COATINGS ALKYD POLYESTERS POLYOLS FOR POLYURETHANES POLYMERIC RESINS

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COATINGS ALKYD POLYESTERS POLYOLS FOR POLYURETHANES POLYMERIC RESINS 1 // NATUREWORKS PERFORMANCE CHEMICALS

ALKYD POLYESTERS CREATING PERFORMANCE THROUGH CHEMISTRY Building upon decades spent advancing materials chemistry innovation, NatureWorks offers solutions based on lactides and lactide intermediates that help innovators within the coatings, adhesives, sealants, and elastomers (C.A.S.E.), toner and surfactant industries realize: Significant, measurable product performance benefits Move through the R&D process more efficiently and with minimal risk Decrease systems costs via an optimized supply chain ALKYD POLYESTERS CUSTOM SOLUTIONS FOR COATINGS Using Vercet lactides as a component in your resins enables unique properties including a new way of creating low VOC solvent-borne coatings for substrates such as wood and metal. COATINGS SUBSTRATES MARKETS PEFORMANCE BENEFITS Wood Metal Anti-corrosion layers Primers Furniture Flooring Architecture Decorative Low viscosity alkyds for lower VOC s Improved flexibility Excellent substrate adhesion Superior abrasion resistance Improved ethanol spot resistance Pigmentable Renewably-sourced building block 2 // NATUREWORKS PERFORMANCE CHEMICALS

LACTIDES POLYOLS RESINS We achieve this by coupling tunable Vercet lactidebased chemistries with the knowledge of scientists and engineers who understand how to dial in the full capabilities of this versatile product line. PROPERTIES VERCET MEDIUM OIL LENGTH ALKYDS PROPERTY CONTROL 25% VERCET LACTIDE CAP Viscosity [mpa*s, 95 C] Solution Viscosity [60% Solids, mpa*s] Cross Hatch Adhesion [0-5, best to worst] Mandrel Bend [mm] Impact 500g [cm, reverse/front] Persoz Hardness [30 day cure, glass = 100%] 24 Hr Water Spot Testing [0-5, best to worst] 7,720 920 14,500 80 5 0 4 < 3 < 5/10 40/100 39 27 0 0 Wt% Phthalic Anhydride 26.7 17.3 Wt% Penterythritol 22.2 16.4 Wt% Tall Oil Fatty Acid 47.5 47.6 Acid Value (mg-koh/g) 8.1 16.4 Alkyds coated from 60% solids from Varsol 40 / Xylene 80/20 onto clean degreased steel. Tri-metal drier, approximate DFT ~40μm. VERCET.NATUREWORKSLLC.COM // 3

MEASURABLE PERFORMANCE LOW VOC'S FROM REDUCED COATING VISCOSITY SOLUTION VISCOSITY [60% solids, mpa*s] 16,000 14,000 12,000 10,000 8,000 6,000 4,000 60% 2,000 70% 0 80% -2,000 CONTROL 7.5% VERCET LACTIDE 15% VERCET LACTIDE 25% VERCET LACTIDE SOLUTION VISCOSITY 14,500 5,760 4,100 800 REFERENCE 60% 70% 80% 4 // NATUREWORKS PERFORMANCE CHEMICALS

MEASURABLE PERFORMANCE MECHANICAL PROPERTIES DRYING 5 4 3 ABRASION 2 HARDNESS 1 ADHESION VISCOSITY CONTROL IMPACT 25% VERCET LACTIDE CONTROL 25% VERCET LACTIDE DRYING TIME [THROUGH DRY, 2000g] 1 DAY 7 DAYS PERSOZ PENDULUM HARDNESS [%] 20 DAYS 38.2 21.5 30 DAYS 38.5 27.1 IMPACT RESISTANCE, REVERSE/FRONT [cm] < 5/10 40/100 ADHESION TO OAK PULL OFF [MPa] 5.2 6.3 TABER ABRASION [mg-loss] 1 250 34 23 500 54 50 750 74 69 1000 92 88 1. Cycles, CS-10 wheel type, 1000g, 60 RPM VERCET.NATUREWORKSLLC.COM // 5

MEASURABLE PERFORMANCE RESISTANCE TO STAINING & BLISTERING WATER 5 4 CONTROL 25% VERCET LACTIDE 3 ACETONE 2 1 ETHANOL SUNFLOWER OIL RED WINE WATER CONTROL 25% VERCET LACTIDE 3 HR 0 0 24 HR 0 0 RED WINE 3 HR 0 0 24 HR 0 0 SUNFLOWER OIL 3 HR 0 0 24 HR 0 0 ETHANOL [95%] 3 HR 5 0 24 HR 5 2 ACETONE 3 HR 5 5 24 HR 5 5 [0-5, best to worst] 6 // NATUREWORKS PERFORMANCE CHEMICALS

