Mr. Hüseyin Bilmaç, General Manager of VitrA Fix Building Chemicals

Insulation Journal: When will you launch VitrA Therm External Thermal Insulation Composite System ?

Hüseyin Bilmaç: We have been unofficially testing VitrA Therm External Thermal Insulation Composite System at various applications during the last six months. Applications have been carried out with applicator dealers of our solution partner at an area of approximately fifteen thousand square meters during the said period of time. We have carried out ongoing R&D activities for development of the system for about one and half year. We have had complementary products of the system tested by independent organizations at abroad during this process. I can state that we have produced an assertive product. We have official reports obtained from international organizations. We have also had opportunities to test ourselves, and make comparisons with competing products at the marketplace. We have them tested by our applicator vendors, applicator vendors of our solution partner, and applicator vendors of certain competitors at construction sites, and received their critics. We have conducted final application at the outer façade of our Bozüyük factory building. We have received the first official order in October through one of our applicator dealers: a site comprised of 6 blocks at Göztepe, Istanbul. Outer façade application is being currently carried out with VitrA Therm. We plan to launch the product prior to Istanbul Building Fair. However, we have conducted preliminary promotion of the product at Baucon Yapex Antalya Fair in order to catch the season especially in Southern regions. VitrA Therm External Thermal Insulation Composite System may be obtained from Eczacıbaşı Koramic Building Chemicals or Intema, our sales company, as well as at the points of sale established by Intema throughout Turkey.

Insulation Journal: How many applicator dealers do you consider to have? This is problematic a bit...

Hüseyin Bilmaç: This is really one of the most important matters for us. In addition to our present applicator dealers, there are five more candidates with whom we plan to conclude a contract in the year 2006. Additionally, Jotun, i.e. our solution partner, has about twenty applicator dealers throughout Turkey. We shall bring together applicator dealers of Jotun and applicator dealers of Vitra Fix starting from December for the purpose of bringing applicator dealership practices under a common logic, and carry out joint training activities these activities shall be repeated periodically in a routine manner. Upon completion of these training activities, our applicator dealers shall be the applicators authorized by technical teams of Vitrafix and Jotun. Consequently, the system to be applied by us shall be guaranteed.

Insulation Journal: Please tell us about components of the system.

Hüseyin Bilmaç: We offer two alternatives for the final layer. Over the plaster with VitrA Fix final later texture, we use acrylic paints produced by Jotun, or we directly use textured paints of Jotun as the final layer. It was very important for us that Jotun is a globally well known brand associated with quality, and has brought this quality to Turkey. We have resolved to cooperate with Jotun due to technical reasons, and more importantly, since our operation mentalities were similar. We procure rock wool from İzocam. We also procure EPS and XPS plates from İzocam and Orcan. We procure mechanical fixing anchors from Ejot, fibermesh from Vertex, a subsidiary of Saint Gobain. Likewise, we shall cooperate with few leading companies of the sector including Schlüter for procurement of profiles. We wish to establish an extremely smooth system. A matter which should be underlined at this point is that prices are still dominant factor at Turkish building sector like many other sectors. What we attempt ensure as a director of the company and my colleagues is a system with quality components which is offered against market prices. We have concentrated our efforts on achievement of this objective

Insulation Journal: How shall VitrA Therm contribute to the market? Shall you offer something different to consumers?

Hüseyin Bilmaç: Generally XPS and EPS plates are preferred in Turkey. However, rock wool is used for external thermal insulation in the developed western countries. Rock wool does not only provide thermal insulation, but also provides sound insulation. It also has a higher resistance to fire when compared to other products. We do not oppose XPS and EPS. However, as VitrA Therm, we shall attempt to propose rock wool boards in the first place. We wish to distinguish ourselves from competitors at this point. In other words, our primary choice would be rock wool, second choice would be EPS, and the last choice would be XPS boards. We shall concentrate our advertising concept on this preference since we wish to become a specialist in this area. In this regard, we may not have high expectations in terms of turnover, but we have assumed it our primary mission to ensure that international standards are accepted at Turkish building sector. Our objective is to improve Vitra brand by maintaining its image associated with superior quality. We are distinguished with our brand.

Insulation Journal: What were the developments in VitrA Fix Building Chemicals in the year 2005?

Hüseyin Bilmaç: We have seven main groups of products. We have launched two new products in the field of tile adhesive mortars in the year 2005. One of these new products is Floor Plus which is a special product used on floors, is fluid, easy- to-apply product due to its self-levelling properties, and used to adhere large tiles to large spaces. Second product is VitrA Fix Ultra System which is a high performance, and double component product used to adhere large tiles to outer façades of buildings up to a certain height. Although we have added no new product to our epoxy and cement based products in the group of grouting materials, we have enriched our group of additives with many new products. Some of them have been launched, and some shall be launched in the year 2006. Among these new products are VitrA Fix Joint Cleaner which is used to clean joints, and VitrA Fix Antimold which is used to remove mold and moss formations which take place at wet locations of buildings. We have also a stain remover used to remove stains from the system and tiles after application, a paint remover, and a surface protection product which is used to prevent formation of stains on surfaces such as marble, granite, porcelain tile, and etc. However our efforts have been focused on the group of water proofing materials and flooring group. In addition to the available products such as VitrA Fix Hydrostop, VitrA Fix Proof, and VitrA Fix Hydrosil, we have improved our portfolio of products by adding five new products, namely VitrA Fix Proof SS, VitrA Fix Proof PE, VitrA Fix Proof SS Priming Agent, VitrA Fix Proof Sulfate, and VitrA Fix Proof HG. All the activities required for launching of these products have been completed, and shall be available at the marketplace starting from the year 2006. In fact, Proof SS, Proof PE, and Proof SS Priming Agent are the components of a set of three products named VitrA Fix Water Stop System which ensures water proofing from the negative side. We achieve to reinforce our position in the water insulation sector with our portfolio improved with these new products.

Insulation Journal: What are your general comments about construction and insulation sectors?

Hüseyin Bilmaç: We see a considerable expansion at the marketplace. This has also had a positive impact on our sales volumes. Although a general pause had been experienced at the marketplace in August, we expect that the growth experienced in the construction sector in the first half of the year 2005 shall accelerate in the year 2006. Therefore, like our competitors, we wish to become ready for the year 2006 with a portfolio reinforced with new products as well as a sufficient capacity. The first one of our activities intended to increase the capacity is a new full automatic production line which we consider to start at the end of December, and complete in the year 2006. Secondly, we plan to establish a production facility in Mersin. This facility would be useful for increasing our sales in the Southeastern Anatolia Region, and would also be useful at the Middle East Market where we aim to be the leading seller in subsequent periods. All these investments are based on our positive expectations about the developments in the construction sector in the year 2006.

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