Coatings Word June 2015

We create chemistry
that is making waves

in effect pigments.
Lumina Royal Aqua
Lumina Royal Blue
Lumina Royal Copper
BASF continues to extend the color space potential of mica-based

interference pigments with the addition of Lumina Royal Magenta.
Lumina Royal pigments add brilliance to vibrant stylings from greenish
blue shades through the increasingly popular coppers and oranges.
BASFs optimized particle size delivers the highest chromaticity
available for a wide variety of applications. Join the wave towards
brilliant color stylings.
basf.us/dpsolutions
= registered trademark of BASF Group
Lumina Royal Magenta
Lumina Royal Indigo
150 years
Table of Contents June 2015 Vol. 20, No. 6
25
32
35
38
40
Industrial Coatings Market
Photo courtesy: HKS, Inc./Blake Marvin
Latin America Report

Metallic Pigments
Q&A with DAP
British Coatings Federation Holds Annual Meeting
COLUMNS
iPaint .................................................................... 16
Death, Taxes, Trade Secrets and Other Certainties
International Coatings Scene ............................... 22

Europe Tinting Systems Among Fastest Growing Segments
Business Corner ................................................... 24

Customer StickinessOr Customer Loyalty Is It
Profitable?
DEPARTMENTS
Editorial ................................................................. 6
As We Go to Press ................................................. 8
Fresh Paint ........................................................... 10
Market Reports .................................................... 18
New Products ...................................................... 21
Industry News ...................................................... 42
Suppliers Corner .................................................. 45
People.................................................................. 46
Meetings .............................................................. 47
Final Coat............................................................. 50
ADVERTISING SECTIONS
Classified Ads....................................................... 48
Advertising Index................................................. 49
COATINGS WORLD (ISSN 152-711-29) is published monthly by Rodman Media Corp., 70 Hilltop Road, Ramsey, NJ 07446 USA. Phone: (201) 825-2552; Fax (201) 825-0553.
Periodical postage paid at Ramsey, NJ 07446 USA and additional mailing offices. Publications Mail Agreement No: 40028970. Return Undeliverable Canadian Addresses to
Circulation Dept. PO Box 1051, Fort Erie, On L2A 6C7, circulation@rodmanmedia.com. POSTMASTER: Send address changes to: Coatings World, 70 Hilltop Rd. Ramsey,
NJ 07446. Free subscriptions to Coatings World are available to qualified individuals. Others are as follows: U.S. one year $75; two years $120. Outside U.S. and overseas:
one year $95 (U.S.), two years $160 (U.S.), foreign airmail: one year $195 (U.S.). 5% GST required on Canadian orders. GST #131559148. The publisher reserves the right to
determine qualification of free subscriptions. Printed in the USA. Coatings World is used under license from Whitford Worldwide. Coatings Worlds circulation is audited by
BPA International.
4 | Coatings World
www.coatingsworld.com
June 2015
who can take metallic effects

to new heights?
you can.
Effects for Powder Coatings

Benda-Lutz Metallic Effects
Benda-Lutz STABIL SI
Benda-Lutz MAXAL SI
Benda-Lutz MAXAL EC
Benda-Lutz GOLDBRONZE
Blitz Bonding
Call us today! +1 800 543 2323
working for you.
www.sunchemical.com
Editors Page
Outlook Mixed for

Latin America Market &
Industrial Coatings Market
ccording to figures from Chemark Consulting Group, industrial

coatings comprised approximately 35 percent of total coatings
consumption globally. The market for industrial coatings is a highly segmented market that includes such diverse segments as offshore oil
and gas, commercial architecture, general industrial and industrial maintenance. Industrial coatings manufacturers interviewed by Coatings World
reported that while growth rates have slowed in some segments, others
such as oil and gas, are driving growth.
In Industrial Coatings Market (page 25), we interview a number of
major industrial coatings manufacturers. Executives from Axalta, Hempel,
PPG, and Sherwin-Williams offer their insight into this diverse and complex market.
Each application segment presents unique growth opportunities,
said Shelley J. Bausch, vice president, Global Industrial Coatings, PPG.
Globally, expansions in oil and gas and transportation of these commodities provide multiple coatings opportunities. Trends in electronic materials and their use beyond computers and mobile phones to automobiles,
commercial buildings, and homes provides a diverse growth opportunity
for coatings. And as a macro trend, the continued expansion of the transportation market personal and commercial vehicles gives a robust opportunity for growth. This is particularly apparent in developing regions.
Michael Cash, senior vice president and president, industrial coatings,
Axalta Coating estimated based on aggregated third party data that the
global industrial coatings end markets grew by three to four percent in
2014. By working closely with our customers, and by welcoming many
new customers to the Axalta family in 2014, we were able to grow faster
than the overall size of a number of our end use markets last year.
Our correspondent Charles Thurston offers his analysis on the state of
the Latin America Coatings Market in his report Latin America Paint
Outlook Mixed, But Growing (page 32).
Thurston reports that the estimated $10 billion demand in Latin
America for paints and coatings is mixed this year, as the economies in
some of the largest countries including Brazil and Colombia slow down,
while others like Mexico, Peru and the Caribbean accelerate modestly.
According to Thurston, overall, a regional expansion of 0.9 percent is
estimated by the International Monetary Fund (IMF) this year, while the
forecast for 2016 is 2.0 percent. This makes for difficult investment plans
and more costly importation of raw and finished materials, although some
paint markets in some countries are still growing at a few percentage points
above gross domestic product (GDP), a tendency during growth years.
kpianoforte@rodmanmedia.com
6 | Coatings World www.coatingsworld.com
A Rodman Media Publication

70 Hilltop Road Ramsey, NJ 07446 USA
(201) 825-2552 Fax: (201) 825-0553
Web site: www.coatingsworld.com
EDITOR
Kerry Pianoforte kpianforte@rodmanmedia.com
VICE PRESIDENT/EDITORIAL DIRECTOR
Tom Branna tbranna@rodmanmedia.com
ASSOCIATE EDITOR
Catherine Diamond cdiamond@rodmanmedia.com
ART DEPARTMENT
Michael Del Purgatorio
mdelpurgatorio@rodmanmedia.com
Sara Downing, sdowning@rodmanmedia.com
INTERNATIONALCORRESPONDENTS
Sean Milmo (Europe)
Charles W. Thurston (Latin America/Americas)
CONTRIBUTING EDITORS
Phil Phillips
Steve McDaniel
EDITORIALADVISORYBOARD
Jim Berry (Berry Environmental)
Joseph Cristiano (consultant)
Thomas Frauman (consultant)
Joseph Prane (consultant)
Isadore Rubin (consultant)
Richard M. Tepper (PPG Industries)
Shelby F. Thames (University of So. Mississippi)
PRESIDENT
Rodman J. Zilenziger, Jr.
rzilenziger@rodmanmedia.com
EXECUTIVEVICEPRESIDENT
Matthew J. Montgomery
mmontgomery@rodmanmedia.com
GROUPPUBLISHER / ADVERTISINGSALES
Dale Pritchett dpritchett@rodmanmedia.com
ADVERTISING SALES (U.S.)
Kim Clement Rafferty krafferty@rodmanmedia.com
ADVERTISING SALES (Europe)
Ria Van den Bogaert, BVBA Vandenbo
Karmelietenstraat 24 C, Box 56, 1000, Brussels, Belgium
Tel.: +32 2 569 8905 Fax: +32 2 569 8906
Mobile: +32 497 05 0754 ria@rodmanmedia.com
ADVERTISING SALES (Hong Kong, Taiwan & China)
Ringier Trade Publishing Ltd
401-405 4/F New Victory House
93-103 Wing Lok Street, Sheung Wan, Hong Kong
(852) 2369 8788 Fax:(852) 2869 5919
mchhay@ringier.com.hk
CLASSIFIEDADVERTISING SALES
Patty Ivanov 631-642-2048; Fax 631-473-5694
pivanov@rodmanmedia.com
PRODUCTIONMANAGER
Patricia Hilla philla@rodmanmedia.com
AUDIENCE DEVELOPMENT MANAGER
Joe DiMaulo jdimaulo@rodmanmedia.com
CIRCULATION MANAGER
Richard DeVoto rdevoto@rodmanmedia.com
ONLINE DIRECTOR
Paul Simansky psimansky@rodmanmedia.com
Coatings Worlds circulation is audited by BPA Worldwide.
June 2015
Our additives really get

your motor running.
Highly economic with excellent performance.

BYK-1640 Emission-free, polymer-based defoamer for aqueous systems.
More information: www.byk.com
As We Go To Press
AkzoNobel to Build 30 Million

Performance Coatings Facility in Thailand
AkzoNobel has announced plans to invest

more than 30 million in a manufacturing
facility in Thailand to support regional
growth of its Performance Coatings business. The project, which is being supported by the Thailand Board of Investment,
involves constructing a 120,000m2 site
within the Hemaraj Eastern Seaboard
Industrial Estate in Chonburi. Earmarked
for an initial capacity of 45,000 tons per
year, production is due to start in the
third quarter of 2016.
The new plant will support several
Performance Coatings businesses, including Metal Coatings, Protective Coatings,
Specialty Coatings and Marine Coatings,
as well as certain products from the companys Decorative Paints business.
By investing in this new facility we
are supporting our continued growth
within Thailand, as well as making progress with our regional business expansion
strategy, explained AB Ghosh, managing
director of AkzoNobels Metal Coatings
business. A number of existing operations will be consolidated into the new
site, allowing us to achieve world class
operational standards.
Added Conrad Keijzer, AkzoNobels
executive committee member responsible
for Performance Coatings: Thailand is a
key market for our growth strategy and
this investment will enable us to further
strengthen our position as a leading supplier, both within Thailand and as a hub
to support the supply network through
the region.
Our business in Asia has experienced
strong growth during the last several years,
he went on. As demand and volumes continue to rise, the new site will enable us to
better serve our customers whenever and
wherever they need our products.
Troy Acquires Industrial

Biocides Business from
Ashland
Troy Corporation recently signed a definitive agreement to acquire the industrial
biocides business from Ashland Inc. The

transaction is expected to close within
60 days, contingent on standard closing
conditions and completion of required
employee information and consultation
processes, the company stated. Financial
terms were not disclosed.
Ashland Specialty Ingredients industrial biocides business was formerly
owned and operated by ISP, Inc., and
includes the Fungitrol brand of dry-film
preservatives and Nuosept brands, which
are supplied to the paint and coatings
industry, as well as allied markets. The
companys Consumer Specialties business
unit, which includes preservatives for the
personal care market, is not part of the
agreement with Troy.
Troy prides itself on innovation
and premium service to its customers,
said W. Brian Smith, vice president, Troy

Corporation. With the addition of
Ashlands industrial biocides business,
Troys premier portfolio of preservatives
will be enhanced, delivering even more
value, performance, and sustainability to
the marketplaces served.
Troy Corporation develops and
manufactures specialty materials that
enhance the properties and performance
of its customers products and processes, and states it is committed to helping
manufacturers meet global requirements for compliance and sustainability. Troy is headquartered in Florham
Park, New Jersey with sales offices
throughout the U.S., Canada, Europe,
Asia and Latin America. Troy materials
are used and available in more than 100
countries worldwide. CW
Index to Companies
This index gives the starting page for a department or feature with a significant reference to a manufacturer of paint, coatings, adhesives and sealants
Subsidiaries are indexed under their own names.
AkzoNobel................................................................................................... 8, 10
Axalta...................................................................................................10, 25, 50
BASF................................................................................................................ 10
Behr................................................................................................................. 21
Benjamin Moore.............................................................................................. 21
DAP................................................................................................................. 38
Hempel...................................................................................................... 21, 25
Masco.............................................................................................................. 10
PPG ......................................................................................................10, 21, 25
Sherwin-Williams............................................................................................. 25
Valspar....................................................................................................... 10, 25
Zircotec............................................................................................................ 10
June 2015
ISO 9001
Fresh Paint
Valspar Corporation Opens New Advanced

Manufacturing Center in China for Paints & Coatings
Valspar Corporation has opened a

new advanced manufacturing center in
Tianjin, China to serve customers with a
wide range of innovative paints and coatings products.
Valspar has experienced strong
growth in China as customer demand for
high-performance and specified coatings
continue to increase in this large market,
said Gary E. Hendrickson, Valspar chairman and chief executive officer. This
investment furthers our technology and
sustainability leadership to support our
customers needs in this important region.
The new Tianjin manufacturing center was designed to achieve top safety
and quality performance while delivering
best-in-class productivity. The facility features expanded capacity for waterborne
coatings products with fully automated
production and high-speed filling lines.
Valspars state-of-the-art facilities are
designed for high productivity, and safe,
efficient and environmentally sound manufacturing processes. This multi-purpose

facility supports customers in the companys consumer paint, wood coatings and
industrial coatings businesses.
Health, safety and environmental
performance has been engineered into
the Tianjin site, which is important to
our employees, our customers and our
neighbors, said Derrick Tay, president
of Valspar Asia. Valspars expanded production capacity and sustainability leadership positions us well to continue to
grow our business in Asia.
PPG Announces Partnership

with National Nonprofit
to Support Independent
Dealers
The new PPG Pittsburgh Paints brand
has announced its exclusive paint-brand
partnership with Independent We Stand,
a nonprofit organization dedicated to the
revival of independent, locally-owned

and -operated businesses. The PPG
Pittsburgh Paints brand is sold exclusively by independent dealers across the
U.S., while the nonprofit group encourages consumers to shop at independent
businesses to help stimulate the economy
in their communities.
Through the PPG Pittsburgh Paints
brand partnership with Independent We
Stand, independent dealers in the U.S.
that sell PPG Pittsburgh Paints products
receive an immediate premium membership to Independent We Stand, which includes access to its marketing materials,
resources, signage and more.
Prior to 2015, Devoe Paint was the
exclusive paint partner of Independent
We Stand. In early 2015, PPG announced the new PPG Pittsburgh Paints
brand, which combined the Devoe Paint
and PPG Pittsburgh Paints brands into
one unified brand.
Axalta Coats the Worlds Second Largest Radio Telescope

Axalta Coating Systems has produced a special coating for the
radio telescope in Effelsberg, Germany, one of the largest, fullysteerable radio telescopes in the world, and the most powerful
for short-wave radiation. The Effelsberg telescope is used to observe pulsars, cold gas and dust clusters, star formations, jets of
matter emitted by black holes, and the nuclei of far-off galaxies.
It is also used as part of a worldwide network of radio telescopes
for astronomic observations at the highest resolutions.
Axalta helps to protect the telescope from weathering and
UV radiation with a matte-white polyvinylic coating called PercoTop CS551 Foliflex Topcoat. This specially-formulated, tailormade coating has been applied to the telescope approximately
every 18 years since it began operating in 1972.
Painting the telescope takes a minimum of six specially
trained painters several weeks.
The coating is applied with rollers, with no primer, after sanding the surface of the telescope using large disc sanders with a
diameter of approximately 20cm. The large sanders, which resemble vacuum cleaners, allow the painters to sand and collect
the dust generated simultaneously.
The work will be completed in summer 2015, and the Effelsberg radio telescope will continue delivering accurate measurements while being protected with Axaltas PercoTop CS551
Foliflex Topcoat.
June 2015
PPG Acquires Specialty

Wood Care and Paint
Products Manufacturer
Flood Australia
To mark Rio de Janeiros 450th anniversary, AkzoNobel Decorative Paints has

launched two new Lets Colour initiatives to bring color to the citys favelas.
In Santa Marta, one of the citys largest favelas, the company recently unveiled
a 15-meter mural created by famous
Brazilian artist Paulo Consentino and local artist Swell. At the same time, the programs ambassador three-time French
Open tennis champion Gustavo Kuerten
announced the #pintouRio450 campaign, inviting 450 local volunteers to
paint as many houses as possible in their
community by August 2015.
Since 2009, AkzoNobels Tudo de cor
para voc projects in Brazil have transformed and improved peoples living environments and communities in 11 cities,
including So Paulo, Salvador and Porto
Alegre. In 2012, the Santa Marta project
was officially launched and has since repainted 302 properties, bringing the total
number of projects AkzoNobel has run in
the country to over a thousand.
Ruud Joosten, managing director
of AkzoNobel Decorative Paints, who
was present at the launch of both initiatives, said: Through our global Lets
Colour program and local initiatives
like Tudo de Cor para voc, we are
demonstrating AkzoNobels commitment to improving living environments
for communities around the world. The
Santa Marta project is one of the many
examples of our global Human Cities
initiative in practice and is an excellent illustration of how were using our
knowledge and expertise to make cities
more colorful and vibrant.
As the urban population grows in
Brazil, Tudo de cor para voc aims to
support and promote the positive transformation of the countrys major cities.
Through these initiatives, AkzoNobel
brings together local residents, volunteers, community ambassadors and company employees. More than 3,000 local
painters have also upgraded their professional skills by regenerating their surroundings through paint and color.
PPG Industries has completed the acquisition of certain assets of Flood Australia,
which manufactures and distributes specialty wood stain and paint additive solutions for consumer, commercial and
Fresh Paint
AkzoNobel Decorative
Paints Launches Two New
Lets Colour Initiatives in
Rios Favelas
industrial applications. Financial

terms were not disclosed.
The acquisition of Flood
Australia allows PPG to further
expand its architectural paint and coatings offering and establish a position in
wood care in Australia, said Michael
McGarry, PPG president and chief operating officer. We look forward to
Cenomic full-volume
bead mill maximum
economic efficiency at
an attractive price.
The wet grinding solution with
up to
20% better pigment utilization*
20% lower production costs*
20% higher throughput*
20% reduction of required
specific energy*
* Compared with the standard solutions on
the market.
Cenomic best value for money. The

new Cenomic provides you with the
perfect wet grinding solution for efficient
production of coatings and inks. Customer
experience shows that a significant
reduction in production costs is possible
with this system. Make the change today
and benefit from the excellent economic
efficiency of this Bhler solution.
Bhler Inc., T 763-847-9900,

buhler.minneapolis@buhlergroup.com, www.buhlergroup.com
Innovations for a better world.
June 2015 www.coatingsworld.com
Coatings World | 11
Fresh Paint
providing customers with the

same quality products for which
the Flood brand has become
known in Australia.
Flood products in Australia are distributed at home improvement stores,
including Bunnings, Masters, Mitre 10,
Danks and independent paint dealers. No
manufacturing assets or facilities were included in the acquisition.
PPG currently manufactures and distributes Flood wood care products in
North America.
BASF Officially Opens

