At this time, I'd like to welcome you to the DuPont 2009 third quarter earnings call. All lines have been placed on mute to prevent any background noise. After the speakers’ remarks there will be a question-and-answer period. (Operator instructions) To listen to the webcast, please go to www.dupont.com. It is now my pleasure to turn the floor over to your host Karen Fletcher, Vice President of Investor Relations.

Good morning and welcome. With me this morning are Ellen Kullman, CEO, Jeff Keefer, CFO and Nick Fanandakis CFO designate. The slides for today’s call can be found on our Web site at dupont.com, along with the news release that was issued earlier today. Please turn to slide two. During the course of this conference call, we will make forward-looking statements. All statements that address expectations or projections about the future are forward-looking statements. Although they reflect our current expectations, these statements are not guarantees of future performance, but involve a number of risks and assumptions. We urge you to review DuPont’s SEC filings for a discussion of some of the factors that could cause actual results to differ materially. We will also refer to non-GAAP measures and request that you please refer to the reconciliations to GAAP statements provided with our earnings news release and on our Web site. And finally, we have posted supplemental information on our Web site that we hope is helpful to your understanding of our company’s performance. With that, I will turn the call over to Ellen.

First of all, let me say I'm pleased with our third quarter earnings performance in which aggressive cost productivity results are clearly evident, coupled with higher sequential sales for most of our industrial businesses. Company sales this quarter excluding Ag are up 11% on a sequential basis. The underlying demand signal that is emerging reflects a developing recovery that is shaped differently by market and by geography. Let me touch on a few areas where early signs of recovery are becoming more clear. DuPont titanium dioxide is approaching a sold-out [ph] position. Our coatings and polymer products experienced strong demand in response to increases in motor vehicle production and engineering polymer products experienced an additional boost from re-stocking demands across their automotive supply chains in the quarter. From a regional perspective, Asia Pacific year-over-year comparison was encouraging with sales only down 5%. On a closer look, China sales were up 7% year-over-year and sales in India, Singapore and Vietnam were down just a few percents. U.S. and European markets are showing some signs of improvements, but are clearly lagging behind Asia. On the other hand, our aramids business, which includes Nomex and Kevlar was late heading into the downturn and lagged into the third quarter. Demand for aramid products was weak in the third quarter with more destocking occurring than we had expected coming into the quarter. More recent sales trends indicate demand for Kevlar is turning up though. Our Ag & Nutrition sales were down 5% due in part to weather and lower corn acreage in Latin America, seed sales were up 7% over last year, helped in part by strong sales of Y series soybeans. We anticipate great yield performance from this new family of products once the harvest data is in. Sales of Rynaxypyr insecticide are about…

Thanks, Ellen, and good morning, everyone. DuPont had a strong third quarter and I confidently echo Ellen on all the specific commitments we are on track to deliver, pricing for value, cost and capital productivity, generating cash, and finishing the year with a strong balance sheet. The actions on cost and pricing are creating strong operating leverage as demonstrated in our early cycle businesses performance despite lower volumes. The quarter contained two items I want to highlight. First item is lower raw material costs. While fourth will show lower raw material costs versus prior year, we estimate that these costs bottomed in the third quarter in effect, shifting a few cents per share to the third quarter from the fourth. Secondly, a one-time benefit of $0.04 to $0.05 from a lower based tax rate this quarter compared to our guidance of 26% which I will detail out in a few minutes. After accounting for the tax benefit, still a very, very solid quarter. Turning, now to slide three which summarizes earnings per share and sales results. Third quarter reported underlying earnings per share of over $0.45, excluding significant items from the third quarter of 2008, earnings per share were down 20% from the prior year. Consolidated net sales of $6 billion were down 18% compared to prior year, reflecting 12% volume decline, 3% unfavorable currency, 2% price decline and 1% sales reduction from portfolio changes. Excluding sales into agriculture end markets, segment volumes were down year-over-year about 15%. Early in September, we updated investor showcasing the tremendous strengths of titanium dioxide. This is an early cycle product. On slide four the data depict out year-over-year sales variances showing measured and visibly improving conditions. As a contrast, Nomex and Kevlar which is a significant portion of safety and protection revenue are…

