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PPG Investor Overview March, 2018

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  • PPG Investor Overview

    March, 2018

  • 2

    Notes

  • Forward looking statement

    3

    The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking statements made

    by or on behalf of the Company. This presentation contains forward-looking statements that reflect the Companys

    current views with respect to future events and financial performance. You can identify forward-looking statements

    by the fact that they do not relate strictly to current or historic facts. Forward-looking statements are identified by

    the use of the words aim, believe, expect, anticipate, intend, estimate, project, outlook, forecast and

    other expressions that indicate future events and trends. Any forward-looking statement speaks only as of the date

    on which such statement is made, and the Company undertakes no obligation to update any forward looking

    statement, whether as a result of new information, future events or otherwise. You are advised, however, to consult

    any further disclosures we make on related subjects in our reports to the Securities and Exchange Commission.

    Also, note the following cautionary statements:

    Many factors could cause actual results to differ materially from the Companys forward-looking statements. Such

    factors include ongoing impacts of the 2017 natural disasters, any currently unanticipated future impacts from the

    natural disasters, global economic conditions, increasing price and product competition by foreign and domestic

    competitors, fluctuations in cost and availability of raw materials, the ability to achieve selling price increases, the

    ability to recover margins, the ability to maintain favorable supplier relationships and arrangements, the timing of

    and the realization of anticipated cost savings from restructuring initiatives, difficulties in integrating acquired

    businesses and achieving expected synergies therefrom, economic and political conditions in international

    markets, the ability to penetrate existing, developing and emerging foreign and domestic markets, foreign

    exchange rates and fluctuations in such rates, fluctuations in tax rates, the impact of future legislation, the impact

    of environmental regulations, unexpected business disruptions and the unpredictability of existing and possible

    future litigation. However, it is not possible to predict or identify all such factors. Consequently, while the list of

    factors presented here and under Item 1A of PPGs 2017 Form 10-K is considered representative, no such list

    should be considered to be a complete statement of all potential risks and uncertainties. Unlisted factors may

    present significant additional obstacles to the realization of forward-looking statements. Consequences of material

    differences in the results compared with those anticipated in the forward-looking statements could include, among

    other things, lower sales or earnings, business disruption, operational problems, financial loss, legal liability to third

    parties, other factors set forth in Item 1A of PPGs 2017 Form 10-K and similar risks, any of which could have a

    material adverse effect on the Companys consolidated financial condition, results of operations or liquidity.

  • 4

    PPG: Our employees protect and beautify the world

    Ranked among the Worlds Most Admired Companies in its industry by

    Fortune Magazine in 2018

    *From Continuing Operations

    A global maker

    of paints,

    coatings,

    and specialty

    materials, with

    full-year net

    sales of $14.8

    billion* in 2017

    A leader in all

    our markets:

    construction,

    consumer

    products,

    industrial and

    transportation

    markets and

    aftermarkets

    Headquartered

    in Pittsburgh,

    Pennsylvania,

    with operations

    in more than

    70 countries

    Founded in

    1883

    Fortune 500:

    Ranked 183

  • 5

    External awards and recognitions

    Corporate Social Responsibility Awards No. 31 on the U.S. 500 Newsweek Green Rankings

    PPG received a perfect score of 100 percent on the Human Rights Campaign Foundations 2018 Corporate Equality Index

    Product and Process Awards Two PPG technologies earned 2017 R&D 100 awards in the mechanical

    devices/materials category; premium compact process primer and LIQUID NAILS FUZE*IT All Surface adhesive

    Customer Awards PPG named by John Deere as supplier of the year

    PPG Tianjin, China business earned the Excellent Supplier award from Yanfeng Group

    PPG Sealants Europe business received Airbus award Best Performer

  • 2017 key achievements

    Strategic Portfolio ActionsCompleted the final divestiture of the fiber glass business

    Made 4 bolt-on acquisitions with annual revenue of nearly $200 million

    Strong Financial & Operational Performance Adjusted EPS* up 4% vs. prior year despite significant raw material inflation

    Cost savings from restructuring actions totaled $50 million; overhead costs as a percent of sales about 90 basis points lower than prior year

    Operating working capital reduced by 50 basis points vs. prior year

    Cash and Cash Deployment

    $1.5 of cash and short-term investments at year-end

    Quarterly dividend increase 46th consecutive year (11% annual increase)

    Deployed $1.1 billion

    $815 million for share repurchases

    $325 million for acquisitions

    6 * See appendix for adjusted EPS trend reconciliation

  • 7

    Business Portfolio Optimization

    ~$11.2B (2007) ~$14.8B (2017)

    Percentage of Sales (as originally reported)

    In 2017, finalized a multi-year strategic portfolio transformation with

    the sale of U.S. fiber glass business

    100%

    0%

    20%

    40%

    60%

    80%

    100%

    2005 2010 2016 Current

    Coatings Optical Commodity Chemicals Glass

    PPG Coatings has delivered 9% earnings CAGR over this period

  • Other

    Global paint and coatings industry (~$140B)

    Competitive Landscape

    Source: Orr and Boss; Company Annual Reports; PPG estimates

    PPG is a leader in industry consolidation with many smaller competitors8

    Source: IPPIC, Company Annual Reports, PPG estimates

    Strong fundamentals

    Stable earnings/cash

    Growth potential

    Low capital intensity

    Technology & service

    Consolidating industry

  • U.S & Canada

    43%

    EMEA30%

    Asia/Pacific17%

    Latin America

    10%

    Coatings geographic mix

    Source: IPPIC

    Coatings Industry

    Geographic Sales Mix

    PPG Coatings

    Geographic Net Sales Mix

    PPG - Opportunities to expand in Asia and globally

    U.S. & Canada

    18%

    EMEA30%

    Asia Pacific45%

    Latin

    America

    7%

    9

    EMEA includes Europe, Middle East, and Africa

  • Coatings end-use markets

    ~40%

    ~60%

    Special-Purpose Coatings: Aerospace

    Automotive OEM

    Automotive Refinish

    Specialty Coatings & Materials

    Architectural41%

    General Industrial29%

    Automotive OEM8%

    Refinish6%

    Protective & Marine

    12%

    Packaging2%

    Aerospace1%

    Industry End-Market Demand (~$140B Sales Value)

