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New study finds: World Caps & Closures - The Freedonia Group

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<strong>New</strong> <strong>study</strong> <strong>finds</strong>:<br />

<strong>World</strong><br />

<strong>Caps</strong> & <strong>Closures</strong><br />

with forecasts to 2005 and 2010<br />

• Global demand for caps and closures is forecast to expand at an<br />

annual pace of nearly four percent through 2005, to 1.1 trillion units<br />

<strong>The</strong> best gains are expected in the world's emerging markets,<br />

especially Southeast Asia (particularly China) and Latin America<br />

In 2000, five firms -- Crown Cork & Seal (US), Aptar<strong>Group</strong> (US),<br />

Alcoa (US), Owens Illinois (US) and WhiteCap (Allianz -- Germany)<br />

-- accounted for almost one-fifth of global cap, closure and dispenser<br />

dollar sales


<strong>Freedonia</strong> Industry Study #1452<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong><br />

Study Publication Date: July 2001<br />

Price: $4,500<br />

Pages: 307<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong>, a new <strong>study</strong> from <strong>The</strong> <strong>Freedonia</strong><br />

<strong>Group</strong>, provides you with an in-depth analysis of the<br />

major trends in the world market for caps and closures and<br />

the outlook for product segments and major markets -critical<br />

information to help you with strategic planning.<br />

This brochure gives you an indication of the scope,<br />

depth and value of <strong>Freedonia</strong>'s new <strong>study</strong>, <strong>World</strong> <strong>Caps</strong> &<br />

<strong>Closures</strong>. Ordering information is included on the back<br />

page of the brochure.<br />

Brochure Table of Contents<br />

Study Highlights ............................................................................... 2<br />

Study Table of Contents and List of Tables and Charts ................... 4<br />

Sample Pages and Tables from:<br />

Market Environment.................................................... 6<br />

<strong>World</strong> Overview/Materials & Markets ........................ 7<br />

Supply and Demand by Country & Region ................. 8<br />

Market Share ............................................................... 9<br />

Company Profiles ...................................................... 10<br />

List of Companies Profiled ........................................ 11<br />

Forecasting Methodology ............................................................... 12<br />

About the Company ....................................................................... 13<br />

Advantages of <strong>Freedonia</strong> Reports ................................................... 13<br />

About Our Customers .................................................................... 14<br />

Related Studies ............................................................................... 15<br />

Ordering Information..................................................................... 16


2<br />

Study Highlights<br />

* Excluded from the <strong>study</strong> are caps or closures that are an<br />

integral part of the container (e.g., aerosol can valve assemblies,<br />

metal and composite beverage can tops, peel-up aluminum lids);<br />

home canning closures; container lids (e.g., those found on<br />

yogurt or cottage cheese containers); glass, rubber and paperboard<br />

closures; caps and closures used on industrial bulk<br />

containers; flexible (e.g., aluminum foil, twist tie) closures;<br />

champagne overcaps and capsules; and caps and closures used in<br />

nonpackaging applications such as valve covers, distributor caps,<br />

pen caps, food storage container lids, etc.<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong> #1452<br />

• Global demand for caps and closures is forecast to<br />

expand at an annual pace of nearly four percent<br />

through 2005, to 1.1 trillion units.<br />

Cap and closure sales will benefit from their increased<br />

use in conjunction with traditionally closureless<br />

packaging media such as gabletop and aseptic drink<br />

cartons, although inroads by metal drink cans and<br />

flexible packaging will limit potential gains.<br />

Plastic closures will continue to supplant traditional<br />

metal and (increasingly) cork types, supported by<br />

technological advances and the ongoing shift from glass<br />

to plastic and paperboard in consumer packaging<br />

applications such as soft drinks and pharmaceuticals.<br />

Beverages will continue to account for over two-thirds<br />

of cap and closure unit demand. Best gains in the<br />

beverage industry are expected among mineral waters<br />

and the increasingly popular "<strong>New</strong> Age" beverages<br />

such as ready-to-drink teas, isotonics and<br />

nutraceuticals.<br />

<strong>The</strong> best gains are expected in the world's emerging<br />

markets, especially Southeast Asia (particularly<br />

China) and Latin America.<br />

In 2000, five firms -- Crown Cork & Seal (US),<br />

Aptar<strong>Group</strong> (US), Alcoa (US), Owens Illinois (US)<br />

and WhiteCap (Allianz -- Germany) -- accounted for<br />

almost one-fifth of global cap, closure and dispenser<br />

dollar sales.<br />

<strong>Freedonia</strong> Industry Study


Study Highlights<br />

<strong>World</strong> Cap & Closure Demand<br />

(billion units)<br />

% Annual Growth<br />

Item 1990 2000 2005 2010 00/90 05/00<br />

Population (mil persons) 5266 6058 6424 6795 1.4 1.2<br />

C&C per capita 128 154 175 202 -- --<br />

Cap & Closure Sales 673 931 1127 Sample 1373 Table 3.3 3.9<br />

By Type:<br />

Plastic 209 417 560 743 7.2 6.1<br />

Metal & Cork 464 514 567 630 1.0 2.0<br />

By Region:<br />

North America 144 209 248 294 3.8 3.5<br />

Western Europe 190 199 212 227 0.5 1.3<br />

Asia/Pacific 154 279 371 495 6.1 5.9<br />

Other 185 244 296 357 2.8 3.9<br />

cents/unit 1.6 1.7 1.8 1.9 0.6 1.1<br />

Cap & Closure Sales (bil $) 11.1 16.0 20.4 26.2 3.7 5.0<br />

© Copyright by <strong>The</strong> <strong>Freedonia</strong> <strong>Group</strong>, Inc.<br />

