France: Lafarge's Olivier Guilluy has said that the company will not decide on a winning bid for its gypsum unit before September 2011. The business, reportedly valued at around Euro800m, has attracted around 10 serious bids from a variety of established gypsum wallboard producers and new players.

"In principle there will be no decision before the back-to-school season (in September)," said Guilluy. "A price has not yet been set for the division." In June 2010, local press reported that private equity funds, including Kohlberg Kravis Roberts & Co. and Carlyle, were in the running alongside industrial buyers including US-based Eagle Materials.Sources close to the situation have said the gypsum unit may be sold by geographic zone, split into Europe, North America and Asia, depending on whether antitrust rules complicate the sale or not.

Despite the high level of interest, Guilluy added that Lafarge may yet scrap the sale, depending on a decision to be made by its CEO Bruno Lafont. Guilluy said, "The unit generated about 9% of group sales in 2010, with revenue of Euro1.4bn and a current operating profit of Euro58m."

France: The Annual General Meeting of Compagnie de Saint-Gobain shareholders was held on 9 June 2011 in Paris. Gérard Merstrallet and Denis Ranque were re-elected to the board of directors. Mrs Anne-Marie Idrac, Mrs Olivia Qiu and Mr Jacques Pestre were elected as directors to replace Robert Chevrier, Yuko Harayama and Bernard Cusenier respectively. Shareholders also approved the payment of a dividend of Euro1.15 per share (up 15% on the year), paid entirely in cash.

Saudi Arabia: National Gypsum Company has released its financial results for the year to 31 December 2010, which show a significant decline in its performance compared to 2009. The company's net profit was down by 40.7% to USD 14m. Sales were down by 24% from USD 54.1m in 2009 to USD 41.1m in 2010.

US: Like other makers of building products, United States Gypsum Company (USG), the US's largest maker of wallboard thrived during the US housing boom. But the company fell into the red in the fourth quarter of 2007 and is yet to climb out. With the anticipated housing rebound remaining elusive, average home prices in the first quarter of 2011 dropped to back to 2002 levels. This weak housing demand has spurred fears the economy may yet return to recession, with further losses expected for USG in the coming months.

USG Chief Executive James Metcalf, joked in a recent interview at the company's headquarters that he was getting tired of being asked to speak at conferences about 'managing in turbulent times' and has declined to predict when his company will return to the black.

Metcalf said that the company was building more modern plants and couldn't have foreseen the precipitous drop in housing construction, currently running at around a quarter of the peak level. USG has cut its work force by about one-third, to about 9250, since the peak. It has shrunk wallboard production capacity by about 30%, closing eight wallboard plants and idling others. The company's prolonged slump shows the peril of relying heavily on any one part of the world, even a market as large as the US, which accounts for 77% of USG's sales.

That said, USG is trying to build up sales in China, parts of Latin America and a few other areas without going fully global. Metcalf said, "We're putting bets down now -- small bets." For now though, the company's top priority is surviving the US housing collapse.