The invention is a recycling process for forming a thermoformable polymer blend comprising:A) from 9 to 90 parts by weight of a monovinylidene aromatic polymer or an impact modified monovinylidene aromatic polymer, comprising from 1 to 25 weight percent of a rubber and 75 to 99 weight percent of a monovinylidene aromatic polymer matrix having a weight average molecular weight (M.sub.w) from 50,000 to 400,000, said weight percents being based on the total weight of said impact modified, monovinylidene aromatic polymer;B) from 9 to 90 parts by weight on an olefin polymer, selected from the group consisting of homopolymers of ethylene or propylene and copolymers of ethylene with one or more C.sub.4-8 alpha-olefins; andC) from 1 to 20 parts by weight of a compatibilizing polymer comprising a styrene-isoprene-styrene triblock copolymer having a weight average molecular weight of from about 50,000 to about 110,000 Daltons wherein the styrene contained in the styrene blocks is from about 25 to 50 weight percent of the total polymer and the sum of A), B) and C) is 100 parts.