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DuPont Engineering Polymers Acquires High Performance Plastics Business from Eastman

11 March 2003

DuPont Engineering Polymers has acquired the high-performance crystalline plastics business from Eastman Chemical Company.

The business includes Eastman's Titan® LCP, a liquid crystal polymer, Thermx PCT, a family of polycyclohexylene dimethyl terephthalate products and Thermx EG series of reinforced PET thermoplastic polyester resins used in automotive, electrical/electronics and other industries.

DuPont is acquiring the technology rights and other business intellectual property, including formulations and marketing information, but not including physical assets or any transfer of people. Specific terms of the acquisition were not disclosed.

""The acquisition fits well with the current DuPont offering in the automotive and electrical/electronics industries where DuPont has a major stake, and the businesses can be quickly and fully integrated into our operations,"" said Terry Caloghiris, vice president and general manager, DuPont Engineering Polymers. ""At the same time, the acquisition complements the capability of DuPont to meet its customers requirements for high-performance materials in applications that demand ever-increasing temperature resistance and dimensional stability.""

""Our high temperature crystalline business has demonstrated good success for Eastman,"" said Dr. Phillip Griswold, vice president and general manager of Eastman's Specialty Plastics business. ""Although we have good technology, we have a limited market presence in the markets that represent the best growth opportunities for these products going forward. Our strategy is to shift our resources to more fully concentrate on our market strengths. Our focus will be on the medical, durables, consumer and specialty packaging markets for which we provide amorphous copolyesters and cellulosics.""

""Eastman will continue to supply DuPont with PCT polymer for the Thermx business. These materials are known for their ability to perform under high temperatures that are so critical in automotive and electronics uses,"" Griswold said.

According to DuPont, the Eastman product lines will fit into the DuPont portfolio as follows: Titan LCP will be integrated into the DuPont(TM) Zenite LCP offering. In doing so, DuPont will be able to expand its offering for customers needing liquid crystal polymers in applications that require added toughness and weld line strength.

Thermx PCT will be a distinctive new product line for DuPont, offering higher temperature capability for applications requiring the dimensional stability of thermoplastic polyester. These properties are useful in surface mount electronic circuit board manufacturing and certain other electronics applications. Thermx® PCT will complement the offering by DuPont of LCP and Zytel HTN polyamide high-temperature engineering polymers. A modified form of this product, Thermx PCTA, has FDA approval for use in consumer food-contact applications.

Thermx EG series PET polyester resins will be integrated into the DuPont family of Rynite thermoplastic polyester resins known for their dimensional stability under heat and moisture conditions for uses in the automotive, electrical/electronics, appliance and other industries.





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