Philadelphia, Pennsylvania -- Chemtura Corp. has reduced its net loss to $89 million in the fourth quarter of 2009 (Q4), compared to $690 million a year earlier.
The company's Industrial Performance Products division, which includes the company's urethanes and antioxidant/ultraviolet plastic additives activities, reported sales down by 7 percent to $279 million in Q4, compared to the same period the previous year.
Chemtura said the decrease in sales was mainly due to reduced sales volume and selling prices. The unit did however report an operating profit of $25 million, on a managed basis, due to lower raw material and energy prices. The quarterly result is an improvement from Q3, when sales in the unit had dropped 30 percent, compared to Q3 2008.
For the full year 2009, the unit reported sales of $999 million, down from $1465 million in 2008, Chemtura said 12 March.
Chemtura's Industrial Engineered Products business, which includes the company's flame retardants activities, reported sales down by 3 percent in Q4 to $202 million, also mainly due to reduced prices. The unit reported a recovery in demand for electronics applications through Q3 2009 and continuing into Q4, while building and construction polymer applications -- which had experienced the most dramatic declines -- show a modest recovery as the broader economy improves. Operating profit increased by $37 million in Q4, compared to Q4 2008, due to lower raw material, energy and manufacturing costs, the statement said.
Overall company sales were down 5 percent to $656 million in Q4, compared to the same period of 2008. Full year sales were $2541 million, down from $3546 million in 2008.
In regard to the company's bankruptcy proceedings, Chemtura said it remains committed to emerging from Chapter 11 protection "as soon as practicable." (RD)