DuPont said Monday it will close or streamline some of the manufacturing operations of its seeds business, cutting its workforce by 1,500 worldwide.
DuPont said that under the plan it will reinvest all of the $100 million expected savings into its seed business. DuPont expects to record a charge of about $200 million in the fourth quarter of 2006 for restructuring and asset impairments.
“We are aggressively adjusting our capital and resource allocation to the highest value growth opportunities for our customers and shareholders,” said J. Erik Fyrwald, group vice president - DuPont Agriculture & Nutrition.
Dupont said North America seed orders for 2007 planting "are very strong," and the company expects sales of corn hybrids with “triple stacks” to be 10 times higher than 2006, significantly increasing revenue per acre.
In Latin America, total Agriculture & Nutrition sales exceeded the $1 billion mark for the first time in 2006 on the strength of gains in corn, soybean, crop protection and soy protein products in Brazil and elsewhere.