1. COMPANY OVERVIEW Presented by Larry Marchman Global Director of Credit
W. R. Grace & Co.
COMPANY OVERVIEW
Presented by Larry Marchman
Global Director of Credit

2. Grace Fast Facts (NYSE: GRA)
2011 Grace Sales
2011 sales of $3.2 billion
True specialty chemicals business
High value, high margin product portfolio
Strong franchises in large, global markets
Global leadership positions
Number 1 or 2 in over 75% of 2011 sales
Catalysts Technologies
#1 in FCC catalysts
#1 in resid hydroprocessing catalysts
#1 in independent polyethylene catalysts
#2 in independent polypropylene catalysts
Materials Technologies
#1 in specialty silica gel
#1 in can sealants
Construction Products
#1 in cement additives
#2 in concrete admixtures
Operations in over 40 countries
Construction Products
$3.2
billion
Catalysts Technologies
Materials Technologies
2011 Grace Sales by Region
Western Europe
North America
$3.2
billion
Eastern Europe
Latin America
Middle East & Africa
Asia Pacific

3. Grace Around the World Recent Investments
Global Headquarters
Columbia, MD, USA 2 5 4
Recent Investments
Hydroprocessing catalyst capacity in the Middle East with Kuwait Catalyst Company
Polypropylene catalyst capacity in Europe and U.S. for global supply
Silica capacity in Brazil and Malaysia
Specialty construction chemicals investments in Asia, Latin America, and the Middle East
Specialty building materials acquisitions in China and Europe
Global headquarters
Key offices
Regional headquarters
93 manufacturing sites
44 R&D/Tech Service sites

4. Catalysts Technologies Summary Profile $1.3 billion sales (2011)
Addressable Sector Size: $16B, growing at 5-6%
Industries
Energy and Refining
Plastics, Petro- and Biochemicals
Product Lines
Refining Technologies
Advanced Refining Technologies (ART) JV
Specialty Catalysts & Process Technologies

5. Materials Technologies Summary Profile $0.9 billion sales (2011)
Addressable Sector Size: $6B, growing at 4-6%
Industries
Industrial
Consumer
Coatings
Pharmaceutical
Packaging
Product Lines
Engineered Materials
Discovery Sciences
Darex Packaging

6. MATERIALS TECHNOLOGIES
Key Applications
We provide enabling technologies for many of the consumer and industrial products you use every day – invisible, but you would see, feel and taste the difference without them
Garage
Tire [reinforcer]
Golf club
[casting binder]
Shoes [rubber additives]
Toothpaste [abrasive]
Cosmetics [thickener]
Aerosol can [coating]
Pharmaceutical [drug formulation]
Washroom
Kitchen
Spices
[free-flow]
Furniture
[coating]
Appliances
[matting agent]
Vegetable oil [purification]
Beer
[clarification]
Soda can [can coating and sealant]
Window [desiccant]
Photos
[digital printing]
Silica gel
Packaging
Precipitated silica
Colloidal silica
Molecular sieves
Water bottle
[closure sealant]
Silica excipients

7. Construction Products
Summary Profile
Construction Products
$1.0 billion sales (2011)
Sector Size: $8T, growing at 5-6%
Industry Segments
Commercial
Industrial
Residential
Product Lines
Specialty Construction Chemicals
Specialty Building Materials

8. Net Approved Terms (DAYS)
ICTF Conference
Country Approved Maximum Terms – LATIN AMERICA
Country
Risk
Net Approved Terms (DAYS)
Argentina
High
Net 45
Barbados
Low
Net 30
Bolivia
Brazil
Net 60
Chile
Colombia
Costa Rica
Domnican Republic
Moderate
Ecuador
Guatemala
Honduras
Mexico
Nicaragua
Panama
Paraguay
Peru
Trinidad, Tobago
Uruguay
Venezuela

9. Argentina DSO YTD Average 82 Days
ICTF Conference
Argentina
DSO YTD Average 82 Days
Best Possible DSO 45 Days
Average Days Delinquent 37 Days
Past Dues 12%
Currently 8 oil refineries in Argentina.
Yacimientos Petrolíferos Fiscales (YPF; English: "Treasury Petroleum Fields") The nationalization of 51% was initiated in 2012 by President Cristina Fernandez de Kirchner
YPF dominates the downstream oil industry in Argentina, accounting for about half of the country's total crude oil refining capacity of 625,000 bbl/d. Other companies with significant refining capacity include Shell (110,000 bbl/d) and Esso (85,000 bbl/d
Concerns: Currency, inflation , strikes, and constitutional changes to allow Fernandez to run for a 3rd term.

10. Chile DSO average 75 Days Best Possible DSO 54 Days
ICTF Conference
Chile
DSO average 75 Days
Best Possible DSO 54 Days
Average Days Delinquent 21 Days
Past Dues 11%
Stable and prosperous nation with an emerging economy.
Leads Latin American nations in income per capita, economic freedom, low perception of corruption.
High economic inequality as measured by the Gini Index
3 Refineries Largest is, Biobío Refinery (Empresa Nacional Del Petroleo), 113,000 bbl/d (18,000 m3/d)
Copper accounts for over 40% of Chilean exports to the United States.

