<PAGE>

                                                                   EXHIBIT 10(j)

                               OLIN CORPORATION
                  1997 STOCK PLAN FOR NON-EMPLOYEE DIRECTORS

                   (As Amended Effective February 22, 2001)

     1.   Purpose. The purpose of the Olin Corporation 1997 Stock Plan for Non-
employee Directors the ("Plan") is to promote the long-term growth and financial
success of Olin Corporation by attracting and retaining non-employee directors
of outstanding ability and by promoting a greater identity of interest between
its non-employee directors and its shareholders. The Plan is amended and
restated to reflect the distribution to Olin's shareholders of all of the
outstanding shares of common stock of Arch Chemicals, Inc., effective as of the
date of such distribution.

     2.   Definitions.  The following capitalized terms utilized herein have the
following meanings:

               "Annual Grant Participant" means a Non-employee Director who is
     not eligible for any other pension benefits from the Company, including,
     but not limited to, benefits from the Olin Employees Pension Plan, the Olin
     Senior Executive Pension Plan or another pension plan of the Company.

               "Arch" means Arch Chemicals, Inc., a Virginia corporation and any
     successor.

               "Arch Common Stock" means shares of common stock of Arch, par
     value $1.00 per share.

               "Arch Director" means a non-employee director of the board of
     directors of Arch.

               "Arch Stock Account" means the Stock Account to which phantom
     shares of Arch Common Stock are credited.

               "Arch Directors' Plan" means the Arch Chemicals, Inc. 1999 Stock
     Plan for Non-employee Directors.

               "Board" means the Board of Directors of the Company.

               "Cash Account" means an account established under the Plan for a
     Non-employee Director to which cash meeting fees and retainers have been or
     are to be credited in the form of cash.

               "Change in Control" means any of the following:  (i) the Company
     ceases to be, directly or indirectly, owned by at least 1,000 shareholders;
     (ii) a person, partnership, joint venture, corporation or other entity, or
     two or more of any of the
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                                                                               2

     foregoing acting as a "person" within the meaning of Section 13(d)(3) of
     the 1934 Act, other than the Company, a majority-owned subsidiary of the
     Company or an employee benefit plan of the Company or such subsidiary (or
     such plan's related trust), become(s) the "beneficial owner" (as defined in
     Rule 13d-3 under the 1934 Act) of 20% or more of the then outstanding
     voting stock of the Company; and (iii) during any period of two consecutive
     years, individuals who at the beginning of such period constitute the Board
     (together with any new director whose election by the Board or whose
     nomination for election by the Company's shareholders was approved by a
     vote of at least two-thirds of the directors then still in office who
     either were directors at the beginning of such period or whose election or
     nomination for election was previously so approved) cease for any reason to
     constitute a majority of the directors then in office.

          "Code" means the Internal Revenue Code of 1986, as amended from time
     to time.

          "Committee" means the Compensation Committee (or its successor) of the
     Board.

          "Common Stock" means the Company's Common Stock, $1.00 par value per
     share.

          "Company" means Olin Corporation, a Virginia corporation, and any
     successor.

          "Credit Date" means the second Thursday after the regularly scheduled
     board meeting in each calendar quarter (January, April, July and October)
     beginning April 2001.

          "Distribution" means the distribution of all outstanding shares of
     Arch Common Stock to the shareholders of the Company.

          "Distribution Date" means the dividend payment date fixed by the Board
     for the Distribution.

          "Excess Retainer" means with respect to a Non-employee Director the
     amount of the full annual cash retainer payable to such Non-employee
     Director from time to time by the Company for service as a director in
     excess of $25,000, if any; provided that in the event the annual cash
     retainer is prorated to reflect that such Non-employee Director did not
     serve as such for the full calendar year, the $25,000 shall be similarly
     prorated.

