Shares in Rexam were up on the FTSE 100 in morning trading after the consumer packaging company said it had successfully completed contract negotiations for its North American Beverage Can business.

Rexam said that operating profit in the North American Beverage Can business is expected to be "comparable" with that in 2010 as new customers, cost cutting and new pricing offsets lower volumes.

The group said that following the contract negotiations it had diversified its customer base and had signed medium term contracts that would allow it to recover 2011's volume losses by 2013.

In addition Rexam's South American Beverage Can business has "grown strongly" and has signed a long term contract with one its largest customer in Brazil.

By 11:10 shares in Rexam were up 2.39 per cent on the FTSE 100 to 342.50 pence per share.