RPM International
Encyclopedia
RPM International Inc is a multinational holding company with subsidiaries that manufacture and market high-performance specialty coatings, sealants and building materials. Industrial brands include Stonhard, Tremco, illbruck, Carboline, Flowcrete, Universal Sealants and Euco. RPM's consumer products are used by professionals and do-it-yourselfers for home maintenance and improvement, boat repair and maintenance, and by hobbyists. Consumer brands include Zinsser, Rust-Oleum
, DAP
, Varathane and Testors.
The company has approximately 9,000 employees worldwide who work in 78 manufacturing facilities in 18 countries. Its products are sold in 150 countries and territories. It is the sixth largest paint and coating company in the world.
RPM is publicly traded on the New York Stock Exchange under the symbol RPM. Its shares are owned by some 300 institutions and 82,000 individual investors. It ranks among the top 75 in total shares held by BetterInvesting investment clubs and the top 100 in total value of shares held. RPM has increased its cash dividend paid to stockholders for 38 consecutive years, which places the company in an elite category of less than half of one percent of all 19,000 publicly-traded U.S. companies. Only 46 other companies, besides RPM, have consecutively paid an increasing annual dividend for this period of time or longer, according to the fall 2011 edition of the Mergent Handbook of Dividend Achievers.
Over the ten-year period from May 31, 2001 to 2011, RPM has outperformed the S&P 500 by 221 percent in total return generated for its shareholders, which includes both capital appreciation and reinvestment of dividends.
In August of 1971, Frank Sullivan died suddenly. Later that same year, RPM, Inc. was formed to become a holding company to develop a more aggressive acquisition program in a rapidly consolidating paint and coatings industry. Frank’s son, Thomas C. Sullivan, who was previously president of Republic Powdered Metals, became chairman and chief executive officer of the holding company. He and James A. Karman, who was elected president and chief operating officer in 1978, led RPM for more than three decades.
After more than 30 years at the company’s helm, Sullivan and Karman retired as executive officers of the company in 2002. During their tenure, net sales increased to $2 billion from $11 million, net income increased to $101.6 million from $0.6 million, cash dividends per share increased to $0.50 from $0.0035 (split-adjusted), and a $1,000 investment in RPM shares in 1971 would have been worth more than $100,000.
Tom was succeeded by his son, Frank C. Sullivan, who became president and chief executive officer in 2002. He has continued to lead the company in a manner consistent with the legacy created by his father and grandfather before him. RPM’s strategy for growth remains to: establish and maintain brand leadership in the markets it serves, strike a balance between industrial and consumer markets, generate growth both organically and through acquisitions, and to maintain an entrepreneurial operating culture.
Rust-Oleum
Rust-Oleum is a maker of protective paints and coatings for home and industry use. It was founded in 1921 by Robert Fergusson after he noticed that raw fish oil spilled on rusty metal decks stopped corrosion from spreading....
, DAP
DAP
Dap or DAP may refer to:*Dap greeting, a form of greeting in which two people slap and grasp hands briefly; also called a 'fist bump'*Delivered at Place, one of the rules defined by Incoterms 2010 for general modes of transportation...
, Varathane and Testors.
The company has approximately 9,000 employees worldwide who work in 78 manufacturing facilities in 18 countries. Its products are sold in 150 countries and territories. It is the sixth largest paint and coating company in the world.
RPM is publicly traded on the New York Stock Exchange under the symbol RPM. Its shares are owned by some 300 institutions and 82,000 individual investors. It ranks among the top 75 in total shares held by BetterInvesting investment clubs and the top 100 in total value of shares held. RPM has increased its cash dividend paid to stockholders for 38 consecutive years, which places the company in an elite category of less than half of one percent of all 19,000 publicly-traded U.S. companies. Only 46 other companies, besides RPM, have consecutively paid an increasing annual dividend for this period of time or longer, according to the fall 2011 edition of the Mergent Handbook of Dividend Achievers.
Over the ten-year period from May 31, 2001 to 2011, RPM has outperformed the S&P 500 by 221 percent in total return generated for its shareholders, which includes both capital appreciation and reinvestment of dividends.
