O-I Glass Chief Financial Officer John Haudrich will present at 1:20 p.m. ET.

A live webcast of the presentation will be available at:
https://bofa.veracast.com/webcasts/bofa/globalagriculture2024/id2904pt.cfm

The replay will be available through the above link within 24 hours of the presentation and will be archived for 90 days following the completion of the conference.

Slides from the presentation will be posted on the Company’s website, www.o-i.com/investors, prior to the event.

ABOUT O-I GLASS 

At O-I Glass, Inc. (NYSE: OI), we love glass, and we are proud to be one of the leading producers of glass bottles and jars around the globe. Glass is not only beautiful, it is also pure, healthy, and completely recyclable, making it the most sustainable rigid packaging material. Headquartered in Perrysburg, Ohio (USA), O-I is the preferred partner for many of the world’s leading food and beverage brands. We innovate in line with customers’ needs to create iconic packaging that builds brands around the world. Led by our diverse team of approximately 23,000 people across 68 plants in 19 countries, O-I achieved revenues of $7.1 billion in 2023. Learn more about us:  o-i.com / Facebook / Twitter / Instagram / LinkedIn

contact:

SASHA SEKPEH
Sr. Finance Coordinator
Alexandra.Sekpeh@o-i.com
567.336.5128

The post O-I Glass to Present at BofA Securities 2024 Global Agriculture and Materials Conference appeared first on O-I.

Recycled glass is valuable for glass manufacturers. It’s one of the four main ingredients in creating new glass bottles and jars. O-I Glass aspires to make glass recycling available in 100% of the communities where we operate. We’re getting creative to build glass recycling programs to support our communities, and Glass4Good has been one of our most successful programs.

“Glass is a very unique material,” said Bob Hippert, Sustainability Strategy Leader at O-I. “It’s 100% recyclable, it’s infinitely recyclable, and you can melt it over and over again without losing quality. You can combine it with any recycled content level to create new containers.” 

Recycled glass is important not only to O-I, but also to consumers and customers that are asking for higher recycled content in the containers O-I makes, Hippert explained. 

Using recycled glass to create new glass containers makes the manufacturing process more sustainable by requiring less energy and creating fewer emissions. For every one ton of recycled glass used in the manufacturing process, more than one ton of raw materials is saved, and for every 10% of recycled glass used in the manufacturing process, energy consumption is reduced by about 3% and carbon emissions by 5%.  

Glass4Good Generates Recycled Glass

Among our corporate sustainability goals is incorporating an average of 50% cullet, or recycled glass, in our packages globally by 2030. One of the largest challenges in achieving that goal is the varying availability of cullet for manufacturing. Sometimes communities don’t have the right equipment or the right systems in place to collect glass for recycling. 

“We need a lot of cullet, but not all of this cullet is available out there in the market for us to procure, so we want to reach the ecosystem around our plant communities,” said Sammy Holaschutz, Recycling Systems Development Leader at O-I. 

Glass4Good Creates Incentives to Recycle Glass

Through the Glass4Good program, O-I incentivizes residents to recycle – O-I makes a charitable donation based on the amount of glass that the community recycles.  

“Glass4Good gave us an opportunity to give back to our communities while also increasing recycled content for our products and bringing glass recycling to our communities,” said Elizebeth Hupp, Global Social Engagement Leader at O-I. 

O-I operates Glass4Good in four communities in which the company operates – Danville, VA, Greeley, CO, James City County, VA, and Jefferson County, PA. 

Glass is collected at designated collection sites throughout the communities, is weighed and processed into clean cullet, then returned to O-I facilities to be made into new glass bottles, sometimes in as little as 30 days. 

The impact of a recycled bottle extends beyond the environmental benefits through Glass4Good. O-I incentivizes residents to recycle their glass by making a charitable donation to a local organization based on the weight of recycled glass every quarter, helping to better each Glass4Good community.  

Recycled Glass Creates Social Impact Through Glass4Good

Since the program’s inception in 2021, Glass4Good has collected over 1,200 tons of glass, resulting in over $47,000 in charitable donations to local organizations. 

In Danville, VA, O-I makes charitable donations to the United Way of Danville Pittsylvania County – which uses donated funds to support the Danville Pittsylvania Cancer (DPC). 

“Glass4Good is helping to save lives,” said Cathy Gore, President and CEO of United Way of Danville Pittsylvania County.  

In 2023, donations from the Danville program ensured that DPC clients could attend 224 appointments, covering a cumulative distance of nearly 19,000 miles.  

“Each visit means a cancer patient is receiving lifesaving treatment,” Gore explained. 

Glass4Good has been well received by communities. All four programs saw an increase in the amount of glass recycled in 2023 compared to the previous year, most notably an 84% increase in the Greeley, Colorado program.  

The Glass4Good program would not be possible without strong partnerships across communities, non-profit organizations, customers and suppliers. The program showcases the impact that can be made through collaboration and innovation, particularly in breaking down the barriers of glass recycling. These important partnerships help O-I to divert glass from landfills and better the communities in which it operates, one glass bottle at a time. 

The post New Video: O-I Creates Glass Recycling Ecosystems Through Glass4Good appeared first on O-I.

Perrysburg / Vaulx-en-Velin (February 20, 2024) — O-I Glass, Inc (NYSE: OI) announced today the company is investing €95 million into two of its French glass packaging production facilities. As a continuation of its modernization investment program, these significant investments aim to upgrade the sustainability, flexibility, and productivity of its operations in Gironcourt-sur-Vraine and Reims. This investment is consistent with O-I’s recently updated ESG roadmap which is aligned with our previously announced capital spending plan.

