Company News

April 20, 2020

Hexion Update

Hexion switches production at two sites in Germany and Australia to hand sanitizer

April 20/2020
MOSCOW (MRC) — Hexion (Columbus, Ohio) has repurposed its manufacturing site at Letmathe, Germany, to produce hand sanitizer, with a second facility at Bunbury, Western Australia, set to start sanitizer production in the next few weeks, reported Chemweek.

The company is “leveraging its global manufacturing footprint and collective resources of its associates to help combat the challenges associated with the coronavirus disease 2019 (COVID-19),” it says. Hexion’s site at Letmathe has repurposed mixing machines typically used to produce other products, with hand sanitizer now being produced. The company’s joint venture site at Bunbury “is taking the final steps to begin producing in the coming weeks,” it adds.

The two sites are expected to initially produce approximately 25 metric tons of sanitizer, with the company saying four of its other sites in Texas, Australia, New Zealand, and Italy have already produced smaller “laboratory-scale” batches for use by Hexion associates. It has also contributed its chemical products or donated personal protective equipment (PPE) wherever possible for COVID-19 relief, it says.

“While we are saddened by the devastating impact of the coronavirus globally, we are resilient as a company and committed to helping support relief efforts whenever we can,” said George Knight, Hexion acting CEO and executive vice president and CFO. Hexion said in a regulatory filing 30 March that chairman and CEO Craig Rogerson had taken a temporary medical leave of absence due to a condition consistent with COVID-19. Knight has assumed Rogerson’s responsibilities until he returns from his leave.

As MRC informed earlier, in mid-January 2020, Hexion announced force majeure for the supply of bisphenol A (BPA) from the plant in Deer Park (Deer Park, Texas, USA). It was expected that this enterprise with a capacity of 140 thousand tons of BPA per year will resume its work in mid-February.

Such companies, as Hexion, Huntsman and Olin are large manufacturers of BPA and epoxy in the United States.

Bisphenol A is used as a hardener in the production of plastics, as well as plastic-based products. It is one of the key monomers in the production of epoxy resins and polycarbonate (PC).

According to MRC’s ScanPlast report, overall estimated consumption of PC granules totalled 12,600 tonnes in the Russian market in January-February 2020 (excluding imports and exports to/from Belarus), compared to 9,600 tonnes a year earlier. Demand increased by 31%.

Based in Columbus, Ohio, Hexion Inc. is a global leader in thermoset resins. Hexion Inc. serves the global adhesive, coatings, composites and industrial markets through a broad range of thermoset technologies, specialty products and technical support for customers in a diverse range of applications and industries.

http://www.mrcplast.com/news-news_open-369409.html

April 20, 2020

Hexion Update

Hexion switches production at two sites in Germany and Australia to hand sanitizer

April 20/2020
MOSCOW (MRC) — Hexion (Columbus, Ohio) has repurposed its manufacturing site at Letmathe, Germany, to produce hand sanitizer, with a second facility at Bunbury, Western Australia, set to start sanitizer production in the next few weeks, reported Chemweek.

The company is “leveraging its global manufacturing footprint and collective resources of its associates to help combat the challenges associated with the coronavirus disease 2019 (COVID-19),” it says. Hexion’s site at Letmathe has repurposed mixing machines typically used to produce other products, with hand sanitizer now being produced. The company’s joint venture site at Bunbury “is taking the final steps to begin producing in the coming weeks,” it adds.

The two sites are expected to initially produce approximately 25 metric tons of sanitizer, with the company saying four of its other sites in Texas, Australia, New Zealand, and Italy have already produced smaller “laboratory-scale” batches for use by Hexion associates. It has also contributed its chemical products or donated personal protective equipment (PPE) wherever possible for COVID-19 relief, it says.