Turning to slide 9, Ag & Nutrition revenues of $1.2 billion were down 5% on lower industry volumes and unfavorable currency, partly offset by Ag market share gains on seed price. The seasonal pre-tax operating loss of $113 million reflected lower sales, higher costs and the absence of a $49 million gain from closing soybean contracts in the third quarter 2008. While segment fixed costs increased modestly due to continued strategic growth investments and seed research and our global sales force and to seed inventory adjustments, food and nutrition products realized another quarter of improved cost productivity performance. Let's take a closer look at the results from our crop protection products group. Revenue declined modestly, impacted primarily by glyphosate price and high channel inventory, serial herbicide volumes and unfavorable currency, partly offset by fungicide price and volume and global Rynaxypyr sales. Earnings were down substantially, also the seasonally small base due to lower glyphosate market price, soft industry volumes and unfavorable currency, partly offset by higher selling prices across the remainder of the portfolio and fixed cost productivity. For the fourth quarter, we expect crop protection product sales to be up moderately on demand for North American soybean herbicides, European serial herbicides, Latin America fungicides and insecticides, Asia Pacific Rynaxypyr sales and favorable currency partly offset by lower prices. Pre-tax operating losses are projected to be essentially flat with higher volumes and favorable currency being offset by price and higher business fixed cost associated with increased Rynaxypyr sales, given new registrations in Japan and Brazil. Turning to seeds; sales increased 7% to $471 million, reflecting higher prices from strong product performance and technology sales in Brazil and strong in-season sales in North America. Seasonal pre-tax operating loss has increased substantially, reflecting the third quarter 2008 soybean gain and the contract…

Thanks, Karen. It's a pleasure to be here today. Our solid third quarter financial results along with our outlook say a tremendous amount about DuPont's ability to deliver against its commitments whatever the climate may be. Ellen and Jeff have established a solid foundation. By this I mean a corporate structure and processes that enable the company to focus on the fundamentals and deliver attractive results for our shareholders. Clearly, the year-to-date successes we've achieved are encouraging, but it's only the beginning of the big opportunities that lie ahead of us. On November 3, we'll be hosting an investor event here at our headquarters in Wilmington Delaware. On that day, our focus will be a long-term view of DuPont's growth prospects as seen from a perspective of our new leadership team. Our innovation coupled with the focused investments we have made affords us some unique long-term opportunities. In addition, we'll provide insight into 2010 relating our long-term view to our short-term deliverables. Finally, on a more personal note, I would like to take this opportunity to thank Jeff for his leadership in CFO role. He has displayed a winning combination of business experience, operational excellence, dedication to the company and perhaps most importantly his innate ability to inspire individuals and motivate organizations. Jeff, I really look forward to building on the impressive foundation that you have laid. With that, I'll turn it back over to Ellen.

Thanks, Nick. In closing, I would like to summarize our performance for the quarter. Volumes were down 12% and a significant improvement over the second quarter when volumes were down 19%. We realize the biggest top line sequential improvements in performance materials, coatings and electronic business segments. During this quarter, we saw the confluence of several factors that favored dramatic sequential margin improvement. Raw material prices finally appeared to have hit the bottom line in full force essentially they bottomed in this quarter. Our sales and marketing teams were able to hold prices reasonably intact and they seized opportunities to introduce new products with greater value for our customers. Benefits from aggressive fixed cost actions and restructuring paid off. As for the fourth quarter, we anticipate sequential improvement in our industrial businesses, although we expect the trajectory to be erratic as supply chains are restocking and stabilizing to various degrees. Some markets like US housing will take much longer than others to recover. So against this backdrop of stabilization and early signs to recovery, we remain vigilant about the priorities that have enabled us to weather this storm and more importantly, will assure that we capitalize fully on a recovery. We are strong, focused and agile, and are delivering products that add value to customers and different us from our competitors. Cost productivity is a way alive and we're determined to make $750 million of our fixed cost productivity permanent. And we will be disciplined as we invest our growth resources in markets where they are differentiated and can capture value from a competitive advantage such as agriculture and alternate energy. And we're very well positioned to leverage our presence in emerging markets that we expect will return to growth as global recovery begins to take hold. So on slide 14, you can see our 2009 directives updated with progress through the third quarter. Simply stated, we're delivering against our commitments. Before I close, I would like to add my comments to Nick and to thank Jeff. His leadership over the last three plus years, his wisdom, his guidance, his focus, his tenacity, I just look at Nick and say you've got big shoes to fill. But thank you, Jeff and Nick. We're really looking forward to working with you as CFO. So with that I hope you'll be able to join us on November 3. And I look forward to seeing you then. And we're happy to take your questions.

