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Science For A Better Life




Perspective on Sustainability 2009
Leverkusen, November 11, 2009
Dr. Wolfgang Plischke
                                           © Bayer AG, Leverkusen, Germany, 2009
Forward-Looking Statements


This presentation may contain forward-looking statements based on
current assumptions and forecasts made by Bayer Group or subgroup
management. Various known and unknown risks, uncertainties and other
factors could lead to material differences between the actual future
results, financial situation, development or performance of the company
and the estimates given here. These factors include those discussed in
Bayer’s public reports, which are available on the Bayer website at
www.bayer.com. The company assumes no liability whatsoever to
update these forward-looking statements or to conform them to future
events or developments.

                                              © Bayer AG, Leverkusen, Germany, 2009
Health care challenge:
Unplanned pregnancies

 210 million pregnancies each year –
 76 million of them unplanned
 Each year, 14 million children are
 born to mothers aged between
 15 and 19 – 90 percent of these in
 developing countries
 Sexuality is often a taboo subject in
 developing countries


                                         © Bayer AG, Leverkusen, Germany, 2009
Health care:
Family planning in developing countries

Bayer pursues a two-pronged approach
 Promoting sex education:
 Pregnancy, contraception, HIV/AIDS
 Providing access to contraceptives

 Over the next three years, 8 million women will benefit from
 hormonal contraceptives at reduced prices

 Partners include the DSW (German Foundation for World Population), USAID
 and the IPPF (International Planned Parenthood Federation)
                                               © Bayer AG, Leverkusen, Germany, 2009
Health care:
Tackling neglected diseases

 Over 3.3 billion people are at risk
 Those worst affected are
 the poorest of the poor



 Focal points of Bayer’s commitment:
 - African sleeping sickness
 - Chagas disease
 - Tuberculosis

                                       © Bayer AG, Leverkusen, Germany, 2009
Health care:
Treating African sleeping sickness

 500,000 people in tropical Africa affected
 70,000 deaths each year




 Cooperation with the WHO (World Health
 Organization)

 Bayer provides drugs free of charge


                                              © Bayer AG, Leverkusen, Germany, 2009
Health care:
Treating Chagas disease

 14 million people infected
 14,000 deaths each year




 Cooperation with the WHO (World Health
 Organization)

 Bayer provides drugs free of charge and 1.5 million
 U.S. dollars to support logistics operations

                                               © Bayer AG, Leverkusen, Germany, 2009
Health care:
New form of treatment for tuberculosis (TB)

 9 million new cases of acute TB each year
 2 million deaths annually




 Bayer is cooperating with the Global Alliance for
 TB Drug Development to develop a new, quicker form of treatment

 If the studies are successful, they will pave the way for
 affordable treatment
                                                 © Bayer AG, Leverkusen, Germany, 2009
Challenge of feeding the world’s population


 Growing demand for food
 Limited amount of agricultural land available for cultivation
 Crop yields at risk due to climate change
 1 billion people are going hungry




                                             © Bayer AG, Leverkusen, Germany, 2009
Nutrition:
Sustainable rice cultivation in Indonesia

Integrated Bayer program
 New cultivation method – pregerminated rice
 Provision of seeds and sowing machinery
 Efficient use of crop protection agents
 and fertilizers
 Know-how and training

Benefits
 Economic – higher yields and better quality
 Ecological – reduced water consumption and 30 percent lower methane emissions
 Social – farmers’ incomes improved
                                                © Bayer AG, Leverkusen, Germany, 2009
Nutrition: Food Chain Partnership for
vegetables in India

 Growing demand for high-quality vegetables
 Tougher quality requirements from consumers
 and the export trade

Bayer’s Food Chain Partnership
 Tomatoes, chilies, okra, eggplant, potatoes etc.
 Network of farmers, suppliers, processing industry,
 retailers and exporters
 Vegetable cultivation supported by 125 projects involving 65,000 farmers by 2011

Benefits
 Economic – higher yields, better quality and greater sales potential
 Ecological – lower land usage
 Social – farmers’ incomes improved
                                                         © Bayer AG, Leverkusen, Germany, 2009
Challenge of climate change:
Climate protection and buildings

 20 percent of global greenhouse gas emissions
 generated by energy consumption in buildings
 Bayer’s focus is on commercial and public
 buildings – EcoCommercial Building Program
 Partnership network for sustainable building
 High-tech products from Bayer,
 including for building insulation




                                                © Bayer AG, Leverkusen, Germany, 2009
Challenge of climate change:
Climate protection and buildings

 20 percent of global greenhouse gas emissions
 generated by energy consumption in buildings
 Bayer’s focus is on commercial and public
 buildings – EcoCommercial Building Program
 Partnership network for sustainable building
 High-tech products from Bayer,
 including for building insulation
 First EcoCommercial buildings in Germany,
 India and Belgium


                                                © Bayer AG, Leverkusen, Germany, 2009
Challenge of climate change:
Climate protection and industrial production

