Honeywell To Exit North American Nylon Fibers Business

Morristown, N.J.-based Honeywell
International Inc. announced it will shut down its nylon textile manufacturing operations in
Anderson, S.C., by the end of August 2007. The Anderson facility, which is the company’s last
remaining nylon fiber facility in North America, employs 168 people, all of whom may apply for
positions elsewhere in the company, and who otherwise will be eligible for severance benefits and
career services.

Honeywell had been trying to sell the Anderson facility as part of the strategy it initiated
in 2005 to spin off its nylon fiber operations, but its efforts were unsuccessful. According to
Robert Donohoe, manager, external communications, Specialty Materials, the closure completes the
company’s exit from its North American nylon fibers business. Honeywell sold its North American
carpet fiber assets to Dalton, Ga.-based Shaw Industries Inc. in 2005, and it is in the process of
selling its Shanghai-based nylon carpet fiber operation to Wichita, Kan.-bassed Invista. With the
closing of that sale, Honeywell will have completed its divestiture of all nylon fiber operations.

According to Alasdair K. Carmichael, Spartanburg-based president – Americas of PCI Fibres,
England, Honeywell’s Anderson facility produces fully drawn — including very fine-denier — nylon 6,
mainly on beams for warp knitting. “The loss of this production will tighten up the supply
availability in a market segment that is already very tight,” he said.

“There are quite a few issues that are raised around it other than just the loss of the
capacity. It’s not that easy to replace because of country-of-origin issues and because it’s on
beams,” Carmichael added, explaining that it is not as practical to import product on beams and
also noting that there is no other domestic production of very fine-denier nylon 6 other than from
one or two vertical producers.

June 5, 2007