BASF | Company Profile

 
BASF is one of the world's largest integrated chemicals companies with a portfolio ranging from
chemicals, plastics, performance products, agricultural products and fine chemicals to crude oil
and natural gas. The company is divided into the following segments: Chemicals; Plastics;
Performance Products; Functional Solutions; Agriculture Solutions; and Oil and Gas.
 
BASF’s key focus will be on “profitable growth”. It will continue to develop its strengths through
innovations and acquisitions, with sustainability being a key factor in pursuing this goal.
 
In October 2010, BASF said it will spin off its styrenics businesses under the name of Styrolution
by 1 January 2011.
 
On 10 December 2010, BASF completed its €3.1bn ($4.1bn) acquisition of Cognis. For more on
this please see BASF completes €3.1bn acquisition of Cognis .
  
BASF has headquarters in Ludwigshafen, Germany, employs around 109,140 people and in 2010
had sales of Euro64bn.
 
BASF at a glance
BASF is the world’s leading chemical company. With about 109,000 employees, six Verbund
sites and close to 385 production sites worldwide we serve customers and partners in almost
all countries of the world.
Through new technologies we can tap into additional market opportunities. We conduct our
business in accordance with the principles of sustainable development
Organization of the
BASF Group
BASF’s six business segments contain 15 divisions which bear the operational responsibility and
manage our 73 global and regional business units. The divisions develop strategies for our 86
strategic business units and are organized according to sectors or products.
 
Our regional divisions contribute to the local development of BASF’s business and help to
exploit market potential. They are responsible for optimizing the infrastructure for our
business. For financial reporting purposes, the divisions are grouped into the following four
regions: Europe; North America; Asia Pacific; and South America, Africa, Middle East.
 
Three central divisions, five corporate departments and nine Competence Centers provide
Group-wide services such as finance, investor relations, communications, human resources,
research, engineering and site management
Corporate Management
Effective and transparent corporate governance fosters the confidence of our shareholders,
domestic and international investors, the financial markets, our business partners, employees
and the public in the management and supervision of the company. Executive board and
supervisory board play a key role in managing and monitoring BASF in a responsible and value-
driven manner

BASF Company Structure

BASF is one of the world's largest integrated chemicals companies with a portfolio ranging
from chemicals, plastics, performance products, agricultural products and fine chemicals to
crude oil and natural gas. 

BASF is divided into the following segments:

 
Chemicals
 
This segment comprises of inorganics, catalysts, petrochemicals and intermediates. Key
customers include the mineral, oil, chemical, pharmaceutical, electronics, textile and
automotive industries.
 
Petrochemicals - Mainly for captive use: petrochemical feedstocks such
as ethylene, propylene and benzene; broad range of plasticisers; and oxygenated, halogen-free
solvents for pharmaceutical, paint and cosmetic products.
 
Inorganic chemicals - Products include ammonia, chlorine, sulphuric acid, catalysts,
formaldehyde, melamine, glues and impregnating resins.
 
Intermediates - Amines, diols, polyalcohols, carboxy and dyestuff intermediates, carboxylic
acids and precursors for fine chemicals.
 
Catalysts – Primarily composed of catalysts and the material services business from the
acquired Engelhard business.
 Plastics
 This segment consists of styrenics, performance polymers and polyurethanes. Its main
customers are in the automotive, packaging, construction and electrical and electronics
industries.
 Engineering plastics - copolymers such as styrene acrylonitrile (SAN), nylons, polybutylene
terephthalate (PBT), polyoxymethylene (POM) and high-temperature thermoplastics.
 Biodegradable plastics – such as BASF’s completely biodegradable plastic Ecoflex used for
rubbish bags or disposable packaging. Ecoflex decomposes in soil or in compost within a few
weeks without leaving any residues.
 
Polyurethanes - Basic polyurethane products: polyols and isocyanates; polyurethane systems;
polyurethane elastomers.
 Fibre products - Fibre intermediates such as caprolactam, adipic acid and
hexamethylenediamine; nylon-based fibres and filaments.
 SolVin - a joint venture between Solvay (75% share) and BASF (25% share). SolVin claims to be
the biggest integrated player from chlorine via ethylene dichloride (EDC), vinyl chloride
monomer(VCM) to polyvinyl chloride (PVC) and via polyvinylidene chloride (VDC) to polyvinyl
dichloride (PVDC) in Europe, having operations in Belgium, France, Germany, Spain and Italy.

