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— Nylon 6, is a polymer developed by Paul Schlack at IG Farben to reproduce the properties of nylon 6.6 without violating the patent on its production. It was given the trademark Perlon? in 1952. For more information or any query mail at sales@wiseguyreports.com Scope of the Report: This report focuses on the Nylon 6 in United States market, to split the market based on manufacturers, states, type and application. Market Segment by Applications, can be divided into Automotive Industry Electronics & Electrical Packaging Industry Others There are 17 Chapters to deeply display the United States Nylon 6 market. Chapter 1, to describe Nylon 6 Introduction, product type and application, market overview, market analysis by States, market opportunities, market risk, market driving force; Chapter 2, to analyze the manufacturers of Nylon 6, with profile, main business, news, sales, price, revenue and market share in 2016 and 2017; Chapter 3, to display the competitive situation among the top manufacturers, with sales, revenue and market share in 2016 and 2017; Chapter 4, to show the United States market by States, covering California, New York, Texas, Illinois and Florida, with sales, price, revenue and market share of Nylon 6, for each state, from 2012 to 2017; 2 Manufacturers Profiles 2.1 BASF SE 2.1.1 Profile 2.1.2 Nylon 6 Type and Applications 2.1.2.1 Type 1 2.1.2.2 Type 2 2.1.3 BASF SE Nylon 6 Sales, Price, Revenue, Gross Margin and Market Share (2016-2017) 2.1.4 Business Overview 2.1.5 BASF SE News 2.2 Honeywell 2.2.1 Profile 2.2.2 Nylon 6 Type and Applications 2.2.2.1 Type 1 2.2.2.2 Type 2 2.2.3 Honeywell Nylon 6 Sales, Price, Revenue, Gross Margin and Market Share (2016-2017) 2.2.4 Business Overview 2.2.5 Honeywell News 2.3 Royal DSM N.V 2.3.1 Profile 2.3.2 Nylon 6 Type and Applications 2.3.2.1 Type 1 2.3.2.2 Type 2 2.3.3 Royal DSM N.V Nylon 6 Sales, Price, Revenue, Gross Margin and Market Share (2016-2017) 2.3.4 Business Overview 2.3.5 Royal DSM N.V News 2.4 Lanxess 2.4.1 Profile 2.4.2 Nylon 6 Type and Applications 2.4.2.1 Type 1 2.4.2.2 Type 2 2.4.3 Lanxess Nylon 6 Sales, Price, Revenue, Gross Margin and Market Share (2016-2017) 2.4.4 Business Overview 2.4.5 Lanxess News 2.5 Clariant Corporation 2.5.1 Profile 2.5.2 Nylon 6 Type and Applications 2.5.2.1 Type 1 2.5.2.2 Type 2 2.5.3 Clariant Corporation Nylon 6 Sales, Price, Revenue, Gross Margin and Market Share (2016-2017) 2.5.4 Business Overview 2.5.5 Clariant Corporation News 2.6 Unitika 2.6.1 Profile 2.6.2 Nylon 6 Type and Applications 2.6.2.1 Type 1 2.6.2.2 Type 2 2.6.3 Unitika Nylon 6 Sales, Price, Revenue, Gross Margin and Market Share (2016-2017) 2.6.4 Business Overview 2.6.5 Unitika News 2.7 DOMO Chemicals 2.7.1 Profile 2.7.2 Nylon 6 Type and Applications 2.7.2.1 Type 1 2.7.2.2 Type 2 2.7.3 DOMO Chemicals Nylon 6 Sales, Price, Revenue, Gross Margin and Market Share (2016-2017) 2.7.4 Business Overview 2.7.5 DOMO Chemicals News 2.8 Firestone Textiles Company 2.8.1 Profile 2.8.2 Nylon 6 Type and Applications 2.8.2.1 Type 1 2.8.2.2 Type 2 2.8.3 Firestone Textiles Company Nylon 6 Sales, Price, Revenue, Gross Margin and Market Share (2016-2017) 2.8.4 Business Overview 2.8.5 Firestone Textiles Company News 2.9 Grupa Azoty 2.9.1 Profile 2.9.2 Nylon 6 Type and Applications 2.9.2.1 Type 1 2.9.2.2 Type 2 2.9.3 Grupa Azoty Nylon 6 Sales, Price, Revenue, Gross Margin and Market Share (2016-2017) 2.9.4 Business Overview 2.9.5 Grupa Azoty News 2.10 LIBOLON 2.10.1 Profile 2.10.2 Nylon 6 Type and Applications 2.10.2.1 Type 1 2.10.2.2 Type 2 2.10.3 LIBOLON Nylon 6 Sales, Price, Revenue, Gross Margin and Market Share (2016-2017) 2.10.4 Business Overview 2.10.5 LIBOLON News 2.11 Polymeric Resources Corporation 2.11.1 Profile 2.11.2 Nylon 6 Type and Applications 2.11.2.1 Type 1 2.11.2.2 Type 2 2.11.3 Polymeric Resources Corporation Nylon 6 Sales, Price, Revenue, Gross Margin and Market Share (2016-2017) 2.11.4 Business Overview 2.11.5 Polymeric Resources Corporation News 2.12 UBE 2.12.1 Profile 2.12.2 Nylon 6 Type and Applications 2.12.2.1 Type 1 2.12.2.2 Type 2 2.12.3 UBE Nylon 6 Sales, Price, Revenue, Gross Margin and Market Share (2016-2017) 2.12.4 Business Overview 2.12.5 UBE News 2.13 EMS-Grivory 2.13.1 Profile 2.13.2 Nylon 6 Type and Applications 2.13.2.1 Type 1 2.13.2.2 Type 2 2.13.3 EMS-Grivory Nylon 6 Sales, Price, Revenue, Gross Margin and Market Share (2016-2017) 2.13.4 Business Overview 2.13.5 EMS-Grivory News 2.14 Shakespeare 2.14.1 Profile 2.14.2 Nylon 6 Type and Applications 2.14.2.1 Type 1 2.14.2.2 Type 2 2.14.3 Shakespeare Nylon 6 Sales, Price, Revenue, Gross Margin and Market Share (2016-2017) 2.14.4 Business Overview 2.14.5 Shakespeare News 3 United States Nylon 6 Market Competition, by Manufacturer 3.1 United States Nylon 6 Sales and Market Share by Manufacturer (2016-2017) 3.2 United States Nylon 6 Revenue and Market Share by Manufacturer (2016-2017) 3.3 United States Nylon 6 Price by Manufacturers (2016-2017) 3.4 Market Concentration Rate 3.4.1 Top 3 Nylon 6 Manufacturer Market Share 3.4.2 Top 5 Nylon 6 Manufacturer Market Share 3.5 Market Competition Trend For more information or any query mail at sales@wiseguyreports.com ABOUT US: Wise Guy Reports is part of the Wise Guy Consultants Pvt. Ltd. and offers premium progressive statistical surveying, market research reports, analysis & forecast data for industries and governments around the globe. Wise Guy Reports features an exhaustive list of market research reports from hundreds of publishers worldwide. We boast a database spanning virtually every market category and an even more comprehensive collection of rmaket research reports under these categories and sub-categories. For more information, please visit https://www.wiseguyreports.com


