MEGlobal Declares Force Majeure for Monoethylene Glycol and Diethylene Glycol

Midland, Michigan USA—October 15, 2007

MEGlobal Americas Inc. (MEGlobal) announced today that it has declared Force Majeure for monoethylene glycol (MEG) and diethylene glycol (DEG) sales in the Americas until further notice, due to circumstances beyond MEGlobal’s reasonable control. An unplanned plant outage at the facility of one of MEGlobal’s primary suppliers has been extended, and start-ups have been further delayed beyond the supplier’s reasonable control, resulting in the supplier’s recent declaration of Force Majeure. This unplanned outage has occurred during a period of already tight supply for these products.

Effective October 15, 2007, MEGlobal will allocate available product in a manner that is fair and reasonable, and is currently communicating the allocation program to its customers.

About MEGlobal
MEGlobal™ is a world leader in the manufacture and marketing of merchant monoethylene glycol and diethylene glycol, collectively known as ethylene glycol (EG). Established in July 2004, the company is a joint venture between The Dow Chemical Company and Petrochemical Industries Company of Kuwait and is headquartered in Dubai, United Arab Emirates. MEGlobal produces about 1.0 million metric tons per year of EG, and markets approximately 3.5 million metric tons of EG per year. With approximately 200 employees worldwide, MEGlobal serves customers around the world, and has production facilities in Fort Saskatchewan and Red Deer in Alberta, Canada. EG is used as a raw material in the manufacture of polyester fibers, polyethylene terephthalate resins (PET), antifreeze formulations and other industrial products.

For Editorial Information:

Virginia A. Diploudis
MEGlobal, Switzerland
+41 44 728 2917