2016 Benefit Plans Summary Annual Reports

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1 Global Human Resources 2016 Benefit Plans Summary Annual Reports Retirees of Union Carbide Corporation and certain of its Subsidiaries

2 Summary Annual Reports For Benefit Plans Sponsored By UNION CARBIDE CORPORATION This document provides the summary annual reports of the benefit plans applicable to eligible retirees and certain disabled employees of Union Carbide Corporation and certain of its subsidiaries (collectively referred to as Union Carbide ) for the 2016 Plan year. Complete annual reports for the Plans described in this document have been filed with the Employee Benefits Security Administration as required by the Employee Retirement Income Security Act of 1974, as amended (ERISA). You may not be eligible for every benefit plan described in this pamphlet. Union Carbide Corporation and The Dow Chemical Company each reserve the right to amend, modify and terminate their respective benefit plans. Summary Annual Report for UNION CARBIDE CORPORATION RETIREE MEDICAL CARE PROGRAM Plan Number 540 Employer Identification # This Plan is applicable to eligible retirees of Union Carbide. Medical benefits were paid from the general assets of Union Carbide Corporation as described in 29 CFR (b) (1)(iii). 1

3 Summary Annual Report for UNION CARBIDE CORPORATION RETIREE INSURED HEALTH PROGRAM Plan Number 555 Employer Identification # This Plan is applicable to eligible retirees of Union Carbide. Insured health benefits were paid through insurance policies as described in 29 CFR (b)(1)(iii). Other Information Benefits are also provided by various Health Maintenance Organizations that are administered by Willis Towers Watson, as the HMO network manager. Benefits are also provided by Triple S Insurance Company. A total premium of $13,852,946 was paid for the HMO s and Triple S for the Plan year ending December 31, Your Rights to Additional Information report, or any part thereof, on request. The item listed below is included in that report. 1. HMO information including sales commissions paid by HMO s and insurance carriers is included in the full annual report. Summary Annual Report for UNION CARBIDE CORPORATION LONG TERM DISABILITY PLAN Plan Number 545 Employer Identification # This is a summary of the annual report of the Union Carbide Corporation Long Term Disability Plan for This Plan is applicable to Union Carbide employees who had a qualifying disability prior to January 1, Those Union Carbide employees who became disabled on or after January 1, 2002, and meet the requirements of the Plan, are eligible to participate in the Dow Chemical Company Long Term Disability Income Protection Plan. The Plan is funded using two separate Voluntary Employees Beneficiary 2

4 Association Trusts (VEBA). One VEBA trust is funded with contributions from employee contributions. The other VEBA trust is funded with contributions from Union Carbide Corporation. The Plan may also be funded with the company s general assets. For the Plan year ending December 31, 2016, Plan expenses were $108,644, which included $96,524 in benefits paid to participants and beneficiaries, and $12,120 in administrative expenses. The value of Plan assets, after subtracting liabilities and benefit obligations of the plan, was $0 as of December 31, 2016, compared to ($2,726,910), as of January 1, During the Plan year, the Plan experienced a change in its net assets of $2,726,910. This change includes unrealized appreciation and depreciation in the value of plan assets; that is the difference between the value of the plan s assets at the end of the year and the value of the assets at the beginning of the year, or the cost of assets acquired during the year. During the year, the Plan had total income of $2,835,554, including employer contributions of $2,835,554. Summary Annual Report for The Dow Chemical Company LONG TERM DISABILITY PROGRAM (Applicable to those fully disabled prior to January 1, 2008) Plan Number 506 Employer Identification # This is a summary of the annual report of The Dow Chemical Company Long Term Disability Program for This Plan is applicable to Union Carbide employees who had a qualifying disability on or after January 1, 2002 and prior to January 1, The annual report has been filed with the Employee Benefits Security Administration, as required under the Employee Retirement Income Security Act of 1974 (ERISA). 3

5 Insurance Information This Plan has an insurance contract with Metropolitan Life Insurance Company (MetLife) to pay Long Term Disability claims for up to a maximum of 2 Calendar Years beginning from the date the waiting period ends with respect to a Period of Disability and ending on the last day of the Calendar Year during which that period of disability began, if the qualifying disability was incurred prior to January 1, The Plan has a fully insured contract with MetLife for claims where the qualifying disability occurred on or after January 1, The total premium paid for the plan year ending December 31, 2016 was $448,239. The total of all benefit claims paid under the experienced-rated contract during the plan year was $319,787. Basic Financial Information The value of Plan assets, after subtracting liabilities and benefit obligations of the Plan, was $0 as of December 31, 2016 compared to ($410,505) as of January 1, During the Plan year, the Plan experienced a change in its net assets of $410,505. This change includes unrealized appreciation and depreciation in the value of the Plan assets; that is, the difference between the value of the Plan s assets at the end of the year, and the value of the assets at the beginning of the year, or the cost of assets acquired during the year. During the Plan year, the Plan had total income of $382,000 including employer contributions of $195,917, and earnings from investments of $186,083. After December 31, 2002, no employee contributions will be added to the Trust. Plan expenses were ($28,505). These expenses included $2,196 in administrative expenses and $3,382,739 paid to insurance carriers for the provision of benefits offset by $3,413,440 of estimated benefit claims payable as of December 31,

