U.S. Plastic Lumber Corp., operating in bankruptcy protection, is selling its composite lumber product lines and replacing its top two executives.
The Chicago-based extruder plans to focus on polyethylene product lines, including Trimax structural lumber and CareFree Xteriors high density PE decking. Additionally, Chief Executive Officer Mark Alsentzer and Chief Financial Officer Michael Schmidt have resigned.
``We have an active search going on,'' said Joseph Sarachek, USPL's chief restructuring officer, in a Nov. 17 telephone interview. Although Alsentzer will remain a director, ``he has no involvement in the day-to-day operations.''
August Schultes III, previously a director, was named chairman.
USPL plans to sell the business within the next month, said Nathan Kalenich, senior applications engineer.
``We do have several inquiries at the time,'' Kalenich said Nov. 15. ``We have potential buyers who have toured the plant.''
The company made composite decking and products used in windows, doorframes and playground equipment at a now-closed site in Ocala, Fla. USPL plans to sell the 157,000-square-foot building and the equipment it houses, officials said. According to its 2002 annual report, the Ocala site had 11 extruders.
Kalenich said the move is necessary ``so we can focus on core products and where we want to grow.''
``We feel that USPL is in such a strong market position and must act quickly in order to take advantage of the growing demand in all-HDPE products, and that to focus on anything else would be a distraction,'' Sarachek said in a news release.
He estimates the company will emerge from Chapter 11 in early 2005. It filed for protection July 23 in U.S. Bankruptcy Court in Palm Beach, Fla.