Westlake's Business Segments

We are a vertically integrated global manufacturer and marketer of basic chemicals, vinyls, polymers and building products. Our products include some of the most widely used chemicals in the world, which are fundamental to many diverse consumer and industrial markets, including flexible and rigid packaging, automotive products, coatings, water treatment, refrigerants, residential and commercial construction as well as other durable and non-durable goods. We operate in two principal operating segments, Olefins and Vinyls. We are highly integrated along our olefins product chain with significant downstream integration into polyethylene and styrene monomer. We are also an integrated global producer of vinyls with substantial downstream integration into polyvinyl chloride ("PVC") building products.

As of the latest update, Westlake Corporation operates across various segments, focusing primarily on the production of essential petrochemicals and vinyl products. The company has established a robust presence in the olefins and vinyls markets, providing a wide array of products and services to meet diverse industrial and consumer needs.

Olefins Business

Overview:
Olefins serve as foundational building blocks for numerous petrochemical products. Westlake Corporation manufactures key olefin products, including ethylene, polyethylene, styrene, and other associated co-products at its production facilities located in Lake Charles, Louisiana, and Longview, Texas.

Production Facilities:
1. Lake Charles Facility:
- Ethylene production (through OpCo): Capable of producing0 billion pounds annually.
- Two ethylene plants, two polyethylene plants, and one styrene monomer plant.
- Various ethylene co-products (chemical grade propylene, crude butadiene, pyrolysis gasoline, hydrogen) produced and sold externally.

2. Longview Facility:
- Specialized in the production of polyethylene, including three polyethylene plants and one specialty polyethylene wax plant.
- Capacity for producing polyethylene includes 1.5 billion pounds of LDPE and 1.1 billion pounds of LLDPE annually.

Key Products:
- Ethylene: A fundamental petrochemical, primarily used to manufacture polyethylene, EDC (ethylene dichloride), VCM (vinyl chloride monomer), and styrene. Ethylene is produced from both internal operations and external purchases.
- Polyethylene: The most widely consumed polymer globally, available in different forms:
- LDPE (Low-Density Polyethylene): Utilized for products like food wraps and plastic bags due to its clarity and flexibility.
- LLDPE (Linear Low-Density Polyethylene): Known for its higher strength properties, used in heavy-duty packaging.
- HDPE (High-Density Polyethylene): Employed in the manufacture of rigid products such as containers and pipes.

Vinyls Business

Overview:
Westlakes integrated Vinyls segment specializes in various products, including PVC (polyvinyl chloride), VCM, EDC, and related chlor-alkali products. The company manages the production chain from basic chemicals to finished PVC products to optimize margins and capacity.

Production Facilities:
- Facilities are strategically located in North America (Calvert City, Kentucky; Lake Charles, Plaquemine, and Geismar, Louisiana) and internationally in Europe (Germany and the U.K.) and Asia (China and Taiwan).
- Key facilities include chlor-alkali plants for chlorine and caustic soda, VCM plants, and PVC production facilities.

Key Products:
1. PVC and PVC Compounds:
- PVC is the third most utilized plastic worldwide, valued for its versatility and cost-effectiveness.
- Products include a wide range of building materials such as siding, pipes, window profiles, and more.
- Custom formulations for PVC compounds are tailored to customer specifications for various applications, including insulation and construction products.

2. VCM (Vinyl Chloride Monomer):
- A crucial ingredient for PVC production; significant capacity exists across North America and Europe for VCM production.

3. Chlorine and Caustic Soda:
- Produced via electrolysis of salt water, these are essential chemicals used in various industries, including pulp and paper production.

4. Chlorinated Derivative Products:
- The company produces a range of chemicals, including solvents and reagents like perchloroethylene and trichloroethylene, catering to industries such as pharmaceuticals, water treatment, and food processing.

Additional Products and Services

In addition to its primary segments, Westlake Corporation also engages in market activities that optimize the distribution of its chemical products. These include:

- Technical Support and Services: Providing guidance and support for product applications and performance, helping customers to achieve optimal results with Westlakes materials.
- Research and Development: Investment in R&D to innovate and enhance product offerings, focusing on sustainability and performance improvements.

Conclusion

Westlake Corporation continues to position itself as a leader in the petrochemical and vinyl markets by offering a comprehensive range of products and services. The companys dedication to innovation, efficiency, and sustainability ensures that it meets the evolving needs of its diverse customer base on a global scale.