In Gironcourt, where the plant recently marked its 120th anniversary, €55 million will be invested in close cooperation with one of its key customers to rebuild a furnace and equip it with innovative GOAT technology (Gas Oxy Advanced Technology).

This innovative approach – already successfully implemented last year at the O-I plant in Vayres (France) – uses a mix of gas and oxygen to heat the furnace. In combination with a newly installed heat recovery system to pre-heat raw materials and recycled glass, the new installation is expected to reduce CO2 emissions by up to 18%.

In addition to the furnace upgrade, a production line at the plant will be modernized to further increase flexibility and capacity. An average of about 80% of the plant’s raw materials is comprised of scrap and locally recycled glass, underlining the circular and local nature of glass packaging.

The majority of the glass bottles produced in Gironcourt are supplied to customers by rail, reducing the number of trucks per week by about 250. The new expenditure into Gironcourt will increase the total investment into the site to almost €120 million since 2019 when O-I established an all-new third furnace in Gironcourt. The plant produces approximately 1.9 billion bottles a year, primarily for the beer market.

In Reims, O-I completed a €40 million investment for a major upgrade including the full renovation of one of the plant’s two furnaces and a production line, as well as the installation of all-new equipment. On top of multiple operational benefits, this also resulted in an overall energy reduction of about 5%.

In total, O-I has invested €90 million into the Reims site since 2019, when its other furnace was rebuilt—contributing to making it one of the most modern plants within O-I’s global footprint.

The Reims plant, which celebrated its 150 years anniversary in 2023, is a model for O-I’s overall sustainability efforts. An average of about 90% of its raw material consists of scrap and locally recycled glass (“cullet”). The high cullet rate is a major contributor in reducing the plant’s CO2 emissions by about 60% and fine particle emissions by about 80%. Since the 2019 investment, waste heat from glass packaging production has been recovered to be used in domestic homes in the local community.

The O-I plant in Reims is ideally located in the heart of the Champagne vineyards minimizing delivery routes and time to the wineries. The plant delivers champagne bottles to nearby customers with trucks powered by grapeseed and fryer oil resulting in about a 60% CO2 emission reduction compared to diesel fuel and about 80% less fine particles emissions.

The plant serves a highly diverse customer base serving more than 1,000 customers in France. It is able to produce bottles in three colors and in sizes ranging from 0.2l to Magnum. It produces 300 million bottles a year for the Champagne, Burgundy, Loire Valley, and Alsace markets.

For Walter Ferrer, Managing Director of O-I Glass for Southwest Europe, “these very significant investments are perfectly in line with the global approach adopted by O-I to reinforce our commitment to sustainable development, increase the energy efficiency of our equipment, create more resilient supply chains and constantly seek to improve the working conditions of our teams. They also demonstrate the confidence we have in our facilities in France, and our full commitment to serving our customers, our teams, and the planet.”

ABOUT O-I

At O-I Glass, Inc. (NYSE: OI), we love glass and we’re proud to be one of the leading producers of glass bottles and jars around the globe. Glass is not only beautiful, it’s also pure and completely recyclable, making it the most sustainable rigid packaging material. Headquartered in Perrysburg, Ohio (USA), O-I is the preferred partner for many of the world’s leading food and beverage brands. We innovate in line with customers’ needs to create iconic packaging that builds brands around the world. Led by our diverse team of more than 24,000 people across 69 plants in 19 countries, O-I achieved net sales of $6.9 billion in 2022.

Learn more about us: o-i.com / Facebook / Twitter / Instagram / LinkedIn

CONTACT

James Woods, PR Lead
James.Woods@o-i.com  
+1 724-732-5748

Forward-Looking Statements 

This press release contains “forward-looking” statements related to O-I Glass, Inc. (“O-I Glass” or the “company”) within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) and Section 27A of the Securities Act of 1933, as amended. Forward-looking statements reflect the company’s current expectations and projections about future events at the time, and thus involve uncertainty and risk. The words “believe,” “expect,” “anticipate,” “will,” “could,” “would,” “should,” “may,” “plan,” “estimate,” “intend,” “predict,” “potential,” “continue,” and the negatives of these words and other similar expressions generally identify forward-looking statements.

