Press Release

USA - Kraton Polymers Increases Price
of Kraton SBS Polymers

Kraton Polymers Increses Price of Kraton SBS and Oil-Extended SBS Polymers for North America Paving & Roofing Customers

HOUSTON (September 16, 2004) – Kraton Polymers will increase the price of all Kraton SBS polymers and oil-extended SBS polymers for paving and roofing customers in North America, effective October 15. The increase will be USD 3 cents per pound (CPP).

“Kraton Polymers has continued to experience ongoing pressures associated with our energy, raw material, packaging and transportation costs,” said Jim Dieter, director of sales and customer relations.

This price increase marks the third increase of Kraton SBS and oil-extended SBS polymer prices in recent months. Kraton Polymers previously announced increases of 6 CPP effective July 15 and 7 CPP effective August 15 for these polymers.

The Kraton Polymers Group of Companies pioneered the production of styrenic block copolymers in the 1960s and today retains its position as the world’s leading manufacturer and supplier of the technology. Manufacturers and formulators around the world use Kraton polymers in their compounds and applications to add value to their products through improved finish and advanced manufacturing processes.

About Kraton

Kraton Polymers LLC is a premier, global specialty chemicals company and is the world’s largest producer of styrenic block copolymers (“SBCs”), a family of products whose chemistry was pioneered by Kraton over forty years ago.  SBCs are highly-engineered synthetic elastomers, which enhance the performance of products by delivering a variety of attributes, including greater flexibility, resilience, strength, durability and processability.  Kraton polymers are used in a wide range of applications including road and roofing materials, numerous consumer products (e.g., diapers, tool handles and toothbrushes), tapes, labels, medical applications, packaging, automotive and footwear products.  Kraton has the leading position in nearly all of its core markets and is the only producer of SBCs with global manufacturing capability.  Its production facilities are located in the United States, The Netherlands, Germany, France, Brazil, and Japan.

Polymer Holdings LLC is the parent company of Kraton Polymers LLC and has no material assets other than its investment in Kraton Polymers LLC. 

Kraton, the Kraton logo and design are trademarks of Kraton Polymers LLC.

Forward Looking Statements

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