Consolidation of Superabsorbents Business: Degussa closes down production unit in the USA

05-Oct-2001
Degussa's Superabsorbents Business Unit has closed down one of the two superabsorbents production units at its plant in Greensboro, North Carolina. The reason for this measure, which takes approx. 40,000 tons of production capacity off the market, is the decline in superabsorbents demand on the NAFTA market. This step will not affect Degussa's superabsorbents activities in South America, a growth market of strategic importance. Andreas Meinz, head of Degussa's globally operating Superabsorbents Business Unit: "We thoroughly regret the closure of the unit and the loss of jobs. At the same time, this is an important step towards improving the performance of our superabsorbents operations and thus also securing their future worldwide." Prof. Dr. Utz-Hellmuth Felcht, Chairman of the Board of Management of Degussa AG: "With this step, Degussa is taking into consideration the fact that the market is currently characterized by overcapacity and will be experiencing stronger consolidation in future." As one of the world's leading suppliers of superabsorbents, the new Degussa generated sales in this segment of approx. € 0.5 billion in this field in 2000.

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