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                                                                    EXHIBIT 10.3


                             PPG Industries, Inc.
             Executive Officer Annual Incentive Compensation Plan

I.   Purpose
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     The purpose of the PPG Industries, Inc. Executive Officer Annual Incentive
Compensation Plan (the "Annual Plan") is to attract and retain highly qualified
employees, to obtain from each the best possible performance, to establish a
performance goal based on Consolidated Earnings for Incentive Compensation
Awards for covered executive officers and to underscore the importance to
employees of increasing consolidated earnings for PPG Industries, Inc.

II.  Definitions
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     For the purposes of the Annual Plan, the following terms shall have the
following meanings:

     A.    Annual Pool.  The Incentive Compensation Pool established pursuant to
Section IV of the Annual Plan.

     B.   Award Period.  An award period under the Annual Plan shall be the
fiscal year of the Company with respect to Incentive Compensation Awards.

     C.   Board of Directors.  The Board of Directors of PPG Industries, Inc.

     D.   Change of Control.  This term shall have the meaning in Section IX.D
of the Incentive Compensation Plan.

     E.   Committee.  The Officers and Directors Compensation Committee of the
Board of Directors or any successor thereto.

     F.   Company.  PPG Industries, Inc. and its subsidiaries.

     G.   Consolidated Earnings.  Income from continuing operations of the
Company and its consolidated subsidiaries before deduction of income taxes and
minority interest, as shown in the Company's audited annual statement of income,
reduced by the pre-tax amount of non-recurring gains and increased by the
pre-tax amount of non-recurring charges. As such, income from continuing
operations will exclude the effect of extraordinary items, gain or loss on the
disposal of a business segment, and the cumulative effects of changes in
accounting principles, net of related tax effects, as determined in accordance
with generally accepted accounting principles.
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     H.   Covered Employee.  An employee who may be deemed to be a "covered
employee" within the meaning of Section 162(m) of the Internal Revenue Code of
1986, as amended, as such section may be amended.

     I.   Deferred Compensation Plan.  The PPG Industries, Inc. Deferred
Compensation Plan.

     J.   Incentive Compensation Award.  Any annual award paid to a Covered
Employee from the Annual Pool.

     K.   Incentive Compensation Plan.  The PPG Industries, Inc. Incentive
Compensation and Deferred Income Plan for Key Employees.

     L.   PPG Stock.  The common stock, par value $1.66 2/3 per share, of PPG
Industries, Inc.

III. Effective Date
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     The Annual Plan has been adopted as of January 1, 2001 and shall become
effective upon approval by the Company's shareholders at the Company's 2001
Annual Meeting of Shareholders.

IV.  Amounts Available for Incentive Compensation Awards
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     A.   An Annual Pool shall be established to which will be credited for each
fiscal year an amount equal to 1.0% of Consolidated Earnings for such year.

     B.    The maximum amount available for Incentive Compensation Awards to
Covered Employees for a fiscal year shall be limited by the total then in the
Annual Pool, and such Incentive Compensation Awards shall be chargeable against
the Annual Pool but need not exhaust such total.  Any balance remaining after
the making of Incentive Compensation Awards to Covered Employees will not be
available for future Incentive Compensation Awards to Covered Employees.

V.   Eligibility
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     Only Covered Employees are eligible to receive Incentive Compensation
Awards under the Annual Plan.

VI.  Determination of Amounts of Incentive Compensation Awards
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     The maximum Incentive Compensation Award payable with respect to any fiscal
year to a Covered Employee who is the Chief Executive Officer shall be equal to
30% of the Annual Pool for such year.  The maximum Incentive Compensation Award
payable with respect to the next two most highly compensated of the other
Covered Employees for any fiscal year shall be equal to 20% of the Annual Pool
for such year.  The maximum Incentive Compensation Award payable

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with respect to any fiscal year to each of the other Covered Employees shall be
equal to 15% of the Annual Pool for such year.

     Incentive Compensation Awards may be made either at or following the end of
the fiscal year to which they relate; provided, however, that no Incentive
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Compensation Awards shall be made to Covered Employees prior to the
certification by the Committee that the performance criteria have been met for
the relevant Award Period.

     The final amounts of Incentive Compensation Awards to Covered Employees
will be determined by the Committee.  The Committee may exercise negative
discretion to reduce the amount of, or to eliminate, an Incentive Compensation
Award that would otherwise be payable.  Such determinations, except in the case
of the Incentive Compensation Award for the Chief Executive Officer, shall be
made after considering the recommendations of the Chief Executive Officer and
such other matters as the Committee shall deem relevant.

VII. Form of Incentive Compensation Awards
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     Incentive Compensation Awards under the Annual Plan shall be made in cash
or in PPG Stock.

VIII.  Payment of Incentive Compensation Awards
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     A.   Incentive Compensation Awards under the Annual Plan shall be paid
currently, unless the payment is deferred by the Covered Employee or unless the
Committee shall determine that any Incentive Compensation Award shall be
deferred ("Deferred Awards").  Any Deferred Awards shall be credited to the
Covered Employee's account in the Deferred Compensation Plan and shall be
subject to the provisions of the Deferred Compensation Plan.

