"Eastman has always been at the forefront of adopting new technology to enhance their business practices. We’re thrilled to have them as a Kiodex Risk WorkbenchSM customer," said R. Martin Chavez, Kiodex CEO. "We’re certain that this is just the beginning of similar announcements from Kiodex as more corporations realize the potential for tremendous cost savings over the long term by implementing efficient hedging strategies," added Raj Mahajan, Kiodex President. "The Risk WorkbenchSM gives them the tools to achieve this."
"Eastman Chemical recognizes that energy and feedstock price volatility is here to stay," said Lloyd B. Webb, Procurement Manager, Global Chemical and Energy Procurement at Eastman Chemical. "We evaluated several other risk management systems, and it was clear that the Kiodex Risk Workbench’s three core services -- sophisticated pricing calculators, readily available market data, and customizable risk reports -- were the best combination of tools to help us manage that volatility."
The Kiodex Risk WorkbenchSM is a Web-based risk management system that assists corporations such as Eastman in managing their earnings exposure to energy price risk. Unlike other risk management systems, the Kiodex Risk WorkbenchSM integrates its three core services into a single application and will provide direct trade feeds from leading online energy trading platforms.
"In particular, two Kiodex Risk WorkbenchSM features that Eastman values are its complex scenario analysis functionalities and its user-friendly administration capabilities," stated Mr. Webb. "We saw the ability of the Risk WorkbenchSM to create sophisticated "what if?" scenarios as a very powerful asset when making strategic hedging decisions. Also, having the administrative ability to view all of our positions across the entire company from any desktop with a web browser will ultimately save our company both time and money."
Prior to becoming a Kiodex customer, Eastman participated in the eight-week Risk WorkbenchSM Beta Program, which concluded last month. Other participants included a cross section of Fortune 1000 corporations representing the Airline, Chemical, Railroad, Food and Beverage, and Oil and Gas industries. Other industries that will benefit from Kiodex’s risk management services include the Manufacturing, Trucking, Tobacco, Mining and Metals, Construction, and Pulp and Paper industries.