“While we are saddened by the devastating impact of the coronavirus globally, we are resilient as a company and committed to helping support relief efforts whenever we can,” said George Knight, Hexion acting CEO and executive vice president and CFO. Hexion said in a regulatory filing 30 March that chairman and CEO Craig Rogerson had taken a temporary medical leave of absence due to a condition consistent with COVID-19. Knight has assumed Rogerson’s responsibilities until he returns from his leave.

As MRC informed earlier, in mid-January 2020, Hexion announced force majeure for the supply of bisphenol A (BPA) from the plant in Deer Park (Deer Park, Texas, USA). It was expected that this enterprise with a capacity of 140 thousand tons of BPA per year will resume its work in mid-February.

Such companies, as Hexion, Huntsman and Olin are large manufacturers of BPA and epoxy in the United States.

Bisphenol A is used as a hardener in the production of plastics, as well as plastic-based products. It is one of the key monomers in the production of epoxy resins and polycarbonate (PC).

According to MRC’s ScanPlast report, overall estimated consumption of PC granules totalled 12,600 tonnes in the Russian market in January-February 2020 (excluding imports and exports to/from Belarus), compared to 9,600 tonnes a year earlier. Demand increased by 31%.

Based in Columbus, Ohio, Hexion Inc. is a global leader in thermoset resins. Hexion Inc. serves the global adhesive, coatings, composites and industrial markets through a broad range of thermoset technologies, specialty products and technical support for customers in a diverse range of applications and industries.

http://www.mrcplast.com/news-news_open-369409.html

April 17, 2020

Urethane Products Available from Everchem

 

 

 

Urethane Product Offerings April 2020

 

Polyether Polyols

Diols

Triols

Rigids

EO Capped Triols

Methyl Glucoside Initiated

EO-PO Surfactants

Quadrols

PEGs

Polyether Amines

D2000

D230

PTMEG Polyols

P 650

P 1000

P 2000

P 3000

Polyester Polyols

Adipates

Aromatic Polyester Polyols

PolyBD

Toluene Diisocyanate (TDI)

TDI 65

TDI 80 Type I

TDI 80 Type II

TDI 100

MDI & Derivatives

PMDI

Pure MDI

MDI 50

CD Modified MDI

Aliphatic Isocyanates

IPDI

HDI Trimer

Oils

Castor Grade 1

Castor Low Moisture

Micronized Castor Wax

Aromatic Extender Oil

Cost Enhancer for Flex Slab

Soybean Oil and ESO

Miscellaneous

DP-1022

NP-9

TCPP

Propylene Carbonate

NMP

DBE

MOCA

Ethacure

Lonzacure 80

Unilink 4200

Catalysts

TEDA 33

Other Amine Catalysts

DBTDL

BiCAT Bismuth Catalysts

BiCAT Zinc Catalysts

Developmental Products

Biocides

Silicone Surfactants

Plasticizers

DINP

BBP

TXIB

DPHP

DINCH

DIDP

Many Others

Downstream Products

Cilbond Bonding Agents

Prepolymers

Rubber and Foam Binders

B-Side Systems

Distressed Special Offers      

Out of Spec

Out of Date

Accidental Blends

Surplus Inventory

Contact us for your needs!

April 17, 2020

Urethane Products Available from Everchem

 

 

 

Urethane Product Offerings April 2020

 

Polyether Polyols

Diols

Triols

Rigids

EO Capped Triols

Methyl Glucoside Initiated

EO-PO Surfactants

Quadrols

PEGs

Polyether Amines

D2000

D230

PTMEG Polyols

P 650

P 1000

P 2000

P 3000

Polyester Polyols

Adipates

Aromatic Polyester Polyols

PolyBD

Toluene Diisocyanate (TDI)

