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CHANGE DRIVES PERFORMANCE, PPG's CEO TELLS SHAREHOLDERS

 PITTSBURGH, April 15 /PRNewswire/ -- PPG Industries' (NYSE: PPG) chief executive today attributed the firm's growth since the early 1980s -- including substantial gains in earnings, sales and assets -- to global expansion, cost control, productivity and a "fervent" commitment to quality and customers.
 "Had we not made major changes in our company during the past decade, our performance in the past two difficult years would have been much weaker," shareholders at PPG's annual meeting were told by Board Chairman Vincent A. Sarni.
 The maker of coatings, glass, fiber glass and chemicals "is at the threshold of even greater things in the years to come," Sarni said, noting that "even though 1992 did not live up to expectations," earnings and sales per employee were double those of 1982, on 75 percent greater assets and sales.
 PPG's 1992 net income was $319.4 million, or $3.01 a share, on sales of $5.8 billion. Although recovery "came late, and was weaker than we expected," Sarni said, "1992 saw a significant improvement in our performance" from 1991's net earnings of $276.2 million, or $2.60 a share, on sales of $5.7 billion.
 Recovery in 1992 "was stymied by significant weakening of the economies in Europe, our second largest market," he added. "Unfortunately, the recession continues unabated there today.
 Earlier today, PPG reported first quarter net income, excluding a one-time net charge for mandated accounting changes, of $110.1 million, or $1.04 a share, on sales of $1.4 billion, including a 16 cents per share gain from an asset sale. A year ago, net earnings were $78.8 million, or 74 cents a share, on sales of $1.4 billion. With effects of retiree benefit and income tax accounting changes included, PPG reported a net 1993 first quarter loss of $156.6 million, or $1.47 a share.
 Harbingers of PPG's future prosperity, Sarni said, include substantial growth in coatings and specialty chemicals, considerable cost reductions and productivity gains in glass and fiber glass operations, a major presence in Europe and accelerating Asia-Pacific expansion.
 Sarni also declared that the company intends to continue its program of employee ownership and variable compensation for all employees. Citing incentives as "one of the powerful engines of success," he said PPG's ratio of variable-to-fixed compensation is one of the highest among American industrial firms, with that for top executives exceeding 50 percent.
 Reelected to three-year board terms were Sarni, a director since January 1984 and only company employee on the board; Harold A. McInnes, retired chairman and CEO of AMP Inc., who joined the board in 1986; and David G. Vice, retired vice chairman, products and technology, Northern Telecom Ltd., a director since 1988.
 With today's retirement of Douglas D. Danforth, retired chairman and CEO of Westinghouse Electric Corp., who served since 1981, and John W. Morrison, retired chairman and CEO of Norwest Corp., a director since 1983, PPG's board has nine members.
 Deloitte & Touche were reelected auditors for the company.
 -0- 4/15/93
 /CONTACT: John S. Ruch of PPG Industries, 412-434-2445/
 (PPG)


CO: PPG Industries ST: Pennsylvania IN: CHM SU:

DM -- PG014 -- 6351 04/15/93 14:52 EDT
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Publication:PR Newswire
Date:Apr 15, 1993
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