<PAGE>

================================================================================

                                 UNITED STATES
                      SECURITIES AND EXCHANGE COMMISSION
                            Washington, D.C. 20549


                                   FORM 10-Q

             [X] Quarterly Report Pursuant to Section 13 or 15(d)
     of the Securities Exchange Act of 1934 for the quarterly period ended
                                March 30, 2001

[_] Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange
           Act of 1934 for the transition period from _____ to _____

                       Commission file number: 333-19495

                          RADNOR HOLDINGS CORPORATION
            (Exact name of registrant as specified in its charter)

                   Delaware                              23-2674715
       (State or other jurisdiction of                (I.R.S. Employer
       incorporation or organization)               Identification Number)

     Three Radnor Corporate Center, Suite 300
    100 Matsonford Road, Radnor, Pennsylvania               19087
     (address of principal executive offices)             (Zip Code)

       Registrant's telephone number, including area code: 610-341-9600

    Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days.

                                Yes [X] No [_]

   The number of shares outstanding of the Registrant's common stock as of
                                 May 3, 2001:

                                                              Number
                         Class                              of Shares
          ------------------------------------------------- ----------

          Voting Common Stock; $.10 par value                   600
          Nonvoting Common Stock; $.10 par value                245
          Class B Nonvoting Common Stock; $.01 par value      5,400

================================================================================
<PAGE>

                        PART I - FINANCIAL INFORMATION

Item 1.  FINANCIAL STATEMENTS

                 RADNOR HOLDINGS CORPORATION AND SUBSIDIARIES
                     CONDENSED CONSOLIDATED BALANCE SHEETS
                     (In thousands, except share amounts)

<TABLE>
<CAPTION>
                                                                                       March 30,      December 29,
                                                                                          2001            2000
                                                                                      -----------     ------------
                                                                                      (Unaudited)
<S>                                                                                   <C>             <C>
                              ASSETS
                              ------
CURRENT ASSETS
      Cash                                                                            $     3,197      $     3,726
      Accounts receivable, net                                                             37,472           37,036
      Inventories, net                                                                     42,513           38,120
      Prepaid expenses and other                                                           13,189           12,669
      Deferred tax asset                                                                    1,611            1,617
                                                                                      -----------     ------------

           Total current assets                                                            97,982           93,168
                                                                                      -----------     ------------

PROPERTY, PLANT AND EQUIPMENT                                                             240,414          238,476
LESS - ACCUMULATED DEPRECIATION                                                           (50,026)         (47,083)
                                                                                      -----------     ------------

NET PROPERTY, PLANT AND EQUIPMENT                                                         190,388          191,393
                                                                                      -----------     ------------

OTHER ASSETS                                                                               22,162           21,438
                                                                                      -----------     ------------

           Total assets                                                               $   310,532      $   305,999
                                                                                      ===========     ============
                 LIABILITIES AND STOCKHOLDERS' EQUITY
                 ------------------------------------
CURRENT LIABILITIES
      Accounts payable                                                                $    52,191      $    52,385
      Accrued liabilities                                                                  22,008           19,869
      Current portion of long-term debt and capital
           lease obligations                                                                5,432            4,797
                                                                                      -----------     ------------

           Total current liabilities                                                       79,631           77,051
                                                                                      -----------     ------------

LONG-TERM DEBT, net of current portion                                                    230,256          220,566
                                                                                      -----------     ------------
CAPITAL LEASE OBLIGATIONS, net of current portion                                           3,794            4,145
                                                                                      -----------     ------------
DEFERRED TAX LIABILITY                                                                      2,554            3,990
                                                                                      -----------     ------------
OTHER NONCURRENT LIABILITIES                                                                2,065            2,058
                                                                                      -----------     ------------

COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY
      Voting and nonvoting common stock, 22,700 shares authorized,
           6,245 shares issued and outstanding                                                  1                1
      Additional paid-in capital                                                           19,387           19,387
      Retained deficit                                                                    (13,783)         (10,953)
      Cumulative translation adjustment                                                   (13,373)         (10,246)
                                                                                      -----------     ------------

           Total stockholders' equity (deficit)                                            (7,768)          (1,811)
                                                                                      -----------     ------------

           Total liabilities and stockholders' equity                                 $   310,532      $   305,999
                                                                                      ===========     ============
</TABLE>

  The accompanying notes are an integral part of these condensed consolidated
                             financial statements.

                                       2
<PAGE>

                 RADNOR HOLDINGS CORPORATION AND SUBSIDIARIES
                CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                                  (Unaudited)
                                (In thousands)

<TABLE>
<CAPTION>
                                                                                    For the three months ended
                                                                                    ---------------------------
                                                                                     March 30,        March 31,
                                                                                       2001             2000
                                                                                    ----------      -----------
<S>                                                                                 <C>             <C>
NET SALES                                                                            $ 79,366         $ 81,315

COST OF GOODS SOLD                                                                     62,798           63,139
                                                                                    ---------        ---------

GROSS PROFIT                                                                           16,568           18,176

OPERATING EXPENSES:
      Distribution                                                                      5,793            5,868
      Selling, general and administrative                                               9,486           10,749
                                                                                    ---------        ---------

INCOME FROM OPERATIONS                                                                  1,289            1,559

OTHER EXPENSE:
      Interest, net                                                                     5,385            5,419
      Other, net                                                                          326              163
                                                                                    ---------        ---------

LOSS BEFORE INCOME TAXES                                                               (4,422)          (4,023)

BENEFIT FOR INCOME TAXES:
      Current                                                                            (177)            (322)
      Deferred                                                                         (1,415)          (1,207)
                                                                                    ---------        ---------
                                                                                       (1,592)          (1,529)
                                                                                    ---------        ---------

NET LOSS                                                                             $ (2,830)        $ (2,494)
                                                                                    =========        =========
</TABLE>

  The accompanying notes are an integral part of these condensed consolidated
                             financial statements.