New Master Builders
Solutions Training Center in
Oldenburg
The new Master Builders Solutions
Training Center at BASFs site in
Oldenburg, Germany, has been officially opened. The new training center in Oldenburg has been created to
train and inform customers and BASFs
Master Builders Solutions experts on
the professional application and handling of Performance Flooring and

Waterproofing products and systems
thus fostering their professionalism,
knowledge and experience.
Under the brand MasterTop, BASF
offers a broad portfolio of innovative
flooring systems for a wide range of
applications. The requirements faced
by each individual floor are different
therefore products have been developed in such a way that they can be
tailored individually to meet specific
performance criteria, the technical and
aesthetic requirements, as well as allowing fast, cost-effective application.
The non-solvented MasterTop flooring systems feature low emissions,
high strength and low maintenance expenses combined with high durability.
Thanks to the wide variety of colors
available and liquid application, these
flooring systems also allow individual
seamless floor designs with respect to
shapes and colors.
The MasterSeal range from BASF includes high-performance impregnation

and waterproofing products to protect
structures against the undesired ingress
of water, moisture and contaminations
from their surroundings. The products
include rapid-hardening waterproofing
agents for manual or sprayed application that can be used for the refurbishment and protection of many different
types of buildings. These market-leading
innovative technologies are suitable for
the waterproofing of all types of structures, including car parks, road surfaces,
industrial plants, water treatment and
wastewater plants.
PPG Aerospace SolarControl Coatings use

Eggplant-Like Technology
for Cooler Plane
A new solar-heat-management coating system by PPG Industries aerospace
business helps keep aircraft passenger
cabins cooler.
June 2015
after the eggplant, which naturally remains cool to the touch even when exposed to intense sunshine. The eggplants
dark purple skin does not absorb nearIR radiation but transmits it to the white
interior flesh, where it is reflected and
transmitted out through the skin.
PPGs technology works in the same
way. Cancilla said PPGs solar-heatmanagement coating system is being
evaluated by several airlines and aircraft manufacturers.
Kilz Hide-All Primer Sealer

Now In New Sizes at
Lowes
Masco Coatings Groups Kilz Hide-All
primer sealer is now available in the
convenience of both one and five gallons exclusively at Lowes stores nationwide. This high-hiding, fast-drying,
multi-surface latex primer sealer offers
the ability to cover surface issuesincluding bold colorsat a competitive
price point. Kilz Hide-All primer sealer
WE LOOK
GOOD ON YOU
Fresh Paint
A novel PPG Aerospace solar-heatmanagement coating system can reduce

external aircraft skin temperatures up to
25 degrees F, helping keep interior cabin
temperatures cooler by 5 to 7 degrees.
Airlines often avoid dark colors for
airplane liveries because they can absorb
as much as 90 percent of solar energy,
which in turn heats the interior while
a plane is on the ground, said Mark
Cancilla, PPG global director for aerospace coatings. Our innovative paint
technology means airlines no longer have
to avoid dark colors. In fact, the darker
the color, the greater the difference there
is in total solar reflectance. There is no
compromise of other coating properties.
PPG solar-heat-management coatings technology is based on development of novel pigment dispersions, or
stainers, that increase transmittance of
near-infrared energy, or heat, through
a dark coating and increase the subsequent reflection from a white underlayer.
Cancilla said the technology is modeled
allows professionals to create

the perfect painting canvas
over a wide range of problems
they may encounter on the job
whether providing a base to paint on
newly hung drywall or covering a graffiti-vandalized wall.
The high-hiding, fast-drying, latex
primer sealer helps minimize issues
caused by dark colors and minor surface marks to create a consistent canvas
for the desired finish. With a multisurface formula, Kilz Hide-All primer
sealer is specifically formulated to help
prepare surfaces for painting and evens
permeability, and is recommended for
use on interior surfaces including drywall, cured plaster, woodwork, masonry, concrete block, brick and previously
painted areas.
Zircotec Expands Technical

Partnership with Ferrari
ELMS Race Team
Effective thermal management that
BIRLA CARBON
Enhanced appearance. Improved performance,

You can count on Raven to consistently deliver
a deep, rich black that stands out in the market.
When logistics, experience and quality matter,
choose the world leader in carbon black.
Lets work together on your next challenge.
Birlacarbon.specialty@adityabirla.com
Youll see the difference.
COLLABORATIVE
INNOVATIVE
GLOBALLY CAPABLE
BIRLACARBON.COM
2015 BIRLA CARBON
Coatings World | 13
Fresh Paint
both protects and prolongs

the life of race components
has led European Le Mans
Series GTE front-runners JMW
Motorsport to extend its partnership
with Zircotec. In addition to ceramic
coating the exhaust, JMW Motorsport
will use ZircoFlex heatshield on the
gearbox air regulator and bulkhead to
minimize the adverse effects of heat
soak in endurance racing. 2015 will see
Zircotec also coat parts of the composite floor for the first time, extending the
service life of a costly part.
Managing heat is a key factor
for the reliability in endurance racing, said JMWs chief engineer Davey
Nicholas. With the car running for
up to 24 hours, pretty much non-stop,
not having to worry about thermal
management is a big attraction of using Zircotec.
The benefits of using Zircotecs technology also appeal to JMWs driver line
up of BTCC driver Sam Tordoff and
sportscar specialist George Richardson.
Drivers dont need the distraction
and discomfort of high temperatures
in the cockpit. We are always seeking
ways to reduce the rate of fatigue, said
Richardson. Keeping the cockpit cool
also reduces the need for the aircon that
saps power. Having Zircotec on the car
delivers performance and reliability is
just what we need in sports car racing.
Its a real advantage.
JMW Motorsports Ferrari 458 GTE
will compete in the European Le Mans
Series and the iconic Le Mans 24 Hours
in 2015.
Axalta Unveils New

Sustainable Coatings for
Chinas Commercial Vehicle
Market
Axalta Coating Systems has launched
Imron Hydro and Imron Elite in China.
The two products are part of the Imron
family of coatings that are designed to
help commercial vehicle manufacturers
and operators meet productivity goals
and increasingly challenging global and
Chinese environmental regulations.
Axaltas Imron Hydro range of waterborne solutions provide a high-quality and environmentally responsible
system for manufacturers and operators
of heavy-duty trucks, high-speed rail
cars, buses, and agriculture, construction and earth moving (ACE) equipment as well as other industrial goods.
Imron Hydro is based on concentrated
and effective tints that use the latest generation pigments and dispersion technology. Combined with a variety of binders
based on patented Axalta resin technology, Imron Hydro is available either as a
factory package (fac-pac) or product line
consisting of unique water-based mixing
tints combined with quality binders that
enable local preparation of any madeto-match topcoat color customers may
need. Imron Hydro is formulated to
provide excellent hiding capability. This
improves productivity by reducing both
the amount of paint required and application time while still offering excellent appearance, superior durability and
strong chemical resistance. In addition,
because Imron Hydro is a waterborne
coating it generates lower levels of VOC
emissions which can help customers

meet Chinas environmental regulations.
Axalta is also introducing to China its
Imron Elite high solids solventborne solution, a simple but versatile system for
high-performance, low-VOC commercial
finishing. Using high solids 2K polyurethane technology, Imron Elite provides
a premium quality finish with superior
durability and high chemical resistance.
Imron Elite offers more than 18,000 color
formulas. The higher ratio of solids to solvents in the formulation results in reduced
VOC emissions which help make Imron
Elite compliant with VOC regulations in
China and a number of other markets.
Imron products are well established
around the world and have been used
on over three million vehicles. Globally,
more than 1,000 commercial vehicle
customers are using the Imron family of
products to reduce paint consumption,
application cost and VOC emissions.
With Imron brands, Axalta said its customers enjoy sustainable coating solutions that are both environmentally and
financially responsible, and are empowered to provide high quality coatings for
trucks, buses, railways, and various other
commercial vehicles.
PPGs CIL Paint Culinary

Collection Designed to
Feature Appetizing Colors
According to CILpaint, the color you paint
your kitchen can enhance your eating experience. Thats the message of CIL paint in
unveiling its digital Culinary Collection of
paint colors, featuring what it calls a mouthwatering palette of 20 hues, with names such
June 2015
orange such as Persimmon Berry (60YR

26/605 DL10), or light sage green such as
Cabbage Patch (90YY 62/264 MC21), creating a welcoming space reminiscent of open
fires and roasted foods. Dont know which
color to use? Simply identify the predominant undertone of your cabinetry or flooring
yellow, orange or red, for example and
choose a paint color with the same base.
Fresh Paint
as Adorable Peach, Bright Cherry, Cranberry

Zing, Curry Spice, Lime Twist and Olive Oil.
White kitchens have been trending
for a number of years, but now were seeing a resurgence of color in the kitchen,
from cabinetry to counters to walls,
said Alison Goldman, brand manager for
CIL paint, a brand of PPG Architectural
Coatings, crediting the revival to current
rich-in-color bohemian, retro and returnto-nature trends in home decor.
The kitchen is the most-used room in
the house and the area where family and
friends tend to gather, so its the perfect
place to add color and personality to a
home, Goldman said. Still, its important
to choose kitchen colors wisely, she cautioned, as some are better suited for this
multipurpose environment than others.
Warm, uplifting colors, such as yellow,
red and orange, and soft shades of grey, violet, blue and green, are known to be more
conducive to appetite-building, entertaining and conversation, she said, explaining
that CIL paint took these findings into account when developing its new palette.
CIL paints Culinary Collection brings
together the brands top kitchen color
recommendations from its existing paint
line-up. No matter what the look or size
of your space, the collection has a color
recipe for everyone, Goldman said. For
starters, she offered these suggestions as
good choices for:
The new Culinary Collection

by CIL paint can be viewed at
www.cil.ca. Available in Canada
at The Home Depot, Walmart,
Canadian Tire, Rona and other independent paint dealers, CIL paint has in businesses, communities, schools and homes
across the Canada for 85 years, with
more than 1,200 colors in its palette. CW
Modern kitchens: Grey is all the rage

in home decor these days, and muted grey
walls work especially well in a modern
kitchen. Try Oyster Bay (90YY 63/044
SE48) or Barley Beige (30YY 68/024 DL50)
grey from CIL paint as a base, accented on
one wall or through accessories by a favorite pop color, such as turquoise, tangerine
or raspberry. Other striking wall color options, particularly in kitchens with stainless
steel appliances, are lemon yellow or apple
green. If a full wall of these bright colors is
too much for you, paint them above your
cabinets only or even inside cabinets with
glass doors to liven up the room.
Country kitchens: Complement wood
cabinetry by painting the walls cozy shades
of terra cotta red, such as Burnt Pumpkin
(24YR 12/447 DL08) by CIL paint, warm
Coatings World | 15
IPaint Protecting the P&C Industrys Intellectual Assets
Death, Taxes, Trade Secrets and Other Certainties

by Steve McDaniel and Jon Hurt
Technology Litigators
ince many of you like to take the

extension to file taxes these days
(we did), and you have a little time
to prepare for next April, now is a good
time as any to apply the early bird gets
the worm strategy should any of the following issues ring a warning bell in the
back of your mind. Sure, we are not accountants or tax attorneys, so dont take
anything we say here as tax advice. That
being said, trade secrets can have tax consequences that you may want to discuss
with your honest-to-Pete tax advisor.
Are trade secrets taxable property? Short answer, yes. What, did you
think the IRS is going to miss a chance
to bleed you? But like most things
tax related, the specifics are somewhat
buried in the forest of dead trees that
make up the current tax code. Under
26 U.S. Code 170 Charitable, etc.,
contributions and gifts various intellectual properties including trade
secrets are recognized as tax related assets: (e) Certain contributions of ordinary income and capital gain property
(1) General rule The amount of
any charitable contribution of property
otherwise taken into account under this
section shall be reduced by the sum of (A) the amount of gain which would
not have been long-term capital gain
(determined without regard to section
1221(b)(3)) if the property contributed
had been sold by the taxpayer at its fair
market value (determined at the time of
the contribution), and (B) in the case
of a charitable contribution - (iii)
of any patent, copyright (other than a
copyright described in section 1221(a)
(3) or 1231(b)(1)C)), trademark, trade
name, trade secret, know-how, software
(other than software described in section 197(e)(3)A((ii)), or similar property, or applications or registrations
of such property, or the amount of

gain which would have been long-term
capital gain if the property contributed
had been sold by the taxpayer at its fair
market value (determined at the time of
such contribution). Whew! And, we
thought patent law was indecipherable!
From the convoluted verbosity
above, you can see why you are going
to need a joint sit down with your tax
advisor and your attorney to figure out
the best joint tax and legal positioning
to take on your trade secrets and other
intellectual property. But it seems that
you can get some type of tax benefit for
giving trade secrets, know how and
other IP assets away as a charitable
contribution. Big whoop. Most people
want to make money from their trade
secrets rather than give them away.
And honestly, can anyone think of a
charity that would want or use a trade
secret from the paint and coatings industry? If you do, please contact us and
we will be sure that our not-for-profit
entity has been set up to receive them!
Another issue that arises is the difference between a trade secret and
know-how. The IRS has generally
long viewed know-how as existing
based on a trade secret status, as having or including a secret process or
formula that is not necessarily patentable, and that it can be duplicated by
an employee that leaves the company.
Know-how in this view falls under
the trade secret umbrella and the proceeds from the sale of know-how can
be taxed as a capital gain. In regards to
trade secrets, any benefit of the capital
gains rate may be lost if the IRS rules
that the confidential information did not
classify as a trade secret (i.e., property),
such as not being protected by adequate
secrecy (hint, hint . . . . see previous iPaint
articles). However, the subject of knowhow has produced differing opinions
between courts and the IRS in various
cases. In some court rulings non-secret
information (e.g., manuals, easily reversed engineered processes) was viewed

as know-how and still taxable as property in the sale of a business. The tax
issues with trade secrets and know-how
gets even more complicated when your
business is international, another topic
to raise during the sit-down with your

advisors.
Given the treatment of trade secrets
and other IP as property, there may be
several ways to categorize R&D costs
of their development for reducing your
tax bill. The sit-down topics include the
research and development (R&D) deduction or the R&D tax credit (if it is currently renewed the tax code is always
changing). For example, based on the
June 2015
Protecting the P&C Industrys Intellectual Assets IPaint

Snow v. Commissioner U.S. Supreme
Court ruling, a partnership investor may
be able to deduct the expenses related to
developing a product even though the
product has not been offered for sale or
sold. And if you wind up meeting all the
various criteria for both the R&D deduction and the R&D tax credit, the formula
can become complicated as you need
to subtract one from the other in determining the final deduction. Keep good
records, and hope your tax advisors
computer is up to the task.
If you write a check and buy (e.g.,

lump sum payment, installment fees,
renewal fees) intellectual property for
your business, you also may be able to
amortize over 15 years the cost of the
purchase per 26 U.S. Code 197. The
qualifying intangible property under
197(d)(1)(C)(iii) includes any patent,
copyright, formula, process, design, pattern, know-how, format or other similar
item, So trade secret is not named,
but know-how and other similar

items are named. Another topic for discussion at the sit-down. Intangible property that the taxpayer creates rather than
purchases may also be eligible under
197(c)(2) if it was created in connection
with a transaction (or series of related
transactions) involving the acquisition
of assets constituting a trade or business
or substantial portion thereof. Should
197 not be applicable, then have your advisor mull over the potential for counting
the cost under R&D expenses ( 174),
depreciation ( 167), or even ordinary
business expenses ( 162).
Now suppose you sell a trade secret or other intellectual property. The
way you sell it can have a big impact
on your tax bill, specifically whether
it qualifies as ordinary income vs. a
capital gain. The considerations are
whether you only partly transfer (i.e.,
license) the property vs. exchange all
substantial rights of the property; and
whether the property qualifies as the
provision of services or a non-capital
asset vs. a capital asset (e.g., one held
for more than one year). As you can
guess, meeting the two later categories
will get you into the capital gain bracket, if that is desirable to you. In Pickren
v. United States 378 F.2d 595 (5th Cir.
1967) the transfer of rights and interest of secret formula to liquid wax
products and trade names were viewed
by the Fifth Circuit Court of Appeals
as warranting the application of the
transfer of patent rights, which under
current 26 U.S. Code 1235 would
constitute a sale of a capital asset if
all substantial rights were transferred.
However, royalty payments under a licensing agreement for the formula and
trade names was viewed as ordinary income. The IRS has generally categorized
this secret formula type of information
as know-how.
Finally, how about the situation where
your trade secret was misappropriated,
and you win damages and/or settle the
case? Well, in Freda v. Commissioner
of Internal Revenue, 2011 WL 3802707
(August 26, 2011, 7th Cir. 2011) (Freda),
the way the tax rate on $15.3 million
in damage payments was decided really
gives notice to all litigators. The circumstances involved were C&F Packing Co.,
Inc. (C&F) freezing cooked sausages for
Pizza Hut, Inc. (Pizza Hut), and providing confidential disclosure of the trade secret for the freezing process to Pizza Hut
due to quality control concerns. Pizza
Hut then allegedly disclosed C&Fs trade
secret to other sausage producers that
partly took over production, at lower
cost of course. After many legal battles
over a decade, C&F won $10.9 million
in damages for claims of lost profits,
lost opportunities, operating costs, and
expenditures. That award was reported
as about $8 million in long-term gain
and the rest as ordinary income. The IRS
was OK with that filing. A related court
case claiming trade secret misappropriation was settled for $15.3 million, which
after expenses, legal fees, and a payment
to a former shareholder, C&F reported
about $6 million in cash as a long term
capital gain. However, the IRS took the
view that the settlement was ordinary income, the result being that $700,000+ in
taxes were owed by C&Fs shareholders.
The problem for C&F in the trade secret
misappropriation case was the type of
claim made. The Court indicated that if
C&F sought remedy for replacement of
capital destroyed or injured, then the payment would have been a return of capital
and not taxable, rather than ordinary
income for payment of lost royalties and
profits. Ouch. Goes to show that getting the whole team together to play war
games is really key to long-term success.
So, repeating the disclaimer here that
your authors have any tax expertise
whatsoever, do yourself a favor. Know
enough to know how little you know
(the mark of the truly educated). And,
beware of tax advice regarding taxable
consequences of trade secret development, ownership, protection, licensing
and sale. Such advisers will need to be
of a special sort, and have demonstrable
expertise in the area. There are certainties
in life death, taxes. Dont smoke, our
best advice (as non-doctors), for the former. Pay what you owe, but dont forget
to consider the tax consequences of your
trade secrets, our best advice (as non-tax
specialists), for the latter. CW
Coatings World | 17
Market Reports
IRL Releases Profile of