Okay, John. If you would just remind us of the instructions and open the lines please?

Thank you. (Operator instructions). Our first question comes from Sergey Vasnetsov of Barclays Capital. Please go ahead.

Good morning. My question is say little bit more about next year. This year, fourth quarter typically a recent could be a little erratic I fell the weak and also we're really looking 2010, what's the early view of 2010 in terms of earnings and also what's' your view for the CapEx and growth?

Sergey this is Jeff. We're going to lay all of that out for you on November 3 and so you get a comprehensive picture. What I would comment on is, is that clearly we've laid a solid foundation for growth this year. We commented about pricing discipline, cost productivities evident and our new products. So I think that bodes well for the future and the operating leverage of the company.

Okay. Thank you.

Our next question comes from Jeff Zekauskas from JPMorgan. Please go ahead. Jeff Zekauskas – JPMorgan: Hi, good morning. In the performance materials business you had a small gain, but if we exclude the gain, you made about $200 million, and what I was wondering is, how sustainable is that level of EBIT in that your volumes are still way below the year ago period, you've cut out a lot of fixed costs there's some puts and takes. Is that $200 million or so a normalized quarterly level now?

Let me just thank you for that question. Let me clarify. The performance materials platform has really put in a lot of productivity efforts and maintained discipline pricing. I would point out last year we did have the hurricane quarter-over-quarter which was an impact on the comparison, so you need to take that into account. Jeff Zekauskas – JPMorgan: I'm sorry, please.

I was just going to add, Jeff that we're very well positioned by lowering our break even, our lower cost point and I think you can expect double-digit margins in the long term from that segment. Jeff Zekauskas – JPMorgan: Okay and then as my follow-up. One of the themes has been higher raw material costs in the agricultural area and obviously seed prices have been very, very volatile this year or rather grain prices have been volatile. Is it the case you get some raw material benefit in 2010 or can you not see that just yes yet?

Well, we're just harvesting the seed now. There's a lot of puts and takes to what that's going to be. Costs of goods sold will probably not be down as great given the lower commodity cost environment but if we have very little carry over, I think we'll see a little bit. So, that’s hard to call because we're right in the middle of harvesting our seed so we can, come on November 3rd and have at least two weeks more information to be able to share with you.

Our next question comes from PJ Juvekar from Citi. Please go ahead. PJ Juvekar – Citi: Yes, good morning. If you take a look at your end markets, auto, housing and others, can you tell us where you're seeing inventory restocking taking place? You mentioned auto's but are there any end markets where you're seeing that phenomena?

I think that in the electronics market we believe as we look down there that we've seen some of that in the third quarter as that Christmas season comes upon us. I think where we are, a second or third tier in the automotive markets. We've seen a little bit of that as well. But those are the two areas that I would say that we can clearly identify it versus just a base demand. PJ Juvekar – Citi: Okay. And in Ti02 you mentioned that, it’s a leading indicator and volumes are improving, are your price increases in that area sticking? Thank you.

Well we have price increases out there right now. We're certainly seeing a tremendous amount of tightness in the environment, so we'll see as it comes but I think there in the market places is in a positive way would be supportive of it since just look at ourselves. We're practically sold out.

Our next question comes from Mark Connelly from Sterne Agee. Please go ahead.

Hi, good morning, this is Ashish Gupta, for Mark. Just wanted to ask about what's going on with, I know that pesticide demand has been off in some markets because of the good weather, but just curious why pricing hasn't held up as well. I know we saw pesticide prices moving up slowly with other Ag, when other Ag inputs were on it too. They looked pretty good even last quarter as other inputs have slowed. Should we just think about pesticide prices as lagging the rest of the Ag inputs or is there something more specific?

Yes Ashish, this is Karen. I think really what you're seeing is some of the influence of generics and the market that's been generally down due to weaker insect pressure, weaker fungicide needs, so in that kind of environment you’re definitely seeing some competitive pricing pressure.

Great. Thank you.

Our next question comes from John Roberts from Buckingham Research. Please go ahead.

Good morning.

