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Pilkington Trading Statement: Profits Held Against Difficult Market Conditions

In accordance with its established policy, on 24th September Pilkington issued the following trading update ahead of its interim results announcement for the period to 30th September 2004, which will be made on Wednesday, 3rd November 2004.

Stuart Chambers, Group Chief Executive commented:
‘Pilkington continues to make good progress through further improvements in manufacturing efficiency and cost reduction. Overall, trading is in line with our expectations and in the first half year pre-tax profits will be in line with the first half of last year, notwithstanding the impact of rising energy prices and the effect of the strong pound on our reported profits. The Group’s continuing emphasis on the generation of free cash flow will enable us to report another strong cash performance.’

Building Products
Outside Europe, Building Products markets are showing improvements. Efficiency gains and cost savings have continued, which will limit the impact of continuing weak European markets to a decline in operating profit of around 5 per cent for the business line as a whole.

The European Building Products business represents two-thirds of total Building Products sales. Float prices across Europe are generally stable at about the same level as last year, except in the UK where they have weakened. The combination of competitive pressure in the UK market and the currency impact on a flat continental market means that overall operating profit will be down around 10 per cent on the first half of last year.

The construction of our joint venture Float Glass plant in the Moscow region of Russia is progressing to schedule. The plant is planned to come on stream in the summer of 2005.

Building Products North America, representing 15 per cent of Building Products sales, has been affected in recent years by the weakness in commercial construction, though there are signs that this market is now recovering. Operating profits in US dollars will be at similar levels to the same period last year.

In South America, our Building Products business continues to perform well. Market conditions in Brazil have strengthened and we continue to benefit from the improved economic environment in Argentina. Overall operating profits from South America are ahead of the first half of last year. The Australian business continues to perform well and operating profits will be at a similar level to last year.

Automotive
Original Equipment (OE) volumes were relatively strong, although the combination of a weak North American Automotive Glass Replacement market and adverse foreign exchange conditions have resulted in flat first half operating profits.

Just over 55 per cent of Pilkington Automotive’s sales are in Europe. The market for light vehicles has been relatively flat, but due to success with new models, Pilkington’s sales volumes continue to move ahead. The European AGR market has been relatively stable. The strong pound will depress the top line figure; nevertheless, as cost reduction efforts continue, overall profits in Automotive Europe will be up on last year.

Over 30 per cent of our Automotive business is in North America where light vehicle build is expected to be around 2 per cent higher than last year. However, due to the impact of exchange rates, higher energy costs and strong pricing pressure, particularly in the AGR market, North American operating profits will be down on last year.

In South America, the light vehicle market has risen 28 per cent. As a result of strong sales volumes and ongoing manufacturing efficiencies operating profits will be higher than last year.

Results in Australasia are down from last year, partly as a result of the closure of the AGR business in the region.

The Automotive glass joint ventures in China continue to expand as the market continues to grow.

Associates and Joint Ventures
Results from VVP (in which Pilkington has a 35 per cent stake) are expected to be down on last year, as VVP continues to suffer margin erosion in its markets.
The fourth float line in Brazil, built and operated by Pilkington for the Cebrace joint venture, is now fully operational.

In China, the Group's main investment, SYP, has seen both sales and operating profit increase over the comparable period, growth coming from improved sales of processed architectural glass products, as China experiences increased demand for more high performance glass products in construction projects.

Overall we anticipate an increase in the profit contribution from associates and joint ventures of around 10 per cent in the first half year.
Exceptional items

Exceptional items in the first half year include the cost of closing the Building Products decorated glass operations in Australia and some Building Products processing and merchanting operations in Austria, offset by the profit on the disposal of our 50 per cent share in the joint venture investment in SDC Technologies Inc. in the United States. The net amount shown as exceptional items will not be material.

Finance
The Group remains committed to the generation of free cash flow through tight control of working capital and capital expenditure, allied to a continued drive to reduce costs throughout Pilkington. We will generate further free cash flow in the half year, albeit lower than the record level generated last year.

Interest costs in the first half year will be lower than the first half of last year, as a result of the reduction achieved in Group borrowings. Following the announcement of the results for the year ended 31st March 2004, Standard and Poors and Moodys confirmed their ratings of Pilkington bonds as BBB/BAA2, both having now moved from ‘negative’ to ‘stable’ outlook.

The strong pound negatively affected reported pre tax profits in the first half year by approximately £8 million, despite which reported profits were similar to the first half of last year.

Summary
Considering the background of continuing challenging market conditions, exacerbated by fuel price increases and the impact of the strong pound, Pilkington has started the year well.

Analysts’ Site Visit
Pilkington will be hosting a site visit for analysts and investors at its Polish operations on 28th and 29th September 2004. The visit will entail presentations by management and a guided tour around the Sandomierz glass plant.

Web: http://www.pilkington.com

Ultraframe 'Will Retain Market Leadership'

Claims that Ultraframe's market leadership will be overtaken in the near future have been rejected by the Clitheroe company. 'Our main competitors are known for their aggressive anti-Ultraframe propaganda which seems designed to mislead the trade and destabilise the market,' commented Vanda Murray (pictured), the new Managing Director of Ultraframe, speaking to press and customers at the launch of Uzone Elevation at the Imagination Gallery in London.

'Recent claims about their growing success and assault on market leadership just don't add up. It is frustrating at times to see unlisted companies making wild claims when everything that we say has to abide by Stock Exchange rules.'

