NEW YORK, June 8 /PRNewswire-FirstCall/ -- DuPont (NYSE: DD) Senior Vice President and Chief Financial Officer Nicholas C. Fanandakis said the company has clear plans to achieve aggressive growth through 2012. Fanandakis made his remarks at the J.P. Morgan Diversified Industrials Conference.
"We have a razor-like focus on the key elements for long-term growth," said Fanandakis. He noted the company's priorities are providing solutions to significant issues facing the world including increasing food production, decreasing dependence on fossil fuels, protecting people and the environment; delivering increased penetration in emerging markets; and driving cost and productivity improvements.
"DuPont has a unique capability through our market-driven science to meet demand driven by megatrends and therefore capitalize on these opportunities," said Fanandakis.
In 2009, DuPont invested about $1.4 billion in R&D, more than 75 percent of which was directed toward these trends. Also in 2009, more than 70 percent of the company's capital expenditures address megatrend needs in areas such as expanding seed production to improve agriculture productivity, expanding capacity for DuPont™ Kevlar® aramid fiber for personal protection, and expanding capacity for photovoltaics materials for solar cells, all in line with significantly increased demand.
"In emerging markets, in particular, DuPont has attractive opportunities to take our science and apply it to specific needs for local customers," said Fanandakis.
In 2009, 30 percent of DuPont sales were in emerging markets. By 2012, the company expects sales from these markets to total about $12 billion, or 35 percent of total sales.
Fanandakis reaffirmed the company's commitment to deliver about 20 percent compound annual earnings growth for the 2009-2012 periods. By executing on priorities, DuPont expects to generate about 10 percent top-line compound annual growth for the 2009-2012 periods. As previously disclosed, the company also plans to capture $1 billion in fixed cost productivity and $1 billion in working capital productivity gains during the 2010-2012 timeframe. Additionally, Fanandakis reaffirmed the company's 2010 earnings per share guidance at a range of $2.50-2.70 per share.
DuPont is a science-based products and services company. Founded in 1802, DuPont puts science to work by creating sustainable solutions essential to a better, safer, healthier life for people everywhere. Operating in approximately 80 countries, DuPont offers a wide range of innovative products and services for markets including agriculture and food; building and construction; communications; and transportation.
Forward-Looking Statements: This news release contains forward-looking statements based on management's current expectations, estimates and projections. The company does not undertake to update any forward-looking statements as a result of future developments or new information. All statements that address expectations or projections about the future, including statements about the company's strategy for growth, product development, market position, expected expenditures and financial results are forward-looking statements. Some of the forward-looking statements may be identified by words like "expects," "anticipates," "plans," "intends," "projects," "indicates," and similar expressions. These statements are not guarantees of future performance and involve a number of risks, uncertainties and assumptions. Many factors, including those discussed more fully elsewhere in this release and in DuPont's filings with the Securities and Exchange Commission, particularly its latest annual report on Form 10-K, as well as others, could cause results to differ materially from those stated. These factors include, but are not limited to changes in the laws, regulations, policies and economic conditions of countries in which the company does business; competitive pressures; successful integration of structural changes, including acquisitions, divestitures and alliances; research and development of new products, including regulatory approval and market acceptance, and seasonality of sales of agricultural products.
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