Paul Huck, SVP & CFO 2007 Citi Basic Materials Symposium New York CityDecember 5, 2007

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ForwardForward--Looking Statements Looking Statements NOTE: This presentation contains “forward-looking statements” within the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management’s reasonable expectations and assumptions as of the date of this presentation regarding important risk factors. Actual performance and financial results may differ materially from projections and estimates expressed in the forward-looking statements because of many factors, including, without limitation, overall economic and business conditions different than those currently anticipated; future financial and operating performance of major customers and industries served by Air Products; the impact of competitive products and pricing; interruption in ordinary sources of supply of raw materials; the ability to recover unanticipated increased energy and raw material costs from customers; costs and outcomes of litigation or regulatory activities; consequences of acts of war or terrorism impacting the United States’ and other markets; the effects of a pandemic or epidemic or a natural disaster; charges related to portfolio management and cost reduction actions; the success of implementing cost reduction programs and achieving anticipated acquisition synergies; the timing, impact and other uncertainties of future acquisitions or divestitures or unanticipated contract terminations; significant fluctuations in interest rates and foreign currencies from that currently anticipated; the impact of new or changed tax and other legislation and regulations in jurisdictions in which Air Products and its affiliates operate; the impact of new or changed financial accounting standards; and the timing and rate at which tax credits can be utilized. The company disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements contained in this presentation to reflect any change in the company’s assumptions, beliefs or expectations or any change in events, conditions or circumstances upon which any such forward-looking statements are based.

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Air Products Air Products At a glanceAt a glance

$10B in sales FY’07Diverse markets and geographiesPositioned for continued long-term value creation

FY07 Geographic Sales

United States(44%)

Asia(17%)

Europe(32%)

Canada/LatinAmerica (5%)

FY07 Segment SalesROW (2%)Merchant

Gases(32%)

TonnageGases(26%)

Equipment & Energy

(6%)Healthcare(6%)

Chemicals(10%)

Electronics & Performance

Materials(22%)

Chemicals(9%)

Electronics & Performance

Materials(21%)

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Value PropositionValue PropositionProfitable GrowthProfitable Growth

Stability– Long term contracts– Consistent and predictable

cash flows – Strong balance sheet

Earnings growth– New projects– Margin improvement– Productivity

Improving returns– Good progress– Continued opportunity

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Supply Modes Supply Modes Durable Business ModelsDurable Business Models

Package Gases & Specialty Materials

26%

Onsite/Pipeline34%

Liquid/Bulk21%

10, 15 and 20-year contractsTake-or-pay minimum volumes

Contractual energy pass-throughFormula escalation

3-5 year contractsRegional business

Cost pass-through/surcharges

% of consolidated revenues (excludes Chemicals segment)

Equipment & Services 19%

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Sales ($B)………………EPS* ($/share)…….......ORONA* (%) …………..ROCE* (%)……………..SG&A / Sales (%)*……

Balance sheet………….Shareholder value…….

A Healthy Report CardA Healthy Report CardFour consecutive yearsFour consecutive years

9.4%$2.52

14.3%

“A” ratingDividend increase & share repurchase

$6.9 $7.7 $8.8

* Comparisons are non-GAAP. See appendix slide for GAAP reconciliation.

FY04 FY05 FY06

$2.92 $3.49

10.0%

13.6% 12.3%

11.4%

FY07

$10.0

$4.37

12.5%

11.8%9.9% 10.5% 11.6% 12.7%

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Italy

$470M

Equity Affiliate Income >$100MEquity Affiliate Income >$100MFY07 Revenues 100% basis ~$1.6BFY07 Revenues 100% basis ~$1.6B

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South Africa$130M

India

$85MThailand

$80M

Mexico

$515M

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Merchant GasesMerchant GasesDrive a Local Business on a Global ChassisDrive a Local Business on a Global Chassis

$3.2 billion in FY’07 salesLiquid/Bulk, cylinder and small onsite gases to diverse industrial marketsGlobal business model– Marketing– Application development– Supply chain

Local execution– Logistics– Sales and pricing– Customer service

Future opportunities– Improve margins– Eastern Europe & Asia growth

Local Business

Regional Roles/Global Collaboration

Global Differentiators

Margin Improvement

& Growth

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Merchant GasesMerchant GasesStrong Growth & PerformanceStrong Growth & Performance

Sales

0

500

1000

1500

2000

2500

3000

3500

2004 2005 2006 2007

Operating Income & Margin

0

100

200

300

400

500

600

700

2004 2005 2006 200710.0%

12.0%

14.0%

16.0%

18.0%

20.0%$MM $MM

Revenue by region ($, FY07)

