Solutia To Exit Acrylic Fibers Business
Solutia Inc., a St. Louis-based supplier of applied chemistry solutions, has announced plans to exit the acrylic fibers business, pending bankruptcy court approval. The plan calls for the closing of Solutia's acrylic fibers operation at its Decatur, Ala., plant by early to mid-April, and will affect approximately 250 company employees and 200 contractors.
"Despite the tremendous efforts of those within our acrylic business to reduce costs and improve productivity, the business has simply been unable to compete as fiber and textile manufacturing has moved outside the United States," said John Saucier, president, Integrated Nylon. "In the coming weeks, we will work diligently to ensure our employees impacted by this event are treated fairly, and to support our customers as they transition to other suppliers."
Solutia will continue to produce chemical intermediates for use in nylon products at the Decatur plant.
The company filed for Chapter 11 bankruptcy protection in December 2003. "A key component of our
reorganization strategy is to reshape our asset portfolio so that it consists of high-potential
businesses leveraged on Solutia's core competencies that can consistently deliver returns in excess
of their cost of capital," said Jeffry N. Quinn, president and CEO.