October 5, 2007
 

Degussa is now Evonik

 

 

At the company headquarters in Essen, Dr. Werner Muller, CEO of the entity previously operating under the name of RAG Beteiligungs-AG(of which Degussa is a part) presented the new brand with which Evonik plans to enter the capital market in the first half of 2008.

 

"Evonik is Germany's creative industrial group for chemicals, energy and real estate.

 

Our goal is to become one of the most creative industrial groups in the world,"stated Dr. Muller as he introduced the new group brand.

 

"Our portfolio, which consists of the Chemicals, Energy, and Real Estate business areas, unites a strong substance with attractive growth potential," continued Dr. Muller.

 

The industrial group has been christened Evonik Industries, representing the highlight of the company's strategic realignment.

 

This is also the last step prior to entering the capital market.

 

In the future, German coal mining operations will be known under the name of RAG (Degussa's former parent company), and will not be connected with Evonik, the new industrial group (Degussa's new parent).

 

"Evonik is now entering a new era in group development. We are well positioned, and are looking forward to joining the capital market,"said Dr. Muller.

 

Evonik Industries has achieved an impressive track record during the four years of group restructuring. The company significantly increased operating performance in this period.

 

Sales rose 3 percent to Eur 7.565 billion in the first six months (H1 2006: Eur 7.328 billion). EBIT (earnings before interest and taxes) rose 26 percent to Eur 788 million (H1 2006: Eur 625 million). Evonik has divested its portfolio of some 480 companies with sales of over Eur 8 billion and 35,000 employees.

 

During this time, the acquisition of Degussa was completed, and the shareholder squeeze-out was accomplished in just over three months, a record time for Germany.

 

Group structures were also adjusted in a very short period of time to meet the requirements for operating as a modern, high-performance company. "We are now in a better position to develop our growth opportunities as a new force, right on time for the christening of Evonik,"commented Dr. Muller.

 

The new brand of Evonik Industries, which along with the name and trademark also includes the new corporate color, „deep purple," will be launched during the coming weeks and months within the framework of a creative advertising campaign.

 

"We intend to let our success be measured by the satisfaction of our employees and customers as well as our performance on the capital markets," stated Dr. Muller. He added that Evonik intends to create confidence by means of strong performance and good earnings to gain esteem as a prime investment. Previous corporate brands such as Degussa, Steag, and RAG Immobilien will no longer exist. The Chemicals, Energy, and Real Estate business areas now operate under the company name of Evonik.