Norwest. Independent owners concerned

More than 120 independent owners of Paint Place stores, Wattyl's preferred trade and retail outlets, fear their businesses wouldl be damaged if the US-based Valspar is successful in its $110 milion takeover bid for Wattyl, based at Norwest Business Park. They are concerned Valspar may supply the Lowe's and Woolworths big-box hardware store venture. There is an expectation that the new hardware chain will seek exclusive access to Wattyl's best brands, such as Solagard.

Norwest. Paint group on the way to profits

Paintmaker, Wattyl, based in Norwest Business Park, expects to return to profit following shedding 14 per cent of its workers and introducing lightweight plastic paint cans as part of a two-year program which aims to reduce costs by $26 million by June this year. Wattyl recorded a profit after tax of $2.4 million for the half year ended 31 December 2009, after a loss of $1.5 million in the corresponding period in 2008. Sales volume fell in liner with a 5.6 per cent for the industry during the half-year to December.. Full-year earnings, before interest and tax, may total between $12 million and $13 million. Wattyl has new products, with more to come, to meet competition from Nippon Paints, which entered the market two years ago. “The challenge will be for us to grow our market share after a number of years of decline,”said CEO, Tony Dragicevich.

Norwest. Wattyl hopes on first home extension

The country’s second-biggest paint maker, The Wattyl Group, based at Norwest Business Park, is counting on the extension of the first home owners boost and spending on public housing for a much-needed stimulus, according to The Australian Financial Review. Wattyl’s earnings before interest and tax would total $6 million for the year to June. Lower input costs and redundancies would help the group to cut costs by about $14 million this fiscal year and $12 million more next year. The group has manufacturing, sales and distribution operations in Australia and New Zealand.