SIGNIFICANT EXPANSION FOR NEW FLEXIBLE PACKAGING FEEDSTOCK

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SIGNIFICANT EXPANSION FOR NEW FLEXIBLE PACKAGING FEEDSTOCK
28 April 2004 - DSM Engineering Plastics

DSM Engineering Plastics has announced an expansion of its Akulon PA6 capacity at its polyamide plant in Emmen, the Netherlands. The plant will be completed by mid 2005.

The capacity expansion - by over one third - follows a complete upgrade and capacity increase that took place less than 5 years ago.

The new production capacity will be dedicated to the production of high viscous polyamide 6, which is used in flexible packaging, stockshapes and mono-filament production.

According to Business Group Director Jos Goessens, this increase in production capacity comes in response to the demand for the high quality material that is required for these applications: “Over the last few years DSM Engineering Plastics has built a strong position in these applications. This expansion will support us in our current leading position and in remaining a strong leader in this segment.'

Jan Zuidam, Vice Chairman of DSM's Managing Board comments: 'This substantial investment of several tens of million Euros demonstrates DSM's commitment to Engineering Plastics and our intention to grow in Performance Materials in line with our Vision 2005 strategy. This investment underlines that the growth of our Engineering Plastics business is particularly focused on new applications, which emphasizes the importance of innovation for DSM.'

Akulon polyamide 6 is used extensively for applications in automotive, electrics and electronics and leisure and consumer goods. As film it is used in packaging, especially for food applications to improve barrier properties and extend the shelf life of pre-packaged foods. Recently, DSM Engineering Plastics announced the introduction of two new product lines: Akulon XP – for film applications – and Akulon Ultraflow for injection moulding.

http://www.dsmep.com

About: DSM Engineering Plastics
DSM Engineering Plastics is a business group forming part of DSM's Performance Materials cluster. DSM EP is a global supplier of Stanyl PA46 and Akulon 6 and 66 polyamides, Arnitel TPE-E, Arnite PBT and PET polyesters, Xantar polycarbonate, Yparex extrudable adhesive resins, and Stamylan UH Ultra High Molecular Weight PE. These materials are used in technical components for electrical appliances, electronic equipment and cars, in barrier packaging films as well as in many mechanical and extrusion applications. The business group had annual sales of EUR 566 million in 2003. With Stanyl, it is the global market leader in high heat polyamides.

Stanyl is a family of heat-resistant polyamides from DSM Engineering Plastics. Stanyl’s high crystallinity (70% versus 50% for conventional PA66) results in high heat distortion temperatures of 190C for unreinforced grades, up to 290C for reinforced. Stanyl grades are used in automotive clutch plates, charge air coolers, chain tensioners; electrical components including motor frames and end laminates, circuit breakers, controls and connectors; and home and power tool components, including heat shields and heat-resistant utensils.

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