XIAMETER E-BUSINESS MODEL OFFERS LOWEST-BASE PRICE SILICONE PRODUCTS TO PULP AND PAPER PRODUCTION

(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 dynamic, lowest-base pricing; guaranteed shipping dates; clear order requirements and payment terms; and real time order and inventory control and confirmation for purchasers of commonly used silicon-based fluids, resins, emulsions, and antifoams products for manufacturers in the pulp and paper industry.

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 offering includes more than 300 silicon-based fluids, resins, and adhesive/sealants. For pulp and paper applications, XIAMETERTM Series Fluids and Cyclics grades will be available, along with antifoams, surfactants, and emulsions for use as softeners for tissues, and as de-inking agents, surfactants, coatings for release and construction papers, hydrophobic printability agents, water-resistant compounds, coatings for papers for electronics and batteries, and pulp and paper processing aids, including chemical-recovery agents.

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 silicone globally – the most extensive of any silicones supplier worldwide – XIAMETERTM guarantees ship 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 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 pulp and paper manufacturers a wide range of silicone products at the lowest-base price," said Don Sheets, Xiameter general manager at Dow Corning. "We can help manufacturers along the continuum of processing from pulp soaking to paper shipping with our ability to supply silicones in all of its forms. Manufacturers will benefit from our supply line, as well, 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 business rules are available on www.Xiameter.com.

Dow Corning, which develops, manufactures, and markets diverse silicon-based products, currently offers more than 7,000 products and services to customers around

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Dow Corning
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PO Box 994
Midland
MI 48686-0994
U.S.A.

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