20020099

SAFE CAPSAFE CAP

TableTable of contents of contents

General Information and scope of activity

Strategy & Opportunities

Production & Sales Portfolio

Human resource

Sales & Marketing

Industrial Structure

Licenses & Patents

Our attitude to a Closure …

Service

The main features of Safe Cap

Manufacturing capacity

Company name: Safe Cap

Year of foundation: 1998

Location: Moscow region, RussiaAddress: Okruzhnoy proezd 5, FryazinoPhone/Fax: + 7(495) 995-90-31, 995-90-32, 995-90-33Network site: www.safecap.ru

Branch-offices: 4 sales offices and warehouses in Russia: Novosibirsk, Samara, Rostov-on-Don; Mineralnye Vody 2 sales offices and warehouses in Kazakhstan: Karaganda, Almaty1 distribution office in Kiev

The company has all required authorizations, licenses and certificates.

GeneralGeneral InformationInformation

General Information: Scope of ActivityGeneral Information: Scope of Activity

Safe Cap – is a reliable partner in plastic closures production and sales. The company is one of the biggest Russian manufacturers and distributors of plastic caps for PET/PE bottles.

Distribution activity: distributor of CSI (Alcoa), Rexam, Corvaglia, Portola, Plasticum.

Our attitude to a Closure …Our attitude to a Closure …

1. Excellent sealing possibilities. Provides freshness and product life in the best way.

2. Fits to high speed capping equipment of bottling lines.Fits to standard range of PET neck finishes.Provides trouble free application.

3. Simple for consumer use. Optimal opening/closing torque.

4. Tamper Evidence:patented Safe Cap design provides the highest level of tamper evidence available;provides consumer a sense of security that the package safety hasn’t been compromised

A: Closure features B: Ensuring of Closure features1. Skilled staff.

2. Strong principles of quality control.

3. High quality of moulds & equipment.

4. High quality of raw material and packaging.

C: Technical support

A + B + C + D => PRICE

D: Service

1. Outstanding technical assistance for integrating product and capping equipment.

2. Supply of adapted capping chucks could be realized by customer’s request.

1. Tampo/Offset printing for decoration closure top.

2. Embossment for decoration closure top.

3. Promotion possibilities.

4. Design service for decoration work.

Productions & Sales PortfolioProductions & Sales Portfolio

Products•28mm plastic screw closures for returnable and non-returnable PET bottles (BPF/PCO 1810) for carbonated and still beverages-Safe Cap 501 – one-piece HDPE closure, tamper evident band-molded “pig-tail”, sealing property–bore seal-Safe Cap 601 – one-piece HDPE closure, tamper evident band – molded “drop band”, sealing property–bore seal-Safe Cap 101 – one-piece HDPE closure, tamper evident band-molded “pig-tail”, sealing property–bore seal-Safe Cap 201 – two-piece HDPE closure, tamper evident band-molded “pig-tail”, sealing property – EVA-liner “out-shell”-Safe Cap 2000 – two-piece HDPE closure, tamper evident band-molded “pig-tail”, sealing property – EVA-liner “out-shell”-Carters SC 307 – two-piece PP closure, tamper evident band- molded “pig-tail”, sealing property – EVA-liner “out-shell”-Carters SC 310 – two-piece PP closure, tamper evident band- molded “drop band”, sealing property – EVA-liner “out-shell”

Production & Sales PortfolioProduction & Sales Portfolio

38mm HDPE closure for dairy products- 314 Lead Cap – two-piece 38mm 3-start thread HDPE closure for PE bottle, tamper evident band – molded “drop band”, sealing property – LD expanded PE foam liner

•48mm HDPE closure for non-carbonated beverages- SC 4804 - 48mm 3-start thread HDPE closure, tamper evident band – molded “drop band”, sealing property – bore seal

•Handles for PET neck finish-SH-4804

-SH-2803/SH-2807/SH-2809 - different designs of handles for 28mm PET neck finish SH-2809 - oriented handle is approved to use by AND&OR / Spain (European manufacturer of handle applicator)

All ranges of CSI, Rexam, Corvaglia, Portola, Plasticum products can be supplied

handle for 48mm PET neck finish

ServiceService

• Tampo printing for decorating closure top (up to 3 colors)• Offset printing for decorating closure top (up to 3 colors)• Embossment for decorating closure top• Promotion possibilities:

- inside embossment on the closure, - embossed EVA-liner, - laser marking on the liner.

