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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D. C. 20549





FORM 10-Q







|x | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|- | ---------------------------------------------------------------------------------------

For the quarterly period ended March 31, 2010

OR



| ̈ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|- | ----------------------------------------------------------------------------------------

For the transition period from _______________ to ________________

Commission File Number 1-32190





NEWMARKET
CORPORATION

(Exact name of registrant as specified in its charter)







|                                                               |  |                                     
|-------------------------------------------------------------- |  | ------------------------------------
|VIRGINIA                                                       |  | 20-0812170                          
|(State or other jurisdiction of
incorporation or organization) |  | (I.R.S. Employer
Identification No.)
|                                                               | 
|330 SOUTH FOURTH STREET
RICHMOND, VIRGINIA                     |  | 23218-2189                          
|(Address of principal executive offices)                       |  | (Zip Code)                          

Registrants telephone number, including area code - (804) 788-5000





Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports); and (2) has been subject to such filing requirements for the past 90
days.    Yes  x    No   ̈

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Website, if any, every Interactive Data File
required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such
files).    Yes   ̈    No   ̈

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller
reporting company. See the definitions of large accelerated filer, accelerated filer, and smaller reporting company in Rule 12b-2 of the Exchange Act.



|                        |  |   |  |                           |  |  
|----------------------- |  | - |  | ------------------------- |  | -
|Large accelerated filer |  | x |  | Accelerated filer         |  |  ̈
|                        |  |   | 
|Non-accelerated filer   |  |  ̈ |  | Smaller reporting company |  |  ̈

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange
Act).    Yes   ̈    No  x

Number of shares of common stock, without par value, outstanding as of March 31, 2010: 15,042,440.









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NEWMARKET CORPORATION

INDEX



|                                                                                              |  |           
|--------------------------------------------------------------------------------------------- |  | ----------
|                                                                                              |  | PageNumber
|                                                                                             
|PART I. FINANCIAL INFORMATION                                                                
|                                                                                              | 
|ITEM 1. Financial Statements (unaudited)                                                      |  |           
|                                                                                              | 
|Consolidated Statements of Income  Three Months EndedMarch 31, 2010 and March 31,
2009       |  | 3         
|                                                                                              | 
|Consolidated Balance Sheets  March 31, 2010 andDecember 31, 2009                             |  | 4         
|                                                                                              | 
|Consolidated Statements of Shareholders Equity  March 31, 2010 andDecember 
31, 2009        |  | 5         
|                                                                                              | 
|Consolidated Statements of Cash Flows  Three Months EndedMarch 31, 2010 and March 
31, 2009  |  | 6         
|                                                                                              | 
|Notes to Consolidated Financial Statements                                                    |  | 7 - 30    
|                                                                                              | 
|ITEM 2. Managements Discussion and Analysis of Financial Condition and Results of Operations |  | 31 - 39   
|                                                                                              | 
|ITEM 3. Quantitative and Qualitative Disclosures About Market Risk                            |  | 39        
|                                                                                              | 
|ITEM 4. Controls and Procedures                                                               |  | 39 - 40   
|                                                                                             
|PART II. OTHER INFORMATION                                                                   
|                                                                                              | 
|ITEM 1. Legal Proceedings                                                                     |  | 41        
|                                                                                              | 
|ITEM 2. Unregistered Sales of Equity Securities and Use of Proceeds                           |  | 41        
|                                                                                              | 
|ITEM 6. Exhibits                                                                              |  | 42 - 43   
|                                                                                              | 
|SIGNATURES                                                                                    |  | 44        



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PART I. FINANCIAL INFORMATION



|ITEM 1. | Financial Statements
|------- | --------------------

NEWMARKET CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME

(In thousands, except per-share amounts)

(Unaudited)



|                                                  |  |                            |         |   |      |   |         |  
|------------------------------------------------- |  | -------------------------- | ------- | - | ---- | - | ------- | -
|                                                  |  | Three Months EndedMarch 31 |        
|                                                  |  | 2010                       |         |   | 2009 |  
|Revenue:                                          |  |                            |         |   |      |   |         |  
|Net sales - product                               |  | $                          | 392,265 |   |      | $ | 337,128 |  
|Rental revenue                                    |  |                            | 2,861   |   |      |   | 0       |  
|                                                  |  |                            |         |   |      |   |         |  
|                                                  |  |                            | 395,126 |   |      |   | 337,128 |  
|                                                  |  |                            |         |   |      |   |         |  
|Costs:                                            |  |                            |         |   |      |   |         |  
|Cost of goods sold - product                      |  |                            | 273,628 |   |      |   | 246,054 |  
|Cost of rental                                    |  |                            | 1,090   |   |      |   | 0       |  
|                                                  |  |                            |         |   |      |   |         |  
|                                                  |  |                            | 274,718 |   |      |   | 246,054 |  
|                                                  |  |                            |         |   |      |   |         |  
|Gross profit                                      |  |                            | 120,408 |   |      |   | 91,074  |  
|Selling, general, and administrative expenses     |  |                            | 30,574  |   |      |   | 26,267  |  
|Research, development, and testing expenses       |  |                            | 21,083  |   |      |   | 18,754  |  
|                                                  |  |                            |         |   |      |   |         |  
|Operating profit                                  |  |                            | 68,751  |   |      |   | 46,053  |  
|Interest and financing expenses                   |  |                            | 3,949   |   |      |   | 2,936   |  
|Other expense, net                                |  |                            | (2,311  | ) |      |   | (80     | )
|                                                  |  |                            |         |   |      |   |         |  
|Income before income tax expense                  |  |                            | 62,491  |   |      |   | 43,037  |  
|Income tax expense                                |  |                            | 20,353  |   |      |   | 14,349  |  
|                                                  |  |                            |         |   |      |   |         |  
|Net income                                        |  | $                          | 42,138  |   |      | $ | 28,688  |  
|                                                  |  |                            |         |   |      |   |         |  
|Basic earnings per share                          |  | $                          | 2.79    |   |      | $ | 1.89    |  
|                                                  |  |                            |         |   |      |   |         |  
|Diluted earnings per share                        |  | $                          | 2.78    |   |      | $ | 1.88    |  
|                                                  |  |                            |         |   |      |   |         |  
|Shares used to compute basic earnings per share   |  |                            | 15,118  |   |      |   | 15,203  |  
|                                                  |  |                            |         |   |      |   |         |  
|Shares used to compute diluted earnings per share |  |                            | 15,154  |   |      |   | 15,241  |  
|                                                  |  |                            |         |   |      |   |         |  
|Cash dividends declared per common share          |  | $                          | 0.375   |   |      | $ | 0.20    |  
|                                                  |  |                            |         |   |      |   |         |  

See accompanying notes to the consolidated financial statements.



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NEWMARKET CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(In thousands, except share amounts)

(Unaudited)



|                                                                                                              |  |              |           |   |                 |   |           |  
|------------------------------------------------------------------------------------------------------------- |  | ------------ | --------- | - | --------------- | - | --------- | -
|                                                                                                              |  | March 312010 |           |   | December 312009 |  
|ASSETS                                                                                                        |  |              |           |   |                 |   |           |  
|Current assets:                                                                                               |  |              |           |   |                 |   |           |  
|Cash and cash equivalents                                                                                     |  | $            | 87,971    |   |                 | $ | 151,831   |  
|Short-term investments                                                                                        |  |              | 300       |   |                 |   | 300       |  
|Trade and other accounts receivable, less allowance for doubtful accounts ($1,156 in 2010 and $1,195 in 2009) |  |              | 214,026   |   |                 |   | 214,887   |  
|Inventories:                                                                                                  |  |              |           |   |                 |   |           |  
|Finished goods                                                                                                |  |              | 162,746   |   |                 |   | 158,457   |  
|Raw materials                                                                                                 |  |              | 33,051    |   |                 |   | 27,269    |  
|Stores, supplies and other                                                                                    |  |              | 6,990     |   |                 |   | 7,177     |  
|                                                                                                              |  |              |           |   |                 |   |           |  
|                                                                                                              |  |              | 202,787   |   |                 |   | 192,903   |  
|                                                                                                              |  |              |           |   |                 |   |           |  
|Deferred income taxes                                                                                         |  |              | 4,064     |   |                 |   | 4,118     |  
|Prepaid expenses and other current assets                                                                     |  |              | 35,660    |   |                 |   | 39,100    |  
|                                                                                                              |  |              |           |   |                 |   |           |  
|Total current assets                                                                                          |  |              | 544,808   |   |                 |   | 603,139   |  
|                                                                                                              |  |              |           |   |                 |   |           |  
|Property, plant and equipment, at cost                                                                        |  |              | 932,595   |   |                 |   | 934,382   |  
|Less accumulated depreciation and amortization                                                                |  |              | 633,537   |   |                 |   | 631,967   |  
|                                                                                                              |  |              |           |   |                 |   |           |  
|Net property, plant and equipment                                                                             |  |              | 299,058   |   |                 |   | 302,415   |  
|                                                                                                              |  |              |           |   |                 |   |           |  
|Prepaid pension cost                                                                                          |  |              | 3,228     |   |                 |   | 2,430     |  
|Deferred income taxes                                                                                         |  |              | 36,756    |   |                 |   | 34,670    |  
|Other assets and deferred charges                                                                             |  |              | 88,096    |   |                 |   | 37,475    |  
|Intangibles, net of amortization and goodwill                                                                 |  |              | 42,885    |   |                 |   | 45,063    |  
|                                                                                                              |  |              |           |   |                 |   |           |  
|Total assets                                                                                                  |  | $            | 1,014,831 |   |                 | $ | 1,025,192 |  
|                                                                                                              |  |              |           |   |                 |   |           |  
|LIABILITIES AND SHAREHOLDERS EQUITY                                                                          |  |              |           |   |                 |   |           |  
|Current liabilities:                                                                                          |  |              |           |   |                 |   |           |  
|Accounts payable                                                                                              |  | $            | 87,025    |   |                 | $ | 88,186    |  
|Accrued expenses                                                                                              |  |              | 56,571    |   |                 |   | 63,775    |  
|Dividends payable                                                                                             |  |              | 4,936     |   |                 |   | 4,992     |  
|Book overdraft                                                                                                |  |              | 2,994     |   |                 |   | 2,230     |  
|Long-term debt, current portion                                                                               |  |              | 3,357     |   |                 |   | 33,881    |  
|Income taxes payable                                                                                          |  |              | 16,163    |   |                 |   | 4,988     |  
|                                                                                                              |  |              |           |   |                 |   |           |  
|Total current liabilities                                                                                     |  |              | 171,046   |   |                 |   | 198,052   |  
|                                                                                                              |  |              |           |   |                 |   |           |  
|Long-term debt                                                                                                |  |              | 215,611   |   |                 |   | 216,200   |  
|Other noncurrent liabilities                                                                                  |  |              | 154,457   |   |                 |   | 152,755   |  
|Commitments and contingencies (Note 9)                                                                        |  |              |           |   |                 |   |           |  
|Shareholders equity:                                                                                         |  |              |           |   |                 |   |           |  
|Common stock and paid-in capital (without par value); authorized shares - 80,000,000;                         |  |              |           |   |                 |   |           |  
|Outstanding shares - 15,042,440 in 2010 and 15,209,989 in 2009                                                |  |              | 0         |   |                 |   | 275       |  
|Accumulated other comprehensive loss                                                                          |  |              | (81,477   | ) |                 |   | (74,784   | )
|Retained earnings                                                                                             |  |              | 555,194   |   |                 |   | 532,694   |  
|                                                                                                              |  |              |           |   |                 |   |           |  
|                                                                                                              |  |              | 473,717   |   |                 |   | 458,185   |  
|                                                                                                              |  |              |           |   |                 |   |           |  
|Total liabilities and shareholders' equity                                                                    |  | $            | 1,014,831 |   |                 | $ | 1,025,192 |  
|                                                                                                              |  |              |           |   |                 |   |           |  

See accompanying notes to the consolidated financial statements.



4



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NewMarket Corporation and Subsidiaries

Consolidated Statements of Shareholders Equity

(in thousands, except share amounts)

(unaudited)



|                                                            |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   |         |  
|----------------------------------------------------------- |  | ------------------------------- | - |  | ------------------------------------------ | ---- | - | ---------------- | - | ------- | ------------------------ |  | - | ------- | - |  | - | ------- | -
|                                                            |  | Common Stock andPaid in Capital |   |  | AccumulatedOtherComprehensive(Loss) Income |      |   | RetainedEarnings |   |         | TotalShareholdersEquity | 
|                                                            |  | Shares                          |   |  | Amount                                     |      |   |                  |  
|Balance at December 31, 2008                                |  | 15,199,207                      |   |  | $                                          | 115  |   |                  | $ | (95,750 | )                        |  | $ | 386,758 |   |  | $ | 291,123 |  
|Comprehensive income:                                       |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   |         |  
|Net income                                                  |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   | 162,283 |   |  |   | 162,283 |  
|Changes in (net of tax):                                    |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   |         |  
|Foreign currency translation adjustments                    |  |                                 |   |  |                                            |      |   |                  |   | 17,816  |                          |  |   |         |   |  |   | 17,816  |  
|Pension plans and other postretirement benefit adjustments: |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   |         |  
|Prior service cost                                          |  |                                 |   |  |                                            |      |   |                  |   | 200     |                          |  |   |         |   |  |   | 200     |  
|Unrecognized gain                                           |  |                                 |   |  |                                            |      |   |                  |   | 3,304   |                          |  |   |         |   |  |   | 3,304   |  
|Transition obligation                                       |  |                                 |   |  |                                            |      |   |                  |   | 9       |                          |  |   |         |   |  |   | 9       |  
|Derivative net loss                                         |  |                                 |   |  |                                            |      |   |                  |   | (363    | )                        |  |   |         |   |  |   | (363    | )
|                                                            |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   |         |  
|Total comprehensive income                                  |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   | 183,249 |  
|                                                            |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   |         |  
|Cash dividends ($1.075 per share)                           |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   | (16,347 | ) |  |   | (16,347 | )
|Stock options exercised                                     |  | 9,000                           |   |  |                                            | 40   |   |                  |   |         |                          |  |   |         |   |  |   | 40      |  
|Issuance of stock                                           |  | 1,782                           |   |  |                                            | 120  |   |                  |   |         |                          |  |   |         |   |  |   | 120     |  
|                                                            |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   |         |  
|Balance at December 31, 2009                                |  | 15,209,989                      |   |  | $                                          | 275  |   |                  | $ | (74,784 | )                        |  | $ | 532,694 |   |  | $ | 458,185 |  
|Comprehensive income:                                       |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   |         |  
|Net income                                                  |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   | 42,138  |   |  |   | 42,138  |  
|Changes in (net of tax):                                    |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   |         |  
|Foreign currency translation adjustments                    |  |                                 |   |  |                                            |      |   |                  |   | (7,080  | )                        |  |   |         |   |  |   | (7,080  | )
|Pension plans and other postretirement benefit adjustments: |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   |         |  
|Prior service cost                                          |  |                                 |   |  |                                            |      |   |                  |   | 37      |                          |  |   |         |   |  |   | 37      |  
|Unrecognized gain                                           |  |                                 |   |  |                                            |      |   |                  |   | 719     |                          |  |   |         |   |  |   | 719     |  
|Transition obligation                                       |  |                                 |   |  |                                            |      |   |                  |   | 2       |                          |  |   |         |   |  |   | 2       |  
|Derivative net loss                                         |  |                                 |   |  |                                            |      |   |                  |   | (371    | )                        |  |   |         |   |  |   | (371    | )
|                                                            |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   |         |  
|Total comprehensive income                                  |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   | 35,445  |  
|                                                            |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   |         |  
|Cash dividends ($0.375 per share)                           |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   | (5,641  | ) |  |   | (5,641  | )
|Stock options exercised                                     |  | 1,000                           |   |  |                                            | 4    |   |                  |   |         |                          |  |   |         |   |  |   | 4       |  
|Common stock repurchase                                     |  | (168,549                        | ) |  |                                            | (279 | ) |                  |   |         |                          |  |   | (13,997 | ) |  |   | (14,276 | )
|                                                            |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   |         |  
|Balance at March 31, 2010                                   |  | 15,042,440                      |   |  | $                                          | 0    |   |                  | $ | (81,477 | )                        |  | $ | 555,194 |   |  | $ | 473,717 |  
|                                                            |  |                                 |   |  |                                            |      |   |                  |   |         |                          |  |   |         |   |  |   |         |  

See accompanying Notes to Consolidated Financial Statements.