POLYOLS FOR POLYURETHANES CREATING PERFORMANCE THROUGH CHEMISTRY Building upon decades spent advancing materials chemistry innovation, NatureWorks offers solutions based on lactides and lactide intermediates that help innovators within the coatings, adhesives, sealants, and elastomers (C.A.S.E.), toner and surfactant industries realize: Significant, measurable product performance benefits Move through the R&D process more efficiently and with minimal risk Decrease systems costs via an optimized supply chain POLYOLS FOR POLYURETHANES CUSTOM SOLUTIONS FOR COATINGS & ADHESIVES Using Vercet polyester polyols for polyurethanes enables unique properties including excellent grease and oil resistance for both adhesive and coating applications. COATINGS ADHESIVES SUBSTRATES MARKETS SUBSTRATES MARKETS Wood Metal Cements Ceramics Furniture Flooring Architecture Decorative Wood Wood Laminates Metal Mixed Substrates Furniture Flooring Nonwovens / Hygiene Foams Electronics Packaging: Rigid & Flexible PEFORMANCE BENEFITS PEFORMANCE BENEFITS Excellent oil, grease, and solvent resistance High hardness polyurethanes Controlled functionality Controlled viscosity (hydroxyl values 12-70 mg-koh/g) Low haze Solvent-borne & hot melt coatings Tailored open times and work-life Excellent solvent resistance Solvent-borne & hot melt adhesives Renewably-sourced building block 7 // NATUREWORKS PERFORMANCE CHEMICALS

LACTIDES POLYOLS RESINS We achieve this by coupling tunable Vercet lactidebased chemistries with the knowledge of scientists and engineers who understand how to dial in the full capabilities of this versatile product line. PROPERTIES VERCET POLYOLS Grade Tg [ C] F Viscosity @ 100 C [Pa*s] OHV 1 [mg-koh/g] AV 2 [mg-koh/g] P1025X 15 1 1.2 25 1.5 P2040X 32 2 3.7 40 1.2 P2025X 40 2 11.3 25 1.1 P2140X 22 2 1.8 41 1.8 P2125X 30 2 7.5 25 0.7 P3025X 40 3 19.1 29 1.2 1. OHV Hydroxyl Value as determined by ASTM E1899 2. AV Acid Value as determined by internal method POLYURETHANES FORMULATED WITH VERCET POLYOLS Polyurethane with Polyol Wt% - Polyol / MDI 1 1,2 PG Polyol OHV 1 [mg-koh/g] Gel Time [sec] 120 C Hardness 2 [Shore A / D] Tg/Tm 3 Resiliency 4 Water Pickup 5 P2040X 85.3 / 12.5 / 0.8 32 60 86 / 72 Tg 48-52 C 22 0.9% P2140X 84.8 / 13.6 / 0.9 32 160 84 / 71 Tg 47-50 C 17 1.0% Control (Based on AA-HDO) 86.6 / 11.6 / 0.8 29 190 70 / 33 Tm peak 55 C 23 0.6% 1. OHV Hydroxyl Value as determined by ASTM E1899 2. Hardness as determined by ASTM 2240 3. DSC mid-point, 20 C/min, 2nd heat 4. Resiliency as determined by ASTM D2632 5. Immersion testing, 8 days at 25 C VERCET.NATUREWORKSLLC.COM // 8

MEASURABLE PERFORMANCE VERCET-BASED POLYURETHANE SOLVENT RESISTANCE: 10 DAY SWELL VALUES WT% SOLVENT PICK-UP 16% 14% 12% 10% 8% 6% 4% 2% 0% Not equilibrated after 10 days Not equilibrated after 10 days -2% IRM 903 OIL CANOLA OIL N-HEXANE ETHANOL WATER CONTROL 10.00% 4.50% 1.50% 8.10% 0.60% P2040X -0.20% 0.20% 0.60% 13.90% 0.90% P2140X 0.10% 0.00% 0.10% 12.00% 1.00% Wt% data collected 68 C 9 // NATUREWORKS PERFORMANCE CHEMICALS

HOT OIL SWELL SHOWS EXCELLENT OIL RESISTANCE WT% CANOLA OIL PICK-UP 68 C 4 3 Wt% Pick-up Control P2040X 2 P2140X 1 0-1 Time (Days) 0 2 4 6 8 10 WT% IRM 903 OIL PICK-UP 68 C 8 Wt% Change Control 6 4 2 P2040X P2140X 0-2 Time (Days) 0 1.5 3 4.5 6 7.5 VERCET.NATUREWORKSLLC.COM // 10

MEASURABLE PERFORMANCE HIGHER MODULUS, INCREASED STABILITY WITH TEMPERATURE 1E+10 1E+09 1E+08 20 1E+07 1E+06 1E+05 Storage Modulus (Pa) Temp ( C) 25 30 35 40 45 50 55 60 Tg ( C, DSC) Tg ( C, DMA) E' (MPa, 30 C) E' (MPa, 35 C) E' (MPa, 45 C) E' (MPa, 50 C) CONTROL 41-44 Tm (onset) 24 21 8.8 3.0 P2040X 49-52 56 350 331 321 315 P2140X 47-50 52 300 300 286 221 ASTM Method D790. 3 point bend fixture heated 3 C per minute. EXCELLENT HARDNESS AT LOW MDI CONTENT CONTROL 70 33 P2040X 86 72 118% 23% P2140X 80 65 97% 14% Shore A Shore D 0 10 20 30 40 50 60 70 80 90 11 // NATUREWORKS PERFORMANCE CHEMICALS ASTM Method 2240. Measured after 4 weeks.

