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Rohm And Hass Lifts Force Majeure

Manufacturing.Net - October 10, 2008

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PHILADELPHIA (AP) -- Chemical maker Rohm and Hass Co. says it has resumed full supply for some products at two Texas plants affected by Hurricane Ike in September.

The company said Thursday that a plant at Deer Park, Texas, that makes acrylate products is at or near full capacity earlier than expected. It has also reached fully supply of specialty monomers at its Bayport, Texas facility. The products are used in consumer goods such as paints, varnishes, adhesives and textiles.

Rohm and Hass said it is lifting a "force majeure" it placed on the two products after the storm blew through the area in early September, causing damage to many chemical and industrial plants on the Gulf of Mexico coast of Texas.

Enacting a force majeure clause frees parties from liability when an extraordinary event occurs that will prevent them from fulfilling their obligations under an agreement.

However, the company said a force majeure remains on its methacrylate products, because a backlog of orders has not yet been cleared.

Shares of Rohm and Hass fell 28 cents to $64 in morning trading Friday.


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