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REXENE ANNOUNCES CONFIRMATION OF PLAN OF REORGANIZATION

 REXENE ANNOUNCES CONFIRMATION OF PLAN OF REORGANIZATION
 DALLAS, July 8 /PRNewswire/ -- Rexene Corporation (NYSE: RXN) today


announced that the company's amended Plan of Reorganization has been confirmed by the United States Bankruptcy Court for the District of Delaware. Consummation of the plan, expected later this summer, is subject to the results of certain claims pending against the company. Those claims include a class action lawsuit arising out of amendments made to the company's stock bonus plan in 1987 and 1988 and a claim filed by a committee representing certain of its former shareholders that arises out of the acquisition of Rexene in 1988. As previously disclosed, if those two claims are not satisfactorily resolved, Rexene will seek to subordinate those claims which, if successful, could result in current stockholders losing all of their equity interest in Rexene under an amended Plan of Reorganization.
 The company also announced that it has entered into a commitment letter with Transamerica Business Credit Corporation to provide a $35 million working capital facility to become effective upon the company's emergence from Chapter 11. The facility will be secured by inventory and accounts receivable and will bear interest at 1-1/2 to 2 percent over prime. The completion of that facility is a condition to consummation of the Plan.
 The company also announced that the following 10 persons would serve on the board of directors of the Reorganized Rexene after consummation of the Plan:
 Arthur L. Goeschel Chairman of the Board
 Rexene Corporation
 Andrew J. Smith Chief Executive Officer
 Rexene Corporation
 Lavon N. Anderson President and Chief Operating
 Officer, Rexene Corporation
 Kevin Clowe Vice President
 AIG Capital Corporation
 D. George Harris Chairman, D. George Harris & Associates
 (owner of various chemical companies),
 former senior officer of SCM
 Corporation and Rhone-Poulenc Company
 William Hewitt Chairman and Chief Executive Officer
 Capital Credit Corporation
 Ilan Kaufthal Managing Director
 Wertheim Schroeder & Company
 Fred Rullo Partner, The Freedom Group,
 former senior officer of ARCO Chemical
 Corporation
 Phillip Siegel General Counsel
 Presidential Life Insurance Company
 Heinn Tomfohrde Former President, Union Carbide
 Chemical Company and International
 Specialty Products, Inc.
 Steven Gudeman and Emory Main, directors of the company since February, 1990, resigned from the board in May 1992.
 The company has not set a date for the exchange of any notes by noteholders of the company or equity securities by stockholders. The company expects to set a date later this summer and will notify noteholders and stockholders directly of that date. Accordingly, no securities should be sent to the company at this time.
 Rexene Corporation, through its principal operating subsidiary, Rexene Products Company, manufactures thermoplastic resins and petrochemical products including polyethylene and polypropylene resins and plastic film. Rexene, headquartered in Dallas, Texas, operates manufacturing facilities in Texas, Wisconsin, Georgia, Delaware and Utah.
 -0- 7/8/92
 /CONTACT: Neil J. Devroy of Rexene Corporation, 214-450-9101/
 (RXN) CO: Rexene Corporation ST: Texas IN: CHM SU: RCN


TM -- NY058 -- 7533 07/08/92 15:41 EDT
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Publication:PR Newswire
Date:Jul 8, 1992
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