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CS LatAm Equity Conference 2010

Forward-looking Statements

This presentation contains forward-looking statements. These statements do not

represent historical fact, but rather reflect the beliefs and expectations of

Braskem’s management. The words “anticipate”, “wish”, “expect”, “estimate”,

“intend”, “forecast”, “plan”, “predict”, “project”, “target” and similar words

are intended to identify these statements. Although Braskem believes that the

expectations and assumptions reflected by these forward-looking statements are

reasonable and based on information currently available to management,

2

reasonable and based on information currently available to management,

Braskem cannot guarantee future results or events.

The forward-looking statements in this presentation are valid only on the date

they are made (September 30, 2009) and the Company does not assume any

obligation to update them in light of new information or future developments

Braskem is not responsible for any transaction or investment decision taken

based on the information in this presentation.

Agenda

Quattor acquisition

Strategic direction

Braskem post transaction

Key differentiators

The petrochemical industry

Leader in the Americas, rank

among the 5 largest

petrochemical companies

worldwide measures by EV*

and to be positioned as the

Strategic directionVision 2020 Braskem

and to be positioned as the

preferred partner for global

alliances

* Enterprise Value 4Source: Braskem

Feedstock and energy availability at

competitive costs

Quattor acquisition strongly aligned to

the strategic drivers of the Company

Strategic drivers

Defense of business in Latin America

International expansion in attractive markets

Business differentiation

Diversification of products and business

5Source: Braskem

Agenda

Quattor acquisition

Strategic direction


Key differentiators


Braskem overview

Key Financials 2009 LTM*:

Net Revenue R$ 15.3 billion

EBITDA R$ 2.4 billion

Net Result R$ (328) million

* Last 12 months

Ethylene and resins capacity (kton/y)

1,090

510

6,127

17 petrochemical plants with 1st and 2nd

generations integrated: states of BA, RS, AL, SP (non integrated)

Listed in 3 stock exchanges: BM&FBovespa, NYSE and Latibex

7

Profile:

Source: Braskem

* Last 12 months

2,532

1,995

1,090

PVC

PP

PE

Ethylene

Quattor overview

Key Financials 2009 LTM*:


EBITDA R$ 462 million

Net Result R$ (256) million

* Last 12 months

Ethylene and resins capacity (kton/y)

3,155

8

Profile:


generations partially integrated: states of SP, RJ

Private company

Source: Braskem / Company estimates / Quattor

* Last 12 months

1,240

1,040

875

PP

PE

Ethylene

Geographic Complementarities

MaceióMarechal Deodoro

� Country region with the highest

availability of feedstock

� Quattor assets are located in

the SE region;

� The southeast region has the

Complementation and

geographic diversification

Greenfields

Industrial Footprint

Camaçari

Triunfo

MauáPaulínia

Duque de Caxias

� The southeast region has the

largest thermoplastic resins

domestic consumption;

� The privileged location of

Quattor assets represents low

logistics costs on the transport

of products to the final resin

consumers.

Benefits and strategic drivers

� Creation of a world scale player

� Diversification of feedstock supply

� Scale increase and geographic complementarities

� Strengthening of the production chain – petrochemicals and plastics

� Balanced capital structure

10

� Value creation for all shareholders

Consolidation of Odebrecht and Petrobras shares in their activities in the

petrochemical sector, strengthening Braskem and the Brazilian production

chain to compete in the international market and ensuring the basis for

global growth, consolidating the leadership in the Americas

Transaction stages (1/2)

1. Creation of BRK Investimentos Petroquímicos SA (BRK) holding Braskem’s common shares from Odebrecht (ODB) and Petroquisa (PTB), followed by a capital increase of R$ 3,5 billion, R$ 1 billion from ODB and R$ 2.5 billion from PTB

BRK

ODB PTB

66,8% 33,2%

BRK

ODB PTB

53.8% 46.2%

AportesODB/PTB

11

2. Braskem capital increase through Private Offer between R$ 4.5 billion and R$ 5 billion, with a minimum subscription of R$ 3.5 billion assured by BRK. The Offer share price will be R$ 14.40 per share

3. Braskem acquires Unipar 60% stake of Quattor Participações for R$ 647.3 million in addition to suceed Unipar in a liability with BNDESPAR

Transaction stages (2/2)