                                       3
<PAGE>

                 RADNOR HOLDINGS CORPORATION AND SUBSIDIARIES
                CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                                  (Unaudited)
                                (In thousands)

<TABLE>
<CAPTION>
                                                                 For the three months ended
                                                                 --------------------------
                                                                 March 30,        March 31,
                                                                   2001             2000
                                                                 ---------        ---------
<S>                                                              <C>              <C>
CASH FLOWS FROM OPERATING ACTIVITIES
    Net loss                                                     $ (2,830)        $ (2,494)
    Adjustments to reconcile net loss to cash used
       in operating activities-
         Depreciation and amortization                              4,782            4,665
         Deferred income taxes                                     (1,415)          (1,207)
         Changes in operating assets and liabilities, net of
            acquisition and disposition of businesses-
              Accounts receivable, net                             (1,416)          (7,571)
              Inventories, net                                     (5,108)          (6,298)
              Prepaid expenses and other                             (952)            (871)
              Accounts payable                                        719            3,573
              Accrued liabilities and other                         2,414              523
                                                                 --------         --------
                 Net cash used in continuing operations            (3,806)          (9,680)

                 Net cash used in discontinued operations             (15)          (1,144)
                                                                 --------         --------
                 Net cash used in operating activities             (3,821)         (10,824)

CASH FLOWS FROM INVESTING ACTIVITIES
    Capital expenditures                                           (5,358)          (2,332)
    Increase in other assets                                       (1,819)            (785)
                                                                 --------         --------
                 Net cash used in investing activities             (7,177)          (3,117)
                                                                 --------         --------
CASH FLOWS FROM FINANCING ACTIVITIES
    Net borrowings on bank financed debt and
       unsecured notes payable                                     11,258            9,670
    Net payments on capital lease obligations                        (286)            (265)
                                                                 --------         --------
                 Net cash provided by financing activities         10,972            9,405
                                                                 --------         --------
EFFECT OF EXCHANGE RATE CHANGES ON CASH                              (503)            (112)
                                                                 --------         --------
NET DECREASE IN CASH                                                 (529)          (4,648)

CASH, beginning of period                                           3,726            7,579
                                                                 --------         --------
CASH, end of period                                              $  3,197         $  2,931
                                                                 ========         ========
SUPPLEMENTAL CASH FLOW DISCLOSURES
    Interest paid                                                $  1,423         $    976
                                                                 ========         ========
    Income taxes paid, net of refunds of $168 in 2000            $      -         $   (152)
                                                                 ========         ========
</TABLE>

  The accompanying notes are an integral part of these condensed consolidated
                             financial statements.

                                       4
<PAGE>

                 RADNOR HOLDINGS CORPORATION AND SUBSIDIARIES
                         SUMMARY BY OPERATING SEGMENTS
                                  (Unaudited)
                                (In thousands)


                                           For the three months ended
                                          ------------------------------
                                           March 30,           March 31,
                                             2001                2000
                                          -----------         ----------

Sales to Unaffiliated Customers:
   Packaging and Insulation                  $ 56,345           $ 54,760
   Specialty Chemicals                         29,952             30,933
   Corporate and Other                            601                834
   Transfers Between Operating
      Segments/(1)/                            (7,532)            (5,212)
                                          -----------         ----------
                Consolidated                 $ 79,366           $ 81,315
                                          -----------         ----------

Operating Income (Loss):
   Packaging and Insulation                  $  3,559           $  4,677
   Specialty Chemicals                           (976)            (1,745)
   Corporate and Other                         (1,294)            (1,373)
                                          -----------         ----------
                Consolidated                 $  1,289           $  1,559
                                          -----------         ----------

Income (Loss) from Operations
 before Income Taxes:
   Packaging and Insulation                     $ 531           $  1,225
   Specialty Chemicals                         (2,563)            (2,604)
   Corporate and Other                         (2,390)            (2,644)
                                          -----------         ----------
                Consolidated                 $ (4,422)          $ (4,023)
                                          -----------         ----------


/(1)/ Transfers between operating segments reflect the sale of EPS bead from the
      specialty chemicals operating segment to the packaging and insulation
      operating segment.

