6-K 1 a2161036z6-k.txt FORMT 6-K FORM 6-K SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 REPORT OF A FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 OF THE SECURITIES ACT OF 1934 For the month of July 2005 --------------------------------------------------------- Acetex Corporation -------------------------------------------------------------------------------- (Translation of registrant's name into English) 750 World Trade Centre, 999 Canada Place, Vancouver, British Columbia, Canada V6C 3E1 -------------------------------------------------------------------------------- (Translation of principal executive offices) [Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.] Form 20-F Form 40-F /X/ ----------- ----------- [Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.] Yes No /X/ ------------ ----------- [If "Yes" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82-______________] This Form 6-K consists of a press release announcing European commission approval for Celanese acquisition of Acetex. Page 2 [ACETEX LOGO] FOR IMMEDIATE RELEASE EUROPEAN COMMISSION GRANTS UNCONDITIONAL APPROVAL FOR CELANESE ACQUISITION OF ACETEX VANCOUVER, BC, CANADA - JULY 13, 2005 - Acetex Corporation (TSX: ATX) announced that the European Commission ("EC") has granted Celanese Corporation unconditional approval of the acquisition of Acetex. As all necessary regulatory permissions have now been given and, as Acetex shareholders approved the transaction on January 12, 2005, Celanese expects to close the transaction on or about July 20, 2005. ACETEX CORPORATION HAS TWO PRIMARY BUSINESSES -- ITS EUROPEAN ACETYLS BUSINESS AND THE SPECIALTY POLYMERS AND FILMS BUSINESS. OUR ACETYLS BUSINESS IS EUROPE'S SECOND LARGEST PRODUCER OF ACETIC ACID AND POLYVINYL ALCOHOL AND THIRD LARGEST PRODUCER OF VINYL ACETATE MONOMER. THESE CHEMICALS AND THEIR DERIVATIVES ARE USED IN A WIDE RANGE OF APPLICATIONS IN THE AUTOMOTIVE, CONSTRUCTION, PACKAGING, PHARMACEUTICAL AND TEXTILE INDUSTRIES. SPECIALTY POLYMERS DEVELOPED AND MANUFACTURED BY ACETEX ARE USED IN THE MANUFACTURE OF A VARIETY OF PLASTICS PRODUCTS, INCLUDING PACKAGING AND LAMINATING PRODUCTS, AUTO PARTS, ADHESIVES AND MEDICAL PRODUCTS. THE FILMS BUSINESS FOCUSES ON PRODUCTS FOR THE AGRICULTURAL, HORTICULTURAL AND CONSTRUCTION INDUSTRIES. ACETEX DIRECTS ITS OPERATIONS FROM ITS CORPORATE HEAD OFFICE IN VANCOUVER, CANADA. ACETEX HAS PLANTS IN FRANCE, SPAIN, AND EDMONTON, ALBERTA, AND SELLS TO CUSTOMERS PRIMARILY IN EUROPE, THE UNITED STATES, AND CANADA. ACETEX'S COMMON SHARES ARE LISTED FOR TRADING UNDER THE SYMBOL "ATX" ON THE TSX, WHICH HAS NEITHER APPROVED NOR DISAPPROVED THE INFORMATION CONTAINED HEREIN. INFORMATION IN THIS NEWS RELEASE MAY CONTAIN FORWARD-LOOKING STATEMENTS. BY THEIR NATURE, SUCH FORWARD-LOOKING STATEMENTS INVOLVE RISKS AND UNCERTAINTIES THAT COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE CONTEMPLATED BY THE FORWARD-LOOKING STATEMENTS. THEY INCLUDE WORLD WIDE ECONOMIC CONDITIONS, ACTIONS OF COMPETITORS, THE AVAILABILITY AND COST OF FEEDSTOCK, THE ABILITY TO IMPLEMENT BUSINESS STRATEGIES AND PURSUE BUSINESS OPPORTUNITIES, CONDITIONS IN THE CHEMICALS BUSINESS INCLUDING THE SUPPLY AND DEMAND .FOR INDUSTRIAL CHEMICALS AND THE RISKS ATTENDANT WITH PRODUCING AND MARKETING INDUSTRIAL CHEMICALS AND CARRYING OUT MAJOR CAPITAL PROJECTS. FORWARD-LOOKING STATEMENTS IN THIS RELEASE ARE MADE PURSUANT TO THE SAFE HARBOR PROVISIONS OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995. INVESTORS OF ACETEX ARE CAUTIONED THAT ALL FORWARD-LOOKING STATEMENTS INVOLVE RISKS AND UNCERTAINTIES, INCLUDING THOSE RISKS AND UNCERTAINTIES DETAILED IN THE FILINGS WITH THE U.S. SECURITIES AND EXCHANGE COMMISSION (SEC) AND THE APPLICABLE CANADIAN SECURITIES COMMISSIONS OF ACETEX AND WITH THE SEC, COPIES OF WHICH ARE AVAILABLE FROM ACETEX. FOR FURTHER INFORMATION CONTACT: LYNN HAYCOCK (604) 688-9600 OR VIA E-MAIL AT haycock@acetex.com. Page 3 SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. ACETEX CORPORATION ------------------------------- (Registrant) DATE: July 15, 2005 By: "Brooke N. Wade" ------------------------------- Brooke N. Wade Chief Executive Officer

