BASEL, Switzerland,
Sept. 27, 2011 /PRNewswire/ --
Huntsman Corporation (NYSE:HUN) announced today that its Textile
Effects (TE) division plans to implement a significant
restructuring, including the possible closure of its production
facilities and business support offices in Basel, Switzerland, as part of an on-going
strategic program aimed at improving its long-term global
competitiveness.
The planned restructuring and the possible closures could affect
approximately 600 positions in Basel, with potentially 500 job losses and 100
positions moving to other sites across the organization, to build
capability closer to customers. In addition, there will be a
further 100 new hires added in key markets and the division's
Basel-based Research &
Technology department will not be affected by the planned
restructuring, as the Business remains totally committed to
strengthening its innovation capability.
Consultations with labor representatives have commenced and the
planned restructuring (including possible closures) are targeted
for completion by the end of 2013.
Commenting on the planned restructuring, Peter R Huntsman,
President and CEO of Huntsman Corporation, said: "We need to take
bold action to fundamentally improve the poor financial performance
of our Textile Effects division. We've made extensive and costly
efforts to boost this division's competitiveness since acquiring
the Business in 2006, but as customers and competitors alike have
increasingly moved their centers of business to Asia, we must re-align ourselves according to
these industry trends. The recent strengthening of the Swiss franc
has greatly impacted our cost structure in Switzerland, which just serves to reinforce
the need for re-alignment."
Paul Hulme, President of the
Textile Effects division, added: "The planned restructuring builds
on the difficult, but successful changes undertaken in the last few
years and is designed to ensure that the TE Business is strongly
positioned to compete successfully against the ever increasing
Asian competitor base and deliver long-term profitable growth for
our shareholders and associates. Also, importantly from a customer
perspective, in case of a possible closure, the transition of
production to other Huntsman sites will be carefully phased,
ensuring continued product availability and deliveries. We will, of
course, manage this process openly and fairly, treating our
employees with the dignity and respect they deserve."
Huntsman's Advanced Materials division will continue activities
at its sites in Basel and Monthey,
Switzerland.
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 has approximately
12,000 employees and operates from multiple locations worldwide.
The Company had 2010 revenues of over $9
billion. For more information, please visit the company's
website at www.huntsman.com.
About Textile Effects:
Huntsman Textile Effects is the leading global provider of high
quality dyes and chemicals to the textile and related industries.
Research, innovation and sustainability are at the heart of what we
do and we use cutting edge technology to develop innovative
solutions to create innovative products and technologies with
intelligent effects, such as built in freshness, sun protection or
state-of-the-art dyes to reduce water and energy consumption,
meeting the needs of our customers and supporting a more
sustainable environment. With presence in 110 countries and 14
primary manufacturing facilities worldwide in twelve countries
(China, Columbia, Germany, Guatemala, India, Indonesia, Mexico, Pakistan, Thailand, Turkey, Switzerland, USA), Huntsman TE is uniquely positioned to
provide fast and expert technical service wherever our customers
are based.
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 transaction 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.
SOURCE Huntsman Corporation