Central Asian Paint Industry
IRL has launched a new edition of its

regional title, A Profile of the Central
Asian Paint Industry. This fully updated
report provides market data for 2013 and
forecasts for 2018, and gives an overview
of the paint industry trends across six
countries in the region.
The total market for paints and coatings in Central Asia was over 271 thousand tons in 2013, and is forecast to rise
to more than 307.9 thousand tons by
2018. This is equivalent to an average annual growth rate of 2.6 percent.
On a country-by-country basis,
Kazakhstan and Uzbekistan are the two
largest consumers of paints and coatings
in the region, with almost equal demand
for these products, estimated at 43 percent and 41 percent of the total Central
Asian paints demand, respectively. As the
majority of the markets is represented by
architectural paints, their evolution depends to a great extent on the fortunes of
the local construction industries. Notably,
underpinned by the growth in the construction sector, the Kazakhstani paints
and coatings market will be growing at
a slow pace and the Uzbekistani market
will reveal higher growth rates.
Out of the smaller countries,
Turkmenistan is the most attractive market for investors due to low levels of competition and fast growing downstream
industries; and Tajikistan is the least attractive market for paint suppliers, attributable to high logistics costs associated
with the transportation of the products to
the region and low levels of demand from
the underfinanced local industry.
Architectural and decorative coatings
for consumer and professional uses account for approximately 76 percent of
the total market, although this proportion varies from country to country. This
percentage is typically high for developing regions like Central Asia, where agriculture contributes a substantial portion
to GDP and the manufacturing sector is
stagnating, emerging or developing.
In the industrial coatings segment, the

highest growth is forecast for the materials with special protective properties,
as there are significant resources of oil
and gas in the region as well as of mineral commodities. The growing demand
for general industrial coatings in Central
Asia springs from its machine building,
metal working industries and road marking applications. The demand for refinishes is justified by the growing car fleet
in the region on one hand, and a genuine

interest in car maintenance among ordinary citizens, common for the regions of
Eastern Europe and Central Asia, on the
other. The level of popularity of powder
coatings is different for the various country markets.
A Profile of the Central Asian Paint
Industry gives an insight into the market changes in the past few years, as
well as outlining the key trends affecting
June 2015
Research and Markets

Releases Top 10
Technologies in Materials &
Coatings 2015
Research and Markets
has announced the addition of the 2015 Top
Technologies in Materials & Coatings
report to their offering.
The research service provides an indepth analysis of the top 10 materials and
coatings technologies that are expected
to have the highest impact across industries and applications. Each technology
is analyzed in terms of its market potential, application segmentation, innovation
landscape and IP landscape.
Key funding deals and the innovation ecosystem along with the technology
development and adoption scenario are

also highlighted. The research service also
provides a trend analysis of the materials
and coatings sector and the key challenges that are prevalent in the sector.
Innovations in materials and coatings
sector is focused towards multi-functionality and high performance attributes.
While cost effective technologies with
value for money is still prominent, reduction of raw material use and more energy
efficient processes are also noticeable.
The lightweight composites technology is established in the automotive and
aerospace sectors with its use is emerging
in sectors such as offshore, transportation, oil and gas and construction market.
The need for reducing carbon emissions
and increasing fuel efficiency are the
major factors that help in increasing the
adoption of lightweight composites.
Need for materials with tunable properties and high functionality are the major
factors that help in increasing the potential of polymer chameleons. The ability of
the materials to react to external stimuli
and retain their original shape once the
stimulus is removed helps its adoption in
healthcare, protective coatings and selfhealing structures.
Waterborne Epoxy Resin

Market Forecast to Reach
$1,221.75 Million by 2020
The
report,
Waterborne
Epoxy
Market Reports
the decorative and industrial coatings

segments for each individual country
covered. The scope of the study covers
Azerbaijan, Kazakhstan, Kyrgyzstan,
Tajikistan, Turkmenistan and Uzbekistan.
It provides 2013 market data on nine
mainstream paints and coatings segments: architectural/decorative, industrial wood coatings, protective coatings,
marine coatings, automotive OEM coatings (only for Uzbekistan), automotive
refinishes, powder coatings, general industrial coatings and plastic coatings.
Forecasts on these are also presented for
the year 2018. The cost of the full report
is 1,500.
Resin Market by Application

(Coatings,
Composites,
Adhesives, Others), by EndUser Industry (Automotive,
Construction,
Textiles,
Furniture,
Packaging, Others) & Region - Global
Trends & Forecasts to 2020, defines
and segments the waterborne epoxy resins market with analysis and forecast of
the market size. The global waterborne
epoxy resin market value is projected to
reach $1,221.75 million by 2020.
The waterborne epoxy resin market in Asia-Pacific is one of the fastestgrowing consumers across the globe
and the trend is expected to continue in
the near future. Asia-Pacific is the biggest market for waterborne epoxy resin, and accounted for a share of more
than 51.11 percent of the total market
size in terms of volume in 2014 which
was majorly contributed by China. It is
also estimated that China is the fastestgrowing market of waterborne epoxy
resin in the region. The high growth in
this region is mainly driven by growing
population, vast economies developed
as well as developing, favorable investment policies, and government initiatives to promote industrial growth.
The coatings market is one of the
largest types globally and the trend is
expected to continue in the near future.
Asia-Pacific region constitutes a major
share in coating application in the year
Coatings World | 19
Market Reports
2014. It is also estimated that

China is the fastest-growing
market of coatings industry in
the Asia-Pacific region.
The U.S. and China are at the
forefront of waterborne epoxy resins
consumption, while Germany, South
Korea France, Japan, UK and Russia
are other key markets for waterborne
epoxy resin consumption. China is the
key market in Asia-Pacific, consuming
more than half of the demand for the
waterborne epoxy resins, followed by
Japan, Taiwan and South Korea where
consumption is growing at a steady
rate. Increase in the consumption of
waterborne epoxy resins in automotive, construction, textiles, furniture
and packaging has been observed in
Asia-Pacific due to continued industrialization and rise in the manufacturing sector of the region. Construction
is projected to be the fastest-growing
application segment followed between
2015 and 2020.
Technavio Predicts Powder

Coatings Market in Italy
Will Grow
Technavio, an independent tech-focused
global research firm, has announced the
publication of its market research report
on the powder coatings market in Italy
2015-2019.
One of the latest trends emerging in
the market is the increased demand from
coil coatings applications. Such applications are relatively new and account for a
minor share of the powder coatings market in Italy, since alternative technologies
are predominantly used for coil coating
purposes. The powder coatings market in
Italy is expected to grow at a CAGR of
1.61 percent during the forecast period
2014-2019.
Increase in demand for application on
medium-density fiberboard (MDF) is expected to drive the market growth during
the forecast period. Vendors of MDF are
increasingly opting for thermoset powder
coatings over liquid-based alternatives, as
they offer durability and design freedom.

The powder coatings market in Italy
has recently seen the introduction of
various types of functional coatings like
flexible elastic coatings, thin-film coatings, scratch resistant coatings, stress
cracking coatings, and anti-graffiti coatings, said Faisal Ghaus, vice president
of p Research.
Vendors in the market collaborate
closely with customers and provide customized powder coatings for niche applications. It is expected that the use of
functional powder coatings in Italy will
expand, as compared to other powder
coating categories.
To define the market conditions in
the next three to four years, Technavio
analysts have conducted in-depth analysis of the impact of market drivers,
challenges and trends featuring data on
product segmentations, vendor shares,
growth rate by revenue and an evaluation of the different buying criteria in
the order of importance. CW
Protection of Trade SecretsIt's Elemental

Youve spent years developing your products. Where
would your business be if someone walked off with your
secret formula? Your client lists? Your confidential
business strategy?
At McDaniel and Associates, not only are we skilled in
protecting your trade secrets, but at the core of our business
are scientists who have long been involved in the specialty
chemicals industry. We understand the challenges specific to
our industry and can assist you in safeguarding and
defending the security of your most valuable assets.
*TRADE SECRET AUDITS
*INNOVATION PROTECTION
*TRADE SECRET VALUATIONS

*TRADE SECRET LITIGATION
Let us help you protect your intellectual property

and manage your risks.
----------------------------------------------------------
300 West Ave. Ste. 1316; Austin, Texas 78701

(512) 472-8282. Email: info@technologylitigators.com
www.technologylitigators.com
June 2015
Benjamin Moores Aura Grand Entrance

is designed to bring rich, vivid color and
exceptional durability to exterior doors
and trim. Inspired by fine European door
and trim enamel, Aura Grand Entrance
cures to a lustrous finish that
gives a look of
elegance
and
luxury, according to the company. Specially
formulated
to
retain color integrity and gloss,
this enamel is
easy to apply, has excellent hide and is
available in unlimited colors.
This exterior door paint is available in
thousands of colors and in two finishes:
Satin and High Gloss. It is environmentally
friendly with low VOC and very low odor.
Aura Grand Entrance is available
exclusively at Benjamin Moore retailers
across the U.S. and Canada. To locate a
retailer, visit benjaminmoore.com. MSRP
is $46.99 quart; prices vary per retailer.
Behr Paints Introduces

BEHR PRO ProfessionalGrade Line
Behr Paints has introduced its new BEHR
PRO professional-grade line formulated specifically with the professional
in mind for both interior and exterior
projects. The series offers advanced application properties such as superior
touch-up, excellent hide and maximum
coverage for high-turnover and pricedriven environments.
The new BEHR PRO paint series is
available at The Home Depot and includes:
i100 Series Interior Paints
Designed for production environments
found on high-turnover property management projects such as multifamily and single-family rentals, BEHR PRO i100 offers
a great value while still delivering high hide
and strong brush and roll performance.

BEHR PRO i100 paints are available
in 500 off-whites and pastels from BEHR
color palettes in addition to a wide range
of color matching capabilities.
Available in gallon and 5 gallon sizes;
retail prices start at $13.97.
i300 Series Interior Paints
Delivering solid application properties
such as high hide with excellent spray,
brush and roll characteristics, minimal
sag and superior touch-up, this interior
paint series is very versatile and performs
well in commercial settings, such as office
spaces, retail, warehouses and more. It
also offers good scrub resistance for paint
at this price point.
BEHR PRO i300 paints are available
in over 1,400 pre-formulated colors from
BEHR color palettes in addition to a wide
range of color matching capabilities.
e600 Series Exterior Paints
Offers exceptional sprayability, uniform
finish, with minimal surfactant leaching
and high-caliber touch-up. This exterior
paint series is versatile for projects ranging from residential to commercial exteriors, including single family, multifamily,
tilt-up and parking structures.
BEHR PRO e600 paints are available
in more than 1,400 pre-formulated colors
from BEHR color palettes in addition to a
wide range of color matching capabilities.
OLYMPIC Brand by PPG

Expands RESCUE IT!
Resurfacer + Sealant in One
Line
OLYMPIC Paint and Stain announced a
new addition to the RESCUE IT! line with
the launch of RESCUE IT! Light Resurfacer
+ Sealant in One. Designed for use on
New Products
Benjamin Moores Aura Grand Entrance

Paint Now Available
hairline cracks and unsightly imperfections

on lightly-worn wood and concrete surfaces, the RESCUE IT! Light resurfacer helps
conceal early signs of wear and tear.
With one gallon covering up to 100
square feet in two coats, the RESCUE
IT! Light resurfacer is ideal for structurally-sound decks, stairs, porches, patios
and sidewalks. This high-performance
coating is 100 percent acrylic, provides
waterproofing protection and helps
prevent splinters by providing a finelytextured, slip-resistant finish that is
barefoot-friendly.
As warmer weather arrives this
spring, many homeowners look to their
decks, patios and other outdoor spaces
as an extension of their home and living
areas, said Susan Uram, senior manager,
Olympic exterior stains, a brand of PPG
Architectural Coatings. The RESCUE
IT! Light resurfacer is the perfect solution
to give lightly-worn wood and concrete a
refreshed look and create beautiful outdoor living spaces where homeowners
want to spend the summer.
Starting at $32 per gallon container, the RESCUE IT! Light resurfacer is
the latest addition to the RESCUE IT!
line, joining the RESCUE IT! Moderate
Resurfacer + Sealant in One. The
RESCUE IT! Moderate resurfacer is for
use on worn or weathered wood or concrete. It fills cracks up to 1/4 inch, locks
down splinters and provides two coats
for up to 75 square feet with a one-gallon
container. The RESCUE IT! resurfacers
tint to more than 110 colors.
The RESCUE IT! Light and
Moderate resurfacers can help completely transform peoples outdoor spaces,
but the key to a great result is proper
preparation, Uram said. Before picking up a brush, consumers are encouraged to visit the Olympic Paint and Stain
website for best practices on preparing
worn and weathered wood and concrete
surfaces and achieving stunning results
with RESCUE IT! resurfacer. CW
Coatings World | 21
International Coatings Scene Europe
Tinting Systems Among

Fastest Growing Segments in Europe
The current
strong demand
for anything to
do with tinting
was evident at the
recent European
Coatings Show.
by Sean Milmo
European Correspondent
milmocw@rodmanmedia.com
ne of the fastest growing segments in

the European coatings sector at the
moment is tinting systems.
The main players behind the growth are specialists in pigments and colorants, dispersions,
color management and the manufacture of tinting machinery.
Not much of the momentum, in terms of
providing the tinting hard and software and
their accessories, is coming from the coatings
producers themselves, who historically have
been the ones responsible for establishing tinting in the marketplace.
The current strong demand for anything
to do with tinting was evident at the recent
European Coatings Show (ECS) at Nuremberg,
Germany, where many exhibitors outside the

segment were offering technologies or products
related to color shading in the final stages of the
coatings supply chain.
A major driving force has been the need
among coatings producers and distributors to
cut costs by streamlining their processes.
With some smaller coatings producers costsavings pressures are forcing them to abandon
colorants manufacture altogether.
Chromaflo Technologies, Ashtabula,
Ohio, a leading operator in the European
colorants and tinting systems market, distributed at the ECS its own study on profitability of in-house colorants production.
This showed that a big financial burden was
not just production costs but the expense of
the chemical expertise and extensive laboratory testing needed to deal with a burgeoning variety of color nuances and more
intricate formulations.
June 2015
Europe International Coatings Scene

The core business of paint production generates three times the gross profit
margin contribution of colorant production, the study claimed.
An increasing number of coatings
producers are opting just to make the
relatively small number of most used colorants which make up the vast majority
of the output of a traditional in-house
operation. This can cut a significant proportion of storage, transportation and
other costs.
Currently demand for tinting equipment and systems is growing at a double
digit rate in Europe, said Dipankar
Bhattacharjee, a key account manager at
the Italian-headquartered tinting equipment makers Corob. A major influence
has been the desire among coatings producers to cut storage costs by reducing inventories. Another trend has been a strategy of
keeping close to customers through secondary plants with tinting facilities.
In DIY and professional retail outlets for coatings where tinting machines
have already been available at the point
of sale (POS), sometimes for decades,
there has been a rising demand for more
sophisticated equipment combined with
color matching and management software and instrumentation.
As a result new tinting machines
have been introduced which are highly
computerized and automated so that
the staff operating them need little
training. Many can be operated by tablets via the internet.
Traditionally many POS tinting facilities have been provided and maintained
by coatings companies. Now this task is
increasingly being done by colorants and
tinting specialists.
In contrast to the fragmented approach of many coatings producers to the
supply of tinting products and services,
some of the leading specialists have been
following strategies aimed at integrating all the stages from pigments supply
through to the provision of color management services.
A merger two years ago between
Chromaflo and CPS Color, previously the
tinting business of the Finnish coatings
producer Tikkurila, gave the U.S. company a powerful platform in Europe for
the expansion of its integrated colorants

and tinting systems. Some of which cover
customer purchase histories and other
market data.
At the ECS Chromaflo added a new
tool to its Innovatint software package
linking it to the analysis of an even broader range of market as well as social data.
The main purpose of Innovatint has
been to bring together data on colorants
and their formulations with that on sales,
creating what the company says is a
seamless flow of information between
paint factory and paint customer.
The latest extension of the software
enables the tinting itself to be more personalized in meeting customers needs by
enabling cross-referencing of colorants
data with that on demographics.
For in-house tinting plants, Chromaflo
was promoting at the exhibition colorant
products which ensure batch-to-batch
consistency and provide ways of including low-cost colorants to achieve a good
price/performance balance.
Clariant, the Swiss-based speciality chemicals producer which is another
pace-setter in Europe in the integration of
colorant, tinting and color management
services, announced at the exhibition a
new integrated POS tinting system based
on matchmycolors Colibri color management software and the color management
instruments of Japans Konica Minolta.
The Japanese company already acts as a
Colibri distributor.
The system will provide customers
with a tinting facility capable of reaching
a first-time color match rate of 97 percent
with the help of a cloud-based software
able to calculate color collections centrally in seconds, according to Clariant.
At the ECS, the company, one of the
few tinting specialists which is also a major pigments manufacture, launched a
small and fast POS colorants dispenser
with 24 canisters in three and six liter
sizes able to provide up to six colorants
at a time.
We have been making the final steps
in completing the integration of the
value chain from pigments to the POS
stage, said Eugenio Saraullo, Clariants
European marketing manager for tinting systems.
An increasing
number of coatings
producers are
opting to just make
the relatively small
number of most
used colorants
which make up the
vast majority of the
output...
The model being pursued by companies like Clariant and Chromaflo in
the tinting segment is not just being applied in Europe but across the world. A
major reason for Clariants choice of
matchmycolor and Konica Minolta for
its new POS system is that they already
have in place a global sales and support network.
Nonetheless there still seems to be
plenty of potential for further growth
of tinting systems in Europe, not just
in the in-house plant segment but also
in retailing.
Its surprising how many coatings
retailers in Europe are still sticking to
the traditional way of stocking pretinted cans of paint on their shelves
in the belief that this is what their
customers prefer, said Esa Ylimaula,
sales manager at Xemec, a Finnish
manufacturer of automation products,
which launched a fully automated tinting machine at the show. There is still
a lot of educational work to be done
among retailers and their customers,
he added.
In addition, as large specialists in
colorants and tinting systems spread
themselves across the world, there will
inevitably be a lot of opportunities for
niche players, particularly those able to
offer exclusive ranges of colors. CW
Coatings World | 23
Business Corner Strategies & Analysis
Customer Stickiness...Or...Customer Loyalty...

