Pfleiderer Closing Two European Plants

Neumarkt, Germany, Dec. 16, 2010 -- Pfleiderer said it will close a particleboard plant in Ebersdorf and its MDF plant in Nidda.

While alternative continuation concepts for Ebersdorf were rejected, alternative usage possibilities are still being
sought with possible strategic investors, irrespective of the discontinuation of MDF production in Nidda, Pfleiderer said.

"This is a bitter decision for those concerned, but regrettably unavoidable in view of the substantial over-capacities for particleboard and MDF in Europe," said Chairman Hans H. Overdiek.

In combination with the continual price increases in raw materials such as wood and adhesive, and energy costs, the continued operation of both plants is no longer feasible."