Solutia Stock Offerings To Raise $425 Million

St. Louis, MO, December 13, 2007--Solutia Inc. said that both its creditor rights and equity rights stock offerings have been over-subscribed.

The rights offerings will give some creditors and equity holders the right to purchase shares of Solutia's new common stock that will be issued upon the company's emergence from Chapter 11.

About 31% of the new common stock will be available for eligible creditors for $13.33 per share and 17% will be available for equity holders for $17.23 per share.

Eligible creditors submitted total indications of interest, including over-subscription requests, of approximately $563 million of rights, exceeding the $250 million of rights offered.

The $250 million from the creditors offering will be used for a $175 million Voluntary Employees' Beneficiary Association (VEBA) Retiree Trust. Also, $75 million will pay for other legacy liabilities being retained by the company.

The $175 million raised by the equity holders offering will go to Monsanto, but Monsanto will not have an equity stake in the company.

Solutia expects to send invoices to participants in the rights offerings on Friday, December 28.