Ameron Reports Higher Sales, Lower Profits for Coatings
Ameron International's Performance Coatings & Finishes Group had higher sales in 2004 than in 2003; however, profits declined due to the continued weakness in U.S. and European chemical and industrial markets. Sales in the fourth quarter were higher in 2004, compared to 2003. Consistent with the trends throughout 2004, fourth-quarter profits declined due to margin pressures associated with the weak market conditions and escalating raw material costs. A group-wide profit-enhancement program has been initiated to recover higher raw material costs through increased pricing and to implement operating-cost reductions. The markets served by the Performance Coatings & Finishes Group are not forecasted to improve in the near term.