ICI plans job cuts and Rhodia suffers a net loss. (News: Europe).(Brief Article)

Chemical Market Reporter, August, 2003

ICI ANNOUNCED last week that it plans to cut 1,410 jobs, equivalent to 4 percent of its work force, with over half the cuts taking place in North America. The reduction is part of a new phase of a cost-cutting program aimed at achieving savings of [pounds sterling]110 million ($178 million) by 2005, roughly equivalent to 2 percent of sales.

The cost-cutting measures are being financed by a 20 percent decrease in capital expenditure and small disposals amounting to around 100 million [pounds sterling]. "Profits remain disappointing overall, and the economic outlook remains uncertain," says John McAdam, ICI's chief executive. "Action is therefore required to further reduce costs." Total group sales dropped by 5 percent to 1.5 billion [pounds...

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