Acquisition advances specialization strategy
CLEVELAND, Jan. 2 /PRNewswire-FirstCall/ -- PolyOne Corporation (NYSE: POL), a leading global provider of specialized polymer materials, services and solutions, announced today it has completed its previously announced acquisition of GLS Corporation, the leading North American provider of specialty thermoplastic elastomer compounds (TPEs) for consumer and medical applications.
This acquisition complements PolyOne's global Engineered Materials business portfolio and accelerates the company's shift to specialization. The combination of GLS's specialty TPE technology, compounding expertise and brand, along with PolyOne's extensive global infrastructure and commercial presence offers customers enhanced technologies; a broader range of products, services and solutions; and expanded access to specialized, high-growth markets around the globe.
The experienced GLS senior management team will remain and lead the global TPE business unit, retaining the GLS name and brand.
GLS was formerly a family-owned business headquartered in McHenry, Illinois. It has built a superb reputation as a strategic partner to many of the world's best-known companies in developing and marketing highly customized soft TPEs. With approximately 200 employees, GLS has manufacturing facilities in Illinois and Suzhou, China. Annual sales are approximately $130 million.
PolyOne Corporation, with 2006 annual revenues of $2.6 billion, is a leading global provider of specialized polymer materials, services and solutions. Headquartered in northeast Ohio, PolyOne has operations in North America, South America, Europe, Asia and Australia, and joint ventures in North America and South America. See http://www.polyone.com for additional information on PolyOne.
In this press release, statements that are not reported financial
results or other historical information are "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act of 1995.
Forward- looking statements give current expectations or forecasts of
future events and are not guarantees of future performance. They are based
on management's expectations that involve a number of business risks and
uncertainties, any of which could cause actual results to differ materially
from those expressed in or implied by the forward-looking statements. You
can identify these statements by the fact that they do not relate strictly
to historic or current facts. They use words such as "anticipate,"
"estimate," "expect," "project," "intend," "plan," "believe," and other
words and terms of similar meaning in connection with any discussion of
future operating or financial performance and/or sales. In particular,
these include statements relating to future actions; prospective changes in
raw material costs, product pricing or product demand; future performance;
results of current and anticipated market conditions and market strategies;
sales efforts; expenses; the outcome of contingencies such as legal
proceedings; and financial results including those of GLS. Factors that
could cause actual results to differ materially include, but are not
- the effect on foreign operations of currency fluctuations, tariffs,
nationalization, exchange controls, limitations on foreign investment
in local businesses and other political, economic and regulatory risks;
- changes in polymer consumption growth rates within the U.S., Europe or
Asia or other countries where PolyOne conducts business;
- changes in global industry capacity or in the rate at which anticipated
changes in industry capacity come online in the polyvinyl chloride
(PVC), chlor-alkali, vinyl chloride monomer (VCM) or other industries
in which PolyOne participates;
- fluctuations in raw material prices, quality and supply and in energy
prices and supply, in particular fluctuations outside the normal range
of industry cycles;
- production outages or material costs associated with scheduled or
unscheduled maintenance programs;
- the cost of compliance with environmental laws and regulations,
including any increased cost of complying with new or revised laws and
- unanticipated developments that could occur with respect to
contingencies such as litigation and environmental matters, including
any developments that would require any increase in our costs and/or
reserves for such contingencies;
- an inability to achieve or delays in achieving or achievement of less
than the anticipated financial benefit from initiatives related to cost
reductions and employee productivity goals;
- an inability to raise or sustain prices for products or services;
- an inability to maintain appropriate relations with unions and
employees in certain locations in order to avoid business disruptions;
- any change in any agreements with product suppliers to PolyOne
Distribution that prohibits PolyOne from continuing to distribute a
supplier's products to customers;
- the ability to successfully integrate GLS; and
- other factors affecting our business beyond our control, including,
without limitation, changes in the general economy, changes in interest
rates and changes in the rate of inflation.
We cannot guarantee that any forward-looking statement will be realized, although we believe we have been prudent in our plans and assumptions. Achievement of future results is subject to risks, uncertainties and inaccurate assumptions. Should known or unknown risks or uncertainties materialize, or should underlying assumptions prove inaccurate, actual results could vary materially from those anticipated, estimated or projected. Investors should bear this in mind as they consider forward-looking statements.
We undertake no obligation to publicly update forward-looking statements, whether as a result of new information, future events or otherwise. You are advised, however, to consult any further disclosures we make on related subjects in our reports on Form 10-Q, 8-K and 10-K that we provide to the Securities and Exchange Commission. You should understand that it is not possible to predict or identify all risk factors. Consequently, you should not consider any list to be a complete set of all potential risks or uncertainties. (Ref. #10208)
|SOURCE PolyOne Corporation|
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