 With new technology developed by Bayer
 and partners (oxygen depolarized cathode):
 Energy consumption and CO2 emissions
 cut by 30 percent in chlorine production
 Acid-based industrial-scale production
 already under way
 Initial application based on salt by the start
 of 2011 – energy consumption also 30 percent lower
 International marketing of new technology based on salt
 Potential CO2 reduction 5 million metric tons per year
                                                © Bayer AG, Leverkusen, Germany, 2009

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Bayer's Perspective on Sustainability 2009, Speach Dr. Wolfgang Plischke

  • 1. Science For A Better Life Perspective on Sustainability 2009 Leverkusen, November 11, 2009 Dr. Wolfgang Plischke © Bayer AG, Leverkusen, Germany, 2009
  • 2. Forward-Looking Statements This presentation may contain forward-looking statements based on current assumptions and forecasts made by Bayer Group or subgroup management. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of the company and the estimates given here. These factors include those discussed in Bayer’s public reports, which are available on the Bayer website at www.bayer.com. The company assumes no liability whatsoever to update these forward-looking statements or to conform them to future events or developments. © Bayer AG, Leverkusen, Germany, 2009
  • 3. Health care challenge: Unplanned pregnancies 210 million pregnancies each year – 76 million of them unplanned Each year, 14 million children are born to mothers aged between 15 and 19 – 90 percent of these in developing countries Sexuality is often a taboo subject in developing countries © Bayer AG, Leverkusen, Germany, 2009
  • 4. Health care: Family planning in developing countries Bayer pursues a two-pronged approach Promoting sex education: Pregnancy, contraception, HIV/AIDS Providing access to contraceptives Over the next three years, 8 million women will benefit from hormonal contraceptives at reduced prices Partners include the DSW (German Foundation for World Population), USAID and the IPPF (International Planned Parenthood Federation) © Bayer AG, Leverkusen, Germany, 2009
  • 5. Health care: Tackling neglected diseases Over 3.3 billion people are at risk Those worst affected are the poorest of the poor Focal points of Bayer’s commitment: - African sleeping sickness - Chagas disease - Tuberculosis © Bayer AG, Leverkusen, Germany, 2009
  • 6. Health care: Treating African sleeping sickness 500,000 people in tropical Africa affected 70,000 deaths each year Cooperation with the WHO (World Health Organization) Bayer provides drugs free of charge © Bayer AG, Leverkusen, Germany, 2009
  • 7. Health care: Treating Chagas disease 14 million people infected 14,000 deaths each year Cooperation with the WHO (World Health Organization) Bayer provides drugs free of charge and 1.5 million U.S. dollars to support logistics operations © Bayer AG, Leverkusen, Germany, 2009
  • 8. Health care: New form of treatment for tuberculosis (TB) 9 million new cases of acute TB each year 2 million deaths annually Bayer is cooperating with the Global Alliance for TB Drug Development to develop a new, quicker form of treatment If the studies are successful, they will pave the way for affordable treatment © Bayer AG, Leverkusen, Germany, 2009
  • 9. Challenge of feeding the world’s population Growing demand for food Limited amount of agricultural land available for cultivation Crop yields at risk due to climate change 1 billion people are going hungry © Bayer AG, Leverkusen, Germany, 2009
  • 10. Nutrition: Sustainable rice cultivation in Indonesia Integrated Bayer program New cultivation method – pregerminated rice Provision of seeds and sowing machinery Efficient use of crop protection agents and fertilizers Know-how and training Benefits Economic – higher yields and better quality Ecological – reduced water consumption and 30 percent lower methane emissions Social – farmers’ incomes improved © Bayer AG, Leverkusen, Germany, 2009
  • 11. Nutrition: Food Chain Partnership for vegetables in India Growing demand for high-quality vegetables Tougher quality requirements from consumers and the export trade Bayer’s Food Chain Partnership Tomatoes, chilies, okra, eggplant, potatoes etc. Network of farmers, suppliers, processing industry, retailers and exporters Vegetable cultivation supported by 125 projects involving 65,000 farmers by 2011 Benefits Economic – higher yields, better quality and greater sales potential Ecological – lower land usage Social – farmers’ incomes improved © Bayer AG, Leverkusen, Germany, 2009
  • 12. Challenge of climate change: Climate protection and buildings 20 percent of global greenhouse gas emissions generated by energy consumption in buildings Bayer’s focus is on commercial and public buildings – EcoCommercial Building Program Partnership network for sustainable building High-tech products from Bayer, including for building insulation © Bayer AG, Leverkusen, Germany, 2009
  • 13. Challenge of climate change: Climate protection and buildings 20 percent of global greenhouse gas emissions generated by energy consumption in buildings Bayer’s focus is on commercial and public buildings – EcoCommercial Building Program Partnership network for sustainable building High-tech products from Bayer, including for building insulation First EcoCommercial buildings in Germany, India and Belgium © Bayer AG, Leverkusen, Germany, 2009
  • 14. Challenge of climate change: Climate protection and industrial production With new technology developed by Bayer and partners (oxygen depolarized cathode): Energy consumption and CO2 emissions cut by 30 percent in chlorine production Acid-based industrial-scale production already under way Initial application based on salt by the start of 2011 – energy consumption also 30 percent lower International marketing of new technology based on salt Potential CO2 reduction 5 million metric tons per year © Bayer AG, Leverkusen, Germany, 2009