A 120-year tradition of glassmaking in Sunderland came to an end on 31 March 2007 when Corning Incorporated ceased production at its plant. One hundred jobs will be lost with the closure of the Wear Glass Works. Production at the plant in the Millfield area of the city has been gradually wound down since the closure was confirmed in November 2006. The closure was said to be “regrettable and very sad” by US-owned Corning, and said its decision was to the declining profitability of the plant, which produces glass for scientific and laboratory uses. John O“Hare, communications manager at the company, said 30 March 2007 that Corning would look to support its redundant employees. “This is a sad day for Corning Incorporated, a sad day for the men and women who work at the plant, and a sad day for the city and community, ” he said. Corning“s announcement in 2006 was compounded only weeks later when neighbouring glassmaker Arc International announced it was to end production of Pyrex in Sunderland, with the loss of 240 jobs. Corning has operated the Sunderland facility since 1973, but workers have been making glassware at the plant since entrepreneur James A Jobling took over the site, in 1885. Both Corning and Arc were originally part of the Sunderland Glass Works, which Corning took over in 1973. They were split 21 years later, when the domestic glassware sector of the business was taken on by Newell Rubbermaid, and later by Arc.

Spanish container glass manufacturer Vidrala hopes the production improvements carried out in 2006 will translate into a 10% rise in net profits in 2007, with a 5-10% rise in sales.
In an interview, …

Spanish container glass manufacturer Vidrala hopes the production improvements carried out in 2006 will translate into a 10% rise in net profits in 2007, with a 5-10% rise in sales. In an interview, company president Carlos Delclaux said 2006 had been difficult because of the rise in energy costs, but 2007 would see a clear improvement because of the relaxation of energy prices and the rise in demand. Vidrala closed 2006 with net sales of EUR 306.7 million, up 4.75% on 2005, and a net profit of EUR 29.26 million, 8% higher than the previous year. The company“s results for 2006 were held back by the Corsico plant in northern Italy, and by the stoppage of two furnaces for upgrades, problems which were resolved by the end of the year. Vidrala will invest EUR 90 million by 2009 for upgrades to its furnaces and increases in energy efficiency. Mr. Delclaux said that part of the investment will be used in 2007 for upgrades at the Castellar del Valls plant in Barcelona. “We are looking for an improvement in productivity and efficiency in our plants. We invested a lot of money in them in 2006 and we hope to reap the benefits this year”, he said. The president said Vidrala has ambitious environmental plans for the reduction of CO2 emissions and explained that the group usually uses 80% recycled glass for green and dark colored containers. Mr Delclaux expressed the “glass vocation” of the company and said it would continue seeking to innovate and differentiate its products in the sector. He added that the firm would invest EUR 3 million a year for R&D. The group“s priority is reinforcing its position in Europe, he said, a market seen as favorable for glass sales because of the packaging of products related to the Mediterranean diet, and the group may well search for new opportunities in the east of Europe. “We would look for new markets if the opportunities were obvious and if there were areas where the glass sector was growing strongly”, the president said. Vidrala sells 75% of its output in the Iberian peninsular, 15% in France and 10% in Italy. The president said that in the short term the company intends to concentrate exclusively on the production of glass packaging for food, although in the long term it could start making containers for cosmetics, perfumes and pharmaceuticals. Mr. Delclauz said that the it might consider completing the retribution to shareholders through a complementary increase in capital in 2007, amongst others options. “We have some very faithful shareholders who want sustained growth for the dividend”, Mr. Delclaux said. Vidrala has a pay-out of 40%.