UPDATE 2-Clariant cuts 570 more jobs as demand plummets
* Shedding another 3 percent of workforce
* Sites closing in France, Germany, UK, Mexico
* Restructuring to cost $149 million
* Shares down 0.2 pct, in line with sector
(Adds proportion of workforce, comment and shares, detail)
By Catherine Bosley and Sam Cage
ZURICH, Nov 19 (Reuters) - Swiss chemicals maker Clariant AG (CLN.VX) is cutting another 570 jobs, some 3 percent of its workforce, and closing sites in France, Britain and Mexico to combat plummeting demand.
Specialty chemicals companies, which make products that end up in anything from skin creams and shampoos to tyres, dashboards and flat screens, have been hit hard by the downturn in key markets like automaking and building.
Basel-based Clariant is banking on improved efficiency -- it has already announced more than 2,000 job cuts so far this year -- to pull it out of recession but still sees full-year sales falling 16-20 percent. [ID:nL3555788]
Clariant expected the new wave of restructuring to be completed between 2011 and 2013, with costs of approximately 150 million Swiss francs ($149 million), the vast majority of which would be booked in 2009 and 2010.
Analysts have greeted recent results from specialty chemicals makers as a sign the hard-pressed industry may have passed the worst and Clariant said earlier this month its demand had already bottomed out.
"Although there is still a long way to go, the new management remains on track to turn around the company once and for all by the end of 2010," said Vontobel analyst Patrick Rafaisz.
Clariant shares fell 0.2 percent to 11.05 Swiss francs by 0856 GMT, in line with the DJ Stoxx European chemicals sector .SX4P.
It said it was negotiating with authorities and unions in the affected countries.
The sites nominated for closure were Huningue in France, Pontypridd in Britain, the CIVAC plant at Cuernavaca in Mexico and parts of two units at Gendorf and Frankfurt in Germany. ($1=1.009 SWISS FRANC) (Additional reporting by Martin de Sa'Pinto; Editing by David Cowell) (Zurich Newsroom, zurich.newsroom@reuters.com, +41 58 306 7336))
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