(Reuters) - Dow Chemical Co , the largest chemical maker in the United States, said on Tuesday it plans to cut 5 percent of its workforce and shutter 20 plants as part of a restructuring program aimed at countering a slow global economy.
Dow and other chemical companies face slipping demand for products around the world. Rival DuPont
"The reality is we are operating in a slow-growth environment in the near-term and, while these actions are difficult, they demonstrate our resolve to tightly manage operations..." Andrew Liveris, Dow`s chairman and chief executive, said in a statement.
The company, which hopes to save $500 million a year, said the cuts will result in a loss of around 2,400 positions worldwide.
Dow also plans to pare capital spending and investment in programs that are no longer a priority. It said those cuts should save it an additional $500 million.
Dow said it will take fourth-quarter charges of around 50 cents to 60 cents per share for asset impairments and write-offs, severance and other costs related to the measures.
Shares of the company's stock inched up 9 cents to $45.34 after the close of regular trading.
(Reporting by Anna Driver in Houston and Michael Erman in New York; Editing by David Gregorio)