                                       5
<PAGE>

                 RADNOR HOLDINGS CORPORATION AND SUBSIDIARIES
                         SUMMARY BY GEOGRAPHIC REGION
                                  (Unaudited)
                                (In thousands)


                                           For the three months ended
                                          -----------------------------
                                           March 30,           March 31,
                                             2001                2000
                                          -----------        -----------
Sales to Unaffiliated Customers:
   United States                           $   55,807        $    55,982
   Canada                                       7,511              7,088
   Europe                                      19,480             19,880
   Transfers Between Geographic
      Regions /1/                              (3,432)            (1,635)
                                          -----------        -----------
                Consolidated               $   79,366        $    81,315
                                          -----------        -----------

Operating Income (Loss):
   United States                           $      965        $       505
   Canada                                         618                224
   Europe                                        (294)               830
                                          -----------        -----------
                Consolidated               $    1,289        $     1,559
                                          -----------        -----------
Income (Loss) from Operations
 before Income Taxes:
   United States                           $   (2,954)       $    (3,378)
   Canada                                         199               (273)
   Europe                                      (1,667)              (372)
                                          -----------        -----------
                Consolidated               $   (4,422)       $    (4,023)
                                          -----------        -----------

/1/    Transfers between geographic regions reflect the sale of EPS bead from
       the Company's Canadian specialty chemical operations to its domestic food
       packaging operations as well as the sale of product from the Company's
       domestic food packaging operations to its European food packaging
       operations.

                                       6
<PAGE>

                 RADNOR HOLDINGS CORPORATION AND SUBSIDIARIES
             NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                                  (Unaudited)

(1)  BASIS OF PRESENTATION

     The condensed consolidated financial statements included herein have been
     prepared by Radnor Holdings Corporation and subsidiaries (collectively,
     "Radnor" or the "Company") pursuant to the rules and regulations of the
     Securities and Exchange Commission. Certain information and footnote
     disclosures normally included in consolidated financial statements prepared
     in accordance with generally accepted accounting principles have been
     condensed or omitted pursuant to such rules and regulations. In the opinion
     of the Company, the statements include all adjustments (which include only
     normal recurring adjustments) required for a fair statement of financial
     position, results of operations and cash flows for such periods. The
     results of operations for the interim periods are not necessarily
     indicative of the results for a full year.

(2)  DISCONTINUED OPERATIONS

     Pursuant to an asset purchase agreement among Benchmark Holdings, Inc.
     ("Benchmark"), WinCup Holdings, Inc. ("WinCup"), and the Fort James
     Corporation, formerly James River Paper Company, Inc. ("Fort James"), dated
     October 31, 1995, Benchmark and WinCup sold to Fort James all of the assets
     of Benchmark's cutlery and straws business and all of the assets of
     WinCup's thermoformed cup business, except for cash, accounts receivable
     and prepaid assets. The operations of Benchmark's cutlery and straws
     business and WinCup's thermoformed cup business were accounted for as
     discontinued operations.

(3)  INVENTORIES

     The components of inventories were as follows (in thousands):

                                          March 30,          December 29,
                                            2001                  2000
                                         -----------         ------------

     Raw Materials                       $   9,529            $  11,911
     Work in Process                         1,850                1,459
     Finished Goods                         31,134               24,750
                                         ---------            ---------
                                         $  42,513            $  38,120
                                         =========            =========

(4)  INTEREST EXPENSE

     Included in interest expense was $375,000 of amortization of deferred
     financing costs for the three months ended March 30, 2001 and March 31,
     2000. Premium amortization related to the issuance of the Company's 10%
     Series B Senior Notes due 2003 of $87,000 and $84,000 for three months
     ended March 30, 2001 and March 31, 2000, respectively, was also included in
     interest expense.

                                       7
<PAGE>

(5)  COMPREHENSIVE INCOME

     Comprehensive income is the total of net loss and non-owner changes in
     equity. The Company had comprehensive income as follows (in thousands):

                                                   Three Months Ended
                                               -------------------------
                                                 March 30,     March 31,
                                                   2001          2000
                                               -----------    ----------
     Net Loss                                  $  (2,830)     $  (2,494)
     Foreign Currency Translation Adjustment      (3,127)        (2,286)
                                               ---------      ---------
              Comprehensive Loss               $  (5,957)     $  (4,780)
                                               =========      =========

(6)  SUPPLEMENTAL FINANCIAL INFORMATION

     Radnor Holdings Corporation is a holding company that has no operations
     separate from its investment in subsidiaries. The Company's $100 million
     Series A Senior Notes and the $60 million Series B Senior Notes are
     guaranteed by substantially all of the Company's domestic subsidiaries. The
     following consolidating financial statements of Radnor Holdings Corporation
     and subsidiaries have been prepared pursuant to Rule 3-10 of Regulation S-
     X:

                                       8
<PAGE>

                 RADNOR HOLDINGS CORPORATION AND SUBSIDIARIES
                          CONSOLIDATED BALANCE SHEETS
                             As of March 30, 2001
                     (In thousands, except share amounts)

<TABLE>
<CAPTION>
                                                                  Holding     Guarantor   Non-Guarantor
                                                                  Company   Subsidiaries  Subsidiaries   Eliminations  Consolidated
                                                                  -------   ------------  ------------   ------------  ------------
<S>                                                           <C>           <C>           <C>            <C>           <C>
                   ASSETS
                   ------
CURRENT ASSETS
     Cash                                                     $         -   $        107  $      3,090   $          -   $     3,197
     Accounts receivable, net                                           -         23,375        14,097              -        37,472
     Inventories, net                                                   -         32,337        10,176              -        42,513
     Intercompany receivable                                            -              -         6,484         (6,484)            -
     Prepaid expenses and other                                       179         10,586         2,424              -        13,189
     Deferred tax asset                                                 -          1,505           134            (28)        1,611
                                                              -----------   ------------  ------------   ------------   -----------
         Total current assets                                         179         67,910        36,405         (6,512)       97,982
                                                              -----------   ------------  ------------   ------------   -----------
PROPERTY, PLANT AND EQUIPMENT                                           -        185,673        54,741              -       240,414
LESS - ACCUMULATED DEPRECIATION                                         -        (40,746)       (9,280)             -       (50,026)
                                                              -----------   ------------  ------------   ------------   -----------
NET PROPERTY, PLANT AND EQUIPMENT                                       -        144,927        45,461              -       190,388
                                                              -----------   ------------  ------------   ------------   -----------

