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Pulp and Paper Chemicals

The performance of the Pulp and Paper Chemicals business improved in the first quarter. Volume increased 6 percent, led by the market penetration of our businesses in the Americas and Asia, with particularly positive developments in Brazil. Revenue increased 14 percent, based on the increase in volume and improved pricing during the quarter. Pressure on margins increased as input costs escalated relative to 2010. However, the performance improved primarily as a result of the increase in volume. Our Expancel business announced a capacity increase for its expandable microspheres in order to meet growing global demand. In addition, we announced an investment of €90 million in a new facility being built in Brazil. The plant will supply the world’s largest pulp mill.

Copyright © 2011 Akzo Nobel N.V.