Ad-hoc Disclosure - Wacker Chemie AG


Ad-hoc Disclosure

Ad-hoc disclosure of June 28, 2006

Munich/Burghausen, Jun 28, 2006

Ad hoc disclosure according to Sec. 15 WpHG (German Securities Trading Act) of June 28, 2006

Wacker Chemie AG / strategic decisions / expansion of production capacities

WACKER continues expansion of Polysilicon production at its Burghausen site

Wacker Chemie AG plans to expand its polysilicon production in Burghausen by 4,500 metric tons per year to a total of 14,500 metric tons by the end of 2009. The company made this decision today. As announced earlier, expansion activities already underway are scheduled to grow WACKER’s nominal annual production capacity from the present 5,500 metric tons of polysilicon to some 10,000 metric tons from early 2008. First material for sale from the new, so-called “capacity expansion stage 7” is expected to be available in Q4 2008. The new plant is scheduled to reach full capacity by the end of 2009. WACKER has earmarked capital expenditures of around €300 million for this project.

Through this expansion, WACKER aims to meet the growing global demand for hyperpure polycrystalline silicon expected by the company. Being currently the second largest global producer of polysilicon, WACKER is striving for market leadership in this segment. WACKER sees ongoing growth of the polysilicon demand in the electronics industry in the high single digit percentage annually during the next four years and an even faster increase in demand in the rapidly developing solar sector.

Contact

Wacker Chemie AG
Hanns-Seidel-Platz 4
D-81737 München

Jörg Hoffmann
Tel. +49 89 6279-1633
Email

Additional Information

ISIN: DE000WCH8881
WKN: WCH888
Deutsche Boerse: WCH
Ticker Bloomberg CHM/WCK.GR
Ticker Reuters CHE/WCHG.DE
Listing: Frankfurt Stock Exchange (Frankfurter Wertpapierbörse), Official Market (Prime Standard)

Disclaimer:

This ad hoc-release contains forward looking statements based on assumptions and estimates of WACKER's Executive Board. Although we assume the expectations in these forward looking statements are realistic, we cannot guarantee they will prove to be correct. The assumptions may harbor risks and uncertainties that may cause the actual figures to differ considerably from the forward looking statements. Factors that may cause such discrepancies include, among other things, changes in the economic and business environment, variations in exchange and interest rates, the introduction of competing products, lack of acceptance for new products or services, and changes in corporate strategy. WACKER does not plan to update the forward looking statements, nor does it assume an obligation to do so.