Annual Report 2008 English [PDF, 2.69 MB] - Tessenderlo Group

annual report 2008
MAKING IT SUCCEED

MAKING IT WORK
MAKING IT TOGETHER
MAKING IT INSPIRING
MAKING IT CONVINCING
MAKING IT LASTING
MAKING IT FIT

annual report 2008
The group
in a few figures
The group in a few figures
over 10 years (*)
(millions EUR)
Revenue
Rebitda
Rebit
Non-recurring items
Ebit
Profit (+) / loss (-)
Net cash flow
Profit (+) / loss (-)/Revenue
Rebit/Revenue
Net cash flow/Revenue
Capital Employed (CE)
Working Capital
Roce
Capital expenditure (PP&E)
Equity attributable to equity shareholders of the group
Return on equity (ROE)
Net financial liabilities
Net financial liabilities/Equity (Gearing)
Net financial liabilities/Rebitda
Interest coverage
Dividend paid
Pay out ratio
Headcount
(*) A financial glossary is available on pg 182

Tessenderlo Group
IFRS
2008 2007 2006 2005 2004 2003 2002 2001 2000 1999
2,765.0 2,405.9 2,238.3 2,149.6 2,062.9 1,972.0 1,934.0 1,890.0 1,818.0 1,571.0
344.7 261.6 188.4 191.8 220.8 204.0 259.0 230.0 251.0 213.0
239.1 152.3 72.3 67.4 106.2 82.0 115.0 109.0 135.0 102.0
- 26.9 35.1 - 76.9 - 8.2 - 25.0
212.2 187.4 - 4.6 59.2 81.2
140.4 128.7 - 24.3 35.1 53.6 43.0 71.0 65.0 90.0 70.0
280.1 248.1 142.8 161.0 195.6 162.0 207.0 168.0 211.0 180.0
5.1 5.3 -1.1 1.6 2.6 2.2 3.7 3.4 5.0 4.4
8.6 6.3 3.2 3.1 5.1 4.2 5.9 5.8 7.4 6.5
10.1 10.3 6.4 7.5 9.5 8.2 10.7 8.9 11.6 11.5
1,282.7 1,118.9 1,181.3 1,258.0 1,166.0 1,136.0 1,141.0 1,259.0 1,114.0 1,013.0
552.5 367.0 392.7 447.0 413.2 425.0 436.0 521.0 452.0 390.0
18.6 13.6 6.1 5.4 9.1 7.2 10.1 8.7 12.1 10.1
94.2 98.6 119.3 172.5 171.1 119.0 110.0 133.0 137.0 133.0
900.0 800.2 709.5 774.3 755.5 756.0 758.0 836.0 796.0 729.0
16.5 17.0 - 3.3 4.6 7.2 5.7 9.5 9.2 13.3 10.5
294.6 243.8 411.0 428.9 351.4 339.0 303.0 341.0 242.0 209.0
32.7 30.4 57.8 55.4 46.5 44.8 40.0 41.0 30.0 28.0
0.9 0.9 2.2 2.2 1.6 1.7 1.2 1.5 1.0 1.0
14.3 10.9 0.5 3.9 5.2 5.0 8.0 5.0 7.0 9.0
36.9 35.0 33.3 32.7 32.7 30.7 30.6 30.5 30.3 26.8
26.3 27.2 n/a 94.4 58.0 71.5 43.1 46.9 33.7 38.3
8,237 8,121 8,124 8,123 8,181 8,223 7,934 7,849 7,087 6,847

Tessenderlo Group
Summary
1 The group in a few figures
Key figures p. 2
Financial calendar p. 7
2 Message from the chairman p. 10
3 General presentation
Company profile p. 14
Strategy p. 16
International presence p. 18
Markets and Applications p. 22
4 Activity Report
Highlights of 2008 p. 26
Chemicals p. 28
Inorganics p. 30
PVC/Chlor-alkali p. 35
Plastics Converting p. 40
Profiles p. 42
Plastic pipe systems p. 46
Compounds p. 50
Specialities p. 54
Fine chemicals p. 56
Gelatin p. 60
Natural derivatives p. 64
1
5 Commitments
Human Resources p. 70
Environment, Quality, Safety and Risk Management p. 74
Corporate Governance p. 81
6 Information for shareholders p. 92
7 Financial report
Annual accounts 2008
- Consolidated Financial Report p. 100
- Statutory Financial Report p. 168
8 General information
Production units p. 172
Addresses of the plants and sales offices p. 175
Index p. 181
Financial Glossary p. 182

annual report 2008
Tessenderlo Group in a few charts
Revenue (millions EUR)
IFRS
2,765
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
Rebitda (millions EUR)
2
345
IFRS
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
Profit (+) / loss (-) (millions EUR)
140.5
IFRS
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008

Tessenderlo Group
ROCE (%) Net financial liabilities/Equity (%)
18.6
IFRS
IFRS
33
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
Working capital / Revenue (%) Return on equity (%)
3
IFRS
20.0
16.5
IFRS
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
Equity attributable to equity
shareholders of the group
(millions EUR)
Capital expenditure (PP&E)
(millions EUR)
IFRS
900
IFRS
94
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008

annual report 2008
Synthetic consolidated balance sheet
IFRS
(millions EUR) 2008 % 2007 %
Property, plant and equipment 652.0 677.8
Goodwill 38.3 37.2
Intangible assets 39.9 36.9
Other non-current assets 79.9 71.9
Non-current assets 810.1 45 823.8 49
Inventories 473.7 339.9
Trade and other receivables 474.9 425.9
Cash and cash equivalents 53.5 93.6
Current assets 1,002.1 55 859.4 51
Non-current assets held for sale 0.7 0.0
Assets 1,812.9 100 1,683.2 100
4
Issued capital and share premium 181.3 179.0
Reserves 313.4 238.6
Retained earnings 405.3 382.6
Minority interests 2.0 2.0
Equity 902.0 50 802.2 48
Provisions and deferred taxes 171.9 146.7
Financial liabilities
- Non-current 96.7 122.6
- Current 251.4 214.8
Other liabilities 390.9 396.9
Liabilities 910.9 50 881.0 52
Equity and Liabilities 1,812.9 100 1,683.2 100
Synthetic consolidated P&L account
IFRS
(millions EUR) 2008 2007
Revenue 2,765.0 2,405.9
Cost of sales -2,165.9 -1,873.6
Gross profit 599.1 532.3
Distribution expenses -144.6 -165.2
Sales and marketing expenses -62.7 -77.4
Administrative expenses -126.1 -125.2
Other operating income/expenses -26.6 -12.2
REBIT 239.1 152.3
Non-recurring items -26.9 35.1
EBIT 212.2 187.4
Finance costs -21.6 -17.6
Share of result of investements accounted for using the equity method 11.5 6.0
Profit (+) / loss (-) before tax 202.1 175.8
Income tax expense -61.7 -47.1
Profit (+) / loss (-) for the period 140.4 128.7
Attributable to :
Equity holders of the group 140.5 128.9
Minority interests -0.1 -0.2

Tessenderlo Group
Distribution of the revenue 2008
Per business group
Per destination
Specialities
21 %
Chemicals
51 %
Rest of the world
12 %
USA
11 %
Europe
77 %
Plastics Converting
28 %
5
Per country of production
Per consumption market
The Netherlands
6 %
Italy
4 % Other
5 %
Belgium
45 %
Health & Hygiene
14 %
Household
5 %
Building Industry
& Public Works
32 %
USA
10 %
Great Britain
10 %
France
20 %
Industry
20 %
Fertilisers &
Animal Nutrition
29 %

annual report 2008
Key figures per business group
Rebit
Specialities
13.6 %
Plastics Converting
8.8 %
Chemicals
77.6 %
Capital expenditures (PP&E)
Headcount
6
Specialities
33 %
Chemicals
33 %
Specialities
33 %
Chemicals
24 %
Plastics Converting
34 %
Plastics Converting
43 %
Key figures per share
EUR 2008 2007
Basic earnings per share
(Basic EPS)
5.08 4.69
Net cash flow per share 10.11 8.98
Shareholders’ equity per
share
32.55 29.04
Net dividend per normal
share
1.00 0.95
Net dividend per normal
share with VVPR strips
1.13 1.08
Number of shares 27,713,288 27,626,444
Evolution of the net dividend
per share (EUR)
1999
2000
2001
2002
2003
IFRS
2004
2005
2006
2007
1.00
2008

Tessenderlo Group
Financial calendar
Results
Tessenderlo Group publishes quarterly releases of its consolidated results through the news
media. The dates of the releases will be as follows:
• 31 December 2008 results March 12 th , 2009
• 1 st quarter 2009 results April 23 th , 2009
• 1 st half-year 2009 results August 27 th , 2009
• 3 rd quarter 2009 results November 5 th , 2009
General Meeting
• Approval of the financial statements 2008 June 2 nd , 2009
• Approval of the financial statements 2009 June 1 st , 2010
Dividend
• Payment dividend 2008 June 9 th , 2009
(coupon n° 72)
7
News releases: see our website www.tessenderlogroup.com under ‘News & Media’ - ‘News’.
Contacts
Shareholders’ service
Jo VERSPECHT
Tel.: +32 2 639 18 31 - e-mail: jo.verspecht@tessenderlo.com
Investor relations
Christian VREBOSCH (CFO)
Tel.: +32 2 639 18 87 - e-mail: christian.vrebosch@tessenderlo.com
Media relations
Geert DUSAR
Tel: +32 2 639 17 75 - e-mail: geert.dusar@tessenderlo.com

MAKING
IT
TOGETHER

To find out what our customers exactly need, we visit them.
Together we find the answers to their specific questions.
Not every type of feed phosphate is suitable for every
breed. To determine exactly which products the farmers need,
our sales representatives provide guidance for cattle feed
manufacturers and cattle farmers.
9

annual report 2008
Message from the
chairman
Gérard Marchand
Chairman
10
In 2008, the group encountered variations
in the prices of its primary raw materials
on a scale that had never seen before. The
spectacular increases in the first half of the
year reached historical records during the
summer. After that prices declined until
the end of the year, to return by the start of
2009 to more normal price levels.
This exceptional context was constantly
taken into account in the management
decisions of the group, which was therefore
able not only to bear these increases, but
even to raise its margins.
The group thus recorded excellent results
for 2008. Its revenue increased by around
15 % and its recurring operating result by
57 %.
In practice, the improvement came entirely
from the Chemicals business, and more
particularly from products intended for
the agricultural sector. Demand in this
sector has remained very high, borne by
the growth in the food needs of the world
population.
The group, one-third of whose activity is
focused on these markets, historically in
Europe but now also in the United States,
therefore benefited from this excellent
economic climate.
The PVC & Alkalis activities recorded less
impressive performances than those for
2007, even if the sustained demand for
alkali products significantly offset the
impact of the decline in PVC.

Tessenderlo Group
The Specialities are also progressing. The
good performance of gelatin, animal byproducts
and the continued recovery of the
organic chlorine derivatives compensated
for a weak year in pharmaceutical
intermediates.
At the end of the year, Plastics Converting
notably suffered from the difficulties
of the construction sector. All building
professions are affected, but it is once
again that of profiles which has been
hardest hit.
harder-to-find credit with a balance sheet
which is relatively unencumbered by debts.
We are also continuing the cost-cutting
efforts. The creation in the spring 2008 of
a shared service centre for the accounting
operations on the European level is one
example of this. Naturally these efforts will
continue in 2009.
We are recording a net profit of
140.5 million EUR, which is a new historical
result for the group.
11
The events of 2008 and the economic crisis
are not causing us to modify our strategy,
which consists of having ultimately less
than 30 % of commodities in our activities
portfolio and retaining only the businesses
where one can obtain at least a 12 % return
on capital employed.
The acquisitions of the year in the sector of
plastics converting and in the specialities
of our American subsidiary Tessenderlo
Kerley Inc. are in conformity with this line.
These good results make it possible for
your Board of Directors to propose to the
General Meeting to raise the dividend to
1.00 EUR net per ordinary share, i.e. an
increase of slightly more than 5 %.
On behalf of the Board, I wish to thank all
employees and managerial staff whose
excellent work has enabled us to present
these results.
We are poised to seize the new growth
opportunities which are certain to present
themselves. However, the economic crisis
has led us to be more selective, so as to get
through this period of more expensive and
Gérard Marchand
Chairman

MAKING
IT
FIT

The products and services of Tessenderlo Group match the
requirements of users perfectly. Whenever possible, we offer
our customers a total solution. Like at Dyka Plastics.
Our specialists use a plan to calculate which plastic pipes and
fittings are necessary for water, gas and electricity. The next
morning, everything is ready to be picked up at a Dyka sales
point of choice, as close to the customer as possible.
13

annual report 2008
Company profile
14
Chemistry between
three business groups
Tessenderlo Group is a diversified,
international group active in many areas of
the chemical industry, plastics converting,
gelatin, pharma and natural derivatives.
The group is characterised by an extensive
integration of its activities.
Tessenderlo Group’s activities are divided
into three business groups:
• Chemicals with two business units;
inorganics and pvc/chlor-alkali;
• Plastics converting and its business
units profiles, plastic pipe systems and
compounds;
• Specialities with its business units
fine chemicals, gelatin and natural
derivatives.
To emphasise the cohesion of some of the
group’s activities and to link them even
better to the strategy of the group, the
business groups will be reshuffeld as
from 1 January 2009:
• Chemicals will, in addition to sulfates,
phosphates and PVC/chlor-alkali, include
the organic chlorine derivatives coming
from fine chemicals. Tessenderlo Kerley
moves to the Specialities business group.
• Plastics converting remains the same;
• Specialities adds Tessenderlo Kerley to
its portfolio. It also includes pharma,
gelatin and products of natural origin.
Present in everyday
life
Tessenderlo Group’s products form an
integral part of our everyday lives and
are used in various applications, from
high-quality fertilisers and animal feed to
medicine and car dashboards. A little bit
of Tessenderlo Group can also be found
in sweets, perfumes, batteries, blood

Tessenderlo Group
bags, water treatment products, washing
powders and window profiles – just to
mention a few examples.
This explains the group’s motto: ‘Bringing
chemistry to life’.
A few figures
• A worldwide personnel count of
about 8,200.
• More than 100 establishments in over
20 countries.
• Consolidated revenues of 2.8 billion EUR
in 2008.
• A net dividend per share set at 1.00 EUR
in 2008 .
Tessenderlo group as a
market leader
Tessenderlo Group occupies a position of
leadership in a number of diverse markets.
At the world level, the group is:
• The largest producer of liquid
sulphur-containing fertilisers, benzyl
acetate, benzyl chloride, and alphahexylcinnamaldehyde;
• The second largest supplier of
phosphates for animal feed, potassium
sulphate for specialised fertilisers and of
triacetin;
• The third largest manufacturer of highquality
gelatins;
• One of the leading suppliers of
compounds for dashboard skins.
At the European level the group is:
• The number one producer of caustic
potash;
• The second largest supplier of ferric
chloride
• The fourth largest manufacturer of PVC
compounds;
• The fifth largest supplier of PVC.
15

annual report 2008
Tessenderlo Group’s
strategy
16
At the general meeting of 5 June 2007
Tessenderlo Group’s strategy for the
coming years was modelled.
This strategy can be summarised as
follows:
• Leading market positions in niche
markets.
• Strengthening and further
diversification of a balanced and
integrated activity portfolio.
• Increase of the specialities share to
70 % of the revenue by 2012 by:
- further developing the Plastics
Converting activities in Europe
- strengthening the gelatin activity’s
top-three position in the world
- further developing the activities
that combine customer service and
by-product valorisation.
• Continuously increase profitability.
• A return on capital employed
(ROCE) of minimum 12 % for all
businesses by 2012.
• Dividend policy aimed at stable
growth.

Tessenderlo Group
Tessenderlo Group’s
assets
• World leadership and European
leadership for the vast majority of
its niche markets’ products;
• A large and diversified product
range;
• The industrial integration of the
various production processes,
focusing on valorisation of byproducts,
which in turn become raw
materials for new products;
• The orientation to products with a
high added value and a non-cyclical
market;
• A sound financial situation;
• Close to end-user markets and a
strong development of distribution
networks in Plastics Converting;
• Annual investments in the amount
of 100 million EUR average (excl.
acquisitions)
• The devotion of experienced and
highly qualified employees;
• Permanent focus on cost control in
order to maximise profitability
17

annual report 2008
International presence
59 Production units
1 Canada
11 United States of America
1 Argentina
4 Great Britain
7 Belgium
5 Netherlands
2 Poland
1 Germany
22 France
3 Italy
18
2 China
Sales offices &
distribution centres
Belgium
Chile
China
Czech Republic
France
Germany
Great Britain
Hong Kong
Hungary
Italy
Lebanon
Mexico
Netherlands
Peru
Poland
Romania
Slovakia
Spain
Switzerland
Turkey
Canada
1
United States of America
11
Argentina
1

Tessenderlo Group
4 22 7 5 1 2 3
Great Britain France Belgium Netherlands Germany Poland Italy
19
China
2

annual report 2008
Tessenderlo Group
Tessenderlo Chemie NV
WYMAR
INTL.
(BE)
TESSENDERLO NL
HOLDING BV
(NL)
TESSENDERLO
HOLDING UK
(GB)
TEFIPAR
(FR)
DYNAPLAST
EXTRUCO
82 % (CA)
PB LEINER
ARGENTINA
(AR)
PB GELATINS
UK (GB)
SAV (FR)
SAPLAST (FR)
TC
ROTTERDAM
(NL)
TESSENDERLO
FINE CHEMICALS
(GB)
PC LOOS
(FR)
CALAIRE
CHIMIE (FR)
20
DYKA
BV
(NL)
John
Davidson
Pipes
(GB)
TESSENDERLO
FINANCE NV
(BE)
EUROCELL
(GB)
PLASTIVAL
(FR)
SOTRA-
SEPEREF (FR)
CHEMILYL
(FR)
AKIOLIS
GROUP (FR)
LVM
LIMBURG
(NL)
THERMOPLASTIQUES
COUSIN-TESSIER
(FR)
FERSO
50 % (FR)
TESSENDERLO
CHEMIE
MAASTRICHT (NL)
PROFEX
(FR)
TESSENDERLO
SERVICES (FR)
PB GELATINS
GmbH (DE)
PB GELATINS
PINGYANG Co Ltd
(CN)
TESSENDERLO
TRADING
SHANGHAI (CN)
NYLOPLAST
EUROPE
(NL)

Tessenderlo Group
TESSENDERLO
PARTICIP (IT)
TESSENDERLO
USA (US)
LVM
(BE)
TESSENDERLO
ITALIA (IT)
PB LEINER
USA (US)
IMMO
WATRO
(BE)
FARCHEMIA
(IT)
CHELSEA B.P.
(US)
TESSENDERLO
KERLEY (US)
JUPITER
SULPHUR
50 % (US)
ALKEMIN
49 % (MX)
TAILE (CN)
TCT
POLSKA
(PL)
21
H Holding
C
K
S
D
Chemicals
Plastics converting
Specialities
Service company
MPR
SERVICES
(US)
TESSENDERLO
AGROCHEM
(TR)
DYKA
PLASTICS
(BE)
DYKA
POLSKA
(PL)
ZEOLINE
50 % (BE)
TERELUX
(LU)
TCI
(BE)
T-POWER
33 %
(BE)

annual report 2008
Markets and applications
Tessenderlo Group: Bringing Chemistry to Life
CONSTRUCTION INDUSTRY
PVC and Compounds C P plastic pipe systems, door and window profiles, facade
cladding, panelling, cable sleeves and cable insulation,
floor covering, conservatories
Zeolites C double-glazing
AGRICULTURE
22
Ammonium, calcium and
potassium thiosulphate
C
Animal fats S animal nutrition
liquid fertilisers for large-scale cultivation
Caustic potash C horticulture, fertilisers for irrigation systems
Cereal based by-products S animal nutrition
Crop protection products C plant health of speciality crops
Dehydrated proteins S fertilisers, composting
Feed phosphates C animal feed ingredients
Glycine and derivatives S animal feed, agrochemicals
Organic chlorine derivatives S advanced intermediates for agrochemicals
Potassium sulphate C specialised fertilisers, which are particularly suited
for vegetable, flower, fruit and tobacco growing and
fertirrigation
Sulphuric acid C fertilisers, crop protection products
Triazone: slow release nitrogen
fertilisers
C
speciality and broadacre crops
INDUSTRY
Acetates C antifreeze products, for e.g. runways
Animal fats S biodiesel, lipochemistry, green energy (combustion)
Benzyl alcohol S paints
Caustic potash C batteries, oildrilling, biodiesel
Caustic soda C aluminium, rayon, paper, pulp
Dehydrated proteins S green energy
Electrolysis products C photography, leather tanning, water treatment, mining

Tessenderlo Group
Ferric chloride C water treatment
Gelatin S photographic paper and -film, paintballs, electro-plating
Mono-ammonium phosphate C fire extinguisher, fire retardant
Organic chlorine derivatives S paint, photography, coatings
Potassium sulphate C plasterboards
PVC and Compounds C P automotive industry: dashboards skins, airbag covers,
seals, interior trim
other: road safety cones, furniture, shoe soles,
tarpaulins, cables, fencing systems,
Sulphuric acid C batteries, car windows, billiard balls
HEALTH AND HYGIENE
Active pharmaceutical ingredients S medicines
Caustic soda C detergents, soaps
Chlorine C water disinfection, disinfectants, PVC
Gelatin S capsules for e.g. drugs, skin cream, treatment of wounds
Glycine S pharmaceutical products eg. buffer in isotonic solutions
Organic chlorine derivatives S various pharmaceutical products for people, plants and
animals, perfumes, shampoo, UV stabilisers
Pharmaceutical intermediates S a wide range of medicines
PVC and Compounds C P blood bags, infusion bags and tubes, catheters, gloves,
bottles for shower and bath foam, toothbrush grip
Sodium hypochlorite C sanitiser, water treatment, bleaching
23
HOUSEHOLD
Animal fats S pet food
Electrolysis products C detergents
Dehydrated proteins S pet food
Feed phosphates C pet food
Gelatin S foodstuffs such as dairy and ‘light’ products,
confectionery, energy bars and drinks
Glycine S foodstuffs, aspics
PVC and Compounds C P packaging films, tablecloths, shower curtains, credit
cards, furniture, inflatable articles such as balls,
swimming pools, boats, seals for refrigerators, tool
handles.
Caustic soda C detergents
Zeolites C washing powders
C Chemicals P Plastics Converting S Specialities

MAKING
IT
INSPIRING

Tessenderlo Group looks ahead. Every day we work on
products that make life more comfortable and benefit the
environment. These range from recyclable plastics for cars
to low-calorie gelatins and environmental-friendly fertilisers.
This is precisely why we want to inspire young people
too.
25

annual report 2008
Highlights of 2008
26
March
Eurocell, a UK subsidiary company
of Tessenderlo Group and British
market leader for the production and
distribution of pvc profiles, acquires
the distributor Peninsula Plastics and
reinforces its position in the North West
of England.
April
Eurocell acquires the assets of Sprint
1233, formerly Plastmo Profiles Ltd
(Northampton, UK). This acquisition
will secure Eurocell’s position as the
number one PVC-window profiles
extruder in the UK, as well as
complementing its existing product
range
Tessenderlo Group sets up a Shared
Service Centre (SSC) in Leuven
(Belgium) to centralise its accounting
department at the European level. The
aim of the SSC is to further optimise all
its accounting processes and systems
and standardise and harmonise them.
The expansion of SSC will take place
gradually between 2008 and 2011.
September
Tessenderlo Group announces
changes in management, effective as
from 1 January 2009. Frank Coenen
is appointed Chief Operating Officer
(COO) of Tessenderlo Group. He will
lead the business groups Chemicals,
Plastics Converting and Specialities,
that respectively will be headed by
Pol Deturck, Albert Vasseur and Jan
Vandendriessche
October
Tessenderlo Group acquires the
Dutch company Nyloplast Europe
BV. Nyloplast manufactures
large-diameter plastic fittings for
pressureless pipe systems used for
draining sewage and rain water. This

Tessenderlo Group
acquisition enables the Plastic Pipe
Systems Business Unit to extend its
range of products and services for total
water management and to strengthen
its position in Europe.
November
Caillaud, a French subsidiary company
of Tessenderlo Group that specialises
in the collection, processing and
valorisation of organic by-products
changes its name to Akiolis. This
is with a view to the international
development of its activities.
December
Eurocell Profiles Ltd (UK) acquires
Cavalok Building Products.
Cavalok manufactures window and door
cavity closer systems made from postconsumer
recycled PVC.
is extended for 20 years. Tessenderlo
Group has made a clear choice for a
sustainable approach and will invest in
additional environmental activities.
T-Power, a joint venture between
Tessenderlo Chemie NV, Siemens
Project Ventures GmbH, and
International Power plc, achieved
financial close of its 420 MW CCGT
(Combined Cycle Gas Turbine) power
plant in Tessenderlo (Belgium).
The power plant will commence
operation in 2011 and will increase the
competitiveness of the production plant
in Tessenderlo.
The phosphates activities are clustered
in a new dedicated organisation named
Aliphos.
27
The environmental permit for the
Ham and Tessenderlo plant (Belgium)

annual report 2008
Chemicals
The Chemicals business group is comprised of two business units:
Inorganics and Chlor-alkali/PVC. It is characterised by an integrated
production process in which the various end-products and by-products are
utilised internally in order to create maximum added value. The business
group’s products are used in industry and agriculture and have applications
in a large number of aspects of everyday life, from batteries and paper to
animal nutrition, speciality fertilisers and water treatment.
28
2008 in a nutshell
2008 was a record year for the Chemicals business group following a very successful
year in 2007. The lower results in Chlor-alkali/PVC were amply compensated for by
Inorganics. Despite the high raw material prices, among other things due to rising
oil prices in the first three quarters, profitability was improved. The Inorganics
business unit in particular was able to improve margins for agricultural products.
For the Chlor-Alkali activity, the margins for caustic potash and caustic soda were
higher than in 2007. However, this could not compensate for the decline in the PVC
activity. The results of the latter were unsatisfactory in the last quarter. The new
strategy whereby Tessenderlo Group and the Chemicals business group focus more
on specialities and less on commodities, has resulted in excellent performance in the
United States with Tessenderlo Kerley Inc. (TKI) recording strong figures.

Tessenderlo Group
Key figures
2008 2007
Revenue (millions EUR) 1,402 1,027
REBIT (millions EUR) 197 83
ROCE (%) 33 18
Capital expenditures (PP&E) (millions EUR) 28 37
Headcount 1,965 2,009
Market leadership
• The largest producer of liquid sulphurcontaining
fertilisers (thiosulphates) at
world level.
• The second largest supplier in the world
of phosphates for animal feed and of
potassium sulphate for specialised
fertilisers
• The largest producer of caustic potash
in Europe.
• The second largest producer of ferric
chloride at European level.
29
Revenue breakdown over 10 years
(millions EUR)
1,500
1,402
1,200
900
IFRS
600
300
0
99
00
01
02
03
04
05
06
07
08

annual report 2008
Inorganics
In 2008, the Inorganics business unit was confronted with a historical increase in raw
material prices. However, these increases could be passed on to the market through
higher sales prices. Margins for agricultural products were finally restored after
several difficult years. Sales of potassium sulphate for fertilisers remained at the
level of 2007, while demand for animal feed phosphates fell in the second half of the
year.
30
Activities and products
The Inorganics business unit operates in
a variety of different markets. Potassium
sulphate is a fertiliser that is extremely
suited for use in dry areas and for
highly sensitive crops such as flowers,
vegetables, fruit, and tobacco. Tessenderlo
Group invested mainly in potassium-based
specialities for modern agriculture.
Sulphur-based liquid fertilisers (including
ammonium, potassium, calcium and
magnesium thiosulphate) are used in
North America as fertilisers for cereal and
broad-acre crops, and for arboricultural
and vegetable cultivation. Other sulphur
derivatives are used for different industrial
applications including mining, water and
waste-water treatment and in a wide range
of chemical processes.
Mineral phosphates are used in the animal
feed industry. The range of phosphate
products is so diverse that Tessenderlo
Group is able to offer the required quality
for all kinds of feed applications. The
optimal digestibility of the animal feed
phosphates allows a perfect balance to be
struck between the development of the
animal and respect for the environment.
Trends and facts in 2008
Raw material prices continued to rise until
September. In some cases, prices were
300 % higher than in 2007. Tessenderlo
Group succeeded in passing these price
increases on to the market.

Tessenderlo Group
The range of
fertilisers continues
to evolve towards
high-grade
specialities
Potassium sulphate volumes remained at
their 2007 level. SoluPotasse®,
a highly water-soluble potassium fertiliser,
strengthened its position as world leader
in irrigation fertilisation. GranuPotasse®,
that is used extensively by fertiliser
formulators, advanced strongly.
This success is helping Tessenderlo Group
to drive its product range towards highgrade
specialities.
Given that the majority of sales is in euros,
the exchange rate evolution of the American
dollar had little impact on the results.
Sales of animal feed phosphates dropped
across Europe, with a dramatic fall in
Central Europe. Due to the low prices for
pork, East European farmers have reduced
their pig inventories by 30 %. The shortage
of animal feed phosphates in the first
quarter of 2008, combined with very high
prices, has led to many feed producers to
use the phytase enzyme alongside mineral
phosphates.
31

annual report 2008
32
Margins for
agricultural products
could be restored
A closer look at
Tessenderlo Kerley Inc.
(US)
Tessenderlo Kerley, Inc (TKI) and its
business units in the United States
achieved solid performance under very
challenging conditions in the market place.
Fertiliser volumes for 2008 were on an
increase due to higher farm commodity
prices in the first half of the year. TKI was
able to maintain margins in 2008.
The speciality fertiliser products,KTS®
(potassium thiosulphate), N-Sure® and
Trisert® slow release nitrogen products as
well as CaTs® (calcium thiosulphate) have
enjoyed a strong year in 2008. Demand has
been strong in all cropping areas and in
several cases exceeded supply in most of
the broadacre and speciality crop areas.
Fertilisers and crop
protection products are
doing very well in the US
in 2008
NovaSource®, TKI’s crop protection
business unit, enjoyed a year of strong
growth and above average profitability in
2008 as the result of the Surround® and
Sinbar® product acquisitions made in
late 2007. In addition, good growth was
experienced in its existing business range.
In 2008, Tessenderlo Kerley Inc. acquired
the assets of Agrochem in Turkey. It also
acquired an interest in Wolf Mountain
Products.
MPR Services, Inc, TKI’s Solvent
Services Business that supplies
services to refineries for the treatment
of flue gasses and solvents, continued its
world-wide growth in both
mobile services and permanently installed
units. In addition to its international
sales agents, MPR became the operating
company for MPR Middle East WLL (MME),
a joint venture between Gulf Technologies
WLL and Tessenderlo NL Holding BV.,
based in the Kingdom of Bahrain.
MME will service the energy industry in the
GCC and Egypt.
The TKI Refinery Services model is being
pursued with refineries in the U.S.A. TKI
has production plants linked to refineries
to recover sulphur and other residuals that
are in turn used to manufacture sulphurbased
fertilisers.

