Home » Alcoa Sells Packaging, Consumer Units for $2.5B
Alcoa Sells Packaging, Consumer Units for $2.5B
March 3, 2008
Alcoa has completed the sale of its packaging and consumer businesses to New Zealand's Rank Group Limited.
Alcoa's packaging and consumer businesses generated 11% of Alcoa 2007 revenues and 4.6% of 2007 after-tax operating income. Businesses included in the sale are: Closure Systems International; Consumer Products, including Reynolds Wrap branded products; Flexible Packaging; and Reynolds Food Packaging.
In total, these packaging businesses have 9,300 employees in 22 countries around the world.
Alcoa will continue to operate its flat-rolled can sheet products serving the packaging market.
Alcoa received $2.5 billion in cash from Rank in the sale. An additional $200 million is expected by April 2008 when regulatory and other approvals are received for a small number of facilities.
Alcoa is a supplier in primary aluminum, fabricated aluminum, and alumina. Alcoa serves the aerospace, automotive, packaging, building and construction, commercial transportation and industrial markets. In addition to aluminum products and components, Alcoa markets Alcoa wheels, fastening systems, precision and investment castings, structures and building systems.