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NEWMARKET CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)

(Unaudited)



|                                                                             |  |                            |         |   |      |   |         |  
|---------------------------------------------------------------------------- |  | -------------------------- | ------- | - | ---- | - | ------- | -
|                                                                             |  | Three Months EndedMarch 31 |        
|                                                                             |  | 2010                       |         |   | 2009 |  
|Cash and cash equivalents at beginning of year                               |  | $                          | 151,831 |   |      | $ | 21,761  |  
|                                                                             |  |                            |         |   |      |   |         |  
|Cash flows from operating activities:                                        |  |                            |         |   |      |   |         |  
|Net income                                                                   |  |                            | 42,138  |   |      |   | 28,688  |  
|Adjustments to reconcile net income to cash flows from operating activities: |  |                            |         |   |      |   |         |  
|Depreciation and other amortization                                          |  |                            | 8,779   |   |      |   | 7,763   |  
|Amortization of deferred financing costs                                     |  |                            | 358     |   |      |   | 280     |  
|Noncash environmental remediation and dismantling                            |  |                            | 128     |   |      |   | 1,953   |  
|Noncash pension benefits expense                                             |  |                            | 3,379   |   |      |   | 3,462   |  
|Noncash postretirement benefits expense                                      |  |                            | 768     |   |      |   | 705     |  
|Noncash foreign exchange loss                                                |  |                            | 2,952   |   |      |   | 174     |  
|Deferred income tax benefit                                                  |  |                            | (640    | ) |      |   | (35     | )
|Loss (gain) on derivative instruments - net                                  |  |                            | 1,376   |   |      |   | (585    | )
|Working capital changes                                                      |  |                            | (10,903 | ) |      |   | 61,653  |  
|Cash pension benefits contributions                                          |  |                            | (2,283  | ) |      |   | (4,261  | )
|Cash postretirement benefits contributions                                   |  |                            | (431    | ) |      |   | (384    | )
|Other, net                                                                   |  |                            | (2,825  | ) |      |   | (2,744  | )
|                                                                             |  |                            |         |   |      |   |         |  
|Cash provided from operating activities                                      |  |                            | 42,796  |   |      |   | 96,669  |  
|                                                                             |  |                            |         |   |      |   |         |  
|Cash flows from investing activities:                                        |  |                            |         |   |      |   |         |  
|Capital expenditures                                                         |  |                            | (4,631  | ) |      |   | (8,194  | )
|Foundry Park I capital expenditures                                          |  |                            | (2,046  | ) |      |   | (7,111  | )
|Acquisition of business                                                      |  |                            | (43,748 | ) |      |   | 0       |  
|Deposits for interest rate lock agreement                                    |  |                            | 0       |   |      |   | (4,000  | )
|Return of deposits for interest rate swap                                    |  |                            | 4,210   |   |      |   | 0       |  
|Deposits for interest rate swap                                              |  |                            | (6,840  | ) |      |   | 0       |  
|                                                                             |  |                            |         |   |      |   |         |  
|Cash used in investing activities                                            |  |                            | (53,055 | ) |      |   | (19,305 | )
|                                                                             |  |                            |         |   |      |   |         |  
|Cash flows from financing activities:                                        |  |                            |         |   |      |   |         |  
|Repayment of Foundry Park I construction loan                                |  |                            | (99,102 | ) |      |   | 0       |  
|Borrowing under Foundry Park I mortgage loan                                 |  |                            | 68,400  |   |      |   | 0       |  
|Repayment of Foundry Park I mortgage loan                                    |  |                            | (207    | ) |      |   | 0       |  
|Draws on Foundry Park I construction loan                                    |  |                            | 0       |   |      |   | 6,545   |  
|Repayments under revolving credit agreement                                  |  |                            | 0       |   |      |   | (41,900 | )
|Repurchases of common stock                                                  |  |                            | (14,276 | ) |      |   | 0       |  
|Dividends                                                                    |  |                            | (5,641  | ) |      |   | (3,041  | )
|Change in book overdraft, net                                                |  |                            | 764     |   |      |   | 1,527   |  
|Payment for financed intangible asset                                        |  |                            | (250    | ) |      |   | (250    | )
|Debt issuance costs - Foundry Park I                                         |  |                            | (1,524  | ) |      |   | 0       |  
|Debt issuance costs                                                          |  |                            | 0       |   |      |   | (303    | )
|Proceeds from exercise of stock options                                      |  |                            | 4       |   |      |   | 22      |  
|Payments on capital leases                                                   |  |                            | (204    | ) |      |   | (191    | )
|                                                                             |  |                            |         |   |      |   |         |  
|Cash used in financing activities                                            |  |                            | (52,036 | ) |      |   | (37,591 | )
|                                                                             |  |                            |         |   |      |   |         |  
|Effect of foreign exchange on cash and cash equivalents                      |  |                            | (1,565  | ) |      |   | (2,024  | )
|                                                                             |  |                            |         |   |      |   |         |  
|(Decrease) increase in cash and cash equivalents                             |  |                            | (63,860 | ) |      |   | 37,749  |  
|                                                                             |  |                            |         |   |      |   |         |  
|Cash and cash equivalents at end of period                                   |  | $                          | 87,971  |   |      | $ | 59,510  |  
|                                                                             |  |                            |         |   |      |   |         |  

See accompanying notes to the consolidated financial statements.



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NEWMARKET CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)



|1. | Financial Statement Presentation
|-- | --------------------------------

In the opinion of management, the accompanying consolidated financial statements of NewMarket Corporation and its subsidiaries contain all
necessary adjustments for the fair presentation of, in all material respects, our consolidated financial position and shareholders equity as of March 31, 2010 and December 31, 2009, as well as our consolidated results of operations
and cash flows for the three months ended March 31, 2010 and March 31, 2009. All adjustments are of a normal, recurring nature, unless otherwise disclosed. These financial statements should be read in conjunction with the consolidated
financial statements and related notes included in the NewMarket Corporation Annual Report on Form 10-K for the fiscal year ended December 31, 2009 (2009 Annual Report), as filed with the Securities and Exchange Commission (SEC). The results of
operations for the three month period ended March 31, 2010 are not necessarily indicative of the results to be expected for the full year ending December 31, 2010. The December 31, 2009 consolidated balance sheet data was derived from
audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America.

Unless the context otherwise requires, all references to we, us, our, the Company and
NewMarket are to NewMarket Corporation and its consolidated subsidiaries.

Certain amounts in the accompanying
financial statements have been reclassified to conform to the current presentation. There was no effect on net income.

At both
March 31, 2010 and December 31, 2009, we had a book overdraft for some of our disbursement cash accounts. A book overdraft represents transactions that have not cleared the bank accounts at the end of the reporting period. There are no
agreements with the same banks to offset the presented balance. We transfer cash on an as-needed basis to fund these items as they clear the bank in subsequent periods.

Cash dividends totaling 37.5 cents per share for the three months ended March 31, 2010 and 20 cents per share for the three months
ended March 31, 2009 were declared and paid as shown in the table below.



|     |  |                   |  |               |  |                
|---- |  | ----------------- |  | ------------- |  | ---------------
|Year |  | Date Declared     |  | Date Paid     |  | Per ShareAmount
|     |  |                   | 
|2010 |  | February 18, 2010 |  | April 1, 2010 |  | 37.5 cents     
|     |  |                   | 
|2009 |  | February 19, 2009 |  | April 1, 2009 |  | 20 cents       



|2. | Acquisition of Business
|-- | -----------------------

On March 5, 2010, Afton Chemical Corporation (Afton) completed the acquisition of the Polartech group of companies (Polartech).
Polartech is a global company specializing in the supply of metalworking additives. The acquisition agreement included all physical assets of the Polartech business including headquarters, research and development, and manufacturing facilities in
the United Kingdom, as well as manufacturing sites in India, China, and the United States.



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We paid approximately $43.7 million for the Polartech business and are in the process of
performing a valuation of the assets acquired to determine the final purchase price allocation. We expect the purchase price will be allocated primarily to property, plant, and equipment, as well as definite-lived intangibles, with a small amount
allocated to working capital. We expect to complete the purchase price allocation during the second quarter 2010. Currently, assets of $45.6 million are recorded in Other assets and deferred charges and liabilities of $1.8 million are
recorded in Accrued expenses on the Consolidated Balance Sheets.



|3. | Asset Retirement Obligations
|-- | ----------------------------

Our asset retirement obligations are related primarily to tetraethyl lead (TEL) operations. The following table illustrates the activity
associated with our asset retirement obligations for the three months ended March 31, 2010 and March 31, 2009.



|                                          |  |                |       |      |   |       |  
|----------------------------------------- |  | -------------- | ----- | ---- | - | ----- | -
|                                          |  | 2010           |       | 2009 |  
|                                          |  | (in thousands) |      
|Asset retirement obligations, January 1   |  | $              | 3,031 |      | $ | 3,009 |  
|Accretion expense                         |  |                | 39    |      |   | 58    |  
|Liabilities settled                       |  |                | 0     |      |   | (851  | )
|Changes in expected cash flows and timing |  |                | 0     |      |   | 272   |  
|                                          |  |                |       |      |   |       |  
|Asset retirement obligations, March 31    |  | $              | 3,070 |      | $ | 2,488 |  
|                                          |  |                |       |      |   |       |  



|4. | Segment Information
|-- | -------------------

The
tables below show our consolidated revenue, operating profit (including a reconciliation of segment operating profit to income before income taxes), and depreciation and amortization.

The All other category includes the operations of the TEL business (primarily sales of TEL in North America), as well as
certain contract manufacturing Ethyl Corporation (Ethyl) provides to Afton and to third parties.



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Consolidated Revenue by Segment

(in millions)



|                        |  |                            |       |      |   |      
|----------------------- |  | -------------------------- | ----- | ---- | - | -----
|                        |  | Three Months EndedMarch 31
|                        |  | 2010                       |       | 2009
|Petroleum additives     |  | $                          | 389.3 |      | $ | 334.8
|Real estate development |  |                            | 2.9   |      |   | 0.0  
|All other               |  |                            | 2.9   |      |   | 2.3  
|                        |  |                            |       |      |   |      
|Consolidated revenue    |  | $                          | 395.1 |      | $ | 337.1
|                        |  |                            |       |      |   |      

Segment Operating Profit

(in millions)



|                                                |  |                            |      |   |      |   |      |  
|----------------------------------------------- |  | -------------------------- | ---- | - | ---- | - | ---- | -
|                                                |  | Three Months EndedMarch 31 |     
|                                                |  | 2010                       |      |   | 2009 |  
|Petroleum additives                             |  | $                          | 70.4 |   |      | $ | 50.1 |  
|Real estate development                         |  |                            | 1.8  |   |      |   | (0.2 | )
|All other                                       |  |                            | 0.9  |   |      |   | (0.5 | )
|                                                |  |                            |      |   |      |   |      |  
|Segment operating profit                        |  |                            | 73.1 |   |      |   | 49.4 |  
|Corporate, general, and administrative expenses |  |                            | (4.2 | ) |      |   | (3.5 | )
|Interest and financing expenses                 |  |                            | (3.9 | ) |      |   | (2.9 | )
|Loss on interest rate swap agreement (a)        |  |                            | (2.4 | ) |      |   | 0.0  |  
|Other expense, net                              |  |                            | (0.1 | ) |      |   | 0.0  |  
|                                                |  |                            |      |   |      |   |      |  
|Income before income taxes                      |  | $                          | 62.5 |   |      | $ | 43.0 |  
|                                                |  |                            |      |   |      |   |      |  



|(a) | The loss on the interest rate swap agreement represents the change, since the beginning of the reporting period, in the fair value of an interest rate swap which we
entered into on June 25, 2009. We are not using hedge accounting to record the interest rate swap, and accordingly, any change in the fair value is immediately recognized in earnings.
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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Segment Depreciation and Amortization

(in millions)



|                                    |  |                            |     |      |   |    
|----------------------------------- |  | -------------------------- | --- | ---- | - | ---
|                                    |  | Three Months EndedMarch 31
|                                    |  | 2010                       |     | 2009
|Petroleum additives                 |  | $                          | 7.5 |      | $ | 7.4
|Real estate development             |  |                            | 0.9 |      |   | 0.0
|Corporate                           |  |                            | 0.7 |      |   | 0.6
|                                    |  |                            |     |      |   |    
|Total depreciation and amortization |  | $                          | 9.1 |      | $ | 8.0
|                                    |  |                            |     |      |   |    



|5. | Pension and Postretirement Benefit Plans
|-- | ----------------------------------------

During the three months ended March 31, 2010, we made cash contributions of approximately $600 thousand for domestic pension plans
and approximately $400 thousand for domestic postretirement benefit plans. We expect to make total cash contributions in 2010 of approximately $11.5 million for our domestic pension plans and approximately $1.6 million for our domestic
postretirement benefit plans.

We made cash contributions of approximately $1.7 million for our foreign pension plans and
approximately $40 thousand for a foreign postretirement benefit plan during the three months ended March 31, 2010. During 2010, we expect to make total cash contributions of approximately $7 million for our foreign pension plans and
approximately $150 thousand for our foreign postretirement benefit plan.

The tables below present information on periodic
benefit cost for our pension and postretirement benefit plans.



|                                   |  |                             |        |   |                         |   |        |      |  |   |      |   |  |   |      |  
|---------------------------------- |  | --------------------------- | ------ | - | ----------------------- | - | ------ | ---- |  | - | ---- | - |  | - | ---- | -
|                                   |  | Domestic                    |       
|                                   |  | Pension Benefits            |        |   | Postretirement Benefits |  
|                                   |  | Three Months Ended March 31 |       
|                                   |  | 2010                        |        |   | 2009                    |   |        | 2010 |  |   | 2009 |  
|                                   |  | (in thousands)              |       
|Service cost                       |  | $                           | 1,645  |   |                         | $ | 1,398  |      |  | $ | 318  |   |  | $ | 277  |  
|Interest cost                      |  |                             | 2,118  |   |                         |   | 1,955  |      |  |   | 848  |   |  |   | 875  |  
|Expected return on plan assets     |  |                             | (2,374 | ) |                         |   | (2,072 | )    |  |   | (407 | ) |  |   | (419 | )
|Amortization of prior service cost |  |                             | 31     |   |                         |   | 73     |      |  |   | 2    |   |  |   | 3    |  
|Amortization of net loss (gain)    |  |                             | 830    |   |                         |   | 627    |      |  |   | (61  | ) |  |   | (86  | )
|                                   |  |                             |        |   |                         |   |        |      |  |   |      |   |  |   |      |  
|Net periodic benefit cost          |  | $                           | 2,250  |   |                         | $ | 1,981  |      |  | $ | 700  |   |  | $ | 650  |  
|                                   |  |                             |        |   |                         |   |        |      |  |   |      |   |  |   |      |  



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|                                              |  |                             |        |   |                         |   |       |      |  |      |    |  |   |   
|--------------------------------------------- |  | --------------------------- | ------ | - | ----------------------- | - | ----- | ---- |  | ---- | -- |  | - | --
|                                              |  | Foreign                    
|                                              |  | Pension Benefits            |        |   | Postretirement Benefits
|                                              |  | Three Months Ended March 31
|                                              |  | 2010                        |        |   | 2009                    |   |       | 2010 |  | 2009
|                                              |  |                             |        |   | (in thousands)          |   |      
|Service cost                                  |  | $                           | 782    |   |                         | $ | 608   |      |  | $    | 6  |  | $ | 3 
|Interest cost                                 |  |                             | 1,387  |   |                         |   | 1,188 |      |  |      | 36 |  |   | 33
|Expected return on plan assets                |  |                             | (1,377 | ) |                         |   | (914  | )    |  |      | 0  |  |   | 0 
|Amortization of prior service cost            |  |                             | 21     |   |                         |   | 17    |      |  |      | 0  |  |   | 0 
|Amortization of transition (asset) obligation |  |                             | (9     | ) |                         |   | (8    | )    |  |      | 13 |  |   | 11
|Amortization of net loss                      |  |                             | 325    |   |                         |   | 392   |      |  |      | 13 |  |   | 8 
|Settlement loss                               |  |                             | 0      |   |                         |   | 198   |      |  |      | 0  |  |   | 0 
|                                              |  |                             |        |   |                         |   |       |      |  |      |    |  |   |   
|Net periodic benefit cost                     |  | $                           | 1,129  |   |                         | $ | 1,481 |      |  | $    | 68 |  | $ | 55
|                                              |  |                             |        |   |                         |   |       |      |  |      |    |  |   |   

The settlement loss for the three months ended
March 31, 2009 represents the termination of a pension plan of our Ethyl subsidiary in Belgium.

In March 2010, the Patient Protection
and Affordable Care Act was signed into law, as was a related reconciliation bill. Included in the provisions of the laws are changes to the taxation related to the federal subsidy available to companies that provide retiree healthcare benefit plans
that include a benefit that is at least actuarially equivalent to the benefits of Medicare Part D. Our retiree medical plan does include a drug subsidy benefit that is actuarially equivalent to Medicare Part D. However, we are not impacted by the
changes in the taxation of the federal subsidy, as we assigned the subsidy to our insurance provider several years ago in consideration of premium determination. At the time we assigned the benefit to our insurance provider, we adjusted our deferred
taxes accordingly. We are currently evaluating the provisions of the law and its impact on our company, but have made no adjustments to our financial statements as a result of the law.



