Weeks: 'We are confident in ability to deliver sustainable
secular growth'
CORNING, N.Y.; APRIL 27, 2017 - Speaking at
the company's annual meeting of shareholders this morning, Wendell
P. Weeks, Corning Incorporated's (NYSE: GLW) chairman, chief
executive officer, and president, told the audience that Corning is
strong. "We have delivered solid financial performance, advanced
key innovation programs, strengthened Corning's portfolio with
strategic transactions, and returned cash to shareholders through
stock buybacks and double-digit dividend increases. Most
importantly, we have continued to live the values that make Corning
such an extraordinary company," he said.
2016 Performance and 2017
First-Quarter Results
Weeks began by briefly reviewing Corning's 2016 performance.
Highlights include:
- Awarded a record 458 U.S. patents;
- Introduced new products, including Corning®
Gorilla® Glass 5;
- Won the majority of platforms awarded for gas
particulate filters;
- Made strategic acquisitions to expand the
company's product portfolio and increase its market access in
Optical Communications; and
- Realigned interest in Dow Corning Corporation,
unlocking $4.8 billion dollars in cash.
Weeks acknowledged that Corning got off to "a
rough start" in 2016, but turned things around and delivered strong
year-over-year growth in the second half. He told shareholders that
the company was continuing this momentum in the first quarter of
this year. On Tuesday, Corning reported first-quarter results that
included year-over-year growth in sales, net income, and
earnings-per-share.
Weeks also told shareholders, "How we do things is
as important as what we achieve." He shared several examples of how
the company was living its values, including earning its second
Sustained Excellence award and fourth consecutive Energy Star
Partner of the Year award from the U.S. Environmental Protection
Agency.
"I think you'll agree that Corning is not only a
company that delivers strong results, but also one you can be proud
of," he said.
Strategy and Capital Allocation
Framework
Weeks reminded shareholders that as part of the company's Strategy
and Capital Allocation Framework, Corning expects to generate
between $26 billion and $30 billion between 2016 and 2019. The
company is investing $10 billion to grow and sustain its
leadership. Corning also plans to distribute more than $12.5
billion to shareholders through share repurchases and annual
dividend increases of at least 10%.
"We're making good on that commitment," said
Weeks. In February, the company announced a 14.8% increase to its
quarterly dividend. And over the past 18 months, Corning has
returned more than $6.5 billion to shareholders. The company is
also committed to investing $10 billion to sustain its leadership
and deliver business growth over the long term. Turning to the
company's focused portfolio, Weeks described how Corning was
capturing opportunities across its five market-access
platforms.
Weeks concluded: "We are confident in Corning's
ability to deliver sustainable secular growth. But we are also
confident that we can continue doing what Corning does best -
transforming industries, enhancing people's lives, and delivering
long-term value."
Formal Business
During the meeting's formal business, shareholders elected the
following 13 directors to one-year terms: Donald W. Blair, 59;
Stephanie A. Burns, 62; John A. Canning Jr., 72; Richard T. Clark,
71; Robert F. Cummings Jr, 67; Deborah A. Henretta, 55; Daniel P.
Huttenlocher, 58; Kurt M. Landgraf, 70; Kevin J. Martin, 50;
Deborah D. Rieman, 67; Hansel E. Tookes II, 69; Wendell P. Weeks,
57; and Mark S. Wrighton, 67. The advisory shareholder vote
approved the executive compensation and was in favor of an annual
vote on executive compensation. Shareholders also ratified the
appointment of PricewaterhouseCoopers as the company's independent
registered public accounting firm for 2017 and re-approved the
material terms of the performance goals under the company's 2012
Long-Term Incentive Plan.
Special
Presentation
Following the meeting, Eric S. Musser, executive vice president of
Corning Technologies and International, provided an overview of
Corning's opportunities in the automotive market-access platform.
He told shareholders that Corning's innovations "enable cleaner,
safer, and more connected vehicles." Musser noted that Corning®
Gorilla® Glass has the potential to become "as common in cars as it
is on mobile devices." He also described Corning's opportunity in
gas particulate filters (GPFs) for gasoline direct-injection
engines, which represent approximately one-third of today's market.
He told shareholders that GPFs could increase Corning's sales
potential per vehicle by a factor of three-to-four.
Webcast Information
The company hosted a live webcast of the 2017 annual meeting of
shareholders in Corning, New York, from 11 a.m. to 12:15 p.m. EDT,
April 27, 2017. To access the webcast, please go to
www.corning.com/investor_relations, select "Events" and click on
"More Information" next to the annual meeting event. No
password is required. The webcast will be archived on the website
for one year.
Forward-Looking and Cautionary
Statements
This press release contains "forward-looking statements" (within
the meaning of the Private Securities Litigation Reform Act of
1995), which are based on current expectations and assumptions
about Corning's financial results and business operations, that
involve substantial risks and uncertainties that could cause actual
results to differ materially. These risks and uncertainties
include: the effect of global political, economic and business
conditions; conditions in the financial and credit
markets; currency fluctuations; tax rates; product demand
and industry capacity; competition; reliance on a concentrated
customer base; manufacturing efficiencies; cost reductions;
availability of critical components and materials; new product
commercialization; pricing fluctuations and changes in
the mix of sales between premium and non-premium products; new
plant start-up or restructuring costs; possible
disruption in commercial activities due to terrorist activity,
armed conflict, political or financial instability, natural
disasters, adverse weather conditions, or major health concerns;
adequacy of insurance; equity company activities; acquisition and
divestiture activities; the level of excess or obsolete inventory;
the rate of technology change; the ability to enforce patents;
product and components performance issues; retention of key
personnel; stock price fluctuations; and adverse litigation or
regulatory developments. These and other risk factors
are detailed in Corning's filings with the Securities and
Exchange Commission. Forward-looking statements speak only as
of the day that they are made, and Corning undertakes no obligation
to update them in light of new information or future events.
Digital Media
Disclosure
In accordance with guidance provided by the SEC regarding the use
of company websites and social media channels to disclose material
information, Corning Incorporated ("Corning") wishes to notify
investors, media, and other interested parties that it intends to
use its website
(http://www.corning.com/worldwide/en/about-us/news-events.html) to
publish important information about the company, including
information that may be deemed material to investors. The list of
websites and social media channels that the company uses may be
updated on Corning's media and website from time to time. Corning
encourages investors, media, and other interested parties to review
the information Corning may publish through its website and social
media channels as described above, in addition to the company's SEC
filings, press releases, conference calls, and webcasts.
About Corning
Incorporated
Corning (www.corning.com) is one of the world's leading innovators
in materials science. For more than 160 years, Corning has applied
its unparalleled expertise in specialty glass, ceramics, and
optical physics to develop products that have created new
industries and transformed people's lives. Corning succeeds through
sustained investment in R&D, a unique combination of material
and process innovation, and close collaboration with customers to
solve tough technology challenges. Corning's businesses and markets
are constantly evolving. Today, Corning's products enable diverse
industries such as consumer electronics, telecommunications,
transportation, and life sciences. They include damage-resistant
cover glass for smartphones and tablets; precision glass for
advanced displays; optical fiber, wireless technologies, and
connectivity solutions for high-speed communications networks;
trusted products that accelerate drug discovery and manufacturing;
and emissions-control products for cars, trucks, and off-road
vehicles.
Media Relations
Contact:
Daniel F.
Collins
(607)
974-4197
collinsdf@corning.com
Investor Relations
Contact:
Ann H.S. Nicholson
(607) 974-6716
nicholsoas@corning.com
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information contained therein.
Source: Corning Incorporated via Globenewswire
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