ACT» FORTHE CHEMICAL INDUS AT A GLANCE PRODUCTION
Chemical production in the U.S. rose 3% in 1993, following a similar rise in 1992. The biggest volume commodity chemicals also posted 3% growth in output, as did thermoplastic resins. Almost all sectors showed similar steady, if unspectacular, expansion. Page 30
4
MARKETS
Most major markets for chemicals posted their second year of solid growth in 1993, as the U.S. economy generally confirmed that its most recent recession was over. Demand for new homes and for cars and trucks was up strongly, thanks largely to lower interest rates. Farmers, however, did not do well, as bad weather cut crop production 14%. Page 58
FOREIGN TRADE FINANCES U.S. chemical exports managed to rise a modest 2.5% in 1993, despite a U.S. Sales, earnings, profitability, and return on economy that was strong compared with stockholders' investment all grew last year, those of many of the industry's leading though sales, in particular, did so only mod- trading partners. But chemical imports estly. After four years of falling income, the rose faster, up 5.4%, causing the chemicombined earnings of 30 major chemical cal trade balance, always strongly posifirms rose 8%, well above the 2% gains in tive, to dip below $16 billion for the first both sales and prices. Profits came by cutting time since 1989. Page 60 costs, particularly payrolls but also capital spending. R&D budgets were unchanged from the previous year. Page 37
m
FOREIGN CHEMICALI INDUSTRIES
EMPLOYMENT
Cautious optimism is beginning to characterize the chemical industries in Europe and Canada as sales and earnings Companies cut their work forces in 1993, began to turn around last year for most with chemical firms collectively dropping of these countries. As in the U.S., job 14,000 people from their payrolls. Worst hit trimming was a major contributor to inwere workers in big companies making or- creased profitability. In Japan, sales ganics, agricultural chemicals, or plastics. slipped and earnings plummeted. For The slide continued into early 1994, al- many of its less-developed Asian neighthough there are some signs it may now be bors, however, 1993 was a strong year for easing. Employment at drug and soap man- chemicals, thanks to generally booming Page 62 ufacturers grew in 1993. Page 54 economies. 28 JULY 4,1994 C&EN
ost U.S. chemical makers were probably ready to have a year like 1993. Few would call it outstanding, certainly not when compared with the sort of growth companies were racking up year after year as recently as the late 1980s. But earnings rose substantially, particularly in the year's second half, and most other indicators of industry health—such as sales, shipments, and profitability— moved upward as well. After four years of decline when earnings for ma-
M
jor chemical firms fell 40% from their 1989 peak, the change was certainly welcome. The earnings gains came, for the most part, not from stronger demand and rising prices, but through cutting costs and increasing productivity. Chemical companies that had held on to their employees through the economically lean years of the early 1990s decided in 1993 that they could no longer do so. The industry as a whole ended the year with 14,000 fewer employees than it be-
gan with, and these cuts have continued well into 1994. Job loss has been even greater at the companies that are the biggest producers of commodity chemicals. Capital spending, too, dropped 10% at the largest chemical firms last year, and even R&D budgets were held to 1992 levels. The picture was largely the same for chemical makers in Canada and much of Europe, although changes in data collection in some of Europe's key chemical-producing nations cloud the
picture there. Turnaround has been slower to reach Japan, however, where chemical profits at 12 leading companies dropped a stunning 40%. There are signs that the belt tightening may have eased in the U.S. and the now trim chemical industry may find 1994 an even better year than 1993. Chemical sales are up in the early months of 1994, as are company earnings; job cuts have slowed; and plans, at least, call for an increase in capital spending later in the year. JULY 4,1994 C&EN
29
Ρ
PRODUCTION BY THE U.S. CHEMICAL INDUSTRY
Growth continues in chemical production roduction by the U.S. chemical in dustry grew 3% in 1993. That's the increase measured by the in dustry's index of production, prepared by the Federal Reserve Board. C&EN's own tally of production of the largest volume chemicals, the Top 50, shows the same 3% increase. Output by both mea sures grew 3% in 1992 as well, after be ing essentially unchanged in 1991. Production for individual chemical cat egories varied widely, however. Output for organic chemicals in C&EN's Top 50 rose an overall 9%, whereas that for inor ganics fell 1%. A 10% drop in production of sulfuric acid, the chemical that heads the Top 50 list, contributed much to inor ganics' overall poor performance. The Federal Reserve Board found out put of basic chemicals, which is the board's classification for inorganics, un changed in 1993, after a 10% rise in 1992. Production in the board's chemical prod ucts category—which includes pharma ceuticals, soaps, and paints—grew 3%, as it has annually for a decade. As might be expected, increased use of methyl tert-butyl ether (MTBE) as a gasoline additive continued to send its production soaring. MTBE output more than doubled in 1993 to 24 billion lb, making it the ninth largest volume chemical. Production of MTBE precursor isobutylene rose 20% to 1.1 billion lb. Production of phosphate rock nose dived 24% in 1993. A decline in exports of phosphate products, especially of diammonium phosphate to China, was re sponsible for the cutback in output, ac cording to analysts at the Bureau of Mines. Production of diammonium phos phate fell 11% in 1993, according to data from the Fertilizer Institute. U.S. con sumption of phosphate fertilizers, on the other hand, rose a healthy 6%. All categories of plastics posted gains in production last year. Output of ther mosetting resins rose 8%, with the in crease for individual resins varying from 5% for phenolics to 16%? for melamines. Production of thermoplastic resins was up 3%.
P
30
JULY 4,1994 C&EN
All chemical sectors, except inorganics, picked up in 1993 Production, % running annual growth rate3 10
-5
M Inorganics • Organics D Plastics H Fibers • Totalb
-10
I l l l ι ι ι ι ι ι Ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι I I I I I I I I I 1989 1990 1991 1992 1993 a Average running annual growth rates in production of major plastics, inorganic and organic chemicals, and in shipments of man-made fibers, b Average running annual growth rate for products in the above four categories taken as a whole. Sources: International Trade Commission, Bureau of the Census, Society of the Plastics Industry, Textile Economics Bureau
Chemicals production posts modest but steady growth Production index3, 1987 = 100 140 D All industry ϋ Chemicals & allied products • Synthetic materials • Basic chemicals 130
120
110
100
Qnlι ι ι ι η η ι ι ι Ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι Ι ι ι ι ι ι Μ ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι ι Ι ι ι ι ι ι ι ι ι ι ι ι 1989 1990 1991 1992 1993 1994 a Seasonally adjusted. Source: Federal Reserve Board
TOP 50 CHEMICALS: Strong 9% rise in organics boosted total production 3% Rank 1993
Billions of lb
Rank
Billions of lb 1992a
1993
1992
1993
1992a
Sulfuric acid Nitrogen Oxygen Ethylene Limeb
80.31 65.29 46.52 41.25 36.80
89.72 60.51 43.46 40.93 35.71
26 27 28 29 30
24 27 28 26 30
1993
1992
Hydrochloric acid Toluene' p-Xylene Ethylene oxide Ethylene glycol
6.45 6.38 5.76 5.68 5.23
7.13 6.01 g 5.66 5.83 5.13 4.78 4.67 3.719 3.59 _3.86^
1 2 3 4 5
1 2 3 4 6
6 7 8 9 10
5 8 9 19 7
Ammonia Sodium hydroxide Chlorine Methyl ferf-butyl ether Phosphoric acid
34.50 25.71 24.06 24.05 23.04
36.59 24.50 23.51 10.88 25.58
31 32 33 34 35
31 32 34 35 33
Ammonium sulfate Cumene Phenol1 Acetic acid Potash^
4.80 4.49 3.72 3.66 3.31
11 12 13 14 15
10 11 15 13 14
Propylene Sodium carbonate6 Ethylene dichloride Nitric acid Ammonium nitrated
22.40 19.80 17.95 17.07 16.79
23.43 20.84 15.15 16.09 15.66
36 37 38 39 40
38 37 36 40 41
Propylene oxide Carbon black Butadiene1 Vinyl acetate Titanium dioxide
3.30 3.22 3.09 2.83 2.56
2.90 3.02 3.23 2.66 2.51
16 17 18 19 20
12 17 16 18 19
Ureae Vinyl chloride Benzene Ethylbenzene Carbon dioxide*
15.66 13.75 12.32 11.76 10.69
17.96 11.31 11.98s 11.11 10.88
41 42 43 44 45
39 42 44 43 45
Acrylonitrile Acetone Aluminum sulfate Cyclohexane Sodium silicate
2.51 2.46 2.23 2.00 1.97 _
2.83 2.43 2.09 2.24 1.82
21 22 23 24 25
23 21 29 22 25
Methanol Styrene Terephthalic acid9 Formaldehyde*1 Xylene
10.54 10.07 7.84 7.61 6.84
8.08 9.00 5.64g 8.28 6.39
46 47 48 49 50
46 47 48 49
Adipic acid Sodium sulfate"1 Calcium chloride" Caprolactam η-Butyl alcohol
1.56 1.44 1.40 1.36 1.33
1.56 1.52 1.39 1.38 1.26
257.38 427.95 685.33
235.24 431.18 666.42
-
TOTAL ORGANICS TOTAL INORGANICS GRAND TOTAL
a Revised, b Except refractory dolomite, c Natural and synthetic, d Original solution, e 100% basis, f Liquid and solid only, g Includes both acid and ester without double counting, h 37% by weight, i All grades, j Synthetic only, k K 2 0 basis. I Rubber grade, m High and low purity, η 75% basis, solid and liquid.
PRODUCTION: Drugs and medicines rose, paints and some inorganics declined % annual change
Industrial production indexes, 1987 = 100
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
Total index Manufacturing, total Nondurable manufacturing Chemicals & products Chemicals & synthetic materials
84.9 80.9 87.0 87.5 88.6
92.8 89.3 90.8 91.4 92.8
94.4 91.6 91.5 91.4 92.2
95.3 94.3 94.9 94.6 93.9
100.0 100.0 100.0 100.0 100.0
104.4 104.7 102.3 106.0 107.5
106.1 106.4 103.7 109.2 112.2
106.0 106.1 104.4 111.8 114.5
104.1 103.7 103.5 111.4 111.3
106.5 106.8 106.5 114.3 114.8
110.9 111.7 108.7 117.8 118,6
Basic chemicals Alkalies & chlorine Inorgan c pigments Inorgan c chemicals, nee
92.1 87.9 87.3 94.3
96.9 95.3 89.0 98.0
96.1 93.6 95.1 97.2
95.1 92.1 96.2 94.7
100.0 100.0 100.0 100.0
104.7 104.9 111.4 103.5
108.4 107.4 114.0 107.7
118.9 107.2 109.0 123.8
116.0 104.2 101.5 120.0
128.0 105.4 118.2 133.6
128.1 108.4 116.3 131.4
0 3 -2 -2
3 2 3 3
Industrial organic chemicals
89.9
93.4
94.1
95.1
100.0
111.6
117.8
119.4
115.7
111.6
117.0
5
3
Synthetic materials8 Plastics materials Man-made fibers
84.3 74.4 92.3
88.9 81.1 93.3
86.9 84.1 86.6
91.6 88.2 93.7
100.0 100.0 100.0
104.3 104.0 103.5
107.7 106.1 110.5
105.8 106.7 102.8
102.9 101.5 103.3
110.2 108.2 110.1
114.6 112.4 114.6
4 4 4
3 4 2
Chemical products Drugs & medicines Soaps & toiletries Paints
86.6 86.1 91.4 84.6
89.0 86.9 90.6 91.8
90.2 88.5 91.3 95.7
95.9 96.7 96.7 97.5
100.0 100.0 100.0 100.0
104.7 104.9 106.4 103.8
106.3 108.6 107.3 98.9
108.8 112.6 109.4 97.1
110.9 120.6 108.4 91.0
113.1 127.2 106.4
116.4 134.8 106.7
90.6
87.8
Agricultural chemicals
87.5
102.0
96.1
88.5
100.0
106.5
115.3
119.3
116.2
122.0
125.8
3
4
Petroleum products
89.6
92.8
92.6
98.9
100.0
101.9
102.3
103.3
101.6
102.7
104.9
2
2
Rubber & plastics products
74.3
83.8
85.8
90.8
100.0
102.6
106.0
107.2
104.5
110.8
115.9
1992-93
4% 5 2 3 3
1983-93
3% 3 2 3 3
a Includes synthetic rubber, nee = not elsewhere classified. Source: Federal Reserve Board
JULY 4,1994 C&EN 31
π
PRODUCTION RY THF ILS. CHEMICAL INDUSTRY
ORGANIC CHEMICALS: Output was up in more cases than down in 1993 Mini h„n,»M otherwise noted
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993a
Acetic acid, synthetic Acetone Acrylonitrile Aniline Benzene, mgb c
2,807 1,859 2,035 663 1,232
2,619 1,862 2,146 786 1,318
2,897 1,788 2,219 716 1,283
2,728 1,910 2,349 824 1,362
3,246 1,846 2,182 829 1,575
3,159 2,303 2,452 1,029 1,608
3,294 2,524 2,609 1,016 1,631
3,751 2,329 2,676 989 1,699
3,615 2,347 2,647 996a 1,569
3,594 2,435 2,829 1,009 1,636a
3,656 2,462 2,508 1,011 1,677
2% 1 -11 0 3
Bisphenol A 1,3-Butadiened 1-Butanol Caprolactam Carbon tetrachloride
643 2,353 833 977 573
762 2,452 908 1,027 713
949 2,340 716 1,089 646
956 2,546 881 1,109 627
1,000 2,931 1,155 1,156 672
1,340 3,169 1,194 1,261 761
1,241 3,121 1,751 1,307 na
1,149 3,088 1,269 1,379 413
1,181a 3,054 1,320 1,284 315
1,197 3,232 1,279 1,377 na
1,286 3,092 1,328 1,359 na
7 -4 4 1
7 3 5 3
—
—
Chloroform Cumene Cyclohexane Dioctyl phthalate Ethanol, synthetic
362 3,345 1,656 300 1,077
405 3,754 1,994 301 1,060
275 2,627 1,657 275 649
422 3,745 2,070 296 529
462 4,105 2,276 343 574
524 4,455 2,297 344 562
588 4,426 2,273 306 549
484 4,311 2,460 310 546
505 4,284a 2,307 270 526
na 4,666 2,242 270 698
476 4,489 2,000 245 740
% annual change
4 4
—
—
1 18
4 5
2 2 -1 -8 20
2 2 6 4 4
-15 -3 30 121 -12
0 4 3 40 8
556 1,088 452 354 271
16 -10 -35 -2 11
1 3 -3 -5 -7
a a 3,562 3,806 3,538 3,484 3,707 3,718 854 898 874a 940 917 999 21,224 20,571 21,846 21,549 23,421 22,398 885 509 666 754 805 840 9,003a 9,000 10,063 8,984 8,337 8,017
0 -5 4 74 -12
3 0 5 6 4
-28 6 6 -22 -4 2
3 1 4 7 1 3
4,823 5,699 541 5,815 883
4,178 5,430 536 5,606 na
4,771 5,430 571 5,549 1,124
5,183 4,785 662 5,733 1,035
5,517 5,953 743 6,280 1,244
5,461 5,031 612 5,893 1,193
5,070 5,355 650 6,720 1,212
4,809 5,248 657 6,612 972
Isopropyl alcohol Maleic anhydride Methanol, synthetic Methyl fe/f-butyl ether Methyl chloride
1,209 299 7,982 839 409
1,394 359 8,186 1,376 482
1,235 394 5,003 1,891 410
1,301 359 7,205 3,375 605
1,371 382 7,537 3,514 373
1,389 448 8,142 5,680 597
1,474 475 8,167 8,227 461
1,456 424 8,344 8,884 772
1,236 1,342 1,463 424 436 381 8,704 8,082 10,542 9,570g 10,877g 24,0539 849 966 916
531 844 586 584 547
543 917 675 607 573
537 858 869 467 678
600 943 652 566 414
672 1,029 694 516 473
482 1,100 724 504 498
450 1,161 783 482 481
465 1,182 803 461 372
513 1,102 644 389 239
Terephthalic acid, dimethyl ester* Toluene, mg b k Vinyl acetate Vinyl chloride o-Xylene p-Xylene
5,626 780 1,963 6,875 781 4,114
5,912 728 2,024 6,084 688 4,264
6,490 6,257 698 611 2,112 1,710 9,463 8,439 675 788 4,779 5,035
3 3 1
2 6
504 468 694a 537 706 658 727 667 627 608 543 7,876 7,562 7,386 9,020 9,346 9,929 9,235 8,369 11,446a 11,108 11,758 282 na na 171 na 162 152 164 290 149 155 28,680 31,383 29,847 32,859 34,951 37,204 34,988 36,467 39,955 40,924 41,244 11,506 10,710 12,101 12,940 12,197 13,028 13,383 13,849 13,713 15,150 17,945
2,841 2,638 3,351 3,115 2,889 838 870 1,035 863 820 13,959 15,559 14,887 16,522 19,019 484 462 747 573 500 6,802 7,709 7,622 7,888 8,014
3% 3 2 4 3
-4
4,425 5,534 387 5,465 760
