Canadian foamer Domfoam files for bankruptcy protection

Published: January 31, 2012 6:00 am ET

Related to this story

Topics Public Policy, Materials, Suppliers

TOLEDO, OHIO (Jan. 31, 1 p.m. ET) — Canadian foamer Domfoam International Inc. has filed for bankruptcy protection in the US after flagging sales and a million-dollar fine over price-fixing led the company into insolvency.

Domfoam filed for Chapter 15 protection in the U.S. Bankruptcy Court in Toledo, where it faced more than a dozen lawsuits over the inflated prices it charged for its foam that goes into carpet underlay, furniture and bedding, according to a report from Dow Jones.

Judge Mary Ann Whipple granted the company’s request to put lawsuits against the company and its affiliates – Valle Foam and A-Z Sponge Foam Products – on hold while she decides if Domfoam is entitled to full protection in US court system, Dow Jones reported.

The protection is aimed at providing stability to allow the company to sell off its businesses and pay its debts.

Earlier in January, Domfoam pled guilty to fixing foam prices with a group of other manufacturers. The conspiracy is said to have started in January 1999 and ran for over a decade.


Comments

Canadian foamer Domfoam files for bankruptcy protection

Published: January 31, 2012 6:00 am ET

Post Your Comments


Back to story


More stories

Image

Rail improvements also allow rotomolder to improve operations

July 24, 2014 3:10 pm ET

An infrastructure improvement grant from the U.S. Commerce Department is helping an Indiana plastics plant expand its product line and add jobs.    More

Meredian merging with Danimer Scientific

July 24, 2014 1:59 pm ET

Bioplastics maker Meredian Inc. is merging with its sister firm, Danimer Scientific LLC.    More

Image

US Bioplastics receives funding to bring Gatoresin to the market

July 24, 2014 1:44 pm ET

Materials maker U.S. Bioplastics is hoping its Gatoresin product will take a bite out of the bioplastics market, thanks to funding from a state...    More

Image

Prices trending up for some recycled resins

July 24, 2014 1:27 pm ET

Plastics News is correcting prices for recycled grades of several commodity resins on this week's resin pricing chart.    More

Image

BASF posts growth in second quarter

July 24, 2014 11:08 am ET

German chemical giant, BASF SE, has announced a 1 percent growth in sales for the second quarter of 2014 compared to the same period in 20...    More

Market Reports

Injection Molders Market Report & Ranking 2014

This special package contains our 132-page 2014 Market Report on the Injection Molding segment and our exclusive 2014 RANKINGS database of 500+ Injection Molders for a discounted package price.

Learn more

Plastics Recycling Market Review & Outlook 2014

This special report from Plastics News examines the North American plastics recycling industry and provides insight into indicators that impact market viability, including Resin pricing trends for virgin and recycled market material and historical Resin production trends for post- consumer and industrial waste.

Learn more

Shale Gas Market - Analysis of North American Region

This report highlights the impact of shale-based natural gas on the North American plastics market and features an in-depth analysis of production trends in the United States during 2013 and a forecast for 2014 and beyond.

Learn more

Upcoming Plastics News Events

September 10, 2014 - September 12, 2014Plastics Caps & Closures 2014

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

More Events