Asia/Pacific<br />

30.0%<br />

<strong>World</strong> Cap & Closure<br />

Demand by Region, 2000<br />

Western Europe<br />

21.4%<br />

North America<br />

22.4%<br />

Other<br />

26.2%<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong> #1452 Order form on last page<br />

3


4<br />

Table of Contents I. EXECUTIVE SUMMARY<br />

Summary Table........................................................ 3<br />

Tables and Charts are featured for each region and<br />

country. Historical data and forecasts are presented<br />

for 1995, 2000, 2005 and 2010.<br />

For each country/region, the following are given:<br />

Population<br />

$ GDP per capita<br />

Gross Domestic Product<br />

% food & beverage<br />

Food & Beverage Value-Added<br />

$ <strong>Caps</strong> & <strong>Closures</strong>/capita<br />

$ <strong>Caps</strong> & <strong>Closures</strong>/000$ GDP<br />

$ <strong>Caps</strong> & <strong>Closures</strong>/000$ food & beverage<br />

Cap & Closure Sales<br />

cents/unit<br />

By Material:<br />

Plastic<br />

Metal<br />

Cork<br />

By Market:<br />

Beverages:<br />

Soft Drinks<br />

Beer<br />

Other<br />

Food<br />

Pharmaceuticals<br />

Other<br />

net exports<br />

Cap & Closure Shipments<br />

II. MARKET ENVIRONMENT<br />

General ........................................................................ 4<br />

<strong>World</strong> Economic Overview ......................................... 5<br />

Recent Economic Performance................................ 5<br />

Macroeconomic Outlook......................................... 8<br />

Table - <strong>World</strong> GDP by Region ............................. 9<br />

<strong>World</strong> Population Overview ........................................ 9<br />

Table - <strong>World</strong> Population by Region ..................... 11<br />

<strong>World</strong> Consumer Nondurables Trends ..................... 11<br />

Beverages ............................................................... 12<br />

Table - <strong>World</strong> Ready-to-Drink Beverage<br />

Consumption by Region .................................. 14<br />

Food ...................................................................... 15<br />

Table - <strong>World</strong> Food & Beverage<br />

Manufacturing Value-Added by Region ........... 17<br />

Pharmaceuticals ..................................................... 17<br />

Table - <strong>World</strong> Pharmaceutical<br />

Shipments by Region ....................................... 19<br />

Cosmetics, Toiletries & Cleaning Preparations..... 19<br />

Table - <strong>World</strong> Cosmetic, Toiletry & Cleaning<br />

Preparation Shipments by Region & Type ....... 22<br />

<strong>World</strong> Packaging Outlook ......................................... 22<br />

Environmental & Regulatory Overview ..................... 25<br />

International Trade ................................................... 28<br />

Table - Trade Flows in <strong>Caps</strong> & <strong>Closures</strong>............... 29<br />

III. CAP & CLOSURE MATERIALS & MARKETS<br />

Materials ................................................................... 30<br />

Table - <strong>World</strong> Cap & Closure<br />

Demand by Material ........................................... 31<br />

Chart - <strong>World</strong> Cap & Closure<br />

Demand by Material ........................................... 32<br />

Plastic .................................................................... 32<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong> #1452 <strong>Freedonia</strong> Industry Study


Table - <strong>World</strong> Plastic Cap & Closure<br />

Demand by Region .......................................... 34<br />

Metal ..................................................................... 35<br />

Table - <strong>World</strong> Metal Cap & Closure<br />

Demand by Region .......................................... 36<br />

Cork ...................................................................... 37<br />

Table - <strong>World</strong> Cork Closure Demand by Region .... 39<br />

Markets ..................................................................... 39<br />

Table - <strong>World</strong> Cap & Closure Demand by Market .... 40<br />

Chart - <strong>World</strong> Cap & Closure<br />

Demand by Market, 2000 ................................... 41<br />

Soft Drinks ............................................................ 41<br />

Beer ....................................................................... 43<br />

Other Beverages ..................................................... 45<br />

Food ...................................................................... 47<br />

Pharmaceuticals ..................................................... 47<br />

Other ..................................................................... 49<br />

IV. WORLD OVERVIEW<br />

<strong>World</strong> Demand Overview ......................................... 50<br />

