Arkema to Purchase Outstanding Interests in Vinyl Production Joint Ventures in France and Spain

Arkema and SolVin announce the conclusion of an agreement for the purchase, effective July 1st 2010, of their reciprocal minority interests within their joint production entities for VCM (Vinylfos and Vinilis) and PVC (Vinylberre and Vinilis).

For a number of years, Arkema and SolVin have been partners in the vinyl production chain - vinyl chloride monomer (VCM) and polyvinyl chloride (PVC) - within three industrial entities operating in France and Spain, namely Vinylfos, Vinylberre and Vinilis, in which Arkema has a 79%, 65% and 35% shareholding respectively.

In order to streamline these three manufacturing structures, Arkema and SolVin have decided to terminate these reciprocal interests. Accordingly, effective July 1st 2010, Arkema will be the sole shareholder of Vinylfos and Vinylberre. Following this deal, both partners will regain their respective independence on the production sites in which they held a majority stake.

"This streamlining of manufacturing structures will help us enhance our response and serve our customers in Europe more efficiently", states Otto Takken, Arkema Executive Vice President, Vinyl Products.

This agreement will have no impact either on the workforce concerned or on Arkema's results.

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