Rumors of BASF plant closures unfounded
Rumors that the Polish operations of German chemical firm BASF (http://www.basf.de/en/news/presse/p+205.htm) would be hit by the company's plans to trim its production capabilities are groundless, the company said last week.
BASF plans to close 10 sites and 14 factories worldwide after it forecast low operating profits. Citing "high raw-material prices, weaker signs of growth in Europe and no indication of an economic upturn in the United States," BASF said it expected no growth in its second-quarter operating profits.
Wojciech Kulma, BASF's spokesman in Poland acknowledged there were rumors related to the company's recent profit warning, but said Poland would "definitely" not see any closures since operations in the country are fairly young.
BASF established a base in Poland in 1990 and employs 230 workers, with 100 in sales offices in Warsaw, Lodz, Katowice and Poznan and 130 in its Kutno plant, which manufactures feed additives for animals.
The company has yet to announce which locations it will shut down. Felix Gress, the director of communications at BASF Group's headquarters in Ludwigshafen, Germany, did not return phone messages.
Following the release of its first-quarter financial results in April, BASF predicted a significant increase in operating income in the second quarter. In 2000, BASF employed 103,000 workers worldwide and had sales worth some E36 billion.
