10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

[X]QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2015

OR

[ ]TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE TRANSITION PERIOD FROM             TO

____________________________________________________________________________

COMMISSION FILE NUMBER 1-11846

AptarGroup, Inc.

DELAWARE	36-3853103
(State of Incorporation)	(I.R.S. Employer Identification No.)

475 WEST TERRA COTTA AVENUE, SUITE E, CRYSTAL LAKE, ILLINOIS 60014

815-477-0424

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes þ No ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).  Yes þ No  o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See the definitions of “large accelerated filer”, “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer þ	Accelerated filer ¨	Non-accelerated filer ¨	Smaller reporting company ¨
		(Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes ¨ No þ

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

Class	Outstanding at July 27, 2015
Common Stock, $.01 par value per share	62,795,667 shares

AptarGroup, Inc.

Form 10-Q

Quarter Ended June 30, 2015

INDEX

Part I.	FINANCIAL INFORMATION
Item 1.	Financial Statements (Unaudited)
	Condensed Consolidated Statements of Income - Three and Six Months EndedJune 30, 2015 and 2014	1
	Condensed Consolidated Statements of Comprehensive Income – Three and Six Months Ended June 30, 2015 and 2014	2
	Condensed Consolidated Balance Sheets – June 30, 2015 and December 31, 2014	3
	Condensed Consolidated Statements of Changes in Equity – Six Months Ended June 30, 2015 and 2014	5
	Condensed Consolidated Statements of Cash Flows - Six Months Ended June 30, 2015 and 2014	6
	Notes to Condensed Consolidated Financial Statements	7
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	17
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	25
Item 4.	Controls and Procedures	25
Part II.	OTHER INFORMATION
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	26
Item 6.	Exhibits	26
	Signature	27

i

PART I – FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS (UNAUDITED)

AptarGroup, Inc.

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

In thousands, except per share amounts

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Net Sales	$	594,275		$	670,631		$	1,184,086		$	1,346,682
Operating Expenses:
Cost of sales (exclusive of depreciation and amortization shown below)	375,278			451,051			761,257			904,462
Selling, research & development and administrative	89,312			96,486			185,499			203,160
Depreciation and amortization	34,165			38,466			68,225			75,713
	498,755			586,003			1,014,981			1,183,335
Operating Income	95,520			84,628			169,105			163,347
Other (Expense) Income:
Interest expense	(9,195		)	(5,246		)	(16,498		)	(10,127		)
Interest income	1,105			1,047			2,836			2,063
Equity results of affiliates	(407		)	(198		)	(526		)	(1,744		)
Miscellaneous, net	(1,268		)	(525		)	(1,467		)	(153		)
	(9,765		)	(4,922		)	(15,655		)	(9,961		)
Income before Income Taxes	85,755			79,706			153,450			153,386
Provision for Income Taxes	28,214			26,622			50,810			51,894
Net Income	$	57,541		$	53,084		$	102,640		$	101,492
Net (Income) Loss Attributable to Noncontrolling Interests	$	(2	)	$	(8	)	$	70		$	(27	)
Net Income Attributable to AptarGroup, Inc.	$	57,539		$	53,076		$	102,710		$	101,465
Net Income Attributable to AptarGroup, Inc. per Common Share:
Basic	$	0.92		$	0.81		$	1.64		$	1.55
Diluted	$	0.90		$	0.79		$	1.59		$	1.49
Average Number of Shares Outstanding:
Basic	62,697			65,328			62,496			65,397
Diluted	64,276			67,438			64,603			68,042
Dividends per Common Share	$	0.28		$	0.28		$	0.56		$	0.53

See accompanying Unaudited Notes to Condensed Consolidated Financial Statements.

1

AptarGroup, Inc.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

In thousands

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Net Income	$	57,541		$	53,084		$	102,640		$	101,492
Other Comprehensive Income (Loss):
Foreign currency translation adjustments	45,099			(5,164		)	(94,147		)	(4,601		)
Changes in treasury locks, net of tax	7			6			13			12
Defined benefit pension plan, net of tax
Amortization of prior service cost included in net income, net of tax	42			53			85			106
Amortization of net loss included in net income, net of tax	1,131			664			2,257			1,329
Total defined benefit pension plan, net of tax	1,173			717			2,342			1,435
Total other comprehensive income (loss)	46,279			(4,441		)	(91,792		)	(3,154		)
Comprehensive Income	103,820			48,643			10,848			98,338
Comprehensive (Income) Loss Attributable to Noncontrolling Interests	(2		)	(9		)	70			(18		)
Comprehensive Income Attributable to AptarGroup, Inc.	$	103,818		$	48,634		$	10,918		$	98,320

See accompanying Unaudited Notes to Condensed Consolidated Financial Statements.

2

AptarGroup, Inc.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

In thousands

	June 30,			December 31,
	2015			2014
Assets
Current Assets:
Cash and equivalents	$	391,810		$	399,762
Short-term investments	66,897			--
	458,707			399,762
Accounts and notes receivable, less allowance for doubtful accounts of $4,192 in 2015 and $4,251 in 2014	435,448			406,976
Inventories	315,178			311,072
Prepaid and other	102,258			96,128
	1,311,591			1,213,938
Property, Plant and Equipment:
Buildings and improvements	342,879			353,683
Machinery and equipment	1,874,243			1,919,507
	2,217,122			2,273,190
Less: Accumulated depreciation	(1,462,264		)	(1,484,546		)
	754,858			788,644
Land	21,778			23,011
	776,636			811,655
Other Assets:
Investments in affiliates	4,965			5,760
Goodwill	316,480			329,741
Intangible assets, net	36,090			40,045
Miscellaneous	32,044			36,051
	389,579			411,597
Total Assets	$	2,477,806		$	2,437,190

See accompanying Unaudited Notes to Condensed Consolidated Financial Statements.

3

AptarGroup, Inc.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

In thousands, except per share amounts

	June 30,			December 31,
	2015			2014
Liabilities and Stockholders’ Equity
Current Liabilities:
Notes payable	$	5,766		$	233,284
Current maturities of long-term obligations	18,122			18,692
Accounts payable and accrued liabilities	377,569			352,762
	401,457			604,738
Long-Term Obligations	813,007			588,892
Deferred Liabilities and Other:
Deferred income taxes	21,297			25,521
Retirement and deferred compensation plans	110,631			109,517
Deferred and other non-current liabilities	3,724			4,606
Commitments and contingencies (Note 10)	--			--
	135,652			139,644
Stockholders’ Equity:
AptarGroup, Inc. stockholders’ equity
Common stock, $.01 par value, 199 million shares authorized; 87.0 and 86.3 million shares issued as of June 30, 2015 and December 31, 2014, respectively	869			862
Capital in excess of par value	555,307			507,313
Retained earnings	1,807,786			1,740,005
Accumulated other comprehensive (loss)	(201,837		)	(110,045		)
Less treasury stock at cost, 24.2 and 24.3 million shares as of June 30, 2015 and December 31, 2014, respectively	(1,034,726		)	(1,034,728		)
Total AptarGroup, Inc. Stockholders’ Equity	1,127,399			1,103,407
Noncontrolling interests in subsidiaries	291			509
Total Stockholders’ Equity	1,127,690			1,103,916
Total Liabilities and Stockholders’ Equity	$	2,477,806		$	2,437,190

See accompanying Unaudited Notes to Condensed Consolidated Financial Statements.

4

AptarGroup, Inc.

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

(Unaudited)

In thousands

	AptarGroup, Inc. Stockholders’ Equity
				Accumulated
				Other			Common					Capital in			Non-
	Retained			Comprehensive			Stock		Treasury			Excess of			Controlling			Total
	Earnings			Income (Loss)			Par Value		Stock			Par Value			Interest			Equity
Balance – December 31, 2013:	$	1,619,419		$	109,751		$	853	$	(744,213	)	$	493,947		$	551		$	1,480,308
Net income	101,465														27			101,492
Foreign currency translation adjustments				(4,592		)									(9		)	(4,601		)
Changes in unrecognized pension losses and related amortization, net of tax				1,435														1,435
Changes in treasury locks, net of tax				12														12
Stock option exercises & restricted stock vestings							5		1			35,737						35,743
Cash dividends declared on common stock	(34,693		)															(34,693		)
Treasury stock purchased									(52,884		)							(52,884		)
Balance – June 30, 2014:	$	1,686,191		$	106,606		$	858	$	(797,096	)	$	529,684		$	569		$	1,526,812
Balance – December 31, 2014:	$	1,740,005		$	(110,045	)	$	862	$	(1,034,728	)	$	507,313		$	509		$	1,103,916
Net income	102,710														(70		)	102,640
Foreign currency translation adjustments				(94,147		)												(94,147		)
Changes in unrecognized pension losses and related amortization, net of tax				2,342														2,342
Changes in treasury locks, net of tax				13														13
Stock option exercises & restricted stock vestings							7		2			48,470						48,479
Cash dividends declared on common stock	(34,929		)															(34,929		)
Non Controlling Interest Repurchased												(476		)	(148		)	(624		)
Balance – June 30, 2015:	$	1,807,786		$	(201,837	)	$	869	$	(1,034,726	)	$	555,307		$	291		$	1,127,690

See accompanying Unaudited Notes to Condensed Consolidated Financial Statements.

5

AptarGroup, Inc.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

In thousands, brackets denote cash outflows

Six Months Ended June 30,	2015			2014
Cash Flows from Operating Activities:
Net income	$	102,640		$	101,492
Adjustments to reconcile net income to net cash provided by operations:
Depreciation	66,059			72,946
Amortization	2,166			2,767
Stock based compensation	13,983			13,130
Provision for (recovery of) doubtful accounts	362			(69		)
Deferred income taxes	(2,465		)	(3,808		)
Defined benefit plan expense	10,294			8,452
Equity in results of affiliates in excess of cash distributions received	526			1,744
Changes in balance sheet items, excluding effects from foreign currency adjustments:
Accounts receivable	(50,289		)	(71,208		)
Inventories	(23,058		)	(19,565		)
Prepaid and other current assets	(16,381		)	(5,868		)
Accounts payable and accrued liabilities	38,885			17,898
Income taxes payable	(3,222		)	(21,572		)
Retirement and deferred compensation plans	(3,832		)	(6,559		)
Other changes, net	4,509			20,920
Net Cash Provided by Operations	140,177			110,700
Cash Flows from Investing Activities:
Capital expenditures	(60,306		)	(87,068		)
Proceeds from sale of property and equipment	83			2,287
Insurance proceeds	1,900			--
Purchase of short-term investments	(66,897		)	--
Notes receivable, net	(701		)	(163		)
Net Cash Used by Investing Activities	(125,921		)	(84,944		)
Cash Flows from Financing Activities:
(Repayments of) Proceeds from notes payable	(227,512		)	77,019
Proceeds from long-term obligations	225,887			--
Repayments of long-term obligations	(1,539		)	(308		)
Dividends paid	(34,929		)	(34,693		)
Credit facility costs	(1,216		)	(299		)
Proceeds from stock option exercises	28,810			18,319
Purchase of treasury stock	--			(52,884		)
Excess tax benefit from exercise of stock options	4,575			3,802
Net Cash (Used) Provided by Financing Activities	(5,924		)	10,956
Effect of Exchange Rate Changes on Cash	(16,284		)	(5,285		)
Net (Decrease) Increase in Cash and Equivalents	(7,952		)	31,427
Cash and Equivalents at Beginning of Period	399,762			309,861
Cash and Equivalents at End of Period	$	391,810		$	341,288

See accompanying Unaudited Notes to Condensed Consolidated Financial Statements.

6

AptarGroup, Inc.

Notes to Condensed Consolidated Financial Statements

(Amounts in Thousands, Except per Share Amounts, or as Otherwise Indicated)

(Unaudited)

NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BASIS OF PRESENTATION

The accompanying Unaudited Condensed Consolidated Financial Statements include the accounts of AptarGroup, Inc. and our subsidiaries.  The terms “AptarGroup” or “Company” as used herein refer to AptarGroup, Inc. and our subsidiaries.  All significant intercompany accounts and transactions have been eliminated.  Certain previously reported amounts have been reclassified to conform to the current period presentation.

In the opinion of management, the Unaudited Condensed Consolidated Financial Statements include all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of consolidated financial position, results of operations, comprehensive income, changes in equity and cash flows for the interim periods presented.  The accompanying Unaudited Condensed Consolidated Financial Statements have been prepared by the Company, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”).  Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted pursuant to such rules and regulations, although the Company believes that the disclosures made are adequate to make the information presented not misleading.  Also, certain financial position data included herein was derived from the Audited Consolidated Financial Statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 but does not include all disclosures required by GAAP.  Accordingly, these Unaudited Condensed Consolidated Financial Statements and related notes should be read in conjunction with the Audited Consolidated Financial Statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014.  The results of operations of any interim period are not necessarily indicative of the results that may be expected for the year.

CHANGE IN ACCOUNTING PRINCIPLE

During the quarter, the Company changed its inventory valuation method for certain operating entities in its North American business to the first-in first-out (FIFO) method from the last-in first-out (LIFO) method.  Prior to the change, the Company utilized two methods of inventory costing: LIFO for inventories in these operating entities and FIFO for inventories in other operating entities. The Company believes that the FIFO method is preferable as it better reflects the current value of inventory on the Company’s Condensed Consolidated Balance Sheet, provides better matching of revenues and expenses, results in uniformity across the Company’s global operations with respect to the method of inventory accounting and improves comparability with the Company’s peers. The cumulative pre-tax effect of this change is $7.4 million. We have determined that this change is not material to the Company’s previously issued financial statements and that the cumulative effect of the change is not material to current operations or to the trend of reported results of operations. Therefore, we conclude it was appropriate to recognize the cumulative effect of the change as an operating item in the current period’s Condensed Consolidated Statement of Income and not to adopt the change by retrospective application.

ADOPTION OF RECENT ACCOUNTING PRONOUNCEMENTS

Changes to GAAP are established by the Financial Accounting Standards Board (“FASB”) in the form of accounting standards updates to the FASB’s Accounting Standards Codification.  During the first six months of 2015, there have been no developments to the recently adopted accounting pronouncements from those disclosed in the Company’s 2014 Annual Report on Form 10-K that are considered to have a material impact on our Unaudited Condensed Consolidated Financial Statements.  Other accounting standards that have been issued by the FASB or other standards-setting bodies but are not yet effective are discussed in Management’s Discussion and Analysis of Financial Condition and Results of Operations.

SHORT TERM INVESTMENTS

Short term investments reflect funds invested in a time deposit instrument with a two-year maturity.  However, during the life of the investment the funds can be redeemed at any time with a 35-90 day notice.  There are no penalties for early redemption.  We do not consider this investment a marketable security as there is no active market for this type of product.

INCOME TAXES

The Company computes taxes on income in accordance with the tax rules and regulations of the many taxing authorities where income is earned.  The income tax rates imposed by these taxing authorities may vary substantially.  Taxable income may differ from pre-tax income for financial accounting purposes.  To the extent that these differences create differences between the tax basis of an asset or liability and our reported amount in the financial statements, an appropriate provision for deferred income taxes is made.

In our determination of which foreign earnings are permanently reinvested in foreign operations, the Company considers numerous factors, including the financial requirements of the U.S. parent company and those of our foreign subsidiaries, the U.S. funding needs for dividend payments and stock repurchases, and the tax consequences of remitting earnings to the U.S.  From this analysis, current year repatriation decisions are made in an attempt to provide a proper mix of debt and shareholder capital both within the U.S. and for non-U.S. operations.  The Company’s policy is to permanently reinvest our accumulated foreign earnings and the Company will only make a distribution out of current year earnings to meet the cash needs at the parent company.  As such, the Company does not provide for taxes on earnings that are deemed to be permanently reinvested.  Since no distribution to the U.S. of foreign earnings is expected in 2015, the effective tax rate for 2015 includes no tax cost of repatriation.

7

The Company provides a liability for the amount of tax benefits realized from uncertain tax positions.  This liability is provided whenever the Company determines that a tax benefit will not meet a more-likely-than-not threshold for recognition.  See Note 4 of the Unaudited Notes to the Condensed Consolidated Financial Statements for more information.

NOTE 2 - INVENTORIES

At December 31, 2014, approximately 19% of the total inventories were accounted for by the LIFO method.  Inventories, by component, consisted of:

	June 30,		December 31,
	2015		2014
Raw materials	$	100,872	$	108,618
Work in process	97,426		94,414
Finished goods	116,880		115,809
Total	315,178		318,841
Less LIFO reserve	--		(7,769		)
Total	$	315,178	$	311,072

As discussed in Note 1 above, the Company changed its inventory valuation method for certain operating entities in its North American business to the first-in first-out (FIFO) method from the last-in first-out (LIFO) method during the current quarter. Had this change not been implemented, the Company would have reported a LIFO reserve for the current quarter ended June 30, 2015 of $6,879 as compared to $7,427 for the quarter ended March 31, 2015 and $7,769 for the fiscal year ended December 31, 2014.

NOTE 3 – GOODWILL AND OTHER INTANGIBLE ASSETS

The changes in the carrying amount of goodwill since December 31, 2014 are as follows by reporting segment:

		Beauty +						Food +			Corporate
		Home			Pharma			Beverage			& Other			Total
Balance as of December 31, 2014
	Goodwill	$	171,149		$	141,592		$	17,000		$	1,615		$	331,356
	Accumulated impairment losses	--			--			--			(1,615		)	(1,615		)
		$	171,149		$	141,592		$	17,000		$	--		$	329,741
Foreign currency exchange effects		(3,947		)	(8,799		)	(515		)	--			(13,261		)
Balance as of June 30, 2015
	Goodwill	$	167,202		$	132,793		$	16,485		$	1,615		$	318,095
	Accumulated impairment losses	--			--			--			(1,615		)	(1,615		)
		$	167,202		$	132,793		$	16,485		$	--		$	316,480

The table below shows a summary of intangible assets as of June 30, 2015 and December 31, 2014.

		June 30, 2015							December 31, 2014
Weighted Average		Gross							Gross
Amortization		Carrying		Accumulated			Net		Carrying		Accumulated			Net
Period (Years)		Amount		Amortization			Value		Amount		Amortization			Value
Amortized intangible assets:
Patents	7	$	15,743	$	(15,711	)	$	32	$	17,001	$	(16,852	)	$		149
Acquired Technology	15	32,891		(7,675		)	25,216		35,701		(5,950		)	29,751
License agreements and other	5	31,056		(20,214		)	10,842		32,804		(22,659		)	10,145
Total intangible assets	9	$	79,690	$	(43,600	)	$	36,090	$	85,506	$	(45,461	)	$	40,045

Aggregate amortization expense for the intangible assets above for the quarters ended June 30, 2015 and 2014 was $1,085 and $1,369, respectively.  Aggregate amortization expense for the intangible assets above for the six months ended June 30, 2015 and 2014 was $2,166 and $2,767, respectively.

Future estimated amortization expense for the years ending December 31 is as follows:

8

2015	$	2,055	(remaining estimated amortization for 2015)
2016	3,743
2017	3,317
2018	3,317
2019 and thereafter	23,658

Future amortization expense may fluctuate depending on changes in foreign currency rates.  The estimates for amortization expense noted above are based upon foreign exchange rates as of June 30, 2015.

NOTE 4 – INCOME TAX UNCERTAINTIES

The Company had approximately $5.7 and $6.4 million recorded for income tax uncertainties as of June 30, 2015 and December 31, 2014, respectively.  The $0.7 million decrease in income tax uncertainties was primarily due to the settlement of a tax audit in Italy as well as changes in foreign currency rates.  The amount, if recognized, that would impact the effective tax rate is $5.5 and $6.3 million, respectively. The Company estimates that it is reasonably possible that the liability for uncertain tax positions will decrease by no more than $5.1 million in the next twelve months from the resolution of various uncertain positions as a result of the completion of tax audits, litigation and the expiration of the statute of limitations in various jurisdictions.

NOTE 5 – LONG –TERM OBLIGATIONS

In December 2014, we executed a $475 million private placement to take advantage of low long-term interest rates.  At that time, we closed on $250 million of the private placement to fund our ASR program (see Note 11).  This closing consisted of two maturity tranches, with $125 million of 9 year notes at an interest rate of 3.49% and $125 million of 11 year notes at an interest rate of 3.61%.  We closed on the remaining $225 million of the private placement in February, 2015, consisting of $100 million of 9 year notes at an interest rate of 3.49% and $125 million of 11 year notes at an interest rate of 3.61%.  The proceeds from this closing were used to pay down the existing revolving line of credit.

The Company’s long-term obligations consisted of the following:

	June 30,			December 31,
	2015			2014
Notes payable 0.61% - 27.26%, due in monthly and annual installments
through 2027	$	4,244		$	5,160
Senior unsecured notes 2.3%, due in 2015	16,000			16,000
Senior unsecured notes 6.0%, due in 2016	50,000			50,000
Senior unsecured notes 6.0%, due in 2018	75,000			75,000
Senior unsecured notes 3.8%, due in 2020	84,000			84,000
Senior unsecured notes 3.2%, due in 2022	75,000			75,000
Senior unsecured notes 3.5%, due in 2023	125,000			125,000
Senior unsecured notes 3.4%, due in 2024	50,000			50,000
Senior unsecured notes 3.5%, due in 2024	100,000			--
Senior unsecured notes 3.6%, due in 2025	125,000			125,000
Senior unsecured notes 3.6%, due in 2026	125,000			--
Capital lease obligations	1,885			2,424
	831,129			607,584
Current maturities of long-term obligations	(18,122		)	(18,692		)
Total long-term obligations	$	813,007		$	588,892

Aggregate long-term maturities, excluding capital lease obligations, due annually for the five years beginning in 2015 are $17,769, $50,391, $392, $75,342, $189 and $685,161 thereafter.

NOTE 6 – RETIREMENT AND DEFERRED COMPENSATION PLANS

Components of Net Periodic Benefit Cost:

	Domestic Plans						Foreign Plans
Three months ended June 30,	2015			2014			2015			2014
Service cost	$	2,504		$	2,010		$	1,139		$	1,081
Interest cost	1,589			1,482			412			699
Expected return on plan assets	(1,897		)	(1,646		)	(447		)	(510		)
Amortization of net loss	1,351			717			418			313
Amortization of prior service cost	--			--			64			80
Net periodic benefit cost	$	3,547		$	2,563		$	1,586		$	1,663

9

	Domestic Plans						Foreign Plans
Six months ended June 30,	2015			2014			2015			2014
Service cost	$	5,008		$	4,021		$	2,299		$	2,160
Interest cost	3,178			2,964			832			1,398
Expected return on plan assets	(3,795		)	(3,292		)	(902		)	(1,020		)
Amortization of net loss	2,702			1,434			843			626
Amortization of prior service cost	--			--			129			161
Net periodic benefit cost	$	7,093		$	5,127		$	3,201		$	3,325

EMPLOYER CONTRIBUTIONS

Although the Company has no minimum funding requirement, we plan to contribute approximately $10 million to our domestic defined benefit plans in 2015.  No 2015 contributions were made as of June 30, 2015.  The Company also expects to contribute approximately $12.6 million to our foreign defined benefit plans in 2015, and as of June 30, 2015, we have contributed approximately $1.0 million.

