Midland, MI, Jan. 30--Dow Chemical had a net loss of $809 million, or $0.89 a share, compared with a net loss of $37 million, or $0.04 a share, a year ago. Excluding one time items, Dow reported a loss of $0.18 a share during a quarter when the industry continued to suffer from high inventories and a downturn in demand from the manufacturing sector, which uses chemicals in everything from paint to toothbrushes.
"This has been a very disappointing quarter," William Stavropoulos, Dow's chief executive, said in a statement. "It highlights the urgent need for a more disciplined and focused approach to cost control and the continued requirement to increase prices to offset higher feedstock and energy costs."
Also during the quarter, CEO Michael Parker was removed after a disappointing two year performance at Dow. Stavropoulos, who ran Dow before the takeover of Union Carbide, replaced him.
Wall Street analysts had expected Dow to report results between a loss of $0.05 and a profit of $0.05 a share, with a consensus estimate of break even, after a sharp rise in energy costs late in the year. Dow and other companies use components or crude oil and natural gas as key feedstocks in their chemical and plastic production.
Dow's revenue rose to $6.91 billion, up 9%, on higher prices and volume.
