PFG Fiber Glass starts third furnace in China

Date: 12 May 2008

PPG Industries’ (NYSE:PPG) announced on May 6, 2008 it started a third furnace May 2 at the PFG Fiber Glass (Kunshan) Co.

Ltd. operation in Kunshan it jointly owns with Nan Ya Plastics Corp. (TAIEX: Nan Ya). The additional furnace, with 38,000 metric tons of annual capacity, will serve the expanding Asian electronics industries and achieve full production in the coming months.

“Our continued investment in China demonstrates both PPG’s commitment to the fiber glass industry and its global leadership in support of customers and markets,” said Terry Fry, PPG general manager of global electronics and leader of the company’s regional fiber glass business. “State-of-the-art technology in this newly built furnace will save energy and reduce emissions, as part of PPG’s efforts to maximize process efficiency and minimize the environmental impact of its manufacturing.”

Mr. C.F. Lee, president of PFG Fiber Glass (Kunshan) Co. Ltd., said, “The printed circuit board industry is rapidly growing and highly concentrated in Asia. Nan Ya Plastics built a vertically integrated production site in Kunshan including resin, copper, glass fabrics, copper-clad laminates and printed circuit boards. With this expansion, we will keep supporting both our and the whole industry’s demand.”

Citing PFG’s leadership in manufacturing fiber glass yarns for the electronics industry, Dr. Joe Yu, business development director of PPG fiber glass said, “This furnace will increase our annual capacity to about 110,000 metric tons in China and about 200,000 metric ton in Asia. We expect this expansion will continue to support the electronics and thermoplastics industries.”

PFG Fiber Glass (Kunshan) Co. Ltd., founded in 2001 as an evenly-held joint venture of PPG Industries and Nan Ya Plastics, started production in September 2003 and has three furnaces with a combined annual capacity of about 110,000 metric tons of electronic-grade glass yarn and reinforcement-grade glass fiber. The companies also jointly own PFG Fiber Glass Corp. in Taiwan, which has three furnaces with production capacity of about 90,000 metric tons, nearly 90 percent of which is electronic-grade glass yarn.

About Nan Ya Plastics

Nan Ya Plastics is part of the Formosa Plastics Group, one of the largest publicly owned industrial corporations in Taiwan.

About PPG

Pittsburgh-based PPG is a global supplier of paints, coatings, chemicals, optical products, specialty materials, glass and fiber glass. The company has more than 150 manufacturing facilities and equity affiliates and operates in more than 60 countries. PPG’s sales in 2007 were $11.2 billion. SigmaKalon, a worldwide coatings producer based in Uithoorn, Netherlands, that PPG acquired Jan. 2, 2008, had 2007 sales of $2.9 billion. PPG shares are traded on the New York Stock Exchange (symbol: PPG). For more information, visit www.ppg.com.