NOXSO Announces That Olin Corporation Purports to Terminate Supply Agreement and Declares Loan in Default
PITTSBURGH, PA - Feb. 2, 1997 - NOXSO Corporation (Nasdaq: NOXO) announced today that Olin Corporation
(NYSE: OLN) has given it a notice purporting to terminate its Supply Agreement with NOXSO due to various alleged
breaches and to take title to NOXSO's facility constructed under that Agreement. In addition, Olin has declared that
NOXSO's $1.8 million note to Olin, due January 31, 1997, is in default.
Under the Supply Agreement, the Company has constructed its facility at Olin's plant in Charleston, Tennessee to convert
elemental sulfur into liquid sulfur dioxide. Olin is to lease the facility and purchase elemental sulfur needed by the facility
from NOXSO for 10 years for $3.2 million annually.
L.G. Neal, President of NOXSO, stated, "We are very disappointed by Olin's conduct. We had anticipated receiving an
extension of the note by Olin since we have substantially completed the facility and have been working to obtain financing to
repay the note. Olin's conduct represents a unilateral and unjustifiable act. Olin has no right to terminate the Supply
Agreement or to claim title to the facility. NOXSO intends to vigorously and aggressively pursue its rights and remedies
against Olin."
SOURCE NOXSO Corporation /CONTACT: David J. Hirsch for NOXSO, 412-355-2960/