RNS Number : 2793A
31 January 2011
Rexam successfully completes Beverage Can contract negotiations
31 January 2011
In its November 2010 Interim Management Statement (IMS), Rexam PLC, the global consumer packaging company, stated that its Beverage Can North America customer contract negotiations were progressing well. Rexam has completed these negotiations and can confirm overall operating profit in Beverage Can North America in 2011 is expected to remain comparable to that in 2010 as improved pricing, new customers, continued growth in specialty cans and further cost control initiatives will offset the impact of lower net 12oz volumes. As a result of the negotiations, Rexam has diversified the customer base for all can sizes and has signed medium term contracts to recover most of the 2011 volume loss by 2013.
Rexam also stated in its IMS that its Beverage Can South America business continued to grow strongly, and that Rexam would continue to invest to meet the strong demand for beverage cans in this region. Since then, Rexam has signed a long term contract with its largest customer in Brazil which underpins future returns on Rexam's current capital investment plans.
Rexam will announce its preliminary results for the year ended 31 December 2010 on 23 February 2011.
Sandra Moura, Head of Investor Relations +44 20 7227 4100
Richard Mountain +44 20 7269 7291
Notes to Editors
Rexam is a leading global beverage can maker, and a major global player in rigid plastic packaging. Our vision is to be the best global consumer packaging company. We are business partners to some of the world's most famous and successful consumer brands as well as young, entrepreneurial start-ups. We offer a broad range of packaging services and solutions for different industries, using different materials and technologies. Three things characterise us - leadership in our industry, our commitment to innovation and our passion to deliver exceptional value. We employ some 22,000 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 on the London Stock Exchange under the symbol REX. For further information, visit Rexam's website at www.rexam.com
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