INTERCOMPANY RECEIVABLE                                            18,706         20,833             -        (39,539)            -
INVESTMENT IN SUBSIDIARIES                                        106,153          7,005             -       (113,158)            -
DEFERRED TAX ASSET                                                  3,851              -             -         (3,851)            -
OTHER ASSETS                                                        4,255         12,364         5,543              -        22,162
                                                              -----------   ------------  ------------   ------------   -----------
         Total assets                                         $   133,144   $    253,039  $     87,409   $   (163,060)  $   310,532
                                                              ===========   ============  ============   ============   ===========

          LIABILITIES AND STOCKHOLDERS' EQUITY
          ------------------------------------
CURRENT LIABILITIES
     Accounts payable                                         $         -   $     36,496  $     15,695   $          -   $    52,191
     Accrued liabilities                                            5,254         11,843         4,911              -        22,008
     Intercompany Payable                                               -          9,572             -         (9,572)            -
     Current deferred tax liability                                     -              -            28            (28)            -
     Current portion of long-term debt and capital
         lease obligations                                              -          4,358         1,074              -         5,432
                                                              -----------   ------------  ------------   ------------   -----------
         Total current liabilities                                  5,254         62,269        21,708         (9,600)       79,631
                                                              -----------   ------------  ------------   ------------   -----------

LONG-TERM DEBT, net of current portion                            161,109         55,121        14,026              -       230,256
                                                              -----------   ------------  ------------   ------------   -----------
CAPITAL LEASE OBLIGATIONS, net of current portion                       -          3,241           553              -         3,794
                                                              -----------   ------------  ------------   ------------   -----------
INTERCOMPANY PAYABLE                                                    -         16,560        41,082        (57,642)            -
                                                              -----------   ------------  ------------   ------------   -----------
DEFERRED TAX LIABILITY                                                  -          6,067           338         (3,851)        2,554
                                                              -----------   ------------  ------------   ------------   -----------
OTHER NONCURRENT LIABILITIES                                            -          2,065             -              -         2,065
                                                              -----------   ------------  ------------   ------------   -----------

COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY
     Voting and nonvoting common stock, 22,700 shares
         authorized 6,245 shares issued and outstanding                 1              4            22            (26)            1
     Additional paid-in capital                                     9,164         97,634         4,517        (91,928)       19,387
     Retained earnings (deficit)                                  (42,384)        20,691         7,903              7       (13,783)
     Cumulative translation adjustment                                  -        (10,613)       (2,740)           (20)      (13,373)
                                                              -----------   ------------  ------------   ------------   -----------
         Total stockholders' equity                               (33,219)       107,716         9,702        (91,967)       (7,768)
                                                              -----------   ------------  ------------   ------------   -----------
         Total liabilities and stockholders' equity           $   133,144   $    253,039  $     87,409   $   (163,060)  $   310,532
                                                              ===========   ============  ============   ============   ===========
</TABLE>

                                       9
<PAGE>

                         RADNOR HOLDINGS CORPORATION AND SUBSIDIARIES
                               CONSOLIDATED STATEMENTS OF INCOME
                           For the three months ended March 30, 2001
                                         (In thousands)


<TABLE>
<CAPTION>
                                                                Holding    Guarantor      Non-Guarantor
                                                                Company   Subsidiaries    Subsidiaries   Eliminations   Consolidated
                                                              ----------  ------------   -------------   ------------   ------------
<S>                                                           <C>         <C>            <C>            <C>            <C>
NET SALES                                                       $     -     $ 56,040      $ 26,758        $ (3,432)      $ 79,366

COST OF GOODS SOLD                                                    -       44,642        21,588          (3,432)        62,798
                                                              ----------  ------------   -------------   ------------   ------------
GROSS PROFIT                                                          -       11,398         5,170               -         16,568

OPERATING EXPENSES:
     Distribution                                                     -        4,099         1,694                         5,793
     Selling, general and administrative                              -        6,867         2,619                         9,486
                                                              ----------  ------------   -------------   ------------   ------------
INCOME FROM OPERATIONS                                                -          432           857               -          1,289

OTHER EXPENSE:
     Interest, net                                                    -        4,164         1,221                          5,385
     Other, net                                                       -         (229)          555                            326
                                                              ----------  ------------   -------------   ------------   ------------
LOSS BEFORE INCOME TAXES                                              -       (3,503)         (919)              -         (4,422)

PROVISION (BENEFIT) FOR INCOME TAXES:
     Current                                                          -         (186)            9                           (177)
     Deferred                                                         -       (1,415)            -                         (1,415)
                                                              ----------  ------------   -------------   ------------   ------------
                                                                      -       (1,601)            9               -         (1,592)
                                                              ----------  ------------   -------------   ------------   ------------
NET LOSS                                                        $     -     $ (1,902)     $   (928)       $      -       $ (2,830)
                                                              ==========  ============   =============   ============   ============
</TABLE>

