OC Oerlikon Names Ziegler Acting CEO

The Board of Directors of OC Oerlikon Corp. AG, Switzerland, has named Hans Ziegler a delegate of
the Board of Directors and acting CEO, effective immediately. Ziegler, a corporate restructuring
and turnaround management  specialist who has served on the Board since 2008, replaces
previous CEO Dr. Uwe Krüger, who is leaving the company.

“Our decision was made in light of OC Oerlikon’s semiannual results,” said Vladimir
Kuznetsov, chairman of the Board of Directors. “OC Oerlikon’s sales fell by 40 percent and order
intake by 39 percent in the first half [H1] of 2009 compared to H1 2008 amid an economic downturn
of unprecedented proportions. The company urgently needs to secure coordination of strategic
portfolio decisions with operational measures of OC Oerlikon’s businesses. The announced management
change ensures the alignment of the company’s strategy with the interests of all stakeholders.”

The company has identified more than 700 initiatives to cut operating costs, including site
consolidations, temporary plant closures, reductions in workforce and work hours, vacation
extensions, hiring and pay freezes, product line discontinuations, supplier contract
renegotiations, and other measures. In H1 2009, the company eliminated almost 1,500 jobs across all
businesses, and it plans a further reduction of 2,500 positions in the second half of the year.

OC Oerlikon’s textile business, Germany-based Oerlikon Textile GmbH, reported H1 2009 orders
47 percent below H1 2008 levels, with sales 55 percent lower than year-earlier sales. Restructuring
initiatives undertaken thus farto improve performance include consolidation of three manufacturing
sites, elimination of 700 jobs worldwide and reduction of work hours for some 2,000 employees. Its
performance has shown some improvement, with higher incoming orders than sales in the second
quarter of this year, and the company reports what appears to be a “sustainable upward trend” in
the man-made fibers market. Improvement in sales is expected in the second half of the year.

Overall, OC Oerlikon spent 100 million Swiss francs in research and development in H1 2009,
and it anticipates sustained improvements in performance and a return to profitability in 2010.

September/October 2009

Invista Licenses BDO, PTMEG Technologies To Jian-Feng, Increases Stake In Ashburn Hill

Wichita, Kan.-based Invista, a global integrated fibers and polymers manufacturer, has signed an
agreement to license its 1,4 butanediol (BDO) and polytetramethylene ether glycol (PTMEG)
technologies to China-based Chongqing Jian-Feng Industrial Group Co. Ltd. Jian-Feng is investing 2
billion renminbi (approximately US$300 million) to build a manufacturing complex that will produce
BDO and PTMEG at Chongqing Chemical Industry Park in the Fuling district of the Chongqing
Municipality.

“We are proud to support Chongqing’s continuing technological and industrial development
through our licensing of BDO and PTMEG technologies,” said Jeff Gentry, CEO and chairman of the
Board of Directors, Invista. “Our technology licensing organization, Invista Performance
Technologies, has over 40 years of technology transfer experience and has participated in over 40
projects in China. We are pleased to provide Jian-Feng with the design and know-how for its
manufacturing operation in Chongqing.”

The agreement includes the manufacturing processes, required technologies, product
formulations and the expert engineering services for the complex’s two plants, which are expected
to produce 60,000 tons of BDO and 46,000 tons of PTMEG annually. BDO is used to make polyester
resins and polyurethanes. PTMEG is a polyether glycol used as a building block in high-performance
polyurethanes, polyesters, copolymers and other polymers, with end-uses including spandex fibers,
thermal plastic elastomers and cast elastomers for apparel, automotive and industrial
applications. 

In other company news, Invista’s Performance Surfaces and Materials division has announced it
will enlarge its investment in Ashburn Hill Corp., a Greenville-based manufacturer of
fire-retardant (FR) apparel for industrial and firefighting applications. Invista announced last
year that it would collaborate with Ashburn Hill to create a new generation of industrial FR
apparel
(See ”
Invista
Partners With Ashburn Hill To Expand Product Offerings
,” Dec. 2, 2008)
.

“Invista is delighted to be able to invest additional funds in order to support Ashburn Hill
in realizing its potential,” said Jeff Brown, vice president, Invista Performance Materials. “We
anticipate that the revolutionary protective apparel developed with Ashburn Hill Corp.’s Tecgen®
fiber will offer significant improvements in comfort and protection to workers requiring protection
to NFPA 2112 and 70E standards.”

