Ube to stop caprolactam production at Sakai plant

Facilities to be dismantled and annual production capacity (To cease production in late March 2014)

-Caprolactam: 100,000 tonnes

-Ammonia: 200,000 tonnes

-Liquefied carbon dioxide: 99,000 tonnes

-Ammonium sulfate: 160,000 tonnes

-1, 6-hexanediol: 5,000 tonnes

Details of Extraordinary Loss

The changes will result in Ube recording an extraordinary loss of ¥12.6 billion for the consolidated and non-consolidated business results of the fiscal year ending March 31, 2013. The extraordinary loss will encompass the impairment loss for fixed assets and all foreseeable costs related to the dismantling of existing facilities.

Of the extraordinary loss, the impairment loss for fixed assets of ¥2.6 billion has been recorded in the third-quarter earnings results (for the fiscal year ending March 31, 2013.

Impact on Ube Industries, Ltd.

The impact of the above extraordinary loss on the business results of Ube Industries, Ltd. for the fiscal year ending March 31, 2013 has already been incorporated into the earnings forecast. 

Ube Industries