Good morning, John.

You didn't provide any update on pharma, so I assume as we enter the transition period it's still relatively normal through year and I just want to check are there any pipeline or inventory effects that might cause us to be non-linear as we enter the transition period?

I would say, John, at this point, we'll guide you to expect flattish in the fourth quarter year-over-year, and when we have our event in two weeks, we're going to give you more color on pharma for 2010.

Okay. And then as a follow-up on the raw materials, I think you were saying sequentially things have bottomed and will start to move up because of the lag with oil prices. Year-over-year in the fourth quarter, we still had a pretty big decline going on late last year. As we look year-over-year, we're also expecting that variable cost of $0.44 benefit to narrow materially as we go into the fourth quarter?

What I would say, John, is again we expect for the full year, we still expect 5% to 6%, lower raw material costs then if you recall in the first quarter, we were up about 5%, second quarter down about 5% and third quarter down about 12%. And as you remarked, we think it bottomed so we're expecting some uptick in the fourth quarter as a result of that. Still coming in at the same area we expected.

Our next question comes from David Begleiter from Deutsche Bank. Please go ahead.

Good morning. Ellen, I noticed some pricing pressure in safety performance and electronics given the bottoming of raws, do you expect some margin pressure going forward in those segments?

First thing, if you dissect the price, first you've got some pass-through in metals and electronics and in chemicals and safety and protection, you have to account for. And the second thing is mix of business, especially in safety and protection with the late cycle of Kevlar and Nomex. That mix change in effect comes through on our price line. So we take a look at it and we dissect those as we go forward and the commodity pricing thing that will be what it ends up to be. But I think it's through new products and the real focus on the customer that and the discipline we put in will really help us get through this period.

Ellen, in the ag segment, you call out further growth investments. Can you quantify those growth investments for '09 and what they will be in 2010, either up, down, or flat?

We'll defer '10 to the investor meeting. R&D as a percent of sales for this year is flat, but that means that we're spending more there, investing more in research and development. But we can take you through '10 in a little more detail in a couple weeks.

And our next question is from Frank Mitsch from BB&T Capital Markets. Please go ahead. Frank Mitsch - BB&T Capital Markets: Good morning. In terms of the cost reductions, you've been at a steady clip of $300 million a quarter up to $900 million at the end of the third quarter and your target for 2009 was just a $1 billion so much slower progression for the fourth quarter is forecast. Internally, are you guys using a number higher than that in terms of cost reductions for the full year?

Thanks for your question, Frank. I think this is one we want to make sure we covered. Last year, we started taking dramatic steps to slash fixed costs in the fourth quarter. If you just look at contractors, which was a big reduction for us between September of '08 and the end of the year, we took out about 4,000 contractors whose volumes fell across that period. So we had aggressive cost reduction in the fourth quarter. So, on a year-over-year basis it's not going to be as great as what we've seen, because of the actions we took in the fourth quarter of 2008.

So the $1 billion target is still our target.

So, Frank, we're driving all of the actions there. We'll tell you more about our productivity as we get together in November 3rd and look out the 2010 and beyond. Frank Mitsch - BB&T Capital Markets: All right, terrific. And you'd indicated that I guess the fixed cost reductions were more than offsetting the non-cash pension expense. You expect that to continue in the fourth quarter as well?

Yes. Close, but yes.

Our next question comes from Mark Gulley from Soleil Securities. Please go ahead.

Yes. This has been talked about before, but want to focus a little bit on pricing and cost. The appendix is always very helpful to us on looking at some of these trends. So, on slide 16, we see chemical prices heading back up again and of course your selling prices are still down, on slide 18. So do we face the potential for margin squeeze here maybe coming up in the next several months?

It's interesting. If you look at the pattern as it flows through there is usually about a 30-day lag on the way up and on the way down and that something we've seen historically. So, the squeeze would be very small from that standpoint.

Maybe just build what Ellen said. Remember the pricing declines that you're seeing this quarter is mostly due to the pass-through and some mix shift. And looking at the top line, we're going to continue to introduce new products. And we've talked with you before about the pricing tools we put into place in our businesses. So, I feel pretty good about that whole thing. And we're about as expected for the year.

Yes, and the comments around that kind of pressure would be strictly around electronics and chemicals where we have that pass-through issue, not for the rest of the businesses.