Tessenderlo Group
Strategy and prospects
for 2009
The volumes for potassium sulphate
are expected to fall below 2008 levels in
Europe. Farmers have trouble obtaining
credit from their banks and will not be able
to place orders.
Sales of SoluPotasse® will continue to
rise. The growing shortage of water and
agricultural land forces farmers to switch
to drip irrigation that requires more watersoluble
fertilisers.
It is yet to be seen how the world
financial markets will affect
Tessenderlo Kerley and its business
unit’s performance in 2009. It will
be a challenging year, one that will
be influenced by commodity pricing,
availability of raw materials, declining
world oil prices and the availability of
water in the Western US for agriculture
enterprises. TKI will continue to
develop and extend its activity model of
diversification and profitable growth by
acquisitions and maintain its position as a
lower cost producer in its major markets.
Prices will probably remain stable or
drop slightly. However, margins will be
maintained.
With the set up of a dedicated division for
feed ingredients, Aliphos, Tessenderlo
Group wants to optimise its production
facilities for animal feed phosphates.
Demand for animal feed is declining
fast due to dropping meat consumption,
the result of the worldwide economic
crisis. Phosphate prices are expected to
drop significantly compared to late 2008.
Volumes will however be similar to 2008
levels because more mineral calcium will
again be used in animal feed instead of the
phytase enzyme.
After a strong 2008, Thio-Sul® (ammonium
thiosulphate) fertiliser sales of TKI will
come under pressure in the first quarter
of 2009 due to carry-over inventory on the
dealer/distributor level and further fear
of prices moving downward in the market
place. Lower farm commodity prices
in relationship to input costs will be an
influence in 2009.
Allocation of speciality fertiliser products
in the market place will continue through
2009. The completion of the KTS®
(potassium thiosulphate) and CaTs®
(calcium thiosulphate) plant in Ham,
Belgium in 2009 will help in alleviating a
portion of the supply situation. TKI’s plant
nutrients main challenge will be the
33

annual report 2008
availability of raw materials and the rising
costs of these inputs.
of the Specialities business group as from
1 January 2009.
34
The challenges for the crop protection
business unit in 2009 will be to expand
the cropping applications for the new
products; striving to become the least-cost
producer in all of the NovaSource ® range
and adding profitable new products to its
existing business base.
Unlike the other products of the Chemicals
business group which can be considered as
commodities, TKI products are specialised
products for Tessenderlo Group and as
such constitute an area of growth for the
future. For this reason, financial reporting
about TKI activities will be part
Strategy for the
inorganics business
unit
• Reduce production costs
throughout the value chain as
much as possible.
• Seek alliances in order to
strengthen our competitive
position.

Tessenderlo Group
PVC / Chlor-Alkali
The PVC activity has experienced a difficult year. Until the start of the autumn,
sales volumes were at the same level as in 2007. Prices were generally high but
with gradually decreasing margins. Demand and margins plummeted in the fourth
quarter.
Activities and products
Vinyl chloride monomer (VCM) is the main
raw material in the production of polyvinyl
chloride (PVC). VCM is produced from
chlorine or hydrochloric acid and ethylene.
Chlorine and hydrochloric acid are
produced at the same site at Tessenderlo
(Belgium) making road transport
unnecessary. Ethylene is bought in
externally and delivered via a specially
designed secure and environmentallyfriendly
pipeline network.
Netherlands and in Northern France.
These two plants are among the largest
in Europe, with a total capacity of 480,000
tonnes.
PVC is one of the most versatile plastic
resins in the world. It has a very extensive
range of applications, ranging from plastic
pipe systems, window and door profiles,
flexible and hard films and sheathings for
cables and wires.
Trends and facts in
2008
35
Chlorine is produced in the group’s
electrolysis units, while hydrochloric
acid is a by-product of the production of
sulphates, allowing a unique integration of
raw materials to be achieved. Tessenderlo
Group’s annual VCM production capacity is
550,000 tonnes.
The polymerisation of VCM to PVC occurs
at two locations, in the South of the
The crisis in the
construction and
automotive industry has
resulted in a sharp
decline in PVC use
During the first six months of the year,
sales volumes were slightly higher than in
2007. Margins deteriorated as a result of

annual report 2008
the continued increase of ethylene prices
that follow the evolution of oil prices.
Demand quickly slowed down after the
summer and the fourth quarter turned
out to be a catastrophe. Sales dropped by
an average of around 30 %, a reflection of
the crisis in the most cyclically sensitive
sectors, such as the construction and
automotive industries. In addition, the
plummeting of raw material prices at the
end of the year and scarce credit resulted
in a general reduction of stocks.
Outlook for 2009
has resulted in a sharp downturn of the
construction industry in Eastern Europe as
well.
In the long term, PVC will continue to
be a competitive commodity business.
Therefore, Tessenderlo Group is continuing
to focus on cost reduction, increased
productivity and the improvement of
quality and service. This is the only way
for Tessenderlo Group to strengthen its
position as a specialist in the field of
suspension PVC.
36
Forecasts remain unfavourable as long as
the general economic climate does not pick
up. This seems to be improbable for 2009.
Ethylene prices will probably be negotiated
on a monthly basis instead of every quarter.
This means PVC prices will fluctuate even
more. Furthermore, imports from the
United States and Asia, where production
costs are lower, also threaten prices.
Focus on low costs and
high productivity to
strengthen our market
position
Strategy for the PVC
activity
Forecasts for PVC
for 2009 are not
very bright
The European PVC market has become
a mature market with minimal growth
potential. The current financial crisis
• Keep costs throughout the value
chain as low as possible.
• Offer maximum added value
with existing products and
resources.
• Pursue maximum productivity.

Tessenderlo Group
Chlor-Alkali / PVC
In 2008, the profitability of the Chlor-Alkali activity was mainly determined by caustic
soda and caustic potash. Although the margins of these products were higher than
in the previous year, they were not sufficient to compensate for the deteriorating
margins of the PVC activity. The project for the construction of an electricity power
station by 2011 is on schedule.
Activities and products
The electrolysis departments of
Tessenderlo Group have an annual capacity
of 400,000 tonnes of chlorine. This is
mainly used internally for the production
of vinyl chloride monomer (VCM), used to
make polyvinyl chloride (PVC), and in fine
chemicals.
Caustic potash and caustic soda are
released during the production of chlorine.
Caustic potash is used in food processing,
fertilisers, alkali batteries, defrosting
products for airports, detergents and
other processes within the chemical
industry. Caustic soda is used for water
purification and in the manufacture of
soaps and detergents. In addition to these
areas, there are many applications in the
chemical, the aluminium and the paper
industry.
From these electrolysis basic products,
various products are derived which are
used in photography, the food sector, water
purification and the extraction of ores.
Ferric chloride and aluminium chloride
are also produced in addition to the classic
electrolysis products. Both products are
indispensable in the fast-growing water
purification sector.
Trends and facts in
2008
The prices of caustic potash rose in the
second half of the year above the level
of 2006-2007 due to the shortage of the
product in the United States. European
stocks were practically consistently below
the long-term average. Demand remained
high until the autumn but dropped sharply
in the last two months of the year.
37

annual report 2008
The prices of caustic
potash and caustic soda
were higher than in 2007
This had no effect on the margins for the
derivatives bleach and ferric chloride.
The prices for sodium sulphide lagged
behind.
From the third quarter onwards, the prices
of caustic potash rose to unprecedented
heights, the result of an acute and
worldwide shortage of the raw material
potassium chloride. This meant demand
could not be fully met.
The construction of
our own electricity power
plant in Tessenderlo
has started
38
The margins of caustic soda as well as
caustic potash both rose in comparison
with 2007.
The T-Power project has started for the
construction of a 420 MW natural gas-fired
electricity installation at the Tessenderlo

Tessenderlo Group
site. Completion is targeted by 2011, has
started. The modern, high-performance
power plant will result in a reduction of
electricity transportation costs, and in
addition, increase the competitiveness of
the site in Tessenderlo.
Outlook for 2009
remains scarce and expensive. However,
lower demand should soon restore the
balance.
The prices of caustic soda continued
to rise at the beginning of 2009, and a
considerable price reduction is unlikely in
2009.
The expansion of the ferric chloride
capacity in Tessenderlo (Belgium) with
30,000 tonnes has been delayed slightly
and is sheduled for a spring start-up. This
expansion will help meet the growing
European demand for ferric chlorides
mainly used as coagulants in the treatment
of drinking water and the purification
of wastewater. This investment also
strengthens the position of Tessenderlo
Group as the number two producer of ferric
chlorides in Europe.
Increased capacity
shall strengthen our
position on the ferric
chloride market for water
purification
The cost price of electricity may rise once
again. Currently, potassium chloride
used for the production of caustic potash
The margins for caustic potash are less
predictable. They will mainly depend on
the evolution of supply and the price of
potassium chloride.
Strategy for the
Chlor-Alkali activity
• Reduce costs and offer
maximum added value
with existing products and
resources.
• Maximise our competitive
advantages.
• Invest in specific projects with a
high added-value potential.
39

annual report 2008
Plastics Converting
For over twenty years, Tessenderlo Group has resolutely pursued a
downstream integration policy. With this goal in mind, the group has
taken over several PVC converters holding numerous patents and
registered trademarks in Europe and the United States. The products,
comprising profiles and plastic pipe systems, are almost all intended for
the construction and renovation sectors. Another activity that is closely
linked to PVC processing is the production of compounds for the injection
and extrusion market. The Plastics Converting business group is also
responsible for distribution to end-users in a number of countries. This
40
enables it to improve its market position and profitability.
2008 in a nutshell
Overall, 2008 was a difficult year for the Plastics Converting business group. Total
sales fell by 3 %. Plastic Pipe Systems were initially affected less than Profiles and
Compounds. However, the economic crisis also made its impact felt in this sector
over the last quarter. The decline of the construction market which started in the
United States in 2007, hit Great Britain and the European continent in the second half
of 2008. Activities dropped while raw material prices remained high, in line with the
cost of oil. Lower oil prices at the end of last year will only be felt in 2009, with lower
raw material prices and higher margins.

Tessenderlo Group
Key figures
2008 2007
Revenue (millions EUR) 776 816
REBIT (millions EUR) 22 49
ROCE (%) 7 13
Capital expenditures (PP&E) (millions EUR) 29 33
Headcount 3,517 3,349
Market leadership
• The number one producer of plastic
pipe systems in Benelux and the third
largest in France
• The largest TPE compounder
(thermoplastic elastomers) and
the fourth largest producer of PVC
compounds in Europe
• British market leader for pvc-profiles
• One of the leading suppliers of
compounds for dasboards (Marvyflo®)
at world level.
41
Revenue breakdown over 10 years
(millions EUR)
800
600
IFRS
776
400
200
0
99
00
01
02
03
04
05
06
07
08

annual report 2008
Profiles
The sharp decline of the construction market in 2007 spread across the whole of
Europe in 2008. Sales in the Profiles business unit dropped as a result of this decline
by 3 %. Lower sales were also accompanied by an increase of raw material prices
which reduced profitability.
42
Activities and products
The Profiles business unit brings together
the production of various PVC profiles for
the construction industry, such as door,
window and conservatory profiles, profiles
for roofline, fences, the cladding of façades
and various finishing products.
Trends and facts in 2008
The market slowed down substantially in
Great Britain, especially in the second half
of the year. Despite these unfavourable
conditions, the Profiles business unit is
continuing to invest in the development of
its activities.
This is reflected in the further growth of
the distribution network that consisted
of 90 depots at the end of the year, and a
number of acquisitions:
• Eurocell, a subsidiary of Tessenderlo
Group and the British market leader
in the production and distribution
of PVC window and roofline profiles,
acquired distributor Peninsula Plastics
in March. Peninsula Plastics recorded a
turnover of more than 3 million pounds
and has distribution branches in the
northwest of England. The locations
complement the existing Eurocell
branch network, resulting in the
company strengthening its presence
in this part of the country.
• In April, Eurocell announced the
acquisition of the assets of Sprint
1233, formerly known as Plastmo
Profiles Ltd. based in Northampton.
The acquisition and the transfer of the
activities to the Alfreton production
site increase production efficiency and
Eurocell’s market share.

Tessenderlo Group
• In December, Eurocell acquired
Cavalok Building Products. Cavalok
produces window and door cavity
closer systems made from postconsumer
recycled PVC. The range
complements Eurocell’s existing
products and serves to strengthen the
company’s market position further.
Substantial expansion
of the product range and
distribution network in
Great Britain
The product offering in Great Britain was
further expanded to include a number
of innovations. In 2008, the range of
composite doors was expanded with new
products that do extremely well in terms of
safety as well as looks. The Thermologik
window system was introduced on the
market to meet the new standards for
energy-friendly homes. Two new systems
for rotating and vertically sliding windows
were also launched.
Thanks to the acquisitions and new
products, sales – expressed in pound
sterling - in the UK rose by over 9 %,
despite a slowdown of the market. Due to
high raw material prices, profitability was
much lower than previous years.
In Eastern and Central Europe, where the
market also slowed down, we consciously
chose to scale down activities in regions
where margins are too low. From the third
quarter, this was reflected by 10 % lower
sales compared to the same period in 2007.
Profitability was also considerably lower.
43

annual report 2008
44
In this context, the business unit
concentrated its activities on the European
continent in Benelux and France. The
introduction of new window systems and
the improvement of existing products meet
new market requirements with respect to
durable and energy-efficient construction
materials.
New window systems
meet the demand
for durable and
energy-efficient
building
The strategy of creating synergies between
Wymar (Belgium) and Plastival (France)
gained momentum during 2008.
The situation in the United States was
even less favourable than in 2007. The
number of new-build and renovation
projects alike dropped dramatically. With
the introduction of new products, Chelsea
Building Products (CBP) again succeeded
in confining the sales decline to less than
10 % while the market contracted overall
by 20 %. Due to the dollar exchange
rate, high raw material prices in the
United States had a stronger impact on
profitability than in Europe.
In 2008, efforts were made in the
development of composite windows,
where metal is replaced with plastic.
This important innovation has the major
benefit that own materials can be used and
purchasing of metal can be limited.
Sales of Chelsea
Building Products (US)
fell less than the market
average
Wymar, which produces PVC profiles for
windows and doors, as well as interior and
exterior finishing systems, is continuing
to develop new, lead-free systems. The
objective in the long term is to phase out
lead as a material to stabilise PVC. Thanks
to the wider range of products, sales of
these new environment-friendly systems
are increasing while the share of the
traditional systems is dropping.
In Canada, an oil-producing country, the
impact of the economic crisis was only
felt at the end of the year, when oil prices
began to drop. Slightly higher sales could
not compensate for raw material price
increases which meant profitability also
decreased in this country.
In 2008, the merger of the production units
in Jonquière and Montreal on one site

Tessenderlo Group
in Montreal was completed. The site in
Jonquière was closed.
Innovations in 2008 included the
development of new patio doors. These will
be introduced onto the market in 2009.
material prices following the drop in oil
prices towards the end of 2008, will provide
the leverage to restore margins.
The synergies between Wymar and Plastival
will also bear fruits from 2009 onwards.
Outlook for 2009
Due to the worldwide economic
uncertainty, it is very difficult to make
predictions. Improvements in the
construction sector are not predicted for
the immediate future. Low margin levels
in Central and Eastern Europe should bring
Tessenderlo Group to reveiw its position in
these markets.
The development
of new products
continues
To meet these challenges, the Profiles
business unit will adjust its production
capacity to market conditions where
necessary. In the United States and Great
Britain, the development of new products
will continue. The distribution network in
Great Britain will also be expanded further.
Strategy for the
Profiles business unit
• Increase the profitability of
the European continent region
through operational excellence
and synergies between the
production units.
• Expand and improve the
distribution network in Great
Britain to obtain further growth
and higher profitability.
• Continue to expand the product
range in the United States
and Canada, and increase
profitability by maximising
the synergies between the
production units.
45
The focus in 2009 will be on increasing
profitability. In this respect, lower raw

annual report 2008
Plastic Pipe Systems
The Plastic Pipe Systems business unit succeeded in limiting the drop in sales
compared to 2008, despite the weak economic cycle. A slight increase during the
first three quarters could not fully compensate the decline in the fourth quarter.
Profitability fell slightly due to high raw material prices which could not be passed on
to the market swiftly enough.
46
Activities and products
The Plastic Pipe Systems business unit
produces pipes and fittings for water
supply and drainage systems, and pipe
systems for gas, telecommunications and
other applications. The raw materials are
PVC, polyethylene, and polypropylene.
Trends and facts in 2008
The business unit continued its strategic
growth, based on the two known pillars:
geographic expansion and a wider product
range, especially in the field of water
management.
Geographic expansion
and a wider product
range continue to be
the main growth pillars
In this respect, an important acquisition
was made in October. Tessenderlo Group
acquired Nyloplast Europe BV, a subsidiary
of Nyloplast NV. The Dutch company
Nyloplast Europe BV in ’s Gravendeel
produces plastic fittings for pressureless
piping systems in a large diameter for the
European market. The systems are used

Tessenderlo Group
for draining sewage and rainwater. This
major addition to the product range of
special fittings strengthens the position of
the Plastics Piping Systems business unit
in Europe.
With regard to Benelux, sales at Dyka
Belgium to the construction and public
works sectors rose by 4 %, despite a
decline of gas-related activities. These
favourable results can be explained by the
broadening of the product range.
Dyka sales in
Belgium rose
by 4 % despite
the crisis
In The Netherlands, activities were
maintained at the satisfactory level of 2007
but profitability fell slightly. The product
offering was expanded here too. Services
to customers were also improved by
developing e-business and adapting the
sales network. Specifically, a number of
depots were transferred to more accessible
locations and opening hours were adapted
to the customers’ requirements.
Conditions in France were extremely
unfavourable. While the situation in the
beginning of the year was more or less
respectable, the market plummeted in
the second half of the year. This had an
extremely negative impact on sales as well
as profitability.
The market in Great Britain also
experienced the impact of the economic
crisis. However, John Davidson Pipes (JDP)
was able to maintain sales at the 2007 level
in pound sterling. Despite the slight decline
in profitability, the situation in Great Britain
continues to remain favourable.
Strong growth of
activities in Central and
Eastern Europe
This also applies to the situation in Poland.
Operating out of the production units in
Poland, activities in Central and Eastern
Europe were able to be developed further,
thanks to higher product supply and a
larger distribution network. At the current
time, there are 13 depots in Poland, 3
in the Czech Republic and 1 in Slovakia.
47

annual report 2008
Sales rose by 20 % and profitability also
increased, despite higher raw material
prices. For Plastic Pipe Systems, this
region has the advantage that it is less
subject to the worldwide crisis than
Western Europe.
Outlook for 2009
The influence of the recession on the
construction and public works sectors
is difficult to forecast. The impact on
the Plastic Pipe ystems is expected
to be less due to the strong focus on
water management and interest in new
developments. The Plastic Pipe Systems
business unit will therefore continue its
trusted growth strategy as planned.
Furthermore, the acquisition of Nyloplast
Europe BV will contribute in full to our
results from 2009 onwards.
Innovating
systems available
in all countries
from 2009
48

Tessenderlo Group
The so-called biaxially oriented pipe
systems, which are produced by Sotra-
Seperef in France, have firmly established
themselves on the French market. They
will also be available in other countries
from 2009. The production process for this
type of piping systems requires that the
molecular structure of PVC is modified in
order to improve the mechanical properties
of the pipe. In particular, a biaxially
oriented pipe system withstands a higher
internal pressure than a normal PVC pipe
with the same wall thickness. This makes
it possible to reduce the amount of raw
materials required.
Polyethylene pipe systems for geothermal
applications is another innovative product
that performs well on the French market.
These will also be available in other
countries from 2009.
Dyka Rainclean, a new high-performance
system for the temporary collection and
storage of rainwater will be introduced in
2009. It filters and treats rainwater that is
recovered from roads and car parks, before
draining into the ground.
In order to offer optimal service in the
field of water management, the team
that performs the necessary calculations
for customers and develops water
management systems has been expanded.
Important steps were made in research
and development to design new lead-free
canalisation systems. Practically no lead is
currently used to stabelise PVC.
Strategy for the
Plastic Pipe Systems
business unit
• Further expand the distribution
network and improve customer
service.
• Offer complete systems
whenever possible by expanding
the product range.
• Maximise synergies between
the production units.
• Strengthen our presence and
growth in the Central and
Eastern European markets.
49

annual report 2008
Compounds
Like the other activities in the Plastics Converting business group, Compounds
also suffered in 2008 from the slowdown in the construction activity. Moreover, this
business unit also suffered the impact of lower car sales. PVC compounds were hit
the worst. The thermoplastic elastomers were also subject to the crisis. However,
sales to the construction sector and the automotive industry rose.
50
Activities and products
The Compounds business unit produces a
variety of ready-to-use PVC mixtures and
mixtures of thermoplastic elastomers.
These are mainly intended for the injection
and extrusion markets, with applications
in the construction industry (roller
blinds, façade cladding, window fittings),
the automotive sector (airbag covers,
dashboard skins, interior trims and sealing
systems) and the market for consumer
goods (handles for household appliances,
pens and toothbrushes).
Trends and facts in 2008
With regard to PVC compounds, sales
volumes dropped by more than 10 %. A
first explanation is the slowdown in the
construction sector, but high raw material
prices also played a role. Furthermore,
demand fell as a result of consolidation
within the companies that process the
compounds.
Lower demand and
higher raw material
prices have an adverse
effect on margins for
PVC compounds
Lower sales volumes and increased
supply in the market resulted in narrower
margins. Efforts to restore them inevitably
had a negative impact on sales volumes.
Saplast (France) suffered the most from
this, both on the home market and in
export countries.
The margins for plasticised PVC
compounds were under even more

Tessenderlo Group
pressure than those for non-plasticised.
Prices of softening agents used in these
products rose sharply during 2008.
The number of applications of
thermoplastic elastomers (TPEs)
continued to rise despite the economic
context affecting this activity too. However,
TCT Polska (Poland) and Thermoplastiques
Cousin-Tessier (France) managed to
increase sales by 5 % in 2008, both in
the construction sector as well as the
automotive industry.
Number of
TPE applications
increases thanks to
innovation
On the other hand, the profitability of this
activity was lower as a result of higher raw
material prices. These could only be passed
on in higher sales prices towards the end of
the year.
An important new compound was
introduced in 2008 to replace polyurethane
for the covering of car steering wheels.
Marvyflo®, a compound intended for
dashboards, was confronted with higher
raw material prices and a drop in demand.
The higher raw material prices could only
be charged to the market during the second
half of the year. In addition, the separate
management team for Marvyflo® which
was created in 2007, was able to improve
industrial performance and customers
service.
51

annual report 2008
Outlook for 2009
The expectations for the PVC compounds
market are not very favourable. There is
no indication that any of these sectors
will improve in the near future, and
especially not in the construction industry.
These activities are faced with two major
challenges. Firstly, to increase margins
to an acceptable level as a result of the
decreasing raw material prices. Secondly,
the production structures must be adjusted
to the lower volumes and the future
evolution of the market.
Production structures
for PVC compounds
must be adjusted to
lower demand
Margins are also a major concern for the
thermoplastic elastomers. It is expected
that they will reach their normal level
in 2009, considering the higher sales
prices and the lower raw material prices.
The impact of the economic crisis will
52

Tessenderlo Group
undoubtedly be felt. However, lower
volumes will be avoided thanks to several
new applications. The compounds listed
above for covering car steering wheels and
a number of developments in the sealants
sector are examples.
A new range of products will be introduced
in 2009, based on the Dow Chemical’s
‘Infuse’ polymers which Tessenderlo
Group is producing under licence for the
European market.
Marvyflo® is counting
on interest from the
automotive sector,
also in China
looks promising, with a growing share
of the dashboard skins market. In 2009,
Tessenderlo Group hopes to considerably
increase its sales to the automotive
industry in China. Although this sector
is currently experiencing difficulties, the
growth prospects are still quite attractive.
Strategy for the
Compounds business
unit
• Reduce costs by producing
as effectively as possible and
through operational excellence.
53
Specifically for Marvyflo®, increased
demand from the automotive industry
is key. Currently, preparations are being
made to have Marvyflo®, certified for
new car models that will be marketed
in the near future. Although this activity
will decrease slightly in 2009 due to the
contracting automotive market, the future
• Focus on speciality compounds.
• Further strengthen our
presence in the automotive
industry by increasing our
presence in the United States
and especially Asia.

annual report 2008
Specialities
The Specialities business group consists of a number of diverse activities which
differ by the added value that they create. The Fine Chemicals business unit
deals partially with raw materials that are produced by Tessenderlo Group
itself. These raw materials are transformed into specialist products for the
agro-chemical, pharmaceutical and perfume industries. The Gelatin business
unit turns the skins and bones of cattle and pigs into high-quality gelatin
for use in the food and pharmaceutical industries. The Natural Derivatives
business unit processes animal and vegetable by-products for use as raw
materials in pet food and in the soap industry.
54
2008 in a nutshell
The Fine Chemicals business unit did not perform so well in 2008. While the
operating result of organic chlorine derivatives was satisfactory, the intermediates
and active ingredients for the pharmaceutical industry performed less favourably. On
the other hand, the Gelatin business unit had an excellent year. Despite the economic
crisis, demand for gelatin continues to grow, in part as a result of new applications
and developments. The Natural Derivatives business unit recorded a satisfactory
year. In the quest for new activities of a high added value, further diversification into
the valorising by-products based on cereal crops was initiated.

Tessenderlo Group
Key figures
2008 2007
Revenue (millions EUR) 587 563
REBIT (millions EUR) 35 32
ROCE (%) 10 10
Capital expenditures (PP&E) (millions EUR) 28 29
Headcount 2,755 2,763
Market leadership
• The largest producer of benzyl
acetate, benzyl chloride, alphahexylcinnamaldehyde
at world level
• The number two producer of benzyl
alcohol worldwide
• The third largest manufacturer of highquality
gelatins worldwide
55
Revenue breakdown over 10 years
(millions EUR)
600
500
400
300
200
100
0
IFRS
587
99
00
01
02
03
04
05
06
07
08

annual report 2008
Fine Chemicals
The intermediates and active ingredients for the pharmaceutical industry did not
perform so well in 2008. In addition, contrary to expectations, the ‘organic chlorine
derivates’ activity was unable to sufficiently sustain the positive trend of 2007. The
Fine Chemicals business unit was hardest hit by the impact of the weak dollar. The
competitive loss and the lower margins which were the result of this in the first half
of the year were compensated in the second half of the year.
56
Activities and products
A first segment comprises the
manufacturing of intermediates and active
pharmaceutical ingredients. The business
unit is the preferred supplier to important
international pharmaceutical companies.
Tessenderlo Group’s glycine and glycine
derivates mainly have applications in the
pharmaceutical industry.
The second segment comprises organic
chlorine derivatives, whose production is
mostly based on toluene combined with
chlorine produced by Tessenderlo Group
itself. Toluene derivatives are produced
for customers in the agro-chemical,
pharmaceutical and perfume industries.
Close cooperation between the various
Tessenderlo Group units makes it possible
to work in a highly flexible manner
1. Intermediates and active
ingredients for the
pharmaceutical industry
Trends and facts in 2008
The results for the intermediates and
active ingredients for the pharmaceutical
industry are lower than in 2007. However,
these activities performed much better
than planned in the first half of 2008
because a number of customers ordered
higher quantities than initially planned. On
the other hand, demand in the second half
of the year was lower for this very reason.
Furthermore, many customers delayed

Tessenderlo Group
their purchases in view of the economic
situation.
Tessenderlo Group is committed to
providing quality on a continuous basis
to ensure that its products meet the
standards and guidelines in its various
markets. Within this context, the sites in
Italy and France were audited in 2008 by
the Pharmaceutical and Medical Devices
Agency (PMDA) of the Japanese Ministry
of Health. The PMDA inspections are
known to be the strictest in the world. The
outcome of these audits was excellent
- just like the other audits performed in
2008.
With regard to food safety, all current
studies concerning HACCP (Hazard
Analysis Critical Control Points)
were completed at the Belgian site in
Tessenderlo.
Strict and successful
audits confirm quality
guarantee
2008. In the beginning of the year, imports
from China of glycine for the manufacture
of additives for food and pet feed came to
a standstill. This meant that Tessenderlo
Group was able to produce large volumes
of glycine, and sales doubled in comparison
with the same period in 2007.
The business poured further investments
in the optimal treatment of waste flows.
Specifically, a number of incineration
installations were renovated or improved.
Focus on waste
treatment is key
in investment
programme
Due to increasing demand, the Farchemia
site in Italy has taken a new production unit
for benzoyl peroxide into service. Benzoyl
peroxide is used in the pharmaceutical
industry to produce ointments to treat acne
for example.
57
The sale of glycine for pharmaceutical
applications – of which Tessenderlo Group
is the last remaining manufacturer in
Europe – was overall at a normal level in
Outlook for 2009
The expiry of the patent protection for
a very successful drug will cause sales
volumes to drop considerably in 2009.

annual report 2008
The good news is that a number of other
active ingredients have been in the
development pipeline since 2007 and
2008. These products will not be able
to compensate for the decline in 2009.
However, they do offer good prospects
from 2010
and the British pound during the first
half of the year. This resulted in lower
competitiveness and margins. Raw
material prices were also unpredictable.
In a market with ample supply, these
price increases could not be passed on
completely to customers.
58
Products in the
development portfolio
can compensate for
patent loss as of 2010
In the meantime, Tessenderlo Group will
continue to promote itself as a company
that is not only strong in the field of
research and development, but can also
offer its customers pilot capacity. As such,
the company can guarantee quality as well
supply commitments.
2. Organic chlorine derivatives
Trends and facts in 2008
While 2007 saw a revival of the ‘organic
chlorine derivatives’ activity, this positive
trend could not be benefitted from
sufficiently in 2008.
Same as the intermediates for the
pharmaceutical industry, organic chlorine
derivatives also suffered from the volatile
exchange rates of the American dollar
Volatile exchange rates
and raw material
prices had an adverse
effect on competitiveness
and margins
The situation improved initially in the
second half of the year. Sales prices and
margins rose. However, demand for all
products dropped drastically in December.
With regard to investments in 2008, the
site in Pieve (Italy) decided that one of the
two hydroelectric power stations will be
renovated. Besides a slight increase of the
power capacity, the major advantage is
the fact that the company will obtain green
energy certificates for this investment.
Works are scheduled to begin in 2009
and will be carried out during the winter
months for three years, in order to reduce
interruptions in manufacturing to a
minimum.
Contrary to earlier announcements
made as part of the industrial plan for

Tessenderlo Group
the company, the electrolysis will not be
discontinued in Pieve. Sufficient sales
have materialised in the meantime for
the electrolysis products, in line with the
available capacity.
However, the production of
chlorobenzenes will be discontinued as
announced but this will be later than
initially planned. An extra investment for
the production of synthetic hydrochloric
acid will be implemented first, as decided
in 2008. The production of chlorobenzene
can then be discontinued at the end of
2009 or the beginning of 2010.
Improvement of cost
structure should not
influence productivity
and capacity
Outlook for 2009
Competition from China and India is
expected to increase in all areas, from basic
chemicals to the advanced pharmaceutical
intermediates. In view of the economic
situation and the fluctuating raw material
prices, it is impossible to make any
predictions for the future.
However, next year we shall continue to
work towards improving the cost structure
but without affecting productivity or
production capacity.
The products of the Organic Chlorine
Derivates business unit have evolved to
become commodity products and are now
more closely related to the products, the
activities and the strategy of the Chemicals
business group. As such, they will be part
of the latter as from 1 January 2009.
Strategy for the Fine
Chemicals business
unit
• Intermediates and active
ingredients for the
pharmaceutical industry
Strengthen the position as
a supplier of intermediates
and active ingredients for the
pharmaceutical industry.
• Organic chlorine derivatives
Reduce the cost structure
throughout the entire value
chain and maximise added
value in order to increase
profitability.
Consolidate the activities and
integrate them in the Chemicals
business group as from 2009.
59

annual report 2008
Gelatin
2008 was another outstanding year for the Gelatin business unit, despite the
worldwide economic downturn in the second half of the year. The results rose
sharply. The reversal that began in 2007 continued in this sector. This positive trend
was strengthened by the continued growth of the demand for gelatin.
60
Activities and products
The Gelatin business unit produces a wide
range of quality gelatins based on the
bones and skin of pigs and cattle. About
two thirds of the gelatin is intended for
the food industry. Gelatine is a gelling
agent and an important source of protein,
and it contains no cholesterol, fat or
carbohydrates. It is also converted into
specific foodstuffs for diabetics and
products with a low glycaemic index, and
it is produced for the pharmaceutical
industry (capsules) and a wide range
of technical applications (such as
photography).
good prices for the by-products fats and
phosphates. In the beginning of the year,
sales prices of gelatin dropped due to
ample market supply. The second half of
the year was characterised by a shortage
of rind as a raw material and this resulted
in lower production levels in Europe. This
resulted in a lower supply of rind gelatin on
the market with prices gradually rising and
payment terms tightening.
Demand for
gelatin rose
despite the
economic crisis
Trends and facts in 2008
The results of the Gelatin business unit
rose by 20 % in comparison with 2007.
This growth was mainly a result of the
At the same time, demand in various
markets evolved favourably. The estimated
world production output grows by around
4 % each year.

