Electrolux CEO points to recovery, despite losses
Electrolux president and CEO Keith McLoughlin reflected on the company’s progress during the second fiscal quarter, pointing to prospects for growth.
However, net sales decreased by about 4.9% year-over-year, totaling $26.3 billion for the three-month period. That decrease was slightly smaller for the six-month period — 2.0%.
Meanwhile, the company posted a net loss of $92 million for the quarter. For the first six months, the company’s net income of $339 million compares to net income of $1.003 billion for the same six-month period last year.
"We will continue to launch new, innovative products in parallel with optimizing global production with a strong focus on cost efficiency," said McLoughlin. "This will enable us to continue to generate a solid cash flow and shareholder value."
McLoughlin pointed to specific cost-reduction initiatives that Electrolux is conducting in its various market segments, including one in Europe overall and a review of its manufacturing facilities in Italy.
After acquisition, PPG posts record numbers
Following its agreement last month to acquire Consorcio Comex, Pittsburgh, Pennsylvania-based PPG Industries released what it called a record performance for its second quarter.
PPG reported net sales from continuing operations of $4.08 billion, up 5.1% from $3.88 billion in the same quarter last year.
Net income increased 13.2% to $386 million.
PPG announced June 30 it had reached an agreement to acquire Consorcio Comex, a leading Latin American architectural and industrial coatings company, in a transaction valued at $2.3 billion.
“Strategically, we continue to complete significant actions focused on expanding our global coatings presence,” said CEO Charles E. Bunch. “We closed several small acquisitions this year, and most noteworthy, we reached agreement to acquire Comex – one of the highest-quality coatings businesses in the world. We are excited about the value this transaction brings to PPG."
North American architectural coatings sales grew modestly, with results differing by distribution channel, the company said.
PPG promotes McGarry to COO
Michael H. McGarry, currently executive VP of Pittsburgh, Pennsylvania-based PPG Industries, has been appointed to the post of chief operating officer.
McGarry will have executive oversight responsibility for all of PPG’s strategic business units and operating regions and for the information technology (IT), environment, health and safety (EH&S), and purchasing functions. He will remain based at PPG’s global headquarters in Pittsburgh and will continue to report to Chairman and CEO Charles E. Bunch.
“Michael’s experience and leadership have been instrumental in driving PPG’s transformation into the world’s leading coatings and specialty materials company,” Bunch said. “In this new role, Michael’s proven operational expertise and demonstrated ability to implement our business strategies will play a key role in our continued focus to deliver increased shareholder value.”
During his 33 years with PPG, McGarry has served in a variety of key business and functional leadership roles in the United States, Europe and Asia. In addition, he helped lead several strategic actions that have transformed PPG’s business portfolio, most notably the acquisition of SigmaKalon; the separation of PPG’s former commodity chemicals business; the acquisition of AkzoNobel’s North American architectural coatings business; and, most recently, the announced agreement to acquire Consorcio Comex, S.A. de C.V.
The promotion is effective Aug. 1.
McGarry joined PPG in 1981 as an engineer at the company’s Lake Charles, La., chemicals complex