Francois Vleugels joins Bochemie Group as its new CEO

Bohumín, 14th March, 2011 – Francois Vleugels, a seasoned chemical industry professional with a successful international and domestic track record, has joined Bochemie Group, one of CEE‘s leading producers of branded household care products and manufacturer of high value-added specialty chemicals, as its new Chief Executive Officer.

Ladislav Kraus, who was instrumental in transforming Bochemie from a division of a local chemical player into a successful Central European conglomerate, has stepped down from his CEO position as part of the succession plan and will continue in his existing role of the Chairman of the Board and will participate in the formation of the strategic directions of the Group.

Mr. Vleugels, a Belgian national, gained broad experience in senior executive positions in Eastman Chemical Company and Momentive Specialty Chemicals. Mr. Vleugels led the successful restructuring of Unipetrol – a major Czech petrochemical company – as CEO & Chairman of the Board, including the successful turnaround of Unipetrol’s Czech network of petrol stations, Benzina, into a modern profitable company. His most recent assignment was as CEO and Chairman of the Board of Spolchemie which he successfully restructured and brought the performance back to the pre-crisis level. Vleugels has been named several times in the top 40 list of the most influential leaders in the chemical industry in the world.

“The first few days in Bochemie have already proved my expectation of the high quality of our people and products having great potential for broader international expansion. I am very excited about the growth opportunities of the Company and predict it to be a star performer in the CEE market”, says Vleugels.

Joining Mr. Vleugels is Petr Sosík as the new Chief Financial Officer. Mr. Sosík worked with Mr. Vleugels as CFO in Unipetrol and Spolchemie and his previous experience includes positions with British Petroleum (BP), Aral and Coty.

The new members of the management team will complement the existing team to further accelerate execution of the Group’s overall strategy, including international expansion by both organic means and acquisitions and implementation of strategic projects in the area of green technologies, in order to further increase profitability and shareholder value.

About Bochemie Group

Bochemie Group is one of the leading Central European producers of brandedd household care products. Its key brands include SAVO, which is particularly strong in the Czech Republic and Slovakia, and ULTRA in Hungary. The Group is also a global supplier of high value added specialty chemicals, including disinfectants, fungicides, metal surface treatment chemicals and accumulator masses.

The Group and its parent company, Bochemie, are headquartered in Bohumín, Czech Republic. The Group further includes EVM, the Hungarian manufacturer of household care products, the Czech engineering company Ekomor, the Polish based pigment manufacturer Permedia and Group’s trading subsidiaries in Slovakia, Poland, Hungary, Bulgaria, Romania and Russia.

Bochemie Group is owned by private equity firms Benson Oak Capital and Arx Equity Partners. Its 2010 revenues amounted to approximately EUR 67mil.

Further information is available at www.bochemie.cz and www.savo.eu.

About Benson Oak Capital

Benson Oak Capital is a private equity firm which makes buyout and growth capital investments in businesses based in the Czech Republic and Slovakia that demonstrate significant domestic and/or international growth potential. With 20 years’ experience in the Czech and Slovak markets, Benson Oak Capital has a proven track record of creating value for all shareholders. Benson Oak Capital invested in Bochemie in September 2007 and its other portfolio companies include AVG Technologies and ETA.

About ARX Equity Partners

ARX Equity Partners is a Central and Eastern European focused private equity firm. The firm operates from offices in Bucharest, Budapest, Prague and Warsaw and its investor base is comprised of major institutional investors. The ARX family of funds is organized to make equity investments in CEE countries, with a focus on later stage investments such as expansion financing, management buy-outs and buy-ins and industry consolidation transactions.