Effective July 1, 2008, or as allowed by contract, BASF will increase prices on all kaolin products that are manufactured at the BASF middle Georgia kaolin operation and exported to Asia and the Middle East.

 

This action is primarily due to the dramatic escalation of ocean freight costs. Several other cost factors, such as energy, chemicals and mining costs, continue to impact the overall business. The existing energy surcharge program remains in effect.

 

Kaolin customers can determine the precise impact on their purchases by contacting their local BASF sales representative.

 

In addition, effective July 1, 2008, or as contracts allow, BASF will increase its prices by $0.12 per dry pound in the United States and Canada for all Butofan® medium solids styrene-butadiene latex products and for Styrofan® and Styronal® styrene-butadiene latex products used in the adhesives, architectural coatings, sealants, construction, paper and nonwovens markets.