National Gypsum, Parent Seek Protection

Deteriorating industry conditions, including a drop in housing starts, prompted Aancor Holdings Inc. and its wholly owned subsidiary, National Gypsum Co., to seek protection from creditors, officials said Monday.

Privately held Aancor filed the voluntary petitions in U.S. Bankruptcy Court on Sunday.

National Gypsum was acquired by Aancor Holdings through a leveraged buyout completed in April, 1986. The company subsequently has reduced the face value of its debt from about $2 billion to about $1 billion through downsizing and reorganization of assets and personnel, said Peter C. Browning, president and chief executive of both companies.