October 09

#01

This first issue of the TORAY Films Europe newsletter gives us the opportunity to demonstrate that our

Company is now operating with our new name and readyfor the challenges of the future.Oriented towards innovation and achievement, TORAYFilms Europe, the new business entity of the TORAY groupis structured to provide products and services that will bestfit your needs whilst making sustainable development apriority.Particularly committed to be environmentally friendly, theTORAY group has distinguished itself by setting an example and received the 2008 Humanitarian Award fromthe United Nations Association. Encouraged by this acknowledgement, all corporate branches of the grouphave benefited from this recognition and it has boostedthem to be more involved in a responsible approach to sustainable development.As you will notice in this current issue, TORAY Films Europeis taking firm action in order to down play the impact of itsactivities on the environment. As a result, the Carbon Foot-print Programme evaluation has been carried out on theSaint Maurice de Beynost site. Minimising environmentalimpact is also expressed through TORAY’s choices for product development: For example our new range of recyclable films for photovoltaic panels and metallised OPPfilm for flexible packaging which gives enabling resource savings in comparison with existing market solutions.These innovations are backed up by TORAY Films Europe’sR & D dynamism and outstanding experimentation facilitiesof the Saint Maurice de Beynost siteAs you will see, this active drive is strong and will lead toan increase in TORAY Films Europe’s production capacitystarting from February 2010, with the new production unitof bi-oriented polypropylene films (BOPP). Today, TORAYFilms Europe has at its disposal all the assets required tostrengthen its leading position in Europe and is ready toassist you with tomorrow’s challenges.

Osamu INOUE - TFE Chairman

Torayfan®

the ultimate high barrier OPP film

Edito

roductP

Torayfan® has a very high barrier against moisture and oxygen, with many potential uses in a variety of laminatedesigns, reducing the manufacturing costs in the

process... Acclaimed by the food market in North America, Torayfan® offers all the qualities required to reach the top rank ofEuropean food packaging. This bi-axially oriented polypropylene(OPP) film combines TORAY’s advanced film making processesand proprietary metallising technology, delivering a metallisedOPP with up to four-fold improvement in moisture and oxygenbarrier performance, compared to other barrier OPP films on themarket today (see table). This means the film meets the needs

of the food packaging market and provides a solution to keepfood products fresh for long periods, whilst maintaining their original flavour. In many cases food shelf-life can be doubled. Torayfan® provides the printability required to enhance the finished goods on-shelf appeal which makes it very attractive to

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1www.torayfilms.eu

� AGENDAOctober 2009 : the site will operate under the new TFEcompany nameFebruary 2010 : start up of operation of the new Torayfan production unit

Property Traditional Torayfan® PotentialMetallized OPP Metallized OPP Benefits

Moisture 0.6 <0,15 Improved ProductQuality and Shelf Life

Oxygen 60 <15 Improved shelf life

Seal Initiation 105°C 85°C Improved Packaging Temperature operations

Thin film 20µm 11/12.5/15µm Source reduction

TORAY NewsLetter October 09#01

nnovationI•••many brand owners. The manufacturingprocess of Torayfan® uses lighter materialsand does not require the use Aluminium foilfor barrier properties. Torayfan’s advancedtechnology produces thin-gauge films without compromising key performanceattributes like barrier and sealant performance. This means the manufactu-ring process for Torayfan® produces highperformance, high yield films offering lessweight per a square meter of packaging.These properties make Torayfan® METOPP ideal for foil replacement projects byproviding improved barrier durability, en-hanced package esthetics and controlledcosts. Torayfan® is specifically designed for the packaging of salty snacks, cookies, confectionery, chocolate, powde-red beverages, soups, seasonings, etc...In response to expanding European demand for high-barrier thin-gauge films,TORAY has established a film production facility in Saint-Maurice-de-Beynost,France. Production of Torayfan® MetallisedOPP is to start in February 2010.

Photovoltaic modules: A New Generation of Protective Films

Photovoltaic (PV) modules are madeof several individual solar cells used for generating electric power

converted from the sun’s energy. Whenprocessing the modules, the solar cells arearranged in series and then protected fromany external threat by a bonding of protective glass on the front and laminateof plastic films on the back. This ensureselectrical insulation as well as a protectionagainst UV and hydrolysis.To ensure such properties, market laminates conventionally combine a PETefficient for its insulating properties withother components, which are difficult torecycle. Fluoride films are an example ofone of these problem components.

