Ashland Inc. and Consolidated Subsidiaries																		Page 5
COMPONENTS OF OPERATING INCOME
(In millions)
		Three Months Ended September 30, 2006
		Performance									Water			Unallocated
		Materials			Distribution			Valvoline			Technologies			& Other				Total
OPERATING INCOME
	Environmental remediation expense	$	(6.7)		$	(8.7)		$	0.3		$	(2.0)		$	(6.3)		$	(23.4)
	Severance costs		(0.4)			(2.0)			(1.7)			(6.1)			(0.4)			(10.6)
	Insurance settlements		2.7			3.5			-			0.9			10.8			17.9
	Asset impairments		-			-			(4.4)			(0.1)			-			(4.5)
	Corporate costs previously charged to APAC		-			-			-			-			(7.5)			(7.5)
	All other operating income		22.2			32.8			(8.8)			12.2			(2.1)			56.3
		$	17.8		$	25.6		$	(14.6)		$	4.9		$	(5.5)		$	28.2
		Three Months Ended September 30, 2005
		Performance									Water			Unallocated
		Materials			Distribution			Valvoline			Technologies			& Other				Total
OPERATING INCOME
	Environmental remediation expense	$	(1.0)		$	(1.4)		$	(0.1)		$	(0.3)		$	(0.1)		$	(2.9)
	Severance costs		-			-			(1.1)			-			-			(1.1)
	Insurance settlements		-			-			-			-			(13.2)			(13.2)
	Asset impairments		(0.5)			(0.8)			-			-			-			(1.3)
	Corporate costs previously charged to APAC		-			-			-			-			(13.0)			(13.0)
	All other operating income		16.5			21.5			11.5			2.3			1.5			53.3
		$	15.0		$	19.3		$	10.3		$	2.0		$	(24.8)		$	21.8