Table - <strong>World</strong> Cap & Closure Demand by Region ..... 51<br />

Per Capita Consumption Trends .............................. 52<br />

Chart - Cap & Closure Demand Per Capita /<br />

Food & Beverage Value Added<br />

Per Capita Relationship, 2000 ............................ 54<br />

V. NORTH AMERICA<br />

General ...................................................................... 55<br />

United States ............................................................. 59<br />

Canada ...................................................................... 66<br />

Mexico ...................................................................... 72<br />

VI. LATIN AMERICA<br />

General ...................................................................... 80<br />

Brazil ......................................................................... 84<br />

Other Latin America ................................................. 91<br />

Market Environment<br />

VII. WESTERN EUROPE<br />

General ...................................................................... 99<br />

France ..................................................................... 107<br />

Germany ................................................................. 115<br />

Italy ......................................................................... 122<br />

Netherlands ............................................................. 129<br />

Spain ....................................................................... 135<br />

United Kingdom...................................................... 141<br />

Other Western Europe ............................................ 150<br />

VIII. EASTERN EUROPE<br />

General .................................................................... 157<br />

Russia ...................................................................... 161<br />

Other Eastern Europe ............................................. 168<br />

IX. AFRICA/MIDEAST<br />

General .................................................................... 175<br />

South Africa ............................................................ 179<br />

Other Africa/Mideast .............................................. 186<br />

X. ASIA/PACIFIC<br />

General .................................................................... 192<br />

Australia .................................................................. 197<br />

China ...................................................................... 204<br />

Japan ....................................................................... 211<br />

Other Asia/Pacific .................................................. 218<br />

XI. INDUSTRY STRUCTURE<br />

General .................................................................... 225<br />

Market Share .......................................................... 227<br />

Chart - <strong>World</strong> Cap & Closure<br />

Market Share, 2000........................................... 229<br />

Market Leaders & Competitive Strategies .............. 229<br />

Marketing................................................................ 233<br />

Mergers & Acquisitions .......................................... 234<br />

Table - Selected Acquisitions & Divestitures....... 236<br />

Cooperative Agreements ......................................... 240<br />

Table - Selected Cooperative Agreements ............ 241<br />

Company Profiles ............................................. 242-307<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong> #1452 Order form on last page<br />

5


6<br />

Market Environment<br />

<strong>The</strong> Market Environment Section<br />

discusses key indicators that drive<br />

demand for caps and closures, including<br />

packaging trends and <strong>Freedonia</strong>’s<br />

uniquely developed macroeconomic<br />

indicators.<br />

This information provides you with an<br />

understanding and an analysis of the<br />

climate in which the global caps and<br />

closures industry operates and helps<br />

you build your market strategy to<br />

sustain long-term growth.<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong> #1452<br />

<strong>World</strong> Packaging Outlook<br />

MARKET ENVIRONMENT<br />

<strong>The</strong> world market for rigid and flexible packaging in 2000 was estimated at<br />

upwards of $500 billion. <strong>The</strong> largest regional markets are North America,<br />

Western Europe and Asia, each of which accounts for between 25 and 30 percent<br />

SAMPLE PAGE<br />

of global demand. <strong>The</strong> remaining 15 percent or so is consumed by Latin America,<br />

Eastern Europe, Africa, the Mideast and Oceania. <strong>The</strong> world’s developing regions,<br />

while accounting for a relatively modest share of global demand, represent the<br />

fastest growing markets for most types of packaging. As these regions continue to<br />

develop and urbanize at a rapid pace, emerging middle classes with rising disposable<br />

incomes will be better able to satiate their appetites for packaged consumer goods.<br />

<strong>The</strong> packaging industry has become increasingly globalized in recent years, with<br />

leading producers like Crown Cork & Seal extending their reach into every region<br />

of the world. Several factors have contributed to the globalization process. Most<br />

importantly, the world’s largest packaging companies, many of which are based in<br />

North America or Western Europe, have sought to exploit the growth opportunities<br />

presented by developing markets as their home countries have become mature<br />

markets for packaged goods. As large consumer product companies ranging from<br />

Coca-Cola to Procter & Gamble have raised their international profile, their<br />

packaging suppliers have followed them into high growth foreign markets. <strong>The</strong><br />

advent of regional free trade pacts in Western Europe, North America and Latin<br />

America has also facilitated the internationalization of manufacturing industries,<br />

including packaging.<br />

Despite these trends, however, foreign trade in packaging per se (as opposed to<br />

either packaging raw materials or finished packaged goods) remains limited in most<br />

regions. This reflects the high cost of transporting empty containers, which take<br />

up a great deal of space relative to their low cost. Indeed, due to the significance<br />

of transportation costs and the importance of timely delivery, container manufac-<br />

© Copyright by <strong>The</strong> <strong>Freedonia</strong> <strong>Group</strong>, Inc.<br />