11. Colombia DSO average 56 Days Best Possible DSO 42 Days
ICTF Conference
Colombia
DSO average 56 Days
Best Possible DSO 42 Days
Average Days Delinquent 14 Days
Past Dues 10%
Fourth-largest country in South America, Economy moved from restricted to open market.
Natural resources: Coal, petroleum, natural gas, iron ore, nickel, gold, silver, copper, platinum, emeralds.
Colombia depends heavily on oil exports, making it vulnerable to a drop in oil prices
$61 billion: petroleum, coffee, coal, nickel, emeralds, apparel, bananas, and cut flowers. Coffee production 2nd to Brazil
4 Refineries, 3 owned by Ecopetrol (EcopBarrancabermeja) Santander Refinery, expanding to 300,000 bbl/d, 1 by Cartagena Refinery, Reficar SA

12. Mexico DSO Average 67 Days Best Possible DSO 51 Days
ICTF Conference
Mexico
DSO Average 67 Days
Best Possible DSO 51 Days
Average Days Delinquent 16 Days
Past Dues Average 16%
Competitiveness: Competing against the BRICS bloc (Brazil, Russia, India, China) for economic opportunities, markets and foreign investment from developed countries.
Security: The ever-scaling violence between drug cartels and police forces, as part of the "Mexican War on Drugs". Also, inadequate funding has allowed for high levels of corruption among police and armed forces, specially when dealing against drug cartels.
Education: Lack of education for most of the population (only one in every 10 Mexicans completes college education). Also, the public education system in Mexico is one of the worst in the world, but any attempt to reform it is blocked by the National Teacher's Syndicate, which by the way is one of the most corrupt in Mexico (just second to the Oil Workers' Syndicate).
Economy: World economic bust compounded with a swine flu (H1N1) scare is keeping a depressed economy: the high dependence on America as receiver of Mexican exports as well as source of international tourists have impacted negatively on the Mexican economy to astonishing levels (-7% of growth during 2009).
Poverty: Although Mexico is a world leader in hunger reduction, there is still a 5% of children under 5 suffering with malnutrition; according to the United Nations Development Programmed, 17.6% of Mexicans (19.7 million for 2009) are below the poverty line.
Peak Oil: Current Mexican oil reserves are dwindling, with 8 years left to be completely gone.
Corruption: Rampant corruption among public officers

13. Peru DSO YTD Average 90 Days Best Possible DSO Average 58 Days
ICTF Conference
Peru
% of Sales by Payment Term
DSO YTD Average 90 Days
Best Possible DSO Average 58 Days
Average Days Delinquent 32 Days
Past Dues Average 7%

14. Venezuela DSO YTD Average 66 Days Best Possible DSO Average 34 Days
ICTF Conference
Venezuela
% of Sales by Payment Term
DSO YTD Average 66 Days
Best Possible DSO Average 34 Days
Average Days Delinquent 32 Days
Past Dues Average 35%

15. ICTF Conference
Latin America DSO

16. BRICS – Brazil, Russia, India, China and South Africa
ICTF Conference
BRICS – Brazil, Russia, India, China and South Africa

17. Brazil DSO YTD Average 40 Days Best Possible DSO Days
ICTF Conference
Brazil
DSO YTD Average 40 Days
Best Possible DSO Days
Average Days Delinquent Days
Past Dues 3%

18. Russia DSO YTD Average 46 Days Best Possible DSO Average 49 Days
Average Days Delinquent -3 Days
Past Dues Average 7%

19. India DSO YTD Average 71 Days Best Possible DSO Average 56 Days
% of Sales by Payment Term
DSO YTD Average 71 Days
Best Possible DSO Average 56 Days
Average Days Delinquent 15 Days
Past Dues Average 5%

20. China DSO YTD Average 88 Days Best Possible DSO 45 Days
ICTF Conference
China
DSO YTD Average 88 Days
Best Possible DSO 45 Days
Average Days Delinquent 43 Days
Past Dues 10%

21. South Africa DSO YTD Average 48 Days Best Possible DSO Average Days
% of Sales by Payment Term
DSO YTD Average 48 Days
Best Possible DSO Average Days
Average Days Delinquent Days
Past Dues Average 9%

22. Larry Marchman Global Director of Credit W. R. Grace & Co.
Lawrence Marchman is the Global Director of Credit for W. R. Grace & Co., a $3.2 billion global leader in specialty chemical manufacturing. Mr. Marchman concentrates on optimizing the turnover of worldwide trade receivables, and formulating and managing the company’s global credit policy while continually driving process improvements in the order-to-cash cycle.
His accomplishments include working capital optimization and generating efficiencies through compliance and risk management. He has led Six Sigma Revenue Chain workout sessions in Europe, Asia and South America, as well as the United States.
Prior to Grace, Mr. Marchman held senior credit management positions with large manufacturing companies, including Becton Dickinson and International Paper Company.
Larry Marchman Global Director of Credit W. R. Grace & Co.