News Article | February 22, 2017
Site: globenewswire.com

Fourth Quarter 2016 GAAP net earnings of $0.34 per diluted share compared to $0.96 for the fourth quarter of 2015 Fourth Quarter 2016 Non-GAAP net earnings of $0.34 per diluted share compared to $0.44 for the fourth quarter of 2015 Year ended December 31, 2016 GAAP net loss of $0.24 per diluted share compared to net earnings of $1.98 for the year ended December 31, 2015 Year ended December 31, 2016 Non-GAAP net earnings of $1.72 per diluted share compared to $1.47 for the year ended December 31, 2015 PHILADELPHIA, Feb. 22, 2017 (GLOBE NEWSWIRE) -- Chemtura Corporation (NYSE:CHMT) (Euronext Paris:CHMT) (the “Company,” “Chemtura,” “We,” “Us” or “Our”) today announced financial results for the fourth quarter and year ended December 31, 2016.  The Company also filed with the Securities and Exchange Commission its Annual Report on Form 10-K for the year ended December 31, 2016.  For the fourth quarter of 2016, Chemtura reported net sales of $385 million and net earnings on a GAAP basis of $22 million, or $0.34 per diluted share.  Net earnings on a Non-GAAP basis were $22 million, or $0.34 per diluted share.  For the year ended December 31, 2016, Chemtura reported net sales of $1,654 million and a net loss on a GAAP basis of $15 million, or $0.24 per diluted share.  Net earnings on a Non-GAAP basis were $111 million, or $1.72 per diluted share. The discussion below includes financial information on both a GAAP and non-GAAP basis.  Later in this release, we explain our Non-GAAP metrics including how each is calculated, why we use the specific metric and the internal controls around our Non-GAAP metrics.  We have provided reconciliations of our GAAP financial information to our Non-GAAP financial metrics in the supplemental schedules attached to this release.  The use of Non-GAAP metrics is not a substitute for GAAP measures and should not be considered as such. The following is a summary of the unaudited financial results on a GAAP and Non-GAAP basis (a description of our Non-GAAP metrics appears later in this release): “In the fourth quarter, we focused on finishing the year strong and on progressing towards closing the Lanxess transaction,” said Craig Rogerson, Chemtura's Chairman, President and Chief Executive Officer.  “We are pleased that our shareholders have overwhelmingly approved the merger with Lanxess and that we have already received a number of regulatory clearances.  The post-closing integration planning is on course and our respective organizations are well positioned to create a stronger, more diverse and higher performing specialty chemical company.” Mr. Rogerson continued, “In the fourth quarter, we were able to continue our strong 2016 performance.  Fourth quarter operating income increased 14% versus the prior year on overall lower revenue.  Sequentially, revenue and operating income were lower for our industrial businesses, which is often the case in the last quarter of the year.  For the full year, excluding the impact of the pension settlement charge incurred earlier in the year and the expenses related to the merger and post-closing integration planning, 2016 operating income increased 36% over our 2015 results.” “Our IEP Segment posted higher fourth quarter revenue and operating income compared to the fourth quarter of 2015,” said Mr. Rogerson.  “Higher prices for bromine-based products and increased sales of our polymer co-catalyst products led the way for IEP’s year-over-year improvements.  Also, in 2015, IEP’s fourth quarter performance was dragged down by charges related to exiting a product line, which did not repeat in the fourth quarter of 2016.  Sequentially, revenue and operating income were lower compared to the third quarter of 2016 due in part to lower bromine sales in the U.S., lower sales of clear brine fluids and seasonally lower fumigant sales.  It is worth noting that sales of flame retardants, such as tetrabrom, into certain electronic applications increased sequentially.” “Our IPP Segment reported lower fourth quarter sales and operating income compared to prior year and sequentially.  Year-over-year declines in IPP sales and operating income are attributable to unfavorable product mix and lower demand across many of our IPP product lines.  We also saw lower prices in certain IPP products compared to last year, as we passed along lower raw material costs to certain of our customers.  In addition, sales prices for urethanes products used in mining and oil and gas applications were lower in the fourth quarter of 2016 compared to last year due to continued weakness in those industries, although we did experience volume growth from new urethane applications in Asia.  Sequential declines in IPP sales and operating income were predominately due to year-end order timing, unfavorable product mix and higher raw material and manufacturing costs.” “For the calendar year of 2016, we delivered on our commitment to increase operating profitability,” observed Mr. Rogerson.  “Excluding the first quarter pension settlement charge resulting from the pension annuity transaction and merger and integration costs, 2016 operating profit of $221 million increased by $59 million, or 36% compared to 2015 calendar year operating profit of $162 million.  The improvement was less visible in our earnings per share due to the loss from the pension settlement charge, the merger and integration expenses and the 2015 tax benefit from certain tax credits and the release of valuation allowance which resulted in a lower than normal tax rate for the prior year.” Mr. Rogerson concluded, “Looking ahead, we will continue to work with our Lanxess colleagues to ensure a smooth transition and integration into the Lanxess organization post-closing.  We expect that the transaction will close by the middle of 2017.  We will also continue to execute on our business plan.” On February 1, 2017, Chemtura's stockholders voted to approve and adopt the agreement and plan of merger (the "Merger Agreement") we entered into on September 25, 2016 with Lanxess Deutschland GmbH, a limited liability company under the laws of Germany ("Lanxess"), and LANXESS Additives Inc., a Delaware corporation and an indirect, wholly owned subsidiary of Lanxess ("Merger Subsidiary").  The merger remains subject to customary closing conditions.  Assuming timely satisfaction of the remaining closing conditions, we currently expect the merger to close by mid-2017. See tables that follow for a quantitative summary of the components of change by segment between the fourth quarter of 2016 and the fourth quarter of 2015 (“year-over-year”) and compared to the third quarter of 2016 (“sequential”). Our IPP segment delivered lower net sales and lower operating income both year-over-year and sequentially. Year-over-year, the reduction in net sales was primarily the result of lower volume and lower sales prices.  During 2016, we continued to pass along the benefit of lower raw material costs to certain of our customers where required by contract.  Lower volume and unfavorable product mix in our petroleum additive products, particularly in synthetic lubricants, base stocks and detergents, were partially offset by increased sales of our lower priced intermediate products.  New application demand for our urethane products, particularly in Asia, offset the continued low demand for our urethane products used in mining and oil and gas applications that we experienced all year.  Sequentially, the primary drivers of the decline in net sales were lower volumes and unfavorable product mix.  In the third quarter of 2016, we benefited from additional volume for our inhibitor products due to a temporary shutdown of an Asian competitor's plant.  With production restored, demand returned to normal levels in the fourth quarter, although seasonally lower.  Sales prices showed a modest increase over the previous quarter. Operating income year-over-year benefited from favorable raw material and distribution costs which were offset by the lower volume and unfavorable product mix and higher costs for manufacturing, inventory adjustments and selling, general and administrative ("SG&A").  Sequentially, the impact of lower net sales, coupled with higher costs for raw material, manufacturing and inventory adjustments in the fourth quarter, reduced operating income. Our IEP segment reported an improvement in year-over-year net sales and operating income.  On a sequential basis, our IEP segment reported lower net sales and lower operating income. Year-over-year, the increase in net sales was primarily driven by higher sales prices in our Emerald Innovation 3000TM products, as well as in our bromine and bromine-based derivative products.  We saw a significant improvement in volume for our organometallic polymerization co-catalysts and tin specialty products due to increased customer demand, which was offset in part by slower demand for our Emerald Innovation 3000TM product and the reduced demand for our clear brine fluids used in the drilling of deep offshore oil and gas wells that we have experienced all year.  Sequentially, the benefit of increases in sales prices for bromine and bromine-based derivatives and tin specialty products were partly offset by some competitive reductions in sales prices for certain brominated flame retardant products.  Sales volumes benefited from increased demand for tetrabrom which was completely offset by the reduced demand for clear brine fluids, fumigants and bromine and bromine-based derivative products. Operating income on a year-over-year basis benefited from the higher sales prices and the volume improvement in our organometallic products.  Lower raw material costs in certain products were offset by the higher cost of tin, which in many cases we were able to pass along to our customers under formula-based pricing.  Unfavorable manufacturing and absorption variances in 2016 were offset by the absence of a charge we recorded in the fourth quarter of 2015 related to the discontinuance of a product.  Sequentially, operating income saw slightly higher costs in all categories, offset in part by increased sales prices. Our general corporate expense decreased slightly on a year-over-year basis, with some increase in our management incentive accruals offset by favorable pension and environmental accruals and lower charges for amortization.  Sequentially, general corporate expense remained relatively flat. During the fourth and third quarters of 2016, we recorded $2 million and $11 million, respectively, of merger and integration costs, which primarily are comprised of legal and other fees associated with the signing of the Merger Agreement with Lanxess and the charge related to the Addivant preferred stock noted below. Contemporaneous with the execution of the Merger Agreement, we entered into an agreement with SK Blue Holdings, Ltd., and Addivant USA Holdings Corp (collectively, "Addivant") that committed us to surrender our shares of Addivant preferred stock to Addivant along with a cash payment of $1 million in exchange for a modification of a non-compete agreement entered into in conjunction with the sale of our antioxidants business to Addivant in 2013.  Reflecting the terms of this agreement, in the third quarter of 2016, we took a charge of $5 million which is included in the merger and integration costs described above.  The agreement with Addivant also provided for certain other modifications to our continuing supply agreements with Addivant that are contingent upon the completion of the Merger. The Agrochemical Manufacturing segment reported lower net sales but operating income was relatively flat both year-over-year and sequentially. The decrease in net sales was attributable to the change from a supply agreement to a tolling agreement in Brazil implemented earlier in 2016 (which reduced both net sales and cost of sales with no impact on operating profit).  We note that the results include net sales and operating profit related to the non-cash amortization, net of accretion, of a below-market contract obligation that is related to our supply agreements.  These amounts were $9 million, $9 million and $10 million in the fourth quarter of 2016, the fourth quarter of 2015 and the third quarter of 2016, respectively. Income tax expense was $14 million in the fourth quarter of 2016 compared with a benefit of $27 million in the fourth quarter of 2015 and expense of $17 million in the third quarter of 2016.  In the fourth quarter of 2015, we released $19 million of certain remaining U.S. federal and state tax valuation allowances as a result of our anticipated improvement in profitability in the U.S. and additional tax benefits were realized from increased utilization of foreign tax credit carrybacks to 2014 and the use of foreign net operating losses which became available due to a change in a foreign country's tax law.  As a result, our 2015 effective tax rate was 11%.  In 2016, our effective tax rate for the year was significantly increased by the tax treatment of the pension settlement accounting arising from the pension annuity transaction in the first quarter of 2016. For purposes of calculating our Non-GAAP Earnings From Continuing Operations, we have applied a Non-GAAP tax rate of 28%.  The non-GAAP rate reflects adjustments to our U.S. GAAP provision to exclude the tax effects of certain types of income and expense as described in our Non-GAAP Measures policy below. In the first quarter of 2015, we completed an evaluation based upon the forecast for the full year and we estimated our Non-GAAP tax rate to be 28%.  This rate was subject to fluctuations each quarter due to changes in our forecasted operating results of our continuing businesses, changes in the mix of income between U.S. and foreign jurisdictions and discrete items that are recorded in the periods in which they occur.  As 2015 progressed, we revised down our Non-GAAP rate for the inclusion of credits, deductions and return to provision adjustments but excluded those that directly related to the divestiture of Chemtura AgroSolutions.  In the fourth quarter of 2015, the Non-GAAP tax rate was further reduced for additional tax benefits we obtained.  Based on these adjustments to the effective rate, our Non-GAAP tax rate for the full year of 2015 was 13%.  Due to the reduction of the Non-GAAP tax rate from that used for the third quarter ended September 30, 2015, the resulting Non-GAAP tax provision for the fourth quarter of 2015 was lower than the full year rate. If we exclude the benefit of the adjustments to our Non-GAAP rate during 2015 for the items discussed above, our estimated Non-GAAP tax rate in 2015 was 28%.  In the first quarter of 2016, we again estimated our Non-GAAP tax rate at 28%.  Each quarter we evaluated whether this estimate should be revised.  As the 2015 adjustments did not reoccur in 2016, our Non-GAAP tax rate for 2016 remained at 28% during the year and the Non-GAAP tax rate for the full year of 2016 was essentially the same as the 28% estimated rate applied during the year. Cash income taxes paid (net of refunds) for the fourth quarter of 2016, the fourth quarter of 2015 and the third quarter of 2016 were $7 million, $4 million and $13 million, respectively. Copies of this release will be available on the Investor Relations section of our website at www.chemtura.com.  We will host a teleconference to review these results at 9:00 a.m. (EST) on Thursday, February 23, 2017.  Interested parties are asked to dial in approximately 10 minutes prior to the start time.  The call-in number for U.S. based participants is (877) 494-3128 and for all other participants is (404) 665-9523.  The conference ID code is 48493850. Replay of the call will be available for thirty days, starting at 12 p.m. (EST) on Thursday, February 23, 2017.  To access the replay, call toll-free (855) 859-2056, (800) 585-8367, or (404) 537-3406, and enter access code 48493850.  An audio webcast of the call can be accessed via the link below during the time of the call: Chemtura Corporation, with 2016 net sales of $1.7 billion, is a global manufacturer and marketer of specialty chemicals.  Additional information concerning us is available at www.chemtura.com. Certain information presented in this press release and in the attached financial tables includes financial measures that are not calculated or presented in accordance with Generally Accepted Accounting Principles in the United States (“GAAP”). We refer to those financial measures as “Non-GAAP”.  While GAAP provides a prescribed format for presenting financial information, internally we have developed and use other financial metrics and measures to make resource allocation decisions, evaluate our underlying performance, compare that performance to peer companies, identify operating trends, determine performance-based compensation, and, among other factors, predict future performance and cash inflows and outflows.  Understanding the Non-GAAP financial measures we use to manage our business and resources provides our investors with insights that cannot be obtained by a review of the GAAP based measures alone.  Many of the Non-GAAP financial measures we use in managing our business can be calculated by investors and other users of our financial statements; however, we provide this information to the public to ensure there are not multiple interpretations of the calculation of any such measure.  To assist our investors in understanding the differences between our GAAP and Non-GAAP measures, we have provided a reconciliation between these presentations in the attached financial tables. Our Non-GAAP Financial Metrics and policies are posted on our website at www.Chemtura.com so that they can be easily referenced by our investors. We use each of the following Non-GAAP measures to provide investors and other users of our financial statements with additional information to aid their understanding of our primary business performance trends as well as our current and future potential cash inflows and outflows: Non-GAAP Net Sales - Included in our presentation of GAAP Net Sales is the revenue accretion and amortization of a below market contract liability related to the supply agreements resulting from the sale of our Chemtura AgroSolutions business.  We excluded these revenues as the accretion and amortization do not generate current or future cash flows. We also exclude the benefit of this accretion and amortization in computing Non-GAAP profitability measures. Non-GAAP Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) -  EBITDA is a financial measure frequently used by investors and others to understand a company’s profitability as well as its ability to meet debt service obligations, make investments and compare performance and valuation to other companies.  This measure excludes cash and non-cash income or charges that exist in a company’s GAAP presentation that do not necessarily represent current or future cash inflows or outflows of business operations.  For example, depreciation and amortization are charges that reduce a company’s net income, but reflect a historic rather than current use of cash and share-based compensation expense is a charge where there is no current use of cash.  This pre-tax measure also excludes interest expense as well as other miscellaneous income and expense, such as realized and unrealized foreign exchange gains and loss, that we have concluded are not representative of current performance of our operating businesses.  Our calculation begins with GAAP Net Earnings (Loss) from which we exclude GAAP income tax expense or benefit, GAAP interest expense, GAAP depreciation and amortization, GAAP other income or expense, the non-cash share-based compensation expense and certain other income and charges as listed in the description of our Non-GAAP policy below.  It is also one of the performance measures used to determine the amount, if any, of a payout under our management incentive plans. Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes - As defined by GAAP, Earnings (Loss) from Continuing Operations Before Tax is a sub-total that provides information regarding an entity’s results of continuing operations excluding any amounts related specifically to income taxes.  It is calculated by taking Net Earnings (Loss) and excluding any income or loss associated with discontinued operations and any income tax expense.  To calculate Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, we start with GAAP Net Earnings (Loss) and exclude any results related to discontinued operations, income tax expense and certain other income and charges as listed in the description of our Non-GAAP policy below.  This sub-total is necessary when computing income tax expense on an interim basis (as described below) for both GAAP and Non-GAAP purposes. Non-GAAP Income Tax Expense / Benefit - The calculation of our GAAP income tax expense or benefit in any interim period is based upon an estimate of our effective tax rate for the annual period multiplied by our interim GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, adjusted for discrete items if required.  The calculation of our Non-GAAP Income Tax Expense is based on the same principles as our GAAP income tax expense; however, we exclude from the calculation any tax associated with items that have been excluded, or are projected to be excluded during the calendar year, in our Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, which are listed in the description of our Non-GAAP policy below.  We also exclude certain tax benefits and expenses as described in our Non-GAAP policy below.  Application of the GAAP tax rate to our Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes would render an income tax expense that does not correctly reflect the tax associated with the pre-tax adjustments we make in our Non-GAAP performance measures.  The computation of an effective tax rate reflecting the tax effect of our pre-tax Non-GAAP adjustments permits the calculation of after tax Non-GAAP performance measures and provides additional insights as to the underlying global tax rate for our primary business operations.  At the end of the calendar year, we prepare a tax provision based on Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, excluding certain tax benefits and expenses as described in our Non-GAAP policy below, in order to compute Non-GAAP Earnings (Loss) from Continuing Operations (defined below) for the fourth quarter and calendar year. Non-GAAP Earnings (Loss) from Continuing Operations -  This measure is determined by applying the Non-GAAP Effective Tax Rate for interim periods, or for the calendar year, a tax provision, to our Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes and reducing the Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes by that amount.  The resulting measure is termed Non-GAAP Earnings (Loss) from Continuing Operations.  This metric is intended to provide users of the financial statements with an after tax profitability measure consistent with our pre-tax Non-GAAP measure and is required to compute Non-GAAP Earnings (Loss) Per Share from Continuing Operations. Non-GAAP Earnings (Loss) Per Share from Continuing Operations - To calculate this Non-GAAP measure, we divide our Basic and Diluted Weighted Average Shares into our Non-GAAP Earnings (Loss) from Continuing Operations.  To determine our Basic and Diluted Weighted Average Shares, we utilize GAAP principles under both presentations.  In many periods, the GAAP and Non-GAAP Basis and Weighted Average Shares are the same; however, should either the GAAP or Non-GAAP Earnings (Loss) from Continuing Operations be anti-dilutive, the Diluted Weighted Averages Shares may differ between the two presentations.  This measure is used as one of the criteria to determine the amount, if any, of a payout under our management incentive plans. Free Cash Flow - We define Free Cash Flow as Net Cash Provided by (Used in) Operating Activities less GAAP capital expenditures and investments in intangible assets as presented in our GAAP Consolidated Statement of Cash Flows.  It is intended to provide users of our financial statements an indication of cash flows that are generated by or used in our primary business operations alone.  We caution investors that this measure excludes Net Cash Provided by (Used in) Financing Activities that can include mandatory debt service obligations.  It will also exclude investments such as acquisitions or cash proceeds from divestitures.  It includes cash contributions to pension plans and post-retirement benefit obligations as these are included in Net Cash Provided by (Used in) Operating Activities.  This measure therefore cannot be used to understand changes in cash or in total indebtedness in any reporting period. Net Debt - The term Net Debt is a Non-GAAP measure that is calculated from information in our GAAP presentation.  We add Short-term Borrowings and Long-term Debt (combined “Total Debt”) less Cash and cash equivalents, all as presented on our Condensed Consolidated Balance Sheet. This metric provides users of our financial statements a view of our indebtedness were we to use all our cash and cash equivalents on hand to repay debt. To ensure consistency in the presentation of these Non-GAAP measures, we have developed an internal accounting policy which specifies what types of income or expense are considered to be adjustments to our GAAP financial results and metrics.  In practice, this policy is reviewed annually and approved by our Disclosure Committee and the Audit Committee of our Board of Directors.  Our Non-GAAP financial measures have not changed from the prior year, although in some years we do not have certain transactions. In accordance with our Non-GAAP accounting policy, we adjust our pre-tax GAAP information for the following items: Although we utilize Non-GAAP financial measures internally to monitor and analyze our performance, determine compensation under our management incentive plans and predict future performance, investors should not consider them to be a substitute for financial measures prepared in accordance with GAAP.  In addition, these Non-GAAP financial measures may be calculated differently from similarly titled Non-GAAP financial measures utilized by other companies and, therefore, should not be used in a comparison of our performance relative to other companies without further review of how others calculate these measures. This earnings press release contains forward-looking statements based on management’s current expectations, estimates and projections.  All statements that address expectations or projections about the future, including our actions that will drive earnings growth, demand for our products and expectations for growth, are forward-looking statements.  These statements are not guarantees of future performance and are subject to risks, uncertainties, potentially inaccurate assumptions and other factors, some of which are beyond our control and difficult to predict.  If known or unknown risks materialize, or should underlying assumptions prove inaccurate, our actual results could differ materially from past results and from those expressed in forward-looking statements.  Important factors that could cause our results to differ materially from those expressed in forward-looking statements include, but are not limited to, economic, business, competitive, political, regulatory, legal and governmental conditions in the countries and regions in which we operate.  These factors and others are discussed more fully in the reports we file with the Securities and Exchange Commission, particularly our latest annual report on Form 10-K.  We assume no obligation to provide revisions to any forward-looking statements should circumstances change, except as otherwise required by securities and other applicable laws.


