Ashland — Nov 4, 2025 release

While some production has been shifted to maintain utilization, these adjustments have temporarily reduced efficiency gains across the network. As a result, incremental cost savings from manufacturing network optimization are now expected to range from $50 million to $55 million until China volumes recover, while the full $60 million program remains achievable as market conditions improve. Despite these timing adjustments, the program is already supporting margins and remains a key lever for future improvement. Ashland is confident these actions will strengthen its cost position and enable further margin expansion as demand recovers. Fiscal 2026 strategic priority targets • Execute : achieve approximately $30 million in cost savings under the $90 million program. • Globalize : generate $20 million in incremental sales by scaling high quality business lines, biofunctional actives, microbial protection, injectables and tablet coatings, across regions and customers. • Innovate : $15 million in incremental innovation driven sales will come from commercializing new technologies and scaling recent launches.   Other key factors included in fiscal 2026 guidance • Accrual of performance-based compensation at target levels and merit increases totaling approximately $20 million • Calvert City production unit: As previously disclosed, the primary impact is related to repairs and lower operational efficiency across its integrated plant network, which is expected to reduce adjusted EBITDA by roughly $10 million • Incremental investments in research and development to advance dis