September 8, 2009

DyStar Partners With ATEEPL, ICES

DyStar India Pvt. Ltd. – the India-based subsidiary of Germany-based DyStar Textilfarben GmbH &
Co. Deutschland KG, a manufacturer of textile dyes and auxiliaries and a provider of related
services – and A.T.E. Enterprises Pvt. Ltd. (ATEEPL) – part of India-based A.T.E. Group, a provider
of textile engineering, print and packaging solutions, machine-to-machine solutions, clean
technology and flow technology – have partnered to provide customers training in a range of textile
applications.

ATEEPL will work with DyStar’s Expert Solutions consultancy unit, an independent global
platform DyStar launched last year to provide professional advice, technical service and training
programs to textile finishers, brands and retailers. The companies are planning to roll out the
first training in September for yarn-dyeing customers in Tirupur, India.

In other company news, DyStar Singapore Pte. Ltd. has signed a Laboratory in Research
Institute (Lab-in-RI) agreement with the Institute of Chemical and Engineering Sciences (ICES),
Singapore, a member of the Agency for Science, Technology and Research (A*STAR). Under the
agreement, ICES will collaborate with DyStar and provide research infrastructure at the initial
stages of its research and development (R&D) projects.

DyStar’s six-member R&D team – led by Dr. Roxana Barbieru – will be working with a number
of research groups at ICES. The Lab-in-RI agreement with DyStar is ICES’ 10th since it launched the
program in October 2004.

September 8, 2009

QuestaWeb Introduces FTZ Module

Westfield, N.J.-based QuestaWeb Inc., a provider of Web-based integrated global trade management
(GTM) solutions, has released a fully automated, integrated Web-based software module that manages
Foreign Trade Zone (FTZ) operations and related manufacturing actions. According to QuestaWeb, the
FTZQW combines rule-based functionality with rich content, reporting and integration tools; and
offers multiple electronic links to government agencies. The company further reports the software
allows users to accurately control US Customs-supervised inventory, including compliant movements;
FTZ manufacturing; and overall compliance with Customs’ rules and regulations. FTZQW does not
require a transaction fee.

The software can be used as a stand-alone system or as part of QuestaWeb’s TradeMasterQW
suite of integrated GTM applications, and can interface with an importer’s enterprise resource
planning system to allow data sharing. The module provides immediate compliance verification and
supports management “by exception,” by which processes continue automatically unless a problem
arises. QuestaWeb’s FTZQW also is flexible, allowing the functionality to expand as an importer’s
needs change.

“The release of an automated, integrated FTZ module is a natural progression in the evolution
of our GTM application suite,” said Felix Pekar, COO, QuestaWeb. “Knowing our client base, and the
broader importer market, we knew some firms would prefer to file themselves and need ABI
connectivity, while others would need electronic connectivity to their brokers for filing purposes.
QuestaWeb`s FTZQW module supports all requirements – and more – due to its high degree of
automation and seamless integration. FTZ operators, regardless of business scope or model, can
achieve total compliance, manage by exception and never have to pay transaction fees.” 

September 8, 2009

Kimberly Glas Named To Key Textile Trade Post

Kimberly Glas, former legislative director for Rep. Mike Michaud, D-Maine, has been named deputy
assistant secretary of commerce for textiles and apparel, a post that plays a major role in
developing and carrying out the administration’s textile trade policies. She will head the Office
of Textiles and Apparel (OTEXA) and serve as chairman of the Committee for the Implementation of
Textile Agreements (CITA), an interagency group that administers trade agreements and takes action
in situations in which there are illegal textile or apparel imports. OTEXA supports CITA by
providing staff and collecting data that are the basis for CITA’s administration of textile trade
programs.

The National Council of Textile Organizations (NCTO), which supported Glas’ appointment, says
she helped organize the House Trading Group, which was co-founded by Michaud. That bipartisan group
of House members supports fair trade policies, and its members have been outspoken on issues
involving trade with China and loss of manufacturing jobs. NCTO says Michaud and Glas have been
helpful in connection with a number of textile trade issues, including enactment of the Kissell Buy
American amendment and measures to monitor and control Chinese textile imports.

September 1, 2009

Military Textiles Procurement Meeting

The Textile Industry Coalition on Government Procurement is sponsoring a one-day interactive forum
at which textile and apparel manufacturers can meet with military officials and learn about the
specific needs of the military and how they might be able to fulfill them.

