CLEVELAND - (Business Wire) Ferro Corporation
’s (NYSE: FOE) Organic Specialties Group announced it has acquired full manufacturing and commercial rights for the production of high purity 2,6 naphthalene dicarboxylic acid (HNDA) from 2,6 naphthalene dicarboxylate (NDC). Ferro also acquired the existing production facility for HNDA, which is located at the Company
’s Fine Chemicals site in Zachary, LA, U.S.A. The rights and facility were acquired from BP Amoco Chemical Company, a subsidiary of BP p.l.c.
HNDA is Ferro’s 99.8% purity grade of 2,6 naphthalene dicarboxylic acid, which is primarily used to form specialty naphthalate-based polymers, including liquid crystal polymers. Ferro believes it is the only HNDA producer in North America and the only global supplier offering it in commercial multi-ton quantities.
Naphthalate-based polymers made from HNDA are known for their dimensional stability and strength in applications such as electronics and electrical components, sensors, fiber optics, telecommunications, high-temperature cookware, and high-strength fiber. Liquid crystal polymers with HNDA have exhibited superior high-temperature performance in terms of dimensional stability, strength, physical property retention, and shrinkage.
HNDA is manufactured using Ferro’s proprietary technology. Ferro offers the product for global industry use in packaging ranging from 100-kilogram drums to 1,000-kilogram super sacks; it is available for immediate shipment in quantities up to full truckloads. Annual production capacity is 2,500 metric tonnes. HNDA is distributed from the U.S. site and through Ferro’s distribution facilities in Antwerp, Belgium, and Tokyo, Japan.
Ferro’s Organic Specialties Group has locations in Cleveland, OH; Zachary, LA; Waukegan, IL; Evansville, IN; Bridgeport, NJ; Ft. Worth, TX; Stryker, OH; Edison, NJ; Plymouth, IN; Carpentersville, IL; Louvaine-la-Neuve, Belgium; Rotterdam, The Netherlands; Bielefeld, Germany; Saint-Dizier, France; Castanheira, Portugal; Castellon, Spain; Suzhou, China; Mexico City, Mexico; and Estado Carabobo, Venezuela. Its products and services include electrolytes; specialty solvents and glymes; phosphines; custom manufacturing; high purity low endotoxin carbohydrates; contract development and manufacturing of active pharmaceutical ingredients; supercritical fluid-based particle engineering for drug delivery applications; engineered plastics composites; polymer additives; plastic color concentrates and liquid color dispersions; and advanced polymer alloys.
About Ferro
Ferro Corporation (http://www.ferro.com/) is a leading global supplier of technology-based performance materials for manufacturers. Ferro materials enhance the performance of products in a variety of end markets, including electronics, telecommunications, building and renovation, appliances, automotive, household furnishings, industrial products, and pharmaceuticals. Headquartered in Cleveland, Ohio, the Company has approximately 6,300 employees globally and reported sales of $2.2 billion in 2007.
Cautionary Note on Forward-Looking Statements
Certain statements in this Ferro press release may constitute “forward-looking statements” within the meaning of Federal securities laws. These statements are subject to a variety of uncertainties, unknown risks and other factors concerning the Company’s operations and business environment, which are difficult to predict and often beyond the control of the Company. Important factors that could cause actual results to differ materially from those suggested by these forward-looking statements, and that could adversely affect the Company’s future financial performance, include, but are not limited to the following:
- the availability and cost of energy, raw materials and other supplies;
- intense competition in the markets the Company serves;
- successful execution of projects designed to improve operating margins;
- the unpredictability and cyclicality of demand in the Company’s markets;
- exposure to currency conversion and changing global economic, social and political conditions;
- the Company’s ability to compete lawfully with local competitors in the Asia-Pacific region;
- aggressive global regulation of hazardous materials could affect sales of the Company’s products;
- costs of compliance with stringent environmental, health and safety regulations;
- access to capital markets or borrowings;
- variable interest rates on some of the Company’s external borrowings could increase;
- encumbrances on the Company’s assets granted to lenders affect its flexibility to dispose of assets;
- restrictive covenants in the Company’s credit facilities could affect its flexibility in funding strategic initiatives;
- the ability to utilize significant deferred tax assets;
- the outcome of any legal claims against the Company;
- the Company’s ability to continuously introduce new products to respond to demand;
- relationships with employees or employees’ representatives could deteriorate;
- the uncertainty of future employee benefit costs and the impact of funding of those costs;
- the Company’s restructuring programs may not provide sufficient cost savings;
- intangible asset risks;
- material weaknesses in internal controls and possible future material weaknesses; and
- risks associated with acts of God, terrorists, and others, as well as fires, explosions, wars, riots, accidents, embargoes, natural disasters, strikes and other work stoppages, quarantines and other governmental actions, and other events or circumstances that are beyond the Company’s reasonable control.
Additional information regarding these risk factors can be found in the Company’s Quarterly Report on Form 10-Q for the period ended June 30, 2008 and other filings with the SEC.
The risks and uncertainties identified above are not the only risks the Company faces. Additional risks and uncertainties not presently known to the Company of that it currently believes to be immaterial also may adversely affect the Company. Should any known or unknown risks and uncertainties develop into actual events, these developments could have material adverse effects on the Company’s business, financial condition and results of operations.
This release contains time-sensitive information that reflects management’s best analysis only as of the date of this release. The Company does not undertake any obligation to publicly update or revise any forward-looking statements to reflect future events, information or circumstances that arise after the date of this release.
Ferro Organic Specialties Group
Jim Love, 216-750-1443
Business Manager, High Performance Solvents
lovejd@ferro.com
