BASF Reaches Settlement, Introduces Products

Germany-based BASF AG and Sawgrass Technologies Inc., Mount Pleasant, S.C., have reached a
comprehensive settlement of patent litigation between the two companies, with the result that BASF
will take a product license under the Sawgrass patents.

“We at BASF are pleased to enter into a license agreement with Sawgrass that opens new
business opportunities for our Bafixan® dye sublimation inks on a worldwide basis,” said Juergen
Weiser, head of BASF global business management, ink-jet inks.

In other company news, BASF recently introduced new products to the printing and finishing
markets. Ultraphor® TC Liquid, developed for polyester/cellulosic blends, allows simultaneous
bleaching and brightening in one processing step. According to the company, the product can cut
traditional brightening process times by 45 percent. Brightening can be done at 95°C. BASF claims
water consumption is reduced by 25 percent and steam consumption by up to 60 percent.

The optical brightening liquid can be applied to all polyester/cellulosic blend ratios from
80:20 to 20:80.

Luprejet HD, a pretreatment agent suitable for disperse dye inks on polyester materials and
pigment inks on cotton and blends, eliminates color bleeding. Ink droplets are designed to
penetrate the fabric evenly during the printing step. Precise dot definition and minimized
dot-to-dot distance result in sharpness and brilliance, according to BASF.

March 2003