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Tomorrow's Answers Today - AkzoNobel

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Tomorrow’s<br />

<strong>Answers</strong> <strong>Today</strong><br />

The history of <strong>AkzoNobel</strong> since 1646


Tomorrow’s <strong>Answers</strong> <strong>Today</strong>


The history of <strong>AkzoNobel</strong><br />

<strong>AkzoNobel</strong>, Amsterdam


© Akzo Nobel N.V. 2008<br />

Tomorrow’s <strong>Answers</strong> <strong>Today</strong> is a trademark of Akzo Nobel N.V.<br />

No part of this publication may be reproduced, stored in a retrieval system or transmitted<br />

in any form or by any means, including, but not limited to, electronic, digital, mechanical,<br />

photocopying or recording, without obtaining prior written permission from Akzo Nobel N.V.,<br />

Strawinskylaan 2555, 1077 ZZ Amsterdam, the Netherlands.<br />

<strong>AkzoNobel</strong> has made every reasonable effort to identify holders of copyrights, portrait rights<br />

or moral rights related to the images included in this book (see Credits, page 277). Parties that<br />

wish to assert alleged rights are invited to contact <strong>AkzoNobel</strong> Corporate Communications<br />

at info@akzonobel.com.<br />

Printed in the Netherlands<br />

ISBN 978 90 9022883 9


7 Preface<br />

Hans Wijers, CEO and Chairman of the<br />

Board of Management, <strong>AkzoNobel</strong><br />

9 Introduction<br />

Jonathan Steffen, Editor<br />

10 A history in milestones<br />

23 A history of histories<br />

31 The evolution of <strong>AkzoNobel</strong><br />

33 The Akzo legacy<br />

Map of the Netherlands<br />

35 The creation of Akzo<br />

41 The creation of Enka, AKU<br />

and the Dutch synthetic<br />

fibers industry<br />

49 Sikkens:<br />

From local start-up to<br />

world leader in coatings<br />

63 Ketjen:<br />

A leading sulfuric acid<br />

manufacturer<br />

67 Koninklijke Nederlandse<br />

Zoutindustrie:<br />

The Netherlands’ first large-scale<br />

salt manufacturer<br />

73 Noury & Van der Lande:<br />

Pioneers of peroxide<br />

79 Kortman & Schulte:<br />

The first manufacturers of soda<br />

in the Netherlands<br />

83 Boldoot:<br />

The creation of a household name<br />

91 Van Hasselt:<br />

A lesson in home-grown innovation<br />

95 Duyvis:<br />

From animal feed to party snacks<br />

101 Organon:<br />

From meat products<br />

to innovative pharmaceuticals<br />

109 Intervet:<br />

A tale of healthy growth<br />

113 Armour and Stauffer:<br />

From Chicago to Stenungsund<br />

and back<br />

119 The Nobel legacy<br />

Map of Scandinavia<br />

121 Nobel Industries<br />

125 Alfred Nobel:<br />

Inventor, entrepreneur and<br />

industrialist<br />

133 Nitroglycerin Aktiebolaget:<br />

Nitro Nobel, an explosive history<br />

137 Bofors:<br />

From a rural iron forge<br />

to a legendary weapon<br />

143 Stockholms Superfosfat:<br />

A chemical precursor<br />

of many Nobel businesses<br />

149 Eka:<br />

A world leader in electrochemistry<br />

157 Sadolin:<br />

The union of paint and enamel<br />

165 Nordsjö:<br />

Technology leader in<br />

environmentally-friendly paints<br />

173 Casco:<br />

A journey of technical exploration<br />

179 Barnängen:<br />

Victorian paternalism<br />

and personal care products<br />

185 Berol:<br />

From consumer products<br />

to process ingredients<br />

193 Crown Berger:<br />

From innovative wallpapers<br />

to innovative paints<br />

199 The Courtaulds legacy<br />

Map of Great Britain<br />

201 Courtaulds:<br />

From Victorian silk to synthetic fibers<br />

215 International:<br />

A company with a truly international<br />

mindset<br />

223 The ICI legacy<br />

Map of Great Britain<br />

225 Imperial Chemical Industries (ICI)<br />

249 <strong>AkzoNobel</strong><br />

Map of the world<br />

251 <strong>AkzoNobel</strong> 1994–2008:<br />

Consolidation and focus<br />

257 <strong>AkzoNobel</strong> in the<br />

21st century<br />

261 Afterword: Towards a more<br />

sustainable society<br />

263 Bibliography<br />

265 Index<br />

277 Credits<br />

5


6<br />

Hans Wijers, CEO of <strong>AkzoNobel</strong>


History is usually all about looking back. So why does this<br />

book – the first general history of <strong>AkzoNobel</strong> ever to be<br />

published – start with the word tomorrow?<br />

Well, in many ways, every event in our rich history has been<br />

leading to this point: the rebirth of our company. We have<br />

been transformed, revitalized. We have a new brand and a<br />

new identity.<br />

Our new brand promise has been adopted for the title of this<br />

book, which is being published at a pivotal time in our long,<br />

proud history. Tomorrow’s <strong>Answers</strong> <strong>Today</strong> embodies the<br />

fact that we have clear ambitions for the future. But now is<br />

also a perfect moment to pause and reflect on how we got<br />

here. And where we came from. As we enter a new era, it is<br />

appropriate to recall how innovators in years gone by and<br />

great names from the past have helped shape and build<br />

<strong>AkzoNobel</strong> into the global industrial leader we are today.<br />

<strong>AkzoNobel</strong> has been created from a variety of individual companies,<br />

with their origins in the Netherlands, Scandinavia,<br />

the United States and the UK. As their operations expanded,<br />

these companies moved into new markets and territories,<br />

many of them becoming multinational organizations in<br />

their own right. They occupied leading positions in a host<br />

of different industrial sectors, continually evolving in order<br />

to remain successful. They grew by adapting to new challenges<br />

and creating new solutions.<br />

Despite the enormous variety of industrial sectors and geographies<br />

in which our predecessor companies operated,<br />

they are united by striking similarities. They were proactive,<br />

pragmatic, and focused on delivering answers. Some of the<br />

entrepreneurs who created the great industrial names of our<br />

past actually failed in their first attempts to start a business.<br />

Others were the sons of fathers who had not succeeded<br />

as entrepreneurs. But they were not deterred by these setbacks.<br />

On the contrary, they drew strength from them and<br />

became even more determined to achieve success.<br />

Many of the early company owners and managers were also<br />

“early adopters” – not necessarily all great inventors like Alfred<br />

Nobel, but hugely innovative in their understanding of technologies,<br />

processes and markets. They knew what could be<br />

achieved commercially if the right technology was presented<br />

in the right way to the right market at the right time.<br />

And history has proved them right. Time and again, their<br />

entrepreneurial instincts put their businesses on course for<br />

spectacular growth.<br />

In many ways, today’s <strong>AkzoNobel</strong> is worlds away from our<br />

founding fathers of the 18th and 19th centuries. We operate<br />

a global company in a global economy, with all the opportunities<br />

and challenges that globalization entails. Yet even as<br />

we look to the future, I believe that we have much to learn<br />

from our past. And I believe that the spirit that made so many<br />

of our predecessor companies so great lives on among<br />

<strong>AkzoNobel</strong>’s employees today. Because wherever you may<br />

be, whenever you may be reading these words, you can be<br />

sure that there will be <strong>AkzoNobel</strong> employees somewhere<br />

in the world committed to delivering on our brand promise:<br />

Tomorrow’s <strong>Answers</strong> <strong>Today</strong>.<br />

Hans Wijers<br />

CEO and Chairman of the Board of Management, <strong>AkzoNobel</strong><br />

7


The history of <strong>AkzoNobel</strong> is a history of histories – not a<br />

single stream of consecutive events but rather a network<br />

of stories that interrelate in ways that are always intriguing<br />

and sometimes dramatic. In telling the story of <strong>AkzoNobel</strong>,<br />

Tomorrow’s <strong>Answers</strong> <strong>Today</strong> attempts to make the main<br />

threads of this multiple narrative clear to the general reader.<br />

When compiling this first ever history of <strong>AkzoNobel</strong>, the editorial<br />

team had many questions to address. Where should<br />

such a narrative commence? How should it be structured?<br />

What should it include, and what should it omit? And what<br />

editorial criteria should inform such decisions?<br />

Ultimately it was the extent, richness and complexity of<br />

<strong>AkzoNobel</strong>’s history itself that provided the answers to these<br />

questions. Study of the source material indicated that one<br />

of the prime editorial challenges would be to present such a<br />

wealth of information in an accessible way, so as to ensure<br />

that the great stories and extraordinary facts of the organization’s<br />

remarkable past were offered in readable form.<br />

It was therefore decided to tell the story of <strong>AkzoNobel</strong> in<br />

terms of the history of its constituent companies – rather<br />

than, for instance, the development of its current technologies,<br />

business units or product lines. Considerations of<br />

space regrettably made it impossible to include every single<br />

company that has contributed to the evolution of <strong>AkzoNobel</strong>.<br />

Among those companies whose stories figure here, reasons<br />

of space likewise precluded any attempt at a comprehensive<br />

or definitive historical account. Rather, an attempt has been<br />

made to highlight some of the key moments in the histories<br />

of these organizations – their foundation, their major successes,<br />

their greatest challenges.<br />

The fact that many of these companies evolved along parallel<br />

tracks in different countries before becoming involved<br />

with each other also presented an editorial challenge. Again,<br />

with the needs of the general reader in mind, it was decided<br />

to structure the main bulk of the narrative in terms of the four<br />

main streams of business activity that have made <strong>AkzoNobel</strong><br />

what it is today – the Akzo legacy, the Nobel legacy, the<br />

Courtaulds legacy and the ICI legacy. It is hoped that this<br />

approach will allow readers to enjoy this book either as a<br />

linear narrative or as a resource that offers many different<br />

points of entry.<br />

The timeline – A history in milestones – provides a chronological<br />

overview of some of the many significant dates in the<br />

story of <strong>AkzoNobel</strong>. The next section – A history of histories<br />

– offers a concise account of the company’s evolution in narrative<br />

form. This account is complemented by The Evolution<br />

of <strong>AkzoNobel</strong>, which presents a graphical overview of the<br />

most significant acquisitions and divestments which have<br />

occurred during the company’s history. It is hoped that<br />

these three sections, taken together, will provide an accessible<br />

introduction to a spectacularly vibrant industrial enterprise<br />

which has assumed many shapes during the centuries<br />

of its existence.<br />

Most of the book is dedicated to the four legacies that have<br />

combined to create today’s <strong>AkzoNobel</strong>. As the narrative<br />

focuses on the stories of companies rather than products<br />

or technologies, the individual chapters start with the foundation<br />

of the companies in question and end at the point<br />

at which those companies became part of a larger parent<br />

company. The book concludes with a brief account of<br />

<strong>AkzoNobel</strong>’s recent history and a snapshot of the organization<br />

at the time that this book went to press.<br />

Tomorrow’s <strong>Answers</strong> <strong>Today</strong> is the result of the efforts of<br />

many people – namely the authors, living and deceased, of<br />

the numerous books, articles and brochures on which it is<br />

based, and colleagues around the world who have contributed<br />

with insights, ideas and source materials.<br />

I would like to thank John McLaren, Director of Corporate<br />

Communications <strong>AkzoNobel</strong>, who came up with the original<br />

idea to produce this book and whose support and vision has<br />

been invaluable. Furthermore, my particular thanks go to:<br />

Donald Anderson, Mark Bannister, Els Boom, Oskar<br />

Bosson, Ian Chamberlain, Fred van Daalen, John Dawson,<br />

Anette Furbo, Anthea Gordon, Harrie van Grinsven,<br />

Peter de Haan, Annika Häll, Carol Heard, John Jennings,<br />

Frank Jones, Annemiek Kadijk, Ole Kjellin, Anna Larsson,<br />

David Lichtneker, Mikael Json Linde, Aarnout A. Loudon,<br />

Heleen van de Lustgraaf, Walter Luykenaar, Pete Murphy,<br />

Anna-Clara Olofsson, Berry Oonk, Evelien van Oudshoorn,<br />

Geoffrey Owen, Valerie Pomeroy, Marijke Raanhuis, Philip<br />

E. Radtke, Kent Renström, Wiggert Schurink, Ed Stec,<br />

Ing-Marie Trygg, Robby Tulaar, Pepe Vargas, Peter<br />

E. Vellinga, Robert van Vlijmen, Bert van der Wal, Derek<br />

Welch, Erik Widén and Victoria Wisener.<br />

A special thank-you also goes to Ian Cressie for editorial<br />

assistance. His unflagging support and eagle eye have been<br />

invaluable in creating this book.<br />

Jonathan Steffen<br />

Editor<br />

Amsterdam, October 2008<br />

9


Lewis Berger founds a paint<br />

factory in London, England<br />

Bofors forge founded in Sweden<br />

Dyestuffs company Holmblad (a<br />

forerunner of the Sadolin ® brand)<br />

founded in Copenhagen, Denmark<br />

Fragrances company Boldoot<br />

founded as a pharmacy in<br />

Amsterdam, the Netherlands<br />

Lacquer manufacturer Sikkens<br />

Lakfabrieken founded in<br />

Groningen, the Netherlands<br />

Bemberg founded in Wuppertal,<br />

Germany, as a manufacturer of<br />

dyestuffs<br />

Duyvis founded in the Zaan<br />

region of the Netherlands as a<br />

producer of vegetable oils<br />

Holmblad moves into paint<br />

manufacture<br />

Silk manufacturer Courtaulds<br />

founded in Essex, Great Britain<br />

Paint company Pinchin<br />

Johnson & Associates<br />

founded in the United States<br />

Sulfuric acid producer Ketjen<br />

founded in Amsterdam, the<br />

Netherlands<br />

Oils and oatmeal company Noury<br />

& Van der Lande founded in<br />

Deventer, the Netherlands<br />

1646 1760 1777 1789 1792 1806 1819 1826 1834 1835 1838 1841<br />

Tallow candle factory<br />

Liljeholmens Stearinfabrik<br />

founded in Stockholm, Sweden


The Italian Ascanio Sobrero<br />

discovers nitroglycerin<br />

Holmblad builds Denmark’s<br />

first enamel manufacturing plant<br />

Alfred Nobel invents the blasting<br />

cap, a form of safe detonator<br />

Explosives company Nitroglycerin<br />

AB (Nitro Nobel) founded in Sweden<br />

Alfred Nobel invents dynamite<br />

Meat-producing company<br />

Armour & Co. founded<br />

in Chicago, Illinois<br />

Ink manufacturer Barnängen<br />

founded in Sweden<br />

Stockholms Superfosfat<br />

Fabriks AB founded in<br />

Stockholm, Sweden<br />

Alfred Nobel patents blasting gelatin<br />

Boldoot starts using Eau de<br />

Cologne in toilet soaps<br />

Bofors constructs its first<br />

cannon armory<br />

1847 1861 1863 1864 1867 1868 1871 1876 1881 1883 1884 1885<br />

Paint company Holzapfels Limited,<br />

the forerunner of International Paints,<br />

founded in Newcastle, Great Britain<br />

The British market for crepe<br />

goes into rapid decline<br />

Van Hasselt’s products win first prize<br />

at the London Agricultural Exhibition<br />

11


A history in milestones<br />

Soda manufacturer Kortman &<br />

Schulte founded in Rotterdam,<br />

the Netherlands<br />

Formation of the Nobel<br />

Dynamite Trust Co.<br />

Formation of Société Centrale<br />

de Dynamite<br />

Salt deposits are identified on<br />

Dutch soil for the first time ever<br />

Meat producer Zwanenberg<br />

founded in the Netherlands<br />

Holzapfels Limited builds a<br />

paint factory in Russia<br />

British scientists Charles<br />

Frederick Cross, Edward John<br />

Bevan and Clayton Beadle<br />

patent the process for<br />

manufacturing viscose<br />

Alfred Nobel acquires the<br />

Swedish armaments firm Bofors<br />

Stockholms Superfosfat<br />

Fabriks opens a hydro-electric<br />

power station at Månsbo<br />

Electrochemical company<br />

Elektrokemiska Aktiebolaget<br />

(the forerunner of Eka) founded<br />

in Bengtsfors, Sweden<br />

Alfred Nobel signs his will<br />

providing for the establishment<br />

of the Nobel Foundation<br />

John Stauffer Sr. goes into<br />

partnership with Joseph Mayer<br />

to found Stauffer Chemical Co.<br />

in San Franciso<br />

Armour builds a soap works<br />

and starts producing Armour’s<br />

Family Soap<br />

Barnängen launches its<br />

Savon de l’Exposition at the<br />

Stockholm Exhibition; the<br />

company also launches the<br />

mouthwash Vademecum<br />

Courtaulds purchases a mill in<br />

Lancashire, Great Britain – the<br />

first outside the company’s<br />

traditional Essex base<br />

Kortman & Schulte launches<br />

the cosmetic soap<br />

Vereinigte Glanszstoff<br />

Fabriken founded in Germany<br />

Elektrokemiska Aktiebolaget<br />

successfully produces lye and<br />

chloride of lime<br />

Walpamur, or the Wallpaper<br />

Manufacturers Ltd., is founded<br />

in Darwen, near Bolton in<br />

Lancashire, Great Britain<br />

1886 1887 1888 1889 1892 1894 1895 1896 1897 1898 1899 1900<br />

Kortman & Schulte moves to<br />

Rotterdam’s Delfshaven, where<br />

it produces soda and a meat<br />

preservative<br />

Sikkens starts producing<br />

Japanese lacquers<br />

Ketjen builds a new sulfuric<br />

acid plant in Amsterdam


A history in milestones<br />

First Nobel Prizes awarded<br />

Boldoot builds its own<br />

soap factory in Amsterdam<br />

Paint company Nordsjö<br />

founded in Malmö, Sweden<br />

Courtaulds acquires the<br />

British rights to manufacture<br />

viscose and lists its shares on<br />

the London Stock Exchange<br />

Holzapfels Limited builds a<br />

paint factory in Felling-on-Tyne,<br />

Great Britain<br />

G.W. Sikkens & Co. receives<br />

the designation “Royal”<br />

Walpamur commences paint<br />

manufacture and launches<br />

“Hollins” distemper<br />

Noury & Van der Lande builds<br />

a new oil factory in Emmerich<br />

am Rhein, Germany<br />

Sadolins Farver, specializing in<br />

artists’ paints and printing inks,<br />

is founded by Gunnar Sadolin<br />

Duyvis starts exporting linseed oil<br />

Courtaulds acquires the<br />

American rights to the<br />

manufacture of viscose<br />

Nederlandse Kunstzijdefabriek<br />

(Enka) is founded in Arnhem, the<br />

Netherlands<br />

1901 1902 1903 1904 1905 1906 1907 1908 1909 1911 1912 1914<br />

Ketjen builds a hydrochloric<br />

acid plant in Amsterdam<br />

Enka ® viscose filament yarns for<br />

textile applications are launched<br />

Stockholms Superfosfat Fabriks<br />

completes construction of Ljungaverk<br />

hydroelectric power station<br />

Sadolins Farver merges with paint<br />

and enamel manufacturer Holmblad<br />

13


A history in milestones<br />

The Walpamur Company is<br />

created to focus exclusively on<br />

paint and varnish manufacture;<br />

the Wallpaper Manufacturers<br />

Ltd. continues to produce<br />

wallpaper<br />

Under the terms of the “Salt<br />

Convention”, 34 associations of<br />

salt miners in the Netherlands<br />

agree to link 53.5% of their<br />

production of salt for the<br />

national market to that of KNZ<br />

Boldoot opens its flagship<br />

showroom in Amsterdam<br />

KNZ builds its first salt silo<br />

Armour develops fatty acid<br />

fractionation<br />

Fred Banting and Charles Best<br />

discover insulin in Canada<br />

Organon is founded in Oss, the<br />

Netherlands, and commences<br />

insulin production<br />

Sadolin & Holmblad commences<br />

production of synthetic organic<br />

pigments<br />

Elektrokemiska Aktiebolaget<br />

closes in Bengtsfors and starts<br />

a new company under the same<br />

name in Bohus, Sweden<br />

Bofors commences production<br />

of its first automatic weapon,<br />

the 20mm AA naval gun<br />

KNZ introduces an improved<br />

production process. It launches<br />

‘Jozo ® ’, an iodized salt, and also<br />

starts producing soda<br />

Sikkens makes its Rubbol Japanese<br />

lacquer suitable for the painting of cars<br />

Organon produces the female sex<br />

hormone Menformon ®<br />

ICI is founded via the Aquitania<br />

Agreement<br />

EKA (an abbreviation of<br />

Elektrokemiska Aktiebolaget)<br />

commences production of<br />

water glass<br />

Sikkens introduces cellulose<br />

lacquer<br />

Organon produces the injectable<br />

liver extract Pernaemon ®<br />

Casco AB is founded in<br />

Stockholm, Sweden<br />

1915 1918 1919 1921 1923 1924 1925 1926 1927 1928 1929 1930<br />

Koninklijke Nederlandse<br />

Zoutindustrie (KNZ) is founded<br />

in Enschede, the Netherlands<br />

Holzapfels Limited changes<br />

its name to The International<br />

Paint & Compositions Co. Ltd<br />

Stockholms Superfosfat<br />

Fabriks acquires the majority<br />

shareholding in Nitroglycerin AB<br />

AKU becomes the majority<br />

(76%) shareholder in Vereinigte<br />

Glanszstoff Fabriken<br />

American Enka Corporation<br />

founded in Asheville, North Carolina<br />

KNZ implements two deep salt<br />

wells, one in Twekkelo and one in Oele<br />

Margarine Unie, a predecessor of<br />

Unilever, acquires the oil, fat and<br />

soap works of Zwanenberg’s<br />

original meat processing business<br />

Casco commences production of<br />

casein glue<br />

ICI comes close to bankruptcy<br />

EKA expands its product range to<br />

include ferric chloride, hydrochloric<br />

acid and hydrogen peroxide<br />

Casco acquires the licensing rights<br />

for the production of soy adhesive


A history in milestones<br />

G.W. Sikkens & Co. receives<br />

the title “Purveyor to the Royal<br />

Household”<br />

Samuel Courtauld IV founds the<br />

Courtauld Institute of Art in London<br />

Superphosphate production ends<br />

at Liljeholmens Stearinfabrik and<br />

a new potassium nitrate factory<br />

opens a year later in Ljungaverk,<br />

Sweden<br />

KNZ inaugurates a new plant,<br />

expanding its product range to<br />

include hydrochloric acid, chlorine<br />

bleach, liquid chlorine, caustic<br />

soda and sodium hydroxide<br />

International starts supplying<br />

yachting paints to pleasure-boat<br />

builders<br />

Duyvis launches its first sauce,<br />

a salad dressing named Salata ®<br />

ICI invents Perspex ®<br />

Noury & Van der Lande builds an<br />

oil mill in Compiègne, France<br />

ICI discovers polythene by accident<br />

Sikkens launches the synthetic<br />

lacquer Rubbol ® A-Z ®<br />

KNZ launches Colorozo ® , a<br />

salt for the preservation and<br />

coloring of fine meat products<br />

Bad Boekelo, a health spa<br />

equipped with a natural saltwater<br />

bath with artificial waves,<br />

is built on KNZ’s Boekelo site<br />

Ketjen develops activated carbon<br />

Casco launches the casein/<br />

rubber-latex adhesive LR-lim<br />

KNZ inaugurates a new salt and<br />

electrolysis plant at Hengelo<br />

Bofors sells its first L/70 40mm gun<br />

ICI enters the pharmaceuticals<br />

business<br />

Berol is founded in Södertälje,<br />

Sweden, to produce impregnation<br />

agents<br />

Ketjen upgrades its sulfuric<br />

acid plant to make it the<br />

biggest in Europe<br />

Noury & Van der Lande commences<br />

citric acid production<br />

Organon produces the thyroid<br />

gland hormone Thyranon ®<br />

Nordsjö launches the binding<br />

agent Bindol ®<br />

Barnängen joins forces with<br />

Lars Montén to create the<br />

Kema Companies<br />

KNZ commences potash<br />

production<br />

Casco launches its first<br />

adhesive for linoleum<br />

ICI establishes its Plastics<br />

Division<br />

Sikkens relocates from<br />

Groningen to Sassenheim<br />

Armour uses the first<br />

commercially produced<br />

long-chain fatty amine for<br />

the improvement of potash<br />

EKA commences metasilicate<br />

production<br />

Swedish forest products<br />

company Mo och Domsjsö<br />

(MoDo) commences production<br />

of ethylene glycol<br />

ICI and Courtaulds form<br />

British Nylon Spinners to<br />

manufacture nylon under<br />

license from DuPont<br />

Stockholms Superfosfat<br />

Fabriks begins production of<br />

carbide and calcium nitrate<br />

Courtaulds is obliged to sell<br />

American Viscose Corporation<br />

The Calico Printers’ Association<br />

presents the concept for<br />

Terylene ® to ICI<br />

Berol extends its product range<br />

to include products for the<br />

defense industry<br />

ICI synthesizes medically usable<br />

penicillin<br />

1931 1932 1933 1934 1936 1937 1938 1939 1940 1941 1942 1943<br />

Casco launches RX ® Glue for<br />

office and domestic use<br />

15<br />

ICI’s pilot plant for the production<br />

of uranium goes into operation


A history in milestones<br />

Stockholms Superfosfat<br />

Fabriks begins making plastics<br />

and starts trial production of the<br />

synthetic rubber Svedopren AKU begins to expand its<br />

product portfolio to lessen its<br />

dependency on rayon<br />

Organon launches<br />

Cortophine ® , a hormone that<br />

regulates the adrenal cortex<br />

ICI launches the herbicide<br />

Methoxone ®<br />

Stockholms Superfosfat<br />

Fabriks acquires Liljeholmens<br />

Stearinfabrik<br />

Ketjen commences construction<br />

of a sulfur dioxide plant in<br />

Amsterdam<br />

Nordsjö starts building a new<br />

manufacturing facility in Sege,<br />

Sweden<br />

Sikkens sets up the artificial<br />

resin company Synthese<br />

Zwanenberg & Co and<br />

Organon merge to form<br />

Zwanenberg-Organon<br />

Armour launches Dial<br />

Deodorant Soap<br />

Laboratoria Nobilis (the forerunner<br />

of Intervet) is founded in<br />

Boxmeer, the Netherlands<br />

Armour opens the world’s first<br />

commercial fatty amine plant in<br />

McCook, Illinois<br />

Barnängen opens the Shantung<br />

School for beauty care<br />

Chefaro acquires Van Hasselt<br />

following the untimely death of<br />

managing director Johan van<br />

Hasselt<br />

Walpamur ® is awarded a royal<br />

warrant; another is to follow in 1955<br />

The International Paint &<br />

Compositions Co Ltd changes<br />

its name to International<br />

Paints (Holdings) Ltd<br />

Casco launches the wood glue<br />

Cascol ®<br />

Enka builds its Enkalon ® plant in<br />

Emmen, the Netherlands, to manufacture<br />

nylon yarns and fibers<br />

Organon launches Bifacton ® , a<br />

successor product to Parnaemon<br />

for the treatment of anemia<br />

Organon commences production<br />

of cortisone<br />

ICI’s Dulux ® paint enters the<br />

retail market. In the same year,<br />

ICI launches its revolutionary<br />

new anesthetic Fluothane ®<br />

Zwanenberg-Organon<br />

receives its royal warrant<br />

to become Koninklijke<br />

Zwanenberg-Organon<br />

1944 1945 1946 1947 1948 1949 1950 1951 1952 1953 1954 1955<br />

Stockholms Superfosfat<br />

Fabriks opens a PVC plant at<br />

Stockvik<br />

MoDo buys Berol<br />

ICI’s anti-malarial drug<br />

Paludrine ® is used extensively<br />

by the British Army<br />

Ketjen constructs a plant in<br />

Amsterdam to make catalysts<br />

for the oil industry<br />

Sikkens lists on the Amsterdam<br />

stock exchange<br />

Enka develops a spinning process<br />

for the continuous production of<br />

viscose filament yarns


A history in milestones<br />

EKA commences ammonia<br />

production<br />

KNZ produces calcined<br />

(water-free) soda<br />

KNZ commences construction<br />

of a chlorine electrolysis plant<br />

in Delfzijl<br />

Organon launches Durabolin ® ,<br />

one of the first anabolic steroids<br />

ICI launches Procion ® reactive<br />

dyes. In the same year it<br />

establishes its Fibres Division<br />

Organon launches Ovestin ®<br />

for treatment of uro-genital<br />

symptoms in menopausal<br />

women<br />

ICI establishes its Medical<br />

Division<br />

Duyvis receives the designation<br />

“Royal” and lists its shares on<br />

the Amsterdam stock exchange<br />

Courtaulds acquires aircraft<br />

coatings manufacturer Cellon<br />

The Sikkens Prize is inaugurated<br />

for artists, architects and<br />

designers whose work creates<br />

a synthesis of space and color<br />

Armour enters into a joint<br />

venture with Dan Hess in Great<br />

Britain to produce fractionated<br />

fatty acids and nitrogen<br />

derivatives<br />

KNZ starts producing salt in<br />

Delfzijl<br />

MoDo builds a petrochemical<br />

ethylene plant in Stenungsund,<br />

Sweden<br />

Courtaulds acquires Pinchin<br />

Johnson & Associates<br />

Koninklijke Zwanenberg-<br />

Organon acquires the personal<br />

care and fragrances manufacturer<br />

Boldoot<br />

Koninklijke Nederlandse<br />

Zoutindustrie (KNZ) and<br />

Ketjen merge to form<br />

Koninklijke Zout-Ketjen (KZK)<br />

Sikkens launches its Autoflex ®<br />

one-day car refinishing system<br />

Duyvis moves into the production<br />

and marketing of packaged nuts<br />

ICI makes an unsuccessful bid<br />

to acquire Courtaulds<br />

Koninklijke Zwanenberg-<br />

Organon acquires Laboratoria<br />

Nobilis, the forerunner of Intervet<br />

Organon launches Humegon ® ,<br />

a fertility hormone for women<br />

KNZ acquires zinc producer<br />

Kempensche Zinkmaatschappij<br />

Kortman & Schulte starts<br />

manufacturing enzyme-based<br />

detergents<br />

Sikkens becomes part of<br />

Koninklijke Zout-Ketjen (KZK)<br />

Armour acquires Kessler,<br />

a specialty ester manufacturer<br />

Organon launches its first<br />

contraceptive pill, Lyndiol ®<br />

ICI launches the hormonal<br />

weed killer Gramoxone ®<br />

Nordsjö launches the Tintorama ®<br />

paint color production system<br />

Armour Industrial Chemical<br />

opens a new soap facility in<br />

Montgomery, Illinois<br />

Stockholms Superfosfat<br />

Fabriks changes its name to<br />

Fosfatbolaget AB<br />

Fosfatbolaget AB acquires<br />

Casco<br />

Courtaulds embarks on a new<br />

strategy of vertical integration<br />

Kortman & Schulte and<br />

Noury & Van der Lande are<br />

taken over by Koninklijke<br />

Zwanenberg-Organon;<br />

Nourypharma is absorbed into<br />

Organon<br />

Nitroglycerin AB changes its<br />

name to Nitro Nobel AB<br />

ICI launches the beta-blocker<br />

Inderal ®<br />

Koninklijke Zout-Ketjen<br />

acquires Chefaro, and with it<br />

Van Hasselt<br />

1956 1957 1958 1959 1960 1961 1962 1963 1964 1965 1966 1967<br />

Last member of the Courtaulds<br />

family to sit on the board of<br />

Courtaulds retires<br />

Dutch rayon market collapses<br />

The Crown ® name is first used<br />

to launch Crown ® Plus Two ®<br />

paints in Great Britain<br />

Koninklijke Zout-Ketjen (KZK)<br />

and Koninklijke Zwanenberg-<br />

Organon merge to create<br />

Koninklijke Zout-Organon NV<br />

(KZO)<br />

17


A history in milestones<br />

Organon launches Pavulon ® ,<br />

the first steroidal non-depolarizing<br />

muscle relaxant<br />

Courtaulds (via Pinchin<br />

Johnson & Associates)<br />

acquires International Paints<br />

(Holdings) Ltd<br />

KZO acquires Duyvis<br />

Akzo divests to Unilever the<br />

meat factories that are the basis<br />

of the former Zwanenberg & Co.;<br />

Akzo’s remaining food activities<br />

are bundled together with household<br />

products in Akzo’s<br />

Consumer Products division<br />

Akzo acquires Armour from<br />

Greyhound and forms Akzona<br />

(Akzo North America)<br />

American Enka and<br />

International Salt are united<br />

in Akzona Inc. to create a U.S.<br />

equivalent of the European Akzo<br />

Fosfatbolaget AB changes its<br />

name to KemaNord AB<br />

AKU and Glanzstoff merge under<br />

the name Enka-Glanzstoff;<br />

AKU is the holding company.<br />

AKU and Koninklijke Zout-<br />

Organon merge to create Akzo,<br />

the fourth-biggest company in<br />

the Netherlands and the 10thbiggest<br />

chemical group in the<br />

world, employing 91,700 people<br />

Van Hasselt becomes part<br />

of Akzo’s Chemicals division<br />

Chefaro becomes part of<br />

Akzo’s Pharma division<br />

Organon launches the first<br />

mini-pill<br />

Intervet International bv founded<br />

Greyhound Bus Company<br />

acquires Armour<br />

ICI establishes an<br />

Environmental Sciences Group<br />

The first unifying Akzo logo –<br />

a blue triangle – is developed<br />

Akzo acquires the Noury & van<br />

der Lande plant in Emmerich<br />

am Rhein Germany<br />

Organon splits off its active<br />

pharmaceutical ingredients pro-<br />

duction and sales into an independent<br />

company, Diosynth<br />

Chefaro launches the pregnancy<br />

test Predictor® (originally developed<br />

by Organon)<br />

MoDo consolidates its chemicals<br />

companies into MoDoKemi AB<br />

(headquartered in Stenungsund,<br />

Sweden)<br />

Intervet acquires Poultry<br />

Biologicals in Great Britain<br />

Akzo announces its master<br />

plan in response to the collapse<br />

of profitability of the fibers<br />

division. Employees in Breda<br />

respond with industrial action<br />

and Akzo’s management<br />

withdraws the master plan<br />

Enka International becomes<br />

Akzo International<br />

KemaNord’s paper chemicals<br />

business is combined into one<br />

product group within specialty<br />

chemicals<br />

1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979<br />

Akzo Nederland bv is created,<br />

bringing together some 50 works<br />

councils in the Netherlands.<br />

The company also formulates<br />

a Code of Conduct to which its<br />

management in 45 countries<br />

has to adhere<br />

CascoGard joins KemaNord’s<br />

specialties division<br />

Armak (formerly Armour<br />

Industrial Chemical) builds<br />

the world’s largest plant for the<br />

production of fatty alkyl nitrogen<br />

derivatives in Morris, Illinois<br />

KemaNord AB acquires<br />

the majority shareholding in<br />

Barnängen<br />

Intervet acquires<br />

Láboratorios Saltor in Spain<br />

Akzo plans to merge with Philips<br />

Dunbar but the merger is called off<br />

Organon launches its first antidepressant,<br />

Tolvon ® , as well as<br />

its intra-uterine device Multiload ®<br />

Sikkens Car Refinishes Instruction<br />

Center opens in Sassenheim<br />

MoDo spins off its chemicals<br />

operations to the Swedish state;<br />

the new chemicals groups is<br />

called Berol Kemi AB<br />

International opens a new<br />

factory in Felling, Great Britain;<br />

it also launches the first selfpolishing<br />

copolymer antifouling<br />

coating for sea-going vessels<br />

Akzo’s fibers division makes<br />

losses that bring it to the brink<br />

of financial ruin; the company<br />

makes a net loss for the first<br />

time in its history<br />

T. Herrema, Director of Akzo’s<br />

Ferenka plant in Limerick<br />

(Ireland) is taken hostage by the<br />

IRA; he is freed after 36 days<br />

Sadolin Farveland ® , a chain<br />

of independent paint shops,<br />

is established<br />

The Walpamur Company<br />

changes its name to<br />

Crown Decorative Products<br />

Akzo’s management decides<br />

that, despite the problems of the<br />

fibers business, the company<br />

will continue as a coherent industrial<br />

group, concentrating on<br />

a limited number of worldwide<br />

positions<br />

ICI builds the world’s first commercial<br />

plant to manufacture<br />

protein from methanol<br />

A presidium within Akzo’s<br />

Board of Management develops<br />

a survival strategy for the company.<br />

The product portfolio is<br />

to be balanced between fibers<br />

(33%), chemicals (30%) and<br />

other products (37%) and the<br />

number of employees reduced<br />

Enka Glanzstoff and<br />

Akzo International BV are<br />

united as the “Enka Group”<br />

KemaNord acquires part of<br />

Nitro Nobel AB<br />

BT Kemi pollution scandal in<br />

Sweden<br />

KemaNord acquires the<br />

remainder of Nitro Nobel AB<br />

Akzo posts net profits and pays<br />

its shareholders a dividend for<br />

the first time since 1975<br />

KemaNord changes its name<br />

to KemaNobel<br />

Organon launches Andriol ®<br />

for the treatment of men with<br />

testosterone deficit<br />

Elektrokemiska Aktiebolaget<br />

(EKA) changes its name to<br />

Eka AB<br />

Eka researchers discover the<br />

foundations of its revolutionary<br />

Compozil ® paper chemicals<br />

system<br />

C.A. (later Sir Christopher)<br />

Hogg begins a complete reorganization<br />

of Courtaulds


A history in milestones<br />

Akzo launches a three-year<br />

energy saving campaign which<br />

will generate annual savings of<br />

NLG 135 million<br />

British branding agency Wolff<br />

Olins develops a uniform visual<br />

identity for the Enka Group<br />

Organon launches the<br />

low-dose contraceptive pill<br />

Marvelon ®<br />

Sikkens Painters Museum<br />

opens in The Hague, the<br />

Netherlands<br />

1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991<br />

Akzo records a net loss once<br />

more. The company enters into<br />

patent litigation with DuPont<br />

over their respective products<br />

Arenka ® (Twaron ® ) and Kevlar ® .<br />

The conflict will go down in history<br />

as “the patent litigation of<br />

the century”<br />

Eka commences production<br />

of its revolutionary new paper<br />

chemicals system Compozil ®<br />

Intervet acquires<br />

Inter-Continental Biologics<br />

in the United States<br />

Malaysian Oleochemicals<br />

Sdn Bhd is incorporated into<br />

KemaNord<br />

Akzo increases its shareholding<br />

in Akzona to 100% and transforms<br />

it into Akzo America Inc.<br />

The Akzo fibers plant in Breda<br />

is closed down, and the chairman<br />

of the works council and<br />

three other employees go on<br />

hunger strike<br />

Erik Penser engineers the<br />

purchase of Bofors<br />

Casco launches the floor<br />

adhesive Cascoflex ®<br />

Akzo acquires the American<br />

Wyandotte Paint Products<br />

Company<br />

Casco, now part of KemaNobel,<br />

acquires Nordsjö<br />

Organon launches the muscle<br />

relaxant Norcuron ®<br />

Eka expands paper chemicals<br />

production based on Compozil ®<br />

The food systems groups of<br />

KenoGard and KemaNobel<br />

combine<br />

Duyvis merges with Recter and<br />

loses its “Royal” designation<br />

Akzo posts its best operating<br />

results since the company’s<br />

foundation and invests in new<br />

and improved products and<br />

production processes.<br />

It commences a six-year acquisition<br />

drive that will result in the<br />

purchase of over 30 companies,<br />

most of them in the important<br />

U.S. market<br />

Erik Penser purchases<br />

KemaNobel, reuniting it with<br />

Bofors in a company called<br />

Nobel Industries<br />

Intervet develops the first<br />

vaccine based on recombinant<br />

DNA technology to fight the E.<br />

coli bacterium in piglets<br />

Akzo’s Group Council formulates<br />

the company’s first Mission<br />

Statement<br />

The company builds plants at<br />

Delfzijl and Emmen (NL) for aramid<br />

fibers. Akzo makes numerous<br />

acquisitions and also sells<br />

American Enka to BASF.<br />

A test kit to identify AIDS in<br />

blood and blood products is<br />

launched by Organon Teknika<br />

The number of employees in<br />

Akzo’s fibers division increases<br />

for the first time for many years.<br />

The company moves the office of<br />

Akzo America from Asheville,<br />

North Carolina, to New York and<br />

also opens an office in Moscow<br />

Eka is acquired by Nobel<br />

Industries and becomes Eka<br />

Nobel AB. The merger makes<br />

sodium chlorate a major Eka<br />

product<br />

The soap operation of the original<br />

Armour & Co. is renamed the<br />

Dial Corporation<br />

Bofors scandal in India<br />

Akzo America acquires the<br />

specialty chemicals division<br />

of Stauffer<br />

Akzo issues its first company<br />

policy statement on health,<br />

safety and the environment<br />

Akzo divests its consumer<br />

products division to<br />

Sara Lee/Douwe Egberts<br />

Nobel Industries acquires<br />

Sadolin & Holmblad<br />

Akzo launches a new worldwide<br />

corporate identity, designed by<br />

Wolff Olins<br />

Akzo reorganizes its activities<br />

into six divisions<br />

Organon launches its third-generation<br />

low-dose contraceptive<br />

pill Mercilon ® as well as Livial ® , its<br />

drug for the treatment of menopausal<br />

symptoms in women<br />

Intervet acquires the animal<br />

health activities of Gist-Brocades<br />

in the Netherlands.<br />

Nobel Industries buys Berol<br />

Kemi from Procordia and<br />

merges it with Kenobel to<br />

form Berol Nobel AB<br />

Akzo and DuPont terminate<br />

their law suit<br />

Williams Holdings unites<br />

Crown Paints with the successor<br />

companies to Lewis Berger &<br />

Sons to create Crown Berger<br />

Akzo celebrates its 20th<br />

anniversary by giving its 75,000<br />

employees branded sports<br />

jackets<br />

Eka Nobel AB merges with<br />

Stora Kemi and Alby Klorat,<br />

as well as Albright & Wilson<br />

paper chemicals division<br />

Courtaulds separates itself into<br />

two businesses: Courtaulds<br />

Textiles for apparel manufacture;<br />

and Courtaulds plc for<br />

fibers and chemicals<br />

Nobel Industries acquires<br />

British paint company Crown<br />

Berger Ltd<br />

ICI commences manufacture<br />

of KLEA 134a as an alternative<br />

to CFCs<br />

Akzo introduces a new top<br />

management structure, ending<br />

the traditional federation<br />

of divisions<br />

For the first time in its history,<br />

Akzo recruits a board member<br />

from outside the company. It introduces<br />

flexible working hours and<br />

childcare for working mothers,<br />

and it completes the worldwide<br />

implementation of its new environmental<br />

management system<br />

Intervet acquires Nordisk<br />

Drøge & Kemikalie<br />

Nobel Industries is restructured<br />

under the state-owned bank<br />

Securum<br />

19


A history in milestones<br />

Akzo’s Chemicals and<br />

Salt divisions are merged<br />

Sikkens Painters’ Museum is<br />

relocated from The Hague<br />

to Sassenheim<br />

Nobel Industries divests its<br />

Consumer Products division to<br />

German consumer chemicals<br />

group Henkel<br />

Akzo merges with<br />

Nobel Industries, forming<br />

Akzo Nobel<br />

Akzo Nobel publishes its<br />

first environmental report<br />

Organon launches its<br />

dual action antidepressant<br />

Remeron ®<br />

The use of chlorine for pulp<br />

bleaching is fully eliminated<br />

in Sweden<br />

Organon launches Puregon ® , a<br />

recombinant Follicle Stimulating<br />

Hormone (FSH) fertility drug<br />

Nordsjö becomes the first<br />

European manufacturer permitted<br />

to use the EU flower, an environmental<br />

label<br />

1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003<br />

Organon launches<br />

TOF-Guard ® , the first modern<br />

compact acceleromyograph<br />

for objective neuromuscular<br />

transmission monitoring<br />

Intervet acquires Norbio<br />

in Norway<br />

ICI’s pharmaceuticals and<br />

agrochemicals businesses<br />

are demerged to form Zeneca<br />

Akzo Nobel builds a powder<br />

coatings plant in Sweden<br />

Eka Chemicals launches paracetic<br />

acid as a bleaching agent<br />

Eka Chemicals acquires<br />

Enso Paperikemia, extending<br />

its operations to include paper<br />

coating<br />

ICI acquires Unilever’s Speciality<br />

Chemicals businesses and<br />

divests its bulk and intermediate<br />

chemicals businesses<br />

Akzo Nobel acquires<br />

Courtaulds of Great Britain.<br />

The European Commission<br />

forces the sale of Akzo Nobel’s<br />

aeronautical films and sealants<br />

businesses as a precondition for<br />

the acquisition of Courtaulds<br />

Organon launches Implanon ® ,<br />

a contraceptive rod implanted<br />

under the skin<br />

Intervet acquires Ausvac in<br />

Australia<br />

Akzo Nobel divests its fibers<br />

group Acordis to CVC Capital<br />

Partners<br />

Organon launches the estrogen-free<br />

oral contraceptive<br />

Cerazette ®<br />

Akzo Nobel divests Chefaro<br />

and the diagnostics business<br />

of Organon Teknika<br />

Intervet acquires German-based<br />

Hoechst Roussel Vet as well<br />

as Gellini in Italy<br />

Eka Chemicals acquires<br />

Hopton Technologies Inc. in<br />

the United States to add coatings<br />

technology to its portfolio<br />

Organon launches NuvaRing ® ,<br />

the first monthly vaginal ring<br />

for birth control<br />

Intervet acquires Bayer’s<br />

U.S. Biologicals operation<br />

Akzo Nobel divests its nonprescription<br />

pharma business<br />

Chefaro<br />

Akzo Nobel divests its<br />

diagnostics pharma business<br />

Organon Teknika<br />

Akzo Nobel sells its Printing<br />

Inks business to private equity<br />

company NeSBIC<br />

Akzo Nobel acquires<br />

Crompton Corporation’s<br />

Industrial Specialties business<br />

Intervet opens a new life<br />

science center in DeSoto,<br />

Kansas


A history in milestones<br />

2004<br />

Akzo Nobel’s catalyst business<br />

is sold to Albemarle Corp., its<br />

Phosphorus Chemicals business<br />

to Ripplewood Holdings<br />

LCC, and its coatings resins<br />

business to Nuplex Industries<br />

Diosynth and Organon are<br />

integrated into one operating<br />

business unit<br />

Henkel acquires the<br />

Dial Corporation<br />

Enka is sold by Acordis<br />

to the International Chemical<br />

Investors Group<br />

Akzo Nobel publishes its<br />

first CSR Report, launches<br />

its Community Program and<br />

is included in the Dow Jones<br />

Sustainability Indexes<br />

2005 2006 2007 2008<br />

Akzo Nobel announces that it<br />

will separate its pharmaceutical<br />

activities from its coatings and<br />

chemicals businesses.<br />

Organon BioSciences, comprising<br />

Organon, Intervet and<br />

Nobilon, is created.<br />

Akzo Nobel acquires the<br />

Canadian coatings company<br />

Sico Inc.<br />

Akzo Nobel moves its corporate<br />

headquarters from Arnhem to<br />

Amsterdam<br />

Akzo Nobel sells its pharma<br />

business Organon BioSciences<br />

to Schering-Plough<br />

ICI is acquired by Akzo Nobel<br />

To symbolize its transformation<br />

into a focused coatings<br />

and chemicals company, Akzo<br />

Nobel rebrands itself, acquiring<br />

a new logo and changing its<br />

name to <strong>AkzoNobel</strong><br />

21


22<br />

Chairmen of the Board of Management 1966–2003<br />

(from top left to bottom right):<br />

Klaas Soesbeek, 1966–1971<br />

Gualtherus (“Guup”) Kraijenhoff, 1971–1978<br />

Adolf Gustaaf van den Bos, 1978–1982<br />

Aarnout A. Loudon, 1982–1994<br />

Cees van Lede, 1994–2003


The name <strong>AkzoNobel</strong> derives from the 1994 merger<br />

between the Dutch conglomerate Akzo and the Swedish<br />

conglomerate Nobel Industries. This move marked the<br />

culmination of more than a century of acquisitions and<br />

mergers that created the two conglomerates. Indeed,<br />

some of the companies that Akzo had acquired could be<br />

traced as far back as the 18th century (Sikkens, Bemberg<br />

and Boldoot), while the earliest origins of a Nobel Industries<br />

subsidiary stem back to the 17th century (Bofors).<br />

23<br />

Overview<br />

Setbacks in the 1970s and 1980s<br />

The recovery plan<br />

Consolidation in the 1990s<br />

The merger with Nobel Industries<br />

Alfred Nobel: inventor and entrepreneur<br />

The Nobel Foundation<br />

The creation of Nobel Industries<br />

Crises in the 1980s<br />

Post-merger expansion and reorganization<br />

Focus on pharmaceuticals, coatings and chemicals<br />

Synthetic fibers divested<br />

Growth of Pharma<br />

Rebalancing the portfolio<br />

The split into Akzo Nobel and Organon BioSciences<br />

Akzo Nobel acquires Imperial Chemical Industries<br />

Industrial metamorphosis


24<br />

A history of histories<br />

The foundation of Akzo itself, however, was based on<br />

Vereinigte Glanzstoff Fabriken, a German chemical company<br />

formed in 1899. In the early decades of the 20th century,<br />

Vereinigte established itself in the chemicals industry as<br />

a leading producer of rayon and various paints and other<br />

coatings. In 1929, Vereinigte merged with Nederlandse<br />

Kunstzijdefabriek (NK or Enka, for short), a competing Dutch<br />

manufacturer of rayon. The resulting organization was named<br />

Algemene Kunstzijde Unie (AKU).<br />

From the 1930s to the 1960s, AKU became a solid market<br />

leader in the development and manufacture of synthetic<br />

fibers. In addition to rayon, AKU began producing such<br />

breakthrough synthetics as nylon and polyester. Chief among<br />

the company’s significant innovations was the invention of a<br />

derivative of nylon – an aramid synthetic fiber with interesting<br />

characteristics. AKU experimented with this synthetic fiber in<br />

the late 1960s.<br />

AKU had enjoyed generous profits from its core synthetic fiber<br />

products during the 1960s, and its corporate strategy looked<br />

sound for the 1970s. AKU joined forces with Koninklijke Zout-<br />

Organon (KZO) – a major Dutch producer of chemicals,<br />

drugs, detergents, and cosmetics – in 1969, and the resultant<br />

organization took the name Akzo.<br />

Setbacks in the 1970s and 1980s<br />

Further expansion plans on the part of Akzo were thwarted<br />

in the early 1970s, however, when an oil embargo by the<br />

OPEC oil cartel wreaked havoc with petrochemical markets.<br />

Akzo’s businesses, particularly those related to synthetic<br />

fibers, suffered. In addition to these oil-related problems, the<br />

fibers market was affected by turbulence from other quarters.<br />

During this period, many synthetic fibers became commodity<br />

products, and low-cost Far Eastern manufacturers took control<br />

of many industry segments. Burdened by weak demand<br />

and manufacturing overcapacity, Akzo’s profits plunged.<br />

By the late 1970s, some analysts speculated that Akzo was<br />

headed for bankruptcy.<br />

Another setback occurred in the 1980s, when the company<br />

was selling its new aramid synthetic fiber under the name<br />

of Twaron ® . Unfortunately for Akzo, fibers industry leader<br />

DuPont, headquartered in the United States, was simultaneously<br />

developing the fabric under the name of Kevlar ® , and<br />

DuPont began selling its product first. The two companies<br />

entered into litigation with each other over the patents in<br />

their respective products. Akzo was shut out of the lucrative<br />

U.S. market for Twaron ® and also faced stiff competition in<br />

its home market of Europe. The acrimonious litigation procedures,<br />

which took place not only in the United States but in<br />

many other countries too, were to last 11 years and earn the<br />

nickname ‘the lawsuit of the century’. Akzo’s failure to carve<br />

out a market for Twaron ® proved to be the culmination of the<br />

setbacks that had adversely affected its synthetic fibers operations<br />

throughout the 1970s.<br />

The recovery plan<br />

Throughout this turbulent period, Akzo executives scrambled<br />

to overcome adversity. They reduced the percentage<br />

of revenues attributable to synthetic fibers from more than<br />

50 percent in the early 1970s to less than 30 percent going<br />

into the 1980s. At the same time, they tried to supplant<br />

income from the struggling Fibers division with higher-<br />

margin products such as paint, non-commodity chemicals<br />

and pharmaceuticals. Akzo executives made another significant<br />

move towards reorganizing their operations in 1982,<br />

when they appointed Aarnout A. Loudon as Chief Executive<br />

Officer of the company. Loudon, a 46-year-old banker turned<br />

executive, had demonstrated strong leadership in turning<br />

around ailing Akzo subsidiaries in France and Brazil. Upon<br />

assuming leadership of the company, Loudon initiated an<br />

aggressive restructuring strategy designed to stabilize<br />

Akzo’s unwieldy balance sheet and to ensure the company’s<br />

long-term profitability.<br />

Among other maneuvers, Loudon further reduced Akzo’s<br />

emphasis on synthetic fibers to only 20 percent of corporate<br />

revenues and boosted its position in coatings and industries<br />

related to healthcare. He also decentralized decisionmaking<br />

and eliminated management layers. At the same time,<br />

Loudon launched an ambitious acquisition drive in 1984,<br />

chiefly designed to increase Akzo’s presence in the important<br />

U.S. market and to diversify into higher profit margin chemicals<br />

businesses. The preparatory step for this diversification<br />

process was the expansion of Akzo’s shareholding in its<br />

American subsidiary Akzona from 66 percent to 100 percent.<br />

The removal of Akzona’s minority shareholders – who had<br />

often been obstructive towards Akzo’s plans for development<br />

in the United States – allowed Akzo to bring its activities<br />

in that country in line with the policies of the entire company.<br />

Between 1984 and 1990, Akzo purchased more than 30<br />

companies, most in the United States, at a cost of approximately<br />

$1.8 billion. These firms were primarily involved in the<br />

production of salt, chemicals, and pharmaceuticals. To fund<br />

these purchases, Loudon simultaneously jettisoned poorly<br />

performing assets that were worth more than $1.5 billion. By<br />

the end of the acquisition campaign, Akzo had emerged as<br />

the leading global producer of salt and peroxides and one<br />

of the top 20 chemicals companies in the world. 1990 sales<br />

approached $10 billion and profits surged.<br />

Consolidation in the 1990s<br />

During the early 1990s, Akzo concentrated on improving efficiency.<br />

Compared with chemicals companies in Japan and<br />

the United States, its operations were bloated, chiefly due<br />

to restrictive government and organized-labor regulations<br />

in Europe. An important move of this period was the divestment<br />

of Akzo’s majority shareholding in the struggling artificial<br />

fibers manufacturer La Seda de Barcelona, a publicly listed<br />

company which was suffering such extensive losses that it<br />

was ultimately sold for one peseta. Gradual improvements in<br />

efficiency led to marked success in important divisions such<br />

as pharmaceuticals, which captured a key position in the<br />

reproductive medicine market. Its most notable product was<br />

Desogen ® , the top-selling birth control formula in the world.<br />

Similarly, Akzo enjoyed steady market share gains in some<br />

of its coatings businesses. The net result was that Akzo sustained<br />

steady sales and profits throughout the early 1990s,<br />

despite a global economic downturn.<br />

The merger with Nobel Industries<br />

Going into the mid-1990s, Akzo continued to reduce its<br />

emphasis on low-profit commodities such as salt and fibers<br />

and to boost its dependence on coatings and specialty<br />

chemicals. To that end, Akzo consummated a pivotal merger<br />

early in 1994 with Nobel Industries of Sweden. Nobel was a<br />

major competitor in global coatings and specialty chemicals<br />

markets. It operated subsidiaries worldwide and enjoyed a<br />

relatively strong position in U.S. markets. The company that<br />

arose out of the merger – Akzo Nobel N.V. – elevated Akzo’s<br />

revenues figure by more than 25 percent, gave the new<br />

company a leadership role in the global coatings industry,<br />

and bolstered the former Akzo’s stance in the European and<br />

United States markets. Access to cheaper raw materials was<br />

also facilitated by virtue of the increased size and enhanced<br />

purchasing power of the joint company. For the former<br />

Nobel Industries, the merger likewise offered reduced costs


Salt-drilling rig in Hengelo, the Netherlands. Koninklijke Nederlandse<br />

Zoutindustrie (KNZ) was founded in 1918 to exploit newly discovered,<br />

naturally occurring reserves of salt


26<br />

A history of histories<br />

because it could obtain necessary raw materials such as salt<br />

and chlorates more cheaply from Akzo than in the past.<br />

Alfred Nobel: inventor and entrepreneur<br />

Akzo’s merger partner took its name from the progenitor of<br />

the Nobel Peace Prize, Alfred Nobel. Nobel was born in 1833<br />

into a Swedish family which claimed heritage to the prodigiously<br />

gifted 17th century Swedish anatomist, botanist, writer<br />

and architect Olaf Rudbeck. Alfred Nobel’s father, Immanuel,<br />

was a self-educated inventor with an interest in explosives.<br />

An unsuccessful businessman, Immanuel was forced to file<br />

for bankruptcy in 1832 after the family home burned down.<br />

Leaving his family behind in Sweden, Immanuel moved to<br />

Russia in 1837 to start a new business. There, he invented<br />

an explosive device for which demand gradually increased.<br />

By 1842, Immanuel had achieved modest success with his<br />

invention, and he sent for his family. Alfred’s exposure to<br />

that environment, combined with his natural interest in<br />

chemistry, prompted him to form his own company called<br />

Nitroglycerin AB in 1864.<br />

Alfred’s key invention was finding a process for making nitroglycerin<br />

such that it did not explode during production and<br />

handling. However, the perfection of this technique came at<br />

great personal cost for Nobel, because during the testing<br />

process, an explosion killed Alfred’s brother and four other<br />

workers. The breakthrough led in 1866 to Nobel’s development<br />

of dynamite, which combined nitroglycerin with<br />

an absorbent substance composed mostly of silica. Nobel<br />

went on to create blasting gelatin and smokeless powder,<br />

and eventually claimed 350 patents. In an effort to overcome<br />

opposition from established gunpowder manufacturers and<br />

other competitors, Nobel and several associates formed the<br />

Nobel Dynamite Trust in 1886. This cartel eventually dominated<br />

five continents and Nobel dynamite factories dotted<br />

the globe.<br />

The Nobel Foundation<br />

A surprising turn of events occurred for Nobel in 1888<br />

when his brother, Ludwig, died and a French newspaper<br />

accidentally reported Alfred’s death instead. To his dismay,<br />

Alfred read his own obituary, in which he was described<br />

as the inventor of dynamite and the “merchant of death,”<br />

even though most of his explosives were used in nonmilitary<br />

applications. This experience motivated Nobel to<br />

demonstrate his true intent. Thus, when he died in 1896,<br />

Alfred directed that the bulk of his considerable fortune<br />

be used to establish a fund, the interest on which was to<br />

be awarded annually to persons whose work had been<br />

of the greatest benefit to mankind. One endeavor to be<br />

honored with a prize was that of having “conferred the<br />

greatest benefit on mankind.” The Nobel Foundation,<br />

which manages the fund’s assets, was founded in 1900<br />

and the first Nobel Prizes, including the prize for peace,<br />

were awarded in 1901.<br />

The creation of Nobel Industries<br />

After his death, Nobel’s conglomeration of businesses<br />

was divided into various corporations. Nobel’s Swedish companies<br />

evolved into two separate organizations. His original<br />

company, Nitroglycerin AB, continued to make explosives.<br />

Its name was changed to Nitro Nobel in 1965 and it was<br />

bought out by a chemicals group controlled by the prominent<br />

Wallenberg family in 1978. The resultant organization<br />

was called KemaNobel. The other segment of the Swedish<br />

Nobel operations became Bofors, a manufacturer of munitions.<br />

In 1982, Erik Penser, a young Swedish stockbroker,<br />

engineered the purchase of Bofors. Two years later, he purchased<br />

KemaNobel, reuniting the two firms in a company he<br />

called Nobel Industries.<br />

Crises in the 1980s<br />

In 1986, Penser’s company won a five-year, $1.2 billion<br />

contract to supply field artillery to the Indian government.<br />

Business analysts lauded the deal as one of the largest<br />

orders ever secured by a Swedish company – until it was<br />

discovered that Nobel Industries may have made illegal,<br />

covert payments of more than $4.5 million into a secret<br />

Swiss bank account to get the contract. To make matters<br />

worse, a year later it was discovered that Nobel Industries<br />

had illegally shipped arms to Iran, Iraq, and other countries<br />

not sanctioned for arms trade by the Swedish government.<br />

Meanwhile, in 1985, Nobel’s U.S. chemicals subsidiary,<br />

Bofors Nobel, Inc., filed for bankruptcy, largely because<br />

the U.S. Department of Natural Resources had sued<br />

the division for $15 million in environmental clean-up costs.<br />

Initially, Bofors Nobel had agreed to pay the clean-up<br />

expenses, but once higher-than-expected costs accrued,<br />

they elected to file for bankruptcy instead.<br />

Post-merger expansion and reorganization<br />

Despite Nobel Industries’ setbacks, Akzo executives viewed<br />

the company as a potential asset to their organization.<br />

In 1994, Akzo completed a pivotal merger with Nobel’s six<br />

business groups to create Akzo Nobel, then one of the ten<br />

largest chemicals companies in the world. Shortly before<br />

the merger, Akzo had implemented a sweeping reorganization<br />

drive to dismantle its five major business divisions<br />

and recreate them in four new groups – Chemicals, Fibers,<br />

Coatings, and Pharmaceuticals. Akzo Nobel continued to<br />

develop its U.S. markets aggressively, while it worked<br />

simultaneously to penetrate Asian and South American<br />

markets. By this time, Akzo Nobel had invested about<br />

33 percent of its resources in the Netherlands, 20 percent<br />

in Germany, and 22 percent in the United States, with<br />

many of its remaining investments scattered throughout<br />

Europe. In 1994, Akzo Nobel posted sales of approximately<br />

$11.5 billion, roughly 5 percent of which was netted as<br />

income. Akzo Nobel faced several challenges as it entered<br />

the mid-1990s. In 1995, its pharmaceutical unit, Organon,<br />

lost revenues following a scare that Marvelon ® and Mercilon ® ,<br />

its oral contraceptive pills, were linked to increased risk of<br />

thrombosis (abnormal blood clotting). Falling fiber prices,<br />

stagnant markets, and declining sales in the Coatings group<br />

also led to a mere 0.3 percent increase in profits in 1996.<br />

The company did forge some key partnerships, however,<br />

including a joint venture with Courtaulds to develop and<br />

market NewCell ® , a cellulosic filament yarn. It also spent<br />

$240 million to expand its production capacity for fluid catalytic<br />

cracking (FCC) and hydroprocessing catalysts (HPC).<br />

This capital investment was made to attract partners to<br />

its FCC and HPC businesses. A start was also made with<br />

restructuring the company’s specialty surfactants business,<br />

which had been suffering from overcapacity, as<br />

well as a stagnant market. As a result, the business unit<br />

began cutting costs and consolidating production. In 1997,<br />

Akzo Nobel sold its subsidiary Akzo Nobel Salt, Inc. as part of<br />

its effort to focus on its core operations.<br />

Focus on pharmaceuticals, coatings<br />

and chemicals<br />

Akzo Nobel’s restructuring of its pharmaceuticals, coatings<br />

and chemicals businesses began to pay off, and the balance<br />

sheet in 1997 reflected this. The company recorded a 7


Airbus. One in every three aircraft in the world<br />

is painted with <strong>AkzoNobel</strong> coatings<br />

Organon’s oral contraceptive pills being<br />

inserted into monthly strips<br />

27


28<br />

A history of histories<br />

percent increase in overall sales, while operating profits in its<br />

pharmaceutical interests climbed by 17 percent. Its Coatings<br />

and Chemicals groups secured a healthy 27 percent increase<br />

in operating profits. In 1998, the firm focused on making key<br />

alliances and acquisitions, as well as paring back less profitable<br />

operations. An agreement with Bayer AG was reached<br />

in which the German-based firm would produce ethylene<br />

amines exclusively for Akzo Nobel. Three printing-ink companies<br />

– Louis O. Werneke, Werneke & Mulheran and Label Inks<br />

– were purchased to secure a position as a leading supplier<br />

of printing inks in the United States market. In a move which<br />

was to allow a transformational reshaping of its portfolio, the<br />

company also acquired the British firm Courtaulds plc in July<br />

1998, thus creating the world’s largest coatings company.<br />

Following the acquisition, Akzo Nobel merged its various<br />

fibers businesses into a newly created company, Acordis.<br />

At the same time, because of poor growth and overcapacity,<br />

the company continued to consolidate its surfactants<br />

operations, while also selling off its plastics packaging and<br />

laminate and aluminum tube interests (the latter having entered<br />

the Akzo Nobel portfolio via the acquisition of Courtaulds and<br />

being divested by means of a management buy-out in 1998).<br />

Synthetic fibers divested<br />

A disappointing 1 percent increase in net profits in 1998<br />

led to a renewed focus on integrating Akzo Nobel’s newly<br />

acquired operations into its current businesses. The firm’s<br />

pharmaceutical operations – growing twice as fast as other<br />

companies in the industry – also became a major focus.<br />

The group’s Organon business had a strong position in<br />

the women’s healthcare market and was the world’s fourth<br />

largest producer of oral contraceptives. Akzo Nobel also<br />

strengthened its animal healthcare business, Intervet, with<br />

the purchase of Hoechst Roussel Vet, a deal which doubled<br />

the size of its veterinary interest. Perhaps the most important<br />

move was the sale in 1999 of Acordis to CVC Capital<br />

Partners. This highly complex deal, which was closed in<br />

December 1999, was further complicated by the simultaneous<br />

requirement for the company to prepare its IT systems<br />

for the new millennium. The completion of the agreement<br />

marked Akzo Nobel’s exit from the synthetic fibers business<br />

and solidified the company’s intent to focus on its core<br />

activities – Pharma, Coatings, and Chemicals.<br />

Growth of Pharma<br />

As Akzo Nobel entered the new millennium, its Pharma group<br />

was the fastest-growing pharmaceutical company in Europe.<br />

The unit accounted for 47 percent of Akzo Nobel’s total profits<br />

and its core operations focused on human and animal healthcare,<br />

while the company’s other groups also fared well despite<br />

weakening market conditions. The Coatings group acquired<br />

the aerospace and specialty coatings business of Dexter<br />

Corporation in the U.S., which strengthened its position in the<br />

global market and significantly increased the size of its aerospace<br />

coating operations. The Chemicals group also acquired<br />

Hopton Technologies, which was purchased to boost the<br />

paper chemicals business in the United States.<br />

Rebalancing the portfolio<br />

The impressive growth of Akzo Nobel’s Pharma group was,<br />

however, impacted by the collapse in sales of its potential<br />

blockbuster antidepressant Remeron ® after an unfavorable<br />

court ruling on one of its patents in the United States in 2002,<br />

opening the way for generic competition there. Two years<br />

later, Remeron ® suffered a similar fate in Europe. Against<br />

the background of a general economic downturn in world<br />

markets from 2002–2005, the Pharma group’s profitability<br />

was defended by a mixture of counter-measures including<br />

the recombining of Organon and Diosynth into a single unit,<br />

the launches of the contraceptive NuvaRing ® and Puregon ® /<br />

Follistim ® fertility products, and the initiation of a range of<br />

codevelopment and copromotion arrangements to speed<br />

the market entry of innovative new Pharma products. At<br />

the same time, the company’s Chemicals portfolio underwent<br />

a significant realignment. Akzo Nobel’s Catalysts,<br />

Phosphorous Chemicals and Coating Resins businesses<br />

were divested for a combined total of approximately<br />

c1 billion in 2004 and the company’s Chemicals activities<br />

were refocused on five growth platforms: Pulp &<br />

Paper Chemicals, Base Chemicals, Functional Chemicals,<br />

Surfactants and Polymer Chemicals. With the Coatings<br />

group further strengthened by a number of acquisitions<br />

during 2005, and the company increasingly concentrating<br />

on China and the Far East as growth markets, Akzo Nobel<br />

recorded sales revenues of c13 billion in 2005. This was also<br />

the year that the company produced its first CSR Report,<br />

launched its Community Program, and was included for the<br />

first time on the Dow Jones Sustainability Indexes.<br />

The split into Akzo Nobel and Organon BioSciences<br />

In 2006, Akzo Nobel announced its intention to split into two<br />

independent companies: Akzo Nobel, to focus exclusively<br />

on coatings and chemicals; and Organon BioSciences, to<br />

focus exclusively on human and animal healthcare. The initial<br />

plan was for a minority listing of Organon BioSciences on<br />

the Euronext Bourse in Amsterdam, with full separation of the<br />

two companies to occur within the following three years. On<br />

March 12, 2007, however, Schering-Plough made an offer to<br />

acquire Organon BioSciences for c11 billion. The offer was<br />

accepted, marking the termination of Akzo Nobel’s long association<br />

with pharmaceutical manufacture. Five months later,<br />

in August 2007, Akzo Nobel relocated its headquarters from<br />

its traditional base in Arnhem to Amsterdam – the financial<br />

capital of the Netherlands.<br />

Akzo Nobel acquires Imperial Chemical Industries<br />

On January 2, 2008, Akzo Nobel further strengthened its position<br />

as the world’s leading paints and coatings player through<br />

its acquisition of Imperial Chemical Industries PLC (ICI) for<br />

£8.1 billion (c10.8 billion). ICI, which in 2007 had achieved<br />

50 percent of its revenues from its paints businesses, traces<br />

its origins back to 1926, when it was founded in the United<br />

Kingdom via the merger of four companies, one of which was<br />

the British arm of Nobel Industries. ICI’s roundel logo was in<br />

fact derived from the Nobel Industries logo in use at that time.<br />

It would be an exaggeration to say that this acquisition ‘closed<br />

the circle’ of this history of histories; yet it does demonstrate<br />

the constantly interacting forces of continuity and change that<br />

continue to shape the company.<br />

Industrial metamorphosis<br />

The acquisition of ICI marked the completion of a transformation<br />

that Akzo Nobel had been undergoing. In the space<br />

of roughly a decade, the company had gradually shed its<br />

conglomerate structure and brought increasing focus to its<br />

activities. It had exited from the Fibers sector with the sale<br />

of Acordis and drastically rationalized its Chemicals activities,<br />

divesting three business activities in doing so. The creation<br />

of Organon BioSciences in 2006, and with it plans to seek a<br />

stock exchange listing for its combined pharmaceutical business,<br />

had set this trend in motion; with plans to relocate the<br />

company headquarters from Arnhem to Amsterdam recon-


A history of histories<br />

firming the new course. It was, however, the announcement in<br />

March 2007 of the sale of Organon BioSciences to Schering-<br />

Plough that boosted the momentum of the transformation.<br />

Following closely on the heels of this deal, Akzo Nobel used<br />

the proceeds of the sale to acquire ICI, a strategic acquisition<br />

which would make the company the undisputed world<br />

leader in the coatings sector and in particular the decorative<br />

coatings market.<br />

The metamorphosis Akzo Nobel had undergone brought with<br />

it the need to rebrand the company as a whole. On April 25,<br />

2008, four short months after closing the ICI acquisition, Akzo<br />

Nobel launched its new corporate brand, featuring among<br />

other things a subtle change in the way its name was to be<br />

written: from then on it would be known as <strong>AkzoNobel</strong>. More<br />

striking, however, was the new logo, depicting an athletic<br />

figure reaching out to the future, complete with a tagline which<br />

provides the title for this book: Tomorrow’s <strong>Answers</strong> <strong>Today</strong>.<br />

29


Ketjen<br />

(1835)<br />

KNZ<br />

(1918)<br />

Sikkens<br />

(1792)<br />

Zwanenberg<br />

(1887)<br />

Organon<br />

(1923)<br />

Nederlandse<br />

Kunstzijdefabriek<br />

Enka<br />

(1911)<br />

Nordsjö<br />

(1903)<br />

Nitro Nobel<br />

(1864) remaining 50%<br />

Barnängen<br />

(1868)<br />

Casco<br />

(1928)<br />

1961<br />

Van Hasselt<br />

(date unknown)<br />

Vereinigte<br />

Glanzstoff<br />

Fabriken<br />

(1899)<br />

Nitro Nobel<br />

(1864) initial 50%<br />

Stockholms<br />

Superfosfat<br />

Koninklijke<br />

Zout-Ketjen<br />

(KZK) (1961)<br />

(acquired by Chefaro 1950;<br />

Chefaro acquired by KZK 1965)<br />

1947<br />

1929<br />

1918<br />

Koninklijke<br />

Zwanenberg-<br />

Organon<br />

(1953)<br />

Algemene<br />

Kunstzijde<br />

Unie (AKU)<br />

(1929)<br />

renamed renamed<br />

(1871) KemaNord KemaNobel<br />

(1970)<br />

(1978)<br />

1962<br />

1965<br />

1967<br />

1965<br />

1965<br />

1961<br />

1961<br />

KZO<br />

(1967)<br />

1964 1973 1977 1982<br />

Noury & Van der Lande<br />

(1838)<br />

Kortman & Schulte<br />

(1886)<br />

Boldoot<br />

(1789)<br />

Intervet<br />

(1949)<br />

Crown Berger<br />

(1760)<br />

Sadolin<br />

(1777)<br />

Berol<br />

(1937)<br />

Eka<br />

(1895)<br />

Duyvis<br />

(1806)<br />

Bofors<br />

(1646)<br />

1984<br />

1968<br />

1969<br />

Akzo<br />

(1969)<br />

Armour<br />

(1867)<br />

Stauffer<br />

(1895)<br />

Nobel<br />

Industries<br />

(1984)<br />

1970<br />

1987<br />

Akzo Nobel<br />

(1994)<br />

1990<br />

1987<br />

1988<br />

1986<br />

1987<br />

1992<br />

1991<br />

1986<br />

Consumer<br />

Products<br />

divested<br />

Consumer<br />

Products<br />

divested<br />

Bofors<br />

divested<br />

Nitro Nobel<br />

divested


Key acquisitions and divestments<br />

International<br />

(1881)<br />

1968<br />

Courtaulds<br />

(1826)<br />

1998<br />

Hoechst<br />

Roussel Vet<br />

(1863)<br />

1999<br />

Acordis (Fibers)<br />

divested<br />

Legend<br />

(Date) – earliest foundation of company/name change/new company after merger<br />

Date – acquisition/divestment/merger of companies<br />

KNZ = Koninklijke Nederlandse Zoutindustrie<br />

KZO = Koninklijke Zout-Organon<br />

1999<br />

Bayer<br />

Biologicals<br />

(1863)<br />

2000<br />

2001 2004 2007<br />

Organon<br />

Teknika<br />

divested<br />

Printing<br />

Inks<br />

divested<br />

Catalysts<br />

divested<br />

ICI<br />

(1926)<br />

2008<br />

Phosphorus<br />

Chemicals<br />

divested<br />

Resins<br />

divested<br />

Chefaro<br />

divested<br />

Polymerization<br />

Catalysts<br />

divested<br />

Organon<br />

Biosciences<br />

divested<br />

31


32<br />

1<br />

2<br />

3<br />

4<br />

5<br />

6<br />

7<br />

8<br />

9<br />

10<br />

11<br />

Enka, AKU, p. 41<br />

Arnhem<br />

Breda<br />

Delfzijl<br />

Ede<br />

Emmen<br />

Sikkens, p. 49<br />

Groningen<br />

Apeldoorn<br />

Sassenheim<br />

Ketjen, p. 63<br />

Amsterdam<br />

IJmuiden<br />

Rotterdam<br />

Koningklijke Nederlandse<br />

Zoutmaatschappij (KNZ), p. 67<br />

Boekelo (Enschede)<br />

Botlek (Rotterdam)<br />

Delfzijl<br />

Hengelo<br />

Oele (Hengelo)<br />

Twekkelo (Enschede)<br />

Usselo (Enschede)<br />

Noury & Van Der Lande, p. 73<br />

Deventer<br />

Apeldoorn<br />

Emmerich<br />

Kleve<br />

Roermond<br />

Kortman & Schulte, p. 79<br />

Rotterdam<br />

Boldoot, p. 83<br />

Amsterdam<br />

Van Hasselt, p. 91<br />

Rotterdam<br />

Dordrecht<br />

Herkenbosch<br />

Hilversum<br />

Duyvis, p. 95<br />

Koog aan de Zaan<br />

Zaandam<br />

Organon, p. 101<br />

Oss<br />

Intervet, p. 109<br />

Boxmeer<br />

marks the place on the map where the company<br />

in question (see the left-hand column) was<br />

founded.<br />

Locations named in a chapter are listed on the<br />

left under the name of the relevant company. The<br />

first location named is the place where the company<br />

was founded; all other locations are listed<br />

alphabetically.<br />

If locations cannot be distinguished from one<br />

another because they are too close together, a<br />

place already shown on the map or one that is<br />

central to those locations is given in parenthesis.<br />

Belgium<br />

<br />

8<br />

6<br />

<br />

Koog A/d Zaan<br />

<br />

Amsterdam<br />

3<br />

7<br />

<br />

Rotterdam<br />

<br />

9<br />

<br />

<br />

<br />

10<br />

Oss<br />

<br />

<br />

<br />

11<br />

Maastricht<br />

5<br />

<br />

1<br />

Arnhem<br />

Boxmeer<br />

The Netherlands<br />

Deventer<br />

2<br />

<br />

<br />

<br />

<br />

<br />

Groningen<br />

Hengelo <br />

<br />

Enschede <br />

4<br />

Germany


34<br />

Lunch break at the Perlon plant<br />

in Oberbruch, Germany, 1951.<br />

Perlon was a form of nylon


The Akzo legacy<br />

The roots of Akzo – the Dutch component of <strong>AkzoNobel</strong> – go back to<br />

the foundation of a lacquer manufacturing business by Wiert Willem<br />

Sikkens in Groningen in 1792. Many more companies were eventually<br />

to become part of the 20th century Dutch conglomerates AKU<br />

(Algemene Kunstzijde Unie) and KZO (Koninklijke Zout-Organon),<br />

which merged in 1969 to create Akzo.<br />

35<br />

Overview<br />

The creation of AKU<br />

The creation of KZO<br />

The creation of Akzo<br />

Pressure in key markets<br />

Efficiency gains and financial recovery<br />

The creation of Akzo Nobel


36<br />

The creation of Akzo<br />

The Akzo legacy<br />

Chief among these companies were, by date of foundation<br />

– on the AKU side – Vereinigte Glanzstoff Fabriken (1899)<br />

and Nederlandse Kunstzijdefabriek (1911) and – on the KZO<br />

side – Duyvis (1806), Koninklijke Zwavelzuurfabrieken van<br />

het Ketjen (1835), Noury & Van der Lande (1838), Kortman<br />

& Schulte (1886), Zwanenberg & Co. (1887), Koninklijke<br />

Nederlandse Zoutindustrie (1918) and Organon (1923).<br />

The companies that were to join forces under the Akzo name<br />

manufactured products ranging from vegetable oils (Duyvis)<br />

through salt (Koninklijke Nederlandse Zoutindustrie) and artificial<br />

fibers (Vereinigte Glanzstoff Fabriken and Nederlandse<br />

Kunstzijdefabriek Enka) to specialty paints (Sikkens), speciality<br />

chemicals (Vulnax), and pharmaceuticals (Organon).<br />

The history of the Akzo side of the company is a story of<br />

start-ups, acquisitions and mergers in both specialty and<br />

commodity businesses. Indeed, the drive to grow through<br />

mergers is inherent in Akzo’s very name.<br />

The creation of AKU<br />

In 1929, the German synthetic fibers company Vereinigte<br />

Glanzstoff Fabriken merged with its Dutch rival in the rayon<br />

market Nederlandse Kunstzijdefabriek. The new entity was<br />

called Algemene Kunstzijde Unie (General United Viscose),<br />

or AKU for short. From the 1930s to the 1960s, AKU became<br />

a solid market leader in the development and manufacture of<br />

synthetic fibers. In addition to rayon, AKU began producing<br />

such breakthrough man-made materials as nylon and poly-<br />

The summer of 1969:<br />

Dutch industry holds its breath<br />

ester. Chief among the company’s significant innovations<br />

was the invention of a heat-resistant and strong synthetic<br />

aramid fiber, a derivative of nylon.<br />

The creation of KZO<br />

Rumors abounded in Arnhem during the summer of 1969. According to the newspapers,<br />

several large conglomerates were holding secret merger talks. Such a merger would affect<br />

the whole of Dutch industry. There was much stock market speculation about who was<br />

involved, but no one knew the exact details. Then, on July 11, the uncertainty came to an<br />

end. Koninklijke Zout-Organon (KZO) and Algemene Kunstzijde Unie (AKU) announced<br />

that they were investigating the possibility of a full merger.<br />

In those days, AKU was a company operating approximately 47 factories on almost every<br />

continent, making it the world’s second largest synthetic fiber producer. KZO had been<br />

founded on October 13, 1967, and in the ensuing two years had taken over an impressive<br />

The evolution of AKU’s future merger partner KZO involved<br />

two pairs of mergers. Zwanenberg and Organon merged in<br />

1953 to create Koninklijke Zwanenberg-Organon, receiving<br />

the royal warrant that year (Kortman & Schulte and Noury &<br />

Van der Lande were added in 1965). Koninklijke Nederlandse<br />

Zoutindustrie and Koninklijke Zwavelzuurfabrieken van het<br />

Ketjen, meanwhile, merged in 1961 to create Koninklijke<br />

Zout-Ketjen (Sikkens being added in 1962).<br />

The creation of Koninklijke Zout-Ketjen is regarded by many<br />

economists as a turning point in the evolution of the Dutch<br />

chemicals industry, setting a trend whereby more and more<br />

companies merged in order to survive. The drive towards<br />

closer co-operation had its original roots in the years immediately<br />

following World War II, however, when the leaders of<br />

several Dutch chemicals businesses that had been ravaged<br />

by the war combined forces to create a joint sales office for<br />

their various products.<br />

Koninklijke Zwanenberg-Organon and Koninklijke Zout-<br />

Ketjen merged in 1967 to create Koninklijke Zout Organon,<br />

or KZO. KZO was a huge group by Dutch standards. It was<br />

organized into six divisions. The two largest were the Salt<br />

Chemicals division (with salt and its by-products such as<br />

soda and chlorine) and the Chemical Division (with a large<br />

variety of products ranging from sulfuric acid to catalysts<br />

for crude oil, peroxides, fatty amines, alcohol, and rubber<br />

chemicals). Then came the Coatings division, with Sikkens<br />

as its main part. There was also the Pharma division (with<br />

contraceptives and healthcare products) and the Food division<br />

(with products such as soups, sauces, peanuts and<br />

snacks). Finally, there was the Household Products division<br />

(with soaps, washing powders, detergents and cosmetics).<br />

The creation of Akzo<br />

AKU and KZO merged in 1969 to become Akzo, a diversified<br />

chemicals player of world standing. The logo of the new<br />

company was an open triangle.<br />

Pressure in key markets<br />

During the 1970s and 1980s, Akzo’s business with low-profit<br />

commodities such as salt and fibers came under severe pressure,<br />

and the company experienced periodic financial dif-<br />

ficulties. This trend was countered by selected divestments<br />

in combination with a major acquisition drive. Between 1984<br />

and 1990, Akzo purchased more than 30 companies, most of<br />

which were located in the United States, at a cost of approximately<br />

$1.8 billion. The acquisitions were primarily involved<br />

in the production of salt, chemicals, and pharmaceuticals.<br />

Not without reason was Akzo often referred to as a “republic of<br />

number of companies both inside and outside the Netherlands, including<br />

Pure Chemicals Ltd (United Kingdom), Hoesch Chemie (Germany) and Duyvis,<br />

the Dutch party snack maker.<br />

Under the heading “The pill with a pinch of salt,” the Deventer Dagblad wrote on<br />

July 8, 1969: “When we look at what has been going on in other countries, a close<br />

cooperation between this new chemical company and AKU, with its production of<br />

chemical fibers, seems most likely.” The paper hastened to add: “However, this is a<br />

matter of sheer speculation on our behalf.”


