Business
EcoSynthetix Responds to Announcement from FutureMark Alsip Mill
BURLINGTON, ON , Aug. 22, 2014 /CNW/ - EcoSynthetix Inc. (TSX: ECO), a renewable chemica...
About this update from Ecosynthetix Inc.
[{"type":"text","content":"\n\n\nBURLINGTON, ON, Aug. 22, 2014 /CNW/ - EcoSynthetix Inc. (TSX: ECO), a\n renewable chemicals company that produces a family of commercially\n proven bio-based products, responded today to the announcement by\n FutureMark Paper that it intends to idle its FutureMark Alsip paper\n mill indefinitely starting in September. This mill represented sales of\n approximately $2.5 million for EcoSynthetix on a trailing twelve month\n basis, or 12% of sales. EcoSynthetix has approximately $800,000 of\n credit exposure with FutureMark Alsip currently and is in contact with\n the customer regarding collection.\n\n\n\"This is a disappointing setback for our North American sales. It's\n clear now that FutureMark was experiencing significant pricing pressure\n in its markets. FutureMark had consistently increased their\n substitution rate of our EcoSphere® biolatex® binder as a means of reducing costs while maintaining quality. They saw\n the value in our sustainable alternative compared to the higher priced\n petroleum-based binders,\" said John van Leeuwen, CEO of EcoSynthetix\n Inc. \"While this news is unfortunate, we remain confident in the value\n our bio-materials provide customers across multiple markets, from paper\n and paperboard to building materials like wood composites.\"\n\n\nAbout EcoSynthetix Inc. (www.ecosynthetix.com)\nEcoSynthetix Inc. is a renewable chemicals company specializing in\n bio-based products that can be used as inputs in industrial\n manufacturing for a wide range of consumer products. The Company's\n products offer a reduced carbon footprint and are marketed primarily on\n the basis of lower cost, stable pricing and equal or superior\n performance. EcoSynthetix's lead product, EcoSphere® biolatex® binders, is used commercially by a number of the global top 20\n manufacturers in the coated paper and paperboard industry.\n\n\nForward Looking Statements\nCertain statements in this Press Release constitute \"forward looking\"\n statements that involve known and unknown risks, uncertainties and\n other factors which may cause the actual results, performance,\n objectives or achievements of the Company, or industry results, to be\n materially different from any future results, performance, objectives\n or achievements expressed or implied by such forward looking\n statements. These statements ...