<strong>Freedonia</strong> Industry Study


<strong>World</strong> Overview/<br />

Materials & Markets<br />

<strong>The</strong> Overview Sections highlight the<br />

key issues that have affected the global<br />

caps and closures market over the past<br />

ten years and summarize contributing<br />

growth factors.<br />

This information helps you:<br />

• Focus your sales and marketing<br />

efforts on high growth areas.<br />

Propose new areas for development<br />

Materials - Cork<br />

CAP & CLOSURE MATERIALS & MARKETS<br />

Global demand for cork closures is projected to advance almost four percent per<br />

annum through 2005 to 17.4 billion units, slowing a bit from the 1995-2000 pace<br />

and slightly below the closure SAMPLE market average. PAGE However, sales will continue to<br />

outpace growth in world wine production.<br />

Growth of the world wine industry is among the most important indicators of cork<br />

demand, as well over 90 percent of cork stoppers are used to seal wine bottles.<br />

After peaking in the late 1970s, world wine output declined more-or-less steadily<br />

through the early 1990s. Since about 1993, however, production has again<br />

increased, bolstered by favorable weather conditions (which resulted in surplus<br />

European crops in the late 1990s), global economic expansion and new evidence<br />

of the potential health benefits of drinking moderate quantities of wine, especially<br />

red wine. Sales late in the decade, especially of sparkling wines, also received a<br />

boost from celebrations relating to the end of the millennium.<br />

Further gains are expected, although at a slower pace than during the past half<br />

decade. Moreover, cork demand will, at least in the near term, continue to rise<br />

faster than growth in wine output. <strong>The</strong> latter is the result of a number of factors,<br />

including use of a greater share of wine for direct consumption (e.g., as an<br />

ingredient in juices, foods and spirits); the popularity of higher-end varietals, which<br />

are more likely to be corked than sealed in other manners; moderating cork costs,<br />

as demand slows and new cork oak crops mature (approximately 120,000 hectares<br />

of highly productive new cork forests have been planted in Spain and Portugal);<br />

and the development of new SAMPLE applications (e.g., TABLE<br />

foods and personal care products)<br />

outside of the bedrock wine market.<br />

<strong>The</strong> pace of growth will slow, however, as the vast US market cools (largely in<br />

response to weakening consumer spending fundamentals) and corkless formats such<br />

as bag-in-box packaging gain ground. <strong>The</strong> greatest long term threat to cork<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong> #1452 Order form on last page<br />

7


8<br />

Supply & Demand<br />

by Country & Region<br />

<strong>The</strong>se Sections analyze supply and<br />

demand trends and consider the<br />

threats and opportunities in each<br />

country and region.<br />

Brazil - Cap & Closure Materials & Markets<br />

Australia - Cap & Closure Shipments & Sales<br />

LATIN AMERICA<br />

In value terms, cap and closure sales in Brazil are forecast to increase 6.3 percent<br />

per annum to $615 million in 2005. In unit terms, sales are projected to rise over<br />

five percent per annum to 55 billion units, accelerating from the 1990s pace.<br />

SAMPLE PAGE<br />

Recovery of the macroeconomy, and of the processed food and beverage industries<br />

in particular, will be the primary growth factors. Also important will be rapid<br />

growth of the noncarbonated drink markets, as well as the slowing penetration of<br />

large (e.g., 1.5- and two-liter) PET soft drink bottles.<br />

Item<br />

(million U.S. Plastics dollars) have made rapid inroads in the Brazilian closure market over the past<br />

decade, tracking the penetration of plastic bottles in the nonalcoholic beverage,<br />

food and consumer chemical markets. Metal closures will continue to lead the<br />

1990 mix, however, 1995 holding 2000 a large 2005 majority 2010 of the bedrock beverage market outside of<br />

the soft drink and (much smaller) wine markets, which are now respectively<br />

Population (mil persons) 17.1 18.1 19.0 19.9 20.7<br />

controlled by plastic and cork stoppers.<br />

$ GDP per capita South 17250 Africa 18840 - Cap 22260 & Closure 25030 Sales 27920 by Material & Market<br />

Gross Domestic Product (bil US98$) 295 341 423 498 578<br />

While Brazil consumes more (million soft drinks units) than beer, the latter has surpassed soft<br />

% food & bev 2.8 2.5 2.3 2.3 2.2<br />

Food & Bev Value-Added (bil US98$) 8.2<br />

drinks as<br />

8.6<br />

the largest<br />

9.9<br />

single cap<br />

11.3<br />

and closure<br />

12.8<br />

market over the past half decade or so.<br />

$ C&C/capita<br />

Item<br />

This largely reflects changes in the beverage packaging mix. While glass beer<br />

1990 1995 2000 2005 2010<br />

7.6 bottles have 8.4 lost share 9.5 to closureless 11.1 metal 12.8cans,<br />

growth in the beer market has<br />

$ C&C/000$ GDP Cap & Closure 0.44 meant Sales that 0.45 (mil demand $) 0.43 for beer bottles, 0.44 and 61 0.46 hence closures 69 such 80 as steel crowns, 100 has 125<br />

$ C&C/000$ food & bev cents/unit 15.9 fallen off 17.7 only modestly 18.2 since 19.5 the mid 0.77 20.7 1990s. By 0.81contrast, 0.84 glass soft 0.92 drink bottles 1.00<br />

in Brazil have been supplanted not only by cans but also by PET containers.<br />

