American Cyanamid Co. reported Thursday it lost $362.8 million in the third quarter, primarily because of charges associated with the spin-off of its Cytec Industries chemical business.
The loss came to $4.04 per share, compared with earnings of $60.9 million, or 68 cents per share, in the third quarter of 1992.
Sales fell 4 percent to $899.4 million from $933.3 million.
American Cyanamid said Tuesday it plans to eliminate 2,500 jobs, or 9 percent of its 27,000-person work force, over the next three years in an effort to cut costs and focus on its core medical and agricultural businesses.
With only 5 percent of its earnings coming from its chemical business, the company decided this summer to spin off Cytec to its shareholders.
American Cyanamid said it took a $325 million after-tax charge in the third quarter to cover the spin-off’s costs. The company also took a $100 million charge for potential environmental remediation costs.
In the first nine months of the year, American Cyanamid lost $1.03 billion, or $11.40 a share, compared with earnings of $323.2 million, or $3.55 a share, in the same period in 1992.
Nine-month 1993 earnings, however, included a $378 million charge for the acquisition of a stake in Immunex Corp. and a $622 million loss from discontinued operations.
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