Feb 21 2007
Eastman Chemical Company today announced it has entered into an agreement for the sale of Eastman Chemical Iberia, S.A., located in San Roque, Spain, to La Seda de Barcelona, S.A., located in Barcelona, Spain. The sale includes Eastman's PET polymers manufacturing assets in Spain and the related polyester resins business. The sale is subject to competition authority approvals in Spain. Terms of the transaction, which is expected to close during second quarter 2007, were not disclosed.
"We announced at our November 2006 Investor Day that we would be taking strategic actions to address our non-integrated PET polymers assets outside the United States," said Gregory O. Nelson, Eastman executive vice president and polymers business group head. "This agreement is a major step forward as we implement our strategy to improve the overall financial performance of our PET polymers business."
The sale of the San Roque site could change the previously reported decision to permanently shut down the site. It does not impact Eastman's previously announced decision to shut down its CHDM manufacturing assets at the site. The company still expects to record asset impairments and restructuring charges related to the San Roque site in first quarter of 2007.