Norwalk, Connecticut -- Arch Chemicals Inc., a manufacturer of speciality polyols, has reported performance urethanes sales of $39.1 million in the fourth quarter of 2009 (Q4), down from $42.7 million in Q4 2008 but up from $35.2 million from the previous quarter of 2009. Urethanes sales for the full year were down to $150.2 million, compared with $197 million in 2008, a 4 Feb company statement said.
Arch Chemicals said the 8 percent decline in sales in Q4, compared to the previous year, was due to lower pricing as selling price increases lagged behind rising oil-based raw material costs, as well as competitive activities in the polyol market.
Operating income decreased by $8 million due to higher raw material costs, "as propylene costs in last year's quarter settled at a then six-year low," the statement said.
Overall, the company reported full-year sales of $1391.9 million in 2009, compared to $1492 million in 2008.
"I am very pleased with our 2009 operating results, particularly our stronger-than expected fourth quarter performance," said Arch Chemicals ceo, Michael Campbell. "Our business leaders did an excellent job of executing on our strategies to drive profitable growth by improving productivity, increasing prices where possible, and growing market share," he added.
Campbell said the company has paid off around $50 million of debt during 2009 and completed three new financing agreements to strengthen the balance sheet. "Together, these major accomplishments position Arch very well for 2010," Campbell concluded. (RD)