Lanxess, the Germany-based producer of chemicals, plastics and rubber materials, said first-quarter profit plummeted 87 percent because of weak demand especially in the European car market, which is experiencing record-low sales.
Profit dropped to 25 million euros ($32.9 million) from 192 million euros ($252.8 million) in the first quarter of 2012.
Global sales fell 12 percent, to 2.1 billion euros, from 2.4 billion euros a year ago.
In North America, where Lanxess maintains its headquarters in Findlay, sales dropped by 23 percent to 327 million euros.
Lanxess chairman Axel Heitmann said the company is considering job cuts and plant closures to control costs and will reduce its capital expenditures budget for the year. It already directed some plants to close temporarily including one in Orange, Texas, which re-opened last month, and one in Belgium.
Lanxess employs about 350 in the Pittsburgh region at its North American headquarters and at plants on Neville Island and in Burgettstown, Washington County.
Joyce Gannon: email@example.com or 412-263-1580.