Document NEj5kNpM6oqVdJG77GzLYBENV

> corporate news Du Pont Company / Public Affairs Department / Wilmington, Dalaware : 19893 : WILMINGTON, Del.., Dec, 15 -- The Du Pont Company today announced plans to sell most of its colored pigments business and to withdraw from production and sale of copper phthalocyanine (CPC) blue and green pigments. The colored pigments 'business serves the automotive finishes, paint, plastics and ink industries, CIBA-GEIGY Corp., the U.S. subsidiary of CIBA-GEIGY Ltd., Basel, Switzerland, has signed a letter of intent to purchase Du Pont's line of quinacridone pigments, including the quinacridone production facilities at Newport, Del. Heubach, Inc. has signed an agreement to purchase the azo and chromate pigment product lines, along with production operations at Newark, N.J. Heubach, Inc. was recently formed to acquire these assets and will be headquartered in Newark. Closings of the sales to CIBA-GEIGY and Heubach are expected to occur during the first quarter of 1984. The withdrawal from CPC pigments will be completed by the end of the second quarter . of 1984. These actions will not have.. a material effect on Du Pont earnings. These plans do not affect Du Pont's titanium dioxide white pigments business which is based on highly advanced technology. The company is fully committed to maintenance of its position as a leading worldwide supplier of .titanium dioxide. Also not affected is Colorquim, S.A. de C.V., the company's subsidiary in Mexico, which produces dyes and colored pigments. -2- George c. Tunis, director of the colored pigment products division of Du Pont's Chemicals and Pigments Department, said, "We are divesting these businesses because they do not offer a long-term strategic fit with our future plans and directions. Our department's product line is changing, and management and financial resources are being directed to other businesses which are important and growing parts of our product portfolio. "We feel CIBA-GEIGY and Heubach have the expertise to assure our customers continuity of supply, we believe it is in the best interests of both the affected employees and our customers for us to sell these businesses to companies committed to colored pigments." In connection with its withdrawal from CPC pigments, Du Pont will provide customers with sufficient inventory of these products to allow a smooth transition to alternate suppliers, according to Mr. Tunis. Prospective purchasers did not express an interest in the CPC product line, which has been in a loss position. Du Pont anticipates that most employees associated with the businesses to be sold will be offered employment by the acquiring companies. The company will have about 150 excess job positions as a result of withdrawal from the CPC product line. Several programs are being offered to minimise the impact on employees. The CIBA-GEIGY Pigments Department, part of the Plastics & Additives Division headquartered in Hawthorne, N.Y., manufactures and markets a broad range of colored pigments and pigment disper sions, Worldwide, CIBA-GEIGY is a leading producer of organic and inorganic pigments, DUP050062583 -3- Heubach, Inc. is beaded by Rainer Heubach, who is also president of Dr. Hans Heubach GmbH a Co. KG, Langelsheim, West Germany, a producer of inorganic pigments and a participant in the pigments industry for more than 150 years. Du Pont entered the colored pigments business in 1917 with the acquisition of Cawley, Clark and company, which included the Newark, N.j., plant. In 1929, Du Pont purchased Krebs Pigment and chemical Company of Newport, Del. A chromium dioxide production facility located at the Newport plant is not included in the sale and will continue to employ about 130 people. ## Editorial Contact; A. Laird Slade (302) 774-0691 12/15/83 # Editor's Note: Terms in the news release are generic names for "families" of colored pigments. Quinacridone pigments are organic and are sold in an array of red, violet, magenta and gold colors principally for automotive finishes, paint and plastics. Copper phthalocyanine (CPC) blue and green pigments also are organic and are used widely in the printing ink, paint and plastics industries. Azo pigments are organic and are used in printing inks, paint and plastics; they are produced in colors ranging from yellow to red. Chromate pigments are inorganic and are orange and yellow in color. They are used pri marily in paints, plastics and printing inks. DUP050062584