She added: 'While Ultraframe has experienced a stabilising of market share in their core conservatory product sector ˆ the market has shifted growth patterns toward a younger budget conscious conservatory buyer who is looking for a practical solution of additional space.

Ultraframe has responded to this trend by launching Uzone a range of budget conservatory roofs that offer enhanced styling, better thermal performance and ease of installation far beyond anything offered by their competitors. Uzone is Ultraframe's response to new market conditions and over the past six months Uzone has seen a month on month increase in sales volumes.

This highly successful product range has been enhanced by two other innovative products: Uzone Elevation and Litespace. This product family has been specifically designed for the changing market demographics and purchasing patters of the budget segment.

'Ultraframe is able to benefit from its market leadership position by further investment in new product development, incorporating our values of total quality, innovation and service. As technological market leaders, the company will continue to deliver products to new industry standards and with new functionality, to meet the growing aspirations of the consumer in both budget and premium segments.'

Following extensive market research earlier this year, carried out by the Henley Centre for Forecasting on behalf of Ultraframe, the company signalled that conservatory market growth will continue in 2004 but at a reduced rate. This is now being acknowledged by the two industry research houses. Michael Rigby Associates growth forecasts for 2004 have been pared back from 12% to 5% and Palmer Market Research latest estimates are 4% in 2004, down from 6% in 2003.

Ultraframe offers the strongest product portfolio to tackle all areas of the market from budget to large commercial conservatories. Ultraframe offers total quality, innovation and service making it the ideal business partner for growth. Ultraframe, as the market leader, protects business investment by addressing all market demands - from the simplest to the most complex - providing a complete range of quality solutions unmatched by competitors.

New Head for SFS UK Windows Business

lnternational company SFS intec has appointed Glen Wainwright to head up its window fasteners and door hinge business in the UK.

Glen succeeds Mike Mortell as director of SFS intec IF, responsible for marketing the company's global range of window and door sector products, as well as its fastening ranges for the transport industry, in the UK and Ireland.

Mike, who declined an invitation to move to Leeds where the group has now centred its UK operations, is currently working in a sales and marketing consultancy role for a number of businesses.

Leeds based, Glen, aged 43, has extensive management experience, having been responsible for engineering, manufacturing, site support, IT services and new product development during his 27 years with the company. He now heads a division which dominates the UK window fasteners market and has made major inroads in to the door hinge market since it relaunched its Estetic ranges of adjustable hinges in 2001.

Glen's appointment follows SFS' recent £7million investment in its new headquarters in Leeds, which is now the focal point for all UK Logistics for both the windows and the separate roofing fasteners divisions.

'lncreasingly, for businesses like ours serving the windows sector, the emphasis is not only on product quality but about service delivery,' says Glen. 'From a position of strength, we now plan to extend our telesales and van sales operations to improve still further our service to small and medium sized fabricators. Our specification sales operation continues to meet the demands of professional specifiers in the social housing sector and we are seeing significant growth in our supply chain management service which is delivering real benefits to major players in the window sector.'

If You Can’t Take Your Customers to Synseal, Synseal Will Come to Your Customers

Conservatory roof fabricators considering switching to Synseal Extrusions Ltd are invited to tour the massive Synseal site in Sutton-in-Ashfield. Although all prospective Synseal fabricators go away impressed by what they’ve seen, many want their installer customers to be involved in the process and co-own the decision to change. Synseal has invested £200,000 in a solution – its new exhibition vehicle (EV). The EV is a specially designed vehicle that will be used to present Synseal’s Global conservatory roof system in the field, wherever you are. The presentation area inside the vehicle is an astonishing 30 square metres with two additional pods that increase the floor area by a third. The floor space is split into two areas – the showroom and the presentation and meeting area.

‘We wanted to match the level of presentation we offer at the Synseal site, on the road,’ explains Kevin Harvey, Director of Sales of Synseal. ‘So the showroom area displays two roofs – one fully assembled and the other partially assembled to allow customers to get a feel for the ease of installation. It also features demonstrations on specific areas of the roof, like the box gutter, jack rafter sections and a choice of gutter systems. To complete the showroom, we’ve added an interactive touch screen with trade and consumer presentations. The adjoining presentation and meeting room has a drop screen overhead projector presentation, sound system and climate control, as well as meeting table and catering facilities.’

Technal Announces Plans to Double Capacity as Construction Starts on New HQ

Architectural aluminium glazing specialist, Technal, is to relocate its UK headquarters to a new purpose-designed office and distribution centre near Wakefield in West Yorkshire. The move will more than double capacity, allowing Technal to accommodate both new product stockholding and its plans for future growth, both in the UK and Ireland.

The new headquarters at Silkwood Park will provide around 70,000sqft of office and warehouse space and represents an investment of over £6m.

Designed by Carey Jones Architects, the building will showcase a number of Technal’s façade products, including the new MX curtain walling system which will be launched in the UK in 2005.

The curtain walling will span 60m along the front elevation, creating a transparent envelope for the offices. MX Trame profiles will be used to accentuate the horizontal lines across the façade and will be finished in dark grey Cendré – Technal’s flecked high gloss polyester powder coating – to complement the silver cladding panels to the production areas.

Commenting on the move, Bob Welsh, General Manager of Technal, said ‘Our UK operation has more than tripled in size since the early 90s. Despite this dramatic expansion, we have maintained lead times and customer service, and invested in new product development.

