Solutia Announces Price Increase for Advanced Interlayers Product Portfolio
ST. LOUIS, June 1, 2011 /PRNewswire/ — Solutia Inc. (NYSE: SOA) announced today that the company’s SaflexÃ‚® polyvinyl butyral (PVB) product portfolio will be subject to a 5 percent price increase effective July 1, 2011. The price increase is directly related to the increase in raw material costs in 2011 and will allow Solutia to continue to provide industry-leading support for its customers. Prices for currently contracted business will be adjusted as individual contracts allow.
“The key raw material feedstocks used to make Saflex interlayer, ethylene and propylene, are trading at or above historical highs, despite the fact that oil is well below its 2008 peak,” comments Eric Nichols, president and general manager of Solutia’s Advanced Interlayers division. “Rising costs are most pronounced in the propylene markets, where the shift to lighter feedstocks is affecting supply, in addition to increased demand.”
According to Rick Calk, vice president of commercial operations for Solutia’s Advanced Interlayers division, the price increase is necessary due to the unprecedented increase in raw material pricing seen in the first half of 2011. “As a leading supplier of PVB interlayers and EVA encapsulants, we are fully committed to meeting the current and future needs of our customers. We have recently made several significant investments to ensure long-term cost competitiveness and the stable supply of quality, high-performance interlayer products around the world, and we will continue to do so in the future.”
“Despite facing increases in both energy and processing materials costs, I am proud of Solutia’s efforts to improve production efficiency and boost capacity,” says Dirk Duquet, vice president, operations for the Advanced Interlayers division.
Solutia manufactures Saflex PVB interlayers in Gent, Belgium; Santo Toribio, Mexico; San Jose Dos Campos, Brazil; Springfield, Mass., USA; and Suzhou, China. It also operates a PVB finishing center, distribution center and regional customer service center in Singapore. The company also manufactures ethylene vinyl acetate (EVA) for solar applications in Dietenheim, Germany and Suzhou, China.
Solutia’s SaflexÃ‚® product is the most trusted name in PVB interlayer technology for laminated glazing, delivering outstanding performance and durability backed by reliable and knowledgeable service. As a result, it is found in nearly 40 percent of laminated architectural and automotive glass worldwide. Saflex interlayers are also used to encapsulate thin film photovoltaic solar cells, providing outstanding processability and durability. In 2010, the company acquired Etimex Solar GmbH, producer of VistasolarÃ‚® encapsulants, uniquely positioning Solutia’s Advanced Interlayers division as the sole provider of both major encapsulants (PVB and EVA) to the fast-growing photovoltaic industry.
Notes to Editor: SOLUTIA and the Radiance Logo(TM) and all other trademarks listed below are trademarks of Solutia Inc. and/or its affiliates. As used herein, Ã‚® denotes registered trademark status in the U.S. only.
Forward Looking Statements
This press release may contain forward-looking statements, which can be identified by the use of words such as “believes,” “expects,” “may,” “will,” “intends,” “plans,” “estimates” or “anticipates,” or other comparable terminology, or by discussions of strategy, plans or intentions. These statements are based on management’s current expectations and assumptions about the industries in which Solutia operates. Forward-looking statements are not guarantees of future performance and are subject to significant risks and uncertainties that may cause actual results or achievements to be materially different from the future results or achievements expressed or implied by the forward-looking statements. These risks and uncertainties include, but are not limited to, those risks and uncertainties described in Solutia’s most recent Annual Report on Form 10-K, including under “Cautionary Statement About Forward Looking Statements” and “Risk Factors”, and Solutia’s quarterly reports on Form 10-Q. These reports can be accessed through the “Investors” section of Solutia’s website at www.solutia.com . Solutia disclaims any intent or obligation to update or revise any forward-looking statements in response to new information, unforeseen events, changed circumstances or any other occurrence.
Solutia is a market-leading performance materials and specialty chemicals company. The company focuses on providing solutions for a better life through a range of products, including: SaflexÃ‚® polyvinyl butyral interlayers for glass lamination and for photovoltaic module encapsulation and VISTASOLARÃ‚® ethylene vinyl acetate films for photovoltaic module encapsulation; LLumarÃ‚®, Vista(TM), EnerLogic(TM), FormulaOneÃ‚®, GilaÃ‚®, V-KOOLÃ‚®, Huper OptikÃ‚®, IQue(TM), Sun-XÃ‚® and Nanolux(TM) aftermarket performance films for automotive and architectural applications; Flexvue(TM) advanced film component solutions for solar and electronic technologies; and technical specialties products including CrystexÃ‚® insoluble sulfur, SantoflexÃ‚® PPD antidegradants, TherminolÃ‚® heat transfer fluids and SkydrolÃ‚® aviation hydraulic fluids. Solutia’s businesses are world leaders in each of their market segments. With its headquarters in St. Louis, Missouri, USA, the company operates globally with approximately 3,300 employees in more than 50 worldwide locations. More information is available at www.Solutia.com .
SOURCE Solutia Inc.