The Enka plant in Arnhem, the Netherlands, in 1929<br />

37


38<br />

The creation of Akzo<br />

The Akzo legacy<br />

1988: ‘Akzo, a new spirit’<br />

When Akzo launched its new corporate identity in 1988, it introduced more than just a<br />

new logo. The object of the new identity was to help create a united company in place of<br />

Akzo’s traditional federation of product groups and divisions. Brand guru Wally Olins was<br />

tasked with redesigning the existing ‘Akzo triangle’ into a more modern symbol representing<br />

the new Akzo; Olins’ company, the British branding agency Wolff Olins, had a few years<br />

earlier developed a new corporate identity for Enka.<br />

The symbol Wally Olins proposed, which became known as ‘the Akzo Man’, was inspired<br />

by a Greek sculpture dating back to 450 BC; it had one hand reaching back and the<br />

other stretching forwards, symbolizing an all-embracing balance between past tradition<br />

and future ambition. Wally Olins had discovered the sculpture in the Ashmolean Museum<br />

in Oxford, England. Akzo’s Board of Management was divided on Wally Olins’ proposal.<br />

Chairman of the Board Aarnoud Loudon, who had the casting vote, came down in favor of it.<br />

The new identity was launched internally in December 1987 at a conference for Akzo’s<br />

top 300 managers. ‘Akzo, a new spirit’ was the slogan that accompanied the roll-out.<br />

The official launch to the outside world followed in March 1988, supported by a massive<br />

advertising campaign and coinciding with the publication of Akzo’s annual report for 1987.<br />

The new corporate identity had a considerable effect both within Akzo and in the outside<br />

world. For the first time ever, Akzo presented itself as a single company – and some of Akzo’s<br />

constituent businesses had to abandon their own identities to make that step possible.<br />

kingdoms.” By the end of its acquisition campaign, Akzo had<br />

emerged as the leading global producer of salt and peroxides<br />

and one of the top 20 chemical companies in the world.<br />

In 1990, the company’s sales approached $10 billion.<br />

Efficiency gains and financial recovery<br />

During the early 1990s, Akzo concentrated on enhancing<br />

efficiency. Gradual improvements led to marked success<br />

in key divisions such as pharmaceuticals, which captured<br />

an influential position in the reproductive medicine market.<br />

Similarly, Akzo enjoyed steady market share gains in some of<br />

its paints and coatings businesses. The company sustained<br />

sales and profits throughout the early 1990s, despite a global<br />

economic downturn.<br />

The creation of <strong>AkzoNobel</strong><br />

The need to restructure the company’s portfolio and boost<br />

its existing activities in coatings and specialty chemicals<br />

led to the 1994 merger with Nobel Industries of Sweden –<br />

a major competitor in the global paint, coatings, and specialty<br />

chemical industries. Nobel Industries operated subsidiaries<br />

worldwide and enjoyed a relatively strong position in<br />

U.S. markets. The company that resulted – Akzo Nobel N.V.<br />

– boosted Akzo’s revenues by more than 25 percent, gave<br />

the new company a leadership position in the global paints<br />

and coatings industry, and bolstered the former Akzo’s position<br />

in the European and U.S. markets. The former Nobel<br />

Industries benefited from economies of scale offered by<br />

Akzo, providing inexpensive access to raw materials such as<br />

salt and chlorates.


Akzo’s first corporate headquarters in Arnhem,<br />

the Netherlands, in the early 1970s<br />

39


40<br />

Jacques Coenraad Hartogs, who founded the rayon company<br />

Enka in 1911, having previously worked as a manufacturing<br />

supervisor for the British rayon company Courtaulds


The Akzo legacy<br />

On May 8, 1911, a select group of men stood on the doorstep of Van<br />

den Bergh, a notary public in The Hague. They were all related to their<br />

leader, Jacques Coenraad Hartogs, a former chemistry teacher who<br />

had learned how to make fibers out of viscose (dissolved wood pulp)<br />

when working for the firm of Courtaulds in England. The notary drew up<br />

a contract on the basis of which the men established the Nederlandse<br />

Kunstzijdefabriek, abbreviated to NK or Enka, on Vosdijk in Arnhem.<br />

Arnhem had clean groundwater for the manufacturing process and<br />

personnel were easy to find in the city.<br />

41<br />

Overview<br />

An order is an order<br />

Expansion during and after the Great War<br />

The genesis of AKU – and a first economic crisis<br />

World War II: from full to zero capacity<br />

Post-war innovations<br />

A world leader in synthetic fibers<br />

The collapse of the rayon market<br />

The formation of Enka-Glanzstoff and Akzo<br />

Losses – and a master plan to stem them<br />

Resistance in Breda<br />

A new product – and a new problem<br />

Further cutbacks<br />

Pressure on profitability<br />

Competition from Asia


42<br />

The creation of Enka, AKU and<br />

the Dutch synthetic fibers industry<br />

The Akzo legacy<br />

An order is an order<br />

A brand new pilot plant was commissioned in 1912, and<br />

manufacturing and sales started that autumn. A year later,<br />

Enka employed 60 workers and six office staff. The company<br />

boasted five spinning machines but, while the first of<br />

these had managed to produce yarns of reasonable quality,<br />

the other four flatly refused. Initial orders had already been<br />

accepted, so the goods had to be delivered. Dismantling<br />

of the full apparatus revealed that constantly switching the<br />

machines on and off had fouled up the viscose piping so<br />

badly that hardly any flow was possible. A couple of brushes<br />

were soon purchased from the corner shop and fastened to<br />

a braided wire rope, and the piping was cleaned out. This<br />

saved the day and the first orders left the plant just in time.<br />

Expansion during and after the Great War<br />

During World War I, the borders of the Netherlands (which<br />

was neutral during the conflict) were closed. Textiles and textile<br />

raw materials could no longer be imported, and demand<br />

for Enka’s synthetic fibers and yarns grew sharply. The company<br />

expanded significantly and by 1918 had 300 employees.<br />

The Arnhem plant could no longer keep up with demand,<br />

A debt to Courtaulds –<br />

and a battle with a rival<br />

and in 1922 a plant with four times the spinning capacity was<br />

built in Ede. Three years later, a third plant, with an associated<br />

research center, was built in Tivolilaan in Arnhem.<br />

Other people saw that a lot of money could be earned with<br />

fibers, and a number of competitors established themselves<br />

in the Netherlands. Enka, meanwhile, expanded further.<br />

The firm’s initial exports had been mainly to Germany, but<br />

Enka extended its market to include other European countries.<br />

Enka participated in other fiber companies while building<br />

its own plants in France, the United Kingdom and Italy.<br />

In Germany, an existing fibers plant was taken over in joint<br />

partnership with the Vereinigte Glanzstoff Fabrieken.<br />

The genesis of AKU – and a first economic crisis<br />

The firm of Courtaulds tried to stop the establishment of Enka in 1910. While Jacques<br />

Coenraad Hartogs was working as a manufacturing supervisor for Courtaulds, he developed<br />

a new spinning bath, a crucial component in the process of spinning synthetic fibers.<br />

Hartogs offered his invention to Courtaulds, who were not interested, deeming it “nothing<br />

new.” Hartogs was granted a patent for it and later implemented his invention in Arnhem.<br />

Courtaulds protested, but lost the battle over the patent. After that, Enka’s relationship with<br />

the British company was somewhat cool until, at the end of the century, Akzo Nobel took<br />

over the whole of Courtaulds and merged its own Fibers business with that of Courtaulds<br />

to create the separate fibers company Acordis.<br />

The step across the Atlantic followed in 1929. The company’s<br />

own employees built the American Enka Corporation<br />

site in Asheville (North Carolina). The same year, Algemene<br />

Kunstzijde Unie (AKU), of which Enka was only a part,<br />

was created through a merger with the German Vereinigte<br />

Glanzstoff Fabrieken. There were separate management<br />

boards for the German and Dutch parts of the company.<br />

A close alliance with the Hollandse Kunstzijde Industrie<br />

in Breda was also formed in 1930. Then came the Great<br />

Depression, resulting in plummeting prices, cancelled orders<br />

and a large accumulation of stocks. Most of the manufacturing<br />

facilities managed to stay open, but only with difficulty.<br />

Not until 1939 could light be seen at the end of the tunnel.<br />

World War II: from full to zero capacity<br />

By the beginning of World War II, the plants in Arnhem and<br />

Ede were running flat out. The Netherlands was occupied<br />

by Nazi Germany, and AKU built two new plants under<br />

pressure from the occupying power. One of these was to<br />

process straw to produce raw materials for rayon yarns and<br />

paper; the other, also on the Kleefse Waard industrial estate<br />

in Arnhem, was to make rayon fiber as a replacement for<br />

wool and cotton, which were in short supply during the<br />

war years. These plants continued to operate until 1944.<br />

The Germans then terminated production and forced<br />

the workers to help construct lines of defense as the tide of<br />

the war turned against them in Europe. By the time<br />

Germany surrendered in 1945, the plants in Arnhem and<br />

Ede were deserted ruins.<br />

Reconstruction soon started, however, and by 1946 all<br />

the Dutch plants were producing again. However, Enka’s<br />

German companies were either in the Russian zone or else


A female operator in an Enka plant during<br />

the mid-1950s<br />

The fibers plant in Breda, the Netherlands, was occupied by employees in 1972 in response to a<br />

draconian restructuring plan put forward by Akzo’s management. The plan aimed to return the<br />

fibers business to profitability but was withdrawn in the face of massive employee resistance


44<br />

The creation of Enka, AKU and<br />

the Dutch synthetic fibers industry<br />

The Akzo legacy<br />

Viscose<br />

Viscose is a viscous organic liquid used to make rayon and cellophane.<br />

Cellulose from wood or cotton fibers is treated with sodium<br />

hydroxide, then mixed with carbon disulfide to form cellulose xanthate,<br />

which is dissolved in more sodium hydroxide. The resulting<br />

viscose is extruded into an acid bath either through a slit to make<br />

cellophane, or through a spinneret to make viscose rayon (sometimes<br />

simply called viscose).<br />

Viscose was created by French scientist and industrialist Hilaire<br />

de Chardonnet (1838 - 1924), inventor of the first artificial textile<br />

fiber, artificial silk, in Échirolles in 1884.<br />

The process for manufacturing viscose was then patented by three<br />

British scientists, Charles Frederick Cross, Edward John Bevan and<br />

Clayton Beadle, in 1891.<br />

The manufacture of viscose became big business when Samuel<br />

Courtauld & Co. started manufacturing it in the early 20th century.<br />

By the 1920s and 1930s, it had almost completely replaced the<br />

traditional cotton and wool for women’s stockings and underwear<br />

in Europe and the United States.<br />

had been badly damaged. In Arnhem, the<br />

manufacture of viscose rayon for car tire<br />

yarns began. Rayon was also the raw material<br />

for Enka ® -spons (Enka ® sponge).<br />

Post-war innovations<br />

The Arnhem research center experimented<br />

with the production of man-made fibers<br />

and, in 1952, a plant for manufacturing<br />

nylon yarns and fibers – under the brand<br />

name Enkalon ® – was built in Emmen.<br />

Another nylon product was Akulon ® , for<br />

the plastics industry. In 1955, the plant in<br />

Emmen was also making polyester yarns<br />

and fibers, under the brand name Terlenka ® .<br />

AKU by that stage had 50,000 employees,<br />

spread over 30 companies in eight countries.<br />

These were huge organizations. For<br />

example, at any given point in time there<br />

were around 5,400 people working in Ede<br />

alone. Some were foreign workers, while<br />

others were drawn from all four corners of<br />

the Netherlands. The personnel were transported<br />

by the firm’s own bus company, the<br />

Eigen Vervoers Organisatie (EVO). The Ede<br />

site boasted the largest private transport<br />

company in the Netherlands, with buses<br />

traveling from Vlaardingen, near Rotterdam,<br />

to Emmen and even picking people up from<br />

Kleve, across the border in Germany.<br />

A world leader in synthetic fibers<br />

It was a time when AKU was expanding significantly,<br />

but the company was not alone in<br />

this. The entire fibers sector was doing the<br />

same. In Europe alone, the production capacity<br />

of nylon expanded by 20 percent, and by<br />

the mid-1960s a further 60 percent had been<br />

added. A downturn had to come sooner<br />

or later. However, AKU’s board expected<br />

demand for synthetic yarns and fibers to continue<br />

rising. AKU expanded its manufacturing<br />

capacity everywhere, as well as entering<br />

into joint ventures with other fiber manufac-<br />

turers. In 1966 they invested 3.5 billion Dutch<br />

guilders worldwide, a billion of that in the<br />

Netherlands alone. With 65,000 employees,<br />

AKU was one of the biggest synthetic fiber<br />

and yarn manufacturers in the world.<br />

The collapse of the rayon market<br />

In 1966 the tide turned. The economy stagnated,<br />

rayon prices plummeted and the manufacture<br />

of rayon fibers on the Kleefse Waard<br />

(Arnhem) site was stopped. Nevertheless,<br />

the expansion plans for synthetic fibers continued:<br />

AKU wanted to quadruple production<br />

The competitors, however, also expanded,<br />

and supply exceeded demand. Many synthetic<br />

yarns now came from the Eastern<br />

Bloc. In 1967, the number of personnel in<br />

the Netherlands fell from 15,200 to 13,700,<br />

although without mass redundancies. New<br />

products were also introduced, such as<br />

the Enka ® chamois and a synthetic leather,<br />

Xylee, made on the Kleefse Waard site.<br />

The formation of Enka-Glanzstoff<br />

and Akzo<br />

In 1969, matters seemed to be improving<br />

in the light of an upturn in the economy.<br />

It was in this year that Enka-Glanzstoff was<br />

created (in the years following the 1929<br />

merger of Vereinigte Glanzstoff Fabriken<br />

with Nederlandse Kunstzijdefabriek [Enka]<br />

to form AKU, the company had traded in the<br />

Netherlands as AKU but had retained the<br />

Glanzstoff name for operations in the German<br />

market). Prior to 1969, Enka and Glanzstoff<br />

both had separate Dutch and German<br />

management boards, but this time they<br />

merged to form a united company whose<br />

Board of Management had two chairmen<br />

and equal numbers of Dutch and German<br />

members. AKU remained the holding<br />

company. In that same year, AKU merged<br />

with Koninklijke Zout-Organon (KZO) to<br />

form Akzo. AKU’s research and develop-


The creation of Enka, AKU and<br />

the Dutch synthetic fibers industry<br />

The Akzo legacy<br />

ment departments represented the core of<br />

Akzo’s research capabilities.<br />

Losses – and a master plan to<br />

stem them<br />

A year later, the situation changed dramatically.<br />

Demand for fibers tailed off and prices<br />

fell, while manufacturing costs – mainly for<br />

personnel – increased sharply in what was<br />

a labor-intensive business. In 1972, losses<br />

were made on nylon yarns, polyester fibers,<br />

synthetic leather and cellophane. The Board<br />

of Management drew up a far-reaching<br />

master plan. Five factories in four countries<br />

were to be closed. In the Netherlands, Breda<br />

and Emmen were on the list.<br />

Resistance in Breda<br />

The master plan met with massive resistance,<br />

above all in Breda – a state-of-the-art<br />

fibers plant in which new spinning lines had<br />

been commissioned only a few months earlier.<br />

Enka Glanzstoff’s Central Works Council<br />

rejected Akzo’s proposals. The local works<br />

councils backed the Central Works Council,<br />

and the works councils of Akzo’s non-fiber<br />

companies lent their support to the protests.<br />

The unions demanded that not a single Enka<br />

company should be closed down before<br />

alternative employment had been found<br />

for all employees, speaking of “disastrous<br />

plans”, presented with “gross disregard for<br />

the interests of employees.”<br />

The management of Akzo and Enka<br />

Glanzstoff was divided as to how to face<br />

these demands, as were the Dutch and the<br />

German sides within Enka Glanzstoff itself.<br />

Their disunity was apparent to the outside<br />

world, and public opinion turned against<br />

Akzo. To break the deadlock, two commissions<br />

set to work: a technical-economic<br />

commission of the Central Works Council,<br />

and a commission composed of independent<br />

experts. The former advised the<br />

withdrawal of the master plan; the latter lent<br />

it qualified support.<br />

On 18 September 1972, employees took<br />

over the Breda site, demanding that the<br />

Enka companies should be kept open.<br />

It was the first ever organized take-over<br />

of a site in the Netherlands; Dutch and<br />

Belgian flags were flown at half-mast by<br />

the occupying employees. Intense negotiations<br />

involving the participation of the<br />

Dutch Secretaries for Economic Affairs<br />

and Social Affairs were initiated, and on<br />

23 September Akzo’s Board of Management<br />

withdrew the master plan, stating that the<br />

restoration of order within the company<br />

was of prime importance. It pointed out,<br />

however, that both its Fibers and non-<br />

Fibers activities would suffer the economic<br />

consequences of this decision. The Dutch<br />

and Belgian flags were hoisted in celebration<br />

at Breda. Reflecting later on these<br />

events, Guup Kraijenhoff – who occupied<br />

the informal position of Chairman of Akzo’s<br />

Board of Management at the time – stated<br />

that it would have been better for the entire<br />

company had the master plan been carried<br />

out at this juncture rather than later, as eventually<br />

happened. “It would also have been<br />

better from a social point of view, because<br />

the employment situation was favorable at<br />

the time, creating better chances of alternative<br />

employment for those being made<br />

redundant,” he said. The employees went<br />

back to work at Breda, but the structural<br />

problems of the Fibers business remained<br />

unresolved. A deceptive hope presented<br />

itself in the form of the 1974 oil crisis, which<br />

drove up crude oil prices, thus triggering<br />

higher prices for chemical fibers and yarns.<br />

With the unrest of the recent past still fresh<br />

in their minds, Enka-Glanzstoff’s Board of<br />

Management reluctantly announced plans<br />

to expand production of selected products<br />

in line with the company’s competitors.<br />

An informal – but highly influential<br />

– chairman<br />

Gualtherus (“Guup”) Baron Kraijenhoff<br />

played a pivotal role in the development of<br />

Akzo during the 1970s. Originally Chairman<br />

of the Board of Management of Koninklijke<br />

Zwanenberg-Organon, he oversaw the<br />

merger of that company with Koninklijke<br />

Zout-Ketjen (KZK) to form Koninklijke<br />

Zout-Organon, or KZO. As its Chairman,<br />

he pushed for a merger between KZO and<br />

AKU after AKU had abandoned merger<br />

talks with DSM in the late 1960s and, following<br />

the completion of the merger in 1969,<br />

initially served on Akzo’s new fifteen-man<br />

Board of Management as one of four vicechairman<br />

under Chairman Klaas Soesbeek.<br />

On Soesbeek’s retirement in May 1971,<br />

Kraijenhoff assumed the informal chairmanship<br />

of Akzo until his own retirement in 1978.<br />

Although never fully official, this position<br />

was extremely influential. Guup Kraijenhoff’s<br />

chairmanship coincided with difficult economic<br />

circumstances, but it also witnessed<br />

the introduction of many important building<br />

blocks of what would eventually become<br />

<strong>AkzoNobel</strong>. The first unifying Akzo logo<br />

– a blue triangle – was developed under his<br />

leadership, as was Akzo Nederland bv (an<br />

organization which brought together some<br />

50 works councils in the Netherlands). The<br />

first ever Akzo Code of Conduct, which was<br />

formally binding on the company’s management<br />

in 45 countries worldwide, was introduced<br />

at the same time. And the rebalancing<br />

of the company’s portfolio in 1977, which<br />

A fair day’s pay for a fair day’s work<br />

It was extremely difficult to find suitable personnel in Emmen in the 1950s. The locals<br />

were used to the free outdoor life of Drenthe. They decided on their own working hours,<br />

ate and smoked whenever they felt like it, fetched beer from the grocer’s on the corner<br />

and refused to wear a white overall to work. After all, they reasoned, it would only get dirty.<br />

If they didn’t feel like working, they just stayed at home. “What’s the problem?” asked one<br />

Emmen lass, surprised when her boss took her to task for absenteeism. “I’m not asking you<br />

to pay me for that day!”<br />

45


46<br />

The creation of Enka, AKU and<br />

the Dutch synthetic fibers industry<br />

The Akzo legacy<br />

occurred in response to the net loss posted in 1975, turned<br />

Akzo’s fortunes around and allowed it, a year later, to pay its<br />

shareholders a dividend for the first time in three years.<br />

A new product – and a new problem<br />

During the 1970s, Enka’s research departments were<br />

working flat out to improve product quality and develop<br />

cost-saving processes. In time they produced something<br />

totally new: aramid, a class of very strong synthetic fibers<br />

ideal for reinforcing rubber and plastics, which can be used,<br />

for example, in cables and conveyor belts. Aramid yarn is five<br />

times stronger than steel.<br />

Aramid production was stepped up in 1982. The Delfzijl salt<br />

site started to produce the raw material, which was then<br />

spun to make Twaron ® , the brand name of the aramid fiber.<br />

Because of the high development costs, the Dutch government<br />

invested significantly in this new process. Almost<br />

immediately difficulties arose with the American company<br />

DuPont. They were also making an aramid yarn under the<br />

brand name of Kevlar ® , and they claimed that they had a<br />

patent on an essential component of AKU’s manufacturing<br />

process, the spinning bath for producing the aramid.<br />

A long and costly legal battle ensued which was only settled<br />

– peacefully – many years later.<br />

Further cutbacks<br />

Enka remained in the red during 1977 and 1978. The conclusion<br />

was that the future would lie mainly in industrial yarns<br />

for applications such as tires, technical fabrics, ropes and<br />

nets, as well as in non-fiber products such as plastics, membranes,<br />

dialysis membranes, machines and chemical drilling<br />

fluids and binders. The plant for nylon stocking yarns in<br />

Emmen was closed, and the production of polyester textile<br />

yarn in Breda was cut.<br />

Agreements were made with other European fiber manufacturers<br />

concerning a general reduction in production but,<br />

in 1980, a reduction of 550,000 tons was still needed. The<br />

extremely low value of the dollar was enabling the United<br />

States to export large quantities of chemical fibers, intermediate<br />

products and carpets to Europe cheaply.<br />

Enka had already significantly reduced its dependence on<br />

chemical fibers. Further restructuring led to the disappearance<br />

of 4,000 of the 30,000 jobs in the Netherlands, Germany and<br />

Northern Ireland. The manufacturing facility in Breda finally<br />

closed in September 1982 and approximately 250 jobs at the<br />

Arnhem head office gradually disappeared. Earnings from<br />

textile yarn and fibers and carpet yarn still remained weak.<br />

Pressure on profitability<br />

With more than 31 percent of turnover, 42 percent of personnel<br />

and 31 percent of profits, Enka was still Akzo’s<br />

largest business in 1986. At the same time, it depended<br />

heavily on the concern for support and was a significant<br />

drain on its financial resources. Enka’s top management<br />

readily admitted that their business would never have<br />

survived the chemical fibers crisis without Akzo’s help.<br />

The money earned by other parts of Akzo, especially by the<br />

ever profitable Pharmaceuticals division, was used to cover<br />

the losses from Fibers. Chairman of the Enka Board Joseph<br />

R. Hutter warned, however, on the occasion of its 75th jubilee,<br />

that Enka would have to find its own financial resources<br />

for further growth, modernization and rationalization if it<br />

were to generate an acceptable return and contribute to<br />

Akzo’s further development.<br />

That was precisely the problem. Despite extensive and<br />

far-reaching reorganizations, cost savings and personnel<br />

reductions, the Fibers division as a whole was unable to<br />

meet Akzo’s profitability requirements. Because of this, in<br />

the middle of the 1990s the final finishing of viscose yarn<br />

was moved from Ede to the low-wage economy of Poland in<br />

order to reduce costs. Plans were developed to sell service<br />

units in Emmen and at the Kleefse Waard site in Arnhem.<br />

That did not mean that certain parts of the Fibers business<br />

were not doing well. One example was the Membrana business<br />

unit in Germany, which made technical membranes<br />

for medical and industrial applications and for water purification.<br />

Membrana very quickly acquired a good name for<br />

quality products. Earnings from other industrial products<br />

were also very satisfactory.<br />

Competition from Asia<br />

It was primarily manufacturing for textile applications that<br />

was in difficulties. The biggest problems were experienced<br />

by the companies making viscose yarn. This was used to<br />

manufacture, among other things, menswear and luxury<br />

blouses for women. During the 1980s, however, there was<br />

a flood of cheap textiles from Eastern Europe, and this was<br />

later compounded in the early 1990s by enormous competi-<br />

tion from Asia. Akzo – by now Akzo Nobel – preferred to<br />

invest in its Pharmaceuticals and Coatings groups, where the<br />

profitability was higher. However, the company felt responsible<br />

for its Fibers group and looked for partners or prospective<br />

buyers willing to take over that part of the business.<br />

Akzo Nobel failed in this, but found a solution instead in the<br />

takeover of UK fibers player Courtaulds in 1998. The Fibers<br />

division of the former Courtaulds together with Akzo Nobel’s<br />

Fibers group was then spun off into a separate company,<br />

Acordis, on January 1, 1999. Acordis had sufficient scale to<br />

be able to succeed on its own as a pure fibers player.<br />

In August 1999 an international investment group, CVC<br />

Capital Partners, announced its interest in taking over<br />

Acordis. Akzo Nobel entered into an agreement to sell its<br />

Fibers business to CVC for c825 million. Acordis took with<br />

them provisions of approximately c225 million. CVC had a<br />

64 percent share in the new company, which was established<br />

in the Netherlands; the management of Acordis took<br />

15 percent, and the remaining 21 percent share was taken<br />

by Akzo Nobel. Acordis had a two-tier management structure,<br />

consisting of a board of management and a supervisory<br />

board, on which Akzo Nobel was also represented.<br />

At the end of the 20th century, Folkert Blaisse, chairman<br />

of the Acordis Board of Management, observed that the<br />

transition period was at an end. “Acordis is now going to<br />

work on becoming a solid, independent company with good<br />

opportunities for the future,” he said. The fibers company<br />

had started on a new chapter in its history. With manufacturing<br />

facilities in Germany, the Netherlands, the United<br />

Kingdom, the USA, Brazil, Italy and Poland, Acordis focused<br />

on the production of a wide range of fibers (acrylic, alginate,<br />

carbon, polyamide, staple and viscose) for industrial, textile,<br />

medical and hygiene applications, as well as yarn.


An Enkalon advertisement from 1964 Workers leaving Akzo’s Breda fibers plant after its closure in 1982


48<br />

The Sikkens Painters’ Museum in Sassenheim, the Netherlands, houses<br />

a complete replica of an antique painter’s workshop, as well as a replica<br />

of a car bodyshop


The Akzo legacy<br />

Fifteen years after the Danish dyer Jacob Holmblad founded the<br />

forerunner of Sadolin in Denmark, another paint manufacturing company<br />

began in the Netherlands. In 1792, the painter and glazier<br />

Wiert Willemszoon Sikkens opened a small paint and varnish works<br />

in a gatehouse in the city wall of Groningen. His son, Geert Willem,<br />

continued the business and in 1837 entered into partnership with his<br />

cousin by marriage, Willem Penaat. Their company traded under the<br />

name G.W. Sikkens & Co.<br />

49<br />

Overview<br />

A new factory and a new product<br />

World War I – A brake on expansion<br />

An innovative application for the automotive field<br />

Keeping pace with the USA<br />

Sikkens in color<br />

Relocation to Sassenheim<br />

Surviving World War II<br />

A new move into synthetic resins<br />

Car refinishing systems<br />

The route to KZO – via KZK<br />

Serving the bodyshops<br />

“Our attitude was different”<br />

A quick invisible repair<br />

The power of a brand


50<br />

Sikkens:<br />

From local start-up to world leader in coatings<br />

The Akzo legacy<br />

By 1880, the Sikkens family was no longer<br />

in charge, but the business retained the<br />

name. The firm had a warehouse for paints<br />

on Heerebinnensingel and a small factory<br />

in Zwarteweg. G.W. Sikkens & Co sold primarily<br />

to the building trades, although even<br />

at this point it also produced special lacquers<br />

for carriages and wagons. The company’s<br />

interest in the automotive sector was<br />

in fact to become the defining factor in its<br />

evolution. By the end of the 20th century,<br />

this small enterprise would become one of<br />

the three largest car refinishes companies<br />

in the world.<br />

A new factory and a new product<br />

Around 1900 a large number of homes<br />

were built close to the factory. The smells<br />

from the open lacquer boilers caused a<br />

great deal of nuisance, and the local residents<br />

were afraid of fire. The nuisance was<br />

so great that in 1903, Sikkens built a new<br />

factory on the south side of the city of<br />

Groningen, in the Helpman district. It was<br />

there that they also began producing socalled<br />

Japanese lacquers. These were<br />

Recipe for varnish<br />

smooth, high-gloss lacquers for finishing<br />

decorative objects and for interior decoration.<br />

Branded Pinorin Japan, they achieved<br />

great success, not only in the Netherlands<br />

but throughout Europe.<br />

In 1905, Queen Wilhelmina granted the firm<br />

the title Koninklijke (Royal). From that year,<br />

the full name of the firm became Koninklijke<br />

Lak- en Japanlakkenfabriek G.W. Sikkens<br />

& Co. The managing director, Willem Albert<br />

Penaat (son of Wiert Willemszoon Sikkens’<br />

original partner), traveled throughout Europe<br />

acquiring orders, while his brother Johannus<br />

made sure that everything ran smoothly at<br />

home from a technical point of view.<br />

World War I – A brake on expansion<br />

The business was doing well until the<br />

fatal year 1914, when World War I broke<br />

out. The Netherlands was neutral and so<br />

was debarred from trading with any of the<br />

warring nations. The country’s borders were<br />

closed and, in one fell swoop, 70 percent of<br />

Sikkens’ turnover was lost. There was only<br />

one way to survive – increase sales in the<br />

Netherlands – so depots with Sikkens ® pro-<br />

“Take a new earthenware vessel. Add four parts linseed oil, a dash of massicot, one ounce<br />

completely burned umber, a peeled clove of garlic and a piece of rye bread. Let these boil<br />

until they thicken. Place half a pound of seed lacquer in another vessel. Cover, allow it to<br />

melt, and carefully stir. Remove it from the fire and let it cool (until the pot no longer glows).<br />

Make certain that no lit candle or open flame comes in contact with the turpentine, as it will<br />

ignite. Stir the turpentine and heat it in a thick-walled bottle. Fill a pot with hot water and<br />

place the bottle in the water so that it reaches a high temperature. Stir the turpentine well<br />

and pour it through a piece of gauze into the glass bottle. If the mixture is cold and thickens<br />

as a result, add a bit of turpentine.”<br />

Sikkens varnish formula, approximately 1800<br />

ducts were set up all over the country. They<br />

were managed by well-trained wholesalers<br />

who were located close to their customers<br />

– painters and other building tradesmen.<br />

These distributors were appointed as Official<br />

Dealers and given exclusive rights to sell<br />

Sikkens ® materials.<br />

The shortage of raw materials severely limited<br />

Sikkens’ expansion, but did not prevent<br />

the company from planning for the aftermath<br />

of the war. The company conceived not only<br />

a national, but also an international sales<br />

and distribution system during this period.<br />

This was put into full effect following the termination<br />

of hostilities.<br />

Nevertheless, Sikkens was still a small company<br />

which, since its establishment 126<br />

years earlier, had not grown beyond having<br />

only a dozen employees. Internationally,<br />

however, the firm had a good name – Sikkens<br />

stood for quality products. In the decades<br />

to come, Sikkens was to produce paints for<br />

many application sectors, including the protection<br />

of buildings and boats as well as interior<br />

decoration. The company’s involvement<br />

with the automotive sector was to prove<br />

decisive, however.<br />

A dedication to safety<br />

An innovative application for the<br />

automotive field<br />

In 1924, the gatehouse next to the Sikkens<br />

factory was demolished and replaced by a<br />

large new factory. A laboratory for quality<br />

control and product development was then<br />

added at the instigation of August Mari<br />

Mees, who joined the company in 1924 and<br />

who, in due course, was to become the<br />

founder of the Sikkens Group. The company<br />

was already producing the decorative<br />

paint Rubbol ® A–Z ® , which was originally<br />

a phenol/wood oil paint. In 1926, the new<br />

laboratory succeeded in making a quickdrying<br />

derivative of this product, Rubbol ®<br />

Japanlak sneldrogend, suitable for cars.<br />

This lacquer dried more quickly and was<br />

more durable than rival lacquer types.<br />

In America, however, the automobile in-<br />

dustry was using different lacquers. Employing<br />

explosives left over after the war<br />

(guncotton or nitrocellulose), people there<br />

were making lacquer which was no longer<br />

applied with a brush but with a spray gun.<br />

This made it possible to quickly paint massproduced<br />

cars.<br />

In the 19th century, Sikkens in Groningen had its own safety department. The varnish boiler<br />

Van der Veer, who had worked for the company since 1870, always had a large sheet of iron<br />

to hand in case of emergencies. Whenever the hot stand-oil boiler caught fire, he would<br />

quickly throw the iron sheet over it and cover this with a wet sack. He would then jump on<br />

top of the boiler and stay there until he was certain that the fire was out.


Sikkens first made its Rubbol ® Japanese lacquer suitable for the painting of cars in 1926.<br />

It was a decisive development for the paint manufacturer


52<br />

Sikkens:<br />

From local start-up to world leader in coatings<br />

The Akzo legacy<br />

Keeping pace with the USA<br />

Not everyone at Sikkens saw a future in these cellulose lacquers,<br />

but they could not risk missing the boat – or, rather,<br />

the car. In 1928, a new manufacturing facility was built next to<br />

the still new paint factory to house the brand new company,<br />

Sikkens Celluloselakfabriek. On December 14, 1928, at the<br />

official opening, wholesalers were introduced to the new cellulose<br />

products Nitro Rubbol ® and Nitro Reparatie Zwart.<br />

The company now had two horses in the race for the favors<br />

of the automobile industry and the car owner – its improved<br />

Japanese lacquers, made from teak oil and natural resin, and<br />

Rubbol ® lacquer, based on nitrocellulose. Sikkens’ development<br />

from decorative paints and lacquers to coatings for<br />

automotive and also aircraft applications was to prove a key<br />

factor in the company’s successful expansion and internationalization.<br />

Another important brand for the automotive sector,<br />

Autoflex ® , which was launched in 1932, would remain on the<br />

market for the next six decades.<br />

Sikkens in color<br />

The company grew and, along with it, so did its factories. In<br />

1932, the firm was awarded the title Purveyor to the Royal<br />

Household. Sikkens published trade magazines for house<br />

painters and also a magazine for wholesalers. The first<br />

Sikkens advertising films appeared in the second half of the<br />

1930s. One of these was even partly in color – an exciting<br />

innovation in those days.<br />

Sikkens opened up new markets. Industrial paint users were<br />

offered batches of paints and varnishes specially made<br />

to meet their requirements. Regular customers already inclu-<br />

ded famous names such as radio and light bulb manufac-<br />

turer Philips, truck builder Kromhout, aircraft manufacturer<br />

Fokker, train builder Werkspoor, airline KLM and lock manufacturer<br />

Lips. In 1938, Sikkens employed around 90 people.<br />

Relocation to Sassenheim<br />

The company’s manufacturing site in Groningen was by the<br />

late 1930s bursting at the seams. The cellulose factory had<br />

already moved a couple of streets away, but that was not<br />

very convenient because it was easier when everything was<br />

together on one site.<br />

With the knowledge that most of its major customers were<br />

located in the western part of the Netherlands, the company<br />

looked there for a suitable site for its paint factories. They<br />

ended up in Sassenheim, where there was a field which<br />

could no longer be used for growing bulbs. And there,<br />

where the busiest motorway and the busiest railway line in<br />

the Netherlands crossed, the new Sikkens factories were<br />

built. In 1939 the threat of war was imminent. The management<br />

wanted at all costs to move to the new site before the<br />

war upset things.<br />

In a lightning move on September 13, 1939, everything was<br />

relocated from Groningen to Sassenheim – filing cabinets,<br />

office furniture and machinery. When the first people arrived,<br />

there were no windows in the buildings and the site had not<br />

yet been surfaced, so everyone had to trudge through wet<br />

sand to get to work.<br />

Eighty of the 90 Groningen personnel moved with the factories<br />

to Sassenheim. The other ten did not dare to make the<br />

move to the west. Most of the office staff found homes in the<br />

fashionable town of Oegstgeest, whereas the majority of the<br />

factory workers ended up in Noordwijk. Many of them lived<br />

together in the same street. Natives of Noordwijk still refer to<br />

it as Groningen Street.<br />

Surviving World War II<br />

The newly-relocated company had a hard time of it during<br />

World War II. During the fighting in May 1940, Sikkens was<br />

in the firing line between German paratroops and Dutch<br />

defenders. In 1942, the company set up its own fire brigade<br />

and an air defense squad. Two years later, it became clear<br />

just how necessary these organizations were because, following<br />

an air raid, a fire caused a great deal of damage.<br />

Production fell to zero.<br />

A new move into synthetic resins<br />

Reconstruction started swiftly after the end of the war, however.<br />

A hundred thousand homes had to be repaired in the<br />

Netherlands, not to mention the many roads, bridges, viaducts<br />

and rail links that had been damaged. And paint and<br />

varnish were needed for all of them. Because of the shortage<br />

of raw materials, in the beginning Sikkens could not produce<br />

enough to meet the demand. The company therefore started<br />

to make synthetic resins itself as raw materials for its own<br />

paints. The production of synthetic resins was subsequently<br />

transferred to an independent part of the company, Synthese,<br />

later to become the Resins business unit.<br />

Car refinishing systems<br />

By 1948, the shortage of raw materials was a thing of the<br />

past and manufacturing was again running flat out. Sikkens<br />

at this point had 229 employees and Synthese 31. The postwar<br />

era saw a huge growth in prosperity in the Western world<br />

and, with it, a massive increase in car ownership. The concept<br />

of a dedicated car refinishes industry – for repainting<br />

cars that had been repaired following an accident –<br />

first developed in the United States. Perceiving the potential<br />

of this trend, Sikkens set out to exploit this new market,<br />

as well as the original automotive manufacturing sector.<br />

The fast-drying Autoflex ® Sneldrogend – based on alkyd<br />

resin technology which had been developed in Sassenheim<br />

during the war – gave the company a huge advantage over<br />

its competitors and this breakthrough product was followed<br />

up in 1961 by Autoflex ® Washprimer and Autoflex ® Filler,<br />

thus creating a refinishing system which could be completed<br />

in a single day.<br />

Sikkens set itself ambitious growth targets and in 1954 it<br />

listed on the Dutch stock exchange in order to fund its plans.<br />

By this stage, the company was producing automotive<br />

coatings for many public transport companies and vehicle<br />

body constructors including FIAT, Ford, Morris and Simca.<br />

The company’s aircraft coatings, meanwhile, were being<br />

successfully used for Gloster Meteor and Hawker Hunter<br />

jet fighters, while the innovative 24-hour and one-pot systems<br />

were introduced for the domestic decorative (home)<br />

paint market.<br />

In 1957, a new oil mill was installed on the Sassenheim site.<br />

Sikkens Constructieverven, serving the building trades,<br />

started up under the name Sicova in nearby Leiden.<br />

Acquisitions and joint ventures abroad during the late 1950s<br />

gave the company access to a wider range of markets and<br />

lifted the headcount to around 1,600. In 1960, the various<br />

activities were consolidated to form the Sikkens Group.<br />

Approximately 40 percent of the company’s output was<br />

being exported.<br />

The route to KZO – via KZK<br />

In 1962, the Sikkens Group became part of Koninklijke<br />

Zout-Ketjen (KZK), which included Gembo, a manufacturer<br />

of water glass, printing inks and Valspar ® paints. Two<br />

years later, Sikkens took over the Valspar ® paints activities<br />

from Gembo. In 1963, CetaBever, a manufacturer of DIY


Hoarding advertising: the planned construction<br />

of the new Sikkens plant in Sassenheim,<br />

the Netherlands, shortly before World War II<br />

broke out<br />

Sir Winston Churchill, British Prime Minister<br />

during World War II, visits Sikkens’ Sassenheim<br />

site in 1946<br />

53


54<br />

Sikkens:<br />

From local start-up to world leader in coatings<br />

The Akzo legacy<br />

products, and Talens, a producer of artists’ paints based in<br />

Apeldoorn, also became part of Sikkens.<br />

Then, in 1967, KZK merged with Koninklijke Zwanenberg-<br />

Organon to create Koninklijke Zout-Organon (KZO). From<br />

that point on, Sikkens shares the same history as that of<br />

KZO, becoming part of Akzo in 1969 and in 1994 part<br />

of Akzo Nobel. Together with the German Lesonal and<br />

the French Astral, Sikkens formed the Coatings division<br />

of Akzo Nobel.<br />

Serving the bodyshops<br />

By the mid-1960s, the Autoflex ® product line had more<br />

than 500 ready-mixed colors. To help bodyshop sprayers<br />

identify paint colors accurately, the company introduced<br />

the Sikkens ® Car Color Selector, an innovative color selection<br />

book. Encouraged by its successes in the Dutch<br />

market, Sikkens then targeted the large and technologically<br />

advanced German car refinishes market, building on the<br />

success of the Autoflex ® line and following this up with its<br />

revolutionary two-component topcoat Autocryl ® . Autocryl ®<br />

was more expensive than existing car refinish systems, and<br />

it called for a change in working methods on the part of<br />

bodyshop sprayers, but energetic marketing in combination<br />

with an extensive training program assured the success<br />

of the new product line.<br />

The difference between<br />

lacquer and paint<br />

“Our attitude was different”<br />

Both lacquer and paint are mixtures of pigment and binding medium, which are thinned<br />

with a solvent to form a liquid vehicle. Both are used to decorate or protect surfaces and<br />

are generally applied in thin coats that dry (by evaporation or by oxidation of the vehicle)<br />

to an adhesive film.<br />

Lacquer was first made more than two thousand years ago in Asia from the resin of the<br />

Lacquer tree, Toxicodendron vernicifluum, and used to make and decorate traditional<br />

artifacts. Lacquer is light but strong. It is resistant to acid or alkali and it changes color<br />

and hardens on contact with air to give a jet-black, impermeable finish which can be<br />

Further innovations followed, fuelling growth throughout<br />

and beyond Europe – mixing machines that allowed onthe-spot<br />

mixing of paints were introduced into bodyshops,<br />

the first integrated color documentation for car refinishes<br />

(Colorscala ® , later called Colormap ® ) was created, and<br />

microfiche technology was employed to keep bodyshops<br />

informed about changes in the central color database.<br />

Meanwhile, the old-fashioned customer orientation that had<br />

helped Sikkens penetrate the German car refinishes market<br />

was applied to the massive U.S. market. As Henk Groen,<br />

the “godfather” of the Car Refinishes Group, was to recall:<br />

“Our attitude was different – going to the bodyshops and<br />

working with them to solve their problems. We didn’t come<br />

wearing white coats. Our people wore overalls and had dirty<br />

hands and said, ‘Let me show you how it can be done.’ That<br />

attitude towards the customer created an opening for us,<br />

and that’s why it took 12 or 13 years before the competition<br />

caught up with us.”<br />

Quick invisible repair<br />

Each time Sikkens was launched in a new country,<br />

Groen would hear the same remarks: “Our country is different.<br />

Our culture is different. You have to take a different<br />

approach here.” But Groen and his colleagues understood<br />

that no matter how different cultures might be, customers<br />

all wanted the same thing when they brought their car to<br />

the repair shop. They wanted it back with no sign of the<br />

damage and as quickly as possible. That was the essence<br />

of the Sikkens slogan: “Quick invisible repair.” The simplicity<br />

of this message was complemented by advanced<br />

concepts in customer service aimed at the entrepreneurs<br />

who owned the repair shops. Sikkens offered them support<br />

with their financial planning, marketing, advertising and sales<br />

promotion, to help them grow their businesses. The Acoat<br />

selected ® partner program has since spread around the world<br />

to serve the market’s largest and most prestigious body-<br />

shops. Meanwhile, building on Sikkens’ strength in providing<br />

user training for products, the first Car Refinishes Instruction<br />

Center was established in Sassenheim in 1974.<br />

The power of a brand<br />

Towards the end of the 1980s, Sikkens introduced computer<br />

technology to link its successful color database to<br />

its equally successful on-site mixing machines. This Mixit ®<br />

system made for even more precise mixing, while reducing<br />

paint usage and increasing efficiency in the bodyshops.<br />

The company celebrated its 200th anniversary in 1992.<br />

By 1998, it was producing the same amount of paint in a<br />

built up in layers. A similar product, shellac, is derived from the secretions of the Lac insect<br />

Laccifer lacca, dissolved in alcohol. The term lacquer now refers to any fast-drying clear or<br />

colored coating applied by spray in a variety of finishes from ultra matte to high gloss, and<br />

composed of a resin dissolved in solvent.<br />

First used in cave paintings in France and Spain more than 15,000 years ago, paint is an<br />

opaque solid film applied to a substrate. It is composed of finely ground pigments, natural<br />

or synthetic, which give it color and consistency, solvents to make it easy to apply, resins to<br />

help it dry, and additives to improve its covering, filling or anti-fungal properties.


Sikkens assumed a powerful position in the car refinishes market<br />

through a combination of innovative products and high-quality<br />

training in their use<br />

55


56<br />

Sikkens:<br />

From local start-up to world leader in coatings<br />

The Akzo legacy<br />

single day as was made in a whole year in 1946. As part of<br />

Akzo Nobel’s Coatings division, the organization no longer<br />

traded as Sikkens, but the name was, and still is, used as a<br />

brand name.<br />

In 1994, the then Akzo merged with Nobel Industries, whose<br />

portfolio included significant coatings activities. The merger<br />

brought with it decorative coatings brands such as Sadolin ®<br />

and Crown ® Berger, which were incorporated into the<br />

Coatings division of the newly-created Akzo Nobel. The division<br />

was then split up into a number of business units, which<br />

continued the tradition established by Sikkens. Akzo Nobel’s<br />

acquisition of the British Courtaulds in 1998 added even<br />

more coatings operations.<br />

<strong>Today</strong>, <strong>AkzoNobel</strong> is the biggest paint manufacturer in<br />

the world, with activities in decorative coatings for interior<br />

and exterior decoration and protection, industrial finishes<br />

and powder coatings, marine and protective coatings<br />

and car refinishes. Decorative coatings brands include<br />

Sadolin ® , Dulux ® and Flexa ® , while industrial brands include<br />

International ® , Interpon ® and Resicoat ® .<br />

The Sikkens Painters’ Museum<br />

The Sikkens Painters’ Museum showcases a unique collection which pays tribute to every<br />

aspect of the painter’s trade, from home decoration to carriage painting. This is reflected<br />

not only in the museum’s large collection of painting materials and equipment, and the<br />

magnificent craftsmanship demonstrated there, but also in its extensive library and precious<br />

collection of historical wallpapers.<br />

The museum shows the workshops where painters once produced their own paints from<br />

all kinds of raw materials, the ladders and scaffolding that they used, and their means of<br />

transport. It also highlights techniques of the past, such as wood and marble imitations,<br />

and the crafts of carriage painters, glaziers and wallpaper-makers.<br />

The heart of the museum is the Cees Tromp collection of artifacts celebrating the evolu-<br />

tion of painting. Tromp himself was a master painter who witnessed the sweeping changes<br />

in the trade during the 1950s and 1960s. On his travels through the Netherlands, Tromp<br />

amassed a unique collection providing a broad view of the history of the painter’s trade.<br />

Sikkens Lakfabrieken acquired the collection in 1973 and opened the Sikkens Painters’<br />

Museum in The Hague in 1981, with Tromp as the curator. In 1992, the museum moved<br />

to the former town hall of Sassenheim.<br />

In the museum’s Sikkens Room, the history of the Sikkens brand and the development of<br />

<strong>AkzoNobel</strong> are displayed, with presentations from each business unit showing how products<br />

and services have changed over time. The museum also houses a complete replica<br />

of an antique painter’s workshop and a replica of a car bodyshop, as well as individually<br />

themed exhibitions.


Production of Sikkens paint at Sneek, the Netherlands, in 1996.<br />

Sikkens sold the Sneek operation in 2001 to CPS Colors


58<br />

Sikkens:<br />

From local start-up to world leader in coatings<br />

The Akzo legacy<br />

The Sikkens Foundation<br />

The Sikkens Prize was inaugu rated in 1959 on the initiative of<br />

A.M. Mees, the then director of the Sikkens Paint Factory in<br />

Sassenheim. The prize was introduced as an appreciation of<br />

artists, architects and designers whose work created a synthesis<br />

of space and color.<br />

Mees’ initiative stemmed on the one hand from his interest in art,<br />

and on the other from his position at a company in which color was<br />

the leading factor in the manufacture of products. In the years that<br />

followed, many Sikkens Prizes were awarded to architects, artists<br />

and organizations in the Netherlands and abroad, and the Sikkens<br />

Prize became a household name in the world of art and culture.<br />

In 1972, Akzo Nobel disengaged the Sikkens Prize from industrial<br />

patronage and placed it under an independent foundation, the<br />

Sikkens Prize Foundation, later called the Sikkens Foundation.<br />

The award formula was expanded and increased attention was<br />

given to color as a universal phenomenon.<br />

The core activity of the Sikkens Foundation is to periodically<br />

award the Sikkens Prize to persons and organizations that, in<br />

the board’s opinion, have made a special contribution to the<br />

Foundation’s goals. The recipient of the first Sikkens Prize was<br />

the architect Gerrit Rietveld (in 1959). Among those who came<br />

after him were Le Corbusier (1963), Theo van Doesburg (1968)<br />

and Donald Judd (1993).<br />

In recent times, the Sikkens Prize has usually been awarded to<br />

artists and architects who have carried out pioneering work in the<br />

field of color application. The Sikkens Foundation does not restrict<br />

itself to art and architecture, however, but sees the universal phenomenon<br />

of color in a very broad context – as testified by the award of<br />

Sikkens Prizes to the Hippies (1970), the governmental department<br />

responsible for the IJsselmeer polders (1979), the filmmaker Ettore<br />

Scola (1983), and the sanitation department of the City of Paris (1995).<br />

A.M. Mees, founder of the Sikkens Group and<br />

initiator of the Sikkens Prize. Bronze bust by<br />

Hans Verhulst


Gerrit Rietveld’s Schröder House in Utrecht, the Netherlands.<br />

Rietveld won the first Sikkens Prize in 1959 for his entire oeuvre,<br />

in particular for his “realization of a synthesis between space and color”<br />

Maurice Agis and Peter Jones won the Sikkens Prize in 1967 for their<br />

conception of spatial structures, based on the interrelation of surfaces,<br />

lines and colors<br />

59


60<br />

Richard Paul Lohse won the 1971 Sikkens<br />

Prize for his new compositional techniques in<br />

painting. These were adjudged “Of the highest<br />

merit” and “A signpost towards visual necessities<br />

in the developed environment”<br />

Ettore Scola won the 1983 Sikkens Prize for the<br />

use of color in his films, including Una giornata<br />

particolare and Passione d’amore. The scene<br />

shown here comes from Il mondo nuovo (That<br />

night in Varennes)


Donald Judd won the 1993 Sikkens Prize for his surprising use of form<br />

and particularly color in the fields of furniture-making and architecture<br />

The Dutch retail company HEMA won the Sikkens Prize in 2004<br />

in recognition of the attention it pays to the color and design of its<br />

broad assortment of articles for daily use


62<br />

Ketjen’s operation in the north of Amsterdam, 1835


The Akzo legacy<br />

On September 6, 1835, King William I of the Netherlands granted three<br />

residents of Amsterdam a patent to import and manufacture sulfuric<br />

acid. This chemical, which was used primarily by weaving and cottonprinting<br />

mills for dyeing textiles, was in short supply in the Netherlands<br />

on account of the war that was being fought with Belgium at the time.<br />

One of three entrepreneurs awarded the patent was the apothecary<br />

Gerhard Tileman Ketjen. He and his two partners set up a sulfuric acid<br />

works on Trapjesschans in Amsterdam, approximately where the Nieuwe<br />

De la Mar theater now stands.<br />

63<br />

Overview<br />

Innovation and diversification<br />

Destruction and reconstruction<br />

From Ketjen to KZO<br />

Incorporation into the Chemicals division


64<br />

Ketjen:<br />

A leading sulfuric acid manufacturer<br />

The Akzo legacy<br />

In 1900 the firm of Ketjen built a new sulfuric acid plant in<br />

Amsterdam, on the banks of the River IJ near Nieuwendam.<br />

Situated in a desolate and unpopulated area, the plant was<br />

close to the water, offering easy access to tankers. This facilitated<br />

the export of large quantities of sulfuric acid. The new<br />

plant was followed in 1914 by a hydrochloric acid plant. As<br />

the Netherlands did not have an indigenous salt industry at<br />

the time, the hydrochloric acid plant used imported salt as<br />

raw material. World War I proved very profitable for Ketjen.<br />

The Dutch government purchased two-thirds of all the company’s<br />

output for the manufacture of explosives, while the<br />

company’s products were also used by the glass industry.<br />

Innovation and diversification<br />

Hard times arrived after the war and remained until 1929,<br />

when a further sulfuric acid plant was built, primarily to supply<br />

the Mekog fertilizer plant in IJmuiden near Amsterdam. The<br />

1930s witnessed both innovation and diversification. In 1935<br />

a Ketjen researcher, Piet Smit, developed a new invention.<br />

He treated sawdust with sulfuric acid and in so doing created<br />

activated carbon, which was ideal for decolorizing<br />

cane- and beet-sugar juice. A Ketjen subsidiary, Activit,<br />

commercialized Smit’s invention.<br />

Another employee, a Belgian named Du Saar, invented a<br />

water softener for treating the boiler feed water on steamships.<br />

Further subsidiaries were set up to exploit this<br />

development. In 1937 the old contact sulfuric acid plant<br />

was upgraded to become the biggest sulfuric acid plant in<br />

Europe. Additional plants were built for the manufacture of<br />

different products – for example, sulfite, bisulfite and potassium<br />

permanganate. The last of these is a raw material for<br />

Emissions – and restitutions<br />

making the artificial sweetener saccharin – a product that<br />

was to be much sought-after during World War II.<br />

Destruction and reconstruction<br />

Sulfuric acid is highly corrosive, and during the past century Ketjen had several problems<br />

with leaks in its manufacturing equipment. One evening, poisonous sulfur vapors escaped<br />

from the plant on Trapjesschans. People in an old timber city theater nearby took to their<br />

heels. The Amsterdam city council insisted that the company relocate and Ketjen moved to<br />

a site at the end of Overtoom. Things were not much better at the new location, however.<br />

Acidic emissions were bad news for local market gardeners, who brought their withered<br />

carrots and lettuces to the company, demanding restitution. Ketjen paid up. In due course<br />

the farmers looked on such compensation as a fixed part of their income.<br />

Allied bombers hit Ketjen’s sulfuric acid storage facilities on<br />

July 28, 1943, with the result that thousands of tons of sulfuric<br />

acid ended up in the River IJ. In September the following<br />

year, the Germans destroyed the cranes and transport facilities.<br />

By the end of the war, the plant was completely inoperative.<br />

A revival commenced in October 1945, however. Ketjen<br />

was invited to manage a number of German companies on<br />

behalf of the Dutch government and it profited from post-war<br />

reconstruction. The building of a sulfur dioxide plant started<br />

in 1947, followed by the construction of laboratories.<br />

A plant to make catalysts for the oil industry was built in 1953<br />

under an American license. Over the next few years two<br />

more plants were added, one of them specifically to make<br />

desulfurizing catalysts that removed sulfur from oil.<br />

Ketjen also purchased a large tract of land on the other side<br />

of Amsterdam’s Nieuwendammer Canal and connected it<br />

to the existing site by a causeway. Here the company built a<br />

new sulfuric acid plant and an installation for making sulfurbased<br />

products. Railway sidings were built over the entire<br />

site. Goods wagons crossed the River IJ on the company’s<br />

own rail ferry. Ketjen constructed a plant jointly with the<br />

American Cabot Corporation in Europoort, near Rotterdam,<br />

to make special varieties of soot for the tire industry. A sulfuric<br />

acid plant was also built there. More new plants were<br />

erected in Amsterdam at the beginning of the 1960s. These<br />

included installations to make biphenyl and plasticizers for<br />

the plastics industry.<br />

From Ketjen to KZO<br />

In 1961, Koninklijke Zwavelzuurfabrieken van het Ketjen,<br />

as the company was now known, merged with Koninklijke<br />

Nederlandse Zoutindustrie (KNZ) to form Koninklijke<br />

Zout-Ketjen (KZK), which in turn merged with Koninklijke<br />

Zwanenberg-Organon to form a new conglomerate,<br />

Koninklijke Zout-Organon (KZO).<br />

Incorporation into the Chemicals division<br />

After the creation of Akzo in 1969, Ketjen formed part of<br />

Akzo’s Chemicals division. It numbered more than 1,100<br />

employees at the time. The golden age of the chemicals<br />

industry was drawing to a close, however, and Ketjen was<br />

losing money. In 1978 dozens of employees had to take<br />

early retirement; further staff cuts continued in the ensuing<br />

years. The remaining parts of the former Kejten operations<br />

were integrated into the Catalysts business unit of<br />

Akzo Nobel’s Chemicals division. A sulfuric acid specialties<br />

plant at the Nieuwendammer Canal site still provides<br />

a reminder of yesteryear, however. Just before the end of<br />

the 20th century a new owner for this plant appeared in<br />

the form of PVS Chemicals, a Belgian subsidiary of the<br />

American PVS Chemicals Inc., which makes and sells<br />

inorganic chemicals and processes chemical waste. The<br />

employees in the sulfuric acid plant in Amsterdam had<br />

extensive experience with the combustion of wastes containing<br />

sulfur because that is how they made sulfuric acid.<br />

Akzo Nobel and PVS Chemicals entered into an agreement<br />

and 20 to 30 employees transferred to the new owner.


Construction work on a new sulfuric acid plant in the 1950s<br />

65


66<br />

Early salt manufacture was a labor-intensive process


The Akzo legacy<br />

Salt is one of the most pivotal products in the evolution of <strong>AkzoNobel</strong>.<br />

The company’s involvement with this valuable commodity began in 1887,<br />

when Jacob Pieter Vis read in the newspaper that a recently dug well on<br />

the Twickel estate in Twente (in the east of the Netherlands) produced<br />

salt water rather than fresh water. This was the first time that salt had<br />

been found on Dutch soil. Vis was interested in the news because he<br />

was a salt boiler by trade, producing salt by boiling brine rather than<br />

extracting it from the earth.<br />

67<br />

Overview<br />

Wartime shortages – and a new industry<br />

Striking it rich<br />

Diversification into salt derivatives<br />

Merger with Ketjen<br />

Dishwashers and icy roads<br />

Merger with Zwanenberg-Organon


68<br />

Koninklijke Nederlandse Zoutindustrie:<br />

The Netherlands’ first large-scale salt manufacturer<br />

The Akzo legacy<br />

Wartime shortages – and a new industry<br />

Knowing that considerable underground reserves of<br />

salt existed in neighboring Germany, and surmising<br />

that some of these must extend under Dutch soil,<br />

too, Vis recruited some partners to join him in<br />

setting up a new salt manufacturing company. In 1911<br />

they applied for a concession to drill for saline water near<br />

Buurse, south of Enschede, in the east of the Netherlands.<br />

The bill concerning their application went before the<br />

Lower House of the Dutch parliament, which threw it out<br />

– only to discover during the ensuing World War I how short-<br />

sighted this decision had been. For the borders of the<br />

Netherlands were sealed during the war, leaving the<br />

country unable to import the salt so necessary for many<br />

industrial and domestic uses. In due course, the Dutch<br />

Lower House changed its mind, and in 1918 the state<br />

took a stake in Vis’ company, which soon became<br />

known as KNZ (Koninklijke Nederlandse Zoutindustrie).<br />

A salt production complex was built at Boekelo, just to<br />

the west of Enschede.<br />

The harvesting of a chemical<br />

Striking it rich<br />

To everyone’s consternation, however, no salt was found to<br />

begin with. The first discovery did not occur until March 17,<br />

1919, when salt was discovered in the ground near Usselo,<br />

on the outskirts of Enschede, at a depth of 325 meters.<br />

The first salt evaporator started operation on August 25 of<br />

the same year. The brine that came out of the ground was<br />

transported through a pipeline, 2,200 meters long, to the<br />

Boekelo plant.<br />

Diversification into salt derivatives<br />

The Phoenicians (2500–1000 B.C.) are thought to have been the first people to harvest<br />

and trade solid salt from the sea. They flooded coastal plains with seawater, left it to dry<br />

until the water had evaporated, and then collected the salt.<br />

In the 14th century, the city of Timbuktu in Mali, at the edge of the Sahara, was fabled<br />

for its great wealth, accumulated by the trade in salt, from the mines in the north of the<br />

country, as well as gold and slaves from the south. It is said that salt was worth its weight<br />

in gold, and that when on a pilgrimage to Cairo, the Emperor of Mali gave away so many<br />

gold gifts that the price of gold crashed. Timbuktu is still important as an entrepot for<br />

rock-salt from Taoudenni.<br />

Although about 50 quadrillion (50 x 10 15 ) tons of sodium chloride (common salt) are dissolved<br />

in the world’s oceans, less than a third of the world’s salt is produced from seawater.<br />

Most of it comes from rock salt mines deep beneath the earth’s surface. A huge rotorbladed<br />

machine tunnels into the salt deposit and then automatic electro-hydraulic drilling<br />

machines bore 14-meter deep holes into the tunnel ceiling. These holes are packed with<br />

In 1926 a new production process was introduced. The brine<br />

was no longer evaporated but vacuum dried instead.<br />

The production of soda was also initiated.<br />

In addition to producing cooking salt and de-icing salt, in<br />

1931 the manufacture of hydrochloric acid, sodium hypochlorite,<br />

liquid chlorine and sodium hydroxide was also started.<br />

Salt is the precursor for all these chemicals. Production<br />

in Boekelo ended in 1952, but prior to this, new salt and<br />

chemicals plants had been built near Hengelo, just north<br />

of Enschede, well situated alongside the Twents Canal,<br />

a major waterway in the region for the transport of goods.<br />

KNZ produced more than 200,000 tons of salt from 1939 to<br />

1940. This quantity doubled within ten years, and the company<br />

continued to expand.<br />

The construction of a modern chlorine electrolysis plant<br />

in Delfzijl (near Groningen) started in 1956 and the first<br />

calcined (water-free) soda was manufactured the following<br />

year. In 1959, salt production started here too. KNZ also participated<br />

in companies in Stade and Ibbenbüren (Germany).<br />

Merger with Ketjen<br />

Koninklijke Zout-Ketjen (KZK) was formed in 1961 when<br />

KNZ merged with the Dutch sulfuric acid manufacturer<br />

Ketjen. A major research center opened in Hengelo<br />

in the same year. Three years later, the production of<br />

pesticides started in the Botlek area of Rotterdam,<br />

and construction of a salt plant started at Mariager in<br />

northeast Denmark.<br />

explosives which are then detonated, and the fragmented rock salt is carried by conveyor<br />

belt up to the surface. Germany is one of the largest sources of mined salt in the world, and<br />

one mine, at Borth in North Rhine-Westphalia, is estimated to have salt deposits exceeding<br />

200,000 million tons.<br />

Yet another method of extracting salt is to pump hot water into underground deposits,<br />

causing the salt to dissolve, and then to pump the resulting brine to the surface. This<br />

process has the advantage of enabling impurities to be left underground. When the water is<br />

evaporated from the brine in large vacuum plants, the resulting salt is 99.9 percent pure.<br />

Two further key industrial products are derived from sodium chloride (salt) – chlorine and<br />

caustic soda. Chlorine is a basic manufacturing chemical and is used in over 50 percent<br />

of all industrial chemical processes and in over 90 percent of pharmaceutical and crop<br />

protection products. Caustic soda is used directly in the manufacture of pulp and paper,<br />

aluminium, petroleum and natural gas refining and processing.


The spa at Bad Boekelo<br />

69


70<br />

Koninklijke Nederlandse Zoutindustrie:<br />

The Netherlands’ first large-scale salt manufacturer<br />

The Akzo legacy<br />

Dishwashers and icy roads<br />

Compacted salt pellets for softening water were launched on<br />

the market in 1967 under the name Broxo ® , in response to,<br />

among other things, the growing number of dishwashers in<br />

people’s homes. The company also helped people to keep<br />

their feet on the ground thanks to Gladweg ® , a de-icing salt<br />

for sidewalks and roads. At this time KZK was selling more<br />

than two million tons of salt a year, making it the largest salt<br />

producer in the world.<br />

Merger with Koninklijke Zwanenberg-Organon<br />

Koninklijke Zout-Ketjen (KZK) and Koninklijke Zwanenberg-<br />

Organon merged to create Koninklijke Zout-Organon NV<br />

(KZO) in 1967. During the formation of Akzo in 1969, the position<br />

of the salt business was significantly enhanced at the<br />

last moment by the takeover of International Salt Company<br />

in Clarks Summit (United States).<br />

“He’s worth his salt”<br />

Salt was being used to preserve meat and fish by 2000 B.C., enabling products to be traded<br />

over greater distances. Salt was hard to obtain and became a valuable commodity, and<br />

the trade was later taxed and controlled by the state. In 6th century B.C. the building of the<br />

temple of Artemis in Ephesus was partly funded by a salt tax, and by the 3rd century B.C.<br />

salt taxes were common in Egypt, Rome and China. Up until the 1900s, when new sources<br />

of salt were found, the tax on salt was often raised to pay for wars. The Romans paid part<br />

of their soldiers’ wages in salt, and the Latin word salarium is the root of the word “salary.”<br />

So to be “worth your salt” means you are a good employee.<br />

Salt is a bulk product. The profit margin is small, so every<br />

extra cent per ton profit counts significantly towards the<br />

overall result. It has therefore been necessary to work ever<br />

more efficiently and with increasingly greater cost awareness<br />

over the decades. Various reorganizations over the<br />

years have resulted in redundancies in Hengelo, Delfzijl<br />

and Botlek (Rotterdam) and, in the mid-1990s, the disposal<br />

of the American International Salt Company. Similar<br />

pressures led Akzo to rationalize its R&D activities, as a<br />

result of which many people in the Hengelo research center<br />

were transferred to Arnhem.<br />

The Salt division nevertheless continued to develop under<br />

the Akzo umbrella because the new organization designated<br />

salt and its derivatives as core business. The Chemicals and<br />

Salt divisions were eventually merged in 1992. <strong>AkzoNobel</strong><br />

remains one of the biggest salt producers in the world.<br />

A debt to Alfred Nobel<br />

Storing salt is a major problem. Salt attracts water, and the salt grains cake together to form<br />

very hard lumps. Rock-hard salt piles several meters high regularly formed in the storage<br />

facilities in Hengelo in days gone by. The problem was how to break up the salt so that<br />

it could be used. The solution employed was an invention of Alfred Nobel’s – dynamite.<br />

Holes were drilled in the salt pile, and dynamite charges were inserted and detonated.<br />

Two people with explosives permits were specifically employed for this task. Later on, an<br />

anti-caking agent was invented. This was added to the salt to ensure that it remained loose.


silicones<br />

poly-<br />

urethanes<br />

ptfe<br />

terra methyl-<br />

lead<br />

methyl-<br />

cellulose<br />

industrial<br />

processes<br />

pvdf<br />

hcfc<br />

monochloro-<br />

methane<br />

water<br />

treatment<br />

The chlorine tree. Chlorine is derived from<br />

salt and has diverse applications. Although<br />

made with the help of chlorine, about onethird<br />

of finished products from this source are<br />

chlorine-free<br />

pvdc<br />

pvc<br />

ethylcellulose<br />

diiso-<br />

cyanates<br />

poly-<br />

carbonates<br />

dichloro-<br />

methane<br />

trichloro-<br />

methane<br />

industrial<br />

processes<br />

vinyl<br />

chloride<br />

tetra ethyl<br />

lead<br />

hfc<br />

perchloro-<br />

ethylene<br />

monochloro-<br />

ethane<br />

phosgene<br />

tetrachloromethane<br />

hcl<br />

1,2-dichloro-<br />

ethane (Edc)<br />

elemental<br />

chlorine<br />

c2-derivatives<br />

c1-derivatives<br />

foods cosmetics<br />

hdcf<br />

1,1,1-trichloroethanetrichloroethylene<br />

monochloro-<br />

acetic acid<br />

c3-derivatives<br />

Salt<br />

carboxymethyl<br />

cellulose<br />

trichloro-<br />

acetic acid<br />

flocculants<br />

allylchloride<br />

c4-derivatives<br />

pharmaceuticals<br />

epichlorohydrin<br />

aromatic<br />

derivatives<br />

inorganic<br />

derivatives<br />

dichloro-<br />

butene<br />

aluminium<br />

chloride<br />

epoxy resins<br />

glycerols<br />

glycol<br />

ethers<br />

propylene<br />

glycol<br />

propylene<br />

oxyde<br />

chloroprene<br />

chloro-<br />

paraffins<br />

dyestuffs<br />

silicon tetrachloride<br />

iron chloride<br />

end use<br />

intermediates<br />

poly-<br />

urethanes<br />

polyols<br />

polychloroPrene<br />

linear slkyl benzene<br />

health & crop<br />

protection<br />

aramide fibres<br />

s-resins<br />

sulfur<br />

chlorides<br />

titanium<br />

tetrachloride<br />

phosphorus<br />

chlorides<br />

silicon<br />

dioxide<br />

silicon<br />

health & crop<br />

protection<br />

sodium hyperchloride<br />

end use – no chlorine in product<br />

intermediates – no chlorine in product<br />

crop protection<br />

titanium<br />

dioxide


72<br />

The Sternfeld brothers won a prize in 1906<br />

for the excellence of their bread, which<br />

was baked with Noury & Van der Lande’s<br />

new “Excellent” brand of flour


The Akzo legacy<br />

Noury & Van der Lande, later to become pioneers in peroxides and<br />

part of <strong>AkzoNobel</strong>’s Polymer Chemicals business, began its life in the<br />

milling business. In 1838, Jan Nourij and Gerrit van der Lande purchased<br />

two mills on the Koerhuisbeek, on the outskirts of Deventer.<br />

Their plan was to mill rapeseed and grain in order to produce linseed<br />

oil and cattle feed. Their efforts prospered and they expanded considerably,<br />

not least because of their use of ultra-modern steam-driven<br />

rolling mills – a significant innovation at the time. By the end of the<br />

19th century, Noury & Van der Lande also had an oil mill in Kleve,<br />

Germany, and the market for flour had grown enormously. Each day,<br />

no less than 67 tons of grain was being milled.<br />

73<br />

Overview<br />

A surprise discovery<br />

The power of peroxide<br />

Paint pigments – and cake ingredients<br />

From citric acid to pharmaceuticals<br />

Post-War diversification<br />

Merger with KZO<br />

Safety first


74<br />

Noury & Van der Lande:<br />

Pioneers of peroxide<br />

The Akzo legacy<br />

From the food to the paint industry<br />

The company of Noury & Van der Lande, as the enterprise<br />

came to be called, started experimenting with the oil they produced,<br />

upgrading it by blowing air through it. The oil could<br />

then be used as a raw material for making lacquers. In 1907,<br />

the factory in Kleve closed, and a new oil factory was built<br />

on the Rhine in Emmerich. After a few years, this factory also<br />

began to produce bleached linseed oil and oil to mix with<br />

white lead pigment for the paint and lacquer industry.<br />

During World War I, the Dutch government regulated food<br />

supplies and distributed stocks of flour to the population. It<br />

was a slack time for the firm, but they took the opportunity<br />

to perfect their milling techniques, start up their own experimental<br />

bakery, and set up a small laboratory.<br />

A surprise discovery<br />

The link between baking and chemical manufacture, which<br />

was to prove pivotal in the company’s development, in fact<br />

had its origins in an event which had occurred a little earlier,<br />

during the 1900s. Jan van der Lande (Gerrit’s grandson,<br />

who had assumed control of the company in 1888) had a<br />

visit from a baker from a neighboring village, who begged<br />

him for some more supplies of sour (i.e. fermented) flour.<br />

Johannes Christian Lebuïnus van der Lande – to give him his<br />

full name – was shocked. “Look,” he retorted, “if we supplied<br />

you with sour flour, you should have sent it back!”<br />

“That’s what my wife said,” replied the baker, taken aback.<br />

“But I gradually used up the sour flour, mixing it with the rest<br />

The mother of invention<br />

of the flour. And guess what? Since I’ve been adding a bit of<br />

sour flour to the dough, I’ve been getting such good bread<br />

that my customers keep coming back for more.”<br />

The power of peroxide<br />

The canny customer didn’t receive his wished-for delivery<br />

of sour flour, but it started Jan van der Lande thinking. It<br />

appeared that aged, oxidized flour produced better results<br />

when used for baking. Under the guidance of the British<br />

chemist E.J. Sutherland, the company’s new laboratory<br />

experimented with benzoyl peroxide to imitate the process<br />

of oxidation. Sutherland and his researchers found that<br />

flour treated with peroxide produced bread which was both<br />

whiter and tastier than bread made by traditional methods.<br />

Named Novadelox ® (derived from “Noury & Van der Lande<br />

Oxgenium”) and patented worldwide during the 1920s, the<br />

new bleaching agent marked the beginning of the manufacture<br />

and application of organic peroxides. Subsidiary companies<br />

across the globe began to sell the flour improver.<br />

New types were discovered, and new factories were built in<br />

Coswig (Germany) and Gillingham (England). In Roermond,<br />

the only hydro-electric power station in the Netherlands<br />

was taken over to make per-compounds using an electrochemical<br />

process.<br />

Paint pigments – and cake ingredients<br />

After World War II ended, there was a shortage of everything. The only fuel available for firing<br />

the lacquer boiler in Deventer was peat. When an analyst finally managed to lay his hands<br />

on a decent thermometer, he could at last measure the temperature of the lacquer mixture.<br />

“It’s too low,” he chided the operator. “The lacquer should be at 120 degrees and it’s only at<br />

100 degrees.” The operator was very indignant. “Can’t be,” he replied. “There are 60 blocks<br />

of peat burning under it, and each block is exactly two degrees.”<br />

In 1930, Noury & Van der Lande closed the headquarters it<br />

had been occupying in Deventer since 1878 and moved to<br />

a modern new building in the same city. The following year<br />

the company built one of the largest oil mills in Compiègne,<br />

France. In Emmerich, meanwhile, the manufacture of paint<br />

pigments such as white lead and titanium dioxide commenced.<br />

Paint hardeners were added later. In 1937, the firm<br />

began to grow fungi for making citric acid from sugar solution<br />

for the cake and confectionery industry. The citric acid<br />

factory remained in operation until 1976.<br />

From citric acid to pharmaceuticals<br />

Noury & Van der Lande’s experience with biological processes<br />

in their citric acid factory led to a new field of activity:<br />

pharmaceuticals. Wishing to expand this activity, the company<br />

initially tried to take over Organon in Oss. When their<br />

bid was unsuccessful, however, they set up their own pharmaceutical<br />

subsidiary, called Nourypharma, in Deventer.<br />

The company manufactured Nourical and Tonicum Noury ® ,<br />

growth-promoting and strengthening products for children;<br />

they were later also to manufacture vitamin B. Scabicidol<br />

– a treatment for scabies in humans – proved a successful<br />

product for the company during World War II.<br />

Post-War diversification<br />

On August 25, 1940, several Allied bombs were dropped<br />

on the flour factory in Deventer, but fortunately caused only<br />

minor damage. By the end of the war, the business was at a<br />

virtual standstill due to fuel and raw material shortages. New<br />

products were introduced into the company’s portfolio after


A horse-powered mill from the early 19th century.<br />

Noury & Van der Lande’s first mills used horse power too<br />

75


76<br />

Noury & Van der Lande:<br />

Pioneers of peroxide<br />

The Akzo legacy<br />

the liberation, however. These included weed killers, products<br />

for preserving potatoes, and insecticides. Large quantities<br />

of the latter were sent to Africa for locust control.<br />

Peroxides now took on increasing significance because the<br />

emerging plastics industry used them for the production of<br />

synthetic materials. In 1962, the company built its own peroxide<br />

plant in Italy. Noury & Van der Lande also helped with<br />

the construction of plastics factories in Kazan (Russia).<br />

Merger with KZO<br />

In 1965, the company merged with Koninklijke Zwanenberg-<br />

Organon (KZO). Nourypharma was absorbed into Organon<br />

and moved to Apeldoorn and Oss. The flour factory closed in<br />

the same year, bringing more than 125 years of tradition<br />

to an end.<br />

When Akzo was created in 1969, Noury & Van der Lande<br />

had 14 factories in Europe and was producing approximately<br />

900 different products. The company became part of Akzo’s<br />

Chemicals division; the sales and R&D organizations had<br />

to conform completely to the Akzo model. The operation’s<br />

product portfolio was gradually reduced.<br />

Safety first<br />

In 1974, a serious explosion occurred at the Deventer peroxide<br />

plant, costing one unfortunate employee his life. This accident<br />

resulted in more attention being paid to safety. Among other<br />

actions taken, a safety laboratory was set up which would<br />

later work for the whole of Akzo (and ultimately <strong>AkzoNobel</strong>).<br />

R&D activities expanded significantly in the 1980s; ten<br />

years later, the research center in Deventer became part of<br />

Akzo Nobel Central Research.<br />

Peroxide<br />

A peroxide is a class of chemical compound in which two oxygen atoms are linked together<br />

by a single covalent bond (OO). There are both organic and inorganic peroxides, which can<br />

be used as bleaching and oxidizing agents, as initiators of polymerization reactions, and in<br />

the preparation of other oxygen compounds.<br />

Organic peroxides include peroxyacetic acid, which is used as an antimicrobial agent in<br />

food and wine production, and dibenzoyl peroxide, which catalyses free radical reactions<br />

in the production of polymers, is an active substance in creams for treating acne, and can<br />

be used for bleaching flour, oils and fats. The oxidation of unsaturated fatty acids produces<br />

peroxides. Organic peroxides tend to decompose easily to free radicals of the RO type, and<br />

methyl ethyl ketone peroxide (MEKP) is used in this way as a catalyst in making glass-reinforced<br />

plastics. This also means that organic peroxides can accidentally start explosive<br />

polymerization in materials with unsaturated chemical bonds. The radical HOO is known as<br />

hydroperoxide radical, and is thought to be involved in combustion of hydrocarbons in air.<br />

Peroxides and hydroperoxides are highly reactive materials and may be extremely shocksensitive<br />

explosives.<br />

Inorganic peroxides include hydrogen peroxide (HOOH or H 2 O 2 ), sodium peroxide, and<br />

persulfates. The simplest stable peroxide is hydrogen peroxide, which tends to decompose<br />

into water and oxygen. Hydrogen peroxide is a mild bleach sold at either 3 percent or 6 percent<br />

concentration, and is commonly used as a disinfectant or to clean wounds. It is used<br />

cosmetically to bleach hair, and the 6 percent concentration can bleach skin. Hydrogen peroxide<br />

is also used industrially to bleach cotton and other fibers, and in the pulp and paper<br />

industry. Concentrated hydrogen peroxide requires great care in handling and storing, and<br />

can cause combustion if it comes into contact with paper or wood.


