LONDON - At least six companies with plastics manufacturing are among the 34 businesses that will be spun off by Hanson plc, the British conglomerate. Hanson announced Feb. 22 it plans to spin off the ``noncore'' units, with some $3 billion in total annual sales, to form a company called U.S. Industries Inc.
The new parent company will apply to be listed on the New York Stock Exchange.
London-based Hanson will retain Quantum Chemical Corp., the largest U.S. producer of polyethylene resin. Hanson acquired Quantum Chemical, based in Cincinnati, for $3.2 billion in 1993.
U.S. Industries will contain the following plastics-related firms:
Leon Plastics, a custom injection molder in Grand Rapids, Mich. According to Plastics News data, Leon Plastics had estimated sales of $40 million in 1993, the most recent year available.
Quantum Performance Films of Streamwood, Ill., a maker of biaxially oriented polypropylene film, which has estimated sales of $32 million, according to Plastics News data.
Ames Lawn & Garden Tools of Parkersburg, W.Va., which runs an injection and blow molding plant in Elyria, Ohio. It also uses fiber-reinforced plastic handles, pultruded by outside suppliers, on some shovel models.
Smith Corona Corp. of New Canaan, Conn. The maker of typewriters and word processors runs an assembly plant in Tijuana, Mexico, that includes injection molding.
MW Manufacturers Inc. of Rocky Mount, Va., which makes vinyl-clad and wood windows.
Jacuzzi Inc. of Walnut Creek, Calif., a manufacturer of spas.
U.S. Industries will begin life with a heavy debt load. It will assume about $1.4 billion in debt, mainly because of a payment of $1.35 billion it will make to allow Hanson to reduce its debt.
After the spin-off, Hanson will have seven major business areas: chemicals, coal, building materials, cranes, tobacco, forest products and propane. And, by reducing its debt, it will be able to make new acquisitions, according to Derek Bonham, Hanson's chief executive.
The companies that will make up U.S. Industries had sales of $3 billion in fiscal 1994, ended Sept. 30. They had total operating profit of $252 million and net profit of $81 million.