    Source: IPPIC, Company Annual Reports, PPG estimates

    General Industrial

    Protective & Marine

    Packaging

    Architectural

    Coatings

    PPG Coatings End-Use Net

    Sales Mix

    PPG is in line with the global coatings industry end-use mix

    10

  • PPG end-use markets

    Automotive OEM, Parts

    & Aftermarket, 35% Construction - New &

    Maintenance, 40%

    General Industrial, 15%

    Aerospace and Marine

    (New & Aftermarket), 10%

    Approximate % of Total PPG Net Sales

    Diverse end-use markets globally

    11

  • #1 Market Position #2 Market Position #3 Market Position #4+ Market Position No Meaningful Presence

    PPG global market positions

    Source: IPPIC; company annual reports, PPG estimates

    Position by Coatings Vertical

    PPG growth opportunity: To be #1 or #2 in every country/vertical

    Source: Orr and Boss; Company Annual Reports; PPG estimates

    Lower Higher

    ---------- Participation in all end-use markets -----------

    Global

    Position

    Arch

    ~$58B

    General

    Industrial

    ~$41B

    Protective

    & Marine

    ~$18B

    Auto OEM

    ~$11B

    Refinish /

    Collision

    ~$8B

    Packaging

    ~$3B

    Aerospace

    ~$1B

    PPG #2 #2 #3 ~#3 #1 #2 #2 #1

    Sherwin

    Williams#1

    AkzoNobel #3

    Nippon #4

    RPM #5

    Axalta #6

    BASF #7

    12

  • PPG Growth Levers

    Innovation

    Growth

    Economic

    Growth

    Acquisition

    Growth

    Technology-led organic growth

    Leverage expertise across coatings end-use markets

    Proven track record of successful integrations

    Active pipeline of global acquisition targets

    European volumes ~13% below 2008 levels

    Strong incremental margins due to cost management

    Growth opportunities in many areas 13

  • 14

    Technology Development Drives Future GrowthPPG has leading positions in significant new technologies

    '09 '11 '13 '15 '16 '17

    0

    20

    40

    60

    80

    100

    2006 2014 2016 2017

    Global Auto Industry Builds (MM)

    Compact Process

    Traditional Process

    Opportunity

    Packaging BPA-NI CoatingsAerospace Lightweight Sealants

    Increased adoption of PPGs internal can coatingsPPGs sealants eliminate over 2,000 lbs. per aircraft

    Automotive OEM Compact Process Automotive Refinish Waterborne Coatings

    PPG is the global waterborne leader;

    shop conversions continue PPG is the global leader; significant growth potential remains

    Food & beverage applications

    PPG Global Waterborne Collision Shops

  • Sustainable Growth by Design

    We partner with suppliers, applicators, equipment vendors and end users to innovate

    Environmental regulation and raw material inflation create opportunities

    2017 R&D 100 Winner

    2017 R&D 100 Finalist2016 R&D 100 Winner

    ENVIROCRON extreme protection

    powder coating

    AEROCRON 2100, first e-coat

    Primer for the aerospace industry

    2016 R&D 100 Winner

    ENVIRO-PRIME EPIC

    Equipment

    Supplier

    ENVIROBASE

    Liquid Nails FUZE*IT bonds materials

    in any weather

    15

  • Acquisitions contribute to sales growth

    $0

    $500

    $1,000

    $1,500

    $2,000

    $2,500

    $3,000

    $3,500

    $4,000

    2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

    Acquisition Sales Growth Over Prior Year

    Notable acquisitions:

    2008 SigmaKalon

    2013 AkzoNobel NA

    2014/5 Comex (partial years)

    +5% average sales growth

    from acquisitions

    (USD MM)

    Acquisitions supplement organic growth

    16

  • 17

    PPG Reporting Segments Drive Our Business

    Performance Coatings

    Aerospace

    Architectural Coatings

    - Americas & Asia Pacific

    - Europe, Middle East, Africa

    Automotive Refinish Coatings

    Protective & Marine Coatings

    40%

    Industrial Coatings

    Automotive OEM Coatings

    Industrial Coatings

    Packaging Coatings

    Specialty Coatings & Materials

  • Performance coatings segment

    Strategic Business Units:

    Automotive Refinish

    Aerospace

    Architectural Americas & Asia Pacific

    Architectural EMEA

    Protective & Marine

    Net Sales (US$B) (incl. acquisition and currency impacts)

    Segment Traits:

    Distribution focus

    Solid operating margins

    Consistent cash generation

    Stable industries

    $2.0

    $3.0

    $4.0

    $5.0

    $6.0

    $7.0

    $8.0

    $9.0

    $10.0

    2007 '09 '11 '13 '15 2017

    Acquisition-Related

    11.8%13.1%

    14.9%15.2%

    0%

    4%

    8%

    12%

    16%

    '11 '13 '15 2017

    Segment Operating Margins

    CAGR = 9%

    18

    EMEA includes Europe, Middle East, and Africa

  • '08 '10 '12 '14 '16 '17

    US & Canada

    48%

    EMEA28%

    Asia21%

    Latin America

    3%

    '07 '09 '11 '13 '15 '16 '17

    Net Sales in USD (incl. acquisition and currency impacts)

    PPG Refinish Sales 2017

    Automotive Refinish

    CAGR = 2%

    CAGR = 12%

    19EMEA includes Europe, Middle East, and Africa

    Color complexity

    Emerging regions growth

    Technology shift to waterbase

    Value added programs and training

    PPG Global Waterborne Paint Shops

    Key Industry Trends

  • 2007 '08 '09 '10 '11 '12 '13 '14 '15 '16 2017

    Recent Acquisitions

    Aerospace

    CAGR = 5%

    50%

    50%

    Aerospace Net Sales Mix

    Aftermarket

    OEM

    Aerospace Products

    Deft Coatings Waterborne / Military market

    Cuming Microwave Radar absorbing products Advanced military

    applications

    Sealants Europe (Le Joint Francais)

    Position in continental Europe

    Established distribution20

    Coatings Sealants Transparencies Chemical Management

    Net Sales in USD(incl. acquisition and currency impacts)

    30%

    70%

    Military

    Commercial

  • 0.0

    3.0

    6.0

    9.0

    12.0

    15.0

    Ind. Maint.