Cap & Closure Sales Cap & Closure 130 While Sales the 152 latter also 180 use closures, 220 they 7880 tend 265 to 8475 be much larger 9480 than 10900 their glass 12555<br />

net exports<br />

counterparts; most fall into the one- to two-liter range, versus 300-milliliters for<br />

By Material: -15 -25 -30 -20 -10<br />

glass. As such, far fewer closures are now required per volume of soft drinks.<br />

Plastic 3130 3773 4590 5705 7065<br />

Cap & Closure Shipments<br />

© Copyright by <strong>The</strong> <strong>Freedonia</strong> <strong>Group</strong>, Inc.<br />

Metal<br />

Cork<br />

115 127 150 200 4695 255 4612 4780 5060 5330<br />

However, these dynamics have largely run their course, with glass now accounting<br />

55 90 110 135 160<br />

SAMPLE TABLE<br />

By Market:<br />

Beverages 6265 6565 7040 7875 8850<br />

Soft Drinks 1625 1905 2160 2550 3000<br />

Beer 3400 3200 3100 3150 3200<br />

Other 1240 1460 1780 2175 2650<br />

Food 350 420 580 750 960<br />

Pharmaceuticals 40 50 60 75 95<br />

Other 1225 1440 1800 2200 2650<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong> #1452<br />

© Copyright by <strong>The</strong> <strong>Freedonia</strong> <strong>Group</strong>, Inc.<br />

<strong>Freedonia</strong> Industry Study


Industry Structure<br />

Sample page from<br />

<strong>Freedonia</strong> Industry Study<br />

Gain #1111 a better <strong>World</strong> global Security understanding Products of & Sys-<br />

your temscompetition<br />

and analyze your<br />

company's position in the industry with<br />

information about:<br />

market share<br />

market leaders<br />

competitive strategies<br />

marketing<br />

mergers & acquisitions<br />

cooperative agreements<br />

Marketing<br />

INDUSTRY STRUCTURE<br />

As the end-user base (e.g., major food and beverage firms) has consolidated and<br />

closure systems have become more sophisticated, marketing requirements have<br />

become a rather formidable impediment to entry in the highly competitive caps<br />

and closures industry. This is especially true given the trend among end users<br />

toward consolidating their packaging supply base among a few major producers<br />

capable of offering custom development services and a full range of products on a<br />

global basis.<br />

SAMPLE PAGE<br />

In general, end users of caps and closures evaluate potential vendors according to<br />

price, product quality, product mix, technical support capabilities, company<br />

reputation and service factors. <strong>The</strong> primary competitive factors in this industry<br />

are generally price, performance and the ability to develop innovative products.<br />

Marketing dexterity is particularly important given the relatively low level of<br />

product differentiation in most applications. Since many cap and closure vendors<br />

market similar product lines, customers often select suppliers on the basis of<br />

service factors. Service encompasses a wide assortment of variables, including<br />

delivery time, credit terms, emergency shipments, special order production runs,<br />

and the design and engineering support available. In recent years, the ability to<br />

shorten lead times and bring new products to market quickly has also emerged as a<br />

critical competitive variable in the packaging industries of the developed world,<br />

closures not excepted.<br />

Firms in the cap and closure industry are increasingly emphasizing custom services<br />

designed to meet individual end-user specifications. Since standardized, stock caps<br />

and closures are purchased almost solely on the basis of price, the ability to custom<br />

design and produce specialty closures represents a significant competitive<br />

© Copyright by <strong>The</strong> <strong>Freedonia</strong> <strong>Group</strong>, Inc.<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong> #1452 Order form on last page<br />

9


Company Profiles<br />

<strong>The</strong> profiles section analyzes 37<br />

companies active in the world caps<br />

and closures industry. <strong>The</strong>se profiles<br />

represent a sampling or cross-section<br />

of the types of companies involved in<br />

the industry.<br />

Divisions, subsidiaries, joint<br />

ventures, etc., are discussed under<br />

appropriate parent companies.<br />

Sources for profiles included:<br />

Information provided by<br />

key staff members in the<br />

respective companies<br />

Annual reports<br />

10-K reports<br />

Security analysts reports<br />

Corporate product literature<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong> #1452<br />

10<br />

Allianz AG<br />

Koeniginstrasse 28<br />

80802 Munich<br />

Germany<br />

49-89-38000<br />

http://www.allianz.com<br />

White Cap LLC<br />

1140 31st Street<br />

Downers Grove, IL 60515<br />

630-515-8383<br />

http://www.whitecapinc.com<br />

COMPANY PROFILES<br />

<strong>The</strong> Company is active in the worldwide caps and closures industry through its<br />

Allianz Capital Partners GmbH subsidiary (Germany). <strong>The</strong> subsidiary’s operations<br />

include AV Packaging GmbH (Germany), a joint venture that is 51-percent owned<br />

by Allianz Capital Partners and 49-percent owned by E.ON AG (Germany). AV<br />

Packaging operates in the packaging industry through its 97.2-percent interest in<br />

