UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
---------------------
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported) 19 March 2001
----------------
Air Products and Chemicals, Inc.
--------------------------------------------------
(Exact name of registrant as specified in charter)
Delaware 1-4534 23-1274455
---------------------------------------------- ------------------------ ---------------------------
(State of other jurisdiction of incorporation) (Commission file number) (IRS Identification number)
7201 Hamilton Boulevard, Allentown, Pennsylvania 18195-1501
------------------------------------------------ ----------
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (610) 481-4911
---------------
Item 5. Other Events.
- ----------------------
Air Products Updates Its Outlook for the March Quarter
LEHIGH VALLEY, Pa. (MARCH 19, 2001) -- Based on current financial data, Air
Products and Chemicals, Inc. (NYSE: APD) today revised its earnings outlook for
the March quarter. The company expects earnings from operations of approximately
53 cents per share. The revised outlook results primarily from a sharper than
expected decline in U.S. manufacturing demand for chemicals and, to a lesser
extent, some industrial gases. The revised earnings estimate excludes a charge
of about 10 cents per share for workforce reduction and asset management costs
related to major work process improvement programs primarily in Europe and in
its chemicals business.
According to chairman and chief executive officer John P. Jones, "Air Products
is experiencing short-term impacts from the weakening U.S. economy. Our
chemicals business has been severely impacted by customer outages, softness in
some end-markets, and lower margins as price increases continued to lag raw
material cost increases."
Despite this quarter's revised outlook, Mr. Jones noted that Air Products'
long-term fundamentals remain positive. "It's been tough to call the bottom of
this cycle, but we are confident our chemicals business will rebound, and our
focused strategies in gases and chemicals will lead to solid future growth.
Gases sales to the electronics market and the chemical and processing industries
remain strong. These key businesses, along with our European and Asian gases
businesses, are performing well. Productivity gains continue across every aspect
of our cost chain, including purchasing, raw material sourcing, distribution,
and overheads."
With regard to the company's outlook for the year, Mr. Jones said, "Uncertainty
about the duration of the external factors driving this quarter's results is
causing us to be more cautious in our outlook." More specific guidance will be
provided when quarterly earnings are released on April 23rd.
Current business information addressing the quarter-to-date period was published
today on the company's website (www.airproducts.com/fin/current_0301.asp).
***NOTE: The forward-looking statements contained in this release are based on
current expectations regarding important risk factors. Actual results may differ
materially from those expressed. Factors that might cause forward-looking
statements to differ materially from actual results include, among other things,
overall economic and business conditions; demand for the goods and services of
Air Products; competitive factors in the industries in which it competes;
whether prices of natural gas and other raw materials fall in the second half of
fiscal 2001; the ability to recover increased energy and raw material costs from
customers; the availability of utilities, particularly in California, to provide
electrical power; changes in government regulation; success of implementing cost
reduction programs; the timing, impact and other uncertainties of future
acquisitions or divestitures; fluctuations in interest rates and foreign
currencies; the impact of tax and other legislation and regulations in the
jurisdictions in which Air Products and its affiliates operate; and the timing
and rate at which tax credits can be utilized.
Media Inquiries:
----------------
Lisa A. Walsh, tel: (610) 481-5784; e-mail: walshla@apci.com.
----------------
Investor Inquiries:
- -------------------
Alexander W. Masetti, tel: (610) 481-7461; e-mail: masettaw@apci.com.
-----------------
2
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
Air Products and Chemicals, Inc.
--------------------------------
(Registrant)
Dated: 19 March 2001 By: /s/ Leo J. Daley
------------------------------------------
Leo J. Daley
Vice President - Finance and Controller
(Chief Financial Officer)
3