Evonik to Increase Prices for Polyurethane Additives

Effective October 15th, 2010, or as contract terms permit, Evonik will increase globally prices for all Polyurethane Additives. The increase will be Euro 0,35/kg including TEGOSTAB® silicone stabilizers, GORAPUR® release agents, TEGOAMIN® catalysts and ORTEGOL® products.

Tin based catalysts (KOSMOS®ׂ) will be dealt with separately.

Evonik has worked and will continue working diligently to offset rising costs due to raw material shortages, transport capacities, increasing labor costs and investments to ensure continued reliability of supply and our sustainability. However it is not possible to absorb all these increases further without risking to impair our reliability of supply and to fail providing the services Evonik customer's value in the future.

Evonik Industries is the creative industrial group from Germany. In our core business of specialty chemicals, we are a global leader. In addition, Evonik is an expert in power generation from hard coal and renewable energies, and one of the largest private residential real estate companies in Germany. Our company’s performance is shaped by creativity, specialization, continuous self-renewal, and reliability. Evonik is active in over 100 countries around the world. In its fiscal year 2009 about 39,000 employees generated sales of about €13.1 billion and an operating profit (EBITDA) of about €2.0 billion.

Evonik Industries has been producing specialty chemical products in China since the early 1990’s; with wide-ranging trading relations already in place prior to this. The Group now has a total of 20 companies and 16 production sites in the Greater China region. Evonik regards China as one of the driving forces of the global economy, and we consequently intend to increase our business in Greater China to around €2 billion in the medium term.