CCL Releases Record Annual Results and Increases Dividend By 17%



    TORONTO, Feb. 28 /CNW/ -

    February 28, 2008

    Dear Shareholder:

    Please find enclosed the Fourth Quarter and Full Year 2007 Press Release
for CCL Industries Inc.
    Your Company continued to enjoy strong growth in its businesses and
posted record earnings in 2007. Since our last report to you, we have
continued to expand geographically by partnering in Russia to form a joint
venture focused on our global label customers, particularly in the personal
care and beverage sectors. In addition, we have expanded our pressure
sensitive label product lines by entering the durable label business with the
acquisition of CD Design in Germany. This business provides highly technical
and decorated labels to the automotive industry.
    Effective with the Annual General Meeting on May 8, 2008, I am pleased
that Donald Lang will be replacing me as Executive Chairman of the Board and
Geoffrey Martin will advance to replace Mr. Lang as President and Chief
Executive Officer. I look forward to maintaining my active involvement in CCL
by continuing to provide my independent guidance as Lead Director to your
Board of Directors.
    As a result of the strong operating performance and cash flows in 2007
and the solid financial position of the Company, your Board of Directors is
very pleased to approve a 17% increase in the quarterly dividend payable on
March 31, 2008. The quarterly dividend will now be $0.14 per Class B
non-voting share and $0.1275 per Class A voting share.
    Conference calls with our stakeholders are held following the release of
our quarterly results and when significant events require additional
communication. These calls are made to ensure that all stakeholders are kept
current with our business developments and to support our good corporate
governance practices. Presentation materials used during conference calls and
formal investor meetings are posted on our website along with audio recordings
of the meetings. Instructions for accessing these services are set out at the
end of this earnings release.
    We encourage all shareholders to access our website www.cclind.com on a
regular basis for investor and company news including scheduled dates for
future quarterly earnings releases. If you would like to have future Press
Releases e-mailed to you at the time they are issued, please complete the
Information Request Form under the "Investors" tab ("Contact Us" icon) on our
website or write to us at CCL to the attention of Christene Duncan.


    Yours truly,


    Jon K. Grant
    Chairman of the Board


    Investor Update
    ---------------
    
    1. Fourth Quarter and Total Year 2007 Results and Dividend Release
    2. Press Release - CCL-Kontur Joint Venture Label Investment in Russia-
       January 2, 2008
    3. Press Release - CD Design Label Acquisition - February 1, 2008


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

       CCL Releases Record Annual Results and Increases Dividend By 17%


    Results Summary

                                  For Periods Ended December 31st
                       ------------------------------------------------------
                                Three months                Twelve months
                                ------------                -------------
                                 Unaudited                     Unaudited
                       ------------------------------------------------------

    (in millions of
     Cdn dollars,
     except per share                       %                             %
     data)               2007      2006  Change       2007       2006  Change
                         ----      ----  ------       ----       ----  ------


    Sales              $249.7   $ 256.8   (2.8)  $ 1,144.3  $ 1,029.5   11.2
                        -----    ------            -------    -------
                        -----    ------            -------    -------
    Restructuring and
     other items
     - net gain (loss) $  3.2   $  (7.2)         $     4.1  $   (11.5)
                          ---       ---                ---       ----
                          ---       ---                ---       ----
    Net earnings from
     continuing
     operations        $ 20.4   $  21.7   (6.0)  $    93.4  $    64.9   43.9
    Net earnings from
     discontinued
     operations,
     net of tax           1.4       3.4               11.0       12.5
    Gain on sale of
     discontinued
     operations,
     net of tax          43.5         -               43.5          -
                         ----       ----              ----       ----

    Net earnings       $ 65.3   $  25.1  160.2   $   147.9  $    77.4   91.1
                         ----      ----              -----       ----
                         ----      ----              -----       ----