NOTE 7 – ACCUMULATED OTHER COMPREHENSIVE INCOME

Changes in Accumulated Other Comprehensive Income by Component:

	Foreign Currency			Defined Benefit Pension Plans			Other			Total
Balance – December 31, 2013	$	149,965		$	(40,093	)	$	(121	)	$	109,751
Other comprehensive loss before reclassifications	(4,252		)	--			--			(4,252		)
Amounts reclassified from accumulated other comprehensive income	(340		)	1,435			12			1,107
Net current-period other comprehensive (loss) income	(4,592		)	1,435			12			(3,145		)
Balance - June 30, 2014	$	145,373		$	(38,658	)	$	(109	)	$	106,606
Balance – December 31, 2014	$	(42,851	)	$	(67,097	)	$	(97	)	$	(110,045	)
Other comprehensive loss before reclassifications	(94,147		)	--			--			(94,147		)
Amounts reclassified from accumulated other comprehensive income	--			2,342			13			2,355
Net current-period other comprehensive (loss) income	(94,147		)	2,342			13			(91,792		)
Balance - June 30, 2015	$	(136,998	)	$	(64,755	)	$	(84	)	$	(201,837	)

Reclassifications Out of Accumulated Other Comprehensive Income:

Details about Accumulated Other	Amount Reclassified from Accumulated						Affected Line in the Statement
Comprehensive Income Components	Other Comprehensive Income						Where Net Income is Presented
Three months ended June 30,	2015			2014
Defined Benefit Pension Plans
Amortization of net loss	$	1,769		$	1,030		(a)
Amortization of prior service cost	64			80			(a)
	1,833			1,110			Total before tax
	(660		)	(393		)	Tax benefit
	$	1,173		$	717		Net of tax
Other
Changes in treasury locks	9			10			Interest Expense
	9			10			Total before tax
	(2		)	(4		)	Tax benefit
	$	7		$	6		Net of tax
Total reclassifications for the period	$	1,180		$	723

10

(a)These accumulated other comprehensive income components are included in the computation of net periodic benefit costs, net of tax (see Note 6 – Retirement and Deferred Compensation Plans for additional details).

Details about Accumulated Other	Amount Reclassified from Accumulated						Affected Line in the Statement
Comprehensive Income Components	Other Comprehensive Income						Where Net Income is Presented
Six months ended June 30,	2015			2014
Defined Benefit Pension Plans
Amortization of net loss	$	3,545		$	2,060		(b)
Amortization of prior service cost	129			161			(b)
	3,674			2,221			Total before tax
	(1,332		)	(786		)	Tax benefit
	$	2,342		$	1,435		Net of tax
Foreign Currency
Foreign Currency Gain	--			(340		)	Miscellaneous, net
	--			(340		)	Total before tax
	--			--			Tax benefit
	$	--		$	(340	)	Net of tax
Other
Changes in treasury locks	19			19			Interest Expense
	19			19			Total before tax
	(6		)	(7		)	Tax benefit
	$	13		$	12		Net of tax
Total reclassifications for the period	$	2,355		$	1,107

(b)These accumulated other comprehensive income components are included in the computation of net periodic benefit costs, net of tax (see Note 6 – Retirement and Deferred Compensation Plans for additional details).

NOTE 8 – DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES

The Company maintains a foreign exchange risk management policy designed to establish a framework to protect the value of the Company’s non-functional denominated transactions from adverse changes in exchange rates.  Sales of the Company’s products can be denominated in a currency different from the currency in which the related costs to produce the product are denominated.  Changes in exchange rates on such inter-country sales or intercompany loans can impact the Company’s results of operations.  The Company’s policy is not to engage in speculative foreign currency hedging activities, but to minimize our net foreign currency transaction exposure, defined as firm commitments and transactions recorded and denominated in currencies other than the functional currency.  The Company may use foreign currency forward exchange contracts, options and cross currency swaps to economically hedge these risks.

For derivative instruments designated as hedges, the Company formally documents the nature and relationships between the hedging instruments and the hedged items, as well as the risk management objectives, strategies for undertaking the various hedge transactions, and the method of assessing hedge effectiveness.  Additionally, in order to designate any derivative instrument as a hedge of an anticipated transaction, the significant characteristics and expected terms of any anticipated transaction must be specifically identified, and it must be probable that the anticipated transaction will occur.

HEDGE OF NET INVESTMENTS IN FOREIGN OPERATIONS

A significant number of the Company’s operations are located outside of the United States.  Because of this, movements in exchange rates may have a significant impact on the translation of the financial condition and results of operations of the Company’s foreign subsidiaries.  A strengthening U.S. dollar relative to foreign currencies has a dilutive translation effect on the Company’s financial condition and results of operations.  Conversely, a weakening U.S. dollar has an additive effect.  The Company in some cases maintains debt in these subsidiaries to offset the net asset exposure.  The Company does not otherwise actively manage this risk using derivative financial instruments.  In the event the Company plans on a full or partial liquidation of any of our foreign subsidiaries where the Company’s net investment is likely to be monetized, the Company will consider hedging the currency exposure associated with such a transaction.

OTHER

As of June 30, 2015, the Company has recorded the fair value of foreign currency forward exchange contracts of $1.4 million in prepaid and other, $1.7 million in accounts payable and accrued liabilities, and $0.1 million in deferred and other non-current liabilities in the balance sheet.  All forward exchange contracts outstanding as of June 30, 2015 had an aggregate contract amount of $138.1 million.

Fair Value of Derivative Instruments in the Condensed Consolidated Balance Sheets as of June 30, 2015

and December 31, 2014

11

Derivative Contracts Not Designated as Hedging Instruments	Balance Sheet Location	June 30, 2015		December 31, 2014
Derivative Assets
Foreign Exchange Contracts	Prepaid and other	$	1,379	$	1,037
Foreign Exchange Contracts	Miscellaneous Other Assets	--		7
		$	1,379	$	1,044
Derivative Liabilities
Foreign Exchange Contracts	Accounts payable and accrued liabilities	$	1,736	$	2,378
Foreign Exchange Contracts	Deferred and other non-current liabilities	90		115
		$	1,826	$	2,493

The Effect of Derivative Instruments on the Condensed Consolidated Statements of Income

for the Quarters Ended June 30, 2015 and June 30, 2014

Derivatives Not Designated as Hedging Instruments	Location of Gain or (Loss) Recognized in Income on Derivative	Amount of Gain or (Loss) Recognized in Income on Derivative
		2015			2014
Foreign Exchange Contracts	Other Income (Expense) Miscellaneous, net	$	(3,301	)	$	(1,335	)
		$	(3,301	)	$	(1,335	)

The Effect of Derivative Instruments on the Condensed Consolidated Statements of Income

for the Six Months Ended June 30, 2015 and June 30, 2014

Derivatives Not Designated as Hedging Instruments	Location of Gain or (Loss) Recognized in Income on Derivative	Amount of Gain or (Loss) Recognized in Income on Derivative
		2015			2014
Foreign Exchange Contracts	Other Income (Expense) Miscellaneous, net	$	(48	)	$	(1,494	)
		$	(48	)	$	(1,494	)

				Net Amounts		Gross Amounts not Offset in the
			Gross Amounts	Presented in		Statement of Financial Position
	Gross		Offset in the	the Statement of		Financial	Cash Collateral	Net
	Amount		Financial Position	Financial Position		Instruments	Received	Amount
Description
June 30, 2015
Derivative Assets	$	1,379	--	$	1,379	--	--	$	1,379
Total Assets	$	1,379	--	$	1,379	--	--	$	1,379
Derivative Liabilities	$	1,826	--	$	1,826	--	--	$	1,826
Total Liabilities	$	1,826	--	$	1,826	--	--	$	1,826
December 31, 2014
Derivative Assets	$	1,044	--	$	1,044	--	--	$	1,044
Total Assets	$	1,044	--	$	1,044	--	--	$	1,044
Derivative Liabilities	$	2,493	--	$	2,493	--	--	$	2,493
Total Liabilities	$	2,493	--	$	2,493	--	--	$	2,493

NOTE 9 – FAIR VALUE

Authoritative guidelines require the categorization of assets and liabilities into three levels based upon the assumptions (inputs) used to price the assets or liabilities.  Level 1 provides the most reliable measure of fair value, whereas Level 3 generally requires significant management judgment.  The three levels are defined as follows:

·Level 1:  Unadjusted quoted prices in active markets for identical assets and liabilities.

·Level 2:  Observable inputs other than those included in Level 1.  For example, quoted prices for similar assets or liabilities in active markets or quoted prices for identical assets or liabilities in inactive markets.

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·Level 3:  Unobservable inputs reflecting management’s own assumptions about the inputs used in pricing the asset or liability.

As of June 30, 2015, the fair values of our financial assets and liabilities were categorized as follows:

	Total		Level 1		Level 2		Level 3
Assets
Forward exchange contracts (a)	$	1,379	$	--	$	1,379	$	--
Total assets at fair value	$	1,379	$	--	$	1,379	$	--
Liabilities
Forward exchange contracts (a)	$	1,826	$	--	$	1,826	$	--
Total liabilities at fair value	$	1,826	$	--	$	1,826	$	--

As of December 31, 2014, the fair values of our financial assets and liabilities were categorized as follows:

	Total		Level 1		Level 2		Level 3
Assets
Forward exchange contracts (a)	$	1,044	$	--	$	1,044	$	--
Total assets at fair value	$	1,044	$	--	$	1,044	$	--
Liabilities
Forward exchange contracts (a)	$	2,493	$	--	$	2,493	$	--
Total liabilities at fair value	$	2,493	$	--	$	2,493	$	--

(a)   Market approach valuation technique based on observable market transactions of spot and forward rates.

The carrying amounts of the Company’s other current financial instruments such as cash and equivalents, notes payable and current maturities of long-term obligations approximate fair value due to the short-term maturity of the instrument.  The Company considers our long-term obligations a Level 2 liability and utilizes the market approach valuation technique based on interest rates that are currently available to the Company for issuance of debt with similar terms and maturities.  The estimated fair value of the Company’s long-term obligations was $827 million as of June 30, 2015 and $606 million as of December 31, 2014.

NOTE 10 – COMMITMENTS AND CONTINGENCIES

The Company, in the normal course of business, is subject to a number of lawsuits and claims both actual and potential in nature.  While management believes the resolution of these claims and lawsuits will not have a material adverse effect on the Company’s financial position or results of operations or cash flows, claims and legal proceedings are subject to inherent uncertainties, and unfavorable outcomes could occur that could include amounts in excess of any accruals which management has established.  Were such unfavorable final outcomes to occur, it is possible that they could have a material adverse effect on our financial position, results of operations and cash flows.

Under our Certificate of Incorporation, the Company has agreed to indemnify our officers and directors for certain events or occurrences while the officer or director is, or was, serving at our request in such capacity.  The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is unlimited; however, the Company has a directors and officers liability insurance policy that covers a portion of our exposure.  As a result of our insurance policy coverage, the Company believes the estimated fair value of these indemnification agreements is minimal.  The Company has no liabilities recorded for these agreements as of June 30, 2015.

NOTE 11 – STOCK REPURCHASE PROGRAM

On October 30, 2014, the Company announced a new share repurchase authorization of up to $350 million of common stock.  This new authorization replaces previous authorizations and has no expiration date.  AptarGroup may repurchase shares through the open market, privately negotiated transactions or other programs, subject to market conditions.

On December 16, 2014, the Company entered into an agreement to repurchase approximately $250 million of its common stock under an accelerated share repurchase program (the “ASR program”).  The ASR program is part of the Company’s $350 million share repurchase authorization.  On December 17, 2014, the Company paid $250 million to Wells Fargo Bank N.A. (“Wells Fargo”) in exchange for approximately 3.1 million shares, estimated to represent approximately 80% of the total number of shares expected to be purchased in the ASR program based on then current market prices.  The ultimate number of shares to be repurchased under the ASR program will be based on the volume-weighted average price of the Company’s common stock during the term of the ASR program, less a discount.  Final settlement of the ASR program is expected to be completed by the end of September 2015, although the settlement may be accelerated at Wells Fargo’s option.

During the three and six months ended June 30, 2015, the Company did not repurchase any shares.  During the three and six months ended June 30, 2014, the Company repurchased approximately 600 thousand and 800 thousand shares for approximately $39.9 million and $52.9 million, respectively.  Shares repurchased were returned to Treasury Stock.

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NOTE 12 – STOCK-BASED COMPENSATION

The Company issues stock options and restricted stock units to employees under Stock Awards Plans approved by shareholders.  Stock options and restricted stock units are issued to non-employee directors under Director Stock Option Plans and the Director Restricted Stock Unit Plan approved by shareholders.  Options are awarded with the exercise price equal to the market price on the date of grant and generally become exercisable over three years and expire 10 years after grant.  Restricted stock units generally vest over three years.

Compensation expense recorded attributable to stock options for the first six months of 2015 was approximately $12.0 million ($7.8 million after tax).  The income tax benefit related to this compensation expense was approximately $4.2 million.  Approximately $10.7 million of the compensation expense was recorded in selling, research & development and administrative expenses and the balance was recorded in cost of sales.  Compensation expense recorded attributable to stock options for the first six months of 2014 was approximately $12.0 million ($7.8 million after tax).  The income tax benefit related to this compensation expense was approximately $4.2 million.  Approximately $10.8 million of the compensation expense was recorded in selling, research & development and administrative expenses and the balance was recorded in cost of sales.

The Company uses historical data to estimate expected life and volatility.  The weighted-average fair value of stock options granted under the Stock Awards Plans was $12.83 and $14.84 per share in 2015 and 2014, respectively.  These values were estimated on the respective dates of grant using the Black-Scholes option-pricing model with the following weighted-average assumptions:

Stock Awards Plans:
Six months ended June 30,	2015		2014
Dividend Yield	1.7	%	1.7	%
Expected Stock Price Volatility	21.9	%	22.2	%
Risk-free Interest Rate	1.6	%	2.3	%
Expected Life of Option (years)	6.9		6.9

There were no grants under the Director Stock Option Plan during the second quarter of 2015 as this plan was cancelled and replaced by the Director Restricted Stock Unit Plan.  The fair value of stock options granted under the Director Stock Option Plan during the second quarter of 2014 was $14.07.  These values were estimated on the respective date of the grant using the Black-Scholes option-pricing model with the following weighted-average assumptions:

Director Stock Option Plans:
Six months ended June 30,	2014
Dividend Yield	1.8	%
Expected Stock Price Volatility	22.2	%
Risk-free Interest Rate	2.2	%
Expected Life of Option (years)	6.9

A summary of option activity under the Company’s stock plans during the first half of 2015 is presented below:

	Stock Awards Plans					Director Stock Option Plans
				Weighted Average					Weighted Average
	Shares			Exercise Price		Shares			Exercise Price
Outstanding, January 1, 2015	8,107,806			$	46.74	368,668			$	53.52
Granted	1,391,355			64.60		--			--
Exercised	(788,268		)	34.60		(62,001		)	40.67
Forfeited or expired	(20,653		)	60.34		--			--
Outstanding at June 30, 2015	8,690,240			$	50.67	306,667			$	56.11
Exercisable at June 30, 2015	5,925,974			$	44.64	224,325			$	53.41
Weighted-Average Remaining Contractual Term (Years):
Outstanding at June 30, 2015	6.4					7.4
Exercisable at June 30, 2015	5.2					6.9
Aggregate Intrinsic Value ($000):
Outstanding at June 30, 2015	$	120,651				$	2,616
Exercisable at June 30, 2015	$	115,264				$	2,432
Intrinsic Value of Options Exercised ($000) During the Six Months Ended:
June 30, 2015	$	23,592				$	1,449
June 30, 2014	$	18,050				$	741

The fair value of shares vested during the six months ended June 30, 2015 and 2014 was $15.8 million and $13.9 million, respectively.  Cash received from option exercises was approximately $28.8 million and the actual tax benefit realized for the tax deduction from option exercises was approximately $7.0 million in the six months ended June 30, 2015.  As of June 30, 2015,

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the remaining valuation of stock option awards to be expensed in future periods was $18.7 million and the related weighted-average period over which it is expected to be recognized is 1.5 years.

The fair value of restricted stock unit grants is the market price of the underlying shares on the grant date.  A summary of restricted stock unit activity as of June 30, 2015, and changes during the period then ended is presented below:

						Director Restricted
	Stock Awards Plans					Stock Unit Plan
				Weighted Average				Weighted Average
	Shares		Grant-Date Fair Value			Shares	Grant-Date Fair Value
Nonvested at January 1, 2015	61,750			$	64.09	--		$	--
Granted	11,448			65.87		18,857		63.10
Vested	(11,083	)		57.13		--		--
Nonvested at June 30, 2015	62,115			$	65.65	18,857		$	63.10

Compensation expense recorded attributable to restricted stock unit grants for the first half of 2015 and 2014 was approximately $2.0 million and $1.1 million, respectively.  The fair value of units vested during the six months ended June 30, 2015 and 2014 was $633 thousand and $491 thousand, respectively.  The intrinsic value of units vested during the six months ended June 30, 2015 and 2014 was $732 thousand and $613 thousand, respectively.  As of June 30, 2015 there was $1.9 million of total unrecognized compensation cost relating to restricted stock unit awards which is expected to be recognized over a weighted-average period of 1.4 years.

The Company has a long-term incentive program for certain employees.  The program is based on the cumulative total shareholder return of our common stock during a three year performance period.  Total expense related to this program is expected to be approximately $2.3 million over the performance period, of which $483 thousand and $320 thousand was recognized in the first half of 2015 and 2014, respectively.

NOTE 13 – EARNINGS PER SHARE

AptarGroup’s authorized common stock consists of 199 million shares, having a par value of $.01 each.  Information related to the calculation of earnings per share is as follows:

	Three months ended
	June 30, 2015				June 30, 2014
	Diluted		Basic		Diluted		Basic
Consolidated operations
Income available to common shareholders	$	57,539	$	57,539	$	53,076	$	53,076
Average equivalent shares
Shares of common stock	62,697		62,697		65,328		65,328
Effect of dilutive stock based compensation
Stock options	1,550		--		2,103		--
Restricted stock	29		--		7		--
Total average equivalent shares	64,276		62,697		67,438		65,328
Net income per share	$	0.90	$	0.92	$	0.79	$	0.81

	Six months ended
	June 30, 2015				June 30, 2014
	Diluted		Basic		Diluted		Basic
Consolidated operations
Income available to common shareholders	$	102,710	$	102,710	$	101,465	$	101,465
Average equivalent shares
Shares of common stock	62,496		62,496		65,397		65,397
Effect of dilutive stock based compensation
Stock options	2,075		--		2,616		--
Restricted stock	32		--		29		--
Total average equivalent shares	64,603		62,496		68,042		65,397
Net income per share	$	1.59	$	1.64	$	1.49	$	1.55

NOTE 14 – SEGMENT INFORMATION

The Company operates in the packaging components industry, which includes the development, manufacture and sale of consumer product dispensing solutions.  The Company is organized into three reporting segments.  Operations that sell dispensing systems primarily to the personal care, beauty and home care markets form the Beauty + Home segment.  Operations that sell dispensing systems primarily to the prescription drug, consumer health care and injectables markets form

15

the Pharma segment.  Operations that sell dispensing systems primarily to the food and beverage markets form the Food + Beverage segment.

The accounting policies of the segments are the same as those described in Note 1, Summary of Significant Accounting Policies in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014.

Financial information regarding the Company’s reportable segments is shown below:

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Total Revenue:
Beauty + Home	$	324,742		$	391,215		$	659,536		$	789,755
Pharma	183,300			195,690			361,969			390,039
Food + Beverage	92,122			90,192			174,042			180,818
Total Revenue	600,164			677,097			1,195,547			1,360,612
Less: Intersegment Sales:
Beauty + Home	$	5,617		$	5,989		$	10,997		$	13,293
Pharma	--			--			--			--
Food + Beverage	272			477			464			637
Total Intersegment Sales	$	5,889		$	6,466		$	11,461		$	13,930
Net Sales:
Beauty + Home	$	319,124		$	385,226		$	648,539		$	776,462
Pharma	183,300			195,690			361,969			390,039
Food + Beverage	91,851			89,715			173,578			180,181
Net Sales	$	594,275		$	670,631		$	1,184,086		$	1,346,682
Segment Income (1):
Beauty + Home	$	27,193		$	27,198		$	50,569		$	54,979
Pharma	55,462			52,793			107,463			105,275
Food + Beverage	14,991			12,416			24,041			21,496
Corporate & Other	(3,801		)	(8,502		)	(14,961		)	(20,300		)
Income before interest and taxes	$	93,845		$	83,905		$	167,112		$	161,450
Interest expense, net	(8,090		)	(4,199		)	(13,662		)	(8,064		)
Income before income taxes	$	85,755		$	79,706		$	153,450		$	153,386

(1) The Company evaluates performance of our business units and allocates resources based upon segment income. Segment income is defined as earnings before net interest expense, certain corporate expenses and income taxes.

NOTE 15 – INSURANCE SETTLEMENT RECEIVABLE

A fire caused damage to the roof and production area of a facility owned by an AptarGroup subsidiary in Brazil on September 1, 2014.  There were no injuries.  The facility is primarily an internal supplier to AptarGroup of anodized aluminum components for certain dispensing systems sold to the regional beauty and personal care markets.  Repairs of the facility continue to progress as planned.  AptarGroup is insured for the damages caused by the fire, including business interruption insurance.  While the Company is still in the process of reviewing claims with our insurance carriers, we have currently recognized a $4.3 million receivable related to costs incurred but not yet reimbursed, which is included in Prepaid and Other in the Condensed Consolidated Balance Sheet. This incident did not have a material impact on our financial results during the first half of 2015 and we expect to reach a final insurance settlement during the second half of 2015.

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ITEM 2.  MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

(AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AMOUNTS, OR AS OTHERWISE INDICATED)

RESULTS OF OPERATIONS

	Three Months Ended June 30,				Six Months Ended June 30,
	2015		2014		2015		2014
Net Sales	100.0	%	100.0	%	100.0	%	100.0	%
Cost of sales (exclusive of depreciation and amortization shown below)	63.1		67.3		64.3		67.2
Selling, research & development and administrative	15.0		14.4		15.7		15.1
Depreciation and amortization	5.8		5.7		5.8		5.6
Operating Income	16.1		12.6		14.3		12.1
Other expense	(1.7	)	(0.7	)	(1.3	)	(0.7	)
Income before Income Taxes	14.4		11.9		13.0		11.4
Net Income	9.7	%	7.9	%	8.7	%	7.5	%
Effective Tax Rate	32.9	%	33.4	%	33.1	%	33.8	%

NET SALES

We reported net sales of $594.3 million for the second quarter ended June 30, 2015, 11% below second quarter 2014 reported net sales of $670.6 million.  The average U.S. dollar exchange rate strengthened significantly relative to the Euro along with all other major currencies impacting our business, resulting in a negative currency translation impact of 13%.  Therefore, sales excluding changes in foreign currency rates (“core sales”) increased by 2% in the second quarter of 2015 compared to the second quarter of 2014.  Core sales for our Pharma and Food + Beverage business segment increased while our Beauty + Home business segment’s core sales were slightly lower than the prior year:

Second Quarter 2015	Beauty				Food +
Net Sales Change over Prior Year	+ Home		Pharma		Beverage		Total
Core Sales (including tooling)	(4	%)	9	%	9	%	2	%
Currency Effects(1)	(13	%)	(15	%)	(7	%)	(13	%)
Total Reported Net Sales Growth	(17	%)	(6	%)	2	%	(11	%)

(1)  Currency effects are approximated by translating last year’s amounts at this year’s foreign exchange rates.

For the first six months of 2015, we reported net sales of $1.18 billion, 12% below the first six months of 2014 reported net sales of $1.35 billion.  Consistent with the second quarter, the average U.S. dollar exchange rate strengthened relative to the Euro along with all other major currencies impacting our business.  Core sales for the first six months of 2015 were flat compared to the first six months of 2014:

First Six Months of 2015	Beauty				Food +
Net Sales Change over Prior Year	+ Home		Pharma		Beverage		Total
Core Sales (including tooling)	(4	%)	8	%	2	%	--	%
Currency Effects(1)	(12	%)	(15	%)	(6	%)	(12	%)
Total Reported Net Sales Growth	(16	%)	(7	%)	(4	%)	(12	%)

(1)  Currency effects are approximated by translating last year’s amounts at this year’s foreign exchange rates.

For further discussion on net sales by reporting segment, please refer to the segment analysis of net sales and segment income on the following pages.

