Ashland Inc. and Consolidated Subsidiaries							Page 3
STATEMENTS OF CONSOLIDATED CASH FLOWS
(In millions - unaudited)
			Three months ended
			December 31
			2004			2003
CASH FLOWS FROM OPERATIONS
	Income from continuing operations		$	94		$	39
	Expense (income) not affecting cash
		Depreciation, depletion and amortization (a)		46			48
		Deferred income taxes		17			21
		Equity income from affiliates		(146)			(38)
		Distributions from equity affiliates		1			148
		Other items		2			-
	Change in operating assets and liabilities (b)			(68)			(150)
				(54)			68
CASH FLOWS FROM FINANCING
	Proceeds from issuance of common stock			20			17
	Repayment of long-term debt			(98)			(38)
	Increase in short-term debt			211			-
	Dividends paid			(20)			(19)
				113			(40)
CASH FLOWS FROM INVESTMENT
	Additions to property, plant and equipment (a)			(55)			(53)
	Purchase of operations - net of cash acquired			(95)			-
	Other - net			2			9
				(148)			(44)
CASH USED BY CONTINUING OPERATIONS				(89)			(16)
	Cash used by discontinued operations			(8)			(6)
DECREASE IN CASH AND CASH EQUIVALENTS			$	(97)		$	(22)
DEPRECIATION, DEPLETION AND AMORTIZATION
	APAC		$	22		$	25
	Ashland Distribution			4			4
	Ashland Specialty Chemical			11			10
	Valvoline			6			6
	Corporate			3			3
			$	46		$	48
ADDITIONS TO PROPERTY, PLANT AND EQUIPMENT
	APAC		$	33		$	5
	Ashland Distribution			5			1
	Ashland Specialty Chemical			11			10
	Valvoline			5			3
	Corporate			1			34
			$	55		$	53
__________
(a)	Excludes amounts related to equity affiliates. Ashland's 38 percent share of MAP's DD&A was $41 million in 2004 and
	$37 million in 2003, and its share of MAP's capital expenditures was $138 million in 2004 and $109 million in 2003.
(b)	Excludes changes resulting from operations acquired or sold.