Report on expected developments 

The Merck Group’s total revenues and operating result developed very positively during the first six months of the year and there is every indication that the second half of 2010 will surpass the first half. The Chemicals business performed on a high level in the second quarter and this trend should continue through the year. Therefore, the full-year guidance for the Merck Group as it would be without Millipore is as follows:

With the July 14 acquisition of Millipore, Merck’s outlook naturally changes. In order to provide a timely, although early–stage, view of how management expects the remainder of the year to develop, the company is providing guidance for 2010 that includes Millipore’s expected second-half total revenues of EUR 670 million and core operating result of EUR 165 million. Taking into consideration estimated one-time write-offs of step-up inventories, estimated six months amortization of intangibles as well as estimated transaction and integration costs during the second half of 2010, the Millipore operating result is expected to amount to EUR –40 million in the second half. The afore-mentioned effects related to the acquisition of Millipore were identified shortly after closing and are subject to adjustment in the course of the first-time consolidation of Millipore in the third quarter.