UNITED STATES

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): January 18, 2008

~~May 9,~~PROPEX ~~2007~~INC.

Propex Inc.

(Exact name of registrant as specified in its charter)

Delaware	333-122829	36-2692811
(State or Other Jurisdiction of Incorporation or Organization)	(Commission File Number)	(I.R.S. Employer Identification Number)
(State or other jurisdiction of incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

6025 Lee Highway, Suite 425, ~~Chattanooga, Tennessee 37421~~

~~(Address~~Chattanooga, ofTennessee ~~Principal~~37421 ~~Executive Offices)~~

(Address of principal executive offices, including zip code)

(423) 855-1466

(Registrant’s ~~Telephone~~telephone ~~Number~~number, ~~Including~~including ~~Area~~area ~~Code~~code)

Check the appropriate box below if the ~~form~~Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨ Written ~~Communications~~communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2 (b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4 (c))

Item 21.~~02.~~01 ~~Results~~Entry ofinto ~~Operations~~a ~~and~~Material ~~Financial~~Definition ~~Condition.~~Agreement

~~The~~On January 23, ~~following information~~2008, ~~including~~ the ~~Exhibit~~Company ~~attached~~and ~~hereto,~~certain ~~shall~~of ~~not~~its besubsidiaries ~~deemed “filed”~~entered ~~for~~into ~~purposes~~a ofSuperpriority ~~Section 18~~Debtor-In-Possession ofCredit ~~the~~Agreement ~~Securities~~with ~~Act~~BNP ofParibas, ~~1934~~as Administrative Agent, ~~nor~~and ~~shall~~the itother belenders ~~deemed~~party ~~incorporated~~thereto bypursuant ~~reference~~to inwhich ~~any~~such ~~filing~~lenders ~~under~~will provide ~~the~~a ~~Securities~~$60 ~~Act~~million revolving line of ~~1933,~~credit ~~except~~facility asto ~~shall~~the beCompany. ~~expressly~~The ~~set~~credit ~~forth~~facility is secured by ~~specific~~a ~~reference~~first inpriority ~~such filing~~lien on substantially all of the Company’s assets and guaranteed by the Company’s subsidiaries.

~~Attached~~The asforegoing ~~Exhibit~~description ~~99.1~~of the Credit Agreement is aqualified ~~copy~~in ofits aentirety ~~press~~by ~~release~~reference ofto ~~Propex~~the ~~Inc.,~~full ~~dated~~text ~~May 9,~~of ~~2007,~~such ~~reporting~~agreement ~~Propex~~which ~~Inc.’s~~is ~~results~~filed as Exhibit ~~for~~10.1 ~~the~~to ~~three~~this ~~months~~Form ~~ended~~8-K ~~April~~and incorporated into this Item 1,.01 ~~2007~~by reference.

Item 91.~~01(d).~~03 ~~Exhibits~~Bankruptcy or Receivership.

~~Exhibit~~On 99January 18, 2008, Propex Inc.1, ~~Press~~a ~~Release~~Delaware corporation (the “Company”), and its wholly owned domestic subsidiaries (collectively, the Company and its wholly owned domestic subsidiaries are referred to as the “Debtors”) filed voluntary petitions (the “Petitions”) for relief under chapter 11 of ~~Propex~~title ~~Inc~~11 of the United States Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for Eastern District of Tennessee (Case Nos. 08-bk-10249). Each of the Debtors remains in possession of their assets and properties, ~~dated~~and ~~May~~continues 9to operate their businesses, ~~2007~~as debtors-in-possession under the jurisdiction of the Bankruptcy Court and in accordance with the applicable provisions of the Bankruptcy Code. On January 22, ~~reporting~~2008, ~~Propex~~the ~~Inc~~Bankruptcy Court approved certain first day motions proposed by the Company, including approving a $60 million debtor-in-possession credit facility (“DIP Financing”) on an interim basis, with immediate access to $20 million as requested by the Company, which is available to complement existing cash on hand.’s ~~financial~~Such ~~results~~DIP Financing will provide the Company with immediate and sufficient liquidity to operate its business on an ongoing basis. A final hearing for further funding under the ~~three~~credit ~~months~~facility ~~ended~~is ~~April~~scheduled 1for February 13, ~~2007~~2008. In addition, the Court also approved all other First-Day Motions it considered, including the motion to pay employee wages and benefits and the motion to use the Company’s existing cash management system, which enables the Company’s businesses to continue to operate in a normal manner.

~~SIGNATURES~~On January 18, 2008, the Company issued a press release relating to the filing of the Petitions, a copy of which is attached hereto as Exhibit 99.1 and is incorporated herein by reference. On January 23, 2008, the Company issued a press release relating to the approval of first day orders and the DIP Financing, a copy of which is attached hereto as Exhibit 99.2 and is incorporated herein by reference.

~~Pursuant~~Item to9.01 ~~the~~Financial ~~requirements~~Statements ofand ~~the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized~~Exhibits.

The following are furnished herewith.

~~Exhibit~~(c) ~~Index~~Exhibits

Exhibit No. Exhibit 99.1 Press Release of Propex Inc., dated May 9, 2007, reporting Propex Inc.’s financial results for the three months and ended April 1, 2007.


10.1		Superpriority Credit Agreement, dated January 23, 2008, by and among Propex Inc., Propex Holdings Inc., the subsidiaries of the Company party hereto, the financial institutions listed therein, and BNP Paribas, as administrative agent.

99.1		Press Release dated January 18, 2008.

99.2		Press Release dated January 23, 2008.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


	PROPEX INC.

Dated: January 24, 2008	By:	/s/ Lee McCarter
		Lee McCarter
		Executive Vice President and
		Chief Financial Officer

INDEX TO EXHIBITS


Exhibit No.		Description
10.1		Superpriority Credit Agreement, dated January 23, 2008, by and among Propex Inc., Propex Holdings Inc., the subsidiaries of the Company party thereto, the financial institutions listed therein, and BNP Paribas, as administrative agent for Lenders

99.1		Press Release dated
		January 18, 2008

99.2		Press Release dated
		January 23, 2008

PROPEX INC. (REGISTRANT)

Date: May 9, 2007

/s/ Lee McCarter

Lee McCarter

Executive Vice President and Chief Financial Officer

Filing Compare · Propex Inc.