Lyondell Sells Major Portion of ADI Assets to Bayer

04-Jan-2002

HOUSTON, Jan. 3, 2002 - Lyondell Chemical Company has sold the majority of its aliphatic diisocyanates (ADI) assets to Bayer Corporation. The transaction, which included Lyondell's Luxate® product inventories, certain intellectual properties, customer lists and contracts, was completed Dec. 31, 2001. Financial details were not disclosed.

In September, the company announced the immediate shutdown of its ADI manufacturing units at Lake Charles, LA, as well as its intention to exit the ADI business. Lyondell's ADI units represented an annual capacity of 18 million pounds.

Lyondell continues to manufacture toluene diisocyanates (TDI) at the Lake Charles manufacturing facility, which employs a workforce of approximately 480. Lyondell is currently the world's third largest TDI supplier with annual capacity in 2000 of 564 million pounds. TDI is used primarily to manufacture polyurethane foam for such products as bedding and furniture, automobile seat cushions and instrument panels.

ADI products include hexamethylene diisocyanate (HDI) and isophorone diisocyanate (IPDI), which are used in the manufacture of high-performance polyurethane coatings applications for industrial, automotive and home appliance applications.

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