                         RADNOR HOLDINGS CORPORATION AND SUBSIDIARIES
                              CONSOLIDATED STATEMENTS OF CASH FLOWS
                            For the three months ended March 30, 2001
                                         (In thousands)

<TABLE>
<CAPTION>
                                                                    Holding     Guarantor    Non-Guarantor
                                                                    Company   Subsidiaries   Subsidiaries  Eliminations Consolidated
                                                                    -------   ------------   ------------  ------------ ------------
<S>                                                                 <C>       <C>          <C>           <C>          <C>
Net cash provided by (used in) operating activities:

                                                                      $ 2,762   $ (5,238)    $ (1,345)                  $ (3,821)

Cash flows from investing activities:
     Capital expenditures                                                   -     (2,805)      (2,553)                    (5,358)
     Change in other assets                                               251     (1,473)        (597)                    (1,819)
                                                                    ---------  ---------   ----------     ---------    ---------
Net cash provided by (used in) investing activities                       251     (4,278)      (3,150)            -       (7,177)
                                                                    ---------  ---------   ----------     ---------    ---------
Cash flows from financing activities:
     Net borrowings on bank financed debt and
       unsecured notes payable                                              -      5,936        5,322                     11,258
     Net borrowings (payments) on capital lease obligations                 -       (225)         (61)                      (286)
     Change in intercompany, net                                       (3,013)     3,216         (203)                         -
                                                                    ---------  ---------   ----------     ---------    ---------
Net cash provided by (used in) financing activities                    (3,013)     8,927        5,058             -       10,972
                                                                    ---------  ---------   ----------     ---------    ---------
Effect of exchange rate changes on cash                                     -       (198)        (305)                      (503)
                                                                    ---------  ---------   ----------     ---------    ---------
Net increase (decrease) in cash                                             -       (787)         258             -         (529)

Cash, beginning of period                                                   -        894        2,832             -        3,726
                                                                    ---------  ---------   ----------     ---------    ---------
Cash, end of period                                                  $      -   $    107     $  3,090      $      -     $  3,197
                                                                    =========  =========   ==========     =========    =========
</TABLE>

                                       10
<PAGE>

                 RADNOR HOLDINGS CORPORATION AND SUBSIDIARIES
                          CONSOLIDATED BALANCE SHEETS
                            As of December 29, 2000
                     (In thousands, except share amounts)

<TABLE>
<CAPTION>
                                                           Holding      Guarantor      Non-Guarantor
                                                           Company     Subsidiaries    Subsidiaries     Eliminations   Consolidated
                                                           ---------   ------------    -------------    ------------   ------------
                         ASSETS
                         ------
<S>                                                       <C>           <C>              <C>           <C>            <C>
CURRENT ASSETS
     Cash                                                  $       -     $     894        $ 2,832       $        -     $   3,726
     Accounts receivable, net                                      -        23,332         13,704                -        37,036
     Inventories, net                                              -        27,614         10,506                -        38,120
     Intercompany receivable                                       -             -          5,820           (5,820)            -
     Prepaid expenses and other                                  178         10,013         2,478                -        12,669
     Deferred tax asset                                            -          1,505           140              (28)        1,617
                                                           ---------   ------------    -------------    ------------   ------------

         Total current assets                                    178         63,358        35,480           (5,848)       93,168
                                                           ---------   ------------    -------------    ------------   ------------

PROPERTY, PLANT AND EQUIPMENT                                     -         182,864        55,612                -       238,476
LESS - ACCUMULATED DEPRECIATION                                   -         (38,005)       (9,078)               -       (47,083)
                                                           ---------   ------------    -------------    ------------   ------------

NET PROPERTY, PLANT AND EQUIPMENT                                 -         144,859        46,534                -       191,393
                                                           ---------   ------------    -------------    ------------   ------------

INTERCOMPANY RECEIVABLE                                      15,693          10,608             -          (26,301)            -
INVESTMENT IN SUBSIDIARIES                                  106,153           7,005             -         (113,158)            -
DEFERRED TAX ASSET                                            3,852               -             -           (3,852)            -
OTHER ASSETS                                                  4,614          11,838         4,986                -        21,438
                                                           ---------   ------------    -------------    ------------   ------------

         Total assets                                     $ 130,490       $ 237,668       $87,000        $(149,159)    $ 305,999
                                                           =========   ============    =============    ============   ============

      LIABILITIES AND STOCKHOLDERS' EQUITY
      ------------------------------------

CURRENT LIABILITIES
  Accounts payable                                        $       -       $  36,806       $15,579       $       -     $  52,385
  Accrued liabilities                                         1,268          14,012         4,589               -        19,869
  Intercompany Payable                                            -           9,492             -          (9,492)            -
  Current deferred tax liability                                  -               -            28             (28)            -
  Current portion of long-term debt and capital
      lease obligations                                           -           4,288           509               -         4,797
                                                           ---------   ------------    -------------    ------------   ------------
      Total current liabilities                               1,268          64,598        20,705          (9,520)       77,051
                                                           ---------   ------------    -------------    ------------   ------------

