Moodys downgrades DuPont ratings

MOSCOW (MRC) -- Moody's Investors Service downgraded the long term issuer and senior unsecured ratings of E.I. du Pont de Nemours and Company's (DuPont) to A3 from A2, as per Moody's statement.

The commercial paper rating was also downgraded to Prime-2 from Prime-1. The outlook is stable. The downgrade reflects the extended period of strained metrics for the previous rating categories, and recognizes that shareholder pressures and operational headwinds are likely to impede a near-to-medium term resurgence in metrics to levels that are commensurate with the higher rating. This downgrade concludes the review which commenced on January 24, 2015.

"The downgrade reflects a sustained period where DuPont's metrics have not been supportive of A2 ratings, while its portfolio is being downsized through divestitures where most or all of the proceeds have gone (or will go) to shareholders," said Joseph Princiotta, VP - Senior Analyst and lead analyst for DuPont. "The recent proxy contest with Trian might be over, but we expect shareholder pressures on management to be the new normal."

DuPont's A3 ratings reflect its standing as a leading science and technology company with a business profile that is supported by product and geographic diversity, leading market shares and the specialty nature of many of its products. The ratings are also supported by a strong competitive position in agricultural products, DuPont's largest segment, which includes a robust development pipeline in new insect control and triple stack seed traits that strengthen its position in this growing but highly competitive and dynamic marketplace.

DuPont is one of the largest chemical producers and benefits from economies of scale. The company has diverse global operations serving a broad customer base in many end markets. Some of DuPont's well-known brands include Pioneer, Tyvek, Corian, Kevlar, Ti Pure, Teflon and Opteon (the latter three soon to be separated with Chemours).Headquartered in Wilmington, Delaware, E.I. du Pont de Nemours and Company (DuPont) is one of the largest US and global chemical companies with a diverse portfolio of specialty materials, chemicals, polymers and agricultural products. The company reported USD33.7 billion of revenues for the twelve months ending March 31, 2015.
MRC

MOSCOW (MRC) -- In addition to its current extensive portfolio of inorganic pigment products, specialty chemicals company Lanxess has introduced a line of new red shades, reported the company on its site.

Marketed globally under the trusted Bayferrox brand name, the new products represent a further expansion of the Lanxess Inorganic Pigments (IPG) business unit’s product portfolio, and will be manufactured using a new sustainably optimized Penniman process.

The company currently produces these new grades in a pilot plant in Germany, but beginning in 2016, they will be manufactured in the company’s new production plant in Ningo, China. The new plant, which has been built to the latest environmental standards, is being designed for an initial synthesis capacity of more than 20,000 metric tons.

"Our new facility in China is a response to the market’s demand for environmentally-friendly, sustainably-produced iron oxide pigments and it underlines our commitment to remaining a reliable partner to our customers," says Peter Baldus, Head of Inorganic Pigments Group (IPG) Americas.

As MRC wrote previously, in May 2015, Lanxess provides its innovative bio-based Keltan Eco EPDM rubber to Freudenberg Sealing Technologies. This well-known global manufacturer of seals and vibration control technology products recently started to produce rubber seals made of Keltan Eco EPDM at its North American affiliate.

Keltan Eco EPDM (ethylene-propylene-diene monomer) rubber contains up to 70 percent of ethylene obtained from sugarcane, and has an impressive set of properties that is in no way inferior to that of "conventional" EPDM. The bio-renewable rubber compound, for which development at Freudenberg Sealing Technologies already began in 2012, addresses the constantly increasing standards on CO2 footprint reduction, especially in the automotive industry, and the overall global pull for more sustainable industrial solutions.

Lanxess is a leading specialty chemicals company with sales of EUR 8.0 billion in 2014 and about 16,300 employees in 29 countries. The company is currently represented at 52 production sites worldwide. The core business of Lanxess is the development, manufacturing and marketing of plastics, rubber, intermediates and specialty chemicals.
MRC

MOSCOW (MRC) -- The Wacker-Group, the current owner of Siltronic AG, and Siltronic in cooperation with the Joint Global Coordinators and Joint Bookrunners, have set the price range for the planned IPO of Siltronic from EUR 30 to EUR 38 per share, as per Wacker's press release.

The offer will comprise a maximum of 12,650,000 shares. Thereof, up to 5,000,000 shares will be new shares issued in a capital increase by Siltronic, 6,000,000 shares will be existing shares from the holdings of Wacker, and up to 1,650,000 shares will be existing shares relating to a possible over-allotment, also from the holdings of Wacker.

