Insulation industry news from Global Insulation

US: Honeywell, an American multinational conglomerate that produces a variety of commercial and consumer products, engineering services and aerospace systems, has announced that it plans to increase its production of low global-warming-potential (GWP) materials (i.e. insulation materials, refrigerants, aerosols and solvents).

The company projects that use of its low-GWP hydrofluorocarbon (HFC) replacements will eliminate more than 350Mt in CO₂ equivalents by 2025, equivalent to removing 70 million cars from the road for one year. Prior to 2020, Honeywell will drive a 50%/yr reduction in the production of high-GWP HFCs on a CO₂ equivalent basis. In addition, Honeywell plans to spend US$900m on research and development and new capacity, mainly in the US, in the coming years to produce next-generation refrigerants, insulation materials, aerosols and solvents. These have global warming potentials at least 99% lower than most technologies used today.

US: For the fifth year in a row Owens Corning has earned placement in the Dow Jones Sustainability World Index (DJSI World) in recognition of its sustainability initiatives.

For the second straight year, Owens Corning was named the Industry Leader for the DJSI World Building Products group.

"We are proud to have earned a place on this list again this year," said chairman and CEO Mike Thaman. "Our employees are working every day to make homes more energy-efficient, roofs more durable and weather-resistant, cars more fuel efficient and renewable energy more cost effective. Our sustainability strategy is realised every day at Owens Corning, through the products we produce and the way we produce them."

Composed of global sustainability leaders, the DJSI World Index is a listing of the world's largest companies based on long-term economic, environmental and social criteria. The DJSI follow a best-in-class approach, including companies across all industries that outperform their peers in numerous sustainability metrics.

US: US insulation and safety supplies marketer Distribution International Inc (DI) has completed the acquisition of domestic industrial and commercial insulation manufacturer Pacific Insulation Company. Financial details have been kept confidential. Through the acquisition Texas-based DI will broaden its presence in the states of California, Nevada, Arizona and New Mexico.

US: USA Insulation, which specialises in retrofit insulation, opened a new franchise location in St Louis, Missouri on 9 September 2014. The new owner, Doug Graham, will provide homeowners in the Metro St Louis and Metro East areas with USA Insulation's proprietary Premium Foam, among other products.

"We are thrilled to have Doug head up our new franchise in an area of the country that has a large number of homes with insulation needs," said Patrick Pitrone, USA Insulation president. "With the winter and summer temperature extremes that Greater St Louis experiences, USA Insulation will be able to help homeowners be more comfortable in their homes while substantially lowering their energy bills."

USA Insulation's Premium Foam is injected as a liquid into wall cavities from small holes drilled in the home's facing, where it hardens quickly to provide a thermal barrier. USA Insulation also offers blown-in insulation for attic spaces and air sealing to close any openings around pipes and fixtures.

"St. Louis has a large number of old homes, including historical homes that can't be torn down, which are either under-insulated or not insulated," said Graham. "A home is probably the largest investment a person will ever make. Not only will our insulation help homeowners be more comfortable in their homes year-round, it can also enhance the home's resale value."

US: Ireland's Kingspan, the building materials and insulation group, has purchased the building insulation division of US company Pactiv for US$82m. The deal is Kingspan's first foray into the residential market in the US, where it already has an industrial business.

Pactiv had sales of US$84m in the twelve months that ended on 30 June 2014 and recorded an operating profit of US$10m. The enterprise value is US$82m, of which US$72m is payable in cash on completion plus US$10m of working capital. Gross assets being acquired are US$30m, according to Kingspan.

Gene Murtagh, Kingspan's CEO, said that the acquisition represents 'a new and exciting frontier' for the company's business in North America. "It is a tremendous opportunity to build upon the growing success of our existing insulated panel business throughout the region," he said.

US: Knauf Insulation has completed its acquisition of Guardian Insulation. The transaction includes Guardian Fiberglass and Guardian Laminated Building Products. Guardian Fiberglass will be integrated into Knauf Insulation and Guardian Laminated Building Products has become Silvercote, LLC.

"This is a landmark day for Knauf Insulation. This acquisition is an important step in our mission to become the global leader in energy efficient systems for buildings," said Mark Andrews, CEO of Knauf Insulation in North America. "Combining the talent from two complementary organisations will help to create an exceptional company with leadership in technology, innovation and sustainability. Our customers are going to see clear benefits, not the least being greater flexibility that comes with an expanded manufacturing footprint. With more than double the production capacity of glass mineral wool at our disposal, this integration will certainly position Knauf Insulation as a leading manufacturer throughout North America that is more than capable of meeting the needs of a growing market."

US: Johns Manville (JM) has announced that it will merge its American, European and Asian activities for engineered products into one global business unit. JM's engineered products business manufactures glass and polyester nonwoven products for the building and construction industry, filtration and battery separation media, reinforcement glass fibres for composites and specialty industrial glass products. JM said that the reorganisation will enhance its ability to serve increasingly global needs in the composites, filtration and energy storage markets.

"Transitioning to one engineered products organisation furthers our global reach while maintaining the regional support our customers require," said JM's president and CEO, Mary Rhinehart. "The new structure allows us to build on what we already do well in different regions. It will expedite our growth and help us deliver an even more powerful JM experience to our customers and our employees."

Previously, JM operated two engineered products business units: one for the Americas and one for Europe and Asia. The realignment keeps some of the regional components, mostly within the nonwovens business, while the composites, filtration and energy storage businesses will be managed more globally.

Enno Henze, who is responsible for JM's nonwovens, fibres and glass textiles businesses in Europe, as well as its nonwovens business in China, will lead the newly created Engineered Products business as senior vice president and general manager. Henze will relocate to JM's global headquarters in Denver, USA from Germany to lead the Engineered Products business. Henze said that the new organisation is designed to support JM's Engineered Products customers worldwide.

US: Owens Corning has reported second quarter 2014 profits of US$21m, down from US$49m in 2013. Its net sales were US$1.36bn, up slightly from US$1.35bn in 2013. Chairman and CEO Mike Thaman said that the insulation and composites business units met expectations for the first half of 2014, offsetting weaker financial performance in its roofing division.

US: South Korea's Toray Chemical Korea Inc has agreed to pay US$2m to settle a criminal complaint alleging attempted theft of a competitor's trade secrets.

The complaint against Toray was filed in the US District Court in Richmond, Virginia. In an accompanying deferred prosecution agreement, Toray has admitted that the allegations are true and has agreed to pay the penalty and take corrective actions. The government has agreed to drop the case after two years if Toray complies with the agreement.

According to court papers, Toray sought to develop a fibre used in protective fabrics, electrical insulation and other products that is similar to a fibre that is manufactured by E.I. du Pont de Nemours and Company. Toray tried to hire former DuPont employees as consultants to obtain information about the DuPont product.

US: PPG Industries has reported that its North American architectural coatings business has completed its acquisition of the Homax Group from Olympus Partners. Homax is a supplier of decorative aerosol wallboard and ceiling-texturing applications that are utilised primarily for home repair. Financial terms of the deal were not disclosed.