- Ecolab (NYSE:ECL) says it will stop consolidating results from its Venezuela operations into its company financial results beginning in Q1, citing deteriorating economic conditions and currency exchange control regulations that have significantly limited the ability of the Venezuelan business to maintain normal operations.
- ECL says the move will result in a ~$120M pretax special charge in Q4 2015 on top of previously announced 2015 special charges totaling $155M related to Venezuela's bolivar devaluation.
- ECL expects the combined impact of the bolivar devaluation and deconsolidation on operating results will hurt 2016 earnings by ~$0.17/share.