Owens-Illinois of the US, has raised its stake in Peruvian subsidiary Vidrios Industriales S.A. (Vinsa) to 90% from 59.5%, Vinsa“s general manager said.
Michael Bail announced that the US company bo…
Owens-Illinois of the US, has raised its stake in Peruvian subsidiary Vidrios Industriales S.A. (Vinsa) to 90% from 59.5%, Vinsa“s general manager said. Michael Bail announced that the US company bought 30.5% of Vinsa“s common stock from Peruvian brewer Compania Nacional de Cerveza (CNC) for an undisclosed amount in a private operation between Owens-Illinois and CNC that was finalized during the second half of last December. Vinsa hopes to boost sales by 30% in 1996 and invest US$ 15 million in the next four years. Vinsa sold 84 million bottles in 1995, up from 45 million the previous year. “Since Owens-Illinois entered Vinsa as a shareholder in March 1993, we have invested US$ 16 million to modernize our plant,” Bail said. Owens-Illinois, Inc. has also announced a 19% increase in earnings for the first three months of 1996. The US company reported net earnings of US$ 39.6 million, or US$ 0.33 per share, compared with US$ 33.3 million, or US$ 0.28 per share, for the first quarter of 1995. The domestic glass container operations reported slightly higher operating profits as the effect of lower unit shipments was offset by cost control programmes and improved productivity. The company“s international operations reported increased sales with operating profit about equal to the prior year“s first quarter. Currency devaluation in Venezuela and a modest economic slowdown in Brazil adversely affected results in those countries. Affiliates in Hungary, Finland, and Estonia, which were acquired at the end of 1995, made positive contributions to international results in the first quarter.