(RTTNews) -  Friday, diversified chemical firm The Dow Chemical Co. (DOW: News ), revealed its earnings forecast for 2012 well above the current levels, driven by gains from right-sizing businesses and structural cost improvements, and higher growth.

Speaking at the investor meet, Andrew Liveris, Chairman and Chief Executive Officer, Dow said, "We are well positioned to expand our earnings power. the short term, we will benefit early in the economic recovery through our right-sized basics businesses and structural cost improvements."

For 2012, Dow expects normalized earnings in the range of $4.00-$4.50 per share, that reflect a mix of growth synergies and innovation, equity earnings growth, as well as restructuring and cost synergies.

Currently, 12 analysts on consensus, polled by Thomson Reuters expect the company to earn $0.46 per share for fiscal year 2009. Analysts' estimates typically exclude one-time charges and gains.

For fiscal year 2008, the Dow Chemical reported earnings of $0.62 per share, while excluding certain items earnings for the year were $1.82 per share. Sales for the full year increased 7% year-over-year.

Midland, Michigan-based Dow said as the global economy continues to rebound, it would expand revenue and earnings with higher growth, higher margin portfolio with a focus on innovation and key emerging geographies and industries.

Dow said its new portfolio is expected to yield more than 10% annual revenue growth as a result of its transformation to a more focused market-driven, performance-based portfolio and the growing participation in emerging economies.
Emerging markets such as Southeast Asia, India, Latin America, China and Eastern Europe are expected to contribute 35% of total revenue in the 2012 timeframe.

On Thursday, Dow said it would sell its powder coatings business to Netherlands-based Akzo Nobel N.V. The sale is part of Dow's ongoing process to sell non-core assets, and indicated being on track to generate more than $3.5 billion of gross proceeds from such measures.

During the quarter, the company completed the sale of its interest in Morton International, Inc. to Kassel, Germany-based K+S Aktiengesellschaft for $1.675 billion, and completely repaid a bridge loan 90 days ahead of goal. The company also completed the divestitures of ownership stake in Dutch oil refinery Total Raffinaderij Nederland NV.

The company plans to divest itself of $2 billion more in assets next year.

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