An unexpected technical problem in our Capa™ caprolactone monomer plant has forced us to temporarily shut down production. Intensive efforts to rectify the problem are ongoing, but attempts to restart and stabilize production have so far been unsuccessful.

Product deliveries of both Capa™ Monomer and its derivatives Capa™ Polyols and Capa™ Thermoplastics are likely to be impacted immediately. As you know, demand for the Capa™ product range is currently very strong. Due to the aforementioned outage, it will be impossible for us to be fully in line with our delivery commitments for the first half of 2011.

As a consequence hereof, Force Majeure is hereby declared as regards deliveries of Capa™ Monomer, Capa™ Polyols and Capa™ Thermoplastics from the Perstorp Group.

During this period of interference of the Force Majeure, the management of Perstorp is making every effort to mitigate the consequences of the Force Majeure declaration. The quantities of product available will be allocated in a fair and equitable manner amongst our customers.

We sincerely regret any inconvenience this may cause our customers. Questions should be directed to your sales representative.

Perstorp April 19th, 2011
By and on behalf of Perstorp Holding AB and its subsidiaries

Anders Lundin
Executive Vice President
Head of Perstorp Performance Products