WILMINGTON, Del., Dec. 17, 2015 /PRNewswire/ -- The Chemours
Company ("Chemours") (NYSE: CC), a global chemistry company with
leading market positions in titanium technologies, fluoroproducts
and chemical solutions announced that market conditions, including
the impact of a stronger USD, in titanium dioxide (TiO2)
and fluoropolymers are weaker than expected in the fourth quarter
2015.
TiO2 pricing during the fourth quarter is
deteriorating from the third quarter more than expected, and
Chemours now anticipates a greater than 3 percent sequential
decline in global average pricing. Although additional cost
reductions will be delivered in the quarter, the global average
price decline is more severe than previously anticipated and is
expected to result in a sequential reduction of segment
profitability in Titanium Technologies.
Additionally, the company previously disclosed soft demand
conditions for certain fluoropolymers in the third quarter of 2015
that continued in the fourth quarter. This along with seasonally
lower drivers are anticipated to reduce Fluoroproducts' segment
profitability in the fourth quarter below that of the third quarter
2015.
As a result of these factors, the company now expects fourth
quarter 2015 Adjusted EBITDA to be lower than the third quarter
2015.
Mark Vergnano, Chemours president
and CEO commented, "We remain focused on initiatives to strengthen
our business in light of continued headwinds. We are making
significant progress through our transformation plan and are on
track to deliver approximately $100
million of cost reductions in the second half of 2015 with
an incremental $350 million
anticipated through 2017. Our cost reductions along with an
expected $150 million of Adjusted
EBITDA from growth initiatives will improve Adjusted EBITDA and
free cash flow. These improvements along with our announced and
planned portfolio optimization efforts, including the expected
close of the aniline transaction in the early part of the first
quarter 2016, will further strengthen our balance sheet."
About The Chemours Company
The Chemours Company (NYSE:
CC) helps create a colorful, capable and cleaner world through the
power of chemistry. Chemours is a global leader in titanium
technologies, fluoroproducts and chemical solutions, providing its
customers with solutions in a wide range of industries with
market-defining products, application expertise and chemistry-based
innovations. Chemours ingredients are found in plastics and
coatings, refrigeration and air conditioning, mining and oil
refining operations and general industrial manufacturing. Our
flagship products include prominent brands such as Teflon™,
Ti-Pure™, Krytox™, Viton™, Opteon™ and Nafion™. Chemours has
approximately 8,400 employees across 36 manufacturing sites serving
more than 5,000 customers in North
America, Latin America,
Asia-Pacific and Europe. Chemours is headquartered in
Wilmington, Delaware and is listed
on the NYSE under the symbol CC. For more, information please visit
chemours.com or follow Chemours on Twitter at @chemours.
Forward-Looking Statements
This press release contains
forward-looking statements, which often may be identified by their
use of words like "plans," "expects," "will," "believes,"
"intends," "estimates," "anticipates" or other words of similar
meaning. These forward-looking statements address, among other
things, our anticipated future operating and financial performance,
business plans and prospects, transformation plans, resolution of
environmental liabilities, litigation and other contingencies,
plans to increase profitability, our ability to pay or the amount
of any dividend, and target leverage that are subject to
substantial risks and uncertainties that could cause actual results
to differ materially from those expressed or implied by such
statements. Forward-looking statements are not guarantees of future
performance and are based on certain assumptions and expectations
of future events which may not be realized. The matters discussed
in these forward-looking statements also are subject to risks,
uncertainties and other factors that could cause actual results to
differ materially from those projected, anticipated or implied in
the forward-looking statements as further described in the "Risk
Factors" section of the information statement contained in the
registration statement on Form 10 and other filings made by
Chemours with the Securities and Exchange Commission. Chemours
undertakes no duty to update any forward-looking statements.
CONTACT:
MEDIA:
Robert
Dekker
Global Corporate Communications
Leader
+1.302.773.4509
robert.dekker@chemours.com
INVESTORS:
Alisha
Bellezza
Director of Investor
Relations
+1.302.773.2263
investor@chemours.com
Logo - http://photos.prnewswire.com/prnh/20150715/237460LOGO
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/the-chemours-company-provides-update-on-market-conditions-300194298.html
SOURCE Chemours