PITTSBURGH -- PPG Industries has reported sales for the fourth quarter 2009 of $3.1 billion, a decline of 2 percent versus the prior year’s fourth quarter. Reported net income for the quarter increased to $142 million, or 85 cents per share. Fourth quarter 2008 sales were $3.2 billion, and reported net income was $71 million, or 43 cents per share.

PPG’s fourth quarter 2009 adjusted net income was $144 million, or 86 cents per share. Fourth quarter 2008 adjusted net income was $68 million, or 41 cents per share. Fourth quarter 2009 reported net income included an aftertax charge of $2 million, or 1 cent per share, to reflect the net increase in the current value of the company’s obligation under its proposed asbestos settlement, which is pending court proceedings. Fourth quarter 2008 net income included aftertax earnings of $3 million, or 2 cents per share, related to the proposed asbestos settlement.

“The fourth quarter of 2009 capped what was a challenging year,” said Charles Bunch, PPG chairman and CEO. “The global recession was both steep and broad, and it adversely affected many of our end-use markets. PPG reacted decisively by implementing aggressive restructuring and cost-reduction actions. The impact of these efforts is clearly evident in our fourth quarter and full year financial results. Led by our coatings and Optical and Specialty Materials segments, we have continued to realize positive momentum in our financial performance. These segments performed well and delivered higher year-over-year earnings in the quarter.”

Bunch noted, however, that due to challenging economic conditions, results from the company’s Performance Glazings business and Commodity Chemicals segment weakened in comparison with the prior year’s quarter and the seasonally stronger third quarter.

“While our earnings still have not fully recovered, I am pleased with the pace of our improvement given the continued challenges in the global economy,” Bunch said. “A primary driver of this improvement has been the completion of our restructuring actions ahead of schedule. These actions have benefited us in 2009 and will do so to a greater degree in 2010.”

“We delivered strong and near-record cash from operations in 2009,” Bunch continued. “Doing so despite the recession provides continued validation of the success of the strategic direction and actions we have taken over the past few years to transform the company.”

Bunch said that PPG paid down about $675 million of debt in 2009 and again raised its annual dividend payout.

“As we begin 2010,” Bunch said, “we are guardedly optimistic. While recovery in the global economy remains gradual, PPG is well-positioned in several ways. Our strong and growing presence in Asia will continue to yield benefits based on economic growth in the region. We will also realize an incremental $100 million of savings from our completed restructuring actions that will enable us to fully leverage anticipated higher full year global activity levels. And we have a strong cash position of just over $1 billion to support earnings growth opportunities.”

For all of 2009, sales were $12.2 billion. Net income was $336 million, or $2.03 per share. Reported net income includes aftertax charges of $141 million, or 86 cents per share, for business restructuring and $8 million, or 5 cents per share, to reflect the net increase in the current value of the company’s obligation under its proposed asbestos settlement. Adjusted net income was $485 million, or $2.94 per share.

For all of 2008, sales were $15.8 billion. Net income was $538 million, or $3.25 per share. Reported net income includes aftertax charges of $110 million, or 67 cents per share, for business restructuring; $89 million, or 54 cents per share, in non-recurring acquisition-related costs stemming from the company’s January 2008 acquisition of SigmaKalon; $11 million, or 7 cents per share, to reflect the catch-up of depreciation expense, which was suspended when the automotive glass and services business was previously classified as a discontinued operation; $12 million, or 7 cents per share, relating to the impact of benefit changes, including accelerated vesting, negotiated as part of the sale of the automotive glass and services business; and $2 million, or 1 cent per share, for the proposed asbestos settlement. Net income also includes an aftertax gain of $3 million, or 2 cents per share, on the divestiture of the automotive glass and services business. Adjusted net income was $759 million, or $4.59 per share.