Manufacturing

China:

SMC is a low-cost producer/distributor of specialty chemicals from emerging markets, predominately China. SMC currently has three manufacturing facilities in China. We take advantage of our lower cost production base and niche product line to provide value and service.

SMC has developed a "China Core Competency" that allows us to rapidly take advantage of opportunities in the specialty chemical marketplace by utilizing our expertise and network in China. The three China joint ventures are excellent models of SMC's ability to leverage customer and market opportunities by adding inexpensive capacity in China to generate superior investment returns.

SMC has ownership in the following Joint Ventures:

Changshu New Tech Chemicals

• Joint venture founded in 2002
• ISO 9001:2000 & ISO 14001:2004.
• A leading producer of phosphorous derivatives

Yancheng MAK Chemicals

• Joint venture founded in 2005
• produces imaging chemicals, fine chemicals, and flame retardants

Suzhou High Tech Chemicals

• Joint venture founded in 2002
• ISO 9001:2000
• Produces fine organic chemicals

United States:

Special Materials Company's production and warehousing facility in Kershaw, South Carolina is a low-cost base for receiving imported materials from the ports of Charleston, South Carolina and Savannah, Georgia. The facility was established in 2006 and is a completely refurbished 80,000 square-foot building set in 12 acres. It is conveniently located to deliver chemical products in the Southeast.

SMC receives and delivers materials, both for its own customers and on behalf of other US companies. The company adds value by changing the chemical state before delivery. SMC continually strives to take costs out of the raw material supply chain while seeking to preserve or re-establish the levels of customer service that may have disappeared from the changing global economy.

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