Form 20-F 2005

Specialty polymers are obtained either by radicular polymerization or by condensation. The extremely wide range of these products
meets needs that are highly diversified but also specific.
Specialty monomers, used in very small amounts, improve the performance of coatings and adhesives when put into emulsions,
solutions, or included in the polymerization process.
Novecare successfully pursued the implementation of its multi-pronged strategic growth plan consisting of innovation, partnership
with clients and geographic growth.
Novecare further ensured its growth in Asia at the end of 2004, by taking full control of the capital of its subsidiary
Wuxi Chemicals Co. Ltd, and by increasing its production capacity for surfactants and specialty polymers, so as to respond to
rapidly growing local demand.
Innovation and long-term partnerships with clients are two additional key areas of the business’ growth plan. In 2005, the business
strengthened its relations with principal players on the markets it serves by delivering original solutions adapted to their particular
industries and structures.
In terms of innovation, Novecare developed SSLs (Structured Surfactants Liquid), which are sophisticated structures that allow
for a new generation of personal care products. Shampoos and shower gels that are pleasing to use, cleanse effectively, are mild
and offer extended moisturizing, required new types of formulas that combined in a controlled and stable manner varying active
ingredients while offering extended-release over time. SSLs make such formulas easy and effective to manufacture. Accordingly,
SSLs have been used in the majority of such products that have recently been put on the market.
In the oil drilling sector, the business developed a new line of lubricants made with guar that are adapted to the particular
conditions in wells and which can result in significant savings in of both time and labor, essential during periods of very high
activity. These guar-based lubricants improve the output of wells. They are sensitive to the environment and meet users’
logistical reliability criteria.
In the field of agricultural chemistry, a new biodegradable bio-accelerator for glyphosate-based formulas with a favorable toxicity/
environmental hazard profile has been approved by the Environmental Protection Agency. Because it brings together technical
performance and respect for the environment, this product answers a strong existing need in the industry.
Silcea
Silcea recorded sales of €810 million in 2005, or 16% of our consolidated sales.
The Silcea enterprise combines three high value-added businesses: rare earths, silicones, and silicas, each with its own specific
technology. Its products are aimed at a variety of markets (automotive, electronics, high performance coatings, medical comfort,
paper and textile coating, etc.), including market segments undergoing significant growth such as automotive anti-pollution systems
and “green” tires. For these different markets, Silcea has been the originator of numerous innovations, including: “three track”
catalytic converters, low energy consumption tires, luminescence for new-generation flat screens, and high-performance coatings
for airbags and technical textiles.
Form 20 - F 2005 - Rhodia
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