Phenol, synthetich Phthalic anhydride Propylene1 Propylene glycol Styrene
•
1983-93
-4 -11 -9 6
Ethylene glycol Ethylene oxide 2-Ethylhexanol Formaldehyde, 37%f Isobutylene
Methyl ethyl ketone Methyl methacrylate Methylchloroform Methylene chloride Perchloroethylene
1992-93
5,128 5,829 692 8,278 952
479 1,208 692 362 245
5,228 5,684 688 7,604 1,146
7,601 10,234 8,426 7,773 7,654a 5,637a 7,837 967 892 806 861 873 833a 833 1,813 2,561 2,552 2,659 2,732 2,657 2,827 8,402 9,058 10,135 10,623 11,142 11,307 13,746 940 971 983 943 935a 918 884 5,155 5,601 5,344 5,200 5,431 a 5,656 5,757
C\J
Ethanolamines6 Ethylbenzene Ethyl chloride Ethylene Ethylene dichloride
Production
Note: In 1992, the International Trade Commission changed its format for presenting revised data in its annual synthetic organic chemicals report to conform to the format of the Harmonized Tariff Schedule (HTS) of the U.S. For this reason, revised data for 1992 for some organic chemicals—in this table benzene, phenol, terephthalic acid, and toluene—are not comparable with either revised data for previous years or preliminary data for 1993. Thus, preliminary data for 1992, which are comparable, are reported for these chemicals, mg = millions of gallons, a Preliminary, calculated from quarterly data, b Tar distillers and coke-oven operators not included, c Specification grades, d Rubber grade, e Mono-, di-, and triethanolamines. f By weight. g C&EN estimate, h Does not include data for coke ovens and gas-retort ovens, i All grades, j Includes both acid and dimethyl ester (DMT), without double counting, k All grades, includes material used in blending motor fuel, na = not available. Source: International Trade Commission
32
JULY 4,1994 C&EN
INORGANIC CHEMICALS: Largest volume product, sulfuric add, fell 10% in year of mixed results % annual change
Production
Thousands of tons unless otherwise noted
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993a
Aluminum sulfate Ammonia, 100%cd Ammonium nitrate, 100%e Ammonium sulfate, 100%f Chlorine gas9
1,119 14,072 6,240 1,956 9,960
1,129 16,692 7,146 2,067 10,700
1,268 17,319 7,149 2,093 10,402
1,222 14,487 6,091 2,080 10,436
1,227 16,098 6,547 2,189 11,078
1,237 16,821 7,504 2,333 11,257
1,243 16,468 7,871 2,384 11,413
1,227 17,003 7,713 2,519 11,809
1,185 17,169 7,819 2,243 11,421
1,047 18,295 7,832 2,391 11,757
1,113 17,252 8,394 2,398 12,028
Hydrochloric acid, 100%h Hydrogen, bcf, 100%'J Hydrogen peroxide, 100%k Nitric acid, 100%k Nitrogen gas, bcf, 100%iJ Oxygen, bcf, 100%iJ
2,468 103 117
2,732 109 139
2,807 121 144
2,413 136 152
2,996 173 153
3,228 177 168
3,268 146 204
3,140 148 238
3,301 153 254
3,567 161 na
3,224 178 na
-10 11 na
3 6 na
6,768 560 346
7,726 661 375
7,631 665 393
6,734 677 383
7,225 685 405
7,991 722 452
8,349 744 460
7,932 749 462
7,927 770 470
8,043 835 525
8,537 901 562
6 8 7
2 5 5
Phosphoric acid, 100% P2O5 Phosphorus"1 Sodium chlorate, 100% Sodium hydroxide, 100% Sodium phosphate"
9,767
11,370
10,607
9,578
10,599
11,659
11,737
12,035
12,109
12,792
11,521
-10
2
366 323 10,039 669
386 295 10,914 675
359 259 10,811 625
364 267 10,691 617
344 289 11,553 586
343 267 10,533 549
353 290 11,470 610°
346 327 12,030 497
306 449 11,713 462
271 554 12,249 na
267 544 12,854 na
-1 -2 5 na
-3 5 3 na
Sodium silicate*3 Sodium sulfate, 100%q Sulfuric acid, 100%r Titanium dioxide, 100%s Urea
710 914 36,583 760 6,137
685 901 41,802 835 7,433
692 1,203 39,890 860 6,975
812 791 952 837 819 799 35,993 39,256 42,580 1,022 968 931 7,914 6,264 7,433
912 870 761 794 43,466 44,860 1,253 1,095 8,981 8,133
983 718 40,153 1,280 7,832
8 -6 -10 2 -13
3 -2 1 5 2
13
816 833 786 755 43,301 44,337 1,077 1,101 8,004 8,216
1992-93
1983-93
0% 2 3 2 2
6% -6 7 0 2
Note: bcf = billions of cubic feet, a Preliminary, b Commercial, 17% Al 2 0 3 ; includes municipalities, c Synthetic anhydrous, d Excludes by-product ammonia liquor and ammonium sulfate, e Original solution, f Synthetic and noncoke by-product, g Includes quantities liquefied for use, storage, or shipment, h Includes anhydrous hydrochloric acid production, i High- and low-purity gas. j Liquid and gas; excludes amounts vented and used as fuel, and amounts produced in petroleum refineries for captive use. k Includes unspecified amounts produced but not withdrawn from the system. I Excludes amounts produced and consumed in making synthetic ammonia or ammonia derivatives, m Elemental, white (yellow), and red (technical), η Tripolyphosphate (100% Na5P3O10). ο Includes tetrabasic (pyro) phosphate, ρ Soluble silicate glass (water glass), solid and liquid (anhydrous); excludes amounts produced and consumed in making meta-, ortho-, and sesquisilicates. q Anhydrous, high and low purity, and Glauber's salt, r Gross (new and fortified), s Composite and pure, na = not available. Sources: Department of Commerce, Bureau of the Census
MINERALS: Phosphate rock production tumbled 24%, potash output dropped 12% % annual change Thousands of tons
1983
Bromine, sold or used
b
Calcium chloride, production
185 0
Lime, production6
912 14,867
0
Lithium, consumption ·* Phosphate rock Production Exports
2.2
46,928 13,239
1984
193 1,036d
1985
160
1986
155
1987
168
1988
180
1989
193 628d
1990
195 691 d
1991
187 620d
d
1983-93
0%
1%
na
na
na
15,922 15,690 14,474 15,733 17,052 17,152 17,452 17,270d 17,857 18,427
3
2
2.8
12
2
51,770 39,125 4,104 3,525
-24 -14
-2 -12
1,653d -12 4,809d 3 5,988d 2
0 0 0
9,878
-4
2
-1 1 -5 0 -1
1 4 -4 1 1
3.2
940
2.5
780
2.6
658
2.6
677
3.0
3.0
3.0
2.9
54,230 56,035 44,445 45,144 50,032 54,913 51,084 53,016 12,707 10,071 8,651 9,319 8,920 8,644 6,876 5,602
821
2.5
1,575 4,894 6,231
1,724 5,323 6,638
1,429 5,063 5,893
1,325 4,643 5,338
1,391 4,490 5,609
1,677 4,648 5,803
1,758 3,758 4,960
1,888 4,590 6,011
1,928 4,990 6,186
1,879 4,683 5,898
Sodium carbonate, production'
8,467
8,511
8,511
8,438
8,891
9,632
9,915 10,093
9,926
10,338
10,240 5,462 3,530 1,249 12,112
1992-93
185
183
Potash (K 2 0 equivalent)9 Production Imports Apparent consumption
Sulfur, production Recovered elemental Frasch Other production Apparent consumption
1993a
1992
11,742 12,797 12,221 11,616 11,845 12,778 12,743 11,928 5,747 5,857 6,411 6,791 7,103 7,176 7,205 7,326 4,622 5,524 4,457 3,530 3,499 4,286 4,107 3,162 1,372 1,416 1,354 1,296 1,243 1,316 1,431 1,440 13,976 13,192 11,669 12,481 14,012 13,983 14,392 14,255
d
11,759 11,684 7,769 7,826d 2,557 2,425d 1,433 1,433d 14,056 13,889d
a Preliminary data, except those for phosphate rock, b Elemental bromine sold as such or used in preparation of bromine compounds by primary producers, c 75% CaU2 equivalent, d Estimated, e Sold or used by producers for commercial or captive use. Produced from limestone and dolomite, does not include amount regenerated by paper industry; excludes Puerto Rican production. f Lithium content basis, g Includes muriate and sulfate of potash, potassium magnesium sulfate, and parent salts; excludes other chemical compounds containing potassium, h Calculated from shipments plus imports minus exports, i Natural and synthetic until 1986, natural only in 1987-92. j Sulfur content basis, na = not available. Sources: Bureau of Mines, Bureau of the Census
JULY 4,1994 C&EN
33
PLASTICS: Strong year for thermosets, thermoplastics gain as well IProduction Millions of lba
1985
1986
1987
1988
1989
1990
1991
1992
1993
406 210 2,502 1,232 1,199
385 192 2,621 1,223 1,210
398 173 2,735 1,271 1,271
433 212 2,869 1,367 1,382
486 207 3,066 1,404 1,425
509 222 2,879 1,319 1,477
499 202 2,946 1,221 1,496
497 196 2,658 1,075 1,483
457 232 2,923 1,175 1,548
5,247
5,549
5,631
5,848
6,263
6,588
6,408
6,364
5,909
8,041 5,689 4,433
8,413 6,085 4,940
8,889 6,671 5,139
8,903 7,182 5,812
9,599 7,995 6,647
10,397 8,400 7,274
9,695 8,102 7,238
11,148 8,337 8,310
3,570 93 1,889
3,838 99 2,127
4,054 87 2,036
4,470 92 2,196
4,780 126 2,254
5,187 148 2,418
5,104 113 2,394
5,021 135 2,351
4,954 109 2,287
5,096 113 2,610
5,367 105 2,920
5 -7 12
4 1 4
321 6,067
396 6,760
399 6,772
465 7,256
507 7,971
566 8,350
569 8,478
558 9,096
576 9,164
768 668 9,989 10,257
15 3
9 5
778
899
965
1,175
1,394
1,652
1,630
1,879
2,115
2,413
5
12
THERMOSETTING RESINS Epoxyb 334 Melamine 180 Phenollccd 2,477 Polyester6 1,084 Urea 1,172 TOTAL THERMOPLASTIC RESINS Polyethylene Low density* High density9 Polypropylene Styrene polymers Polystyrene Styrene-acrylonitrile Acrylonitrile-butadienestyrene and other styrene polymersh Polyamide, nylon type Polyvinyl chloride and copolymers Thermoplastic polyester TOTAL
% annualI change
1984
1983
1992-93
1983-93
510 270 3,078 1,264 1,743
12% 16 5 8 13
4% 4 2 2 4
6,335
6,865
8%
3%
11,582 11,917 9,808 9,213 8,421 8,330
12,044 9,912 8,614
1% 1 2
4% 6 7
2,536
30,881 33,557 35,012 37,551 41,273 44,392 43,323 46,835 48,330 51,035 52,524
3%
6%
Note: Totals are for those products listed and exclude some small-volume plastics, a Dry-weight basis unless otherwise specified, b Unmodified, c Includes other tar-acid resins, d Gross-weight basis, e Unsaturated, f Density 0.940 and below, g Density above 0.940. h Includes styrene-butadiene copolymers and other styrene-based polymers. Source: Society of the Plastics Industry
SYNTHETIC RUBBER : Shipments rose 3% in 1993, continuing previous year's upswing Shipments9 Thousands of metric tons
1983
Styrene-butadiene rubber Polybutadiene Ethylene-propylene Nitrile-solid Polychloroprene Other" TOTAL
1984
1985
1986
1987
1988
% annual change 1989
1992
1991
1990
1993
1992-93
1983-93
881 391 155 56 88 303
888 433 185 65 93 323
753 392 174 58 82 289
736 384 188 64 82 310
847 414 205 72 81 336
829 430 224 75 82 355
827 427 225 72 79 295
791 431 208 69 79 329
727 416 192 71 70 298
796 463 206 74 72 315
817 473 227 78 70 328
3% 2 10 5 -3 4
- 1 % 2 4 3 -2 1
1,874
1,987
1,748
1,764
1,955
1,995
1,925
1,907
1,774
1,926
1,993
3%
1%
a Includes Canada, b Includes butyl styrene-butadiene rubber latex, nitrile latex, polyisoprene, and miscellaneous others. Source: International Institute of Synthetic Rubber Producers
SYNTHETIC FIBERS: Nylon, olefin posted healthy gains, acrylic fell for ninth consecutive year Production
Millions of lb
1983
% annual change
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
671 2,412 997 3,392
631 2,343 1,249 3,341
616 2,514 1,393 3,305
592 2,689 1,494 3,541
588 2,669 1,588 3,681
543 2,740 1,639 3,594
506 2,662 1,822 3,195
454 2,535 1,866 3,411
439 2,556 2,002 3,576
433 2,664 2,138 3,557
558
619
605
614
580
505
486
495
505
8,122
8,447
8,921
9,140
9,096
8,690
8,752
9,068
9,297
1992-93
1983-93
NONCELLULOSIC FIBERS
Acrylic3 Nylon Olefin5 Polyester
671 2,419 906 3,544
CELLULOSIC FIBERS Acetate6 r 229 J 40^ R TOTAL
8,168
199 421
8,092
-1% 4 7 -1
-4% 1 2 0
ι I
2 3%
-2 1%
a Includes modacrylic. b Includes olefin yarn and monofilaments and olefin and vinyon staple, tow, and fiberfill. c Includes diacetate and triacetate; excludes production for cigarette filters. Source: Fiber Economics Bureau
34 JULY 4,1994 C&EN
Plastics
Synthetic noncellulosic fibers
Chlorofluorocarbons
Billions of lb
Billions of lb
Millions of lb 500 I 400
CFC-12
CFC-22
300
\
Et
^ V X * 200
20
CFC-11-"
100
Ζ _ι_
_L
1983 84 85 86 87 88 89 90 91 92 93
0
_L_
_]_
ι
J
1983 84
1983 84 85 86 87 88 89 90 91 92 93
85
86
87
88
1
90 91 92 93
PAINTS AND COATINGS: Shipments for aixhkectui^ uses grew fastest in year of steady expansion % annuaI change
Shipments Millions of gal
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
19933
Architectural Product6 Special purpose TOTAL
433 294 130 857
457 336 145 938
478 352 145 975
498 368 135 1,001
527 340 146 1,013
536 364 154 1,054
537 360 179 1,076
557 346 197 1,100
538 320 180 1,038
562 334 169 1,065
586 342 172 1,100
1992-93
1983-93
4% 2 2 3%
3% 2 3 3%
a Calculated from quarterly data, b For original equipment manufacturers. Source: Department of Commerce
AEROSOLS: Production decreased 2% in 1993 as volume fell for many end uses Production8 Millions of units
Personal products Household products Automotive & industrial products Paints and finishes Insect sprays Food products Animal products Miscellaneous TOTAL
1983
1984
1985
1987
1986
% annual change
1988
1989
1990
1991
1992
1993
1992-93
1983-93
747 586 303
832 603 337
879 630 342
952 635 375
964 640 379
1,100 650 440
1,015 680 475
1,050 680 415
905 690 450
990 695 455
930 738 420
-6% 6 -8
2% 2 3
300 180 132 19 15 2,282
307 184 138 16 15 2,432
290 190 140 15 23 2,509
297 193 136 22 18 2,628
307 190 140 22 80 2,722
331 190 157 8 31 2,907
350 197 175 8 12 2,912
350 190 175 8 15 2,883
350 200 192 8 19 2,314
380 200 190 8 71 2,989
390 207 205 6 44 2,940
3 4 8 -25 -38 -2%
3 1 -4 -11 11 3%
a Includes Puerto Rican production Source: Chemical Specialties Manufacturers Association
CHLOROFLUOROCARBONS: CFC-12 rose 13% as other nonhydrogenated products dropped % annual change
Production Millions of lb
Chlorodifluoromethane (CFC-22) Dichlorodifluoromethane (CFC-12) Trichlorofluoromethane (CFC-11) All other fluorinated hydrocarbons15 TOTAL
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993a
236 290 215 279 1,020
254 337 185 337 1,113
235 302 176 306 1,019
271 322 202 344 1,139
275 335 198 354 1,162
333 414 249 379 1,374
343 392 192 385 1,312
306 209 135 na na
314 157 99 239 809
330 163 100a na na
291 185 72 na na
1992-93
1983-93
-12% 13 -28
2% -4 -10
— —
— —
a Preliminary, b Includes other fluorohalogenated hydrocarbons, na = not available. Source: International Trade Commission
JULY 4,1994 C&EN
35
|ΙΤ|τ-
RODUCTION BY THE U.S. CHEMICAL INDUSTRY
PESTICIDES: Herbicides and insecticides production recovered in 1992 Production Millions of lb
1982
Herbicides Insecticides Nematicides Fungicides Plant growth regulators
1983
734 229 71 b 77 9b
TOTALc
1,137
1984
587 206 76b 43 5b
1985
688 211 53b 78 8
975
647 213 50b 75 8
1,074
1,014
1986
1987
625 204 66 70 5
623 185 76 62
982
964
% annual change 1988
2b
1990
1989
1992
1991
1991-92
1982-92
6% 5 -1
-1% -2 0 1
696 190 71 b 85
676 203 85 193a 4
676 208 112 207a 5b
643 264a 67b 85 6b
657 181 72 17
12
1,183a
1,222a
1,093a
1,054
1,083
na
-3 3%
0%
a These seemingly anomalous values have been verified by the source, b Does not include production intended for sale outside the U.S., which is included in annual total, c Includes miscellaneous other pesticides and, in some cases, production, usually intended for sale outside the U.S., not reported by subcategory, na = not available. Source: National Agricultural Chemicals Association
Pesticides
Fertilizer consumption
Millions of lb 1,400|
Millions of tons 30 Total
Potash (K 2 0)
\ 20
/ /
10 !
Nitrogen (N)
Phosphates (P 2 0 5 ) I
J
198283 84 85
86 87 88 89
90
1983 84
L
91 92
I
I
85
86
1
1
1
1
1
1
87
88
89
90
91
92
93
Note: Years ending June 30.
