Bulletin 396 - Friday, November 21, 2008

Michael Feterik, CEO of Orange County Container, and now President of the new entity stated. "The significance of this merger makes a powerful statement to the market place. The ability to receive $150 million dollars in financing shows the upside to our new organization and supports our belief that our new Company has a strong business plan for sustained and profitable growth." The two companies have been working together for over ten years and according to Forest Felvey, President of Corrugated Services Inc. this merger was a logical progression in the developing relationship between OCC and CSI. Discussing the motivation behind this move he said, "Putting these two strong companies together capitalizes on our shared vision moving forward. Our combined customers and employees will benefit from the increased stability and opportunity that this merger offers; furthermore, to receive funding in light of the economic situation indicates that our strategic vision has strong support from the now very cautious financial community." Michael Feterik, CEO of Orange County Container, further emphasized the geographical orientation of the two companies that made the merger such a natural fit. He pointed out that, "Both of these companies have experienced tremendous growth in the Southwest. Merging our resources will allow us to focus even more on this market and take advantage of the growth opportunities that we expect to encounter over the next decade." Greg Hall, COO of Orange County Container, added "This merger will allow us to expand our footprint and add jobs." He said, "We are not shuttering plants, but planning for new ones."

Source: Corrugated Services Inc.

Miami, Florida,- Business in Mexico of DHL, the German courier and logistics services company, is sound and has stayed consistent in spite of financial upheavals, a Company's Regional Spokeswoman informed. "DHL in Mexico is leader in both domestic and international markets, and has experienced two-digit growth in the last four years", Adriana Huerta, Communications Manager informed. In 2009, DHL will continue implementing a strategic plan in Mexico, which includes investments for US$120 million within five years that started four years ago. Soundness of DHL business in Mexico contrasts with their operations in the US market, where a closing was announced last week, which translates into the elimination of 100 thousand jobs in Ohio and at a smaller scale in Florida.

Source: T21

Grupo Cementos de Chihuahua will invest US$25 million in the construction of a dry mixtures plant, an aggregates plant and a pre-fabricated products plant in Samalayuca, 52 kilometers south of Ciudad Juarez. The Company has been operating a cement plant in Samalayuca since 1996, where they invested US$190 million and was designed with a production capacity of 900 thousand tons per year. Regarding the dry mixtures plant, Humberto Uranga informed it will have a capacity of 78 thousand tons per year, which means packing 8 thousand 600 25-kilo sacs per shift. Grupo Cementos de Chihuahua will invest around US$7 million more in a pre-fabricated panels plant, which will have a capacity per shift of 10 panels in modules 3x8 meters and thickness from 10 to 15 centimeters. This building will add to current pre-fabricated products manufacturing facilities, Preforte, which manufactures beams and domes for pre-fabricated roofs. Grupo Cementos de Chihuahua is also working in the construction of an aggregates plant, which will be an infrastructure in addition to current facilities in Planta Juarez, which supplies most of the City's urban area. It is in its final construction stage in Samalayuca with a US$10 million investment to serve a growing urban area in Ciudad Juarez south and southwest.

Source: El Diario de Chihuahua

Mexico,- The Mexican Association on Human Resources (Asociacion Mexicana en Direccion de Recursos Humanos (AMEDIRH)) assured that the challenge companies will face in 2009 to prevent unemployment from worsening in Mexico is keeping their labor force, train, innovate and create to keep production and productivity. This organization, which cares for and works on promoting jobs among member companies, asked not to fall into discouragement and avoid as much as possible personnel layoffs. AMERDIRH's General Director, Pedro Borda Hartmann, announced the Organization will publish a press release within a few days, suggesting steps to face the current economic situation, which has almost 2 million people jobless. He insisted that 2009 will be a difficult year, but with creativity, innovation and training as steps to preserve jobs, Mexico will be able to face a year of recession and financial bankruptcies all over the world.

Source: El Financiero

Puebla, Pue,- Volkswagen de Mexico informed that yesterday they exceeded production figures. achieved in 2007, 411 thousand units, and therefore the assembler is heading towards setting a new production record before this year is over. It is to be mentioned that upon closing October, the Plant's accrued production was 388 thousand 427 vehicles, which represents a 14.8% growth when compared to the volume accrued in even term in 2007. The historic production record for Volkswagen's plant in Mexico was set in 2000, when 425 thousand units were assembled. Most likely, this record will be surpassed by the end of this month. Production goal for Volkswagen Puebla Plant set for 2008 is 450 thousand units.

Source: Volkswagen

Monterrey, Mexico,- Economic deceleration did not hinder expansion by the US Company Jones. Plastics in Apodaca, which moved inside the same Municipality to achieve growth plans. The Company's invested amounted to US$2.5 million, generating 30 additional jobs, to reach 300. The Company's line of business is plastics injection. Craig Jones, President of the US Company, talked about the opportunity to continue investing in Mexico, as part of the service they want to provide to their customers in the home appliances and automotive sectors. "Mexico represents a great opportunity to give service to our customers here, and we will continue growing in this country", he said during the inauguration of the new facilities.

Source: El Norte