Okay. That's helpful. We've talked a lot about your ambitious goals in Ag and Nutrition and a lot about seeds. But except for Rynaxypyr, are there any new crop protection chemical products that will help drive your growth?

Rynaxypyr has a young brother Cyasypyr [ph] that's coming out in a couple of years. We're going to be delineating out our growth prospects there in a couple of weeks, so, we feel very good especially in the insecticide area where we've got tremendous pipeline. That area is going to be about $1 billion by 2013 in revenue. So, good pipeline, get into more detail in a couple weeks.

Our next question comes from Robert Koort from Goldman Sachs. Please go ahead.

Thanks. Jeff, once more on the pricing and maybe you will be beating it to death here. But if I look at your charts, 16 and 18, so what you've set for the bench mark industry prices and then your own prices. The last time you guys went negative at the end of a recession it was nine out of ten quarters you had declines year-on-year. Can you just give me some sense of that $0.14 hit was the majority of that pass-through stuff so that we shouldn't expect that same sort of performance over the next eight quarters that we might have seen at the beginning of the decade?

Bob, great question. So again, most of it was pass-through and mix as we kind of dissected and looked at this quarter. And I think we are very different from perhaps where we were at that point in time in terms of our capabilities that you commented on. And again, I'll come back to the new products. Ellen commented about how many we put out this year pricing for value as we’ve talked before is extremely important. We're doing well there and then our capability we put in around pricing, I think is really standing as a good stead, really the ability through market segment and customer segmentation to do pinpoint pricing and understanding the profitability by product and customer and that's how we go about it. So, I think we're in a different spot in terms of our capabilities now bode well for us.

And then you gave Ti0, Karen talked about some expectations into the fourth quarter. I guess the biggest question mark I would see is in pharma where you might have customers de-stocking that inventory channel ahead of generic competition. Can you give us some sense of what would be implied in your pharma numbers for the fourth quarter?

I think Karen said about flat year-over-year, Bob.

Yes. It's actually a very efficient supply chain, so we don’t anticipate de-stocking this early Bob.

Our next question comes from Steve Shuin [ph] from Vayad Research [ph]. Please go ahead.

Good morning. You mentioned your ag seeds were still in track for multiyear 15%, is that still on track for 2009?

What we've said was between 2007 and 2013, our entire ag platform will have greater than 15% compound annual growth rate on earnings. So for 2009, I think they might be on the little bit on the lower side of that. I mean its going to average that over the period because of the things that we already talked about from a platform standpoint, but on the seed side I think we’re going to have a strong year in the seed side. So, I hope that helps answer your question, Steve.

Yes. I guess on cash flow, cash flow has been very difficult this year. Do you think some of your cost savings are going to keep you from raising more debt next year with pharma going away?

No. Again, we've got a very strong balance sheet and we're on plan to deliver the $2.5 billion of cash this year. I'm not anticipating any issues at all in terms of our funding capability.

Our next question comes from Peter Butler from Glen Hill Investment. Please go ahead.

Good morning. DuPont's waiting on some key approvals from the government on seeds and trades and on your previous conference call, you sounded pretty upbeat on getting some imminent approvals. Have there been delays? Could you handicap the prospects for some of the key approvals you're waiting on?

Thanks, Peter. In Optimum AcreMax, we expect the EPA decision to come in a matter of weeks. We're confident that we'll receive it and get that in time for sales in the 2010 growing season.

I hear everything awaits November 3rd, but the pharma royalties are such a large part of your current earnings, I'm wondering if they are going to drop off substantially next year, what sort of quarterly pattern are you expecting, are you expecting a sort of a normal first quarter and then drop off sequentially or how do you see it?

Yes, Peter, we're going to address that in two weeks. I don't mean to keep putting you off, but we would like to be able to provide the full context and we will give you color on what to expect with pharma full year as well as the pattern of decline through the year. So give us a chance to do that in the full context of our expectations for 2010.

Our next question comes from Edward Yang from Oppenheimer. Please go ahead. Edward Yang – Oppenheimer: Hi, good morning. You showed some pretty nice volume improvement across the board, but Ellen, you mentioned the U.S. has been lagging and that was the only region where volume declines were basically equal to what they were in the second quarter and I was surprised by that given cash for clunker and so on, so which parts of the business in the U.S. kind of held back some of the improvement you've seen in other regions?