FERTILIZER CONSUMPTION: Use of phosphates grew substantially last year % annual change 1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
9,127 4,138 4,831
11,092 4,901 5,797
11,493 4,658 5,553
10,424 4,178 5,053
10,210 4,008 4,837
10,512 4,129 4,973
10,593 4,117 4,838
11,076 4,345 5,203
11,287 4,201 5,001
11,446 4,218 5,042
11,358 4,458 5,110
-1% 6 1
2% 1 1
18,096
21,790
21,704
19,655
19,055
19,614
19,548
20,624
20,489
20,706
20,926
1%
1%
Thousands of tons
1983
Nitrogen (N) Phosphates (P 2 0 5 ) Potash (K20) TOTAL
1992-93
1983-93
Note: Years ending June 30 Source: Fertilizer Institute
FERTILIZER PRODUCTION: Phosphate rock plunged 24% in dismal year for major products % annual change Thousands of tons
1983
1984
1986
1987
1988
1989
1992
1990
1993
1992-93 1983-93
NITROGEN PRODUCTS. Ammonia Ammonium nitrate Ammonium sulfate Urea
13,361 16,613 16,594 12,565 13,357 14,136 14,052 14,446 13,790 13,309 12,587 3,232 3,365 3,178 2,250 2,472 2,765 2,703 2,579 2,551 2,487 2,700 1,969 2,078 2,343 2,058 2,153 2,260 2,327 2,460 2,195 2,342 2,379 4,112 4,889 3,975 3,564 4,253 4,501 4,430 4,287 4,241 4,164 3,863
-5% - 1 % 9 -2 2 2 -7 -1
PHOSPHATE PRODUCTS. Diammonium phosphate Monoammonium phosphate Concentrated superphosphate Phosphate rock Phosphoric acid (P 2 0 5 )
10,264 12,35810,800 7,492 9,537 11,575 13,160 13,226 13,573 14,119 12,635 1,423 1,654 1,641 1,416 1,679 1,818 1,862 2,252 2,227 2,342 2,693 na 2,684 2,404 2,570 2,127 2,049 2,032 1,777 1,988 1,914 2,074 40,664 47,465 49,348 36,227 39,330 42,220 47,676 44,269 44,877 45,941 34,800 9,182 10,899 9,837 8,085 8,903 10,234 10,742 11,036 10,934 11,354 10,348
-11 15 — -24 -9
POTASH PRODUCTS Potassium chloride
1,928
2,168 1,713
1,715
1,810
2,243
2,316
2,351
2,387
Note: Figures are based on Fertilizer Institute surveys and may not represent the entire industry, na = not available. Source: Fertilizer Institute
36 JULY 4,1994 C&EN
2,337
1,927
-18
2 7 — -2 1
2
FTIVAIVrFÇ O F T H F Τ Τ Ç ΓΙΤΡΜΤΓΑΪ TlVnTTSTRY
Chemical industry begins to recover A t last, the U.S. chemical industry / % has had a reasonable year. AlJL J L though 1993 will not go down in history as a particularly good year for chemical makers, it was the first year since 1988 in which the industry increased earnings over the previous year. Earnings and profitability are nowhere near the levels they were in the late 1980s, but the industry once again appears to be growing. The upward move came after four years of sagging performance for the industry during which earnings plum-
meted more than 40% and various measures of profitability fell dramatically. The result was a massive contraction of chemical employment and cuts in capital spending. The reason for capital spending cuts was easy to see— major markets had turned down, so there was no need to increase production capacity. Now, however, many of these same markets are growing once again: Motor vehicles and housing, both big users of chemical products, are prime examples. As a result, chemical companies
Earnings, profitability finally started to improve last year Sales, $ billions
Earnings, $ billions
100 80
/^'>;;.;
60
,, ,,,,,,,;,,^,,,,,,,,,,,,;,,^ 40
20
1 ...J 1 1 1. 1 I I 0 0I i_ ! 1983 84 85 86 87 88 89 90 91 92 93 1983 84 85 86 87 88 89 90 91 92 93
Return on stockholders' equity, %' 25
Profit margin, % b 10[
1983 84 85 86 87 88 89 90 91 92 93 1983 84 85 86 87 88 89 90 Note: Based on data for 30 major chemical companies, a After-tax earnings as a percentage of year-end stockholders' equity, b After-tax earnings as a percentage of sales.
93
in 1993 began to see business increase. Since these companies have spent the past few years cutting costs, especially in white-collar employment, earnings were high. For instance, in 1993, sales increased only about 2% for the 30 major chemical companies C&EN regularly monitors, while earnings rose a much greater 8%. Thanks to the earnings increase, profit margins for the group rose to 5.3% from 5% in 1992, and return on stockholders equity increased to 12.4% from 12.0%. Further evidence that the earnings growth was caused as much by cutting costs as by growing markets can be found in several other measures of industry performance. Shipments of chemicals and allied products increased just 4% for the year, and demand for industrial chemicals rose only 3%. Pricing was anything but good. The government's producer price index for chemicals and allied products increased 2% from the year before, but most of this increase came from drugs and pharmaceuticals, up 5% for the year. Other more basic chemical sectors showed little or no change. However, these lackluster indicators are not necessarily bad news for the industry's future. If chemical companies can manage an average 8% earnings increase with the price and demand situations that prevailed in 1993, all they need is to have a small rise in prices to begin reaping greater returns. In fact, Wall Street's financial community is betting on better days to come. Chemical stock prices set new record highs in 1993 and continue to rise this year, indicating that investors believe there is still plenty of room for improvement in the chemical industry. But there are danger signals for a chemical recovery. Chief among these are interest rate increases that may slow demand for housing and automobiles. The recent decline of the dollar may force further rate increases as the U.S. tries to bolster its currency and fight inflation coming from higher priced imports. JULY 4,1994 C&EN
37
TOP 100 CHEMICAL PRODUCERS: Most of the largest companies saw big gains in profits in 1993 Chemical Change sales 1993 from ($ millions) 1992
Rank 1993 1992
1 2 3 4 5
38
1 2 3 4 5
DuPont Dow Chemical Exxon Hoechst Celanese Monsanto d
$15,603 12,524 10,024 6,347 5,651
0.4% -3.1 -5.7 -2.3
5.0
6 7 8 9 10
7 6 8 9 10
11 12 13 14 15
14 Shell Oil 12 Amoco
—
11 Mobil 16 Rohm and Haas
3,875 3,773 3,565 3,533 3,269
6.7
16 17 18 19 20
15 19 18 13 21
Arco Chemical Miles Air Products® W. R. Grace AlliedSignal
21 22 23 24 25
17 23 22 20 26
26 27 28 29 30
27 25 29 35
31 32 33 34 35
28 31 30 36 34
36 37 38 39 40
Chemical sales as % of total sales
Industry classification
42.1°/j Diversified 69.3 Basic chemicals 9.2 Petroleum 92.0 Basic chemicals 71.5 Basic chemicals
Chemical operating Change profits8 from ($ millions) 1992
$750
773 638 561 731
Chemical operating profits as % of total profits
51.7% 53.7
-45.9% 30.6 -3.3 26.9 17.5
155.8 90.2 12.7 100.0 84.8
7.6
Identifiable Operating chemical profit b assets margin ($ millions)
4.8%> $13,957 6.2 12,530 6.4 8,478
Chemical assets Operating as % of return on total chemical assets assets0
45.1%> 49.1 10.1
5.4%
8.8
na
na
6.2 7.5 na
12.9
5,312
61.5
13.8
16.5
8,181 4,419 5,780
3.3
10.2
100.0 33.8
Diversified Basic chemicals Petroleum Basic chemicals Basic chemicals
834 354 184 na 476
12.7 12.0 100.0
na
na
7.6 4.5 na
na
na
8.0 3.2 na
-5.7
100.0
12.2
4,341
100.0
11.0
328 321 188 25 267
89.6
23.0 10.5 100.0
4,312 3,938
16.1 13.8
na 3,451 3,200
na 8.5
100.0
Petroleum Petroleum Basic chemicals Petroleum Basic chemicals
100.0
7.6 8.5 na 0.7 8.3
3,192 3.0 3,053 4.7 2,906 3.6 2,895 -16.7 2,791 7.3
100.0 47.3 87.3 65.7 23.6
Basic chemicals Diversified Basic chemicals Specialty chemicals Diversified
425 na 417 392 309
12.1
Chevron Ashland Oil 6 Ciba Praxair Phillips Petroleum
2,708 2,586 2,519 2,438 2,308
-5.7
7.5
3.9
25.4 55.2 100.0 18.8
Petroleum Petroleum Specialty chemicals Basic chemicals Petroleum
225 108 na 341 97
Akzo Rhône-Poulenc Dow Corning Ethyl Huntsman Chemical
2,241 2,200 2,044 1,938 1,850
11.7 -4.3
100.0 100.0 100.0 100.0 100.0
Basic chemicals Specialty chemicals Specialty chemicals Basic chemicals Basic chemicals
196 na 236 168 na
Hercules
-12.7
National Starch Great Lakes Chemical Elf Atochem
1,843 1,837 1,808 1,792 1,700
66.5 48.9 100.0 100.0 100.0
Basic chemicals Machinery Specialty chemicals Specialty chemicals Basic chemicals
252 197 288 415 na
38 24 40 39 42
Lubrizol American Cyanamid d Nalco Chemical Lyondell Petrochemical Morton International·*
1,526 1,411 1,389 1,326 1,274
6.4 8.5 1.1
100.0 33.0 100.0 34.4 55.2
Specialty chemicals Specialty chemicals Specialty chemicals Petroleum products Specialty chemicals
190 na 263 57 135
41 42 43 44 45
58 45 44 46 47
Witco Solvay America Cabot 6 International Flavors PPG Industries
1,233 1,200 1,192 1,189 1,150
47.3
57.5 100.0 73.8 100.0 20.0
Specialty chemicals Basic chemicals Basic chemicals Specialty chemicals Glass products
108 na 149 311 138
46 47 48 49 50
49 37 41 52
Olin Texaco BP America Henkel Cytec
1,117 1,114 1,038 1,010 1,008
12.1 -23.9 -19.8 14.6 -3.5
46.1
Basic chemicals Petroleum Petroleum Specialty chemicals Basic chemicals
na na 26 na na
—
General Electric Union Carbide Occidental Petroleum BASF Eastman Chemical
ICI Americas
FMC
JULY 4,1994 C&EN
5,042 4,640 4,065 4,037 3,903
3.9
8.3
-4.8 -3.8 -0.3
100.0 47.6 77.6 100.0
2.4 18.2
2.2 20.0 -4.6
-0.2 -6.4
3.7
4.5 14.5 15.6
1.0 -1.0 19.7
0
-5.9
3.2
4.4 0.9 5.5 3.4
18.6 13.2 100.0
5.5
3.2 6.6 100.0 100.0
45.7 -82.4 -21.9
100.0
8.5 8.5 5.3 0.7 8.2
-7.0
100.0
13.3
3,502
100.0
na
na
na
na
na
na
-16.6 -9.9 26.1
113.0 103.2 32.4
14.3 13.5 11.1
3,646 2,115 2,502
87.5 39.5 23.1
11.4 18.5 12.4
94.0 12.5
8.2
2,457
7.1
9.2
36.4
958 na
17.3
11.3
na
na
100.0 18.5
10.5
def
0.5
na
na
8.3 4.2 na
23.6 148.7
100.0
14.0
9.1
4.2
3,255 2,011
28.9
100.0
na
na
8.8 na
na na
na na
11.9 -22.9
100.0 100.0
11.5
3,265 2,009
100.0 100.0
na
na
8.6 na
na
na
na na 7.2 8.3 na
1.2
15.0
81.8 52.5 100.0 100.0
13.7 10.7 15.9 23.2
1,375 1,522 1,672 1,901
61.0 54.1 100.0 100.0
18.3 13.0 17.2 21.8
na
na
na
na
na
na
2.6 na 1.0
100.0
12.5
1,055
89.2
18.0
na
na
na
na
na
18.9
1,212
21.7
-58.7 -18.1
100.0 61.3 42.9
45.7
94.5
10.4
na
-7.5
3.3
4.8
4.3
688
10.6
1,273
100.0 55.9 56.8
8.8 na
1,037
56.4
na
na
na
na
-3.8 16.0 -25.4
89.9 100.0 18.5
12.5 26.2 12.0
1,117 1,225 1,092
75.0 100.0 19.3
13.3 25.4 12.6
na na
na na 1.8 na na
na na 2.5 na na
na na na na na
na na na na na
na na na na na
-59.4
na na
8.3 10.6
Chemical Change sales 1993 from ($ millions) 1992
Rank 1993 1992
Chemical sales as % of total sales
Industry classification
Chemical operating Change profits8 from ($ millions) 1992
51 52 53 54 55
52 — 50 — 51
H. B. Fuller9 Geon Tenneco Hanson Engelhard
56 57 58 59 60
57 54 48 54 —
Uniroyal Chemical CF Industries IMC Fertilizer* Farmland Industries'1 Wellman
908 906 897 893 842
6.1 0.8 -15.2 -0.6 1.7
100.0 100.0 100.0 18.9 100.0
Specialty chemicals 110 -21 Agrochemicals Agrochemicals 19 Agricultural supplies 49 Basic chemicals 76
0.1 def -90.1 -55.3 -31.3
61 62 63 64 65
32 62 69 65 59
BF Goodrich CBI Industries Arcadian Partners Fina Aristech
830 826 799 793 788
-53.3 10.7 34.8 12.3 -1.4
45.6 49.4 100.0 23.2 100.0
Basic chemicals Construction Agrochemicals Petroleum Basic chemicals
53 113 69 60 na
66 67 68 69 70
61 66 56 64 60
Georgia Gulf Vista Chemicals NL Industries Betz Laboratories Freeport-McMoRan
769 701 697 685 619
-1.4 3.9 -22.0 -3.1 -22.5
100.0 100.0 86.6 100.0 38.5
71 72 73 74 75
71 67 71 70 75
Sigma-Aldrich Loctite Kerr-McGee Intl. Specialty Products GenCorp
613 613 556 548 519
10.8 0.8 8.0 -3.9 7.7
76 77 78 79 80
80 73 68 73 86
Sterling Chemical Union Camp Merck Huls America Degussa
519 519 510 500 481
81 82 83 84 85
76 63 77 79 82
Aluminum Co. of America Unocal Ferro Stepan Borden Chemicals
86 87 88 89 90
— 85 83 79 81
91 92 93 94 95 96 97 98 99 100
Chemical Chemical operating Identifiable assets Operating profits as Operating chemical as % of return on % of total profit assets total chemical profits margin" ($ millions) assets assets0
5.5% 2.5 9.1 na 15.0
$565 721 721 na 788
100.0% 9.5% 100.0 3.4 4.7 11.5 na na 17.4 61.6
100.0 def 100.0 63.6 100.0
12.1 def 2.1 5.5 9.1
1,225 951 2,056 325 1,015
100.0 100.0 100.0 18.9 100.0
8.9 -6.7 0.9 15.1 7.5
92.0 4.8 -10.0 -39.4 na
62.6 95.7 100.0 117.3 na
6.4 13.6 8.6 7.6 na
687 na 1,015 402 na
29.1 na 100.0 16.0 na
7.7 na 6.8 15.0 na
111 Basic chemicals Basic chemicals na Basic chemicals 36 Specialty chemicals 101 Agrochemicals -56
-14.2 na -55.9 -22.8 def
100.0 na 57.9 100.0 def
14.4 na 5.2 14.8 def
405 na 1,008 521 1,194
100.0 na 83.6 100.0 32.2
27.3 na 3.6 19.4 -4.7
82.9 100.0 16.9 100.0 27.2
Specialty chemicals Specialty chemicals Petroleum Specialty chemicals Rubber products
149 na 70 65 47
8.5 na -11.4 -39.6 4.4
89.7 na 35.2 100.0 38.8
24.2 na 12.6 11.9 9.1
658 na 733 na na
87.4 na 20.7 na na
22.6 na 9.5 na na
20.5 3.7 -14.2 0 30.8
100.0 16.6 4.9 100.0 84.0
Basic chemicals Diversified Drugs Specialty chemicals Specialty chemicals
15 49 na na na
-12.4 56.9 na na na
100.0 23.1 na na na
3.0 9.4 na na na
540 385 na na na
100.0 8.2 na na na
2.9 12.7 na na na
479 460 449 439 433
0.7 -37.2 -4.2 0.7 7.8
5.3 5.5 42.1 100.0 100.0
Nonferrous metals Petroleum Specialty materials Specialty chemicals Basic chemicals
na 65 24 20 17
na 75.7 20.2 -35.7 -63.9
na 10.6 24.9 100.0 100.0
na 14.1 5.3 4.5 3.8
na 387 238 300 444
na 4.2 37.2 100.0 100.0
na 16.8 10.0 6.5 3.7
Rexene Lonza Crompton & Knowles Mallinckrodt Sun Co.
429 420 407 395 389
3.5 10.5 3.1 -10.3 -5.7
100.0 100.0 73.0 22.0 4.2
Basic chemicals Specialty chemicals Specialty chemicals Specialty chemicals Petroleum
15 na 68 na na
34.2 na 7.3 na na
100.0 na 72.4 na na
3.4 na 16.7 na na
430 na 282 na na
100.0 na 77.6 na na
3.4 na 24.2 na na
84 88 92 87 89
Vulcan Materials Petrolite* Mississippi Chemical First Mississippi1 Calgon Carbon
377 333 289 285 269
-3.8 10.3 20.6 -9.3 -9.7
33.2 94.5 74.8 66.3 100.0
Nonmetallic minerals Specialty chemicals Farm cooperative Agrochemicals Basic chemicals
17 30 23 38 33
-66.1 21.7 -27.7 -4.6 -29.2
12.9 94.1 473.5 155.8 100.0
4.6 8.9 7.8 13.2 12.3
na 259 287 168 337
na 86.0 89.4 50.7 100.0
na 11.5 7.9 22.5 9.8
91 90 — 94 96
Georgia-Pacific Agricultural Minerals Terra Industries Nova Cambrex Corp.
267 260 229 222 197
11.3 6.7 82.4 -1.4 9.9
2.2 100.0 18.5 100.0 100.0
Wood products Agrochemicals Agrochemicals Basic chemicals Specialty chemicals
na 53 29 na 17
na -5.3 93.9 na 20.4
na 100.0 58.5 na 100.0
na 20.4 12.5 na 8.4
na 286 na na 167
na 100.0 na na 100.0
na 18.5 na na 10.0
$975 973 914 911 910
4.5°/c> 100.0% Specialty chemicals $54 8.7 24 100.0 Basic chemicals -3.9 6.9 Diversified 83 12.2 na 12.6 Diversified -4.1 137 42.3 Diversified
-25.1% 100.0% -384.7 100.0 6.7 6.4 na na 7.2 81.5
a Operating profit is sales less administrative expenses and cost of sales, b Chemical operating profit as a percentage of sales. c Chemical operating profit as a percentage of identifiable chemical assets, d Chemical sales include significant amounts of nonchemical products, e Fiscal year ended Sept. 30 f Fiscal year ended June 30. g Fiscal year ended Nov. 3C). h Fiscal year ended Aug. 31. i Fiscal year ended Oct. 31. na = not available, def = defic t.
