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Kraton Performance Polymers, Inc. Announces the Establishment of a Joint Venture Framework With Formosa Petrochemical Corporation

HOUSTON July 14, 2011 Taiwan December 31, 2011 $165 to $200 million

Kevin M. Fogarty

Asia Pacific Wilfred Wang

As proposed in the framework agreement, the design of the joint venture plant will incorporate Kraton’s proprietary polymerization technology, and the plant will produce Kraton’s high value-added HSBC polymer grades.  The plant will be operated by the joint venture and Kraton will undertake the global marketing of all products manufactured at the facility.

ABOUT KRATON

Belpre, Ohio Germany France Brazil Japan Japan www.kraton.com

Kraton, the Kraton logo and design, and the "Giving Innovators their Edge" tagline are all trademarks of Kraton Polymers LLC.

Forward Looking Statements

This press release includes "forward-looking statements," which are statements other than statements of historical fact and are often characterized by the use of words such as "believes," "expects," "estimates," "projects," "may," "will," "intends," "plans" or "anticipates," or by discussions of strategy, plans or intentions, including those with respect to the formation of a joint venture, its cost, and the timing, construction and operation of the related plant. All forward-looking statements in this press release are made based on management’s current expectations and estimates, which involve risks, uncertainties and other factors that could cause results to differ materially from those expressed in forward-looking statements. These risks and uncertainties are more fully described in "Part I. Item 1A. Risk Factors" contained in our Annual Report on Form 10-K, as filed with the Securities and Exchange Commission and as subsequently updated in our Quarterly Reports on Form 10-Q. We hereby make reference to all such filings for all purposes. Readers are cautioned not to place undue reliance on forward-looking statements. We assume no obligation to update such information.

http://photos.prnewswire.com/prnh/20100728/DA42514LOGO

H. Gene Shiels

SOURCE Kraton Performance Polymers, Inc.

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