OMNOVA Solutions Reports Third Quarter 2005 Earnings Per Share of $0.03

3%

- Segment operating profit of $9.05 per diluted share for the third quarter of 2005.9
million in lower volumes and $5.7 million related to the Company's decision to
exit its wallcovering distribution joint venture during the first quarter of
2005.2 million to $29. Productivity improved by over 6% year-to-date versus the same
period last year.7 million
offset by approximately $1.3 million for the third quarter of 2004. Year-to-date, sales of
coated fabrics and laminates to marine (up 29%), transportation (up 19%) and
kitchen and bath (up 19%) are partially offsetting declines in residential
furniture , consumer electronics and ready-to-assemble furniture. Set forth below is a reconciliation of these
non-GAAP financial measures to the most directly comparable GAAP financial
measures.3)

Net income (loss) per diluted share $.02 - .9 $100.5
Restructuring and severance - - (.5

Decorative Products (DP)
Operating profit (loss) $- $(.6)

Capital expenditures $2 .7

Costs and Expenses
Cost of goods sold 164.5 421.2 17 .7)

Basic and Diluted Income (Loss) Per Share
Net Income (Loss) Per Share $.03 $(.6
Inventories 41.2 57.5
Other current liabilities 15.9 15.3 12.00 par value; 15 million
shares authorized; none outstanding - -
Common stock - $0.2 4.2)
Treasury stock at cost; 1.7 million shares at August 31, 2005 and
November 30, 2004, respectively (10.

Coatings, Adhesives, Specialty Polymers and Inks - The segment's
fourth-quarter external sales revenue declined by 31 percent,
primarily the result of the divestiture of certain businesses and
product lines in third quarter 2004. Excluding those items for both periods, operating earnings
increased as a continued focus on more profitable businesses and
product lines, increased sales volume and higher selling prices more
than offset higher raw material and energy costs. and for acetate tow in Asia.18 per diluted share for full-year
2004 compared with a loss of $3. EST, Jan.
Headquartered in Kingsport, Tenn.54)
Cumulative effect of changes in
accounting principle, net -- -- -- 0.18 $(3.

agostino wll

com .03 per diluted share, versus a net
loss of $4.2 million in the third quarter
of 2004, driven by 20.1 million
during the quarter due to cost increases in styrene, butadiene, acrylics and
most secondary raw materials. Also included in the
third quarter of 2005 were restructuring and severance charges of
$0. EDT on
September 27, 2005.03 $(.7

Performance Chemicals (PC)
Operating profit $9.5
Work stoppage - - (1.3) (5.5)
Corporate expense (2.6) (7.6 - 5.4
205.0
Total Assets $411.5

Long-term debt 187.7 3.0) (256.4) (11.3
Total Shareholders' Equity 44 . For reconciliation to reported earnings, see Table 8 in the
accompanying fourth-quarter and full -year 2004 financial tables.
Fourth-quarter 2004 operating earnings for Eastman Division were
$28 million compared with operating earnings of $16 million in fourth
quarter 2003.
Voridian Division 's fourth-quarter 2004 external sales revenue
increased by 32 percent due to higher selling prices and increased
sales volume. Operating earnings increased year-over-year due
primarily to increased sales volume, higher selling prices and cost
reduction efforts that more than offset higher raw material and energy
costs. Excluding those
items for both periods, operating earnings increased as a continued
focus on more profitable businesses and product lines, increased sales
volume, cost reduction efforts and higher selling prices more than
offset higher raw material and energy costs. Excluding those items for both
periods, operating earnings declined slightly as increased sales
volume, higher selling prices and cost reduction efforts were offset
by higher raw material and energy costs . In addition, 2003 operating
earnings included a $14 million gain from an insurance settlement
related to operational disruptions in 2002.69 $0.2 77.

Fourth Quarter Twelve Months
(Dollars in millions) 2004 2003 2004 2003
------- ------- ------- -------

Sales by Region - External Sales
United States and Canada $939 $797 $3,723 $3,302
Europe , Middle East, and Africa 330 335 1,467 1,368
Asia Pacific 223 165 785 643
Latin America 166 137 605 487
------- ------- ------- -------
$1,658 $1,434 $6,580 $5,800
------- -- ----- ------- -------

TABLE 3 - OPERATING EARNINGS (LOSS), ASSET IMPAIRMENTS AND
RESTRUCTURING CHARGES AND OTHER OPERATING INCOME

Fourth Twelve
Quarter Months
(Dollars in millions ) 2004 2003(b) 2004 2003(b)
--- -- ------- ----- -------

Operating Earnings (Loss) by Segment and
Certain Items
Eastman Division Segments
Coatings, Adhesives, Specialty
Polymers, and Inks
Operating earnings (loss) $23 $17 $67 $(402)
Asset impairments and restructuring
charges 2 7 81 462
Other operating (income)/expense -- (13) -- (13)

Performance Chemicals and Intermediates
Operating earnings (loss) 6 (11) 16 (45)
Asset impairments and restructuring
charges 1 -- 38 57

Specialty Plastics
Operating earnings (1) 10 13 63
Asset impairments and restructuring
charges -- -- 53 1
Other operating (income) -- -- -- (20)

----- ------- ----- -------
Total operating earnings (loss) $28 $16 $96 $(384)
Total asset impairments and
restructuring charges $3 $7 $172 $520
Total other operating (income)/expense $-- $(13) $-- $(33)

Voridian Division Segments
Polymers
Operating earnings $14 $6 $25 $62
Asset impairments and restructuring
charges -- 1 13 2

Fibers
Operating earnings 36 30 146 125
Asset impairments and restructuring
charges -- 1 -- 1

----- ------- ----- -------
Total operating earnings $50 $36 $171 $187
Total asset impairments and
restructuring charges $-- $2 $13 $3

Developing Business Division Segment
Developing Businesses
Operating loss $(26) $(13) $(86 ) $(65)
Asset impairments and restructuring
charges 15 -- 21 --
Other operating (income) (7) -- (7) --

----- ------- ----- -------
Total operating loss $(26) $(13) $(86) $(65)
Total asset impairments and
restructuring charges $15 $-- $21 $--
Total other operating (income) (7) -- (7) --

Eliminations to operating earnings $(6) $-- $(6) $(5)
----- ------- ----- -------

Total Eastman Chemical Company
Total operating earnings (loss) $46 $39 $175 $(267)
Total asset impairments and
restructuring charges $18 $9 $206 $523
Total other operating income $(7) $(13) $(7) $(33)

(b) Operating earnings for 2003 have been realigned to reflect certain
product movements between the CASPI and PCI segments effective in
the first quarter 2004.69
========== ============ ============

Fourth Quarter 2003
------------------------------------
Net earnings
Operating per diluted
(Dollars in millions) Earnings Net Earnings share
---------- ------------ ------------

As reported $39 $10 $0.82
========== ============ ============

Twelve Months, 2003
------------------------------------
Net earnings
Operating per diluted
(Dollars in millions) Earnings Net Earnings share
------ ---- ------------ ------------

As reported $(267) $(270) $(3.

agostino apri

Segment operating profit was $9. OMNOVA's wallcovering business won significant new hospitality
business and the Company's Asian joint venture operations were profitable in
the third quarter of 2005 in comparison to an operating loss in the third
quarter of 2004.1% compared to $35.6 million for the third quarter of 2005, as
compared to operating profit of $0. The live
audio event will be hosted by OMNOVA Solutions' Chairman and Chief Executive
Officer, Kevin McMullen. Specifically , the net income (loss) and net income (loss) per
diluted share excluding restructuring and severance costs (excluded items) are
non-GAAP financial measures.0
Total Sales $207.6 $.9 $13.omnova.7
Prepaid expenses and other 3.com/cgi-bin/mmg. Fourth-quarter 2003 results included asset
impairments and restructuring charges of $9 million and other
operating income of $13 million. Excluding those charges for both
periods , operating earnings declined as increased sales volume and
higher selling prices were more than offset by higher raw material and
energy costs.

