Georgia Gulf and Royal Group Announce Completion of All Regulatory Filings
September 18 2006 - 6:00PM
PR Newswire (US)
Transaction Close Date Targeted for October 3 ATLANTA, GA, and
TORONTO, Sept. 18 /PRNewswire-FirstCall/ -- Georgia Gulf
Corporation (NYSE:GGC) and Royal Group Technologies Limited (TSX;
NYSE: RYG) today announced that approvals have been received
pertaining to regulatory filings, including the Canadian
Competition Act, Investment Canada and Hart-Scott-Rodino. Georgia
Gulf's announced acquisition of Royal Group Technologies is
currently anticipated to close October 3, 2006. On August 4, 2006,
Royal Group's shareholders approved Georgia Gulf's proposal to
acquire all of the outstanding shares of Royal Group for C$13.00 in
cash per share, pursuant to an arrangement agreement that was
publicly announced on June 9, 2006. Georgia Gulf ------------
Georgia Gulf, headquartered in Atlanta, is a major manufacturer and
marketer of two integrated product lines, chlorovinyls and
aromatics. Georgia Gulf's chlorovinyls products include chlorine,
caustic soda, vinyl chloride monomer and vinyl resins and
compounds. Georgia Gulf's primary aromatic products include cumene,
phenol and acetone. This news release contains forward-looking
statements subject to the "safe harbor" provisions of the Private
Securities Litigation Reform Act of 1995. These forward-looking
statements are based on management's assumptions regarding business
conditions, and actual results may be materially different. Risks
and uncertainties inherent in these assumptions include, but are
not limited to difficulties in integrating Royal Group's business,
uncertainties as to timing of the transaction, uncertainties
regarding timing of receipt of regulatory approvals, uncertainties
relating to Royal Group's business and liabilities, uncertainties
following completion of the acquisition regarding operating
efficiencies and competitive conditions, future global economic
conditions, economic conditions in the industries to which Georgia
Gulf and Royal Group sell, industry production capacity, raw
material and energy costs and other factors discussed in the
Securities and Exchange Commission filings of Georgia Gulf
Corporation, including our annual report on Form 10-K for the year
ended December 31, 2005, and our subsequent reports on Form 10-Q.
Royal Group ----------- Royal Group is a leading producer of
innovative, attractive, durable, and low-maintenance home
improvement and building products, which are primarily utilized in
both the renovation and new construction sectors of the North
American construction industry. Royal Group is the recipient of
several industry awards for product innovation. The Company has
manufacturing operations located throughout North America in order
to provide industry-leading service to its extensive customer
network. Additional investment information is available on Royal
Group's web site at http://www.royalgrouptech.com/ under the
"Investor Relations" section. The information in this document
contains certain forward-looking statements with respect to Royal
Group, its subsidiaries and affiliates. These statements are often,
but not always made through the use of words or phrases such as
"expect", "should ", "continue", "believe", "anticipate",
"suggest", "estimate", "contemplate", "target", "plan", "budget",
"may", "will", "schedule" and "intend" or similar formulations. By
their nature, these forward-looking statements are necessarily
based upon a number of estimates and assumptions that, while
considered reasonable by management, are inherently subject to
significant, known and unknown, business, economic, competitive and
other risks, uncertainties and other factors affecting Royal Group
specifically or its industry generally that could cause the
Company's actual performance, achievements and financial results to
differ materially from past results and from those expressed in any
forward-looking statements made by or on behalf of the Company.
These risks and uncertainties include the ongoing shareholder value
maximization process and its outcome including, without limitation,
the completion of the proposed plan of arrangement with Rome
Acquisition Corp., a wholly-owned subsidiary of Georgia Gulf
Corporation; the ongoing internal review and investigations by the
Audit Committee of the Board of Directors and its outcome; the
outcome of the ongoing investigations by the United States
Department of Justice, RCMP, OSC and SEC; the outcome of the
discussions with the SEC on the Company's historical disclosure;
the outcome of class action shareholders lawsuits against the
Company filed in the United States and Canada; fluctuations in the
level of renovation, remodelling and construction activity; changes
in product costs and pricing; an inability to achieve or delays in
achieving savings related to cost reductions or increases in
revenues related to sales price increases; the sufficiency of any
restructuring activities, including the potential for higher actual
costs to be incurred in connection with any restructuring
activities compared to the estimated costs of such actions; the
ability to recruit and retain qualified employees; the level of
Royal Group's outstanding debt and current debt ratings; Royal
Group's ability to maintain adequate liquidity and refinance its
debt structure by December 31, 2006, the expiry date of its current
bank credit facility; the Company's ability to complete the
required processes and provide the internal control report that
will be required under U.S. securities law in respect of fiscal
2006; the ability to meet the financial covenants in Royal Group's
credit facilities; changes in Royal Group's product mix; the growth
rate of the markets into which Royal Group's products are sold;
market acceptance and demand for Royal Group's products; changes in
availability or prices for raw materials; pricing pressures
resulting from competition; difficulty in developing and
introducing new products; failure to penetrate new markets
effectively; the effect on foreign operations of currency
fluctuations, tariffs, nationalization, exchange controls,
limitations on foreign investment in local business and other
political, economic and regulatory risks; difficulty in preserving
proprietary technology; adverse resolution of any litigation,
investigations, administrative and regulatory matters, intellectual
property disputes, or similar matters; changes in securities,
environmental or health and safety laws, rules and regulations;
currency risk exposure and other risks described from time to time
in publicly filed disclosure documents and securities commission
reports of Royal Group and its subsidiaries and affiliates. In view
of these uncertainties we caution readers not to place undue
reliance on these forward-looking statements. Statements made in
this document are made as of September 18, 2006, and Royal Group
disclaims any intention or obligation to update or revise any
statements made herein, whether as a result of new information,
future events or otherwise. DATASOURCE: Royal Group Technologies
Limited CONTACT: Angie Tickle, Georgia Gulf Corporation, Investor
Relations, (770) 395-4520; Mark Badger, Royal Group Technologies,
Investor Relations, (905) 264-0701
Copyright