News Article | February 22, 2017
Site: globenewswire.com

Fourth Quarter 2016 GAAP net earnings of $0.34 per diluted share compared to $0.96 for the fourth quarter of 2015 Fourth Quarter 2016 Non-GAAP net earnings of $0.34 per diluted share compared to $0.44 for the fourth quarter of 2015 Year ended December 31, 2016 GAAP net loss of $0.24 per diluted share compared to net earnings of $1.98 for the year ended December 31, 2015 Year ended December 31, 2016 Non-GAAP net earnings of $1.72 per diluted share compared to $1.47 for the year ended December 31, 2015 PHILADELPHIA, Feb. 22, 2017 (GLOBE NEWSWIRE) -- Chemtura Corporation (NYSE:CHMT) (Euronext Paris:CHMT) (the “Company,” “Chemtura,” “We,” “Us” or “Our”) today announced financial results for the fourth quarter and year ended December 31, 2016.  The Company also filed with the Securities and Exchange Commission its Annual Report on Form 10-K for the year ended December 31, 2016.  For the fourth quarter of 2016, Chemtura reported net sales of $385 million and net earnings on a GAAP basis of $22 million, or $0.34 per diluted share.  Net earnings on a Non-GAAP basis were $22 million, or $0.34 per diluted share.  For the year ended December 31, 2016, Chemtura reported net sales of $1,654 million and a net loss on a GAAP basis of $15 million, or $0.24 per diluted share.  Net earnings on a Non-GAAP basis were $111 million, or $1.72 per diluted share. The discussion below includes financial information on both a GAAP and non-GAAP basis.  Later in this release, we explain our Non-GAAP metrics including how each is calculated, why we use the specific metric and the internal controls around our Non-GAAP metrics.  We have provided reconciliations of our GAAP financial information to our Non-GAAP financial metrics in the supplemental schedules attached to this release.  The use of Non-GAAP metrics is not a substitute for GAAP measures and should not be considered as such. The following is a summary of the unaudited financial results on a GAAP and Non-GAAP basis (a description of our Non-GAAP metrics appears later in this release): “In the fourth quarter, we focused on finishing the year strong and on progressing towards closing the Lanxess transaction,” said Craig Rogerson, Chemtura's Chairman, President and Chief Executive Officer.  “We are pleased that our shareholders have overwhelmingly approved the merger with Lanxess and that we have already received a number of regulatory clearances.  The post-closing integration planning is on course and our respective organizations are well positioned to create a stronger, more diverse and higher performing specialty chemical company.” Mr. Rogerson continued, “In the fourth quarter, we were able to continue our strong 2016 performance.  Fourth quarter operating income increased 14% versus the prior year on overall lower revenue.  Sequentially, revenue and operating income were lower for our industrial businesses, which is often the case in the last quarter of the year.  For the full year, excluding the impact of the pension settlement charge incurred earlier in the year and the expenses related to the merger and post-closing integration planning, 2016 operating income increased 36% over our 2015 results.” “Our IEP Segment posted higher fourth quarter revenue and operating income compared to the fourth quarter of 2015,” said Mr. Rogerson.  “Higher prices for bromine-based products and increased sales of our polymer co-catalyst products led the way for IEP’s year-over-year improvements.  Also, in 2015, IEP’s fourth quarter performance was dragged down by charges related to exiting a product line, which did not repeat in the fourth quarter of 2016.  Sequentially, revenue and operating income were lower compared to the third quarter of 2016 due in part to lower bromine sales in the U.S., lower sales of clear brine fluids and seasonally lower fumigant sales.  It is worth noting that sales of flame retardants, such as tetrabrom, into certain electronic applications increased sequentially.” “Our IPP Segment reported lower fourth quarter sales and operating income compared to prior year and sequentially.  Year-over-year declines in IPP sales and operating income are attributable to unfavorable product mix and lower demand across many of our IPP product lines.  We also saw lower prices in certain IPP products compared to last year, as we passed along lower raw material costs to certain of our customers.  In addition, sales prices for urethanes products used in mining and oil and gas applications were lower in the fourth quarter of 2016 compared to last year due to continued weakness in those industries, although we did experience volume growth from new urethane applications in Asia.  Sequential declines in IPP sales and operating income were predominately due to year-end order timing, unfavorable product mix and higher raw material and manufacturing costs.” “For the calendar year of 2016, we delivered on our commitment to increase operating profitability,” observed Mr. Rogerson.  “Excluding the first quarter pension settlement charge resulting from the pension annuity transaction and merger and integration costs, 2016 operating profit of $221 million increased by $59 million, or 36% compared to 2015 calendar year operating profit of $162 million.  The improvement was less visible in our earnings per share due to the loss from the pension settlement charge, the merger and integration expenses and the 2015 tax benefit from certain tax credits and the release of valuation allowance which resulted in a lower than normal tax rate for the prior year.” Mr. Rogerson concluded, “Looking ahead, we will continue to work with our Lanxess colleagues to ensure a smooth transition and integration into the Lanxess organization post-closing.  We expect that the transaction will close by the middle of 2017.  We will also continue to execute on our business plan.” On February 1, 2017, Chemtura's stockholders voted to approve and adopt the agreement and plan of merger (the "Merger Agreement") we entered into on September 25, 2016 with Lanxess Deutschland GmbH, a limited liability company under the laws of Germany ("Lanxess"), and LANXESS Additives Inc., a Delaware corporation and an indirect, wholly owned subsidiary of Lanxess ("Merger Subsidiary").  The merger remains subject to customary closing conditions.  Assuming timely satisfaction of the remaining closing conditions, we currently expect the merger to close by mid-2017. See tables that follow for a quantitative summary of the components of change by segment between the fourth quarter of 2016 and the fourth quarter of 2015 (“year-over-year”) and compared to the third quarter of 2016 (“sequential”). Our IPP segment delivered lower net sales and lower operating income both year-over-year and sequentially. Year-over-year, the reduction in net sales was primarily the result of lower volume and lower sales prices.  During 2016, we continued to pass along the benefit of lower raw material costs to certain of our customers where required by contract.  Lower volume and unfavorable product mix in our petroleum additive products, particularly in synthetic lubricants, base stocks and detergents, were partially offset by increased sales of our lower priced intermediate products.  New application demand for our urethane products, particularly in Asia, offset the continued low demand for our urethane products used in mining and oil and gas applications that we experienced all year.  Sequentially, the primary drivers of the decline in net sales were lower volumes and unfavorable product mix.  In the third quarter of 2016, we benefited from additional volume for our inhibitor products due to a temporary shutdown of an Asian competitor's plant.  With production restored, demand returned to normal levels in the fourth quarter, although seasonally lower.  Sales prices showed a modest increase over the previous quarter. Operating income year-over-year benefited from favorable raw material and distribution costs which were offset by the lower volume and unfavorable product mix and higher costs for manufacturing, inventory adjustments and selling, general and administrative ("SG&A").  Sequentially, the impact of lower net sales, coupled with higher costs for raw material, manufacturing and inventory adjustments in the fourth quarter, reduced operating income. Our IEP segment reported an improvement in year-over-year net sales and operating income.  On a sequential basis, our IEP segment reported lower net sales and lower operating income. Year-over-year, the increase in net sales was primarily driven by higher sales prices in our Emerald Innovation 3000TM products, as well as in our bromine and bromine-based derivative products.  We saw a significant improvement in volume for our organometallic polymerization co-catalysts and tin specialty products due to increased customer demand, which was offset in part by slower demand for our Emerald Innovation 3000TM product and the reduced demand for our clear brine fluids used in the drilling of deep offshore oil and gas wells that we have experienced all year.  Sequentially, the benefit of increases in sales prices for bromine and bromine-based derivatives and tin specialty products were partly offset by some competitive reductions in sales prices for certain brominated flame retardant products.  Sales volumes benefited from increased demand for tetrabrom which was completely offset by the reduced demand for clear brine fluids, fumigants and bromine and bromine-based derivative products. Operating income on a year-over-year basis benefited from the higher sales prices and the volume improvement in our organometallic products.  Lower raw material costs in certain products were offset by the higher cost of tin, which in many cases we were able to pass along to our customers under formula-based pricing.  Unfavorable manufacturing and absorption variances in 2016 were offset by the absence of a charge we recorded in the fourth quarter of 2015 related to the discontinuance of a product.  Sequentially, operating income saw slightly higher costs in all categories, offset in part by increased sales prices. Our general corporate expense decreased slightly on a year-over-year basis, with some increase in our management incentive accruals offset by favorable pension and environmental accruals and lower charges for amortization.  Sequentially, general corporate expense remained relatively flat. During the fourth and third quarters of 2016, we recorded $2 million and $11 million, respectively, of merger and integration costs, which primarily are comprised of legal and other fees associated with the signing of the Merger Agreement with Lanxess and the charge related to the Addivant preferred stock noted below. Contemporaneous with the execution of the Merger Agreement, we entered into an agreement with SK Blue Holdings, Ltd., and Addivant USA Holdings Corp (collectively, "Addivant") that committed us to surrender our shares of Addivant preferred stock to Addivant along with a cash payment of $1 million in exchange for a modification of a non-compete agreement entered into in conjunction with the sale of our antioxidants business to Addivant in 2013.  Reflecting the terms of this agreement, in the third quarter of 2016, we took a charge of $5 million which is included in the merger and integration costs described above.  The agreement with Addivant also provided for certain other modifications to our continuing supply agreements with Addivant that are contingent upon the completion of the Merger. The Agrochemical Manufacturing segment reported lower net sales but operating income was relatively flat both year-over-year and sequentially. The decrease in net sales was attributable to the change from a supply agreement to a tolling agreement in Brazil implemented earlier in 2016 (which reduced both net sales and cost of sales with no impact on operating profit).  We note that the results include net sales and operating profit related to the non-cash amortization, net of accretion, of a below-market contract obligation that is related to our supply agreements.  These amounts were $9 million, $9 million and $10 million in the fourth quarter of 2016, the fourth quarter of 2015 and the third quarter of 2016, respectively. Income tax expense was $14 million in the fourth quarter of 2016 compared with a benefit of $27 million in the fourth quarter of 2015 and expense of $17 million in the third quarter of 2016.  In the fourth quarter of 2015, we released $19 million of certain remaining U.S. federal and state tax valuation allowances as a result of our anticipated improvement in profitability in the U.S. and additional tax benefits were realized from increased utilization of foreign tax credit carrybacks to 2014 and the use of foreign net operating losses which became available due to a change in a foreign country's tax law.  As a result, our 2015 effective tax rate was 11%.  In 2016, our effective tax rate for the year was significantly increased by the tax treatment of the pension settlement accounting arising from the pension annuity transaction in the first quarter of 2016. For purposes of calculating our Non-GAAP Earnings From Continuing Operations, we have applied a Non-GAAP tax rate of 28%.  The non-GAAP rate reflects adjustments to our U.S. GAAP provision to exclude the tax effects of certain types of income and expense as described in our Non-GAAP Measures policy below. In the first quarter of 2015, we completed an evaluation based upon the forecast for the full year and we estimated our Non-GAAP tax rate to be 28%.  This rate was subject to fluctuations each quarter due to changes in our forecasted operating results of our continuing businesses, changes in the mix of income between U.S. and foreign jurisdictions and discrete items that are recorded in the periods in which they occur.  As 2015 progressed, we revised down our Non-GAAP rate for the inclusion of credits, deductions and return to provision adjustments but excluded those that directly related to the divestiture of Chemtura AgroSolutions.  In the fourth quarter of 2015, the Non-GAAP tax rate was further reduced for additional tax benefits we obtained.  Based on these adjustments to the effective rate, our Non-GAAP tax rate for the full year of 2015 was 13%.  Due to the reduction of the Non-GAAP tax rate from that used for the third quarter ended September 30, 2015, the resulting Non-GAAP tax provision for the fourth quarter of 2015 was lower than the full year rate. If we exclude the benefit of the adjustments to our Non-GAAP rate during 2015 for the items discussed above, our estimated Non-GAAP tax rate in 2015 was 28%.  In the first quarter of 2016, we again estimated our Non-GAAP tax rate at 28%.  Each quarter we evaluated whether this estimate should be revised.  As the 2015 adjustments did not reoccur in 2016, our Non-GAAP tax rate for 2016 remained at 28% during the year and the Non-GAAP tax rate for the full year of 2016 was essentially the same as the 28% estimated rate applied during the year. Cash income taxes paid (net of refunds) for the fourth quarter of 2016, the fourth quarter of 2015 and the third quarter of 2016 were $7 million, $4 million and $13 million, respectively. Copies of this release will be available on the Investor Relations section of our website at www.chemtura.com.  We will host a teleconference to review these results at 9:00 a.m. (EST) on Thursday, February 23, 2017.  Interested parties are asked to dial in approximately 10 minutes prior to the start time.  The call-in number for U.S. based participants is (877) 494-3128 and for all other participants is (404) 665-9523.  The conference ID code is 48493850. Replay of the call will be available for thirty days, starting at 12 p.m. (EST) on Thursday, February 23, 2017.  To access the replay, call toll-free (855) 859-2056, (800) 585-8367, or (404) 537-3406, and enter access code 48493850.  An audio webcast of the call can be accessed via the link below during the time of the call: Chemtura Corporation, with 2016 net sales of $1.7 billion, is a global manufacturer and marketer of specialty chemicals.  Additional information concerning us is available at www.chemtura.com. Certain information presented in this press release and in the attached financial tables includes financial measures that are not calculated or presented in accordance with Generally Accepted Accounting Principles in the United States (“GAAP”). We refer to those financial measures as “Non-GAAP”.  While GAAP provides a prescribed format for presenting financial information, internally we have developed and use other financial metrics and measures to make resource allocation decisions, evaluate our underlying performance, compare that performance to peer companies, identify operating trends, determine performance-based compensation, and, among other factors, predict future performance and cash inflows and outflows.  Understanding the Non-GAAP financial measures we use to manage our business and resources provides our investors with insights that cannot be obtained by a review of the GAAP based measures alone.  Many of the Non-GAAP financial measures we use in managing our business can be calculated by investors and other users of our financial statements; however, we provide this information to the public to ensure there are not multiple interpretations of the calculation of any such measure.  To assist our investors in understanding the differences between our GAAP and Non-GAAP measures, we have provided a reconciliation between these presentations in the attached financial tables. Our Non-GAAP Financial Metrics and policies are posted on our website at www.Chemtura.com so that they can be easily referenced by our investors. We use each of the following Non-GAAP measures to provide investors and other users of our financial statements with additional information to aid their understanding of our primary business performance trends as well as our current and future potential cash inflows and outflows: Non-GAAP Net Sales - Included in our presentation of GAAP Net Sales is the revenue accretion and amortization of a below market contract liability related to the supply agreements resulting from the sale of our Chemtura AgroSolutions business.  We excluded these revenues as the accretion and amortization do not generate current or future cash flows. We also exclude the benefit of this accretion and amortization in computing Non-GAAP profitability measures. Non-GAAP Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) -  EBITDA is a financial measure frequently used by investors and others to understand a company’s profitability as well as its ability to meet debt service obligations, make investments and compare performance and valuation to other companies.  This measure excludes cash and non-cash income or charges that exist in a company’s GAAP presentation that do not necessarily represent current or future cash inflows or outflows of business operations.  For example, depreciation and amortization are charges that reduce a company’s net income, but reflect a historic rather than current use of cash and share-based compensation expense is a charge where there is no current use of cash.  This pre-tax measure also excludes interest expense as well as other miscellaneous income and expense, such as realized and unrealized foreign exchange gains and loss, that we have concluded are not representative of current performance of our operating businesses.  Our calculation begins with GAAP Net Earnings (Loss) from which we exclude GAAP income tax expense or benefit, GAAP interest expense, GAAP depreciation and amortization, GAAP other income or expense, the non-cash share-based compensation expense and certain other income and charges as listed in the description of our Non-GAAP policy below.  It is also one of the performance measures used to determine the amount, if any, of a payout under our management incentive plans. Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes - As defined by GAAP, Earnings (Loss) from Continuing Operations Before Tax is a sub-total that provides information regarding an entity’s results of continuing operations excluding any amounts related specifically to income taxes.  It is calculated by taking Net Earnings (Loss) and excluding any income or loss associated with discontinued operations and any income tax expense.  To calculate Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, we start with GAAP Net Earnings (Loss) and exclude any results related to discontinued operations, income tax expense and certain other income and charges as listed in the description of our Non-GAAP policy below.  This sub-total is necessary when computing income tax expense on an interim basis (as described below) for both GAAP and Non-GAAP purposes. Non-GAAP Income Tax Expense / Benefit - The calculation of our GAAP income tax expense or benefit in any interim period is based upon an estimate of our effective tax rate for the annual period multiplied by our interim GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, adjusted for discrete items if required.  The calculation of our Non-GAAP Income Tax Expense is based on the same principles as our GAAP income tax expense; however, we exclude from the calculation any tax associated with items that have been excluded, or are projected to be excluded during the calendar year, in our Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, which are listed in the description of our Non-GAAP policy below.  We also exclude certain tax benefits and expenses as described in our Non-GAAP policy below.  Application of the GAAP tax rate to our Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes would render an income tax expense that does not correctly reflect the tax associated with the pre-tax adjustments we make in our Non-GAAP performance measures.  The computation of an effective tax rate reflecting the tax effect of our pre-tax Non-GAAP adjustments permits the calculation of after tax Non-GAAP performance measures and provides additional insights as to the underlying global tax rate for our primary business operations.  At the end of the calendar year, we prepare a tax provision based on Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, excluding certain tax benefits and expenses as described in our Non-GAAP policy below, in order to compute Non-GAAP Earnings (Loss) from Continuing Operations (defined below) for the fourth quarter and calendar year. Non-GAAP Earnings (Loss) from Continuing Operations -  This measure is determined by applying the Non-GAAP Effective Tax Rate for interim periods, or for the calendar year, a tax provision, to our Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes and reducing the Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes by that amount.  The resulting measure is termed Non-GAAP Earnings (Loss) from Continuing Operations.  This metric is intended to provide users of the financial statements with an after tax profitability measure consistent with our pre-tax Non-GAAP measure and is required to compute Non-GAAP Earnings (Loss) Per Share from Continuing Operations. Non-GAAP Earnings (Loss) Per Share from Continuing Operations - To calculate this Non-GAAP measure, we divide our Basic and Diluted Weighted Average Shares into our Non-GAAP Earnings (Loss) from Continuing Operations.  To determine our Basic and Diluted Weighted Average Shares, we utilize GAAP principles under both presentations.  In many periods, the GAAP and Non-GAAP Basis and Weighted Average Shares are the same; however, should either the GAAP or Non-GAAP Earnings (Loss) from Continuing Operations be anti-dilutive, the Diluted Weighted Averages Shares may differ between the two presentations.  This measure is used as one of the criteria to determine the amount, if any, of a payout under our management incentive plans. Free Cash Flow - We define Free Cash Flow as Net Cash Provided by (Used in) Operating Activities less GAAP capital expenditures and investments in intangible assets as presented in our GAAP Consolidated Statement of Cash Flows.  It is intended to provide users of our financial statements an indication of cash flows that are generated by or used in our primary business operations alone.  We caution investors that this measure excludes Net Cash Provided by (Used in) Financing Activities that can include mandatory debt service obligations.  It will also exclude investments such as acquisitions or cash proceeds from divestitures.  It includes cash contributions to pension plans and post-retirement benefit obligations as these are included in Net Cash Provided by (Used in) Operating Activities.  This measure therefore cannot be used to understand changes in cash or in total indebtedness in any reporting period. Net Debt - The term Net Debt is a Non-GAAP measure that is calculated from information in our GAAP presentation.  We add Short-term Borrowings and Long-term Debt (combined “Total Debt”) less Cash and cash equivalents, all as presented on our Condensed Consolidated Balance Sheet. This metric provides users of our financial statements a view of our indebtedness were we to use all our cash and cash equivalents on hand to repay debt. To ensure consistency in the presentation of these Non-GAAP measures, we have developed an internal accounting policy which specifies what types of income or expense are considered to be adjustments to our GAAP financial results and metrics.  In practice, this policy is reviewed annually and approved by our Disclosure Committee and the Audit Committee of our Board of Directors.  Our Non-GAAP financial measures have not changed from the prior year, although in some years we do not have certain transactions. In accordance with our Non-GAAP accounting policy, we adjust our pre-tax GAAP information for the following items: Although we utilize Non-GAAP financial measures internally to monitor and analyze our performance, determine compensation under our management incentive plans and predict future performance, investors should not consider them to be a substitute for financial measures prepared in accordance with GAAP.  In addition, these Non-GAAP financial measures may be calculated differently from similarly titled Non-GAAP financial measures utilized by other companies and, therefore, should not be used in a comparison of our performance relative to other companies without further review of how others calculate these measures. This earnings press release contains forward-looking statements based on management’s current expectations, estimates and projections.  All statements that address expectations or projections about the future, including our actions that will drive earnings growth, demand for our products and expectations for growth, are forward-looking statements.  These statements are not guarantees of future performance and are subject to risks, uncertainties, potentially inaccurate assumptions and other factors, some of which are beyond our control and difficult to predict.  If known or unknown risks materialize, or should underlying assumptions prove inaccurate, our actual results could differ materially from past results and from those expressed in forward-looking statements.  Important factors that could cause our results to differ materially from those expressed in forward-looking statements include, but are not limited to, economic, business, competitive, political, regulatory, legal and governmental conditions in the countries and regions in which we operate.  These factors and others are discussed more fully in the reports we file with the Securities and Exchange Commission, particularly our latest annual report on Form 10-K.  We assume no obligation to provide revisions to any forward-looking statements should circumstances change, except as otherwise required by securities and other applicable laws.


