CHEMICAL GIANT ENTERS CHAPTER 11

Bankruptcy's effect on Houston operations of LyondellBasell unclear

By BRETT CLANTON Copyright 2009 Houston Chronicle

Jan. 6, 2009, 5:20PM

Chemical giant LyondellBasell Industries filed for Chapter 11 bankruptcy protection today and warned more job cuts may be on the way as the company restructures.

Reeling from plummeting sales and crushing debts, the Dutch company filed in U.S. Bankruptcy Court in the Southern District of New York just a year after a major merger made it one of the world's biggest chemical makers.

Volker Trautz, the company's chief executive, cited "a dramatic softening in demand" along with "unprecedented volatility" in costs. He also said December was particularly difficult because customers pulled back sharply, although LyondellBasell expects sales to improve in 2009.

 

LyondellBasell has about 4,500 employees and 2,600 contractors throughout the Houston area.

Production sites

Area manufacturing facilities produce transportation fuels and a range of building-block chemicals found in everyday consumer goods.

• Houston Refining, fuel products
• La Porte, olefins, polymers, VAM
• Bayport Polyolefins, polypropylene
• Bayport Choate, propylene oxide
• Bayport Underwood, ethylene oxide
• Channelview North, olefins / petrochemicals
• Channelview South, propylene oxide / chemicals
• Chocolate Bayou North, olefins
• Chocolate Bayou South, polyethylene

Other

• Business offices, downtown at One Houston Center
• Data center, The Woodlands
• Mont Belvieu Storage and Terminal
• Chocolate Bayou Pipeline Control Center

 

Read full article: http://www.chron.com/disp/story.mpl/business/energy/6196015.html