Ad-hoc | 30 May 2006 14:00

BASF AG: BASF and Engelhard Reach Agreement

Ad hoc announcement transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. —————————————————————————— – Engelhard recommends that Engelhard’s shareholders accept BASF’s offer – BASF CEO Hambrecht: “Crucial step towards acquisition of Engelhard.” Ludwigshafen, Germany, May 30, 2006 – BASF Aktiengesellschaft (Frankfurt: BAS, NYSE: BF [ADR], LSE: BFA, SWX: AN) announced today that it signed a definitive agreement with Engelhard Corporation (NYSE: EC). According to the agreement, Engelhard will recommend that Engelhard shareholders tender their shares to BASF in exchange for $39 per share in cash and will withdraw its $45 per share self-tender offer for approximately 20 percent of the company’s shares. “We are very pleased that BASF and Engelhard were able to reach agreement on a negotiated transaction. This is a crucial step towards our goal of acquiring Engelhard,” said Dr. Jürgen Hambrecht, Chairman of the Board of Executive Directors of BASF Aktiengesellschaft. “We are confident that Engelhard’s shareholders will tender their shares into our offer, following the recommendation of Engelhard.” BASF’s $39 per share all-cash offer for all of the issued and outstanding shares of common stock of Engelhard Corporation is scheduled to expire at midnight, New York City time, on Monday, June 5, 2006. Michael Grabicki, Phone +49 621 60-99938, michael.grabicki@basf.com (c)DGAP 30.05.2006 ————————————————————————— Language: English Issuer: BASF AG Carl-Bosch-Straße 38 67056 Ludwigshafen Deutschland Phone: +49 (0)621 60-0 Fax: +49 (0)621 60-4 25 25 email: info.service@basf-ag.de WWW: www.basf-ag.de ISIN: DE0005151005 WKN: 515 100 indices: DAX, EURO STOXX 50 Listed: Amtlicher Markt in Berlin-Bremen, Frankfurt (Prime Standard), Düsseldorf; Freiverkehr in Hannover, Stuttgart, München, Hamburg; Foreign Exchange(s) London End of News DGAP News-Service —————————————————————————