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News Releases
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Honeywell Increases Nylon Resin Capacity by 10 Percent through Productivity
Improvement
Also gains capacity to supply higher-performance resins for packaging with
termination of swap deal.
MORRIS TOWNSHIP, N.J., April 17, 2007 - Honeywell (NYSE: HON) Resins &
Chemicals announced today that is
has increased its nylon resin availability by 10 percent through a series of
productivity improvements.
The company also announced it has also gained capacity to supply higher
viscosity resins used for packaging
with the end of an existing swap agreement with BASF.
"We remain committed to the resins marketplace," said Qamar Bhatia,
vice president and general manager for
Honeywell Resins & Chemicals. "Our productivity improvements further
strengthen Honeywell's position to supply
nylon resin and the end of our swap agreement will allow us to provide more,
higher-performance resin to a
broader range of customers."
The company realized the increase in resin capacity through a series of
productivity improvement efforts at its Chesterfield, Va. facility, which is
its main production facility for nylon resin.
The company also said its nylon resin swap agreement with BASF will terminate
May 1. As a result of the termination, Honeywell will have a greater supply of
high-viscosity resins, which are more suitable for packaging applications.
Those resins had previously been subject to the swap.
The agreement had been in effect since May 2003 as a part of the transaction in
which Honeywell sold its engineering plastics business to BASF in exchange for
BASF's nylon fiber business.
Honeywell Resins & Chemicals produces nylon resins under the Aegis® brand
for a wide range of product applications, including food packaging and
injection molding applications. Consumer packaging films produced with Aegis
nylon resins offer excellent strength, tear and puncture resistance during
transport. Applications include air cellular cushioning products, which provide
protection from product damage during shipment.
Honeywell Resins & Chemicals also offers basic grades of nylon 6 polymer
that can be user enhanced and modified to meet the specific requirements for
injection molded applications. These general purpose resins exhibit excellent
molding and extrusion characteristics, which make them versatile and flexible
products that are suitable for numerous applications.
Honeywell Resins & Chemicals, a $1.1 billion unit of Honeywell Specialty
Materials, was formed in 2005 following the sale of Honeywell's nylon carpet
fiber business to Shaw Industries Group. Resin & Chemicals supplies
caprolactam to Shaw under a long-term supply agreement, but also sells
merchant-grade caprolactam to other customers in molten or flake form. In
addition to caprolactam and resins, Resins & Chemicals manufactures
ammonium sulfate and other chemicals.
Honeywell Specialty Materials, based in Morristown, N.J., is a $4.7 billion,
global leader in providing customers with high-performance specialty materials,
including fluorine products; specialty films and additives; advanced fibers and
composites; intermediates; specialty chemicals; electronic materials and
chemicals; and technologies and materials for petroleum refining.
Honeywell International is a $33 billion diversified technology and
manufacturing leader, serving customers worldwide with aerospace products and
services; control technologies for buildings, homes and industry; automotive
products; turbochargers; and specialty materials. Based in Morris Township,
N.J., Honeywell's shares are traded on the New York, London, and Chicago Stock
Exchanges. It is one of the 30 stocks that make up the Dow Jones Industrial
Average and is also a component of the Standard & Poor's 500 Index. For
additional information, please visit www.honeywell.com.
This report contains "forward-looking statements" within the meaning of
Section 21E of the Securities Exchange Act of 1934. All statements, other
than statements of fact, that address activities, events or developments that
we or our management intend, expect, project, believe or anticipate will or may
occur in the future are forward-looking statements. Forward-looking
statements are based on management's assumptions and assessments in light of
past experience and trends, current conditions, expected future developments
and other relevant factors. They are not guarantees of future performance,
and actual results, developments and business decisions may differ from those
envisaged by our forward-looking statements. Our forward-looking
statements are also subject to risks and uncertainties, which can affect our
performance in both the near- and long-term. We identify the principal
risks and uncertainties that affect our performance in our Form 10-K and other
filings with the Securities and Exchange Commission.
Media Contact:
Peter Dalpe
973-455-4908
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