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Letter from the President:

Its not easy being green; but we wouldn't have it any other way.

Several years ago, we at Arnco decided that it was time to explore innovative new ways to provide flatproofing solutions. Although our traditional flatproofing polymers based upon patented technology had served the market well, they were based upon petrochemicals, and we could see the trend that would continue to make them more expensive and ultimately less green. So we began an extensive research and development program that included not only our own team of scientists, but local university personnel as well.

Once we had a new technology identified, we had to determine its capabilities across a broad spectrum of end use applications – from aerial lifts, skid steers, front-end loaders, steel mills, scrap yards and the ultimate test, underground mining. Field-testing was begun over three years ago and to date we’re happy to announce that it has been a resounding success. Earlier this year, the product was introduced commercially on a limited basis to get from thousands of pounds to millions of pounds produced and work out the logistics of manufacturing and field processing.

These issues have been resolved satisfactorily and our revolutionary new product ecofil was introduced to Arnco’s dealer network at the MineExpo in Las Vegas last month. The details of our products performance and marketing program can be found on our web site www.arnconet.com and I will not repeat them here. However, it is noteworthy to mention that ecofil replaces 50% of the petrochemicals in its formulation with renewable biobased raw materials providing a substantial cost savings to our customers and end-users. It is a virgin polymer with superior performance to granulated fill products, and it will not support combustion, a key concern in the mining industry. Because we know that the markets need differing deflection rates for certain applications and tires, ecofil is available in soft, medium and hard durometers – ecoflex, ecofil, and ecofil HD respectively. We are excited about this innovative new technology and proud to say that it was developed here in the USA and will create new jobs especially at our plant in Berea, Ohio, an economically hard hit area.

Simply developing a new green product however was not enough. So it was decided by our management team that we would use this as the first step in a company wide green initiative. The following was part of a letter sent to all Arnco employees to announce our green initiative and solicit their help:

“ecofil is not just a product, but also the beginning of a whole new way of thinking “green” at Arnco.   With the input of all employees, it is out intention to implement initiatives on all levels to reduce our carbon footprint and our dependence on oil and petrochemicals.  All departments will be asked to identify ways to cut waste.  We will be aggressive in implanting these changes now before they challenge our ability to exist as a profitable ongoing entity.”

An additional part of a new initiative puts our money and our mouth together as we proudly announced our “one tote, one tree” program in partnership with American Forests (americanforests.org). Simply put, Arnco has committed to plant one tree for every tote of product sold and donate to research on sustainable forest resources. We invite you to join us is this effort to make a safer greener planet for generations to come.

Thanks for your business and loyalty to Arnco.

Sincerely,

Larry Carapellotti

For further information, call 800-821-4147, or visit the newly designed Arnco website at www.arnconet.com