LONG-TERM DEBT, net of current portion                      161,196          49,226        10,144               -       220,566
                                                           ---------   ------------    -------------    ------------   ------------
CAPITAL LEASE OBLIGATIONS, net of current portion                 -           3,495           650               -         4,145
                                                           ---------   ------------    -------------    ------------   ------------
INTERCOMPANY PAYABLE                                              -               -        43,820         (43,820)            -
                                                           ---------   ------------    -------------    ------------   ------------
DEFERRED TAX LIABILITY                                            -           7,482           360          (3,852)        3,990
                                                           ---------   ------------    -------------    ------------   ------------
OTHER NONCURRENT LIABILITIES                                      -           2,058             -               -         2,058
                                                           ---------   ------------    -------------    ------------   ------------

COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY
      Voting and nonvoting common stock, 22,700 shares
         authorized 6,245 shares issued and outstanding           1               4            22             (26)            1
      Additional paid-in capital                              9,164          97,634         4,517         (91,928)       19,387
      Retained earnings (deficit)                           (41,139)         21,348         8,831               7       (10,953)
      Cumulative translation adjustment                           -          (8,177)       (2,049)            (20)      (10,246)
                                                           ---------   ------------    -------------    ------------   ------------

         Total stockholders' equity                         (31,974)        110,809        11,321         (91,967)       (1,811)
                                                           ---------   ------------    -------------    ------------   ------------

         Total liabilities and stockholders' equity       $ 130,490       $ 237,668       $87,000       $(149,159)    $ 305,999
                                                           =========   ============    =============    ============   ============
</TABLE>

                                       11
<PAGE>

                 RADNOR HOLDINGS CORPORATION AND SUBSIDIARIES
                       CONSOLIDATED STATEMENTS OF INCOME
                   For the three months ended March 31, 2000
                                (In thousands)

<TABLE>
<CAPTION>
                                                          Holding     Guarantor      Non-Guarantor
                                                          Company    Subsidiaries    Subsidiaries     Eliminations    Consolidated
                                                          -------    ------------    -------------    ------------    ------------
<S>                                                       <C>        <C>             <C>              <C>             <C>
NET SALES                                                 $     -    $     56,107    $      26,843    $    (1,635)    $     81,315

COST OF GOODS SOLD                                              -          43,864           20,910         (1,635)          63,139
                                                          -------    ------------    -------------    -----------     ------------
GROSS PROFIT                                                    -          12,243            5,933              -           18,176

OPERATING EXPENSES:
    Distribution                                                -           4,188            1,680              -            5,868
    Selling, general and administrative                         -           7,912            2,837              -           10,749
                                                          -------    ------------    -------------    -----------     ------------
INCOME FROM OPERATIONS                                          -             143            1,416              -            1,559

OTHER EXPENSE:
     Interest, net                                              -           4,144            1,275              -            5,419
     Other, net                                                 -            (257)             420              -              163
                                                          -------    ------------    -------------    -----------     ------------
LOSS BEFORE INCOME TAXES                                        -          (3,744)            (279)             -           (4,023)

PROVISION (BENEFIT) FOR INCOME TAXES:
    Current                                                     -            (309)             (13)             -             (322)
    Deferred                                                    -          (1,207)               -              -           (1,207)
                                                          -------    ------------    -------------    -----------     ------------
                                                                -          (1,516)             (13)             -           (1,529)
                                                          -------    ------------    -------------    -----------     ------------
NET LOSS                                                  $     -    $     (2,228)   $        (266)   $         -     $     (2,494)
                                                          =======    ============    =============    ===========     ============
</TABLE>

                 RADNOR HOLDINGS CORPORATION AND SUBSIDIARIES
                     CONSOLIDATED STATEMENTS OF CASH FLOWS
                   For the three months ended March 31, 2000
                                (In thousands)

<TABLE>
<CAPTION>
                                                          Holding     Guarantor      Non-Guarantor
                                                          Company    Subsidiaries    Subsidiaries     Eliminations    Consolidated
                                                          -------    ------------    -------------    ------------    ------------
<S>                                                       <C>        <C>             <C>              <C>             <C>
Net cash provided by (used in) operating activities:
                                                          $ 1,784    $     (2,486)   $     (10,122)   $          -    $    (10,824)

Cash flows from investing activities:
     Capital expenditures                                       -          (2,101)            (231)              -          (2,332)
     Increase in other assets                                 265            (932)            (118)              -            (785)
                                                          -------    ------------    -------------    ------------    ------------
Net cash provided by (used in) investing activities           265          (3,033)            (349)              -          (3,117)
                                                          -------    ------------    -------------    ------------    ------------
Cash flows from financing activities:
     Net borrowings on bank financed debt and
      unsecured notes payable                                   -           2,124            7,546               -           9,670
     Net borrowings (payments) on capital lease obligations     -            (207)             (58)              -            (265)
     Change in intercompany, net                           (2,049)          1,137              912               -               -
                                                          -------    ------------    -------------    ------------    ------------
Net cash provided by (used in) financing activities        (2,049)          3,054            8,400               -           9,405
                                                          -------    ------------    -------------    ------------    ------------
Effect of exchange rate changes on cash                         -            (105)              (7)              -            (112)
                                                          -------    ------------    -------------    ------------    ------------
Net decrease in cash                                            -          (2,570)          (2,078)              -          (4,648)

Cash, beginning of period                                       -           2,914            4,665               -           7,579
                                                          -------    ------------    -------------    ------------    ------------
Cash, end of period                                       $     -    $        344    $       2,587    $          -    $      2,931
                                                          =======    ============    =============    ===========     ============
</TABLE>

                                       12
<PAGE>

Item 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
         OF OPERATIONS

General
-------

    Radnor Holdings Corporation, through acquisition and internal development,
has established itself as a leading worldwide manufacturer and distributor of
specialty chemicals and foam packaging and insulation products for the
foodservice, insulation and packaging industries.

