CHEMICAL INDUSTRIES NEWSLETTER

A monthly compilation of SRIC report abstracts and news September 2006

CEH Marketing Research Report Abstract

BENZENE
By Sean Davis Benzene is normally recovered from aromatic hydrocarbon streams that also contain toluene and mixed xylenes. It is one of the largest-volume petrochemicals and is the largest of the aromatics. It had a global production value of approximately $16 billion in 2005. World benzene capacity was more than 48 million metric tons as of midyear 2006. The following pie charts show world capacity for and consumption of benzene. World Capacity for Benzene2006
Canada Central/South America Taiwan Middle East Other Asia Other Asia Rep. of Korea Central/ Eastern Europe China Japan Western Europe Rep. of Korea United States Japan Mexico Rest of the World United States

World Consumption of Benzene2005

Canada Mexico Central/South America Middle East Taiwan Central/Eastern Europe Rest of the World Western Europe

China

The United States and Western Europe accounted for 21% and 20% of world capacity in 2005, respectively, followed by Japan with 12%. Total capacity in these dominant regions will remain steady between 2006 and early 2011. Asia and the Middle East will add the most capacity during 20062010. Asia (excluding Japan) will see capacity growth rates of approximately 3.5% per year, while growth rates in the Middle East will reach 9.8% per year. Most additional capacity in Asia will occur in China, the Republic of Korea and Taiwan, while the majority in the Middle East will occur in Iran, Kuwait, Qatar and Saudi Arabia. World benzene demand is projected to grow at an average annual rate of 4.4% from 2005 to 2010, reaching a level of over 48 million metric tons in 2010. Based on capacity expansion announcements and projected growth, Canada, Japan, Mexico, South and Central America, Central and Eastern Europe, the Republic of Korea and the Middle East will continue to be net exporters, while the United States, Western Europe and the remaining Asian countries will continue to be net importers in 2010.

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Benzene demand throughout the world is dominated by the production of three derivativesethylbenzene, cumene and cyclohexane. These derivatives accounted for more than 85% of the benzene consumed in 2005 in each of the three largest consuming regionsNorth America, Western Europe and Asia.
(For the complete marketing research report on BENZENE, visit this reports home page or see p. 452.0000 A of the Chemical Economics Handbook.)

CEH Marketing Research Report Abstract

CYCLOHEXANE
By Ngan Tefera In 2005, global demand for cyclohexane was just over 5 million metric tons. Demand is driven mainly by nylon feedstocks. By 2010, global demand for cyclohexane is expected to reach approximately 6 million metric tons, representing an average annual growth rate of 3% during 20052010. Global demand in nylon fiber is expected to grow at 2% annually in 20052010. China will exhibit the strongest growth for nylon at 34% annually over the next five years. Six producers account for 50% of world capacity for cyclohexaneExxonMobil, Chevron Phillips, Huntsman, Deutsche BP Aktiengesellschaft, ConocoPhillips and Idemitsu Kosan, as shown in the following pie chart: World Capacity for Cyclohexane2006
ExxonMobil

Chevron Phillips

Other Huntsman Deutsche BP Aktiengesellschaft ConocoPhillips Idemitsu Kosan

Practically all cyclohexane is used to make cyclohexanol and cyclohexanone, which, in turn, are used mainly as precursors for adipic acid and caprolactam, respectively. Other uses for cyclohexane include various solvent applications and the production of cyclohexanol and cyclohexanone for nonprecursor use. The following pie chart shows consumption of cyclohexane by major region:

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Consumption of Cyclohexane by Major Region2005

Mexico Central/South America Japan Western Europe Eastern Europe Canada

Other Asia

United States

Much of the growth in world demand for cyclohexane will occur in China because of increased output for nylon fiber, especially for caprolactam/nylon 6based fiber. Demand for adipic acid is also increasing in China, both as a feedstock for nylon 66 fiber and as a raw material for polyester-based hotmelt adhesives for shoe soles. Consumption of cyclohexane is also expected to increase in Taiwan, mainly for nylon fiber production.
(For the complete marketing research report on CYCLOHEXANE, visit this reports home page or see p. 638.6000 A of the Chemical Economics Handbook.)