Europe PG

North America

ROWEquipment

Europe LB

Asia

12% CAGR

• Continue delivering double-digit growth- Explosive growth in Asia - Expanding in Eastern/Central

Europe- New offerings success

• Achieve 20% operating margins

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Tonnage GasesTonnage GasesMarket Leader in Refinery HydrogenMarket Leader in Refinery Hydrogen

Global #1 HyCO Position

4,600 Million SCFD

Comp ZComp Z

Comp Y

Onstream 2007

APD(1940MMscfd)

Comp XComp X

APD Comp. X Comp. Y Others

H2 Plant Operating Years

APD . . .Widening Gap

1995 2000 2005

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Tonnage GasesTonnage GasesHigh Growth SegmentHigh Growth Segment

Sales

0

500

1000

1500

2000

2500

3000

2004 2005 2006 2007

Operating Income & Margin

050

100150200250300350400450

2004 2005 2006 200710.0%

12.0%

14.0%

16.0%

18.0%

20.0%$MM $MM

Investment by Region

North America

Asia

Europe & Middle East

18% CAGR

• Significant profit growth and improvement in returns on capital while bringing on new investments

• Significant large plant bidding opportunities (both H2 & O2) continue

• Anticipate continued 10%-15% H2growth

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Plaquemine

Geismar

Lake Pontchartrain

Convent

Cosmar

Taft

Geismar10

NolaNew Orleans

Chalmette

LouisianaBaton Rouge

BPCarson

ShellWilmington

DominguezChannel

Conoco PhillipsWilmington

Conoco Phillips Carson

VAN NESSAVE.

SepulvedaBlvd

Anaheim Street

91

LongBeachArpt.

190th

St.

Carson H2

Wilmington H2

710

405

405

110

1

110

SouthernCalifornia

APD HyCO facilitiesH2 pipelineCO pipelineSyngas pipeline

1414630630

1414

1616

2121

CN RAIL Edmonton,Canada

SherwoodPark

Petro-CanadaImperial Oil

1616

Mont Belvieu

Port Arthur

Bayport

Battleground

Pasadena

City of Houston

Clear Lake

Baytown 2

LaPorte

Texas City

10

45

610

Lake CharlesBeaumont

225

73

6910

Zwijndrecht

To Moerdijk

Europoort

Pernis

Botlek

Rotterdam

40

40

Corunna

Suncor

Shell Refinery

40

ST.CLAIR RIVER

Air Products Canada

SarniaCanada

ValeroWilmington

Texas

Strong Hydrogen Pipeline PositionsStrong Hydrogen Pipeline Positions

SF BayRefineries

TarragonaRefinery

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Tonnage GasesTonnage GasesLeading the Way on GasificationLeading the Way on Gasification

A leading O2 supplier to gasification facilitiesDesigned, built, own, and operate units for syngas, H2and CO for pipeline systems:– NG-based POX units– Syngas cleanup/separation

facilities from POX unitRecent wins:– Eastman Gasifier in Texas– Wison II in China – BP Clean Power in

California0

5,000

10,000

15,000

20,000

25,000

APD Comp X Comp Y Comp Z

O2 for Gasification/ ATR Customers(TPD)

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Hydrogen from Eastman Gasifier Hydrogen from Eastman Gasifier Project vs. Project vs. ““OffOff--GasGas”” FacilitiesFacilities

Hydrogen ~ 85% - 95% O/SH2 purification

Typical “Off-Gas” Facility

RawMaterials Chemical

plant

Ethylene, etc

APD O2 Spare

#3

#2Pet Coke

Hydrogen toAir Products

>99% O/S

Methanol

Ammonia

Eastman facility

SyngasGasifier

#1

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Equipment and EnergyEquipment and EnergyPositioned for continued growthPositioned for continued growth

$.6 billion in FY’07 salesBroad customer base– Oil & gas, utilities, chemicals and

metals

Products– LNG heat exchangers, large air

separation units, hydrocarbon separators, helium containers, hydrogen fueling systems…

Strategy– Leverage existing relationships– Develop energy projects– Leverage engineering technology

and products to grow gases businesses

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LNG Heat ExchangersLNG Heat ExchangersMarket LeadershipMarket Leadership

APD world leader in LNG equipment technologySustainable competitive advantage with AP-X®

technologyUS import terminals– 6 constructed; 7 bcfd– 22 approved; 37 bcfd – 27 proposed; 25 bcfd

