1. Why is A. Schulman acquiring Mash? A. Schulman’s strategic objectives include being a leading global manufacturer in both masterbatch and specialty powders, as well as a leading global niche player in engineered plastics. The Mash acquisition advances our position in the Latin American masterbatch market as well as in niche engineered plastics markets. Mash has state-of-the-art technology for the production of specialized additives and plastic materials and aligns well with A. Schulman’s global core competencies in masterbatch and engineered plastics. It will allow us to enhance our ability to serve customers in the region.
  2. Who is Mash? Mash Compostos Plasticos is a masterbatch additive producer and engineered plastics compounder based in Sao Paulo, Brazil. The company, participates in 11 markets including film and packaging, automotive and appliances.
  3. What is the strategic fit between A. Schulman and Mash? Mash is the right strategic fit for A. Schulman as it brings:
    • State-of-the-art technology for the production of specialized additives and plastic materials
    • A market approach aligned with A. Schulman’s core competencies, particularly in BOPP and other film applications
    • Geographic expansion which will allow A. Schulman to expand its relationships with current customers in Brazil and other South American countries
    • The opportunity for A. Schulman to enhance the Company’s competitive position, leading with technology
    • A strong management team oriented to provide technological solutions and service to sophisticated customers and applications
  4. What synergies does A. Schulman expect to achieve with the acquisition of Mash? Targeted synergies include:
    • Working capital management improvement
    • Purchasing synergies (base resins and additives) by taking advantage of A Schulman’s negotiation power
    • Sales synergies by expanding our participation in the South American engineered plastics markets
  5. What does this mean for the customers of both companies? The two companies believe this transaction will bring significant value and opportunity to the customers of the combined business as a result of:
    • State-of-the-art technology for the production of specialized additives and plastic materials
    • Stronger geographic presence in the Latin America market
    • Strong team oriented to provide technological solutions and service for sophisticated customers and applications
  6. Is A. Schulman considering other acquisitions? The improvements we’ve made to our operations and balance sheet during the past two years have strengthened our financial position and allowed us to invest in strategic acquisitions. We’ll continue to be selective in seeking acquisitions that will provide the highest impact for the business, generate maximum return on invested capital and create additional shareholder value, and, most importantly, support our Company’s strategic objectives.
  7. How will this transaction impact the geographic mix of A. Schulman’s business? Mash’s geographic location allows us to protect our relationships with our current customers in Brazil and other Mercosur countries and places us in a better competitive position in this region.
  8. What is your time frame for closing the deal? We expect the transaction to close by November 3, 2010.
  9. How will you integrate Mash into Schulman? We expect to integrate Mash’s operations seamlessly and quickly, as they are highly complementary to A. Schulman’s other operations.

About A. Schulman, Inc.

Headquartered in Akron, Ohio, A. Schulman is a leading international supplier of high-performance plastic compounds and resins. These materials are used in a variety of consumer, industrial, automotive and packaging applications. The Company employs about 2,000 people and has 16 manufacturing facilities in North America, Europe and Asia. Revenues for the fiscal year ended August 31, 2009, were $1.3 billion. Additional information about A. Schulman can be found at www.aschulman.com.