CEH Marketing Research Report Abstract

LACTIC ACID, ITS SALTS AND ESTERS

By Michael P. Malveda with Milen Blagoev and Akihiro Kishi The United States surpassed Western Europe as the largest consumer of lactic acid in 20012002 with the commissioning of NatureWorks (formerly Cargill Dows) polylactic acid (PLA) plant in late 2001. At full capacity, the PLA plant would require approximately 180 thousand metric tons of lactic acid per year. In recent years, Other Asia has replaced Western Europe as the second-largest consumer of lactic acid products. Both the United States and Other Asia will continue to experience high annual growth11% and 10%, respectivelyin the next few years. Globally, lactic acid consumption will continue to increase significantly, at about 9% per year from 2005 to 2010. In the last few years, lactic acid consumption for industrial applications has overtaken the food and beverage industry as the leading market for lactic acid use. This shift is expected to continue as growth rates for industrial uses will be higher than growth rates for other uses. It is expected that, by 2010, industrial applications will account for half of global lactic acid use. The following pie chart shows world consumption of lactic acid:

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World Consumption of Lactic Acid2005

Canada Mexico Central/South America Japan United States

Other

Western Europe

Other Asia

Growth in demand for lactic acid and its salts and esters in industrial applications will be driven mainly by lactic acidbased biodegradable polymers and, to a lesser degree, lactate solvents. The use of polylactic acid, especially in the plastics packaging and container markets, is being highly promoted because of its environmentally friendly characteristics. Environmental benefits include product biodegradability; composting of waste by-products from PLA production; growth in the use of plant-based materials, which reduces carbon dioxide in the atmosphere; and the potential energy saved versus conventional polymer production. In the United States, PLA demand for industrial applications such as fibers, containers and packaging is expected to continue to increase. Likewise, demand for PLA will increase significantly in Western Europe, mainly for packaging uses.
(For the complete marketing research report on LACTIC ACID, ITS SALTS AND ESTERS, visit this reports home page or see p. 670.5000 A of the Chemical Economics Handbook.)

CEH Product Review Abstract

NAPHTHALENE
By Thomas Klin with Akihiro Kishi Naphthalene is derived from two sourcescoal tar and petroleum. In 2005, over 90% of U.S. naphthalene was produced from coal tar; most naphthalene in Western Europe was produced from coal tar and all naphthalene produced in Japan was from coal tar. The production value of naphthalene for these three regions amounted to about $250300 million in 2005. Major players included Koppers and Recochem in North America, RTGERS AG and Koppers in Western Europe, and C-Chem Co. and JFE Chemical Corporation in Japan. The major outlet for naphthalene is the production of phthalic anhydride, particularly in Japan and the United States, where it accounted for 74% and 62% of naphthalene demand, respectively, in 2005. Phthalic anhydride is also produced from ortho-xylene, which is available in large quantities. The naphthalene sulfonate market is a significant outlet for naphthalene and is currently the only naphthalene market showing growth in all major regions. The following graph provides a breakdown of naphthalene consumption in the United States, Western Europe and Japan:

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Consumption of Naphthalene by End Use2005

100 Percent of Regional Total Phthalic Anhydride Naphthalene Sulfonates Pesticides Dyestuff Intermediates Other

80

60

40

20

0 United States Western Europe Japan

In the United States, naphthalene consumption for phthalic anhydride production accounts for almost two-thirds of total consumption. Currently, only about 10% of phthalic anhydride production is naphthalene-derived; most is based on o-xylene. Naphthalenes market share may decline if phthalic anhydride producers rely more on oxylene as a feedstock in the future. Demand for naphthalene for phthalic anhydride production has disappeared in Western Europe. Naphthalene sulfonates and alkylnaphthalene solvents accounted for 52% and 17%, respectively, of Western European naphthalene demand in 2005. Japanese phthalic anhydride production accounted for 72% of domestic consumption in 2005. Phthalic anhydride plays a more dominant role in naphthalene demand in Japan than in the United States or Western Europe. Domestic naphthalene demand for phthalic anhydride is expected to decrease by 6.1% per year during 20052010.
(For the complete product review on NAPHTHALENE, visit this reports home page or see p. 458.0000 A of the Chemical Economics Handbook.)