SAMPLE PAGE<br />

Schmalbach-Lubeca AG (Germany), a leading packaging manufacturer for food,<br />

beverages and other consumer goods. AV Packaging acquired its ownership of<br />

Schmalbach-Lubeca beginning in August 2000, when E.ON folded a 37.4-percent<br />

stake of Schmalbach-Lubeca into AV Packaging. Later in August, E.ON transferred<br />

an additional 59.8-percent interest to AV Packaging.<br />

Schmalbach-Lubeca operated in three units in 2000: White Cap Incorporated,<br />

Beverage Cans and Polyethylene Terephthalate (PET) Containers. Schmalbach-<br />

Lubeca’s revenues outside of Germany annually account for over 80 percent of total<br />

revenues.<br />

Prior to mid 2001, closures and capping technology were produced through USbased<br />

White Cap Incorporated. <strong>The</strong> company operated plants in North America<br />

© Copyright by <strong>The</strong> <strong>Freedonia</strong> <strong>Group</strong>, Inc.<br />

<strong>Freedonia</strong> Industry Study


Companies<br />

Profiled<br />

Alcan Incorporated<br />

algroup wheaton<br />

Alusuisse Lonza <strong>Group</strong> Limited<br />

fibrenyle<br />

Wheaton Science Products<br />

Alcoa Incorporated<br />

MCG <strong>Closures</strong> Limited<br />

Southern Plastics Incorporated<br />

Allianz AG<br />

AV Packaging GmbH<br />

Schmalbach-Lubeca AG<br />

White Cap LLC<br />

ALTANA AG<br />

DS-Chemie GmbH<br />

Alucaps Mexicana SA de CV<br />

Alucapvit SpA<br />

<strong>Caps</strong>ulas Metalicas SA<br />

Daniel Montgomery & Son Limited<br />

Metal <strong>Closures</strong><br />

Amcor Limited<br />

Bericap Incorporated<br />

Aptar<strong>Group</strong> Incorporated<br />

Emsar Incorporated<br />

Englemann (H.) SA<br />

Seaquist <strong>Closures</strong> LLC<br />

Somova Srl<br />

Bericap GmbH & Company<br />

Bericap Incorporated<br />

Berry Plastics Corporation<br />

<strong>Caps</strong>ol SpA<br />

Cardinal Packaging Incorporated<br />

CPI Holding Corporation<br />

Poly-Seal Corporation<br />

Companhia de Bebidas das Americas<br />

AmBev<br />

Corticeira Amorim SGPS SA<br />

Amorim Cork America Incorporated<br />

Cork & Seals Pty Limited<br />

Industria Corchera SA<br />

Croma SA<br />

Crown Cork & Seal Company Incorporated<br />

Risdon-Pharma<br />

Zeller Plastik Incorporated<br />

Dragon Plastics Limited<br />

FEMSA<br />

<strong>Group</strong>e Massilly<br />

Bannex International Incorporated<br />

Guala <strong>Closures</strong> SpA<br />

Indesco International Incorporated<br />

AFA Products Incorporated<br />

Continental Sprayers International Incorporated<br />

Industrias Innopack SA de CV<br />

ZapatA Innovative <strong>Closures</strong> Incorporated<br />

Manaksia <strong>Group</strong><br />

Nampak Limited<br />

Bevcap<br />

Menshen Packaging UK Limited<br />

Nord Est <strong>Group</strong><br />

ARMEP<br />

Ileos<br />

Innocos<br />

Niob Plastique<br />

Novembal<br />

Owens-Illinois Incorporated<br />

Pechiney<br />

Capalux<br />

Cebal<br />

Techpack International<br />

Pepsi-Gemex SA de CV<br />

Portola Packaging Incorporated<br />

CapSnap Europe Packaging GmbH<br />

Consumer Cap Corporation<br />

Northern Engineering and Plastics Corporation<br />

Shanghai Portola Packaging Company<br />

Rexam plc<br />

Royal Ten Cate NV<br />

Sabaté<br />

Sibel<br />

Suber<br />

Saint-Gobain<br />

Calmar Incorporated<br />

Samhwa Crown & Closure Company Limited<br />

San Miguel Corporation<br />

Silgan Holdings Incorporated<br />

RXI Holdings Incorporated<br />

White Cap LLC<br />

Tetra Laval International SA<br />

Novembal<br />

Toyo Seikan Kaisha Limited<br />

Japan Crown Cork Company Limited<br />

West Pharmaceutical Services Incorporated<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong> #1452 Order form on last page<br />

11


12<br />

Forecasting Methodology<br />

<strong>Freedonia</strong> does not just collect and reprint<br />

data; <strong>Freedonia</strong> develops data. Our analysts<br />

thoroughly investigate an industry by<br />

extensively interviewing key industry<br />

participants and analyzing information<br />

from sources such as associations, government<br />

and trade literature. Once this<br />

research is complete, <strong>Freedonia</strong> establishes<br />

one set of forecasts. All writing, editing<br />

and forecasting is done in-house to assure<br />

quality and consistency. In cases where<br />

data does not exist, <strong>Freedonia</strong> develops the<br />

data based on input/output ratios, bills of<br />

materials and flow charts. <strong>The</strong> following<br />

chart summarizes <strong>Freedonia</strong>'s methodology.<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong> #1452<br />

