1. PPG INDUSTRIES AND CONSOLIDATED SUBSIDIARIES
CONDENSED STATEMENT OF OPERATIONS (unaudited)
(All amounts in millions except per-share data)
3 Months Ended 6 Months Ended
June 30 June 30
2007 2006 2007 2006
Net sales $ 3,173 $2,824 $ 6,090 $5,462
Cost of sales, exclusive of depreciation and amortization 2,017 1,747 3,902 3,438
Selling and other 653 573 1,275 1,108
Depreciation 90 84 177 166
Interest 23 21 45 41
Amortization 15 10 29 19
Asbestos settlement - net 8 8 17 17
Business restructuring - 2 - 37
Other - net (Note A) (29) (26) (31) (38)
INCOME BEFORE INCOME TAXES AND MINORITY
INTEREST 396 405 676 674
Income tax expense (Note B) 124 107 192 173
Minority interest 23 18 41 37
NET INCOME (Note C) $ 249 $ 280 $ 443 $ 464
Earnings per common share $ 1.51 $ 1.69 $ 2.69 $ 2.80
Earnings per common share - assuming dilution $ 1.50 $ 1.68 $ 2.67 $ 2.79
Average shares outstanding 164.8 165.9 164.7 165.9
Average shares outstanding - assuming dilution 166.4 166.9 166.1 166.7
Note A:
The three and six months ended June 30, 2006 includes pretax earnings of $20 million for net legal and insurance matters.
Note B:
Income tax expense for the three and six months ended June 30, 2006 includes the favorable impact of a settlement with the IRS of
our 2001 - 2003 tax returns totaling $22 million or $0.13 per share.
Note C:
The three and six months ended June 30, 2006 includes aftertax earnings of $12 million for net legal and insurance matters.

2. BALANCE SHEET HIGHLIGHTS (unaudited)
June 30 June 30
2007 2006
(millions)
Current assets:
Cash and cash equivalents $ 197 $ 419
Receivables - net 2,583 2,248
Inventories 1,480 1,273
Other 691 577
Total current assets 4,951 4,517
Current liabilities:
Short-term debt and current portion of long-term debt $ 216 $ 139
Asbestos settlement 601 560
Accounts payable and accrued liabilities 2,145 1,939
Total current liabilities 2,962 2,638
Long-term debt 1,151 1,196

3. BUSINESS SEGMENT INFORMATION (unaudited)
3 Months Ended 6 Months Ended
June 30 June 30
2007 2006 2007 2006
(millions)
Net sales
Performance and Applied Coatings $ 974 $ 774 $ 1,829 $ 1,452
Industrial Coatings 943 811 1,812 1,579
Optical and Specialty Materials 296 262 576 494
Commodity Chemicals 380 372 751 773
Glass 580 605 1,122 1,164
TOTAL $ 3,173 $ 2,824 $ 6,090 $ 5,462
Segment income
Performance and Applied Coatings $ 159 $ 145 $ 280 $ 250
Industrial Coatings 109 104 204 195
Optical and Specialty Materials 71 61 138 117
Commodity Chemicals 57 86 101 173
Glass 50 53 70 88
TOTAL 446 449 793 823
Legacy costs (Note A) (6) 11 (11) (1)
Asbestos settlement - net (8) (8) (17) (17)
Interest - net (20) (18) (39) (35)
Restructuring - (2) - (37)
Unallocated stock based compensation (Note B) (9) (10) (18) (18)
Other unallocated corporate expenses (7) (17) (32) (41)
INCOME BEFORE INCOME TAXES AND MINORITY
INTEREST $ 396 $ 405 $ 676 $ 674
Note A:
Legacy costs include current costs related to former operations of the Company, including certain environmental remediation,
pension and other postretirement benefit costs and certain charges which are considered to be unusual or non-recurring. In the
second quarter of 2006, these costs included pretax income of $28 million for an insurance recovery.
Note B:
Unallocated stock based compensation includes the cost of stock options, restricted stock units and contingent share grants which
are not allocated to the operating segments.