It is possible that the Company’s future financial performance may differ from expectations due to a variety of factors including, but not limited to the following: (1) the general political, economic and competitive conditions in markets and countries where the Company has operations, including uncertainties related to economic and social conditions, trade disputes, disruptions in the supply chain, competitive pricing pressures, inflation or deflation, changes in tax rates and laws, war, civil disturbance or acts of terrorism, natural disasters, public health issues and weather, (2) cost and availability of raw materials, labor, energy and transportation (including impacts related to the current Ukraine-Russia and Israel-Hamas conflicts and disruptions in supply of raw materials caused by transportation delays), (3) competitive pressures, consumer preferences for alternative forms of packaging or consolidation among competitors and customers, (4) changes in consumer preferences or customer inventory management practices, (5) the continuing consolidation of the Company’s customer base, (6) the Company’s ability to improve its glass melting technology, known as the MAGMA program, and implement it within the timeframe expected, (7) unanticipated supply chain and operational disruptions, including higher capital spending, (8) seasonability of customer demand, (9) the failure of the Company’s joint venture partners to meet their obligations or commit additional capital to the joint venture, (10) labor shortages, labor cost increases or strikes, (11) the Company’s ability to acquire or divest businesses, acquire and expand plants, integrate operations of acquired businesses and achieve expected benefits from acquisitions, divestitures or expansions, (12) the Company’s ability to generate sufficient future cash flows to ensure the Company’s goodwill is not impaired, (13) any increases in the underfunded status of the Company’s pension plans, (14) any failure or disruption of the Company’s information technology, or those of third parties on which the Company relies, or any cybersecurity or data privacy incidents affecting the Company or its third-party service providers, (15) risks related to the Company’s indebtedness or changes in capital availability or cost, including interest rate fluctuations and the ability of the Company to generate cash to service indebtedness and refinance debt on favorable terms, (16) risks associated with operating in foreign countries, (17) foreign currency fluctuations relative to the U.S. dollar, (18) changes in tax laws or U.S. trade policies, (19) the Company’s ability to comply with various environmental legal requirements, (20) risks related to recycling and recycled content laws and regulations, (21) risks related to climate-change and air emissions, including related laws or regulations and increased ESG scrutiny and changing expectations from stakeholders and the other risk factors discussed in the Company’s filings with the Securities and Exchange Commission.

It is not possible to foresee or identify all such factors. Any forward-looking statements in this document are based on certain assumptions and analyses made by the Company in light of its experience and perception of historical trends, current conditions, expected future developments, and other factors it believes are appropriate in the circumstances. Forward-looking statements are not a guarantee of future performance and actual results or developments may differ materially from expectations. While the Company continually reviews trends and uncertainties affecting the Company’s results of operations and financial condition, the Company does not assume any obligation to update or supplement any particular forward-looking statements contained in this document.

The post Record Investment for O-I Glass in France: €95 Million to Upgrade Plants in Gironcourt and Reims appeared first on O-I.

Perrysburg / Vaulx-en-Velin (February 13, 2024) — O-I Glass, Inc. (“O-I Glass” or “O-I”) plans to install a waste heat recovery system at its Veauche, France operations. Heat recovered from the facility’s glassmaking furnace will feed a new internal energy distribution network and will supply up to 94 percent of the plant’s heating needs.  

“We’re leveraging product and process innovations to transform our operations toward lower-carbon outcomes,” said Randy Burns, Chief Sustainability and Corporate Affairs Officer for O-I Glass. “Heat recovery is one of the many levers we are using to advance the sustainability of our operations through energy efficiency.” 

O-I’s sustainability roadmap has set challenging, but attainable goals for energy efficiency technology advancement, along with the sourcing of renewable electricity and emissions reduction. The company is targeting 40 percent renewable electricity use by 2030 and to reduce total energy consumption by 9 percent globally. 

Transformational funds provided by the French Environment and Energy Management Agency (ADEME) supported the installation of the heat recovery system. Technical support for the system is provided through a partnership with ENGIE Solutions, which contributed its expertise in feasibility analysis, planning, and funding, and will implement and operate the equipment on site. The partnership builds upon a broader agreement with ENGIE, a leading French multinational utility company, to supply O-I facilities across Europe with green electricity generated from solar, wind and hydro sources over a ten-year period.   

For Walter Ferrer, Managing Director of O-I Glass for the South-West Europe region, “this project makes a very tangible contribution to decarbonizing the Veauche site, improves its competitiveness and is in line with the company’s overall strategy towards sustainable development. With the contribution of ENGIE Solutions’ skills in energy performance and the support of ADEME and the French government, it also illustrates our ability to forge strategic partnerships with private and public players. This operation is especially important for us because it can serve as a blueprint for other plants”. 

In addition to the installation of heat recovery technology at the Veauche facility, O-I has similar systems in place in its French plants of Reims and Vayres. The heat recovered from the Reims plant is used in domestic homes in the local community. In Vayres, the heat is used to pre-heat recycled glass – an important raw material in glass manufacturing – which in turn reduces energy consumption manufacturing process.  

To learn more about the ways O-I is advancing sustainability and energy efficiency in its global operations, visit http://o-i.com/sustainability/ 

ABOUT O-I   

At O-I Glass, Inc. (NYSE: OI), we love glass and we’re proud to be one of the leading producers of glass bottles and jars around the globe. Glass is not only beautiful, it’s also pure, healthy and completely recyclable, making it the most sustainable rigid packaging material. Headquartered in Perrysburg, Ohio (USA), O-I is the preferred partner for many of the world’s leading food and beverage brands. We innovate in line with customers’ needs to create iconic packaging that builds brands around the world. Led by our diverse team of approximately 24,000 people across 68 plants in 19 countries, O-I achieved revenues of $6.9 billion in 2022.  Learn more about us: 
o-i.com / Facebook / Twitter / Instagram / LinkedIn 

CONTACT:   

James Woods  

PR Lead  

James.Woods@o-i.com   

+1 724-732-5748  

Forward-Looking Statements  

This press release contains “forward-looking” statements related to O-I Glass, Inc. (“O-I Glass” or the “company”) within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) and Section 27A of the Securities Act of 1933, as amended. Forward-looking statements reflect the company’s current expectations and projections about future events at the time, and thus involve uncertainty and risk. The words “believe,” “expect,” “anticipate,” “will,” “could,” “would,” “should,” “may,” “plan,” “estimate,” “intend,” “predict,” “potential,” “continue,” and the negatives of these words and other similar expressions generally identify forward-looking statements.  

