Novelis Establishes New Buying Organization for North America's Largest Used Beverage Can Recycling System Global Leader in UBC Procurement Recycles $1 Billion in Aluminum Cans Annually
ATLANTA, July 16, 2012 /PRNewswire/ -- Novelis announced today that it will establish a new organization for the procurement of used beverage cans (UBCs) in North America that will make the company the largest UBC buyer in the region. The announcement follows the company's decision to withdraw from its Evermore joint venture with Alcoa effective August 31, 2012.
Novelis will procure all UBCs for its recycling plants in Greensboro, GA, Berea, KY, and Oswego, NY, directly through the new organization.
"This move is in line with our global strategy to enhance our scrap procurement and recycling assets to support our goal of achieving 80% recycled content in our products by 2020," said Derek Prichett, Vice President, Global Recycling for Novelis. "The ability to independently control our assets and manage our business will provide us with more flexibility to execute our strategic plans. This is the primary driver behind our exit of Evermore."
As the leading recycler of UBCs in North America and the world, Novelis currently buys the equivalent of 40 billion cans a year, worth an estimated $1 billion. Novelis expects its global consumption of UBCs to grow to more than 60 billion cans by 2015.
Chris Anderson, currently supply chain manager for Evermore, will rejoin Novelis effective August 1, 2012, to lead the company's new UBC procurement organization reporting to Silverio Colalancia, Director of Recycling, Novelis North America. In addition, the company anticipates that a number of current Evermore employees will join its new Atlanta-based organization, which will include buyers in strategic locations throughout North America.
Novelis will continue to receive UBCs in North America exclusively through Evermore until August 31.
Novelis Inc. is the global leader in aluminum rolled products and the world's largest recycler of used aluminum cans. The company operates in 11 countries, has more than 11,000 employees and reported revenue of $11.1 billion in fiscal year 2012. Novelis supplies premium aluminum sheet and foil products to automotive, transportation, packaging, construction, industrial, electronics and printing markets throughout North America, Europe, Asia and South America. Novelis is a subsidiary of Hindalco Industries Limited (BSE: HINDALCO), one of Asia's largest integrated producers of aluminum and a leading copper producer. Hindalco is a flagship company of the Aditya Birla Group, a multinational conglomerate based in Mumbai, India. For more information, visit www.novelis.com and follow us on Twitter at twitter.com/Novelis.
SOURCE Novelis Inc.