    The packaging and insulation business segment manufactures and distributes
foam cup and container products for the foodservice industry as well as a
variety of standard and specialized insulation products. Through its WinCup
Holdings, Inc. subsidiary, the Company is the second largest producer in the
United States of foam cups and containers for the foodservice industry. The
specialty chemicals business segment primarily manufactures and distributes
expandable polystyrene ("EPS") bead for internal consumption and distribution to
the insulation and packaging industries. Through its Radnor Chemical Corporation
subsidiary, the Company is the third largest worldwide producer of EPS.

Results of Operations
---------------------

CONSOLIDATED

                                                     Three Months Ended
                                                  ------------------------

                                                  March 30,    March 31,
(Millions of dollars)                               2001         2000
--------------------------------------------------------------------------
Net sales                                        $   79.4     $   81.3
--------------------------------------------------------------------------
Gross profit                                         16.6         18.2
--------------------------------------------------------------------------
Operating expenses                                   15.3         16.6
--------------------------------------------------------------------------
Income from operations                                1.3          1.6
--------------------------------------------------------------------------

    Net sales for the three months ended March 30, 2001 were $79.4 million, a
decrease of $1.9 million from the three months ended March 31, 2000. This
decrease was primarily caused by lower sales prices in the specialty chemicals
segment, resulting from reduced styrene monomer prices for the comparable
quarter in the prior year, and lower sales volumes, offset by higher selling
prices, at the U.S. packaging operations.

    Gross profit for the three months ended March 30, 2001 decreased by $1.6
million to $16.6 million from $18.2 million for the comparable period in 2000.
This decrease was primarily caused by a $3.2 million increase in energy-related
costs at the Company's U.S. packaging operations, largely offset by price
increases implemented in January 2001, and lower sales prices in specialty
chemical sales described above.

    Operating expenses for the three months ended March 30, 2001 decreased to
$15.3 million or 19.3% of net sales from $16.6 million or 20.4% of net sales for
the comparable period in 2000 primarily as a result of lower selling costs in
the domestic packaging business, decreased amortization and cost containment
initiatives. For the reasons described above, income from operations decreased
by $0.3 million to $1.3 million for the three months ended March 30, 2001.

                                      13
<PAGE>

SEGMENT ANALYSIS

Packaging & Insulation

                                                 Three Months Ended
                                            ----------------------------

                                              March 30,        March 31,
(Millions of dollars)                           2001             2000
------------------------------------------------------------------------
Net sales                                    $   56.3          $  54.8
------------------------------------------------------------------------
Gross profit                                     13.2             15.1
------------------------------------------------------------------------
Operating expenses                                9.6             10.4
------------------------------------------------------------------------
Income from operations                            3.6              4.7
------------------------------------------------------------------------

    Net sales in the packaging and insulation business segment increased by $1.5
million to $56.3 million for the three months ended March 30, 2001. This was
caused by increased selling prices at the Company's domestic operations and
increased volume in the European operations, partially offset by reduced
volumes in the U.S. packaging business.

    Gross profit declined $1.9 million to $13.2 million for the three months
ended March 30, 2001 from $15.1 million for the comparable period in 2000. This
was due to $3.2 million in higher energy-related costs at the Company's U.S.
operations, substantially offset by sales price increases implemented in January
2001.

    Operating expenses decreased to $9.6 million or 17.1% of net sales for the
three months ended March 30, 2001 from $10.4 million or 19.0% of net sales for
the comparable period in 2000, because of lower selling costs in the domestic
packaging operations. For the reasons described above, income from operations
decreased $1.1 million to $3.6 million for the three months ended March 30,
2001.

Specialty Chemicals

                                               Three Months Ended
                                         -------------------------------

                                           March 30,         March 31,
(Millions of dollars)                         2001             2000
------------------------------------------------------------------------
Net sales                                 $   30.0          $  30.9
------------------------------------------------------------------------
Gross profit                                   2.9              2.1
------------------------------------------------------------------------
Operating expenses                             3.9              3.9
------------------------------------------------------------------------
Loss from operations                          (1.0)            (1.8)
------------------------------------------------------------------------

    Net sales for the first quarter of fiscal 2001 were $30.0 million, down $0.9
million from the three months ended March 31, 2000. This decrease was primarily
due to lower selling prices resulting from reduced styrene monomer prices as
compared to the comparable quarter in the prior year. Net sales for the three
months ended March 30, 2001 and March 31, 2000 included sales to the packaging
and insulation segment of $7.5 million and $5.2 million, respectively.

    Gross profit increased by $0.8 million to $2.9 million for the three months
ended March 30, 2001. As a percentage of net sales, gross profit increased to
9.7% for the first quarter of fiscal 2001 from 6.8% for the

                                      14
<PAGE>

comparable period in 2000. This increase was primarily due to lower raw material
costs and manufacturing efficiencies throughout the segment.