It is possible that the Company’s future financial performance may differ from expectations due to a variety of factors including, but not limited to the following: (1) the general political, economic and competitive conditions in markets and countries where the Company has operations, including uncertainties related to economic and social conditions, trade disputes, disruptions in the supply chain, competitive pricing pressures, inflation or deflation, changes in tax rates and laws, war, civil disturbance or acts of terrorism, natural disasters, public health issues and weather, (2) cost and availability of raw materials, labor, energy and transportation (including impacts related to the current Ukraine-Russia and Israel-Hamas conflicts and disruptions in supply of raw materials caused by transportation delays), (3) competitive pressures, consumer preferences for alternative forms of packaging or consolidation among competitors and customers, (4) changes in consumer preferences or customer inventory management practices, (5) the continuing consolidation of the Company’s customer base, (6) the Company’s ability to improve its glass melting technology, known as the MAGMA program, and implement it within the timeframe expected, (7) unanticipated supply chain and operational disruptions, including higher capital spending, (8) seasonability of customer demand, (9) the failure of the Company’s joint venture partners to meet their obligations or commit additional capital to the joint venture, (10) labor shortages, labor cost increases or strikes, (11) the Company’s ability to acquire or divest businesses, acquire and expand plants, integrate operations of acquired businesses and achieve expected benefits from acquisitions, divestitures or expansions, (12) the Company’s ability to generate sufficient future cash flows to ensure the Company’s goodwill is not impaired, (13) any increases in the underfunded status of the Company’s pension plans, (14) any failure or disruption of the Company’s information technology, or those of third parties on which the Company relies, or any cybersecurity or data privacy incidents affecting the Company or its third-party service providers, (15) risks related to the Company’s indebtedness or changes in capital availability or cost, including interest rate fluctuations and the ability of the Company to generate cash to service indebtedness and refinance debt on favorable terms, (16) risks associated with operating in foreign countries, (17) foreign currency fluctuations relative to the U.S. dollar, (18) changes in tax laws or U.S. trade policies, (19) the Company’s ability to comply with various environmental legal requirements, (20) risks related to recycling and recycled content laws and regulations, (21) risks related to climate-change and air emissions, including related laws or regulations and increased ESG scrutiny and changing expectations from stakeholders and the other risk factors discussed in the Company’s filings with the Securities and Exchange Commission.  

It is not possible to foresee or identify all such factors.  Any forward-looking statements in this document are based on certain assumptions and analyses made by the Company in light of its experience and perception of historical trends, current conditions, expected future developments, and other factors it believes are appropriate in the circumstances.  Forward-looking statements are not a guarantee of future performance and actual results or developments may differ materially from expectations.  While the Company continually reviews trends and uncertainties affecting the Company’s results of operations and financial condition, the Company does not assume any obligation to update or supplement any particular forward-looking statements contained in this document.  

The post O-I Advances Sustainability of its Operations appeared first on O-I.

Heat recovered from the facility’s glass-making furnace will feed a new internal energy distribution network and will supply up to 94% of the plant’s heating needs.

“We are leveraging product and process innovations to transform our operations toward lower-carbon outcomes,” said Randy Burns, Chief Sustainability and Corporate Affairs Officer for O-I Glass. “Heat recovery is one of the many levers we are using to advance the sustainability of our operations through energy efficiency.”

Through its sustainability roadmap, O-I has set challenging yet attainable goals for energy efficiency technology advancement, along with the sourcing of renewable energy and emissions reduction. As part of our corporate sustainability goals, O-I is targeting 40% renewable energy use by 2030 and to reduce total energy consumption by nine percent globally.

In addition to the installation of heat recovery technology at the Veauche facility, O-I also has similar systems in place in Reims and in Vayres, France. The heat recovered from the Reims plant is used to heat homes and residents’ water in the local community.

Transformational funds through the French Environment and Energy Management Agency (ADEME) support the installation of the heat recovery system. Technical support for the system is provided through a partnership with ENGIE Solutions. The partnership builds upon a broader agreement with ENGIE, a leading French multinational utility company, to supply O-I facilities across Europe with green electricity generated from solar, wind and hydro sources over a 10-year period.

“This project makes a very tangible contribution to decarbonizing the Veauche site, improves its competitiveness and is in line with the company’s overall strategy towards sustainable development,” said Walter Ferrer, Managing Director of O-I Glass for South-West Europe. “With the contribution of ENGIE Solutions’ skills in energy performance and the support of ADEME and the French government, it also illustrates our ability to forge strategic partnerships with private and public players. This operation is especially important for us because it can serve as a blueprint for other plants”.

To learn more about the ways O-I is advancing sustainability and energy efficiency in its global operations, read our sustainability report.

The post Advancing Sustainability with Heat Recovery System in Veauche, France appeared first on O-I.

PERRYSBURG, Ohio, Feb. 13 2024 — O-I Glass, Inc. (“O-I Glass” or “O-I”) has announced the launch of a lightweight glass wine bottle with reduced carbon impact in the French market, the latest proof point in O-I’s pursuit of its approved SBTi (Science Based Targets Initiative) target to reduce GHG (greenhouse gas) emissions 25% by 2030.

Validated by the Carbon Trust, the innovative lightweight glass wine bottle, named Estampe, is a result of O-I’s vision to be the most sustainable producer of sustainable glass packaging. 