Tessenderlo Group
• In the new economies, including China,
the use of gelatin in the food sector
continues to rise. The use of gelatin in
confectionery, which was initially only a
European and American phenomenon,
is now more widespread in Asia too.
technical assistance for the production
and commercial activities, other market
segments could be approached for the
gelatins of the Chinese production unit,
such as the food sector and capsules for
the pharmaceutical industry.
• Demand from the pharmaceutical
industry continues to grow due to the
gradual aging of the population.
• The impact of digital photography
in the market for classic silver
systems for film has been dealt
with in the meantime. This is being
compensated by the growing demand
for photographic paper, although the
quality requirements of the gelatin are
lower for these applications.
Our American sites also experienced the
shortage of rind in the second half of the
year, but to a lesser extent than in Europe.
Lower production levels and their impact
on sales prices were less significant there.
For the joint venture in China, further
major efforts were made to improve
the quality of the produced gelatin. This
resulted in higher sales prices. Although
the results for the whole year are still
negative, positive figures were recorded
in the fourth quarter. Thanks to the
Chinese site will be
break-even in 2009.
Quality improvement
opens new markets
Research into new applications and
product development continued in 2008.
• The important role that gelatin plays
to reduce calories, especially when
combined with lower fat use, resulted
in a number of new applications in the
food industry, such as meat and cheese
production, and bakery applications.
The research into the healthy, biological
role of gelatin and related products led
to the first upscaling steps.
The role of
gelatin in healthy
food continues
to grow
61

annual report 2008
• The development of gelatins that
dissolve easily and are therefore more
user-friendly is ongoing.
• The gelatin hydrolysates with a low
molecular weight are on the threshold
of production. These types of gelatin
hydrolysates have a low gel strength
which means they dissolve more
easily and are absorbed faster by the
body. This is extremely important for
applications such as energy drinks.
of gelatin films. These have been
translated into the different production
preparations and will be used for a
further qualification in the pharma
sector.
• In 2008, the first steps were made
towards technological innovation of the
gelatin production process. This will be
continued in 2009.
Outlook for 2009
62
• In the past year, new insights have been
obtained into the dissolving behaviour
It is expected that sales prices will
continue to rise due to the growing

Tessenderlo Group
demand. This means that the higher
raw material and energy prices will be
compensated. In the second half of 2008,
price increases were introduced with a
delay which means that the adjusted sales
prices will only have their full effect in the
figures for 2009.
Impact of higher
sales prices will only be
felt fully in 2009
Strategy for the
Gelatin business unit
• To strengthen the position of
Tessenderlo Group as one of the
world’s top 3 players.
• To look out for new
opportunities in Asia and South
America.
There is a possibility that fewer cattle
hides will be available on the raw materials
market. The consumption of leather in the
automotive sector has dropped as a result
of the economic crisis and this means that
skin by-products for the gelatin industry
are more scarce. A solution is being sought
for this.
• To put in place optimal
synergies between the six
production units with a focus on
increased cost-efficiency.
63
Additional investments will be made in
China in order to maintain quality at a high
level. The joint venture in China is expected
to break even in 2009.
The Gelatin business unit is striving
towards further profit growth through
acquisitions, the starting up of new
sites and/or the optimal use of vertical
integration opportunities.

annual report 2008
Natural Derivatives
In 2008, the French subsidiary Caillaud was renamed the Akiolis Group, with its head
office in Le Mans. The new legal structure reflects the various activities of the group
and provides the foundation for the international development of Akiolis in the future.
This also includes a new and complementary scope, i.e. the valorising of by-products
based on cereal crops. This diversification is possible thanks to the know-how of the
group in the field of collecting, processing and selling valorised animal by-products.
This means Akiolis is able to expand its offering for producers of pet foods and
animal feed.
64
Activities and products
In this respect, Akiolis supplies:
Via the French subsidiary Akiolis,
Tessenderlo Group plays an important role
in collecting and processing animal byproducts.
Akiolis is the number two on the
French market and the third largest player
in Europe.
- bones for the extraction of gelatines
- proteins and animal fats for use in
pet food
- animal fats for the soap industry and
lipochemistry
- animal proteins for fertilisers
In the field of animal by-products,
Akiolis is active in two different but
complementary sectors.
• The valorisation of animal by-products
which are suitable for consumption.
• As a rendering plant, it handles the
collection and the processing of risk
waste, and protects hygiene on cattle
farms. The processed products are
mainly used as fuel by the cement
industry.

Tessenderlo Group
Diversification towards
the valorisation
of by-products based
on cereal crops
Since 2008, Akiolis is also active in the
valorisation of the by-products of cereal
crops from the food industry. These
products are meant for the production of
animal feed and pet food.
Trends and facts in 2008
The results of Akiolis are overall
satisfactory, thanks to the combined
effect of a number of contradictory
developments:
- a slight drop of volumes as a result
of a structural decline of cattle
farming in France;
- an improvement of the margins
thanks to very high market prices for
animal fats in the first ten months of
the year;
- higher production costs as a result
of more expensive energy and the
restructuring costs related to the
closing of four sites.
As far as production is concerned, the
market share in the fertiliser sector grew
considerably. The market prices for animal
fats remained high and this was very
favourable for the results of the rendering
plant activities for slaughterhouses that
make use of the services of Akiolis.
In 2008, major restructuring took place
after sites were acquired or demergered.
Furthermore, two production plants in the
west of France were closed. The rendering
plant activities in this region and the
supply of raw materials to be rationalised,
increased the productivity of the collection
and processing installations.
The rationalisation
of rendering
plant activities led
to higher
productivity
Productivity also grew as a result of
better management of the industrial
processes, combined with the introduction
of new information technology systems,
and thanks to an improved approach to
collection in all subsidiaries.
65

annual report 2008
Simultaneously, the group continued to
develop new markets. The collection and
processing of used household oil from
restaurants was extended to two additional
regions: the west and the Paris region.
In addition, a manager was hired for the
methanisation activity.
Akiolis has focused extra attention on
searching for markets that offer the
highest possible added value for the
finished products, especially within the pet
food industry. New markets were explored
abroad. Furthermore, new applications
were presented for existing products, such
as the use of degreased bones for filtering
in the sugar industry.
Outlook for 2009
Akiolis must adjust to the consequences
of the worldwide crisis in raw materials. In
this respect, the market price for animal
fats dropped by more than 50 % at the
end of 2008. However, the restructuring
efforts implemented in recent years should
alleviate the impact of this crisis, especially
for the meat-related activities.
66

Tessenderlo Group
Restructuring efforts in
recent years are helping
to alleviate the impact
of the crisis in raw
materials
Furthermore, the biofuel project using
animal fats is planned to start in 2009. This
project was delayed in 2008 because the
French government changed its subsidy
policy for this activity. Government aid
continues. However in the future it will be
linked to the environmental impact and
more specifically to CO 2
emissions. The
subsidies will also focus on the production
of second-generation biofuels. Akiolis
meets both conditions.
Strategy for the
Natural Derivatives
business unit
• Strengthen our market position
in the sector of collection and
processing of animal byproducts.
• Develop new applications such
as the biofuel, pet food and
methanising projects.
67
In July 2009, the rendering plant activities
were completely privatised and they will no
longer be a public service.
Akiolis continues its policy of consolidation
by dealing with ISO certification for the
various sites in a straightforward manner,
by implementing the new IT system
across the entire group, and by focusing
recruitment efforts.
Finally, our efforts in the field of
methanising should result in specific
projects across the whole of France.

MAKING
IT
LASTING

Sustainable entrepreneurship is an
ongoing assignment for Tessenderlo Group. We are committed
to the environment, and the safety and health of our employees
and the population, in all our activities. We constantly
measure the impact of our activities on humans and nature,
and strive to reduce this to a minimum.
69

annual report 2008
Commitments
Human Resources
70
Employment
In 2008, the headcount rose from 8,121
to 8,237. The workforce mainly increased
in Plastics Converting, through the
acquisition of Nyloplast in the Netherlands
and the ongoing development of the
Eurocell activities in Great-Britain. This
rise largely exceeded the slight drop of
the workforce in the other activities of the
group.
Within Chemicals headcount slightly
fell as a result of previously initiated
restructurings. As in Plastics Converting,
the workforce in Specialities increased
due to an acquisition. Additionally, organic
growth of the activities positively influenced
the headcount in Plastics Converting.
Human Resources
policy
The Management Committee is strongly
convinced that high-performing employees
are crucial for success and for achieving
the strategic objectives in a complex and
ever-changing economic context.
To implement this vision in concrete
terms, the HR department has been
developed further at group level and the
roles of Corporate Talent Management,
Compensation & Benefits, and Operational
Design & Development, and HR projects
have been created.
The core mission consists of the following:
• to attract and retain the best available
employees

Tessenderlo Group
• to detect and develop talent in the
company for future management
positions, and to develop and maintain
the necessary know-how
• to support changes within the company
and the organisation structure
• to implement a remuneration policy that
motivates employees and that is in line
with market conditions
• to strengthen constructive co-operation
within the entire company
Corporate Talent
Management
To accomplish this, a Performance
Management Cycle for the entire
Tessenderlo Group will be implemented
in 2009. This is a process of motivating
and inspiring managers and employees
to perform actions that contribute to the
achievement of the team, department
and organisations goals and to the
71
Employment per business group
Employment per country
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
0
500
1,000
1,500
2,000
2,500
Chemicals
1,965
France
2,277
Specialities
2,755
Belgium
United Kingdom
2,073
1,393
Plastics Converting
3,517
North America
Netherlands
685
660
Total
8,237
Italy
289
South America
199
Germany
90
China
304
Others
267
Total
8,237

annual report 2008
72
implementation of its strategies in an
effective and efficient way, with respect
for individual growth and aspirations
and shared values. This Performance
Management Cycle will be the basic tool
for Training and Development, Reward and
Talent Review & Succession Planning.
In addition, the recruitment process is set
to be made more professional in light of
the ongoing war for talent by promoting the
employer branding of the group and the
introduction of competence management.
Furthermore, the implementation of a
Succession Planning cycle for the top
management will also get underway, linked
to the strategic objectives in the short and
medium-long term of the Business.
In addition, investments are also being
made in Training Development. One of
the principal projects is the offering of an
International Customised Management
Development Programme for our
executives. In co-operation with a number
of external partners, including the Vlerick
Leuven Ghent Management School we are
offering an 18-day programme, spread over
a year. The programme is a tailor-made
mini-MBA and consists of 6 modules with
a due focus on business understanding,
personal leadership, personal mastery and
project management.
Moreover, many other training initiatives
exist for all employees at all levels for
acquiring technical knowledge and skills,
using IT tools, languages, communication
techniques and people management skills.
Compensation &
Benefits
In 2008, a variable pay system was
introduced for the group’s top management
as part of the implementation of the
Performance Management project. In
addition, preparations were made for the
introduction in 2009 of a variable bonus
plan for all managers.
The salary house that was built for all
Business activities was benchmarked
to ensure internal fairness and external
competitiveness of the remuneration
package.
The expatriation policy is constantly being
adapted to the ever-changing social trends
in this respect, and pension schemes
are adapted to the changes of statutory
regulations in the various countries.

Tessenderlo Group
Organisation Design &
Development
In 2008, the development of common tools
such as Job Descriptions and Job Grading
began for all companies of the group, in
order to optimise the change processes and
the efficiency of the HR policy with regard to
the ongoing evolution of the organisation.
Job classification which had already been
developed for the top management and
managers of the Chemicals business
group was also implemented in the other
business groups in 2008.
Evolution of the average employment figures for Belgium and abroad
73
10,000
8,000
Total : 8,230
6,000
Abroad : 6,151
4,000
2,000
Belgium : 2,079
0
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008

annual report 2008
Environment, quality, safety and risk management
74
Manufacturing in a way that is
environmentally responsible, taking into
account the health and safety of employees
and the population, is a fundamental
requirement for every industrial activity.
For this very reason, Tessenderlo Group
is committed to protecting people and
the environment as a key consideration
in its day-to-day policy. In this respect,
we aspire to go further than the statutory
requirements. To accomplish this objective,
the group makes available considerable
funds each year.
To lend substance to this policy,
Tessenderlo Group relies on internationally
recognised principles, including
Responsible Care, Best Available
Techniques, ISO 14001, OHSAS 18001 and
NFPA standards. These serve as a guide for
optimisation.
Incidents must be avoided at any cost -
every accident can be prevented in theory.
This can be achieved by putting in place the
necessary precautions. Multi-disciplinary
teams analyse the situation in the field on
a continuous basis for this purpose. It is a
key element of the ‘learning organisation’.
Strict health and safety and environmental
standards apply for the various sites of
the group, including those with a low-risk
classification. These standards are applied
through an active risk management policy,
the company’s own audits and insurance
audits.
Trends and facts in
2008
Environmental care
Each year, extensive investments are
made in environmental projects in each
of the various sites. Thanks to this
policy, emission levels have already been
substantially reduced in the past.
In 2008, Tessenderlo Group also invested
in various projects that benefit the
environment.

Tessenderlo Group
Product stewardship
As part of the preparations for REACH,
the new chemicals policy of the European
Union, the focus in 2008 was on the
so-called phase-in substances. A total
of more than 500 substances were preregistered
for 18 legal entities with the
European Chemical Agency (ECHA). The
highest number of registrations was for
the pharmaceutical subsidiaries Calaire
Chemie (France) and Farchemia (Italy).
Mobility and Transport with regard to the
ADR regulations.
The voluntary commitment by the PVC
industry, which has been signed by the
group, delivered the expected results. For
more information about the commitment,
and the results, please log on to
www.vinyl2010.org. www.vinyl2010.org.
In addition, within the framework of
REACH, consortiums were set up where
producers and importers jointly prepare
the applications for the registration of
certain substances. One example is that
of the chlor-alkali products. Tessenderlo
Group will play a leading role in a number
of consortiums, such as the consortium for
caustic potash as just one example.
Risk analyses were carried out in
collaboration with the production units, on
products that are used in food and animal
feeds.
In 2008, the Tessenderlo site was visited
by the Organisation for the Prevention of
Chemical Weapons (OPCW). The inspection
was completed without remarks. A
successful audit was also carried out by
the Federal Government Department for
Water, air and soil
In 2008, several of the group’s sites
carried out investments to further reduce
emission levels into the atmosphere and
effluent discharges to the lowest possible
levels.
The re-licensing application for the three
sites of Tessenderlo Chemie in Limburg
(Belgium) was successfully completed in
December 2008. The Flemish government
has renewed the environmental permits
for a period of twenty years. This was
made possible thanks to the intensive
dialogue between the company and the
government.
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annual report 2008
Under the terms of the agreements,
salt discharges will be reduced to
one tenth of current levels by 2014 at
the latest. For this purpose,
10 million EUR are being invested
in the modification of the production
installations in the plant at Ham. In
addition, 20 million EUR will be invested
in cleaning up sludge basins, and the
company will co-operate to clean up the
historic pollution of the banks of the local
streams Laak and Winterbeek.
Focus on energy
The necessary energy surveys were
carried out in 2008 in the companies that
signed the Flemish Covenant on Energy
Benchmarking. These surveys serve as the
basis for the energy plans for the period
2008-2012.
A better insight into the energy situation
resulted in further energy savings in
several places.
76
Thanks to the new production process used
in Ham, considerably less sludge needs
to be stored. This means that 30 hectares
of land will become available for new
industrial estates. In joint agreement with
the Flemish and the Limburg authorities,
Tessenderlo Group is keen to convert the
vacant space in Ham into industrial land.
Its location along the Albert canal is an
important advantage.
Quality department
In 2008, the quality department continued
to assist the various departments in
implementing and maintaining the quality
management systems in accordance
with the international standards, and
maintaining the required certificates for
the marketing of products in the various
markets.
With regard to the historic soil
contamination of the factory sites in
Limburg, the extent of the contamination
has been outlined in descriptive soil
surveys as agreed with the public
authorities. These surveys specify the risks
as well as the necessity to clean up the soil.
At the same time, the soil decontamination
activities that were already underway, are
being continued.
Health, safety and risk management
The production units of Tessenderlo Group
made major investments in health and
safety in 2008. For example, a new digital
work permit system was introduced at
the sites in West-Limburg (Belgium).
Preparations for maintenance works now
occur in a uniform and structured manner.

Tessenderlo Group
These preparations are an important step
in the safe execution of any given project.
In the factory, a focus of attention is
made to go out to communicate on
health and safety, for example at the
toolbox meetings. Small panel groups
are put together to discuss specific
health and safety topics on the shop floor.
Opportunities for improving health and
safety are also discussed during the health
and safety observation and communication
tours.
The standard training for operators also
focuses on health and safety. The socalled
TOPS project (Training Operators)
also gives practical tips on working safely,
alongside basic health and safety aspects.
The Risk Management Department carried
out health and safety audits in the past
year in the following plants:
• China:
Taile Chemical Industry (Lianyungang)
PB Gelatins (Ping Yang)
• Poland:
Dyka Warehouses (Wroclaw and Lotz)
• The Netherlands :
Nyloplast (‘s-Gravendeel)
Many other sites were audited by
an external insurance company, in
collaboration with the Risk Management
Department. All of these served to confirm
that the initiatives of Tessenderlo Group
to increase the health and safety of its
employees, the company, the surroundings
and the environment, are effective. Another
very positive conclusion is that this is a
continuous and dynamic process. The
following factories were audited in 2008:
• United States:
Jupiter Sulphur LLC (Ponca City)
77

annual report 2008
78
Tessenderlo Kerley (Coffeyville)
PB Leiner (Davenport)
• France:
Caillaud (Saint Langis)
France Gras (Le Sourn)
Point (Viriat)
Plastival (Clerval)
• The Netherlands:
LVM Limburg BV (Beek)
Tessenderlo Chemie Maastricht
Tessenderlo Chemie Rotterdam
• Italy:
Tessenderlo Italia (Pieve Vergonte,
Ceppo Morelli and Megolo)
Farchemia (Treviglio)
• Germany:
PB Gelatins GmbH (Nienburg)
• Poland:
Dyka Polska (Wroclaw)
TCT Polska (Sochaczew)
• Belgium:
PB Gelatins (Vilvoorde)
The Risk Management Department
primarily focused its attention on
prevention. For example, a DVD was
distributed with examples of good and bad
human conduct on the shop floor. The DVD
is available to be used in all departments
of the group for training purposes. The
department also gave presentations to
the commercial teams on product liability
and how problems can be avoided. The
department also continued work on
the development of health and safety
standards for Tessenderlo Group as a
whole.
Community relations
A crucial aspect of corporate social
responsibility is good community relations
in the way Tessenderlo Group maintains
with the local community around the
various sites. It is very important that
the company and local residents have a
good relationship. Openness and good
communications play a key role in this
respect. A good example of this are the
open house days when local residents
are informed about the activities at the
production sites.
The social role of the company goes even
further than the immediate surroundings.
It is especially important that youngsters
receive objective information about
the chemical industry in general and
Tessenderlo Group in particular.
They must be made aware of the major
role this industry plays in their daily lives.
A close co-operation with educational
authorities is important to accomplish this.
This specifically translates into company
visits and a variety of initiatives that bridge
the gap between industry and education.

Tessenderlo Group
Outlook for 2009
Environmental care
With respect to water, over the years ahead
the sites in Limburg will focus on adapting
the waste water circuit. This is the result
of changes to the production process in the
Ham factory. Further investments will also
be made for effluent treatment at several
other sites of the group.
The necessary soil decontamination
projects are also getting underway for the
sites of Tessenderlo Chemie in Limburg.
This is the follow-up to the descriptive
soil surveys that outline the historic soil
contamination.
Various measures to protect the soil
and further reduce emissions into the
atmosphere will also be implemented.
Furthermore, several energy-saving
measures are also scheduled.
With regard to product stewardship,
considerable efforts will be made in the
context of the European REACH legislation
(Registration, Evaluation, Authorisation
and limitations of Chemicals). The
so-called Euclid documents detailing
physiochemical, toxic and ecotoxic
characteristics are being prepared for the
substances with production levels in excess
of 1,000 tonnes.
The mandatory SIEF activities (Substance
Information Exchange Forum) will also be
carried out and followed up. This forum
has been set up for all manufacturers
and importers that have registered or
pre-registered hazardous substances.
They must exchange all available
information amongst themselves to prevent
unnecessary tests on animals. They must
also ensure that the classification and
labelling of substances occurs in a uniform
manner.
The IT tools required to work efficiently
with the REACH regulations will be
implemented in 2009 and the following
years. Communication to customers and
suppliers is also an important issue.
Furthermore in respect to product
stewardship, the European integration of
the Surround® crop protection products
will also be continued in 2009.
The GHS regulations (Global Harmonised
System) will also be implemented. This
worldwide uniform system relates to the
labelling and hazard signs on product
labels. This is gradually being introduced
since1 January 2009.
79

annual report 2008
80
Moreover, an electronic system will be
developed to make the Material Safety
Data Sheets (MSDS) of hazardous products
available to customers and to follow this up
within the organisation.
Health, safety and risk management
In 2009, the health and safety theme
‘Working together for more safety’ will
be launched. The importance of a good
co-ordination between maintenance and
manufacturing when preparing work will
be emphasised.
Next to the human aspects, and in
particular the health and safety
conduct of employees, the safety of the
installations will also be reviewed in
detail and further improved. The training
programme with customised training
sessions will be developed further. Special
attention will be paid to emergency
planning in 2009.
The risk analysis that was started in 2008
for the Chemicals business group, will be
developed further in 2009 and extended
to include other business groups and
business units. In this respect, efforts
will be made to map out and evaluate
a large variety of risks. This will enable
Tessenderlo Group to reduce risks where
possible and to manage these risks more
effectively.
The internal audits will continue with the
same frequency as in 2009, with new risk
assessment visits and revisits.

Tessenderlo Group
Corporate Governance
Transparent
management
Tessenderlo Chemie subscribes to the nine
principles of Corporate Governance stated
in the Belgian Corporate Governance Code.
In fulfilment of this, the Board of Directors
approved its Corporate Governance Charter
(the ‘Charter’) on 10 November 2005
and an update on 8 November 2007. The
Charter can be consulted on our website
www.tessenderlogroup.com.
Compliance with the recommendations
contained in the Belgian Corporate
Governance Code and fine-tuning the
working of the Board of Directors, the
special committees and the Management
Committee (*) to fulfil the requirements
of Corporate Governance is an ongoing
process. Tessenderlo Chemie undertakes,
therefore, to review the Charter at regular
intervals and to modify it where necessary.
Board of Directors
81
By introducing organisational and
operational rules, the decision-making
process within the Board of Directors,
the special committees set up under the
auspices of the Board of Directors, and
the Management Committee becomes
more transparent, taking into account the
interests of the company, its shareholders
and others directly or indirectly involved in
events affecting the company, the so-called
‘stakeholders’.
Role and responsibilities
The Board of Directors is the highest administrative
body of the company, which has
full powers under Article 18 of the Articles
of Association. The Board of Directors is a
body with collective responsibility, which
reports to the General Meeting on its
activities.
(*) To date, it has been decided not to exercise the option offered under Article 524bis of the Belgian
Companies Code to set up an Executive Committee.

annual report 2008
82
The role of the Board of Directors consists
in ensuring the long-term success
of Tessenderlo Chemie and Tessenderlo
Group. The Board of Directors promotes
and guarantees entrepreneurial leadership
and ensures that risks can be assessed and
managed. The Board of Directors decides
on the values and the strategy of the company,
its risk profile, and the key elements
of its policy. The Board of Directors also
exercises major monitoring and compliance
responsibilities.
The company is validly represented either
by the Chairman of the Board of Directors
or by two directors acting jointly.
Composition
Non-executive directors:
• Michel Nicolas (June 2010)
• François Schwartz (June 2011)
• Jacques Zyss (June 2010)
Independent non-executive directors*:
• Valère Croes (June 2009)
• Paul de Meester (June 2011)
• Jaak Gabriels (June 2011)
• Baudouin Michiels (June 2011)
• Bernard Pache (June 2011)
• Thierry Piessevaux (June 2011)
• Alain Siaens (June 2010)
• Karel Vinck (June 2011)
The Board of Directors is supported by
Adrien Carton de Wiart, in his capacity as
the Secretary General of the company.
At 31 December 2008, the Tessenderlo
Chemie Board of Directors was composed
as follows:
Chairman, executive director:
Gérard Marchand (appointment ends June
2010)
Remuneration policy
Pursuant to Article 21 of the Articles
of Association, as modified by the
extraordinary meeting of 5 June 2007, it
is the responsibility of the Tessenderlo
Chemie Board of Directors to make
(*) Pursuant to paragraph 4.10 of the Charter, a director is regarded as being independent, if he or she at the
very least satisfies the independence criteria contained in Article 526 ter of the Belgian Companies Code. When
assessing independence, the conditions outlined in Annex A to the Belgian Corporate Governance Code will
also be considered. According to the information at the disposal of the Board of Directors, the independent
directors of Tessenderlo Chemie meet the above-mentioned independence criteria. No exceptions were
reported to the Board.

Tessenderlo Group
proposals concerning the remuneration
granted to Board members.
and 3,000 EUR for the director chairing the
Committee.
A special committee set up within
the Board of Directors, namely the
Remuneration Committee, formulates
proposals to the Board of Directors
concerning:
• The remuneration for participating in
the four annual Board meetings;
• The remuneration granted for
assignments related to special
mandates.
The Remuneration Committee also
assesses the implementation of the various
decisions taken on this matter.
Non-executive directors receive fixed
remuneration and reimbursement of
travel expenses to meetings. Total annual
remuneration amounts to 53,679 EUR
per mandate, excluding reimbursement
of travel expenses. Attendance fees
amounting to 1,240 EUR are also granted
per meeting of the Remuneration
Committee and the Appointments
Committee and, if the situation arises, the
Independent Directors Committee to be set
up pursuant to Article 524 of the Belgian
Companies Code. With regard to the
Audit Committee, the attendance fees per
meeting amount to 2,000 EUR per director
The executive director receives a
remuneration package consisting of three
different components proposed by the
Remuneration Committee, namely:
• A fixed remuneration of 590,352 EUR in
2008 compared to 560,320 EUR in 2007;
• A variable remuneration of 472,282 EUR
relating to 2008 compared to a bonus of
425,843 EUR in 2007;
• The granting of stock options under
the stock option plan for group
topmanagement.
In common with all employees, the
executive director also participates in the
company’s benefits plan.
Operation
Pursuant to Article 16 of the Tessenderlo
Chemie Articles of Association, the Board
of Directors convenes whenever it deems
necessary, following notice given by the
Chairman or if requested by any two
directors. The Board of Directors may only
validly deliberate if the majority of the
directors is present or represented. The
Board of Directors strives to take decisions
by unanimous vote. If unanimity cannot be
reached, the decision is taken by simple
83

annual report 2008
84
majority, with the meeting Chairman
having the deciding vote.
During 2007, the Board of Directors
convened five times. Average attendance in
2008 was 75 % against 92 % in 2007.
Special committees
General
The Board of Directors may set up special
committees under its auspices to analyse
certain specific matters and to advise the
Board. However, the ultimate decisionmaking
authority remains with the Board of
Directors in accordance with the statutory
provisions and the Memorandum and
Articles of Association.
The Tessenderlo Chemie Board of Directors
has set up an Appointments Committee,
a Remuneration Committee, and an Audit
Committee.
recommendations of the special committee
in question.
Appointments Committee
The task of the Appointments Committee
consists in advising the Board of Directors
on and assisting it with the appointment of
directors, or assisting the CEO with and advising
on the appointment of Management
Committee members. The Appointments
Committee ensures that the (re)appointment
procedures are carried out in a professional
and objective manner. However,
the ultimate decision-making authority
remains with the General Meeting or the
Board of Directors respectively.
At 31 December 2008, the Appointments
Committee was composed as follows:
• Paul de Meester (Chairman)
• Baudouin Michiels
• Jacques Zyss.
A special committee strives to take
decisions by unanimous vote. If unanimity
cannot be reached, the decision is taken by
simple majority.
Following each committee meeting, the
Board of Directors receives a verbal or
written report of the deliberations and
The Appointments Committee convened
once during the year under review. As in
2007, the attendance rate was 100 %.
Remuneration Committee
The task of the Remuneration Committee
consists in advising the Board of Directors

Tessenderlo Group
on and assisting it with formulating the
remuneration policy for the executive and
non-executive directors and Management
Committee members. However, the ultimate
decision-making authority remains
with the General Meeting as far as the directors
are concerned, and with the Board
of Directors in the case of Management
Committee members.
At 31 December 2008, the Remuneration
Committee was composed as follows:
obligation relates to Tessenderlo Group as
a whole and refers to financial reporting,
internal control and risk management, in
addition to the internal and external audit
process.
At 31 December 2008, the Audit Committee
was composed as follows:
• Valère Croes (Chairman)
• Thierry Piessevaux
• François Schwartz.
• Valère Croes (Chairman)
• Paul de Meester
• Alain Siaens
• Jacques Zyss
The Financial Director, the Internal
Auditor, the Management Controller and
the Statutory Auditor may be invited to attend
Audit Committee meetings.
85
The Remuneration Committee convened
once during the year under review. As in
2007, the attendance rate was 100 %.
The Audit Committee convened three times
during the year under review. As in 2007
the attendance rate was 100 %.
Audit Committee
The task of the Audit Committee consists
in providing the Board of Directors with assistance
with and advice on its supervisory
responsibilities concerning compliance in
the most general sense.
The compliance task of the Audit
Committee and the associated reporting

annual report 2008
86
Eddy Vandenbriele
Frank Coenen Albert Vasseur Pol Deturck
Adrien Carton de Wiart Christian Vrebosch
Gérard Marchand
Jan Vandendriessche
Management Committee
Role and responsibilities
The operational management of the
company is entrusted by the Board of
Directors to the Chief Executive Officer
(CEO). The CEO is assisted by the members
of the Management Committee.
The operational management of the
company includes, inter alia:
• the day-to-day management of the
company;
• preparing and implementing decisions
taken by the Board of Directors;
• organising the internal audit, without
prejudicing the supervisory function
exercised by the Board of Directors;
• preparing the budget and financial
reporting, following these up, and
explaining them to the Board of
Directors;
• preparing the annual accounts in
accordance with the company’s
accounting principles and valuation
rules.
Composition
At 31 December 2008, the Tessenderlo
Chemie Management Committee was

Tessenderlo Group
composed as follows:
• Gérard Marchand – Chairman
• Frank Coenen – Chemicals business
group
• Albert Vasseur – Plastics Converting
business group
• Jozef Housen – Gelatin business unit
• Jan Vandendriessche – Fine Chemicals
business unit
As of 1 January 2009, the Tessenderlo
Chemie Management Committee is
composed as follows:
• Gérard Marchand – Chairman
• Frank Coenen – Chief Operating Officer
• Albert Vasseur – Plastics Converting
business group
• Jan Vandendriessche – Organic
Specialities business group
• Pol Deturck – Chemicals business
group
The ordinary meetings of the Management
Committee are also attended by the
Secretary General, Adrien Carton de Wiart,
the Director ICT, Internal Audit and Human
Resources, Eddy Vandenbriele and the
CFO, Christian Vrebosch.
Remuneration policy
The remuneration of Management
Committee members is determined on the
basis of the recommendations made by the
Remuneration Committee.
The remuneration package and the
composition thereof are analysed annually
on the basis of a study conducted by a
specialised external agency, in order
to take into account prevailing market
conditions.
The fixed remuneration must be situated at
internationally competitive levels with the
objective of promoting complete motivation
and loyalty of managers towards the group.
The variable component amounting to
on average 30 % of total remuneration
sets quantitative and qualitative targets
to be met by managers, taking into
account the specific circumstances in
the sector of activities or business units,
which they manage. In common with all
senior executives at the subsidiaries,
Management Committee members are
also entitled to participate in the annual
stock option plan. The apportionment of
subscription rights is entrusted to the
Remuneration Committee.
The pension plan, in which the executive
director and the Management Committee
members participate, is the same plan
as that for all employees and executives
of the company and is of the type
‘defined benefits obligations’. The annual
remuneration for the Management
Committee, including remuneration for
the executive director, amounts to 2.555
million EUR including the bonus for 2008.
In 2007 the remuneration amounted to
2.410 million EUR, bonus included.
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annual report 2008
88
Stock options
In 2007 the group issued a first section of
160,000 warrants, as part of a five-year
plan relating to a maximum of 800,000
warrants that could be subscribed for.
These subscription rights can only be
exercised after three years and this for two
successive years. The list of beneficiaries,
namely the Management Committee and
the senior executives of the group (the
‘Executive Team’), is established by the
Board of Directors every year. The Board
of Directors entrusts the Remuneration
Committee with apportioning subscription
rights among beneficiaries. The
subscription rights are registered and
non-transferable, except in the event of
death. This issue enables the group’s
senior executives to be connected with
its financial results and this in the long
term. The issued and offered subscription
rights needed to be accepted fully or
partially before 10 February 2009. The
price at which the subscription rights can
be exercised was set at 23.08 EUR. For the
subplans for France and the USA the prices
are respectively 22.07 EUR and 22.09 EUR.
At 31 December 2008, the situation of
the total of the number of warrants,
which can still validly be exerted by the
‘Executive Team’, is the following: 258,595
in total, including 77,460 for Management
Committee members and 181,135 for
senior executives of the group.
Operation
In principle, the Management Committee
convenes once a month. The Management
Committee may only validly deliberate,
if half of its members are present or
represented. The Management Committee
strives to take decisions by unanimous vote.
The Management Committee reports to
the Board of Directors on the principal
decisions it has taken.
During the year under review, the
Management Committee convened eleven
times. Attendance was 100 %.
Conflict of interests
regulation
Paragraphs 4.9 and 6.6 of the Charter
set out the conflict of interests regulation
applicable to the Board of Directors and
the Management Committee respectively.
During the year under review, the Board
of Directors was informed of a conflict of
interest affecting one of its members as it
was noted in the notarial deed concerning
the emission of warrants.

