The Dow Chemical Company and Petrochemical Industries Company of the State of Kuwait, a wholly owned subsidiary of Kuwait Petroleum Corporation, continue to make progress on their $11B proposed 50:50 joint venture announced last year.

The two companies recently named James R. Fitterling the chief executive officer of the new market leading global company – K-Dow Petrochemicals (KDP). Dow and PIC also announced the selection of Michigan as the location of the world headquarters for the new joint venture.

James R. Fitterling Named CEO
Fitterling is currently the business group president for Dow's Basic Plastics businesses and a member of the Company's Management Committee and Business Operations Committee. He has held a variety of key leadership positions during his 24-year career with Dow. Fitterling will become CEO of K-Dow Petrochemicals when the joint venture begins operations.

"Jim's vast experience with Dow and the industry, in the basic plastics businesses, several joint ventures, international assignments, and executive leadership roles are the ideal qualifications Dow and PIC sought in a leader for K-Dow Petrochemicals (KDP)," said Andrew N. Liveris, Dow chairman and CEO.

Michigan Selected for Headquarters
The city location for the headquarters is still to be determined; however K-Dow Petrochemicals (KDP) will be located in southeast Michigan, pending final incentive approvals, which offers convenient international airport access as well as a broad range of educational opportunities and culturally diverse communities. The total number of employees located at the headquarters site is expected to expand up to 800 employees over the next several years.

K-Dow Petrochemicals (KDP)
The name K-Dow Petrochemicals (KDP) reflects the combined strengths of the JV partners that together will create a market-leading, global petrochemicals company. Dow's strengths are its recognized brand and franchise related to product and market leadership -- including its number one position in polyethylene, ethyleneamines and ethanolamines -- as well as technology development and operational expertise.

The Venture will continue to maintain Dow's strong commitment to compliance with environmental, health and safety standards.

K stands for Kuwait and represents both Petrochemical Industries Company (PIC) of Kuwait's feedstock position and commitment to global petrochemicals growth and the position of PIC's parent company Kuwait Petroleum Corporation (KPC) as one of the world's top-ten energy/hydrocarbons companies.

Products in the Venture
The joint venture will manufacture and market polyethylene, ethyleneamines, ethanolamines, polypropylene, and polycarbonate and related licensing and catalyst technologies. Polyethylene (PE) and polypropylene (PP) comprise more than half of world polymer demand.

PE is the most widely used of all plastics and can be found in everyday products from food packaging, milk jugs and plastic containers to pipes and liners.

PP is a versatile plastic used in fibers, packaging films, non-wovens, durable goods, automotive parts, and consumer applications.

Polycarbonate is an engineering thermoplastic used in applications such as optical media, electrical and lighting.

Amines are a family of chemicals with a broad range of properties, used in various applications from wood treating and pharmaceutical processing, to coatings and consumer products.

All business operations is anticipated for late 2008, subject to the completion and approval of state and local incentives, definitive agreements, customary conditions, regulatory approvals, and transaction close.