    Energy

    Infrastructure

    MarineAftermarket

    Marine OEM

    2008 '09 '10 '11 '13 '15 '16 2017

    U.S. & Canada

    EMEA

    Asia

    EMEA includes Europe, Middle East, and Africa

    PPG PMC Net Sales 2017

    PMC Industry Segments ($B)

    Protective & Marine Coatings (PMC)

    0%

    25%

    50%

    75%

    100%

    Protective

    Coatings

    Marine New Build

    Marine After

    Market

    PPG Net Sales Mix

    Latin America

    21

    Today2008

    Protective

    Coatings

    Marine New Build

    Net Sales in USD(incl. acquisition and currency impacts)

    Marine After

    Market

  • 100

    200

    300

    400

    500

    600

    700

    800

    900

    1,000

    2009 2012 Current

    Architectural Coatings (Americas & Asia)

    National Retailers

    (DIY) 35%Company Stores

    50%

    Independent

    Dealers 15%

    PPG U.S. & Canada

    Architectural Approximate Net Sales Mix

    0% 25% 50% 75% 100%

    PPG U.S. Architectural

    Net Sales Mix

    Maintenance / Repaint

    Non-ResidentialResidential

    25%

    65% 35%

    New

    Construction

    PPG U.S. & Canada

    Architectural Store Count

    75%

    2008 2010 2012 2014 2016

    Net Sales in USD (incl. acquisitions and currency impacts)

    CAGR = +11%

    22

  • Leading architectural coatings position in Mexico; well-recognized regional brands

    ~4,400 independently owned/operated concessionaire locations in Mexico

    Over 200 locations added in 2017

    Over 650 points-of-sale across Central America (incl. Glidden)

    Latin America Points-of-Sale Growth

    Architectural Coatings (Latin America)

    3,632 3,806

    4,001 4,213

    4,431 84 88

    224

    324

    655

    3,000

    3,500

    4,000

    4,500

    5,000

    5,500

    2013 2014 2015 2016 2017

    Mexico Central America

    23Opening one new store approximately every other day

  • 2009 2011 2013 2015 2016 2017

    600

    640

    680

    720

    2013 2014 2015 2016 2017

    More

    Stability

    in End-

    Market

    Maintenance

    80%

    New Construction

    20%

    End-Use Market Demand

    Company-Owned Stores

    24

    EMEA includes Europe, Middle East, and Africa

    Net Sales in Euro (incl. acquisitions)

    #1 PPG Position

    #2 PPG Position

    #3 PPG Position

    >#3 PPG Position

    No PPG Participation

    Strong Market Positions

    #1 or #2 in 80% of Penetrated

    Markets

    Iceland

    United Kingdom

    Portugal

    Spain

    France

    Germany Poland

    Romania

    Denmark

    Norway

    Finland

    Estonia

    Latvia

    Lithuania

    Belarus

    Ukraine

    Turkey

    Greece

    Austria

    Bulgaria

    Architectural Coatings (EMEA)

  • 0%

    2%

    4%

    6%

    8%

    10%

    12%

    14%

    16%

    18%

    20%

    '11 '13 '15 2017

    11.5%

    15.7%

    18%

    16.2%

    Industrial Coatings Segment

    Strategic Businesses

    Automotive OEM

    Industrial

    Packaging

    Specialty Coatings & Materials

    $2.0

    $3.0

    $4.0

    $5.0

    $6.0

    2007 '09 '11 '13 '15 2017

    U.S. & Canada

    EMEA

    Asia LA

    Segment Net Sales Mix

    Segment Operating Margins

    CAGR = 5%

    25

    EMEA includes Europe, Middle East, and Africa

    Net Sales (US$B) (incl. acquisition and currency impacts)

  • All

    Remaining

    Customers

    U.S. & Canada

    EMEA

    Asia

    LA

    PPG Automotive OEM Coatings

    Automotive OEM Coatings

    CAGR = 4%

    50

    55

    60

    65

    70

    75

    80

    85

    90

    95

    2008 '09 '10 '11 '12 '13 '14 '15 '16 2017

    Global Auto OEM Production

    MM Units

    PPG Auto OEM Coatings

    Customer Mix

    Top 7 PPG

    Auto OEM

    Customers

    U.S.

    Based

    Non-U.S.

    Based

    26

    EMEA includes Europe, Middle East, and Africa

    CAGR = 4%

    Net Sales in USD (incl. acquisition and currency impacts)

    2018 estimated to be +1% growth

  • U.S. & Canada

    EMEA

    Asia

    LA

    EMEA includes Europe, Middle East, and Africa

    2004 '06 '08 '10 '12 '14 2016 2017

    PPG Asian Industrial Coatings SBU Net Sales

    '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17

    Industrial Coatings SBU

    Net Sales Mix

    Industrial Coatings SBU

    CAGR = 6%

    CAGR = 13%

    Net Sales in USD (incl. acquisition and currency impacts)

    Heavy-duty equipment

    Appliances

    Electronic materials

    Coil

    Automotive accessories

    Sporting equipment

    Office furniture

    Markets served include:

    27

  • '08 '09 '10 '11 '12 '13 '14 '15 '16 '17

    Packaging Coatings

    CAGR = 2%

    Beverage

    Food

    Other

    Industry Container Use

    Source: PPG Estimates

    Interior

    ExteriorEnds

    Other

    28

    BPA-NI technologies

    Key Trends

    Conversion to BPA-NI technology

    continues for food and beverage

    cans globally

    Metal can industry provides growth

    in all regions due to performance,

    safety and sustainability

    Net Sales in USD(incl. acquisition and currency impacts)

  • '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17

    Specialty Coatings & Materials

    CAGR = 5%

    Key PPG Products / End-Use Markets

    Silica Tires, battery separators, coatings, various industrial uses

    Teslin Printing materials, labels, secure credentials/IDs, various industrial and consumer uses

    Monomers and Dyes Materials and coatings used in eyeglass lenses

    OLED OLED materials for Universal Display Corporation

    Net Sales in USD (incl. acquisition and currency impacts)

    Silica

    TESLIN substrate

    Optical Monomers and Dyes

    OLED materials

    29

  • $3.71

    $4.67

    $5.33

    $3.00

    $3.50

    $4.00

    $4.50

    $5.00

    $5.50

    $6.00

    +12% CAGR

    PPG adjusted earnings per diluted share trend

    Key Drivers

    Global business

    expansion

    Innovation-led organic

    growth

    Ongoing, aggressive cost

    management

    Ongoing and disciplined

    cash deployment

    Acquisitions &

    synergies

    Share repurchases

    Uneven global end-market

    demand 2015/2016

    Transformed portfolio and accretive cash deployment drive earnings growth

    * Adjusted Earnings Per Diluted Share from Continuing Operations See appendix for reconciliations to reported EPS