News Article | February 22, 2017
Site: globenewswire.com

Fourth Quarter 2016 GAAP net earnings of $0.34 per diluted share compared to $0.96 for the fourth quarter of 2015 Fourth Quarter 2016 Non-GAAP net earnings of $0.34 per diluted share compared to $0.44 for the fourth quarter of 2015 Year ended December 31, 2016 GAAP net loss of $0.24 per diluted share compared to net earnings of $1.98 for the year ended December 31, 2015 Year ended December 31, 2016 Non-GAAP net earnings of $1.72 per diluted share compared to $1.47 for the year ended December 31, 2015 PHILADELPHIA, Feb. 22, 2017 (GLOBE NEWSWIRE) -- Chemtura Corporation (NYSE:CHMT) (Euronext Paris:CHMT) (the “Company,” “Chemtura,” “We,” “Us” or “Our”) today announced financial results for the fourth quarter and year ended December 31, 2016.  The Company also filed with the Securities and Exchange Commission its Annual Report on Form 10-K for the year ended December 31, 2016.  For the fourth quarter of 2016, Chemtura reported net sales of $385 million and net earnings on a GAAP basis of $22 million, or $0.34 per diluted share.  Net earnings on a Non-GAAP basis were $22 million, or $0.34 per diluted share.  For the year ended December 31, 2016, Chemtura reported net sales of $1,654 million and a net loss on a GAAP basis of $15 million, or $0.24 per diluted share.  Net earnings on a Non-GAAP basis were $111 million, or $1.72 per diluted share. The discussion below includes financial information on both a GAAP and non-GAAP basis.  Later in this release, we explain our Non-GAAP metrics including how each is calculated, why we use the specific metric and the internal controls around our Non-GAAP metrics.  We have provided reconciliations of our GAAP financial information to our Non-GAAP financial metrics in the supplemental schedules attached to this release.  The use of Non-GAAP metrics is not a substitute for GAAP measures and should not be considered as such. The following is a summary of the unaudited financial results on a GAAP and Non-GAAP basis (a description of our Non-GAAP metrics appears later in this release): “In the fourth quarter, we focused on finishing the year strong and on progressing towards closing the Lanxess transaction,” said Craig Rogerson, Chemtura's Chairman, President and Chief Executive Officer.  “We are pleased that our shareholders have overwhelmingly approved the merger with Lanxess and that we have already received a number of regulatory clearances.  The post-closing integration planning is on course and our respective organizations are well positioned to create a stronger, more diverse and higher performing specialty chemical company.” Mr. Rogerson continued, “In the fourth quarter, we were able to continue our strong 2016 performance.  Fourth quarter operating income increased 14% versus the prior year on overall lower revenue.  Sequentially, revenue and operating income were lower for our industrial businesses, which is often the case in the last quarter of the year.  For the full year, excluding the impact of the pension settlement charge incurred earlier in the year and the expenses related to the merger and post-closing integration planning, 2016 operating income increased 36% over our 2015 results.” “Our IEP Segment posted higher fourth quarter revenue and operating income compared to the fourth quarter of 2015,” said Mr. Rogerson.  “Higher prices for bromine-based products and increased sales of our polymer co-catalyst products led the way for IEP’s year-over-year improvements.  Also, in 2015, IEP’s fourth quarter performance was dragged down by charges related to exiting a product line, which did not repeat in the fourth quarter of 2016.  Sequentially, revenue and operating income were lower compared to the third quarter of 2016 due in part to lower bromine sales in the U.S., lower sales of clear brine fluids and seasonally lower fumigant sales.  It is worth noting that sales of flame retardants, such as tetrabrom, into certain electronic applications increased sequentially.” “Our IPP Segment reported lower fourth quarter sales and operating income compared to prior year and sequentially.  Year-over-year declines in IPP sales and operating income are attributable to unfavorable product mix and lower demand across many of our IPP product lines.  We also saw lower prices in certain IPP products compared to last year, as we passed along lower raw material costs to certain of our customers.  In addition, sales prices for urethanes products used in mining and oil and gas applications were lower in the fourth quarter of 2016 compared to last year due to continued weakness in those industries, although we did experience volume growth from new urethane applications in Asia.  Sequential declines in IPP sales and operating income were predominately due to year-end order timing, unfavorable product mix and higher raw material and manufacturing costs.” “For the calendar year of 2016, we delivered on our commitment to increase operating profitability,” observed Mr. Rogerson.  “Excluding the first quarter pension settlement charge resulting from the pension annuity transaction and merger and integration costs, 2016 operating profit of $221 million increased by $59 million, or 36% compared to 2015 calendar year operating profit of $162 million.  The improvement was less visible in our earnings per share due to the loss from the pension settlement charge, the merger and integration expenses and the 2015 tax benefit from certain tax credits and the release of valuation allowance which resulted in a lower than normal tax rate for the prior year.” Mr. Rogerson concluded, “Looking ahead, we will continue to work with our Lanxess colleagues to ensure a smooth transition and integration into the Lanxess organization post-closing.  We expect that the transaction will close by the middle of 2017.  We will also continue to execute on our business plan.” On February 1, 2017, Chemtura's stockholders voted to approve and adopt the agreement and plan of merger (the "Merger Agreement") we entered into on September 25, 2016 with Lanxess Deutschland GmbH, a limited liability company under the laws of Germany ("Lanxess"), and LANXESS Additives Inc., a Delaware corporation and an indirect, wholly owned subsidiary of Lanxess ("Merger Subsidiary").  The merger remains subject to customary closing conditions.  Assuming timely satisfaction of the remaining closing conditions, we currently expect the merger to close by mid-2017. See tables that follow for a quantitative summary of the components of change by segment between the fourth quarter of 2016 and the fourth quarter of 2015 (“year-over-year”) and compared to the third quarter of 2016 (“sequential”). Our IPP segment delivered lower net sales and lower operating income both year-over-year and sequentially. Year-over-year, the reduction in net sales was primarily the result of lower volume and lower sales prices.  During 2016, we continued to pass along the benefit of lower raw material costs to certain of our customers where required by contract.  Lower volume and unfavorable product mix in our petroleum additive products, particularly in synthetic lubricants, base stocks and detergents, were partially offset by increased sales of our lower priced intermediate products.  New application demand for our urethane products, particularly in Asia, offset the continued low demand for our urethane products used in mining and oil and gas applications that we experienced all year.  Sequentially, the primary drivers of the decline in net sales were lower volumes and unfavorable product mix.  In the third quarter of 2016, we benefited from additional volume for our inhibitor products due to a temporary shutdown of an Asian competitor's plant.  With production restored, demand returned to normal levels in the fourth quarter, although seasonally lower.  Sales prices showed a modest increase over the previous quarter. Operating income year-over-year benefited from favorable raw material and distribution costs which were offset by the lower volume and unfavorable product mix and higher costs for manufacturing, inventory adjustments and selling, general and administrative ("SG&A").  Sequentially, the impact of lower net sales, coupled with higher costs for raw material, manufacturing and inventory adjustments in the fourth quarter, reduced operating income. Our IEP segment reported an improvement in year-over-year net sales and operating income.  On a sequential basis, our IEP segment reported lower net sales and lower operating income. Year-over-year, the increase in net sales was primarily driven by higher sales prices in our Emerald Innovation 3000TM products, as well as in our bromine and bromine-based derivative products.  We saw a significant improvement in volume for our organometallic polymerization co-catalysts and tin specialty products due to increased customer demand, which was offset in part by slower demand for our Emerald Innovation 3000TM product and the reduced demand for our clear brine fluids used in the drilling of deep offshore oil and gas wells that we have experienced all year.  Sequentially, the benefit of increases in sales prices for bromine and bromine-based derivatives and tin specialty products were partly offset by some competitive reductions in sales prices for certain brominated flame retardant products.  Sales volumes benefited from increased demand for tetrabrom which was completely offset by the reduced demand for clear brine fluids, fumigants and bromine and bromine-based derivative products. Operating income on a year-over-year basis benefited from the higher sales prices and the volume improvement in our organometallic products.  Lower raw material costs in certain products were offset by the higher cost of tin, which in many cases we were able to pass along to our customers under formula-based pricing.  Unfavorable manufacturing and absorption variances in 2016 were offset by the absence of a charge we recorded in the fourth quarter of 2015 related to the discontinuance of a product.  Sequentially, operating income saw slightly higher costs in all categories, offset in part by increased sales prices. Our general corporate expense decreased slightly on a year-over-year basis, with some increase in our management incentive accruals offset by favorable pension and environmental accruals and lower charges for amortization.  Sequentially, general corporate expense remained relatively flat. During the fourth and third quarters of 2016, we recorded $2 million and $11 million, respectively, of merger and integration costs, which primarily are comprised of legal and other fees associated with the signing of the Merger Agreement with Lanxess and the charge related to the Addivant preferred stock noted below. Contemporaneous with the execution of the Merger Agreement, we entered into an agreement with SK Blue Holdings, Ltd., and Addivant USA Holdings Corp (collectively, "Addivant") that committed us to surrender our shares of Addivant preferred stock to Addivant along with a cash payment of $1 million in exchange for a modification of a non-compete agreement entered into in conjunction with the sale of our antioxidants business to Addivant in 2013.  Reflecting the terms of this agreement, in the third quarter of 2016, we took a charge of $5 million which is included in the merger and integration costs described above.  The agreement with Addivant also provided for certain other modifications to our continuing supply agreements with Addivant that are contingent upon the completion of the Merger. The Agrochemical Manufacturing segment reported lower net sales but operating income was relatively flat both year-over-year and sequentially. The decrease in net sales was attributable to the change from a supply agreement to a tolling agreement in Brazil implemented earlier in 2016 (which reduced both net sales and cost of sales with no impact on operating profit).  We note that the results include net sales and operating profit related to the non-cash amortization, net of accretion, of a below-market contract obligation that is related to our supply agreements.  These amounts were $9 million, $9 million and $10 million in the fourth quarter of 2016, the fourth quarter of 2015 and the third quarter of 2016, respectively. Income tax expense was $14 million in the fourth quarter of 2016 compared with a benefit of $27 million in the fourth quarter of 2015 and expense of $17 million in the third quarter of 2016.  In the fourth quarter of 2015, we released $19 million of certain remaining U.S. federal and state tax valuation allowances as a result of our anticipated improvement in profitability in the U.S. and additional tax benefits were realized from increased utilization of foreign tax credit carrybacks to 2014 and the use of foreign net operating losses which became available due to a change in a foreign country's tax law.  As a result, our 2015 effective tax rate was 11%.  In 2016, our effective tax rate for the year was significantly increased by the tax treatment of the pension settlement accounting arising from the pension annuity transaction in the first quarter of 2016. For purposes of calculating our Non-GAAP Earnings From Continuing Operations, we have applied a Non-GAAP tax rate of 28%.  The non-GAAP rate reflects adjustments to our U.S. GAAP provision to exclude the tax effects of certain types of income and expense as described in our Non-GAAP Measures policy below. In the first quarter of 2015, we completed an evaluation based upon the forecast for the full year and we estimated our Non-GAAP tax rate to be 28%.  This rate was subject to fluctuations each quarter due to changes in our forecasted operating results of our continuing businesses, changes in the mix of income between U.S. and foreign jurisdictions and discrete items that are recorded in the periods in which they occur.  As 2015 progressed, we revised down our Non-GAAP rate for the inclusion of credits, deductions and return to provision adjustments but excluded those that directly related to the divestiture of Chemtura AgroSolutions.  In the fourth quarter of 2015, the Non-GAAP tax rate was further reduced for additional tax benefits we obtained.  Based on these adjustments to the effective rate, our Non-GAAP tax rate for the full year of 2015 was 13%.  Due to the reduction of the Non-GAAP tax rate from that used for the third quarter ended September 30, 2015, the resulting Non-GAAP tax provision for the fourth quarter of 2015 was lower than the full year rate. If we exclude the benefit of the adjustments to our Non-GAAP rate during 2015 for the items discussed above, our estimated Non-GAAP tax rate in 2015 was 28%.  In the first quarter of 2016, we again estimated our Non-GAAP tax rate at 28%.  Each quarter we evaluated whether this estimate should be revised.  As the 2015 adjustments did not reoccur in 2016, our Non-GAAP tax rate for 2016 remained at 28% during the year and the Non-GAAP tax rate for the full year of 2016 was essentially the same as the 28% estimated rate applied during the year. Cash income taxes paid (net of refunds) for the fourth quarter of 2016, the fourth quarter of 2015 and the third quarter of 2016 were $7 million, $4 million and $13 million, respectively. Copies of this release will be available on the Investor Relations section of our website at www.chemtura.com.  We will host a teleconference to review these results at 9:00 a.m. (EST) on Thursday, February 23, 2017.  Interested parties are asked to dial in approximately 10 minutes prior to the start time.  The call-in number for U.S. based participants is (877) 494-3128 and for all other participants is (404) 665-9523.  The conference ID code is 48493850. Replay of the call will be available for thirty days, starting at 12 p.m. (EST) on Thursday, February 23, 2017.  To access the replay, call toll-free (855) 859-2056, (800) 585-8367, or (404) 537-3406, and enter access code 48493850.  An audio webcast of the call can be accessed via the link below during the time of the call: Chemtura Corporation, with 2016 net sales of $1.7 billion, is a global manufacturer and marketer of specialty chemicals.  Additional information concerning us is available at www.chemtura.com. Certain information presented in this press release and in the attached financial tables includes financial measures that are not calculated or presented in accordance with Generally Accepted Accounting Principles in the United States (“GAAP”). We refer to those financial measures as “Non-GAAP”.  While GAAP provides a prescribed format for presenting financial information, internally we have developed and use other financial metrics and measures to make resource allocation decisions, evaluate our underlying performance, compare that performance to peer companies, identify operating trends, determine performance-based compensation, and, among other factors, predict future performance and cash inflows and outflows.  Understanding the Non-GAAP financial measures we use to manage our business and resources provides our investors with insights that cannot be obtained by a review of the GAAP based measures alone.  Many of the Non-GAAP financial measures we use in managing our business can be calculated by investors and other users of our financial statements; however, we provide this information to the public to ensure there are not multiple interpretations of the calculation of any such measure.  To assist our investors in understanding the differences between our GAAP and Non-GAAP measures, we have provided a reconciliation between these presentations in the attached financial tables. Our Non-GAAP Financial Metrics and policies are posted on our website at www.Chemtura.com so that they can be easily referenced by our investors. We use each of the following Non-GAAP measures to provide investors and other users of our financial statements with additional information to aid their understanding of our primary business performance trends as well as our current and future potential cash inflows and outflows: Non-GAAP Net Sales - Included in our presentation of GAAP Net Sales is the revenue accretion and amortization of a below market contract liability related to the supply agreements resulting from the sale of our Chemtura AgroSolutions business.  We excluded these revenues as the accretion and amortization do not generate current or future cash flows. We also exclude the benefit of this accretion and amortization in computing Non-GAAP profitability measures. Non-GAAP Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) -  EBITDA is a financial measure frequently used by investors and others to understand a company’s profitability as well as its ability to meet debt service obligations, make investments and compare performance and valuation to other companies.  This measure excludes cash and non-cash income or charges that exist in a company’s GAAP presentation that do not necessarily represent current or future cash inflows or outflows of business operations.  For example, depreciation and amortization are charges that reduce a company’s net income, but reflect a historic rather than current use of cash and share-based compensation expense is a charge where there is no current use of cash.  This pre-tax measure also excludes interest expense as well as other miscellaneous income and expense, such as realized and unrealized foreign exchange gains and loss, that we have concluded are not representative of current performance of our operating businesses.  Our calculation begins with GAAP Net Earnings (Loss) from which we exclude GAAP income tax expense or benefit, GAAP interest expense, GAAP depreciation and amortization, GAAP other income or expense, the non-cash share-based compensation expense and certain other income and charges as listed in the description of our Non-GAAP policy below.  It is also one of the performance measures used to determine the amount, if any, of a payout under our management incentive plans. Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes - As defined by GAAP, Earnings (Loss) from Continuing Operations Before Tax is a sub-total that provides information regarding an entity’s results of continuing operations excluding any amounts related specifically to income taxes.  It is calculated by taking Net Earnings (Loss) and excluding any income or loss associated with discontinued operations and any income tax expense.  To calculate Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, we start with GAAP Net Earnings (Loss) and exclude any results related to discontinued operations, income tax expense and certain other income and charges as listed in the description of our Non-GAAP policy below.  This sub-total is necessary when computing income tax expense on an interim basis (as described below) for both GAAP and Non-GAAP purposes. Non-GAAP Income Tax Expense / Benefit - The calculation of our GAAP income tax expense or benefit in any interim period is based upon an estimate of our effective tax rate for the annual period multiplied by our interim GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, adjusted for discrete items if required.  The calculation of our Non-GAAP Income Tax Expense is based on the same principles as our GAAP income tax expense; however, we exclude from the calculation any tax associated with items that have been excluded, or are projected to be excluded during the calendar year, in our Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, which are listed in the description of our Non-GAAP policy below.  We also exclude certain tax benefits and expenses as described in our Non-GAAP policy below.  Application of the GAAP tax rate to our Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes would render an income tax expense that does not correctly reflect the tax associated with the pre-tax adjustments we make in our Non-GAAP performance measures.  The computation of an effective tax rate reflecting the tax effect of our pre-tax Non-GAAP adjustments permits the calculation of after tax Non-GAAP performance measures and provides additional insights as to the underlying global tax rate for our primary business operations.  At the end of the calendar year, we prepare a tax provision based on Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, excluding certain tax benefits and expenses as described in our Non-GAAP policy below, in order to compute Non-GAAP Earnings (Loss) from Continuing Operations (defined below) for the fourth quarter and calendar year. Non-GAAP Earnings (Loss) from Continuing Operations -  This measure is determined by applying the Non-GAAP Effective Tax Rate for interim periods, or for the calendar year, a tax provision, to our Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes and reducing the Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes by that amount.  The resulting measure is termed Non-GAAP Earnings (Loss) from Continuing Operations.  This metric is intended to provide users of the financial statements with an after tax profitability measure consistent with our pre-tax Non-GAAP measure and is required to compute Non-GAAP Earnings (Loss) Per Share from Continuing Operations. Non-GAAP Earnings (Loss) Per Share from Continuing Operations - To calculate this Non-GAAP measure, we divide our Basic and Diluted Weighted Average Shares into our Non-GAAP Earnings (Loss) from Continuing Operations.  To determine our Basic and Diluted Weighted Average Shares, we utilize GAAP principles under both presentations.  In many periods, the GAAP and Non-GAAP Basis and Weighted Average Shares are the same; however, should either the GAAP or Non-GAAP Earnings (Loss) from Continuing Operations be anti-dilutive, the Diluted Weighted Averages Shares may differ between the two presentations.  This measure is used as one of the criteria to determine the amount, if any, of a payout under our management incentive plans. Free Cash Flow - We define Free Cash Flow as Net Cash Provided by (Used in) Operating Activities less GAAP capital expenditures and investments in intangible assets as presented in our GAAP Consolidated Statement of Cash Flows.  It is intended to provide users of our financial statements an indication of cash flows that are generated by or used in our primary business operations alone.  We caution investors that this measure excludes Net Cash Provided by (Used in) Financing Activities that can include mandatory debt service obligations.  It will also exclude investments such as acquisitions or cash proceeds from divestitures.  It includes cash contributions to pension plans and post-retirement benefit obligations as these are included in Net Cash Provided by (Used in) Operating Activities.  This measure therefore cannot be used to understand changes in cash or in total indebtedness in any reporting period. Net Debt - The term Net Debt is a Non-GAAP measure that is calculated from information in our GAAP presentation.  We add Short-term Borrowings and Long-term Debt (combined “Total Debt”) less Cash and cash equivalents, all as presented on our Condensed Consolidated Balance Sheet. This metric provides users of our financial statements a view of our indebtedness were we to use all our cash and cash equivalents on hand to repay debt. To ensure consistency in the presentation of these Non-GAAP measures, we have developed an internal accounting policy which specifies what types of income or expense are considered to be adjustments to our GAAP financial results and metrics.  In practice, this policy is reviewed annually and approved by our Disclosure Committee and the Audit Committee of our Board of Directors.  Our Non-GAAP financial measures have not changed from the prior year, although in some years we do not have certain transactions. In accordance with our Non-GAAP accounting policy, we adjust our pre-tax GAAP information for the following items: Although we utilize Non-GAAP financial measures internally to monitor and analyze our performance, determine compensation under our management incentive plans and predict future performance, investors should not consider them to be a substitute for financial measures prepared in accordance with GAAP.  In addition, these Non-GAAP financial measures may be calculated differently from similarly titled Non-GAAP financial measures utilized by other companies and, therefore, should not be used in a comparison of our performance relative to other companies without further review of how others calculate these measures. This earnings press release contains forward-looking statements based on management’s current expectations, estimates and projections.  All statements that address expectations or projections about the future, including our actions that will drive earnings growth, demand for our products and expectations for growth, are forward-looking statements.  These statements are not guarantees of future performance and are subject to risks, uncertainties, potentially inaccurate assumptions and other factors, some of which are beyond our control and difficult to predict.  If known or unknown risks materialize, or should underlying assumptions prove inaccurate, our actual results could differ materially from past results and from those expressed in forward-looking statements.  Important factors that could cause our results to differ materially from those expressed in forward-looking statements include, but are not limited to, economic, business, competitive, political, regulatory, legal and governmental conditions in the countries and regions in which we operate.  These factors and others are discussed more fully in the reports we file with the Securities and Exchange Commission, particularly our latest annual report on Form 10-K.  We assume no obligation to provide revisions to any forward-looking statements should circumstances change, except as otherwise required by securities and other applicable laws.


