Bayer achieved its 2010 financial targets with record sales of €35.1 billion and adjusted EBITDA of €7.1 billion. However, earnings were diminished by €1.7 billion in special charges. Q4 2010 sales grew 8% year-over-year while adjusted EBITDA rose 12%, though reported EBIT declined 86% due to special charges. Bayer expects 2011 core EPS to increase around 10% and adjusted EBITDA and sales to grow by 10% and 5% respectively.

2. Disclaimer This presentation may contain forward-looking statements based on current assumptions and forecasts made by Bayer Group or subgroup management. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of the company and the estimates given here. These factors include those discussed in Bayer’s public reports which are available on the Bayer website at www.bayer.com . The company assumes no liability whatsoever to update these forward-looking statements or to conform them to future events or developments.

3. Operating Performance on Track Bayer achieved group financial targets in 2010, sales up 13% (8%) to record €35.1bn, adj. EBITDA up 10% at €7.1bn, Core EPS up 15.1% at €4.19, proposed DPS of €1.50 Strong year at MaterialScience – HealthCare and CropScience below expectations, adj. EBITDA margin at MaterialScience +750bpts, HealthCare lost 190bpts, CropScience drastically down by 420bpts Net income diminished by high special charges, €1.7bn special charges mainly due to impairments/write-downs, litigation, reported EPS at €1.57 down 8% Strong operating cash flow – net financial debt reduced, net cash flow up 7% to record €5.8bn, net debt lowered by €1.8bn to €7.9bn Good business momentum in Q4 2010, reported EBIT impacted by one-offs, adj. sales up 8%, adj. EBITDA up 12%, Core EPS up 6% at €0.95, reported EBIT declined 86% due to €954m special charges Innovation pipeline with significant progress, Xarelto Einstein DVT, Rocket AF data presented, submitted in EU, US Confidence for 2011: Core EPS expected to increase by about 10%

4. 4th Quarter 2010 – Strong Finish to a Solid Year Sales in € million % portfolio & currency adj. +8% EBITDA pre-special items in € million +12% Core EPS in € +6% Net Cash Flow in € million +10% Q4´09 Q4´10 9,012 7,872 Q4´09 Q4´10 1,689 1,513 Q4´09 Q4´10 0.95 0.90 Q4´09 Q4´10 1,941 1,766

5. 4th Quarter 2010 – Reported EBIT Impacted by Special Items In € million -67 -135 -67 -135 Litigation -56 -180 -62 -199 Restructuring -56 -825 -32 Impairments -405 - Schering Brand -202 - Sagopilone / Bonefos -218 - Women’s Health & others EBITDA Effect EBIT Effect Q4 2010 Q4 2009 - 79 -85 Q4 2009 Others Q4 2010

6. 4th Quarter 2010 – Reported Earnings Development In € million  -0.18 0.18 Earnings per share -86 51 366 EBIT 4 -237 -248 Non-operating results  -186 118 Pre-tax income  -145 153 Net income Δ% Q4 2009 Q4 2010

7. 4th Quarter 2010 – Maintained Strong Business Momentum in Emerging Markets Latin America Eastern Europe Africa & Middle East Emerging Asia³ Emerging Economies Emerging Economies ¹ +19% Others² +4% USA -1% 10% 38% 32% 20% Western Europe +4% Q4 2010 Group sales by region Group €9,012m; +8% ~1,300 +24% ~1,200 +17% ~400 +11% ~500 +22% ¹ Emerging economies include: Latin America, Asia w/o Japan, Australia, New Zealand, Africa and Middle East incl. Turkey, Eastern Europe ² Others = Japan, Australia, New Zealand, Canada ³ Emerging Asia = Asia minus Japan, Australia, New Zealand In € million, Δ% yoy Fx adjusted

8. Fiscal 2010 – Record Net Cash Flow and Significantly Lower Debt Q4’10 Net Debt Development In € million -1.2 Q3´10 Q4´10 9.1 7.9 GCF oFCF 1,414 Invest- ments 524 1,417 Δ % y-o-y +37% +11% NCF 1,941 +10% +6% GCF oFCF 4,771 Invest- ments 1,514 4,259 Δ % y-o-y +2% +12% NCF 5,773 +7% -4% FY’10 -1.8 Q4´09 Q4´10 7.9 9.7 In € billion