    $5.67

    30

    $5.87

  • Coatings cost comparison

    Sold in 2,000

    Liter Totes

    Sold in 1

    Gallon

    Paint

    Cans

    And 5

    Gallon

    Buckets

    Average Architectural Coatings

    Industry estimates figures vary greatly by end-use and application

    Source: PPG Estimates

    Average Industrial Coatings

    Raw material basket and manufacturing/distribution costs are different

    Resins and Latex

    Titanium Dioxide

    Solvents and Pigments

    Additives

    Manufacturing

    Packaging

    Distribution - intermediate

    Distribution - final

    Resins and Latex

    Titanium Dioxide

    Solvents and Pigments

    Additives

    Manufacturing

    Packaging

    Distribution - final

    31

    http://blog.indco.com/2013/11/19/indco-industry-report-on-tote-mixers-for-2013/screen-shot-2013-11-19-at-4-13-02-pm/

  • Operations in ~70 countries

    PPG

    Presence

    PPG Global Operations: Broad Footprint

    43%

    30%

    17%

    10%

    U.S. & Canada

    EMEA

    Asia/Pacific

    Latin America

    2017 Sales Mix*

    Global footprint delivers balanced coatings portfolio and opportunities for growth

    *from continuing operations

    32

  • PPG Europe, Middle East and Africa

    Broad regional footprint to supply future demand growth33

  • 4%

    5%

    6%

    7%

    8%

    9%

    10%

    11%

    12%

    13%

    14%

    15%

    0

    100

    200

    300

    400

    500

    600

    EB

    IT M

    arg

    in o

    n S

    ale

    s

    Ea

    rnin

    gs

    Total PPG Europe, Middle East and Africa

    0

    500

    1,000

    1,500

    2,000

    2,500

    3,000

    3,500

    4,000

    4,500

    Sa

    les

    Other PPG BusinessesArchitectural Coatings EMEA

    PPG Net Sales Mix (MM ) Earnings (MM )

    Strong Earnings Trajectory; RM Inflation Pressure Impacted 2017

    34

  • PPG Asia Pacific Manufacturing Footprint

    Greater China

    Mainland China

    Tianjin Auto/IC

    Tianjin ASC

    Suzhou ASC

    Suzhou Packaging/IC

    Foshan

    Wuhu

    Zhangjiagang

    Songjiang

    Jiading

    Kunshan

    Wuhan

    Nansha

    Australia

    Clayton

    Villawood

    Tullamarine

    Taiwan

    Alltech

    Taoyuan

    Chia Yi**

    Thailand

    Bangplee

    Korea

    Cheonan

    Busan

    Ulsan**

    X

    Malaysia

    Petaling Jaya

    Johor Bahru

    New Zealand

    Auckland

    X

    Indonesia

    Jakarta

    Japan

    Nagoya

    Vietnam

    Jahor

    India

    Sriperumbudur**

    Moraiya**

    Pondicherry **

    Sari **

    Dahej**

    ** Joint Venture

    XX

    Philipines

    Manila

    Singapore

    Singapore

    Extensive region-wide coverage35

    Australia

    Clayton

    Villawood

    Tullamarine

  • 1,625

    2,457 2,523

    $0

    $500

    $1,000

    $1,500

    $2,000

    $2,500

    $3,000

    2009 2013 2017

    Consolidated Net Sales*

    187

    297 361

    $0

    $100

    $200

    $300

    $400

    2009 2013 2017

    Segment Income*

    Significant profitable growth

    $MM - USD

    * Recast for discontinued operations

    PPG Asia Pacific Financials

    $MM - USD

    36

  • Strong and growing Asian presence (excl. Japan)

    Many Leading Asia Markets (excl. Japan)

    Performance

    Industrial

    Broad, full coatings business portfolio

    PPG Asia Net Sales Mix (2017)Industry Coatings Demand for Asia

    Coatings Industry in Asia remains Fragmented

    Sources: PPG Internal estimates (excludes Japan includes ARCH)

    PPG Market

    Position

    PPG 10 - 17

    CAGR

    Automotive OEM #1 8%

    General Industrial #2 6%

    Packaging #1 5%

    Auto Refinish #1 5%

    Aerospace #1 6%

    Protective/Marine #4 -10%

    Architectural #7 1%

    Total Coatings #3 3%

    Akzo8%

    Nippon 7%

    PPG 6%

    Asian Paints6%

    Kansai 3%

    Valspar 2%

    BASF 2%

    Jotun 2%

    Dulux 2%

    Axalta 2%

    KCC 1%Hempel

    1%TOA 1%Carpoly 1%

    Others 56%#14,200

    players

    37

    64%12%

    12%

    7%5%

    China

    India

    SoutheastAsia

    Korea

  • Robust cash generation over time while transforming the business portfolio

    $2.0B

    $1.5B

    $2.4B

    $1.7B

    $1.2B

    $1.5B

    $1.9B

    $1.5B

    $0

    $500

    $1,000

    $1,500

    $2,000

    $2,500

    $3,000

    '10 '11 '12 '13 '14 '15 '16 '17

    Approximate Cash & Short Term Investments

    * As originally reported, not adjusted for business divestitures

    Millions USD

    PPG cash trends

    38

    $1,000

    $1,250

    $1,500

    $1,750

    $2,000

    2010 '11 '12 '13 '14 '15 '16 '17

    Cash From Operations*

    + Adjusted Cash from Operations; excluding cash paid to fund the Pittsburgh Corning asbestos trust

    ++ Adjusted Cash from Operations; excluding cash taxes from the North American fiber glass business divestiture

    Ad

    juste

    d +

    Adju

    ste

    d+

    +

  • Cash Use Summary:

    Grow Business ~60%

    Return to Shareholders ~40%

    19%

    36%17%

    28%

    Past 10 Years (~$20B)(2008 2017)

    Approximate 2017 Cash Uses

    $ in millions As reported, not adjusted for business divestitures

    Legacy of consistent and prudent cash deployment

    Balanced cash deployment

    39

    $360

    $325

    $435

    $800

    Capital Spending

    Acquisitions

    Dividends

    Share Repurchases

  • * Adjusted to exclude certain non-recurring charges, see appendix for reconciliation. All years as originally reported,

    not adjusted for business divestitures.