NAME OF SHAREHOLDER NUMBER OF COMMON SHARES % OF COMMON SHARES Brooke N. Wade 7,966,846 23%

NUMBER OF COMMON SHARES PRESENT POSITIONS DATE FIRST BENEFICIALLY NAME AND MUNICIPALITY OF AND OFFICES WITH BECAME A PRESENT PRINCIPAL OWNED OR RESIDENCE THE CORPORATION DIRECTOR OCCUPATION CONTROLLED ------------------------ ----------------- ----------------- ---------------------------- ---------------- Brooke N. Wade, Chairman, Chief December 1, 1994 Chairman and Chief Executive 7,966,846 Vancouver, B.C. Executive Officer Officer of the Company. and Director Kenneth E. Vidalin, President, Chief December 1, 1994 President and Chief 2,530,565 Vancouver, B.C. Operating Officer Operating Officer of the and Director Company. John B. Zaozirny, Q.C. Director January 19, 1995 Counsel, McCarthy Tetrault. 36,960 Calgary, Alberta John L. Garcia, Ph.D. Director May 11, 1995 Managing Director 536,960 London, U.K. AEA Investors Inc. Pierre Dutheil Director November 22, 1995 Independent Corporate Advisor 36,960 Paris, France Arnold L. Cader Director October 17, 2003 Independent Business 38,613 Toronto, Ontario Consultant

--------------------------------------------------------------------------------------------------------------------- LONG-TERM COMPENSATION ANNUAL COMPENSATION AWARDS ----------------------------------------------------------------------------------------------------------------------- NAME AND OTHER ANNUAL ALL OTHER PRINCIPAL COMPENSATION(2) OPTIONS COMPENSATION POSITION YEAR SALARY BONUS ($) ($) GRANTED (#) ($) ----------------------------------------------------------------------------------------------------------------------- Brooke N. Wade, 2004 $425,000 $141,667 $ 5,142 NIL NIL Chairman and Chief 2003 $325,000 $162,500 $ 4,710 NIL NIL Executive Officer 2002 $325,000 $ 41,250 $13,445 NIL NIL ----------------------------------------------------------------------------------------------------------------------- Kenneth E. Vidalin, 2004 $300,000 $ 75,000 $ 3,349 NIL $ 36,895(3) President and Chief 2003 $250,000 $125,000 $ 2,360 NIL NIL Operating Officer 2002 $250,000 $ 25,000 $11,252 NIL NIL ----------------------------------------------------------------------------------------------------------------------- Lori Bondar, 2004 $176,923 $ 62,500 $ 516 150,000 $162,004(4) Chief Financial Officer(1) (employment commenced April 13, 2004) ----------------------------------------------------------------------------------------------------------------------- Jean Pierre Soufflet, 2004 (EURO) 270,000 (EURO) 149,400 (EURO) 6,439 NIL (EURO) 1,530 Vice President and 2003 (EURO) 270,000 (EURO) 80,551 (EURO) 5,897 NIL (EURO) 1,530(5) General Manager Acetex 2002 (EURO) 270,000 (EURO) 79,987 (EURO) 6,300 NIL (EURO) 1,530(5) Chimie ----------------------------------------------------------------------------------------------------------------------- Gary Connaughty, 2004 $350,000 $ 59,500 $31,230 NIL NIL President AT Plastics(1) 2003 $145,833 $157,500 $10,555 NIL $719,775(6) (employment commenced August 6, 2003) -----------------------------------------------------------------------------------------------------------------------

