Rhodia boosts its Heat Curing Silicone Elastomer (HCE/HCR) production capacity

Paris, 19th January 2000 - Rhodia, one of the world's leading silicones producers, is boosting its production capacity for Heat Curing Silicone Elastomers (HCE/HCR) and upgrading its production facilities at its Lyons-based Saint Fons site in order to keep pace with market growth and deliver products with constant quality, meeting the demands of new applications. This has involved the immediate commissioning of a new mixer and an entirely refurbished production line, with an investment of some 30 million Francs.

HCE's are mainly used to manufacture cables, technical parts for the automotive industry, electrical appliances, office equipment and industry in general. The use of HCE's is also gaining ground for paramedical and food grade products (Silbione® range).

Rhodia has a dominant position in the European HCE market due to its specialised Mix and Fix® center formulating and sales network This investment shows Rhodia's determination to develop in the silicones sector and consolidate its position as market leader in Europe.

Rhodia, one of the world's leaders in speciality chemicals, contributes to improving the quality of life by developing products, solutions and services with high added value in the sectors of beauty, clothing, food, health, environmental, automotive and industry. Rhodia achieved a turnover of 5 537 billion Euros in 1998 and employs 23 500 people across the world. Rhodia has been listed on the Paris and New York stock exchange since June 25 1998.

Press contact :
Jean-Christophe Huertas Phone + 33 1 55 38 42 51
Frédéric Jacquin Phone + 33 1 55 38 42 08

Investor contact :
Angélina Palus Phone + 33 1 55 38 42 99