The U.S. is a real mix. I mean, ex-ag, sequentially, we're up 11%. We were down 17% ex-ag whereas in the second quarter we were down 25%. Certainly that improvement is seen through our automotive value chains and through even construction being a little bit stronger, so the U.S. we see as that third quarter's being pretty good considering where we've been in the first half of the year. Edward Yang – Oppenheimer: Is it just a greater percentage of your commercial construction assets are in the U.S. versus other regions or I'm thinking more year-over-year in terms of what businesses are still lagging in the U.S.

Well, I think we mentioned that it's the Aramids, Nomex and Kevlar are lagging. They didn’t go down, they didn't head down from a volume standpoint until very late in the first quarter early in the second quarter. They're a late cycle business so they are still kind of bouncing along the bottom where we're seeing sequential improvements in other. And the other thing is that military is held off in this last quarter and they weren't at the profile that they've historically been. So, it's really those two things that have been an impact there.

Our next question comes from Laurence Alexander from Jefferies. Please go ahead. Laurence Alexander – Jefferies: Hi, I had two questions on mix. First, for safety and protection, how much of an improvement in end market demand do you need to get back to your historical high teens margins now that the destocking has ended? And secondly, what flexibility do you have to pull forward PFOA substitutes to effect to offset any adverse mix effects that might arise there?

.:

Our next question comes from Don Carson from UBS. Please go ahead. Don Carson – UBS: Thank you. Jeff, two questions for you, one pension has been running about $0.10 a quarter this year. Just wondering if you have a preliminary view on what that drag might be next year. And then on currency, you talked about that maybe swinging $0.06 positive in the fourth quarter, but obviously that doesn't include much of the benefit from Ag. Where would you expect if currency holds at current levels where would that $350 million hit that you have taken in Ag go to in calendar 2010? I am just trying to get an idea of how much gain you're going to get from currency and then what the ongoing drag on pension might be next yea?.

Again, on the pension question, we'll kind of math that out for you on November 3rd. We know that's a key question on your mind. But again, rather than giving one-offs today, I would much prefer to give a holistic picture. Actually, right here on your question on currency, Don, anticipating a benefit, but to size it today is very, very difficult. And so, let me just say that it is going to be a benefit and we'll have to see how things shake out as we move forward.

Our next question comes from Kevin McCarthy from Banc of America. Please go ahead.

Yes, good morning. On slide 4, you highlighted the ongoing sequential improvement in Titanium Dioxide as an early cycle product. So was wondering if you could comment on your demand outlook for 2010 there and based on what you're seeing, do you plan to reaccelerate the time line of the capacity expansion in China?

We're still working on the fourth quarter, Kevin. So again, 2010 is something that we really don't want to get into. We've done asset blueprinting and are looking at our capacity whether it's in Ti02 or across the company. And we are going to be putting that in as it is needed. There is still other opportunities for us to be able to improve our yields and things like that in the given structure we have. So, I think that that's something that from an investment standpoint we take very seriously and we're going to watch very closely.

I think we have time for one more question.

And our next question comes from Chris Shaw from Ticonderoga Securities. Please go ahead.

Good morning. Thanks for taking my question. China has been pretty strong this quarter. I was wondering if you guys have any opinion or seen any signs of maybe sort of the slackening stimulus there actually taking volumes down or at least the growth in volumes lower in the upcoming quarters?

China's GDP, I am sorry, I kind of missed the question. China GDP from our economist standpoint they are projecting its going to be slightly stronger than this year. So the outlook is, if it's about 8% this year then next year it will be close to 10% or right around 10%. So everything that we're seeing, and I was in China couple of weeks ago everything I experienced when I was over there talking to government officials, talking to customers was very, very solid on that point. So I think they're going to stick with their plans and continue to drive.

And we've got important opportunities to penetrate that market even further. And that's why we continue to put resources into China because of the importance of the market and the opportunities that are there.

And with that I think that brings us to the end of our time. I would like to thank everybody for joining us this morning. And I really look forward to two weeks from now when we'll have our investor event where we can lay out 2010 as well as our growth opportunities in great detail. And hope you can join us then. Thank you.

This concludes today's DuPont 2009 third quarter earnings call. You may now disconnect your lines at this time and have a wonderful day.