Borden Chemicals and Plastics Operating Limited Partnership Completes Sale of Geismar, La., PVC Facility to Geismar Vinyls Corporation.
GEISMAR, La.--(BUSINESS WIRE)--Dec. 30, 2002
Borden Chemicals and Plastics Operating Limited Partnership (BCP) announced that it has completed the sale of the assets of its Geismar, La., polyvinyl chloride (PVC) facility to Geismar Vinyls Corporation (GVC), an affiliate of The Westlake Group, for $5 million cash plus a promissory note for up to $4 million depending on the earnings performance of the assets. The sale agreement was previously approved by the U.S. Bankruptcy Court for the District of Delaware on August 20, 2002.
Geismar Vinyls acquired BCP's 575-million lb./year Geismar PVC resins plant, 650-million lb./year ethylene-based vinyl chloride monomer (VCM/E) feedstock plant, and certain related assets. BCP halted PVC production at Geismar in April 2002.
"We are pleased to have closed the sale of Geismar," said Mark J. Schneider, president and chief executive officer, BCP Management, Inc. (BCPM), the general partner of BCP. "We now look forward to the plan confirmation hearing on January 24 and a successful conclusion to all the matters pending in this case."
Separately, BCP said that on December 19, the court approved the extension of BCP's $7.5 million post-petition credit arrangement with BCPM to January 31, 2003.
BCP and its subsidiary, BCP Finance Corporation, filed voluntary petitions for protection under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware on April 3, 2001. BCPM, the general partner of BCP, filed for bankruptcy on March 22, 2002. Their joint plan of liquidation has been submitted to creditors for approval and is scheduled to be heard by the court on January 24, 2003. Borden Chemicals and Plastics Limited Partnership, the limited partner of BCP, was not included in the Chapter 11 filings. A separate and distinct entity, Borden Chemical, Inc., is not related to the filings.
Note to Editors: Borden Chemicals and Plastics Operating Limited Partnership (BCP) and Borden Chemicals and Plastics Limited Partnership (the Partnership) are separate and distinct entities from Borden Chemical, Inc. Please do not refer to either partnership as "Borden" or "Borden Chemicals."
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|Date:||Dec 30, 2002|
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