Exhibit 99.1
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| | | | Investor Contact: | | Mark E. Faford |
| | | | | | (203) 229-3820 |
| | | | | | mefaford@archchemicals.com |
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| | | | Press Contact: | | Dale N. Walter |
| | | | | | (203) 229-3033 |
| | | | | | dnwalter@archchemicals.com |
ARCH CHEMICALS COMPLETES INDUSTRIAL COATINGS DIVESTITURE
TO SHERWIN-WILLIAMS
NORWALK, Conn., March 31, 2010 – Arch Chemicals, Inc. (NYSE: ARJ) reported completion of the previously announced divestiture of its Industrial Coatings business to The Sherwin-Williams Company (NYSE: SHW) for approximately €40 million ($54 million) in cash. The purchase price is subject to a post-closing working capital adjustment.
With operations located in Italy, U.K., France, Spain, North America and Singapore, the Industrial Coatings business manufactures and supplies a wide range of industrial coatings used for surface protection and decorative finishes in furniture and joinery applications.
The Industrial Coatings business had sales of $147.1 million in 2009 and an operating loss of approximately $2 million, which included an allocation of corporate expenses. Further relevant financial information will be disclosed when the Company releases its first quarter earnings.
Arch Chemicals’ Chairman, President and CEO Michael E. Campbell said, “This divestiture supports our ongoing strategy to focus our portfolio on Biocides businesses and to redeploy resources from non-core businesses into this key growth platform.”
About Arch
Headquartered in Norwalk, Connecticut (USA), Arch Chemicals, Inc. is a global Biocides company. Arch and its subsidiaries provide innovative, chemistry-based and related solutions to selectively destroy and control the growth of harmful microbes. The Company’s concentration is in water treatment, hair and skin care products, wood treatment, preservation
and protection applications such as for paints and building products, and health and hygiene applications. Arch Chemicals operates in two segments: Treatment Products and Performance Products. Together with its subsidiaries, Arch has approximately 2,800 employees and manufacturing and customer-support facilities in North and South America, Europe, Asia, Australia and Africa. For more information, visit the Company’s Web site athttp://www.archchemicals.com.
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Except for historical information contained herein, the information set forth in this communication contains forward-looking statements that are based on management’s beliefs, certain assumptions made by management and management’s current expectations, outlook, estimates and projections about the markets and economy in which the Company and its various businesses operate. Words such as “anticipates,” “believes,” “estimates,” “expects,” “forecasts,” “intends,” “opines,” “plans,” “predicts,” “projects,” “should,” “targets” and variations of such words and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions (“Future Factors”), which are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expected or forecasted in such forward-looking statements. The Company undertakes no obligation to update publicly any forward-looking statements, whether as a result of future events, new information or otherwise. Future Factors which could cause actual results to differ materially from those discussed include but are not limited to: general economic and business and market conditions; no improvement or weakening in U.S., European and Asian economies; increases in interest rates; changes in foreign currencies against the U.S. dollar; customer acceptance of new products; efficacy of new technology; changes in U.S. or foreign laws and regulations; increased competitive and/or customer pressure; loss of key customers; the Company’s ability to maintain chemical price increases; higher-than-expected raw material and energy costs and availability for certain chemical product lines; unexpected changes in the antidumping duties on certain products; increased foreign competition in the calcium hypochlorite markets; inability to obtain transportation for our chemicals; unfavorable court decisions, including unfavorable decisions in appeals of antidumping rulings, arbitration or jury decisions or tax matters; the supply/demand balance for the Company’s products, including the impact of excess industry capacity; failure to achieve targeted cost-reduction programs; capital expenditures in excess of those scheduled; environmental costs in excess of those projected; the occurrence of unexpected manufacturing interruptions/outages at customer or Company plants; a decision by the
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Company not to start up the hydrates manufacturing facility; unfavorable weather conditions for swimming pool use; inability to expand sales in the professional pool dealer market; the impact of global weather changes; changes in the Company’s stock price; ability to obtain financing at attractive rates; financial market disruptions that impact our customers or suppliers; and gains or losses on derivative instruments.
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