General Cable Acquires Majority Position in Philippine Joint Venture
General Cable Corporation (NYSE: BGC) (the Company), a leading global supplier of wire and cable products for the energy, industrial, and communications markets, and its joint venture partner, A. Soriano Corporation (Anscor), announced today that the Company has increased its equity ownership in Phelps Dodge Philippines, Inc. (PDP) from 40% to 60%. PDP is a joint venture established in 1955 by Anscor, a Philippine public holding company with diverse investments, and Phelps Dodge International Corporation (PDIC), a subsidiary of the Company which was acquired in the fourth quarter of 2007. PDP reported revenues of about $100 million in 2007.
PDP operates one of the largest wire and cable manufacturing facilities in the Philippines with leading market positions supporting the construction sector of the Philippine economy. The investment complements General Cable’s strategy in the region by providing a platform for further penetration into Southeast Asia markets as well as supporting ongoing operations in Australia, the Middle East and South Africa. Additionally, with the sharing of new products and technology from General Cable around the world, PDP expects to penetrate other sectors of the Philippine wire and cable market.
“We have worked very closely with PDIC as our partner for more than half a century. Our mutual respect and willingness to share ideas have resulted in PDP establishing a leadership position in the Philippines. We are pleased that General Cable will make PDP a key part of its platform to further its strategic expansion in the region,” said Andres Soriano III, Chairman of Anscor.
Mathias Sandoval, Executive Vice President, General Cable Corporation, President and Chief Executive Officer, General Cable Latin America, Sub-Saharan Africa & Mideast/Asia-Pacific said, “Because of the leadership that Mr. Soriano has shown over the last 20 years, PDP has maintained its reputation for high quality and product innovation in its served markets. We are honored that this leadership and guidance will continue as Mr. Soriano will remain as Chairman of the Board of the joint venture.”
General Cable is a global leader in the development, design, manufacture, marketing and distribution of copper, aluminum and fiber optic wire and cable products for the energy, industrial, and communications markets. Visit our website at www.generalcable.com.
Certain statements in this press release, including without limitation, statements regarding future financial results and performance, plans and objectives, capital expenditures and the Company’s or management’s beliefs, expectations or opinions, are forward-looking statements. Actual results may differ materially from those statements as a result of factors, risks and uncertainties over which the Company has no control. Such factors, risks, and uncertainties are more fully discussed in the Company’s Report on Form 10-K filed with the Securities and Exchange Commission on February 29, 2008, as well as periodic reports filed with the Commission.