‘We feel the time is now right for the next stage in the development of the business. There is increased demand for our products and we are broadening our range of systems to meet specifiers’ requirements for enhanced thermal performance, visual appeal and ease of fabrication and installation. The relocation will allow us to more than double our stockholding capacity from the end of this year, with space for expansion by a further 17,000sqft.

‘We will also have bigger and better facilities for product development, and for customer training on new products and computer software’

He added, ‘At Silkwood Park, we have chosen a mixed use site which will provide a high quality working environment for our staff. It is centrally located for easy access to the national motorway network but with vastly reduced congestion. The new building has also given us the opportunity to showcase some of our key products in an architectural situation.’

Technal’s PH doors will feature on the main entrance of the new building. Engineered for use in high traffic areas, this single action pivot door has a patented high security pivot system that is fully concealed in the slim outer frame. The door stiles are shaped for an elegant finish and a specially designed hollow sill ensures superior weather performance.

Internally, the building will have a clean, modern design theme, with ash reception desk and doors, and fritted glass walls.

The main contractors for the project are York House Construction and the glazing fabricators are Airedale Architectural, part of Airedale Glass and Glazing Company Ltd. The headquarters are now under construction and scheduled for occupation at the end of 2004.

Web: http://www.technal.co.uk

Sash Sells 40 Uzone Roofs a Month - Less than Four Months after Launching FitriteXpress

Sash (UK) Limited based in Barnsley, South Yorkshire is looking forward to celebrating its 40th anniversary next year following the successful launch of FitriteXpress – the complete conservatory system featuring Ultraframe’s Uzone roof.

In less than four months since FitriteXpress was introduced to the market Sash is selling in excess of 10 conservatories a week, a figure Managing Director Dave Ruzicka confidently expects to rise to 50 a week by the end of the year. He said: ‘This really is a fantastic development for the industry. For an outstanding price customers can have a very high specification modular conservatory that can be erected in record time.

‘FitriteXpress is the opportunity that installers have been waiting for. A breakthrough system, assembling the very best technology available and at a price customers can afford. It can be installed in one day, costs from as little as £1,787 and features the revolutionary Ultraframe Uzone roof.’

Dave continued: ‘Key to our conservatory is the Uzone roof which is, quite frankly, the biggest development in the conservatory roof industry in the last ten years. It’s design and unique click-lock technology makes it the greatest advance ever seen in our industry. The price of Uzone means we can unlock the budget sector which has transformed our business.’

Uzone uses click-lock technology, which means speedy and practically bolt-free assembly in less than 45 minutes. FitriteXress also features fully reinforced Veka profiles, state of the art security shoot-bolt and hook-locking doors and austenitic screws and hinges as standard. All models are available within 5 days and come with a 10-year guarantee.

Ultraframe and Sash have had a loyal business partnership for many years. Peter Allen, Sales Director at Ultraframe, is delighted with the success of FitriteXpress.

He said: ‘This is one of the best campaigns I have seen developed in the industry for many years. We want to congratulate Sash on the company’s unique product offering and the attractive marketing campaign that supports it.

‘Sash has recognised the benefits of Uzone’s technological advances and its great value, and the company has successfully developed a fantastic package.

FitriteXpress is a high quality product that presents enormous opportunities for installers to grow sales and maximise their own profit margins.

‘Sash has proactively created a new product proposition. Sash is not fighting for existing sales, but has created an exclusive product unique to itself that addresses the budget sector of the market, while maintaining the company’s existing high end bespoke product offering. FitriteXpress targets customers who wish to enjoy the same high standards of product design and build quality offered by the Ultraframe roofing system.’

Peter continued: ‘Our business relationship with Sash is a strong one which has been developed on mutual respect and trust. We have worked closely with Sash to further develop the Ultraframe brand, product offering and to ensure Sash receives even better service and support. We have the highest quality products, excellent technical support, and we invest heavily in research and development, training and marketing support to keep out customers ahead of their competition. We want to continue to establish and grow this type of relationship with more of our fabricators and installers.

‘Ultraframe is working hard to develop wide spread consumer awareness and grow sales leads for our Ultraframe Registered Conservatory Installers (URCIS) members. We are closing the loop to support our entire distribution channel from fabricators and stockists to installers and finally to the homeowner.’

They’ve Done it! - Network Veka Gobi-Kites Team Triumphs Over Desert

Three British adventurers have ridden the wind into the record books by completing the first ever crossing of the Gobi Desert in Mongolia by kite power.

The Network Veka 2004 Gobi-Kites team encountered some of the world’s most hostile desert terrain to complete over 1,000km in 17 days riding specially adapted, super-tough Parastorm kite-buggies.

Exhilarated team leader Professor Brian Cunningham, 61, said the terrain had proved far worse than expected and had challenged the team to the limit.

Speaking by satellite phone, he said: ‘If we had known before we left how unforgiving the landscape really is, we might have questioned the feasibility of the route we’d chosen.

‘Every day we looked at Network Veka’s motto, ‘Reliable in the Extreme’ on our kites – and the word ‘extreme’ certainly applies to all aspects of this adventure’

The team had been severely tested by the punishing terrain as team member Kieron Bradley, 30, explained: ‘I thought I’d over-designed these buggies but when I see what they’ve been through I think I got it just about right.’

The third member, Peter Ash, 34, said the conditions had pushed the equipment to the limits: ‘The kites, buggies and tyres all took to a terrible beating but performed impeccably. This has to be the toughest ordeal any kite-buggying rig has ever had to undergo.’