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|6. | Earnings Per Share
|-- | ------------------

Basic
and diluted earnings per share are calculated as shown in the table below. Options are not included in the computation of diluted earnings per share when the option exercise price exceeds the average market price of the underlying common share, as
the impact on earnings per share would be anti-dilutive. We had no anti-dilutive options that were excluded from the calculation of earnings per share for any period presented.



|                                                              |  |                                          |        |      |   |       
|------------------------------------------------------------- |  | ---------------------------------------- | ------ | ---- | - | ------
|                                                              |  | Three Months EndedMarch 31              
|                                                              |  | 2010                                     |        | 2009
|                                                              |  | (in thousands, exceptper- share amounts)
|Basic earnings per share                                      |  |                                          |        |      |   |       
|Numerator:                                                    |  |                                          |        |      |   |       
|Net income                                                    |  | $                                        | 42,138 |      | $ | 28,688
|                                                              |  |                                          |        |      |   |       
|Denominator:                                                  |  |                                          |        |      |   |       
|Weighted-average number of shares of common stock outstanding |  |                                          | 15,118 |      |   | 15,203
|                                                              |  |                                          |        |      |   |       
|Basic earnings per share                                      |  | $                                        | 2.79   |      | $ | 1.89  
|                                                              |  |                                          |        |      |   |       
|Diluted earnings per share                                    |  |                                          |        |      |   |       
|Numerator:                                                    |  |                                          |        |      |   |       
|Net income                                                    |  | $                                        | 42,138 |      | $ | 28,688
|                                                              |  |                                          |        |      |   |       
|Denominator:                                                  |  |                                          |        |      |   |       
|Weighted-average number of shares of common stock outstanding |  |                                          | 15,118 |      |   | 15,203
|Shares issuable upon exercise of stock options                |  |                                          | 36     |      |   | 38    
|                                                              |  |                                          |        |      |   |       
|Total shares                                                  |  |                                          | 15,154 |      |   | 15,241
|                                                              |  |                                          |        |      |   |       
|Diluted earnings per share                                    |  | $                                        | 2.78   |      | $ | 1.88  
|                                                              |  |                                          |        |      |   |       



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|7. | Intangibles, net of amortization
|-- | --------------------------------

The following table provides certain information related to our intangible assets. All of the intangibles relate to the petroleum
additives segment.



|                             |  |                          |         |                         |   |                     |  |                         |         |  |   |       
|---------------------------- |  | ------------------------ | ------- | ----------------------- | - | ------------------- |  | ----------------------- | ------- |  | - | ------
|                             |  | Identifiable Intangibles
|                             |  | March 312010             |         | December 312009        
|                             |  | GrossCarryingAmount      |         | AccumulatedAmortization |   | GrossCarryingAmount |  | AccumulatedAmortization
|                             |  | (in thousands)          
|Amortizing intangible assets |  |                          |         |                         |   |                     |  |                         |         |  |   |       
|Formulas                     |  | $                        | 88,687  |                         | $ | 59,970              |  | $                       | 88,687  |  | $ | 58,700
|Contracts                    |  |                          | 16,380  |                         |   | 7,728               |  |                         | 16,380  |  |   | 6,939 
|Customer base                |  |                          | 5,440   |                         |   | 785                 |  |                         | 5,440   |  |   | 666   
|Goodwill                     |  |                          | 861     |                         |   | 0                   |  |                         | 861     |  |   | 0     
|                             |  |                          |         |                         |   |                     |  |                         |         |  |   |       
|                             |  | $                        | 111,368 |                         | $ | 68,483              |  | $                       | 111,368 |  | $ | 66,305
|                             |  |                          |         |                         |   |                     |  |                         |         |  |   |       

Amortization expense was (in millions):



|                                     |  |   |    
|------------------------------------ |  | - | ---
|  Three months ended March 31, 2010 |  | $ | 2.2
|  Three months ended March 31, 2009 |  | $ | 2.4

Currently, estimated
annual amortization expense related to our intangible assets for the next five years is expected to be (in millions):



|        |  |   |    
|------- |  | - | ---
|  2010 |  | $ | 8.3
|  2011 |  | $ | 8.0
|  2012 |  | $ | 6.8
|  2013 |  | $ | 6.6
|  2014 |  | $ | 5.6

We expect estimated
annual amortization for the next five years will increase once the purchase price allocation is completed for the acquisition of the Polartech business.

We amortize the cost of the customer base intangible by an accelerated method and the cost of the remaining intangible assets by the
straight-line method over their estimated economic lives. We generally amortize contracts over 1.5 to 10 years and formulas, as well as the customer base, over 20 years.



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|8. | Long-term Debt
|-- | --------------

Long-term
debt consisted of the following:



|                                            |  |                |         |   |                 |   |         |  
|------------------------------------------- |  | -------------- | ------- | - | --------------- | - | ------- | -
|                                            |  | March 312010   |         |   | December 312009 |  
|                                            |  | (in thousands) |        
|Senior notes - 7.125% due 2016              |  | $              | 150,000 |   |                 | $ | 150,000 |  
|Foundry Park I mortgage loan - due 2015     |  |                | 68,193  |   |                 |   | 0       |  
|Foundry Park I construction loan - due 2010 |  |                | 0       |   |                 |   | 99,102  |  
|Capital lease obligations                   |  |                | 775     |   |                 |   | 979     |  
|                                            |  |                |         |   |                 |   |         |  
|                                            |  |                | 218,968 |   |                 |   | 250,081 |  
|Current maturities of long-term debt        |  |                | (3,357  | ) |                 |   | (33,881 | )
|                                            |  |                |         |   |                 |   |         |  
|                                            |  | $              | 215,611 |   |                 | $ | 216,200 |  
|                                            |  |                |         |   |                 |   |         |  

We had no outstanding borrowings under our revolving senior credit facility at March 31, 2010 or
December 31, 2009. We had outstanding letters of credit of $13.1 million at March 31, 2010, resulting in the unused portion of the revolving senior credit facility amounting to $136.9 million.

On January 29, 2010, we paid off the outstanding balance of $99.1 million on the Foundry Park I construction loan with proceeds of
$68.4 million from the Foundry Park I mortgage loan agreement, as well as cash on hand of $30.7 million. On January 28, 2010, Foundry Park I entered into a mortgage loan agreement in the amount of $68.4 million. The loan, which is
collateralized by the Foundry Park I office building, is for a period of five years, with two thirteen-month extension options. NewMarket Corporation is fully guaranteeing the loan. The mortgage loan bears interest at a variable rate of LIBOR plus a
margin of 400 basis points, with a minimum LIBOR of 200 basis points. Concurrently with the closing of the mortgage loan, Foundry Park I obtained an interest rate swap to effectively convert the variable interest rate of the loan to a fixed interest
rate by setting LIBOR at 2.642 for five years. Further information on the interest rate swap is in Note 10. Principal payments on the loan are being made monthly based on a 15-year amortization schedule, with all remaining amounts due in five years,
unless we exercise the extension options.

We were in compliance with all covenants under our debt agreements at March 31,
2010 and December 31, 2009.



|9. | Contractual Commitments and Contingencies
|-- | -----------------------------------------

Except as discussed below, there have been no significant changes in our contractual commitments and contingencies from those reported in
our 2009 Annual Report in Note 19.

Litigation

We are involved in legal proceedings that are incidental to our business and include administrative or judicial actions seeking
remediation under environmental laws, such as Superfund. Some of these legal proceedings relate to environmental matters and involve governmental authorities. For further information, see Environmental below.

While it is not possible to predict or determine with certainty the outcome of any legal proceeding, we believe the outcome of any of
these proceedings, or all of them combined, will not result in a material adverse effect on our consolidated financial condition or results of operations.



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Environmental

During 2000, the U.S. Environmental Protection Agency (EPA) named us as a potentially responsible party (PRP) under Superfund law for the
clean-up of soil and groundwater contamination at the Sauget Area 2 Site in Sauget, Illinois. Without admitting any fact, responsibility, fault, or liability in connection with this site, we are participating with other PRPs in site investigations
and feasibility studies.

The Sauget Area 2 Site PRPs received notice of approval from the EPA of their October 2009 Human
Health Risk Assessment. Additionally, the PRPs have submitted their Feasibility Study (FS) to the EPA Remedy review board. We have accrued our estimated proportional share of the expenses for the FS, as well as our best estimate of our proportional
share of the remediation liability proposed in our ongoing discussions and submissions with the agencies involved. We do not believe there is any additional information available as a basis for revision of the liability that we have established. The
amount currently accrued for this site is not material.

At a former TEL plant site located in Louisiana, we have completed
significant environmental remediation, although we will be monitoring and treating the site for an extended period. The accrual for this site was $7.4 million at March 31, 2010 and $7.5 million at December 31, 2009. We based these amounts
on the best estimate of future costs discounted at approximately 3% in both 2010 and 2009. An inflation factor is included in the estimate. The undiscounted liability was $9.6 million at March 31, 2010 and $9.7 million at December 31,
2009. The expected payments over the next five years amount to approximately $700 thousand in 2010 and $600 thousand for each of the years 2011 through 2014. Expected payments thereafter amount to approximately $6.5 million.

At a plant site in Houston, Texas, we have accruals of $7.8 million at March 31, 2010 and $7.9 million at December 31, 2009 for
environmental remediation, dismantling, and decontamination. Included in these amounts are $7.5 million at March 31, 2010 and $7.6 million at December 31, 2009 for remediation. Of the total remediation, $7.1 million at March 31, 2010
and $7.2 million at December 31, 2009 relates to remediation of groundwater and soil. The accruals for this site are discounted at approximately 3% at both March 31, 2010 and December 31, 2009. The accruals include an inflation
factor. The undiscounted accrual for this site was $11.1 million at March 31, 2010 and $11.2 million at December 31, 2009. The expected payments over the next five years are approximately $300 thousand in 2010, $600 thousand in 2011, $2.3
million in 2012, and $200 thousand for each of 2013 and 2014. Expected payments thereafter amount to approximately $7.5 million.

At a superfund site in Louisiana, we have an accrual of $2.5 million at March 31, 2010 and $2.6 million at December 31, 2009 for
environmental remediation. The accrual for this site was discounted at approximately 3% at both March 31, 2010 and December 31, 2009 and included an inflation factor. The undiscounted accrual for this site was $3.1 million at
March 31, 2010 and $3.2 million at December 31, 2009. The expected payments over the next five years amount to approximately $300 thousand in 2010, $400 thousand in 2011, and $200 thousand each for years 2012 through 2014. Expected
payments thereafter amount to approximately $1.8 million.

The remaining environmental liabilities are not discounted.

We accrue for environmental remediation and monitoring activities for which costs can be reasonably estimated and are
probable. These estimates are based on an assessment of the site, available clean-up methods, and prior experience in handling remediation. While we believe we



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are currently fully accrued for known environmental issues, it is possible that unexpected future costs could have a significant impact on our financial position and results of operations.

Our total accruals for environmental remediation were approximately $21.7 million at March 31, 2010 and $22.0 million at
December 31, 2009. In addition to the accruals for environmental remediation, we also have accruals for dismantling and decommissioning costs of $500 thousand at both March 31, 2010 and December 31, 2009.

Letters of Credit and Guarantees

We have outstanding guarantees with several financial institutions in the amount of $34.8 million at March 31, 2010. The guarantees
are secured by letters of credit, as well as cash collateral. A small amount of guarantees is unsecured. The outstanding letters of credit amounted to $13.1 million at March 31, 2010, all of which were issued under the letter of credit
sub-facility of our revolving credit facility. The letters of credit primarily relate to insurance guarantees and performance guarantees. We renew letters of credit as necessary. The remaining amounts represent additional performance, lease, custom
and excise tax guarantees, as well as a cash deposit of $17.9 million related to the Goldman Sachs Bank USA (Goldman Sachs) interest rate swap. The cash deposit is recorded in Other assets and deferred charges on the Consolidated Balance
Sheet. Expiration dates of the letters of credit and certain guarantees range from 2010 to 2011. Some of the guarantees have no expiration date.

We cannot estimate the maximum amount of potential liability under the guarantees. However, we accrue for potential liabilities when a
future payment is probable and the range of loss can be reasonably estimated.



|10. | Derivatives and Hedging Activities
|--- | ----------------------------------

Accounting Policy for Derivative Instruments and Hedging Activities

We record all derivatives on the balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on
the intended use of the derivative, whether we have elected to designate a derivative in a hedging relationship and apply hedge accounting, and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting.
Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability, or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. Derivatives
designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Derivatives may also be designated as hedges of the foreign currency
exposure of a net investment in a foreign operation. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset
or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. We may enter into derivative contracts that are intended to economically hedge certain of
our risk, even though hedge accounting does not apply or we elect not to apply hedge accounting. We do not enter into derivative instruments for speculative purposes.

Risk Management Objective of Using Derivatives

We are exposed to certain risks arising from both our business operations and economic conditions. We primarily manage our exposures to a
wide variety of business and operational risks through management of our core business activities.



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We manage certain economic risks, including interest rate, liquidity, and credit risk
primarily by managing the amount, sources, and duration of our debt funding, as well as through the use of derivative financial instruments. Specifically, we have entered into interest rate swaps to manage our exposure to interest rate movements.

Our foreign operations expose us to fluctuations of foreign exchange rates. These fluctuations may impact the value of our
cash receipts and payments as compared to our reporting currency, the U.S. Dollar. To manage this exposure, we sometimes enter into foreign currency forward contracts to minimize currency exposure due to cash flows from foreign operations.

Cash Flow Hedge of Interest Rate Risk

In January 2010, we entered into an interest rate swap to manage our exposure to interest rate movements on the Foundry Park I mortgage
loan and add stability to interest expense. Further information on the mortgage loan is in Note 8. We also had an interest rate swap to manage our exposure to interest rate movements on the Foundry Park I construction loan and add stability to
capitalized interest expense. The Foundry Park I construction loan interest rate swap matured on January 1, 2010. Further information on the construction loan is in our 2009 Annual Report in Note 13. Both interest rate swaps are designated and
qualify as a cash flow hedge. As such, the effective portion of changes in the fair value of the swaps is recorded in accumulated other comprehensive loss and is subsequently reclassified into earnings in the period that the hedged forecasted
transaction affects earnings. Any ineffective portion of changes in the fair value of the swap is recognized immediately in earnings. We assess the effectiveness of the mortgage loan interest rate swap quarterly, just as we assessed the
effectiveness of the construction loan interest rate swap quarterly, by comparing the changes in the fair value of the derivative hedging instrument with the change in present value of the expected future cash flows of the hedged transaction.

Both interest rate swaps involve the receipt of variable-rate amounts based on LIBOR in exchange for fixed-rate payments over
the life of the agreement without exchange of the underlying notional amount. The fixed-rate payments are at a rate of 2.642% for the mortgage loan interest rate swap, while the fixed-rate payments on the construction loan interest rate swap were at
a rate of 4.975%. The notional amount of the mortgage loan interest rate swap was $68.4 million at origination and approximately $68.2 million at March 31, 2010. The notional amount of the mortgage loan swap amortizes to approximately $53.7
million over the term of the swap. The amortizing notional amount is necessary to maintain the swap notional at an amount that matches the declining mortgage loan principal balance over the loan term. The mortgage loan interest swap matures on
January 25, 2015. The notional amount of the construction loan interest rate swap was approximately $94.0 million at December 31, 2009, just prior to its January 1, 2010 maturity. The accreting notional amount was necessary to
maintain the construction loan interest rate swap notional at an amount that represents approximately 85% of the projected construction loan principal balance over the loan term.

The unrealized loss, net of tax, related to the fair value of the mortgage loan interest rate swap is recorded in accumulated other
comprehensive loss in shareholders equity on the Consolidated Balance Sheets, amounted to approximately $384 thousand at March 31, 2010. The unrealized loss, net of tax, related to the fair value of the construction loan interest rate
swap and recorded in accumulated other comprehensive loss amounted to approximately $37 thousand at December 31, 2009. Also recorded as a component of accumulated other comprehensive loss in shareholders equity on the Consolidated Balance
Sheets was the accumulated losses related to the construction loan interest rate swap. This amounted to approximately $2.6 million, net of tax, at both March 31, 2010 and December 31, 2009. The amounts remaining in accumulated other
comprehensive



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loss related to the construction loan interest rate swap are being recognized in the Consolidated Statements of Income over the depreciable life of the office building beginning in January 2010.
Approximately $100 thousand currently recognized in accumulated other comprehensive loss is expected to be reclassified into earnings over the next twelve months.

