Coatings Overview

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1 Wood Coatings 101

2 Coatings Overview Understanding Valspar and the Valspar Wood Division Basic Composition of Wood Coatings Types of Professional Wood Coatings Appropriate use of Finishes Stains and Sealers Troubleshooting/Tips Selecting the Correct Finish

3 Who is Valspar? Founded in 1806, headquartered in Minneapolis Worlds 6 th largest paint company Partners with the world s leading brands 80 worldwide locations 10,000 + employees Corporate sales $3.6 billion in 2010 Listed on NYSE (VAL) Service the Industrial, Architectural, Wood, and Packaging segments

4 Valspar Wood Our Mission To enhance and protect our customer s brand to help them succeed, for when it matters most by: Providing superior products and dependable results Partnering with our customer from start to finish Developing the most innovative solutions Providing market-leading color and style expertise

5 Valspar Wood - A Few of Our Customers

6 Solvent Based Wood Coatings

7 Definition of Lacquer A broad generic term referring to blend of solvents and synthetic resins, which when applied to a substrate form a solid film that enhances the beauty, changes the color or appearance, and provides durability.

8 Wood Coating Families Nitrocellulose Lacquer Pre-Catalyzed Lacquer Post-Catalyzed Lacquer Conversion Varnish Water-based Finishes Two Component Urethane* Polyester* UV Curable* *Outside the scope of Coatings 101

9 Typical Composition of Coatings Resins/Binders The primary film producing agent Modifying Resins Enhance performance, durability, flexibility, etc Solvents Carrier for the resin system Pigments Color particles that might be dispersed in the finish Additives Components to improve flow, sandability, alter sheen, improve mar resistance, provide anti-yellowing, or any number of other variables.

10 How Do Coatings Dry? Evaporative finishes Solvent evaporates, leaving resins that pack together to form film Film will re-dissolve if solvent is reintroduced One coat will burn in to another coat Examples: NC Lacquer Reactive finishes Solvent evaporates and chemical cross-linking occurs Finishes adhere by mechanical adhesion (sanding) Examples: Pre-Catalyzed Lacquers, Conversion Varnishes

11 Nitrocellulose Lacquer Nitrocellulose resin Dries by solvent evaporation Dissolves previous coat Fast dry Easy touch-up Polishes easily to a high gloss Yellows easily Lower in solids Limited impact or abrasion resistance Commonly furniture finish Not recommended for cabinetry where moisture is an issue

12 Luster Lac Professional Basic chemistry-28% solids nitrocellulose/maleic Amber lacquer - slightly yellow in the can. No UV screen agent added. Ideal for interior wood fixtures such as molding, door frames & millwork Typically used by painting contractors where low cost finish is desired For areas where moisture/chemical/scratch/uv resistance not required. Not Intended for kitchen or bath Should not be used over light colored stains/finishes because of natural amber color Available in white, clear & black

13 Luster Lac Premium BasicChemistry-25% solids Nitrocellulose/Alkyd Water White lacquer - water clear in the can. UV screen agent added to aid in slowing the yellowing of the coating Furniture grade lacquer. More durable than Luster Lac Professional Not intended for kitchen or bath cabinets Should not be used over light colored stains/finishes where yellowing will be an issue Available in clear and white

14 Pre-Catalyzed Lacquer Cross linking resin (typically urea) Alkyd, nitrocellulose, plasticizer Solvent evaporation & chemical reaction Catalyst added at point of manufacture Shelf life considerations (6 12 months) Attains full chemical resistance properties in 1-2 weeks Improved scratch, mar, abrasion, and moisture resistance Common finish used by custom furniture and kitchen cabinets makers

15 Valtec Pre-Catalyzed Lacquer 27% solids self-sealing pre-catalyzed lacquer Recommended for most interior wood finishing applications including kitchen and bathroom cabinets Passes all KCMA durability testing Contains UV absorbers, resists yellowing Easy touch-up Available in clear Widely used coating for many applications

16 Post-Catalyzed Lacquer Combine properties of pre-cats and conversion varnish Less NC more alkyd / urea Catalyst added by Distributor or end user Pot life of 6 months once catalyzed Coating cures by solvent release, then by chemical reaction Cross-linking contributes to harder, more durable coating Typically higher solids than Pre-Cat

17 Valtec Ultra Conversion Lacquer 30% solids self-sealing catalyzed lacquer Approaches the durability of a conversion varnish in a pre-catalyzed form Catalyzed at the Distributor-6 month shelf life once catalyzed For any application where higher performance properties are required (i.e. chemical & abrasion resistance), but customer does not want to add catalyst Contains UV absorbers, resists yellowing Available in clear and white