When the grain silos were filled to capacity,<br />

excess grain would be stored in sacks


78<br />

Kortman & Schulte’s operation in Delfshaven in 1900


The Akzo legacy<br />

Not so very long ago, Kortman & Schulte was a household name in<br />

the Netherlands, just like Peek & Cloppenburg ® (clothing) or Jansen &<br />

Tilanus ® (underwear). It all started towards the end of the 19th century,<br />

when Constant Kortman, the son of a Rotterdam merchant, met<br />

the German chemist Herman Schulte. They became business partners<br />

and in 1886 established a small chemicals and soda works on<br />

Zwaanshals in Rotterdam.<br />

79<br />

Overview<br />

Iodine extraction<br />

From soda to soap powder<br />

Liquid soap<br />

Soap powder for washing machines<br />

Enzyme-based detergents<br />

Fit for the stage


80<br />

Kortman & Schulte:<br />

The first manufacturers of soda in the Netherlands<br />

The Akzo legacy<br />

Salt had not yet been discovered in the<br />

Netherlands and the country therefore had<br />

no indigenous soda manufacturing. Kortman<br />

& Schulte imported sodium carbonate, dissolved<br />

it, and let the solution crystallize.<br />

Laborers used pickaxes to break up the<br />

unrefined soda.<br />

In 1888 the two men rented Groot Holland,<br />

a historical building in the Achterhaven in<br />

Delfshaven, on the edge of Rotterdam. It had<br />

been built in 1672 by the Dutch East India<br />

Company as a warehouse for maritime supplies.<br />

In this building, where formerly ships<br />

had been fitted out for their long voyage to<br />

the Orient, Kortman & Schulte produced<br />

various types of soda as well as a meat preservative<br />

derived from sulfurous acid.<br />

Iodine extraction<br />

At the end of the 19th century, Schulte discovered<br />

that the water used as ballast by<br />

wooden ships bringing Chilean saltpeter<br />

from South America to Rotterdam contained<br />

iodine. The iodine leached out of the<br />

saltpeter during the long voyage. The firm<br />

chartered a barge and offered the captains<br />

of these vessels the removal of their ballastwater<br />

as a free service. A laborious industrial<br />

process was then used to extract nitric acid<br />

and iodine from the water. The iodine was<br />

worth a lot of money, however. This lucrative<br />

activity was to end with the passing of<br />

the age of sail: steamships were much faster<br />

than sailing ships, and so no iodine-rich<br />

leachate formed in their hulls during long<br />

sea voyages.<br />

From soda to soap powder<br />

Around this time, the manufacturing of soap<br />

powder started, under brand names such as<br />

Kroon voor de Was and Driehoek ® . (It has,<br />

in fact, been suggested that Akzo based<br />

its first logo on this Driehoek ® , the Dutch<br />

word for triangle). In 1898, soft, highly viscous<br />

soaps were launched for household<br />

use, while the cosmetic Zilverzeep (silver<br />

soap) was introduced. Whereas the firm had<br />

originally derived its products from naturally<br />

occurring raw materials such as linseed<br />

oil, resin, tallow and bleached palm oil, it<br />

began using its facilities to split oils into fatty<br />

acids and glycerol. Access to these compounds<br />

opened up a much bigger range of<br />

potential applications.<br />

Liquid soap<br />

Soda – an innovative product<br />

One of the products resulting from this<br />

process was liquid soap, which was supplied<br />

to shopkeepers in small drums. The retailer<br />

used to apportion the amount a housewife<br />

wanted onto a sheet of gray paper using a<br />

large wooden spoon. Liquid soap was packaged<br />

in cardboard pots from around 1930.<br />

Sales remained at a modest level, but after<br />

World War II – when luxury soap products<br />

At the end of the 19th century, soda was practically unknown to Dutch housewives.<br />

The product was not manufactured in the Netherlands. After Kortman & Schulte started<br />

marketing it as a cleaning product, it was occasionally mistaken for sugar or salt. In 1892,<br />

the firm’s representative in Zwolle wrote dryly to the company as follows: “While ducks<br />

were being roasted for serving at a party, someone added soda instead of salt, which<br />

caused something of a commotion.”<br />

were not yet available – Kortman & Schulte’s<br />

liquid Driehoek ® soap had a 20 percent<br />

share of the Dutch market. The firm also<br />

succeeded in purifying and decoloring glycerol,<br />

which it supplied to factories making<br />

tobacco products, cellophane and textiles.<br />

Soap powder for washing machines<br />

The first washing machines arrived in<br />

Dutch homes in around 1950 and a special<br />

semi-hard soap, Drietex, was produced for<br />

them. The firm advertised jointly with textile<br />

manufacturer AKU – another forerunner<br />

of <strong>AkzoNobel</strong> – that Drietex was the best<br />

product for washing AKU’s nylon.<br />

Enzyme-based detergents<br />

The first synthetic washing powders appeared<br />

in the 1960s. Kortman & Schulte’s<br />

management established contacts with a<br />

Swiss firm which was making a detergent<br />

based on enzymes. The Dutch company<br />

entered into an exclusive agreement and in<br />

1963 started manufacturing the detergent<br />

itself. Rarely has a product been greeted<br />

with such enthusiasm. Dutch housewives<br />

took a real liking to Biotex ® . “Stains disappear<br />

like snow on a summer’s day”<br />

claimed an advertisement of the period.<br />

The company enjoyed its heyday. Additional<br />

premises were acquired in Overschie, on the<br />

edge of Rotterdam, solely for the manufac-<br />

ture of Biotex ® . But Kortman & Schulte had<br />

also become an attractive takeover target.<br />

Koninklijke Zwanenberg-Organon acquired<br />

the firm in 1965. Later, in 1969, through the<br />

merger of Koninklijke Zout-Organon with<br />

AKU, it became part of Akzo and was subsequently<br />

divided up. Biotex ® and a number of<br />

other soap brands were brought under detergent<br />

manufacturer Dobbelman in Nijmegen,<br />

bleach producer Loda in Breda and detergent<br />

manufacturer Blumøller in Denmark. These<br />

units were integrated into Akzo’s Consumer<br />

Products division.<br />

Fit for the stage<br />

The fatty acid production operation became<br />

part of Akzo’s Chemicals division. The only<br />

operations that remained in the original<br />

Delfshaven plant were fatty acid fractionation<br />

and the manufacture of glycerol from<br />

fats and palm oil. When the Chemicals<br />

division starting making palm oil itself in<br />

Malaysia, it was the end of the road for the<br />

plant in Delfshaven. The operation shut<br />

down for good in the mid-1990s. In 1999,<br />

Kortman & Schulte’s history inspired the<br />

Hollandia Theater Group to stage the play<br />

Biotex. The drama tells the story of a factory<br />

worker and it was staged on the site of<br />

the former plant next to the historic building<br />

in the Achterhaven. The former Dutch East<br />

India Company warehouse is all that now<br />

remains from this era.


A still from a television commercial from the 1980s for the popular<br />

washing powder Biotex ®<br />

81


82<br />

Jacobus Cornelis Boldoot, a pharmacist with<br />

an entrepreneurial flair


The Akzo legacy<br />

In 1789, Jacobus Cornelis Boldoot inherited a house from his father<br />

in Amsterdam’s Nieuwezijds Voorburgwal. He started living on the top<br />

floor of the property and opened a pharmacy on the ground floor. There<br />

he made all manner of powders, salves and preparations, including an<br />

alcohol-based medicine: Cologne water or Eau de Cologne. Created<br />

in Cologne by Giovanni Maria Farina and first sold in that city in 1709,<br />

Eau de Cologne was supposed to be effective against migraine and<br />

other ailments.<br />

83<br />

Overview<br />

A name on everyone’s lips<br />

A monument to the past<br />

Heavy losses during World War II<br />

Post-war recovery and expansion


84<br />

From its earliest days, Boldoot understood the value of brand<br />

recognition. A Boldoot delivery van in the 1930s


Boldoot’s impressive shop in Amsterdam’s Kalverstraat<br />

85


86<br />

Boldoot:<br />

The creation of a household name<br />

The Akzo legacy<br />

By the 19th century, this preparation was no<br />

longer used as a medicine. It had turned out<br />

not to be very therapeutic. Boldoot’s successors<br />

therefore sold Eau de Cologne as<br />

a toiletry. The scent also started being used<br />

in soap in 1876. Over the course of time, the<br />

company expanded its product range to<br />

include toothpastes, cosmetic products and<br />

wax polish.<br />

A name on everyone’s lips<br />

In 1900, Boldoot had 16 properties in<br />

Amsterdam in use as manufacturing facilities,<br />

collected together on Singel and<br />

in Langestraat. The showroom was in<br />

Nieuwendijk, where genteel ladies would<br />

be driven to the door in their coaches<br />

and the shop assistants would run in and<br />

out to demonstrate their wares. In 1902,<br />

the company built its own soap factory<br />

in Haarlemmerweg. Boldoot had by then<br />

become so much a part of the Dutch language<br />

that the word was used for anything<br />

that had to do with smells. In those days,<br />

there were still very few sewers. The people<br />

relieved themselves in barrels that were<br />

collected from the houses once a week by<br />

wagons from the city sanitation department.<br />

Because of the smell emanating from these<br />

vehicles, the population of Amsterdam ironically<br />

referred to them as “Boldoot carts.”<br />

Boldoot ® became so popular that imitations<br />

started appearing which put the original<br />

product in a bad light. After all, anyone can<br />

make a lotion and call it Eau de Cologne. For<br />

example, there was a company which distributed<br />

its products with a label that was<br />

almost identical to that of Boldoot ® . Even<br />

smarter was the Rotterdam market trader<br />

who collected empty Boldoot ® bottles and<br />

refilled them with his own brew.<br />

A monument to the past<br />

During World War I, many Boldoot ® products<br />

could no longer be supplied because of the<br />

shortage of raw materials. Other products<br />

appeared in wartime packaging because of<br />

the paper shortage. Things improved after<br />

the war, however. Branches were opened at<br />

home and abroad. In 1919, Boldoot opened<br />

a shop in Kalverstraat. It was a splendid<br />

shop with a unique façade. That façade is<br />

still intact today and is now a protected monument.<br />

A Boldoot museum was also opened<br />

An early adopter of new technologies<br />

Boldoot was one of the very first companies to have a telephone. In 1881, five years after<br />

Alexander Graham Bell invented the telephone, Boldoot was allocated the telephone<br />

number 106 by the Nederlandse Bell Telefoonmaatschappij. Boldoot was also one of<br />

the first companies to use motors for industrial production. In 1882, the firm acquired<br />

a two-horsepower gas engine “for the setting in motion of vessels for the preparation<br />

of French polish.”<br />

to show the history of the company, the history<br />

of cosmetics and the development of<br />

the products.<br />

Heavy losses during World War II<br />

Boldoot suffered badly during the economic<br />

depression between the two world wars. The<br />

branches in France and the United Kingdom<br />

were closed and the Brussels branch, which<br />

had been stricken by fire, had to make drastic<br />

cutbacks. In the Netherlands, the branches<br />

in The Hague and Nijmegen were closed.<br />

The Amsterdam premises were taken out<br />

of operation except for Haarlemmerweg,<br />

where both offices and manufacturing were<br />

then concentrated.<br />

The company suffered heavy losses during<br />

World War II. On May 14, 1940, during the last<br />

German bombing raid on Rotterdam, the<br />

Boldoot shop in the Passage was hit. They<br />

were unable to retrieve the company safe<br />

from the rubble to force it open until August,<br />

three months later. Fortunately, the current<br />

account, the bills of exchange and the cash<br />

box were found intact.<br />

The company used up all its stocks and had<br />

to cease production. Begging letters were<br />

received pleading: “Please, just one more<br />

bottle of Eau de Cologne for someone who is<br />

seriously ill.” Sometimes, a doctor’s prescription<br />

was enclosed as proof. During the last<br />

two years of the war, the management even<br />

made a prescription compulsory before a<br />

flacon was dispatched.<br />

Another notable wartime development<br />

took place in 1943, when Allied bombers<br />

flattened the Fokker aircraft factory in the<br />

north of Amsterdam. The Germans promptly<br />

moved Fokker to the Boldoot complex in<br />

Haarlemmerweg, where the German army<br />

had been stabling its horses in the garage.<br />

Post-war recovery and expansion<br />

After the war, Boldoot slowly regained its<br />

position in the market. New products such<br />

as lipsticks, aftershaves and deodorants<br />

were introduced, as well as a new series<br />

of perfumes called Fleurs de Hollande.<br />

The familiar Eau de Cologne was, by<br />

that stage, available both as a liquid, in<br />

sticks and in paper handkerchiefs. All that<br />

time, the company had remained a good<br />

Catholic business. Important celebrations<br />

– for example, a company anniversary –


Athough Eau de Cologne was the company’s main product for many years, over time Boldoot’s<br />

product range expanded to include toothpastes, lipsticks and a variety of other toiletries such as<br />

its Fleur de Hollande perfumes (images courtesy of the Dutch Perfume Bottle Museum)<br />

87


88<br />

Boldoot:<br />

The creation of a household name<br />

The Akzo legacy<br />

always started with a solemn High Mass.<br />

The management would appear in morning<br />

coats and lead the prayers.<br />

In 1961, there was a fire in the Haarlem-<br />

merweg factory; it caused little significant<br />

damage, however. In the same year,<br />

Koninklijke Zwanenberg-Organon took over<br />

the company and later incorporated it into<br />

the Consumer Products division of KZO<br />

(Koninklijke Zout-Organon). When KZO<br />

merged with AKU to create Akzo, this<br />

became part of the division of the same<br />

name – a pleasant and appetizing organization<br />

with products ranging from peanuts<br />

to toiletries and from soap powder to<br />

industrial cleaners.<br />

The range included products very familiar<br />

to Dutch consumers, such as Biotex ® for<br />

prewash, Dobbelman ® soap powder and<br />

Driehoek ® detergent sachets. Other examples<br />

included Roosvicee ® rosehip cordial,<br />

Vapona ® fly killer, California ® -label soups<br />

and home remedies such as Entosorbine ®<br />

and Sinaspril ® . It was a fascinating series of<br />

products, but hardly suitable for the international<br />

chemical/pharmaceutical image that<br />

Akzo wanted to project. Matters were further<br />

complicated by the fact that Shell also held<br />

shares in Akzo’s Consumer Products division,<br />

meaning that Akzo had to share control<br />

of the operation. The whole of this division<br />

was therefore transferred to Douwe Egberts/<br />

An Italian spring morning after rain<br />

Eau de Cologne is a light perfume which contains between 2–5 percent essential oils<br />

(usually a mixture of oils of lemon, orange, tangerine, bergamot, lime, grapefruit and neroli)<br />

in a base of dilute ethanol (between 70–90 percent) and water. It can also contain oils of<br />

lavender, rosemary, thyme, petitgrain (orange leaf), and jasmine.<br />

The original “Eau de Cologne” (Kölnisch Wasser in German) is thought to have been a<br />

drink called “Aqua Mirabilis”, a concoction of alcohol and mountain herbs sold by Gian Paolo<br />

Feminis, an Italian from Santa Maria Maggiore, Valle Vigezzo, to cure all sorts of ailments. He<br />

travelled across the Alps and settled in Cologne, where his business took off. Needing help,<br />

he sent for a nephew, Giovanni Maria Farina (1685–1766), who later took over the business<br />

and also altered and improved the recipe. Farina is said to have tried to recreate the odor of<br />

an Italian spring morning after rain. Patented reputedly by the faculty of medicine in Cologne<br />

in 1727, Eau de Cologne was used both as a fragrance and medicinally – as well as to treat<br />

wounds, later becoming popular with Napoleon.<br />

The original workshop was set up in 1709 at Obenmarspforten and both the shop and the<br />

Eau de Cologne became known as “Farina – gegenüber Jülichs Platz” (opposite Jülichs<br />

Platz) to indicate where to find the shop, and to distinguish the product from its many imitators.<br />

Another well-known Eau de Cologne is “4711”, named after the shop at No. 4711,<br />

Glockengasse in Cologne. In 1806, a great-grandnephew of Giovanni Maria Farina, Jean<br />

Marie Joseph Farina, opened the Paris perfumery which is now Roger & Gallet, producing<br />

the Eau de Cologne known as “Extra-Vieille”.<br />

Eau de Cologne is now used as a generic term, and is interchangeable with “Eau de Toilette”,<br />

which contains between 1–6 percent of essential perfume oils.<br />

Sara Lee in 1987. Boldoot was taken over<br />

by British American Cosmetics and its products<br />

became part of the Yardley cosmetics<br />

series. After that, there was a different owner<br />

almost every other year, including Coty, one<br />

of the world’s largest fragrance companies.<br />

Recently, the brand has once again passed<br />

into new hands.<br />

Over the years, Eau de Cologne had to<br />

fight increasingly hard against more refined<br />

French and American perfumes. In the<br />

1980s, Eau de Cologne was extolled as<br />

a refreshing lotion for people who were<br />

unable to take a shower or bath – for<br />

example, women in the last stages of pregnancy.<br />

It was also supposed to be good for<br />

menopausal women. Sniffing it immediately<br />

produced a feeling of well-being. Boldoot ®<br />

was then disparagingly dismissed by young<br />

people as an old ladies’ scent.<br />

It is, however, still on the market. Both<br />

Boldoot ® and “Odeklonje”, as the Dutch<br />

call the perfume, have become immortal.<br />

Everyone in the Netherlands has heard<br />

of them and, as such, they are part of<br />

Dutch culture.


Boldoot personal care products (top left), like many other well-known<br />

Dutch consumer products shown here, eventually became part of<br />

Akzo’s Consumer Products division. An important operation in its<br />

time, this division was divested to Douwe Eberts/Sara Lee in 1987


90<br />

Johan van Hasselt, who died in 1949 when an<br />

experiment that he was conducting blew up


The Akzo legacy<br />

Some time around 1860, Willem van Hasselt was working for a vinegarmaker<br />

in the Dutch city of Rotterdam when, during a visit to a farm, he<br />

happened to notice a bottle of Danish butter-coloring agent on the mantelpiece.<br />

The farmer explained that the Danes manufactured butter- and<br />

cheese-coloring agents as well as rennet. Van Hasselt realized that<br />

there was considerable business potential for these products in the<br />

Netherlands. Some time later (no records are available to help identify<br />

the precise date), operating under his own name, he started producing<br />

liquid rennet, powdered rennet, and butter- and cheese-coloring agents<br />

in a steam-powered installation on Almondestraat in Rotterdam.<br />

91<br />

Overview<br />

Relocation<br />

Products in demand<br />

Acquisition by Chefaro<br />

Obstacles to growth<br />

The end of the line


92<br />

Van Hasselt:<br />

A lesson in home-grown innovation<br />

The Akzo legacy<br />

Rennet was obtained by extracting it from the mucosa of the<br />

fourth stomach of calves. The product was used by farmers<br />

for making cheese, as well as by the wider dairy industry.<br />

Coloring agents for dairy products were made using pigment<br />

from annatto seeds. Before long, Van Hasselt’s products<br />

were being exported all over the world and the company<br />

was awarded a first prize and an honorable mention<br />

at major agricultural exhibitions held in London in 1884 and<br />

1886, respectively.<br />

Relocation<br />

The products were sold in the Netherlands by the company’s<br />

own sales force and in foreign countries through its<br />

agents. Van Hasselt soon outgrew its premises, and the<br />

manufacturing facilities were moved to Schoterboschstraat,<br />

although the laboratory and administrative office remained<br />

at Almondestraat. This was certainly not an ideal situation,<br />

but no further possibilities for expansion presented themselves<br />

at the time. After World War I, the search for another<br />

location for the firm began. Johan van Hasselt, the founder’s<br />

son, bought a site on Drentsestraat in Amersfoort,<br />

some distance to the east of Utrecht. The area was largely<br />

undeveloped, so there was scope for expansion in the<br />

future. It was here that the firm established its new base.<br />

Products in demand<br />

Major expansion did not occur until 1945. There was a<br />

tremendous shortage of raw materials following World<br />

War II, and all chemicals were in high demand in the<br />

Netherlands. Van Hasselt developed one product after<br />

Innovation targets: aiming high<br />

another, including an udder cream, an algae preparation<br />

used as a binder in foodstuffs, insecticides (under the brand<br />

name Flyol), and organic peroxides for improving flour<br />

(under the brand name Cefarox). This made the firm the<br />

biggest competitor of Deventer-based Noury & Van der<br />

Lande – which later would also become part of KZO and<br />

subsequently Akzo.<br />

Manufacture of a carbamate – from an amine and carbon<br />

disulfide – was also begun after World War II. Further treatment<br />

of the carbamate with salts or by oxidization rendered<br />

a significant number of products ranging from agricultural<br />

fungicides to additives for rubber manufacturing.<br />

Acquisition by Chefaro<br />

In 1949, managing director Van Hasselt fell victim to his love<br />

of experimentation: an explosion during one of his tests<br />

killed him. Van Hasselt’s penchant for expensive hobbies<br />

meant that there was little money left in the business after<br />

his death and the firm was taken over by the pharmaceutical<br />

company Chefaro (Chemische Fabriek Rotterdam) in<br />

the following year.<br />

Obstacles to growth<br />

Managing director Johan van Hasselt was an enthusiastic researcher. Something<br />

was always boiling or evaporating in his laboratory. Once, when he was conducting an<br />

experiment, he returned to the laboratory after a short absence but he could not find<br />

the substance on which he had been working. Irritated, he asked the lab assistant:<br />

“Where’s the mixture that was on that glass plate?” The assistant appeared to have<br />

seen nothing. Van Hasselt became angrier and angrier. “If I say it was here, it was here!”<br />

he shouted. The assistant, showing obvious embarrassment, piped up at last:<br />

“Excuse me sir, but could it be the stuff that’s up there on the ceiling?”<br />

In the years following World War II, the situation at the premises<br />

in Drentsestraat became progressively more difficult<br />

because residential buildings by now completely surrounded<br />

the site, and environmental requirements were becoming<br />

increasingly stringent. In order to grow, the firm needed to<br />

relocate to new premises and invest in new technology.<br />

Plans to do just this were thwarted by problems at Chefaro’s<br />

Dordrecht site, however. The production of organic peroxides<br />

was moved from there to sites in Deventer (in the east<br />

of the Netherlands), Mons (Belgium) and Gillingham (UK),<br />

and the trade unions pressed for new jobs to replace the old<br />

ones. The manufacturing of rubber chemicals and fungicides<br />

was therefore transferred from Amersfoort to Dordrecht near<br />

Rotterdam. Later the production of rennet and chlorocalcium<br />

was transferred to a site in Herkenbosch in Limburg, in the<br />

south of the Netherlands.<br />

The end of the line<br />

The new parent company Chefaro flourished in the 1950s,<br />

and in 1956 it took over the Industria paint factory in<br />

Hilversum, to the north of Utrecht. Later, in 1965, Chefaro<br />

merged with Amsterdam-based Ketjen. In 1966 there were<br />

still approximately 70 people working at Van Hasselt. Van<br />

Hasselt’s business activities in Amersfoort began to decline<br />

at the end of the 1960s, however. The manufacture of<br />

one product after another was terminated, the number of<br />

employees fell, and staff hired in from employment agencies<br />

were used as much as possible. In 1969, Van Hasselt<br />

became part of Akzo’s Chemicals division and Chefaro part<br />

of its Pharma division.<br />

Things seemed to be looking up with the introduction of a<br />

biological process for making rennet, but the major dairy<br />

cooperatives opposed this development and the Amersfoort<br />

site closed down for good in 1977. Most of the remaining<br />

employees were transferred to the head office of Akzo’s<br />

Chemicals division in Amersfoort, while the rubber chemicals<br />

business became part of a joint venture – trading under<br />

the name Flexsys – with Solutia.


Van Hasselt won major distinctions at agricultural exhibitions held<br />

in London in 1884 and 1886<br />

Filling bags with the rubber curing accelerator Tetramethylthiuram<br />

Disulfide at a Van Hasselt facility in the 1970s


94<br />

Teeuwis Duyvis, the founder of a brand that is still well known in<br />

the Netherlands today


The Akzo legacy<br />

The history of Duyvis in the Zaan region of North Holland goes back to<br />

1806. This was the year when Teewis Duyvis inherited an oil mill from<br />

his unmarried uncle and laid the foundations for what was eventually to<br />

become a major consumer brand in the Netherlands.<br />

95<br />

Overview<br />

A new focus: linseed oil<br />

Declining sales – and the move into consumer markets<br />

“Royal” status – and an IPO<br />

Incorporation into Akzo<br />

Acquisition by Sara Lee/Douwe Egberts<br />

A top Dutch consumer brand


96<br />

Duyvis:<br />

From animal feed to party snacks<br />

The Akzo legacy<br />

Teewis Duyvis used his mill to press oil from<br />

rapeseed and linseed. As well as producing<br />

rapeseed and linseed oil, Duyvis also produced<br />

oil cake, which became the mill’s<br />

core business. Oil cake is the solid residue<br />

obtained after oil is removed from various<br />

types of oily seeds. It is valued for being rich<br />

in minerals and protein, and is most commonly<br />

used in animal feed.<br />

Teewis’ grandson, Teewis Duyvis Janszoon,<br />

took over the company in due course and<br />

gave it the name that it was to carry for more<br />

than 100 years: T. Duyvis Jansz. (short for<br />

Janszoon, which means “son of John”). By<br />

this time – the 1850s – the company already<br />

had five oil mills and two hulling mills. In<br />

1875, the company passed into the hands<br />

of Ericus Gerardus Duyvis, one of T. Duyvis<br />

Janszoon’s five sons. He decided to build a<br />

steam-powered oil mill in Koog aan de Zaan.<br />

Oil cake was still the company’s core business<br />

at this point.<br />

A new focus: linseed oil<br />

In 1908, T. Duyvis Jansz. shifted focus from<br />

oil cake to oil itself, and began exporting linseed<br />

oil. Initially the company sold linseed<br />

oil only in its crude form, but as from 1920 it<br />

started refining the product in-house. In the<br />

following year, the company incorporated<br />

as n.v. Oliefabrieken T. Duyvis Jansz. and it<br />

soon became a major producer of linseed<br />

oil. There were even record years between<br />

1920 and 1930, when Duyvis was responsible<br />

for approximately 40 percent of the<br />

total Dutch export of linseed oil.<br />

Declining sales – and the move<br />

into consumer markets<br />

The Great Depression of the 1930s did not<br />

leave Duyvis untouched. Sales of its core<br />

product, linseed oil, declined and the company<br />

was obliged to explore new markets.<br />

Linseed oil – a versatile product<br />

Linseed oil is derived from the dried ripe seeds of the flax plant (Linum usitatissimum), from<br />

which linen is also made. It can be a nutritional supplement, a paint binder and a wood<br />

finish, and is a key ingredient in putty, in animal feeds, and in textile and leather production.<br />

If cold-pressed, the oil is pale in color, almost without taste or odor, and is used nutritionally<br />

as flax seed oil. But this oil oxidizes easily and becomes rancid unless refrigerated. It is very<br />

rich in a type of fat called alpha-linolenic acid, an omega-3 fatty acid which appears to help<br />

prevent heart disease, inflammatory bowel disease and arthritis.<br />

When extracted by application of heat, pressure and solvents, however, the oil is darker,<br />

has a bitter taste and an unpleasant odor. This is used as a drying oil in paints and varnish,<br />

and is also used as a painting medium to make oil paint more fluid, transparent and glossy.<br />

Linseed oil is an ingredient in linoleum, oilcloth, and inks. Heating the oil makes it polymerize<br />

and oxidize, making it thicker and shortening the drying time. Boiled linseed oil is used as a<br />

wood finish and does not coat the surface of wood like varnish, but penetrates the pores,<br />

and dries out slowly, leaving a shiny surface that enhances the grain. When treated, the<br />

wood is more resistant to denting, and scratches are easier to repair. Linseed oil has been<br />

traditionally used as a finish for gun stocks, and is also used to season willow cricket bats.<br />

It was this need to find new sales opportunities<br />

for its output which prompted Duyvis<br />

to start selling salad oil direct to consumers.<br />

In 1932, Duyvis’ sauces were born with the<br />

launch of a salad dressing named Salata ® .<br />

This was the first step in what was to<br />

become a defining move into branded consumer<br />

food products.<br />

The outbreak of World War II brought the<br />

supply of the company’s most important<br />

raw materials – linseed and ground nuts –<br />

to a standstill. The oil mills lay idle as a result.<br />

The import of these raw materials in the<br />

Netherlands never really took off again after<br />

the war, so Duyvis was forced to look for<br />

other raw materials based on vegetable oils.<br />

Branded products became increasingly popular<br />

in the post-war era, prompting Duyvis<br />

to finally opt for a future as a producer of<br />

branded food products. The company therefore<br />

terminated the production of oil cake and<br />

started refining vegetable oils once more.<br />

Emphasis was now placed on several oilbased<br />

brand products, such as the Livorno ®<br />

and Salata ® brand salad dressings.<br />

Duyvis’ shift into consumer markets did not<br />

lessen the importance of its activities as an<br />

exporter. To be closer to one of its major consumer<br />

markets, it set up a company called<br />

Mayolande in France, which used the brand<br />

name Bénénuts ® . At the same time the production<br />

and refining of oil in the Netherlands<br />

was declining in importance, because these<br />

activities were increasingly being carried out<br />

in the countries that grew the raw materials.<br />

“Royal” status – and an IPO<br />

Upon receiving its “Royal” designation in<br />

1958, the full name of the company became<br />

Koninklijke Fabrieken T. Duyvis Jz. n.v. In the<br />

same year, Duyvis listed on the Dutch stock<br />

exchange, intending to use the proceeds of<br />

its public listing for expansion.


The Duyvis factory at Koog aan de Zaan in the 1970s<br />

97


98<br />

Duyvis:<br />

From animal feed to party snacks<br />

The Akzo legacy<br />

Not a nut at all<br />

The peanut (Arachis hypogaea) is a pulse or legume, belongs to the<br />

same botanical family, Fabaceae, as beans, peas and lentils, and<br />

is also called a groundnut. “Pea” is the name given to the seeds of<br />

plants in the same family, so a peanut is a kind of pea, not a nut.<br />

Native to South and Central America, peanuts are thought to have<br />

first been cultivated more than 7000 years ago. An annual which<br />

grows 30 to 50 cm in height, the peanut is unusual because it bears<br />

its fruit below ground. After fertilization, the flowers wither and form<br />

into ovaries, which develop a new stem or “peg” with the peanut<br />

embryo at the tip. This grows away from the plant and down into the<br />

soil, where it turns horizontally before maturing.<br />

Peanuts and peanut butter are high in protein, but can cause<br />

allergic reactions.The oil has a mild flavor and burns at a relatively<br />

high temperature. Peanuts are also called goober peas, pindas,<br />

earthnuts, jack nuts and, when sold in their pods, monkey nuts.<br />

Incorporation into Akzo<br />

In 1961, Duyvis commenced the production<br />

and marketing of packets of peanuts,<br />

almonds, cashew nuts, mixed nuts,<br />

and assorted nuts and raisins. Snacks<br />

and mixes followed approximately seven<br />

years later. During the course of 1969,<br />

Duyvis became part of Akzo’s Consumer<br />

Products division, having been previously<br />

acquired by Koninklijke Zout-Organon in<br />

1968. This marked the end of Duyvis as a<br />

family business.<br />

Acquisition by Sara Lee/<br />

Douwe Egberts<br />

In 1983, Duyvis was merged with Recter,<br />

another company belonging to Akzo<br />

Consumer Products. As a result, it lost its<br />

Royal designation because it was no longer<br />

an independent company. Divestment of<br />

Akzo Consumer Products to Sara Lee/<br />

Douwe Egberts was to follow in 1987. This<br />

move gave Duyvis access to Douwe Egberts’<br />

modern logistics systems and support in<br />

the field of quality improvement and packaging.<br />

In its new role, Duyvis also acted as a<br />

producer and supplier for sister companies<br />

abroad. At this time the company enjoyed<br />

important market positions, especially in<br />

France with Bénénuts ® , and in Belgium with<br />

its Felix ® and Duyvis ® brands.<br />

A top Dutch consumer brand<br />

In 1991, a modern plant was built in<br />

Zaandam, the same place where the Duyvis<br />

family had started its business at the beginning<br />

of the 19th century. ISO-9002 certification<br />

was awarded two years later, attesting<br />

that Duyvis met all present-day requirements<br />

in the fields of research, quality, production<br />

and packaging. The company celebrated its<br />

bicentenary in 2006, firmly established as<br />

the Netherlands’ best-known and biggest<br />

producer of top quality peanuts, coated<br />

nuts, luxury nuts, popcorn, snacks, and dry<br />

mixes for sauces.<br />

Duyvis appears in this book as a representative<br />

of the many food brands which played<br />

an important role in Akzo’s portfolio during<br />

the 1960s and 1970s.


“If they are this big, this golden and shiny, and<br />

so fresh and crunchy, they are Duyvis peanuts.”<br />

Duyvis grew to become the Netherlands’<br />

leading packaged nut brand<br />

99


100<br />

The founders of Organon. Seated from left to<br />

right: Ernst Laqueur, Saal van Zwanenberg and<br />

Jacques van Oss


The Akzo legacy<br />

When, in the 19th century, the Zwanenberg family settled in Oss, in the<br />

Dutch province of Brabant, they were already trading in livestock and<br />

meat. In the course of time, countless new product lines were added to<br />

the portfolio of Zwanenberg & Co. which had been founded in 1887 –<br />

a coopery, a fat-melting company, a bacon and gut-salting operation,<br />

a blood-drying house for making black pudding, a brush works using<br />

hogs’ hair, a margarine works, a refinery for oils and fats, and plants for<br />

making soap and canning food. A predecessor of Unilever, Margarine<br />

Unie, was to take over the oil, fat and soap works in 1929. Much later, in<br />

1970, Unilever acquired other food-related activities, which by then had<br />

been combined in the foodstuffs division of the conglomerate Akzo – of<br />

which Organon had become a part. But as the 20th century began, the<br />

members of the large Zwanenberg family were still in charge of all<br />

these activities.<br />

101<br />

Overview<br />

Insulin – a gap in the market<br />

Industrial manufacture of insulin<br />

Hormonal products<br />

A global expansion strategy<br />

World War II – and many losses<br />

Organic growth and mergers<br />

The birth control pill and more products


102<br />

Organon:<br />

From meat products to innovative pharma ceuticals<br />

The Akzo legacy<br />

An extremely<br />

difficult question<br />

“It was at that time that I started to wonder whether all those glands<br />

that were being sent to the destructor couldn’t be made usable<br />

in some way, even if their use was strictly limited because they<br />

contained no fat and had no nutritional value. I thought to myself<br />

that the Almighty must have created them for some purpose, and I<br />

started to search for the meaning of it all. Prior to this, I had hired<br />

Dr Jacques van Oss as a consultant. He was an efficiency expert for<br />

the City of Amsterdam and a teacher of chemistry and commodities<br />

science, and he knew much more about machines and all sorts of<br />

other things in a company like ours than I did. He’d written a book<br />

about the history of commodities, and he was an authority on the<br />

subject. That’s to say he knew a little bit about a great many things,<br />

but he could always find anything out. So one day I presented him<br />

with the problem. ‘Jacques,’ I said, ‘I’ve got an extremely difficult<br />

question for you. Isn’t there something we could do with all those<br />

glands that go to the destructor?’ He remembered hearing about<br />

ovaries being dried in America. At that time I didn’t even know what<br />

ovaries were. I said I thought it was wonderful that they were doing<br />

this in America, but I didn’t want to start by copying them. I wanted<br />

to find out if we could begin something new. I contacted people in<br />

France and England, but nothing came of it. It was then Jacques<br />

van Oss met Ernst Laqueur. Laqueur had just been appointed<br />

Professor of Pharmacology in Amsterdam, and he was particularly<br />

interested in the pancreas. This meeting with Laqueur was<br />

immensely important. Without him, Organon would never have got<br />

off the ground or become what it is today. He had a superb grasp of<br />

endocrinology and great vision. The three of us had a series of talks<br />

and finally we set up Organon.”<br />

Saal van Zwanenberg, speaking on October 16, 1968<br />

Insulin – a gap in the market<br />

One of the Zwanenberg’s was called Salomon,<br />

better known as Saal. He noticed that large<br />

quantities of offal were regularly thrown away<br />

in the company’s slaughterhouse because<br />

they were deemed to have no proper use.<br />

He viewed this physical wastage as a financial<br />

loss, and set his mind to thinking how<br />

the cast-off organs might be put to commercial<br />

use. His speculations proved fruitful<br />

in 1921 when it was discovered in Canada<br />

that insulin could be obtained from the pancreases<br />

of animals and that this substance<br />

could be used to combat diabetes.<br />

Industrial manufacture of insulin<br />

Together with a small group of scientists, Saal<br />

established Organon in 1923. It commenced<br />

producing insulin with five employees. At<br />

first, the start-up did not go at all well. The<br />

effects of insulin had been clinically proven,<br />

but isolating the substance from pig pancreases<br />

proved a different matter entirely.<br />

Almost a kilo of porcine pancreases was<br />

required to produce several tenths of a gram<br />

of insulin. Eventually, it was discovered that<br />

the pancreases of newborn calves contained<br />

far more insulin than those of mature<br />

pigs. Saal ceased processing pig offal from<br />

Zwanenberg & Co.’s own slaughterhouse<br />

and started importing the frozen pancreases<br />

of Argentinean cattle. This new approach<br />

led to Organon’s first successes in the commercial<br />

production of insulin. The number<br />

of products – most of them by-products of<br />

insulin production – increased rapidly. In the<br />

course of time, the company began manufacturing<br />

for the chemical, household, cosmetic<br />

and pharmaceutical industries, with<br />

the accent on insulin and hormone-based<br />

pharmaceuticals.<br />

Hormonal products<br />

Organon’s research activities expanded, and<br />

it was discovered how fertility-enhancing<br />

products involving estrogen hormones<br />

could be made from the ovaries of mares.<br />

For the production of estrogens, Organon<br />

later switched to other sources, such as<br />

the urine of pregnant women and, from<br />

1930 onwards, also to the urine of mares<br />

in foal. This marked the start of a series of<br />

hormonal and other products, among them<br />

Pernaemon ® to fight anemia. Some products<br />

were discovered by chance – for instance, a<br />

residue from the pancreas which, in combination<br />

with sawdust, revealed itself as a<br />

highly effective agent for staining leather. It<br />

was called Leeropaan ® .<br />

During its early years in particular, Organon’s<br />

creativity knew no bounds. All the worthless<br />

offal generated by Zwanenberg & Co.’s<br />

slaughterhouse was regarded as potentially<br />

useful raw material. In 1924, coated tablets<br />

for the treatment of menopausal complaints<br />

were made from the ovaries of animals.<br />

Called Ovarnon ® in the Netherlands, this<br />

product was launched in Germany under the<br />

name of Ovowop ® . Advertisements of the<br />

day joyously announced: “Female beauty<br />

soon returns with Ovowop ® .”<br />

A global expansion strategy<br />

Initially, Ernst Laqueur headed Organon’s<br />

R&D operation but later, in 1926, he introduced<br />

his successor, the young Austrian<br />

physician Marius Tausk, to Saal. Tausk’s<br />

passion for endocrinology was matched<br />

by his flair for business, and he was to<br />

have a decisive influence on Organon’s<br />

development.<br />

Saal van Zwanenberg, on the other hand,<br />

took care of the sales side. Showing commendable<br />

effrontery, Saal one day paid a<br />

visit to Bayer, the German pharmaceutical<br />

giant, to discuss the sale of insulin powder.


Packaging insulin in 1936<br />

103


104<br />

Organon:<br />

From meat products to innovative pharma ceuticals<br />

The Akzo legacy<br />

The Germans laughed at the “amateur”<br />

from the Netherlands – only to find out to<br />

their horror that Saal had soon after their<br />

meeting established Organon’s own sales<br />

organization for Germany. Saal repeated<br />

the model around the world, and by the late<br />

1930s, Organon’s products were sold in<br />

almost 40 countries – even though sales in<br />

some did not exceed a couple of hundred<br />

Dutch guilders a year.<br />

World War II – and many losses<br />

The company met with hard times during<br />

World War II, as the majority of the management<br />

was Jewish. According to Nazi race<br />

laws, Marius Tausk – in charge of research<br />

and development – was half Jewish, and<br />

was therefore left alone. The majority, however,<br />

including Saal van Zwanenberg, had to<br />

flee the Netherlands, and a number of the<br />

Early insulin production<br />

Zwanenberg family died in Nazi concentration<br />

camps. Saal van Zwanenberg and<br />

his family succeeded in fleeing to Britain,<br />

where Organon had a subsidiary. By this<br />

stage, the site in Oss, in the Netherlands,<br />

was being run by the Germans and it had to<br />

manufacture products to supply the German<br />

market. Food was scarce in the Netherlands<br />

during the final years of the war. Fortunately,<br />

Organon’s neighbor was a meat works, and<br />

sometimes something edible was to be had<br />

there. This allowed most employees to survive<br />

the war, although a number of them,<br />

mostly Jews, met their deaths.<br />

After World War II, Organon increasingly<br />

went down the chemical route for its products,<br />

manufacturing preparations by means<br />

of synthesis instead of extraction from<br />

animal material. However, the company<br />

was still using the urine of pregnant mares<br />

to produce the female estrogen hormones<br />

Hans van Kaathoven, one of the original team who produced insulin at Oss, recollected<br />

later in life how he had come to join Organon: “With a few years of army service behind me,<br />

when I was demobilized in 1918 I found a nice little position as a night watchman at N.V.<br />

Zwanenberg. Perhaps I’d still be leading that night life now if a strange gentleman hadn’t set<br />

up in a small corner of our laboratory. That corner, separated by a wooden partition, didn’t<br />

have a name, but in fact it was the room where our company was born. If your buddy gave<br />

you a leg-up, you could see the whole ‘company’ through a couple of panes of glass.<br />

“There were several pounds of meat lying on a wooden table. On the ground, between a<br />

set of bottles and some test tubes, there was a briefcase. You could say that the table was<br />

the raw materials stockroom, and the briefcase was the firm’s administrative system –<br />

at least the part of it that the boss didn’t have in his inside pocket.”<br />

The strange gentleman was manager Walther Riebensahm. Together with a team of four<br />

employees, he was responsible for Organon’s first insulin output. It was a primitive operation<br />

in those days. The pancreases came from the slaughterhouse in 45 lb baskets and were<br />

ground up. One man could process about 65 lb a day. The alcohol needed for the extraction<br />

of the insulin (32 gallons for every 225 lb) came in carboys, so that the production department<br />

was often concealed behind a wall of bottles.<br />

oestradiol and oestrone. Investigations into<br />

the male hormone testosterone led to the<br />

development of muscle-building anabolic<br />

steroids in the 1950s, which were to account<br />

for 32 percent of sales by 1963.<br />

Organic growth and mergers<br />

In 1947 Organon and Zwanenberg & Co.<br />

merged to form Zwanenberg-Organon. Its<br />

royal designation followed in 1953, creating<br />

Koninklijke Zwanenberg-Organon (KZO).<br />

The 1960s witnessed strong organic growth<br />

and mergers with other companies. By 1963,<br />

Organon was selling its products in more<br />

than 90 countries, either through subsidiaries<br />

or agents. But with the cyclical nature<br />

of the meat sector and the high costs of its<br />

own pharmaceutical R&D activities, KZO<br />

felt very vulnerable. To avoid the prospect<br />

of being taken over, it was keen to base its<br />

activities on products that were less susceptible<br />

to price fluctuation and high costs.<br />

Within a short period of time, therefore, KZO<br />

took over a number of smaller companies.<br />

These included consumer goods companies<br />

such as Loda, Echafa, and Glimfabriek,<br />

which produced cleaning products and<br />

detergents. Closer to home were acquisitions<br />

of meat works and foodstuff companies<br />

such as Anton Hunink, California<br />

Soups and the Fina works, as was the purchase<br />

of the animal healthcare company<br />

Intervet. Koninklijke Zwanenberg-Organon<br />

also made two large takeovers, acquiring<br />

Noury & Van der Lande (chemical products)<br />

and Kortman & Schulte (washing powders).<br />

The buying spree resulted in rather an odd<br />

bunch of companies, and KZO dubbed itself<br />

“A procession of dwarfs”, after a book by<br />

Dutch author Simon Carmiggelt, which had<br />

been published around that time.<br />

Organon under the Occupation<br />

“As far as the Dutch directors were concerned, it went without saying that Organon had to<br />

remain a financially sound company. We owed it to the shareholders who were abroad, but<br />

above all we owed it to the employees and to the people for whom medication like insulin,<br />

liver extracts and some of the vitamins were vital. As far as possible we tried to stop these<br />

products from being sent to Germany. The Dutch State Drugs Agency was on our side and<br />

repeatedly refused to issue export licenses.”<br />

Marius Tausk, writing in his book Organon – The story of an unusual pharmaceutical<br />

enterprise (1978)


The Organon pilot plant in 1942<br />

105


106<br />

Organon:<br />

From meat products to innovative pharma ceuticals<br />

The Akzo legacy<br />

In 1967, Koninklijke Zwanenberg-Organon merged with<br />

Koninklijke Zout-Ketjen, which by that time included Chefaro<br />

(Chemishe Fabriek Rotterdam), primarily a producer of nonprescription<br />

drugs, notably Chefarine ® , the Dutch version of<br />

asprin. That is how Koninklijke Zout-Organon (a new KZO)<br />

came into being – definitely no longer a dwarf and busily<br />

working on further expansion. KZO took over, among other<br />

companies, Hoesch Chemie (a German chemicals manufacturer),<br />

Duyvis (a Dutch snack producer), Edet (a Dutch<br />

producer of paper for household use), Lesonal (a German<br />

paint manufacturer) and Wilco (a canned food company).<br />

KZO’s acquisition drive resulted in separate divisions for<br />

Salt Chemicals, Chemicals, Coatings, Pharmaceutical products,<br />

Food and Household products – the precursors of<br />

what was soon to become Akzo.<br />

Following the creation of Akzo from the merger in 1969 of<br />

KZO with AKU, several Organon subsidiaries were spun off<br />

to form independent businesses within Akzo’s new Pharma<br />

division. Organon’s veterinary activities were incorporated<br />

in Intervet International, which was quickly established in<br />

1969. In 1971 Diosynth, which had been set up by Organon<br />

in 1955 to make bulk pharmaceutical ingredients, not only<br />

for Organon, but also for third-party pharmaceutical companies,<br />

was launched as a completely independent business. A<br />

year later Chefaro was spun off to focus entirely on non-prescription<br />

medications and Organon Teknika was established<br />

to market diagnostic and other preparations and equipment<br />

intended primarily for hospitals and laboratories.<br />

The birth control pill and more products<br />

Organon was not the first company looking to produce a<br />

female oral contraceptive, but it was one of the first to successfully<br />

introduce a birth control pill – a product which was<br />

to have a transformational effect on society in the final third<br />

of the 20th century. Organon’s Lyndiol ® oral contraceptive<br />

had a difficult time when it was launched in 1962. There was<br />

considerable debate between proponents and opponents of<br />

the drug, both outside and inside the company – Organon’s<br />

headquarters are in the predominantly Catholic Dutch province<br />

of North Brabant, and many of the workers found it<br />

hard to reconcile their conscience with producing the pill.<br />

Resistance in the packaging department was so great that<br />

initially, packaging the product had to be contracted out.<br />

Nevertheless, Lyndiol ® proved to be a huge success in<br />

Western Europe.<br />

Lyndiol ® was followed in 1981 by the highly successful<br />

Marvelon ® , the first “third generation”, low-dose contraceptive<br />

pill containing a progestonic hormone developed<br />

by Organon. Marvelon ® became the world’s most commonly<br />

prescribed oral contraceptive. Other important hormone-based<br />

products brought to market by Organon in the<br />

second half of the 20th century included the fertility hormone<br />

Humegon ® (1963), which was obtained from the urine<br />

of post-menopausal women; Andriol ® (1978), the replacement<br />

medication used to treat men with a testosterone<br />

deficit; and Livial ® (1988), a synthetic hormone used in hormone<br />

replacement therapy for women during and following<br />

menopause. Meanwhile, significant steps in the treatment of<br />

the symptoms of depression were taken with the launch of<br />

Tolvon ® in 1974.<br />

Building on such successes, in the early 1980s Organon<br />

started to pursue biotechnological approaches to drug discovery,<br />

based on recombinant DNA technology. It delivered<br />

its first tangible results some 10 years later – Puregon ® , the<br />

recombinant Follicle Stimulating Hormone used in treating<br />

infertility. (Puregon’s predecessor, Humegon ® was still being<br />

produced from the urine of menopausal women.) Introduced<br />

in the Netherlands in 1996, Puregon was within ten years to<br />

play a part in the birth of a staggering one million babies.<br />

<strong>Today</strong> it still plays an important role in in vitro fertilization<br />

treatments and is Organon’s biggest selling product.<br />

Sales grew throughout the 1990s, but Organon faced a<br />

major shock in 1995 when several national health authorities<br />

questioned the safety of third-generation oral contraceptives<br />

following studies implying that such “pills” were associated<br />

with a higher risk of deep vein thrombosis than earlier generation<br />

pills. Subsequent epidemiological studies did not<br />

confirm any difference in risk of venous thromboembolism.<br />

Nevertheless, much damage had been done.<br />

Subsequent product introductions included Puregon ®<br />

(1996); Implanon ® (1998), a three-year-acting contraceptive<br />

implant; Cerazette ® (1999), an estrogen-free oral contraceptive;<br />

Orgalutran ® (2000), a new fertility drug; and NuvaRing ®<br />

(2002), the first and only once-a-month contraceptive ring.<br />

All these products continue to support the company’s longstanding<br />

and commanding position in gynecology and fertility.<br />

Meanwhile, significant steps in the treatment of the<br />

symptoms of depression were taken with the launch of<br />

the dual-action antidepressant Remeron ® in 1994. Initially<br />

a potential blockbuster product which drove impressive<br />

growth, nearly a decade later it rapidly lost market share<br />

when an unfavorable court ruling on one of its patents in the<br />

United States opened the door for generic competition.<br />

Shortly after the turn of the century, efforts to sharpen the<br />

focus of Akzo Nobel’s human pharma portfolio led to the<br />

sale of its Chefaro business unit and the diagnostics activities<br />

of Organon Teknika; the few non-diagnostic activities<br />

remaining reverted back to Organon. Under pressure from<br />

adverse market conditions, in 2003 Organon embarked on a<br />

new strategy to reduce costs, return to growth and reshape<br />

the business for the future. Four core therapeutic fields –<br />

gynecology, fertility, anesthesia and neuroscience – and a<br />

new strategy were defined. In 2004 Organon and Diosynth<br />

were merged to strengthen Organon’s biotechnology platform.<br />

The proof that these efforts were bearing fruit was<br />

delivered in February 2006, when Organon reported earnings<br />

(EBITDA) of c541 million for 2005. At the same time,<br />

Akzo Nobel announced its intention to separate its pharma<br />

business – Organon, Intervet and Nobilon – from the company.<br />

A new holding company, Organon BioSciences, was<br />

set up in October 2006 in preparation for an intended IPO<br />

in 2007. Before that came to fruition, in early March 2007<br />

Akzo Nobel received and accepted an offer from Schering-<br />

Plough for the purchase of Organon BioSciences, which<br />

was effected in November 2007.


The dual action antidepressant Remeron ® was launched in 1994.<br />

Sales increased steadily to peak in 2002 at more than e700 million<br />

Organon’s first oral contraceptive Lyndiol ® was launched in 1962.<br />

It encountered strong initial resistance – not least from the traditionally<br />

Catholic workforce of Oss itself


108<br />

Wim Hendrix, whose Laboratoria Nobilis was<br />

to grow to become Intervet


The Akzo legacy<br />

Intervet is one of the youngest companies to figure in the history<br />

of <strong>AkzoNobel</strong>. It was founded in late 1949 as Laboratoria Nobilis by<br />

a forward-thinking manufacturer of animal feed based in Boxmeer<br />

(between Nijmegen and Venlo in the Netherlands). The founder’s<br />

name was Wim Hendrix, and his plan was to develop vaccines to<br />

combat poultry diseases. The entrepreneurial logic of Wim’s thinking<br />

was simple but brilliant: a sick chicken doesn’t eat; a healthy one does…<br />

109<br />

Overview<br />

The road to Akzo Nobel<br />

Expansion in the key U.S. market<br />

A top-three player<br />

An ongoing innovation agenda<br />

Acquisition by Schering-Plough


110<br />

Intervet:<br />

A tale of healthy growth<br />

The Akzo legacy<br />

In those days, fowl pox was relatively widespread, and so<br />

this disease was the first object of Wim’s attention. He contacted<br />

the veterinary faculty of the University of Utrecht and<br />

asked Professor Jac Jansen for help with his investigations<br />

into the condition. Jansen advised Hendrix to employ one<br />

of his assistants, the veterinarian J.H.M. Richter. The professor’s<br />

advice was to prove very sound, for within a year,<br />

Hendrix’ new employee developed the first Nobilis inoculum<br />

for fowl pox, Ovo-Diphterin ® . In the following decade,<br />

Laboratoria Nobilis introduced almost one new product a<br />

year. Developed exclusively for use in poultry, these vaccines<br />

offered protection against a range of conditions, including<br />

Newcastle disease, coccidiosis and infectious bronchitis.<br />

The road to Akzo Nobel<br />

By 1961, Laboratoria Nobilis had become a success outside<br />

the Netherlands, exporting its proprietary vaccines<br />

to Belgium and Germany. A series of mergers then transformed<br />

Wim Hendrix’ original company into a global organization.<br />

First, Laboratoria Nobilis was acquired in 1961 by<br />

KZO (Koninklijke Zwanenberg-Organon), the parent company<br />

of Organon. Then in 1964, KZO acquired a company<br />

selling antibiotics against mastitis. In the following year, KZO<br />

bought both Vemie of Germany and the veterinary division<br />

of Aspro-Nicholas in France, which traded under the name<br />

Intervet. In 1967 and 1969, KZO underwent two successive<br />

mergers – with Koninklijke Zout-Ketjen (KZK) and Algemene<br />

Kunstzijde Unie (AKU), respectively – to ultimately create<br />

Akzo. At this point, all animal health activities of the former<br />

KZO were brought together into one company, now known<br />

as Intervet International bv. (Akzo became Akzo Nobel following<br />

its merger with the Swedish chemical giant Nobel<br />

Industries in 1994). Although Wim Hendrix’ original name<br />

Nobilis no longer features in the company name, it lives on<br />

as a brand name for a range of Intervet poultry vaccines.<br />

Expansion in the key U.S. market<br />

In the late 1970s, Intervet set out to become a major player<br />

in the field of animal health. Employing by that stage approximately<br />

600 people worldwide, Intervet had already acquired,<br />

among other companies, Poultry Biologicals in the UK (in<br />

1971) and Láboratorios Saltor in Spain (in 1973). To move up<br />

to the top tier of global players, however, Intervet needed a<br />

presence in the United States – a country which accounts<br />

for one-third of the global market for veterinary vaccines. The<br />

company therefore set out to find a suitable acquisition in the<br />

United States and in 1980 added Inter-Continental Biologics<br />

in Millsboro (Delaware). Inter-Continental Biologics soon<br />

changed its name to Intervet Inc., shipping its first product<br />

with the new company name – a vaccine for Marek’s disease<br />

– in March 1982. Intervet Inc. took some time to establish<br />

itself as a major presence in the U.S. market, but its influence<br />

grew over the ensuing years, taking its total number of<br />

individual poultry vaccines to 17.<br />

A top-three player<br />

Intervet’s global acquisition drive continued in the meantime,<br />

and the company bought a part of Gist-Brocades<br />

(Netherlands) in 1988, Norbio (Norway) in 1993, Ausvac<br />

(Australia) in 1998 and Gellini (Italy) in 1999. In the same<br />

year as acquiring Gellini, Intervet achieved its decisive strategic<br />

breakthrough with the acquisition of German-based<br />

Hoechst Roussel Vet, as well as Bayer’s U.S. veterinary<br />

biologicals operation. This bold move doubled Intervet’s<br />

sales, taking the company from 10th largest to that of thirdlargest<br />

veterinary company in the world. A successful integration<br />

process followed these acquisitions. New research<br />

facilities were opened or acquired, and office and manufacturing<br />

facilities added, providing a strong platform for future<br />

international growth.<br />

Intervet’s U.S. activities were further consolidated in May<br />

2003, when the company opened a new life science<br />

center in DeSoto, Kansas. This site now serves as a major<br />

research facility for livestock vaccines and as a production<br />

facility for swine and cattle vaccines. It is Intervet’s largest<br />

distribution center and a center of excellence for the<br />

clinical development of livestock and equine pharmaceuticals<br />

in the United States.<br />

An ongoing innovation agenda<br />

Throughout its history, Intervet always maintained its focus<br />

on innovation, assembling a portfolio which included a<br />

number of unique products, as well as many breakthroughs<br />

in technological applications and disease coverage. In 1984,<br />

Intervet was the first veterinary company to develop a vaccine<br />

based on recombinant DNA technology to fight the E. coli<br />

bacteria, which causes diarrhea in piglets and calves, followed<br />

by the first monoclonal parenteral product in the 1990s.<br />

In 1997, the company registered another first with a patented<br />

marker vaccine against classical swine fever which<br />

allowed a vaccine virus to be distinguished from a field virus<br />

by means of a diagnostic test. Intervet’s range of marker<br />

vaccines against major livestock diseases expanded to<br />

include vaccines against foot and mouth disease, classical<br />

swine fever, infectious bovine rhinotracheitis and the<br />

Intervet Porcilis ® AD Begonia vaccine against Aujeszky’s<br />

disease. At the time this book went to press, this vaccine<br />

had sold more than 500 million doses worldwide. Intervet<br />

became a pioneer in biotechnology, which by 2005 provided<br />

approximately 45 percent of its turnover. Following<br />

its strategy of expanding its presence in foot and mouth<br />

disease, Intervet acquired Bayer’s FMD vaccine factory in<br />

Cologne, Germany, in 2006.<br />

The previous year, Intervet had acquired the New Zealand<br />

animal healthcare company AgVax. In 2006 the company<br />

also completed the first phase of an ambitious expansion<br />

program in its original home of Boxmeer, the Netherlands,<br />

with the opening of a new tissue culture facility.<br />

Acquisition by Schering-Plough<br />

From the days of its foundation by the forward-thinking<br />

Wim Hendrix in 1949, Intervet developed from a business<br />

focused initially on poultry vaccines into one of the world’s<br />

three largest animal health companies. By 2007 Intervet’s<br />

range spanned almost every major therapeutic area and<br />

included products for use in all the main food-producing and<br />

companion animal species.<br />

Akzo Nobel divested Intervet, together with Organon and<br />

Nobilon, to Schering-Plough in November 2007 in order<br />

to focus on its Coatings and Chemicals portfolios. At the<br />

time of the divestment, Intervet employed more than 5,300<br />

people and had operations in more than 50 countries and a<br />

distribution network covering more than 100 countries.


Elly Verbruggen operating one of the first<br />

freeze-driers (1964)<br />

Intervet has developed from a business focus ed initially on poultry<br />

vaccines into one of the world’s three largest animal health companies


112<br />

Armour’s origins lie in the Chicago Stock Yards, the hub which in the<br />

late 19th century linked the cattle ranching of the American mid-west<br />

with the growing population of the eastern seaboard


The Akzo legacy<br />

<strong>AkzoNobel</strong>’s very earliest roots in the United States go back to the<br />

18th century. Samuel Courtauld III, the founder of the British textiles giant<br />

Courtaulds (acquired by Akzo Nobel in 1998), was born in New York in<br />

1793 into a family of expatriate French Huguenots who alternately tested<br />

their entrepreneurial fortunes in Great Britain and the United States.<br />

The American arm of Courtaulds was to significantly outgrow its<br />

British parent in terms of both size and profitability during the first four<br />

decades of the 20th century, until it was divested at the behest of the<br />

U.S. Government in 1941. (See separate chapter on Courtaulds.)<br />

<strong>AkzoNobel</strong> has other important predecessor companies in the United<br />

States, however, most notably the chemical companies Armour and<br />

Stauffer (acquired in 1970 and 1987, respectively).<br />

113<br />

Overview<br />

A need for new product applications<br />

The fractionation of fatty acids<br />

Expansion abroad<br />

A short ride with Greyhound<br />

The creation of Akzona<br />

Akzo America, Inc.<br />

Armour joins Henkel<br />

Acquisition of Stauffer Chemical Co.<br />

Akzo Chemicals Inc.<br />

The creation of Akzo Nobel – and a new Surface Chemistry business<br />

Reorganization and expansion<br />

Akzo Nobel Surface Chemistry LLC<br />

Back to Chicago


114<br />

Armour and Stauffer:<br />

From Chicago to Stenungsund and back<br />

The Akzo legacy<br />

A need for new product applications<br />

Armour & Co. was founded in Chicago,<br />

Illinois, by Philip Danforth Armour in 1867.<br />

The Chicago Stock Yards were the hub<br />

from which meat products originating in the<br />

Midwest were packed and transported via<br />

the new railroad system to the burgeoning<br />

populations of the eastern seaboard. Philip<br />

D. Armour’s initial operations were exclusively<br />

in the meat trade, and focused on<br />

the smoking, pickling and rendering of<br />

pork. An important by-product of the meat<br />

trade of that period was tallow – animal fat<br />

used for a variety of purposes including the<br />

manufacture of candles. Thomas Edison’s<br />

invention in 1879 of a practical light bulb for<br />

domestic use severely reduced the market<br />

for tallow candles, however, and firms such<br />

as Armour & Co. were forced to look for<br />

new applications for the by-products of their<br />

core processes.<br />

Armour moved into soap manufacture,<br />

building a soap works in 1896 to produce<br />

a laundry soap by the name of Armour’s<br />

Family Soap. This was followed by a number<br />

of soap products – Big Ben, Sail Hammer<br />

and White Flyer – for heavy-duty household<br />

jobs. In the 1900s, Amour & Co. diversified<br />

into fine toilet soaps, and by 1927 its range in<br />

this field included no less than 60 brands.<br />

The fractionation of fatty acids<br />

The by-products of meat rendering have<br />

other applications, however – in the fields<br />

of pharmaceuticals, lubricants, adhesives<br />

and leather, for instance – and in the 1920s<br />

Armour & Co. established a central research<br />

laboratory at the Chicago Stock Yards. It<br />

was here that “the father of the oleochemical<br />

industry,” Ralph H. Potts (1900-1981),<br />

developed the first commercial process for<br />

the fractionation of fatty acids, which made<br />

possible the use of fatty acids in chemical<br />

processes. While continuing soap manu-<br />

facture, Armour & Co. diversified again, this<br />

time into the production of nitrogen derivatives<br />

of fatty acids, achieving production<br />

volumes of 2 million pounds of nitriles per<br />

day by 1942. In 1939, the first commercial<br />

long-chain fatty amine was used for the<br />

improvement of potash, which has applications<br />

in the manufacture of glass and soap,<br />

and is also used as a fertilizer.<br />

During the 1940s, Armour expanded its<br />

focus once more, adding secondary amines<br />

and quarternary ammonium salts (for fabric<br />

softening) to its product range. Armour built<br />

the world’s first commercial fatty amine plant<br />

in McCook, Illinois, in 1949, along with a new<br />

research laboratory. Meanwhile, the company<br />

successfully launched its innovative<br />

Dial Deodorant Soap in 1948.<br />

Expansion abroad<br />

The 1950s saw Armour expanding abroad.<br />

Canada was the company’s first target, with<br />

the establishment of a sales office in Toronto<br />

and a new production facility in Saskatoon.<br />

In 1959, Armour entered into a joint venture<br />

with Dan Hess in Britain to fractionate<br />

fatty acids and prepare nitrogen derivatives;<br />

nine years later, in 1968, Armour acquired<br />

the entire operation. A new, modern soap<br />

facility opened in Montgomery, Illinois, in<br />

1964. Armour also entered into a joint venture<br />

with Lion Fat and Oil in Japan in the late<br />

1960s. It was during this decade that the<br />

company’s name was changed to Armour-<br />

Dial Company – a name which was to be<br />

superseded in turn by Armour-Dial, Inc.<br />

A short ride with Greyhound<br />

Kessler, a specialty ester manufacturer<br />

based in Philadelphia, was acquired in 1962.<br />

This acquisition added polyethylene glycol<br />

esters and isopropyl myristate, among<br />

other products, to Armour’s product range,<br />

and remained part of the company until its<br />

divestment to Stepan Co. in 1982. In 1969 –<br />

during the heyday of conglomerate creation<br />

on both sides of the Atlantic – Armour was<br />

acquired by Greyhound, North America’s<br />

largest intercity bus company. The following<br />

year, however, Amour’s chemical operations<br />

were spun off to Akzona.<br />

The creation of Akzona<br />

Akzona was a child of Akzo, itself created<br />

just one year before by the merger<br />

of the Dutch textile company AKU and<br />

the Dutch salt company KZO. A contraction<br />

of Akzo, North America, Akzona was the<br />

holding company for Akzo’s North American<br />

fibers, salt, chemicals, cable and pharmaceutical<br />

companies. The creation of Akzona<br />

was meant to establish an American replica<br />

of the European Akzo. Shortly afterwards,<br />

in 1973, a new manufacturing facility was<br />

opened in Morris, Illinois – the world’s largest<br />

plant at that time for the production of fatty<br />

alkyl nitrogen derivatives.<br />

Akzo America, Inc.<br />

In 1982, Akzo – which until that point had<br />

held just 55 percent of the shares in Akzona<br />

– acquired the remaining, publicly held, stock,<br />

and the holding company Akzona became a<br />

wholly owned subsidiary of Akzo. This was<br />

an important step in Akzo’s development<br />

into a global organization. Until that juncture,<br />

Akzo’s divisions had had to co-operate<br />

with Akzona’s subsidiaries. Now they were<br />

able to include Akzona’s activities directly<br />

into their own worldwide plans. Two years<br />

later, the chemicals operation was renamed<br />

Akzo Chemie America, Armak Chemicals,<br />

to be renamed Akzo Chemicals Inc. shortly<br />

thereafter. Meanwhile the holding company’s<br />

name was changed to Akzo America,<br />

Inc. The country division, Akzona, was dismantled<br />

and the American companies were<br />

transferred to Akzo’s worldwide product<br />

divisions. Akzona’s exclusively American<br />

activities were divested at the same time. In<br />

1985 American Enka was sold to BASF on<br />

account of the lack of synergy between the<br />

American fibers activities and those of the rest<br />

of the Enka group.<br />

Armour joins Henkel<br />

The soap operation of the original Armour<br />

& Co., which had been renamed The Dial<br />

Corporation in 1986, was acquired by the<br />

German consumer goods group Henkel in<br />

2004 – joining the former Nobel Industries<br />

consumer goods company Barnängen,<br />

which had entered the Henkel fold in 1992.<br />

Acquisition of Stauffer Chemical Co.<br />

It was in 1987 that Akzo America Inc. acquired<br />

the specialty chemicals division of Stauffer<br />

Chemical Co. – the biggest acquisition that<br />

Akzo had made in its history to that date.<br />

Stauffer had been founded in San Francisco<br />

in 1885 by John Stauffer Sr. (1861 - 1940).<br />

John Stauffer Sr. was born Johann Gustav<br />

Stauffer in Kaiserslautern, Germany, in 1861.<br />

He had received a good technical education<br />

and spoke five languages when he came<br />

to San Francisco as a young man of 20 to<br />

sell heavy chemicals for the Solvay Company<br />

of Belgium. He made friends easily and had<br />

the gift of attracting to him men who would<br />

work the same long hours he did – and<br />

with the same enthusiasm and dedication.<br />

Personally thrifty, he never begrudged<br />

money spent on others, and stories of his<br />

private charities are legion. In business,<br />

he believed in plowing back money into the<br />

firm and in 50-50 partnerships. “No man<br />

worth his salt wants to be on the wrong<br />

end of a 51-49 partnership,” was one of<br />

his maxims. John Stauffer Sr.’s company<br />

extracted chemicals from the brackish waters<br />

and mineral deposits on the shores of the<br />

San Francisco Bay. Established originally


The Clarks Summit site of the International Salt Company in 1980.<br />

Salt was a key driver of growth for Akzo in the 1980s and early 1990s<br />

115


116<br />

Armour and Stauffer:<br />

From Chicago to Stenungsund and back<br />

The Akzo legacy<br />

as a partnership between John and Joseph<br />

Mayer, a native of Hamburg, the company<br />

became a corporation in 1895. For 50 years<br />

Stauffer’s indomitable figure, invariably clad<br />

in a rumpled black suit, a black derby on<br />

his head and a cheroot clenched between<br />

his teeth, was a familiar part of the San<br />

Francisco business scene. He served as<br />

secretary of Stauffer Chemicals from 1895<br />

until 1935 and died in San Francisco in<br />

1940. His only son, John Stauffer Jr., was<br />

with the company for 49 years, during which<br />

time Stauffer Chemicals grew dramatically.<br />

Its initial operations had been in commodity<br />

chemicals (including sulfur, soda ash,<br />

nitric acid, sulfuric acid, muriatic acid and<br />

boric acid), but the company expanded<br />

its activities through numerous acquisitions<br />

and joint ventures and gradually<br />

developed into an international specialty<br />

chemicals company.<br />

In 1954, Hans Stauffer – the nephew of<br />

John Stauffer Sr. – was elected president of<br />

Stauffer Chemical. The same year the company<br />

moved its headquarters to New York<br />

City, where it listed on the stock exchange.<br />

Stauffer Chemical remained headquartered<br />

in New York City until it relocated<br />

to Westport, Connecticut, in 1974. During<br />

the same year, the company made its first<br />

sales to the People’s Republic of China.<br />

Two years later, and with manufacturing<br />

and sales operations all over the world,<br />

Stauffer Chemical’s sales passed the<br />

$1 billion mark.<br />

At the time of its acquisition by Akzo<br />

America in 1987, Stauffer Chemical Co.<br />

produced chemicals for a wide range of<br />

end-use markets, including agriculture,<br />

building, construction, consumer goods,<br />

food systems, furnishings, laundry and<br />

dry-cleaning, petroleum products and<br />

refining, packaging and containers, transportation,<br />

textiles and water treatment.<br />

The sales of Stauffer Chemicals Co.’s<br />

specialty chemicals division doubled the<br />

sales of Akzo Chemie America, the division<br />

of Akzo to which the newly acquired<br />

firm was assigned. John Stauffer Jr., who<br />

had overseen the company’s growth<br />

from its humble origins to international<br />

prominence, became a member of the<br />

Board of Trustees at Stanford University<br />

(Palo Alto, California), the University of<br />

Southern California and Whittier College<br />

(California). The Stauffer chemistry buildings<br />

of Stanford’s campus are named<br />

in his honor.<br />

Akzo Chemicals Inc.<br />

Approximately a year after the acquisition<br />

of Stauffer, Akzo Chemie America was<br />

reorganized into eight operating groups<br />

based on market requirements. Coincidentally<br />

its name was changed to Akzo<br />

Chemicals Inc. This reorganization allowed<br />

the company’s various chemical products<br />

with a common marketing logic to be sold<br />

via a single marketing division. The nitrogen<br />

chemicals business, formerly operating<br />

under the Armak umbrella, was divided<br />

into new marketing groups: Detergents<br />

and Personal Care, Fine and Functional<br />

Amines, and Asphalt (Highway) Chemicals.<br />

Akzo no longer operated as individual<br />

companies based on geography, but as a<br />

worldwide organization.<br />

In 1991, Akzo Chemicals was again<br />

restructured. The former Armak nitrogen<br />

products were now marketed under the<br />

Detergent and Surfactants group, with<br />

subgroups Detergent and Personal Care,<br />

Petroleum, Fine and Functional Amines and<br />

Asphalt Chemicals. The McCook research<br />

laboratory was closed, and all North<br />

American research operations were combined<br />

at the former Stauffer facility at<br />

Dobbs Ferry, New York. The plant in Sarnia,<br />

Ontario was also closed in 1991 and its<br />

former operations transferred to other<br />

North American plants.<br />

The creation of Akzo Nobel – and a<br />

new Surface Chemistry business<br />

In 1994, Akzo merged with Nobel<br />

Industries, a Stockholm-based chemical<br />

company with diverse markets in amines,<br />

paint and building chemicals, coatings and<br />

paper chemicals. Many of the non-coatings<br />

businesses were grouped together<br />

to form a new business unit, Surface<br />

Chemistry, which, like the bleaching<br />

chemicals business (Eka), became part of<br />

the Chemicals business of the new Akzo<br />

Nobel. The headquarters of the new unit<br />

was established in Stenungsund, Sweden.<br />

Various sub-business units were formed<br />

to operate on a global basis – Cleaning<br />

and Care, Industrial Surfactants, Paint and<br />

Building Additives and Fatty Acids, and<br />

various niche businesses.<br />

Reorganization and expansion<br />

In 1996 Akzo Nobel’s Surface Chemistry<br />

business unit reorganized to better direct<br />

its marketing efforts on a geographic basis.<br />

New sub-business units were formed:<br />

Cationic Applications (Europe), Surfactants<br />

America, Fatty Acids, Paint & Building<br />

Additives, and Specialty Surfactant Applications.<br />

The new Surfactants America subbusiness<br />

unit took over responsibility for<br />

South America and the Itupeva, Brazil, plant.<br />

In 1998 Akcros Chemicals, headquartered<br />

in the UK and a joint venture between<br />

Akzo Nobel and Harcross Chemicals,<br />

became a wholly owned subsidiary. During<br />

1999, the Akcros surfactant line was<br />

integrated into the Surface Chemistry<br />

business.<br />

Continued expansion into Asian markets<br />

occurred with the opening of an office<br />

in Singapore in 1997 to coordinate area<br />

marketing and secure future production.<br />

Surfactants America assumed responsibility<br />

for these activities.<br />

Akzo Nobel Surface Chemistry LLC<br />

In July 2002 – following discussions of<br />

more than 18 months – Akzo Nobel Surface<br />

Chemistry and Crompton Corporation of<br />

North America reached an agreement on<br />

the acquisition of Crompton’s Industrial<br />

Specialties business. The acquisition significantly<br />

strengthened the business unit’s<br />

position. A descendant of Witco (founded in<br />

1920 in Chicago as the Wishnick-Tumpeer<br />

Chemical Company), Industrial Specialties<br />

was the number one independent supplier<br />

of oil-field surfactants. The acquisition added<br />

plants in Houston and Fort Worth, Texas, to<br />

Surface Chemistry’s portfolio.<br />

Back to Chicago<br />

In 2005, as part of the Chemicals group’s<br />

strategic renewal process, the Surface<br />

Chemistry business was restructured to<br />

focus exclusively on surfactants, bringing<br />

with it a change in its name to Surfactants. Its<br />

headquarters was moved from Stenungsund<br />

back to Chicago – the city in which Armour<br />

had originally been founded.<br />

Following Akzo Nobel’s acquisition of ICI<br />

in January 2008, the business focus was<br />

broadened with several of ICI’s activities.<br />

To reflect this new expansion in scope,<br />

the name of the unit was changed back to<br />

Surface Chemistry.


Enka’s fibers plant in Lowland, Tennessee, during the 1960s<br />

117


118<br />

1<br />

2<br />

3<br />

4<br />

5<br />

6<br />

7<br />

8<br />

9<br />

10<br />

Nitroglycerin Aktiebolaget, p. 133<br />

Vintervinken (Stockholm)<br />

Bofors, p. 137<br />

Bofors<br />

Stockholms Superfosfat, p. 143<br />

Nacka (Stockholm)<br />

Månsbo<br />

Trollhättan<br />

Ljungaverk<br />

Alby<br />

Porjus<br />

Eka, p. 149<br />

Bengtsfors<br />

Bohus<br />

Sadolin, p. 157<br />

Copenhagen<br />

Nordsjö, p. 165<br />

Malmö<br />

Sege (Malmö)<br />

Casco, p. 173<br />

Nacka (Stockholm)<br />

Kristinehamn<br />

Barnängan, p. 179<br />

Stockholm<br />

Alvik (Stockholm)<br />

Ekerö<br />

Liljeholmen (Stockholm)<br />

Stockvik<br />

Berol, p. 185<br />

Södertälje<br />

Domsjö<br />

Örnskoldsvik<br />

Mölndal (Gothenburg)<br />

Nol<br />

Stenungsund<br />

Crown Berger, p. 193<br />

London (Berger)<br />

Darwen (Crown)<br />

Morecambe<br />

marks the place on the map where the company<br />

in question (see the left-hand column) was<br />

founded.<br />

Locations named in a chapter are listed on the<br />

left under the name of the relevant company. The<br />

first location named is the place where the company<br />

was founded; all other locations are listed<br />

alphabetically.<br />

If locations cannot be distinguished from one<br />

another because they are too close together, a<br />

place already shown on the map or one that is<br />

central to those locations is given in parenthesis.<br />

Norway<br />

Denmark<br />

<br />

<br />

<br />

4<br />

2<br />

Bengtsfors<br />

Bofors<br />

<br />

<br />

<br />

<br />

Gothenburg<br />

5<br />

Copenhagen <br />

Sweden<br />

6<br />

<br />

<br />

<br />

Sundsvall<br />

<br />

<br />

Uppsala <br />

8<br />

Malmö<br />

Germany<br />

Umeå <br />

Stockholm <br />

<br />

7<br />

Södertälje 3<br />

9<br />

Luleå <br />

1<br />

Finland<br />

<br />

<br />

United Kingdom<br />

10<br />

London


119


120<br />

Stockholms Superfosfat’s Gäddviken Nacka<br />

plant in Stockholm in the early days


The Nobel legacy<br />

Nobel Industries was created in 1984, when the armaments maker<br />

Bofors acquired the chemical company KemaNobel. Swedish in origin,<br />

both Bofors and KemaNobel had historic ties to Alfred Nobel, the great<br />

19th century inventor who was the first to discover a way to detonate the<br />

explosive liquid nitroglycerin.<br />

121<br />

Overview<br />

The ascendance of Stockholms Superfosfat<br />

From Fosfatbolaget through KemaNord to KemaNobel<br />

Bofors<br />

The creation of Nobel Industries<br />

Financial crisis<br />

Merger with Akzo


122<br />

Nobel Industries<br />

The Nobel legacy<br />

After making the pivotal invention of the blasting cap in 1863,<br />

Nobel founded a company called Nitroglycerin Aktiebolaget<br />

the following year and began traveling extensively to set up<br />

nitroglycerin plants in Europe and America. His typical practice<br />

was to exchange his patent rights for a share in these<br />

new businesses, and as a result a network of companies<br />

bearing the Nobel name quickly developed. Problems with<br />

the transport and storage of nitroglycerin caused several<br />

deadly accidents over the ensuing few years, until 1867,<br />

when Nobel developed the explosive he named dynamite.<br />

With the invention of this stable form of nitroglycerine,<br />

Nobel’s businesses rapidly expanded and he soon garnered<br />

one of Europe’s largest fortunes through the substantial<br />

dividends generated by his plants in the United States,<br />

Britain, Norway, France, Italy, Spain, Finland, Austria-Hungary<br />

and elsewhere.<br />

The ascendance of Stockholms Superfosfat<br />

Alfred Nobel died in 1895. His first company, Nitroglycerin<br />

Aktiebolaget, continued in the explosives business. In 1918,<br />

Stockholms Superfosfat AB acquired a majority shareholding<br />

in this company. In 1977, it eventually acquired the<br />

remaining shares in the company, which by then was called<br />

Nitro Nobel.<br />

During the 1950s the Wallenberg banking and industrial<br />

empire acquired a significant owner-interest in the chemicals<br />

company Stockholms Superfosfat Fabriks by means of<br />

the Swedish mining and forestry products company Stora<br />

Kopparberg. This led to a radical restructuring of production<br />

at Stockholms Superfosfat Fabriks. The manufacture of<br />

nitrogen lime was terminated in 1963, and the focus during<br />

the 1960s was directed to petroleum as a raw material.<br />

Stockholms Superfosfat Fabriks became one of the major<br />

stakeholders in a petrochemicals complex which was built<br />

up around Stenungsund, on the west coast of Sweden. Net<br />

sales of the company grew by approximately 20 percent<br />

each year during the 1960s and 1970s, and the number<br />

of employees rose from approximately 2,000 to more than<br />

7,000 during this period.<br />

From Fosfatbolaget through KemaNord to<br />

KemaNobel<br />

The name of Stockholms Superfosfat AB was changed in<br />

1964 to Fosfatbolaget AB, and again in 1970 to KemaNord<br />

AB. Operations were broadened during the period after World<br />

War II, including the acquisition of Liljeholmens Stearinfabrik<br />

(1947), Casco (1964), Stockholms Benmjölsfabrik (1966),<br />

Barnängen (1973), part of Nitro Nobel (1977) and Nordsjö<br />

(1982). The company’s name was changed again in 1978<br />

following the acquisition of the rest of Nitro Nobel, this<br />

time to KemaNobel.<br />

Bofors<br />

Bofors, the other major company involved in the formation of<br />

Nobel Industries, traced its lineage back to 1646, when it was<br />

established as a hammer forge near Karlskoga, Sweden. By<br />

1894, when Alfred Nobel bought it, Bofors had become a<br />

munitions manufacturer. The company became well known<br />

for its anti-aircraft weapon, the L/70 40 mm gun, first sold<br />

in 1936. This gun was instrumental to the defense of Britain<br />

in World War II and enjoyed strong sales in NATO countries<br />

after the war. Because Sweden is a neutral country,<br />

Bofors’ weapons followed Swedish specifications that they<br />

be primarily defensive, and exports were limited by complex<br />

government policies.<br />

Government contracts for armaments made up most of<br />

Bofors’ profits, but the company had interests in other areas<br />

as well. These included a chemicals and plastics division<br />

called Bofors Nobel. A chemical engineering operation called<br />

Nobel Chematur also produced steel tools and truck axles,<br />

as well as diesel engines. In 1976, the company decided to<br />

focus exclusively on armaments and chemicals.<br />

The creation of<br />

Nobel Industries<br />

Bofors acquired KemaNobel in order to strengthen its own<br />

chemicals operations. The Swedish stock market was at a<br />

low ebb during the 1970s, but financier Erik Penser optimistically<br />

gambled on a brighter future. The market took a<br />

sudden upward swing after a devaluation of the Swedish<br />

krona in 1982, and Penser steadily invested his profits in<br />

Bofors until he ultimately controlled 40 percent of the company.<br />

He then set his sights on KemaNobel, the chemicals<br />

company controlled by the Wallenberg family. After offering<br />

an above-market price for a majority share in KemaNobel,<br />

he combined it with Bofors and named the new entity Nobel<br />

Industries. The new company had sales of $1 billion.<br />

Nobel Industries expanded rapidly, making many acqui-<br />

sitions in the fields of industrial paints, chemicals, adhesives,<br />

electronics and consumer goods. When Erik Penser<br />

formed Nobel Industries in 1984, armaments sold by Bofors<br />

accounted for 34 percent of the new company’s total sales,<br />

as well as 39 percent of its operating profits. Three years<br />

later, 80 percent of the company’s sales and 43 percent of<br />

its profits came from paints, adhesives, explosives, plastics,<br />

chemicals, and pulp and paper products.<br />

During this period, Nobel Industries was rocked by the Bofors<br />

scandal, which arose from an armaments deal with India.<br />

Suspicions extended to the highest echelons of Swedish<br />

and Indian politics, but the company was later cleared<br />

of all accusations.<br />

Financial crisis<br />

Nobel Industries continued to expand its other operations,<br />

making major acquisitions in the fields of paper<br />

and bleaching chemicals (Eka AB 1986), ethylene amines<br />

(Berol AB 1988), paints and adhesives (the Danish Sadolin<br />

& Holmblad A/S 1987 and the British Crown Berger Ltd.<br />

1990) and consumer goods. In 1986, the civilian explosives<br />

activities of Nitro Nobel AB, a part of the former KemaNobel,<br />

were divested.<br />

By 1991, however, the debt resulting from these acquisitions<br />

threatened to swamp Nobel Industries. Moreover,<br />

Nobel Industries had offered an unlimited guarantee to the<br />

creditors of a financial service company, Gamlestaden,<br />

which was also owned by Erik Penser. When Gamlestaden<br />

failed in the summer of 1991, Nobel Industries could not<br />

cover its guarantee. On the verge of financial collapse,<br />

Nobel Industries was – somewhat controversially – taken<br />

over by the Swedish bank Nordbanken. Penser lost his<br />

entire 67 percent holding in Nobel, while trading in Nobel<br />

Industries shares was suspended for four days. With<br />

Nordbanken as its major shareholder, Nobel Industries<br />

recovered, but it lost almost $1 billion. Prompted by the<br />

scandals of previous years, the company’s decision to sell<br />

its defense activities brought some relief from the burden<br />

of this debt. The sale of its entire consumer goods division<br />

to the German chemical group Henkel followed in 1992.<br />

Paint, adhesives and chemicals became the main activities<br />

of Nobel Industries.


