HARTSVILLE, SOUTH CAROLINA – July 9, 2008 – Hilex Poly Co. LLC, ("Hilex" or "the Company"), the world’s largest plastic bag company, today announced that it has successfully emerged from its pre-packaged Chapter 11 restructuring as a healthy company with a solid financial structure. Hilex officially concluded its Chapter 11 reorganization after meeting all statutory requirements of the company's Plan of Reorganization (the "Plan"). Hilex's Plan was confirmed by the Honorable Kevin J. Carey of the United States Bankruptcy Court for the District of Delaware in Wilmington, Delaware in a confirmation hearing held on June 26, 2008.
Under the Plan, the Company has reduced its overall debt and strengthened its balance sheet to better serve its customers. In addition to a substantial reduction in outstanding debt, the Plan reduced annual interest expense and will significantly improve cash flow.
"This is a significant milestone and a proud day for Hilex and all of its constituents," said David Pastrich, president and chief executive officer of Hilex. "The approved plan provides a solid foundation for the new Hilex. The Company now has a stronger balance sheet, which enables us to invest more capital back into in the business, while we continue to maintain and strengthen our market leadership position in the plastic bag industry."
Mr. Pastrich added, "On behalf of our management team, I would like to thank our employees for their continued hard work and effort, which helped us to accomplish this goal. I would also like to recognize how quickly and efficiently this effort was handled by our team of advisors, investors, and the Hilex employees who led this process. We would also like to thank our customers and vendors for their unwavering support during this time."
About Hilex Poly Co., LLC (www.hilexpoly.com)
Hilex Poly Co., LLC is an industry leading manufacturer of plastic bag and film products. Focusing primarily on high density polyethylene (HDPE) film products and related services, our products range from bagging systems to agricultural films.
As an industry leader, we have introduced many new products and features into the marketplace. Our patented QuikMate EZ® open feature continues to be the standard for self-opening plastic bags. Other key innovations and patents include specialized bag features and dispensing hardware. All of our products and services are focused on practical solutions in our target markets.
Hilex is a US based company with headquarters in Hartsville, SC, and 11 strategically located manufacturing facilities across the United States which includes the world’s largest plastic bag recycling plant.
Peter Duda / Hallie Bozzi, Weber Shandwick
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