8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D. C. 20549

______________

FORM 8-K

______________

CURRENT REPORT

Pursuant to Section 13 or 15(d) of

the Securities Exchange Act of 1934

Date of report (Date of earliest event reported):  November 12, 2009

ASHLAND INC.

(Exact name of registrant as specified in its charter)

Kentucky

(State or other jurisdiction of incorporation)

1-32532	20-0865835
(Commission File Number)	(I.R.S. Employer Identification No.)

50 E. RiverCenter Boulevard, Covington, Kentucky  41011

(Address of principal executive offices)   (Zip Code)

P.O. Box 391, Covington, Kentucky  41012-0391

(Mailing Address)   (Zip Code)

Registrant’s telephone number, including area code (859) 815-3333

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

[  ]	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[  ]	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[  ]	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[  ]	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

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Item 7.01.  Regulation FD Disclosure

Ashland Inc.’s Senior Vice President and Chief Financial Officer, Lamar M. Chambers, is scheduled to speak at 3:15 p.m. this afternoon at the Longbow Research Third Annual Paper, Packaging and Chemicals Conference in Chicago.  A copy of the supporting materials for this presentation is attached hereto as Exhibit 99.1, and incorporated herein by reference.  The supporting materials provide summary information and are to be considered in the context of Ashland’s filings with the Securities and Exchange Commission and other public announcements.

Ashland is furnishing this information pursuant to the Securities and Exchange Commission’s Regulation FD.  By filing this report on Form 8-K, Ashland makes no admission as to the materiality of any information in this report.

Item 9.01.  Financial Statements and Exhibits

(d) Exhibits

99.1 Presentation slides dated November 12, 2009. 

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	ASHLAND INC.
	(Registrant)
November 12, 2009	/s/ David L. Hausrath
	David L. Hausrath
	Senior Vice President and General Counsel

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EXHIBIT INDEX

99.1 Presentation slides dated November 12, 2009.

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EX-99.1

Lamar M. Chambers, Senior Vice President and Chief Financial Officer

Third Annual Longbow Research
Paper, Packaging and Chemicals Conference
November 12, 2009

2

Forward-Looking Statements

This presentation contains forward-looking statements within the meaning of Section 27A of the Securities
Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements are
based upon a number of assumptions, including those mentioned within this presentation. Performance
estimates are also based upon internal forecasts and analyses of current and future market conditions and
trends; management plans and strategies; operating efficiencies and economic conditions, such as prices,
supply and demand, and cost of raw materials; legal proceedings and claims (including environmental and
asbestos matters); and weather. These risks and uncertainties may cause actual operating results to differ
materially from those stated, projected or implied. Other risks and uncertainties include the possibility that
the benefits anticipated from Ashland's acquisition of Hercules will not be fully realized; Ashland's
substantial indebtedness may impair its financial condition; the restrictive covenants under the debt
instruments may hinder the successful operation of Ashland’s business; future cash flow may be
insufficient to repay the debt; and other risks that are described in filings made by Ashland with the
Securities and Exchange Commission (the “SEC”). Although Ashland believes its expectations are based
on reasonable assumptions, it cannot assure the expectations reflected herein will be achieved. This
forward-looking information may prove to be inaccurate and actual results may differ significantly from
those anticipated if one or more of the underlying assumptions or expectations proves to be inaccurate or
is unrealized or if other unexpected conditions or events occur. Other factors, uncertainties and risks
affecting Ashland are contained in Ashland's periodic filings made with the SEC, including its Form 10-K for
the fiscal year ended Sept. 30, 2008,and Forms 10-Q for the quarters ended Dec. 31, 2008, and March 31
and June 30, 2009, which are available on Ashland’s Investor Relations website at
http://investor.ashland.com or the SEC’s website at www.sec.gov. Ashland undertakes no obligation to
subsequently update or revise the forward-looking statements made in this presentation to reflect events or
circumstances after the date of this presentation.

