March 29, 2004
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To meet the growing worldwide demand for high-quality hot melt adhesives, the Coatings & Colorants Business Unit of Degussa AG will increase the production capacity for VESTOPLAST, an amorphous poly-alpha-olefin (APAO). In addition to the three existing production lines at its Marl, Germany site, the business unit is planning a fourth line to increase the current capacity of 55,000 MT to approximately 75,000 MT. The investment of a double-digit million euro figure strengthens the global market position of the product group. The new plant is scheduled to go into operation in 2005. Thanks to this new additional plant, which will manufacture the product by means of a new technology, the current main areas of application can be extended significantly. Today, VESTOPLAST is used in a broad range of applications and primarily serves as a basic material for the production of hot melts (e.g., for the hygiene sector, furniture industry and sports shoe production) as well as for bitumen modification in high-performance roofing membranes. The improved product from the new plant is characterized by altered properties with respect to softening point and viscosity. It makes it possible to modify plastics and can thus be used in a variety of new applications.

For more information, visit http://www.degussa.com .

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