Picture (sent by sat-phone): l to r, Kieron, Brian and Peter with one of the buggies at the completion of the expedition.

The expedition was sponsored by Network Veka, the independent window and conservatory installers’ trade body. Its MD John Ogilvie said: ‘This is a fantastic achievement; a credit to the endurance of the team and the equipment.’

The team had more than good luck on their side. Each carried a ‘Blessing Cord’ sent by the Dalai Lama personally via Mongolia’s UK Ambassador, Mr Dalrain Davaasambuu. The diplomat, who conducted a send-off ceremony for the team last month, had recently met the Buddhist world’s spiritual leader, who asked for the gifts to be passed to them.

Professor Cunningham lives in Bolton and is a Visiting Professor at Manchester Business School. He originates from Portrush, Co. Antrim.

Kieron and Peter are both from Norwich. Kieron is a professional buggy designer for Parastorm. Peter, a kite-buggying veteran, runs the Dunkirk Garage at nearby Aylsham.

Backed by Prof. Cunningham’s wife Christine as first-aider and photographer, the team travelled by 4x4 from the capital Ulaanbaatar to the Altai region then rode the three kite buggies over 1,000km across the desert back towards the capital. They return to the UK today. Video footage of the adventure is to be passed to a production company with a view to making a TV documentary of the event.

A special website, http://www.gobi-kites.com carries all the news updates and pictures that were sent directly via sat-phone during the expedition.

Restructuring at Radley Reaps Rewards

Oxon-based Radley PVCU reports a boost in business since opening its new Trade Centre. The one-stop-shop has proved a huge success with window companies and builders looking for a high quality, competitively priced window package ex-stock. David Wanless (pictured), Radley PVCU’s Managing Director says, ‘The Centre can supply everything our customers need, including ancillaries and consumables. And it’s not just for local firms, we can offer a really convenient service for national companies too.’

Radley’s recent restructuring is also reaping rewards in terms of increased efficiency. Following a reorganisation of the factory layout and investment in new machinery, Radley now offers an unbeatable 3-day delivery on unglazed frames. Volume has also risen along with speed of delivery and manufacturing capacity currently Radley has the capacity to produce 1000 frames per week. In addition, the fabricator has added the new Clip Fit Conservatory to its range. This standard size conservatory features market leading components, such as the WHS Halo coupling system and Ultraframe Uzone roof and can be delivered in just 7 days from ordering.

Radley is now looking to increase production still further with an ongoing investment programme, ‘By pursuing a strategy of organised growth I believe we can continue to move onwards and upwards in what are currently challenging times for the window industry,’ concludes David.

CEN Solutions Awarded Prestigious Euro Project

CEN Solutions Ltd, the EN 1279 consultancy firm, has been awarded a substantial grant from Business Link Staffordshire to fund an ambitious project to launch the company’s Factory Production Control Manual and Compliance Management Service across Europe.

Dave Frost, managing director of CEN Solutions Ltd, was in ebullient mood when describing the detail behind the project. He stated:

‘It has been a long held contention by companies in the UK that the rest of Europe may pay only lip service to the introduction of EN 1279 in the next two years. This project, 90% funded by Mustard from Business Link, will help to ensure that IG unit manufacturers across Europe can obtain the benefits of our simple yet highly successful FPC system. Until now, probably all that was available were complex and expensive ISO 9000.2000 systems costing in the region of Euro 15000 to implement, irrespective of testing costs. This has inevitably resulted in little or no interest being shown.

‘This project, to be carried out by leading marketing consultancy firm TR & S Ltd, will identify leading distributors and agents across Europe and offer them a unique business opportunity to licence our system and ensure that manufacturers within their customer base become compliant in the most simple and cost-effective manner. Using our proven systems for FPC implementation and on-going testing and compliance management, European manufacturers will be able to self-declare in confidence and benefit from the same advantages shortly to be enjoyed by their UK counterparts’.

The £10,000 project, 90 per cent funded by Business Link, will enable CEN Solutions to target Glasstec in November with the intention of signing the first contracts with European agents at the exhibition. The project, led by Paul Rogerson of TR & S, will extensively research and investigate the European market and then provide the relevant business model to enable CEN Solutions Ltd to realise their objectives.

Contact: Dave Frost
Tel: 07977 554024

Astraseal Invests in Sealed Unit Delivery Service

Astraseal, the Wellingborough-based trade and commercial fabricator, has added a new vehicle to its 100-strong fleet specifically designed for the safe and easy transportation of sealed units.

The 18.5 tonne lorry is curtain sided on one side so that fully laden steel ‘A’ frames can easily be loaded by forklift and has special rails built into its floor to secure the frames during transit.

With a manufacturing capacity of 2,500 frames per week in the Rehau-Tritec, S706 and S719 Heritage vertical slider systems and more than 500 frames delivered across the UK every day, Astraseal places a strong emphasis on the speed and efficiency of its delivery service. It has an ongoing investment programme in new vehicles and has its own vehicle maintenance shop.

Astraseal says the new lorry will concentrate on overnight deliveries of its sealed units to customers in the West Country. Demand for these units is at an all time high thanks largely to the investments made by Astraseal in its specialist factory over the past year.

These have included: new automatic Lenhardt washing lines, automatic cutting tables for both laminated and float glass and argon gas filling for the first time. It has also purchased automatic spacer bar bending machines and introduced a spacer bar branding service which enables customers to personalise their windows by having their company name, window size and date of manufacture printed on the bar.

