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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
July 24, 1998 COMMISSION FILE NUMBER 1-496
HERCULES INCORPORATED
A DELAWARE CORPORATION
I.R.S. EMPLOYER IDENTIFICATION NO.51-0023450
HERCULES PLAZA
1313 NORTH MARKET STREET
WILMINGTON, DELAWARE 19894-0001
(302) 594-5000
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INFORMATION TO BE INCLUDED IN THE REPORT
ITEMS 1, 2, 3, 4, 6, 8 and 9 are not applicable and are omitted from this
report.
ITEM 5. OTHER EVENTS
On July 16, 1998 Hercules Incorporated completed the acquisition of the 49%
share of FiberVisions owned by its joint-venture partner Jacob Holm & Sons A/S
(Denmark). FiberVisions will operate as a wholly owned subsidiary of Hercules.
FiberVisions was created in June 1997 as a combination of Hercules' Fibers
Division and Jacob Holm & Sons' Danaklon Group to produce thermal-bond
polypropylene staple fiber, serving major markets for disposable diapers and
other hygienic products. It also produces textile fibers for automotive,
decorative and industrial applications.
Incorporated by reference to this Form 8-K and filed as exhibits hereto are
press releases issued by Hercules Incorporated, dated July 9, 1998, and July 16,
1998, related to the transaction which is the subject of this report.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(c) Exhibits
Exhibit No. Description
99(a) Press Release dated July 9, 1998
99(b) Press Release dated July 16, 1998
Signatures
Pursuant to the requirements of the Securities and Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereto fully authorized.
Hercules Incorporated
By /s/ Israel J. Floyd
---------------------------------
Israel J. Floyd, Corporate Secretary
and Assistant General Counsel
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Exhibit 99(a)
Hercules Incorporated
Hercules Plaza
1313 North Market Street
Wilmington, DE 19894-0001
Release on Receipt (302) 594-5000
98-22-B News Release
Hercules to Acquire Partner's Share of FiberVisions
WILMINGTON, Del., July 9, 1998...Hercules Incorporated (NYSE: HPC) today
announced that it will acquire the 49% share of FiberVisions owned by its
joint-venture partner Jacob Holm & Sons A/S (Denmark). The transaction is
expected to close within 30 days, pending regulatory and other customary
approvals. The purchase price was not disclosed.
FiberVisions will now operate as a wholly owned subsidiary of Hercules.
Management expects the transaction to be accretive to earnings this year.
FiberVisions is expected to add approximately $110 million to Hercules'
consolidated revenues in 1998 and $280 million in 1999.
According to R. Keith Elliott, Hercules chairman and chief executive officer:
"We formed the FiberVisions joint venture to improve our competitive position
and create a stronger, global supplier of thermal-bond fibers for the growing
nonwovens industry.
"In the past year, we have exceeded our projections for integrating the two
businesses, improving costs by $30 million through consolidations, sharing best
practices and supply arrangements," Elliott said. "Now that thermal-bond fiber
has regained its competitive position in the market, we will continue to grow
and meet the needs of our customers through technological innovation, cost
improvement, and responsiveness to market trends."
In exiting the FiberVisions venture, Jacob Holm & Sons will pursue its strategy
of becoming an investment company that participates in the consolidation and
restructuring of downstream hygiene and other industries.
FiberVisions was created in June 1997 as a combination of Hercules' Fibers
Division and Jacob Holm & Sons' Danaklon Group. It is the world's largest
producer of thermal-bond polypropylene staple fiber, serving major markets for
disposable diapers and other hygienic products; it also produces textile fibers
for automotive, decorative and industrial applications. FiberVisions has
headquarters in Wilmington, Delaware, and manufacturing facilities in Athens and
Covington, Georgia; Suzhou, China; and Varde, Denmark.
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Hercules manufactures chemical specialty products for a variety of markets
worldwide. Its businesses include Aqualon water-soluble polymers, Paper
Technology, Resins and Food Gums. With shareholder value as its guiding focus,
the corporation concentrates on value-added, high-performance products where it
has a market or technology advantage. For more information, visit the Hercules
website at www.herc.com.
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This news release contains forward-looking statements and notice is included
here to provide safe harbor under the Private Securities Litigation Reform Act
of 1995. Media Contact: Amy Binder (302) 594-6905, [email protected] Investor
Contact: Bob Gallant (302) 594-5254, [email protected]
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Exhibit 99(b)
Hercules Incorporated
Hercules Plaza
1313 North Market Street
Wilmington, DE 19894-0001
Release on Receipt (302) 594-5000
98-23-B News Release
HERCULES COMPLETES FIBERVISIONS ACQUISITION
WILMINGTON, Del., July 16, 1998...Hercules Incorporated (NYSE: HPC) today
announced that it has completed the acquisition of the 49% share of FiberVisions
owned by its joint-venture partner Jacob Holm & Sons A/S (Denmark).
FiberVisions will now operate as a wholly owned subsidiary of Hercules.
Management expects the transaction to be accretive to earnings this year. The
inclusion of FiberVisions revenues in Hercules' consolidated results is expected
to add approximately $110 million in the remainder of 1998 and $280 million in
1999.
According to R. Keith Elliott, Hercules chairman and chief executive officer:
"In FiberVisions we have the best of the former Hercules Fiber business and
Jacob Holm's Danaklon Group. We are now seeing the benefits of FiberVision's
strategy to reposition staple fiber as the product of choice in global hygienics
markets.
"As a Hercules company, FiberVisions will continue to build on its success and
strengthen its relationships with customers and suppliers through technological
innovation, cost improvement, and responsiveness to market trends," he said.
FiberVisions is the world's largest producer of thermal-bond polypropylene
staple fiber, serving major markets for disposable diapers and other hygienic
products; it also produces textile fibers for automotive, decorative and
industrial applications. FiberVisions has headquarters in Wilmington, Delaware,
and manufacturing facilities in Athens and Covington, Georgia; Suzhou, China;
and Varde, Denmark.
Hercules manufactures chemical specialty products for a variety of markets
worldwide. Its businesses include Aqualon water-soluble polymers, Paper
Technology, Resins and Food Gums. With shareholder value as its guiding focus,
the corporation concentrates on value-added, high-performance products where it
has a market or technology advantage. For more information, visit the Hercules
website at www.herc.com.
# # #
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This news release contains forward-looking statements and notice is included
here to provide safe harbor under the Private Securities Litigation Reform Act
of 1995.
Media Contact: Claire LaMar Carey (302) 594-6030, [email protected]
Investor Contact: Bob Gallant (302) 594-5254, [email protected]