<strong>The</strong> <strong>Freedonia</strong><br />

Economics <strong>Group</strong><br />

Consistent framework<br />

of indicators on . . .<br />

Beverage Consumption<br />

Gross Domestic Product<br />

<strong>World</strong> Population<br />

. . . and many others<br />

Extensive Interviews<br />

• Key participants<br />

Industry experts<br />

End-users<br />

Methodology for<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong><br />

<strong>Freedonia</strong><br />

In-house Research<br />

Quantitative forecasting<br />

Industry structure & market<br />

share analyses<br />

Product analyses & forecasts<br />

Proprietary<br />

Electronic Database<br />

Trade publications<br />

Government reports<br />

Corporate literature<br />

Online databases<br />

. . . and many others<br />

<strong>Freedonia</strong> Industry Study


About<br />

<strong>The</strong> <strong>Freedonia</strong> <strong>Group</strong><br />

Advantages<br />

of <strong>Freedonia</strong> Reports<br />

<strong>The</strong> <strong>Freedonia</strong> <strong>Group</strong>, Inc. is a leading international industry <strong>study</strong>/<br />

database company.<br />

Since 1985, <strong>Freedonia</strong> has published over 1,600 titles covering areas such<br />

as plastics, chemicals, coatings and adhesives, building materials, industrial<br />

components and equipment, health care, packaging, household goods,<br />

security, and many other industries.<br />

<strong>Freedonia</strong> has produced a wide variety of titles, including:<br />

<strong>World</strong> Beer Containers<br />

Plastic Containers<br />

Labels<br />

Pharmaceutical Packaging<br />

Because <strong>Freedonia</strong> is a reliable information source, our forecasts are cited<br />

in numerous publications such as <strong>The</strong> Wall Street Journal, Packaging<br />

Digest and Plastics <strong>New</strong>s.<br />

In-house operations<br />

Because all of our staff work at the same location, interaction<br />

between analysts and departments provides a strong system<br />

of checks and balances.<br />

Consistency<br />

Our Economics <strong>Group</strong> develops indicators that are used by<br />

all analysts. <strong>The</strong>refore, every <strong>Freedonia</strong> <strong>study</strong> is based on a consistent<br />

set of economic assumptions (GDP, global population, beverage<br />

consumption, etc.).<br />

Reliable forecasts<br />

Because all of our forecasts consider the environment in<br />

which a product or industry is operating, as well as threats<br />

and opportunities to the market, <strong>Freedonia</strong> forecasts are<br />

reliable indicators of future performance.<br />

One-on-one interviews<br />

All studies are produced by conducting interviews with key industry<br />

participants and end-users.<br />

Proprietary electronic database<br />

<strong>Freedonia</strong>’s analysts can tap into an extensive in-house electronic<br />

database containing corporate literature (including private company<br />

information), trade publications, government reports and many<br />

other sources of information.<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong> #1452 Order form on last page<br />

13


14<br />

About Our Customers<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong> #1452<br />

<strong>Freedonia</strong>'s clients include major US and international companies in the<br />

manufacturing, services, consulting and financial sectors.<br />

Typical purchasers of <strong>Freedonia</strong> studies :<br />

Key Executives<br />

Corporate Planners<br />

Market Researchers<br />

Financial Analysts<br />

Information Centers<br />

<strong>New</strong> Product Developers<br />

Merger & Acquisition Specialists<br />

Since 1985 we have provided research to customers ranging in size from<br />

global conglomerates to one person consulting firms. More than 90% of<br />

the industrial companies in the Fortune 500 use <strong>Freedonia</strong> research to<br />

help with their strategic planning.<br />

Some of <strong>Freedonia</strong>'s customers in the caps and closures industry include:<br />

Alcoa, Crown Cork & Seal, Owens-Illinois and Saint-Gobain.<br />

<strong>Freedonia</strong> Industry Study


Related Studies<br />

From <strong>Freedonia</strong><br />

For more information about<br />

these or other <strong>Freedonia</strong> titles,<br />

please contact us at:<br />

<strong>The</strong> <strong>Freedonia</strong> <strong>Group</strong>, Inc.<br />

