For the second time in less than two years, Dow Chemical Co. is changing its overall business structure.
Midland, Mich.-based Dow, one of the world's largest plastics makers, now will operate with two basic business groups: Basic Plastics & Chemicals and Performance Plastics & Chemicals.
The Sept. 15 move essentially divides oversight of the plastics portfolio between longtime Dow executives Romeo Kreinberg and Michael Gambrell. Previously, Kreinberg had managed both commodity and engineering plastics as the firm's senior vice president of plastics.
Kreinberg, who has been with Dow for 28 years, now will serve as executive vice president for Performance Plastics & Chemicals. In that role, he will work with businesses such as polycarbonate ``which are less cyclical and provide a solid base of earnings throughout the industry cycle,'' Dow officials said in a news release.
Gambrell, a 29-year Dow veteran, had been the firm's senior vice president of chemicals and intermediates, and now is executive vice president for Basic Plastics & Chemicals. That unit includes Dow's major operations in polyethylene, polypropylene and polystyrene. Gambrell's goal is to accelerate development of low-cost feedstock positions, officials said.
Dow also named Phillip Cook corporate vice president of development and new ventures. Cook had been the firm's senior vice president of performance chemicals and thermosets.
In the first half of 2005, Dow's overall sales were up 21 percent to $23.1 billion vs. the year-ago period, while profit more than doubled to $2.6 billion.
Almost half of Dow's first-half sales and 54 percent of its pretax income came from its plastics units.