Cabot (CBT) - Get Report said it would fire 130 workers to cut costs in its struggling carbon black business.

"These types of actions are never easy and we recognize that they result in difficult situations for people," said CEO Kennett Burnes.

Burnes said the compay needs to streamline sales, manufacturing and other groups "due to the continued volatility of feedstock and utility costs."

The firings will result in a $15 million pretax charge in the fourth quarter. Aside from those costs, Boston-based Cabot said it "is experiencing strong demand in all of its businesses, positive effects from high plant utilization and is seeing benefits from previously initiated cost reduction efforts."