JULY 4,1994 C&EN
39
2
FINANCES OF THE U.S. CHEMICAL INDUSTRY
FINANCIAL ANALYSIS: Most ratios at chemical companies continued to fall
Profit margin3
Return on investment 6
Debt as % of debt plus equity
% total sales abroad6
% total assets abroad"
Sales per employee6
Dividends as % of net income
CAPITAL SPENDING' As% As% of net of plant sales
R&D as % of sales
Sales as % of assets
Net plant as % of gross plant
Air Products9
1993 1992
6.0% 8.6
2.8% 4.1
32.6% 31.3
25.2% 27.6
31.0% $236 222 33.3
American Cyanamid
1993 1992
8.1 7.5
5.6 6.1
20.1 13.0
39.8 38.8
27.3 24.4
161 161
44.5 37.0
7.1 7.8
17.3 19.3
13.9 10.7
70.6 97.3
57.0 53.0
Arco Chemical
1993 1992
6.7 8.5
5.1 6.1
36.0 39.0
34.5 42.9
36.4 36.6
na 728
112.1 94.9
5.7 9.9
8.3 13.2
2.3 2.2
91.1 83.0
66.7 70.5
Betz Laboratories
1993 1992
10.7 11.6
9.6 11.5
24.6 24.8
20.7 21.2
23.3 22.2
166 170
64.6 54.8
9.2 10.5
21.0 25.8
4.2 4.0
131.4 138.5
54.2 56.6
Cabot9
1993 1992
3.5 4.0
3.2 3.4
50.9 49.3
41.5 46.1
42.7 46.7
299 288
40.2 36.5
4.0 5.0
10.1 11.1
2.8 2.4
108.4 100.2
51.7 55.2
Calgon Carbon
1993 1992
7.1 9.6
4.6 7.2
2.6 2.8
38.4 40.2
31.9 33.0
204 202
34.3 22.8
5.6 8.1
7.7 11.8
2.4 2.1
79.9 89.2
69.4 74.2
Crompton & Knowles
1993 1992
9.3 8.4
13.2 11.7
5.5 10.2
18.5 20.1
22.8 23.3
240 237
37.5 34.2
2.6 2.5
14.3 13.0
2.0 2.0
153.7 147.6
57.7 60.6
Dow Chemical
1993 1992
3.6 2.9
2.2 1.9
42.4 43.4
48.6 49.7
41.6 42.6
326 309
111.6 128.9
7.8 8.5
16.5 18.3
7.0 6.8
70.8 74.8
39.7 41.0
Eastman Chemical
1993 1992
6.8 7.9
3.6 4.2
62.9 0
21.7 23.5
10.7 8.2
216 206
6.7 23.3
9.4 12.3
12.0 15.3
4.5 4.3
89.9 90.7
47.9 49.3
Ethyl
1993 1992
5.8 9.1
4.3 11.1
47.7 24.8
32.5 17.2
31.3 5.0
352 472
63.2 26.4
10.6 5.3
20.5 19.0
3.9 2.5
96.5 32.3
52.3 50.6
First Mississippi*1
1993 1992
0.6 0.8
0.5 0.7
41.4 43.4
13.7 15.5
na na
na na
223.4 140.1
2.6 6.4
5.5 12.1
1.2 0.8
112.1 112.1
55.8 56.6
Freeport-McMoRan
1993 1992
def 11.3
def 4.4
99.9 80.5
na na
na na
na na
def 95.7
35.3 38.8
20.5 28.2
na na
43.4 46.7
65.9 68.9
H. B. Fuller1
1993 1992
2.8 3.8
3.8 5.1
19.5 17.3
46.3 47.4
77.9 71.2
163 161
27.8 18.0
4.3 3.7
18.0 15.4
2.2 2.2
172.8 166.4
55.4 56.5
Georgia Gulf
1993 1992
5.5 5.9
7.5 8.5
143.4 164.9
na na
na na
684 691
0 0
3.8 1.8
13.2 6.7
na na
189.7 185.8
57.3 59.9
BF Goodrich
1993 1992
0.8 0.4
0.7 0.3
35.2 32.7
11.0 11.2
7.0 7.8
136 189
422.2 638.6
8.0 7.9
17.5 16.5
3.7 3.3
77.0 103.0
61.4 55.5
W. R. Grace
1993 1992
3.0 4.0
2.8 4.1
43.6 46.7
35.2' 37.0j
20.1 j 11.3j
130 125
95.5 57.4
7.0 7.2
21.3 23.3
3.1 2.7
72.2 98.6
52.3 51.9
Great Lakes Chemical
1993 1992
14.9 15.6
16.2 15.4
4.6 4.2
51.7 49.0
41.7 45.0
na na
9.2 9.5
4.3 4.6
16.9 16.1
3.0 3.1
96.2 86.4
56.3 58.2
Hercules
1993 1992
7.5 5.9
4.6 3.8
18.8 19.8
28.1 29.4
19.9 19.2
197 186
45.6 59.9
5.4 5.2
11.4 11.1
2.7 2.5
87.7 88.8
40.0 42.1
IMC Fertilizer*1
1993 1992
def 8.6
def 3.5
67.5 50.6
15.9 14.2
14.3 16.5
na na
def 26.2
11.8 16.8
8.0 14.0
na na
43.6 57.6
54.8 54.6
International Flavors
1993 1992
17.0 15.7
13.6 11.6
0 0
67.5 68.9
50.1 43.3
272 266
56.6 59.1
6.9 4.4
25.4 17.3
6.3 6.3
97.0 88.9
53.0 51.7
40
JULY 4,1994 C&EN
50.7% 33.7
14.7% 13.3
18.1% 15.6
2.8% 2.6
69.9% 45.5% 71.6 47.5
î*WF«:
Let H&R Citric Acid add D&EtorourABC's. Never have bioDegradability and Environmental safety been more important. H&R citric acid and its sodium and potassium salts are biodegradable and produced by a cost-effective natural fermentation process. As a result, citric/citrates offer very real advantages over many other products traditionally used for acidulating, buffering and chelating. H&R citrates are safe for the environment and safe for your employees. BioDegradability and Environmental/Employee safety, coupled with citric/citrate's functional capabilities, are the reasons citrates are developing ever-expanding roles in the industrial marketplace. Let Haarmann & Reimer help you determine how citric/citrate can cost-effectively improve your ABC's. After all, we're committed to serving your business. Right down to the letter. To learn more about how D and Ε can be added to your ABC's cost-effectively, call us at 800-348-7414 or 219-264-8716.
Committed to your Future.
H&R Haarmann & Reimer Corp. Fl Division Phone: 800-348-7414 or 219-264-8716
CIRCLE 12 ON READER SERVICE CARD
Poly bd Resins From ElfAtochem. The IbssMties Are Limitless. Poly bd resins from Elf Atochem— liquid, hydroxyl-terminated homopolymers of butadiene—give you a dependable upgrade in proven performance. These resins impart a unique combination of properties different from those provided by conventional polyether or polyester polyurethanes and other thermosetting elastomers. And Poly bd resinsfromElf Atochem provide a multiplicity of uses. Electrical/ electronic potting and encapsulation, asphalt-extended membranes, cast elastomers,insulating glass and architectural sealants, under-hood automotive components, adhesives and more. The applications are both varied and exciting. Poly bd resins offer these performance advantages as well: superior hydrolytic stability, excellent electrical insulation properties, resistance to aqueous acids and bases, low temperature flexibility and low moisture permeability, plus the ability for high solids loading. Poly bd resins from Elf Atochem offer you the opportunity for an exciting urethane formulation breakthrough. And Poly bd resins with alternative functionality, such as epoxide groups or acrylate termination, provide formulators with an entry into other types of chemistry as well. Write or call for more information. And ask about our free sample and formulation suggestions. Call 1-800-328-2811. Or write Elf Atochem North America, Inc., Functional Polymers, 2000 Market Street, Philadelphia, PA 19103. In Europe, call Elf Atochem S.A. at (33) 1 49.00.77.91. © 1993, Elf Atochem NorthAmerica, Inc.
eiF atochem CIRCLE 2 4 ON READER SERVICE CARD
Profit margin8
Return on investment"
Debt as % of debt plus equity
% total sales abroad0
% total assets abroadd
Sales per employee6
Dividends as % of net income
CAPITAL , SPENDING1 As% As% of net of plant sales
R&D as % of sales
Sales as % of assets
Net plant as % of gross plant
82.2% 50.3% 46.6 89.4
Lawter International
1993 1992
14.5% 16.1
10.9% 13.0
3.7% 3.7
45.6% 45.1
26.7% $321 366 27.5
71.7% 65.0
7.5% 4.5
29.3% 20.6
2.6% 2.4
Loctite
1993 1992
11.1 11.9
11.2 12.9
0.8 3.6
54.1 60.4
56.7 64.2
155 165
41.0 36.2
7.6 6.6
28.1 28.9
4.4 4.3
101.6 109.1
58.6 57.1
Lubrizol
1993 1992
7.5 8.1
6.8 8.0
7.0 2.8
55.8 53.0
42.7 39.6
329 335
50.8 44.8
8.4 6.2
29.2 25.5
11.3 5.9
128.3 137.0
40.2 39.2
Monsanto
1993 1992
5.8 4.8
4.2 3.2
34.5 32.1
34.7 36.1
31.1 32.7
263 230
59.8 72.0
5.5 7.5
15.6 19.5
7.9 8.4
91.5 85.4
38.0 39.5
Morton International11
1993 1992
7.0 7.1
6.6 6.5
15.4 15.4
24.2 27.1
20.6 23.6
194 191
29.0 32.2
8.7 9.8
22.0 24.0
3.0 3.0
103.2 96.8
58.2 58.9
Nalco Chemical
1993 1992
11.0 10.5
10.1 9.3
31.4 41.8
35.9 40.7
32.9 31.9
204 205
47.1 47.5
8.5 9.5
21.1 24.6
3.6 3.5
114.6 101.8
49.4 51.1
Olin
1993 1992
1.7 2.3
1.2 1.7
60.9 39.2
7.5 6.5
7.1 9.0
195 176
147.5 105.5
5.4 7.3
14.9 18.5
1.7 1.6
125.5 117.0
35.3 37.5
Petrolitek
1993 1992
5.8 5.2
4.9 4.3
19.7 0
34.2 32.8
24.5 29.3
176 159
61.5 77.2
5.4 5.8
15.2 17.1
3.9 3.8
116.8 131.9
43.0 40.4
PPG Industries
1993 1992
7.1 5.7
5.1 4.1
23.1 23.7
31.8 35.8
30.5 32.4
183 180
54.0 60.5
4.5 4.9
9.2 9.5
3.5 3.5
101.8 102.7
46.1 48.3
Praxair
1993 1992
5.9 3.2
2.6 1.6
60.3 55.2
51.3 57.3
56.0 56.3
145 140
22.4 19.0
9.8 12.8
10.6 14.4
2.4 2.4
74.9 77.9
48.0 50.4
Quaker Chemical
1993 1992
3.1 5.7
3.2 6.6
15.0 15.5
43.6 44.1
36.5 36.8
194 219
90.6 42.1
4.6 3.4
15.8 13.8
5.7 5.2
114.0 127.5
52.8 53.4
Rohm and Haas
1993 1992
5.5 6.9
3.7 4.5
32.4 32.9
41.8 43.4
35.4 32.6
252 221
53.6 41.7
11.7 9.2
20.4 16.0
6.3 6.5
92.8 88.9
50.6 51.0
Sigma-Aldrich
1993 1992
14.5 14.6
12.2 12.8
2.8 3.5
28.3 30.1
29.9 28.5
145 152
13.9 13.6
10.2 4.7
29.2 16.4
na na
98.1 106.3
60.5 57.2
Stepan
1993 1992
2.5 2.4
2.2 2.2
46.2 47.6
16.0 16.1
14.7 13.9
337 331
47.4 40.0
5.8 7.9
15.1 20.5
4.0 2.6
146.0 146.7
44.7 47.4
Sterling Chemicals9
1993 1992
def 1.1
def 0.7
78.5 77.0
23.0 3.1
39.1 39.4
421 351
def 297.3
2.3 3.7
3.9 4.6
na na
96.1 71.7
70.3 77.2
Union Carbide
1993 1992
3.6 2.4
2.3 1.6
39.5 47.3
25.8 27.6
18.5 21.2
356 323
75.2 109.2
8.5 7.4
12.3 11.3
3.0 3.2
99.0 98.6
57.0 55.7
Witco
1993 1992
3.7 3.9
3.8 3.3
41.0 22.0
29.1 22.2
35.9 37.7
261 199
55.9 60.2
4.8 4.2
14.9 10.1
2.3 1.7
116.5 95.4
52.8 56.0
AVERAGE 1993
5.3%
3.6%
38.6%
35.9%
31.7% $226
64.7%
7.9%
15.3%
5.2%
84.7% 48.1%
AVERAGE 1992
5.6%
4.0%
33.5%
36.7%
29.6% $221
58.5%
8.4%
16.7%
4.9%
83.4% 49.1%
Note: Net income is from continuing operations, excluding significant nonrecurring and extraordinary items, a Net income as a percentage of sales, b Net income as a percentage of current assets plus gross plant, c Consolidated sales only, d Foreign identifiable assets as a percentage of total assets, e Thousands of dollars, f Actual spending on new facilities and purchase of land and new equipment in consolidated companies, g Fiscal year ended Sept. 30. h Fiscal year ended June 30. i Fiscal year ended Nov. 30. j Excludes Canada, k Fiscal year ended Oct. 31. na = not available, def = deficit.
JULY 4,1994 C&EN
41
FINANCES OF THE U.S. CHEMICAL INDUSTRY
Chemical capital spending continued to fall in 1993 apital spending declined for the third year in a row at major chemical companies in 1993. Bigbudget projects continued to feel the lingering effects of the 1991-92 recession as capital spending at 24 major chemical makers surveyed by C&EN dropped an average of 10% last year to a collective $6.9 billion. Capital spending as a percentage of sales also declined in 1993 to 8.0%. The last time spending as a percentage of sales was so low was in 1987. The drop in capital spending follows an average 9% decline in 1992 and a 13% cutback in 1991. Still, none of these drops are as large as the 25% downturn a decade ago in 1983 when industry overcapacity and recession forced capital outlays to hit their 10-year low of $4.7 billion. The chemical industry had more than adequate capacity in place as the U.S. came out of recession in late 1992 and early 1993. Because of hefty investments between 1988 and 1990, coupled with falling earnings for the past four years for the industry as a whole, most major chemical
C
try, which also includes manufacturers of pharmaceuticals, soaps, toiletries, and paints. For 1994, the government survey projects an 8% increase in capital outlays for the broadly defined chemical industry. All manufacturing companies increased capital spending 3% in 1993 to $179 billion, the Commerce Department finds. That follows two years of declining overall investment in new plants and equipment. Generally, the turnaround for manufacturing companies coupled with solid evidence of growth in many key markets for chemicals—such as housing and motor vehicles—suggests that the chemical industry, too, may soon increase its capital outlays. A separate Commerce Department survey of capital spending abroad shows that U.S. chemical companies have slowed their capital outlays outside the U.S. as well. Spending declined 2% to $6.2 billion in 1993, following bigger drops of 3% in 1992 and 6% in 1991. The Commerce Department predicts a recovery in 1994, with chemical firms planning to spend $6.6 billion abroad, more than 6% above the 1993 level. The survey also indicates that all U.S. manufacturing firms dropped their overseas capital investment 3% in 1993 to $27.7 billion—a figure that is likely to increase a substantial 9% in 1994.