The following table sets forth, for the periods indicated, net sales by geographic location:

	Three Months Ended June 30,								Six Months Ended June 30,
	2015		% of Total		2014		% of Total		2015		% of Total		2014		% of Total
Domestic	$	158,749	27	%	$	161,624	24	%	$	318,827	27	%	$	332,301	25	%
Europe	328,680		55	%	393,282		59	%	660,951		56	%	792,741		59	%
Latin America	54,208		9	%	67,187		10	%	107,124		9	%	127,727		9	%
Asia	52,638		9	%	48,538		7	%	97,184		8	%	93,913		7	%

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COST OF SALES (EXCLUSIVE OF DEPRECIATION AND AMORTIZATION SHOWN BELOW)

Our cost of sales as a percent of net sales was 63.1% in the second quarter of 2015 compared to 67.3% in the same period a year ago.  The decrease is mainly due to the $7.4 million impact of a change in accounting principle related to inventory valuation methods discussed in Note 1 to the Unaudited Notes to Condensed Consolidated Financial Statements along with increased sales volumes in our Pharma and Food + Beverage segments compared to the Company average.  This positively impacts our cost of sales percentage as margins on our pharmaceutical, food and beverage products typically are higher than the overall Company average.  Segment-driven cost savings initiatives and productivity improvements resulted in broad-based margin improvement.  We also benefitted from favorable foreign currency transaction effects.

Cost of sales as a percent of net sales decreased to 64.3% in the first six months of 2015 compared to 67.2% in the same period a year ago.  As discussed above, the $7.4 million impact of the change in accounting principle as well as increased sales volumes in our Pharma segment positively impacted our cost of sales percentage as margins on our pharmaceutical products typically are higher than the overall Company average.  We also experienced a positive impact from the timing delay of resin pass-throughs of approximately $3.0 million as resin prices declined significantly during the first quarter and we benefitted from certain cost savings initiatives driven by the segments along with favorable foreign currency transaction effects.

SELLING, RESEARCH & DEVELOPMENT AND ADMINISTRATIVE

Our Selling, Research & Development and Administrative expenses (“SG&A”) decreased by approximately $7.2 million to $89.3 million in the second quarter of 2015 compared to $96.5 million during the same period a year ago.  Excluding changes in foreign currency rates, SG&A increased $5.5 million in the quarter.  The increase is due to several factors including $1.3 million of higher bad debt expense, a $0.6 million unclaimed property settlement with the State of Delaware and $0.5 million of higher pension costs due to lower interest rates.  We also incurred higher professional fees associated with our legal entity reorganization project along with other normal inflationary increases.  SG&A as a percentage of net sales increased to 15.0% compared to 14.4% in the same period of the prior year due to the higher expenses noted above.

SG&A decreased by approximately $17.7 million to $185.5 million in the first six months of 2015 compared to $203.2 million during the same period a year ago.  Excluding changes in foreign currency rates, SG&A increased by approximately $6.7 million in the first six months of the year.  As discussed above, the increase is mainly due to higher bad debt expense, an unclaimed property settlement, higher pension and professional fees along with normal inflationary increases.  SG&A as a percentage of net sales increased to 15.7% in the first six months of 2015 compared to 15.1% in the first six months of 2014 primarily due to the higher expenses during the current year noted above.

DEPRECIATION AND AMORTIZATION

Reported depreciation and amortization expenses decreased to $34.2 million in the second quarter of 2015 compared to $38.5 million during the same period a year ago.  Excluding changes in foreign currency rates, depreciation and amortization increased slightly by approximately $0.7 million in the quarter compared to the same period a year ago.  The increase is mainly due to our continued investments in new products in excess of our depreciation and amortization expense.  Depreciation and amortization as a percentage of net sales increased slightly to 5.8% in the second quarter of 2015 compared to 5.7% for the same period a year ago.

For the first six months of 2015, reported depreciation and amortization expenses decreased by approximately $7.5 million to $68.2 million compared to $75.7 million in the first half of 2014.  Excluding changes in foreign currency rates, depreciation and amortization increased by approximately $1.9 million in the first six months of 2015.  As discussed above, this increase is mainly due to our investments in new products and our global enterprise resource planning system.  Depreciation and amortization as a percentage of net sales also increased to 5.8% compared to 5.6% for the same period a year ago.

OPERATING INCOME

Operating income increased approximately $10.9 million in the second quarter of 2015 to $95.5 million compared to $84.6 million in the same period in the prior year.  Excluding changes in currency rates, operating income increased by approximately $23.0 million in the quarter.  As mentioned above, we benefitted from the $7.4 million change in inventory accounting principle along with the strong results of our Pharma and Food + Beverage segments.  We also realized certain cost saving initiatives and productivity improvements which were driven by all three of our operating segments.  Operating income as a percentage of net sales increased to 16.1% in the first six months of 2015 compared to 12.6% for the same period in the prior year.

Operating income increased approximately $5.8 million to $169.1 million in the first six months of 2015 compared to $163.3 million in the same period in the prior year.  Excluding changes in currency rates, operating income increased by approximately $30.1 million in the first six months of 2015.  We benefitted from the $7.4 million change in inventory accounting principle along with the strong results of our Pharma and Food + Beverage segments.  We also benefitted from a positive impact from the timing delay in passing through resin cost decreases and certain cost saving initiatives driven by the segments.  Operating income as a percentage of sales increased to 14.3% in the first six months of 2015 compared to 12.1% for the same period in the prior year.

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NET OTHER EXPENSE

Net other expenses in the second quarter of 2015 increased to $9.8 million from $4.9 million in the same period in the prior year.  During 2015, we incurred higher interest expense related to our $475 million senior notes issued in December 2014 and February 2015; the proceeds of which were mainly used to fund our accelerated share repurchase in December 2014 and move part of our debt from variable to fixed in order to take advantage of the current interest rate environment.  We also incurred increased costs related to our forward exchange contracts due to exchange rate volatility in certain countries.

Net other expenses for the six months ended June 30, 2015 increased to $15.7 million from $10.0 million in the same period in the prior year.  Higher interest expense related to our $475 million senior notes and increased costs of our forward exchange contracts were partially offset by the recognition of a $1.5 million write-down on a non-controlling investment in the prior year.

EFFECTIVE TAX RATE

The reported effective tax rate decreased to 32.9% for the three months ended June 30, 2015 compared to 33.4% for the same period ended June 30, 2014.  The reported effective tax rate also decreased to 33.1% for the six months ended June 30, 2015 compared to 33.8% for the six months ended June 30, 2014.  The decrease in the rates for the three and six months ended June 30, 2015 is attributable to the mix of income earned by tax jurisdiction as well as the expansion of an Italian tax law that resulted in increased deductions.

NET INCOME ATTRIBUTABLE TO APTARGROUP, INC.

We reported net income attributable to AptarGroup, Inc. of $57.5 million and $102.7 million in the three and six months ended June 30, 2015, respectively, compared to $53.1 million and $101.5 million for the same periods in the prior year.

BEAUTY + HOME SEGMENT

Operations that sell dispensing systems primarily to the personal care, beauty and home care markets form the Beauty + Home segment.

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Net Sales	$	319,124		$	385,226		$	648,539		$	776,462
Segment Income	27,193			27,198			50,569			54,979
Segment Income as a percentage of Net Sales	8.5		%	7.1		%	7.8		%	7.1		%

Net sales for the quarter ended June 30, 2015 decreased 17% to $319.1 million compared to $385.2 million in the second quarter of the prior year.  Core sales decreased 4% in the second quarter of 2015 compared to the same quarter of the prior year.  Core sales of our products to the personal care market were comparable to prior year while core sales of our products to the beauty and home care markets decreased by 7% and 8%, respectively, in the second quarter of 2015 compared to the same period in the prior year.  The trend of global market softness continues for Beauty + Home as all regions except Asia reported sales declines on a constant currency basis compared to prior year.

Net sales decreased 16% in the first six months of 2015 to $648.5 million compared to $776.5 million in the first six months of the prior year.  Core sales decreased 4% in first six months of 2015 compared to the first six months of the prior year.  Core sales of our products to the personal care, beauty and home care markets decreased by 3%, 4% and 7%, respectively in the first six months of 2015 compared to the first six months of 2014.  Consistent with the quarter, all regions except Asia reported sales declines on a constant currency basis compared to prior year.

In spite of the decrease in sales in the second quarter, segment income was consistent between 2015 and 2014 at $27.2 million.  Foreign currency rate changes, lower product sales and an accrual for our receivable exposure in Greece negatively impacted segment income and were offset by improved product sales mix, cost savings initiatives and improved productivity, mainly in North America.  There was little impact from the timing of resin pass-throughs in the quarter; however, prior year results were negatively impacted by $1.0 million of non-recurring facility expansion expenses in Latin America.

Segment income in the first six months of 2015 decreased approximately 8% to $50.6 million compared to $55.0 million reported in the same period in the prior year.  The decrease compared to the prior year is due mostly to the impact of foreign currency rate changes and lower product sales discussed above.  This decrease was partially offset by the positive impact of the timing of resin pass-throughs during the first quarter, cost savings initiatives and improved productivity in North America in the current year. The prior year segment income included approximately $1.0 million related to facility expansion costs in Latin America.

PHARMA SEGMENT

Operations that sell dispensing systems to the prescription drug, consumer health care and injectables markets form the Pharma segment.

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	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Net Sales	$	183,300		$	195,690		$	361,969		$	390,039
Segment Income	55,462			52,793			107,463			105,275
Segment Income as a percentage of Net Sales	30.3		%	27.0		%	29.7		%	27.0		%

Net sales for the Pharma segment decreased approximately 6% in the second quarter of 2015 to $183.3 million compared to $195.7 million in the second quarter of 2014.  Core sales increased 9% in the second quarter of 2015 compared to the same quarter of the prior year.  Core sales of our products to the prescription and injectables markets increased 17% and 7%, respectively.  The prescription market’s growth over the prior year was mainly due to strong sales in our respiratory application fields such as asthma/COPD and allergic rhinitis, while the injectables market continues to show positive growth momentum with strong demand in Europe, U.S., India and Latin America.  Core sales of our products to the consumer health care market decreased 5% in the second quarter of 2015 compared to a record quarter in the prior year.  This is mainly due to lower tooling sales and softness with a few customers in Eastern Europe.  In total customer tooling sales, excluding foreign currency changes, increased by $3.9 million in the second quarter of 2015 compared to the second quarter of the prior year.

Net sales for the first six months of 2015 decreased approximately 7% to $362.0 million compared to $390.0 million in the first six months of the prior year.  Core sales increased by 8% in the first six months of 2015 compared to the first six months of 2014.  Core sales of our products to the prescription and injectables markets increased 13% and 6%, respectively, in the first six months of 2015 compared to the same period in the prior year.  Prescription growth was led by strong sales of our asthma/COPD and allergic rhinitis products while injectables grew on increased demand as noted above.  Core sales of our products to the consumer health care market were comparable to the prior year as growth in our non-prescription nasal decongestant business offset the lower tooling sales and softness in Eastern Europe discussed above.

Segment income in the second quarter of 2015 increased approximately 5% to $55.5 million compared to $52.8 million reported in the same period in the prior year.  Results were favorably impacted by the additional product sales volumes discussed above along with favorable product mix within the segment combined with cost containment initiatives.

Segment income in the first six months of 2015 increased approximately 2% to $107.5 million compared to $105.3 million reported in the same period of the prior year.  This increase is again mainly attributed to the higher sales volumes and improved product mix within the segment as well as cost containment initiatives.  Prior year results also included a $1.5 million write-down on a non-controlling investment to align with the current fair value.

FOOD + BEVERAGE SEGMENT

Operations that sell dispensing systems primarily to the food and beverage markets form the Food + Beverage segment.

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Net Sales	$	91,851		$	89,715		$	173,578		$	180,181
Segment Income	14,991			12,416			24,041			21,496
Segment Income as a percentage of Net Sales	16.3		%	13.8		%	13.9		%	11.9		%

Net sales for the Food + Beverage segment for the quarter ended June 30, 2015 increased approximately 2% to $91.9 million compared to $89.7 million in the second quarter of the prior year.  Core sales increased 9% in the second quarter of 2015 compared to the same quarter of the prior year.  Core sales of our products to the food market increased approximately 11% due to broad based growth versus the prior year.  Core sales of our products to the beverage market increased 7% mainly due to growth in functional drinks product sales in Asia and sport drinks product sales in Latin America.  Decreases in resin pass-throughs to our customers and lower tooling sales negatively impacted sales by $2.5 million and $1.9 million, respectively.

Net sales for the first six months of 2015 decreased approximately 4% to $173.6 million compared to $180.2 million in the first six months of the prior year.  Core sales increased 2%.  Core sales of our products to the food market increased 4% and core sales of our products to the beverage market increased approximately 1% in the first six months of 2014 compared to the same period in the prior year.  The broad based growth in the food market noted above was offset by lower tooling sales of $7.3 million in the first six months of 2015 compared to 2014.  While we realized strong sales growth of our products to the beverage market during the second quarter, this growth was mostly offset by residual inventory destocking by certain customers earlier in the year.  Decreases in resin pass-throughs of $2.5 million also negatively impacted sales for the first six months of 2015.

Segment income in the second quarter of 2015 increased approximately 21% to $15.0 million compared to $12.4 million during the same period in the prior year.  Segment income was positively impacted mainly by the increased product sales discussed above and cost reduction efforts.  The impact of the timing of resin pass-throughs in the second quarter was still favorable by $0.5 million, but lower than the first quarter as the first quarter price decreases have been passed on to customers.

Segment income in the first six months of 2015 increased approximately 12% to $24.0 million compared to $21.5 million reported in the same period of the prior year.  The negative impact coming from the changes in foreign currency rates noted above was offset by improving sales volumes and cost savings initiatives along with a $2.5 million favorable impact due to the timing of resin pass-throughs.

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CORPORATE & OTHER

In addition to our three operating business segments, AptarGroup assigns certain costs to “Corporate & Other,” which is presented separately in Note 14 of the Unaudited Notes to the Condensed Consolidated Financial Statements.  Corporate & Other primarily includes certain professional fees, compensation and information system costs which are not allocated directly to our operating segments.  Corporate & Other expense decreased to $3.8 million for the quarter ended June 30, 2015 compared to $8.5 million in the second quarter of the prior year due to the impact of the $7.4 million change in accounting principle related to our inventory valuation method.  This decrease is offset by increased professional fees and other expenses associated with our legal entity reorganization project along with a $0.6 million unclaimed property settlement with the State of Delaware.

Corporate & Other expense in the first six months of 2015 decreased to $15.0 million compared to $20.3 million reported in the same period of the prior year due the impact of the $7.4 million change in accounting principle related to our inventory valuation method.  This decrease is mainly offset by the increases in professional fees, other expenses associated with our legal entity reorganization project and the unclaimed property settlement as noted above.

FOREIGN CURRENCY

Because of our international presence, movements in exchange rates may have a significant impact on the translation of the financial statements of our foreign subsidiaries.  Our primary foreign exchange exposure is to the Euro, but we have foreign exchange exposure to the Brazilian Real, British Pound, Swiss Franc and other South American and Asian currencies, among others.  A strengthening U.S. dollar relative to foreign currencies has a dilutive translation effect on our financial statements.  Conversely, a weakening U.S. dollar has an additive effect.  In some cases, we sell products denominated in a currency different from the currency in which the related costs are incurred.  We manage our exposures to foreign exchange principally with forward exchange contracts to economically hedge recorded transactions and firm purchase and sales commitments denominated in foreign currencies.  Changes in exchange rates on such inter-country sales could materially impact our results of operations.

QUARTERLY TRENDS

Our results of operations in the last quarter of the year typically are negatively impacted by plant shutdowns in December.  In the future, our results of operations in a quarterly period could be impacted by factors such as changes in foreign currency rates, changes in product mix, changes in material costs, changes in growth rates in the industries to which our products are sold, recognition of equity based compensation expense for retirement eligible employees in the period of grant and changes in general economic conditions in any of the countries in which we do business.

We generally incur higher stock option expense in the first quarter compared with the rest of the fiscal year.  Our stock option expense on a pre-tax basis (in $ millions) for the year 2015 compared to 2014 is as follows:

	2015		2014
First Quarter	$	8.8	$	8.4
Second Quarter	3.2		3.7
Third Quarter (estimated for 2015)	3.0		3.0
Fourth Quarter (estimated for 2015)	2.9		2.9
	$	17.9	$	18.0

We recognized higher first quarter expense in 2015 compared to 2014 due to costs associated with a higher number of retirement eligible employees in the first quarter of the current year.  This is offset by lower second quarter expense as there were no grants under the Director Stock Option Plan during the second quarter of 2015.

LIQUIDITY AND CAPITAL RESOURCES

Our primary sources of liquidity are cash flow from operations and our revolving credit facility.  In the first six months of 2015, our operations provided approximately $140.2 million in cash flow compared to $110.7 million for the same period a year ago.  In both periods, cash flow from operations was primarily derived from earnings before depreciation and amortization.  The increase in cash provided by operations is primarily attributable to lower working capital requirements to support our business.

We used $125.9 million in cash for investing activities during the first half of 2015, compared to $84.9 million during the same period a year ago.  The increase in cash used for investing activities is due to the purchase of $66.9 million in short term investments.  Short term investments reflect funds invested in a time deposit instrument with a two-year maturity.  However, during the life of the investment the funds can be redeemed at any time with a 35-90 day notice.  There are no penalties for early redemption.  This increase was partially offset by a decrease in capital expenditures of $26.8 million in the first half of 2015 compared to the first half of 2014.  Cash outlays for capital expenditures for 2015 are estimated to be approximately $150 million but could vary due to changes in exchange rates as well as the timing of capital projects.

We used $5.9 million in cash for financing activities during the first half of 2015, compared to $11.0 million in proceeds in the first half of the prior year.  For 2015, proceeds from stock option exercises were offset by our dividends paid while in 2014 proceeds received from notes payable were used to cover our dividends paid along with the repurchase of our treasury stock.  There is no repurchase of treasury stock in 2015 as this activity is currently part of our ASR program detailed in Note 11 of the Unaudited Notes to Condensed Consolidated Financial Statements.

Cash and equivalents decreased to $391.8 million at June 30, 2015 from $399.8 million at December 31, 2014.  Total short and long-term interest bearing debt decreased in the first six months of 2015 to $836.9 million from $840.9 million at December

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31, 2014.  The ratio of our Net Debt (interest bearing debt less cash and cash equivalents) to Net Capital (stockholder’s equity plus Net Debt) was 28.3% at June 30, 2015 compared to 28.6% at December 31, 2014.

On January 31, 2012, we entered into a revolving credit facility that provides for unsecured financing of up to $300 million.  Each borrowing under this credit facility will bear interest at rates based on LIBOR, prime rates or other similar rates, in each case plus an applicable margin.  A facility fee on the total amount of the facility is also payable quarterly, regardless of usage. The applicable margins for borrowings under the credit facility and the facility fee percentage may change from time to time depending on changes in AptarGroup’s consolidated leverage ratio.  On January 31, 2014, we amended the revolving credit facility to, among other things, increase the amount of permitted receivables transactions from $100 to $150 million, reduce the cost of committed funds by 12.5 basis points and uncommitted funds by 2.5 basis points, and extend the maturity date of the revolving credit facility by one year, to January 31, 2019.  On December 16, 2014, we amended the credit facility to, among other things, change our financial covenants to the leverage and interest coverage ratios shown in the table below, and extend the maturity date of the revolving credit facility to December 16, 2019.  At June 30, 2015, there was no outstanding balance under the credit facility.  The outstanding balance under the credit facility was $230 million at December 31, 2014 and is reported as notes payable in the current liabilities section of the Condensed Consolidated Balance Sheets.  We incurred approximately $114 thousand and $611 thousand in interest and fees related to this credit facility during the quarter ended June 30, 2015 and 2014, respectively.  We incurred approximately $701 thousand and $1.1 million in interest and fees related to this credit facility during the six months ended June 30, 2015 and 2014, respectively.

Our revolving credit facility and corporate long-term obligations require us to satisfy certain financial and other covenants including:

	Requirement	Level at June 30, 2015
Consolidated Leverage Ratio (a)	Maximum of 3.50 to 1.00	1.10 to 1.00
Consolidated Interest Coverage Ratio (a)	Minimum of 3.00 to 1.00	16.72 to 1.00

(a)Definitions of ratios are included as part of the revolving credit facility agreement and the private placement agreements.

Based upon the above consolidated leverage ratio covenant, we would have the ability to borrow approximately an additional $1.1 billion before the 3.50 to 1.00 ratio requirement was exceeded.

In December 2014, we executed a $475 million private placement to take advantage of low long-term interest rates.  At that time, we closed on $250 million of the private placement to fund our ASR program.  This closing consisted of two maturity tranches, with $125 million of 9 year notes at an interest rate of 3.49% and $125 million of 11 year notes at an interest rate of 3.61%.  We closed on the remaining $225 million of the private placement in February, 2015, consisting of $100 million of 9 year notes at an interest rate of 3.49% and $125 million of 11 year notes at an interest rate of 3.61%.  The proceeds from this closing were used to pay down the existing revolving line of credit.

Our foreign operations have historically met cash requirements with the use of internally generated cash or borrowings.  These foreign subsidiaries have financing arrangements with several foreign banks to fund operations located outside the U.S., but the majority of these arrangements are uncommitted.  Cash generated by foreign operations has generally been reinvested locally.  The majority of our $391.8 million in cash and equivalents is located outside of the U.S.  We manage our global cash requirements considering (i) available funds among the many subsidiaries through which we conduct business, (ii) the geographic location of our liquidity needs, and (iii) the cost to access international cash balances.  The repatriation of non-U.S. cash balances from certain subsidiaries could have adverse tax consequences as we may be required to pay income tax on those funds.  Historically, the tax consequences associated with repatriating current year earnings to the U.S. has been between 10% and 14% of the repatriated amount.  We do not expect future impacts to be materially different.

We believe we are in a strong financial position and have the financial resources to meet our business requirements in the foreseeable future.  We have historically used cash flow from operations and our revolving credit facility as our primary source of liquidity.  Our primary uses of liquidity are to invest in equipment and facilities that are necessary to support our growth and to make acquisitions that will contribute to the achievement of our strategic objectives.  Other uses of liquidity include paying dividends to shareholders and repurchasing shares of our common stock.  In the event that customer demand would decrease significantly for a prolonged period of time and negatively impact cash flow from operations, we would have the ability to restrict and significantly reduce capital expenditure levels, as well as evaluate our acquisition strategy and dividend and share repurchase programs.  A prolonged and significant reduction in capital expenditure levels could increase future repairs and maintenance costs as well as have a negative impact on operating margins if we were unable to invest in new innovative products.

On July 16, 2015, the Board of Directors declared a quarterly dividend of $0.28 per share payable on August 19, 2015 to stockholders of record as of July 29, 2015.

OFF-BALANCE SHEET ARRANGEMENTS

We lease certain warehouse, plant and office facilities as well as certain equipment under noncancelable operating leases expiring at various dates through the year 2027.  Most of the operating leases contain renewal options and certain equipment leases include options to purchase during or at the end of the lease term.  Other than operating lease obligations, we do not have any off-balance sheet arrangements.

RECENTLY ISSUED ACCOUNTING STANDARDS

We have reviewed the recently issued accounting standards updates to the FASB’s Accounting Standards Codification that have future effective dates.  As discussed in Note 1 of the Unaudited Notes to Condensed Consolidated Financial Statements,

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no Standards that are considered to have a material impact on our Unaudited Condensed Consolidated Financial Statements were effective for the first half of 2015.

In May 2014, the FASB amended the guidance for recognition of revenue from customer contracts.  The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in the amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services.  In July 2015, the FASB decided to defer the effective date by one year to December 15, 2017 for annual reporting periods beginning after that date.  The FASB also decided to allow early adoption of the standard, but not before the original effective date of December 15, 2016. We are currently evaluating the impact the adoption of this standard will have on our Consolidated Financial Statements.

In April 2015, the FASB issued an ASU intended to simplify U.S. GAAP by changing the presentation of debt issuance costs. Under the new standard, debt issuance costs will be presented as a reduction of the carrying amount of the related liability, rather than as an asset.  The new treatment is consistent with debt discounts.  This standard is effective for annual reporting periods beginning after December 15, 2015, but early adoption is permitted.  We are currently evaluating the impact the adoption of this standard will have on our Consolidated Financial Statements.

In April 2015, the FASB issued new guidance on a customer’s accounting for fees paid in a cloud computing arrangement (CCA).  Previously, there was no specific U.S. GAAP guidance on accounting for such fees from the customer’s perspective.  Under the new standard, customers will apply the same criteria as vendors to determine whether a CCA contains a software license or is solely a service contract.  This standard is effective for annual reporting periods beginning after December 15, 2015, but early adoption is permitted.  We are currently evaluating the impact the adoption of this standard will have on our Consolidated Financial Statements.