At O-I, the company believes glass is already the most sustainable packaging solution, as it is 100% and infinitely recyclable, and made from natural materials. The innovative Estampe bottle strengthens the overall sustainability with a reduced carbon footprint – about 25% less carbon emissions compared to conventional 500g wine bottles.  

The Estampe bottle weighs about 390g, which is below the average of wine bottles in the French market. The R&D team at O-I developed Estampe to leverage greater recycled content, up to 80% or more on average – well above the current European average of 50% recycled content.  

To maximize the credibility and overall sustainability of Estampe, O-I worked with the Carbon Trust to achieve the first validated, eco-designed 75 cl bottle to meet their criteria for low carbon packaging. The residual footprint offset by the purchase of carbon credits supports such things as orchard planning in France and reforestation projects in Brazil.  

“Our customers and consumers alike continue to seek sustainable packaging solutions. The addition of a lower carbon lightweight bottle that’s validated by the Carbon Trust demonstrates how we’re innovating to create brand-building, iconic, sustainable solutions,” says Arnaud Aujouannet, Chief Sales and Marketing Officer for O-I. “O-I has been innovating glass bottles for more than a century, and as the demand for lightweight, lower impact packaging rises, we’re focused on transforming our processes and technology to meet that need without compromising on design.” 

Estampe is designed to be right-weighted, functional, sustainable, and stunning. It joins an array of O-I’s existing lighter weight glass bottles across the company’s global portfolio. Lightweight wine bottles have been designed by O-I to meet customer demands for smaller impact while still protecting the taste and experience of the wine.  

“At O-I, our sustainability goals are purposefully ambitious and aspirational because that’s what drives innovation and transformation,” says Randy Burns, Chief Sustainability and Corporate Affairs Officer for O-I. “The thoughtful, diligent work in creating this lower impact wine bottle that’s validated by the Carbon Trust demonstrates O-I’s commitment to a sustainable tomorrow.”  

O-I has the vision to be the most innovative, sustainable, and chosen supplier of brand-building packaging solutions. The road to sustainability is paved by innovation. The launch of a lightweight lower carbon impact glass wine bottle for French wine makers, validated by the Carbon Trust, demonstrates how O-I is innovating packaging to create sustainable solutions. 

END ### 

ABOUT O-I GLASS  

At O-I Glass, Inc. (NYSE: OI), we love glass, and we are proud to be one of the leading producers of glass bottles and jars around the globe. Glass is not only beautiful, it is also pure, healthy, and completely recyclable, making it the most sustainable rigid packaging material. Headquartered in Perrysburg, Ohio (USA), O-I is the preferred partner for many of the world’s leading food and beverage brands. We innovate in line with customers’ needs to create iconic packaging that builds brands around the world. Led by our diverse team of approximately 23,000 people across 68 plants in 19 countries, O-I achieved revenues of $7.1 billion in 2023. Learn more about us: 
o-i.com / Facebook / Twitter / Instagram / LinkedIn 

Forward-Looking Statements 

This press release contains “forward-looking” statements related to O-I Glass, Inc. (“O-I Glass” or the “company”) within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) and Section 27A of the Securities Act of 1933, as amended. Forward-looking statements reflect the company’s current expectations and projections about future events at the time, and thus involve uncertainty and risk. The words “believe,” “expect,” “anticipate,” “will,” “could,” “would,” “should,” “may,” “plan,” “estimate,” “intend,” “predict,” “potential,” “continue,” and the negatives of these words and other similar expressions generally identify forward-looking statements. 

It is possible that the Company’s future financial performance may differ from expectations due to a variety of factors including, but not limited to the following: (1) the general political, economic and competitive conditions in markets and countries where the Company has operations, including uncertainties related to economic and social conditions, trade disputes, disruptions in the supply chain, competitive pricing pressures, inflation or deflation, changes in tax rates and laws, war, civil disturbance or acts of terrorism, natural disasters, public health issues and weather, (2) cost and availability of raw materials, labor, energy and transportation (including impacts related to the current Ukraine-Russia and Israel-Hamas conflicts and disruptions in supply of raw materials caused by transportation delays), (3) competitive pressures, consumer preferences for alternative forms of packaging or consolidation among competitors and customers, (4) changes in consumer preferences or customer inventory management practices, (5) the continuing consolidation of the Company’s customer base, (6) the Company’s ability to improve its glass melting technology, known as the MAGMA program, and implement it within the timeframe expected, (7) unanticipated supply chain and operational disruptions, including higher capital spending, (8) seasonability of customer demand, (9) the failure of the Company’s joint venture partners to meet their obligations or commit additional capital to the joint venture, (10) labor shortages, labor cost increases or strikes, (11) the Company’s ability to acquire or divest businesses, acquire and expand plants, integrate operations of acquired businesses and achieve expected benefits from acquisitions, divestitures or expansions, (12) the Company’s ability to generate sufficient future cash flows to ensure the Company’s goodwill is not impaired, (13) any increases in the underfunded status of the Company’s pension plans, (14) any failure or disruption of the Company’s information technology, or those of third parties on which the Company relies, or any cybersecurity or data privacy incidents affecting the Company or its third-party service providers, (15) risks related to the Company’s indebtedness or changes in capital availability or cost, including interest rate fluctuations and the ability of the Company to generate cash to service indebtedness and refinance debt on favorable terms, (16) risks associated with operating in foreign countries, (17) foreign currency fluctuations relative to the U.S. dollar, (18) changes in tax laws or U.S. trade policies, (19) the Company’s ability to comply with various environmental legal requirements, (20) risks related to recycling and recycled content laws and regulations, (21) risks related to climate-change and air emissions, including related laws or regulations and increased ESG scrutiny and changing expectations from stakeholders and the other risk factors discussed in the Company’s filings with the Securities and Exchange Commission. 