Tessenderlo Group
Policy on inside
information and market
manipulation
Chapter 8 of the Charter sets out the
company’s policy on inside information and
market manipulation.
The Board of Directors has appointed the
Secretary General, Adrien Carton de Wiart,
as Compliance Officer. In his absence, the
Director ICT, Internal Audit and Human
Resources will perform the function of
Compliance Officer.
The Compliance Officer is responsible
for overseeing compliance with the
policy outlined by the company on inside
information and market manipulation and
acts as a point of contact for enquiries
concerning the application of the policy.
External Audit
The position of statutory auditor is fulfilled
by Klynveld Peat Marwick Goerdeler
Bedrijfsrevisoren (KPMG), represented by
Ludo Ruysen. Its mandate will expire in
June 2010.
audit committee and board of directors.
Worldwide audit and other audit related
fees for 2008 in relation to services
provided by KPMG Bedrijfsrevisoren
amounted to 0.70 million EUR (2007:
0.47 million EUR), which was composed
of audit services for the annual financial
statements of 0.39 million EUR (2007:
0.32 million EUR) and audit related
services of 0.31 million EUR (2007:
0.15 million EUR).
Audit and other fees for 2008 in relation
to services provided by other offices of the
KPMG network amounted to 0.64 million
EUR (2007: 0.55 million EUR) which was
composed of audit services for the annual
financial statements of 0.45 million EUR
(2007: 0.47 million EUR), tax services of
0.19 million EUR (2007: 0.08 million EUR).
Dividends policy
The dividend policy remains unchanged. In
fact: one-third of the net consolidated profit
average is paid out as dividend. However,
this policy can be adjusted in order to
ensure that the dividend grows or at least
remains stable.
89
Fees for auditing the annual financial
statements of Tessenderlo Chemie NV
and its subsidiaries are determined by
the general meeting of shareholders after
review and approval by the company’s
For the financial year 2008, a net dividend
of 1.00 EUR per share will be proposed to
the General Meeting of June 2, 2009, which
is an increase of 5.3 % compared to last
year’s dividend.

MAKING
IT
CONVINCING

Tessenderlo Group inspires confidence. Among
customers and also among shareholders and investors. For
many products we are the market leader in Europe and even
in the world. In addition, Tessenderlo Group is financially a
healthy company. Costs are monitored very closely. Our
dividend policy is focused on stable growth.
91

annual report 2008
Information for
shareholders
Tessenderlo Chemie shares
92
Tessenderlo Chemie shares are listed on The shares are included in the
the Brussels Stock Exchange with code ‘Kempen SNS Smaller European Social
TESB. They are traded on the continuous Responsibility Index’. This index only
market and are included in the following includes companies that fulfill stringent
indices: BEL Mid and Next 150.
criteria and practices in terms of business
ethics and social and environmental
performance.
Shareholder structure on 31 December 2008
Shareholder Share Last notification
SNPE SA (FR) 25.93 % 30 October 2008
M&G Investment Management Ltd (UK) 4.03 % 24 October 2008
ID Sparinvest A/S (DK) 3.03 % 31 October 2008
Sub-total 32,99 %
Staff (Nominative shares) 1.28 %
Free float (100 -25,93) 74,07 %

Tessenderlo Group
The total number of shares constituting
the issued capital of Tessenderlo Chemie
NV is 27,713,288. Including the shares that
may be issued as a result of the exercise of
warrants, the total is 27,971,883.
In 2008, JP Morgan Chase & Co that
officially notified to own a stake of at least
3 % in the share capital of Tessenderlo
Chemie NV, fell below the 3 % threshold.
Stock market data as at 31 December
2004* 2005 2006 2007 2008
Number of shares 27,210,399 27,269,568 27,419,876 27,626,444 27,713,288
Farthest prices
Fixed ordinary share (EUR) 27.24/33 36.00/25.75 26.03/32.53 31.27/47.2 20.05/38.21
93
Market continuous
Closing price (EUR) 31.14 27.35 32.3 33.2 21.63
Average daily volume 35,536 59,890 64,063 97,787 103,308
Velocity (in %)** 51.38 56.44 59.58 90.26 95.43
Volume 9,203,713*** 15,391,688 16,336,185 24,935,571 26,446,820
* As from 2004 figures are stated according to IFRS
** Sum of the velocities of the 12 months of the year
*** Exclusive the sale of 4,693,794 shares of EMC Parbel
Financial data per share (consolidated accounts)
on 31 December
2004* 2005 2006 2007 2008
Data per share (EUR)
Value of shareholders’ equity 27.77 28.41 25.96 29.04 32.55
Profit (+) / Loss (-) 1.97 1.29 -0.89 4.69 5.08
Net cash flow 7.19 5.91 5.21 8.99 10.11
Net dividend per ordinary share 0.90 0.90 0.90 0.95 1.00
Capital (millions EUR) 134.00 135.00 136.00 137.02 138.00
Capitalisation at the end of year (millions EUR) 847.30 745.80 885.70 917.20 599.40
* As from 2004 figures are stated according to IFRS

annual report 2008
Dividend
On 2 June 2009, a proposal will be put to
the Annual General Meeting to approve a
net dividend of 1.00 EUR (coupon n° 72).
This corresponds to a gross dividend
of 1.3333 EUR. The net dividend for
shares with VVPR strips attached will be
1.1333 EUR. The net dividend of 1.00 EUR
means an increase of 5.3 % compared with
financial year 2007.
The net dividend will be payable as
from June 9, 2009 either per transfer to
registered and dematerialised shares, or
against handing-over of the coupon for
materialised shares (and if necessary from
strips VVPR) to Belgian banks and financial
institutions, the financial service being
ensured by ING Belgium.
94
Financial communication and
investor relations
Road shows and events
Each year, the financial managers work
with the Corporate Communication
department on a number of initiatives to
raise awareness of Tessenderlo Group
among institutional and private investors.
Between ‘roadshows’, the group regularly
participates in events for investors and
organises company visits and meetings
with the group management.
The group also invites analysts on a regular
base in order to comment on the results
and future developments. In a ddition the
group organises conferences calls for
analysts to explain the quarterly results.
Financial calendar
Financial year 2008 Announcement of results 12 March 2009
General Meeting 2 June 2009
Payment of dividend 9 June 2009
First quarter 2009 Announcement of quarterly results 23 April 2009
First half year 2009 Announcement of quarterly results 27 August 2009
Third quarter 2009 Announcement of quarterly results 5 November 2009

Tessenderlo Group
Full financial and non-financial information
about the group is available on the website
at www.tessenderlogroup.com. Anyone
wishing to receive Tessenderlo Group press
releases by e-mail may register on the
mailing list on this website.
The Tessenderlo Chemie share price is
published on www.tessenderlogroup.
com and on the Euronext website: www.
euronext.com.
Contacts
The following people are available to
answer any questions about Tessenderlo
Group:
Investors and analysts
Christian Vrebosch (CFO)
Tel: +32 2 639 18 87
E-mail:
christian.vrebosch@tessenderlo.com
Providers of financial
information
Providers of Tessenderlo Group financial
information publish under the following
codes:
Shareholders
Jo Verspecht
Tel: +32 2 639 18 31
E-mail: jo.verspecht@tessenderlo.com
95
• Bloomberg: TESB BB
• Reuters: TESBt.BR
• Datastream: B:TES
• TBM: 23IT081
• SEDOL: 4-884-006
• ALPHA: TES
• ISIN: BE 000 3 555 639
“The stock market price of
Tessenderlo Chemie shares
generally held its own in relation
to the Belgian or European stock
exchange indices and continued to
do so until November 2008. As of
this time, prices of chemical shares
sustained a downward sweep as
a result of the uncertainty as to
the performance of industrial
businesses for the months ahead.”
Gérard Marchand
CEO

annual report 2008
Shareholders equity & Stock market capitalisation
(millions EUR)
2, 000
1,000
Shareholders’ equity
96
0
Stock market
capitalisation
Net dividend per share (EUR)
IFRS
1.00
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008

Tessenderlo Group
Return on dividends reinvested
200
150
100
50
Dec. 03
2004
2005
97
40
30
20
10
Jan. 08
Feb. 08
March 08
April 08
May 08
June 08
July 08
Aug. 08
Sept. 08
Oct. 08
Nov. 08
Dec. 08
2006
2007
Dec. 08
Change in the Tessenderlo Chemie share price
in 2008 (EUR)

MAKING
IT
WORK

Co-operation means working together. Effective
communication between employees is the key
to success. Like at PB Gelatins in Vilvoorde. All maintenance
works are discussed and planned at the weekly team meeting
between the managers of maintenance and production.
99

financial report 2008
CONSOLIDATED FINANCIAL REPORT
CONSOLIDATED INCOME STATEMENT
(Millions EUR) note 2008 2007
Revenue 2,765.0 2,405.9
Cost of sales -2,165.9 -1,873.6
Gross profit 599.1 532.3
Distribution expenses -144.6 -165.2
Sales and marketing expenses -62.7 -77.4
Administrative expenses -126.1 -125.2
Other operating income and expenses 4 -26.6 -12.2
Profit from operations before non-recurring items 239.1 152.3
100
Gain on disposals 5 12.8 58.4
Restructuring (incl. impairment losses) 5 -18.2 -15.6
Environmental provisions 5 -14.2 -2.8
Other 5 -7.3 -4.9
Profit (+) / loss (-) from operations 212.2 187.4
Finance expenses 8 -29.8 -23.9
Finance income 8 8.2 6.3
Finance expenses - net -21.6 -17.6
Share of result of investments accounted
for using the equity method
13 11.5 6.0
Profit (+) / loss (-) before tax 202.1 175.8
Income tax expense 9 -61.7 -47.1
Profit (+) / loss (-) for the period 140.4 128.7
Attributable to:
- Equity holders of the Group 140.5 128.9
- Minority interests -0.1 -0.2
Basic earnings per share (EUR) 21 5.08 4.69
Diluted earnings per share (EUR) 21 5.08 4.68

Tessenderlo Group
CONSOLIDATED STATEMENT OF RECOGNISED INCOME AND EXPENSE
(Millions EUR) note 2008 2007
Translation differences 20 -8.8 -12.4
Net income (+) / expense (-) recognised directly in equity -8.8 -12.4
Profit (+) / loss (-) for the period 140.4 128.7
Total recognised income (+) and expense (-) for the period 131.6 116.3
Attributable to:
Equity holders of the Group 131.7 116.5
Minority interests -0.1 -0.2
Total recognised income (+) and expense (-) for the period 131.6 116.3
101

financial report 2008
CONSOLIDATED BALANCE SHEET
(Millions EUR) note 2008 2007
ASSETS
Non-current assets 810.1 823.8
Property, plant and equipment 10 652.0 677.8
Goodwill 11 38.3 37.2
Intangible assets 12 39.9 36.9
Investments accounted for using the equity method 13 39.6 24.0
Investments 14 5.2 6.1
Deferred tax assets 15 17.7 26.3
Trade and other receivables 16 17.4 15.5
Current assets 1,002.1 859.4
Inventories 17 473.7 339.9
Trade and other receivables 16 469.5 424.0
Derivative financial instruments 25 5.4 1.9
Cash and cash equivalents 18 53.5 93.6
Non current assets classified as held for sale 19 0.7 0.0
Total assets 1,812.9 1,683.2
102
(Millions EUR) note 2008 2007
EQUITY & LIABILITIES
Equity
Equity attributable to equity holders of the Group 20 900.0 800.2
Issued capital 20 138.0 137.0
Share premium 20 43.3 42.0
Reserves 20 313.4 238.6
Retained earnings 20 405.3 382.6
Minority interests 20 2.0 2.0
Total equity 902.0 802.2
Liabilities
Non-current liabilities 267.7 269.3
Financial liabilities 22 96.7 122.6
Employee benefits 23 40.9 46.4
Provisions 24 85.7 63.1
Deferred tax liabilities 15 44.4 37.2
Current liabilities 643.2 611.7
Financial liabilities 22 251.4 214.8
Trade and other payables 25 388.9 385.9
Current tax liabilities 2.0 2.4
Provisions 24 0.9 8.6
Total liabilities 910.9 881.0
Total equity and liabilities 1,812.9 1,683.2

Tessenderlo Group
CONSOLIDATED CASH FLOW STATEMENT
(Millions EUR) note 2008 2007
OPERATING ACTIVITIES
Profit (+) / loss (-) from operations 212.2 187.4
Depreciation, impairment and amortisation 144.8 128.9
Changes in provisions 9.3 -5.7
Loss / (profit) on sale of non-current assets -12.4 -56.2
Non cash items -1.4 0.5
Changes in inventories -149.1 -1.7
Changes in trade and other receivables -52.8 8.9
Changes in trade and other payables 2.6 18.1
Cash generated from operating activities 153.2 280.2
Interest paid -14.6 -17.9
Interest received 2.8 4.2
Income tax (paid) / received -57.6 -48.0
Dividends received from investments accounted for using the
30 10.2 4.9
equity method
Cashflow from operating activities 94.0 223.4
INVESTING ACTIVITIES
Acquisition of property, plant and equipment 10 -94.2 -98.6
Acquisition of intangible assets 12 -7.2 -5.5
Acquisition of investments accounted for using the equity method 3 -3.1 -
Acquisition of businesses, net of cash acquired 3 -18.5 -25.8
Acquisition of investments -0.4 -
Proceeds from sale of property, plant and equipment 15.1 11.0
Proceeds from sale of intangible assets - 1.0
Proceeds from sale of subsidiaries, net of cash disposed of 3 - 3.6
Proceeds from sale of investments accounted for using the equity 3 - 68.7
method
Proceeds from sale of investments 0.1 -
Proceeds from government grants - 12.5
Cashflow from investing activities -108.2 -33.1
103
FINANCING ACTIVITIES
Increase/(decrease) of issued capital 20 2.3 6.5
Increase/(decrease) of financial liabilities 10.1 -105.7
(Increase)/decrease of long term receivables -2.4 0.9
Dividends paid to shareholders 20 -35.0 -33.5
Cashflow from financing activities -25.0 -131.8
Net increase/(decrease) in cash and cash equivalents -39.2 58.5
Effect of exchange rate differences -0.9 -1.2
Cash and cash equivalents at the beginning of the year 18 93.6 36.3
Cash and cash equivalents at the end of the year 18 53.5 93.6

financial report 2008
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
104
Summary of significant accounting policies 1
Segment reporting 2
Acquisitions and disposals 3
Other operating income and expenses 4
Non-recurring items 5
Payroll and related benefits 6
Additional information on operating expenses by nature 7
Finance income and expense 8
Income tax expense 9
Property, plant and equipment 10
Goodwill 11
Intangible assets 12
Investments accounted for using the equity method 13
Investments 14
Deferred tax assets and liabilities 15
Trade and other receivables 16
Inventories 17
Cash and cash equivalents 18
Non-current assets held for sale 19
Equity 20
Earnings per share 21
Financial liabilities 22
Employee benefits 23
Provisions 24
Trade and other payables 25
Financial instruments 26
Operating leases 27
Guarantees and commitments 28
Contingencies 29
Related parties 30
Information on the auditors’ assignment and related fees 31
Subsequent events 32
Consolidated companies 33
Critical accounting estimates and judgements 34

Tessenderlo Group
1. Summary of significant accounting policies
Tessenderlo Chemie NV (hereafter referred to as the « Company ») is a company domiciled in Belgium.
The consolidated financial statements for the year ended 31 December 2008 comprise the Company and
its subsidiaries (together referred to as the « Group ») and the Group’s interests in associates and jointly
controlled entities.
The IFRS financial statements were authorised for issue by the Board of Directors of Tessenderlo
Chemie NV on Thursday 12 March 2009.
(A) Statement of compliance
The consolidated financial statements have been prepared in accordance with International Financial
Reporting Standards (formerly named IAS) issued by the International Accounting Standards Board
(IASB) as adopted by the European Union.
(B) Basis of preparation
The financial statements are presented in euro, rounded to the nearest million. They are prepared on
the historical cost basis except for derivative financial instruments and investments available-for-sale,
which are stated at fair value.
105
Non-current assets and disposal groups held for sale are stated at the lower of carrying amount and fair
value less costs to sell.
The preparation of financial statements in conformity with IFRSs requires management to make
judgements, estimates and assumptions that affect the application of policies and reported amounts
of assets and liabilities, income and expenses. The estimates and associated assumptions are based
on historical experience and various other factors that are believed to be reasonable under the
circumstances, the results of which form the basis of making the judgements about carrying values of
assets and liabilities that are not readily apparent from other sources. Actual results may differ from
these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting
estimates are recognised in the period in which the estimate is revised if the revision affects only that
period, or in the period of the revision and future periods if the revision affects both current and future
periods.
Judgements made by management in the application of IFRS that have significant effect on the financial
statements and estimates with a significant risk of material adjustment in the next year are discussed in
note 34.
The consolidated financial statements are presented before the effect of the profit appropriation of the
Company proposed to the General Assembly of shareholders.
The accounting policies set out hereafter have been applied consistently by the Group to all periods
presented in these consolidated financial statements.

financial report 2008
(C) Principles of consolidation
Companies controlled by the Group (i.e. in which the Group has, directly, or indirectly, an interest of
more than one half of the voting rights or is able to exercise control over the operations, further also
“subsidiaries”) have been fully consolidated. In assessing control, potential voting rights that presently
are exercisable or convertible are taken into account. The financial statements of subsidiaries are
included in the consolidated financial statements from the date that control commences until the date
that control ceases. Separate disclosure is made of minority interests.
Investments in associates and jointly controlled entities (joint ventures) are included in the consolidated
financial statements using the equity method. The investments in associates are those in which the
Group has significant influence over the financial and operating policies, but which it does not control.
In general, it is the case when the Group holds between 20 % and 50 % of the voting rights. The equity
method is used as from the date that significant influence commences until the date that significant
influence ceases. When the Group’s share of losses exceeds its interest in an associate, the Group’s
carrying amount is reduced to nil and recognition of further losses is discontinued except to the extent
that the Group has incurred legal or constructive obligations in respect of the associate.
106
All intercompany transactions, balances and unrealised gains and losses on transactions between group
companies have been eliminated. Unrealised gains arising from transactions with associates and jointly
controlled entities are eliminated to the extent of the Group’s interest in the entity. Unrealised losses
are eliminated in the same way as unrealised gains, but only to the extent that there is no evidence of
impairment.
(D) Foreign currency
• Foreign currency transactions
Foreign currency transactions are accounted for at exchange rates prevailing at the date of the
transaction. Monetary assets and liabilities denominated in foreign currencies are translated at balance
sheet date rate. The resulting gains and losses of these transactions are recognised in the income
statement of the period.
Non-monetary assets and liabilities denominated in foreign currencies that are stated at fair value
are translated to euro at foreign exchange rates ruling at the dates the fair value was determined. For
available for sale non-monetary assets, foreign exchange gains and losses are not separated from the
total fair value changes.
• Foreign currency translation
Assets and liabilities of foreign entities included in the consolidation are translated to euro at the
foreign exchange rates ruling at the balance sheet date. The income statement of the foreign entities is
translated to euro at the annual average foreign exchange rates (approximating the foreign exchange
rates prevailing at the dates of the transactions). The components of equity attributable to equity holders
of the Group are translated at historical rates. Exchange differences arising from the translation of the
equity attributable to the equity holders of the Group to euro at year-end exchange rates are taken to
“Translation reserves” in Equity.

Tessenderlo Group
• Exchange rates
The following exchange rates have been used in preparing the financial statements:
Closing rate
Average rate
1 EUR equals : 2008 2007 2008 2007
Brazilian real 3.2332 2.7490 2.6701 2.6622
Canadian dollar 1.6998 1.4449 1.5600 1.4678
Chinese yuan 9.4956 10.7524 10.2211 10.4178
Czech crown 26.8750 26.6280 24.9519 27.7656
Hungarian forint 266.7000 253.7300 251.5800 251.3500
Polish zloty 4.1535 3.5935 3.5143 3.7837
Pound sterling 0.9525 0.7333 0.7969 0.6843
Slovak koruna 30.1260 33.5830 31.2576 33.7745
Swiss franc 1.4850 1.6547 1.5871 1.6427
US dollar 1.3917 1.4721 1.4705 1.3705
(E) Intangible assets
• Research and development
Expenditure on research activities, undertaken with the prospect of gaining new scientific or technical
knowledge and understanding, is recognised in the income statement as an expense as incurred.
107
Expenditure resulting from development activities, whereby research findings are applied to a plan or
design for production of new or substantially improved products and processes, is capitalised if the
product or process is technically and commercially feasible and the company has sufficient resources to
complete development.
The capitalised expenditure includes the cost of materials, direct labour and an appropriate proportion
of overheads. Other development expenditure is recognised in the income statements as an expense
as incurred. Capitalised development is stated at cost less accumulated amortisation (see below) and
impairment losses (see accounting policy J).
• Emission allowances
The cost of acquiring emission allowances is recognised as intangible asset, whether they have been
purchased or received free of charge (in the latter the acquisition cost is zero). A provision is set up to
cover obligations to refund allowances depending on emissions if, during a given period, the number of
allowances required exceeds the total number of allowances received. This provision is measured at the
estimated amount of the expenditure required to settle the obligation.
• Other intangible assets
Other intangible assets, acquired by the Group, are stated at cost less accumulated amortisation (see
below) and impairment losses (see accounting policy J).

financial report 2008
• Subsequent expenditure
Subsequent expenditure on capitalised intangible assets is capitalised only when it increases the future
economic benefits embodied in the specific asset to which it relates. All other expenditure is expensed
as incurred.
• Amortisation
Intangible assets with a finite life are amortised using the straight-line method over their estimated
useful lives.
The estimated useful lives of the respective asset categories are as follows:
Development
Software
Concessions, licenses, patents and other
5 years
3 to 5 years
10 to 20 years
Intangible assets with an indefinite useful life are tested for impairment on an annual basis.
(F) Goodwill
108
• Goodwill
Goodwill represents the excess of the cost of an acquisition over the fair value of the company’s share of
the net identifiable assets of the acquired subsidiary, jointly controlled entity or associate at the date of
acquisition.
All goodwill has been frozen on the 1st of January 2004 and is not amortised anymore, but tested at
least annually for impairment and whenever there is an indicator that the unit to which the goodwill has
been allocated may be impaired (see accounting policy J).
Goodwill is expressed in the currency of the subsidiary, jointly controlled entity or associate to which it
relates.
• Negative goodwill
Negative goodwill represents the excess of the fair value of the company’s share of the net identifiable
assets acquired over the cost of acquisition. Any negative goodwill is recognised directly in the income
statement.
• Subsequent measurement
Goodwill is measured at cost less accumulated impairment losses. In respect of equity accounted
investees, the carrying amount of goodwill is included in the carrying amount of the investment.

Tessenderlo Group
(G) Property, plant and equipment
• Owned assets
Items of property, plant and equipment (further also “PP&E”) are stated at cost less accumulated
depreciation and impairment losses. Cost includes the purchase price and any costs directly attributable
to bringing the asset to the location and condition necessary for it to be capable of operating in the
manner intended by management (e.g. non refundable tax, transport and the costs of dismantling and
removing the items and restoring the site on which they are located, if applicable). The cost of a selfconstructed
asset is determined using the same principles as for an acquired asset and includes the
cost of materials, direct labour and an appropriate proportion of indirect costs. Borrowing costs directly
attributable to the acquisition, construction or production of an asset, requiring a long preparation, are
included in the cost of the asset.
Where parts of an item of property, plant and equipment have different useful lives, they are accounted
for as separate items of property, plant and equipment.
• Subsequent expenditure
Subsequent expenditure incurred in replacing or renewing components of some items of property,
plant and equipment is accounted for as the acquisition of a separate asset and the replaced asset is
written off. Capitalisation of subsequent expenditure is only done when it increases the future economic
benefits embodied in the item of property, plant and equipment. Repair and maintenance, which do not
increase the future economic benefits of the asset to which they relate, are expensed as incurred.
109
• Depreciation
Depreciation is charged to the income statement as from the date the asset is available for use, on
a straight-line basis over the estimated useful lives of each part of an item of property, plant and
equipment.
The estimated useful lives of the respective asset categories are as follows:
Improvements to land
Buildings
Building improvements
Plant installations
Machinery and equipment
Furniture and office equipment
Extrusion and tooling equipment
Laboratory and research – infrastructure
Vehicles
Computer equipment
10 to 20 years
20 to 40 years
10 to 20 years
6 to 20 years
5 to 15 years
4 to 10 years
3 to 7 years
3 to 5 years
4 to 10 years
3 to 5 years
Land is not depreciated as it is deemed to have an indefinite life.

financial report 2008
• Government grants
Government grants relating to the purchase of property, plant and equipment are deducted from the
carrying amount of the related asset when there is reasonable assurance that they will be received and
the company will comply with the conditions attached to it. They are recognised in the income statement
as other operating income on a straight-line basis over the estimated useful life of the associated asset.
(H) Leased assets
Leases of property, plant and equipment where the company assumes substantially all the risks and
rewards of ownership are classified as finance leases. Finance leases are capitalised at the lower of
the fair value and the present value of the minimum lease payments at inception of the lease, less
accumulated depreciation (see accounting policy G) and impairment losses (see accounting policy J).
Each lease payment is allocated between the liability and finance charges so as to achieve a constant
periodic rate of interest on the outstanding finance balance. The corresponding obligations, net of
finance charges, are included in other long-term payables. The interest element is charged to the
income statement as a finance charge over the lease period. Property, plant and equipment acquired
under finance lease contract is depreciated over the useful life of the asset (see accounting policy G).
110
Leases of assets under which the lessor substantially retains all the risks and rewards of ownership are
classified as operating leases. The payments made under operating leases are charged to the income
statement on a straight-line basis over the term of the lease.
(I) Investments
Each category of investment is accounted for at trade date.
• Investments in equity securities
Investments in equity securities are undertakings in which the Group does not have significant
influence or control. This is generally evidenced by ownership of less than 20 % of the voting rights.
Such investments are designated as available for sale financial assets and are recorded at their fair
value unless the fair value cannot be reliably determined in which case they are carried at cost less
impairment losses. The fair value is the quoted bid price at balance sheet date. Changes in fair value are
directly recognised in equity, except for impairment losses. On disposal of an investment, the cumulative
gain or loss previously recognised directly in equity is recognised in profit or loss.
• Other investments
The other investments mainly include cash guarantees.
(J) Impairment
At each balance sheet date, the Group reviews the carrying amounts of the Group’s assets, other than
inventories (see accounting policy K) and deferred tax assets (see accounting policy R), to determine
whether there is any indication of impairment. If such an indication exists, the asset’s recoverable

Tessenderlo Group
amount is estimated. An impairment loss is recognised whenever the carrying amount of an asset or its
cash-generating unit exceeds its recoverable amount. Impairment losses are recognised in the income
statement.
Goodwill, intangible assets with indefinite useful life and intangible assets not yet available for use
were tested for impairment at 1 January 2004, the date of transition to IFRS, even if no indication of
impairment existed.
Impairment losses recognised in respect of cash-generating units are allocated first to reduce the
carrying amount of any goodwill allocated to cash-generating units and then, to reduce the carrying
amount of other assets in the unit on a pro rata basis.
• Calculation of recoverable amount
The recoverable amount is the higher of the fair value less costs to sell and its value in use. The value in
use is the net present value of the estimated future cash flows from the use of an asset. The recoverable
amount is calculated at the level of the cash-generating unit to which the asset belongs. In assessing
the value in use, the estimated future cash flows are discounted to their present value using a discount
rate that reflects current market assessments of the time value of money and the risks specific to the
asset, to the business etc.
• Reversal of impairment
111
If there has been a change in the estimates used to determine the recoverable amount on assets other
than goodwill, the carrying amount is partially or totally re-established through the non-recurring items
in the income statement, to the extent that the asset’s carrying amount does not exceed the carrying
amount that would have been determined, net of depreciation or amortisation, if no impairment loss had
been recognised.
An impairment loss in respect of goodwill cannot be reversed.
(K) Inventories
Inventories are stated at the lower of cost and net realisable value. The cost is determined by the
weighted average cost method.
The cost of finished goods and work in progress comprises raw materials, other production materials,
direct labour, other direct cost and an allocation of fixed and variable overhead based on normal
operating capacity. Cost of inventories includes the purchase, conversion and other costs incurred
to bring the inventories to their present location and condition. Net realisable value represents the
estimated selling price, less all estimated costs of making the product ready for sale.
(L) Trade and other receivables
Trade and other receivables are stated at amortised cost less appropriate allowances for nonrecoverable
amounts.

financial report 2008
(M) Cash and cash equivalents
Cash includes cash in hand and cash with banks. Cash equivalents are short-term, highly liquid
investments that are readily convertible into known amounts of cash, have a remaining maturity date of
three months or less and are subject to an insignificant risk of change in value.
(N) Issued capital
• Ordinary shares
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of ordinary
shares and share options are recognised as a reduction from equity, net of any tax effects.
• Repurchase of issued capital
When share capital recognised as equity is repurchased, the amount of the consideration paid, including
directly attributable costs, is recognised as a change in equity. Repurchased shares are classified as
treasury shares and presented as a deduction from total equity. When treasury shares are sold or
reissued subsequently, the amount received is recognised as an increase in equity, and the resulting
surplus or deficit on the transaction is transferred to/from retained earnings.
112
• Dividends
Dividends are recognised as a liability in the period in which they are declared.
(O) Financial liabilities
Financial liabilities are recognised initially at cost, less attributable transaction costs. Subsequent
to initial recognition, interest-bearing loans and borrowings are stated at amortised cost with any
difference between cost and redemption value being recognised in the income statement over the period
of borrowings on an effective interest basis.
(P) Provisions
Provisions are recognised in the balance sheet when the company has a present obligation (legal or
constructive) as a result of a past event, it is probable that an outflow of resources embodying economic
benefits will be required to settle the obligation and a reliable estimate can be made of the amount of
the obligation.
If the effect is material, provisions are determined by discounting the expected future cash flows at a
rate that reflects current market assessments of the time value of money and, where appropriate, the
risks specific to the liability.
• Restructuring
A provision for restructuring is recognised when the company has approved a detailed and formal
restructuring plan, and the restructuring has either commenced or has been announced to those
affected by it. Future operating costs are not provided for.

