Thiele Announces Temporary Suspension of Energy Surcharge
 for August 2003

Sandersville, Georgia August 1, 2003

Thiele Kaolin Company is suspending the energy surcharge for the month of August 2003.  The energy surcharge, which was effective March 10^th, 2003, will be suspended in accordance with our original surcharge announcement. The final settlement price of the New York Mercantile Exchange (NYMEX) Henry Hub natural gas futures contract for August 2003 is $4.69, below the $5.00 per MMBTU threshold for the surcharge.

The fuel surcharges implemented by Thiele have offset a portion of the increased energy costs, but they do not fully cover increases in fuel costs.  Thiele Kaolin Company is experiencing a very difficult financial period due to escalating costs and weak demand.  

In the months ahead, Thiele will continue to monitor the price of natural gas as indicated by the final settlement price on the NYMEX.  It may be necessary to re-apply the fuel surcharge if the NYMEX price of natural gas climbs above $5.00 per MMBTU.

® Thiele Kaolin Company 2004 P. O. Box 1056, 520 Kaolin Road, Sandersville, GA 31082 USA