Reichhold Announces Price Increase on Polyester & GMA Acrylic Resins for Powder Coatings Applications in North America; Effective March 1

RESEARCH TRIANGLE PARK, N.C.--Feb. 7, 2005--Reichhold, Inc. announced a general price increase today on polyester and GMA acrylic resin products for the powder coatings industry in North America. This increase applies to both list and off-list pricing and is effective for orders shipped on or after March 1, 2005.

"We continue to see regular increases on key raw materials," said Reichhold Vice President, North American Coatings, Rodney Biddle. "This is a continuation of the escalating prices we experienced throughout 2004."

"Reichhold is working diligently to minimize the impact of raw material increases on our customers," Biddle continued, "However, this is an industry-wide issue which affects all suppliers and formulators. We simply must pass along a portion of the increases we've been absorbing ourselves."

"We thank our customers for their support and understanding of the situation we all face," Biddle continued.

"Reichhold encourages customers to contact their sales representatives if they have any questions related to this pricing adjustment," he concluded.

Reichhold's polyester and GMA acrylic powder coating resins are sold under the FINE-CLAD(R) trade name. For more information on these and other Reichhold products, visit www.reichhold.com or email productinfo@reichhold.com.

About Reichhold

Founded in 1927, Reichhold, with its world headquarters and technology center in Research Triangle Park, North Carolina, USA, is together with its parent, Dainippon Ink & Chemicals (Tokyo, 4631) the world's largest manufacturer of unsaturated polyester resins and a leading supplier of coating resins for the industrial, transportation, building and construction, marine, consumer and graphic arts markets. Reichhold has manufacturing operations throughout North America, Latin America, the Middle East and Europe.