Phone: (440) 684-9600<br />

(800) 927-5900<br />

Fax: (440) 646-0484<br />

<strong>World</strong> Pharmaceutical Packaging<br />

<strong>The</strong> world drug packaging industry is analyzed<br />

in this <strong>study</strong>. It presents historical data and forecasts<br />

to 2005 and 2010 by type (e.g., plastic<br />

bottles, blister packs, pouches and strip packs,<br />

tubes, prefillable syringes, vials and ampuls, IV<br />

containers, glass bottles and jars, caps and closures,<br />

secondary containers, shipping containers,<br />

prescription containers, labels); by region and<br />

for major drug-producing countries. <strong>The</strong> <strong>study</strong><br />

also examines the market environment, details<br />

market share and profiles key firms.<br />

#1467. . . . . . . . 9/01. . . . . . . . . . $4,500<br />

Beverage Containers<br />

This <strong>study</strong> analyzes the US rigid and flexible drink<br />

container industry. It presents historical data<br />

(1990, 1995, 2000) and forecasts to 2005 and<br />

2010 for beverage shipments and sales by container<br />

type in both gallon and unit terms. Product<br />

segments include metal cans, plastic bottles<br />

and pouches (by resin), glass bottles and paperboard<br />

containers (composite, gabletop, aseptic<br />

carton and bag-in-box). <strong>The</strong> <strong>study</strong> also discusses<br />

economic variables, details industry structure and<br />

market share, and profiles key firms.<br />

#1462. . . . . . . . 9/01. . . . . . . . . . $3,700<br />

<strong>Caps</strong> & <strong>Closures</strong> -<br />

Private Companies Report<br />

Six private producers each had total cap and closure<br />

sales of over $50 million in 2000, two of<br />

which had over $100 million. All six are active in<br />

the fast-growing plastic packaging segment, and<br />

one is also a leader in metal closures. This report<br />

profiles over 140 private US companies (e.g., Berry<br />

Plastics, Courtesy, Indesco International, Kerr<br />

<strong>Group</strong>, Portola Packaging, ZapatA International).<br />

It also presents market share data, reviews acquisitions,<br />

lists firms by product and location, and<br />

forecasts industry demand.<br />

#1427. . . . . . . . 5/01. . . . . . . . . . $3,200<br />

<strong>World</strong> Beer Containers<br />

Global demand for beer containers will reach 315<br />

billion units in 2005, as the average container<br />

size grows slightly. One-way packaging, including<br />

metal, glass and (increasingly) plastic types,<br />

will further supplant returnable glass bottles, especially<br />

in developing countries. Glass beer bottles<br />

will outpace metal cans. This <strong>study</strong> analyzes the<br />

world beer container industry to 2005 and 2010<br />

by type, material, region and for 23 countries. It<br />

also details market share and profiles key brewers<br />

and beer container producers.<br />

#1416. . . . . . . . 5/01. . . . . . . . . . $4,400<br />

<strong>Caps</strong> & <strong>Closures</strong><br />

US cap and closure demand will grow 5.3% annually<br />

to 2005, driven by a shift in the mix toward<br />

value-added configurations such as dispensing<br />

and child-resistant closures. Also supporting<br />

unit gains will be the development of novel closure<br />

applications like aseptic liquid food packaging,<br />

as well as rising use of dual closure packaging<br />

configurations. This <strong>study</strong> analyzes the $3.8<br />

billion US cap and closure industry to 2005 and<br />

2010 by material, product and market. It also<br />

details market share and profiles key companies.<br />

#1392. . . . . . . . 4/01. . . . . . . . . . $3,700<br />

Paper Versus Plastic in Packaging<br />

Demand for competitive paper and plastic packaging<br />

in the US will reach 86 billion pounds in 2004.<br />

Advances will be stimulated by steady growth in<br />

the foodservice sector and improvements in barrier<br />

properties and strength. Plastic will continue<br />

to encroach on paper’s market share. This <strong>study</strong><br />

analyzes the 77 billion pound US competitive paper<br />

and plastic packaging industry to 2004 and<br />

2009. It provides data and forecasts by material,<br />

type and end-use, presents market share data and<br />

profiles leading companies.<br />

#1357. . . . . . . . 1/01. . . . . . . . . . $3,700<br />

Labels<br />

US shipments of labels will grow nearly 7% annually.<br />

Paper will remain the dominant stock but<br />

plastics will make further inroads. Pressure sensitive<br />

adhesive (PSA) labels, which already account<br />

for over two-thirds of industry value, will continue<br />

capturing market share from glue-applied,<br />

gummed and heat-seal labels. This <strong>study</strong> analyzes<br />

the $9.9 billion US labels industry to 2004 and<br />

2009 by material, application method, printing<br />

technology and use. It also details market share<br />

and profiles key companies.<br />

#1326. . . . . . . . 9/00. . . . . . . . . . $3,700<br />

Plastic Containers<br />

Plastic container demand in the US will grow<br />

over 4% annually. Three-fourths of all plastic containers<br />

by weight are bottles, which will also log<br />

the best growth driven by markets such as drugs,<br />

soft drinks and beer. High density polyethylene<br />

(HDPE) will remain the most widely used resin,<br />

while polyethylene terephthalate (PET) grows the<br />

fastest. This <strong>study</strong> analyzes the $10 billion US<br />

plastic container industry to 2004 and 2009 by<br />

resin, type and market. It also details market<br />

shares and profiles key firms.<br />

#1306. . . . . . . . 8/00. . . . . . . . . . $3,600<br />

<strong>World</strong> <strong>Caps</strong> & <strong>Closures</strong> #1452 Order form on last page<br />

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