US Chemtura posts Q1 net loss of $94m on weak demand

08 May 2009 23:15  [Source: ICIS news]

HOUSTON (ICIS news)--Chemtura posted a first-quarter net loss of $94m (€70.5m), down from a $21m net loss a year ago due to continued weak demand, the bankrupt US specialty chemicals producer said on Friday.

Net sales declined accordingly, falling 43% to $517m from $909m in the prior-year period.

“January saw no improvement in customer demand from the depressed levels in December 2008, and some business segments saw further deterioration,” the company said.

“While February and March of 2009 saw incremental improvement in net sales compared with January, business conditions remained difficult, particularly for business segments serving cyclically exposed industries as is evidenced by the 43% reduction in sales in the first quarter," the company said.

The decline was led by the company’s industrial engineered products segment, which produces polymer additives. Revenues for that segment decreased by 52%, to $157m from $327m, from the prior-year period due to lower volumes as well as $31m in costs related to the divestiture of the company’s oleochemicals business.

Chemtura, based in Middlebury, Connecticut, also makes water and agriculture chemicals. The company's US operations filed for bankruptcy protection on 18 March.

($1 = €0.75)

For more on Chemtura visit ICIS company intelligence
To discuss issues facing the chemical industry go to ICIS connect

By: Ben DuBose
+1 713 525 2653

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly