Berry Plastics reported results for its fourth fiscal 2015 quarter, referred to as the September 2015 quarter, and fiscal year 2015. For the September 2015 quarter, the company posted net sales of $1.196 billion compared to $1.310 billion in the same prior year quarter. The year-over-year decrease was primarily attributed to decreased selling prices as a result of the pass-through of lower raw material costs.
 
For the September 2015 quarter, the company had operating income of $107 million compared to $93 million in the same prior year quarter. The 15% year-over-year increase was primarily attributed to a decrease in depreciation and amortization expense, a decrease in business integration expenses, an improvement in the relationship of net selling price to raw material and freight costs, and an improvement in operating performance in manufacturing partially offset by an increase in selling, general, and administrative expenses, and the negative impact from foreign currency changes.
 
For fiscal year 2015, the company recorded net sales of $4.881 billion as compared to $4.958 billion for the same period of fiscal 2014. This decrease was primarily attributed to decreased selling prices as a result of the pass-through of lower raw material costs, a negative impact from foreign currency changes, and soft customer demand in certain markets partially offset by net sales from businesses we acquired in fiscal 2014 along with volume gains in certain of its product lines.
 
In October 2015, subsequent to fiscal year end 2015, the company acquired 100% of the capital stock of Avintiv, Inc. Avintiv is one of the world’s leading developers, producers, and marketers of nonwoven specialty materials used in hygiene, infection prevention, personal care, and high-performance solutions. With 23 locations in 14 countries, an employee base of over 4,500 people, and the broadest range of process technologies in the industry, Avintiv’s strategically located manufacturing facilities position it as a global supplier to many of the same leading consumer and industrial product manufacturers that Berry supplies. Avintiv’s manufacturing facilities are strategically located worldwide near many key customers and also utilize similar key raw materials as Berry’s existing business. To finance the purchase, the company issued $400 million aggregate principal amount of 6% second priority senior secured notes due 2022 and entered into an incremental assumption agreement to increase the commitments under the company’s existing term loan credit agreement by $2.1 billion due 2022.
 
“We completed our acquisition of Avintiv, Inc. in early October and believe that the combination strengthens our global leadership position in plastics packaging and engineered specialty materials, with enhanced technology, material, and commercial capabilities. The acquisition increases Berry’s presence in the faster growing health care and hygiene markets and positions us to better serve our global customers,” states Jon Rich, chairman and CEO of Berry Plastics.