Southern Film Extruders files for Chapter 11 protection

By Frank Esposito
Senior Staff Reporter

Published: August 30, 2013 3:30 pm ET
Updated: August 30, 2013 3:32 pm ET

Related to this story

Topics Legal, Packaging, Extrusion, Film & Sheet

Polyethylene film manufacturer Southern Film Extruders Inc. filed for Chapter 11 bankruptcy protection on Aug. 4 in U.S. Bankruptcy Court in North Carolina.

The High Point, N.C.-based firm made the filing 10 days after creditors had filed an involuntary Chapter 7 filing against Southern. The Chapter 7 filing would have required a liquidation. A Chapter 11 filing will allow the firm to continue to operate and reorganize.

Officials with Southern could not be reached for comment. A report in the Business Journal in Greensboro, N.C., said the firm could be sold at auction later this year.

Southern listed assets of $10 million to $50 million and debts of $1 million to $10 million in the Chapter 11 filing.

The Chapter 7 filing was made by resin suppliers Westlake Polymers LLC., ExxonMobil Chemical Co. and ChevronPhillips Chemical Co. Southern owes Westlake almost $5 million, while owing ExxonMobil more than $900,000 and ChevronPhillips more than $600,000, according to court records.

Southern ranked 72nd in Plastics News’ most recent ranking of North American Film & Sheet makers. The firm posted sales of $70 million 2012, flat vs. the prior year. Southern employs 175 at two plants in High Point, making polyethylene film for food packaging, agricultural, consumer products and other markets.

Southern operates 26 extrusion lines and consumes almost 90 million pounds of PE per year. The firm previously operated a plant in Fort Pierce, Fla., but closed that site in 2005.


Comments

Southern Film Extruders files for Chapter 11 protection

By Frank Esposito
Senior Staff Reporter

Published: August 30, 2013 3:30 pm ET
Updated: August 30, 2013 3:32 pm ET

Post Your Comments


Back to story


More stories

Image

Tighter resin prices leading to price hike for PE film

August 29, 2014 11:13 am ET

One of North America's largest film makers is pushing through a polyethylene price increase due, in part, to the tight resin market.    More

Image

Obituary: Frank Nissel, Welex Inc. co-founder

August 28, 2014 1:01 pm ET

Friends, family and business acquaintances will remember Nissel as an urbane, outgoing machinery executive, an expert on extrusion, a globalist who...    More

Image

Pregis, Sealed Air settle film-foam patent dispute out of court

August 28, 2014 1:01 pm ET

A couple of packaging companies are settling their patent fight over film-foam underlayment.    More

Image

Megadyne buying Belt Corp. of America

August 26, 2014 10:35 am ET

In a move aimed at building its specialty belting manufacturing and fabrication operations, Jason Industrial Inc. — Megadyne SpA's wholly owned ...    More

Image

Sonoco buys Germany's Weidenhammer, plans for thin-walled packaging growth

August 25, 2014 1:41 pm ET

Sonoco Products Co.'s acquisition of Weidenhammer Packaging Group GmbH of Germany includes plastic packaging technology that the company is targeting ...    More

Market Reports

Thermoformed Packaging 2014 Market Review & Outlook North America

This in-depth report analyzes economic and market trends, legislative/regulatory activity impacting supply and demand, business opportunities and threats, materials pricing, manufacturing technology, as well as growth strategies being implemented by thermoformed packaging companies.

Learn more

Pipe, Profile & Tubing Extrusion in North America 2014

U.S. demand for extruded plastics is expected to grow by 3 percent in 2014, with PVC remaining the largest segment.

Plastic pipe will post the strongest gains through 2018, continuing to take market share from competing materials in a range of markets.

Our latest market report provides in-depth analysis of current trends and their financial impact on the pipe, profile and tubing extrusion industry in North America.

Learn more

2014 Injection Molding Industry Report

GROWTH, OPPORTUNITY IN SIGHT FOR INJECTION MOLDERS IN 2014

In the wake of the economic turbulence earlier in this decade, molders today find themselves in much better shape. Molders are gaining a competitive advantage by investing in people, equipment and seeking inroads into new markets on a global scale.

Growth in the injection molding industry is going to be driven by low financing costs and a continued move to reshore some business.

Learn more

Upcoming Plastics News Events

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

January 14, 2015 - January 14, 2015Plastics in Automotive

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

More Events