News Article | February 22, 2017
Site: globenewswire.com

Fourth Quarter 2016 GAAP net earnings of $0.34 per diluted share compared to $0.96 for the fourth quarter of 2015 Fourth Quarter 2016 Non-GAAP net earnings of $0.34 per diluted share compared to $0.44 for the fourth quarter of 2015 Year ended December 31, 2016 GAAP net loss of $0.24 per diluted share compared to net earnings of $1.98 for the year ended December 31, 2015 Year ended December 31, 2016 Non-GAAP net earnings of $1.72 per diluted share compared to $1.47 for the year ended December 31, 2015 PHILADELPHIA, Feb. 22, 2017 (GLOBE NEWSWIRE) -- Chemtura Corporation (NYSE:CHMT) (Euronext Paris:CHMT) (the “Company,” “Chemtura,” “We,” “Us” or “Our”) today announced financial results for the fourth quarter and year ended December 31, 2016.  The Company also filed with the Securities and Exchange Commission its Annual Report on Form 10-K for the year ended December 31, 2016.  For the fourth quarter of 2016, Chemtura reported net sales of $385 million and net earnings on a GAAP basis of $22 million, or $0.34 per diluted share.  Net earnings on a Non-GAAP basis were $22 million, or $0.34 per diluted share.  For the year ended December 31, 2016, Chemtura reported net sales of $1,654 million and a net loss on a GAAP basis of $15 million, or $0.24 per diluted share.  Net earnings on a Non-GAAP basis were $111 million, or $1.72 per diluted share. The discussion below includes financial information on both a GAAP and non-GAAP basis.  Later in this release, we explain our Non-GAAP metrics including how each is calculated, why we use the specific metric and the internal controls around our Non-GAAP metrics.  We have provided reconciliations of our GAAP financial information to our Non-GAAP financial metrics in the supplemental schedules attached to this release.  The use of Non-GAAP metrics is not a substitute for GAAP measures and should not be considered as such. The following is a summary of the unaudited financial results on a GAAP and Non-GAAP basis (a description of our Non-GAAP metrics appears later in this release): “In the fourth quarter, we focused on finishing the year strong and on progressing towards closing the Lanxess transaction,” said Craig Rogerson, Chemtura's Chairman, President and Chief Executive Officer.  “We are pleased that our shareholders have overwhelmingly approved the merger with Lanxess and that we have already received a number of regulatory clearances.  The post-closing integration planning is on course and our respective organizations are well positioned to create a stronger, more diverse and higher performing specialty chemical company.” Mr. Rogerson continued, “In the fourth quarter, we were able to continue our strong 2016 performance.  Fourth quarter operating income increased 14% versus the prior year on overall lower revenue.  Sequentially, revenue and operating income were lower for our industrial businesses, which is often the case in the last quarter of the year.  For the full year, excluding the impact of the pension settlement charge incurred earlier in the year and the expenses related to the merger and post-closing integration planning, 2016 operating income increased 36% over our 2015 results.” “Our IEP Segment posted higher fourth quarter revenue and operating income compared to the fourth quarter of 2015,” said Mr. Rogerson.  “Higher prices for bromine-based products and increased sales of our polymer co-catalyst products led the way for IEP’s year-over-year improvements.  Also, in 2015, IEP’s fourth quarter performance was dragged down by charges related to exiting a product line, which did not repeat in the fourth quarter of 2016.  Sequentially, revenue and operating income were lower compared to the third quarter of 2016 due in part to lower bromine sales in the U.S., lower sales of clear brine fluids and seasonally lower fumigant sales.  It is worth noting that sales of flame retardants, such as tetrabrom, into certain electronic applications increased sequentially.” “Our IPP Segment reported lower fourth quarter sales and operating income compared to prior year and sequentially.  Year-over-year declines in IPP sales and operating income are attributable to unfavorable product mix and lower demand across many of our IPP product lines.  We also saw lower prices in certain IPP products compared to last year, as we passed along lower raw material costs to certain of our customers.  In addition, sales prices for urethanes products used in mining and oil and gas applications were lower in the fourth quarter of 2016 compared to last year due to continued weakness in those industries, although we did experience volume growth from new urethane applications in Asia.  Sequential declines in IPP sales and operating income were predominately due to year-end order timing, unfavorable product mix and higher raw material and manufacturing costs.” “For the calendar year of 2016, we delivered on our commitment to increase operating profitability,” observed Mr. Rogerson.  “Excluding the first quarter pension settlement charge resulting from the pension annuity transaction and merger and integration costs, 2016 operating profit of $221 million increased by $59 million, or 36% compared to 2015 calendar year operating profit of $162 million.  The improvement was less visible in our earnings per share due to the loss from the pension settlement charge, the merger and integration expenses and the 2015 tax benefit from certain tax credits and the release of valuation allowance which resulted in a lower than normal tax rate for the prior year.” Mr. Rogerson concluded, “Looking ahead, we will continue to work with our Lanxess colleagues to ensure a smooth transition and integration into the Lanxess organization post-closing.  We expect that the transaction will close by the middle of 2017.  We will also continue to execute on our business plan.” On February 1, 2017, Chemtura's stockholders voted to approve and adopt the agreement and plan of merger (the "Merger Agreement") we entered into on September 25, 2016 with Lanxess Deutschland GmbH, a limited liability company under the laws of Germany ("Lanxess"), and LANXESS Additives Inc., a Delaware corporation and an indirect, wholly owned subsidiary of Lanxess ("Merger Subsidiary").  The merger remains subject to customary closing conditions.  Assuming timely satisfaction of the remaining closing conditions, we currently expect the merger to close by mid-2017. See tables that follow for a quantitative summary of the components of change by segment between the fourth quarter of 2016 and the fourth quarter of 2015 (“year-over-year”) and compared to the third quarter of 2016 (“sequential”). Our IPP segment delivered lower net sales and lower operating income both year-over-year and sequentially. Year-over-year, the reduction in net sales was primarily the result of lower volume and lower sales prices.  During 2016, we continued to pass along the benefit of lower raw material costs to certain of our customers where required by contract.  Lower volume and unfavorable product mix in our petroleum additive products, particularly in synthetic lubricants, base stocks and detergents, were partially offset by increased sales of our lower priced intermediate products.  New application demand for our urethane products, particularly in Asia, offset the continued low demand for our urethane products used in mining and oil and gas applications that we experienced all year.  Sequentially, the primary drivers of the decline in net sales were lower volumes and unfavorable product mix.  In the third quarter of 2016, we benefited from additional volume for our inhibitor products due to a temporary shutdown of an Asian competitor's plant.  With production restored, demand returned to normal levels in the fourth quarter, although seasonally lower.  Sales prices showed a modest increase over the previous quarter. Operating income year-over-year benefited from favorable raw material and distribution costs which were offset by the lower volume and unfavorable product mix and higher costs for manufacturing, inventory adjustments and selling, general and administrative ("SG&A").  Sequentially, the impact of lower net sales, coupled with higher costs for raw material, manufacturing and inventory adjustments in the fourth quarter, reduced operating income. Our IEP segment reported an improvement in year-over-year net sales and operating income.  On a sequential basis, our IEP segment reported lower net sales and lower operating income. Year-over-year, the increase in net sales was primarily driven by higher sales prices in our Emerald Innovation 3000TM products, as well as in our bromine and bromine-based derivative products.  We saw a significant improvement in volume for our organometallic polymerization co-catalysts and tin specialty products due to increased customer demand, which was offset in part by slower demand for our Emerald Innovation 3000TM product and the reduced demand for our clear brine fluids used in the drilling of deep offshore oil and gas wells that we have experienced all year.  Sequentially, the benefit of increases in sales prices for bromine and bromine-based derivatives and tin specialty products were partly offset by some competitive reductions in sales prices for certain brominated flame retardant products.  Sales volumes benefited from increased demand for tetrabrom which was completely offset by the reduced demand for clear brine fluids, fumigants and bromine and bromine-based derivative products. Operating income on a year-over-year basis benefited from the higher sales prices and the volume improvement in our organometallic products.  Lower raw material costs in certain products were offset by the higher cost of tin, which in many cases we were able to pass along to our customers under formula-based pricing.  Unfavorable manufacturing and absorption variances in 2016 were offset by the absence of a charge we recorded in the fourth quarter of 2015 related to the discontinuance of a product.  Sequentially, operating income saw slightly higher costs in all categories, offset in part by increased sales prices. Our general corporate expense decreased slightly on a year-over-year basis, with some increase in our management incentive accruals offset by favorable pension and environmental accruals and lower charges for amortization.  Sequentially, general corporate expense remained relatively flat. During the fourth and third quarters of 2016, we recorded $2 million and $11 million, respectively, of merger and integration costs, which primarily are comprised of legal and other fees associated with the signing of the Merger Agreement with Lanxess and the charge related to the Addivant preferred stock noted below. Contemporaneous with the execution of the Merger Agreement, we entered into an agreement with SK Blue Holdings, Ltd., and Addivant USA Holdings Corp (collectively, "Addivant") that committed us to surrender our shares of Addivant preferred stock to Addivant along with a cash payment of $1 million in exchange for a modification of a non-compete agreement entered into in conjunction with the sale of our antioxidants business to Addivant in 2013.  Reflecting the terms of this agreement, in the third quarter of 2016, we took a charge of $5 million which is included in the merger and integration costs described above.  The agreement with Addivant also provided for certain other modifications to our continuing supply agreements with Addivant that are contingent upon the completion of the Merger. The Agrochemical Manufacturing segment reported lower net sales but operating income was relatively flat both year-over-year and sequentially. The decrease in net sales was attributable to the change from a supply agreement to a tolling agreement in Brazil implemented earlier in 2016 (which reduced both net sales and cost of sales with no impact on operating profit).  We note that the results include net sales and operating profit related to the non-cash amortization, net of accretion, of a below-market contract obligation that is related to our supply agreements.  These amounts were $9 million, $9 million and $10 million in the fourth quarter of 2016, the fourth quarter of 2015 and the third quarter of 2016, respectively. Income tax expense was $14 million in the fourth quarter of 2016 compared with a benefit of $27 million in the fourth quarter of 2015 and expense of $17 million in the third quarter of 2016.  In the fourth quarter of 2015, we released $19 million of certain remaining U.S. federal and state tax valuation allowances as a result of our anticipated improvement in profitability in the U.S. and additional tax benefits were realized from increased utilization of foreign tax credit carrybacks to 2014 and the use of foreign net operating losses which became available due to a change in a foreign country's tax law.  As a result, our 2015 effective tax rate was 11%.  In 2016, our effective tax rate for the year was significantly increased by the tax treatment of the pension settlement accounting arising from the pension annuity transaction in the first quarter of 2016. For purposes of calculating our Non-GAAP Earnings From Continuing Operations, we have applied a Non-GAAP tax rate of 28%.  The non-GAAP rate reflects adjustments to our U.S. GAAP provision to exclude the tax effects of certain types of income and expense as described in our Non-GAAP Measures policy below. In the first quarter of 2015, we completed an evaluation based upon the forecast for the full year and we estimated our Non-GAAP tax rate to be 28%.  This rate was subject to fluctuations each quarter due to changes in our forecasted operating results of our continuing businesses, changes in the mix of income between U.S. and foreign jurisdictions and discrete items that are recorded in the periods in which they occur.  As 2015 progressed, we revised down our Non-GAAP rate for the inclusion of credits, deductions and return to provision adjustments but excluded those that directly related to the divestiture of Chemtura AgroSolutions.  In the fourth quarter of 2015, the Non-GAAP tax rate was further reduced for additional tax benefits we obtained.  Based on these adjustments to the effective rate, our Non-GAAP tax rate for the full year of 2015 was 13%.  Due to the reduction of the Non-GAAP tax rate from that used for the third quarter ended September 30, 2015, the resulting Non-GAAP tax provision for the fourth quarter of 2015 was lower than the full year rate. If we exclude the benefit of the adjustments to our Non-GAAP rate during 2015 for the items discussed above, our estimated Non-GAAP tax rate in 2015 was 28%.  In the first quarter of 2016, we again estimated our Non-GAAP tax rate at 28%.  Each quarter we evaluated whether this estimate should be revised.  As the 2015 adjustments did not reoccur in 2016, our Non-GAAP tax rate for 2016 remained at 28% during the year and the Non-GAAP tax rate for the full year of 2016 was essentially the same as the 28% estimated rate applied during the year. Cash income taxes paid (net of refunds) for the fourth quarter of 2016, the fourth quarter of 2015 and the third quarter of 2016 were $7 million, $4 million and $13 million, respectively. Copies of this release will be available on the Investor Relations section of our website at www.chemtura.com.  We will host a teleconference to review these results at 9:00 a.m. (EST) on Thursday, February 23, 2017.  Interested parties are asked to dial in approximately 10 minutes prior to the start time.  The call-in number for U.S. based participants is (877) 494-3128 and for all other participants is (404) 665-9523.  The conference ID code is 48493850. Replay of the call will be available for thirty days, starting at 12 p.m. (EST) on Thursday, February 23, 2017.  To access the replay, call toll-free (855) 859-2056, (800) 585-8367, or (404) 537-3406, and enter access code 48493850.  An audio webcast of the call can be accessed via the link below during the time of the call: Chemtura Corporation, with 2016 net sales of $1.7 billion, is a global manufacturer and marketer of specialty chemicals.  Additional information concerning us is available at www.chemtura.com. Certain information presented in this press release and in the attached financial tables includes financial measures that are not calculated or presented in accordance with Generally Accepted Accounting Principles in the United States (“GAAP”). We refer to those financial measures as “Non-GAAP”.  While GAAP provides a prescribed format for presenting financial information, internally we have developed and use other financial metrics and measures to make resource allocation decisions, evaluate our underlying performance, compare that performance to peer companies, identify operating trends, determine performance-based compensation, and, among other factors, predict future performance and cash inflows and outflows.  Understanding the Non-GAAP financial measures we use to manage our business and resources provides our investors with insights that cannot be obtained by a review of the GAAP based measures alone.  Many of the Non-GAAP financial measures we use in managing our business can be calculated by investors and other users of our financial statements; however, we provide this information to the public to ensure there are not multiple interpretations of the calculation of any such measure.  To assist our investors in understanding the differences between our GAAP and Non-GAAP measures, we have provided a reconciliation between these presentations in the attached financial tables. Our Non-GAAP Financial Metrics and policies are posted on our website at www.Chemtura.com so that they can be easily referenced by our investors. We use each of the following Non-GAAP measures to provide investors and other users of our financial statements with additional information to aid their understanding of our primary business performance trends as well as our current and future potential cash inflows and outflows: Non-GAAP Net Sales - Included in our presentation of GAAP Net Sales is the revenue accretion and amortization of a below market contract liability related to the supply agreements resulting from the sale of our Chemtura AgroSolutions business.  We excluded these revenues as the accretion and amortization do not generate current or future cash flows. We also exclude the benefit of this accretion and amortization in computing Non-GAAP profitability measures. Non-GAAP Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) -  EBITDA is a financial measure frequently used by investors and others to understand a company’s profitability as well as its ability to meet debt service obligations, make investments and compare performance and valuation to other companies.  This measure excludes cash and non-cash income or charges that exist in a company’s GAAP presentation that do not necessarily represent current or future cash inflows or outflows of business operations.  For example, depreciation and amortization are charges that reduce a company’s net income, but reflect a historic rather than current use of cash and share-based compensation expense is a charge where there is no current use of cash.  This pre-tax measure also excludes interest expense as well as other miscellaneous income and expense, such as realized and unrealized foreign exchange gains and loss, that we have concluded are not representative of current performance of our operating businesses.  Our calculation begins with GAAP Net Earnings (Loss) from which we exclude GAAP income tax expense or benefit, GAAP interest expense, GAAP depreciation and amortization, GAAP other income or expense, the non-cash share-based compensation expense and certain other income and charges as listed in the description of our Non-GAAP policy below.  It is also one of the performance measures used to determine the amount, if any, of a payout under our management incentive plans. Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes - As defined by GAAP, Earnings (Loss) from Continuing Operations Before Tax is a sub-total that provides information regarding an entity’s results of continuing operations excluding any amounts related specifically to income taxes.  It is calculated by taking Net Earnings (Loss) and excluding any income or loss associated with discontinued operations and any income tax expense.  To calculate Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, we start with GAAP Net Earnings (Loss) and exclude any results related to discontinued operations, income tax expense and certain other income and charges as listed in the description of our Non-GAAP policy below.  This sub-total is necessary when computing income tax expense on an interim basis (as described below) for both GAAP and Non-GAAP purposes. Non-GAAP Income Tax Expense / Benefit - The calculation of our GAAP income tax expense or benefit in any interim period is based upon an estimate of our effective tax rate for the annual period multiplied by our interim GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, adjusted for discrete items if required.  The calculation of our Non-GAAP Income Tax Expense is based on the same principles as our GAAP income tax expense; however, we exclude from the calculation any tax associated with items that have been excluded, or are projected to be excluded during the calendar year, in our Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, which are listed in the description of our Non-GAAP policy below.  We also exclude certain tax benefits and expenses as described in our Non-GAAP policy below.  Application of the GAAP tax rate to our Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes would render an income tax expense that does not correctly reflect the tax associated with the pre-tax adjustments we make in our Non-GAAP performance measures.  The computation of an effective tax rate reflecting the tax effect of our pre-tax Non-GAAP adjustments permits the calculation of after tax Non-GAAP performance measures and provides additional insights as to the underlying global tax rate for our primary business operations.  At the end of the calendar year, we prepare a tax provision based on Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, excluding certain tax benefits and expenses as described in our Non-GAAP policy below, in order to compute Non-GAAP Earnings (Loss) from Continuing Operations (defined below) for the fourth quarter and calendar year. Non-GAAP Earnings (Loss) from Continuing Operations -  This measure is determined by applying the Non-GAAP Effective Tax Rate for interim periods, or for the calendar year, a tax provision, to our Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes and reducing the Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes by that amount.  The resulting measure is termed Non-GAAP Earnings (Loss) from Continuing Operations.  This metric is intended to provide users of the financial statements with an after tax profitability measure consistent with our pre-tax Non-GAAP measure and is required to compute Non-GAAP Earnings (Loss) Per Share from Continuing Operations. Non-GAAP Earnings (Loss) Per Share from Continuing Operations - To calculate this Non-GAAP measure, we divide our Basic and Diluted Weighted Average Shares into our Non-GAAP Earnings (Loss) from Continuing Operations.  To determine our Basic and Diluted Weighted Average Shares, we utilize GAAP principles under both presentations.  In many periods, the GAAP and Non-GAAP Basis and Weighted Average Shares are the same; however, should either the GAAP or Non-GAAP Earnings (Loss) from Continuing Operations be anti-dilutive, the Diluted Weighted Averages Shares may differ between the two presentations.  This measure is used as one of the criteria to determine the amount, if any, of a payout under our management incentive plans. Free Cash Flow - We define Free Cash Flow as Net Cash Provided by (Used in) Operating Activities less GAAP capital expenditures and investments in intangible assets as presented in our GAAP Consolidated Statement of Cash Flows.  It is intended to provide users of our financial statements an indication of cash flows that are generated by or used in our primary business operations alone.  We caution investors that this measure excludes Net Cash Provided by (Used in) Financing Activities that can include mandatory debt service obligations.  It will also exclude investments such as acquisitions or cash proceeds from divestitures.  It includes cash contributions to pension plans and post-retirement benefit obligations as these are included in Net Cash Provided by (Used in) Operating Activities.  This measure therefore cannot be used to understand changes in cash or in total indebtedness in any reporting period. Net Debt - The term Net Debt is a Non-GAAP measure that is calculated from information in our GAAP presentation.  We add Short-term Borrowings and Long-term Debt (combined “Total Debt”) less Cash and cash equivalents, all as presented on our Condensed Consolidated Balance Sheet. This metric provides users of our financial statements a view of our indebtedness were we to use all our cash and cash equivalents on hand to repay debt. To ensure consistency in the presentation of these Non-GAAP measures, we have developed an internal accounting policy which specifies what types of income or expense are considered to be adjustments to our GAAP financial results and metrics.  In practice, this policy is reviewed annually and approved by our Disclosure Committee and the Audit Committee of our Board of Directors.  Our Non-GAAP financial measures have not changed from the prior year, although in some years we do not have certain transactions. In accordance with our Non-GAAP accounting policy, we adjust our pre-tax GAAP information for the following items: Although we utilize Non-GAAP financial measures internally to monitor and analyze our performance, determine compensation under our management incentive plans and predict future performance, investors should not consider them to be a substitute for financial measures prepared in accordance with GAAP.  In addition, these Non-GAAP financial measures may be calculated differently from similarly titled Non-GAAP financial measures utilized by other companies and, therefore, should not be used in a comparison of our performance relative to other companies without further review of how others calculate these measures. This earnings press release contains forward-looking statements based on management’s current expectations, estimates and projections.  All statements that address expectations or projections about the future, including our actions that will drive earnings growth, demand for our products and expectations for growth, are forward-looking statements.  These statements are not guarantees of future performance and are subject to risks, uncertainties, potentially inaccurate assumptions and other factors, some of which are beyond our control and difficult to predict.  If known or unknown risks materialize, or should underlying assumptions prove inaccurate, our actual results could differ materially from past results and from those expressed in forward-looking statements.  Important factors that could cause our results to differ materially from those expressed in forward-looking statements include, but are not limited to, economic, business, competitive, political, regulatory, legal and governmental conditions in the countries and regions in which we operate.  These factors and others are discussed more fully in the reports we file with the Securities and Exchange Commission, particularly our latest annual report on Form 10-K.  We assume no obligation to provide revisions to any forward-looking statements should circumstances change, except as otherwise required by securities and other applicable laws.