------------------------------------------------------------------------------------------------------------------ PLAN CATEGORY NUMBER OF ACETEX SHARES TO WEIGHTED AVERAGE EXERCISE NUMBER OF OPTIONS BE ISSUED UPON EXERCISE OF PRICE OF OUTSTANDING REMAINING AVAILABLE FOR OUTSTANDING OPTIONS OPTIONS FUTURE ISSUANCE ------------------------------------------------------------------------------------------------------------------ Equity compensation plans 3,214,566 $6.95 564,218 approved by Acetex Shareholders ------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------------- SECURITIES UNEXERCISED OPTIONS AT VALUE OF IN-THE-MONEY OPTIONS ACQUIRED ON AGGREGATE VALUE FY-END AT FY-END EXERCISE REALIZED (#) (CDN $) NAME (#) ($) EXERCISABLE/ UNEXERCISABLE EXERCISABLE/ UNEXERCISEABLE (a) (b) (c) (d) (e) ----------------------------------------------------------------------------------------------------------------------------- Brooke N. Wade NIL NIL NIL NIL ----------------------------------------------------------------------------------------------------------------------------- Kenneth E. Vidalin NIL NIL 781,088/NIL 1,687,150 / NIL ----------------------------------------------------------------------------------------------------------------------------- Lori Bondar NIL NIL NIL/150,000 NIL/ $489,000 ----------------------------------------------------------------------------------------------------------------------------- Jean Pierre Soufflet NIL NIL 200,000/NIL $327,000 / NIL ----------------------------------------------------------------------------------------------------------------------------- Gary Connaughty NIL NIL 70,832 / 41,666 $277,123 / $112,915 -----------------------------------------------------------------------------------------------------------------------------

-------------------------------------------------------------------------------------------------------------------- LENGTH OF MARKET PRICE ORIGINAL OF SECURITIES EXERCISE PRICE OPTION TERM SECURITIES AT TIME OF AT TIME OF REMAINING AT UNDER OPTION REPRICING OR REPRICING OR NEW EXERCISE DATE OF REPRICED OR AMENDMENT AMENDMENT PRICE REPRICING OR NAME DATE OF REPRICING AMENDED ($/SECURITY) ($/SECURITY) ($/SECURITY) AMENDMENT -------------------------------------------------------------------------------------------------------------------- Gary Connaughty October 17, 2003 16,666 $5.25 $15.00 $6.10 7 years -------------------------------------------------------------------------------------------------------------------- Gary Connaughty October 17, 2003 20,833 $5.25 $13.62 $6.10 8 years -------------------------------------------------------------------------------------------------------------------- Gary Connaughty October 17, 2003 45,833 $5.25 $11.58 $6.10 9 years --------------------------------------------------------------------------------------------------------------------

------------------------------------------------------------------------------------------------------------ REMUNERATION YEARS OF SERVICE ------------------------------------------------------------------------------------------------------------ $ 15 20 25 30 35 ------------------------------------------------------------------------------------------------------------ 125,000 33,323 44,431 55,539 66,646 77,754 ------------------------------------------------------------------------------------------------------------ 150,000 40,823 54,431 68,039 81,646 95,254 ------------------------------------------------------------------------------------------------------------ 175,000 48,323 64,431 80,539 96,646 112,754 ------------------------------------------------------------------------------------------------------------ 200,000 55,823 74,431 93,039 111,646 130,254 ------------------------------------------------------------------------------------------------------------ 225,000 63,323 84,431 105,539 126,646 147,754 ------------------------------------------------------------------------------------------------------------ 250,000 70,823 94,431 118,039 141,646 165,254 ------------------------------------------------------------------------------------------------------------ 300,000 85,823 114,431 143,039 171,646 200,254 ------------------------------------------------------------------------------------------------------------ 400,000 115,823 154,431 193,039 231,646 270,254 ------------------------------------------------------------------------------------------------------------ 500,000 145,823 194,431 243,039 291,646 340,254 ------------------------------------------------------------------------------------------------------------ 600,000 175,823 234,431 293,039 351,646 410,254 ------------------------------------------------------------------------------------------------------------ 700,000 205,823 274,431 343,039 411,646 480,254 ------------------------------------------------------------------------------------------------------------ 800,000 235,823 314,431 393,039 471,646 550,254 ------------------------------------------------------------------------------------------------------------

---------------------------------------------------------------------------------------- AGGREGATE INDEBTEDNESS ($) ---------------------------------------------------------------------------------------- PURPOSE TO ACETEX OR ITS SUBSIDIARIES TO ANOTHER ENTITY (a) (b) (c) ---------------------------------------------------------------------------------------- Share purchases CDN $210,000 Nil ---------------------------------------------------------------------------------------- Other Nil Nil ----------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------- LARGEST AMOUNT AMOUNT NUMBER OF OUTSTANDING DURING OUTSTANDING COMMON NAME AND PRINCIPAL YEAR ENDED AS AT THE DATE SHARES SECURITY FOR POSITION DECEMBER 31, 2004 HEREOF PURCHASED INDEBTEDNESS ----------------------------------------------------------------------------------------------------------- Pierre Dutheil CDN $210,000 CDN $210,000 36,960 36,960 Common Director Shares -----------------------------------------------------------------------------------------------------------

