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01-20-2009

Lanxess: Reduces Production of Butyl Rubber

Specialty chemicals group Lanxess AG, Leverkusen, Germany, has decided to reduce production of butyl rubber at its plants in Sarnia, Canada, and Zwijndrecht, Belgium, due to a decline in demand for the product.

In the coming months, the plants belonging to the Business Unit Butyl Rubber (BTR) will either be operating at reduced capacity levels or will be temporarily shut down for several weeks, which will allow for routine maintenance work. About 360 employees in total are affected by the measures. Flexible working time arrangements for the employees, such as reduction of overtime and use of annual vacation, will be implemented in Canada. Employees in Belgium will be put on short-time working.

In response to the global economic crisis, LANXESS already announced last month its decision to postpone groundbreaking of the new butyl rubber plant in Singapore from January 2009 to the fall. The plant is expected to begin production in 2012.

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