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Pilkington Trading Update points to 20% reduction in Profit, but Positive Signs of Growth from K Glass and Activ

In accordance with its established policy, Pilkington today issued the following trading update ahead of the announcement of its results for the year ending 31 March 2003, which is scheduled for 29 May 2003.

Stuart Chambers, Group Chief Executive commented:

'As has been the case for some time, trading conditions remain challenging in most of our major markets. Nevertheless, our achievements in improving the competitiveness of our manufacturing base, which is now as robust as any of our competitors, means that we are now much more resilient. Trading has been in line with expectations and our headline profitability is set to see a continuation of the consistent level reported in each of the last two financial half-years. In addition our renewed emphasis on free cash flow generation will enable us to report our strongest cash performance since 1994.'

Building Products

Building Products markets have continued to be weak, with the notable exceptions of the UK and Australia. Efficiency improvements and cost savings have helped offset some of the pressure, though Building Products trading profit in total will be down approximately 20 per cent on last year.

In Europe, our Building Products business, the largest single business in the Group, representing 60 per cent of total Building Products sales and 30 per cent of Group sales, has been adversely affected by the economic situation, particularly in Germany. Float prices are down by about 10 per cent on average, although the price falls were mitigated by reductions in capacity through plants being taken out of service for extended cold repairs.

Trading performance in the UK, which has held up well, has been strong, helped by rising sales of Pilkington 'K' glass following legislative changes requiring the use of energy-saving glass.

The European downstream business continues to demonstrate robustness in the prevailing economic conditions. Profits in this business will be above the levels achieved last year.

Building Products North America, representing 15 per cent of Building Products sales, has been adversely affected by weakness in commercial construction, where Pilkington is the leading North American glass supplier. Office vacancy rates are still high, making near-term improvement in the market unlikely. However, the Ottawa float plant is now back in full production following a cold repair and the benefits of the North American Step Change programme continue to come through, improving efficiencies and reducing costs, leading to a welcome improvement in profitability in the second half year.

Sales of our 35 per cent owned Mexican associate, Vitro Plan SA de CV (VVP), declined by approximately 5 per cent due to a slowdown in the domestic Mexican economy and in the non-residential construction sector in the US, as well as competitive pricing pressure. Profits were also impacted by a one-off charge for the write off of inventories. The impact of these factors was only partially compensated by increased sales at Vitro Cristalglass in Spain.

Despite difficult trading conditions in South America, exacerbated by political uncertainties, our Building Products businesses have continued to perform well. In Brazil the stabilised political climate following last year's elections is helping trading and our joint venture float business, Cebrace, has had another successful year. As explained in our interim statement, in view of rapidly rising inflation in Argentina, from 1 April 2002 the results of our operations in that country have been reported using hyperinflation accounting principles. Even on this conservative approach, the results of our Building Products business in Argentina have held up well, based on gains in domestic market share and increased exports.

The performance of our Australian business has been encouraging. Cost reductions and a robust trading environment will once again enable this business to report improved profits.

Sales of the Group's 19 per cent owned Chinese associate, SYP, showed modest growth, due to the inclusion of a full year's production from the Guangdong plant, repaired last year. Profits were down, however, principally due to a reduction in glass prices.

Growth

Pilkington continues to benefit from a progressive shift toward higher value added products in both Building Products and Automotive markets. We have seen increased usage of energy saving Pilkington 'K' glass in the UK, while sales of advanced fire protection products continue to increase in importance. Despite being launched in an economic downturn, uptake of Pilkington Activ(tm) self-cleaning glass is steadily rising and we remain optimistic about the long term prospects for this exciting product.

Construction of the fourth float line in Brazil, to be operated by Cebrace, our joint venture with Saint Gobain, continues. Start-up has been postponed because of economic conditions in Brazil and the plant is now planned to begin production next year.

Caldwell Celebrates 30th Anniversary today

Caldwell Hardware UK will begin celebrating its 30th year of trading today, 1st April 2003. The Company plans to mark the year with a host of activities and initiatives for staff and customers from its new 76000sq ft site in Coventry.

Established from a small plant in Leamington Spa, the now managing director Alistair MacAulay, with the backing of the US parent company, has led Caldwell's UK growth to the substantial business we know today.

The Caldwell name is acknowledged to be a leader in sash balances, supplying highly engineered mechanisms for windows to fabricators and specialist contractors. The window product range encompasses folding openers and a range of restrictors among its many facets.

Alistair MacAulay explains, 'Over the last 30 years Caldwell has adapted to meet the changing requirements of the industry. In the 70s it was the wholesale introduction of double glazing, the 80s saw the establishing of the PVCu window in a big way and the 90s saw the requirement for better performing products through improved specification requirements. We have adapted well to the changing demands made upon us and feel well equipped to meet the challenges of the new millennium'.

