|he Company has now decided to have additional facilities of PET-bottle drink manufacturing facilities and extraction facilities with the aim of starting operation in mid June 2001.
These new facilities are super high speed machines, enabling about 800 PET-bottle drinks of 500 ml to be filled per minute. They are multi-manufacturing lines, being compatible with containers of 280ml, 350ml, 500ml, 900 ml, 1 litter and 1.5 litters, and able to produce carbon, fruit, tea drinks as well as sports drinks. Tea extraction and preparation facilities (called a Kneader) compatible with these new lines are expected to be in operation at the same time.
The Company has already had 4 lines (one of which is used both for bottled and resealed canned drinks that have recently attracted attention) of PET-bottle drink manufacturing facilities in full operation.
However, this is necessary to deal with further orders placed with the Company from drink makers so called "Brand owner" which would like to cope with major increases in PET-bottle drinks mainly from young people due to their convenience and fashionable character.
The investment amount of these facilities should be as much as about 2.5 billion yen. However, we will obtain facilities corresponding to 1.9 billion yen of the 2.5 billion yen by a lease. The remaining 600 million yen will be financed with our own funds. Its aim is to reduce the burden of the initial money, and maximize the effect of investment.
We expect that this capital investment will enable an increase of 30% in ordered production of PET-bottle drinks, and that future order expansion will be fully satisfied.