Other accounting standards that have been issued by the FASB or other standards-setting bodies that do not require adoption until a future date are not expected to have a material impact on our consolidated financial statements upon adoption.

OUTLOOK

We anticipate that during the third quarter we will continue to build upon the progress we have made thus far this year.  We are committed to investing in research and development and in the capital projects necessary to support our long-term growth.  Certain macro-economic conditions could remain challenging in the near-term, including the stagnation affecting certain markets in Latin America and the global foreign exchange environment.  However, we will execute our strategy and in doing so, continue to help our customers grow their businesses with our innovative dispensing solutions.

AptarGroup expects diluted earnings per share to be in the range of $0.77 to $0.82 per share for the third quarter of 2015 compared to $0.73 per diluted share reported in the prior year.  Assuming a comparable foreign currency exchange rate environment, comparable earnings per share for the prior year were approximately $0.65 per share.

FORWARD-LOOKING STATEMENTS

Certain statements in Management’s Discussion and Analysis and other sections of this Form 10-Q are forward-looking and involve a number of risks and uncertainties, including certain statements set forth in the Quarterly Trends, Liquidity and Capital Resources, and Outlook sections of this Form 10-Q.  Words such as “expects,” “anticipates,” “believes,” “estimates,” and other similar expressions or future or conditional verbs such as “will,” “should,” “would” and “could” are intended to identify such forward-looking statements.  Forward-looking statements are made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and are based on our beliefs as well as assumptions made by and information currently available to us.  Accordingly, our actual results may differ materially from those expressed or implied in such forward-looking statements due to known or unknown risks and uncertainties that exist in our operations and business environment, including but not limited to:

· economic conditions worldwide, including the current situation in Greece as well as potential deflationary conditions in regions we rely on for growth;

· political conditions worldwide;

· significant fluctuations in foreign currency exchange rates;

· changes in customer and/or consumer spending levels;

· financial conditions of customers and suppliers;

· consolidations within our customer or supplier bases;

· fluctuations in the cost of materials, components and other input costs (particularly resin, metal, anodization costs and transportation and energy costs);

· the availability of raw materials and components (particularly from sole sourced suppliers) as well as the financial viability of these suppliers;

· our ability to contain costs and improve productivity;

· our ability to successfully implement facility expansions and new facility projects, including the Stelmi expansion;

· our ability to increase prices, contain costs and improve productivity;

· changes in capital availability or cost, including interest rate fluctuations;

· volatility of global credit markets;

· the timing and magnitude of capital expenditures;

· our ability to identify potential new acquisitions and to successfully acquire and integrate such operations or products;

· direct or indirect consequences of acts of war or terrorism;

· cybersecurity threats that could impact our networks and reporting systems;

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· the impact of natural disasters and other weather-related occurrences;

· fiscal and monetary policies and other regulations, including changes in worldwide tax rates;

· changes or difficulties in complying with government regulation;

· changing regulations or market conditions regarding environmental sustainability;

· work stoppages due to labor disputes;

· competition, including technological advances;

· our ability to protect and defend our intellectual property rights, as well as litigation involving intellectual property rights;

· the outcome of any legal proceeding that has been or may be instituted against us and others;

· our ability to meet future cash flow estimates to support our goodwill impairment testing;

· the demand for existing and new products;

· our ability to manage worldwide customer launches of complex technical products, in particular in developing markets;

· the success of our customers’ products, particularly in the pharmaceutical industry;

· difficulties in product development and uncertainties related to the timing or outcome of product development;

· significant product liability claims; and

· other risks associated with our operations.

Although we believe that our forward-looking statements are based on reasonable assumptions, there can be no assurance that actual results, performance or achievements will not differ materially from any future results, performance or achievements expressed or implied by such forward-looking statements.  Readers are cautioned not to place undue reliance on forward-looking statements.  We undertake no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.  Please refer to Item 1A (“Risk Factors”) of Part I included in the Company’s Annual Report on Form 10-K for additional risk factors affecting the Company.

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ITEM 3.  QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

A significant number of our operations are located outside of the United States.  Because of this, movements in exchange rates may have a significant impact on the translation of the financial condition and results of operations of our entities.  Our primary foreign exchange exposure is to the Euro, but we also have foreign exchange exposure to the Brazilian Real, British Pound and Swiss Franc, among others. A strengthening U.S. dollar relative to foreign currencies has a dilutive translation effect on our financial condition and results of operations.  Conversely, a weakening U.S. dollar relative to foreign currencies has an additive translation effect on our financial condition and results of operations.

Additionally, in some cases, we sell products denominated in a currency different from the currency in which the related costs are incurred.  Any changes in exchange rates on such inter-country sales may impact our results of operations.

We manage our exposures to foreign exchange principally with forward exchange contracts to hedge certain firm purchase and sales commitments and intercompany cash transactions denominated in foreign currencies.

The table below provides information as of June 30, 2015 about our forward currency exchange contracts.  The majority of the contracts expire before the end of the third quarter of 2015.

			Average	Min / Max
	Contract Amount		Contractual	Notional
Buy/Sell	(in thousands)		Exchange Rate	Volumes
Swiss Franc/Euro	$	73,521	0.9600	70,348-73,521
Euro/Brazilian Real	16,126		3.5500	15,506-16,126
Euro/Indian Rupee	10,789		78.5700	9,408-10,789
Euro/U.S. Dollar	10,229		1.1200	10,229-17,777
Euro/Columbian Peso	6,276		2,835.8300	6,276-6,276
Euro/Mexican Peso	5,156		18.8800	5,069-6,186
British Pound/Euro	2,864		1.3900	2,864-10,425
Czech Koruna/Euro	2,526		0.0400	2,526-8,739
U.S. Dollar/Brazilian Real	2,445		3.1300	1,445-2,445
Euro/Indonesian Rupiah	1,885		16,598.8200	1,885-1,885
Euro/Thai Baht	1,716		44.9300	1,716-1,716
U.S. Dollar/Euro	1,324		0.8900	914-2,569
U.S. Dollar/Chinese Yuan	1,130		6.2300	1,130-2,190
Other	2,099
Total	$	138,086

As of June 30, 2015, the Company has recorded the fair value of foreign currency forward exchange contracts of $1.4 million in prepaid and other, $1.7 million in accounts payable and accrued liabilities, and $0.1 million in deferred and other non-current liabilities in the balance sheet.

ITEM 4.  CONTROLS AND PROCEDURES

DISCLOSURE CONTROLS AND PROCEDURES

The Company’s management has evaluated, with the participation of the chief executive officer and chief financial officer of the Company, the effectiveness of the Company’s disclosure controls and procedures (as that term is defined in Rule 13a-15(e) under the Securities Exchange Act of 1934) as of June 30, 2015.  Based on that evaluation, the chief executive officer and chief financial officer have concluded that these controls and procedures were effective as of such date.

CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING

During the quarter ended June 30, 2015, the Company implemented an enterprise resource planning (“ERP”) system at two operating facilities.  Consequently, the control environments have been modified at these locations to incorporate the controls contained within the new ERP system.  Management is not aware of any control deficiencies at these two facilities.  Other than these items, no other changes in the Company’s internal control over financial reporting (as such term is defined in Rule 13a-15(f) under the Securities Exchange Act of 1934) occurred during the Company’s fiscal quarter ended June 30, 2015 that materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

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PART II - OTHER INFORMATION

ITEM 2.  UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

RECENT SALES OF UNREGISTERED SECURITIES

The employees of AptarGroup S.A.S. and Aptar France S.A.S., our subsidiaries, are eligible to participate in the FCP Aptar Savings Plan (the “Plan”).  All eligible participants are located outside of the United States.  An independent agent purchases shares of Common Stock available under the Plan for cash on the open market and we do not issue shares.  We do not receive any proceeds from the purchase of Common Stock under the Plan.  The agent under the Plan is Banque Nationale de Paris Paribas Fund Services.  No underwriters are used under the Plan.  All shares are sold in reliance upon the exemption from registration under the Securities Act of 1933 provided by Regulation S promulgated under that Act.  During the quarter ended June 30, 2015, the Plan purchased 4,970 shares of our common stock on behalf of the participants at an average price of $63.10 per share, for an aggregate amount of $314 thousand, and did not sell any shares of our common stock.  At June 30, 2015, the Plan owned 53,466 shares of our common stock.

ISSUER PURCHASES OF EQUITY SECURITIES

On October 30, 2014, the Company announced a share repurchase authorization of up to $350 million of Common Stock.  This authorization replaces previous authorizations and has no expiration date.  AptarGroup may repurchase shares through the open market, privately negotiated transactions or other programs, subject to market conditions.

On December 16, 2014, the Company entered into an agreement to repurchase approximately $250 million of its common stock under an accelerated share repurchase program (the “ASR program”).  The ASR program is part of the Company’s $350 million share repurchase authorization.  On December 17, 2014, the Company paid $250 million to Wells Fargo Bank N.A. (“Wells Fargo”) in exchange for approximately 3.1 million shares, estimated to represent approximately 80% of the total number of shares expected to be purchased in the ASR program based on then current market prices.  The ultimate number of shares to be repurchased under the ASR program will be based on the volume-weighted average price of the Company’s common stock during the term of the ASR program, less a discount.  Final settlement of the ASR program is expected to be completed by the end of September 2015, although the settlement may be accelerated at Wells Fargo’s option.  Consequently, no securities were purchased during the quarter ended June 30, 2015 and approximately $100 million of shares remain to be purchased under the current share repurchase authorization.

ITEM 6.  EXHIBITS

Exhibit 10.1	AptarGroup, Inc. 2015 Director Restricted Stock Unit Plan, filed as Exhibit 4(c) to AptarGroup, Inc.’s Registration Statement on Form S-8, Registration Number 333-203905, filed on May 6, 2015, is hereby incorporated by reference.
Exhibit 10.2	Form of AptarGroup, Inc. 2015 Restricted Stock Unit Award Agreement for Directors pursuant to the AptarGroup, Inc. 2015 Director Restricted Stock Unit Plan.
Exhibit 31.1	Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
Exhibit 31.2	Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
Exhibit 32.1	Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
Exhibit 32.2	Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
Exhibit 101	The following financial information from our Quarterly Report on Form 10-Q for the second quarter of fiscal 2015, filed with the SEC on July 31, 2015, formatted in Extensible Business Reporting Language (XBRL): (i) the Condensed Consolidated Statements of Income - Three and Six Months Ended June 30, 2015 and 2014, (ii) the Condensed Consolidated Statements of Comprehensive Income – Three and Six Months Ended June 30, 2015 and 2014, (iii) the Condensed Consolidated Balance Sheets – June 30, 2015 and December 31, 2014, (iv) the Condensed Consolidated Statements of Changes in Equity - Six Months Ended June 30, 2015 and 2014, (v) the Condensed Consolidated Statements of Cash Flows - Six Months Ended June 30, 2015 and 2014 and (vi) the Notes to Condensed Consolidated Financial Statements.

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SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

AptarGroup, Inc.

(Registrant)

By /s/ ROBERT W. KUHN

Robert W. Kuhn

Executive Vice President,

Chief Financial Officer and Secretary

(Duly Authorized Officer and

Principal Accounting and Financial Officer)

Date: July 31, 2015

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INDEX OF EXHIBITS

Exhibit
Number	Description
10.1	AptarGroup, Inc. 2015 Director Restricted Stock Unit Plan, filed as Exhibit 4(c) to AptarGroup, Inc.’s Registration Statement on Form S-8, Registration Number 333-203905, filed on May 6, 2015, is hereby incorporated by reference.
10.2	Form of AptarGroup, Inc. 2015 Restricted Stock Unit Award Agreement for Directors pursuant to the AptarGroup, Inc. 2015 Director Restricted Stock Unit Plan.
31.1	Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2	Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1	Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2	Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101	The following financial information from our Quarterly Report on Form 10-Q for the second quarter of fiscal 2015, filed with the SEC on July 31, 2015, formatted in Extensible Business Reporting Language (XBRL): (i) the Condensed Consolidated Statements of Income - Three and Six Months Ended June 30, 2015 and 2014, (ii) the Condensed Consolidated Statements of Comprehensive Income – Three and Six Months Ended June 30, 2015 and 2014, (iii) the Condensed Consolidated Balance Sheets – June 30, 2015 and December 31, 2014, (iv) the Condensed Consolidated Statements of Changes in Equity - Six Months Ended June 30, 2015 and 2014, (v) the Condensed Consolidated Statements of Cash Flows - Six Months Ended June 30, 2015 and 2014 and (vi) the Notes to Condensed Consolidated Financial Statements.

EX-10.2

Exhibit 10.2

APTARGROUP, INC.
2015 RESTRICTED STOCK UNIT AWARD AGREEMENT
FOR DIRECTORS

AptarGroup, Inc., a Delaware corporation (the “Company”), hereby grants [FIRSTNAME] [LASTNAME] (the “Director”) as of (the “Grant Date”), pursuant to the provisions of the AptarGroup, Inc. 2015 Director Restricted Stock Unit Plan (the “Plan”), a restricted stock unit award (the “Award”) of [INSERT NUMBER OF UNITS] restricted stock units, upon and subject to the restrictions, terms and conditions set forth in this 2015 Restricted Stock Unit Award Agreement (this “Agreement”).  Capitalized terms not defined herein shall have the meanings specified in the Plan.

1.         Award Subject to Acceptance of Agreement.  The Award shall be null and void unless the Director shall accept this Agreement by executing it in the space provided below and returning it to the Company.

2.         Restriction Period and Vesting.

(a)        Subject to Sections 2(b), (c) and (d), the Award shall vest in its entirety on the day immediately preceding the date of the Company’s 2016 annual meeting of stockholders (the “Vesting Date”), provided that the Director continues service as a director of the Company until the Vesting Date (the period until the Award vests, and during which restrictions apply, the “Restriction Period”).

(b)        If the Director ceases to be a director of the Company prior to the Vesting Date by reason of permanent disability or death, the Award shall become fully vested as of the date of the Director’s permanent disability or death, as the case may be.  For purposes of this Agreement, “permanent disability” shall mean the inability of the Director to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than twelve (12) months, as determined by the Committee.

(c)        If the Director ceases to be a director of the Company prior to the Vesting Date for any reason other than permanent disability or death, the Award shall be forfeited and cancelled by the Company.

(d)       (1)        In the event of a Change in Control (as defined in Appendix A), the Award shall immediately vest in full.

(2)        In the event of a Change in Control pursuant to paragraph (3) or (4) of Appendix A, the Board of Directors (as constituted prior to such Change in Control) may, in its discretion (subject to existing contractual arrangements):

(i)         require that shares of stock of the corporation resulting from such Change in Control, or a parent corporation thereof, be substituted for some or all of the Shares (as defined in Section 3) issuable pursuant to the Award, as determined by the Board of Directors; and/or

(ii)        require the Award, in whole or in part, to be surrendered to the Company by the Director and to be immediately cancelled by the Company, and provide for the Director to receive a cash payment in an amount not less than the amount determined by multiplying the number of restricted stock units subject to the Award immediately prior to such cancellation (but after giving effect to any adjustment pursuant to Section 6(b) of the Plan in respect of any transaction that gives rise to such Change in Control), by the highest per share price offered to holders of Common Stock in any transaction whereby the Change in Control takes place.

(3)       The Company may, but is not required to, cooperate with the Director to assure that any substitution or cash payment to the Director in accordance with the foregoing is made in compliance with Section 16 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) and the rules and regulations thereunder.

3.         Conversion of Restricted Stock Units and Issuance of Shares.  Upon the vesting of the Award in accordance with Section 2 hereof, one share of Common Stock shall be issuable for each restricted stock unit that vests on such date (the “Shares”), subject to the terms and provisions of the Plan and this Agreement.  Thereafter, the Company will transfer such Shares to the Director in accordance with the provisions hereof.  No fractional shares shall be issued under this Agreement.

4.         Termination of Award.  In the event that the Director shall forfeit the restricted stock units subject to the Award, the Director shall promptly return this Agreement to the Company for cancellation.  Such cancellation shall be effective regardless of whether the Director returns this Agreement.

5.         Additional Terms and Conditions of Award.

(a)        Nontransferability of Award.  During the Restriction Period, the restricted stock units subject to the Award may not be transferred by the Director other than by will, the laws of descent and distribution or pursuant to the beneficiary designation form attached hereto as Appendix B or in such other form approved by the Company from time to time.  Except as permitted by the foregoing, during the Restriction Period, the restricted stock units subject to the Award may not be sold, transferred, assigned, pledged, hypothecated, encumbered or otherwise disposed of (whether by operation of law or otherwise) or be subject to execution, attachment or similar process.  Upon any such attempted sale, transfer, assignment, pledge, hypothecation, encumbrance or other disposition, the Award and all rights hereunder shall be null and void.

(b)        Compliance with Applicable Law.  The Award is subject to the condition that if the listing, registration or qualification of the Shares subject to the Award upon any securities exchange or under any law, or the consent or approval of any governmental body, or the taking of any other action is necessary or desirable as a condition of, or in connection with, the vesting of the restricted stock units or the delivery of the Shares hereunder, the Shares subject to the Award may not be delivered unless such listing, registration, qualification, consent, approval or other action shall have been effected or obtained, free of any conditions not acceptable to the

2

Company.  The Company agrees to use reasonable efforts to effect or obtain any such listing, registration, qualification, consent, approval or other action.

(c)        Delivery of Certificates.  Subject to Section 5(b) hereof, as soon as practicable after the vesting of the Award, the Company shall deliver or cause to be delivered one or more certificates issued in the Director’s name (or such other name as is acceptable to the Company and designated in writing by the Director) representing the vested Shares.  The Company shall pay all original issue or transfer taxes and all fees and expenses incident to such delivery.

(d)       Rights as a Stockholder.  Prior to the settlement of the Award, the Director shall have no rights as a stockholder of the Company with respect to the shares of Common Stock underlying the restricted stock units subject to the Award.  During the Restriction Period, the Director shall not be entitled to voting rights, or rights with respect to dividends or dividend equivalents, with respect to the restricted stock units subject to the Award.

(e)        Award Confers No Rights to Continue to Serve as a Director.  In no event shall the granting of the Award or its acceptance by the Director give or be deemed to give the Director any right to continue to serve, to be elected or reelected to serve or to be nominated to serve as a director of the Company.

(f)        Decisions of Board or Committee.  The Board of Directors of the Company or the Committee shall have the right to resolve all questions which may arise in connection with the Award.  Any interpretation, determination or other action made or taken by the Board of Directors or the Committee regarding the Plan or this Agreement shall be final, binding and conclusive.

(g)        Company to Reserve Shares.  The Company shall at all times prior to the cancellation of the Award reserve and keep available, either in its treasury or out of its authorized but unissued shares of Common Stock, shares of Common Stock equal to the full number of unvested restricted stock units subject to the Award from time to time.

(h)        Agreement Subject to the Plan.  This Agreement is subject to the provisions of the Plan (including the adjustment provision set forth in Section 6(b) thereof), and shall be interpreted in accordance therewith.  The Director hereby acknowledges receipt of a copy of the Plan.

(i)         Section 409A.  This Award is intended to be exempt from Section 409A of the Code as a short-term deferral, pursuant to Treasury regulation Section 1.409A-1(b)(4), to the maximum extent possible, and this Agreement shall be interpreted and construed consistent with that intent and in a manner that avoids the imposition of taxes and other penalties under Section 409A of the Code.  The Company reserves the right to amend this Agreement to the extent it determines in its sole discretion such amendment is necessary or appropriate to comply with applicable law, including but not limited to Section 409A of the Code.  Notwithstanding the foregoing, under no circumstances shall the Company be responsible for any taxes, penalties, interest or other losses or expenses incurred by the Director due to any failure to comply with Section 409A of the Code.

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6.         Miscellaneous Provisions.

(a)        Meaning of Certain Terms.  As used herein, the term “vest” shall mean no longer subject to forfeiture.

(b)        Successors.  This Agreement shall be binding upon and inure to the benefit of any successor or successors of the Company and any person or persons who shall, upon the death of the Director, acquire any rights hereunder in accordance with this Agreement or the Plan.

(c)        Notices.  All notices, requests or other communications provided for in this Agreement shall be made in writing by (1) actual delivery to the party entitled thereto, (2) mailing to the last known address of the party entitled thereto, via certified or registered mail, return receipt requested or (3) telecopy with confirmation of receipt.  The notice, request or other communication shall be deemed to be received, in the case of actual delivery, on the date of its actual receipt by the party entitled thereto, in the case of mailing, on the tenth calendar day following the date of such mailing, and in the case of telecopy, on the date of confirmation of receipt; provided, however, that if a notice, request or other communication is not received during regular business hours, it shall be deemed to be received on the next succeeding business day of the Company.

(d)       Governing Law.  This Agreement and all determinations made and actions taken pursuant hereto, to the extent not otherwise governed by the laws of the United States, shall be governed by the laws of the State of Delaware and construed in accordance therewith without giving effect to conflicts of laws principles.

(e)        Reports Filed with the Securities and Exchange Commission.  The Company files periodic and current reports and proxy statements with the Securities and Exchange Commission (“SEC”). These documents are available, free of charge, on the website of the SEC (www.sec.gov) and on the Company’s website (www.aptargroup.com, under Investor Relations/ “Annual Report & Proxy” and “SEC Filings”), as soon as reasonably practicable after the material is filed with, or furnished to, the SEC.  Any of these documents are available to the Director in paper format, without charge, upon written or oral request to the Company’s Investor Relations Department located at 475 West Terra Cotta Avenue, Suite E, Crystal Lake, Illinois, 60014, U.S.A., phone number 1-815-477-0424.

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(f)        Counterparts.  This Agreement may be executed in two counterparts each of which shall be deemed an original and both of which together shall constitute one and the same instrument.

	APTARGROUP, INC.
	By:	Stephen J. Hagge
	Title:	President and Chief Executive Officer
Accepted this                 day of
, 20
Director

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Appendix A

to AptarGroup, Inc.