3

Ashland
Consumer
Markets

(Valvoline)

Ashland

Performance
Materials

Ashland

Hercules
Water
Technologies

Ashland

Distribution

Ashland

Aqualon
Functional
Ingredients

#1 global leader
in unsaturated
polyester resins
and vinyl ester
resins

#3 passenger-car
motor oil and
#2 quick-lube
chain in the
United States

#2 plastics
and #3
chemicals
distributor
in North
America

#1 global
producer
of specialty
papermaking
chemicals

#2 global
producer
of cellulose
ethers

Ashland

Strong Leadership Positions
in the Markets We Serve

4

1 For the 12 months ended Sept. 30, 2009.

Ashland Consumer
Markets
34%

Ashland Hercules
Water Technologies

Ashland Hercules
Water Technologies

23%

23%

Ashland

Ashland

Aqualon Functional

Aqualon Functional

Ingredients

Ingredients

24%

24%

•56 percent of EBITDA comes from specialty chemicals

•Nearly 25 percent from renewable materials

Pro Forma Ongoing EBITDA1
by commercial unit

NYSE Ticker Symbol:	ASH
Total Employees:	~14,700
Outside North America	33%
Number of Countries in Which Ashland Has Sales:	More than 100

Corporate Profile

5

Ashland
Distribution
36%

Ashland
Distribution
36%

Ashland
Consumer
Markets
19%

By commercial unit

21%

21%

Ashland
Aqualon
Functional
Ingredients

Ashland
Aqualon
Functional
Ingredients

11%

11%

1 For the 12 months ended Sept. 30, 2009, including intersegment sales.

North
America
68%

North
America
68%

Latin America/
Other - 4%

Europe

Europe

20%

20%

~32 percent of total revenue comes
from outside North America

Trailing 12 Months Pro Forma1
Sales and Operating Revenue

6

To be a leading, global specialty chemicals company
that is a market leader in all major businesses

Ashland Vision for the Future

•Building on three growth
platforms

–Ashland Aqualon Functional
Ingredients

–Ashland Hercules Water
Technologies

–Ashland Performance Materials

•Investing in two primary
chemistries

–Water-soluble polymers

–Thermoset resins

•Sharing three common capabilities

–Application expertise

–Formulation expertise

–Polymerization expertise

•Focusing on five key markets

–Paper and packaging

–Personal care

–Pharmaceutical

–Construction

–Transportation

7

7%

7%

North
America

North
America

40%

40%

Asia
Pacific

Asia
Pacific

17%

17%

Europe

36%

Latin America/

Other - - 7%

Coatings
28%

Coatings
28%

Energy & Spec.
Solutions
23%

Regulated
Industries
29%

Regulated
Industries
29%

Revenue
by Geography

Revenue
by Market

For the 12 Months Ended Sept. 30, 2009

Pro Forma Revenue: $0.9 billion

Pro Forma Ongoing EBITDA: $202 million

Pro Forma Ongoing EBITDA Margin: 22.4%

Business Overview
Customers	•Diversified, global customer base
Products	•Broad product line based on renewable resources -Water-soluble polymers (cellulose ethers and guar derivatives) -Refined wood rosin and natural wood terpenes
Markets	•Water-based paints •Paper coatings •Construction •Oilfield (chemicals and drilling muds) •Regulated markets -Personal care -Food -Pharmaceuticals

Revenue
by Product

CMC
16%

CMC
16%

HEC
29%

HEC
29%

MC
19%

MC
19%

Guar
9%

Guar
9%

Other
14%

Other
14%

Stumpwood
Derivatives

Construction
20%

Construction
20%

Klucel®

6%

6%

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•Use leadership position in cellulose ethers
to drive growth through product innovation
and geographic expansion

•Invest in additional water-soluble polymers that can be
leveraged across multiple growth platforms and markets

•Leverage deep customer relationships
in core markets (coatings, construction,
personal care and pharmaceutical) to introduce
high-value complementary products

