- SKYVIVA US is established with Kaltech of US and the production and sales of sound absorbing adiabatic material for construction, Skyviva,is projected in US. - The sales from the exclusive supply of material and sales will reach 1 million dollars per year. Joint Investment on advanced material for construction in US SK chemicals has established a US joint venture and started a business on "SKYVIVA US" which is sound absorption adiabatic material (brand name: SKYVIVA) developed by SK chemicals and is already sold in Korea. This project has started at the request of Kaltech which is involved in construction and interior design in the US to introduce environmentally friendly material SKYVIVA. SK chemicals agreed to supply manufacturing technology, to export a plant in the capacity of 8 million dollars, and will have a 9 % share by a further investment of $450,000 dollars. Once the regular production begins in 2002, sales are expected to be over 1 million dollars per year. In this project, $10 million dollars will be invested for a 30,000 MT/Yr production capacity plant and further investment will be made in the second half as soon as approval for the product is obtained in the US in the first half. The expected sales are $70 million dollars once commercial production begins in January 2002. SKYVIVA is an environmentally friendly sound absorption adiabatic material used in industrial materials such as construction materials or car interiors and is an advanced material developed with independent technology. This material has superior sound absorption and adiabatic effects and is 100 % recyclable after construction. In addition, it does not make dust while working so it is not toxic to humans and has good workability which leads to shortened construction periods and great cost savings. Especially, SKYVIVA does not produce toxic gases during incineration so it can enter US, Japan or European markets where emission of toxic gases is strictly regulated and the use of hazardous materials are thoroughly excluded in the selection of industrial materials. Existing sound absorption materials greatly decrease sound absorption effects due to weathering, spattering or inability to keep shape in extended use. They also present human health concerns as well as contaminating the environment.