Sealed Air narrows full year outlook

Sealed Air tightens full year outlook, remains cautious for holiday spending

• On 9:59 am EDT, Wednesday October 28, 2009

ELMWOOD PARK, N.J. (AP) -- Sealed Air Corp., which makes Bubble Wrap and other packaging products, on Wednesday raised the bottom half of its yearly earnings guidance range, but said it remains cautious on consumer spending.

The company now expects to earn $1.37 to $1.45 per share, from a previous range of $1.25 to $1.45, both excluding one-time charges.

Analysts polled by Thomson Reuters, on average, expect a profit of $1.36 per share.

William V. Hickey, president and CEO, said in a statement that the company will continue to keep a tight rein on costs and expects a "modest" increase in raw material prices.

"We do remain cautious on fourth quarter sequential sales growth due to the uncertainty in consumer confidence and discretionary spending, particularly during the upcoming holiday shopping season," he added.

The outlook came as Sealed Air reported third-quarter profit rose, helped by cost cuts and lower raw material costs.

Sealed Air shares rose $1.10, or 5.5 percent, to $20.96 in morning trading.