CLEVELAND - The Sherwin-Williams Co. announced its financial results for the year and fourth quarter ended December 31, 2013. Compared to the same periods in 2012, consolidated net sales increased $651.1 million, or 6.8 percent, to $10.19 billion in the year and increased $235.2 million, or 10.6 percent, to $2.46 billion in the quarter due primarily to higher paint sales volume in the company's Paint Stores Group and acquisitions. Acquisitions increased consolidated net sales 1.8 percent in the year and 4.6 percent in the quarter. Unfavorable currency translation rate changes decreased consolidated net sales 0.8 percent in the year and 1.1 percent in the quarter.

Diluted net income per common share in the year increased to $7.26 per share from $6.02 per share in 2012. Full year 2013 included charges of $.21 per share related to Brazil tax assessments and $.02 per share from early retirement of debt. Full year 2012 EPS included a U.S. Department of Labor (DOL) settlement related to the company's employee stock ownership plan of $.47 per share. Diluted net income per common share in the quarter was $1.14 per share, including early retirement of debt, compared to $.65 per share a year ago, including the DOL settlement noted above. Unfavorable currency translation rate changes decreased diluted net income per common share by $.04 per share for the year and $.02 per share in the quarter. Acquisitions decreased diluted net income per common share $.11 per share for the year and quarter.

Net sales in the Paint Stores Group increased 10.9 percent to $6.00 billion in the year and increased 17.6 percent to $1.46 billion in the quarter due primarily to higher architectural paint sales volume across all end market segments and acquisitions. Acquisitions increased net sales 2.2 percent in the year and 7.5 percent in the quarter. Net sales from stores open for more than 12 calendar months increased 7.8 percent in the year and 9.2 percent in the quarter over last year's comparable periods. Paint Stores Group segment profit increased to $990.5 million in the year from $861.8 million last year due primarily to higher paint sales volume partially offset by increases in selling, general and administrative expenses and the loss from acquisitions. Segment profit decreased to $168.5 million in the quarter from $181.5 million last year due primarily to the loss from acquisitions partially offset by higher paint sales volume. Acquisitions had an unfavorable impact on segment profit of $43.1 million in the year and $40.4 million in the quarter 2013. Segment profit as a percent to net sales increased in the year to 16.5 percent from 15.9 percent in 2012 and decreased in the quarter to 11.5 percent from 14.6 percent last year. Trademark impairment charges were $3.4 million in the year and fourth quarter 2012.

Net sales of the Consumer Group increased 1.5 percent to $1.34 billion in the year due primarily to acquisitions partially offset by the previously disclosed elimination of a portion of a paint program with a large retail customer. Net sales increased 6.6 percent to $272.6 million in the quarter due primarily to higher volume sales to most of the group's retail customers and acquisitions. Acquisitions increased net sales 2.4 percent and 1.3 percent in the year and quarter, respectively. Segment profit increased to $242.1 million in the year from $216.4 million last year and increased to $36.0 million in the quarter from $23.3 million last year due primarily to higher volume sales and improved operating efficiencies partially offset by dilution from acquisitions. Acquisitions decreased segment profit $0.5 million and $2.3 million in the year and quarter, respectively. As a percent to net external sales, segment profit increased in the year to 18 percent  from 16.4 percent in 2012 and increased in the quarter to 13.2 percent from 9.1 percent last year.

The Global Finishes Group's net sales stated in U.S. dollars increased 2.2 percent to $2.00 billion in the year and increased 2 percent to $496.9 million in the quarter due primarily to selling price increases and acquisitions partially offset by unfavorable currency translation rate changes. Acquisitions increased net sales in U.S. dollars by 1.2 percent in the year and 1.1 percent in the quarter. Unfavorable currency translation rate changes decreased net sales 0.4 percent and 0.2 percent in the year and quarter, respectively. Stated in U.S. dollars, segment profit in the year increased to $170.6 million from $147.2 million last year and increased in the quarter to $37.7 million from $34.1 million last year due primarily to improved operating efficiencies and selling price increases. Unfavorable foreign currency translation rate changes and acquisitions decreased segment profit $0.5 million in the year and $0.4 million in the quarter. As a percent to net external sales, segment profit was 8.5 percent in 12 months of 2013 compared to 7.5 percent in 2012 and 7.6 percent in the quarter versus 7.0 percent last year. Trademark impairment charges were $0.7 million in the year and fourth quarter 2012.

The Latin America Coatings Group's net sales stated in U.S. dollars decreased 0.4 percent to $832.5 million in the year and decreased 4 percent to $222.2 million in the quarter due primarily to unfavorable currency translation rate changes partially offset by selling price increases. Unfavorable currency translation rate changes decreased net sales by 7.1 percent and 9.4 percent in the year and quarter, respectively. Stated in U.S. dollars, segment profit in the year decreased to $38.6 million compared to $81.2 million last year due primarily to the Brazil tax assessments incurred in the second and third quarters 2013 and unfavorable currency translation rate changes partially offset by selling price increases. Charges of $31.6 million were recorded for the Brazil tax assessments in the 12 months of 2013. Stated in U.S. dollars, segment profit decreased to $17.9 million in the quarter from $30.1 million last year due primarily to lower volume sales and unfavorable foreign currency translation rate changes partially offset by selling price increases. Foreign currency translation rate changes reduced segment profit $5.5 million in the year and decreased segment profit $3.7 million in the quarter. As a percent to net external sales, segment profit was 4.6 percent in 12 months compared to 9.7 percent in 2012 and 8.1 percent in the quarter versus 13 percent in the fourth quarter last year.