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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) May 8, 1997
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ENVIRODYNE INDUSTRIES, INC.
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(Exact name of registrant as specified in its charter)
Delaware 0-5485 95-2677354
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(State or other jurisdiction of (Commission (I.R.S.
incorporation or organization) File No.) Employer
Identification
No.)
701 Harger Road, Suite 190, Oak Brook, Illinois 60521
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (630) 571-8800
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Page 1 of Pages
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Item 5. - Other Events
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On May 8, 1997, Envirodyne Industries, Inc. ("Envirodyne")
announced that its wholly owned subsidiary, Viskase Corporation
("Viskase"), has successfully developed a new process for the
manufacture of its cellulose casings. The first production unit is
under construction and will begin full production in late 1998.
Significant capital investment will be required to convert all of
Viskase's production capacity to this new process, which investment
will be considered when Envirodyne refinances its current debt in
mid-1999. A copy of a press release relating to the new process is
attached hereto as Exhibit 99.
Item 7. - Financial Statements and Exhibits
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(c) Exhibits
EX-99 Press release dated May 8, 1997.
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SIGNATURES
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Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on
its behalf by the undersigned thereunto duly authorized.
ENVIRODYNE INDUSTRIES, INC.
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Registrant
By: /S/ Gordon S. Donovan
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Gordon S. Donovan
Vice President, Chief
Financial Officer and
Treasurer
May 9, 1997
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Exhibit No. Description of Exhibits Page
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EX-99 Press release dated May 8, 1997.
EXHIBIT 99
Nasdaq SmallCap - EDYN For additional information contact:
S.M. Schuster or G.S. Donovan
(630) 575-2400
ENVIRODYNE INDUSTRIES, INC. ANNOUNCES
A MAJOR BREAKTHROUGH IN CELLULOSE CASINGS TECHNOLOGY
OAK BROOK, ILLINOIS, May 8, 1997 - Envirodyne Industries, Inc.
(Nasdaq SmallCap: EDYN) today announced that its Viskase subsidiary
has successfully developed a new process for the manufacture of its
cellulose casings. This new process utilizes technology originally
developed by Courtaulds Fibres Limited for the manufacture of
lyocell, a new generic class of cellulosic fiber. Following more
than six years of extensive research and development efforts,
Viskase's technical experts have adapted this fiber process
technology to the manufacture of tubular cellulose casings used in
the production of meat and poultry products such as hot dogs and
sausages.
F. Edward Gustafson, chairman of the board, president and chief
executive officer, said that this breakthrough will enable Viskase
to significantly reduce its operating cost while improving product
quality, thus gaining an important strategic advantage in what has
become a highly competitive marketplace.
"Viskase has assembled an extensive portfolio of patents to protect
this new process which combines certain proprietary and patented
technology," Gustafson said, "additional patent applications will
be filed as further technological advances are made."
The first production unit is currently under construction and will
begin full production in late 1998. Full conversion to this new
process will begin following the successful start-up of this first
line. Significant capital investment will be required to convert
all Viskase's production capacity to this new process and these
funds will be considered as Envirodyne looks forward to refinancing
its current debt in mid-1999.
Although the full benefits of Viskase's development is some years
away, this exciting breakthrough is expected to have a significant
impact on Envirodyne's future profitability and ensure that the
Company remains in the forefront of developing technology to serve
the needs of the meat and poultry industries on a worldwide basis.
Viskase developed the original cellulose process for the
manufacture of casings over 72 years ago. This enabled the meat
industry, for the first time, to employ high speed automated
processing of meat emulsions for the production of skinless hot
dogs which are enjoyed worldwide by millions of consumers every
day.
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