          "Fair Market Value" means, with respect to a date, on a per share
     basis, with respect to phantom shares of Common Stock or Arch Common Stock,
     the average of the high and the low price of a share of Common Stock or
     Arch Common Stock, as the case may be, as reported on the consolidated tape
     of the New York Stock Exchange on such date or if the New York Stock
     Exchange is closed on such date, the next succeeding date on which it is
     open.
<PAGE>

                                                                               3

          "Interest Rate" means the rate of interest equal to the Company's
     before-tax cost of borrowing as determined from time to time by the Chief
     Financial Officer, the Treasurer or the Controller of the Company (or in
     the event there is no such borrowing, the Federal Reserve A1/P1 Composite
     rate for 90-day commercial paper plus 10 basis points, as determined by any
     such officer) or such other rate as determined from time to time by the
     Board or the Committee.

          "l934 Act" means the Securities Exchange Act of 1934, as amended from
     time to time.

          "1994 Plan" means the 1994 Stock Plan for Non-employee Directors as in
     effect on October 1, 1997.

          "Non-employee Director" means a member of the Board who is not an
     employee of the Company or any subsidiary thereof.

          "Olin Stock Account" means the Stock Account to which phantom shares
     of Common Stock are credited from time to time.

          "One-time Grant Participant" means a Director with an accrued benefit
     under the Retirement Plan, as shown on Exhibit 1 hereto; provided such
     Director waives his or her rights with respect to the Retirement Plan.
     (See Exhibit 1 for the present value of each such Director's accrued
     benefit as of December 31, 1996.)

          "Plan" means this Olin Corporation 1997 Stock Plan for Non-employee
     Directors as amended from time to time.

          "Prior Plans" means the 1994 Plan and all of the Corporation's other
     directors' compensation plans, programs, or arrangements which provided for
     a deferred cash or stock account.

          "Retirement Date" means the date the Non-employee Director ceases to
     be a member of the Board for any reason; provided that a Non-employee
     Director will not be considered to have incurred a Retirement Date if he
     ceases to be a Non-employee Director to become an Arch Director.

          "Retirement Plan" means the Retirement Plan for Non-employee Directors
     of Olin Corporation as in effect on December 31, 1996.

          "Stock Account" means an account established under the Plan for a Non-
     employee Director to which shares of Common Stock and Arch Common Stock
     have been or are to be credited in the form of phantom stock, which shall
     include the Olin Stock Account and the Arch Stock Account.

     3. Term.  The Plan became effective January 1, 1997. Once effective, the
Plan shall operate and shall remain in effect until terminated by action of the
Board as provided
<PAGE>

                                                                               4

in Section 9 hereof. The Plan was amended and restated effective October 2,
1997, and again effective as of the Distribution Date.

     4.   Administration. Full power and authority to construe, interpret and
administer the Plan shall be vested in the Committee. Decisions of the Committee
shall be final, conclusive and binding upon all parties.

     5.   Participation. All Non-employee Directors shall participate in the
Plan.

     6.   Grants and Deferrals.

          (a)  Annual Stock Grant. Subject to the terms and conditions of the
               ------------------
Plan, on the second Thursday following the regularly scheduled January Board
meeting each year, beginning with 2002, each Non-employee Director shall be
credited with a number of shares of Common Stock with an aggregate Fair Market
Value on such date equal to $24,000, rounded to the nearest 100 shares. To be
entitled to such credit in any calendar year, a Non-employee Director must be
serving as such on January 1 of such year; provided, however, that in the event
a person becomes a Non-employee Director subsequent to January 1 of a calendar
year, such Non-employee Director, on the Credit Date next following his or her
becoming such, shall be credited with that number of shares (rounded up to the
next whole share in the event of a fractional share) of Common Stock equal to
one-twelfth of the number of shares issued to each other Non-employee Director
on the second Thursday following the regularly scheduled January Board meeting
of such year, multiplied by the number of whole calendar months remaining in
such calendar year following the date he or she becomes a Non-employee Director.
Actual receipt of shares shall be deferred and each eligible Non-employee
Director shall receive a credit to his or her Olin Stock Account in the amount
of such shares and on the date of such credit. A Non-employee Director may elect
in accordance with Section 6(f) to defer to his or her Olin Stock Account
receipt of all or any portion of such shares to a date or dates on or following
such Non-employee Director's Retirement Date. Except with respect to any shares
the director has so elected to defer, certificates representing such shares
shall be delivered to the Non-employee Director (or in the event of death, to
his or her beneficiary designated pursuant to Section 6(i)) as soon as
practicable following the date as of which such shares are awarded.