    ROC growth demonstrates successful acquisition integration

    PPG return on capital (adjusted)*

    40

    11.3%

    8.5%

    14.0%

    16.6%

    18.3%

    16.1% 16.0%

    17.2%16.7% 16.4%

    0

    1,000

    2,000

    3,000

    4,000

    5,000

    6,000

    7,000

    8,000

    9,000

    10,000

    0.0%

    2.0%

    4.0%

    6.0%

    8.0%

    10.0%

    12.0%

    14.0%

    16.0%

    18.0%

    20.0%

    2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

    Cap

    ital ($

    MM

    )

    Re

    turn

    on

    Cap

    ital

    Capital Return on Capital

  • $0

    $200

    $400

    $600

    $800

    $1,000

    $1,200

    '08 '10 '12 '14 '16 17

    0

    100

    200

    300

    400

    500

    600

    700

    800

    2018 2019 2020 2021 2022 2023 2025 2027 2028 2029 2038 2040 2044

    USD Notes

    EUR Notes

    0.00

    0.20

    0.40

    0.60

    0.80

    1.00

    1.20

    1.40

    1.60

    1.80

    '78 '81 '84 '87 '90 '93 '96 '99 '02 '05 '08 '11 '14 '17

    46 Years of Increased DividendsDividends per share Adjusted for

    stock splits

    US$MM

    Long-Term Debt Maturity

    Schedule13%

    7%

    3% 3%3%

    2% 2%3%

    4%

    3% 2%

    0%

    2%

    4%

    6%

    8%

    10%

    12%

    14%

    1980 || 1990 || '02 '04 '06 '08 '10 '12 '14 '16 '17

    Capital Spending as % of Sales (As originally reported, not adjusted for business

    divestitures)

    Last 5 years

    Average =

    ~3.0%

    PPG Share Repurchases

    US$MM

    Average

    ~$600MM

    Average

    ~$840MM

    PPG financial hallmarks

    41

    Last 3

    years =

    9%

  • PPG Shared Services Centers

    Ohio, USA

    Brno, Czech

    Republic

    Kuala Lumpur, Malaysia

    Tianjin, China

    42

    Mexico City, Mexico

    Supports all PPGs businesses in all regions

    Cost effectiveness and scalability

    Playbook for integration of acquisitions

  • Adjusted EBITDA from continuing operations as percent of sales as reported in company reports (excluding unusual items); See Appendix for

    reconciliations.

    15.0%

    13.7%

    15.0%

    12.1%12.7%

    16.2%

    13.9%

    15.4%

    12.9%13.2%

    15.7%

    17.4%

    16.0%16.3%

    14.8%

    13.5%

    19.1%

    18.0%

    16.9%

    15.4%

    13.0%

    13.7%

    20.6%

    17.4%

    16.1%

    11.6%

    13.3%

    19.3%

    -1.0%

    1.0%

    3.0%

    5.0%

    7.0%

    9.0%

    11.0%

    13.0%

    15.0%

    17.0%

    19.0%

    21.0%

    23.0%

    PPG Sherwin Williams Valspar Akzo Nobel RPM Axalta

    Full Year EBITDA as % of Net Sales

    2013 2014 2015 2016 2017

    N/AN/A

    Coatings Peers EBITDA %

    Consistent coatings industry margin expansion across varying economic conditions

    43

  • Adjusted EBITDA from continuing operations as percent of sales as reported in company reports (excluding unusual items);

    See Appendix for reconciliations.

    PPG remains a margin leader across coatings sector end-use markets

    17.4%16.1%

    11.6%13.3%

    19.3%

    0.0%

    2.0%

    4.0%

    6.0%

    8.0%

    10.0%

    12.0%

    14.0%

    16.0%

    18.0%

    20.0%

    22.0%

    PPG Sherwin Williams Akzo Nobel RPM Axalta

    2017 Full Year EBITDA as % of Net Sales

    Coatings Peers EBITDA %

    44

  • www.ppg.com

    Additional Materials

    and Appendix

  • PPGSherwin

    WilliamsAkzo Nobel RPM

    Axalta

    Coatings

    Systems

    Currency USD USD Euro USD USD

    Sales 14,750 14,984 9,612 4,958 4,353

    Income before taxes 2,008 1,528 764 244 190

    Unusual or Infrequent

    Charges20 ***127 -- **216 *155

    Interest, net 85 263 78 83 147

    Depreciation &

    Amortization460 492 276 117 348

    EBITDA, adjusted 2,573 2,410 1,118 660 840

    % of Sales 17.4% 16.1% 11.6% 13.3% 19.3%

    EBITDA as % of Sales (excluding specials):

    2017 EBITDA Reconciliation

    47

    -Amounts in millions, except percentages, reflects most recent year-end. Compiled from publically available segment disclosures.

    -For all years presented, PPG results from continuing operations, as disclosed in the most recent 10-K and Annual Report.

    -Azko Nobel results from continuing operations as disclosed in the Q4 2017 earnings release.

    *Termination benefits, transition-related costs, Venezuelan foreign exchange losses and effects of deconsolidation impacts and impairments.

    **Goodwill impairment charge, charge to exit Flowcrete Middle East, and severance expense.

    ***Transaction and integration related SG&A expense related to the acquisition of Valspar.

  • PPGSherwin

    WilliamsValspar Akzo Nobel RPM

    Axalta

    Coatings

    Systems

    Currency USD USD USD Euro USD USD

    Sales 14,270 11,856 4,191 9,434 4,814 4,074

    Income before taxes 786 1,595 434 850 483 83

    Unusual or Infrequent

    Charges1,238 ***58 22 5 **(15) *257

    Interest, net 99 154 91 91 81 178

    Depreciation &

    Amortization440 198 98 282 111 322

    EBITDA, adjusted 2,563 2,005 645 1,228 661 840

    % of Sales 18.0% 16.0% 15.4% 13.0% 13.7% 20.6%

    EBITDA as % of Sales (excluding specials):

    2016 EBITDA Reconciliation

    48

    -Amounts in millions, except percentages, reflects most recent year-end. Compiled from publically available segment disclosures.

    -For all years presented, PPG results from continuing operations, as disclosed in the most recent 10-K and Annual Report.

    -Azko Nobel results from continuing operations as disclosed in the Q4 2017 earnings release.

    *Termination benefits, debt extinguishment and refinancing related costs, offering and transaction costs, Venezuelan foreign exchange losses

    and effects of deconsolidation impacts and impairments.

    **Reversal of Kirker earnout.

    ***Transaction and integration related SG&A expense related to the acquisition of Valspar.

  • PPGSherwin

    WilliamsValspar Akzo Nobel RPM

    Axalta

    Coatings

    Systems

    Currency USD USD USD Euro USD USD

    Sales 14,241 11,339 4,392 9,892 4,595 4,087

    Income before taxes 1,745 1,549 564 992 453 158

    Unusual or Infrequent

    Charges198 -- (22) 80 -- 116*

    Interest, net 86 62 81 91 69 197

    Depreciation &

    Amortization446 198 93 306 99 308

    EBITDA, adjusted 2,475 1,809 716 1,469 621 779

    % of Sales 17.4% 16.0% 16.3% 14.8% 13.5% 19.1%

    EBITDA as % of Sales (excluding specials):

    2015 EBITDA Reconciliation

    49

    -Amounts in millions, except percentages, reflects most recent year-end. Compiled from publically available segment disclosures.

