APC aims to tap new president by Jan. 1
WASHINGTON — The American Plastics Council hopes to have a new president named by Jan. 1, APC Chairman Ron Yocum said Nov. 20. APC's officers discussed the search during a meeting in Houston, Nov. 17-18.
The Washington-based organization has begun preliminary discussions with a few potential candidates, he said. The group is not using an executive search firm, but is relying on former APC President Red Cavaney to identify likely candidates, Yocum said.
``We think Red knows most of the players very well,'' he said. Cavaney resigned in September to head the American Petroleum Institute, also of Washington.
Domtex board favors Polymer Group bid
MONTREAL—Dominion Textile Inc.'s board of directors said Nov. 17 it will urge shareholders to accept a higher takeover bid from Polymer Group Inc. of North Charleston, S.C.
Polymer Group's recent bid was C$14.50 (US$10.15) per common share, about 23 percent higher than the bid it made it late October. The deal is worth a total of about C$600 million (US$420 million), although Polymer Group and a related firm already own about 14.5 percent of Montreal-based Domtex.
Domtex's plastic nonwovens business is the key attraction for Polymer Group, officials confirmed. Nonwovens are used as plastic liners in disposable diapers and a range of hygiene products. Domtex's spun-bonded businesses are Poly-Bond of Waynesboro, Va., and Nordlys SA in France.
Domtex rebuffed Polymer Group's initial offer and set up a shareholders' rights plan to act as a poison pill to thwart the takeover. Polymer Group appealed on Nov. 7 to Canadian securities commissions to disallow the rights plan. Several days later, Polymer Group upped its bid. The bid is conditional on acceptance by two-thirds of Domtex shareholders; the offer expires Nov. 28.
Lucky Star consolidates in California
ONTARIO, CALIF. — Lucky Star Industries Inc., a wholesale distributor of generic audiotape and videotape shells and compact-disc jewel cases, has taken a 10-year, $7.5 million lease on 210,900 square feet in an Ontario industrial park.
Park owner Catellus Development Corp. expects to break ground in mid-December and complete construction of the customized facility by Aug. 1, according to Mike Miller, a commercial real estate agent with Seeley Co. in Diamond Bar, Calif., who said he represented Lucky Star in the deal.
Lucky Star officials were not available for comment.
Miller said Lucky Star plans to consolidate as many as three existing San Gabriel, Calif., distribution and light-assembly facilities at the new site in Crossroads Business Park.
Lucky Star's parent company, Cheong Wing Electric Ltd. of Hong Kong, employs more than 3,000 at two Chinese facilities. The facilities manufacture blank audio and videocassettes and storage boxes, CD jewel boxes, and audio pancake — blank tape in 8,000-foot lengths — for C-60 and C-90 cassettes.
Wellman to make polyester feedstock
SHREWSBURY, N.J. — Wellman Inc. announced plans to obtain technology to produce purified terephthalic acid, the primary chemical raw material used to make polyester fibers and resins. The technology would supply the firm's 700 million-pound-per-year polyester plant that is under construction in Pearl River, Miss.
In a year, Wellman will be able to make 1 billion pounds of virgin PET and 240 million pounds of recycled PET, said Dennis Sabourin, vice president of post-consumer procurement and recycling at Wellman.
``Obtaining PTA technology and production capacity is simply consistent with Wellman's goal of remaining the most competitive polyester fiber and PET resin producer in the world,'' said Thomas Duff, Wellman president and chief executive officer.
Corma Inc. has an unusual demonstration running until Dec. 5 at its Toronto headquarters — an extrusion machine producing 48-inch double-wall corrugated high density polyethylene pipe. A Middle East processor who asked not to be identified ordered the equipment seven months ago. The Model 4020 is capable of producing 2,700 pounds per hour of 48-inch pipe.