Andrew McKeown, Managing Director of Astraseal, believes the sealed unit factory gives the company such a significant competitive edge that the investment programme both in new machinery and in the new delivery lorry is easily justified. He says: ‘We are one of the few very large trade fabricators to manufacture our own sealed units. As well as making us a true ‘One Stop Shop’ for trade customers, it also gives us greater control over our production and makes us more flexible and responsive.’

The new Astraseal lorry has been fully liveried in the company’s corporate colours and will become a familiar site on the south’s motorway network over the coming months.

Tel: 01933 227233

Morecambe Glazier Refused Consumer Credit Licence

A double glazing company based in Morecambe, Lancashire, has had its application for a consumer credit licence refused by the OFT.

An adjudicator refused the application from Paragon Plastics UK Limited on the basis that a business associate of the applicant had been convicted of fraud. The associate was convicted of conspiracy to defraud on 20th April 1998 and was disqualified from acting as a director.

An adjudicator therefore decided that the applicant was not fit to hold a consumer credit licence and accordingly the application was refused.

In considering fitness, the OFT takes into account a number of factors carried out by the business or anyone involved in running the business including:

• any offence or conviction of violence or dishonesty
• failure to comply with the provisions of the Consumer Credit Act or other consumer protection legislation
• consumer complaints
• evidence of unfair business practices
• evidence of discrimination on grounds of sex, colour, race or ethnic/national origin.

Christine Wade, Director of Consumer Regulation Enforcement, said:
‘Fraud is a serious offence and calls into question whether applicants are fit to provide consumer credit.’

Insight Security Attracts Complaint

A complaint by Norfolk Trading Standards department, objecting to a direct mailing, for a door safety system, that comprised a letter and a leaflet issued by Insight Security of Lewes, East Sussex, was upheld according to published details from the Advertising Standards Authority.

Complaint:
Norfolk Trading Standards department objected to a direct mailing, for a door safety system, that was comprised of a letter and a leaflet.

The letter was headlined 'Did you know that you can now be fined up to £20,000 if you don't take the necessary precautions against injury to children through trapped fingers in doors?'. It continued '... According to government statistics, over 40,000 children every year in the UK require hospital treatment after trapping their fingers in doors. More than 1,500 of these children suffer either amputation or need painful reconstructive surgical operations ... just imagine how you would feel if you had to tell the parents! ... you could be fined up to £20,000 (possibly more if parents take private legal action) for negligence ... Worse still... your insurance company are [sic] likely to argue that your negligence voids your cover, leaving you to pay any damages awarded by the courts ... there is a simple low cost solution that can completely eliminate the risk of finger mutilation. It's called 'Finger Protector' ...'.

The front of the leaflet showed a child's hand above a door hinge. Text stated 'New Government legislation means you can now be fined up to £20,000 if you don't take appropriate precautions to prevent these accidents It only takes a split second for a door to cause agonising and sometimes permanent injury ...'. Text on the inside of the leaflet continued '... Order Finger Protector today... and you'll never have to deal with the trauma of crushed fingers ... 32,000lb of pressure The guillotine effect of a closing door can horribly mutilate fingers, causing permanent damage, even amputation ...'. A headmaster's testimonial on the rear of the leaflet stated 'I've seen the horror of a pupil's finger amputated by the hinge side of a classroom door. This new device would no doubt have saved the loss of the child's finger.'

The complainant objected that the mailing, particularly the letter, appealed to fear and exaggerated the likelihood and size of fines.

Adjudication:
Complaint upheld
The advertisers argued that it was their duty to educate those responsible for school pupils' safety of the consequences of non-compliance with Health and Safety legislation and of the effectiveness of their product in satisfying the requirements of that legislation. They stated that, under the Health and Safety at Work Act 1974, should an injury take place that could have been avoided by practicable preventative measures, employers could be prosecuted for failure to provide a safe environment for their employees and non-employees. The advertisers stated that, according to the HSE, breaches of the relevant sections of the Act could lead to fines of up to £20,000 for action taken to a Lower Court. They asserted that 'Finger Protector' had been deemed a practicable preventative measure by the Health and Safety Executive (HSE). They said the figure of 40,000 children in finger trapping accidents per year was based on data collected by the Royal Society for the Prevention of Accidents (RoSPA) in 1994/5 and corroborated by data collected at Newham General Hospital in 1999. The advertisers said they had a portfolio of graphic images that showed fingers injured by doors, but had chosen not to use those images to avoid causing distress. They said they had distributed in excess of 12,000 mailings to schools in the UK. The advertisers offered to remove the references to fines of up to £20,000 from their advertising.

The Authority understood from RoSPA that the figure of 40,000 children in finger-trapping accidents was in line with official estimates. It understood, however, that, although prosecution was the ultimate sanction, the HSE had not prosecuted a school for an accident, in which a child had had fingers crushed in a door, since 1999. The Authority considered that the references in the mailing to fines of up to £20,000 exaggerated the likelihood and size of fines. The Authority concluded that the mailing was misleading and therefore appealed to fear without good reason. It welcomed the advertisers' decision to remove the references to fines of up to £20,000 and advised them to amend the mailing with the assistance of the CAP Copy Advice team.

