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2003.06.17
Dow Corning to purchase U.S. Silicon metal producer

Midland, Mich. -  Dow Corning Corp. today announced it has acquired Simcala, Inc., one of the largest producers of silicon metal in the U.S., located in Mount. Meigs, Alabama. While terms of the transaction were not disclosed, Simcala will become a wholly owned subsidiary of Dow Corning.

Simcala employs approximately 130 people to produce high-grade silicon metal used in chemical and aluminum products. The company's smelting process also produces micro silica, which is used as a strengthener and filler by the concrete and refractory industries.  

“We were interested in acquiring Simcala because as one of our main suppliers of silicon metal in the U.S. they have a quality performance and cost structure that will help enable our strategy of achieving a low cost supply position,” said Dow Corning’s strategic sourcing and procurement executive director for Core Products Jim Sanderson.

 “Dow Corning is one of the biggest consumers of silicon metal in the world and the ability to access low-cost supply is fundamental to the success of all our business units in offering customers innovative solutions that meet their precise needs.”

Simcala will continue to operate under its current name and to participate in the silicon metals marketplace. Simcala president and CEO Ed Boardwine said, “While Simcala’s output would primarily be used to meet Dow Corning’s internal needs, we will continue to serve our entire customer base.”

Dow Corning (www.dowcorning.com), which develops, manufactures and markets diverse silicon-based products, currently offers more than 7,000 products to customers around the world.  Dow Corning is a global leader in silicon-based materials with shares equally owned by The Dow Chemical Company and Corning Incorporated.  More than half of Dow Corning’s sales are outside the United States.

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