CCL Industries Plans to Invest C$45 million to Support Growth of its Mexican Operations

CCL Industries, a world leader in specialty packaging and labelling solutions for the consumer products and healthcare industries, confirmed today its intention to invest C$45 million over the next two years in its Label, Container and Plastic Tube operations in Mexico.

CCL Label Mexico will move to a new state-of-the-art, 140,000 square foot facility in Mexico City. This will include a C$10 million investment in new label converting and pre-press technologies. The new facility will also include high-speed tube extrusion lines with labelling and screen printing decorating capability, allowing the Company to produce high-end plastic tubes in the same building as its personal care label operation. Investment plans also include new leading edge offset and rotogravure printing presses to service the personal care and fast growing beverage label business. The new label and tube facility will be fully operational by the spring of 2007.

The plans also include building a greenfield aluminum aerosol and bottle producing plant including new high-speed equipment for both the personal care and beverage markets. The new plant will be approximately 100,000 square feet and located in the Guanajuato region, north of Mexico City, in order to be close to significant customers and easy access to the U.S. market. The new plant is targeted to come on line in early 2008.