Cytec Exits Methanol JV

West Paterson, NJ - Cytec Industries Inc. (NYSE:CYT) today announced that it has reached agreement with Methanex Corp. to dissolve their manufacturing joint venture partnership which operates a 190 million gallons/year methanol plant at Cytec's Fortier, LA chemical complex. Under the agreement, which is subject to routine regulatory approval, Cytec will sell its 30% share to Methanex.

David Lilley, Cytec's Chairman, President and CEO said, "The supply of high quality, low cost intermediates to our Specialty Chemical businesses is the key focus of our Building Blocks business. Methanol is not core to that focus and global overcapacity and low cost imports limited our potential. The dissolution of the Fortier Methanol Company and the sale of our share of the partnership to Methanex are an appropriate exit for Cytec. This transaction will not have a material impact on Cytec’s financial results."

Mr. Lilley added, "This action, our focus on world class manufacturing efficiency, and cost-plus and long-term sales contracts with raw material price escalators, will help to manage the commodity risk in our Building Blocks business. We continue to look at all opportunities to improve Cytec and to do what we do best -- execute a focused growth strategy, based on the best technology, for markets where we have a #1 or #2 global leadership position.

Cytec Industries is a specialty chemicals and materials technology company with 1998 sales of $1.4 billion and diluted earnings per share of $2.68. Its growth strategies are based on developing technologically advanced customer solutions for global markets, including: aerospace, plastics, industrial coatings, mining, paper and water treatment. Cytec is in the S&P Mid-cap 400 index.

Statements in this news release that are not historical are considered "forward looking statements" and are subject to change based on various factors and uncertainties that may cause actual results to differ significantly from expectations. Those factors are contained in Cytec's Securities and Exchange Commission filings