News Article | February 22, 2017
Site: globenewswire.com

Fourth Quarter 2016 GAAP net earnings of $0.34 per diluted share compared to $0.96 for the fourth quarter of 2015 Fourth Quarter 2016 Non-GAAP net earnings of $0.34 per diluted share compared to $0.44 for the fourth quarter of 2015 Year ended December 31, 2016 GAAP net loss of $0.24 per diluted share compared to net earnings of $1.98 for the year ended December 31, 2015 Year ended December 31, 2016 Non-GAAP net earnings of $1.72 per diluted share compared to $1.47 for the year ended December 31, 2015 PHILADELPHIA, Feb. 22, 2017 (GLOBE NEWSWIRE) -- Chemtura Corporation (NYSE:CHMT) (Euronext Paris:CHMT) (the “Company,” “Chemtura,” “We,” “Us” or “Our”) today announced financial results for the fourth quarter and year ended December 31, 2016.  The Company also filed with the Securities and Exchange Commission its Annual Report on Form 10-K for the year ended December 31, 2016.  For the fourth quarter of 2016, Chemtura reported net sales of $385 million and net earnings on a GAAP basis of $22 million, or $0.34 per diluted share.  Net earnings on a Non-GAAP basis were $22 million, or $0.34 per diluted share.  For the year ended December 31, 2016, Chemtura reported net sales of $1,654 million and a net loss on a GAAP basis of $15 million, or $0.24 per diluted share.  Net earnings on a Non-GAAP basis were $111 million, or $1.72 per diluted share. The discussion below includes financial information on both a GAAP and non-GAAP basis.  Later in this release, we explain our Non-GAAP metrics including how each is calculated, why we use the specific metric and the internal controls around our Non-GAAP metrics.  We have provided reconciliations of our GAAP financial information to our Non-GAAP financial metrics in the supplemental schedules attached to this release.  The use of Non-GAAP metrics is not a substitute for GAAP measures and should not be considered as such. The following is a summary of the unaudited financial results on a GAAP and Non-GAAP basis (a description of our Non-GAAP metrics appears later in this release): “In the fourth quarter, we focused on finishing the year strong and on progressing towards closing the Lanxess transaction,” said Craig Rogerson, Chemtura's Chairman, President and Chief Executive Officer.  “We are pleased that our shareholders have overwhelmingly approved the merger with Lanxess and that we have already received a number of regulatory clearances.  The post-closing integration planning is on course and our respective organizations are well positioned to create a stronger, more diverse and higher performing specialty chemical company.” Mr. Rogerson continued, “In the fourth quarter, we were able to continue our strong 2016 performance.  Fourth quarter operating income increased 14% versus the prior year on overall lower revenue.  Sequentially, revenue and operating income were lower for our industrial businesses, which is often the case in the last quarter of the year.  For the full year, excluding the impact of the pension settlement charge incurred earlier in the year and the expenses related to the merger and post-closing integration planning, 2016 operating income increased 36% over our 2015 results.” “Our IEP Segment posted higher fourth quarter revenue and operating income compared to the fourth quarter of 2015,” said Mr. Rogerson.  “Higher prices for bromine-based products and increased sales of our polymer co-catalyst products led the way for IEP’s year-over-year improvements.  Also, in 2015, IEP’s fourth quarter performance was dragged down by charges related to exiting a product line, which did not repeat in the fourth quarter of 2016.  Sequentially, revenue and operating income were lower compared to the third quarter of 2016 due in part to lower bromine sales in the U.S., lower sales of clear brine fluids and seasonally lower fumigant sales.  It is worth noting that sales of flame retardants, such as tetrabrom, into certain electronic applications increased sequentially.” “Our IPP Segment reported lower fourth quarter sales and operating income compared to prior year and sequentially.  Year-over-year declines in IPP sales and operating income are attributable to unfavorable product mix and lower demand across many of our IPP product lines.  We also saw lower prices in certain IPP products compared to last year, as we passed along lower raw material costs to certain of our customers.  In addition, sales prices for urethanes products used in mining and oil and gas applications were lower in the fourth quarter of 2016 compared to last year due to continued weakness in those industries, although we did experience volume growth from new urethane applications in Asia.  Sequential declines in IPP sales and operating income were predominately due to year-end order timing, unfavorable product mix and higher raw material and manufacturing costs.” “For the calendar year of 2016, we delivered on our commitment to increase operating profitability,” observed Mr. Rogerson.  “Excluding the first quarter pension settlement charge resulting from the pension annuity transaction and merger and integration costs, 2016 operating profit of $221 million increased by $59 million, or 36% compared to 2015 calendar year operating profit of $162 million.  The improvement was less visible in our earnings per share due to the loss from the pension settlement charge, the merger and integration expenses and the 2015 tax benefit from certain tax credits and the release of valuation allowance which resulted in a lower than normal tax rate for the prior year.” Mr. Rogerson concluded, “Looking ahead, we will continue to work with our Lanxess colleagues to ensure a smooth transition and integration into the Lanxess organization post-closing.  We expect that the transaction will close by the middle of 2017.  We will also continue to execute on our business plan.” On February 1, 2017, Chemtura's stockholders voted to approve and adopt the agreement and plan of merger (the "Merger Agreement") we entered into on September 25, 2016 with Lanxess Deutschland GmbH, a limited liability company under the laws of Germany ("Lanxess"), and LANXESS Additives Inc., a Delaware corporation and an indirect, wholly owned subsidiary of Lanxess ("Merger Subsidiary").  The merger remains subject to customary closing conditions.  Assuming timely satisfaction of the remaining closing conditions, we currently expect the merger to close by mid-2017. See tables that follow for a quantitative summary of the components of change by segment between the fourth quarter of 2016 and the fourth quarter of 2015 (“year-over-year”) and compared to the third quarter of 2016 (“sequential”). Our IPP segment delivered lower net sales and lower operating income both year-over-year and sequentially. Year-over-year, the reduction in net sales was primarily the result of lower volume and lower sales prices.  During 2016, we continued to pass along the benefit of lower raw material costs to certain of our customers where required by contract.  Lower volume and unfavorable product mix in our petroleum additive products, particularly in synthetic lubricants, base stocks and detergents, were partially offset by increased sales of our lower priced intermediate products.  New application demand for our urethane products, particularly in Asia, offset the continued low demand for our urethane products used in mining and oil and gas applications that we experienced all year.  Sequentially, the primary drivers of the decline in net sales were lower volumes and unfavorable product mix.  In the third quarter of 2016, we benefited from additional volume for our inhibitor products due to a temporary shutdown of an Asian competitor's plant.  With production restored, demand returned to normal levels in the fourth quarter, although seasonally lower.  Sales prices showed a modest increase over the previous quarter. Operating income year-over-year benefited from favorable raw material and distribution costs which were offset by the lower volume and unfavorable product mix and higher costs for manufacturing, inventory adjustments and selling, general and administrative ("SG&A").  Sequentially, the impact of lower net sales, coupled with higher costs for raw material, manufacturing and inventory adjustments in the fourth quarter, reduced operating income. Our IEP segment reported an improvement in year-over-year net sales and operating income.  On a sequential basis, our IEP segment reported lower net sales and lower operating income. Year-over-year, the increase in net sales was primarily driven by higher sales prices in our Emerald Innovation 3000TM products, as well as in our bromine and bromine-based derivative products.  We saw a significant improvement in volume for our organometallic polymerization co-catalysts and tin specialty products due to increased customer demand, which was offset in part by slower demand for our Emerald Innovation 3000TM product and the reduced demand for our clear brine fluids used in the drilling of deep offshore oil and gas wells that we have experienced all year.  Sequentially, the benefit of increases in sales prices for bromine and bromine-based derivatives and tin specialty products were partly offset by some competitive reductions in sales prices for certain brominated flame retardant products.  Sales volumes benefited from increased demand for tetrabrom which was completely offset by the reduced demand for clear brine fluids, fumigants and bromine and bromine-based derivative products. Operating income on a year-over-year basis benefited from the higher sales prices and the volume improvement in our organometallic products.  Lower raw material costs in certain products were offset by the higher cost of tin, which in many cases we were able to pass along to our customers under formula-based pricing.  Unfavorable manufacturing and absorption variances in 2016 were offset by the absence of a charge we recorded in the fourth quarter of 2015 related to the discontinuance of a product.  Sequentially, operating income saw slightly higher costs in all categories, offset in part by increased sales prices. Our general corporate expense decreased slightly on a year-over-year basis, with some increase in our management incentive accruals offset by favorable pension and environmental accruals and lower charges for amortization.  Sequentially, general corporate expense remained relatively flat. During the fourth and third quarters of 2016, we recorded $2 million and $11 million, respectively, of merger and integration costs, which primarily are comprised of legal and other fees associated with the signing of the Merger Agreement with Lanxess and the charge related to the Addivant preferred stock noted below. Contemporaneous with the execution of the Merger Agreement, we entered into an agreement with SK Blue Holdings, Ltd., and Addivant USA Holdings Corp (collectively, "Addivant") that committed us to surrender our shares of Addivant preferred stock to Addivant along with a cash payment of $1 million in exchange for a modification of a non-compete agreement entered into in conjunction with the sale of our antioxidants business to Addivant in 2013.  Reflecting the terms of this agreement, in the third quarter of 2016, we took a charge of $5 million which is included in the merger and integration costs described above.  The agreement with Addivant also provided for certain other modifications to our continuing supply agreements with Addivant that are contingent upon the completion of the Merger. The Agrochemical Manufacturing segment reported lower net sales but operating income was relatively flat both year-over-year and sequentially. The decrease in net sales was attributable to the change from a supply agreement to a tolling agreement in Brazil implemented earlier in 2016 (which reduced both net sales and cost of sales with no impact on operating profit).  We note that the results include net sales and operating profit related to the non-cash amortization, net of accretion, of a below-market contract obligation that is related to our supply agreements.  These amounts were $9 million, $9 million and $10 million in the fourth quarter of 2016, the fourth quarter of 2015 and the third quarter of 2016, respectively. Income tax expense was $14 million in the fourth quarter of 2016 compared with a benefit of $27 million in the fourth quarter of 2015 and expense of $17 million in the third quarter of 2016.  In the fourth quarter of 2015, we released $19 million of certain remaining U.S. federal and state tax valuation allowances as a result of our anticipated improvement in profitability in the U.S. and additional tax benefits were realized from increased utilization of foreign tax credit carrybacks to 2014 and the use of foreign net operating losses which became available due to a change in a foreign country's tax law.  As a result, our 2015 effective tax rate was 11%.  In 2016, our effective tax rate for the year was significantly increased by the tax treatment of the pension settlement accounting arising from the pension annuity transaction in the first quarter of 2016. For purposes of calculating our Non-GAAP Earnings From Continuing Operations, we have applied a Non-GAAP tax rate of 28%.  The non-GAAP rate reflects adjustments to our U.S. GAAP provision to exclude the tax effects of certain types of income and expense as described in our Non-GAAP Measures policy below. In the first quarter of 2015, we completed an evaluation based upon the forecast for the full year and we estimated our Non-GAAP tax rate to be 28%.  This rate was subject to fluctuations each quarter due to changes in our forecasted operating results of our continuing businesses, changes in the mix of income between U.S. and foreign jurisdictions and discrete items that are recorded in the periods in which they occur.  