9. 4th Quarter 2010 – Top-Line Growth in All Segments ¹ Environmental Science/BioScience In € million, ( ) = Fx & portfolio adjusted Δ % 2010 2009 Δ % (adj.) 2010 2009 +79 266 149 +16 (+8) 1,367 1,177 Crop Protection -76 4 17 +29 (+20) 286 221 ES/BS ¹ +5 830 789 +7 (+2) 2,897 2,698 Pharma -16 308 365 +7 (+1) 1,571 1,466 Consumer Health adj. EBITDA Sales 297 270 1,138 203 166 1,154 2,016 1,398 4,164 MaterialScience CropScience HealthCare +63 +18 (+10) 1,653 +46 +28 (+22) 2,584 +7 (+1) -1 4,468

11. 4th Quarter 2010 – Top-Line Growth in All Segments ¹ Environmental Science/BioScience In € million, ( ) = Fx & portfolio adjusted Δ % 2010 2009 Δ % (adj.) 2010 2009 +79 266 149 +16 (+8) 1,367 1,177 Crop Protection -76 4 17 +29 (+20) 286 221 ES/BS ¹ +5 830 789 +7 (+2) 2,897 2,698 Pharma -16 308 365 +7 (+1) 1,571 1,466 Consumer Health adj. EBITDA Sales 297 270 1,138 203 166 1,154 2,016 1,398 4,164 MaterialScience CropScience HealthCare +63 +18 (+10) 1,653 +46 +28 (+22) 2,584 +7 (+1) -1 4,468

15. Outlook 2011 – Planning Assumptions Expected 2011 Global Market Development 5 % Electro/electronic Positive development, high-single digit growth 31 % Rx-pharma Mid-single digit growth, driven by emerging markets 10 % OTC-pharma Demand improving, up to 4% growth 3 % Diabetes care Globally 1%, US markets remain challenging 3 % Animal Health Above average year, about 4% growth 18 % Agrochemicals/ Seeds Positive development, mid-single digit growth ¹, mainly volume driven 6 % Automotive Further recovery, mid-single digit growth 5 % Construction Economic pick-up expected, mid-single digit growth 5 % Furniture/wood Ongoing recovery, low-single digit growth 14 % Others Group sales break-down in % ¹assumes normal weather conditions

16. 2011 Group Outlook Sales Δ Fx and portfolio adjusted, EBITDA pre-special items Outlook depends on specific planning assumptions as detailed in the 2010 annual report ~€5 ~10% +15% € 4.19 Core EPS ~€8bn improve towards €7.5bn +10% € 7.1bn adj. EBITDA Sales ~5% 4-6% +8% € 35.1bn Δ 2011E … 2012E 2010

17. Outlook 2011 – R&D and CapEx Budgets CropScience 0.7bn 1% MaterialScience 0.2bn HealthCare 2.1bn thereof Pharma 1.8bn MaterialScience 0.6bn HealthCare 0.4bn Reconciliation 0.05bn 67% 24% 8% Reconciliation 0.2bn 26% 18% 44% 12% CropScience 0.3bn CapEx (PPE) 2011E: ~€1.5bn R&D 2011E: ~€3.1bn

18. 2011 Guidance by Subgroup Outlook based on Fx and portfolio adj. sales and EBITDA pre-special items Outlook depends on specific planning assumptions as detailed in the 2010 annual report Mid-single digit increase of sales and overproportional growth of adj. EBITDA Q1 2011: Sales level with, adj. EBITDA above Q4’10 MaterialScience At least mid-single digit percent higher sales and overproportional growth of adj. EBITDA CropScience Consumer Health Pharma HealthCare Low- to mid-single digit increase of sales and improvement of adj. EBITDA-margin Mid-single digit growth of sales and adj. EBITDA Low- to mid-single digit increase of sales and small increase of adj. EBITDA

19. Science For A Better Life