 Performance Products
 This segment markets a range of products for the textile, automotive and paper industries, as
well as detergents, hygiene, adhesives and construction materials.
 
Performance chemicals - Dyes and process chemicals for textiles, leather and office use;
pigments and specific pigment preparations; printing inks and printing plates for the graphics
industry.
 
Acrylics and dispersions - Acrylic acid and acrylates, acrylate
and styrene/butadiene dispersions; raw materials for paints and adhesives, coatings and glues;
dyes and process chemicals for the paper industry.
 
Coatings - Automotive original equipment manufacturers (OEM) and refinish coatings; industrial
coatings; decorative paints. The colourants for coatings and coatings raw materials businesses
have been combined under a new operating sector, performance chemicals for coatings.
 
Foams - Styrenic and styrene-based polymers, such as polystyrene, expandable (Styropor) and
speciality foams such as Styrodur.
 
Care Chemicals – this division combines all activities that contribute to people’s well-being.
These include vitamins for food supplements and light stabilisers for sun creams.
 
Nutrition & Health - this incorporates the Nutrition Ingredients and Aroma Chemicals
businesses, as well as Pharma Ingredients & Services.
 
The nutrition & health business concentrates on the interlinked areas of nutrition, health and
food technology. From plant-derived antioxidants, sterols, botanicals and mixed carotenoids for
dietary supplements and functional foods, to formulation expertise and ingredients for food
products.
 
Care Chemicals division - the Personal Care, Hygiene, Home Care and Industrial Formulators
businesses will form the Care Chemicals division.
 
The care chemicals business covers virtually the entire spectrum of hair, skin and body care, as
well as household and industrial detergents and cleaners.
 
Functional Solutions
 
This segment integrates three operating divisions that develop system solutions and innovative
products for specific customers and industries, in particular for the automotive and
construction sectors:
 
Catalysts
Construction Chemicals 
Coatings
 
Agriculture Solutions
 
Crop protection products safeguard crops against fungal disease, insects and weeds. Research
in the field of plant biotechnology focuses on crops for more efficient agriculture, healthier
nutrition and for use as renewable raw materials.
 
Crop protection - Crop protection products to control weeds (herbicides), insects (insecticides)
and plant diseases caused by fungi (fungicides).
 
Oil and Gas
 
Its subsidiary Wintershall and its affiliates conduct the operations of its Oil and Gas segment,
which include:
 
The exploration and production of crude oil and natural gas
Crude oil and natural gas trading
The leasing of natural gas transportation and storage capacity 
BASF Strategy & Financial Highlights
BASF’s key focus will be on “profitable growth”. The company is looking with “confidence” to
2008, even taking into consideration what it states as being a turbulent start to the year on
the stock markets. BASF has implemented a key strategic plan that it says will align its
business activities in 2008.
Strategy
Our goal is to remain the world's leading chemical company. With our renewed strategy BASF
2015, we will achieve this goal by successfully combining new and proven ideas.
 
We are aligning our activities with four strategic guidelines:

 We earn a premium on our cost of capital

Growth alone is not sufficient in the international competition for capital. What will be
important will be to grow profitably.
 We help our customers to be more successful
In order to grow profitably, we want to focus even more closely on our customers'
needs in the future and develop and apply the best business models for them and us.
 We form the best team in industry
 We have committed and qualified employees and an excellent management team.
Together, they ensure BASF’s success.
 We ensure sustainable development
For us, sustainable enterprise means combining economic success with environmental
protection and social responsibility, thus contributing to a future worth living for coming
generations.

Vision Values Principles

As the world’s leading chemical company, we want to create assets that benefit all: our
customers, our shareholders, our employees, our Company, as well as the countries in which
we operate.
BASF’s Vision describes the path that the Company will take in the coming years. It clearly
defines the goals that we set out to achieve. All strategic decisions are based on this Vision.
 
BASF’s Values describe the approach and the manner in which we want to work to achieve our
goals.
 
Together, our Vision and Values form the framework for all of our decisions and activities. They
serve as both an orientation and a guideline for leadership, and also define our corporate
culture.
 
BASF’s Principles formally state how we want to conduct ourselves in day-to-day business.
 
As a globally operating company, we must continuously comply with different legal frameworks
and cultural conditions and constantly conduct ourselves in a manner that helps us to fully
achieve our self-established standards and further enhance the image of BASF.