Chemtura Corporation (Pink Sheets: CEMJQ) (the “Company” or “Chemtura”), today announced that it has successfully completed its financial restructuring and emerged from protection under Chapter 11 of the United States Bankruptcy Code. The Company also announced that Chemtura Canada Co./Cie has concluded its Companies' Creditors Arrangement Act proceedings and has emerged from Chapter 11 at the same time as the Company’s U.S. operations. In connection with the Company’s emergence, Chemtura expects to be listed on the New York Stock Exchange on November 11, 2010 and trade under the ticker “CHMT”.
“Today marks a new beginning for our company, and our employees, customers and suppliers,” said Craig A. Rogerson, Chemtura’s Chairman, President and Chief Executive Officer. “With the successful completion of our financial restructuring, we have significantly reduced our debt, improved our cost structure and resolved a considerable amount of environmental and other liabilities.”
Rogerson continued, “Looking forward, we will remain focused on our longer term corporate objective of growing a global portfolio of leading specialty chemical businesses, committed to innovation and the creation of value for our stakeholders. We will build from our current globally diverse assets that are well-positioned for success in each segment we serve. We look forward to working with all of our stakeholders for the long-term. I thank our dedicated employees for helping us to achieve solid results throughout this process, and our customers and suppliers for their support.”
Under the Plan, the Company will satisfy creditors’ claims in cash and/or stock in the reorganized Company and also provide value to equity holders. Additional information with respect to distributions under the Plan is available free of charge in the investors section at www.chemtura.com and at www.kccllc.net/chemtura.
Holders of allowed claims should allow 21 days from the Effective Date to receive both the new common stock and the cash. If either is not received after 21 days, please contact Chemtura’s claims agent at (866) 967-0261.
On November 3, 2010, the United States Bankruptcy Court for the Southern District of New York entered an order confirming Chemtura’s Plan of Reorganization. The Court’s order confirming the Plan is available free of charge at www.kccllc.net/chemtura.
About the Company
Chemtura, with 2009 sales of $2.3 billion, is a global manufacturer and marketer of specialty chemicals, agrochemicals, and pool, spa and home care products. Additional information concerning Chemtura is available at www.chemtura.com.
This document includes forward-looking statements within the meaning of Section 27(a) of the Securities Act of 1933, as amended and Section 21(e) of the Exchange Act of 1934, as amended. These forward-looking statements are identified by terms and phrases such as "anticipate," "believe," "intend," "estimate," "expect," "continue," "should," "could," "may," "plan," "project," "predict," "will" and similar expressions and include references to assumptions and relate to our future prospects, developments and business strategies.
Factors that could cause our actual results to differ materially from those expressed or implied in such forward-looking statements include, but are not limited to:
- Our estimates of the cost to resolve disputed proofs of claim presented in the Chapter 11 cases until the Effective Date;
- The ability to consummate the provisions of the confirmed Plan;
- The ability to be compliant with our debt covenants or obtain necessary waivers and amendments;
- The ability to service our indebtedness;
- The ability to service our indebtedness levels;
- General economic conditions;
- Significant international operations and interests;
- The ability to obtain increases in selling prices to offset increases in raw material and energy costs;
- The ability to retain sales volumes in the event of increasing selling prices;
- The ability to absorb fixed cost overhead in the event of lower volumes;
- Pension and other post-retirement benefit plan assumptions;
- The ability to improve profitability in our Industrial Engineered Products segment as the general economy recovers from the recession;
- The ability to implement the El Dorado, Arkansas restructuring program;
- The ability to obtain growth from demand for petroleum additive, lubricant and agricultural product applications;
- The ability to restore profitability in our Chemtura AgroSolutions Engineered Products segment as demand conditions recover in the agrochemical market. Additionally, the Chemtura AgroSolutions Engineered Products segment is dependent on disease and pest conditions, as well as local, regional, regulatory and economic conditions;
- The ability to sell methyl bromide due to regulatory restrictions;
- Changes in weather conditions which could adversely affect the seasonal selling cycles in both our Consumer Performance Products and Chemtura AgroSolutions Engineered Products segments;
- Changes in the availability and/or quality of our energy and raw materials;
- The ability to collect our outstanding receivables;
- Changes in interest rates and foreign currency exchange rates;
- Changes in technology, market demand and customer requirements;
- The enactment of more stringent U.S. and international environmental laws and regulations;
- The ability to realize expected cost savings under our restructuring plans, Six Sigma and Lean manufacturing initiatives;
- The ability to recover our deferred tax assets;
- The ability to support the goodwill and long-lived assets related to our businesses; and
- Other risks and uncertainties detailed in Item 1A. Risk Factors in our filings with the Securities and Exchange Commission.
These statements are based on the Company's estimates and assumptions and on currently available information. The forward-looking statements include information concerning the Company's possible or assumed future results of operations, and the Company's actual results may differ significantly from the results discussed. Forward-looking information is intended to reflect opinions as of the date this press release was issued. The Company undertakes no duty to update any forward-looking statements to conform the statements to actual results or changes in the Company's operations.