WACKER continues its growth course

- Q1 2008 Group sales increased by 8 percent to €1.02 billion
-
EBITDA rose by 10 percent to €291 million
- EBITDA margin increased
to 28.6 percent
- Earnings per share climed by 14 percent to €2.63

- Sales growth expected to clearly exceed 10 percent in 2008, EBITDA
projected to increase

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Munich (euro adhoc) - April 30, 2008 - Wacker Chemie AG got off to a
good start in 2008, following a record-setting 2007. Under
challenging conditions, the Munich-based chemical company continued
to grow its sales and earnings in the first three months of the
current fiscal year compared to Q1 2007. Higher volumes and prices
propelled Group sales to EUR1,019.5 million in Q1 2008 (Q1 2007:
EUR943.7 million) - an 8 percent gain. The complete acquisition of
the former Air Products Polymers joint venture contributed 4.5
percent to this rise. In contrast, the weaker U.S. dollar slowed
growth by 6 percent. Despite significantly higher raw-material and
energy costs, as well as significant negative exchange-rate effects,
the WACKER Group generated earnings before interest, tax,
depreciation and amortization (EBITDA) of EUR291.1 million for
January through March 2008 (Q1 2007: EUR265.5m). This represents a
year-on-year increase of 10 percent. The EBITDA margin thereby grew
to 28.6 percent (Q1 2007: 28.1 percent). The polycrystalline silicon
business played a key role in this earnings rise. WACKER POLYSILICON
improved its year-on-year EBITDA by EUR37.8 million, thus more than
doubling its earnings. WACKER POLYMERS also increased EBITDA in Q1
2008 - beating the prior-year figure by 11 percent. WACKER SILICONES
posted an EBITDA increase of 1 percent. Siltronic´s contribution to
earnings continued at a high level, though not matching its strong Q1
2007 figures. The Group´s Q1 2008 earnings before interest and tax
(EBIT) rose 6 percent to EUR198.7 million (Q1 2007: EUR187.9m), with
net income climbing 14 percent year on year to EUR130.6 million (Q1
2007: EUR114.5m). As a result, earnings per share for the quarter are
EUR2.63 (Q1 2007: EUR2.30) - up 14 percent. The Munich-based chemical
company expects higher sales and earnings for the full fiscal year
2008 . WACKER continues to see a good chance of boosting sales in
2008 by well over 10 percent. EBITDA is also expected to continue its
upward momentum.

"Despite significant economic turbulence, we are on a solid growth
course in both sales and earnings," said President & CEO
Peter-Alexander Wacker in Munich on Wednesday. "We consider ourselves
well-prepared to continue successfully mastering market challenges.
Demand for our products remains strong, fueled by global growth
trends such as energy efficiency, the progressive digitalization of
everyday life and increasing prosperity among emerging economies. The
ongoing expansion of our production capacities is aimed at laying the
groundwork for future profitable growth."

Regions With sales of EUR345.6 million in Q1 2008 (Q1 2007:
EUR291.7m), Asia continued to account for the largest share in Group
growth. That region´s share of total global sales rose to 34 percent
(Q1 2007: 31 percent). Europe excluding Germany took second place
with sales of EUR260.8 million (Q1 2007: EUR265.8m). In Germany, the
Group registered January to March sales of EUR215.3 million (Q1 2007:
EUR180.2m). The regions with strongest growth in Q1 2008 were Germany
and Asia, with sales gains of 20 percent and 19 percent respectively.
In the Americas, sales in local country currencies rose 10 percent.
Calculated in euros, however, sales dropped 4 percent year on year to
EUR169.2 million (Q1 2007: EUR176.5 million). In Other Regions, the
Group registered January to March revenues of EUR28.6 million (Q1
2007: EUR29.5m).

Net Cash Flow and Investments In the period under review, the WACKER
Group´s net cash flow was EUR-3.3 million (Q1 2007: EUR224.2m). The
main reasons for this decline were much higher capital expenditures
for ongoing Group expansion projects - and particularly the payment
associated with acquiring shares of the former Air Products Polymers
(APP) and Wacker Polymer Systems (WPS) joint ventures. Offset with
cash and cash equivalents from the APP companies consolidated for the
first time, expenditures for this transaction amounted to EUR173.4
million. In addition, WACKER invested EUR145.5 million (Q1 2008:
EUR91.0m) in property, plant and equipment, intangible assets and
financial assets in the period under review. Customer prepayments for
future polysilicon shipments, on the other hand, had a positive net
cash flow effect of around EUR67 million in Q1 2008.

