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Commitment to CaZn, innovative products, new management structure and new corporate design Baerlocher positions itself for the future The Baerlocher group of companies is one of the world’s leading additive suppliers, in particular to the PVC industry, drawing on its experience from more than 175 years of corporate history. While the competitive landscape is undergoing significant changes as a result of concentration, Baerlocher is positioning itself for continued success as an independent enterprise within a business environment that is becoming increasingly challenging. Key elements of its strategy are a clear commitment to CaZn stabilizers for PVC as an alternative to Pb stabilizers and the introduction of innovative products that increase productivity and improve quality. The company is backing up these activities with a fresh corporate design and with a new management structure. The K’2004 trade fair offers an ideal opportunity to present this updated focus to the public. oday’s market for plastic additives is characterized by rising raw material prices, the implementation of formulation changes necessary to meet environmental targets demanded by the political community and changes in the competitive landscape. As one of the leading market players, Baerlocher is responding to these changes with a number of strategic decisions geared towards continuing its success story. Clear commitment to CaZn stabilizers Baerlocher supplies a wide range of plastic additives. Baerlocher offers stabilizers and other additives for nearly all applications and production processes in the PVC sector in particular. The range of products and systems is being expanded constantly to take account of the enhanced demands placed on plastics technology. Baerlocher made an early start on the development of CaZn stabilizers in order to allow the industry to move away from lead stabilizers, as demanded by politicians. Dr Michael Rosenthal, majority shareholder and Managing Director of Baerlocher GmbH: “We developed our own production processes for CaZn stabilizers very soon, using our broad expertise from other stabilizer technology to supply products fulfilling industry needs. With our in-depth experience in PVC additives, we are able to offer our customers more than simply products: we make our Page 2 of 5 extensive know-how available to assist the industry in the change-over to CaZn-based formulations.” Dr Rosenthal is convinced that the often mentioned disadvantages of CaZn stabilizers – for example product forms or cost – will be offset in future. One relevant factor is the recent sharp increase in the price of lead. Dr Rosenthal: “We believe that CaZn stabilizers are currently the best alternative to Pb stabilizers both from a commercial and technical perspective.” Baerlocher presents new dust-free product forms for solid CaZn stabilizers The limited number of product forms available has often been cited as an obstacle to changing over to CaZn stabilizers. Baerlocher has responded to this problem using its comprehensive technical experience to design new product forms for CaZn systems. CaZn systems are more critical with regard to their chemical behavior than systems based on Pb –substantial resources therefore needed to be invested in research and development. Today, Baerlocher is proud to introduce CaZn stabilizers in dust-free TX (pastilles) and SMS (flakes) product forms. New liquid stabilizers for products in the everyday environment The Baerostab product line has been expanded to include liquid CaZn stabilizer systems suitable for use in PVC products employed in the everyday environment. Typical applications include floor coverings and wallpaper in conformity with VOC requirements. With these new products, Baerlocher is making a significant contribution to the development of sustainable plastic end-products. The core of Baerlocher’s product philosophy is to offer tailormade formulations and product forms that meet individual customer needs. This approach is being implemented systematically in the area of CaZn additives too. Also new: Ceasit FI for optimum film and fiber extrusion Manufacturers of polymer fibers are confronted with the requirement for finer fibers with higher strength. Filtration of the polymer melt plays a key role in the manufacturing of such fibers. A major requirement is reduction of pressure build-up on the filter sieve during extrusion. Baerlocher has recently added “Ceasit FI” to its product range. This is a special, ultra-pure calcium stearate that has a correspondingly low filtration index (FI). Ceasit FI traps acid radicals while simultaneously acting as a lubricant. It is specially designed for the extrusion of Page 3 of 5 polyolefin fibers and films where very fine-mesh extruder sieves are used. When Ceasit FI is processed, the extruder sieve has to be changed less frequently, thus significantly reducing operating costs. New product range: lubricants for wood plastic composites Baerlocher is introducing a new line of lubricants specially designed for wood plastics composites (WPC). These products are based on zinc and calcium stearates as well as lubricants from its Baerolub range. For PVC-based WPC, Baerlocher offers one-packs under the brand name Baeropan, comprising both stabilizers and lubricants. WPC are made of new or recycled plastics and contain a natural filler material such as wood flour or flax fibers. It is essential to optimize the rheology in order to guarantee a cost-effective production process and ensure high quality standards. The WPC lubricants from Baerlocher can be fine-tuned to the plastic granulate used, the wood filler ratio and the performance requirements. They contribute to a homogeneous distribution of the various