KINGSPORT, Tenn. (July 17, 2012)—Eastman Chemical Co. said it has completed its acquisition of Solutia Inc., paying approximately $4.8 billion for Solutia's shares.
The purchase will increase Eastman's revenues and profit margins, expand the company's geographic reach and establish a more diverse and sustainable product portfolio, Eastman said.
Eastman said the Solutia acquisition has resulted in structural and reporting changes creating five product segments:
* Additives and Functional Products contains the rubber materials product lines from Solutia's former Technical Specialties segment and the specialty polymers and solvents product lines of Eastman's former Coatings, Adhesives, Specialty Polymers and Inks segment.
* Adhesives and Plasticizers contains the plasticizer product lines of Eastman's former Performance Chemicals and Intermediates segment and the adhesives product lines formerly in the coatings/adhesives/specialty polymers segment.
* Advanced Materials contains Eastman's former Specialty Plastics segment and Solutia's former Performance Films and Advanced Interlayers segments.
* Fibers continues to consist of Eastman's acetate tow, acetate yarn and acetyl product lines.
* Specialty Fluids and Intermediates contains the specialty fluids product lines from Solutia's former Technical Specialties segment and the oxo and acetyl intermediates product lines of Eastman's former PCI segment.
The new reporting structure will be reflected in Eastman's third-quarter 2012 financial results, Eastman said.