As 2015 progressed, we revised down our Non-GAAP rate for the inclusion of credits, deductions and return to provision adjustments but excluded those that directly related to the divestiture of Chemtura AgroSolutions.  In the fourth quarter of 2015, the Non-GAAP tax rate was further reduced for additional tax benefits we obtained.  Based on these adjustments to the effective rate, our Non-GAAP tax rate for the full year of 2015 was 13%.  Due to the reduction of the Non-GAAP tax rate from that used for the third quarter ended September 30, 2015, the resulting Non-GAAP tax provision for the fourth quarter of 2015 was lower than the full year rate. If we exclude the benefit of the adjustments to our Non-GAAP rate during 2015 for the items discussed above, our estimated Non-GAAP tax rate in 2015 was 28%.  In the first quarter of 2016, we again estimated our Non-GAAP tax rate at 28%.  Each quarter we evaluated whether this estimate should be revised.  As the 2015 adjustments did not reoccur in 2016, our Non-GAAP tax rate for 2016 remained at 28% during the year and the Non-GAAP tax rate for the full year of 2016 was essentially the same as the 28% estimated rate applied during the year. Cash income taxes paid (net of refunds) for the fourth quarter of 2016, the fourth quarter of 2015 and the third quarter of 2016 were $7 million, $4 million and $13 million, respectively. Copies of this release will be available on the Investor Relations section of our website at www.chemtura.com.  We will host a teleconference to review these results at 9:00 a.m. (EST) on Thursday, February 23, 2017.  Interested parties are asked to dial in approximately 10 minutes prior to the start time.  The call-in number for U.S. based participants is (877) 494-3128 and for all other participants is (404) 665-9523.  The conference ID code is 48493850. Replay of the call will be available for thirty days, starting at 12 p.m. (EST) on Thursday, February 23, 2017.  To access the replay, call toll-free (855) 859-2056, (800) 585-8367, or (404) 537-3406, and enter access code 48493850.  An audio webcast of the call can be accessed via the link below during the time of the call: Chemtura Corporation, with 2016 net sales of $1.7 billion, is a global manufacturer and marketer of specialty chemicals.  Additional information concerning us is available at www.chemtura.com. Certain information presented in this press release and in the attached financial tables includes financial measures that are not calculated or presented in accordance with Generally Accepted Accounting Principles in the United States (“GAAP”). We refer to those financial measures as “Non-GAAP”.  While GAAP provides a prescribed format for presenting financial information, internally we have developed and use other financial metrics and measures to make resource allocation decisions, evaluate our underlying performance, compare that performance to peer companies, identify operating trends, determine performance-based compensation, and, among other factors, predict future performance and cash inflows and outflows.  Understanding the Non-GAAP financial measures we use to manage our business and resources provides our investors with insights that cannot be obtained by a review of the GAAP based measures alone.  Many of the Non-GAAP financial measures we use in managing our business can be calculated by investors and other users of our financial statements; however, we provide this information to the public to ensure there are not multiple interpretations of the calculation of any such measure.  To assist our investors in understanding the differences between our GAAP and Non-GAAP measures, we have provided a reconciliation between these presentations in the attached financial tables. Our Non-GAAP Financial Metrics and policies are posted on our website at www.Chemtura.com so that they can be easily referenced by our investors. We use each of the following Non-GAAP measures to provide investors and other users of our financial statements with additional information to aid their understanding of our primary business performance trends as well as our current and future potential cash inflows and outflows: Non-GAAP Net Sales - Included in our presentation of GAAP Net Sales is the revenue accretion and amortization of a below market contract liability related to the supply agreements resulting from the sale of our Chemtura AgroSolutions business.  We excluded these revenues as the accretion and amortization do not generate current or future cash flows. We also exclude the benefit of this accretion and amortization in computing Non-GAAP profitability measures. Non-GAAP Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) -  EBITDA is a financial measure frequently used by investors and others to understand a company’s profitability as well as its ability to meet debt service obligations, make investments and compare performance and valuation to other companies.  This measure excludes cash and non-cash income or charges that exist in a company’s GAAP presentation that do not necessarily represent current or future cash inflows or outflows of business operations.  For example, depreciation and amortization are charges that reduce a company’s net income, but reflect a historic rather than current use of cash and share-based compensation expense is a charge where there is no current use of cash.  This pre-tax measure also excludes interest expense as well as other miscellaneous income and expense, such as realized and unrealized foreign exchange gains and loss, that we have concluded are not representative of current performance of our operating businesses.  Our calculation begins with GAAP Net Earnings (Loss) from which we exclude GAAP income tax expense or benefit, GAAP interest expense, GAAP depreciation and amortization, GAAP other income or expense, the non-cash share-based compensation expense and certain other income and charges as listed in the description of our Non-GAAP policy below.  It is also one of the performance measures used to determine the amount, if any, of a payout under our management incentive plans. Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes - As defined by GAAP, Earnings (Loss) from Continuing Operations Before Tax is a sub-total that provides information regarding an entity’s results of continuing operations excluding any amounts related specifically to income taxes.  It is calculated by taking Net Earnings (Loss) and excluding any income or loss associated with discontinued operations and any income tax expense.  To calculate Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, we start with GAAP Net Earnings (Loss) and exclude any results related to discontinued operations, income tax expense and certain other income and charges as listed in the description of our Non-GAAP policy below.  This sub-total is necessary when computing income tax expense on an interim basis (as described below) for both GAAP and Non-GAAP purposes. Non-GAAP Income Tax Expense / Benefit - The calculation of our GAAP income tax expense or benefit in any interim period is based upon an estimate of our effective tax rate for the annual period multiplied by our interim GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, adjusted for discrete items if required.  The calculation of our Non-GAAP Income Tax Expense is based on the same principles as our GAAP income tax expense; however, we exclude from the calculation any tax associated with items that have been excluded, or are projected to be excluded during the calendar year, in our Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, which are listed in the description of our Non-GAAP policy below.  We also exclude certain tax benefits and expenses as described in our Non-GAAP policy below.  Application of the GAAP tax rate to our Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes would render an income tax expense that does not correctly reflect the tax associated with the pre-tax adjustments we make in our Non-GAAP performance measures.  The computation of an effective tax rate reflecting the tax effect of our pre-tax Non-GAAP adjustments permits the calculation of after tax Non-GAAP performance measures and provides additional insights as to the underlying global tax rate for our primary business operations.  At the end of the calendar year, we prepare a tax provision based on Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes, excluding certain tax benefits and expenses as described in our Non-GAAP policy below, in order to compute Non-GAAP Earnings (Loss) from Continuing Operations (defined below) for the fourth quarter and calendar year. Non-GAAP Earnings (Loss) from Continuing Operations -  This measure is determined by applying the Non-GAAP Effective Tax Rate for interim periods, or for the calendar year, a tax provision, to our Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes and reducing the Non-GAAP Earnings (Loss) from Continuing Operations Before Income Taxes by that amount.  The resulting measure is termed Non-GAAP Earnings (Loss) from Continuing Operations.  This metric is intended to provide users of the financial statements with an after tax profitability measure consistent with our pre-tax Non-GAAP measure and is required to compute Non-GAAP Earnings (Loss) Per Share from Continuing Operations. Non-GAAP Earnings (Loss) Per Share from Continuing Operations - To calculate this Non-GAAP measure, we divide our Basic and Diluted Weighted Average Shares into our Non-GAAP Earnings (Loss) from Continuing Operations.  To determine our Basic and Diluted Weighted Average Shares, we utilize GAAP principles under both presentations.  In many periods, the GAAP and Non-GAAP Basis and Weighted Average Shares are the same; however, should either the GAAP or Non-GAAP Earnings (Loss) from Continuing Operations be anti-dilutive, the Diluted Weighted Averages Shares may differ between the two presentations.  This measure is used as one of the criteria to determine the amount, if any, of a payout under our management incentive plans. Free Cash Flow - We define Free Cash Flow as Net Cash Provided by (Used in) Operating Activities less GAAP capital expenditures and investments in intangible assets as presented in our GAAP Consolidated Statement of Cash Flows.  It is intended to provide users of our financial statements an indication of cash flows that are generated by or used in our primary business operations alone.  We caution investors that this measure excludes Net Cash Provided by (Used in) Financing Activities that can include mandatory debt service obligations.  It will also exclude investments such as acquisitions or cash proceeds from divestitures.  It includes cash contributions to pension plans and post-retirement benefit obligations as these are included in Net Cash Provided by (Used in) Operating Activities.  This measure therefore cannot be used to understand changes in cash or in total indebtedness in any reporting period. Net Debt - The term Net Debt is a Non-GAAP measure that is calculated from information in our GAAP presentation.  We add Short-term Borrowings and Long-term Debt (combined “Total Debt”) less Cash and cash equivalents, all as presented on our Condensed Consolidated Balance Sheet. This metric provides users of our financial statements a view of our indebtedness were we to use all our cash and cash equivalents on hand to repay debt. To ensure consistency in the presentation of these Non-GAAP measures, we have developed an internal accounting policy which specifies what types of income or expense are considered to be adjustments to our GAAP financial results and metrics.  In practice, this policy is reviewed annually and approved by our Disclosure Committee and the Audit Committee of our Board of Directors.  Our Non-GAAP financial measures have not changed from the prior year, although in some years we do not have certain transactions. In accordance with our Non-GAAP accounting policy, we adjust our pre-tax GAAP information for the following items: Although we utilize Non-GAAP financial measures internally to monitor and analyze our performance, determine compensation under our management incentive plans and predict future performance, investors should not consider them to be a substitute for financial measures prepared in accordance with GAAP.  In addition, these Non-GAAP financial measures may be calculated differently from similarly titled Non-GAAP financial measures utilized by other companies and, therefore, should not be used in a comparison of our performance relative to other companies without further review of how others calculate these measures. This earnings press release contains forward-looking statements based on management’s current expectations, estimates and projections.  All statements that address expectations or projections about the future, including our actions that will drive earnings growth, demand for our products and expectations for growth, are forward-looking statements.  These statements are not guarantees of future performance and are subject to risks, uncertainties, potentially inaccurate assumptions and other factors, some of which are beyond our control and difficult to predict.  If known or unknown risks materialize, or should underlying assumptions prove inaccurate, our actual results could differ materially from past results and from those expressed in forward-looking statements.  Important factors that could cause our results to differ materially from those expressed in forward-looking statements include, but are not limited to, economic, business, competitive, political, regulatory, legal and governmental conditions in the countries and regions in which we operate.  These factors and others are discussed more fully in the reports we file with the Securities and Exchange Commission, particularly our latest annual report on Form 10-K.  We assume no obligation to provide revisions to any forward-looking statements should circumstances change, except as otherwise required by securities and other applicable laws.