Is It Profitable?
by Phil Phillips, PhD
Contributing Editor
phillips@chemarkconsulting.net
R
Research
performed by
HBR, Reinartz &
Kumar indicates
that longterm customer
loyalty does
not necessarily
produce high
profits from that
group.
esearch performed by a noted organization (HBR, Reinartz & Kumar) indicates that long-term customer loyalty
(customer stickiness) does not necessarily
produce high profits from that group.
We have this built-in notion that a loyal customer over the years provides for higher than
average profit contributions. Subordinated in
this belief are certain claims or truisms. Here
are those truisms:
Long-term loyal customers cost less to serve.
Those who support this theory argue that loyal
customers have lower overall costs since the
up-front costs of acquiring them are amortized
over a large number of dealings. That argument
presupposes that these loyal customers have
been profitable in those historical transactions.
A more plausible argument for this loyalty
link is lower maintenance costs could be built
on the fact there should be less hand-holding
over the years.
These long-term loyal customers pay higher
prices versus other customers. If loyalty does
not necessarily lower costs, then perhaps it
generates more revenue. There are those who
might debate that their loyal customers realize
the cost of switching to another supplier is too
high, therefore, the loyal customer is willing to
accept higher prices.
Reality says that long-term customers in
fact pay lower prices than do newer customers . . . between five percent and seven percent lower. In general, then, it seems that a
loyal customer is actually more price sensitive
than an occasional one. There is evidence of
a strong resentment against companies that
attempt to leverage price increases and profit
from loyalty.
Loyal customers market the company.
Some feel that the more frequent customers are also the strongest advocates for your
company. There is a belief that loyal customers (by word-of-mouth) help bring in
new customers. Evidence says that the link
between customer longevity and the propensity to market by word-of-mouth was not
that strong.
Choosing a LOYALTY Strategy

When choosing a loyalty strategy we segment
four types of customers into high and low profit
contributors and then into short-term and longterm customers. Each has a particular strategy
for handling successfully:
Humming Birds: Are quick to change,
never staying in one place very long. These
are short-term high profit customers.
Challenge is to cease investing soon eough.
Great Friends: Long-term good fit; highest
profit potential; investment is encouraged
A lien: This customer has little company fit and low profitability; no investment is recommended.
C rustacean: limited company fit; low
profit potential; these customers many
times become long-term loyal customers and tend to slow the organization in
the process.
The conclusion from these inputs basically
says... No company should ever take for granted the idea that managing customers for loyalty is the same as managing them for profits.
Loyalty is nice to have because it provides some
since of security as a solid continuum base but
it should never be assumed to provide extraordinary profits. CW
Dr. Phil Phillips is owner and managing director of CHEMARK Consulting Group, a global
management consulting firm specializing in
coatings, paints, adhesives, sealants and specialty chemicals industries. Dr. Phillips strengths
lie in strategic planning and implementation;
M&A methodologies; value chain development
and management best practices. For more information go to www. chemarkconsulting.net.
June 2015
FEATURE
The Industrial
Coatings Market
Photo credit: Sherwin-Williams
While some areas in the diverse market for industrial coatings have slowed, there are
some bright spots and the market grew by an estimated three percent in 2014.
Kerry Pianoforte, Editor
he market for industrial coatings is a highly segmented

market that includes such diverse segments as offshore
oil and gas, commercial architecture, general industrial
and industrial maintenance. Industrial coatings manufacturers
interviewed by Coatings World reported that while growth rates
have slowed in some segments, others segments, such as oil and
gas, are driving growth.
We track the external market trends in a number of our
global end use markets such as industrial production, commercial
construction new builds, transportation builds, electrical motor
production and pipeline miles constructed, said Michael Cash,
senior vice president and president, industrial coatings, Axalta
Coating Systems. Our best estimate based on aggregated third
party data is that the global industrial coatings end markets grew
by three to four percent in 2014. By working closely with our
customers, and by welcoming many new customers to the Axalta
family in 2014, we were able to grow faster than the overall size
of a number of our end use markets last year.
June 2015
The industrial coatings market covers a large and diverse

range of segments and applications, said Shelley J. Bausch, vice
president, Global Industrial Coatings, PPG. While growth rates
have slowed in some of these segments due to end market reductions (such as heavy duty equipment), others continue to deliver
strong growth performance. With PPGs global capabilities, we
have been able to leverage these areas of growth to continue to
outpace the market.
Additionally, as customers continue to look for ways to
improve performance and provide new functionality to their
end products, new areas of growth are evolving for coatings,
Bausch added. High performing coatings can be used to meet
multiple needs, reducing the need for specific substrates or replacing mechanical solutions.
Sherwin-Williams has seen growth in several areas, including
wood finishing, general finishing, heavy equipment and building products. One market that were particularly excited about
is OEM prefinished residential and commercial wood flooring
Coatings World | 25
Helping You Put Your

Accelerated Weathering Test Instruments
UVTest
Fluorescent UV Device
Corrosion Cabinets
The most sophisticated and
versatile corrosion and salt fog
cabinets available. Capable of
replicating automatic cycling
between several environmental
conditions to reduce the need
to move or otherwise handle
test specimens.
Design maximizes testing
volume
Largest standard solution
reservoir in the industry
Optional features allow
for simulation of several
environmental conditions
An economical fluorescent/UV
weathering test instrument for
product screening at lower
operating costs. The most
popular testing method for
coatings manufacturers.
Simple touch screen
operation and control in
several languages
Ci Series
Weather-Ometers
Atlas flagship accelerated
weathering instruments offer
superior performance,
innovative features, and large
capacity.
Water-cooled xenon arc
lamps and advanced filter
technology deliver the best
simulation of natural sunlight
Patented irradiance
calibration
Best-in-class uniformity for

irradiance, temperature,
relative humidity and spray
Remote Ethernet data

acquisition application
Intuitive touch screen

controls
Recirculating spray water

option
Custom testing capabilities
Visit Atlas in booth 639

June 30 - July 02
Centro Banamex in Mexico City
Products To The Test

Natural and Accelerated Testing Services
Natural Weathering
Testing
Natural weathering provides
the data you need to ensure
your product lives up to its
claims. Atlas Worldwide
Exposure Network Provides:
24 global outdoor
weathering test sites
including benchmark
locations in Miami, FL and
Phoenix, AZ
Various climates covering
an array of scenarios desert, tropical, sub-tropical,
mediterranean, marine, cold,
high-altitude, corrosive
Ideal environments for
testing architectural
coatings, materials, and coil
coatings
Ultra-Accelerated EMMA
Testing
The latest advancement in
natural exposure testing
delivering accelerated exposure
through a patented cool
mirror technology.
Exposes many different
types of materials to ultrahigh UV irradiance
Maintains high fidelity to the
natural solar UV spectrum
Keeps specimens at
acceptable exposure
temperatures
Accelerated Laboratory
Weathering Services
Atlas Weathering Services
Group operates one of the
largest networks of ISO/IEC
17025 accredited accelerated
weathering testing laboratories
in the world.
Our indoor exposure labs
offer artificial accelerated
weathering tests
A variety of other
environmental test programs
Testing designed to
accurately simulate true enduse conditions and meet
global weathering standards
www.atlas-mts.com
FEATURE Industrial Coatings

coatings market in which we just announced our participation, said Nick Bartoszek, global marketing director liquid
and powder products, Sherwin-Williams. In all of the markets
we serve, customers are asking for products that offer low or
zero-VOC solutions, as well as ways to improve their finishing
processes. We look for ways to become a true partner with our
customers, providing expertise that offers guidance well beyond
the product.
According to Klaus Moller, Hempel group vice president of
marketing and business development, the general market for industrial coatings grew by approximately three percent between
2013 and 2014. In general, the industry was boosted by government investment in infrastructure projects, especially in the
Middle East and Asia, he said. We expect the overall industrial
coatings market to grow inline with global GDP. We foresee that
commercial architecture will show a growth rate above that of
the overall market while oil and gas growth rates look more
uncertain due to the current low oil and gas prices.
The industrial coatings market comprises many diverse segments each offering its own set of opportunities and challenges.
Each application segment presents unique growth opportunities, said Bausch. Globally, expansions in oil and gas and
transportation of these commodities provide multiple coatings
opportunities. Trends in electronic materials and their use beyond computers and mobile phones to automobiles, commercial
buildings, and homes provides a diverse growth opportunity for
coatings. And as a macro trend, the continued expansion of
the transportation market personal and commercial vehicles
gives a robust opportunity for growth. This is particularly
apparent in developing regions.
Trends in construction segments are mixed, both geographically and by application segment, Bausch added. However,
the need for coatings in these segments continues to be robust.
And finally, new and increased performance requirements also
are driving growth opportunities. As an example, we see tremendous opportunity for growth on frames and chassis in the
automotive and transportation segments through their growing
demand for improved corrosion resistance. With the continued
strength of the automotive sector, this will be positive for industrial coatings.
Sherwin-Williams is witnessing and responding to growth
opportunities across all segments. For wood finishing, SherwinWilliams introduced our Ultra-Cure Waterborne UV Topcoats
for our wood finishing customers who are looking for flatline
finishing technology to help meet regulatory requirements while
also increasing productivity, said Bartoszek. Recently, formaldehyde in wood finishing has also been in the news; we offer
a full line of formaldehyde-free lacquers, conversion varnishes,
primers and surfacers for manufacturers that wish to address
this issue. In some cases, use of these products has helped end
users meet LEED certification.
In general finishing applications, new resin developments
can yield lower VOCs and reduced HAPs in polyurethane coatings, which help finishers meet sustainability goals, save money
on energy and equipment, without sacrificing appearance,
added Bartoszek. Heavy equipment manufacturers typically

have firm coating specifications in place, so helping them and
their tier suppliers take cost out of the coating process by working with them to gain efficiency continues to be paramount.
In building products, architects and specifiers need to meet
stringent AAMA 2605-13 specifications for coatings to meet
long-lasting performance standards in a variety of weather conditions. As the only U.S. licensee for Arkema Kynar 500 FSF
PVD Resin, we think we are in a good position to help them
meet those standards, using 100 percent Kynar in our SHERNA 5000 Fluorosurfactant-free architectural coating. And for
the prefinished wood flooring market, were offering a new family of prefinish coatings that includes UV-curable wood flooring
coating systems.
Cash said that one of the strengths of Axaltas industrial
business is the global product portfolio it offers which, combined with strong sales teams around the world, can match
potential growth distribution in different regions. This is key
because end use segments can grow at different rates in different
economic regions, said Cash. For example, theres anticipated
growth in drilling, albeit at different rates of growth in different geographies, which provides markets for our Nap-Gard FBE
products. Similarly, faster rates of industrialization in China and
elsewhere in Asia suggest room for growth in commercial construction and the industrial maintenance market.
Industrial coatings manufacturers continue to be challenged
to meet cost and performance requirements. First and foremost,
customers expect their coatings to meet the most stringent performance requirements.
The coating has to work; thats a given, said Bartoszek.
Youre really not in the game if the coating doesnt meet the
customers needs. We see our differentiator as the ability to provide expertise and improvement beyond the sale of the product.
In some cases, that may actually mean selling less of a coating through process improvements. But helping a customer take
costs out of the process through collaboration, or helping them
meet sustainability goals, is a worthwhile endeavor. We seek to
partner with our customers because we know that if they succeed in all aspects of their finishing process, well be working
together for a long time to come.
To meet their business demands, they need us to provide
coatings that improve corrosion performance, provide additional functionality and support light-weighting or other substrate
changes, said Bausch. From a cost and efficiency perspective,
they need us to provide solutions that accelerate production
throughput, enable faster cure times, utilize lower cure temperatures, and reduce process steps. Continual improvement of environmentally friendly coatings represents another key area for
increasing performance and delivering our customers a competitive advantage. PPG is pursuing advances in each of these areas,
regardless of industry, geography or legislation.
Our industrial coating customers are looking for a paint
company that will become natural extensions of their business
and offer a true understanding for what will help them become
successful, said Cash. This can happen through superior
June 2015
Industrial Coatings FEATURE

product performance as well as the technical service and support we provide onsite to help our customers achieve their performance goals. It is one thing to provide superior, innovative
products, but it is truly an achievement to help our customers
benefit from the full capability of our products in the unique
coating application environments of their businesses.
Customers needs are dependent on the specific application.
Owners and engineering companies typically look for longterm corrosion performance verified according to recognized
performance standards, such as ISO or NORSOK, Moller said.
In addition, specific performance criteria, such as chemical and
heat resistance, can play an important role for customers when
selecting coatings for more demanding and specialised applications. Fabricators and applicators usually focus on the application properties of the coating, such as drying time, over-coating
intervals and surface preparation requirements.
Moller added that all customers would like to reduce their
overall costs. End users, therefore, look for a longer lifecycle for
their investments and a lower total coating cost, including costs
associated with application and surface preparation. Many applicators, particularly in shipyards and fabrication factories, can
reduce costs by increasing productivity through the use of more
surface-tolerant coating systems or faster drying systems. These
systems also enable applicators and owners to reduce their carbon footprint. Fast-curing products enable steel fabricators to
reduce the energy used to heat drying halls, for example.

