Solutia Restructuring Nylon Business

St. Louis, MO, Nov. 21, 2008--Solutia Inc. said it is restructuring its nylon business, as it continues to explore strategic alternatives for the business.

Included in the restructuring is the permanent shutdown of continuous filament carpet fiber capacity at its Greenwood, S.C. plant.

"The nylon strategic alternatives process is moving forward as planned, and we continue to make progress on transactional scenarios that would result in the disposition of these assets," said CEO Jeffry N. Quinn.

The company said it plans to cut about $40 million in costs in the nylon business.

"We have now removed nearly all of our dependence on the declining North American carpet fiber market, and are better able to focus our resources on serving the diversified global market for nylon resins and compounds," said Jim Voss, senior vice president.

Among the changes, Solutia said it is temporarily shutting down its nylon production and laying off 200 employees at its Gonzalez plant north of Pensacola, Fla.