Polysack and Avery Dennison Enter Into An Exclusive Distribution Agreement

Companies to Pursue Market Expansion of Roll-Fed Shrink Films

PASADENA, CALIF. and NEGEV, ISRAEL – July 30, 2009 – Avery Dennison (NYSE: AVY) announced today that its Roll Materials division has entered into a collaboration agreement with Polysack Plastic Industries Ltd. to exclusively distribute and sell Polysack’s Polyphane™ Fit roll-fed shrink films in the United States, Canada Mexico, Australia and New Zealand. The deal is the first distribution arrangement Avery Dennison has established with another label material supplier.

Roll-fed shrink films are one of the fastest-growing label decorating technologies, providing the benefit of shrink sleeves at a lower cost. Polysack developed a range of products with a shrink ratio from 15% up to 50% that can be applied to traditional roll-fed labeling using hot-melt or UV glue and advanced technologies such as laser and ultrasonic welding.

Under the agreement, Avery Dennison will provide sales, distribution, marketing and customer support for Polysack’s portfolio of roll-fed shrink films.

“Polysack is a respected leader with a significant presence in the roll-fed shrink market worldwide,” said Don Nolan, group vice president for Avery Dennison Roll Materials. “Polysack’s focus on innovation and quality complements the distribution network and marketing strength of Avery Dennison.”

“Establishing distribution agreements with key marketing partners in international markets is an essential step in supporting our globalization strategy,” said Ofer Tsimchi, Polysack Chairman. “Avery Dennison’s customer base, product knowledge, and sales and marketing expertise will allow us to penetrate the growing shrinkable labels market in North America. Longer term, we will look to partner and grow with Avery Dennison by sharing technology and developing new products together.”

About Avery Dennison

Avery Dennison is a recognized industry leader that develops innovative identification and decorative solutions for businesses and consumers worldwide. The Company’s products include pressure-sensitive labeling materials; graphics imaging media; retail apparel ticketing and branding systems; RFID inlays and tags; office products; specialty tapes; and a variety of specialized labels for automotive, industrial and durable goods applications. A FORTUNE 500 Company with sales of $6.7 billion in 2008, Avery Dennison is based in Pasadena, California, and employs more than 36,000 employees in over 60 countries. For more information, visit www.averydennison.com.

About Polysack Plastic Industries Ltd.

Established in 1974, Polysack Plastic Industries Ltd. is Israel’s leading manufacturer of high quality mono-oriented films. Staffed by 200 employees, Polysack is a multinational enterprise with marketing and service subsidiaries in Brazil, Israel, Mexico, Spain and the USA, as well as three production facilities in Israel and Brazil. A public company, Polysack is traded on the Tel Aviv Stock Exchange. The Polysack Group consists of Polysack Agriculture (manufacturer of agricultural nets) and Polyphane – its flexible packaging division. For more information contact www.polysack.com.

Contact – Avery Dennison
Judy Abelman (440-534-4943)
Email: judy.abelman@averydennison.com

Contact – Polysack Plastic Industries Ltd.
Arie Gemore (972 8 9989753)
Email: arie_g@polysack.com

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