Shaw To Acquire Honeywell Nylon Carpet Fiber And SI Carpet Backing Operations

Shaw Industries Inc., Dalton, Ga.,
plans to expand carpet manufacturing operations by acquiring businesses from two of its suppliers.

The company has agreed to purchase Morris Township, N.J.-based Honeywell International’s US
nylon carpet fibers business, with closing expected in the fourth quarter of 2005. The acquisition
includes nylon fiber manufacturing operations in Anderson, Clemson and Columbia, S.C.; the
Zeftron® and
Anso® nylon brand names; and Honeywell’s 50-percent interest in Augusta, Ga.-based
Evergreen Nylon Recycling.

Honeywell, which will retain its nylon intermediates business, will supply caprolactam and
nylon resin to Shaw to use in its nylon fiber production. Honeywell also will retain its nylon
fiber operations in Shanghai and Canada, and its textile operations in Anderson.

Shaw also has agreed to acquire Chattanooga, Tenn.-based SI Corp.’s woven carpet backing
operation in Chickamauga, Ga., with closing expected this fall. Shaw, which has been one of the
facility’s customers for some years, will continue to supply carpet backing to other plant
customers as well.

Calling the acquisition a “perfect fit” for Shaw, Joe Dana, SI’s president and CEO,
commented: “Not only is it a large, efficient woven backing plant, but it is also centrally located
to most of Shaw’s major carpet plants. In addition, our Chickamauga employees get to join one of
America’s premier flooring companies.”

October 2005