Restricted Stock Unit Award

Agreement for Directors

For purposes of this Agreement, “Change in Control” shall mean:

(1)        the acquisition by any individual, entity or group (a “Person”), including any “person” within the meaning of Section 13(d)(3) or 14(d)(2) of the Exchange Act, of beneficial ownership within the meaning of Rule 13d-3 promulgated under the Exchange Act, of more than 50% of either (i) the then outstanding shares of common stock of the Company (the “Outstanding Company Common Stock”) or (ii) the combined voting power of the then outstanding securities of the Company entitled to vote generally in the election of directors (the “Outstanding Company Voting Securities”); provided, however, that the following acquisitions shall not constitute a Change in Control: (A) any acquisition directly from the Company (excluding any acquisition resulting from the exercise of a conversion or exchange privilege in respect of outstanding convertible or exchangeable securities unless such outstanding convertible or exchangeable securities were acquired directly from the Company), (B) any acquisition by the Company, (C) any acquisition by an employee benefit plan (or related trust) sponsored or maintained by the Company or any corporation controlled by the Company or (D) any acquisition by any corporation pursuant to a reorganization, merger or consolidation involving the Company, if, immediately after such reorganization, merger or consolidation, each of the conditions described in clauses (i), (ii) and (iii) of subsection (3) of this Appendix A shall be satisfied; and provided further that, for purposes of clause (B), if any Person (other than the Company or any employee benefit plan (or related trust) sponsored or maintained by the Company or any corporation controlled by the Company) shall become the beneficial owner of more than 50% of the Outstanding Company Common Stock or more than 50% of the Outstanding Company Voting Securities by reason of an acquisition by the Company and such Person shall, after such acquisition by the Company, become the beneficial owner of any additional shares of the Outstanding Company Common Stock or any additional Outstanding Company Voting Securities and such beneficial ownership is publicly announced, such additional beneficial ownership shall constitute a Change in Control;

(2)        individuals who, as of the date hereof, constitute the Board (the “Incumbent Board”) cease for any reason to constitute at least a majority of such Board; provided, however, that any individual who becomes a director of the Company subsequent to the date hereof whose election, or nomination for election by the Company’s stockholders, was approved by the vote of at least a majority of the directors then comprising the Incumbent Board shall be deemed to have been a member of the Incumbent Board; and provided further that no individual who was initially elected as a director of the Company as a result of an actual or threatened solicitation by a Person other than the Board for the purpose of opposing a solicitation by any other Person with respect to the election or removal of directors or any other actual or threatened solicitation of proxies or consents by or on behalf of any Person other than the Board shall be deemed to have been a member of the Incumbent Board;

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(3)        consummation of a reorganization, merger or consolidation unless, in any such case, immediately after such reorganization, merger or consolidation, (i) 50% or more of the then outstanding shares of common stock of the corporation resulting from such reorganization, merger or consolidation and 50% or more of the combined voting power of the then outstanding securities of such corporation entitled to vote generally in the election of directors is then beneficially owned, directly or indirectly, by all or substantially all of the individuals or entities who were the beneficial owners, respectively, of the Outstanding Company Common Stock and the Outstanding Company Voting Securities immediately prior to such reorganization, merger or consolidation and in substantially the same proportions relative to each other as their ownership, immediately prior to such reorganization, merger or consolidation, of the Outstanding Company Common Stock and the Outstanding Company Voting Securities, as the case may be, (ii) no Person (other than the Company, any employee benefit plan (or related trust) sponsored or maintained by the Company or the corporation resulting from such reorganization, merger or consolidation (or any corporation controlled by the Company) and any Person which beneficially owned, immediately prior to such reorganization, merger or consolidation, directly or indirectly, more than 50% of the Outstanding Company Common Stock or the Outstanding Company Voting Securities, as the case may be) beneficially owns, directly or indirectly, more than 50% of the then outstanding shares of common stock of such corporation or more than 50% of the combined voting power of the then outstanding securities of such corporation entitled to vote generally in the election of directors and (iii) at least a majority of the members of the board of directors of the corporation resulting from such reorganization, merger or consolidation were members of the Incumbent Board at the time of the execution of the initial agreement or action of the Board providing for such reorganization, merger or consolidation; or

(4)        consummation of (i) a plan of complete liquidation or dissolution of the Company or (ii) the sale or other disposition of all or substantially all of the assets of the Company other than to a corporation with respect to which, immediately after such sale or other disposition, (A) 50% or more of the then outstanding shares of common stock thereof and 50% or more of the combined voting power of the then outstanding securities thereof entitled to vote generally in the election of directors is then beneficially owned, directly or indirectly, by all or substantially all of the individuals and entities who were the beneficial owners, respectively, of the Outstanding Company Common Stock and the Outstanding Company Voting Securities immediately prior to such sale or other disposition and in substantially the same proportions relative to each other as their ownership, immediately prior to such sale or other disposition, of the Outstanding Company Common Stock and the Outstanding Company Voting Securities, as the case may be, (B) no Person (other than the Company, any employee benefit plan (or related trust) sponsored or maintained by the Company or such corporation (or any corporation controlled by the Company) and any Person which beneficially owned, immediately prior to such sale or other disposition, directly or indirectly, more than 50% of the Outstanding Company Common Stock or the Outstanding Company Voting Securities, as the case may be) beneficially owns, directly or indirectly, more than 50% of the then outstanding shares of common stock thereof or more than 50% of the combined voting power of the then outstanding securities thereof entitled to vote generally in the election of directors and (C) at least a majority of the members of the board of directors thereof were members of the Incumbent Board at the time of the execution of the initial agreement or action of the Board providing for such sale or other disposition.

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Appendix B

to AptarGroup, Inc.

Restricted Stock Unit Award

Agreement for Directors

APTARGROUP, INC.

2015 Director Restricted Stock Unit Plan

2015 Restricted Stock Unit Award Agreement

BENEFICIARY DESIGNATION FORM

You may designate a primary beneficiary and a secondary beneficiary with respect to your 2015 Restricted Stock Unit Award Agreement.  You can name more than one person as a primary or secondary beneficiary.  For example, you may wish to name your spouse as primary beneficiary and your children as secondary beneficiaries.  Your secondary beneficiary(ies) will receive nothing if any of your primary beneficiaries survive you.  All primary beneficiaries will share equally unless you indicate otherwise.  The same rule applies for secondary beneficiaries.

Designate Your Beneficiary(ies):

Primary
Beneficiary(ies):

Secondary
Beneficiary(ies):

I certify that my designation of beneficiary set forth above is my free act and deed.

Name of Director	Director’s Signature
(Please Print)
	Date

8

EX-31.1

Exhibit 31.1

CERTIFICATION

I, Stephen J. Hagge, certify that:

1.I have reviewed this quarterly report on Form 10-Q of AptarGroup, Inc.;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this quarterly report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a--15(e) and 15d--15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a--15(f) and 15d--15(f)) for the registrant and we have:

a)designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b)designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d)disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors:

a)all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:	July 31, 2015
By:	/s/ STEPHEN J. HAGGE
	Stephen J. Hagge
	President and Chief Executive Officer

EX-31.2

Exhibit 31.2

CERTIFICATION

I, Robert W. Kuhn, certify that:

1.I have reviewed this quarterly report on Form 10-Q of AptarGroup, Inc.;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this quarterly report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a--15(e) and 15d--15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a--15(f) and 15d--15(f)) for the registrant and we have:

a)designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b)designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d)disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors:

a)all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:	July 31, 2015
By:	/s/ ROBERT W. KUHN
	Robert W. Kuhn
	Executive Vice President,
	Chief Financial Officer and Secretary

EX-32.1

Exhibit 32.1

CERTIFICATE PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

I, Stephen J. Hagge, president and chief executive officer of AptarGroup, Inc., certify that (i) the Quarterly Report on Form 10-Q of AptarGroup, Inc. for the quarter ended June 30, 2015 (the “Form 10-Q”) fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934 and (ii) the information contained in the Form 10-Q fairly presents, in all material respects, the financial condition and results of operations of AptarGroup, Inc.

/s/ STEPHEN J. HAGGE

Stephen J. Hagge

President and Chief Executive Officer

July 31, 2015

EX-32.2

Exhibit 32.2

Certificate Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to

Section 906 of the Sarbanes-Oxley Act of 2002

I, Robert W. Kuhn, executive vice president and chief financial officer of AptarGroup, Inc., certify that (i) the Quarterly Report on Form 10-Q of AptarGroup, Inc. for the quarter ended June 30, 2015 (the “Form 10-Q”) fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934 and (ii) the information contained in the Form 10-Q fairly presents, in all material respects, the financial condition and results of operations of AptarGroup, Inc.

By:	/s/ ROBERT W. KUHN
	Robert W. Kuhn
	Executive Vice President,
	Chief Financial Officer and Secretary
	July 31, 2015

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LONG-TERM OBLIGATIONS (Details) $ in Thousands	1 Months Ended		6 Months Ended
	Feb. 28, 2015 USD ($)	Dec. 31, 2014 USD ($) item	Jun. 30, 2015 USD ($)
Debt
Proceeds from private placement		$ 475,000
Long-term obligations including current maturities		607,584	$ 831,129
Current maturities of long-term obligations		(18,692)	(18,122)
Long-term obligations		588,892	813,007
Aggregate long-term maturities, excluding capital lease obligations
2015			17,769
2016			50,391
2017			392
2018			75,342
2019			189
Thereafter			685,161
Notes payable
Debt
Proceeds from debt	$ 225,000	$ 250,000
Number of maturity tranches in funding of private placement | item		2
Notes payable 0.61% - 27.26%, due in monthly and annual installments through 2027
Debt
Long-term obligations including current maturities		$ 5,160	$ 4,244
Interest rate on notes payable, low end of range (as a percent)			0.61%
Interest rate on notes payable, high end of range (as a percent)			27.26%
Senior unsecured notes 2.3%, due in 2015
Debt
Long-term obligations including current maturities		16,000	$ 16,000
Interest rate on senior unsecured notes (as a percent)			2.30%
Senior unsecured notes 6.0%, due in 2016
Debt
Long-term obligations including current maturities		50,000	$ 50,000
Interest rate on senior unsecured notes (as a percent)			6.00%
Senior unsecured notes 6.0%, due in 2018
Debt
Long-term obligations including current maturities		75,000	$ 75,000
Interest rate on senior unsecured notes (as a percent)			6.00%
Senior unsecured notes 3.8%, due in 2020
Debt
Long-term obligations including current maturities		84,000	$ 84,000
Interest rate on senior unsecured notes (as a percent)			3.80%
Senior unsecured notes 3.2%, due in 2022
Debt
Long-term obligations including current maturities		75,000	$ 75,000
Interest rate on senior unsecured notes (as a percent)			3.20%
Senior unsecured notes 3.5%, due in 2023
Debt
Term of debt			9 years
Long-term obligations including current maturities		125,000	$ 125,000
Interest rate on senior unsecured notes (as a percent)			3.49%
Senior unsecured notes 3.4%, due in 2024
Debt
Long-term obligations including current maturities		50,000	$ 50,000
Interest rate on senior unsecured notes (as a percent)			3.40%
Senior unsecured notes 3.5%, due in 2024
Debt
Term of debt			9 years
Long-term obligations including current maturities			$ 100,000
Interest rate on senior unsecured notes (as a percent)			3.49%
Senior unsecured notes 3.6%, due in 2025
Debt
Term of debt			11 years
Long-term obligations including current maturities		125,000	$ 125,000
Interest rate on senior unsecured notes (as a percent)			3.61%
Senior unsecured notes 3.6%, due in 2026
Debt
Term of debt			11 years
Long-term obligations including current maturities			$ 125,000
Interest rate on senior unsecured notes (as a percent)			3.61%
Capital lease obligations
Debt
Long-term obligations including current maturities		$ 2,424	$ 1,885

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STOCK REPURCHASE PROGRAM (Details) - USD ($) shares in Thousands, $ in Thousands		3 Months Ended	6 Months Ended
	Dec. 17, 2014	Jun. 30, 2014	Jun. 30, 2014	Dec. 16, 2014	Oct. 30, 2014
Stock repurchase program
Share repurchases authorized amount					$ 350,000
Aggregate amount of share repurchases (in dollars)		$ 39,900	$ 52,884
Number of shares repurchased		600	800
ASR Program
Stock repurchase program
Share repurchases authorized amount				$ 250,000
Aggregate amount of share repurchases (in dollars)	$ 250,000
Number of shares repurchased	3,100
Percentage of the total number of shares expected to be purchased in the ASR	80.00%

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FAIR VALUE (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Liabilities
Fair value of long-term obligations	$ 827,000	$ 606,000
Assets and liabilities measured at fair value on recurring basis | Total
Assets
Forward exchange contracts, assets	1,379	1,044
Total assets at fair value	1,379	1,044
Liabilities
Forward exchange contracts, liabilities	1,826	2,493
Total liabilities at fair value	1,826	2,493
Assets and liabilities measured at fair value on recurring basis | Level 2
Assets
Forward exchange contracts, assets	1,379	1,044
Total assets at fair value	1,379	1,044
Liabilities
Forward exchange contracts, liabilities	1,826	2,493
Total liabilities at fair value	$ 1,826	$ 2,493

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SEGMENT INFORMATION (Tables)

6 Months Ended

Jun. 30, 2015

SEGMENT INFORMATION

Financial information regarding the Company's reportable segments

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Total Revenue:
Beauty + Home	$	324,742		$	391,215		$	659,536		$	789,755
Pharma	183,300			195,690			361,969			390,039
Food + Beverage	92,122			90,192			174,042			180,818
Total Revenue	600,164			677,097			1,195,547			1,360,612
Less: Intersegment Sales:
Beauty + Home	$	5,617		$	5,989		$	10,997		$	13,293
Pharma	--			--			--			--
Food + Beverage	272			477			464			637
Total Intersegment Sales	$	5,889		$	6,466		$	11,461		$	13,930
Net Sales:
Beauty + Home	$	319,124		$	385,226		$	648,539		$	776,462
Pharma	183,300			195,690			361,969			390,039
Food + Beverage	91,851			89,715			173,578			180,181
Net Sales	$	594,275		$	670,631		$	1,184,086		$	1,346,682
Segment Income (1):
Beauty + Home	$	27,193		$	27,198		$	50,569		$	54,979
Pharma	55,462			52,793			107,463			105,275
Food + Beverage	14,991			12,416			24,041			21,496
Corporate & Other	(3,801		)	(8,502		)	(14,961		)	(20,300		)
Income before interest and taxes	$	93,845		$	83,905		$	167,112		$	161,450
Interest expense, net	(8,090		)	(4,199		)	(13,662		)	(8,064		)
Income before income taxes	$	85,755		$	79,706		$	153,450		$	153,386

(1)The Company evaluates performance of our business units and allocates resources based upon segment income. Segment income is defined as earnings before net interest expense, certain corporate expenses and income taxes.

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GOODWILL AND OTHER INTANGIBLE ASSETS (Tables)

6 Months Ended

Jun. 30, 2015

GOODWILL AND OTHER INTANGIBLE ASSETS

Schedule of changes in the carrying amount of goodwill

		Beauty +						Food +			Corporate
		Home			Pharma			Beverage			& Other			Total
Balance as of December 31, 2014
	Goodwill	$	171,149		$	141,592		$	17,000		$	1,615		$	331,356
	Accumulated impairment losses	--			--			--			(1,615		)	(1,615		)
		$	171,149		$	141,592		$	17,000		$	--		$	329,741
Foreign currency exchange effects		(3,947		)	(8,799		)	(515		)	--			(13,261		)
Balance as of June 30, 2015
	Goodwill	$	167,202		$	132,793		$	16,485		$	1,615		$	318,095
	Accumulated impairment losses	--			--			--			(1,615		)	(1,615		)
		$	167,202		$	132,793		$	16,485		$	--		$	316,480

Summary of amortized intangible assets

		June 30, 2015							December 31, 2014
Weighted Average		Gross							Gross
Amortization		Carrying		Accumulated			Net		Carrying		Accumulated			Net
Period (Years)		Amount		Amortization			Value		Amount		Amortization			Value
Amortized intangible assets:
Patents	7	$	15,743	$	(15,711	)	$	32	$	17,001	$	(16,852	)	$		149
Acquired Technology	15	32,891		(7,675		)	25,216		35,701		(5,950		)	29,751
License agreements and other	5	31,056		(20,214		)	10,842		32,804		(22,659		)	10,145
Total intangible assets	9	$	79,690	$	(43,600	)	$	36,090	$	85,506	$	(45,461	)	$	40,045

Schedule of future estimated amortization expense

Future estimated amortization expense for the years ending December 31 is as follows:

2015	$	2,055	(remaining estimated amortization for 2015)
2016	3,743
2017	3,317
2018	3,317
2019 and thereafter	23,658

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EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
EARNINGS PER SHARE
Authorized common stock (in shares)	199,000		199,000		199,000
Common stock, par value (in dollars per share)	$ 0.01		$ 0.01		$ 0.01
Diluted
Income available to common stockholders (in dollars)	$ 57,539	$ 53,076	$ 102,710	$ 101,465
Shares of common stock	62,697	65,328	62,496	65,397
Total average equivalent shares	64,276	67,438	64,603	68,042
Net income per share, diluted (in dollars per share)	$ 0.90	$ 0.79	$ 1.59	$ 1.49
Basic
Income available to common stockholders (in dollars)	$ 57,539	$ 53,076	$ 102,710	$ 101,465
Shares of common stock	62,697	65,328	62,496	65,397
Net income per share, basic (in dollars per share)	$ 0.92	$ 0.81	$ 1.64	$ 1.55
Stock options
Diluted
Effect of dilutive stock based compensation (in shares)	1,550	2,103	2,075	2,616
Restricted stock units
Diluted
Effect of dilutive stock based compensation (in shares)	29	7	32	29

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ACCUMULATED OTHER COMPREHENSIVE INCOME (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Amount Reclassified from Accumulated Other Comprehensive Income
Interest expense	$ 9,195	$ 5,246	$ 16,498	$ 10,127
Miscellaneous, net	1,268	525	1,467	153
Total before tax	(85,755)	(79,706)	(153,450)	(153,386)
Tax benefit	28,214	26,622	50,810	51,894
Total reclassifications for the period	(57,539)	(53,076)	(102,710)	(101,465)
Amount Reclassified from Accumulated Other Comprehensive Income
Amount Reclassified from Accumulated Other Comprehensive Income
Total reclassifications for the period	1,180	723	2,355	1,107
Defined Benefit Pension Plans | Amount Reclassified from Accumulated Other Comprehensive Income
Amount Reclassified from Accumulated Other Comprehensive Income
Amortization of net loss	1,769	1,030	3,545	2,060
Amortization of prior service cost	64	80	129	161
Total before tax	1,833	1,110	3,674	2,221
Tax benefit	(660)	(393)	(1,332)	(786)
Total reclassifications for the period	1,173	717	2,342	1,435
Foreign Currency | Amount Reclassified from Accumulated Other Comprehensive Income
Amount Reclassified from Accumulated Other Comprehensive Income
Miscellaneous, net				(340)
Total before tax				(340)
Total reclassifications for the period				(340)
Other | Treasury locks | Amount Reclassified from Accumulated Other Comprehensive Income
Amount Reclassified from Accumulated Other Comprehensive Income
Interest expense	9	10	19	19
Total before tax	9	10	19	19
Tax benefit	(2)	(4)	(6)	(7)
Total reclassifications for the period	$ 7	$ 6	$ 13	$ 12

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GOODWILL AND OTHER INTANGIBLE ASSETS (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Amortized intangible assets:
Gross Carrying Amount	$ 79,690		$ 79,690		$ 85,506
Accumulated Amortization	(43,600)		(43,600)		(45,461)
Net Value	36,090		36,090		40,045
Aggregate amortization expense	1,085	$ 1,369	2,166	$ 2,767
Future estimated amortization expense
2015	2,055		2,055
2016	3,743		3,743
2017	3,317		3,317
2018	3,317		3,317
2019 and thereafter	23,658		$ 23,658
Weighted Average
Amortized intangible assets:
Amortization Period			9 years
Patents
Amortized intangible assets:
Gross Carrying Amount	15,743		$ 15,743		17,001
Accumulated Amortization	(15,711)		(15,711)		(16,852)
Net Value	32		$ 32		149
Patents | Weighted Average
Amortized intangible assets:
Amortization Period			7 years
Acquired technology
Amortized intangible assets:
Gross Carrying Amount	32,891		$ 32,891		35,701
Accumulated Amortization	(7,675)		(7,675)		(5,950)
Net Value	25,216		$ 25,216		29,751
Acquired technology | Weighted Average
Amortized intangible assets:
Amortization Period			15 years
License agreements and other
Amortized intangible assets:
Gross Carrying Amount	31,056		$ 31,056		32,804
Accumulated Amortization	(20,214)		(20,214)		(22,659)
Net Value	$ 10,842		$ 10,842		$ 10,145
License agreements and other | Weighted Average
Amortized intangible assets:
Amortization Period			5 years

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INSURANCE SETTLEMENT RECEIVABLE (Details) $ in Millions	Jun. 30, 2015 USD ($)
INSURANCE SETTLEMENT RECEIVABLE
Insurance receivable	$ 4.3

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COMMITMENTS AND CONTINGENCIES (Details)	Jun. 30, 2015 USD ($)
Indemnification agreements
Commitments and contingencies
Liabilities recorded under indemnification agreements	$ 0

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INVENTORIES

6 Months Ended

Jun. 30, 2015

INVENTORIES

INVENTORIES

NOTE 2 - INVENTORIES

At December 31, 2014, approximately 19% of the total inventories were accounted for by the LIFO method.  Inventories, by component, consisted of:

	June 30,		December 31,
	2015		2014
Raw materials	$	100,872	$	108,618
Work in process	97,426		94,414
Finished goods	116,880		115,809
Total	315,178		318,841
Less LIFO reserve	--		(7,769		)
Total	$	315,178	$	311,072

As discussed in Note 1 above, the Company changed its inventory valuation method for certain operating entities in its North American business to the first-in first-out (FIFO) method from the last-in first-out (LIFO) method during the current quarter. Had this change not been implemented, the Company would have reported a LIFO reserve for the current quarter ended June 30, 2015 of $6,879 as compared to $7,427 for the quarter ended March 31, 2015 and $7,769 for the fiscal year ended December 31, 2014.

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DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES
Aggregate amount of forward exchange contracts outstanding	$ 138,100
Fair Value of Derivative Instruments
Derivative Assets	1,379	$ 1,044
Derivative Liabilities	1,826	2,493
Derivative Contracts Not Designated as Hedging Instruments
Fair Value of Derivative Instruments
Derivative Assets	1,379	1,044
Derivative Liabilities	1,826	2,493
Derivative Contracts Not Designated as Hedging Instruments | Foreign Exchange Contracts | Prepaid and other
Fair Value of Derivative Instruments
Derivative Assets	1,379	1,037
Derivative Contracts Not Designated as Hedging Instruments | Foreign Exchange Contracts | Miscellaneous Other Assets
Fair Value of Derivative Instruments
Derivative Assets		7
Derivative Contracts Not Designated as Hedging Instruments | Foreign Exchange Contracts | Accounts payable and accrued liabilities
Fair Value of Derivative Instruments
Derivative Liabilities	1,736	2,378
Derivative Contracts Not Designated as Hedging Instruments | Foreign Exchange Contracts | Deferred and other non-current liabilities
Fair Value of Derivative Instruments
Derivative Liabilities	$ 90	$ 115

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DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Tables)

6 Months Ended

Jun. 30, 2015

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES

Schedule of Fair Value of Derivative Instruments in the Condensed Consolidated Balance Sheets

Fair Value of Derivative Instruments in the Condensed Consolidated Balance Sheets as of June 30, 2015

and December 31, 2014

Derivative Contracts Not Designated as Hedging Instruments	Balance Sheet Location	June 30, 2015		December 31, 2014
Derivative Assets
Foreign Exchange Contracts	Prepaid and other	$	1,379	$	1,037
Foreign Exchange Contracts	Miscellaneous Other Assets	--		7
		$	1,379	$	1,044
Derivative Liabilities
Foreign Exchange Contracts	Accounts payable and accrued liabilities	$	1,736	$	2,378
Foreign Exchange Contracts	Deferred and other non-current liabilities	90		115
		$	1,826	$	2,493

Schedule of Effect of Derivative Instruments on the Condensed Consolidated Statements of Income

The Effect of Derivative Instruments on the Condensed Consolidated Statements of Income

for the Quarters Ended June 30, 2015 and June 30, 2014

Derivatives Not Designated as Hedging Instruments	Location of Gain or (Loss) Recognized in Income on Derivative	Amount of Gain or (Loss) Recognized in Income on Derivative
		2015			2014
Foreign Exchange Contracts	Other Income (Expense) Miscellaneous, net	$	(3,301	)	$	(1,335	)
		$	(3,301	)	$	(1,335	)

The Effect of Derivative Instruments on the Condensed Consolidated Statements of Income

for the Six Months Ended June 30, 2015 and June 30, 2014

Derivatives Not Designated as Hedging Instruments	Location of Gain or (Loss) Recognized in Income on Derivative	Amount of Gain or (Loss) Recognized in Income on Derivative
		2015			2014
Foreign Exchange Contracts	Other Income (Expense) Miscellaneous, net	$	(48	)	$	(1,494	)
		$	(48	)	$	(1,494	)

Schedule of offsetting derivative assets and liabilities

				Net Amounts		Gross Amounts not Offset in the
			Gross Amounts	Presented in		Statement of Financial Position
	Gross		Offset in the	the Statement of		Financial	Cash Collateral	Net
	Amount		Financial Position	Financial Position		Instruments	Received	Amount
Description
June 30, 2015
Derivative Assets	$	1,379	--	$	1,379	--	--	$	1,379
Total Assets	$	1,379	--	$	1,379	--	--	$	1,379
Derivative Liabilities	$	1,826	--	$	1,826	--	--	$	1,826
Total Liabilities	$	1,826	--	$	1,826	--	--	$	1,826
December 31, 2014
Derivative Assets	$	1,044	--	$	1,044	--	--	$	1,044
Total Assets	$	1,044	--	$	1,044	--	--	$	1,044
Derivative Liabilities	$	2,493	--	$	2,493	--	--	$	2,493
Total Liabilities	$	2,493	--	$	2,493	--	--	$	2,493

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ACCUMULATED OTHER COMPREHENSIVE INCOME (Tables)

6 Months Ended

Jun. 30, 2015

ACCUMULATED OTHER COMPREHENSIVE INCOME

Changes in Accumulated Other Comprehensive Income by Component

	Foreign Currency			Defined Benefit Pension Plans			Other			Total
Balance – December 31, 2013	$	149,965		$	(40,093	)	$	(121	)	$	109,751
Other comprehensive loss before reclassifications	(4,252		)	--			--			(4,252		)
Amounts reclassified from accumulated other comprehensive income	(340		)	1,435			12			1,107
Net current-period other comprehensive (loss) income	(4,592		)	1,435			12			(3,145		)
Balance - June 30, 2014	$	145,373		$	(38,658	)	$	(109	)	$	106,606
Balance – December 31, 2014	$	(42,851	)	$	(67,097	)	$	(97	)	$	(110,045	)
Other comprehensive loss before reclassifications	(94,147		)	--			--			(94,147		)
Amounts reclassified from accumulated other comprehensive income	--			2,342			13			2,355
Net current-period other comprehensive (loss) income	(94,147		)	2,342			13			(91,792		)
Balance - June 30, 2015	$	(136,998	)	$	(64,755	)	$	(84	)	$	(201,837	)

Reclassifications Out of Accumulated Other Comprehensive Income

Details about Accumulated Other	Amount Reclassified from Accumulated						Affected Line in the Statement
Comprehensive Income Components	Other Comprehensive Income						Where Net Income is Presented
Three months ended June 30,	2015			2014
Defined Benefit Pension Plans
Amortization of net loss	$	1,769		$	1,030		(a)
Amortization of prior service cost	64			80			(a)
	1,833			1,110			Total before tax
	(660		)	(393		)	Tax benefit
	$	1,173		$	717		Net of tax
Other
Changes in treasury locks	9			10			Interest Expense
	9			10			Total before tax
	(2		)	(4		)	Tax benefit
	$	7		$	6		Net of tax
Total reclassifications for the period	$	1,180		$	723

(a)These accumulated other comprehensive income components are included in the computation of net periodic benefit costs, net of tax (see Note 6 – Retirement and Deferred Compensation Plans for additional details).

