Bayer and United Nations Establish Global Partnership for Youth Environmental Projects.

PITTSBURGH -- Bayer (NYSE:BAY) has signed an historic agreement with the United Nations Environment Programme (UNEP) to promote environmental projects for young people around the world, Bayer Corporation Chairman and CEO Attila Molnar announced today.

Bayer is the first company to enter into a partnership with UNEP in support of youth and the environment. The agreement was reached at Bayer Group headquarters in Leverkusen, Germany, between Bayer Group Chairman Werner Wenning and UNEP Executive Director Klaus Topfer. It calls for Bayer to provide 1 million euros each year for three years and other non-financial assistance to UNEP.

The agreement extends the corporation's outreach to young scientists in the United States. These programs include Bayer's Making Science Make Sense initiative for elementary school students and Bayer Foundation grants, Molnar said.

"Bayer puts substantial investments of time and financial support into schools from the elementary level through college," Molnar said. "We know that the students of today will supply the bright jolts of discovery leading to the scientific breakthroughs of tomorrow," Molnar said.

Bayer is also a founding member of the United Nation's Global Compact and is participating in the Compact's annual meeting this week. The Compact, founded by U.N. General Secretary Kofi Annan in 2000, works to improve the social and ecological situation in developing countries.

"The Compact helps Bayer apply its policies and standards in developing countries. Together with our own local initiatives and other public-private cooperation programs, the Compact helps to ensure that existing standards are improved and the people in these countries benefit from globalization," Molnar said.

In a related development, Bayer today released its new Sustainable Development Report providing details on its environmental performance and social contributions. The report analyzes data from more than 440 Bayer sites around the world.

Further information about the UNEP agreement can be found at http://www0.un.org/News/Press/docs/2004/eco64.doc.htm and at http://www.unep.bayer.com/. Bayer's 2004 Sustainable Development Report can be found at http://www.sd2004.bayer.com/.

Bayer Corporation, headquartered in Pittsburgh, is part of the worldwide Bayer Group, an international health care and chemicals group based in Leverkusen, Germany. Bayer employs 23,300 in North America with net North American sales of 8.8 billion euros in 2003. Bayer's four operating business areas -- HealthCare, CropScience, Polymers and Chemicals -- produce a broad range of products that help diagnose and treat diseases, purify water, preserve local landmarks, protect crops, advance automobile safety and durability and improve people's lives.

The Bayer Group has 115,400 employees. Its stock is a component of the DAX and is listed on the New York Stock Exchange (ticker symbol: BAY). For 2003, the Group recorded sales of 28.6 billion euros. Capital expenditures totaled 1.7 billion euros, and 2.4 billion euros were invested in research and development. Bayer is a research-based, growth-oriented global enterprise that plans to concentrate on its core competencies in health care, nutrition and innovative materials. It intends to place substantial parts of its existing chemicals and polymers activities into a new company, Lanxess, to be listed on the stock exchange or spun off to Bayer shareholders by the beginning of 2005. The Bayer Group is committed to the principles of sustainable development--with economic growth, ecological integrity and social responsibility according equal priority in its corporate activities throughout the world.

This news release contains forward-looking statements based on current assumptions and forecasts made by Bayer Group management. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of the company and the estimates given here. These factors include those discussed in our public reports filed with the Frankfurt Stock Exchange and with the U.S. Securities and Exchange Commission (including our Form 20-F). The company assumes no liability whatsoever to update these forward-looking statements or to conform them to future events or developments.