09.06.05
The decrease in demand for dyestuffs in the U.S. marketplace, along with price pressures from both overcapacity and offshore products, have been causing serious financial problems for the U.S. dyestuffs industry.
Fabricolor, Inc., a Paterson, NJ-based manufacturer of dyestuffs, pigments, intermediates and specialty chemicals, has been hard hit in the dyestuffs market. The company has suffered increased losses and mounting debt in the dyestuffs market, while its other businesses have been successful.
As a result, Fabricolor, Inc. and its sister company, Fabricolor Manufacturing Corporation, filed for protection under Chapter 11 of the U.S. Bankruptcy code on Oct. 9, 2001. In conjunction with this action, Fabricolor will discontinue the manufacturing and distribution of its dyestuff products over the next several months.
“These actions should have little, if any, adverse effects on our pigments, intermediates and specialty chemical businesses,” said Miro Muzik, Fabricolor president. “We will be focusing all of our energy and resources going forward on these sustainable businesses. We have made arrangements with our existing lenders to continue financing our working capital needs and do not anticipate any interruption on our ongoing operations, nor in our ability to provide our customers with the high levels of service and quality products they’ve grown accustomed to from Fabricolor.”
Fabricolor, Inc., a Paterson, NJ-based manufacturer of dyestuffs, pigments, intermediates and specialty chemicals, has been hard hit in the dyestuffs market. The company has suffered increased losses and mounting debt in the dyestuffs market, while its other businesses have been successful.
As a result, Fabricolor, Inc. and its sister company, Fabricolor Manufacturing Corporation, filed for protection under Chapter 11 of the U.S. Bankruptcy code on Oct. 9, 2001. In conjunction with this action, Fabricolor will discontinue the manufacturing and distribution of its dyestuff products over the next several months.
“These actions should have little, if any, adverse effects on our pigments, intermediates and specialty chemical businesses,” said Miro Muzik, Fabricolor president. “We will be focusing all of our energy and resources going forward on these sustainable businesses. We have made arrangements with our existing lenders to continue financing our working capital needs and do not anticipate any interruption on our ongoing operations, nor in our ability to provide our customers with the high levels of service and quality products they’ve grown accustomed to from Fabricolor.”