July 2006 Announcement of Corporate Reorganization

Bekum America Corporation announced a corporate reorganization and the appointment of Martin Stark to the vacant position of Chief Executive Officer. As CEO, Mr. Stark will continue as President and will concentrate on strategic development and market expansion. 

As part of the reorganization, Mr. Stark announced that Steve London has been promoted to the newly created position of Executive Vice President and Chief Operating Officer. Mr. London previously served as Vice President - Manufacturing Operations. 

In addition, the Company also announced the appointments of Mr. Gary Carr as National Sales Director and Mr. Peter Bogrett as its Director of Materials Management. 

All appointments are effective July 1, 2006.