PPG Annual Report 2017

135 years of heritage, committed to the future As we begin 2018, our 135 th year in operation, the focus on our purpose has never been stronger and extends beyond the economic boundaries of our business to ensure the long-term sustainability of PPG. There is no better example than the investments we are making in communities where we operate. Recently, I was privileged to join PPG’s top 100 global leaders at an elementary school in Miami to truly personalize our mission. As part of PPG’s COLORFUL COMMUNITIES ® initiative, we painted murals, brightened the school’s library and cafeteria, and created an outdoor learning classroom. It was a special opportunity to help the school create a brighter, more vibrant learning environment. Supporting communities PPG and the PPG Foundation collaborate with our employees and community partners to breathe continuous life into our mission: We protect and beautify the world . We dedicate financial resources, apply our products and use the power of our passionate employee- volunteers to address the needs of communities – and to help transform lives in the process. Through the Colorful Communities initiative and other community engagement programs, we invested more than $10.5 million in 2017, supporting hundreds of organizations across 29 countries. Committed volunteers contribute their time and apply PPG paint products to help transform community assets – from painting classrooms, to bringing color to a maternity ward and redesigning a playground. Since 2015, PPG has completed more than 125 Colorful Communities projects, improving life for more than 4 million people. I encourage you to visit ppg.com to view our videos that show how these projects positively impact the many children and their families. Enduring commitment to innovation and sustainability Our commitment to innovation is intertwined with growth and sustainability. It covers a wide range of products and services that provide environmental, safety and other benefits to our customers. Our products contribute to lighter, more fuel-efficient vehicles, airplanes and ships, and they help our customers reduce their energy consumption, conserve water and reduce waste. Our technologies are helping manufacturers to protect their assets and products from corrosion, and we are sharing those technologies across our businesses. Our goal is to achieve 25 percent of total sales from products introduced in the last four years. In 2017, we invested nearly $500 million in research and development. Examples include PPG’s award-winning waterborne technologies, our compact painting process for vehicles, and new coatings for lithium batteries needed for electric cars. A Message from Our Chairman ii PPG ANNUAL REPORT AND FORM K