BASF lowers profit forecast again and mulls redundancy of 80 factories

20-Nov-08

As chemical users from automotive, construction and textile industries curtail orders in view of reduced demand triggered by deterioration of the global economy, World Number 1chemical maker BASF SE has reduced once again, its forecast for profits - calling off its objective to match last year's profit. Demand for its products witnessed a major dip since the end of October as customers toil d to get credit and reduced inventories. The premier player is also mulling idling of 80 factories in Germany, Belgium, USA and China to cope with reduced demand. This redundancy will compel almost 20% of its 1,00,000 strong workforce to reduce overtime, work shorter hours and take unused vacation. 40 factories in the company's industrial hometown will be idled, 10 in North America and 15 in Asia.