Details about Accumulated Other	Amount Reclassified from Accumulated						Affected Line in the Statement
Comprehensive Income Components	Other Comprehensive Income						Where Net Income is Presented
Six months ended June 30,	2015			2014
Defined Benefit Pension Plans
Amortization of net loss	$	3,545		$	2,060		(b)
Amortization of prior service cost	129			161			(b)
	3,674			2,221			Total before tax
	(1,332		)	(786		)	Tax benefit
	$	2,342		$	1,435		Net of tax
Foreign Currency
Foreign Currency Gain	--			(340		)	Miscellaneous, net
	--			(340		)	Total before tax
	--			--			Tax benefit
	$	--		$	(340	)	Net of tax
Other
Changes in treasury locks	19			19			Interest Expense
	19			19			Total before tax
	(6		)	(7		)	Tax benefit
	$	13		$	12		Net of tax
Total reclassifications for the period	$	2,355		$	1,107

(b)These accumulated other comprehensive income components are included in the computation of net periodic benefit costs, net of tax (see Note 6 – Retirement and Deferred Compensation Plans for additional details).

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DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Derivative instruments, gain or (loss)
Foreign Exchange Contract, Amount of Gain (Loss) Recognized in Income on Derivative, not designated as hedging instruments	$ (3,301)	$ (1,335)	$ (48)	$ (1,494)
Foreign Exchange Contracts
Derivative instruments, gain or (loss)
Foreign Exchange Contract, Amount of Gain (Loss) Recognized in Income on Derivative, not designated as hedging instruments	$ (3,301)	$ (1,335)	$ (48)	$ (1,494)

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FAIR VALUE (Tables)

6 Months Ended

Jun. 30, 2015

FAIR VALUE

Schedule of fair values of financial assets and liabilities

As of June 30, 2015, the fair values of our financial assets and liabilities were categorized as follows:

	Total		Level 1		Level 2		Level 3
Assets
Forward exchange contracts (a)	$	1,379	$	--	$	1,379	$	--
Total assets at fair value	$	1,379	$	--	$	1,379	$	--
Liabilities
Forward exchange contracts (a)	$	1,826	$	--	$	1,826	$	--
Total liabilities at fair value	$	1,826	$	--	$	1,826	$	--

As of December 31, 2014, the fair values of our financial assets and liabilities were categorized as follows:

	Total		Level 1		Level 2		Level 3
Assets
Forward exchange contracts (a)	$	1,044	$	--	$	1,044	$	--
Total assets at fair value	$	1,044	$	--	$	1,044	$	--
Liabilities
Forward exchange contracts (a)	$	2,493	$	--	$	2,493	$	--
Total liabilities at fair value	$	2,493	$	--	$	2,493	$	--

(a)   Market approach valuation technique based on observable market transactions of spot and forward rates.

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STOCK-BASED COMPENSATION (Tables)

6 Months Ended

Jun. 30, 2015

STOCK-BASED COMPENSATION

Weighted-average assumptions used to estimate fair value of stock options granted

Stock Awards Plans:
Six months ended June 30,	2015		2014
Dividend Yield	1.7	%	1.7	%
Expected Stock Price Volatility	21.9	%	22.2	%
Risk-free Interest Rate	1.6	%	2.3	%
Expected Life of Option (years)	6.9		6.9

Director Stock Option Plans:
Six months ended June 30,	2014
Dividend Yield	1.8	%
Expected Stock Price Volatility	22.2	%
Risk-free Interest Rate	2.2	%
Expected Life of Option (years)	6.9

Summary of option activity

	Stock Awards Plans					Director Stock Option Plans
				Weighted Average					Weighted Average
	Shares			Exercise Price		Shares			Exercise Price
Outstanding, January 1, 2015	8,107,806			$	46.74	368,668			$	53.52
Granted	1,391,355			64.60		--			--
Exercised	(788,268		)	34.60		(62,001		)	40.67
Forfeited or expired	(20,653		)	60.34		--			--
Outstanding at June 30, 2015	8,690,240			$	50.67	306,667			$	56.11
Exercisable at June 30, 2015	5,925,974			$	44.64	224,325			$	53.41
Weighted-Average Remaining Contractual Term (Years):
Outstanding at June 30, 2015	6.4					7.4
Exercisable at June 30, 2015	5.2					6.9
Aggregate Intrinsic Value ($000):
Outstanding at June 30, 2015	$	120,651				$	2,616
Exercisable at June 30, 2015	$	115,264				$	2,432
Intrinsic Value of Options Exercised ($000) During the Six Months Ended:
June 30, 2015	$	23,592				$	1,449
June 30, 2014	$	18,050				$	741

Summary of restricted stock unit activity

						Director Restricted
	Stock Awards Plans					Stock Unit Plan
				Weighted Average				Weighted Average
	Shares		Grant-Date Fair Value			Shares	Grant-Date Fair Value
Nonvested at January 1, 2015	61,750			$	64.09	--		$	--
Granted	11,448			65.87		18,857		63.10
Vested	(11,083	)		57.13		--		--
Nonvested at June 30, 2015	62,115			$	65.65	18,857		$	63.10

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

6 Months Ended

Jun. 30, 2015

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BASIS OF PRESENTATION

The accompanying Unaudited Condensed Consolidated Financial Statements include the accounts of AptarGroup, Inc. and our subsidiaries.  The terms “AptarGroup” or “Company” as used herein refer to AptarGroup, Inc. and our subsidiaries.  All significant intercompany accounts and transactions have been eliminated.  Certain previously reported amounts have been reclassified to conform to the current period presentation.

In the opinion of management, the Unaudited Condensed Consolidated Financial Statements include all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of consolidated financial position, results of operations, comprehensive income, changes in equity and cash flows for the interim periods presented.  The accompanying Unaudited Condensed Consolidated Financial Statements have been prepared by the Company, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”).  Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted pursuant to such rules and regulations, although the Company believes that the disclosures made are adequate to make the information presented not misleading.  Also, certain financial position data included herein was derived from the Audited Consolidated Financial Statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 but does not include all disclosures required by GAAP.  Accordingly, these Unaudited Condensed Consolidated Financial Statements and related notes should be read in conjunction with the Audited Consolidated Financial Statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014.  The results of operations of any interim period are not necessarily indicative of the results that may be expected for the year.

CHANGE IN ACCOUNTING PRINCIPLE

During the quarter, the Company changed its inventory valuation method for certain operating entities in its North American business to the first-in first-out (FIFO) method from the last-in first-out (LIFO) method.  Prior to the change, the Company utilized two methods of inventory costing: LIFO for inventories in these operating entities and FIFO for inventories in other operating entities. The Company believes that the FIFO method is preferable as it better reflects the current value of inventory on the Company’s Condensed Consolidated Balance Sheet, provides better matching of revenues and expenses, results in uniformity across the Company’s global operations with respect to the method of inventory accounting and improves comparability with the Company’s peers. The cumulative pre-tax effect of this change is $7.4 million. We have determined that this change is not material to the Company’s previously issued financial statements and that the cumulative effect of the change is not material to current operations or to the trend of reported results of operations. Therefore, we conclude it was appropriate to recognize the cumulative effect of the change as an operating item in the current period’s Condensed Consolidated Statement of Income and not to adopt the change by retrospective application.

ADOPTION OF RECENT ACCOUNTING PRONOUNCEMENTS

Changes to GAAP are established by the Financial Accounting Standards Board (“FASB”) in the form of accounting standards updates to the FASB’s Accounting Standards Codification.  During the first six months of 2015, there have been no developments to the recently adopted accounting pronouncements from those disclosed in the Company’s 2014 Annual Report on Form 10-K that are considered to have a material impact on our Unaudited Condensed Consolidated Financial Statements.  Other accounting standards that have been issued by the FASB or other standards-setting bodies but are not yet effective are discussed in Management’s Discussion and Analysis of Financial Condition and Results of Operations.

SHORT TERM INVESTMENTS

Short term investments reflect funds invested in a time deposit instrument with a two-year maturity.  However, during the life of the investment the funds can be redeemed at any time with a 35-90 day notice.  There are no penalties for early redemption.  We do not consider this investment a marketable security as there is no active market for this type of product.

INCOME TAXES

The Company computes taxes on income in accordance with the tax rules and regulations of the many taxing authorities where income is earned.  The income tax rates imposed by these taxing authorities may vary substantially.  Taxable income may differ from pre-tax income for financial accounting purposes.  To the extent that these differences create differences between the tax basis of an asset or liability and our reported amount in the financial statements, an appropriate provision for deferred income taxes is made.

In our determination of which foreign earnings are permanently reinvested in foreign operations, the Company considers numerous factors, including the financial requirements of the U.S. parent company and those of our foreign subsidiaries, the U.S. funding needs for dividend payments and stock repurchases, and the tax consequences of remitting earnings to the U.S.  From this analysis, current year repatriation decisions are made in an attempt to provide a proper mix of debt and shareholder capital both within the U.S. and for non-U.S. operations.  The Company’s policy is to permanently reinvest our accumulated foreign earnings and the Company will only make a distribution out of current year earnings to meet the cash needs at the parent company.  As such, the Company does not provide for taxes on earnings that are deemed to be permanently reinvested.  Since no distribution to the U.S. of foreign earnings is expected in 2015, the effective tax rate for 2015 includes no tax cost of repatriation.

The Company provides a liability for the amount of tax benefits realized from uncertain tax positions.  This liability is provided whenever the Company determines that a tax benefit will not meet a more-likely-than-not threshold for recognition.  See Note 4 of the Unaudited Notes to the Condensed Consolidated Financial Statements for more information.

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EARNINGS PER SHARE (Tables)

6 Months Ended

Jun. 30, 2015

EARNINGS PER SHARE

Information related to the calculation of earnings per share

	Three months ended
	June 30, 2015				June 30, 2014
	Diluted		Basic		Diluted		Basic
Consolidated operations
Income available to common shareholders	$	57,539	$	57,539	$	53,076	$	53,076
Average equivalent shares
Shares of common stock	62,697		62,697		65,328		65,328
Effect of dilutive stock based compensation
Stock options	1,550		--		2,103		--
Restricted stock	29		--		7		--
Total average equivalent shares	64,276		62,697		67,438		65,328
Net income per share	$	0.90	$	0.92	$	0.79	$	0.81

	Six months ended
	June 30, 2015				June 30, 2014
	Diluted		Basic		Diluted		Basic
Consolidated operations
Income available to common shareholders	$	102,710	$	102,710	$	101,465	$	101,465
Average equivalent shares
Shares of common stock	62,496		62,496		65,397		65,397
Effect of dilutive stock based compensation
Stock options	2,075		--		2,616		--
Restricted stock	32		--		29		--
Total average equivalent shares	64,603		62,496		68,042		65,397
Net income per share	$	1.59	$	1.64	$	1.49	$	1.55

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RETIREMENT AND DEFERRED COMPENSATION PLANS (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Domestic Plans
Components of net periodic benefit cost:
Service cost	$ 2,504	$ 2,010	$ 5,008	$ 4,021
Interest cost	1,589	1,482	3,178	2,964
Expected return on plan assets	(1,897)	(1,646)	(3,795)	(3,292)
Amortization of net loss	1,351	717	2,702	1,434
Net periodic benefit cost	3,547	2,563	7,093	5,127
Minimum funding requirement			0
Expected contribution in current fiscal year			10,000
Employer contributions			0
Foreign Plans
Components of net periodic benefit cost:
Service cost	1,139	1,081	2,299	2,160
Interest cost	412	699	832	1,398
Expected return on plan assets	(447)	(510)	(902)	(1,020)
Amortization of net loss	418	313	843	626
Amortization of prior service cost	64	80	129	161
Net periodic benefit cost	$ 1,586	$ 1,663	3,201	$ 3,325
Expected contribution in current fiscal year			12,600
Employer contributions			$ 1,000

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CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
Net Sales	$ 594,275	$ 670,631	$ 1,184,086	$ 1,346,682
Operating Expenses:
Cost of sales (exclusive of depreciation and amortization shown below)	375,278	451,051	761,257	904,462
Selling, research & development and administrative	89,312	96,486	185,499	203,160
Depreciation and amortization	34,165	38,466	68,225	75,713
Total Operating Expenses	498,755	586,003	1,014,981	1,183,335
Operating Income	95,520	84,628	169,105	163,347
Other (Expense) Income:
Interest expense	(9,195)	(5,246)	(16,498)	(10,127)
Interest income	1,105	1,047	2,836	2,063
Equity results of affiliates	(407)	(198)	(526)	(1,744)
Miscellaneous, net	(1,268)	(525)	(1,467)	(153)
Total Other Income (Expense)	(9,765)	(4,922)	(15,655)	(9,961)
Income before Income Taxes	85,755	79,706	153,450	153,386
Provision for Income Taxes	28,214	26,622	50,810	51,894
Net Income	57,541	53,084	102,640	101,492
Net (Income) Loss Attributable to Noncontrolling Interests	(2)	(8)	70	(27)
Net Income Attributable to AptarGroup, Inc.	$ 57,539	$ 53,076	$ 102,710	$ 101,465
Net Income Attributable to AptarGroup, Inc. Per Common Share:
Basic (in dollars per share)	$ 0.92	$ 0.81	$ 1.64	$ 1.55
Diluted (in dollars per share)	$ 0.90	$ 0.79	$ 1.59	$ 1.49
Average Number of Shares Outstanding:
Basic (in shares)	62,697	65,328	62,496	65,397
Diluted (in shares)	64,276	67,438	64,603	68,042
Dividends per Common Share (in dollars per share)	$ 0.28	$ 0.28	$ 0.56	$ 0.53

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DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Details 3) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Derivative Assets
Gross Amount	$ 1,379	$ 1,044
Net Amounts Presented in the Statement of Financial Position	1,379	1,044
Net Amount	1,379	1,044
Derivative Liabilities
Gross Amount	1,826	2,493
Net Amounts Presented in the Statement of Financial Position	1,826	2,493
Net Amount	$ 1,826	$ 2,493

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CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($) $ in Thousands	Retained Earnings	Accumulated Other Comprehensive Income/(Loss)	Common Stock Par Value	Treasury Stock	Capital in Excess of Par Value	Non-Controlling Interest	Total
Balance at Dec. 31, 2013	$ 1,619,419	$ 109,751	$ 853	$ (744,213)	$ 493,947	$ 551	$ 1,480,308
Increase (Decrease) in Stockholders' Equity
Net Income	101,465					27	101,492
Foreign currency translation adjustments		(4,592)				(9)	(4,601)
Changes in unrecognized pension losses and related amortization, net of tax		1,435					1,435
Changes in treasury locks, net of tax		12					12
Stock option exercises & restricted stock vestings			5	1	35,737		35,743
Cash dividends declared on common stock	(34,693)						(34,693)
Treasury stock purchased				(52,884)			(52,884)
Balance at Jun. 30, 2014	1,686,191	106,606	858	(797,096)	529,684	569	1,526,812
Balance at Dec. 31, 2014	1,740,005	(110,045)	862	(1,034,728)	507,313	509	1,103,916
Increase (Decrease) in Stockholders' Equity
Net Income	102,710					(70)	102,640
Foreign currency translation adjustments		(94,147)					(94,147)
Changes in unrecognized pension losses and related amortization, net of tax		2,342					2,342
Changes in treasury locks, net of tax		13					13
Stock option exercises & restricted stock vestings			7	2	48,470		48,479
Cash dividends declared on common stock	(34,929)						(34,929)
Non Controlling Interest Repurchased					(476)	(148)	(624)
Balance at Jun. 30, 2015	$ 1,807,786	$ (201,837)	$ 869	$ (1,034,726)	$ 555,307	$ 291	$ 1,127,690

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INVENTORIES (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014
Inventories accounted for by using the LIFO method (as a percent)			19.00%
Inventories, by component
Raw materials	$ 100,872		$ 108,618
Work in process	97,426		94,414
Finished goods	116,880		115,809
Total	315,178		318,841
Less LIFO Reserve		$ (7,427)	(7,769)
Total	315,178		$ 311,072
Pro Forma
Inventories, by component
Less LIFO Reserve	$ (6,879)

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INSURANCE SETTLEMENT RECEIVABLE

6 Months Ended

Jun. 30, 2015

INSURANCE SETTLEMENT RECEIVABLE

INSURANCE SETTLEMENT RECEIVABLE

NOTE 15 – INSURANCE SETTLEMENT RECEIVABLE

A fire caused damage to the roof and production area of a facility owned by an AptarGroup subsidiary in Brazil on September 1, 2014.  There were no injuries.  The facility is primarily an internal supplier to AptarGroup of anodized aluminum components for certain dispensing systems sold to the regional beauty and personal care markets.  Repairs of the facility continue to progress as planned.  AptarGroup is insured for the damages caused by the fire, including business interruption insurance.  While the Company is still in the process of reviewing claims with our insurance carriers, we have currently recognized a $4.3 million receivable related to costs incurred but not yet reimbursed, which is included in Prepaid and Other in the Condensed Consolidated Balance Sheet. This incident did not have a material impact on our financial results during the first half of 2015 and we expect to reach a final insurance settlement during the second half of 2015.

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GOODWILL AND OTHER INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2015	Dec. 31, 2014
Changes in the carrying amount of goodwill
Goodwill		$ 318,095	$ 331,356
Accumulated impairment losses		(1,615)	(1,615)
Goodwill, Total	$ 329,741	316,480	329,741
Goodwill, balance at the beginning of the period	329,741
Foreign currency exchange effects	(13,261)
Goodwill, balance at the end of the period	316,480
Operating segment | Beauty + Home
Changes in the carrying amount of goodwill
Goodwill		167,202	171,149
Goodwill, Total	171,149	167,202	171,149
Goodwill, balance at the beginning of the period	171,149
Foreign currency exchange effects	(3,947)
Goodwill, balance at the end of the period	167,202
Operating segment | Pharma
Changes in the carrying amount of goodwill
Goodwill		132,793	141,592
Goodwill, Total	141,592	132,793	141,592
Goodwill, balance at the beginning of the period	141,592
Foreign currency exchange effects	(8,799)
Goodwill, balance at the end of the period	132,793
Operating segment | Food + Beverage
Changes in the carrying amount of goodwill
Goodwill		16,485	17,000
Goodwill, Total	17,000	16,485	17,000
Goodwill, balance at the beginning of the period	17,000
Foreign currency exchange effects	(515)
Goodwill, balance at the end of the period	$ 16,485
Corporate Non-Segment
Changes in the carrying amount of goodwill
Goodwill		1,615	1,615
Accumulated impairment losses		$ (1,615)	$ (1,615)

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INVENTORIES (Tables)

6 Months Ended

Jun. 30, 2015

INVENTORIES

Schedule of inventories, by component

	June 30,		December 31,
	2015		2014
Raw materials	$	100,872	$	108,618
Work in process	97,426		94,414
Finished goods	116,880		115,809
Total	315,178		318,841
Less LIFO reserve	--		(7,769		)
Total	$	315,178	$	311,072

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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash Flows from Operating Activities:
Net income	$ 102,640	$ 101,492
Adjustments to reconcile net income to net cash provided by operations:
Depreciation	66,059	72,946
Amortization	2,166	2,767
Stock based compensation	13,983	13,130
Provision for (recovery of) doubtful accounts	362	(69)
Deferred income taxes	(2,465)	(3,808)
Defined benefit plan expense	10,294	8,452
Equity in results of affiliates in excess of cash distributions received	526	1,744
Changes in balance sheet items, excluding effects from foreign currency adjustments:
Accounts receivable	(50,289)	(71,208)
Inventories	(23,058)	(19,565)
Prepaid and other current assets	(16,381)	(5,868)
Accounts payable and accrued liabilities	38,885	17,898
Income taxes payable	(3,222)	(21,572)
Retirement and deferred compensation plans	(3,832)	(6,559)
Other changes, net	4,509	20,920
Net Cash Provided by Operations	140,177	110,700
Cash Flows from Investing Activities:
Capital expenditures	(60,306)	(87,068)
Proceeds from sale of property and equipment	83	2,287
Insurance proceeds	1,900
Purchase of short-term investments	(66,897)
Notes receivable, net	(701)	(163)
Net Cash Used by Investing Activities	(125,921)	(84,944)
Cash Flows from Financing Activities:
(Repayments of) Proceeds from notes payable	(227,512)	77,019
Proceeds from long-term obligations	225,887
Repayments of long-term obligations	(1,539)	(308)
Dividends paid	(34,929)	(34,693)
Credit facility costs	(1,216)	(299)
Proceeds from stock option exercises	28,810	18,319
Purchase of treasury stock		(52,884)
Excess tax benefit from exercise of stock options	4,575	3,802
Net Cash (Used) Provided Provided by Financing Activities	(5,924)	10,956
Effect of Exchange Rate Changes on Cash	(16,284)	(5,285)
Net (Decrease) Increase in Cash and Equivalents	(7,952)	31,427
Cash and Equivalents at Beginning of Period	399,762	309,861
Cash and Equivalents at End of Period	$ 391,810	$ 341,288

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CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Net Income	$ 57,541	$ 53,084	$ 102,640	$ 101,492
Other Comprehensive Income (Loss):
Foreign currency translation adjustments	45,099	(5,164)	(94,147)	(4,601)
Changes in treasury locks, net of tax	7	6	13	12
Defined benefit pension plan, net of tax
Amortization of prior service cost included in net income, net of tax	42	53	85	106
Amortization of net loss included in net income, net of tax	1,131	664	2,257	1,329
Total defined benefit pension plan, net of tax	1,173	717	2,342	1,435
Total other comprehensive income (loss)	46,279	(4,441)	(91,792)	(3,154)
Comprehensive Income	103,820	48,643	10,848	98,338
Comprehensive (Income) Loss Attributable to Noncontrolling Interests	(2)	(9)	70	(18)
Comprehensive Income Attributable to AptarGroup, Inc.	$ 103,818	$ 48,634	$ 10,918	$ 98,320

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COMMITMENTS AND CONTINGENCIES

6 Months Ended

Jun. 30, 2015

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES

NOTE 10 – COMMITMENTS AND CONTINGENCIES

The Company, in the normal course of business, is subject to a number of lawsuits and claims both actual and potential in nature.  While management believes the resolution of these claims and lawsuits will not have a material adverse effect on the Company’s financial position or results of operations or cash flows, claims and legal proceedings are subject to inherent uncertainties, and unfavorable outcomes could occur that could include amounts in excess of any accruals which management has established.  Were such unfavorable final outcomes to occur, it is possible that they could have a material adverse effect on our financial position, results of operations and cash flows.