WACKER POLYMERS was the main focus of investments in the quarter at
EUR185.6 million. Aside from the expenditures for acquiring APP and
WPS, additional divisional funds of EUR12.2 million (Q1 2007:
EUR9.6m) flowed into the ongoing expansion of production facilities
such as the Nanjing (China) site. To further boost utilization of
dispersion capacities acquired from Air Products, WACKER POLYMERS
intends to concentrate on the Calvert City (KY) site for its
production expansion in the USA. As a result, the Group plans to
close its South Brunswick (NJ) site in 2009. WACKER POLYSILICON´s
investments in Q1 2008 more than doubled to EUR77.7 million (2007:
EUR33.4m). Here, funds primarily flowed into ongoing expansion of
polycrystalline silicon capacity at the division´s production site in
Burghausen, Germany.

Employees Newly commissioned production facilities and integration of
new corporate entities increased the number of WACKER Group employees
as of March 31, 2008 to 15,660 (Dec. 31, 2007: 15,044). German sites
accounted for 11,935 employees (Dec. 31, 2007: 11,624). Outside
Germany, WACKER employed 3,725 people at the end of Q1 2008 (Dec. 31,
2007: 3,420).

Business Divisions With total sales of EUR346.1 million (Q1 2007:
EUR377.3m), Siltronic wasn´t able to match the record figure set in
the prior-year quarter, though it did beat preceding quarter´s sales
of EUR343.2 million. The strong euro was the primary drag on
revenues. In local-currency terms, Siltronic generated the
highest-ever divisional quarterly sales in Group history. Whereas
demand for 300 mm wafers rose slightly in Q1 2008, sales of 200 mm
and smaller diameters declined. In contrast, contributions from
silicon-ingot sales to the solar industry have increased in
importance and are positively influencing the margin. Siltronic
generated an EBITDA of EUR114.0 million for January to March 2008 (Q1
2007: EUR130.4m) and thus achieved an EBITDA margin of 32.9 percent
(Q1 2007: 34.6 percent).

In Q1 2008, WACKER SILICONES icreased its year-on-year total sales by
around 4 percent to EUR360.3 million (Q1 2007: EUR348.0m), thanks
primarily to further volume gains, though also to price increases
announced in Q4 2007. Adverse currency shifts, however, impacted
sales growth. Strong increases in the costs of raw materials (e.g.
methanol and silicon metal) and the effect of the strong euro weighed
on earnings. In contrast, volume growth and higher prices positively
impacted earnings. EBITDA for January to March 2008 amounted to
EUR64.8 million (Q1 2007: EUR64.3m), resulting in an EBITDA margin of
18.0 percent (Q1 2007: 18.5 percent).

In Q1 2008, WACKER POLYMERS boosted its total sales by 34 percent to
EUR198.5 million (Q1 2007: EUR148.7m). Aside from higher volumes and
prices, the primary reason for this was the complete acquisition of
vinyl acetate ethylene (VAE) activities formerly part of the Air
Products Polymers (APP) joint venture. These activities have been
fully consolidated since February 1, 2008 and contributed a net sum
of around EUR44 million to the division´s external sales. WACKER
POLYMERS´ EBITDA for the January to March 2008 period totaled EUR38.1
million (Q1 2007: EUR34.2m) - up 11 percent year on year.
Significantly higher raw-material costs and the weaker dollar were
major factors in the disproportionately lower earnings increase. The
EBITDA margin amounted to 19.2 percent in the period (Q1 2007: 23.0
percent).

WACKER POLYSILICON experienced continued strong polysilicon demand in
Q1 2008. Total sales set a new record of EUR155.9 million (Q1 2007:
EUR92.2m) in the period under review - soaring 69 percent year on
year. This dynamic growth was enabled by significantly higher volumes
following the polysilicon-production ramp-up of the Burghausen site´s
Expansion Stage 6, which reached its full annual capacity of 3,500
metric tons in Q4 2007. In addition, higher sales prices in supplier
agreements with solar and semiconductor-industry customers had a
notably positive impact on sales and earnings. As a result, WACKER
POLYSILICON disproportionally boosted its EBITDA in the period to
EUR71.3 million, more than double the figure of Q1 2007 (EUR33.5m).
The EBITDA margin was 45.7 percent (Q1 2007: 36.3 percent).

