This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

PPG Completes Acquisition Of Chlor-Alkali Manufacturer Equa-Chlor

PPG Industries (NYSE: PPG) today announced that it has completed the previously announced acquisition of certain assets of Equa-Chlor, Inc., a producer of chlorine, caustic soda and muriatic acid, based in Longview, Wash. The transaction value was approximately $27 million.

“We are pleased with the successful closing of this acquisition,” said Michael H. McGarry, PPG senior vice president, Commodity Chemicals. “We have begun to integrate the Longview location into PPG’s chlor-alkali and derivatives business to better serve customers throughout the country. We are committed to maintaining excellent performance by supplying customers with quality products and services, as well as operating a safe workplace as we complete the integration process.”

As of the closing, PPG acquired and now operates the Longview manufacturing plant, with 65 employees, which produces about 220 tons of chlorine per day. In addition, the railcar fleet formerly owned by Equa-Chlor will be integrated into PPG’s rail delivery system, enabling PPG to optimize overall railcar use while reducing future capital requirements and logistics costs.

McGarry also said that the timing of the acquisition is favorable, and it is expected to be accretive to PPG’s earnings within a year, given current industry dynamics. “Additionally, we anticipate that current supply disruptions in Asia will have a favorable impact on the overall economics of this transaction,” he said.

PPG currently manufactures chlor-alkali and derivates products in Lake Charles, La.; Natrium, W.Va.; Beauharnois, Quebec, Canada; Longview, Wash.; and through a majority-owned subsidiary in Kaohsiung, Taiwan. These products are essential to everyday life and are used in many end-use markets, such as purifying drinking water and making bleach, paper and pharmaceuticals.

About PPG

PPG Industries’ vision is to continue to be the world’s leading coatings and specialty products company. Founded in 1883, the company serves customers in industrial, transportation, consumer products, and construction markets and aftermarkets. With headquarters in Pittsburgh, PPG operates in more than 60 countries around the globe. Sales in 2010 were $13.4 billion. PPG shares are traded on the New York Stock Exchange (symbol: PPG). For more information, visit www.ppg.com.

Forward-Looking Statements

Statements in this news release relating to matters that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 reflecting the company’s current view with respect to future events or objectives and financial or operational performance or results. The forward-looking statements contained herein include statements relating to the timing and expected benefits of the acquisition. Actual events may differ materially from current expectations and are subject to a number of risks and uncertainties, including the failure to achieve the expected benefits of the acquisition and the other risks and uncertainties discussed in PPG Industries’ periodic reports on Form 10-K and Form 10-Q, and its current reports on Form 8-K filed with the Securities and Exchange Commission. Forward-looking statements speak only as of the date of their initial issuance, and PPG Industries does not undertake any obligation to update or revise publicly any forward-looking statement, whether as a result of new information, future events or otherwise.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 17,826.30 -279.47 -1.54%
S&P 500 2,081.18 -23.81 -1.13%
NASDAQ 4,931.8150 -75.9760 -1.52%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs