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Annual Report 1999 - Kemira

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colourants goes towards these products.<br />

Customized solutions and flexibility<br />

are increasingly important aspects of<br />

the tinting business. Paint Composer, a<br />

system that enables the user to select<br />

not only the colour of paint but also<br />

its grade or other characteristics, is already<br />

available in a demo and pilot<br />

version at Tikkurila.<br />

Tikkurila’s R&D expenses amounted<br />

to 3.3% of net sales in <strong>1999</strong>.<br />

The changeover to the year 2000<br />

took place without problems.<br />

THE FUTURE PROMISES<br />

STRONG GROWTH<br />

The paint industry is one of CPS’s<br />

main client sectors. In some cases the<br />

development of both the paint and<br />

tinting business has been clearly hampered<br />

by the conflict of interest arising<br />

from this dual role. This is why <strong>Kemira</strong><br />

has decided to separate these business<br />

areas clearly apart from each other.<br />

How this is to be done will probably<br />

be worked out during the first half of<br />

2000.<br />

The worldwide reorganization of<br />

the tinting business has resulted in a<br />

more market-oriented way of working,<br />

and it is believed that this will bring<br />

positive results. In the years ahead,<br />

strong growth in sales is anticipated in<br />

North and South America as well as<br />

Asia, and the prospects in Europe too<br />

are very favourable. Because marketing<br />

inputs only begin to produce results<br />

over the medium term, CPS has<br />

made outlays on cultivating several<br />

new market areas. The current year is<br />

expected to bring strong growth that<br />

also has good potential further out.<br />

Tikkurila Paints decorative paints<br />

and Tikkurila Coatings’ industrial coatings<br />

have promising growth prospects<br />

in Eastern Europe, especially in Poland<br />

and Russia. Growth within industrial<br />

coatings is also anticipated in the Baltic<br />

countries. The Tikkurila companies<br />

are striving to reinforce further their<br />

position in their existing markets. Concurrently,<br />

Tikkurila is on the lookout<br />

for new business opportunities and<br />

new market areas.<br />

The Valassaari Lighthouse on the west<br />

coast of Finland is the work of Henri<br />

Lepaute, who designed the Eiffel Tower.<br />

Thanks to paints supplied by Tikkurila<br />

Coatings, the graceful structure that<br />

was completed in 1886 will live on for<br />

years.<br />

In the summer of 2000 the European<br />

Swimming Championships will be held<br />

at the Mäkelänrinne Swimming Hall<br />

in Helsinki. Tikkurila Coatings<br />

supplied products that were used in<br />

painting the hall’s ceiling structures,<br />

and Tikkurila Paints’ products were<br />

used on the indoor walls.<br />

47

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