This category lists consultancies to the textile and nonwovens industries only.

mc2 apri

- Net sales increased 2. Inventories declined by over $5 million as compared to the
second quarter due to aggressive working capital management. Also, workforce reductions during the last twelve months
have totaled over 200 positions, or a decline of over 15%.9 $24. OMNOVA is
an innovator of emulsion polymers, specialty chemicals, decorative and
functional surfaces , and single-ply roofing systems for a variety of
commercial, industrial and residential end uses .3 $604.7
Other liabilities 14.8
Total Liabilities and Shareholders' Equity $411.
Fourth-quarter 2003 results included sales revenue from restructured ,
divested and consolidated product lines in the CASPI segment. Excluding sales from the restructured , divested and
consolidated product lines in the CASPI segment for both periods,
sales revenue and sales volume increased by 21 percent and 11 percent
respectively in 2004 compared with 2003.

For
reconciliation to reported sales revenue, see Table 4b in the
accompanying fourth-quarter and full-year 2004 financial tables.
28 at 8:00 a.m.20 $(3.

TABLE 2 - OTHER SALES INFORMATION (Continued)

Twelve Months, 2004
(Dollars in millions ) External Interdivisional Total
Sales Sales Sales
-------- --------------- -------
Sales by Division and Segment
Eastman Division
Coatings, Adhesives, Specialty
Polymers, and Inks $1,554 $1 $1,555
Performance Chemicals and
Intermediates 1,347 583 1,930
Specialty Plastics 644 51 695
-------- --------------- -------
Total Eastman Division 3,545 635 4,180
-------- --------------- -------

Voridian Division
Polymers 2,183 69 2,252
Fibers 731 88 819
-------- --------------- -------
Total Voridian Division 2,914 157 3,071
- ------- --------------- -------

Developing Businesses Division
Developing Businesses 121 424 545
-------- ------ --------- -------
Total Developing Businesses
Division 121 424 545
-------- --------------- ----- --

Total Eastman Chemical Company $6,580 $1,216 $7,796
======== =============== =======

Twelve Months, 2003(a)
External Interdivisional Total
Sales Sales Sales
-------- --------------- -------
Sales by Division and Segment
Eastman Division
Coatings, Adhesives, Specialty
Polymers, and Inks $1,683 $-- $1,683
Performance Chemicals and
Intermediates 1,098 495 1,593
Specialty Plastics 559 49 608
-------- --------------- -------
Total Eastman Division 3 ,340 544 3,884
-------- --------------- ----- --

Voridian Division
Polymers 1,756 68 1,824
Fibers 635 80 715
-------- --------------- -------
Total Voridian Division 2,391 148 2,539
-------- --------------- -------

Developing Businesses Division
Developing Businesses 69 396 465
-------- --------------- -------
Total Developing Businesses
Division 69 396 465
-------- --------------- -------

Total Eastman Chemical Company $5,800 $1,088 $6,888
======== =============== =======

(a) Sales revenues for 2003 have been realigned to reflect certain
product movements between the CASPI and PCI segments effective in
the first quarter 2004.18

Certain Items:
Asset impairments and
restructuring charges 206 151 1.

ferber parisi

Gross profit decreased to $42.5% of net sales, in the third quarter of 2004 due to lower
employee headcount, improved cost control and the elimination of expenses from
the wallcovering distribution joint venture.8% as compared to 2.5 million versus the second quarter of 2005 due to aggressive LEAN
SixSigma projects.10) $.4 67.3 $551.2) (.6 206.6)
Income tax expense - - - .1
Net Income (Loss) $1.8 $432.4 50.
Included in the results for fourth quarter 2004 were asset
impairments and restructuring charges of $18 million and other
operating income of $7 million from the previously announced sale of
Ariel Research Corporation.S. Important
factors that could cause actual results to differ materially from such
expectations are and will be detailed in the company's filings with
the Securities and Exchange Commission, including the Form 10-Q filed
for third quarter 2004 and the Form 10-K to be filed for full-year
2004, available on the Eastman web site at www.68 $0.

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Polymer Group Inc. Canada Partners with Fabric Dyer and Finisher

The strategic agreement with Colorama enables PGI Difco to continue to
offer customers high-quality flame-resistant (FR) products as well as its
woven cotton and polyester/cotton products, and broaden its product portfolio
through a dedicated, responsive, cost-competitive dyeing and finishing
partner."
The partnership has already resulted in PGI Difco expanding its product
portfolio to offer knitted sheared fleece FR fabrics for use in garments worn
by electricians and utility line workers.
Polymer Group, Inc., one of the world's leading producers of nonwovens, is
a global, technology-driven developer , producer and marketer of engineered
materials.K.4 million
to $164.3 million for the third quarter of 2005
as compared to $5. As compared to last year, raw material costs were up $13.
During the quarter, volumes in paper continued to be negatively impacted
by a strike at a major customer plant which was finally settled in August.0 million in the third quarter of 2004, but
an increase of 1. Strong growth in
thermoplastic polyolefin (TPO) and increased pricing across all roofing
systems were offset by weaker volumes in polyvinyl chloride (PVC) membrane
systems, and polyisocyanurate (ISO) insulation.

Earnings Conference Call - OMNOVA Solutions has scheduled its Earnings
Conference Call for Tuesday, September 20, 2005, at 11:00 a.

Three Months Ended Nine Months Ended
August 31, August 31,
Dollars in millions, except
per share data 2005 2004 2005 2004

Net income (loss) $1.7 -
Restructuring and severance .4 83.3 $2.com

OMNOVA SOLUTIONS INC.2
Interest expense 5.5 $15.6 166.1 $.5
Postretirement benefits other than pensions 47.9
Retained deficit (262.66 billion, a 16
percent increase over fourth quarter 2003. In 2004, raw material and
energy costs increased by approximately $600 million compared with
full-year 2003 raw material and energy costs.

Coatings, Adhesives, Specialty Polymers and Inks - External sales
revenue declined by 8 percent primarily due to lower sales volume.

Cash Flow

Eastman generated $494 million in cash from operations in 2004
versus $244 million in 2003.69 $0.04
------- ------- ------- -------
Net earnings (loss) per share $0.04)
---------- ------------ ---- --------
Excluding certain items $223 $83 $1.

convergence residues

(OTC Bulletin Board: POLGA; POLGB) Canada's Difco business is partnering
with an Ontario-based fabric dyer and finisher to provide customers the latest
technology, expanded capacity and new protective fabrics. "Together our
companies bring customers nearly 150 years of expertise. With the broadest range of process technologies in the nonwovens
industry, PGI is a global supplier to leading consumer and industrial product
manufacturers .6
million primarily related to workforce reductions at the Company's U.1
million in the third quarter of 2005 as compared to $42.7% to $118.9 million versus $100. Sales related to a
wallcovering distribution joint venture, which the Company exited in early
2005, were $5.7 million in the third quarter of 2004. Excluding these sales,
Decorative Products' sales declined 4.9% from the third quarter of 2004.
Operating profit was negatively impacted by higher raw material and purchased
product costs, lower PVC and ISO volumes, and higher manufacturing costs which
were partially offset by pricing actions and lower warranty expense.9 .23)

Number of diluted shares outstanding 40 .5 479.7 17.2
Restructuring and severance .24)

OMNOVA SOLUTIONS INC.3
Other assets 19.6 96.cgi?eid=4809467

KINGSPORT, Tenn.68 per diluted share
for fourth quarter 2004 versus earnings of $0. Fourth-quarter 2003 sales revenue included sales revenue
from restructured, divested and consolidated product lines in the
coatings, adhesives, specialty polymers and inks (CASPI) segment .
Excluding sales from those product lines for fourth quarter 2003, the
division's sales revenue increased by 30 percent and sales volume
increased by 20 percent. For reconciliation to reported sales revenue,
see Table 4b in the accompanying fourth-quarter and full-year 2004
financial tables .
Excluding those items for both periods, operating earnings increased
as a continued focus on more profitable businesses and product lines,
increased sales volume, higher selling prices and cost reduction
efforts more than offset higher raw material and energy costs. For reconciliation to reported
results, see Table 8 in the accompanying fourth-quarter and full-year
2004 financial tables. Full -year
2004 operating earnings included asset impairments and restructuring
charges of $206 million and other operating income of $7 million. In addition, 2003 operating earnings included a $14
million gain from an insurance settlement related to previously
announced operational disruptions. The non -cash asset impairments
related to the adjustment to fair value of assets at Cendian
Corporation , impacting the Developing Businesses segment, as a result
of a recent decision to shut down Cendian logistics activities.

