Pilks
shares drop 6% as Scaroni quits to head up Italian state owned electricity
giant Enel
The
Board of Pilkington plc has announced its intention to appoint Stuart
Chambers (pictured right), Pilkington Executive Director and President
of Building Products Worldwide, as Group Chief Executive following Monday's
announcement by the Italian Treasury Ministry that it is proposing to
appoint Paolo Scaroni to the Board of Enel, Italy's largest integrated
electricity group. It is also Pilkington's intention to appoint Paolo
Scaroni as Non-Executive Deputy Chairman of Pilkington plc. He will retain
his entire shareholding in Pilkington plc.
It is understood that Italian PM Silvio Berlusconi - under pressure to
appoint a serious industry player to head up the the state owned electricity
giant after a series of lame duck appointments - made Mr Scaroni an offer
he could not refuse last Saturday, but Pilkington is playing down the
suddenness of his departure by claiming that the company was preparing
for a major board reshuffle in any case, and Stuart Chambers was expected
to take over from Scaroni sometime next year. Mr Chambers, at 45, is some
10 years younger than his predecessor.
Likewise, Mr Scaroni is downplaying the effect of his departure, saying
that the market has overvalued his role by knocking nearly 6% off the
share price on the announcement. He says that although he would claim
to have effectively introduced a 'cost culture' to the ailing glassmaker,
there is still a lot for his successor to get his teeth into.
The facts speak for themselves: Profit margins are up to 7% compared to
4.5% when Mr Scaroni took the job, according to the Financial Times. The
overhead-to-sales
ratio fell from 31 per cent to 22 per cent over the same period.
The new appointments will become effective upon approval of the Italian
Treasury Ministry's proposal by the Board and shareholders of Enel at
its shareholder meeting on 24 May 2002.
Another board shake up involves the departure of Warren Knowlton, previously
president of North American operations.
Central to the Step Change programme which Pilkington has pushed through
in the last couple of years has been the reorganisation of the Group into
two global business lines - Building Products and Automotive Products
- and a significant strengthening of its management in each of these areas.
Following this reorganisation and the resultant elimination of Pilkington's
geographic reporting structure, the position of President, Automotive
Worldwide and President of Pilkington North America has ceased to exist.
As a consequence, Warren Knowlton will leave the Group at the AGM on 30
July 2002. Pat Zito will assume responsibility for Pilkington's Automotive
OE business worldwide (which accounts for 80% of the Automotive division's
sales) and will be appointed to the Pilkington Board.
The current managers responsible for all Pilkington's Building Products
and AGR businesses will report directly to Pilkington's new Chief Executive,
Stuart Chambers.
Sir Nigel Rudd, Chairman of Pilkington plc, said: 'We are enormously appreciative
of the significant transformation that Paolo has achieved at Pilkington.
In five years he and his senior team have transformed the Group from a
loose confederation of under-performing glass businesses into a world
leader in glass manufacturing with a strong management team. Stuart Chambers
has worked closely with Paolo during the process, playing an integral
part in the transformation, and the Board is delighted that he has agreed
to become Group Chief Executive.'
Paolo Scaroni, Group Chief Executive of Pilkington plc, commented: 'Only
an opportunity of this scale would persuade me to relinquish my position
as Pilkington Group Chief Executive. As Deputy Chairman and a major shareholder
in Pilkington, I will continue to actively participate in the successful
future development of the Group.'
Pilkington
Activ™: Coming Soon - A Major Boost For The UK Home Improvement Market
Within months of its launch in Ireland over a year ago, Pilkington Activ™,
the world's first self-cleaning glass, had smashed all of the sales targets
set for the product by launch partner Senator Windows. Such was the immediate
popularity and acceptance of the proposition offered by Pilkington Activ™,
with its unique dual action.
Indeed,
despite the product not being scheduled for launch in mainland UK until
2002, word of Pilkington Activ™ leaked out to the British national
press with the result that, on the day following its launch in Dublin,
every single national newspaper, tabloid and broadsheet, carried the item.
Many carried it as business news, resulting in a marked hike in Pilkington
shares; others celebrated the elimination of that most onerous of household
tasks, and the demise (tongue-in-cheek) of the window cleaner. The appearance
of Pilkington Activ™ at the French building industry show Batimat
in November last year was rewarded by the Gold Award for Innovation presented
by the organisers.
Within just a few short months Pilkington Activ™ will indeed, become
available in the UK, having already been launched into Ireland and Austria
early last year, the United States in June 2001 to immediate market acceptance
and, in March this year, in France, Germany, Benelux and Switzerland.