Rapid Plastics Continues to Flourish with the Help of Business Link

Twelve months ago, father and son team David and Tony Randall of Shrewsbury-based Heritage Glass Group took the decision to expand their business interests and launch a new company, Rapid Plastics. This company would provide local people and trade professionals with high quality, low cost home improvement materials, ranging from fascias and guttering to garage doors and conservatories. A simple idea, but help was needed to make a success of the new business – and that help arrived in the form of the Shropshire Chamber of Commerce.

Through the diversification fund offered by Business Link, and with the advice and support of business consultant Ian Russell, the new company was formed and successfully launched at an official opening by the Mayor of Shrewsbury. Six months on from launch, and the company is still going from strength to strength.

‘After a lot of research and planning, we were able to launch Rapid Plastics in February of this year, and it has been very well received,’ says Tony Randall, group director. ‘Sales have grown each month and we have secured contracts with some top brand names, so continue to offer the best to our customers.’

He adds, ‘The help we received from Business Link was invaluable, and we continue to benefit from being members of the Shropshire Chamber of Commerce, which provides us with a great source of networking contacts. I would recommend any small or medium sized business owner to contact the Chamber, as the advice we received always helped us to make the right business choice.’

(Left to right) Ian Russell from Business Link with Tony Randall at the Rapid Plastics showroom.

The Business Link diversification fund was developed to assist small to medium sized companies with initiating change or diversification into new areas. The programme gives specialist advice that is designed to offer long-term support and mentoring, and helps company’s achieve their goals and desired level of success.

Some areas that Business Link offer advice in are the identification of new products, the designing and development of new products or processes, the identification of new markets and they also help to supply resources that are not available in-house. In addition, grants are made available for the facilitation of external support towards market research, product and management development and other business issues.

Commenting on Rapid Plastics, Business Link advisor Ian Russell said, ‘The development of the Rapid Plastics showroom and warehouse at Battlefield Industrial Estate demonstrates that David and Tony Randall have a clear vision of how to market quality home improvement products to the Shropshire market place. The Rapid Plastics showroom facility enables buyers to view a wide range of quality products marketed by a very professional local company.’

Tel: 01743 441444
Web: http://www.rapidplastics.co.uk

Professional Service from Proclad

Leicester based Proclad was one of the first Everwhite Registered Installers. Proclad has been installing roofline for nine years. It used to be reliant on subcontracting for other companies, but in the last nine months has had so many recommendations, there hasn’t been enough time to work for anyone else.

Wayne McNulty, owner of Proclad, explains the importance of being an Everwhite Registered Installer, ‘We offer customers an exceptional service, but it’s nice to be able to back it up with the professional installer support from Everwhite. You get everything you need, brochures, a guarantee, van stickers, as well as a complete roofline system so everything matches. I knew it would be good because it’s Everwhite. We use the brochures when we leave quotes and the guarantee scheme gives our customers peace of mind.

‘We treat our customers’ homes as if they were our own and always sweep up after we’ve finished. We take photos of all of our jobs in progress to show our customers what we’ve done to their home at every stage. For example we can show them that all the wood has been removed. When we give them the invoice and guarantee we give them copies of the photos so, even if they have been at work all day they can see the job has been done properly. This is all part of our standard service. Our customers seem to like it - we recently installed four houses in the same street.’

Tel: 01685 882 447

Paris Motor Show 2004 Sees Remarkable Increase in the Use of Laminated Glazing

Fitted on 4.5 times the number of models on the European market compared with four years ago, and over a wider range of categories, laminated glass is now enjoying popularity among manufacturers and drivers alike. Solutia invites visitors to discover the ‘laminated glazing tour’ at the Paris Motor Show (25th September – 10th October) and experience the many benefits of this type of glazing in terms of both safety and comfort.

Remarkable increase in number of models fitted with laminated glass
The use of laminated glass, initially restricted to vehicle windscreens, has been extended over the last few years to side windows and sun-roofs. Between 2000 and 2004, the number of vehicles equipped with laminated glazing has multiplied by a factor of 4.5 in Europe. In 2000, only eight models were available with laminated glazing. Just one year later this number had increased to twelve and it is now offered on thirty-six different models on the European automotive market.

Within a few short years, the number of vehicles produced on the European market fitted with laminated glass either as an option or as standard has grown from 200,000 to 550,000 vehicles per year.

Now fitted on new categories of vehicle
As well as an increase in the number of models fitted with laminated glass, we have also seen the use of laminated glass extended across different classes of vehicles: three years ago, laminated side windows or sunroofs were only offered in top of the range models. Since then, laminated glazing has begun to be offered on middle of the range cars, such as the Peugeot 407 and the Citroën C4, set to be a star turn at the Paris Motor Show 2004.

Now offered at lower prices and even included as standard in some ‘manufacturer's packs’, more and more drivers are enjoying the safety and comfort offered by the ‘laminated glass’ option.

Reasons behind its success: an innovative material that meets drivers' needs.
Comprised of two sheets of glass with one or more PVB (polyvinyl butyral) interlayers in between, laminated glazing meets the needs of drivers in terms of both safety and comfort. It reduces the risk of ejection from the vehicle and offers resistance of 20 to 30 seconds against attempted break-ins: reducing the likelihood of theft or car-jacking. In addition, laminated glass increases acoustic and thermal comfort inside the car and is an effective weapon again the deterioration of materials inside the car (wood, leather, plastic, etc,) by filtering out 95% of UV rays.

As vehicles are now designed with ever larger glazed surfaces, these attributes explain the success of laminated glass, which also meets even the most technical requirements of automotive manufacturers: it can be produced in any colour, can be used to enhance the optic quality of ‘head-up display’ technology, and is ultra-resistant.