Nobel Industries<br />

The Nobel legacy<br />

Merger with Akzo<br />

Restructuring subsequently led to ownership being transferred<br />

to the state-owned Securum, who then sold the<br />

shares to Akzo in 1994. The merger was the largest in<br />

Europe that year and created one of the ten biggest chemical<br />

companies in the world. The company’s name was<br />

changed to Akzo Nobel after the integration of Nobel’s<br />

operations into Akzo.<br />

During its final year of independence, Nobel Industries<br />

generated net sales of about SEK 23 billion and employed<br />

approximately 20,000 people.<br />

123


124<br />

Alfred Nobel as a young man in 1853.<br />

Alfred was a mature, unusually intelligent<br />

youth, but he was also a dreamer and an<br />

introvert who preferred to be by himself


The Nobel legacy<br />

The themes of invention, entrepreneurship and industrialism run<br />

through all the chapters of the <strong>AkzoNobel</strong> story, and many of its constituent<br />

companies have been founded by remarkable men. More than<br />

a century since his death, it is still Alfred Nobel, however, who towers<br />

above them all – not simply because of the Nobel Foundation, which he<br />

established through a provision in his will, but more essentially because<br />

of his own talents, creativity and personal achievements.<br />

125<br />

Overview<br />

Success in Russia – and poverty again<br />

The incessant traveler<br />

The inventor<br />

The entrepreneur<br />

The industrialist<br />

A lonely death<br />

Alfred Nobel’s will<br />

The Nobel Foundation<br />

The Nobel Prize


126<br />

Alfred Nobel:<br />

Inventor, entrepreneur and industrialist<br />

The Nobel legacy<br />

Alfred Nobel was born in 1833, the son of Immanuel Nobel,<br />

a self-taught master builder from Gävle. Immanuel was possessed<br />

of great drive and initiative, and he also became a<br />

manufacturer and inventor. Unfortunately in 1837, when<br />

Alfred was just four years old, he went bankrupt and was<br />

obliged to flee abroad to escape his creditors. Alfred and his<br />

brothers were brought up by their mother in Stockholm for<br />

several years, living in abject poverty and permanent insecurity,<br />

until Immanuel – who had started a foundry and engineering<br />

workshop in St. Petersburg – was sufficiently welloff<br />

to be able to reunite his family under one roof in Russia.<br />

Success in Russia – and poverty again<br />

Nobel and his brothers were taught at home by private<br />

tutors. Following a two-year study tour which included a visit<br />

to New York, Alfred commenced work – like his brothers<br />

– in his father’s company, Fonderies & Ateliers Mécaniques<br />

Nobel & Fils. The company grew into a large engineering<br />

works which increasingly focused on producing weaponry,<br />

and by the mid-1850s it employed more than a thousand<br />

people. Specializing in underwater mines, Immanuel Nobel’s<br />

company became a major supplier to the Russian army<br />

during the Crimean War, but it went bankrupt when the war<br />

ended and orders for armaments dried up.<br />

The incessant traveler<br />

Nobel himself returned to Sweden in 1863, at the age of<br />

30. He soon moved to Hamburg – which became the hub<br />

of his activities for ten years – and then to Paris, the intellectual<br />

and cultural capital of 19th century Europe, where,<br />

as he noted, “even the mongrel in the street has an air of<br />

civilization.” It was from Paris that Alfred Nobel built up his<br />

multinational empire. He devised numerous inventions and<br />

set up various businesses that served both civil and military<br />

purposes, as engineers blasted their way through mountains<br />

to create the great railway networks of the late 19th century<br />

and countries built up massively equipped modern armies.<br />

After his competitors for contracts from the French Army had<br />

managed to cast doubts on his loyalty, he moved in 1891<br />

from Paris to San Remo in Italy. In the winter of 1893-94,<br />

three years before his death, Alfred Nobel bought the<br />

Bofors company in Värmland in the west of central Sweden<br />

and moved into the director’s manor. “Things will get lively<br />

in Bofors as soon as we get real results from current inno-<br />

vations,” he wrote soon afterwards. “It would be nice to<br />

see old Sweden competing in armaments with Germany<br />

and Great Britain.” Nobel died in 1896, however, worn out<br />

by incessant work and travel – immensely rich but also a<br />

lonely man, unmarried and estranged from his family.<br />

The inventor<br />

“If I have 300 ideas in a year and just one turns out to work,<br />

I am satisfied,” Alfred once wrote. During the course of his<br />

life he was, in fact, to have no fewer than 355 patent applications<br />

granted. His most important inventions were all based<br />

on nitroglycerin – a viscous, highly explosive liquid which<br />

had been discovered in 1847 by the Italian Ascanio Sobrero<br />

(1812-1888). Nobel’s great contribution lay in developing<br />

methods of making it usable in practice. His main inventions<br />

were the blasting cap (later known as the detonator) (1863),<br />

dynamite (1867), blasting gelatine (1875) and the smokeless<br />

gunpowder ballistite (1887).<br />

Nobel began his experiments with nitroglycerin in 1862, with<br />

the aim of developing a detonator which was safe to handle,<br />

but still allowed full use of all the inherent explosive effect<br />

of the liquid. He achieved this objective in 1864, with the<br />

creation of a percussion cap consisting of mercury fulminate<br />

in a small copper sleeve containing in itself a clamped fuse:<br />

it became the standard detonator.<br />

During the 1860s a series of serious accidents involving<br />

nitroglycerin attracted enormous publicity – for example,<br />

Nobel’s own factory at Krümmel was destroyed by an<br />

explosion. Nobel experimented with admixtures of various<br />

porous substances to absorb the nitroglycerin and make it<br />

safer to handle – coal dust, sawdust, cement and brick dust.<br />

Eventually he tried out a mixture of 75 percent nitroglycerin<br />

and 25 percent kieselguhr, a clayey mineral, which could be<br />

pressed into cartridges and wrapped in paper tubes. And so<br />

dynamite was born.<br />

A quarter of dynamite’s composition was inert, however, and<br />

so Nobel set about finding a new compound which could be<br />

mixed with nitroglycerin and also be involved in the explosion.<br />

After considerable experimentation, he found this in the<br />

form of nitrocellulose, created by adding collodion cotton (gun<br />

cotton) dissolved in ether alcohol to nitroglycerin. Combined<br />

with pure nitroglycerin, this wholly original blasting gelatine<br />

was initially marketed as Extradynamit.<br />

Ballistite, the fourth of Nobel’s major inventions, was a<br />

smokeless gunpowder made of roughly equal parts of<br />

nitroglycerin and gun cotton with the addition of 10 percent<br />

camphor. The two major substances – each highly explosive<br />

– created a new kind of gunpowder which was not highly<br />

explosive, but which on ignition burned with near-mathematical<br />

precision in concentric layers. Nobel’s contemporaries<br />

regarded his invention, which replaced black gunpowder, as<br />

utterly remarkable.<br />

Nobel had little time for orders and titles, but he did value<br />

scientific recognition of his work. He was elected a member<br />

of the Swedish Royal Academy of Sciences in 1884 and<br />

was awarded an honorary doctorate by the University of<br />

Uppsala in 1893.<br />

The entrepreneur<br />

Alfred Nobel began his career as an entrepreneur by trying<br />

to make nitroglycerin a commercial product. The first manufacture<br />

of his “blasting oil” took place in a shed in Stockholm<br />

where Nobel’s destitute father and family were lodging. While<br />

being used for this purpose in 1864, the shed blew up, killing<br />

Alfred’s younger brother Emil and four other people.<br />

For all its tragedy, this accident – to which the press of the<br />

day devoted considerable attention – was a more convincing<br />

demonstration of the explosive power of Nobel’s blasting oil<br />

than all his test explosions for potential clients. The orders<br />

suddenly flooded in, and only a month later, the Swedish State<br />

Railways started using “Nobel’s patent blasting oil” to excavate<br />

a new tunnel. In the same month, October 1864, Nobel<br />

joined forces with the wealthy Stockholm investor Johan<br />

Wilhelm Smitt to found his first company, Nitroglycerin AB, to<br />

manufacture and market the new product. A year later he set<br />

up Alfred Nobel and Co. in Germany for the same purpose,<br />

again using funds from local sponsors. Nobel was to repeat<br />

this successful formula in many countries around the world<br />

– finding local backers with funds and influence, building a<br />

plant in a secluded spot, obtaining the necessary licenses,<br />

avoiding the use of banks and lawyers, and keeping his own<br />

financial investment to a minimum. His entrepreneurship was<br />

enhanced by the showmanship with which he demonstrated<br />

the properties of his new products. Nobel was always careful<br />

to invite the press to his demonstrations, at which he displayed<br />

the safe handling properties of dynamite by throwing<br />

boxes of it from cliff tops before detonating it to create massive<br />

explosions in solid rock.<br />

Nobel’s attempts to penetrate the U.S. market were less<br />

successful, but he set up factories in Great Britain (1871),


Alfred Nobel’s laboratory in San Remo, Italy. He also had his own<br />

laboratory at Björkborn in Bofors, Sweden


128<br />

Alfred Nobel:<br />

Inventor, entrepreneur and industrialist<br />

The Nobel legacy<br />

Spain (1871), Italy (1873) and Switzerland (1873). Despite<br />

his enormous energy, Nobel was, however, a cautious<br />

businessman who was always at pains to avoid personal<br />

liability for the activities of his various companies and whose<br />

own investment was usually limited to the provision of his<br />

patents. With his father’s two bankruptcies always at<br />

the back of his mind, he invested the massive fortune he<br />

acquired in low-risk securities; the significant exception<br />

to this pattern was the investment he made in his<br />

brothers’ struggling oil company in Russia – an investment<br />

that he was to regret deeply.<br />

The industrialist<br />

Alfred Nobel founded his international industrial empire<br />

during the years 1865 -1876, between the ages of 32 and<br />

40. By 1873 he was a partner in 16 dynamite factories in<br />

14 countries. Many of them were in keen competition, not<br />

only with other manufacturers, but also with other Nobel<br />

companies. Alfred therefore consolidated them into two<br />

holding companies: the Nobel Dynamite Trust Co., which<br />

was formed for the British and German companies in<br />

1886, and Société Central de Dynamite, created for the<br />

companies in Switzerland, Italy, France and Spain in 1887.<br />

Thus the first truly multinational companies in history – companies<br />

owning or controlling manufacturing facilities outside<br />

the country in which they have their head office – are<br />

associated with Nobel.<br />

Nobel traveled and corresponded tirelessly to set up<br />

and maintain this empire, which included plants in<br />

Ardeer, Turin, Paulilles, Vienna, Hamburg and Stockholm.<br />

He spent several hours a day at his desk, and would write on<br />

average 20 to 30 letters a day, expressing himself with equal<br />

facility in Swedish, Russian, German, French and English.<br />

When traveling by train, he wrote with a portable copying<br />

machine on his lap.<br />

Despite his success, Alfred was a shy man. Intensive work<br />

and travel did not leave much time for a private life. At the age<br />

of 43 he was feeling like an old man. At this time he advertised<br />

in a newspaper “Wealthy, highly-educated elderly gentleman<br />

seeks lady of mature age, versed in languages, as secretary<br />

and supervisor of household.” The most qualified applicant<br />

turned out to be an Austrian woman, Countess Bertha<br />

Kinsky. Nobel was attracted to her and may well indeed have<br />

fallen in love with her, but Bertha decided to return to Austria<br />

to marry Count Arthur von Suttner after working for Nobel<br />

for only a short time. There followed a long and unhappy love<br />

affair with Sophie Hess – an uneducated Austrian flowerseller<br />

23 years his junior whom he met in a flower shop in<br />

Baden Bei Wien shortly after the departure of Bertha<br />

Kinsky. Alfred’s attempts to encourage Sophie to educate<br />

herself and better her social standing proved fruitless,<br />

leading to much frustration on his part, while Sophie<br />

herself resented her role as a kept mistress who was always<br />

being urged to change her nature. Their affair came to a<br />

definitive end in 1891.<br />

A lonely death<br />

Alfred Nobel’s young employee Ragnar Sohlmann, who<br />

was probably the person who knew him best, wrote of the<br />

great industrialist: “He was hardly ever a democrat. He had<br />

much goodwill for, and considerate interest in, the workers<br />

in his factories, but there was never time for any personal<br />

contact. He was a very generous master to his servants,<br />

but he was a stickler for etiquette, and personal closeness<br />

was inconceivable, even when, ill and suffering, he felt the<br />

lack of it.” Nobel in fact suffered from depression as well<br />

as migraine for much of his life. Explaining his choice to<br />

continue working as a businessman in later life rather than<br />

retiring to devote himself to the science which he regarded<br />

as his true calling, he wrote: “You get into a certain sphere<br />

of activity and if you then have a trace of that distorted<br />

quality known as a sense of duty, you toil until you drop.”<br />

On December 10, 1896, what Nobel had most feared<br />

happened – he died alone in Italy, in the company of only a few<br />

paid servants.<br />

Alfred Nobel’s will<br />

The Björkborn Manor was Alfred Nobel’s home during his<br />

period at Bofors. After his death, it came to be regarded as<br />

his final permanent domicile. This was decided after a French<br />

court had ruled – against the wishes of many of Nobel’s relatives<br />

– that he had not been resident in Paris at the time of<br />

his death. The court ruling was remarkable in that it was<br />

based on a very old legal text which stated that the domicile<br />

of a farmer was the location at which he stabled his horses.<br />

And it was at Björkborn that all three of Nobel’s Russian<br />

carriage horses had been stabled at the time of his death.<br />

The decision of the French court was of critical significance<br />

for the judicial processing of Alfred Nobel’s will. He left one<br />

million Swedish crowns to be distributed among his relatives.<br />

The remainder of the complete fortune – with the exception<br />

of three villas at various locations in Europe – went, as Nobel<br />

had desired, to create a fund which became the basis of<br />

the Nobel Prize – the largest single donation ever to have<br />

been made, amounting to more than SEK 31 million. Many<br />

people believe that the French court would hardly have<br />

approved the will and its donations in the way that Karlskoga<br />

District Court did.<br />

The Nobel donation met with extremely mixed reactions.<br />

It was commonly thought that he had behaved in an “un-<br />

Swedish” manner by giving the donation such a clear international<br />

perspective. With hindsight, everyone today realizes<br />

that Alfred Nobel, on the contrary, created unprecedented<br />

goodwill for Sweden through his donation.<br />

The Nobel Foundation<br />

The Nobel Foundation, established in 1900, is a private<br />

institution based on provisions in Alfred Nobel’s will. The<br />

Foundation manages the assets made available through the<br />

will for the award of Nobel Prizes. It represents the Nobel<br />

Institutions externally and administers informational activities<br />

and arrangements surrounding the presentation of<br />

Nobel Prizes. The Foundation also administers the Nobel<br />

Symposium Program.<br />

The Nobel Prize<br />

Every year since 1901, Nobel Prizes have been awarded for<br />

achievements in physics, chemistry, physiology or medicine,<br />

literature and for peace. The Nobel Prize is an international<br />

award administered by the Nobel Foundation in Stockholm,<br />

Sweden. In 1968, Sveriges Riksbank established The<br />

Sveriges Riksbank Prize in Economic Sciences in Memory of<br />

Alfred Nobel, founder of the Nobel Prize. Each prize consists<br />

of a medal, a personal diploma, and a cash award.


Alfred Nobel:<br />

Inventor, entrepreneur and industrialist<br />

The Nobel legacy<br />

Some surprising facts<br />

about Nobel laureates<br />

Up until 2007, 777 individuals and 20 organizations had been awarded the Nobel Prize.<br />

Some Nobel laureates and organizations have received the prize more than once<br />

34 Nobel laureates to date have been women; the remaining 743 were men.<br />

To date, the youngest Nobel laureate is Lawrence Bragg, who was just 25 years old<br />

when he received together with his father the Nobel Prize for Physics 1915.<br />

The oldest Nobel laureate to date is Leonid Hurwicz, who was 90 years old when he<br />

was awarded the 2007 Nobel Prize for Economics.<br />

Two Nobel laureates have declined their Nobel Prize. Jean-Paul Sartre, awarded the 1964<br />

Nobel Prize for Literature, declined because he had consistently declined all official honors.<br />

Le Duc Tho was awarded the 1973 Nobel Peace Prize jointly with U.S. Secretary of State<br />

Henry Kissinger for negotiating the Paris Peace Accords. Le Doc Tho said that he was not<br />

in a position to accept the Prize, citing the situation in Vietnam as his reason.<br />

Four Nobel laureates have been forced by authorities to decline a Nobel Prize.<br />

Adolf Hitler forbade three German Nobel laureates, Richard Kuhn, Adolf Butenandt and<br />

Gerhard Domagk, from accepting their Prizes. All of them could later receive the Nobel Prize<br />

Diploma and Medal, but not the prize money. Boris Pasternak, the 1958 Nobel laureate for<br />

Literature, initially accepted but was later coerced by the authorities of the Soviet Union,<br />

his native country, to decline.<br />

The work of the International Committee of the Red Cross (ICRC) has been honored by a<br />

Nobel Peace Prize three times. The founder of the ICRC, Henry Dunant, was additionally<br />

awarded the first Nobel Peace Prize in 1901.<br />

Linus Pauling is the only person to have been awarded two unshared Nobel Prizes:<br />

the 1954 Nobel Prize for Chemistry and the 1962 Nobel Peace Prize.<br />

Alfred Nobel’s last will<br />

and testament<br />

The whole of my remaining realizable estate shall be dealt with in the following way: the<br />

capital, invested in safe securities by my executors, shall constitute a fund, the interest on<br />

which shall be annually distributed in the form of prizes to those who, during the preceding<br />

year, shall have conferred the greatest benefit on mankind. The said interest shall be divided<br />

into five equal parts, which shall be apportioned as follows: one part to the person who<br />

shall have made the most important discovery or invention within the field of physics; one<br />

part to the person who shall have made the most important chemical discovery or improvement;<br />

one part to the person who shall have made the most important discovery within the<br />

domain of physiology or medicine; one part to the person who shall have produced in the<br />

field of literature the most outstanding work in an ideal direction; and one part to the person<br />

who shall have done the most or the best work for fraternity between nations, for the<br />

abolition or reduction of standing armies and for the holding and promotion of peace<br />

congresses. The prizes for physics and chemistry shall be awarded by the Swedish<br />

Academy of Sciences; that for physiological or medical work by the Caroline Institute in<br />

Stockholm; that for literature by the Academy in Stockholm, and that for champions of<br />

peace by a committee of five persons to be elected by the Norwegian Storting. It is my<br />

express wish that in awarding the prizes no consideration whatever shall be given to the<br />

nationality of the candidates, but that the most worthy shall receive the prize, whether<br />

he be a Scandinavian or not.<br />

Paris, 27 November, 1895<br />

Alfred Bernhard Nobel<br />

129


130<br />

The opening page of Alfred Nobel’s will.<br />

This document revoked his previous wills of<br />

1889 and 1893 and created the basis for the<br />

Nobel Foundation and the Nobel Prizes.<br />

Nobel had an aversion to lawyers and rarely<br />

made use of them when drafting legal documents.<br />

The vague wording of his will was to<br />

lead to protracted disagreements regarding<br />

its provisions in the wake of his death


Alfred Nobel in 1885. He allowed him self to be<br />

photographed only with great reluctance<br />

131


132<br />

Nitro Nobel’s offices in the Aspudden area of<br />

Stockholm during the 1960s


The Nobel legacy<br />

Nitroglycerin Aktiebolaget was originally founded by Alfred Nobel at<br />

Vinterviken, just outside Stockholm, in 1864. Alfred’s innovative applications<br />

for the newly discovered substance nitroglycerin accelerated<br />

the advance of the great age of industrial construction. The rapid completion<br />

of railways, tunnels, canals, ports and other major building<br />

projects was made possible by the safe handling properties and massive<br />

blasting power of this explosive, which was many times more powerful<br />

than gunpowder.<br />

133<br />

Overview<br />

Disasters and innovations<br />

The creation of KemaNobel


134<br />

Nitroglycerin Aktiebolaget:<br />

Nitro Nobel, an explosive history<br />

The Nobel legacy<br />

Nobel had established laboratories for<br />

quality control, experimentation and development<br />

work at his larger industrial works.<br />

He was based outside Sweden from the<br />

end of the 1860s, initially in Krümmel near<br />

Hamburg, then in Ardeer, Scotland, and<br />

subsequently for many years in Paris. Nobel<br />

had well-equipped laboratories and qualified<br />

staff at his disposal at all of these locations.<br />

During the early 1880s, Nobel began<br />

employing handpicked specialists – physicists,<br />

chemists and engineers – at his<br />

laboratories around Europe to work on the<br />

ideas and hunches that he had been playing<br />

around with in his mind for years. Continually,<br />

new ideas would occur to him. Countless<br />

memos – many of them several pages long,<br />

and written on the letterheaded stationery<br />

of some of Europe’s leading hotels – have<br />

been preserved in which Nobel made notes<br />

on current projects in his laboratories. At the<br />

peak of these activities, in the 1890s, Alfred<br />

Nobel’s laboratories employed around 75 to<br />

100 scientists.<br />

Disasters and innovations<br />

Starting with the manufacture of nitroglycerin,<br />

Nobel’s first company – Nitroglycerin<br />

Aktiebolaget – went on to produce dynamite,<br />

blasting gelatine and smokeless gunpowder<br />

during his lifetime. It also suffered several<br />

major explosions – in 1868, 1874, 1893 and<br />

1906 – which claimed a total of 33 lives.<br />

Besides serving the growing engineering<br />

and construction sectors, Nitroglycerin<br />

Aktiebolaget’s products were used to<br />

produce ammunition used by both the<br />

military and hunters. Innovations continued<br />

after the death of Nobel, most notably the<br />

launch of borenit, a form of dynamite rendered<br />

more stable at low temperatures<br />

by the addition of nitroglycol (1927), an<br />

improved and less moisture-sensitive form<br />

of nitrolit (1934), and securit, a new nitroglycerin-free<br />

explosive (1957).<br />

Early in 1894, Nobel had reached an<br />

agreement with Kjellberg & Söner to<br />

acquire Bofors. He had found the perfect<br />

place for his ballistic experiments with<br />

new kinds of gunpowder and ammunition.<br />

Shortly thereafter, weapons technicians in<br />

the Swedish military expressed their wish<br />

that Nitroglycerin Aktiebolaget’s production<br />

of gunpowder (Nobelkrut) be moved from<br />

Vinterviken to Bofors, in order to facilitate<br />

continuous product testing. In 1898, two<br />

years after Alfred Nobel’s death, this idea<br />

was carried out. A new company named<br />

AB Bofors Nobelkrut was founded by<br />

Nitroglycerin Aktiebolaget, AB Bofors and<br />

Alfred Nobel’s estate.<br />

In 1915, Nitroglycerin Aktiebolaget purchased<br />

Gyttorps Sprängämnes AB, its<br />

toughest competitor in the Swedish explosives<br />

industry. This made it possible to<br />

gradually move the increasingly crowded<br />

Vinterviken factories to Gyttorp, a village<br />

in central Sweden. In the summer of 1921,<br />

dynamite production at Vinterviken ceased,<br />

although for many years the buildings were<br />

used as warehouses.<br />

On November 13, 1918 – two days after<br />

the Armistice had been signed – a letter<br />

arrived at the head office of Nitroglycerin<br />

Aktiebolaget from Stockholms Superfosfat<br />

Fabriks AB stating that “as you are probably<br />

aware, the undersigned company<br />

has acquired the majority of the shares in<br />

Nitroglycerin AB.” Rumors about a takeover<br />

had already been flying in December 1917.<br />

At the time, Stockholms Superfosfat officially<br />

denied these claims, but they were probably<br />

already large shareholders and continued to<br />

purchase shares. On November 28, 1918,<br />

there was an extra shareholders meeting,<br />

requested by Stockholms Superfosfat<br />

Fabriks AB, and a new board was appointed<br />

for Nitroglycerin Aktiebolaget.<br />

Nitroglycerin Aktiebolaget continued to<br />

grow. World War II presented both difficulties,<br />

in the way of scarcity of raw materials,<br />

but also opportunities. In 1940, the Swedish<br />

government invested in a new factory run by<br />

Nitroglycerin Aktiebolaget for the production<br />

of blasting caps and explosive charges.<br />

Nitrolit, a form of dynamite requiring less of<br />

the scarce raw materials glycerin and glycerol,<br />

was developed and became a success<br />

both in the civilian and military markets.<br />

Sales of nitrolit grew from 538 tons in 1939<br />

to 6,737 tons in 1943.<br />

In 1965, Nitroglycerin Aktiebolaget changed<br />

its name to Nitro Nobel AB, based on the<br />

generally used shortened name Nitro and<br />

the surname of founder Alfred Nobel.<br />

The creation of KemaNobel<br />

From 1973 to 1977 KemaNord (the new<br />

name of Stockholms Superfosfat Fabriks<br />

since 1970) increased its holding in Nitro<br />

Nobel. The main attraction was the international<br />

scope of Nitro Nobel’s business,<br />

while the management also saw potential<br />

for synergy in the merging of the chemicals<br />

operations of the two companies.<br />

By 1977, Nitro Nobel had been fully integrated<br />

into KemaNord.<br />

To mark the creation of the new company<br />

– as well as reflecting the increased diversity<br />

and internationalization of activities compared<br />

with those associated with the original<br />

names – the company name was changed<br />

to KemaNobel. When the merged group’s<br />

new name was announced in 1978, the following<br />

advertisement was published:<br />

‘KemaNord and Nitro Nobel have merged.<br />

Sweden’s now largest chemicals group has<br />

changed its name to KemaNobel. The group<br />

will now be even more competitive internationally.<br />

KemaNobel will have a turnover of<br />

over SEK 2.5 billion, 7,000 employees, and<br />

production facilities in some 10 countries.<br />

KemaNobel. The name represents a whole<br />

group of companies that manufacture every-<br />

thing from consumer goods to explosives,<br />

chemicals and plastics.<br />

WE BELIEVE IN OUR FUTURE<br />

Alfred Nobel’s first company was founded<br />

in 1864. That was Nitro Nobel. The chemist<br />

Oscar Carlson and newspaper magnate Lars<br />

Johan Hierta founded KemaNord in 1871.<br />

Both companies have demonstrated their<br />

vitality for more than one hundred years.<br />

As KemaNobel, we are continuing our traditions<br />

and know-how with the world as our<br />

market. We believe in our future.’


A range of explosives produced by<br />

Nitro Nobel AB. One of Alfred Nobel’s great<br />

achievements was to make the handling and<br />

transportation of explosives considerably safer<br />

than it had been in the early 19th century<br />

135


136<br />

The Bofors Cannon Works in the mid-1890s


The Nobel legacy<br />

The name Bofors is inextricably linked with the legendary Bofors ® gun<br />

of World War II. The company’s traditions stem from much further back,<br />

however, as does the history of armaments manufacture in Sweden.<br />

137<br />

Overview<br />

Bofors steel<br />

The first Bofors cannon<br />

The combination of metallurgical, engineering and chemical expertise<br />

Focus on weaponry – and innovation<br />

The Bofors ® 40 mm gun<br />

The Bofors scandal and divestment by Nobel Industries<br />

The Björkborn Foundation


138<br />

Bofors:<br />

From a rural iron forge to a legendary weapon<br />

The Nobel legacy<br />

The origins of Bofors can be traced back to<br />

a foundry in the Swedish countryside where<br />

forests, mountains and water courses created<br />

the ideal conditions for working iron<br />

ore. On November 24, 1646, Paul Hossman<br />

was granted a royal license for two foundry<br />

hammers on the Bo River (now known as<br />

the Tims River). He named the iron foundry<br />

he built there Bofors (based on the Swedish<br />

name of the river, Bo forsen, “fors” meaning<br />

a fast-flowing river). The foundry’s link with<br />

artillery was only to develop in the late 19th<br />

century, however, by which time Bofors<br />

had become one of the largest iron works<br />

in Sweden.<br />

The manufacture of cannon in Sweden<br />

began in the first half of the 17th century and<br />

drew on the country’s extensive expertise<br />

in the handling of iron ore. Sweden soon<br />

became one of Europe’s top exporters of<br />

cannon, capitalizing on the continuous wars<br />

between the superpowers of the period, as<br />

well as on the need of merchant vessels for<br />

defense against attack by pirates.<br />

AB Bofors Nobelkrut<br />

Bofors steel<br />

By the late 19th century, the Swedish weapons<br />

industry – which had been based on the<br />

use of pig iron – was struggling to keep up<br />

with the demand for more technologically<br />

advanced weapons and, therefore, the more<br />

advanced materials needed to make them.<br />

Its end appeared to have come when the<br />

Swedish government purchased several field<br />

artillery pieces from the German manufacturer<br />

Krupp in 1879. Just as this news was<br />

being published, however, news also spread<br />

that the Bofors iron mill in Värmland had successfully<br />

produced a dense and cavity-free<br />

molded steel of the same quality as the forged<br />

cannon steel used by Krupp, the renowned<br />

armaments manufacturer of the day.<br />

The new steel supplied by Bofors, made<br />

according to the so-called Martin process,<br />

was a sensation, endowing the material with<br />

a completely new homogeneity and strength.<br />

Bofors’ new Martin furnace was commissioned<br />

in 1878 and it rapidly turned out<br />

AB Bofors Nobelkrut manufactured explosives for both military and industrial purposes.<br />

Industrial explosives, which were used for blasting through rocks in major engineering<br />

projects such as railway construction, included Bofors Dynamite and Nobel Dynamite.<br />

The company also manufactured Nobelite, a wholly plastic explosive, and Boforsite,<br />

a safety explosive. Key components in these products included nitrocellulose and<br />

nitroglycerin powder, which the Bofors Nobel Explosives Company manufactured for<br />

its own use. Another innovation of the company was flameless powder, for military use<br />

by night – the lack of a flame made it much harder to locate the source of the firing.<br />

more than 200 rear-loading cannon – the<br />

first Swedish cannon to be made of steel. In<br />

1882, Bofors set up its own full-scale plant for<br />

the manufacture of cannon, thus making the<br />

move from steel-making to armaments manufacture.<br />

Setting up a cannon plant was much<br />

more complex than running a steel mill, but<br />

Bofors had an exclusive agreement to supply<br />

the Swedish government, and could produce<br />

cannon that were at least as good as those<br />

made by Krupp but at much lower cost.<br />

The first Bofors cannon<br />

The first order for a cannon from the new<br />

plant was placed by the Swedish navy on<br />

November 20, 1883. This was the initial step<br />

on Bofors’ path to becoming one of the<br />

most notable weapons manufacturers in the<br />

modern world.<br />

Alfred Nobel played a critical role in the company’s<br />

development. He acquired Bofors in<br />

1894 and owned it until his death. Bofors<br />

possessed expertise in metallurgy and<br />

mechanical engineering, while Nobel brought<br />

with him not only much-needed capital, but<br />

also unique chemical and technical skills,<br />

coupled with a vision for the future of armaments<br />

manufacture. An international entrepreneur,<br />

Nobel was never infected by the<br />

intense nationalism that led to a worldwide<br />

wave of re-armament during this period,<br />

but he did have a lifelong fascination for the<br />

technical problems of weaponry. This does<br />

not appear to have been at odds with his<br />

desire for peace. Alfred Nobel wanted to<br />

create weapons that were so effective that<br />

they made war a practical impossibility.<br />

The combination of metallurgical,<br />

engineering and chemical expertise<br />

Arent Silfversparre and Carl Danielsson<br />

played a key role in improving the early<br />

Bofors cannon, making the barrel lighter<br />

and stronger, the firing mechanism faster,<br />

and the complete piece easier to maneuver.<br />

Silfversparre’s most significant innovation


Rolling gunpowder at Bofors at the time when Alfred Nobel turned the<br />

factory into the most important arms manufacturer in Sweden


140<br />

Bofors:<br />

From a rural iron forge to a legendary weapon<br />

The Nobel legacy<br />

was the ogival locking screw. This idea was revolutionary<br />

for its time, and solved the problem of achieving effective<br />

sealing of the rear part of the gun. It was also at this time that<br />

Bofors produced the first artillery piece in which the recoil<br />

was fully absorbed by the carriage.<br />

Many of the ideas that saw the light of day during the<br />

Silfversparre-Danielsson epoch undoubtedly bear the hallmark<br />

of Alfred Nobel. It was, for example, Nobel’s idea that<br />

a gunpowder mill should be established in association with<br />

the artillery industry. This allowed the artillery designer and<br />

the gunpowder manufacturer to develop complete systems<br />

based on metallurgical, engineering and chemical expertise.<br />

The results of this collaboration soon became apparent.<br />

Focus on weaponry – and innovation<br />

All weapons manufacture involves the interplay between<br />

an action and a reaction. For Bofors, this meant the battle<br />

between artillery and armored plate. In 1911, the company<br />

won a contract to deliver both arms and armor for<br />

the Swedish F-boats (a class of submarines). This created<br />

a dilemma, however, for test-firing Bofors artillery against<br />

Bofors armor could never be fully successful. Either the<br />

projectile was so effective that it ruptured the armor, or the<br />

armor was so strong that it resisted the projectile. Both scenarios<br />

occurred and it was not long before Bofors concentrated<br />

on the development of weapons alone.<br />

World War I opened up many significant new markets<br />

for Bofors, only to trigger a crisis once peace came and<br />

demand for new weaponry dried up. But the company was<br />

undeterred. The development of aerial warfare stimulated<br />

the design of new artillery systems that could meet the<br />

threat from the air. Effective battles against armored vehicles<br />

required armor-piercing shells. And warfare was becoming<br />

ever more mobile, which made it necessary to motorize the<br />

artillery pieces themselves. The expertise of the designers,<br />

metallurgists and other specialists was tested to its limits.<br />

The Bofors ® 40 mm gun<br />

Between the world wars, the driving force for Bofors’ revolutionary<br />

designs was Victor Hammar, who, together with<br />

Emanuel Jansson, created the Bofors ® 40mm mobile antiaircraft<br />

gun – the first automatic artillery piece with continuous<br />

loading. The Bofors ® 40mm gun was one of the most<br />

remarkable pieces in the history of weaponry, an archetype<br />

comparable to the Mauser ® rifle, the Colt ® revolver and the<br />

Browning ® machine-gun. The result of 30,000 hours of<br />

design work, it could fire up to 150 rounds per minute, an<br />

incredible rate at that time, and became one of the weapons<br />

that helped determined the outcome of World War II.<br />

The Bofors ® gun was highly mobile. It could be transported<br />

by road at high speed and maneuvered readily in rougher<br />

terrain. The time from transport to firing was shorter than<br />

that of any other piece, as was the time for the exchange<br />

of overheated barrels. The ammunition was also superior<br />

in terms of its effect and reliability. Hundreds of thousands<br />

of the Bofors ® 40 mm gun were manufactured. When the<br />

Bofors factory itself could not meet demand, the gun was<br />

manufactured under license in the purchasing country<br />

– mainly the United States and Great Britain.<br />

The Bofors ® 40 mm gun delivered invaluable service to the<br />

Allied forces in the Mediterranean, in France, and during<br />

fiercely waged battles in the Pacific, where its task was<br />

to provide cover for American naval and invasion forces.<br />

One of its most significant applications was in Britain, where<br />

it played a major role in the successful defense against<br />

German air raids during the Blitz. These night-time aerial<br />

attacks took place over a period of nearly two months, with<br />

several hundred bombers each night dropping their loads<br />

onto London. The Bofors ® gun was also very successful<br />

against ground targets, being praised during the invasion of<br />

Normandy for its rapid fire and accuracy.<br />

In the decades after the World War II, Bofors progressed<br />

from manufacturing artillery pieces to making integrated<br />

defense systems. Transistorization and laser technology<br />

facilitated the development of breakthrough target-seeking<br />

missiles that offered ever greater flexibility and accuracy to<br />

both naval and field artillery. Key innovations included the<br />

Bofors ® turretless tank, a remote-controlled system for<br />

ammunition loading in naval guns, and the Super Lepus ®<br />

– an illumination flare which made it possible for fighter pilots<br />

to discover, identify and attack a target at night as easily as<br />

if it were daylight.<br />

The Bofors scandal and divestment<br />

by Nobel Industries<br />

In 1986, Bofors entered into a contract to provide $1.3 billion<br />

worth of 155 mm howitzers to India. Scandal surrounded<br />

this deal, however. Sweden’s Prime Minister, Olof Palme,<br />

had personally lobbied Indian Prime Minister Rajiv Gandhi<br />

on behalf of Bofors, and when news leaked out of questionable<br />

payments to Indian middlemen to cement the<br />

agreement, Gandhi’s integrity became suspect. Bofors<br />

admitted to making payments of $60 million to unspecified<br />

agents, but the company claimed this money was<br />

“windup costs” paid to its own Indian representatives.<br />

Suspicions that Gandhi, or people close to him, had profited<br />

from the Bofors contract dogged him in his re-election<br />

bid, which he lost in 1989. The managing director of<br />

Bofors, Martin Ardbo, also lost his job in connection with the<br />

Indian contract and allegations that Bofors was involved in<br />

smuggling arms to Iran. In 1991, three years prior to joining<br />

forces with Akzo, Nobel Industries divested Bofors. <strong>Today</strong>,<br />

the company forms part of BAE Systems. Its core competencies<br />

include intelligent munitions, artillery systems,<br />

naval gun mounts, combat vehicle weapon stations and<br />

mine-clearing systems.<br />

The Björkborn Foundation<br />

<strong>AkzoNobel</strong> still plays a role today in keeping the memory<br />

of Alfred Nobel alive. When Nobel Industries sold Bofors in<br />

1991, the management wanted to protect the historic values<br />

of the company. The director’s manor, where Alfred Nobel<br />

lived, and its park in Karlskoga were isolated and placed<br />

in a protected foundation called the Björkborn Foundation.<br />

As one of the founding companies, Akzo Nobel AB, the<br />

Swedish legal entity of <strong>AkzoNobel</strong>, is still represented on<br />

the Foundation’s board and contributes to the running of the<br />

museum at Björkborn Manor. Visitors to Björkborn can go<br />

back in time and imagine what it was like when Alfred Nobel<br />

spent his summers there. They can also see the laboratory<br />

where Nobel continued conducting experiments until his<br />

death in 1896.


Some of the workers at Bofors at the time<br />

Alfred Nobel acquired the company. Nobel’s<br />

huge investment in the Swedish arms industry<br />

was of great importance to the local population<br />

A Bofors ® field gun in action in 1940<br />

141


142<br />

Oscar Carlson (1844–1916), the founder of<br />

Stockholms Superfosfat and the creator of<br />

Sweden’s domestic chemicals industry


The Nobel legacy<br />

Stockholms Superfosfat Fabriks AB was founded in 1871 by Oscar<br />

Carlson, who was managing director from that year until 1916. The company<br />

was set up using capital from, among others, Lars Johan Hierta<br />

– the Swedish liberal publicist, publisher and politician who founded<br />

the newspaper Aftonbladet. Created, as its name suggests, to produce<br />

the fertilizer Superphosphate, Stockholms Superfosfat Fabriks was<br />

to become not only a major industrial player in its own right, but also<br />

the precursor of many important companies currently in <strong>AkzoNobel</strong>’s<br />

Swedish arm.<br />

143<br />

Overview<br />

A growing population – and a growing need for food<br />

A dominating force<br />

Nitrate fertilizers and saltpeter<br />

Years of growth and the end of superphosphate production<br />

Svedopren – Sweden’s own synthetic rubber<br />

A new direction: petrochemicals<br />

From Fosfatbolaget through KemaNobel to Nobel Industries<br />

Focus on paint, adhesives and chemicals


144<br />

Stockholms Superfosfat:<br />

A chemical precursor of many Nobel businesses<br />

The Nobel legacy<br />

A growing population – and a growing need for food<br />

Oscar Carlson’s new enterprise was a direct response to<br />

societal developments of his day. The industrial revolution<br />

had brought with it a major expansion of Sweden’s<br />

population, triggering the need for more effective agri-<br />

culture and thus for artificial fertilizers. Superphosphate<br />

was an important early artificial fertilizer. It also found<br />

application in the manufacture of the heads of safety<br />

matches – another important innovation of the age.<br />

Carlson purchased a site at Gäddviken in Nacka (Stockholm)<br />

and oversaw the construction of a factory for the manufacture<br />

of superphosphate and sulfuric acid. The first<br />

factory, which employed 40 people, was a simple wooden<br />

building which was built on the site of a pitch distillery.<br />

It was destroyed by fire in 1889, to be replaced by a<br />

new brick factory. Carlson’s superphosphate factory was<br />

the first of its kind in Sweden. The company continued to<br />

expand, and new factory premises for the manufacture<br />

of chlorates, calcium carbide (a source of acetylene,<br />

for lighting) and nitrogen lime (another artificial fertilizer)<br />

were constructed, with associated hydroelectric power<br />

stations at several locations, including Månsbo (close to<br />

Avesta) in the 1890s and Trollhättan, and Ljungaverk in the<br />

Medelpad region in 1910–1912.<br />

A dominating force<br />

The official opening of the power station and chemical factories<br />

at the Ljunga plant on September 24, 1912, marked the<br />

start of an important epoch, not only for the plant and its surrounding<br />

area, but also for the Swedish chemical industry as<br />

a whole. With its factories, research laboratories, development<br />

laboratories, and central library, the superphosphate<br />

company was to become famous for chemists and industrial<br />

engineers in Sweden and abroad. A property census<br />

from 1930 gives an impression of what a dominating force<br />

Stockholms Superfosfat was during this era. In addition<br />

to the actual factory and its offices on the Ljungaverk site,<br />

the census lists a manager’s residence, eight supervisors’<br />

houses, two foremen’s houses, 55 workers’ houses, a clinic,<br />

a workers’ canteen, a washing and baking house, a milk<br />

store, a theater, a police office, a morgue, and a pigsty.<br />

Nitrate fertilizers and saltpeter<br />

The Stockholms Superfosfat Library<br />

of Science and Technology<br />

Stockholms Superfosfat Fabriks possessed a significant library of science and technology,<br />

housed initially at its Månsbo plant and transferred to Ljungaverk in 1925 when<br />

the Månsbo plant was sold (two railway trucks were required to remove all the volumes to<br />

Ljungaverk). The library continued to expand, and a large patents section was added.<br />

In the 1960s, it was Sweden’s largest private library of technical literature, including more<br />

It was not only phosphorus that Swedish soils needed.<br />

Nitrogen was also in demand. Two Norwegians, Birkeland<br />

and Eyde, were first to develop a commercial process for<br />

extracting and binding nitrogen from the air. They showed<br />

that nitrogen oxides are formed when air is led between<br />

the electrodes of an electric arc. Nitric acid is formed when<br />

nitrogen oxides are absorbed in water. The nitric acid then<br />

constitutes the starting point for the manufacture of several<br />

nitrogenous fertilizers, known as nitrate fertilizers. Nitric<br />

acid was manufactured by the Norwegian method at the<br />

Ljungaverk site from 1913 onwards.<br />

Another method of using nitrogen from the air is to pass it<br />

over carbide at high temperature. The product obtained is<br />

known as nitrogen lime, which is also a nitrogenous fertilizer.<br />

The manufacture of carbide and nitrogen lime began when<br />

the factory in Ljungaverk was built.<br />

A more efficient process for manufacturing nitric acid soon<br />

became available. Fritz Haber, later awarded the Nobel Prize<br />

in 1918, discovered a method of producing ammonia from<br />

nitrogen in the air and hydrogen, using high pressure and<br />

a catalyst. The method was improved by various scientists,<br />

and in 1928 the company purchased the right to use this<br />

method and introduced it at Ljungaverk.<br />

Another major product from Ljungaverk was Ljunga Saltpeter,<br />

which is a mixture of ammonium nitrate and ground limestone.<br />

Ljunga Saltpeter became a recognized product for<br />

Sweden’s farmers – even today the word “Ljunga” remains<br />

for many of them a synonym for artificial fertilizer.<br />

Years of growth and the end of<br />

superphosphate production<br />

Demand for products from Stockholms Superfosfat<br />

Fabriks AB grew during World War I due to the collapse<br />

of kerosene and saltpeter imports. The Swedish government<br />

was encouraging industry to grow, the cost of capital<br />

was low, and credit was readily available from the banks.<br />

Under the management of Birger Carlson, who took over as<br />

general manager in 1917 following the death of Oscar<br />

Carlson, Stockholms Superfosfat embarked upon a very<br />

expansive growth strategy. This involved, among other<br />

steps, the establishment of a factory for metallic natrium in<br />

Porjus – in the far north of Sweden – and the acquisition of<br />

a carbide and lime nitrogen plant in Alby, not far from<br />

Stockholm. Among the more notable events of this<br />

period was the acquisition of the majority of the shares<br />

in Nitroglycerin Aktiebolaget. On November 13, 1918<br />

– two days after the Armistice brought World War I to an<br />

end – a letter arrived at the head office of Nitroglycerin<br />

Aktiebolaget stating that, “as you are probably aware, the<br />

than 10,000 bound volumes and approximately 20,000 periodicals of various types.<br />

<strong>Today</strong>, only a small portion remains, but even so, it is still one of the largest private technical<br />

libraries in Sweden. The shelves today retain many of the volumes that were moved to<br />

Ljungaverk from Månsbo and consist mainly of German literature from around the turn of<br />

the 20th century, bound in beautiful leather and graced by the exclusive Månsbo ex libris.


Stockholms Superfosfat:<br />

A chemical precursor of many Nobel businesses<br />

The Nobel legacy<br />

undersigned company has acquired the majority of the shares<br />

in Nitroglycerin AB.” Rumors to this effect had in fact been circulating<br />

as early as December 1917. At the time, Stockholms<br />

Superfosfat officially denied these claims, but they were probably<br />

already a major shareholder and continued to purchase<br />

shares. On November 28, 1918, an extraordinary shareholders’<br />

meeting took place at the request of Stockholms<br />

Superfosfat Fabriks AB and a new board was appointed for<br />

Nitroglycerin Aktiebolaget.<br />

However, as a direct consequence of the resumption of<br />

imports after the war, the company experienced an<br />

acute economic crisis which necessitated a restructuring of<br />

operations. Manufacture of superphosphate was stopped<br />

in 1929, although the company retained its name – as well as<br />

its ability to create alternative products.<br />

Svedopren – Sweden’s own synthetic rubber<br />

The trade barriers to which Sweden, as a neutral power,<br />

was subject during World War II caused shortages of many<br />

goods. One of these was natural rubber. DuPont in the<br />

United States had published a method for the production of<br />

synthetic rubber, with the scientific name polychloroprene.<br />

This came to be popularly known as Neoprene. Scientists in<br />

the Soviet Union, meanwhile, were working on an equivalent<br />

product, known as Sovpren.<br />

The industrial committee set up by the Swedish government<br />

had the task of ensuring Sweden’s supply of industrial<br />

products during the war. The committee consulted<br />

Uppsala University, where 1926 Nobel Prize winner Theodor<br />

(“The”) Svedberg was professor of physical chemistry.<br />

He was charged with the task of developing a process<br />

for the manufacture of a synthetic rubber which used<br />

Swedish raw materials. Laboratory experiments were conducted<br />

at the department, which led to manufacture on a<br />

pilot scale. Once the pilot studies were complete, it was<br />

the turn of Stockholms Superfosfat Fabriks AB to step in.<br />

Acetylene from carbide was one of the key ingredients,<br />

and by midsummer in 1944 the manufacture of Svedopren<br />

was ready to start at Ljungaverk.<br />

The manufacture of melamine and carbamide-based<br />

plastics also commenced during the 1940s. These products<br />

were used to make laminated products and plywood<br />

glue. Production of basic plastics (PVC) based on calcium<br />

carbide began in 1945, and was to continue until 1988.<br />

In the 1950s, the company went on to develop the synthetic<br />

fiber polyacrylic nitrile, which was marketed for a number<br />

of years under the name Tacryl. Other important products<br />

of the second half of the 20th century included chlorate<br />

(1960), phenol and urea resins, fatty amines, and Expancel ®<br />

(a foam polymer, launched in 1980). The production of<br />

fertilizers was discontinued in 1972.<br />

A new direction: petrochemicals<br />

During the 1950s, the Wallenberg industrial empire, through<br />

its company Stora Kopparberg, acquired a significant<br />

owner-interest in Stockholms Superfosfat Fabriks AB. This<br />

led to a radical restructuring of production. The manufacture<br />

of nitrogen lime was terminated in 1963, and the<br />

company’s focus during the 1960s was directed to<br />

petroleum as a raw material. The company became one<br />

of the major stakeholders in the petrochemicals complex<br />

which was built up around Stenungsund. Net sales grew<br />

during the 1960s and 1970s by approximately 20 percent<br />

year on year, with the number of employees growing from<br />

around 2,000 to more than 7,000 during the same period.<br />

From Fosfatbolaget through KemaNobel to<br />

Nobel Industries<br />

The company grew through a series of acquisitions in the<br />

post-war era, including those of Liljeholmens Stearinfabrik<br />

(1947), Casco (1964), Stockholms Benmjölsfabrik (1966),<br />

Barnängen (1970) and Nitro Nobel (1977) and Nordsjö (1982).<br />

The name of the company was changed in 1964 to<br />

Fosfatbolaget AB, and again in 1970 to KemaNord AB.<br />

Following the complete acquisition of Nitro Nobel in<br />

1977, the company’s name was changed again, in 1978,<br />

to KemaNobel.<br />

The crisis in the petrochemicals market in the late 1970s<br />

and early 1980s, however, led to a significant drop in profits<br />

and a decrease in the stock market value of KemaNobel.<br />

The Wallenberg empire sold its shares in KemaNobel<br />

to financier Erik Penser in the autumn of 1984, and<br />

Penser absorbed the company into the newly formed<br />

Nobel Industries AB, which was created in 1984 through<br />

the acquisition of KemaNobel by what was at the<br />

time Bofors AB. KemaNobel had about 7,200 employees<br />

at takeover and manufactured, among other operations,<br />

PVC plastic and bleaching agents (KemaNobel itself),<br />

civil explosives (Nitro Nobel), glue and paint (Casco,<br />

Nordsjö), consumer goods (Barnängen, Sterisol, and other<br />

companies) and specialty chemicals (KenoGard).<br />

Erik Penser had become principal owner of AB Bofors and<br />

KemaNobel AB using complex and creative shareholder<br />

constructions. These were financed by high-risk loans and<br />

were centered on the holding company Yggdrasil AB, with<br />

the investment companies Carnegie and Asken acting as<br />

conduits. Nobel Industries expanded in subsequent years<br />

through the acquisition of companies such as Eka Nobel<br />

AB in 1986, the Danish paint and coatings group Sadolin<br />

& Holmblad A/S in 1987, Berol Kemi AB in 1988, and the<br />

British paint company Crown Berger Ltd. in 1990.<br />

Focus on paint, adhesives and chemicals<br />

Nitro Nobel AB, which had been a part of the original<br />

KemaNobel, was sold in 1986. Following the sale of Bofors<br />

AB in 1991 and the sale of the consumer goods division<br />

Nobel Consumer Goods AB in 1992, the main products of<br />

Nobel Industries became paint, adhesives and chemicals for<br />

use in the cellulose and paper industry.<br />

Erik Penser lost control of Nobel Industries during the financial<br />

crisis of the early 1990s, and the company became<br />

– somewhat controversially – the property of Nordbanken.<br />

Restructuring subsequently led to ownership being transferred<br />

to the state-owned Securum bank, which sold the<br />

shares in 1994 to Akzo. The company name was changed to<br />

Akzo Nobel N.V. after the merging of Nobel’s operations with<br />

those of Akzo. During its final year of independence, Nobel<br />

Industries employed approximately 20,000 people and its<br />

net sales amounted to approximately SEK 23 billion.<br />

145


146<br />

Stockholms Superfosfat’s site at Månsbo,<br />

Sweden, in 1895


Fosfatbolaget produced melamine under<br />

the brand name Mepal. One of the more highprofile<br />

uses of Mepal was for Scandinavian<br />

Airlines’ in-flight dinner service<br />

147


148<br />

Rudolf Lilljeqvist (1855–1930), a civil engineer<br />

who became a pioneer of electrochemistry


The Nobel legacy<br />

Eka – or Elektrokemiska Aktiebolaget, to give the company its original<br />

name – was the brainchild of the civil engineer Rudolf Lilljeqvist. Having<br />

worked abroad as a bridge constructor in London and Paris, Lilljeqvist<br />

returned to his native Sweden in his forties with the aim of setting up a<br />

profitable company which would afford him an independent position in<br />

life. It may seem strange to reflect that a pioneering company in electrochemistry<br />

should have been created by a civil engineer, but Rudolf<br />

Lilljeqvist was a visionary. A century before the successful completion of<br />

the Channel Tunnel linking England and France, he proposed building an<br />

“underwater bridge” between Sweden and Denmark at a cost of SEK 12<br />

million. The idea was turned down; Lilljeqvist simply reacted by redirecting<br />

his attention to a different entrepreneurial field, that of electrochemistry.<br />

149<br />

Overview<br />

From experimentation to venture capital<br />

Teething troubles<br />

Moving to Bohus<br />

Innovation in the 1970s<br />

The environmental impact of chlorine<br />

Hydrogen peroxide: a substitute for chlorine in the bleaching process<br />

Increasing market orientation<br />

New bleaching technologies: Lignox ® and ECF<br />

Compozil ® – A revolutionary paper chemicals system<br />

Compozil ® succeeds in the marketplace<br />

Eka today


150<br />

Eka:<br />

A world leader in electrochemistry<br />

The Nobel legacy<br />

Eka’s first female trainee<br />

“Now there has been a female trainee in the workshop. As far as<br />

we know, this is the first time a woman dressed in overalls has<br />

worked in our electric workshop. We asked her what it felt like to<br />

be the only woman among so many male colleagues. She felt that<br />

it had worked very well. No complication whatsoever had occurred<br />

– and how could it, as they were all gentlemen, she commented.”<br />

EKA staff magazine, 1965<br />

From experimentation to<br />

venture capital<br />

At the end of the 19th century, Sweden<br />

was importing large quantities of chloride<br />

of lime, which was used for bleaching and<br />

disinfection. Lilljeqvist decided to manufacture<br />

the product in Sweden. He acquired an<br />

option on the purchase of a waterfall near<br />

Bengtsfors, in the west of Sweden, to generate<br />

hydro-power for a chlor-alkali plant,<br />

and – in collaboration with G.E. Cassell,<br />

an assistant lecturer in Electrochemistry<br />

at Stockholm University – embarked on a<br />

series of experiments into the production<br />

of chloride of lime. Cassell issued a certificate<br />

to the effect that the experiments,<br />

conducted in a Stockholm basement, had<br />

been satisfactory – and Lilljeqvist went off<br />

in search of the SEK 300,000 that he calculated<br />

was necessary to set up an electrochemical<br />

company.<br />

Lilljeqvist was advised to contact the entrepreneurial<br />

inventor-industrialist Alfred Nobel<br />

for funding. Nobel was greatly impressed by<br />

his new acquaintance (whom he was later to<br />

nominate as co-executor of his will) and provided<br />

SEK 100,000 for the venture, on the<br />

proviso that the remainder be found elsewhere.<br />

The money was duly raised and on<br />

August 9, 1895, the Articles of Association<br />

for Elektrokemiska Aktiebolaget were approved<br />

by the Swedish government.<br />

Teething troubles<br />

Enlisting the British engineer William Glover<br />

to provide chemical engineering expertise,<br />

Lilljeqvist set up a factory with 24 electrolysis<br />

vessels – which promptly exploded on<br />

being commissioned. “In an inexplicable and<br />

so far unfathomed way,” wrote the Board<br />

of Directors in their annual report for 1897,<br />

“ignition took place of the mixture of chlorine<br />

gas and hydrogen gas which existed in the<br />

cells and the pipes, with the result that the<br />

lids covering the anode chambers as well<br />

as live metal hoops and straps were more<br />

or less destroyed. This damage is not, however,<br />

of any major importance. On the other<br />

hand, all the glazed clay pipes, which form<br />

the outer supply mains to the chlorine chambers,<br />

were shattered.” Undeterred, Lilljeqvist<br />

pressed on. Despite many teething troubles,<br />

the company was by 1899 able to produce<br />

150 tons of lye and 110 tons of chloride of<br />

lime. The products attracted positive attention<br />

in view of their unusually high levels<br />

of purity.<br />

Dividends were first paid to shareholders<br />

in 1902. The company branched out<br />

into the production of potassium hydroxide<br />

and caustic soda (1905) and soft soap<br />

(1910) – although the latter product under-<br />

cut the soap manufacturers who were<br />

Elektrokemiska Aktiebolaget’s customers,<br />

forcing the company to abandon production.<br />

Moving to Bohus<br />

Because of high freight and reloading<br />

costs and the poor energy supply at the<br />

Bengtsfors plant, operations were closed<br />

in 1924. A new company trading under the<br />

same name, Elektrokemiska Aktiebolaget<br />

(abbreviated as EKA) – commenced operations<br />

on a site at Bohus, 17 km north of<br />

Gothenburg, which it took over from the<br />

recently bankrupt Kvävebolaget. Despite<br />

the new Bohus plant, profits remained slim<br />

and the company still had a long way to go<br />

before it generated significant stable returns.<br />

Dividend payments were suspended during<br />

this phase of consolidation, recommencing<br />

only in 1934. (Rudolf Lilljeqvist, however, did<br />

spend his latter years in retirement abroad,<br />

thus achieving his original aim of an independent<br />

existence. Tragically, he disappeared<br />

during a visit to the power station at<br />

Bengtsfors in 1930. It was assumed he had<br />

fallen and drowned when making observations<br />

along the rapidly flowing stream.)


The melting of chemically pure alkali at<br />

Bengtsfors at the beginning of the 20th century


152<br />

Eka:<br />

A world leader in electrochemistry<br />

The Nobel legacy<br />

EKA expanded its product range during the 1930s to<br />

include hydrogen peroxide (1935), liquid chlorine (1936),<br />

sodium perborate (1936), metasilicate (1937) and carbon<br />

disulphide (1939). Following World War II – when large<br />

quantities of chloride of lime were produced as an emergency<br />

measure for decontaminating mustard gas in the<br />

event of a state of war – a new hydrogen peroxide plant<br />

was built (in 1948), a new ammonia plant (in 1956) and a<br />

new headquarters (in 1960).<br />

Innovation in the 1970s<br />

By 1972, the company was turning over SEK 80 million a<br />

year. This was to rise to more than SEK 5 billion by 1994<br />

– and was almost entirely attributable to chlor-alkali production.<br />

In the intervening years, the pulp and paper industry<br />

had expanded greatly, generating huge demand for chlorine<br />

and lye, whilst increased demand for machine washing<br />

agents created a growing market for another of the company’s<br />

products, metasilicates. And a new President,<br />

J.G. Montgomery, had revitalized a company which<br />

had brought few innovations to market in recent times.<br />

Montgomery made staff cuts, brought in new, young engineers,<br />

and unleashed an innovation drive based on identifying<br />

and helping to solve customer’s problems. “Especially<br />

the new engineers in white coats caused irritation, and we<br />

involved ourselves with an information campaign aimed at<br />

informing the staff that the engineers were needed in order<br />

for us to have an opportunity to develop,” Montgomery later<br />

commented. “But the campaign went into the waste paper<br />

basket, as the engineers became accepted before the information<br />

material was ready.”<br />

The environmental impact of chlorine<br />

Chlorine, meanwhile, was becoming a problem for the<br />

company because of its negative environmental impact –<br />

the poisonous heavy metal mercury was being used in<br />

chlorine manufacture. Large discharges of mercury into the<br />

river Göta Älv were uncovered in the 1960s, and even the<br />

building of a new “mercury-proof” factory in 1970 failed to<br />

alleviate the problem. Under intense pressure from local residents,<br />

the Water Board and the Swedish National Franchise<br />

Board for Environmental Protection, EKA was forced to<br />

undertake an intensive program of environmental measures<br />

from 1972 to 1976. The company needed to supple-<br />

ment chlorine manufacture with new, less environmentally<br />

harmful products.<br />

Hydrogen peroxide: a substitute for chlorine in<br />

the bleaching process<br />

In the early days of pulp manufacture, the bleaching agent<br />

commonly used was chlorine. Concerns about the environmental<br />

impact of chlorine bleach, however, led to the search<br />

for less environmentally harmful substitutes, culminating in<br />

the complete elimination of chlorine for pulp bleaching in<br />

Sweden by 1994.<br />

EKA was fortunate to already have an environmentally sound<br />

alternative bleaching agent in the form of hydrogen peroxide.<br />

When the company started production of hydrogen<br />

peroxide by electrolysis in the mid-1930s, it was primarily to<br />

supply the Swedish textile industry with a bleaching agent.<br />

During World War II, the Swedish Defense Forces started to<br />

take an interest in hydrogen peroxide, which was used at<br />

the time as a propellant for torpedoes. Civil applications for<br />

the compound also increased, and the period up to 1962<br />

saw the construction of four new factories, all based on the<br />

electrolytic method. Although it invested in plant, EKA did<br />

not, however, have a proprietary manufacturing process for<br />

hydrogen peroxide, but licensed it in instead.<br />

Increasing market orientation<br />

In the early 1970s, the pulp industry started to take an<br />

interest in hydrogen peroxide as an environmentally less<br />

harmful bleaching agent. During this same period, EKA<br />

changed from being a company with a production-oriented<br />

focus to one with a market-oriented focus. A drive began<br />

to market hydrogen peroxide for the bleaching of mechanical<br />

pulps. At the beginning of the 1980s, hydrogen peroxide<br />

also started being used for bleaching chemical pulp.<br />

Demand for the product grew, as ever stricter regulations<br />

governing environmentally hazardous emissions paved the<br />

way for a significant expansion of this less harmful alternative<br />

to chlorine.<br />

At the same time, EKA had acquired the expertise necessary<br />

to support its pulp mill customers and make an<br />

active contribution in the form of tests and trial runs in<br />

their mills. The company invested heavily in the production<br />

of hydrogen peroxide and eventually developed its own<br />

manufacturing process.<br />

New bleaching technologies: Lignox ® and ECF<br />

To improve the bleaching process for chemical pulp and<br />

reduce its environmental impact, later the company developed,<br />

in partnership with Aspa Mill, a new bleaching technology.<br />

Known as the Lignox ® method, the technology, based<br />

on the use of hydrogen peroxide and chelating agents, made<br />

it possible to eliminate emissions of chlorine pollutants from<br />

the bleaching process – a significant breakthrough. Moreover,<br />

it soon became evident that bleaching with an elemental chlorine-free<br />

process, ECF, using chlorine dioxide, was the best<br />

practice in terms of quality, cost and environmental considerations.<br />

This process formed the basis for the company’s<br />

expansion during the 1990s. <strong>Today</strong>, nearly all pulp mills in the<br />

world use oxygen, hydrogen peroxide and chlorine dioxide<br />

and have abandoned bleaching with chlorine gas. The result<br />

is environmentally compatible pulps with high brightness and<br />

no toxic chlorinated pollutants in the wastewater.<br />

The largest use of hydrogen peroxide today is in the bleaching<br />

of mechanical and chemical pulp and recycled paper. It is also<br />

used in chlorine dioxide generation, for surface treatment in<br />

the metal industry, for cleaning of wastewater, for disinfection,<br />

and in textile bleaching.<br />

Compozil ® – A revolutionary paper<br />

chemicals system<br />

Another breakthrough product for the company was<br />

Compozil ® . Throughout the 1970s, Eka carried out extensive<br />

R&D work in very diverse fields. An R&D team conducted<br />

research into silica on the hypothesis that it might act as a<br />

strengthener in some situations. The team discovered that<br />

the amount of plastic that has to be added to wallpaper can<br />

be reduced if a small quantity of silica is also added. Other<br />

laboratory tests involving silica were made on textiles, car<br />

mats and various types of paper.<br />

The year 1979 brought with it two events of note. One was<br />

a simplification of the company name from Elektrokemiska<br />

Aktiebolaget to Eka AB, making use of what had previously<br />

been the abbreviation of the company’s name. The other<br />

was a breakthrough of immense significance, such that it<br />

laid the foundations for the creation of a paper chemicals<br />

division within the company. Eka’s researchers discovered<br />

that the combination of cation starch and silicon produced<br />

surface chemical effects that resulted in a fixed bonding of<br />

paper fibers and that these fibers could therefore be used


Workers employed by EKA at Bohus in 1928. Some came from Kväveindustri,<br />

while others relocated with the company from Bengtsfors


154<br />

Eka:<br />

A world leader in electrochemistry<br />

The Nobel legacy<br />

to bond fillers such as chalk and clay. A revolutionary new<br />

paper chemicals system had been created. It was given<br />

the name Compozil ® .<br />

Titanium dioxide was commonly used as a filler in the production<br />

of paper fiber. However, titanium dioxide leached<br />

into the wastewater system, creating pollution. When Eka<br />

experts added Compozil ® to the mix, it ensured excellent<br />

adhesion, and the levels of titanium dioxide in the wastewater<br />

fell substantially.<br />

The action of Compozil ® also increased retention, meaning<br />

that when fibers and filler were bound together, they stayed<br />

in the paper on the paper-making machine, rather than being<br />

drained away with the water when that was removed. This<br />

cut wastage of both paper fibers and filler. At the same time,<br />

the new product also improved the dewatering process,<br />

reducing the energy required to dry the paper. The use of<br />

Compozil ® improved the cost-effectiveness of production,<br />

while at the same time delivering stronger paper.<br />

Compozil ® succeeds in the marketplace<br />

Production of Compozil ® started in 1980, but the market<br />

initially viewed Eka’s innovation with some skepticism. It was<br />

not until 1989 that the new product achieved a real breakthrough<br />

on the European market, with success in the U.S.<br />

market coming three years later.<br />

The launch of Compozil ® also required the provision of sophisticated<br />

technical support on the part of Eka, because the use<br />

of the product had to be customized to suit widely differing<br />

paper machines. Compozil ® ’s original strength was in the area<br />

of wood-free paper and cardboard grades based on chemical<br />

pulp. Over time, however, the Compozil ® system was further<br />

developed for use with wood-containing and recycled fiberbased<br />

paper products.<br />

By 1994, the Compozil ® system was being used at 168<br />

mills worldwide, which between them produced around<br />

12 million tons of paper a year. Of these, 61 percent was<br />

fine paper, 19 percent cardboard and 15 percent liner.<br />

Eka was acquired by Nobel Industries in 1986, which<br />

was in turn acquired by Akzo in 1994. Eka thus became a<br />

business unit of Akzo Nobel, and Compozil ® gained the<br />

opportunity to enter many more new markets via its new<br />

parent company.<br />

Eka today<br />

Eka Chemicals today is <strong>AkzoNobel</strong>’s Pulp & Paper<br />

Chemicals business unit. It is the world’s leading producer<br />

of bleaching chemicals used in the manufacture of paper<br />

pulp. Eka also supplies process chemicals and performance<br />

chemicals that improve the properties of paper, as<br />

well as systems and integrated services for the pulp and<br />

paper industry, in all pulp- and paper-making regions in<br />

the world. Besides pulp and paper activities, Eka also produces<br />

specialty chemicals used in areas such as water<br />

treatment, electronics and separation products for the<br />

pharmaceutical industry.


EKA’s electrolysis hall at Bohus for the<br />

production of hydrogen peroxide in the 1950s<br />

155


156<br />

Manual preparation of pigments for making into paint. The mechanization<br />

of such processes in the 19th century facilitated far-reaching changes in<br />

many areas of industrial paint manufacture


The Nobel legacy<br />

“Take two lots of Brazilian spoon, half a lot of white lead and half<br />

a lot of alum. Mix these together, place enough wood on top for the<br />

material to become hidden, and allow to stand out for three days.<br />

Mix and stir three or four times a day, then sew a dress from it and add a<br />

glazing mixture…”<br />

157<br />

Overview<br />

Domestic cultivation of dyestuff plants<br />

The switch to oil seed and the move into paints<br />

G.A. Sadolin: An artist and entrepreneur<br />

Independent production of raw materials<br />

Quick-drying paints and modern industrialization<br />

Post-war expansion<br />

The BT Kemi scandal<br />

Incorporation into Akzo Nobel


158<br />

Sadolin:<br />

The union of paint and enamel<br />

The Nobel legacy<br />

This recipe for textile-dye manufacture dates from the<br />

middle of the 17th century. Such methods were still in<br />

use during the Rococo period more than 100 years later,<br />

in 1777, the Danish dyer Jacob Holmblad was granted<br />

Royal Privilege and built a new dye house on Sølvgade<br />

in Copenhagen. Before setting up on his own, Jacob had<br />

been head of the dye works at the military clothing factory<br />

known as “Guldhuset.” In those days, the majority of<br />

the population still wore undyed clothes in grayish tones.<br />

For those whose status justified colored garments, dyes<br />

were extracted from madder and woad, stinging nettle,<br />

cat’s claw, equisetum, ox eye, plumeless sawwort, birch<br />

leaf and berberis bark, along with certain animal-based<br />

products. Simple mineral products and acids were<br />

also used, especially urine. The dying process used at that<br />

time was essentially the same as during the Middle Ages.<br />

Domestic cultivation of dyestuff plants<br />

Although domestic cultivation of madder and woad (the<br />

starting materials for madder red and indigo blue dyes,<br />

respectively) had not been successful in Denmark, Jacob<br />

Holmblad saw it as the key to developing his dyeing business.<br />

Assisted by his son Lauritz, he therefore imported<br />

mother plants and began to cultivate madder and woad.<br />

A drying house and a horse mill were also constructed for<br />

grinding. By the time of Jacob’s death in 1806, the Holmblad<br />

company was producing 3,000 pounds of madder and<br />

150 pounds of woad annually. In a single year, they had<br />

planted no fewer than 500,000 plants. The English assault<br />

on Copenhagen in 1807 disrupted this production of<br />

dyestuff plants and caused substantial losses to the<br />

Holmblad company but, nonetheless, cultivation continued<br />

for several years thereafter.<br />

This marked the beginning of industrialized dyestuff manufacture<br />

in Denmark. The production of paints, however,<br />

was still very much the business of individual painters, who<br />

mixed their own colors on a flagstone or, when available,<br />

in a funnel-shaped hand mill. The range of pigments for<br />

oil-ground colors was severely limited, comprising chiefly<br />

white lead, red lead, cinnabar, French blue, and natural<br />

earthen colors such as red and yellow ochre and chalk.<br />

Plant-based pigments were also used to achieve certain<br />

colors. Painters, moreover, produced their own varnish and<br />

siccative (drying agent) by cooking linseed oil together with<br />

red lead and brownstone. This process of cottage manu-<br />

facture was to be made redundant by the industrialization<br />

of paint manufacture, which became firmly established by<br />

the middle of the 19th century.<br />

The switch to oil seed and the move into paints<br />

Despite initial successes, a combination of factors eventually<br />

rendered the cultivation of dyestuff plants in Denmark economically<br />

unviable. Lauritz Holmblad therefore immersed<br />

himself in the growing and milling of oil seed, which became<br />

the basis for a new range of oil-based colors launched in<br />

1819. Denmark’s first real paint factory had been established.<br />

Although initially skeptical, Danish painters found<br />

the factory-produced colors better than the results of their<br />

own unsophisticated methods, and the Holmblad company<br />

flourished. A chalk-boiling factory was constructed in 1834<br />

and a varnish-boiling factory in 1836 as the company’s<br />

product range expanded. In 1861, P.L. Holmblad, the last of<br />

the Holmblad dynasty, built Denmark’s first enamel manufacturing<br />

plant. Manufacture of all product lines was to be<br />

consolidated in Holmbladsgade, Copenhagen, approximately<br />

40 years later.<br />

G.A. Sadolin: An artist and entrepreneur<br />

Meanwhile in 1907, the young Gunnar A. Sadolin founded<br />

Sadolins Farver, a company specializing in artists’ paints and<br />

printing inks. Originally a painter, Sadolin was interested in the<br />

industrial manufacture of improved colors for artists. Inspired<br />

by the Danish industrial leader Alexander Foss – who campaigned<br />

for Denmark’s industry to compete against foreign<br />

companies and make itself independent of foreign imports<br />

and expertise – Gunnar and his brother, Knud Sadolin,<br />

merged their new company with the Holmblad company in<br />

1912 and set in motion a process of large-scale renewal of<br />

what was henceforth known as Sadolin & Holmblad. This<br />

union of Denmark’s paint and enamel industries was to<br />

prove a source of enormous strength in years to come.<br />

Independent production of raw materials<br />

Sadolin & Holmblad broke away from the old Holmblad<br />

traditions early on so that they could produce raw materials<br />

and semi-finished products themselves. This strategy<br />

proved highly significant. As early as 1923, the company<br />

undertook fabrication, not only of mineral colors, but also of<br />

synthetically produced organic pigments or color lacquers<br />

for the company’s steadily increasing production of colored<br />

printing inks. When this branch of the company’s activity<br />

– after numerous expansions – split off as its own company<br />

(“Kemisk Værk Koge A/S”) in 1935, Scandinavia got its first<br />

true coloring agent factory – in the face of much criticism<br />

from observers who thought it impossible to establish such<br />

an industry in direct competition with the raw materials<br />

industry of the large industrial countries of the day.<br />

Quick-drying paints and modern industrialization<br />

The company’s sales increased steadily despite World War I<br />

and its difficult aftermath, and new products were added<br />

to the Sadolin & Holmblad range: rust protection coatings,<br />

marine paint, finished oil paints, precipitated mineral colors<br />

and colored enamel, nitrocellulose enamel and dry paint.<br />

Increasing industrialization placed very strenuous and specialized<br />

demands on the products made by a number of<br />

industries at the time. It was necessary, for example, to have<br />

many entirely new types of enamel that could dry rapidly<br />

enough for enameling to take place without creating a bottleneck<br />

during the production cycle. Indeed, industrial massproduction<br />

would have been impossible without modern<br />

quick-drying industrial paints. Sadolin & Holmblad set up a<br />

central research laboratory in 1931 and made various acquisitions<br />

during the ensuing decade. The significant growth of<br />

the 1930s was interrupted, however, by the advent of World<br />

War II, which almost put a stop to the company’s exports.<br />

Post-war expansion<br />

Soon after the end of the war, however, Sadolin &<br />

Holmblad’s export business was reactivated, and its<br />

staff traveled all over the world. The company expanded<br />

through the inauguration of its first production plant in<br />

Stockholm, Sweden, in 1946; operations were also set up<br />

in Norway and Switzerland in the same year. Explosive<br />

growth took place both geographically and in areas of<br />

specialization. An international division was established in<br />

1956, and manufacturing rocketed – especially in France,<br />

Finland, Turkey, and Cyprus. Around this time, Sadolin &<br />

Holmblad merged with Lars Foss Kemi A/S in Fredensborg<br />

and entered the markets in the East, United States and<br />

Africa, becoming the world’s second largest exporter of


The Sadolin & Holmblad management team outside the company’s head<br />

office in Holmbladsgade, Copenhagen, during the 1920s<br />

159


160<br />

Sadolin:<br />

The union of paint and enamel<br />

The Nobel legacy<br />

paint. Besides the oil-ground colors, stains and clear<br />

varnishes generally used by painters, the company’s<br />

product portfolio by now included special rust protection<br />

coatings, anti-fouling paints, baking varnishes, car<br />

varnishes, printing inks, newspaper inks, offsetprinting<br />

colors, litho-inks, copperplate inks, insulating<br />

varnishes, ceramic glazes, metal foil enamels, tube<br />

varnishes, yacht varnishes, furniture varnishes, leather<br />

enamels, specialty varnishes for breweries, wallpaper<br />

paints, hat varnishes, toy paints, tin varnishes and oven<br />

varnishes. Growth also occurred via a series of mergers<br />

and acquisitions in the post-war years. A divisional<br />

structure was established in 1974, organizing the Group<br />

companies into divisions according to product<br />

types, with a Group management and with central<br />

development laboratories for both paints and printing<br />

inks in Denmark. The creation of a chain of independent<br />

paint shops trading under the name of Sadolin Farveland ®<br />

followed in 1975.<br />

The BT Kemi Scandal<br />

A dark chapter in the organization’s history occurred the<br />

following year, however, when Sadolin & Holmblad became<br />

known as the ultimate parent of a company responsible<br />

for the worst environmental disaster to have occurred in<br />

Enamel – an ancient technology<br />

with modern applications<br />

the Nordic region in those times: the BT Kemi Scandal.<br />

The heavy polluting BT Kemi factory in Teckomatorp,<br />

Sweden, was decommissioned in 1977 and dismantled<br />

entirely in 1979. It took the Swedish Government a full<br />

25 years, however, to rectify the harmful effects of the<br />

toxic pollutants that had been dumped by the company.<br />

These events led to the establishment of the concept of<br />

“environmental crime,” first in public debate and then<br />

later in legislation. The BT Kemi scandal is viewed as a<br />

“focusing event” which placed the relationship between<br />

environmental pollution, responsibility, legislation and penal<br />

sanctions firmly on the political agenda. Several commissions<br />

of inquiry were established as a consequence, and<br />

in 1981 the Environmental Protection Act was revised<br />

and environmental crimes included in the Swedish penal<br />

code. Sadolin & Holmblad responded to these terrible<br />

events by becoming the first Danish company to establish<br />

a corporate environmental department and a corporate<br />

environmental policy.<br />

Incorporation into Akzo Nobel<br />

Enamel is a vitreous substance (a mixture of silica derived from quartz or sand, soda<br />

or potash and lead, chemically identical to glass) which is applied as a paste and fused<br />

to metal, ceramic or glass objects by baking it at very high temperatures (up to 1,000<br />

degrees Celsius). This technique gives a durable, chemically resistant and glazed finish,<br />

and cannot burn.<br />

Enamel’s resistant properties have made it suitable for use in many industries where great<br />

durability is required. For example, stoves and cooking pots are enamelled, as are cast-iron<br />

bathtubs and industrial processing equipment such as tanks used in chemical reactors.<br />

The finish can be transparent or opaque after firing. Some commercial oil-based paints<br />

that dry with a shiny, glasslike finish are sometimes called enamel.<br />

In 1984, Sadolin ® Wholesale Center (now Nordsjö ® Farver)<br />

was established in cooperation with some of Denmark’s<br />

biggest paint wholesalers. Three years later, the Swedish<br />

conglomerate Nobel Industries acquired Sadolin & Holmblad,<br />

providing the company with an even wider range of source<br />

materials, technologies and markets on which to draw.<br />

Incorporation into the newly formed Akzo Nobel followed in<br />

1994. Sadolin ® lives on today, as strong as ever, as one of<br />

<strong>AkzoNobel</strong>’s decorative coatings brands.<br />

Blue and green glazed or enameled ceramic and pottery objects are known from Crete as<br />

early as the 13th century B.C. as well as from Egypt, the Middle East and China. Enameling<br />

was later used in Celtic jewelry and Byzantine and medieval art. First made in the 6th century,<br />

“cloisonné” involves first overlaying the object with cell-like metal structures, which<br />

are then filled with different colored enamels and fired. It was used particularly to create<br />

plaques for altarpieces and reliquaries with images of saints. In the 17th century, enamel<br />

portrait miniatures, such as those made by Jean Petitot, became popular at the courts<br />

of Charles I of England and Louis XIV of France. Other famous pieces include the eggs<br />

made of precious metals and decorated with enamel and gemstones created by Peter Carl<br />

Fabergé and his assistants in Russia between 1885 and 1917.


With production facilities situated in the centre of Copenhagen,<br />

Sadolin & Holmblad had to take safety very seriously. A photograph of<br />

the company fire brigade from around the mid-20th century<br />

161


162<br />

Awareness of the Sadolin & Holmblad brand was built through innovative advertising campaigns.<br />

Their cinema commercials − this still is taken from one − predated the age of television commercials<br />

and are still well known in Denmark


Sadolin & Holmblad were always early adopters of new technologies.<br />

This photograph from the mid-20th century shows a production facility<br />

which was highly advanced for the day


164<br />

Founded in 1903, Nordström & Sjögren experienced rapid growth. Taken outside the administrative<br />

office and warehouse at Södra Förstadsgatan, Malmö, in 1922, this photograph features co-founder<br />

Albin Sjögren (in the hat) and Anders Leo (top right), who was years later awarded a medal for<br />

fifty years of service to the firm


The Nobel legacy<br />

Like many companies of its day, the paint company Nordsjö took its<br />

name from its founders – Axel Nordström and Albin Sjögren. The two<br />

friends, who had been envisaging a joint business venture for some time,<br />

set up shop together in Malmö, Sweden, in March 1903. In the splendid,<br />

newly built Valhallahuset on the corner between Gustav Adolfs Torg and<br />

Södra Tullgatan, the store of Nordström & Sjögren presented itself as<br />

Malmö’s most progressive supplier of paints and chemicals.<br />

165<br />

Overview<br />

Ready-mixed paints<br />

Rollable, paintable, sprayable<br />

Color production system<br />

Acquisition by Bayer<br />

The road to Nobel Industries<br />

Incorporation into Akzo Nobel<br />

Environmental awareness


166<br />

Nordsjö:<br />

Technology leader in environmentally-friendly paints<br />

The Nobel legacy<br />

The newly founded business got off to a<br />

brisk start, quickly gaining the favor of<br />

decorators and hardware store owners<br />

alike. The order books were soon bulging,<br />

and by 1907 it became necessary to invest<br />

650 kronor in a horse so as to keep pace<br />

with the stream of deliveries. In the following<br />

year, Nordström & Sjögren relocated<br />

their office and warehouse to Södra<br />

Förstadsgatan 9; the store itself followed<br />

a few years later. A further store was also<br />

opened at Amiralsgatan 15.<br />

Ready-mixed paints<br />

The driver of the company’s growth was<br />

their offering of ready-mixed paints. In<br />

those days, it was still normal for professional<br />

decorators to mix their own paints,<br />

using colored pigments in a base of linseed<br />

oil. Now it became possible to buy<br />

ready-mixed paints from Nordström &<br />

Sjögren. This saved the decorators time<br />

and also guaranteed consistency of color<br />

and quality.<br />

Nordström & Sjögren continued to grow<br />

despite World War I and the economic<br />

crisis of the 1920s, and its network<br />

of branches expanded. Axel Nordström<br />

passed away in 1929 and the company<br />

became a limited company shortly after-<br />

wards, with Albin Sjögren as managing di-<br />

rector. Paint manufacture continued to burgeon,<br />

and in 1933 operations moved to<br />

new premises in the stables and barracks<br />

left vacant after the disbanding of Sweden’s<br />

Hussar Regiment.<br />

Rollable, paintable, sprayable<br />

The year 1937 marked a watershed in<br />

Nordsjö’s development. This was the year in<br />

which the binding agent Bindol ® was introduced,<br />

which allowed paint to be rolled,<br />

painted and sprayed. Nordsjö Bindol ® became<br />

a well-known concept during the 1940s,<br />

and manufacture under license started in<br />

many countries following the World War II.<br />

In 1947, a 40,000 square meter site was<br />

purchased at Sege, just to the northeast<br />

Quick-Drying High Solid (QDHS)<br />

technology<br />

A sales success in recent years has been Nordsjö Tinova ® VX, which is a unique product for<br />

the painting of exterior wood surfaces. Thanks to its patented binding agent – developed by<br />

Akzo Nobel – it does not require any primer.<br />

Nordsjö Tinova ® VX uses water-borne, high-solid technology in place of solvent-borne<br />

technology and has a uniquely high solids content (65 percent). The technology uses<br />

virtually no volatile organic compounds (VOCs) and therefore complies with stringent new<br />

VOC regulations introduced by the European Union in 2004. In addition, Tinova ® VX’s high<br />

solids content means that only two coats are required for complete coverage instead of<br />

the usual three. Furthermore, the product’s distinctive small molecular structure allows the<br />

paint to penetrate deeply into the wood, thereby vastly improving its waterproofing properties.<br />

Tinova ® VX combines protection with high durability – important characteristics for the<br />

demanding Scandinavian climate.<br />

of Malmö, and new premises were erected<br />

there for Nordsjö’s ever-growing paint<br />

manufacturing operations. By this stage<br />

the company was being led by the sons<br />

of the founders, Olle Nordström and<br />

Sven Sjögren.<br />

The company employed more than 100<br />

people by the middle of the 20th century,<br />

and major investment was carried out in the<br />

Nordic countries with the establishment of<br />

subsidiaries. As the factory at Sege was “out<br />

in the sticks”, transport was organized every<br />

morning and evening for the employees<br />

between their homes in Värnhemstorget<br />

and their workplace. Up until 1956 – when<br />

a bus was acquired – they traveled on the<br />

back of a lorry.<br />

Color production system<br />

In the early 1960s, Nordsjö introduced<br />

Tintorama ® , a color production system for<br />

paint. It became an immediate success.<br />

A uniform base paint had small shots of<br />

variously colored additional pigment paste<br />

added to it that gave the paint its final color<br />

after mixing. Tintorama ® meant that paint<br />

retailers could dramatically reduce their<br />

amount of stock, which lifted their profits.<br />

Acquisition<br />

by Bayer<br />

Nordsjö underwent major expansion during<br />

the 1960s. A program in Sweden for the<br />

large-scale production of reasonably-priced<br />

housing (Miljonprogrammet) generated<br />

huge demand for paint. The number of<br />

major paint manufacturers in Sweden at<br />

the time was relatively small. The German<br />

chemicals group Bayer AG purchased 80<br />

percent of the shares in Nordsjö in 1969,<br />

acquiring the outstanding shares five years<br />

later. Several other acquisitions took place<br />

under Bayer’s ownership, and manufactur-<br />

ing operations in Sege expanded. Signi-<br />

ficant resources were invested in research<br />

and development, and new laboratories<br />

were built. By the end of the 1960s, the com-<br />

pany employed more than 400 people.


