Owens-Illinois, Inc. (NYSE: OI), the world's largest maker of glass packaging, learned last night of the Chavez administration's intention to expropriate O-I's operations in Venezuela. The company was surprised to learn of this decision.
"As of this morning, we have not heard directly from the government," said Al Stroucken, O-I Chairman and CEO. "We learned the news as many others did, through television reports. We're prepared to work with government officials to better understand the situation. In the meantime, we're focused on continuing safe operations in the interests of our people and our customers."
O-I has been supplying glass food and beverage containers to meet the needs of the Venezuelan people for more than 50 years. The company's two plants, located in Los Guayos and Valera, employ more than 1000 people and represent less than 5 percent of our global segment operating profit.
Production at both plants continues uninterrupted at this time, and the company remains committed to complying with all laws and regulations. The company is monitoring the emerging situation and will provide updates as appropriate.