PGI To Consolidate Certain Operations

Charlotte-based nonwovens manufacturer Polymer Group Inc. (PGI) has announced it will close its
plant in North Little Rock, Ark., with plans to phase out operations by the end of March 2010 and
consolidate parts of its hydroentanglement and fusible fiber businesses at its plant in Benson,
N.C., in an effort to increase efficiency and minimize costs. The company cited decreased demand
for select industrial products and the need to upgrade process capabilities in announcing the
consolidation.

“PGI’s focus on leading market positions and global growth requires a constant assessment of
our capabilities compared to the market needs,” said Veronica “Ronee” Hagen, CEO, PGI. “As certain
market segments for carded technologies increasingly become commoditized or transition to more
cost-effective technologies, we must constantly streamline business operations and enhance our
capabilities to maintain competitiveness. As a result of these activities, we will be upgrading our
overall asset base to better meet market needs.”

The North Little Rock plant opened in 1956 and became part of PGI in 1995 when the company
purchased Chicopee Inc. from Johnson & Johnson. After PGI completes the consolidation, it will
operate seven plants in the United States, located in Benson; Mooresville, N.C.; Waynesboro, Va.;
Kingman, Kan.; Clearfield, Utah; Guntown, Miss.; and Clackamas, Ore.

July/August 2009

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