EXHIBIT 3

FOR IMMEDIATE RELEASE                                   Contact:
August 14, 1997                                         Peter F. Loscocco
                                                        614/225-4482


New Law Provides Continued Exemption From Corporate Tax
BORDEN CHEMICALS AND PLASTICS LIMITED PARTNERSHIP
TERMINATES PLAN TO CONVERT TO CORPORATE FORM

     COLUMBUS, OHIO (August 14, 1997) -- Prompted by a recent change in tax laws
governing publicly traded limited partnerships, the board of directors of BCP
Management, Inc., the general partner of Borden Chemicals and Plastics Limited
Partnership (NYSE; BCU), today voted to terminate its previously announced plan
to convert ownership interests in the partnership into shares of a newly formed
corporation.

     Under tax laws in effect when the decision was made earlier this year to
convert to corporate form, the partnership's exemption from federal income taxes
would have expired at the end of 1997.  Borden Chemicals and Plastics would have
been required to pay corporate tax beginning in 1998.

     Through a provision in the tax bill signed into law by President Clinton on
August 5, the exemption of publicly traded limited partnerships form federal
income taxes is made permanent, and a new 3.5 percent tax is to be levied on
gross income beginning January 1, 1998.  Under the new law, publicly traded
partnerships retain the ability to convert to corporate form in the future,
should they desire.

     "We have said all along that our decision to convert to corporate form was
in the best interest of our unitholders, based on existing tax law and the year-
end expiration of our tax exemption," said Joseph M. Saggese, chairman,
president and chief executive officer for the general partner.  "Now that the
tax law has changed, the benefits to our unitholders of

 
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remaining a limited partnership at this time -- even with the 3.5 percent tax --
outweigh those of the proposed conversion."

     With the board's action, Borden Chemicals and Plastics will continue to
operate as a publicly traded partnership.  The partnership will continue its
policy of distributing available cash at the end of each quarter to its
unitholders, although beginning in 1998, the amount of available cash will be
reduced by the new 3.5 percent tax.

     Borden Chemicals and Plastics Limited Partnership manufactures polyvinyl
chloride resins, methanol and derivatives, and nitrogen products at facilities
located in Geismar and Addis, La, and Illiopolis, Ill.  BCP Management, Inc. a
wholly owned subsidiary of Borden, Inc., serves as its general partner.