Omnova Implements Aggressive Cost Cutting

Fairlawn, OH, Jan. 8, 2009--Omnova Solutions said  it has taken cost reduction actions that are expected to provide $19 million of year-over-year savings in 2009.

The provider of emulsion polymers and specialty chemicals said that the actions include aggressive cost reductions company-wide with headcount down 11% in 2008 and early fiscal 2009, as it leverages its investment in a recently implemented enterprise- wide business system.

In addition, it has implemented pricing actions to help offset the raw material inflation, and is trying to reduce raw material costs, led by a reorganized global purchasing team.
 
The company said that the initiatives also included new business wins driven by innovative new products and penetration of adjacent markets where it can leverage its capabilities.