    Per Class B shares
      Continuing
       operations      $ 0.64   $  0.67   (4.5)  $    2.90  $    2.02   43.6
      Discontinued
       operations        0.04      0.11               0.34       0.39
      Gain on sale of
       discontinued
       operations        1.35         -               1.35          -
                         ----      ----               ----       ----
      Class B - net
       earnings        $ 2.03   $  0.78  160.3   $    4.59  $    2.41   90.5
                         ----      ----               ----       ----
                         ----      ----               ----       ----
    Diluted
     earnings per
     Class B           $ 1.95   $  0.75  160.0   $    4.42  $    2.33   89.7
                         ----      ----               ----       ----
                         ----      ----               ----       ----

    Restructuring and
     other items and
     favourable tax
     adjustments - net
     gain (loss)       $ 0.14   $  0.20          $    0.42  $    0.04
                         ----      ----               ----       ----
                         ----      ----               ----       ----
    Number of
     outstanding shares
     (in 000s)
        Weighted average
         for the
         period        32,284    32,240
        Actual at
         period end    32,880    32,602
    

    Toronto, February 28, 2008 - CCL Industries Inc., a world leader in the
development of labelling solutions and specialty packaging for the consumer
products and healthcare industries, announced today its financial results for
the fourth quarter and fiscal year ended December 31, 2007 and the declaration
of its quarterly dividend.
    During fourth quarter 2007, CCL sold its investment in the ColepCCL joint
venture to its majority partner for approximately $145 million, with half paid
in cash and the balance to be paid on February 29, 2008. ColepCCL is treated
as a discontinued operation.
    Sales from continuing operations of $1,144.3 million in 2007 compared to
$1,029.5 million in 2006, up a healthy 11%. This performance comes off a very
strong year in 2006, with growth of 12% over the 2005 sales level despite
unfavourable currency translation. The annualized impact of the ITW
acquisition in 2007 provided a significant part of the sales growth, partially
offset by the two small divestitures in 2006. Organic growth was also a major
contributor to the sales improvement in 2007 with increases in Label and
Container, partially offset by Tube. In 2007, currency translation had a 1%
overall negative effect on sales for the year compared to 2006.
    Net earnings from continuing operations for 2007 were $93.4 million, up
44% from $64.9 million earned in 2006. There was a positive impact on net
earnings in 2007 due to restructuring and other items of $4.1 million
($3.7 million after tax) and by the introduction of lower tax rates in certain
jurisdictions and other tax matters of $9.9 million. Net earnings in 2006 were
affected negatively by restructuring and other items of $11.5 million
($10.2 million after tax) more than offset by a favourable tax settlement with
a foreign jurisdiction and other tax matters of $11.5 million.
    Sales from continuing operations in the fourth quarter 2007 were
$249.7 million, down 3% from the strong fourth quarter of 2006 of $256.8
million. Sales were negatively affected by currency translation of 8%, offset
in part by the ITW acquisition.
    Net earnings from continuing operations for the fourth quarter of 2007 of
$20.4 million were down by 6% from $21.7 million recorded in the fourth
quarter of 2006. The negative impact of currency translation and transactions
were a significant factor in the reduction. Net earnings in the fourth quarter
of 2007 were positively affected by restructuring and other items of
$3.2 million ($2.7 million after tax) and favourable tax adjustments of
$2.1 million due primarily to the introduction of lower tax rates in certain
jurisdictions. Net earnings in the fourth quarter of 2006 were impacted by a
net loss from restructuring and other items of $7.2 million ($3.6 million
after tax), but were more than offset by a favourable tax settlement with a
foreign jurisdiction and other tax matters for a gain of $10.1 million.
    Net earnings in 2007 of $147.9 million included results of the
discontinued ColepCCL business consisting of the gain on its disposal of
$43.5 million after less than four years of ownership and also included its
net earnings from operations in 2007 of $11.0 million. CCL's net earnings in
2006 were $77.4 million. Earnings per Class B share were $4.59 in 2007
compared to $2.41 in 2006.
    Earnings per Class B share for the year 2007 from continuing operations
were $2.90 compared to $2.02 earned in 2006, an increase of 44%. In 2007,
earnings per share from continuing operations were affected positively by
restructuring and other items of $0.12 per share and favourable tax matters of
$0.30 per share. Included in earnings per share for 2006 were losses on