K2 Conservatory Roof Systems has set its sights on the future the conservatory market with the introduction of K2 Glass Ltd.

The formation of K2 Glass Ltd came as a result of K2 Conservatory Roof Systems Ltd acquiring Blackburn based, CCG Ltd, a company renowned throughout the glazing industry for its expertise and excellence in sealed unit manufacture and glass roofing products.

The Royal Bank of Scotland were fundamental in brokering this deal and continue to support The Burnden Group plc with its expansive and ambitious plans.

Coinciding with this new venture is the launch of Celsius, a 'revolutionary' new glass product designed specifically for conservatory roofs.

Manufactured from K2 Glass Ltd's premises in Blackburn, Lancashire, this technologically advanced glass system comes complete with a range of features and benefits.

Two of the key features of the Celsius range are its thermal and insulative properties, which mean that homes can be kept up to 72% cooler in summer by reflecting solar energy and up to 50% warmer in winter through its low 1:4 u-value, compared to roofs fitted with a standard double glazed unit.

In addition, the subtly tinted glass offers 44% less glare than a standard glass unit and a sound insulation property over twice that of typical polycarbonate during rainfall.

All these combined features along with a durable easy-clean coating, a 20 year seal warranty and at a price nearly half that of other performance roof glass will ensure that Celsius hits the mark.

Contact K2 Glass Ltd today on 01254 693111

GGF discuss Window Ratings, Conservatory Regulation and the GGF Conference at Glassex

Window ratings - the next step?
What with all the talk of Building Regulations and the future, it was interesting to hear what the British Fenestration Ratings Council (BFRC) had to say at the Energy Saving Trust's seminar in the Lecture Theatre on Tuesday 25th March 2003 at Glassex. It would seem that Dr Robin Kent and Kevin Cubbage have gone a long way towards developing a ratings scheme which could work for the industry. Their negotiations in Europe and work on developing a European Window Ratings Scheme (EWRS) incorporating A-G ratings and a 'label' - similar to those found on fridges and washing machines - would seem to have borne fruit if the response from Tuesday's audience was anything to go by.

'This could this be the next step in the industry's campaign to gain further recognition for the energy efficiency of their products and at the same time raise awareness amongst consumers,' said Nigel Rees, GGF Chief Executive.

Conservatories - Regulation or not?
Conservatories were a burning issue this year at Glassex, particularly whether they would be brought under Building Regulation control. It was apt then that Ian Chisholm gave a presentation on Monday 24th March 2003 at Glassex.

This presentation gave industry an opportunity to discuss the pros and cons of such a move. Ian highlighted the background to the current discussions taking place in Government circles and chaired an open forum so that further industry views could be added to the debate. The debate will continue at the GGF's Convention in May.

Recycling - new developments
Recycling is becoming more and more important as the number of landfill sites decrease. The GGF hosted a seminar on Monday 24th March 2003 at Glassex during which Dr Robin Kent - who has worked with Environwise, and Peter Gray - Operations Manager at Zenith Windows, gave a taster on how to recycle old window and door framing material as well as the financial benefits of all staff recognising the importance they play in saving energy in the workplace. This could cover anything from switching off unwanted lights to repairing air leaks in power tools. Peter Gray will be developing this theme at this year's GGF Convention in May.

Grasping the Nettle - Sapa sponsers GGF Annual Convention
The GGF announced at Glassex, that Sapa were sponsoring the Federation's annual Convention at The Queen Hotel in Chester on May 22-23. Nigel Rees GGF Chief Executive commented, 'The theme of this year's Convention is 'Grasping the Nettle - issues that industry can't ignore'. We will be addressing, training, health and safety, energy efficiency and the future as regards Building Regulations, Managing Change, the Competition Act, CE Marking, Recycling, Asbestos and Roofline, the new Employment Act and for those GGF Members who are FENSA registered there will be a FENSA Advice Forum. There will be something for everyone at this year's event and we are delighted to count on the support of Sapa as sponsors for the event - for the fourth year running'.

After what will be a packed day of seminars, delegates will be invited to a Black Tie James Bond Banquet in the evening. For further information contact Lis Chapelhow on 020 7207 5859 or click here for the PDF.

Scottish Executive welcomes GGF support on Part J
After a number of meetings with the GGF's Scottish Region the Scottish Executive recently issued their Building Regulation Note 1/2003 confirming that full implementation of Part J would take place from 1 March 2003.

The Building Note contains a question and answer section for Building Control Officers and refers to the GGF's Data Sheet 2.2 as the base for validating the U values that a window, and therefore a product range should achieve. It also refers to the GGF's consumer leaflet - 'Low Emissivity Glass - Conserve Scotland's Fuel and Power' which is available from Jim Williams on Tel: 01324 664311.
The GGF's Scottish Region is now working with the Scottish Executive to develop their own self regulation scheme through membership registration with the Construction Licensing Executive. The schemes that have been developed so far through the CLE have some resemblance to the Quality Mark scheme in England and Wales.