The meeting, sponsored by the National Textile Association (NTA), American Manufacturing
Trade Action Coalition, National Council of Textile Organizations and the US Industrial Fabrics
Institute, will be held Thursday, September 24, from 9:45 a.m. until 2 p.m., in conjunction with
the Industrial Fabrics Association International (IFAI) Expo 2009 at the San Diego Convention
Center in San Diego.

Participating in the meeting will be Army, Navy, Marine Corps and Air Force procurement
officials, who will discuss their current and future needs for textiles and clothing. Former
Congressman Duncan Hunter, who served as chairman of the House Armed Services Committee and who is
a leading authority on the Berry Amendment  covering procurement of military textiles, will
speak at the luncheon. 

Registration for coalition members is $129 on or before September 11, and $159 after that
date. Registration for non-members is $179 on or before September 11, and $209 afterwards.
Participants may register online at
www.ifaiexpo.com. For more information, contact Jane Lomas at
NTA, +617-542-8220.

September 1, 2009

Apparel Manufacturers Suggest CPSC Strategies

At a hearing called by the Consumer Product Safety Commission (CPSC) to develop priorities and
strategies for the coming year, Kevin Burke, president and CEO of the American Apparel &
Footwear Association, outlined the role apparel manufacturers can play in promoting product safety.

Burke said the newly-enacted Consumer Products Safety Improvement Act (CPSIA) presents
difficulties in understanding and implementation, but he praised the additional funding for CPSC,
the addition of three commissioners and a “positive dialogue” focusing on improved product safety.
However, he said, implementation of the CPSIA has been a “considerable challenge that has exacted
extraordinary costs and has resulted in some companies getting out of the children’s wear
business.”

Burke pointed to four lessons that he believes should be considered as implementation of the
act moves forward:

  • “It takes time to phase in new product safety regulations. For our industry it can take nearly
    a year for a single garment to travel the supply chain. New regulations must give industry enough
    time to adapt the supply chain so we can understand and clearly communicate changes to our
    industry.
  • “Regulations should take effect prospectively and only after there is clear and 
    comprehensive regulatory guidance from the commission. The retroactive application of regulations
    unfairly punishes businesses for making products in good faith, especially when they were made in
    compliance with a previous product safety standard.
  • “All product safety standards should be designed to mitigate and protect against specific risks
    and be clearly supported by data and facts. Understanding new safety regulations involves
    understanding how they will address a specific hazard. Without that, the standards seem arbitrary,
    and that perception undermines the standard’s effectiveness and acceptance.
  • “Product safety standards that work best are those that are created through transparent and
    predictable process. The product safety community involves a range of stakeholders, all of whom
    need to participate. If one group appears to be shut out, the final result may not be predictable
    or accepted by all. This, in the long run, results in a product safety regime that is not
    sustainable. Product safety should be based on fact, and not politics.”

September 1, 2009

The Rupp Report: News From The Cotton Front

For certain, the last 18 to 24 months will become a time to remember in the history books. The
worst financial crisis since 1929 pushed the world economy into unexpected problems.

Volatile Cotton Season 2008-09

The same period was also volatile for the cotton industry. According to the International
Cotton Advisory Committee (ICAC), 2008-09 was a remarkable season for the world cotton industry in
many respects. According to ICAC, there were at least eight reasons this season was different:

•    World cotton mill use fell for the first time in a decade, due to a drop
in demand for textile products caused by the global economic and financial crisis. The estimated
13-percent drop was the largest registered since World War II.

•    World cotton area declined after a large increase in cotton prices during
the preceding season. Cotton remained less attractive for farmers than competing crops, partly due
to higher production costs and partly due to less interesting prices.

•    Production declined to the lowest levels in many years in a number of
countries, including the United States, Turkey, Greece, Egypt, Mali, Peru, Spain, Paraguay, Togo,
Israel and South Africa.

•    Extra-fine cotton production dropped by 42 percent to 430,000 metric
tons, the smallest crop in at least six decades.

•    World cotton trade declined sharply. The 24-percent annual decline was
the largest registered since World War II. The drop in imports was driven by China and Pakistan.
The drop in exports was driven by India. US exports declined only slightly, and their share of
world exports reached 45 percent.

•    The Cotlook A Index declined for the first time since 2004-05. It
declined from an 11-year high of 73 cents per pound in 2007-08 to 61 cents per pound in 2008-09,
driven by an increase in the stocks-to-mill use ratio in the world not including China.

•    International cotton prices were very volatile. The Cotlook A Index
fluctuated between 50 and 80 cents per pound during the season, an interval equal to 50 percent of
the season average. The Cotlook A Index had not been as volatile in more than 20 years.

