Formerly | Pittsburgh Plate Glass Company (1883–1968) |
---|---|
Company type | Public |
Industry | Chemicals |
Founded | 1883 Creighton, Pennsylvania, U.S. |
Founders | |
Headquarters | One PPG Place, , |
Area served | Worldwide |
Key people | Tim Knavish (Chairman & CEO) |
Products | |
Revenue | US$17.652 billion (2022) [1] |
US$1.434 billion (2022) [1] | |
US$1.026 billion (2022) [1] | |
Total assets | US$20.744 billion (2022) [1] |
Total equity | US$6.592 billion (2022) [1] |
Number of employees | 52,000 (2022) [1] |
Website | www |
PPG Industries, Inc. is an American Fortune 500 company and global supplier of paints, coatings, and specialty materials. With headquarters in Pittsburgh, Pennsylvania, PPG operates in more than 70 countries around the globe. By revenue it is the second largest coatings company in the world behind Sherwin-Williams. [2] It is headquartered in PPG Place, an office and retail complex in downtown Pittsburgh, and is known for its glass facade designed by Postmodern architect Philip Johnson.
Pittsburgh Plate Glass Company was founded in 1883 by Captain John Baptiste Ford and John Pitcairn, Jr., at Creighton, Pennsylvania.
PPG soon became the United States' first commercially successful producer of high-quality, thick flat glass using the plate process. PPG was also the world's first plate glass plant to power its furnaces with locally produced natural gas, an innovation which rapidly stimulated widespread industrial use of the cleaner-burning fuel. [3]
PPG expanded quickly. By 1900, known as the "Glass Trust", it included 10 plants, had a 65 percent share of the U.S. plate glass market, and had become the nation's second largest producer of paint. [4] Today, known as PPG Industries, the company is a multibillion-dollar, Fortune 500 corporation with 150 manufacturing locations around the world. It now produces coatings, glass, fiberglass, and other chemicals. [3]
Pitcairn served as a director of PPG from its start, its president from 1897 to 1905, and chairman of the board from 1894 until his death in 1916. [5]
Ditzler Color Company, established in 1902 in Detroit as an automotive color concern, was purchased by Pittsburgh Plate Glass Company (now PPG) in 1928. On 19 December 1968 the company changed its name to PPG Industries, Inc., to show its diverse offerings. In the mid-1980s, Cipisa, a Spanish paint company was acquired and renamed PPG Ibérica and its CEO, Pere Nadal Carres, became CEO of PPG Ibérica.[ citation needed ] In 1990 PPG founded Transitions Optical as a joint venture with Essilor. [6]
In October 2000, PPG Industries announced it had agreed to buy Courtaulds Aerospace for $512.5 million. [7] Based in Glendale, California, the aerospace business has annual sales of approximately $240 million, employs 1,200 people. It manufactures sealants in Glendale, California and Shildon, England; coatings and sealants in Mojave, California; glazing sealants at Gloucester City, New Jersey; and coatings at Gonfreville, France. The business also operates 14 application-support centers located in North America, Europe, Africa, Asia, and Australia.
In 2006, the company rolled out a two-tiered pay system which resulted in massive strikes at union locations across the country. The system, now in place company-wide for non-salaried employees, provides lower rates of pay and fewer benefits to those employed after the roll-out than those employed before the roll-out. In West Virginia, after a bitter five-month strike, the company still refused to eliminate the two-tiered system. In Lake Charles, Louisiana, the employment contracts of union employees had to be extended during a strike regarding the two-tiered system. [8]
In 2007, the company was involved in a lawsuit on failing to disclose a purchase reduction of its two major auto glass customers. [9]
In 2007, PPG in Australia acquired Barloworld Coatings (Australia) Pty Limited, producer of the Taubmans, Bristol, and White Knight brands of paint. [10]
On 2 January 2008, PPG acquired the SigmaKalon Group of companies for $3.2 billion from private investment firm Bain Capital, strongly increasing its paint and specialty coatings business. [11]
In 2008, PPG renamed their automotive glass division PGW (Pittsburgh Glass Works) and sold a majority of it to Kohlberg & Company. PPG retained 40% ownership of PGW until March 2016 when they sold their stake to automotive parts salvage company LKQ Corporation. [12] [13]
In 2012, PPG acquired Dyrup A/S, founded in Denmark in 1928 as S. Dyrup & Co A/S by Sigurd Dyrup and Axel Monberg and Ejnar Thorsen of MT Højgaard, some of whose brands are Dyrup, GORI (outdoor woodcare paint), and Bondex.
