Consumers Packaging Reports Fourth Quarter and Year End 1996 Financial Results.

TORONTO, Canada--(BUSINESS WIRE)--March 5, 1996--Consumers Packaging, Inc. (Toronto Stock Exchange:CGC) today reported results for the fourth quarter and year ended December 31, 1996.

Total revenues in the fourth quarter were $106.3 million as compared to $105.1 million reported in the same period last year. Net earnings for the quarter were $0.52 million, or $0.02 per share on a fully diluted basis, compared with net earnings of $1.0 million, or $0.03 per share, for the fourth quarter of 1995.

For the year ended December 31, 1996, the Company reported revenues of $462.3 million, compared with $458.1 million for the same period last year. Net earnings for the year ended were $14.8 million, or $0.46 per share on a fully diluted basis, compared with $26.2 million, or $0.90 per share on a fully diluted basis for the comparable period in 1995.

Mr. John Ghaznavi, Chairman and Chief Executive Officer, stated, "Despite operating during a year of excess capacity and uncertainty in the North American glass-container market, we are encouraged that Consumers not only maintained, but increased its unit sales in 1996. Industry pressures, however, resulted in an overall price decrease of 5%. Our acquisition of Anchor Glass will help stabilize the market, and during the first quarter of 1997 we are taking steps to adjust manufacturing capacity in both Canada and the U.S. As a result, we expect the Company's financial performance, after costs of the acquisition and restructuring have been absorbed, to show improvement as 1997 progresses."

Mr. Ghaznavi continued, "In addition to our significant accomplishment of acquiring 11 manufacturing plants, a mold shop and a machine repair facility from Anchor Glass Container Corp., which had been operating under Chapter 11 of the U.S. Bankruptcy Code, the Company expanded internationally. During 1996 the Company agreed to complete construction of a glass manufacturing plant in Teramo, Italy which will begin production in late 1997, and also acquired a 25.1% interest in Israel's Phoenicia Glass Works from Koor Industries. Consumers has also formed a joint venture with a partner in Belarus, which will spearhead our entry into the emerging Eastern European Markets. All of these events were important milestones towards achieving the Company's long-term goal of becoming a leading multinational manufacturer in the glass packaging industry."

"I am very proud to announce that by a Company-wide effort, our employees have demonstrated their commitment to the highest quality standards by implementing a program that has resulted in Consumers becoming the first glass-container manufacturer in North America to be nominated for ISO-9001 certification for all of the Company's Canadian plants. This is an important achievement for Consumers, our industry and our growing customer base," concluded Mr. Ghaznavi.

The Company also announced that Mr. Charles Rhodes, Consumers' President and Chief Operating Officer, will retire effective March 31. His duties will be assumed by the members of Consumers' senior management team. Jack Smathers has been appointed Vice President, Operations. David Jack has been appointed Vice President, Accounting and Treasurer, Richard Lachapelle, Vice President, Sales and Marketing, Gordon Stewart, Vice President, Manufacturing and Gary Walters, Corporate Secretary.

Consumers Packaging, Inc., headquartered in Canada, is a leading international designer and producer of high quality glass containers, with manufacturing facilities and business interests in Canada, the U.S., Italy, Israel, and Belarus. Consumers is Canada's only glass packaging producer and with six manufacturing facilities, commands more than 85% of the glass packaging market, and distributes its products both domestically and abroad. Through its acquisition of Anchor Glass Consumers is now recognized as the third largest producer of glass containers in North America.

-Tables Follow- -0-

                       CONSUMERS PACKAGING INC.
       (In thousands of dollars except profit per share data)

                            Three Months          Year Ended
                         Ended December 31,       December 31,
                          1996       1995       1996        1995

Gross Sales            $106,296   $105,121   $ 462,326    $458,064


Gross Margin             27,760     25,612     123,100     133,910

Earnings Before Interest  2,300      2,759      24,232      41,402

Interest & Other          1,785      1,778       9,475      15,258

Net Earnings         $      515  $     981    $ 14,757    $ 26,144

Net Earnings Per Share

    Basic                 $0.02      $0.03       $0.46       $0.91

    Fully Diluted         $0.02      $0.03       $0.46       $0.90

CONTACT: M. William Lightner

Vice President, Finance & Chief Financial Officer

Consumers Packaging Inc.

[phone]

or

Investor Relations Contact:

Donna N. Stein, APR/Keil Decker

Morgen-Walke Associates, Inc.

[phone]

or

Press Contact:

Stan Froelich

Morgen-Walke Associates, Inc.

[phone]