Huntsman Completes Sale of Australian Polyester Resin Assets
January 04 2007 - 7:15AM
PR Newswire (US)
Company Continues Strategy to Reduce Debt and Focus on
Differentiated Products THE WOODLANDS, Texas, Jan. 4
/PRNewswire-FirstCall/ -- Huntsman Corporation (NYSE:HUN) today
announced that Huntsman Chemical Company Australia Pty Ltd (HCCA),
a part of Huntsman's Base Chemicals and Polymers division, has
completed the previously announced sale of its Polyester Resins
(composites) business assets to Nuplex Industries Ltd (Nuplex) for
A$9.6 million (approx. U.S.$7.5 million) in cash plus the value of
inventory and other stock in trade at the completion date, for a
total transaction value of A$20.3 million, subject to post closing
adjustments. The transaction further includes additional
consideration payable over a three year period upon achieving
certain associated earnings targets. The assets sold include HCCA's
polyesters, vinylesters and gelcoats manufacturing assets. Annual
sales from the business total approximately A$53 million. Financial
performance of the business for Huntsman had been modest. Kimo
Esplin, Huntsman's Chief Financial Officer, said, "The completion
of this transaction follows our December 29 announcement of the
sale of our European commodity chemicals business to Saudi Basic
Industries Corporation. We continue to review our portfolio for
opportunities to create shareholder value as we pay down debt and
focus on our differentiated products." Polyester resin composites
are used to manufacture a wide variety of products that are
generally known as fibreglass products. These are found in the
building industry as roof sheets, in the marine industry as boat
hulls, and in such consumer items as spas and vanity tops.
Polyester resin composites also are used to manufacture swimming
pools and in demanding applications within the chemical Industry.
Huntsman is a global manufacturer and marketer of differentiated
and commodity chemicals. Its operating companies manufacture
products for a variety of global industries, including chemicals,
plastics, automotive, aviation, textiles, footwear, paints and
coatings, construction, technology, agriculture, health care,
detergent, personal care, furniture, appliances and packaging.
Originally known for pioneering innovations in packaging and,
later, for rapid and integrated growth in petrochemicals, Huntsman
today has 14,000 employees and over 75 operations in 24 countries.
The Company had 2005 revenues of $13 billion. Statements in this
release that are not historical are forward-looking statements.
These statements are based on management's current beliefs and
expectations. The forward-looking statements in this release are
subject to uncertainty and changes in circumstances and involve
risks and uncertainties that may affect the company's operations,
markets, products, services, prices and other factors as discussed
in the Huntsman companies' filings with the Securities and Exchange
Commission. Significant risks and uncertainties may relate to, but
are not limited to, financial, economic, competitive,
environmental, political, legal, regulatory and technological
factors. In addition, completion of transactions of the type
described in this release is subject to a number of uncertainties
and to negotiation and execution of definitive agreements among the
parties and closing will be subject to approvals and other
customary conditions. Accordingly, there can be no assurance that
the transactions will be completed or that the company's
expectations will be realized. The company assumes no obligation to
provide revisions to any forward-looking statements should
circumstances change, except as otherwise required by securities
and other applicable laws. For additional information, please see
our current report on form 8-K filed on the date hereof concerning
the same subject matter. DATASOURCE: Huntsman Corporation CONTACT:
Media, Russ Stolle, +1-281-719-6624, or Investor Relations, John
Heskett, +1-801-584-5768, both of Huntsman Corporation
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