          (b)  Annual Retainer Stock Grant. Subject to the terms and conditions
               ---------------------------
of the Plan, on the second Thursday following the regularly scheduled January
board meeting of each year, beginning with 2002, each Non-employee Director who
is such on January 1 of that year shall receive that number of shares (rounded
up to the next whole share) of Common Stock having an aggregate Fair Market
Value on the second Thursday following the regularly scheduled January board
meeting of $25,000. In the event a person becomes in a calendar year a Non-
employee Director subsequent to January 1 and has not received the annual stock
retainer for such calendar year, such person, on the Credit Date next following
his or her becoming such, shall receive that number of shares (rounded up to the
next whole share in the event of a fractional share) of Common Stock having an
aggregate Fair Market Value on such Credit Date equal to $2,084 times the number
of whole calendar months remaining in such calendar year following the date he
or she becomes a Non-employee Director. The annual cash retainer payable to the
Non-
<PAGE>

                                                                               5

employee Director shall be reduced by the aggregate Fair Market Value of the
shares the Non-employee Director receives or defers as the annual retainer stock
grant (excluding any rounding of fractional shares) on the date such Fair Market
Value is calculated. A Non-employee Director may elect to defer receipt of all
or any portion of such shares in accordance with Section 6(f). Except with
respect to any shares the director has so elected to defer, certificates
representing such shares shall be delivered to such Non-employee Director (or in
the event of death, to his or her beneficiary designated pursuant to Section
6(i)) as soon as practicable following the date as of which the shares are
awarded.

          (c)  One-time Stock Grant. Subject to the terms and conditions of the
               --------------------
Plan, each One-time Grant Participant shall be credited as of January 15, 1997,
with that number of shares (rounded up to the next whole share in the event of a
fractional share) of Common Stock equal to the present value of his or her
accrued benefit under the Retirement Plan, divided by the Fair Market Value per
share on January 15, 1997. Actual receipt of all shares credited under this
Section 6(c) shall be deferred and each One-time Grant Participant shall receive
a credit to his or her Olin Stock Account in the amount of such credit on
January 15, 1997. A One-time Grant Participant may elect in accordance with
Section 6(f) to defer receipt of all or any portion of such shares to a date or
dates following such One-time Grant Participant's Retirement Date. Except with
respect to any shares so deferred, certificates representing such shares shall
be delivered to the One-time Grant Participant (or in the event of death, to his
or her beneficiary designated pursuant to Section 6(i)) as soon as practicable
following his or her Retirement Date.

          (d)  Election to Receive Meeting Fees and Excess Retainer in Stock in
               ----------------------------------------------------------------
Lieu of Cash. Subject to the terms and conditions of the Plan, a Non-employee
------------
Director may elect to receive all or a portion of the director meeting fees and
all or a portion of the Excess Retainer payable in cash by the Company for his
or her service as a director for the calendar year in the form of shares of
Common Stock. Such election shall be made in accordance with Section 6(f). A
Non-employee Director who so elects to receive all or a portion of the Excess
Retainer in the form of shares for such year shall be paid on the second
Thursday following the regularly scheduled January board meeting (or in the case
of proration, when the annual stock retainer is to be paid or credited) a number
of shares (rounded up to the next whole share in the event of a fractional
share) equal to the amount of Excess Retainer which has been elected to be paid
in shares divided by the Fair Market Value per share on the second Thursday
following the regularly scheduled January board meeting of such calendar year
(or in the case of a Non-employee Director who becomes such after January 1, on
the Credit Date next following the day such new Non-employee Director became
such). The number of shares (rounded up to the next whole share in the event of
a fractional share) for a calendar quarter payable to a Non-employee Director
who so elects to receive meeting fees in the form of shares shall be equal to
the aggregate Fair Market Value on the Credit Date next following the meeting
for which such director meeting fees have been earned and which are elected to
be paid in shares. Except with respect to any shares the director has elected to
defer, certificates representing such shares shall be delivered to the Non-
employee Director as soon as practicable following the date as of which the
Excess Retainer and/or meeting fees would have been paid in cash absent an
election hereunder.
<PAGE>

