 359 197 52 34 153 Increase in minority interests – – – – 1,980 Redemption of minority interest structures – – (2,037) – – Other financing activities – net (13) (79) 32 – – Cash (used for) provided by financing activities (2,851) (5,550) 31 (2,118) (4,171) Net cash flow from discontinued operations 1 – – – – (110) Effect of exchange rate changes on cash (722) 404 425 186 (263) (Decrease) increase in cash and cash equivalents $(1,633) $ 21 $ (330) $(2,085) $4,223 Cash and cash equivalents at beginning of year 3,369 3,348 3,678 5,763 1,540 Cash and cash equivalents at end of year $ 1,736 $3,369 $3,348-2 $ 3,678 $5,763 Supplemental cash flow information: Cash paid during the year for Interest, net of amounts capitalized $ 496 $ 366 $ 357 $ 402 $ 641 Taxes 355 521 278 1,691 456 1 Includes payments of direct expenses related to the Conoco divestiture. 2 Includes cash classified as assets held for sale within the Consolidated Balance Sheet. 10
  13. 13. Selected Additional Data 2005 2004 2003 2002 2001 Effective Income Tax Rate Statutory U.S. federal income tax rate 35.0% 35.0% 35.0% 35.0% 35.0% Exchange gains/losses 1 9.4 (14.9) (85.5) (5.6) 0.2 The American Jobs Creation Act (AJCA) 2 8.2 – – – – Lower effective tax rates on international operations – net (7.5) (20.8) (149.3) (13.8) (1.0) Domestic operations (1.4) 1.2 (49.2) (1.7) 1.0 Tax settlements (1.4) (9.5) – – – Lower effective tax rate on export sales (1.0) (3.3) (23.8) (2.2) (0.6) DDE Litigation – 5.2 – – – Separation charges – Textiles & Interiors – (6.2) 83.8 – – Tax basis investment losses on foreign subsidiaries 3 – (9.5) (467.5) – – State taxes – – 6.2 (0.7) 1.4 Postemployment costs – – – (2.3) – Effective income tax rate 41.3% (22.8)% (650.3)% 8.7% 36.0% 1 Principally reflects the benefit of non-taxable exchange gains resulting from remeasurement of foreign currency denominated monetary assets and liabilities. 2 Reflects the tax impact with the repatriation of $9.1 billion under AJCA. 3 Reflects recording deferred tax assets in two European subsidiaries for tax basis investment losses to be recognized on local tax returns. 2005 2004 2003 2002 2001 As a percentage of net sales: Cost of goods sold and other operating charges 74% 75% 77% 73% 73% Selling, general and administrative expenses 12 11 11 12 12 Research and development expenses 5 5 5 5 6 Income before significant items 9 9 6 8 5 Cash provided by operating activities 10 12 10 10 10 Selected Additional Data Annual percent change in net sales versus prior year* 5% 11% 9% 1% (10)% Portion due to U.S. dollar selling prices 6 5 4 (3) (2) Portion due to volume and mix* (1) 6 5 4 (8) Average manufacturing capacity utilization 82% 84% 80% 81% 78% * Percentage changes are calculated using sales adjusted to exclude current-year sales from acquisitions when there are no comparable prior-year sales, and to exclude prior-year sales of businesses that have been divested. Percentage changes in 2004 and 2005 are adjusted for changes in ownership of DuPont Dow Elastomers LLC. 2005 DuPont Databook 11
  14. 14. Corporate Financial Data Selected Additional Data (dollars in millions, except per share) 2005 2004 2003 Financial Results by Quarter Net sales 1st $ 7,431 $ 8,073 $ 7,008 2nd 7,511 7,527 7,369 3rd 5,870 5,740 6,142 4th 5,827 6,000 6,477 Total $26,639 $27,340 $26,996 Income before significant items 1 1st $ 967 $ 964 $ 615 2nd 904 805 623 3rd 333 253 135 4th 125 371 296 Total $ 2,329 $ 2,393 $ 1,669 Earnings before significant items per share of common stock – diluted 1, 2 1st $ 0.96 $ 0.96 $ 0.61 2nd 0.90 0.80 0.62 3rd 0.33 0.25 0.13 4th 0.13 0.37 0.29 Total $ 2.34 $ 2.38 $ 1.66 Fixed cost as a percentage of sales 1st 40.0% 41.9% 44.3% 2nd 40.5% 42.2% 44.8% 3rd 48.9% 48.9% 53.2% 4th 51.2% 48.9% 51.0% Total 44.6% 45.2% 48.0% 1 Before cumulative effect of changes in accounting principles. 2 Earnings per share for the year may not equal the sum of quarterly earnings per share due to changes in average share calculations. Base Income Tax Rate 2005 2004 2003 Full Year 23.5% 25.0% 21.0% Net Sales Outside the United States as a Percentage of Sales 2005 2004 2003 Agriculture & Nutrition 55% 55% 53% Coatings & Color Technologies 69 68 66 Electronic & Communication Technologies 63 64 58 Performance Materials 60 59 58 Safety & Protection 42 40 39 Textiles & Interiors N/A 57 55 Total 58% 57% 55% Exports from the United States 2005 2004 2003 Net sales (dollars in millions) $6,575 $6,393 $5,226 As a percentage of net sales 25% 23% 19% 12
