CCL Industries Announces $25 Million Expansion Plan for its Asian Label Operations



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

    TORONTO, June 17 /CNW/ - CCL Industries Inc., a world leader in specialty
packaging solutions for the consumer products and healthcare industries,
announced today that it plans to invest $25 million over 2008 and 2009 to
expand its CCL Label operations in the rapidly developing Asian region. The
Company began doing business in Asia five years ago with its 2003 investment
in Bangkok, Thailand which has subsequently undergone two expansions. In 2006
and 2007 CCL invested in additional operations in Guangzhou and Hefei in
China. At the current pace, sales in Asia will reach approximately $40 million
in 2008.
    The Company announced that it will build four new greenfield plants and
also expand some of its existing facilities in the region. A second new plant
in Bangkok, Thailand will produce beverage and battery label products for
South East Asia and Australia. CCL will enter Vietnam with a new facility in
Ho Chi Minh City, focused on personal care products. A new start-up in Pune,
India will focus on personal care and healthcare customers and a new
greenfield site in Tianjin will become the Company's first healthcare plant in
China as well as produce labels for personal care customers. Investments will
also be made to expand the capability of the Hefei, China plant to supply home
and personal care products to global customers located in the important
Shanghai region. The Company's sales and technical centre in Japan will be
expanded to become a pilot manufacturing facility for personal care labels.
    Geoffrey Martin, President and CEO of CCL Industries said, "All of our
existing operations in Asia are now solidly profitable and we have formed an
excellent team of local managers who have ambition to grow. Emerging market
sales now represent approximately 17% of our Label business but we would like
to see that grow to 30% in the next three to five years to be more closely
aligned with the sales of our important global customers. This would require
us to more than double the size of our existing presence in Asia. We believe
the highly successful organic growth model that we have deployed in this
region should be continued, at least for our core markets and will provide
increased benefits to our customers and shareholders."
    With headquarters in Toronto, Canada, CCL Industries now employs
approximately 5,400 people and currently operates 55 production facilities in
North America, Europe, Latin America and Asia Pacific. 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.





For further information:

For further information: Steve Lancaster, Executive Vice President and
Acting Chief Financial Officer, (416) 756-8517; For more details on CCL, visit
our web site - www.cclind.com

Organization Profile

CCL INDUSTRIES INC.

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