companies opted to cut back further on building new plants in 1993. Between 1988 and 1990, the major chemical companies invested heavily in their operations. As both profits and demand for products rose during those years, capital spending was increased at double-digit rates. Capital expenditures for the group reached a 10-year peak of $9.7 billion in 1990. The Department of Commerce's survey of the chemical industry, based on a much larger number of companies than those surveyed by C&EN, shows capital spending also declined in 1993. That survey registered a 6% spending decline last year to $21.8 billion. The reason for the discrepancy in the two surveys is that the 24 major chemical companies C&EN monitors are all identified by the Commerce Department as producers of industrial chemicals and synthetic materials. Such producers make up less than half of the companies in the Department of Commerce's survey of the chemical indus-
INDUSTRY CAPITAL SPENDING: Resumed growth for all manufacturing last year $ Billions
All manufacturing Chemicals & allied products Iron & steel Nonferrous metals Paper Petroleum Rubber Stone, clay, glass
1984
1986
1987
1988
1989
1990
1992
1993
1994a
$138.82 15.32
$153.48 16.44
$142.69 16.81
$145.90 16.42
$165.70 19.25
$183.80 18.47
$192.61 20.63
$182.81 21.52
$174.02 23.15
$179.18 21.78
$191.60 23.50
3.54 2.13
4.12 1.88
3.32 1.93
4.69 2.16
6.16 2.77
7.87 2.64
7.78 2.88
6.53 2.81
5.64 2.67
5.60 2.57
7.71 2.24
7.21 25.53 3.11 3.09
8.59 26.71 3.86 3.40
8.77 17.92 3.89 3.14
9.01 17.12 3.52 3.37
11.23 19.93 3.86 3.59
15.58 30.08 3.79 4.00
16.53 34.79 3.48 3.29
11.50 35.59 3.43 2.89
10.53 29.59 3.85 3.36
10.30 28.54 3.30 4.30
10.79 27.95 3.61 4.81
a Estimated. Source: Department of Commerce
U.S. chemical makers decreased capital spending abroad in 1993, but plan increases in 1994 $ Billions8
All manufacturing Chemicals & allied products Metals, primary & fabricated Petroleum
1985
$13.6 2.4 1.0 14.1
$14.9 2.7 0.9 13.7
$16.4 3.1 0.9 9.6
$17.2 3.7 0.8 9.8
a By majority-owned affiliates of U.S. companies, b Planned. Source: Department of Commerce
42
JULY 4,1994 C&EN
$22.4 4.9 1.2 13.3
1989
1990
1991
$28.6 6.4 1.8 14.5
$31.1 6.9 1.9 15.9
$28.5 6.5 1.1 18.6
$28.6 6.3 1.1 18.4
$27.7 6.2 1.2 19.2
$30.1 6.6 1.2 20.8
Chemical capital spending down for third year in a row $ Billions3 10
Capital spending as % of sales3 12 10
8
••.•
8 6 6 4
4
2 0
2 ι
19 83 84
ι
ι
ι
ι
ι
ι
ι
ι
85
86
87
88
89
90
91
92
0 93
1983 84 85 86 87 88 89 90 91 92
93
aW orldwide data for 24 major chemical producers. Sour ce: Compa ny data
CHEMICAL CAPITAL SPENDING: At lowest level in six years for major chemical companies $ Millions
1984
1985
1986
1987
1988
1990
1991
1992
1993
Air Products Cabot8 Crompton & Knowles Dow Chemical DuPontb
$246 80 2 630 888
$263 505 3 781 989
$392 184 3 806 1,176
$367 80 4 890 1,229
$323 83 4 995 1,357
$387 170 7 1,267 1,735
$414 192 13 1,764 2,106
$468 174 16 2,119 2,608
$506 198 11 1,908 2,045
$428 78 13 1,608 2,058
$491 65 14 1,414 1,667
Ethyl H. B. Fuller BF Goodrich W. R. Grace Great Lakes Chemical
85 15 115 353 20
103 13 153 380 29
90 15 202 348 21
134 13 144 199 18
139 30 143 243 35
151 40 181 418 47
119 41 240 485 40
152 31 243 514 49
166 30 219 447 71
157 34 200 398 69
205 42 146 310 69
Hercules Loctite Lubrizol Monsanto Nalco Chemical
168 9 25 560 41
218 10 30 614 53
234 9 40 645 60
257 11 41 520 64
205 17 42 505 57
251 15 55 590 62
293 24 65 607 86
273 29 77 750 115
214 34 82 591 137
150 40 96 586 131
149 46 128 437 118
Olin PPG Industries Petrolite Praxairc Quaker Chemical
123 450 9
165 315 11
154 452 24
128 498 25
115 499 19
147 410 20
142 671 19
187 567 18
177 335 22
—
—
—
—
—
—
—
—
—
2
4
6
5
4
5
8
13
8
173 282 18 333 7
132 258 19 240 9
Rohm and Haas Stepan Union Carbide Witco
72 10 761 55
124 12 670 85
159 19 649 76
179 14 524 60
222 26 502 69
338 20 671 72
385 34 785 70
412 38 744 91
265 34 817 74
283 34 359 73
382 25 395 104
$4,719 $5,530 $5,764 $5,404 $5,634 $7,059 $8,603 $9,688 $8,391 -25% 17% 4% -6% 4% 25% 22% 15% -13%
$7,608 -9%
TOTAL ANNUAL CHANGE
$6,865 -10%
Note: Figures are for worldwide spending on construction, equipment, and land in consolidated businesses. Where possible, acquisition costs and investments in nonconsolidated businesses are excluded. Prior years are not restated to reflect company revisions, a Includes acquisitions and investments, b Excludes Conoco, c Spun off from Union Carbide in 1992. Source: Company data
JULY 4,1994 C&EN 43
R&D share of sales continues to rise at chemical companies $ Billions3
R&D spending as % of sales3 6Γ
[fl
πΠ
1983 84 85 86 87 88 89 90 91 92 93
1983 84 85 86 87 88 89 90 91 92 93
a R&D spending by 15 major chemical producers. Source: Company data
Chemicalfirmshold on to 1992 gains as other companies cut back $ Millions
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
CHEMICAL COMPANIES Air Products8 Dow Chemical Ethylb W. R. Grace Hercules
$40 492 39 73 74
$44 507 40 81 72
$51 547 47 92 76
$61 605 47 94 71
$57 670 50 107 74
$72 772 59 119 74
$71 873 61 125 79
$72 1,136 65 148 92
$80 1,159 69 150 86
$85 1,289 73 151 70
$92 1,256 76 135 76
International Flavors Lubrizol Monsanto Morton lnternationalc,d'e Nalco Chemical
32 37 290 23 30
32 33 370 30 32
34 44 470 25 32
39 51 596 29 33
45 62 615 31 35
50 65 648 35 37
52 70 598 38 41
57 74 612 48 45
62 80 627 59 47
71 90 651 61 48
75 172 626 69 50
49 13
52 12
—
—
Olin Petrolite Praxairf Rohm and Haas Union Carbide TOTAL ANNUAL CHANGE
100 109 245 265 $1,537 $1,679 7% 9%
41 39 12 14 62 58 — — — — — — — 199 205 183 142 175 178 124 156 133 155 139 190 191 181 159 159 148 275 $3,084 $2,844 $3,056 $2,442 $2,796 $2,121 $2,316 $1,882 $1,975 7% 2% 1% 14% 7% 5% 9% 12% 5% 53 12
56 12
62 12
58 12
66 12
66 12
41 11
PHARMACEUTICAL & DIV ERSIFIED COMPANI ES AlliedSignal0 American Cyanamid AT&T Bell Labs Bristol-Myers Squibb Du Pont
$280 208 2,000 301 966
$295 232 1,900 344 1,097
$343 251 1,900 412 1,144
$459 278 2,100 474 1,156
$400 314 2,250 563 1,223
$415 365 2,660 688 1,319
$381 406 2,800 789 1,387
$426 460 2,900 881 1,428
$381 492 3,100 993 1,298
$320 566 3,200 1,083 1,277
$313 596 3,069 1,128 1,132
Eli Lilly FMC IBM Merck & Co. 3M
294 102 2,500 356 396
341 121 3,148 393 454
370 149 3,457 426 520
427 146 3,975 480 586
466 132 3,998 566 650
512 144 4,419 669 721
605 150 5,201 751 784
703 158 4,419 854 865
767 135 5,001 998 914
925 145 5,003 1,112 1,007
955 149 4,431 1,173 1,030
Pfizer PPG Industries Procter & Gambled Schering-Plough Upjohn TOTAL ANNUAL CHANGE
974 757 863 531 640 473 401 230 255 287 336 201 203 220 218 232 233 227 127 204 150 176 861 956 786 693 628 615 327 549 369 479 400 522 578 327 426 380 164 298 145 212 251 175 549 642 407 427 491 247 380 218 284 314 356 $9,510 $10,294 $11,626 $12,346 $13,910 $15,380 $15,452 $16,759 $17,636 $17,327 $8,450 -2°/< 5% 9% 11% 1% 13% 12% 13% 6% 13% 8%
Note: Prior years are not restated to reflect company revisions, a For fiscal year ending Sept. 30. b Beginning in 1989, excludes Tredegar Industries, spun off in 1989. c Includes all company-financed R&D but excludes contract R&D. d Fiscal year ends June 30. e Data for Morton Thiokol prior to 1985. f Spun off from Union Carbide in 1992. Source: Company data
44
JULY 4,1994 C&EN
m
FINANCES OF THE U.S. CHEMICAL INDUSTRY Except for drugs, chemical categories grew less than all manufacturing
$ Billions
1983
1984
1985
1986
1987
1990
1988
1991
1992
% annual change 1992-93 1983-93
1993
All manufacturing $2,070.7 $2,288.2 $2,334.5 $2,335.9 $2,475.9 $2,682.5 $2,792.7 $2,873.6 $2,821.9 $2,934.1 $3,100.7 industries Chemicals & allied 189.6 206.0 204.8 205.7 229.5 259.7 278.1 288.2 289.0 301.5 312.5 products Industrial chemicals 157.3 152.3 156.4 160.9a 119.4 109.1 114.7 112.2 145.5 126.2 156.2 Drugs, soaps & 95.2 101.9 110.4 118.0a 57.7 54.6 61.3 66.4 81.8 74.0 88.0 toiletries Petroleum & coal 172.7 160.4 154.6 147.0 187.8 130.4 184.5 176.6 122.6 131.4 143.7 products Rubber & plastic 101.4 103.6 103.3 104.5 62.9 75.6 72.9 86.6 94.2 98.4 78.4 products Paper & allied 122.6 131.4 131.4 124.4 131.3 129.2 94.7 84.8 95.5 109.0 99.9 products
6%
4%
4
5
3
4 8
7 -2
-5 5
1 4
-2
Preliminary. Source: Department of Commerce
CES Little change for either chemicals or all commodities Producer price indexes, 1982 = 100
Annual average 1989 1988
% annual change 1990
1991
1992
1993
112.2
116.3
116.5
117.2
106.3
111.6
115.8
116.5
105.4
108.0
113.6
119.2
102.5 91.5 107.0 104.4 129.9 80.5 94.2
106.4 95.5 108.1 107.3 139.1 92.7 96.4
116.3 106.8 112.2 115.7 148.4 110.9 104.5
123.0 114.8 119.5 129.1 160.0 95.5 108.7
107.5 105.2
104.4 105.8
110.3 107.0
132.4 111.9
101.9
101.9
103.0
109.3
1983
1984
1985
1986
1987
All commodities
101.3
103.7
103.1
100.2
102.8
106.9
Industrial commodities
101.1
103.3
103.7
99.9
102.6
Finished goods
101.6
103.7
104.7
103.2
Chemicals & allied products Industrial chemicals Prepared paint Paint materials Drugs & pharmaceuticals Fats & oils, inedible Agricultural chemicals & chemical products Plastic resins & materials Other chemicals & allied products
100.2 97.3 100.7 100.3 107.7 106.2 96.0
102.9 96.8 103.7 108.2 114.2 139.1 97.4
103.7 96.0 105.3 109.5 122.2 110.6 96.2
102.4 101.3
108.9 102.7
Rubber & plastic products
100.8
102.2
1992-93
1983-93
118.9
1%
2%
117.4
119.0
1
6
121.7
123.2
124.7
1
2
123.6 113.2 124.8 136.3 170.8 88.1 107.4
125.6 111.8 129.9 135.8 182.6 86.8 111.7
125.9 109.3 131.6 131.1 192.2 93.0 110.3
128.2 110.4 133.2 131.5 200.9 95.6 109.9
2 1 1 0 5 3 0
3 1 3 3 6 -1 1
133.4 117.3
124.1 118.9
120.0 121.5
116.4 123.3
117.1 125.5
-1 2
1 1
112.6
113.6
115.1
115.1
116.0
Source: Department of Labor
Chemical stock prices set new highs in 1993 and early 1994 Stock price index, 1954 = 100a 800 Γ~ 700
r
600
High Close Low
i-m
500
300 200
>r π 1983
^
l4
rfU
400
rt Ι-Γ vr
f,
^
TT Ll· 1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
a C&EN stock price index of Air Products, Dow Chemical, W. R. Grace, Hercules, Monsanto, Rohm and Haas, and Union Carbide, weighted according to number of shares outstanding for each company.
JULY 4,1994 C&EN 45
H
FINANCES OF THE US. CHEMICAL INDUSTRY
Major biotechnologyfirmspost good year
B
iotechnology companies that have major biopharmaceutical products on the market had sub stantially increased sales in 1993. Com bined sales of six industry leaders rose 26% to $2.4 billion. However, 54% of the total sales for the six companies com bined were from two major products sold by Amgen. Four of the six companies reported profits in 1993. A fifth company, Genzyme, posted a relatively small $6 mil lion loss, the net result of R&D acquisi tion and restructuring costs. Similarly, Immunex's $430 million net loss resulted largely from a $346 million charge for acquiring R&D at the time of its merger with Lederle Laboratories' oncology business. Biotechnology is such a young indus
try, however, that many key companies have yet to bring a major product to mar ket or show a profit. C&EN's biotechnolo gy stock index, which includes six firms that do not have major products and five that do, offers some measure of how in vestors feel about the industry as a whole. This index fluctuated from a high of 264 to a low of 163 in 1992. It remained vola tile in 1993 as well. Uncertainties brought about by the specter of health care reform and setbacks for a few major products be ing developed scared investors away from biotechnology stocks. After drop ping 89 points from the start of 1993 to reach a two-year low early in the second quarter, the index recovered most of its losses, ending 1993 just 14 points below where it ended 1992, only to fall again in early 1994.
Biotechnology stock prices remain volatile Stock price index, close 1990 = 100a 280 240
200 160
r „+
*t
h
120 80
1991 b
1992
1993
High
Close
Low
1994
a C&EN biopharmaceutical stock price index of Am gen, Applied Bioscience, Biogen, Centocor, Chiron, Cytogen, Genentech, Genetics Institute, Immunex, Repligen, and Xoma. b Based on Friday close each week, all other years based on daily close.
JITS Sales ιup strongly for major biotechnology companies NET INCOME
%of
Net plant
Net
sales
Net
income
R&D
spending
R&D as % of sales
Total assets
and
equipment
Stockholders' equity
%of
sales
stockholders' equity
$per share
Stock price range, $ per share
Priceearnings ratio
(Money figures in millions of dollars unless otherwise indicated)
Amgen $255.3 1993 ί£1,306.3 $374.6a 182.3 357.6b 1,050.7 1992 C 120.9 97.9 645.3 1991 e d 72.4 3.9 281.4 1990 Biogen $79.3 $32.4 $136.4f 1993 60.4 38.3 121.7f 1992 7.2 56.5f 1991 44.3 f 36.2 7.7 44.9 1990 Chiron $18.4 1993 $147.9 $140.0 142.9 111.6 (95.9)hi 1992g h j (425.2) 79.4 1991 28.2 k 50.2 14.7 4.0 1990 Genentech $457.4 $299.4 1993 $58.9 278.6 391.0 20.8 1992 1991 383.3 221.3 44.3 hJ 1990 367.2 (98.0) 173.1 Genzyme $(6.1)h,m $48.3 1993 $233.9 39.7 39.5n 1992 180.0 27.2 1991 81.1 11.2° h p (27.2) 1990 34.6 18.6 Immunex 1993 $119.1 q $(430.3)h>q-r $72.5q 37.1 (77.6)h,t 1992 51.9 29.4 0.8 1991 34.2 h 23.2 (9.9) 1990 4.9
19.5% 17.4 18.7 25.7
$1,765.5 1,374.3 865.5 459.5
$586.9 426.0 245.7 150.0
$1,172.0 933.7 531.1 309.1
28.7% 34.0 15.2 1.4
32.0% 38.3 18.4 1.3
$2.67 2.43 0.67 0.30
$703/4-311/2 773/4-50 753/4-187/8 213/16-7V2
19.1 26.3 70.6 478.1
58.1% 49.6 78.4 80.6
$357.0 311.2 253.1 158.5
$38.5 32.3 28.7 23.6
$325.2 284.9 239.0 145.7
23.8% 31.5 12.7 17.1
10.0% 13.4 3.0 5.3
$0.93 1.12 0.15 0.07
$47 3 / 4 -24 1 /4 493/4-181/4 49-24V4 293/8-14%
38.7 30.4 244.2 312.5
94.7% 128.0 281.6 341.5
$968.6 712.4 895.3 265.4
$204.0 89.6 78.0 24.5
$522.3 492.9 524.4 120.3
12.4%
3.5%
— —
$85 1 /2-41 1 /8 733/4-343/4 77V2-37V4 443/4-23V2
115.1
— —
$0.55 (3.18) hi (22.12 h-j 0.24fc
65.5% 71.3 57.7 47.1
$1,468.8 1,305.1 1,231.0 1,157.7
$456.7 432.5 342.5 300.2
$1,116.8 1,007.3 949.7 893.2
$0.50 0.18 0.39 (1.05)h
$50 1 /2-31 1 /4 39 1 /2-25 7 /8 361/4-203/4 30 7 /8-20 1 /8
81.8 181.6 73.1
20.6% 22.1 29.1 53.8
$542.1 480.7 390.5 118.1
$196.2 87.9 32.1 29.5
$334.1 322.9 259.9 96.2
$(0.25)h 1.83n 0.50° (1.70)h
$46 1 /4-25 1 /4 66V2-32V2 58 3 /4-23 3 /8 285/8-121/2
60.0%q 71.5 86.0 473.5
$204.1s 235.8 254.0 121.1
$100.5s 97.0 73.1 36.3
$137.9s 134.0 212.2 106.5
27.2
3.3
12.9% 5.3 11.6
5.3% 2.1 4.7
—
—
—
—
21.9% 13.8
12.2% 4.3
—
—
— —
— —
2.3%
0.4%
—
—
hr
$(9.58) (5.21 )h 0.05 (1.10)h
s
$343/4-133/4s
68-22V2 61V2-33V4 40V4-15V2
— —
142.2
— —
27.0 82.1
— — —
947.5
—
a Includes $13.9 million legal award, b Includes $77 million pretax legal award, c Includes $129 million pretax legal assessment, d Figures reflect change in fiscal-year end from March 31 to Dec. 31 that occurred in 1991. e Includes $54.7 million royalty buyout, f Includes royalty income from licensees' sales of several major products, g Includes results of Cetus following Dec. 12, 1991, acquisition, and of Intraoptics following Jan. 8, 1992, acquisition, h Net loss, i Includes $40 million write-off of technologies but excludes $6.7 million loss from retirement of debt ($0.22 per share), j Includes $426 million charge for acquiring Cetus but excludes $100,000 gain for operating loss carryforward ($0.01 per share), k Excludes $2.8 million gain for operating loss carryforward ($0.16 per share). I Includes $167.7 million charge related to merger with Hoffmann-La Roche, m Includes $49 million purchase of R&D and $26.5 million goodwill and restructuring costs, η Excludes $51 million purchase of R&D, $17 million purchase of option rights, and $1.8 million charge for Vivigen acquisition ($3.24 per share), ο Excludes $8.4 million gain for operating loss carryforward ($0.37 per share), ρ Includes $20.8 million purchase of R&D and $9.1 million repurchase option, q Merged June 2, 1993, with Lederle Laboratories oncology business; combined figures for predecessor and successor company, r Includes $346.4 million for acquisition of in-process R&D, $14.8 million for merger costs, and $25.6 million for modified stock option plan, s Merged June 2, 1993, with Lederle Laboratories oncology business; figures for successor company only, t Includes $58.7 million purchase of R&D.
