Printer Friendly

SONOCO SELLS EUROPEAN BAG MAKING OPERATIONS

 HARTSVILLE, S.C., March 8 /PRNewswire/ -- Sonoco Products Company (NASDAQ-NMS: SONO) today announced the sale of its plastic bag manufacturing operations in Telford, England, and Gadstrup, Denmark, to British Polyethylene Industries, Plc. of London. The sale was effective March 5.
 "There were a number of factors that prevented Sonoco from being as successful with plastic sacks in Europe as we have been in the United States. Since we did not see any prospects for quickly turning this situation around, we made the decision to exit the European sack businesses," said H.E. DeLoach, Jr., vice president - Sonoco Products Company. "We have determined that growing in Europe is not a critical success factor in the long-term growth of our high-density film products operation," added DeLoach.
 "British Polyethylene is currently the largest film producer in Europe and this acquisition should strengthen their position," said DeLoach.
 While Sonoco sold all the production equipment, it retains ownership of the buildings and has agreed to long-term leases of the facilities. British Polyethylene bought the Sonoco operations for approximately $12.5 million (US). "This was a fair price for these operations and represents more than the book value of these assets," said DeLoach. The terms of the sale were not disclosed.
 Sonoco is an international manufacturer of industrial and consumer packaging products with 1992 sales of $1.8 billion.
 -0- 3/8/93
 /CONTACT: Dick Puffer of Sonoco Products Company, 803-383-7425/
 (SONO)


CO: Sonoco Products Company; British Polyethylene Industries, Plc. ST: South Carolina IN: PAP SU: RLE

CM -- CH003 -- 4120 03/08/93 15:08 EST
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Mar 8, 1993
Words:260
Previous Article:ICOT CORPORATION TO REPURCHASE STOCK
Next Article:CP&L PLANS TO REDEEM BONDS
Topics:


Related Articles
/ C O R R E C T I O N: SONOCO PRODUCTS COMPANY /
SETTLEMENTS REACHED WITH ALL PARTIES IN SONOCO PATENT INFRINGEMENT CASE
SONOCO REPORTS FIRST QUARTER RESULTS
SONOCO REPORTS STRONG THIRD QUARTER AND NINE MONTHS RESULTS
Sonoco Announces Expansion of Plastic Bag Manufacturing
Sonoco President Discusses Keys to Sonoco Growth
Sonoco Sells Tennis Ball Container Manufacturing Operation
Sonoco Announces Agreement To Sell U.K. Labels And Label Machinery Group
Ahlstrom, Sonoco strike deal.
Sonoco Acquires Remaining Interest in Italy-based Demolli.

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters