1st May 2008 07:01
Rexam PLC01 May 2008 Rexam PLC AGM and Interim Management Statement 1 May 2008 Rexam PLC is issuing its first Interim Management Statement for 2008, ahead ofits Annual General Meeting to be held today at 11:00 a.m. at Church House,Dean's Yard, Westminster, London SW1P 3NZ. At the AGM, the Chairman will makethe following Interim Management Statement regarding the Group's performance forthe first three months of the current year. Group results for the first quarter in constant currency were in line with ourexpectations, and our outlook for 2008 remains unchanged. Our Beverage Can business is performing well overall. In Europe, we have seengood pricing and particularly strong volume growth. In the Americas, volumesremain buoyant in South America, whilst in the US demand for soft drinks canshas started the year slowly, with volumes down for both Rexam and the market.After a strong fourth quarter in 2007, our specialty can volumes have startedquietly, but it is still very early in the season. Good pricing, contractualinflation escalators as well as a continued focus on efficiencies have offsethigher input costs. Plastic Packaging overall is performing as expected. Demand for Closures andHome and Personal Care continues to be soft in North America, as indicated atthe time of our 2007 results announcement in February, however, we have seenstrong performances in Dispensing Systems and Healthcare. The integration of OIPlastics is progressing well. While resin prices have increased, the vastmajority of these higher costs are being contractually passed through tocustomers. The stability of the US dollar, and more significantly, the strengthening of theEuro, has benefited our first quarter results when translated into sterling. Ifcurrency rates remain at current levels1 for the remainder of 2008, foreignexchange translation would benefit our profit before tax for the year byapproximately £20 million versus 2007. Since the end of 2007 we have completed the acquisition of Rostar for $297million, continued with our growth capex programme and have started to buildinventory levels for the peak beverage can summer season. Taking into accountthese factors and the normal seasonality of our business, net debt remains inline with our plans. Commenting on current trading, Leslie Van de Walle, Rexam's Chief ExecutiveOfficer said: "Rexam has made a good start to the year and we are particularlypleased with our Beverage Can growth in Europe. Plastic Packaging is performingas expected. Our trading outlook for 2008 remains unchanged." 1. 2007 reported average €1.46/£1.00; 2008 current spot €1.26/£1.00 2007 reported average $2.00/£1.00; 2008 current spot $1.97/£1.00 Enquiries Rexam Leslie Van de Walle, Chief Executive Officer +44 20 7227 4100David Robbie, Finance DirectorSandra Moura, Head of Investor Relations Financial DynamicsRichard Mountain +44 20 7269 7291 Rexam will host a conference call for investors and analysts on Thursday 1 Mayat 08:00 (UK time). Participants dial-in no: +44 (0) 1452 569 393Call reference: 43918791 A replay service will be available until 8 MayDial-in no: +44 (0) 1452 550 000Password: 43918791# Notes to Editors Rexam is the #2 global consumer packaging company. It is the leading globalbeverage can maker, and a major global player in rigid plastic packaging. Ourvision is to be the leading global consumer packaging company. We are businesspartners to some of the world's most famous and successful consumer brands aswell as young, entrepreneurial start-ups. We offer a broad range of packagingservices and solutions for different industries, using different materials andtechnologies. Three things characterise us - leadership in our industry, ourcommitment to innovation and our passion to deliver exceptional value. Rexam'ssales from ongoing operations are approximately £3.6 billion. We employ some22,300 people in more than 20 countries and are a member of the FTSE 100.Rexam's ordinary shares are listed with the UK Listing Authority and trade onthe London Stock Exchange under the symbol REX. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
REX.L