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Winona, MN, USA – October 29, 2008 – When Plasticade Products, a division of American Louver, wanted to develop a strong, durable all-plastic real estate yard sign that could be easily installed and would not fade in the sun, it turned to custom compounder RTP Company for assistance.

According to Carol Salas, Director of Operations at American Louver, “We wanted to provide an alternative to traditional metal signs which, too often, show signs of corrosion, indicating that moisture has penetrated their protective coating and resulted in a rusted or blistered finish — not the best drive-up impression an agent could hope for.”
RTP Company uses a glass fiber reinforced RTP 100 Series polypropylene compound with glass fiber reinforcement from their Value Products line of materials. RTP Company supplies the compound in black and natural versions, while Plasticade adds a white masterbatch to the natural. 
“In order to be competitive with metal signs,” continued Salas, “We needed an economically-priced compound that provided durability and flexibility. The signs had to be strong enough to withstand hammering to drive its legs six inches (15 cm) into the ground.”

The main specification factor was melt flow in the 9-14 g/10 min range to make the processing of the large signs feasible via gas-assist molding. RTP Company recommended using a glass fiber reinforced RTP 100 Series polypropylene compound with glass fiber reinforcement from their Value Products line of materials. RTP Company supplies the compound in black and natural versions, while Plasticade adds a white masterbatch to the natural. “We chose standard black and white colors for the signs,” said Salas, “to frame vibrant colors on the advertising.”

RTP Company Value Products materials are recommended when typical properties and price competitiveness are required, explained Kevin Jennings, General Manager–Value Products for RTP Company. “With these products we are able to provide a limited number of industry standard compounds at very competitive prices for applications that do not require special engineering.”

“RTP Company was very helpful. They worked with us in selecting the correct compound at a competitive price, which helped us compete against metal signs,” said Salas. “Our Realicade and T-Cade signs are strong, durable and lightweight. They last longer than metal, and they do not fade, require painting, or rust.”

Plasticade tested the new signs in Florida and was very pleased with customer feedback. “An important advantage is that our plastic signs are much cooler to the touch during handling than metal signs,” said Salas. “A metal sign retains heat from sunlight exposure, and people can actually burn their hands while trying to pick up and move metal signs. In contrast, realtors can grab and hold onto our signs without any concern for injury.”

About RTP Company
RTP Company, headquartered in Winona, Minnesota, is a global leader in specialty thermoplastic compounding. The company has eight manufacturing plants on three continents, plus sales representatives throughout North America, Europe, and Asia/Pacific. RTP Company’s engineers develop custom compounds in over 60 different engineering resin systems for applications requiring color, conductive, elastomeric, flame retardant, high temperature, shielding, structural, and wear resistant properties.

SK Energy, Korea’s key energy provider, has reported results for third quarter, wherein the performance of its petrochemical division has been spectacular. Q3 petrochemical sales increased by 75% YOY to KRW 3.29 trillion due to higher prices and increased sales volume. Interestingly, for the same period, operating profits dropped by 36% to KRW 75.5 bln. Olefin margins continued to be maintained at the same levels as Q2 due to reduced downstream demand and lower naphtha prices, Q3 operating profits rose by 75% yoy to KRW 733 bln by robust performance in the petroleum business resulting from full operation of the new upgrading facility and strong earnings from the E&P division. Q3 sales revenue increased by 115% yoy to KRW14.3 trillion, on stronger sales in the petroleum and E&P businesses, improved export sales and the continued rise in foreign exchange rate.
Unprecedented export sales of KRW 9.1 trillion were reported in the quarter, accounting for 64% of total sales. The 2.5 times increase yoy is attributed to increased export volume of light to middle distillate products from full operation of the No. 2 RFCC (Residue Fluid Catalytic Cracking), the company’s new upgrading facility located in the Ulsan Complex. The 60,000 bpd RFCC unit has been running at full capacity since the end of June 2008.

New York’s main contract, light sweet crude for December delivery, dipped by over 3 dollars to US$64 a barrel, while Brent North Sea crude for December delivery fell to $US62 per barrel. In intraday trade; the New York futures contract ebbed to $US62.65 and Brent to $US61.00, their lowest levels since May 2007.
A robust cut in production by OPEC of 1.5 mln bpd, has failed to influence demand and lift oil prices. This could be attributed to growing fears of a global economic recession that has amplified concerns of declining energy demand. In an attempt to stabilise deteriorating oil prices as global economy seems poised for global recession, OPEC’s production cut will come into effect on November 1. Oil prices weakened in Asian trade as OPEC’s decision to cut supply at a time of global financial turmoil is considered to further impair already weak energy demand.
OPEC number two producer - Iran, is reported to have said that the cartel is likely to cut back further on production if the latest reduction does not stabilise crude prices.
OPEC’s decision to slash output would be reviewed at it’s next meeting in Oran, Algeria, on December 17.

Deteriorated export demand and bearish domestic market sentiments have tanked CFR China PVC offers below US$800/MT. Offers for next month have met with reluctance from buyers after conclusion of few deals at US$785/MT CFR China. As demand fails to pick up and market outlook continues to be pessimistic, buyers from China have expressed intentions almost 40 dollars lower. Major processors in Asia, particularly China, rely very heavily on demand from the markets of the West. Weakened consumer demand worldwide has taken a toll on prices of all feedstocks and polymers. Demand from Chinese processors continues to be subdued, hence prices seem likely to witness a further price downward correction.

As oil and feedstock naphtha and styrene monomer prices continue to soften, PS prices witnessed a hundred dollar drop in Asia this week. November shipment CFR China offers for GPPS were heard at US$1200-1250/MT, with deals concluded about 10-20 dollars lower. As demand continues to be subdued, buying bids have fallen to US$1150/MT CFR China. HIPS has also slipped by the same margin to US$1310/MT CFR Hongkong.

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