Pactiv Posts 8 Percent First Quarter Organic Volume Growth

For the quarter ended March 31, 2010, Pactiv Corporation announced that income from continuing operations was $48 million, or $0.36 per share, compared with $77 million, or $0.58 per share, in 2009.  Excluding a one-time expense of $3 million related to reduced tax deductibility of Medicare Part D retiree drug subsidies under the Patient Protection and Affordable Care Act, first quarter 2010 earnings were $0.38 per share.

Sales rose 1 percent to $777 million from $766 million, reflecting 8% volume growth and 7% lower pricing, which had trended downward with lower raw material costs in 2009.

"Our volume was strong across the company, mainly driven by new business wins in our Consumer segment and market share gains in certain product lines in our Foodservice business.  Overall, we are seeing excellent growth despite weak markets, and expect to see more broad-based improvement when employment levels begin to get better and eating-away-from-home trends strengthen.  Those improvements will create demand for many of our core product lines that have been hurt by the downturn," said Richard L. Wambold, Pactiv's chairman and chief executive officer.

Pactive Corporation is a leader in the consumer and foodservice/food packaging markets it serves.  With 2009 sales of $3.4 billion, Pactiv derives more than 80% of its sales from market sectors in which it holds the No. 1 or No. 2 market-share position.  For more information, visit www.pactiv.com.