Item 2.05 Costs Associated with Exit or Disposal Activities.
Effective December 9, 2020, the Board of Directors of Venator Materials PLC (the
"Company") approved a plan to implement a restructuring program at certain of
its manufacturing facilities in Germany as part of its recently announced 2020
Business Improvement Program. As a result of the closure, the Company expects to
incur approximately $60 to $80 million of pre-tax charges, consisting of
approximately $35 to $40 million of cash charges that it expects to incur
through 2022, primarily related to employee severance for approximately 280
associates. The remaining costs consist of non-cash charges primarily related to
impairment of fixed assets which the Company expects to incur in the fourth
quarter of 2020. The Company expects the 2020 Business Improvement Program, of
which this restructuring plan is a part, to result in approximately $45 to $50
million of cash charges and approximately $55 million of annual savings once
fully implemented, as disclosed in the Company's third quarter 2020 Form 10-Q.
The foregoing contains statements that are not historical and are
forward-looking statements. These statements are based on management's current
beliefs and expectations. The forward-looking statements are subject to
uncertainty and changes in circumstances and involve risks and uncertainties
that may affect the Company's operations, markets, products, services, prices
and other factors. Significant risks and uncertainties may relate to, but are
not limited to, financial, economic, competitive, environmental, political,
legal, regulatory and technological factors. For information regarding other
factors that could cause the Company's results to vary from expectations, please
see the "Risk Factors" section of the Company's filings with the Securities and
Exchange Commission. The Company undertakes no obligation to revise or update
publicly any forward-looking statement, except as otherwise required by
applicable laws.
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