PITTSBURGH -- PPG Industries has reported record sales of $3.4 billion for the fourth quarter of 2010, an increase of 8 percent versus the prior year’s fourth quarter.

Reported net income for the quarter increased to $205 million, or $1.24 per share. Fourth quarter 2009 sales were $3.1 billion, and reported net income was $142 million, or 85 cents per share.

Reported net income for 2010 increased to $769 million, or $4.63 per share. Full year 2009 reported net income was $336 million, or $2.03 per share.

“Our record fourth quarter sales and earnings capped what was an excellent year for PPG and give us momentum heading into 2011,” said Charles Bunch, PPG chairman and CEO. “In the quarter, our coatings and Optical and Specialty Materials segments combined to post sales and earnings records despite increasing raw materials costs for coatings. Our Commodity Chemicals and Glass segments continued their significant improvement trends by growing earnings by a combined $90 million year-over-year and delivering solid double-digit operating margins in a seasonally slow quarter.”

Bunch added that the company’s selling prices increased in each quarter during the year, and its businesses in emerging regions once again grew by double-digit percentages.

“Our performance for all of 2010 demonstrates how strongly we are emerging from the recession, and we’re only now beginning to see the full earnings power of the company. In the last two quarters, we achieved record earnings per share, and we nearly posted a full-year record despite volumes that remain well below pre-recession levels,” Bunch said. “Despite a partial recovery, 2010 sales volumes still remained $1.2 billion below 2008 levels.

“The successful implementation of our strategy is enabling us to fully leverage our global breadth and leadership positions in coatings and optical products,” Bunch said. “Also, we have maintained a sharp cost and execution focus.”

He said that PPG delivered $150 million in additional cost savings in 2010, bringing its total cost reductions since 2008 to more than $500 million.

“We continued our legacy of strong cash generation and rewarding shareholders and returned about 75 percent of PPG’s cash from operations, or about $1 billion, to shareholders in the form of an increased annual dividend payout and share repurchases,” Bunch said. PPG repurchased 8.1 million shares during the year.

“Looking ahead to 2011, we anticipate that the global economic recovery will strengthen and broaden,” Bunch said. “This should drive volume increases for PPG, which we expect to leverage into higher earnings through our continued cost focus.”

Bunch noted that the company is implementing price increases in its Commodity Chemicals segment and in each of its coatings segments to fully counter rising raw materials costs. PPG also is working on several initiatives to deploy its nearly $2 billion of cash and short-term investments to grow earnings.