In each of these countries, despite dramatic variations in such key respects
as home ownership (15% in Switzerland, compared with 81% in Eire), and
even such fundamental issues as the prevalence of window cleaners (virtually
unknown in Germany), there has been a unanimous welcome for Pilkington
Activ™, measured initially by press response following the product's
launch, and then hard sales.
In Britain, which has one of the most highly developed home improvement
markets in Europe, the revisions to Part L of the Building Regulations
were expected, quite correctly as it turned out, to give the industry
enough to think about. The decision was therefore taken to delay the roll
out of Pilkington Activ™ until the industry had fully assimilated
Part L, in what amounts to the most significant change to affect the replacement
window market since the introduction of PVC-U.
The availability of Pilkington Activ™ in Britain will be especially
welcome in a market that is showing a flattening of sales for replacement
windows in the domestic home improvement sector, but a further boost for
the burgeoning conservatory industry. Glass that quite literally cleans
itself will, as it has in Ireland, stimulate additional interest and improved
margins for window and conservatory sellers, with the idea of never again
having to struggle with a squeegee and a step ladder too much to resist
for most homeowners!
With Part L under the industry's belt, installers have something very
positive to look forward to in the next few months…
Click here for more on the technical
background to Pilkington Activ™
Millgate
Conservatories Claims Lincolnshire Top Slot
Veka systems installer Millgate Conservatories claims to be Lincolnshire's
top conservatory installer, despite the company's strict policy of not
employing commission-only sales consultants. Although it avoids the home
improvement industry's favoured route to market, Millgate enjoys sales
success in the home improvement market, in addition to being the approved
installer for several major house builders.
The
company, based at Whaplode near Spalding, installs products manufactured
by Veka fabricator Modplan, based in Abercarn,-Wales, and adheres to a
strict code of quality and ethical standards that the company believes
is at the core of its success. Customers are able to instantly price standard
size and style conservatories from its web site, with prices fully inclusive
of site preparation and, where relevant, dwarf walls and electrics package.
Millgate's work increasingly includes the local new build industry as
approved suppliers to local developers Stamford Homes and Ashwood Homes,
in addition to national developer Allison Homes. Many of the show homes
of these companies throughout the region feature Millgate's conservatories.
In addition to the standard range of conservatories the company also develops
its own features and enhancements for bespoke designs. One recent installation
involved an oblong conservatory spanning 6.7 x 4.4 metres topped by a
dovecote.
Rodney Grocock, Millgate's managing director believes that quality will
always show through: 'We have become number one in our region because
we follow what many regard as old fashioned values. But our pursuit of
excellence has very tangible benefits for Millgate as well as for our
customers, in the form of a consistently full order book.'
Tel: 01406 371674
Web: http://www.millgategroup.co.uk
Goliath
Goes on Growing 15 Years On
Staffordshire-based Goliath Group celebrated its 15th anniversary with
the launch of a new £30,000 showroom extension - and an open day
that set two lucky visitors on their way to Paris.
The long-standing Veka fabricator has grown since 1987 from a modest domestic
operation into a home improvements group employing more than 100 local
people.
Co-founders Steve Hancox and Bob Wakelin have seen the Goliath Group evolve
to include a separate trade fabrication division - the Window Works -
as well as Goliath Trade Laminators and security door specialist Goliath
Doors. The extended headquarters at Hawks Green, Cannock, now has even
more space to show off its windows, doors and conservatories as well as
a spacious cane furniture showroom, especially now that the group's kitchen
and bedroom departments have been relocated to their own showroom nearby.
Goliath is a founder member of Network Veka and Steve has a seat on the
body's steering group.
The prize draw at the open day was won by local couple Max and Diane Perrins
who will enjoy a three-night break in Paris.
Contact: Steve Hancox
Tel: 01543 466464
Email: mailto:sales@goliathgroup.net
Web: http://www.goliathgroup.net
Caption: Bob (left) and Steve celebrate 15 years of Goliath.
FAECF
Prepares Practical Implementation of European Perspectives for the Fenestration
Industry
The FAECF Management Council and the FAECF EuroClub met during the CONECO
construction fair in Bratislava on 8 and 9 April. FAECF is the European
federation of the national window and curtain walling associations. In
addition to regular business issues, the meetings focused on the future
CE-marking of windows and curtain walling, and the state of play of the
markets of East and Central Europe.
After the vigorous demand for action undertaken by EuroWindoor last autumn,
CEN has now published the draft European product standards for window/external
pedestrian doors and curtain walling and submitted them for formal vote.
