September 30, 2008

Sumitomo Chemical Announces Revisions to its Financial Forecast for Fiscal 2008
Based on its recent performance trends, Sumitomo Chemical Co., Ltd. (the Company) has
revised the forecast announced on May 9, 2008 as detailed below.

１． Revised Consolidated Financial Forecast for First Half Fiscal 2008

(April 1, 2008-September30, 2008)（Millions of yen）
Sales

Operating

Ordinary

IncomeIncomeNet Income

Previous Estimates (A)1,000,000

33,00026,00010,000

Revised Estimates (B)1,033,000

27,00021,0005,000

Variance in amount (B-A)+33,000-6,000-5,000-5,000Variance in percentage+3.3%-18.2%-19.2%-50.0%

931,896

48,364

57,664

26,396

Results for the first half offiscal 2007 (Ended September30, 2007)
２． Revised Estimates for Full-Year Consolidated Financial Results (April 1, 2008-March 31,2009)（Millions of yen）
Sales

Operating

Ordinary

IncomeIncomeNet Income

Previous Estimates (A)2,080,000

95,000100,000

55,000

Revised Estimates (B)2,110,000

70,00060,00015,000

Variance in amount (B-A)+30,000-25,000-40,000-40,000

Variance in percentage+1.4%-26.3%-40.0%-72.7%

1,896,539

102,397

92,79063,083Results of Fiscal 2007
(Ended March 31, 2008)

３． Reasons for the Revision(First Half)
The Company has taken higher feedstock costs and other factors into consideration inrevising its first half forecast. The price of domestic naphtha, which at the time of thepreviously announced forecast was estimated at ¥67,000/KL, has been revised to ¥79,000/KL.
The dollar exchange rate, previously estimated at ¥100/USD, has been revised to ¥105/USD.
As a result of these revisions, the Company forecasts weaker performance mainly in itsPetrochemicals & Plastics and Basic Chemicals segments and has revised its financial
forecasts downward. Compared with the previously announced forecast, the Company
expects operating income, ordinary income and net income to decrease by 18.2％, 19.2％,
and 50.0％ respectively.

(Full Year)
With regard to the full-year forecast, the domestic naphtha price was previously estimated at¥67,000/KL, and has been revised to ¥75,000/KL (¥70,000/KL for the second half). In addition,
the dollar exchange rate was previously estimated at ¥100/USD and has been revised to¥105/USD (¥105/USD for the second half). As a result of these revisions, the Company
forecasts weaker performance mainly in its Petrochemicals & Plastics and Basic
Chemicals segments and has revised its financial forecasts downward. Compared with thepreviously announced forecast, operating income is expected to decrease by 26.3％.
The revised plan of the Rabigh Project in Saudi Arabia to start operation of some of thefacilities in the first quarter of 2009 and other factors are forecast to have an impact onequity earnings. As a result, the Company expects ordinary income and net income todecrease by 40.0％ and 72.7％ respectively.
(Cautionary Statement)
Statements made in this release with respect to the Company’s current plans, estimates, strategies
and beliefs that are not historical facts are forward-looking statements regarding the future
performance of Sumitomo Chemical. These statements are based on management’s assumptions
and beliefs in light of information currently available, and involve risks and uncertainties. Importantfactors that could cause actual results to differ materially from those discussed in the forward-looking
statements include, but are not limited to, general economic conditions in Sumitomo Chemical’smarkets; demand for, and competitive pricing pressure on, Sumitomo Chemical’s products in themarketplace; Sumitomo Chemical’s ability to continue to win acceptance for its products in thesehighly competitive markets; and fluctuations of currency exchange rates.

(Appendix)
September 30, 2008
Sumitomo Chemical Co., Ltd.

Sales and Operating Income by Segment(Unit: Billons of yen)
FY2008 Previous
Estimate (A)FY2008 Revised
Estimate (B)

Variance inamount (B-A)

Sales

325.0

320.0

-5.0

Operating Income

10.0

-2.0

-12.0

Sales
Petrochemicals &Plastics
Operating Income

720.0

720.0

0.0

11.0-2.0-13.0

Sales

100.0

100.0

0.0

Operating Income

9.0

7.5

-1.5

Sales

340.0

345.0

5.0

Operating Income

22.5

19.5-3.0

Sales

205.0

230.0

25.0

Operating Income

16.5

25.0

8.5

Sales

240.0

240.0

0.0

Operating Income

31.0

31.0

0.0

Sales

150.0

155.0

5.0

Operating Income-5.0-9.0-4.0

Basic Chemicals

Fine Chemicals
IT-related
Chemicals
Agricultural
Chemicals
Pharmaceuticals

OthersElimination

Total

Sales

---

Operating Income---Sales

2,080.0

2,110.0

30.0

Operating Income

95.0

70.0-25.0