MIDLAND, Mich., Feb. 4, 2011 /PRNewswire-FirstCall/ --
Dow Corning Corp. today announced its results for the fourth
quarter and full year of 2010. Dow Corning's sales of
$6.00 billion and net income of
$866 million were both records for
Dow Corning. Additional information about the financial
results:
(Logo: http://photos.prnewswire.com/prnh/20110204/DE41986LOGO
)
Fourth Quarter Results
- Sales were a record $1.58 billion, 7 percent higher than last
year.
- Significant growth in Asia and
Latin America resulted in record
sales for these geographic regions.
Annual Results
- Sales were a record $6.00 billion, 18 percent higher than last
year.
- Record sales across all developing geographic regions
contributed to the sales growth.
- Net income was a record $866
million, an increase of 45 percent from last year.
- Adjusted net income was $724
million, an increase of 29 percent from last year.
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Q4
2010
|
Q4
2009
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%
Change
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2010
|
2009
|
%
Change
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|
Sales (in billions)
|
$ 1.58
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$ 1.47
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7 %
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$ 6.00
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$ 5.09
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18 %
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Net Income (in
millions)
|
$ 251
|
$ 289
|
-13 %
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$ 866
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$ 598
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45 %
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Adjusted Net Income* (in
millions)
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$ 165
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$ 197
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-16 %
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$ 724
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$ 563
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29 %
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|
*Adjusted Net Income is a
non-GAAP financial measure which excludes certain unusual items.
The reconciliation between GAAP and non-GAAP measures is
shown in the table following the news release.
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Comments from Dow Corning's Executive Vice President and Chief
Financial Officer J. Donald Sheets:
- "2010 was an excellent year for Dow Corning, especially given
the economic volatility which continues to impact some industries
and regions. Our ability to achieve record sales in this
economic environment is indicative of Dow Corning's innovative
product portfolio, expanded geographic footprint and effective
business model."
- "Dow Corning's silicones business continued to grow, especially
in electronics, life sciences, solar and industrial applications.
Our strong performance in silicones is a direct result of Dow
Corning's ability to deliver innovative silicone-based solutions
and reach new geographic markets through our two-brand
strategy."
- "Our polycrystalline silicon business through Hemlock
Semiconductor Group had another solid year as new capacity came
online in 2010. The expansion activities at Hemlock
Semiconductor's Michigan and
Tennessee facilities continue and
are expected to be completed as scheduled."
- "As the global economy continues to recover, rising raw
material and energy prices will present us with some additional
challenges in 2011."
- "Dow Corning and Hemlock Semiconductor are well positioned for
continued growth with several capital projects complete or underway
to boost our manufacturing capacity and research and development
capabilities globally."
About Dow Corning
Dow Corning (www.dowcorning.com) provides performance-enhancing
solutions to serve the diverse needs of more than 25,000 customers
worldwide. A global leader in silicones, silicon-based technology
and innovation, Dow Corning offers more than 7,000 products and
services via the company's Dow Corning® and XIAMETER®
brands. Dow Corning is equally owned by The Dow Chemical Company
(NYSE: DOW) and Corning, Incorporated (NYSE: GLW). More than half
of Dow Corning's annual sales are outside the United States.
About Hemlock Semiconductor Group
The Hemlock Semiconductor Group (Hemlock Semiconductor) is
comprised of two joint ventures: Hemlock Semiconductor
Corporation and Hemlock Semiconductor, L.L.C. The companies
are joint ventures among Dow Corning Corporation, Shin-Etsu
Handotai, and Mitsubishi Materials Corporation. Hemlock
Semiconductor is a leading provider of polycrystalline silicon and
other silicon-based products used in the manufacturing of
semiconductor devices, and solar cells and modules. Hemlock
Semiconductor began its Michigan
operations in 1961 and broke ground at its Tennessee location in 2009.
Dow Corning
Corporation
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Selected
Financial Information
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(in millions
of U. S. dollars)
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(Unaudited)
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Consolidated
Income Statement Data
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Three Months
Ended December 31,
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Twelve
Months Ended December 31,
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2010
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2009
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2010
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2009
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Net Sales
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$ 1,584.3
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$ 1,468.1
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$ 5,997.3
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$ 5,092.5
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Net Income
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Attributable to Dow
Corning
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$
251.0
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$
289.0
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$ 866.0
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$
598.1
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Adjustment for AEMC(1),
net
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$
(2.4)
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$
-
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$
(58.3)
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$
-
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Adjustment for Tax
Benefit(2)
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$
(84.1)
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$
(63.0)
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$
(84.1)
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$
(63.0)
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Adjustment for Restructuring(3)
, net
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$
-
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$
3.8
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$
-
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$
61.4
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Adjustment for Bargain
Purchase(4)
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$
-
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$
(33.3)
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$
-
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$
(33.3)
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Adjusted Net
Income(5)
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$
164.5
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$
196.5
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$ 723.6
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$
563.2
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(1)
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Fiscal year 2010 included a tax
benefit related to Advanced Energy Manufacturing Credits, net of
the noncontrolling interests' share.
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(2)
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Fiscal year 2010 included a tax
benefit related to the 4th quarter start up of operations in
China.
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Fiscal years 2010 and 2009 also
included a tax benefit associated with foreign
dividends.
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(3)
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Fiscal year 2009 included
charges related to the Company's restructuring
program.
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(4)
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Fiscal year 2009 included a
bargain purchase gain related to an acquisition.
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(5)
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Adjusted Net Income is a
non-GAAP financial measure which excludes certain unusual items and
which reconciles to Net Income as shown.
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Consolidated
Balance Sheet Data
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December 31,
2010
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December 31,
2009
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Assets
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Current Assets
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$
4,624.6
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$
3,579.2
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Property, Plant and Equipment,
Net
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6,120.7
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5,049.8
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Other Assets
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1,903.1
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2,194.3
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$
12,648.4
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$
10,823.3
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Liabilities and
Equity
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Current
Liabilities
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$
2,287.8
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$
1,926.0
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Other Liabilities
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6,862.8
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5,850.8
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Equity
|
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3,497.8
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3,046.5
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$
12,648.4
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$
10,823.3
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SOURCE Dow Corning Corp.