16 Chemical Industry Leaders Participate in Phase-One Launch Of Industry-Backed Chemicals E-Marketplace, Elemica, on 01/01/01.

Business Editors

PHILADELPHIA--(BUSINESS WIRE)--Jan. 3, 2000

Elemica, a neutral e-marketplace founded in August 2000 by some of the world's leading chemical companies to serve the global chemical industry, today announced that it conducted its first transactions in both Europe and the Americas on January 1, 2001 with more than half of the company's investors agreeing to be part of Elemica's phase-one launch.

Participants in the beta test of the chemicals e-marketplace include 16 of the industry's leading companies: Air Products and Chemicals, ATOFINA, BASF, Bayer, BP, Celanese, Ciba Specialty Chemicals, Degussa-Huels AG, The Dow Chemical Company, DSM, DuPont, Millennium Chemicals, Rhodia, Rohm and Haas, Shell and Solvay.

Client feedback from the phase-one pilot program will enable Elemica to make needed modifications before rolling out to a broader client base later in the first quarter of 2001. Throughout the phase-one rollout, Elemica will regularly add functionality consistent with the ERP-to-ERP-connection vision of the Internet-connected chemical industry. Phase-two of Elemica's implementation strategy will begin with beta testing in the second quarter of 2001.

During phase two, ERP connectivity will be made available to those companies that are ready for this level of integration. Phase two will also mark the transition of Elemica's basic service offering to more complex logistics functionality.

According to Kent A. Dolby, president and CEO of Elemica, phase one of Elemica's implementation strategy includes offering browser-based transaction capabilities to a limited number of participants, which minimizes launch risk and enables Elemica to incorporate user feedback into the design process. "We are pleased with the success of this first phase of our launch strategy - all transactions our beta partners made were completed seamlessly in real time," said Dolby.

By December 2001, Elemica plans to offer full functionality. Among the capabilities to be added during Elemica's final stage of implementation are standard contract establishment and supply chain consulting.

About Elemica

Elemica is a premier global neutral e-marketplace for the contract buying and selling of chemicals. The company will offer an integrated, end-to-end system, enabling buyers and sellers to streamline their business processes for contract sales and improve negotiation, contract management, order fulfillment and payment. Elemica's comprehensive solution creates powerful efficiencies and offers support that extends from pre-sales through negotiation and contracting, and continues through the transaction, supply chain, and after-sales processes. Phased rollouts of full integration services are scheduled for 2001.

The e-marketplace's 22 investors include: Air Products and Chemicals, ATOFINA, BASF, Bayer, BP, Brenntag, Celanese, ChemCentral, Ciba Specialty Chemicals, Degussa-Huels AG, The Dow Chemical Company, DSM, DuPont, Millennium Chemicals, Mitsubishi Chemical Corporation , Mitsui Chemicals, Rhodia, Rohm and Haas, Shell, Solvay, Sumitomo Chemical and Van Waters and Rogers.