<NEWS RELEASE

Price Increase Notice 

(Schenectady, NY) July 18, 2007 SI Group-Shanghai, China, Performance Resins Division has increased prices of at least USD0.08/KG on phenolic resins depending on form and type.  This price increase is attributed to continuous raw material, energy and freight cost elevation as well as weaker USD against major currencies.  Based on these factors, SI Group - Shanghai is implementing subject price increase effective on all shipments to non-contract accounts made on or after July 1, 2007 to cover these elevations. Price to contract accounts will be effective as contracts permit.

SI Group is the leading innovator in phenolic resin technology.  SI Group is a global chemical manufacturer with over 20 operations in 13 countries.  For more information, visit www.siigroup.com.