Green Bond Net Proceeds Allocated for Sustainable Projects
Perrysburg, Ohio, Nov. 12, 2020 (GLOBE NEWSWIRE) — In November of 2019, O-I European Group B.V., a subsidiary of 天涯海角社区, Inc. (NYSE: O-I) was the first packaging Company to issue a Green Bond (EUR 500 million). The company has committed to allocate an amount equal to the net proceeds from the Green Bond offering to finance and/or refinance new and/or existing Eligible Green Projects within 36 months from the issue date of the Green Bond.听 As of November 2020, the Company has allocated EUR 255.6 million to Eligible Green Projects.
This allocation includes new investments in purchasing recycled glass (cullet) to further improve the environmental footprint of O-I 天涯海角社区 鈥檚 products and production. The purchase of cullet qualifies as an Eligible Green Project as it supports the circular economy through building demand for post-consumer recycled glass and increasing recycled content in new glass packaging.
鈥淪ustainability is integrated into every aspect of O-I 天涯海角社区 鈥檚 culture and operations,鈥� said Andres Lopez, Chief Executive Officer for O-I. 鈥淥ur vision is to be the most innovative, sustainable, and chosen supplier of brand-building packaging, building value for all stakeholders. This Green Bond represents our ongoing commitment to find and execute innovative strategies to elevate our sustainability ambitions.鈥�
To advance these aspirations and ensure sustainability initiatives are driven deep into the company, O-I also recently appointed its first Chief Sustainability Officer, Randolph Burns, who reports directly to the CEO. 听The Company is actively working to improve the U.S. glass recycling system, building on the successful model in Europe where glass recycling outpaces all other packaging materials.
鈥淲e also have initiated a glass advocacy campaign initially focused in the U.S.,鈥� Lopez continued. 鈥淭his effort will ensure to rebalance the public discussion on social and traditional media with regards to the inherent sustainable nature of glass as well as emphasizing the many benefits of our product including the healthy, premium and brand building characteristics of glass.鈥�
O-I sustainability ambitions are also aligned with the United Nations Sustainable Development Goals and include science-based targets to reduce emissions.
The investment in cullet directly supports these targets by cutting carbon emissions, reducing energy and conserving natural resources while diverting valuable glass feedstock from the landfills. For example, for every 10 percent of cullet used in production, energy consumption is reduced by three percent and carbon emissions are cut by about five percent.
The cullet purchased as a result of Green Bond net proceeds corresponds with the conservation of more than 1.4 million metric tons of CO2鈥攐r the equivalent CO2听generated to electrically power all the homes in the state of Vermont for one year.
Other sustainability initiatives the company is currently pursuing include the process of converting seven North American plants to LED lighting and the use of Oxy-Fuel to increase furnace efficiencies.
The shift to LED lighting at the Muskogee, Auburn, Windsor, Waco, Winston-Salem, Lapel and Brampton facilities reduces energy consumption associated with production鈥攆urther contributing to decarbonization. The expected energy savings in Windsor, alone, is the equivalent to saving three million pounds of carbon per year鈥攐r the equivalent of removing 300 cars from the road.
To advance energy reduction, O-I is also investing in the use of oxy-fuel for furnaces, which uses purified oxygen, rather than air, during combustion. This shift reduces energy input while minimizing gas flow and emissions. Most recently, facilities in Villotta, Italy and Jarvakandi, Estonia have incorporated Oxy-Fuel, achieving the lowest CO2听intensities per ton in the O-I network. O-I 天涯海角社区 鈥檚 revolutionary MAGMA technology also advances the sustainability of glass manufacturing by, among other things, increasing flexibility with on-off technology, reparability, potential co-location or near-location possibilities and light weighting.
Management 天涯海角社区 鈥檚 assertion on the allocation of net proceeds to qualifying Eligible Green Projects as well as the听examination report听of our independent accountants are available on the听O-I website, along with information on O-I 天涯海角社区 鈥檚 overall sustainability agenda.