News Article | November 2, 2016
Site: www.newsmaker.com.au

About Rubber Processing Chemicals Rubber is a polymer which is classified into two types, natural and synthetic. Natural rubber is extracted from latex, while synthetic rubber is manufactured through chemical processes. Rubber is processed using various chemicals to improve its resistance against heat, sunlight, oxidation, ozone and mechanical stress. Rubber processing chemicals are also integral to vulcanization process. These chemicals can be classified into different groups, based on functions, as follows: • Anti-degradants • Accelerators • Processing aids • Anti-scorch agents • Blowing agents • Polymerization regulators • Shortstops The global rubber processing chemicals market has grown rapidly in the past few years with China and India representing the largest markets. Although rubber processing chemicals find a wide range of applications, tire manufacturing industries are its major consumers. Wiseguy Reports analysts forecast the global rubber processing chemicals market to grow at a CAGR of 5.84% during 2015-2019. Covered in this Report The report covers the present scenario and the growth prospects of the global rubber processing chemicals market for the period 2015-2019. It provides data on the following segments of the market • Types (Antidegradants, Accelerators and Processing Aids and Others) • Geographies (APAC, EMEA and Americas) The Wiseguy Reports report, namely Global Rubber Processing Chemicals Market 2015-2019, is based on an in-depth market analysis, with inputs from various industry experts. The report includes a comprehensive discussion on the market, an extensive coverage on various applications, end-users and composition of the bulletproof glass. It further discusses the key vendors operating in the market and uses Porter's strategies to explain the competitive nature of various vendors in the market. Key Vendors • Akzo Nobel • BASF • Emerald Performance Chemicals • Lanxess Corporation • Vanderbilt Chemicals Other Prominent Vendors • Georgia Pacific Chemicals • Merchem • PMC Rubber Chemicals • Velox Chemicals Market Drivers • Growth of the Automobile Industry • For a full, detailed list, view our report Market Challenges • Stringent Environmental Regulations • For a full, detailed list, view our report Market Trends • Ongoing Research to Develop Bio-based Rubber • For a full, detailed list, view our report Key Questions Answered in this Report • What will the market size be in 2019 and what will the growth rate be? • What are the various end-uses and potential applications for the product? • What are the key market trends? • What is driving this market? • What are the challenges to market growth? • Who are the key vendors in this market space and what is the nature of competition between them? • What are the market opportunities and threats faced by the key vendors? Executive Summary 02. List of Abbreviations 03. Scope of the Report 03.1 Market Overview 03.2 Product Offerings 04. Market Research Methodology 04.1 Market Research Process 04.2 Research Methodology 05. Introduction 05.1.1 Definition 05.1.2 Background 05.1.3 Current Market Scenario 05.1.4 Growth Outlook 06. Market Landscape 06.1 Market Overview 06.2 Market Size and Forecast 06.3 Five Forces Analysis 07. Market Segmentation by Type 07.1 Global Rubber Processing Chemicals Market by Type 2014-2019 07.2 Global Rubber Processing Chemicals Market by Antidegradants 07.2.1 Market Size and Forecast 07.3 Global Rubber Processing Chemicals Market by Accelerators 07.3.1 Market Size and Forecast 07.4 Global Rubber Processing Chemicals Market by Processing Aids and Others 07.4.1 Market Size and Forecast 08. Geographical Segmentation 08.1 Global Rubber Processing Chemicals Market by Geographical Segmentation 2014-2019 08.2 Rubber Processing Chemicals Market in APAC 08.2.1 Market Size and Forecast 08.3 Rubber Processing Chemicals Market in EMEA 08.3.1 Market Size and Forecast 08.4 Rubber Processing Chemicals Market in Americas 08.4.1 Market Size and Forecast 09. Key Leading Countries 09.1 China 09.2 India 09.3 Japan 09.4 Southeast Asian Countries 09.5 Germany 09.6 France 10. Buying Criteria 11. Market Growth Drivers 12. Drivers and their Impact 13. Market Challenges 14. Impact of Drivers and Challenges 15. Market Trends 16. Trends and their Impact 17. Vendor Landscape 17.1 Competitive Scenario 17.2 Major Vendor Analysis 17.3 Other Prominent Vendors 18. Key Vendor Analysis 18.1 AkzoNobel 18.1.1 Key Facts 18.1.2 Business Overview 18.1.3 AkzoNobel: Business Segmentation by Revenue 2013 18.1.4 Business Segmentation by Revenue 2012 and 2013 18.1.5 Geographical Segmentation by Revenue 2013 18.1.6 Business Strategy 18.1.7 Recent Developments 18.1.8 SWOT Analysis 18.2 BASF 18.2.1 Key Facts 18.2.2 Business Overview 18.2.3 Business Segmentation by Revenue 2014 18.2.4 Business Segmentation by Revenue 2013 and 2014 18.2.5 Geographical Segmentation by Revenue 2014 18.2.6 Business Strategy 18.2.7 Recent Developments 18.2.8 SWOT Analysis 18.3 Emerald Performance Materials 18.3.1 Key Facts 18.3.2 Business Overview 18.3.3 Recent Developments 18.3.4 SWOT Analysis 18.4 Lanxess Corporation 18.4.1 Key Facts 18.4.2 Business Overview 18.4.3 Business Segmentation by Revenue 2012 and 2013 18.4.4 Business Strategy 18.4.5 Key Information 18.4.6 SWOT Analysis 18.5 Vanderbilt Chemicals 18.5.1 Key Facts 18.5.2 Business Overview 18.5.3 SWOT Analysis 19. Other Reports in this Series List of Exhibits Exhibit 1: Market Research Methodology Exhibit 2: Global Rubber Processing Chemicals Market Segmentation Exhibit 3: Global Rubber Processing Chemicals Market by Type Exhibit 4: Global Rubber Processing Chemicals Market by Geography Exhibit 5: Global Rubber Processing Chemicals Market 2014-2019 (million metric tonnes) Exhibit 6: Global Rubber Processing Chemicals Market 2014-2019 Exhibit 7: Global Rubber Processing Chemicals Market by Type 2014 and 2019 Exhibit 8: Global Rubber Processing Chemicals Market by Antidegradants 2014-2019 (million metric tonnes) Exhibit 9: Global Rubber Processing Chemicals Market by Accelerators 2014-2019 (million metric tonnes) Exhibit 10: Global Rubber Processing Chemicals Market by Processing Aids and Others 2014-2019 (million metric tonnes) Exhibit 11: Global Rubber Processing Chemicals Market by Geographical Segmentation 2014-2019 Exhibit 12: Global Rubber Processing Chemicals Market by Geographical Segmentation 2014 and 2019 Exhibit 13: Rubber Processing Chemicals Market in APAC 2014-2019 (million metric tonnes) Exhibit 14: Rubber Processing Chemicals Market in EMEA 2014-2019 (million metric tonnes) Exhibit 15: Rubber Processing Chemicals Market in Americas 2014-2019 (million metric tonnes) Exhibit 16: Major Vendors in Global Rubber Processing Chemicals Market 2014 Exhibit 17: AkzoNobel: Business Segmentation by Revenue 2013 Exhibit 18: AkzoNobel: Business Segmentation by Revenue 2012 and 2013 (US$ billion) Exhibit 19: AkzoNobel: Geographical Segmentation by Revenue 2013 Exhibit 20: BASF: Business Segmentation by Revenue 2014 Exhibit 21: BASF: Business Segmentation By Revenue 2013 and 2014 ($ billion) Exhibit 22: BASF: Geographical Segmentation By Revenue 2014 Exhibit 23: Lanxess: Business Segmentation by Revenue 2012 and 2013 (US$ billion) Wise Guy Reports is part of the Wise Guy Consultants Pvt. Ltd. and offers premium progressive statistical surveying, market research reports, analysis & forecast data for industries and governments around the globe. Wise Guy Reports understand how essential statistical surveying information is for your organization or association. Therefore, we have associated with the top publishers and research firms all specialized in specific domains, ensuring you will receive the most reliable and up to date research data available.


News Article | November 16, 2016
Site: www.newsmaker.com.au

MarketStudyReport.com adds “Global Phosphate Ester Market by Manufacturers, Regions, Type and Application, Forecast to 2021” new report to its research database. The report spread across 111 pages with table and figures in it. Phosphate Ester, is an ester derived from an alcohol and phosphoric acid. Technology can be also called as organophosphate because these molecules have a phosphate group bonded to carbon. Phosphate Ester is widely used in pesticides, lubricants, surfactants, flame retardants. Scope of the Report: This report focuses on the Phosphate Ester in Global market, especially in North America, Europe and Asia-Pacific, South America, Middle East and Africa. This report categorizes the market based on manufacturers, regions, type and application. Market Segment by Manufacturers, this report covers Chemtura Dow ExxonMobil Akzo Nobel Elementis Specialties Solvay Ashland IsleChem BASF Custom Synthesis Croda Stepan Eastman Colonial Chemical Clariant Lanxess Castrol LimTechnologyed Kao Ajinomoto Fortune Zhenxing Ankang Xinhang Market Segment by Regions, regional analysis covers North America (USA, Canada and Mexico) Europe (Germany, France, UK, Russia and Technologyaly) Asia-Pacific (China, Japan, Korea, India and Southeast Asia) South America, Middle East and Africa Market Segment by Type, covers Alkyl Phosphate Esters Aryl phosphate easters Others Monophosphate Market Segment by Applications, can be divided into Flame Retardants Lubricants Cleaning Products Browse full table of contents and data tables at https://www.marketstudyreport.com/reports/global-phosphate-ester-market-by-manufacturers-regions-type-and-application-forecast-to-2021/ There are 13 Chapters to deeply display the global Phosphate Ester market. Chapter 1, to describe Phosphate Ester Introduction, product scope, market overview, market opportunTechnologyies, market risk, market driving force; Chapter 2, to analyze the top manufacturers of Phosphate Ester, wTechnologyh sales, revenue, and price of Phosphate Ester, in 2015 and 2016; Chapter 3, to display the competTechnologyive sTechnologyuation among the top manufacturers, wTechnologyh sales, revenue and market share in 2015 and 2016; Chapter 4, to show the global market by regions, wTechnologyh sales, revenue and market share of Phosphate Ester, for each region, from 2011 to 2016; Chapter 5, 6, 7 and 8, to analyze the key regions, wTechnologyh sales, revenue and market share by key countries in these regions; Chapter 9 and 10, to show the market by type and application, wTechnologyh sales market share and growth rate by type, application, from 2011 to 2016; Chapter 11, Phosphate Ester market forecast, by regions, type and application, wTechnologyh sales and revenue, from 2016 to 2021; Chapter 12 and 13, to describe Phosphate Ester sales channel, distributors, traders, dealers, appendix and data source. To receive personalized assistance write to us @ [email protected] with the report title in the subject line along with your questions or call us at +1 866-764-2150


News Article | February 17, 2017
Site: marketersmedia.com

— This report studies sales (consumption) of Oil & Gas Biocides in Global market, especially in United States, China, Europe and Japan, focuses on top players in these regions/countries, with sales, price, revenue and market share for each player in these regions, covering Market Segment by Regions, this report splits Global into several key Regions, with sales (consumption), revenue, market share and growth rate of Oil & Gas Biocides in these regions, from 2011 to 2021 (forecast), like Split by product Types, with sales, revenue, price and gross margin, market share and growth rate of each type, can be divided into Oil Gas Split by applications, this report focuses on sales, market share and growth rate of Oil & Gas Biocides in each application, can be divided into Water Treatment & Management Wood Preservatives Paints& Coatings Personal Care Preservatives Others Global Oil & Gas Biocides Sales Market Report 2017 1 Oil & Gas Biocides Overview 1.1 Product Overview and Scope of Oil & Gas Biocides 1.2 Classification of Oil & Gas Biocides 1.2.1 Oil 1.2.2 Gas 1.3 Application of Oil & Gas Biocides 1.3.1 Water Treatment & Management 1.3.2 Wood Preservatives 1.3.3 Paints& Coatings 1.3.4 Personal Care Preservatives 1.3.5 Others 1.4 Oil & Gas Biocides Market by Regions 1.4.1 United States Status and Prospect (2012-2022) 1.4.2 China Status and Prospect (2012-2022) 1.4.3 Europe Status and Prospect (2012-2022) 1.4.4 Japan Status and Prospect (2012-2022) 1.4.5 Southeast Asia Status and Prospect (2012-2022) 1.4.6 India Status and Prospect (2012-2022) 1.5 Global Market Size (Value and Volume) of Oil & Gas Biocides (2012-2022) 1.5.1 Global Oil & Gas Biocides Sales and Growth Rate (2012-2022) 1.5.2 Global Oil & Gas Biocides Revenue and Growth Rate (2012-2022) 9 Global Oil & Gas Biocides Manufacturers Analysis 9.1 AkzoNobel 9.1.1 Company Basic Information, Manufacturing Base and Competitors 9.1.2 Oil & Gas Biocides Product Type, Application and Specification 9.1.2.1 Oil 9.1.2.2 Gas 9.1.3 AkzoNobel Oil & Gas Biocides Sales, Revenue, Price and Gross Margin (2012-2017) 9.1.4 Main Business/Business Overview 9.2 Ashland 9.2.1 Company Basic Information, Manufacturing Base and Competitors 9.2.2 Oil & Gas Biocides Product Type, Application and Specification 9.2.2.1 Oil 9.2.2.2 Gas 9.2.3 Ashland Oil & Gas Biocides Sales, Revenue, Price and Gross Margin (2012-2017) 9.2.4 Main Business/Business Overview 9.3 Baker Hughes 9.3.1 Company Basic Information, Manufacturing Base and Competitors 9.3.2 Oil & Gas Biocides Product Type, Application and Specification 9.3.2.1 Oil 9.3.2.2 Gas 9.3.3 Baker Hughes Oil & Gas Biocides Sales, Revenue, Price and Gross Margin (2012-2017) 9.3.4 Main Business/Business Overview 9.4 BASF 9.4.1 Company Basic Information, Manufacturing Base and Competitors 9.4.2 Oil & Gas Biocides Product Type, Application and Specification 9.4.2.1 Oil 9.4.2.2 Gas 9.4.3 BASF Oil & Gas Biocides Sales, Revenue, Price and Gross Margin (2012-2017) 9.4.4 Main Business/Business Overview 9.5 Clariant Chemicals 9.5.1 Company Basic Information, Manufacturing Base and Competitors 9.5.2 Oil & Gas Biocides Product Type, Application and Specification 9.5.2.1 Oil 9.5.2.2 Gas 9.5.3 Clariant Chemicals Oil & Gas Biocides Sales, Revenue, Price and Gross Margin (2012-2017) 9.5.4 Main Business/Business Overview 9.6 CORTEC 9.6.1 Company Basic Information, Manufacturing Base and Competitors 9.6.2 Oil & Gas Biocides Product Type, Application and Specification 9.6.2.1 Oil 9.6.2.2 Gas 9.6.3 CORTEC Oil & Gas Biocides Sales, Revenue, Price and Gross Margin (2012-2017) 9.6.4 Main Business/Business Overview 9.7 FMC 9.7.1 Company Basic Information, Manufacturing Base and Competitors 9.7.2 Oil & Gas Biocides Product Type, Application and Specification 9.7.2.1 Oil 9.7.2.2 Gas 9.7.3 FMC Oil & Gas Biocides Sales, Revenue, Price and Gross Margin (2012-2017) 9.7.4 Main Business/Business Overview 9.8 Lanxess 9.8.1 Company Basic Information, Manufacturing Base and Competitors 9.8.2 Oil & Gas Biocides Product Type, Application and Specification 9.8.2.1 Oil 9.8.2.2 Gas 9.8.3 Lanxess Oil & Gas Biocides Sales, Revenue, Price and Gross Margin (2012-2017) 9.8.4 Main Business/Business Overview 9.9 Lonza 9.9.1 Company Basic Information, Manufacturing Base and Competitors 9.9.2 Oil & Gas Biocides Product Type, Application and Specification 9.9.2.1 Oil 9.9.2.2 Gas 9.9.3 Lonza Oil & Gas Biocides Sales, Revenue, Price and Gross Margin (2012-2017) 9.9.4 Main Business/Business Overview 9.10 Rhodia 9.10.1 Company Basic Information, Manufacturing Base and Competitors 9.10.2 Oil & Gas Biocides Product Type, Application and Specification 9.10.2.1 Oil 9.10.2.2 Gas 9.10.3 Rhodia Oil & Gas Biocides Sales, Revenue, Price and Gross Margin (2012-2017) 9.10.4 Main Business/Business Overview 9.11 Sigma-Aldrich 9.12 Dow Chemical 9.13 Lubrizol 9.14 Champion Technologies 9.15 Akcros Chemicals 9.16 BWA Water Additives 9.17 GE Water Technologies 9.18 Kemira 9.19 Albemarle For more information, please visit https://www.wiseguyreports.com/sample-request/928063-global-oil-gas-biocides-sales-market-report-2017


Transparency Market Research has published a new report titled "Preservative Blends Market for Beauty, Home and Personal care Application - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast, 2016-2024." According to the report, the global preservative blends market was valued at US$ 133.5 Mn in 2015 and is anticipated to reach US$ 215.9 Mn by 2024, expanding at a CAGR of 5.6% between 2016 and 2024. Synthetic preservatives that are blended together to preserve certain products like cosmetics, personal care products, home care products, food products and others by avoiding their decomposition or fermentation by microbial growth or by other undesirable chemical changes are known as preservative blends. It extends the shelf life of the product and keep their unique aroma, color and consistency. Products such as cosmetics, home care, personal care and food products are easily exposed to moist and warm environment, which is the perfect conditions for bacteria and mold to flourish. Preservatives ensures that all products are protected. In terms of products, parabens are the commonly used preservative blends, as these are the basic preservatives used for personal care and beauty applications. The demand for alcohols, halogenated and organic acids are expected to grow rapidly in the coming years. These preservatives are expected to replace parabens and formaldehyde in the coming years. Download Industry Research Report Brochure for more Professional and Technical Insights: http://www.transparencymarketresearch.com/sample/sample.php?flag=B&rep_id=20009 In terms of applications, preservative blends are commonly consumed for personal care applications. Personal care application held the major share of the preservative blends market as awareness of people regarding personal health is growing along with rising disposable income. Demand for beauty segment is expected to increase during the forecast period due to awareness for better health & hygiene and innovations taking place in the market. Home segment held lower share but is expected to rise steadily. Asia Pacific dominated the preservative blends market in 2015. This trend is expected to continue during the forecast period due to the increasing demand for preservative blends in industries such as pharmaceuticals, healthcare, home, beauty, personal care, food & beverages and others. Rise in population is another factor that is expected to propel the preservative blends market in Asia Pacific. The preservative blends market is also expanding rapidly in regions such as Middle East & Africa and Latin America. Major players in the preservative blends market includes The Dow Chemical Company, Clariant Chemicals, Lanxess, Galaxy Surfactants Ltd., BASF SE, Salicylates & Chemicals Ltd., Thor Personal Care, Sharon Laboratories and others. The preservative blends market has been divided into the following segments. Transparency Market Research (TMR) is a global market intelligence company providing business information reports and services. The company's exclusive blend of quantitative forecasting and trend analysis provides forward-looking insight for thousands of decision makers. TMR's experienced team of analysts, researchers, and consultants use proprietary data sources and various tools and techniques to gather and analyze information. TMR's data repository is continuously updated and revised by a team of research experts so that it always reflects the latest trends and information. With extensive research and analysis capabilities, Transparency Market Research employs rigorous primary and secondary research techniques to develop distinctive data sets and research material for business reports.

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