US Chemtura reports $118m Q2 net loss on lower sales

10 August 2009 22:30  [Source: ICIS news]

HOUSTON (ICIS news)--Chemtura reported a second-quarter net loss of $118m (€82.6m), up from a net loss of $273m in the 2008 second quarter but down sequentially due to reduced sales volumes driven by the global economic recession, the bankrupt US specialty chemicals producer said on Monday.

The company’s 2008 second-quarter loss resulted from a $320m goodwill impairment charge. It posted a 2009 first-quarter net loss of $94m.

Second-quarter net sales declined 32.8% year over year, to $687m from $1.02bn.

The company’s industrial performance products segment led the decline, with revenues falling $148m, or 38%. Antioxidant and urethane products took the biggest demand hits, Chemtura said.

Likewise, industrial engineered products declined 42%, or $136m, as products sold to the electronic, building and construction, and consumer durable polymer applications showed dramatic year-over-year reductions.

However, demand showed modest sequential improvement compared with the first quarter as the most significant effects of inventory de-stocking abated, the company said.

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

($1 = €0.70)

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By: Ben DuBose
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