Eastman Chemical Company has entered into definitive agreements with Indorama to sell its PET facility and related businesses in the United Kingdom, and its PET and PTA facilities and related businesses in the Netherlands. The total cash proceeds of the transaction are expected to be €226 million (US $330 million), subject to adjustments in working capital. The transaction is expected to close during Q1-08 and will result in a gain on sale being reflected in the Company's consolidated financial statements. The sale, which is subject to customary conditions and competition authority approval, includes Eastman's PET manufacturing facility in Workington, United Kingdom, and its PET and PTA manufacturing facilities in Rotterdam, the Netherlands. Eastman's acetate tow production at the Workington site is not included in the sale.
With this transaction, Eastman will complete its plan announced a year ago to address its non-strategic PET assets outside the U.S to improve the overall performance of our PET polymers business.