Tradiers raise prices of imported EPS

MOSCOW (MRC) -- Traders have raised prices of imported Asian expandable polystyrene (EPS) on the back of higher purchase prices of material caused by the exchange rate difference and strong demand in the local market, according to ICIS-MRC Price report.

Sellers said a shortage remained in the market, companies had to get customs clearance for new quantities at a higher exchange rate. Strong demand and the devaluation trend in the foreign currency market have led to higher prices.

EPS prices of Loyal (China) were heard in the range of Rb96,000-100,000/tonne CPT Moscow, including VAT, in the central region. Traders said it was difficult to anticipate demand trend and it would be possible to say next week whether the price will be accepted by the market.

Prices of Korean EPS of LG were in the range of Rb105,000-107,000/tonne, CPT Moscow, including VAT.

At the same time, import prices CIF St Petersburg in dollars were reduced by Chinese suppliers this week.

As reported earlier, SIBUR had increased its November prices for the domestic market by Rb2,000/tonne, including VAT. November prices for the export market were not adjusted.
MRC

MOSCOW (MRC) -- Arkema, a chemicals world major, CEA, a research public body in energy and technological innovation, and Arjowiggins Creative Papers, the world leader in technical paper, have set up the first European initiative to promote collaborative innovation in the field of printed electronics, said Arkema on its site.

Arkema offers a range of materials specifically for printed electronics, in particular through its subsidiary Piezotech. This unique range of electroactive inks provides solutions to the various requirements of the actuators and sensors industry. Meanwhile, Arjowiggins Creative Papers has developed a unique paper substrate technology for organic electronics. And finally, CEA provides support with its design tools as well as its PICTIC1 technological research and prototyping platform to validate and develop large area printing technologies in low-cost and flexible electronics.

The Open Innovation for Sensors and Actuators (OIS&A) initiative is underpinned by this unique partnership that pools all three players together in substrate, materials, and integration and design technologies, with a view to offering a comprehensive ecosystem to end-users eager to demonstrate new applications and develop new products in printed electronics. Original components and systems can be designed and demonstrated quickly by making full use of the partners’ infrastructure and know-how and by sharing R&D costs.

"Arkema develops high added value high performance materials, and our collaboration with CEA in the field of printed organic electronics addresses this challenge" explains Ian Cayrefourq, Emerging Technologies Director at Arkema. "We are launching this initiative with CEA and Arjowiggins Creative Papers in order to initially expand the scope of applications of our piezoelectric, pyroelectric and electroactive PVDF-based polymer materials developed by our subsidiary Piezotech."

As MRC informed previously, in early 2014, Arkema announced the construction of a new organic peroxide plant on its Changshu site in China. This investment will help double the site’s production capacity. By doubling its production capacity in China, Arkema will continue to support the strong growth in the organic peroxide market in Asia, a region in which the Group is also a producer in India, South Korea and Japan. The new Changshu plant is due to come on stream in early 2016.

Arkema with annual revenue of EUR6.1 billion is a leading European supplier of chlorochemicals and PVC. Kynar and Kynar Flex are registered trademarks of Arkema Inc. Arkema operates 11 organic peroxide plants on the three continents.
MRC

MOSCOW (MRC) -- PolyOne Corporation, a premier global provider of specialized polymer materials, services and solutions, has reported its third quarter results, as per the company's report.

As previously announced, the Ccmpany exited certain unprofitable products associated with the Spartech acquisition and operations in Brazil. These actions, coupled with recent weakness in Europe, resulted in revenues of USD958 million for the third quarter of 2014, compared to USD1.01 billion in the third quarter of 2013.

As a result of mix improvement and accelerated Spartech synergies, adjusted earnings per share increased 36% to USD0.49 for the third quarter of 2014, up from USD0.36 in the third quarter of 2013.

"Each of our strategic platforms delivered another outstanding quarter of both operating income and margin expansion," said Robert M. Patterson, president and chief executive officer. "Despite softer macroeconomic conditions in Europe, we achieved record-setting third quarter results. I am extremely pleased to report this marks our 20th consecutive quarter of strong double-digit adjusted earnings per share growth. Over this five year period, adjusted EPS has expanded at a 27% compounded annual growth rate."

Mr. Patterson continued, "We have never lost sight of the fundamental principles of our transformation, and we continue to deliver on our goals. By putting our customers first and investing in innovation, we have developed a full suite of specialty offerings unmatched in the industry. Today, 43% of our specialty revenues now come from products introduced in the last five years."

"As we focus on helping our customers grow, we are not reluctant to replace existing business with new technology. Our commitment to this strategy is unwavering. Our mix of earnings has never been stronger or more sustainable, and this has translated into market-beating performance for our shareholders," added Mr. Patterson.

