Koppers RESULTS FOR FOURTH QUARTER 1998

(MILLIONS EXCEPT EARNINGS PER SHARE)

(ALL UNAUDITED EXCEPT ACTUAL YEAR

ENDED DECEMBER 31, 1997)

YEARS ENDED DECEMBER 31,

QUARTERS ENDED DECEMBER 31,

PRO FORMA

PRO FORMA

1998

1997

1997 *

1997 **

1998

1997

1997 *

1997 **

ADJUSTED

ADJUSTED

INCOME STATEMENT DATA:

NET SALES

$670.6

$593.1

$697.4

$697.4

$158.8

$140.8

$167.8

$167.8

OPERATING EXPENSES:

COST OF SALES

$554.7

$501.4

$575.1

$575.1

$133.1

$120.6

$139.7

$139.7

DEPRECIATION & AMORTIZATION

$30.6

$23.5

$30.4

$30.4

$7.9

$5.6

$7.4

$7.4

SELLING, GEN'L & ADMIN.

$37.7

$28.1

$38.4

$37.6

$8.5

$6.5

$9.5

$9.5

RESTRUCTURING CHARGES

$0.0

$45.4

$45.4

$0.0

$0.0

$45.4

$45.4

$0.0

TOTAL OPERATING EXPENSES

$623.0

$598.4

$689.3

$643.1

$149.5

$178.1

$202.0

$156.6

OPERATING PROFIT

$47.6

($5.3)

$8.1

$54.3

$9.3

($37.3)

($34.2)

$11.2

EQUITY IN EARNINGS OF AFFILIATES

$2.4

$5.3

$2.9

$2.9

$0.4

$0.6

$0.7

$0.7

OTHER EXPENSE

$0.0

$1.4

$4.7

$0.5

$0.0

$0.0

$2.5

($0.3)

EARNINGS BEFORE INTEREST & TAXES (EBIT)

$50.0

($1.4)

$6.3

$56.7

$9.7

($36.7)

($36.0)

$12.2

EBIT ADJUSTED FOR ONE-TIME CHARGES

$50.0

$47.6

$9.7

$10.1

INTEREST EXPENSE

$29.7

$17.3

$7.7

$4.9

INCOME (LOSS) BEFORE TAXES

$20.3

($18.7)

$2.0

($41.6)

INCOME TAX PROVISION (BENEFIT)

($0.3)

($19.7)

($0.2)

($20.4)

MINORITY INTEREST

$0.5

$0.0

$0.0

$0.0

NET INCOME BEFORE EXTRAORDINARY ITEM

$20.1

$1.0

$2.2

($21.2)

LOSS ON EARLY EXTINGUISHMENT OF DEBT

$0.0

($6.7)

$0.0

($6.7)

NET INCOME

$20.1

($5.7)

$2.2

($27.9)

DILUTED EARNINGS PER SHARE

$4.85

($0.65)

$0.55

($5.96)

EBITDA:

EARNINGS BEFORE INTEREST & TAXES

$50.0

($1.4)

$6.3

$56.7

$9.7

($36.7)

($36.0)

$12.2

PLUS DEPRECIATION & AMORTIZATION

$30.6

$23.5

$30.4

$30.4

$7.9

$5.6

$7.4

$7.4

NON-CASH EQUITY INCOME

($1.3)

($0.3)

($0.4)

($0.4)

($0.4)

($0.6)

($0.7)

($0.7)

EARNINGS BEFORE INTEREST, TAXES

$79.3

$21.8

$36.3

$86.7

$17.2

($31.7)

($29.3)

$18.9

DEPRECIATION & AMORTIZATION (EBITDA)

ONE-TIME CHARGES

$0.0

$49.0

$50.4

$0.0

$46.8

$48.2

ADJUSTED EBITDA

$79.3

$70.8

$86.7

$17.2

$15.1

$18.9

OTHER DATA:

DILUTED EPS SHARES OUTSTANDING

4.1

8.7

4.0

4.7

CAPITAL EXPENDITURES (EXCL. ACQUISITIONS)

$20.2

$19.8

$9.7

$6.8

TOTAL DEBT

$332.7

$320.7

EQUITY DIVIDENDS

$1.1

$5.0

$2.5

$2.5

$0.0

$0.0

$0.0

$0.0

LIFO EFFECT ON EARNINGS

($1.4)

($2.9)

($2.9)

($2.9)

($0.4)

($0.8)

($0.8)

($0.8)

*-INCLUDES KOPPERS AUSTRALIA 1997 RESULTS

@ 1998 EXCHANGE RATES

**-EXCLUDES ONE-TIME CHARGES