Rexam successful US bond issue

24 October 2012

Rexam signs successful US bond issue

Rexam PLC the global consumer packaging company, confirms that, in anticipation of c £1bn of bonds maturing in the first half of 2013, it has now signed the documentation relating to a total issue of c USD750m of senior notes in the US private placement market. This comprises USD545m of notes due 18 December 2022, EUR25m of notes due 18 December 2022 and USD175m of notes due 18 December 2024. The average coupon on these new notes is just over 4%, compared with an average coupon of c 6% on the expiring notes. Owing to the timing of the maturity of the existing c£1bn bonds, the benefit of this lower interest rate will be realised from the second half of 2013.

A delayed funding of these notes has been agreed with investors and therefore, following completion of customary conditions precedent to drawdown, the bonds will fund in two tranches on 18 December 2012 and 3 January 2013.

David Robbie, Rexam's Finance Director, commented: "We are pleased to have signed the transaction successfully at a significantly lower coupon than our maturing bonds. Rexam has a strong capital structure and having significantly strengthened our balance sheet, we only sought to refinance a portion of the £1bn of bonds due to mature in 2013."

Investors

Sandra Moura, Head of Investor Relations +44 20 7227 4100

Jon Drown, Director Group Treasury

Media

Tulchan Communications: +44 20 7353 4200

Katharine Wynne, Martin Robinson

Jonathan Thornton, Director Corporate Communications +44 20 7227 4100