                                                                               6

               (e)  Deferral of Meeting Fees and Excess Retainer. Subject to the
                    --------------------------------------------
terms and conditions of the Plan, a Non-employee Director may elect to defer all
or a portion of the shares payable under Section 6(d) and all or a portion of
the director meeting fees and Excess Retainer payable in cash by the Company for
his or her service as a director for the calendar year. The amount of the Excess
Retainer deferred in cash shall be credited on the second Thursday following the
regularly scheduled January Board meeting (or in the case of proration, on the
first day of the next calendar month following the day such new Non-employee
Director becomes such). Such election shall be made in accordance with Section
6(f). A Non-employee Director who elects to so defer shall have any deferred
shares deferred in the form of shares of Common Stock and any deferred cash fees
and retainer deferred in the form of cash.

               (f)  Elections.
                    ---------

               (1) Deferrals. All elections under Sections 6(a), 6(b), 6(c),
     6(d), 6(e), 6(f)(2) and 6(f)(3) shall (A) be made in writing and delivered
     to the Secretary of the Company and (B) be irrevocable. All Non-employee
     Director elections for payments in cash or stock or for deferrals shall be
     made before January 1 of the year in which the shares of Common Stock or
     director's fees and retainer are to be earned (or, in the case of an
     individual who becomes a Non-employee Director during a calendar year,
     prior to the date of his or her election as a director). All One-time Grant
     Participant elections shall be made before December 31 of the year prior to
     the year in which the shares of Common Stock are to be granted (or, in the
     case of an individual who becomes an Annual Grant Participant during a
     calendar year, before the last day of the calendar month of his or her
     becoming such). Deferral elections shall also (A) specify the portions (in
     25% increments) to be deferred and (B) specify the future date or dates on
     which deferred amounts are to be paid, or the future event or events upon
     the occurrence of which the deferred amounts are to be paid, and the method
     of payment (lump sum or annual installments (up to 10)). However, Non-
     employee Directors may elect to defer all of his or her cash dividends on
     the Stock Account in whole and not in part and all of his or her interest
     on the Cash Account in whole but not in part. Installment payments from an
     Account shall be equal to the Account balance (expressed in shares in the
     case of the Stock Account, otherwise the cash value of the Account) at the
     time of the installment payment times a fraction, the numerator of which is
     one and the denominator of which is the number of installments not yet
     paid. Fractional shares to be paid in any installment shall be rounded up
     to the next whole share. In the event of an election under Section 6(d) for
     director meeting fees or Excess Retainer to be paid in shares of Common
     Stock, the election shall specify the portion (in 25% increments) to be so
     paid. Any change with respect to the terms of a Non-employee Director's
     election for (A) amount or form of any future deferral or the form of
     payment of any director compensation hereunder may be made at any time
     prior to such compensation being earned (and in the case of quarterly fees,
     prior to the start of the quarter in which the fees are to be earned) and
     (B) the timing (which timing may not accelerate a distribution date) or
     amount of payments from any Account shall only be effective if made at
     least six months prior to the payout and in the calendar year prior to the
     calendar year payout is to occur.
<PAGE>

                                                                               7

               (2)  Olin Stock Account. On the Credit Date (or in the case of a
     proration, on the first day of the appropriate calendar month), a Non-
     employee Director who has elected to defer shares under Sections 6(b) or
     6(e) shall receive a credit to his or her Olin Stock Account. The amount of
     such credit shall be the number of shares so deferred (rounded to the next
     whole share in the event of a fractional share). A Non-employee Director
     may elect to defer the cash dividends paid on his or her Stock Account in
     accordance with Section 6(f)(4).