     B.   When an Incentive Compensation Award is made, the Company shall cause
the cash to be paid or the PPG Stock to be delivered to the individual to whom
the Incentive Compensation Award is made at the time or times specified by the
Committee, or, if no time or times are specified, as soon as practicable after
the Incentive Compensation Award is made, but in no event later than two and
one-half months after year end.

     C.    At the time any Incentive Compensation Award is made to Covered
Employees, the Annual Pool shall be reduced by the amount of such Incentive
Compensation Award, regardless of whether such Incentive Compensation Award is
in a lump sum or in installments, current or deferred.

IX.  Change in Control
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     A.   Upon, or in reasonable anticipation of, a Change in Control:

          1.   Incentive Compensation Awards in the form of cash shall be made
               for the year during which the Change in Control occurs, and then
               paid immediately

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               to a trustee on such terms as the senior Human Resources officer
               and the senior Finance officer, or either of them, or their
               successors, shall deem appropriate (including such terms as are
               appropriate to cause such payment, if possible, not to be a
               taxable event to Covered Employees) in order to cause the
               Incentive Compensation Awards so paid to be paid either not later
               than the end of the first calendar quarter following the end of
               the year to which the Incentive Compensation Awards relate or on
               a deferred basis in accordance with the elections of Covered
               Employees then in effect as to the timing of the receipt of
               Incentive Compensation Awards for such year.

          2.   Covered Employees who are eligible to receive an Incentive
               Compensation Award for the Annual Plan year in which a Change in
               Control occurs shall be eligible to receive an Incentive
               Compensation Award for the Annual Plan year following the Change
               in Control.

          3.   The amount of the Incentive Compensation Award payable to each
               Covered Employee shall be:

               one-half of the maximum Incentive Compensation Award payable
               (reduced by the application of the Committee's negative
               discretion, if applicable) to such person if the Change in
               Control occurs during the first six months of the year; or

               the full maximum Incentive Compensation Award payable (reduced by
               the application of the Committee's negative discretion, if
               applicable) to such person if the Change in Control occurs during
               the second six months of the year.

          4.   All Deferred Amounts shall be paid immediately to a trustee on
               such terms as the senior Human Resources officer and the senior
               Finance officer, or either of them, or their successors shall
               deem appropriate (including such terms as are appropriate to
               cause such payment, if possible, not to be a taxable event to
               Covered Employees) in order to give effect to the elections of
               Covered Employees with respect to the timing of the receipt of
               such Deferred Amounts.

     B.   Notwithstanding any other provision of this section, and subject to
Section VI hereof, if an Incentive Compensation Award ultimately made for such
Annual Plan year is greater than the Incentive Compensation Award made pursuant
to this section, the Covered Employee shall be entitled to the difference
between such Incentive Compensation Awards.  If the Covered Employee has elected
his/her Incentive Compensation Award to be deferred, payment of such difference
shall be made to a trustee in accordance with the provisions set forth in
subparagraph A.4 above.

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X.   Special Awards and Other Plans
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     Nothing contained in the Annual Plan shall prohibit the Company or any of
its subsidiaries from granting special performance or recognition awards, not
chargeable against the Annual Pool, under such conditions and in such form and
manner as it sees fit, to employees (including Covered Employees) for
meritorious service of any nature.

     In addition, nothing contained in the Annual Plan shall prohibit the
Company or any of its subsidiaries from establishing other incentive
compensation plans providing for the payment of incentive compensation to
employees (including Covered Employees), not chargeable against the Annual Pool.

XI.  Amendment and Interpretation of the Annual Plan
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     A.   The Board of Directors or the Committee shall have the right to amend
the Annual Plan from time to time or to repeal it entirely or to direct the
discontinuance of Incentive Compensation Awards either temporarily or
permanently; provided, however, that (i) no amendment of the Annual Plan shall
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operate to annul, without the consent of the Covered Employee, an Incentive
Compensation Award already made hereunder, and (ii) with respect to Incentive
Compensation Awards for Covered Employees, no amendment of the Annual Plan to
change the calculation of the Annual Pool or to change the percent of
Consolidated Earnings Credited to the Annual Pool, to change the maximum
Incentive Compensation Award of a Covered Employee, to change the definition of
Covered Employee or to change the definition of Consolidated Earnings, shall be
effective without approval by the shareholders of the Company.

     B.   The decision of the Committee with respect to any questions arising in
connection with the administration or interpretation of the Annual Plan shall be
final, conclusive and binding.

XII. Miscellaneous
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     A.   All expenses and costs in connection with the operation of the Annual
Plan shall be borne by the Company and no part thereof shall be charged against
the Annual Pool, other than the amounts of Incentive Compensation Awards to
Covered Employees under the Annual Plan.

     B.   All Incentive Compensation Awards under the Annual Plan are subject to
withholding, where applicable, for federal, state and local taxes.

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