In April 2013, PPG completed the acquisition of AkzoNobel North American architectural coatings business including Glidden, Liquid Nails, and Flood brands. [14] 2013 revenue was US$15.1 billion, while assets were US$15.9 billion.[ citation needed ]
On April 1, 2014, PPG finalized the sale of Transitions Optical to its joint venture partner, Essilor International of France; however, PPG's technical center in Monroeville will continue to provide research and development services for Transitions. [15] [16] On November 5, 2014, PPG closed a deal, to purchase Mexican Consorcio Comex, S.A. de C.V. (“Comex”) for $2.3 billion [17]
In April 2015, PPG Industries completed the acquisition of REVOCOAT, a global supplier of sealants.[ citation needed ] Chuck Bunch remains Executive Chairman, while Michael McGarry serves as President & CEO.
In July 2016, PPG announced its sale of the flat glass business to Vitro, a glass manufacturer based in Mexico, for $750 million. [18]
In October 2016, Pittsburgh Post-Gazette announced the acquisition of the naming rights to Consol Energy Center by PPG; the facility will be known as PPG Paints Arena. [19]
In September 2017, PPG announced the sale of its remaining fiberglass operations to Nippon Electric Glass for $541 million. This was following PPG's 2016 sale of its European fiberglass operations to NEG, and divesting its ownership in two other Asian fiberglass joint ventures. [20]
In March 2017, the company launched an unsolicited takeover bid of €20.9 billion, which was promptly rejected by AkzoNobel's management. [21] Days later, the company launched an increased bid of €24.5 billion, which was again rejected by AkzoNobel's management. [22] A number of shareholders urged AkzoNobel to explore the offer and subsequent negotiations. [23] [24] In April, activist investor Elliott Investors called for the removal of the Chairman of Akzo, Antony Burgmans, following Akzo's refusal to enter talks with PPG. Elliott, which has a 3.25% stake in the company, claimed it was one of a group of investors that met the Dutch legal threshold of 10% voting-share support, which is needed to call an extraordinary meeting to vote on a proposal to remove Burgmans. [25] On April 13, Templeton Global Equity said it was among another group of investors calling for an extraordinary meeting of AkzoNobel shareholders to discuss Burgmans' continued tenure as chairman. [26] Later in the same month Akzo outlined its plan to separate its chemicals division and pay shareholders €1.6 billion in extra dividends, in order to attempt to hold off PPG. [27] [28] The new Akzo strategy was dismissed by PPG, which claimed that their offer represented better value for shareholders, [29] [30] supported by activist Akzo shareholder Elliot Advisors. [31] On April 24, a day before Akzo's annual meeting of shareholders, PPG increased its final offer by approximately 8% to $28.8 billion (€26.9 billion, €96.75 per share), with Akzo's share price rising 6% to a record of €82.95 per share. [32] Akzo shareholder Columbia Threadneedle Investments urged the company to open dialogue with PPG, [33] whilst PPG claimed that the deal would add to earning within its first year. [34] Great Britain's largest pension scheme investors, Universities Superannuation Scheme (USS), urged Akzo to engage with PPG. [35] On 2 May, Reuters revealed that the supervisory board of Akzo was meeting to discuss how to deal with PPG's third offer, still maintaining it did not value the company highly enough. [36] In early May, Akzo again rejected PPG's bid, citing the deal still undervalues the company, as well as potentially facing antitrust risks, and not addressing other concerns such as "cultural differences". Under Dutch company law, PPG must now decide to either make a formal bid or walk away. [37] In early June PPG chose to abandon pursuit. [38] [39]
In 2020, PPG won an Adhesives and Sealants Council (ASC) Innovation Award for "High Strength, Highly Ductile Structural Adhesive PR 2930". [40] In May 2021, PPG completed the acquisition of Wörwag, a German coating manufacturer. [41]
On October 17, 2024, PPG announced its intent to sell its architectural coatings business in the U.S. and Canada to American Industrial Partners for $550 million. Brands included in the sale are Glidden, Dulux (in Canada), Liquid Nails, Homax, Pittsburgh Paints and Stains, Flood, Sico and Manor Hall. The sale also includes 750 company owned retail stores, 6,600 independent dealer stores, and shelf facings at 8,100 retail and home improvement store locations. [42]
PPG reported a net profit for each fiscal year in the period 2013 to 2022.
