Sandefjord, Norway, 13 February 2020
The Board of Directors
Jotun A/S
Odd Gleditsch d.y.
Chairman
Richard Arnesen
Einar Abrahamsen
Nicolai A. Eger
Birger Amundsen
Peter Arne Ruzicka
Terje Andersen
Per Kristian Aagaard Morten Fon
President & CEO
can have a significant influence on year end
results. At the same time, events beyond the
company’s control, such as raw material prices,
the price of oil and currency fluctuations, can
impact profitability, representing a business
risk.
To mitigate these risk, steps are taken to
ensure more predictable results by controlling
manageable costs, expanding Jotun’s dealer
network in all segments and developing
specialised products and services that are in
demand, even when market forces do not work
to the company’s advantage. The Board will
continue to monitor business risk and finance
initiatives that will not only generate more
volume and profitability, but also result in more
predictable growth.
Growing concerns about climate change have
put pressure on the organisation to improve its
own environmental performance and develop
products and services that help end users in all
segments reduce environmental impacts. The
Board will continue to support investments
in research and development and initiatives
that reduce Jotun’s environmental footprint in
factories, such as solvent abatement systems,
energy-saving equipment and tools to track
carbon emissions. While there is more work
to be done, the Board is satisfied with Jotun’s
progress in this area.
Looking ahead, the Board anticipates
further growth in the Decorative Paints and
Protective Coatings segments. Declines in
newbuilding orders in 2020 may impact growth
opportunities in the Marine Coatings segment.
In the Powder Coatings segment, the Board
is confident that the launch of specialised
products and the company’s strategic focus
plans will yield better results. Short term, the
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Corona virus will affect sales and profits in
China as well as other Asian markets. Longer
term, increased trade political and geopolitical
tensions as well as prospects for lower
global growth create increased uncertainty.
Otherwise, the Board remains committed to
Jotun’s core strategy, which focuses on organic
growth, diversified operations in four segments
and a differentiated approach that allows the
company to operate successfully in markets
with different needs.
BOARD OF DIRECTORS
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