Huntsman CEO defends 2008 forecasts in court

By Anna Driver

CONROE, Texas June 17 (Reuters) - Huntsman Corp's (HUN.N: Quote, Profile, Research) chief executive defended in court on Wednesday the accuracy of financial projections the company prepared in 2008, forecasts that were in dispute in a $6.5 billion buyout that was canceled over worries about the chemical firm's health.

Huntsman is suing Credit Suisse Group AG (CSGN.VX: Quote, Profile, Research) and Deutsche Bank AG (DBKGn.DE: Quote, Profile, Research) for more than $4.6 billion in damages over the canceled deal.

The banks agreed to finance a buyout led by private equity firm Apollo Management LP [APOLO.UL]. Apollo and the banks later backed out of the deal, arguing it would create an insolvent company as the U.S. economy slowed.

"You take the very best guess that you can," Peter Huntsman, Huntsman's president and CEO told a jury in state court.

The banks contend the figures were too rosy, and did not take into account the ravaging effects of the global downturn.

Huntsman and other chemical companies were hit hard as the global recession bit into industrial demand and a spike in crude oil prices sent their costs soaring.

Peter Huntsman also told the jury that cost savings from the merger, which were projected around $400 million, would have been greater if the deal went through.

"I continue to believe that is a very conservative number," Huntsman told the court, adding that he thought the combined companies could have achieved $600 million in savings.