DuPont Holds Steady in 2012, but Sees Potential in Agriculture Segment in 2013

---

Researched by Industrial Info Resources (Sugar Land, Texas)--E.I. du Pont de Nemours and Company (NYSE:DD) (DuPont) (Wilmington, Delaware), a leading chemical technology company, reported mixed results for fourth-quarter and full-year 2012. For the year, DuPont saw a 3% growth in revenue from continuing operations. Large drops in demands in the titanium dioxide and photovoltaic materials product groups were balanced out by double-digit increases in the Agriculture and Performance Materials segments, leaving DuPont with a nearly flat growth in revenue for the year.

During the final quarter of the year, DuPont's consolidated net sales were $7.3 billion, which was basically unchanged from fourth-quarter 2011. The Agricultural segment grew 11% in the fourth quarter, equal to a 3% volume increase, partly driven by lower seed costs. Geographically, Latin America has the highest volume growth with 8%, followed by 6% in the Asia-Pacific region. Developing markets represented an 8% increase in sales for the quarter. Declining demand and prices of titanium dioxide continued to counteract the increases in the Agricultural segment throughout the quarter.

Industrial Info is tracking 21 capital projects totaling approximately $1 billion in spending at DuPont plants worldwide. The most significant of these projects is at DuPont's plant in Altamira, Mexico, where the company is constructing a new unit to produce 200,000 tons per year titanium dioxide, with an investment of $500 million. This project started construction midway through 2012 and was expected to begin production in early 2014. Due to the weak demand and falling prices of titanium dioxide, the unit's startup could be delayed by a year, with hopes the market will begin to stabilize.

Also, the DuPont Health and Nutrition plant in Terre Haute, Indiana, is nearing completion of a $10 million expansion to increase capacity of the food additive polydextrose. This plant was acquired by Danisco, a specialty food ingredients business, in 2012. Partially due to the integration of Danisco into DuPont's health and nutrition segment, the division increased 3% in sales to $853 million and a 3% increase in volume over the fourth quarter of 2012.

Looking ahead to 2013, DuPont is expecting sales of $36 billion, with operating earnings increasing 2% to 7% from 2012. This increase breaks down to favorable growth in all segments, excluding the Performance Chemicals division, which includes titanium dioxide. The positive outlook is in part due to DuPont's stronger position in several divisions, such as agriculture, food, automotive and energy, and as well the company's efforts to deliver new products to the market.

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, and eight offices outside of North America, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.