The securities of Wacker Chemie AG and Siltronic AG have not been and will not be registered under the Securities Act of 1933, as amended and may not be offered or sold within the United States, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act.

As MRC wrote previously, Wacker Polymers, a division of Wacker Chemie AG, is to raise its prices for VINNAPAS vinyl acetate homopolymer dispersions as well as VINNAPAS vinyl acetate-ethylene (EVA) and VINNOL ethylene-vinyl chloride-based (EVCL) copolymer dispersions in Europe, the Middle East and Africa (EMEA). Effective June 15, 2015, Wacker will implement a price increase of up to eUR50 per ton, or as customer contracts allow. This measure has become necessary in the view of the recent increase in raw-materials cost. Dispersions of the VINNAPAS and VINNOL brand are applied in a broad variety of industries, ranging from adhesives, construction, nonwovens, paints and coatings to paper, carpet and textiles.

Wacker Chemie AG is a worldwide operating company in the chemical business, founded 1914. The company is controlled by the Wacker-family holding more than 50 percent of the shares. The corporation is operating more than 25 production sites in Europe, Asia, and the Americas. The product range includes silicone rubbers, polymer products like ethylene vinyl acetate redispersible polymer powder, chemical materials, polysilicon and wafers for semiconductor industry.
MRC

MOSCOW (MRC) -- Clariant, a world leader in specialty chemicals, was distinguished with third place at the GreenTec Awards 2015 in the automobility category for its innovative sunliquid process used in the manufacture of cellulosic ethanol from agricultural residues, as per the company's press release.

Clariant convinced the jury comprised of business, science, associations and media that second generation biofuels based on agricultural residues, such as wheat straw, can not only be manufactured economically and sustainably, but already pass the field test of forward-looking mobility.

New, domestic energy sources are being developed with the manufacture of cellulosic ethanol from agricultural residues. These renewable raw materials accrue regionally, do not compete with food and animal feed, and do not use additional agricultural land.

In Germany, cellulosic ethanol was first subjected as E20 (20 % cellulose ethanol in gasoline) to a fleet test in series cars in 2014 in a cooperation between Clariant, Mercedes-Benz and Haltermann where it impressed in every aspect: compared to the present standard gasoline, no additional consumption was recorded; at the same time it showed ideal combustion characteristics and delivered outstanding engine performance. Particle emissions were reduced by 50 %. In addition, the cellulosic ethanol proportion demonstrated up to 95 % savings in greenhouse gases over the total value chain (well-to-wheel assessment).

As MRC reported previously, last year CB&I and Clariant, announced that their new Ziegler-Natta (ZN) polypropylene catalyst plant in Louisville, Kentucky, was on schedule to begin production in 2015. The plant is part of a long-term strategic partnership between Clariant’s catalysts business and CB&I’s Lummus Novolen Technology business. Based at Clariant’s largest US production hub, the new facility will combine innovative catalysts jointly developed by both companies with high-capacity output.

Clariant AG is a Swiss chemical company and a world leader in the production of specialty chemicals for the textile, printing, mining and metallurgical industries. It is engaged in processing crude oil products in pigments, plastics and paints.
MRC

MOSCOW (MRC) -- Celanese Corporation, a global technology and specialty materials company, will increase list and off-list selling prices for acetic acid and acetic anhydride in view of the recent rapid increase and continued volatility in China methanol prices, said the producer on its site.

The price increases below will be effective immediately, or as contracts allow:

- acetic acid - RMB 100 per tonne;
- acetic anhydride - RMB 100 per tonne.

As MRC informed previously, Celanese Corporation raised list and off-list selling prices for vinyl acetate monomer (VAM), effective June 1, 2015, or as contracts allow. Thus, the company's VAM prices were increased by EUR 75/tonne for Europe and Middle East and by USD30/tonne for Asia (outside China).

Besides, in mid-May 2015, Celanese also increased list and off-list selling prices for acetic acid in view of the recent rapid increase and continued volatility in China methanol prices. The following price increase was effective immediately, or as contracts allow: RMB150/tonne for China.

Celanese Corporation is a global technology leader in the production of differentiated chemistry solutions and specialty materials used in most major industries and consumer applications. Based in Dallas, Texas, Celanese employs approximately 7,500 employees worldwide and had 2014 net sales of USD6.8 billion.
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