Anticipate 2-3 LNG orders per year over next 5 years

Net Imports

BC

FD

25%

15%

US Natural Gas Gap

US NG Imports 2006 & 2020

Production

Consumption

2006 2020

BC

FD

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Electronics & Performance Materials:Electronics & Performance Materials:A natural extension of what Air Products A natural extension of what Air Products does bestdoes best

$2.1B segment underpinned by technology, innovationFranchise positions / global leadershipStrategic positions with leading customers Operationally excellent global supply chainLeading edge applied technology, new products

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Electronics & Performance MaterialsElectronics & Performance MaterialsStrong PerformanceStrong Performance

Sales

0

500

1000

1500

2000

2500

2004 2005 2006 2007E

Operating Income & Margin

0

50

100

150

200

250

2004 2005 2006 2007E0.0%

3.0%

6.0%

9.0%

12.0%

15.0%$MM $MM

10% CAGR

• Excellent profit and return improvement driven largely by Electronics turn around

• Continue delivering double-digit growth

• Achieve 15% operating margins

Asia (40%)

North America (40%)

Latin America (2%)Europe

(18%)

Revenue by region ($, FY07F)

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Fiscal Year 2007:Fiscal Year 2007:Fourth Year of DoubleFourth Year of Double--Digit GrowthDigit Growth

($Millions) FY06 FY07 $ ∆ % ∆Growth vs. PYContinuing Operations *

$567 million in shares repurchasedAdditional $1B authorization announcedContinued to improve the portfolio

* Comparison is non-GAAP, see appendix for reconciliation

Sales $8,753 $10,038 $1,285 15%Operating Income 1,128 1,390 262 23%Net Income 792 976 184 23%EPS ($/share) 3.49 4.37 0.88 25%ORONA (%) 11.4% 12.5% 110bp

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Margin Improvement FocusMargin Improvement Focus

Cost Cost reductionreduction

200bp200bp

Improved Improved mixmix

50bp50bp

Plant Plant efficiencyefficiency

50bp50bp

2007 2010

14%17%

300 basis point operating margin improvement from …

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2008 and Beyond2008 and BeyondSustainable DoubleSustainable Double--Digit GrowthDigit Growthat Superior Returnsat Superior Returns

Targeting EPS growth between 10-15%11 large ($25MM+) projects on stream in ‘08New geographiesNew applications/products/markets

Cost reduction/productivityROCE well above our cost of capital +3-5%

More Focused, Less Cyclical,More Focused, Less Cyclical,Higher Growth, Higher ReturnsHigher Growth, Higher Returns

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tell me morewww.airproducts.com

Thank you

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Appendix:Appendix:NonNon--GAAP ReconciliationGAAP Reconciliation

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Appendix:Appendix:FY2008 GuidanceFY2008 Guidance

%($/share) FY07 FY08 Guidance Change

Diluted EPS - Continuing Operations

GAAP $4.67 $4.80-$5.00 3%-7%

Adjustments (1) ($0.30)

Non GAAP $4.37 $4.80-$5.00 10%-14%

(1) See previous appendix for listing of adjustments

Full Year

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Appendix:Appendix:FY2007 FY2007 –– Q4 vs. Q3Q4 vs. Q3

Fav / (Unfav)

Operating Income from EPS Operating Income from EPS Operating Income from EPSIncome Cont. Ops Cont. Ops Income Cont. Ops Cont. Ops Income Cont. Ops Cont. Ops

GAAP Measure $389.1 $301.7 $1.35 $363.9 $284.5 $1.28 7% 6% 5%

Gain on contract termination ($36.8) ($23.6) ($0.11)Supp. pension plan charge $10.3 $6.4 $0.03Global cost reduction plan $13.7 $8.8 $0.04Donation/sale of cost investment ($5.0) ($19.8) ($0.09)Tax adjustments ($11.3) ($0.05)Tax audit resolution ($27.5) ($0.12)

Non GAAP Measure $371.3 $262.2 $1.17 $363.9 $257.0 $1.16 2% 2% 1%

FY2007 Q4 FY2007 Q3 FY2007 - Q4 vs Q3

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Appendix:Appendix:ORONA NonORONA Non--GAAP ReconciliationGAAP Reconciliation$ MillionsQuarter Ended Dec-04 Mar-05 Jun-05 Sep 05 Dec-05 Mar-06 Jun-06 Sep-06 Dec-06 Mar-07 Jun-07 Sep-07