Final vote is expected to be completed this year so that the standards
will become effective by late 2002.
This is one prerequisite for application of the CE-mark, a 'passport'
which ensures trade without barriers for construction products in the
European market. According to Mr. Libero Ravaioli, president of FAECF,
and as stated by Karl Heinz Herbert, its secretary general, at the MC-meeting,
FAECF will launch an action for its members to get prepared for the new
situation. A guide on CE-marking will be prepared for the meeting of EuroWindoor
in Spain from 31 October to 2 November 2002.
The key issue of the Euro-Club meeting was the growth of the central and
eastern Euopean markets. A detailed market analysis underlined their potential
and provided an opportunity to share experiences. FAECF will increase
its activities for these markets in the future and strengthen existing
relations. One of the next EuroClub meetings is planned to be held in
Russia in collaboration with the Russian association. Furthermore, it
was decided to set up an Internet forum to promote contacts of member
companies, system houses and all other stakeholders in fenestration.
The FAECF/EuroWindoor study tour will take place in China in September.
The provisional itinerary includes Beijing, Shanghai, Canton and Hong
Kong. The list of companies to be visited covers all leading curtain walling
companies in China.
Tel: +49 (69) 95 50 54-0
Email: mailto:faecf@window.de
Web: http://www.window.de
New
Brand, Bright Future for ARP
Aluminium Roofline Products (ARP) Ltd - UK manufacturer of aluminium guttering
and other roofiine solutions - has launched a new brand image to match
its new identity following the consolidation of the Mustang, Alstock and
Aluminium Roofline Products brands under the ARP banner. The company has
also re-structured the roles of its sales team members to offer a broader
knowledge of all three product ranges to all regions of the UK and Ireland.
It
was decided that the ARP brand best suited the comprehensive range of
roofline products available from the company after Alstock Group - the
exclusive UK supplier of the Mustang Gutter System - purchased Aluminium
Roofline Products' manufacturing facility in Portsmouth towards the end
of 2001. ARP now offers continuous and sectional aluminium gutters, fascias,
soffits and other solutions for a wide range of applications, including
domestic and commercial installations and local authority projects. The
Mustang name will continue as the product brand for continuous guttering,
in recognition of the familiarity of the name in the marketplace.
The range of products and expertise offered by ARP also enables the company
to offer an overview of the available options for aluminium roofline solutions,
with ARP now able to custom design and implement any individual project
from start to finish.
In order to capitaiise on its capabilities and offer customers a greater
understanding of what the company has to offer, ARP has re-organised the
responsibilities of its sales personnel from the Mustang, Alstock and
Aluminium Roofline Products teams. Whilst previously the sales teams were
split according to individual product expertise and project type, ARP
will now have one sales team with each salesperson responsible for a different
region and each offering a wide-ranging knowledge of the entire ARP range
of products and services.
ARP's Managing Director Mike Catlin believes that the new structure and
image will allow the company to reach new audiences:
'Roofline and rainwater products represent one of the fastest growing
areas within the new build and refurbishment industries. Under the ARP
banner, we can now offer a long-term solution for any type of roofline
project, including large-scale commercial projects, domestic replacements,
high-quality new build, or social housing refurbishments. Our experience,
skills and knowledge already give us a huge advantage now, the new strudure
of the sales team and a brand that encompasses all that we can provide
as a company will enable us to forge ahead and increase our market share
still further.'
Tel: 0116 289 4400
Email: mailto:sales@arp-ltd.com
Web: http://www.arp-ltd.com
The Association of Composite Door Manufacturers
The Association of Composite Door Manufacturers will be launched at Interbuild on 11th June at 10am in the Griffin Suite 11.
The ACDM is a new trade association that has been formed to represent
UK manufacturers of composite doors and ensure that specifiers receive
the highest standards of construction, materials and customer service
from its members.
Chairman Steve Brown - of Sentinel Doors - will introduce the ACDM committee
and its founder members and explain the aims and objectives of the Association.
Founder Members are:
Birtley Building Products, County Doors Limited, HM Doors/Permadoor, IG
Limited, Intron, Lindman, Premdor, Securidor and Sentinel Doors Limited
Partnering
Does It Again for Anglian….
Anglian Building Products has recently completed a replacement window
programme, as part of a Partnering arrangement with Tonbridge & Malling
Housing Association. The Best Value encompassing agreement saw approximately
6000 properties re-windowed in less than six years as part of a Large
Scale Voluntary Transfer.