CEH Marketing Research Report Abstract

OXO CHEMICALS
By Sebastian N. Bizzari with Milen Blagoev and Akihiro Kishi The oxo process or hydroformylation of olefins with synthesis gas is the principal route to C3-C15 aldehydes, which are converted to alcohols, acids or other derivatives. By far the most important oxo chemical is nbutyraldehyde, followed by C6-C13 aldehydes for plasticizer alcohols, isobutyraldehyde and C12-C18 aldehydes for detergent alcohols. Nearly all oxo aldehydes are converted to derivatives in plants adjacent to the hydroformylation unit; very small volumes of oxo aldehydes are transported. World production and consumption of oxo chemicals was nearly 9.6 million metric tons in 2005. Global capacity utilization increased to 84% in 2005 from 79% in 2001 as a result of stronger demand, increased production and rationalized capacity. Between 2001 and 2005, world capacity for oxo chemicals grew at an average annual rate of 1.6%, a lower rate than world consumption, which grew at an average annual rate of 3.4% during the same period.
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The following pie chart shows world consumption of oxo chemicals: World Consumption of Oxo Chemicals2005
C7-C9 Neo Acids Valeraldehyde Propionaldehyde Detergent Oxo Alcohols Isobutyraldehyde Oxo Acids Branched Oxo Acids

C6-C13 Plasticizer Oxo Alcohols

n-Butyraldehyde

Propylene-derived n-butyraldehyde and isobutyraldehyde account for over 70% of world consumption of oxo chemicals. High consumption volumes for both alcohol derivatives of n-butyraldehyde, n-butanol and 2ethylhexanol (2-EH), will continue in the near future; however, it is expected that n-butanol will surpass 2-EH consumption in the next ten years, partly as a result of the substitution of di[2-ethylhexyl] phthalate (DEHP), the main plasticizer derived from 2-EH, with other plasticizers derived from other plasticizer alcohols. C6 -C 13 plasticizer oxo alcohols are expected to lose market share, primarily because of decreased production and consumption of C7, C9 and C11 linear alcohols. Consumption of valeraldehyde will grow at the highest rate of all oxo chemicals as a result of the introduction of 2-propylheptanol (2-PH) capacity in the United States.
(For the complete marketing research report on OXO CHEMICALS , visit this reports home page or see p. 682.7000 A of the Chemical Economics Handbook.)

CEH Marketing Research Report Abstract

SODIUM CARBONATE
By Stefan Schlag with Kazuo Yagi Sodium carbonate is a white crystalline solid that is also known as disodium carbonate or soda ash. It is a member of the chlor-alkali chemical family and competes with caustic soda as a source of alkali (sodium oxide) in many processes. About 70% of world soda ash production is derived from synthetic processes and 30% is recovered from natural trona deposits and surface brines. Commercial soda ash is highly purified and is sold in various grades that differ primarily in bulk density. Developed countries have higher per capita consumption of soda ash but lower growth rates than developing countries. However, the end-use patterns are basically the same for both. Glass production accounts for half of global soda ash consumption, with commercial and residential construction driving flat glass demand, whereas consumer packaging trends, recycling and competition from other packaging materials dictate use in container glass. The second-largest market for soda ash is the chemicals sector, where it is used as an alkali source in numerous chemical processes and as a feedstock in the production of sodium chemicals. The third major use for soda ash is in formulated detergents and cleaners as a builder.

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Worldwide, most sodium carbonate is produced synthetically. In the United States, however, production from natural sources has been the predominant practice since 1974. Natural sodium carbonate became the only source when the last U.S. synthetic sodium carbonate plant shut down in January 1986. The United States has 95% of total world natural capacity. Natural soda ash is also produced from mining operations in the former USSR, China, Mexico and Kenya. The following pie chart shows world consumption of sodium carbonate: World Consumption of Sodium Carbonate2005
Ukraine Oceania Canada and Taiwan Rep. of Korea Japan Mexico Africa/Middle East Central/South America Russia Other Asia India China

United States

Europe

World production of soda ash in 2005 is estimated at 42.4 million metric tons, equivalent to an 89% operating rate. Global consumption is projected to increase at an average annual rate of 2% over the next five years, reaching almost 46 million metric tons in 2010. The top three exporting regions in 2005 were the United States, China and Europe.
(For the complete marketing research report on SODIUM CARBONATE, visit this reports home page or see p. 770.4000 A of the Chemical Economics Handbook.)

GREENHOUSE GASES HANDBOOK

By Michael Arn (September 2006) SRI Consultings 2006 Greenhouse Gases Handbook examines greenhouse gas emissions from the chemical industry. Greenhouse gas emissions (GHG) factors for 100 processes are presented. The selection of processes and products emphasizes three areasbasic petrochemicals, processes with significant carbon intensities, and the ethylene supply chain. The degree to which carbon regulation will impact the economics of these processes and implications for the chemical industry are discussed. In addition, the current policy climate and trends in the regulatory arena are examined. GHG emissions factors calculations are presented on a US Gulf Coast basis. Factors are also given for China, France, Germany, and Japan as well as for an all coal basis. A Web calculation tool to facilitate the estimation of emissions factors for various user-defined fuel types and locations accompanies this report.

