Solvay: to book E1.5bn in asset impairments

(CercleFinance.com) - Solvay announced on Wednesday that it plans to make an asset impairment, which will not impact its cash flow, of about 1.
5 billion euros following the deterioration of its results resulting from the Covid-19 crisis.

The chemicals group, which indicated that a review of its assets is underway, pointed out that about 80% of this amount relates to an impairment of goodwill on the acquisition of the US company Cytec.

Solvay says that the remaining 20% relates to various tangible and intangible assets.

In a statement, the chemist explained that its activities linked to the oil and gas, automobile and aeronautics sectors have been hit the most, with sales falling by about 40%.

However, its mining activities, as well as those in the building/construction sector, have limited their decline to around 20%.


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