• Design service for decoration work.• Technical support: - outstanding technical expertise for integrating caps and capping equipment, - supply of adapted capping chucks could be realized by customer’s request,

- complete satisfaction assured• Contracted servicing (processing under the contract)

Safe Cap takes any orders for manufacturing of any plastic goods by injection molding for medical, foods, packaging and others industries.

Safe Cap’s adherence to high quality standards have enjoyed appreciation

Sales & Marketing: …business mapSales & Marketing: …business map

on the part of leading Russian and CIS companies engaged in water, soft drinks, beer and dairy business, which is the key driver for the dynamic expansion of SC sales network…

30,2%

69,8%

30,2%

69,8%

28,5%

71,5%

31,5%

68,5%

34,1%

65,9%

35,7%

64,3%

36,2%

63,8%

39,2%

60,8%

39,2%

60,8%

48,0%

52,0%

46,5%

53,5%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

The rest10 TOP

Sales & Marketing: 10 TOP Customers Sales & Marketing: 10 TOP Customers

Our Customers is Our Pride …

Efes, Bobimex (brand “Bobilevo”, “Senezhskaya”), Raduga, Borodino, Tomsk Beer, Shishkin Les, MegaPack, Heineken, Fonte Aqua, Best Bottling, AquaDar, Buket Chuvashii, Klinskie Napitki (brand “Kristalin”), Visma (brand “Archyz”), Tonus, Bravo Premium, Zhigulevskoe Beer, Niagara, PK Lider /Moscow/, IDS (brand “Borzhomi”), Klinskie Napitki (brand “Kristalin”)

Industrial structure: Industrial structure: manufacturing capabilities manufacturing capabilities

The company’s manufacturing capabilities make it possible to manufacture any plastic products by means of injection molding using PE and PP resins.We can say with certainty that our capabilities completely suit with expectations of themost exacting customers.

Our confidence is based on:- high-standard skills of our staff;- availability of diversified modern high-tech equipment base;- strict compliance and permanent monitoring of process technology and technical condition of the equipment- multistage control of raw materials and finished product.

Industrial structure: quality controlIndustrial structure: quality control

The quality of our production is the key feature of our activity.According to the requirements of International Organization for Standardization ISO9001:2000 (GOST R ISO 9001:2001), there was developed and adopted a system of quality management which provides effective management of business processes at our plant.In order to achieve dynamic company’s development and providing compliance of the products with consumers requirements we modernized our control system for:- condition of production equipment,- quality of raw material,- documents circulation.

The quality of our production can meet the highest requirements of our customers.

Industrial structure: Industrial structure: production and warehouse places production and warehouse places

Territory: Total square of territory – 1,74 hectare Production and warehouse buildings: Total square – about 9300 sq.m.Production area – more 1400 sq.m.Warehouse area – more 6000 sq.m. Office and subsidiary places – more 1700 sq.m.

Industrial structure: … production facilityIndustrial structure: … production facility

Permitted electricity power – 3150 kW (5ТP х 630 kW)There is a possibility to increase of permitted electricity power.

Autonomous heating supply system: Boiler-room (diesel), made by “De Dietrich” / France.Total heating power 1800 kW (2 boilers х 900 kW).

Autonomous water-cooling system:Total cooling capacity – more 1300 kW.

Autonomous air supply system:Total air flow – about 600 liters per sec.

Central resin feeding system (Piovan / Italy): Capacity – 3000 kg per hour.