Fullex Secured with MBO

Six months after a management buy out Fullex Locks Limited has settled into new premises and is looking forward to a 'secure' future.

'The new company is dedicated to the design and manufacture of high specification door locks, because that is, without doubt, our area of excellence' says Ian Southall, managing director.

Ian, who led the management buy out, joined the company over 20 years ago when it was Fullex Limited and can remember when the company designed its first door lock, simply because they were unable to find a suitably secure product for patio doors being installed in the commercial market.

'Since then,' Ian continues, 'the design team have outclassed the competition with their inspired originality and are delighted with the initial response to their latest designs which will be introduced into the market place later this year.'

The company has undergone some major changes over the last few months, including the installation of a new IT system. 'Eventually the system will be integrated across the whole business, allowing customers to order on line,' explains Ian, 'but in the first instance we have concentrated on running production planning from the system. We know how important lead times and delivery schedules are to our customer base and wanted to show an immediate improvement in this area, so that we can set a service standard which is on a par with the high quality of our products.'

Ian was delighted that the company was able to retain so many of its skilled workers and that James Mason, has remained as production director. The complete Fullex Locks team is eager to introduce new and improved products and services.

All Fullex products are manufactured to a design formula, which, simply as a base structure, uses only stainless steel, investment castings and brass stampings - no plating to wear out. Combine these quality, durable materials with gear boxes rather than vulnerable springs, bolts as opposed to rollers, and the result is maximum protection against break in, weathering properties, long lasting reliability and practical functionality.

Fullex claims to be the first manufacturer to become a licensee of the Secured By Design mark. Every Fullex lock has the SBD logo stamped onto the faceplate and the company takes pride in its high accreditation performance. Faced with a UCAS accredited test facility as a sister company, Fullex Testing Limited, perhaps gives them motivation.

'Many people assume that having a test facility next door gives us an advantage over the competition,' says Ian, 'but Fullex Testing is completely independent and we are treated in exactly the same way as any competitor, systems company or manufacturer wishing to use the facility - so much so, that I'm not even allowed in!'

Tel: 01384 401312

Totally Committed to Expansion

Total Glass, one of Profile 22's biggest trade fabricators, is commissioning a new automated production line this year as part of on-going substantial investment to further grow the business.

The company expanded into a neighbouring factory unit at the beginning of the year, providing an extra 26,000 sq ft to house the Urban 800 line. This line increases overall efficiency and boost weekly frame capacity to over 2,300.

Production layout has also been reorganised with dedicated areas for storage and quality control. Bar-coding of frames at every critical stage in manufacture is to be launched as part of new quality control measures.

The system, to be introduced later in the year, allows frames to be checked at regular intervals and customers' orders tracked more accurately. Total Glass continues to offer its five-day turnaround.

Linked with increasing efficiency is off-site order processing allowing customers to email their orders which then enter the system automatically. It will be introduced from late spring to customers who request it.

It is expected that more staff will be recruited throughout the year, potentially taking the number of employees through the 100 mark for the first time in the company's 14-year history.

Among the new appointments will be an external commercial salesperson to build up sales in that sector, along with office and fabricator personnel.
Managing Director Frank Deary comments: 'We're looking at taking Total to the next level of growth through this new investment.'

One of Profile 22's longest-established customers, Merseyside-based Total Glass supplies customers with trade frames throughout the North and beyond and is going from strength to strength.


Pic caption: In the factory unit; from left to right: Ian Rogers, Foreman; David Ogilivie, Production Manager; Frank Deary, Managing Director and Roy Arkell, Despatch Manager.

Assa Abloy Acquires European Security Hardware Business from Black & Decker

* Assa Abloy has signed an agreement to acquire Black & Decker’s European Security Hardware Business
* The acquisition strengthens the Group’s position in Germany, Holland and Italy
* In year 2002, the acquired business sales amounted to EUR 108 M
* The acquisition includes the well known brand names DOM, Nemef and Corbin

Assa Abloy has entered into an agreement with Black & Decker Inc to acquire its European Security Hardware Business. The acquisition will strengthen Assa Abloy’s position in the region. The purchase price, on a debt free basis amounts to USD 108 M (EUR 98 M). After the restructuring currently in progress, the acquired business will be able to make a 10% EBIT margin. The acquisition will create goodwill amounting to approximately EUR 60 M, whereof a majority is tax-deductible.

Black & Decker’s European Security Hardware Business with a total of approximately 1,000 employees consists of three main companies in Germany, the Netherlands and Italy.

- Nemef in Apeldoorn, Netherlands produces and sells a full range of locks including cylinders.
- DOM in Bruhl, Germany manufactures cylinders. The company has subsidiaries in France and Switzerland and has branches in the Netherlands and the UK.
- Corbin in Bologna, Italy manufactures cylinders and sells padlocks and locks.