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PEP Review Abstract

PRODUCTION OF PROPYLENE FROM FLUID CATALYTIC CRACKER NAPHTHA STREAMS

By Abe Gelbein (PEP Review 2006-11, September 2006) Fina Research S.A. was recently granted a series of US patents covering the production of propylene from an olefinic feedstock containing at least one olefin of C4 or greater via a cracking reaction over a dealuminated (Si/Al ratio 180-1000) MFI-type catalyst (e.g., ZSM-5 ). This review provides a technical and economic evaluation of the technology applied to the production of propylene from an FCN feedstock derived from a fuel mode FCCU. Based on information in the patents and a process simulation, a design was developed for a 60,000 bbl/day plant fed with a typical FCN stream. The plant is projected to produce approximately 680 MM lb/yr propylene, 220 MM lb/yr ethylene, 380 MM lb/yr butylenes, and 1304 MM lb/yr mogas blending stock. Estimated capital cost for the plant is approximately $143 MM (2006 Gulf Coast location; addition to an existing refinery). Propylene cash cost is 31.1 cents/lb using 2005 unit values for the ethylene, butylenes and mogas products and the natural gas fuel consumed by the process. Propylene product value is 36.5 cents/lb including a 25% before tax ROI. This value compares with the 2005 unit price for propylene of 36 cents/lb. According to the above results, incremental propylene can be produced competitively via LCN cracking at least under the base design assumptions and conditions. Scaling down capacity will shave some of the margin but not drastically. Most important will be the propylene yield relative to the other products since there is a substantial difference in the value of the propylene vs. the other products. For example, at the olefin conversion of the base case, a 1% reduction in propylene yield and a corresponding increase in butylenes yield (~2%) adds ~1 cent/lb to the cash cost of the propylene. On the other hand, examples in the patent do suggest that ethylene and butylene yields can be minimized by recycle of these components to the cracking reactor.

SCUP Report Abstract

ANTIOXIDANTS
By Yosuke Ishikawa with Stefan Mller and Fred Hajduk The rubber-processing industry, the plastics industry, the fuel and lubricant industry, and the food and feed industry are major consumers of antioxidants. Antioxidants are part of a companys broader portfolio of additive products designed to serve specific end-use industries. Therefore, antioxidants do not really represent an industry but can be characterized as one component of the larger chemical additives industry. The principal chemical classes of antioxidants are amines, hindered phenols, phosphites, thioesters and various natural or natural-based compounds. These chemicals are used primarily to inhibit the oxidative degradation of unsaturated organic materials such as elastomers, plastics, petroleum-based fuels, and food or animal feed. Antioxidant producers have been facing a significant shift of their customer base to the Asia Pacific region, particularly to China. At the same time, market competition from China and India is growing rapidly. To serve the growing global customer base, major antioxidant producers have been forming partnerships with local companies to expand local production bases. At present, the Asia Pacific region reportedly accounts for 35% of the global production of antioxidants. In 2005, the volume of antioxidants consumed in the three major industrialized regions was distributed as follows: United States (45%), Western Europe (39%) and Japan (16%). The sales value of all antioxidants consumed in the three regions is estimated to have been $2.8 billion. Between 2005 and 2010, consumption is expected to grow at an average annual rate of 1.8% and will be split similarly among the three regions. The following pie charts show consumption of antioxidants in the three major regions by product type and end use on a volume basis.
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U.S., Western European and Japanese Consumption of Antioxidants by End Use2005

Petroleum Fuels Food and Feed Other

U.S., Western European and Japanese Consumption of Antioxidants by Type2005

Natural Based Thioesters Phosphites

Rubber Plastics

Amines

Hindered Phenols

The United States, Asia and Western Europe will continue to dominate global rubber-processing chemical consumption and will account for an estimated 85% of the global market in 2010. The Asia Pacific region (excluding Japan) will post the most impressive gains in rubber-processing chemical demand through 2010, as a result of increasing automotive production and increasing tire production, particularly in China. Automotive production in China is expected to exceed that in Japan in 2007. Globalization and consolidation are transforming the polymer additives industry. Chemtura is a representative example. Typical customers are large polymer producers and tire manufacturers who require a broad product line and new performance solutions capable of serving growing derivatives production in Asia and the Middle East. Also, China and India have large domestic markets that are attractive to domestic producers. So much manufacturing activity has shifted to Asia over the past two decades that substantial upstream raw material demand has been transferred from North America and Western Europe to Asia. As a result, Asia is becoming a major player in the export of low-cost downstream products, which have a strong demand-pull on polymers.
(For the complete September 2006 report on ANTIOXIDANTS, visit this reports home page or see vol. 4 of Specialty ChemicalsStrategies for Success.)

