Agenda
� Who we are ?
• O-I and Sustainability
� Partnership Case Study
• Marks & Spencer’s Plan A & Somerset Waste Partnership
� Right-weighting
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.
• Sustainable Right-weighting to support the customer
� Summary – Key points
2
O-IThe World’s Leading Glass Packaging Supplier
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization. 3
employees
languages
22,500+
13 official
+ joint ventures in additional countries21 countries
79 plants
Perrysburg, Ohio – United States
World headquarters
in net sales 2012
worldwide patents
$7.0 billion
1,900+
O-I in Europe
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization. 4
11 countries
37 plants
European headquarters
Bussigny, Switzerland
$2.8 billionin net sales 2012
8,000 employees
#1 glass packagingsupplier
Consumers prefer beer in glass
90%of US craftbeer drinkers
prefer beer in a glass bottle*.
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.5
78%of Europeanbeer drinkers
prefer to buy beer in glass**.
* Source: GFK Custom Research, “O-I: Increasing Use of Glass Beer Bottles,” December, 2011
** Source: FEVE/InSites Consumer Packaging Preferences Study(December 2010)
Reasons to choose glass
Taste
Health
Sustainability
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.
Sustainability
Quality
Versatility
Transparency
Glass: a sustainable packaging choice
• Made from readily-available, natural raw materials(sand, soda ash and
limestone)
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.7
limestone)
• Endlessly and 100% recyclable into new glass containers
• Use of recycled glass
(cullet) in production
reduces energy consumption and carbon emissions
European Glass Recycling Rates
• 70% of glass bottles
and jars in EU-27 are
recycled
• Over 98% of glass
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.8
Source: FEVE
• Over 98% of glass
bottles and jars in
Belgium are recycled
• Still room for improvement in certain countries
Case study:Marks & Spencer closed loop project
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.9
Programme Partners
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.10
M&S Objectives – Plan A
Plan A
Climate Change SustainabilityWaste
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.
HealthFair Deal
• Achieved 25% packaging reduction
• Over 90% Recyclable Packaging Used
• Achieved increase in key sustainable raw materials
•Completed on-pack messaging for consumers
M&S Raw Materials Vision
• To ensure all our packaging requirements are
sourced from certified sustainable sources, with all
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.
sourced from certified sustainable sources, with all
sources secure, for future generations
The M&S / SWP / O-I partnership designed to
secure a good source of recycled glass
Why use recycled glass in container production?
• Glass can be recycled endlessly.
• Takes less energy to melt cullet than to melt raw materials.
• Using cullet reduces the amount of virgin materials required.
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.
• Some of the raw materials used to make glass release CO2 when melted, cullet does not.
• Reduced environmental impact from obtaining and processing raw materials.
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Challenges in Recycling
Contamination of Recycled material can affect the process
Impurities can affect the glass colour, which may be critical especially on high value products.
Imbalance in colour production and consumption in UK
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.14
Imbalance in colour production and consumption in UK
• All materials are facing similar challenges, but
• Significant benefits in using recycled glass
• Infinitely recyclable
• Re-melting glass into containers is the best option
Somerset Waste Partnership
• Sort-It Plus
• M&S Intervention
• Recycling Rate
• 14,000t p/a
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.
• 14,000t p/a
• O-I
• Plan A Attributes
•Part of vendor rating
So what does this partnership deliver
Sort It Plus Offers
Better colour
separation
Reduced risk
of
contamination
Secured
source of
supply
Local supply
so reduced
logistics
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.16
contamination supply
FlintGreen / Mixed
Somerset 37% 63%
English
Average10% 90%
logistics
Closed Loop – Own Label Ale
Places waste in collection systemPlaces waste in collection system
•Consumer
•Somerset Waste
Partnership
Sells Bottled BeerSells Bottled Beer
•Marks & Spencer
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.17
Sells Separated CulletSells Separated Cullet
Partnership
Supplies BottlesSupplies Bottles
•O-I
Supplies Bottled BeerSupplies Bottled Beer
•Marston’s / Adnam’s
Spencer
Working Example
� Marks & Spencer invests to improve kerbside collections in Somerset.
� O-I recycles it into new containers.
� Marston’s buys these containers, fills them and supplies them to M&S.
� Marks & Spencer sells them to consumers to be recycled, again.
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.
� Visible trail through the partners in supply chain, improving the
collection rates and the quality of recycled material.
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Somerset Waste Partnership
� Improves the waste collection
� Grows the amount of cullet being generated.
� Improves colour separation and quality
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.
�The transportation of the waste is minimised
19
Right-weighting Regional Ales
� Demands for packaging reductions will continue
� Over view of the work already carried out
� Future demands
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.20
Award Winning Partnership
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.21
Right-weighting Regional Ales
Award Winning Adnam’s bottle
Significant Weight reduction
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.23
WRAP / IOP recognition
On-going material savings
Right weight maintaining the brand
Maintain Branding
Modern design, refreshed often
Non-standard standards
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.24
Key Trends
� Further movements.
� Maintain values.
� Differentiation
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.
�Possible characterisation.
25
Summary – Key Messages
� Environmental sustainability in all functions
� Best results via Partnership
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.26
� Sustainability not just about the lightest container
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.
• O-I
• Plan A Attributes
•Part of vendor rating
• What happens Next?
The information contained herein constitutes proprietary confidential trade secret information of Owens-Brockway
Glass Container Inc., and is to be accepted only subject to that understanding. It is to be kept confidential and
not copied, used, or conveyed to others without Owens-Brockway Glass Container Inc.’s written authorization.