Crown Announces Agreement to Sell Its Plastic Closures Business

Thursday, August 18, 2005
Investors

PHILADELPHIA, Aug. 18 /PRNewswire-FirstCall/ -- Crown Holdings, Inc. (NYSE: CCK), today announced that it has entered into an agreement to sell its Global Plastic Closures business to funds managed or advised by PAI partners, a leading European private equity firm, for an aggregate purchase price of approximately US $750 million, which includes the assumption of certain liabilities. The purchase price is subject to adjustment for, among other items, net debt and working capital at closing. Net cash proceeds from the sale are expected to be approximately US $650 million and will be used for general corporate purposes including the repayment of debt. Approximately 75% of the proceeds will be paid in Euros.

Crown's Global Plastic Closures business designs, manufactures and sells plastic closures for consumer packaging worldwide primarily for the personal care, food, beverage, pharmaceutical and industrial end markets. The business has 29 facilities located in 15 countries across Europe, the United States and Asia with approximately 3,500 employees. For the twelve months ended December 31, 2004 total revenues for the business were US $676 million with approximately 76% derived from sales in Europe.

The transaction is subject to certain closing conditions, including the receipt of regulatory approvals and other customary conditions, and is expected to close later this year.

Crown was advised by Citigroup Global Markets Inc.

Cautionary Note Regarding Forward-Looking Statements

Except for historical information, all other information in this press release consists of forward-looking statements. These forward-looking statements involve a number of risks, uncertainties and other factors that may cause actual results to be materially different from those expressed or implied in the forward-looking statements. Important factors that could cause the statements made in this press release to differ include that the transaction is subject to a number of conditions and approvals and that the final purchase price and net cash proceeds are subject to adjustment and exchange rate fluctuations. Other important factors are discussed under the caption "Forward-Looking Statements" in the Company's Form 10-K Annual Report for the year ended December 31, 2004 and in subsequent filings made prior to or after the date hereof. The Company does not intend to review or revise any particular forward-looking statement in light of future events.

Crown Holdings, Inc., through its affiliated companies, is a leading supplier of packaging products to consumer marketing companies around the world. World headquarters are located in Philadelphia, Pennsylvania.

For more information, contact:

Timothy J. Donahue, Senior Vice President - Finance, (215) 698-5088, or

Edward Bisno, Bisno Communications, (917) 881-5441.

SOURCE  Crown Holdings, Inc.
    -0-                             08/18/2005
    /CONTACT:  Timothy J. Donahue, Senior Vice President - Finance, Crown
Holdings, Inc., +1-215-698-5088; or Edward Bisno, Bisno Communications,
+1-917-881-5441/
    /Web site:  http://www.crowncork.com/
    (CCK)

CO:  Crown Holdings, Inc.; PAI partners; Citigroup Global Markets Inc.
ST:  Pennsylvania
IN:  PAP CHM FIN
SU:  TNM

JT
-- PHTH028 --
5013 08/18/2005 17:11 EDT http://www.prnewswire.com

Related Articles