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2015 Shareholders’ Meeting
PPG Industries, Inc.
April 16, 2015
2
Key Topics
Outlook and Focus
Achievements in 2014
First Quarter 2015 Results
2
3
0
0.1
0.2
0.3
0.4
2011 2012 2013 2014
PPG II/III Spill & Release Rate
Category II & III Spills and Releases
0
0.1
0.2
0.3
0.4
0.5
2011 2012 2013 2014
PPG Injury & Illness Rate
PPG Injury & Illness Rate
2014 Actual 0.35
Improving Trend Continues Exemplary Performance
Improved 2014 Safety and Environmental Performance
3
Achievements in 2014
Achieved Record Financial Results
• Record net sales from continuing operations of $15.4 billion, an increase of 8 percent
• Record adjusted earnings per diluted share from continuing operations of $9.75*, up 27 percent
• Record earnings from each major region
• Record cash flow of $1.8 billion from continuing operations
*A reconciliation to the U.S. GAAP earnings per diluted share from continued operations is available in PPG’s earnings release dated January 15, 2015.
5
Sales / Margin PTPI / EPS*
* Excluding Specials
Sales $B PTPI $B
Deployed Record Cash to Grow Company, Reward Shareholders
• Deployed more than $4.1B
to grow company and
reward shareholders
6
$587
$2,427*
$750
$361
2014 Select Cash Uses
Capital Spending Acquisitions
Share Repurchases Dividends
100% = $4,135MM
*The figure is inclusive of acquired debt repaid.
7
Increased Capital Investments to Drive Global Growth
Capital Spending (excl. acquisitions)
$MM
Current Growth Projects:
• Cleveland, Ohio expansion
• Wichita Falls, Texas investment
• Zhangjiagang, China expansions
• San Juan del Rio, Mexico expansion
• Cheonan, Korea resin capacity
• Tianjin, China expansions
• Sumaré, Brazil resin capacity
$240
$299$330
$494
$587
0
100
200
300
400
500
600
700
2010 2011 2012 2013 2014
PPG Investment and Growth in the Pittsburgh Region
• PPG Establishes Regional Headquarters for Architectural Coatings in Cranberry
$2.7MM investment
118,000 sq. foot facility
~475 employees currently located at the new facility
• PPG Invests in New R&D Lab for Architectural Coatings within Harmar Facility
$13MM investment
Established 65,000 sq. ft. of new office and lab space
~70 Architectural Coatings employees in R&D and technical service
8
Expanded PPG Paints Branded Company-owned Stores
• More than 900 total company
owned stores across U.S.,
Canada and Puerto Rico
• Approximately 630 PPG
Paints® stores in the U.S.
19 PPG Paints stores in
Western Pennsylvania
9
Increased R&D Investments to Grow Innovation Pipeline
R&D Expenditures
2010
Investing for Growth:
• Research and development
investment averaged 3 percent of
sales
• Aim to generate 25% of sales from
new and innovative products
$MM
$371$406
$444$479
$509
0
100
200
300
400
500
600
2010 2011 2012 2013 2014
10
Completed Significant Strategic Actions
Acquired Comex, leading architectural coatings supplier in Mexico
• Additional Acquisitions:
Specialty coatings supplier, The Homax Group
High-heat-resistant coatings supplier, Hi-Temp Coatings
Panama-based protective and marine coatings distributor, Canal Supplies
N.A. architectural dealers Westmoreland Supply, Masterwork Paint Company and Painter’s Supply
• Divestitures:
Ownership interest in Transitions Optical
Mt. Zion, Illinois (U.S.A.) flat glass facility
Hi-Temp
11
12
Coatings
Glass
PPG Net Sales
Continued PPG’s Transformation
Coatings
Chemicals
Glass
Coatings
Chemicals
Glass
Coatings 55% Coatings 74% Coatings 93%
Specialty Materials
2004
100% = $9.5B
2009
100% = $12.2B
Specialty Materials
2014
100% = $15.4B
13
PPG Continues to Deliver Strong Shareholder Returns
Comparison of Five-Year Total ReturnIndexed to 2009
100
150
200
250
300
350
400
450
'09 '10 '11 '12 '13 '14
PPG 100 148 151 251 357 440
Peer Group 100 122 114 139 198 228
S&P 500 100 115 117 136 180 205
PPG
Peer Group
S&P 500
* Peer Group includes AkzoNobel, The Dow Chemical Co., Eastman Chemical Co., E.I. DuPont de Nemours & Co., Masco Corp., RPM International Inc.,
The 3M Company, The Sherwin-Williams Co. and The Valspar Corp.
S&P 500 100 115 117 136 180 205
Peer Group 100 122 114 139 198 228
PPG 100 148 151 251 357 440
2014 Recap: Another Successful and Transformational Year
• Strengthened our global coatings leadership position
• Achieved record financial results
• Continued the portfolio
transformation
Comex acquisition
Transitions ownership divestiture
• Increased our capital investment
to drive organic growth
• Stock price increased by 22%
to $231.15 at 12/31/14
• 10% dividend increase
14
First Quarter 2015 Results
First Quarter 2015 results(millions except per share data)
Q1 2015 Q1 2014
Net sales (continuing operations) $3,662 $3,636
Net income attributable to PPG (continuing operations) $321 $277
Nonrecurring charges (continuing operations) $6 $2
Adjusted net income attributable to PPG (continuing operations) $327 $279
Earnings per diluted share (continuing operations)$2.33 $1.97
Adjusted earnings per diluted share (continuing operations) $2.37 $1.98
16
*A reconciliation to the U.S. GAAP earnings per diluted share from continued
operations is available in PPG’s earnings release dated April 16, 2015.
Strategic Actions in 2015
• Acquired REVOCOAT, a global supplier
of sealants, adhesives and damper
products for the automotive industry
• Submitted offer to acquire a majority
interest in the aerospace and
automotive sealants businesses of Le
Joint Français (LJF)
• Completed $40 million expansion
project at Sumaré, Sao Paulo, Brazil,
coatings manufacturing facility
17
Outlook and Focus
2015 Regional Economic Outlook
• North America
Regional economic growth continues
• Europe
Continued recovery and improving market conditions
Regional currency weakness
• Asia Pacific
Growth rates moderating
Strong automotive outlook
• South America
Mixed outlook by country
Currency volatility
19
Our Vision
• To be the world’s leading coatings company by consistently
delivering high-quality, innovative and sustainable solutions
that customers trust to protect and beautify their products
and surroundings.
20
Our Mission
• Act with integrity at all times and be true to our values and ethics.
• Deliver consistent sales and earnings growth.
• Develop innovative products to meet future needs.
• Work safely, protect the environment and support the communities
where we operate.
• Achieve superior shareholder returns.
21
Our Strategy
22
To strengthen our position as the world’s leading coatings company.
• Growth
Deliver consistent volume growth.
Expand in markets and regions where we are underrepresented.
Continue to lead the consolidation of the coatings industry.
Invest in building the PPG and product specific brands.
• Operational Excellence
Maintain a strong focus on cost management and profit improvement.
Optimize supply chain and continuously improve working capital management.
• Products and Services
Develop innovative solutions to address our customers’ greatest needs.
Expand our global color expertise.
Provide exceptional customer service and support.
23
PPG Continues Focus On Sustainability
2015 Shareholders’ Meeting
PPG Industries, Inc.
April 16, 2015