CINCINNATI - Owens Corning is taking an aggressive path to reach its goal of $5 billion in sales by 2000. With 1995 sales of $3.6 billion, Owens Corning is looking to increase sales through ingredient branding, expansions and acquisitions, said Glen H. Hiner, chairman and chief executive.
Ingredient branding offers market value, product differentiation and share growth for OC's composites customers and increased sales for the Toledo, Ohio-based firm, Hiner said in an interview at the SPI Composites Institute's show in Cincinnati. The OC logo and the Pink Panther help boost market visibility.
``Our brand has great value and using it in promotions is a very positive next step,'' Hiner said. ``It also adds extra value for [original equipment manufacturers] for using our products.''
The ingredient branding concept began in 1994 with K2's MSL high-performance snow ski, which uses OC's logo, technology and Advantex glass fiber. Other programs have been set up with makers of tool handles, ladders, vinyl flooring and high-performance boats. OC made a second push last month at the Builders' Show in Houston.
Efthimios Vidalis, president of OC's global composites business, said the composites market is expected to grow up to 5 percent a year in North America and Western Europe during the next few years. Latin America and Asia-Pacific should see 10 percent growth, he said.
OC will have 220.4 million pounds of additional capacity in place this year compared to 1994, 99.2 million pounds of additional capacity starting in 1997 and 298 million pounds of additional capacity in North America and Western Europe over the next three years.
``Our customers and the designers and engineers who are considering composites for new applications must have confidence that the materials they need will be available for those new applications,'' Vidalis said.
Hiner and Vidalis both said glass prices should hold steady in 1996.
``Our glass prices are fairly priced and bringing value,'' Hiner said. ``But we're more concerned with how it competes with other materials, not just other glass fibers.''