Dow Completes Acquisition of EniChem's Polyurethane Business

Apr 30, 2001, 01:00 ET from The Dow Chemical Company

    MIDLAND, Mich., April 30 /PRNewswire/ -- The Dow Chemical Company
 announced today that it has completed its acquisition of EniChem's
 Polyurethanes business.  As part of the agreement announced on February 9,
 2001, Dow has also completed the divestment of its 50% stake in Polimeri
 Europa to EniChem in order to satisfy European Commission conditions for the
 approved Dow/Union Carbide merger.
     Dow becomes owner of EniChem's polyurethanes plants in Porto Marghera
 (Venice), Brindisi, Priolo (Siracusa, Sicily), Italy, and in Tertre, Belgium;
 systems houses operations in Cardano al Campo (Varese), Italy, Erstein,
 France, and Osnabrueck, Germany; and research facilities located at the Porto
 Marghera, Brindisi, Priolo and Tertre sites. This transaction closing follows
 European Commission clearance that was given April 6, 2001.
     "The completion of the acquisition of EniChem's polyurethanes business
 accelerates our goal of investing for growth in polyurethanes, it strengthens
 our portfolio by enhancing our European polyol, MDI and polyurethane systems
 presence, also giving us our first European source for TDI," says David
 Fischer, Dow business vice president, Polyurethanes.  "It also provides Dow
 with the opportunity to leverage best in class process technology for
 dinitrotoluene (DNT) and toluene diamine (TDA) which are critical intermediate
 feedstocks for toluene-diisocyanate (TDI) production.  The acquisition
 complements our current technological expertise and solidifies Dow as a
 technology leader in polyurethane chemistry."
     With the addition of EniChem's polyurethanes business, Dow has added
 approximately 118,000 metric tons of toluene-diisocyanate (TDI) capacity,
 80,000 metric tons of methylene-diphenylene isocyanate (MDI) capacity, and
 160,000 metric tons of polyols capacity to its global manufacturing
 capabilities.   This increases Dow's total combined global capacity for these
 products to almost 2 million metric tons.   The combined sales revenue for
 Dow's Polyurethanes and Polyurethanes Systems businesses increases from
 approximately US$ 2 billion to over $2.5 billion.
     As a leading supplier of polyurethane raw materials, Dow offers one of the
 broadest lines of polyurethane products and systems in the industry.   Peter
 Davies, Dow business vice president, Polyurethane Systems, says, "With this
 strategic acquisition, Dow will further enhance its global application
 development capabilities, its leading raw material position, its manufacturing
 expertise and the ability to provide fast and effective solutions to all
 customers worldwide."  Davies also noted that the association of EniChem's and
 Dow's polyurethanes capabilities and products will result in added value for
 new and existing customers through the leveraging of technologies and
 competencies of both companies and the expansion of Dow's geographic presence
 for formulated systems.
 
     Dow is a leading science and technology company that provides innovative
 chemical, plastic and agricultural products and services to many essential
 consumer markets.  With annual sales of approximately $30 billion, Dow serves
 customers in more than 170 countries and a wide range of markets that are
 vital to human progress, including food, transportation, health and medicine,
 personal and home care, and building and construction, among others.
 Committed to the principles of Sustainable Development, Dow and its 50,000
 employees seek to balance economic, environmental and social responsibilities.
 
     For further information about Dow, visit http://www.dow.com.
 
 

SOURCE The Dow Chemical Company
    MIDLAND, Mich., April 30 /PRNewswire/ -- The Dow Chemical Company
 announced today that it has completed its acquisition of EniChem's
 Polyurethanes business.  As part of the agreement announced on February 9,
 2001, Dow has also completed the divestment of its 50% stake in Polimeri
 Europa to EniChem in order to satisfy European Commission conditions for the
 approved Dow/Union Carbide merger.
     Dow becomes owner of EniChem's polyurethanes plants in Porto Marghera
 (Venice), Brindisi, Priolo (Siracusa, Sicily), Italy, and in Tertre, Belgium;
 systems houses operations in Cardano al Campo (Varese), Italy, Erstein,
 France, and Osnabrueck, Germany; and research facilities located at the Porto
 Marghera, Brindisi, Priolo and Tertre sites. This transaction closing follows
 European Commission clearance that was given April 6, 2001.
     "The completion of the acquisition of EniChem's polyurethanes business
 accelerates our goal of investing for growth in polyurethanes, it strengthens
 our portfolio by enhancing our European polyol, MDI and polyurethane systems
 presence, also giving us our first European source for TDI," says David
 Fischer, Dow business vice president, Polyurethanes.  "It also provides Dow
 with the opportunity to leverage best in class process technology for
 dinitrotoluene (DNT) and toluene diamine (TDA) which are critical intermediate
 feedstocks for toluene-diisocyanate (TDI) production.  The acquisition
 complements our current technological expertise and solidifies Dow as a
 technology leader in polyurethane chemistry."
     With the addition of EniChem's polyurethanes business, Dow has added
 approximately 118,000 metric tons of toluene-diisocyanate (TDI) capacity,
 80,000 metric tons of methylene-diphenylene isocyanate (MDI) capacity, and
 160,000 metric tons of polyols capacity to its global manufacturing
 capabilities.   This increases Dow's total combined global capacity for these
 products to almost 2 million metric tons.   The combined sales revenue for
 Dow's Polyurethanes and Polyurethanes Systems businesses increases from
 approximately US$ 2 billion to over $2.5 billion.
     As a leading supplier of polyurethane raw materials, Dow offers one of the
 broadest lines of polyurethane products and systems in the industry.   Peter
 Davies, Dow business vice president, Polyurethane Systems, says, "With this
 strategic acquisition, Dow will further enhance its global application
 development capabilities, its leading raw material position, its manufacturing
 expertise and the ability to provide fast and effective solutions to all
 customers worldwide."  Davies also noted that the association of EniChem's and
 Dow's polyurethanes capabilities and products will result in added value for
 new and existing customers through the leveraging of technologies and
 competencies of both companies and the expansion of Dow's geographic presence
 for formulated systems.
 
     Dow is a leading science and technology company that provides innovative
 chemical, plastic and agricultural products and services to many essential
 consumer markets.  With annual sales of approximately $30 billion, Dow serves
 customers in more than 170 countries and a wide range of markets that are
 vital to human progress, including food, transportation, health and medicine,
 personal and home care, and building and construction, among others.
 Committed to the principles of Sustainable Development, Dow and its 50,000
 employees seek to balance economic, environmental and social responsibilities.
 
     For further information about Dow, visit http://www.dow.com.
 
 SOURCE  The Dow Chemical Company