TABLE 4a- EASTMAN CHEMICAL COMPANY DETAIL OF SALES REVENUE

First Second Third Fourth Twelve
Quarter Quarter Quarter Quarter Months
(Dollars in millions) 2004 2004 2004 2004 2004
-------- -------- -------- -------- -------

Sales Revenue $1,597 $1,676 $1,649 $1,658 $6,580
Less: CASPI restructured,
divested , and
consolidated product
lines (1) 174 193 74 -- 441
-------- -------- -------- -------- -------
Sales revenue -
continuing product
lines $1,423 $1,483 $1,575 $1,658 $6,139

First Second Third Fourth Twelve
Quarter Quarter Quarter Quarter Months
(Dollars in millions) 2003 2003 2003 2003 2003
-------- -------- -------- -------- -------

Sales Revenue $1,441 $1,481 $1,444 $1,434 $5,800
Less: CASPI restructured,
divested , and
consolidated product
lines (1) 174 190 185 170 719
-------- -------- -------- -------- -------
Sales revenue -
continuing product
lines $1,267 $1,291 $1,259 $1,264 $5,081

TABLE 4b- EASTMAN DIVISION DETAIL OF SALES REVENUE

First Second Third Fourth Twelve
Quarter Quarter Quarter Quarter Months
(Dollars in millions) 2004 2004 2004 2004 2004
-------- -------- -------- -------- -------

Sales Revenue $886 $943 $892 $824 $3,545
Less: CASPI
divested/consolidated
product lines (1) 174 193 74 -- 441
-------- -------- ----- --- -------- -------
Sales revenue -
continuing product
lines $712 $750 $818 $824 $3,104

First Second Third Fourth Twelve
Quarter Quarter Quarter Quarter Months
(Dollars in millions) 2003 2003 2003 2003 2003
-------- -------- -------- -------- -------

Sales Revenue $852 $865 $818 $805 $3,340
Less: CASPI
divested/consolidated
product lines (1) 174 190 185 170 719
-------- -------- -------- -------- -------
Sales revenue -
continuing product
lines $678 $675 $633 $635 $2,621

(1) These businesses and product lines include acrylate ester
monomers , composites (unsaturated polyester resins), inks and
graphic arts raw materials, liquid resins , powder resins and
textile chemicals divested on July 31, 2004 as well as other
restructuring , divestiture and consolidation activities that the
Company has completed related to these businesses and product
lines.

TABLE 6 - SALES REVENUE CHANGE - EXTERNAL SALES

Fourth Quarter, 2004 Compared to
Fourth Quarter, 2003
----------------------------------------
Change in External Sales Revenue
Due To
--------------------------------
Product Exchange
Revenue Volume Price Mix Rate
% Change Effect Effect Effect Effect
-------- ------- ------- ------- --------

Eastman Division
Coatings, Adhesives,
Specialty Polymers,
and Inks (31) % (36) % 6 % (2) % 1 %
Performance Chemicals and
Intermediates 47 % 28 % 19 % (1) % 1 %
Specialty Plastics 19 % 15 % 2 % -- % 2 %
------- ------- ------- ------- --------
Total Eastman Division 2 % (7) % 9 % (1) % 1 %
======= ======= ======= ======= ========

Voridian Division
Polymers 36 % 4 % 28 % 1 % 3 %
Fibers 21 % 10 % -- % 10 % 1 %
------- ------- ------- ------- --------
Total Voridian Division 32 % 6 % 21 % 3 % 2 %
======= ======= ======= ======= ========

Developing Businesses
Division
Developing Businesses 49 % -- % -- % 49 % -- %
------- ------- ------- ------- --------
Total Developing
Businesses Division 49 % -- % -- % 49 % -- %
======= ======= ======= ======= ========

Total Eastman Chemical
Company 16 % (1) % 14 % 1 % 2 %
======= ======= ======= ======= ========

Twelve Months, 2004 Compared to
Twelve Months, 2003
----------------------------------------
Change in External Sales Revenue
Due To
--------------------------------
Product Exchange
Revenue Volume Price Mix Rate
% Change Effect Effect Effect Effect
-------- ------- ------- ------- --------

Eastman Division
Coatings, Adhesives ,
Specialty Polymers,
and Inks (8) % (11) % 2 % (1) % 2 %
Performance Chemicals and
Intermediates 23 % 12 % 11 % (1) % 1 %
Specialty Plastics 15 % 12 % 1 % -- % 2 %
------- ------- ------- ------- --------
Total Eastman Division 6 % -- % 5 % (1) % 2 %
======= ======= ======= ======= ========

Voridian Division
Polymers 24 % 9 % 12 % -- % 3 %
Fibers 15 % 13 % (2) % 3 % 1 %
------- ------- ------- ------- --------
Total Voridian Division 22 % 10 % 8 % 1 % 3 %
======= ======= ======= ======= ========

Developing Businesses
Division
Developing Businesses 74 % -- % -- % 74 % -- %
------- ------- ------- ------- --------
Total Developing
Businesses Division 74 % -- % -- % 74 % -- %
======= ======= ======= ======= ========

Total Eastman Chemical
Company 13 % 4 % 6 % 1 % 2 %
======= ======= ======= ======= ========

TABLE 7 - PERCENTAGE GROWTH IN SALES VOLUME

Fourth Quarter, 2004 Compared to
Fourth Quarter , 2003
----------------------------------------
Total
External Interdivisional Including
Volume Volume Interdivisional
-------- --------------- ---------------

Eastman Division
Coatings , Adhesives,
Specialty Polymers, and
Inks (34) % -- % (34) %
Performance Chemicals and
Intermediates 27 % (2) % 15 %
Specialty Plastics 16 % 5 % 14 %
-------- --------------- ---------------
Total Eastman Division (2) % (1) % (2) %
======== =============== ===============

Voridian Division
Polymers 4 % 21 % 5 %
Fibers 9 % 10 % 10 %
-------- --------------- ---------------
Total Voridian
Division 5 % 12 % 6 %
======== =============== ===============

Developing Businesses
Division
Developing Businesses -- % -- % -- %
-------- --------------- ------- --------
Total Developing
Businesses Division -- % -- % -- %
======== =============== ===============

Total Eastman Chemical
Company 1 %
========

Regional sales volume growth
United States and Canada 7 %
Europe, Middle East , and
Africa (20) %
Asia Pacific 12 %
Latin America (8) %

TABLE 7 - PERCENTAGE GROWTH IN SALES VOLUME (Continued)

Twelve Months, 2004 Compared to
Twelve Months, 2003
---------------------------------- ------
Total
External Interdivisional Including
Volume Volume Interdivisional
-------- ---------------- ---------------

Eastman Division
Coatings, Adhesives,
Specialty Polymers, and
Inks (10) % greater than 100% (10) %
Performance Chemicals and
Intermediates 12 % 5 % 9 %
Specialty Plastics 12 % (3) % 10 %
-------- ---------------- ---------------
Total Eastman Division 2 % 5 % 3 %
======== ================ ===============

Voridian Division
Polymers 9 % (11) % 8 %
Fibers 13 % 10 % 11 %
-------- ---------------- ---------------
Total Voridian
Division 10 % 6 % 9 %
======== ================ ===============