Nemef and DOM, founded in the beginning of the century, both have a large installed base of master key systems. Corbin was set up in the sixties, then as a part of Corbin Russwin in the USA, a company acquired by Assa Abloy in 2000.
The acquisition of Black & Decker’s European Security Hardware Business is subject to regulatory approval and will be EPS neutral during 2003 and positive from 2004.

Glass Dome is Lifted in to Top Foster's 'Gherkin'

The final element of the dome framework at the top of the 180 metre-tall 30 St Mary Axe was successfully installed on 20th March 2003.

'As well as being a major construction achievement, this is a milestone in the building's development. Now you can really sense how fantastic the corporate hospitality area at the top of the building will be,' says Sara Fox, New Building Director.

The glass cladding of the dome, which encloses the top three levels of the building, is supported by a series of lightweight steel frames. These frames were welded together using a 'jig' or guidance framework on the ground to create a total of nine units, each 12 metres tall and representing a 30-degree segment of the dome. Once the sections had been lifted to the top, the connecting elements were welded into place in between.

The dome is completed at its apex by a circular frame with legs known as the 'spider'. The 'spider', weighing approximately 1 tonne, was lifted by crane into its final position at 180 metres.

The 'spider' will support the only piece of curved glass in the building. The single, stunning lens-shaped piece of glass, 2.4m in diameter, will be installed from within the dome. The rest of the dome's glazing will be installed by crane and assisted by abseilers working on the outside.

Key Building facts
Height: 179.8 metres
Size: 46,500 sq m, inc. 1,400 sq m retail
No. floors: 40 (+ ground + one level basement)
Start/completion: Jan 2001-4th Qtr 2003 (construction), occupation 1st Qtr 2004
Cladding: Glass and powder coated aluminium fixed directly to the steel superstructure
Environmental: Openable windows, opportunity for natural ventilation

Prize winning building
30 St Mary Axe, the headquarters building for Swiss Re, was awarded ‘Best of Class’ in the Offices category and the overall joint winner of the ‘MIPIM Best of Show’ prize in the AR/MIPIM Future Project Awards 2003.

The new prize, which is to be awarded annually at the MIPIM fair by The Architectural Review, is given to distinguished, but uncompleted projects and in this inaugural year the judges selected from more than eighty submissions.

The 180m-tall tower for Swiss Re will be completed by the end of the year. It will be the capital’s first environmentally progressive tall building. Utilising its aerodynamic form to assist natural ventilation, the mechanical cooling and ventilation supply systems can be supplemented by fresh air for up to 40 per cent of the year, reducing energy consumption and carbon dioxide emissions.

Photos: Grant Smith

UK Building Firm looks set to Join Iraq Rebuilding Party

Civil engineering group Costain has said it had been approached by a number of American contractors about participating in reconstruction work in post-war Iraq, according to a report on the Telegraph website by Philip Aldrick yesterday.

'The discussions mark a significant step forward from last week, when the Department of Trade & Industry said there would be no contracts for British companies after the conflict.

However, following an intervention by the Trade Secretary Patricia Hewitt, companies in the United States have agreed to take on UK subcontractors with which they have a relationship. The final bill for rebuilding Iraq's bridges, hospitals and roads is expected to approach £1 billion.

Costain has links with Halliburton, the energy company formerly run by vice-president Dick Cheney, which has already won the main Iraqi oil well fire-fighting contract. It also works closely with US construction group Bechtel.

The group has close ties with the region through its second-largest shareholder, the Kuwaiti businessman Mohammed Al-Kharafi, and is currently working on several infrastructure schemes in the Middle East.

The revelation came alongside a 30pc increase in profits to £11.3m before tax, on sales 17pc higher at £543m for the year'.

Necessity, Pride and Enjoyment - Reasons Directors are Staying in the Job

By the end of 2003, almost a fifth of directors in the UK Windows & Doors industry will be over 60 years old, according to a just published Plimsoll analysis on company directors.

The new Plimsoll Directors Edition, analysing 2872 directors in the Windows & Doors industry takes an in-depth look at the personalities behind the companies and looks at the motivations for directors staying, leaving or joining the industry.

The study has found that 892 'baby boomers' of the 1940s or before, born in post war England, have been the backbone of the industry for more than 30 years. Perhaps it is not surprising that directors of companies should stay on after 60 given that wisdom and experience are valuable in dealing with company affairs. The question is who will succeed them.

Yet what is driving these elder statesmen to continue in the industry? David Pattison analyst at Plimsoll, 'Directors are staying at their company out of necessity, pride and even enjoyment. Yet there is no doubt that many of these 'baby boomers' are at crossroads in their lives. It has certainly been a factor driving current acquisition activity.'

Identified in the Director's analysis are:

The millionaires club
The analysis names 119 companies run by 1940s directors that if these companies were sold all of these companies would net over £1 million. 'It's a tempting prospect for someone thinking of his or her retirement fund. This is quite a door opener for a potential acquirer,' says Pattison.

