Dow Corning Announces Hemlock Semiconductor Launching Global Search for New Polycrystalline Silicon Manufacturing Site

Dow Corning Announces Hemlock Semiconductor Launching Global Search for New Polycrystalline Silicon Manufacturing Site

August 01, 2006

Growth in solar industry powering demand for ultra-pure material

    HEMLOCK, Mich., Aug. 1 /Xinhua-PRNewswire/ -- Hemlock
Semiconductor Corporation, based in Hemlock, Mich. (USA),
is launching a worldwide search for a potential second
manufacturing site to produce polycrystalline silicon to
support the growing demand from the solar industry and
electronics markets.  

    The search will begin immediately as company officials
evaluate locations throughout the globe.  Hemlock
Semiconductor would like to have the new facility
operational within the next 5 years.  Factors in selecting
the new site include: cost of energy, tax considerations,
incentive programs, labor and land costs, and the
surrounding infrastructure.

    "The solar industry requires polycrystalline
silicon to continue to develop the next generation of solar
technologies," said Richard S. Doornbos, president and
CEO of Hemlock Semiconductor.  "We're looking for a
site that enables us to expand and continue to serve
customers around the world in this rapidly growing and
progressive industry.  Exploring opportunities for adding
capacity in Michigan will get the same consideration as
other potential global sites," said Doornbos.

    Polycrystalline silicon is the cornerstone material
used to produce solar cells that harvest energy from
sunlight.  An ultra-pure version of the material is also
the base-material for silicon wafers used in electronic
devices.

    Hemlock Semiconductor is the world's largest producer
of polycrystalline silicon.  In November 2005, the company
broke ground on an expansion at its existing facility in
Hemlock, Mich. that will increase the site's current annual
capacity of 10,000 metric tons to 14,500 metric tons in 2008
and then to 19,000 metric tons by 2009.  Doornbos said the
capacity at the second site will provide additional
flexibility for future growth.]

    Marie N. Eckstein, vice president and general manager
of Advanced Technologies at Dow Corning expects the solar
energy industry to grow at a 30 - 40 percent pace over the
next 10 years.  "The solar industry is ripe with
innovation, and shortages in polycrystalline silicon have
held the industry back somewhat," said Eckstein. 
"Dow Corning and Hemlock Semiconductor are doing
everything we can to help our customers continue to create
innovative products that benefit people throughout the
globe."

    Hemlock Semiconductor Corporation is a joint venture of
Dow Corning Corporation and two Japanese firms, Shin-Etsu
Handotai Company, Ltd. and Mitsubishi Materials
Corporation.  In addition to serving the solar energy
market, the company also provides materials used in the
production of semiconductor devices used in computers, cell
phones and other electronic applications.

    Hemlock Semiconductor Corporation (
http://www.hscpoly.com ) is the world's leading provider of
polycrystalline silicon and other silicon-based products
used in the manufacturing of semiconductor devices and
passive solar cells and modules.  Headquartered in Hemlock,
Mich., Hemlock Semiconductor is owned in majority by Dow
Corning Corporation.

    Dow Corning Corporation ( http://www.dowcorning.com )
provides performance-enhancing solutions to serve the
diverse needs of more than 25,000 customers worldwide.  A
global leader in silicon-based technology and innovation,
offering more than 7,000 products and services, Dow Corning
is equally owned by The Dow Chemical Company (NYSE: DOW) and
Corning, Incorporated (NYSE: GLW).  More than half of Dow
Corning's annual sales are outside the United States.

    WE HELP YOU INVENT THE FUTURE(TM)

    /NOTE TO EDITORS:  Interview requests with Hemlock
Semiconductor and Dow Corning personnel available upon
request.  Pictures of Hemlock Semiconductor's current
facility, Richard Doornbos, Marie Eckstein and
polycrystalline silicon available by contacting Jarrod
Erpelding of Dow Corning./

    For more information, please contact:

     Jarrod Erpelding, 
     Dow Corning
     Tel:   [phone]
     Email: [e-mail] 

SOURCE  Dow Corning Corporation