The Valhallahuset in Malmö, where Nordström & Sjögren opened<br />

an exclusive paint shop in March 1903<br />

167


168<br />

The interior of Nordström & Sjögren’s paint shop in Malmö, 1905


From its very beginnings, Nordsjö was successful, not only at manufacturing paint but also at<br />

distributing it to people who wanted it. Every night, consignments of freshly made paint were<br />

delivered by lorry from the Nordsjö factory to divisional offices and dealers throughout Sweden<br />

169


170<br />

Nordsjö:<br />

Technology leader in environmentally-friendly paints<br />

The Nobel legacy<br />

The road to Nobel Industries<br />

Nordsjö changed hands again in 1982: Bayer divested its<br />

complete holding in the company to Casco AB, which was<br />

part of the KemaNobel group. The following years saw<br />

major organizational change, in association with large-scale<br />

restructuring throughout the wider paint sector. The main<br />

player in the sector was Nobel Industries, which had collected<br />

several of Europe’s leading paint manufacturers under<br />

one umbrella.<br />

Incorporation into Akzo Nobel<br />

Nobel, with Erik Penser at its head, was hit by a financial<br />

crisis in 1990, and Nordbanken came in as owner. In 1994<br />

the Dutch conglomerate Akzo purchased all the shares in<br />

Nobel Industries, and Nordsjö subsequently became part of<br />

Akzo Nobel, one of the world’s leading paint companies.<br />

Operations at Sege have continued to expand under<br />

Akzo Nobel’s management. The company was given its current<br />

name, Akzo Nobel Decorative Coatings AB, in 1999,<br />

but the paints themselves continue to be sold under the<br />

trademarks Nordsjö ® , Nordsjö ® -Sadolin ® and Cuprinol ® .<br />

Akzo Nobel Industrial Coatings AB is also located in Sege.<br />

This company has its origins in the industrial coatings<br />

sector, which was formed as early as 1957. <strong>Today</strong> it manufactures<br />

paints and finishes for the wood finishing industry.<br />

Environmental awareness<br />

Care for the environment has always been high on Nordsjö’s<br />

agenda. The installation of a purification plant for process<br />

water and an incinerator for solvents resulted in a 90 percent<br />

reduction in the 1990 levels of emissions of both process<br />

water and organic solvents. In 1996, Nordsjö was the first<br />

European manufacturer to be granted the right to use the<br />

EU Flower, an environmental label, and in 1997 it was the<br />

first Swedish paint manufacturer granted the right to use the<br />

symbol of the Swedish Asthma and Allergy Association.<br />

At Sege today, paint is manufactured for professional use,<br />

for the DIY market, and for the wood finishing industry.<br />

The factory is the largest paint production plant in the<br />

Nordic region, producing 57 million liters in 2005, of<br />

which just over 50 percent was exported. Approximately<br />

560 people are employed at Sege, while a further 140<br />

employees work for the wholly-owned subsidiary Nordsjö Idé<br />

& Design stores, which has branches throughout Sweden.


The Nordsjö staff canteen on the Malmö site around 1960


172<br />

Bengt Hedström testing adhesives in Nacka, Stockholm


The Nobel legacy<br />

The foundation of Casco starts with a journey. Lars Amundsen –<br />

a descendant of the Norwegian polar explorer Roald Amundsen – spent<br />

some time in Argentina in the 1920s. Here, he encountered casein glue,<br />

a natural adhesive derived from dried milk curds, animal hides and<br />

bones, and lime. Casein is effective at both cold and hot temperatures,<br />

making it suitable for use in many different situations. Moreover, casein’s<br />

drying time can be controlled, making it ideal for gluing large wooden<br />

structures such as beams, floorings and panels, as well as various kinds<br />

of laminate.<br />

173<br />

Overview<br />

The importing of a process – and a name<br />

A popular name with craftsmen and consumers<br />

From solvent-based to water-based adhesives<br />

Combined adhesive and machine systems<br />

Casco moves into paints


174<br />

Casco:<br />

A journey of technical exploration<br />

The Nobel legacy<br />

The importing of a process – and a name<br />

Lars Amundsen was quick to spot the adhesive’s economic<br />

potential. On his way back home to Sweden from<br />

Argentina, he visited the United States in order to deepen<br />

his understanding of how casein might be applied as an<br />

adhesive in the growing Swedish plywood and woodworking<br />

industries. In 1928, with financial support from the<br />

legendary industrialist and financier Marcus Wallenberg<br />

and others, he founded Casco AB in Stockholm. “Casco”<br />

was coined as an abbreviation of “Casein Company of<br />

America”, Casco AB having been granted the rights to produce<br />

casein for the Nordic area. Production commenced<br />

in 1929, and in the same year the Casco logo was born.<br />

(Casco in the United States was acquired by Borden, which<br />

introduced Casco Glue as its first non-food consumer<br />

product in 1932.)<br />

Continuing the trend of introducing technologies into the<br />

Nordic region that had their industrial origins in the United<br />

States, in 1930 Casco purchased the licensing rights for<br />

soy adhesive from the Seattle-based J.F. Laucks company.<br />

Production of many different types of adhesives and<br />

binders followed during the 1930s, with two products being<br />

particularly significant. In 1934, LR-lim was introduced, a<br />

casein/rubber-latex combination for bonding sheet steel<br />

to wood, while 1938 saw the launch of Casco’s first floor<br />

adhesive for linoleum, a product derived from rye flour.<br />

These innovations were followed in 1940 by the development<br />

of Mattcement, an adhesive based on wood resin<br />

dissolved in alcohol, which was similarly deployed for the<br />

gluing of linoleum floors.<br />

In its early years, Casco AB focused on supplying the needs<br />

of the plywood and woodworking industries. Increasingly,<br />

An unusual application for casein<br />

Casco was a small company before World War II. Lars Amundsen was convinced that<br />

war was coming, so before hostilities broke out he bought as much casein as he could<br />

possibly store in Nacka. The casein became worth its weight in gold – and not only as an<br />

adhesive. With rat droppings and other tidbits removed, it was sold at a good mark-up<br />

and used for brushing pastry.<br />

however, the company branched out to also supply professional<br />

craftsmen and consumers. In 1943, Casco launched<br />

RX ® glue, an adhesive for the office and home. The product<br />

had been created by Martin Bjurvald, known by the nickname<br />

“Dr. RX.” Bjurvald had originally developed the<br />

adhesive during World War II as a way of preventing the<br />

fragmentation of window glass. Sold in a characteristic triangular<br />

gray bottle, RX ® glue is still a popular consumer<br />

product in Sweden today.<br />

A popular name with craftsmen and consumers<br />

Casco founded a Norwegian subsidiary, NorCasco, in 1935;<br />

the Danish subsidiary Kemi-Casco followed in 1946. Casco<br />

continued to serve the needs of the woodworking industries,<br />

of craftsmen in the house construction and renovation<br />

sectors, and of home-owners, developing many innovative<br />

new products, such as the weather-resistant Casconol ®<br />

(a phenol resin adhesive for the warm-pressing of plywood,<br />

1947), the resinol resin adhesive Cascosinol ® (also 1947), a<br />

film adhesive for gluing metal to wood (1949) and a latexbased<br />

adhesive for gluing heavy textiles (Textillim ® , 1952). In<br />

1953, Cascol ® wood glue was launched – an adhesive based<br />

on polyvinyl acetate for use in the furniture and woodworking<br />

industries and sold ever since in the same distinctive orange<br />

bottle. Cascol ® remains a market-leading product in many<br />

countries and is still the Casco ® product best known to most<br />

craftsmen and DIY consumers in the Nordic countries.<br />

In 1959, Casco moved into neoprene-based contact ad-<br />

hesives. Derived from synthetic rubbers, these adhesives<br />

were used for gluing flooring and for other materials. This<br />

new development was executed in the United Kingdom in<br />

collaboration with Dunlop.<br />

From solvent-based to water-based adhesives<br />

Three years later, Casco began moving operations from its<br />

home in Nacka, Stockholm, to Kristinehamn in west central<br />

Sweden. The relocation was completed in 1964, and production<br />

continues on the same site to this day. In that same year,<br />

Casco was acquired by Stockholms Superfosfat Fabriks AB,<br />

founded in 1871 for the purpose of manufacturing superphosphate<br />

at Gäddviken in Nacka. Stockholms Superfosfat<br />

was to be renamed Fosfatbolaget and later KemaNord. The<br />

change of ownership in no way inhibited Casco’s innovative<br />

drive, and in the following years it either produced or<br />

licensed in hot-melt adhesives, neoprene mastic adhesives,<br />

acrylic dispersion-type prolonged tack adhesives, epoxy<br />

adhesives, cyanoacrylate adhesives, phenol resin glues,<br />

polyurethane adhesives and resorcinol adhesives. The<br />

product technology of water-based products was developed<br />

and applied in various fields.<br />

Combined adhesive and machine systems<br />

Unsurprisingly, considering the travels of Lars Amundsen<br />

that had led to the company’s creation, Casco expanded<br />

considerably in the era following World War II, developing<br />

extensive activities in the Americas and Asia, as well as<br />

in Europe. A Finnish subsidiary, Oy Casco, was founded<br />

in 1970, and this decade also saw major expansion in the<br />

French market. The 1970s also witnessed Casco’s move into<br />

a new technological field: the development of adhesive systems<br />

in combination with the development of machines for<br />

wood gluing. Led by the service technician Ewert Perciwall,<br />

this initiative was implemented in close collaboration with a<br />

number of Casco’s market-leading customers. The com-


The Casco factory in Nacka, Stockholm, in 1950


176<br />

Casco:<br />

A journey of technical exploration<br />

The Nobel legacy<br />

Expancel ® microspheres represent an important and highly<br />

successful Casco innovation. First launched in the early 1980s,<br />

Expancel ® microspheres are small spherical plastic particles consisting<br />

of a polymer shell containing a gas. When the gas inside<br />

the shell is heated, its pressure increases and the thermoplastic<br />

shell softens, resulting in a dramatic increase in the volume of the<br />

microspheres. When fully expanded, the volume of the microspheres<br />

increases by a factor of over 40.<br />

The Expancel ® product range includes both unexpanded and<br />

expanded microspheres. Unexpanded microspheres are used<br />

as blowing agents – i.e. mixed with a base material and then<br />

expanded during the manufacturing process. They are employed,<br />

for instance, to create printing inks which swell up to produce a<br />

three-dimensional effect on wallpaper, to improve bulk and conserve<br />

fibers in paper and paperboard, and to create extremely<br />

light non-woven materials. Expanded microspheres are used to<br />

achieve low weight in plastic products and to reduce the weight<br />

and improve the application characteristics of paint and putty.<br />

Expancel was a Casco Adhesives company until 2006, when it<br />

became part of Akzo Nobel’s pulp and paper chemicals business,<br />

Eka Chemicals.<br />

bination of glue application machinery,<br />

new adhesives and new gluing methods<br />

made it possible to improve wood adhesive<br />

technology in several respects, making for<br />

shorter hardening times, automated adhesive<br />

handling, and exact dosing of adhesive<br />

and hardener – all of which reduced waste<br />

and increased productivity.<br />

In 1978, KemaNord changed its name to<br />

KemaNobel and Ove Mattsson was appointed<br />

Vice President of Casco. Mattsson<br />

was to oversee Casco’s increasing move<br />

into paints and other coatings via a series<br />

of acquisitions in the late 1970s and early<br />

1980s, with Nordjsö being acquired in 1982.<br />

In the same year, the successful launch<br />

of the floor adhesive Cascoflex ® created<br />

the basis for the market-leading position<br />

that Casco still enjoys in the Nordic floor<br />

contracting segment.<br />

Casco moves into paints<br />

KemaNobel was acquired by Bofors in<br />

1984, and the company changed its name<br />

to Nobel Industries i Sverige AB the following<br />

year. The trend of expansion via acquisition<br />

continued for Casco itself, which in 1987<br />

acquired Sadolin & Holmblad, one of the<br />

Nordic region’s largest manufacturers of<br />

paints and adhesives. The acquisition of the<br />

paint company Crown Berger in the United<br />

Kingdom, and of the adhesive company<br />

Schönox in Germany, followed two years<br />

later, further strengthening Casco’s new<br />

focus on paints and growth in adhesives as<br />

well as constituting a big step into the floorleveling<br />

compound market.<br />

By 1992, and having followed its expansion<br />

in France with expansion into the German<br />

market, Casco Nobel – as the company<br />

was now known – was split into three business<br />

units, one focused on adhesives<br />

for the woodworking and furniture industries,<br />

another on paints and adhesives for<br />

craftsmen and consumers, and a third on<br />

industrial coatings. Ove Mattsson became<br />

the head of Nobel Industries and was later to<br />

become the head of Akzo Nobel’s Coatings<br />

group following Akzo’s acquisition of Nobel<br />

Industries in 1994.<br />

Casco-branded products are today part<br />

of the company’s Industrial Activities business,<br />

serving the woodworking and furniture<br />

trades, as well as DIY users and professional<br />

craftsmen in the building sector.


A Casco calendar girl, November 1965.<br />

While retaining its original logo showing<br />

two draught horses pulling in opposite<br />

directions, Casco made full use of changing<br />

styles to illustrate the adhesive properties<br />

of its products<br />

177


178<br />

Liljeholmen candles


The Nobel legacy<br />

Founded as Barnängens Tekniska Fabrik in 1868, Barnängen owed its<br />

genesis to the failure of another company, one which had been established<br />

by entrepreneur J.F. Ögren. Ögren had developed an innovative<br />

“writing and copying ink” and set up his own company to market the<br />

invention. The firm eventually ran into economic difficulties, however.<br />

At this point, a wholesaler named Johan Wilhelm Holmström took<br />

control of the failing enterprise, bringing in new capital and enabling a<br />

new firm to be established. This intervention was the basis of what would<br />

later become Barnängen.<br />

179<br />

Overview<br />

The move into fine soaps<br />

Barnängen adopts the bear symbol – literally<br />

Creative marketing<br />

Structural expansion<br />

Educating people in beauty care<br />

Acquisition by Henkel


180<br />

Barnängen:<br />

Victorian paternalism and personal care products<br />

The Nobel legacy<br />

In 1868, Barnängen’s production facilities were relocated to<br />

a building in Stockholm known as “Tottieska Malmgården”,<br />

which can still be seen today at the Stockholm openair<br />

museum of folk life in Skansen. The new factory was<br />

given the name “Barnängens Tekniska Fabrik”. It mainly<br />

manufactured ink, shoe polish and – like Boldoot, another<br />

<strong>AkzoNobel</strong> company from years gone by – Eau de Cologne,<br />

which was sold in highly elegant packaging.<br />

The move into fine soaps<br />

A large market for soap was developing, and Barnängen<br />

commenced the manufacture of soap in 1873. It also manufactured<br />

other consumer products including, for example,<br />

vanilla sugar, baking powder and tooth powder. The company’s<br />

range of soaps was rapidly expanded, and by 1888,<br />

Barnängen was producing no fewer than 88 different<br />

types. One of these became particularly well-known – the<br />

“Savon de l’Exposition”, which was specially designed to<br />

be launched at the Stockholm Exhibition of 1897.<br />

All goods were manufactured by hand. Tooth powder was<br />

made from shells that were purchased by the sack-load,<br />

to be powdered in mortars and then sieved. The ink was<br />

drawn off by hand into bottles, usually by women. Soap<br />

was made in double-walled boilers, which were heated<br />

over open fires.<br />

Johan Wilhelm Holmström combined a feeling for future<br />

economic realities with a philanthropic and patriarchal view<br />

of his responsibilities. He was a modern employer by the<br />

standards of the period. Barnängen’s personnel received<br />

free medicines and medical care as early as 1870, and a<br />

holiday entitlement of four days a year was introduced at<br />

the start of the 20th century.<br />

Barnängen adopts the bear symbol – literally<br />

Besides his commercial interests, Holmström was also<br />

deeply fascinated by nature and animals. This led to<br />

Barnängen adopting the symbol of the bear – embodying<br />

strength – as its trademark. The adoption was quite literal.<br />

A specially built cage on the factory site equipped with both<br />

bathroom and bedroom housed the animal, and the bear<br />

was registered as Barnängen’s factory mark at The Swedish<br />

Patent and Registration Office.<br />

Sales increased dramatically under the leadership of<br />

Holmström. The range of goods expanded and subsidi-<br />

aries were formed outside Sweden. A factory was founded<br />

in St. Petersburg in 1880 to produce mainly ink. Barnängen<br />

had been active on the Danish and Norwegian markets<br />

since 1870, and factories were eventually founded in these<br />

countries too.<br />

Creative marketing<br />

The range of goods and their marketing was varied with<br />

considerable imagination, and Barnängen soaps were<br />

given the most elegant packaging. Picturesque figures in<br />

soap – of bathing children, angels, fruits and the like – were<br />

brought onto the market in the 1920s. Celebrity comic actor<br />

and dialect specialist Åke Söderblom also stood model for<br />

Barnängen soaps, as did “Koling”, a figure from children’s<br />

literature created by the writer and artist Albert Engström.<br />

The market for ink was considerable: Barnängen’s product<br />

was improved and its offering widened. The round bottles<br />

in which the ink had hitherto been sold were exchanged<br />

in 1919 for square bottles with attractive labels. By 1919,<br />

sales had doubled.<br />

Another important product which was to become extremely<br />

well known was the mouthwash Vademecum, which was<br />

introduced in 1897. The first bottle of Vademecum was<br />

sold in Lannes Speceriaffär in Stockholm, while outside<br />

of Stockholm it was the Lejonet pharmacy in Malmö<br />

that registered the first sale. Vademecum is still on the<br />

market today.<br />

Structural expansion<br />

In 1929 Barnängen became the core of a new company<br />

called Aktiebolaget Kema. This company was created on the<br />

initiative of Robert Ljunglöf, Dr Harald Nordensen and N.E.<br />

Westerdahl, who decided to rationalize the technical aspects<br />

of production as well as the sales processes. They acquired<br />

all the shares in Barnängen and went on to buy several other<br />

Gothenburg-based companies, including Eneroth & Co.,<br />

Fabriken Tomten and Vignäron. The Lars Montén company<br />

in Stockholm was also acquired together with Liljeholmens<br />

Stearinfabriks AB.<br />

A year later Barnängens Tekniska Fabriks AB moved to Lars<br />

Montén’s spacious and modern industrial site in the Alvik<br />

area of Stockholm. The candle-making part of Lars Montén’s<br />

business was incorporated in Liljeholmen. Step by step, the<br />

Alvik site was expanded as the company’s activities were<br />

increasingly centralized, with production, marketing and<br />

research being relocated there from Gothenburg. In 1937<br />

the companies were formally joined together under one<br />

management as Kemabolagen (“the Kema companies”).<br />

Kemabolagen went on to acquire Sterisol AB, a disinfectants<br />

company, from Bofors Nobelkrut the following year.<br />

Forskningslaboratoriet LKB – a joint research and development<br />

laboratory belonging to Liljeholmens Stearinfabrik, AB<br />

Kema and AB Stockholms bryggerier – was established in<br />

1942 under the leadership of Nobel Prize winner Theodor<br />

Svedberg. The ensuing three decades were characterized<br />

by heavy investment in research, product development<br />

and marketing.<br />

Henrik Gahns AB, a company in Uppsala that had competed<br />

with Barnängen with virtually the same range of hygiene<br />

products, was acquired in 1964. Henrik Gahns had approximately<br />

700 articles when it was taken over, while Barnängen<br />

had some 600. The modern requirement for portfolio<br />

rationalization meant that numerous product lines were<br />

withdrawn from the market, to the great disappointment of<br />

many consumers.<br />

Educating people in beauty care<br />

An interesting and well-known component of Barnängen’s<br />

activities was the “Shantung School”, which opened in<br />

1950. It was initially intended to offer further education<br />

to people working in the beauty products sector, but<br />

increasing interest among consumers for the products led<br />

it to expand its offering to include education in beauty treatments<br />

that could be done in the home. A new Shantung<br />

School was opened in Alvik in 1962 to train women of all<br />

ages in modern beauty care. There were also courses for<br />

specific professional groups, such as air hostesses and<br />

fashion models, while education in cosmetic science was<br />

given under the guidance of the Swedish National Board<br />

of Education.<br />

During the 1960s, Barnängen enjoyed a significant cooperation<br />

with Stockholms Superfosfat and its subsidiaries<br />

regarding distribution and sales both in Sweden and<br />

abroad. Stockholms Superfosfat initially bought a minority<br />

interest in the company, going on to take complete control<br />

of the company after acquiring of the majority of the<br />

shareholding between 1970 and 1973. It was acquisition by<br />

Stockholms Superfosfat that eventually brought Barnängen<br />

into Nobel Industries and subsequently Akzo Nobel.


Finishing lipsticks produced by Barnängen A selection of Barnängen personal care products


182<br />

Barnängen:<br />

Victorian paternalism and personal care products<br />

The Nobel legacy<br />

A new factory at Ekerö, not far to the west of Stockholm,<br />

was opened on 22 February 1983 by the King and Queen<br />

of Sweden. Soap manufacture moved there in 1989, the<br />

last operation to do so, and Barnängen’s activities at Alvik<br />

came to an end.<br />

Acquisition by Henkel<br />

In 1992 Nobel Industries was owned by Nordbanken and<br />

was just starting to recover from the Gamlestaden financial<br />

crisis. The company was in severe need of liquid capital to<br />

strengthen its balance sheet and decided to sell its consumer<br />

products division. The business was highly valued<br />

by the market and was organizationally separate from the<br />

chemicals and coatings activities. The consumer products<br />

division was therefore divested to the German consumer<br />

goods company Henkel in January 1992, and the company’s<br />

name was changed to Henkel Barnängen AB. Just like<br />

Barnängen, Henkel is a company with a fine tradition. It was<br />

founded in Germany in 1876 by Fritz Henkel, and remains<br />

a family-owned company to this day. With its incorporation<br />

into the Henkel sphere, Barnängen became a member of<br />

an international group with the financial and organizational<br />

resources required to carry on the activities that Barnängen<br />

has pursued so successfully since its foundation in 1868.


Training in modern beauty care at the<br />

Shantung School in the 1960s<br />

183


184<br />

Magnus Bernström (middle) and Lars Olsson (right) photographed<br />

outside their workshop in Södertälje not long after the company’s<br />

foundation. On the left is Egon Johansson, their first employee


The Nobel legacy<br />

Berol’s foundation was a direct response to a consumer need – fishing<br />

lines that did not break when an angler had a really large salmon on the<br />

hook. At the time of the company’s foundation in 1937, anglers used<br />

cotton fishing lines, which deteriorated through the action of sunlight and<br />

water and frequently broke. A keen angler by the name of Bernström<br />

felt that he lost too many fish this way, so he decided that he would<br />

create a more durable line. Bernström was a businessman and knew<br />

little of chemistry. But he was friends with a pharmacist named Olsson.<br />

Bernström challenged his friend to use his knowledge of chemistry to<br />

create an impregnation agent which would make fishing lines stronger.<br />

Olsson produced several variants of just such an agent, which were<br />

given evocative names such as Blue Ribbon, Green River, Black River<br />

and Rock River. The two friends took the starting letters of their surnames<br />

to provide a name for the limited company which they set up to<br />

market the new products, and AB Berol-Produkter was registered at the<br />

Swedish Patent and Registration Office on April 12, 1937.<br />

185<br />

Overview<br />

Protection from moisture<br />

Product diversification<br />

Acquisition by MoDo<br />

The need for new products<br />

A new source for ethylene<br />

Consolidation within MoDoKemi<br />

The creation of Berol Kemi


186<br />

Berol:<br />

From consumer products to process ingredients<br />

The Nobel legacy<br />

Surfactants<br />

The word surfactant derives from “surface active agent”. Also<br />

known as “tensides”, they lower surface tension of the medium<br />

in which they are dissolved. Each surfactant molecule has a hydro-<br />

philic (water-loving) head and a hydrophobic (water-hating) tail that<br />

both repels water and attaches itself to oil and grease, making<br />

them useful in the removal and suspension of dirt. Widely used<br />

in domestic and industrial cleaning processes, their application<br />

depends on the specific type of electrical charge in the molecule.<br />

Protection from moisture<br />

Production of the impregnation agent commenced<br />

in a building for small businesses in<br />

the town of Södertälje, in central Sweden.<br />

Berol then expanded into boot impregnation,<br />

offering one set of products for the uppers and<br />

another for the soles. Impregnation agents<br />

for leather jackets and sheepskin fleece followed.<br />

The company’s central proposition<br />

had become “Impregnation: protection from<br />

moisture” – or hydrophobization, to use the<br />

scientific term.<br />

Product diversification<br />

The company had six employees by 1942.<br />

Sweden’s capacity to import and export<br />

goods was effectively suspended during<br />

World War II, presenting considerable<br />

opportunities for anyone who could manufacture<br />

something from raw materials that<br />

were available within the country. Berol<br />

began supplying the Swedish armed forces<br />

with “protection-from-moisture” products,<br />

as well as an anti-mosquito agent with the<br />

brand name “Nomosquito”. The factory in<br />

Södertälje rapidly became too cramped,<br />

and Berol moved to Mölndal, just to the<br />

south of Gothenburg, shortly after the end<br />

of the war. In addition to producing hydrophobization<br />

agents, Berol diversified at this<br />

time into the manufacture of weaving glue,<br />

emulsifiers, mercerizering agents, dye fixatives<br />

and non-ionic, surface-active products<br />

for washing powders.<br />

Acquisition by MoDo<br />

Sweden’s isolation during World War II and<br />

the resulting shortages of vital chemical<br />

products led Sweden’s chemicals manufacturers<br />

to conduct a thorough review of<br />

the resources available to them. A company<br />

called Mo och Domsjö AB (MoDo) –<br />

whose origins were in forestry and cellulose<br />

processing – had been applying for some<br />

time for a license to manufacture alcohol<br />

(ethylene glycol) from waste products from<br />

its paper mill in Örnsköldsvik. The license<br />

was eventually granted in 1940. The ethanol<br />

thus produced created the foundations for an<br />

extensive alcohol-based chemical industry,<br />

and Domsjö-based MoDo started producing<br />

ethylene glycol (for radiator fluid), acetic<br />

acid and butanol. Berol, meanwhile, chiefly<br />

supplied the textiles industry, and MoDo saw<br />

the potential advantages of combining the<br />

two companies’ technological resources,<br />

while at the same time gaining access<br />

to Berol’s extensive distribution network.<br />

MoDo therefore acquired AB Berol-Produkter<br />

in 1945, although it did not change the<br />

company name.<br />

The need for new products<br />

Ethylene oxide rapidly became Berol’s dominant<br />

raw material. Skilled researchers and a<br />

proactive and energetic company management<br />

developed many special products for the<br />

viscose and cellulose pulp industries, to which<br />

MoDo was a leading supplier. At the same<br />

time, however, with the end of World War II,<br />

the import of products from abroad became<br />

possible once more, and Berol’s product<br />

range needed radical improvement in order to<br />

remain competitive.<br />

A plant for the manufacture of nonylphenol<br />

came online at the start of the 1950s. This<br />

product, and the related dinonylphenol produced<br />

in the same factory, rapidly became<br />

important raw materials, from which surfactants<br />

(later to be known as “tensides”)<br />

could be manufactured using ethylene<br />

oxide. Berol also produced ethylene dichloride,<br />

spinning bath agents for the viscose<br />

industry, asphalt fixatives and dye fixatives.<br />

The amount of alcohol used in Domsjö as<br />

a starting material for conversion into other<br />

chemical products increased rapidly. The<br />

company’s own production was insufficient


Swedish premier Olof Palme visits the Berol<br />

plant in Stenungsund in November 1970


188<br />

An amine plant in Stenungsund in 1977.<br />

In Berol’s own words, “a champion site”


King Gustav VI Adolf inaugurates the works in Stengungsund on June 16,<br />

1964, accompanied by representatives of Mo och Domsjö<br />

189


190<br />

Berol:<br />

From consumer products to process ingredients<br />

The Nobel legacy<br />

for its growing needs, and even supplies from<br />

other Swedish manufacturers could not make<br />

up the shortfall. It was necessary to import<br />

large amounts from various sources. As a<br />

result of state subsidies, some were able to<br />

offer particularly attractive prices, and much<br />

alcohol was sourced in the form of Cuban<br />

molasses or red wine that was surplus to<br />

demand in France.<br />

A new source for ethylene<br />

Meanwhile, a new source of ethylene was<br />

appearing. The cracking of various hydrocarbon<br />

fractions at oil refineries allowed<br />

ethylene to be produced cheaply in very<br />

large quantities. In the long run, alcohol was<br />

not able to compete as a starting material<br />

for ethylene.<br />

In 1960, MoDo came to the inescapable<br />

conclusion that it would have to invest in<br />

ethylene production from petrochemical<br />

sources, and this marked the start of a new<br />

phase in the development of the chemical<br />

industry: the period of petroleum chemistry.<br />

Domsjö, however, was not a suitable<br />

location for this investment. MoDo therefore,<br />

under an agreement with Stockholms<br />

Superfosfat Fabriks (Fosfatbolaget) and the<br />

From consumer to<br />

business-to-business focus<br />

U.S. oil company Esso, built a petrochemical<br />

ethylene plant at the ice-free, deep-<br />

water port of Stenungsund, some 45 km<br />

north of Gothenburg.<br />

Production of ethylene oxide direct oxidation<br />

started at Stenungsund in 1963, although<br />

the production of ethylene oxide-based,<br />

non-ionic tensides continued for a considerable<br />

period in Domsjö before eventually<br />

being transferred to Stenungsund. Berol’s<br />

presence in Stenungsund was manifest<br />

in the form of newly constructed research<br />

laboratories built on a hill above the ethylene<br />

oxide factory. Marketing operations were<br />

now carried out under the name Berol AB.<br />

Consolidation within MoDoKemi<br />

Chemical operations in MoDo were diversified<br />

in the 1960s as MoDo purchased various<br />

other companies. Svenska Oljeslageri<br />

Aktiebolaget (SOAB) in Mölndal was acquired<br />

in 1963, with acquisition of AB Syntes<br />

in Nol following some years later. There<br />

were now production plants and research<br />

and development laboratories at four locations:<br />

Domsjö, Stenungsund, Mölndal and<br />

Nol. Marketing offices were located in<br />

Stockholm, Mölndal and Nol, each of them<br />

In its early years, Berol’s products were sold by traveling salesmen, who carried samples<br />

of the company’s products in their luggage. Many years passed before Berol employed its<br />

own sales staff. Exports grew slowly in the early years, initially to Denmark and Finland, then<br />

to England, and subsequently to continental Europe and North America. Berol’s first customers<br />

were anglers – direct consumers of the company’s products. As it grew, however,<br />

Berol shifted its focus and started selling its products to large companies that manufactured<br />

consumer goods such as cleaning agents, paints, varnishes, paper and pesticides.<br />

having its own customer categories and<br />

principal activities. In 1971, MoDo concentrated<br />

all its chemicals activities in one company,<br />

MoDoKemi AB, and established its<br />

head office in Stenungsund.<br />

Berol consequently disappeared as an individual<br />

company name, but lived on in the<br />

registers as a shelf company. The name<br />

“Berol” was, however, preserved in the brand<br />

names of several products, such as BEROL ®<br />

09, BEROL ® 563, and BEROL ® VISCO ® 31.<br />

The prefix “Ber” was retained as an important<br />

part of brands such as BERMODOL ®<br />

(the designation of polyols) and BEROCELL ®<br />

(tensides for the cellulose industry).<br />

The creation of Berol Kemi<br />

The investments required to keep abreast<br />

of developments in the petrochemical field<br />

were becoming ever larger, and MoDo<br />

needed extremely large sums to fund its<br />

expansion into producing chemicals for the<br />

pulp and paper industries. MoDo therefore<br />

joined forces with Statsföretag AB and<br />

spun off its chemicals operations to the<br />

Swedish state in 1973, for which the name<br />

Berol was revived: Berol Kemi AB was<br />

presented as the new name for the entire<br />

chemicals group in 1974. Three years later,<br />

an oxo factory for the production of butyraldehyde<br />

(the starting material for butanol,<br />

octanol and octanoic acid) was built a few<br />

kilometers north of Berol’s Stenungsund<br />

plant. In the same year, Berol Kemi bought<br />

MoDo’s production units for cellulose<br />

derivatives at Domsjö.<br />

Berol Kemi AB joined the Akzo Nobel fold,<br />

along with other Nobel businesses, as a<br />

result of the creation of the Dutch-Swedish<br />

conglomerate in 1994 and became part<br />

of the company’s Surface Chemistry business<br />

unit. Currently <strong>AkzoNobel</strong>’s Surface<br />

Chemistry business is a global producer of<br />

surface active agents used in a wide variety<br />

of applications. The ethylene-focused operations<br />

also continued and now form part of<br />

<strong>AkzoNobel</strong>’s Functional Chemicals business.<br />

As process ingredients, Berol’s products had the task of reinforcing the properties of the<br />

process components – offering, for instance, increased production, lower manufacturing<br />

costs, increased sensitivity to the environment, or higher quality of the final product. These<br />

products do not normally remain in the final product sold to the consumer, being destroyed<br />

or neutralized in some manner during manufacturing. Berol’s product range also included<br />

those that are used as starting materials for further processing, for example, ethylene<br />

amines, ethanol amines and ethylene oxide.


The interior of the Mölndal works in the early<br />

1980s. The operator is Björn Wickman<br />

191


192<br />

A 19th century paint factory. Crown Berger is<br />

unusual among <strong>AkzoNobel</strong>’s paint companies<br />

in that wallpaper played an important role in<br />

the firm’s early development


The Nobel legacy<br />

The name of Crown Berger brings together a brand from the 20th<br />

century and the enterprise of a founding father from the 18th century.<br />

The Crown ® name was first used to launch Crown ® Plus Two ® paints in<br />

Britain in 1966. Designed to challenge ICI’s highly popular Dulux ® brand,<br />

the first Crown ® products on the market were a non-drip polyurethane<br />

gloss and a vinyl-gel emulsion paint.<br />

193<br />

Overview<br />

The Wallpaper Manufacturers Ltd.<br />

The Walpamur ® paint brand<br />

1922: A pivotal year<br />

The launch of the Crown ® brand<br />

Berger joins Crown<br />

Acquisition by Nobel Industries<br />

A flagship brand within Akzo Nobel<br />

Responding to changing market requirements<br />

Landmark applications


194<br />

Crown Berger:<br />

From innovative wallpapers to innovative paints<br />

The Nobel legacy<br />

Berger ® , meanwhile, comes from Lewis<br />

Berger (1741–1814), a German immigrant to<br />

Great Britain whose original name was Louis<br />

Steigenberger. Berger established a paint<br />

manufactory in the East End of London in<br />

1760. Known as Lewis Berger & Sons from<br />

1799–1879 and Lewis Berger & Sons Ltd<br />

from 1879 onwards, this company – “manufacturers<br />

of fine dry colors, paints and varnishes”<br />

– specialized in supplying materials<br />

to the decorating profession.<br />

If it unites the concepts of brand awareness<br />

and entrepreneurship, the name of<br />

Crown Berger conceals, on the other hand,<br />

many other distinctive associations – most<br />

notably with the manufacture of wallpaper.<br />

Crown Berger as a company was created<br />

as late as 1988, more than 20 years after<br />

the launch, by Reed International P.L.C., of<br />

the Crown ® brand itself (Reed International<br />

is now known as Reed Elsevier PLC). That<br />

year saw the culmination of a series of<br />

mergers within the British paint industry<br />

which had commenced in the 1960s and<br />

which brought together, among other<br />

notable companies, John Hall and Sons<br />

(manufacturers of putty and paint, founded<br />

in Bristol in 1788) and Jenson and Nicholson<br />

(paint manufacturers, founded in London<br />

around 1840).<br />

The Wallpaper Manufacturers Ltd.<br />

One of the most important of these companies<br />

was Walpamur, or The Wallpaper<br />

Manufacturers Ltd., to give it its full name.<br />

Walpamur was founded in Darwen, near<br />

Bolton in Lancashire, north west England,<br />

in 1899. The origins of this company were<br />

intricate, stemming back to a paper mill established<br />

in Darwen by one Richard Hilton<br />

in 1818. Hilton’s thriving business was acquired<br />

in 1844 by Charles and Harold Potter,<br />

members of an established Lancashire<br />

family who already operated a calico business<br />

in the district. Capitalizing on the<br />

growing popularity of printed wallpapers,<br />

the Potter brothers added paper staining<br />

to the existing paper manufacturing operations.<br />

Their products soon grew to be world<br />

famous. An important factor in their success<br />

was the contribution of James Huntingdon,<br />

Drinking to the health of the company<br />

“During these vital years from 1922 onwards, Walpamur may be said to have grown up and<br />

to have attained that robust vitality which is now one of its characteristics. When in 1926 the<br />

General Strike hit the country, the determination and loyalty of the staff were put to a severe<br />

test. Despite the difficulties, work carried on, the products continued to be sent out, and<br />

bills with the wording “Paints for Houses” were stuck on the lorries so that the strikers would<br />

allow them through. It is related that when a tyre of one lorry burst near Wigan the miners<br />

on strike unloaded two tons of paint and helped to replace the wheel, and were happy to<br />

accept ten shillings from the driver with which to drink the health of the Company.”<br />

From Walpamur Golden Jubilee 1906–1956, The Walpamur Co. Ltd., Darwen and<br />

London 1956<br />

who worked as a designer for paper stainers<br />

and calico printers, and who was persuaded<br />

to join the Potters as a partner in the firm<br />

of Potter & Co. in 1864. Ten years later,<br />

James Huntingdon’s two brothers likewise<br />

joined this Darwen concern as partners.<br />

The son of one of these brothers, Major A.<br />

W. Huntingdon, was also to join the firm<br />

as a partner, becoming a director of The<br />

Wallpaper Manufacturers Ltd. at its foundation<br />

in 1899. And it was Major Huntingdon<br />

who encouraged his fellow directors to<br />

branch out from wallpaper manufacture into<br />

paint manufacture in 1906.<br />

The Walpamur ® paint brand<br />

The major had a specific type of paint<br />

in mind, however. From 1904 onwards,<br />

researchers in Walpamur’s Darwen laboratory<br />

had been attempting to develop a reliable<br />

form of water-based paint. Two years<br />

later, sufficient progress had been made<br />

to justify the commencement of commercial<br />

manufacture. Originally named Hollins<br />

distemper, this new paint was so favorably<br />

received by customers that it was decided<br />

to give the product a more distinctive name.<br />

It was rebranded Walpamur ® after the name<br />

of its parent company.<br />

As the name Walpamur ® would suggest,<br />

wallpaper was still a core product of the<br />

company, which had very successfully<br />

exploited the late-19th century vogue for<br />

embossed wallcoverings. The linseed oilbased<br />

wall fabric Lincrusta ® (invented by<br />

the pioneer of linoleum, Frederick Walton, in<br />

1877) was first manufactured in Darwen in<br />

1887. Its lighter rival, Anaglypta ® – which was<br />

manufactured from cotton and pulp and had<br />

been invented by Frederick Walton’s former<br />

employee, Thomas Palmer, in 1883 – joined<br />

the company’s product portfolio in 1888.<br />

The combination of wallpaper manufacture<br />

and paint manufacture was to characterize<br />

the activities of Walpamur, and subsequently<br />

Crown Berger, for many decades to come.<br />

Although the move into paint had been<br />

inspired by the search for an effective waterbased<br />

paint, Walpamur nevertheless commenced<br />

production of oil paints in 1910.<br />

The raw material shortages brought on by


Crown’s logo adorned the shirts of Liverpool FC at a time when<br />

Liverpool was the UK’s premier football team and one of the<br />

predominant clubs in Europe<br />

Walpamur Quality Paints, a brand whose reach extended far beyond its<br />

original home market of Britain. Here employees are filling cans of paint<br />

in Papua New Guinea in the 1960s


196<br />

Crown Berger:<br />

From innovative wallpapers to innovative paints<br />

The Nobel legacy<br />

the outbreak of World War I put a brake on paint manufacture,<br />

but they also created new openings. Walpamur<br />

started making varnish, which is a key component in munitions<br />

production. In 1915, The Walpamur Company Limited<br />

(or WPM) was created to focus exclusively on paint and<br />

varnish manufacture.<br />

1922: A pivotal year<br />

The Walpamur Company Limited grew rapidly in the years<br />

following World War I, such that by 1922 the company<br />

employed 50 “travelers exclusively in paint”. 1922 was a<br />

pivotal year in WPM’s evolution, for it was in this year that<br />

Major J.G.G. Mellor was appointed director in charge. Major<br />

Mellor commenced a major program of reorganization and<br />

expansion which involved the re-engineering of manufacturing<br />

processes and the creation of a nationwide depot<br />

network and delivery fleet. The company’s product portfolio<br />

was expanded by the addition of highly successful new<br />

brands such as Duradio ® Enamel Paint and Muromatte Flat<br />

Oil Paint, and its markets expanded to include Argentina and<br />

Canada, with branches being established in Buenos Aires in<br />

1922 and Montreal in 1929.<br />

The company also grew through acquisitions. In 1915, it<br />

had acquired the Manchester-based wallpaper manufacturers<br />

Kinder & Co.; in 1929 it purchased the London-based<br />

paint manufacturer Arthur Sanderson and Sons Ltd. In the<br />

same decade, Walpamur Company Limited had significantly<br />

increased its R&D operations, opening a new laboratory<br />

staffed with highly trained chemists in Darwen in 1927.<br />

In 1931, WPM amalgamated all its embossed wall covering<br />

operations at Darwen. Later during the 1930s, the research<br />

and manufacture of industrial coatings also commenced at<br />

the Lancashire facility.<br />

World War II again saw Walpamur producing great quantities<br />

of varnish, as well as paint, for ammunition, military<br />

vehicles and camouflage. It also produced a range of<br />

special products for aircraft. The company was awarded<br />

royal warrants in 1949 and 1955, and in 1954 a new plant<br />

opened at Darwen to produce cellulose paints for industrial<br />

finishes. Smith and Walton, a paint manufacturer based in<br />

Haltwhistle, Northumberland, was acquired in 1963. Then,<br />

in 1965, WPM was itself purchased by Reed International, a<br />

diversified company which had originally been established<br />

as a newsprint manufacturer by Albert E. Reed in Kent,<br />

England, in 1894.<br />

The launch of the Crown ® brand<br />

It was under the direction of Reed International that the<br />

Crown ® brand was launched. The “ease and convenience”<br />

properties of decorative coatings took on increasing<br />

importance during this era, as paint manufacturers began<br />

targeting not just trade professionals, but also consumers<br />

with their advertising and product literature. Crown ®<br />

paints were promoted heavily on television throughout the<br />

1970s and 1980s. Their logo even adorned the shirts<br />

of Liverpool FC at a time when Liverpool was the UK’s<br />

premier football team and one of the most successful<br />

clubs in Europe.<br />

Such was the success and power of the Crown ® brand<br />

that in 1975 the Walpamur Company changed its name<br />

to Crown Decorative Products. Five years later, the<br />

Relief Decorations operations that had been so vital<br />

to the company’s growth in the late Victorian era were<br />

transferred into the Crown Paints Division within Crown<br />

Decorative Products.<br />

Six years thereafter, in 1986, Crown Decorative Products<br />

introduced the first one-coat paint for wood and metal.<br />

Aptly named Solo ® Gloss, this self-undercoating gloss was<br />

achieved by the addition of extra pigments in the formulation,<br />

which lent the paint both high opacity and extreme<br />

brilliance. Solo ® Gloss was followed by an emulsion counterpart<br />

called Crown ® Advance ® One Coat. Both paints<br />

were welcomed by the growing DIY market, and a new<br />

one-coat system category was created as rival manufacturers<br />

strove to bring out their own versions of Crown ®<br />

Decorative Products’ breakthrough concept.<br />

The 1980s was generally a difficult decade for manu-<br />

facturers in the UK, but Crown represented a rare exception,<br />

continuing to invest, innovate and grow in the face of<br />

a stagnant economy and widespread industrial unrest.<br />

A new £3.5 million oil-based manufacturing plant was<br />

opened at Darwen in 1982, to be followed in 1987 by<br />

a new £3.5 million emulsion manufacturing plant, again<br />

at Darwen. Indeed, 1987 was to prove a very busy, and<br />

highly significant, year for Crown. Computerized manufacturing<br />

process and automated filling and packing<br />

operations were introduced, and the company attained<br />

quality systems certification for its paint products.<br />

Arguably the most important event of the year, however,<br />

was Reed International’s disposal of Crown Paints<br />

to Williams Holdings.<br />

Berger joins Crown<br />

Williams Holdings greatly increased the efficiency of Crown<br />

Paints. It also brought in the Berger ® name, acquiring from<br />

Frankfurt-based multinational Hoechst a company called<br />

BJN, which included the successor organizations to Lewis<br />

Berger & Sons and John Hall & Sons (creators in 1920 of the<br />

highly successful Brolac ® brand). This huge consolidation<br />

was followed in 1989 by Crown Berger’s purchase of Jacoa<br />

from the diversified UK group Ward White.<br />

Acquisition by Nobel Industries<br />

A year later, in May 1990, Nobel Industries purchased Crown<br />

Berger. As part of Nobel Industries, Crown Berger continued<br />

to demonstrate its commitment to innovation and quality. In<br />

May 1993, the company was awarded the Queen’s Award<br />

for Technological Achievement.<br />

A flagship brand within Akzo Nobel<br />

Following Nobel Industries’ 1994 merger with Akzo, Crown<br />

Paints – as the company was generally known at this<br />

point – was positioned as the flagship brand within the<br />

UK’s decorative coatings market, alongside Akzo’s own<br />

decorative coatings brands – Sandtex ® , Permoglaze ® , and<br />

Macpherson ® Paints.<br />

Within this structure, Sandtex ® – launched as recently as<br />

1978 – is today the market leader in exterior coatings. This<br />

success owes much to the kind of skilful marketing that<br />

turned Crown ® into such a dominant brand. Permoglaze ® ,<br />

purchased by Akzo Coatings in 1986, complements Crown ®<br />

Berger ® and Sandtex ® by acting as a leading brand for professional<br />

users. And Macpherson, whose decorative coatings<br />

business was purchased by Akzo from the Swedish<br />

Kemira in 1991, plays its role in the consumer side of the<br />

business by, for instance, acting as exclusive suppliers of<br />

branded paints to the Woolworth chain.<br />

Responding to changing market requirements<br />

As Akzo Nobel’s flagship UK decorative coatings brand,<br />

Crown ® maintained an intense focus on innovation. This<br />

included the launch of new products such as the Decorative<br />

Effects range (around 1996) including Colour Effects,<br />

Woodwash ® , Smooth Velvet ® and Softsand ® . Much of


Crown Berger:<br />

From innovative wallpapers to innovative paints<br />

The Nobel legacy<br />

this innovation was in response to fast-moving changes in<br />

consumer demands. For instance, 1997 saw the launch<br />

of a Crown ® Period Colors ® range designed to create an<br />

authentic period feel in any home. In 2000, an international<br />

color magazine called Key was launched to provide inspiration<br />

and advice to consumers across Europe. New products<br />

were also developed to meet the requirements of retailers,<br />

one example being Quick-Dry Satin (2001) following a direct<br />

request from B&Q (a leading British DIY chain).<br />

Landmark applications<br />

Although strongly focused on the consumer market, Crown ®<br />

Berger ® also had a significant industrial products operation.<br />

In the 1980s, when its Anaglypta ® embossed wallpaper was<br />

still in high demand, Crown ® Berger ® was commissioned to<br />

develop a special industrial coating to coat the walls of the<br />

Channel Tunnel, London’s Tower and Hammersmith Bridges,<br />

the Severn Bridge, London’s Docklands, Liverpool’s Albert<br />

Docks, the Odeon Cinema chain, The Theatre Royal Drury<br />

Lane and the Tate Britain art gallery are just a few of the<br />

landmark structures to have benefited from Crown Berger’s<br />

century of expertise in paint manufacture.<br />

The 19th century embossed wall covering Lincrusta ® was<br />

still on the market in the early 21st century. Sold along with<br />

the Anaglypta ® brand to Imperial Home Décor in 2001, it was<br />

acquired by Crown Wilman Vymura in 2003. Lincrusta ® is<br />

still made in Morecambe, on England’s Lancashire coast<br />

– and a version dating from 1896 is highly popular for renovating<br />

Victorian houses in the United Kingdom.<br />

Regulatory approval for Akzo Nobel’s acquisition of ICI in<br />

January 2008 was made conditional on the divestment of<br />

a number of its decorative coatings businesses with combined<br />

revenues (in 2006) of c300 million. As a consequence,<br />

Crown was sold to Endless LLP, an independent private<br />

equity house. The divestment will include Crown’s manufacturing<br />

and warehouse sites in Darwen, Hull, Warrington,<br />

Dublin and Belfast; its Crown Decorator Centre network;<br />

and the Crown ® , Crown Trade ® , Berger ® , MacPherson ® ,<br />

Permoglaze ® and Sandtex ® brands.<br />

197


198<br />

1<br />

2<br />

Courtaulds, p. 201<br />

Bocking<br />

Braintree (Bocking)<br />

Chelmsford (Bocking)<br />

Halstead (Bocking)<br />

Pebmarsh (Bocking)<br />

Coventry<br />

Leigh<br />

London<br />

International, p. 215<br />

Newcastle-on-Tyne<br />

Felling (Newcastle-on-Tyne)<br />

Gateshead (Newcastle-on-Tyne)<br />

marks the place on the map where the company<br />

in question (see the left-hand column) was<br />

founded.<br />

Locations named in a chapter are listed on the<br />

left under the name of the relevant company. The<br />

first location named is the place where the company<br />

was founded; all other locations are listed<br />

alphabetically.<br />

If locations cannot be distinguished from one<br />

another because they are too close together, a<br />

place already shown on the map or one that is<br />

central to those locations is given in parenthesis.<br />

Ireland<br />

Dublin <br />

Belfast <br />

Glasgow <br />

Scotland<br />

Wales<br />

Aberdeen <br />

Edinburgh<br />

Newcastle-on-Tyne <br />

Leeds<br />

Manchester<br />

Liverpool<br />

Cardiff<br />

Bristol<br />

Birmingham<br />

<br />

England<br />

2<br />

France<br />

<br />

1<br />

Bocking


199


200<br />

Samuel Courtauld III (1793–1881), the founder<br />

of Courtaulds and a titan among Victorian<br />

entrepreneurs


The Courtaulds legacy<br />

The Courtauld family came to England, as Huguenot refugees, between<br />

1685 and 1700. Its first link with textiles was forged in 1775, when George<br />

Courtauld I was apprenticed to a silk “throwster” or manufacturer; his<br />

master belonged to the settlement of Huguenots practicing in the silk<br />

industry in London’s Spitalfields district. Around the turn of the 19th century,<br />

George Courtauld I was managing a silk-throwing mill, owned by a<br />

London firm, at Pebmarsh in Essex. In 1815, he set up a similar mill of his<br />

own in Braintree, Essex. He quarreled with his partner, however, and in<br />

1818 the partnership was dissolved.<br />

201<br />

Overview<br />

A ruthless son – and a Victorian success story<br />

Power-looms drive expansion<br />

The halcyon years of mourning crepe<br />

The collapse of the crepe business<br />

Recovery: new men and new energy<br />

An innovative product: rayon<br />

The vital breakthrough<br />

Courtaulds acquires the British rights to viscose<br />

The importance of skill in textile manufacture<br />

Courtaulds acquires the U.S. rights to viscose<br />

Samuel Courtauld IV<br />

The rayon boom<br />

The 1930s: the difficult decade<br />

World War II – and the loss of AVC<br />

Post-war recovery and change<br />

Diversification and the move into packaging and paints<br />

ICI bids for Courtaulds<br />

Vertical integration<br />

The 1970s fibers crisis<br />

Courtaulds splits into two companies<br />

A new era<br />

Acquisition by Akzo Nobel


202<br />

Courtaulds:<br />

From Victorian silk to synthetic fibers<br />

The Courtaulds legacy<br />

A ruthless son – and a Victorian success story<br />

George Courtauld’s failings as a businessman provided the<br />

opportunity for his son, Samuel Courtauld III, to start upon<br />

a career which was to bring enormous wealth to the family.<br />

In 1816, when George was in the midst of his dispute with<br />

his partner – and with the family income thereby imperiled<br />

– Samuel decided to set himself up as a silk throwster in<br />

Bocking, Essex. He became a hard-driving businessman:<br />

ruthless, impatient and autocratic.<br />

The years immediately after 1816, when Samuel had branched<br />

out on his own, were not easy. But he extended the scale of<br />

his operations as a silk throwster, working variously by himself,<br />

or in partnership with his brother, George Courtauld II,<br />

or his cousin, P.A. Taylor I. With his brother he also used,<br />

and manufactured for sale, a special type of spindle for silkthrowing<br />

which their father had patented and which enjoyed<br />

a certain temporary success. He also installed small steam<br />

engines to supplement water power in his mills.<br />

From 1826, Samuel began to concentrate on silk weaving<br />

rather than silk throwing, i.e. producing silk fabrics for silk<br />

manufacture. In 1828 the operation was set up on a new<br />

legal footing and the firm of Courtauld, Taylors & Courtauld<br />

came into being. Samuel Courtauld & Co., as the firm soon<br />

became known, was to become the biggest and most successful<br />

manufacturer of a textile fabric peculiarly popular in<br />

Victorian Britain – silk mourning crepe.<br />

The practice of using a particular sort of black crepe as a<br />

part of mourning attire was not an invention of Victorian<br />

England. During the 18th century, crepe was being imported<br />

into England and several efforts were made to start its manufacture<br />

on English soil. By the 1820s, crepe of this sort was<br />

being made by two or three English silk weaving firms, and<br />

Samuel Courtauld & Co. joined their number in about 1830.<br />

Power-looms drive expansion<br />

In the early 19th century, most silk fabrics were still woven<br />

on hand-looms. It was soon discovered that the weaving<br />

of silk gauze for mourning crepe could just as easily be<br />

done on power-looms. Courtauld & Co. developed a particular<br />

type of power-operated loom especially suited for<br />

crepe weaving, and by 1840 it possessed more than 240 of<br />

these looms. Almost all the firm’s machinery was designed<br />

and made at the company’s own works. This engineering<br />

side of the business was run by George Courtauld II.<br />

The halcyon years of mourning crepe<br />

Up until 1850, the firm, while growing rapidly, was also still<br />

finding its feet. The original silk-throwing part of the business<br />

continued to be important in the 1830s, but from 1850<br />

onwards mourning crepe completely dominated the firm’s<br />

activities. The period 1850 to 1885 was the high point both for<br />

mourning crepe and for the profits of the family partnership.<br />

Employing around 3,000 people, Samuel Courtauld & Co.<br />

was one of the biggest firms in the British silk industry at<br />

the time. It had become so profitable that at the height of its<br />

success in the 1870s, the partners were each year earning<br />

an average return on their capital of more than 30 percent.<br />

These high profits were made possible by a remarkable<br />

increase in the demand for black crepe as the ritual of<br />

deep mourning was popularized in the middle and upper<br />

classes. While private funerals among the better-off sustained<br />

a steady growth in demand, occasional royal deaths<br />

provided periodic booms, and a growing enthusiasm among<br />

the French for what they called crêpe anglaise provided<br />

a steady export outlet. The social origins of this demand<br />

made it easy to keep up prices, and there were only a very<br />

few other producers, all overshadowed by the dominance<br />

of Courtauld & Co.<br />

The collapse of the crepe business<br />

It was all too good to last, however. After 1885, the gloss of<br />

prosperity began to fade. Crepe prices fell sharply and profits<br />

tumbled. In 1894, the business made a loss; and in 1896,<br />

a worse loss. To some extent, these difficulties were due<br />

to changes in the British economy as a whole. In part, too,<br />

the firm’s troubles arose from a change in English fashion.<br />

Although Queen Victoria’s presence upon the throne went<br />

far to ensure a continued high regard for formal crepe-laden<br />

mourning, there were many signs of a move towards greater<br />

freedom in this matter. But ultimately the firm suffered from a<br />

failure of business leadership following the formal retirement<br />

of Samuel Courtauld III in 1865.<br />

Recovery: new men and new energy<br />

In 1891, the partnership was turned into a private limited<br />

liability company, and two appointments were made which<br />

were to have momentous consequences for the firm. In<br />

1893, a Yorkshireman called Henry Greenwood Tetley was<br />

appointed as head manager; and in 1894, Thomas Paul<br />

Latham, a Lancashire man, became sales manager. These<br />

two men, outsiders to the family business, virtually controlled<br />

the company for the next quarter-century.<br />

Tetley’s first job was to re-equip the production end of<br />

the business. A major program of change was directed<br />

at the dyeing and finishing departments and a general<br />

rationalization of production at the three main mills was<br />

begun. In 1898, an important new investment was made,<br />

taking Samuel Courtauld & Co. out of its Essex isolation<br />

– to increase production capacity, a mill was bought at<br />

Leigh, in Lancashire.<br />

This reorganization had two main goals. One was to improve<br />

the quality and reduce the costs of mourning crepe; the other<br />

was to develop the manufacture of other products, mainly<br />

colored silk chiffons. In Britain, crepe was on its way out,<br />

and Queen Victoria’s death in 1901 speeded up its demise.<br />

Tetley fully understood the situation. As he told his fellow<br />

directors in April 1904, Samuel Courtauld & Co. needed<br />

“a new source of profit to replace crepe profits – which are<br />

leaving us.” The adoption of his proposed remedy was to<br />

point the company in a wholly new direction. For in July 1904,<br />

Samuel Courtauld & Co. Ltd. bought a set of patents and<br />

licenses which gave them the exclusive British rights to the<br />

viscose process of making “artificial silk’’, later to be known<br />

the world over as rayon.<br />

An innovative product: rayon<br />

The chemical experiments which gave birth to what was<br />

to prove the first of the man-made fibers occurred outside<br />

the existing textile industry. At the base of it all lay chemical<br />

investigation of the substance called cellulose, which is<br />

the vital component of all plant tissue. During the first half<br />

of the 19th century, several European chemists set about<br />

treating cellulose in various forms with a variety of acids.<br />

Among their findings was the discovery that treating cotton<br />

with nitric acid resulted in a highly explosive substance,<br />

which was called nitrocellulose or gun-cotton. One line<br />

of further enquiry from this led to the explosives industry,<br />

but another led to the first process of making artificial<br />

silk. In 1883 and 1884, respectively, two men, Sir Joseph<br />

Swan in England and Count de Chardonnet in France,<br />

patented processes for dissolving nitrocellulose in such<br />

a way that a filament could then be extruded from a jet.<br />

Both men, having observed the luminous sheen which the


George Courtauld I (1761–1823), an unsuccessful businessman who<br />

sired a highly successful son, Samuel Courtauld<br />

Halstead Old Mill, Essex, England. Originally the Town Mill, this was<br />

converted by Samuel Courtauld III in 1825


204<br />

Courtaulds:<br />

From Victorian silk to synthetic fibers<br />

The Courtaulds legacy<br />

filaments possessed, thought in terms of ‘‘artificial silk”.<br />

Neither, however, saw the substance’s potential for purely<br />

textile applications.<br />

This nitrocellulose process was not only costly, but also<br />

very dangerous. Experimenters were naturally interested in<br />

safer methods of manufacture and in the 1880s and 1890s<br />

various patents were taken out for what became known as<br />

the “cuprammonium” process. The prime interest in these<br />

processes was not their use in manufacturing textiles, but<br />

for the production of filaments for electric lamps. In 1895,<br />

however, having observed the attention which Chardonnet’s<br />

product was beginning to attract, Max Fremery and Johan<br />

Urban started using the cuprammonium process to make<br />

artificial silk, which they called Glanzstoff. They started a<br />

firm in Germany which they called Vereinigte Glanzstoff<br />

Fabriken, built a factory and began production in 1899.<br />

(Vereinigte Glanzstoff Fabriken was to merge with the<br />

Dutch artificial fibers manufacturer Enka in 1929 to create<br />

AKU, one of the forerunners of Akzo Nobel.)<br />

The vital breakthrough<br />

The vital breakthrough, the “viscose’’ process, was made in<br />

Britain. The master patent was taken out in 1892 by a professional<br />

chemist, C.F. Cross, and his partners. The patent<br />

covered a method of treating wood pulp with caustic soda<br />

and other chemicals to produce a golden yellow substance<br />

called viscose. The next step was taken in 1898, when<br />

C.H. Stearn – an amateur physicist and by then director of<br />

an electric lamp company – took out a patent to make filaments<br />

from viscose. In collaboration with Cross, he set up<br />

a laboratory-cum-pilot plant at Kew, near London, with the<br />

intention of making “artificial silk” fibers. Between 1899 and<br />

1904, the various national patent rights were sold off, one<br />

by one. But was this new process – and risky investment<br />

– worth the risk?<br />

Courtaulds acquires the British rights to viscose<br />

H.G. Tetley first visited the works at Kew in February 1904.<br />

But his enthusiastic proposals to the Board that the company<br />

should buy the patent rights were turned down by the<br />

more conservative directors. It was agreed to look at the<br />

venture again after another proposal was put to the test,<br />

namely to turn the private company into a public company.<br />

The subsequent flotation was successful and the British<br />

rights to the patents of Cross, Stearn and Topham were<br />

subsequently acquired.<br />

For a site on which to build a factory for the new process,<br />

Tetley went not to the traditional textile districts of Lancashire<br />

or Yorkshire, but to the Midlands. In July 1905, the company’s<br />

new Coventry factory started production. None of the<br />

company directors knew anything at all about chemistry,<br />

and at least two of them opposed what they saw as a lot<br />

of new-fangled nonsense. Yet the new strategy succeeded<br />

so remarkably that by 1913 the output of the Coventry factory<br />

had reached more than three million pounds weight per<br />

annum. Courtauld & Co. had emerged as the strongest of all<br />

the firms that had bought the viscose rights, the most successful<br />

of the pioneers of rayon.<br />

The importance of skill in textile manufacture<br />

An important part of the company’s success lay in the fact<br />

that of all the purchasers of the viscose patent rights, only<br />

Samuel Courtauld & Co. was a textile manufacturing firm.<br />

This meant that those directing the efforts of the chemists<br />

and engineers knew just what technical qualities were<br />

needed to make a yarn useful and saleable.<br />

The real architect of the achievement was Tetley. He drove<br />

the company forward, relentlessly pursuing, and indeed far<br />

exceeding, the goals he had promised. Already by 1900 the<br />

rayon profits exceeded those of the old textile side of the<br />

company. In 1917, he became Chairman of Courtaulds Ltd.<br />

Courtaulds acquires the U.S. rights to viscose<br />

The transformation of the Essex crepe firm wrought in the<br />

decade 1904 to 1914 generated a bigger and complex<br />

range of overseas contacts. With the outbreak of World<br />

War I, these associations disintegrated, but it was as a<br />

direct consequence of these international arrangements<br />

that Samuel Courtauld & Co. was led to make its most<br />

important investment – the purchase of the U.S. rights to<br />

the viscose manufacturing process in 1909.<br />

In 1908, an agreement was reached giving Courtauld &<br />

Co. alone exclusive permission to import viscose yarn into<br />

the United States. In 1909, the American tariff on imported<br />

artificial silk yarn was raised. Tetley persuaded the owner<br />

of the U.S. rights to produce artificial silk yarn to sell them<br />

to Samuel Courtauld & Co. This piece of opportunism left<br />

Courtauld & Co. in a remarkably strong position.<br />

The existing plant in the United States was scrapped<br />

and a new factory built at Marcus Hook, near Chester,<br />

Pennsylvania. The American Viscose Company (AVC), as<br />

the new subsidiary was first called, began production in<br />

1911. It rapidly proved extremely profitable and, by 1914,<br />

Courtaulds had a legal, patent-based monopoly of viscose<br />

yarn production in both Great Britain and the United States.<br />

AVC’s production quickly increased, such that in 1915 it surpassed<br />

even that of its UK parent.<br />

Samuel Courtauld IV<br />

In 1921, Tetley died and the leadership of Courtaulds passed<br />

into the hands of Samuel Courtauld IV, great-nephew of<br />

Samuel Courtauld Ill, who had founded the family business.<br />

He remained the dominant, highly-respected leader of<br />

Courtaulds until the year before his death in 1947.<br />

Samuel Courtauld IV left his imprint not only on the company,<br />

but also in the wider world. One of the earliest collectors<br />

of Impressionist paintings, he built up a remarkable<br />

collection, the bulk of which he made available to the public<br />

during his lifetime, creating and endowing the Courtauld<br />

Institute of Art. As a patron of the arts, his interest extended<br />

to music, opera and literature. He was also active as an<br />

industrialist, especially around the beginning of World War II,<br />

in talking and writing about the future of industry and about<br />

the relationship between industry and government, as well<br />

as that between employers and employees. Altogether, he<br />

led Courtaulds Ltd. to a position of great respectability in<br />

manufacturing business.<br />

The rayon boom<br />

The end of World War I and the return of conditions conducive<br />

to new business enterprise coincided with the expiry<br />

of the basic patents for the viscose process. The manufacture<br />

of artificial silk, which from the late 1920s onwards<br />

came to be called rayon, therefore expanded in various<br />

ways. The best-known of the new types of rayon made by<br />

the cellulose acetate process became familiar in Britain<br />

under the brand name Celanese, used by the British<br />

Celanese Co., which made and marketed it. Celanese became<br />

very popular in the manufacture of women’s under-<br />

wear. Of greater importance internationally, and for the<br />

future, was the development of rayon staple fiber. Made<br />

by cutting up the continuous filament of rayon into short


Courtaulds:<br />

From Victorian silk to synthetic fibers<br />

The Courtaulds legacy<br />

lengths and then spinning these into a yarn, it became<br />

of great significance as a substitute for cotton and wool.<br />

These changes meant a gigantic increase in the global<br />

output of rayon. Cheap woven or knitted fabrics and<br />

hosiery, in rayonor rayon mixtures, answered new demand<br />

for cheaper stockings, underwear, furnishing fabrics and<br />

dress materials.<br />

Courtaulds’ operations in Britain and continental Europe<br />

benefited from the rayon boom of the 1920s. Meanwhile,<br />

on the other side of the Atlantic, The Viscose Company<br />

– which during this period changed its name again, this<br />

time to American Viscose Corporation (AVC) – continued<br />

its rise to what in 1937 the American magazine Fortune<br />

called: “one of the greatest industrial shows in the<br />

world.” With a seemingly unlimited home market, AVC was<br />

responsible for more than 60 percent of total U.S. rayon<br />

production in 1928.<br />

The 1930s: the difficult decade<br />

Coventry 1905 – by one who was there<br />

In 1985, Frank Jones, the editor of Courtaulds News, interviewed one of the<br />

original inventors of viscose – Edwin Beer, who at that time was 105 years old.<br />

The following is an excerpt from the published interview.<br />

Despite his advanced years, Edwin Beer is not one to lie in bed of a morning. He rises at six<br />

o’clock sharp every day, makes his own breakfast and tidily washes up before his wife – a<br />

comparatively young 75-year-old – comes downstairs. Later he might take a glass of sweet<br />

wine, smoke a black Burma cheroot, or simply potter around his rambling 16th century house.<br />

The building is packed from floor to rafter with relics and mementoes of a long and eventful<br />

life. And tucked away in innumerable boxes, drawers and cupboards is a miniature museum<br />

of man-made fiber history. Lumps of solidified viscose, bobbins and hanks of shiny yarn,<br />

spun at Kew long before the Courtaulds days. The first rayon stocking ever knitted. An old<br />

board on which colored viscose skeins were shown at the Paris Exhibition in 1900.<br />

“I dyed those skeins myself at the laboratory at Kew,” Mr. Beer recalls. “Courtaulds saw<br />

them in Paris and this was what finally aroused their interest in viscose.” Stirred by the<br />

memory, he reflects on those long-ago days. Edwin Beer had met two of the viscose pioneers<br />

while still a teenager. He learned chemistry under Cross and Bevan when they were<br />

partners at New Court, Lincoln’s Inn, London.<br />

The 1929 crash and the Great Depression of the 1930s<br />

did not afflict Courtaulds in Britain with anything like<br />

the hardships felt in older industries or by some other<br />

firms. Indeed, in 1939, the firm’s rayon output was more<br />

than three times what it had been in 1929. But profits<br />

were down on the heydays of the 1920s. At home, wages<br />

were cut and persistent labor troubles beset the yarn<br />

mills. Serious defects were becoming evident in the<br />

firm’s technical efficiency, organization, and management.<br />

Difficulties also multiplied overseas. Yet all this was little<br />

as compared with the troubles which loomed at AVC.<br />

Volumes, as well as profits, fell drastically, and in 1938 AVC<br />

made a net loss. AVC was proving a troublesome offspring<br />

for an already harassed parent.<br />

By about 1935, Samuel Courtauld IV initiated a thorough<br />

inquiry into the company’s technical and managerial<br />

shortcomings, and a substantial modernization program<br />

was launched.<br />

In 1935, a new subsidiary, British Cellophane Limited,<br />

was formed as a joint venture with the French company La<br />

Cellophane, to pool patents and processes and develop<br />

the British market for cellulose films.<br />

Cellulose film (brand name Cellophane) had a technological<br />

link with rayon in that the production process was similar<br />

– for film, the viscose was extruded through a slot, and for<br />

fiber, through a jet. (In time this activity grew to become a<br />

group of companies that operated in several countries and<br />

made a variety of products, including non-woven fabrics<br />

and plastic packaging film. In the early 1980s, it became<br />

a wholly owned subsidiary of Courtaulds; by the mid-1990s,<br />

however, all these businesses had been divested).<br />

“This was the first time I ever heard about viscose, and Cross asked me to do quite a bit of work<br />

on it,” he says. In 1899, he joined the newly-formed Viscose Spinning Syndicate at Kew as a<br />

chemist. There the experiments gathered pace, though viscose proved a difficult beast to tame.<br />

“We would never get two batches alike, and Cross said we never would,” he recalls.<br />

“Problems were always occurring. Crystals would appear in the viscose, then go away just<br />

as quickly. Or yarn would suddenly turn as stiff as wire, instead of being soft and silky.”<br />

What does he remember of his illustrious colleagues at that time?<br />

“Stearn was very secretive, and quite a scholar. He wouldn’t give you a penny more than<br />

he was obliged to and he had a mania for punctuality. Topham imagined that everything<br />

that happened was done by him. He decided one day that he had discovered the ageing<br />

process for viscose. Yet this was something Cross and I had been working on years before<br />

Topham had ever heard of it.”<br />

By the time Courtaulds began to show interest, Mr. Beer had also come face to face with<br />

the company’s driving force at that time – H.G. Tetley. “He was a most extraordinary man<br />

and would always contradict everything you said. Everybody admired him except me, and most<br />

people were afraid of him. But it seems that a dominating personality like his was needed to<br />

get viscose onto the market. Certainly when the money ran out, it was Tetley who persuaded<br />

Courtaulds to re-finance and start again. And next time they really did make money.”<br />

205


206<br />

Courtaulds:<br />

From Victorian silk to synthetic fibers<br />

The Courtaulds legacy<br />

The Courtauld Institute of Art<br />

The foundation of the Courtauld Institute of Art was presided over by a triumvirate of<br />

collectors, brought together by a common wish to improve understanding of the visual<br />

arts in Great Britain. Precedents for such an institution existed in Europe and America,<br />

but there was opposition to the idea in Britain, rooted in the country’s deep-seated<br />

conviction that the arts were the playthings of the rich and not a suitable subject for<br />

a university education. Without the initiative and persistence of the founding fathers,<br />

Viscount Lee of Fareham, Samuel Courtauld IV, and Sir Robert Witt, it is doubtful<br />

whether the project would ever have got off the ground.<br />

The founding fathers<br />

The three founders came from very different backgrounds. Lee was the son of a<br />

Dorset rector who rose to eminence through the army, public service and government,<br />

and he knew how to exercise influence. It was Samuel Courtauld IV who provided the<br />

bulk of the money for the enterprise. Courtauld’s wealth came from the family textile<br />

business, but on both sides of his family there were connections with the arts and<br />

traditions of patronage extending back several generations.<br />

Samuel Courtauld IV loved paintings and wrote poems about them. He bought French<br />

Impressionists and Cézannes and took out a lease on the best Adam house in London<br />

in which to display them – a novel and stunning combination. In 1931, he made over<br />

the house in Portman Square, together with the pictures, for the use of the new<br />

Institute – until such time as permanent accommodation could be found for them.<br />

In the event, the Adam house in Portman Square was to be the Institute’s home for<br />

almost 60 years. The third member of the group, Sir Robert Witt, was a successful<br />

lawyer who collected drawings of old masters; but his principal contribution to the<br />

enterprise was a vast collection of reproductions of paintings. Combined with a<br />

similar collection donated by Sir Martin Conway, these were to become the surrogate<br />

primary sources for budding art historians. The aim of the three founders was to<br />

provide training for professionals who intended to enter the various branches of the<br />

art business. The doors of the Institute opened in October 1932.<br />

The Warburg émigrés<br />

On December 12, 1933, as a direct response to the advent of a Nazi government in<br />

Germany, a group of scholars attached to the Warburg Library in Hamburg decided to seek<br />

refuge abroad. Lee and Courtauld were instrumental in arranging for them to be resettled in<br />

London, and their presence slowly but inexorably transformed the perception of art history<br />

in England. The Warburg émigrés introduced standards of scholarship unknown among<br />

English art historians, and they practiced a kind of art history far removed from the connoisseurs,<br />

collectors and the art trade. For the Warburg scholars, the arts were inextricably<br />

bound up with the zeitgeist of the time, and art history entailed research into the past in<br />

which the clear-cut distinction between history and art history ceased to exist. It was an<br />

approach which called for a formidable array of intellectual talents.<br />

Putting art history on the map<br />

The Courtauld Institute of Art became a small powerhouse of intellectual activity which put art<br />

history on the British academic map. Many of its post-war achievements were attributable<br />

to Sir Anthony Blunt, the Keeper of the Royal Pictures, who led a double life as one of the<br />

“Cambridge Five” spy-ring and who eventually defected to the USSR. While Blunt’s duplicity<br />

remains a sensitive topic among Britain’s intelligentsia, his dedication to the success of the<br />

Courtauld Institute is unquestioned.<br />

Under Blunt’s aegis, the Institute’s program of research was left entirely to the students<br />

themselves. Arriving already with graduate qualifications in history, literature, languages<br />

and even philosophy, they quickly acquired an outstanding reputation for their dedication<br />

to the highest standards of post-graduate historical research. A substantial number were<br />

to become leading art historians.<br />

Over the years, the Institute’s success has attracted many private benefactors, who have<br />

continued to expand its considerable collection – most notably Spooner, Gambier-Parry,<br />

and Seilern. In the 1980s, the Courtauld Institute of Art and its collection were relocated to<br />

Somerset House on London’s Strand. It remains an entirely independent institute and, as it<br />

celebrates the 75th anniversary of its foundation, is recognized as an international center of<br />

excellence in the study of art history.


Members of the Viscose Spinning Syndicate. From left to right: C.F. Cross, Edouard Thomas,<br />

Mr. Mutar (secretary to Hugo Kolker), Hugo Kolker, F. Topham and F. Woodley


208<br />

Courtaulds:<br />

From Victorian silk to synthetic fibers<br />

The Courtaulds legacy<br />

The discovery of nylon in America in 1937–1938 helped<br />

to bring home to Samuel Courtauld IV the science-based<br />

nature of the company’s activities. Yet, although Courtaulds’<br />

laboratories proved their practical value in a variety of ways,<br />

the funds invested in basic research remained very low.<br />

The need for directed research work was only just being<br />

realized when war came.<br />

There were bright spots in the gloom, however. Courtaulds<br />

was itself responsible for the successful development<br />

of high-tenacity tire yarn just before the war – a breakthrough<br />

which was to prove of great value. Moreover, a<br />

policy of taking new products to the consumer and demonstrating<br />

them to the more conservative elements in<br />

the textile manufacturing strongholds of Lancashire and<br />

Yorkshire paid off handsomely. But war was to impact this<br />

phase of recovery.<br />

World War II – and the loss of AVC<br />

World War II brought problems to Courtaulds. Output<br />

dropped, costs rose, the burden of taxation grew heavier,<br />

and the Coventry factory suffered badly in the air raids of<br />

1941. But none of these events was as important as the<br />

enforced sale, in 1941, of American Viscose Corporation.<br />

This loss effectively cut Courtaulds Ltd. in half.<br />

The Courtauld Silver Collection<br />

In 1939–1940, the United States was supplying Britain with<br />

armaments on a large scale. In the summer of 1940, the<br />

U.S. Secretary of the Treasury, Henry Morgenthau, suggested<br />

that it would be desirable for British-owned industrial<br />

concerns in the United States to be transferred into<br />

American ownership by way of recompense. The largest of<br />

these was AVC. At the end of 1940, when Britain’s financial<br />

position was rapidly worsening, President Roosevelt<br />

announced the principle of “Lend-Lease”. The pressure to<br />

make Britain sell some of her direct investments in America<br />

grew stronger. In January 1941, Morgenthau stated before<br />

the Senate Foreign Relations Committee that “every dollar”<br />

of British property in the United States would be sold. On<br />

March 10, Morgenthau told the British Ambassador that a<br />

big sale must be made by the end of the week. Plans were<br />

rushed through and on March 16, AVC was publicly signed<br />

away to a syndicate of American bankers. The total payment<br />

was eventually set at just over £27 million.<br />

Post-war recovery and change<br />

Following the death of Samuel Courtauld IV in 1947, Courtaulds embarked on acquiring<br />

what is now known as the Courtauld Silver Collection. The collection comprises pieces by<br />

three generations of 18th century London silversmiths, members of the Huguenot Courtauld<br />

family and ancestors of Samuel Courtauld IV, after whom the Institute is named. The<br />

descendants of Augustin Courtauld were successful, prolific and renowned silversmiths,<br />

and prominent members of the Huguenot community, which contributed so notably to the<br />

arts and skilled crafts, commercial enterprise and public life of 18th century England.<br />

Designed for domestic use and display, the items range in date from 1710 to 1779 and<br />

demonstrate the quality of workmanship and innovative design skills brought to England by<br />

Huguenot refugee craftsmen. The Courtauld Silver Collection now belongs to <strong>AkzoNobel</strong><br />

and is kept on permanent loan at the Courtauld Institute of Art in London.<br />

The existence of this vast amount of cash overshadowed<br />

the course of Courtaulds’ post-war recovery. Expenditure<br />

on directed research was substantially increased and<br />

modernization programs were begun. Meanwhile, the output<br />

of ordinary rayon filament yarn was gradually replaced by<br />

nylon (in stockings) and by cotton variously treated so as to<br />

give crease resistance (in a variety of uses). Rapid expansion<br />

of nylon manufacture started after the war, targeting<br />

commercial markets. In the case of rayon, the increase<br />

in output was concentrated on strong yarns, for tires and<br />

other industrial purposes, and even more so on staple fiber<br />

(fiber that comes in discrete and consistent lengths).<br />

Diversification and the move into<br />

packaging and paints<br />

These measures seemed to be working. But then profits<br />

started to slip. Furthermore, as the full impact of nylon<br />

and other new synthetic fibers made themselves felt,<br />

the whole future of rayon came into question. In this<br />

context of incipient crisis, new policies were contrived.<br />

Successful research work had been proceeding within<br />

the company upon tri-acetate yarns and acrylic fibers.<br />

It was therefore decided to employ new marketing<br />

techniques and embark upon a program of vigorous sales<br />

promotion for these fibers.<br />

Faith in the future of rayon was signaled by further research<br />

efforts designed to improve the quality and versatility of<br />

rayon staple, and a policy of diversification was elaborated.