Tessenderlo Group
• Environmental obligations
Environmental provisions are based on legal and constructive obligations from past events,
in accordance with applicable legal requirements.
• Onerous contracts
A provision for onerous contracts is recognised when the expected benefits to be derived by the company
from a contract are lower than the unavoidable cost of meeting its obligations under the contract. Such
provision is measured at the present value of the lower of the expected cost of terminating the contract
and the expected net cost of continuing with the contract. Before a provision is established, the Group
recognises any impairment loss on the assets associated with that contract.
• Others
Includes provisions for litigations and warranties.
(Q) Employee benefits
• Post employment benefits
Post employment benefits include pensions and medicare benefits. The Group operates a number of
defined benefits and defined contribution plans throughout the world, the assets of which are generally
held in separate pension funds. Separate trusts and insurers generally hold the pension plans.
113
- Defined contribution plans:
Contributions to defined contribution pension plans are recognised as an expense in the income
statement as incurred.
- Defined benefit plans:
For defined benefit plans, the pension accounting costs are assessed separately for each plan using the
projected unit credit method. Under this method, the cost of providing pensions is charged to the income
statement in order to spread the regular cost over the service lives of employees in accordance with
the advice of qualified actuaries who carry out a full valuation of the plans. The amounts charged to the
income statement consist of current service cost, interest cost, the expected return on any plan assets,
actuarial gains and losses and past service costs.
The pension obligation recognised in the balance sheet is determined as the present value of the defined
benefit obligation (using interest rates of high quality corporate bonds which have terms to maturity
approximating the terms of the related liability) adjusted for unrecognised actuarial gains and losses,
less unrecognised past service costs and less the fair value of the plan assets.
All actuarial gains and losses as at 1 January 2004, the date of transition to IFRS, were recognised. In
respect of actuarial gains and losses that arise subsequent to 1 January 2004 in calculating the Group’s
obligation in respect of a plan, to the extent that any cumulative unrecognised actuarial gain or loss

financial report 2008
exceeds 10 % of the greater of the present value of the defined benefit obligation and the fair value of
plan assets, that portion is recognised in the income statement over the expected average remaining
working lives of the employees participating in the plan. Otherwise, the actuarial gain or loss is not
recognised.
Where the calculation results in a benefit to the Group, the recognised asset is limited to the net total
of any unrecognised actuarial losses and past service costs and the present value of any future refunds
from the plan or reductions in future contributions to the plan.
• Termination benefits (pre-retirement plans, other termination obligations)
These benefits arise as a result of the company’s decision to terminate the employment of an employee
or group of employees before the normal retirement date or of an employee’s decision to accept
voluntary redundancy in exchange for those benefits.
These benefits are accrued for at the moment of notification.
• Equity compensation benefits
114
A stock option plan allows senior management to acquire shares of the Company. The option’s exercise
price equals the lowest of the average market price of the underlying shares in the 30 trading days
preceding the offer date or the market price on the last day preceding the offer date. These share-based
payments are recognised in the financial statements based on the fair value of the awards measured at
grant date, spread over the vesting period. When the options are exercised, equity is increased by the
amounts of the proceeds received.
• Short-term benefits
Short-term employee benefit obligations are measured on an undiscounted basis and are expensed as
the related service is provided.
A liability is recognised for the amount expected to be paid under short-term cash bonus or profitsharing
plans if the Group has a present legal or constructive obligation to pay this amount as a result of
past service provided by the employee and the obligation can be estimated reliably.
(R) Income tax
Income tax on the profit or loss for the year comprises current and deferred tax. Income tax is
recognised in the income statement except to the extent that it relates to items recognised directly to
equity, in which case it is recognised in equity.
Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted or
substantially enacted at the balance sheet date, and any adjustment to tax payable in respect of previous
years.
Deferred tax is provided using the balance sheet liability method, for temporary differences arising
between the carrying values of assets and liabilities for financial reporting purposes and the basis used
for taxation purposes. The following temporary differences are not provided for: the initial recognition
of assets or liabilities that affects neither accounting nor taxable profit and differences relating to

Tessenderlo Group
investments in subsidiaries to the extent that will probably not reverse in the foreseeable future. The
amount of deferred tax provided is based on the expected manner of realisation or settlement of the
carrying amount of assets and liabilities, using tax rates enacted or substantively enacted at the balance
sheet date.
A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will
be available against which the deductible temporary differences, unused tax losses and credits can be
utilised. A deferred tax asset is reduced to the extent that it is no longer probable that related tax benefit
will be realised.
Additional income taxes that arise from the distribution of dividends are recognised at the same time as
the liability to pay the related benefit.
(S) Trade and other payables
Trade and other payables are stated at cost.
(T) Income
• Revenue
For the sale of goods, revenue is recognised in the income statement when the significant risks and
rewards of ownership have been transferred to the buyer.
115
Revenue is recognised when there are no significant uncertainties regarding recovery of the
consideration due, when the associated costs and possible return of goods can be estimated reliably and
when there is no continuing management involvement with the goods and the amount of revenue can be
estimated reliably.
• Financial income
Financial income comprises interest receivable on funds invested, dividend income, foreign exchange
gains and gains on derivative financial instruments.
Interest income is recognised in the income statement as it accrues, taking into account the effective
yield on the asset.
Dividend income is recognised in the income statement on the date the entity’s right to receive payments
is established.
(U) Expenses
• Financial expenses
Financial expenses comprise interest payable on borrowings, foreign exchange losses and losses on
derivative financial instruments.
All interest and other costs incurred in connection with borrowings are expensed as incurred as part
of financial expenses. The interest expense component of finance lease payments is recognised in the
income statement using the effective interest rate method.

financial report 2008
(V) Derivative financial instruments
The Group uses derivative financial instruments to hedge its exposure to foreign exchange and interest
rate risks arising from operational, financial and investment activities. In accordance with its treasury
policy, the Group does not hold or issue derivative financial instruments for trading purposes.
Derivative financial instruments are recognised initially at cost. Subsequent to initial recognition,
derivative financial instruments are stated at fair value. The gain or loss on remeasurement to fair value
is recognised immediately in profit or loss.
(W) Non-current assets held for sale and discontinued operations
Immediately before classification as held for sale, the remeasurement of the assets (and all assets and
liabilities in a disposal group) is brought up-to-date in accordance with applicable IFRSs. Then, on initial
classification as held for sale, non-current assets and disposal groups are recognised at the lower of
carrying amount and fair value less costs to sell.
Impairment losses on initial classification as held for sale are included in the profit or loss. The same
applies to gains and losses on subsequent remeasurement.
116
A discontinued operation is a component of the Group’s business that represents a separate major line
of business or a geographical area of operations or is a subsidiary acquired exclusively with a view to
resale.
Classification as a discontinued operation occurs upon disposal or when the operation meets the criteria
to be classified as held for sale, if earlier. A disposal group that is to be abandoned may also qualify.
(X) Earnings per share
The Group presents basic and diluted earnings per share (EPS) data for its ordinary shares. Basic EPS
is calculated by dividing the profit or loss attributable to equity holders of the Group by the weighted
average number of ordinary shares outstanding during the period.
The diluted EPS is determined by adjusting the profit or loss attributable to ordinary shareholders and
the weighted average number of ordinary shares outstanding for the effects of all dilutive potential
ordinary shares, which comprise share options granted to the management.
(Y) Segment reporting
A segment is a distinguishable component of the Group that is engaged either in providing products
or services (business groups), or in providing products or services within a particular economic
environment (geographical segment), which is subject to risks and rewards that are different from those
of other segments.
Segment information is produced according to two different criteria: a primary segment reporting
format is based on the Group’s sector of activity (business groups), a secondary segment reporting
format is based on the main geographical regions.

Tessenderlo Group
(Z) Recently issued IFRS
To the extent that new IFRS requirements are expected to be applicable in the future, they have been
summarised hereafter.
• IFRS 8 Operating segments
IFRS 8 “Operating segments” introduces the “management approach” to segment reporting. IFRS 8,
which becomes mandatory for the Group’s 2009 financial statements, will require the disclosure of
segment information based on the internal reports regularly reviewed by the Group’s Chief Operating
Decision Makers in order to assess each segment’s performance and to allocate resources to them.
Currently the Group presents segment information in respect of its business and geographical segments
(see note 2 “Segment reporting”). IFRS 8 is not expected to trigger a material change to the Group’s
current segment reporting.
• Revised IAS 23 Borrowing costs
Revised IAS 23 “Borrowing costs” removes the option to expense borrowing costs and requires that an
entity capitalises borrowing costs directly attributable to the acquisition, construction or production of
a qualifying asset as part of the cost of that asset. The revised IAS 23 will become mandatory for the
Group’s 2009 financial statements and will not constitute a change in accounting policy for the Group.
• IFRIC 13 Customer Loyalty Programs
117
IFRIC 13 “Customer Loyalty Programs” addresses the accounting by entities that operate, or otherwise
participate in, customer loyalty programs for their customers. It relates to customer loyalty programs
under which the customer can redeem credits for awards such as free or discounted goods or services.
The Group has not yet determined the potential impact of the interpretation, which becomes mandatory
for the Group’s 2009 financial statements.
• Revised IAS 1 Presentation of financial statements
Revised IAS 1 Presentation of Financial Statements (2007) (endorsed by the European Union) introduces
the term total comprehensive income, which represents changes in equity during a period other than
those changes resulting from transactions with owners in their capacity as owners. Total comprehensive
income may be presented in either a single statement of comprehensive income (effectively combining
both the income statement and all non-owner changes in equity in a single statement), or in an
income statement and a separate statement of comprehensive income. Revised IAS 1, which becomes
mandatory for the Group’s 2009 consolidated financial statements, is not expected to have an impact on
the presentation of the consolidated financial statements.
• Amendments to IAS 32 Financial Instruments: Presentation and IAS 1 Presentation
of Financial Statements – Puttable Financial Instruments and Obligations Arising on
Liquidation
Amendments to IAS 32 Financial Instruments: Presentation and IAS 1 Presentation of Financial
Statements – Puttable Financial Instruments and Obligations Arising on Liquidation (endorsed by the

financial report 2008
European Union) requires puttable instruments, and instruments that impose on the entity an obligation
to deliver to another party a pro rata share of the net assets of the entity only on liquidation, to be
classified as equity if certain conditions are met. The Group has not yet determined the potential impact
of the amendments, which become mandatory for the Group’s 2009 consolidated financial statements,
with retrospective application required.
• Revised IFRS 3 Business Combinations (2008)
118
Revised IFRS 3 Business Combinations (2008) incorporates the following changes that are likely to be
relevant to the Group’s operations:
- The definition of a business has been broadened, which is likely to result in more acquisitions being
treated as business combinations.
- Contingent consideration will be measured at fair value, with subsequent changes therein
recognised in profit or loss.
- Transaction costs, other than share and debt issue costs, will be expensed as incurred.
- Any pre-existing interest in the acquiree will be measured at fair value with the gain or loss
recognised in profit or loss.
- Any non-controlling (minority) interest will be measured at either fair value, or at its proportionate
interest in the identifiable assets and liabilities of the acquiree, on a transaction-by-transaction
basis.
The Group has not yet determined the potential impact of the revised IFRS 3, which becomes mandatory
for the Group’s 2010 consolidated financial statements.
• Amended IAS 27 Consolidated and Separate Financial Statements (2008)
Amended IAS 27 Consolidated and Separate Financial Statements (2008) requires accounting for
changes in ownership interests by the Group in a subsidiary, while maintaining control, to be recognised
as an equity transaction. When the Group loses control of a subsidiary, any interest retained in the
former subsidiary will be measured at fair value with the gain or loss recognised in profit or loss.
The amendments to IAS 27, which become mandatory for the Group’s 2010 consolidated financial
statements, are not expected to have any material impact on the Group’s consolidated financial
statements.
• Amendment to IFRS 2 Share-based Payment – Vesting Conditions and Cancellations
Amendment to IFRS 2 Share-based Payment – Vesting Conditions and Cancellations (endorsed by the
European Union) clarifies the definition of vesting conditions, introduces the concept of non-vesting
conditions, requires non-vesting conditions to be reflected in grant-date fair value and provides the
accounting treatment for non-vesting conditions and cancellations. The amendments to IFRS 2, that
will become mandatory for the Group’s 2009 consolidated financial statements, with retrospective
application, are not expected to have any material impact on the Group’s consolidated financial
statements.
• IFRIC 15 Agreements for the Construction of Real Estate
IFRIC 15 Agreements for the Construction of Real Estate concludes that revenues for real estate
construction projects will have to be recognised using the completed contract method in many cases,

Tessenderlo Group
except for specific situations where the percentage of completion method of revenue recognition can
be applied. This is the case when a contract relates to the sale of assets, but during the construction of
these assets revenue recognition criteria are met on a continuous basis (in relation to the completed
part of the project). IFRIC 15, which becomes mandatory for the Group’s 2009 consolidated financial
statements, with retrospective application, is not expected to have any material impact on the Group’s
consolidated financial statements.
• IFRIC 16 Hedges of a Net Investment in a Foreign Operation
IFRIC 16 Hedges of a Net Investment in a Foreign Operation discusses a number of issues in relation
to hedging currency risks on foreign operations (net investment hedges). IFRIC 16 specifically confirms
only the risk from differences between the functional currencies of the parent and the subsidiary can be
hedged. Additionally, currency risks can only be hedged by every (direct or indirect) parent company, as
long as the risk is only hedged once in the consolidated financial statements. IFRIC 16 also determines
the hedge instrument of a net investment hedge can be held by every group company, except for foreign
operation itself. The Group has not yet determined the potential impact of IFRIC 16, which becomes
mandatory for the Group’s 2009 consolidated financial statements, with prospective application.
• IFRIC 17 Distributions of Non-cash Assets to Owners
IFRIC 17 Distributions of Non-cash Assets to Owners addresses the treatment of distributions in kind
to shareholders. Outside the scope of IFRIC 17 are distributions in which the assets being distributed
are ultimately controlled by the same party or parties before and after the distribution (common control
transactions). A liability has to be recognised when the dividend has been appropriately authorised and
is no longer at the discretion of the entity, to be measured at the fair value of the non-cash assets to be
distributed. IFRIC 17, which becomes mandatory for the Group’s 2010 consolidated financial statements,
with prospective application, is not expected to have any material impact on the Group’s consolidated
financial statements.
119
• IFRIC 18 Transfers of Assets from Customers
IFRIC 18 Transfers of Assets from Customers addresses the accounting by access providers for
property, plant and equipment contributed to them by customers. Recognition of the assets depends on
who controls it. When the asset is recognised by the access provider, it is measured at fair value upon
initial recognition. The timing of the recognition of the corresponding revenue depends on the facts
and circumstances. IFRIC 18, which becomes mandatory for the Group’s 2010 consolidated financial
statements, with prospective application, is not expected to have any material impact on the Group’s
consolidated financial statements.
• Amendments to IFRS 1 First-time Adoption of IFRSs and IAS 27 Consolidated and
Separate Financial Statements – Cost of an Investment in a Subsidiary, Jointly-controlled
Entity or Associate
Amendments to IFRS 1 First-time Adoption of IFRSs and IAS 27 Consolidated and Separate Financial
Statements – Cost of an Investment in a Subsidiary, Jointly-controlled Entity or Associate (endorsed by
the European Union) revises, amongst others, the accounting for ‘pre-acquisition dividends’ received
from participating interests. Those dividends should be recognised as revenue, but such dividends may

financial report 2008
imply an indicator for the impairment of the participating interest. The amendment, which becomes
mandatory for the Group’s 2009 consolidated financial statements, with prospective application, is not
expected to have any material impact on the Group’s consolidated financial statements.
• Amendment to IAS 39 Financial Instruments: Recognition and Measurement – Eligible
Hedged Items
Amendment to IAS 39 Financial Instruments: Recognition and Measurement – Eligible Hedged Items
provides additional guidance concerning specific positions that qualify for hedging (‘eligible hedged
items’). The Group has not yet determined the impact of the amendment to IAS 39, which becomes
mandatory for the Group’s 2010 consolidated financial statements, with retrospective application.
• Improvements to IFRSs (2008)
Improvements to IFRSs (2008) (endorsed by the European Union) is a collection of minor improvements
to existing standards. The Group has not yet determined the potential impact of this collection, which
becomes mandatory for the Group’s 2009 consolidated financial statements.
120

Tessenderlo Group
2. Segment reporting
The segment reporting is based on two segment reporting formats. The primary reporting format
represents the three business groups of the Group’s internal financial reporting, the secondary reporting
format represents the Group’s two main geographical markets.
Segment assets and liabilities include items directly attributable to a segment as well as those that can
be allocated on a reasonable basis.
Segment capital expenditures include the cost of acquiring property, plant and equipment and intangible
assets.
Inter-segment pricing is determined on an arm’s length basis.
Business segments
The Group is reporting three business segments (business groups). Each includes several business
units:
- The “Chemicals” business group includes the Inorganics, Chlor-alkali and PVC business units.
- The “Specialities” business group includes the Fine Chemicals, Gelatin and Natural Derivatives
business units.
- The “Plastics Converting” business group includes the Profiles, Plastic Pipe Systems and
Compounds business units.
121
Geographical segments
The three business segments (business groups) operate worldwide, however mainly in two geographical
areas, Europe and the USA.
Segment revenue is based on the geographical location of customers, while segment assets and
liabilities are based on the geographical location of the assets.

financial report 2008
Chemicals
2008 2007
122
KEY DATA BY PRIMARY REPORTING SEGMENT
Revenue (internal and external) 1,502.5 1,122.8
Revenue (internal) 100.7 95.7
Revenue 1,401.8 1,027.1
Profit (+) / loss (-) from operations before non-recurring items (REBIT) 197.5 82.7
Non-recurring items -15.0 -4.7
Profit (+) / loss (-) from operations (EBIT) 182.5 78.0
Return on revenue (REBIT/revenue) 14.1% 8.1%
Finance costs - -
Share of result of investments accounted for using the equity method 7.7 2.9
Income tax expense - -
Profit (+) / loss (-) for the period - -
Segment assets 776.8 627.2
Investments accounted for using the equity method 19.4 10.4
Investments - -
Deferred tax assets - -
Cash and cash equivalents - -
Other unallocated receivables - -
Total Assets - -
Segment liabilities 280.5 240.3
Financial liabilities - -
Deferred tax liabilities - -
Equity - -
Total Equity & Liabilities - -
Capital expenditures: PP&E and intangible assets 29.1 39.5
Amortisation and depreciation -40.9 -41.4
Impairment losses on intangible assets and property, plant and equipment - -
Number of employees at year end (headcount) 1,965 2,009
Europe
2008 2007
KEY DATA BY SECONDARY REPORTING SEGMENT
Revenue by market 2,125.2 1,881.4
Segment assets 1,470.2 1,376.3
Segment liabilities 488.3 472.9
Capital expenditures: PP&E and intangible assets 90.8 91.4
The unallocated segment assets mainly include the office buildings and receivables within
the holding companies.
The unallocated segment liabilities comprise mainly the payables within those holding companies.

Tessenderlo Group
Specialities Plastics Converting Unallocated Tessenderlo Group
2008 2007 2008 2007 2008 2007 2008 2007
593.8 569.2 776.5 831.7 - - 2,872.8 2,523.7
7.1 6.8 - 15.3 - - 107.8 117.8
586.7 562.4 776.5 816.4 - - 2,765.0 2,405.9
34.6 31.9 22.4 49.2 -15.4 -11.5 239.1 152.3
8.2 -9.8 -19.5 -1.8 -0.6 51.4 -26.9 35.1
42.8 22.1 2.9 47.4 -16.0 39.9 212.2 187.4
5.9% 5.7% 2.9% 6.0% - - 8.6% 6.3%
- - - - - - -21.6 -17.6
3.8 3.1 - - - - 11.5 6.0
- - - - - - -61.7 -47.1
- - - - - - 140.4 128.7
413.5 401.5 454.3 491.3 51.6 13.2 1,696.2 1,533.2
15.6 13.6 - - 4.6 - 39.6 24.0
- - - - 5.2 6.1 5.2 6.1
- - - - 17.7 26.3 17.7 26.3
- - - - 53.5 93.6 53.5 93.6
- - - - 0.7 - 0.7 -
- - - - - - 1,812.9 1,683.2
103.2 109.9 101.0 122.9 33.7 33.3 518.4 506.4
- - - - 348.1 337.4 348.1 337.4
- - - - 44.4 37.2 44.4 37.2
- - - - 902.0 802.2 902.0 802.2
- - - - - - 1,812.9 1,683.2
30.8 31.5 32.4 33.5 9.1 - 101.4 104.5
-33.3 -40.8 -32.3 -34.8 -3.1 -2.8 -109.6 -119.8
-6.4 -12.3 - - - -12.3 -6.4
2,755 2,763 3,517 3,349 - - 8,237 8,121
123
USA Rest of the world Tessenderlo Group
2008 2007 2008 2007 2008 2007
296.7 260.2 343.1 264.3 2,765.0 2,405.9
185.0 120.4 41.0 36.5 1,696.2 1,533.2
23.1 27.3 7.0 6.2 518.4 506.4
7.0 9.8 3.6 3.3 101.4 104.5

financial report 2008
3. Acquisitions and disposals
Acquisitions – Activities / Subsidiaries
• In April 2008, Eurocell ltd, a UK subsidiary within the business unit Profiles, acquired the assets of
Sprint 1233, formerly Plastmo Profiles Ltd (Northampton, UK). Taking over the interests of Plastmo
will allow Eurocell to benefit from improved production efficiencies and economies of scale.
In December 2008, Eurocell ltd acquired the assets and operations of Cavalok Building Products.
Cavalok Building Products is the only manufacturer of BBA-accredited cavity closure systems
made from 100% post-consumer recycled PVC-u. This acquisition will extend the Eurocell product
offering and will help deliver significant operational efficiency benefits.
As Plastmo and Cavalok were immediately integrated in the Eurocell operations, no separate
reporting is maintained on their contributions to the profit of the Group, however in 2008 these are
considered to have been immaterial.
• In June 2008, Akiolis Group, a French subsidiary within the business unit Natural Derivatives,
acquired SR Collecte sas and Collectoco sarl. In August 2008, Akiolis Group also acquired
Recup’Food Sarl. These acquisitions will allow Akiolis Group to realise economies of scale.
124
These acquisitions by Akiolis Group did not have a significant contribution to the 2008 profit of the
Group. If the acquisition date of SR Collecte sas, Collectoco sarl and Recup’Food Sarl had been
1 January 2008, the impact on the revenue and profit of the Group would have been insignificant as
well.
• In September 2008, Tessenderlo Kerley acquired the assets, marketing and distribution channels of
Agrochem (Izmir, Turkey). Agrochem has been a key distributor for Tessenderlo Kerley in the area
for the past 14 years and has been manufacturing Tessenderlo Kerley plant nutrient solutions.
This acquisition did not have a significant contribution to the 2008 profit of the Group. If the
acquisition date had been 1 January 2008, the impact of this acquisition on the revenue and the
profit of the Group would have been insignificant as well.
• In October 2008, the Group reached an agreement with Nyloplast NV to take over all shares
of its subsidiary Nyloplast Europe BV (‘s Gravendeel, the Netherlands). Nyloplast Europe BV
manufactures large diameter plastic fittings for presureless pipe systems for the European market.
The systems are used for draining sewage and rain water. This extension of the range of products
and services will strengthen the position of the Plastic Pipe Systems business unit in Europe and
further develop its strategy for growth.
The acquisition of Nyloplast Europe BV did not yet have a significant impact on the 2008 revenue or
profit of the Group. If the acquisition date had been 1 January 2008, the revenue of the Group would
be higher by approximately 11.7 million EUR.

Tessenderlo Group
The table below summarises the impact of these agreements on the financial position of the Group:
Pre-acquisition
carrying
amounts
Fair value
adjustments
Recognised
values on
acquisition
Property, plant and equipment 5.7 5.9 11.6
Intangible assets 0.1 2.1 2.2
Non-current assets 5.8 8.0 13.8
Inventories 4.5 -0.8 3.7
Trade and other receivables 4.2 - 4.2
Cash and cash equivalents -1.6 - -1.6
Current assets 7.1 -0.8 6.3
Trade and other payables 5.0 - 5.0
Current liabilities 5.0 0.0 5.0
Non-current liabilities 0.7 1.4 2.1
Net assets 7.2 5.8 13.0
Goodwill on acquisition 5.1
Negative goodwill on acquisition -1.2
Consideration (paid)/received, satisfied in cash -16.9
Cash acquired/(disposed) of -1.6
Net cash (outflow)/inflow -18.5
125
The fair value adjustments performed at acquisition date are based on valuation studies performed
as well internally as by external experts. The intangible assets at acquisition date mainly relate to the
valuation of customer lists (note 12).
Acquisitions – Investments accounted for using the equity method
In October 2008 Tessenderlo Kerley acquired 30 % of the shares of Wolf Mountain Products LLC, Lindon,
Utah (USA). Tessenderlo Kerley also has an option to purchase an additional 20 % interest in Wolf
Mountain Products during the first half of 2014. Wolf Mountain Products offers a broad range of high
quality bark and wood-based products used as soil amendments, ground covers and playground chips.
This acquisition did not yet have a significant contribution to the 2008 profit of the Group. If the
acquisition date would have been 1 January 2008, the impact on the profit of the Group would also have
been insignificant.

financial report 2008
The table below summarises the impact of this agreement on the financial position of the Group:
Pre-acquisition
carrying
amounts
Fair value
adjustments
Recognised
values on
acquisition
Equity 2.4 8.0 10.4
Share Group (30%) 0.7 2.4 3.1
Goodwill on acquisition 0.0
Consideration (paid)/received, satisfied in cash -3.1
Cash acquired/(disposed) of 0.0
Net cash (outflow)/inflow -3.1
Disposals
No disposals were made during 2008.
126
4. Other income and expenses
2008 2007
Release of provisions 3.6 -
Additions to provisions - -
Research cost -14.3 -7.4
Grants 0.3 0.1
Depreciation -2.2 -2.3
Gains on disposal of PP&E and intangible assets -0.4 0.2
Write down debtors -2.7 -2.7
Other -10.9 -0.1
Total -26.6 -12.2
“Other” mainly includes taxes other than income taxes.

Tessenderlo Group
5. Non-recurring items
2008 2007
Gain on disposals 12.8 58.4
Restructuring (incl. impairment losses) -18.2 -15.6
Environmental provisions -14.2 -2.8
Other income and expenses -7.3 -4.9
Total -26.9 35.1
The non-recurring items for 2008 show an expense of 26.9 million EUR (2007: income of
35.1 million EUR).
The gain on disposals mainly includes the sale of land in England. The land has been sold for
5.7 million GBP, while the land had no carrying amount. The non-recurring result of this sale amounts
to 7.1 million EUR.
The impairment losses amount to 12.3 million EUR and are mainly related to property, plant and
equipment of subsidiaries in the business group Plastics Converting (12.2 million EUR).
On December 10th 2008, the environmental permit of Tessenderlo Chemie NV (Belgium) was extended
for a period of 20 years. Tessenderlo Chemie NV committed itself to invest in a new production process
and to find a durable solution to its environmental problems in Limburg (Belgium). As a consequence
of these commitments additional discounted environmental provisions were recorded for an amount of
14.5 million EUR.
127
Other income and expenses in 2008 relate to several incurred charges, including expenses as a
consequence of acquisitions, provisions on receivables and exceptional charges which are not covered by
insurance.
The non-recurring items in 2007 mainly included the gain realised on the sale of Tessenderlo Davison
Companies (TDC), a joint marketing venture with Davison Petroleum Products, (DDP), Ruston, United
States. The non-recurring gain of this business disposal amounted to 52.0 million EUR. In addition, the
sale of the subsidiary PB Gelatins France and the sale of land of Tessenderlo Kerley generated a nonrecurring
gain of 4.2 million EUR.
The restructuring provisions and expenses, as well as the environmental provisions, in 2007 mainly
concerned the final phase of the Target 2007 restructuring plan (9.1 million EUR) in the business group
Chemicals (7.5 million EUR) and the business unit Fine Chemicals (1.6 million EUR).
The impairment losses in 2007 amounted to EUR 8.4 million EUR and were mainly related to property,
plant and equipment in the business unit Fine Chemicals (3.9 million EUR) and the business unit Gelatin
(2.6 million EUR).

financial report 2008
6. Payroll and related benefits
note 2008 2007
Wages and salaries -286.3 -285.6
Employer’s social security contributions -76.8 -77.8
Other personnel costs -43.1 -31.1
Contributions to defined contribution
-3.8 -3.9
plans
Increase in liability for defined benefit
23 -4.6 -8.3
plans
Movement in asset for defined benefit
23 -0.5 -1.1
plans
Total -415.1 -407.8
The average number of FTEs for 2008 amount to 7,878 (2007: 7,794).
128

Tessenderlo Group
7. Additional information on operating expenses
by nature
Depreciation, amortisation and impairment losses are included in the following line items in the
income statement in 2008:
Depreciation
and impairment
losses on PP&E
Amortisation and
impairment losses on
intangible assets
Total
Cost of sales -91.1 -3.8 -94.9
Administrative expenses -9.8 - -9.8
Sales and Marketing - -2.7 -2.7
Other operating (income)/expenses -2.2 - -2.2
Restructuring (incl. impairment losses) -12.3 - -12.3
Total -115.4 -6.5 -121.9
Total depreciation charges and impairment losses in 2008 amount to 124.4 million EUR (note 10 and
12). Taking into account the effect of government grants in 2008 (note 10), the net depreciation charges
amount to 121.9 million EUR.
Depreciation, amortisation and impairment losses are included in the following line items in the
income statement in 2007:
129
Depreciation
and impairment
losses on PP&E
Amortisation and
impairment losses on
intangible assets
Total
Cost of sales -104.4 -4.1 -108.5
Administrative expenses -9.1 - -9.1
Other operating income/(expenses) -2.1 - -2.1
Restructuring (incl. impairment losses) -6.5 - -6.5
Total -122.1 -4.1 -126.2

financial report 2008
8. Finance income and expense
Finance expense:
2008 2007
Interest expense on financial liabilities measured at amortised
-15.2 -17.7
cost
Foreign exchange losses -12.1 -5.0
Other -2.5 -1.2
Total -29.8 -23.9
Finance income:
2008 2007
Interest income from cash and cash equivalents 2.8 4.2
Dividend income, non-consolidated companies 0.4 0.2
Revaluation to fair value of derivatives 5.0 1.9
Total 8.2 6.3
130
The net interest expense of 12.4 million EUR (2007: 13.5 million EUR) decreased by 1.1 million EUR
thanks to the further decrease of the average outstanding net financial debt in 2008 compared to 2007
(see note 22).