    Operating expenses remained constant at $3.9 million for each of the
three-month periods ended March 30, 2001 and March 31, 2000. For the reasons
described above, the loss from operations was reduced by $0.8 million to $1.0
million for the three months ended March 30, 2001.

Corporate & Other

    Corporate operating expenses decreased $0.7 million to $1.7 million for the
three months ended March 30, 2001. This decrease was primarily due to
administrative cost containment initiatives as well as a decrease in
amortization.

Interest Expense
----------------

                                                   Three Months Ended
                                             ----------------------------

                                             March 30,       March 31,
(Millions of dollars)                          2001           2000
-------------------------------------------------------------------------
Interest expense                           $    5.4         $   5.4
-------------------------------------------------------------------------

    Interest expense for the three months ended March 30, 2001 remained
consistent with the same period in 2000.

Income Taxes
------------

                                                   Three Months Ended
                                             ----------------------------

                                             March 30,       March 31,
(Millions of dollars)                          2001            2000
-------------------------------------------------------------------------
Income tax benefit                         $   (1.6)        $  (1.5)
-------------------------------------------------------------------------

    The effective tax rate for the three months ended March 30, 2001 decreased
to 36.0% of pre-tax income from 38.0% of pre-tax income for the comparable
period in 2000. As of March 30, 2001, the Company had approximately $64.0
million of net operating loss carryforwards for federal income tax purposes,
which expire through 2020.

Liquidity and Capital Resources
-------------------------------

    During the three-month periods ended March 30, 2001 and March 31, 2000, the
Company's principal source of funds consisted of cash from financing activities.
During the 2001 period, after-tax cash flow of $0.5 million and net borrowings
on bank financed debt and capital lease obligations of $11.0 million were
primarily used to fund capital expenditures of $5.4 million and a $4.3 million
increase in working capital.

    As of March 30, 2001, the Company had $50.0 million outstanding under its
revolving credit agreements. Including cash on hand, the Company had $4.0
million of availability under its revolving credit agreements as of March 30,
2001. The principal uses of cash for the next several years will be working
capital requirements and capital expenditures.

    As a holding company, Radnor Holdings Corporation is dependent upon
dividends and other payments from its subsidiaries to generate the funds
necessary to meet its obligations. Subject to certain limitations under

                                      15
<PAGE>

applicable state law and the Company's credit agreements, Radnor Holdings
Corporation is, and will continue to be, able to control its receipt of
dividends and other payments from its subsidiaries. Management believes that
cash generated from operations, together with available borrowings under the
revolving credit facilities, will be sufficient to meet the Company's expected
operating needs, planned capital expenditures and debt service requirements.

Other Financial Data
--------------------

Financial Instruments

    There has been no material change in the net financial instrument position
or sensitivity to market risk since the disclosure in the annual report.

Forward Looking Statements
--------------------------

    All statements contained herein that are not historical facts are based on
current expectations. These statements are forward looking in nature and involve
a number of risks and uncertainties. Such risks and uncertainties are described
in detail in the Company's Report on Form 10-K for the year ended December 29,
2000, Commission File No. 333-19495, to which reference is hereby made.

                                      16
<PAGE>

                          PART II - OTHER INFORMATION


Item 1.   LEGAL PROCEEDINGS

    The Company is involved in various legal actions arising in the normal
course of business. After taking into consideration legal counsel's evaluation
of such actions, management believes that these actions will not have a material
effect on the Company's financial position or results of operations.

Item 6.   EXHIBITS AND REPORTS ON FORM 8-K

        (a)   Exhibits

              10.1    Second Amendment to Styrene Monomer Contract of Sale,
                      dated as of January 1, 2001, among Chevron Phillips
                      Chemical Company LP, Radnor Chemical Corporation,
                      StyroChem U.S., Ltd., StyroChem Canada, Ltd. and WinCup
                      Holdings, Inc.

              10.2    Amendment No. 4 to Third Amended and Restated Revolving
                      Credit and Security Agreement, dated as of March 29, 2001
                      among WinCup Holdings, Inc., Radnor Chemical Corporation,
                      StyroChem U.S., Ltd., Radnor Holdings Corporation, Radnor
                      Delaware, Inc., StyroChem Delaware, Inc., WinCup Texas,
                      Ltd., StyroChem Europe (the Netherlands) B.V., StyroChem
                      Finland Oy, ThermiSol Denmark A/S, ThermiSol Sweden AB,
                      ThermiSol Finland Oy, Bank of America, N.A. and First
                      Union National Bank.

                      Portions of this Exhibit have been deleted pursuant to the
                      Company's Application Objecting to Disclosure and
                      Requesting Confidential Treatment under Rule 24b-2 of the
                      Securities Exchange Act of 1934.

        (b)   Reports on Form 8-K

              There were no reports filed on Form 8-K during the three month
              period ended March 30, 2001.

                                      17
<PAGE>

                                   SIGNATURES

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, its duly authorized officer and chief financial officer.

                                            RADNOR HOLDINGS CORPORATION
                                            (registrant)

                                            /s/ Michael V. Valenza
                                            ---------------------------

Date:  May 3, 2001                   By:    Michael V. Valenza
                                            Senior Vice President-Finance and
                                            Chief Financial Officer

                                      18