The Sustainable Metal Can: Packaging for Today and for the Future Can Manufacturers Institute September 27, 2005

1. The Sustainable Metal Can: Packaging for Today and for the Future Can Manufacturers InstituteSeptember 27, 2005

2. Introductions Robert Budway President, Can Manufacturers Institute Jeff DeLiberty Senior Marketing Manager, Silgan Containers Bill HeenanPresident, Steel Recycling Institute

3. Agenda • Sustaining Demand for the Metal Can • What consumers want now – and in the future – from their packaging • Sustaining the Environment • How metal can recycling impacts industry and society • What new energy use research tells us III.Question & Answer

4. Sustained Consumer Demand for Metal Packaging Traditional packaging consistently rated higher than the newer entries into the packaging market • Seven in 10 respondents will choose one product over another because of its packaging. • Metal cans always appear in the top three packaging preferences demonstrating consumers’ preferences for traditional packaging.

5. Sustained Consumer Concern Over Packaging Safety Food safety continues to top the list for consumer concern on packaging 1) Food safety 92% 2) Maintains nutrients 80% 3) Easy to store 78% Metal cans are the package most perceived as tamper evident 1) Metal food cans 68% 2) Glass bottles/jars 65% 3) Plastic bottles/jars 63%

6. Sustaining Demand Through Innovation Canmakers adding functionality and convenience through R&D • What’s now and what’s new: • Microwavable cans • Convenient-opening features • EZO, peelable, recloseable • Hybrid cans • Consumption direct from can, energy drink lines

7. Sustaining Demand at the Point of Purchase Food processors using cans to entice consumers, control costs in new product introductions and line extensions • Campbell’s Chunky Chili varieties rocket to number two in category. • Homestyle Bakes leads to explosion of box-in-meal dinner solutions. • Bumble Bee Premium Tuna & Sheba cat food command premium pricing for product.

8. Sustained Concern Over Packaging Impact on the Environment Metal cans remain the most recyclable packaging form • Metal cans continue to be the most recycled form of packaging, far exceeding the recycling rates of glass and plastic. • Only half of Americans feel paperboard is recyclable, and just one-third believe pouches can be recycled (57% and 33%, respectively).

9. Sustaining the Environment • Taking Recycling Even Further… • How metal can recycling impacts industry and society • What new “energy-use” research tells us

10. North American Steel IndustryRecycling Commitment % Cans Recycled

11. North American Steel IndustryEnergy Improvements GJ/ Ton of Crude Steel

12. North American Steel IndustryCumulated Avoided CO2 Emissions Kg per Tonne of Liquid Steel Number of Recycling Cycles at a 60% Rate

13. North American Steel Can IndustryRaw Material Efficiency Grams/Can Body

14. From Field to Table Energy Makes a Difference

15. Production MJ/kg

16. Processing MJ/kg

17. Packaging/Retail Canned Frozen MJ/kg Fresh

18. Transportation MJ/kg

19. Storage MJ/kg

20. Meal Preparation MJ/kg

21. North American Delivery System Energy Consumption Assessment • The most energy effective method for product delivery is canned-ready meals followed by bulk refrigerated products and fresh fruits & vegetables. • Frozen products require about 70% more energy to bring the food from the farm to the table. 21.5 13.2 12.7 MJ/kg

22. Questions & Answers

23. The Sustainable Metal Can: Packaging for Today and for the Future Can Manufacturers InstituteSeptember 27, 2005