Tessenderlo Group
9. Income tax expense
2008 2007
RECOGNISED IN THE INCOME STATEMENT
Current tax expense -49.1 -50.3
Adjustment current tax expense previous periods 1.1 -
Deferred tax expense -13.7 3.2
Total income tax expense in the income statement -61.7 -47.1
Profit (+) / loss (-) before tax 202.1 175.8
Less share of result of associates, net of taxes 11.5 6.0
Profit (+) / loss (-) before tax and before result from associates 190.6 169.8
Effective tax rate 32.4% 27.7%
RECONCILIATION OF EFFECTIVE TAX RATE
Profit (+) / loss (-) before tax and before results from
190.6 169.8
associates
Theoretical tax rate (*) 33.1% 35.2%
Expected income tax at the theoretical tax rate -63.1 -59.9
131
Difference between theoretical and effective tax expenses 1.4 12.8
Adjustment on deferred taxes 0.1 -4.7
Change in tax rates 0.1 -1.4
Impairment (-) / reversal of an impairment (+) of a recognised
deferred tax asset
- -3.3
Adjustment on tax expenses 1.3 17.5
Non deductible expenses -2.8 -2.8
Special tax regimes 5.7 4.8
Use or recognition of tax losses / tax credits not previously
0.4 18.1
recognised
Tax losses for which no deferred tax asset has been recorded -5.6 -1.2
Impact of tax consolidation regimes - -
Adjustment current tax expense previous periods 1.1 -
Other 2.5 -1.4
(*) Theoretical aggregated weighted tax rate of all group companies
The impact of the change in tax rates amounts to 0.1 million EUR in 2008, which is related to the change
in tax rates in Luxembourg. The impact in 2007 amounted to -1.4 million EUR and was related to the
change in tax rates, announced or already effective, in Germany, Italy and the United Kingdom.

financial report 2008
10. Property, plant and equipment
Land and
buildings
Plant,
machinery
and
equipment
Furniture
and
vehicles
Under
construction
Total
ACQUISITION COST
At 1 January 2008 416.7 1,860.4 110.7 23.0 2,410.8
. acquisitions through
5.5 5.9 0.2 - 11.6
business combinations
(note 3)
. capital expenditure 7.7 42.4 10.6 33.5 94.2
. sales and disposals -1.6 -14.8 -4.8 -0.6 -21.8
. transfers 0.6 23.3 1.3 -26.5 -1.3
. translation differences -5.8 -43.0 -1.0 -0.3 -50.1
At 31 December 2008 423.1 1,874.2 117.0 29.1 2,443.4
132
DEPRECIATION AND IMPAIRMENT LOSSES
At 1 January 2008 -198.1 -1,431.1 -93.2 0.0 -1,722.4
. acquisitions through
- - - - 0.0
business combinations
. depreciation -13.5 -84.5 -7.7 - -105.7
. sales and disposals 1.0 13.7 4.6 - 19.3
. impairment losses -1.4 -10.7 -0.1 - -12.2
. transfers 0.5 0.3 -0.2 - 0.6
. translation differences - 36.4 0.6 - 37.0
At 31 December 2008 -211.5 -1,475.9 -96.0 0.0 -1,783.4
CARRYING AMOUNTS BEFORE GOVERNMENT GRANTS
Net government grants - -8.0 - - -8.0
CARRYING AMOUNTS
At 1 January 2008 218.6 418.7 17.5 23.0 677.8
At 31 December 2008 211.6 390.3 21.0 29.1 652.0

Tessenderlo Group
Land and
buildings
Plant,
machinery
and
equipment
Furniture
and
vehicles
Under
construction
Total
ACQUISITION COST
At 1 January 2007 415.9 1,826.8 109.4 19.4 2,371.5
. acquisitions through
- 6.5 - - 6.5
business
combinations
. capital expenditure 10.0 44.1 8.9 35.6 98.6
. sales and disposals -5.4 -18.4 -7.0 -0.3 -31.1
. transfers 1.7 27.9 0.7 -31.2 -0.9
. translation differences -5.5 -26.5 -1.3 -0.5 -33.8
At 31 December 2007 416.7 1,860.4 110.7 23.0 2,410.8
DEPRECIATION AND IMPAIRMENT LOSSES
At 1 January 2007 -188.7 -1,362.9 -93.3 0.0 -1,644.9
. acquisitions through
- - - - 0.0
business combinations
. depreciation -14.2 -94.4 -7.1 - -115.7
. sales and disposals 4.4 13.0 6.2 - 23.6
. impairment losses -1.0 -5.4 - - -6.4
. transfers - 0.6 - - 0.6
. translation differences 1.4 18.0 1.0 - 20.4
At 31 December 2007 -198.1 -1,431.1 -93.2 0.0 -1,722.4
133
CARRYING AMOUNTS BEFORE GOVERNMENT GRANTS
Net government grants - -10.6 - - -10.6
CARRYING AMOUNTS
At 1 January 2007 227.2 463.9 16.1 19.4 726.6
At 31 December 2007 218.6 418.7 17.5 23.0 677.8
The capital expenditure amounts to 94.2 million EUR and is broken down per business segment, in the
“Segment reporting” section (note 2).
An amount of 11.6 million EUR is disclosed as acquisition through business combinations. The detailed
information is disclosed in “Acquisitions and disposals” (note 3).
Impairment losses for an amount of 12.2 million EUR were recognised during the second quarter of
2008 and are mainly related to impairment losses recognised on the property, plant and equipment of
subsidiaries in the business group Plastics Converting. The market for the related companies’ products
continued to deteriorate in 2008 as a consequence of the current economic difficulties, which in turn
caused the Group to reevaluate its projections and views of the market’s ability to improve.
The recoverable amount of these assets has been determined based on value in use calculations, and
was compared to the fair value of these assets.

financial report 2008
The impairment losses of 2007 were recorded on property, plant and equipment in the business unit
Fine Chemicals and the business unit Gelatin. The recoverable amount has been determined based on
value in use calculations.
In 2007, the Flemish government granted Tessenderlo Chemie NV and Limburgse Vinyl Maatschappij NV
12.5 million EUR for large-scale environmental investments. The remaining net government grant as
per 31 December 2008 amounts to 8.0 million EUR (2007: 10.6 million EUR).
No property, plant and equipment is pledged as security for liabilities.
Assets for an amount of 0.7 million EUR are classified as non-current assets held for sale (note 19).
The Group leases property, plant and equipment under a number of finance lease agreements. At the
end of each of the leases, the Group has the option to purchase the equipment at a beneficial price. As
per 31 December 2008, the net carrying amount of leased property, plant and equipment amounted to
4.8 million EUR (2007: 5.8 million EUR). For an overview of the lease payables, we refer to note 22.
The finance leases mainly consist of land and buildings (4.8 million EUR).
134
11. Goodwill
ACQUISITION COST
At 1 January 2008 64.6
. acquisitions through business combinations 5.1
. sales and disposals -
. transfers 0.7
. translation differences -6.5
At 31 December 2008 63.9
IMPAIRMENT LOSSES
At 1 January 2008 -27.4
. acquisitions through business combinations -
. sales and disposals -
. transfers -
. translation differences 1.8
At 31 December 2008 -25.6
CARRYING AMOUNTS
As per 1 January 2008 37.2
As per 31 December 2008 38.3

Tessenderlo Group
ACQUISITION COST
At 1 January 2007 69.5
. acquisitions through business combinations 0.2
. sales and disposals -
. transfers -
. translation differences -5.1
At 31 December 2007 64.6
IMPAIRMENT LOSSES
At 1 January 2007 -29.4
. acquisitions through business combinations -
. sales and disposals -
. transfers -
. translation differences 2.0
At 31 December 2007 -27.4
CARRYING AMOUNTS
As per 1 January 2007 40.1
As per 31 December 2007 37.2
During the fourth quarter of 2008, the Group completed its annual impairment test for goodwill and
concluded, based on the assumptions below, that no impairment charge was deemed necessary.
The Group cannot foresee whether an event that triggers impairment will occur, when it will occur or
how it will affect the asset values reported. The Group believes that all of its estimates are reasonable.
They are consistent with the internal reporting and reflect management’s best estimates.
135
Goodwill only accounts for approximately 2.1 % of the Group’s total assets as at 31 December 2008
(2007: 2.2 %). The impairment testing on goodwill, relies on a number of critical judgements, estimates
and assumptions.
Goodwill has been tested for impairment on company level or at the most relevant level based on valuein-use
calculations. The key judgements, estimates and assumptions used in these calculations are as
follows:
- The cash flow projection of the first year is based on the current year financial budget (2009).
- For the next four years (2010-2013), cash flow projections used are based on a long term plan for
the coming 5 years.
- In order to calculate the terminal value, the data of the fifth year are extrapolated by using
simplified assumptions such as constant quantities sold, combined with constant costs.
- Projections are made in the functional currency of the company and are discounted at the company
level Weighted Average Cost of Capital.
Although the Group believes that its judgements, assumptions and estimates are appropriate, actual
results may differ from these estimates under different assumptions or conditions.

financial report 2008
12. Intangible assets
USEFUL LIFE
DEVELOPMENT
CONCESSIONS,
PATENTS,
LICENSES
SOFTWARE
CUSTOMER
LISTS
OTHER
OTHER
TOTAL
FINITE
INDEFINITE
136
ACQUISITION VALUE
At 1 January 2008 3.7 27.8 12.5 10.6 19.0 1.8 75.4
. acquisitions through business - - - 2.2 - - 2.2
combinations (note 3)
. capital expenditure - 3.9 2.1 1.0 0.2 - 7.2
. sales and disposals - - - - - - 0.0
. transfers - 3.3 0.3 -0.2 -3.4 - 0.0
. translation differences - 0.3 -1.0 -0.4 0.7 - -0.4
At 31 December 2008 3.7 35.3 13.9 13.2 16.5 1.8 84.4
AMORTISATION AND IMPAIRMENT LOSSES
At 1 January 2008 -1.1 -19.4 -9.4 -3.8 -4.8 0.0 -38.5
. acquisitions through business - - - - - - 0.0
combinations
. amortisation -0.7 -2.1 -1.5 -1.0 -1.2 - -6.5
. sales and disposals - - - - - - 0.0
. transfers - -0.8 -0.2 - 1.0 - 0.0
. translation differences - -0.1 0.6 0.2 -0.2 - 0.5
At 31 December 2008 -1.8 -22.4 -10.5 -4.6 -5.2 0.0 -44.5
CARRYING AMOUNTS
At 1 January 2008 2.6 8.4 3.1 6.8 14.2 1.8 36.9
At 31 December 2008 1.9 12.9 3.4 8.6 11.3 1.8 39.9

Tessenderlo Group
USEFUL LIFE
DEVELOPMENT
CONCESSIONS,
PATENTS,
LICENSES
SOFTWARE
CUSTOMER LISTS
OTHER
OTHER
TOTAL
FINITE
INDEFINITE
ACQUISITION VALUE
At 1 January 2007 3.7 22.2 12.2 6.8 9.8 2.1 56.8
. acquisitions through business - 3.6 - 2.4 9.7 - 15.7
combinations
. capital expenditure - 2.5 0.3 1.5 1.2 - 5.5
. sales and disposals - -0.4 - - - - -0.4
. transfers - - 0.3 - - - 0.3
. translation differences - -0.1 -0.3 -0.1 -1.7 -0.3 -2.5
At 31 December 2007 3.7 27.8 12.5 10.6 19.0 1.8 75.4
137
AMORTISATION AND IMPAIRMENT LOSSES
At 1 January 2007 -0.2 -19.0 -8.2 -3.3 -4.2 0.0 -34.9
. acquisitions through business - - - - - - 0.0
combinations
. amortisation -0.7 -0.8 -1.4 -0.3 -0.9 - -4.1
. sales and disposals - 0.2 - - - - 0.2
. transfers -0.2 0.2 - - - - 0.0
. translation differences - - 0.2 -0.2 0.3 - 0.3
At 31 December 2007 -1.1 -19.4 -9.4 -3.8 -4.8 0.0 -38.5
CARRYING AMOUNTS
At 1 January 2007 3.5 3.2 4.0 3.5 5.6 2.1 21.9
At 31 December 2007 2.6 8.4 3.1 6.8 14.2 1.8 36.9
The capital expenditure amounts to 7.2 million EUR and is broken down per business segment, in the
“Segment reporting” section (note 2).
An amount of 2.2 million EUR is disclosed as acquisition through business combinations. The detailed
information is disclosed in “Acquisitions and disposals” (note 3).
The “other” intangible assets with finite useful lives consist mainly of two non-competition agreements,
know how, a product label and land-use rights. The non-compete agreements, the product label and the
know-how are being amortised on a straight-line basis over 5-15 years.

financial report 2008
The intangible assets with indefinite useful life relate to trademarks which are considered to have an
indefinite life unless plans would exist to discontinue the related activity. The intangible assets with
indefinite useful life have been tested for impairment and no impairment charge was deemed necessary.
No intangible assets are pledged as security for liabilities.
13. Investments accounted for using the equity
method
Investments accounted for using the equity method consist of joint ventures and associates.
The joint ventures of the Group are:
Ownership
Country 2008 2007
138
Jupiter Sulphur US 50% 50%
Zéoline Belgium 50% 50%
Siram France 50% 50%
SH Capital (Groupe Fiso) France 50% 50%
Ferso Bio (Groupe Fiso) France 50% 50%
Fiso Developpement (Groupe Fiso) France 50% 50%
Solagra (Groupe Fiso) France 50% 50%
Labrousse (Groupe Fiso) France 50% 25%
Ispac (Groupe Fiso) France 50% 25%
MPR Middle East Bahrain 50% -
The associates of the Group are:
Ownership
Country 2008 2007
Alkemin US 49.50% 49.50%
T-Power Belgium 33.33% -
Wolf Mountain Products US 30% -
Bonnet (Groupe Fiso) France 25% 25%
Michel (Groupe Fiso) France 25% 25%

Tessenderlo Group
The carrying amount of the investments accounted for using the equity method is as follows:
2008 2007
Alkemin 0.0 0.0
Groupe Fiso 14.8 12.8
Jupiter Sulphur 13.5 7.0
MPR Middle East 0.1 -
Siram 0.8 0.9
T-Power 4.6 -
Wolf Mountain Products 2.8 -
Zéoline 3.0 3.3
Total 39.6 24.0
Summary financial information on investments accounted for using the equity method at 100 percent:
2008 2007
Current assets 123.6 56.7
Non-current assets 141.6 48.3
Current liabilities 68.8 30.6
Non-current liabilities 108.0 21.9
Revenue 121.0 105.8
Profit (+) / loss (-) from operations 38.5 21.0
Profit for the period (+) / loss (-) attributable to equity holders 23.0 12.0
139
The above financial information includes results of the new associates T-Power and Wolf Mountain
Products as from December 2008. The results of MPR Middle East are insignificant and are included as
from January 2008.
14. Investments
2008 2007
Investments in equity securities 4.5 5.6
Cash guarantees / deposits 0.7 0.5
Total 5.2 6.1
Investments in equity securities 2008 2007
TC Nederland, Netherlands 0.8 0.8
Indaver, Belgium 0.6 0.6
TC Espana, Spain 0.6 0.6
GLOBE International, Belgium 0.5 0.5
LVM United Kingdom Ltd, United Kingdom 0.2 0.2
Polycoop, Argentina - 1.1
Ashdec Umwelt, Austria 0.4 -
Other 1.4 1.8
Total 4.5 5.6
The investments in unquoted companies are measured at cost as their fair value can not be reliably
determined.

financial report 2008
15. Deferred tax assets and liabilities
ASSETS LIABILITIES NET
2008 2007 2008 2007 2008 2007
Property, plant & equipment 5.5 3.5 -31.1 -31.0 -25.6 -27.5
Goodwill 1.4 1.7 - - 1.4 1.7
Intangible assets 1.4 2.3 - - 1.4 2.3
Inventories 2.4 2.7 -8.3 -1.9 -5.9 0.8
Receivables - 0.1 - - 0.0 0.1
Derivative financial instruments - - -0.1 -0.2 -0.1 -0.2
Other current assets 0.8 0.5 - - 0.8 0.5
Employee benefits 3.1 4.9 -3.2 -3.9 -0.1 1.0
Provisions 3.4 4.0 -16.2 -15.5 -12.8 -11.5
Other items - 0.1 -0.3 - -0.3 0.1
Losses carried forward 26.3 33.6 - - 26.3 33.6
Impairment of deferred tax assets -11.8 -11.8 - - -11.8 -11.8
Gross deferred tax assets / (liabilities) 32.5 41.6 -59.2 -52.5 -26.7 -10.9
Set off of tax -14.8 -15.3 14.8 15.3
140
Net deferred tax assets / (liabilities) 17.7 26.3 -44.4 -37.2 -26.7 -10.9
All movements of deferred tax assets and deferred tax liabilities are recorded through the income
statement, except for conversion differences (-0.7 million EUR in 2008) and the existing deferred tax
assets and deferred tax liabilities at date of acquisitions (-1.4 million EUR in 2008).
On 31 December 2008, a deferred tax liability of 18.6 million EUR (2007: 15.8 million EUR) relating
to undistributed reserves within the subsidiaries of the Group has not been recognised because
management believes that this liability will not be incurred in the foreseeable future.
Tax losses carried forward on which no deferred tax asset is recognised amount to 45.7 million EUR
(2007: 78.8 million EUR). These tax losses have an indefinite life. Deferred tax assets have not been
recognised on these items because it is not probable that future taxable profits (within the next 5 years)
will be available against which the unused tax losses can be utilised.

Tessenderlo Group
16. Trade and other receivables
2008 2007
Non-current trade and other receivables
Trade receivables 0.7 0.2
Gross trade receivables 0.7 0.2
Amounts written off - -
Other receivables 2.2 5.1
Prepayments - -
Receivables from related parties - -
Assets related to employee benefit schemes 14.5 10.2
Total 17.4 15.5
2008 2007
Current trade and other receivables
Trade receivables 401.7 378.5
Gross trade receivables 416.2 391.6
Amounts written off -14.5 -13.1
Other receivables 58.1 44.3
Prepayments 0.6 0.9
Receivables from related parties 9.1 0.3
Total 469.5 424.0
141
Receivables from related parties concern receivables on joint-ventures and associates (note 30).
17. Inventories
2008 2007
Consumables 132.3 95.1
Work in progress 23.2 21.4
Finished goods 274.3 184.3
Goods purchased for resale 43.9 39.1
Total 473.7 339.9
There are no inventories pledged for security.
The cost of inventories recognised as an expense in 2008, amounts to 1,414.7 million EUR
(2007: 1,078.3 million EUR), included in cost of sales.
The carrying amount of inventory, which was set at net realisable value as per year-end 2008 amounts to
146.1 million EUR (2007: 38.0 million EUR). An amount of 22.7 million EUR was expensed in 2008
(2007: 3.7 million EUR) of which 19.4 million EUR relates to an inventory write-off during the fourth quarter
of 2008. This inventory write-off was mainly the consequence of the strong decrease of sales prices in the
beginning of 2009.
In 2008 an insignificant income was recognised as a reverse of a write-off on inventories.

financial report 2008
18. Cash and cash equivalents
2008 2007
Term accounts 0.5 0.2
Current accounts 53.0 93.4
Cash in hand - -
Total 53.5 93.6
19. Non-current assets held for sale
2008 2007
Non-current assets held for sale 0.7 -
The non-current assets held for sale at 31 December 2008 include the land and buildings of two sites of
a subsidiary in the Business Group Plastics Converting. Following a restructuring of its activities, these
assets remain unused and are set for sale.
142

Tessenderlo Group
20. Equity
Reconciliation of movement in equity
Issued capital
Share premium
Other reserves
Translation
reserves
Negative goodwill
Retained earnings
Equity attributable
to equity holders
of the Group
Minority interest
Total Equity
Balance at 1 January 2007 136.0 36.5 238.9 -5.6 0.4 303.3 709.5 2.2 711.7
Total recognised income and
- - - -12.4 - 128.9 116.5 -0.2 116.3
expense
Shares issued 1.0 5.5 - - - - 6.5 - 6.5
Dividends paid to shareholders - - - - - -33.5 -33.5 - -33.5
Share based payments - - 1.2 - - - 1.2 - 1.2
Other movements - - 16.1 - - -16.1 0.0 - 0.0
Balance at 31 December 2007 137.0 42.0 256.2 -18.0 0.4 382.6 800.2 2.0 802.2
Balance at 1 January 2008 137.0 42.0 256.2 -18.0 0.4 382.6 800.2 2.0 802.2
Total recognised income and
- - - -8.8 - 140.5 131.7 -0.1 131.6
expense
Shares issued 1.0 1.3 - - - - 2.3 - 2.3
Dividends paid to shareholders - - - - - -35.0 -35.0 - -35.0
Share based payments - - 0.8 - - - 0.8 - 0.8
Other movements - - 82.8 - - -82.8 0.0 0.1 0.1
Balance at 31 December 2008 138.0 43.3 339.8 -26.8 0.4 405.3 900.0 2.0 902.0
143
Issued capital and share premium
Ordinary shares
2008 2007
On issue at 1 January 27,626,444 27,419,876
Issued for cash at 4 September 2007 206,568
Issued for cash at 1 September 2008 86,844
On issue at 31 December – fully paid 27,713,288 27,626,444
The number of shares comprised 7,602,211 registered shares (2007: 7,664,192) and 20,111,077 ordinary
shares (2007: 19,962,252). The shares are without nominal value.
Translation reserves
The translation reserves comprise all foreign exchange differences arising from the translation of the
financial statements of foreign operations.
Dividends
After the balance sheet date, the Board of Directors will propose to the shareholders at the Annual
Shareholders’ meeting of 2 June 2009, to approve a dividend distribution of 36.9 million EUR or a net
dividend per share of 1.00 EUR. The dividend has not been accounted for.

financial report 2008
21. Earnings per share
Basic earnings per share
The calculation of the basic earnings per share is based on the profit attributable to ordinary
shareholders and the weighted average number of ordinary shares outstanding during the year.
The weighted average number of ordinary shares and the earnings per share are calculated as follows:
2008 2007
Number of ordinary shares at 1 January 27,626,444 27,419,876
Effect of shares issued 28,789 66,964
Weighted average number of ordinary shares 27,655,233 27,486,840
Profit (+) / loss (-) attributable to equity holders of the Group
140.5 128.9
(in million EUR)
Basic earnings per share (in EUR) 5.08 4.69
Diluted earnings per share
144
The calculation of diluted earnings per share is based on the profit attributable to ordinary shareholders
and the diluted weighted average number of ordinary shares outstanding during the year.
The weighted average number of ordinary shares (diluted) and the diluted earnings per share are
calculated as follows:
2008 2007
Weighted average number of ordinary shares at 31st December 27,655,233 27,486,840
Effect of share option on issue 6,622 35,898
Diluted weighted average number of ordinary shares at 31st December 27,661,855 27,522,738
Profit (+) / loss (-) attributable to equity holders
140.5 128.9
of the Group (in million EUR)
Diluted earnings per share (in EUR) 5.08 4.68
22. Financial liabilities
2008 2007
Non-current financial liabilities 96.7 122.6
Current financial liabilities 251.4 214.8
Total financial liabilities 348.1 337.4
Cash and cash equivalents -53.5 -93.6
Net financial liabilities 294.6 243.8

Tessenderlo Group
The net debt equity ratio at the end of 2008 is 32.7 % (year end 2007: 30.4 %).
2008 2007
Non-current financial liabilities
Lease payables 1.9 2.6
Credit institutions 94.8 120.0
Total 96.7 122.6
Terms and debt repayment schedule 2008:
other
currencies
in EUR
in EUR Total Rate (%)
Effective
rate (%)
Maturity
Credit institutions - 20.0 floating 3.59 June ‘10-’13
Credit institutions - 40.0 3.368 (fixed) - Oct ‘10-’13
Credit institutions - 30.0 3.65 (fixed) - Dec ‘10-’12
Credit institutions - 4.8 floating 0-4.5 ‘10-’15
Lease payables - 1.9 5,8 (fixed) - ‘10-’16
Total 0.0 96.7
Total: equivalent in EUR 0.0 96.7 96.7
145
Terms and debt repayment schedule 2007:
other
currencies
in EUR
in EUR Total Rate (%)
Effective
rate (%)
Maturity
Credit institutions - 25.0 floating 5.18 June ‘09-’13
Credit institutions - 50.0 3.368 (fixed) - Oct ‘09-’13
Credit institutions - 40.0 3.65 (fixed) - Dec ‘09-’12
Credit institutions 0.8 4.2 floating 0-4.5 ‘09-’15
Lease payables - 2.6 5.8 (fixed) - ‘08-’16
Total 0.8 121.8
Total: equivalent in EUR 0.8 121.8 122.6
Some covenants like balance sheet or interest coverage ratios or coverage of net debt by EBITDA may
apply to long term debt and medium term facilities. All ratios have been respected in 2008.
2008 2007
Current financial liabilities
Current portion long term financial liabilities 25.0 25.0
Lease payable within 1 year 0.1 0.1
Credit institutions and commercial paper 226.3 189.7
Total 251.4 214.8

financial report 2008
Of the current financial liabilities per 31 December 2008, 71.6 million EUR (2007: 51.6 million EUR) are
represented by treasury bills (commercial paper) issued by Tessenderlo Finance (25.8 million EUR), a
Belgian subsidiary and by Tessenderlo Nl Holding (45.8 million EUR), a Dutch subsidiary. The interest
rate on this commercial paper amounts from Euribor +0.10% to Euribor +0.17%, depending on the
duration of the loan.
The Group uses short-term credit lines with credit institutions for the remaining part of the financing.
Analysis of non-current and current financial liabilities by currency (2008):
EUR USD GBP Others Total
Current financial liabilities (*) 211.8 22.0 15.0 2.6 251.4
Non-current financial liabilities 96.7 - - - 96.7
Total financial liabilities 308.5 22.0 15.0 2.6 348.1
In percentage of total financial liabilities 88.62% 6.32% 4.31% 0.75% 100.00%
Analysis of non-current and current financial liabilities by currency (2007):
EUR USD GBP Others Total
146
Current financial liabilities (*) 180.2 22.8 3.7 8.1 214.8
Non-current financial liabilities 121.8 - - 0.8 122.6
Total financial liabilities 302.0 22.8 3.7 8.9 337.4
In percentage of total financial liabilities 89.51% 6.76% 1.10% 2.64% 100.00%
(*) Part of these loans are denominated in EUR and afterwards swapped in GBP (see also note 26). The
original loan remains in EUR.
Terms and repayment schedule for finance lease contracts for 2007 and 2008:
Lease
payables
2008
Interest
2008
Principal
2008
Lease
payables
2007
Interest
2007
Principal
2007
Less than one year 0.2 0.1 0.1 0.3 0.2 0.1
Between one and five years 1.9 0.2 1.7 2.5 0.3 2.2
More than five years 0.2 0.0 0.2 0.5 0.1 0.4
Total 2.3 0.3 2.0 3.3 0.6 2.7

Tessenderlo Group
23. Employee benefits
The provision for early retirement and defined benefit pension plans recognised in the balance sheet is
as follows:
Early
retirement
provision
Defined benefit
pension plan
Total
Balance at 1 January 2008 16.8 29.6 46.4
Additions 0.6 1.6 2.2
Use of provision - -0.3 -0.3
Reversal of provision -4.6 -5.3 -9.9
Translation differences - -0.3 -0.3
Transfers 2.8 - 2.8
Balance at 31 December 2008 15.6 25.3 40.9
The entity’s accounting policy for recognising actuarial gains and losses
The recognition of actuarial gains and losses is determined separately for each defined benefit plan.
All actuarial gains and losses as at 1 January 2004, the date of transition to IFRSs, were recognised. All
actuarial gains and losses subsequent to 1 January 2004 exceeding a corridor of 10 % of the higher of
the present value of the defined benefit obligations and the fair value of plan assets are recognised in
the income statement over the expected average remaining working lives of employees participating in
the plan. Otherwise, the actuarial gain or loss is not recognised.
147
A general description of the type of plan
• Employee Benefits
These provisions are recorded to cover the post employment benefits and cover the pension plans and
other benefits in accordance with local practices and conditions, following an actuarial calculation taking
into account the financing of insurance companies and other pension funds. The most important pension
plans are located in Belgium, the Netherlands, the United States of America, the United Kingdom,
Germany and Italy.
• Defined contribution plans
The defined contribution pension plans are plans for which the company pays pre-determined
contributions to a legal entity or a separate fund, in accordance with the settings of the plans. The
company’s legal or constructive obligation is limited to the amount contributed. The contributions are
recognised as an expense in the income statement as incurred and are included in “Payroll and related
benefits” (note 6).
• Defined benefit plans
These plans are financed externally by pension funds or insurance companies. Independent actuaries
perform an actuarial valuation on a regular basis. All actuarial gains and losses as at 1 January 2004,
the date of transition to IFRSs, were recognised.

financial report 2008
The amounts recognised in the balance sheet are as follows:
2008 2007 2006 2005 2004
Present value of wholly funded obligations 78.9 83.7 93.2 77.8 50.3
Present value of partially funded obligations 71.2 75.4 76.2 92.3 94.4
Present value of wholly unfunded obligations 18.0 18.9 17.3 19.4 18.2
Total present value of obligations 168.1 178.0 186.7 189.5 162.9
Fair value of plan assets 147.3 161.7 167.6 159.1 135.8
Deficit 20.8 16.3 19.1 30.4 27.1
Unrecognised actuarial gains (losses) -10.0 3.1 -2.5 -13.0 -3.1
Net liability 10.8 19.4 16.6 17.4 24.0
Unrecognised in % of funded obligations 5.95% -1,74% 1,34% 6,86% 1,90%
Unrecognised in % of plan assets 6.79% -1.92% 1.49% 8.17% 2.28%
Amounts in the balance sheet:
Liabilities 25.3 29.6 29.4 29.7 28.7
Assets (note 16) 14.5 10.2 12.8 12.4 4.7
Net liability 10.8 19.4 16.6 17.3 24.0
148
The amounts recognised in the income statement are as follows:
2008 2007
Current service cost 6.0 5.8
Interest cost 9.0 9.1
Expected return on plan assets -9.5 -9.5
Past service cost (benefit) -0.4 4.0
Total, included in ‘payroll and related benefits’ (note 6) 5.1 9.4
The past service cost in 2007 was mainly related to a plan settlement in a US subsidiary, a plan
curtailment in the Italian subsidiaries and a change in French law concerning employee benefits.
These items are presented under non-recurring items.
The net periodic pension cost is included in the following line items of the income statement:
2008 2007
Cost of sales 3.0 3.5
Distribution expenses 0.1 0.1
Sales and marketing expenses 0.7 1.0
Administrative expenses 1.3 0.8
Other operating income/(expenses) - -
Non-recurring items, net - 4.0
Total 5.1 9.4

Tessenderlo Group
Changes in the present value of the defined benefit obligation are as follows:
2008 2007
Opening defined benefit obligation 178.0 186.7
Change in scope of consolidation - 4.0
Current service cost 7.3 7.2
Past service cost - 2.1
Interest cost 9.0 9.1
Actuarial losses (gains) -11.1 -10.3
Exchange differences on foreign plans -5.6 -3.0
Settlement - -7.7
Benefits paid -9.5 -10.1
Closing defined benefit obligation 168.1 178.0
Changes in the fair value of plan assets are as follows:
2008 2007
Opening fair value of plan assets 161.7 167.6
Change in scope of consolidation - 0.7
Expected return 9.5 9.5
Actuarial gains and (losses) -21.9 -4.1
Contributions by employee 1.3 1.3
Contributions by employer 13.9 7.7
Exchange differences on foreign plans -7.7 -3.2
Settlement - -7.7
Benefits paid -9.5 -10.1
Closing fair value of plan assets 147.3 161.7
149
The expected rates of return on individual categories of plan assets are determined by reference to
relevant indices. The overall expected rate of return is calculated by weighting the individual rates in
accordance with the anticipated balance in the total investment portfolio.
The actual return on plan assets in 2008 and 2007 was -15.1 million EUR and 5.2 million EUR
respectively.
The Group expects to contribute 9.2 million EUR to its defined benefit pension plans in 2009.
The major categories of plan assets as a percentage of total plan assets are as follows:
2008 2007
Equities 20% 26 %
Fixed interest investments 11% 12 %
Cash and deposits 11% 10 %
Property 3% 2 %
Insurance contracts 55% 50 %
Total 100% 100%

financial report 2008
The principal actuarial assumptions at the balance sheet date (expressed as weighted averages) are:
2008 2007
Discount rate at 31 December 6.1% 5.3 %
Expected return on plan assets at 31 December 5.8% 5.7 %
Future salary increases 3.4% 3.2 %
Termination benefits (pre-retirement plans, other termination obligations)
These benefits arise as a result of the company’s decision to terminate the employment of an employee
or group of employees before the normal retirement date or of an employee’s decision to accept
voluntary redundancy in exchange for those benefits. These benefits are accrued for at the moment of
notification.
Share based payments
150
A warrant plan has been created in order to increase the loyalty and motivation of the Group’s senior
management. The plan gives senior management the opportunity to accept warrants which gives them
the right to subscribe to shares. The Board of Directors yearly determines the list of beneficiaries. There
exist no conditions on the number of years of service, however the beneficiaries may not have resigned
or been dismissed (and serving their notice), except for persons who retire or take pre-retirement.
The exercise price of the warrant equals the lower of the average market price of the underlying shares
in the 30 trading days preceding the offer date or the market price on the last day preceding the offer
date.
The table below gives an overview of the granted and accepted warrants at 31 December 2008.
Allocation date
Last exercise
date
Exercise price
Number of
outstanding
warrants
November ‘01 July ‘09 24.07 1,740
November ‘02 July ‘12 25.87 12,200
November ‘03 July ‘10 26.45 9,800
November ‘04 July ‘11 31.69 32,600
November ‘05 July ‘12 27.11 42,200
November ‘06 July ‘13 30.02 62,880
January ‘08 December ‘12 43.10 97,175
Total 258,595
IFRS 2 requires share based payments made to employees to be recognised in the financial statements
based on the fair value of the warrants measured at grant date. According to the transition provisions
included in IFRS 2, the warrants granted before 7 November 2002 and not yet vested at 1 January 2005
are not amortised through the income statement.
The fair value of the warrants granted is determined using the Black & Scholes valuation model.