Operating Income Op. Inc. Reported 235.9 238.8 256.8 259.3 253.2 280.3 290.8 231.3 331.2 323.5 363.9 389.1 Proforma Option Expense (11.0) (10.9) (11.1) (14.9) - - - - - - - - Op. Inc. Reported with Option Exp all periods 224.9 227.9 245.7 244.4 253.2 280.3 290.8 231.3 331.2 323.5 363.9 389.1 Disclosed Items: Global Cost Reduction Plan - - - - - - - 72.1 - - - 13.7 Pension Settlement charge 10.3 Gain on contract termination - - - - - - - - - - - (36.8) Donation/sale of cost investment - - - - - - - - - - - (5.0)

Op Inc incl Option Expense, ex items 224.9 227.9 245.7 244.4 253.2 280.3 290.8 303.4 331.2 323.5 363.9 371.3

AssetsTotal Assets 10,653.4 10,707.3 10,309.8 10,408.8 10,624.9 11,032.5 11,290.8 11,180.7 11,500.0 11,878.0 12,568.8 12,668.9

Less Investment in Equity Affiliate 672.1 672.8 661.3 663.7 679.4 718.2 736.4 728.3 765.6 796.2 817.9 855.4

Less Current Assets Disc Ops 141.8 142.9 137.4 136.8 134.6 136.1 116.8 32.2 31.5 30.0 28.5 28.5 Less Non-Current Assets Disc Ops 208.9 205.9 204.6 194.1 189.3 185.8 182.6 56.6 54.4 54.3 55.5 39.8

Net Assets from Cont Ops 9,630.6 9,685.7 9,306.5 9,414.2 9,621.6 9,992.4 10,255.0 10,363.6 10,648.5 10,997.5 11,666.9 11,745.2

ORONA with Option Expense in all periods - reported4 Qtr Trailing Op Income 971.2 1,023.6 1,068.7 1,055.6 1,133.6 1,176.8 1,249.9 1,407.7 5 Qtr Avg Net Assets from Cont Ops 9,531.7 9,604.1 9,717.9 9,929.4 10,176.2 10,451.4 10,786.3 11,084.3

ORONA with Option Expense in all periods - reported 10.2% 10.7% 11.0% 10.6% 11.1% 11.3% 11.6% 12.7%ORONA for the Quarter (Op inc x 4 / 2 pt avg net assets) 10.6% 11.4% 11.5% 9.0% 12.6% 12.0% 12.8% 13.3%

ORONA with Option Expense in all periods - ex items4 Qtr Trailing Op Income 971.2 1,023.6 1,068.7 1,127.7 1,205.7 1,248.9 1,322.0 1,389.9

5 Qtr Avg Net Assets from Cont Ops 9,531.7 9,604.1 9,717.9 9,929.4 10,176.2 10,451.4 10,786.3 11,084.3

ORONA w/ Option Exp all periods - ex items 10.2% 10.7% 11.0% 11.4% 11.8% 11.9% 12.3% 12.5%ORONA for the Quarter (Op inc x 4 / 2 pt avg net assets) 10.6% 11.4% 11.5% 11.8% 12.6% 12.0% 12.8% 12.7%

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Appendix:Appendix:ROCE NonROCE Non--GAAP ReconciliationGAAP Reconciliation$ MillionsQuarter Ended Dec-04 Mar-05 Jun-05 Sep 05 Dec-05 Mar-06 Jun-06 Sep-06 Dec-06 Mar-07 Jun-07 Sep-07Numerator Operating Income Reported 235.9 238.8 256.8 259.3 253.2 280.3 290.8 231.3 331.2 323.5 363.9 389.1 Proforma Option Expense (11.0) (10.9) (11.1) (14.9) Equity Affiliate Income 25.5 25.2 26.3 28.4 27.8 24.3 25.9 29.7 30.1 32.4 35.5 33.8

Earnings before tax before items 250.4 253.1 272.0 272.8 281.0 304.6 316.7 261.0 361.3 355.9 399.4 422.9

Global Cost Reduction Plan 0.0 0.0 0.0 0.0 0.0 0.0 0.0 72.1 0.0 0.0 0.0 13.7 Gain on Contract Termination 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 (36.8) Pension Settlement Charge 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 10.3 Donation/Sale of Cost Investment 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 (5.0)Earnings before tax ex items 250.4 253.1 272.0 272.8 281.0 304.6 316.7 333.1 361.3 355.9 399.4 405.1