Struggling on
The analysis also names 26 companies driven by 1940s directors that are going through a period of distress. All of these companies are loss making and all are taking on extra debts. Is it understandable for these directors to bow out or are they up for one more challenge in their illustrious careers?

Beyond retirement
The analysis also names 162 directors who are working beyond the age of 65. Perhaps they agree with the recent study by the Department for Work and Pensions that suggested if you continue working after retirement then you are healthier, wealthier and happier. Certainly some of these directors must be pleased that their companies made healthy profits last year. Age it seems is no barrier to success.

What can the industry offer the next generation of leaders?

*Average salary last year was £45K
*Average salaries increased by 1%
*Top earners can see salaries of around £131K
*This compares with the UK top eamers average of £150K
*Average time at the same company is now over six years
*This compares with the UK average of just over seven years

The industry it seems, can afford competitive salaries. Yet this may not be enough to encourage sibling retention and tempt new blood into an industry that becomes more competitive every year.

With over a quarter of companies in the industry loss making, and with a market
growth of 1O%, the industry attracted 547 new directors over the past two years. The just published Directors' Edition from Plimsoll shows what initial challenges these new directors will face:

*74 directors must radically cut costs
*90 directorsrs must kick-start their companies commercially
*33 directors must boost profitability
*39 directors must eliminate the competition through acquisition

The full analysis of the top 1OOO UK companies in the Windows & Doors industry including the 2872 directors behind them is available from Plimsoll Publishing for £365.00. You can call Plimsoll for more information or to order this analysis on Ol642 626400 or visit http://www.plimsoll.co.uk. Readers of The Gl@zine will receive a 5% discount when mentioning this article upon ordering.

Ultralite gets the Premier Treatment

Ultraframe, the designer and manufacturer of conservatory roofing systems and ancillaries has added Premier Frames to the growing list of distributors of its Ultralite 500 'roof in a box' lean-to conservatory roof, making it even easier to get this value roofing system.

Premier Frames has been fabricating Ultraframe roofs for over five years and provides roofing systems all over the Midlands. Employing 12 people Premier Frames fabricates over 20 roofs per week.

As a company Premier Frames is constantly seeking to add value to its conservatory range by adding new products and services. The Ultralite 500 is one of Ultraframe's most flexible and adaptable roofing systems and Premier Frames is convinced that the fact that it is available over the counter for added convenience will drive sales in 2003.

As adaptable as it is simple to install, Ultralite works on roof pitches as low as they'll ever go in a practical on-site situation - even as low as 2.5 degrees. Moreover, Ultralite 500 claims to be the most fitter friendly product on the market, with components logically packaged to come out of their boxes in the order they're needed and a colour coded schematic to save time on site and reduce the opportunity for error during installation.

Dean Ward of Premier Frames says: 'We pride ourselves on our helpful service and high level of technical expertise and ability to provide practical technical support for all customers. We believe that Ultralite 500 is one of the best systems on the market; fitting well with our existing product porffolio and giving our customers even greater choice.'

Tel: (+44) 01200 443311
Web: http://www.ultraframe.com

Lobby to Protect Yourself from Cowboy Builders - Homeowners Urged to Push for Quality Mark Scheme

Families across the country are being urged to lobby local firms to help protect themselves from the risk of falling victim to cowboy builders.

To safeguard themselves, homeowners are advised to use reputable builders available through the Government-backed Quality Mark Scheme register, when they need work doing on their homes, and to use consumer power when talking to tradesmen to help increase the effectiveness of the Scheme.

While more than 360 firms are now accredited to the Scheme and over 580 are going through the assessment process to join the register, use of customer pressure will help accelerate the process and make life harder for the cowboys, says Construction Minister Brian Wilson. A direct marketing campaign to consumers is planned once enough firms are registered.

He said: 'Quality Mark is gaining strength and gathering momentum in key regions, but to become a truly national solution and thoroughly marginalise the rogue traders, the role of consumer power will be very influential.

'We have seen the effect of environmentalists and other lobbyists using purchasing power to effect change in everything from the practices of major companies to the type of products supermarkets stock on their shelves, and I think the same strategy will prove effective when it comes to minimising the impact of the cowboys.

'As knowledge spreads of the comprehensive protection and peace of mind Quality Mark can guarantee for homeowners, more people will be asking contractors if they are on the Scheme. If the answer is 'no', they will understandably want to know why not. Discerning consumers are not afraid to ask probing questions these days.

'While the Scheme is free to join and offers reputable firms a wide range of benefits including improved business management and profitability, deliberate non- membership will start to arouse justifiable suspicions among the public and they will stop using such firms - recent research shows trust is absolutely critical.