components and reduce edge tearing and melt fractures. Waste reduction and lower energy consumption facilitate higher productivity. With these new products Baerlocher is developing a strong position in this fast growing market. WPC products are already well established in the USA and are becoming increasingly popular in Europe too. A new management structure for the future Baerlocher is also preparing for the future by implementing a new management structure. Dr Michael Rosenthal, Managing Director and main shareholder, has built up and managed the company over the past 25 years. At the end of October, Dr Rosenthal is retiring from operations to become Chairman of the Advisory Board. He will continue to represent the company in industry associations. Effective November 1, 2004, Dr Felix Meyer is taking over operational management of the Baerlocher group of companies as Chief Executive Officer (CEO). Dr Meyer comes from Ciba Specialty Chemicals where he has held various positions in marketing, product and materials management for plastic additives over the past 23 years. From 1996 onwards, Dr Meyer was Page 4 of 5 responsible for Ciba’s global plastic additives business and in 2001 he was appointed to the Executive Committee of Ciba Specialty Chemicals. Dr Meyer commented on his move to Baerlocher as follows: “I am pleased to be in a position to contribute to the future development of Baerlocher with the experience I have gathered in diverse functions within a major chemical group and with the contacts I have built up over many years in the plastics industry.” Michael Neutard, as Chief Financial Officer (CFO) and Managing Director of Baerlocher GmbH, is responsible for Finance, Human Resources and Information Technology. Further members of the executive management are Hans Jürgen Sander, Head Business Unit Solid PVC Additives, Rainer Grasmück, Head Business Unit Liquid PVC Additives, Andreas Holzner, Head Business Unit Special Additives and Valentin Ausserbauer, Head Production and Technology. Updated corporate design reflects tradition and modernity To better reflect Baerlocher’s character and positioning, the corporate design has been updated and modernized: the company name in an attractive and dynamic typeface has been added to the logo. The modern design is also expressed in the choice of colors and its visual language. Dr Michael Rosenthal commented: “The new corporate design reflects the process of change currently in progress at Baerlocher: an evolution rather than a revolution, giving due consideration to the needs of our customers and our employees. We are maintaining our traditional values such as strong customer orientation, service and quality. This continuity is symbolized by the bear which is retained as an element of the logo. At the same time, we are deploying all our considerable innovative skills to help our customers succeed in their businesses.” About Baerlocher The Baerlocher group of companies is a leading provider of additives for the plastics industry, in particular for PVC. Its offering includes a very broad range of stabilizers based on lead, CaZn, CaOrg, BaZn and Sn, as well as other additives for all PVC applications. Page 5 of 5 Baerlocher supplies what are known as “one-packs” under the brand name Baeropan. These are customized additive formulations meeting the needs of a special application, developed together with the customer using Baerlocher know-how . Other Baerlocher products established in the marketplace are Baerostab (diverse stabilizer systems), Baeropol (additive systems for polyolefins), Baerodur (impact modifiers), Baerorapid (processing aids), Baerolub (lubricants), Baerocid (fatty acids), as well as Ceasit and Zincum (metal stearates). Characteristics of Baerlocher are strong customer and employee orientation, as well as innovation and sustainability. The additive one-pack concept and several novel product forms developed by Baerlocher have become state-of-the-art in the industry. Continued leadership in innovation is demonstrated by Baerlocher’s support to the PVC industry in the transition from Pb to CaZn stabilizers as well as by the innovative lubricant systems for wood plastic composities. Baerlocher is committed to the principles of responsible care: sustainable development, safe and environmentally friendly production processes as well as protection of people and the environment are corporate goals . It maintains an ISO 9001 certified quality management system and its environmental management system complies with ISO 14001. The company also provides proactive support for voluntary industry commitments such as Vinyl 2010 and the replacement of Pb stabilizers. The Baerlocher group of companies has 13 production sites around the world, with its headquarters in Munich- Unterschleissheim. Research and development are carried out in Germany (Munich-Unterschleissheim), France (Marseilles), Italy (Lodi), the United States (Dover, Ohio) and India (Bombay). With a sales network covering more than 40 countries, the Baerlocher group of companies has a total of about 800 employees and generated worldwide revenues of about EUR 350 million in 2003. Additionally to its core business, Baerlocher is involved in a variety of activities, both in industry and in society. It plays an active role in trade associations and runs a Plastic Additives Museum at the production site in Lingen, Germany. The company also provides opportunities for apprenticeships in various business areas . For more information please visit www.baerlocher.com. Kontaktinformationen: Stefan Horst gateone – connecting companies Bavariafilmplatz 4 D-82031 Grünwald phone: 0049-89-550 568-15 mobile: 0049-151-12 72 63 62 fax: 0049-89-550 568-50 email: sh@gateone.biz
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