BASF acquires Celanese's Ticona Nylon 6,6 Business

Dec 16, 2003 15:00:00		News Release issued by Ticona
BASF to acquire Ticona's nylon 6,6 engineering plastics business
Kronberg, Germany - (CZZ: FSE; CZ: NYSE): BASF and Ticona, the technical polymers business of Celanese AG, have reached an agreement under which BASF will acquire the worldwide nylon 6,6 business of Ticona, effective December 31, 2003. Financial details of the transaction were not disclosed. In 2002, the business to be sold generated sales of around €45 million.  BASF will obtain all intellectual property rights, licenses and customer lists for Ticona’s nylon 6,6 products, which are currently marketed under the CelaneseÒ brand name. BASF will not acquire any manufacturing sites, equipment or related assets as part of the transaction. For a period of time, Ticona will compound nylon 6,6 for BASF from its Bishop, Texas, and Florence, Kentucky, sites pursuant to a transitional services agreement. “As a world-leading supplier of nylon 6, BASF’s acquisition of Ticona’s nylon 6,6 business will complement and enhance the range of product solutions we can offer customers,” said Raimar Jahn, President of BASF’s Performance Polymers division. “We are dedicated to being the supplier of choice for engineering plastic customers around the world.”  “The sale of the 6,6 nylon business is a further step in Celanese’s overall strategy of focusing on those products which hold a leading global market position,” said Lyndon Cole, member of the Celanese AG management board and President of Ticona. “Ticona does not have the critical mass in nylon 6,6 to achieve our strategic objectives over the long term.” Young & Partners of New York assisted in the transaction. BASF contacts United States David A Elliott Phone: +01 (734) 324-6148 Email: elliotd1@basf.com Europe Thomas Moeller / Jennifer Moore-Braun Phone: +49 621 60 20829 Email: jennifer.moore-braun@basf-ag.de Celanese AG (www.celanese.com) is a global chemicals company with leading positions in its key products and world class process technology. The Celanese portfolio consists of five main businesses: Acetyl Products, Chemical Intermediates, Acetate Products, Technical Polymers Ticona and Performance Products.  In 2002, Celanese generated sales of around € 4.3 billion and had 10,700 employees.  The company has 24 production plants and six research centers in 10 countries mainly in North America, Europe and Asia. Celanese AG shares are listed on the Frankfurt stock exchange (stock exchange symbol CZZ) and on the New York Stock Exchange (symbol CZ). BASF is the world’s leading chemical company, offering its customers a range of high-performance products, including chemicals, plastics, performance products, agricultural products, fine chemicals as well as crude oil and natural gas. Its distinctive approach to integration, known in German as “Verbund,” is its strength. It enables BASF to achieve cost leadership and gives the company a competitive advantage. BASF conducts its business in accordance with the principles of sustainable development. In 2002, BASF had sales of €32 billion (circa $34 billion) and over 89,000 employees worldwide. Further information on BASF is available on the Internet at www.basf.com. Forward-looking statements (statements which are not historical facts) in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that all forward-looking statements involve risks and uncertainties, including those risks and uncertainties detailed in the Company’s filings with the Securities and Exchange Commission, copies of which are available from the Company.