Year | $ millions |
---|---|
2013 [43] | $3,231 |
2014 [43] | $2,102 |
2015 [43] | $1,406 |
2016 [43] | $877 |
2017 [43] | $1,591 |
2018 [44] | $1,341 |
2019 [44] | $1,243 |
2020 [45] | $1,059 |
2021 [45] | $1,439 |
2022 [45] | $1,026 |
In November 2010, PPG agreed to remove 700,000 tons of toxic waste from Canal Crossing, a brownfield site in Jersey City, New Jersey where the company operated a chromium processing plant between 1954 and 1963. [46] [47] [48] [49] Stringent standards were agreed to in a federal court settlement. [50]
Lime Lake Reclamation Project of PPG Industries in Barberton, Ohio, received special awards in the National Beneficial Use of Biosolids Program from Environmental Protection Agency’s (EPA) region 5 in 1998.[ citation needed ]
According to the book Strangers in Their Own Land by Arlie Russell Hochschild, Pittsburgh Plate Glass ordered employees to dump toxic tar in Bayou D'Inde in Lake Charles, Louisiana. [51]
PPG has been involved in sports for numerous years, including being the primary sponsor for the CART Indy car series from 1980 to 1997. The company has been a partner of Team Penske in CART, IndyCar Series and NASCAR Cup Series since 1984. [52] Since the race's inception in 1994, PPG has sponsored the trophy for the Brickyard 400.
On October 4, 2016, it was announced that The Consol Energy Center in Pittsburgh would be giving up its naming rights, and transferred to PPG, making the arena named the PPG Paints Arena. [53]
PPG also partners with Formula 1 racing teams. They have a partnership with Williams F1 Team since 2017. [54]
PPG is the prime sponsor of John Force Racing and makes all their cars and paints and decals them before each NHRA race. [55]
Imperial Chemical Industries (ICI) was a British chemical company. It was, for much of its history, the largest manufacturer in Britain. Its headquarters were at Millbank in London. ICI was a constituent of the FT 30 and later the FTSE 100 indices.
Carl Celian Icahn is an American businessman and investor. He is the founder and controlling shareholder of Icahn Enterprises, a public company and diversified conglomerate holding company based in Sunny Isles Beach, Florida. Icahn's business model is to take large stakes in companies that he believes will appreciate from changes to corporate policy. Subsequently, Icahn then pressures management to make the changes that he believes will benefit shareholders, and him. Widely regarded as one of the most successful hedge fund managers of all time and one of the greatest investors on Wall Street, he was one of the first activist shareholders and is credited with making that investment strategy mainstream for hedge funds.
Akzo Nobel N.V., stylised as AkzoNobel, is a Dutch multinational company which creates paints and performance coatings for both industry and consumers worldwide. Headquartered in Amsterdam, the company has activities in more than 150 countries. AkzoNobel is the world's third-largest paint manufacturer by revenue after Sherwin-Williams and PPG Industries.
Altana AG is a German chemical company headquartered in Wesel. It was created in 1977, as a result of spinning off divisions from the Varta Group. The first CEO was Herbert Quandt.
