Foamex To Sell Joint Venture Interest in Foamex As

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Foamex To Sell Joint Venture Interest in Foamex As

Linwood, PA, August 6, 2007--Foamex International is selling its 70% equity interest in Foamex Asia Co., Ltd. to Hua Kee Company Limited, the other partner in the joint venture.

 

 Foamex expects to net approximately $22 million in cash and will use it to pay down debt. The company expects to record a pre-tax gain of approximately $2 million in the third quarter, when the transaction is expected to close.

 

Foamex CEO Jack Johnson said that the unit has not been profitable enough and does not fit into the company's strategy.