US Decision on CCA

Elementis PLC 15 February 2002 15 February 2002 ELEMENTIS plc CONFIRMS IMPACT OF US ENVIRONMENTAL PROTECTION AGENCY DECISION ON CCA Elementis plc, the international speciality chemicals group, notes the statement made by the US Environmental Protection Agency (EPA) on 12 February 2002 regarding the use of wood treated with chromated copper arsenate ('CCA'). Elementis Chromium supplies chromic acid which is used in the manufacture of CCA and acts primarily as a binding agent. In the statement, the EPA announced the transition from the use of CCA in a variety of consumer uses by 31 December 2003 in favour of other alternative products. The statement confirmed that the transition affects virtually all residential uses of wood treated with CCA including wood used in play- structures, decks, picnic tables, landscaping timbers, residential fencing, patios and walkways/boardwalks. By January 2004, EPA will not allow CCA products for any of these residential uses. The statement goes on to state that in the current year, the CCA manufacturers expect a decline in production of CCA products for affected residential uses up to 25 per cent. During 2003, the CCA manufacturers expect the transition away from CCA to continue and increase, with a decline in production of CCA products for affected residential uses up to 70 per cent. Elementis understands that, following the CCA manufacturers' request to amend the pesticide registrations, the EPA will publish a notice in the Federal Register and a 30 day period for public comment will follow. As previously indicated in the announcement made on 5 February 2001, Elementis estimates that as a result of the EPA's decision, the global and US demand for chromium chemicals will reduce by around 5 and 30 per cent respectively and Elementis Chromium's global sales could be adversely affected by around 15 per cent by 2004. - Ends - Notes to Editors: The EPA's announcement can be viewed at http://www.epa.gov/epahome/newsroom.htm Enquiries Elementis plc 01784 224212 Geoff Gaywood Chief Executive George Fairweather Group Finance Director Anna Passey Head of Corporate Communications Brunswick 020 7404 5959 Andrew Fenwick Rupert Young This information is provided by RNS The company news service from the London Stock Exchange

Companies

Elementis (ELM)
UK 100

Latest directors dealings