Press Release

Kraton Sets Fast Pace at the
Adhesive and Sealants Council’s
2005 Fall Convention and Expo

HOUSTON, TX – October 4, 2005 - Kraton Polymers LLC (Kraton) today announces that we will showcase two new innovative products, designed to enhance adhesive performance at the Adhesive and Sealants Council’s 2005 Fall Convention and Expo to held October 9th thru October 12th in Louisville, Kentucky.

“Kraton has been the leader in product innovation for more than four decades,” says James Dieter, North America Business Manager for Adhesives, Sealants and Coatings. “So there’s no better place for Kraton, a thoroughbred of the SBC industry, to set the pace than in Kentucky at this key trade show. Our new development grades demonstrate a determination to support our customers in a wide range of industries”.

This show, which features advances in hot melts and UV/EB curables, is a perfect opportunity for our researchers, Dr. Dave St. Clair and Dr. Donn Dubois, to describe the performance benefits of new product grades developed at Kraton’s world class research and development facilities in Europe and in the US. Dr. St. Clair will present a paper on “Styrenic Block Copolymers” in the short course on Hot Melt Adhesives and Dr. Dubois will present a paper on “High Performance Styrenic Block Copolymers Featuring a Novel Hybrid Mid-block Phase” at the session of the meeting on Pressure Sensitive Adhesives. Dr. St. Clair’s talk will be at 11:45 a.m. CST on October 10, 2005 and Dr. Dubois’s talk will be at 9:30 a.m. CST on October 11th.

For more information about Kraton products please visit our website at www.Kraton.com or e-mail us at info@Kraton.com.

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, and “Giving Innovators their Edge” tagline are trademarks of Kraton Polymers LLC.

Forward Looking Statements

This press release includes “forward-looking statements” as that term is defined in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements other than statements of historical fact are statements that could be deemed forward-looking statements and are often characterized by the use of words such as “believes,” “expects,” “estimates,” “projects,” “may,” “will,” “intends,” “plans” or “anticipates,” or by discussions of strategy, plans or intentions.  All forward-looking statements in this press release are made based on management’s current expectations and estimates, which involve risks, uncertainties and other factors that could cause results to differ materially from those expressed in forward-looking statements. Among these factors are changes in overall economic conditions, the cyclical nature of the chemical industry, changes in demand for our products, changes in inventories at our customers and distributors, technological and product development risks, availability and cost of raw materials, competitors’ actions, pricing and gross margin pressures, loss of key customers, order cancellations or reduced bookings, the timing and cost of planned capital expenditures, changes in manufacturing yields, control of costs and expenses, significant litigation, risks associated with acquisitions and dispositions, risks associated with our substantial leverage and restrictive covenants in our debt agreements, risks associated with our international operations, the threat or occurrence of international armed conflict and terrorist activities both in the United States and internationally, risks and costs associated with increased and new regulation of corporate governance and disclosure standards (including pursuant to Section 404 of the Sarbanes-Oxley Act of 2002), and risks involving environmental or other governmental regulation. Readers are cautioned not to place undue reliance on forward-looking statements. We assume no obligation to update such information.