Sherwin-Williams Company is an American paints and coatings company based in Cleveland, Ohio. It is primarily engaged in the manufacture, distribution, and sale of paints, coatings, floorcoverings, and related products with operations in over 120 countries. As of 2024, is the largest coatings company in the world by revenue.
Canadian Industries Limited, also known as C-I-L, is a Canadian chemicals manufacturer. Products include paints, fertilizers and pesticides, and explosives. It was formed in 1910 by the merger of five Canadian explosives companies. It was until recently a subsidiary of Imperial Chemical Industries until ICI was purchased by AkzoNobel.
Perrigo Company plc is an American Irish-registered manufacturer of private label over-the-counter pharmaceuticals, and while 70% of Perrigo's net sales are from the U.S. healthcare system, Perrigo is legally headquartered in Ireland for tax purposes, which accounts for 0.60% of net sales. In 2013, Perrigo completed the sixth-largest US corporate tax inversion in history when it reregistered its tax status to Ireland to avoid U.S. corporate taxes. Perrigo maintains its corporate headquarters in Grand Rapids, Michigan, within Michigan State University's Grand Rapids Innovation Park.
Consol Energy Inc. is an American energy company with interests in coal headquartered in the suburb of Cecil Township, in the Southpointe complex, just outside Pittsburgh, Pennsylvania. In 2017, Consol formed two separate entities: CNX Resources Corporation and CONSOL Energy Inc. While CNX Resources Corp. focuses on natural gas, spin-off Consol Mining Corporation, now Consol Energy Inc. focuses on coal. In 2010, Consol was the leading producer of high-BTU bituminous coal in the United States and the U.S.'s largest underground coal mining company. The company employs more than 1,600 people.
Dulux is an internationally-available brand of architectural paint that originated from the United Kingdom. The brand name Dulux has been used by both Imperial Chemical Industries (ICI) and DuPont since 1931 and was one of the first alkyd-based paints. It is produced by AkzoNobel although the North American market is now served by PPG Industries.
Courtaulds was a United Kingdom-based manufacturer of fabric, clothing, artificial fibres, and chemicals. It was established in 1794 and became the world's leading man-made fibre production company before being broken up in 1990 into Courtaulds plc and Courtaulds Textiles Ltd.
Lucky Core Industries Limited, formerly known as ICI Pakistan, is a Pakistani conglomerate company headquartered in Karachi. It manufactures polyester, pharmaceutical, agrochemical, soda ash, and veterinary medicine.
PPG Paints Arena is a multi-purpose indoor arena in Pittsburgh that serves as the home of the Pittsburgh Penguins of the National Hockey League (NHL). It previously was the home of the Pittsburgh Power of the Arena Football League (AFL) from 2011 to 2014.
Melrose Industries plc is a British aerospace manufacturing company based in Birmingham, England. It is the parent company of GKN Aerospace. The company's shares are listed on the London Stock Exchange as a constituent of the FTSE 100 Index.
Rhône Group is a global private equity firm with approximately $11 billion of assets under management, specializing in mergers and acquisitions, leveraged buyouts, recapitalizations, and partnerships with particular focus on European and trans-Atlantic investments. Rhône also offers financial advisory services, strategic alliances, joint partnerships, and business valuation services. Rhone Group was listed in 2013 to 2014 by Preqin as the 'Most Consistent Performing Private Equity Fund Manager' based on both its multiple and IRR of all 3 funds in the top quartile ranking.
Elliott Investment Management L.P. is an American investment management firm. It is also one of the largest activist funds in the world.
Comex Group is the fourth largest paint manufacturer and distributor of paints and waterproofing products in North America, with 3,300 locations.
International Paint, abbreviated as International, is a brand of the Marine & Protective Coatings business unit of AkzoNobel.
Glidden is an American paint brand, manufactured by PPG Industries.
The Stowmarket Guncotton Company was an explosives company established in the 19th century by Messrs Prentice that operated a gun-cotton factory in Stowmarket, Suffolk, England. The factory was the scene of an explosion in 1871 that claimed the lives of 28 people.
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