Exhibit 99.1

 Sovereign Specialty Chemicals, Inc. Signs Definitive Agreement to Be
                    Acquired by Henkel Corporation

    CHICAGO--(BUSINESS WIRE)--Oct. 7, 2004--Sovereign Specialty
Chemicals, Inc. today announced the signing of a definitive agreement
for the sale of the company to Henkel Corporation for a transaction
value of approximately $575 million. The acquisition, which has been
approved by the boards of both companies, is subject to regulatory
approvals and is expected to close this quarter. Following the closing
of the transaction, Sovereign will become a wholly-owned subsidiary of
Henkel.
    "I am very excited by the opportunities that will be created by
this acquisition," stated Norman E. Wells, the Chief Executive Officer
and Chairman of the Board of Sovereign. "Henkel's existing
capabilities will complement Sovereign's leading position in
high-performance specialty adhesives, coatings and sealants and will
bring increased value to our present and future customers. Under
Henkel's stewardship, Sovereign will service its markets with even
higher standards of excellence."
    UBS Investment Bank and J.P. Morgan acted as financial advisors to
Sovereign on this transaction.

    About Sovereign

    Sovereign Specialty Chemicals, Inc. is a leading developer and
supplier of high-performance specialty adhesives, coatings and
sealants serving two primary business segments: Commercial and
Construction. Since 1996, Sovereign has grown rapidly -- through the
strategic acquisition of established niche leaders -- to become the
largest privately owned adhesives manufacturer in the United States
and one of the largest adhesives manufacturers in the world, public or
private. Headquartered in Chicago, Illinois, USA, Sovereign comprises
approximately 900 employees working in over 20 manufacturing and sales
facilities worldwide to support thousands of customers. In 2003,
Sovereign's revenues were $371.6 million. Sovereign is owned by an
investor group led by AEA Investors LLC (www.aeainvestors.com).

    About Henkel

    Henkel is a leader with brands and technologies that make people's
lives easier, better and more beautiful. The Henkel Group operates in
three strategic business areas -- Home Care, Personal Care, and
Adhesives, Sealants and Surface Treatment. In fiscal 2003 the Henkel
Group generated sales of 9.436 billion euros and an operating profit
(EBIT) of 706 million euros. 50,000 employees work for the Henkel
Group worldwide. People in 125 countries around the world trust in
brands and technologies from Henkel.

    Any forward-looking statements made in this release involve
potential risks and uncertainties and are based on management's
beliefs, information currently available to management and a number of
management assumptions concerning future events. Actual results may
vary materially due to changes in sales volumes, raw material and
energy costs, foreign currency exchange rates, global economic demand,
selling prices, competitive pressures, and changes in technology.
Additional factors that may cause our actual results to vary are
detailed in Sovereign's filings with the SEC, including the Form 10-K
for the year ended December 31, 2003 and exhibit 99.1 to that report.

    CONTACT: Sovereign Specialty Chemicals, Inc., Chicago
             Terry D. Smith, +1-312-223-7972