------------------------------------------------------------------------------------------------ AT DECEMBER 31 1999 2000 2001 2002 2003 2004 ------------------------------------------------------------------------------------------------ Acetex Common 100 131.15 98.36 76.23 108.36 144.43 ------------------------------------------------------------------------------------------------ S&P/TSX Composite Index 100 107.46 93.95 82.38 104.08 119.03 ------------------------------------------------------------------------------------------------

(US Dollars) ------------------------------------------------------------------------------------- Annual Board Retainer Fee $37,500 ------------------------------------------------------------------------------------- Annual Audit Committee Retainer Fee $ 5,000 ------------------------------------------------------------------------------------- Annual Retainer Fee for Chairman of Human Resources and $ 5,000 Corporate Governance Committee ------------------------------------------------------------------------------------- Annual Retainer Fee for Chairman of Environment Committee $ 2,500 ------------------------------------------------------------------------------------- Board Meeting Attendance Fee $1,250 per meeting -------------------------------------------------------------------------------------

--------------------------------------------------------------------------- DIRECTOR BOARD MEETINGS ATTENDED % ATTENDED --------------------------------------------------------------------------- Arnold Cader 4 of 5 80 --------------------------------------------------------------------------- Pierre Dutheil 5 of 5 100 --------------------------------------------------------------------------- John Garcia, Ph.D. 5 of 5 100 --------------------------------------------------------------------------- Kenneth E. Vidalin 5 of 5 100 --------------------------------------------------------------------------- Brooke N. Wade 5 of 5 100 --------------------------------------------------------------------------- John B. Zaozirny, Q.C. 5 of 5 100 ---------------------------------------------------------------------------

(CDN DOLLARS) ---------------------------------------------------------------------------------------------- AUDIT FEES AUDIT RELATED FEES TAX FEES ALL OTHER FEES TOTAL ---------------------------------------------------------------------------------------------- 2003 $562,000 $182,000 $ 1,000 NIL $745,000 ---------------------------------------------------------------------------------------------- 2004 $432,000 $149,000 $85,000 NIL $666,000 ----------------------------------------------------------------------------------------------

CORPORATION TSX GUIDELINE ALIGNMENT THE CORPORATION'S GOVERNANCE PROCEDURES ----------------------------------------------------------------------------------------------------------------------------------- 1. The Board should explicitly yes The Board, either directly or through Board committees, is responsible assume responsibility for for management or supervision of management of the business and stewardship of th Corporation affairs of the Corporation with the objective of enhancing shareholder and specifically for: value. The Board has adopted a formal mandate setting out its responsibilities. (i) adoption of a strategic yes The Board approves strategic plans of the Corporation. These plans planning process include details of the opportunities and risks of the business. The Board endeavours to hold annual strategy sessions which allow the directors to appreciate planning priorities and provide an opportunity for directors to give constructive feedback to management. Throughout the year, directors also receive strategic updates at regular Board meetings. (ii) identification of the yes The Board, through its Audit Committee, considers risk issues and principal business risks approves corporate policies addressing the management of the risk and and implementation of risk return from credit, market, liquidity and operational risk and such management system other risk management controls as are considered by the Committee to be appropriate for prudent business practice. (iii) succession planning, including yes The Board's Human Resources and Corporate Governance Committee reviews appointing, training and succession planning for senior management, including development and monitoring senior management monitoring of senior management. (iv) communications policy yes The Board has approved a Disclosure Policy covering the timely dissemination of all material information. The policy establishes consistent guidance for determining what information is material, how it is to be disclosed and, to avoid selective disclosure, making all material disclosures on a widely disseminated basis. The Corporation seeks to communicate with its shareholders and other stakeholders through its annual report, quarterly reports, annual information form, news releases, web site, briefing sessions and group meetings. (v) integrity of internal control yes The Audit Committee of the Board requires management to implement and and management information maintain appropriate systems of internal control. The Committee meets systems with the Chief Financial Officer and the Corporation's external auditors to assess the adequacy and effectiveness of these systems. In addition the Board and the Audit Committee have arranged for the Corporation to have Ernst & Young LLP act as internal auditor and report directly to the Audit Committee and the Board. 2. A majority of directors yes Four of six directors standing for election are "unrelated" and have should be "unrelated". no connection or professional association with the Corporation other than as directors. These directors have no other connection or professional relationship with each other. 3. Disclosure for each director yes Based on information provided by directors as to their individual the principles supporting the circumstances, the Board has determined that two of the six persons determination of whether proposed for election to the Board for 2005. are "related". These directors are "unrelated" related persons are the Chairman and Chief Executive Officer (Mr. Wade) and the President and Chief Operating Officer (Mr. Vidalin).

