Pappas Named President and Chief Executive Officer of Styron

Former NOVA CEO Brings Strong Industry and Operating Experience

Dow and Bain Capital Expect to Complete Transaction in June

Category:

Tuesday, March 30, 2010 8:00 am EDT

Dateline:

MIDLAND, Mich. & BOSTON

Public Company Information:

NYSE:
DOW
"We appreciate the many contributions Mark Remmert has made to Dow over the years, and especially want to recognize his important efforts to lead the Styron Division and help organize a successful divestiture"

MIDLAND, Mich. & BOSTON--(BUSINESS WIRE)--STY Acquisition Corporation, an affiliate of Bain Capital Partners formed to facilitate its purchase of the Styron division of The Dow Chemical Company, today announced the appointment of Christopher D. Pappas as President and Chief Executive Officer of the Company. The appointment of Pappas to lead the Styron business will be effective upon closing of the transaction, which is currently expected to occur during June 2010, subject to regulatory approvals. Pappas, who began his career at Dow, most recently served as Chief Executive Officer of NOVA Chemicals Corporation.

Pappas, age 54, brings to Styron a 30-plus year distinguished career in the chemicals and plastics industry, and is an accomplished leader of large, complex businesses. Prior to his appointment as CEO of NOVA Chemicals, he served in positions of increasing responsibility at NOVA, including President and Chief Operating Officer. He started his career with Dow in 1978, holding a variety of positions until 1995. Pappas joined DuPont Dow Elastomers LLC in 1996 and held several leadership positions there before joining NOVA in 2000.

Pappas will succeed Mark Remmert, who will begin a transition period commencing upon the completion of the sale. Remmert has served as CEO of Dow’s Styron division since July 2009.

Dow and Bain Capital Partners, a leading global private equity firm, announced on March 2, 2010 the signing of a definitive agreement for Dow’s Styron Division to be divested to an affiliate of Bain Capital and become a standalone, privately held business. Styron will be a leading diversified chemicals and plastics company with approximately $3.5 billion in revenue (based on 2009 data), 40+ manufacturing plants in all geographic regions, attractive global market positions, and a strong technology position in its product portfolio. The transaction includes several long-term supply, service and purchase agreements which will generate substantial value for both Dow and Styron.

“We appreciate the many contributions Mark Remmert has made to Dow over the years, and especially want to recognize his important efforts to lead the Styron Division and help organize a successful divestiture,” stated Jim Fitterling, Vice President of Corporate Development at Dow. “And we are pleased to welcome Chris Pappas, an accomplished industry executive with a strong Dow heritage, to this leadership role.”

“I am pleased to embark on a long term relationship with Bain Capital and to reconnect with my Dow heritage in this opportunity as CEO of Styron,” said Pappas. “The combination of Dow’s culture of excellence, strong assets and technology, and outstanding people -- along with Bain Capital’s expertise and track record -- will be the foundation for a successful Styron business.” Pappas holds a Bachelor of Science degree in Civil Engineering from The Georgia Institute of Technology and an MBA from The Wharton School of Business at The University of Pennsylvania.

“Chris Pappas is an exceptional leader with the right set of skills and experiences to grow and strengthen the Styron business, and help achieve its full potential as a global leader,” said Steve Zide, a Managing Director at Bain Capital. “Chris knows the industry and the business well. He will complement the culture of excellence and quality, and will work seamlessly with Styron's business leaders to build the Styron franchise in close partnership with its customers and business partners and Dow.”

Styron will have strong global positions in four business areas -- polystyrene and styrenic polymers, emulsion polymers, polycarbonate and engineered compounds, and PBR and SBR synthetic rubbers. Styron products will serve a diverse base of customers and markets including automotive, appliances, packaging, paper & board, carpet, durable goods, electronics, optical media, tires, and technical rubber. Businesses and products in Styron include: Styrenics – Polystyrene (PS), acrylonitrile butadiene styrene (ABS), styrene acrylonitrile (SAN) and expandable polystyrene (EPS); Emulsion Polymers (paper and carpet latex); Polycarbonate (PC) and Compounds & Blends; Synthetic Rubber; and Automotive Plastics including PULSE™ engineering resins, MAGNUM™ acrylonitrile butadiene styrene, INSPiRE™ performance polymers, and VELVEX™ reinforced elastomer. Also included will be some styrene monomer assets.

About the Products in Styron

Polycarbonate (PC) is an engineering thermoplastic used in applications such as optical media, electrical and lighting. Styrenic plastics (polystyrene, ABS, and SAN) are well known for their performance in an array of applications from packaging and food service, to large appliances, portable appliances, consumer electronics, automotive and building and construction. Synthetic rubber is used in a broad portfolio of products from tires to hoses, conveyor belts, and footwear to specialized high performance elastomers. Expandable polystyrene (EPS) is typically used in rigid foam products such as heat insulation, packaging, impact sound insulation and drainage. SB and SA Latex are used in the paper/paperboard and flooring applications. Automotive plastics are used in many different automotive applications, such as instrument panels, mid consoles, door panels, interior trim, seat structures and bumpers.

About The Dow Chemical Company

Dow combines the power of science and technology with the “Human Element” to passionately innovate what is essential to human progress. The Company connects chemistry and innovation with the principles of sustainability to help address many of the world’s most challenging problems such as the need for clean water, renewable energy generation and conservation, and increasing agricultural productivity. Dow’s diversified industry-leading portfolio of specialty chemical, advanced materials, agrosciences and plastics businesses delivers a broad range of technology-based products and solutions to customers in approximately 160 countries and in high growth sectors such as electronics, water, energy, coatings and agriculture. In 2009, Dow had annual sales of $45 billion and employed approximately 52,000 people worldwide. The Company’s more than 5,000 products are manufactured at 214 sites in 37 countries across the globe. References to "Dow" or the "Company" mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. More information about Dow can be found at www.dow.com.

About Bain Capital

Bain Capital, LLC (www.baincapital.com) is a global private investment firm that manages several pools of capital including private equity, venture capital, public equity, high-yield assets and mezzanine capital with approximately $65 billion in assets under management. Bain Capital has a team of over 300 professionals dedicated to investing and to supporting its portfolio companies. Since its inception in 1984, Bain Capital has made private equity investments and add-on acquisitions in over 300 companies in a variety of industries around the world. Bain Capital has a long history of investments in industrial businesses, including such leading companies as Innophos, Brenntag, Sensata, SigmaKalon, FCI, Feixiang Chemicals, Novacap, and Himadri Chemicals. Headquartered in Boston, Bain Capital has offices in New York, London, Munich, Hong Kong, Shanghai, Tokyo, and Mumbai.

Note: The forward-looking statements contained in this document involve risks and uncertainties that may affect Dow's operations, markets, products, services, prices and other factors as discussed in filings with the Securities and Exchange Commission. These risks and uncertainties include, but are not limited to, economic, competitive, legal, governmental and technological factors. Accordingly, there is no assurance that Dow’s expectations will be realized. Dow assumes no obligation to provide revisions to any forward-looking statements should circumstances change, except as otherwise required by securities and other applicable laws.

®TM Trademark of The Dow Chemical Company (“Dow”) or an affiliated company of Dow

Contact:

For editorial information:
Catherine Maxey
The Dow Chemical Company
+1 989 636 4506
cmaxey@dow.com
or
For Bain Capital:
Alex Stanton
Stanton Public Relations & Marketing
+1-212-780-0701
astanton@stantonprm.com