20 January 2009 14:05 [Source: ICIS news]
TORONTO (ICIS news)--US specialty chemicals producer Rohm and Haas on Tuesday announced new savings and restructuring measures, affecting some 900 jobs, as it responds to deteriorating market conditions.
"We will continue to aggressively protect our company from the challenges of deteriorating market conditions and a weakening economy," CEO Raj Gupta said.
President and chief operating officer Pierre Brondeau added: "Our actions today are intended to adjust our operations to current business conditions, which reflect softening markets worldwide.”
The cuts, which would build on restructuring actions announced in June 2008, were expected to result in $90m (€68m) of annual pre-tax savings, the company said.
Rohm would idle or close underutilised plant, cut some jobs that were directly impacted by lower market demand, and freeze discretionary spending and salaries where possible, among other measures, it said.
The company did not directly update on the status of its pending $18.5bn merger with Dow Chemical.
However, it said its announcement was subject to changes based on a number of factors, including ”the occurrence of any event, change or other circumstances that could give rise to the termination of the merger agreement between Rohm and Haas and Dow Chemical or to the failure of any condition to be satisfied.”
Last week, Rohm said that Dow would start paying fees of roughly $3.35m/day after Dow failed to meet a deadline to close the deal.
($1 = €0.76)
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