Eastman Chemical Co. announced Tuesday that it has an agreement with Westlake Chemical Corp. for the sale of its polyethylene business for $255 million. Eastman’s polyethylene and Epolene polymer business, as well as its ethylene pipeline will be included in the sale.
The agreement is expected to close in the fourth quarter of 2006 and the assets involved in the sale had revenues of $680 million in 2005.
Three Eastman polyethylene manufacturing plants, an Epolene facility in Longview, Texas, and an ethylene pipeline in Mont Belvieu, Texas are involved in the sale. Approximately 255 of the 400 Eastman employees affected will remain with Eastman and produce polyethylene for Westlake.