XIAMETER E-BUSINESS MODEL OFFERS LOWEST-BASE PRICE SILICONE PRODUCTS TO PERSONAL CARE MARKETS

(MIDLAND, Mich. – March 5, 2002) Dow Corning Corporation announced today the launch of a new web-enabled business model using a new brand XIAMETERTM. For the serious buyer of silicon-based materials, Xiameter offers formulators and purchasers of personal care products raw materials, dynamic, lowest-base pricing; guaranteed shipping dates; clear order requirements and payment terms; and real time order and inventory control and confirmation for commonly used silicon-based fluids and other silicone products.

Xiameter, the new measure of value from Dow Corning, was created for the customer who is experienced in purchasing and using silicone products in applications where additional sales, design, and support services are neither needed nor wanted. Through web-based registration and transactions, as well as straightforward business rules (see Backgrounder for more details), the Xiameter business model from Dow Corning eliminates unnecessary transaction costs to offer commonly used silicone products at the lowest price available.

The full XIAMETERTM product offering includes more than 300 silicon-based fluids, resins, and adhesive/sealants. For personal care applications, XIAMETERTM Series Fluids and Cyclics grades will be available, along with antifoams, surfactants, and emulsions for use in hair care, skincare, and bath products. Other common silicon-based raw materials for personal care applications are available to assist in the formulation of anti-whiteners and carriers for antiperspirant/deodorants, emollients, moisture proofing for sun-protection products, and a variety of formulations for use in cosmetics and shaving products.

For ‘Empowered’ registered customers, www.Xiameter.com provides information on pricing, minimum and multiple quantities, safety data sheets (SDS), certificates of chemical equivalencies, and a unique cross-reference tool that recommends XIAMETERTM product equivalents for substitution.

Drawing on Dow Corning’s vast capability for supplying silicones globally – the most extensive of any silicones supplier worldwide – XIAMETERTM guarantees shipping dates and ensures reliable supply of high-quality products on predictable timelines. Minimum order quantities vary between truckloads, tank-carloads, or pallets, depending on the product line purchased. Payment terms of 30 days net are extended to qualified registered customers in a number of currencies: U.S. dollars, euros, yen, won, pound sterling, and RMB. Letters of Credit must be paid in either euros or U.S. dollars. Local taxes are not included in the price list.

“Dow Corning will offer customers new choices for how they buy silicon-based materials. For customers who are truly interested in the lowest competitive prices for silicone, and need no more than the volume raw materials, we offer XIAMETERTM. If customers want value-added services such as product application and technical support, or development innovation with the purchase and use of our materials, they can still choose to buy the DOW CORNING® brand,” noted Dow Corning Executive Vice President, Stephanie Burns.

"Xiameter offers personal care manufacturers the silicone products they need at the lowest-base price," said Don Sheets, Xiameter general manager at Dow Corning. "Regardless of market level, we can help – Xiameter helps makers of commodity goods like soap and shampoo win price wars, yet it also helps manufacturers of premium health and beauty aids differentiate their product lines while maximizing both product efficacy and profitability. And everyone, whether commodity or carriage trade, benefits from our supply line, because we are able to ship on time and in the quantities required, around the clock and around the world."

As of March 5, 2002, XIAMETERTM products are available to be sold in more than 50 countries, including North America, most of Western Europe, China, Japan, Taiwan, Hong Kong, Australia, South Africa, and Brazil, among others. A list of XIAMETERTM products and prices, as well as registration information and Xiameter bus

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Xiameter
Dow Corning
2200 W. Salzburg Rd
PO Box 994
Midland
MI 48686-0994
U.S.A.

+1 989 496 1753

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