Professional Documents
Culture Documents
Coatings Word June 2015
Coatings Word June 2015
150 years
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COLUMNS
iPaint .................................................................... 16
Death, Taxes, Trade Secrets and Other Certainties
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.
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4 | Coatings World
www.coatingsworld.com
June 2015
www.sunchemical.com
Editors Page
kpianoforte@rodmanmedia.com
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June 2015
As We Go To Press
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
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 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
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.
Coatings World | 11
Fresh Paint
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.
WE LOOK
GOOD ON YOU
Fresh Paint
BIRLA CARBON
COLLABORATIVE
INNOVATIVE
GLOBALLY CAPABLE
BIRLACARBON.COM
2015 BIRLA CARBON
Coatings World | 13
Fresh Paint
June 2015
Fresh Paint
Coatings World | 15
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
report,
Waterborne
Epoxy
Market Reports
Coatings World | 19
Market Reports
www.technologylitigators.com
June 2015
New Products
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
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
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.
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
www.coatingsworld.com
Coatings World | 25
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
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
June 2015
Coatings World | 29
June 2015
Coatings World | 31
FEATURE
June 2015
Coatings World | 33
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
www.coatingsworld.com
Coatings World | 35
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
Coatings World | 37
FEATURE
The Alex line of caulks is comprised of three different products that meet the
needs of both professionals and DIYers.
June 2015
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
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
June 2015
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
Industry News
Industry News
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).
Suppliers Corner
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
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
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
Location: Columbus, OH
Contact: Kevin Biller
Email: kevinbiller@yahoo.com
Website: www.powdercoating.org
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
Website: www.coatings-group.com
Email: DianaFahmi@dmgeventsme.com
Coatings World | 47
Classifieds
Blades
HIGH SHEAR
MIXERS
Worlds Widest Selection,
Single Stage to Ultra-High Shear!
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
14
Buhler
11 512-466-8005 www.buhlergroup.com
478-552-2544
www.burgesspigment.com
203-265-2086
www.byk.com
Chemark Consulting
20
910-692-2492
www.chemarkconsulting.net
19
+886-2-8228-1168
29
888-241-9802
www.espinc.us
Cover 4
540-980-7233
www.hoovercolor.com
King Industries
12
203-866-5551
www.kingindustries.com
20
512-472-8282
www.technologylitigators.com
15
832-445-3300
www.orioncarbons.com
Cover 2
973-242-2999
www.shamrocktechnologies.com
800-543-2323
www.sunchemical.com
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
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
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