PPG Industries announced plans to lay off approximately 1,800 employees to reduce costs, while also signing a deal to sell a significant portion of its architectural business. The Pittsburgh-based paints and coatings company stated that the job cuts would primarily impact employees in the U.S. and Europe, though the timing remains unspecified. These layoffs are part of a broader, multiyear initiative to lower structural costs globally, which will include some facility closures.

"These decisions are challenging but necessary to align our fixed costs and optimize our company," said PPG Chairman and CEO Tim Knavish, who highlighted recent business divestitures.

As part of its restructuring, PPG has agreed to sell its U.S. and Canadian architectural coatings division—representing brands like Liquid Nails, Glidden, and Olympic, and accounting for $2 billion in annual sales—to private equity firm American Industrial Partners (AIP) for $550 million. This deal is expected to close in late 2024 or early 2025. Additionally, in August, PPG announced plans to sell its silicas products business to Poland-based QEMETICA S.A. for approximately $310 million; that transaction is also pending.

The layoffs and divestitures come on the heels of a disappointing earnings report. PPG posted third-quarter net income of $468 million on revenue of $4.58 billion, falling short of Wall Street estimates. This also coincides with a downturn in U.S. home sales and rising mortgage rates.

Despite these challenges, PPG and AIP expressed optimism about the future. Rick Hoffman, a partner at AIP, emphasized the historic value of the acquired business, while Knavish noted that these divestitures "further optimize" PPG’s portfolio, enabling growth in core areas