Hexion Reports Q2 Results

Hexion Specialty Chemicals reported revenues of $947 million in the second quarter of 2009 compared to $1.67 billion during the prior year period as the sales decline reflected lower volumes, negative foreign currency translation and the contractual pass through of lower raw material prices, which more than offset pricing actions. The company announced an operating loss of $24 million, which included $66 million in impairment costs associated with the idling of certain production facilities and restructuring costs associated with Hexion's productivity initiatives. This compares to an operating loss of $107 million for the prior year period. "Looking ahead, we believe the global economy will moderately strengthen during the third quarter of 2009, but we anticipate it will remain significantly below prior year trends," said Craig O. Morrison, Chairman, President and CEO. "Our longer-term visibility remains limited at this time."