Thanks to its skill and experience in the domain of applied chemistry, Solutia is a world leader in the production of PVB (Polyvinyl Butyral), the plastic film used in the manufacture of laminated glass. Solutia develops high-performance glazing solutions, supplying its glassworks clients with products specifically designed to meet the ever-changing needs of automotive manufacturers as well as the final consumers (drivers, car-rental companies etc). Solutia employs nearly 6,700 people in 27 countries worldwide.

Download a PDF map of the 'Laminated Glass Trail' at the Paris Motor Show here.

Web: http://www.solutia.com

GMD-Giardina Shows the Future of Wooden Window Finishing

GMD-Giardina – the UK specialist in finishing systems for wood and other materials, is able to consult on and supply the MOS® microwave curing technology with associated robotic application from its exclusive principal – Giardina of Italy.

‘Taking wooden window frames as a specific product area, there have been a number of historic finishing problems which have allowed the ingress of latter-day materials like PVCu, aluminium and various combinations.’ says GMD-Giardina’s Gerry Doran.

‘Looking at the history, the future and current problems, a number of facts stand out.

‘Wooden window frames have always been problematical components to coat for a variety of reasons. Their performance in use must withstand the vagiaries of weather and temperature across a range of climates; the elasticity of the coating needs to adapt to wood’s natural thermal expansion; a preservative element has to guard against natural wood degradation; ultimately – and most importantly perhaps – the finish must remain visually attractive over long periods of time.

‘No wonder there is a temptation to opt for the easy maintenance options (if never original) of the PVCu and aluminium alternatives.

‘Yet wooden windows have always held a unique allure and this is evident by the number being specified in new build scenarios as well as, of course, renovation work. Times change and architects and designers call for ever greater individuality which puts enormous flexibility pressures on manufacturers. Not least of these are smaller and smaller batches (down to one-off products), shortened lead times which, in the past were a major headache in terms of conventional curing times. There are also specialist issues like specific finishes, colours and even textures. The mass production finishing solutions have, up to now, not been able to cope and this has been one of the prime reasons for the eroding of the wooden window frame and exterior joinery market.

Current Technical Problems:
Modern legislation, which does vary to an extent, calls for most coatings used to finish window frames to be water-borne which rely on the total evaporation of the water from the coating before curing is complete. Often windows and similar joinery call for coating layers up to 300 microns thick while curing is in process which tends to happen from the outside inwards and often creates problems with colour fading or coating-substrate detachment depending on many external (and often uncontrollable) circumstances including temperature, humidity etc. Up until now the only effective remedy for in controlling the curing process has been greatly extended drying times as methods like increased temperature can result in adherence damage and even substrate distortion.

‘Cue Giardina’s problem solving MOS® microwave curing technology. In a nutshell the microwave curing removes the necessity to rely on environmental conditions for curing and greatly speeds the process under absolute control. The system evaporates the water in the coating film in minutes without heating the wood underneath. Therefore no surface distortions or damage occurs and eliminates the need for denibbing. It ensures that knots don’t discharge resin, won’t warp the timber and ensures that the chemical cross-linking process is speeded up to take place immediately after the water content has been eliminated.’

A recent international exhibition in Milan saw the launch of a number of new applications for using MOS® microwave curing technology – namely in the combination and application of robotics particularly for the window frame industries. ROBOT & MOS® can be configured as overhead conveyors for pre-assembly components or as a coating line with a flat conveyor system for sub-assembled frames. Specialist applications include robotic lines for the coating of small batches of frames of different sizes and shapes. The key is ultimate flexibility and the perfect finish. This allows for components or fully assembled products to be finished with equal efficiency. When it comes to the equal, overall coating of products – especially jointed sections – the system offers major advantages for the long-term stability and performance of the product.

GMD-Giardina’s Gerry Doran says that this technology is the single biggest breakthrough in finishing and curing application for a generation.

‘It is already in highly successful production with a number of Europe’s leading manufacturers who have realised immediate commercial and long-term benefits.’So what is MOS® ?

The system is a revolutionary application of a discovery/invention that dates back to 1952 for general use. In comparison with existing methods of substrate heating like conduction through fluids or contact through solid warm mediums and, more recently, infra red which can use rays to penetrate from the top film surface to the substrate ….. microwave technology in the Giardina MOS® system holds out a number of distinct and quantifiable advantages.

These are the ability to penetrate the lacquer film at a very high speed with the energy generation source being able to be instantly switched on or off. Also this source of energy is infinitely variable in terms of output so the user has total control when it comes to varying film weights, different substrate characteristics (like electromagnetic properties).

One of the major advantages is the significant savings in energy consumption and production time compared to conventional methods of heating where energy has to be available throughout or long heat up and cooling periods mean working downtime. The energy generated by the MOS® technology is also completely efficient in that all of it is directed to and absorbed by the targeted substrate and in particular the lacquer film only, there is no dissipation to surrounding surfaces like conveyors or tunnel structures.

So how have Giardina researchers and engineers cracked the hitherto problems of employing microwave technology in this area of application? Previously the main obstacles were the inability to ensure homogenous 3-dimensional distribution, the inability to definitively control the distribution of the radiation and, crucially, the difficulty in being able to get microwave radiation to discriminate the lacquer film from the substrate.