Effective tax rate before items 29.3% 28.7% 26.1% 29.2% 27.0% 27.5% 26.7% 24.6% 26.9% 27.0% 18.0% 18.9%Earnings after tax before items 177.0 180.5 201.0 193.1 205.1 220.8 232.1 196.8 264.1 259.8 327.5 343.0 Effective tax rate ex items 29.3% 28.7% 26.1% 29.2% 27.0% 27.5% 26.7% 27.2% 26.9% 27.0% 25.9% 26.0%Earnings after tax ex items 177.0 180.5 201.0 193.1 205.1 220.8 232.1 242.5 264.1 259.8 296.0 299.8

4 Qtr Trailing Earnings after tax (numerator) - before items 779.7 820.0 851.1 854.8 913.8 952.8 1,048.2 1,194.4

4 Qtr Trailing Earnings after tax (numerator) - ex items 779.7 820.0 851.1 900.5 959.5 998.5 1,062.4 1,119.7

Denominator Total Debt 2,559.0 2,505.3 2,508.7 2,493.7 2,601.9 2,796.6 2,973.3 2,849.8 3,150.2 3,313.9 3,778.9 3,677.2 Equity 4,740.8 4,910.1 4,614.9 4,545.5 4,708.8 4,967.7 5,046.6 4,924.0 5,111.5 5,276.5 5,456.3 5,504.0 Minority Interest 183.8 186.1 179.1 181.1 180.5 191.7 171.2 178.0 188.8 178.4 176.0 177.3

Total Capital 7,483.6 7,601.5 7,302.7 7,220.3 7,491.2 7,956.0 8,191.1 7,951.8 8,450.5 8,768.8 9,411.2 9,358.5

5 Qtr Average Capital (denominator) 7,419.9 7,514.3 7,632.3 7,762.1 8,008.1 8,263.6 8,554.7 8,788.2

ROCE before items 10.5% 10.9% 11.2% 11.0% 11.4% 11.5% 12.3% 13.6%ROCE before items for the Quarter (earnings after tax x 4 / 2 pt avg capital) 11.2% 11.4% 11.5% 9.8% 12.9% 12.1% 14.4% 14.6%ROCE ex items 10.5% 10.9% 11.2% 11.6% 12.0% 12.1% 12.4% 12.7%ROCE ex items for the Quarter (earnings after tax x 4 / 2 pt avg capital) 11.2% 11.4% 11.5% 12.0% 12.9% 12.1% 13.0% 12.8%

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Appendix:Appendix:ROCE Tax Rate ReconciliationROCE Tax Rate Reconciliation

Q105 Q205 Q305 Q405 Q106 Q206 Q306 Q406 Q107 Q207 Q307 Q407ReportedIncome from Cont. Ops. Before Tax and Min. Int 233.5 234.3 257.2 261.2 254.7 279.3 287.3 222.7 322.2 318.1 355.2 380.8Minority Interest (4.3) (4.5) (8.3) (5.6) (6.1) (10.2) (6.4) (7.1) (7.9) (7.4) (8.3) (8.8)Income from Cont. Ops. Before Tax 229.2 229.8 248.9 255.6 248.6 269.1 280.9 215.6 314.3 310.7 346.9 372.0Proforma Option Expense (11.0) (10.9) (11.1) (14.9) 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Income from Cont. Ops. Before Tax w/ Option Exp. 218.2 218.9 237.8 240.7 248.6 269.1 280.9 215.6 314.3 310.7 346.9 372.0Tax Expense 63.9 62.8 62.0 70.2 67.0 74.0 75.1 53.0 84.7 83.8 62.4 70.3Tax Rate Reported 29.3% 28.7% 26.1% 29.2% 27.0% 27.5% 26.7% 24.6% 26.9% 27.0% 18.0% 18.9%

ITEMSOperating IncomeGlobal Cost Reduction Plan 72.1 13.7Gain on Contract Termination (36.8)Supp. Pension Plan Charge 10.3Donation/Sale of Cost Investment (5.0)

Tax ExpTax Audit Settlement 27.5Global Cost Reduction Plan 25.3 4.9Gain on Contract Termination (13.2)Supp. Pension Plan Charge 3.9Donation/Sale of Cost Investment 14.8Tax adjustments 11.3

Ex ItemsIncome from Cont. Ops. Before Tax w/ Option Exp. 218.2 218.9 237.8 240.7 248.6 269.1 280.9 287.7 314.3 310.7 346.9 354.2Tax Expense 63.9 62.8 62.0 70.2 67.0 74.0 75.1 78.3 84.7 83.8 89.9 92.0Tax Rate ex Items 29.3% 28.7% 26.1% 29.2% 27.0% 27.5% 26.7% 27.2% 26.9% 27.0% 25.9% 26.0%