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U.S. Plastic Lumber to Shed Composite Lumber Product Lines

  • Friday, 19th November 2004
  • Reading time: about 2 minutes

U.S. Plastic Lumber Corp. intends to axe its composite decking and OEM composite businesses.

This move comes as part of USPL’s plan to focus on its PE product lines — which include its Trimax structural lumber and CareFree Xteriors HDPE Decking, as part of its restructuring plans.

“”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 and therefore counterproductive to our goals,”” stated Joseph E. Sarachek, USPL’s Chief Restructuring Officer from Triax Capital Advisors.

USPL’s announcement means that it is terminating all of its composite product lines as soon as practicable, which includes wood-plastic composite deck board and also its composite products used in such applications as windows, doorframes and playground equipment.

“”Our HDPE deck board, CareFree Xteriors Decking, has all of the advantages of composite decks, but with the added benefit of being virtually maintenance free due to the lack of wood fibre – a claim that composite boards just can’t make,”” stated Nathan Kalenich, USPL’s Senior Applications Engineer.

Mr. Kalenich also remarked that USPL’s patented Trimax structural lumber, as well as CareFree Xteriors decking will be featured in an upcoming episode of the Discovery Channel’s Monster House, scheduled to air on Monday, November 22nd at 8 p.m. EST and again at 11 p.m. EST.

USPL filed for protection under the provisions of Chapter 11 of the bankruptcy code on July 23, 2004 and is in the process of putting together its reorganization plan. “”While there’s clearly much work to do to see USPL through these difficult days, the market’s excitement for USPL’s high-quality PE products, including its Trimax and CareFree PE Decking, bode well for the Company’s successful emergence from Chapter 11 protection, which we currently estimate will occur sometime in early 2005,”” Mr. Sarachek elaborated.

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