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2006-12-03 News Release

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Polyethylene business sold to chemicals group

Eastman's polyethylene and Epolene polymer businesses, related assets and their ethylene pipeline have been sold to a Chemicals Group from Houston.

Eastman Chemical Company, Kingsport, Tenn., announces it has completed the sale of its polyethylene business to Westlake Chemical Corporation, Houston, Tx., a global supplier of petrochemicals, polymers and fabricated products. The sale includes Eastman's polyethylene and Epolene polymer businesses, related assets and the company's ethylene pipeline.

Find Information and Suppliers of polyethylene.

Included in the sale are three polyethylene manufacturing units, an Epolene facility, all of which are located at Eastman's Texas Operations in Longview, and an ethylene pipeline between Mont Belvieu, Texas, and the Longview plant site.

Eastman manufactures and markets chemicals, fibers, and plastics worldwide. It provides key differentiated coatings, adhesives and specialty plastics products; is the world's largest producer of PET polymers for packaging; and is a major supplier of cellulose acetate fibers. Eastman is a FORTUNE 500 company with 2005 sales of $7 billion and approximately 12,000 employees.

Westlake Chemical Corporation is a vertically integrated manufacturer and marketer of petrochemicals, vinyls, polymers, and fabricated products. Westlake has become a global supplier by employing a combined strategy of acquisition, expansion of existing facilities, and new construction.

Products:

• Olefins Segment: Ethylene, Styrene, Polyethylene
• Vinyls Segment: Ethylene dichloride, Vinyl Chloride Monomer, PVC resin, PVC pipe and PVC windows, fence and deck components.

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