The
programme of Window replacement was the largest contract for this type
of work in the South East of England, and was originally anticipated to
take over ten years. Christine Beaumont, Regional Services Director, Tonbridge
& Malling Housing Association, praised the efficiency of Anglian Building
Products saying 'Anglian's resources backed up by their excellent administrative
procedures has helped to complete the refurbishment programme four years
ahead of schedule'.
Partnering naturally encourages better communication and shared common
goals, which has proven to produce more efficient working relationships.
There is no better evidence than in this case, where Anglian's experience
in this type of work (Partnering, Supplying on a Large Scale and Tenant
Liaison) saved Tonbridge & Malling the cost, resources and disruption
of a further four years of improvements to their properties.
When tenants were asked for their views, 97% said that the work was either
'satisfactory' or 'very well done' and 95% said that Anglian was 'helpful,
clean and tidy'
Tel: 01603 787000
Smart
Glasses Order Own Refills
A Japanese electronics company has developed drinking glasses which signal
when they are almost empty so that table staff know when to bring a refill.
The technology is an adaptation of the tagging systems used to try to
stop people stealing from shops.
A microchip and a coil in the base of each glass interact with a coating
on the surface of the vessel to work out how full it is and then signal
this information to a base station.
The glasses, described in New Scientist magazine, were developed by a
team at the Mitsubishi Electric Research Laboratories in Cambridge, Massachusetts,
US.
The coating on each glass conducts electricity and makes the glass behave
like a capacitor, an electrical device that stores charge.
As the drinker drinks, less of the glass is in contact with the liquid
inside and the capacitance of the glass falls.
A microchip in the base of the dishwasher safe glass reads this change
and uses a coil to signal when the level has fallen far enough to assume
that the drinker might be ready for a refill.
A code in the chip identifies each individual glass and could be used
to signal to mobile devices carried by table staff or a central display
behind a bar.
Glass
Training's AGM
Come along to our AGM this year and meet key figures in our industry.The
meeting will be held at the Moat House, Sheffield on Wednesday 24th July
2002. This year we will be producing a crystal gift for all those that
attend, by prior agreement, to celebrate 20 years of Glass Training Limited.
Paul Jagger, Regional Secretary for the TUC has agreed to speak at the
AGM.
Contact: mailto:lisa@glass-training.co.uk to book your places.Glass Training's
Conference
Our Biennial Conference is an established event for the UK's glass industry.
Don't miss out on your chance to hear how key thinkers and business leaders
are developing their business and manufacturing techniques to meet tomorrow's
demands. The Conference will take place on October 2nd and 3rd.
Joe Fearnehough from the TUC, David Combie from the SSDA and Steve Gange
from Pilkington UK Ltd are some of our speakers.
The event will be held at Daresbury Park Hotel in Warrington Cheshire
http://www.devereonline.co.uk/jdevere.htm?main_location.htm
and click on Daresbury Park.
Contact: mailto:lisa@glass-training.co.uk
to book your places.
Stained
Glass Windows of Marien Kirche in Frankfurt-on-Oder Will be Returned to
Germany
Russian Minister of Culture Mikhail Shvydkoy and State German Minister
Julian Nida-Rumellin have signed a number of agreements.
In particular, the parties have reached an agreement to transfer the ownership
for stained glass windows, which were brought to the USSR in 1945 and
have been stored in Hermitage, to Marien Kirche (a church in Frankfurt-on-Oder).
At the same time the German party participates in restoration of the Temple
of Blessed Virgin Assumption (Novgorodskaya Oblast) damaged during German-fascist
occupation.
More than $204,000 was assigned for its reconstruction. According to Shvydkoy,
Russia and Germany have reached such a kind of relations that allow to
carry out several projects simultaneously. The parties agreed to realise
several joint cultural events in 2003-2004. This will include exhibitions,
festivals and symposiums.
GAI
and ABHM in Merger Talks
The Guild of Architectural Ironmongers and the Association of Builders
Hardware Manufacturers have entered into discussions about a possible
merger.
Two negotiating teams, one from each organisation, have been meeting to
establish the viability of such a move.
While both organisations are active within the UK hardware industry, the
Guild is made up of both manufacturers and merchants and also represents
individuals in the industry. It is recognised for its education and technical
programmes.
The ABHM represents leading manufacturers and is very active in UK and
European technical work. Some ABHM members are also members ofthe Guild.
The aim is to establish a possibility of a single much stronger organisation
fully representative of the industry, giving it a much more powerful voice
with Government and other industry bodies. In addition such a merger should
bring added benefits such as greater financial stability; reduced duplication
of member services and a reduction in overheads.
