Saflex Announces Major Increase in PVB Resin Capacity Global Tightness in Supply and Growth in Demand Drive Expansion Projects

Date: 9 May 2008
Source: Solutia Inc.

Date: 9 May 2008

Saflex(r), a unit of Solutia Inc. (NYSE:SOA), today announced that it will expand its PVB resin manufacturing facilities in Antwerp, Belgium, adding 15,000 metric tons of annual capacity, which is planned to come on-stream in 2010.

PVB resin is the key raw material used in making PVB sheet, which the

company markets under the Saflex brand name.



Luc De Temmerman, senior vice president of Solutia Inc. and president of the Saflex business, made the announcement: "This investment demonstrates our commitment to meeting the projected growth in PVB sheet demand. It will feed our new Saflex PVB sheet extrusion line in Ghent, Belgium, which will start up later in 2008 and will create 40 million square meters of new capacity once it ramps up to full production."



In addition, Saflex is currently expanding its PVB resin capacity at its plant in Springfield, Mass., which will add 12,000 metric tons of production to the site in early 2009. De Temmerman added, "With tight supply for PVB resin and sheet, as well as growing demand on a global scale, we are committed to maintaining our leadership position in this market and ensuring that customers can look to us to provide for their needs in the future."



Solutia has been investing continuously to meet growth in demand for its PVB resin and sheet. It has constructed a new Saflex PVB sheet production facility in Suzhou, China; added capability at its Saflex PVB sheet production facility in Santo Toribio, Mexico; increased the output of its Indian Orchard PVB sheet production facility in Springfield,Mass. by 50%; and, as noted above, is close to completing a major new Saflex PVB sheet production line at its facility in Ghent, Belgium.



Saflex is known globally as the leader in PVB quality and reliability. When laminated between layers of glass, Saflex PVB interlayers greatly enhance the performance characteristics of glass, providing benefits such as safety, security, UV protection, and sound attenuation. For more information about Saflex visit: http://www.saflex.com



Forward Looking Statements

This press release may contain forward-looking statements, which can be identified by the use of words such as "believes," "expects," "may," "will," "intends," "plans," "estimates" or "anticipates," or other comparable terminology, or by discussions of strategy, plans or intentions. These statements are based on management's current expectations and assumptions about the industries in which Solutia operates. Forward-looking statements are not guarantees of future performance and are subject to significant risks and uncertainties that may cause actual results or achievements to be materially different from the future results or achievements expressed or implied by the forward-looking statements. These risks and uncertainties include, but are not limited to, those risk and uncertainties described in Solutia's most recent Annual Report on Form 10-K, including under "Cautionary



Statement About Forward Looking Statements" and "Risk Factors", and Solutia's quarterly reports on Form 10-Q. These reports can be accessed through the "Investors" section of Solutia's website at www.solutia.com.



Solutia disclaims any intent or obligation to update or revise any forward-looking statements in response to new information, unforeseen events, changed circumstances or any other occurrence.



About Solutia Inc.

Solutia is a market-leading performance materials and specialty chemicals company. The company focuses on providing solutions for a better life through a range of products, including: Saflex(r) interlayer for laminated glass; CPFilms(r) aftermarket window films sold under the LLumar(r) brand and others; high-performance nylon polymers and fibers sold under brands such as Vydyne(r) and Wear- Dated(r); and technical specialties including the Flexsys(r) family of chemicals for the rubber industry, Skydrol(r) aviation hydraulic fluid and Therminol(r) heat transfer fluid. Solutia's businesses are world leaders in each of their market segments. With its headquarters in St. Louis, Missouri, USA, the company operates globally with approximately 6,000 employees in more than 60 locations. More information is available at www.Solutia.com.

 

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