Rhein Chemie

Rhein Chemie increases sales in 2006 to EUR 302 million – Further growth in Europe and Asia

Rhein Chemie increases sales in 2006 to EUR 302 million – Further growth in Europe and Asia

Tuesday, 20. March 2007 The Rhein Chemie Group increased global sales from EUR 295 million in 2005 to EUR 302 million in fiscal 2006. "We reached important milestones in all regions. In the USA, we consolidated business and continued to shift our focus to specialty products," said Dr. Anno Borkowsky, CEO and President of Rhein Chemie Rheinau GmbH. "Our investments in new production facilities in Asia and Europe will help us to profit from market growth. They are building blocks of our long-term corporate policy and a visible sign that Rhein Chemie continues to implement its strategy of innovative service concepts and specialty products."

Mannheim – The Rhein Chemie Group increased global sales from EUR 295 million in 2005 to EUR 302 million in fiscal 2006. “We reached important milestones in all regions. In the USA, we consolidated business and continued to shift our focus to specialty products,” said Dr. Anno Borkowsky, CEO and President of Rhein Chemie Rheinau GmbH. “Our investments in new production facilities in Asia and Europe will help us to profit from market growth. They are building blocks of our long-term corporate policy and a visible sign that Rhein Chemie continues to implement its strategy of innovative service concepts and specialty products.”

At company headquarters in Mannheim, Germany, a new high-tech facility for producing customized chemical blends for the rubber processing industry (Batch-Ready®) went into operation in September 2006.

Similarly, Rhein Chemie responded to the sustained market growth in Asia by powering up new production plants. Most recently, for example, the company launched production of polymer-bound rubber chemicals (Rhenogran®) in India in January of this year. The new plant was built at the production site of LANXESS, Rhein Chemie’s parent company, in Madurai, southern India. It is the second Rhenogran® facility to start operating in Asia in just one year. Not long before, in March 2006, the company had doubled Rhenogran® production capacities at its Chinese joint venture, Rhein Chemie (Qingdao) Ltd.

Rhein Chemie plans to further expand its Asian business by building a new plant for lubricant additives in Qingdao. The new facility will go on stream in late 2008. With an annual volume of 4.4 million metric tons, the market for lubricants in China is four times greater than that in Germany. Annual growth is estimated at eight percent. Industrial lubricants, the segment of most interest to Rhein Chemie, currently accounts for a demand of one million tons a year and is likely to double by 2012 thanks to even higher growth rates. Rhein Chemie will concentrate on the production of customized products and additive formulations for lubricants. They not only ensure better performance and a longer service life in industrial applications, but also contribute to environmental protection, because they can replace products currently used in China that pose problems for the environment.

Rhein Chemie has been successfully providing the chemical industry with tailor-made additives and service products for more than 100 years. Approximately 900 Rhein Chemie employees produce and sell products worldwide to many segments of the rubber, lubricant, plastics and polyurethane industries. About 550 employees work at the head office in Mannheim-Rheinau. The company has subsidiaries and production facilities in Europe, Asia and North and South America. Rhein Chemie is a wholly-owned subsidiary of the LANXESS Group, Leverkusen.

Mannheim, 20. March 2007
bit (2007-03-805EN)

Zukunftsgerichtete Aussagen

Diese Presseinformation enthält bestimmte in die Zukunft gerichtete Aussagen, die auf den gegenwärtigen Annahmen und Prognosen der Unternehmensleitung der Rhein Chemie Rheinau GmbH beruhen. Verschiedene bekannte wie auch unbekannte Risiken, Ungewissheiten und andere Faktoren können dazu führen, dass die tatsächlichen Ergebnisse, die Finanzlage, die Entwicklung oder die Performance unserer Alleingesellschafterin LANXESS Deutschland GmbH wesentlich von den hier gegebenen Einschätzungen abweichen. Diese Faktoren schließen diejenigen ein, die in Berichten der LANXESS AG an die Frankfurter Wertpapierbörse beschrieben sind. Weder die LANXESS AG noch die Rhein Chemie Rheinau GmbH übernehmen die Verpflichtung, solche zukunftsgerichteten Aussagen fortzuschreiben und an zukünftige Ereignisse oder Entwicklungen anzupassen.