A renewable PET, UV and hydrolysis resistantSeveral years of research and develop-ment have been rewarded by the develop-ment of an ”all PET solution” based on anew generation of films suited to meet therequirements of solar panels. Indeed, resistance to UV and hydrolysis are not

inherent properties to PET. Yet TORAY tookup the challenge in designing a PET able toensure these functions with a long lifespan. This solution also represents a realalternative to fluoride products that areused for their outstanding properties butpresenting a major downside with regardsto recycling which is demanding on aneconomical and technical standpoint.TORAY provides the market with the first“all PET solution”; recyclable and dedica-ted to the protection of the back of solarpanels.

Meeting market demandThe new generation of Lumirror PET Films,specially developed for photovoltaic modules is made by laminating an anti-UVfilm to one with increased hydrolysis resistance. From 2010, a single film combining these two properties will meetmarket demand in two ways:• It will increase the production capacity in

a booming market which will have to absorb an annual 25 % productiongrowth forecasted in the next five years.

2 www.torayfilms.eu

For the last 30 years, TORAY has been active in the Japanese solar powerfield. This has led to a proficiency enabling the Company to develop a newrange of “all PET” protective films for PV modules.These polyester films present a real change on the solar energy market, thusincreasing its production capacity and introducing a more competitive offer.

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� NewsECOPOLY : waste recovery and recycling of PET PVDC / PET PVDFCo-branded with the technology clustersAxelera and Plastipolis, this innovatingproject ECOPOLY has received fundingfrom the French administration (FUI).TORAY Films Europe as a project leaderwill focus with the project team (industriesand research laboratories) on two main targets: • develop new recycling methods for

halogen coated PET• reduce usage of oil based raw materials

by polymers increasing the recycling ofPET PVDC / PET PVDF

3www.torayfilms.eu

� NewsTORAY Films Europe (TFE), TORAYnew European entityTORAY reinforces its position in Europeby expanding its production capacitywith:• The setting up of its new production

unit of polypropylene bi-oriented metallized film under the Torayfan®

brand with a 20kt per year produc-tion facility.

• The reorganization of its PolyesterFilms production activity.

Effective October 1st, these activitieswill be organized within TORAY FilmsEurope (TFE), the new entity resultingfrom their merging.

•••• It offers a wide range suitable to meet the

local standards of markets, dependingon their primary criteria: cost, efficiency,or a balance between the two.

Lastly, the versatility of the range meets theexpectations of our converters who havespecialised knowledge of the manufactureof laminates designed for the backsheetsof PV modules.An active development plan for 2011-2012is being implemented to further improvethe material performance and develop newproducts.The main Japanese leaders in the manu-facturing of solar cell panels are alreadyusing the new generation films. These film’smany technical benefits, in addition to their competitive cost, positions them as a promising alternative for solar cell protection in Europe.

Our portfolio

Electrical Insulation Lumirror® 60.01/250

UV reflection, White Lumirror® 50E20F

Hydrolysis resistant Lumirror® 50X10S

UV & Hydrolysis resistant Lumirror® 50XTRM-PV

nvironmentEEcoChallenge : Sustainable develop-ment in the centre of TORAY’s activity

Launched in Japan in 2008, theEcoChallenge project gives priorityto sustainable development in all

the TORAY group activities in order tohelp reduce environmental impact. Allproducts are concerned, including

manufacturing processes. This planwas established for all companies in thegroup, and TFE has in this prospect,taken the initiative to assess the carbonfootprint of its Saint Maurice de Beynostsite.

EcoChallenge: 5 scopes of action, concrete achievements

Over the last years, TFE industrialsite in Saint Maurice de Beynostvolunteered to approach sustaina-

ble development: for instance, in keepingtrack of water consumption, in being in favour of more energy saving process or insetting a policy of close proximity of supply services…

The Carbon Footprint plan, introduced in2009, will give a detailed account of theoutcome of all their actions. Presently theplan is carried out and will calculate theCarbon Footprint of the site using the me-thod of assessment of products lifecycle.The appraisal report will be published inthe course of 2010.

In recognition of its overall efforts towardenvironmentally friendly business,TORAY received the 2008 Humanitarian

Award from the United Nations Associa-tion.Two concrete developments have beenawarded:• Carbon Fibres have been developed in

order to lighten weight of aircraft of 20 % and will help reduce greenhousegas emissions.

• The implementation of a of water treatment device which will enable toproduce 14 million tons of clean waterevery day and will also support environ-mental stewardship.

Conveyed by the TORAY group, this envi-ronment friendly culture gives a drivingforce to all subsidiaries of the group andmore particularly to TORAY Films Europe.

