Cytec Completes Acquisition of BP Carbon Fiber Business

Cytec Industries Inc. announced that it completed its previously announced acquisition of the assets of the carbon fiber business of BP. Its sales in the first half of 2001 were $17 million of which 50% were sales to Cytec. Terms were not disclosed.

David Lilley, Chairman, president and chief executive officer said, "Cytec Fiberite is a global leader in advanced composites and structural film adhesives for the aerospace industry. This acquisition enhances our ability to maintain a high-quality, low-cost, uninterrupted supply of carbon fiber for our customers. Commercial and military aircraft manufacturers are increasingly replacing metal in aircraft with our composites, achieving the same or greater strength with less weight. Our integration team is in place and the transition is underway.

"As previously stated, this acquisition is expected to be slightly dilutive to our 2001 normalized earnings per diluted share objective of $2.05 to $2.15. We expect that this acquisition will be modestly accretive to Cytec's earnings per share in 2002," Lilley concluded.

Source: Businesswire