restructuring and other items of $0.32 per share more than offset by
favourable tax matters of $0.36 per share. Unfavourable currency translation
and transactions in 2007 reduced earnings per share from continuing operations
by $0.10 compared to 2006. Diluted earnings per Class B share were $4.42 in
2007 and $2.33 in 2006.
    Earnings per Class B share from continuing operations were $0.64 in the
fourth quarter of 2007 compared to $0.67 earned in the same period last year,
a decrease of 5%. Restructuring and other items and favourable tax adjustments
in the fourth quarter 2007 and 2006 increased earnings per Class B share by
$0.14 and $0.20, respectively, in each quarter. Unfavourable currency
translation and transactions in the fourth quarter 2007 reduced earnings per
share from continuing operations by $0.09 compared to 2006. Earnings per share
from discontinued operations were $0.04 in the fourth quarter of 2007 and
$0.11 in the fourth quarter of 2006. Diluted earnings per Class B share were
$1.95 in the fourth quarter of 2007 and $0.75 in last year's fourth quarter.
    Donald G. Lang, Vice Chairman and Chief Executive Officer said, "We
continue to be pleased by the performance of our business in the fourth
quarter, completing another record year in operational earnings for CCL. Our
earnings per share from continuing operations, excluding restructuring and
other items and favourable tax adjustments in the fourth quarter were 6%
higher than last year's strong fourth quarter despite very unfavourable
currency effects. Our strategy to more than replace the earnings from our
disposed ColepCCL joint venture with organic and acquisition growth in our
specialty packaging core is well underway as evidenced by our recent
acquisitions and our aggressive capital spending program.
    "The Label Division continues to perform well despite a weakening U.S.
economy as we expand into new product lines and markets, invest in high-end
equipment and plants globally and complete accretive acquisitions such as CD
Design and our joint venture in Russia. The Container Division has been able
to improve profitability in 2007 after experiencing difficult margin
challenges created by stubbornly high aluminum costs earlier in the year. The
Tube Division suffered through a weak last half of 2007 as demand for its
high-end personal care tubes softened as the economy dipped."
    Mr. Lang continued, "Overall, 2007 was another great year for CCL. We are
well positioned for further growth in our global specialty packaging
businesses. Our outlook for 2008 is positive although the U.S. economy is a
concern. Our financial results will be impacted by the strong Canadian dollar
compared to a year ago during at least the first half of the year. We are in a
very satisfactory financial position as our financial leverage is
conservative.
    "As a result of our significant cash flow and our forecasts for 2008,
your Board of Directors has declared a healthy 17% increase in the dividend,
after a 9% increase last year. The dividend of $0.14 on the Class B non-voting
shares and $0.1275 on the Class A voting shares will be payable to
shareholders of record at the close of business on March 17, 2008 to be paid
on March 31, 2008. CCL has now increased the dividend by 75% since 2002 and
continues its record of paying quarterly dividends without reduction or
omission for over 25 years. CCL has also filed a normal course issuer bid
commencing March 4, 2008, subject to TSX approval, allowing us to repurchase
up to 2.5 million Class B shares and 13,000 Class A shares in the next twelve
months."
    Mr. Lang concluded, "I am very pleased to announce that effective at the
Company's Annual General Meeting on May 8, 2008 that I will be assuming the
position of Executive Chairman of the Company and will continue to be part of
the senior management operating committee. Our President, Geoffrey Martin,
will assume my former role of Chief Executive Officer as he has been such a
strong part of the recent success of CCL. Jon Grant will continue his active
independent role on behalf of the shareholders by becoming the Board's Lead
Director."
    The Company's financial position is solid. At the end of December 2007,
cash and cash equivalents amounted to $97 million compared to $125 million at
December 31, 2006. The final payment on the ColepCCL sale of $73 million is
due to be received on February 29, 2008. Net debt (a non-GAAP measure, defined
as current debt plus long-term debt less cash and cash equivalents) amounted
to $307 million at the end of 2007, which is $10 million lower than the
$317 million level from a year ago. Net debt to total book capitalization at
year-end 2007 was 29.9%, down from 32.7% at the end of 2006. Book value per
share (a non-GAAP measure, defined as shareholders' equity divided by the
combined outstanding Class A and Class B shares excluding amounts and shares
related to shares held in trust and the executive share purchase plan) is
$22.12 at December 31, 2007 up 10% from a year earlier.