Henry Greenwood Tetley, the man who understood that Courtaulds had to<br />

find a new product after the collapse of the market for mourning crepe Courtaulds mourning crepe, 1890


210<br />

Courtaulds:<br />

From Victorian silk to synthetic fibers<br />

The Courtaulds legacy<br />

In pursuit of these policies, Courtaulds acquired British<br />

Celanese Ltd. in 1957 and five other rayon companies<br />

between 1959 and 1963. This process of diversification<br />

led in various directions. The company’s existing<br />

interest in packaging, through British Cellophane Ltd., led<br />

to the acquisition of firms making containers of various<br />

sorts. The company’s chemical interests, meanwhile,<br />

pointed the way to a move into paints. The small Cellon<br />

Ltd. (acquired in 1958), the much large Pinchin, Johnson<br />

and Associates Ltd (acquired in 1960) and International<br />

Paints (Holdings) Limited (acquired in 1968), together with<br />

the International name, became the successful Coatings<br />

division of Courtaulds.<br />

ICI bids for Courtaulds<br />

Courtaulds’ fortunes began to improve. Sales of the new<br />

fibers Courtelle ® (the first British acrylic fiber) and Tricel ® were<br />

becoming significant, rationalization within the Courtaulds<br />

Group helped to manage costs, and better trading<br />

conditions improved turnover. Then, in December 1961,<br />

ICI made its famous takeover bid for Courtaulds.<br />

During the autumn of 1961, informal talks about a possible<br />

merger had taken place. Courtaulds’ shares had been<br />

falling on the stock exchange, but they dropped further<br />

at the beginning of November, when a cut in the interim<br />

dividend was announced. Talks between Courtaulds and<br />

ICI continued, but apparently these did not include any<br />

detailed negotiations for a merger or takeover. On December<br />

18, however, preceded by an unexplained press leak,<br />

ICI made a public takeover proposal. Courtaulds opposed<br />

the takeover and advised their shareholders accordingly.<br />

Battle was joined. As the biggest takeover bid in British<br />

industrial history up to that time, the conflict attracted<br />

considerable attention. Courtaulds issued a detailed<br />

statement forecasting a 60 percent rise in profits over<br />

the next three years. This and other measures had the<br />

effect of pushing the stock exchange valuation of the company’s<br />

shares above the value placed upon them by the ICI<br />

offer. On March 12, ICI conceded defeat, having secured<br />

only 38 percent of Courtaulds’ equity.<br />

Shortly thereafter, the chairmanship passed to (later Sir)<br />

C.F. Kearton, who had played a major part in opposing the ICI<br />

bid. The two outstanding features of the company’s performance<br />

and policy in the 1960s were first, not only meeting, but<br />

actually exceeding, the profit forecasts made at the time of the<br />

bid; and, second, the drive to build up viable manufacturing<br />

interests at every level of the textile industry. This was largely<br />

attributable to rapidly increasing sales of Courtelle ® and of<br />

modified varieties of rayon staple fiber. In 1964, the direct<br />

consequences of ICI’s bid were terminated by an agreement<br />

between the two companies. ICI’s 38 percent shareholding<br />

in Courtaulds’ equity was cancelled, and ICI agreed to pay<br />

Courtaulds £10 million over five years; Courtaulds gave up<br />

their 50 percent interest in British Nylon (the viscose-manufactoring<br />

joint venture between Courtaulds and ICI which had<br />

been established in 1940). The commercial production and<br />

sales of nylon 6, marketed as Cellon, now went ahead.<br />

Vertical integration<br />

Overseas, Courtaulds also sold – in 1964 – their 50 percent<br />

shareholding in the joint venture Glanzstoff-Courtauld<br />

of Cologne; likewise it had by 1966 disposed of the last of<br />

its equity investment in the Italian firm of Snia Viscosa. With<br />

the failure of Britain to enter the European Common Market<br />

in 1963, it became increasingly important for Courtaulds to<br />

look to the British textile industry as the main market for its<br />

fibers. In 1964, Courtaulds therefore acquired two major<br />

groups in the British spinning industry. A policy of investment<br />

in modernization was combined with massive expansion, in<br />

weaving, knitting and bonded fabrics, dyeing, printing and<br />

finishing, and the hosiery and garment trades, as well as<br />

the wholesaling and retailing sections of the textile industry.<br />

These developments added up to a distinctive change in the<br />

company’s strategic direction. But they all had their roots in<br />

the task of solving the problem of what to do with Courtaulds’<br />

£27 million of compensation for the loss of AVC.<br />

The last two members of the Courtauld family to sit on the<br />

Board retired in 1965 and 1966, respectively. It was hoped<br />

that the creation of a vertically integrated fibers–textiles group<br />

engineered under Kearton’s aegis would solve the company’s<br />

excessive reliance on rayon. By 1968, Courtaulds controlled<br />

about 30 percent of cotton-type spinning capacity in<br />

the UK, as well as 35 percent of warp-knitting production<br />

and smaller but significant shares in weaving and finishing.<br />

The 1970s fibers crisis<br />

In the short term, the policy paid off. Profits rose to a high<br />

in 1975. However, despite much reorganization carried out<br />

by Kearton and his immediate successor A.W. (later Sir<br />

Arthur) Knight, Courtaulds was not well placed to cope with<br />

the recession of the late 1970s and especially with the crisis<br />

affecting the European man-made fiber and textile industries.<br />

Profits fell sharply in 1976 and, after some recovery, dropped<br />

again in 1981 to their lowest point since World War II.<br />

Sir Arthur Knight’s successor as chairman in 1979 was<br />

C.A. (later Sir Christopher) Hogg, who began a gradual and<br />

total reorganization of the company. During the ensuing<br />

decade, much of the edifice created by Kearton’s move<br />

into spinning, weaving and the mass production of textiles<br />

was dismantled. Despite investment in new machinery,<br />

yarns and fabrics had made losses or very small profits in<br />

the face of cheaper imports and declining markets overseas.<br />

Substantial closures of spinning and weaving mills<br />

followed. Restructuring overseas included the sale of<br />

Courtaulds’ South African pulp interests. Employee numbers<br />

fell – the 1975 workforce of well over 100,000 in the<br />

United Kingdom alone had contracted by 1988 to 46,000 in<br />

the United Kingdom and 22,000 overseas. In contrast, the<br />

other part of Kearton’s diversification – into paints, chemicals,<br />

and packaging – fared much better. The logic of the<br />

fiber-chemical mix came to its ultimate conclusion with the<br />

demerger of Courtaulds Textiles in 1990.<br />

Courtaulds splits into two companies<br />

Courtaulds plc emerged from the break-up as an industrial<br />

manufacturing company of specialty materials, producing<br />

paints and coatings (accounting for 33 percent of profits in<br />

1990), man-made fibers and films (30 percent), acetates and<br />

other chemicals (23 percent), and packaging materials and<br />

sundry specialized products (14 percent). It operated in 37<br />

countries. Courtaulds Textiles plc, with 28,000 employees,<br />

was primarily a UK-based operation with nearly 80 percent<br />

of its workforce there. Its chief activities were the making<br />

of apparel and furnishing fabrics, the manufacture of garments<br />

under various brand names, and a much-reduced<br />

spinning section.<br />

A new era<br />

In 1991, Sir Christopher Hogg was appointed Chairman of<br />

the company and the 30-year Courtaulds veteran Sipko<br />

Huismans was appointed the company’s Chief Executive.<br />

Huismans concentrated on new product development,<br />

consolidation via joint ventures and acquisitions, and geo-


An advertisement for British Celanese from the 1920s<br />

211


212<br />

Courtaulds:<br />

From Victorian silk to synthetic fibers<br />

The Courtaulds legacy<br />

graphic expansion. Asserting in a 1990 Chief Executive<br />

magazine article that “ironically, the demerger made the<br />

mature fibers businesses an even larger proportion of the<br />

new Courtaulds,” Huismans focused new product development<br />

on fibers that would command higher margins.<br />

The most celebrated of these was Tencel ® , a cellulosic<br />

(wood pulp) fiber which boasted strength, softness, washability,<br />

and dyeability. The company started mass production<br />

of this “luxury fiber” in 1992 at a plant in Mobile,<br />

Alabama, and marketed it primarily in Japan. Brisk sales<br />

prompted rapid increases in manufacturing capacity; by<br />

1996 Courtaulds had added a second U.S. factory and<br />

brought a UK plant into operation in 1997.<br />

Acquisition by Akzo Nobel<br />

Huismans retired in July 1996, to be replaced by Gordon<br />

Campbell. In the early 1990s, Courtaulds’ main business<br />

strength was based on technology, particularly polymer technology<br />

and surface science, specializing in products for protection<br />

or decoration in a wide range of demanding environments.<br />

Its businesses included performance films, coatings,<br />

sealants and adhesives, advanced materials, packaging,<br />

chemicals, fibers and films, but before the end of that decade<br />

most of these activities had been divested. Akzo Nobel saw<br />

Courtaulds’ coatings and sealants business as complementary<br />

to its existing business, both in terms of the industry<br />

segments in which they operated and their geographic coverage,<br />

and it also believed that the acquisition of Courtaulds<br />

would help it to strengthen and broaden its coatings activities.<br />

Adding Courtaulds’ fibers activities to Akzo Nobel’s existing<br />

fibers group would create a broadly based international fibers<br />

business which Akzo Nobel believed would be viable as a<br />

stand-alone company that could ultimately be spun off.<br />

On May 11, 1998, Akzo Nobel made an offer to acquire the<br />

whole of the issued share capital of Courtaulds plc. By July<br />

7, 1998, acceptances had been received in respect of more<br />

than 90 percent and the offer was declared wholly unconditional.<br />

Akzo Nobel then merged all its fibers activities into<br />

a new business called Acordis, thus creating a potential exit<br />

for both companies from this poorly performing area. Acordis<br />

was subsequently sold to CVC Capital partners in 1999.<br />

The EU competition authority insisted on the divestment of<br />

Courtaulds’ aerospace interests. <strong>AkzoNobel</strong> has nevertheless<br />

built an extremely strong position in aerospace coatings<br />

by virtue of subsequent acquisitions and is now equal to<br />

PPG Industries of the United States in this field. (Interestingly,<br />

PPG Industries mounted a counter bid for Courtaulds, with<br />

a partner to take over the fibers operation, but subsequently<br />

withdrew this offer after completing a deal with Akzo Nobel<br />

to acquire Porter Paints and the worldwide Packaging<br />

Coatings business.)


Women workers reeling yarn, Wolverhampton, England, 1930<br />

213


214<br />

The founding partners of Holzapfels Limited pictured in 1885:<br />

the Holzapfel brothers (Max, W. and L. – names unknown),<br />

a Mr F. Schnitger and another unidentified gentleman


The Courtaulds legacy<br />

It began in 1881 with a handful of wooden casks, a simple mixing process,<br />

and two brothers determined to make their way in the world of marine<br />

paint. Max and Albert Holzapfel were young, ambitious and confident<br />

of success. But even they could hardly have foreseen the growth that<br />

would eventually push their business into worldwide expansion.<br />

215<br />

Overview<br />

The birth of the red propeller brand<br />

An international name for an international company<br />

Acquisition by Courtaulds<br />

Product innovation and geographical growth<br />

New technologies and markets


216<br />

International:<br />

A company with a truly international mindset<br />

The Courtaulds legacy<br />

In 1881, their first priority was to build firm foundations at<br />

home. The Holzapfels – German-born, British by adoption<br />

– went into business with a third partner, Charles Petrie,<br />

mixing paint by hand in a shipyard shed on the River Tyne<br />

in Newcastle. As unknowns in a booming industry, they<br />

faced a tough challenge persuading ship owners and ship<br />

builders to buy their fledgling products. Yet even while concentrating<br />

on British customers, they were thinking about<br />

wider possibilities.<br />

The birth of the red propeller brand<br />

International was launched, with its distinctive red propeller<br />

brand, as the name for a marine antifouling paint strong enough<br />

to protect ocean-going vessels even in the harshest of marine<br />

environments. The name caught on, customer demand grew,<br />

and the company moved to larger premises in Gateshead, a<br />

stone’s throw to the south, where it introduced iron mixing<br />

tanks and a mechanized process.<br />

Further expansion followed, and in 1904 the company built<br />

a landmark factory a few miles further to the southeast at<br />

Felling-on-Tyne, which has been its main operational base<br />

ever since. Future efforts would concentrate on extending its<br />

activities around the world and making the International name<br />

respected throughout the global marine industry.<br />

Overseas production had begun in 1889, with a factory built<br />

in Russia to avoid the heavy duties on imported paint in<br />

that country. Other initiatives followed in Denmark, Italy and<br />

Germany, and 1901 saw the first foothold in the New World.<br />

An American operation, International Paint Co. Inc., was registered<br />

in New Jersey and produced coatings in Brooklyn, New<br />

York, selling to ship owners along the United States’ eastern<br />

seaboard. By 1914, International’s reputation was growing fast,<br />

and new factories were added in Sweden, France and Japan.<br />

An international name<br />

for an international company<br />

Even World War I did little to halt progress. Now known officially<br />

as International Paints, the company moved its headquarters<br />

to London and embarked on a further period of<br />

expansion, starting up new operations of its own, acquiring<br />

others and breaking into different user markets. Holzapfels<br />

Limited changed its name to The International Paint &<br />

Compositions Co. Ltd in 1918 and ultimately to International<br />

Paints (Holdings) Ltd in 1951.<br />

Activities were launched in Spain, Canada, Brazil, Mexico,<br />

Australia and New Zealand and began to include the manufacture<br />

and marketing of coatings for domestic and industrial,<br />

as well as marine, applications. International also started<br />

supplying yacht paints as a separate operation, focusing on<br />

the sale of smaller packs to pleasure-boat builders, firstly in<br />

the UK in 1931, then in the United States the following year.<br />

The company’s activities continued to advance on a wide<br />

front. When World War II started, International was well<br />

placed to help the Allies’ cause, servicing naval fleets and<br />

supplying coatings for military hardware. Post-war progress<br />

continued with a scheme to expand and modernize the<br />

Felling factory, building new research, production, office and<br />

canteen facilities. More overseas businesses were set up<br />

– in the Netherlands, Portugal, Nigeria and Venezuela – and<br />

the company added drum-making, ships’ stores and paint<br />

application to its range of interests. By this time, however,<br />

diversification was bringing its own difficulties, and the scene<br />

was set for a major shift in the way UK coatings businesses<br />

were owned and operated.<br />

Acquisition by Courtaulds<br />

Courtaulds, a leading producer of man-made fibers (which<br />

was to be acquired by Akzo Nobel in 1998) decided to move<br />

into paints, and in 1958 acquired aircraft coatings specialist<br />

Cellon. Two years later, Courtaulds took over Pinchin<br />

Johnson & Associates (PJA), suppliers of coatings for a wide<br />

range of industrial applications, from food cans to automobiles.<br />

PJA was a large conglomerate in its own right and a<br />

successful coatings company that had been trading since<br />

1834. Finally in 1968, PJA – now a wholly owned subsidiary<br />

of Courtaulds (Courtaulds acted as a white knight) – acquired<br />

International Paints (Holdings) Ltd, of which Shell had been a<br />

former shareholder. Courtaulds then set about merging all its<br />

Coatings interests under the International banner, changing<br />

the name of PJA to The International Paint Co. Ltd. Ultimately<br />

the name was changed to International Paint Ltd.<br />

Like International, PJA was a British-owned enterprise which<br />

had established its home base on the banks of a major commercial<br />

waterway – in London’s Silvertown, on the Thames –<br />

and spread across the world. But there the similarities ended.<br />

Pinchin Johnson had started life as a producer of oils and<br />

turpentines in the East End of London, supplying the embryonic<br />

businesses emerging from Britain’s Industrial Revolution.<br />

Not only was its product expertise different from that of<br />

International, but it also pursued worldwide growth mainly by<br />

acquiring other companies and technologies. By 1930, Red<br />

Hand, Docker Brothers and Robert Ingham Clark were just<br />

some of the many acquisitions grouped under the company’s<br />

umbrella, servicing customers in the automotive, aviation,<br />

packaging, building, passenger transport and domestic appliance<br />

industries. Overseas, Pinchin Johnson had businesses in<br />

Europe, Australia, New Zealand and India, with smaller operations<br />

in the United States, Nigeria and the Far East.<br />

The challenge facing Courtaulds in 1968 was how to weld<br />

these two business aggregations into a more manageable<br />

whole. Both were suffering from the same problems: too many<br />

markets, not enough profits. Inevitably, some overlapping<br />

activities were sold off, and by the end of the 1980s Courtaulds<br />

had narrowed down the range of coatings markets that it supplied<br />

to packaging, marine and yacht, protective, agricultural,<br />

domestic appliance, architectural and aerospace, plus – in<br />

some countries – decorative paint.<br />

Product innovation and geographical growth<br />

Two moves, one product-based and the other geographic,<br />

showed that the newly shaped International Paint Co. was<br />

just as determined to grow as its predecessors had been.<br />

Solvent-free powder coatings, partly because of their environmental<br />

advantages, were beginning to challenge wet<br />

paints as the preferred product for metal protection across a<br />

whole range of industrial products, and International became<br />

an early leader in this developing technology. It opened a<br />

new factory at Felling in 1974, acquired powder coatings<br />

businesses in Germany, Brazil and Italy, and started producing<br />

in the Far East and Australia. By the 1990s, 15 plants<br />

were operating worldwide and the Interpon ® powder brand<br />

was selling in more than 40 countries.<br />

The major geographic push came across the Asia Pacific<br />

region, as International moved to satisfy demand for marine,<br />

protective, packaging and powder coatings in those rapidlygrowing<br />

economies. Singapore became the springboard for<br />

expansion into Korea, Malaysia, Thailand, China, Taiwan and<br />

Indonesia, mostly through joint operations with local companies.<br />

It was a campaign of growth which lasted for most of the<br />

1980s and 1990s. Once again, International had found the<br />

right formula – replicating homegrown technology in different<br />

parts of the world and nursing it to fruition with local knowledge<br />

and skills. Similar joint businesses were set up in the<br />

Middle East, and operations were strengthened in Australia


Employees gather around the original barrel used by the Holzapfel Brothers to make varnishes in a yard behind the Dunn Cow Inn around 1886.<br />

This photograph was taken in 1955 in the Felling production area, where the barrel is kept on display<br />

217


218<br />

Interior of Tankhouse 6 at Felling,<br />

United Kingdom, in 1995


Marine coatings being delivered to a ship<br />

at the dockside, ready to be loaded for the<br />

purposes of maintenance while the vessel is<br />

at sea. Pinchin Johnson and Company Ltd<br />

(established in 1899) acquired the Red Hand<br />

Compositions Company in the early 1920s to<br />

produce paints and coatings for the marine<br />

industry. This photograph dates from the<br />

early 1960s


220<br />

International:<br />

A company with a truly international mindset<br />

The Courtaulds legacy<br />

and the United States. Courtaulds’ acquisition of U.S. companies<br />

Porter Paints and DeSoto added trade paints and<br />

aerospace coatings respectively to the product mix, while in<br />

Europe, International took full control of a marine business in<br />

Norway which it had previously partly owned.<br />

New technologies and markets<br />

Other acquisitions gave the company an entry into new yacht<br />

coating technologies and markets: Extensor, a Swedish<br />

business specializing in thin-film products for high-speed<br />

craft; and Epiglass, in New Zealand, producing a range of<br />

epoxy products targeted at DIY boat builders – now a major<br />

sales outlet.<br />

At the same time, technological advances kept the company<br />

ahead of its competitors in many fields, particularly marine<br />

applications. Self-polishing copolymer, a revolutionary antifouling<br />

developed at Felling, became a worldwide bestseller,<br />

and innovative work on tin-free coatings has kept up the<br />

momentum, providing a new generation of products that<br />

comply with today’s tougher environmental requirements.<br />

By 1998, Coatings & Sealants was the most profitable<br />

of Courtaulds’ activities, and plans were announced to<br />

launch it as a separate business. This prompted an offer<br />

from Akzo Nobel for the whole of Courtaulds (fibers and<br />

coatings), which was accepted by the required majority of<br />

shareholders. Akzo Nobel had to dispose of Courtaulds’<br />

aerospace interests because of competition issues; the<br />

remaining coatings operations were realigned in the integration<br />

following the takeover.<br />

<strong>Today</strong>, as one of six <strong>AkzoNobel</strong> Coatings business areas,<br />

International Paint maintains its responsibility for supplying<br />

the Marine, Protective, Yacht and Aerospace coatings markets.<br />

Its former powder activity now operates as Powder<br />

Coatings, a separate Coatings business within <strong>AkzoNobel</strong>,<br />

and is the world’s largest manufacturer of powder coatings.<br />

In all four of its current business activities, International<br />

continues to be a major global force. It is the world market<br />

leader in heavy-duty coatings for shipbuilding and repair, the<br />

largest manufacturer of high performance protective coatings<br />

for building construction and maintenance, the leading<br />

supplier of yacht paints for pleasure boats, and a major coatings<br />

supplier to the world’s aerospace industry.<br />

Intersleek ® 900 – helping to reduce the<br />

environmental impact of shipping<br />

With an estimated 300 million tons of fuel consumed annually by the world’s fleet, there is a<br />

clear need to reduce the environmental impact of shipping. At this level of consumption, the<br />

industry emits some 960 million tons of CO 2 and 9 million tons of SO 2 annually.<br />

The International Maritime Organization estimates that without corrective action and the introduction<br />

of new technologies, air emissions due to increased bunker fuel consumption by the<br />

world shipping fleet could increase by 38 to 72 percent by 2020.<br />

For decades now, the industry has sought viable means of saving energy. One option is<br />

through the use of antifouling coatings. These improve the speed and energy efficiency of<br />

ships by preventing organisms such as barnacles and weeds from building up on the underwater<br />

hull and thus restricting the ship’s movement through the water.<br />

International Paint has supported the shipping industry with pioneering antifouling technology<br />

since the introduction of the first Self-Polishing Copolymer (SPC) antifouling in 1974. In 1996,<br />

International Paint introduced Intersleek ® 425, the first commercially available biocide-free foul<br />

release technology for fast craft. In 1999, the revolutionary Intersleek ® 700 for deep sea vessels<br />

was launched.<br />

This silicone-based technology works on a foul release basis by providing an extremely slippery<br />

surface to which fouling organisms have difficulty attaching themselves. Any which do<br />

succeed can normally only attain a weak hold and are in general easily removed.<br />

Within a short time, Intersleek ® 700 became the industry benchmark in foul release technology.<br />

It was followed in 2007 by Intersleek ® 900 – a unique new patented fluoropolymer<br />

foul release coating which significantly improves on the performance of Intersleek ® 700’s silicone-based<br />

system. With unprecedented low levels of average hull roughness combined with<br />

excellent foul release capabilities and good resistance to mechanical damage, Intersleek ® 900<br />

offers the benefits of foul release technology to all vessels with an average speed of above 10<br />

knots for the first time ever.


International Paint, with its renowned red propeller logo, is the world<br />

leader in high performance marine coatings<br />

A Corona spray gun spraying a powder coating onto a substrate.<br />

Powder coatings are more environmentally friendly than traditional<br />

paints as they do not contain solvents


222<br />

1<br />

ICI, p. 225<br />

London<br />

Alderly Park<br />

Billingham<br />

Jealotts Hill<br />

Runcorn<br />

Severnside<br />

Slough<br />

Teesside<br />

Winnington<br />

marks the place on the map where the company<br />

in question (see the left-hand column) was<br />

founded.<br />

Locations named in a chapter are listed on the<br />

left under the name of the relevant company. The<br />

fi rst location named is the place where the company<br />

was founded; all other locations are listed<br />

alphabetically.<br />

If locations cannot be distinguished from one<br />

another because they are too close together, a<br />

place already shown on the map or one that is<br />

central to those locations is given in parenthesis.<br />

Ireland<br />

Dublin <br />

Belfast <br />

Glasgow <br />

Scotland<br />

Wales<br />

Aberdeen <br />

Edinburgh<br />

<br />

<br />

Leeds<br />

Manchester<br />

Liverpool<br />

<br />

<br />

Birmingham<br />

England<br />

Cardiff<br />

<br />

Bristol <br />

<br />

France<br />

1<br />

London


223


224<br />

Soap and soda works in Widnes, Lancashire, in the 1890s.<br />

The technologies of the day were extremely polluting. Ludwig Mond,<br />

co-founder of ICI, devised a process for recovering sulfur from the<br />

manufacturing process, thus reducing pollution


The ICI legacy<br />

Imperial Chemical Industries (ICI) is unique among companies<br />

that have gone into creating <strong>AkzoNobel</strong> in that it<br />

was born on a ship. That vessel was the RMS Aquitania,<br />

aboard which the company’s constitution – the “Aquitania<br />

Agreement” – was drawn up during a trans atlantic crossing<br />

in 1926. ICI was the result of a merger of four British companies<br />

which came together with the objective of challenging<br />

the rest of the world’s chemical producers. The<br />

four were the alkali company Brunner, Mond & Co. Ltd<br />

(“Brunner Mond”); the British arm of Nobel Industries (the<br />

explosives concern established in 1870 by Alfred Nobel<br />

and described elsewhere in this volume); United Alkali;<br />

and British Dyestuffs. The merger was a response to two<br />

main factors. On the one hand, ICI’s founders feared the<br />

ascendancy of the German chemicals industry, which had<br />

emerged from World War I even stronger than before. On<br />

the other, they needed to find an answer to the growing<br />

power of the American chemical industry, with its aggressive<br />

promotion of free trade.<br />

The Aquitania Agreement<br />

Magnificence on Millbank<br />

Depression and disaster<br />

Into the age of plastics<br />

The invention of polythene<br />

The Fawcett disclosure<br />

An improved process for the production of<br />

polythene<br />

Polythene is patented<br />

Polythene is manufactured on industrial<br />

scale<br />

Polythene is used in radar<br />

The Ziegler process for polythene<br />

manufacture<br />

Profits from war<br />

The invention of Perspex ®<br />

Man-made fibers<br />

Terylene ® – the first polyester<br />

Nuclear fission<br />

Polythene enters the domestic market<br />

Revolution in refrigeration<br />

A new generation of dyestuffs<br />

225<br />

Overview<br />

The Dulux ® dog<br />

ICI becomes a pharmaceutical player<br />

The war against malaria<br />

The first usable penicillin<br />

A breakthrough anesthetic: Fluothane ®<br />

James Black invents beta-blockers<br />

Pesticides and hormonal weed killers<br />

The first hormonal weed killer<br />

Growing a new protein<br />

The environmental revolution<br />

Substitutes for CFCs<br />

Driving environmental standards<br />

Biopol ® – the biodegradable plastic<br />

Advanced materials for aerospace<br />

“Fewer but better” drugs<br />

Recession and turnaround in the 1980s<br />

ICI becomes a specialty chemicals and<br />

paints producer<br />

ICI focuses on high-growth, high-margin<br />

businesses<br />

Acquisition by <strong>AkzoNobel</strong>


226<br />

Imperial Chemical Industries<br />

The ICI legacy<br />

In the 1870s Britain had had the world’s largest heavy chemical<br />

industry, focused chiefly on heavy bulk products such<br />

as soda ash, chlorine, sulfuric acid, bleach, and industrial<br />

explosives. The leading British company was Brunner Mond,<br />

founded in 1873 by John Tomlinson Brunner and Ludwig<br />

Mond, a brilliant German chemist who saw that the future for<br />

soda-ash production lay in the new Solvay process, which<br />

produced a purer and more economical ash than the older<br />

Leblanc manufacturing process. Soda ash was a key raw<br />

material for the glass, paper, soap and textile industries,<br />

among others. Brunner Mond licensed in the Solvay process<br />

in 1873 and within 20 years became the world’s biggest alkali<br />

manufacturing business.<br />

Alfred Nobel’s companies stretched throughout Europe<br />

and also operated in America. They were nowhere stronger<br />

than in Britain, where Nobel founded the British Dynamite<br />

Company in Glasgow in 1871. This British company, whose<br />

title soon changed to Nobel Explosives Ltd, was by 1886<br />

linked to four Nobel companies in Germany under a holding<br />

company called the Nobel-Dynamite Trust Company Ltd<br />

– a powerful combine which endured until the World War I,<br />

being formally disbanded in January 1915.<br />

United Alkali had its origins in the older Leblanc process for<br />

manufacturing soda ash. Although the new Solvay process<br />

produced superior soda ash, manufacturers using the<br />

Leblanc process managed to survive by producing chlorine<br />

as a by-product – something that even the brilliant Ludwig<br />

Mond had not managed to derive from the Solvay technique.<br />

A by-product of chlorine was bleaching powder, which found<br />

extensive use in the textile industry and which Mond had<br />

likewise been unable to recover from the Solvay system. In<br />

1891 the British companies using the Leblanc process amalgamated<br />

under the presidency of Sir Charles Tennant and<br />

renamed themselves the United Alkali Company. Capitalized<br />

at more than £8 million, it was the world’s largest chemical<br />

business at the time, with 48 factories in Britain.<br />

The British Dyestuffs Corporation was founded in 1919 by<br />

the amalgamation of British Dyes Ltd with Levinstein Ltd,<br />

the British Alizarine Company and a dozen lesser dyestuff<br />

manufacturers. Although a British chemist, W.H. Perkin, was<br />

first in the world to succeed in synthesizing a natural dye (the<br />

color mauve, which he extracted from aniline in 1856), by<br />

1914 Germany led the world in dyestuff manufacture, producing<br />

88 percent of all synthetic dyes. The whole of German<br />

industry suffered in the wake of the war, but it was surprisingly<br />

quick to recover. By the year of ICI’s foundation, the<br />

country’s leading chemical manufacturers – BASF, Hoechst,<br />

Bayer and Agfa – had not only recovered the dyestuff markets<br />

which they had dominated before 1914 but also leaped<br />

ahead in connected fields such as pharmaceuticals and photographic<br />

supplies. Even before the war, German industrial<br />

chemists were outstripping their British counterparts in the<br />

development of products such as varnishes, cellulose fibers,<br />

insecticides, pigments and perfumes. The combined power<br />

of German chemical manufacture, united under the umbrella<br />

of IG Farben, was in fact greater than before 1914.<br />

The British chemical industry made one important acquisition<br />

as a result of World War I however – that of the Haber-<br />

Bosch process for synthesizing ammonia. First used on an<br />

industrial scale in Germany in 1913, this process created<br />

synthetic ammonia by “fixing” nitrogen in the atmosphere.<br />

Used for the manufacture of both fertilizers and explosives,<br />

synthetic ammonia played an important role in sustaining<br />

Germany’s war effort. This process was appropriated by<br />

British chemists shortly after the 1919 Armistice and gave<br />

Brunner Mond the wherewithal to develop a British nitrogen<br />

industry. At the behest of the British Ministry of Munitions,<br />

a plant capable of producing 60,000 tons per year of<br />

ammonium nitrate by the Haber-Bosch method was built<br />

shortly afterwards by Brunner Mond at Billingham, near<br />

Middlesborough in north east England; it was to become the<br />

biggest single working asset of the new Imperial Chemical<br />

Industries combine.<br />

If the British chemical industry had much still to fear from its<br />

former enemy, Germany, it had just as much reason for disquiet<br />

in the face of its ally the United States. In 1920 Orlando<br />

F. Weber established Allied Chemical and Dye Corporation.<br />

Created out of the union of five American companies<br />

making everything from alkali to dyes, Allied came to the<br />

market valued at $282.7 million – a sum which outweighed<br />

the value of the entire British chemical sector. Weber had<br />

no patience with the traditional European cartel system<br />

and resolved to carve out a bigger slice of world export<br />

markets for Allied.<br />

By this time Sir Alfred Mond (the second son of Ludwig<br />

Mond) had assumed the leadership of Brunner Mond.<br />

Sir Alfred believed that the future lay with bigger business<br />

units and was the first to apply the term “rationalization” to<br />

the organization of business. His flair was much needed at<br />

Brunner Mond, for the investment in the Billingham ammonium<br />

nitrate plant, in combination with a costly lawsuit<br />

with Lever Brothers over the control of the alkali and soap<br />

industries in Britain, had left the company in need of capital.<br />

Sir Alfred began to look for a merger partner.<br />

Sir Alfred’s first inclination was to seek a merger with arch-rival<br />

IG Farben of Germany. He had always admired the German<br />

chemical industry’s technical brilliance and was interested in<br />

IG’s attempts to extract oil from coal. This vision was to yield,<br />

however, to the views of his fellow captains of industry during<br />

a series of ever more intense discussions during 1925 and<br />

1926; the outcome was to be the formation of ICI.<br />

Nobel Industries in Britain emerged from World War I very<br />

changed, and was further weakened by the bitter 20-week<br />

coal strike of 1926. The company’s chairman, Sir Harry<br />

McGowan, believed that Nobel Industries’ future lay outside<br />

its core competence in explosives and began to invest<br />

heavily in the motor industry. Governmental concern with<br />

the flagging performance of British Dyestuffs in the face of<br />

IG Farben’s technical superiority was to prompt a move of<br />

a different kind, however. Reginald McKenna, the former<br />

British Chancellor of the Exchequer, suggested to Sir Harry<br />

McGowan that a coalition of British companies should take<br />

over British Dyestuffs. Sir Harry suggested instead the creation<br />

of a “British IG” – a combination of Nobel Industries,<br />

Brunner Mond, United Alkali and British Dyestuffs itself. Thus<br />

were the seeds of the ICI concept first sown.<br />

Subsequent discussions of this proposal with Sir Alfred<br />

Mond proved initially unfruitful, however. Sir Alfred was still<br />

interested in the idea of a merger with IG Farben and was<br />

actively pursuing a project to license in the use of IG Farben’s<br />

oil-from-coal technology. Negotiation of this agreement was,<br />

however, to bring the eventual founders of ICI together on<br />

the RMS Aquitania.<br />

The Aquitania Agreement<br />

Sir Alfred crossed the Atlantic on August 21, 1926 to discuss<br />

the oil-from-coal project with Orlando Weber of Allied – for<br />

although the United States possessed its own rich reserves<br />

of oil, it was assumed that the Americans would also wish<br />

to be party to the extended use of IG’s new technology.<br />

Carl Bosch of IG Farben, meanwhile, set sail from Germany<br />

on 15 September with his own plan to negotiate an agreement<br />

with Allied concerning the oil-from-coal project.<br />

Sir Harry McGowan, who had just been on a business trip<br />

to Africa, feared that a “British IG” might be created in New<br />

York without the participation of Nobel Industries. He therefore<br />

caught the next westbound liner out of Southampton,


ICI was created by the merger of four companies, each with its own distinctive logo.<br />

The wavy lines in the Nobel Industries logo were borrowed for the new ICI logo<br />

227


228<br />

Imperial Chemical Industries<br />

The ICI legacy<br />

arriving in New York on September 24. Over lunch with Sir<br />

Alfred Mond the next day, McGowan argued for a merger of<br />

the four leading British chemical companies, hinting that if<br />

Mond did not agree, Nobel Industries would link up with IG<br />

Farben. Mond was persuaded and the merger was agreed<br />

the following day. Carl Bosch and the IG Farben team were<br />

cut out of the equation, and the prospect of collaboration<br />

with IG was abandoned.<br />

Mond and McGowan returned to Britain on the Aquitania.<br />

During the voyage, it was decided that the new company<br />

was to acquire, by exchange of shareholdings, the capital<br />

of Brunner Mond, Nobel Industries, United Alkali (which had<br />

not yet been consulted), and British Dyestuffs Corporation.<br />

Mond and McGowan agreed to name the new company<br />

Imperial Chemical Industries Ltd, a name chosen – as the<br />

company’s first shareholder prospectus explained – “to<br />

lay emphasis upon the fact that the promotion of Imperial<br />

trading interests will command the special consideration and<br />

thought of those who will be responsible for directing the new<br />

Company.” The British Empire, shareholders were reminded,<br />

was “the greatest single economic unit in the world,” and it<br />

would be the avowed intention of the new combine “without<br />

limiting its activities in foreign overseas markets, especially<br />

to extend the development and importance of the Chemical<br />

Industry throughout the Empire.”<br />

The spoils of war<br />

Sir Alfred Mond became ICI’s first chairman, with Sir Harry<br />

McGowan assuming the positions of deputy chairman<br />

and president of the board. United Alkali agreed to the<br />

four-way merger that had been sprung upon them, and<br />

Imperial Chemical Industries was formally incorporated on<br />

December 7, 1926. It took its famous logo from the original<br />

logo of Nobel Industries and was ready for business on<br />

January 1, 1927. In its first year of trading, the new chemical<br />

giant sold £27 million worth of products and made a pre-tax<br />

profit of £4.5 million.<br />

Magnificence on Millbank<br />

On the day after the Armistice, with most of London still roaring drunk and cavorting joyfully<br />

in the streets, a young army major named Francis Freeth, who had been a chemist with<br />

Brunner Mond before the war, called on Lord Moulton in his office and urged him to send<br />

a chemical mission to join the British Army as it advanced through Germany towards the<br />

Rhine. The object, in Freeth’s words, was “to pinch everything they’ve got.” Specifically, he<br />

had in mind the BASF plant near Oppau on the Rhine, where the Haber-Bosch process had<br />

been in production since 1913. Raiding Oppau’s secrets as part of the spoils of war seemed<br />

to Freeth a much more satisfactory method than painstakingly trying to unravel the German<br />

patents. (BASF’s British patents were taken over anyway in the aftermath of war.)<br />

Moulton demurred, though not with great conviction. Others in Whitehall supported Freeth’s<br />

idea and in April 1919 a group of five British chemists duly moved into Oppau, then occupied<br />

by French troops. The BASF management protested to the French commanding officer<br />

ICI identified itself intimately with the British Empire. When the<br />

Registrar of Joint Stock Companies had objected to the proposed<br />

use of the word “Imperial” in the new company’s title,<br />

Sir Alfred Mond and McGowan protested to the President of<br />

the Board of Trade, stating, “We are ‘Imperial’ in aspect and<br />

‘Imperial’ in name … The developments which this Company<br />

has in view, we may confidentially inform you, will be of enormous<br />

value, both from the point of view of national defense<br />

and of the economic position of the Empire.”<br />

“The ICI”, as the company became familiarly known,<br />

employed 33,000 people working in alkali products, metals,<br />

explosives, dyestuffs, and general chemicals including chlo-<br />

rine, acids and synthetic ammonia. ICI’s chief business ally<br />

overseas became the American company DuPont, with which<br />

Nobel Industries had had a strong relationship prior to the<br />

foundation of ICI.<br />

Within two weeks of ICI’s registration as a company, the<br />

excavators were moving in to prepare the foundations of a<br />

magnificent headquarters on London’s Millbank, facing the<br />

Thames near the Houses of Parliament. Imperial Chemical<br />

House went up faster than any other structure of its size<br />

in Britain. It was the first building in the world to be lit by<br />

“artificial daylight” (provided by tungsten lamps in pale-blue<br />

globes); it also had its own artesian wells. The metal fittings<br />

were of a copper and nickel alloy called “Silveroid”, made by<br />

the Mond Nickel Company and using Ludwig Mond’s patented<br />

nickel manufacturing process. The same material was<br />

used to coat the almost 7-meter high main doors, made of<br />

cast bronze and modeled with panels in bas-relief illustrating<br />

the application of science to industry.<br />

In labor relations, the new company started with the reputation<br />

of Brunner Mond’s tradition of “co-workers in industry”<br />

and the works councils, which gave employees direct<br />

access to their managers, but, above all, with the concept<br />

of profit-sharing, which for Sir Alfred Mond lay at the heart<br />

of the co-partnership idea. “The best answer to socialism<br />

is to make every man a capitalist,” Sir Alfred wrote in 1927.<br />

that if he let the British in, they would shut down the plant and throw 10,000 people out of<br />

work. The British party was accordingly asked merely to observe the works, not to take measurements<br />

or draw plans. As they moved through the BASF plant, they found blacked-out dials<br />

on the machinery and great gaps where stairs and ladders had been removed between floors.<br />

The British scientists had to rely on memory, making up sketches and reports as quickly as<br />

they could after leaving. On the way home to England, their luggage was stolen from a locked<br />

and guarded railway wagon. One member of the party, however, had prudently kept his<br />

notes with him in a kitbag, and from these a report was put together, which enabled Brunner<br />

Mond to work out how the system could be constructed. Thirteen rough drawings formed the<br />

basis of the plant; they were drawn in such haste and enthusiasm by one of the Oppau party,<br />

Captain A.H. Cowap, that Brunner Mond’s office manager had to stand by him sharpening<br />

colored pencils as quickly as he broke them in his eagerness to get the details down.


ICI’s purpose-built headquarters on Millbank, London, were a monument<br />

to the art deco movement. Here craftsmen work on carvings in the<br />

unfinished building


230<br />

Imperial Chemical Industries<br />

The ICI legacy<br />

In pursuit of this, he introduced the ICI Workers’ Shareholding<br />

Scheme, which enabled employees to buy the company’s<br />

ordinary shares below the market price and to pay for them<br />

in installments. As Lord Melchett (Sir Alfred Mond was made<br />

a peer in 1928), he told ICI’s Central Works Council in 1928,<br />

“I look on you as my friends and partners, without whom I<br />

could do nothing and without whom the shareholders would<br />

never see any dividends.”<br />

From the beginnings of ICI, Lord Melchett was determined<br />

to maintain his father’s philosophy of attracting the best<br />

scientific talent of the day to work on industrial problems.<br />

This was the only way, he believed, to match the technological<br />

achievements of IG Farben. Brunner Mond had had<br />

its own well-established head-hunting system. This tradition<br />

was continued within ICI and was supplemented by a<br />

scheme for identifying potential talent within Britain’s public<br />

schools and universities.<br />

To fertilize the new company with scientific talent, Lord<br />

Melchett followed another German practice, setting up a<br />

research council with the universities in 1927 through which<br />

leading academic scientists would be invited to brainstorming<br />

sessions with ICI scientists. The scheme was intended to<br />

provide ideas for promising lines of work in ICI laboratories.<br />

Within a year, ICI’s expenditure on research rose from<br />

£221,000 to £350,000, and recruitment of chemists and<br />

engineers burgeoned.<br />

Depression and disaster<br />

Formative influences:<br />

Sir John Brunner and Ludwig Mond<br />

Ludwig Mond was born in Cassel, in Germany, studied under Bunsen at Heidelberg, and<br />

settled in England in 1864. From his earliest work as a chemistry student, Mond was driven<br />

by the conviction that the wasteful processes of 19th century industry contained a huge<br />

potential for new products and businesses. It was this which led to the first of his scores<br />

of patents, filed in 1861, when he was 22 years, for recovering sulfur from alkali waste, and<br />

ultimately to his perception that the future of the alkali industry lay with the Belgian Solvay<br />

process for producing soda ash.<br />

John Tomlinson Brunner entered parliament in 1885 and gained the nickname the<br />

“Chemical Croesus”. He remained a conscientious backbencher for the next 25 years, and<br />

was made a baronet in 1894. Although he withdrew from the day-to-day business of running<br />

Brunner Mond in pursuit of public life, he remained chairman of the company until 1918.<br />

The characters of Sir John Brunner and Ludwig Mond had a formative influence on the<br />

company they founded, and indirectly but powerfully helped to shape the corporate ethos<br />

ICI’s research program was torpedoed by the Great<br />

Depression. Even before the Wall Street Crash, however,<br />

everything was going wrong at the new chemical giant. ICI’s<br />

success had been largely predicated on the Brunner Mond<br />

nitrogen plant at Billingham supplying an ever-increasing<br />

demand for fertilizers. But the forecasts were wrong. The<br />

world already had far too much production capacity.<br />

Furthermore, market-sharing agreements between ICI and<br />

IG Farben had failed to materialize. The collapse of the<br />

money markets in New York in October 1929 multiplied the<br />

consequences of the nitrogen over-supply for farm products<br />

of all kinds. The Billingham plant had been built on a<br />

scale far in excess of any realistic level of demand. Indeed,<br />

ICI came close to bankruptcy by the end of 1929.<br />

Could the investment at Billingham be rescued? The answer,<br />

Lord Melchett persisted in believing, lay in the dream of<br />

extracting oil from coal. But ICI’s future was in fact to be<br />

secured not by heavy chemicals and bulk commodities, or<br />

even by oil from coal, but from up to then neglected sections<br />

of the company such as Dyestuffs and Explosives. An<br />

entirely new kind of chemical industry was to develop at ICI<br />

– one built on plastics, man-made fibers, pharmaceuticals<br />

and agricultural chemicals.<br />

Into the age of plastics<br />

Plastics of a kind, though not known as such, had existed<br />

since 1862, when Sir Alexander Parkes’ new material – a form<br />

of nitrated cellulose known after its inventor as “Parkesine” –<br />

was exhibited for the first time at the International Exhibition<br />

in London. The better-known “Celluloid,” invented by the<br />

American John Wesley Hyatt in 1869, was also a nitrocellulose<br />

compound. Less flammable acetate resins were patented<br />

by Cross and Bevan in 1894 and phenol formaldehyde<br />

resins by the Belgian Leo Baekeland in 1909. Under<br />

the trade name of Bakelite ® , the latter was used for many<br />

domestic objects in the homes of the 1920s.<br />

of Imperial Chemical Industries. Mond’s passion for laboratory research and his incessant<br />

seeking after new markets that could be created out of scientific discovery gave Brunner<br />

Mond an edge of innovation, while Brunner’s radical instincts and non-conformist background<br />

molded the company’s reputation as a progressive employer in the tradition of the<br />

Rowntrees, Cadburys, Wedgewoods and Courtaulds. Brunner Mond brought to ICI several<br />

pioneering concepts in industrial relations. It was the first company to introduce (in 1884)<br />

a week’s holiday with pay for every worker who had completed a set number of shifts in<br />

the year. The holiday week’s pay was subsequently doubled to enable workers to take<br />

a proper break, and at a time of their own choosing, not when it suited the employer. Sir<br />

John Brunner also introduced the idea of an industrial “parliament” at which workers had a<br />

chance to question the boss in person –a tradition that was enshrined in ICI from the beginning.<br />

In Victorian Britain, such an idea smacked of an invitation to anarchy, if not outright<br />

subversion or insubordination.


The cover of ICI’s first in-house journal in 1928<br />

symbolized the company’s progressive ideas<br />

for linking workers and management,<br />

a philosophy inherited from Brunner Mond<br />

231


232<br />

Imperial Chemical Industries<br />

The ICI legacy<br />

However it was German chemists who were in the vanguard<br />

of plastics research. In 1922 Hermann Staudinger published<br />

his findings about the structure of natural rubber, suggesting<br />

that it was composed of giant long-chain molecules. With this<br />

new understanding, scientists were able to begin developing<br />

much more flexible, truly plastic materials. In Britain, however,<br />

ICI was still thinking of materials based on nitrocellulose<br />

(which was almost explosive) or formaldehyde and urea,<br />

which the Billingham plant was well equipped to provide.<br />

Attractive possibilities certainly presented themselves for<br />

manufacturers of plastics. There was a rising demand for<br />

electrical gadgets for the home made of Bakelite ® and casein<br />

formaldehyde products, which was driven by the expansion<br />

in housing that continued even during the Depression. ICI<br />

acquired a majority stake in a firm called Croydon Mouldrite<br />

Ltd, a manufacturer of phenol-formaldehyde powders which<br />

was regarded as the most important British competitor to<br />

American-owned Bakelite ® . ICI then set about organizing<br />

a Plastics Division to coordinate its research into urea-formaldehyde,<br />

vinyl resins, nitrocellulose and phenol-formaldehyde.<br />

In 1938, all the strands, including the discovery of<br />

methyl-methacrylate (Perspex ® ), would be pulled together<br />

into a Plastics Group, but long before that, one of the key<br />

discoveries of the 20th century was made by accident in a<br />

laboratory at Winnington, home of the Alkali Group.<br />

The invention of polythene<br />

The word “plastics” was coined by ICI in 1927, but it was a<br />

1933 laboratory accident that led its scientists to discover a<br />

new polymer that was a landmark in its development – polythene<br />

(or polyethylene), the very first plastic. This product was<br />

to revolutionize industrial manufacture in the 20th century and<br />

facilitate the consumer revolution of the post-World War II era.<br />

ICI’s Francis Freeth, the aforementioned army major, was<br />

previously a believer in “blue-sky” research. Between 1919<br />

and 1922, Freeth spent time at the University of Leiden in the<br />

Netherlands, the home of one of Europe’s finest physics laboratories,<br />

to study how experimental techniques there were<br />

being applied to liquid–gas systems at high pressure and<br />

low temperatures. He imported one of Leiden’s finest glass<br />

blowers and two highly skilled Dutch instrument makers to<br />

help prepare the equipment for his work on ammonia-soda<br />

and oil-from-coal at ICI. The vessels they made for highpressure<br />

work paved the way for the experiments in which a<br />

revolutionary new polymer was to be made.<br />

Freeth recruited two young chemists from London<br />

University, John Swallow and Reginald Gibson, and sent<br />

each to study at Leiden University. While Gibson was there<br />

he sought help from Dr Anton Michels, a research assistant<br />

in the Thermodynamics Laboratory in Amsterdam who was<br />

working on the design of apparatus to make precision measurements<br />

at high pressures. A friendship evolved between<br />

the two men, and at Michels’ request, Gibson was sent to<br />

Amsterdam in 1928 to work with him for the next three years.<br />

The following year, two more bright graduates who would<br />

play key roles in the polythene story were recruited by ICI:<br />

Michael Willcox Perrin and Eric William Fawcett.<br />

By mid-1930, ICI’s research laboratories at Winnington numbered<br />

82 senior research staff, and faith in “blue-sky” research<br />

continued there even as the Depression began to bite. A<br />

report in July 1930 by the Winnington research management<br />

team noted that the Physical Chemistry Group was engaged<br />

on “work involving special techniques ... in general of a high<br />

scientific order, and it is out of work of this type that the big<br />

discoveries have usually come in the past ... we submit in our<br />

unanimous opinion that this type of work should be extended”.<br />

The recommendation was accepted, and work went ahead to<br />

see what interesting phenomena could be discovered at high<br />

temperatures, in vacuum and at high pressures.<br />

The project was sponsored by the Dyestuffs Group, which<br />

was interested in pressure-freezing as a method of isolating<br />

different dyestuffs. A young Cambridge engineer called<br />

Dermot Manning was given the task of designing vessels<br />

that could be used up to a pressure of 3,000 atmos-<br />

pheres: they became known, from their shape, as bombs.<br />

Early in 1931, the high-pressure apparatus, made in the<br />

Netherlands under Michels’ supervision, was installed at<br />

Winnington. Michels speculated that pressures above 1,000<br />

atmospheres might produce chemical reactions that would<br />

not normally happen except in the presence of catalysts.<br />

The pressure-freezing experiments for Dyestuffs came to a<br />

dead end, but ICI continued exploring high-pressure chemistry.<br />

Gibson and Fawcett began work with mixtures of ethylene<br />

and carbon monoxide. These were found to react readily<br />

at 160°C and 3,000 atmospheres to give a white, powdery<br />

substance which appeared to be a type of polymer. On the<br />

evening of Friday, March 24, 1933, Gibson and Fawcett set<br />

out to react ethylene and benzaldehyde at a temperature of<br />

170°C and a pressure of 1,900 atmospheres. The apparatus<br />

was left overnight and on the Saturday morning was found<br />

to have lost some gas. The two chemists raised the pressure<br />

back to over 1,900 and left it over the weekend. On Monday<br />

morning there was virtually no pressure left in the apparatus<br />

because a leak had developed in the oil line, and all the benzaldehyde<br />

had blown out of the test tube into the oil. When<br />

they dismantled the “bomb”, Fawcett noticed that the tip of the<br />

gas-inlet tube, which had been in the reaction space, looked<br />

as if it had been dipped in paraffin wax. It was the first recorded<br />

observation of polyethylene, an entirely new polymer.<br />

Analysis showed it to be a polymer of ethylene of fairly high<br />

molecular weight. Threads could be drawn from the molten<br />

material. Attempts to repeat the experiment were only<br />

occasionally successful. The first resulted in an explosion so<br />

violent that it smashed the gauges. But in May the experiment<br />

worked again, producing “a hard wax” solid containing<br />

no oxygen. Fawcett pressed hard to be allowed to continue<br />

the experiments but any commercial possibilities for the new<br />

material seemed remote. More than two years were to elapse<br />

before the ethylene experiments were resumed in December<br />

1935, with a new team of chemists, and the “bombs” this time<br />

safely isolated in brick cubicles. Fawcett, meanwhile, was<br />

nursing a bitter disappointment that his and Gibson’s discovery<br />

had not been allowed to develop. His determination to<br />

make the world of science recognize what had been achieved<br />

led in September 1935 to what became known as “the Fawcett<br />

disclosure”. It could easily have led to Britain losing one of its<br />

key wartime advantages over Germany in the development of<br />

radar, which was to prove the first major use of polythene.<br />

The Fawcett disclosure<br />

The occasion of the Fawcett disclosure was the Faraday<br />

Society’s General Discussion at Cambridge on “The<br />

Phenomena of Polymerization and Condensation.” It was<br />

attended by the world’s most eminent polymer scientists,<br />

including Wallace Carothers of DuPont, then working on his<br />

epoch-making discovery of nylon, and, from Hitler’s Germany,<br />

Hermann Staudinger and Kurt Meyer. Fawcett had applied for<br />

permission within ICI to give a paper on the polymerization of<br />

ethylene, which was at that time unknown. His request was<br />

granted – although patents had not yet even been applied<br />

for. Fawcett actually informed Staudinger privately about the<br />

ICI breakthrough on the evening before the conference.<br />

Staudinger, however, did not believe him. At the conference<br />

itself, Fawcett informed the assembled scientists that he<br />

had succeeding in making a solid polymer ethylene with a<br />

mole-cular weight of 4,000 by heating ethylene to 170°C,


ICI invented polythene, the world’s first plastic, by accident in 1933.<br />

This test tube shows an early sample of the breakthrough product<br />

Eric W. Fawcett, who worked with Reginald O. Gibson on the<br />

discovery of polythene<br />

233


234<br />

Imperial Chemical Industries<br />

The ICI legacy<br />

at a pressure of 1,000 atmospheres. Staudinger refused to<br />

comment. In 1937, two years after ICI’s patents on polythene<br />

were safely out, one of IG Farben’s top polymer chemists,<br />

a Dr Ambros, visited ICI and was heard to remark: “I don’t<br />

know how we missed it.”<br />

An improved process for the production of polythene<br />

Further experiments in polymerization occurred at ICI which<br />

were to considerably improve the quality of polythene.<br />

On December 20, 1935, Michael Perrin, John Paton and<br />

Edmond Williams set up an experiment to make polythene<br />

using ethylene alone. The temperature and pressure were<br />

the same as in Fawcett and Gibson’s first experiment, but the<br />

outcome was different. Pressure started to fall in the “bomb”<br />

– apparently because the ethylene was escaping through a<br />

leaky joint. Perrin’s lab assistant, Frank Bebbington, periodically<br />

raised the pressure back to its original level of 2,000<br />

atmospheres. When all the ethylene in the secondary compressor<br />

was used up, the “bomb” was cooled and opened.<br />

In Perrin’s words, “it was with no surprise but considerable<br />

pleasure that I saw the vessel apparently filled with a white<br />

powder.” There were eight-and-a-half grams of it, more than<br />

double the amount that Fawcett and Gibson had succeeded<br />

in making from all their experiments put together.<br />

It was some months before the team realized that their success<br />

was an accident. IG Farben’s chemists had probably been<br />

right in their assertions that ethylene would not poly-merize<br />

– but a trace of oxygen in the ethylene, which had been supplied<br />

in cylinders by the British Oxygen Company, had acted<br />

as a catalyst. As extra ethylene was fed in to counteract the<br />

leak, the oxygen entering with it had sustained the reaction.<br />

Polythene is patented<br />

By February 1936 the first British provisional patent for polythene<br />

had been filed. By April a brand name, “Alketh”, later<br />

changed to Alkathene ® , was registered for the material.<br />

Complete British patent specifications were filed in Septem-<br />

ber 1937 for the manufacture and conversion of the polymer<br />

into threads and films. The trade mark Alketh was regis-<br />

tered in April 1936 and, in November 1937, the generic<br />

name polythene was introduced to describe solid polymers<br />

of ethylene. In America both DuPont and Union Carbide mapped<br />

out their own paths for the making of polythene, but ICI’s<br />

patents ensured rich royalties for ICI in the U.S. market.<br />

Polythene is manufactured on industrial scale<br />

Polythene was to find many and varied uses in the development<br />

of packaging, insulation materials and household<br />

goods, but it was its application in radar that initially drove<br />

production. From an 80 cc reactor in the original experiments,<br />

development moved to a 750 cc size in November<br />

1936 and, by January 1937, to a 9-litre vessel capable of<br />

producing 10 tons of polythene a year. By September 1938,<br />

ICI had designed a 50-litre reactor capable of making 50<br />

tons a year. The first full-scale polythene plant, a 100-tonner<br />

(comprising two 50-litre vessels) went into production on<br />

September 1, 1939. Polythene was about to meet its hour in<br />

history, while, for ICI as a whole, the war would have a profound<br />

and catalytic effect on its development in many areas<br />

– plastics, man-made fibers, pharmaceuticals, agricultural<br />

chemicals and, for a brief but momentous period, in giving<br />

birth to the atomic age.<br />

Polythene is used in radar<br />

Radar, a system that locates the position of objects in space<br />

by using radio waves, is an acronym for Radio Detection<br />

and Ranging. Radar had been developed on both sides of<br />

the Atlantic in the late 1920s and early 1930s and was perfected<br />

for military purposes in 1935 by R.A. (later Sir Robert)<br />

Watson-Watt. Before World War II broke out, Britain was<br />

already equipped with a chain of radar masts to give early<br />

warning of approaching aircraft, but the masts were awkwardly<br />

high and obvious targets themselves for air attacks.<br />

To enable radar sets to be fitted into warships or aircraft, it<br />

was first necessary to reduce the wavelength and hence<br />

the size of the “mirror” needed to concentrate the electromagnetic<br />

beam. At the outset of war, no one could generate<br />

electromagnetic waves at wavelengths measured in<br />

centimeters – “centimetric radar”. That problem was solved<br />

by two British scientists, J.T. Randall and H.A.H. Boot, who<br />

discovered the cavity magnetron, which could generate<br />

a wavelength of ten centimeters or less. But the strength<br />

of the signals being bounced back from the target was<br />

low, and without exceptional insulation there was a risk<br />

that they would be lost in the feeders from the aerial into<br />

the equipment.<br />

Neither of the two materials then widely used for electrical insulation<br />

– rubber and gutta-percha – was good enough to make<br />

centimetric radar a practical proposition. Polythene was.<br />

The first ton of polythene made in ICI’s full-scale manufacturing<br />

plant was delivered for experimental radar cables<br />

shortly after the outbreak of war. The plant was quickly doubled<br />

in capacity and the second unit came into production<br />

on June 1, 1940. All output was then channeled to radar<br />

use; although polythene-insulated sets were not ready in<br />

time for the Battle of Britain that summer, the decision had<br />

already been taken to standardize all future radar cables on<br />

the use of polythene.<br />

The first sensational use of mobile radar was at the end of<br />

the Blitz on London, when RAF night fighters began to locate<br />

and shoot down German bombers, and then at the Battle of<br />

Cape Matapan against the Italian fleet in March 1941, one<br />

of the most decisive British naval victories since Trafalgar. It<br />

was largely a night action, and the radar sets installed in the<br />

British battleships enabled the British guns to be so accurate<br />

that the Italians lost three heavy cruisers, a six-inch gun<br />

cruiser, three destroyers and a battleship, while the British<br />

lost only one naval aircraft and suffered no casualties or<br />

material damage to the fleet.<br />

Radar proved a decisive advantage for the Allies in the<br />

Atlantic war too. March 1943 had been the worst month of<br />

the Atlantic war for the Allies, with 43 ships sunk in the first<br />

20 days. Following the introduction of centimetric radar, no<br />

Allied ship was lost to U-boats in the Atlantic between the<br />

middle of May and September 1943, and the German navy<br />

never regained supremacy. The Germans were employing a<br />

bulkier insulating material and their radar was consequently<br />

less effective.<br />

The Ziegler process for polythene manufacture<br />

By 1945, the Alkali Group had the capacity for producing<br />

about 5,000 tons of polythene a year. This still required a highpressure<br />

process, however, and called for a feedstock based<br />

on alcohol derived from molasses. The discovery of how to<br />

make polyethylene of a high molecular weight at normal<br />

temperatures and pressures using oil instead of alcohol was<br />

made not by ICI but by Karl Ziegler, a German chemist, in<br />

1950. By this time, ICI’s original patent for polythene manufacture<br />

had expired and two American oil companies, Phillips<br />

Petroleum and Standard Oil of Indiana, independently developed<br />

their own low-pressure processes. With their ready<br />

access to domestic oil resources, American companies were<br />

well placed to develop oil-based plastics instead of using an<br />

alcohol-based feedstock. The need to keep pace with these


Imperial Chemical Industries<br />

The ICI legacy<br />

technological advances forced ICI to license in the Ziegler<br />

process and produce its own polythene from oil.<br />

Profits from war<br />

ICI dominated Britain’s chemical industry and played a pivotal<br />

role in Britain’s war effort. Ammonia supplied the basis<br />

of nitric acid, essential for explosives; the technology of dyestuffs<br />

could be applied variously to explosives, gases or pharmaceuticals.<br />

ICI also offered Britain’s largest pool of scientific<br />

talent combined with industrial resources. As war became<br />

increasingly probable, the company negotiated various<br />

“agency” roles with the government – a system designed<br />

to avoid profiteering by which government paid the costs of<br />

plant for war production which would be useless in time of<br />

peace. With 25 such factories producing material ranging<br />

from aircraft alloys to mustard gas and detonators, ICI was<br />

the government’s largest industrial agent in the World War II.<br />

ICI’s sales grew enormously during the war, and so did its<br />

profits, though these were greatly reduced by wartime<br />

taxation. The war gave a great push to innovations and discoveries<br />

within the company on which much post-war business<br />

would be built. Important breakthroughs in weed killers<br />

and pesticides were made in ICI’s plant-protection laboratories,<br />

and its infant pharmaceutical business developed out of<br />

wartime necessity for such drugs as the anti-malarial drug<br />

Paludrine ® . But the ICI discovery to make its greatest impact<br />

on the war – and to open up entirely new markets in later<br />

years – was Perspex ® .<br />

The invention of Perspex ®<br />

Perspex ® , the trade name for a non-splintering transparent<br />

sheet made from methyl methacrylate, was the result of<br />

a process of synthesis invented in 1932 by ICI’s Dr John<br />

Crawford. Its wartime role as the material for aircraft cockpit<br />

canopies was the spur for its invention. Reginald Mitchell,<br />

the designer of the new fighter plane later to be known as<br />

the Spitfire, was searching in the early 1930s for a suitable<br />

transparent material to enclose the pilot’s cockpit in a sliding<br />

canopy. Glass splintered, and celluloid had terrible problems<br />

of opacity. A German firm, Rohm and Haas of Darmstadt,<br />

was experimentally developing a similar substance called<br />

Plexiglas ® at the time, but the German process was expensive<br />

and complex. Crawford set to work in 1931 to devise a<br />

cost-effective and practical manufacturing process for methyl<br />

methacrylate. This he achieved by mixing acetone cyanohydrin<br />

with sulfuric acid, adding methanol to the products<br />

and isolating the “ester” by steam distillation. The reaction<br />

needed to be carried out with specific catalysts present,<br />

such as copper and sulfur. The working out of the process<br />

was widely recognized as a brilliant piece of chemistry. The<br />

name Perspex ® – from the Latin “to see through” – was given<br />

to the new material, and the trademark was registered on<br />

November 16, 1934, being first incorporated in a Spitfire<br />

fighter plane two years later.<br />

The war not only hugely increased demand for Perspex ®<br />

in aircraft but also inadvertently discovered an entirely new<br />

market for the new product as an optical material. Surgeons<br />

treating wounded pilots discovered that fragments of<br />

Perspex were tolerated by the body’s tissues, even when<br />

they penetrated the eye. An ophthalmic surgeon named<br />

Harold Ridley went on to pioneer the use of a special grade<br />

of Perspex ® , known as CQ, for intraocular surgery, replacing<br />

the natural lens of the eye after operations such as those for<br />

cataracts. Perspex ® became the chief material for contact<br />

lenses until the advent of alternatives to the hard lens, now<br />

known as “soft” and “gas-permeable” lenses, which use a<br />

different formula of plastic.<br />

With its enormous versatility, Perspex ® remains a key invention<br />

for ICI. <strong>Today</strong> it is used all over the world for signs, light<br />

fittings, glazing, dentures, technical models, sanitary ware<br />

and lightweight furniture. Despite ICI’s almost simultaneous<br />

discovery of polythene, Perspex ® was the first of the modern<br />

plastics to be in commercial production by 1939 as an<br />

entirely new business for the company.<br />

Man-made fibers<br />

Alongside the infant plastics industry, the other great development<br />

in man-made materials during the 1930s had taken<br />

place in fibers, when DuPont announced its discovery of<br />

nylon at the New York World’s Fair in October 1938. The discovery<br />

of nylon founded a whole new industry without which<br />

most modern clothing and a huge variety of other synthetic<br />

textile products would be inconceivable. A polymer of high<br />

molecular weight achieved by chemical condensation, nylon<br />

was the result of 10 years of “blue-sky” research by a young<br />

chemist from Harvard named Wallace Carothers. Nylon’s<br />

molecules could be drawn into fibers of unusual strength and<br />

were superior in many ways to natural fibers or chemically<br />

modified ones such as rayon. In 1939, ICI took out a license to<br />

manufacture the new fiber. Realizing that it needed the experience<br />

of a specialized textile firm, ICI formed a partnership<br />

with Courtaulds, then the world’s largest producer of viscose<br />

rayon. The new company was registered in January 1940<br />

under the name of British Nylon Spinners. It immediately<br />

commenced manufacturing nylon for parachutes – a role<br />

that became critical to Britain’s war effort when Japan’s entry<br />

in December 1941 cut off large supplies of natural silk.<br />

Terylene ® – the first polyester<br />

In 1941, ICI was presented with the discovery that was to lead<br />

to the creation of Terylene ® , the first polyester. This discovery<br />

had been made by two chemists working in the research laboratory<br />

of a Manchester company called the Calico Printers’<br />

Association. One of these chemists, J.R. (Rex) Whinfield,<br />

had become increasingly interested in Carothers’ work on<br />

synthetic fibers at DuPont. In 1935 he urged Calico Printers’<br />

Association to likewise enter the field of synthetic fibers. Five<br />

years went by, however, before his advice was followed. When<br />

Whinfield, assisted by a colleague named J.T. Dickson, was<br />

permitted by his employers to re-open the line of inquiry which<br />

Carothers had explored but then abandoned, he adopted a<br />

different approach from the American chemist. Whereas<br />

Carothers had worked with aliphatic acids, which have a<br />

long-chain molecular make-up, Whinfield chose one of the<br />

so-called aromatic acids, with a different structure including<br />

a benzene ring. This was terephthalic acid. As Whinfield suspected,<br />

the resulting molecular chain was closely packed and<br />

strong, and highly resistant to melting.<br />

Terephthalic acid was, however, notoriously difficult to react,<br />

being extremely impure. J.T. Dickson devised a way to purify<br />

it, however, and created a few grams of a polymer which had<br />

most of the properties of nylon as well as certain unique ones<br />

of its own. The new fiber was less affected by water than nylon<br />

and it could be crimped to give the feeling of a woolen yarn.<br />

It was also exceptionally resistant to wrinkling and could be<br />

heat-set in pleated skirts, which became one of the great early<br />

successes of Terylene ® . Unlike rayon or cellulose acetate, it<br />

was, moreover, highly resistant to sunlight through glass and<br />

made excellent curtains. Net curtaining became one the biggest<br />

markets for the new synthetic fiber.<br />

Whinfield had already chosen the name Terylene ® for his<br />

invention when the Calico Printers’ Association, interested in<br />

the possibility of a joint venture, brought it to ICI. In 1944, after<br />

conducting its own research into the new fiber, ICI entered into<br />

235


236<br />

Imperial Chemical Industries<br />

The ICI legacy<br />

a licensing agreement with the Calico Printers’ Association<br />

for the production of Terylene ® . The first piece of Terylene ®<br />

fabric was woven at the Shirley Institute in Manchester in<br />

August 1946. Huge tonnages were confidently anticipated.<br />

The first commercial sale of Terylene ® in Britain was on<br />

October 4, 1948, to the Nottingham firm of Dobson and<br />

Braine for the manufacture of lace curtains. Two years later<br />

ICI decided to invest £10 million in a plant at Wilton to produce<br />

5,000 tons of Terylene ® a year. This went into production<br />

in 1954. It was supplied with its raw polymer by<br />

another Wilton factory under the control of Dyestuffs. So<br />

rapidly did the business grow that by 1956 ICI had created<br />

a Fibers Division. The success of Terylene ® pushed ICI<br />

into the synthetic fibers business and was the driving force<br />

behind the company’s abortive 1961 bid for Courtaulds,<br />

which was its single biggest customer for Terylene ® and<br />

which is described elsewhere in this volume. The bid failed,<br />

but ICI did subsequently gain control of the jointly owned<br />

British Nylon Spinners and in 1966 merged it with its Fibers<br />

Division to make a completely new company, ICI Fibers Ltd.<br />

Terylene ® had the characteristic of blending better than nylon<br />

with natural fibers such as cotton and wool. This opened<br />

the way to the “easy-care” revolution in clothing, which was<br />

based on a 50:50 or 67:33 cotton/polyester blend. Although<br />

never developed for wartime use, Terylene ® was undoubtedly<br />

the most influential of the inventions of that period in<br />

terms of postwar business for ICI. But there was one discovery<br />

of the 1930s which overshadowed all others in its<br />

portents for the world; one in which ICI as Britain’s leading<br />

science-based industrial group was to play a small but<br />

highly significant role. That discovery was the atom bomb.<br />

Nuclear fission<br />

Soon after the outbreak of war, an ICI scientist drafted<br />

a paper which stated: “The year 1939 is likely, in the future, to<br />

be remembered not so much for the start of the present war<br />

than as the date of the discovery of a new phenomenon in<br />

physics which has been given the name of ’nuclear fission.’<br />

The importance of this discovery lies in the certain proof,<br />

which it provides, that the enormous store of sub-atomic<br />

or nuclear energy available in matter can be released and<br />

controlled for practical use. It may mark the introduction of<br />

a new technical era in civilization and lead to the development<br />

of a source of power which will allow for the re-orientation<br />

of world industry.”<br />

The first steps towards this discovery had been taken at the<br />

end of the 19th century with the work on radioactivity done in<br />

Germany by Roentgen, the discoverer of X-rays, and in Paris<br />

by Pierre and Marie Curie. Further key links had been added<br />

to the chain by Ernest Rutherford, John Cockcroft and James<br />

Chadwick in Cambridge, Enrico Fermi in Rome and Irene<br />

Curie and Pierre Joliot in Paris. The latest burst of discoveries,<br />

to which the ICI paper referred, originated with the German<br />

chemist Otto Hahn, the Austrian physicist Lise Meitner and<br />

her nephew O.R. Frisch and, independently, Pierre Joliot.<br />

These findings proved that the release of atomic energy from<br />

uranium was possible. The papers embodying this work were<br />

freely available – many were published in the distinguished<br />

journal Nature – and speculation had ranged freely over the<br />

implications not only for industry but also for weapons. The<br />

words “super bomb” were much in evidence.<br />

In the spring of 1939, the British government began to give<br />

consideration to the defense implications of pure uranium compounds.<br />

Work went on without any great urgency until a report<br />

produced by Professor Rudolf Peierls and O.R. Frisch changed<br />

the official attitude almost overnight. Together the two men had<br />

analyzed a key paper published by Niels Bohr, a brilliant scientist<br />

from Copenhagen, just two days before the outbreak of war.<br />

In this paper, Bohr had put forward his theories that fission was<br />

more likely to occur in the light isotope of uranium, U235, than in<br />

U238, which forms almost 99.3 percent of natural uranium. The<br />

problem would be how to separate them. Speaking 46 years<br />

later, the then Sir Rudolf Peierls recalled: “Our main motivation<br />

was that we suspected the Germans might have had the<br />

same ideas and might in fact be further advanced, and such a<br />

weapon in the hands of Hitler would have been very frightening.<br />

We knew there could be no defense; the only thing to do would<br />

be to have the weapon yourself and use it as a deterrent.”<br />

Peierls and Frisch propounded a critical size for the bomb and<br />

proposed separating the isotopes by thermal diffusion to produce<br />

a lump of pure U235. They also suggested making the<br />

bomb in two or more sections, to be kept separate until the<br />

moment for explosion, and they gave a warning about the dangers<br />

of radiation, which they predicted would be fatal to living<br />

beings for a long time after the bomb had gone off. Interest<br />

in the bomb project was made still more urgent by the information<br />

that some French scientists had managed to smuggle<br />

out of occupied France the world’s entire stock of heavy water.<br />

(Heavy water resembles ordinary water in appearance and<br />

chemical behavior, but it has a particular hydrogen isotope<br />

which makes it efficient in slowing down neutrons, a vital part<br />

of the process of atomic explosion.) The British government’s<br />

special uranium committee called on ICI to help transforming<br />

scientific theory into industrial fact; of all British companies, ICI<br />

alone had the scientific and industrial range needed to comprehend<br />

and coordinate the central processes. ICI was eager<br />

to develop what it saw as a new source of power which had<br />

not only wartime uses but, also applications which would be<br />

revolutionary in peacetime.<br />

The company’s concern was chiefly with the production of<br />

U235 or uranium hexafluoride. Despite initial difficulties, ICI’s<br />

scientists – working under the code name “The Directorate of<br />

Tube Alloys” – managed to produce this compound in sufficient<br />

quantities to make its use in a bomb a feasible proposition.<br />

By July 1941 ICI was confident enough to report that a bomb<br />

could be in production by the end of 1943. In the same year,<br />

President Roosevelt of the United States offered to pool<br />

American resources with the British on a joint development.<br />

But the British, who were ahead of the Americans at that<br />

stage, rejected the offer, wishing to keep the research under<br />

British control. The consequences were swift and irreversible.<br />

The United States intensified its own research efforts and<br />

within months outstripped Britain. British Prime Minister<br />

Winston Churchill made every effort to restore co-operation<br />

and in August 1943 succeeded in persuading Roosevelt<br />

to share American atomic research and resources in the<br />

common war effort. But the work was based in the United<br />

States and resulted in a “brain drain” across the Atlantic as<br />

American re-quests for British scientists and engineers were<br />

speedily met. Several were sent by ICI. Professor Rudolf<br />

Peierls, O.R. Frisch and Frank Kearton (later Lord Kearton,<br />

chairman of Courtaulds) were among the British scientists<br />

and engineers attached for a while to the so-called Kellex<br />

Corporation in New York – the anonymous-sounding business<br />

set up by the cereal manufacturers Kellogg’s to cloak<br />

work on the atomic project.<br />

Meanwhile in Britain, ICI continued its efforts to produce uranium<br />

on an industrial scale. By the spring of 1943 a pilot plant<br />

was in operation producing up to 1,000 pounds of uranium a<br />

week. In April 1945, however, ICI’s work in this field was halted.<br />

Under the post-war government of Clement Atlee, the development<br />

of atomic energy in Britain was taken over by the newly<br />

established UK Atomic Energy Authority. ICI provided two men<br />

to key appointments in that body – Christopher Hinton and<br />

Michael Perrin – but from thenceforth, ICI was no longer the<br />

driver of nuclear research in Britain. A brief but intense chapter<br />

in the company’s history had come to an end.


J.R. Whinfield, originally of the Calico Printers’<br />

Association, invented the world’s first polyester<br />

fiber, Terylene ® . ICI developed Terylene ® into<br />

a global business, and Whinfield finished his<br />

career on the board of ICI Fibres<br />

237


238<br />

Imperial Chemical Industries<br />

The ICI legacy<br />

Polythene enters the domestic market<br />

In the wake of World War II, Britain was very down-at-heel.<br />

Clothing was still rationed, furniture was sold under the<br />

“Utility” label and kitchens were still equipped with enamel<br />

bowls, stone sinks and cast-iron stoves. Soon, however, a<br />

housing boom commenced; within ten years, one in every<br />

five people in Britain would be living in new post-war houses.<br />

New factories and housing estates demanded a new internal<br />

environment, and it was the research chemist who provided<br />

the materials for it.<br />

Nylon and Terylene ® made immediate inroads on the sales<br />

of traditional fabrics such as wool, cotton and silk as soon<br />

as they came on the civilian market. Detergents were first<br />

marketed for the housewife under brand names in 1951,<br />

and washing machines and refrigerators revolutionized the<br />

middle-class kitchen. Along with washing machines came<br />

unbreakable buckets, bowls and brushes made from polythene.<br />

The first polythene bowls began appearing in the<br />

shops as early as 1948. They quickly became popular as<br />

their advantages were realized – bright, clear colors, long<br />

life, resistance to chipping or rusting, quiet in use and<br />

much safer when washing up precious glass or china. ICI<br />

manufactured molded polythene: it sold the raw material in<br />

bulk, usually in the form of chips. Sales of this new material<br />

expanded enormously with the rise of supermarkets and<br />

self-service, and, indeed, helped to bring about the shopping<br />

revolution of the 1950s. For the first time, customers could<br />

see what they were buying, even though it was pre-packaged.<br />

Plastic bags and carriers were the next to be<br />

developed, and polythene was used to coat cardboard for<br />

milk and soft-drink cartons.<br />

Revolution in refrigeration<br />

Another type of plastic – polyurethane foam – had a comparable<br />

impact on the way we live. Polyurethanes were<br />

invented by Otto Bayer in Germany just before World War II;<br />

they were developed by IG Farben as foams for insulating<br />

material in V2 rockets and some aircraft and military vehicles.<br />

The details of polyurethane technology were brought<br />

to Britain after the war by the Allied commission on German<br />

wartime industrial development, and ICI’s Reg Hurd was one<br />

of the chemists who played a major role in its progress thereafter.<br />

Polyurethane foams are made from a combination of<br />

resins and polyisocyanates: these react with each other, cre-<br />

ating a foaming structure. Early types of polyurethane foam<br />

were made from a resin known as 2:4 toluene di-isocyanate,<br />

or TDI. Rigid foams fill cavities and bond strongly to most<br />

surfaces, providing immense strength. TDI foams, however,<br />

give off noxious vapors during application. Hurd decided to<br />

try to make foams from a different polyisocyanate, Diphenyl<br />

Methane Di-isocyanate, or MDI. MDI was much safer to<br />

handle, but conventional wisdom had always been that<br />

it was impossible to make foam from it. Hurd, however,<br />

developed a method to make the substance foam, and his<br />

breakthrough coincided with a boom in refrigerated cargo<br />

ships and the whole refrigeration industry. MDI was stronger<br />

and more fireproof than the cork traditionally used for insulating<br />

the cold-storage sections of ships and also safer to<br />

apply than TDI. Very soon ICI was providing foam to fill cold<br />

stores, refrigerated transport and carbon dioxide tankers;<br />

chemical plants and pipelines were also being insulated with<br />

rigid foam.<br />

From the consumer’s point of view, the development of<br />

MDI foams revolutionized the manufacture and price of<br />

domestic fridges and freezers. By the early 1960s they<br />

were becoming a standard fitting in British kitchens instead<br />

of a luxury item, and frozen food gained sweeping popularity.<br />

During the 1960s ICI introduced developments which<br />

greatly extended the market for MDI foams, producing<br />

applications as diverse as soles molded directly to shoes<br />

and impact-resistant car bumpers.<br />

A new generation of dyestuffs<br />

Almost simultaneous to the discovery of MDI foams came<br />

the creation of synthetic dyestuffs. The first synthetic dyes<br />

had been discovered in England in 1856 by William Henry<br />

Perkin, but Germany quickly seized industry leadership and<br />

by 1914 commanded nearly 90 percent of the global market.<br />

The collapse of the European dyestuffs cartels after World<br />

War II enabled Britain to expand her export markets, but until<br />

the late 1940s there had been no major discoveries in the<br />

industry since the development of azoic dyes in 1912.<br />

Nylon and polyester fibers demanded new dyestuffs. Within<br />

ICI alone, approximately 3,000 new potential dyes were<br />

being synthesized and screened every year. The synthetics<br />

manufacturers were vigorous in promoting their own products,<br />

but ICI continued its work on dyes for natural fibers, for<br />

which a huge market still existed. ICI’s chemists sought to<br />

find a new bright wool dye which would be colorfast when<br />

washed. They had a totally new idea: to modify the structure<br />

of some known dyes so that they would undergo a chemical<br />

reaction with the wool fibers. Instead of water-soluble wool<br />

dyes, which were attached to the fibers by mere physical<br />

forces, the ICI chemists were trying to produce a chemical<br />

bond between dye and fiber, making the color part of the<br />

fiber itself.<br />

One of these chemists, Dr W. E. Stephen, had prepared<br />

derivatives of azo dyes with derivatives of trichlorotriazine, or<br />

cyanuric chloride. This did not work with wool, but Stephen’s<br />

colleague Ian Rattee realized that these dyes might work well<br />

with cotton, producing water-soluble dyes which would be<br />

colorfast even when washed. Within six months, three promising<br />

Procion ® reactive dyes had been chosen for development<br />

– a red, a blue and a yellow. The three-dye range was<br />

launched in March 1956. By 1961, demand for Procion ® dyes<br />

was running at 600 tons a year. The investment in Procion ®<br />

dyes reached break-even point by 1972, only sixteen years<br />

after they were first recognized as a workable discovery.<br />

This success was complemented by ICI’s development of<br />

effective dyes for polyesters.<br />

The Dulux ® dog<br />

The post-war explosions of color in clothes and domestic<br />

utensils were matched by comparable advances in the<br />

paints which decorated homes and offices, and in ease of<br />

use which transferred much of the business of decorating<br />

from the professional to the do-it-yourself enthusiast. ICI had<br />

been concerned with paints and lacquers almost from its<br />

inception; Dulux ® was a brand name used in the early days<br />

of ICI’s existence. Created in fact not by ICI but by DuPont<br />

and first launched by that company as an automotive paint in<br />

1926, Dulux ® was the first of the alkyd-based paints, which<br />

were an advance on the old, lead-based types, offering quick<br />

drying in combination with high gloss. In Britain, however,<br />

the name was used for a range of paints for the domestic<br />

rather than the automotive market.<br />

In those days, however, decorators and their suppliers were<br />

the main customers; even in the early 1950s, the advertising<br />

slogan was, “Say Dulux ® to your decorator.” But by then the<br />

do-it-yourself revolution was just around the corner. Nearly<br />

three-quarters of all wallpaper sold in Britain by the second<br />

half of the 1950s was directly to the public; sales of portable<br />

electric drills rocketed and even furniture began to be<br />

sold in kits which claimed that “All you need is a screwdriver.”


