Ground Broken For North America ROHACELL Plant

First Production Operations Outside Germany To Come On Line In 2008

MOBILE, Ala., October 17, 2007 – Evonik Degussa Corporation, parent company of Inspec Foams Inc., has begun construction of ROHACELL’s® new rigid polymethacrylimide foam production facility in Mobile, Alabama.  

The new plant is expected to considerably reduce delivery times in North America and further enhance technical services to customers.  

The world class facility is scheduled to begin operation in mid-2008.  

“Our investment in Mobile reflects a strategic decision to bring our products closer to the customer as well as our continued commitment to a region which is appealing for long term growth,” said Manfred Spindler, member of the Managing Board of Evonik Degussa GmbH.  

The Evonik Degussa Mobile site - the company’s largest multi-user operation in North America -- was chosen over a number of locations throughout the world not only because of its excellent logistics but also for its highly trained workforce.  

ROHACELL® high performance foam cores are ideal for the advanced composites industry. In addition to ROHACELL® sheets, the new Mobile facility will also manufacture net-shaped cores.   With 1,040 employees, Evonik Degussa’s High Performance Polymers Business Unit generated sales of €422 million in 2006. 

Company information

Evonik Industries AG is the creative industrial group which operates in three highly profitable, promising business areas: Chemicals, Energy and Real Estate. Evonik is a global leader in specialty chemicals, an expert in power generation from hard coal and renewable energies, and one of the largest private residential real estate companies in Germany. Our strengths are creativity, specialization, continuous self-renewal, and reliability.  

Evonik Industries is active in over 100 countries around the world. In fiscal 2006 around 43,000 employees generated sales of €14.8 billion and operating profit (EBIT) of over €1.2 billion. Evonik plans to enter the capital market in the first half of 2008.  

Disclaimer

In so far as forecasts or expectations are expressed in this press release and where our forward-looking statements concern the future, these forecasts, expectations and statements may involve known or unknown risks and uncertainties. Actual results or developments may vary, depending on changes in the operating environment. Evonik Industries AG assumes no obligation to update the forecasts, expectations or statements contained in this release.  

For more information, contact:
Mike Sheridan
Evonik Degussa Corporatin
Tel:  973-541-8812
E-mail:  mike.sheridan@degussa.com