CORPORATION TSX GUIDELINE ALIGNMENT THE CORPORATION'S GOVERNANCE PROCEDURES ----------------------------------------------------------------------------------------------------------------------------------- 10. The Board should assume yes The Human Resources & Corporate Governance Committee monitors best responsibility for, or practices for governance and annually reviews the Corporation's assign to a Committee of governance practices. The Board is responsible for the Corporation's Directors responsibility for, response to these governance guidelines. developing the approach to corporate governance issues. This committee would, among other things, be responsible for the Corporation's response to these governance guidelines. 11. The Board of Directors, together yes Position descriptions are being developed for the Board and the Chief with the Chief Executive Officer, Executive Officer. These guidelines will define the roles and should develop position responsibilities of the Board and management and delineate the lines descriptions for the Board and of accountability that exist within the Corporation. The guidelines for the Chief Executive Officer, will set out those matters requiring Board approval and those of which including the definition of the the Board must be advised following action by management. The Human limits to management's Resources and Corporate Governance Committee reviews and approves responsibilities. The Board corporate objectives which the Chief Executive Officer is responsible should approve or develop for meeting. The Committee also conducts the annual assessment of the corporate objectives which the Chief Executive Officer's performance against these objectives for Chief Executive Officer is purposes of determining his bonus. responsible for meeting and assess the Chief Executive Officer against these objectives. 12. The Board should implement yes Given that the Chairman and Chief Executive Officer has a substantial structures and procedures which interest in the Corporation the Board believes that the interests of ensure that it can function the Corporation and the management are aligned and that it is not independently of management. An necessary or appropriate to have any non-executive chair or lead appropriate structure would be to directors. However, the unrelated directors of the Board meet (i) appoint a chair of the board separately and apart from management to discuss the Corporation's who is not a member of management affairs and the performance of management. with responsibility to ensure that the Board discharges its responsibilities or (ii) assign this responsibility to an outside director, sometimes referred to as the "lead director". The chair or lead director should ensure that the board carries out its responsibilities effectively which will involve the Board meeting on a regular basis without management present and may involve assigning the responsibility for administering the board's relationship to management to a committee of the Board.

CORPORATION TSX GUIDELINE ALIGNMENT THE CORPORATION'S GOVERNANCE PROCEDURES ----------------------------------------------------------------------------------------------------------------------------------- 13. The Audit Committee should yes The Audit Committee is composed of unrelated directors and has be composed of only unrelated determined that all members of the Committee are financially literate. directors. All of the members Two of four members have accounting or related financial expertise of the committee should be and one of the members is a financial expert. The roles and financially literate and at responsibilities of the Audit Committee are set out in the Committee's least one member should have mandate and an overview of those roles and responsibilities is accounting or related financial included in the Report of the Audit Committee in this Proxy Circular. expertise. Each Board shall determine the definition of and The Audit Committee meets separately (without the management present) criteria for "financial with the Auditors and discusses with them the various aspects of the literacy" and "accounting or Committee's mandate. related financial expertise". The Board should adopt a As outlined in its mandate, the Audit Committee requires management to charter for the Audit Committee implement and maintain appropriate internal controls. which sets out the roles and responsibilities of the The Audit Committee mandate, which sets out the roles and committee. The Audit Committee responsibilities of the Committee, is reviewed by the Board annually. should have direct communication channels with the internal and the external auditors to discuss and review specific issues as appropriate. The Audit Committee duties should include oversight responsibility for management reporting on internal control. While it is management's responsibility to design and implement an effective system of internal control, it is the responsibility of the Audit Committee to ensure that management has done so. 14. Implement a system to enable an yes Individual directors may, with the concurrence of the Chair of the individual director to engage Human Resources & Corporate Governance Committee or the Audit outside advisors at the Committee, engage outside advisors at the expense of the Corporation. Corporation's expense in appropriate circumstances. The engagement of the outside advisor should be subject to the approval of an appropriate Committee of the Board.

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