About Huntsman Corporation
Chemistry is key to any successful relationship, and good chemistry is what Huntsman is all about. Huntsman International operates in five business segments: polyurethanes, advanced materials, textile effects, performance products, and pigments. The company manufactures surfactants (used in cleaning and personal care products) and performance chemicals like polyurethanes, propylene oxides, and propylene glycol. Its polyurethanes segment is the company's largest, representing 39% of 2011 sales. Huntsman ranks among the largest makers of titanium dioxide, the most commonly used white pigment, with 15% of the world market. Huntsman International operates the business of parent Huntsman Corporation.
The company is a manufacturer and marketer of a broad range of polyurethane chemicals, including methyl di-p-phenylene isocyanate (MDI) products, and polyols. Polyurethane chemicals are used to produce rigid and flexible foams, as well as coatings, adhesives, sealants and elastomers. They focus on the higher-margin, higher-growth markets for MDI and MDI-based polyurethane systems.
The performance products segment is organized around three market areas: performance specialties, performance intermediates, and maleic anhydride and licensing, and serves a wide variety of consumer and industrial end markets.
The advanced materials segment is a leading global manufacturer and marketer of technologically advanced epoxy, acrylic and polyurethane-based polymer products.
The textile effects segment is the leading global solutions provider for textile chemicals and dyes in our chosen markets. The company's textile effects enhance the color of finished textiles and improve such performance characteristics as wrinkle resistance and the ability to repel water and stains.
The pigments segment is focused on working with customers to create innovative solutions. It is one of the world's largest producers of titanium dioxide, used to make white paper.
Huntsman operates five primary polyurethanes manufacturing facilities in the US, Europe, and China. It also operates 15 polyurethanes formulation facilities, which are located in close proximity to their customers worldwide. The performance products segment has the capacity to produce more than 7 billion pounds annually of a wide variety of specialty, intermediate and commodity products and formulations at 19 manufacturing locations in North America, Europe, Africa, the Middle East, Asia and Australia.
Huntsman's advanced materials segment operates synthesis, formulating and production facilities in North America, Europe, Asia, South America and Africa. The company's pigments business has seven manufacturing sites operating in seven countries with a total capacity of 565,000 tonnes per year. Approximately 72% of its titanium dioxide capacity is located in Western Europe.
The textile effects segment operates synthesis, formulating and production facilities in North America, Europe, Asia, and South America.
Sales and Marketing
Huntsman uses its own direct sales force, specialist distributors to augment, sales effort in niche markets and applications, as well as mass general distribution channels to sell its products, distributors and agents, and company's global sales group market for certain segments.
The company's global sales group markets polyurethane chemicals to more than 3,500 customers in more than 90 countries.
It conducts sales activities of performance products, advanced materials, and other products through dedicated regional sales teams in the Americas, Europe, Africa, the Middle East, Asia, and Australia.
Major customers include Akzo Nobel, CertainTeed, Chevron, Dow, Monsanto, and PolyOne.
Huntsman's revenues increased by 21% in 2011 due to higher average selling prices in all of its segments, driven by higher raw material costs, improved demand and the strength of major European currencies against the US dollar, as well as higher sales volumes in all of its segments. For polyurethanes MDI, sales volumes increased primarily in response to improved demand in the insulation, automotive, and composite wood panels sectors and methyl higher tertiary butyl ether sales volumes primarily due to a planned maintenance outage at company's Port Neches, Texas facility during 2010. Performance products' sales volumes increased mainly due to higher demand for ethyleneamines and ethylene glycol.
The company's net income increased by 41% in 2011 due to higher revenues, a decrease in equity in income of investment in unconsolidated affiliates for 2011, and a drop in the loss on early extinguishment of debt for 2011 as a result of higher net repayments of indebtedness in 2010.
Huntsman has seen an upward trend in revenues since 2009 mainly due to higher average selling prices and higher sales volumes in all segments as the result of increased demand across almost all product groups thanks to a worldwide economic recovery.
Huntsman announced a major restructuring of its Textile Effects unit in Switzerland in 2011, part of its strategy to improve its global competitiveness. The company planned possible closures and layoffs that could affect its workforce in Basel. Restructuring was projected to be completed by the end of 2013.
In 2010 Huntsman acquired the chemicals business of Laffans Petrochemicals in Ankleshwar, India. Laffans, which manufactures amines and surfactants, was integrated into the performance products division and will bolster Huntsman's growth strategy in Asia.
The company is a subsidiary of Huntsman Corporation.
Founder and chairman Jon Huntsman, a cancer survivor, has directed hundreds of millions of dollars of company profits and his own money to educational and charitable causes and medical research. He donated $100 million to fund the Huntsman Cancer Institute at the University of Utah.
His son Jon Huntsman Jr. was elected governor of Utah in 2004. The younger Huntsman was a director of Huntsman International and had been chairman and CEO of Huntsman Family Holding Co., which is one of the larger stakeholders in the Huntsman companies. Jon Huntsman Jr. resigned that position and placed his ownership stake in a blind trust for the duration of his term. In 2011 he resigned as the US ambassador to China to make a run (unsuccessfully) as a candidate for president. – less