4. Braskem merges Quattor shares, consolidating Petrobras/Petroquisa 40% interest in Braskem:

QuattorParticipações

100%

94,11% 65,98% 99,3%

Braskem

12

5. Braskem acquires 33.3% of Polibutenos and 100% of Unipar Comercial for R$ 52.7 million

These steps of the transaction are expected to be concluded in 120 days

QQuímica RioPol QPetroquímica

94,11% 65,98% 99,3%

9,02%5,89%25,00% RioPol

permanecem com

BNDESPar

Assets to be acquired

50.0% 33.3% 100.0%

Participações

60.0%

Direct Subsidiaries

40.0%

13

�25.00% of RioPol

remains with

BNDESParSource: Quattor

9.02%

99.30%

Divisão Qu

65.98%

Petroquímica

94.11%

ímica

5.89%

Química

Agenda

Quattor acquisition

Strategic direction


Key differentiators



Key Financials (2009 LTM* ProForma):

Gross Revenue R$ 25.8 billion


EBITDA R$ 2.9 billion

Total Assets R$ 33.5 billion

Resins capacity (kton/y)

510

5,510

*LTM: oct/08 to sep/09

15

Profile:

Source: Braskem / Company estimates


generations integration: States of BA, RS, AL, SP, RJ

Listed in 3 stock exchanges: BM&FBovespa, NYSE and Latibex

3,035

1,965 PVC

PP

PE

*LTM: oct/08 to sep/09

� Naphtha cracker

� PE

� PVC

� Chlorine – Soda

� PP

� PVC

� Chlorine - Soda

AL

26 Plants in 5 states

- 17 Braskem plants

- 9 Quattor plants

Assets location overview

16

BA

RS

AL

� Naphtha cracker

� Green Ethylene

� PE

� PP

- 9 Quattor plants

� Naphtha and LRH cracker

� PE

� PP

� PVC

� Gas (ethane and propane) cracker

� PE

� PP

QUATTOR ASSETS

RJ

SP

PROXIMITY OF THE CONSUMER MARKET

Quattor acquisition places Braskem as #1 resins producer in the Americas...

Production capacity of resins in the Americas, kton/y2009 basis

4th

1st

1,965

1,230 627

510

5,510

4,827

3,595

4,256

3,082

5,307

Source: Braskem / CMAI / Barclays / Parpinelli Tecnon 17

Braskem post

transaction

Exxon Mobil

Dow Lyondell Basell

Braskem Formosa Shintech Chevron Philips

Quattor

3,035

4,077 4,200

2,525 1,995

1,050

2,311

1,040

1,731

1,090

822 875

510

1,210

2,340

PVC

PP

PE

3,082

2,340 2,311

1,915

10,914

9,3118,668

7,749 7,284 7,1096,541

4,681 4,564 4,303 4,0793,595

1,915

... and in the global ranking, one of the Top 10 in resins

Production capacity of resins (PE, PP, PVC) worldwide, kton/y

12th

19th

2009 basis

Lyondell

Basell

Exxon

Mobil

SINOPEC Dow Formosa SABIC Ineos Total IPIC Reliance PetroChina Braskem Quattor

Lyondell

Basell

Exxon

Mobil

SINOPEC Dow Formosa SABIC Ineos Braskem

post

transaction

10,914

9,3118,668

7,749 7,284 7,1096,541

5,510

8th Braskempost

transaction

Source: Braskem / CMAI / Barclays / Parpinelli Tecnon 18

Diversity and competitiveness of feedstock to compete globally

Feedstock profile (2009*) Refinery Propylene

�USGC international reference with competitive prices

�Petrobras as main supplier

Naphtha/Condensate

�72% of Petrobras naphtha supplied at competitive pricing formula

�28% of purchases via imports46%

92%76%

17%

8%

13%37%

11%

19

28% of purchases via imports

Gas

�100% of Petrobras gas supplied with competitive prices in relation to international references

Ethanol

�Matrix with a greater balance and diversification

�Competitive gas pricing in relation to the international reference

(1) Ethane, Propane and LRH(2) Includes naphtha and condensate

Quattor Braskem Braskempost transaction

46%

Liquid (2) Propylene Gas (1)

Concerns with Corporate Governance

� Braskem as a public company - Odebrecht as the controlling shareholder of the company

� Operational issues to be addressed by Braskem Executive Officers

� Sharing of strategic decisions (Board consensus), such as:

� Assets sales, acquisitions, investments etc

20

� Professional management - CEO chosen by Odebrecht and executive officers chosen by CEO, with Petrobras nominating 2 out of 8

� Preferred partner for investments in the industry, exclusive choice in Latin America –Peru, COMPERJ, Suape, etc.

