FOR IMMEDIATE RELEASE

        TREDEGAR ACQUIRES EXXON'S PLASTIC FILM BUSINESS FOR $200 MILLION


         RICHMOND,  Va., May 17, 1999 -- Tredegar Industries (NYSE:TG) announced
that it has  acquired  the  assets  of Exxon  Chemical  Company's  plastic  film
business for $200 million.

         The  acquisition  includes 350 employees and two plants in Lake Zurich,
Ill., and Pottsville,  Pa., that manufacture  films used primarily in packaging,
personal hygiene and medical  markets.  Over the last 12 months ending March 31,
the Exxon business had revenues of $111 million and generated  EBITDA  (earnings
before interest,  taxes,  depreciation and amortization) of $24.6 million.  Over
the same period,  Tredegar's  film division  reported  sales of $280 million and
EBITDA of $64.2 million.

         Tredegar  is a major  producer  of plastic  films  used in diapers  and
feminine  hygiene  products  as well as a variety of other  packaging,  medical,
industrial and agricultural  markets. The company operates six film plants and a
technical center in the U.S. and has plants in the Netherlands, Hungary, Brazil,
Argentina and China.

         Based in  Richmond,  Va.,  Tredegar  Industries  is a  manufacturer  of
plastics and aluminum extrusions. Tredegar also has interests in drug discovery,
drug delivery and a variety of other emerging technologies.

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