    -For all years presented, PPG results from continuing operations, as disclosed in the most recent 10-K and Annual Report.

    -Azko Nobel results from continuing operations (Paints & Coatings) with certain estimates based on 2016 recast data.

    *Termination benefits, transition-related costs, debt extinguishment and refinancing related costs, offering and transaction costs, Venezuelan

    foreign exchange losses and effects of deconsolidation impacts and impairments

  • PPGSherwin

    WilliamsValspar Akzo Nobel RPM

    Axalta

    Coatings

    Systems

    Currency USD USD USD Euro USD USD

    Sales 14,250 11,130 4,522 9,427 4,376 4,362

    Income before taxes 1,326 1,258 491 529 424 32

    Unusual or Infrequent

    Charges417 26 41 253 -- 126*

    Interest, net 137 64 65 125 65 218

    Depreciation &

    Amortization422 199 101 311 90 309

    EBITDA, adjusted 2,302 1,547 698 1,218 579 685

    % of Sales 16.2% 13.9% 15.4% 12.9% 13.2% 15.7%

    EBITDA as % of Sales (excluding specials):

    2014 EBITDA Reconciliation

    50

    -Amounts in millions, except percentages, reflects most recent year-end. Compiled from publically available segment disclosures.

    -For all years presented, PPG results from continuing operations, as disclosed in the most recent 10-K and Annual Report.

    -Azko Nobel results from continuing operations (Paints & Coatings) with certain estimates based on 2016 recast data.

    *Termination benefits, debt extinguishment and refinancing related costs, and transition-related costs

  • PPGSherwin

    WilliamsValspar Akzo Nobel RPM

    Currency USD USD USD Euro USD

    Sales 13,198 10,186 4,104 9,663 4,079

    Income before taxes 1,179 1,086 424 703 362

    Unusual or Infrequent

    Charges249 54 40 -- --

    Interest, net 153 63 63 160 74

    Depreciation &

    Amortization398 188 88 308 84

    EBITDA, adjusted 1,979 1,391 615 1,171 520

    % of Sales 15.0% 13.7% 15.0% 12.1% 12.7%

    EBITDA as % of Sales (excluding specials):

    2013 EBITDA Reconciliation

    51

    -Amounts in millions, except percentages, reflects most recent year-end.

    -For all years presented, PPG results from continuing operations, as disclosed in the most recent 10-K and Annual Report.

    -Azko Nobel results from continuing operations (Paints & Coatings) with certain estimates based on 2016 recast data.

  • PPGSherwin

    WilliamsValspar Akzo Nobel RPM

    Currency USD USD USD Euro USD

    Sales 13,198 10,186 4,104 9,663 4,079

    Income before taxes 1,179 1,086 424 703 362

    Unusual or Infrequent

    Charges249 54 40 -- --

    Interest, net 153 63 63 160 74

    Depreciation &

    Amortization398 188 88 308 84

    EBITDA, adjusted 1,979 1,391 615 1,171 520

    % of Sales 15.0% 13.7% 15.0% 12.1% 12.7%

    EBITDA as % of Sales (excluding specials):

    2013 EBITDA Reconciliation

    52

    -Amounts in millions, except percentages, reflects most recent year-end.

    -For all years presented, PPG results from continuing operations, as disclosed in the most recent 10-K and Annual Report.

    -Azko Nobel results from continuing operations (Paints & Coatings) with certain estimates based on 2016 recast data.

  • 53

    Continuing Operations Discontinued Operations Total PPG

    Net Income EPS Net Income EPS Net Income EPS

    First Quarter 2017

    Net Income Attributable to PPG as Reported $ 328 $ 1.27 $ 6 $ 0.02 $ 334 $ 1.29

    Transaction-related costs 3 0.01 -- -- 3 0.01

    Pension settlement charge 14 0.05 -- -- 14 0.01

    Adjusted Net Income Attributable to PPG $ 345 $ 1.33 $ 6 $ 0.02 $ 351 $ 1.35

    First Quarter 2016

    Net Income Attributable to PPG as Reported $ 328 $ 1.22 $ 19 $ 0.07 $ 347 $ 1.29

    Transaction-related costs 1 0.01 -- -- 1 0.01

    Asset write-down -- -- 3 0.01 3 0.01

    Adjusted Net Income Attributable to PPG $ 329 $ 1.23 $ 22 $ 0.08 $ 351 $ 1.31

    First Quarter 2015

    Net Income Attributable to PPG as Reported $ 300 $ 1.09 $ 22 $ 0.08 $ 322 $ 1.17

    Transaction-related costs 3 0.01 3 0.01 6 0.02

    Adjusted Net Income Attributable to PPG $ 303 $ 1.10 $ 25 $ 0.09 $ 328 $ 1.19

    First Quarter 2014

    Net Income Attributable to PPG as Reported $ 275 $ 0.97 $ 987 $ 3.51 $ 1,262 $ 4.48

    Transaction-related costs 2 0.01 -- -- 2 0.01

    Adjusted Net Income Attributable to PPG $ 277 $ 0.98 $ 987 $ 3.51 $ 1,264 $ 4.49

    First Quarter 2013

    Net Income/(Loss) Attributable to PPG as Reported $ 189 $ 0.63 $ 2,221 $ 7.52 $ 2,410 $ 8.15

    Legacy pension costs 13 0.04 -- -- 13 0.04

    Environmental costs 8 0.03 -- -- 8 0.03

    Transaction-related costs 5 0.01 -- -- 5 0.01

    U.S. tax law change enacted in 2013 (10) (0.03) -- -- (10) (0.03)

    Adjusted Net Income Attributable to PPG $ 205 $ 0.68 $ 2,221 $ 7.52 $ 2,426 $ 8.20

    1st Quarter Reporting Period

    Adjusted EPS Reconciliation

    $ in millions, except EPS

  • Continuing Operations Discontinued Operations Total PPG

    Net Income EPS Net Income EPS Net Income EPS

    Second Quarter 2017

    Net Income Attributable to PPG as Reported $ 504 $ 1.95 $ 2 -- $ 506 $ 1.95

    Transaction-related costs 3 0.01 -- -- 3 0.01

    Gain from business divestiture (24) (0.09) -- -- (24) (0.09)

    Income from legal settlement (11) (0.04) -- -- (11) (0.04)