HYDROLYSIS RESISTANCE No significant change to mechanical properties after humidity exposure. POLYURETHANES FLEXURAL PROPERTIES INITIAL 90 POLYURETHANES FLEXURAL PROPERTIES 7 DAYS HYDROLYSIS, 95% RH 90 80 70 60 Flexural Stress (MPa) 80 70 60 Flexural Stress (MPa) 50 50 40 40 30 30 20 20 10 % Strain 10 % Strain 0.0 1.0 2.0 3.0 4.0 0.0 1.0 2.0 3.0 4.0 P2040X P2140X P2040X P2140X VERCET.NATUREWORKSLLC.COM // 12

POLYMERIC RESINS CREATING PERFORMANCE THROUGH CHEMISTRY Building upon decades spent advancing materials chemistry innovation, NatureWorks offers solutions based on lactides and lactide intermediates that help innovators within the coatings, adhesives, sealants, and elastomers (C.A.S.E.), toner and surfactant industries realize: Significant, measurable product performance benefits Move through the R&D process more efficiently and with minimal risk Decrease systems costs via an optimized supply chain POLYMERIC RESINS CUSTOM SOLUTIONS FOR SOLVENT-BORNE COATINGS & HOT MELT ADHESIVES Using Vercet resins for coatings & adhesives enables unique properties including a tunable work-life, more end-of-life options, excellent adhesion, and low dispensing temperatures for substrates such as fiber board, paper food packaging, and woods. COATINGS ADHESIVES SUBSTRATES MARKETS SUBSTRATES MARKETS Wood Wood Laminates Paper Metals Textiles Flexible Packaging Food Service Architectural (Decorative) Wood Wood Laminates Paper Metals Flexible Packaging Packaging - Carton and Case Seal PEFORMANCE BENEFITS PEFORMANCE BENEFITS Excellent oil, grease, and solvent resistance Great heat seal More end-of-life options including recycling and composting Renewably-sourced building block Tunable work-life (seconds to minutes) Low dispensing temperatures Tunable viscosity Excellent adhesion to wood, paper, & plastic Renewably-sourced building block 13 // NATUREWORKS PERFORMANCE CHEMICALS

LACTIDES POLYOLS RESINS We achieve this by coupling tunable Vercet lactidebased chemistries with the knowledge of scientists and engineers who understand how to dial in the full capabilities of this versatile product line. PROPERTIES VERCET CHEMISTRY FOR TUNABLE SET TIME, STRENGTH & WORK-LIFE Sample DSC - Midpoint Tg Range [ C] Melt Viscosity [η Pa-sec, 150 C] Solubility in Ethyl Acetate 15% Solids 30% Solids 50% Solids Viscosity at 30% Solids 1 [MPa*s] #1 45-49 2.1 45 #2 48-52 132 80 #2 49-54 232 x 500 1. Calculated from DIN 4 viscosity measurement using density of 1.01 g/ml. 2. AV Acid Value as determined by ASTM D4662 CANOLA OIL ON COATED PAPER NO COATING VERCET COATING VERCET.NATUREWORKSLLC.COM // 14

BENIGN BY DESIGN REDUCING VOLATILITY IN PRICING THROUGH ALTERNATIVE FEEDSTOCKS Renewably-sourced Vercet lactide-based products bring sensible, elegant, and cost-effective solutions based squarely on the principles of green chemistry to supply chains that, until now, were coupled with traditional fossil-petroleum solutions and their inherent price volatility. 250 200 150 50 0 Prices re-based to 100 2006 2017 Petrochemical Feedstocks Vercet Feedstock 15 // NATUREWORKS PERFORMANCE CHEMICALS

HOW CAN WE HELP YOU? To learn more about Vercet custom solutions, please contact a member of our Performance Chemicals team. BRIAN GLASBRENNER COMMERCIAL MANAGER +1 (952) 562.3391 brian_glasbrenner@natureworksllc.com BILL COGGIO APPLICATION AND TECHNOLOGY MANAGER +1 (952) 562.3308 bill_coggio@natureworksllc.com vercet.natureworksllc.com vercet@natureworksllc.com @natureworks Vercet and the Vercet logo are trademarks or registered trademarks of NatureWorks LLC in the USA and other countries. 2017 NatureWorks LLC. All rights reserved. 16 // NATUREWORKS PERFORMANCE CHEMICALS