46 JULY 4,1994 C&EN
2
FINANCES OF THE U.S. CHEMICAL INDUSTRY
Explanation of column headings in tables of company results Vear. Data are for calendar year unless otherwise indicated. Data for earlier years are not restated to reflect subsequent acquisitions or divestitures. Net sales. Gross sales, less discounts, allowances, and returns; generally excludes excise taxes and other operating income or revenues. Net sales and other income, less operating costs, nonoperating charges, depreciation, depletion, interest expense, deferred charges, minority interest in income, and taxes. Nonrecurring or extraordinary credits and charges have been excluded in most cases, and are indicated by a footnote. Sum at year's end of current assets, investments, prepaid expenses, net plant and equipment, and other tangible assets. Excludes insofar as possible intangible assets including goodwill, value of patents, and the like. Net plant and equipment. Value at
stock splits, but no adjustment has been made for earlier years as a result of stock dividends or for dilution that might result from the conversion of preferred stock or debt to common stock or the exercise of stock options outstanding. Dividends per share. Cash dividends paid (or declared) on each share of common stock; excludes the value of stock dividends, which are indicated by a footnote. Dividend yield. Dividends per share divided by the average of the high and low prices of the common stock during the year. Stock price range. High-low market prices of common stock during the year, adjusted for stock splits but not for stock dividends. Price-earnings ratio. Average of the high and low prices of the common stock during the year divided by net income per share.
year's end of fixed assets, less accumulated depreciation, amortization, and depletion. Capital expenditures. Total spending during the year for new fixed assets, such as plant, equipment, and land, and for replacement and modernization of facilities. Stockholders' equity. Equity at year's end of preferred and common stockholders, including value of capital stock, capital and earned surplus, and surplus reserves, as well as contingency and miscellaneous reserves for which no definite purpose is stated. Intangible assets are deducted insofar as possible. Net income (breakdown). Percent of sales: net income divided by net sales. Percent of stockholders' equity: net income divided by stockholders' equity. Dollars per share: net income, less preferred dividends, divided by the number of shares of common stock outstanding. All figures are adjusted for
COMPANY RESULTS: About half of chemical firms increased sales in 1993 Year
Net sales
Net income
Total assets
Net plant and equipment
Capital Stockholders' equity expenditures
% of sales
NET INCOME %of stockholders' equity
$per share
Dividend, $per share
Dividend yield, % of price
Stock price range, $ per share
Priceearnings ratio
(Money figures in millions of dollars unless otherwise indicated)
CHEMICALS Air Products 1993a $3,328 1992a 3,217 1991a 2,931 a 1990 2,895
$200.9b 271.0 248.9 229.9
$4,697 $2,705.6 4,420 2,745.7 4,163 2,622.6 3,845 2,485.1
$490.6 427.5 506.4 467.5
$2,037 2,026 1,777 1,634
6.0% 8.4 8.5 7.9
9.9% 13.4 14.0 14.1
$1.76b 2.40 2.22 2.07
$0.89 0.805 0.75 0.69
2.1% 1.7 2.6 2.7
$491/8-37V2 491/2-313/4 37-21 1 / 2 301/2-21V2
24.6 19.4 13.2 12.5
Arco Chemical 1993 $3,192 1992 3,098 1991 2,837 1990 2,830
$214.0 197.0C 188.0 308.0d
$3,502 3,599 3,676 3,739
$2,173.0 2,230.0 2,166.0 1,768.0
$181.0 295.0 435.0 539.0
$1,576 1,630 1,696 1,758
6.7% 6.4 6.6 10.9
13.6% 12.1 11.1 17.5
$2.23 2.05c 1.96 3.21 d
$2.50 2.50 2.50 2.50
5.8% 6.0 6.4 6.8
$471/4-391/4 47V4-36V2 44V4-33V8 44V4-293/4
19.4 20.4 19.7 11.5
Betz Laboratories $63.4e 1993 $685 82.0 1992 707 1991 666 75.5 1990 597 65.5
$517 506 471 421
$300.7 288.4 254.6 233.5
$63.2 74.3 58.4 57.5
$295 293 254 214
9.3% 11.6 11.3 11.0
21.5% 28.0 29.8 30.6
$2.05e 2.71 2.47 2.12
$1.39 1.33 1.20 1.01
2.7% 2.3 2.4 2.7
$6278-^0 661/4-481/4 62-38% 43 1 /4-30 3 /4
24.3 21.1 20.4 17.5
Borden Chemicals & Plastics 1993 $433 $444 ($1.4)f 1992 402 27.1 467 1991 410 51.6 507 1990 421 45.3 544
$306.0 335.1 369.2 395.8
$15.0 10.5 18.0 22.1
$230 261 293 315
6.7% 15.7 10.8
10.4% 17.6 14.4
—
($0.04)f 0.739 1.39s 1.229
$0.789 1.599 1.989 1.959
6.1% 9.0 17.1 19.0
$17 1 /8-8 1 /4 9 2278-123/e 9 14 3 /4-8 3 /e 9 12 3 / 4 -7 3 /4 9
24.1 8.3 8.4
Cabot 1993a 1992a 1991a 1990a
$646.5 703.2 670.4 878.7
$65.0 78.1 198.0 174.4
$363 406 329 466
2.3% 4.0 2.7 4.2
10.3% 15.3 12.1 15.2
$1.80h 3.18 1.69' 2.73
$1.04 1.04 1.04 1.04
2.2% 2.6 3.5 3.3
$561/4-371/4 52V4-28V8 3578-23 37Y2-25
26.0 12.6 17.4 11.4
$1,614 1,557 1,482 1,673
$37.4h 62.2 39.8' 71.0
$1,411 1,467 1,365 1,627
—
—
a Fiscal year ends Sept. 30. b Includes charge for cost of work force reduction of $76.0 million ($0.67 per share), c Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $2.0 million ($0.02 per share), d Excludes net gain from cumulative effect of change in accounting for income taxes of $43.0 million ($0.45 per share), e Excludes net gain from cumulative effects of changes in accounting for health benefits for retirees, pensions, and income taxes of $2.1 million ($0.07 per share), f Net loss, g Per partnership preference unit, h Excludes net loss from cumulative effect of changes in accounting for health benefits of retirees and for income taxes of $26.1 million ($1.39 per share), i From continuing operations; excludes net income from discontinued operations of $9.5 million ($0.45 per share) and net gain on disposition of discontinued operations of $77.9 million ($3.66 per share).
JULY 4,1994 C&EN 4 7
INTRODUCING O N E O F
The Worlds Bejt Performing CHEMICAL COMPANIES. Haven't We Met Somewhere Before? Albemarle...Albemarle...If the name doesn't ring a bell, maybe the name Ethyl will.
They're the people who make petroleum additives for high-performance fuels and engine
oils. Alpha olefins for plastic bags and bottles. Flame retardants for computers and
televisions. Even ibuprofen for those days that are, well, a real headache. Now the
company that produces all these chemical products, and more, will do so as two
companies: Ethyl and Albemarle. Ethyl will continue to produce petroleum additives.
Albemarle will focus on specialty chemicals. With the same dedicated people. The same
uncompromising safety and environmental standards. With better service than ever before
for customers all over the world. Albemarle. For a new company, we really get around.
4 ALBEMARLE" «JSSWc
O R P O R A T I O N
CIRCLE 1 ON READER SERVICE CARD
Net sales
Year
Net income
Total assets
Net plant and equipment
Capital Stockholders' expenditures equity
% of sales
NET INCOME %of $per stockholders' share equity
Divi dends, $per share
Divi dend yield, % of price
Stock price range, $ per share
Priceearn ings ratio
(Money figures in millions of dollars unless otherwise indicated)
Crompton & Knowles $52.0 $558 1993a 43.3a 518 1992 450 1991 35.9 30.0 390 1990
$330 316 276 252
$99.9 98.8 80.2 76.7
$14.3 12.8 11.4 16.4
$207 177 108 87
9.3% 8.4 8.0 7.7
25.1% 24.5 33.2 34.5
$1.00 0.87a 0.73 0.61
$0.38 0.31 0.25 0.195
1.7% 1.6 1.6 2.1
$27V4-175/8 23%-16 201/4-83/s 111/2-65/8
22.4 22.9 21.8 15.0
Dexter 1993 1992 1991 1990
$748 726 721 697
$310.0 298.9 299.3 274.1
$47.0 52.0 61.5 43.9
$244 260 250 278
3.8% 4.0
14.0% 14.7 15.1
$0.88 0.88 0.88 0.88
3.6% 3.6 3.9 4.1
$287/8-203/s 281/8-207/8 261/8-181/2 24V2-18
17.6 15.5
4.6
$1.40° 1.58 (0.29)c 1.74
Dow Chemical 1993 $18,060 $644.0 276.0d 18,971 1992 942.0 18,807 1991 19,773 1,384.0 1990
$21,071 20,978 20,418 19,764
$8,580.0 8,801.0 8,775.0 8,249.0
$1,397.0 1,595.0 1,908.0 2,119.0
$3,600 3,682 5,132 4,539
3.6% 1.5 5.0 7.0
17.9% 7.5 18.4 30.5
$2.33 0.99d 3.46 5.10
$2.60 2.60 2.60 2.60
4.7% 4.6 5.1 4.6
$62-49 627/8-511/4 58-44V8 753/4-37
23.8 57.6 14.8 11.1
DuPont 1993 $37,098 $555.0 975.0e 37,799 1992 38,695 1,403.0 1991 40,047 2,310.0 1990
$36,775 $21,423.0 38,409 21,882.0 35,596 20,610.0 37,332 21,102.0
$3,621.0 4,448.0 5,065.0 5,383.0
$10,952 11,304 16,218 15,622
1.5% 2.6 3.6 5.8
5.1% 8.6 8.7 14.8
$0.81 1.43e 2.08 3.40
$1.76 1.74 1.68 1.62
3.6% 3.5 4.1 4.3
$537/8-441/2 547/8-431/2 50-323/4 423/8-313/s
60.7 34.4 19.9 10.8
$887 951 938 908
$34.1 b 38.2 (7.1 )c 42.1
—
—
—
12.2
Ethyl 1993f 1992 1991 1990
$1,938 2,975 2,575 2,514
$90.0g 269.4h 206.7 232.2
$2,009 9,070 7,785 6,589
$998.3 829.8 766.7 677.0
$205.0 157.4 166.1 151.8
$640 1,267 1,100 947
4.6% 9.1 8.0 9.2
14.1% 21.3 18.8 24.5
$0.76g 2.27h 1.75 1.95
$0.60 0.60 0.60 0.60
2.5% 2.2 2.2 2.2
$307/8-163/4 301/2-233/4 33-22V4 33-20V2
31.3 11.9 15.8 13.7
Ferro 1993 1992 1991 1990
$1,066 1,098 1,057 1,125
$57.5j 58.8 36.5j 19.4
$714 674 668 672
$257.8 227.6 234.7 255.9
$43.7 44.8 39.0 59.7
$305 323 301 292
5.4% 5.4 3.5 1.7
18.9% 18.2 12.1 6.6
$1.83' 1.90 1.16j 0.55
$0.51 0.45 0.43 0.43
1.7% 1.6 2.4 2.7
$343/4-261/8 311/2-231/2 255/8-101/8 191/2-111/2
16.6 14.5 15.4 28.1
$2.7m 4.2 5.3 4.4
$384 468 476 512
$206.1 277.3 294.6 310.0
$39.1 33.6 47.2 64.6
$161 188 188 190
0.6% 0.8 1.0 0.9
1.7% 2.2 2.8 2.3
$0.13m 0.21 0.27 0.22
$0.30 0.30 0.30 0.30
3.2% 2.6 3.0 1.9
$113/4-7V4 147/8-8 125/8-73/4 191/4-115/8
73.1 54.5 37.3 70.2
$41.0n 192.6° 173.1° 155.3
$2,721 2,763 2,753 2,889
$1,390.2 1,502.1 1,484.2 1,507.1
$244.5 314.5 216.8 324.3
$125 156 247 79
1.1% 4.8 4.4 4.2
32.8% 123.5 70.1 196.6
$1.1Γ 5.04° 4.68° 4.30
$53-41V2 53-425/s 515/8-291/2 383/4-253/e
42.7 9.5 8.7 7.5
9.5% 15.0 14.3 12.1
$1.55r 2.55 2.00 1.53
1.5% 1.1 1.4 2.4
$423/4-311/4 531/4-32% 383/8-187/8 191/8-133/4
23.9 16.8 14.3 10.7
— — — —
$233A-161/2 285/8-153/4 243A-87/8 11-4%
19.9 12.7 9.6 2.6
4.7% 4.5 5.3 5.5
$537/8-391/2 166.7 581/8-387/8 — 475/8-36 — 9.2 473/8-291/2
First Mississippi $430 1993k·' 525 1992k k 537 1991 k 498 1990 FMC 1993 1992 1991 1990
$3,754 3,974 3,899 3,722
H. B. Fuller $975 1993q 934 1992q 1991 q 853 792 1990q
$21Τ 35.6 27.7 21.1
$544 543 484 468
$232.5 223.2 207.4 202.3
$41.8 34.4 30.0 31.5
$229 237 194 175
2.2% 3.8 3.2 2.7
Georgia Gulf 1993 $769 1992 779 838 1991 932 1990
$42.2S 46.3 61.5 95.3
$406 419 416 457
$222.8 211.7 220.6 214.7
$29.6 14.3 28.3 58.1
$(111)11 (161) (358)t (424)1
5.5% 5.9 7.3 10.2
$15.3V
$1,781 2,206 2,038 2,198
$836.0 1,215.8 1,171.0 1,109.3
$146.2 200.2 211.2 243.0
$316 583 989 1,200
BF Goodrich 1993u $1,818 1992 2,526 2,472 1991 1990 2,433
(9 > 4 )c,w
(80.6)c 115.8X
0 0 0 0 $0.54 0.46 0.41 0.40
— — — —
$1.01 s 1.18 1.75 3.07
0.8%
4.8%
— —
— —
$2.20 $0.28u (0.69)cw 2.20 c 2.20 (3.50) 2.12 4.20x
4.8
9.6
0 0 0 0
— — —
a Excludes net loss from early extinguishment of debt of $3.0 million ($0.06 per share) and net loss from cumulative effect of changes in accounting for health benefits for retirees of $5.8 million ($0.12 per share), b Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees and income taxes of $9.9 million ($0.41 per share), c Net loss, d Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $765.0 million ($2.82 per share), e Excludes net loss from early extinguishment of debt and from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $4.90 billion ($7.28 per share), f Excludes insurance business, spun off in 1993. In 1992, this business contributed $162.5 million to net income; spin-off reduced stockholders' equity by $677.5 million. Company data for 1992 and earlier years have not been restated, g Excludes extraordinary loss for early retirement of debt of $5.0 million ($0.04 per share), h Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $14.4 million ($0.12 per share), i Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees and income taxes of $20.5 million ($0.70 per share). j Excludes restructuring charge, after taxes, of $31.7 million ($1.11 per share), k Fiscal year ends June 30. I Excludes coal, oil, and certain other technology businesses discontinued in the 1992-93 fiscal year. In the year ending June 30, 1992, these businesses contributed $71.5 million to net sales and decreased net income by $11.9 million. Company data for 1992 and earlier years have not been restated, m From continuing operations; excludes loss from discontinued coal, oil, and other technology businesses of $26.0 million ($1.30 per share), η Excludes net loss for early retirement of debt of $4.7 million ($0.13 per share), ο From continuing operations; excludes loss from discontinued operations of $73.2 million ($1.99 per share), also excludes extraordinary loss for early retirement of debt of $11.4 million ($0.31 per share) and for cumulative effect of changes in accounting for health benefits for retirees of $183.7 million ($4.99 per share), ρ Excludes extraordinary loss from refinancing debt of $9.2 million ($0.25 per share), q Fiscal year ends Nov. 30. r Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $11.7 million ($0.84 per share), s Excludes extraordinary loss for early retirement of debt of $13.3 million ($0.32 per share) and net gain from cumulative effect of change in accounting for income taxes of $13.0 million ($0.32 per share), t Deficit, u Excludes major portion of vinyl business, spun off as a separate company in 1993. In 1992, this business contributed $894.3 million to net sales and decreased income by $79.6 million; spin-off did not affect stockholders' equity. Company data for 1992 and earlier years have not been restated, ν From continuing operations; excludes gain from sale of vinyl business of $113.0 million ($4.40 per share), w Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees of $286.5 million ($11.21 per share), χ From continuing operations; excludes income from discontinued operations of $20.5 million ($0.25 per share).
50
JULY 4,1994 C&EN
|Î2 Year
FINANCES OF THE U.S. CHEMICAL INDUSTRY
Net sales
Net income
Total assets
Net plant and equipment
Stockholders' Capital equity expenditures
% of sales
NET INCOME %of $per stockholders' equity share
Divi dend, $per share
Divi dend yield, % of price
Stock price range, $ per share
Priceearn ings ratio
(Money figures in millions of dollars unless otherwise indicated)
W. R. Grace 1993 $4,408 1992 5,518 1991 6,049 6,754 1990
$134.4a 79.4b 219.2e 202.8
$5,627 $1,454.1 5,300 1,707.9 5,698 2,558.2 5,876 2,462.1
$309.6 398.4 447.0 513.7
$1,036 1,246 1,744 1,562
3.0% 1.4 3.6 3.0
13.0% 6.4 12.6 13.0
$1.46a 0.88b 2.51 e 2.36
$1.40 1.40 1.40 1.40
3.7% 3.6 4.4 5.5
$411/4-345/8 45-32 403/4-233/8 335/8-17
26.0 43.8 12.8 10.7
Great Lakes Chemical 1993 $1,792 $272.8 1,496 1992 232.7 1,308 1991 157.5 1990 1,066 140.8
$1,560 1,432 1,420 1,201
$468.0 429.8 405.6 363.7
$79.3 69.4 71.2 48.6
$916 753 672 538
15.2% 15.6 12.0 13.2
29.8% 30.9 23.4 26.2
$3.82 3.27 2.23 2.00
$0.35 0.31 0.27 0.23
0.5% 0.5 0.6 0.9
$84-64V2 713/8-501/4 58-30% 33%-20%
19.4 18.6 19.8 13.3
Hercules 1993 $2,773 1992 2,865 2,929 1991 1990 3,200
$208.4d 167.9 94.9 96.0
$3,162 $1,309.3 3,228 1,348.3 3,467 1,476.3 3,700 1,449.9
$149.5 150.1 214.5 272.6
$1,368 1,746 1,918 1,942
7.5% 5.9 3.2 3.0
15.2% 9.6 4.9 4.9
$4.86d 3.69 2.01 2.04
$2.24 2.24 2.24 2.24
2.5% $114%-631/4 63%-44% 4.1 50%-31 3 / 4 5.5 41V2-25% 6.7
18.3 14.7 20.4 16.5
IMC Fertilizer Group $897 ($120.0) 1993e 1992e 1,059 90.9h e 1991 95.8 1,131 1990e 1,106 82.6
$2,056 $1,326.5 1,778 1,266.8 1,739 1,220.9 1,144.1 1,585
$106.1 177.7 168.5 94.3
$430 615 699 820
—
—
8.6% 8.5 7.5
14.8% 13.7 10.1
($5.44)f·9 $0.81 4.12h 1.08 1.08 3.85 1.08 3.13
2.3% 2.0 2.3 3.0
$457/8-24% 68-423/e 60-33 393/4-311/8
13.4 12.1 11.3
$39%-33 383/4-311/2 35-23 25-18V4
20.5 23.0 19.7 15.8
—
International Flavors & Fragrances $1,225 1993 $1,189 $202.4 1992 1,126 1,268 176.6' 1,017 1991 168.7 1,217 1990 963 156.7 1,129
$323.4 286.4 289.6 266.9
$82.3 51.1 54.1 42.9
$892 977 960 898
17.0% 15.7 16.6 16.3
22.7% 18.1 17.6 17.4
$1.78 1.53' 1.47 1.37
$1.02 0.93 0.83 0.74
3.3% 2.6 2.8 3.3
International Specialty Products $29.6 $548 1993 $786 571 1992 57.2j 800 k 1991 526 667 50.6
$478.5 452.1 415.3
$62.9 70.5 34.4
$77 46 0
5.4% 10.0 9.6
38.4% 12.4
$0.30 0.57j 0.56
$0.05 0.05 0
12.9% 4.0
Loctite 1993 1992 1991 1990
$523 479 447 458
$164.5 139.0 120.6 104.0
$46.3 40.2 33.5 29.4
$278 305 279 289
11.1% 11.9 12.8 12.1
24.6% 23.7 25.8 23.3
$1.92 1.99 1.91 1.82
$0.79 0.74 0.68 0.59
2.0% 1.6 1.7 2.3
$45%-343/4 50%-39% 50V8-28 30 3 / 4 -20%
20.9 22.7 19.7 13.8
$1,146 1,112 1,154 1,097
$437.6 375.6 380.0 353.6
$127.9 95.8 82.4 77.4
$696 804 777 718
5.6% 8.1 8.4 8.8
12.2% 15.5 15.9 17.7
$1.25m 1.81 1.78 1.77n
$0.85 0.81 0.77 0.73
2.7% 2.7 3.0 3.6
$36%-26% 34%-24% 293A-22 241/2-161/2
25.2 16.4 14.5 11.5
$494.0 $7,451 $2,802.0 (126.0)f-° 8,019 3,005.0 p 7,937 3,362.0 296.0 546.0q 7,811 3,492.0
$437.0 586.0 591.0 750.0
$1,666 1,939 2,364 2,664
6.3%
29.7%
$2.30 2.20 2.045 1.88
3.7% 3.6 3.4 3.8
$75-48% 711/4-493/4 76-46 601/s-383/4
15.1 26.2 11.7
$613 608 561 555
Lubrizol 1993 $1,518 1,545 1992 1991 1,468 1,445 1990 Monsanto 1993 $7,902 1992 7,763 1991 8,864 1990 8,995
$68.3 72.3 71.9 67.4 $85.0m 124.6 123.7 127.Γ
—
3.3 6.1
12.5 20.5
$4.10 (101)f-° 2.33p 4.23q
—
—
—
$93/4_53/4
25.8 21.6 15%-8% 1 16 Vs-11V2 28.3
—
Morton International 1993e $2,310 $126.9r 1992e 2,044 144.5 1991e 1,906 138.3 e 1990 1,639 129.0s
$1,894 1,755 1,563 1,448
$914.3 835.2 722.3 646.2
$201.4 200.1 163.6 113.3
$856 867 741 642
5.5% 7.1 7.3 7.9
14.8% 16.7 18.7 20.1
$2.57r 2.95 2.85 2.68s
$0.96 0.96 0.94 0.86
1.5% 1.6 2.0 2.3
$79%-503/4 64%-513/4 57%-35% 443A-311/2
25.3 19.8 16.3 14.2
Nalco Chemical 1993 1,389 1992 1,375 1991 1,237 1990 1,212
$1,212 1,232 1,186 992
$558.5 533.3 493.6 419.3
$117.8 131.0 136.8 114.9
$438 458 390 410
11.0% 10.5 10.9 10.8
34.9% 31.7 34.5 31.9
$1.88* 1.90 1.78u 1.71
$0.885 0.84 0.83 0.755
2.6% 2.4 2.4 2.9
$37%-301A 40%-30% 42V4-26V8 30%-22
18.1 18.8 19.2 15.4
$152.7* 145.0 134.6U 131.1
a From continuing operations; excludes loss from disposal of cocoa, battery separators, certain engineered materials, and other businesses of $108.4 million ($1.18 per share), b From continuing operations; excludes net loss from discontinued operations of $183.9 million ($2.05 per share) and net loss from cumulative effect of changes in accounting for health benefits for retirees of $190.0 million ($2.12 per share), c From continuing operations; excludes net loss from discontinued operations of $0.6 million ($0.01 per share), d Excludes losses from early retirement of debt and from cumulative effect of changes in accounting for health benefits to retirees and for income taxes of $241.8 million ($5.63 per share), e Fiscal year ends June 30. f Net loss, g Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees of $47.1 million ($2.13.per share), h Excludes net loss from cumulative effect of changes in accounting for income taxes of $165.5 million ($4.12 per share), i Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $6.1 million ($0.16 per share). j Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees of $7.1 million ($0.07 per share), k Became a publicly held company June 21, 1991 ; prior to that was part of GAF; data for earlier part of 1991 are pro forma. I From June 21 only, m Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $39.4 million ($0.58 per share), but includes special charge for shutting down certain manufacturing units and reducing personnel of $86.3 million ($0.83 per share) and a gain from the sale of Genentech stock of $42.4 million ($0.41 per share), η From continuing operations; excludes gain, after taxes, on sale of Genentech stock of $62.9 million ($1.79 per share) but includes charge for write-off of inventories and receivables due from a former affiliate of $9.7 million, ο From continuing operations; excludes income and gain from sale of Fisher Controls of $578.0 million ($4.68 per share) and net loss from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $658.0 million ($4.38 per share), ρ Includes net restructuring expense of $325.0 million ($2.54 per share), q Includes net gain on divestitures of $56 million ($0.43 per share), r Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees and future costs of disability benefits of $94.4 million ($1.91 per share), s Excludes extraordinary net gains of $5.8 million ($0.12 per share), t Excludes net losses from retirement of debt of $10.6 million ($0.15 per share) and from cumulative effect of change in accounting for health benefits for retirees of $56.5 million ($0.81 per share), u From continuing operations; excludes net income from discontinued operations of $3.2 million ($0.04 per share).