Frank Rose (right) and Frank Curd, discoverers of the anti-malarial drug<br />

Paludrine ® , which played an important role in World War II


240<br />

Imperial Chemical Industries<br />

The ICI legacy<br />

By 1953, Dulux ® was on the retail market. It rapidly rose to<br />

become the brand leader, and 10 years later an Old English<br />

sheepdog was used in its advertisements for the first time,<br />

being chosen as a symbol of “family.” The breed was relatively<br />

uncommon at the time, but under the influence of the advertisements<br />

has become widely popular; indeed, puppies are<br />

often advertised for sale as “Dulux ® puppies”. Dulux ® Brilliant<br />

White, a breakthrough in home decorating, was a success<br />

from its launch in the mid-1960s. Dulux ® paint, produced on<br />

ICI’s main paint manufacturing facility at Slough, is one of the<br />

very few products which go directly from ICI to the customer in<br />

the high street. In the words of Philip Hanscombe, managing<br />

director of the Paints Division in 1986: “Many people think of<br />

ICI as Dulux ® ; the brand gives the company a humanity.”<br />

ICI becomes a pharmaceutical player<br />

Lord Melchett (Sir Alfred Mond) had wanted ICI to be a<br />

research-based company whose innovations would match<br />

those of its great German rival, IG Farben. But the collapse<br />

of its cornerstone business, the nitrogen market, in the late<br />

1920s and the world depression that followed forced deep<br />

cuts in its research budgets, which did not begin to rise again<br />

until the mid-1930s. By this time the whole chemical industry<br />

was undergoing profound change, away from the old 19th<br />

century bulk commodities towards “fine” organic chemistry.<br />

ICI’s research policy began to change direction in response.<br />

Pesticides, pharmaceuticals, synthetic rubber, fibers and<br />

plastics were among the new developments clamoring<br />

for attention.<br />

After much debate within the company’s senior management,<br />

ICI finally took the plunge into pharmaceuticals in<br />

1936, six years after Lord Melchett’s death. An ICI board<br />

minute of June 11, 1936, authorized an initial “grant” of<br />

£5,000 a year for five years from October 1936 for “research<br />

by the Dyestuffs Group in regard to synthetic organic pharmaceuticals”.<br />

A team of seven chemists was appointed to<br />

search for new drugs and one of the seven was Dr Frank<br />

Rose, an azo chemist who was to become the discoverer of<br />

the anti-malarial drug Paludrine ® .<br />

The war against malaria<br />

Efforts to reproduce the natural anti-malarial properties of<br />

quinine in synthetic form dated back to the late 1890s, in<br />

particular to the work of Paul Ehrlich at the Moabite Hospital<br />

in Berlin. More experiments had been conducted in Austria:<br />

Professor Julius Wagner-Jauregg of Vienna won a Nobel Prize<br />

in 1927 for his work in the field. But the main thrust of early<br />

anti-malarial research was carried on in Bayer’s laboratories<br />

in Elberfield, Germany, where the focus lay on Ehrlich’s idea<br />

of preparing derivatives of a dyestuff called methylene blue as<br />

potential drugs to combat the disease.<br />

One reason why the Germans had focused so much effort on<br />

quinine substitutes was the difficulty the country had experienced<br />

during World War I in obtaining supplies of the natural<br />

product. As war loomed again in the late 1930s, it became evident<br />

that this time round it could well be the British who would<br />

be cut off from supplies if Japan gained control of the East<br />

Indies, the main source of chinchona bark from which quinine<br />

was extracted. ICI therefore joined the other leading British<br />

pharmaceutical manufacturers in the war research effort. A<br />

team of seven ICI chemists stopped looking for new drugs<br />

and concentrated on “cracking the German patents”. One of<br />

Rose’s colleagues, a brilliant chemist named Frank Curd, set<br />

out to discover the structure of mepacrine from the 30 or so<br />

examples of the German patents. He was so successful that<br />

ICI had a pilot plant in production by September 1939. At first,<br />

mepacrine was considered to be merely a synthetic substitute<br />

for quinine, but its use on large numbers of servicemen<br />

in the Far East soon revealed that it was in fact more effective<br />

than the naturally occurring compound. Mepacrine still had<br />

drawbacks, however. It did not solve the problem of patient<br />

relapse, it turned the skin yellow, and it often led to gastrointestinal<br />

upsets and anemia. A better synthetic substitute for<br />

quinine was clearly required.<br />

By chance, the ICI team learned that some soldiers who had<br />

caught malaria and, simultaneously, a streptococcal infection<br />

had been treated for the latter with sulfa drugs such as<br />

Sulfamethazine (sulfadimidine), which Frank Rose had synthesized.<br />

The sulfa drugs not only cured the streptococcal infection<br />

but also alleviated the malarial condition. Rose and Curd<br />

now began to design anti-malarial drugs based on this fact.<br />

Success came with Rose’s synthesis of analogues based on<br />

the chemical system biguanide. Clinical trials at the Liverpool<br />

School of Tropical Medicine, in which the research team at one<br />

point deliberately infected themselves with malaria, identified<br />

the compound 4885, named proguanil or Paludrine ® , as the<br />

best of the group. Paludrine ® was colorless and proved to act<br />

in the early stages of the disease before the malaria parasite<br />

invaded the bloodstream. The new drug was extensively used<br />

by British troops in the Malaysian campaign after 1945 and<br />

was to prove the most effective anti-malarial treatment available<br />

for more than four decades. Reflecting on his achievement,<br />

Frank Rose was later to remark: “I think I can say we<br />

never killed anyone. Paludrine ® has an inbuilt safety device – if<br />

you take too much of it, it makes you sick. Whenever you get<br />

a new drug, sooner or later someone will try to commit suicide<br />

with it, but you can’t do that with Paludrine ® .”<br />

The first usable penicillin<br />

While Rose and his fellow-workers were absorbed in their<br />

anti-malarial research, ICI’s Dr William Boon was working<br />

on the early development of penicillin, which had been<br />

discovered by Alexander Fleming. In his original research<br />

during the 1920s, Fleming had written a report on the bacteria-inhibiting<br />

properties of penicillin, but this report had<br />

lain neglected. When Ernst Chain, a Jewish chemist who<br />

had left Germany for Britain in 1933, was working at the<br />

Oxford School of Pathology, he studied Fleming’s report and<br />

embarked on an investigation into how penicillin could be<br />

synthesized and purified. Penicillin was still being produced<br />

in laboratories by the fermentation method at the time, but<br />

the wisdom of the day assumed that large-scale manufacture<br />

would have to involve chemical synthesis in order to be<br />

cost-effective. ICI undertook to synthesize penicillin for use<br />

in the clinical work being conducted at the Oxford School<br />

of Pathology. A team headed by Boon was set up in 1942<br />

to produce the first medically usable quantities of penicillin.<br />

Shortly afterwards, the British Ministry of Supply became<br />

involved, wanting large-scale production because penicillin<br />

had by then become acknowledged as highly effective in<br />

treating wounds. The emphasis within ICI now switched to<br />

making penicillin by fermentation. ICI managed to purify the<br />

culture, thus demonstrating that industrial production by<br />

fermentation was also technically possible. Production by<br />

chemical synthesis never proved to be an economic form of<br />

manufacture, and manufacture by fermentation remains the<br />

most cost-effective procedure to this day.<br />

A breakthrough anesthetic: Fluothane ®<br />

ICI’s work on anti-malarial and anti-infective drugs was complemented<br />

by important advances in the field of anesthesia.<br />

The first half of the 20th century had seen few advances in<br />

anesthetics, at least of the inhalant variety. What innovations<br />

did occur had been made in the development of intravenous


First introduced in the 1960s, the Dulux ® dog became one of the most<br />

popular advertising icons of post-war Britain, triggering a revival in<br />

the popularity of the Old English Sheepdog breed


242<br />

Imperial Chemical Industries<br />

The ICI legacy<br />

anesthetics such as barbiturates and in muscle relaxants for<br />

use in combination with anesthetics. Inhalants – chiefly chloroform,<br />

nitrous oxide, cyclopropane and ether – had scarcely<br />

changed since the previous century, and all possessed disadvantages.<br />

ICI’s development of a new type of anesthetic<br />

was to occur through its investigations of the properties<br />

of fluorocarbons.<br />

Fluorocarbons had been originally developed as refrigerants<br />

by General Motors and DuPont in America during<br />

the 1930s, In 1939 ICI’s James Ferguson had advanced a<br />

revolutionary theory that connected narcosis to thermodynamic<br />

activity. He concluded that a similar relationship might<br />

work in anesthesia and should be tried out with fluorinated<br />

compounds. In 1950, Ferguson – by then research director<br />

of ICI’s General Chemicals Division – assigned the task of<br />

investigating this theory to a young chemist called Charles<br />

Suckling, who had joined ICI in 1942. Suckling began to<br />

investigate the anesthetic properties of fluorocarbons.<br />

All told, four people had to be satisfied by the ideal inhalant<br />

anesthetic. The patient wanted to be rendered unconscious<br />

easily and pleasantly and to recover quickly, with no adverse<br />

after-effects. The surgeon required a non-explosive gas<br />

which did not restrict surgical work. The anesthetist needed<br />

a potent compound with a good safety margin. Last but<br />

not least, the manufacturer wanted a chemical which could<br />

be simply and inexpensively made and was easy to purify,<br />

transport and store. The problem was to take from this list of<br />

requirements those which might be related to the properties<br />

of the fluorine-containing compounds under examination.<br />

Suckling used the relatively new techniques of gas chromatography<br />

for his investigations, which ensured a high<br />

standard of purity and later facilitated the scale-up of manufacturing<br />

techniques from laboratory to factory. He synthesized<br />

a number of new compounds, including halothane.<br />

Halothane proved to be the breakthrough, and was subsequently<br />

marketed by ICI as Fluothane ® .<br />

Fluothane ® encountered initial resistance among some members<br />

of the medical profession when it was first introduced in<br />

1953. Anesthetists of the day favored mixing their own “cocktail”<br />

of inhalant anesthetics from a range of different gases,<br />

and viewed the use of a solitary anesthetic gas as a retrograde<br />

step. Fluothane ® also presented a challenge to equipment<br />

makers, requiring them to produce more advanced<br />

vaporizers. Anesthetists soon came to acknowledge the<br />

advantages of halothane, however. By March 1958, many<br />

thousands of cases of patients successfully anaesthetized<br />

by Fluothane ® had been recorded. Dr Michael Johnstone<br />

of the Crumpsall Hospital in Manchester was responsible<br />

for testing the novel anesthetic on ICI’s behalf. He noted<br />

that one of the most important advantages of Fluothane ®<br />

was that it permitted many forms of abdominal surgery to<br />

be conducted “while the patient breathes spontaneously”.<br />

Fluothane ® went on to become the most commonly used<br />

anesthetic in the western world.<br />

James Black invents beta-blockers<br />

In the early 1950s the pharmaceutical industry was experiencing<br />

one of the most fundamental upheavals of its existence.<br />

Synthetic products were replacing existing medicines<br />

and bringing about a revolution in both pharmacy and medical<br />

practice. Responding to this trend, ICI concentrated all<br />

its medical business in a separate division at a new site in<br />

Alderley Park in Cheshire in 1957. James (later Sir James)<br />

Black joined this new division in 1958 with the object of developing<br />

drugs to reduce the risk of heart attack. His father having<br />

died from a heart attack following a car crash, Black was particularly<br />

interested in the role of stress in producing adrenaline<br />

and precipitating an angina attack. He believed that it might<br />

be possible to develop a new approach to prevention based<br />

on blocking the action of adrenaline on the heart, and thus<br />

reducing the heart’s demand for oxygen. This insight led to<br />

the development of the world’s first beta-blockers.<br />

Black’s work drew on the research of Ray Ahlquist of Des<br />

Moines, Iowa, who in 1948 had posited the idea of two distinct<br />

types of adrenotropic receptors, which he designated<br />

alpha and beta. His work also benefited from the research<br />

carried out at the Eli Lilly laboratories in Indianapolis where<br />

it was discovered that a compound named dichloroisoprenaline,<br />

or DCI, negated the effects of adrenaline. Black realized<br />

that it would be possible to synthesize an analogue of<br />

DCI which would be devoid of any intrinsic action of its own<br />

when bound to the receptors of the heart. In January 1960,<br />

John Stephenson, a medical chemist at Alderley Park, had<br />

the idea of replacing the two chlorine molecules in DCI by<br />

another phenyl ring to make a naphthalene. He synthesized<br />

this new compound, which was named pronethalol. The new<br />

compound was given the brand name “Alderlin,” derived from<br />

Alderley Park, and by 1962 clinical trials confirmed that it was<br />

indeed helpful in the treatment of angina as it blocked the cardiac<br />

effects of the sympathetic nervous system – the “fight or<br />

flight” reaction to stress which had been described by Walter<br />

Cannon in his book The Wisdom of the Body. ICI next set out<br />

to find an improved version of this prototype drug. This led to<br />

the creation of propranolol, devised and synthesized by Dr<br />

A.F. Crowther, which was approximately 10 times as potent as<br />

its predecessor. Propranolol proved to be the first beta-adrenergic<br />

antagonist or “beta- blocker”. It was launched as Inderal ®<br />

(a near-anagram of “Alderlin”) in 1965. Inderal ® proved a safe<br />

and effective treatment for angina pectoris, cardiac arrhythmias<br />

and hypertension, with hardly any serious side-effects.<br />

Black left ICI in mid-1964. He was made Fellow of the Royal<br />

Society in 1976, knighted in 1981, and awarded the Nobel<br />

Prize for Medicine in 1988. In 1986, when he was 62 years of<br />

age and directing a small research unit at the Rayne Institute<br />

of King’s College Hospital Medical School, he explained that<br />

he found it “hard to live with” the celebrity Inderal ® had brought<br />

him. “The things I’ve been associated with happen to have<br />

made a lot of money, but commercial success has nothing to<br />

do with the quality of the science,” he said. “I had fun doing it,<br />

it was tremendously exciting.”<br />

Pesticides and hormonal weed killers<br />

People have been trying to control pests and improve the<br />

yield of their crops since the cultivation of land began. Virgil<br />

in the second of his Georgics recommended dressing seed<br />

with ashes and other substances to preserve the crops<br />

from disease. Pliny’s Natural History suggested sprinkling<br />

cabbage caterpillars with a compound of wormwood. The<br />

modern era of pest control began around 1860, when<br />

arsenic compounds were first used in the United States<br />

against the dreaded Colorado beetle.<br />

In contrast to the relatively late development of its interest<br />

in pharmaceuticals, ICI had from its inception been interested<br />

in agricultural chemicals. In 1927, the company established<br />

a centre for “agricultural research and demonstration”<br />

at Jealott’s Hill, near Bracknell in south east England.<br />

The aim of the research station was to popularize the use of<br />

nitrogen on grass by farmers and encourage the adoption of<br />

an intensive system of grassland management, which<br />

could substantially increase the numbers of livestock<br />

supported by pastures. As a second world war became<br />

increasingly likely, work at Jealott’s Hill focused on the<br />

development of fertilizers to stimulate intensive grass<br />

production. More significant, however, were two war-<br />

time discoveries which were to come on to the market as<br />

“Gammexane” and Methoxone ® .


Dr Charles Suckling (centre) discovered the breakthrough anesthetic Fluothane ® in 1955. With him are Dr Michael Johnstone,<br />

who conducted the clinical trials, and fellow researcher James Raventos


244<br />

Imperial Chemical Industries<br />

The ICI legacy<br />

“Gammexane” – properly named gamma benzene hexachloride<br />

– is a benzene hexachloride (BHC) compound. Deriving<br />

its name from the toxicity of its gamma isomer, the compound<br />

was found to be highly effective in the eradication of locusts in<br />

Africa and wireworms and flea beetles in Britain. Gammexane<br />

was, however, ultimately edged out of the market by the even<br />

more effective DDT, manufactured by the Swiss firm Geigy.<br />

The first hormonal weed killer<br />

Almost parallel with Gammexane came the discovery of the<br />

first of the so-called hormonal weed killers, Methoxone ® .<br />

The development of Methoxone ® grew out of ICI’s work on<br />

phytohormones, substances occurring naturally in plants<br />

which regulate their growth. The existence of these chemicals<br />

had been discovered in the Netherlands in 1926, and<br />

two related substances, alpha-naphthaylacetic acid (NAA)<br />

and indole-3-acetic acid (IAA), were already under study by<br />

ICI in 1936. ICI’s chemists deduced that the organic part of<br />

the soil might contain growth hormone from decayed plants,<br />

and that thus the soil itself might stimulate plant growth.<br />

Simultaneously, an ICI scientist named W.G. Templeman<br />

made a revolutionary observation: NAA did not just fail to<br />

stimulate plant growth; it suppressed it, and the suppression<br />

was selective. Further work proved conclusively that<br />

Sir John Harvey-Jones (1924–2008)<br />

Famous for the length of his hair, the brightness of his ties and his Falstaffian figure,<br />

Sir John Harvey-Jones was one of ICI’s most inspirational chairmen in the second half<br />

of the 20th century. In fact he has been described as the most famous British industrialist<br />

since Isambard Kingdom Brunel.<br />

Born in Hackney, London, John Harvey-Jones spent his early childhood in India, where<br />

his father – an officer in the British Army – was guardian and tutor to a boy Maharajah.<br />

At the age of seven, however, he was sent to a preparatory school in Kent, England, where<br />

he was the victim of bullying and became extremely unhappy. In 1940, when he was just<br />

16, he went to sea as a midshipman in the Royal Navy, subsequently serving in submarines in<br />

the Baltic Sea. He twice experienced being torpedoed. When World War II came to an end,<br />

Sir John was sent by the Royal Navy to Cambridge University to learn Russian and German<br />

for use in naval intelligence.<br />

When his daughter contracted polio, however, Sir John decided to leave the Royal Navy<br />

in search of an occupation which would permit him to spend more time with his wife and<br />

many of the most troublesome weeds growing in cereals<br />

or grass were killed off by NAA while most of the crops<br />

remained resistant to it. Supported by the British Ministry<br />

of Agriculture, ICI organized the largest field trial of its kind<br />

ever attempted at the time, and by 1946, Methoxone ® or<br />

“cornland cleaner” was available to British farmers.<br />

ICI built on the success of Methoxone ® by developing further<br />

selective hormonal weed killers in the 1950s, including<br />

diquat and paraquat. Named after the quaternary salts from<br />

which it is derived, Paraquat was launched on the market as<br />

Gramoxone ® in 1962 and came to be used by farmers in 120<br />

countries worldwide. Herbicides are considered risky today,<br />

but at the time Gramoxone ® was a breakthrough. Quickly<br />

effective and then quickly inactive, it left little residue, was<br />

harmless to wildlife, inactive in soil, and helped to prevent<br />

soil erosion by not affecting soil-retaining grass or weeds<br />

surrounding the treated crop. Dr William Boon, who was<br />

instrumental in the development of diquat and paraquat,<br />

was keenly aware of the potential dangers of these products,<br />

both to the environment and to human health. He in<br />

fact formed an Ecology Section within ICI, which was to<br />

become the basis for the Environmental Sciences Group<br />

that the company established in 1969. Boon later become<br />

a Fellow of the Royal Society in recognition of his contributions<br />

to organic chemistry.<br />

Growing a new protein<br />

In the 1960s, the World Health Organization predicted that<br />

the world was going to run short of protein – in particular,<br />

the rich European countries which were not among the chief<br />

producers of soy beans, the ultimate protein commodity. In<br />

response to this idea, ICI’s Dr Peter King set out to develop<br />

a new protein – not for people to eat directly, but for animal<br />

feed. Their first intention was to synthesize protein by chemical<br />

means, but the chemistry involved was too complex and<br />

the plan was soon abandoned. Various fermentation processes<br />

were then considered. They chose as a substrate a<br />

substance containing carbon that can be metabolized that<br />

had just appeared in abundant quantities under the North<br />

Sea – natural gas. Using this as a feedstock, bacteria or<br />

yeasts could in theory be grown in quantities, producing<br />

protein-rich microbial cells or single-cell protein (SCP).<br />

In 1968, King started searching the world for micro-organisms<br />

that would grow on methane. After much trial and error,<br />

it was found that Methylophilus methylotropus would grow<br />

not on methane but on methanol – and this proved to be<br />

the breakthrough. From the early laboratory fermenters, the<br />

process was gradually scaled up and by 1971 a pilot plant<br />

was working, plus a separator and a drying plant for harvesting<br />

the protein, which was branded “Pruteen.” Then it all<br />

daughter. He joined ICI on Teesside as a junior manager in 1956. Sir John joined ICI’s<br />

board in 1973 and became Chairman in 1982. By the time he stepped down five years<br />

later, many of the company’s non-core businesses had been divested, its bureaucratic<br />

structures had been reformed, and its profits had trebled.<br />

On leaving ICI, Sir John built a new career in television with his popular Troubleshooter<br />

series, in which he advised struggling businesses on how to improve their performance.<br />

His role won him a British Academy of Film and Television Arts (BAFTA) award.<br />

Knighted in 1985 for his services to industry, Sir John Harvey-Jones became Chancellor<br />

of Bradford University, Chairman of The Economist and a board member of Grand<br />

Metropolitan. He also worked for various charities. In 1991 he published an autobiography,<br />

Getting It Together, in which he described the “Jekyll and Hyde” tension between his<br />

outwardly self-confident persona and the insecure child within. Despite his numerous<br />

achievements in a range of different disciplines, Sir John remained painfully aware of his<br />

inadequacies and never ceased to long for the respect of his father.


The KLEA 134a plant at Runcorn, Cheshire, in the early 1990s.<br />

KLEA 134a was a replacement for ozone-damaging<br />

chlorofluorocarbons (CFCs)<br />

Sir John Harvey-Jones – an inspirational chairman during the 1980s<br />

and one of the foremost industrialists of his era<br />

245


246<br />

Imperial Chemical Industries<br />

The ICI legacy<br />

began to go wrong. The economics of Pruteen were badly<br />

affected by two things. The first was the oil-price shock of<br />

l973, which pushed up the price of methanol. The second was<br />

the decline in global soya meal prices, which were caused by<br />

the introduction of more efficient cultivation methods and the<br />

simultaneous expansion of soya bean cultivation. Pruteen<br />

had been intended as an alternative to soya meal for use in<br />

animal feed, and the drop in soya meal prices had the effect<br />

of shrinking the potential market for Pruteen. Even so, the ICI<br />

board gave the green light in 1976 for the construction of the<br />

world’s first commercial plant to manufacture protein from<br />

methanol. At its peak the plant could have produced 50,000<br />

tons of Pruteen a year – but it never did. The expected “protein<br />

gap” never materialized. However, the work was not wasted.<br />

Pruteen was found to be highly successful as a replacement<br />

for expensive skim-milk powder in the diets of calves<br />

and young pigs. The work on single-cell protein also led ICI<br />

into fermentation technology and biotechnology in general.<br />

The company’s Biological Products business has been<br />

responsible for a number of significant product developments,<br />

most notably myco-protein, a foodstuff similar to<br />

edible fungus, brought to market in partnership with Rank<br />

Hovis McDougall as Quorn ® .<br />

The environmental revolution<br />

In 1962, the American author Rachel Carson published Silent<br />

Spring – a book that shocked a generation with its revelations<br />

of the toxic effects of DDT and other chemicals and transformed<br />

attitudes to the chemical industry. Scientific and<br />

public awareness of the damage being done to the environment<br />

by chemicals began to gather force in the 1970s. In 1971<br />

an apparently minor decision by the Schweppes company not<br />

to accept the return of its soft-drink bottles sparked a demonstration<br />

by hundreds of British consumers, who besieged<br />

the company’s headquarters with a barrage of bottles. From<br />

this was formed the Friends of the Earth, Britain’s first environmental<br />

pressure group.<br />

Substitutes for CFCs<br />

The early 1970s were the years when scientists started to<br />

investigate the long-term effects of chlorofluorocarbons<br />

(CFCs) on the earth’s upper atmosphere. CFCs had been<br />

first developed in 1928 by General Motors in the USA. They<br />

had the unique properties of being both chemically and<br />

thermally stable, and found extensive usage in refrigeration<br />

(as coolants and foam-blowing agents) and in aerosols<br />

(as propellants). By 1974, nearly one million tons of CFCs<br />

were being produced annually. Then two American scientists,<br />

Sherwood Rowland and Mario Molina, posited a<br />

link between CFCs and depletion of the ozone layer. By<br />

1978 the U.S. government was sufficiently concerned to<br />

impose a ban on aerosols containing CFCs. Worldwide<br />

CFC production ceased in 1995. In seeking alternatives,<br />

ICI decided to explore HFCs, products with a zero potential<br />

for ozone depletion in which all the chlorine is replaced by<br />

hydrogen. ICI started producing one HFC-based product,<br />

KLEA 134a, in 1990 and another, KLEA 32, in 1992. The<br />

company also developed a safe process for disposing of its<br />

remaining CFC stocks.<br />

Driving environmental standards<br />

The 1990s also saw ICI setting new environmental standards<br />

for all its new plants, halving its production of waste<br />

and implementing a rigorous energy conservation program.<br />

A new process of ammonia synthesis was developed at this<br />

time to replace the company’s two ageing ammonia plants<br />

at Severnside. Requiring less feed gas, building land and<br />

steel for construction, it also produced less waste. In 1990<br />

the new process won the Royal Society of Arts’ Pollution<br />

Abatement Technology Award, sponsored by the United<br />

Kingdom’s Environment Foundation, the Department of the<br />

Environment, and Shell.<br />

The drive to reduce pollution gave birth to a new environmental<br />

business in the form of ICI Watercare, launched in<br />

1990 to develop products for purifying drinking water and<br />

treating sewage, as well as systems for the treatment of liquid<br />

wastes from industrial manufacturing processes. In 1992, ICI<br />

also published its first report on progress towards environmental<br />

objectives, giving data on waste and emissions and<br />

the number of prosecutions sustained on environmental<br />

charges. The announcement of environmental objectives<br />

was the first of its five-year series of Challenge improvement<br />

objectives, which continue today with Challenge 2010.<br />

Biopol ® – the biodegradable plastic<br />

ICI’s most technically exciting development of this period was<br />

Biopol ® , the biodegradable plastic hailed by the American<br />

magazine Popular Science in 1990 as one of the one hun-<br />

dred greatest scientific achievements in environmental technology.<br />

In fact Biopol ® was a discovery of the 1970s, an<br />

offshoot of the Pruteen experiment described above. Nonoil<br />

based, and made by the action of natural organisms on<br />

glucose, it was seen in the years following the 1973 OPEC oil<br />

embargo as a potentially winning substitute for petroleumbased<br />

plastics, and a potential boon to developing countries<br />

with no oil but the ability to grow sugar. The price of oil stabilized,<br />

and then fell, however, and more supplies of oil came<br />

on stream. The world appeared to have passed Biopol ® by.<br />

The green revolution was to open up new horizons for the<br />

innovative plastic, however, which found its first commercial<br />

use in the form of shampoo bottles for the environmentallyconscious<br />

German market.<br />

Advanced materials for aerospace<br />

A new family of plastics, developed out of aromatic chemistry<br />

with its high-density molecular structure (as opposed to the<br />

looser aliphatic compositions) began to emerge in the 1960s,<br />

beginning with PES (polyether sulphone), which is far more<br />

resistant to heat than polythene. ICI secured a world first with<br />

PES and launched it as an engineering plastic for such uses<br />

as transformer windings, parts of electric motors and medical<br />

sterilization equipment. Then the search began for a more<br />

crystalline compound that would take high-precision molding<br />

and could be used at high temperatures. It resulted in the discovery<br />

of PEEK (polyether ether ketone), which came out in<br />

the early 1970s and found immediate application as a wirecoating<br />

material in the electronics industry.<br />

An earlier discovery than PES, developed in the 1950s, was<br />

PET (polyethylene terephthalate), a polyester derivative from<br />

the same technology as Terylene ® . PET started life in ICI as<br />

a base for photographic film but, with a changed molecular<br />

structure, is now widely used for plastic bottles. The liquidcrystal<br />

polymers that were developed later from PET have<br />

remarkable optical and magnetic properties.<br />

During the 1980s, synthetic materials called aromatic polymer<br />

composites (APCs) began to open up new markets.<br />

APCs are thermoplastics reinforced with fiber to form a light<br />

but stiff and immensely strong material that can make anything<br />

from high-performance tennis rackets to aerospace<br />

components. APCs were originally another response to<br />

the energy crisis of the 1970s: to save fuel, engineers were<br />

looking for lighter-weight components for cars and aircraft.<br />

The aerospace industry offered ICI more scope for its inno-


Imperial Chemical Industries<br />

The ICI legacy<br />

vative products than the increasingly cost-conscious car<br />

industry of the day, and ICI turned its attention to combining<br />

PEEK with carbon fiber as a replacement for epoxy, the substance<br />

widely used at that time for building aircraft. The ICI<br />

scientists working on APC were buoyed up by excitement<br />

and worked Saturday and Sunday night shifts as the project<br />

moved into high gear. It was well into the 1990s before APC<br />

was a proven success, however. Then history intervened:<br />

the collapse of Communism in Eastern Europe and the<br />

progressive winding-down of arsenals on both sides of the<br />

superpower divide brought cuts in government spending in<br />

the defense and aerospace industries. It also brought much<br />

less demand for advanced materials such as APC.<br />

“Fewer but better” drugs<br />

In the 1980s, ICI’s Pharmaceuticals Division pursued a<br />

policy of developing “fewer but better” drugs, building on the<br />

platform of its drug discoveries, such as the beta-blockers<br />

Inderal ® (described above) and Tenormin ® . Tenormin ® had<br />

been launched in 1976 and would become the best-selling<br />

beta-blocker in almost every market in the world. ICI’s<br />

dominance in the cardiovascular therapeutic category was<br />

strong, and Inderal and Tenormin ® together became the<br />

most subscribed beta-blockers in the world. ICI’s innovation<br />

in pharmaceuticals continued with the launch of Diprivan ® ,<br />

an intravenous anesthetic that allowed the level of sedation<br />

to be precisely controlled. For patients and anesthetists it<br />

offered speed and quality of recovery following surgery. The<br />

prostate cancer treatment Zoladex ® , an injectable, was also<br />

launched in this period.<br />

Recession and turnaround in the 1980s<br />

The early 1980s saw ICI struggling to cope with the effects<br />

of recession. The chairmanship of John Harvey-Jones from<br />

1982 to 1987, however, transformed the company from a<br />

loss-making operation to a profitable one again. In 1984,<br />

while the chemical cycle was “up”, ICI was the first UK<br />

company to achieve £1 billion in annual pre-tax profits. The<br />

£1 billion mark was to be achieved several times during the<br />

decade, with more than £1.5 billion being reached in 1989.<br />

ICI became the first company in the world to market solid<br />

emulsion paint for application by roller to the domestic consumer.<br />

With the purchase of Glidden of the U.S. in 1986, ICI<br />

became one of the largest paints companies in the world.<br />

Expansion into the USA continued with the acquisition in<br />

1985 of the chemicals interest of Beatrice and of Garst Seed,<br />

a major corn seed company. In 1987, Stauffer Chemicals<br />

of the U.S. was acquired to further strengthen the agro<br />

chemicals business, and the Board of Directors met in<br />

New York, the first time it had met outside the UK. Another<br />

first, in 1991, was the appointment of the first woman to<br />

the ICI Board. Even more significant events, however, were<br />

to follow.<br />

ICI becomes a specialty chemicals<br />

and paints producer<br />

First was the demerger in 1993 of the Pharmaceuticals<br />

and Agrochemicals businesses to form Zeneca (today<br />

AstraZeneca, a global pharmaceuticals company; the agrochemicals<br />

business joined Novartis to form Switzerland-based<br />

Syngenta). Then, in 1997, ICI continued its momentous portfolio<br />

shift with the acquisition of the speciality chemicals businesses<br />

of Unilever and the divestment of its bulk and intermediate<br />

chemicals businesses. These divestments were to total<br />

more than 50 separate deals over a period of just five years.<br />

Businesses that trace at least part of their origins back to ICI<br />

include – besides AstraZeneca and Syngenta – the polyester<br />

manufacturer Artenius UK, the specialty chemicals business<br />

Avecia, the pharmaceuticals giant, Brunner Mond (recreated<br />

as a stand-alone company in 1991), the surfactants manufacturer<br />

Croda, Dow Chemicals, the Warrington engineering<br />

consultancy Eutech, Huntsman, INEOS (which acquired<br />

ICI’s Chlor and Klea businesses), Invista, the acrylics manufacturer<br />

Lucite, the Swiss refining group Petroplus, Premier<br />

Foods (whose antecedents within ICI developed Quorn ® ),<br />

Saffil (a manufacturer of heat-resistant material used in catalytic<br />

converters), the rock salt manufacturer Salt Union, the<br />

Saudi petrochemicals company SABIC, SembCorp (which<br />

owns the former ICI utilities and services business of Teesside<br />

in the UK), SOG (ICI’s former Runcorn business park), the<br />

fertilizer manufacturer Terra Industries and the plastics<br />

maker Victrex.<br />

ICI focuses on high-growth,<br />

high-margin businesses<br />

By becoming a leading specialty chemicals and paints producer,<br />

ICI aimed to move away from cyclical bulk chemicals<br />

and up the value chain to be a higher growth, higher margin<br />

business. ICI became one of the world’s major specialty<br />

products and paints businesses, represented mainly by<br />

National Starch and ICI Paints. By this stage in the company’s<br />

evolution, approximately one-quarter of ICI’s sales<br />

were made in the Asia Pacific region and 40 percent in the<br />

Americas, while less than 12 percent of sales were made in<br />

the UK. The ICI Group achieved sales of £6.4 billion in 2001,<br />

with its paints portfolio driving the company’s profitability.<br />

ICI employed 38,600 people in businesses worldwide by<br />

this point; on commencing trading in 1927, it had employed<br />

33,000 people, all of them in Britain.<br />

Entering the new millennium, ICI’s product portfolio included<br />

flavors and starches for the food industry, fragrances, surfactants<br />

and specialty polymers for personal care products,<br />

adhesives for the electronics and packaging markets, and<br />

a wide range of decorative coatings and specialty products<br />

for domestic use and the construction industry. Listed on<br />

both the London and New York stock exchanges, ICI was a<br />

member of the FTSE100, FTSE4Good and the Dow Jones<br />

Sustainability Index. In 2006, when it disposed of its fragrance<br />

business Quest to Givaudan SA and its surfactants<br />

business Uniqema to Croda International Plc, ICI posted<br />

annual sales of £4.8 billion, 50 percent of which was attributable<br />

to paints.<br />

Acquisition by Akzo Nobel<br />

The following year, ICI was acquired by Akzo Nobel<br />

after an intense negotiation process which captured<br />

the headlines throughout the latter part of the summer.<br />

Akzo Nobel’s original offer of 600 pence per share had<br />

been rejected by ICI when first made in June 2007; an<br />

improved offer of 650 pence per share was likewise turned<br />

down as undervaluing ICI. Only when Akzo Nobel combined<br />

forces with the German consumer products group<br />

Henkel to create a joint bid of 670 pence per share was the<br />

offer successful. The deal, which valued ICI at £8.1 billion<br />

(c10.8 billion), was announced on August 13, 2007 and formally<br />

concluded on January 2, 2008.<br />

247


248<br />

1 <strong>AkzoNobel</strong> headquarters<br />

Amsterdam, the Netherlands<br />

Major <strong>AkzoNobel</strong> manufacturing,<br />

R&D, and sales locations<br />

1<br />

Amsterdam


249


250<br />

The Akzo Nobel resins facility in Bergen op Zoom, the Netherlands, in 1995


<strong>AkzoNobel</strong><br />

In 1994, Akzo took one of the most important steps in its history. It merged<br />

its coatings and chemicals businesses with those of Nobel Industries,<br />

swiftly integrating them to create a new global organization named<br />

Akzo Nobel. For a merger which is frequently regarded as a textbook<br />

example of successful integration, the starting position was inauspicious:<br />

Nobel Industries was deeply in debt, and the Swedish government – which<br />

owned 65 percent of the company’s shares – wished to divest its shareholding<br />

as quickly as possible.<br />

251<br />

Overview<br />

A perfect fit<br />

An instinct for cooperation<br />

Acquisition of Courtaulds<br />

Market and technology focus<br />

Pharma, Coatings, Chemicals<br />

Fit for the future<br />

ICI joins Akzo Nobel<br />

Rebranding to become <strong>AkzoNobel</strong>


252<br />

<strong>AkzoNobel</strong> 1994–2008:<br />

Consolidation and focus<br />

<strong>AkzoNobel</strong><br />

There was a prelude to this move, however. In the summer<br />

of 1992, Ove Mattsson, Chairman of the Board of Nobel<br />

Industries, visited Aarnout Loudon, Chairman of the Board<br />

of Management of Akzo, in Arnhem with a proposal to take<br />

over Akzo’s coatings business. In return he offered a majority<br />

share in Nobel, the ownership of Nobel’s chemicals business,<br />

and a cash payment. This would have made Nobel<br />

a pure coatings company. Loudon rejected the offer, but<br />

he contacted Mattsson again in February 1993: “Ove,” he<br />

said, “I like the industrial logic of your proposal, so let’s talk.”<br />

Loudon, however, inverted Mattsson’s original idea, suggesting<br />

that Akzo should take over Nobel Industries’ coatings<br />

and chemicals businesses. On examination of Loudon’s<br />

industrial logic, Mattsson agreed.<br />

A perfect fit<br />

The acquisition has, in fact, been frequently described as a<br />

merger. “As the bigger party,” commented Aarnout Loudon<br />

during an interview in 2003, “it was Akzo who took over Nobel<br />

Industries, but for coatings it was a merger. Strategically, it<br />

was a perfect fit. Of course, the analysts said we paid too<br />

much – they always do. I replied: ‘Time will tell,’ and, looking<br />

back, it has. After further acquisitions, Akzo Nobel has<br />

become the largest coatings company in the world.”<br />

Keen to identify best practices in both companies and translate<br />

these into the new situation, Akzo Nobel sought top<br />

talent to manage the complex knowledge transfer and integration<br />

process. Many of these came from Sweden, including<br />

Ove Mattsson himself, who became Akzo Nobel’s Board<br />

Member for Coatings. “I’ve got very positive memories of<br />

working with the Dutch,” Mattsson was later to recall. “Their<br />

easy-going way of doing business matched ours. And, like<br />

us, they have a small-nation syndrome and an international<br />

outlook. The Nobel coatings business had something<br />

of a family company culture, so joining with similar Akzo<br />

companies was easier.” The fact that both partners had<br />

divested their consumer businesses during the 1980s, and that<br />

both were organized in terms of business units rather than<br />

divisions, also helped.<br />

An instinct for cooperation<br />

Aarnout Loudon retired as Chairman of Akzo Nobel’s Board<br />

of Management in 1994, taking on the role of Chairman of<br />

the Supervisory Board. He was succeeded as Chairman<br />

of the Board of Management by Cees van Lede, to whom<br />

fell the task of making the integration work over the coming<br />

years. Van Lede’s philosophy echoed that of Mattsson: “Like<br />

the Netherlands,” he observed, “Sweden is a small country,<br />

and I think small countries have an instinct for co-operation.<br />

Nobel also shared our business unit philosophy, and, like us,<br />

had a culture of give-and-take and consensus building, and<br />

once Swedes reach a consensus, it’s virtually unbreakable.”<br />

Acquisition of Courtaulds<br />

Only four years later, Akzo Nobel announced its intention<br />

to acquire Courtaulds (see the separate chapter on The<br />

Courtaulds Legacy). This brought Courtaulds’ extremely<br />

strong coatings portfolio into the business (as explained in<br />

the separate chapter on International Paint). On January 1,<br />

1999, Courtaulds’ and Akzo Nobel’s fibers businesses were<br />

integrated into a new company called Acordis, which supplied<br />

man-made fibers and materials for industrial, textile,<br />

medical and hygiene applications. With production facilities<br />

in Germany, the Netherlands, the UK, the United States,<br />

Brazil, Italy, Spain and Poland, Acordis had its organizational<br />

headquarters in Derby (UK) and its legal headquarters in the<br />

Netherlands. It employed 19,000 people worldwide and had<br />

sales of NLG 6 billion (approximately $3 billion) at the time of<br />

its establishment. Acordis was divested in the same year to<br />

CVC Capital Partners.<br />

Market and technology focus<br />

This brought to an end Akzo Nobel’s association with fibers,<br />

which stemmed back to the foundation of Enka by Jacques<br />

Coenraad Hartogs in 1911. In the years that followed,<br />

Akzo Nobel made selective acquisitions in coatings, chemicals<br />

and pharmaceuticals, refocused its chemicals portfolio<br />

(integrating its salt and base chemicals activities and<br />

strengthening its specialty chemicals portfolio), and made a<br />

number of strategic divestments.<br />

The new Company Statement, formulated in 1995,<br />

described Akzo Nobel as a “market-driven and technologybased<br />

company,” and this set the tone for operations in the<br />

closing years of the 20th century. Following the acquisitions<br />

of Nobel Industries’ coatings and chemicals businesses<br />

and of Courtaulds, Akzo Nobel was also a genuinely international<br />

business in spirit as well as name. “We distinguish<br />

ourselves from many others as a multicultural company,”<br />

stated Cees van Lede in 1996, “not only in terms of human<br />

resources, but equally in terms of the national backgrounds<br />

we assemble under the Akzo Nobel logo, and the business<br />

that we conduct worldwide. But we are also multicultural in<br />

that we emphasize the responsibilities of the business units<br />

and service units, and we stimulate them to exploit their own<br />

identities and styles. On the other hand, the competitive<br />

edge of our corporation above all lies in our acting as one<br />

coherent group in spite of its many different parts. Each of<br />

our employees, whatever he does or wherever she works,<br />

should have the same attitude, showing full commitment to<br />

the success of our customers, eagerness to make a sound<br />

return on our shareholders’ investments, ability to create an<br />

attractive working environment and a deeply felt sensitivity<br />

to conduct our activities in a socially responsible manner.<br />

Within this common framework, our diversity should enable<br />

us, more than others, to benefit from the wide range of individual<br />

ideas within the company, stimulating one another<br />

to bring to life new business concepts and to develop new<br />

products or services.”<br />

Pharma, Coatings, Chemicals<br />

Under the chairmanship of Van Lede, Akzo Nobel positioned<br />

itself as a company offering Pharma, Coatings and<br />

Chemicals, and the emphasis on the human and animal<br />

healthcare sectors increased during these years, taking<br />

advantage of the non-cyclical nature of the pharma industry.<br />

Akzo Nobel’s success during this period owed much to the<br />

strategic thinking and international orientation of Van Lede,<br />

who succeeded in translating Aarnout Loudon’s bold expansion<br />

plans into operational reality. Van Lede’s stated single<br />

priority on assuming the chairmanship in 1994 had been<br />

“to make this work,” and he used his renowned interpersonal<br />

and linguistic skills to great effect in this cause. Indeed, Van<br />

Lede added Swedish to his portfolio of foreign languages so<br />

as to better understand the viewpoint of his new colleagues<br />

from Nobel Industries. Ultimately 60 percent of the company’s<br />

sites received a visit from Van Lede during his almost<br />

decade-long tenure.<br />

The successful integration of Nobel Industries, the acquisition<br />

of Courtaulds’ cutting-edge coatings operations,<br />

the divestment of the problematic fibers business and the<br />

new emphasis on a very strong Pharma group were all the<br />

achievement of Cees Van Lede. Throughout his chairmanship,<br />

he cultivated a managerial style which balanced a


Powder coatings being packed by Anders Engman at Akzo Nobel’s<br />

powder coating facility in Malmö, Sweden, in 1998<br />

253


254<br />

<strong>AkzoNobel</strong> 1994–2008:<br />

Consolidation and focus<br />

<strong>AkzoNobel</strong><br />

pragmatic approach to business with a deep understanding<br />

of the human factor. “His major achievement was to take<br />

former CEO Aarnout Loudon’s business-unit concept of a<br />

decentralized, two-layer organization and actually put it<br />

into practice,” commented his former colleague CFO Fritz<br />

Fröhlich in an interview marking the occasion of Van Lede’s<br />

retirement in 2003. “Van Lede is one of those cosmopolitan<br />

Dutch businessmen who speaks numerous languages and<br />

loves diversity,” Fröhlich continued. “I have never heard him<br />

voice any prejudice, he’s very tolerant, he isn’t just the hardnosed<br />

profit-driven business man. He’s interested in all stakeholders<br />

– and employees, the public, the shareholders.”<br />

Under Van Lede’s direction, <strong>AkzoNobel</strong> posted the best<br />

results in its long history as it entered the new millennium<br />

in 2000, with net income of c966 million, up 25 percent<br />

on the previous year’s figure. The first years of the 21st<br />

century witnessed economic stagnation, however, and the<br />

perceived attractiveness of the pharma sector underwent a<br />

general decline, as pure pharma players found the process<br />

of bringing “blockbuster” drugs to market increasingly<br />

lengthy and expensive. Indeed, the early years of the new<br />

millennium proved to be particularly challenging, with the<br />

increasingly difficult economic climate adding to the pressure<br />

brought about by the loss of patent protection for key<br />

pharma product Remeron. A series of restructuring programs<br />

soon followed and it was against this background<br />

that Hans Wijers succeeded Cees van Lede as Chairman<br />

of the Board of Management in 2003. Van Lede had been<br />

at the helm for almost a decade and had overseen a crucial<br />

phase in the history of the company.<br />

Fit for the future<br />

Within months of Wijers becoming Chairman, the company<br />

was quick to signal its new, more focused, strategy. A major<br />

chemicals divestment program was announced which would<br />

eventually result in a complete realignment of the portfolio.<br />

The Decorative Coatings business was also restructured,<br />

with Wijers intent on creating a platform for growth and<br />

maneuvering the company into a position of financial and<br />

organizational strength.<br />

A few years later, in 2006, another landmark announcement<br />

was made, when Wijers spelled out his vision for<br />

the company.<br />

“Pure play” was the key phrase in Hans Wijers’ new strategy,<br />

which was presented on February 7, 2006, at Akzo Nobel’s<br />

2005 Annual Results press conference. Wijers announced<br />

the creation of a pure play chemicals and coatings company<br />

and a pure play pharmaceutical company. The objective of<br />

this bold move was to enhance shareholder value through<br />

increased management and strategic focus, offering greater<br />

transparency and putting both businesses in a position to<br />

accelerate their growth independently of one another.<br />

The initial plan was for a minority listing of Organon<br />

BioSciences (comprising Akzo Nobel’s pharma business<br />

units Organon, Intervet and Nobilon) on the Euronext<br />

Bourse in Amsterdam, with full separation of the two<br />

companies to occur within the following three years. On<br />

March 12, 2007, however, the separation process was<br />

dramatically speeded up by Schering-Plough’s offer to<br />

acquire Organon BioSciences for c11 billion. The offer was<br />

accepted, marking the termination of Akzo Nobel’s association<br />

with pharma – a link stretching back most prominently<br />

to Saal van Zwanenberg’s foundation of Organon<br />

in 1923. At the moment of acceptance, Akzo Nobel<br />

employed a total of 61,900 people worldwide and generated<br />

net income of c1.2 billion on annual revenues of<br />

c13.7 billion. The company was, in Hans Wijers’ words,<br />

“Fit for the future.”<br />

ICI joins Akzo Nobel<br />

Only months after disposing of Organon BioSciences,<br />

Akzo Nobel made another swift and decisive move,<br />

announcing on August 13, 2007 its intention to acquire<br />

Imperial Chemical Industries PLC (ICI). The deal, which<br />

was formally closed on January 2, 2008, was worth<br />

£8.1 billion (c10.8 billion). An important component of this<br />

transaction was the sale of ICI’s Adhesives Division and<br />

Electronic Materials Division to the Düsseldorf-based international<br />

consumer products company Henkel for £2.7 billion<br />

(c3.6 billion). The disposal of the two divisions offered a<br />

compelling strategic fit for both Akzo Nobel and Henkel and<br />

enabled Akzo Nobel to increase the offer it had originally<br />

made for ICI in August 2007 while maintaining its financial<br />

discipline. Taking into account these disposals, the acquisition<br />

of ICI gave Akzo Nobel pro forma combined sales<br />

(based on figures for 2006) of c15.3 billion, c10 billion of<br />

which were attributable to coatings activities. The combination<br />

of Akzo Nobel’s and ICI’s coatings portfolios assured<br />

the expanded Akzo Nobel a leading presence on all continents,<br />

the ability to serve customers worldwide, a strong<br />

and complementary fit across all its regions, markets and<br />

brands, and an excellent platform for growth.<br />

Rebranding to become <strong>AkzoNobel</strong><br />

The purchase of ICI set in motion a reorganization of management<br />

functions and the company’s business activities to<br />

integrate the new acquisition. While Akzo Nobel’s Chemicals<br />

businesses had by and large already been rationalized in<br />

2004, the incorporation of ICI’s highly successful Dulux<br />

brand into Akzo Nobel’s Decorative Coatings business triggered<br />

a major rethinking of the company’s Coatings organization.<br />

The Coatings portfolio was divided into a Decorative<br />

Paints business, featuring seven regional business, and a<br />

Performance Coatings business, including Car Refinishes,<br />

Marine & Protective Coatings, Powder Coatings, Industrial<br />

Finishes, and Packaging Coatings. The acquisition and integration<br />

of ICI within Akzo Nobel was the last milestone in the<br />

transformation of the company from the conglomerate it had<br />

been nearly a decade before to a highly focused Coatings<br />

and Specialty Chemicals company.<br />

The time was ripe for a new corporate brand for the company.<br />

On April 25, 2008, <strong>AkzoNobel</strong> was born. The company<br />

had been re-energized for a new beginning. A new corporate<br />

brand and identity was unveiled, symbolizing the fundamental<br />

transformation which the company had undergone. But the<br />

name was retained (now written as one word) because it<br />

commanded too much value, heritage and respect for it to<br />

be discarded. The familiar logo also remained, having been<br />

given a modern restyling to make it more relevant to the new<br />

positioning. “Our new brand promise typifies our desire to<br />

create new ideas,” explained Wijers. “We are one company<br />

and will continually seek out new and better answers for our<br />

customers, making true on our brand promise: Tomorrow’s<br />

<strong>Answers</strong> <strong>Today</strong>.”


Akzo Nobel provided the coatings for the two largest wind turbines in the world when commissioned in 2006. Situated off<br />

the northeast coast of Scotland, they weigh 750 tons each and have rotor blades more than 61 metres long. Approximately<br />

3,000 liters of coatings were required to protected the turbines against this notoriously harsh maritime environment<br />

255


256<br />

Akzo Nobel’s Sikkens ® products being used to help restore the original ornamental<br />

frieze above Rembrandt’s “Night Watch” in Amsterdam’s Rijksmuseum


<strong>AkzoNobel</strong><br />

Most companies do not survive longer than 40 years; the conflicting pressures<br />

to continually evolve in the face of change while retaining a clear<br />

sense of identity and purpose are simply too great. <strong>AkzoNobel</strong> traces its<br />

earliest forbear back to the middle of the 17th century. The account of<br />

the company’s genesis, growth and survival into the 21st century is by<br />

definition a huge success story.<br />

257


258<br />

<strong>AkzoNobel</strong> in the 21st century<br />

<strong>AkzoNobel</strong><br />

That success has been based on many things. On entrepreneurial<br />

flair, commercial acumen, informed risk-taking and,<br />

of course, innovative capability. The companies that have<br />

gone into the creation of today’s <strong>AkzoNobel</strong> were in themselves<br />

significant organizations that were successful over the<br />

course of many decades. <strong>AkzoNobel</strong>’s success is founded<br />

on its remarkable ability to change.<br />

Looking beyond the horizon of this book, there is perhaps<br />

only one safe prediction to be made. <strong>AkzoNobel</strong> will con-<br />

An ever-changing<br />

portfolio<br />

At the time of this book’s publication, <strong>AkzoNobel</strong>’s portfolio<br />

is focused on coatings and chemicals. The company is<br />

the world’s largest coatings manufacturer and commands<br />

leading market positions in virtually all its chemicals<br />

businesses. <strong>AkzoNobel</strong> develops, manufactures and<br />

markets innovative, high-quality products and services for<br />

most market segments. The coatings portfolio includes<br />

decorative paints; products for industrial applications<br />

including powder coatings; marine, protective and<br />

aerospace coatings; and coatings-related products such<br />

as wood and building adhesives. Key <strong>AkzoNobel</strong> coatings<br />

brands include Albatex ® , Astral ® , Dulux ® , Dulux ® Magic<br />

White ® , Dulux ® Valentine ® , Flexa ® , Flood ® Herbol ® ,<br />

International ® , Interpon ® , Lesonal ® , Levis ® , Marshall ® ,<br />

Molto ® , Nordsjö ® , Sadolin ® , Schönox ® , Sico ® , Sikkens ® ,<br />

Tintas Coral ® , Trimetal ® and Vivechrom ® .<br />

<strong>AkzoNobel</strong> is also one of the world’s leading producers<br />

of specialty chemicals, holding leading or strong global<br />

positions in many markets. A key supplier to the polymer<br />

production and processing industries, the company is also<br />

the world leader in pulp bleaching chemicals and an<br />

important producer of salt, functional chemicals, and<br />

surfactants. Key <strong>AkzoNobel</strong> chemicals brands include<br />

Akucell ® , Bermocoll ® , Bolikel ® , Demeon ® D, Dissolvine ® ,<br />

Eka ® , Expancel ® Microspheres, Jozo ® Salt, Kromasil ® MCA,<br />

Nezo ® Salt, Suprasel ® and Trigonox ® .<br />

tinue to change. It will make further acquisitions and divestments,<br />

reorganize its activities, develop new technologies,<br />

and create new markets. These are things that the company<br />

will have to do in order to excel – and it will have to excel<br />

in order to survive. That is the way of business. If this brief<br />

account of <strong>AkzoNobel</strong>’s history tells us one thing, it is that<br />

the fundamental laws of business never change. The challenges<br />

and opportunities facing <strong>AkzoNobel</strong> today are not<br />

so very different from those faced by so many of the great<br />

<strong>AkzoNobel</strong>’s<br />

business line-up 2008<br />

Decorative Paints<br />

Decorative Paints supplies a full range of interior and<br />

exterior decoration and protection products for both the<br />

professional and DIY markets. Our Decorative Paints<br />

organization consists of 7 regional businesses.<br />

Performance Coatings<br />

Car Refinishes supplies paints and services to the car<br />

repair, commercial vehicle and automotive plastics markets.<br />

Industrial Activities comprises the company’s Industrial<br />

Finishes and Powder Coatings businesses.<br />

Marine & Protective Coatings is a global market leader<br />

in marine paints and antifouling coatings. It manufactures<br />

fire-retardant products for large plants and offshore installations,<br />

as well as protective coatings for structures such as<br />

bridges, aircraft and stadiums.<br />

Packaging Coatings manufactures and supplies inks and<br />

coatings for the interior and exterior of cans and other metal<br />

containers.<br />

pioneers described in this narrative – and by the countless<br />

more who could not be named, but whose anonymous<br />

contribution was just as vital in helping to create today’s<br />

<strong>AkzoNobel</strong>.<br />

These pioneers of so many years ago had their sights firmly<br />

set on tomorrow. In today’s very different world, there is no<br />

better place to look for the future of <strong>AkzoNobel</strong>. Where better<br />

to highlight that idea than in the company’s corporate identity:<br />

Tomorrow’s <strong>Answers</strong> <strong>Today</strong><br />

Specialty Chemicals<br />

Base Chemicals produces energy, salt, chlor-alkali products<br />

and derivatives. Its products are used to make items such as<br />

glass, pharmaceuticals and textiles.<br />

Chemicals Pakistan focuses on providing, for example,<br />

specialty chemicals, polyester fibers and soda ash exclusively<br />

for the Pakistan market.<br />

Functional Chemicals comprises a number of businesses<br />

that manufacture and sell a variety of chemical intermediates<br />

and performance chemicals on a global scale.<br />

Polymer Chemicals produces organic peroxides, and<br />

is also a major producer of metal alkyls and co-catalysts<br />

– chemicals used primarily in the production of thermoplastics,<br />

and for making a wide range of plastic goods.<br />

Pulp & Paper Chemicals produces bleaching chemicals<br />

used in the manufacture of paper pulp and supplies process<br />

and performance chemicals that improve the properties<br />

of paper.<br />

Surface Chemistry produces surface-active agents used<br />

to facilitate the combination or seperation of two different<br />

materials.


A selection of <strong>AkzoNobel</strong> powder coatings


260<br />

Located alongside the Veracel pulp mill in Brazil, Eka’s Bahia plant, which was opened in 2005,<br />

is an example of the Chemical Island Concept of <strong>AkzoNobel</strong> Pulp and Paper Chemicals


The products described in this book are not solely the creation<br />

of <strong>AkzoNobel</strong> and its predecessor companies. They are<br />

the result of economic conditions, scientific aspiration and<br />

consumer demand in many different markets of the world<br />

at many different times. They are, at the deepest level, the<br />

creation of society itself.<br />

Every society has its aspirations, and every society has its<br />

fears. A fear widely held by many people at the opening of<br />

the 21st century is that our creative ability to intervene in the<br />

course of nature may ultimately lead to the destruction of the<br />

very planet on which we live. Whatever science may or may<br />

not be able to teach us on this subject, this fear is very genuine,<br />

and it needs to be taken very seriously. Our capacity for<br />

recombining the constituent elements of nature by means<br />

of chemistry is now seen to harbour risks that were never<br />

dreamt of even half a century ago. The word sustainability<br />

– still a newcomer to the world’s economic vocabulary in the<br />

early 1990s – is rightly on everybody’s lips today.<br />

In his Chairman’s Statement in the 2007 <strong>AkzoNobel</strong><br />

Sustainability Report, Hans Wijers clearly acknowledged<br />

the central role that sustainability has to play in <strong>AkzoNobel</strong>’s<br />

future. Addressing all the company’s stakeholders, he wrote,<br />

“Companies have to understand the new fundamentals of<br />

today’s markets and changing customer needs. These<br />

include a growing scarcity of raw materials, fossil fuels and<br />

fresh water resources; rising energy prices; the economics<br />

of CO 2 emissions; and the international debate on supply<br />

chain responsibility and social standards. This combination<br />

will increasingly impact market propositions and profit and<br />

loss accounts.”<br />

Hans Wijers continued that “Our capability to deliver sustainable<br />

solutions to our customers is crucial for the success of<br />

our company.” Delivering solutions to customers has always<br />

been the business of <strong>AkzoNobel</strong> and its predecessor companies.<br />

Indeed, many stories in this book depict the entre-<br />

preneurial struggle to capitalize on a technology, open up a<br />

market with it, and then service that market with products for<br />

as long as possible. This is not, however, what is nowadays<br />

understood as truly sustainable practice. If <strong>AkzoNobel</strong>, as a<br />

commercial enterprise, still has to capitalize on technologies,<br />

open up markets with them, and then service those markets<br />

with products for as long as possible, it has to do so in ways<br />

which not only deliver maximum value to its customers but<br />

also demand minimum resources from the planet. The management<br />

of sustainability in the value chain is as important<br />

as the delivery of value through the product – indeed, the<br />

management of sustainability is itself becoming a means of<br />

delivering value, as customers and consumers alike seek<br />

eco-premium and low-carbon solutions.<br />

Historically, this is still a very new element in the entrepreneurship<br />

equation, and its application will have far-reaching<br />

effects on every aspect of <strong>AkzoNobel</strong>. As the end of the<br />

opening decade of the 21st century approaches, the<br />

responsibilities inherent in operating any industrial chemical<br />

process are clearer than ever before. Writing in the same<br />

Sustainability Report, Hans Wijers said, “Our employees will<br />

be challenged and rewarded to develop sustainable solutions<br />

and to contribute to innovation. We will unlock new<br />

economic value for our shareholders, reaping the benefits of<br />

a successful combination of sustainable solutions and efficient<br />

operations. And for our environment and the communities<br />

in which we operate, it means being able to make an<br />

even greater contribution to a more sustainable world.”<br />

The stories in this book show that <strong>AkzoNobel</strong> has made a<br />

great contribution to the world on many fronts during the<br />

course of its history. The challenge for the future is to do<br />

that not only in a sustainable manner, but in such a way as<br />

to actively bring about a more sustainable world. More than<br />

ever before, <strong>AkzoNobel</strong>’s task is to fulfil the declaration that<br />

is integral to its brand: Tomorrow’s <strong>Answers</strong> <strong>Today</strong>.<br />

261


262


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Post, Hans Peter, Nearly 80 years of wood and<br />

