Henkel initiates measures to increase long-term profitability

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finances/Henkel

Düsseldorf (euro adhoc) - Düsseldorf, February 27, 2008
Program "Global Excellence" to strengthen competitiveness

Henkel initiates measures to increase long-term profitability

Against the background of changing market conditions, especially with
regard to ever stronger competition and increasing cost pressure,
caused among others by markedly rising raw material prices, the
Management Board of Henkel KGaA has decided the basics of an
efficiency enhancement program.

"With this step, we are responding early and responsibly to the
ever faster changes in our markets", says Ulrich Lehner, Chairman of
the Management Board of Henkel KGaA. "This way, we prepare for
oncoming developments and ensure the future viability of our
company from a position of strength. "

The program, which will be initiated on a worldwide level, is to define
projects in all business sectors, regions and functions with the aim to
sustainably strengthen both Henkel's profitability and long-term
competitiveness. The initiative, with a volume of about 500 million euros, is
designed to generate annual savings of around 150 million euros from 2011.
Based on experience from similar programs carried through in the past, these

measures could result in the reduction of about 3,000 jobs.

"We are fully aware of the particular responsibility entailed
especially with this part of the considerations", says Lehner. "The
program is not about mere reduction of costs, but about an
investment in processes and structures with future viability to
which we are committed due to our corporate responsibility. As in the
past, and in accordance with our tradition and values, the possible
job reduction will be carried out in a socially responsible manner."

Henkel will finalize the details of the program following the
development of single project ideas and the subsequent discussion
with both the works councils and the employees likely to be
affected.

For more than 130 years, Henkel has been a leader with brands and
technologies that make people's lives easier, better and more
beautiful. Henkel operates in three business areas - Home Care,
Personal Care, and Adhesives Technologies - and ranks among the
Fortune Global 500 companies. In fiscal 2007, Henkel generated
sales of 13.074 billion euros and operating profit of 1,344
million euros. Our 53,000 employees worldwide are dedicated to
fulfilling our corporate claim, "A Brand like a Friend," and
ensuring that people in more than 125 countries can trust in
brands and technologies from Henkel.

This information contains forward-looking statements which are
based on the current estimates and assumptions made by the
corporate management of Henkel KGaA. Forward-looking statements
are characterized by the use of words such as expect, intend, plan,
predict, assume, believe, estimate, anticipate, etc. Such statements
are not to be understood as in any way guaranteeing that those
expectations will turn out to be accurate. Future performance and
the results actually achieved by Henkel KGaA and its affiliated
companies depend on a number of risks and uncertainties and may
therefore differ materially from the forward-looking statements.
Many of these factors are outside Henkel's control and cannot be
accurately estimated in advance, such as the future economic
environment and the actions of competitors and others
involved in the marketplace. Henkel neither plans nor undertakes
to update any forward-looking statements.

Henkel KGaA

Head of Corporate Communications
Ernst Primosch, Corporate Vice President

Press Contact:
Henkel Corporate Communications

Lars Witteck Wulf Klüppelholz
Phone: +49-211-797-2606 Phone: +49-211-797-1875
Fax: +49-211-798-9208 Fax: +49-211-798-9208

press@henkel.com

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end of announcement euro adhoc
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ots Originaltext: Henkel KGaA
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:

Wulf Klüppelholz

Tel.: +49 (0)211 797-1875

E-Mail: wulf.klueppelholz@henkel.com

Branche: Consumer Goods
ISIN: DE0006048408
WKN: 604840
Index: DAX, CDAX, HDAX, Prime All Share
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