TDI 65

TDI 80 Type I

TDI 80 Type II

TDI 100

MDI & Derivatives

PMDI

Pure MDI

MDI 50

CD Modified MDI

Aliphatic Isocyanates

IPDI

HDI Trimer

Oils

Castor Grade 1

Castor Low Moisture

Micronized Castor Wax

Aromatic Extender Oil

Cost Enhancer for Flex Slab

Soybean Oil and ESO

Miscellaneous

DP-1022

NP-9

TCPP

Propylene Carbonate

NMP

DBE

MOCA

Ethacure

Lonzacure 80

Unilink 4200

Catalysts

TEDA 33

Other Amine Catalysts

DBTDL

BiCAT Bismuth Catalysts

BiCAT Zinc Catalysts

Developmental Products

Biocides

Silicone Surfactants

Plasticizers

DINP

BBP

TXIB

DPHP

DINCH

DIDP

Many Others

Downstream Products

Cilbond Bonding Agents

Prepolymers

Rubber and Foam Binders

B-Side Systems

Distressed Special Offers      

Out of Spec

Out of Date

Accidental Blends

Surplus Inventory

Contact us for your needs!

April 15, 2020

Covestro Reduces Guidance

Covestro slashes 2020 earnings guidance by 20-30%, ‘assumes’ recovery in Q3

Author: Jonathan Lopez

2020/04/15

LONDON (ICIS)–Covestro has slashed its earnings guidance for 2020 by 20-30% despite having achieved its target in the first quarter, the German chemicals major said on Wednesday.

The “increasingly adverse” business conditions are set to remain for the second quarter and the company as of Wednesday “assumes” the recovery will only start in the third quarter.

“As the pandemic is still evolving, further updates to the financial expectations may be necessary,” said Covestro.

€300M DOWN
Before Europe became the epicentre of the coronavirus pandemic, Covestro expected earnings before interest, taxes, depreciation and amortisation (EBITDA) in 2020 to stand at €1.00bn-1.50bn, which would have already represented a fall from 2019’s €1.6bn.

The company now expects EBITDA for 2020 to stand at between €700m-1.20bn, a reduction of 30% in the low end and 20% in the high end.

Despite a fall in sales volumes of 4.1% during the first quarter, year on year, EBITDA in the first quarter stood at €254m, in the upper range of its guided range of €200-280m, according to a preliminary figure published on Wednesday.

The figure however would represent a sharp drop from EBITDA in the first quarter of 2019 at €422m.

Covestro will publish full first-quarter results on 29 April.

Worsening economic conditions in Europe and the current pandemic’s epicentre the US, where the company has important operations, has prompted the firm to slash its full-year guidance as key end markets like automotive are at a standstill.

Its home market of Germany, the largest economy in Europe, is also expected to take a hit as its export-oriented manufacturing sectors take a hit from falling global demand.

Covestro is a major producer of polyurethanes (PU) isocyanates and polyols, as well as polycarbonate (PC), coatings, and adhesives; end markets include foams, fibres, coatings, or elastomers, among others.

It also produces methylene diphenyl diisocyanate (MDI) and toluene di-isocyanate (TDI).

Following the fall in the first quarter, sales volumes will be negative for the full year; in February the company expected them to grow in the “low-single-digit-percentage range”.

Capital expenditure (capex) expectations for the year of €900m have also been trimmed to €700m.

Free operating cash flow (FOCF) could be negative for the full year, with the range at between minus €200m and €300m; prior guidance expected it at a range of nil to €400m.

“The board of management increases the target for short-term cost savings to more than €300m in FY [full year] 2020 (previously: €200m) in addition to the ongoing ‘Perspective’ restructuring program that is expected to contribute savings of €100m FY 2020,” it said.

“Covestro continues to maintain a strong balance sheet and has significant sources of liquidity. Presently, these include around €1.2bn in cash or cash equivalents as well as an undrawn revolving credit facility (RCF) of €2.5bn.”

The company did not provide guidance for expected sales in 2020; in 2019, revenue stood at €12.4bn.

Visit the ICIS coronavirus topic page for analysis of the impact on chemical markets and links to latest news.

https://www.icis.com/explore/resources/news/2020/04/15/10496489/covestro-slashes-2020-earnings-guidance-by-20-30-assumes-recovery-in-q3