6 Your Rights to Additional Information report, or any part thereof, on request. The items listed below are included in that report. 1. financial information and information on payments to service providers; 2. an accountant s report; 3. transactions in excess of 5% of the Plan assets; 4. insurance information, including sales commissions by insurance carriers; and 5. information regarding any common or collective trusts, pooled separate accounts, master trusts or investment entities in which the plan participates. Summary Annual Report for The Dow Chemical Company LONG TERM DISABILITY PLAN (For Those Actively at Work January 1, 2008 and After) Plan Number 606 Employer Identification # This is a summary of the annual report of the Long Term Disability Plan (for those actively at work January 1, 2008 and after) for This Plan is fully insured by the insurance carrier. The annual report has been filed with the Employee Benefits Security Administration, as required under the Employee Retirement Income Security Act of 1974 (ERISA). Insurance Information The Plan has a contract with Liberty Mutual Assurance Company of Boston to pay long term dis-ability claims incurred under the terms of the Plan for those actively at work after January 1, The total premium paid for the Plan year ending December 31, 2016 was $5,108,397. 5

7 Your Rights to Additional Information report, or any part thereof, on request. The item listed below is included in that report. 1. insurance information including sales commissions paid by insurance carriers. Summary Annual Report for The Dow Chemical Company GROUP LIFE INSURANCE PROGRAM Plan Number 507 Employer Identification # This is a summary of the annual report of the Group Life Insurance Program for The Group Life Insurance program covers eligible retirees of Union Carbide. The annual report has been filed with the Employee Benefits Security Administration, as required under the Employee Retirement Income Security Act of 1974 (ERISA). The Plan has a contract with Metropolitan Life Insurance Company to pay Life Insurance claims incurred under the terms of the Program. The total premium paid for the Plan year ending December 31, 2016 was $30,672,251. Because it is a so-called experience-rated contract, the premium costs are affected by, among other things, the number and size of claims. The premium paid under this experience-rated contract was $30,672,251 and the total of all benefit claims paid under this experience-rated contract during the Plan year was $29,847,266. Your Rights to Additional Information report, or any part thereof, on request. The item listed below is included in that report. 1. insurance information including sales commissions paid by insurance carriers. 6

8 Summary Annual Report for The Dow Chemical Company EMPLOYEE-PAID AND DEPENDENT LIFE INSURANCE PLANS Plan Number 515 Employer Identification # This is a summary of the annual report of the Employee-Paid and Dependent Life Insurance Plan for This Plan is available to eligible retired Union Carbide employees. The annual report has been filed with the Employee Benefits Security Administration, as required under the Employee Retirement Income Security Act of 1974 (ERISA). Insurance Information The Plan has a contract with Metropolitan Life Insurance Company to pay life insurance claims incurred under the terms of the Plan. The total premium paid for the Plan year ending December 31, 2016 was $14,817,461. Your Rights to Additional Information report, or any part thereof, on request. The item listed below is included in that report. 1. insurance information including sales commissions paid by insurance carriers. Summary Annual Report for The Dow Chemical Company RETIREMENT HEALTH CARE ASSISTANCE PLAN - ACTIVE EMPLOYEES Plan Number 540 Employer Identification # This is a summary of the annual report of the Retirement Health Care Assistance Plan for The annual report has been filed with the Employee Benefits Security Administration, as required under the Employee Retirement Income Security Act of 1974 (ERISA). 7

9 Basic Financial Statement The value of the Plan assets after subtracting liabilities of the Plan was $252,444,214 as of December 31, 2016, compared to $416,827,431 as of January 1, During the Plan year, the Plan experienced a change in its net assets of ($164,383,217). This change includes unrealized appreciation and depreciation in the value of Plan assets; that is, the difference between the value of the Plan s assets; that is, the difference between the value of the Plan s assets at the end of the year and the value of assets at the beginning of the year or the cost of assets acquired during the year. During the Plan year, the Plan had total income of $39,211,518 including employer contributions of $19,087,428, employee contributions of $9,712,941 and earnings from investments of $10,411,149. Plan expenses were $607,212. These expenses included $77,393 in administrative expenses and $529,819 in benefits paid to participants and beneficiaries. With the creation of The Dow Chemical Company Retirement Health Care Assistance Plan for Retirees, $202,987,523 in assets were transferred to that Plan. Additional Explanation Employee contributions are made to The Dow Chemical Company Employee Benefit Plan Trust renamed on December 9, 2002, The Dow Chemical Company Retirement Health Care Assistance Plan Trust. Your Rights to Additional Information report, or any part thereof, on request. The items listed below are included in that report. 1. an accountant s report; 2. financial information and information on payments to service providers; and 3. information regarding any common or collective trusts, pooled separate accounts, master trusts or investment entities in which the plan participates. 8

