Ball to Acquire Four Beverage Packaging Plants From AB InBev

BROOMFIELD, Colo., July 1 /PRNewswire-FirstCall/ -- Ball Corporation (NYSE: BLL) announced today that it has signed a definitive agreement with Anheuser-Busch InBev (AB InBev) to acquire certain of AB InBev's beverage can manufacturing assets.

Ball will acquire four of AB InBev's plants in the U.S. for $577 million. The facilities being acquired are beverage can manufacturing plants in Rome, Ga.; Columbus, Ohio; and Ft. Atkinson, Wis., and a beverage can end manufacturing plant in Gainesville, Fla.

In the first full year of operation, Ball expects the plants to generate revenue and EBITDA of approximately $680 million and $94 million, respectively. The plants produce annually about 10 billion aluminum cans and 10 billion easy-open can ends. More than two-thirds of the cans are produced for leading soft drink companies and the rest for AB InBev. The facilities employ approximately 635 people.

The transaction is expected to close at the end of the year or early in the first quarter of 2010, subject to regulatory approval, and be accretive to Ball's earnings and cash flow in 2010.

"This acquisition fits well with our strategy to grow our worldwide beverage can business," said R. David Hoover, chairman, president and chief executive officer of Ball Corporation. "These are well-maintained, high-volume manufacturing assets that are run by very skilled, experienced can and end makers. We will vigorously pursue what we see as significant opportunities to share best practices, realize synergies and improve overall performance."

Goldman, Sachs & Co. and J.P. Morgan Securities Inc. are acting as financial advisors to Ball on this transaction. Skadden, Arps, Slate, Meagher & Flom LLP and Axinn, Veltrop & Harkrider LLP are acting as legal counsel.

Ball Corporation is a supplier of high-quality metal and plastic packaging for beverage, food and household products customers, and of aerospace and other technologies and services, primarily for the U.S. government. Ball Corporation and its subsidiaries employ more than 14,000 people worldwide and reported 2008 sales of approximately $7.6 billion. For the latest Ball news and for other company information, please visit www.ball.com.

Earnings Conference Call Details

Ball Corporation will report the company's second quarter 2009 earnings on Thursday, July 23, 2009, before trading begins on the New York Stock Exchange. At 9 a.m. Mountain Time on that day (11 a.m. Eastern), Ball will hold its regular quarterly conference call about the company's results and performance and this transaction.

The North American toll-free number for the call is 800-732-5617. International callers should dial 212-231-2900. Please use the following URL for a Web cast of the live call:

http://phx.corporate-ir.net/phoenix.zhtml?p=irol-eventDetails&c=115234&eventID=2286370.

For those unable to listen to the live call, a taped replay will be available after the call's conclusion until 1 p.m. Eastern Time on July 30, 2009. To access the replay, call 800-633-8284 (North American callers) or 402-977-9140 (international callers) and use reservation number 21429825.

A written transcript of the call will be posted within 48 hours of the call's conclusion to Ball's Web site at www.ball.com in the investors section under "presentations."

Forward-Looking Statements

This release contains "forward-looking" statements concerning future events and financial performance. Words such as "expects," "anticipates," "estimates" and similar expressions are intended to identify forward-looking statements. Such statements are subject to risks and uncertainties which could cause actual results to differ materially from those expressed or implied. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Key risks and uncertainties are summarized in filings with the Securities and Exchange Commission, including Exhibit 99.2 in our Form 10-K, which are available at our Web site and at www.sec.gov. Factors that might affect our packaging segments include fluctuation in product demand and preferences; availability and cost of raw materials; competitive packaging availability, pricing and substitution; changes in climate and weather; crop yields; competitive activity; failure to achieve anticipated productivity improvements or production cost reductions, including our beverage can end project; mandatory deposit or other restrictive packaging laws; changes in major customer or supplier contracts or loss of a major customer or supplier; and changes in foreign exchange rates, tax rates and activities of foreign subsidiaries. Factors that might affect our aerospace segment include: funding, authorization, availability and returns of government and commercial contracts; and delays, extensions and technical uncertainties affecting segment contracts. Factors that might affect the company as a whole include those listed plus: accounting changes; changes in senior management; the current global credit squeeze and its effects on liquidity, credit risk, asset values and the economy; successful or unsuccessful acquisitions, joint ventures or divestitures; integration of recently acquired businesses; regulatory action or laws including tax, environmental, health and workplace safety, including in respect of chemicals or substances used in raw materials or in the manufacturing process; governmental investigations; technological developments and innovations; goodwill impairment; antitrust, patent and other litigation; strikes; labor cost changes; rates of return projected and earned on assets of the company's defined benefit retirement plans; pension changes; reduced cash flow; interest rates affecting our debt; and changes to unaudited results due to statutory audits or other effects.

SOURCE Ball Corporation

Released July 1, 2009