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Press release from Marketwire

CCL Industries Announces $30 Million Expansion Plan for Its Emerging Market Label Operations

Tuesday, August 23, 2011

CCL Industries Announces $30 Million Expansion Plan for Its Emerging Market Label Operations10:53 EDT Tuesday, August 23, 2011TORONTO, ONTARIO--(Marketwire - Aug. 23, 2011) - CCL Industries Inc., (TSX:CCL.A)(TSX:CCL.B) a world leader in labelling and specialty packaging solutions for the consumer products and healthcare industries, announced today that it plans to invest $30 million during 2011 and 2012 to expand its CCL Label operations in Emerging Markets. The Company will build three new greenfield plants and also invest in additional capacity at some of its existing facilities.A new third plant in Bangkok, Thailand will provide increased capacity and new technologies to support Home & Personal Care (HPC) and Beverage customers in South East Asia. CCL expects its Asian operations to approach 10% of global label revenues in 2012. Construction has also commenced on a new pressure sensitive label facility in Vinhedo near Sao Paulo to support HPC and Healthcare customers in Brazil. The new site will more than double the size of existing operations. Additional converting capacity will also be added to the Brazilian Sleeve plant in Criciuma to support rapid growth in the Food & Beverage sector. Finally, the Pacman-CCL joint venture will open a new greenfield plant in Jeddah, Saudi Arabia this fall to expand the Company's footprint in the Gulf States of the Middle East.Geoffrey Martin, President and CEO of CCL Industries Inc. said, "Emerging Market revenues now represent approximately 20% of the Company's total sales and we expect growth to continue to accelerate at a premium to the developed world in the coming years as our customers invest to drive improvement in consumers' lives in these regions. It therefore makes both strategic and shareholder value sense to allocate a higher portion of capital to these geographies. Despite this investment we do not expect overall expenditures to exceed depreciation company-wide in either 2011 or 2012."With headquarters in Toronto, Canada, CCL Industries now employs approximately 6,000 people and currently operates 63 production facilities globally located to meet the sourcing needs of large international companies. CCL Label is the world's largest converter of pressure sensitive and film materials and sells to leading global customers in the consumer packaging, healthcare, and consumer durable segments. CCL Container and CCL Tube produce aluminum cans, bottles and plastic tubes for the consumer products industry in North America.This press release contains forward-looking information and forward-looking statements, as defined under applicable securities laws, (hereinafter collectively referred to as "forward-looking statements") that involve a number of risks and uncertainties. Forward-looking statements include all statements that are predictive in nature or depend on future events or conditions. Forward-looking statements are typically identified by the words "believes," "expects," "anticipates," "estimates," "intends," "plans" or similar expressions. Statements regarding the operations, business, financial condition, priorities, ongoing objectives, strategies and outlook of the Company, other than statements of historical fact, are forward-looking statements. Specifically, this press release contains forward-looking statements regarding the anticipated growth and benefit of investing in Emerging Markets; and the Company's expectations regarding general business and economic conditions. Forward-looking statements are not guarantees of future performance. They involve known and unknown risks and uncertainties relating to future events and conditions including, but not limited to, the evolving global financial crisis and its impact on the world economy and capital markets; the impact of competition; consumer confidence and spending preferences; general economic and geopolitical conditions; currency exchange rates; interest rates and credit availability; technological change; changes in government regulations; risks associated with operating and product hazards; and CCL's ability to attract and retain qualified employees. Do not unduly rely on forward-looking statements as the Company's actual results could differ materially from those anticipated in these forward-looking statements. Forward-looking statements are also based on a number of assumptions, which may prove to be incorrect, including, but not limited to, assumptions about the following: global economic recovery and higher consumer spending; improved customer demand for the Company's products; continued historical growth trends, market growth in specific segments and entering into new segments; the Company's ability to provide a wide range of products to multinational customers on a global basis; the benefits of the Company's focused strategies and operational approach; the achievement of the Company's plans for improved efficiency and lower costs, including stable aluminum costs; the availability of cash and credit; fluctuations of currency exchange rates; the Company's continued relations with its customers; and general business and economic conditions. Should one or more risks materialize or should any assumptions prove incorrect, then actual results could vary materially from those expressed or implied in the forward-looking statements. Further details on key risks can be found in the MD&A section of CCL's 2010 Annual Report, particularly under Section 4: "Risks and Uncertainties". CCL's annual and quarterly reports can be found online at www.cclind.com and www.sedar.com or are available upon request. Except as otherwise indicated, forward-looking statements do not take into account the effect that transactions or non-recurring or other special items announced or occurring after the statements are made may have on CCL's business. Such statements do not, unless otherwise specified by the Company, reflect the impact of dispositions, sales of assets, monetizations, mergers, acquisitions, other business combinations or transactions, asset write-downs or other charges announced or occurring after forward-looking statements are made. The financial impact of these transactions and non-recurring and other special items can be complex and depends on the facts particular to each of them and therefore cannot be described in a meaningful way in advance of knowing specific facts. The forward-looking statements are provided as of the date of this press release and the Company does not assume any obligation to update or revise the forward-looking statements to reflect new events or circumstances, except as required by law.FOR FURTHER INFORMATION PLEASE CONTACT: Jan WadeCCL Industries Inc.Senior Vice President, HR & Corporate Communications416-756-8509ORGeoffrey MartinCCL Industries Inc.President & CEO508-872-4511www.cclind.com