Developing Businesses
Division
Developing Businesses -- % -- % -- %
-------- ---------------- ---------------
Total Developing
Businesses Division -- % -- % -- %
======== ================ ===============

Total Eastman Chemical
Company 5 %
========

Regional sales volume growth
United States and Canada 7 %
Europe , Middle East, and
Africa (4) %
Asia Pacific 7 %
Latin America 12 %

TABLE 8 - OPERATING EARNINGS, NET EARNINGS, AND EARNINGS PER SHARE
RECONCILIATION

OPERATING EARNINGS, NET EARNINGS, AND NET EARNINGS PER DILUTED SHARE

Fourth Quarter 2004
------------------------------------
Net earnings
Operating per diluted
(Dollars in millions) Earnings Net Earnings share
--- ------- ------------ ------------

As reported $46 $54 $0.

wll formulae

"Difco's technical expertise in finishing FR materials combined with
Colorama's deep knowledge of dyeing and recent investments in new equipment
will bring greater service and added value to our customers," said Bill
Spencer, Vice President and General Manager, PGI Canada.
PGI Difco, based in Magog, Canada, provides high-performance woven
products for industrial, automotive and filtration applications, and FR
apparel and turnout gear used by firefighters, military personnel , utility
workers, and petrochemical and other industries. Important factors that could cause actual results to
differ materially from those discussed in such forward-looking statements
include: general economic factors including, but not limited to, changes in
interest rates, foreign currency translation rates, consumer confidence,
trends in disposable income, changes in consumer demand for goods produced,
and cyclical or other downturns; substantial debt levels and potential
inability to maintain sufficient liquidity to finance the company's operations
and make necessary capital expenditures; inability to meet existing debt
covenants; information and technological advances; changes in environmental
laws and regulations; cost and availability of raw materials, labor and
natural and other resources and the inability to pass raw material cost
increases along to customers; domestic and foreign competition; reliance on
major customers and suppliers; and risks related to operations in foreign
jurisdictions .05 per diluted share

FAIRLAWN, Ohio, OMNOVA Solutions Inc.0 million for the third
quarter of 2005 as compared to $202.0%, partially offset by $15.
Segment operating profit was $0. It is anticipated to be approximately one hour in
length and may be accessed by the public from the Company 's website
(http://www.01)
Net income (loss) per diluted share
before excluded items (net of tax) $. The following is a reconciliation of
segment sales to consolidated sales and segment operating profit to
consolidated profit (loss) before taxes.5 $9.3 $2.9 $23.7 $.1 ) (15.9) $(9.1
Deferred income taxes 3.

Eastman Announces Fourth -Quarter Year-End 2004 Financial Results

For additional information, see
"Asset Impairments and Restructuring Charges and Net Deferred Tax
Benefits" below.

"Our full-year 2004 results clearly demonstrate the significant
progress we have made improving the company's profitability," said
Brian Ferguson, chairman and CEO.
In fourth quarter 2004, raw material and energy costs increased by
approximately $250 million compared with fourth quarter 2003 raw
material and energy costs., site's specialty polymers facilities.
Fibers - External sales revenue increased by 21 percent as a
result of improved product mix and increased sales volume. Excluding the items
described in the following paragraph for both periods, earnings per
diluted share for full year 2004 were $2. In 2004,
operating earnings included asset impairments and restructuring
charges of $81 million, while 2003 results included asset impairments
and restructuring charges of $428 million, goodwill impairments of $34
million and other operating income of $13 million. Operating earnings in 2004 included asset
impairments and restructuring charges of $53 million, while 2003
operating earnings included asset impairments and restructuring
charges of $1 million and other operating income of $20 million.1 77.3 77.13)
---------- ------------ ------------
Excluding certain items $57 $54 $0.15)
---------- ------------ ------------
Excluding certain items $374 $220 $2.26)
Cumulative effect of a change
in accounting principle (3) (0.

apri acrylonitrile

2 million, or $0. Additionally,
OMNOVA and the local union at the Mogadore, Ohio manufacturing facility agreed
to a new four-year contract on June 2, 2005 that enhances the segment's
competitive position.
During the quarter, as compared to last year, wallcovering margins
improved in North America and operating losses in Europe were significantly
narrowed.7% from the second quarter of 2005.2) $1.04 $(.

Three Months Ended Nine Months Ended
August 31, August 31,
Dollars in millions 2005 2004 2005 2004

Performance Chemicals $118.7) -
PC segment operating profit $9.4 $(4.3 $551.2 35.4 91.2) (5. The year -over-year improvement was attributed primarily
to a continued focus on more profitable businesses and product lines,
cost reduction efforts, higher selling prices and higher sales volume. Sales revenue for continuing
product lines in the segment increased by 18 percent, primarily
attributed to an increase in sales volume of 10 percent and higher
selling prices.
Specialty Plastics - External sales revenue increased by 19
percent, attributed primarily to higher sales volume. Operating earnings increased primarily
as a result of the increased sales volume.
During fourth quarter 2004, Eastman also completed the previously
announced sale of Ariel Corporation that resulted in a pretax gain of
$7 million. Contributions to the company's U.eastman. A telephone replay will be available
continuously from 11:00 a.04
------- ------- ------- -------
Net earnings (loss) per share $0.50)
======= ======= ======= =======

Diluted
Before cumulative effect of
changes in accounting principle $0.4 79.1 77.com/cgi-bin/mmg.

agostino convergence

Investors and other readers are directed to consider the risks
and uncertainties discussed in documents filed by Polymer Group, Inc.2 million,
or a loss of $0.
Selling, general and administrative costs decreased $6.4 million, down $10. Our facilities were not damaged and are back in
operation.6 million.m.2) $(5.8 $9. Forward-looking statements address the Company's business, results of
operations, financial condition, significant accounting policies and
management judgments, among other things, and include statements based on
current expectations, estimates, forecasts and projections.4 $(4.3 104.0
Accrued interest 4.5 million and
1.13 per diluted share for
fourth quarter 2003. Included in the results for fourth quarter 2004
was an income tax benefit of $26 million resulting primarily from the
favorable resolution of a prior year's capital loss carryback refund
claim . The increase in sales
revenue was attributed primarily to higher selling prices, especially
in the polymers and the performance chemicals and intermediates
segments. Full-year 2003 results
included asset impairments and restructuring charges of $489 million
($342 million, net of tax), goodwill impairments of $34 million ($34
million, net of tax), other operating income of $33 million ($20
million, net of tax) and the cumulative effect of a change in
accounting principle of $3 million ($3 million, net of tax). The
division's 2004 operating earnings were $96 million compared with an
operating loss of $384 million in 2003. The increased sales volume for continuing products was due
primarily to improved end-market demand attributable to strong
economic growth and the marketing of new applications for existing
products.

Developing Businesses Division's external sales revenue for 2004
was $121 million compared with $69 million for 2003.

Outlook

Commenting on the outlook for first quarter 2005, Ferguson said:
"We expect sales volume to remain strong throughout the company, but
we also anticipate that key raw material and energy costs will
escalate during the quarter. 4,
2005, at 888-203-1112, passcode number 409787., Eastman manufactures and
markets chemicals, fibers and plastics worldwide.
To learn more about Eastman and its products, visit www .

thiele agostino

Excluding these charges, the Company generated net income of
$0. The Company's total debt at the end of the
third quarter of 2005 was $187."

Performance Chemicals - Net sales during the third quarter of 2005
increased 18.3 million for the
third quarter of 2005 as compared to $2. EDT .

Non-GAAP and Other Financial Measures - This earnings release includes
non-GAAP financial measures, as defined by the Securities and Exchange
Commission.7
Building Products 29.3) $.7) -
Restructuring and severance (.3 $8 .1

This earnings release contains statements concerning trends and other
forward-looking information affecting or relating to the Company and its
industries.

