Owens Corning (OC) 8-K Mike Thaman, Chairman & CEO-Elect

CIBC World Markets

2

nd

Annual Industrial Conference

Mike Thaman, Chairman & CEO-Elect

October 2, 2007

Exhibit 99.1

2

Forward-looking Statement and

Non-GAAP Measures

This presentation contains forward-looking statements within the meaning of

Section 27A of the Securities Act of 1933, as amended, and Section 21E of

the Securities Exchange Act of 1934, as amended. These forward-looking

statements are subject to risks and uncertainties that could cause actual

results to differ materially from those projected in these statements.  The

forward-looking statements speak as of the date September 28, 2007,and

are subject to change. The Company does not undertake any duty to update

or revise forward-looking statements.

Further information on factors that could affect the Company's financial and

other results is included in the Company's Forms 10-Q and 10-K, filed with

the Securities and Exchange Commission. Additional Company information

is available on the Owens Corning Web site: www.owenscorning.com.

Certain data included within this presentation contains "non-GAAP financial

measures" as defined by the Securities and Exchange Commission.

A

reconciliation of these

non-GAAP financial measures to their most directly

comparable financial measures calculated and presented in accordance with

generally accepted accounting principles can be found on our Web

site

referenced above.

Results for 2006 reflect the application of Fresh Start

accounting as of October 31, 2006.

3

Owens Corning At A Glance

•

Founded in 1938, an industry leader in

glass fiber insulation, roofing and asphalt, 

and glass fiber composite solutions

•

2006 sales: $6.5 billion

•

16,000 employees in 26 countries

•

Market capitalization: $3.3 billion

•

Diluted shares outstanding: 131.1 million

•

Senior debt ratings: Baa3/BBB-

•

A Most Admired Company in FORTUNE

magazine’s buildings materials –

glass

category for 2007

•

FORTUNE 500 company for 53

consecutive years

4

Market Leadership &

Strong Brand Equity

Leading North American

Market Positions

•

Residential Insulation

•

Commercial & Industrial

Insulation

•

Manufactured Stone Veneer

•

Residential Shingles

•

Roofing Asphalts

Global Leader

•

Glass Fiber Reinforcement

Materials for Composites

5

Business Segment Overview 

(1)

Percentages

by

segment

based

on

revenue

of

$2.943

B

before

corporate

eliminations

(2)

Percentages

based

on

segment

results

before

Chapter

11-related

reorganization

items,

restructuring

credits,

OCV

Reinforcements

transaction

costs,

gains

(losses)

related

to

exit

of

Home

Experts

service

line,

losses

related

to

strategic

reviews,

and

the

employee

emergence

equity

program

Adjusted EBIT:

$186 million

(2)

Insulating

Systems

29%

Roofing &

Asphalt

24%

Composite

Solutions

28%

Other Building

Materials & Services

18%

Insulating

Systems

51%

Roofing &

Asphalt

12%

Composite

Solutions

29%

Other Building

Materials & Services

8%

Revenue:                               

$2.9 billion

(1)

Six Months Ended June 30, 2007

6

2007:  Noteworthy Achievements

•

Portfolio rebalancing

–

Sold Owens Corning’s Siding Solutions Business to Saint-

Gobain for $371 million

–

Acquiring Saint-Gobain’s Reinforcement and Composites

business for $640 million

–

Sold Fabwel unit for $60 million

–

Divesting two glass fiber reinforcement manufacturing

facilities in Battice, Belgium and Birkeland, Norway

–

Sold small Composites (continuous filament mat) facility in

Huntingdon, Penn to AGY

•

Share buy back of up to 5% authorized by Board of

Directors

•

Pink Panther™

license-agreement extended to 2021

7

U.S. & Canada

Residential Repair &

Remodeling

32%

U.S. & Canada

New Residential

Construction

37%

International

13%

U.S. & Canada

Commercial

& Industrial

18%

U.S. & Canada

Residential Repair  

& Remodeling

26%

U.S. & Canada

New Residential

Construction

29%

International

23%

U.S. & Canada

Commercial

& Industrial

22%

2006

(1)

Revenue By

End Market

Expected Revenue by End

Market, after Portfolio

Rebalancing

(1)

Rebalancing of End-Use Markets

Source: Management Estimates

(1)

