Performance Fibers Expands South Korean Low-shrink Fibers Joint Venture

Richmond, Va.-based Performance
Fibers has announced plans to expand capacity by 20 percent to produce next-generation,
ultra-low-shrinkage fibers at its South Korea-based joint venture operation, Performance Fibers
SYSKO. Sam Yang Corp., the largest of three South Korean partners in the venture, has begun
construction of an addition to its Jeonju plant and will install state-of-the-art equipment, with
expectations of completing the project by March 2007.

Applications for the low-shrinkage fibers include broadwoven and coated fabrics for awnings,
geosynthetics, outdoor upholstery, roofing, signage, tarps and tents. The expansion also will allow
increased production in South Korea of adhesive active yarns for consumer hoses and belts, and
fiber for automotive seat belts.

“The investment we are making to increase capacity and develop next-generation polyester
products demonstrates the joint venture’s dedication to be successful as the largest supplier of
low-shrink, high-tenacity polyester fibers to the automotive and industrial segments we serve,”
said Yoon Kim, chairman and CEO, Sam Yang Corp.

November 7, 2006