Vitro expands production capacity to fulfill growing glass container demand

A close to US$21 million investment, the expansion project will increase Vidriera Queretaro’s monthly production capacity by up to 15 million units and meet increasing demand for glass soft drink, beer, wine and liquor, and food By increasing its capacity, Vitro will satisfy consumers’ growing need and preference for transparent, light, high-quality, and hygienic containers.The new furnace, which is currently operating, will also add to Vitro’s state-ofthe-art Glass Container operation’s network and will enable the company to compete with the most advanced production technology worldwide.

“Our expansion meets our customer’s growing needs. Sales of our glass containers products are rising, and this furnace will provide an immediate answer to market demand,” said Roberto Rubio, Vice President of Vitro’s Glass Containers and Glassware Operations.

The new furnace offers Vitro a number of competitive advantages. It will:

• Expand Vidriera Queretaro’s capacity by 25%
• Increase operating efficiency, benefiting customers
• Ensure the company’s high quality standards
• Significantly reduce the company’s energy consumption, protecting the

“The upgraded furnace will allow us to fulfill the soft drink market’s increasing demand for our top-quality glass containers,” said Alfonso Gomez Palacio, Vitro’s Sales and Marketing Vice President.
“Having worked closely with our soft drink customers for many years, I’m always enthusiastic about offering them just what they want, when they need it,” added.

One of Vitro’s six production facilities in Mexico, Vidriera Queretaro (Viquesa) focuses on manufacturing glass containers for the company’s domestic and export markets, and generates the best efficiency ratios.

In 2002 Vitro’s Glass Containers business’ sales increased 0.9% to US$977 million and accounted for 42% of Vitro’s consolidated sales. Excluding the effect of the company’s April 2002 divestiture of Ampolletas, Glass Containers’ sales would have risen by 3.2% versus 2001.

Year-over-year, Glass Containers’ 2002 EBIT and EBITDA increased 28.7% and 9.6%, respectively, reaching US$117 million and US$214 million.

Vitro actively promotes and educates the public about the myriad advantages of glass recycling and environmental protection. The company coordinates, sponsors, and directly participates in a number of national and international programs and initiatives. In Mexico, Vitro supports approximately 52 joint
recycling programs with communities, schools, hotels and restaurants, federal, state and local governments, and disposal collecting centers, among others.