JULY 4,1994 C&EN
51
Net sales
Year
NL Industries 1993 $805 1992 893 1991 840 1990 907
Net income
$(83.2)a'b (44.6)a-d (24.0 a>e 93.5f
Occidental Petroleum $74.0g 1993 $8,116 126.0h 1992 8,494 1991 9,498 317.0' 1990 21,694 (1,695.0)a Olin 1993 1992 1991 1990
Total assets
NET INCOME Net plant %of and Capital Stockholders' % of stockholders' $per equipment ιexpenditures equity sales equity share (Money figures in millions of dollars unless otherwise indicated)
$378.6 746.0 738.6 577.1
$48.0 85.2 195.1 195.3
$(280)c (165)c (81 )c 13
$17,123 $14,284.0 17,877 14,051.0 15,763 11,279.0 19,743 13,887.0
$1,083.0 860.0 1,007.0 1,446.0
$3,958 3,440 4,340 4,112
$1,191 1,453 1,808 1,941
Divi dend, $per share
$(1.63) ab 0 (0.88)a,d $0.35 (0.40 a,e 0.60 0.60 719.2% 10.3% 1.42'
— — —
0.9% 1.5 3.3
— — —
1.9% 3.7 7.7
—
—
Divi dend yield, % of price
—
4.1% 4.8 3.5
Stock price range, $ per share
$61/8-33/8 1278-4 16 3 /4-8 1 / 2 243/4-91/4
Priceearn ings ratio
— — —
12.0
$0.129 0.41 h 1.04' (5.82)a
$1.00 1.00 1.00 2.50
$(4.52)a 2.17J 3.32k 4.03
$2.20 2.20 2.20 2.15
4.9% 4.8 5.0 4.8
$50 1 /2-39 7 / 8 543/4-37V4
54-33V2 605/8-281/8
21.2 13.2 10.7
$0.25 0.25°
1.5% 1.6°
$181/4-15 17V8-135/8p
15.7 24.0°
—
—
$62-471/4 595/8-423/4
31.4 20.2 16.6 9.9
5.0% $23 1 /2-16 7 / 8 231/8-153/4 5.1 253/8-16V2 4.8 30V4-173/4 10.4
168.2 47.4 20.1
—
$2,423 2,376 2,275 2,592
$(92.0)a 55.0J 67.0k 84.0
$1,816 1,904 1,880 1,760
$885.0 934.0 899.0 829.0
$132.0 173.0 177.0 187.0
$482 615 534 609
2.3% 2.9 3.2
8.9% 12.5 13.8
Praxair1 1993 $2,438 2,604 1992 2,469 1991
$143.0m 84.0n 107.0
$3,188 3,283 3,417
$2,273.0 2,315.0 2,338.0
$240.0 333.0 417.0
$568 483 616
5.9% 3.2 4.3
25.2% 17.4 17.4
$1.06m 0.64n
Rohm and Haas 1993 $3,269 3,063 1992 2,763 1991 2,824 1990
$126.0q 174.0r 163.0 207.0s
$3,394 3,297 2,867 2,645
$1,869.0 1,768.0 1,470.0 1,390.0
$382.0 283.0 265.0 412.0
$1,311 1,280 1,201 1,176
3.9% 5.7 5.9 7.3
9.6% 13.6 13.6 17.6
$1.74q 2.53r 2.45 3.10s
$1.36 1.28 1.24 1.22
2.5% 2.5 3.1 4.0
Sigma-Aldrich $739 1993 654 1992 589 1991 529 1990
$107.2* 95.5 79.8 71.2
$753 616 597 546
$257.3 188.3 191.7 192.4
$75.2 30.9 26.1 32.5
$591 512 441 368
14.5% 14.6 13.5 13.5
18.1% 18.7 18.1 19.3
$2.15* 1.92 1.60 1.44
$0.30 0.26 0.23 0.205
0.6% 0.5 0.6 0.7
353/8-253/8
23.8 26.3 25.3 21.1
$10.8 10.4U 12.5 14.5
$300 297 271 247
$168.9 167.9 157.1 143.3
$25.4 34.4 33.7 38.4
$104 100 91 83
2.5% 2.4 3.0 3.7
10.4% 10.4 13.8 17.5
$1.92 1.91u 2.30 2.64
$0.81 0.74 0.66 0.58
5 1 2.6% $37 / 8 -25 /8 453/4-26V4 2.1 293/4-213/8 2.6 27 1 /4-16 5 / 8 2.6
16.3 18.8 11.1 8.3
$482 536 361 352
$314.3 343.8 230.6 216.0
$12.2 16.0 34.4 19.9
$13 24 112 108
—
$(0.10)a 0.08w 0.67 1.07
$0.06 0.245 0.65 1.00
1.5% 4.2 11.2 14.4
$165.0X 119.0y (116.0)a 308.0bb
$4,645 4,856 6,705 8,587
$2,420.0 2,539.0 2,499.0 4,325.0
$395.0 359.0 400.0 744.0
$1,384 1,153z 2,118 2,227
$0.75 0.875z 1.00 1.00
3.8% 6.3 5.3 5.1
$23V8-16
$19.8 53.9CC 73.5 68.0
$1,622 1,562 1,129 1,136
$696.5 721.2 474.8 471.0
$103.7 72.6 74.3 90.8
$496 364 556 544
$0.94 0.92 0.89 0.86
3.3% 4.1 4.9 5.6
$32V4-24
Stepan 1993 1992 1991 1990
$439 436 414 390
Sterling Chemicals $(5.4)a $519 1993v 431 1992v 4.5W 543 1991v 36.8 59.1 506 1990v Union Carbide 1993 $4,640 4,872 1992 1 1991" 4,877 7,621 1990 Witco 1993 1992 1991 1990
$2,143 1,729 1,631 1,631
—
1.0% 6.8 11.7
18.8% 32.8 54.6
3.6% 2.4
11.9% 10.3
—
4.0
13.8
$1.00x 0.76y (1.06)a 2.19bb
0.9% 3.1 4.5 4.2
4.0% 14.8 13.2 12.5
$0.46 1.19CC 1.605 1.475
—
—
—
—
48V2-323/4
37-24V4 $58-441/2 59V4-413/4
53-28
$5-31/8
51/8-37/8 7V8-4V2 8 5 / 8 -5V4
17 1 / 8 -10 7 /8 22 5 / 8 -15 1 /8 24 7 /8-14V 8
25V2-20 1
22-14 /2 20-10%
—
71.9 8.7 6.5 19.6 18.4
—
8.9
61.1 19.1 11.4 10.4
a Net loss, b Excludes net loss from retirement of debt of $27.8 million ($0.55 per share) and net gain from cumulative effect of changes in accounting for marketable securities of $1.2 million ($0.02 per share), c Deficit, d Excludes extraordinary net loss from cumulative effect of changes in accounting for health benefits for retirees and other extraordinary items of.$43.5 million ($0.62 per share), e Excludes extraordinary net gain of $7.5 million ($0.13 per share), f Excludes extraordinary net loss of $1.1 million ($0.02 per share), g From continuing operations; excludes net income from sale of coal business of $221 million ($0.72 per share); also excludes net loss from early retirement of debt of $12 million ($0.04 per share), h From continuing operations; excludes net loss from discontinued coal business of $622 million ($2.06 per share); also excludes loss from early retirement of debt of $2 million ($0.01 per share) and from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $93 million ($0.31 per share). I From continuing operations; excludes extraordinary gain on sale of agricultural business of $143 million ($0.48 per share), j Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $46.0 million ($2.11 per share), k Excludes special charge for restructuring of operations of $80 million ($4.24 per share). I Became an independent company on June 30, 1992; prior to that was part of Union Carbide; data for 1991 and the first half of 1992 are pro forma and are not included in Union Carbide data, m Excludes net loss from cumulative effect of change in accounting for future severance benefits for employees of $25 million ($0.19 per share), η Excludes net loss from cumulative effect of changes in accounting for health benefits of retirees and for income taxes of $144 million ($1.10 per share), ο On full-year basis, ρ From June 30 only, q Excludes net loss from cumulative effect of changes in accounting for future costs of disability benefits of $19 million ($0.28 per share), r Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees of $179.0 million ($2.69 per share), s Includes net gain on sale of surfactant and alkylphenol businesses of $26 million ($0.39 per share), on sale of forest property of $20 million ($0.20 per share), and net loss for write-off of intangible assets in electronic materials business of $187 million ($0.27 per share), t Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $10.8 million ($0.22 per share), u Excludes net gain from changes in accounting for income taxes and investment tax credits of $5.4 million ($1.02 per share), ν Fiscal year ends Sept. 30. w Excludes net loss from changes in accounting for health benefits for retirees of $10.4 million ($0.19 per share), χ Excludes net loss from cumulative effect of changes in accounting for future severance benefits for employees of $97 million ($0.64 per share), y From continuing operations; excludes net gain from spin-off of industrial gases business of $67.0 million ($0.51 per share) and net loss from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $361.0 million ($2.73 per share), ζ On June 30, stockholders received one share in the newly formed industrial gases company Praxair for every share of Union Carbide stock; the effect of this spin-off was to reduce Union Carbide stockholders' equity by $733.0 million, aa Excludes industrial gases business, spun off during 1992. bb Includes net loss from sale of 50% interest in carbon product business of $86 million ($0.61 per share) and net gain from sale of other businesses of $80 million ($0.57 per share), cc Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $14.7 million ($0.59 per share).