Non-designated Hedges

On June 25, 2009, we entered into an interest rate swap with Goldman Sachs in the notional amount of $97 million and with a maturity
date of January 19, 2022 (Goldman Sachs interest rate swap). NewMarket entered into the Goldman Sachs interest rate swap in connection with the termination of a loan application and related rate lock agreement between Foundry Park I and
Principal Commercial Funding II, LLC (Principal). See Note 19 in our 2009 Annual Report for further information on the transaction between Foundry Park I and Principal. When the rate lock agreement was originally executed in 2007, Principal
simultaneously entered into an interest rate swap with a third party to hedge Principals exposure to fluctuation in the ten-year Treasuries rate. Upon the termination on June 25, 2009 of the rate lock agreement, Goldman Sachs both assumed
Principals position with the third party and entered into an offsetting interest rate swap with NewMarket. Under the terms of this interest rate swap, NewMarket will make fixed rate payments at 5.3075% and Goldman Sachs will make variable rate
payments based on three-month LIBOR. We have collateralized this exposure through cash deposits posted with Goldman Sachs amounting to $17.9 million at March 31, 2010. This transaction effectively preserves the impact of the original rate lock
agreement for the possible application to a future loan amount of $97 million of a similar structure.

In December 2008, we
entered into $16.8 million of Euro-denominated forward contracts to minimize foreign currency exposure from expected cash flows from foreign operations. The forward contracts obligated us to sell Euros for U.S. Dollars at a fixed exchange rate of
1.403, which was agreed to at the inception of the contracts. These contracts had maturity dates through December 2009. There were no outstanding foreign currency forward contracts at March 31, 2010 or December 31, 2009.

We elected not to use hedge accounting for both the Goldman Sachs interest rate swap and the forward contracts, and therefore, immediately
recognized any change in the fair value of these derivative financial instruments in earnings.

*****

The table below presents the fair value of our derivative financial instruments, as well as their classification on the Consolidated
Balance Sheets as of March 31, 2010 and December 31, 2009.



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Fair Value of Derivative Instruments

(in thousands)



|                                                  |  |                       |  |                       |   |                       |  |                   |   |                       |  |                                                  |  |                        |        |           |                            |  |   |       
|------------------------------------------------- |  | --------------------- |  | --------------------- | - | --------------------- |  | ----------------- | - | --------------------- |  | ------------------------------------------------ |  | ---------------------- | ------ | --------- | -------------------------- |  | - | ------
|                                                  |  | Asset Derivatives     |  | Liability Derivatives
|                                                  |  | March 31, 2010        |  | December 31, 2009     |   | March 31, 2010        |  | December 31, 2009
|                                                  |  | Balance SheetLocation |  | FairValue             |   | Balance SheetLocation |  | FairValue         |   | Balance SheetLocation |  | FairValue                                        |  | Balance Sheet
Location |        | FairValue
|Derivatives Designated as Hedging Instruments     |  |                       |  |                       |   |                       |  |                   |   |                       |  |                                                  |  |                        |        |           |                            |  |   |       
|Mortgage loan interest rate swap                  |  |                       |  | $                     | 0 |                       |  |                   | $ | 0                     |  | Accrued expenses and Other long-term liabilities |  | $                      | 770    |           |                            |  | $ | 0     
|                                                  |  |                       |  |                       |   |                       |  |                   |   |                       |  |                                                  |  |                        |        |           |                            |  |   |       
|Construction loan interest rate swap              |  |                       |  | $                     | 0 |                       |  |                   | $ | 0                     |  |                                                  |  | $                      | 0      |           | Accrued expenses           |  | $ | 421   
|                                                  |  |                       |  |                       |   |                       |  |                   |   |                       |  |                                                  |  |                        |        |           |                            |  |   |       
|Derivatives Not Designated as Hedging Instruments |  |                       |  |                       |   |                       |  |                   |   |                       |  |                                                  |  |                        |        |           |                            |  |   |       
|Goldman Sachs interest rate swap                  |  |                       |  | $                     | 0 |                       |  |                   | $ | 0                     |  | Accrued expenses and Other long-term liabilities |  | $                      | 13,797 |           | Other long-termliabilities |  | $ | 11,440
|                                                  |  |                       |  |                       |   |                       |  |                   |   |                       |  |                                                  |  |                        |        |           |                            |  |   |       

The tables below present the effect of our derivative
financial instruments on the Consolidated Statements of Income.



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Effect of Derivative Instruments on the Consolidated Statements of Income

Designated Cash Flow Hedges

(in thousands)



|                                             |  |                                                                          |      |   |                                                                                       |   |                                                                                      |   |                                                                                                                           |                                 |                                                                                                                          |   |      |   |  |   |      |  |                    |  |   |   |  |   |     |  
|-------------------------------------------- |  | ------------------------------------------------------------------------ | ---- | - | ------------------------------------------------------------------------------------- | - | ------------------------------------------------------------------------------------ | - | ------------------------------------------------------------------------------------------------------------------------- | ------------------------------- | ------------------------------------------------------------------------------------------------------------------------ | - | ---- | - |  | - | ---- |  | ------------------ |  | - | - |  | - | --- | -
|Derivatives in Cash FlowHedging Relationship |  | Amount of Gain (Loss)Recognized in OCI onDerivative 
(Effective Portion) |      |   | Location of Gain(Loss) Reclassifiedfrom Accumulated OCIinto Income
(EffectivePortion) |   | Amount of Gain (Loss)Reclassified
fromAccumulated OCI intoIncome (Effective Portion) |   | Location of Gain(Loss) Recognizedin Income on Derivative(Ineffective
Portion andAmount Excludedfrom EffectivenessTesting) |                                 | Amount of Gain (Loss)Recognized in Income onDerivative
(IneffectivePortion and AmountExcluded fromEffectiveness Testing) |  
|                                             |  | Three Months EndedMarch 31                                               |      |   |                                                                                       |   | Three Months EndedMarch 31                                                           |   |                                                                                                                           |                                 | Three Months EndedMarch 31                                                                                               |  
|                                             |  | 2010                                                                     |      |   | 2009                                                                                  |   |                                                                                      |   |                                                                                                                           | 2010                            |                                                                                                                          |   | 2009 |   |  |   | 2010 |  | 2009               | 
|Mortgage loan interest rate swap             |  | $                                                                        | (913 | ) |                                                                                       | $ | 0                                                                                    |   |                                                                                                                           | Interest and financing expenses |                                                                                                                          | $ | (284 | ) |  | $ | 0    |  |                    |  | $ | 0 |  | $ | 0   |  
|                                             |  |                                                                          |      |   |                                                                                       |   |                                                                                      |   |                                                                                                                           |                                 |                                                                                                                          |   |      |   |  |   |      |  |                    |  |   |   |  |   |     |  
|Construction loan interest rate swap         |  | $                                                                        | 0    |   |                                                                                       | $ | (138                                                                                 | ) |                                                                                                                           | Cost of rental                  |                                                                                                                          | $ | (21  | ) |  | $ | 0    |  | Other expense, net |  | $ | 0 |  | $ | (77 | )
|                                             |  |                                                                          |      |   |                                                                                       |   |                                                                                      |   |                                                                                                                           |                                 |                                                                                                                          |   |      |   |  |   |      |  |                    |  |   |   |  |   |     |  

Effect of Derivative Instruments on the Consolidated Statements of

Income Not Designated Derivatives

(in thousands)



|                                                 |  |                                                          |  |                                                         |        |   |      |   |    
|------------------------------------------------ |  | -------------------------------------------------------- |  | ------------------------------------------------------- | ------ | - | ---- | - | ---
|Derivatives Not Designatedas Hedging Instruments |  | Location of Gain (Loss)Recognized in Income onDerivative |  | Amount of Gain (Loss)Recognized in Income 
onDerivative
|                                                 |  |                                                          |  | Three Months EndedMarch 31                             
|                                                 |  |                                                          |  | 2010                                                    |        |   | 2009
|Goldman Sachs interest rate swap                 |  | Other expense, net                                       |  | $                                                       | (2,357 | ) |      | $ | 0  
|Foreign currency forward contracts               |  | Cost of goods sold - product                             |  | $                                                       | 0      |   |      | $ | 497

Credit-risk-related Contingent Features

We have agreements with both of our current derivative counterparties that contain a provision where we could be declared in default on
our derivative obligations if repayment of indebtedness is accelerated by the lender due to our default on the indebtedness.

As of March 31, 2010, the fair value of derivatives in a net liability position, which includes accrued interest but excludes any
adjustment for nonperformance risk, related to these agreements was $13.9 million. We have minimum collateral posting thresholds with one of our derivative counterparties and have posted cash collateral of $17.9 million as of March 31, 2010. If
required, we could have settled our obligations under the agreements at their termination value of $13.9 million at March 31, 2010.



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|11. | Comprehensive Income and Accumulated Other Comprehensive Loss
|--- | -------------------------------------------------------------

The components of comprehensive income consist of the following:



|                                                                                                                                    |  |                            |        |   |      |   |        |  
|----------------------------------------------------------------------------------------------------------------------------------- |  | -------------------------- | ------ | - | ---- | - | ------ | -
|                                                                                                                                    |  | Three Months EndedMarch 31 |       
|                                                                                                                                    |  | 2010                       |        |   | 2009 |  
|                                                                                                                                    |  | (in thousands)             |       
|Net income                                                                                                                          |  | $                          | 42,138 |   |      | $ | 28,688 |  
|Other comprehensive income, net of tax                                                                                              |  |                            |        |   |      |   |        |  
|Pension plans and other postretirement benefits adjustments (net of tax expense of $400 thousand in 2010 and $429 thousand in
2009) |  |                            | 758    |   |      |   | 837    |  
|Unrealized loss on derivative instruments (net of tax benefits of $236 thousand in 2010 and $52 thousand in 2009)                   |  |                            | (371   | ) |      |   | (86    | )
|Foreign currency translation adjustments (net of tax benefits of $838 thousand in 2010 and $1.5 million in 2009)                    |  |                            | (7,080 | ) |      |   | (3,875 | )
|                                                                                                                                    |  |                            |        |   |      |   |        |  
|Other comprehensive loss                                                                                                            |  |                            | (6,693 | ) |      |   | (3,124 | )
|                                                                                                                                    |  |                            |        |   |      |   |        |  
|Comprehensive income                                                                                                                |  | $                          | 35,445 |   |      | $ | 25,564 |  
|                                                                                                                                    |  |                            |        |   |      |   |        |  

The components of accumulated other comprehensive loss consists of the following:



|                                                           |  |                |         |   |                 |   |         |  
|---------------------------------------------------------- |  | -------------- | ------- | - | --------------- | - | ------- | -
|                                                           |  | March 312010   |         |   | December 312009 |  
|                                                           |  | (in thousands) |        
|Pension plans and other postretirement benefit adjustments |  | $              | (59,297 | ) |                 | $ | (60,055 | )
|Accumulated loss on derivative instruments                 |  |                | (3,035  | ) |                 |   | (2,664  | )
|Foreign currency translation adjustments                   |  |                | (19,145 | ) |                 |   | (12,065 | )
|                                                           |  |                |         |   |                 |   |         |  
|Accumulated other comprehensive loss                       |  | $              | (81,477 | ) |                 | $ | (74,784 | )
|                                                           |  |                |         |   |                 |   |         |  



|12. | Fair Value Measurements
|--- | -----------------------

The following table provides information on assets and liabilities measured at fair value on a recurring basis. No events occurred during
the three months ended March 31, 2010, requiring adjustment to the recognized balances of assets or liabilities which are recorded at fair value on a nonrecurring basis.



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|                              |  |                               |         |            |   |                               |  |         |         |         |   |        |  |   |  
|----------------------------- |  | ----------------------------- | ------- | ---------- | - | ----------------------------- |  | ------- | ------- | ------- | - | ------ |  | - | -
|                              |  | CarryingAmount inConsolidated |         |            |   | Fair Value Measurements Using
|                              |  | Balance Sheets                |         | Fair Value |   | Level 1                       |  | Level 2 |         | Level 3
|                              |  | March 31, 2010               
|Cash and cash equivalents     |  | $                             | 87,971  |            | $ | 87,971                        |  | $       | 87,971  |         | $ | 0      |  | $ | 0
|Short-term investments        |  | $                             | 300     |            | $ | 300                           |  | $       | 300     |         | $ | 0      |  | $ | 0
|Interest rate swaps liability |  | $                             | 14,567  |            | $ | 14,567                        |  | $       | 0       |         | $ | 14,567 |  | $ | 0
|                              | 
|                              |  | December 31, 2009            
|Cash and cash equivalents     |  | $                             | 151,831 |            | $ | 151,831                       |  | $       | 151,831 |         | $ | 0      |  | $ | 0
|Short-term investments        |  | $                             | 300     |            | $ | 300                           |  | $       | 300     |         | $ | 0      |  | $ | 0
|Interest rate swap liability  |  | $                             | 11,861  |            | $ | 11,861                        |  | $       | 0       |         | $ | 11,861 |  | $ | 0

We determine the fair
value of the derivative instruments shown in the table above by using widely accepted valuation techniques, including discounted cash flow analysis on the expected cash flows of each instrument. The analysis reflects the contractual terms of the
derivatives, including the period to maturity, and uses observable market-based inputs.

The fair value of the interest rate
swaps is determined using the market standard methodology of netting the discounted future fixed cash receipts and the discounted expected variable cash payments. The variable cash payments are based on an expectation of future interest rates
derived from observable market interest rate curves. In determining the fair value measurements, we incorporate credit valuation adjustments to appropriately reflect both our nonperformance risk and the counterparties nonperformance risk.

Although we have determined that the majority of the inputs used to value our derivatives fall within Level 2 of the fair
value hierarchy, the credit valuation adjustment associated with the derivatives utilizes Level 3 inputs. These Level 3 inputs include estimates of current credit spreads to evaluate the likelihood of default by both us and the counterparties to the
derivatives. As of March 31, 2010, we have assessed the significance of the impact of the credit valuation adjustment on the overall valuation of our derivatives and have determined that the credit valuation adjustment is not significant to the
overall valuation of the derivatives. Accordingly, we have determined that our derivative valuations should be classified in Level 2 of the fair value hierarchy.

We record the value of our long-term debt at historical cost. The estimated fair value of our long-term debt is shown in the table below
and is based primarily on estimated current rates available to us for debt of the same remaining duration and adjusted for nonperformance risk and credit risk.



|                                             |  |                |          |   |                   |   |          |                |  |   |           |   |  |   |          |  
|-------------------------------------------- |  | -------------- | -------- | - | ----------------- | - | -------- | -------------- |  | - | --------- | - |  | - | -------- | -
|                                             |  | March 31, 2010 |          |   | December 31, 2009 |  
|                                             |  | CarryingAmount |          |   | FairValue         |   |          | CarryingAmount |  |   | FairValue |  
|Long-term debt, including current maturities |  | $              | (218,968 | ) |                   | $ | (221,762 | )              |  | $ | (250,081  | ) |  | $ | (243,354 | )



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|13. | Recently Issued Accounting Pronouncements
|--- | -----------------------------------------

In October 2009, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update 2009-13, Revenue Recognition
(Topic 605): Multiple-Deliverable Revenue Arrangements - a consensus of the FASB Emerging Issues Task Force (ASU 2009-13). ASU 2009-13 amends the criteria for revenue recognition of multi-deliverable arrangements and expands the required
disclosures of those arrangements. ASU 2009-13 is effective for revenue arrangements entered into or materially modified in fiscal years beginning on or after June 15, 2010. We currently do not expect ASU 2009-13 to have a material impact on
our financial statements.



|14. | Consolidating Financial Information
|--- | -----------------------------------

The 7.125% senior notes due 2016 are fully and unconditionally guaranteed by certain of our subsidiaries (Guarantor Subsidiaries) on a
joint and several unsecured senior basis. The Guarantor Subsidiaries include all of our existing and future 100% owned domestic restricted subsidiaries. The Guarantor Subsidiaries and the subsidiaries that do not guarantee the senior notes (the
Non-Guarantor Subsidiaries) are 100% owned by NewMarket Corporation (the Parent Company). The Guarantor Subsidiaries consist of the following:



|                                   |  |                                     
|---------------------------------- |  | ------------------------------------
|Ethyl Corporation                  |  | Afton Chemical Corporation          
|Ethyl Asia Pacific LLC             |  | Afton Chemical Asia Pacific LLC     
|Ethyl Canada Holdings, Inc.        |  | Afton Chemical Canada Holdings, Inc.
|Ethyl Export Corporation           |  | Afton Chemical Japan Holdings, Inc. 
|Ethyl Interamerica Corporation     |  | Afton Chemical Additives Corporation
|Ethyl Ventures, Inc.               |  | Afton Chemical Intangibles LLC      
|Interamerica Terminals Corporation |  | The Edwin Cooper Corporation        
|NewMarket Development Corporation  |  | NewMarket Investment Company        
|NewMarket Services Corporation     |  | Old Town LLC                        
|Foundry Park I, LLC                |  | Foundry Park II, LLC                
|Gambles Hill, LLC                 |  | Gambles Hill Lab, LLC              
|Gambles Hill Landing, LLC         |  | Gambles Hill Third Street, LLC     
|Gambles Hill Tredegar, LLC        |  | Polartech Additives, Inc.           

We conduct all
of our business and derive essentially all of our income from our subsidiaries. Therefore, our ability to make payments on the senior notes or other obligations is dependent on the earnings and the distribution of funds from our subsidiaries. There
are no restrictions on the ability of any of our domestic subsidiaries to transfer funds to the Parent Company.

