Kemira Oyj - Corporate Action

Kemira to build two new coagulant plants at Bayer sites in Europe

Kemira Oyj
Stock exchange release
February 18, 2011 at 10.00 am (CET+1)


Kemira will strengthen its European manufacturing network by constructing two
new coagulant plants in Germany and Spain. The investment is EUR 40 million and
the plants are expected to be operational during 2012.

Kemira has entered a strategic partnership with Bayer MaterialScience through
which it will purchase hydrochloric acid (= HCl) - a by-product of Bayer's
polyurethane production - to produce coagulants for use in various water
treatment applications, including drinking water and waste water treatment.

Kemira will build the new coagulant plants next to Bayer MaterialScience's
isocyanate production plants in Dormagen, Germany and Tarragona, Spain. At the
same time, Kemira will close an existing coagulant plant in Europoort, the
Netherlands. In Spain, the coagulant manufacturing in Tarragona will be moved
into the new plant in the Bayer Industrial Park. Kemira has informed the Works
Councils about the restructuring plan and started the co-determination
negotiations in Spain and the Netherlands. The impact on personnel is minor, as
most employees will be able to transfer to other positions within Kemira."Kemira and Bayer have a long history of working together. We are extremely
pleased to enter this partnership, as it strengthens our position in western and
southern Europe, securing a long term, cost-efficient access to hydrochloric
acid. Coagulants are one of Kemira's core product lines and ensuring cost
efficient supply of raw materials is one of our key strategic objectives", says
Harri Kerminen, President and CEO of Kemira."Bayer MaterialScience is pleased to be entering the strategic partnership with
Kemira," says Tony Van Osselaer, the company's head of Industrial Operations and
a member of its Executive Committee. "This partnership provides an environmental
benefit, as we will reduce the current transport of our HCl from roads and rail
networks. By positioning these new facilities next to our manufacturing units
everyone benefits and it gives us a perfect outlet for HCl of our planned TDI
(toluene diisocyanate) facility in Dormagen," he adds.

Further information:

Kemira Oyj
Pekka Ojanpää
President, Municipal & Industrial
Tel. + 358 (0)10 862 1141

Tero Huovinen, Director, Investor Relations
Tel. + 358 (0)10 862 1980

Kemira is a global two billion euro chemicals company that is focused on serving
customers in water-intensive industries. The company offers water quality and
quantity management that improves customers' energy, water, and raw material
efficiency. Kemira's vision is to be a leading water chemistry company.

www.kemira.com
www.waterfootprintkemira.com


[HUG#1490390]

Attachments:

Link to the release (.pdf).pdf