Industrial coatings manufacturers have launched a diverse
lineup of products. This year PPG has introduced four new industrial coatings that the company believes represent significant
advances in the industrial coatings industry.
One example is our new VERSABOND pretreatment system, said Bausch. This product features a proprietary hypernucleation technology that improves the corrosion resistance
of mixed-metal substrates on auto parts and accessories while
enabling manufacturers to extend bath life, reduce sludge and
lower process temperatures to save energy. By enabling the use
of lighter mixed-metal substrates, Versabond pretreatment also
supports the broader industry strategy to make vehicles lighter.
PPG launched ENVIROCRON HTE (high-transfer-efficiency) powder coatings. These products feature a cross-link polymer that enables them to penetrate and apply evenly to metal
parts and product assemblies with complex surfaces such as
refrigerator racks, patio tables and architectural components.
PPG also launched PERFORMALOC advanced productivity
coatings. These coatings represent an entirely new category
of products because they cure fast and hard without baking or
forced drying, which makes them ideal for OEMs with limited
or no oven-cure capabilities, added Bausch.
Over the past year Axalta has launched or expanded the global footprint of quite a few products designed for the industrial
At Eagle Specialty Products, we are

committed to serving industrial coatings
manufacturers with:
High-Performance Pigment Dispersions
for Water and Solvent Systems
Conventional and Low VOC Formulas
Large Inventories of Standard Product
Customization and Toll Manufacturing
Same-Day Shipping
Outstanding Technical Support
Dedicated Customer Service
We are passionate about coatings that
protect and dedicated to creating quality
products that safeguard yours.
Get in touch and find out how we can
help turn your challenges into your
opportunities.
Coatings World | 29
FEATURE Industrial Coatings
Valspar Delivers Custom Coating Solution for JW Marriott Austin

Weathered steel is a popular architectural material thanks to its rich, mottled
appearance, but it comes at a high price.
The architects at HKS Hospitality Group
in Dallas, Texas, were reminded of this
as they were in the process of designing
the new JW Marriott Convention Center Hotel in Austin. The original concept
for the building was to integrate natural
materials that are found within the Texas
landscape. For the faade of the 34-story
primary tower, HKS HG wanted a weathered metal appearance, but when the
team saw the estimate to use weathered
steel, they knew the price was too high,
even for a luxury brand like JW Marriott.
Hunt Construction, the contractor on
the project, reached out to ProCLAD Inc.,
the metal wall design company it had previously worked with on a JW Marriott in
Indianapolis. Representatives from Hunt,
ProCLAD and HKS consulted closely to
determine if there was an alternative solution that could deliver the appearance of
weathered steel at a lower price. The architects wanted dimensional panels with
varied colors that would read well from far
away, since the panels would be installed
on the high-rise portion of the building.
Craig Caudill, executive vice president for
ProCLAD, suggested using formed Galvalume panels painted in dark, medium
and light shades to mimic the appearance
of rusted steel. Caudill knew that using a
variety of colors of Valspar Fluropon coatings could help create the dimensional
variety the architects were looking for.
Additionally, the coating would maintain
its look for years to come, as Fluropon is
known for its durability, exceptional color
retention, and resistance to chalking and
chemical degradation.
The hard part started then, said
Caudill. The team liked the idea, but
wanted to see a sample before committing, and they needed it fast. ProCLAD
contacted Valspar, which was able to
color match the three shades, work with
Western Extrusion to coat them on steel
flat stock, and ship them to ProCLAD
in less than two weeks. ProCLAD then

wheeled a wall mockup of the sample
panels onto the HKS lot.
The architects liked the appearance of
the panels as well as the lower cost of the
solution, but still werent ready to commit
to the colors.
HKS provided us with a few paint
samples and requested to see five new
sets of colors in varying shades of brown,
along with a few metallic options, said
John H. Kelly, metal buildings market
manager for Valspar. Clients typically request one or two color variations, but in
this instance, we needed to create nearly
20 color options to ensure the best possible result for the client.
Rising to the challenge, Valspars lab
team was able to complete the project
between Christmas and New Years Day,
so ProCLAD was able to show HKS 15 new
panel mockups shortly after the New Year.
Once the color formulations were created,
the lab worked cohesively with the Western Extrusion team to quickly spray the
oversized panels and have them shipped
to ProCLAD for assembly. With the wide
variety to choose from, the architects were
then able to confidently make their pick
and select a color range that was consistent with the original concept.
After comparing several options, we
decided that a range of three colors with
a slight variation would best represent a
naturally weathered steel, but in an interpretive manner. We selected a range
of warm brown tones that are found in
weathering steel that has been exposed
to the elements over time, said Eddie
Abeyta, HKS principal and commercial
design director.
McElroy Metal supplied 40,000 square
feet of 18-gauge Galvalume steel coil
coated with Valspars Classic II Fluropon
in a custom color combination of Barrel
Brown, Fudge and Mustang.
Its a testament to the relationships
we have forged in the exterior cladding
markets with key suppliers such as U.S.
Steel and Valspar as well as visionary ex-
terior cladding contractors like ProClad
Photo credit: HKS, Inc. / Blake Marvin
Inc. The culmination of this project was

simply a direct result of teamwork, said
Mark Lawson, VP of sales at McElroy
Metal. Everyone had to be on the same
page to achieve the structural and aesthetic goals of HKS, Valspar, ProClad and
McElroy Metal. I think this will serve as a
signature project for everyone involved.
Additionally, Win-Con, Inc. supplied
the curtain wall, carrying glass across the
adjacent sides of the hotel. The Win-Con
Unitized curtain wall system included
200,000 square feet of glass with interior
mullions and exterior fins coated in Valspars Classic II Fluropon in Bright Silver
by Bonnell Aluminum.
With the combination of design flexibility, attention to energy efficiency and
superior detail to quality materials, WinCons Unitized curtain wall system complemented the one-of-a kind JW Marriot,
said Charlie Ruyle, VP of Win-Con Enterprises, Inc. The towering Unitized curtain
wall achieved the aesthetic look desired by
the design team and allowed for coating
customization of the aluminum fins and
mullions. Valspar is one of our preferred
manufactures due to their range of capabilities so we were thrilled to work with
their team to supply the coating for components of the curtain wall.
June 2015
Industrial Coatings FEATURE

market and which, in some cases, also serve its large transportation customer base.
A few examples of the products we have launched in
the past year include the global launch of Alesta powder
coatings architectural product line and color collection,
said Cash. The Alesta Global Color Collection is designed
to provide assured long-term protection of monumental
architectural structures with an innovative color range.
We introduced the Alesta ZeroZinc next generation zincfree anticorrosion powder primers. Our Imron EY High
Productivity Basecoat and 8890S Clearcoat system for the
commercial vehicle market was added to the Imron family.
It is designed to improve throughput and reduce delivery
times by allowing for a shorter bake and provide customers
with options to meet production demands and save money.
Axalta SE6000 Scratch and Mar Resistant Clearcoat was
introduced and is designed to provide increased protection
within the high use sport vehicle markets where we have a
strong position today. The patented dual cure nature of the
chemistry allows for faster cure and improved hardness on
cool down, to enhance the overall protection while providing premium appearance.
Sherwin-Williams has several new products that will be introduced throughout the remainder of 2015. Recent new product releases include Powdura OneCure, a two-coat mono-cure
system for heavy equipment and general finishing, Ultra-Cure

Waterborne UV Topcoats for wood finishing and Prefinish coatings for wood flooring.
Hempel has launched a number of new products recently.
AvantGuard technology is a new zinc technology that increases zinc activation to significantly improve the anti-corrosive performance and mechanical strength of the coating
without increasing zinc content. Activated zinc products are
specially designed for harsh environments. They provide increased corrosion protection and are easy to apply. As a result, they are redefining protection, redefining durability and
redefining productivity.
Corrosion under insulation (CUI) is a major challenge and
costs process industries significant lost revenue from downtime, repeated maintenance and replacement of corroded parts.
Versiline CUI uses carefully selected barrier pigments to make
it highly effective against corrosion under insulation, even under
cyclic conditions, continued Moller. In addition, its excellent
heat-resistant properties make it extremely resistant to micro
cracking, even when subjected to extreme temperatures, from
cryogenic (-196C) up to 650C.
Another new product from Hempel is HEMPACORE intumescent coatings. The product insulates structural steel so it can
retain its load-bearing capacity for up to two hours in a fire,
giving people valuable time to evacuate. CW
Coatings World | 31
FEATURE
Latin America Paint Outlook

Mixed, But Growing
AkzoNobel paints Santa Marta in Brazil
By Charles W. Thurston, Latin America Correspondent
he estimated $10 billion demand in Latin America for

paints and coatings is oddly mixed this year, as the economies in some of the largest countries including Brazil
and Colombia slow down, while others like Mexico, Peru and
the Caribbean accelerate modestly. Overall, a regional expansion
of 0.9 percent is estimated by the International Monetary Fund
(IMF) this year, while the forecast for 2016 is 2.0 percent. This
makes for difficult investment plans and more costly importation
of raw and finished materials, although some paint markets in
some countries are still growing at a few percentage points above
gross domestic product (GDP), a tendency during growth years.
One recent effort to smooth out paint industry policy, data
collection, and stimulation measures was the formation of the
region-wide paint and coatings association in Latin America, the
Federacin Latinoamericana de Fabricantes de Pinturas (LatinPat),
or the Latin American federation of paint manufacturers, with
a headquarters in Mexico, and officers in Brazil and Argentina.
Latinpat is headed by Javier Maldonado Moctezuma, the general
director of PSI Pinturas, based in the city and state of Puebla.
Countries with Accelerating Growth

IMF suggests that the strongest growth at 0.2 percent or greater is occurring this year in Mexico, Peru, Chile, Honduras,
Costa Rica and the Caribbean.
Mexico is perhaps the most promising market for paint and
coatings in the region, as a result of both its growth rate and its
size. With a 3.1 percent growth rate this year, and a forecast 3.3
percent in 2016, the IMF reckons, Mexicos GDP has a value
of $1.26 trillion, a sizeable component of the entire region, at
about $6 trillion. The PPG acquisition of Comex is expected to

lead to a broader offering of paints and coatings in Mexico, and
in the Central American/Caribbean region Comex now services.
PPG is investing more than $27 million in its San Juan del Rio,
Queretaro, Mexico, coatings manufacturing facility. The additional
capacity will enable PPG to meet increasing demand for its coatings
by automotive OEM, protective and marine, packaging and industrial customers in Mexico, said Mark Silvey, a PPG spokesman.
In the Caribbean, growth is being led by the Dominican
Republic, at 5.1 percent this year, with an accompanying GDP
value of about $6 billion. With a strong history of export assembly, demand for paints and coatings is likely to be centered
on powder coatings for consumer goods parts.
In Central America, Panama is exhibiting the strongest growth
at 6.1 percent, according to the IMF forecast. Panama has become
a major real estate market for foreign investors, helping drive the
demand for architectural paints. American Paint Company is one
leading domestic paint manufacturer there.
In a regional move, Andes Chemical in August forged an alliance with Croda International, based in East Yorkshire, UK, to
provide water-based paint and coatings chemicals to paint manufacturers in the Caribbean and to Central America. Croda has a
laboratory in Mexico, and had plans last year to build a laboratory in Campinas, Brazil.
Countries With Stable Growth

The IMF defines stable growth as running between plus-or-minus
0.2 percent, or flat growth, in the 2015 vs. 2014 comparison. The
countries with this rate Guatemala, Nicaragua, and Guyana, which
June 2015
Latin America Paint Outlook FEATURE

together represent only about $70 million of total GDP value.
Paint and coatings distributed in these countries is often
managed through Panama, which is the de facto warehousing
center of both the Caribbean and Central America.
Countries with Moderate Slowdown

The IMF defines a moderate slowdown in growth as falling between -0.2 and -1.0 percent. The countries in this category include Argentina, Uruguay, Paraguay and Suriname.
Argentina is the most important of these markets, with
a $636 billion economy. This year, the GDP there is shrinking by 0.3 percent, and the forecast is for 0.1 percent positive
growth next year. With a relatively strong automotive industry,
Argentina has attracted substantial domestic production investment. However, the economic uncertainties that seem to cover
the country like a permanent smog, tend to limit both industrial
and architectural segment consumptions.
Countries with Marked Slowdown of -1.0

or More
Much of the Latin American regions GDP is in this category
of contracting economies this year, with Brazil, Colombia,
Venezuela, Bolivia and Ecuador included, the IMF suggests.
Brazil is the largest market in the region, and is struggling to
reverse its current fortune. Dilson Ferreira, the executive director of the Associacao das Fabricantes de Tintas (Abrafati), the
national paint manufacturers association, said in February that,
Adjustments always cause pain, and this (year) will be no exception. However, once we have this period behind us, we will be in a
better position to advance. He noted that one bright point for the
architectural segment this year is the governments housing construction program, Minha Casa, Minha Vida (My Home, My
Life), which will help make up for slower consumer purchases.
In its 2014 annual report BASF noted that Following the
sharp declines of the previous year, we predict widespread stagnation in the consumer goods industry in Brazil. BASFs Suvinil
brand is the architectural market leader in the country. Suvinil
is the premium coatings brand from BASF and leads the segment
with 60 percent of market share, is produced in factories located
in So Bernardo do Campo (SP) and Jaboato dos Guararapes
(PE ) and is exported to Paraguay, Venezuela, Cuba, Bolivia and
some African countries.
Still, some strategic investments continue in Brazil. In March,
PPG marked the completion of a $40 million, 65,000-squarefoot plant for on-site resin production at its Sumar, So Paulo,
Brazil, coatings manufacturing facility. Resin produced at the
facility will be used to manufacture PPGs electrocoat products
to meet growing demand from automotive original equipment
manufacturers (OEMs) and industrial coatings customers in the
region, according to Silvey.
Sectoral Growth More Dependable:

Automotive Shines
Within the three major market segments for paint and coatings in
Latin America, the automotive segment is growing more evenly,
because it is a globally mature industry, unlike general industrial

development in specific countries, or the consumer-driven architectural segment, heavily affected by GDP and liquidity.
Massive global automotive investment is still flowing into
both Brazil and Mexico, but the latter is emerging as the strongest and largest, given the current wave of billions of dollars of
new investment.
In Mexico the automotive segment is going gang-busters.
Mexican auto production was up nearly 15 percent in April
compared with the year before, and vehicle exports are expected
to hit a record 2.9 million in 2015, according to the Asociacion
Mexicana de la Industria Automotriz (AMIA), the Mexican
Automobile Industry Association. Over 70 percent of the cars
and light truck production in Mexico is shipped to the U.S. tax
free, thanks to the U.S.-Mexico Free Trade Agreement.
Mexico is also the worlds sixth-biggest manufacturer of
auto parts, with production up 11.5 percent in fourth quarter
2014, according to Industria Nacional de Autopartes (INA), the
national auto parts makers association.
In Brazil, the situation is less promising. During the first
quarter of this year, Brazilian auto production was down over
16 percent, and General Motors and Volkswagen ceased production temporarily at their Sao Paulo plants to await better
domestic auto sales, down 19 percent through April of this
year, according to statistics from Associao Nacional dos
Fabricantes de Veculos Automotores (Anfavea), the national
auto makers association.
Industrial Growth Buffeted

In Mexico, industrial growth was barely positive as of
February, at 0.35 percent, following a contraction in January
and December. Mexicos oil earnings are a primary source of
the governments domestic spending program. By the end of
January, Pemex, the state oil company had cut its spending budget this year by $4 billion.
In Brazil, The situation is complicated with coatings for
industrial use. The manufacturing sector has been limping for
quite a while, and 2015 should not see any radical change, said
Ferreira in his February statement to the industry. Credit warnings from international ratings agencies went out on suppliers
earlier this year as Brazils state oil company Petrobras imploded
with corruption charges involving several dozen contractors. A
Central Bank poll of economists yielded an expected -2.8 percent contraction in overall industry in the country this year.
Argentinas economy is warming in at least the oil and gas
sector, which bodes well for specialty coatings companies like
Shaw Pipeline. Last year, Shaw launched insulation coating production at its Socotherm operation in Argentina, and in April of
this year, the company announced two contracts worth a total
of $55 million from Tenaris to provide three-layer polyethylene
anti-corrosion pipeline coatings for the first two phases of the
Argentina Northeast Gas Pipeline (GNEA). The project is owned
by ENARSA, the state energy company, and includes the construction of a gas pipeline that will transport up to 11.2 million cubic
meters of natural gas per day to locations in northeast Argentina.
Coatings World | 33
FEATURE Latin America Paint Outlook
BASFs Demarchi, State of Sao Paulo Paint and Varnish Plant.
The maritime industry is traditionally a small but strong

market segment. Sherwin-Williams last year introduced its
SeaVoyage and SeaGuard lines of marine coatings in Brazil,
Mexico and Chile. AkzoNobel noted that its sales in Brazil,
where it operates a maritime coatings operation, had slowed.
EcoPaint On the Rise

Low and zero-VOC paints are becoming very popular in
Latin America, especially in Brazil, where the increasingly
threatened Amazon rainforest is a constant reminder of the
need for ecological living. Many brands carry Eco versions
with low or zero-VOCs, and marketing campaigns frequently
feature these niche products.
Beyond Eco brands, the larger manufacturers also have
embraced sustainability and conduct in-depth programs to
improve their ecological performance. BASF, for example,
hired Demarchi+Ecoeficiente to perform an ecological assessment and awareness campaign at its So Bernardo do Campo,
state of Sao Paulo complex. The study was performed in conjunction with the Fundao Espao ECO (FEE). Thus far
some 65 suppliers to the company have been briefed on the
program goals.
Company Stores Spread

