Chemours Company (CC)

[Enterprising Investor]

The Chemours Company Comments on DuPont Performance Chemicals Second Quarter 2015 Segment Results (7/28/15)

WILMINGTON, Del., July 28, 2015 /PRNewswire/ -- The Chemours Company ("Chemours") (NYSE: CC), a global leader in titanium technologies, fluoroproducts and chemical solutions, today commented that continued challenging market conditions are reflected in the second quarter 2015 financial results for the Performance Chemicals segment of E. I. du Pont de Nemours and Company (DuPont). During the period, Chemours, which separated from DuPont on July 1, 2015, was a wholly-owned subsidiary of DuPont comprised of the businesses within the Performance Chemicals segment.

Today, DuPont reported Performance Chemicals segment net sales in the second quarter of $1.5 billion and segment operating earnings of $113 million. Chemours stated that second quarter performance reflected a sequential improvement in titanium dioxide shipments over the first quarter despite a slow start to the North American coatings season. This volume improvement was offset by continued weakness in the TiO2 pricing environment and currency headwinds across the businesses. Chemours expects to report second quarter 2015 financial results on a stand-alone basis on August 6th and will conduct a webcast conference call to review business performance.

Mark Vergnano, president and chief executive officer of Chemours, said: "Our focus is to improve our earnings and cash flow by aggressively reducing our structural costs and optimizing our portfolio. We expect that our previously announced restructuring actions taken in the second quarter will reduce costs by $40 million in the second half of 2015 and $80 million annually thereafter. We are also targeting further cost reductions to deliver an additional $120 million in savings. Combined, we expect that these actions will reduce spending levels by approximately $200 million by year-end 2016."

As previously disclosed, Chemours anticipates additional cash flow improvements from the management of its asset portfolio. The Altamira expansion, which is expected to be completed in mid-2016, is anticipated to provide annual Adjusted EBITDA benefits of $20 million to $70 million. Once Altamira is complete, capital expenditures will decline from the peak of capital spending in 2014. The ramp up of the Opteon™ refrigerant product line will drive increased revenue and Adjusted EBITDA in the Fluoroproducts segment in each of the next three years. Chemours also continues to evaluate alternatives to improve the profitability of the Chemicals Solution segment.

Vergnano continued, "We will share a more detailed review of our second quarter financial results on our call on August 6th. Additionally, we will clarify the opportunities and actions that we are taking to further transform Chemours."

Conference Call
Financial results on a stand-alone basis for the second quarter 2015 will be discussed during a conference call with management on August 6, 2015 at 8:00 AM EDT. Investors can access the call via webcast and view the accompanying slides by visiting the Events & Presentations page of Chemours' investor relations website, investors.chemours.com or by calling [phone] US Toll Free or [phone] US Toll, Passcode 67 42 438. A replay of the conference call will be available for 90 days.

About The Chemours Company
The Chemours Company (NYSE: CC) helps create a colorful, capable and cleaner world through the power of chemistry. Chemours is a global leader in titanium technologies, fluoroproducts and chemical solutions, providing its customers with solutions in a wide range of industries with market-defining products, application expertise and chemistry-based innovations. Chemours ingredients are found in plastics and coatings, refrigeration and air conditioning, mining and oil refining operations and general industrial manufacturing. Our flagship products include prominent brands such as Teflon™, Ti-Pure™, Krytox™ Viton™, Opteon™ and Nafion™. Chemours has approximately 9,000 employees across 37 manufacturing sites serving more than 5,000 customers in North America, Latin America, Asia-Pacific and Europe. Chemours is headquartered in Wilmington, Delaware and is listed on the NYSE under the symbol CC. For more, information please visit chemours.com.

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