Huntsman Responds to S&P Action
March 17 2009 - 6:21PM
PR Newswire (US)
THE WOODLANDS, Texas, March 17 /PRNewswire-FirstCall/ -- Standard
& Poor's Rating Services (S&P) today announced a lowering
of its credit rating to 'B' on Huntsman Corporation's (NYSE:HUN)
corporate credit rating. In response to S&P's action, Huntsman
reaffirms that its operations are sound and that its liquidity is
ample to weather the current global economic recession. Huntsman
has met the challenging operating environment by putting in action
a plan to reduce annualized costs by $150 million and reduce 2009
capital expenditures by approximately $190 million compared to the
previous year. Huntsman has no significant near term debt
maturities until the second half of 2010 when its $650 million
revolver matures in August and when its $296 million of senior
secured notes mature in October. It intends on renewing its
accounts receivable securitization facility when it matures in
November 2009. Huntsman expects to have more than $1 billion of
liquidity at the end of the first quarter 2009 and be in full
compliance with its single maintenance financial covenant.
Liquidity may be enhanced further in 2009 through resolution of the
pending multi billion dollar suit against Credit Suisse and
Deutsche Bank, which is scheduled for court ordered mediation on
May 11, 2009 and trial, if necessary, to commence on June 8, 2009.
Further, Huntsman has claims outstanding in excess of $235 million
relating to its 2006 Port Arthur Texas fire claim for which binding
arbitration is scheduled later this year. Peter R. Huntsman, its
President and CEO, stated: "In spite of a prolonged disruption in
the global economy, Huntsman's long term prospects are bright. Our
business footprint is global and well diversified. We expect to
prosper as the world economies are restored and as governments
continue to make available trillions of dollars of stimulus monies.
Further, our board of directors has been deliberate in stating that
our present liquidity will be preserved and used prudently in
addressing forthcoming debt maturities." About Huntsman: Huntsman
is a global manufacturer and marketer of differentiated chemicals.
Its operating companies manufacture products for a variety of
global industries, including chemicals, plastics, automotive,
aviation, textiles, footwear, paints and coatings, construction,
technology, agriculture, health care, detergent, personal care,
furniture, appliances and packaging. Originally known for
pioneering innovations in packaging and, later, for rapid and
integrated growth in petrochemicals, Huntsman today has more than
12,000 employees and operates from multiple locations worldwide.
The Company had 2008 revenues exceeding $10 billion. For more
information about Huntsman, please visit the Company's website at
http://www.huntsman.com/. Forward-Looking Statements: Statements in
this release that are not historical are forward-looking
statements. These statements are based on management's current
beliefs and expectations. The forward-looking statements in this
release are subject to uncertainty and changes in circumstances and
involve risks and uncertainties that may affect the company's
operations, markets, products, services, prices and other factors
as discussed in the Huntsman companies' filings with the U.S.
Securities and Exchange Commission. Significant risks and
uncertainties may relate to, but are not limited to, financial,
economic, competitive, environmental, political, legal, regulatory
and technological factors. In addition, the completion of any
transactions described in this release is subject to a number of
uncertainties and closing will be subject to approvals and other
customary conditions. Accordingly, there can be no assurance that
such transactions will be completed or that the company's
expectations will be realized. The company assumes no obligation to
provide revisions to any forward-looking statements should
circumstances change, except as otherwise required by applicable
laws. DATASOURCE: Huntsman Corporation CONTACT: Media, Russ Stolle,
+1-281-719-6624, or Investors, Kurt Ogden, +1-801-584-5959, both of
Huntsman Corporation Web Site: http://www.huntsman.com/
Copyright
Huntsman (NYSE:HUN)
Historical Stock Chart
From May 2024 to Jun 2024
Huntsman (NYSE:HUN)
Historical Stock Chart
From Jun 2023 to Jun 2024