Georgia Gulf acquires siding manufacturer
Georgia Gulf Corp., an Atlanta-based public company, has announced the purchase of Exterior Portfolio by Crane, a siding manufacturer owned by the Crane Group, for approximately $72 million. Headquartered in Columbus, Ohio, Exterior Portfolio is a leading U.S. manufacturer and marketer of siding products with 2010 revenues of approximately $100 million.
"This acquisition is a strong fit with our Royal Building Products business, and the combination will create the third largest vinyl siding manufacturer in North America,” said Paul Carrico, president and CEO of Georgia Gulf in a press release. “We expect this acquisition to be accretive in 2011, excluding one-time costs, and to fund the acquisition out of cash on hand.”
Georgia Gulf Corp. is an integrated North American manufacturer of two chemical lines, chlorovinyls and aromatics, and manufactures vinyl-based building and home improvement products. The company’s vinyl-based building and home improvement products, marketed under Royal Group brands, include window and door profiles, mouldings, siding, pipe and pipe fittings, and deck, fence and rail products.
Green Depot acquires Ecohaus
Two of the nation’s largest dealers of green building materials became one this week when Green Depot purchased Ecohaus, a Pacific Northwest icon, creating an East-West network of environmentally friendly LBM stores.
Green Depot serves residential and commercial builders, as well as homeowners, nationwide through its website and 10 showrooms including a Manhattan flagship; Brooklyn; Chicago; Boston; Philadelphia; Long Island N.Y.; Newark, N.J.; Albany, N.Y.; Manchester, N.H.; and Newark, Del. The company enjoys a strategic partnership with Brooklyn-based MarJam Supply Co., the 2010 Home Channel News Pro Dealer of the Year.
Green Depot has been recognized by the EPA, Mayors Michael Bloomberg, Richard Daley and Cory Booker as an innovative leader in the green building community. In February 2009, Green Depot made history by creating the first ever LEED Platinum certified retail flagship store within a historical landmark. Green Depot has 33 additional warehouse distribution centers.
With locations in Seattle, Portland and San Francisco, as well as nationwide distribution through its website, Ecohaus provides homeowners and professionals green building and remodeling supplies. In 1992, the company opened Environmental Building Supplies in Portland, Ore., one of the nation’s first green building stores.
The Environmental Home Center opened near downtown Seattle in 1995, and the two companies eventually merged and became Ecohaus, adding a third store in San Francisco.
At LP, fourth-quarter sales jump 14%
While still waiting for housing starts to improve, Louisiana-Pacific posted strong sales gains for the year and the quarter, while overseeing growth in engineered wood products, siding and OSB.
Nashville, Tenn.-based LP posted fourth-quarter sales of $316 million, up 14% from the same quarter last year. However, losses from continuing operations were $2 million, compared with a $47 million loss in the prior-year quarter.
For the full year ended Dec. 31, sales were up 30% to $1.4 billion. Losses for the year were $32 million, compared with a loss of $117 million in 2009.
"LP recorded positive adjusted EBITDA in the fourth quarter, a testament to our operational improvements and outstanding execution by our sales force,” said CEO Rick Frost. “While we have not yet seen much improvement in housing starts, we have been able to take advantage of the improving repair and remodel market, international opportunities and strengthening siding sales.”
Breaking down its various segments, the company reported:
• Engineered wood products segment sales in the fourth quarter of 2010 totaled $49 million, up 11%;
• The siding segment reported net sales of $103 million in the fourth quarter of 2010, an increase of 18% from $87 million in the year-ago fourth quarter; and
• The OSB segment reported net sales for the fourth quarter of 2010 of $127 million, up 11% compared with $114 million of net sales in the fourth quarter of 2009.
“Looking into 2011, we see housing starts improving by 15% to 20% and anticipate continued recovery of repair and remodeling activity," Frost added. "As an organization, we will remain agile to respond to changes in the demand as the year progresses.”