veneer – Article in The Adhesive Specialist<br />

96/1, Casco Adhesives AB, Stockholm, 1991<br />

Sohlman, Ragnar, The legacy of Alfred Nobel<br />

– The story behind the Nobel Prizes,<br />

The Bodley Head, London, 1983<br />

Ståhle, Nils K., Alfred Nobel – The Man and his<br />

work, Thomas Nelson and Sons Ltd, London, 1962<br />

Steen, J.H. van der, 200 jaar Sikkens, Akzo<br />

Coatings bv, Sassenheim, 1991<br />

Tausk, Marius, Organon – The story of an<br />

unusual pharmaceutical enterprise,<br />

Akzo Pharma bv, Oss, 1984<br />

Timmer, Petra (Editor), Where Colour Plays a<br />

Distinctive Role – History of the Sikkens Award,<br />

V+K Publishing, Blaricum, 1997<br />

Various, Akzo Nobel News & Views,<br />

Akzo Nobel, Arnhem, 1988–2003<br />

Various, Akzo Nobel Matters,<br />

Akzo Nobel, Arnhem, 2003–2007<br />

Verhoog, Jeroen, 75 Years Organon –1923 to<br />

1998, N.V. Organon, Oss, 1998<br />

Widén, Erik, Eka Nobel – 100 Years (Eka Echo<br />

Jubilee issue), Akzo Nobel, Bohus, 1995<br />

263


264


Index<br />

Letters after a page number refer to columns<br />

or separate side stories on that page.<br />

Columns are designated in order from left<br />

to right: a, b, c, and d. Separate side stories<br />

are indicated by the letter i.<br />

Page numbers in bold refer to illustrations.<br />

Page numbers in italics refer to maps or<br />

milestones.<br />

Dutch names that include a particle (e.g.<br />

van) can be found listed under the particle.<br />

The abbreviation KZO refers to Koninklijke<br />

Zout-Organon.<br />

A<br />

AB Berol-Produkter (Berol) see Berol<br />

AB Bofors Nobelkrut 134b, 138i<br />

AB Kema 15, 180b–180c see also Barnängen<br />

AB Stockholms Bryggerier 180c<br />

AB Syntes 190b<br />

acetic acids 20, 76i, 186b, 244a<br />

Acordis<br />

acquisition by CVC Capital Partners 20,<br />

28a, 46c, 252b<br />

annual turnover 252b<br />

divestment of 20, 31<br />

founding history 28a, 46c, 212a, 252b<br />

management structure 46c<br />

range of products 46c<br />

activated carbon 15, 64a<br />

Activit 64a<br />

adhesives<br />

advertisement for 177<br />

production of 14, 15, 173, 174a–174c, 174i,<br />

176a<br />

soy based 14, 174a<br />

testing of 172<br />

advertisements see also advertising campaigns<br />

for Biotex ® 80c, 81<br />

Casco calendar girl 177<br />

for Celanese 211<br />

for Duyvis ® peanuts 99<br />

for Enkalon ® 47<br />

founding of KemaNobel 134c–134d<br />

for Rubbol ® 51<br />

for Sikkens 53<br />

slogan for Ovowop ® 102b<br />

advertising campaigns see also advertisements<br />

by Akzo 38i<br />

for Crown ® 196b<br />

for Dulux ® 238c, 240a<br />

by G.W. Sikkens & Co. 52a<br />

joint advertising by Kortman & Schulte and<br />

AKU 80c<br />

by Sadolin & Holmblad 162<br />

aerospace coatings see aircraft coatings<br />

aerospace industry 246c–247a<br />

Aftonbladet (newspaper) 143<br />

Agfa 226b<br />

Agis, Maurice 59<br />

Agrochemicals division (ICI) 20, 247b<br />

AgVax 110c<br />

Ahlquist, Ray 242b<br />

Airbus 4 27<br />

aircraft coatings<br />

Akzo Nobel 28b, 212a–212b, 220a<br />

Courtaulds 216b<br />

Sikkens 52c<br />

Walpamur 196a<br />

Akcros Chemicals 116c<br />

Aktiebolaget Kema 180b–180c<br />

AKU (Algemene Kunstzijde Unie) 80d see<br />

also Enka; Vereinigte Glanzstoff-Fabriken<br />

diversifications 16<br />

employees at 44a<br />

expansion of 44a–44b<br />

founding history 18, 24a, 36a–36b, 42b<br />

invention of aramid fiber 36a–36b<br />

joint advertising with Kortman & Schulte<br />

80c<br />

management structure 42b, 44b–45a<br />

merger history 14, 30, 35–36a, 36i,<br />

44b–45a, 88, 204a<br />

merger with KZO 18, 24a, 36i, 44b–45a,<br />

45c<br />

production of nylon 24a, 44b<br />

during WW II 42c<br />

Akulon ® 44a<br />

Akzo see also under specific divisions; under<br />

specific sites<br />

acquisition of Armour 18<br />

acquisition of US companies 19, 36c<br />

advertising campaigns 38i<br />

competition with DuPont 19, 24a–24b, 46a<br />

corporate identity of 19, 38i<br />

creation of Intervet 110a<br />

efficiency drive 90s 36c, 38<br />

environmental management system 19<br />

founding history 18, 24a, 35–36a, 36c,<br />

44b–45a<br />

impact oil crisis 24a<br />

labor relations at 19<br />

logo of 18, 38i, 45c, 80b<br />

management structure 19, 24b<br />

map of site locations 32<br />

merger history 18, 23–24a, 26a, 26c, 30,<br />

44b–45a, 54a, 70a, 80d, 88, 114c-114d,<br />

116a–116c<br />

merger with Nobel 30, 123, 145c, 170a,<br />

176b, 251–252a<br />

product range of 36a<br />

production of Twaron ® 19, 24a–24b, 46a<br />

reorganizations 18, 24b–24c<br />

sole shareholder of Akzona 19, 24c, 114c<br />

Akzo America Inc. 19, 114c–114d, 116a<br />

Akzo Chemicals Inc. 114c, 116b<br />

Akzo Chemie America 114c, 116a–116b<br />

Akzo Code of Conduct 45c<br />

Akzo Nobel see also Acordis; Akzo; <strong>AkzoNobel</strong>;<br />

Nobel Industries AB; under specific<br />

business units; under specific sites<br />

acquisition of Courtaulds 20, 28a, 46c,<br />

212a–212b, 220a, 252b<br />

acquisition of Crown Berger 196c–197<br />

acquisition of Eka 154b<br />

acquisition of ICI 21, 28c–29, 197, 247c,<br />

254b<br />

annual turnover 28b, 254a, 254b<br />

Company Statement 252b–252c<br />

creation of Organon BioSciences 21, 28c,<br />

106c, 254b<br />

divestment of fiber production 28a, 252b<br />

divestments 20, 28c, 30–31<br />

divestments to Henkel 247c, 254b<br />

environmental policies 20, 21<br />

founding history 20, 24c, 26a, 26c, 30, 38,<br />

123<br />

integration after merger ICI 252b<br />

joint venture with Courtaulds 26c<br />

listing on stock exchange 254b<br />

map of site locations 248<br />

merger history 20, 23–24, 26c, 30–31, 56a,<br />

145c, 160c<br />

portfolio of 28b<br />

production of powder coatings 20, 253<br />

production of veterinary products 28b<br />

relocation headquarters to Amsterdam 21,<br />

28c<br />

reorganizations and expansions<br />

116c–116d<br />

salt production of 70b<br />

Akzo Nobel Decorative Coatings AB 170a<br />

Akzo Nobel Industrial Coatings AB 170a<br />

Akzo Nobel Salt, Inc. 26c<br />

Akzo Nobel Surface Chemistry LLC. 116d<br />

Akzo North America (Akzona) see Akzona<br />

Akzona (Akzo North America) see also Akzo<br />

America Inc.<br />

Akzo sole shareholder of 19, 24c, 114c<br />

founding history 18, 114c<br />

name change to Akzo America Inc. 19<br />

name changes and divestments 19,<br />

114c–114d<br />

<strong>AkzoNobel</strong> see also Akzo Nobel<br />

and aircraft coatings 212a<br />

and the Björkborn Foundation 140c<br />

corporate identity of 258c, 261b<br />

founding history 23, 29, 38, 56i, 67, 109<br />

future of 258a–258c, 261a–261b<br />

logo 254c<br />

map of site locations 248<br />

marine coatings 220a<br />

new corporate brand 21, 29, 254c<br />

portfolio of 258i<br />

production of powder coatings 259<br />

Sustainability Report 261a–261b<br />

US history 113<br />

Albemarle Corp. 21<br />

265


266<br />

Albright & Wilson 19<br />

Alby Klorat 19<br />

Alderley Park site (ICI) 242b<br />

Alderlin 242b–242c<br />

Alfred Nobel and Co. 126c<br />

Algemene Kunstzijde Unie (AKU) see AKU<br />

alkali 230i<br />

Alkali Group 232a<br />

alkali plant 151<br />

Alkathene ® 234a<br />

Allied Chemical and Dye Corporation 226b,<br />

226c<br />

alphanaphthaylacetic acid (NAA) 244a<br />

Alvik site (Barnängen/Lars Montén) 180b, 182<br />

Ambros, Dr. 232c<br />

American Enka Corporation 14, 18, 19, 42b,<br />

114d<br />

American Internatonal Salt Company 18, 70b,<br />

70c, 115<br />

American PVS Chemicals Inc. 64c<br />

American Viscose Company (AVC) 204c, 205a<br />

American Viscose Corporation (AVC) 15,<br />

205a–205b, 208a–208b, 210b<br />

American Wyandotte Paint Products Company<br />

19<br />

Amersfoort site (Van Hasselt) 92a, 92c<br />

amine plant 188<br />

ammonia<br />

Haber-Bosch process 226b<br />

overproduction 230b<br />

production of 17, 144c, 152a, 235a<br />

synthesizing process 246b<br />

Amsterdam sites (Boldoot)<br />

closure of several 86c<br />

Haarlemmerweg factory 13, 86a, 88<br />

shop in Kalverstraat 14, 85, 86b<br />

on Singel and Langestraat 86a<br />

Amsterdam sites (Ketjen)<br />

in 1835 62<br />

catalysts for oil plant 16, 64b<br />

destruction of 64b<br />

hydrochloric acid plant 13, 64a<br />

sulfur dioxide plant 16, 64b<br />

sulfuric acid plant 12, 64a, 64b, 64c, 65<br />

Amundsen, Lars 173–174a, 174c<br />

anabolic steriods 17, 104c<br />

Anaglypta ® 194d, 197<br />

Andriol ® 18, 106b<br />

anesthetics 240c, 242a–242b, 247a<br />

animal feed 73, 96a, 109<br />

anti-depressants 18, 20, 106b–106c, 107<br />

anti-malarial drugs 240b–240c<br />

APCs (aromatic polymer composites)<br />

246c–247a<br />

Aquitania, RMS 225, 226c, 228a–228b<br />

Aquitania Agreement 226c, 228a–228b<br />

aramid fibers 36b, 46a see also Kevlar ® ;<br />

Twaron ®<br />

architecture see Sikkens Prize<br />

Ardbo, Martin 140c<br />

Arenka ® 19 see also Twaron ®<br />

Armak Chemicals (formerly Armour Industrial<br />

Chemicals) 18, 114c<br />

armaments industry 14, 15, 122b, 122c, 126a,<br />

138a–138d, 140a–140c<br />

Armerican Cabot Corporation 64b<br />

Armour, Philip Danforth 114a<br />

Armour & Co. see also Chicago site; Dial<br />

Corporation; Industrial Chemical division;<br />

McCook site<br />

acquisition by Greyhound Lines Inc. 18,<br />

114c<br />

acquisition of Kessler 17, 114b<br />

Chicago Stock Yards 112, 114a<br />

develops fatty acid fractionation 17,<br />

114a–114b<br />

founding history 11, 113, 114a<br />

improvement of potash 15, 114b<br />

joint venture with Dan Hess 17, 114b<br />

joint venture with Lion Fat and Oil 114b<br />

merger history 30<br />

name changes and divestments 19,<br />

114b–114c<br />

production of soaps 12, 16, 17, 114a–114b<br />

Armour-Dial, Inc. (formerly Armour-Dial<br />

Company) 114b<br />

Armour-Dial Company (formerly Armour & Co)<br />

114b<br />

Armour’s Family Soap 114a<br />

Arnhem site (Akzo) 39<br />

Arnhem site (Enka/AKU)<br />

Enka plant 37<br />

production at 44b<br />

research centre 42b, 44a<br />

start of production 41–42a<br />

aromatic polymer composites (APCs)<br />

246c–247a<br />

art history 206i<br />

Artenius UK 247b<br />

Arthur Sanderson & Sons 196a<br />

artificial silk see rayon; viscose<br />

Asheville site (Akzo America Inc) 19<br />

Asheville site (American Enka Corporation) 14,<br />

42b<br />

Asken (investment company) 145c<br />

Aspa Mill 152c<br />

Aspro-Nicholas 110a<br />

Astral 54a<br />

AstraZeneca 247b<br />

Atlee, Clement 236c<br />

atom bomb 236a–236c<br />

atomic energy 236a–236c<br />

Ausvac 20, 110b<br />

Autocryl ® 54a<br />

Autoflex ® 17, 52a, 54a<br />

Autoflex ® Filler 52c<br />

Autoflex ® Sneldrogend 52c<br />

Autoflex ® Washprimer 52c<br />

AVC (American Viscose Company) 204c, 205a<br />

AVC (American Viscose Corporation)<br />

205a–205b, 208a–208b, 210b<br />

Avecia 247b<br />

B<br />

Bad Boekelo 15, 69<br />

BAE Systems 140c<br />

Baekeland, Leo 230c<br />

BAFTA award 244i<br />

Bahia site (Eka) 260<br />

Bakelite ® 230c<br />

ballistite 126b, 126c, 134a<br />

Banting, Fred 14<br />

Barnängen (Barnängen Tekniska Fabrik) see<br />

also Alvik site<br />

acquisition by Henkel 182<br />

acquisition by KemaNord (formerly<br />

Fosfatbolaget) 17, 18, 122b, 145b<br />

creation of AB Kema 15, 180b–180c<br />

education in beauty care 180c, 183<br />

expansions 180b–180c<br />

founding history 11, 179<br />

marketing of soaps 12, 180b<br />

merger history 30, 180b–180c, 182<br />

production of ink 180a–180b<br />

production of personal care products<br />

180c, 181<br />

production of soaps 180a–180b, 182<br />

“Shantung School” 16, 180c, 183<br />

trademark 180a<br />

Base Chemicals 258i<br />

BASF 19, 114d, 226b, 228i<br />

Battle of Britain 234c<br />

Battle of Cape Matapan 234c<br />

Bayer, Otto 238a<br />

Bayer AG<br />

acquisition of Nordsjö 166c<br />

agreement with <strong>AkzoNobel</strong> 28a<br />

anti-malarial research 240b<br />

divestment of Nordsjö 170a<br />

role in chemical industry 226b<br />

vaccine factory 110c<br />

and Zwanenberg 102b, 104a<br />

Bayer Biologicals 20, 31, 110b<br />

Beadle, Clayton 12, 44i<br />

Beatrice 247b<br />

Bebbington, Frank 234a<br />

Beer, Edwin 205i<br />

Bell, Alexander Graham 86i<br />

Bemberg 10, 23<br />

Bénénuts ® 96d, 98a<br />

Bengtsfors site (Eka)<br />

alkali plant 151<br />

founding site 12, 150a–150b<br />

hydro-electric power station at 150a<br />

relocation to Bohus 14<br />

Bergen op Zoom site (<strong>AkzoNobel</strong>) 250<br />

Berger, Lewis 10, 194a<br />

Berger ® 194a, 197<br />

Bernigaud, Hilaire (Count de Chardonnet) 202c<br />

Bernström, Mr. 184, 185<br />

Berol (AB Berol-Produkter) see also Domsjö<br />

site (Berol/MoDo)<br />

acquisistion by MoDo 16, 186a–186b<br />

acquisition by Nobel Industries 122c<br />

and business-to-business products 190i<br />

founding history 15, 185<br />

merger history 30<br />

production of impregnation agents 15,<br />

186a<br />

Berol Kemi AB 18, 19, 145c, 190c–190d<br />

Berol Nobel AB 19<br />

Berol ® (brand) 190c<br />

Best, Charles 14<br />

beta-blockers 17, 242b–242c, 247a<br />

Bevan, Edward John 12, 44i, 205i, 230c<br />

Bifacton ® 16<br />

Big Ben (soap brand) 114a<br />

Billingham site (Brunner Mond) 226b<br />

Bindol ® 15, 166b<br />

Biopol ® 246b–246c<br />

Biotex (stage play) 80d<br />

Biotex ® 80c–80d, 81, 88<br />

Birkeland, Kristian 144b<br />

BJN 196c<br />

Björkborn Foundation 140c<br />

Björkborn Manor 128c, 140c<br />

Bjurvald, Martin (Dr. RX) 174b<br />

Black, Sir James 242b–242c<br />

Blaisse, Folkert 46c<br />

blasting cap 11, 122a<br />

blasting gelatin 11, 26a, 126c, 134a<br />

bleaching powder 226a<br />

bleaching process see chlorine; chlorine<br />

dioxide; hydrogen peroxide<br />

the Blitz 140b, 234c<br />

“blue sky” research 232b, 235b<br />

Blunt, Sir Anthony 206i<br />

bodyshops 54a, 54c, 55<br />

Boekelo site (KNZ) 15, 68a–68b, 69<br />

Bofors AB see also Bofors site; Nobel<br />

Industries i Sverige AB<br />

acquisition by Nobel Industries<br />

122b–122c, 134a<br />

acquisition of KemaNobel, 19, 176a<br />

cannon manufacturing 11, 138a–138d<br />

divestment by Nobel Industries 145c<br />

founding history 10, 122b, 137–138a<br />

innovations in weapon manufacturing<br />

140a–140b<br />

merger history 12, 23, 26b, 30, 121<br />

production of armaments 14, 15, 122b,<br />

122c<br />

production of steel 138b<br />

weapons deal scandal 19, 26b, 122c,


140b–140c<br />

Bofors Nobel 122b<br />

Bofors Nobel Explosives Company 138i<br />

Bofors site (Bofors)<br />

Cannon Works 136<br />

employees at 141<br />

founding site 138a<br />

production of gunpowder 134b, 139<br />

Bofors ® guns 122b, 137, 140a–140b, 141<br />

Bofors ® turretless tank 140b<br />

Boforsite (explosive) 138i<br />

Bohr, Niels 236b<br />

Bohus site (Eka) 14, 150b, 153, 155<br />

Boldoot ® (brand) see also Boldoot (firm);<br />

Eau de Cologne<br />

bottles 87<br />

and the competition 86b, 88<br />

delivery van 84<br />

Boldoot (firm) see also Amsterdam sites;<br />

Boldoot ® (brand)<br />

Catholic faith and 86d, 88<br />

expansion after WW II 86d, 88<br />

founding history 10, 83<br />

merger history 17, 23, 30, 88<br />

part of Consumer Products division (Akzo)<br />

88<br />

part of Consumer Products division (KZO)<br />

88<br />

products range 89<br />

shop in Kalverstraat 14, 85, 86b<br />

takeover by British American Cosmetics<br />

88<br />

and the telephone 86i<br />

use of Eau de Cologne in soap 11, 86a<br />

during WW I and WW II 86b–86d<br />

Boldoot, Jacobus Cornelis 82, 83<br />

Boldoot museum 86b–86c<br />

Boon, William 240c, 244b<br />

Boot, H.A.H. 234b<br />

Borden Inc. 174a<br />

Borth (North-Westphalia) 68i<br />

Bosch, Carl 226c<br />

Boxmeer site (Intervet) 110c<br />

Breda site (Enka/AKU)<br />

employees at 43, 45a–45c<br />

final closure of 46a–46b, 47<br />

proposed closure of 19, 45a–45c<br />

British Alizarine Company 226a<br />

British American Cosmetics 88<br />

British Celanese Ltd. 210a<br />

British Cellophane Ltd. 205c, 210a<br />

British Dyes Ltd. 226a<br />

British Dyestuffs Corporation<br />

founding history 226a<br />

logo of 227<br />

merger history 225, 226c<br />

after WW I 226c<br />

British Dynamite Co. 226a<br />

British Ministry of Agriculture 244b<br />

British Ministry of Supply 240c<br />

British Nylon Spinners 15, 210b, 235b–235c,<br />

236a<br />

Brolac ® 196c<br />

Broxo ® 70a<br />

Brunner, Mond & Co. Ltd. see Brunner Mond<br />

Brunner, Sir John 226a, 230i<br />

Brunner Mond (Brunner, Mond & Co. Ltd.) see<br />

also Billingham site<br />

founding history 226a<br />

and the Haber-Bosch process 226b, 228i<br />

head-hunting system 230a<br />

influence on ICI 230i<br />

logo of 227<br />

merger history 225, 226c, 247b<br />

BT Kemi scandal 18, 160a–160b<br />

butanol 186b<br />

butyraldehyde 190d<br />

C<br />

calcium carbide 15, 144b, 144c, 145b<br />

Calico Printers’ Association 15, 235b–236a<br />

California ® soups 88, 104d<br />

"Cambridge Five" 206i<br />

Campbell, Gordon 212a<br />

Canadian Competition Bureau 197<br />

candle-making 114a, 178, 180b<br />

Cannon, Walter 242b–242c<br />

cannons 136, 138a–138d<br />

Car Refinishes 254c, 258i<br />

Car Refinishes Instruction Center 18, 54c<br />

car refinishing systems 17, 52c, 54a, 55<br />

carbide see calcium carbide<br />

carbon disulphide 152a<br />

Carlson, Birger 144c<br />

Carlson, Oscar 134d, 142, 143, 144c<br />

Carmiggelt, Simon 104d<br />

Carnegie (investment company) 145c<br />

Carothers, Wallace 232c, 235b–235c<br />

Carson, Rachel 246a<br />

Casco AB see also Kristinehamn site<br />

acquisition by Fosfatbolaget (formerly<br />

Superfosfat) 17, 122b, 145b, 174c<br />

advertisements 177<br />

expansion after WW II 174b, 174c<br />

founding history 14, 173–174a<br />

logo of 174a<br />

merger history 19, 30, 170a, 176a–176b<br />

product range of 174c<br />

production of adhesives 14, 15, 174a–174c,<br />

174i<br />

Casco Glue 174a<br />

Casco Nobel 176a<br />

Casco ® (brand) 176b<br />

Cascoflex ® 19, 176a<br />

CascoGard 18<br />

Cascol ® 16, 174b<br />

Casconol ® 174b<br />

Cascosinol ® 174a<br />

casein 14, 15, 173, 174a, 174i<br />

Cassell, G.E. 150a<br />

Catalyst business unit 20, 28b, 64b<br />

catalysts 16, 64b<br />

caustic soda (natrium hydroxide) 68i, 150b,<br />

204a see also lye (sodium hydroxide)<br />

Cefarox 92b<br />

Celanese (brand) 204c, 211<br />

Celanese Co. 204c<br />

Cellon (nylon brand) 210b<br />

Cellon Ltd. 17, 210a, 216b<br />

Cellophane 205c, 210b<br />

Celluloid 230c<br />

cellulose lacquer 14, 52a<br />

Central Research (Akzo Nobel) 76<br />

Central Works Council (Enka-Glanzstoff)<br />

45a–45b<br />

Central Works Council (ICI) 230a<br />

Cerazette ® 20, 106b<br />

CetaBever 52c<br />

CFCs (chlorofluoro carbons) 246a–246b<br />

Chadwick, James 236b<br />

Chain, Ernst 240c<br />

Challenge 2010 246b<br />

Chardonnet, Hilaire Bernigaud, Count of 202c<br />

Chefarine ® 106a<br />

Chefaro (Chemische Fabriek Rotterdam) see<br />

also Dordrecht site<br />

merger history 16, 31, 92b, 92c, 106a,<br />

106c<br />

part of Pharma division (Akzo) 18, 20, 92c<br />

Chemical Island Concept 260<br />

Chemicals businesses 26c, 28b, 64c, 116d, 252c<br />

Chemicals division (Akzo)<br />

Ketjen part of 64c<br />

Kortman & Schulte part of 80d<br />

merger with Salt division (Akzo) 20, 70b<br />

Noury & Van der Lande part of 76<br />

Van Hasselt part of 18, 92c<br />

Chemicals division (KZO) 36c, 106a<br />

chemicals industries 36b–36c, 64c, 144b<br />

Chemicals Pakistan 258i<br />

Chemische Fabriek Rotterdam (Chefaro) see<br />

Chefaro<br />

Chicago site (Akzo Nobel) 116d<br />

Chicago site (Armour) 112, 114b<br />

Chilean saltpeter (sodium nitrate) 80a<br />

chlorine<br />

as a by-product of LeBlanc process 226a<br />

as derivative of salt 68i<br />

environmental problems of 152a–152b<br />

production of 20, 68c, 152a–152b<br />

use of (chlorine tree) 71<br />

chlorine dioxide 152c<br />

chlorofluoro carbons (CFCs) 246a–246b<br />

Churchill, Sir Winston S. 53, 236c<br />

citric acid 15, 74c<br />

Clarks Summit site (International Salt<br />

Company) 115<br />

clothing, easy-care revolution in 236a<br />

Coatings businesses<br />

creation of 26c, 54a, 252c<br />

diversifications of 28b<br />

use of Sikkens brand name 56a<br />

Coatings division (Courtaulds) 210a<br />

Coatings division (KZO) 36c, 54a, 106a<br />

Cockcroft, John 236b<br />

Colomap ® 54b<br />

coloring agents 91–92a, 158c<br />

Colorozo ® 15<br />

Colorscala ® 54b<br />

commercials see advertisements; advertising<br />

campaigns<br />

Community Program 21, 28b<br />

competition authorities 197, 212a<br />

Compiègne site (Noury & Van der Lande) 15,<br />

74c<br />

Compozil ® 18, 19, 152c, 154a–154b<br />

Consumer Products division (Akzo)<br />

Boldoot part of 88<br />

Duyvis part of 98a<br />

founding of 18<br />

Kortman & Schulte part of 80d<br />

products range 89<br />

Shell’s shares in 88<br />

transferred to Douwe Egberts/Sara Lee<br />

19, 30, 88, 98a<br />

Consumer Products division (KZO) 88<br />

Consumer Products division (Nobel) 20, 30,<br />

122c, 182<br />

contraceptives see oral contraceptives<br />

Conway of Allington, Martin Conway, 1st Baron<br />

206i<br />

Copenhagen site (Sadolin & Holmblad) 158a,<br />

158b, 159, 161<br />

copolymer 220a, 220i<br />

Corona spray gun 221<br />

Corporate Environmental Department (Sadolin<br />

& Holmblad) 160b<br />

Corporate Environmental Policy (Sadolin &<br />

Holmblad) 160b<br />

Corporate Social Responsibility Report (CSR<br />

Report) 21, 28b<br />

Cortophine ® 16<br />

Coty Inc. 88<br />

Courtauld, Augustin 208i<br />

Courtauld, George I 201–202a, 203<br />

Courtauld, George II 202a<br />

Courtauld, Samuel III 113, 200, 201–202a, 202b<br />

Courtauld, Samuel IV 15, 204c, 206i, 208i<br />

Courtauld, Taylors & Courtauld see Samuel<br />

Courtauld & Co<br />

Courtauld Institute of Art 15, 204c, 206i, 208i<br />

Courtauld Silver Collection 208i<br />

Courtaulds see also Courtaulds plc; Courtaulds<br />

Textiles plc; Samuel Courtauld & Co; under<br />

267


268<br />

specific divisions; under specific sites<br />

acquisition by Akzo Nobel 20, 28a, 46c,<br />

212a–212b, 220a, 252b<br />

founding history 113<br />

joint venture with Akzo Nobel 26c<br />

listing on stock exchange 13<br />

map of site locations 198<br />

merger history 31, 56a, 216b<br />

partnershp with ICI 235c<br />

rivalry with Enka 42i<br />

separation into two businesses 19, 210c<br />

share prices 210a<br />

Courtaulds News 205i<br />

Courtaulds plc<br />

acquisition by Akzo Nobel 212a–212b<br />

founding history 19, 210c<br />

product range of 210c<br />

Courtaulds Textiles plc<br />

acquisition by Akzo Nobel 212a–212b<br />

founding history 19, 210c<br />

product range of 210c<br />

Courtelle ® 210a, 210b<br />

Coventry site (Courtaulds) 204b<br />

Cowap, A.H. 228i<br />

Crawford, John 235a<br />

Croda 247b<br />

Crompton Corporation 116d<br />

Cross, Charles Frederick 12, 44i, 204a, 205i,<br />

207, 230c<br />

Crown Berger Ltd. see also Crown Decorative<br />

Products<br />

acquisition by Nobel Industries 196c<br />

founding history 19, 193, 196c<br />

merger history 30, 56a, 122c, 145c, 176a<br />

part of Akzo Nobel 196c–197<br />

production of industrial coatings 196a, 197<br />

production of wallpaper 194a<br />

Queen’s Award for Technological<br />

Achievement 196c<br />

Crown Decorative Products 18, 19, 196b, 197<br />

see also Crown Berger Ltd.<br />

Crown Wilman Vymura 197<br />

Crown ® (brand) 17, 56a, 193, 196b, 196c–197<br />

Crown ® Advance ® One Coat 196b<br />

Crown ® Period Colors ® 197<br />

Crown ® Plus Two ® 17, 193<br />

Crowther, A.F. 242c<br />

Croydon Mouldrite Ltd. 232a<br />

Crumpsall Hospital 242b<br />

CSR Report (Corporate Social Responsibility<br />

Report) 21, 28b<br />

Cuprinol ® 170a<br />

Curd, Frank 239, 240b<br />

Curie, Irene 236b<br />

Curie, Marie 236b<br />

Curie, Pierre 236b<br />

CVC Capital Partners 20, 28a, 46c, 212a<br />

D<br />

Dan Hess 17, 114b<br />

Danielsson, Carl 138d, 140a<br />

Darwen site (Walpamur/Crown) 194b–194c,<br />

196a–196b, 197<br />

DCI (dichioroisoprenaline) 242b<br />

DDT 244a, 246a<br />

Decorative Coatings business 254a, 254c<br />

Decorative Paints business 254c, 258i<br />

Delfshaven site (Kortman & Schulte) 12, 78,<br />

80a, 80d<br />

Delfzijl site (Enka/AKU) 46a<br />

Delfzijl site (KNZ) 17, 70b<br />

Desogen ® 24c<br />

DeSoto (aircraft paints producer) 220a<br />

DeSoto site (Intervet) 20, 110b<br />

detonator 11, 126b<br />

Deventer Dagblad 36i<br />

Deventer site (Noury & Van der Lande)<br />

closure of flour factory 76<br />

creation of Nourypharma 74c<br />

explosion at peroxide plant 76<br />

founding site 73<br />

move to new building 74b–74c<br />

safety laboratory at 76<br />

Dexter Corporation 28b<br />

Dial Corporation (formerly Armour & Co.) 19,<br />

20, 114d<br />

Dial Deodorant Soap 16, 114b<br />

dichioroisoprenaline (DCI) 242b<br />

Dickson, J.T. 235c<br />

Diosynth 18, 20, 28b, 106c<br />

Diphenyl Methane Di-isocyanate (MDI) 238b<br />

Diprivan ® 247a<br />

diquat 244b<br />

DJSI (Dow Jones Sustainability Indexes) 21,<br />

28b, 247c<br />

Dobbelman ® 80d, 88<br />

Dobson and Braine 236a<br />

Docker Brothers 216c<br />

Domsjö site (Berol/MoDo) 190a–190b, 190d<br />

Dordrecht site (Chefaro) 92c<br />

Douwe Egberts/Sara Lee 19, 30, 88, 98a<br />

Dow Chemicals 247b<br />

Dow Jones Sustainability Indexes (DJSI) 21,<br />

28b, 247c<br />

Driehoek ® 80b–80c, 88<br />

Drietex 80c<br />

DSM (Dutch Sate Mines) 45<br />

Du Saar (employee Ketjen) 64a<br />

Dulux ® 16, 193, 238c, 240a<br />

Dulux ® Brilliant White 240a<br />

Dulux ® dog 240a, 241<br />

Dunlop 174b<br />

DuPont<br />

and competition Akzo 19, 24a–24b, 46a<br />

development of fluorocarbons 242a<br />

and the Dulux ® brand 238c<br />

invention of nylon 232c, 235b–235c<br />

Kevlar ® production 24a–24b, 46a<br />

production of polythene 234a<br />

relationship with ICI 228c<br />

Durabolin ® 17<br />

Duradio ® Enamel Paint 196a<br />

Dutch State Mines (DSM) 45<br />

Duyvis (Koninklijke Fabrieken T. Duyvis Jz. n.v.)<br />

see also Koog aan de Zaan site<br />

advertisement 99<br />

founding history 10, 13, 95–96a<br />

listing on stock exchange 17, 96d<br />

merger history 18, 30, 36a, 36i, 106a<br />

merger with Recter 19, 98a<br />

part of Consumer Products division (Akzo)<br />

98a<br />

as part of Douwe Egberts/Sara Lee 98a<br />

production of consumer food 15, 96b–96d<br />

production of linseed oil 96a–96b<br />

production of nuts, snacks and mixes 17,<br />

98a–98b<br />

“Royal” designation 17, 19, 96d, 98a<br />

Duyvis, Ericus Gerardus (son of T. Duyvis Janz.)<br />

96a<br />

Duyvis, Teeuwis 94, 95–96a<br />

Duyvis Janszoon, Teeuwis (grandson of<br />

Teeuwis Duyvis) 96a–96b<br />

Duyvis ® (brand) 98a, 99<br />

Dyestuff Group (ICI) 232b, 240a<br />

dyestuff industry 158a–158b, 226a, 238b–238c<br />

dynamite<br />

invention of 11, 70i, 122a, 126b<br />

production of 134a–134b<br />

use of 70i, 126c, 133<br />

E<br />

Eau de Cologne 11, 83, 88, 88i, 180a see also<br />

Boldoot ® (brand)<br />

Eau de Cologne 'Extra-Vieille' 88i<br />

Eau de Cologne 4711 88i<br />

ECF (elemental chlorine-free) 152c<br />

Echafa 104d<br />

Ede site (Enka/AKU) 42b, 44a<br />

Edet 106a<br />

Edison, Thomas 114a<br />

Ehrlich, Paul 240a–240b<br />

Eigen Vervoers Organisatie (EVO) 44a<br />

Eka (Elektrokemiska AB (EKA)) see also<br />

Bengtsfors site; Bohus site; Eka Nobel AB<br />

acquisition by Nobel Industries 19, 122c,<br />

154a<br />

annual turnover 152a<br />

diversifications 152a–152c<br />

employees 150i, 153<br />

founding history 12, 14, 18, 149–150a<br />

merger history 30, 154b<br />

name change to Eka Nobel AB 19<br />

part of Akzo Nobel Chemicals 116c<br />

product range of 152a<br />

production of ammonia 17<br />

production of caustic soda 150b<br />

production of chloride of lime 12,<br />

150a–150b<br />

production of chlorine dioxide 152c<br />

production of Compozil ® 19, 152c,<br />

154a–154b<br />

production of hydrogen peroxide 14, 152b,<br />

155<br />

production of lye 12, 150b, 152a<br />

production of metacilicate 15, 152a<br />

production of water glass 14<br />

reorganization by Montgomery 152a<br />

Eka Chemicals see Pulp & Paper Chemicals<br />

Eka Nobel AB 19, 145c see also Eka<br />

(Elektrokemiska AB (EKA))<br />

Ekerö site (Barnängen) 182<br />

Elektrokemiska AB (EKA) see Eka<br />

(Elektrokemiska AB (EKA))<br />

Eli Lilly laboratories 242b<br />

Emmen site (Enka/AKU) 16, 44a, 45a, 45i, 46a<br />

Emmerich site (Noury & Van der Lande/Akzo)<br />

13, 18, 74a, 74c<br />

employees see also job losses<br />

of AKU 44a<br />

at Bofors site 141<br />

at Breda site 43, 45a–45c<br />

of Eka 150i, 153<br />

at Emmen site 45i<br />

at Enka plant 43<br />

at Felling-on-Tyne site 217<br />

female 150i, 247b<br />

labor relations 19, 180a, 228c, 230i<br />

Nordsjö 164<br />

Nordsjö staff canteen 171<br />

at Oss site 106a<br />

of Sadolin & Holmblad 159<br />

at Sassenheim site 52b<br />

transport for 44a, 166c<br />

in yarn factory 213<br />

enamel 158c, 160i<br />

energy conservation 19, 220i, 246b<br />

Eneroth & Co. 180b<br />

Engman, Anders 253<br />

Engström, Albert 180b<br />

Enka (Nederlandse Kunstzijdefabriek)<br />

see also AKU; American Enka; American<br />

Enka Corporation; Arnhem site (Enka/AKU);<br />

Asheville site; Breda site (Enka/AKU); Delfzijl<br />

site (Enka/AKU); Ede site (Enka/AKU);<br />

Emmen site (Enka/AKU); Lowland site<br />

corporate identity of 19<br />

employees at 43<br />

founding history 13, 41–42a<br />

international expansion 42a–42b<br />

loss of German companies 42c, 44a<br />

merger history 18, 21, 24a, 30, 36a,


36a–36b, 42b, 44b–45a, 204a<br />

production of viscose 13, 16, 41, 44a<br />

rivalry with Courtaulds 42i<br />

during WW I 42a–42b<br />

Enka ® chamois 44b<br />

Enka International 18<br />

Enka-Glanzstoff<br />

founding history 18, 44b, 44b–45a<br />

job losses 46a–46b<br />

master plan for Fibers division 45a–45c<br />

outsourcing synthetic fiber production 46b<br />

synthetic fiber market crisis 46a–46c<br />

Enkalon ® 44a, 47<br />

Enka ® -spons (Enka ® sponge) 44a<br />

Enschede see Boekelo site (KNZ); Usselo site<br />

(KNZ)<br />

Enso Paperikemia 20<br />

Entosorbine ® 88<br />

environmental awareness, growth of 246a–246c<br />

environmental crimes 160a–160b<br />

environmental policies<br />

Akzo Nobel 20, 21<br />

ICI 246b<br />

Nordsjö 20, 170b<br />

Sadolin & Holmblad 160b<br />

Environmental Protection Act (Sweden) 160b<br />

Environmental Sciences Group (ICI) 18, 244b<br />

Epiglass 220a<br />

ethanol 88i, 186b<br />

ethylene 186b, 190a–190b<br />

ethylene glycol 15, 186b<br />

ethylene oxide 186b, 190b<br />

EU Flower 20, 170b<br />

European Commission 197, 212a<br />

Eutech 247b<br />

EVO (Eigen Vervoers Organisatie) 44a<br />

Expancel (firm) 176i<br />

Expancel ® 145b, 176i<br />

explosives<br />

and Alfred Nobel 26a, 126c<br />

production of 11, 64a, 122a, 134a–134c,<br />

135<br />

use of 50d, 138i<br />

Extensor 220a<br />

Eyde, Sam 144b<br />

F<br />

4711 (Eau de Cologne) 88i<br />

Fabergé, Peter Carl 160i<br />

Fabriken Tomten and Vignäron 180b<br />

Faraday Society 232c<br />

Farina, Giovanni Maria (Johann Maria) 83, 88i<br />

Farina, Jean Maria Joseph 88i<br />

fatty acids 14, 17, 80d, 96i, 114a–114b<br />

fatty amines 15, 16, 114b<br />

Fawcett, Eric William 232b–232c, 233<br />

Fawcett disclosure 232a–232b<br />

FCC (fluid catalytic cracking) 26c<br />

Felix ® 98a<br />

Felling-on-Tyne site (Holzapfel/International)<br />

development of copolymer 220a<br />

employees at 217<br />

expansion and modernizing 216b<br />

factory at 13, 18, 216a<br />

powder coating factory at 216c<br />

tankhouse 6 218<br />

Feminis, Gian Paolo 88i<br />

Ferguson, James 242a<br />

Fermi, Enrico 236b<br />

fertility drugs 17, 20, 28b, 102b, 106b<br />

fertilizers, artificial 64a, 144a–145a, 145b<br />

Fibers business unit 26c, 46c<br />

Fibers division (Akzo)<br />

financial struggles 24a, 46b<br />

master plan for 18, 43, 45a–45c<br />

outsourcing production 46b<br />

Fibers Division (ICI) 17, 236a<br />

Fina works 104d<br />

fire brigade 52b, 161<br />

Fleming, Alexander 240c<br />

Fleurs de Hollande (perfume) 86d<br />

Flexa ® 56a<br />

Flexsys 92c<br />

flour improver 74b, 92b<br />

fluid catalytic cracking (FCC) 26c<br />

fluorocarbons 242a<br />

Fluothane ® 16, 240c, 242a–242b, 245<br />

Flyol 92b<br />

Follistim ® 28b<br />

Fonderies & Ateliers Mécaniques Nobel & Fils<br />

126a<br />

Food division (KZO) 36c, 106a<br />

Forskningslaboratoriet LKB 180c<br />

Fosfatbolaget AB see also KemaNord AB<br />

acquisition of Casco 17, 122b, 145b, 174c<br />

acquisition of Liljeholmens Stearinfabrik<br />

122b<br />

agreement with MoDo 190a–190b<br />

name change to KemaNobel 18, 122a,<br />

145b, 174c<br />

name change to KemaNord AB 18<br />

production of melamine 147<br />

4711 (Eau de Cologne) 88i<br />

fowl pox 110a<br />

Freeth, Francis 228i, 232a–232b<br />

freeze-driers 111<br />

Fremery, Max 204a<br />

Friends of the Earth 246a<br />

Frisch, O.R. 236b, 236c<br />

FSH 20<br />

FTSE100 Index 247c<br />

FTSE4Good Index 247c<br />

Functional Chemicals 190d, 258i<br />

fungicides 92c<br />

furniture design see Sikkens Prize<br />

furniture industry 174b, 176b<br />

G<br />

Gamlestaden, financial crisis 19, 26b, 122c,<br />

145c, 170a, 182<br />

Gammexane 242c, 244a<br />

Gandhi, Rajiv 140b–140c<br />

Garst Seed 247b<br />

Geigy 244a<br />

Gellini 20, 110b<br />

Gembo 52c<br />

General Chemicals Division (ICI) 242a<br />

General Motors 242a, 246a–246b<br />

General Strike (1926) 194i<br />

General United Viscose see AKU<br />

Getting It There 244i<br />

Gibson, Reginald 231c–231d<br />

giornata particolare, Una (film) 60<br />

Gist-Brocades 19, 110b<br />

Gladweg ® 70a<br />

Glanzstoff-Courtauld 210b<br />

Glidden 247a<br />

Glimfabriek 104d<br />

Glover, William 150i<br />

glue see adhesives<br />

grain storage 77<br />

Gramoxone ® 17, 244b<br />

Great Depression 42b–42c, 96a–96b, 205b,<br />

230b, 232a<br />

Greyhound Lines Inc. 18, 114c<br />

Groen, Henk 54b–54c<br />

Groningen site (Sikkens) 49, 50a, 50d, 52b<br />

Groningen Street 52b<br />

“Guldhuset” 158a<br />

Gustav VI Adolf, King 189<br />

G.W. Sikkens & Co. see also Sikkens Group;<br />

under specific sites<br />

advertising campaign 52a<br />

coatings for aircraft 52c<br />

forming of the Sikkens Group 52c<br />

formula for varnish 50i<br />

founding history 10, 30, 49<br />

listing on stock exchange 16, 52c<br />

official dealerships 50c<br />

paints for car manufacturing 50a–50b, 50d<br />

paints for car refinishing systems 52c<br />

part of KZK 17<br />

production of cellulose lacquers 14, 52a<br />

production of Japanese lacquers 12,<br />

50a–50b, 52a<br />

production of synthetic resins 52b<br />

production of water glass 52c<br />

Purveyor of the Royal Household 15, 52a<br />

“Royal” designation 13, 50b<br />

and Rubbol ® Japanlak sneldrogend 14,<br />

50d, 51<br />

during WW I 50b–50c<br />

during WW II 53<br />

during and after WW II 52b<br />

Gyttorps Sprängämnes 134b<br />

H<br />

Haber, Fritz 144b–144c<br />

Haber-Bosch process 226b, 228i<br />

Hahn, Otto 236b<br />

halothane 242a<br />

Halstead site (Courtaulds) 203<br />

Hammar, Victor 140a–140b<br />

Hanscombe, Philip 240a<br />

Harcross Chemicals 116c<br />

Hartogs, Jacques Coenraad 40, 41, 42i<br />

Harvey-Jones, Sir John 244i, 245, 247a<br />

Hedström, Bengt 172<br />

Helpman 50a<br />

HEMA 61<br />

Hendrik Gahns AB 180c<br />

Hendrix, Wim 108<br />

Hengelo site (KNZ)<br />

job losses 70b<br />

new plants at 15, 68c<br />

research centre 68c, 70b<br />

salt-drilling rig 25<br />

Henkel<br />

acquisition of Consumer Products division<br />

(Nobel) 20, 30, 122c, 182<br />

acquisition of Dial Corporation 20, 114d<br />

acquisition of parts of Akzo Nobel 247c,<br />

254b<br />

herbicides 16, 17, 76, 244a–244b<br />

Herrema, T. 18<br />

“he’s worth his salt” 70i<br />

Hess, Sophie 128b<br />

HFCs (hydrofluorocarbons) 246b<br />

Hierta, Lars Johan 134d, 143<br />

Hilton, Richard 194b<br />

Hinton, Christopher 236c<br />

Hoechst AG 196c, 226b<br />

Hoechst Roussel Vet 20, 28a, 31, 110b<br />

Hoesch Chemie 36i, 64c, 106a<br />

Hogg, Sir Christopher 18, 210c<br />

Hollandia Theater Group 80d<br />

Hollandse Kunstzijde Industrie 42b<br />

Holmblad (firm) 10, 11, 158a–158b<br />

Holmblad, Jacob 49, 158a<br />

Holmblad, Lauritz 158a–158b<br />

Holmblad, P.L. 158b<br />

Holmbladsgade 158b, 159<br />

Holmström, John Wilhelm 179, 180a<br />

Holzapfel, Albert 215<br />

Holzapfel, brothers 214<br />

Holzapfel, Max 214, 215<br />

Holzapfel Limited see also Felling-on-Tyne site;<br />

International Paints (Holdings) Ltd.<br />

founding history 11, 214, 216a, 217<br />

name change 14, 216a<br />

production of paints 12<br />

Hopton Technologies 20, 28b<br />

Hossman, Paul 138a<br />

Household Products division (KZO) 36c, 106a<br />

269


270<br />

HPC (hydroprocessing catalysts) 26c<br />

Huguenot refugees 113, 201, 208i<br />

Huisman, Sipko 210c, 212a<br />

Humegon ® 17, 106b<br />

Hunink, Anton 104d<br />

Huntingdon, A.W. 194c<br />

Huntingdon, James 194b–194c<br />

Huntsman 247b<br />

Hurd, Reg 238a–238b<br />

Hutter, Joseph R. 46b<br />

Hyatt, John Wesley 230c<br />

hydrochloric acid 13, 14, 15, 64a, 68c<br />

hydrofluorocarbons (HFCs) 246b<br />

hydrogen peroxide<br />

chemical composition 76i<br />

production of 14, 152a–152c, 155<br />

as substitute for chlorine 152b<br />

hydrophobization agents 186a<br />

hydroprocessing catalysts (HPC) 26c<br />

I<br />

IAA (indoleacetic acid) 244a<br />

ICI (Imperial Chemical Industries) see also<br />

under specific divisions; under specific sites<br />

abortive bid for Courtaulds 17, 210a–210b,<br />

236a<br />

acquisition by Akzo Nobel 21, 28c–29,<br />

247c, 254b<br />

agricultural research 242c, 244a–244b<br />

ammonia synthesizing process 246b<br />

anesthetic research 242a–242b, 245, 247a<br />

annual turnover 247a, 247c<br />

anti-malarial research 16, 240b–240c<br />

biodegradable plastic 246b–246c<br />

collapse of nitrogen market 14, 230b, 240a<br />

development of beta-blockers 17,<br />

242b–242c, 247a<br />

development of penicillin 15, 240c<br />

development of proteins 18, 244c, 246a<br />

divestments 20, 247b<br />

dyestuffs research 238b–238c<br />

energy conservation 246b<br />

environmental policies 246b<br />

expansion 247a–247b<br />

founding history 14, 226c, 228a–228b<br />

head-hunting system 230c–231a<br />

house journal 231<br />

identification with Empire 228b–228c<br />

influence of Brunner Mond on 230i<br />

and international competition 225,<br />

226b–226c<br />

invention of Perspex ® 15, 235a–235b<br />

invention of polythene 15, 232a–232b, 233<br />

labor relations at 228c<br />

listing on stock exchange 247c<br />

logo of 28c, 228b<br />

map of site locations 222<br />

merger history 31<br />

nuclear research 15, 236c<br />

partnership with Courtaulds 235c<br />

product range of 228b–228c, 247c<br />

production of Dulux ® 16, 193, 238c, 240a<br />

production of Fluothane ® 16, 242a–242b,<br />

245<br />

production of herbicides 16, 17,<br />

244a–244b<br />

production of MDI foams 238b<br />

production of mepacrine 240b<br />

production of paints 247b<br />

production of polythene 234b–234c, 238a<br />

production of Terylene ® 15, 235c–236a,<br />

237<br />

relationship with DuPont 228c<br />

research in CFC alternatives 19,<br />

246a–246b<br />

during WW II 235a<br />

ICI Fibers Ltd. 236a<br />

ICI Paints 247c<br />

ICI Watercare 246b<br />

ICI Workers’ Shareholding Scheme 230a<br />

IG Farben 226b, 226c, 228a, 238a<br />

Imperal Home Décor 197<br />

Imperial Chemical Industries (ICI) see ICI<br />

Implanon ® 20, 106b<br />

impregnation agents 186a<br />

Inderal ® 17, 242c, 247a<br />

indoleacetic acid (IAA) 244a–244b<br />

Industria paint factory 92c<br />

Industrial Activities 258i<br />

Industrial Chemical division (Armour) 114c<br />

Industrial Finishes 254c<br />

INEOS 247b<br />

ink 11, 28a, 158c, 180a–180b<br />

insulin<br />

discovery of 14<br />

production of 14, 103, 104i<br />

use of offal for production of 102a, 102i<br />

Inter-Continental Biologics 19, 110b<br />

International Paint & Compositions Co Ltd. see<br />

International Paints (Holdings) Ltd.<br />

International Paint Ltd. see also International<br />

Paints (Holdings) Ltd.<br />

founding history 14, 215–216b<br />

expansion 216a–216c<br />

production of marine paints 15, 215–216b<br />

International Paints (Holdings) Ltd. see also<br />

International Paint Ltd.<br />

acquisition by Courtaulds/PJA 18, 210a,<br />

216b–216c<br />

founding history 11, 16, 216a–216b<br />

geographical expansion 220a<br />

product innovations 216c, 220a<br />

production of powder coatings 216c,<br />

220a, 221<br />

International ® 56a<br />

Internatonal Salt Company 18, 70a, 115<br />

Interpon ® 56a, 216c<br />

Intersleek ® 425 220i<br />

Intersleek ® 700 220i<br />

Intersleek ® 900 220i<br />

Intervet International see also Laboratoria<br />

Nobilis (Intervet); under specific sites<br />

acquisition of Hoechst Roussel Vet 20,<br />

28a, 110b<br />

acquisition of Inter-Continental Biologics<br />

19, 110b<br />

founding history 18, 109, 110a<br />

geographical expansion 20, 110a–110b<br />

and Gist-Brocades 19, 110b<br />

innovations 110b–110c<br />

merger history 18, 30, 31, 110a<br />

part of Organon BioSciences 21, 110c,<br />

254b<br />

production of veterinary vaccines 19,<br />

110a, 110c<br />

Invista 247b<br />

IRA 18<br />

J<br />

Jacoa 196c<br />

Jansen, Jac 110a<br />

Jansson, Emanuel 140a–140b<br />

Jealott’s Hill site (ICI) 242c<br />

Jenson and Nicholson 194b<br />

J.F. Laucks Company 174a<br />

job losses<br />

Enka-Glanzstoff 46a–46b<br />

Ketjen 64c<br />

in salt plants 70b<br />

synthetic fibers market 46a–46b, 210c<br />

Johansson, Egon 184<br />

John Hall and Sons 194a–194b, 196c<br />

Johnstone, Michael 242b, 243<br />

Joliot, Pierre 236b<br />

Jones, Frank 205i<br />

Jones, Peter 59<br />

Jozo ® 14<br />

Judd, Donald 58i, 61<br />

K<br />

Kearton, Sir C.F. 210a, 210b–210c, 236c<br />

Kellex Corporation 236c<br />

Kema Companies see AB Kema<br />

Kemabolagen 180c<br />

KemaNobel<br />

advertisements 134b–134c<br />

founding history 18, 26b, 122a–122b,<br />

134c–134d<br />

merger history 19, 30, 121, 122b–122c,<br />

145b, 170a, 176a<br />

product range of 145b–145c<br />

KemaNord AB see also KemaNobel<br />

acquisition of Barnängen 17, 18, 122b,<br />

145b<br />

acquisition of Nitro Nobel 18, 134c, 145b<br />

founding history 122a–122b, 174c<br />

merger history 19, 30, 134c<br />

name change to KemaNobel 18, 134c,<br />

145b, 176a<br />

Kemi-Casco 174b<br />

Kemira 196c<br />

Kemisk Værk Koge A/S 158c<br />

Kempensche Zinkmaatschappij 17<br />

Kenobel 19<br />

KenoGard 19, 145c<br />

Kessler 17, 114b<br />

Ketjen (Koninklijke Zwavelzuurfabrieken van het<br />

Ketjen) see also Amsterdam site (Ketjen)<br />

develops activated carbon 15, 64a<br />

founding history 10, 63<br />

innovations & growth 64a–64b<br />

job losses 64c<br />

merger history 17, 30, 36a, 36b, 64c, 68c,<br />

92c<br />

production of sulfuric acid 12, 15, 64a–64b,<br />

64c<br />

during and after WW II 64b<br />

Ketjen, Gerhard Tileman 63<br />

Kevlar ® 19, 24a–24b<br />

Kew laboratory (Viscose Spinning Syndicate)<br />

204a, 205i<br />

Key (magazine) 197<br />

Kinder & Co. 196a<br />

King, Peter 244c<br />

Kinsky, Bertha 128a<br />

Kjellberg & Söner 134b<br />

KLEA 134a 19, 245, 246b<br />

KLEA 32 246b<br />

Kleefse Waard site (Enka/AKU) see Arnhem<br />

site (Enka/AKU)<br />

Kleve site (Noury & Van der Lande) 73, 74a<br />

Knight, Sir Arthur 210b–210c<br />

KNZ (Koninklijke Nederlandse Zoutindustrie)<br />

see also under specific sites<br />

diversifications 68b–68c<br />

founding history 14, 68a<br />

merger history 17, 30, 36a, 36b, 64c, 68c<br />

production of potash 15<br />

production of soda 14, 17, 68c<br />

Kolker, Hugo 207<br />

Kölnisch Wasser 88i<br />

Koninklijke Fabrieken T. Duyvis Jz. n.v. see<br />

Duyvis<br />

Koninklijke Lak- en Japanlakkenfabriek G.W.<br />

Sikkens & Co see G.W. Sikkens & Co.<br />

Koninklijke Nederlandse Zoutindustrie (KNZ)<br />

see KNZ<br />

Koninklijke Zout-Ketjen (KZK) see also<br />

Koninklijke Zout-Organon (KZO)<br />

founding history 17, 36b, 64c, 68c


merger history 30<br />

merger with Koninklijke Zwanenberg-<br />

Organon 17, 45c, 54a, 70a, 106a<br />

salt production of 70a<br />

Koninklijke Zout-Organon (KZO) see also under<br />

specific divisions<br />

founding history 17, 36b, 45c, 54a, 70a,<br />

106a<br />

merger history 18, 30, 35–36a, 80d, 88,<br />

106a<br />

merger with AKU 18, 24a, 36i, 44b–45a,<br />

45c<br />

Koninklijke Zwanenberg-Organon see also<br />

Koninklijke Zout-Organon (KZO)<br />

acquisition of Kortman & Schulte 17, 80d,<br />

104d<br />

acquisition of Noury & Van der Lande 17,<br />

36b, 104d<br />

diversification 104d<br />

founding history 36b, 104c<br />

merger history 17, 30, 88<br />

merger with KZK 17, 45c, 54a, 70a, 106a<br />

merger with Noury & Van der Lande 76<br />

“Royal” designation 16, 104c<br />

takeover of Laboratoria Nobilis (Intervet)<br />

104d, 110a<br />

Koninklijke Zwavelzuurfabrieken van het Ketjen<br />

see Ketjen<br />

Koog aan de Zaan site (Duyvis) 96a–96b, 97<br />

Kortman, Constant 79<br />

Kortman & Schulte see also Delfshaven site<br />

acquisition by Koninklijke Zwanenberg-<br />

Organon 17, 80d, 104d<br />

founding history 12, 79<br />

introduction of Zilverzeep 12, 80b<br />

joint advertising with AKU 80c<br />

merger history 30, 36a, 80d<br />

production of iodine 80a–80b<br />

production of soaps 12, 80b–80d<br />

production of soda 79–80a<br />

production of synthetic detergents 17,<br />

80c–80d<br />

Kraijenhoff, Gualtherus (Guup) 22, 45c–46a<br />

Kristinehamn site (Casco) 174c<br />

Kroon voor de Was 80b<br />

Krupp 138b<br />

Kvävebolaget 150b<br />

KZK (Koninklijke Zout-Ketjen) see Koninklijke<br />

Zout-Ketjen<br />

KZO (Koninklijke Zout-Organon) see Koninklijke<br />

Zout-Organon<br />

L<br />

L/70 40 mm gun 15, 122b, 140a–140b<br />

La Cellophane 205c<br />

La Seda de Barcelona 24c<br />

Label Inks 28a<br />

Laboratoria Nobilis 16, 17, 106a, 109, 110a see<br />

also Intervet International<br />

Láboratorios Saltor 18, 110a<br />

lacquers 54i, 74i see also under different brand<br />

names<br />

Laqueur, Ernst 100, 102b, 102i<br />

Lars Foss Kemi A/S 158c<br />

Lars Montén & Co. 15, 180b<br />

Latham, Thomas Paul 202c<br />

Le Corbusier 58i<br />

Leblanc process 226a<br />

Lee of Fareham, Arthur Hamilton Lee, 1st<br />

Viscount 206i<br />

Leeropaan ® 102b<br />

Leiden site (Sikkens) 52c<br />

Leigh site (Courtaulds) 12, 202c<br />

Lend-Lease 208b<br />

Leo, Anders 164<br />

Lesonal 54a, 106a<br />

Lever Brothers 226b<br />

Levinstein Ltd. 226a<br />

Lewis Berger & Sons 19, 194a, 196c<br />

Library of Science and Technology 144i<br />

Lignox ® 152c<br />

Liljeholmens Stearinfabrik AB<br />

acquisition by Barnängen 180b–180c<br />

acquisition by Superfosfat 16, 122b, 145b<br />

end of superphosphate production 15<br />

founding history 10<br />

production of candles at 178<br />

Lilljeqvist, Rudolf 148, 149–150b<br />

Limerick site (Akzo) 18<br />

Lincrusta ® 194d, 197<br />

linseed oil 50i, 96a–96b, 96i<br />

Lion Fat and Oil 114b<br />

liquid chlorine 68c, 152a–152b<br />

Liverpool FC 195, 196b<br />

Liverpool School of Tropical Science 240b<br />

Livial ® 19, 106b<br />

Livorno ® 96d<br />

Ljunga Saltpeter 144c<br />

Ljungaverk site (Superfosfat)<br />

hydro-electric power station at 13<br />

library at 144i<br />

opening of 144a<br />

production of fertilizers at 15, 144b–144c<br />

production of plastics 145a–145b<br />

production of synthetic rubber 145a<br />

Ljunglöf, Robert 180b<br />

Loda ® 80d, 104d<br />

logos see also trademarks<br />

Akzo 18, 38i, 45c, 80b<br />

<strong>AkzoNobel</strong> 254c<br />

British Dyestuffs 227<br />

Brunner Mond 227<br />

Casco 174a<br />

Crown ® 195<br />

ICI 28c, 228b<br />

Nobel Industries (British arm) 227<br />

United Alkali 227<br />

Lohse, Richard Paul 60<br />

London site (ICI) 228c, 229<br />

Loudon, Aarnout A. 22, 24b–24c, 38i, 252a,<br />

252c, 254a<br />

Louis O. Werneke 28a<br />

Lowland site (Enka) 117<br />

LR-lim 15, 174a<br />

Lucite 247b<br />

lye (sodium hydroxide) 12, 150b, 152a see also<br />

caustic soda (natrium hydroxide)<br />

Lyndiol ® 17, 27, 106a, 107<br />

M<br />

MacPherson ® Paints 196c, 197<br />

madder (Rubia tinctorum) 158a<br />

malaria 240b–240c<br />

Malmö site (Akzo Nobel) 253<br />

Malmö sites (Nordström & Sjögren) 164, 165,<br />

166a, 167, 168<br />

Manning, Dermot 232b<br />

Månsbo site (Superfosfat) 12, 144a, 144i, 146<br />

Marcus Hook site (Courtaulds/AVC) 204c<br />

Margarine Unie 14, 101<br />

Marine & Protective Coatings 254c, 258i<br />

marine coatings<br />

delivery of 219<br />

and environmental issues 220i<br />

powder coatings 216c, 220a<br />

production of 15, 215–216b<br />

Marvelon ® 19, 26c, 106b<br />

Mattcement 174a<br />

Mattsson, Ove 176a–176b, 252a<br />

Mayer, Joseph 116a<br />

Mayolande 96d<br />

McCook site (Armour) 16, 114b, 116b<br />

McGowan, Sir Harry 226c, 228a–228b<br />

McKenna, Reginald 226c<br />

MDI (Diphenyl Methane Di-isocyanate) 238b<br />

meat trade 104c, 114a<br />

Medical Division (ICI) 17<br />

Mees, August Mari 50d, 58<br />

Meitner, Lise 236b<br />

Mekog fertilizer 64a<br />

melamine 145a, 147<br />

Melchett, Alfred Mond, 1st Baron see Mond,<br />

Sir Alfred<br />

Mellor, J.G.G. 196a<br />

Membrana business unit 46b<br />

Menformon ® 14<br />

mepacrine 240b<br />

Mepal 147<br />

Mercilon ® 19, 26c<br />

metasilicate 15, 152a<br />

Methoxone ® 16, 242c, 244a–244b<br />

methyl methacrylate 235a<br />

Meyer, Kurt 232c<br />

Michels, Anton 232b<br />

Miljonprogrammet 166c<br />

mills 73, 74a, 74c, 75, 95–96a<br />

Mitchell, Reginald 235a<br />

Mixit ® 54c<br />

Mo och Domsjö AB (MoDo) see MoDo<br />

Moabite Hospital 240a–240b<br />

Mobile site (Courtaulds) 212a<br />

MoDo (Mo och Domsjö AB) see also Berol<br />

Kemi AB; MoDoKemi AB; under specific<br />

sites<br />

acquisition of Berol 16, 186a–186b<br />

acquisitions 190b–190c<br />

agreement with Fosfatbolaget 190a–190b<br />

divestment of chemicals operations 18,<br />

190c<br />

name change to MoDoKemi AB 18, 190c<br />

production of ethylene glycol 15<br />

MoDoKemi AB 18, 190b–190c see also Berol<br />

Kemi AB<br />

Molina, Mario 246b<br />

Mölndal site (Berol) 186a<br />

Mölndal site (MoDo) 190b, 191<br />

Mond, Ludwig 224, 226a, 230i<br />

Mond, Sir Alfred (later Lord Melchett) 226b,<br />

226c, 228c, 230a, 230c, 240a<br />

Mond Nickel Company 228c<br />

mondo nuovo, Il (film) 60<br />

Montgomery, J.G. 152a<br />

Morgenthau, Henry 208b<br />

mourning crepe 11, 202a–202b, 209<br />

Muromatte Flat Oil Paint 196a<br />

Mutar, Mr. 207<br />

N<br />

NAA (alphanaphthaylacetic acid) 244a–244b<br />

Nacka site (Casco) see Stockholm site (Casco)<br />

Nacka site (Superfosfat) see Stockholm site<br />

(Superfosfat)<br />

National Franchise Board for Environmental<br />

Protection (Sweden) 152a<br />

National Starch 247c<br />

natrium hydroxide (caustic soda) 68i<br />

Nature 236b<br />

Nazi occupation 42c, 104a–104b<br />

Nederlandse Bell Telefoonmaatschappij 86i<br />

Nederlandse Kunstzijdefabriek (Enka) see Enka<br />

Nederlandse Staatsmijnen (DSM) 45<br />

Neoprene (synthetic rubber) 145a–145b<br />

NeSBIC 20<br />

NewCell ® 26c<br />

nickel 228c<br />

Nitro Nobel AB<br />

acquisition by KemaNord 18, 134c, 145b<br />

divestment of part of 122c<br />

founding history 26b, 122a–122b<br />

merger history 30, 134c–134d, 145b, 145c<br />

offices 132<br />

271


272<br />

range of products 135<br />

Nitro Reparatie Zwart 52a<br />

Nitro Rubbol ® 52a<br />

nitrogen 226b<br />

nitroglycerin<br />

accidents with 122a, 126b, 126c, 134a<br />

invention of 11<br />

Nobel’s development of dynamite 26a<br />

Nobel’s experiments with 122a, 126b<br />

Nitroglycerin AB see also Nitro Nobel AB<br />

founding history 11, 26a, 122a, 126c,<br />

133–134a<br />

merger history 14, 134b–134c, 144c–145a<br />

name change to Nitro Nobel 17, 26b, 122a<br />

product range of 134a, 134c<br />

Nitrolit 134c<br />

NK (Nederlandse Kunstzijdefabriek) see Enka<br />

Nobel, Alfred see also Nitroglycerin AB; Nobel<br />

Foundation; Nobel Prize<br />

and blasting gelatin 11, 26a, 126c, 134a<br />

death of 26b, 126c, 128b<br />

desire for peace 138d<br />

as entrepreneur 121, 126a, 126c,<br />

128a–128b, 133–134a<br />

founding of British Dynamite Co. 226a<br />

founding of Eka 150a<br />

interests in Bofors 126a–126b, 134b,<br />

138c–138d<br />

invention of blasting cap/detonator 11,<br />

122a, 126b<br />

invention of dynamite 11, 70i, 122a, 126b<br />

as inventor 26a, 126b–126c, 134a<br />

laboratory in San Remo 127<br />

origins 26a, 125–126a<br />

portrait of 124, 131<br />

private life of 128a–128b<br />

testament of 128b–128c, 129i, 130<br />

Nobel, Immanuel 26a, 126a<br />

Nobel, Ludwig 26a<br />

Nobel Chematur 122b<br />

Nobel Consumer Goods AB 145c<br />

Nobel Dynamite Trust 12, 26a, 128a<br />

Nobel Explosives Ltd. 225, 226a, 227<br />

Nobel Foundation 12, 26a–26b, 128c<br />

Nobel Industries AB see also Courtaulds<br />

Textiles plc<br />

acquisition of Berol AB 19, 122c<br />

acquisition of Bofors AB 122b, 134b<br />

acquisition of Crown Berger 19, 122c<br />

acquisition of Eka 122c, 154a<br />

acquisition of Sadolin & Holmblad 19,<br />

122c, 160b–160c, 176a<br />

Bofors scandal 26b, 122c, 140b–140c<br />

divestments 122c, 140c, 145c, 182<br />

founding and expansion 19, 122b–122c<br />

Gamlestaden financial crisis 19, 26b, 122c,<br />

182<br />

link with ICI 28c<br />

map of site locations 118<br />

merger history 23, 24c, 26a, 26c, 30, 114d,<br />

116c, 145b<br />

merger with Akzo 30, 123, 145c, 170a,<br />

176b, 251–252a<br />

Nobel Industries i Sverige AB 19, 176a<br />

Nobel Laureates 129i, 144b–144c, 145a, 180c,<br />

240b, 242c<br />

Nobel Prize 13, 26a–26b, 128c<br />

Nobel-Dynamite Trust Company Ltd. 226a<br />

Nobelite (explosive) 138i<br />

Nobilon 21, 110c, 254b<br />

Nol site (MoDo) 190b<br />

Nomosquito 186a<br />

Noordwijk 52b<br />

Norbio 20, 110b<br />

NorCasco 174b<br />

Nordbanken 122c, 145c, 170a, 182<br />

Nordensen, Harald 180b<br />

Nordisk Droge & Kemikalie A/S 19<br />

Nordsjö (Nordström & Sjögren) see also Sege<br />

site<br />

acquisition by Bayer 166c<br />

divestment by Bayer 170a<br />

employees 164<br />

environmental policies 20, 170b<br />

expansion after WW II 166b–166c<br />

founding history 13, 165–166a<br />

merger history 19, 30, 122b, 145b, 166c,<br />

170a<br />

paint deliveries 166a, 169<br />

production of Bindol ® 15<br />

production of paints 17, 166a–166c, 170b<br />

staff canteen 171<br />

Nordsjö Idé & Design stores 170b<br />

Nordsjö Tinova ® VX 166i<br />

Nordsjö ® (brand) 170a<br />

Nordsjö ® Farver 160b<br />

Nordsjö ® −Sadolin ® 170a<br />

Nordström, Axel 165, 166b<br />

Nordström, Olle 166c<br />

Nourical 74c<br />

Nourij, Jan 73<br />

Noury & Van der Lande see also under specific<br />

sites<br />

acquisition by Koninklijke Zwanenberg-<br />

Organon 17, 36b<br />

competition from Van Hasselt 92b<br />

diversifications 74c<br />

founding history 10, 73<br />

international expansion 15, 74b–74c, 76a<br />

merger history 30, 36a, 64c<br />

merger with Koninklijke Zwanenberg-<br />

Organon 76<br />

oil production 73<br />

production for paint industry 74a, 74b–74c<br />

production of citric acid 15, 74a<br />

production of peroxides 74b<br />

production of pesticides 76<br />

production of pharmaceuticals 74c<br />

takeover by Koninklijke Zwanenberg-<br />

Organon 17, 104d<br />

unsuccessful takeover bid for Organon 74c<br />

during WW I 74a<br />

Nourypharma 17, 74c, 76a<br />

Novadelox ® 74b<br />

Novartis 247b<br />

nuclear energy 236a–236c<br />

nuclear fission 236a–236c<br />

Nuplex Industries 20<br />

NuvaRing ® 20, 28b, 106b<br />

nylon<br />

invention of 208a, 232c, 235b–235c<br />

production after WW II 238a<br />

production by AKU 24a, 44b<br />

production by British Nylon Spinners 15,<br />

235b–235c<br />

production by Courtaulds 208c<br />

O<br />

Oberbruch site 34<br />

Oegstgeest 52b<br />

Ögren, J.F. 179<br />

oil embargo<br />

and plastics research 246c<br />

and synthetic fiber production 24a, 45c<br />

oil manufacturing 52c, 73, 74a, 95–96a, 96i<br />

Old English Sheepdog 240a, 241<br />

Oleochemicals Sdn Bhd 19<br />

Olins, Wally 38i<br />

Olsson, Mr. 184, 185<br />

OPEC 24a, 246c<br />

Oppau site (BASF) 228i<br />

oral contraceptives<br />

health issues 106b<br />

Organon and the production of 17, 18, 19,<br />

26c, 27, 28a, 106a–106b, 107<br />

resistance against 106a–106b<br />

Orgalutran ® 106b<br />

Organon see also Organon BioSciences; Oss<br />

site<br />

annual turnover 106c<br />

and Diosynth 18, 28b<br />

divestment of Teknika unit 20, 31, 106c<br />

founding history 14, 100, 101, 102a, 102i,<br />

104i<br />

international expansion 102b, 104a<br />

Jewish management 104a–104b<br />

merger history 16, 21, 30, 36a, 36b, 64c,<br />

76, 104c, 106c<br />

pilot plant 105<br />

production of anti-depressants 18, 20,<br />

106b–106c, 107<br />

production of hormonal products 14, 15,<br />

16, 17, 19, 102b, 104b–104c, 106b<br />

production of insulin 102a, 103, 104i<br />

production of oral contraceptives 17, 18,<br />

19, 26c, 27, 28a, 106a–106b, 107<br />

unsuccessful takeover by Noury & Van der<br />

Lande 74c<br />

during and after WW II 104a–104c, 104i<br />

Organon BioSciences<br />

acquisition by Schering-Plough 21,<br />

28c–29, 31, 106c, 110c, 254b<br />

founding history 21, 28c, 106c, 254b<br />

Organon Teknika 19, 20, 31, 106a, 106c<br />

Oss site (Organon) 106a<br />

outsourcing 46b<br />

Ovarnon ® 102b<br />

Overschie site (Kortman & Schulte) 80c<br />

Ovestin ® 17<br />

Ovo-Diphterin ® 110a<br />

Ovowop ® 102b<br />

Oxford School of Pathology 240c<br />

Oy Casco 174c<br />

ozone layer 246b<br />

P<br />

Packaging Coatings 212b, 258i<br />

paint deliveries 166a, 169, 219<br />

paint factory, interior 192<br />

paint mixing systems 54c, 166c–166d<br />

Painters’ Museum (Sikkens) 20, 48, 56i<br />

paints see also aircraft coatings; marine<br />

coatings; powder coatings<br />

definition of 54i<br />

manual preparation of 156, 157–158a<br />

production by Holzapfel Limited 12<br />

production by ICI 247b<br />

production by Nordsjö 17, 166a–166c,<br />

170b<br />

production by Walpamur 194c–194d<br />

Paints division (Crown) 196b<br />

Palme, Olof 140b–140c, 187<br />

Palmer, Thomas 194d<br />

Paludrine ® 16, 235a, 239, 240b–240c<br />

Paper Chemicals division (Eka) 152c<br />

paper industry 76i, 152a–152c, 154a–154b<br />

paraquat 244b<br />

Parkes, Alexander 230c<br />

Parksine 230c<br />

Passione d’amore (film) 60<br />

patents<br />

for Eau de Cologne 88i<br />

German 228i<br />

German, anti-malarial drugs 240b<br />

of Hartogs 42i<br />

of Mond 228c, 230i<br />

of Nobel 11, 122a, 126b, 126c<br />

for Novadelox ® 74b<br />

for polythene 234a<br />

for Remeron ® 28b, 106b–106c<br />

swine fever vaccine 110c<br />

the Twaron ® −Kevlar ® dispute 12, 24a–24b,


46a<br />

for viscose 12, 44i, 202c, 204a–204c, 204b<br />

Paton, John 234a<br />

Pavulon ® 18<br />

peanuts 98i<br />

peat 74i<br />

PEEK (polyether ether ketene) 246c–247a<br />

Peierls, Rudolf 236b, 236c<br />

Penaat, Johannes (zoon van Willem) 50b<br />

Penaat, Willem 49<br />

Penaat, Willem Albert (zoon van Willem) 50b<br />

penicillin 15, 240c<br />

Penser, Erik<br />

acquisition of Bofors 19, 26b<br />

acquisition of KemaNobel 19, 122b<br />

creation of Nobel Industries 19, 145b–145c<br />

Gamlestaden financial crisis 122c, 145c,<br />

170a<br />

weapons deal scandal 26b<br />

Perciwall, Ewert 174c<br />

Performance Coatings business 254c, 258i<br />

Perkin, W.H. 226a<br />

Perkin, William Henry 238b<br />

Permoglaze ® 196c, 197<br />

Pernaemon ® 14, 102b<br />

peroxides 74b, 76i, 92b, 92c<br />

Perrin, Michael Wilcox 232b, 234a, 236c<br />

Perspex ® 15, 232a, 235a–235b<br />

PES (polyether sulphone) 246c<br />

pesticides 68c, 76, 242c, 244a<br />

PET (polyethylene terephthalate) 246c<br />

Petitot, Jean 160i<br />

Petrie, Charles 216a<br />

petrochemicals 122a, 145b<br />

Pharma businesses<br />

acquisition by Schering-Plough 28c<br />

creation of 26c, 252c<br />

divestment of Chefaro 106c<br />

reproductive medicine market 28b<br />

Pharma division (Akzo)<br />

Chefaro part of 18, 20, 92c<br />

financial support for Fibers division 46b<br />

reproductive medicine market 24c<br />

pharmaceutical industry 242b<br />

Pharmaceuticals division (ICI) 20, 242b, 247a,<br />

247b<br />

Pharmaceuticals division (KZO) 36c, 106a<br />

Philips Dunbar 18<br />

Phillips Petroleum 234c<br />

Phoenicians 68i<br />

Phosphores Chemicals 21<br />

Physical Chemistry Group (ICI) 232b<br />

pigments 74a–74c, 156, 158a, 158c<br />

Pinchin Johnson and Associates Ltd. (PJA) 10,<br />

17, 210a, 216b–216c, 219<br />

Pinorin Japan (laquer) 50a–50b<br />

PJA (Pinchin Johnson and Associates Ltd.) 10,<br />

17, 210a, 216b–216c, 219<br />

plastics 16, 145a–145b, 232a–232b, 246b–246c<br />

see also polythene<br />

Plastics division (ICI) 15, 232a<br />

Plexiglas ® 235a<br />

Pliny the Elder 242c<br />

Poland 46b<br />

pollution<br />

BT Kemi scandal 18, 160a–160b<br />

reduction of 224, 246b<br />

of waste water 154a<br />

Polution Abatement Technology Award 246b<br />

polychloroprene (synthetic rubber) 145a–145b<br />

polyester 24a, 235c–236a, 237<br />

polyether ether ketene (PEEK) 246c–247a<br />

polyether sulphone (PES) 246c<br />

polyethylene terephthalate (PET) 246c<br />

Polymer Chemicals 258i<br />

polythene<br />

improvements to production process<br />

234a, 234c–235a<br />

invention history 15, 232a–232b, 233<br />

production of 234b–234c, 238a<br />

use in radar 234b–234c<br />

polyurethane foam 238a–238b<br />

Popular Science (magazine) 246b<br />

Porcillis ® AD Begonia 110c<br />

Porter Paints 212b, 220a<br />

potash (potassium carbonate) 15, 114b<br />

potassium carbonate (potash) 15, 114b<br />

potassium nitrate 15, 144b<br />

Potter, Charles 194b<br />

Potter, Harold 194b<br />

Potter & Co. 194b–194c<br />

Potts, Ralph H. 114a<br />

Poultry Biologicals 18, 110a<br />

powder coatings 20, 216c, 220a, 221, 253, 259<br />

Powder Coatings (<strong>AkzoNobel</strong>) 254c<br />

power-looms 202a<br />

PPG Industries 212b<br />

Predictor ® 18<br />

Premier Foods 247b<br />

Printing Inks 20<br />

Procion ® 17, 238c<br />

proguanil see Paludrine ®<br />

propranol 242c<br />

Pruteen 244c, 246a, 246c<br />

Pulp & Paper Chemicals 20, 154a–154b, 176i,<br />

258i, 260<br />

pulp industry 76i, 152a–152c, 154a–154b, 186b<br />

Pure Chemicals 36i<br />

Puregon ® 20, 28b, 106b<br />

PVC 16, 145a<br />

PVS Chemicals (Belgium) 64c<br />

Q<br />

QDHS technology 166i<br />

Queen’s Award for Technological Achievement<br />

196c<br />

Quick-Drying High Solid (QDHS) technology<br />

166i<br />

quinine 240b<br />

Quorn ® 246a, 247b<br />

R<br />

radar, centimetric 234b–234c<br />

radiation, nuclear 236b<br />

Randall, J.T. 234b<br />

Rank Hovis McDougall 246a<br />

Rattee, Ian 238c<br />

Raventos, James 243<br />

rayon see also viscose<br />

collapse of market for rayon 44b–45a<br />

growth of production of 204c–205a<br />

invention history 202c, 204a<br />

production of 36a–36b, 204c–205b, 208c<br />

Recter 19, 98a<br />

Red Hand Compositions Company 216c, 219<br />

red propeller brand 216a<br />

Reed, Albert E. 196a<br />

Reed Elsevier PLC see Reed International<br />

P.L.C.<br />

Reed International P.L.C. (later Reed Elsevier<br />

PLC) 194a, 196a<br />

refrigeration 238a–238b<br />

Remeron ® 20, 28b, 106b–106c, 107<br />

rennet 91–92a, 92c<br />

Research Council (ICI) 230a<br />

Resicoat ® 56a<br />

Resins 21<br />

Richter, J.H.M. 110a<br />

Ridley, Harold 235b<br />

Riebensahm, Walther 104i<br />

Rietveld, Gerrit 58i, 59<br />

Rijksmuseum Amsterdam 256<br />

Ripplewood Holding LLC 21<br />

Robert Ingham Clark 216c<br />

Roentgen, Wilhelm 236b<br />

Roermond 74b<br />

Roget & Gallet 88i<br />

Rohm and Haas Company 235a<br />

Roosevelt, Franklin Delano 208b, 236c<br />

Roosvicee ® 88<br />

Rose, Frank 239, 240a, 240b–240c<br />

Rotterdam site (Boldoot) 86c<br />

Rotterdam site (Ketjen) 64b<br />

Rotterdam site (Kortman & Schulte) 79<br />

Rotterdam sites (KZK) 68c, 70b<br />

Rotterdam sites (Van Hasselt) 91, 92a<br />

Rowland, Sherwood 246b<br />

Royal Society of Arts 246b<br />

rubber, synthetic (polychloroprene) 145a–145b<br />

Rubbol ® A–Z ® 15, 50d<br />

Rubbol ® Japanlak sneldrogend 14, 50d, 51<br />

Rudbeck, Olaf 26a<br />

Runcorn site (ICI) 245, 247b<br />

Rutherford, Ernest 236b<br />

RX ® Glue 15, 174b<br />

S<br />

SABIC 247b<br />

saccharin 64b<br />

Sadolin, Gunnar A. 13, 158b<br />

Sadolin, Knud 158b<br />

Sadolin & Holmblad A/S see also Copenhagen<br />

site (Sadolin & Holmblad)<br />

acquisition by Nobel Industries 19, 122c,<br />

145c, 160b–160c, 176a<br />

BT Kemi scandal 18, 160a–160b<br />

cinema commercial 162<br />

environmental policies 160b<br />

expansion after WW II 158c, 160a<br />

founding history 13, 158b<br />

management team of 159<br />

merger history 30, 158c<br />

product range of 158c, 160a<br />

production of enamel 158c<br />

production of paints 14<br />

production plant 163<br />

Sadolin Farveland ® 18, 160a<br />

Sadolin ® (brand) 56a, 160c<br />

Sadolin ® Wholesale Center 160b<br />

Sadolins Farver 13, 158b<br />

safety regulations 76<br />

Saffil 247b<br />

Sail Hammer 114a<br />

Salata ® 15, 96d<br />

salt<br />

harvesting of 68i<br />

in Holland 12, 14, 67<br />

production of 66, 70a–70b<br />

storage 70i<br />

use of 70i<br />

Salt Chemicals division (KZO) 36c, 106a<br />

“Salt Convention” 14<br />

Salt division (Akzo) 20, 70b<br />

Salt Union 247b<br />

saltpeter see potassium nitrate; sodium nitrate<br />

(Chilean saltpeter)<br />

Samuel Courtauld & Co see also Courtaulds<br />

abortive bid by ICI 17, 210a–210b, 236a<br />

acquisition of Cellon 17, 210a, 216b<br />

acquisition of International Paints 18,<br />

210a, 216b–216c<br />

acquisition of PJA 17<br />

collapse of market for silk 11, 202b<br />

diversification and expansion 208c, 210a<br />

expansion and growth 202a–202b,<br />

204b–204c<br />

financial losses and recovery 205b–205c<br />

focus on British market 210b<br />

founding history 10, 202a<br />

job losses 210c<br />

273


274<br />

listing on stock exchange 13<br />

loss of AVC 15, 208a–208b, 210b<br />

production of nylon 208c<br />

production of viscose 13, 44i, 204a–204c<br />

reorganizations 18, 202c, 210c<br />

split into two companies 210c<br />

synthetic fibers market crisis 210b–210c<br />

during and after WW II 208a–208b<br />

San Remo site (Nobel) 127<br />

Sandtex ® 196c, 197<br />

Sassenheim site (Sikkens) see also Sikkens<br />

Painters’ Museum<br />

Car Refinishes Instruction Center at 18, 54c<br />

hoarding advertisement 53<br />

installation of new oil mill 52c<br />

move to new buildings at 15, 52a–52b<br />

visit of Churchill to 53<br />

“Savon de l’Exposition” 12, 180a<br />

Scabicidol 74c<br />

Schering-Plough<br />

acquisition of Organon BioSciences 21,<br />

28c–29, 106c, 110c, 254b<br />

acquisition of Pharma businesses 28c<br />

Schnitger, F. 214<br />

Schönox 176a<br />

Schröder House 59<br />

Schulte, Herman 79<br />

Schweppes 246a<br />

Scola, Ettore 58i, 60<br />

Securum 19, 123, 145c<br />

Sege site (Nordsjö) 16, 166b–166c, 166d, 170a<br />

Self-Polishing Copolymer (SPC) 220i<br />

SembCorp 247b<br />

Senate Foreign Relations Committee 208b<br />

“Shantung School” 16, 180c, 183<br />

shipping, environmental inpact of 220i<br />

Shirley Institute 236a<br />

Sicova 52c<br />

Sikkens, Geert Willem 49<br />

Sikkens, Wiert Willemszoon 35, 49<br />

Sikkens Celluloselakfabriek 52a<br />

Sikkens Group see also G.W. Sikkens & Co.;<br />

under specific sites<br />

founding history 52c<br />

listing on stock exchange 16, 52c<br />

marketing strategy for car refinishes<br />

systems 56a<br />

merger history 23, 30, 36c<br />

paints for car refinishing systems 17, 54a,<br />

55<br />

part of Coatings businesses 54a<br />

part of Coatings division (KZO) 36c, 54a<br />

Sikkens Painters’ Museum 20, 48, 56i<br />

Sikkens Prize 17, 58i, 59–61<br />

Sikkens Prize Foundation 58i<br />

Sikkens ® Car Color Selector 54a<br />

Sikkens ® coatings 256<br />

Silent Spring 246a<br />

Silfversparre, Arent 138d, 140a<br />

silk 11, 201–202b, 235c<br />

Silveroid 228c<br />

Sinaspril ® 88<br />

Sjögren, Albin 164, 165<br />

Sjögren, Sven 166c<br />

Smit, Piet 64a<br />

Smith and Walton 196a<br />

Smitt, Johan Wilhelm 126c<br />

smokeless gunpowder 126b, 126c, 134a<br />

Smooth Velvet ® 196c<br />

Sneek site (Sikkens) 57<br />

Snia Viscosa 210b<br />

SOAB (Svenska Oljeslageri Aktiebolaget) 190b<br />

soaps, production of<br />

by Armour & Co. 12, 16, 17, 114a–114b<br />

by Barnängen 180a–180b, 182<br />

by Boldoot 13, 86<br />

by Consumer Products division (Akzo) 88<br />

by Dial Corporation 19, 114d<br />

by Kortman & Schulte 12, 80b–80d<br />

at Widness 224<br />

Sobrero, Ascanio 11, 126b<br />

social responsibility 28b<br />

Société Central de Dynamite 12, 128a<br />

soda<br />

production of 17, 68c, 79–80a<br />

use of 80i<br />

soda ash 226a, 230i<br />

Söderblom, Åke 180b<br />

Södertälje site (Berol) 15, 186a<br />

sodium carbonate see soda; soda ash<br />

sodium chloride see salt<br />

sodium hydroxide (lye) 12, 150b, 152a<br />

sodium nitrate (Chilean saltpeter) 80a<br />

sodium perborate 152a<br />

Sodium silicate (water glass) 14, 52c<br />

Soesbeek, Klaas 22, 45c<br />

Softsand ® 196c<br />

SOG 247b<br />

Sohlmann, Ragnar 128b<br />

Solo ® Gloss 196b<br />

Solutia 92c<br />

Solvay Company 114d<br />

Solvay process 226a, 230i<br />

Sovpren 145a<br />

SPC (Self Polishing Copolymer) 220i<br />

Specialty Chemicals business 258i<br />

Spitfire (fighter plane) 235a<br />

spray gun 50d<br />

Standard Oil of Indiana 234c<br />

Statsföretag AB 190c<br />

Staudiger, Hermann 232a, 232c<br />

Stauffer, Hans (nephew of John Sr.) 116a<br />

Stauffer, John Jr. (son of John Sr.) 116a, 116b<br />

Stauffer, John Sr. 114d<br />

Stauffer Chemical Co.<br />

acquisition by Akzo America 19, 114d, 116a<br />

acquisition by ICI 247b<br />

founding history 12, 113, 114d<br />

listing on stock exchange 116a<br />

merger history 30<br />

production of commodity chemicals 114d<br />

Stearn, C.H. 204a, 205i<br />

Steigenberger, Louis 194a<br />

Stenungsund site (Akzo Nobel) 116c, 116d,<br />

122a, 145b<br />

Stenungsund site (Berol/MoDo)<br />

amine plant at 188<br />

headquarters of MoDoKemi 18<br />

inauguration by King Gustav VI Adolf, 189<br />

Olof Palme at 187<br />

petrochemical ethylene plant 17, 190b<br />

Stepan Co. 114c<br />

Stephen, W.E. 238c<br />

Stephenson, John 242b<br />

Sterisol AB 180c<br />

Sternfeld bakery 72<br />

steroids 17, 18, 104c<br />

Stockholm site (Barnängen) 180a<br />

Stockholm site (Casco) 172, 174c, 174i, 175<br />

Stockholm site (Superfosfat) 120, 144a<br />

Stockholms Benmjölsfabrik 122b, 145b<br />

Stockholms Superfosfat Fabriks AB see also<br />

Fosfatbolaget AB; under specific sites<br />

acquisition of Barnängen 180c<br />

acquisition of Casco 174c<br />

acquisition of Liljeholmens Stearinfabrik<br />

16, 145b<br />

acquisition of Nitroglycerin AB 14,<br />

144c–145a<br />

expansion 144c<br />

focus on petrochemicals 122a, 145b<br />

founding history 11, 143<br />

library of 144i<br />

merger history 30, 122a, 134b–134c,<br />

145b–145c<br />

name change to Fosfotbolaget AB 17, 122a<br />

production of carbide 15<br />

production of plastics 16, 145a–145b<br />

Stora Kemi 19<br />

Stora Kopparberg 122a, 145b<br />

Suckling, Charles 242a, 243<br />

sulfa drugs 240b<br />

Sulfamethazine 240b<br />

sulfur dioxide 16, 64b<br />

sulfuric acid<br />

emissions of 64i<br />

history and use of 64i<br />

production of 12, 15, 63, 64a–64b, 64c,<br />

144a<br />

Super Lepus ® 140b<br />

superphosphate 15, 143–144b, 145a, 174c<br />

Surface Chemistry business 116d, 190c, 258i<br />

surfactants 26c, 116b–116d, 186b, 186i<br />

Surfactants 190c<br />

Surfactants America 116c<br />

Sustainability Report 261a–261b<br />

Sutherland, E.J. 74b<br />

Svedberg, Theodor (The) 145a, 180c<br />

Svedopren 16, 145a<br />

Svenska Oljeslageri Aktiebolaget (SOAB) 190b<br />

Sveriges Riksbank 128c<br />

Sveriges Riksbank Prize in Economic Sciences<br />

128c<br />

Swallow, John 232b<br />

Swan, Sir Joseph 202c<br />

Swedish Royal Academy of Sciences 126c<br />

Swedish State Railway 126c<br />

Syngenta 247b<br />

Synthese 16, 52c<br />

synthetic fibers market 24a, 44b–45a, 46a–46b,<br />

204c–205a, 210b–210c see also under spe-<br />

cific fiber brand names; under specific fibers<br />

T<br />

T. Duyvis Jansz. (firm) see Duyvis<br />

Tacryl 145b<br />

Talens 54a<br />

tallow 80b, 114a<br />

Tausk, Marius 102b, 104a<br />

Taylor I, P.A. 202a<br />

TDI (toluylene di-isocyanate) 238b<br />

Teesside site (ICI) 244i, 247b<br />

Teknika unit (Organon) 19, 20, 31, 106c<br />

Templeman, W.G. 244a<br />

Tencel ® 212a<br />

Tennant, Sir Charles 226a<br />

Tenormin ® 247a<br />

tensides see surfactants<br />

Terlenka ® 44a<br />

Terra Industries 247b<br />

Terylene ®<br />

invention of 15, 235c–236a<br />

production of 15, 236c, 237, 238a<br />

Tetley, Henry Greenwood 202b–202c,<br />

204a–204b, 205i, 209<br />

Teuge site (Noury & Van der Lande) 73<br />

textile dyes 157–158a<br />

Textillim ® 174b<br />

"The Directorate of Tube Alloys" 236c<br />

'the pill' see oral contraceptives<br />

Thermodynamics Laboratory (Amsterdam) 232b<br />

Thomas, Edouard 207<br />

Thyranon ® 15<br />

Timbuktu 68i<br />

Tinova ® VX 166i<br />

Tintorama ® 17, 166c–166d<br />

titanium dioxide 74c, 154a<br />

TOF-Guard ® 20<br />

toluylenedi-isocyanate (TDI) 238b<br />

Tolvon ® 18, 106b<br />

Tonicum Noury ® 74c<br />

Topham, F. 204b, 205i, 207<br />

trade unions 92c<br />

trademarks 180a see also logos


Tricel ® 210a<br />

Tromp, Cees 56i<br />

Twaron ® 19, 24a–24b, 46a<br />

Twickel Estate 67<br />

U<br />

UKAEA (United Kingdom Atomic Energy<br />

Authority) 236c<br />

Unilever 18, 20, 101, 247c<br />

Union Carbide 234a<br />

United Alkali 225, 226a, 226c, 227<br />

United Kingdom Atomic Energy Authority<br />

(UKAEA) 236c<br />

University of Leiden 232a<br />

uranium 15, 236b–236c<br />

Urban, Johan 204a<br />

Usselo site (KNZ) 68c<br />

V<br />

vaccines, veterinary 20, 110a–110c<br />

Vademecum (mouthwash) 12, 180b<br />

Valhallahuset 165, 167<br />

Valspar ® paints 52c<br />

Van den Bos, Adolf Gustaaf 22<br />

Van der Lande, Gerrit 73<br />

Van der Lande, Johannes Christian Lebuïnus<br />

(Jan) 74a–74b<br />

Van der Veer (varnish boiler) 50i<br />

Van Doesburg, Theo 58i<br />

Van Hasselt (firm) see also under specific sites<br />

acquisition by Chefaro 92b<br />

and agricultural prize 11, 92a, 93<br />

competition from Noury & Van der Lande<br />

92b<br />

diversifications 92b–92c<br />

founding history 91<br />

merger history 16, 17, 30<br />

part of Chemicals division (Akzo) 18, 92c<br />

production of fungicides 92c<br />

production of peroxides 92b, 92c<br />

production of rennet 91–92a, 92c<br />

production of rubber chemicals 92b, 92c,<br />

93<br />

Van Hasselt, Johan (son of Willem) 90, 92a,<br />

92b, 92i<br />

Van Hasselt, Willem 91<br />

Van Kaathoven, Hans 104i<br />

Van Lede, Cees 22, 252b–252c, 254a<br />

Van Oss, Jacques 100, 102i<br />

Van Zwanenberg, Salomon (Saal) 100, 102a,<br />

102b, 102i, 104a–104b<br />

Vapona ® 88<br />

varnish 50i<br />

Veracel pulp mill 260<br />

Verbruggen, Elly 111<br />

Vereinigte Glanzstoff-Fabriken see also AKU<br />

founding history 12, 204a<br />

merger history 14, 24a, 30, 36a<br />

merger with Enka 18, 36a–36b, 42b, 44b<br />

Verhulst, Hans 58<br />

Vernie of Germany 110a<br />

veterinary vaccines 19, 110a, 110c<br />

Victoria, Queen 202c<br />

Victrex 247b<br />

Vinterviken site (Nitroglycerin AB) 133, 134b<br />

Virgil 242c<br />

Vis, Jacob Pieter 67–68a<br />

viscose see also rayon<br />

collapse of market for 44b<br />

invention history 12, 44i, 205i<br />

patents for 12, 44i, 202c, 204a–204c<br />

production by AKU 24a<br />

production by Courtaulds 13, 44i,<br />

204a–204b<br />

production by Enka 13, 16, 41, 44a<br />

production by Enka-Glanzstoff 46b<br />

production history 44i<br />

production process 44i<br />

Viscose Spinning Syndicate 205i, 207<br />

vitriol see sulfuric acid<br />

VOCs (volatile organic compounds) 166i<br />

volatile organic compounds (VOCs) 166i<br />

Vulnax 36a<br />

W<br />

Wagner-Jauregg, Julius 240b<br />

Wallenberg (banking family) 122a, 122b, 145b<br />

Wallenberg, Marcus 174a<br />

Wallpaper Manufacturers Ltd. see Walpamur<br />

(Wallpaper Manufacturers Ltd.)<br />

Walpamur (Wallpaper Manufacturers Ltd.) 12,<br />

13, 14, 194b–194d, 194i see also Walpamur<br />

Company Ltd. (WPM)<br />

Walpamur Company Ltd. (WPM) see also<br />

Crown Decorative Products<br />

acquisition by Reed International P.L.C.<br />

196a<br />

founding history 14, 196a<br />

name change to Crown Decorative<br />

Products 18, 196b<br />

Walpamur ® 16, 194c–194d, 195<br />

Walton, Frederick 194d<br />

Warburg émigrés 206i<br />

Ward White Group 196c<br />

washing soda see soda; soda ash<br />

Water Board (Sweden) 152a<br />

water glass (sodium silicate) 14, 52c<br />

Watson-Watt, Sir Robert 234b<br />

weapons deal scandal 19, 26b, 122c,<br />

140b–140c<br />

weapons industry see armaments industry<br />

Weber, Orlando F. 226b, 226c<br />

weed killers 16, 76, 244a–244b<br />

Werneke & Mulheran 28a<br />

Westerdahl, N.E. 180b<br />

Whinfield, J.R. (Rex) 235c, 237<br />

White Flyer 114a<br />

Widnes site (ICI) 224<br />

Wijers, Hans 6, 254a–254b, 261a–261b<br />

Wilco 106a<br />

Wilhelmina, Queen 50b<br />

William I, King 63<br />

Williams, Edmond 234a<br />

Williams Holdings 19, 196c<br />

Wilton site (ICI) 236a<br />

wind turbine 255<br />

Winnington site (ICI) 232b<br />

Wisdom of the Body, The (Cannon) 242b–242c<br />

Wishnick Tumpeer Chemical Company 116d<br />

Witco 116d<br />

Witt, Sir Robert Clermont 206i<br />

woad (Isatus tinctoria) 158a<br />

Wolff Olins 19, 38i<br />

Woodley, F. 207<br />

Woodwash ® 196c<br />

woodworking industry 174a–174b, 176a–176b<br />

Woolworth chain 196c<br />

World Health Organization 244c<br />

X<br />

Xylee 44b<br />

Y<br />

Yardley cosmetics 88<br />

yarn factory 213<br />

Yggdrasil AB 145c<br />

Z<br />

Zeneca 20, 247b<br />

Ziegler, Karl 234c<br />

Ziegler process 234c–235a<br />

Zilverzeep 12, 80b<br />

Zoladex ® 247a<br />

Zwanenberg & Co. see also Koninklijke<br />

Zwanenberg-Organon<br />

founding history 12, 101<br />

merger history 14, 16, 18, 30, 36a, 36b,<br />

101, 104c<br />

Zwanenberg-Organon see Koninklijke<br />

Zwanenberg-Organon<br />

275


276


Credits<br />

The vast majority of the photographs and illustrations included in this book are historical.<br />

As <strong>AkzoNobel</strong> has to a significant degree evolved through acquisitions and divestments,<br />

the information available about these photographs and illustrations is in many cases either not<br />

complete or non-existent. For this reason, the sources accessed to obtain the photographs<br />

and illustrations included in Tomorrow’s <strong>Answers</strong> <strong>Today</strong> are listed here.<br />

If holders of rights could be identified and permissions obtained, the name of the holder is<br />

listed instead of the source directly accessed. If known, the photographer or maker of the<br />

illustration is listed in italics below the source or holder of rights.<br />

Agis, Maurice (© c/o Pictoright Amsterdam 2008) 59<br />

Airbus Deutschland<br />

M. Lindner 29<br />

Akzo Nobel AB (Communications, Stockholm) 120, 132, 135,<br />

142, 146, 147, 172, 175, 177, 178, 181L, 183<br />

Akzo Nobel Car Refinishes (Sassenheim)<br />

Studio Van der Horst 55<br />

Akzo Nobel Chemicals Inc. (Commercial Services, Chicago) 114<br />

Akzo Nobel Deco A/S (Sales, Copenhagen) 156, 159, 161, 162,<br />

163<br />

Akzo Nobel Decorative Coatings AB (Communications,<br />

Malmö) 164, 167, 168, 169, 171, 255<br />

Akzo Nobel N.V. (Corporate Archive, Arnhem) 22, 40, 43L, 47,<br />

62, 66, 72, 75, 77, 82, 84, 85, 87, 90, 93, 117, 252, 261<br />

Aviodrome Luchtfotografie, Lelystad 37<br />

Hoedemakers, Paul 69<br />

Leemans, Ad 65<br />

Puffelen Jr., P.J. van 24<br />

Versnel, Jan 39<br />

VGF Photoarchive 34<br />

Akzo Nobel Powder Coatings Ltd (Communications, Felling)<br />

221R<br />

Akzo Nobel Surface Chemistry AB (R&D, Stenungsund)<br />

184, 187, 188, 189, 191<br />

Akzo Nobel UK Ltd (Company Secretarial, London) 200, 2003L,<br />

2003R, 207, 209L, 209R, 210, 211<br />

<strong>AkzoNobel</strong> (formerly ICI Corporate Communications, London)<br />

224, 227, 229, 231, 233L, 233R, 237, 239, 245L, 245R, 247L, 247R<br />

<strong>AkzoNobel</strong> (formerly ICI Communications, Slough) 243<br />

<strong>AkzoNobel</strong> Corporate Communications 6, 71<br />

Alfred Nobel Foundation (Stockholm) 124, 127, 130, 131<br />

ANP foto (The Hague) 43R<br />

Bofors (Corporate Archive, Karlskoga) 136, 139, 141T, 141B<br />

Collectie Gemeentearchief (Rotterdam) 78<br />

Crown Paints (Marketing, Darwen) 192, 195L, 195R<br />

Eka Chemicals (Communications, Göteborg) 148, 151, 153, 155<br />

Eran Oppenheimer Foto 258<br />

Hema (Amsterdam) 61<br />

International Paint Ltd (Communications/ Company<br />

Secretarial, London) 214, 217, 218, 219, 221L<br />

International Protective Coatings (Communications, London)<br />

257<br />

Intervet International (Boxmeer) 108, 111L, 111R,<br />

Jones, Peter 59<br />

Judd, Donald (Art© Judd Foundation. Licensed by VAGA, NY /<br />

Pictoright Amsterdam 2008) 61<br />

Lohse, Richard Paul (© c/o Pictoright Amsterdam, 2008) 60<br />

N.V. Organon (Oss) 29, 100, 103, 105, 107T, 107B<br />

Pepsi & Co (Utrecht) 94, 97, 99<br />

REpower Systems A.G. (Hamburg) 257<br />

Rietveld, Gerrit (© c/o Pictoright Amsterdam 2008) 59<br />

Sara Lee (Utrecht) 81<br />

Scola, Ettore 60<br />

Sikkens (Trade, Sassenheim)<br />

Julius van Dijk 57<br />

Sikkens Foundation (Sassenheim) 59, 60, 61<br />

Sikkens Painters’ Museum (Sassenheim) 48, 51, 53B, 53T<br />

Studio Van der Horst 58<br />

Studio Toivo Steen 261<br />

277


278


Produced by <strong>AkzoNobel</strong> Corporate Communications<br />

Editorial Board<br />

John McLaren – Director of Corporate Communications (<strong>AkzoNobel</strong>)<br />

Peter de Haan – Head of Internal Communications (<strong>AkzoNobel</strong>)<br />

Berry Oonk – Head of Corporate Branding (<strong>AkzoNobel</strong>)<br />

Editor Jonathan Steffen, The Corporate Story Ltd, Woking, UK<br />

Assistant Editors Ian Cressie (<strong>AkzoNobel</strong>), David Lichtneker (<strong>AkzoNobel</strong>)<br />

Indexing ISB&Index, Stitswerd, Netherlands<br />

Design Manager Pepe Vargas (<strong>AkzoNobel</strong>)<br />

Design Solar Initiative, Amsterdam, Netherlands<br />

Lithography and printing Drukkerij Tesink BV, Zutphen, Netherlands<br />

279


www.akzonobel.com<br />

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behind us, we have a long history of achievement.<br />

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