Consolidated Statements of Operations
(Dollars in Millions, Except Per Share Data)
(Unaudited)

Three Months Ended Nine Months Ended
August 31, August 31,
2005 2004 2005 2004

Net Sales $207.5 610.4 (4.5

LIABILITIES AND SHAREHOLDERS' EQUITY:
Current Liabilities
Current portion of long-term debt $.
Excluding sales from those product lines for fourth quarter 2003,
year-over-year sales revenue increased by 31 percent and sales volume
increased by 12 percent. The
improved product mix resulted primarily from increased sales volume
for acetyl chemicals in the U.
Specialty Plastics - External sales revenue increased 15 percent,
mainly resulting from higher sales volume. As a result, we expect first -quarter 2005
earnings per share to be similar to the current First Call mean
estimate of $0.m .20 $(3.1

TABLE 2 - OTHER SALES INFORMATION
Fourth Quarter, 2004
(Dollars in millions) External Interdivisional Total
Sales Sales Sales
--------- --------------- -------
Sales by Division and Segment
Eastman Division
Coatings, Adhesives, Specialty
Polymers, and Inks $282 $1 $283
Performance Chemicals and
Intermediates 373 155 528
Specialty Plastics 169 11 180
--------- --------------- -------
Total Eastman Division 824 167 991
--------- --------------- ----- --

Voridian Division
Polymers 611 19 630
Fibers 194 22 216
--------- --------------- -------
Total Voridian Division 805 41 846
--------- --------------- -------

Developing Businesses Division
Developing Businesses 29 98 127
--------- --------------- -------
Total Developing Businesses
Division 29 98 127
--------- --------------- -------

Total Eastman Chemical Company $1,658 $306 $1,964
========= =============== =======

Fourth Quarter, 2003(a)
External Interdivisional Total
Sales Sales Sales
--------- --------------- -------
Sales by Division and Segment
Eastman Division
Coatings, Adhesives, Specialty
Polymers, and Inks $409 $-- $409
Performance Chemicals and
Intermediates 254 135 389
Specialty Plastics 142 9 151
--------- --------------- -------
Total Eastman Division 805 144 949
--------- --------------- -------

Voridian Division
Polymers 450 14 464
Fibers 160 20 180
--------- --------------- -------
Total Voridian Division 610 34 644
-- ------- --------------- -------

Developing Businesses Division
Developing Businesses 19 100 119
--------- ------ --------- -------
Total Developing Businesses
Division 19 100 119
--------- --------------- ----- --

Total Eastman Chemical Company $1,434 $278 $1,712
========= =============== =======

(a) Sales revenues for 2003 have been realigned to reflect certain
product movements between the CASPI and PCI segments effective in
the first quarter 2004.

residues catalyzing

10 per diluted share, for the third quarter of 2004. The improved results were driven by aggressive cost reductions and
increased pricing.7 million during the third quarter of 2005, a
decrease of 15. Lead times and extreme
pricing volatility in the ISO industry contributed to the weaker volumes in
the membrane systems during the first two months of the quarter.9) $(9.6 - 5.7 35.4)
DP segment operating (loss) profit $(.5
Other (income ) expense, net (.2 561.0
Accounts receivable, net 109.7 3.2
Additional contributed capital 311.08
Net cash provided by operating
activities $ 193 $ 198 $ 494 $ 244

(a) For reconciliation to reported sales revenue and earnings per
diluted share, see Tables 4a and 8 respectively in the accompanying
fourth-quarter and full-year 2004 financial tables. The increased selling prices
were mainly the result of efforts to offset rapidly increasing raw
material and energy costs, particularly paraxylene and ethylene
glycol. Operating earnings for the segment were $67 million in 2004
compared with an operating loss of $402 million in 2003. The higher sales volume was
attributed primarily to strong demand for products in both new and
existing applications. Operating results
for 2004 included asset impairments and restructuring charges of $21
million primarily due to the previously announced restructuring of
Cendian Corporation and other operating income of $7 million from the
previously announced sale of Ariel Research Corporation.50)

Certain Items:
Asset impairments and
restructuring charges 523 376 4.

arbitrators catalyzing

C.8 million in 2004.2
million, or 14. "Although volumes were weak in the month of July, as many
customers took extended downtime to adjust inventories, volumes improved in
August.9% for the
same period last year but still below the Company's targeted reinvestment
levels.4 million during the third
quarter of 2005, a decrease of $8.com).9M 40.2M 40.2) $(5.6
Deferred income taxes 3.0 48.10 par value; 135 million
shares authorized; 42.1 million and 40.businesswire.----Eastman Chemical
Company (NYSE:EMN) today announced earnings of $0.

Division and Segment Results 4th Quarter 2004 versus 4th Quarter
2003

Eastman Division's fourth-quarter 2004 external sales revenue
increased by 2 percent compared with fourth quarter 2003 as a result
of higher selling prices that offset lower sales volume. Operating earnings increased as higher selling prices, cost
reduction efforts and improved conditions in the polyethylene market
more than offset higher raw material and energy costs.

Corporate Full-Year 2004 versus Full-Year 2003

Eastman reported earnings of $2. Excluding those
items for both periods, operating earnings improved as an increased
focus on more profitable businesses and product lines, increased sales
volume, higher selling prices and cost reduction efforts more than
offset higher raw material and energy costs.

com

Forward Looking Statements: This news release includes
forward-looking statements concerning current expectations for future
economic and business conditions; raw material and energy costs;
company strategies, actions and efforts to control and reduce costs
and to increase overall selling prices and improve financial
performance; and overall selling prices, sales volume, raw material
and energy costs, and earnings for first quarter 2005.

ultrasonics acrylonitrile

These protective garments are
designed to offer protection against electrical arcs, a growing area in FR
apparel, to meet National Fire Protection Association (NFPA) 70E regulations.

Safe Harbor Statement
Except for historical information contained herein, the matters set forth
in this press release are forward-looking statements that involve certain
risks and uncertainties that could cause actual results to differ materially
from those described in the forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934.4 million, or $0.
Net sales increased 2.2 million for the same period a year ago, due primarily to
higher average borrowing rates."
"Looking to the fourth quarter, Hurricane Katrina has resulted in
uncertainty regarding energy prices and general availability of petrochemical-
based raw materials. We believe , however, that through the hard work of our
employees and key strategic suppliers, we are well prepared to meet our
customer needs as the Gulf Coast region begins its rebuilding process. Included in
the third quarter 2005 results were higher raw material costs of $1.m.7 $(9.8 196.10) $(.6 million and 42.
Sales revenue for fourth quarter 2004 was $1. The increase in sales volume resulted primarily from
strong demand in end-markets, including the building and construction,
and nonwoven markets .50 per diluted share for full-year
2003.6 billion, a 13
percent increase compared with full-year 2003.m.eastman.14
Other operating income (7) (11) (0.08
========== ============ ============

TABLE 9 - STATEMENTS OF CASH FLOWS
Twelve
Months
(Dollars in millions) 2004 2003
----- ------

Cash flows from operating activities
Net earnings (loss) $170 $(270)
----- ------

Adjustments to reconcile net earnings (loss) to net cash
provided by operating activities:
Depreciation and amortization 322 367
Cumulative effect of changes in accounting principles,
net -- (3)
Asset impairments 141 500
Gain on sales of assets (8) (33)
Provision (benefit) for deferred income taxes (136) (140)
Changes in operating assets and liabilities, net of
divestitures:
Increase in receivables (133) (46)
Decrease in inventories 18 41
Increase (decrease) in trade payables 49 (2)
Increase (decrease ) in liabilities for employee benefits
and incentive pay 67 (214)
Other items, net 4 44
----- ------

Net cash provided by operating activities 494 244
-- --- ------

Cash flows from investing activities
Additions to properties and equipment (248) (230)
Proceeds from sale of assets, net of cash acquired 127 71
Additions to capitalized software (14) (15)
Acquisitions, net of cash acquired (4) --
Other items, net (9) 14
----- ------