� Board of Directors with 11 members, out of which 1 is not nominated by the controlling shareholders

ProFormaSep 09

Estimated Capital Increase R$4.5bi -

Acquisitions

Estimated Capital Increase R$5bi -Acquisitions

Availabilities 4,274 8,074 8,574

Capital structure post transaction

� High liquidity, with availability around R$9 billion

� Capital structure with leverage (net debt/EBITDA) around 3x

� Opportunity to extend maturities and reduce the cost of debt through renegotiation

21

Gross Debt 17,470 17,470 17,470

Net Debt 13,197 9,397 8,897

Net Debt / EBITDA 4.55x 3.24x 3.07x

Shareholders’ equity

7,270 11,770 12,270

8,774

Braskem debt profile post transaction

� Short term cash balance of Braskem post transaction, without any capital injection, is enough to amortize debts maturing in 2009 and 2010

In R$ million

R$4.5 bi

Consolidated Debt

No injection R$4.5 bi injection

Cash 4,274 8,774

Gross Debt 17,470 17,470

Net Debt 13,197 8,697

Consolidated Debt Profile (R$ million)

R$ 47%

US$53%

Cash andEquivalents

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 + Perp.

752 1,204

1,644 1,254 1,202

796 333 69

494

1,144 728

1,556

1,264 1,086

620

601 447

123

Braskem Debt (sep/09) Quattor Debt (sep/09)*

1,896

1,140

516

934

1,416

2,2882,518

3,200

1,932

900

156

617

22

Average Term: 7.1 years

R$4.5 bi injection

R$3.5bi injection

4,274 3,828>

* Braskem Estimates

Partnership in new projects

All corporate

and contractual

instruments

� 700 kton/y PTA

� 450 kton/y PET

� 240 kton/y textiles polymers

� Suape: integration of the

petrochemical Complex

businesses into the Company

assets

23

instruments

shall be signed

within 120

days.

� 860 kton/y PE

� 850 kton/y PP

� 500 kton/y PTA

� 600 kton/y PET

� 700 kton/y PTX

� 608 kton/y Benzene

� 157 kton/y Butadiene

� Comperj: production and

marketing of resins and basic

petrochemicals

� Maintaining financial solidity

Growth combined with improved competitiveness

• Venezuela (JVs with Pequiven with equal ownership) – Under Review:

• Green PE: - 200 kton/y of green PE

- Ethylene made from 100% renewable raw material, with sugarcane ethanol used as feedstock

- Investments of R$ 488 million and startup expected for the end of 2010

- Financing package with BNDES approved in May/09

- 70% of the ethanol volume required on final contract negotiation

24

• Polipropileno del Sur (Propilsur)

- 450 kton/y of PP

- Startup in 2013 and investments estimated at US$1.2 billion

- Front end engineering design (FEED) at its final stage, EPC contract negotiation and financing structure

with the ECA´s and multilaterals in progress

• Polietilenos de America (Polimerica)

- 1.3 Mton of ethylene and 1.1 Mton/y of PE

- Integrated project using the natural gas available in Venezuela as feedstock

- Startup in 2014 and investments estimated at US$3.25 billion

- Technology license agreements signed for the PE plants and 79% of the PE Project Design Packages

(PDPs) concluded

Source: Braskem

Growth combined with improved competitiveness

• Mexico:• Project Ethylene XXI

- Partnership with the Mexican group IDESA for the acquisition of ethane from PEMEX to be

used as feedstock for an integrated petrochemical project

- 1 Mtons/y of ethylene and 1 Mtons/y of PE

- Investment initially estimated in up to US$ 2.5 billion over the course of 5 years, planned to be

financed by a project finance model with 70% debt and 30% equity

• PVC Alagoas:

25

• PVC Alagoas: - 210 kton/y of PVC capacity expansion in Alagoas, Brazil

- Investments around US$500 million and startup expected for the second half of 2012

Source: Braskem

• Peru: - Braskem, Petrobras and PetroPerú concluded studies for the technical and economic pre-

feasibility phase of an integrated project to produce 600 kton to 1.000 kton/y using the natural

gas available in Peru as feedstock

Agenda

Quattor acquisition

Strategic direction


Key differentiators


Brazil: dynamic market with still low per capita consumption

Brazil:

76

68

57

• PE, PP and PVC per capita consumption(Kg per person)

27

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

PE PP PVC27

* Compound annual growth rate Source: CMAI

11.112.5 13.6

14.5 15.416.2 16.6 16.1

17.8 17.518.7 18.0

20.2

22.7

USA Europe Japan

5.2%CAGR*

21.9

In Brazil, companies are exposed to a dynamic market with resilient growth

• Domestic demand for resins (Kton/y)

