OR 15D-16 OF THE SECURITIES EXCHANGE ACT OF 1934
For the month of May, 2009
(Commission File No. 1-14862 )
Camacari, Bahia - CEP 42810-000 Brazil
Form 20-F ___X___ Form 40-F ______
in paper as permitted by Regulation S-T Rule 101(b)(1). _____
in paper as permitted by Regulation S-T Rule 101(b)(7). _____
Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes ______ No ___X___
BRASKEM ANNOUNCES TEMPORARY SUSPENSION OF CAPROLACTAM
OPERATIONS
São Paulo, May 13, 2009 - Braskem (BOVESPA: BRKM3, BRKM5, BRKM6; NYSE: BAK; LATIBEX: XBRK), has decided to suspend its caprolactam production, the raw material used to manufacture nylon temporarily halting production at the caprolactam industrial unit located at the Camaçari Complex in the state of Bahia. The decision took into consideration a meticulous assessment of the set of difficulties currently faced by the Brazilian and international caprolactam industries.
Most of the caprolactam produced by Braskem is sold in the international market, which has suffered liquidity problems in the past few years, what has been intensified with the global economic crisis. In view of this situation, the Company was forced to reduce dramatically capacity utilization at this plant, which pressured margins and made continuing these operations temporarily unfeasible. Since these assets may be reactivated in the future, this temporary suspension does not result in any accounting impacts.
Braskem will continue to supply its domestic caprolactam clients through the end of 2009, drawing on current inventories. As of 2010, these Clients may resort to importing caprolactam directly from international suppliers, an alternative already used today by certain Brazilian companies.
In addition to respecting all of its obligations with Clients, Braskem has also adopted measures to minimize the impacts of this decision at the Company, taking advantage of opportunities to reallocate most of the workers involved in caprolactam production to other areas.
Braskem will continue to monitor developments in the caprolactam market to decide on the potential resumption of operations at this industrial unit.
| Braskem is the leader in the thermoplastic resins segment in Latin America and the third-largest petrochemical producer in the Americas. The company operates 18 industrial plants across Brazil and has annual production capacity of 11 million tons of chemical and petrochemical products. | ||
DISCLAIMER
This press release contains forward-looking statements. These forward-looking statements are not historical data, but rather reflect the targets and expectations of Braskem’s management. Words such as "anticipate", "wish", "expect", "foresee", "intend", "plan", "predict", "project", "aim" and similar terms seek to identify statements that necessarily involve known and unknown risks. Braskem does not undertake any responsibility for transactions or investment decisions based on the information contained in this document.
| For more information, please go to our IR website at www.braskem.com.br/ir or contact the IR team: | ||
| Luciana Ferreira | Cintia Watai | Marina Dalben |
| IR Officer | IR Specialist | IR Analyst |
| Tel: (55 11) 3576 9178 | Tel: (55 11) 3576 9615 | Tel: (55 11) 3576 9716 |
| luciana.ferreira@braskem.com.br | cintia.watai@braskem.com.br | marina.dalben@braskem.com.br |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: May 13, 2009
| BRASKEM S.A. | |||
| By: | /s/ Carlos José Fadigas de Souza Filho | ||
| Name: | Carlos José Fadigas de Souza Filho | ||
| Title: | Chief Financial Officer | ||
This press release may contain forward-looking statements. These statements are statements that are not historical facts, and are based on management's current view and estimates offuture economic circumstances, industry conditions, company performance and financial results. The words "anticipates", "believes", "estimates", "expects", "plans" and similar expressions, as they relate to the company, are intended to identify forward-looking statements. Statements regarding the declaration or payment of dividends, the implementation of principal operating and financing strategies and capital expenditure plans, the direction of future operations and the factors or trends affecting financial condition, liquidity or results of operations are examples of forward-looking statements. Such statements reflect the current views of management and are subject to a number of risks and uncertainties. There is no guarantee that the expected events, trends or results will actually occur. The statements are based on many assumptions and factors, including general economic and market conditions, industry conditions, and operating factors. Any changes in such assumptions or factors could cause actual results to differ materially from current expectations.