Net cash used in investing activities (148) (160)
----- ------

Cash flows from financing activities
Net (decrease ) in commercial paper, credit facility and
other short-term borrowings (19) 39
Proceeds from long-term borrowings -- 495
Repayment of borrowings (500) (5)
Dividends paid to stockholders (137) (136)
Proceeds from stock option exercises 77 --
Other items -- 4
----- ------

Net cash provided by (used in) financing activities (579) 397
----- ------

Net change in cash and cash equivalents (233) 481

Cash and cash equivalents at beginning of period 558 77
----- ------

Cash and cash equivalents at end of period $325 $558
===== ======

TABLE 10 - SELECTED BALANCE SHEET ITEMS
December 31, December 31,
(Dollars in millions) 2004 2003
------------ ------------

Current Assets $1,776 $2,010

Net Properties 3,191 3,419

Other Assets 948 815
------------ ------------

Total Assets $5,915 $6,244
============ ============

Payables and Other Current Liabilities $1,125 $973

Short-term Borrowings 1 504

Long-term Borrowings 2,061 2,089

Other Liabilities 1,537 1,635

Stockholders ' Equity 1,191 1,043
------------ ------------

Total Liabilities and Stockholders'
Equity $5,915 $6,244
============ ============

MULTIMEDIA AVAILABLE:
http://www.

parisi agostino

PGI Difco provides customers latest technology and new FR products

NORTH CHARLESTON, S. These forward-looking statements speak only as of the
date of this release. with the
Securities and Exchange Commission, including the company's 2004 Annual Report
on Form 10-K. Included
in the third quarter of 2005 were restructuring and severance charges of $0. Total Company employment year-
to-date has declined 10.0%, or approximately 200 positions, to 1,800
employees. We
also expect to be profitable in the fourth quarter for the third consecutive
period.7 million.6 million for the third quarter of 2005 as
compared to a loss of $0.7 million in the third quarter of 2004.3 $17.2) (16.2) .2) $(5.1 135 .5

08. The increase was
attributed primarily to higher selling prices and increased sales
volume.

Division and Segment Results Full-Year 2004 versus Full-Year 2003

Eastman Division 's 2004 external sales revenue increased by 6
percent compared with 2003, primarily the result of increased selling
prices and a favorable foreign currency exchange rate.
Performance Chemicals and Intermediates - External sales revenue
increased by 23 percent, primarily the result of increased sales
volume and higher selling prices. The
increased sales volume was mainly the result of continued strong
end-market demand attributable in part to increased substitution of
PET polymers for other materials.83 per share. Such
expectations are based upon certain preliminary information, internal
estimates, and management assumptions, expectations and plans, and are
subject to a number of risks and uncertainties inherent in projecting
future conditions, events, and results.50)
======= ======= ======= =======

Shares (in millions) outstanding at
end of period 79.5 78.14)
Net deferred income tax
benefits -- (90) (1.

thiele apri

Additional company information is available at
http://www.polymergroupinc.10 per diluted share last year

- Excluding restructuring and severance charges of $0. EDT on September 20, 2005, and ending at 11:59 p.6) $2.1

Building Products (BP)
BP segment operating profit $.7 $2.5
Selling , general and administrative 29.7 14. Excluding the items described in the following paragraph for
both periods, fourth-quarter 2004 earnings per diluted share were
$0."
Operating earnings in fourth quarter 2004 were $46 million
compared with operating earnings in fourth quarter 2003 of $39
million. Excluding asset impairments and restructuring charges and
other operating income in both periods, operating earnings were $57
million in fourth quarter 2004 compared with $35 million in fourth
quarter 2003. Included in 2004 operating
earnings were asset impairments and restructuring charges of $13
million, while 2003 operating earnings included $3 million of asset
impairments and restructuring charges.
Fibers - External sales revenue increased by 15 percent due mainly
to increased sales volume, particularly for acetyl chemicals in the
U.
defined benefit plans were $3 million in 2004 and $238 million in
2003.com, investors, event information, audio
archives . The company has
approximately 12,000 employees and had 2004 sales of US$6.6 billion.13 $2.93
Other operating income (7) (11) (0.

adherent thiele

, Polymer Group,
Inc.03 per diluted
share, for the third quarter of 2005, compared to a net loss of $4. The segment's operating margin was 7. Inventories
declined $2. Management believes that presenting this
information provides a more accurate basis for investors to compare the
financial results year over year.15) $(.1 $272.8)
Corporate restructuring and severance - - (.2 16.0 2.13 per diluted
share. The increased sales volume, primarily in the
intermediates businesses and product lines, was attributed to
long-term supply arrangements with key customers, improved end-market
demand attributable to strong economic growth and increased production
capacity. Excluding those items, operating results
declined year-over-year as a result of increased spending for growth
initiatives .
Operating results for full-year 2003 included asset impairments and
restructuring charges of $489 million, goodwill impairments of $34
million and other operating income of $33 million. Operating earnings in 2004
included asset impairments and restructuring charges of $172 million. Operating earnings in 2004 were $171 million
compared with $187 million in 2003. The 2004 operating
earnings included asset impairments and restructuring charges of $13
million, while 2003 operating earnings included asset impairments and
restructuring charges of $2 million. To listen to the live webcast of the conference
call, go to www.13 $2.88
Other operating income (33) (20) (0.

parisi adherent

The company operates 22 manufacturing facilities throughout the
world.4 million , or $0. Focused cost reduction and LEAN SixSigma
initiatives have led to further reductions in spending levels for SG+A and
manufacturing.

Decorative Products - Net sales were $58.6 million of increased pricing to customers that
was announced in May 2005 across most product lines.10) $(.19 (.1 180.3) $(6.1
Total Segment Operating Profit $9.1) -
Profit (Loss) Before Income Taxes $1.9 159.0 104.

Consolidated Balance Sheets

August 31, November 30,
2005 2004
ASSETS: (Dollars in millions, except
per share amounts)
Current Assets (Unaudited )
Cash and cash equivalents $10.5

Property, plant and equipment , net 157.8 9.5
Accrued payroll and personal property taxes 14.9 310.
Excluding sales from the restructured, divested and consolidated
product lines for both periods, sales revenue and sales volume
increased by 15 percent and 11 percent respectively in 2004 compared
with 2003.
Polymers - External sales revenue increased by 24 percent
primarily due to higher selling prices and increased sales volume. and acetate tow in Asia.54)
Cumulative effect of changes in
accounting principle, net -- -- -- 0.cgi?eid=4809467

chemindustry sensory

Cost of goods sold for the third quarter of 2005 increased $5.9 million versus the same quarter last year, driven by $19.2 million
of higher raw material costs which was partially offset by lower volumes and
lower manufacturing and warranty expenses.
Interest expense increased to $5.4 million from the second
quarter of 2005. Excluding the restructuring and severance charges , segment
operating profit was breakeven for the third quarter of 2005 as compared to a
loss of $0. During
the quarter, the Building Products segment completed a major LEAN SixSigma
project which is expected to improve manufacturing line speeds and reduce
changeover time and scrap rates .m.4
Net income (loss) before excluded
items (net of tax) $2.2 $339 .3 $2.3) (7. These statements are intended to qualify for the protections
afforded forward -looking statements under the Private Securities Litigation
Reform Act of 1995.1 15.9) (9.15 ) $(.9

Shareholders' Equity
Preference stock - $1. Fourth-quarter
2003 operating earnings included asset impairments and restructuring
charges of $7 million and other operating income of $13 million. The higher sales
volume resulted mainly from continued strong demand for products in
new applications, including packaging, opthamalics and housewares. Included in the results for 2004 was an income tax benefit of
$26 million resulting primarily from the favorable resolution of a
prior year's capital loss carryback refund claim. Excluding those
items for both periods, operating results improved in 2004 compared
with 2003, attributed primarily to a continued focus on more
profitable businesses and product lines, increased sales volume and
cost reduction efforts that more than offset higher raw material and
energy costs. In addition, we expect to implement
selling price increases in order to recover our margin over raw
material and energy costs. 28, to 12:00 a.

