NEW YORK - Rohm and Haas Co. will cut about 925 jobs and reduce capacity in a bid to counter the rapid erosion of U.S. business conditions, the specialty chemicals and electronic materials maker said on Tuesday.
The Philadelphia-based company said it would take a charge of 35 cents a share in the second quarter related to the steps. It also expects second-half operating earnings to be reduced by 11 cents a share due to accelerated depreciation and other costs related to the actions.
On its website, the company says its work force totals 16,500. On that basis, the 925 jobs represent about 5 percent of the total.
Pierre Brondeau, president and chief operating officer, in an interview with Reuters last month had said the company was examining its manufacturing base in North America and Europe and planned to announce cost-cutting moves in June.
The company plans a 30 percent reduction of installed capacity in its emulsions network in North America, mainly due to a slump in the U.S. housing market and productivity improvements at certain company sites.
Rohm and Haas also plans to significantly reduce overhead expenses from its specialty materials business in North America and Western Europe.
(Reporting by Euan Rocha; Editing by Steve Orlofsky and John Wallace)
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