The following
sets forth the Consolidating Statements of Income for the three months ended March 31, 2010 and March 31, 2009; Consolidating Balance Sheets as of March 31, 2010 and December 31, 2009; and Condensed Consolidating Statements of
Cash Flows for the three months ended March 31, 2010 and March 31, 2009 for the Parent Company, the Guarantor Subsidiaries, and Non-Guarantor Subsidiaries. The financial information is based on our understanding of the SECs
interpretation and application of Rule 3-10 of the SEC Regulation S-X.

The financial information may not necessarily be
indicative of their results of operations or financial positions had the Guarantor Subsidiaries or Non-Guarantor Subsidiaries operated as independent entities. The Parent Company accounts for investments in these subsidiaries using the equity
method.



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##### Table of Contents

NewMarket Corporation and Subsidiaries

Consolidating Statements of Income

Three Months Ended March 31, 2010

(in thousands)



|                                                                                    |  |        |        |   |                       |   |                           |  |                               |         |  |              |         |   |  |   |         |  
|----------------------------------------------------------------------------------- |  | ------ | ------ | - | --------------------- | - | ------------------------- |  | ----------------------------- | ------- |  | ------------ | ------- | - |  | - | ------- | -
|                                                                                    |  | Parent |        |   | GuarantorSubsidiaries |   | Non-GuarantorSubsidiaries |  | TotalConsolidatingAdjustments |         |  | Consolidated |        
|Revenue:                                                                            |  |        |        |   |                       |   |                           |  |                               |         |  |              |         |   |  |   |         |  
|Net sales - product                                                                 |  | $      | 0      |   |                       | $ | 180,085                   |  | $                             | 212,180 |  | $            | 0       |   |  | $ | 392,265 |  
|Rental revenue                                                                      |  |        | 0      |   |                       |   | 2,861                     |  |                               | 0       |  |              | 0       |   |  |   | 2,861   |  
|                                                                                    |  |        |        |   |                       |   |                           |  |                               |         |  |              |         |   |  |   |         |  
|                                                                                    |  |        | 0      |   |                       |   | 182,946                   |  |                               | 212,180 |  |              | 0       |   |  |   | 395,126 |  
|                                                                                    |  |        |        |   |                       |   |                           |  |                               |         |  |              |         |   |  |   |         |  
|Costs:                                                                              |  |        |        |   |                       |   |                           |  |                               |         |  |              |         |   |  |   |         |  
|Cost of goods sold - product                                                        |  |        | 0      |   |                       |   | 79,290                    |  |                               | 194,338 |  |              | 0       |   |  |   | 273,628 |  
|Cost of rental                                                                      |  |        | 0      |   |                       |   | 1,090                     |  |                               | 0       |  |              | 0       |   |  |   | 1,090   |  
|                                                                                    |  |        |        |   |                       |   |                           |  |                               |         |  |              |         |   |  |   |         |  
|                                                                                    |  |        | 0      |   |                       |   | 80,380                    |  |                               | 194,338 |  |              | 0       |   |  |   | 274,718 |  
|                                                                                    |  |        |        |   |                       |   |                           |  |                               |         |  |              |         |   |  |   |         |  
|Gross profit                                                                        |  |        | 0      |   |                       |   | 102,566                   |  |                               | 17,842  |  |              | 0       |   |  |   | 120,408 |  
|Selling, general, and administrative expenses                                       |  |        | 971    |   |                       |   | 24,310                    |  |                               | 5,293   |  |              | 0       |   |  |   | 30,574  |  
|Research, development, and testing expenses                                         |  |        | 0      |   |                       |   | 15,723                    |  |                               | 5,360   |  |              | 0       |   |  |   | 21,083  |  
|                                                                                    |  |        |        |   |                       |   |                           |  |                               |         |  |              |         |   |  |   |         |  
|Operating (loss) profit                                                             |  |        | (971   | ) |                       |   | 62,533                    |  |                               | 7,189   |  |              | 0       |   |  |   | 68,751  |  
|                                                                                    |  |        |        |   |                       |   |                           |  |                               |         |  |              |         |   |  |   |         |  
|Interest and financing expenses                                                     |  |        | 3,079  |   |                       |   | 725                       |  |                               | 145     |  |              | 0       |   |  |   | 3,949   |  
|Other (expense) income, net                                                         |  |        | (2,337 | ) |                       |   | 0                         |  |                               | 26      |  |              | 0       |   |  |   | (2,311  | )
|                                                                                    |  |        |        |   |                       |   |                           |  |                               |         |  |              |         |   |  |   |         |  
|(Loss) income before income tax (benefit) expense and equity income of subsidiaries |  |        | (6,387 | ) |                       |   | 61,808                    |  |                               | 7,070   |  |              | 0       |   |  |   | 62,491  |  
|Income tax (benefit) expense                                                        |  |        | (5,128 | ) |                       |   | 21,611                    |  |                               | 3,870   |  |              | 0       |   |  |   | 20,353  |  
|Equity income of subsidiaries                                                       |  |        | 43,397 |   |                       |   | 0                         |  |                               | 0       |  |              | (43,397 | ) |  |   | 0       |  
|                                                                                    |  |        |        |   |                       |   |                           |  |                               |         |  |              |         |   |  |   |         |  
|Net income                                                                          |  | $      | 42,138 |   |                       | $ | 40,197                    |  | $                             | 3,200   |  | $            | (43,397 | ) |  | $ | 42,138  |  
|                                                                                    |  |        |        |   |                       |   |                           |  |                               |         |  |              |         |   |  |   |         |  



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NewMarket Corporation and Subsidiaries

Consolidating Statements of Income

Three Months Ended March 31, 2009

(in thousands)



|                                                                                    |  |        |        |   |                       |   |         |                           |  |                               |         |  |              |         |   |  |   |         |  
|----------------------------------------------------------------------------------- |  | ------ | ------ | - | --------------------- | - | ------- | ------------------------- |  | ----------------------------- | ------- |  | ------------ | ------- | - |  | - | ------- | -
|                                                                                    |  | Parent |        |   | GuarantorSubsidiaries |   |         | Non-GuarantorSubsidiaries |  | TotalConsolidatingAdjustments |         |  | Consolidated |        
|Revenue:                                                                            |  |        |        |   |                       |   |         |                           |  |                               |         |  |              |         |   |  |   |         |  
|Net sales - product                                                                 |  | $      | 0      |   |                       | $ | 191,881 |                           |  | $                             | 145,247 |  |              | 0       |   |  | $ | 337,128 |  
|Rental revenue                                                                      |  |        | 0      |   |                       |   | 0       |                           |  |                               | 0       |  |              | 0       |   |  |   | 0       |  
|                                                                                    |  |        |        |   |                       |   |         |                           |  |                               |         |  |              |         |   |  |   |         |  
|                                                                                    |  |        | 0      |   |                       |   | 191,881 |                           |  |                               | 145,247 |  |              | 0       |   |  |   | 337,128 |  
|                                                                                    |  |        |        |   |                       |   |         |                           |  |                               |         |  |              |         |   |  |   |         |  
|Costs:                                                                              |  |        |        |   |                       |   |         |                           |  |                               |         |  |              |         |   |  |   |         |  
|Cost of goods sold - product                                                        |  |        | 0      |   |                       |   | 132,685 |                           |  |                               | 113,369 |  |              | 0       |   |  |   | 246,054 |  
|Cost of rental                                                                      |  |        | 0      |   |                       |   | 0       |                           |  |                               | 0       |  |              | 0       |   |  |   | 0       |  
|                                                                                    |  |        |        |   |                       |   |         |                           |  |                               |         |  |              |         |   |  |   |         |  
|                                                                                    |  |        | 0      |   |                       |   | 132,685 |                           |  |                               | 113,369 |  |              | 0       |   |  |   | 246,054 |  
|                                                                                    |  |        |        |   |                       |   |         |                           |  |                               |         |  |              |         |   |  |   |         |  
|Gross profit                                                                        |  |        | 0      |   |                       |   | 59,196  |                           |  |                               | 31,878  |  |              | 0       |   |  |   | 91,074  |  
|Selling, general, and administrative expenses                                       |  |        | 1,046  |   |                       |   | 20,506  |                           |  |                               | 4,715   |  |              | 0       |   |  |   | 26,267  |  
|Research, development, and testing expenses                                         |  |        | 0      |   |                       |   | 14,824  |                           |  |                               | 3,930   |  |              | 0       |   |  |   | 18,754  |  
|                                                                                    |  |        |        |   |                       |   |         |                           |  |                               |         |  |              |         |   |  |   |         |  
|Operating (loss) profit                                                             |  |        | (1,046 | ) |                       |   | 23,866  |                           |  |                               | 23,233  |  |              | 0       |   |  |   | 46,053  |  
|Interest and financing expenses (income)                                            |  |        | 3,007  |   |                       |   | (174    | )                         |  |                               | 103     |  |              | 0       |   |  |   | 2,936   |  
|Other (expense) income, net                                                         |  |        | 0      |   |                       |   | (233    | )                         |  |                               | 153     |  |              | 0       |   |  |   | (80     | )
|                                                                                    |  |        |        |   |                       |   |         |                           |  |                               |         |  |              |         |   |  |   |         |  
|(Loss) income before income tax (benefit) expense and equity income of subsidiaries |  |        | (4,053 | ) |                       |   | 23,807  |                           |  |                               | 23,283  |  |              | 0       |   |  |   | 43,037  |  
|Income tax (benefit) expense                                                        |  |        | (2,323 | ) |                       |   | 9,091   |                           |  |                               | 7,581   |  |              | 0       |   |  |   | 14,349  |  
|Equity income of subsidiaries                                                       |  |        | 30,418 |   |                       |   | 0       |                           |  |                               | 0       |  |              | (30,418 | ) |  |   | 0       |  
|                                                                                    |  |        |        |   |                       |   |         |                           |  |                               |         |  |              |         |   |  |   |         |  
|Net income                                                                          |  | $      | 28,688 |   |                       | $ | 14,716  |                           |  | $                             | 15,702  |  | $            | (30,418 | ) |  | $ | 28,688  |  
|                                                                                    |  |        |        |   |                       |   |         |                           |  |                               |         |  |              |         |   |  |   |         |  



25



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##### Table of Contents

NewMarket Corporation and Subsidiaries

Consolidating Balance Sheets

March 31, 2010

(in thousands)



|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|--------------------------------------------- |  | ------ | ------- | - | --------------------- | - | ------- | ------------------------- |  | - | ----------------------------- | - |  | ------------ | -------- | - |  | - | --------- | -
|                                              |  | Parent |         |   | GuarantorSubsidiaries |   |         | Non-GuarantorSubsidiaries |  |   | TotalConsolidatingAdjustments |   |  | Consolidated |         
|ASSETS                                        |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Cash and cash equivalents                     |  | $      | 2,016   |   |                       | $ | 33,043  |                           |  | $ | 52,912                        |   |  | $            | 0        |   |  | $ | 87,971    |  
|Short-term investments                        |  |        | 300     |   |                       |   | 0       |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 300       |  
|Trade and other accounts receivable, net      |  |        | 0       |   |                       |   | 78,083  |                           |  |   | 135,943                       |   |  |              | 0        |   |  |   | 214,026   |  
|Amounts due from affiliated companies         |  |        | 153,469 |   |                       |   | 151,546 |                           |  |   | 31,214                        |   |  |              | (336,229 | ) |  |   | 0         |  
|Inventories                                   |  |        | 0       |   |                       |   | 70,770  |                           |  |   | 132,017                       |   |  |              | 0        |   |  |   | 202,787   |  
|Deferred income taxes                         |  |        | 2,954   |   |                       |   | 622     |                           |  |   | 488                           |   |  |              | 0        |   |  |   | 4,064     |  
|Prepaid expenses and other current assets     |  |        | 5,419   |   |                       |   | 28,724  |                           |  |   | 1,517                         |   |  |              | 0        |   |  |   | 35,660    |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Total current assets                          |  |        | 164,158 |   |                       |   | 362,788 |                           |  |   | 354,091                       |   |  |              | (336,229 | ) |  |   | 544,808   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Amounts due from affiliated companies         |  |        | 0       |   |                       |   | 13,402  |                           |  |   | 9,011                         |   |  |              | (22,413  | ) |  |   | 0         |  
|Property, plant and equipment, at cost        |  |        | 0       |   |                       |   | 775,405 |                           |  |   | 157,190                       |   |  |              | 0        |   |  |   | 932,595   |  
|Less accumulated depreciation & amortization  |  |        | 0       |   |                       |   | 520,215 |                           |  |   | 113,322                       |   |  |              | 0        |   |  |   | 633,537   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Net property, plant and equipment             |  |        | 0       |   |                       |   | 255,190 |                           |  |   | 43,868                        |   |  |              | 0        |   |  |   | 299,058   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Investment in consolidated subsidiaries       |  |        | 618,704 |   |                       |   | 0       |                           |  |   | 0                             |   |  |              | (618,704 | ) |  |   | 0         |  
|Prepaid pension cost                          |  |        | 0       |   |                       |   | 0       |                           |  |   | 3,228                         |   |  |              | 0        |   |  |   | 3,228     |  
|Deferred income taxes                         |  |        | 36,898  |   |                       |   | (3,760  | )                         |  |   | 3,618                         |   |  |              | 0        |   |  |   | 36,756    |  
|Other assets and deferred charges             |  |        | 21,658  |   |                       |   | 61,670  |                           |  |   | 4,768                         |   |  |              | 0        |   |  |   | 88,096    |  
|Intangibles, net of amortization and goodwill |  |        | 0       |   |                       |   | 42,885  |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 42,885    |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Total assets                                  |  | $      | 841,418 |   |                       | $ | 732,175 |                           |  | $ | 418,584                       |   |  | $            | (977,346 | ) |  | $ | 1,014,831 |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|LIABILITIES AND SHAREHOLDERS EQUITY          |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Accounts payable                              |  | $      | 21      |   |                       | $ | 54,286  |                           |  | $ | 32,718                        |   |  | $            | 0        |   |  | $ | 87,025    |  
|Accrued expenses                              |  |        | 12,417  |   |                       |   | 28,229  |                           |  |   | 15,925                        |   |  |              | 0        |   |  |   | 56,571    |  
|Dividends payable                             |  |        | 4,936   |   |                       |   | 0       |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 4,936     |  
|Book overdraft                                |  |        | 0       |   |                       |   | 2,994   |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 2,994     |  
|Amounts due to affiliated companies           |  |        | 114,961 |   |                       |   | 98,724  |                           |  |   | 122,544                       |   |  |              | (336,229 | ) |  |   | 0         |  
|Long-term debt, current portion               |  |        | 0       |   |                       |   | 3,357   |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 3,357     |  
|Income taxes payable                          |  |        | (11,593 | ) |                       |   | 23,757  |                           |  |   | 3,999                         |   |  |              | 0        |   |  |   | 16,163    |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Total current liabilities                     |  |        | 120,742 |   |                       |   | 211,347 |                           |  |   | 175,186                       |   |  |              | (336,229 | ) |  |   | 171,046   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Long-term debt                                |  |        | 150,000 |   |                       |   | 65,611  |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 215,611   |  
|Amounts due to affiliated companies           |  |        | 0       |   |                       |   | 7,500   |                           |  |   | 14,913                        |   |  |              | (22,413  | ) |  |   | 0         |  
|Other noncurrent liabilities                  |  |        | 96,959  |   |                       |   | 40,410  |                           |  |   | 17,088                        |   |  |              | 0        |   |  |   | 154,457   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Total liabilities                             |  |        | 367,701 |   |                       |   | 324,868 |                           |  |   | 207,187                       |   |  |              | (358,642 | ) |  |   | 541,114   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Shareholders equity:                         |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Common stock and paid-in capital              |  |        | 0       |   |                       |   | 386,206 |                           |  |   | 73,734                        |   |  |              | (459,940 | ) |  |   | 0         |  
|Accumulated other comprehensive loss          |  |        | (81,477 | ) |                       |   | (15,369 | )                         |  |   | (36,785                       | ) |  |              | 52,154   |   |  |   | (81,477   | )
|Retained earnings                             |  |        | 555,194 |   |                       |   | 36,470  |                           |  |   | 174,448                       |   |  |              | (210,918 | ) |  |   | 555,194   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Total shareholders equity                    |  |        | 473,717 |   |                       |   | 407,307 |                           |  |   | 211,397                       |   |  |              | (618,704 | ) |  |   | 473,717   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Total liabilities and shareholders equity    |  | $      | 841,418 |   |                       | $ | 732,175 |                           |  | $ | 418,584                       |   |  | $            | (977,346 | ) |  | $ | 1,014,831 |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  



