How E I Du Pont De Nemours And Co (DD)’s Earnings Will Look

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As part of its refocusing, DuPont made a big move to streamline its business during the quarter, finally closing on its $4.9 billion deal to sell its car paint division to private-equity firm Carlyle Group LP (NASDAQ:CG). Carlyle Group LP (NASDAQ:CG) arguably got a good deal, given the relatively low price, and it has a opportunity to whip the division back into shape. But the move should help DuPont improve its margins and reduce its exposure to Europe, whose economic woes have been holding the company back recently.

Another important move E I Du Pont De Nemours And Co (NYSE:DD) made recently was settling a lawsuit with rival Monsanto Company (NYSE:MON), with DuPont agreeing to pay more than $1.75 billion over the next 10 years in order to secure licensing rights for various products. In exchange, the two competitors agreed to dismiss their respective claims against each other, resolving what could have been a long and ugly dispute.

In DuPont’s report, be sure to watch closely at where the company is seeing the best growth prospects. If core businesses like its titanium dioxide production start to pick up in light of the housing recovery, then DuPont may move back from its ag focus to become more of a conglomerate again.

The article How DuPont’s Earnings Will Look Tomorrow originally appeared on Fool.com and is written by Dan Caplinger.

Fool contributor Dan Caplinger has no position in any stocks mentioned. You can follow him on Twitter @DanCaplinger. The Motley Fool has no position in any of the stocks mentioned.

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