Ball to cease production at two North America can plants
Ball Corporation announced that it was ceasing production at two beverage can plants in North America.
The company announced its Q2 results for 2022 and revealed that, in response to the deceleration in customer demand, it is ceasing production at its Phoenix, Arizona, and St. Paul, Minnesota, facilities.
The construction of a new beverage can manufacturing facility in North Las Vegas, Nevada, has also been delayed.
Ball reported a second quarter 2022 net loss attributable to the corporation of $174 million, or a loss of 55 cents per diluted share, on sales of $4.13 billion, compared to $202 million net earnings attributable to the corporation, or 61 cents per diluted share on sales of $3.46 billion in 2021.
Results for the first six months of 2022 were net earnings attributable to the corporation of $272 million, or 84 cents per diluted share, on sales of $7.85 billion compared to $402 million, or $1.20 per diluted share, on sales of $6.58 billion for the first six months of 2021.
Daniel W. Fisher, president and CEO, said: “We delivered stable year-over-year comparable operating earnings amid notable cost inflation, demand volatility and euro earnings translation headwinds.
“Global growth for sustainable aluminium beverage and personal care products packaging continues and, in certain regions, varied from original expectations.
“To balance the near-term effects of economic volatility on consumer demand with long-term growth opportunities for our aluminium packaging portfolio and aerospace technologies, the global team has initiated actions to rephase capital projects and further manage costs to maximise EVA, cash, and returns.
“Through our capital discipline, financial strength, ownership mindset, manufacturing footprint and innovative product portfolio, we can successfully navigate the current economic environment and create value for our stakeholders.”