The evolution of company owned or franchised stores in Latin
America has accelerated as both paint manufacturers and Do-ItYourself home centers roll out their brands. Sherwin-Williams
is continuing to expand its presence throughout the region at a
tepid pace. We currently have 276 company-operated stores
with a total of 3,535 employees in Argentina, Brazil, Chile,
Colombia, Ecuador, Mexico, Peru and Uruguay, the S-W 2014
annual report indicates. We also operate 10 manufacturing
sites across the region and have subsidiaries in nine countries
and licensees with operations in seven countries. During the
year, we continued to expand our Dedicated Dealer program,

adding 47 new stores in Mexico, 13 in Argentina, 11 in Brazil
and one in Uruguay, and we now total 646 dealer stores in the
region, the report summarized.
Comex, which was ultimately purchased by PPG for $2.3
billion last year, manufactures coatings and related products
in Mexico and sells them in Mexico Central America, and the
Caribbean. Comex products are sold through a network of
approximately 3,800 stores that are independently owned and
operated by more than 700 concessionaires. We believe that the
network of stores can continue to grow further and potentially
reach upwards of 6,000 locations, says Silvey.
Mascos Behr brand is sold in Latin America primarily through Home Depot stores. In October, Home Depot announced an agreement to sell its five stores in Chile to its joint
venture partner, Falabella, and its four Argentina stores to
Hipermercados Jumbo, the owner of Easy Homecenter.
At the time, Bob Nardelli, Home Depots CEO, said,
The potential to expand our international presence, which
today includes Canada, Mexico and the Caribbean, remains a key strategic focus and supplements Home Depots
leading domestic operations. Home Depots 2014 annual
report notes that the company has 111 stores in Mexico,
along with stores in Puerto Rico, the U.S. Virgin Islands
and Guam.
Sodimac, the Chilean home supply chain, has 296 stores in
Chile, Colombia, Peru, Argentina and Brazil. This year it plans
to move aggressively with 20 new stores in Argentina, Uruguay
and Colombia, said Enrique Gundermann, the company general manager, in February. The eight Argentine stores alone will
involve a $300 million investment, Uruguay will involve a $40
million investment and Colombia will have five stores. Among
paint brands Sodimac sells are Kolor, Marson, Rust-Oleum,
Sherwin-Williams, Sipia and Tricolor. CW
June 2015
FEATURE
Metallic
Pigments
Market
Growth is on the horizon thanks to a revitalized automotive market and increased
acceptance of aluminum.
Catherine Diamond, Associate Editor
he metallic pigments market is expected to grow over

the next several years, thanks in part to a revitalized automotive market and the overall increased acceptance
of aluminum pigments.
According to Transparency Market Research, which published Metallic Pigments Market Global Industry Analysis,
Size, Share, Growth, Trends and Forecast, 2013-2019, the rising popularity of unique printing output and wider acceptance
of aluminum pigments is predicted to drive the global metallic
pigments market in the future.
The metallic pigments market is anticipated to record a strong
growth in the future due to rise in demand for several varieties
of colors, according to the report. Moreover, the eco-friendly
products constitute a major segment of the metallic pigments
market. The growing awareness regarding the use of products
with low carbon footprints is expected to drive the demand for
metallic pigments in the eco-friendly paints and coatings products.
June 2015
Furthermore, the use of metallic pigments in powder coatings is

increasing at a rapid pace as it provides wider range of color products to the consumers. Though the share of metallic pigments in the
powder coatings market is relatively low at present, it is predicted
to rise significantly in the coming years. Regions such as North
America, Asia and Latin America are predicted to be lucrative markets for metallic pigments in the future while the European market
is expected to record sluggish growth in the coming years due to
very slow recovery from the economic downturn.
Conversely, the demand for metallic pigments of heavy metals
including iron oxide, chromium and cadmium is projected to decline
as the producers of paints and coatings are lowering the content of
heavy metallic pigments due to strict environmental regulations.
The market analysis found that metallic inks constitute one
of the most important market segments of metallic pigments.
The report states: Metallic inks find use in a diverse range of
industries such as consumer packaging, beverage containers, gift
Coatings World | 35
FEATURE Metallic Pigments Market

wraps, publication printing and tobacco packaging among others.
Metallic inks are used to design attractive packaging materials that
can evoke an interest in the minds of the consumers. The demand
from traditional segments of the metallic inks market such as tobacco packaging, beverage cartons and gift wraps are expected to
remain strong in the next few years. Apart from the conventional
applications, the demand for metallic inks from applications such
as publication printings, cosmetics packaging and specialty coated
papers is anticipated to rise significantly in the coming years. The
growth in the metallic inks market would subsequently result in the
rise in demand for metallic pigments in the future.
The report adds that metallic pigments are used in powder
coatings; some of the major applications of metallic powder
coatings are architectural aluminum, office furniture, automotive components, and lawn and garden equipment.
One of the main reasons for the growing use of powder coatings
is their low impact on the environment as compared to other types
of coatings, the report continued. Aluminum is the most popular
metallic pigment used in the powder coatings with availability of
wide variety of shades. Moreover, gold bronze pigments are available as pale gold, rich gold and rich pale. Furthermore, stainless steel
pigments are used for exterior coating applications and pearlescent
pigments are used for both interior as well as exterior applications.
The advantages of metallic pigments such as high quality finish and
availability of wide range of shades are predicted to drive the market
for metallic pigments in the powder coatings segment.
Market Expectations and Trends

Metallic pigment coatings suppliers have generally found an increased interest in this market, and have identified several key trends.
According to Beth C. Earnst, BASFs manager of marketing
communications for Dispersions & Pigments, North America,
silver shades based on aluminum flakes still represent the major
portion of the metallic pigment market.
In 2015, BASF has seen demand for our colored aluminum
effect pigments substantially exceed automotive and industrial pigment growth rates, she said. This is due to their ability to deliver
brilliant metallic luster in very high chroma hues with excellent hiding. As a result, BASF will expanding production of our Paliocrom
iron oxide coated aluminum effect pigments by over 20 percent in
2017 to support growth in trending red, orange and gold shades.
Traditional silver aluminum stylings have given way toward
high chroma metallic stylings in a range of hues. The ongoing
trend towards waterborne basecoats has created specific interest in our passivated versions. Through continued expansion
of shade availability we continue to push the color space limits
with high chroma metallic. BASFs use of superior materials and
processes combined with proper application methods deliver the
brightest shades with high impact flop behavior, Earnst added.
Aaron Hollman, global product manager effect pigments,
Sun Chemical Performance Pigments, said that both decorative
and functional metallic effects continue to be strategic markets
for Sun Chemical.
In the past few years, we have seen outstanding growth of
our Benda-Lutz brand of metallic pigments and preparations
for brilliant finishes and mirror-like chrome effects for both liquid and powder coatings, Hollman said. We have also seen
increased demand in industrial coatings for improved performance characteristics like corrosion resistance, barrier effects
and thermal durability. We are optimistic that this upward trend
will continue in 2015 and beyond.
Hollman added: Many markets, most notably China, have
developed new regulations designed to improve air quality and
reduce VOC emissions. This has required paint producers to
transition from solvent to waterborne or low-VOC formulations. The ever-growing importance of waterborne technology
has created exciting innovation opportunities for metallic pigment manufacturers. Sun Chemical will continue to focus our
research and development efforts on expanding our product offerings for sustainable coatings.
Eckart Americas Corp. has seen positive development with
its effect pigments in the coatings market in 2015 with North
America and Asia showing the strongest growth; this growth is
expected to continue into 2016.
Thomas Hughes, global key account manager at Eckart,
said that the major trends his company sees impacting the
metallic pigments market continue to be cost and environmental regulations.
We align our development effortswith the market and our
customer needs in order to provide increased value with our
technical solution offerings, he said. There continues to be an
increased demand for environmentally-friendly coatings and we
support this with our technical leadership position with stabilized and encapsulated pigments for water based coatings systems and pigments for powder coatings.
Thomas Schaller, president of Schlenk Metallic Pigments
USA, said that he has seen the demand for metallic pigments
increasing and is expecting a positive second half as well.
Karen Schneider, Schlenks application technology manager
coatings, added that end users expect their products to look
distinctive and valuable. During the last several years, the trend
toward liquid metal or chrome-mirror effects have amplified.
Demands for metallic pigments offering improved optical and
technical properties have increased, which is an area where we
clearly put our focus on.
Areas of Demand
The demand for metallic pigments can be found in several markets, though the suppliers contacted by Coatings World unanimously agreed that the automotive market is the largest in terms
of demand.
Earnst, of BASF, said that while the automotive market remains the largest, it takes time for new pigments to be adopted
based on longer automotive durability validation testing.
Earlier adopters include 3D applications such as smart
phones, motorcycles, and various industrial applications including appliances. High interest persists in liquid metal effect
pigments like Metasheen. However, adoption of this class of pigments in mainstream applications has been limited due to substrate imperfection telegraphing, flake orientation challenges,
June 2015
Metallic Pigments Market FEATURE

and the necessity for multiple coating steps to achieve the optimum effect, she said.
Sun Chemicals Hollman said that the automotive segment is
benefiting from strong vehicle sales in the North American Free
Trade Agreement (NAFTA) and a modest sales increase in Europe.
As a result, Sun Chemical has seen strong demand for BendaLutz SPLENDAL vacuum metallized pigments and new high performance stain resistant metallics for wheel coatings. SPLENDAL
is also playing a significant role in creating premium automotive
interior finishes in the luxury segments because of its high end
look and excellent performance properties, he said.
In addition to the automotive market, Eckarts Hughes said
that the electronics market has shown increased demand for metallic pigments. Despite silver metallic being on a decline over
the last few years, Hughes said that the use of aluminum is starting to change that.
We also see an increase in metallic pigments with specialized functional performance capabilities built into the chemistry
of the surface treatment of the pigment, he said.
Schaller, of Schlenk, said that his company has seen an increase in powder coatings as well. New, extra-durable, coated
aluminum pigments allow powder coatings users to meet industry standards for chemical and outdoor resistance that could not
be met in the past, Schaller said.
Raw Material Costs

Though raw material costs are a major concern for many markets,
metallic pigments do not seem to be as affected by fluctuations.
Eckarts Hughes said that his company has not been too impacted by the cost of raw materials as they are not the main
drivers of the high-end metallic pigments Eckart offers.
Hollman, of Sun Chemical, noted that the first part of 2015
has seen dramatic changes in global currencies in relation to the
U.S. dollar.
In addition to raw material and process productivity, our global
manufacturing team has invested in designing production processes
with a high degree of flexibility. This flexibility allows us to utilize
our global manufacturing footprint to consistently deliver quality,
service and innovation in this highly volatile period, he said.
Aluminum costs are an input factor, said Earnst of BASF, but
the value added manufacturing costs required to produce a superior product is the primary driver.
The ability to enter new color spaces with high chroma and opacity tends to create a compelling value in use for Paliocrom, she said.
New Technologies and Products

In order to meet the needs of their customers, suppliers have
come up with innovative technologies and products. Here is a
sample of what customers can expect to see in the metallic pigments market:
BASF
BASF says it has continued to expand the available hue range obtainable with Paliocrom based on aluminum flakes. Additionally,
the company has added two Paliocrom Brilliant pigments based
on silver dollar aluminum flakes that offer enhanced brilliance,

unique sparkling behavior and extreme saturation. Both types
are available in passivated versions. Paliocrom Sparkling Red, a
unique bluish red pigment, became available just a few months
ago. Like other Paliocrom products, it is a highly chromatic effect
pigment with metallic luster and high opacity. BASF has already
seen quick adoption of it in both automotive and industrial stylings. The company is developing additional grades and expanding our production capacity to further support the market.
Eckart Americas Corp.
Eckart Americas Corp. has introduced a very dark chromium
based PVD pigment, which it calls Liquid Black, and Luxan B
Fraction (B characterize the particle size), which has particle size
distribution suitable for automotive basecoats.
Eckarts chromium oxide basedMetalure Liquid Blackis described as a captivating midnight black shade in combination
with a fascinating reflective effect. The pigment is designed to be
a unique PVD product that stands out by its specific dark metallic
appearance. Metalure Liquid Black has unique optical effects as
well as extremely high chemical resistance withstanding any possible chemical testing. Metalure Liquid Black is chemically inert
and free of any chrome VI compounds thus, it is toxically safe.
Schlenk
Schlenk has recently introduced a new line of pigments, Powdal
SDTs for the powder coating industry. They are designed to offer
outstanding weatherability, chemical resistance and color while
giving excellent chargeability and compatibility in a high weathering polymer systems. The company also continues to expand its
Decomet range of metallic pigments to offer solutions to customers that want to achieve these metallized or chrome-like effects.
Schlenk has recently launched its AluMotion line of non-leafing aluminum pigments specifically designed for the automotive
OEM industry. In April of this year at the European Coatings
Show, Schlenk introduced Multi-Flect Wave, a polychromatic
pigment. The company has been working with many new technologies, both in its core product line and outside to meet the
ever changing color needs of todays market.
Sun Chemical
Sun Chemical has made some recent developments associated
with its Benda-Lutz Maxal EC product line. In addition to premium metallic brilliance and sparkle, the company says this
range has become synonymous with the highest level of chemical resistance for single coat, architectural powder coatings.
The line has recently been expanded to include finer particle
sizes, which allows for smooth metallic finishes combined with
the durability of Maxal EC.
In addition to two new fine particle size Maxal EC grades,
Sun Chemical has introduced a new high performance stain resistant grade for industrial applications (Metallic HP 6814/78).
It has found immediate application for automotive wheel coatings because of the stringent appearance and performance requirements of that application. CW
Coatings World | 37
FEATURE
Q&A with DAP

Headquartered in Baltimore, Maryland,
DAP is a leading marketer of caulks,
sealants, adhesives, insulating foams,
spackling, glazing and other general patch
and repair products.
Coatings World: What markets offer the most opportunity for

growth for DAP?
DAP: For DAP, we really serve the consumer DIY market. We
continue to focus on heavy volume users painters, general
contractors and heavy DIYers. They are served by Home Dept,
Lowes and smaller hardware stores. Our strategy is to tie our
caulk and sealants products together with DIYers to simplify the
process. We believe that is our best formula for growth.
CW: What are the latest technologies being offered by DAP?

DAP: Out core technology has been latex caulk and sealants. We
continue to work to enhance the ability of water-based chemistry. We are looking to find secondary value such as improved
weatherability. We continue to push hybrid chemistry. One
example is Dynoflex 800 which has all the benefits of reactive
chemistry and meets AAMA 803 and 808. It provides a watertight, weatherproof seal and is ideal for installing and sealing
around windows, doors and other penetrations where a tough,
durable seal is required and features excellent adhesion to most
common building materials.
CW: What are some other key product offerings?
DAP: DAP ALEX FAST DRY Acrylic Latex Caulk Plus
Silicone specifically formulated to meet the demanding needs
of professional painters and deliver outstanding paint finish results. It can be brush painted 20 minutes after application or
spray-painted immediately, so the job gets finished faster. This
durable, flexible caulk is resistant to cracking and dirt pick up,
providing a smooth surface for excellent paint adhesion. Also,
it wont discolor or shine through paint, creating a clean finish.
ALEX FAST DRY offers all-purpose versatility with adhesion to
a wide variety of surfaces and is easy to apply and tool. It is low
in odor, cleans up easily with water and is backed by a 50-year
guarantee. Available in white in a 10.1 fl. oz. standard cartridge
size and a 5.5 fl. oz. squeeze tube.
DAP is a leading manufacturer of caulks, sealants, adhesives and other patch

repair products.
The Alex line of caulks is comprised of three different products that meet the
needs of both professionals and DIYers.
June 2015
Q&A with DAP FEATURE

shine through paint. It is easy to apply and tool, low in odor and
cleans up easily with water. It is backed by a 40-year guarantee.
Available in white in a 10.1 fl. oz. standard cartridge size and a
5.5 fl. oz. squeeze tube.
Dynaflex230 This product is silicone tough, but latex easy.
Easy to paint, clean up with water, application is clean and has
low odor.
SmartBond 8x more adhesive coverage in just one can, a polyurethane adhesive that is faster to dispense and provides vastly
better coverage than traditional adhesives.
DAPs SmartBond provides eight times more adhesive coverage, according to

the company.
DAP ALEX PLUS All Purpose Acrylic Latex Caulk Plus

Silicone Americas number one selling brand of caulk, is
paintable in just 30 minutes. It contains silicone additives for
greater flexibility and adhesion to a wide variety of surfaces and
it shrinks less for a durable, waterproof seal that wont crack or
DAP 3.0
C oncrete & Masonryideal for filling and sealing horizontal
cracks in sidewalks, concrete driveways, above-ground foundations, patios, concrete steps, garage floors and other concrete surfaces. The self-leveling formula eliminates the need
for tooling.
Kitchen, Bath & Plumbing ideal for caulking and sealing
tubs, showers, sinks, backsplashes, counter tops, toilets, fixtures and for repairing loose tiles.
Window, Door, Trim & Sidingideal for sealing windows,
door frames, corner joints, siding, trim, butt joints, baseboards, molding, pipes, ducts and vents. CW
Coatings World | 39
FEATURE
British Coatings Federation

Holds Annual Conference
Triple decker launch at BCFs Annual Conference
n May, the British Coatings Federation (BCF) welcomed a record number of guests to their Annual Conference in Chester.
At the event, nearly 130 delegates enjoyed a full bill of stimulating presentations which included themes of sustainability,
manufacturing, economics and legislation, all with relevance
to the coatings industry. Guests enjoyed receiving an update of
BCFs numerous activities from the CEO Tom Bowtell, and were
also enthralled by the awe-inspiring keynote speaker Richard
Noble, OBE who presented the Bloodhound SSC (Super Sonic
Car) and the project which will attempt to break the world
ground speed record in 2016 by reaching the speed of 1,000
mph. Guests finished the evening with a champagne reception
and gala dinner featuring comedian, Mike Osman.
The event marked the launch of PaintCare, an industry-led
project to create a circular economy for leftover decorative paint
in the UK. PaintCare aims to make better use of the estimated
50 million liters of decorative paint generated each year in the
country, much of which ends up in landfills today. The project

is backed by various stakeholders across the nation including
decorative paint manufacturers, retailers, trade associations,
waste management companies, local and national government
and other third-sector organizations. These stakeholders will be
confirming their commitment to help create a sustainable circular economy for leftover decorative paint, to increase reuse
and remanufacturing rates from two percent to more than 50
percent. More information about PaintCare can be found on the
newly launched website, www.paintcare.org.uk.
Minutes Matter was also launched at Conference. This is a
three way partnership between BT, the Community HeartBeat
Trust (CHT) and the BCF to help rural communities convert
their local red telephone kiosk in to a life-saving defibrillator station. BCF members have given overwhelming support, providing undercoat and red gloss paint for over 80 telephone kiosks
since the launch in 2013, restoring them to their former glory.
June 2015
BCF Annual Conference FEATURE
As part of BCFs strategy to take this initiative nationwide, details of the Minutes Matter campaign have been sent to all 650
MPs, asking for them to nominate a local rural community in
their constituency to install a defibrillator in their red phone
box. Working with the CHT, a new website www.minutesmatter.org.uk has been set up, which recognizes MPs who are successful in getting a village in their constituency involved.
The third launch was of the revised edition of BCFs technical manifesto Driving the Technical Agenda for the Coatings
Industry. A key role of any trade association is to defend the
interests of its members, and this publication outlines the topics BCF is lobbying on, progress made so far and also future
plans. Key elements of the manifesto include defending critical
substances used in coatings and inks which are not easily substituted with an alternative these substances that help coatings perform important functions such as corrosion protection
(chromates), creating a barrier to protect food from the packaging (BPA), preservatives for water based paints (MIT), antiskinning agents for solvent based paints (MEKO), chemicals
to make blown vinyl wallpaper (ADCA), fire retardants (boric
acid), marine coatings to protect ships hulls (biocides) and vehicle refinish paints (isocyanates).
Feedback has been excellent for this record-breaking
Conference, and next years is already planned for Thursday,
June 23, 2016. CW
The BCF is the representative body for the UKs 2.8 billion-ayear paint, printing ink, powder coating and wallcovering manufacturing industries. The Federation has over 150 companies in
membership. Main benefits of membership include guidance on
health, safety and environmental matters, access to industry statistics and to meet on matters of mutual concern within the industry. For more information go to www.coatings.org.uk.
Nearly 130 delegates attended presentations on sustainability, manufacturing, economics and legislation.
Coatings World | 41
Industry News
Troy Acquires Industrial

