Sonoco Acquires Caraustar's Fiber Container Assets

Hartsville, SC, October 3, 2007--Sonoco has purchased the fiber containers and industrial plastic carriers assets of Caraustar Industries Inc.

The acquisition includes six manufacturing facilities in the United States that employ approximately 260 workers. The fiber container operations produce a variety of spiral-wound recycled paperboard containers used to package adhesives and sealants, lubricating grease and a variety of food and non-food products.

The plastics operations produce injection-molded and extruded plastic converting cores, thread carriers, film packaging, carpet carriers, and adhesive and sealant products.

Terms of the transaction were not disclosed. The operations are anticipated to generate approximately $50 million in annualized sales.

"The addition of Caraustar's fiber containers and plastics operations are a good strategic fit with Sonoco's global rigid paper and plastics businesses," said Harris DeLoach, Jr., chairman, president and chief executive officer.

Sonoco's rigid paper and plastics operations include more than 60 plants in North America, South America, Europe, Asia and Australia. The company is the world's largest manufacturer of rigid paperboard containers, producing a variety of round and shaped spiral-wound, recycled paperboard cans, fiber cartridges, single-wrap paperboard containers and large pails, serving a variety of food and non-food markets.