) Petroleum Additives business has declared a price hike for
Diphenylamine (DPA) in all packages by 10 cents per kilo,
effective Sep 15, 2013, or as contracts allow. The price revision
came as a compensation for continuous increases in raw material
and manufacturing costs.
DPA is a chemical composition that is broadly used as an
antioxidant for lubricants, propellants, and explosives. It is
also used as a key intermediate in the dye, agrochemical,
pharmaceutical, and rubber and plastic additive industries.
Also, the Petroleum Additives declared a price hike for its
Naugalube ADPA products including Naugalube 438L, Naugalube 640,
Naugalube 680 and Naugalube 750 by 50 cents per kilo. The price
hike is effective Sep 15, 2013, or as per the contracts. This
price increase is also a compensatory action against the cost
The business unit also increased the prices for its natural
fatty acid-based lubricant products by up to 20%, effective Oct
1, 2013, or as contracts allow. This price hike resulted from a
global supply and demand imbalance that led to an escalation of
raw material costs required to manufacture the lubricants.
Chemtura Petroleum Additives business unit supplies lubricant
additives, fuel additives, synthetic basestocks and synthetic
finished lubricants that are used in a wide range of applications
and industries including automotive industry, power generation,
aviation and certain niches in the industrial market such as
refrigeration and grease.
Chemtura came out with its second-quarter 2013 results on Jul
30. The company reported a net income from continuing operation
of $47 million or 47 cents a share compared with a profit of $53
million or 53 cents a share a year ago. Adjusted earnings from
continuing operation of 40 cents per share surpassed the Zacks
Consensus Estimate of 37 cents.
Revenues went down roughly 1% year over year to $735 million
in the quarter and were in line with the Zacks Consensus
Estimate. Lower selling prices and unfavorable foreign currency
translation affected revenues in the quarter.
Chemtura expects its Industrial Performance Products, Consumer
Products and Chemtura AgroSolutions segments to continue their
improved performance trends in the second half of 2013. Chemtura
further expects demand for insulation foam and electronics
applications to improve in 2013.
Chemtura currently carries a Zacks Rank #4 (Sell).
CHEMTURA CORP (CHMT): Free Stock Analysis
FERRO CORP (FOE): Free Stock Analysis Report
MINERAL TECH (MTX): Free Stock Analysis
SENSIENT TECH (SXT): Free Stock Analysis
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Other companies in the specialty chemicals industry with
favorable Zacks Rank are
Minerals Technologies Inc.
Sensient Technologies Corp.
). While Ferro holds a Zacks Rank #1 (Strong Buy), both Minerals
Technologies and Sensient Technologies retain a Zacks Rank #2