RHODIA AND SITA JOIN FORCES ON SOIL REMEDIATION

Paris, February 15, 2000 - Rhodia, through its subsidiary Rhodia Eco Services, and SITA, the waste management subsidiary of the Suez-Lyonnaise des Eaux Group, have reached an agreement in principle to merge their respective soil remediation businesses - ATE and Geoclean.

From the outset, this new company will be the French market leader in soil remediation, with annual sales of around 15 million euros. Offering a complete range of technologies, from environmental diagnosis and hazard studies to the treatment of soil and underground water contaminated by complex pollution, the company will be involved in/present in many different treatment processes.

In addition, it will benefit from access to Rhodia's research potential through the resources of its Aubervilliers Research Center near Paris, together with the wealth of expertise and outlets offered by the SITA Group. The fact that the two companies are extremely complementary in terms of customer base and geographical cover will also give the new entity is a major competitive advantage.

To be located within Teris, Rhodia Eco Services' and SITA's 50/50 joint venture in the recovery of special industrial waste and one of the world leaders in this market, this new business will enable Teris to reinforce its future growth by extending the range of services offered to its industrial customers.

The new organization should be operational by the end of the second quarter of 2000.

SITA, the European waste management leader, employs 45 000 persons in 25 countries. In 1998, the Group generated sales of 2 645 million Euros. SITA Group's activities cover the entire waste spectrum : collection, sorting, recovery and processing of solid and liquid non hazardous and hazardous waste (excluding nuclear waste), and the provision of urban cleansning services.

Rhodia, one of the world leaders in specialty chemicals, contributes to improving the quality of life by developing value-added products, services and solutions for the beauty, clothing, foodstuffs and healthcare markets as well as for the environment, transport and industry. Rhodia employs 24,800 people worldwide and recorded sales of 5,525 million Euros in 1999. Rhodia is listed on the Paris Bourse and the New York stock exchange. Through its subsidiary Rhodia Eco Services, Rhodia provides manufacturers with innovative solutions tailored to their needs in the area of environmental protection in order to help them to eliminate their waste and gradually to reduce the waste generated upstream of their processes.

Rhodia Contacts

Press Relations

Jean-Christophe Huertas - Rhodia HQ
Tél : + 33 1 55 38 42 51

Anne-Laurence de Villepin - Rhodia Eco Services
Tél : +33 1 41 39 71 23

Investor Relations

Angélina Palus
Tel : + 33 1 55 38 42 99

Sita Contacts

Francis Weill
Tél : + 33 1 42 91 63 78