Giardina developed the MOS® system by identifying selected frequency spectrums by working outwards from a central point using opposite electrical circuits that allow the system to work by emitting continuous range frequencies. It is the development of this control and selection technique that has been patented by Giardina.

This unique ability to select microwave frequency spectrums holds out distinct advantages: The ability to employ total control of the temperature of the substrate is fundamental. The 3-dimensional homogeneity of power distribution is important in practical terms as it allows the possibility of curing lacquer which has been applied to moulded panels including edges. The energy output is guaranteed to be constant across the width of the tunnel and the significant energy conservation factor is through the wave selection process which ensures that different substrates achieve optimum temperature without ever overheating.

The process also ensures that the microwave energy is distributed equally from the surface of the lacquer to the top of the substrate so adhesion is improved and offers very rapid fluid evaporation times optimised to give far greater superficial hardness.

The warming of the lacquer also enhances the flow of the product on the surface of the substrate to give a visually superior surface finish, previously unheard of with conventional methods of drying waterborne/waterborne UV lacquers.

Technically, although the MOS® system was developed for use with waterborne lacquers it has now evolved to be used with any liquid finishing material and offers major advantages in the way in which below surface temperatures and surface polymerisation can be controlled.

'The versatility of GMD-Giardina’s MOS® microwave curing system requires greater technical examination and understanding before full extent of advantages can be realised. GMD in the UK is fully geared up to provide this information and we are looking forward to a number of successful installations.' concludes Gerry Doran.

Tel: 01529 240788
Email: mailto:enquiries@gmd-giardina.com

CertainTeed Opens New Window Manufacturing Plant in West Sacramento, California

Tapping into the high-growth markets of the Western United States, CertainTeed Corporation, the North American building products manufacturer, has announced the opening of its new window fabrication facility in West Sacramento, California.

On September 22nd, state and local officials, including West Sacramento Mayor Christopher Cabaldon, joined CertainTeed employees for the official ribbon cutting and dedication of the multi-million dollar, 229,000-square-foot production facility that manufactures CertainTeed's vinyl new construction and replacement windows and patio doors.

‘The city of West Sacramento is pleased to welcome CertainTeed to the Southport Business Park,’ says Mayor Cabaldon. ‘CertainTeed is a key part of our economic development strategy and further proof that California and our city are poised to be successful locations for manufacturing jobs.’

The facility currently employs 79 people with the potential of employing 100 Californians by year's end and 500 workers within five years, making it one of West Sacramento's leading employers.

‘We have all the necessary ingredients to be a real force in this part of the country,’ says Sam Ansley, President of the CertainTeed Window Group. ‘Easy access to major highways, a booming construction market, the most state-of-the-art window fabrication plant in the nation and West Sacramento's positive pro-business climate combine to make this city the right choice for our new facility.’

While the facility began production in August, the plant has been hiring and training employees since early this year. ‘We have some of the region's most skilled workers, many of whom have years of window production experience. We are sure to benefit from their expertise,’ says Charlie Yoder, Director of West Coast Operations for CertainTeed.

The plant manufactures CertainTeed's Insulate Series™ and Insulate Slimline Series™ products as well as New Castle XT™ vinyl windows and patio doors. The facility will also offer the new CertainTeed PrismGrid™ option on all its products. PrismGrid is a window application that employs patented optical film technology to create the look of custom bevelled glass at a more affordable price.

In addition to the new West Sacramento facility, CertainTeed has window production facilities in Auburn, Washington; Corona, California; Richmond, Virginia; and Lebanon, Indiana. The company also has window lineal extrusion facilities in Hagerstown, Maryland and Auburn, Washington.

Web: http://www.certainteed.com

Alcoa Provides EPS Guidance for Third Quarter, 2004

Alcoa announced on September 9th that it expects third quarter 2004 income from continuing operations to be in the range of $0.30 to $0.35 per share.

As previously announced, the quarter's results will be negatively affected by several events: a strike at its Becancour, Quebec smelter; a fire that led to an outage at its KAMA packaging facility in Hazleton, PA; and restructuring charges associated with the costs of closing its Wenatchee, WA and Northwood, OH facilities. The combined impact of these events is estimated to be $0.07 to $0.09 per share.

In addition, market softness in the automotive, packaging and European end markets will affect the third quarter results. Higher input costs, particularly energy in Europe and North America, will impact several businesses.

'While we are not pleased with the short term impact the labour issues have had on our bottom line, our actions are aimed at enhanced global competitiveness of our North American operations,' said Alain Belda, CEO. 'That is the best long-term job protection we can offer all of our employees.'

'In the near term, the primary aluminium market is expected to continue to experience strong fundamentals. Many of our end markets, particularly commercial transportation and aerospace, are showing signs of strength. Strong cash generation should continue, as we expect profitability for the first three quarters, even at the low end of this estimate, to be 40 percent above 2003 levels. As we address the labour and cost issues, the company will be well positioned for better operating performance in the future,' added Belda.

In anticipation of Hurricane Ivan, the company has temporarily shuttered its Jamalco alumina refinery, which has 1.25 million metric tons of capacity. The impact of the storm is unknown at this time, and not reflected in this estimate.

As a result of the anticipated sale of its protective packaging business, the company expects to record a charge of approximately $0.02 in the third quarter. That charge will be recorded under discontinued operations and is therefore not included in the projection of income from continuing operations.

Alcoa will report third quarter earnings on October 7th after the close of trading on the New York Stock Exchange.

Web: http://www.alcoa.com

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