Form: 8-K

Current report filing

March 20, 1997

EXHIBIT-99 OTHER DOCUMENTS TO SECURITY HOLDERS

Published on March 20, 1997


Ball Corporation
Current Report on Form 8-K
Dated March 20, 1997



Exhibit EX-99

Following is the text of a press release disseminated by the registrant on
March 12, 1997:


- -------------------------------------------------------------------------------
BALL COMPLETES LARGEST INTERNATIONAL ACQUISITION IN COMPANY
HISTORY
- -------------------------------------------------------------------------------

MUNCIE, Ind., March 12, 1997--Ball Corporation [NYSE: BLL] has
solidified its position as a leading supplier of beverage cans in the People's
Republic of China by completing a highly successful offering for the publicly
held shares of M.C. Packaging Limited of Hong Kong. Ball, through its
95-percent owned Hong Kong subsidiary, FTB Packaging Ltd., has tendered for
and acquired via the tender and open-market purchases more than 90 percent of
MCP's publicly held stock.
"With this acquisition, which is one of the largest, and undoubtedly
one of the boldest, in Ball's 117-year history, we have positioned ourselves
to be the leading supplier of cans to China's growing beverage industry," said
George A. Sissel, Ball's chairman, president and chief executive officer.
Ball now has ownership interests in 20 plants in China and Hong Kong.
Total sales of FTB, MCP and their equity affiliates combined are approximately
$500 million. Together, FTB and MCP accounted for approximately 50 percent of
two-piece beverage can shipments in China and Hong Kong, and have annual
production capacity of approximately seven billion packaging units.
Beverage can consumption in China, a nation of 1.2 billion people, is
estimated today at between six and seven billion cans. By contrast, the United
States, with a population only one-fifth that of China, consumes nearly 100
billion beverage cans annually.
"Of course, beverage consumption habits and characteristics in China
and the U.S. are very different, but, nevertheless, the growth potential in
China is still significant," Sissel said. "Major international beverage
companies clearly recognize this and continue to make investments in new can
filling operations there. We supply many of those companies in China, as we do
in other parts of the world. In China, we also supply many of the leading
local soft drink, sport drink and beer companies.
"At the same time, we are mindful that overcapacity exists for the
manufacture of two-piece beverage cans in China," Sissel said. "If the rapid
growth in beverage can use occurs as has been predicted, however, we will see
a better balance between demand and supply over the next two years.
We certainly see attractive long-term opportunities in the region."
In addition to manufacturing two-piece aluminum beverage cans in China,
FTB and MCP make three-piece beverage and food cans, ends for two-piece cans
and three-piece cans, aerosol cans, plastic bottles and closures and other
plastic products such as plastic caps. MCP also is the largest decorator of
metal sheet in China. The companies employ approximately 4,800 people.
Ball acquired a controlling interest in M.C. Packaging in January of
this year from Lam Soon (Hong Kong) Limited for HK$2.80 per share. That
acquisition, combined with the success of the public offering, means Ball,
through FTB, will own, directly and indirectly, approximately 75 percent of
MCP.
Ball, through FTB, will now make compulsory acquisition of the
remaining shares that were subject to the public offering, and ask the Stock
Exchange of Hong Kong to delist the MCP shares. Once delisting has taken
place, it will be possible to align more closely the operations of FTB and
MCP.
"There are considerable synergies to be achieved by integrating FTB and
MCP," Sissel said. "The success of our tender offer will allow us to do that
more quickly and efficiently. Initial returns will not be as great as those we
see for the longer-term. In the past, FTB and MCP both have operated
profitably. Combining them should improve their efficiencies for the
long-term, and we are in China with a long-term outlook."
After more than a decade of doing business in China, the acquisition of
M.C. Packaging is Ball's largest single move in a focused strategy to build a
significant presence in emerging international markets. The company also has
new joint venture beverage can plants beginning operation in Brazil and
Thailand in early 1997.
"Today, our businesses in China and in other emerging markets are an
important opportunity for Ball. They will become increasingly significant as
we move toward the next century," Sissel said.
Ball Corporation produces rigid metal and plastic packaging products
for beverages and foods, and provides aerospace and other technologies to
governmental and other customers. Ball produces approximately 17 billion
beverage cans annually in North America, and through licenses and joint
ventures has interests in operations in 14 countries outside the U.S. and
Canada.

* * *

Note: This news release may contain forward-looking statements as encouraged
by the Private Securities Litigation Reform Act of 1995. Forward-looking
statements are necessarily projections which are subject to change upon the
occurrence of certain events which may affect the business, many of which are
set forth in the company's 8-K report filed with the Securities and Exchange
Commission on July 16, 1996.

5/97
Media Contact: Scott McCarty, days 765/747-6175, nights 765/284-2351,
smccarty@ball.com
Investor Contact: Doug Poling, days 765/747-6465, nights 765/287-8470,
dpoling@ball.com

Ball CorporationHome Page: http://www.ball.com