What changed in this filing

/stocks — the workspaceLOADING

Item 1. Business

2022-02-15 compared with 2021-02-16 · 33 added, 31 removed, 247 unchanged (21% of the section changed)

2 unchanged sentences

Each of our subsidiaries manages its own assets and liabilities.

Afton manufactures and sells petroleum additives, while Ethyl represents the sale of antiknock compounds in North America, as well as certain contracted manufacturing and services.

Afton manufactures and sells petroleum additives, while Ethyl represents the sale of antiknock compounds in North America, as well as contract manufacturing and services.

NewMarket Development manages the real property that we own in Virginia.

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Our corporate offices are included in this acreage, as well as a research and testing facility, and several acres dedicated to other uses.

We are currently exploring various development opportunities for portions of the property as the demand warrants.

We are exploring various development opportunities for portions of the property as the demand warrants.

This effort is ongoing in nature, as we have no specific timeline for any future developments.

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Petroleum Additives —Petroleum additives are used in lubricating oils and fuels to enhance their performance in machinery, vehicles, and other equipment.

We manufacture chemical components that are selected to perform one or more specific functions and combine those chemicals with other chemicals or components to form additive packages for

use in specified end-user applications.

We manufacture chemical components that are selected to perform one or more specific functions and combine those chemicals with other chemicals or components to form additive packages for use in specified end-user applications.

The petroleum additives market is a global marketplace, with customers ranging from large, integrated oil companies to national, regional, and independent companies.

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Other products in this area include power steering fluids, shock absorber fluids, gear oils, and lubricants for heavy machinery.

These products must conform to highly prescribed specifications developed by vehicle OEMs for specific models or designs.

Additionally, as a leading additive supplier to the electric vehicle market, we are investing in and delivering new technologies to enable electric vehicle market growth to help reduce carbon emissions.

We anticipated and are responding to the need for future lubricants to consider conductivity, the effect of electric fields, low friction/high speed, noise, and battery cooling or copper wire drawing.

All of these products must conform to highly prescribed specifications developed by vehicle OEMs for specific models or designs.

These additives are generally sold to oil companies for ultimate sale to vehicle OEMs for new vehicles (factory-fill), service dealers for aftermarket servicing (service-fill), retailers, and distributors.

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We believe we are one of the four largest manufacturers and suppliers in the petroleum additives marketplace.

In the lubricant additives submarket, our major competitors are The Lubrizol Corporation (a wholly-owned subsidiary of Berkshire Hathaway Inc.), Infineum (a joint venture between ExxonMobil Chemical and Royal Dutch Shell plc), and Chevron Oronite Company LLC.

There are several other suppliers in the worldwide market who are competitors in their particular product areas.

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We place the highest level of commitment on safety and strive to operate our business every day focused on its importance.

Keeping our employees safe is a management priority, and 2020 was a particularly challenging year in that regard because of the COVID-19 pandemic.

While many of our employees were required to work from home due to government mandates, all of our facilities continued to be operational throughout 2020 since the chemical industry and our products are considered essential for the transportation of goods and services.

For employees working onsite at our facilities, management invested significant time and effort to ensure the safety of our employees, above and beyond local government requirements and guidance, and to help mitigate the potential for transmission of COVID-19 onsite.

Keeping our employees safe is a management priority, and the past two years were particularly challenging in that regard because of the COVID-19 pandemic.

While many of our employees were required to work from home due to government mandates, all of our facilities continued to be operational throughout 2020 and 2021 since the chemical industry and our products are considered essential for the transportation of goods and services.

We have a diverse workforce, representative of the geographic regions in which we do business.

12 unchanged sentences

We use a variety of raw materials and chemicals in our manufacturing and blending processes and believe the sources of these are adequate for our current operations.

The primary raw materials for Afton are base oil, polyisobutylene, antioxidants, alcohols, solvents, sulfonates, friction modifiers, olefins, and copolymers.

The primary raw materials for Afton are base oil, polyisobutylene, antioxidants, alcohols, solvents, detergents, friction modifiers, olefins, and copolymers.