EASTMAN CHEMICAL COMPANY - EMN

TABLE 1 - STATEMENTS OF EARNINGS
Fourth Quarter Twelve Months
--------------- ----- ----------
(Dollars in millions, except per
share amounts) 2004 2003 2004 2003
------- ------- ------- -------

Sales $1,658 $1,434 $6,580 $5,800
Cost of sales 1,442 1,249 5,602 4,990
------- ------- ---- --- -------
Gross profit 216 185 978 810

Selling and general administrative
expenses 121 106 450 414
Research and development expenses 38 44 154 173
Asset impairments and restructuring
charges, net 18 9 206 489
Goodwill impairment -- -- -- 34
Other operating income (7) (13) (7) (33)
------- ------- ------- -------
Operating earnings (loss) 46 39 175 (267)

Interest expense, net 27 32 115 124
Other (income) charges, net -- (5) (4) (10)
------- ------- ------- -------
Earnings (loss ) before income taxes
and cumulative effect of changes in
accounting principle 19 12 64 (381)
Provision (benefit) for income taxes (35) 2 (106 ) (108)
------- ------- ------- -------
Earnings (loss ) before cumulative
effect of changes in accounting
principle 54 10 170 (273)
Cumulative effect of changes in
accounting principle, net -- -- -- 3
------- ------- ---- --- -------
Net earnings (loss) $54 $10 $170 $(270)
======= ======= ======= =======

Earnings (loss) per share
Basic
Before cumulative effect of
changes in accounting principle $0.68

Certain Items:
Asset impairments and
restructuring charges 18 11 0.

parisi residues

For further information, please contact:
Dennis Norman
Vice President - Strategic Planning + Communication
(843) 329-5151
normand@pginw.3 million last year

- Net income of $1.6 million, EPS of
$0.
(NYSE: OMN) today reported net income of $1.
"During the quarter, earnings per diluted share excluding unusual items
improved by $0.2% higher average unit selling price partially offset by
1.
Specialty chemical volumes improved high-single digits on new product
introductions. Following
the live webcast, OMNOVA will archive the call on its website until noon EDT,
September 27, 2005.8M 40.0
Decorative Products 58.0 84.6) $(.6) (2.9) $(9. Forward-looking statements may generally be identified by
the use of forward-looking terms such as "may," "should," "projects,"
"forecasts ," "seeks," "believes," "expects," "anticipates," "estimates,"
"intends," "plans," "targets," "likely ," "will," "would," "could," or similar
terms.
OMNOVA Solutions Inc.3
Income (Loss) Before Income Taxes 1.13 $ 2. "However, the continuous escalation
of raw material and energy costs throughout 2004, with particular
volatility in the fourth quarter, reconfirms pricing as a key
determinant of our ability to improve margins.
Operating earnings increased as higher sales volume and improved
product mix more than offset higher raw material and energy costs.
Excluding those items for both periods, operating earnings increased
as higher sales volume, higher selling prices and cost reduction
efforts more than offset higher raw material and energy costs.
Excluding those items for both periods, operating earnings increased
as higher sales volume, continued focus on more profitable businesses
and product lines, and cost reduction efforts offset higher raw
material and energy costs. Excluding
those items, operating results declined as a result of increased
spending for growth initiatives, partially offset by reduced operating
losses associated with the restructuring of Cendian Corporation. In
addition, the company recognized restructuring charges of $9 million
primarily related to expected severance.18 $(3.

sensory consultancies

"PGI Difco will continue to provide the most technologically advanced FR
apparel that offers the highest levels of protection and performance, as well
as comfort for firefighters and other workers that wear them," he said.com

7 million, to $207. Contributing to the sales increase in the third quarter of 2005 were
pricing improvements of $26.4
million , or 17. We are especially pleased with our SG+A costs reductions,
as well as debt reduction resulting from our focus on working capital
management," said Kevin McMullen, OMNOVA Solutions' Chairman and Chief
Executive Officer. Decorative laminates gained several
new customers for its Surf(x)(R ) 3D laminate product.

Building Products - Net sales of the Company's single-ply commercial
roofing products were $29.24)
Net income (loss) per diluted share
for excluded items (net of tax) . Management believes that this information
is essential to providing the investor with an understanding of the Company's
business and operating performance.5
Depreciation and amortization 5.8 $432.13 $ 2. Also see "Asset
Impairments and Restructuring Charges and Net Deferred Tax Benefits"
for additional information. Operating earnings improved substantially as increased sales
volume, higher selling prices and continued cost reduction efforts
more than offset higher raw material and energy costs.

Polymers - External sales revenue increased by 36 percent
primarily due to higher selling prices. For reconciliation to reported sales revenue and
operating earnings, see Table 5 in the accompanying fourth-quarter and
full-year 2004 financial tables. The increased sales volume was
attributed to improved end-market demand due to strong economic growth
and the implementation of long-term supply arrangements with key
customers. Operating earnings for 2004 included asset impairments and
restructuring charges of $38 million, while 2003 operating earnings
included asset impairments and restructuring charges of $57 million. Operating earnings for 2004 were $25
million compared with $62 million for 2003. To listen via telephone, the dial-in number is 913-981-5571,
passcode number 409787.com in the
Investors, SEC filings section.1
Diluted 79.10
Other operating income (13) (8) (0.

strategists tecnon

3%, or $4.3 million during the same period a year
ago.15 as compared to last year , and we generated positive earnings
per diluted share for the second consecutive quarter despite record high oil
prices.
Trialing activity continues at several key accounts, especially in paper
applications that utilize OMNOVA's new GenCryl(R) Platinum Pt(TM) latex.
Segment operating loss was $0. A telephone replay will also be available beginning at
2:30 p.05 $(.1M

Management reviews the information below in assessing the performance of
the business segments and in making decisions regarding the allocation of
resources to the business segments.3 $604.3 $3.7
Interest expense (5.8 $3. There are many
risks and uncertainties that could cause actual results or outcomes to differ
materially from those described in the forward -looking statements, some of
which are beyond the Company's control, including inherent economic risks ,
changes in prevailing governmental policies and regulatory actions, and
litigation risks inherent in the Company's business.3 5.4 175.3 181.4)
Accumulated other comprehensive income .68 $ 0.18 $(3. Fourth-quarter 2004 operating earnings included asset
impairments and restructuring charges of $3 million.
Fourth-quarter 2004 CASPI segment operating earnings included
asset impairments and restructuring charges of $2 million, while
fourth-quarter 2003 operating earnings included asset impairments and
restructuring charges of $7 million and other operating income of $13
million.

Asset Impairments and Restructuring Charges and Net Deferred Tax
Benefits

During fourth quarter 2004, Eastman recognized pretax asset
impairments and restructuring charges of $18 million. EST, Feb. Actual results could differ
materially from expectations expressed in the forward-looking
statements if one or more of the underlying assumptions or
expectations prove to be inaccurate or are unrealized.4

Shares (in millions) used for earnings
per share calculation
Basic 78.

acrylonitrile thiele

operations.3 million, or 13.1% of net sales, in the third quarter of 2005 versus $35.5% in volume declines.9 million for the third quarter of
2004. In coated fabrics, several new boat manufacturers selected
the Company as their supplier of choice.0 $(4.8
Trademarks and other intangible assets, net 8.3
Total Current Liabilities 115.4 million
shares issued at August 31, 2005 and November 30,
2004, respectively; 41.7 million
shares outstanding at August 31, 2005 and
November 30, 2004, respectively 4.

(In millions, except per share amounts) 4Q2004 4Q2003 FY2004 FY2003
Sales revenue $1,658 $1,434 $6,580 $5,800
Sales revenue excluding restructured,
divested and consolidated CASPI product
lines(a) $1,658 $1,264 $6,139 $5,081
Earnings (Loss) per diluted share $ 0.

Developing Businesses Division's external sales revenue for fourth
quarter 2004 was $29 million compared with $19 million for fourth
quarter 2003.
Included in the results for full-year 2004 were asset impairments
and restructuring changes of $206 million ($151 million , net of tax),
a net deferred tax benefit of $90 million and other operating income
of $7 million ($11 million, net of tax).