Lifting-transport units: overhead hoisting units (cat-cranes), tonnage up to 5000 kg – 3 units

Industrial structure: … warehouse facilityIndustrial structure: … warehouse facility

The best part of warehouse area is equipped by three-storied shelving for pallet’s storage. Capacity of shelving stands - 1200 pallets (dimension of the pallets: 1,2x0,8m)Loading/unloading equipment:High-rise stackers and forklift units – 6 pcs.Warehouse area has 6 loading/unloading gates. 4 gates are equiped by dock levellers and dock shelters. 6 trucks could be loaded/unloaded at the same time

Manufacturing capabilitiesManufacturing capabilities

Total q-ty of injection lines (IMM) – 18. We have IM machines made by famous worldsuppliers: “Netstal”/Swiss/, “Husky”/Canada/, “Arburg”, Demag”/Germany/, BMB /Italy/, with clamping force from 600 to 3500 kN. All injection lines were equipped for necessarysubsidiary (peripheral) devices. All injection lines were linked up to central resin feeding system(Piovan/Italy).

Raw materials: HDPE / annual volume – more 4000 tons EVA / annual volume – 300 tons Colourants / annual volume – 40 tons Total volume of processing materials more 4500 tons

Raw material Suppliers: LukOil-Neftechim /Russia/, Basell, Dow Europe, Ampacet /Belgium/, Actega DS, Clariant /Germany/, Gabriel-Chemi /Austria/

Human resourceHuman resource

• Employees - Shift workers: 36 people - Workers: 13 people - Engineers & Technical staff: 17 people - Administrative staff: 19 people - Sales staff: 15 people - Management: 10 people• TOP- Management: 6 people

Total: 116 people

License for unlimited right to produce and sell closure under the Trade mark of SAFE CAP in Russia and all CIS countries accordingly following patents: Euro Patent No: 0178253 / US Patent No: 4.645.088 / Canada Patent No: 1249548Industrial Patent No.48797 in RussiaIndustrial Patent No.542 in BelorusIndustrial Patent No.4868 in UkraineIndustrial Patent No.219 in KazakhstanPatent No. 361811 for trade mark “LS” in RussiaPatent No. 17033 for trade mark “LS” in BelorusPatent No. 13241 for trade mark “LS” in KazakhstanPatent No. 33817 for trade mark “LS” in UkrainePatent No. 201635 for trade mark “ ” in RussiaPatent No. 188398 for trade mark “ Hoffmann” in RussiaPatent No. 17032 for trade mark “ Hoffmann” in BelorusPatent No. 13240 for trade mark “ Hoffmann” in KazakhstanPatent No. 36701 for trade mark “ Hoffmann” in Ukraine

Licenses & PatentsLicenses & Patents

Safe Cap considers various business opportunities to be explored and realized in order to:

- ensure stable development- improve profitability- protect/expand market share

- Commodity caps & closures manufacturing- Diversification of product lines- Contracted servicing- Customs molding- Manufacturing under license agreements- Acquire attractive business- JV partnership- Alliance & exclusive partnership- Merging with key industrial players/investors

Key areas for strategic development include:

Strategy of developmentStrategy of development

Safe Cap is open for a strategic partnership with industry investors in order to develop the business by using the existing platform…

SSafe Cap has a number of competitive advantages that allow for speedy and efficient expansion that offers attractive return on the capital invested …

SSafe Cap is flexible in considering various forms for partnership with an interested investor, including:

A. Establishment of a joint venture to develop a stand alone investment project

B. Investments in capital assets of Safe Cap for the purpose to reinforce capital base to allow for maximum leveraging benefits

Strategy of development: …partnershipStrategy of development: …partnership

100 % of our occupation is plastic closure business

Sales by own distribution network

Young experienced team

Flexibility and mobility in making decisions

Good friendly relationships with key beverage bottlers

The main features of the companyThe main features of the company