    Adjusted Net Income Attributable to PPG $ 472 $ 1.83 $ 2 -- $ 474 $ 1.83

    Second Quarter 2016

    Net Income Attributable to PPG as Reported $ 339 $ 1.25 $ 31 $ 0.12 $ 370 $ 1.37

    Transaction-related costs 4 0.02 1 -- 5 0.02

    Asset write-downs 8 0.03 -- -- 8 0.03

    Gain on sale of equity affiliate (13) (0.05) -- -- (13) (0.05)

    Net tax effect of asbestos settlement funding 128 0.48 -- -- 128 0.48

    Adjusted Net Income Attributable to PPG $ 466 $ 1.73 $ 32 $ 0.12 $ 498 $ 1.85

    Second Quarter 2015

    Net Income Attributable to PPG as Reported $ 311 $ 1.14 $ 26 $ 0.09 $ 337 $ 1.23

    Transaction-related costs 15 0.05 -- -- 15 0.05

    Business restructuring charge 105 0.39 1 -- 106 0.39

    Adjusted Net Income Attributable to PPG $ 431 $ 1.58 $ 27 $ 0.09 $ 458 $ 1.67

    Second Quarter 2014

    Net Income Attributable to PPG as Reported $ 386 $ 1.38 $ -- -- $ 386 $ 1.38

    Pension settlement charge 3 0.01 -- -- 3 0.01

    Transaction-related costs 2 0.01 -- -- 2 0.01

    Adjusted Net Income/(Loss) Attributable to PPG $ 391 $ 1.40 $ -- -- $ 391 $ 1.40

    Second Quarter 2013

    Net Income Attributable to PPG as Reported $ 315 $ 1.08 $ 26 $ 0.09 $ 341 $ 1.17

    Transaction-related costs 13 0.05 2 0.01 15 0.06

    Adjusted Net Income Attributable to PPG $ 328 $ 1.13 $ 28 $ 0.10 $ 356 $ 1.23

    2nd Quarter Reporting Period

    Adjusted EPS Reconciliation

    54

    $ in millions, except EPS

  • Continuing Operations Discontinued Operations Total PPG

    Net Income EPS Net Income EPS Net Income EPS

    Third Quarter 2017

    Net (Loss)/Income Attributable to PPG as Reported $ 392 $ 1.52 $ 217 $ 0.84 $ 609 $ 2.36

    Third Quarter 2016

    Net (Loss)/Income Attributable to PPG as Reported $ (211) $ (0.79) $ 27 $ 0.10 $ (184) $ (0.69)

    Pension settlement charges 616 2.31 -- -- 616 2.31

    Adjusted Net Income Attributable to PPG $ 405 $ 1.52 $ 27 $ 0.10 $ 432 $ 1.62

    Third Quarter 2015

    Net Income Attributable to PPG as Reported $ 410 $ 1.51 $ 23 $ 0.08 $ 433 $ 1.59

    Transaction-related costs 1 -- -- -- 1 --

    Pension settlement charge 5 0.02 -- -- 5 0.02

    Adjusted Net Income Attributable to PPG $ 416 $ 1.53 $ 23 $ 0.08 $ 439 $ 1.61

    Third Quarter 2014

    Net Income Attributable to PPG as Reported $ 340 $ 1.22 $ 31 $ 0.11 $ 371 $ 1.33

    Transaction-related costs 2 0.01 -- -- 2 0.01

    Pension settlement charge 2 0.01 -- -- 2 0.01

    Legacy environmental reserves 86 0.30 -- -- 86 0.30

    Gain on asset sales (59) (0.21) (14) (0.05) (73) (0.26)

    Adjusted Net Income Attributable to PPG $ 371 $ 1.33 $ 17 $ 0.06 $ 388 $ 1.39

    Third Quarter 2013

    Net Income Attributable to PPG as Reported $ 188 $ 0.65 $ 38 $ 0.13 $ 226 $ 0.78

    Transaction-related costs 3 0.01 1 -- 4 0.01

    Legacy environmental reserves 56 0.19 -- -- 56 0.19

    Business restructuring 70 0.24 3 0.01 73 0.25

    Adjusted Net Income Attributable to PPG $ 317 $ 1.09 $ 42 $ 0.14 $ 359 $ 1.23

    55

    3rd Quarter Reporting Period

    Adjusted EPS Reconciliation

    $ in millions, except EPS

  • 56

    Continued Operations Discontinued Operations Total PPG

    Net Income EPS Net Income EPS Net Income EPSFourth Quarter 2017

    Net Income Attributable to PPG as Reported $ 147 $ 0.58 $ -- $ -- $ 147 $ 0.58

    Net tax charge for Tax Cuts and Job Act legislation 134 0.52 -- -- 134 0.52

    Pension settlement charges 24 0.09 -- -- 24 0.09

    Gain on sale of non-operating asset (8) (0.03) (8) (0.03)

    Asset write-downs 7 0.03 -- -- 7 0.03

    Adjusted Net Income Attributable to PPG $ 304 $ 1.19 $ -- $ -- $ 304 $ 1.19

    Fourth Quarter 2016

    Net Income Attributable to PPG as Reported $ 91 $ 0.34 $ 253 $ 0.96 $ 344 $ 1.30

    Business restructuring charge 144 0.55 2 -- 146 0.55

    Environmental remediation charge 51 0.20 -- -- 51 0.20

    Loss on divestiture of European fiber glass business -- -- 44 0.17 44 0.17

    Net gain on disposals of ownership interests in business affiliates (8) (0.04) (25) (0.09) (33) (0.13)

    Net tax effect of asbestos settlement trust funding 23 0.09 -- -- 23 0.09

    Premium on early retirement of debt 5 0.02 -- -- 5 0.02

    Adjusted Net Income Attributable to PPG $ 306 $ 1.16 $ 274 $ 1.04 $ 580 $ 2.20

    Fourth Quarter 2015

    Net Income Attributable to PPG as Reported $ 290 $ 1.07 $ 24 $ 0.09 $ 314 $ 1.16

    Transaction-related costs 11 0.04 -- -- 11 0.04

    Equity affiliate debt refinancing charge 7 0.03 -- -- 7 0.03

    Adjusted Net Income Attributable to PPG $ 308 $ 1.14 $ 24 $ 0.09 $ 332 $ 1.23

    Fourth Quarter 2014

    Net Income Attributable to PPG as Reported $ 66 $ 0.24 $ 17 $ 0.06 $ 83 $ 0.30

    Debt refinancing charge 200 0.72 -- -- 200 0.72

    Transaction-related costs 30 0.10 6 0.03 36 0.13

    Favorable foreign tax ruling (29) (0.11) -- -- (29) (0.11)