It is not possible to foresee or identify all such factors. Any forward-looking statements in this document are based on certain assumptions and analyses made by the Company in light of its experience and perception of historical trends, current conditions, expected future developments, and other factors it believes are appropriate in the circumstances. Forward-looking statements are not a guarantee of future performance and actual results or developments may differ materially from expectations. While the Company continually reviews trends and uncertainties affecting the Company’s results of operations and financial condition, the Company does not assume any obligation to update or supplement any particular forward-looking statements contained in this document. 

The post O-I Advances Lighter Weight, Lower Carbon Wine Bottle in France appeared first on O-I.

Full Year 2023 Results

“I’m pleased to report strong 2023 performance as we successfully navigated softer macro conditions that developed over the course of the year including significant inventory de-stocking across the value chain. O-I continued to execute well through the fourth quarter and business performance moderately exceeded our expectations. As we concluded the year, strong net price and the benefit from our margin expansion initiatives helped mitigate the impact of softer demand and elevated production curtailment to balance supply with lower shipments,” said Andres Lopez, O-I Glass CEO.

“In addition to operating well in 2023, we continued to advance our long-term strategy. The benefit from margin expansion initiatives significantly exceeded our target with the strongest results in that program’s seven-year history. We made solid progress on our capital expansion program completing the first round of new capacity additions in Canada and Colombia, on time and on budget. Importantly, development efforts for MAGMA and ULTRA continued and our first MAGMA Greenfield project in Bowling Green, KY is on track to be commissioned in mid-2024. Our freshly updated ESG roadmap has been fully integrated into our strategy and long-term capital allocation plan as we advance glass as the most sustainable packaging solution. Finally, our balance sheet is in its best position in nearly a decade.”

“Building off our strong operating performance last year, O-I is well positioned to manage through current soft macro conditions that should improve as the year progresses. I believe the most challenging market conditions are behind us and we anticipate stronger future earnings as both sales and production volumes recover to pre-pandemic levels over time,” concluded Lopez.

Net sales were $7.1 billion in 2023, up approximately 4 percent compared to $6.9 billion in the prior year primarily due to higher average selling prices as well as favorable foreign currency translation. As anticipated, sales volume (in tons) was down 12 percent from the prior year mainly attributed to elevated inventory destocking across the value chain amid modestly softer consumer consumption.

Earnings before income taxes were $67 million in 2023, down from $805 million in the prior year mostly due to items management does not consider representative of ongoing operations which included a $445 million charge for impairment of goodwill in the company’s North America reporting unit in 2023 as well as a $334 million one-time gain on sales-leaseback transactions in 2022 that did not repeat. The goodwill impairment primarily reflected changes in macro conditions resulting in lower sales volumes and a smaller asset base following recent restructuring activities intended to improve long-term performance as well as the impact of a higher weighted average cost of capital on valuation given elevated interest rates. Earnings also reflected higher segment operating profit which was partially offset by elevated interest expense.

Segment operating profit was $1,193 million in 2023 compared to $960 million in the prior year.

• Americas: Segment operating profit in the Americas was $511 million compared to $472 million in 2022 and primarily benefited from favorable net price and margin expansion initiatives which were partially offset by the impact of lower sales volume and elevated operating costs mostly attributed to temporary production curtailments to balance supply with lower demand. Segment operating profit also benefited $12 million from favorable foreign currency translation.

• Europe: Segment operating profit in Europe was $682 million compared to $488 million in 2022 and primarily benefited from favorable net price and margin expansion initiatives. These benefits were partially offset by lower sales volume as well as higher operating costs due to temporary production curtailments to balance supply with lower demand. Segment operating profit also benefited $17 million from favorable foreign currency translation.

Retained corporate and other costs were $224 million, down from $232 million in 2022.

O-I reported a loss attributable to the company of $0.67 per share (diluted) in 2023, compared to earnings of $3.67 per share (diluted) in 2022.

Adjusted earnings were $3.09 per share (diluted) in 2023, exceeding management’s most recent guidance of approximately $3.00 per share (diluted) and compared to $2.30 per share (diluted) in 2022.  

Cash provided by operating activities was $818 million in 2023 compared to $154 million in 2022 which included a $621 million one-time payment to fund the Paddock Trust and related expenses.

Free cash flow was $130 million in 2023, within management’s most recent outlook of $100 million to $150 million and compared to $236 million in the prior year.   Free cash flow included elevated capital expenditures of $688 million in 2023 compared to most recent guidance of approximately $700 million and $539 million in 2022. 

Total debt was $4.9 billion on December 31, 2023, compared to $4.7 billion at prior year end. Net debt was $4.0 billion compared to $3.9 billion in 2022. 

Fourth Quarter 2023 Results

Net sales were $1.6 billion in the fourth quarter of 2023 compared to $1.7 billion in the prior year period as the benefit from higher average selling prices and favorable foreign currency translation partially offset a 16 percent decline in sales volumes (in tons).

The company reported a $439 million loss before income taxes in the fourth quarter of 2023 compared to earnings before income tax of $29 million in the prior year quarter. This decrease was mostly due to items management does not consider representative of ongoing operations which included the aforementioned $445 million charge for impairment of goodwill in the company’s North America reporting unit in 2023. Earnings before income tax also reflected lower segment operating profit and elevated interest expense.

