ST. LOUIS, May 1, 2007 (PRIME NEWSWIRE) -- Judge Prudence Carter Beatty today issued a ruling in favor of Solutia Inc. (OTCBB:SOLUQ) in the JPMorgan bondholder litigation. The judge found that Solutia's 7.375 percent notes due October 15, 2027 and its 6.72 percent notes due October 15, 2037 are not entitled to a lien on any of Solutia's assets and therefore should be treated like all of the other unsecured creditors.
"We are pleased to have our position sustained by the court and this decision clarifies an important legal issue concerning the status of one of our major creditor constituents that will allow for Solutia to emerge from bankruptcy," said Jeffry N. Quinn, chairman, president and chief executive officer of Solutia.
"Our priority remains to maximize the value of the estate for all stakeholders and we look forward to filing a revised Plan of Reorganization shortly," added Quinn.
Solutia, based in St. Louis, Mo., is a leading manufacturer and provider of interlayers for laminated glass, aftermarket window films, specialty chemicals and an integrated family of nylon products.
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Forward-Looking Statements
This press release may contain forward-looking statements, which can be identified by the use of words such as "believes," "expects," "may," "will," "intends," "plans," "estimates" or "anticipates," or other comparable terminology, or by discussions of strategy, plans or intentions. These statements are based on management's current expectations and assumptions about the industries in which Solutia operates. Forward-looking statements are not guarantees of future performance and are subject to significant risks and uncertainties that may cause actual results or achievements to be materially different from the future results or achievements expressed or implied by the forward-looking statements. These risks and uncertainties include, but are not limited to, those described in Solutia's most recent Annual Report on Form 10-K, under "Cautionary Statement About Forward Looking Statements," Solutia's quarterly reports on Form 10-Q, and in filings with the U.S. Bankruptcy Court in connection with the Chapter 11 case of Solutia Inc. and 14 of its U.S. subsidiaries. These reports can be accessed through the "Investors" section of Solutia's website at www.solutia.com. The bankruptcy court filings can be accessed by visiting www.trumbullgroup.com. Solutia disclaims any intent or obligation to update or revise any forward-looking statements in response to new information, unforeseen events, changed circumstances or any other occurrence.
Corporate Profile
Solutia (http://www.Solutia.com) uses world-class skills in applied chemistry to create value-added solutions for customers, whose products improve the lives of consumers every day. Solutia is a world leader in performance films for laminated safety glass and after-market applications; specialties such as heat transfer fluids and aviation hydraulic fluid and an integrated family of nylon products including high-performance polymers and fibers.
Solutia ... Solutions for a Better Life.