               (3)  Cash Account. On the Credit Date or in the case of the
     Excess Retainer, on the day on which the Non-employee Director is entitled
     to receive such Excess Retainer, a Non-employee Director who has elected to
     defer cash fees and/or the Excess Retainer under Section 6(e) in the form
     of cash shall receive a credit to his or her Cash Account. The amount of
     the credit shall be the dollar amount of such Director's meeting fees
     earned during the immediately preceding quarterly period or the amount of
     the Excess Retainer to be paid for the calendar year, as the case may be,
     and in each case, specified for deferral in cash. A Non-employee Director
     may elect to defer interest paid on his or her Cash Account in accordance
     with Section 6(f)(4).

               (4)  Dividends and Interest. Each time a cash dividend is paid on
     Common Stock or Arch Common Stock, a Non-employee Director who has shares
     of such stock credited to his or her Stock Account shall be paid on the
     dividend payment date such cash dividend in an amount equal to the product
     of the number of shares credited to the Non-employee Director's Olin Stock
     Account or Arch Stock Account, as the case may be, on the record date for
     such dividend times the dividend paid per applicable share unless the
     director has elected to defer such dividend to his or her applicable Stock
     Account as provided herein. If the Non-employee Director has elected to
     defer such dividend, he or she shall receive a credit for such dividends on
     the dividend payment date to his or her Olin Stock Account or Arch Stock
     Account, as the case may be. The amount of the dividend credit shall be the
     number of shares (rounded to the nearest one-thousandth of a share)
     determined by multiplying the dividend amount per share by the number of
     shares credited to such director's applicable Stock Account as of the
     record date for the dividend and dividing the product by the Fair Market
     Value per share of Common Stock or Arch Common Stock, as the case may be,
     on the dividend payment date. A Non-employee Director who has a Cash
     Account shall be paid directly on each Credit Date interest on such
     account's balance at the end of the preceding quarter, payable at a rate
     equal to the Interest Rate in effect for such preceding quarter unless such
     Non-employee Director has elected to defer such interest to his or her Cash
     Account, in which case such interest shall be credited to such Cash Account
     on the Credit Date.

               (5)  Payouts. Cash Accounts and the Arch Stock Account will be
     paid out in cash and Olin Stock Accounts shall be paid out in shares of
     Common Stock unless the Non-employee Director elects at the time the
     payment is due to take the Olin Stock Account in cash. Cash amounts and
     certificates representing shares credited to the Olin Stock Account shall
     be delivered to the Non-employee
<PAGE>

                                                                               8

     Director as soon as practicable following the termination of the deferral
     and consistent therewith.

               (g)  No Stock Rights. Except as expressly provided herein, the
                    ---------------
deferral of shares of Common Stock or Arch Common Stock into a Stock Account
shall confer no rights upon such Non-employee Director, as a shareholder of the
Company or of Arch or otherwise, with respect to the shares held in such Stock
Account, but shall confer only the right to receive such shares credited as and
when provided herein.

               (h)  Change in Control. Notwithstanding anything to the contrary
                    -----------------
in this Plan or any election, in the event a Change in Control occurs, amounts
and shares credited to Cash Accounts (including interest accrued to the date of
payout) and Stock Accounts shall be promptly distributed to Non-employee
Directors except the Olin Stock Account shall be paid out in cash and not in the
form of shares of Common Stock. For this purpose, the cash value of the amount
in the Stock Account shall be determined by multiplying the number of shares
held in the Olin Stock Account or Arch Stock Account by the higher of (i) the
highest Fair Market Value of Common Stock or Arch Common Stock, as appropriate,
on any date within the period commencing 30 days prior to such Change in Control
and ending on the date of the Change in Control, or (ii) if the Change in
Control occurs as a result of a tender or exchange offer or consummation of a
corporate transaction, then the highest price paid per share of Common Stock or
Arch Common Stock, as appropriate, pursuant thereto.

