Solutia retirees ask court to deny health care changes unless court approves

By Jeff Pines

Washington, Sept. 23 - Solutia Inc.'s official committee of retirees asked the U.S. Bankruptcy Court for the Southern District of New York to prevent the company from implementing changes in retiree benefits without court consent.

The retirees filed their opposition Wednesday in court documents.

The proposed plan would require retirees who are not yet eligible for Medicare to choose from several new health plans next month. The changes would affect 2,500 retirees, 110 surviving spouses and 2,800 dependent spouses.

The committee said it only learned of the changes third hand and it alleges the company is violating the federal bankruptcy code by modifying the coverage without court consent.

Without a court decision, the committee wants the company to leave the retiree benefits alone.

Solutia filed for bankruptcy on Dec. 17, 2003. Its Chapter 11 case number is 03-17949.

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