As the performance requirements of our products become more complex, we often work with highly specialized suppliers.

2 unchanged sentences

The backup position could take additional time to implement, but we are confident we can ensure continued supply for our customers.

We continuously monitor our raw material supply situation and adjust our procurement strategies as conditions require.

During 2021, global supply chain disruptions negatively affected both supply, as well as distribution and transportation networks.

While many of these challenges continue into 2022, we continuously monitor our raw material supply situation and adjust our procurement strategies as conditions require.

Research, Development, and Testing

4 unchanged sentences

Afton continues to successfully implement techniques to drive efficiency in technology discovery and development, while expanding our internal testing, research, and customer support capabilities around the world in support of our goals of providing market-driven technical leadership and performance-based differentiation.

In 2020, we continued to invest in and progress our technology plan while successfully managing safety during the COVID-19 pandemic.

In 2021, we continued to invest in and progress our technology plans.

Afton continues to develop new products and technology to meet evolving OEM requirements, including specific demands of hybrid and electric vehicles, industry specifications, and environmental regulations, and to keep our customers well-positioned for the future.

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Our leading-edge capabilities and fundamental understanding in the areas of combustion, friction control, energy efficiency, and wear prevention are used to set the stage for next-generation products in all areas.

In 2020, we successfully launched new technologies across all of our lubricant additive and fuel additive product areas.

We developed new engine oil products for passenger cars and commercial trucks in support of our customers in all the major regions of the world in which we operate, including engine oil technology designed for the latest fuel efficient commercial vehicles, as well as targeted solutions for the Asia Pacific region.

In line with Afton’s vision, we continue to focus our technology to make the world a better place by reducing the use of chemicals of concern, using more raw materials from sustainable sources, developing additives that enable some of the world’s most fuel-efficient fluids, creating fuel additives that enable engines to be more efficient, and being a market leader in transmission fluids for full battery electric vehicles.

In 2021, we successfully launched new technologies across all our lubricant additive and fuel additive product areas.

We developed new engine oil products for passenger cars and commercial trucks in support of our customers in all the major regions of the world in which we operate, including engine oil technology designed for the latest fuel-efficient passenger car specifications, as well as solutions for commercial vehicles.

We continued to develop new products in multiple application areas in the industrial additive sector, including hydraulic, industrial gear, turbine, slideway, and grease additives.

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This included the development of new OEM-specific additives used in factory-fill fluids installed during automotive component and vehicle assembly in the United States, Germany, Japan, India, and China.

We launched first intent technology for battery electric vehicles and developed new products for the service-fill sector to provide our customers with the latest additive technology available, including some first-to-market capability enabling our customers to differentiate their offerings to the retail market.

We launched new OEM-specific technology for battery electric passenger and commercial vehicles and are a leading supplier in this new and growing market.

We also developed new

products for the service-fill sector to provide our customers with the latest additive technology available, including some first-to-market capability enabling our customers to differentiate their offerings to the retail market.

We continue to provide leading technology in the fuel additives area.

In 2020, we developed and launched new products in all product lines including gasoline performance additives and diesel performance additives, as well as additives used in the distribution of fuels.

Many of these products use new technology specifically designed to perform well in new, modern engine designs and changing fuel properties, as well as addressing the growing need for increased fuel economy

and emissions reduction.

In 2021, we developed new technology in both gasoline performance additives and diesel performance additives.

In addition, we continue to maintain close interactions with regulatory, industry, and OEM leaders to guide our development of future fuel additive technologies based on well-defined market needs.

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"Responsible Care" is a registered service mark of the American Chemistry Council (ACC).

Both Afton and Ethyl have implemented Responsible Care ® Management Systems (RC14001 ® ) at U.S.

Both Afton and Ethyl have implemented Responsible Care ® Management Systems (RC14001 ® ) at North American facilities.

Our Responsible Care ® management systems are certified by an independent third-party auditing process.

