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Brambles Industries (BI.)

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Wednesday 23 June, 2004

Brambles Industries

Brambles streamlines CHEP

Brambles Industries PLC
23 June 2004

Brambles Industries plc
Registered number: 4134697

23 June 2004

                     Brambles streamlines CHEP organisation
                          Full year outlook reaffirmed

Brambles today announced changes in the organisational structure of its pallet
and container pooling business, CHEP, to streamline business processes.

A key component is the creation of two regional groups for CHEP, each reporting
directly to Brambles' Chief Executive Officer, David Turner. They are:

- CHEP Europe, comprising the operations in Europe, Africa and Asia-Pacific; and
- CHEP Americas, comprising the operations in North and South America.

Mark Luby, who is successfully leading the restructuring of CHEP Europe, will
become President of the combined CHEP Europe, Africa and Asia-Pacific
organisation. David Mezzanotte, who has successfully led the turnaround in CHEP
USA, will become President of CHEP Americas.

Both Mark and David will join the Brambles Executive Committee.

The CHEP global management structure will be eliminated, although certain key
functions such as IS, Marketing, Product Development and Operations will
continue to be managed globally under the new structure, reporting to Mark and
David. Victor Mendes, CEO of CHEP, will complete the transition of his executive
responsibilities on 30 June 2004 but will be available for a further three
months to consult with the Board, as required.

David Turner said, 'The work that Victor and the team have done to refocus CHEP
on its core competencies and the fundamental drivers of growth means the
business is now in a stronger position to deliver sustainable growth and sound
returns for shareholders. Victor has contributed significantly to CHEP in a
period of very positive change and is leaving the group with our very best

'The reorganisation of CHEP will result in increased regional accountability and
operational efficiency, and reflects Brambles' continuing focus on operating
with the most cost-effective organisation.'

The pre-tax cost of the reorganisation is estimated to be £6 million / A$15
million, and will be included as an operating exceptional item under UK GAAP and
as a significant item under Australian GAAP in the accounts to 30 June 2004. The
reorganisation is expected to result in a pre-tax benefit at least equal to the
cost of the reorganisation within 12 months.

Brambles reaffirms its full year outlook, as announced in its 26 May 2004
trading update. In that update, Brambles confirmed that CHEP is expected to
deliver strong growth in profit in the second half of 2004 (compared with both
the first half of 2004 and the second half of 2003) due to good performance in
all regions. Brambles' outlook for the year ended 30 June 2004 remains unchanged
from the Interim Results statement on 25 February 2004.


(a)  Profit is defined as profit before interest, tax, goodwill amortisation and
     exceptional items.

(b)  Relative profit performances in this announcement are based on constant
     comparisons. Constant currency is calculated by translating foreign
     currency results at
     the exchange rates applicable during the last year.

For further information


Investor    Sue Scholes, Head of Investor Relations   +44 (0) 20 7659 6012

Media       Richard Mountain, Financial Dynamics      +44 (0) 20 7269 7291


Investor    John Hobson, Head of Investor Relations   +61 (0) 2 9256 5216
                                                      +61 (0) 414 239 188

Media       Jeannette McLoughlin                      +61 (0) 2 9256 5255
            Group General Manager Corporate           +61 (0) 401 990 425
            Communications                            (mobile)

             Brambles' global headquarters is in Sydney, Australia

                      This information is provided by RNS
            The company news service from the London Stock Exchange

a d v e r t i s e m e n t