Eastman Chemical Delays Spin-off

Eastman Chemical Company recently announced that it has delayed the planned spin-off of its specialty chemicals and plastics business due to adverse market conditions and the lack of near-term visibility.
    
The company currently expects to review the environment for the spin-off in the middle of 2002, pending improvement in the global economic outlook.
    
Sustained weakness in the global economy has caused a tightening in the financial markets, deterioration in the company’s main business lines and a lack of clear signals for near-term recovery. Based on these factors, Eastman’s management recommended to the board of directors, and the board has decided, that it is in the shareowners’ best interest to postpone the spin-off.
    
“Since we first announced the spin-off in February, the world economy has continued to weaken and recently has been affected by the tragic events of Sept. 11 and their aftermath,” said Earnest W. Deavenport Jr., the company’s chairman and CEO.
    
“We continue to believe that dividing our businesses through the proposed spin-off could yield significant benefits to the shareowners in terms of management focus and distinct strategies for growth,” Mr. Deavenport said. “In the coming months, we will renew our focus on our business fundamentals, including cost cutting and integration, and will remain poised to take advantage of improving market conditions.”

Sartomer Acquires Uvithane Oligomers Line From Rohm and Haas
As part of its continued effort to provide customers with the broadest specialty chemical offerings available, Sartomer Company announced Dec. 6 that it acquired Rohm and Haas’ line of Uvithane oligomers.
    
Sartomer will now offer the complete Uvithane product line, used throughout the world in a variety of applications, including coatings, inks, and adhesives. In addition to the existing product line, Sartomer will offer blends of the Uvithane oligomers with monomers to reduce viscosity and enhance handling.
    
“We’re pleased to incorporate the high-performance Uvithane materials into our already extensive monomers and oligomer product lines,” said Nicholas Trainer, president of the photocure division of AtoFina, Sartomer’s parent company. “This latest acquisition further confirms our commitment to aggressive expansion in monomers and oligomers, while enabling us to provide our customers with a more complete product offering.”
    
Sue Graham, new business director of adhesives and sealants for Rohm and Haas, added, “We expect this business to transition very smoothly to Sartomer. This clearly is a company that is committed to fully supporting the Uvithane product line and ensuring its success in the future.”
    
Sartomer will offer the complete line of Uvithane products – which consists of five urethane acrylate oligomers, including two aromatic and three aliphatic oligomers – on a global basis.