18 Conversion Varnish Urea, alkyd, melamine & plasticizer Contains no nitrocellulose More durable than lacquers Requires catalyzation Pot-life considerations Requires more skilled application Ideal for cabinetry and commercial millwork Higher Solids/Higher Film Build

19 Valguard Conversion Varnish 41% solids clear, 63% solids white conversion varnishes Premium coating for interior fine woodworking For surfaces where superior chemical/abrasion resistance is required Passes all KCMA durability testing Best product for kitchen and bathroom cabinetry High solids white provides excellent finish for MDF (especially cabinet doors) Resists yellowing Available in clear & white

20 Summary of Common Finishes Conventional Lacquer Pre-Catalyzed Lacquer Post-Catalyzed Lacquer Conversion Varnish Valspar Product Luster Lac Professional, Luster Lac Premium Valpro Precat, Valtec Precatalyzed Lacquer Valtec Ultra Conversion Lacquer Valpro Conversion Varnish, Valguard Conversion Varnish Target Customer Painting contractors, furniture makers, refinishers Small to medium size furniture shops Small to medium size high-end industrial shops Small to larger size high-end industrial shops Typical Application Interior molding and door packages, furniture. Kitchen Cabinets, Furniture, Architectural Millwork Kitchen Cabinets, Furniture, Architectural Millwork Kitchen Cabinets, Furniture, Architectural Millwork Typical Solid Content Durability 20-28% by weight 24-28% by weight 30 % by weight 36-40% by weight Fair durability. Will not Pass KCMA Good durability, Typically passes KCMA testing Very good durability. Coating performance approaches that of a conversion varnish. Superior durability with excellent moisture, abrasion, and chemical resistance

21 Valspar/Competitor Cross Reference Conventional Lacquer Pre-Catalyzed Lacquer Post-Catalyzed Lacquer Conversion Varnish Valspar Luster Lac Professional, Luster Lac Premium Valpro Precat, Valtec Precatalyzed Lacquer Valtec Ultra Conversion Lacquer Valpro Conversion Varnish, Valguard Conversion Varnish Chemcraft Chemlak ES Lacquer, Opticlear Danspeed E-Var, Plastofix Gemini Coatings High Build, High Solids, CL series PC- 00XX Series, S59xx Series UL-Series CV-Series PCV-Series M.L.Campbell s High Build, Royalac Magnalac Magnamax Water White HP Lacquer Krystal, Klear Var Sherwin Williams Sherwood High Build, Sherwood Finish Lacquer Sherwood Precat, T77 High Solids Water White Precat V84F60 Series Conversion Varnish, V84F80 Series WW Conversion Varnish

22 Water Based Wood Coatings

23 Water Borne Finish Latex emulsion, acrylic hardener, plasticizer Coalescing solvents & water Emulsified resins create milky appearance in can More durable than conventional NC lacquers More susceptible to environment during application/cure Available as conventional/non-catalyzed, pre-catalyzed, or post-catalyzed

24 Water versus Solvent Based Finishes Conventional Wisdom Pros More environmentally friendly - lower VOC and HAPS Isocyanate and formaldehyde free Reduce hazardous material disposal Greatly reduced fire risk reduced insurance cost Typically offer good scratch resistance Tend to be higher in Volume Solids good film build, higher coverage per gallon Resists Yellowing Lower odor Cons Usually slower drying times More grain raise Coating may have a cloudy appearance More affected by environmental conditions Humidity, Temperature Equipment considerations Works better with conventional or HVLP than air-assisted airless Prices may run 10% to 20% higher

25 Zenith Waterborne Finishing System Latest generation of waterborne technology Lacquer, Pre-catalyzed lacquer and Conversion Varnish Coating performance that equals or surpasses equivalent solvent based coatings Exceptional clarity and leveling properties Passes stringent Greenguard certification for Indoor Air Quality Full system. Stains, glazes, solid color paints and clear topcoats

26 Summary of Zenith Waterborne Finishes Zenith Waterborne Lacquer Zenith Pre-Catalyzed Lacquer Zenith Conversion Varnish Target Customer Finishing and painting contractors, furniture makers, refinishers Finishing and painting contractors, furniture makers, refinishers, cabinet/millwork shops Small to larger size high-end industrial shops Typical Application Interior molding and door packages, household furniture, children s furniture Kitchen cabinets, fine furniture, architectural millwork Kitchen cabinets, architectural millwork, restaurant/institutional furniture Solid Content 30% by weight 35% by weight 38% by weight Durability Good durability, but not intended for use in high moisture/high wear areas Excellent durability, exceeds KCMA standards Superior durability with excellent moisture, abrasion, and chemical resistance; exceeds KCMA

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