Ashland Aqualon Functional Ingredients
Strategy

9

North
America

North
America

46%

46%

Asia
Pacific

Asia
Pacific

12%

12%

Europe

35%

Latin America/

Other - - 7%

Growth
43%

Growth
43%

Base
32%

Revenue
by Geography

Revenue
by Market

For the 12 Months Ended Sept. 30, 2009

Pro Forma Revenue: $1.8 billion

Pro Forma Ongoing EBITDA: $198 million

Pro Forma Ongoing EBITDA Margin: 11.0%

Revenue
by Product

Process
28%

Process
28%

Utility
29%

Utility
29%

Functional
43%

Functional
43%

Business Overview
Customers/ Markets	•Growth –Commercial and–Packaging institutional– Pulp –Food and beverage–Tissue/towel –Mining •Base –Chemicals –General manufacturing –Printing and writing •Opportunistic –Lubricants–Marine*/Other –Municipal* Divested 8/31/09
Products/ Services	•Process chemicals: microbial and contaminant control, pulping aids, retention aids and defoamers •Utility water treatments •Functional chemicals: sizing/wet strength

10

•Build upon leadership in specialty papermaking chemicals
through product-line extension and geographic expansion

•Extend best-in-class, market-focused business model
to additional water-intensive verticals, leveraging
core process chemical technologies

•Continue to optimize operational efficiency
of high-volume functional chemical assets

Ashland Hercules Water Technologies
Strategy

11

North
America

North
America

57%

57%

Europe

26%

Latin
America/
Other - - 7%

Trans-
portation

Trans-
portation

17%

17%

Ind.
Constr.

32%

Business Overview
Customers	•Auto manufacturers; foundries; pipe and tank fabricators; packaging and converting; bathware, countertop and window lineal manufacturers; pipe relining contractors; boat builders; wide and narrow web printers
Products/ Services	•Composites and Adhesives -Unsaturated polyester resins -Vinyl ester resins -Gelcoats -Pressure-sensitive adhesives -Structural adhesives -Specialty resins •Casting Solutions -Foundry binder resins -Chemicals -Sleeves and filters -Design services
Markets	•Construction, packaging and con- verting, transportation, and marine

Revenue
by Geography

Revenue
by Market

For the 12 Months Ended Sept. 30, 2009

Pro Forma Revenue: $1.1 billion

Pro Forma Ongoing EBITDA: $77 million

Pro Forma Ongoing EBITDA Margin: 7.0%

Res. Constr.

10%

Infra-
structure

12%

Asia
Pacific - - 10%

Ashland Performance Materials
A global leader in specialty chemicals

12

•Use market insight and thermoset chemistry expertise
to create innovative substitutes that are stronger,
lighter and more resistant than traditional materials
for transportation, construction and infrastructure markets

•Use leadership position in unsaturated polyester resins
and vinyl ester resins to catalyze growth
in Brazil, Russia, India and China

•Further build position in packaging and converting market,
leveraging historical strength in high-end, solvent-based
adhesives, while growing through new water-based and
radiation-cured technologies

Ashland Performance Materials
Strategy

13

Lubricants

84%

Filters - - 2%

Valvoline
Int'l
20%

Valvoline
Int'l
20%

Do-It-
Yourself

38%

Business Overview
Customers	•Retail auto parts stores and mass merchandisers who sell to consumers; installers, such as car dealers and quick lubes; distributors
Products/ Services	•Valvoline® lubricants and automotive chemicals •MaxLife® lubricants for high-mileage vehicles •SynPower® synthetic motor oil •Eagle One® and Car Brite® appearance products •Zerex® antifreeze •Valvoline Instant Oil Change® service
Market Channels	•Do-It-Yourself (DIY) •Do-It-For-Me (DIFM) •Valvoline International

