Spartech Corporation Completes Divestiture of Corrugated Sheet Business

Spartech Corporation Completes Divestiture of Corrugated Sheet Business

ST. LOUIS, Sept. 2 /PRNewswire-FirstCall/ -- Spartech Corporation (NYSE:SEH) announced today it has completed the divestiture of its Corrugated Sheet business to Coroplast, a division of Great Pacific Enterprises Inc. and the market leader in corrugated plastic sheets and containers. The divested business located in Cornwall, Ontario has annual revenues of approximately $9 million that will be integrated into Coroplast's three manufacturing facilities.

Spartech's President and CEO, George A. Abd, stated, "This divestiture is consistent with our ongoing commitment to strengthen our financial performance and focus on Spartech's core operations. This sale achieves our goal of finding a strategic buyer for the corrugated business that is committed to growing the business and better serving this specific niche of customers. Coroplast has a strong market position and can provide focused support for the automotive packaging, graphic arts, and industrial markets served by this business."

Spartech's Executive Vice President & CFO, Randy C. Martin, added, "This transaction will allow both companies to focus on their core strengths with existing customers. The cash proceeds from the sale of just over $6 million will be utilized to pay down our bank debt and invest in strategic developments in our core businesses."

Spartech Corporation is a leading producer of engineered thermoplastic materials, polymeric compounds and concentrates, and engineered product solutions, which following the previously announced plant restructurings, will have 43 facilities located throughout the United States, Canada, Mexico, and Europe, with annual production capacity of more than 1.4 billion pounds and sales of more than $1.2 billion annually. Spartech has previously announced that its earnings release and conference call for its third quarter ended July 30, 2005 will take place on September 8, 2005.

Source: Spartech Corporation

CONTACT: George A. Abd, President and Chief Executive Officer,
+1-314-721-4242, or Randy C. Martin, Executive Vice President and Chief
Financial Officer, +1-314-721-4242, both of Spartech Corporation

Web site: http://www.spartech.com/

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