10 Summary Annual Report for The Dow Chemical Company RETIREMENT HEALTH CARE ASSISTANCE PLAN - RETIREES Plan Number 541 Employer Identification # This is a summary of the annual report of the Retirement Health Care Assistance Plan for This the first annual report and has been filed with the Employee Benefits Security Administration, as required under the Employee Retirement Income Security Act of 1974 (ERISA). This plan is available to Union Carbide retirees who participated in the plan as active employees and have positive account balances. Basic Financial Statement The value of the Plan assets after subtracting liabilities of the Plan was $209,811,121 as of December 31, 2016, compared to $0 as of January 1, During the Plan year, the Plan experienced a change in its net assets of $209,811,121. This change includes unrealized appreciation and depreciation in the value of Plan assets; that is, the difference between the value of the Plan s assets at the end of the year and the value of assets at the beginning of the year or the cost of assets acquired during the year. During the Plan year, the Plan had total income of $16,828,164 including employer contributions of $8,414,082 and earnings from investments of $8,414,082. Plan expenses were $10,004,566. These expenses included $69,782 in administrative expenses and $9,934,784 in benefits paid to participants and beneficiaries. The amount of $202,987,523 was transferred from The Dow Chemical Company Retirement Health Care Assistance Plan for Active Employees into the Plan. Additional Explanation Employee contributions are made to The Dow Chemical Company Employee Benefit Plan Trust renamed on December 9, 2002, The Dow Chemical Company Retirement Health Care Assistance Plan Trust. 9

11 Your Rights to Additional Information report, or any part thereof, on request. The items listed below are included in that report. 1. an accountant s report; 2. financial information and information on payments to service providers; and 3. information regarding any common or collective trusts, pooled separate accounts, master trusts or investment entities in which the plan participates. Summary Annual Report for The Dow Chemical Company EMPLOYEES SAVINGS PLAN Plan Number 002 Employer Identification # This is a summary of the annual report for The Dow Chemical Company Employees Savings Plan for The annual report has been filed with the Employee Benefits Security Administration, as required under the Employee Retirement Income Security Act of 1974 (ERISA). Basic Financial Statement Benefits under the Plan are provided by The Dow Chemical Company Employees Savings Plan Trust. Plan expenses were $858,943,816. These expenses included $849,579,104 for benefits paid to participants and beneficiaries, $55,574 in certain deemed and/or corrective distributions, $2,999,142 in administrative expenses and $6,309,996 in other expenses. A total of 41,584 persons were participants in or beneficiaries of the Plan at the end of the Plan year. The value of Plan assets, after subtracting liabilities of the Plan, was $11,147,281,129 as of December 31, 2016, compared to $9,559,925,188 as of January 1, During the Plan year, the Plan experienced a change in its net assets of $1,587,355,941. This change includes unrealized appreciation or depreciation in the value of Plan assets; that is, the difference between the value of the Plan s assets at the end of the year and the value of the assets at the beginning of the year, or the cost of assets acquired during the year. 10

12 The Plan had total income of $1,285,298,898, including employer contributions of $175,911,030, employee contributions of $245,719,535, other contributions/ other income of $102,228,460, gains/(losses) of $37,766,519 from the sale of assets, and earnings from investments of $723,673,354. Increase in Net Assets Net assets as of January 1, 2016 were: $9,559,925, net assets increase: $1,587,355,941 Net assets as of December 31, 2016 were: $11,147,281,129 Your Rights to Additional Information report, or any part thereof, on request. The items listed below are included in that report. 1. an accountant s report; 2. financial information and information on payments to service providers; 3. assets held for investment; 4. information regarding any common or collective trusts, pooled separate accounts, master trusts or investment entities in which the plan participates; and 5. transactions in excess of 5% of the plan assets. 11

13 Your Rights to Additional Information To obtain a copy of the full annual report, or any part thereof, write The Dow Chemical Company, Dow North America Benefits, 2040 Dow Center, Midland, Michigan (800) You also have the right to receive from the Plan Administrator, on request and at no charge, a statement of the assets and liabilities of the plan and accompanying notes, or a statement of income and expenses of the plan and accompanying notes, or both. If you request a copy of the full annual report from the Plan Administrator, these two statements and accompanying notes will be included as part of that report. You also have the legally protected right to examine the annual report at the Dow North America Benefits, Midland, Michigan, and at the U.S. Department of Labor in Washington, D.C. or to obtain a copy from the U.S. Department of Labor upon payment of copying costs. Requests to the Department of Labor should be addressed to: Public Disclosure Room, N1513, Employee Benefits Security Administration, U.S. Department of Labor, 200 Constitution Avenue, N.W., Washington, D.C

14 The Dow Chemical Company Dow North America Benefits 2040 Dow Center Midland, Michigan McK PRESORTED FIRST CLASS MAIL US POSTAGE PAID MIDLAND MI PERMIT NO. 16 McKAY236894

2016 Benefit Plans Summary Annual Reports

Global Human Resources 2016 Benefit Plans Summary Annual Reports Employees and Retirees of and Participating Subsidiaries December, 2017 Each year the administrator of the insured or funded welfare plans