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HOECHST CELANESE REPORTS RESULTS

 SOMERVILLE, N.J., May 19 /PRNewswire/ -- Hoechst Celanese Corporation today reported first-quarter earnings of $13 million compared to 1992 first-quarter earnings of $23 million before the adoption of noncash accounting changes in both years.
 After adopting Financial Accounting Standard 109, "Accounting for Income Taxes" (FAS 109), the company had an $8 million net loss for the first quarter of 1993. FAS 109 resulted in a net, cumulative, noncash charge of $21 million. The standard requires that companies use the asset and liability method of accounting for income taxes.
 First-quarter 1992 earnings were restated to reflect the implementation and the cumulative effect of Financial Accounting Standard 106, "Accounting for Postretirement Benefits Other Than Pensions" (FAS 106). Adopting FAS 106 resulted in a noncash, cumulative after-tax charge of $141 million and a $118 million net loss in the first quarter of 1992.
 Dr. Ernest H. Drew, Hoechst Celanese president and chief executive officer, said, "Our specialty chemicals and many of our fibers businesses had strong performances this quarter. Our commodity chemicals business, however, is still adversely affected by the downturn in the world economy, and our pharmaceuticals business experienced lower demand following record sales this past December."
 In the Fibers and Film segment, sales for Technical Fibers' filter products were slightly higher due to volume improvements in sales to Europe and the Far East. Sales volumes for Trevira polyester spunbond increased in the roofing and geotextile markets while domestic volumes for tire yarn remained strong.
 In Textile Fibers, higher prices due to market tightness for polyester and acetate filament offset slightly lower volumes for polyester staple. Acetate filament volumes were strong for fashions while polyester filament operated near capacity.
 Sales for Polyester Resins and Films decreased slightly from last year due to lower export volumes for fiber intermediates. Sales volumes grew for packaging resins due to continued strong demand.
 Chemicals' sales remained flat as volume increases offset price decreases. Volume increased due to strong sales in acrylates, solvents and ethylene oxide/glycol.
 Specialty Chemicals' sales remained strong especially for pigments, electronic products, waxes, superabsorbents, surfactants and specialty and paper chemicals.
 In Advanced Materials, domestic volumes improved for both high- performance polymers and engineering thermoplastics primarily due to increased sales across most end-use markets.
 In Life Sciences, sales were lower this quarter compared to those of the same quarter last year due to lower demand following record orders for products of Hoechst-Roussel Pharmaceuticals in December 1992. Partially offsetting the lower sales of Hoechst-Roussel were stronger sales in the animal-health and crop-protection businesses.
 Hoechst Celanese is a wholly owned subsidiary of Hoechst AG of Germany with leading positions in chemicals, fibers, advanced materials and technologies and the life sciences.
 HOECHST CELANESE CORPORATION
 Net Sales by Segment
 (In millions of $)
 Three Months Ended 1993 Pct. 1993
 March 31 Ov/(Un) Ov/(Un)
 1993 1992 1992 1992
 Fibers & film $686 $689 $(3) 0
 Chemicals 422 420 2 0
 Specialties &
 advanced materials(A) 343 345 (2) (1)
 Life Sciences 65 97 (32) (33)
 Corporate/intersegment
 Eliminations (60) (46) (14) (30)
 Net sales $1,456 $1,505 $(49) (3) pct.
 Earnings before
 cumulative effect of
 change in accounting
 principle 13(B) 23(C) (10) (43)
 Cumulative effect of
 accounting change,
 net of tax (21)(B) (141)(C) 120 --
 Net Income (Loss) (8) (118) 110 --
 (A) The decline in sales in this segment primarily reflects the sale of the high-density polyethylene business in the third quarter of 1992.
 (B) The company adopted in this quarter Financial Accounting Standard 109, "Accounting for Income Taxes" (FAS 109), which requires that companies use the asset and liability method of accounting for income taxes.
 (C) 1992 first-quarter earnings were restated to reflect the cumulative effect of Financial Accounting Standard 106, "Accounting for Postretirement Benefits Other Than Pensions" (FAS 106).
 -0- 5/19/93
 /CONTACT: Andrea Stine of Hoechst Celanese Corporation, 908-231-3752/


CO: Hoechst Celanese Corporation ST: New Jersey IN: CHM SU: ERN

WB -- NY079 -- 0392 05/19/93 15:13 EDT
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Publication:PR Newswire
Date:May 19, 1993
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