               (i)  Beneficiaries. A Non-employee Director may designate at any
                    -------------
time and from time to time a beneficiary for his or her Stock and Cash Accounts
in the event his or her Stock or Cash Account may be paid out following his or
her death. Such designation shall be in writing and must be received by the
Company prior to the death to be effective.

               (j)  Prior Plan Accounts. As of October 2, 1997, a Participant or
                    -------------------
any former Non-employee Director who had an existing account under any Prior
Plan shall automatically have such account transferred, in the case of an
account denominated in cash, to the Cash Account, and in the case of an account
denominated in Olin Common Stock, to the Olin Stock Account, to be maintained
and administered pursuant to the terms and conditions of this Plan; provided
that prior annual 100- or 204-share grant deferrals shall be treated as
deferrals of 204-share grants under this Plan, the $25,000 annual share grant
under the 1994 Plan shall be treated as deferrals under Paragraph 6(b) hereof
and deferrals of meeting fees under all Prior Plans and of the Excess Retainer
under the 1994 Plan shall be treated as deferrals under Paragraph 6(d) hereof.
Prior elections and beneficiary designations under the 1994 Plan and this Plan
shall govern this Plan unless changed subsequent to October 2, 1997.

               (k)  Adjustment for Distribution. Immediately prior to the
                    ---------------------------
Distribution, the terms of the phantom shares of Common Stock held in the Olin
Stock Account of each Non-Employee Director who will become an Arch Director
shall be amended to provide that such shares shall be paid out in cash based on
the Fair Market Value of such shares at the time of distribution to the Arch
Director. As of the Distribution Date, the Arch Stock Account of each Non-
Employee Director on such date shall be credited with the number of shares of
Arch Common Stock that the Non-Employee Director would have received in
<PAGE>

                                                                               9

the Distribution Date had the Non-Employee Director owned directly the number of
shares of Common Stock held in his or her Olin Stock Account. As of the
Distribution Date, the Cash Account and Stock Account of each Arch Director
(after giving effect to the adjustment described in this Section 6(k)) shall be
transferred to the Arch Directors' Plan provided that the Arch Director provides
the Company with a release, acceptable to the Committee, waiving all rights to
benefits under this Plan.

          With respect to a Non-Employee Director who does not become an Arch
Director, shares credited to his or her Arch Stock Account shall be treated as
follows: (i) to the extent such shares represent a dividend on shares of Common
Stock credited pursuant to paragraph 6(a) of the Plan (or shares arising from
dividend equivalents thereon), such shares shall be deemed credited pursuant to
paragraph 6(a) of the Plan, (ii) to the extent such shares represent a dividend
on shares of Common Stock credited pursuant to paragraph 6(b) of the Plan (or
shares arising from dividend equivalents thereon), such shares shall be deemed
credited pursuant to paragraph 6(b) of the Plan, and (iii) to the extent such
shares represent a dividend on shares of Common Stock credited under paragraph
6(c) of the Plan (or shares arising from dividend equivalents thereon), such
shares shall be deemed credited pursuant to paragraph 6(c) of the Plan.

          (l)  Stock Account Transfers.  A Non-Employee Director may elect from
               -----------------------
time to time to transfer all or a portion (in 25% increments) of his or her Arch
Stock Account to his or her Olin Stock Account. The amount of phantom shares of
Common Stock to be credited to a Non-Employee Director's Olin Stock Account
shall be equal to the number of shares of Common Stock that could be purchased
if the number of phantom shares of Arch Common Stock in his or her Arch Stock
Account being transferred were sold and the proceeds reinvested in Common Stock
based on the Fair Market Value of each. Except as provided in Section 6(f)(4)
with respect to dividends or in Section 8, no additional contributions or
additions may be made to a Non-Employee Director's Arch Stock Account after the
Distribution Date.

