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REXENE ANNOUNCES LAWSUIT VERDICT AND CLAIM SETTLEMENT

 REXENE ANNOUNCES LAWSUIT VERDICT AND CLAIM SETTLEMENT
 DALLAS, July 15 /PRNewswire/ -- Rexene Corporation (NYSE: RXN) announced today that a verdict in the amount of approximately $6.8 million plus attorneys' fees was rendered against the company by a court in the Western District of Texas in a class action lawsuit arising out of amendments made in 1987 and 1988 to the company's Stock Bonus Plan. As previously reported, the satisfactory resolution of that claim against the company is a condition to the consummation of the company's bankruptcy Plan of Reorganization which was confirmed by the Bankruptcy Court last week.
 Rexene chief executive officer, Andrew J. Smith, said, "We are disappointed with the verdict in the class action lawsuit, nevertheless our restructuring plan remains viable. We see positive trends in the petrochemical industry and in our product lines. We still anticipate we will emerge from Chapter 11 in the near future."
 The company is studying the decision in the class action lawsuit and is reviewing its options including an appeal to the Fifth Circuit Court of Appeals. As previously reported, Rexene is also considering seeking to subordinate the class action claim, 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 settled the claim of a committee representing certain of the former stockholders of the company arising out of the acquisition of Rexene in 1988. The settlement, in the amount of $500,000, is scheduled to be presented to the Bankruptcy Court on July 22, 1992.
 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 facilities in Texas, Wisconsin, Georgia, Delaware and Utah.
 -0- 7/15/92 R
 /CONTACT: Neil J. Devroy of Rexene Products, 214-450-9101/
 (RXN) CO: Rexene Corporation ST: Texas IN: CHM SU:


TM -- NY091R -- 9914 07/16/92 09:50 EDT
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Publication:PR Newswire
Date:Jul 16, 1992
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