Advertisement

If you have an ACS member number, please enter it here so we can link this account to your membership. (optional)

ACS values your privacy. By submitting your information, you are gaining access to C&EN and subscribing to our weekly newsletter. We use the information you provide to make your reading experience better, and we will never sell your data to third party members.

ENJOY UNLIMITED ACCES TO C&EN

Business

Cutbacks Planned At DuPont Spin-Off Chemours

by Marc S. Reisch
August 17, 2015 | A version of this story appeared in Volume 93, Issue 32

Chemours, the performance chemicals business spun off from DuPont on July 1, says it is reviewing strategic alternatives for its chemical solutions business, excluding cyanides, and that it plans to cut costs, including in R&D, by $350 million through 2017. The firm also confirms plans to reduce its dividend starting in the fourth quarter to be significantly less than the $100 million it will pay investors in the third quarter. The company revealed the initiatives as it posted a second-quarter loss of $18 million on sales of $1.5 billion versus earnings of $116 million on sales of $1.7 billion while part of DuPont a year ago. To realize a $500 million earnings improvement by 2017, Chemours has adopted a transformation plan that includes reducing fixed costs; improving earnings from its refrigerants, cyanides, and titanium dioxide businesses; a possible exit from businesses such as sulfuric acid and aniline; and capital spending reductions. While the quarterly results show the company has ratcheted back R&D spending, a spokesman says the cost reduction plan will have minimal impact on R&D for the firm’s core businesses.

Article:

This article has been sent to the following recipient:

0 /1 FREE ARTICLES LEFT THIS MONTH Remaining
Chemistry matters. Join us to get the news you need.