Foamex Expects To Emerge From Chapter 11

February 4, 2007  by in UnCategorized   

By Home Furnishings Business in Bedding on February 2007 Linwood, Pa.-based Foamex International, the world’s largest producer of foam for furniture, bedding and other applications, announced Thursday that the U.S. Bankruptcy Court has set the stage for its emergence from Chapter 11 by approving its second amended joint plan for reorganization.

“Today’s announcement represents a significant and almost final milestone in Foamex’s Chapter 11 case,” said Raymond Mabus, chairman and CEO. He said the plan will enable Foamex to “emerge as a stronger, more competitive company that is better able to compete in the marketplace, invest in our operations and R&D efforts and provide our customers with the innovative solutions they need.”

The company said Foamex’s plan provides full recovery of holders of allowed claims. The company’s emergence from Chapter 11 is expected to occur on Feb. 12. In addition to producing comfort cushioning for furniture and bedding, Foamex serves the carpet cushion and automotive markets. It also manufactures high-performance polymers for diverse application in the industrial, aerospace, defense, electronics and computer industries.