     7.   Limitations and Conditions.

          (a)  Total Number of Shares. The total number of shares of Common
               ----------------------
Stock that may be issued to Non-employee Directors under the Plan is 150,000.
Such total number of shares may consist, in whole or in part, of authorized but
unissued shares. The foregoing number may be increased or decreased by the
events set forth in Section 8 below. No fractional shares shall be issued
hereunder. In the event a Non-employee Director is entitled to a fractional
share, such share amount shall be rounded upward to the next whole share amount.

          (b)  No Additional Rights. Nothing contained herein shall be deemed
               --------------------
to create a right in any Non-employee Director to remain a member of the Board,
to be nominated for reelection or to be reelected as such or, after ceasing to
be such a member, to receive any cash or shares of Common Stock under the Plan
which are not already credited to his or her accounts.

     8.   Stock Adjustments. In the event of any merger, consolidation, stock or
other non-cash dividend, extraordinary cash dividend, split-up, spin-off,
combination or
<PAGE>

                                                                              10

exchange of shares or recapitalization or change in capitalization, or any other
similar corporate event, the Committee may make such adjustments in (i) the
aggregate number of shares of Common Stock that may be issued under the Plan as
set forth in Section 7(a) and the number of shares that may be issued to a Non-
employee Director with respect to any year as set forth in Section 6(a) and the
number of shares of Olin Common Stock or Arch Common Stock, as the case may be,
held in a Stock Account, (ii) the class of shares that may be issued under the
Plan and (iii) the amount and type of payment that may be made in respect of
unpaid dividends on shares of Arch Common Stock or Common Stock whose receipt
has been deferred pursuant to Section 6(f), as the Committee shall deem
appropriate in the circumstances. The determination by the Committee as to the
terms of any of the foregoing adjustments shall be final, conclusive and binding
for all purposes of the Plan.

     9.   Amendment and Termination. This Plan may be amended, suspended or
terminated by action of the Board. No termination of the Plan shall adversely
affect the rights of any Non-employee Director with respect to any amounts
otherwise payable or credited to his or her Cash Account or Stock Account.

     10.  Nonassignability. No right to receive any payments under the Plan or
any amounts credited to a Non-employee Director's Cash or Stock Account shall be
assignable or transferable by such Non-employee Director other than by will or
the laws of descent and distribution or pursuant to a domestic relations order.
The designation of a beneficiary under Section 6(i) by a Non-employee Director
does not constitute a transfer.

     11.  Unsecured Obligation. Benefits payable under this Plan shall be an
unsecured obligation of the Company.

     12.  Rule 16b-3 Compliance. It is the intention of the Company that all
transactions under the Plan be exempt from liability imposed by Section 16(b) of
the 1934 Act. Therefore, if any transaction under the Plan is found not to be in
compliance with an exemption from such Section 16(b), the provision of the Plan
governing such transaction shall be deemed amended so that the transaction does
so comply and is so exempt, to the extent permitted by law and deemed advisable
by the Committee, and in all events the Plan shall be construed in favor of its
meeting the requirements of an exemption.
<PAGE>

                                                                              11

                                                                       Exhibit 1

                  Accrued Benefits Under the Retirement Plan
                  -------------------------------------------
                for Non-Employee Directors of Olin Corporation
                ----------------------------------------------

<TABLE>
<CAPTION>
======================================================================================
                                                Present Value of Accrued Benefit as of
Non-employee Director                                    December 31, 1996

--------------------------------------------------------------------------------------
<S>                                             <C>
Richard E. Cavanagh                                          $ 74,000
--------------------------------------------------------------------------------------
William W. Higgins                                           $144,000
--------------------------------------------------------------------------------------
Suzanne Denbo Jaffe                                          $ 90,000
--------------------------------------------------------------------------------------
Jack D. Kuehler                                              $181,000
--------------------------------------------------------------------------------------
H. William Lichtenberger                                     $144,000
--------------------------------------------------------------------------------------
G. Jackson Ratcliffe                                         $138,000
--------------------------------------------------------------------------------------
William L. Read                                              $253,000
--------------------------------------------------------------------------------------
John P. Schaefer                                             $155,000
======================================================================================
</TABLE>