•    Government support to cotton farmers increased significantly. Combined
government purchases in China, India and the United States, at support prices, accounted for 20
percent of the 2008-09 crop. Large portions of these purchases have since been sold back to the
market.

More Cotton In Demand

On the other hand, the Bremen Cotton Report reports that along with the ending of the work
holidays in most areas, spinning mill demand perked up. Virtually all growths for which offers were
available were traded. The delivery terms were not only fixed for short term, but also for the
second quarter of 2010. The cotton quotations in New York had shown a slightly weaker tendency
during the reporting period, however without having been indicative. At the end, they had returned
to the level of the previous week.

In the Upland range, the conclusion of contracts was registered as follows: Central Asian
sorts for prompt, further in the third and fourth quarters of 2009, and in the first quarter of
2010; Greek descriptions for the same period of time; West African styles for prompt, for the
fourth quarter of 2009, and for dates in the first and second quarters of 2010; Brazilian cotton
and Israel Acala for prompt, and for the fourth quarter of 2009.

In the long-staple and extra-long-staple range trading was as follows: Egyptian Giza 86 and
88 for prompt, and further in the fourth quarter of 2009; Israel Pima and US Pima for the fourth
quarter of 2009, and for the first quarter of 2010; and Sudan Barakat for the fourth quarter of
2009.

Giant Merger

Allenberg Cotton Co., one of the world’s leading cotton trading houses, is planning to merge
with Dunavant Enterprises Inc. Several news agencies, including Bremen Cotton Report, state that
Joseph T. Nicosia, CEO of Allenberg, as well as William B. Dunavant III, president and CEO of
Dunavant, confirmed they are in negotiations. In case of settlement, the continuously existing
business entity would carry on under the name Louis Dreyfus and Allenberg.

Allenberg Cotton is a division of Louis Dreyfus Corp. Its head office, Louis Dreyfus S.A.S.,
is located in France. The cotton trading company is based in Cordova, Tenn., near Memphis, Tenn.
Annual sales are projected at more than 1.5 million metric tons, or 7 million bales. Dunavant, one
of the largest privately owned cotton trading companies, is also based in Memphis. Its annual sales
amount to approximately 1.3 million metric tons, or 6 million bales.



September 1, 2009

Kraton Introduces Nexar™ Polymers

Houston-based Kraton Polymers LLC – a global producer of engineered polymers and styrenic block
copolymers (SBCs) – has introduced Nexar™ polymers for use in applications including water
desalination, industrial separation and enhancement of high-performance textiles and apparel. The
polymers provide permselectivity in coatings and membranes, allowing moisture to flow in one
direction while preventing other substances such as potentially harmful chemicals from passing
through. According to Kraton, the nonporous membranes offer benefits including high strength in wet
and dry environments and improved performance as temperatures rise; and they will not clog or lose
performance abilities over an extended period of time.

“We are pleased with the positive customer responses we have received since we introduced
Nexar polymers,” said Jim Dieter, vice president of marketing development, Kraton. “The early
success of Nexar polymers is a good indication of the interest in an innovative moisture-management
system that is compatible for high performance athletic apparel, outdoor survival equipment (tents,
sleeping bags etc.), military uniforms and biochemical garments. We strongly believe Nexar
polymers’ superior performance is unmatched by the competitive materials currently available in the
marketplace.”

Kraton reports that Nexar polymers can easily be applied as either a single- or
multi-laminate process using current commercial equipment.

September 1, 2009

Greenology Selects SmartSilver™ For Do No Harm Scrubs

Dallas-based Greenology USA LLC has selected SmartSilver™ – a nanoscale silver antimicrobial
additive developed by State College, Pa.-based NanoHorizons Inc. – to provide permanent
antimicrobial properties to its Do No Harm™ line of medical scrubs. The scrubs contain recycled
fibers that are Oeko-Tex®-certified free from hazardous levels of more than 100 substances believed
to be harmful to human health.

“In order to live up to the Do No Harm ideal of scrubs that do no harm to the planet, to
patients, or to the medical personnel themselves, we needed to select our antimicrobial additive
with great care,” said Jim Noble, vice president, sales and marketing, Greenology. “SmartSilver met
every performance and sustainability criteria we set.”

“SmartSilver was developed originally for the medical market,” said Dr. James Delattre, vice
president, global marketing, NanoHorizons. “Now that SmartSilver additives are available for
textile and apparel applications, partnering with Greenology to launch a line of antimicrobial
scrubs is the perfect extension.”

September 1, 2009

Sponsors