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2015-08-25

DSM N.V. : DSM adjusts organizational model

Royal DSM, the global Life Sciences and Materials Sciences company, today
announces adjustments to its organizational and operating model. Following
recent portfolio changes, these adjustments aim to create a more agile,
focused and cost efficient organization, with a stronger business and market
focus and globally leveraged support functions.

These changes will result in structural savings of €125-150 million to be
fully achieved by the end of 2017.

DSM will also strengthen its management structure by establishing an Executive
Committee, enabling faster strategic alignment and operational execution.

In addition to the changes above, DSM is developing a business (growth)
improvement and efficiency program for the Nutrition business that will be
communicated at the Capital Markets Day on 4 November 2015.

Feike Sijbesma, CEO/Chairman of the Managing Board, Royal DSM commented:"
In an increasingly global and fast-paced business environment we need to adapt
our organizational and operating model to service our customers even better.
With the adjustments announced today, we become more agile, focused and
cost-efficient. Businesses fully focus on growth, while at the same time we
become more competitive by leveraging our global support functions
."

Global Support functions

The support functions will be globally leveraged across DSM to capture
scale-benefits and deliver high-quality professional support at lower costs,
among others via further standardization of processes, delayering, and
elimination of duplications, resulting in a more efficient pooling of
resources with clearer accountability for performance. This will lead to a
reduction in size of the support functions, also in view of the transfer into
partnerships of the Pharma, Polymer Intermediates and Composite Resins
businesses.

This new organizational model will apply to Finance, HR, Legal, IT, Business
Services, Indirect Sourcing, Communications and Corporate departments as well
as the Regional centers. In addition, DSM will implement efficiency measures
in its major R&D centers globally.

The DSM business groups remain the cornerstones of the company and their focus
will be on the primary functions of the company: Innovation and R&D, Direct
Sourcing, Manufacturing&Operations and Marketing&Sales. The optimization of
the support functions will enable the business groups to increase their
business and market focus and operate in today's business environment with
greater agility.

The above initiatives will result in a reduction in headcount of 900-1100
FTEs, of which approximately half in the Netherlands and to be fully
implemented by the end of 2017.

The structural savings from the reduced headcount and lower spend are
estimated at €125-150 million compared to 2014, to be fully achieved by end
of 2017. One-off restructuring charges, including severance costs, are
estimated at €150-175 million before tax.

Other efficiency programs

More information on the business (growth) improvement and efficiency program
for Nutrition will follow at the Capital Markets Day on 4 November 2015, at
which moment we will also communicate our strategy and goals for the years to
come.

Executive Committee

DSM will strengthen its management structure by establishing an Executive
Committee, enabling faster strategic alignment and operational execution by
increasing focus on the development of the business, innovation and people.
The members of the Executive Committee will be the Managing Board
membersFeike Sijbesma
(CEO/Chairman),Geraldine Matchett(CFO),Stephan Tanda(Life Sciences) andDimitri
de Vreeze(Materials Sciences), as well asChris Goppelsroeder
(Nutritional Products),Philip Eykerman
(Strategy and M&A),Rob van Leen
(R&D and Innovation) andPeter Vrijsen
(Human Resources).

The statutory responsibilities of the Managing Board remain unchanged.

Additional information

Today DSM will hold a conference call for the media from 09.00 AM to 09.30 AM
CET. Details on how to access these calls can be found on the DSM website,
www.dsm.com. A recording of the call will be made available via the DSM
website.

DSM - Bright Science. Brighter Living.(TM)

Royal DSM is a global science-based company active in health, nutrition and
materials. By connecting its unique competences in Life Sciences and
Materials Sciences DSM is driving economic prosperity, environmental progress
and social advances to create sustainable value for all stakeholders
simultaneously. DSM delivers innovative solutions that nourish, protect and
improve performance in global markets such as food and dietary supplements,
personal care, feed, medical devices, automotive, paints, electrical and
electronics, life protection, alternative energy and bio-based materials. DSM
and its associated companies deliver annual net sales of about €10 billion
with approximately 25,000 employees. The company is listed on Euronext
Amsterdam. More information can be found atwww.dsm.com.

Or find us on:

For more information:

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| DSM Corporate Communications DSM Investor Relations |
|Herman Betten |
|tel. +31 (0) 45 5782017 Dave Huizing |
|e-mailmedia.contacts@dsm.com tel. +31 (0) 45 5782864 |
| e-mailinvestor.relations@dsm.com |
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Press release-pdf
http://hugin.info/130663/R/1947280/707059.pdf

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This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: DSM N.V. via Globenewswire

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