Executive vice-president and chief financial officer Bradley C. Richardson said, "Our focus on working capital management and conversion of our accelerating earnings drove USD71 million in free cash flow, giving us USD264 million in cash as of September 30, 2014. During the quarter, we leveraged our strong financial position to continue to invest in innovation, realign assets supporting our specialty portfolio and repurchase 1.5 million shares."

Commenting on the company's outlook, Mr. Patterson said, "While our first half 2014 performance included solid growth in Europe, we experienced declining demand from customers in this region during the third quarter. With heightened geopolitical concerns and macroeconomic weakness, we view European business conditions as a headwind for the remainder of the year and going into 2015." Mr. Patterson continued, "Fortunately, we have a proven strategy, a relentless focus on execution and an outstanding management team aligned with achieving our 2015 goals. I have confidence that we will overcome the challenges in Europe, and we expect to deliver strong double-digit adjusted EPS growth in the fourth quarter and beyond."

As MRC informed earlier, in February 2014, PolyOne Corporation announced the addition of new capabilities to its OnColor HC Plus portfolio. These expanded offerings add medical-grade LDPE, nylon, PEBA, PS and PVC to the globally available palette of specialty healthcare colorants, and are pre-certified to meet or exceed biocompatibility requirements for ISO 10993 and/or USP Class VI protocols.

PolyOne Corporation, with 2013 revenues of USD3.8 billion, is a global provider of specialized polymer materials, services, and solutions. PolyOne is a provider of specialized polymer materials, services and solutions with operations in specialty polymer formulations, color and additive systems, polymer distribution and specialty vinyl resins.
MRC

MOSCOW (MRC) - Negotiations on November contract prices for Russian polyvinyl chloride (PVC) are difficult.
Despite a significant price rise for imported PVC, competition in the domestic market made Russian producers to cut their prices significantly, according to ICIS-MRC Price Report.

Negotiations on November contracts for Russian PVC began in mid-October. Rouble devaluation led to a serious increase in the price for imported material, particularly for Chinese acetylene PVC. However, this factor did not have a serious impact on the market.

After the launch of RusVinyl competition in the local market seriously increased, which benefited to converters.
Winter is a traditionally difficult season for PVC sales. But this year the situation is aggravated by the growth in PVC supply, when converters traditionally reduce the volume of purchases. Given this difficult conditions, Russian producers went for significant concessions.

Last week deals for November deliveries of Russian PVC were done in the range of Rb49,000-51,500/tonne CPT Moscow, including VAT, down on average of Rb2,000/tonne, compared with the level of October and significantly lower from the price for Chinese acetylene PVC. Nevertheless, some Russian converters were in no hurry to agree deals for the November delivery, hoping to achieve a bigger price cuts.

MRC

MOSCOW (MRC) -- Evonik Industries AG (EVK) is exploring an acquisition of Dutch competitor Royal DSM NV as Germany’s second-biggest chemicals maker seeks a large European target, according to people familiar with the matter, said Bloomberg.

Evonik is talking to advisers about a potential deal with DSM, which would create a company with about 22 billion euros (USD28 billion) in sales, as well as analyzing other takeover options, said the people, who asked not to be identified because discussions are private. The Heerlen, Netherlands-based company rebuffed an approach by the German company at the beginning of this year, the people said.

In addition to DSM, the German firm is evaluating companies such as Croda International Plc (CRDA) of the U.K. and Switzerland’s Clariant AG (CLN), according to the people. While Evonik is exploring an acquisition of all of DSM, which has a market value of 9 billion euros, it is most interested in the nutrition division, which supplies ingredients for health supplements and personal-care products, and would also consider buying just part of the company, the people said.

Talks with DSM earlier this year, which were more advanced than current deliberations, fell apart because the management of the Dutch firm was concerned about relocating to Germany, adopting the corporate governance structure there and strategic fit, the people said. Evonik hasn’t decided whether it will pursue an acquisition and DSM may resist a takeover, they said.

As MRC wrote before, Evonik said a worse-than-expected price trend in its Specialty Materials unit may result in a drop in core profit for the full year. The maker of feed additives, clear acrylic sheet and high-tech plastics, controlled by a state-owned trust, said the downward move in some key products had slowed perceptibly in recent months and it expects this trend to continue.

Royal DSM is a global science-based company active in health, nutrition and materials. DSM delivers innovative solutions that nourish, protect and improve performance in global markets such as food and dietary supplements, personal care, feed, pharmaceuticals, medical devices, automotive, paints, electrical and electronics, life protection, alternative energy and bio-based materials.

Evonik, the creative industrial group from Germany, is one of the world leaders in specialty chemicals. Evonik is active in over 100 countries around the world. In fiscal 2013 more than 33,500 employees generated sales of around EUR12.7 billion and an operating profit (adjusted EBITDA) of about EUR2.0 billion.
MRC