Carbon Footprint, TFE environmental commitment

Innovation by Chemistry

Energy efficiency

RecycleWater purification

Bio-basedpolymers

New Energy • Weight of aircraft lighten by 20%

• Manufacturing processusing less water and steam

• Local sourcing policy…

• Innovative products : PV backsheet• Optimised manufacturing processes:

polymers and waste recycling.• ECOPOLY project ( Axelera & Plastipolis)

• Water purification system: 14 Millions Tons of cleaned waterper day

• Increases fresh water availbality

Sustainability oriented products: photovoltaic modules, lithium-ion

batteries, capacitor for hybrid vehicles…

Development of new bio-based polymers from sustainable sources:• from oil based material to PLA

(polylactic acid)• DIFEX-BIO project (Plastipolis)

Since June 2009, TFE has been amember of the technology cluster: Tenerrdis Technologies New EnergiesRenewable Energies. This involvementis in line with the Company’s activity onrenewable energies. www.tenerrdis.fr

R&DInnovation targeted toward customers’and market demandsPaying particular attention to its customers and market requirements,TORAY Films Europe is equipped with a prototype line.Made up of several individual pilot plant units, it reproduces in miniature the overall process of film production.“Managing our R & D from within enables us to be more reactive”, specifies Jean-François Mengual, Technical General Manager.As examples of some major innovations by these pilot units and what they achieved…

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Our R & D pilot unit enables testingof the products designed in the laboratory under industrial condi-

tions. They reproduce the films manufac-turing process to the scale of 1/5°.• The polymer computer-generated pilot

unit is used for the adjustment of theraw material: in order to comply with regulations (food safety, environmentawareness for instance), optimize recycling during the process as well asthe end product, make trial tests on renewable resources; they representthe main strategic research of this pilot.

• The coextrusion pilot unit enables us totest new processes for the realization ofmultilayer structures and to test thecompatibility of all polymers.

• The pilot unit for industrial production enables small scale production of filmsamples. Their properties can then betested, for example the resistance tothe ageing process and UV for the filmsdedicated to photovoltaic panels.

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Marketing Lumirror® : Julien Faldysta (julien.faldysta@toray.fr - +33 (0)4 72 88 17 57)Marketing Torayfan® : Chris Voght (chris.voght@toray.fr - +33 (0)4 72 88 17 11)PR agency: Cathy Clément - cathy.clement@gaiacommunication.fr - +33 (0)1 30 82 66 65Toray Films Europe - St Maurice de Beynost - 01708 Miribel CedexTel +33 (0)4 72 88 16 00 - Fax +33 (0)4 72 88 16 60

Editorial Director: Osamu INOUEEditor-in-chief: Bertrand DupeyrouxEditorial Staff: Julien Faldysta, Stéphane Ferrarelli, Gérard Korn, Jean-François Mengual

TORAY NewsLetter October 09#01

� NewsInfluenza A / H1N1: preventive actions and plan of continuity of activityBeing faced with the flu pandemic related to Virus A/H1N1, TORAY FilmsEurope has taken contingency mea-

• The printing and laminating pilot unit isdirected toward the end product. Onone hand it tests the compatible natureof the respective films and on the otherhand, the suitability of the product forend users. In the demanding packagingindustry, properties such as ink adhesion, gloss, roughness, and tear- resistance… are kept under closeattention and are adjusted according tothe destination of the market.

“These pilot units represent a real asset forthe reactivity of our company. We are wellable to meet our customers’ specific requests, be proactive in anticipating tomorrow’s market and specifically tolaunch an industrial range of reliable products in a very short time”, concludedJean-François Mengual.These trials will be used as tests comple-ted for the Plastipolis Cluster whose project aims at developing a reliable andenvironmently friendly plastics industry.

sures on hygiene and safety, as early asMay on this site.These measures were implemented inorder to limit the spread of virus trans-mission and to ensure good protection.In order to anticipate the consequences

Finely designed properties to fullfilmarket demands. Few examples...

Durable polyester films made specifically for theconstruction marketLumirror® XTRM UV

Non-slip properties to helptransportation and storage ofPET food bagsLumirror® 10.42

Coloured white or gold filmsfor the flexible packagingColoured Films :Lumirror® 10.50Lumirror® 10.55Claryl® Gold

High gloss metallised film CLARYL® for luxury packagingClaryl® BL

Resistant and durable films fordecorative purposes or homeappliancesMatt films : Lumirror® 10.93 / 10.91Lumirror® 60.11/ 60.12

of a sudden evolution of the pandemic,as forecast for the fall season, TORAYFilms Europe has devised a continuityplan for all its activities.