Rhein Chemie

Rhein Chemie Reduces Its Environmental Footprint at its Chardon, Ohio Manufacturing Plant – Company’s headquarters improves energy efficiency

Rhein Chemie Reduces Its Environmental Footprint at its Chardon, Ohio Manufacturing Plant – Company’s headquarters improves energy efficiency

Tuesday, 20. May 2008 Rhein Chemie Corporation, a company of the LANXESS group, is proud to announce a host of initiatives to greatly improve energy efficiency at its Chardon, Ohio manufacturing plant. The project is expected to remove 827,590 pounds of greenhouse gases from the environment. Rhein Chemie will also reduce energy consumption at the plants by nearly 56 percent and cut annual energy costs by over $45,000.

Chardon, OH – Rhein Chemie Corporation, a company of the LANXESS group, is proud to announce a host of initiatives to greatly improve energy efficiency at its Chardon, Ohio manufacturing plant. The project is expected to remove 827,590 pounds of greenhouse gases from the environment. Rhein Chemie will also reduce energy consumption at the plants by nearly 56 percent and cut annual energy costs by over $45,000.

A major overhaul at the Chardon plant involves a lighting exchange project, which replaces the current lighting system with new high bay fluorescent fixtures that use electronic ballasts and F32 T-8 high lumen lamps. The lighting replacement project, expected to be completed by the end of June, is based on an electrical audit to reduce wattage at the plants by over 50,000 watts. The new lighting system offers instant-on capabilities and improves the quality of light by raising the Color Rendering Index (CRI) from 62 to 85. By offering lighting products that increase lamp life from 20,000 to 30,000 hours and don’t require special disposal, Rhein Chemie expects to save over $500,000 over the next 10 years.

Rhein Chemie made additional improvements in Chardon that will help conserve energy and reduce costs. The plant replaced machines that used water to heat up and cool down with ones that use an electric, closed loop system, effectively reducing water consumption by 200,000 gallons per month.

Rhein Chemie has also started recycling waste oil, a by-product of their manufacturing process, by shipping it to other users as opposed to a landfill. The recycling project works out to 30-50 drums per year, or 3,000 gallons of oil.

“The energy improvements made in Chardon made perfect business sense, because the long-term savings greatly outweigh the short-term costs,” explained Hector Diaz-Stringel, Vice President of Operations for Rhein Chemie Corporation. “The work done at Chardon is another example of how Rhein Chemie is a socially responsible corporate citizen.”

These efficiency improvements are a result of the continuous improvement initiative at Rhein Chemie, a RC14001-certified company, and are a part of LANXESS’s overall effort to audit its facilities globally and incorporate efficiency improvements throughout. Earlier this week, LANXESS announced plans to lower emissions of harmful gasses in Germany by around 80 percent in 2012. Additionally, the company is expected to release its first Sustainability Report in 2009.

About Rhein Chemie
Rhein Chemie is a chemicals company which has had a successful track record in customized additives and service products stretching back over 100 years. The approximately 850-strong workforce produces and sells products for various sectors of the rubber, lubricant, plastics, and polyurethane industries worldwide. The company is headquartered in Mannheim-Rheinau, Germany and has subsidiaries and production facilities in Europe, Asia, and North and South America. Rhein Chemie is a wholly owned subsidiary of LANXESS Deutschland GmbH, Leverkusen, Germany.

Chardon, 20. May 2008
bit (2008-05-905EN)

Forward-Looking Statements

This news release contains forward-looking statements based on current assumptions and forecasts made by the management of Rhein Chemie Rheinau GmbH. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of our sole stockholder LANXESS Deutschland GmbH and the estimates given here. These factors include those discussed in LANXESS AG’s reports to the Frankfurt Stock Exchange. LANXESS AG and Rhein Chemie Rheinau GmbH assume no liability whatsoever to update these forward-looking statements or to conform them to future events or developments.