Rigid packaging specialist RPC Group (Higham Ferrers, Rushden / UK; www.rpc.eu) is to shut its injection moulding plant in Mozzate / Italy. It also plans to close at least five other factories and sell a minimum of a further two operations. The actions follow conclusions drawn from the group’s ongoing strategic review that have shown that “a number of plants either do not fit within the overall strategy of the group, or are unlikely to meet the required financial performance within an acceptable timeframe”.

The Mozzate plant forms part of the small RPC Beauté cluster and its closure is a major element of a decision to rationalise the Beauté operations and combine them with the Bramlage-Wiko cluster. Exceptional costs for the first half-year’s results, due on 28 November, will include the costs of the restructuring and the closure of the Mozzate site, which manufactures a wide variety of primary packaging for the cosmetic industry, including fragrance caps, lipsticks, lip gloss, mascaras and compacts. The second Beauté factory is in Marolles / France.

RPC says that, in addition to its restructuring actions, it believes there are further opportunities to improve performance through a range of actions. These include continued cost optimisation, more centrally coordinated procurement and improved working capital management. Operating profit in the first six months, to 30 September, will be lower than for the first half of 2007/8, although “significant progress” has been made in increasing selling prices across all end-user markets and margins are expected to improve in the second half-year. Further details of the restructuring, including the expected benefits, costs and timetable of the programme, will be given at the interim results announcement on 28 November.