'Asking firms these kinds of searching questions now will help to convert the undecided in the building trade and more quickly spread the net of care and protection Quality Mark can effectively offer to homeowners everywhere.'

The shoddy work and rip-off tactics of cowboy builders has become Britain's number one consumer complaint, prompting the Government to launch the Quality Mark Scheme.

It works by placing contact details of tradesmen who reach the required standard on a national register. This is accessed free-of-charge by phoning local rate call centre number 0845 300 80 40 or via the internet at http://www.qualitymark.org.uk.

A national poll of homeowners carried out in January showed more than eight out of ten would prefer to use a Quality Mark accredited tradesman, half of homeowners did not trust tradesmen and 39 per cent would not even consider using one who was not accredited.

Select Invests £1.5 Million to Achieve Improved Manufacturing Efficiencies

A £1.5 million investment in a new factory, machinery, facilities and IT systems has helped Status fabricator Select Windows improve manufacturing efficiencies in readiness for its next stage of growth. The Walsall based fabricator can now produce five days worth of windows in just three days.

The investment includes the purchase of a new site just across the road from Select's original factory. The new site provides 24,000 square feet of facilities, effectively increasing available space by 250 per cent. A more strategic factory layout has been designed, which means that Select can already fabricate 50 per cent more windows a week now in the same time as it was previously producing 500.

'We were having to turn work away in the old factory - we just did not have the capacity,' said Select director John Wood. 'However, our managing director Paul Horton had already doubled sales over the last couple of years, and was chomping at the bit to go yet further. £1.5million is a lot of capital, but having worked through the commercial implications with Status was knew it was time to take the next step.'

After 23 years in the business, Select knew that investing in greater professionalism and efficiencies would ensure its success and stability for many years to come. Since January 2003, Select's sales had already increased by 30 per cent. Manufacturing efficiencies were such that the fabricators were completing orders with time on their hands for more. The effect on the bottom line would soon more than pay for the levels of investment.

'Over the next couple of years we will increase output to 1500 frames a week,' said John Wood. 'Up till now we have concentrated primarily on the retail and trade markets. There is still tremendous buoyancy here, but the commercial market is still growing, particularly in social housing. There is still a way to go for the market place to develop as a whole.'

Select Windows:
Tel: 01543 370666
Email: mailto:sales@selectwindows.co.uk
Web: http://www.selectwindows.co.uk

Status Systems:
Tel: 01457 875731
Email: mailto:info@status-systems.co.uk
Web: http://www.status-systems.co.uk

Chubb Sales up 6% for the Year, Pre-tax Profits up to £110m, Findler becomes Chief Exec

Chubb plc, the worldwide security services provider, announces its audited Preliminary Results for the year ended 31st December 2002.

2002 Highlights
* Total Group sales up 6% to £1,501.6m
* Profit before tax on continuing operations of £110.1m (2001:£105.3m)
* Statutory profit before tax of £41.7m (2001:£6.5m)
* 50% improvement in cashflow from operating activities to £231.3m
* Working capital to sales ratio down to 6.7% at 31st December 2002 (2001:10.1%)
* Adjusted earnings per share 9.0p (2001:9.2p)
* Proposed final dividend 1.55p per share making 2.35p per share for the full year, up 4.4% over 2001
* Net debt down by £38.6m to £472.8m
.
Jonathan Findler, Chief Executive, said:
'The majority of our businesses have delivered strong growth and gains in market share. Whilst extremely encouraging for the future, this progress has been constrained by challenging trading conditions in Asia Pacific where recovery programmes are already underway.

'We are now in a better position to fulfill our ambition to build the world’s leading portfolio of security services.'

Chubb plc further announces that Jonathan Findler, previously Deputy Chief Executive and Chief Financial Officer, has been appointed to the position of Chief Executive of Chubb plc with immediate effect.

Sir Robert Horton, Chairman said:
'Jonathan has been instrumental in driving some of the changes in working practices at Chubb over the last two years. I am confident that the combination of expertise and pragmatism that he will bring to the role of Chief Executive will help Chubb build on its current position, both exploiting the opportunities and addressing the challenges in our markets.'

Jonathan Findler joined Chubb plc in August 2000 from Enodis plc (formerly Berisford plc), where he had been Finance Director since 1996. His early career was spent with Procter & Gamble and Raychem Corporation and in 1994 he was appointed to the position of Finance Director for John Crane, a major division of TI Group Plc. He is a chartered accountant and holds an MBA.

Alcoa to Invest over $1 Billion to Expand Its Deschambault Aluminum Plant and Create 1,500 Jobs

Quebec Premier Bernard Landry and Alcoa Chairman and CEO Alain Belda have signed a memorandum of understanding (MOU) for expanding Alcoa's aluminum plant in Deschambault. This MOU, which is the result of negotiations that began in the autumn of 2001, will allow the plant to increase its annual production capacity from 250,000 to 570,000 metric tons.

