CCL Industries Acquires CD Design GmbH Creating a New Business Platform for CCL



    Stock Symbol: TSX - CCL.A and CCL.B

    TORONTO, Feb. 1 /CNW/ - CCL Industries Inc., a world leader in specialty
packaging solutions for the consumer products and healthcare industries,
announced today that it has acquired CD Design GmbH, a privately owned company
based in Solingen, Germany. CD Design's principal shareholders also control
Ritrama S.p.A., a privately owned Italian manufacturer of pressure sensitive
materials with operations in Europe, USA, China and Chile. Ritrama is an
important supply partner to CCL Label in a number of its markets.
    CD Design converts pressure sensitive films and aluminum for leading
automotive OEMs in Germany and other European markets. Products include
regulatory informational labels, branding badges and functional products that
improve component durability and design. The Company had sales of
approximately $26 million in 2007. CCL will pay an initial purchase price of
$10 million in a combination of cash and assumed debt, and potentially a
further $4.5 million in cash at the end of 2008 subject to EBITDA exceeding
$2.6 million for this calendar year. As part of the transaction, CD Design
signed a new five-year supply agreement to continue deploying Ritrama's
materials and to collaborate in the durable goods market.
    Geoffrey Martin, President and COO of CCL Industries said, "Consumer
Durable Goods manufacturers including automotive, mobile communication,
information technology, consumer electronic and domestic appliance OEMs all
use the technologies and products we use at CCL Label for branding and
communicating regulatory or instructional information. We believe this is an
interesting new customer segment in which to expand the CCL franchise as it
has the same hallmarks as our existing business: large customers seeking
globally deployed suppliers in a fragmented industry. CD Design is a supplier
highly regarded by some of the most demanding customers in the segment and we
are delighted to have it as a founding business from which we could
potentially build a new global segment for the company."
    Donald Lang, Vice Chairman and CEO of CCL Industries added. "This is an
exciting new development for us in a technology arena our people already
understand. The investment is consistent with our valuation principles for
transactions and its size represents a reasonable risk-reward ratio to
shareholders for our entry into an interesting new customer segment."

    With headquarters in Toronto, Canada, CCL Industries now employs
approximately 5,400 people and operates 52 production facilities in North
America, Europe, Latin America and Asia. CCL Label is the world's largest
converter of pressure sensitive and film materials and sells to leading global
customers in the consumer packaging, healthcare, and consumer durable
segments. CCL Container and CCL Tube produce aluminum cans, bottles and
plastic tubes for the consumer products industry in North America.

    Statements contained in this Press Release, other than statements of
historical facts, are forward-looking statements subject to a number of
uncertainties that could cause actual events or results to differ materially
from some statements made.

    Conference Call
    ---------------

    CCL will hold a conference call at 10:00 a.m. EST on Monday, February 4,
2007 to discuss this transaction and CCL's Russian joint venture January 2,
2008 announcement.

    
    To access this call, please dial:
        Toll-Free North America - 1-800-926-4951
        Domestic and International - 212-231-2902
    Post-View service will be available from Monday, February 4, 2008 at
    12:00 p.m. EST until Tuesday, March 5, 2008 at 11:59 p.m. EST

    Dial:     Toll-Free North America - 1-800-558-5253
              Domestic and International - 416-626-4100
              Access Code: 21374521
    

    For more details on CCL, visit our web site - www.cclind.com





For further information:

For further information: Steve Lancaster, Executive Vice President,
(416) 756-8517

Organization Profile

CCL INDUSTRIES INC.

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