Ball Acquires Neuman Aluminum

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Jul 26, 2010, 04:00 ET

BROOMFIELD, Colo., July 26 /PRNewswire-FirstCall/ --

Key Points

Ball has acquired the leading North American maker of aluminum slugs used to make extruded aerosol cans, beverage bottles, aluminum collapsible tubes and technical impact extrusions.
This strategic acquisition provides Ball with additional metal forming technology, brings access to new markets.
Ball expects the transaction to be accretive in its first year of operation, and after-tax returns from the acquired business to exceed Ball's return requirements.

Ball Corporation (NYSE: BLL) announced today that it has acquired Neuman Aluminum, the leading North American manufacturer of aluminum slugs used to make extruded aerosol cans, beverage bottles, aluminum collapsible tubes and technical impact extrusions. The transaction price was not disclosed.

Neuman Aluminum operates plants in Verona, Va., and Sherbrooke, Quebec, which produce aluminum disks, or slugs, that are converted into premium packaging for personal care, household, beverage and other products.

"This strategic acquisition is an investment by Ball in a business that has technology to access new markets and opportunities to grow Ball's packaging platform," said Raymond J. Seabrook, executive vice president and chief operating officer, global packaging operations.

Neuman Aluminum had sales of approximately $128 million in 2009. The two plants, which employ about 180 people, will become part of Ball's metal food and household products packaging segment.

Ball Corporation is a supplier of high-quality packaging for beverage, food and household products customers, and of aerospace and other technologies and services, primarily for the U.S. government. Ball Corporation and its subsidiaries employ more than 14,000 people worldwide and reported 2009 sales of more than $7.3 billion. For the latest Ball news and for other company information, please visit www.ball.com.

Forward-Looking Statements

This release contains "forward-looking" statements concerning future events and financial performance. Words such as "expects," "anticipates," "estimates" and similar expressions are intended to identify forward-looking statements. Such statements are subject to risks and uncertainties which could cause actual results to differ materially from those expressed or implied. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Key risks and uncertainties are summarized in filings with the Securities and Exchange Commission, including Exhibit 99.2 in our Form 10-K, which are available at our Web site and at www.sec.gov. Factors that might affect our packaging segments include fluctuation in product demand and preferences; availability and cost of raw materials; competitive packaging availability, pricing and substitution; changes in climate and weather; crop yields; competitive activity; failure to achieve anticipated productivity improvements or production cost reductions; mandatory deposit or other restrictive packaging laws; changes in major customer or supplier contracts or loss of a major customer or supplier; and changes in foreign exchange rates or tax rates. Factors that might affect our aerospace segment include: funding, authorization, availability and returns of government and commercial contracts; and delays, extensions and technical uncertainties affecting segment contracts. Factors that might affect the company as a whole include those listed plus: accounting changes; changes in senior management; the current global recession and its effects on liquidity, credit risk, asset values and the economy; successful or unsuccessful acquisitions, joint ventures or divestitures; integration of recently acquired businesses; regulatory action or laws including tax, environmental, health and workplace safety, including in respect of climate change, or chemicals or substances used in raw materials or in the manufacturing process; governmental investigations; technological developments and innovations; goodwill impairment; antitrust, patent and other litigation; strikes; labor cost changes; rates of return projected and earned on assets of the company's defined benefit retirement plans; pension changes; reduced cash flow; interest rates affecting our debt; and changes to unaudited results due to statutory audits or other effects.

SOURCE Ball Corporation