In attendance at the announcement of the signing were Roger Bertrand, Minister for Health, Social Services and Youth Protection and the MNA for Portneuf, Jacques Brouille, mayor of Deschambault-Grondines and more than 500 plant employees and guests.

The expansion will entail investments of more than $1 billion (Canadian) and the creation of 6,500 direct and indirect jobs for the length of the construction period. For its part, Alcoa agrees to create a minimum of 1,250 jobs, most of which will be in the Quebec aluminum processing industry and more than 250 jobs for the expansion of the Deschambault plant. It will be assessed heavy penalties if it cannot meet this commitment.

Premier Landry noted: 'The goal of the Parti Quebecois government with this MOU is clear- speed up the implementation of a world-class facility for secondary and tertiary aluminum processing and put our hydro-electricity to work for the economic development of Quebec. This innovative approach forms part of our work to implement our Horizon 2005 action plan, through the announcement of a highly structuring project for the National Capital Region that will create thousands of jobs.'

When the expansion of Alcoa's Deschambault and Baie-Comeau aluminum plants has been completed, the combined capacity of the company's three plants in Quebec will be 1,400,000 metric tons a year. As a result, Alcoa's Quebec plants will be among the leading aluminum producers in the world.

Mr. Belda noted, 'Since the start-up of the Deschambault plant in 1991, its employees have all worked hard to make it a top performer. The investment being announced today offers recognition of their accomplishments. It is also the means that will allow the plant to continue beating its own production records and remain one of the world's most highly-performing aluminum plants, which make excellence their everyday priority.'

Alcoa has set January 2006 as the start date for the project, with a production start date of 2008. The new facilities should be ready for full operations no later than 2013.

'We certainly hope that the project will start in 2006, but the overall aluminum market will determine the timing. This agreement will give us the flexibility to start construction as soon as market conditions warrant,' added Mr. Belda.

The project is eligible for tax exemptions available for major projects. It is also eligible for support under the FAIRE program, which will provide financial support in the form of an interest-free loan that could be as much as $260 million. Hydro-Quebec will provide the 500 MW necessary for the plant's expansion at the regulated industrial power rate, commonly called the 'L' rate.

The investment at Deschambault, combined with the one announced in December 2002 for the upgrading and expansion of Alcoa's Baie-Comeau aluminum plant, means the company will be investing more than $2 billion (Canadian) in Quebec over the next ten years, in addition to its operating costs, investments in environmental protection, and ongoing initiatives to optimise its plants'
performance in a world where only the most competitive ones have a future.

With its team of 550 persons, Alcoa's Deschambault aluminum plant produces 250,000 metric tons of aluminum a year. It is part of the Alcoa Primary Metals Northeast Group, which includes the Becancour and Baie-Comeau aluminum plants, and the Becancour aluminum rod production plant.

With its 19 plants and facilities in Canada, 10 of which are in Quebec, Alcoa offers leading-edge products and solutions to several of the country's major markets. Its Quebec aluminum production and processing plants have an annual output of more than 1.3 million metric tons, made up of ingots, castings, billets and rods. Alcoa also manufactures parts for the aerospace and automobile industries, as well as construction and packaging materials.

Alcoa has more than 4,000 employees in Quebec. Its sales in Quebec in 2002 came to $2.3 billion. Alcoa Inc. is the world's biggest producer of aluminum and aluminum-fabricated products, with worldwide sales in 2002 of $20.3 billion US.

Web: http://www.alcoa.com

Opening up to Natural air and Daylight

'A growing demand for bringing the outdoors into the home has driven the development of an open-air concept for our living space.' says specialist Glazing Vision.    

A new domestic market is evolving for the open roof concept. Architects, developers and house owners are recognising the dynamic effects of opening up large area of the home to the open air at the push of a button. Such rooflights are now available in all configurations from single and multi-parting sliding panels for flat and pitched roofs, dual pitched for roof ridges to shaped boxes, sliding pyramids and rotating domes as architectural features. Where there is no requirement for daylight in the closed position the opening is disguised into the roof finishes.

Statistics from marketing consultant Ann Staines show the following market distribution of this opening rooflight market:

52%      Roof terrace access (55% in West London)
20%      General ventilation and ambience
15%      Religious Ceremonies
7%       Bedroom ambience
6%       Other   

With space becoming a valuable asset in today's property market, extending upwards is often seen as an attractive option. For those who want to create a living area on the roof of a mews town house or just bring the outside inside an opening or fixed rooflight is a perfect solution.

If you aren‚t extending outwards there is always the option to extend upwards and increasingly in the city centres where small gardens are common the opportunity is being taken to include a roof garden or patio area with panoramic views.

There is an increasing trend towards families wanting more multipurpose living space within their domestic environment. With increasing property prices more homeowners are extending existing properties rather than moving up to larger ones. So long as prices remain buoyant this will continue to be good investment. To achieve the objectives where space is already at a premium, a number of architects are choosing to include opening roofs within their designs.

