Ascend Performance Materials, a leading producer of high-performance and durable engineered materials for everyday essentials and new technologies, announced today its decision to initiate a wind down of operations at its hexamethylene diamine production facility in Lianyungang,China. This decision follows a comprehensive evaluation of the facility's long-term viability amid evolving market dynamics and regulatory landscapes.
"Ascend has made significant strides improving the business as we continue to focus on driving operational effectiveness," saidPhil McDivitt, President and CEO of Ascend Performance Materials. "In April, with the support of our lenders, we initiated a financial restructuring process to reduce our debt and position Ascend for the future. As we evaluated the market conditions and ongoing trade disputes, we determined that the LYG production facility is no longer the best way to support our customers in the region. Accordingly, we have made the decision to wind down the facility."
He continued, "Decisions that impact our people are never easy. The people in our LYG plant showed excellence and dedication in everything they did, and we thank them for their contributions to Ascend, and this decision is not a reflection of the hard work and dedication of the team in LYG. We are committed to supporting our impacted team members, and we are committed to making this a smooth transition process for our customers and partners."
Ascend remains steadfast in its commitment to safety, environmental stewardship, and regulatory compliance throughout the wind down process. The Company will work closely with local authorities to ensure that decommissioning activities meet all applicable environmental and safety standards. The Company expects to complete the wind down process over the next several months.
The rest of the Company's Chinese operations, including the Suzhou compounding facility, will continue to operate as usual.
Ascend remains focused on creating and delivering high quality performance materials for its customers worldwide, and expects to emerge from the Chapter 11 process later this year.
About Ascend Performance Materials
Ascend Performance Materials makes high-performance materials for everyday essentials and new technologies. Our focus is on improving quality of life and inspiring a better tomorrow through innovation. Based in Houston, Texas, and with regional offices in Shanghai, Brussels and Detroit, we are a fully integrated material solutions provider with global manufacturing facilities in North America, Europe and Asia. Our global workforce makes the materials used to make safer vehicles, cleaner energy, better medical devices, smarter appliances and longer-lasting apparel and consumer goods. We are committed to safety, sustainability and the success of our customers and our communities.
