Wednesday July 15, 12:19 pm Eastern Time ("...sees downturn through 1998" --Marty)
Borden Chemicals sees downturn through 1998
COLUMBUS, Ohio, July 15 (Reuters) - Borden Chemicals and Plastics Limited Partnership said Wednesday its second quarter results were hurt by a basic oversupply of product, combined with continued weakness in Asian export markets.
''Our industry appears as if it will continue to be in a situation of overcapacity for the remainder of the year, which in all likelihood will keep pressure on pricing and margins,'' the company said in a
statement.
The company reported a second quarter loss of $7.8 million, or 21 cents per unit, as its three lines of business continued to be hampered by poor margins as part of an ongoing industry downturn.
The partnership did not declare a cash distribution for the second quarter period, compared to a distribution of $0.45 per unit for the second quarter last year.
As the partnership had announced at the end of the first quarter, cash distributions are doubtful for the remainder of 1998.
The second quarter loss compares to the year-ago period's net income of $21.2 million, or 57 cents per unit and this year's first quarter loss of $8.3 million, or $0.22 cents per unit.
Borden Chemicals is a maker and marketer of polyvinyl chloride resins, methanol and derivatives, and nitrogen products.
(http://biz.yahoo.com/finance/980715/borden_che_1.html) |
