Kevin Estecon

Kevin Estecon asked about Celanese's strategies for managing working capital inventories, including guardrails to prevent service issues and the timeline to achieve a steady-state model, and inquired about specific levers to stabilize the acetate tow business, such as regional mix shifts and contract resets, and the expected timeline for measurable improvement.

Answer

CFO Chuck Kyrish detailed a multi-year, coordinated approach to inventory reduction, targeting an additional $100 million in 2026 without compromising service levels, driven by efficiency in Engineered Materials. VP of Investor Relations Bill Cunningham explained that aggressive actions are being taken to stabilize acetate tow, with destocking expected to normalize by mid-year, leading to a more balanced state.