Solutia Plans Bankruptcy Exit Financing Package

St. Louis, MO, January 9, 2008-- Solutia Inc. is planning to offer $400 million in senior unsecured notes as part of a $2 billion exit financing package when it emerges from Chapter 11 bankruptcy.

The proceeds would be used to pay off some debt as well as ongoing operations.

Solutia also plans to obtain $400 million in revolving credit and secure a loan of $1.2 billion.

The notes will come with some restrictions on the company’s ability to sell assets, pay dividends, and incur debts.