52
JULY 4,1994 C&EN
2
FINANCES OF THE U.S. CHEMICAL INDUSTRY
Net
Net income
Year
Total assets
Net plant and equipment
Capital expenditures
Stockholders' equity
%of sales
NET INCOME %of $per stockholders' share equity
Dividends, $ per share
Dividend yield, % of price
Stock price range, $ per share
Priceearnings ratio
(Money figures in millions of dollars unless otherwise indicated) PHARMACEUTICALS Abbott Laboratories $7,689 $3,511.0 1993 $8,408 $1,399.1 6,941 3,099.2 1992 7,852 1,239.1 a 6,255 2,662.1 1991 6,877 1,088.7 5,563 2,375.8 1990 6,159 965.8 American Cyanamid 1993b $4,277 ($163.7)cd $5,752 $1,770.3
1992
$3,675 3,348 3,203 2,834
16.6% 15.8 15.8 15.7
38.1% 37.0 34.0 34.1
$1.69 1.47 1.28a 1.11
2,119.8 2,018.9 1,906.0
.$305.5 410.0 392.1 375.5
$1,062 2,518 2,387 2,335
— 7.5% 7.2 2.4
— 15.7% 15.0 4.6
($1.82)cd $1.725 4.35 1.61 3.85 1.46 1.15e 1.35
3.3% $591/4-46 — 2.7 663/8-521/8 13.6 1 2.5 69-48 /2 15.3 2.2 61V2-42 5.3
$6,971 $2,059.8 6,433 1,777.8 5,684 1,476.8 5,354 1,437.4
$517.9 428.1 227.9 247.7
$3,160 2,854 3,046 2,392
17.7% 14.6 19.4 18.2
46.5% 40.3 45.2 51.4
$4.73 3.66f 4.36 3.92g
$2.86 2.66 2.375 2.15
4.6% 3.6 3.6 4.3
$69-551/2 84V4-63V4 861/4-471/e 55-44
13.2 20.2 15.3 12.6
$11,413 $1,959.0 $11,910 $3,374.0 11,727 1,603.0h 10,651 3,141.0 9,246 2,936.0 11,159 2,056.0 9,023 2,631.0
$570.0 647.0 633.0 526.0
$5,749 5,867 5,625 5,226
17.2% 13.7 18.4 17.0
34.1% 27.3 36.6 33.4
$3.80 3.09h 3.95 3.33
$2.88 2.76 2.40 2.12
4.9% $671Λ-507/8 3.7 901/8-60 3.2 893/s-611/e 3.6 68-501/2
15.5 24.3 19.1 17.8
$11,317 $4,406.0 11,168 4,115.0 9,775 3,667.0 9,506 3,247.0
$975.0 1,103.0 987.0 830.0
$4,643 4,455 4,888 4,900
12.6% 11.8 11.7 10.2
38.5% 36.5 29.9 23.3
$2.74 2.46' 4.39 3.43j
$1.01 0.89 0.77 0.655
2.3% $503/8-35% 1.7 583/4-43 1.7 581/8-32Ve 2.1 37-251/2
15.7 20.7 20.7 18.3
$9,624 $4,200.2 8,213 4,072.1 7,873 3,782.5 6,674 2,936.7
$633.5 912.9 1,142.4 1,007.3
$4,164 4,440 4,540 2,998
7.6% 13.4 23.0 21.7
11.8% 18.6 29.0 37.6
$1.67k 2.81 ' 4.50 3.90
$2.42 2.20 2.00 1.64
4.5% $62^5 3.0 873/4-573/4 2.6 847/8-69 2.2 893/4-593/e
32.0 25.8 17.1 19.1
2,446.6m 2,121.7 1,781.2
$13,282 $4,894.6 10,933 4,271.1 9,349 3,504.5 7,873 2,721.7
$1,012.7 1,066.6 1,041.5 670.8
$3,376 4,849 4,767 3,677
20.6% 25.3 24.7 23.3
64.2% 50.5 44.5 48.4
$1.87 2.12m 1.83 1.52
$1.03 0.92 0.77 0.64
2.8% $441/8-255/e 1.9 565/8-401/2 1.9 555/s-273/8 2.4 303/e-223/8
19.5 22.9 22.7 17.3
$657.5 1,093.5n 917.1° 801.2
$9,100 $2,632.5 9,222 2,305.1 9,251 2,381.0 8,553 2,109.8
$634.2 674.2 593.8 547.5
$3,634 4,350 4,643 4,593
8.8% 15.1 13.2 12.5
18.1% 25.1 19.8 17.4
$2.05 3.25n 2.71° 2.38
$1.68 1.48 1.32 1.20
2.6% $755/s-521/2 1.9 87-651/e 2.1 861/e-363/4 3.5 407/s-271/4
31.3 23.4 22.7 14.3
$825.0° 720.4 645.6 565.1
$4,134 $1,967.7 3,967 1,748.5 3,822 1,490.4 3,937 1,284.4
$365.2 403.2 339.4 242.9
$1,399 1,407 1,155 1915
19.0% 17.8 17.9 17.0
59.0% 51.2 55.9 29.5
$4.23° 3.60 3.01 2.50
$1.74 1.50 1.27 1.065
2.8% 2.5 2.4 2.4
$71-51% 701/8-497/e 671/8-403/4 503A-37
14.5 16.7 17.9 17.6
$402.5q 547.2r 537.4 458.1s
$4,816 $1,771.3 4,605 1,670.4 4,147 1,540.7 3,668 1,421.6
$323.5 295.4 258.1 246.8
$2,086 2,016 2,005 1,780
11.1% 15.0 15.8 15.2
19.3% 27.1 26.8 25.7
$2.19q 3.04r 2.96 2.48s
$1.48 1.42 1.26 1.04
4.9% 3.8 3.0 2.7
$35-25% 457/e-295/8 491/4-343/4 445/s-33
13.8 12.4 14.2 15.7
$285.0t 643.7 452.8U 484.9
$4,514 $1,599.3 3,921 1,507.1 3,444 1,350.0 3,100 1,301.4
$347.1 334.3 326.0 239.9
$1,076 1,372 1,013 1,241
4.9% 11.5 9.0 10.3
26.5% 46.9 44.7 39.1
$2.11l 4.78 4.16U 3.61
$2.28 2.04 1.76 1.52
3.4% $763/e-593/4 32.2 3.0 791/4-583/e 14.4 2.4 821/4-613/4 17.3 2.5 703/β-495/8 16.6
5,268
395.1
1991 4,986 358.8 1990 4,570 107.8e American Home Products
1993 1992 1991
$8,305 $1,469.3 7,874 1,150.7f 7,079 1,375.3
1990 6,775 1,230.6g Bristol-Myers Squibb
1993 1992 1991
1990 10,300 1,748.0 Johnson & Johnson
1993 1992 1991 1990
Eli Lilly 1993 1992 1991 1990 Merck 1993
$14,138 $1,787.0 13,753 1,625.0' 12,447 1,461.0 11,232 1,143.0j $6,452 6,167 5,726 5,192
$10,498 $2,166.2
1992 1991
9,663 8,603
1990 Pfizer 1993 1992
7,671 $7,478 7,230
1991
6,950
1990 6,406 Schering-Plough
1993
$491.1k 827.6' 1,314.7 1,127.3
$4,341
1992 4,056 1991 3,616 1990 3,323 Upjohn $3,611 1993 3,639 1992 3,402 1991 3,021 1990 Warner-Lambert 1993 $5,794 1992 5,598 1991 5,059 1990 4,687
5,209 4,838 4,864
$0.68 0.60 0.50 0.42
2.5% $307/8-225/8 2.0 341/8-261/8 1.8 343/4-195/e 2.2 231/4-155/e
$952.7 1,007.2 770.6 641.4
15.8 20.5 21.3 17.5
a Excludes extraordinary net gain on sale of investment in Amgen of $128.2 million ($0.15 per share), b Excludes chemical business, spun off in 1993. In 1992, this business contributed $1,074 million to net sales and $16.0 million to net income; spin-off reduced stockholders' equity by $52.9 million; company data for 1992 and earlier years have not been restated, c Net loss, d From continuing operations; excludes losses from chemical business, spun off in 1993, of $622.2 million ($6.92 per share); also excludes losses from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $322.6 million ($3.70 per share), e From continuing operations; excludes net income from discontinued operations of $245.0 million ($2.56 per share) but includes special net charge of $206.2 million ($2.15 per share) to consolidate product lines, reduce carrying costs, increase environmental remediation costs, and reduce number of employees. f Excludes net loss from cumulative effect of changes in accounting for income taxes and a charge for research acquired from Genetics Institute of $310.1 million ($0.99 per share), g Includes gain on sale of household products and depilatory businesses, before taxes, of $999.5 million, h From continuing operations; excludes net gain on sale of Drackett of $605.0 million ($1.17 per share) and net loss from cumulative effect of changes in accounting for health benefits for retirees of $246.0 million ($0.47 per share), i Excludes net loss from cumulative effect of changes in accounting for health and other benefits for retirees and for income taxes of $595.0 million ($0.90 per share), j Includes charge for damage to operations in Latin America of $125 million ($0.38 per share). k Excludes net loss from cumulative effect of change in accounting for disability benefits for former employees of $10.9 million ($0.04 per share). I Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $118.9 million ($0.40 per share), m Excludes net loss from cumulative effect of changes in accounting for health and other benefits for retirees and for income taxes of $462.4 million ($0.40 per share), η Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $282.6 million ($0.84 per share), ο Excludes special charge for projected payments in connection with potential future Shiley C/C heart valve fractures of $195 million ($0.58 per share). ρ Excludes net loss from cumulative effect of change in accounting for health benefits for retirees of $94.2 million ($0.48 per share), q From continuing operations; excludes earnings from and gain from sale of discontinued agricultural chemical business of $8.8 million ($0.04 per share); also excludes net loss from cumulative effect of several accounting changes of $18.9 million ($0.10 per share), r Excludes net loss from cumulative effect of changes in accounting for health benefits for retirees and for income taxes of $223.0 million ($1.26 per share), s From continuing operations; excludes loss on discontinued operations and their disposal of $2.4 million ($0.01 per share) but includes partial pension settlement net gain of $37.8 million, t Excludes net gain from cumulative effect of changes in accounting for disability benefits of former employees and income taxes of $46.0 million ($0.34 per share) but includes nonrecurring restructuring costs of $525.2 million. u Excludes nonrecurring net charges for restructuring of $418.0 million ($3.11 per share) and for cumulative effect of accounting change of $106.0 million ($0.79 per share).
JULY 4,1994 C&EN 53
m
EMPLOYMENT IN THE U.S. CHEMICAL INDUSTRY
Chemical employment tumbled in 1993 our years of falling earnings and sliding profit margins took their toll on employment in the U.S. chemical in dustry in 1993. After actually increasing through much of the 1991-92 recession, chemical employment started to slip in the early months of last year. By August, staff cuts had be come widespread in the chemical industry, as companies scrambled—usually successfully—to make 1993 more profit able than 1992. By April 1994, after nine consecutive months of decline, the chemicals and allied products industry set a six-year employment low of a seasonally adjusted 1.057 million, ac cording to figures from the Department of Labor. Prelimi nary figures for May show that level unchanged, the first indication that the slide may have ended. If so, the industry's most recent downsizing leaves it with 29,000 fewer employees than it had in August 1992. About 14,000 of those jobs were lost in 1993, most of the rest came in the early months of 1994. As is usually the case in downsizings, job loss in 1993 was not uniform throughout the chemical industry. It was great est at the big commodity chemical makers, particularly those that produce industrial organic chemicals and poly mers. Total employment at 22 of the largest of these firms fell more than 28,000 in 1993. These companies alone cut many more jobs than did the industry as a whole, and thus the total industry decline would have been larger had not other parts of the industry added to their work force. The biggest gainers, by far, were pharmaceutical companies, which increased their employment 3% during 1993. That growth may have ended, however; drug industry employ ment held steady through the early months of 1994. Just what these trends mean for chemists and engineers is
F
By April 1994, jobs in chemical industry had dropped 3%fromtheir 1992 high Millions of employees3 1.09 Γ
1.08
1.07
1.06 1.05 1.00
1990
1993
1992
1991
1994
a Seasonally adjusted employment in U.S. chemicals and allied products industry; April and May 1994 figures are preliminary. Source: Department of Labor
uncertain. The National Science Foundation, which keeps track of the number of scientists and engineers in the chem ical and other industries, has yet to release 1993 data. NSF expects to do so later this summer. As of January 1992, NSF's latest available survey, more than 82,000 scientists and engineers were working in the chemicals and allied products industries, almost 45% of them at drug firms. At that time, science and engineering employment at drug companies was 8% higher than the previous year; it was 6% lower at industrial chemical companies.
INDUSTRIAL EMPLOYMENT: Drugfirmsgrew in 1993 but chemicals, allindustry downsized % annual change Thousands
All manufacturing Chemicals & allied products Industrial inorganic chemicals
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
18,432 19,372 19,248 18,947 18,999 19,314 19,391 19,076 18,406 18,040 17,802 1,043 1,049 1,044 1,021 1,025 1,057 1,074 1,086 1,076 1,083 1,074 151
143
143
135
131
133
135
138
129
136
1992-93
1983-93
-1%
0%
-1
0
135
-1
-1
Plastics materials & synthetics
177
178
172
168
168
177
182
180
178
173
166
-4
-1
Drugs
201
206
206
208
215
228
232
237
247
257
265
3
3
Soap, cleaners & toilet goods
142
146
152
159
160
159
155
154
157
2
1
58
0
0
146
148
60
62
63
63
63
63
62
61
58
58
163
162
160
154
148
146
150
155
155
154
151
-2
-1
Agricultural chemicals
61
61
59
54
51
52
54
56
57
58
56
-3
-1
Miscellaneous chemical products
89
92
94
93
97
100
99
100
97
94
92
-2
0
Petroleum & coal products
196
189
179
169
164
160
156
157
160
158
151
-4
-2
Rubber & miscellaneous plastics products
743
813
818
823
842
866
888
888
862
872
886
2
2
Paints & allied products Industrial organic chemicals
Note: Average annual domestic employment. Source: Department of Labor
54
JULY 4,1994 C&EN
PRODUCTION WORKERS: Declines of recent years halted in 1993 in most chemical fields % annual change Thousands
1983
1984
1985
1987
1986
1988
1989
1990
1993
1992
1991
12,528 13,280 13,084 12,864 12,952 13,193 13,230 12,947 12,434 12,241 12,143
All manufacturing
1992-93
1983-93
-1%
-1%
579
583
578
568
575
596
603
600
580
567
568
0
0
Industrial inorganic chemicals
77
73
72
69
67
69
70
70
64
61
58
-5
-2
Plastics materials & synthetics
115
117
114
113
111
116
119
116
110
104
104
0
-1
112
117
4
2
Chemicals & allied products
Drugs
98
Soap, cleaners & toilet goods Paints & allied products
99
101
102
93
97
102
101
98
95
94
96
2
1
30
31
31
32
31
30
30
30
0
0
82
81
83
86
88
86
81
76
78
3
-1
37
33
32
33
34
34
34
35
33
-6
-1
58
56
54
-4
1
96
95
96
89
93
93
29
30
31
Industrial organic chemicals
84
82
Agricultural chemicals
37
38
Miscellaneous chemical products
51
54
54
53
58
55
105
109
59
59
Petroleum & coal products
118
111
109
106
107
104
102
103
103
103
99
-4
-2
Rubber & miscellaneous plastics products
574
633
632
639
654
675
694
689
663
678
685
1
2
Note: Average annual domestic employment. Source: Department of Labor
WORKWEEK: Unchanged for chemicals overall, shorter at drug companies
EMPLOYMENT OF WOMEN: Decade brings greater numbers to all chemical fields 1982 Thousands
All manufacturing 5,990.0 Chemicals & allied products 279.2 Industrial inorganic chemicals 25.2 Plastics materials & synthetics 40.4 Drugs 85.7 Soap, cleaners & toilet goods 58.4 Paints & allied products 11.6 Industrial organic chemicals 27.4 Agricultural chemicals 10.0 Miscellaneous chemical products 20.5 Petroleum & coal products 31.0 Rubber & miscellaneous 247.8 plastics products
1992 %of total
Thousands
32% 26 16 21 43 41 19 16 15 23 15 34
%of total
5,942.0 334.6 30.3 40.3 116.7 68.8 12.0 31.5 10.4 24.7 26.1 298.2
Hours
1990
1991
All manufacturing
40.8 42.6 42.9 42.5 41.8 40.8 41.9 45.2 44.1 42.4 44.6 41.1
40.7 42.9 43.6 42.6 42.5 40.9 41.8 45.6 44.4 42.3 44.1 41.1
Chemicals & allied products
33% 31 22 23 45 44 21 21 18 26 16 34
Industrial inorganic chemicals
Plastics materials & synthetics Drugs Soap, cleaners & toilet goods Paints & allied products Industrial organic chemicals Agricultural chemicals Miscellaneous chemical products Petroleum & coal products Rubber & miscellaneous plastics products
1993
41.0 43.1 43.5 43.8 42.5 41.3 41.6 45.6 44.5 42.6 43.8 41.7
41.4 43.1 43.8 44.1 41.4 41.9 42.2 45.4 44.7 42.8 44.2 41.8
Note: For production workers in domestic employment. Source: Department of Labor
Note: Average annual domestic employment. Source: Department of Labor
EMPLOYMENT OF SCIENTISTS, ENGINEERS: Gains at drug firms, losses elsewhere in 1992 Thousands
1987
1988
1989
1990
1991
671.0
695.8
708.6
720.2
730.9
704.1
683.7
75.8
75.2
75.8
77.6
78.9
78.8
82.2
30.8
31.8
32.6
33.0
34.0
33.5
34.2
36.9
25.6
23.5
24.9
22.4b
22.5b
23.1 b
23.0b
22.7 b
21.4b
12.1
13.4
16.7
19.1
20.2
20.3
20.5
22.4
21.9
23.9
14.7
13.3
13.5
10.4
9.9
9.5
10.3
10.2
10.0
9.7
1983
1984
1985
509.8
540.9
584.1
622.5
61.6
67.3
69.8
71.1
Drugs & medicines
25.6
28.2
30.8b
Industrial chemicals
25.9
26.6
Other chemicals
10.1 15.6
Total, all industry Chemicals & allied products
Petroleum refining & extraction
Note: Full-time equivalent number of R&D scientists and engineers in industry, as of January of each year, b Partly estimated. Source: National Science Foundation
JULY 4,1994 C&EN 55
1
I
EMPLOYMENT IN THE U.S.CHEMICAL INDUSTRY
CHEMICAL EMPLOYMENT: More than 28,000 jobs cut at major firms in 1993 Thousands
1983
1984
1987
1985
1990
1988
1992
1993
Air Products Betz Laboratories Cabot Crompton & Knowles Dow Chemical
16.7 2.3 7.2 2.4 54.5
17.7 2.5 7.5 2.3 49.8
18.7 2.5 1.1 2.3 53.2
16.6 2.6 6.6 1.3 51.3
12.1 2.0 5.1 1.3 53.1
13.3 3.1 5.2 1.6 55.5
14.1 3.4 5.5 1.7 62.1
14.0 3.7 6.0 1.8 62.1
14.6 4.0 5.3 2.0 62.2
14.5 4.2 5.4 2.2 61.4
14.1 4.1 5.4 2.3 55,4
Ethyl H. B. Fuller BF Goodrich W. R. Grace Hercules
13.0 4.1 29.4 95.5 24.2
11.0 4.3 28.8 102.6 26.3
10.5 4.4 26.2 116.9 25.4
10.5 4.5 11.9 41.4 25.1
10.0 4.6 12.0 39.4 23.2
10.4 5.2 12.3 45.7 22.7
5.5 5.5 11.9 46.4 23.3
5.7 5.6 14.7 49.0 19.9
6.0 5.6 14.4 46.6 17.3
6.3 5.8 13.4 44.1 15.4
5.5 6.0 13.4 34.0 14.1
International Flavors Loctite Lubrizol Monsanto Nalco Chemical
3.7 2.4 4.2 48.8 4.6
3.7 2.5 4.2 50.8 4.8
3.7 2.6 5.2 56.1 5.1
3.8 2.9 4.8 51.7 4.9
4.1 3.2 4.8 49.7 5.1
4.2 3.3 4.8 45.6 5.4
4.2 3.5 5.3 42.2 5.5
4.2 3.7 5.2 41.1 5.9
4.2 3.6 5.3 39.3 6.8
4.2 3.7 4.6 33.8 6.7
4.4 4.0 4.6 30.0 6.8
Olin PPG Industries Praxair8 Rohm and Haas Stepan
18.2 37.0
17.8 37.7
14.9 37.5
13.2 36.5
14.1 36.8
16.4 36.3
15.4 35.5
15.2 35.1
14.4 33.7
—
—
—
—
—
—
—
—
—
11.4 0.9
11.9 0.9
11.8 0.9
12.1 0.9
12.0 1.0
12.4 1.0
13.0 1.2
12.9 1.3
12.9 1.3
13.5 32.3 18.6 13.8 1.3
12.4 31.4 16.8 13.0 1.3
Union Carbide Witco
99.5
98.4 8.5
91.5 8.1
50.3 8.0
43.1 7.8
44.0 7.6
46.0 7.4
38.8 7.3
36.7 6.9
15.1 8.4
13.1 8.2
TOTAL EMPLOYEES ANNUAL CHANGE SALES PER EMPLOYEE ($ thousands)
8.2
488.2 — $112.4
353.2 358.6 343.1 328.7 300.3 360.9 494.0 505.2 344.5 356.0 0.7% -1.5% -2.9% -4.2% -8.6% 1.2% 2.3% -28.6% -4.5% 3.3% $117.5 $104.4 $143.7 $169.3 $191.9 $200.1 $213.1 $204.0 $222.3 $232.6
Note: Data are not restated for acquisitions, divestitures, or similar developments, a Spun off from Union Carbide in 1992. Source: Company data
WAGES: Rising for chemical production workers except at plastics makers Weekly earnings
Hourly earnings
All manufacturing Chemicals & allied products Industrial inorganic chemicals Plastics materials & synthetics Drugs Soap, cleaners & toilet goods Paints & allied products Industrial organic chemicals Agricultural chemicals Miscellaneous chemical products Petroleum & coal products Rubber & miscellaneous plastics products
1990
1991
1992
1993
1990
1991
1992
1993
$10.83 13.54 14.66 13.97 12.90 11.71 11.99 15.97 13.73 12.28 16.24
$11.18 14.04 15.05 14.79 13.49 12.02 12.48 16.54 14.22 12.61 17.04
$11.46 14.51 15.73 15.37 14.11 12.00 12.67 17.29 14.83 13.06 17.91
$11.76 14.84 16.42 15.26 14.70 12.31 12.69 17.67 15.11 13.49 18.55
$441.86 576.80 628.91 593.73 539.22 477.77 502.38 721.84 605.49 520.67 722.30
$455.03 602.32 656.18 630.05 573.33 490.42 521.66 754.22 632.79 533.40 751.46
$469.86 625.38 684.26 673.21 599.68 494.40 527.07 788.42 662.90 556.36 784.46
$486.86 639.60 719.20 672.97 608.58 515.79 535.52 802.22 675.42 577.37 819.91
10.07
10.37
10.60
401.14
413.88
432.43
443.08
9.76
Note: For production workers in domestic employment. Source: Department of Labor
56 JULY 4,1994 C&EN
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