7 unchanged sentences

Our Singapore site recently transitioned their OHSAS 45001 certification to the latest ISO 45001.

Afton’s Sauget, Illinois plant continues to be an OSHA VPP (Voluntary Protection Program) “Star” worksite.

In 2021, our San Juan del Rio, Mexico site expects to be formally certified to RC 14001.

Afton’s Sauget, Illinois plant continues to be an OSHA VPP (Voluntary Protection Program) “Star” worksite, and our San Juan del Rio, Mexico site was formally certified to RC 14001 in 2021.

In 2021, we continued to enhance our “Actively Caring” safety program, where people look out for the safety and welfare of others with courage and compassion, enabling the achievement of an injury-free environment.

Excluding the impacts from the COVID-19 pandemic on the recordable rate, both Afton and Ethyl were top performers among their industry peers with our worldwide injury/illness recordable rate (which is the number of injuries per 200,000 hours worked) in 2020 at 0.7.

Additionally, during 2020 we had zero serious injuries across all global sites, as well as zero recordable injuries at our Houston, San Juan del Rio, Port Arthur, Rio de Janeiro, and Tsukuba facilities.

Both Afton and Ethyl were top performers among their industry peers with our worldwide injury/illness recordable rate (which is the number of injuries per 200,000 hours worked) in 2021 at 0.39.

Additionally, during 2021 we had zero serious injuries across all sites, as well as zero recordable injuries at our Bracknell, Feluy, Richmond, Rio de Janeiro, Singapore, Suzhou, and Tsukuba facilities.

The safety performance affirmed our Vision of Zero Improvement plans and actions across the sites, as well as the importance placed on our safety-first culture.

We continue to leverage site-level Safety Improvement plans at key sites, and emphasize reporting "good catches" and "near misses" to help reduce risk and drive improved performance.

We continue to leverage site-level Safety Improvement

plans at key sites, and emphasize reporting "good catches" and "near misses" to help reduce risk and drive improved performance.

We are committed to achieving our aspiration of zero injuries and incidents.

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We have policies and procedures in place that establish regular reviews of our regulatory and environmental compliance and product stewardship, and actively monitor any significant existing or potential regulatory changes or environmental issues that could materially affect the company.

Our total accruals for environmental remediation, dismantling, and decontamination were approximately $10 million at December 31, 2020 and $11 million December 31, 2019.

Our total accruals for environmental remediation, dismantling, and decontamination were approximately $11 million at December 31, 2021 and $10 million at December 31, 2020.

As new technology becomes available, it may be possible to reduce accrued amounts.

1 unchanged sentence

The costs of complying with existing environmental, health, and safety laws and regulations as they pertain to our products and operations, including remediation, closure, and postclosure costs, are primarily included in cost of goods sold.

We spent approximately $29 million in both 2020 and 2019, and $30 million in 2018 for ongoing environmental operating and clean-up costs, excluding depreciation of previously capitalized expenditures.

In addition to the ongoing environmental compliance costs and the costs to remediate contaminated sites, worldwide capital expenditures for pollution prevention and safety projects were $17 million in 2020, $8 million in 2019, and $10 million in 2018.

The increase in 2020 resulted primarily from a planned modernization project at one of our manufacturing facilities.

We expect expenditures will return to more historical levels for 2021.

We spent approximately $35 million in 2021 and $29 million in both 2020 and 2019 for ongoing environmental operating and clean-up costs, excluding depreciation of previously capitalized expenditures.

The costs of complying with governmental pollution prevention and safety regulations are subject to:

28 unchanged sentences

Harm have served in their capacities for less than five years.

Jewett joined NewMarket Corporation on July 16, 2020 as Vice President and General Counsel.

Jewett joined NewMarket Corporation in July 2020 as Vice President and General Counsel.

Prior to his employment at NewMarket, he was a partner at McGuireWoods LLP.

West was named Vice President, Special Counsel effective July 16, 2020.

West was named Vice President, Special Counsel in July 2020.

Prior to that date, Mr.

4 unchanged sentences

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 1. Business