John Planck, the Guild's President commenting said," While these
negotiations are ongoing, I believe this has to be the way forward for
our organisations. I do not believe that an industry like ours can sustain
two representative bodies these days.'
David Whitworth, speaking for the ABHM, agreed and added, 'There is a
synergy which we must harness as combining the strengths of each body
will create a much more powerful and influential representative organisation.'
No time scale has yet been placed on the negotiations although it is anticipated
that these will be concluded within a few months.
PPG Automotive Flat Glass Plant Recognized for Environmental Leadership By EPA
PPG
Industries automotive flat glass plant here has been named member of a
U.S. Environmental Protection Agency's (EPA) program designed to reward
facilities whose performance extends beyond compliance with environmental
laws.
Membership in EPA's National Environmental Performance Track (NEPT) underlines
PPG's commitment to the environment, according to David C. Cannon, PPG
vice president of environment, health and safety.
"We are proud and honored by the EPA recognition," Cannon said.
"It reflects PPG's commitment to reduce pollution, comply with environmental
regulations, and continuously improve our environmental performance and
productivity. PPG has always shared EPA's goal of protecting the environment."
Since 1996, the Meadville plant has reduced its volume of solid waste
by 25 percent. Recyclable racks eliminate more than 350 tons of waste
packaging and save more than $500,000 annually. In addition, plant operations
annually reuse more than 100,000 tons of waste glass that otherwise would
be disposed of in landfills.
Officials at the Meadville plant expect dramatic gains in energy efficiency
and significant reductions in air emissions this year as a result of a
$23-million project to rebuild a glass melting furnace and install an
energy-efficient, oxygen-fuel furnace on one of the facility's two float
glass production lines, according to Lynn Hoover, plant manager. When
the project is complete, the plant will be the world's third flat glass
production facility - and the second within PPG -- to use oxy-fuel firing,
which reduces air emissions and natural gas consumption for melting raw
materials, compared with conventional air-fired furnaces, Hoover said.
The new furnace will reduce nitrogen-oxide emissions by more than 50 percent,
carbon-dioxide emissions by 15 percent and fuel consumption by 15 percent.
It will also eliminate hazardous waste, or slag, produced in the glass
manufacturing process.
"Installing oxy-fuel technology will improve our environmental efficiency
and enhance our ability to produce high-quality glass for windshields
and other automotive products," Hoover said.
PPG's Meadville plant "represents a new generation of environmental
leaders who have the vision to embrace the strategies that will protect
the environment for generations to come," said Dan Fiorino, director
of EPA's Performance Incentives Division, Washington, D.C.
Alcoa
Board Creates Public Issues Committee; Committee, Chaired by Dr. Judith
Gueron, to Oversee Alcoa's Environmental and Social Responsibility Performance
Alcoa Inc. announced last week that its Board of Directors has formed
a Public Issues Committee that will work with management to oversee the
company's environmental and social responsibility performance.
The new Board committee, to be chaired by Dr. Judith Gueron, President
of Manpower Demonstration Research Company and an Alcoa director since
1988, will help the company address a range of sustainability and corporate
social responsibility opportunities.
As outlined in its 2001 annual report to shareowners, one of Alcoa's defining
strategies is how it translates the company's Values into action in its
businesses, communities and society at large. The Public Issues Committee
will also provide Board-level oversight of progress on translating the
company's Values into action.
'Good public policy makes for good business,' said Gueron. 'I welcome
the opportunity to serve shareholders in this capacity. With the commitment
of management and the breadth of experience of the committee members,
we can make a difference for the good of society and Alcoa.'
The other Board members of Alcoa's new Public Issues Committee are Kathryn
Fuller, President of the World Wildlife Fund; Carlos Ghosn, President
and CEO of Nissan Motor Company; Henry Schacht, Chairman of Lucent Technologies;
Franklin Thomas, Chairman of the September 11 Fund and former President
of the Ford Foundation; and Ernesto Zedillo, recently appointed to be
Director of the Yale Center for the Study of Globalization and former
President of Mexico.
'At Alcoa, we don't just have values; we live our Values everyday. This
committee will help us deepen that commitment, particularly to sustainable
business practices,' said Chairman and CEO Alain Belda. 'The creation
of the Public Issues Committee raises to the Board of Directors level
and formalises what each and every Alcoan practices everyday. We firmly
believe we cannot achieve our vision - to be the best company in the world
-- unless we are the best company in each and every community in which
we operate.'