Under our Certificate of Incorporation, the Company has agreed to indemnify our officers and directors for certain events or occurrences while the officer or director is, or was, serving at our request in such capacity.  The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is unlimited; however, the Company has a directors and officers liability insurance policy that covers a portion of our exposure.  As a result of our insurance policy coverage, the Company believes the estimated fair value of these indemnification agreements is minimal.  The Company has no liabilities recorded for these agreements as of June 30, 2015.

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Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Jul. 27, 2015
Document and Entity Information
Entity Registrant Name	APTARGROUP INC
Entity Central Index Key	0000896622
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		62,795,667
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q2

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STOCK REPURCHASE PROGRAM

6 Months Ended

Jun. 30, 2015

STOCK REPURCHASE PROGRAM

STOCK REPURCHASE PROGRAM

NOTE 11 – STOCK REPURCHASE PROGRAM

On October 30, 2014, the Company announced a new share repurchase authorization of up to $350 million of common stock.  This new authorization replaces previous authorizations and has no expiration date.  AptarGroup may repurchase shares through the open market, privately negotiated transactions or other programs, subject to market conditions.

On December 16, 2014, the Company entered into an agreement to repurchase approximately $250 million of its common stock under an accelerated share repurchase program (the “ASR program”).  The ASR program is part of the Company’s $350 million share repurchase authorization.  On December 17, 2014, the Company paid $250 million to Wells Fargo Bank N.A. (“Wells Fargo”) in exchange for approximately 3.1 million shares, estimated to represent approximately 80% of the total number of shares expected to be purchased in the ASR program based on then current market prices.  The ultimate number of shares to be repurchased under the ASR program will be based on the volume-weighted average price of the Company’s common stock during the term of the ASR program, less a discount.  Final settlement of the ASR program is expected to be completed by the end of September 2015, although the settlement may be accelerated at Wells Fargo’s option.

During the three and six months ended June 30, 2015, the Company did not repurchase any shares.  During the three and six months ended June 30, 2014, the Company repurchased approximately 600 thousand and 800 thousand shares for approximately $39.9 million and $52.9 million, respectively.  Shares repurchased were returned to Treasury Stock.

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CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Current Assets:
Cash and equivalents	$ 391,810	$ 399,762
Short-term Investments	66,897
Cash Equivalents and Short-term Investments Total	458,707	399,762
Accounts and notes receivable, less allowance for doubtful accounts of $4,192 in 2015 and $4,251 in 2014	435,448	406,976
Inventories	315,178	311,072
Prepaid and other	102,258	96,128
Total Current Assets	1,311,591	1,213,938
Property, Plant and Equipment:
Buildings and improvements	342,879	353,683
Machinery and equipment	1,874,243	1,919,507
Property, Plant and Equipment, Gross	2,217,122	2,273,190
Less: Accumulated depreciation	(1,462,264)	(1,484,546)
Property, Plant and Equipment, Net	754,858	788,644
Land	21,778	23,011
Total Property, Plant and Equipment	776,636	811,655
Other Assets:
Investments in affiliates	4,965	5,760
Goodwill	316,480	329,741
Intangible assets, net	36,090	40,045
Miscellaneous	32,044	36,051
Total Other Assets	389,579	411,597
Total Assets	2,477,806	2,437,190
Current Liabilities:
Notes payable	5,766	233,284
Current maturities of long-term obligations	18,122	18,692
Accounts payable and accrued liabilities	377,569	352,762
Total Current Liabilities	401,457	604,738
Long-term obligations	813,007	588,892
Deferred Liabilities and Other:
Deferred income taxes	21,297	25,521
Retirement and deferred compensation plans	110,631	109,517
Deferred and other non-current liabilities	$ 3,724	$ 4,606
Commitments and contingencies (Note 10)
Total Deferred Liabilities and Other	$ 135,652	$ 139,644
AptarGroup, Inc. stockholders' equity
Common stock, $.01 par value, 199 million shares authorized; 87.0 and 86.3 million shares issued as of June 30, 2015 and December 31, 2014, respectively	869	862
Capital in excess of par value	555,307	507,313
Retained earnings	1,807,786	1,740,005
Accumulated other comprehensive (loss)	(201,837)	(110,045)
Less treasury stock at cost, 24.2 and 24.3 million shares as of June 30, 2015 and December 31, 2014, respectively	(1,034,726)	(1,034,728)
Total AptarGroup, Inc. Stockholders' Equity	1,127,399	1,103,407
Noncontrolling interests in subsidiaries	291	509
Total Stockholders' Equity	1,127,690	1,103,916
Total Liabilities and Stockholders' Equity	$ 2,477,806	$ 2,437,190

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LONG-TERM OBLIGATIONS

6 Months Ended

Jun. 30, 2015

LONG-TERM OBLIGATIONS

LONG TERM OBLIGATIONS

NOTE 5 – LONG –TERM OBLIGATIONS

In December 2014, we executed a $475 million private placement to take advantage of low long-term interest rates.  At that time, we closed on $250 million of the private placement to fund our ASR program (see Note 11).  This closing consisted of two maturity tranches, with $125 million of 9 year notes at an interest rate of 3.49% and $125 million of 11 year notes at an interest rate of 3.61%.  We closed on the remaining $225 million of the private placement in February, 2015, consisting of $100 million of 9 year notes at an interest rate of 3.49% and $125 million of 11 year notes at an interest rate of 3.61%.  The proceeds from this closing were used to pay down the existing revolving line of credit.

The Company’s long-term obligations consisted of the following:

	June 30,			December 31,
	2015			2014
Notes payable 0.61% - 27.26%, due in monthly and annual installments
through 2027	$	4,244		$	5,160
Senior unsecured notes 2.3%, due in 2015	16,000			16,000
Senior unsecured notes 6.0%, due in 2016	50,000			50,000
Senior unsecured notes 6.0%, due in 2018	75,000			75,000
Senior unsecured notes 3.8%, due in 2020	84,000			84,000
Senior unsecured notes 3.2%, due in 2022	75,000			75,000
Senior unsecured notes 3.5%, due in 2023	125,000			125,000
Senior unsecured notes 3.4%, due in 2024	50,000			50,000
Senior unsecured notes 3.5%, due in 2024	100,000			--
Senior unsecured notes 3.6%, due in 2025	125,000			125,000
Senior unsecured notes 3.6%, due in 2026	125,000			--
Capital lease obligations	1,885			2,424
	831,129			607,584
Current maturities of long-term obligations	(18,122		)	(18,692		)
Total long-term obligations	$	813,007		$	588,892

Aggregate long-term maturities, excluding capital lease obligations, due annually for the five years beginning in 2015 are $17,769, $50,391, $392, $75,342, $189 and $685,161 thereafter.

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INCOME TAX UNCERTAINTIES

6 Months Ended

Jun. 30, 2015

INCOME TAX UNCERTAINTIES

INCOME TAX UNCERTAINTIES

NOTE 4 – INCOME TAX UNCERTAINTIES

The Company had approximately $5.7 and $6.4 million recorded for income tax uncertainties as of June 30, 2015 and December 31, 2014, respectively.  The $0.7 million decrease in income tax uncertainties was primarily due to the settlement of a tax audit in Italy as well as changes in foreign currency rates.  The amount, if recognized, that would impact the effective tax rate is $5.5 and $6.3 million, respectively. The Company estimates that it is reasonably possible that the liability for uncertain tax positions will decrease by no more than $5.1 million in the next twelve months from the resolution of various uncertain positions as a result of the completion of tax audits, litigation and the expiration of the statute of limitations in various jurisdictions.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

6 Months Ended

Jun. 30, 2015

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BASIS OF PRESENTATION

BASIS OF PRESENTATION

The accompanying Unaudited Condensed Consolidated Financial Statements include the accounts of AptarGroup, Inc. and our subsidiaries.  The terms “AptarGroup” or “Company” as used herein refer to AptarGroup, Inc. and our subsidiaries.  All significant intercompany accounts and transactions have been eliminated.  Certain previously reported amounts have been reclassified to conform to the current period presentation.

In the opinion of management, the Unaudited Condensed Consolidated Financial Statements include all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of consolidated financial position, results of operations, comprehensive income, changes in equity and cash flows for the interim periods presented.  The accompanying Unaudited Condensed Consolidated Financial Statements have been prepared by the Company, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”).  Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted pursuant to such rules and regulations, although the Company believes that the disclosures made are adequate to make the information presented not misleading.  Also, certain financial position data included herein was derived from the Audited Consolidated Financial Statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 but does not include all disclosures required by GAAP.  Accordingly, these Unaudited Condensed Consolidated Financial Statements and related notes should be read in conjunction with the Audited Consolidated Financial Statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014.  The results of operations of any interim period are not necessarily indicative of the results that may be expected for the year.

CHANGE IN ACCOUNTING POLICY

CHANGE IN ACCOUNTING PRINCIPLE

During the quarter, the Company changed its inventory valuation method for certain operating entities in its North American business to the first-in first-out (FIFO) method from the last-in first-out (LIFO) method.  Prior to the change, the Company utilized two methods of inventory costing: LIFO for inventories in these operating entities and FIFO for inventories in other operating entities. The Company believes that the FIFO method is preferable as it better reflects the current value of inventory on the Company’s Condensed Consolidated Balance Sheet, provides better matching of revenues and expenses, results in uniformity across the Company’s global operations with respect to the method of inventory accounting and improves comparability with the Company’s peers. The cumulative pre-tax effect of this change is $7.4 million. We have determined that this change is not material to the Company’s previously issued financial statements and that the cumulative effect of the change is not material to current operations or to the trend of reported results of operations. Therefore, we conclude it was appropriate to recognize the cumulative effect of the change as an operating item in the current period’s Condensed Consolidated Statement of Income and not to adopt the change by retrospective application.

ADOPTION OF RECENT ACCOUNTING PRONOUNCEMENTS

ADOPTION OF RECENT ACCOUNTING PRONOUNCEMENTS

Changes to GAAP are established by the Financial Accounting Standards Board (“FASB”) in the form of accounting standards updates to the FASB’s Accounting Standards Codification.  During the first six months of 2015, there have been no developments to the recently adopted accounting pronouncements from those disclosed in the Company’s 2014 Annual Report on Form 10-K that are considered to have a material impact on our Unaudited Condensed Consolidated Financial Statements.  Other accounting standards that have been issued by the FASB or other standards-setting bodies but are not yet effective are discussed in Management’s Discussion and Analysis of Financial Condition and Results of Operations.

SHORT TERM INVESTMENTS

SHORT TERM INVESTMENTS

Short term investments reflect funds invested in a time deposit instrument with a two-year maturity.  However, during the life of the investment the funds can be redeemed at any time with a 35-90 day notice.  There are no penalties for early redemption.  We do not consider this investment a marketable security as there is no active market for this type of product.

INCOME TAXES

INCOME TAXES

The Company computes taxes on income in accordance with the tax rules and regulations of the many taxing authorities where income is earned.  The income tax rates imposed by these taxing authorities may vary substantially.  Taxable income may differ from pre-tax income for financial accounting purposes.  To the extent that these differences create differences between the tax basis of an asset or liability and our reported amount in the financial statements, an appropriate provision for deferred income taxes is made.

In our determination of which foreign earnings are permanently reinvested in foreign operations, the Company considers numerous factors, including the financial requirements of the U.S. parent company and those of our foreign subsidiaries, the U.S. funding needs for dividend payments and stock repurchases, and the tax consequences of remitting earnings to the U.S.  From this analysis, current year repatriation decisions are made in an attempt to provide a proper mix of debt and shareholder capital both within the U.S. and for non-U.S. operations.  The Company’s policy is to permanently reinvest our accumulated foreign earnings and the Company will only make a distribution out of current year earnings to meet the cash needs at the parent company.  As such, the Company does not provide for taxes on earnings that are deemed to be permanently reinvested.  Since no distribution to the U.S. of foreign earnings is expected in 2015, the effective tax rate for 2015 includes no tax cost of repatriation.

The Company provides a liability for the amount of tax benefits realized from uncertain tax positions.  This liability is provided whenever the Company determines that a tax benefit will not meet a more-likely-than-not threshold for recognition.  See Note 4 of the Unaudited Notes to the Condensed Consolidated Financial Statements for more information.

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STOCK-BASED COMPENSATION

6 Months Ended

Jun. 30, 2015

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION

NOTE 12 – STOCK-BASED COMPENSATION

The Company issues stock options and restricted stock units to employees under Stock Awards Plans approved by shareholders.  Stock options and restricted stock units are issued to non-employee directors under Director Stock Option Plans and the Director Restricted Stock Unit Plan approved by shareholders.  Options are awarded with the exercise price equal to the market price on the date of grant and generally become exercisable over three years and expire 10 years after grant.  Restricted stock units generally vest over three years.

Compensation expense recorded attributable to stock options for the first six months of 2015 was approximately $12.0 million ($7.8 million after tax).  The income tax benefit related to this compensation expense was approximately $4.2 million.  Approximately $10.7 million of the compensation expense was recorded in selling, research & development and administrative expenses and the balance was recorded in cost of sales.  Compensation expense recorded attributable to stock options for the first six months of 2014 was approximately $12.0 million ($7.8 million after tax).  The income tax benefit related to this compensation expense was approximately $4.2 million.  Approximately $10.8 million of the compensation expense was recorded in selling, research & development and administrative expenses and the balance was recorded in cost of sales.

The Company uses historical data to estimate expected life and volatility.  The weighted-average fair value of stock options granted under the Stock Awards Plans was $12.83 and $14.84 per share in 2015 and 2014, respectively.  These values were estimated on the respective dates of grant using the Black-Scholes option-pricing model with the following weighted-average assumptions:

Stock Awards Plans:
Six months ended June 30,	2015		2014
Dividend Yield	1.7	%	1.7	%
Expected Stock Price Volatility	21.9	%	22.2	%
Risk-free Interest Rate	1.6	%	2.3	%
Expected Life of Option (years)	6.9		6.9

There were no grants under the Director Stock Option Plan during the second quarter of 2015 as this plan was cancelled and replaced by the Director Restricted Stock Unit Plan.  The fair value of stock options granted under the Director Stock Option Plan during the second quarter of 2014 was $14.07.  These values were estimated on the respective date of the grant using the Black-Scholes option-pricing model with the following weighted-average assumptions:

Director Stock Option Plans:
Six months ended June 30,	2014
Dividend Yield	1.8	%
Expected Stock Price Volatility	22.2	%
Risk-free Interest Rate	2.2	%
Expected Life of Option (years)	6.9

A summary of option activity under the Company’s stock plans during the first half of 2015 is presented below:

	Stock Awards Plans					Director Stock Option Plans
				Weighted Average					Weighted Average
	Shares			Exercise Price		Shares			Exercise Price
Outstanding, January 1, 2015	8,107,806			$	46.74	368,668			$	53.52
Granted	1,391,355			64.60		--			--
Exercised	(788,268		)	34.60		(62,001		)	40.67
Forfeited or expired	(20,653		)	60.34		--			--
Outstanding at June 30, 2015	8,690,240			$	50.67	306,667			$	56.11
Exercisable at June 30, 2015	5,925,974			$	44.64	224,325			$	53.41
Weighted-Average Remaining Contractual Term (Years):
Outstanding at June 30, 2015	6.4					7.4
Exercisable at June 30, 2015	5.2					6.9
Aggregate Intrinsic Value ($000):
Outstanding at June 30, 2015	$	120,651				$	2,616
Exercisable at June 30, 2015	$	115,264				$	2,432
Intrinsic Value of Options Exercised ($000) During the Six Months Ended:
June 30, 2015	$	23,592				$	1,449
June 30, 2014	$	18,050				$	741

The fair value of shares vested during the six months ended June 30, 2015 and 2014 was $15.8 million and $13.9 million, respectively.  Cash received from option exercises was approximately $28.8 million and the actual tax benefit realized for the tax deduction from option exercises was approximately $7.0 million in the six months ended June 30, 2015.  As of June 30, 2015, the remaining valuation of stock option awards to be expensed in future periods was $18.7 million and the related weighted-average period over which it is expected to be recognized is 1.5 years.

The fair value of restricted stock unit grants is the market price of the underlying shares on the grant date.  A summary of restricted stock unit activity as of June 30, 2015, and changes during the period then ended is presented below:

						Director Restricted
	Stock Awards Plans					Stock Unit Plan
				Weighted Average				Weighted Average
	Shares		Grant-Date Fair Value			Shares	Grant-Date Fair Value
Nonvested at January 1, 2015	61,750			$	64.09	--		$	--
Granted	11,448			65.87		18,857		63.10
Vested	(11,083	)		57.13		--		--
Nonvested at June 30, 2015	62,115			$	65.65	18,857		$	63.10

Compensation expense recorded attributable to restricted stock unit grants for the first half of 2015 and 2014 was approximately $2.0 million and $1.1 million, respectively.  The fair value of units vested during the six months ended June 30, 2015 and 2014 was $633 thousand and $491 thousand, respectively.  The intrinsic value of units vested during the six months ended June 30, 2015 and 2014 was $732 thousand and $613 thousand, respectively.  As of June 30, 2015 there was $1.9 million of total unrecognized compensation cost relating to restricted stock unit awards which is expected to be recognized over a weighted-average period of 1.4 years.

The Company has a long-term incentive program for certain employees.  The program is based on the cumulative total shareholder return of our common stock during a three year performance period.  Total expense related to this program is expected to be approximately $2.3 million over the performance period, of which $483 thousand and $320 thousand was recognized in the first half of 2015 and 2014, respectively.

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DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES

6 Months Ended

Jun. 30, 2015

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES

NOTE 8 – DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES

The Company maintains a foreign exchange risk management policy designed to establish a framework to protect the value of the Company’s non-functional denominated transactions from adverse changes in exchange rates.  Sales of the Company’s products can be denominated in a currency different from the currency in which the related costs to produce the product are denominated.  Changes in exchange rates on such inter-country sales or intercompany loans can impact the Company’s results of operations.  The Company’s policy is not to engage in speculative foreign currency hedging activities, but to minimize our net foreign currency transaction exposure, defined as firm commitments and transactions recorded and denominated in currencies other than the functional currency.  The Company may use foreign currency forward exchange contracts, options and cross currency swaps to economically hedge these risks.

For derivative instruments designated as hedges, the Company formally documents the nature and relationships between the hedging instruments and the hedged items, as well as the risk management objectives, strategies for undertaking the various hedge transactions, and the method of assessing hedge effectiveness.  Additionally, in order to designate any derivative instrument as a hedge of an anticipated transaction, the significant characteristics and expected terms of any anticipated transaction must be specifically identified, and it must be probable that the anticipated transaction will occur.

HEDGE OF NET INVESTMENTS IN FOREIGN OPERATIONS

A significant number of the Company’s operations are located outside of the United States.  Because of this, movements in exchange rates may have a significant impact on the translation of the financial condition and results of operations of the Company’s foreign subsidiaries.  A strengthening U.S. dollar relative to foreign currencies has a dilutive translation effect on the Company’s financial condition and results of operations.  Conversely, a weakening U.S. dollar has an additive effect.  The Company in some cases maintains debt in these subsidiaries to offset the net asset exposure.  The Company does not otherwise actively manage this risk using derivative financial instruments.  In the event the Company plans on a full or partial liquidation of any of our foreign subsidiaries where the Company’s net investment is likely to be monetized, the Company will consider hedging the currency exposure associated with such a transaction.

OTHER

As of June 30, 2015, the Company has recorded the fair value of foreign currency forward exchange contracts of $1.4 million in prepaid and other, $1.7 million in accounts payable and accrued liabilities, and $0.1 million in deferred and other non-current liabilities in the balance sheet.  All forward exchange contracts outstanding as of June 30, 2015 had an aggregate contract amount of $138.1 million.

Fair Value of Derivative Instruments in the Condensed Consolidated Balance Sheets as of June 30, 2015

and December 31, 2014

Derivative Contracts Not Designated as Hedging Instruments	Balance Sheet Location	June 30, 2015		December 31, 2014
Derivative Assets
Foreign Exchange Contracts	Prepaid and other	$	1,379	$	1,037
Foreign Exchange Contracts	Miscellaneous Other Assets	--		7
		$	1,379	$	1,044
Derivative Liabilities
Foreign Exchange Contracts	Accounts payable and accrued liabilities	$	1,736	$	2,378
Foreign Exchange Contracts	Deferred and other non-current liabilities	90		115
		$	1,826	$	2,493

The Effect of Derivative Instruments on the Condensed Consolidated Statements of Income

for the Quarters Ended June 30, 2015 and June 30, 2014

Derivatives Not Designated as Hedging Instruments	Location of Gain or (Loss) Recognized in Income on Derivative	Amount of Gain or (Loss) Recognized in Income on Derivative
		2015			2014
Foreign Exchange Contracts	Other Income (Expense) Miscellaneous, net	$	(3,301	)	$	(1,335	)
		$	(3,301	)	$	(1,335	)

The Effect of Derivative Instruments on the Condensed Consolidated Statements of Income

for the Six Months Ended June 30, 2015 and June 30, 2014

Derivatives Not Designated as Hedging Instruments	Location of Gain or (Loss) Recognized in Income on Derivative	Amount of Gain or (Loss) Recognized in Income on Derivative
		2015			2014
Foreign Exchange Contracts	Other Income (Expense) Miscellaneous, net	$	(48	)	$	(1,494	)
		$	(48	)	$	(1,494	)

				Net Amounts		Gross Amounts not Offset in the
			Gross Amounts	Presented in		Statement of Financial Position
	Gross		Offset in the	the Statement of		Financial	Cash Collateral	Net
	Amount		Financial Position	Financial Position		Instruments	Received	Amount
Description
June 30, 2015
Derivative Assets	$	1,379	--	$	1,379	--	--	$	1,379
Total Assets	$	1,379	--	$	1,379	--	--	$	1,379
Derivative Liabilities	$	1,826	--	$	1,826	--	--	$	1,826
Total Liabilities	$	1,826	--	$	1,826	--	--	$	1,826
December 31, 2014
Derivative Assets	$	1,044	--	$	1,044	--	--	$	1,044
Total Assets	$	1,044	--	$	1,044	--	--	$	1,044
Derivative Liabilities	$	2,493	--	$	2,493	--	--	$	2,493
Total Liabilities	$	2,493	--	$	2,493	--	--	$	2,493

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RETIREMENT AND DEFERRED COMPENSATION PLANS

6 Months Ended

Jun. 30, 2015

RETIREMENT AND DEFERRED COMPENSATION PLANS

RETIREMENT AND DEFERRED COMPENSATION PLANS

NOTE 6 – RETIREMENT AND DEFERRED COMPENSATION PLANS

Components of Net Periodic Benefit Cost:

	Domestic Plans						Foreign Plans
Three months ended June 30,	2015			2014			2015			2014
Service cost	$	2,504		$	2,010		$	1,139		$	1,081
Interest cost	1,589			1,482			412			699
Expected return on plan assets	(1,897		)	(1,646		)	(447		)	(510		)
Amortization of net loss	1,351			717			418			313
Amortization of prior service cost	--			--			64			80
Net periodic benefit cost	$	3,547		$	2,563		$	1,586		$	1,663

	Domestic Plans						Foreign Plans
Six months ended June 30,	2015			2014			2015			2014
Service cost	$	5,008		$	4,021		$	2,299		$	2,160
Interest cost	3,178			2,964			832			1,398
Expected return on plan assets	(3,795		)	(3,292		)	(902		)	(1,020		)
Amortization of net loss	2,702			1,434			843			626
Amortization of prior service cost	--			--			129			161
Net periodic benefit cost	$	7,093		$	5,127		$	3,201		$	3,325

EMPLOYER CONTRIBUTIONS

Although the Company has no minimum funding requirement, we plan to contribute approximately $10 million to our domestic defined benefit plans in 2015.  No 2015 contributions were made as of June 30, 2015.  The Company also expects to contribute approximately $12.6 million to our foreign defined benefit plans in 2015, and as of June 30, 2015, we have contributed approximately $1.0 million.

