December 4, 2007

On 30 November, Harcros completed a transaction with Royal Adhesives and Sealants,
in which Royal purchased the assets associated with producing the Kalar line of
specialty elastomers. Royal will continue to operate the plant on the Harcros Kansas City site under a lease agreement, with certain other services also being provided by Harcros.
All Harcros employees associated with the Kalar business have been hired by Royal,
including Ed Abrams, Plant Manager.

Harcros began toll-manufacturing Kalar products at Kansas City in 1992 for the former Hardman business, a sister-subsidiary of Elementis. When Harcros became a private company in 2001 an agreement was included to continue production of Kalar. Elementis subsequently sold the Hardman business to Royal in 2005.