Chemtura cuts 620 jobs and regroups

Chemtura plans to cut about 10% of its workforce or 620 people, including several senior managers, to reduce costs by $50 million annually beginning in 2008. In addition, the firm is reducing its business units from six to four, each focused on end-use markets and led by a group president. The businesses will be responsible for their own production facilities, financial forecasting, sourcing decisions, and technical development efforts. These actions will improve performance and accelerate growth, the firm says. CEO Robert L. Wood has wrestled with finding the right structure for Chemtura since joining the company in 2004. Chemtura will take a charge of $25 million to $35 million for the restructuring effort. The four new units are polymer additives, performance specialties, consumer products, and crop protection.