SOURCE: Lehigh Technologies

February 28, 2007 09:30 ET

Lehigh Technologies and MTR Team Up to Turn Recycled Tires Into High Quality, Consistent Rubber Powder

Companies Deliver Country's First Closed-Loop Recycling/Reuse Programs to Manufacturers

NAPLES, FL -- (MARKET WIRE) -- February 28, 2007 -- Lehigh Technologies, Inc., a leading manufacturer of engineered rubber powder, announced today a strategic agreement with MTR, Inc., the Southeast's largest collector and processor scrap tires and other scrap rubber with facilities and operations in Georgia, Alabama, Tennessee and Mississippi, processing over 15 million tires annually. With this agreement, Lehigh will source its raw materials from an ISO 9001 processing facility, giving the company complete accountability and assurance over feedstock consistency and quality. In addition, Lehigh and MTR will also offer customers tailored, Closed-Loop Recycling/Reuse Programs, enabling manufacturers to use their own overstock to feed new products. The MTR strategic relationship marks another cornerstone in Lehigh's long-term, global strategy.

Under the terms of the agreement, Lehigh will host a crumb rubber feedstock processing facility at MTR's Jackson, Georgia tire collection and recycling plant. The crumbing facility will have enough capacity to supply 100% of Lehigh's fine powder plant's feedstock requirements. In addition, the Closed-Loop Recycling/Reuse Programs are designed to address today's significant disposal and raw material challenges, especially where it pertains to non-degradable rubber tires. These programs will meet corporate ISO 14001 and environmental stewardship goals and objectives for tire manufacturers. Together, Lehigh and MTR will offer customers the ability to collect and process their factory discards into reusable raw materials, thereby lowering both disposal and raw material costs under the same system.

"Lehigh has always exercised a high-level control over its feedstock. To further demonstrate this commitment, we are partnering with MTR, a leader in the tire recycling market," stated Dennis J. Gormley, Chief Executive Officer of Lehigh. "With this partnership, we will be able to have extreme control over our entire feedstock process, pleasing the industry's most discerning customers by offering highly reliable, fine rubber powder that can be used in today's highly sophisticated applications."

Thomas Carter, President and CEO of MTR, Inc., has a strong track record of success in the tire collecting and recycling industry. "MTR does a terrific job finding multiple low cost disposal/high revenue outlets for its products. From cement kilns to tire derived fuel, MTR has been a leader in developing new markets for its products. With Lehigh's fine powders we have found a long-term, sustainable and highly valuable use for tire derived materials. We hope to be Lehigh's primary supplier as they continue to build facilities throughout North America."

Lehigh anticipates investing approximately $5 million dollars at the Jackson site. Upon completion of the Jackson crumbing facility, the Lehigh will have the capacity to process more than 100 million pounds of scrap tire material into high quality crumb rubber feedstock.

About MTR, Inc.

MTR was founded in 1990 and today is the Southeast's largest provider of collection services, processing and marketing of over 17 million scrap tires in whole, shredded and granular form. With ten operating locations in Georgia, Tennessee, Florida, Alabama, and Mississippi, MTR services the industrial, private and public sectors. MTR is highly successful in design and construction of alternative fuel feed systems to industries such as Papermills and Cement Kilns. MTR also offers engineering services to the alternative/green fuel marketplace. MTR is headquartered in Springfield, TN.

About Lehigh Technologies, Inc.

Lehigh Technologies provides engineered ultra-fine rubber powder that delivers enhanced performance, as well as manufacturing cost savings and environmental benefits, at a price point that is affordable and sustainable for low-to-high volume applications. Unlike crumb rubber recyclers and other suppliers in the past, Lehigh produces engineered performance fillers, modifiers and additives enabling manufacturers across a variety of industries to easily include rubber powder as a strategic ingredient into their manufacturing process without compromising the integrity of their products. Headquartered in Naples, Florida, the company is privately held and backed by major private equity investors. For more information, please visit www.lehightechnologies.com.

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