Grace Signs Memorandum of Understanding for Catalyst Investment in Qingdao, China
COLUMBIA, Md.--(BUSINESS WIRE)--May. 22, 2012-- W. R. Grace & Co. (NYSE: GRA) announced today that it has signed a Memorandum of Understanding with the Qingdao Bureau of Commerce for an investment in China to manufacture fluid catalytic cracking (FCC) catalysts and other related products for the petroleum refining industry. In order to complete the investments, Grace has established a Wholly Foreign-Owned Enterprise (WFOE) in Qingdao.
"This is an important step towards expanding Grace's FCC catalyst manufacturing capabilities to serve our customers in China and other countries in the fast-growing Asia Pacific region," said Shawn Abrams, President of Grace Catalysts Technologies. "We look forward to successful cooperation with the government of Qingdao."
"Today we signed a MOU with Grace, which is a landmark of its investment and development in Qingdao," said Mr. Chunyu Xianli, Deputy Director-General of Qingdao Bureau of Commerce. "I believe that the good location, industrial layout and human resources will provide Grace with sound supports to its development in China and Asia Pacific region. Qingdao Municipal Government, Qingdao Bureau of Commerce and West Bank Economic Zone will offer the best services and supports to its establishment. The rapid and sound development of Grace in Qingdao will play an important role in promoting the petro and chemical industry in the city. We are looking forward to the further enhancement of our cooperation with Grace."
Grace founded Grace China Ltd. in 1986 as the first Wholly Foreign-Owned Company to do business in the People's Republic of China-through its can sealants plant in Shanghai. Currently, Grace operates 5 manufacturing facilities, 3 sales offices, and 2 technical service centers in mainland China, including its Asia Pacific regional headquarters in Shanghai.
Grace is a leading global supplier of catalysts; engineered and packaging materials; and, specialty construction chemicals and building materials. The company's three industry-leading business segments-Grace Catalysts Technologies, Grace Materials Technologies and Grace Construction Products-provide innovative products, technologies and services that enhance the quality of life. Grace employs approximately 6,000 people in over 40 countries and had 2011 net sales of $3.2 billion. More information about Grace is available at http://www.grace.com.
This announcement contains forward-looking statements, that is, information related to future, not past, events. Such statements generally include the words "believes," "plans," "intends," "targets," "will," "expects," "suggests," "anticipates," "outlook," "continues" or similar expressions. Forward-looking statements include, without limitation, all statements regarding Grace's Chapter 11 case; expected financial positions; results of operations; cash flows; financing plans; business strategy; budgets; capital and other expenditures; competitive positions; growth opportunities for existing products; benefits from new technology and cost reduction initiatives, plans and objectives; and markets for securities. For these statements, Grace claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Like other businesses, Grace is subject to risks and uncertainties that could cause its actual results to differ materially from its projections or that could cause other forward-looking statements to prove incorrect. Factors that could cause actual results to materially differ from those contained in the forward-looking statements include, without limitation: developments affecting Grace's bankruptcy, proposed plan of reorganization and settlements with certain creditors, the cost and availability of raw materials (including rare earth) and energy, developments affecting Grace's underfunded and unfunded pension obligations, risks related to foreign operations, especially in emerging regions, acquisitions and divestitures of assets and gains and losses from dispositions or impairments, the effectiveness of its research and development and growth investments, its legal and environmental proceedings, costs of compliance with environmental regulation and those factors set forth in Grace's most recent Annual Report on Form 10-K, quarterly report on Form 10-Q and current reports on Form 8-K, which have been filed with the Securities and Exchange Commission and are readily available on the Internet at www.sec.gov. Reported results should not be considered as an indication of future performance. Readers are cautioned not to place undue reliance on Grace's projections and forward-looking statements, which speak only as of the date thereof. Grace undertakes no obligation to publicly release any revision to the projections and forward-looking statements contained in this announcement, or to update them to reflect events or circumstances occurring after the date of this announcement.
Source: W. R. Grace & Co.
W. R. Grace & Co.
Greg Euston, +1 404-775-0285
Mark Sutherland, +1 410-531-4590