MONTREAL — Dominion Textile Inc. here, and Chargeurs Textiles in France, said Tuesday they have agreed to exchange their respective nonwoven subsidiaries, Nordlys SA and Intissel SA, both based in France.
Under terms of the agreement, Nordlys will take over Intissel’s industrial nonwoven fabrics business in exchange for Nordly’s interlinings business and a small cash payment, which is to be determined.
The move to swap business units comes on the heels of Dominion’s sale last month of its interlinings business — DHJ Industries in France — to Chargeurs, which is a longtime leader in interlinings.
John Boland 3rd, president and chief executive officer of Dominion, said the exchange will strengthen Nordlys’s industrial nonwoven fabrics business. The manufacturing transition period for this exchange is expected to take up to one year, except for certain interlining products, which Nordlys will continue to supply to Chargeurs over the next three years.
Dominion Textile’s North American nonwovens subsidiary, Poly-Bond Inc., is not affected by the transaction.
Chargeurs claims to hold the number one-rank worldwide in weft-inserted interlinings through its Laniere de Picardie, Intissel and Bertero divisions. These three businesses will have sales totaling roughly $254.9 million in 1995.
Dominion had sales of $943.5 million for its fiscal year ended June 30. Its technical fabrics unit, of which Nordlys is a part, makes up about 13 percent of those sales.