Akzo Nobel to Open Coil Coatings Facility at its Suzhou, China Site


ARNHEM, The Netherlands, May 23, 2002 (PRIMEZONE) -- Rudy van der Meer, member of Akzo Nobel's Board of Management responsible for Coatings, today announced that Akzo Nobel is in the process of constructing a coil coatings facility at its production site in Suzhou, China. The coil business is the latest addition to the Suzhou plant, which already houses three other Akzo Nobel Coatings core businesses: Car Refinishes, Powder Coatings and Transportation Coatings.

"One of Akzo Nobel's strategic goals is to increase our market share in the Asia Pacific region, and China is a key market in this area," said Van der Meer. "When we opened the Suzhou site in September last year, I said that it would serve as a platform for the further expansion of our activities in the region. "The introduction of the coil coatings facility as the fourth core business at the site is proof that we consider enhanced access to the rapidly expanding Chinese market of enormous importance to Akzo Nobel Coatings."

In China, Akzo Nobel currently has 18 operations, including 15 production facilities, representing its three areas of business: Pharma, Coatings and Chemicals. One major operation is a 50-50 joint venture; all other operations are majority or wholly owned. The Suzhou site and the recently opened wood coatings plant at Dongguan City are 100% Akzo Nobel facilities. The monochloroacetic acid plant under construction in Taixing is also wholly owned. Akzo Nobel has 1,700 employees in China and has seen its sales quadruple to EUR 300 million in the last five years, stemming from organic growth and acquisitions.

The coil coatings facility is expected to start production in late 2002.

Note for the editor

Akzo Nobel, based in the Netherlands, serves customers throughout the world with healthcare products, coatings and chemicals. Consolidated sales for 2001 totaled EUR 14 billion. The Company currently employs over 66,000 people in 80 countries. Financial results for the second quarter will be published on July 24, 2002.

Internet: www.akzonobel.com


For more information please contact: Akzo Nobel N.V. Marc Michelsen, 
Manager Corporate Communications, tel. +31 6 22 94 71 38

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