Biocides Business from Ashland
Troy Corporation has signed a definitive

agreement to acquire the industrial biocides business from Ashland Inc. The transaction is expected to close within 60 days,
contingent on standard closing conditions
and completion of required employee information and consultation processes.
Financial terms were not disclosed.
Ashland Specialty Ingredients industrial biocides business was formerly
owned and operated by ISP, Inc., and
includes the Fungitrol brand of dry-film
preservatives and Nuosept brands which
are supplied to the paint and coatings
industry, as well as allied markets. The
companys Consumer Specialties business
unit, which includes preservatives for the
personal care market, is not part of the
agreement with Troy.
Troy prides itself on innovation
and premium service to its customers, said W. Brian Smith, vice president,
Troy Corporation. With the addition of
Ashlands industrial biocides business,
Troys premier portfolio of preservatives
will be enhanced, delivering even more
value, performance, and sustainability to
the marketplaces served.
EIB and EBRD to Provide

Financing for Grupa Azotys
Expansion
The European Investment Bank (EIB) and
the European Bank for Reconstruction
and Development (EBRD) are teaming
up to support further expansion of Grupa
Azoty, Polands leading chemical and fertilizer company. The agreements, signed
in London, provide the Polish company
with a PLN 700m (170m) long-term financing facility.
The facility consists of two separate
10-year loans: a PLN 550m (134m)
loan from the EIB and a PLN 150m
37m) loan from the EBRD. It is a
part of a larger PLN 2.2bn (504m)
long-term package designed to finance
Grupa Azotys growth in line with
the companys 2020 strategy, which
includes plans for further expansion

to new markets in the region and
overseas. The remaining PLN 1.5bn
(370m) will be provided under a
separate loan signed earlier this month
with a consortium of Polish banks.
Pawe Jarczewski, CEO of Grupa
Azoty, commented, Through the
strong partnership with EBRD and the
EIB, we will be able to tap into the full
potential of the Polish chemical industry. Using Polands unique success story
and geographical location in the heart
of Europe, we aim to become a key
European player by 2020. Our 2020
Strategy, accepted by the Board last
year, envisages a number of world-class
investments and an ambitious plan of
regional expansion, and I am delighted
that the EBRD and the EIB share our
vision for the future, for the benefit of
Poland and the region.
EIB President Werner Hoyer commented, The EU bank is a strong investor in the Polish economy, and remains
a committed partner for Polish companies which develop viable projects and
strategies. Our priority is to enhance
Polands competitiveness by supporting
innovative and internationalizing companies such as Grupa Azoty. The Groups
strategy goes in the direction of making
Europes chemical industry more globally competitive and energy efficient, and
it is a pleasure for the EIB to be able to
support this development.
EBRD President Sir Suma Chakrabarti
said, We are happy to provide this loan
to Grupa Azoty as it will bolster the successful expansion of this vibrant Polish
company, which is growing into an important player on the international market.
We are very pleased with the operational
and financial results of the company and
in full agreement with its strategy which
will further strengthen its development.
The EBRD remains a committed partner
of Grupa Azoty and is ready to consider
further support to the company.
BASF Creates Chemistry

with Stakeholders to Tackle
Challenges of Urban Living
in New York City
BASF hosted a week-long program in
New York City to address one of the
worlds pressing future challenges: urban development to meet our growing
population. Thought leaders, scientists,
students and citizens participated in a
series of events to identify sustainable solutions. Red Hook, Brooklyn, is serving
as the case study on how public-private
partnerships can help resolve the evolving
needs of global cities.
BASF is celebrating its 150th anniversary this year, said Wayne T. Smith,
chairman and CEO, BASF Corporation
and member of the Board of Executive
Directors, BASF SE. Our history shows
that chemistry is an enabler for new ideas
and solutions. As we celebrate this milestone, we are connecting people and ideas
to make meaningful contributions to society in accordance with our corporate
purpose: We create chemistry for a sustainable future.
An opening event on May 26 featured
a keynote address by Amanda Burden,
urban planning expert and former New
York City Planning Commissioner (20022013). Cities are fundamentally about
people, and where people go and where
people meet are at the core of what makes
a city work, said Burden. So even more
important than buildings in a city are
the public spaces in between them. And
today, some of the most transformative
changes in cities are happening in these
public spaces.
It is projected that by the year 2050,
nine billion people will inhabit the Earth
compared with seven billion today
and more than 70 percent of them will be
dwelling in cities. The New York Creator
Space tour is focusing on how city neighborhoods of the future can accommodate
more people, use fewer resources and yet
deliver a better quality of life.
June 2015
Perstorp Opens New

Oxo Plant to Strengthen
Position in PVC Plasticizers,
Chemical Intermediates
Perstorp officially opened a major extension to its capacity to produce PVC
plasticizers and key chemical intermediates. The new Oxo plant in Stenungsund,
Sweden, began producing material soon
after its start-up in January, and is now
running at full regime and delivering high
quality material according to plan.
The new production platform is the

single largest investment in Perstorps history and clearly demonstrates Perstorps
commitment to the PVC industry, says
Perstorp CEO Jan Secher. It significantly boosts our output of valeraldehyde
and 2-propyl heptanol (2-PH), two key
raw materials for Perstorps innovative general purpose PVC plasticizers,
EmolteneT 100 and PevalenT. It is a testimony to our commitment to the PVC
industry, and puts us in a very strong
competitive position.
Perstorp now has one of the few fully integrated platforms in Europe providing customers with ready access to
high performance, sustainable and costeffective plasticizers. The Oxo plant
is also a source of products for other
key markets: 2-propyl heptanol is used
in production of lubricants, adhesives
and surfactants, for example. While nvaleric acid, which is also made in the
plant directly from valeraldehyde, is an
important raw material for lubricants,
pharmaceuticals and fragrances.
Jerker Olsson, vice president Business
Unit Oxo, said: The upstream integration into essential raw materials greatly
strengthens Perstorps position as a reliable supplier of innovative plasticizers to
the PVC market. We have raised our total
Oxo capacity by 150,000 tons per year
and become one of the few fully integrated suppliers of plasticizers.
This improved production position,
in combination with logistics centres in
several countries, now provides our customers with improved access to marketleading high performance, sustainable
and cost effective plasticizers. We can
offer our customers a level of reliability,
consistency and customization that our
customers need.
Olsson added: Our new Oxo plant is
a great example of Swedish innovation in
sustainable process solutions. It has been
built to the highest environmental and
safety standards.
Perstorp offers two ranges of general
purpose plasticizers, EmolteneT 100 and
PevalenT. EmolteneT 100, a C10 plasticizer (di-propyl heptyl phthalate, DPHP),
is one of the thoroughly tested phthalate
plasticizers on the market. It is intended
Industry News
Using Red Hook, Brooklyn, as a case

study, participants examined the dynamics within the neighborhood, including
single and multi-family residences, commercial structures, public spaces, civic
infrastructure and green space. The concepts of habitat, citizenship, and resilience
were explored and mined for inspiration during a two-day summit guided,
among others, by Professor Alexandros
Washburn, founding director of the
Center for Coastal Resilience and Urban
Xcellence (CRUX) at Stevens Institute of
Technology in New Jersey.
Our Red Hook neighborhood is
uniquely Brooklyn: diverse and creative,
said Washburn, who is a Red Hook
resident. But were not unique when it
comes to flood risk and sea level rise because we live right on the waterfront, like
a billion other people around the world.
If we can find a way to make Red Hook
resilient, we can find a way to make all
coastal cities resilient.
Throughout its anniversary year,
BASF is collaborating with multiple
stakeholders in an approach known as
co-creation to focus on smart energy,
food and urban living. The cornerstone
of BASFs 150th anniversary celebration is the Creator Space tour, a series
of six, week-long programs occurring
in: Mumbai, India; Shanghai, China;
So Paulo, Brazil; Barcelona, Spain;
New York and BASFs hometown,
Ludwigshafen, Germany. Other key elements include Creator Space online, a
global, collaborative internet platform,
and three science symposia to drive innovative solutions in Ludwigshafen (smart
energy), Chicago (food), and Shanghai
(urban living).
for outdoor durable applications, most notably cables, wires

and roofing membranes, where
it contributes to extra durability
under harsh conditions.
PevalenT is an innovative nonphthalate plasticizer, partially derived
from renewable resources, that meets
the safety and performance requirements of close-to-consumer PVC applications such as flooring and coated
fabrics. It provides unbeatable softness
and UV stability, and presents processors and users with a highly sustainable
solution for a large number of high-volume applications.
PevalenT further reduces the carbon
footprint of flexible PVC, it has no VOC
(volatile organic compound) emissions
and its high durability helps extend the
useful life of finished products. PevalenT
is registered according to REACH.
Lubrizol Expands Solvent

Acrylics Production Facility
for Coatings
The Lubrizol Corporations Performance
Coatings business has completed a significant project to expand capacity and
increase manufacturing efficiencies at
its solvent acrylics production facility in
Sant Cugat (Barcelona), Spain.
Solvent acrylic resin technology for
topcoats and primers is critical to the
success of specialty packaging requirements related to vacuum metallization,
hot stamp foil and holographic printing
applications. Each of these technologies
is playing an increasing role in packaging innovation for security, aesthetics and
functional properties of substrates, according to the company.
Over the past two years, Lubrizol
made significant investments to automate
two independent production lines for the
highly specialized solvent acrylic resin.
This automation helped achieve the goal
of creating efficiency and flexibility while
also improving quality and increasing
capacity. This investment included a new
loading system for monomers and solvents, new premix and initiator tanks and
their related dosing systems, new filters,
two new bulk resins pipelines and a semiautomatic packaging machine.
Coatings World | 43
Industry News
This upgrade also allowed

for the integration of these production lines into the plants
Distributed Control System
(DCS). These upgrades were critical
to ensuring a highly reliable unit, meeting our customers demand and quality
expectations and reaching our high performance goals, noted Jordi Fernandez,
Lubrizol process engineer.
The investment in plant upgrades increases Lubrizols value by strengthening
our ability to be a global solution provider with the technologies and capacities that can help drive our customers
growth and overall success.
Wacker Expands Technical

Center in Moscow
Munich-based chemicals group Wacker
has expanded its technical center in
Moscow, Russia. Auguste Willems of
Wackers Executive Board and Dr.
Christian Hartel, head of Wacker
Silicones, dedicated the new service lab in
the presence of several customers.
The facility will serve as a test lab
for silicone elastomers and ready-touse silicone compounds and will cater
to the energy, electrical and automotive
industries. This investment aims at further enhancing services to key customers in Russia and Eastern Europe and
spurring Wackers silicone business in
the region.
The lab is located south of downtown
Moscow, next to the technical center,
which has supported customers of polymeric binders for construction and drymortar applications since 2003. The new
lab, which opened today, is entirely geared
to silicones customers. It will formulate
and test high- and room-temperaturecuring silicone rubber and ready-to-use
silicone compounds.
The silicones lab makes it possible for us to adapt our products to
customer needs and local industry requirements, said Dr. Christian Hartel
during the official opening ceremony.
Providing quicker and more flexible
support to key industries such as the
cable, energy, and automotive industries will strengthen our position as one
of the leading silicones manufacturers
in the region and provide a basis for

future growth.
U.S. Zinc Commences Zinc

Oxide Capacity Expansion
Project in China
U.S. Zinc has begun implementation of
its project to expand production at its
Changshu, China zinc oxide plant. The
expansion is slated for completion by the
first quarter of 2016.
The full project, which includes facility additions, new employees and
new equipment, will increase zinc oxide production by 9,000 metric tons
per year. The expansion will enable
U.S. Zinc to cater to the specialty zinc
oxide markets.
The plant will continue to serve the
domestic demand in China for zinc
oxide. The U.S. Zinc plant, located
in Changshu approximately 60 miles
northwest of Shanghai, has been the recipient of numerous environmental and
safety awards.
Evonik Industries Expands

Capacities for VISIOMER
MAAH
Evonik Industries, a supplier of methacrylate chemistry products, has doubled
its production capacities for VISIOMER
MAAH (methacrylic anhydride) at its site
in Worms, Germany, in 2015.
VISIOMER MAAH is an important
building block in the production of specialty methacrylates, which are used in
concrete additives, paints and colorants,
electronics applications, and plastics.
In addition to MAAH, Evonik
Industries produces and markets a wide
range of specialty methacrylates as well
as MMA, GMAA, n-BMA, i-BMA,
and hydroxy methacrylates under the
VISIOMER brand.
Dow Starts Up a New

Polyether Polyols Plant in
Thailand for Coatings
Dow Polyurethanes, a business of The
Dow Chemical Company announced
the successful start-up of a new state-ofthe-art polyether polyols plant in Asia
Industrial Estate, Rayong, Thailand.
Dow invited customers to the site for a
celebration and facility tour to showcase

the unique technologies and capabilities
the plant provides to the industry.
Dow said that it works closely with
customers in the industrial, energy efficiency and consumer comfort industries
to maximize opportunities that arise from
shifting markets, sustainability trends,
new regulations and energy dynamics.
Utilizing DMC catalyst technology,
Dow stated that the facility will deliver
local, high quality, reliable supply of polyether polyols into a variety of consumer
comfort and industrial applications.
This new polyols production facility
truly demonstrates Dows commitment to
our customers in Asia and to our manufacturing standards in Thailand. We are
setting new performance standards by
utilizing cutting-edge technologies in this
new plant, which can reduce the overall
footprint of our facility, including energy consumption and waste water generation by 50-70 percent, and eliminating
100 percent of solid waste, said Jirasak
Singmaneechai, managing director of
Dow Thailand.
The facilitys annual capacity of up
to 200 kilotons will increase Dows participation in one of the largest and fastest-growing regions in the world. This
solidifies Dows position as one of the key
players in foam technology for furniture,
mattresses and bedding, and in specialty
markets like high-performing coatings,
adhesives, sealants and elastomers serving infrastructure, transportation and
construction markets.
Announced in 2006, the project
began with cracker and polyethylene
chain developments and has expanded
to include the companys most recent
advancements. The production site will
largely serve customers in Southeast
Asia, China and India.
The plant is one in a recent series
of global polyol investments by Dow
to deliver growth in targeted markets,
with the first coming on line in Freeport,
Texas late last year, the next slated for
start-up in 2016 as part of the companys Sadara joint venture with Saudi
Aramco in the kingdom of Saudi Arabia,
and another at the companys Terneuzen
site in The Netherlands. CW
June 2015
Sun Chemical Performance Pigments has

introduced its new Fanchon Orange 36
high performance organic pigments for
coating and ink applications.
Fanchon Orange 36 pigments have a
high level of opacity and durability capable
of replacing lead-based pigments in industrial mono-coat applications. APEO- and
lead-free, Fanchon Orange 36 pigments
are a leader in the industry that raises the
standard for environmental stewardship.
This high performance pigment maintains gloss with increased pigment loads and
offers excellent light and heat fastness, high
color strength, superior dispersibility, as well
as reliable process and quality control.
We have customers across Europe
and beyond who are looking for ways to
replace inorganic orange pigments that
meet the environmental regulations enacted in Europe and across the world,
said Scott Heitzman, product manager,
Sun Chemical Performance Pigments.
Our new Fanchon Orange 36 not only
meets their needs, it sets the bar in meeting those requirements.
Charles Ross and Sons

Introduces New Laboratory
High Speed Disperser
The new Ross Model HSM-100LH-3
Vacuum High Speed Disperser is designed for laboratory and pilot-scale
mixing of batches up to 5 gallons. It can
be supplied with a vacuum-rated mix
vessel including a heating/cooling jacket
and mixer cover with sight/charge ports.
Interchangeable saw-tooth disperser
blades are available (2, 3, 3.5 and
4 diameter), suitable for variable speed
operation up to 4,800 rpm. All wetted
parts are stainless steel type 316.
High Speed Dispersers are useful for
wetting out solids and creating a uniform,
air-free suspension or solution under
vacuum. The classic open-style saw-tooth
disc blade generates a vortex on the liquid surface into which powders and other
minor components are added for quick
incorporation. Rapid turnover and vigorous flow patterns are achieved throughout
a wide range of viscosity: from water-like
to around 50,000 centipoise.
The HSM-100LH-3 is driven by a 3HP
VFD-rated motor. Safety limit switches
prevent operation of the mixer while in
the raised position or without a mix vessel in place. A 3HP inverter is mounted to
the mixer and wired to the motor and limit
switches for single-point electrical hookup. The mixing head is raised by means of
an air/oil hydraulic lift with push button
controls (requires 80-100 psig air source).
Variable Inc. Releases

