Texas Petrochemicals Continues Cost-reduction Measures
January 14, 2009
Texas Petrochemicals, Inc. announced Monday that it sees continued weak demand across its C4 and Performance Product businesses, especially in its largest market, butadiene.
"The severe decline in general economic conditions has negatively impacted both supply and demand for our businesses, especially in the butadiene marketplace," said Russ Crockett, Senior Vice President -- Commercial. "Because of the flexibility in our asset portfolio, we have been working to optimize our physical assets and to reduce our operating costs by temporarily idling various production units at both our Houston and Port Neches facilities while continuing to meet the needs of our customers and suppliers. We also have released a significant portion of the contractor workforce at our facilities to further eliminate costs in these challenging times. At this point, although we have seen some improvement in demand across our business from last month, demand for butadiene has not significantly improved over December's levels. As a result, we will continue to take aggressive steps to reduce working capital, manage costs, and maintain liquidity until conditions improve."
Headquartered in Houston, Texas Petrochemicals Inc. sells products into a wide range of performance, specialty and intermediate markets, including synthetic rubber, fuel additives, plastics and detergents. The Company has manufacturing facilities in the industrial corridor adjacent to the Houston Ship Channel, Port Neches and Baytown, Texas and operates a product terminal in Lake Charles, Louisiana.
Source: Texas Petrochemicals, Inc.
Engineering News Archive