Judge Approves Solutia Agreement With EPA

New York, NY, February 12, 2008— A federal judge has approved an agreement between Solutia Inc. and the Environmental Protection Agency that gives the government a $3.6 million unsecured claim to be reimbursed for costs to clean a toxic industrial site in St. Louis.

The deal, approved by Judge Prudence Carter Beatty of the U.S. Bankruptcy Court in Manhattan, could be worth about $3 million to the EPA.

Solutia's bankruptcy-reorganization plan calls for unsecured creditors to receive about 83 cents for every dollar they're owed. Under scenario, the EPA's claim against Solutia is worth about $3 million.

The toxic site was once owned by Great Lakes Container Corp. Solutia is transferring much of its liability to Monsanto as part of its reorganization plan.

That plan, however, is under a cloud after exit lenders refused to follow through and a trial is planned Feb. 21.