Enhanced Color Referencing
System
Variable Inc., maker of the NODE+ wireless sensor platform, has released the
NODE+chromaPro, powered by the new
Inspire app for smart devices. Building
upon the success of its first-generation
color referencing system NODE+chroma,
developers for Variable, Inc. advanced the
systems capabilities to include a tri-stimulus detector to increase accuracy and
repeatability, precise readings on multiple
surface types, including textured materials, and a customizable app that harnesses cloud data and streamlines the color
selection process.
NODE+chromaPro and the Inspire
app work together as a design workflow
team to collect color inspiration, reference
against color libraries, create palettes, organize, share, and even order product or
color samples. The Inspire app is a base
and allows for unlimited customization
based on the users objectives.
NODE+chromaPro, the 10th module
in Variables suite of NODE+ sensors,
transmits data via Bluetooth to Apple iOS
and Android smart devices. Regardless
of ambient lighting, the handheld device
computes CMYK, sRGB, CIE, L*a*b*
and Hex values, to name a few, via broad
spectrum white LED light and matches
them to a number of color indices.
Suppliers Corner
Sun Chemical Emphasizes Environmental Stewardship

with Fanchon Orange 36 High Performance Pigment
Clariant Launches Toolbox
for Sustainable Hot Melts
Clariant has created the complete toolbox for formulators to design hot melts
with superior performance for any
need, using sustainable processing. It
features Clariants acclaimed Licocene
metallocene-based systems and formulating guidelines, and was unveiled at the
European Coatings Show 2015.
Unique Licocene Performance solutions have low molecular weight yet
high mechanical strength. For hot melt
adhesives, they are valued for providing
a perfect balance between adhesion and
cohesion. The optimized Licocene viscosity profile in particular achieves desired
properties even at low processing temperatures. Excellent thermal stability means
less charring, no gelling, and enables
higher productivity, generated by reduced
cleaning downtime and increased mileage
due to its low density.
Further improved Licocene solutions
offer possibilities for an adhesion boost
to support formulators switch to using
less tackifying resin in PE and PP based
hot melt adhesives.
To meet the steady growth for
Licocene Performance Polymers since
their launch in 2006, Clariant is increasing production capacity by 50 percent
at its facility on the Frankfurt-Hchst
Industrial Park in Germany. The additional capacity is scheduled to come on
stream in Q1 2016.
Licocene Performance solutions
provide the complete toolbox needed
to design better hotmelts for any need.
Licocene systems are very effective, enabling formulators to achieve more with
less and enjoy higher productivity, saving them money. We use ethylene and
propylene monomers to ensure future
proof raw material so our customers
can optimize processing and end formulations for years ahead, said Oliver
Kinkel, head of Business Unit Additives
at Clariant. CW
Coatings World | 45
People
BASF Corporation Appoints

Wayne T. Smith Chairman and CEO
Wayne T. Smith has been appointed the

new chairman and chief executive officer of BASF Corporation, headquartered
in Florham Park, New Jersey. He succeeds Hans Engel, who as chief financial officer for BASF SE, will relocate to
the companys global headquarters in
Ludwigshafen, Germany, and assume additional responsibilities on BASFs Board
of Executive Directors.
Smith began his career at BASF in 2004
as group vice president for the Regional
Intermediates Business Unit in the U.S.
In 2006, he was named president of the
Catalysts division and executive vice
president, BASF Corporation. He became
resident of the companys Polyurethanes
division in Brussels, Belgium, in 2010 and
was appointed to the Board of Executive
Directors of BASF SE in 2012. In addition
to his role as CEO and chairman of BASF
Corporation, Smith will have global responsibility for the Catalysts, Coatings
and Performance Materials divisions.
PPG Announces Executive

Appointments
PPG Industries has announced executive appointments.
Vince Morales, currently vice president, investor relations, will become vice
president, investor relations and treasurer. Morales will report to executive vice
president and chief financial officer Frank
Sklarsky. Since joining PPG in 1985,
Morales has advanced through various
finance leadership roles of increasing responsibility. He was appointed to his current position in 2007.
Eric Thiele, currently corporate treasurer, will become vice president and
business controller, global architectural
coatings and protective and marine coatings. In this role, Thiele will report to
Sklarsky and PPG president and chief
operating Officer Michael McGarry. In
nearly 20 years with PPG, Thiele has
held various finance leadership roles of
increasing responsibility. He was named
corporate treasurer in 2012.

Also announced was the appointment of
Scott Minder, currently finance director and
business controller, industrial and packaging coatings, to director, investor relations,
reporting to Morales. Minder joined PPG
in June 2009 and previously worked for
General Motors and Penske Logistics.
John Jankowski, assistant treasurer,
also will report to Morales. Jankowski
will continue to provide leadership to the
global treasury staff and in key areas of
the treasury function.
These executives have demonstrated
strong performance throughout their careers with PPG, Sklarsky said. We look
forward to their continued contributions
as PPG continues to drive value for our
customers, employees and shareholders.
Maroon Group Promotes

Norton to Sales Manager
Maroon Group has announced the promotion of Scott Norton to sales manager,
Western Region based out of Chicago, IL.
According to the company, Norton
has a long tenure of success with Maroon
Group as an account manager building
his business in the CASE and Plastics
markets and has had the dual responsibility of working with Maroons Sales
Teams in the role of Product Manager for
its line of pigment dispersions. Together
with Maroons sales team in the Western
Region, he will focus on driving the
growth of business.
Palmer Holland Announces

Kristin Redman as
Executive Account Manager
Kristin Redman has joined Palmer
Holland as executive account manager,
which entails calling on the companys
large multi-national Enterprise Accounts.
She will be based out of Powell, Ohio.
Redman brings a many years of experience to Palmer Holland. Her most recent role was with Clariant Corporation
where she served as sales manager for
Clariants Industrial, Home Care &

Personal Care business units in North
America. Prior to that, she spent 13 years
with Ashland Distribution & Nexeo
Solutions, in a multitude of commercial
roleswith the last four years in a strategic account manager role with a majority
of her focus in the CASE industry.
Emerald Kalama Chemical

Appoints Linkenhoger Sales
Manager, NA
Emerald Kalama Chemical, a business
group of Emerald Performance Materials,
has appointed Kaye Linkenhoger sales
manager, North America, for the groups
growing line of K-FLEX low-VOC, nonphthalate plasticizers and coalescents.
In this role, Linkenhoger will augment the growing sales network for
K-FLEX in the North American region,
executing business development strategies, developing new customers and
markets, and expanding sales in key
markets such as paints, coatings, adhesives, sealants and vinyl.
Linkenhoger has 20 years of experience serving in business development and
technical roles for the specialty materials industry. She joins Emerald from PSL
North America, where she held the position of business development manager.
Previously, she also held positions with
Chemtura and Momentive.
VanDeMark Chemical
Appoints Vice President of
Global Sales
VanDeMark Chemical, Inc., Lockport,
NY has announced the appointment of
James E. Romano as vice president of
global sales and business development. He
will have supervisory responsibility for
the entire sales staff of both VanDeMark
and newly acquired Framochem Kft,
Kazincbarcika, Hungary.
VanDeMark is a leading North
American manufacturer of phosgene and
phosgene derivatives. CW
June 2015
Meetings
Latin American Coatings Show 2015

to be Held July 15-16 in Mexico City
June 22 - 25, 2015
Adhesive and Sealant Council
Leadership Council
Location: Big Sky Resort, Big Sky,
Montana
Contact: The Adhesive and Sealant Council
Phone: 301-986-9700 |
Website: www.ascouncil.org
Email: malinda.armstrong@ascouncil.org
June 24 - 26, 2015

CCAI Annual Meeting
Location: Delray Beach, Florida
Venue: Seagate Resort & Spa
Contact: Leslie Muck
Phone: 859-356-1030
Website: www.ccaiweb.com
Email: leslie@goyermgt.com
June 30 - July 2, 2015

ANAFAPYT 2015
Location: Centro Banamex, Mexico City,
Mexico
Contact: ANAFAPYT
Website: www.coatings-group.com
Email: relacionespublicas@anafapyt.org.mx
July 15 - 16, 2015

Latin American Coatings Show 2015
Location: World Trade Center, Mexico
City, Mexico
Contact: DMG Events
Phone: 0044 1737 855 162
Email: jessicasn@dmgeventsme.com
August 2 - 6, 2015
2015 Department of DefenseAllied
Nations Corrosion Conference
Location: Wyndham Grand Pittsburgh
Downtown Pittsburgh, PA, U.S.
Contact: CaLae McDermott
Phone: +1 281-228-6263
Email: calae.mcdermott@nace.org
Website: events.nace.org
September 2 - 4, 2015
RuColor 2015
October 13-15, 2015

ABRAFATI 2015
Location: Gelendzhik, Krasnodar Krai,

Russia
Website: www.rucolor.com
Location: Sao Paulo, Brazil

Venue: Transamerica Expo Center
Website: www.abrafati.com.br
September 16 - 18, 2015

Spray Finishing Technology Workshop
October 13-14, 2015

Powder Coatings Symposium
Location: Toledo, Ohio

Venue: Owens Community College
Contact: Jaime Wineland
Phone: 800-466-9367
Website: www.owens.edu
Location: Columbus, OH
Contact: Kevin Biller
Email: kevinbiller@yahoo.com
Website: www.powdercoating.org
September 17 - 18, 2015

Asia Pacific Coatings Show 2015
Location: Kuala Lumpur
Venue: Kuala Lumpur Convention
Centre
October 14-16, 2015

METALCON 2015
Location: Tampa, FL
Venue: Tampa Convention Center
Website: www.metalcon.com
October 15-17, 2015

PaintExpo Eurasia
September 20 - 24, 2015
Corrosion Technology Week 2015
Location: JW Marriott Austin Austin,
TX, U.S.
Contact: Lesley Williams
Phone: 281-228-6413
Email: lesley.williams@nace.org
Website: events.nace.org
September 28 - 30, 2015

RAMSPEC 2016 Show & Conference
Location: Milan, Italy
Website: www.octima.it
October 7 - 8, 2015
Middle East Coatings Show 2015 Cairo
Location: Cairo, Egypt
Venue: Cairo International Convention
and Exhibition Center
Contact: DMG Events
Phone: +44 (0) 1737 855 021
Email: DianaFahmi@dmgeventsme.com
Location: Istanbul, Turkey

Contact: Markus Beck
Phone: +49 7022 60255 20
Email: beck@fairfair.de
Website: www.paintexpo.com.tr
October 18-21, 2015

Northern Area Eastern 2015
Location: Courtyard by Marriott
Ottawa Ottawa, Canada
Contact: Katie Flynn
Phone: 281-228-6210
Email: Katie.flynn@nace.org
Website: www.nace.org
October 18-21, 2015

American Coatings Association (ACA)
Fall Committee Meeting
Location: TBD
Email: info@paint.org
Website: www.paint.org CW
Coatings World | 47
Classifieds
Blades
Equipment for Sale
Products & Services
HIGH SHEAR
MIXERS
Worlds Widest Selection,
Single Stage to Ultra-High Shear!
Scan to learn more

& arrange a
FREE trial.
Free Tag Reader:
http://gettag.mobi
1-800-243-ROSS
www.HighShearMixers.com
June 2015
Advertising Index
Company Name
Atlas Material Testing Solutions
Page
Phone
26-27
www.atlas-mts.com
BASF Corporation
Birla Carbon
13
Blairgowrie Associates, LLC
14
Buhler
11 512-466-8005 www.buhlergroup.com
Burgess Pigment Company
478-552-2544
www.burgesspigment.com
BYK USA Inc.
203-265-2086
www.byk.com
Chemark Consulting
20
910-692-2492
www.chemarkconsulting.net
Double Bond Chemical Ind., Co., Ltd.
19
+886-2-8228-1168
Eagle Specialty Products
29
888-241-9802
www.espinc.us
Cover 4
540-980-7233
www.hoovercolor.com
King Industries
12
203-866-5551
www.kingindustries.com
McDaniel and Associates, PC
20
512-472-8282
www.technologylitigators.com
Orion Engineered Carbons LLC
15
832-445-3300
www.orioncarbons.com
Cover 2
973-242-2999
www.shamrocktechnologies.com
800-543-2323
www.sunchemical.com
Hoover Color Corp
Shamrock Technologies Inc.
Sun Chemical
800-231-7868
Website
602-539-2683
www.basf.com
Birlacarbon.com
www.blairgowrieassociates.com
www.double-bond-chem.com.tw
Coatings World | 49
Final Coat
Axaltas Imron Aviation Shines in the Sky
Axalta Coating Systems Imron Aviation coatings were used

to repaint a refurbished helicopter for Sikorsky Helitech in
Australia. Sikorsky Helitech is the world leader in the design,
manufacture and service of military and commercial helicopters.
The model S-92 helicopter, originally intended for off-shore
work, had been converted to a specialized SAR configuration. It
was originally designed to transfer personnel from oil rigs but
was re-commissioned to serve as a Search and Rescue Helicopter.
It is the largest helicopter used in the southern hemisphere
and was subject to very strict specifications for coating applications.Axaltas Imron Aviation coating was chosen because of its
durability in salt air and its ability to overcome issues associated
with color variations and differing substrates. The result was a
high-shine finish.
Our Imron range is designed to deliver consistent, premiumquality results with superior durability for todays commercial
transportation vehicles, said Mike Cash, president of Axaltas
Industrial Coatings business. Axaltas products are designed to

meet tough standards, but none more so than the harsh environments encountered by a rescue helicopter. Were proud to
display our coatings on such an iconic craft.
Axaltas aviation products are designed and tested to exceed
the most stringent standards for appearance and durability,
while maintaining environmental compliance.
Axaltas Imron is an industry-leading polyurethane coating
that is designed to deliver consistent, premium-quality results
with superior durability, longer gloss retention and premium appearance. Aircraft painted with Axalta aviation coatings are designed to reduce customers operational costs because they can
require less finish maintenance over time, the company reported.
An extensive offering of solid, metallic and pearlescent colors
are available in Imron single stage and basecoat colors designed
to deliver a high gloss, long-lasting finish to keep assets looking
great longer. CW
Axalta has an extensive offering of solid, metallic and pearlescent colors available in Imron single stage and basecoat colors designed to deliver a high gloss,
long-lasting finish to keep assets looking great longer.
June 2015
Life is never just black and white

or only shades of gray.
Idyllic
Inspired by Nature
We offer a variety of colors that are warm and comforting to intense and
bold. For 90 years, we have made legendary earth tone pigments in paints,
stains, concrete, stucco, plastics and a variety of other materials that you
see or use every day. The reason for our longevity is simple. We give our
customers good old-fashioned value - quality products with excellent service
and support. It worked for the first 90 years. Let us show you how we can
help with your next project.
Give us a call or send an email today. Lets get the conversation started.
Bringing natures
colors to
life
www.HOOVERCOLOR.com
2170 Julia Simpkins Road, PO Box 218, Hiwassee, Virginia 24347 USA
phone: (+1) 540.980.7233 fax: (+1) 540.980.8781 email: hoover@hoovercolor.com

Coatings Word June 2015

Încărcat de

Informații document

Drepturi de autor

Formate disponibile

Partajați acest document

Partajați sau inserați document

Opțiuni de partajare

Vi se pare util acest document?

Este necorespunzător acest conținut?

Drepturi de autor:

Formate disponibile

Coatings Word June 2015

Încărcat de

Drepturi de autor:

Formate disponibile

We create chemistry

that is making waves

Lumina Royal Aqua

Lumina Royal Blue

Lumina Royal Copper

BASF continues to extend the color space potential of mica-based

Lumina Royal Magenta

Lumina Royal Indigo

Table of Contents June 2015 Vol. 20, No. 6

Industrial Coatings Market

Photo courtesy: HKS, Inc./Blake Marvin

Latin America Report

International Coatings Scene ............................... 22

Business Corner ................................................... 24

who can take metallic effects

Effects for Powder Coatings

Call us today! +1 800 543 2323

working for you.

Outlook Mixed for

ccording to figures from Chemark Consulting Group, industrial

6 | Coatings World www.coatingsworld.com

A Rodman Media Publication

Our additives really get

Highly economic with excellent performance.

AkzoNobel to Build 30 Million

AkzoNobel has announced plans to invest

Troy Acquires Industrial

biocides business from Ashland Inc. The

said W. Brian Smith, vice president, Troy

8 | Coatings World www.coatingsworld.com

Valspar Corporation Opens New Advanced

Valspar Corporation has opened a

efficient and environmentally sound manufacturing processes. This multi-purpose

PPG Announces Partnership

revival of independent, locally-owned

Axalta Coats the Worlds Second Largest Radio Telescope

10 | Coatings World www.coatingsworld.com

PPG Acquires Specialty

To mark Rio de Janeiros 450th anniversary, AkzoNobel Decorative Paints has

industrial applications. Financial

Cenomic best value for money. The

Bhler Inc., T 763-847-9900,

Innovations for a better world.

June 2015 www.coatingsworld.com

providing customers with the

BASF Officially Opens

the professional application and handling of Performance Flooring and

12 | Coatings World www.coatingsworld.com

The MasterSeal range from BASF includes high-performance impregnation

PPG Aerospace SolarControl Coatings use

Kilz Hide-All Primer Sealer

A novel PPG Aerospace solar-heatmanagement coating system can reduce

allows professionals to create

Zircotec Expands Technical

Enhanced appearance. Improved performance,

June 2015 www.coatingsworld.com

both protects and prolongs

Axalta Unveils New

14 | Coatings World www.coatingsworld.com

emissions which can help customers

PPGs CIL Paint Culinary

orange such as Persimmon Berry (60YR

as Adorable Peach, Bright Cherry, Cranberry

The new Culinary Collection