Owens Corning Updates 2014 Earnings Expectations; Lowers 2014 Outlook Due to
Continued Volume Weakness in its Roofing Business
TOLEDO, Ohio, June 20, 2014
TOLEDO, Ohio, June 20, 2014 /PRNewswire/ --Owens Corning (NYSE: OC) today
lowered its 2014 full-year earnings outlook due to continued volume weakness
in its roofing business.
In its first-quarter 2014 earnings release, the company stated that it
expected to deliver $500 million in adjusted EBIT for full-year 2014 and noted
that first-quarter volume weakness in its roofing business added risk to the
company's financial outlook.
The weakness in roofing volumes experienced in the first quarter continued
through April and May, and the company now estimates that roofing volumes for
the first half of 2014 may be as much as 20 percent lower than first-half 2013
volumes. The company expects to recover a portion of this volume shortfall in
the second half of the year. However, continued weakness in the second quarter
has introduced further uncertainty in the full-year financial outlook for the
company's roofing business.
The company continues to see improvement in the year-over-year performance of
both its insulation and composites businesses. Earnings growth in these two
businesses is expected to more than offset the weaker financial performance in
the roofing business year over year.
The company now expects to deliver full-year 2014 adjusted EBIT that will be
greater than the prior year result of $416 million.
Owens Corning second-quarter 2014 results will be announced on July 23, 2014,
prior to the opening of the New York Stock Exchange. A conference call to
discuss the company's earnings will be held at 11 a.m. (ET) on the same day.
About Owens Corning
Owens Corning (NYSE: OC) is a leading global producer of residential and
commercial building materials, glass-fiber reinforcements and engineered
materials for composite systems. A Fortune® 500 company for 60 consecutive
years and in business for more than 75 years, Owens Corning is a
market-leading innovator of glass-fiber technology with sales of $5.3 billion
in 2013 and about 15,000 employees in 27 countries. Additional information is
available at www.owenscorning.com.
This news release contains forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934. These forward-looking statements are subject to risks,
uncertainties and other factors that may cause actual results to differ
materially from those projected in these statements. Such factors include,
without limitation: economic and political conditions, including; levels of
residential and commercial construction activity; competitive factors; levels
of global industrial production; relationships with key customers;
difficulties in managing production capacity; industry and economic conditions
that affect the market and operating conditions of our customers, suppliers or
lenders; availability and cost of credit; our level of indebtedness; weather
conditions; pricing factors; availability and cost of energy and raw
materials; issues involving implementation of new business systems; new
legislation or other governmental actions; our ability to use our net
operating loss carry-forwards; research and development activities; foreign
exchange fluctuations; interest rate movements; labor disputes; issues related
to acquisitions, divestitures and joint ventures; uninsured losses;
achievement of expected synergies, cost reductions and/or productivity
improvements; defined benefit plan funding obligations; and, factors detailed
from time to time in the company's Securities and Exchange Commission filings.
The information in this news release speaks as of June 20, 2014, and is
subject to change. The company does not undertake any obligation to update or
revise forward-looking statements beyond what is required by federal
securities laws. Any distribution of this news release after that date is not
intended and should not be construed as updating or confirming such
This news release makes reference to adjusted EBIT, a non-GAAP measure.
Adjusted EBIT is earnings before interest, taxes and other items that
management does not allocate to segment results because it believes they are
not a result of the company's current operations. Management uses this
non-GAAP measure for various purposes, including reporting results of
operations to the Board of Directors, analysis of performance and related
employee compensation measures. A reconciliation of 2013 adjusted EBIT to the
most directly comparable financial measures calculated and presented in
accordance with GAAP may be found in the earnings news release dated February
Owens Corning Investor Relations News
SOURCE Owens Corning
Contact: Media Inquiries: Matt Schroder, 419.248.8987; or Investor Inquiries:
Thierry Denis, 419.248.5748
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