Cytec Invests in Strategic Expansion of Water Soluble Polymer Capacity.

Business Editors

WEST PATERSON, N.J.--(BUSINESS WIRE)--Feb. 8, 2000

Cytec Industries Inc. (NYSE:CYT) announced today that its Board of Directors recently approved capital expenditures of $23 million to expand the water soluble polymer (WSP) capacity of its Water and Industrial Process Chemicals segment. Capacity for Cytec's world-class polyacrylamide (PAM) emulsion technology will be increased 40% at its Mobile, AL facility. Production capacity for dry PAM will be increased 65% at its Bradford, England plant. Cytec's water soluble polymers are based primarily on its polyacrylamide technologies.

Capital Projects Increase Capacity and Efficiency

Cytec's expansion of its Mobile facility, already the world's largest emulsion polyacrylamide production site, will include full process automation, additional capacity for water soluble polymers, and a complete refurbishment of the site's infrastructure to support the increased capacity. The expansion at Bradford also includes improved handling and distribution capabilities.

Strategic Expansion Needed to Meet Customer Demand

Frank Wiseman, President, Paper, Water Treating and Mining Chemicals, said, &uot;These strategic investments are necessary to meet strong customer demand, ensure the highest product quality, and enhance our world class cost position. Customers are increasingly seeking our core water soluble polymer technologies, our product applications expertise and our global reach.&uot;

Global Capacity Increasing 42%, Leveraging Operational Successes

&uot;With a global focus on our water soluble polymer franchise, we have already seen rapid growth at the Mobile and Bradford sites. We are leveraging that success by expanding existing facilities at the same sites, thereby, bringing this capacity on stream faster and optimizing our investment. These projects combined with improvements at our other PAM facilities will increase our global WSP capacity about 42%, or 90 million pounds, most of which should be on-stream in no more than 18 months,&uot; said Frank Wiseman.

Investments Support Cytec's Growth Objectives, Shareholder Value

David Lilley, Cytec's Chairman, President, and Chief Executive Officer, said, &uot;This investment supports our mission to enhance shareholder value with top-line growth and earnings expansion. As the chemical technology leader in WSP, these capital projects demonstrate Cytec's commitment to our growing customer base in the paper, mining, and water treatment markets.&uot;

Low Cost Position Is Enhanced Through Integration of Raw Material Production

Increased PAM capacity complements our growth strategies---strategic acquisitions, new product development, global expansion and operational excellence. Our low-cost position in polyacrylamides is also enhanced by Cytec's backward-integration into acrylamide, the key raw material, which is produced by our Building Blocks segment in the U.S. and Europe.&uot;

Segment Profile of Water and Industrial Process Chemicals

Cytec's Water and Industrial Process Chemical segment achieved 1999 sales of $373 million, earnings from operations, grew nearly 30% to $44 million. It is:

-- A global leader in water soluble polymer technologies for both

process and wastewater applications. Growth drivers are global

economic development, environmental regulation, and customers'

need to minimize the cost of waste treatment.

-- A leading producer of functional paper chemicals that optimize

paper quality and mill productivity. Growth drivers are higher

paper quality standards, growth in Asia and Latin America, and

the expanded use of recycled fibers.

-- The world leader in phosphine and phosphine derivatives for

growing demand in specialized metal and mineral separation,

electronic, agricultural and pharmaceutical applications.

-- The global leader in mining chemicals that optimize the quality

and productivity of complex mineral and alumina recovery systems.

Growth drivers include technological solutions, a broad range of

products, and global expansion in Asia and South America.

Corporate Profile

Cytec Industries is a specialty chemicals and materials technology company with 1999 sales of $1.4 billion and diluted earnings per share of $2.73. Its growth strategies are based on developing technologically advanced customer solutions for global markets, including: aerospace, plastics, industrial coatings, mining, paper and water treatment. Cytec is in the S &P Mid-cap 400 index.

Forward-Looking and Cautionary Statements Except for the historical information and discussions contained herein, statements contained in this release may constitute &uot;forward-looking statements&uot; 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.