Percentages by segment based on revenue of $6.6B before corporate eliminations

Insulating Systems Business

9

How Our Products are Used in the Home

Insulation in existing homes saves 48% of the energy that

otherwise would have been consumed

Attic/Flat Ceilings

Cathedral

Ceilings

Interior/

Exterior

Walls

Ductwork

Rigid Foam

Insulated

Concrete Forms

Under Floor

Water Resistant

Membrane

Foam Sheathing

House Wrap

10

How Our Products are Used Commercially

Insulation in existing commercial buildings saves at least

30% of the total U.S. commercial energy consumption

Insulation for Noise Control

And Thermal Protection in

Interior & Exterior Walls

Owens Corning

Duct Solutions

Pipe

Insulation

Metal Building

Insulation

Foam

Sheathing

11

2006 Insulating Systems

Revenue by End Market

U.S. & Canada

New Residential

Construction

60%

U.S. & Canada

Repair & Remodeling

13%

U.S. & Canada

Commercial & Industrial

19%

International

8%

Owens Corning has leading share of the

North American fiberglass insulation market

Source: Management Estimates

12

Insulating Systems Financial Overview

Sales

EBIT Margin as % of Sales

500

1,000

1,500

2,000

$2,500

2003

2004

2005

2006

LTM-

6/30/07

0%

5%

10%

15%

20%

25%

Strategies for Success

•

Leading through the cycle

•

Grow the North American market

•

Global expansion

Composite Solutions Business

15

Diverse Industry Markets

Key drivers in major markets:

•

Low cost, lightweight transportation

•

High strength and durable

infrastructure

•

Affordable and renewable energy

•

Smaller, more functional electronics

•

Aesthetically pleasing,

low-maintenance housing

Source: Owens Corning 2005 Global Market Analysis

Infrastructure

13%

Consumer

14%

Electronics

11%

Transportation

11%

Marine

5%

Aerospace

& Defense

2%

Construction

24%

Automotive

20%

Global Composites Markets

16

Composite Solutions

Estimated Revenue by End Market,

after Portfolio Rebalancing

1,250

1,300

1,350

1,400

1,450

1,500

1,550

1,600

1,650

2004

2005

2006

LTM-

6/30/07

0%

4%

8%

12%

Financial Performance ($MM)*

Sales

EBIT Margin as % of Sales

*Excludes gains from the sale of metal ($37 million LTM, $45 million in 2006, $7 million in 2005), Source: Owens Corning 2006 10K and 2007 10Q1

Source: Management Estimates, based on Pro Forma 2006 for full year of operations

U.S. & Canada

Commercial & Industrial

26%

U.S. & Canada

Residential

Repair

& Remodeling

8%

U.S. & Canada

New Residential

Construction

3%

International

63%

17

Acquisition of Saint-Gobain’s Reinforcement &

Composites Business

•

Accelerates Owens Corning’s global growth strategy

•

Further establishes Owens Corning’s presence in fast-growing

international markets –

while reducing reliance on U.S. housing starts

•

Annual pre-tax cost synergies of more than $100 million expected by

fourth full year after close

•

Acquisition funded by divestiture proceeds, cash on hand, cash flow

from operations and existing credit facility

•

Transaction expected to close during the fourth quarter of 2007

Roofing & Asphalt

Roofing and Asphalt –

Our Products

•

Shingle coating

•

Commercial

roofing

•

Waterproofing

•

Industrial and

specialty applications

•

Hip & ridge shingles

•

Ventilation products

•

WeatherLock

®

underlayment

•

Starter strip shingles

•

Strips

•

Laminates

•

Heavyweight

laminates

20

Our Markets

2006 R&A Revenue by End Market

U.S. & Canada

Commercial & Industrial

11%

U.S. & Canada

New

Residential

Construction

25%

U.S. & Canada

Residential

Repair & Remodeling

64%

Source: Management Estimates

21

Roofing & Asphalt Financial Overview

Financial performance ($MM)

Sales

EBIT Margin as % of Sales

500

1,000

1,500

2,000

2003

2004

2005

2006

LTM -

6/30/07

0%

2%

4%

6%

8%

10%

22

Strategic Priorities

•

Growth through innovation

–

Aesthetics, ease of application, performance

•

Margin enhancement

–

Product mix

–

Productivity

•

Return on invested capital

–

Laminate shingles

–

Accessories

A market-leading business

23

Other Building Materials & Services

Estimated Revenue by End Market, after

Portfolio Rebalancing

200

400

600

800

1,000

1,200

$1,400

2003

2004

2005

2006

LTM-

6/30/07

0%

2%

4%

6%

8%

10%

•

Manufactured Stone Veneer

•

Vinyl Siding, Norandex/Reynolds Distribution

(Exited this business Q3 2007 with sale to Saint-Gobain)

•

Owens Corning Franchising

(Q4 2006 Exited

HOMExperts®)