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ACCUMULATED OTHER COMPREHENSIVE INCOME

6 Months Ended

Jun. 30, 2015

ACCUMULATED OTHER COMPREHENSIVE INCOME

ACCUMULATED OTHER COMPREHENSIVE INCOME

NOTE 7 – ACCUMULATED OTHER COMPREHENSIVE INCOME

Changes in Accumulated Other Comprehensive Income by Component:

	Foreign Currency			Defined Benefit Pension Plans			Other			Total
Balance – December 31, 2013	$	149,965		$	(40,093	)	$	(121	)	$	109,751
Other comprehensive loss before reclassifications	(4,252		)	--			--			(4,252		)
Amounts reclassified from accumulated other comprehensive income	(340		)	1,435			12			1,107
Net current-period other comprehensive (loss) income	(4,592		)	1,435			12			(3,145		)
Balance - June 30, 2014	$	145,373		$	(38,658	)	$	(109	)	$	106,606
Balance – December 31, 2014	$	(42,851	)	$	(67,097	)	$	(97	)	$	(110,045	)
Other comprehensive loss before reclassifications	(94,147		)	--			--			(94,147		)
Amounts reclassified from accumulated other comprehensive income	--			2,342			13			2,355
Net current-period other comprehensive (loss) income	(94,147		)	2,342			13			(91,792		)
Balance - June 30, 2015	$	(136,998	)	$	(64,755	)	$	(84	)	$	(201,837	)

Reclassifications Out of Accumulated Other Comprehensive Income:

Details about Accumulated Other	Amount Reclassified from Accumulated						Affected Line in the Statement
Comprehensive Income Components	Other Comprehensive Income						Where Net Income is Presented
Three months ended June 30,	2015			2014
Defined Benefit Pension Plans
Amortization of net loss	$	1,769		$	1,030		(a)
Amortization of prior service cost	64			80			(a)
	1,833			1,110			Total before tax
	(660		)	(393		)	Tax benefit
	$	1,173		$	717		Net of tax
Other
Changes in treasury locks	9			10			Interest Expense
	9			10			Total before tax
	(2		)	(4		)	Tax benefit
	$	7		$	6		Net of tax
Total reclassifications for the period	$	1,180		$	723

(a) These accumulated other comprehensive income components are included in the computation of net periodic benefit costs, net of tax (see Note 6 – Retirement and Deferred Compensation Plans for additional details).

Details about Accumulated Other	Amount Reclassified from Accumulated						Affected Line in the Statement
Comprehensive Income Components	Other Comprehensive Income						Where Net Income is Presented
Six months ended June 30,	2015			2014
Defined Benefit Pension Plans
Amortization of net loss	$	3,545		$	2,060		(b)
Amortization of prior service cost	129			161			(b)
	3,674			2,221			Total before tax
	(1,332		)	(786		)	Tax benefit
	$	2,342		$	1,435		Net of tax
Foreign Currency
Foreign Currency Gain	--			(340		)	Miscellaneous, net
	--			(340		)	Total before tax
	--			--			Tax benefit
	$	--		$	(340	)	Net of tax
Other
Changes in treasury locks	19			19			Interest Expense
	19			19			Total before tax
	(6		)	(7		)	Tax benefit
	$	13		$	12		Net of tax
Total reclassifications for the period	$	2,355		$	1,107

(b) These accumulated other comprehensive income components are included in the computation of net periodic benefit costs, net of tax (see Note 6 – Retirement and Deferred Compensation Plans for additional details).

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FAIR VALUE

6 Months Ended

Jun. 30, 2015

FAIR VALUE

FAIR VALUE

NOTE 9 – FAIR VALUE

Authoritative guidelines require the categorization of assets and liabilities into three levels based upon the assumptions (inputs) used to price the assets or liabilities.  Level 1 provides the most reliable measure of fair value, whereas Level 3 generally requires significant management judgment.  The three levels are defined as follows:

· Level 1: Unadjusted quoted prices in active markets for identical assets and liabilities.

· Level 2: Observable inputs other than those included in Level 1.  For example, quoted prices for similar assets or liabilities in active markets or quoted prices for identical assets or liabilities in inactive markets.

· Level 3: Unobservable inputs reflecting management’s own assumptions about the inputs used in pricing the asset or liability.

As of June 30, 2015, the fair values of our financial assets and liabilities were categorized as follows:

	Total		Level 1		Level 2		Level 3
Assets
Forward exchange contracts (a)	$	1,379	$	--	$	1,379	$	--
Total assets at fair value	$	1,379	$	--	$	1,379	$	--
Liabilities
Forward exchange contracts (a)	$	1,826	$	--	$	1,826	$	--
Total liabilities at fair value	$	1,826	$	--	$	1,826	$	--

As of December 31, 2014, the fair values of our financial assets and liabilities were categorized as follows:

	Total		Level 1		Level 2		Level 3
Assets
Forward exchange contracts (a)	$	1,044	$	--	$	1,044	$	--
Total assets at fair value	$	1,044	$	--	$	1,044	$	--
Liabilities
Forward exchange contracts (a)	$	2,493	$	--	$	2,493	$	--
Total liabilities at fair value	$	2,493	$	--	$	2,493	$	--

(a)   Market approach valuation technique based on observable market transactions of spot and forward rates.

The carrying amounts of the Company’s other current financial instruments such as cash and equivalents, notes payable and current maturities of long-term obligations approximate fair value due to the short-term maturity of the instrument.  The Company considers our long-term obligations a Level 2 liability and utilizes the market approach valuation technique based on interest rates that are currently available to the Company for issuance of debt with similar terms and maturities.  The estimated fair value of the Company’s long-term obligations was $827 million as of June 30, 2015 and $606 million as of December 31, 2014.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - 6 months ended Jun. 30, 2015 - USD ($) $ in Thousands	Total
INCOME TAXES
Expected distribution of foreign earnings	$ 0
Tax cost of repatriation included in effective tax rate	$ 0
Short Term Investments
Maturity of the deposit	2 years
Penalty for early redemption	$ 0
Minimum
Short Term Investments
Redemption period	35 days
Maximum
Short Term Investments
Redemption period	90 days
Accounting principle change
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
Cumulative pre-tax effect	$ 7,400

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SEGMENT INFORMATION (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015 USD ($)	Jun. 30, 2014 USD ($)	Jun. 30, 2015 USD ($) segment	Jun. 30, 2014 USD ($)
SEGMENT INFORMATION
Number of reportable segments | segment			3
Financial information regarding the Company's reportable segments
Net Sales	$ 594,275	$ 670,631	$ 1,184,086	$ 1,346,682
Income before interest and taxes	93,845	83,905	167,112	161,450
Interest expense, net	(8,090)	(4,199)	(13,662)	(8,064)
Income before Income Taxes	85,755	79,706	153,450	153,386
Beauty + Home
Financial information regarding the Company's reportable segments
Net Sales	319,124	385,226	648,539	776,462
Income before interest and taxes	27,193	27,198	50,569	54,979
Pharma
Financial information regarding the Company's reportable segments
Net Sales	183,300	195,690	361,969	390,039
Income before interest and taxes	55,462	52,793	107,463	105,275
Food + Beverage
Financial information regarding the Company's reportable segments
Net Sales	91,851	89,715	173,578	180,181
Income before interest and taxes	14,991	12,416	24,041	21,496
Corporate & Other
Financial information regarding the Company's reportable segments
Income before interest and taxes	(3,801)	(8,502)	(14,961)	(20,300)
Operating segment
Financial information regarding the Company's reportable segments
Net Sales	600,164	677,097	1,195,547	1,360,612
Operating segment | Beauty + Home
Financial information regarding the Company's reportable segments
Net Sales	324,742	391,215	659,536	789,755
Operating segment | Pharma
Financial information regarding the Company's reportable segments
Net Sales	183,300	195,690	361,969	390,039
Operating segment | Food + Beverage
Financial information regarding the Company's reportable segments
Net Sales	92,122	90,192	174,042	180,818
Intersegment
Financial information regarding the Company's reportable segments
Net Sales	(5,889)	(6,466)	(11,461)	(13,930)
Intersegment | Beauty + Home
Financial information regarding the Company's reportable segments
Net Sales	(5,617)	(5,989)	(10,997)	(13,293)
Intersegment | Food + Beverage
Financial information regarding the Company's reportable segments
Net Sales	$ (272)	$ (477)	$ (464)	$ (637)

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SEGMENT INFORMATION

6 Months Ended

Jun. 30, 2015

SEGMENT INFORMATION

SEGMENT INFORMATION

NOTE 14 – SEGMENT INFORMATION

The Company operates in the packaging components industry, which includes the development, manufacture and sale of consumer product dispensing solutions.  The Company is organized into three reporting segments.  Operations that sell dispensing systems primarily to the personal care, beauty and home care markets form the Beauty + Home segment.  Operations that sell dispensing systems primarily to the prescription drug, consumer health care and injectables markets form the Pharma segment.  Operations that sell dispensing systems primarily to the food and beverage markets form the Food + Beverage segment.

The accounting policies of the segments are the same as those described in Note 1, Summary of Significant Accounting Policies in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014.

Financial information regarding the Company’s reportable segments is shown below:

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Total Revenue:
Beauty + Home	$	324,742		$	391,215		$	659,536		$	789,755
Pharma	183,300			195,690			361,969			390,039
Food + Beverage	92,122			90,192			174,042			180,818
Total Revenue	600,164			677,097			1,195,547			1,360,612
Less: Intersegment Sales:
Beauty + Home	$	5,617		$	5,989		$	10,997		$	13,293
Pharma	--			--			--			--
Food + Beverage	272			477			464			637
Total Intersegment Sales	$	5,889		$	6,466		$	11,461		$	13,930
Net Sales:
Beauty + Home	$	319,124		$	385,226		$	648,539		$	776,462
Pharma	183,300			195,690			361,969			390,039
Food + Beverage	91,851			89,715			173,578			180,181
Net Sales	$	594,275		$	670,631		$	1,184,086		$	1,346,682
Segment Income (1):
Beauty + Home	$	27,193		$	27,198		$	50,569		$	54,979
Pharma	55,462			52,793			107,463			105,275
Food + Beverage	14,991			12,416			24,041			21,496
Corporate & Other	(3,801		)	(8,502		)	(14,961		)	(20,300		)
Income before interest and taxes	$	93,845		$	83,905		$	167,112		$	161,450
Interest expense, net	(8,090		)	(4,199		)	(13,662		)	(8,064		)
Income before income taxes	$	85,755		$	79,706		$	153,450		$	153,386

(1) The Company evaluates performance of our business units and allocates resources based upon segment income. Segment income is defined as earnings before net interest expense, certain corporate expenses and income taxes.

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LONG-TERM OBLIGATIONS (Tables)

6 Months Ended

Jun. 30, 2015

LONG-TERM OBLIGATIONS

Schedule of long-term obligations

	June 30,			December 31,
	2015			2014
Notes payable 0.61% - 27.26%, due in monthly and annual installments
through 2027	$	4,244		$	5,160
Senior unsecured notes 2.3%, due in 2015	16,000			16,000
Senior unsecured notes 6.0%, due in 2016	50,000			50,000
Senior unsecured notes 6.0%, due in 2018	75,000			75,000
Senior unsecured notes 3.8%, due in 2020	84,000			84,000
Senior unsecured notes 3.2%, due in 2022	75,000			75,000
Senior unsecured notes 3.5%, due in 2023	125,000			125,000
Senior unsecured notes 3.4%, due in 2024	50,000			50,000
Senior unsecured notes 3.5%, due in 2024	100,000			--
Senior unsecured notes 3.6%, due in 2025	125,000			125,000
Senior unsecured notes 3.6%, due in 2026	125,000			--
Capital lease obligations	1,885			2,424
	831,129			607,584
Current maturities of long-term obligations	(18,122		)	(18,692		)
Total long-term obligations	$	813,007		$	588,892

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STOCK-BASED COMPENSATION (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
STOCK-BASED COMPENSATION
Proceeds from stock option exercises		$ 28,810	$ 18,319
Stock options
STOCK-BASED COMPENSATION
Award vesting period		3 years
Expiration period		10 years
Compensation expense		$ 12,000	12,000
Compensation expense, net of tax		7,800	7,800
Income tax benefit related to compensation expense		4,200	4,200
Fair value of shares vested		15,800	13,900
Proceeds from stock option exercises		28,800
Actual tax benefit realized for the tax deduction from option exercises		7,000
Unrecognized compensation cost expected to be recognized in future periods		$ 18,700
Weighted-average period over which compensation cost is expected to be recognized		1 year 6 months
Stock options | Selling, research & development and administrative expenses
STOCK-BASED COMPENSATION
Compensation expense		$ 10,700	$ 10,800
Stock Option Plans | Stock options
STOCK-BASED COMPENSATION
Weighted-average fair value of stock options granted (in dollars per share)		$ 12.83	$ 14.84
Assumptions used to estimate fair value of stock options granted
Dividend Yield (as a percent)		1.70%	1.70%
Expected Stock Price Volatility (as a percent)		21.90%	22.20%
Risk-free Interest Rate (as a percent)		1.60%	2.30%
Expected Life of Option (years)		6 years 10 months 24 days	6 years 10 months 24 days
Stock options activity
Outstanding at the beginning of the period (in shares)		8,107,806
Granted (in shares)		1,391,355
Exercised (in shares)		(788,268)
Forfeited or expired (in shares)		(20,653)
Outstanding at the end of the period (in shares)		8,690,240
Exercisable at the end of the period (in shares)		5,925,974
Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share)		$ 46.74
Granted (in dollars per share)		64.60
Exercised (in dollars per share)		34.60
Forfeited or expired (in dollars per share)		60.34
Outstanding at the end of the period (in dollars per share)		50.67
Exercisable at the end of the period (in dollars per share)		$ 44.64
Weighted-Average Remaining Contractual Term (Years):
Outstanding at the end of the period		6 years 4 months 24 days
Exercisable at the end of the period		5 years 2 months 12 days
Aggregate Intrinsic Value:
Outstanding at the end of the period		$ 120,651
Exercisable at the end of the period		115,264
Intrinsic Value of Options Exercised		$ 23,592	$ 18,050
Stock Option Plans | Restricted stock units
STOCK-BASED COMPENSATION
Award vesting period		3 years
Compensation expense		$ 2,000	1,100
Unrecognized compensation cost expected to be recognized in future periods		$ 1,900
Weighted-average period over which compensation cost is expected to be recognized		1 year 4 months 24 days
Restricted stock unit activity
Balance at the beginning of the period (in shares)		61,750
Granted (in shares)		11,448
Vested (in shares)		(11,083)
Balance at the end of the period (in shares)		62,115
Weighted-Average Grant-Date Fair Value
Nonvested at the beginning of the period (in dollars per share)		$ 64.09
Granted (in dollars per share)		65.87
Vested (in dollars per share)		57.13
Nonvested at the end of the period (in dollars per share)		$ 65.65
Fair value of units vested		$ 633	491
Intrinsic value of units vested		$ 732	$ 613
Stock Option Plans | Director restricted stock unit plan
Restricted stock unit activity
Granted (in shares)		18,857
Balance at the end of the period (in shares)		18,857
Weighted-Average Grant-Date Fair Value
Granted (in dollars per share)		$ 63.10
Nonvested at the end of the period (in dollars per share)		63.10
Director Stock Option Plans | Stock options
STOCK-BASED COMPENSATION
Weighted-average fair value of stock options granted (in dollars per share)	$ 14.07	$ 0
Assumptions used to estimate fair value of stock options granted
Dividend Yield (as a percent)			1.80%
Expected Stock Price Volatility (as a percent)			22.20%
Risk-free Interest Rate (as a percent)			2.20%
Expected Life of Option (years)			6 years 10 months 24 days
Stock options activity
Outstanding at the beginning of the period (in shares)		368,668
Exercised (in shares)		(62,001)
Outstanding at the end of the period (in shares)		306,667
Exercisable at the end of the period (in shares)		224,325
Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share)		$ 53.52
Exercised (in dollars per share)		40.67
Outstanding at the end of the period (in dollars per share)		56.11
Exercisable at the end of the period (in dollars per share)		$ 53.41
Weighted-Average Remaining Contractual Term (Years):
Outstanding at the end of the period		7 years 4 months 24 days
Exercisable at the end of the period		6 years 10 months 24 days
Aggregate Intrinsic Value:
Outstanding at the end of the period		$ 2,616
Exercisable at the end of the period		2,432
Intrinsic Value of Options Exercised		1,449	$ 741
New long-term incentive program
STOCK-BASED COMPENSATION
Compensation expense		$ 483	$ 320
Performance period used to measure cumulative total shareholder return of common stock		3 years
Expected total expense related to program over the performance period		$ 2,300

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ACCUMULATED OTHER COMPREHENSIVE INCOME (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Accumulated other comprehensive income activity
Balance at the beginning of the period	$ (110,045)	$ 109,751
Other comprehensive loss before reclassifications	(94,147)	(4,252)
Amounts reclassified from accumulated other comprehensive income	2,355	1,107
Net current-period other comprehensive (loss) income	(91,792)	(3,145)
Balance at the end of the period	(201,837)	106,606
Foreign Currency
Accumulated other comprehensive income activity
Balance at the beginning of the period	(42,851)	149,965
Other comprehensive loss before reclassifications	(94,147)	(4,252)
Amounts reclassified from accumulated other comprehensive income		(340)
Net current-period other comprehensive (loss) income	(94,147)	(4,592)
Balance at the end of the period	(136,998)	145,373
Defined Benefit Pension Plans
Accumulated other comprehensive income activity
Balance at the beginning of the period	(67,097)	(40,093)
Amounts reclassified from accumulated other comprehensive income	2,342	1,435
Net current-period other comprehensive (loss) income	2,342	1,435
Balance at the end of the period	(64,755)	(38,658)
Other
Accumulated other comprehensive income activity
Balance at the beginning of the period	(97)	(121)
Amounts reclassified from accumulated other comprehensive income	13	12
Net current-period other comprehensive (loss) income	13	12
Balance at the end of the period	$ (84)	$ (109)

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CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands, shares in Millions	Jun. 30, 2015	Dec. 31, 2014
CONDENSED CONSOLIDATED BALANCE SHEETS
Accounts and notes receivable, allowance for doubtful accounts (in dollars)	$ 4,192	$ 4,251
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	199.0	199.0
Common stock, shares issued	87.0	86.3
Treasury stock, shares	24.2	24.3

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GOODWILL AND OTHER INTANGIBLE ASSETS

6 Months Ended

Jun. 30, 2015

GOODWILL AND OTHER INTANGIBLE ASSETS

GOODWILL AND OTHER INTANGIBLE ASSETS

NOTE 3 – GOODWILL AND OTHER INTANGIBLE ASSETS

The changes in the carrying amount of goodwill since December 31, 2014 are as follows by reporting segment:

		Beauty +						Food +			Corporate
		Home			Pharma			Beverage			& Other			Total
Balance as of December 31, 2014
	Goodwill	$	171,149		$	141,592		$	17,000		$	1,615		$	331,356
	Accumulated impairment losses	--			--			--			(1,615		)	(1,615		)
		$	171,149		$	141,592		$	17,000		$	--		$	329,741
Foreign currency exchange effects		(3,947		)	(8,799		)	(515		)	--			(13,261		)
Balance as of June 30, 2015
	Goodwill	$	167,202		$	132,793		$	16,485		$	1,615		$	318,095
	Accumulated impairment losses	--			--			--			(1,615		)	(1,615		)
		$	167,202		$	132,793		$	16,485		$	--		$	316,480

The table below shows a summary of intangible assets as of June 30, 2015 and December 31, 2014.

		June 30, 2015							December 31, 2014
Weighted Average		Gross							Gross
Amortization		Carrying		Accumulated			Net		Carrying		Accumulated			Net
Period (Years)		Amount		Amortization			Value		Amount		Amortization			Value
Amortized intangible assets:
Patents	7	$	15,743	$	(15,711	)	$	32	$	17,001	$	(16,852	)	$		149
Acquired Technology	15	32,891		(7,675		)	25,216		35,701		(5,950		)	29,751
License agreements and other	5	31,056		(20,214		)	10,842		32,804		(22,659		)	10,145
Total intangible assets	9	$	79,690	$	(43,600	)	$	36,090	$	85,506	$	(45,461	)	$	40,045

Aggregate amortization expense for the intangible assets above for the quarters ended June 30, 2015 and 2014 was $1,085 and $1,369, respectively.  Aggregate amortization expense for the intangible assets above for the six months ended June 30, 2015 and 2014 was $2,166 and $2,767, respectively.

Future estimated amortization expense for the years ending December 31 is as follows:

2015	$	2,055	(remaining estimated amortization for 2015)
2016	3,743
2017	3,317
2018	3,317
2019 and thereafter	23,658

Future amortization expense may fluctuate depending on changes in foreign currency rates.  The estimates for amortization expense noted above are based upon foreign exchange rates as of June 30, 2015.

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RETIREMENT AND DEFERRED COMPENSATION PLANS (Tables)

6 Months Ended

Jun. 30, 2015

RETIREMENT AND DEFERRED COMPENSATION PLANS

Components of net periodic benefit cost

	Domestic Plans						Foreign Plans
Three months ended June 30,	2015			2014			2015			2014
Service cost	$	2,504		$	2,010		$	1,139		$	1,081
Interest cost	1,589			1,482			412			699
Expected return on plan assets	(1,897		)	(1,646		)	(447		)	(510		)
Amortization of net loss	1,351			717			418			313
Amortization of prior service cost	--			--			64			80
Net periodic benefit cost	$	3,547		$	2,563		$	1,586		$	1,663

	Domestic Plans						Foreign Plans
Six months ended June 30,	2015			2014			2015			2014
Service cost	$	5,008		$	4,021		$	2,299		$	2,160
Interest cost	3,178			2,964			832			1,398
Expected return on plan assets	(3,795		)	(3,292		)	(902		)	(1,020		)
Amortization of net loss	2,702			1,434			843			626
Amortization of prior service cost	--			--			129			161
Net periodic benefit cost	$	7,093		$	5,127		$	3,201		$	3,325

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INCOME TAXES UNCERTAINTIES (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
INCOME TAX UNCERTAINTIES
Income tax uncertainties	$ 5.7	$ 6.4
Change in income tax uncertainties	0.7
Amount of income tax uncertainties that, if recognized, would impact the effective tax rate	5.5	$ 6.3
Decrease in liability for uncertain tax positions, high end of range	$ 5.1
Number of months, in which liability for uncertain tax positions will decrease	12 months

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EARNINGS PER SHARE

6 Months Ended

Jun. 30, 2015

EARNINGS PER SHARE

EARNINGS PER SHARE

NOTE 13 – EARNINGS PER SHARE

AptarGroup’s authorized common stock consists of 199 million shares, having a par value of $.01 each.  Information related to the calculation of earnings per share is as follows:

	Three months ended
	June 30, 2015				June 30, 2014
	Diluted		Basic		Diluted		Basic
Consolidated operations
Income available to common shareholders	$	57,539	$	57,539	$	53,076	$	53,076
Average equivalent shares
Shares of common stock	62,697		62,697		65,328		65,328
Effect of dilutive stock based compensation
Stock options	1,550		--		2,103		--
Restricted stock	29		--		7		--
Total average equivalent shares	64,276		62,697		67,438		65,328
Net income per share	$	0.90	$	0.92	$	0.79	$	0.81

	Six months ended
	June 30, 2015				June 30, 2014
	Diluted		Basic		Diluted		Basic
Consolidated operations
Income available to common shareholders	$	102,710	$	102,710	$	101,465	$	101,465
Average equivalent shares
Shares of common stock	62,496		62,496		65,397		65,397
Effect of dilutive stock based compensation
Stock options	2,075		--		2,616		--
Restricted stock	32		--		29		--
Total average equivalent shares	64,603		62,496		68,042		65,397
Net income per share	$	1.59	$	1.64	$	1.49	$	1.55