Tessenderlo Group
A new share based program was issued as per 8 November 2007. On December 12th 2008, the Board of
Directors decided to offer a second tranche of warrants, which had to be accepted by their beneficiaries
by February 10th 2009. On February 10th 2009, 130.750 warrants were granted to senior management
(exercise price of 22.07 EUR for French residents, 22.09 EUR for American residents, 23.08 EUR for all
others).
The weighted average fair value of the warrants and assumptions used in the measurement of the
warrants, granted in 2008, are:
2008 2007
Fair value of warrants (EUR) 2.3 -
Share price (EUR) 30.72 -
Exercise price (EUR) 43.10 -
Expected volatility 24.20% -
Expected option life (years) 4.5 -
Expected dividend yield 3.61% -
Risk free interest rate 4.12% -
The number and weighted average exercise price of share warrants is as follows:
Weighted
average
exercise
price
Number of
warrants
Weighted
average
exercise
price
Number of
warrants
2008 2007
151
Outstanding at the beginning of the
29.10 167,420 29.00 259,240
period
Forfeited during the period 31.69 6,000 44.63 4,080
Exercised during the period - - 28.10 87,740
Granted during the period 43.10 97,175 - -
Outstanding at the end of the period 34.30 258,595 29.10 167,420
Exercisable at the end of the period 29.28 56,340 25.98 23,740
No warrants were exercised in 2008.
The weighted average remaining contractual life of the warrants outstanding as per 31 December 2008
amounts to 3.6 years (2007: 4.5 years).

financial report 2008
24. Provisions
2008 2007
Non-current provisions 85.7 63.1
Current provisions 0.9 8.6
Total 86.6 71.7
ENVIRONMENT RESTRUCTURING OTHER TOTAL
Balance at 1 January 2008 12.9 5.7 53.1 71.7
Additions 14.5 - 9.1 23.6
Use of provision -1.0 -0.4 -2.3 -3.7
Reversal of provision -0.7 -2.3 -0.5 -3.5
Effect of discounting - - - 0.0
Other movements 4.8 -2.8 -3.5 -1.5
Balance at 31 December 2008 30.5 0.2 55.9 86.6
The increase of provisions can be mainly explained by the recording of additional environmental
provisions, next to the fluctuations of provisions due to the normal business activities.
152
On December 10th 2008, the environmental permit of Tessenderlo Chemie NV (Belgium) was extended
for a period of 20 years. Tessenderlo Chemie NV committed itself to invest in a new production process
and to find a durable solution to its environmental problems in Limburg (Belgium). As a consequence
of these commitments additional discounted environmental provisions were recorded for an amount of
14.5 million EUR.
“Other” provisions include mainly a non-recurring provision of 37.0 million EUR set up following the
investigations performed by the European Commission on feed phosphates. The European Commission
performed an investigation in 2004 on pretended contra competitive practices in the segment of the feed
phosphates. In relation with this investigation, the Group recorded a provision of 20,0 million EUR in
2004 and an additional 17,0 million EUR in 2006. This investigation is still ongoing.
For the majority of the non-current provisions, a cash-outflow is not expected to take place within
5 years.
25. Trade and other payables
2008 2007
Trade payables 290.1 290.1
Other amounts payable 41.6 43.5
Remuneration and social security 57.2 52.5
Total 388.9 386.1

Tessenderlo Group
26 Financial instruments
Exposure to foreign currency, credit risk and interest rate risk arises in the normal course of the Group’s
business. Derivative financial instruments are used to reduce the exposure to fluctuations in foreign
exchange rates. While these are subject to the risk of market rates changing subsequent to acquisition,
such changes are generally offset by opposite effects on the hedged items.
Foreign currency risk
Currency risk is the risk that the value of a financial instrument will fluctuate due to changes in
foreign exchange rates. The Group incurs foreign currency risks on sales, purchases, investments and
borrowings that are denominated in a currency other than the company’s functional currency.
The currencies giving rise to this risk are primarily GBP, USD, PLN, HUF, YEN and CHF.
Subsidiaries are required to submit information on their net foreign exchange positions when invoiced
(customers, suppliers) to Tessenderlo Finance, a Belgian subsidiary created in January 2006.
All the positions are netted at the level of Tessenderlo Finance and the net positions (long/short), which
are very small, are then sold or bought on the market.
The main management tools are the spot, purchase and sales of currencies followed by currencyswaps.
Group borrowings are generally carried out by the Group’s holding and finance companies, which make
the proceeds of these borrowings available to the operating entities.
In principle, operating entities are financed in their own local currencies, with this currency being
obtained, where appropriate, by currency-swaps against the currency held by the finance company.
In that way, there is no exchange risk either in the finance company or in the company finally using the
funds. The cost of this currency-swap is included in the finance costs.
153
In emerging countries, it is not always possible to borrow in local currency because local financial
markets are too narrow, or funds are not available or because the financial conditions are too onerous.
Those amounts are relatively small for the Group.
• Exposure to foreign currency risk
The Group’s exposure to foreign currency risk was as follows based on nominal amounts (for the
exchange rates used, we refer to note 1 “Summary of significant accounting policies”):
2008 2007
EUR USD GBP EUR USD GBP
Assets 4.3 29.2 77.7 10.6 79.6 92.7
Liabilities -9.8 -39.7 -8.5 -11.1 -52.1 -4.9
Gross exposure -5.5 -10.5 69.2 -0.5 27.5 87.8
Forward exchange contracts 3.6 12.5 -70.0 -5.7 -40.7 -89.8
Net exposure -1.9 2.0 -0.8 -6.2 -13.2 -2.0
Net exposure (in EUR) -1.9 1.4 -0.8 -6.2 -9.0 -1.5

financial report 2008
The difference between the amount covered and the amount in position is due to a mismatching between
the recording and the value date of the operations. Coverage of exposure is done on a continuous basis.
Credit risk
The Group is high risk averse. In its strategy to increase shareholder value, the Group aims at a dynamic
corporate portfolio management to develop confidently new markets: corporate exposure, asset quality,
portfolio diversification are considered together with the maximisation of market shares, which requires
efficient processes, cost effective payment default protection and CRM good practices.
The international financial and economic crisis results in a deep crisis of confidence. The Group focuses
especially on its stable relationships with long term partners. Special and legitimate attention is given to
new relationships, for which, if necessary, secured payment methods are used.
A Corporate Credit Procedure, a quick and consistent credit decision process, appropriate payment
terms, an efficient collection tool and an accurate risk mitigation tool are used to accelerate the cash
flow, to minimize bad debts and to increase sales.
An in-house scoring model aims at defining, with the use of sector-based benchmarks, the portfolio
in term of risks through an analysis of performance indicators and the financial structure. When a
risk cannot be assessed or when it is too high, the Group resorts to credit insurance or other forms of
guarantees.
154
At 31 December 2008, no significant concentrations of credit risk existed. The liquidities available at the
end of the year are deposited at very short term at local ranking banks.
The maximum exposure to credit risk at the reporting date was:
2008 2007
Trade receivables 402.4 378.7
Gross trade receivables 416.9 391.8
Amounts written off -14.5 -13.1
Other receivables 60.3 49.4
Receivables from related parties 9.1 0.3
Assets related to employee benefit schemes 14.5 10.2
Derivative financial instruments 5.4 1.9
Cash & cash equivalents 53.5 93.6
Total 545.2 534.1
The maximum exposure to credit risk for trade receivables at the reporting date by business group was
(see also note 16):
2008 2007
Chemicals 181.8 152.2
Specialities 105.1 93.1
Plastics Converting 112.8 132.1
Unallocated 2.7 1.6
Total 402.4 379.0

Tessenderlo Group
The aging of trade receivables at the reporting date was:
Gross
Amounts
written off Gross
Amounts
written off
2008 2008 2007 2007
Not past due 271.7 3.5 263.8 0.1
Past due 0-30 days 87.1 1.1 74.0 0.6
Past due 31-120 days 38.9 1.3 36.5 0.6
Past due 121-365 days 12.5 1.9 8.7 2.8
More than one year 6.6 6.6 9.1 9.0
Total 416.8 14.4 392.1 13.1
The movement in the allowance for impairment in respect of trade receivables during the year was as
follows:
2008 2007
Balance at 1 January 13.1 11.6
Impairment loss recognised 4.3 3.9
Reversal of impairment loss -1.0 -1.6
Other movement -2.0 -0.8
Balance at 31 December 14.4 13.1
155
Interest risk
At the reporting date, the interest rate policy of the Group’s interest-bearing financial instruments was:
2008 2007
Fixed rate instruments
Financial assets - -
Financial liabilities note 22 92.0 112.7
Variable rate instruments
Financial assets note 18 53.5 93.6
Financial liabilities note 22 256.1 224.7
On the total amount of financial liabilities at the end of 2008, 72.0 million EUR and 20.0 million EUR
carry a fixed interest rate respectively until 2010-2016 and until 2009.
• Fair value sensitivity analysis for fixed rate instruments
The Group does not account for any fixed rate financial liabilities at fair value through profit and loss,
and the Group does not designate derivatives (interest rate swaps) as hedging instruments under a fair
value hedge accounting model. Therefore a change in interest rates at the reporting date would not
affect profit or loss.

financial report 2008
• Cash flow sensitivity analysis for variable rate instruments
The average interest rate on the average debt in 2008 amounted to 4.7 % (2007: 4.8 %).
An increase (decrease) of 100 basis points in interest rates at the reporting date would have decreased
(increased) profit and loss by 1.4 million EUR (2007: 1.3 million EUR). This analysis assumes that all
other variables, in particular foreign currency rates, remain constant.
Liquidity risk
The Group will be able to meet its financial obligations as they fall due.
The Group’s approach to manage liquidity is to ensure, as far as possible, that it will always have
sufficient liquidity to meet its liabilities when due, under both normal and stressed conditions, without
incurring unacceptable losses or risking damage to the Group’s reputation.
The Group establishes forecasts on a regular base on short and longer term in order to be able to adapt
financial means to forecasted needs.
In addition, the Group maintains the following credit lines:
156
• A credit line of 420.0 million EUR, which is not confirmed.
• A credit line of 30.0 million USD. This credit line is valid till June 2009, and the interest rate would
be libor + 0.55 %.
In addition, the Group uses a commercial paper program of maximum 200.0 million EUR.
The following are the contractual maturities of financial liabilities, including interest payments and
excluding the impact of netting agreements.
2008
Carrying
amount
Contractual
cashflows
less than
one year
between
1 and 5
years
more
than 5
years
Non-Derivative Financial liabilities
Credit institutions 25.0 27.3 5.8 21.5 -
Credit institutions 50.0 55.1 11.7 43.4 -
Credit institutions 40.0 43.7 11.5 32.2 -
Credit institutions 231.1 233.1 228.1 3.3 1.7
Finance lease liabilities 2.0 2.3 0.2 1.9 0.2
Derivative Financial liabilities
Forward exchange contracts 5.2 - - - -
Inflow - -97.4 -97.4 - -
Outflow - 92.5 92.5 - -
Total 353.3 356.6 252.4 102.3 1.9

Tessenderlo Group
2007
Carrying
amount
Contractual
cashflows
less than
one year
between
1 and 5
years
more
than 5
years
Non-Derivative Financial liabilities
Credit institutions 30.0 34.3 6.3 22.9 5.1
Credit institutions 60.0 67.1 12.0 44.8 10.3
Credit institutions 50.0 55.6 11.9 43.7 -
Credit institutions 194.7 196.0 191.5 2.0 2.5
Finance lease liabilities 2.7 3.3 0.3 2.5 0.5
Derivative Financial liabilities
Forward exchange contracts -1.5 - - - -
Inflow - -170.6 -170.6 - -
Outflow - 169.0 169.0 - -
Total 335.9 354.7 220.4 115.9 18.4
Fair value of financial assets and liabilities
The fair values together with the carrying amounts shown in the balance sheet are as follows:
Note
Carrying
amount
2008
Fair
value
2008
Carrying
amount
2007
Fair
value
2007
157
Derivative financial instruments 26 5.4 5.4 1.9 1.9
Cash and cash equivalents 18 53.5 53.5 93.6 93.6
Investments 14 5.2 5.2 6.1 6.1
Trade and other receivables 16 472.4 472.4 429.3 429.3
Non-current financial liabilities 22 -96.7 -91.5 -122.6 -117.5
Leasing payables 22 -1.9 -1.8 -2.6 -2.5
Credit institutions 22 -94.8 -89.7 -120.0 -115.0
Current financial liabilities 22 -251.4 -251.0 -214.8 -214.5
Current portion long term financial
22 -25.0 -24.6 -25.0 -24.7
liabilities
Leasing payables 22 -0.1 -0.1 -0.1 -0.1
Credit institutions and commercial paper 22 -226.3 -226.3 -189.7 -189.7
Trade and other payables 25 -388.9 -388.9 -364.6 -364.6
-200.5 -194.9 -171.1 -165.7
Estimation of fair values
• Derivative financial instruments
The fair value of a derivative financial instrument is the amount for which an asset could be exchanged,
or a liability settled, between knowledgeable, willing parties in an arm’s length transaction.
The fair value of forward contracts is calculated as the discounted value of the difference between the
contract rate and the current forward rate.

financial report 2008
The fair value of these instruments generally reflects the estimated amounts that the Group would
receive on settlement of favorable contracts or be required to pay to terminate unfavorable contracts
at the reporting date, and thereby takes into account the current unrealised gains or losses on open
contracts.
The fair value of forward exchange contracts used at 31 December 2008 was 5.2 million EUR recognised
in the income statement on the line net revaluation to fair value of derivatives, which is included in the
finance income (2007: 1.5 million EUR).
The following table indicates the fair values of all outstanding derivative financial instruments at yearend:
Contractual
Contractual
amount Fair value amount
2008 2007
Fair value
Forward exchange contracts 97.4 5.2 169.0 1.5
The contractual amount indicates the volume of outstanding derivatives at the balance sheet date and
therefore does not reflect the group’s exposure to risks from such transactions.
158
In respect to the forward exchange contracts, the table below indicates the underlying contractual
amount of the outstanding contracts per currency at year-end (selling of foreign currencies).
Amount
in foreign
currency
Amount in
EUR
Amount
in foreign
currency
Amount in
EUR
2008 2007
GBP 70.0 78.2 93.9 128.1
USD 17.5 12.9 42.9 29.1
Other - 6.3 - 11.8
Total 97.4 169.0
The Group also holds a position in emission allowances of which the fair value as per 31 December 2008,
amounted to 0.2 million EUR (2007: 0.4 million EUR).
• Interest-bearing loans and borrowings
The fair value is calculated based on discounted expected future principal and interest cash flows.
The interest rates used to discount estimated cash flows, where applicable, are based on the
government yield curve at the reporting date plus an adequate credit spread, and were as follows:
2008 2007
Loans and borrowings 5.9-6.0% 5.0-5.2%

Tessenderlo Group
• Financial lease payables
The fair value is estimated as the present value of future cash flows, discounted at market interest rates
for homogeneous financial lease agreements. The estimated fair values reflect the change in interest
rates.
The interest rates used to discount estimated cash flows, where applicable, are based on the
government yield curve at the reporting date plus an adequate credit spread, and were as follows:
2008 2007
Leases 8.0 % 8.0 %
• Trade and other receivables/payables
For current trade and other receivables/payables, the notional amount is deemed to reflect the fair
value. Non-current receivables/payables are discounted to determine the fair value.
27. Operating leases
The non-cancellable operating leases are payable as follows:
159
2008 2007
Less than one year 4.8 3.6
Between one and five years 16.2 12.6
More than five years 5.5 4.7
Total 26.5 20.9
During the current year, 11.2 million EUR was recognised as an expense in the income statement in
respect of operating leases (2007: 9.5 million EUR).
Operating leases mainly consist of land and buildings (7.8 million EUR), property, plant and equipment
(15.0 million EUR) and furniture and vehicles (3.7 million EUR).
28. Guarantees and commitments
2008 2007
Guarantees given by third parties on our behalf 39.0 20.5
Guarantees given on behalf of third parties 4.3 6.9
Guarantees received from third parties 4.7 4.4
Total 48.0 31.8

financial report 2008
Guarantees given by third parties on our behalf mainly relate to the fulfillment of our environmental
obligations. The increase in 2008 can be explained by a new guarantee which was given on our behalf for
an amount of 18.0 million EUR.
Guarantees given on behalf of third parties mainly relate to guarantees given for the proper execution of
projects.
The guarantees received from third parties concern guarantees, which suppliers grant to the Group as
guarantee for the proper execution of investment projects.
29. Contingencies
The Group could be confronted with a number of potential claims and disputes, which are a
consequence of the daily operational activities. These claims and disputes are not of such nature that
they could be subject today to a suitable provision.
160
It is the Group’s policy to recognise environmental provisions in the balance sheet, when the company
has a present obligation (legal or constructive) as a result of a past event, when it is probable that an
outflow of resources embodying economic benefits will be required to settle the obligation and a when
reliable estimate can be made of the amount of the obligation.
These provisions are reviewed periodically and adjusted, if necessary, as assessments and
cleanups proceed and additional information becomes available. Environmental liabilities can
change substantially due to the emergence of additional information on the nature or extent of the
contamination, a change in legislation or other factors of a similar nature.
As stated in note 24, the environmental provisions in accordance with the above policies aggregated to
30.5 million EUR at 31 December 2008 (2007: 12.9 million EUR).
While it is not feasible to predict the outcome of all pending environmental exposures, it is reasonably
possible that there will be a need for future provisions for environmental costs which, in management’s
opinion, based on information currently available, would not have a material effect on the Group’s
financial position but could be material to the Group’s results in any one accounting period.
In order to acquire the remaining 50 % stake in Fiso Group, the Group has signed call agreements with
the owner of that share. The call option may be exercised from 1 June 2009 until 30 September 2009.
The exercise price is determined by a formula, which takes into account the financial figures of Fiso
Group.
In order to acquire an additional stake of 20 % in Wolf Mountain Products, the Group holds, as agreed
with the current owners of that share, an option which may be exercised from 1 January 2014 until 30
June 2014. The exercise price is determined by a formula, which takes into account the financial figures
of Wolf Mountain Products.
The Group has been granted emission allowances for the period 2008-2012 (575 KT CO2 emission

Tessenderlo Group
allowances per year). These granted emission allowances have been obtained free of charge.
The total number of allowances which will be used by the Group in this period cannot yet be determined
reliably.
30. Related parties
The Group has a related party relationship with its subsidiaries, associates, joint ventures and with its
directors and its management committee.
Transactions with joint ventures
2008 2007
Revenue 2.2 1.8
Cost of sales -28.2 -13.3
Other operating income 0.1 0.1
Finance costs -0.1 -0.1
Current assets 0.4 0.3
Current liabilities 3.1 3.0
Transactions with associates
161
2008 2007
Revenue - -
Cost of sales - -
Other operating income - -
Finance costs - -
Current assets 8.7 -
Current liabilities - -
Dividends were received from joint-ventures and associates for an amount of 10.2 million EUR (2007: 4.9
million EUR).
Transactions with joint ventures and associates are due to the ordinary course of business and are at
arm’s length.
Transactions with the members of the management committee
2008 2007
Short-term employee benefits 2.5 2.4
Post-employment benefits 0.4 0.3
Share based payments 0.2 0.2
Total 3.1 2.9

financial report 2008
Short-term employee benefits include salaries (including social security contributions), bonuses earned
during the year, car leases and other allowances where applicable.
Director’s payments consist mainly of director’s fees (tantièmes).
31. Information on the auditor’s assignments and
related fees
Our statutory auditor is KPMG Bedrijfsrevisoren / Réviseurs d’Entreprises, represented by Ludo Ruysen,
engagement partner.
Fees for auditing the annual financial statements of Tessenderlo Chemie NV and its subsidiaries are
ultimately determined by the general meeting of shareholders. Audit and audit related fees for 2008
in relation to services provided by KPMG Bedrijfsrevisoren amounted to 0.70 million EUR (2007 : 0.47
million EUR), which was composed of audit services for the annual financial statements of 0.39 million
EUR (2007: 0.32 million EUR) and audit related services of 0.31 million EUR (2007: 0.15 million EUR).
Audit related services mainly relate to services incurred in connection with consolidation and BPM.
162
Audit and other fees for 2008 in relation to services provided by other offices of the KPMG network
amounted to 0.64 million EUR (2007: 0.55 million EUR)which was composed of audit services for the
annual financial statements of 0.45 million EUR (2007: 0.47 million EUR), tax services of 0.19 million
EUR (2007 : 0.08 million EUR) and audit related services of 0.0 million EUR (2007: 0.0 million EUR).
32. Subsequent events
On January 7th 2009, Wymar International (Oeselgem, Belgium), a subsidiary of the Business Unit
Profiles, in the Business Group Plastics Converting, has announced its intention to restructure its
operations. The causes for this decision rest with the structural macroeconomic downturn on the
various markets where Wymar operates, combined with the negative impact of the financial crisis on the
investment behaviour of end consumers (new-build and renovation). These adverse market conditions
are also being felt on the Central and Eastern European markets in particular. To safeguard the future
of Wymar’s activities at its Oeselgem plant, it could be that redundancies cannot be ruled out. The
current plan could translate in a loss of 46 jobs at Wymar International in Oeselgem. At this moment the
financial impact of this restructuring of operations could not yet be determined reliably.

Tessenderlo Group
33. Consolidated companies
Listed below are the most important Tessenderlo Group companies. A complete list of the Group
companies is available at Tessenderlo Chemie NV, Troonstraat 130, 1050 Brussel.
The total number of consolidated companies is 96.
List of the most important consolidated companies on 31 December 2008
accounted for by the full consolidation method
Europe
Belgium Dyka Plastics NV 3900 Overpelt 100%
Belgium Immo Watro SA 1050 Brussels 100%
Belgium Limburgse Vinyl Maatschappij NV 1050 Brussels 100%
Belgium Tessenderlo Chemie NV 1050 Brussels 100%
Belgium Tessenderlo Chemie International NV 1050 Brussels 100%
Belgium Tessenderlo Finance NV 1050 Brussels 100%
Belgium Wymar International NV 8720 Oeselgem 100%
Czech Republic Dyka s.r.o. 27361 Velka Dobra 100%
France Akiolis Group SAS 72000 Le Mans 100%
France Calaire Chimie SAS 62100 Calais 100%
France Chemilyl SAS 59120 Loos 100%
France Collectoco SAS 67220 Neubois 100%
France Ets Caillaud SAS 61400 Saint-Langis-Les-Mortagne 100%
France Ets. Point SAS 01440 Viriat 100%
France France Gras SA 56300 Le Sourn 100%
France Plastival SAS 25340 Clerval 100%
France Produits Chimiques de Loos SAS 59120 Loos 100%
France Profex SAS 62210 Avion 100%
France Progilor-Bouvart SAS 55100 Charny sur Meuse 99.90%
France Saplast SAS 67100 Strasbourg 100%
France Société Artésienne de Vinyle SAS 59120 Loos 100%
France Soleval SAS 61400 Saint-Langis-Les-Mortagne 100%
France Soparcail SAS 61400 Saint-Langis-Les-Mortagne 100%
France Sotra-Seperef SAS 69650 Quincieux 100%
France SR Collecte SAS 67220 Neubois 100%
France Tefipar SA 75009 Paris 100%
France Thermoplastiques Cousin-Tessier SAS 85130 Tiffauges 100%
France Union de la Boucherie Lyonnaise SA 69960 Corbas 94.20%
Germany Dyka Gmbh 14513 Teltow 100%
Germany PB Gelatins GmbH 31582 Nienburg/Weser 100%
Italy Farchemia srl 24047 Treviglio (BG) 100%
Italy Tessenderlo Italia srl 24047 Treviglio (BG) 100%
Italy Tessenderlo Partecipazioni SpA 24047 Treviglio (BG) 100%
Luxembourg Térélux SA GD 2633 Luxembourg 100%
Poland Dyka Polska Sp.zo.o. 55-221 Jecz-Laskowice 100%
Poland T.C.T. Polska Sp.zo.o. 96-500 Sochaczew 100%
Poland Wymar Polska Sp.zo.o 62-100 Wagrowiec 100%
Switzerland Tessenderlo Schweiz AG 5330 Zurzach 100%
The Netherlands Dyka BV 8331 LJ Steenwijk 100%
The Netherlands Tessenderlo NL Holding BV 4854 MT Bavel 100%
The Netherlands LVM Limburg BV 6167 RZ Geleen 100%
The Netherlands Nyloplast Europe BV 3295KG s-Gravendeel 100%
163

financial report 2008
The Netherlands Tessenderlo Chemie Maastricht BV 6222 Maastricht 100%
The Netherlands Tessenderlo Chemie Rotterdam BV 3133 KA Vlaardingen 100%
United Kingdom Eurocell Building Plastics Ltd Alfreton-Derbyshire DE55 4 RF 100%
United Kingdom Eurocell plc Alfreton-Derbyshire DE55 4 RF 100%
United Kingdom Eurocell Profiles Ltd Alfreton-Derbyshire DE55 4 RF 100%
United Kingdom John Davidson Pipes Ltd Longtown-Carlisle CA6 5LY 100%
United Kingdom PB Gelatins UK Ltd CF 375 SQ Treforest-Mid Glamorgan 100%
United Kingdom Tessenderlo Fine Chemicals Ltd ST13 8UZ Leek; Staffordshire 100%
United Kingdom Tessenderlo Holding UK Ltd CF 375 SU Treforest 100%
United Kingdom Tessenderlo UK Ltd Widnes, Cheshire, WA8 ONY 100%
United Kingdom Wymar Systems Ltd DY13 9EZ Worcestershire 100%
USA
USA Chelsea Building Products Inc Oakmont - Pennsylvania 15139 100%
USA PB Leiner USA Corp Davenport - Iowa 52809 100%
USA Tessenderlo Kerley Inc Phoenix - Arizona 85008-3279 100%
USA Tessenderlo U.S.A. Inc. Phoenix - Arizona 85008-3279 100%
USA Tessendelo Kerley Services Inc New Mexico-88 220 Carlsbad 100%
USA MPR Services Inc Phoenix - Arizona 85008-3279 100%
Rest of the world
164
Argentina PB Leiner Argentina SA Santa Fe CC108-S3016WAC - Santo 100%
Tomé
Canada Dynaplast-Extruco Inc. G7X OB6 Jonquière - Québec 82.17%
China
Lianyungang Taile Chemical Industry, Lianyungang City - 222023 Jiangsu 100%
Co. Ltd.
Province
China PB Gelatins (Pingyang) Ping Yang County - 325401 Zhejiang 80%
Province
China Tessenderlo Asia Holding Ltd. Chine R.P. - Hongkong 100%
China Tessenderlo Trading Shanghai Chine R.P. - 20021 Shanghai 100%
List of the most important consolidated companies on 31 December 2008
accounted for by the equity method
Europe
Belgium T-Power SA 1050 Brussels 33.33%
Belgium Zéoline SA 4480 Engis 50%
France Bonnet 34500 Beziers 25%
France Ferso Bio SAS 47521 Le Passage 50%
France Ispac 64130 Mauleon 50%
France Labrousse 46120 Anglars 50%
France Michel 31800 Villeneuve de Rivière 25%
France Siram SARL 50390 Nehou 50%
France SH Capital 47520 Le Passage 50%
France Solagra SAS 40370 Rion Des Landes 50%
USA
Mexico Alkemin S de RL de CV Mexico D.F. 11700 49.50%
USA Jupiter Sulphur LLC Phoenix -Arizona 85008-3279 50%
USA Wolf Mountain Products LLC Lindon - Utah 84042 30%

Tessenderlo Group
34. Critical accounting estimates and judgements
The preparation of the financial statements in conformity with IFRS as adopted for use by the
European Union requires management to make estimates and assumptions that affect the reported
amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the
financial statements and the reported amounts of revenue and expenses during the reporting period.
Management bases its estimates on historical experience and various other assumptions that are
believed to be reasonable under the circumstances, the results of which form the basis for making
the reported amounts of revenue and expenses that may not be readily apparent from other sources.
Actual results could differ from those estimates. Estimates are used in accounting for allowances for
uncollectible receivables, inventory obsolescence and lower of cost of net realisable value adjustments,
depreciation, employee benefits, taxes, restructuring provisions and contingencies. Estimates and
assumptions are reviewed periodically and the effects of revisions are reflected in the financial
statements in the period they are determined to be necessary.
The Group has applied significant estimates and judgements in order to prepare the consolidated
financial statements with respect to property, plant and equipment (note 10), goodwill (note 11), lower
of cost of net realisable value adjustments with respect to inventories (note 17), provisions (note 24),
income taxes (note 9 and 15), employee benefits (note 23) and contingencies (note 29).
Statement on the true and fair view of the consolidated financial statements and
the fair overview of the management report
165
G. Marchand (Chairman of the Board of Directors and CEO) and C. Vrebosch (CFO) certify, on behalf and
for the account of the company, that, to his/their knowledge,
a) the consolidated financial statements which have been prepared in accordance with International
Financial Reporting Standards as adopted by the European Union, give a true and fair view of the
assets, liabilities, financial position and profit or loss of the company, and the entities included in
the consolidation as a whole,
b) the consolidated management report includes a fair overview of the development and performance
of the business and the position of the company, and the entities included in the consolidation,
together with a description of the principal risks and uncertainties which they are exposed to.
Report according to article 119 of the Belgian Companies Code
This annual report is prepared and includes the provisions as required in article 119 of the Company
Law.

financial report 2008
AUDITOR’S REPORT
166

Tessenderlo Group
167

financial report 2008
STATUTORY FINANCIAL REPORT
Balance sheet of Tessenderlo Chemie NV
(Millions EUR) 2008 2007
ASSETS
Intangible assets 4.0 4.7
Tangible assets 202.1 205.9
Financial assets 428.2 420.3
Fixed assets 634.3 630.9
Stocks and orders in progress 189.2 73.5
Receivables due within on year 186.6 124.7
Investments 0.0 30.0
Cash and cash equivalents 5.5 1.4
Prepaid expenses and accrued income 0.8 0.5
Current assets 382.1 230.1
Total assets 1,016.4 861.0
168
LIABILITIES
Share capital 138.0 137.0
Share premiums 43.4 42.0
Reserves 19.3 17.5
Retained earnings 314.4 264.8
Capital grants 8.0 8.7
Shareholders' equity 523.1 470.1
Provisions 95.4 77.5
Deferred taxes 1.4 0.5
Provisions and deferred taxes 96.8 78.0
Liabilities due in more than one year 60.2 75.2
Liabilities due within one year 334.4 237.0
Accrued expenses and deferred income 1.9 0.7
Current liabilities 396.5 312.9
Total liabilities 1,016.4 861.0

Tessenderlo Group
Profit and loss statement of Tessenderlo Chemie NV
(Millions EUR) 2008 2007
Sales and operating income
Sales 931.9 643.8
Change in work in progress, finished goods and orders in
77.5 -15.3
progress (increase+/decrease-)
Production capitalised 2.0 2.0
Other operating income 36.3 25.5
Total operating income 1,047.7 656.0
Cost of sales and operating charges (-)
Raw materials and goods purchased for resale
1. Purchases 623.3 318.3
2. Changes in stocks (increase-/decrease+) -38.5 -0.5
Services and other goods 203.4 179.0
Wages, salaries, social charges and pensions 114.4 109.1
Depreciations and amortizations on formation expenses, tangible
25.3 28.8
and intangible assets
Amounts written-off stocks and trade receivable ( charges+ /
0.1 -0.1
write-back- )
Provision for liabilities and charges (charges less utilisations and
17.9 -4.8
write-backs)
Other operating charges 5.0 6.2
Total operating charges 951.0 636.1
Operating result 96.8 19.9
Net financial result 17.8 29.5
Ordinary profit (+) / losses (-) before taxes 114.5 49.4
Extraordinary charges/income 0.1 0.0
Profit before taxes 114.6 49.4
Income taxes -25.3 0.6
Deferred taxes -0.9 -0.2
Profit (+) / losses (-) 88.4 49.8
Untaxed reserves -1.7 -0.4
Profit (+) / losses (-) for the year to be allocated 86.7 49.4
169

financial report 2008
Allocations and distributions
(Millions EUR) 2008 2007
The Tessenderlo Chemie NV Board of Directors propose to allocate the
- Profits, being 86.7 49.4
- Increased by prior years' retained earnings 264.8 250.8
Totalling: 351.5 300.2
In the following manner:
- Reserves 1.0 0.4
- Dividends 37.0 35
- Retained earnings 314.4 264.8
Totalling: 351.5 300.2
If the General Meeting of 2 June 2009 approves this proposed allocation, the gross dividend will be
1.3333 EUR or a net dividend of 1.0000 EUR for the 27 713 288 ordinary shares and for the VVPR dividend
a net amount of 1.1333 EUR remittance of coupon n° 72.
170

