Cytec Completes Acquisition of BP Carbon Fibers
WEST PATERSON, N.J. - Cytec Industries Inc. (NYSE:CYT) announced today that it has completed its previously announced acquisition of the assets of the carbon fiber business of BP. Its sales in the first half of 2001 were $17 million of which 50% were sales to Cytec. Terms were not disclosed.
David Lilley, Chairman, President and Chief Executive Officer said, "Cytec Fiberite is a global leader in advanced composites and structural film adhesives for the aerospace industry. This acquisition enhances our ability to maintain a high-quality, low-cost, uninterrupted supply of carbon fiber for our customers. Commercial and military aircraft manufacturers are increasingly replacing metal in aircraft with our composites, achieving the same or greater strength with less weight. Our integration team is in place and the transition is underway."
"As previously stated, this acquisition is expected to be slightly dilutive to our 2001 normalized earnings per diluted share objective of $2.05 to $2.15. We expect that this acquisition will be modestly accretive to Cytec's earnings per share in 2002," Mr. Lilley concluded.
Cytec Industries Inc. and Cytec Fiberite Profiles
Cytec Industries is a specialty chemicals and materials technology company with sales in 2000 of $1.5 billion and diluted earnings per share of $2.85 (excluding special items). Its growth strategies are based on developing technologically advanced customer solutions for global markets, including: aerospace, plastics, industrial coatings, mining, and water treatment.
Cytec Fiberite with 2000 sales of $412 million is a global technology leader in aerospace composites and structural film adhesives for all sectors of the aerospace industry. These products are replacing metal and other materials on aircraft to reduce their weight and operating costs, while increasing aircraft performance.
Forward-Looking and Cautionary Statements
Except for the historical information and discussions contained herein, statements contained in this release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Achieving the results described in these statements involves a number of risks, uncertainties and other factors that could cause actual results to differ materially, as discussed in Cytec's filings with the Securities and Exchange Commission.