Today Dow will close the sale of its rail infrastructure assets at six North American sites; transaction to close three months earlier than planned and demonstrates best-owner mindset and continued evaluation of non-revenue-generating assets across its global portfolio
Dow Inc. (NYSE: DOW) today outlined the series of actions it will take to achieve previously announced structural cost improvement targets and further enhance its long-term competitiveness as the global economy recovers from the coronavirus pandemic.
As announced during the Company’s second quarter earnings on July 23, 2020, Dow is implementing a restructuring program to reduce its global workforce costs by approximately six percent and to rationalize certain manufacturing assets. These actions are expected to result in total annualized EBITDA savings of more than $300 million by the end of 2021.
Manufacturing asset impacts include:
Industrial Intermediates & Infrastructure will rationalize its asset footprint by shutting down certain amines and solvents facilities
Dow Jones Sinks as Analyst Warns on Apple and Microsoft Valuations; Home Depot Stock Slumps on Slowdown Fears
The stock market was broadly lower on Friday, with the Dow Jones Industrial Average (DJINDICES:^DJI) down 0.13% at 12:05 p.m. EDT. The tech-heavy Nasdaq Composite was the worst performer among the major indexes, hurt by an analyst warning about tech stock valuations.
That warning pertained to Dow components Apple (NASDAQ:AAPL) and Microsoft (NASDAQ:MSFT), which are trading at historically high valuations after months-long rallies. Both stocks slumped on Friday, as did shares of Home Depot (NYSE:HD) following a separate analyst warning.
Barclays warns about big tech valuations
Mega-technology stocks like Apple and Microsoft have led the way since the market bottomed out earlier this year in the throes of the COVID-19 pandemic. Shares of Apple are up around 46% year to date, while shares of Microsoft have gained roughly 26% in the same timeframe.
This rally in tech stocks has pushed valuations to historically high levels.