- Fiscal 2009 guidance now reflects a range of $1.75-$1.85 per share versus previous guidance of $1.85 per share
MEDINA, Ohio, Oct. 2 /PRNewswire-FirstCall/ -- RPM International Inc.
(NYSE: RPM) today reported that it has changed its outlook for its fiscal 2009
earnings to $1.75 to $1.85 per share, down from prior guidance of
approximately $1.85 per share. Financial analysts surveyed by Thomson
Financial had forecast, on average, full-year earnings of $1.86 per share for
the year ending May 31, 2009.
The announcement was made by Frank C. Sullivan, the company's president
and chief executive officer, during a presentation at the Oppenheimer & Co.
Third Annual Industrials Conference. He cited current economic headwinds,
sustained volatility in financial markets, weak domestic market conditions for
its consumer segment and raw material cost pressure in both segments as the
principal reasons behind the revised outlook.
"While it is still early in our fiscal year, the tremendous uncertainty in
financial markets and the related potential fallout in the economy at this
time suggests that we should temper our guidance for the year," stated
Sullivan. "As we have noted during the past several months, we continue to
closely monitor the effects of today's volatile credit markets and the adverse
impact these conditions could have, particularly on our commercial
construction markets," he stated. Excluding an asbestos charge in fiscal
2008 and a resultant lower effective tax rate, net income would have been
$1.75 per diluted share in the prior fiscal year.
RPM International Inc., a holding company, owns subsidiaries that are
world leaders in specialty coatings and sealants serving both industrial and
consumer markets. Industrial products include roofing systems, sealants,
corrosion control coatings, flooring coatings and specialty chemicals.
Industrial brands include Stonhard, Tremco, illbruck, Carboline, Day-Glo, Euco
and Dryvit. RPM's consumer products are used by professionals and do-it-
yourselfers for home maintenance and improvement, boat repair and maintenance,
and by hobbyists. Consumer brands include Zinsser, Rust-Oleum, DAP, Varathane
For more information, contact P. Kelly Tompkins, executive vice president
- administration and chief financial officer, at 330-273-5090 or
This press release contains "forward-looking statements" relating to our
business. These forward-looking statements, or other statements made by us,
are made based on our expectations and beliefs concerning future events
impacting us, and are subject to uncertainties and factors (including those
specified below) which are difficult to predict and, in many instances, are
beyond our control. As a result, our actual results could differ materially
from those expressed in or implied by any such forward-looking statements.
These uncertainties and factors include (a) general economic conditions; (b)
the price, supply and capacity of raw materials, including assorted pigments,
resins, solvents and other natural gas- and oil-based materials; packaging,
including plastic containers; and transportation services, including fuel
surcharges; (c) continued growth in demand for our products; (d) legal,
environmental and litigation risks inherent in our construction and chemicals
businesses and risks related to the adequacy of our insurance coverage for
such matters; (e) the effect of changes in interest rates; (f) the effect of
fluctuations in currency exchange rates upon our foreign operations; (g) the
effect of non-currency risks of investing in and conducting operations in
foreign countries, including those relating to domestic and international
political, social, economic and regulatory factors; (h) risks and
uncertainties associated with our ongoing acquisition and divestiture
activities; (i) risks related to the adequacy of our contingent liabilities,
including for asbestos-related claims; and (j) other risks detailed in our
filings with the Securities and Exchange Commission, including the risk
factors set forth in our Annual Report on Form 10-K for the year ended May 31,
2008, as the same may be updated from time to time. We do not undertake any
obligation to publicly update or revise any forward-looking statements to
reflect future events, information or circumstances that arise after the date
of this release.
SOURCE RPM International Inc.