American Fibers and Yarns Company to Sell Polyphenylene Sulfide Fiber Business

American Fibers and Yarns Company to Sell Polyphenylene Sulfide Fiber Business

Greenville, SC (January 31, 2001) — American Fibers and Yarns Company (“American”) today announced that it has sold certain assets associated with its polyphenylene sulfide (PPS) fiber business to Toray Industries, Inc. and its affiliate, Toray Marketing and Sales (America), Inc. Generically known as “Sulfar”, PPS is primarily used in flue gas filtration media for coal fired power generation stations.

During a transitional period of time after the sale, American will continue to manufacture PPS fiber for Toray, who has been a supplier of PPS resin as well as an overseas producer of fiber under the name TORCON. The headquarters of Toray Industries, Inc. are located in Osaka, Japan, and the manufacturing facilities are located in Ehime, Japan. Toray Marketing & Sales (America), Inc. is located in New York, NY.

Fibers and textiles, plastics, chemicals, and advanced composite materials will continue to constitute the core business domains of Toray and the Toray Group as a manufacturer of diversified synthetic materials. Toray already has several group companies of these domains in the United States. Toray aims to further expand its share in each sector and consolidate its status of global leadership . . . PPS fiber business will play one part of it.

American is a leading manufacturer of polypropylene filament yarn with corporate offices located in Cumming, GA. and sales and marketing offices in Greenville, SC. Production facilities are located in Afton, VA, Rocky Mount, NC, and Bainbridge, GA. American was formed in November 1999 when it acquired the assets of Amoco Fibers and Yarns Company, some of which were previously owned by Phillips Fibers Corporation.

Frank G. Andrusko, President and CEO of American, said “The sale of our PPS fiber business is a continuation of our strategy to divest non-core businesses and to expand our leadership position in olefin filament yarn for home furnishings, apparel, automotive, and industrial applications. In line with this strategy, during the second half of 2000, American sold its staple fiber business to Drake Extrusion, Inc. and acquired the filament yarns business of Innovative Fibers, Inc.”



Contact: David B. Gray

Telephone: 864-627-3330