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Celanese Announces Canadian Plant Closing

Celanese AG, New York City, has announced that its Acetate Textiles business will shut down production at its Drummondville, Canada, site by the end of the first quarter of 2000.The move was necessitated by excess production capacity and persistent weak market conditions, said Phil Cogbill, global general manager of the Celanese Acetate Textiles division of Celanese AG. Our goal is to strengthen our position as a world leader of high quality acetate filament for apparel fashions and linings.This closure will not impact our customers who will continue to have the full range of our products available through other sites.Celanese will have a global capacity of 73,000 tons of cellulose acetate filament after the closure of the 15,000-ton Drummondville facility. Approximately 440 employees will be affected by the plant closing.Gerold A. Linzbach, president, Celanese Acetate, said: We are continuing to focus on improving efficiencies and quality at our production sites. We are committed to moving quickly to enhance shareholder value at Celanese, and this move is evidence of that commitment.

December 1999