Segments
RPM operates through two segments:- an Industrial segment (producing commercial sealants and institutional roofing systems; polymer flooring systems; molded and pultruded fiberglass reinforced plastic gratings and design structures; heavy-duty corrosion control coatings; structural and architectural fireproofing products, including primary and secondary containment linings; exterior insulating finishing systems, including textured finish coats, sealers, and variegated aggregate finishes; powder coatings; fluorescent colorants and pigments; concrete and masonry additives and related construction chemicals; commercial carpet and floor cleaning solutions; industrial and commercial floor systems; specialty adhesives and sealants; fuel additives; wood and lumber treatments; and pleasure marine coatings) selling its products in approximately 150 countries and territories directly to contractors, distributors, and end-users. In fiscal 2011, the company’s industrial products accounted for 67 percent of total sales.
- a Consumer segment (producing coating products; small project paints; rust-preventative paints; caulks and sealants, patch and repair products, and adhesives; specialty products for surface preparation, primers and sealers, mold and mildew prevention and maintenance; wallpaper removal and application products; waterproofing coatings; hobby paints and cements; wood furniture finishes and touch-up products; deck and fence restoration products; metallic and faux finish coatings; shellac-based specialty coatings; and edible glazes and food coatings.) selling to consumers primarily in North America and the United Kingdom via mass merchandisers. Consumer products accounted for approximately 33 percent of total sales in fiscal 2011.
Industrial Companies
- AD Fire Protection Systems
- Agpro (N.Z.)
- Alteco Technik
- API S.p.A.
- Ascoat
- Canam
- Carboline Company
- Chemspec
- Chemtec Chemicals B.V.
- Dane Group
- DayGlo
- Dri-Eaz Products
- Dryvit Systems
- Ecoloc
- Euclid Chemical
- Fibergrate
- Fibregrid
- Flowcrete Group
- Grupo P&V
- Hummervoll Industribelegg
- Increte Systems
- Kop-Coat
- Legend Brands
- Lock-Tile
- Mantrose-Haeuser
- Nullifire
- Park Dis Ticaret
- Pettit Marine Paints
- Pipeline & Drainage Systems
- ProRestore Products
- PSI Packaging
- Radiant Color
- Republic Powderd Metals
- RPM Belgium
- RPM Building Solutions
- RPM Performance Coatings
- Sapphire Scientific
- Stonhard
- TCI Powder Coatings
- Tremco
- Tremco-illbruck
- TRIARCH
- Universal Sealants Ltd.
- ValvTect
- Vandex
- WTI
Consumer Companies
- CCI
- DAP
- Guardian Protection Products
- Mathys
- Modern Masters
- Mohawk Finishing Produts
- NatureSeal
- New Parks
- Okon , Inc
- Phenoseal
- RPM Wood Finishes
- Rust-OleumRust-OleumRust-Oleum is a maker of protective paints and coatings for home and industry use. It was founded in 1921 by Robert Fergusson after he noticed that raw fish oil spilled on rusty metal decks stopped corrosion from spreading....
- Testors
- Tor Coatings
- Wolman
- Zinsser
History
In May of 1947, Frank C. Sullivan founded Republic Powdered Metals, the forerunner to RPM International Inc. The company manufactured and sold a heavy-duty aluminum roof coating called Alumanation, which is still sold today. Sales in the first year reached $90,000. From the beginning Sullivan determined that the success of the business would rest with its people. “Hire the best people you can find,” he said. “Create an atmosphere that will keep them. Then, let them do their jobs.” RPM operates under this same philosophy today. Every year under his leadership, the company attained sales and earnings increases.In August of 1971, Frank Sullivan died suddenly. Later that same year, RPM, Inc. was formed to become a holding company to develop a more aggressive acquisition program in a rapidly consolidating paint and coatings industry. Frank’s son, Thomas C. Sullivan, who was previously president of Republic Powdered Metals, became chairman and chief executive officer of the holding company. He and James A. Karman, who was elected president and chief operating officer in 1978, led RPM for more than three decades.
After more than 30 years at the company’s helm, Sullivan and Karman retired as executive officers of the company in 2002. During their tenure, net sales increased to $2 billion from $11 million, net income increased to $101.6 million from $0.6 million, cash dividends per share increased to $0.50 from $0.0035 (split-adjusted), and a $1,000 investment in RPM shares in 1971 would have been worth more than $100,000.
Tom was succeeded by his son, Frank C. Sullivan, who became president and chief executive officer in 2002. He has continued to lead the company in a manner consistent with the legacy created by his father and grandfather before him. RPM’s strategy for growth remains to: establish and maintain brand leadership in the markets it serves, strike a balance between industrial and consumer markets, generate growth both organically and through acquisitions, and to maintain an entrepreneurial operating culture.