Olin Announces the Resignation of Scott Ferguson from the Board of Directors

Rhea-AI Summary

Olin Corporation (NYSE: OLN) announced the resignation of Scott Ferguson from its Board of Directors. Ferguson expressed pride in contributing to the company's successful navigation through COVID-19 and praised the leadership of Scott Sutton. Sutton highlighted Ferguson's invaluable perspectives and noted his absence will be felt. Olin, a major manufacturer and distributor of chemical products and ammunition, is positioned for continued success following this leadership change.

Positive

• Strong management team led by Scott Sutton is well-positioned for future success.
• Ferguson's tenure contributed to Olin's significant corporate turnaround during challenging times.

Negative

• Concerns regarding potential continuity and experience gaps in Board leadership.

CLAYTON, Mo., Nov. 10, 2022 /PRNewswire/ -- Olin Corporation (NYSE: OLN) announced today that Mr. Scott Ferguson, Managing Partner of Sachem Head Capital Management, has resigned from its Board of Directors.

Mr. Ferguson commented, "I am proud to have served with this talented management team and Board as they navigated through COVID and accomplished a remarkable corporate turnaround, creating extraordinary value for shareholders in the process. Under the leadership of Scott Sutton and his team, I believe that the company is well-positioned for continued success in the future."

Scott Sutton, Chairman, President, and Chief Executive Officer, said, "Scott has been an invaluable member of the Board and brought fresh perspectives to our strategy. We have worked in concert to set up Olin for a great future. He will be missed."

COMPANY DESCRIPTION

Olin Corporation is a leading vertically-integrated global manufacturer and distributor of chemical products and a leading U.S. manufacturer of ammunition.  The chemical products produced include chlorine and caustic soda, vinyls, epoxies, chlorinated organics, bleach, hydrogen, and hydrochloric acid.  Winchester's principal manufacturing facilities produce and distribute sporting ammunition, law enforcement ammunition, reloading components, small caliber military ammunition and components, and industrial cartridges.

Visit www.olin.com for more information on Olin.

FORWARD-LOOKING STATEMENTS

This communication includes forward-looking statements.  These statements relate to analyses and other information that are based on management's beliefs, certain assumptions made by management, forecasts of future results, and current expectations, estimates and projections about the markets and economy in which we and our various segments operate.  The statements contained in this communication that are not statements of historical fact may include forward-looking statements that involve a number of risks and uncertainties.

We have used the words "anticipate," "intend," "may," "expect," "believe," "should," "plan," "outlook," "project," "estimate," "forecast," "optimistic," "target," and variations of such words and similar expressions in this communication to identify such forward-looking statements.  These forward-looking statements include, but are not limited to, statements regarding the Company's intent to repurchase, from time to time, the Company's common stock.  These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions, which are difficult to predict and many of which are beyond our control.  Therefore, actual outcomes and results may differ materially from those matters expressed or implied in such forward-looking statements.  We undertake no obligation to update publicly any forward-looking statements, whether as a result of future events, new information or otherwise.  The payment of cash dividends is subject to the discretion of our board of directors and will be determined in light of then-current conditions, including our earnings, our operations, our financial conditions, our capital requirements and other factors deemed relevant by our board of directors.  In the future, our board of directors may change our dividend policy, including the frequency or amount of any dividend, in light of then-existing conditions.

The risks, uncertainties and assumptions involved in our forward-looking statements, many of which are discussed in more detail in our filings with the SEC, including without limitation the "Risk Factors" section of our Annual Report on Form 10-K for the year ended December 31, 2021, and our Quarterly Reports on Form 10-Q and other reports furnished or filed with the SEC, include, but are not limited to, the following:

Business, Industry and Operational Risks

• sensitivity to economic, business and market conditions in the United States and overseas, including economic instability or a downturn in the sectors served by us;
• declines in average selling prices for our products and the supply/demand balance for our products, including the impact of excess industry capacity or an imbalance in demand for our chlor alkali products;
• unsuccessful execution of our strategic operating model, which prioritizes Electrochemical Unit (ECU) margins over sales volumes;
• failure to control costs and inflation impacts or failure to achieve targeted cost reductions;
• our reliance on a limited number of suppliers for specified feedstock and services and our reliance on third-party transportation;
• availability of and/or higher-than-expected costs of raw material, energy, transportation, and/or logistics;
• the occurrence of unexpected manufacturing interruptions and outages, including those occurring as a result of labor disruptions, production hazards and weather-related events;
• the failure or an interruption of our information technology systems;
• failure to identify, attract, develop, retain and motivate qualified employees throughout the organization;
• our inability to complete future acquisitions or joint venture transactions or successfully integrate them into our business;
• our substantial amount of indebtedness and significant debt service obligations;
• risks associated with our international sales and operations, including economic, political or regulatory changes;
• the negative impact from the COVID-19 pandemic and the global response to the pandemic, including without limitation adverse impacts in complying with governmental mandates;
• weak industry conditions affecting our ability to comply with the financial maintenance covenants in our senior credit facility;
• adverse conditions in the credit and capital markets, limiting or preventing our ability to borrow or raise capital;
• the effects of any declines in global equity markets on asset values and any declines in interest rates or other significant assumptions used to value the liabilities in, and funding of, our pension plans;
• our long-range plan assumptions not being realized causing a non-cash impairment charge of long-lived assets;

Legal, Environmental and Regulatory Risks

• changes in, or failure to comply with, legislation or government regulations or policies, including changes regarding our ability to manufacture or use certain products and changes within the international markets in which we operate;
• new regulations or public policy changes regarding the transportation of hazardous chemicals and the security of chemical manufacturing facilities;
• unexpected outcomes from legal or regulatory claims and proceedings;
• costs and other expenditures in excess of those projected for environmental investigation and remediation or other legal proceedings;
• various risks associated with our Lake City U.S. Army Ammunition Plant contract and performance under other governmental contracts; and
• failure to effectively manage environmental, social and governance (ESG) issues and related regulations, including climate change and sustainability.

All of our forward-looking statements should be considered in light of these factors.  In addition, other risks and uncertainties not presently known to us or that we consider immaterial could affect the accuracy of our forward-looking statements.

2022-19

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SOURCE Olin Corporation

FAQ

What prompted Scott Ferguson's resignation from Olin Corporation's Board?

Scott Ferguson resigned to pursue other opportunities, having contributed to the company's turnaround during COVID.

How might Scott Ferguson's departure impact Olin Corporation?

Ferguson's departure raises concerns about continuity and experience within the Board, though the management team remains strong.

Who is taking over Scott Ferguson's responsibilities at Olin Corporation?

The company has not announced a direct replacement, but Scott Sutton continues to lead the management team.

What is Olin Corporation known for?

Olin Corporation is a leading manufacturer of chemical products and ammunition, including chlorine, caustic soda, and sporting ammunition.