Financial Statements

Bayer Group Consolidated Income Statements

	2nd Quarter 2008	2nd Quarter 2009	1st Half 2008	1st Half 2009
	€ million	€ million	€ million	€ million
Net sales	8,511	8,009	17,047	15,904
Cost of goods sold	(4,256)	(3,794)	(8,359)	(7,580)
Gross profit	4,255	4,215	8,688	8,324

Selling expenses	(2,034)	(2,033)	(3,936)	(3,993)
Research and development expenses	(648)	(663)	(1,281)	(1,320)
General administration expenses	(439)	(404)	(858)	(806)
Other operating income	563	412	850	546
Other operating expenses	(592)	(506)	(1,015)	(757)
Operating result [EBIT]	1,105	1,021	2,448	1,994

Equity-method loss	(13)	(13)	(23)	(26)
Non-operating income	161	195	289	478
Non-operating expenses	(410)	(474)	(803)	(1,078)
Non-operating result	(262)	(292)	(537)	(626)

Income before income taxes	843	729	1,911	1,368

Income taxes	(262)	(199)	(568)	(414)

Income from continuing operations after taxes	581	530	1,343	954

Income from discontinued operations after taxes	0	0	0	0

Income after taxes	581	530	1,343	954
of which attributable to non-controlling interest	7	(2)	7	(3)
of which attributable to Bayer AG stockholders (net income)	574	532	1,336	957

	€	€	€	€
Earnings per share

From continuing operations
Basic *	0.73	0.67	1.69	1.22
Diluted *	0.73	0.67	1.69	1.22

From discontinued operations
Basic *	0.00	0.00	0.00	0.00
Diluted *	0.00	0.00	0.00	0.00

From continuing and discontinued operations
Basic *	0.73	0.67	1.69	1.22
Diluted *	0.73	0.67	1.69	1.22
* The ordinary shares that resulted from conversion of the mandatory convertible bond were treated as already issued shares since the issuance of the bond.