Air Liquide Expands Its Industrial Merchant Capacity in the U.S.

HOUSTON -- Air Liquide continues to selectively expand production capacity in the U.S. to meet the growing demands of its key industrial markets.

Driven by strong demand in Southern California from the aerospace, defense, food and biotechnology sectors, Air Liquide will increase its production capacity for liquid oxygen and nitrogen by 50% for the Los Angeles market (on stream 2Q '08) and will open a new carbon dioxide (CO2) facility in Madera, California that is expected to be online by the end of this year.

These investments are in addition to other recent investments which will add overall 1,000 tons per day of new liquid oxygen and nitrogen capacity at Salt Lake City (Utah), Ghent (Kentucky), Longview and Freeport (Texas), to be on stream by early 2008. Air Liquide will also expand its production and distribution capabilities of liquid argon by adding 200 tons per day of capacity in 2008.

These investments in production and distribution are driven by the strength of the U.S. economy in certain regions. They will strengthen the reliability and efficiency of Air Liquide's industrial gas supply to better serve its diverse customer base.

Pierre Dufour, member of the Executive Committee, President and CEO Air Liquide America Holdings,Inc stated: "Air Liquide's recent investments in certain regions of the U.S. are in line with the company's growth strategies and driven by the country's advanced industrial needs. We recognize the breadth and diversity of the industrial markets in the U.S. and are reaffirming our commitment to meet the ever changing needs of our customers."

Air Liquide's Industrial Merchant business in the U.S. provides bulk gases and related services to the world's largest and most progressive bulk gas market, bringing value through innovative, reliable solutions to real customer needs.

Air Liquide in the U.S. employs nearly 4,000 people and serves thousands of customers from more than 200 locations across the country.

With nearly 37,000 employees in 72 countries, Air Liquide is a world leader in industrial and medical gases and related services. The Group offers innovative solutions based on constantly enhanced technologies and produces air gases (oxygen, nitrogen, argon, rare gases...) and many other gases including hydrogen. The Group contributes to the manufacturing of many everyday products: bubbles in sparkling beverages, protective atmosphere for packed foods, oxygen for hospitals and homecare patients, ultra-pure gases for the semiconductor industry, hydrogen to desulfurize fuels...

Air Liquide is committed to sustainable development and helps to protect life. Founded in 1902, Air Liquide has successfully developed a long-term relationship with its shareholders built on trust and transparency and guided by the principles of corporate governance. Since the publication of its first consolidated financial statements in 1971, Air Liquide has posted strong and steady earnings growth. Sales in 2006 totaled 10,949 million euros, with sales outside France accounting for almost 80%. Air Liquide is listed on the Paris stock exchange and is a component of the CAC 40 and Eurostoxx 50 indices (ISIN code FR 0000120073).