Dow Announces Closure of Proceedings in K-Dow Arbitration
MIDLAND, Mich., Mar 04, 2013 (BUSINESS WIRE) --
Copyright Business Wire 2013
The International Court of Arbitration of the International Chamber of
Commerce (the "ICC") today released the final award amount, representing
interest and costs, in the arbitration case between The Dow Chemical
Company (NYSE:DOW) and Petrochemical Industries Company of Kuwait (PIC)
related to the K-Dow transaction.
The final interest and costs awarded to Dow totals $318 million, as of
today, and is in addition to the partial award of $2.16 billion
announced last May - resulting in full damages awarded to Dow equal to
$2.48 billion. This is the last step in the disciplined arbitration
process, bringing the process to a close. Both awards (partial and
final) are binding and non-appealable.
"Payment of these damages of nearly $2.5 billion will allow Dow to
accelerate its priority uses for cash by further strengthening our
balance sheet," said Andrew N. Liveris, Dow's chairman and chief
executive officer. "Dow and Kuwait share a long history and strong
partnership, and this award ruling brings suitable closure to the
arbitration process. The Dow team fully expects, and we are resolved to
ensure, that PIC honors its contractual commitments in a timely manner."
The total award amount is subject to continuing interest until Dow
receives payment. Counsel for Dow is Shearman & Sterling.
About Dow
Dow (NYSE: DOW) combines the power of science and technology to
passionately innovate what is essential to human progress. The Company
connects chemistry and innovation with the principles of sustainability
to help address many of the world's most challenging problems such as
the need for clean water, renewable energy generation and conservation,
and increasing agricultural productivity. Dow's diversified
industry-leading portfolio of specialty chemical, advanced materials,
agrosciences and plastics businesses delivers a broad range of
technology-based products and solutions to customers in approximately
160 countries and in high growth sectors such as electronics, water,
energy, coatings and agriculture. In 2012, Dow had annual sales of
approximately $57 billion and employed approximately 54,000 people
worldwide. The Company's more than 5,000 products are manufactured at
188 sites in 36 countries across the globe. References to "Dow" or the
"Company" mean The Dow Chemical Company and its consolidated
subsidiaries unless otherwise expressly noted. More information about
Dow can be found at www.dow.com
Note: The forward-looking statements contained in this document
involve risks and uncertainties that may affect the Company's
operations, markets, products, services, prices and other factors as
discussed in filings with the Securities and Exchange Commission. These
risks and uncertainties include, but are not limited to, economic,
competitive, legal, governmental and technological factors. Accordingly,
there is no assurance that the Company's expectations will be realized.
The Company assumes no obligation to provide revisions to any
forward-looking statements should circumstances change, except as
otherwise required by securities and other applicable laws.
http://cts.businesswire.com/ct/CT?id=bwnews&sty=20130304005944r1&sid=cmtx4&distro=nx
SOURCE: The Dow Chemical Company
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