Tessenderlo Group
Excerpt from the Tessenderlo Chemie NV separate (non-consolidated) financial
statements prepared in accordance with Belgian GAAP
The following information is extracted from the separate Belgian GAAP financial statements of
Tessenderlo Chemie NV. These separate financial statements, together with the management report of
the Board of Directors to the general assembly of shareholders as well as the auditors’ report, will be
filed with the National Bank of Belgium within the legally foreseen time limits. These documents are
also available on request from: Tessenderlo Chemie NV, Troonstraat 130, 1050 Brussel.
It should be noted that only the consolidated financial statements present a true and fair view of the
financial position and performance of Tessenderlo Group.
Since Tessenderlo Chemie NV is essentially a holding company, which recognises its investments at cost
in its non-consolidated financial statements, these separate financial statements present no more than
a limited view of the financial position of Tessenderlo Chemie NV. For this reason, the Board of Directors
deemed it appropriate to publish only an abbreviated version of the non-consolidated balance sheet and
income statement prepared in accordance with Belgian GAAP as at, and for the year ended 31 December
2008.
The statutory auditor’s report is unqualified and certifies that the non-consolidated financial statements
of Tessenderlo Chemie NV prepared in accordance with Belgian GAAP for the year ended 31 December
2008 give a true and fair view of the financial position and results of Tessenderlo Chemie NV in
accordance with all legal and regulatory dispositions.
171

annual report 2008
General information
Production Units
Chemicals
Inorganics Production Units Main Products
PB Gelatins (Vilvoorde)
feed phosphates
Belgium
Tessenderlo Chemie Ham
feed phosphates, hydrochloric
acid, potassium sulphate,
sulphuric acid
Zeoline (Engis - Liège)
zeolites
172
France
Italy
Produits Chimiques de Loos
Tessenderlo Italia (Cologna
Veneta) (Italphos)
hydrochloric acid, potassium
sulphate
feed phosphates
Netherlands Tessenderlo Chemie Rotterdam feed phosphates
North America
PVC / Chlor-alkali
Belgium
France
Tessenderlo Kerley (Phoenix)
9 production sites
extensive distribution network
LVM Tessenderlo
Tessenderlo Chemie Tessenderlo
Produits Chimiques de Loos
SAV - Mazingarbe
liquid sulphur fertilisers:
ammonium, calcium, magnesium
and potassium thiosulphate
crop protection products, slow
release nitrogen solutions
vinyl chloride monomer (VCM)
caustic soda, caustic potash,
chlorine, ferric chloride, hydrogen
sulphide, potassium carbonte
lye, sodium sulphide, sodium
hypochlorite (bleach)
caustic potash, caustic potash
flakes, mineral chlorides
(aluminium, ferric and zinc),
sodium hypochlorite (bleach)
PVC
Netherlands LVM Limburg Beek PVC
North America Tessenderlo Kerley (Phoenix) sulphurous products

Tessenderlo Group
Plastics Converting
Profiles Production Units Main Products
Belgium
Wymar International (Oeselgem)
PVC profiles for windows and
doors, as well as interior and
exterior finishing systems
Canada
Dynaplast Extruco (Montreal)
PVC window and door profiles and
profiles for various sectors
France
Plastival (Clerval)
window and door profiles, profiles
for fences, facade cladding
Great Britain
Eurocell Profiles
Eurocell Building Plastics
+ 90 distribution centers
PVC profiles for windows,
doors and components for
conservatories and foamed
profiles used as roofing
components and facade cladding
United States
Chelsea Building Products
(Oakmont)
Rigid and foamed PVC profiles
for building products, moulding,
shutters, cladding and flooring.
Rigid and foamed PVC compounds
Plastic Pipe Systems
Belgium
France
Dyka Plastics (Overpelt)
+ 7 distribution centers in Belux
Sotra-Seperef
(St. Austreberthe and Quincieux)
plastic pipe systems in PVC, PE
and PP
Design and production of plastic
pipe systems for the construction
and public works sector, the
agricultural sector and the
industry in general
173
Netherlands
Dyka BV (Steenwijk)
+ 20 distribution centers in The
Netherlands
PVC pipe systems
Nyloplast
fittings
Poland
Dyka Polska (Jelcz-Laskowice)
+ 13 distribution centers
PVC, PE and PP pipe systems
UK
John Davidson Pipes
+ 27 distribution centers
distribution of plastic pipe systems
Compounds
France
CTS - Cousin-Tessier (Tiffauges)
CTS - Saplast (Strasbourg)
ready for use PVC and TPE
mixtures mainly for injection
mouldings and extrusions and
thermoplastic elastomers for the
car industry and for construction
PVC compounds for cable and
construction
Plastival (Clerval)
Marvyflo® compound for
dashboards for cars
Poland CTS - TCT Polska (Sochaczew) PVC and TPE compounds

annual report 2008
Specialities
Fine Chemicals Production Units Main Products
Organic Chlorine Derivatives
Belgium
China
Great Britain
Tessenderlo Chemie Tessenderlo
Taile Chemical Industry
(Lyanyungang)
Tessenderlo Trading Shanghai
Tessenderlo Fine Chemicals (Leek)
benzyl chloride, benzylidene
chloride benzotrichloride and
derivatives
benzyl chloride, benzaldehyde
Trading office for all
Tessenderlo Group activities
acetic acid esters and triacetin
aromas benzyl acetate,
hexylcinnamaldehyde
Italy Tessenderlo Italia (Pieve Vergonte) chlorotoluenes
Netherlands Tessenderlo Chemie Maastricht benzyl alcohol
Pharmaceutical Intermediates
174
Belgium Tessenderlo Chemie (Tessenderlo) glycine and derivatives
France
Calaire Chimie (Calais)
pharmaceutical intermediates
active pharmaceutical
ingredients
Italy
Chemilyl (Loos)
Farchemia (Treviglio)
oxalyl chloride and derivatives
pharmaceutical intermediates,
active pharmaceutical
ingredients
Gelatins
Argentina
PB Leiner Argentina (Santa Fé)
+ 2 collection centers
gelatins
Belgium PB Gelatins (Vilvoorde) gelatins & ossein
China PB Gelatins (Pingyang) gelatins
Germany PB Gelatins Germany (Nienburg) gelatins
Great Britain PB Gelatins UK (Treforest) gelatins
USA PB Leiner USA (Davenport) gelatins
Natural Derivatives
France
Akiolis (Le Mans)
4 rendering plants
9 plants for valorisation
including:
*15 units for valorisation of
animal materials
*2 units for treatment of used
vegetable oils
43 collection centers

Addresses
TESSENDERLO GROUP
General Management,
Corporate Secretary,
Human Resources, IT and Organisation,
Finance and Accounting Management
Corporate Communication
rue du Trône, 130
BE-1050 Bruxelles (Belgium)
Troonstraat 130
BE-1050 Brussel (Belgium)
Tel.: + 32 2 639 18 11
Fax: + 32 2 639 19 99
Website: www.tessenderlogroup.com
TESSENDERLO CHEMIE NV
Headoffice
Stationstraat - Entrance 2
Industrieterrein Schoonhees – Zone 1
BE-3980 Tessenderlo
Tel.: + 32 13 61 22 11
Fax: + 32 13 66 81 40
Website: www.tessenderlogroup.com
TESSENDERLO CHEMIE INTERNATIONAL NV
SHARED SERVICE CENTER
Ubicenter
Philipssite 5 – 3rd floor
BE-3001 Leuven (Belgium)
Tel.: +32 16 70 72 00
Fax: +32 16 70 72 80
Chemicals
HEADOFFICE CHEMICALS
H. Hartlaan 21 – Entrance 5
Industrieterrein Schoonhees – Zone 1
BE-3980 Tessenderlo (Belgium)
Tel.: +32 13 61 22 11
Fax: +32 13 66 86 04
Website: www.tessenderlogroup.com
INORGANICS
PRODUITS CHIMIQUES
DE LOOS SAS
BP 39 - FR-59374 Loos (France)
rue Clémenceau
FR-59120 Loos (France)
Tel.: +33 320 22 58 58
Fax: +33 320 93 59 80
Website: www.tessenderlogroup.com
Tessenderlo Group
TESSENDERLO CHEMIE NV
Industrieterrein Ravenshout 1010 – Zone 1
Bergstraat, 32 - Entrance 1
BE-3945 Ham (Belgium)
Tel.: +32 13 61 22 11
Fax: +32 13 61 12 32
Website: www.tessenderlogroup.com
TESSENDERLO CHEMIE
ROTTERDAM B.V.
Zevenmanshaven, 139
NL-3133 CA Vlaardingen (The Netherlands)
Tel.: +31 10 445 27 77
Fax: +31 10 445 27 38
Website: www.tessenderlogroup.com
TESSENDERLO ITALIA srl
Feed Phosphate Plant – Division Italphos
Via Quari Destra 41
IT-37044 Cologna Veneta (Verona) (Italy)
Tel.: +39 0442 41 38 11
Fax: +39 0442 41 38 28
Website: www.tessenderlogroup.com
TESSENDERLO KERLEY Inc.
2255 N° 44th Street, Suite 300
US-Phoenix - Arizona 85008 – 3279 (USA)
Tel.: +1 602 889 83 00
Fax: +1 602 889 84 30
Website: www.tkinet.com
ZEOLINE SA
rue J. Wauters, 144
BE-4480 Engis (Belgium)
Tel.: +32 42 73 92 63
Fax: +32 42 75 79 60
Sales offices
HGS Handelsgesellschaft für
Spezialfuttermittel mbH
Mörkenstrasse 5
DE-22767 Hamburg (Germany)
Tel.: +49 408 797987-0
Fax: +49 408 797987-60
Website: www.tessenderlogroup.com
TESSENDERLO CHEMIE ESPAÑA TCE SA
POSTAL ADDRESS
Apartado de Correos 134
ES-28400 Collado Villalba (Madrid) (Spain)
Tel.: +34 91 357 32 04
Fax: +34 91 351 32 04
Website: www.tessenderlogroup.com
175

annual report 2008
176
TESSENDERLO CHEMIE
ROTTERDAM B.V.
Zevenmanshaven, 139
NL-3133 CA Vlaardingen (The Netherlands)
Tel.: +31 10 445 27 77
Fax: +31 10 445 27 38
Website: www.tessenderlogroup.com
TESSENDERLO ITALIA srl
Feed Phosphate Plant – Division Italphos
Via Quari Destra 41
IT-37044 Cologna Veneta (Verona) (Italy)
Tel.: +39 0442 41 38 11
Fax: +39 0442 41 38 28
Website: www.tessenderlogroup.com
TESSENDERLO KERLEY LATINOAMERICANA SA
Andres de Fuenzalida 133 depto A
CL-9358 Santiago (Chile)
Tel.: +56 2 334 65 71
Fax: +56 2 334 88 12
Website: www.tkinet.com
TESSENDERLO KERLEY MEXICO SA de CV
Blvd. Rodolpho Elias Calles 515-13 OTE
Obregon, Sonora
MX-Mexico 85000 (Mexico)
Tel.: +11 52 64 44 17 59 53
Fax: +11 52 64 44 17 96 00
Website: www.tkinet.com
TESSENDERLO KERLEY MIDDLE EAST
Business Center/6th floor
Box 2795
LA-Jounieh (Lebanon)
Tel.: +961 99 34 635
Fax: +961 96 43 125
Website: www.tkinet.com
TESSENDERLO KERLEY PERU SAC
Parque Industrial
Jacinto Ibanez 131
PE-Arequipa (Peru)
Tel.: +51 54 24 18 24
Fax: +51 54 23 28 55
Website: www.tkinet.com
TESSENDERLO POLSKA Sp.z o.o.
ul. Szarych Szeregów 7
PL-60-462 Poznan (Poland)
Tel.: +48 61 840 00 40
Fax: +48 61 840 02 96
Website: www.tessenderlogroup.com
TESSENDERLO AGROCHEM TARIM VE KIMYA
SAN. VE TIC. Ltd
Kustepe Mahallesi
Leylak Sokak, Murat Is Merkezi
B. Blok, K:11 D:37
TR-34387 /Istanbul (Turkey)
Tel.: +90 212 217 56 26
Fax: +90 212 217 56 31
Website: www.tkinet.com
PVC / CHLOR-ALKALI
PRODUITS CHIMIQUES
DE LOOS SAS
BP 39 - FR-59374 Loos (France)
rue Clémenceau
FR-59120 Loos (France)
Tel.: +33 320 22 58 58
Fax: +33 320 93 59 80
Website: www.tessenderlogroup.com
TESSENDERLO CHEMIE NV
Stationsstraat – Entrance 2
Industrieterrein Schoonhees - Zone 1
BE-3980 Tessenderlo (Belgium)
Tel.: +32 13 61 22 11
Fax: +32 13 66 81 40
Website: www.tessenderlogroup.com
TESSENDERLO ITALIA S.r.L.
30/32 Via Mario Massari
IT-28886 Pieve Vergonte (VB) (Italy)
Tel.: +39 0324 86 03 59
Fax: +39 0324 86 03 73
Sales offices
TESSENDERLO SCHWEIZ AG
Zürcherstrasse 42
CH-5330 Bad Zurzach (Switzerland)
Tel.: +41 56 249 09 69
Fax: +41 56 249 09 67
Website: www.tessenderlo.ch
PVC / CHLOR-ALKALI
LVM Limburgse Vinyl
Maatschappij NV
H. Hartlaan, 21 – Entrance 5
Industrieterrein Schoonhees 2030
BE-3980 Tessenderlo (Belgium)
Tel.: +32 13 61 22 11
Fax: +32 13 66 84 06
Website: www.lvm.be

Tessenderlo Group
LVM Limburg B.V.
Koolwaterstofstraat 1
NL-6161 RA Geleen (The Netherlands)
Tel.: +31 464 76 81 48
Fax: +31 464 76 46 41
R & D Polymers
H. Hartlaan, 21 – Entrance 5
Industrieterrein Schoonhees 2030
BE-3980 Tessenderlo (Belgium)
Tel.: +32 13 61 22 11
Fax: +32 13 67 20 18
SAV SAS Plant Mazingarbe
Chemin des Soldats
BP 49
FR-62160 Bully-les-Mines (France)
Tel.: +33 321 72 85 06
Fax: +33 321 72 82 60
Website: www.tessenderlogroup.com
Plastics Converting
HEADOFFICE PLASTICS CONVERTING
rue du Trône, 130
BE-1050 Bruxelles (Belgium)
Troonstraat 130
BE-1050 Brussel (Belgium)
Tel.: + 32 2 639 18 11
Fax: + 32 2 639 19 99
Website: www.tessenderlogroup.com
PROFILES
CHELSEA BUILDING PRODUCTS Inc.
565, Cedar Way
US-Oakmont, Pennsylvania 15139 (USA)
Tel.: + 1 412 826 80 77
Fax: +1 412 826 80 96
Website: www.chelseabuildingproducts.com
DYNAPLAST EXTRUCO Inc.
10500, rue Colbert
Anjou
Montréal H1J 2H8 (Canada)
Tel.: +1 514 355 68 68
Fax: +1 514 355 03 52
Website: www.dynaplastextruco.com
EUROCELL PROFILES Ltd
Clover Nook road
Alfreton-Derbyshire
GB-DE 55 4RF (Great Britain)
Tel.: +44 1773 842 100
Fax: +44 1773 842 109
Website: www.eurocell.co.uk
PLASTIVAL SAS
2, Route de Santoche
FR-25340 Clerval (France)
Tel.: +33 381 99 18 18
Fax: +33 381 97 84 97
Website: www.plastival.fr
WYMAR INTERNATIONAL NV
Brugstraat 27
BE-8720 Oeselgem (Belgium)
Tel.: +32 9 388 95 71
Fax: +32 9 388 64 95
Website: www.wymar.com
Sales offices
EUROCELL BUILDING PLASTICS Ltd
Clover Nook road
Alfreton-Derbyshire
GB-DE 55 4RF (Great Britain)
Tel.: +44 1773 842 100
Fax: +44 1773 842 109
Website: www.eurocell.co.uk
PROFEX SAS
rue de Vimy - ZI les Quatorze
FR-62210 Avion (France)
Tel.: +33 321 08 57 20
Fax: +33 321 08 57 30
Website: www.profex.fr
WYMAR HUNGARIA Kft
Csepeli Út. 15
HU-2310 Szigetszentmiklos (Hungary)
Tel.: +36 24 444 800
Fax: +36 24 443 553
Website: www.wymar.hu
WYMAR POLSKA Sp. z o.o.
Ul. Gnieznienska 47
PL-62-100 Wagrowiec (Poland)
Tel.: + 48 67 26 26 246
Fax: + 48 67 26 27 510
Website: www.wymar.com
177

annual report 2008
178
PLASTIC PIPE SYSTEMS
DE HOEVE
KUNSTSTOFRECYCLING B.V.
De Nieuwe Haven, 16
NL-7772 BC Hardenberg (The Netherlands)
Tel.: +31 523 28 83 89
Fax: +31 523 26 03 89
DYKA B.V.
Produktieweg, 7
NL-8331 LJ Steenwijk (The Netherlands)
Tel.: +31 521 53 49 11
Fax: +31 521 53 43 35
Website: www.dyka.com
DYKA PLASTICS NV
Nolimpark 4004
Stuifzandstraat 47
BE-3900 Overpelt (Belgium)
Tel.: +32 11 80 04 20
Fax: +32 11 64 42 46
Website: www.dyka.com
DYKA POLSKA Sp. z o.o.
ul. Belgijska 5
PL-55-221 Jelcz-Laskowice (Poland)
Tel.: +48 71 301 00 00
Fax: +48 71 301 00 01
Website: www.dyka.com
NYLOPLAST EUROPE B.V.
Mijlweg 45
NL- 3295 KG ‘s Gravendeel (The Netherlands)
Tel: +31 78 673 20 44
Fax: + 31 78 673 44 89
SOTRA-SEPEREF SAS
25, Route de Brévillers
FR-62140 Ste Austreberthe (France)
Tel.: +33 321 86 59 00
Fax: +33 321 86 59 01
Website: www.sotra-seperef.com
SOTRA-SEPEREF SAS (2)
Z.I. de Quincieux 2, BP 1
FR-69650 Quincieux (France)
Tel.: +33 472 26 29 72
Fax: +33 478 91 19 98
Website: www.sotra-seperef.com
Sales offices
DYKA B.V. – EXPORT
Deccaweg 25
NL-1042 AE Amsterdam (The Netherlands)
Tel.: +31 20 50 60 081
Fax: + 31 20 61 35 646
Website: www.dyka.com
DYKA GmbH
Birkenweg, 5
OT Wilhelmshorst
DE-14552 Milchendorf (Germany)
Tel.: +49 33 205 24 25 11
Fax: +49 33 205 24 25 20
Website: www.dyka.com
DYKA s.r.l.
46, Grigore Cobalcescu Street
ap.9
RO- Bucharest, sector 1 (Romania)
Tel: + 40 364 262 803
Fax: + 40 364 262 803
Website: www.dyka.com
DYKA SK s.r.o.
Nejedlého 49/9
SK-841 02 Bratislava (Slovak Republic)
Tel.: +421 918 973 286
Fax: +420 336 406 701
Website: www.dyka.com
DYKA s.r.o.
Unhostská 505
CZ-27361 Velká Dobrá (Czech Republic)
Tel.: +420 312 666 011
Fax: +420 312 685 026
Website: www.dyka.com
JOHN DAVIDSON PIPES Ltd
Townfoot Industrial Estate
Longtown, Carlisle
GB-Cumbria CA6 5LY (Great Britain)
Tel.: +44 1228 79 15 03
Fax: +44 1228 79 20 51
Website: www.jdpipes.co.uk
COMPOUNDS
CTS - COUSIN-TESSIER SAS
Zone Industrielle BP 3
FR-85130 Tiffauges (France)
Tel.: +33 251 65 71 43
Fax: +33 251 65 71 61
Website: www.cts-compounds.com

Tessenderlo Group
CTS - SAPLAST SAS
22-24, rue de la Rochelle
Port du Rhin
FR-67100 Strasbourg (France)
Tel.: +33 388 65 82 00
Fax: +33 388 40 00 80
Website: www.cts-compounds.com
CTS - TCT POLSKA Sp. z o.o.
Ul. 15 Sierpnia 106
PL-96-500 Sochaczew (Poland)
Tel.: +48 46 863 13 60
Fax: +48 46 863 13 80
Website: www.cts-compounds.com
Website: www.tct.pl
PLASTIVAL SAS
2, Route de Santoche
FR-25340 Clerval (France)
Tel.: +33 381 99 18 18
Fax: +33 381 97 84 97
Website: www.plastival.fr
Sales offices
MARVYFLO
H. Hartlaan, 21 – Entrance 5
Industrieterrein Schoonhees 2030
BE-3980 Tessenderlo (Belgium)
Tel.: +32 13 61 22 11
Fax: +32 13 66 84 06
Website: www.tessenderlogroup.com
Specialities
HEADOFFICE SPECIALITIES
rue du Trône, 130
BE-1050 Bruxelles (Belgium)
Troonstraat 130
BE-1050 Brussel (Belgium)
Tel.: + 32 2 639 18 11
Fax: + 32 2 639 19 99
Website: www.tessenderlogroup.com
FINE CHEMICALS
CALAIRE CHIMIE SAS
Z.I. du Pont du Leu
1, Quai d’Amérique, B.P. 215
FR-62104 Calais Cedex (France)
Tel.: +33 321 46 21 21
Fax: +33 321 46 21 20
CHEMILYL SAS
BP 39 – FR-59374 Loos (France)
rue Clémenceau
FR-59120 Loos (France)
Tel.: +33 320 22 58 58
Fax: +33 320 93 59 80
FARCHEMIA S.r.L.
Via Bergamo, 121
IT-24047 Treviglio (BG) (Italy)
Tel.: +39 0363 31 401
Fax: +39 0363 45 985
Website: www.farchemia.it
TAILE CHEMICAL INDUSTRY
188, Xinhai Road
Lianyungang City,
CN-Jiangsu Province 222023 (China)
Tel.: +86 518 85 25 20 50
Fax: +86 518 85 25 56 86
Website: www.taile.com
TESSENDERLO CHEMIE NV
H. Hartlaan 21 – Entrance 3-4
Industrieterrein Schoonhees 2030
BE-3980 Tessenderlo (Belgium)
Tel.: +32 13 61 22 11
Fax: +32 13 66 29 53
Website: www.tessenderlogroup.com
TESSENDERLO CHEMIE MAASTRICHT B.V.
Ankerkade, 111
NL-6222 NL Maastricht (The Netherlands)
Tel.: +31 433 52 59 59
Fax: +31 433 52 59 55
TESSENDERLO FINE CHEMICALS Ltd
Macclesfield Road
GB-Leek, Staffs ST13 8LD (Great Britain)
Tel.: +44 1 538 39 91 00
Fax: +44 1 538 39 90 25
Website: www.tessenderlofinechemicals.co.uk
TESSENDERLO ITALIA S.r.L.
Fine Chemicals Plant
30/32 Via Mario Massari
IT-28886 Pieve Vergonte (VB) (Italy)
Tel.: +39 0324 86 03 59
Fax: +39 0324 86 03 73
179

annual report 2008
180
Sales offices
TESSENDERLO CHEMIE NV – FINE CHEMICALS
Rue du trône 130
1050 Bruxelles (Belgium)
Troonstraat 130
BE-1050 Brussel (Belgium)
Tel.: + 32 2 639 18 11
Fax: + 32 2 639 19 99
GELATIN
TESSENDERLO CHEMIE NV, AFDELING
VILVOORDE
PB GELATINS
Bedrijvenzone “Centrale”
Marius Duchéstraat, 260
BE-1800 Vilvoorde (Belgium)
Tel.: +32 2 255 62 21
Fax: +32 2 253 96 18
Website: www.pbgelatins.com
PB GELATINS GmbH
Große Drakenburger Straße 43
DE-31582 Nienburg/Weser (Germany)
Tel.: +49 50 21 60 100
Fax: +49 50 21 60 10 60
Website: www.pbgelatins.com
PB GELATINS (Pingyang) Co, LTD
Fuqian Road, Wubanqiao,
Aojiang Town, Pingyang County, Wenzhou City
CN-Zhejiang Province 325401 (China)
Tel.: +86 577 63 66 80 05
Fax: +86 577 63 66 81 83
Website: www.pbgelatins.com
PB GELATINS UK Ltd
Treforest Industrial Estate
Building A6, Severn road
GB-Pontypridd CF37 5SQ (Great Britain)
Tel.: +44 1443 849 300
Fax: +44 1443 844 209
Website: www.pbgelatins.com
PB LEINER ARGENTINA
Parque Industrial Sauce Viejo
S3017W16 - Sauce Viejo
Post Office: CC108-S3016WAC
AR-Santa Fe (Argentina)
Tel.: +54 342 450 1100
Fax: +54 342 450 1112
Website:
www.pbgelatins.com - www.gelatin.com
PB LEINER USA
7001 Brady Street
US-Davenport, Iowa 52806 (USA)
Tel.: +1 563 386 8040
Fax: +1 563 391 1138
Website:
www.pbgelatins.com - www.gelatin.com
NATURAL DERIVATIVES
AKIOLIS GROUP
72, av. Olivier Messiaen
FR-72000 Le Mans (France)
Tel.: +33 2 44 81 50 10
Fax: +33 2 44 81 50 12
General Sales Office China
TESSENDERLO TRADING SHANGHAI
Room 2201,
Shanghai Times Square Office Tower
Huai Hai Zhong Road, 93
CN-200021 Shanghai (China)
Tel.: +86 21 63 91 80 66 ext 15
Fax: +86 21 63 91 80 77
Website: www.tessenderlogroup.com

Tessenderlo Group
Index
page
Accounting Policies 105
Addresses 175
Animal feed phosphates 30
Applications 22
Audit (committee) 85
Auditor’s report 166
Balance sheet NV 168
Balance (consolidated) 102
Board of Directors 81
BEL Mid 92
Business Groups:
Chemicals 28
Plastics Converting 40
Specialities 54
Calendar (financial) 7
Call warrants 88
Capital 143
Cash flow
cover
Cash flow statement 103
Chart of the group 20
Committees 84
Compounds (pvc/tpe) 50
Consolidated balance sheet 102
Consolidated companies 163
Consolidated income statement 100
Consolidated revenue
cover
Contacts 7
Corporate Governance 81
Dividend 94
Energy 76
Environment 74
Equity (shareholders) 143
Events (recent) 26
Fertilisers 30
Figures over 10 years
cover
Financial communication 94
Financial assets 138
Financial notes 104
Financial ratios 2
Gearing 145
Gelatin 60
General Meeting 7
Goodwill 134
Graphs 2
Guarantees 159
Headcount 71
Human resources 70
IFRS 105
Important figures
cover
Index (stock exchange) 92
page
Intangible assets 136
International presence 18
Investor relations 94
Key figures
cover
Leadership 15
Liabilities (long-term) 144
Management Committee 86
Markets 22
Natural derivatives 64
Next 150 92
Number of shares NV 93
Off-balance sheet commitment 159
Organisation chart companies 20
Pension plan 147
Personnel (costs for) 128
Pharmaceuticals 56
Plastics 40
Plastic Pipe Systems 46
Press releases (dates) 7
Principles of consolidation 106
Production units 172
Products 22
Profile 14
Profiles 42
Profit distribution 144/170
Provisions 152
PVC 35
Results (consolidated) 100
Results NV 169
Revenue breakdown 5
Revenue (consolidated)
cover
Risk Management 76
Safety 74
Sales offices 175
Segment Reporting 121
Share Tessenderlo Chemie NV 92
Shareholders 92
Stock Exchange data 93
Stock options 88
Strategy of the group 16
Subsidiary companies (consolidated) 163
Tangible assets 132
Taxes 131
Vinyl 2010 75
Water treatment 37
www 184
181

annual report 2008
Financial Glossary
Basic earnings per share (Basic EPS)
EBITDA
Profit (+) / loss (-) for the period attributable
to equity holders of the group divided by the
weighted average number of ordinary shares.
Earnings before interests, taxes, depreciation,
amortisation and provisions
(Profit (+) / loss (-) from operations plus
depreciation, amortisation and provisions).
182
Capital employed (CE)
The carrying amount of property, plant and
equipment (PP&E), intangible assets and
goodwill together with working capital.
Dividend per share (gross)
Total amount paid as dividend divided by the
number of shares issued at closing date.
Diluted earnings per share (Diluted EPS)
Profit (+) / loss (-) for the period attributable
to equity holders of the group divided by the
fully diluted weighted average number of
ordinary shares.
Diluted weighted average number of ordinary
shares
Weighted average number of ordinary shares,
adjusted by the effect of share options on
issue.
EBIT
Earnings before interests and taxes
(Profit (+) / loss (-) from operations).
Gearing
Net financial liabilities divided by equity.
Interest coverage
Profit (+) / loss (-) for the period plus income
tax expense and interest expense, divided by
the interest expense.
Market capitalisation
Number of shares issued (at the end of the
period) multiplied by the market price per
share (at the end of the period).
Net cash flow
Profit (+) / loss (-) for the period and all
non cash flow items included in the income
statement (provisions, amortisations,
deprecation and impairment losses).
Net financial liabilities
Non-current and current financial liabilities
minus cash and cash equivalents.

Tessenderlo Group
Non-recurring items
Items related to restructuring, impairment
losses, claims and other income or expenses,
which do not occur regularly as part of the
normal activities of the company.
Pay out ratio
Gross dividend divided by profit for the period
attributable to equity holders of the group.
REBIT
Recurring earnings before interests and taxes
(Profit from operations before non-recurring
items).
REBITDA
Recurring earnings before interests, taxes,
depreciation, amortisation and provisions
(Profit from operations plus depreciation,
amortisation and provisions).
Theoretical aggregated weighted tax rate
Calculated by applying the statutory tax rate
of each country on the profit before tax of
each entity and by dividing the resulting tax
charge by the total profit before tax of the
group.
Weighted average number of ordinary shares
Number of shares outstanding at the
beginning of the period, adjusted by the
number of shares cancelled, repurchased or
issued during the period multiplied by a timeweighting
factor.
Working capital
Inventories, trade and other receivables
minus trade and other payables.
183
Return on capital employed (ROCE)
REBIT divided by capital employed.
Return on equity (ROE)
Profit (+) / loss (-) for the period divided by
average equity attributable to equity holders
of the group.

annual report 2008
Editor
M. Vandenbergen – Corporate Communication
Tessenderlo Group
Troonstraat 130
B-1050 Brussels (BE)
Tel.: +32 2 639 18 11
Concept & Pre-press
Comfi & Publishing, www.comfi.be
184
Het jaarverslag is tevens beschikbaar in het Nederlands.
Le rapport annuel est également disponible en français.
The Annual Report (in English, Dutch, French) may be viewed on our website:
www.tessenderlogroup.com; see News & Media – Publications.
A user-friendly interactive (html) version of the English Annual Report is also available on
the website.
TESSENDERLO CHEMIE NV
Administrative Headquarters
Troonstraat 130
B-1050 Brussels (Belgium)
Tel. +32 2 639 18 11
Fax +32 2 639 19 99
BTW BE 0 412 101 728
RPR Hasselt
Website: www.tessenderlogroup.com

www.tessenderlogroup.com

Making it together
Making it FIT
Making it LASTING
Making it INSPIRING
Making it CONVINCING
Making it WORK
www.tessenderlogroup.com