Alliance

Zotefoams PLC 27 July 2000 Zotefoams completes strategic alliance with Sekisui Chemical Company Ltd of Japan Zotefoams plc ('Zotefoams'), the world's leading manufacturer of cross-linked polyolefin block foam, is delighted to announce that it has completed a global sales, marketing and technology development agreement with Sekisui Chemical Company Ltd of Japan ('Sekisui'). Sekisui is the world's leading producer of roll polyolefin foam and has an extensive sales and marketing network in Continental Europe and around the world. As foreshadowed in Zotefoams 1999/2000 annual report, the board believes that this agreement will significantly enhance the company's future growth prospects. Specifically, its implementation will improve Zotefoams access to existing markets and allow it to penetrate new markets around the world with its growing portfolio of high quality block-foam products. Key benefits of the agreement: Sekisui will substitute block foam currently produced at its manufacturing facility in The Netherlands with Zotefoams products Sekisui will market Zotefoams products in Continental Europe and South America Zotefoams and Sekisui will both market a combined product portfolio via reciprocal sales agency agreements to customers in the United States, Canada, Mexico and Central America Sekisui will distribute Zotefoams products through the existing Sekisui sales forces in Asia Sekisui and Zotefoams will collaborate on the development of block polyolefin foams and related technology Commenting on the agreement, David Stirling, Managing Director of Zotefoams said: 'This agreement fundamentally increases the reach of our business. Zotefoams has always had an excellent portfolio of products and with the completion of this agreement we are now able to directly market and sell these to a much wider base of customers. In addition to opening up exciting new markets for us, the agreement will increase our visibility in Continental Europe and enhance the longer term potential of our investment in manufacturing at Cincinnati, USA.' Enquiries: Zotefoams plc 020 8664 1600 David Stirling, Managing Director Financial Dynamics 020 7831 3113 Tom Baldock