Eastman Half-Year Report 2023

2Q 2023 highlights

• Solid sequential improvement in earnings driven by disciplined pricing, lower variable costs, and cost-saving initiatives
• Destocking continued, and primary demand was weaker than expected across most end markets
• Delivered strong operating cash flow in 1H23 despite weak demand
• Continued adoption of Eastman Renew materials ahead of startup of Kingsport methanolysis facility
• Named to Forbes’ Net Zero Leaders List, highlighting our position as a sustainability leader

Corporate Segment

2Q23 vs. 2Q22 highlights

• Continued weak primary demand and customer inventory destocking across several end markets, particularly consumer durables, building and construction, agriculture, and medical
• Resilient selling prices and significantly lower variable costs
• Lower capacity utilization and higher pension expense
• $15 million negative EBIT impact from
  foreign currency