20th Sep 2005 17:13
Compagnie de Saint-Gobain20 September 2005 press release September 20, 2005 Saint-Gobain's Packaging Sector expands in Eastern Europe's emerging countries Saint-Gobain's Packaging Sector has recently acquired majority stakes inUkraine-based Consumers Sklo Zorya and Russian companies Sitall andKavminsteklo. The acquisition of these glass packaging companies whose combined sales total 69million • in 2004 is in line with the strategy being pursued by Saint-Gobain'sPackaging Sector in emerging countries. With this move, Saint-Gobain extends itsnetwork of complementary glassworks in strong growth markets. Building on a tradition of glass manufacturing, a dynamic workforce, and thewealth of expertise brought by Saint-Gobain, these three glassworks will be ableto offer their customers glass packaging that meets the most stringent technicalrequirements. Saint-Gobain's Packaging Sector will oversee the ongoing development of thesesites and will offer its Eastern European customers a local source ofhigh-quality products bolstered by international best practices. These investments are implemented in collaboration with the European Bank forReconstruction and Development (EBRD), with which Saint-Gobain Packaging hasestablished a partnership, giving the bank an option on a minority stake in eachcompany. With over 20,000 employees across the globe and 78 manufacturing facilities inEurope, the Americas and China, Saint-Gobain's Packaging Sector is a world orEuropean leader in its three business areas: • the manufacture of glass bottles and jars for the food industry• the production of specialty glass bottles for the perfume, cosmetics and pharmaceutical industries• the manufacture of plastic pumps and other dispensing systems for household cleaners, personal and beauty care products, and pharmaceuticals In 2004, the Packaging Sector achieved total sales of €3.8 billion, representing12% of consolidated sales reported by the Saint-Gobain Group as a whole. Appendix - Presentation of the Glassworks Sitall (Russia) Sitall is a Russian glassworks specializing in premium packaging products. Basedin Roslav, 400km (250 miles) southwest of Moscow, Sitall had sales of close to20 million • in 2004. The manufacturing site already operates three furnaces producing bottles and afourth furnace is currently being built, which will focus solely onmanufacturing bottles for the perfume and cosmetics industries. Thanks to this acquisition, Saint-Gobain's Packaging Sector is set to become theleading manufacturer of perfume bottles in Russia, with an extensive productrange meeting the needs of both Russian and international customers based in theregion. The Sector also aims to develop its manufacturing facility to produce,in particular, bottles for the premium spirits market. Kavminsteklo (Russia) The Kavminsteklo glassworks is currently one of the top ten glass packagingmanufacturers in Russia. Founded in 1898, the Kavminsteklo manufacturing plantis located in Mineralnye Vody, in the Stavropol region of the northern Caucasus,in a wine-producing region also renowned for its natural mineral water. The glassworks achieved total sales of 26 million • in 2004. The plant's manufacturing facilities produce a range of 0.2-1.5l bottles in bothclear and green glass, designed for all beverage markets. Consumers Sklo Zorya (Ukraine) Consumers Sklo Zorya is located 320km (200 miles) west of Kiev in northwestUkraine. The glass manufacturing plant achieved total sales of 23 million • in2004 and produces bottles and jars, largely for the Ukrainian market. A leaderin the manufacture of premium glass, the plant also produces customizedcontainers for the liqueurs, soft-drinks and food sectors. Investor Relations Department Mrs Florence TRIOU-TEIXEIRA Tel.: +33 1 47 62 45 19Mr Alexandre ETUY Tel.: +33 1 47 62 37 15 Fax.: +33 1 47 62 50 62 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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