Production record for Bayferrox

Capacity expansion at all sites
Investment of EUR 20 million

Leverkusen – At around 25,000 metric tons, the amount of Bayferrox manufactured by LANXESS at its Krefeld-Uerdingen site in May was higher than in any previous month. This is the largest volume ever produced since the plant was founded in 1926 and is equivalent to approximately 1200 loaded trucks. 85 percent of the material manufactured in Krefeld-Uerdingen was exported abroad. 

The volume of the iron oxide pigments manufactured at LANXESS' Krefeld-Uerdingen site between January and May 2010 outstripped the figure for the same period last year by more than one third. With an annual production volume of 280,000 metric tons, the Uerdingen plant is the largest of its kind in the world, and is currently operating at full capacity. "Over the past few months, we have been able to gain a high market share and new customers on a global base. That's all thanks to further improved product quality, innovative new Bayferrox grades, our specially tailored customer service and the sustainability of our products in practical applications," explains Jörg Hellwig, head of the Inorganic Pigments business unit at LANXESS. At the moment the Krefeld-Uerdingen site runs at full capacity.

Initiatives such as process optimization, efficiency increases and plant expansion are being implemented to ensure capacities can continue to grow. Worldwide, LANXESS has the capacity to manufacture over 350,000 metric tons of Bayferrox each year. This is spread over the facilities in Uerdingen, Porto Feliz in Brazil and Jinshan in China. Due to the rapid rise in demand for its innovative, high-quality iron oxide pigments, LANXESS is this year investing around EUR 20 million in Bayferrox production at these three sites. The entire logistics process is being optimized to make sure customer demand can be met to as great an extent as possible in the meantime. Improvements are also being made to order management. "Our goal is to ensure dynamic growth for ourselves and our customers. And we'll do that while remaining a trusted partner in terms of product quality and reliability of supply," adds Hellwig. 

LANXESS is a leading specialty chemicals company with sales of EUR 5.06 billion in 2009 and currently around 14,300 employees in 23 countries. The company is represented at 42 production sites worldwide. The core business of LANXESS is the development, manufacturing and marketing of plastics, rubber, intermediates and specialty chemicals.

Leverkusen, 	June 23, 2010
erb		(2010-00107e)

Forward-Looking Statements.
This news release may contain forward-looking statements based on current assumptions and forecasts made by LANXESS AG management. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of the company and the estimates given here. The company assumes no liability whatsoever to update these forward-looking statements or to conform them to future events or developments.

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