W. R. Grace & Co. is engaged in specialty chemicals and specialty materials businesses on a global basis through its two operating segments, Grace Davison and Grace Construction Products. We entered the specialty chemicals industry in 1954, when we acquired both the Dewey and Almy Chemical Company and the Davison Chemical Company. During the 1980s and 1990s, we divested a substantial number of businesses that were not consistent with our business strategy. Grace is the successor to a company that originated in 1854 and originally became a public company in 1953.

*Recorded liabilities subject to Chapter 11 proceedings. Actual claims allowed by the bankruptcy court could be materially different.

Grace Davison

Grace Davison is a global supplier of specialty chemicals, materials and formulation technologies for energy and refining; consumer, industrial and packaging; and the petro/biochemical industries, as well as life sciences and analytical chemistry applications.

Grace Davison includes the following product groups:

Refining Technologies products, which includes:


• Fluid catalytic cracking (FCC) catalysts that help to “crack” the hydrocarbon chain in distilled crude oil to produce transportation fuels, such as gasoline and diesel fuels, and other petroleum-based products; and FCC additives used to reduce sulfur in gasoline, maximize propylene production from refinery FCC units, and reduce emissions of sulfur oxides, nitrogen oxides and carbon monoxide from refinery FCC units;


• Hydroprocessing catalysts, marketed through our Advanced Refining Technologies, LLC joint venture with Chevron Products Company, in which Grace holds a 55% economic interest, that are used in process reactors to upgrade heavy oils into lighter, more useful products by removing impurities such as nitrogen, sulfur and heavy metals, allowing less expensive feedstocks to be used in the petroleum refining process.

Materials Technologies products, which includes:


• Silica-based and silica-alumina-based engineered materials used in:



• Industrial applications such as rubber and tires, plastics, precision investment casting, refractory, insulating glass windows, drying applications, fulfilling various functions such as reinforcement, high temperature binding and moisture scavenging;


• Consumer applications as a free-flow, carrier or processing aid in food and personal care products; as a toothpaste abrasive; and for the processing and stabilization of edible oils and beverages;


• Coatings and print media applications consisting of functional additives that: provide matting effects and corrosion protection for industrial coatings; enable enhanced media and paper quality in ink jet coatings; and act as a functional filler and retention aid in paper.


• Sealants and coatings used in rigid food and beverage packaging, including can and closure sealants used to seal and enhance the shelf life of can and bottle contents, and coatings for cans and closures that prevent metal corrosion, protect package contents from the influence of metal and ensure proper adhesion of sealing compounds, and technologies designed to reduce off-taste effects and extend the shelf-life of packaged products.

Specialty Technologies products, which includes:


• Polyolefin catalysts and catalyst supports that are essential components in the manufacture of polyethylene and polypropylene resins, and other chemical catalysts used in a variety of industrial, environmental and consumer applications;


• Silica-based materials and chromatography columns, instruments, consumables and accessories used in analytical chemistry applications and life sciences.

Grace Davison accounted for approximately 64% of our 2007 sales. The business achieved sales of $2.0 billion in 2007, representing an increase of 11.8% from 2006.

Grace Construction Products

Grace Construction Products (GCP) is a leading provider of specialty construction materials, systems and services that strengthen, enhance and protect structures, including:

• Fire protection materials used to protect buildings in the event of fire;
• Concrete admixtures and structural fibers used to improve the durability and working properties of concrete;
• Additives used in cement processing to improve energy efficiency, enhance the characteristics of finished cement and improve ease of use;
• Building materials used in commercial, infrastructure and residential construction and renovation to protect buildings from water, vapor and air penetration.

Global Scope

We operate our business on a global scale, with approximately 67% of our revenue and over 50% of our operating properties outside the United States. We conduct business in 41 countries and in more than 20 currencies. And, we manage our operating segments on a global basis, to serve global markets. As of December 31, 2007, we had approximately 6,500 full-time employees worldwide.

Our principal executive offices are located at:

W. R. Grace & Co.
7500 Grace Drive
Columbia, Maryland 21044
T +1 410.531.4000

Our Strategy
Our strategy is to seek increased enterprise value by profitably growing our specialty chemicals and materials businesses in the global marketplace and achieving high levels of efficiency. To achieve these objectives, we plan to:

• Invest in research and development activities, with the goals of introducing new high-performance, technically differentiated products and services while continuing to enhance manufacturing processes and operations;
• Expand sales and manufacturing into geographic areas with emerging market economies, including China, India, Eastern Europe, Latin America, Africa and the Middle East;
• Pursue selected acquisitions and alliances that complement our current product offerings or provide opportunities for faster penetration of desirable market or geographic segments;
• Continue our commitment to process and productivity improvements and cost-management, such as rigorous controls on working capital and capital spending, integration of functional support services worldwide and programs for supply chain management, which include both procurement and materials management.