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Vitro plans to invest $1,777 million pesos in 2013

Post Time:May 01,2013Classify:Industry NewsView:68

Vitro S.A.B. de C.V. (BMV: VITROA) (“Vitro” or the “Company”), one of the world's largest producers and distributors of glass products, announced today that it plans to invest more than $1,777 million pesos this year, after having observed and approved the financial results for 2012, the annual reports of the Audit, Corporate Practices and Finance and Planning Committees, as well as the Board of Directors and CEO’s reports for the year ending on December 31, 2012.    

-Investment will be targeted towards the capacity increase of some of its furnaces and plant innovation.
-89% percent of the investment shall be directed to the operations in Mexico.
-In 2012 its net sales were $23,112 million pesos, 10.3% more than in 2011, on a comparable basis.    

Chairman of the Board, Mr. Adrián Sada González stated, referring to the authorized investments, “The amount shall represent an increase of 65% with respect to the investment achieved in 2012 and shall be directed towards increasing the melting capacity in Glass Containers and Automotive Glass, as well as to the application of a series of improvements in our equipment and facilities in order to strengthen our leadership in the market after overcoming this challenging period for the Company. Consequently we are no able to completely focus in our business and take advantage of the great opportunities envisioned for Vitro”.

Likewise, CEO Vitro, Adrián Sada Cueva, added that as a result of all employees’ commitment, the year 2012 brought outstanding results. He noted that Vitro bore an increase in net sales of 10.3% by reaching $23,112 million pesos, while the consolidated EBITDA had an increase of 6.2%, delivering a total of $4,481 million pesos on a comparable basis. “These outcomes are a result of the disciplined resource management set forth by the Company which today allows us to emerge as a stronger and more competitive company. The operational and productivity levels improvements we have achieved place the organization in an excellent position, which allows it to benefit from its strength in the market and launch more ambitious goals”.

Regarding investment details for this year, Sada Cueva explained that 89% of the budget will be directed towards operations in Mexico, mainly to increase the manufacturing capacity of some of the furnaces and to improve and update the plants in their technological processes as well as in equipment and human capital. “These include the necessary activities required for the increase in the manufacturing capacity of one our furnaces which produces glass containers in the Querétaro plant, in order to transform it into the largest of its kind in Latin America, the 75% capacity increase of the manufacturing furnace of the glass plant in Bolivia and the investment of an Automotive pressing furnace which will provide a capacity increase as well as new skills required for this challenging market”, Sada said.

Gathering today, the General Meeting of Shareholders elected the members of the Board of Directors for 2013, now including Mr. David M. Martínez Guzmán and Ricardo Guajardo Touché; certified the independent directors; and designated the Chairmen of the Audit and Corporate Practices Committees, in accordance with the applicable law.

Source: http://www.glassonweb.com/news/index/18970/Author:

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