HILEX POLY ANNOUNCES AGREEMENT TO RESTRUCTURE DEBT
HARTSVILLE, SOUTH CAROLINA – May 6, 2008 – Hilex Poly Co., LLC, (“Hilex” or “the Company”), the world’s largest plastic bag company, today announced that it has reached an agreement with its lenders to restructure its senior secured debt. Hilex is taking this action to significantly reduce its overall debt and strengthen its balance sheet to better serve its customers and continue its market leadership position in the plastic bag industry. In addition to a substantial reduction in outstanding debt, the plan will reduce annual interest expense and significantly improve cash flow.

To facilitate this agreement, the Company has elected to file a voluntary, pre-packaged Chapter 11 reorganization, which will allow the Company to finalize the restructuring of debt while continuing to operate, business as usual, and serve its customers. This filing was made in the U.S. Bankruptcy Court for the District of Delaware in Wilmington, Delaware.

"Hilex undertook a comprehensive strategic review to evaluate all options for restructuring our balance sheet and, after careful consideration, determined that a pre-packaged filing was in the best interest of all our stakeholders," said David Pastrich, president and chief executive officer of Hilex. "We believe the restructuring will enable us to invest more capital in the business and position Hilex as a more attractive long-term partner for our customers and vendors. We will continue to focus on our industry-leading environmentally friendly solutions including HED degradable bags, Bag-2-Bag in store closed loop recycling systems, and Enviro-Count rack technology.”

The filing will not impact day-to-day operations for employees, customers, suppliers and general business operations. It ensures that employee pay and benefits are fully protected, all current and future obligations to its customers are fulfilled, and that suppliers will be paid in full as part of this process.

The Company has also arranged for debtor-in-possession (DIP) financing from GE Capital and Morgan Stanley Senior Funding, Inc., with an initial commitment of $140 million as well as a commitment for robust exit financing.

"This financing provides additional reassurance to employees, customers and suppliers that we can meet all of our ongoing commitments," continued Mr. Pastrich. "The ability to come to a consensual debt-for-equity agreement with our lenders demonstrates our lender's belief in Hilex's business model and their long-term faith in the Company."

Mr. Pastrich concluded, "We look forward to completing our financial restructuring over the course of the next 45-60 days and emerging as a stronger, more financially sound company, well-positioned for the future.”

Hilex Poly Co., LLC is an industry leading manufacturer of plastic bag and film products. Focusing primarily on high density polyethylene (HDPE) film products and related services, our products range from bagging systems to agricultural films.

As an industry leader, we have introduced many new products and features into the marketplace. Our patented QuikMate EZ® open feature continues to be the standard for self-opening plastic bags. Other key innovations and patents include specialized bag features and dispensing hardware. All of our products and services are focused on practical solutions in our target markets.

Hilex is a US based company with headquarters in Hartsville, SC, and 11 strategically located manufacturing facilities across the United States which includes the world’s largest plastic bag recycling plant.

Contact: Peter Duda / Hallie Bozzi, Weber Shandwick 212-445-8213 / 212-445-8276

David L. Pastrich Named President and Chief Executive Officer
Friday, September 7, 2007 (Hartsville, SC) -- Hilex today announced that David L. Pastrich has been named President and Chief Executive Officer effective September 10, 2007.

David has been the Vice President and General Manager of the Label Business Unit of Alcan Packaging, based out of New Hyde Park, New York. Mr. Pastrich will assume the day to day responsibilities of leading Hilex. Founder Leon Farahnik will remain with the company continuing his role as the Chairman of the Board.

Mr. Pastrich entered the flexible packaging industry in 1987 and has held various marketing and sales management positions at Alusuisse Flexible Packaging and Lawson Mardon, which were purchased by Alcan in 2001. In 1996, he was named General Manager of the Labels Business Unit and in 1997 he was promoted to Vice President. He led the Label Division to a #1 market share position in North America. In 2006, under Pastrich’s leadership, Alcan opened a state-of-the art “Greenfield” facility dedicated to manufacturing roll-fed labels. The division is responsible for making a significant majority of all carbonated soft drink, water and sports drink labels in the United States.

Mr. Pastrich holds a BA from S.U.N.Y at Binghamton, a Masters of Education from Hofstra University, and a Professional Diploma in Administration from St John’s University. He has attended various executive education programs at both Cornell University’s Johnson Business School and Harvard University.

Mr. Pastrich stated “with an already strong team in place, its efficient manufacturing base and the new “Greenfield” plant dedicated to plastic bag recycling, Hilex is well positioned to offer customers an increasing value proposition for years to come. We will foster an empowered culture primed to deliver innovation in customer service, products and environmentally friendly technologies.”

Hilex is an industry leading manufacturer of plastic bag and film products. Focusing primarily on high density polyethylene (HDPE) film products and related services, our products range from bagging systems to agricultural films.

As an industry leader, we have introduced many new products and features into the marketplace. Our patented QuikMate EZ® open feature continues to be the standard for self-opening plastic bags. Other key innovations and patents include specialized bag features and dispensing hardware. All of our products and services are focused on practical solutions in our target markets.

Hilex is a US based company with headquarters in Hartsville, SC, and 11 strategically located manufacturing facilities located across the United States. Hilex is a subsidiary of the HPC group of companies, Los Angeles, CA.

Hilex-Poly Purchases Vanguard Plastics
Friday, October 21, 2005 (Hartsville, SC) -- Hilex announced the purchase of Vanguard Plastics, Inc. today, creating the largest retail carryout packaging manufacturer in the world. The combined company has twelve (12) strategically located manufacturing plants which provide customers with seamless nationwide coverage. Furthermore, Hilex’s market position in the agricultural and industrial film segments will be fortified with the addition of the Vanguard packaging film plant in Garland, TX.

"The combined companies will have annual sales in excess of $650 million", stated Leon Farahnik, Chairman of HPC Industries in Los Angeles, CA, the parent company of Hilex. "The scale, by far the largest in the world, will provide a strong economic platform for future growth. The combined Company has the broadest suite of products in the industry and our service will continue to set the standard for the industry".

Hilex has initiated several progressive environmental programs, including a significant investment in a "state-of-the-art" recycling facility designed to take used bags and return them to the market as new bags for customer use. In addition, Hilex’s "bag to bag" and curbside collection initiatives have created an entirely new consumer friendly approach to plastic bag recycling. Hilex is continuing to define the market with both the revolutionary "QuikStar" produce bagging system and the "Rhino" bag a larger, stronger bag which promotes reduced bag usage.

Steve Cesinger, President of Dewberry Cesinger Hodgson, an Atlanta, GA investment firm, stated "We are pleased to execute such a synergistic acquisition as a major step in Hilex's growth strategy and look forward to pursuing other complementary business combinations".

Hilex is a member of both the Los Angeles, CA based HPC group of companies, as well as DCHI Investment Holdings, an affiliate of Dewberry Cesinger Hodgson. In addition to Hilex, PWP Industries is also a member company of HPC.