Abstract: A heat-curable composition is disclosed comprising a hydroxyl-bearing polymer; a liquid, polyglycol hemi-formal diluent; and an aminoplast or phenolic resin capable of curing the hydroxyl-bearing polymer. Optionally, a pigment may be added to the composition.

Abstract: The title compounds are prepared by:Step 1: Reacting by contacting in liquid phase (a) an aliphatic mercaptan with (b) a 2-oxazoline in the presence of (c) a small but sufficient amount of at least one transition metal salt to catalyze the reaction between (a) and (b), thereby forming an alkanamidoethyl sulfide derivative of the aliphatic mercaptan, andStep 2: Contacting the alkanamidoethyl sulfide derivative from Step 1 with an aqueous protic acid (e.g., HCl).The transition metal salt catalysts are salts of the transition metals in groups 1b, 2b, 6b, 7b and 8, and rows 4 and 5 of the Periodic Table of the Elements, inclusive. As an example, the compound n--C.sub.8 H.sub.17 --S--CH.sub.2 CH.sub.2 --NH--C(O)--C.sub.2 H.sub.5 (I) was prepared in excellent yields by reacting n-octylmercaptan with 2-ethyl-2-oxazoline in the presence of a catalytic amount of hydrated cadmium chloride at a temperature of approximately 200.degree. C and a reaction time of one hour. The compound n--C.sub.8 H.sub.17 --S--CH.sub.2 CH.