Document Z1rq6zpgxrkaxv9J23nkd6BJ

distinguishing between commodity products;'ahd:prbductsthat can' -' **& support premium prices. Just as we began in 2002 to revitalize our R&D program.'weare^sirnilarly^Beginning to strerigthehlour.im^ketihg.'and'sales competency across' thecgmpaiTjc We are also' continuing our .progress' in productivity. Last year, DuPontSix Sigma added more than $7Cfo.'prmlion in projects with hard, validated bene fits for.the company. This was a'huge accomplishment made possible by. the nearly 17,000 employees who have taken Six^Sigma training. We .currently have more'than 2,500 top-line growth projects. Most of our projects t.a , date:Have*been focused omaCSpeinfic .bus-hinWessjjoSE cfuncrti-on. wWie arelnow,:; evolv<isn*g*-*to:imore enterpn se-wiaew*; projeGts>ancl more end-to-entf^jgigjecfS.tKatitnaild our process capability. At DuPont: we speak on a daily^aSis about, qur core values: safety arid,^ health, high ethical standards, ! environmental stewardship, and.-' respect for -people. I want to emphasize specifically our commitment to safety where we made strong and broad, improvements in our performance lastyear.:in;parQailar--our.'.acquisitions I'ViKt*.-" In 2003 we received our second National Medal of Technology -- the highest honor for technological innovation in the United States. The. medal was presented to"DuPont by President Bush for technology and policy leadership in the phaseout and replacement of ozone-depleting chlorofluorocarbons (CFGs); Earlier in the year, the U.S. Environmental Protection Agency presented its Presidential Green Chemistry award to DuPont for our innovationthat uses corn instead of conventional petroleum-based processes to produce our latest polymer platform.. For the second year in a row, DuPont was named Chemical Segment Leader on the Dow Jones-Sustainability'Index. Late last year, we also announced a definitive agreement to' sell. INVISTATM to subsidiaries'of Koch Industries, Inc. The sale represents a favorable outcome for these businesses, which will now be able to realize their potential as part of a company fully committed to them and the markets they serve. We also announced that we will take aggressive actions to ensure our global competitiveness as a more focused, science-based company following the separation of INVISTATM. With some of the most fundamental changes in our 201-year history moving roward completion, we are more intent than ever on positioning '' DuPont for growth. We have talented : ' people, know-how across key markets, and the strong science foundation necessary for success. We are going : where, the growth is in terms of .. countries, markets and customers. ' We want to leverage and'focus the entire power of DuPont so customers experience one company, one brand, and see the full range of offerings and services we can supply to them. The impact and challenge of rapid change is felt most strongly by DuPont employees, and l am grateful for. their flexibility; creativity; and focus.,.With our customers, our stockholders, and our many friends around the world, we look forward to sustainable growth in the years ahead. Chad Holliday Chairman & CEO March I, 2004