  15. 15. Selected Additional Data Price and Volume* Change Summary DuPont Sales Volume – Worldwide DuPont Local Selling Prices – Worldwide 8 106 12 10 110 6 104 8 6 4 102 105 4 2 101 2 0 100 0 100 -2 -2 99 -4 95 -6 -4 98 -8 -6 97 -10 90 2001 2002 2003 2004 2005 2001 2002 2003 2004 2005 Yr/Yr % Change (Left) Index 4qma (1999=100 Right) Yr/Yr % Change (Left) Index 4qma (1999=100 Right) Sales Volume % Change 2005 Sales Volume % Selling Price % Change 2005 Selling Price % from Prior Year* Change from Prior Year from Prior Year Change from Prior Year Year Worldwide Qtr Worldwide Year Worldwide Qtr Worldwide USD Local USD Local 2001 (8) 1st 2 2001 (2) 0 1st 7 5 2002 6 2nd – 2002 (2) (3) 2nd 8 6 2003 4 3rd (1) 2003 5 0 3rd 6 4 2004 6 4th (4) 2004 5 2 4th 4 5 2005 (1) Year (1) 2005 6 5 Year 6 5 * Price and volume changes are as a percentage of net sales excluding Textiles & Interiors. Volume percentage changes are calculated using sales adjusted to exclude current-year sales from acquisitions when there are no comparable prior-year sales and to exclude prior-year sales of businesses that have been divested. Local Price and Variable Costs Impact – year over year on an after tax basis (dollars in millions) 2005 2004 1st 2nd 3rd 4th 1st 2nd 3rd 4th Local price 245 310 155 205 35 45 115 190 Variable costs (190) (200) (120) (275) (110) (90) (95) (110) Net impact on income 55 110 35 (70) (75) (45) 20 80 2005 DuPont Databook 13
  16. 16. DuPont Core Values: Safety, Health, and the Environment Throughout its history, DuPont has been guided Major Safety, Health and Environmental Incidents by a well-defined set of core values that have 20 remained constant as DuPont grew from its origins as an explosives company to the global science company it is today. Safety and health, 15 environmental stewardship, high ethical standards, and respect for people remain the values of DuPont. They are practiced everywhere the 10 company does business. All our operations around the world are held to the same standards. We summarize here our progress on major safety, 5 health and environmental incidents, and global greenhouse emissions. Detailed economic, environmental, and social performance data 0 is available in the Global Reporting Initiative format, on the Social Commitment page of 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 www.dupont.com. A major safety, health and environmental incident is a significant fire, environmental, process, or transportation incident. Global Greenhouse Gas Emissions 100 80 60 40 20 0 1996 1997 1998 1999 2000 2001 2002 2003 2004 All years adjusted to reflect Invista divestiture. Data indicate a 60% reduction of greenhouse gases (Kyoto basis) since 1990. Inclusive of Invista, DuPont achieved a 72% reduction below the 1990 baseline. Six Sigma Six Sigma Focus 2005 was the sixth full year of implementation of Projects DuPont Six Sigma across the company. We are 43% 57% seeing the impact of our efforts in both the growing number of employees trained and in the Manufacturing Operations Improvements financial results from projects in all businesses, Transactional Processes/Top Line Growth regions, and functions. We have trained over 20,000 employees as either Master Black Belts, Benefits Black Belts, or Green Belts. Projects completed in 74% 26% 2005 alone have delivered over $900 million in pretax annualized benefits. In 2005, we continued Reduced Costs expanding Six Sigma projects to improve enterprise Opportunities for Increased Revenue wide end-to-end processes such as supply chain. 14

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