26



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##### Table of Contents

NewMarket Corporation and Subsidiaries

Consolidating Balance Sheets

December 31, 2009

(in thousands)



|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|--------------------------------------------- |  | ------ | ------- | - | --------------------- | - | ------- | ------------------------- |  | - | ----------------------------- | - |  | ------------ | -------- | - |  | - | --------- | -
|                                              |  | Parent |         |   | GuarantorSubsidiaries |   |         | Non-GuarantorSubsidiaries |  |   | TotalConsolidatingAdjustments |   |  | Consolidated |         
|ASSETS                                        |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Cash and cash equivalents                     |  | $      | 40,008  |   |                       | $ | 62,203  |                           |  | $ | 49,620                        |   |  | $            | 0        |   |  | $ | 151,831   |  
|Short-term investments                        |  |        | 300     |   |                       |   | 0       |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 300       |  
|Trade and other accounts receivable, net      |  |        | 340     |   |                       |   | 99,724  |                           |  |   | 114,823                       |   |  |              | 0        |   |  |   | 214,887   |  
|Amounts due from affiliated companies         |  |        | 105,412 |   |                       |   | 32,333  |                           |  |   | 40,195                        |   |  |              | (177,940 | ) |  |   | 0         |  
|Inventories                                   |  |        | 0       |   |                       |   | 102,975 |                           |  |   | 89,928                        |   |  |              | 0        |   |  |   | 192,903   |  
|Deferred income taxes                         |  |        | 2,704   |   |                       |   | 950     |                           |  |   | 464                           |   |  |              | 0        |   |  |   | 4,118     |  
|Prepaid expenses and other current assets     |  |        | 5,182   |   |                       |   | 32,497  |                           |  |   | 1,421                         |   |  |              | 0        |   |  |   | 39,100    |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Total current assets                          |  |        | 153,946 |   |                       |   | 330,682 |                           |  |   | 296,451                       |   |  |              | (177,940 | ) |  |   | 603,139   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Amounts due from affiliated companies         |  |        | 0       |   |                       |   | 19,544  |                           |  |   | 7,500                         |   |  |              | (27,044  | ) |  |   | 0         |  
|Property, plant and equipment, at cost        |  |        | 0       |   |                       |   | 772,668 |                           |  |   | 161,714                       |   |  |              | 0        |   |  |   | 934,382   |  
|Less accumulated depreciation & amortization  |  |        | 0       |   |                       |   | 515,606 |                           |  |   | 116,361                       |   |  |              | 0        |   |  |   | 631,967   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Net property, plant and equipment             |  |        | 0       |   |                       |   | 257,062 |                           |  |   | 45,353                        |   |  |              | 0        |   |  |   | 302,415   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Investment in consolidated subsidiaries       |  |        | 511,948 |   |                       |   | 0       |                           |  |   | 0                             |   |  |              | (511,948 | ) |  |   | 0         |  
|Prepaid pension cost                          |  |        | 0       |   |                       |   | 0       |                           |  |   | 2,430                         |   |  |              | 0        |   |  |   | 2,430     |  
|Deferred income taxes                         |  |        | 35,882  |   |                       |   | (3,946  | )                         |  |   | 2,734                         |   |  |              | 0        |   |  |   | 34,670    |  
|Other assets and deferred charges             |  |        | 19,362  |   |                       |   | 16,668  |                           |  |   | 1,445                         |   |  |              | 0        |   |  |   | 37,475    |  
|Intangibles, net of amortization and goodwill |  |        | 0       |   |                       |   | 45,063  |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 45,063    |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Total assets                                  |  | $      | 721,138 |   |                       | $ | 665,073 |                           |  | $ | 355,913                       |   |  | $            | (716,932 | ) |  | $ | 1,025,192 |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|LIABILITIES AND SHAREHOLDERS EQUITY          |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Accounts payable                              |  | $      | 31      |   |                       | $ | 59,390  |                           |  | $ | 28,765                        |   |  | $            | 0        |   |  | $ | 88,186    |  
|Accrued expenses                              |  |        | 8,880   |   |                       |   | 41,201  |                           |  |   | 13,694                        |   |  |              | 0        |   |  |   | 63,775    |  
|Dividends payable                             |  |        | 4,992   |   |                       |   | 0       |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 4,992     |  
|Book overdraft                                |  |        | 0       |   |                       |   | 2,230   |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 2,230     |  
|Amounts due to affiliated companies           |  |        | 11,942  |   |                       |   | 107,999 |                           |  |   | 57,999                        |   |  |              | (177,940 | ) |  |   | 0         |  
|Long-term debt, current portion               |  |        | 0       |   |                       |   | 33,881  |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 33,881    |  
|Income taxes payable                          |  |        | (7,357  | ) |                       |   | 9,062   |                           |  |   | 3,283                         |   |  |              | 0        |   |  |   | 4,988     |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Total current liabilities                     |  |        | 18,488  |   |                       |   | 253,763 |                           |  |   | 103,741                       |   |  |              | (177,940 | ) |  |   | 198,052   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Long-term debt                                |  |        | 150,000 |   |                       |   | 66,200  |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 216,200   |  
|Amounts due to affiliated companies           |  |        | 0       |   |                       |   | 7,500   |                           |  |   | 19,544                        |   |  |              | (27,044  | ) |  |   | 0         |  
|Other noncurrent liabilities                  |  |        | 94,465  |   |                       |   | 40,654  |                           |  |   | 17,636                        |   |  |              | 0        |   |  |   | 152,755   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Total liabilities                             |  |        | 262,953 |   |                       |   | 368,117 |                           |  |   | 140,921                       |   |  |              | (204,984 | ) |  |   | 567,007   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Shareholders equity:                         |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Common stock and paid-in capital              |  |        | 275     |   |                       |   | 317,915 |                           |  |   | 75,779                        |   |  |              | (393,694 | ) |  |   | 275       |  
|Accumulated other comprehensive loss          |  |        | (74,784 | ) |                       |   | (16,032 | )                         |  |   | (32,390                       | ) |  |              | 48,422   |   |  |   | (74,784   | )
|Retained earnings (deficit)                   |  |        | 532,694 |   |                       |   | (4,927  | )                         |  |   | 171,603                       |   |  |              | (166,676 | ) |  |   | 532,694   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Total shareholders equity                    |  |        | 458,185 |   |                       |   | 296,956 |                           |  |   | 214,992                       |   |  |              | (511,948 | ) |  |   | 458,185   |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  
|Total liabilities and shareholders equity    |  | $      | 721,138 |   |                       | $ | 665,073 |                           |  | $ | 355,913                       |   |  | $            | (716,932 | ) |  | $ | 1,025,192 |  
|                                              |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |          |   |  |   |           |  



27



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##### Table of Contents

NewMarket Corporation and Subsidiaries

Condensed Consolidating Statements of Cash Flows

Three Months Ended March 31, 2010

(in thousands)



|                                                        |  |        |         |   |                       |   |          |                           |  |   |                               |   |  |              |          |   |  |   |         |  
|------------------------------------------------------- |  | ------ | ------- | - | --------------------- | - | -------- | ------------------------- |  | - | ----------------------------- | - |  | ------------ | -------- | - |  | - | ------- | -
|                                                        |  | Parent |         |   | GuarantorSubsidiaries |   |          | Non-GuarantorSubsidiaries |  |   | TotalConsolidatingAdjustments |   |  | Consolidated |         
|Cash (used in) provided from operating activities       |  | $      | (31,819 | ) |                       | $ | 62,853   |                           |  | $ | 11,762                        |   |  | $            | 0        |   |  | $ | 42,796  |  
|Cash flows from investing activities:                   |  |        |         |   |                       |   |          |                           |  |   |                               |   |  |              |          |   |  |   |         |  
|Capital expenditures                                    |  |        | 0       |   |                       |   | (3,347   | )                         |  |   | (1,284                        | ) |  |              | 0        |   |  |   | (4,631  | )
|Foundry Park I capital expenditures                     |  |        | 0       |   |                       |   | (2,046   | )                         |  |   | 0                             |   |  |              | 0        |   |  |   | (2,046  | )
|Acquisition of business                                 |  |        | 0       |   |                       |   | 0        |                           |  |   | (43,748                       | ) |  |              | 0        |   |  |   | (43,748 | )
|Deposits for interest rate swap                         |  |        | (6,840  | ) |                       |   | 0        |                           |  |   | 0                             |   |  |              | 0        |   |  |   | (6,840  | )
|Return of deposits for interest rate swap               |  |        | 4,210   |   |                       |   | 0        |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 4,210   |  
|Decrease in intercompany loans                          |  |        | 0       |   |                       |   | 5,846    |                           |  |   | 0                             |   |  |              | (5,846   | ) |  |   | 0       |  
|Net (increase) decrease in investment in subsidiaries   |  |        | (78,966 | ) |                       |   | 35,218   |                           |  |   | 43,748                        |   |  |              | 0        |   |  |   | 0       |  
|Cash dividends from subsidiaries                        |  |        | 95,336  |   |                       |   | 0        |                           |  |   | 0                             |   |  |              | (95,336  | ) |  |   | 0       |  
|                                                        |  |        |         |   |                       |   |          |                           |  |   |                               |   |  |              |          |   |  |   |         |  
|Cash provided from (used in) investing activities       |  |        | 13,740  |   |                       |   | 35,671   |                           |  |   | (1,284                        | ) |  |              | (101,182 | ) |  |   | (53,055 | )
|                                                        |  |        |         |   |                       |   |          |                           |  |   |                               |   |  |              |          |   |  |   |         |  
|Cash flows from financing activities:                   |  |        |         |   |                       |   |          |                           |  |   |                               |   |  |              |          |   |  |   |         |  
|Repayment of Foundry Park I construction loan           |  |        | 0       |   |                       |   | (99,102  | )                         |  |   | 0                             |   |  |              | 0        |   |  |   | (99,102 | )
|Borrowing under Foundry Park I mortgage loan            |  |        | 0       |   |                       |   | 68,400   |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 68,400  |  
|Repayment of Foundry Park I mortgage loan               |  |        | 0       |   |                       |   | (207     | )                         |  |   | 0                             |   |  |              | 0        |   |  |   | (207    | )
|Repurchases of common stock                             |  |        | (14,276 | ) |                       |   | 0        |                           |  |   | 0                             |   |  |              | 0        |   |  |   | (14,276 | )
|Dividends                                               |  |        | (5,641  | ) |                       |   | (95,336  | )                         |  |   | 0                             |   |  |              | 95,336   |   |  |   | (5,641  | )
|Change in book overdraft, net                           |  |        | 0       |   |                       |   | 764      |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 764     |  
|Payment for financed intangible asset                   |  |        | 0       |   |                       |   | (250     | )                         |  |   | 0                             |   |  |              | 0        |   |  |   | (250    | )
|Debt issuance costs  Foundry Park I                    |  |        | 0       |   |                       |   | (1,524   | )                         |  |   | 0                             |   |  |              | 0        |   |  |   | (1,524  | )
|Repayment of intercompany note payable                  |  |        | 0       |   |                       |   | 0        |                           |  |   | (5,846                        | ) |  |              | 5,846    |   |  |   | 0       |  
|Proceeds from exercise of stock options                 |  |        | 4       |   |                       |   | 0        |                           |  |   | 0                             |   |  |              | 0        |   |  |   | 4       |  
|Payments on capital leases                              |  |        | 0       |   |                       |   | (204     | )                         |  |   | 0                             |   |  |              | 0        |   |  |   | (204    | )
|                                                        |  |        |         |   |                       |   |          |                           |  |   |                               |   |  |              |          |   |  |   |         |  
|Cash used in financing activities                       |  |        | (19,913 | ) |                       |   | (127,459 | )                         |  |   | (5,846                        | ) |  |              | 101,182  |   |  |   | (52,036 | )
|                                                        |  |        |         |   |                       |   |          |                           |  |   |                               |   |  |              |          |   |  |   |         |  
|Effect of foreign exchange on cash and cash equivalents |  |        | 0       |   |                       |   | (225     | )                         |  |   | (1,340                        | ) |  |              | 0        |   |  |   | (1,565  | )
|                                                        |  |        |         |   |                       |   |          |                           |  |   |                               |   |  |              |          |   |  |   |         |  
|(Decrease) increase in cash and cash equivalents        |  |        | (37,992 | ) |                       |   | (29,160  | )                         |  |   | 3,292                         |   |  |              | 0        |   |  |   | (63,860 | )
|Cash and cash equivalents at beginning of year          |  |        | 40,008  |   |                       |   | 62,203   |                           |  |   | 49,620                        |   |  |              | 0        |   |  |   | 151,831 |  
|                                                        |  |        |         |   |                       |   |          |                           |  |   |                               |   |  |              |          |   |  |   |         |  
|Cash and cash equivalents at end of period              |  | $      | 2,016   |   |                       | $ | 33,043   |                           |  | $ | 52,912                        |   |  | $            | 0        |   |  | $ | 87,971  |  
|                                                        |  |        |         |   |                       |   |          |                           |  |   |                               |   |  |              |          |   |  |   |         |  



28



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##### Table of Contents

NewMarket Corporation and Subsidiaries

Condensed Consolidating Statements of Cash Flows

Three Months Ended March 31, 2009

(in thousands)



|                                                        |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |         |   |  |   |         |  
|------------------------------------------------------- |  | ------ | ------- | - | --------------------- | - | ------- | ------------------------- |  | - | ----------------------------- | - |  | ------------ | ------- | - |  | - | ------- | -
|                                                        |  | Parent |         |   | GuarantorSubsidiaries |   |         | Non-GuarantorSubsidiaries |  |   | TotalConsolidatingAdjustments |   |  | Consolidated |        
|Cash provided from operating activities                 |  | $      | 14,925  |   |                       | $ | 59,211  |                           |  | $ | 22,533                        |   |  | $            | 0       |   |  | $ | 96,669  |  
|                                                        |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |         |   |  |   |         |  
|Cash flows from investing activities:                   |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |         |   |  |   |         |  
|Capital expenditures                                    |  |        | 0       |   |                       |   | (6,873  | )                         |  |   | (1,321                        | ) |  |              | 0       |   |  |   | (8,194  | )
|Foundry Park I capital expenditures                     |  |        | 0       |   |                       |   | (7,111  | )                         |  |   | 0                             |   |  |              | 0       |   |  |   | (7,111  | )
|Deposits for interest rate lock agreement               |  |        | 0       |   |                       |   | (4,000  | )                         |  |   | 0                             |   |  |              | 0       |   |  |   | (4,000  | )
|Increase in intercompany loans                          |  |        | 0       |   |                       |   | 0       |                           |  |   | (12,899                       | ) |  |              | 12,899  |   |  |   | 0       |  
|Cash dividends from subsidiaries                        |  |        | 30,297  |   |                       |   | 0       |                           |  |   | 0                             |   |  |              | (30,297 | ) |  |   | 0       |  
|                                                        |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |         |   |  |   |         |  
|Cash provided from (used in) investing activities       |  |        | 30,297  |   |                       |   | (17,984 | )                         |  |   | (14,220                       | ) |  |              | (17,398 | ) |  |   | (19,305 | )
|                                                        |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |         |   |  |   |         |  
|Cash flows from financing activities:                   |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |         |   |  |   |         |  
|Draws on Foundry Park I construction loan               |  |        | 0       |   |                       |   | 6,545   |                           |  |   | 0                             |   |  |              | 0       |   |  |   | 6,545   |  
|Repayments under revolving credit agreement             |  |        | (41,900 | ) |                       |   | 0       |                           |  |   | 0                             |   |  |              | 0       |   |  |   | (41,900 | )
|Dividends                                               |  |        | (3,041  | ) |                       |   | (30,297 | )                         |  |   | 0                             |   |  |              | 30,297  |   |  |   | (3,041  | )
|Change in book overdraft, net                           |  |        | 0       |   |                       |   | 1,527   |                           |  |   | 0                             |   |  |              | 0       |   |  |   | 1,527   |  
|Payment for financed intangible asset                   |  |        | 0       |   |                       |   | (250    | )                         |  |   | 0                             |   |  |              | 0       |   |  |   | (250    | )
|Debt issuance costs                                     |  |        | (303    | ) |                       |   | 0       |                           |  |   | 0                             |   |  |              | 0       |   |  |   | (303    | )
|Increase in intercompany note payable                   |  |        | 0       |   |                       |   | 12,899  |                           |  |   | 0                             |   |  |              | (12,899 | ) |  |   | 0       |  
|Proceeds from exercise of stock options                 |  |        | 22      |   |                       |   | 0       |                           |  |   | 0                             |   |  |              | 0       |   |  |   | 22      |  
|Payments on capital leases                              |  |        | 0       |   |                       |   | (191    | )                         |  |   | 0                             |   |  |              | 0       |   |  |   | (191    | )
|                                                        |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |         |   |  |   |         |  
|Cash used in financing activities                       |  |        | (45,222 | ) |                       |   | (9,767  | )                         |  |   | 0                             |   |  |              | 17,398  |   |  |   | (37,591 | )
|                                                        |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |         |   |  |   |         |  
|Effect of foreign exchange on cash and cash equivalents |  |        | 0       |   |                       |   | (1,637  | )                         |  |   | (387                          | ) |  |              | 0       |   |  |   | (2,024  | )
|                                                        |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |         |   |  |   |         |  
|Increase in cash and cash equivalents                   |  |        | 0       |   |                       |   | 29,823  |                           |  |   | 7,926                         |   |  |              | 0       |   |  |   | 37,749  |  
|Cash and cash equivalents at beginning of year          |  |        | 0       |   |                       |   | 4,408   |                           |  |   | 17,353                        |   |  |              | 0       |   |  |   | 21,761  |  
|                                                        |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |         |   |  |   |         |  
|Cash and cash equivalents at end of period              |  | $      | 0       |   |                       |   | 34,231  |                           |  | $ | 25,279                        |   |  | $            | 0       |   |  | $ | 59,510  |  
|                                                        |  |        |         |   |                       |   |         |                           |  |   |                               |   |  |              |         |   |  |   |         |  



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##### Table of Contents

|15. | Subsequent Events
|--- | -----------------

On
April 22, 2010, our Board of Directors declared a quarterly dividend in the amount of 37.5 cents per share on our common stock. The dividend is payable July 1, 2010 to shareholders of record at the close of business on June 15, 2010.



