Masco Corporation’s Board of Directors has approved the strategic initiatives recommended by management under the leadership of Keith Allman, its president and chief executive officer. The strategic initiatives, which are designed to drive shareholder value over the mid- to long-term, are comprised of:

•  The spin-off of 100 percent of Masco’s Installation and Other Services businesses into an independent, publicly-traded company through a tax-free stock distribution to Masco’s shareholders

•  The implementation of a share repurchase program for an aggregate of 50 million shares of Masco’s common stock

•  The reduction of corporate expense and simplification of Masco’s organizational structure, resulting in an estimated charge of approximately $30 million over the next several quarters with anticipated company-wide annual savings of $35-40 million

“Today’s transformative actions reflect our continued commitment to enhance shareholder value through the active management of our portfolio, effective capital allocation, cost control, and organizational focus. As separate companies, both Masco and the Services Business will have greater flexibility to focus on and pursue their respective growth strategies,” Allman said. “In addition, the actions we are taking at the corporate office are intended to improve our cost position and drive value across our enterprise. Masco remains committed to creating shareholder value by profitably growing in branded building products.”

Masco’s Service Business management team will be comprised of Jerry Volas who is currently Masco Group president and will become the chief executive officer; Robert Buck,  who iscurrently Masco Contractor Services’ president and will become the president and chief operating officer and John Peterson, who is currently Masco Contractor Services’ chief financial officer and will become the chief financial officer.