Next generation clear packaging a boost to sales of fresh and prepared foods

DALLAS and LONDON, November 27, 2007 — A new global producer in the packaging sector is setting its sights on the grocery and food packaging industries with an investment in APET sheet production capacity of 300,000 tons targeted to support brands and grocers to boost their sales.

Octal (www.octalglobal.com), which recently announced its entry into the $2 billion consumer plastics packaging segment with a $300 million initial investment in proprietary technology, has entered into marketplace trials in Europe and the United States. The company has identified the grocery and food packaging segments as critical markets. Octal products are sold to thermoformers who supply the global grocery and food packaging industries.

"We are producing APET sheet that will enhance food packaging, increasing its appeal to busy consumers who have less time to dedicate to food preparation at home," said William J. 'Joe' Barenberg, chief operating officer of Octal based out of the company's global sales center in Dallas. "APET sheet is the fastest growing material for the clear rigid plastic packaging of food products. Our sheet is strong but not brittle, but it's also very clear with excellent gloss for optimal merchandising appeal. And APET possesses good oxygen barrier performance, keeping foods at peak levels of freshness longer. All of these characteristics appeal to both retailers and consumers."

One of the most common applications for APET plastic has been clear rigid clam shells used in salad bars. It is also being increasingly used to package ready to serve items such as roasted chicken, fruits and vegetables, cakes, sandwich wedges and single-serving portions of prepared foods. The packaging material is particularly well suited for fresh foods and dairy products since it resists cracking when stacked or used as primary packaging during transit.

Octal initially entered the market in late 2006 with 20,000 metric tons of capacity and boosted that amount by 10,000 tons in September 2007. In June 2008, capacity will increase by an additional 300,000 metric tons when a new PET resin and APET sheet complex will be completed in Oman. At that stage, Octal will be five times larger than the next merchant producer of APET sheet and the largest PET manufacturer in the Gulf region. This capacity represents nearly 20 percent of the total industry output of APET sheet, and provides manufacturers with assured supply so they can convert their complete packaging production and commit to growth initiatives with confidence.

Along with its benefits in food preservation and presentation, APET sheet can be easily incorporated into existing recycling processes of PET bottles. Increasingly, local municipalities have systems in place to collect and recycle the plastic material that produce benefits to local waste management systems and the environment.

Food packagers, consumer brands and thermoformers interested in additional product information should contact info@octal.com; or call +1-972-985-4370.

Octal Holding SAOC (www.octalglobal.com), established in 2006, is rapidly becoming the world's largest producer of APET sheet, delivering to brands and the packaging industry superior gauge control, gloss and transparency for rigid plastic packages. The company is setting the standard in APET packaging through its patented technology and proprietary processes, featuring the tightest caliper control and tolerances in the industry. Octal's APET sheet enables greater processing efficiencies, better end tray quality and lower cost. With state-of-the-art manufacturing based in the Middle East, Octal has sales and customer support operations in the United States, Europe and Asia.