Akzo Nobel rejects damages claim
Arnhem, the Netherlands, December 1, 2006 — In its decision of December 10, 2003, the European Commission established that several companies, including Akzo Nobel, violated the EU competition rules before 2000.
BASF and Basell have informed Akzo Nobel that they hold Akzo Nobel and other companies involved liable for damages they allege to have suffered as a result of these violations. BASF alleges that its aggregate damages exceed EUR 140 million (excluding interest and costs) and Basell alleges that it has suffered EUR 28.2 million (excluding interest and costs).
Akzo Nobel considers these claims totally without merit and contests that it, or members of its group, are liable towards BASF or Basell and contests the alleged amounts of damages.
Therefore, on November 30, 2006, Akzo Nobel initiated legal proceedings before the District Court in Arnhem asking the Court to rule that they are not liable towards BASF or Basell or their respective group companies.
Akzo Nobel expects that it will take a number of years before the issue will be finally decided by the courts. Given that Akzo Nobel rejects any and all liability for the alleged claims, and considers them to be totally unfounded, Akzo Nobel does not expect to make a provision for these claims in its 2006 accounts.