    With headquarters in Toronto, Canada, CCL Industries now employs
approximately 5,300 people and operates 53 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.

    
    Note:  CCL will hold a conference call at 4:00 p.m. EST today,
           Thursday, February 28, 2008 to discuss these results. The Annual
           Audited Financial Statements and Management's Discussion and
           Analysis will be released on March 11, 2008.

           To access this call, please dial:
              Toll-Free North America - 1-800-747-9564 or
              International - 1-212-231-2902

           Post-View service will be available from Thursday, February 28,
           2008 at 6:00 p.m. EST until Saturday, March 29, 2008 at
           11:59 p.m. EDT.

           Dial:    Toll-Free North America - 1-800-558-5253
                    International - 416-626-4100
                    - Access Code: 21373694

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

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


    Wednesday, January 2, 2008

         CCL Industries Forms Joint Venture Label Business in Russia
    

    Toronto, January 2, 2008 - CCL Industries Inc., a world leader in
specialty packaging and labelling solutions for the consumer products and
healthcare markets, announced today that it has created a newly named label
company, CCL-Kontur, that will service the territories of Russia and other CIS
countries.
    The new company is jointly owned by CCL Label and Ilgar Mamedov, a
well-known entrepreneur in the Russian label industry. Mr. Mamedov has
contributed the assets of two label businesses into the new company: Kontur
Plus based in a new state-of-the-art facility in Moscow, and Asterix, based in
St. Petersburg. CCL-Kontur had sales of approximately $26 million in 2007. CCL
is investing approximately $16 million to acquire a 50% interest in these
assets and to provide funding for additional capacity related investments.
    Commenting on the announcement, Geoffrey Martin, President and Chief
Operating Officer of CCL Industries said, "We have known Mr. Mamedov and his
management team for some time and have high regard for them and their
knowledge of both the Russian label industry and the business climate of the
country in general. We consider them excellent partners to introduce CCL Label
products and technologies into one of the fastest growing markets in the
world."
    Mr. Mamedov added, "CCL-Kontur is well placed to supply the existing
global customers CCL Label does business with, many of whom are actively
involved in the Russian consumer products market. We are also delighted to
have access to the know-how of the largest label company in the world."
    Donald Lang, Vice-Chairman and CEO of CCL Industries said, "Russia is
another important step in establishing a global footprint for our company. We
are very fortunate to have found such a good partner who has a proven track
record in other successful joint ventures and distribution businesses with
both North American and European companies and we are excited about our future
growth prospects together."

    With headquarters in Toronto, Canada, CCL Industries employs
approximately 5,200 people and now operates 51 production facilities in North
America, Europe, Latin America and Asia. CCL manufactures pressure sensitive,
shrink-sleeve and in mould labels, aluminium containers and plastic tubes for
leading global companies in the home and personal care, healthcare and
specialty food and beverage markets.

    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 more information, contact:
    Steve Lancaster  Executive Vice President and Chief Financial Officer
    416-756-8517

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

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


    February 1, 2008

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

    Toronto, February 1, 2008 - 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.

    For more information, contact:
    Steve Lancaster  Executive Vice President  416-756-8517

    
    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

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CCL INDUSTRIES INC.

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