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Global Solvent Report: The Green Impact

SRI Consultings first report on Safe & Sustainable Chemicals is now available. The initial report of this emerging series, Global Solvent Report: The Green Impact, covers the global market for solventsproducts that are integral to most chemical formulations and processes.

This Report Is Now Available

As concern for the environment has become an increasingly important aspect of chemical manufacturing and formulation, virtually all solvent use must be greener than that of decades past. With 15 million metric tons of consumption in North America, Europe, Japan and China alone, solvents are a major market for many chemicals. Surface coatings are an important use, accounting for nearly half of world solvent demand. This report covers: Over 100 specific materials Major consuming markets Regulations affecting use Strategies for consuming less solvents

CONTACT
Robert E. Davenport, Director of Development Phone: 650 384-4350 Fax: 650 330-1149 Email: rdavenport@sriconsulting.com http://www.sriconsulting.com/OTHER/Public/Reports/greensolvents/index.html

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CEH REPORTS AND P RODUCT REVIEWS IN P REPARATION

Report Title
Acetic Anhydride Acrylic Acid and Esters Acrylic Surface Coatings Activated Carbon Alkyl Acetates Ammonium Phosphates Biodegradable Polymers Bromine Butadiene Caprolactam Chelating Agents Chlorobenzenes Cyclopentadiene Ethylbenzene Ethyleneamines Fibers Overview Fluoroelastomers High-Intensity Sweeteners Hydrogen Cyanide Ketene/Diketene Methyl Ethyl Ketone Methyl Methacrylate Misc. Sulfur Chemicals Monosodium Glutamate Neopentyl Polyhydric Alcohols Phosgene Phosphate Rock Plasticizers Polybutadiene Elastomers Polyvinyl Alcohols Polyvinyl Butyral Propylene Oxide Silicones Sodium Bicarbonate Sodium Cyanide Styrene Styrenic Copolymers Thermoplastic Polyester Engineering Resins Toluene Vinyl Surface Coatings Waxes

Author
Michael Malveda Jim Glauser Eric Linak Elvira Greiner Sebastian Bizzari Don Lauriente Greg Bohlmann Jim Glauser Sean Davis Ngan Tefera Jim Glauser Thomas Klin Henry Chinn Koon-Ling Ring Thomas Klin Tad Sasano Uwe Lchner Sebastian Bizzari Bala Suresh Michael Malveda Elvira Greiner Sebastian Bizzari Stefan Schlag Kazuteru Yokose Sebastian Bizzari Henry Chinn Don Lauriente Sebastian Bizzari Milen Blagoev Henry Chinn Henry Chinn Michael Devanney Ray Will Stefan Schlag Bala Suresh Koon-Ling Ring Uwe Lchner Eric Linak Sean Davis Eric Linak Michael Malveda

Chemical Week presents The 3rd Annual Monetizing Natural Gas: Gas to Liquids & Methanol Meeting October 23, 2006 Houston, TX
Gas to liquids technology remains in the forefront of the energy industrys plans for the future and is on the cusp of rapid growth through production of liquid fuels from presumably cheap, remote sources of natural gas that otherwise cannot be utilized economically. Not all of the activity is onshore, either. Plans are under way to mount a GTL plant on a barge and move operations offshore, where natural gas is normally flared. Building on recent events, Chemical Week presents Monetizing Natural Gas: Gas to Liquids and Methanol. This exciting new program will examine key industrial projects and their progress as well as research and development issues, and new GTL technologies.
For Registration/General Information: Tel: 1 212 621-4978 Fax: 1 212 621-4970 Email: events@chemweek.com http://www.chemconference.com/events/Gasliquid06/

This list is provided for the benefit of Chemical Economics Handbook users who may simultaneously be undertaking their own studies in these areas. Clients are welcome to write or call us in order to discuss the work in progress.

