Houston-based Westlake Corporation is finalizing three of its Louisiana plants, bringing up difficult market conditions.
Operations will end this month, and the closures will remove positions for around 295 workers at its Aberdeen and Lake Charles plants, as per Dec. 15 news launch.
The corporation informed employees Monday of the approaching layoffs, in keeping with a filling with the Securities and Exchange Commission.
The corporation produces chemicals for the production of PVC products including pipe and wire coatings, and for Styrofoam utilized in packaging and food take-out containers.
“Given the continual, challenging marketplace conditions confronting the global commodities chemicals industry, as part of our assessment of business operations, we have made the hard decision to stop operation of 3 units within our North American Chlorovinyls business and end operations of our Styrene production unit, positioned in Lake Charles, Louisiana,” Westlake President and Chief Executive Officer Jean-Marc Gilson stated.
Gilson stated that the corporation will continue to supply its North American customers via its other centers.
The corporations, in line with its SEC filing, anticipate to incur overall pre-tax costs of about $415 million associated to facility closures and about $357 million in write-offs and amortization. The corporation will incur around $33 million in other shutdown-associated costs.
also, the corporation will pays employee severance and separation costs of about $25 million, the filing states.
