Bunch provided updates to the company’s strategy and highlighted recent record financial performance.
“Since 2001, we have successfully transformed PPG from a diversified, North American-centric manufacturer to a global coatings, optical products and specialty materials company,” he said. “In addition, our recent excellent financial results provide further measurable evidence of the success of our strategic direction, strong execution and effective cash deployment.”
Regarding recent financial performance, Bunch said, “PPG’s strong segment earnings in 2011 enabled us to deliver record full-year earnings per share of $6.87. This represents an increase of 48 percent over 2010 and easily established a new record for the company. Net income also was a record at $1.1 billion, an increase of 42 percent over 2010.” Bunch also commented on PPG’s excellent first quarter 2012 financial performance, which was announced today.
“In 2011, we continued to invest for profitable growth through nearly $400 million in organic capital spending,” Bunch said. “This past year, as an example of our ongoing focus on emerging market growth, we completed the construction of a new resin manufacturing facility in Zhangjiagang, China, and expanded our waterborne coatings manufacturing facility in Tianjin, China.”
Bunch also discussed recent strategic acquisitions, two of which closed during 2011: Ducol, a South African automotive refinish company, and Equa-Chlor, a chlor-alkali producer in the western United States. Two other acquisitions announced in 2011 successfully closed in January of this year: Dyrup, a European architectural coatings and wood care business, and Colpisa, a Colombian coatings producer, he said.
Bunch also said that the company today issued its 2011 Corporate Sustainability Report Update, which serves as a complement to PPG’s full 2010 Corporate Sustainability Report, the company’s second such report. The new document provides an update to PPG’s environmental, health and safety performance over the past year, as well as information regarding new ”green” products PPG introduced, new philanthropic initiatives, and awards and recognition PPG received in 2011. The 2011 update and past reports and updates are available at www.ppg.com/sustainability.
At the annual meeting, PPG shareholders elected four incumbent directors: Charles E. Bunch, chairman and CEO, PPG Industries; Robert Ripp, chairman, Lightpath Technologies; Thomas J. Usher, non-executive chairman of the board, Marathon Oil Corp.; and David R. Whitwam, retired chairman of the board and CEO, Whirlpool Corp. Shareholders passed a non-binding resolution to approve the compensation of the company’s named executive officers. Additionally, shareholders ratified the appointment of Deloitte & Touche LLP as the company’s independent registered public accounting firm for 2012. Shareholder votes were not sufficient to approve the proposal to amend the company’s Articles of Incorporation to provide for the annual election of directors.
PPG: BRINGING INNOVATION TO THE SURFACE.(TM)
PPG Industries' vision is to continue to be the world’s leading coatings and specialty products company. Through leadership in innovation, sustainability and color, PPG helps customers in industrial, transportation, consumer products, and construction markets and aftermarkets to enhance more surfaces in more ways than does any other company. Founded in 1883, PPG has global headquarters in Pittsburgh and operates in more than 60 countries around the world. Sales in 2011 were $14.9 billion. PPG shares are traded on the New York Stock Exchange (symbol:PPG). For more information, visit www.ppg.com.