CABOT CORP — Director's Dealing 2008

Jan 3, 2008

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: CABOT CORP (CBT)
CIK: 0000016040
Period of Report: 2007-12-31

Reporting Person: MCCANCE HENRY F (Director)

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2007-12-31	Phantom Stock Units	$	A	412.4175	Acquired		Common Stock (412.4175)	Direct

Footnotes

F1: 1 for 1

F2: Immediately exercisable

F3: The shares of phantom stock become payable upon the reporting person's termination of service as a director.

F4: On November 9, 2007, Cabot's Board of Directors declared a dividend of $.18 per share on Cabot common stock, payable on December 14, 2007 to all holders of record of common stock on November 30, 2007. Mr. McCance received a dividend on his phantom stock units totalling $380.98, which was immediately reinvested in phantom stock units at a price of $33.60 per share. As a result, 11.3387 phantom stock units were allocated to Mr. McCance on December 14, 2007.