CEH REPORTS AVAILABLE SEPARATELY

To obtain a list of CEH marketing research reports or product reviews for sale separately, please see our website at http://www.sriconsulting.com/CEH/Public/Reports/ or contact: Ralf Gubler, Director, or Koon-Ling Ring, Assistant Director Chemical Economics Handbook Program SRI Consulting 4300 Bohannon Drive, Suite 200 Menlo Park, CA 94025 Tel. (650) 384-4300 Fax: (650) 330-1149

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New! Weekly chlor-alkali sector pricing services

Introduces CHEMSULT WEEK

Harriman Chemsult Ltd is THE trusted source of market and price information for the chlor-alkali and related sectors, providing reliable intelligence to clients for over 20 years. Beginning October 2006, Harriman Chemsult will extend its product portfolio by offering unique new weekly market services covering the global chlor-alkali and vinyl chains, plus titanium dioxide. We are pleased to announce CHEMSULT WEEK, a weekly price and market intelligence service offering key data and information in seven new reports: Chlor-Alkali Europe Vinyl Europe Titanium Dioxide Chlor-Alkali America Vinyl America Chlor-Alkali Asia Vinyl Asia

Harriman Chemsult provides the best pricing insight into global markets. CHEMSULT WEEK will continue the strong Harriman tradition of accuracy, independent analysis, and thoroughness. Our intelligence is based on unrivaled contacts among producers, consumers, distributors, traders and logistics companies. Just as with all Harriman Chemsult services, CHEMSULT WEEK subscribers receive data backed by an extensive database built up since the company was founded in 1985, with supply and demand balances, global projects and capacities, import and export data, price series and other information.

FREE TRIAL for 6 WEEKS!

To order a free trial of CHEMSULT WEEK and judge for yourself the value of these high-level services, just visit http://www.accessintel.com/chemsult and choose one (or more) of the CHEMSULT WEEK services. Please enter code: 6WKTRL to get your six-week trial subscription.

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CHEMICAL INDUSTRIES NEWSLETTER

The Chemical Industries Newsletter is published monthly by SRI Consulting. The contents of the Newsletter are drawn from current research and publications of SRICs multiclient programs. Readers are welcome to call or write for more information about the subjects and programs mentioned (see addresses and telephone/fax numbers below). SRI Consulting offers the worlds most comprehensive ongoing multiclient databases on the chemical industry. The major multiclient programs include Chemical Economics Handbook The China Report Process Economics Program Specialty Chemicals Update Program World Petrochemicals Directory of Chemical Producers Canada Mexico China Middle East East Asia South/Central America Europe United States India

Companies may participate in these continuing programs for the chemical industry through annual subscriptions or by purchasing individual reports. Each program is supported by inquiry and consulting privileges; electronic access is also available for all of these products. SRI Consulting................................................................John Pearson, President and CEO George Intille, Vice President Chemical Economics Handbook................................................Ralf Gubler, Director Directory of Chemical Producers...........................................Carolyn Read, Director Process Economics .................................................Russell Heinen, Group Director Production/Databases..........................................................Steven F. Read, Director Specialty Chemicals Update Program..................................Phil Calderoni, Director World Petrochemicals ..............................................Russell Heinen, Group Director About SRI Consulting SRI Consulting provides the worlds most comprehensive ongoing databases on the chemical industries. We offer an array of research-based programs designed to provide clients with specific market intelligence and analysis. These programs, combined with strategic information services, help clients define new market opportunities, identify and communicate future challenges, formulate and implement business strategies, and develop innovative products, processes and services. SRIC provides creative yet practical strategies, supported by renowned industry and technology expertise and delivered by multidisciplinary teams working closely with clients to ensure implementation. SRI Consulting is a division of Access Intelligence, LLC. About Access Intelligence, LLC Access Intelligence, LLC is a full-service global information and marketing solutions provider of competitive business-to-business information. The company publishes daily news services, premium-value newsletters, subscription-based websites, magazines, directories, and databases. SRI Consulting Headquarters Menlo Park, CA John Pearson, President and CEO 4300 Bohannon Drive, Suite 200 Menlo Park, CA 94025 Telephone: (650) 384-4300 Fax: (650) 330-1149 menlopark@sriconsulting.com U.S. Offices Houston 2002 Timberloch Place, Suite 110 The Woodlands, TX 77380 Telephone: (281) 203-6280 Fax: (281) 203-6287 houston@sriconsulting.com

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Chemical Industries Newsletter Ellen Blue, Editor

2006 by SRI Consulting. All rights reserved. Unauthorized reproduction prohibited.

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