856 9823,696

4,048

5.4%CAGR

10%

9%4,172

3%

3,435 3,377

28Source: Abiquim – domestic sales + imports Source: NAD - CMAI

1,695 1,833 1,964 1,972

9901,114

1,228 1,218

692

749

2001 2004 2005 2006 2007 2008

PE PP PVC

3,435

2,880

3,377

Structured resource base to support client needs

�Over US$ 190 million in R&D assets

�> 170 researchers

�8 pilot plants

Applied Innovation and technology to strengthen value chain competitiveness

� Focus on product and application development

– 18% of resin sales derive from products developed in the last three years

29

�8 pilot plants

�> 240 patents filed

worldwide

�Partnership with universities and R&D centers in

Brazil and abroad

29

years

– Focus on clients’ end users

� Targeted initiatives for breakthrough technology

– Intelligent packaging

– Renewables

Source: Braskem

Agenda

Quattor acquisition

Strategic direction


Key differentiators


Points of concern

• Uncertainty regarding the extent of the global economic recovery

• Incentives to sustain supply buildup

– China: import substitution

– Middle East own agenda

• Stronger activity of capital investors in the commodity market

Supply & Demand

Global ethylene supply-demand and operating rate (Mton/y, %)

Petrochemical CycleGood naphtha x resins spreads even with lower ethylene utilization rate

130134

140 143 146 148

111 112 115120

127134

86

8383

84

87

91

31

694

626

688702

638

750751717

474

528562

609

77

91

84

91

77

Jan-08 Mar-08 May-08 Jul-08 Sep-08 Nov-08 Jan-09 Mar-09 May-09 Jul-09 Sep-09Spread HDPE/Naphtha Utilization rate

79

3Q09 Estimated utilization rate

77

Potential positive factors

Supply & Demand Balance

Source: CMAI

• Frequent delays in new capacities

• Operational and logistics problems

• Increased economic importance of emerging countries with relevant domestic consumption, as Brazil and China

• Supply-demand geographical imbalance leads to logistics barriers

• Opportunities from assets on sale

• Limited utilization rates helps to balance the market

Spread HDPE/Naphtha X Ethylene utilization rate (US$/ton, %)

2008 2009 2010 2011 2012 2013

Supply Demand Utilization Rate CMAI - May/09

05,00010,00015,00020,00025,00030,00035,00040,00045,000

North Europe Middle Asia

82%77%

67%

88%

12 million tons of ethylene capacity lost in USA and Europe

• Lower global demand

growth and new

capacity additions

expected to come on

stream limiting the

2009 expected utilization rate: Kton

32

North

America

Europe Middle

East

Asia

Nameplate Capacity Effective Production

utilization rates of the

actual players

• New capacity additions

could be delayed

New ethylene capacity additions globally (Mton):

Source: Parpinelli Tecnon / CMAI / SRI

0

2

4

6

8

10

12

2009 2010 2011 2012 2013

Delayed

Go ahead

Major ethylene capacity additions in 2009: 9.5 Mtons of nameplate capacity in Asia and Middle East, of which 4.5 Mtons effectively operating

Country Company Startup

Effective capacity

in 2009 (Kton)

Nameplate

Capacity (Kton)

Kuwait TKOC 1Q09 850 850

Saudi Arabia Petro-Rabigh 2Q09 975 1,300

Saudi Arabia Yansab 3Q09 867 1,300

Qatar RLOC 3Q09 325 1,300

China Fujian Ref & Chem 3Q09 400 800

China Secco 3Q09 150 300

Saudi Arabia SHARQ 4Q09 100 1,200

China Dushanzi PC 4Q09 417 1,000

33

4,040 4,0333,083

2,475

1,450

3,832

1,240

202

888

2009 2010 2011

China

Asia ex-China

Middle East

Source: CMAI / updated in Oct 30th.

Total ethylene capacity

additions (kton)

5,130

10,340

5,773

China Dushanzi PC 4Q09 417 1,000

Thailand PTT Polyethylene 4Q09 250 1,000

China Panjin Ethylene 4Q09 113 450

4,447 9,500

World indicative ethylene cash costs

34Source: CMAI

Management’s main priorities

� Implementation of the Quattor Transaction

� Analysis of the Transaction by CADE

� Continued strengthening of long-term relationship with Clients

� Prioritizing financial health and liquidity

35

Financial strength and respect for minority shareholdersFinancial strength and respect for minority shareholdersOpportunities for internationalizationOpportunities for internationalization

Prioritizing financial health and liquidity

� Construction of Green PE plant

� Projects in Latin America: competitive feedstock

� Selective acquisitions in North America

CS LatAm Equity Conference 2010