Revenue
by Product Line

Revenue
by Market Channel

Do-It-
For-Me
40%

DIFM:
Installer channel
29%

Specialty/
Other - - 2%

DIFM:
Valvoline Instant
Oil Change - 11%

Antifreeze - - 5%

Appearance
products - - 2%

Chemicals - - 7%

For the 12 Months Ended Sept. 30, 2009

Pro Forma Revenue: $1.7billion

Pro Forma Ongoing EBITDA: $288 million

Pro Forma Ongoing EBITDA Margin: 16.9%

Ashland Consumer Markets: A leading worldwide
marketer of premium-branded automotive lubricants and chemicals

14

•Use superior consumer insight to create channel-focused
solutions that leverage the Valvoline brand

•Build brand loyalty in key growth segments within
D-I-Y channel, such as youth and Hispanics, through
highly targeted advertising, promotions and programs

•Continue to deliver preferred customer experience
in D-I-F-M channel through superior employee training,
store traffic optimization, point-of-sale enhancements
and highly targeted service offerings

•Develop and strengthen distribution network
for both passenger-car and commercial lubricants
in international markets

Ashland Consumer Markets
Strategy

15

Chemicals

Chemicals

49%

49%

Plastics

39%

Environmental
Services/Other - -
3%

Construction

Construction

23%

23%

Other

16%

Business Overview
Customers	•Diversified customer base in North America and Europe
Products/ Services	•More than 28,000 packaged and bulk chemicals, solvents, plastics and additives •Comprehensive, hazardous and nonhazardous waste- management solutions in North America
Markets	•Construction •Transportation •Chemical manufacturing •Paint and coatings •Retail consumer •Personal care •Medical •Marine

Revenue
by Product
Line

Revenue
by Market

Trans-
portation

14%

Paint & Coatings - 11%

Medical - - 6%

Marine - - 3%

Com-
posites

9%

Chemical Mfg.
- 11%

Retail
Consumer - - 8%

Personal
Care - - 8%

For the 12 Months Ended Sept. 30, 2009

Pro Forma Revenue: $3.0 billion

Pro Forma Ongoing EBITDA: $84 million

Pro Forma Ongoing EBITDA Margin: 2.8%

Ashland Distribution
A leading North American chemicals and plastics distributor

16

•Continue focus on efficiency to create
highest-value channel for customers and suppliers

•Build best-in-class product offering by aligning
with globally leading suppliers that:

–have low-cost production

–can ensure continuity of supply

–are investing in their business

–are industry leaders in quality and reliability

•Leverage Ashland's technical resources and asset network
to provide mass market penetration for specialty products

Ashland Distribution
Strategy

17

18

Cumulative Headcount
Reductions

Annualized Run-rate
Savings (in millions)

Original
Cost-
Structure
Initiatives

Hercules
Integration

Other
Initiatives

Fiscal Fourth Quarter 2009
Cost-Reduction Program Update

•Achieved run-rate cost reductions of $355 million

–$84 million achieved in Q4, including $51 million of selling, general and
administrative expenses

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1 Free cash flow is defined as Cash Flows Provided by Operating Activities from Continuing Operations less
Additions to Property, Plant and Equipment less Cash Dividends Paid.

Investment Highlights

•Among top 10 specialty chemicals companies worldwide

•Long-term investment opportunities within specialty
chemicals businesses

•Continued emphasis on strong cash flow generation

–Generated free cash flow1 of $831 million in FY 2009

•Reduced debt by $1 billion since Hercules acquisition
in November 2008

–Achieved targeted debt level

•Improved business models, pricing processes and
margin management

•Expect Consumer Markets' results to be much nearer
2009 record results than previous historical results

20

Investment Highlights

•Successfully integrated Hercules business

–Strong performance from Water Technologies

–Cost-reduction targets achieved

•$355 million in total Ashland run-rate savings
achieved at September 30

–$400 million of total cost reductions,
roughly two-thirds permanent

•Ashland is well-positioned to leverage scale
and outperform as the economy improves