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Nalco Expects Margin Improvement in Second Half

10:48 AM MDT | July 8, 2011

Nalco expects margin in its water and process service business to improve in the second half of 2011, as the majority of its pricing agreements settle higher and offset raw material cost inflation. Nalco characterized its first quarter results as “disappointing,” as oil and propylene price inflation pushed its cost of goods sold up 18% compared to the same year-ago quarter. “We are absolutely on pace to cover current quarter cost increases with price by the end of the second quarter,” says David Flitman, senior executive v.p. and president/Water and...

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