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Yushiro and QualiChem Announce Global Partnership Agreement

Yushiro Manufacturing America, Inc., a subsidiary of Yushiro Chemical Industry Co., Ltd. and QualiChem, Inc. have entered into a global strategic partnership.

"The announcement brings together two of the premier metalworking fluids manufacturers in the industry. Yushiro is the largest supplier of metalworking fluids in the Asia Pacific region, and QualiChem is one of the fastest growing metalworking fluids businesses in North America," said a company spokesperson. This partnership will allow Yushiro and QualiChem to leverage their respective product lines, R&D, supply chain and manufacturing capabilities to expand each company's technology, products and services to the global metalworking and water treatment markets.

"We have known and admired QualiChem for a long time. We respect QualiChem's technology, products and salesforce. QualiChem is a leading supplier, not only in the aerospace industry, but to the entire metalworking and water treatment marketplace. Sales growth is expected by the synergies brought together through Yushiro product sales utilizing QualiChem's sales network in the U.S. Also, I believe QualiChem's products will be highly valued throughout the world by the global companies in the Yushiro group," said Eiichi Ogo, President and CEO of Yushiro Chemical Industry Co., Ltd. "We are excited to partner with the QualiChem team and are committed to achieving substantial growth around the world."

Glenn Frank, President of QualiChem, Inc., commented, "This is an excellent opportunity for our distributors, customers and employees. Yushiro's extensive R&D capabilities and complementary sales channels will help us to better serve our existing customer base. Additionally, Yushiro's 12 manufacturing plants throughout Asia, North America and South America will provide immediate entry into new markets for our metalworking fluids and water treatment products."

In the water treatment market, Yushiro will continue to build on QualiChem's successful private label business model. "This water treatment market in the U.S. and globally is projected to grow significantly and we look forward to working with QualiChem's water treatment team to expand its manufacturing base globally through Yushiro's existing network," said Takuya Ishikawa, President and CEO of Yushiro Manufacturing America, Inc.

QualiChem will continue to be led by its current leadership team of Glenn Frank as President and Dennis Butts as Executive Vice President.

For more information contact:

QualiChem, Inc.

2003 Salem Industrial Dr.

Salem, VA 24153


Yushiro Manufacturing America, Inc.

783 West Mausoleum Road

P.O. Box 217

Shelbyville, IN 46176-9720


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