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B2B Chemical Sites Form Alliance

fob.com Inc., a builder and operator of B2B purchasing hubs that enable online procurement of items needed for manufacturing, formed a strategic relationship with ChemConnect Inc.

fob.com's chemical hub, fobchemicals.com, is designed to aggregate chemical purchasers and drive efficiencies across the supply chain. ChemConnect is a global B2B Internet exchange for chemicals and plastics.

The relationship is the first step in a process of market cooperation between the two Internet companies.

Financial arrangements between the companies were not disclosed.

"ChemConnect is a complementary business to fobchemicals.com," said Richard Payne, president and chief executive officer of fobchemicals.com.

"It provides us a valuable supply resource to our buyer-centric model, in which we aggregate the buying power of small- to medium-sized buyers. This gives the chemical purchaser an opportunity to enjoy one-stop shopping at a fair market price."

"The time has come for B2B players to leverage the advantages of their business models for their customers, and fobchemicals is among the first wave of companies to recognize this," said John Beasley, ChemConnect CEO.

ChemConnect's World Chemical Exchange is an open, neutral market for companies seeking to find trading partners, negotiate pricing and complete transactions online.

fob.com currently manages fobchemicals.com, which opened in November 1999, and fobpaper.com, which launched in March 2000. fobchemicals.com provides online access to more than 330,000 chemicals from more than 8,000 manufacturers, the company says.