Segment operating profit was $168 million in the fourth quarter of 2023 compared to $206 million in the prior year period.

• Americas: Segment operating profit in the Americas was $93 million compared to $83 million in the fourth quarter of 2022 as favorable net price and margin expansion initiatives more than offset lower sales volume and moderately higher operating costs. Segment operating profit also benefited $2 million from favorable foreign currency translation.
• Europe: Segment operating profit in Europe was $75 million compared to $123 million in the fourth quarter of 2022 as favorable net price partially offset lower shipment levels and significantly higher operating costs due to elevated temporary production curtailment to balance supply with softer demand. Segment operating profit also benefited $4 million from favorable foreign currency translation.

Retained corporate and other costs were $49 million, down from $66 million in 2022.

The company reported a loss attributable to the company of $3.05 per share (diluted) in the fourth quarter of 2023 compared to earnings of $0.08 per share (diluted) in the fourth quarter of 2022.

Adjusted earnings were $0.12 per share (diluted) in the fourth quarter of 2023, higher than management’s most recent guidance of approximately $0.03 per share (diluted) and compared to $0.38 (diluted) per share in the prior year quarter.

2024 Outlook

O-I expects 2024 adjusted earnings of $2.25 to $2.65 per share which should meet or exceed the company’s 2024 earnings target of $2.20 to $2.40 per share set during the last Investor Day in 2021. Results will likely be down from 2023, which represented O-I’s highest adjusted earnings in the past 15 years, as the company expects the benefit of low-to-mid single digit volume growth and the company’s robust margin expansion initiatives will partially mitigate the impact of lower net price and higher interest expense. While net price will likely decline in 2024, the company expects to retain 75 percent of the favorable net price realized over the prior two years. Furthermore, the company will benefit from strong operating leverage as sales and production volumes more fully recover to pre-pandemic levels over time.

O-I anticipates 2024 free cash flow will approximate $150 million to $200 million, an improvement from 2023 levels as reduced capital expenditures more than offset lower operating results and elevated tax and interest payments.

Guidance primarily reflects the company’s current view on sales and production volume, mix and working capital trends. O-I’s adjusted earnings outlook assumes foreign currency rates as of January 31, 2024, and a full-year adjusted effective tax rate of approximately 25 to 27 percent. The earnings and cash flow guidance ranges may not fully reflect uncertainty in macroeconomic conditions, currency rates, energy and raw materials costs, supply chain disruptions and labor challenges, among other factors.

Conference Call Scheduled for February 7, 2023

O-I CEO Andres Lopez and CFO John Haudrich will conduct a conference call to discuss the company’s latest results on Wednesday, February 7, 2023, at 8:00 a.m. EST A live webcast of the conference call, including presentation materials, will be available on the O-I website, www.o-i.com/investors, in the News and Events section. A replay of the call will be available on the website for a year following the event.

Contact: Sasha Sekpeh, 567-336-5128 – O-I Investor Relations

O-I news releases are available on the O-I website at www.o-i.com.

O-I’s first quarter 2024 earnings conference call is currently scheduled for Wednesday, May 1, 2024, at 8:00 a.m. EST.

The post O-I Glass Reports Full Year and Fourth Quarter 2023 Results appeared first on O-I.

What:         O-I Conference Call and Webcast

Earnings presentation materials will also be posted on the O-I website,
www.o-i.com/investors, when the earnings news release is issued.

When:        Wednesday, February 7, 2024, at 8 a.m. EST

here:       https://events.q4inc.com/attendee/840343531 or at www.o-i.com/investors,
Events and Presentations page

The webcast will be archived at www.o-i.com/investors until February 2025.

About O-I  

At O-I Glass, Inc. (NYSE: OI), we love glass and we’re proud to be one of the leading producers of glass bottles and jars around the globe. Glass is not only beautiful, it’s also pure, healthy and completely recyclable, making it the most sustainable rigid packaging material. Headquartered in Perrysburg, Ohio (USA), O-I is the preferred partner for many of the world’s leading food and beverage brands. We innovate in line with customers’ needs to create iconic packaging that builds brands around the world. Led by our diverse team of approximately 24,000 people across 69 plants in 19 countries, O-I achieved revenues of $6.9 billion in 2022.  Learn more about us:  o-i.com / Facebook / Twitter / Instagram / LinkedIn

contact:
SASHA SEKPEH
Investor Relations Coordinator
alexandra.sekpeh@o-i.com
567.336.5128

The post O-I GLASS ANNOUNCES FULL YEAR AND FOURTH QUARTER 2023 EARNINGS CONFERENCE CALL AND WEBCAST appeared first on O-I.

Market Shifts: The Winds of Change in RTDs

Consumers have historically perceived RTDs as a quick and easy alternative to a well-crafted cocktail. The tides are shifting, though. In today’s world, where premium products hold a special allure, RTDs are poised for a significant transformation. Innovation within this space now represents a fusion of convenience and sophistication, making them a preferred choice among consumers. 

The global RTD market is expected to witness an impressive growth rate of over 12% through 2027, ultimately reaching a staggering US $40 billion by the end of this period. The driving forces behind this expansion are the rise in popularity of cocktails and long drinks, coupled with the ascent of premium RTD offerings. According to IWSR data, the proportion of RTD consumers who enjoy these beverages more than once a week increased from 39% in 2022 to 43% in 2023, indicating a clear shift in consumer preferences. 

