ALTANA

Property, Plant and Equipment

In 2015, additions of € 14.4 million in the BYK Additives & Instruments division related to U.S. facilities and € 13.5 million to domestic facilities. In the ECKART Effect Pigments division, € 12.7 million were invested in the facilities in Hartenstein, Germany, and € 3.4 million in U.S. facilities. In the ELANTAS Electrical Insulation division, a total of € 7.0 million was invested for the extension of the production and laboratory capacities in Germany and Italy. Additions of € 7.1 million in the ACTEGA Coatings & Sealants division related to investments in German facilities.

In 2014, additions of € 18.4 million in the BYK Additives & Instruments division related to the extension of production facilities in Wallingford (U.S.) for which directly attributable borrowing costs of € 0.5 million were capitalized. The calculation was based on an interest rate of 2.4 %. Furthermore, additions of € 13.1 million related to investments in German facilities. In the ECKART Effect Pigments division, € 8.8 million were invested in the facilities in Hartenstein; additionally, an amount of € 7.8 million was invested in U.S. facilities. In the ELANTAS Electrical Insulation division an amount of € 8.2 million was invested in the extension of production and research capacities in Italy. In the ACTEGA Coatings & Sealants division, additions of € 4.9 million related to investments in German facilities. The change in reporting entities related to the acquisition of Brazilian companies in the ACTEGA Coatings & Sealants division (see note 3) with € 1.6 million and to a subsequent adjustment of the allocation of the consideration transferred from the acquisition of the rheology business in the BYK Additives & Instruments division with € - 6.3 million.

As of December 31, 2015 and 2014, assets with a net book value of € 1 thousand and € 14 thousand, respectively, related to property, plant and equipment under finance leases, and € 1.0 million and € 1.0 million to investment property. As of December 31, 2015 and 2014, the fair value of this investment property amounted to € 3.7 million and € 3.5 million, respectively. The Company has no restrictions on disposal or other contractual obligations in connections with the investment property.

The Company did not receive any significant taxable or non-taxable government grants in 2015 and 2014.

In 2015, the ECKART Effect Pigments division recognized an impairment loss of € 8.9 million for one of its Chinese facilities (see note 13).

In 2014, the ACTEGA Coatings & Sealants division recognized an impairment loss of € 3.2 million for its European facilities (see note 13).

In 2015, no land or other assets served as security for debts to banks. In 2014, the mortgage on land and other assets serving as security for loans was released.