June 14, 2005

Contact:

Ann Tucker, NatureWorks LLC, 1-952-742-0542, Ann_Tucker@cargill.com

NatureWorks LLC Begins Market Development for Polylatcide (PLA) Polymers in China

Brings Industry-Leading Expertise, World-Scale Manufacturing Capabilities And Tremendous Worldwide Marketplace Success to Local Companies

BEIJING – The world’s leading supplier of commercially available polylactide (PLA) polymers that are derived 100 percent from annually renewable resources – has begun market development efforts in The People’s Republic of China. Owned by Cargill, the company is working with local companies to develop the market for PLA in China.

“The government and many leading companies in China are embracing the need for, and investing in, the development of a domestic PLA industry,” says Kathleen Bader, CEO and President, NatureWorks LLC. “Backed by world-scale production capabilities, industry-leading expertise and tremendous worldwide success, NatureWorks LLC is uniquely positioned to work with local companies to develop the market for PLA, and then quickly and efficiently deliver this innovative technology to China.”

NatureWorks LLC is the first company in the world to offer a family of commercially available polymers derived 100 percent from annually renewable resources with cost and performance that compete with petroleum-based packaging materials and fibers. Its products – NatureWorks® PLA and Ingeo™ Fibers – provide the convenience, look, feel and performance of petroleum-based polymers, while minimizing the environmental impact.

“Our company is seeing great opportunity in China,” said Peter Clydesdale, Managing Director, NatureWorks LLC Asia Pacific. “We are very excited at the prospect of working with companies to demonstrate the innovation and responsible material choices are of value and a reality in China.”

NatureWorks LLC operates the world’s largest manufacturing facility for PLA – a global-scale operation in Blair, Nebraska, USA, capable of producing more than 140,000 metric tons (300 million pounds) of NatureWorks PLA per year. Its proprietary process for manufacturing PLA centers on the fermentation, distillation and polymerization of a simple plant sugar, corn dextrose. The company essentially harvests the carbon stored in the sugars to make PLA.

NatureWorks LLC has achieved significant market traction in the United States, Europe and several countries in Asia. During the past 18 months, the company has seen rapid marketplace adoption by innovative companies, reduced cost-per-pound to be competitive with petroleum-based polymers, and experienced significant sales increases and quarter-to-quarter growth. Its number of customers has more than doubled during that same period with more than 7,300 grocery stores worldwide selling products packaged in NatureWorks PLA. In addition, more than 7,000 retail locations now feature Ingeo blankets, pillows and other fiber products.

“Working with leading companies in China that provide access to local infrastructure and expertise will allow us to develop similar momentum in China, accelerating development of a PLA industry in the country,” continues Clydesdale.

Unique Value for China

NatureWorks PLA packaging and Ingeo provide benefits that help address many important issues in China, including energy conservation and reduced environmental impact. Peer-reviewed and published life-cycle analysis (LCA) data show that NatureWorks PLA requires fewer fossil fuel resources and generates fewer greenhouse gases than traditional plastics. In fact, the entire production process for NatureWorks PLA requires 30 percent less fossil fuel resources than the entire production process to manufacture polyethylene terephthalate (PET). The production process for NatureWorks PLA also uses up to 50 percent less petroleum and contributes 40 percent less greenhouse gas to the atmosphere than other plastics.

In addition, NatureWorks PLA packaging has the flexibility to be disposed of in several manners, including recycling and composting, and fits most local waste disposal schemes. The material has been successfully composted in applications where that disposal method is desired and commercial composting infrastructure is in place, and it has been reviewed by the Biodegradable Products Institute (BPI) and is listed as positive for compostable materials. The multiple disposal alternatives of NatureWorks PLA means it can play a key roll in landfill diversion.

Products made from the polymer also offer China tremendous opportunity to demonstrate leadership in renewable-based products. Major events such as the upcoming Beijing Olympic Games provide an opportunity to showcase innovation to the world by providing athletes, volunteers and guests with more responsible products, without sacrificing convenience or cost. Potential product offerings include containers for fresh foods, window film, carrier bags and labels, bottles for fresh beverages as well as home furnishing and apparel applications.

In fact, NatureWorks PLA packaging was used for cold drinks served at the 2002 Salt Lake City Winter Olympic Games by Coca-Cola. It has also been used at a variety of other major sports and festival events, such as the AICHI Expo in Japan, Oakland Coliseum in Oakland, California, USA, and the National Mall in Washington, DC, USA. Ingeo fibers have been used at venues and sporting events around the world in the form of apparel. Most recently the National Italian soccer team wore uniforms made from Ingeo fiber while Moby concert goers had the opportunity to purchase shirts made from the fiber at venues around the globe.

About NatureWorks LLC

Based in Minnetonka, Minn., USA with manufacturing facilities in Blair, Neb., NatureWorks LLC is the first company to offer a family of commercially available polymers derived 100 percent from annually renewable resources with cost and performance that compete with petroleum-based packaging materials and fibers. The company applies its unique technology to the processing of natural plant sugars to create a proprietary polylactide polymer, which is marketed under the NatureWorks PLA and Ingeo™ fiber brand names.


NatureWorks PLA is a clear, nature-based food packaging innovation made 100 percent from annually renewable resources, making it a natural fit for fresh, wholesome foods and beverages. NatureWorks PLA provides the convenience, look and performance of petroleum-based plastic packaging, and can be used in a wide range of packaging applications, including bottles, disposable serviceware, containers, trays and films. Ingeo fiber delivers a differentiated fiber option derived entirely from agricultural resources with the cost and performance necessary to compete with synthetic fibers made from petrochemical resources. Ingeo fiber can be used in a variety of applications, including wipes, home furnishings, bedding, mattresses, apparel, draperies and office wall paneling.

For more information about NatureWorks LLC, please visit www.NatureWorksLLC.com.


About Cargill

Cargill is an international provider of food, agricultural and risk management products and services. With 105,000 employees in 59 countries, Cargill is committed to using its knowledge and experience to collaborate with customers to help them succeed.

NatureWorks and the EcoPLA design are registered trademarks of NatureWorks LLC

© 2008 Cargill, Incorporated. All Rights Reserved.