To truly harness the power of premiumization in the RTD market, brands need to adapt and position themselves strategically. And one of the most effective ways to do that is through packaging. 

Overcoming Poor “Shoppability” through Packaging Differentiation

One of the challenges facing the RTD market is the difficulty consumers encounter while navigating the retail shelf. The current array of RTDs often looks remarkably similar, making it challenging for consumers to distinguish between products and make informed choices. This poor “shoppability” issue is highlighted by VideoMining data, which reveals that only 27% of shoppers who engage with RTDs in a grocery aisle ultimately make a purchase. In other words, 73% of shoppers walked away after stopping in front of the RTDs shelf. 

This lack of differentiation on the shelf is where your brand can truly shine by opting for premium glass packaging. Not only does glass convey an immediate sense of sophistication, but it also ensures that your RTD stands out amidst a sea of similar-looking alternatives. With unique bottle shapes, elegant labels, and a commitment to quality, your RTD can capture the attention of discerning shoppers, ultimately leading to increased sales and market share. 

Consumers Equate Glass Packaging with Premium Experience

Consider this: According to the 2023 Hart Research Consumer Survey conducted by the Glass Packaging Institute, consumers overwhelmingly prefer glass bottles over plastic and aluminum containers. This clear preference for glass packaging is a testament to the intrinsic value that consumers associate with premium products. According to IWSR research, more than a third of consumers prefer glass bottles for RTDs, and this is even higher for African Americans – nearly one in two prefer glass over other pack types. 

But it doesn’t stop there. The GPI survey also highlights another compelling statistic – consumers opt for glass not only because of its aesthetic appeal but also because of its sustainability. In fact, the preference for glass leaps to a remarkable 73% when consumers are informed that containers and aluminum cans often contain plastic liners. This trend signifies that consumers are not just looking for sophistication; they want sustainability and integrity in their choices. 

Elevating the RTD Drinking Experience with Glass

The importance of packaging extends beyond mere aesthetics. It has a profound impact on the overall drinking experience. According to research by The IWSR, when it comes to RTDs, most consumers prefer to drink them poured into glass over ice – thus, the choice of packaging can significantly influence how consumers perceive and enjoy their beverages. Glass, in particular, has a unique ability to elevate the drinking experience. 

Studies have shown that drinking from a glass bottle can get you as close as possible to the feeling of sipping a meticulously crafted cocktail from a traditional glass. What’s more, the weight, texture, and sound of clinking glass provide a sensory experience that plastic and aluminum containers simply cannot replicate (I dare you to try). It enhances the sense of occasion, making the consumer feel that they are indulging in a premium beverage. 

For those who appreciate the fine details of enjoying a well-made cocktail, the choice of glass packaging conveys a level of respect for the craft that resonates with discerning consumers. It’s not just a drink; it’s an experience. 

Position Yourself in This Hot RTD Market with Glass Packaging

As the RTD market continues its journey towards premiumization, your brand has an incredible opportunity to differentiate itself and capture the imaginations of discerning consumers. By embracing glass packaging, you can align with the evolving desires of your target audience and set yourself apart from the competition. 

The beauty of glass goes beyond aesthetics; it embodies the essence of premium quality. It not only enhances the visual appeal of your product but also speaks to consumers’ desires for eco-friendly and sustainable choices. 

To truly prepare your brand for the premiumization of RTDs, it’s time to reevaluate your packaging choices. Glass can be the key that unlocks the doors to this thriving market, as it signifies both luxury and sustainability. By making the switch to glass packaging, you’ll not only meet consumer demand but also show your commitment to delivering a superior drinking experience. 

Finally, the premiumization of RTDs presents an exciting opportunity for brands to differentiate themselves in a market characterized by low “shoppability.” To thrive in this volatile environment, you must consider the impact of your packaging choices and switch to glass. Furthermore, by using glass packaging, you are not only embracing premium aesthetics and sustainability, but you are also addressing the issue of retail shelf differentiation and enhancing the overall drinking experience. Making this packaging move can increase your brand’s visibility and shelf appeal, while creating a connection with consumers who appreciate the finer aspects of enjoying their beverages. Premium glass packaging can be the competitive edge your brand needs in a market where standing out is crucial. The time to prepare your brand for RTD premiumization is now. 

The post As Consumer Demand Fuels Premiumization of RTDs, Is Your Brand Ready? appeared first on O-I.

The grapeseed oil is harvested in the Marne and Aubre regions of France and the fryer oil comes from the Paris region.

Leveraging biofuels in the transportation of our bottles results in a 60% CO2 emissions savings compared to diesel fuel and 80% less fine particle emissions.

“To be effective, our commitment to sustainable development must be 360° and involve all segments of our business, from purchasing to production, including our support functions and our day-to-day practices,” said Walter Ferrer, O-I Managing Director, South West Europe. “While we are already well advanced in terms of the circular economy, with rates of recycled raw materials called cullet that can exceed 80%, we are working hard to increase the energy efficiency of our equipment, create more resilient supply chains, and improve the working conditions of our teams.”

This method represents 70% of the plant’s current champagne bottle deliveries. It is the Reims plant’s ambition to deliver all champagne bottles to customers via this system within the next three years.

This is an example of O-I’s sustainability journey to involve the entire value chain and transform our process, products and interconnected relationships to bring life to our vision for a sustainable future.

The post “Driving” Sustainability By Leveraging Biofuels appeared first on O-I.