PolyOne Corp. Chairman and CEO Stephen Newlin had a much better time at his firm's 2010 annual meeting than he did at the same event in 2009.
Our 2009 results are a real pleasure to report on, Newlin said at the 2010 annual meeting, held May 12 in Westlake.
PolyOne an Avon Lake, Ohio-based firm that ranks as North America's largest compounder on Feb. 4 reported a full-year 2009 profit of almost $68 million. The firm had reported a loss of almost $273 million in 2008. The improvement occurred even as the firm's 2009 sales fell 25 percent to about $2.1 billion.
In late 2008 and for much of 2009, makers of plastics and of most other materials as well struggled as the global economic crisis sapped demand. Business particularly was weak in automotive and construction PolyOne's largest end markets.
We were confronted with the most difficult business decisions of our lifetimes, Newlin said May 12. Full year results were solid on their own merits, but we were particularly pleased in the context of the problems we confronted.
That progress carried over into the first quarter of 2010, as PolyOne's sales grew 36 percent vs. the year-ago quarter to $630 million. The firm also reported a first-quarter profit of more than $18 million after losing almost $18 million in the same quarter in 2009.
The turnaround also has been reflected in PolyOne's per-share stock price, which was under $3 a year ago, but closed near $11 on May 11.
Officials at PolyOne also made some tough choices in 2009, as the firm closed a PVC compounding plant in Niagara, Ontario, and eliminated 370 jobs throughout the company. But by year's end, the recovery allowed PolyOne to purchase medical compounder New England Urethane Inc. in a $12 million deal.
PolyOne also introduced a Lean Six Sigma quality control program in 2009.
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