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News ReleaseTemporary Surcharge for Dispersions Sold in Europe Extended

July 18, 2007 Europe

Air Products Polymers today announced it will maintain the surcharge it implemented on 1st July 2007, until end of September 2007. The surcharge will be increased to €60/ton, effective from 1st August 2007, and will affect Vinylacetate Homopolymers, Vinylacetate-Ethylene Copolymers, Vinylacetate-Ethylene-Vinylchloride - and Vinylacetate-Ethylene-Acrylate Terpolymers, Vinylchloride-Ethylene-Acrylate-Terpolymers, and Styrene-Acrylate Copolymers, which are sold under the brand names AIRFLEX®, VINAC®, FLEXBOND® and FLEXCRYL® dispersions.

The initial surcharge was implemented as suppliers of VAM and PVOH had announced significant price increases and product restrictions, while others claimed force majeure at their plants. More recently, another supplier claimed force majeure on its European VAM supply, further impacting the quantity of product sold to customers, including Air Products Polymers.

“We continue to do everything reasonably possible to limit the effects of these raw material delivery restrictions and will keep customers fully informed of developments as we get more clarity of impact. Unfortunately, given the circumstances, we cannot rule out that we will have to restrict quantities sold to our customers,” said Feike van der Heide, General Manager, Air Products Polymers, Europe.

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