Eastman to Use Planalytics GasBuyer to Help Manage Volatile Natural Gas Prices

WAYNE, Pa., Feb. 12, 2003 -- Planalytics Inc. announced today that Eastman Chemical Company (NYSE: EMN) has licensed Planalytics(R) GasBuyer(SM), a web-delivered risk management tool for purchasing and hedging natural gas, to help manage volatile natural gas prices.

Planalytics GasBuyer helps clients lower costs and minimize risk by identifying when it is a good time to buy natural gas and, just as importantly, when it is not. The tool outperformed the market by 11 percent during the most recent six-month period. The average price of natural gas for clients following the GasBuyer's suggestions was $3.848 per MMBtu for September 2002 through February 2003 futures contracts. This was $0.48 per MMBtu, or 11 percent, lower than the average NYMEX month-end settlement price of $4.328 per MMBtu during this same period.

"Using GasBuyer will enhance our ability to assess market prices for natural gas several months and up to a year into the future," said Ray Ratheal, Eastman's director of feedstock and energy procurement. "This will help prepare for turns in the market, contain our natural gas costs and reduce our price risk exposure."

Planalytics GasBuyer uses proprietary long-range climate forecasts and inventory change projections, weekly storage data, real-time NYMEX futures contract pricing, and advanced neural network technologies to evaluate natural gas prices for each of the next twelve months. Based on what it knows about future weather and how it will ultimately impact the market, Planalytics GasBuyer determines if natural gas is currently "undervalued" or "overvalued" and then provides clients with daily buying, selling and hedging actions that reduce risk and take advantage of opportunities presented by fluctuating prices. The tool's year-ahead view of the market allows clients to address their natural gas needs gradually, proactively and cost-effectively while minimizing the negative effects of shorter-term price volatility.

Eastman Chemical Company, headquartered in Kingsport, Tennessee, U.S.A., manufactures and markets plastics, chemicals and fibers worldwide. The company employs approximately 15,800 people in more than 30 countries and had 2002 sales of US$5.3 billion. Visit Eastman's Web site at http://www.eastman.com for more information about the company.

Wayne, PA-based Planalytics (http://www.planalytics.com) helps companies make more effective and profitable decisions by forecasting weather-driven changes in supply, demand and prices for products and services. Companies in all industries use Planalytics' technologies to capitalize on market opportunities and improve financial results by hedging the impacts of weather volatility.

SOURCE Planalytics Inc.

Web Site: http://www.planalytics.com