Milacron Settles Patent Disputes with SIPA and Boy

CINCINNATI, Ohio – February 27, 2002….Milacron Inc. (NYSE: MZ) today announced it had finalized a license agreement with SIPA S.p.A., SIPA North America, Inc. and Zoppas Industries S.p.A., settling their litigation with respect to patented technology on plastic molding machines on a mutually acceptable basis. According to the agreement, Milacron will grant SIPA S.p.A. a paid-up, non-exclusive license to use the patented control technology, and the suit pending between them in the Federal District Court for the Southern District of Ohio, as well as the claims pending before the International Trade Commission, will be dismissed. Milacron also confirmed it had reached a settlement earlier this year with Boy Machines Inc. and its European affiliates concerning the same patented technology.

The agreements, whose exact terms were not disclosed, will have no material effect on Milacron’s earnings or cash flow, the company said.

"We’re very pleased that SIPA has acknowledged the value of our patent and has agreed to a license," said Harold J. Faig, Milacron group vice president for plastics technologies. "Now they, Boy and others have the opportunity to offer their U.S. customers the benefits of PC-based controls on their plastics machinery. And while we remain committed to actively protecting our patented intellectual property, we are willing to grant other machinery makers the same opportunity on terms that permit fair competition," he added.

In July 2001, Milacron filed a complaint with the International Trade Commission alleging that numerous imported plastics injection molding machines were infringing on the company’s U.S. patent and thus violating section 337 of the Tariff Act of 1930. In the complaint, Milacron cited the products of four companies in particular: SIPA, Boy, Sandretto USA, Inc. and Sidel Inc. and their respective European affiliate companies. Subsequently, in August 2001, the ITC announced it was initiating an investigation of the claim.

Milacron and Sandretto reached an agreement on the issue in October 2001, whereby in consideration of a confidential monetary payment, Sandretto and its affiliates were granted a paid-up, non-exclusive license to use this technology in their products. Milacron settled with Boy in January, 2002. Thus, of the four companies named in the complaint, only Sidel Inc. has yet to settle with Milacron.

Over the past two years, Milacron has resolved similar infringement issues with many other companies including Husky Injection Molding Systems, SIG Plastics Technologies and UBE Machinery, allowing them to use Milacron’s patented technology in their products on mutually agreeable terms

_________________________

Milacron Inc. is a world leader in plastics processing and metalworking technologies with major manufacturing facilities in North America, Europe and Asia and 10,000 employees worldwide. Plastics technologies include injection molding machines, blow molding equipment, extrusion systems and wear items, mold bases and mold components, as well as aftermarket and MRO (maintenance, repair and operating) parts and services. Metalworking technologies include carbide metalcutting inserts, tool holders, carbide and high-speed steel round tools, metalworking fluids, precision grinding wheels and carbide wear parts. For further information, visit the company's web site or call the toll-free investor hot line: 800-909-MILA (800-909-6452).