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##### Table of Contents

|ITEM 2. | Managements Discussion and Analysis of Financial Condition and Results of Operations
|------- | -------------------------------------------------------------------------------------

Forward-Looking Statements

The following discussion contains forward-looking statements about future events and expectations within the meaning of the Private
Securities Litigation Reform Act of 1995. We have based these forward-looking statements on our current expectations and projections about future results. When we use words in this document, such as anticipates, intends,
plans, believes, estimates, expects, should, could, may, will, and similar expressions, we do so to identify forward-looking statements. Examples of
forward-looking statements include, but are not limited to, statements we make regarding future prospects of growth in the petroleum additives market, other trends in the petroleum additives market, our ability to maintain or increase our market
share, and our future capital expenditure levels.

We believe our forward-looking statements are based on reasonable
expectations and assumptions, within the bounds of what we know about our business and operations. However, we offer no assurance that actual results will not differ materially from our expectations due to uncertainties and factors that are
difficult to predict and beyond our control.

Factors that could cause actual results to differ materially from expectations
include, but are not limited to: availability of raw materials and transportation systems; ability to respond effectively to technological changes in our industry; supply disruptions at single-sourced facilities; failure to protect our
intellectual property rights; political, economic, and regulatory factors concerning our products; hazards common to chemical businesses; occurrence or threat of extraordinary events, including natural disasters and terrorist attacks; competition
from other manufacturers; sudden or sharp raw materials price increases; gain or loss of significant customers; risks related to operating outside of the United States; the impact of fluctuations in foreign exchange rates; future governmental
regulation; resolution of environmental liabilities or legal proceedings; inability to complete future acquisitions or successfully integrate future acquisitions into our business and other factors detailed from time to time in the reports that
NewMarket files with the Securities and Exchange Commission, including the risk factors in Item 1A, Risk Factors of our 2009 Annual Report, which is available to shareholders upon request.

You should keep in mind that any forward-looking statement made by us in this discussion or elsewhere speaks only as of the date on which
we make it. New risks and uncertainties arise from time to time, and it is impossible for us to predict these events or how they may affect us. We have no duty to, and do not intend to, update or revise the forward-looking statements in this
discussion after the date hereof, except as may be required by law. In light of these risks and uncertainties, you should keep in mind that the events described in any forward-looking statement, made in this discussion or elsewhere, might not occur.

Overview

Operations during the first three months of 2010 continued to generate strong results with operating profit in our petroleum additives
segment increasing significantly over the first three months of 2009. During the first three months of 2010, we acquired the Polartech business for $43.7 million, paid down our debt by $31.1 million, and repurchased $14.3 million of our common
stock. While our cash position decreased during the first three months of 2010 due to these transactions, our financial position remains strong with cash of $88.0 million. Further information on the Polartech acquisition is in Note 2.



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##### Table of Contents

Results of Operations

Revenue

Our consolidated revenue for the three months 2010 amounted to $395.1 million, representing an increase of approximately 17% from the 2009
first quarter level of $337.1 million. The table below shows our revenue by segment.

Consolidated Revenue by Segment

(in millions)



|                        |  |                            |       |      |   |      
|----------------------- |  | -------------------------- | ----- | ---- | - | -----
|                        |  | Three MonthsEnded March 31
|                        |  | 2010                       |       | 2009
|Petroleum additives     |  | $                          | 389.3 |      | $ | 334.8
|Real estate development |  |                            | 2.9   |      |   | 0.0  
|All other               |  |                            | 2.9   |      |   | 2.3  
|                        |  |                            |       |      |   |      
|Consolidated revenue    |  | $                          | 395.1 |      | $ | 337.1
|                        |  |                            |       |      |   |      

Petroleum Additives Segment

Petroleum additives net sales for the first three months 2010 of $389.3 million increased $54.5 million, or approximately 16%, from $334.8
million for the first three months 2009. The increase in sales reflects higher total product shipments of 21%. Product shipments were especially weak for the first two months of 2009, but are now at a level which we consider more normal. The
increase in product shipments was predominantly in the lubricant additives product lines, with a small decrease in fuel additives product line shipments. Also, impacting the increase in net sales between 2010 and 2009 for the three months periods
was favorable foreign currency of approximately $5 million. This favorable impact from foreign exchange reflects the weakening of the U.S. Dollar between the two first three months periods versus the other currencies in which we conduct
business. Partially offsetting the favorable impacts from higher product shipments and foreign currency, were lower selling prices when comparing the 2010 and 2009 first three months periods.

The table below details the approximate components, in millions, of the increase between the first three months 2010 and 2009 periods.



|                                                              |  |   |       |  
|------------------------------------------------------------- |  | - | ----- | -
|Period ended March 31, 2009                                   |  | $ | 334.8 |  
|Increase in shipments, including changes in product mix       |  |   | 76.0  |  
|Decrease in selling prices, including changes in customer mix |  |   | (26.7 | )
|Increase due to foreign currency                              |  |   | 5.2   |  
|                                                              |  |   |       |  
|Period ended March 31, 2010                                   |  | $ | 389.3 |  
|                                                              |  |   |       |  



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##### Table of Contents

Real Estate Development Segment

The revenue of $2.9 million for the real estate development segment represents the rental for the office building which was constructed by
Foundry Park I. The building was completed in late 2009 and we began recognizing rental revenue in January 2010.

All
Other

The All other category includes the operations of the TEL business (primarily sales of TEL in North
America) and certain contract manufacturing that Ethyl provides to Afton and to third parties.

Segment Operating
Profit

NewMarket evaluates the performance of the petroleum additives business and the real estate development
business based on segment operating profit. NewMarket Services Corporation (NewMarket Services) departments and other expenses are charged to NewMarket and each subsidiary pursuant to service agreements between the companies. Depreciation on segment
property, plant, and equipment, as well as amortization of segment intangible assets is included in segment operating profit.

The table below reports segment operating profit for the three months ended March 31, 2010 and March 31, 2009.

Segment Operating Profit

(in millions)



|                        |  |                            |      |      |   |      |  
|----------------------- |  | -------------------------- | ---- | ---- | - | ---- | -
|                        |  | Three Months EndedMarch 31 |     
|                        |  | 2010                       |      | 2009 |  
|Petroleum additives     |  | $                          | 70.4 |      | $ | 50.1 |  
|                        |  |                            |      |      |   |      |  
|Real estate development |  | $                          | 1.8  |      | $ | (0.2 | )
|                        |  |                            |      |      |   |      |  
|All other               |  | $                          | 0.9  |      | $ | (0.5 | )
|                        |  |                            |      |      |   |      |  

Petroleum Additives Segment

The petroleum additives operating profit increased $20.3 million when comparing three months 2010 to three months 2009. The operating
profit margin was 18.1% for the 2010 period and 15.0% for the 2009 period. The three months 2010 results are significantly higher across the lubricant additives product lines, but lower in the fuel additives product lines.

The most significant factor when comparing operating profit and the operating profit margins between three months 2010 and three months
2009 was increased product shipments, which is discussed in the Revenue section above. Lower selling prices, resulting from selling price reductions during the latter part of 2009, partially offset the significantly higher product shipments. Despite
the lower selling prices, beginning in late 2009, we are experiencing higher raw material costs and tightening in the availability of certain raw materials. Foreign currency had a minimal unfavorable impact on operating profit between 2010 and 2009
of approximately $1 million. Finally, our selling, general, and administrative expenses (SG&A), as well as research, development, and testing expenses (R&D), were approximately $6.7 million higher for three months 2010 as compared to three
months 2009.



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##### Table of Contents

SG&A increased approximately $4.4 million or 21% for three months 2010 compared to three
months 2009 and was primarily the result of higher personnel-related costs and professional fees. R&D increased approximately $2.3 million or 12% when compared to the same 2009 period. The increase in R&D was across the lubricant additives
product lines, which was partially offset by a small reduction in the fuel additives product lines. The increase in combined SG&A and R&D included an approximate $2.0 million unfavorable foreign currency impact. We continue to invest in
SG&A and R&D to support our customers programs and to develop the technology required to remain a leader in this industry.

Real Estate Development Segment

Operating profit for the real estate development segment was $1.8 million for three months 2010, compared to an operating loss of $200
thousand for three months 2009. During 2009, the office building was under construction resulting in no rental revenue and limited non-capital expenses.

The following discussion references the Consolidated Financial Statements beginning on page 3 of this Quarterly Report on Form 10-Q.

Interest and Financing Expenses

Interest and financing expenses were $3.9 million for three months 2010 and $2.9 million for three months 2009. The increase in interest
and financing expenses between 2010 and 2009 was primarily related to the mortgage loan on the Foundry Park I office building. Prior to obtaining the mortgage loan in January 2010, the interest and financing expenses for the construction phase of
the office building were capitalized.

Other Expense, Net

Other expense, net for three months 2010 was $2.3 million, while three months 2009 was $80 thousand. The 2010 amount is primarily a loss
on a derivative instrument representing an interest rate swap recorded at fair value, which we entered into on June 25, 2009. See Note 10 for additional information on the interest rate swap.

Income Tax Expense

Income tax expense was $20.4 million for three months 2010 and $14.3 million for three months 2009. The effective tax rate was 32.6% for
three months 2010 and 33.3% for three months 2009. The increase in income before income tax expense resulted in an increase of $6.5 million in income taxes, while the lower effective tax rate in 2010 as compared to 2009 resulted in a decrease of
approximately $400 thousand in income taxes when comparing the three months 2010 and 2009 periods.

Cash Flows, Financial
Condition, and Liquidity

Cash and cash equivalents at March 31, 2010 were $88.0 million, which was a decrease of
$63.9 million since December 31, 2009 and included a $1.6 million unfavorable impact from foreign currency translation.

We expect that cash from operations, together with borrowing available under our revolving credit facility, will continue to be sufficient
to cover our operating expenses for the foreseeable future.



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##### Table of Contents

Cash Flows  Operating Activities

Cash flows provided from operating activities for the three months 2010 were $42.8 million and included a decrease of $10.9 million from
working capital, including higher income taxes payable, partially offset by higher inventories and lower accrued expenses. The increase in income taxes payable is due to higher earnings levels, as well as the timing of estimated income tax payments
when comparing December 31, 2009 and March 31, 2010. The increase in inventories reflects increased costs, as well as increased quantities at certain locations to respond to demand for our products. The decrease in accrued expenses
reflects payments related to personnel costs, customer rebates, and retainage on the Foundry Park I office building.

Including
cash and the current portion of long-term debt, we had working capital of $373.8 million at March 31, 2010 and $405.1 million at December 31, 2009. The current ratio was 3.19 to 1 at March 31, 2010 and 3.05 to 1 at December 31,
2009. In addition to the working capital factors discussed above, the change in the current portion of long-term debt had a significant effect on working capital levels due to the refinancing of the construction loan in January 2010, resulting in a
decrease in the amount of long-term debt being due within one year.

Cash Flows  Investing Activities

Cash used in investing activities was $53.1 million during three months 2010 and included $43.7 million related to the acquisition of
Polartech, as well as $6.7 million for capital expenditures and a net deposit of $2.6 million related to the Goldman Sachs interest rate swap. Further information on the interest rate swap is discussed below and in Note 10. We estimate our total
capital spending during 2010 will be approximately $40 million. We expect to continue to finance capital spending through cash on hand and cash provided from operations, together with borrowing available under our revolving credit facility.

Cash Flows  Financing Activities

Cash used in financing activities during three months 2010 amounted to $52.0 million, including the repayment of $99.1 million for the
Foundry Park I construction loan and borrowing of $68.4 million for the Foundry Park I mortgage loan. In addition, the use of cash included the repurchase of common stock of $14.3 million and funding of dividends of $5.6 million, as well as debt
issuance costs of $1.5 million.

We had total long-term debt, including the current portion, of $219.0 million at
March 31, 2010, representing a decrease of approximately $31.1 million in our total debt since December 31, 2009. The decrease resulted from the payment of the outstanding balance of $99.1 million under the construction loan agreement with
proceeds of $68.4 million from the Foundry Park I mortgage loan agreement and cash on hand. We made principal payments of approximately $200 thousand on the mortgage loan, as well as $200 thousand on capital leases.

In addition to the Foundry Park I mortgage loan which is discussed below, at March 31, 2010, we had outstanding senior notes in the
aggregate principal amount of $150 million that bear interest at a fixed rate of 7.125% and are due in 2016.

At March 31,
2010, we also had a $150 million revolving credit facility for working capital and other general corporate purposes for NewMarket and our subsidiaries, inclusive of a $75 million sub-facility for letters of credit. Borrowings bear interest at
variable rates. The facility matures on December 21, 2011. At March 31, 2010, we had no outstanding borrowings under the revolving credit facility. We had outstanding letters of credit of $13.1 million at March 31, 2010, resulting in
the unused portion of the revolver amounting to $136.9 million.



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##### Table of Contents

Both the senior notes and the revolving credit facility contain covenants, representations,
and events of default that management considers typical of credit agreements of this nature. We were in compliance with all covenants under both the senior notes and the revolving credit facility as of both March 31, 2010 and December 31,
2009.

The more restrictive and significant of the covenants under the senior notes include a minimum fixed charge ratio of
2.00, as well as a limitation on restricted payments, as defined in the agreement. Our fixed charge coverage ratio was 22.69 at March 31, 2010 and 22.62 at December 31, 2009 under the senior notes. In addition, we would have been permitted
to make additional restricted payments in the amount of approximately $85 million at March 31, 2010 and $84 million at December 31, 2009 under the senior notes.

The more restrictive and significant financial covenants under the revolving credit facility include:



| |  |  | Minimum consolidated net worth as defined in Section 6.3 of the Second Amended and Restated Credit Agreement;
| | - |  | -------------------------------------------------------------------------------------------------------------



| |  |  | A minimum fixed charge coverage ratio of 1.15; and
| | - |  | --------------------------------------------------



| |  |  | A maximum leverage ratio of 3.50.
| | - |  | ---------------------------------

Our consolidated net worth, as defined, exceeded the minimum requirement under the senior credit facility by approximately $104 million at
March 31, 2010 and approximately $102 million at December 31, 2009. Also at March 31, 2010, the fixed charge coverage ratio was 5.93 and the leverage ratio was 0.78, while at December 31, 2009 the fixed charge coverage ratio was
5.43 and the leverage ratio was 0.91.

As a percentage of total capitalization (total debt and shareholders equity), our
total debt percentage decreased from 35.3% at the end of 2009 to 31.6% at March 31, 2010. The change in the percentage was primarily the result of the decrease in debt, as well as an increase in shareholders equity. The increase in
shareholders equity reflects our earnings, partially offset by the impact of dividend payments and the repurchase of our common stock. Normally, we repay any outstanding long-term debt with cash from operations or refinancing activities.

Foundry Park I Mortgage Loan Agreement and Interest Rate Swap

On January 28, 2010 Foundry Park I entered into a mortgage loan agreement in the amount of $68.4 million. The loan, which is
collateralized by the Foundry Park I office building, is for a period of five years, with two thirteen-month extension options. NewMarket Corporation is fully guaranteeing the loan. The mortgage loan bears interest at a variable rate of LIBOR plus a
margin of 400 basis points, with a minimum LIBOR of 200 basis points. Concurrently with the closing of the mortgage loan, Foundry Park I obtained an interest rate swap to effectively convert the variable interest rate of the loan to a fixed interest
rate by setting LIBOR at 2.642 for five years. The interest rate swap is discussed in Note 10. Principal payments on the loan are being made monthly based on a 15-year amortization schedule, with all remaining amounts due in five years, unless we
exercise the extension options.

