For Immediate Release

February 7, 2006

Sumitomo Chemical Reports
Consolidated Financial Results
For the Nine Months Ended December 31,2005
Sumitomo Chemical Company, Limited today announced that its consolidated net sales for the ninemonths ended December 31, 2005 totaled ¥1,097.8 billion ($9,298 million), an increase of 15.8% overthe same period last year. Net income increased by 61.5% to ¥71.3 billion ($604 million).
Sales in the Basic Chemicals segment increased by 5.7% over the same period for the previous yearto ¥178.1 billion. The market for caprolactam and acrylonitrile, the raw materials for synthetic fibers,generally remained firm. A strong market for aluminum led to an increase in sales. Sales in thePetrochemicals & Plastics segment increased by 14.8% over the same period last year to ¥351.5
billion. Sales of synthetic resins increased thanks to the prevailing solid demand in Asia. Sales ofpetrochemical products increased because of a rise in the market, given steep rises in prices fornaphtha and other feedstock. Sales in the Fine Chemicals segment decreased by 9.5% comparedwith last year’s corresponding period to ¥57.3 billion. Intensifying competition caused a decrease insales of pharmaceutical active ingredients, while sales of raw materials for adhesives held firm.
Sales in the IT-related Chemicals segment increased by 23.6% over the same period for the previous
year to ¥159.2 billion. Expanded production capacity in Asia led to a considerable increase in
shipments of color filters and polarizing film, although selling prices for these products declined.
Sales in the Agricultural Chemicals segment increased by 7.6% over the same period for the previous
year to ¥128.3 billion. Expanded sales of herbicides in North America were a factor in favorable
overseas results. In addition, enhanced sales promotion for feed additives contributed to anincrease in shipments. Sales in the Pharmaceuticals segment increased by 31.5% over the same
period for the previous year to ¥166.6 billion. Sumitomo Pharmaceuticals Co., Ltd. (“SumitomoPharmaceuticals”) and Dainippon Pharmaceutical Co., Ltd. (“Dainippon Pharmaceutical”) merged in
October of last year to form Dainippon Sumitomo Pharma Co., Ltd. Sales remained firm for Amlodin(a therapeutic agent for hypertension and angina pectoris) and Meropen (a carbapenem antibiotic) as
well as former Dainippon Pharmaceutical products such as Gasmotin (a gastroprokinetic) andProrenal (a vasodilator). Sales in the Others segment increased by 60.8% over the previous year’s
corresponding period to ¥56.9 billion.
Total operating income increased by 14.8% over the same period for the previous year to ¥88.4 billion.
The Basic Chemicals and Petrochemicals segments, buoyed by favorable market conditions in Asia,posted increases in operating income of 144.6% and 50.9%, respectively, rising to ¥7.3 billion and¥12.8 billion. Operating income in the Pharmaceuticals segment increased by 23.3% to ¥34.4 billion
over the same period of last year as a result of the merger of Sumitomo Pharmaceuticals andDainippon Pharmaceutical. In the Agricultural Chemicals segment, operating income increased by
20.5% over the same period last year to ¥9.4 billion, boosted by sales expansion in North America.
Operating income in the IT-related Chemicals segment decreased by 11.2% over the same period lastyear to ¥14.8 billion, caused by lower sales prices. The Fine Chemicals segment saw a decrease of
23.5% to ¥7.3 billion owing to intensifying competition in the market.
Net income increased by 61.5% to ¥71.3 billion, as a result of higher operating income and increaseon the special gain from the merger of Sumitomo Pharmaceuticals and Dainippon Pharmaceutical.
(Note)*U.S. dollar amounts are translated from yen, for convenience only, at the rate of¥118.07= $1 prevailing on December 31, 2005.
(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 about the future performance of Sumitomo Chemical. These statements are based on management’s assumptions and beliefs in light of theinformation currently available to it, and involve risks and uncertainties. The important factors 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’s markets; demand for, andcompetitive pricing pressure on, Sumitomo Chemical’s products in the marketplace; Sumitomo Chemical’s ability to continue to win acceptance for its products inthese highly competitive markets; and movements of currency exchange rates.

Summary of Consolidated Results(1) Results of operations:

Net Sales
Operating Income
Income Before Income Taxes
and Minority Interests
Net Income

Net income per 1,000 shares（¥9 Months ended
December 31, 2005
¥ Million ）（ US$ 1,000 ）*1,097,844$
9,298,247
88,411
748,802
127,176
71,301（¥Yen）
43,1439 Months ended
December 31, 2004
（ ¥ Million ）¥948,021
77,017

1,077,124
603,888（$US$）*
36591,794
44,150（¥Yen）
26,704(2) Financial Position:

Total Assets
Total Shareholders’ Equity

Book Value per 1,000 shares（¥（¥As of December 31, 2005
¥ Million ）（ US$ 1,000 ）*2,093,208$ 17,728,534
675,408
5,720,403
Yen）
408,716（$US$）*
3,462

As of March 31, 2005
（ ¥ Million ）¥ 1,648,796
569,601（¥Yen）
344,576(3) Results of Operations by Business Segment:（Net Sales
Basic Chemicals
Petrochemicals & Plastics
Fine Chemicals
IT-related Chemicals
Agricultural Chemicals
Pharmaceuticals
Others¥¥Operating Income
Basic Chemicals
Petrochemicals & Plastics
Fine Chemicals
IT-related Chemicals
Agricultural Chemicals
Pharmaceuticals
OthersElimination¥¥

9 Months ended
December 31, 2005
¥ Million ）（ US$ 1,000 ）*178,126
351,470
57,313
159,185
128,317
166,560
56,873
1,097,844$

7,254
12,751
7,253
14,826
9,396
34,3592,647
75
88,411$$$

9 Months ended
December 31, 2004
（ ¥ Million ）1,508,647
2,976,793
485,415
1,348,226
1,086,787
1,410,689
481,689
9,298,247¥61,438
107,995
61,430125,570
79,580291,005
22,419635
748,802¥(Note)*U.S. dollar amounts are translated from yen, for convenience only, at the rate of¥118.07=$1 prevailing on December 31, 2005¥¥

168,527
306,095
63,332
128,830
119,237
126,625
35,375
948,021
2,966
8,451
9,479
16,694
7,799
27,8673,519
242
77,017