    Adjusted Net Income Attributable to PPG $ 267 $ 0.95 $ 23 $ 0.09 $ 290 $ 1.04

    Fourth Quarter 2013

    Net Income Attributable to PPG as Reported $ 225 $ 0.78 $ 29 $ 0.10 $ 254 $ 0.88

    Transaction-related costs 3 0.01 1 0.01 4 0.02

    Adjusted Net Income Attributable to PPG $ 228 $ 0.79 $ 30 $ 0.11 $ 258 $ 0.90

    4th Quarter Reporting Period

    Adjusted EPS Reconciliation

    $ in millions, except EPS

  • PPG Adjusted Earnings Per Share Trend Reconciliation

    Adjusted EPS from Continuing Operations

    Period 2014 2015 2016 2017

    1Q $0.98 $1.10 $1.23 $1.33

    2Q 1.40 1.58 1.73 1.83

    3Q 1.33 1.53 1.52 1.52

    4Q 0.95 1.14 1.16 1.19

    Full Year* $4.67 $5.33 $5.67 $5.87

    Year over year percentage increase in EPS

    *Full year diluted EPS was calculated using the full year weighted average shares outstanding. As such, the sum of the quarters

    may not equal the total EPS for the year.

    57

  • FULL YEAR 2017 2016 2015 2014 2013

    Net Earnings as Reported $1,371 $564 $1,405 $1,133 $1,034

    Adjustments:

    Debt refinancing charge - - - 200 -

    Business restructuring charges - 146 106 - 73

    Equity affiliate debt refinancing charge - - 7 - -

    Transaction-related costs 6 6 32 42 28

    Environmental remediation charges - 51 - 86 64

    Pension settlement charges 38 616 5 - 13

    Tax rulings/law changes 134 - - (24) (10)

    Gain on sale of non-operating assets (8) - - (73) -

    Gain from a legal settlement (18) - - - -

    Loss on divestiture of European fiber glass business - 44 - - -

    Net gain on disposals of ownership interest in business

    affiliates

    (24) (55) - - -

    Net tax effect of asbestos settlement funding - 151 - - -

    Charge related to early retirement of debt - 5 - - -

    Asset write-downs 7 20 - - -

    Total Net Adjustments $142 $984 $150 $231 $168

    Adjusted Net Earnings $1,513 $1,548 $1,555 $1,364 $1,202

    Adjusted Net Earnings

    Amounts in Millions of USD Not adjusted for business divestitures for comparative purposes

    58

  • FULL YEAR 2012 2011 2010 2009 2008

    Net Earnings as Reported $941 $1,095 $769 $336 $538

    Adjustments:

    Business restructuring charge 163 - - 141 110

    Pension settlement charge - - 85 - -

    Divestiture-related costs - - - - 9

    Transaction-related costs 27 - - - 100

    Environmental remediation charges 99 - - - -

    Legal Settlement - - - - -

    Debt Refinancing - - - - -

    Impairments/Other - - - - -

    Total Net Adjustments $289 - $85 $141 $219

    Adjusted Net Earnings $1,230 $1,095 $854 $477 $757

    Adjusted Net Earnings

    59

    Amounts in Millions of USD Not adjusted for business divestitures for comparative purposes

  • FULL YEAR2017 2016 2015 2014 2013

    Adjusted Net Earnings $1,513 $1,548 $1,555 $1,364 $1,202

    Net Interest Expense (after-tax) 80 94 95 143 149

    Adjusted Net Earnings + Net Interest

    Expense

    $1,593 $1,642 $1,650 $1,507 $1,351

    Capital (Average Debt & Average Equity)

    as Reported

    $9,473 $9,334 $9,515 $9,200 $8,212

    Net Adjustment (see Net Earnings

    Reconciliations)

    142 984 150 231 168

    Adjusted Average Capital** $9,908 $9,841 $9,603 $9,383 $8,395

    Adjusted Return on Capital 16.1% 16.7% 17.2% 16.0% 16.1%

    Adjusted Return on Capital

    60

    Amounts in Millions of USD, except percentages - Not adjusted for business divestitures for comparative purposes

    **This table does not foot due to the rounding effect of Net Adjustments

  • FULL YEAR2012 2011 2010 2009 2008

    Adjusted Net Earnings $1,230 $1,095 $854 $477 $757

    Net Interest Expense (after-tax) 157 158 140 135 175

    Adjusted Net Earnings + Net Interest

    Expense

    $1,387 $1,253 $994 $612 $932

    Capital (Average Debt & Average Equity)

    as Reported

    $7,371 $7,526 $6,685 $7,088 $8,053

    Net Adjustment (see Net Earnings

    Reconciliations)

    289 - 85 141 219

    Adjusted Average Capital** $7,592 $7,526 $6,753 $7,237 $8,272

    Adjusted Return on Capital 18.3% 16.6% 14.0% 8.5% 11.3%

    Adjusted Return on Capital

    Amounts in Millions of USD, except percentages - Not adjusted for business divestitures for comparative purposes

    **This table does not foot due to the rounding effect of Net Adjustments

    61

  • 2017 Quarterly Financial Results by Reportable Segment

    PPG INDUSTRIES AND CONSOLIDATED SUBSIDIARIES (Continuing Operations)

    BUSINESS SEGMENT INFORMATION (unaudited)

    Q1 Q2 Q3 Q4 Full Year

    2017 2017 2017 2017 2017

    Net sales

    Performance Coatings $ 2,017 $ 2,301 $ 2,290 $ 2,124 $ 8,732

    Industrial Coatings 1,469 1,505 1,486 1,558 6,018

    TOTAL $ 3,486 $ 3,806 $ 3,776 $ 3,682 $ 14,750

    Segment income

    Performance Coatings $ 285 $ 413 $ 365 $ 260 $ 1,323

    Industrial Coatings 273 264 223 212 972

    TOTAL 558 677 588 472 2,295

    Items not allocated to segments

    Legacy items (8) 5 - 2 (1)

    Transaction-related costs (4) (5) - - (9)

    Pension settlement charges (22) - - (38) (60)

    Gain on sale of Mexican Plaka business - 25 - - 25

    Income from a legal settlement - 18 - - 18

    Gain from sale of a non-operating asset - - - 13 13

    Asset write-downs - - - (7) (7)

    Interest expense, net of interest income (21) (22) (22) (20) (85)

    Other corporate expense (63) (27) (45) (46) (181)

    INCOME BEFORE INCOME TAXES $ 440 $ 671 $ 521 $ 376 $ 2,008

    Amounts in Millions of USD

    62

  • www.ppg.com

    Thank you for your interest in PPG

    Industries, Inc.

    Contact Information:

    Investors:

    John Bruno

    (412) 434-3466

    63