Interest Rate Lock Agreement and Goldman Sachs Interest Rate Swap

We financed the construction loan for the Foundry Park I project to construct an office building for MeadWestvaco through a group of
banks. Prior to commencing construction, we took actions to identify the possible permanent lending source after construction. To that end, Foundry Park I entered into an Application with Principal dated February 26, 2007 which outlined the
terms and conditions under which Principal would provide permanent, fixed-rate financing in the maximum amount of $116,000,000 amortized over 25 years



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with all amounts due 13.5 years after the date of the loan. The Application was not a loan commitment due to the then lengthy time period of thirty-four months until the completion of the
building. In order to obtain a fixed-rate loan, we entered into a rate lock agreement with Principal dated February 26, 2007. Principal simultaneously entered into a hedge with a third party based mainly on the forward rates of ten-year
Treasuries. We were not a party to that hedging agreement. Under the rate lock agreement, we agreed to post a deposit with Principal and to increase the amount of that deposit if the exposure to Principal on their hedge increased.

In June 2009, Principal and Foundry Park I determined that the loan terms set forth in the Application could not be syndicated based on
then current market conditions. As a result, Principal and Foundry Park I terminated the loan application and related rate lock agreement and mutually released each other from their respective rights and obligations under those arrangements. See
Note 10 for additional information on the termination of the rate lock agreement and subsequent entry into an interest rate swap with Goldman Sachs related to the Foundry Park I project. All amounts which we had deposited with Principal under the
rate lock agreement have effectively been returned to us at the termination of the rate lock agreement as Principal transferred the deposited funds to Goldman Sachs as collateral for the interest rate swap related to the Foundry Park I project.

Other Matters

In March 2010, the Patient Protection and Affordable Care Act was signed into law, as was a related reconciliation bill. Included in the
provisions of the laws are changes to the taxation related to the federal subsidy available to companies that provide retiree healthcare benefit plans that include a benefit that is at least actuarially equivalent to the benefits of Medicare Part D.
Our retiree medical plan does include a drug subsidy benefit that is actuarially equivalent to Medicare Part D. However, we are not impacted by the changes in the taxation of the federal subsidy, as we assigned the subsidy to our insurance provider
several years ago in consideration of premium determination. At the time we assigned the benefit to our insurance provider, we adjusted our deferred taxes accordingly. We are currently evaluating the provisions of the law and its impact on our
company, but have made no adjustments to our financial statements as a result of the law.

Critical Accounting
Policies

This report, as well as the 2009 Annual Report, includes a discussion of our accounting principles, as well
as methods and estimates used in the preparation of our financial statements. We believe these discussions and financial statements fairly represent the financial position and operating results of our company in all material respects. The purpose of
this portion of our discussion is to further emphasize some of the more critical areas where a significant change in facts and circumstances in our operating and financial environment might cause a change in reported financial results.

Intangibles, Net of Amortization and Goodwill

We have certain identifiable intangibles, as well as goodwill, amounting to $42.9 million at March 31, 2010. These intangibles relate
to our petroleum additives business and, except for the goodwill, are being amortized over periods with up to approximately nineteen years of remaining life. We continue to assess the market related to these intangibles, as well as their specific
values, and have concluded the values and amortization periods are appropriate. We also evaluate these intangibles for any potential impairment when significant events or circumstances occur that might impair the value of these assets. These
evaluations continue to support the value at which these identifiable intangibles are carried on our financial statements. However, if conditions were to substantially deteriorate in this market, it could possibly cause a reduction in the periods of
the amortization charge or result in a noncash write-off of a portion of the intangibles carrying value. A reduction in the amortization period would have no effect on cash flows. We do not anticipate such a change in the market conditions.



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Environmental and Legal Proceedings

We believe our environmental accruals are appropriate for the exposures and regulatory guidelines under which we currently operate. While
we currently do not anticipate significant changes to the many factors that could impact our environmental requirements, we continue to keep our accruals consistent with these requirements as they change.

While it is not possible to predict or determine with certainty the outcome of any legal proceeding, it is our opinion, based on our
current knowledge, that we will not experience materially adverse effects on our results of operations or financial condition as a result of any pending or threatened proceeding.

Pension Plans and Other Postretirement Benefits

We use assumptions to record the impact of the pension and postretirement plans in the financial statements. These assumptions include the
discount rate, expected long-term rate of return on plan assets, rate of compensation increase, and health care cost trend rate. A change in any one of these assumptions could result in different results for the plans. We develop these assumptions
after considering available information that we deem relevant. Information is provided on the pension and postretirement plans in Note 20 of the 2009 Annual Report. In addition, further disclosure on the effect of changes in these assumptions is
provided in the Financial Position and Liquidity section of Part II, Item 7 of the 2009 Annual Report.

Income Taxes

We file consolidated U.S. federal income and both consolidated and individual state income tax returns, as well as individual foreign
income tax returns, under which assumptions may be made to determine the deductibility of certain costs. We make estimates related to the impact of tax positions taken on our financial statements when we believe the tax position is more likely than
not to be upheld on audit. In addition, we make certain assumptions in the determination of the estimated future recovery of deferred tax assets.

Recently Issued Accounting Pronouncements

For a full discussion of the more significant pronouncements which may impact our financial statements, see Note 13.

Outlook

We are very pleased with the performance of our businesses during the first quarter. We began the year with solid results built upon a
diverse product offering, customer base, and geographical presence. Our margins are good, and, while we are experiencing higher raw material cost, we have demonstrated our ability in recent years to adjust our prices to compensate for increases in
raw material costs. We believe the overall demand for petroleum additive products is rebounding as the worldwide economic turmoil appears to be abating. Our technology is strong, and we are well-positioned to help our customers transition to GF-5,
the new passenger car motor oil specification that is being introduced in North America later this year. Our project to expand our supply chain capabilities in the Far East is on schedule, and we should begin shipping from that location later this
year. We expect to continue to perform well for the remainder of the year, subject to the normal fluctuations associated with this business.



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While we will be integrating Polartech into our business this year, we continue to have
acquisitions as the highest priority for the use of our cash and borrowing capacity. Our primary focus for acquisitions remains in the petroleum additives industry, as we believe this will have the highest probability for success. Within petroleum
additives, industrial lubricant additives and fuel additives are our main focus. We will also continue to evaluate alternative uses of our cash to enhance shareholder value, including stock repurchases and dividends.



|ITEM 3. | Quantitative and Qualitative Disclosures About Market Risk
|------- | ----------------------------------------------------------

Other than obtaining a mortgage loan and the entry into a related interest rate swap, there have been no significant changes in our market
risk from the information provided in the 2009 Annual Report.

On January 28, 2010, Foundry Park I entered into a mortgage
loan agreement in the amount of $68.4 million, which bears interest at a variable rate of LIBOR plus a margin of 400 basis points. Concurrently with the closing of the mortgage loan, Foundry Park I obtained an interest rate swap to effectively
convert the variable interest rate of the loan to a fixed interest rate by setting LIBOR at 2.642 for five years. Accordingly, in combination, there is no interest rate risk associated with the mortgage loan and related interest rate swap, other
than the change in the value of the interest rate swap due to changes in the yield curve. Any change in fair value is recognized immediately in accumulated other comprehensive income, to the degree of effectiveness of the swap. With other variables
held constant, a hypothetical 50 basis point adverse parallel shift in the LIBOR yield curve would have resulted in an increase of approximately $1 million in the fair value liability of the mortgage loan interest rate swap at March 31, 2010.



|ITEM 4. | Controls and Procedures
|------- | -----------------------

Evaluation of Disclosure Controls and Procedures

We maintain a system of internal control over financial reporting to provide reasonable, but not absolute, assurance of the reliability of
the financial records and the protection of assets. Our controls and procedures include written policies and procedures, careful selection and training of qualified personnel, and an internal audit program. We use a third-party firm, separate from
our independent registered public accounting firm, to assist with internal audit services.

We work closely with the business
groups, operations personnel, and information technology to ensure transactions are recorded properly. Environmental and legal staff are consulted to determine the appropriateness of our environmental and legal liabilities for each reporting period.
We regularly review the regulations and rule changes that affect our financial disclosures.

Our disclosure control procedures
include signed representation letters from our regional officers, as well as senior management.

We have formed a Financial
Disclosure Committee, which is made up of the president of Afton, the general counsel of NewMarket, and the controller of NewMarket. The committee, as well as regional management, makes representations with regard to the financial statements that,
to the best of their knowledge, the report does not contain any misstatement of a material fact or omit a material fact that is necessary to make the statements not misleading with respect to the periods covered by the report.

The committee and the regional management also represent, to the best of their knowledge, that the financial statements and other
financial information included in the report fairly present, in all material respects, the financial condition, results of operations and cash flows of the company as of and for the periods presented in the report.



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Pursuant to Rule 13a-15(b) under the Securities Exchange Act of 1934 (the Exchange Act), we
carried out an evaluation, with the participation of our management, including our principal executive officer and our principal financial officer, of the effectiveness of our disclosure controls and procedures (as defined under Rule 13a-15(e))
under the Exchange Act as of the end of the period covered by this report. Based upon that evaluation, our principal executive officer and our principal financial officer concluded that our disclosure controls and procedures are effective.

There has been no change in our internal control over financial reporting, as such term is defined in Rule 13a-15(f) under the
Exchange Act, during the quarter ended March 31, 2010, that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.



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PART II  OTHER INFORMATION



|ITEM 1. | Legal Proceedings
|------- | -----------------

We are involved in legal proceedings that are incidental to our business and include administrative or judicial actions seeking
remediation under environmental laws, such as Superfund. Some of these legal proceedings relate to environmental matters and involve governmental authorities. For further information, see Environmental in Part I, Item 1 of our 2009
Annual Report.

While it is not possible to predict or determine with certainty the outcome of any legal proceeding, we believe
the outcome of any of these proceedings, or all of them combined, will not result in a material adverse effect on our consolidated financial condition or results of operations.



|ITEM 2. | Unregistered Sales of Equity Securities and Use of Proceeds
|------- | -----------------------------------------------------------

On July 31, 2008, our Board of Directors approved a share repurchase program that authorized management to repurchase up to $100
million of NewMarket Corporations outstanding common stock until December 31, 2010, as market conditions warrant and covenants under our existing agreements permit. We may conduct the share repurchases in the open market and in privately
negotiated transactions. The repurchase program does not require NewMarket to acquire any specific number of shares and may be terminated or suspended at any time. Approximately $65.7 million remains available under the authorization at
March 31, 2010. The following table outlines the purchases during the first quarter 2010 under this authorization.

ISSUER PURCHASES OF EQUITY SECURITIES



|                          |  |                                |  |                             |       |                                                                            |         |                                                                                    |   |           
|------------------------- |  | ------------------------------ |  | --------------------------- | ----- | -------------------------------------------------------------------------- | ------- | ---------------------------------------------------------------------------------- | - | ----------
|Period                    |  | Total Numberof SharesPurchased |  | Average PricePaid per Share |       | Total Numberof SharesPurchased asPart of PubliclyAnnouncedPlans orPrograms |         | ApproximateDollar Value ofShares thatMay Yet
BePurchasedUnder the Plansor Programs
|January 1 to January 31   |  | 0                              |  |                             | n/a   |                                                                            | n/a     |                                                                                    | $ | 80,000,069
|February 1 to February 28 |  | 168,250                        |  | $                           | 84.69 |                                                                            | 168,250 |                                                                                    | $ | 65,750,864
|March 1 to March 31       |  | 299                            |  | $                           | 88.03 |                                                                            | 299     |                                                                                    | $ | 65,724,543
|Total                     |  | 168,549                        |  | $                           | 84.70 |                                                                            | 168,549 |                                                                                    | $ | 65,724,543



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|ITEM 6. | Exhibits
|------- | --------



|             |  |                                                                                                                                                                                                                                                                                                                                        
|------------ |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|Exhibit 3.1  |  | Articles of Incorporation (incorporated by reference to Exhibit 3.1 to Form 10-K (File No. 1-32190) filed March 14, 2005)                                                                                                                                                                                                              
|             | 
|Exhibit 3.2  |  | NewMarket Corporation Bylaws Amended and Restated effective April 23, 2009 (incorporated by reference to Exhibit 3.1 to Form 8-K (File No. 1-32190) filed February 23,
2009)                                                                                                                                                           
|             | 
|Exhibit 4.1  |  | Second Supplemental Indenture, dated as of March 19, 2010, among NewMarket Corporation, Polartech Additives, Inc., and Wells Fargo Bank, N.A., as trustee                                                                                                                                                                              
|             | 
|Exhibit 10.1 |  | Loan Agreement, dated as of January 28, 2010, among the Foundry Park I, LLC, as Borrower, PB (USA) Realty Corporation, as Lender, and PB Capital Corporation, as Administrative Agent
(incorporated by reference to Exhibit 10.1 to Form 8-K (File No. 1-32190) filed February 4, 2010)                                                
|             | 
|Exhibit 10.2 |  | Note, dated January 28, 2010, among the Foundry Park I, LLC, as Borrower, PB (USA) Realty Corporation, as Lender, and PB Capital Corporation, as Administrative Agent (incorporated
by reference to Exhibit 10.2 to Form 8-K (File No. 1-32190) filed February 4, 2010)                                                                
|             | 
|Exhibit 10.3 |  | Deed of Trust, Assignment of Leases and Rents and Security Agreements, dated January 28, 2010, among the Foundry Park I, LLC, as Borrower, PB (USA) Realty Corporation, as Lender,
and PB Capital Corporation as Administrative Agent (incorporated by reference to Exhibit 10.3 to Form 8-K (File No. 1-32190) filed February 4, 2010)
|             | 
|Exhibit 10.4 |  | Assignment of Leases and Rents, dated January 28, 2010, between Foundry Park I, LLC and PB Capital Corporation, as Administrative Agent (incorporated by reference to Exhibit 10.4 to
Form 8-K (File No. 1-32190) filed February 4, 2010)                                                                                              
|             | 
|Exhibit 10.5 |  | Guaranty of Payment  Deed of Trust Loan, dated January 28, 2010, among the Foundry Park I, LLC, as Borrower, PB (USA) Realty Corporation, as Lender, and PB Capital
Corporation, as Administrative Agent (incorporated by reference to Exhibit 10.5 to Form 8-K (File No. 1-32190) filed February 4, 2010)                            
|             | 
|Exhibit 10.6 |  | Indemnity Agreement, dated January 29, 2010, between PB Capital Corporation and Foundry Park I, LLC (incorporated by reference to Exhibit 10.6 to Form 8-K (File No. 1-32190) filed
February 4, 2010)                                                                                                                                  
|             | 
|Exhibit 10.7 |  | International Swaps and Derivatives Association, Inc. 2002 Master Agreement dated as of January 29, 2010, between PB Capital Corporation and Foundry Park I, LLC (incorporated by
reference to Exhibit 10.7 to Form 8-K (File No. 1-32190) filed February 4, 2010)                                                                     



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|              |  |                                                                                                                                                                                                                                                                                   
|------------- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|              | 
|Exhibit 10.8  |  | International Swaps and Derivatives Association, Inc. Schedule to the 2002 Master Agreement dated as of January 29, 2010, between PB Capital Corporation and Foundry Park I, LLC
(incorporated by reference to Exhibit 10.8 to Form 8-K (File No. 1-32190) filed February 4, 2010)
|              | 
|Exhibit 10.9  |  | Swap Transaction Confirmation dated January 29, 2010 (incorporated by reference to Exhibit 10.9 to Form 8-K (File No. 1-32190) filed February 4, 2010)                                                                                                                            
|              | 
|Exhibit 31(a) |  | Certification pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 by Thomas E.
Gottwald                                                                                                    
|              | 
|Exhibit 31(b) |  | Certification pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 by David A.
Fiorenza                                                                                                     
|              | 
|Exhibit 32(a) |  | Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 by Thomas E. Gottwald                                                                                                                                      
|              | 
|Exhibit 32(b) |  | Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 by David A. Fiorenza                                                                                                                                       



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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its
behalf by the undersigned thereunto duly authorized.



|                     |  |  |  |                                    |  |                                                                             
|-------------------- |  |  |  | ---------------------------------- |  | ----------------------------------------------------------------------------
|                     |  |  |  | NEWMARKET CORPORATION (Registrant)
|                     |  |  | 
|Date: April 28, 2010 |  |  |  | By:                                |  | /s/    D. A. FIORENZA                                                       
|                     |  |  |  |                                    |  | David A. Fiorenza
Vice President and
Treasurer
(Principal Financial Officer)
|                     |  |  | 
|Date: April 28, 2010 |  |  |  | By:                                |  | /s/    WAYNE C. DRINKWATER                                                  
|                     |  |  |  |                                    |  | Wayne C. Drinkwater
Controller
(Principal Accounting Officer)               



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EXHIBIT INDEX



|              |  |                                                                                                                                                                               
|------------- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|              | 
|Exhibit 4.1   |  | Second Supplemental Indenture, dated as of March 19, 2010, among NewMarket Corporation, Polartech Additives, Inc., and Wells Fargo Bank, N.A., as trustee                     
|              | 
|Exhibit 31(a) |  | Certification pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 by Thomas E.
Gottwald
|              | 
|Exhibit 31(b) |  | Certification pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 by David A.
Fiorenza 
|              | 
|Exhibit 32(a) |  | Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 by Thomas E. Gottwald                                  
|              | 
|Exhibit 32(b) |  | Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 by David A. Fiorenza                                   



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