In many town houses the back gardens are no more than a small courtyard and by extending a property at the rear an already small space is being lost altogether or becomes so small that it is no longer a useable area. Therefore one compromise when enclosing these areas is to fit an opening roof thus making what was an outside area, which could only be used in the summer, an all year round space. With modern framing systems and high performance double glazed units good thermal insulation can be achieved and it becomes a very comfortable living space even on the coldest of winter days. In the summer the roof can be opened and your external space is returned. Designs can be discreet with matching finishes and low profiles. Factory bonded units give a sleek and easy to maintain product.  With these factory pre-assembled units large rooflights can be crane installed and commissioned in single day.

Tel: 01842 827674
Email: mailto:sales@visiongroup.co.uk
Web: http://www.visiongroup.co.uk

Software Links for Efficient Manufacturing in Smaller Fabricator Operations

Software supplier Business Micros has announced that a key proportion of its growing monthly sales figures is taken up with machine link software. This, the company feels, highlights the fact that small to medium sized fabricators are making a considered and concerted effort to regain their position on the manufacturing ladder despite years of pressure to cease production and buy in frames from outside.

Machinery today is competitively priced with highly accommodating finance plans, enabling those fabricators to produce the high levels of finished product quality that is expected these days. Business Micros works closely with the UK machinery suppliers to ensure that the software links between the equipment and the fabricator's own IT system runs smoothly and efficiently.

'Efficiency in manufacturing means that you can make a perfectly good living producing just 50 windows a week,' said Business Micros director Graeme Bailey. 'Entrepreneurship does not mean you have to strive for the several thousand plus a week rates - profit margin optimisation is a far greater measure of success.

'Creating an effective software link is crucial to the achievement of manufacturing efficiency,' continued Graeme. 'You can have the best machines on the market and the best IT. Yet what use are they if they don't talk to each other.'

Business Micros employs its own specialised machinery technicians to ensure that all software links are carried out professionally, and on time.

Tel: 01848 330588
Email: mailto:info@businessmicros.co.uk
Web: http://www.businessmicros.co.uk

BWF Member makes Wood Windows Work for Manchester

High security and very good weather resistance are amongst the criteria to have been met by a member company of the British Woodworking Federation (BWF) for the supply of timber windows to one of the country's largest social landlords.

Wright Joinery from Hull is now in the third year of an annually reviewed contract producing made to measure fenestration for the replacement of worn out windows in properties owned by Manchester Housing. The factory finished and glazed windows are being supplied to Manchester City Works, the council's Direct Labour Organisation.

In line with Manchester's policy on sustainability and ensuring its tenants' homes are economical to heat, Wright's Secureframe Windows comply with the revised Part L of the Building Regulations.

Mr David Hays, the Programme Maintenance Manager for Manchester Housing, comments: 'Around 50,000 homes come under Manchester Housing. We have a rolling programme for repainting the outside of them every five to seven years. Through this we identify windows in need of replacement and normally tackle estates of between 200 and 600 houses at a time.

'Our specification is for factory finished timber windows. We have also encouraged our suppliers to adopt BS 7950 which we believe significantly increases security for our tenants. Wright Joinery has been our supplier for a number of years now and we have been pleased with the firm's performance.'

The majority of the 3500 windows supplied to date have either been of the casement type or fully reversible units featuring PN hinges, specified where cleaning from the outside could be considered a problem.

Wright factory finished windows, a combination of Dry Glazing and Flexistrip glazing tape, with the low-E, 24 mm thick insulating glass units. They have also been successfully tested to the requirements of BS 7950 and accepted under the Secured by Design scheme.

This high level of resistance to forced entry has been achieved through the specification of a Maco shootbolt multi-point locking system, backed up by Securistyle friction hinges and Titon handles. Integral EPDM gaskets also ensure the windows are weathertight to BS 6375.

Wright Joinery is one of the Members detailed in the BWF's Specifiers Guide. For a free copy contact the BWF on telephone: 020 7608 5050
Email: mailto:bwf@ bwf.org.uk
Web: http://www.bwf.org.uk

EAS Windows

Eurocell Building Plastics Sub-Stockist, EAS Windows of Leicester, has recently completed a new 'showhouse'. The family run business owned and managed by Adam and David Spradbury, took advantage of the adjacent property when it became available. As well as a conservatory, windows and doors, EAS has used the full range of Eurocell Building Plastics including Fascias, Soffits, Guttering and Downpipes to finish off the roofline on the property.

The new showhouse complements EAS Windows' existing showroom on its main manufacturing site, but having this additional area to show products 'in situ' is benefiting the company's trade already. 'We are pleased to have made this step forward in the business, and are looking forward to further future developments with Eurocell's backing,' said Adam Spradbury, Director, EAS Windows.

Tel: 0116 2710120

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