Wall Street expects stronger Q4 but comparisons get tougher

(ICIS) -- Wall Street analysts are expecting mostly higher fourth-quarter 2010 earnings from US chemical companies along with some upside surprises. However, the year-on-year comparisons will be tougher than the second- and third-quarter year-on-year comparisons.

The analyst noted that only a handful of companies were expected to post profit declines - Huntsman, Arch Chemicals, Solutia and DuPont, reflecting specific issues such as a higher tax rate (Huntsman), timing shifts (Arch), the return of incentive compensation (Solutia) and tough comps (DuPont).

US coatings and chemicals producer PPG has already reported an earnings beat, coming in with fourth-quarter earnings per share of $1.25 (┬0.93) versus the consensus estimate of $1.13.

However, shares of PPG ⌠fell 2% post the Q4 release as strong segment results were overshadowed by concerns over rising raw materials and slower China GDP, said Deutsche Bank analyst David Begleiter.

MRC

(prw) -- French construction products firm Groupe VM Materiaux has acquired Canadian PVC and aluminium window manufacturer Fenetres Lapco Inc.

Fenetres Lapco had sales of C$8.5m in 2010. Based in Mirabel, Quebec, it was founded in 1994 by Normand Lapierre, who will work closely with the firms on a consulting basis.

VM Materiaux has interests in concrete, roofing, flooring, frames and equipment. It is based in L'Herbergement, France. The acquisition was effective from 1 January.

VM Materiaux subsidiary Atlantem Industrie made the purchase. VM Materiaux said in a news release that the deal represents its strategy for international development.

MRC

(prw) -- David Jukes replaces John van Osch who is leaving the company to pursue new opportunities. Jukes has spent much of his career in global distribution, living and working in Australia, the US, the Netherlands, and the UK. Most recently, he served as Univar's vice-president of sales and marketing for Europe, the Middle East and Africa, and has been instrumental in implementing the company's pan-European strategy.

Earlier global chemical distributor Univar has signed an agreement to acquire leading Turkish chemical distributor, Eral-Protek. The deal is expected to close in February. The acquisition, together with the Istanbul and Izmir operations of Basic Chemical Solutions, whose global business was purchased by Univar in December, will give Univar a solid local presence in the region.

MRC

(prw) -- BASF has launched the Irgastab 68 stabiliser package, already available in the US, in the European rotational moulding market.

Irgastab 68 offers UV stabilisation and improved melting during moulding, enabling cycle time reduction and operation of ovens at lower temperatures. The broader processing window enables differently sized moulds to be processed at the same oven residence times without over or undercooking parts.

The company says that at oven temperature of 288╟C, a peak internal air temperature (PIAT) of 233╟C is needed to melt 3mm thick PE samples containing conventional stabilisers, but only 210╟C with Irgastab 68. This results in reduced polymer degradation, shorter cycle time and 16% energy saving.

BASF cites the example of an 80-litre tank produced in three-shift operation on a rock-and-roll machine, where reduction of cycle times from 44 minutes to 33 minutes results in a production gain of 10 tanks each day.

MRC

(prw) -- Swiss mold maker Mould Technologies Group is going global with its acquisition of California's Magor Mold Inc, adding it to tooling firms it already owns in Europe and China.

Magor Mold of San Dimas, California, supplies the medical industry, like fellow MTG company Schottli AG of Diessenhofen, Switzerland. The two firms are joined under the MTG umbrella by Suzhou Mould Technology Co. Ltd. of Suzhou, China, which specializes in tooling for caps and closures, thin-wall food packaging and cosmetic packaging.

Magor's president, Wolfgang Buhler, remains as managing director while also serving as a stockholder in MTG. Martin Schottli of Schottli AG is also an MTG stockholder and director of the Swiss company.

MRC