Penford Announces New Renewable Chemical Product Line

Penford Products Co., a division of Penford Corporation (NASDAQ: PENX), today announced the launch of a new line of cost effective, natural binder products, made with Penford’s proprietary technology, which replace synthetic latex used in coated paper and paperboard applications.

PEN-COTE products, now available in both liquid (PEN-COTE L) and dry (PEN-COTE D) forms, can replace up to 60% of the petroleum-based latex used in coating formulations. Major producers of coated packaging and publication papers are currently successfully using these products. These products are suitable for use in food contact paper and paperboard regulated by the Food and Drug Administration.

Performance of PEN-COTE binders equals that of latex binders, contains no volatile organic compounds (VOC) and significantly lowers customers operating costs. Latex binder costs are directly affected by the increasingly volatile input costs associated with products derived from petroleum-based raw materials. PEN-COTE L and PEN-COTE D are designed to be used on modern coating equipment substituting up to 60% for latex on a 1:1 basis.

Coating binders are used in products such as catalogs, brochures, packaging board and publication papers. These binders impart highly desirable properties, including gloss, strength, printability and binding of pigment particles.

“The continued expansion of our portfolio of renewable chemical products is further evidence of our commitment to create value for our customers by developing sustainable products that replace petroleum-derived materials,” said Tom Malkoski, CEO of Penford Corporation. “Our PEN-COTE binders can help meet the growing consumer demand for increased natural and renewable content while also helping our customers reduce the effects of price volatility of petrochemicals.”

About Penford Corporation

Penford Corporation develops, manufactures and markets specialty, natural-based ingredient systems for a variety of industrial and food applications. Penford has five manufacturing and/or research locations in the United States.