PPG Industries Inc.
(
PPG
) announced that its industrial coatings business has published a
new brochure for its full line of coatings and pretreatment
products used in automotive parts and accessories. In addition to
highlighting more than a dozen of coatings and pretreatment
products, the brochure describes the benefits of working with PPG's
global network of paint application experts, product development
specialists and technical support personnel.
Many brands including SPECTRACRON and AQUACRON liquid primers
and topcoats, POWERCRON electro deposition coatings (e-coats) and
ENVIROCRON and ENVIROCRYL powder coatings are detailed in the
booklet. The Original equipment manufacturers utilize PPG's
transportation coatings, which help them to give their vehicles and
their parts a new look while preventing them from corroding.
Recently, PPG announced its first-quarter 2012 guidance. The
company expects adjusted earnings to be in the range of $1.75 to
$1.80 per share for the quarter compared with $1.40 per
share, reported in the year-ago quarter.
After including restructuring expenses and costs associated with
acquisition and environmental remediation, the company expects
earnings to be in the range of 2 to 7 cents per share. The company
anticipates that it will incur pretax restructuring charge of $208
million including cash costs of around $160 million and about $48
million related to the net write-off of specific assets and other
non-cash items.
Most of the restructuring activities will take place in Europe.
PPG plans to lay off 2,000 employees, mostly in Europe, owing to
weak demand.
The restructuring actions are expected to result in annual
savings of about $140 million with roughly $40 million and $50
million of savings expected in 2012. According to PPG, the
first quarter witnessed improved business conditions due to
customer restocking and lower natural gas costs in the U.S.
The company said that the restructuring efforts are part of its
strategy to be at par with its competitors around the world. PPG
competes with the DuPont Performance Coatings segment of
EI DuPont de Nemours & Co.
(
DD
) and BASF Coatings AG.
We currently have a long-term Neutral recommendation on PPG. The
stock maintains a Zacks #1 Rank, which translates into a short-term
(1 to 3 months) Strong Buy rating.
DU PONT (
EI
) DE (
DD
): Free Stock Analysis Report
PPG INDS INC (
PPG
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