Exhibit 99.1
Xxxx-XxXxx Signs Agreement in Principle to Sell Forest Products Operations
OKLAHOMA CITY (March 5, 1998) -- Xxxx-XxXxx Chemical LLC has signed an
agreement in principle with Xxxxxx Xxxxxx, Inc., a New York-based private
merchant bank, to sell its forest products operations. The agreement in
principle covers marketing and operations at the company's six crosstie-treating
plants. The company's forest products division currently operates plants at
Columbus, Miss.; The Dalles, Ore.; Indianapolis, Ind.; Madison, Ill.;
Springfield, Mo.; and Texarkana, Texas.
"This transaction is another step in the company's strategy to focus on
its growing worldwide oil and gas exploration and production and titanium
dioxide pigment operations," said Xxxx X. Xxxxxxx, Xxxx-XxXxx chairman and chief
executive officer. "The dedicated efforts of the employees have built the forest
products division into a leader in the crosstie industry. However, we believe
that the full potential of these operations can best be realized apart from the
existing corporate structure."
Xxxx-XxXxx Chemical is wholly owned by Xxxx-XxXxx Corp. (NYSE: KMG),
an energy and chemical company with worldwide operations and $3.1 billion in
assets.
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CONTACT: Xxxx Xxxxxxxxxx
(000) 000-0000
