ATLANTA — Wellman Inc. has filed for Chapter 11 protection, citing its debt obligations and various business difficulties, including damage and disruption of operations at its facility in Bay St. Louis, Miss., caused by Hurricane Katrina in August 2005. The Fort Mill, S.C.-based polyester fiber and packaging resins manufacturer filed voluntary petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code for the Southern District of New York. Thomas Duff, chairman and CEO, said filing for Chapter 11 allows Wellman to continue operating without interruption while continuing to pursue its previously announced strategic alternative process.
“Although the company has taken numerous steps to reduce its debt and strengthen its balance sheet through the disposition of certain businesses, headcount reductions and other cost reductions, these actions were not sufficient to offset the deterioration in business conditions and the cost of our substantial debt obligations,” he said in a statement.
A Stella McCartney sketch of a custom dress made from protein-based silk in partnership with biotech lab Bolt Threads. The dress will be displayed at The Museum of Modern Art's upcoming design exhibition, "Items: Is Fashion Modern?"