Packaging Market Weekly Wrap - AstraZeneca South Africa Sells Alrode Packaging unit

AstraZeneca South Africa has sold its Alrode packaging facility to Afrika Biopharma Manufacturing (ABM) for an undisclosed sum.

AstraZeneca chief executive Dr Guni Goolab says the sale will bring about a transformation for the company.

"A partnership agreement has been put in place with ABM, where a new company will be contracted to package our products until 2011," he says.

"This will ensure a guaranteed income stream for the Alrode facility while the new shareholders take over the management of the factory and build the business."

GRAPHIC LOSSES

Paperboard packaging manufacturer Graphic Packaging Corporation has reported a net loss in the third quarter, after charges related to its operations in Sweden.

The company had a net loss of US$13.9m on US$612.1m in sales, compared with US$5.1m net loss on US$595.9m over the same period last year.

Graphic says third quarter results were affected by a US$25.2m non-cash impairment charge to the company's operations in Sweden.

Graphic has since announced plans to sell its Swedish operations.

CEO David Scheible says the company posted an increased operating income for the fourth consecutive quarter, despite the net loss.

"We made substantial progress with out cost-cutting programmes this quarter, helping to drive a US$19m increase in operating income over the prior year's third quarter," he says.

Net sales equalled US$612.1m, up 2.7 percent on the same period last year.

AFRICAN PACKAGING PLANT OPENS

Uganda's President Yoweri Museveni has opened East Africa's "largest and most modern plant for manufacturing packaging materials."

Riley Packaging, owned by Raps and Mukwano group of companies, manufactures a wide range of corrugated products, display stands and dustbins.

The firm produces 2,500t monthly (14 million boxes) and expects to attain full capacity by 2008 and to employ 400 people, managers say.

CURTIS GOES CARBON NEUTRAL

Curtis Packaging says it is the first printing and packaging company in North America to become 100 percent carbon neutral.

The company is also certified by the Forest Stewardship Council and uses renewable energy to power its operations.

Curtis says it will work with The CarbonNeutral Company to neutralise the company’s remaining carbon emissions through investment in a portfolio of independently audited projects.
Source: packaging-technology