Crown Focuses on Optimization in Brazil

Thursday, July 23, 2015

Following 2014’s strong growth of 10.7% as a result of both the FIFA World Cup and the country’s presidential election, industry experts anticipate that the Brazilian beverage segment will see a more modest increase in 2015.  Looking further ahead, Euromonitor, a market research provider, projects that the 2016 Summer Olympic Games in Rio de Janeiro (Rio 2016) will boost performance of beverage packaging.  As a result, companies like CROWN Embalagens Metálicas da Amazônia S.A. (Crown Brazil), a joint venture of Crown Holdings, Inc. (NYSE: CCK) (Crown) (www.crowncork.com) and Évora S.A. of Porto Alegre, Brazil, are preparing for the estimated demand by focusing on enhancing production this year. 

Specialty aluminum cans, defined as sizes other than the standard 350ml container, currently make up over 30% of Brazil’s beverage can market.1 Through the company’s investment in its launch of a new plant in Teresina earlier in 2014 and the opening of a third line in its Cabreúva facility that same year, Crown Brazil is now capable of producing its entire portfolio of seven beverage can sizes, ranging from sleek style 269ml to standard 550ml cans, in any of its plants. For the remainder of the year, the company is concentrating efforts on strengthening newly-introduced capabilities and optimizing training for the new lines.

“In order to enhance the efficiency of our operations, it is essential that all of our manufacturing facilities are working optimally, especially ahead of Rio 2016,” states Wilmar Arinelli, President, CROWN Embalagens Metálicas da Amazônia S.A. “The stable forecast for 2015 allows us to focus on implementing any changes necessary in order to achieve production synchronization, while still meeting the existing market demand.”

Boosting production efficiency for all can sizes is not the only attribute that Crown is looking to enhance across its facilities this year. Advanced decorative technologies continue to be a powerful tool for brands to leverage, especially when launching a new product or executing a marketing campaign like those anticipated for Rio 2016. Beverage companies will continue to employ uniquely themed and highly decorated packaging designs as part of concentrated marketing efforts to attract consumers and differentiate products on store shelves. Crown’s decorative capabilities such as its Accents™ technology, which allows up to 24 different images that can include words, phrases, line drawings and pictures to be printed on a single pallet of beverage cans, and thermochromic inks, that change color on the aluminum can to indicate that the beverage is at the ideal temperature for consumption, are both expected to be popular features for brands to adopt for the upcoming games. 

About Crown Holdings, Inc.

Headquartered in Philadelphia, PA, Crown Holdings, Inc. is a leading manufacturer of packaging products for consumer marketing companies around the world.  Crown makes a wide range of metal packaging for food, beverage, household and personal care and industrial products and metal vacuum closures and caps.  As of December 31, 2014, the Company operated 149 plants located in 40 countries, employing 23,024 people.  For more information, visit www.crowncork.com.

For more information, contact:

In South America: Wilmar Arinelli, President, CROWN Embalagens Metálicas da Amazônia S.A.; Tel: 55 11 4529 1006; Email: wilmar.arinelli@crowncork.com.br

In the United States: Ron Skotleski, Director of Marketing, CROWN Beverage Packaging; Tel: 1 (215) 718-1303; Email: ron.skotleski@crowncork.com

In Europe: Matthew Twiss, Marketing & Business Development Director, CROWN Bevcan Europe & Middle East; Tel: 41 41 759 10 02; Email: matthew.twiss@eur.crowncork.com

In Asia Pacific: Evelyn Lim, CROWN Asia Pacific Holdings Ltd; Tel: 65 6229-4880; Email: evelyn.lim@crowncork.com.sg

For editorial inquiries: Thomas T. Fischer, Vice President Investor Relations and Corporate Affairs; Tel: 1 (215) 552-3720; Email: thomas.fischer@crowncork.com.