•Basement finishing

•SunSuites®

Financial performance ($MM)

Sales

EBIT Margin as % of Sales

Source: Management Estimates

U.S. & Canada

New

Residential

Construction

50%

U.S. & Canada

Residential Repair

& Remodeling

26%

U.S. & Canada

Commercial &

Industrial

21%

International

3%

Financial Guidance & Strategies

25

Financial Strategies

•

Financial performance and discipline

–

Strong operational Cash Flow to foster growth and innovation

–

Continued focus on Return on Net Assets in excess of

Cost of Capital

•

Balanced use of Free Cash Flow

–

Maintain strong balance sheet and sustain investment-grade

credit profile

–

Invest maintenance capital –

estimated at 80% of depreciation

–

Invest remainder of depreciation to improve and grow operations

–

Focused and disciplined organic growth and acquisitions

–

Support shareholder returns

26

Guidance for 2007

•

August 1, reaffirmed earlier guidance of 2007 adjusted EBIT to

exceed $415 million, based on 1.425 million housing starts

•

2007 Q3 results announced Thursday, November 1, guidance will be

updated

•

Estimated effective tax rate 34%

•

Significant tax shields upon emergence from asbestos-related

Chapter 11 in 2006, with approximately $3.1 billion of net operating

losses

•

Estimated cash tax rate 10-15%

•

Depreciation and amortization approximately $310 million

•

Guidance does not yet include the impact of the composites

acquisition or asset sales

Questions & Discussion

THE PINK PANTHER™

& ©

1964-2007 Metro-Goldwyn-Mayer Studios

Inc. All Rights Reserved.  The color PINK is a registered trademark of

Owens Corning. ©2007 Owens Corning

Appendix

29

Balance Sheet Snapshot and Credit

Statistics

2.30

2.72

Debt/Adjusted LTM EBITDA

35%

36%

Debt/Total Capitalization

1,058

745

Total Liquidity

(2)

5,632

5,895

Total Capitalization

3,686

3,775

Shareholder Equity

1,946

2,120

Total Debt

$          282

$         135

Cash

December 31, 

2006

(1)

June 30,    

2007

(MM)

Owens Corning

(1)

December 2006 balance sheet adjusted for January Distribution to

524(g) Trust

(2)

Unused portion of the $1 billion revolving credit facility and cash on hand as of March 31, 2007

30

Owens

Corning

Annual

Sales

1987

-

2006

0

1000

2000

3000

4000

5000

6000

7000

Year

31

2006 At A Glance

•

Record sales of $6.5 billion, up 2.2% over 2005

•

Adjusted EBIT of $569 million, up 4.6% compared

with $544 million in 2005

•

Gross margin as a percent of sales, excluding

Fresh-Start Accounting and other restructuring

charges, 17.5% compared with 18.3% in 2005

•

SG&A 8.3%, compared with 8.9% in 2005

32

Reconciliation of 2006 Adjusted to

Reported EBIT ($MM)

2006 Earnings Before Interest & Taxes (EBIT)             $433

Adjustments to remove items impacting comparability

Provision for Asbestos Litigation

($13)

C-11 Related Reorganization Items

$55

Other Items

1

$94

Total Adjustments

$136

2006 Adjusted EBIT

$569

2006

Depreciation

and

Amortiation

2

$278

1

Includes the impact of inventory write-up of  $44MM; write-off of in-process R&D of $21MM;

restructuring activities of  $55MM; gain on sale of  metals of ($45MM); and other of  $19MM

2

Includes $21MM write-off of in-process R&D

33

Reconciliation of Q1 2007 Adjusted to

Reported EBIT ($MM)

Q1 2007 EBIT

$33

Adjustments to remove items impacting comparability

Chapter 11 related reorganization items

$3

Restructuring credits and other credits

($2)

Employee emergence equity program

$8

OCV Reinforcements joint venture transaction costs

$11

Losses resulting from exiting HOMExperts service line

$8

Total Adjustments

$28

Q1 2007 Adjusted EBIT

$61

Q1 2007 Depreciation and Amortization

$77

34

Reconciliation of Q2 2007 Adjusted to

Reported EBIT ($MM)

Q2 2007 EBIT

$78

Adjustments to remove items impacting comparability

OCV Reinforcements transaction costs

$7

Losses (Gains) related to the exit of our HOMExperts

service line

($1)

Losses related to strategic reviews

$12

Employee emergence equity program

$12

Total Adjustments

$30

Q2 2007 Adjusted EBIT

$108

Q2 2007 Depreciation and Amortization

$81