Graham Packaging Announces Planned Entry Into China With Agreement to Purchase China Roots Packaging PTE Ltd.

YORK, Pa., April 5 /PRNewswire-FirstCall/ -- Graham Packaging Company Inc. (NYSE: GRM) today announced that its subsidiary, Graham Packaging Company, L.P., expects to acquire China Roots Packaging PTE Ltd., a plastic container manufacturing company located in Guangzhou, China.  Graham Packaging has signed a Share Purchase Agreement to acquire from PCCS Group Berhad, a Malaysian company, 100% of the shares of Roots Investment Holding Private Limited, which will be the sole equity holder of China Roots. The transaction is expected to close during the second quarter of 2010.

China Roots operates a world-class container manufacturing plant in the Guangzhou Economic and Technological Development District. The plant makes plastic containers and closures for food, health care, and petrochemical products. Its customers include several global consumer product marketers.

The purchase of China Roots will be the first operation for Graham Packaging in China. "The purchase will open a new door for our company," said Mark Burgess, CEO for Graham Packaging. "China is undeniably a major market, and the opportunity to participate in its growth is very exciting for us."

Graham Packaging, based in York, Pennsylvania, is a worldwide leader in the design, manufacture and sale of technology-based, customized blow molded plastic containers for the branded food and beverage, household, personal care/specialty and automotive lubricants product categories. Graham Packaging has an extensive blue-chip customer base that includes many of the world's largest branded consumer products companies. It produces more than 20 billion container units annually at 80 plants in North America, Europe and South America.

Graham Packaging is a leading U.S. supplier of plastic containers for hot-fill juice and juice drinks, sports drinks, drinkable yogurt and smoothies, nutritional supplements, wide-mouth food, dressings, condiments and beers; the leading global supplier of plastic containers for yogurt drinks; a leading supplier of plastic containers for liquid fabric care products, dish care products and hard-surface cleaners; and the leading supplier in the U.S., Canada and Brazil of one-quart/liter plastic motor oil containers.

Forward Looking Statements

Information provided and statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 27A of the Securities Act, Section 21E of the Exchange Act and the Private Securities Litigation Reform Act of 1995. Such forward-looking statements only speak as of the date of this press release and Graham Packaging assumes no obligation to update the information included in this press release. Such forward-looking statements include information concerning Graham Packaging's possible or assumed future results of operations. These statements often include words such as "expect," "intend," or similar expressions. These forward-looking statements are not historical facts, and are based on current expectations, estimates and projections about Graham Packaging's industry, management's beliefs and certain assumptions made by management, many of which, by their nature, are inherently uncertain and beyond Graham Packaging's control. Accordingly, readers are cautioned that any such forward-looking statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict, including, without limitation, specific factors discussed herein and in other releases and public filings made by Graham Packaging (including its filings with the Securities and Exchange Commission). Although Graham Packaging believes that the expectations reflected in such forward-looking statements are reasonable as of the date made, expectations may prove to have been materially different from the results expressed or implied by such forward-looking statements. Unless otherwise required by law, Graham Packaging also disclaims any obligation to update its view of any such risks or uncertainties or to announce publicly the result of any revisions to the forward looking statements made in this press release.

SOURCE Graham Packaging Company Inc.