鈥淎s the leader in the glass packaging industry, we will continue to innovate and raise our sustainability ambitions,鈥� said Burns. 鈥淲e are continuously seeking new, and more sustainable, ways to improve our performance in our packaging and our operations, as well as providing our customers with premium packaging that enhances their brand, while helping to achieve their sustainability goals.鈥�
天涯海角社区听
At 天涯海角社区, Inc. (NYSE: OI), we love glass and we鈥檙e proud to make more of it than any other glass bottle or jar producer in the world. We love that it 天涯海角社区 鈥檚 beautiful, pure and completely recyclable. With global headquarters in Perrysburg,听Ohio, we are the preferred partner for many of the world 天涯海角社区 鈥檚 leading food and beverage brands. Working hand and hand with our customers, we give our passion and expertise to make their bottles iconic and help build their brands around the world. With more than 25,500 people at 72听plants in 20听countries, O-I has a global impact, achieving revenues of $6.7 billion in 2019. For more information, visit o-i.com.鈥�
Forward-Looking Statements
This press release contains 鈥渇orward-looking鈥� statements related to 天涯海角社区, Inc. (鈥溙煅暮＝巧缜�� or the 鈥渃ompany鈥�) within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the 鈥淓xchange Act鈥�) and Section 27A of the Securities Act of 1933. Forward-looking statements reflect the company 天涯海角社区 鈥檚 current expectations and projections about future events at the time, and thus involve uncertainty and risk. The words 鈥渂elieve,鈥� 鈥渆xpect,鈥� 鈥渁nticipate,鈥� 鈥渨ill,鈥� 鈥渃ould,鈥� 鈥渨ould,鈥� 鈥渟hould,鈥� 鈥渕ay,鈥� 鈥減lan,鈥� 鈥渆stimate,鈥� 鈥渋ntend,鈥� 鈥減redict,鈥� 鈥減otential,鈥� 鈥渃ontinue,鈥� and the negatives of these words and other similar expressions generally identify forward-looking statements.
It is possible that the company 天涯海角社区 鈥檚 future financial performance may differ from expectations due to a variety of factors including, but not limited to the following: (1) the company 天涯海角社区 鈥檚 ability to obtain the benefits it anticipates from the Corporate Modernization, (2) risks inherent in, and potentially adverse developments related to, the Chapter 11 bankruptcy proceeding involving the company 天涯海角社区 鈥檚 wholly owned subsidiary Paddock Enterprise, LLC (鈥淧addock鈥�), that could adversely affect the company and the company 天涯海角社区 鈥檚 liquidity or results of operations, including the impact of deconsolidating Paddock from the company 天涯海角社区 鈥檚 financials, risks from asbestos-related claimant representatives asserting claims against the company and potential for litigation and payment demands against the company by such representatives and other third parties, (3) the amount that will be necessary to fully and finally resolve all of Paddock 天涯海角社区 鈥檚 asbestos-related claims and the company 天涯海角社区 鈥檚 obligations to make payments to resolve such claims under the terms of its support agreement with Paddock, (4) the company 天涯海角社区 鈥檚 ability to manage its cost structure, including its success in implementing restructuring or other plans aimed at improving the company 天涯海角社区 鈥檚 operating efficiency and working capital management, achieving cost savings, and remaining well-positioned to address the company 天涯海角社区 鈥檚 legacy liabilities, (5) the company 天涯海角社区 鈥檚 ability to acquire or divest businesses, acquire and expand plants, integrate operations of acquired businesses and achieve expected benefits from acquisitions, divestitures or expansions, (6) the company 天涯海角社区 鈥檚 ability to achieve its strategic plan, (7) foreign currency fluctuations relative to the U.S. dollar, (8) changes in capital availability or cost, including interest rate fluctuations and the ability of the company to refinance debt on favorable terms, (9) the general political, economic and competitive conditions in markets and countries where the company has operations, including uncertainties related to Brexit, economic and social conditions, disruptions in the supply chain, competitive pricing pressures, inflation or deflation, changes in tax rates and laws, natural disasters, and weather,听 (10) the impact of COVID-19 and the various governmental, industry and consumer actions related thereto, (11) the company 天涯海角社区 鈥檚 ability to generate sufficient future cash flows to ensure the company 天涯海角社区 鈥檚 goodwill is not impaired, (12) consumer preferences for alternative forms of packaging, (13) cost and availability of raw materials, labor, energy and transportation, (14) consolidation among competitors and customers, (15) unanticipated expenditures with respect to data privacy, environmental, safety and health laws, (16) unanticipated operational disruptions, including higher capital spending, (17) the company 天涯海角社区 鈥檚 ability to further develop its sales, marketing and product development capabilities, (18) the failure of the company 天涯海角社区 鈥檚 joint venture partners to meet their obligations or commit additional capital to the joint venture, (19) the ability of the company and the third parties on which it relies for information technology system support to prevent and detect security breaches related to cybersecurity and data privacy, (20) changes in U.S. trade policies, and the other risk factors discussed in the company 天涯海角社区 鈥檚 Annual Report on Form 10-K for the year ended December 31, 2019, Quarterly Report on form 10-Q for the quarterly period ended September 30, 2020 and any subsequently filed Annual Report on Form 10-K, Quarterly Reports on Form 10-Q or the company 天涯海角社区 鈥檚 other filings with the Securities and Exchange Commission.
It is not possible to foresee or identify all such factors.听 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.听 Forward-looking statements are not a guarantee of future performance and actual results or developments may differ materially from expectations.听 While the company continually reviews trends and uncertainties affecting the company 天涯海角社区 鈥檚 results or operations and financial condition, the company does not assume any obligation to update or supplement any particular forward-looking statements contained in this document.