Voridian Division's full-year 2004 external sales revenue
increased by 22 percent, attributed to increased sales volume and
higher selling prices. Net debt, defined as total borrowings less cash and cash
equivalents, declined $298 million in 2004. EST.68 $0.13 $2.3 77.13

Certain Items:
Asset impairments and
restructuring charges 9 8 0.10)
---------- ---------- -- ------------
Excluding certain items $35 $10 $0.

acrylonitrile catalyzing

Sales in nonwovens and adhesive/tape applications increased by
over 30% versus last year on the strength of new products and pricing. Also,
international sales increased significantly for the quarter, up 60% or
$2 .3 million for the third quarter of 2004.omnova. Webcast attendees will be in a listen-only mode.4 $(4.6) - (5.2 $7.

Web Site: http://www.0 $202.7 1.4 49.5 2.6
Total Current Assets 168.9
Prepaid pension 57.2
Accounts payable 79.69, while fourth-quarter 2003 earnings were $0.50)
Earnings per diluted share excluding
asset impairments and restructuring
charges, other operating income and a
net deferred tax benefit (a) $ 0.69 $ 0.S. Included in fourth-quarter operating results were asset
impairments and restructuring charges of $15 million primarily due to
the previously announced restructuring of Cendian Corporation and a
gain of $7 million from the previously announced sale of Ariel
Research Corporation. Excluding sales
from restructured, divested and consolidated product lines in the
CASPI segment for both 2004 and 2003, sales revenue and sales volume
increased by 18 percent and 12 percent respectively."
Eastman will host a conference call with industry analysts on Jan.13 $2.

thiele convergence

3 million versus $3. Other challenges in the quarter included the loss of eight production
shifts as we temporarily shut down three of our manufacturing facilities due
to Hurricane Katrina.7 million versus 2004. However,
lead times and pricing of ISO improved throughout the quarter and the segment
generated its highest sales and profitability during the month of August. To listen to the telephone replay, callers should dial:
(USA) 800-475-6701 or (Int'l) 320-365-3844. The Access Code is 794297.7)
Excluded items (net of tax):
Work stoppage - - 1 .0 $202. Some important risks,
uncertainties and factors that could cause the Company's actual results or
outcomes to differ materially from those expressed in or implied by its
forward-looking statements include, but are not limited to, the following:
general economic trends affecting OMNOVA Solutions' end-use markets; prices
and availability of raw materials including styrene, butadiene , polyvinyl
chloride, acrylics and textiles; ability to increase pricing to offset raw
material cost increases; unexpected adverse litigation judgment and absence of
or inadequacy of insurance coverage for such judgment; prolonged work stoppage
resulting from labor disputes with unionized workforce; acts of war or
terrorism; ability to develop successful new products; customer and/or
competitor consolidation; customer ability to compete against increased
foreign competition; operational issues at the Company's facilities;
availability of financing to fund operations at anticipated rates and terms;
ability to successfully implement productivity enhancement and cost reduction
initiatives; governmental and regulatory policies; rapid inflation in health
care costs; risks associated with foreign operations including fluctuations in
exchange rates of foreign currencies; the Company's strategic alliance and
acquisition activities; assumptions used in determining pension plan expense
and funding, such as return on assets and discount rates; assumptions used in
determining health care cost estimates; compliance with extensive
environmental, health and safety laws and regulations; and substantial debt
and leverage and the ability to service that debt. The Company disclaims any
obligation, other than imposed by law, to publicly update or revise any
forward-looking statements , whether as a result of new information, future
events or otherwise. is a technology-based company with 2004 sales of
$746 million and a current workforce of 1,800 employees worldwide.8 5.4 .8 23.8 9.7 3.

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Business Editors
MULTIMEDIA AVAILABLE:
http://www.82 $ 1.
Performance Chemicals and Intermediates - External sales revenue
increased by 47 percent as a result of increased sales volume and
higher selling prices.
Operating earnings declined substantially, primarily attributed to
selling prices not rising as quickly as rapidly increasing raw
material and energy costs, particularly for paraxylene, and costs
associated with a planned maintenance shutdown at the Kingsport,
Tenn .82, while full-year 2003
earnings per diluted share were $1.
Operating earnings for full-year 2004 were $175 million compared
with an operating loss of $267 million for full-year 2003.
Eastman 's full-year 2004 sales revenue was $6.
Operating results for 2003 included asset impairments and
restructuring charges of $486 million, goodwill impairments of $34
million and other operating income of $33 million.S. Included in
those charges were non-cash asset impairments of $9 million and
restructuring charges of $9 million. However, volatile raw material and energy
costs limit the precision of our estimate.eastman.3 77.6 77.

TABLE 5 - CASPI SEGMENT DETAIL OF SALES REVENUE, OPERATING EARNINGS
(LOSS) AND ASSET IMPAIRMENTS AND RESTRUCTURING CHARGES

First Second Third Fourth Twelve
Quarter Quarter Quarter Quarter Months
(Dollars in millions) 2004 2004 2004 2004 2004
-------- -------- -------- -------- -------

Sales Revenue
Sales revenue - CASPI
restructured,
divested, and
consolidated product
lines (1) $174 $193 $74 $-- $441
Sales revenue -
continuing product
lines 265 283 283 282 1,113
-------- -------- -------- -------- -------
Total sales revenue $439 $476 $357 $282 $1,554

Operating Earnings (Loss) and Asset Impairments
and Restructuring Charges
Operating loss - CASPI
restructured,
divested, and
consolidated product
lines (1) (2) $(11) $(72) $(2) $-- $(85)
Operating earnings -
continuing product
lines 41 48 40 23 152
-------- -------- -------- -------- -------
Total Operating earnings
(loss) $30 $(24) $38 $23 $67

Other Operating
(expense) $-- $-- $-- $-- $--
Asset impairments and
restructuring charges
- CASPI restructured,
divested, and
consolidated product
lines (1) 5 66 1 -- 72
Asset impairments and
restructuring charges
- continuing product
lines 1 3 3 2 9
-------- -- ------ -------- -------- -------
Total asset impairments
and restructuring
charges $6 $69 $4 $2 $81

First Second Third Fourth Twelve
Quarter Quarter Quarter Quarter Months
(Dollars in millions) 2003 2003 2003 2003 2003
-------- -------- -------- -------- -------

Sales Revenue
Sales revenue - CASPI
restructured,
divested, and
consolidated product
lines (1) $174 $190 $185 $170 $719
Sales revenue -
continuing product
lines 237 251 236 240 964
-------- -------- -------- -------- -------
Total sales revenue $411 $441 $421 $410 $1,683

Operating Earnings (Loss) and Asset Impairments
and Restructuring Charges
Operating loss - CASPI
restructured,
divested, and
consolidated product
lines (1) (2) $(31) $(28) $(464) $(15) $(538)
Operating earnings -
continuing product
lines 28 47 29 32 136
-------- -------- -------- -------- -------
Total Operating earnings
(loss) $(3) $19 $(435) $17 $(402)

Other Operating income $-- $-- $-- $(13) $(13)
Asset impairments and
restructuring charges
- CASPI restructured,
divested, and
consolidated product
lines (1) 1 1 449 6 457
Asset impairments and
restructuring charges
- continuing product
lines 1 -- 3 1 5
-------- -------- -------- -------- -------
Total asset impairments
and restructuring
charges $2 $1 $452 $7 $462

(1) See note (1) to Table 4a and 4b
(2) Includes allocated costs consistent with the Company's historical
practices, some of which may remain and could be reallocated to
the remainder of the segment and other segments.13
========== ============ ============

Twelve Months, 2004
------------------------------------
Net earnings
Operating per diluted
(Dollars in millions) Earnings Net Earnings share
--- ------- ------------ ------------

As reported $175 $170 $2.businesswire.