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Klöckner Pentaplast GmbH & Co. KG

The Klöckner Pentaplast Group is one of the world’s leading producers of films for pharmaceutical, medical device, food, electronics, and general-purpose thermoform packaging, as well as printing and specialty applications. Founded in 1965 in Montabaur, Germany, Klöckner Pentaplast has grown from its initial facility to current production operations in 11 countries.

The Klöckner Pentaplast Group is wholly owned by affiliates of The Blackstone Group. The company has sales of over $1.5 billion (Euro 1.2 billion) and employs more than 3,400 people committed to serving customers worldwide.

The company traces its beginnings to the emergence of the plastics industry in the 1960s. In 1977, Klöckner Pentaplast founded its first company and production facility outside of Germany in Gordonsville, Virginia, USA. Today, Klöckner Pentaplast has calendering, extrusion, coating & laminating, stretching/orienting, and printing film production and converting capabilities.

Highlights

Klöckner Pentaplast aims to generate sustainable value by becoming the number one plastic film producer worldwide; offering our customers best
in-class film solutions in our products, service, and technology; and encouraging and rewarding kp employees to excel. We believe that our strong values, strategies, and employees position us to continue innovating and growing well into the future.

. Leading market positions in Europe & North America and a strong global presence
. Technological leadership & superior manufacturing capabilities
. Compelling product mix & end-user market
. Sound volume growth
. Strong cash flow generation
. Good cost management, including pass-through opportunities
. Klöckner Pentaplast has an excellent platform for future growth

Year In Review

Fiscal 2006 was a year characterized by sales and growth for the Klöckner Pentaplast Group. We expanded our manufacturing capabilities in Europe, Asia, and the Americas. We introduced new products that enhanced our market positions in the packaging and printing segments of our business. We effectively managed to control these costs and maintained our sales volume while exiting businesses that were outside our core
strength. kp launched seven global key initiatives designed to allow employees to share best practice, customer knowledge, experience, and technology throughout the organization.

Looking to the future we will continue to:

. Create value for our customers
. Selectively strengthen and expand geographical presence while leveraging global position in key segments
. Further expand our product portfolio by developing innovative films to meet market needs
. Focus on value-added products and applications
. Continuously improve operating efficiencies
. Maintain technological and production leadership position
. Build strategic partnerships to create integrated solutions for targeted segments
. Implement cost-down/cost-out initiatives to sustain competitive advantage
. Encourage and assist our employees to develop their full potential

Mission

The Klöckner Pentaplast Group strives to be the worldwide, preferred film supplier by delivering “best-in-class” solutions, enabling our customers to succeed.
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