WACKER FINE CHEMICALS posted total January to March 2008 sales of
EUR27.7 million (Q1 2007: EUR35.0m), 21 percent below the prior-year
figure due to consolidation measures. Sales of custom fine chemicals
in Q1 2008 clearly trailed prior-year figures, as expected, due to
reorganization measures. Strong demand for biotech products such as
cysteine and cyclodextrins continued. The division´s biotech
pharmaceutical proteins business also remained very promising. On the
earnings side, last year´s reorganization measures were clearly
successful. Despite lower sales, EBITDA of EUR3.2 million nearly
matched the prior year level (Q1 2007: EUR3.6m) and the EBITDA margin
correspondingly increased to 11.6 percent (Q1 2007: 10.3 percent).

Outlook Despite the uncertainties surrounding future global economic
and sector-specific trends, WACKER has set itself ambitious goals
once again. Overall, the Group sees a good chance of boosting sales -
as in the past few years - by clearly more than 10 percent in 2008,
too. EBITDA is also expected to further increase.

Information for editorial offices: The Q1 2008 report can be
downloaded from WACKER´s website (www.wacker.com) under Investor
Relations.

WACKER's Key Figures
|EUR million |Q1 2008 |Q1 2007 |Change |
| | | |in % |
|Sales |1,019.5 |943.7 |8 |
|EBITDA1 |291.1 |265.5 |10 |
|EBITDA margin2 |28.6 % |28.1 % |1 |
|EBIT3 |198.7 |187.9 |6 |
|EBIT margin2 |19.5 % |19.9 % |-2 |
| | | | |
|Financial result |-0.8 |-5,4 |-85 |
|Income before taxes |197.9 |182.5 |8 |
|Net income attributable to |130.6 |114.5 |14 |
|Wacker Chemie AG shareholders | | | |
| | | | |
|Earnings per share in EUR |2.63 |2.30 |14 |
| | | | |
|Investments (incl. financial |145.5 |91.0 |60 |
|assets) | | | |
|Payments for acquisitions |173.4 |0.0 |n.a. |
|Net cash flow |-3.3 |224.2 |n.a. |
| | | | |
|EUR million |Mar. 31, |Mar. 31,| Dec. 31,|
| |2008 |2007 |2007 |
| | | | |
|Equity |1,908.6 |1,699.4 |1,865.6 |
|Financial liabilities |250.2 |300.2 |217.8 |
|Provisions for pensions |374.4 |359.2 |369.2 |
|Net financial debt |-152.8 |142.6 |-148.7 |
|Total assets |4,226.8 |3,457.8 |3,918.1 |
| | | | |
|Employees (number at end of |15,660 |14,788 |15,044 |
|period) | | | |
| |
|1 EBITDA is EBIT before depreciation and amortization. |
|2 Margins are calculated based on sales. |
|3 EBIT is the result from continuing operations for the period|
|before interest and other financial results, limited |
|partnership interests, and income tax. |

This press release contains forward-looking statements based on assumptions and
estimates of WACKER´s Executive Board. Although we assume the expectations in
these forward-looking statements are realistic, we cannot guarantee they will
prove to be correct. The assumptions may harbor risks and uncertainties that may
cause the actual figures to differ considerably from the forward-looking
statements. Factors that may cause such discrepancies include, among other
things, changes in the economic and business environment, variations in exchange
and interest rates, the introduction of competing products, lack of acceptance
for new products or services, and changes in corporate strategy. WACKER does not
plan to update the forward-looking statements, nor does it assume the obligation
to do so.

end of announcement euro adhoc
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ots Originaltext: Wacker Chemie AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:

Christof Bachmair

Media Relations & Information

Tel.: +49 (0)89 6279 1830

E-Mail: christof.bachmair@wacker.com

Branche: Chemicals
ISIN: DE000WCH8881
WKN: WCH888
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Börsen: Börse Frankfurt / regulated dealing/prime standard