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December 16, 2008

Contents
Out of the Box: Industry News
New Products and Equipment Orders
News from TAPPI


Sponsored by
TAPPI Corrugated Packaging Division

Additional Resources

For information on sponsoring this newsletter or other sponsorship opportunities with TAPPI, contact Eric Fletty at efletty@tappi.org or by calling +1 770-209-7535.

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OUT OF THE BOX

THE PAPERBOARD PACKAGING COUNCIL (PPC), Springfield, Mass., USA, has published "Trends 2008," an in-depth analysis of what lies ahead for the paperboard packaging industry through 2012. The complete report is available only to PPC members, but for the first time a summary report will be published and made available to the public.

The new report is organized into three key sections covering business conditions, the folding carton industry outlook, and end-use markets. The end-use markets section presents forecast and trends analysis for 17 key market segments. "The economy, and more specifically the direction the economy will take, is the number one issue of today and will be every day for the foreseeable future," said Ben Markens, president of PPC. "This report will help make it possible to plan for tomorrow's industry economic realities with greater degrees of certainty and understanding."

For more information about "Trends 2008," or to order the summary report, contact Cindy Healy, PPC director of industry information and research, at 413.686.9184 or cindy@ppcnet.org.

IN OTHER PPC NEWS, the council has announced its 66th annual National Paperboard Packaging Competition. Each entry in this year's competition has the opportunity to compete in three categories. All entries will compete for the Paperboard Package of the Year. Entrants can also choose to have their package compete for the Innovation Award, recognizing outstanding design based on processing and structural integrity, and the all-new Eco Award, celebrating sustainable uses of paperboard as an original or replacement substrate. Members' first entries are free. The entry deadline is Friday, January 9. Entry forms and complete competition details are available on the PPC website. Winners will be announced at PPC's Outlook & Strategies conference, March 18 - 20, 2009, in Atlanta, Ga.


CARAUSTAR INDUSTRIES, Atlanta, Ga., USA, permanently closed its Richmond Paperboard mill in Richmond, Va., effective December 11. The Richmond mill is an uncoated recycled boxboard (URB) manufacturing facility with an annual capacity of 4,000 tons. The company also announced that, effective December 19, it will idle the Carolina Paperboard mill in Charlotte, N.C. The Carolina mill is a URB manufacturing facility with an annual capacity of 62,000 tons. The company will continue to monitor its product demand and expects to determine by the end of the first quarter 2009 when it will restart URB production at the Carolina mill. Closure of the Richmond mill will affect some 52 salaried and hourly employees.


Richmond Mill has the capacity to produce 49,000 tpy of uncoated board grades


CHRISTIAN BROTHERS UNIVERSITY (CBU), Memphis, Tenn., USA, has issued a call for presentations at the 2009 Mid-South Annual Engineering and Sciences Conference (MAESC) to be held on campus May 5, 2009. MAESC 2009 will be a one-day conference, with an entire track focused on safety concerns, the theme of the conference. Other tracks will be designed for technical presentations in the various areas of engineering and the sciences. The abstract deadline is January 30. Paul Shiue, technical program chair, can be contacted at pshiue@cbu.edu or 901-321-3424. Pong Malasri, CBU professor, civil & environmental engineering and packaging activities coordinator, is conference co-chair. More information, including an abstract template, is available on the MAESC website. One-page abstracts in word format can be submitted directly to abstract@cbu.edu.


CROWN HOLDINGS, Philadelphia, Pa., USA, reports that Alan Rutherford this week stepped down as CFO, and that Timothy Donahue has been promoted to executive VP and CFO. The company also announced that Thomas Kelly has been promoted to senior VP and corporate controller. Rutherford will continue to serve as vice chairman of the board of directors and as executive VP of the company, a position he expects to retire from at the end of March 2009 (he will remain a member of the board after his retirement). Donahue was formerly senior VP-Finance, a position he had held since 2000. Kelly will be responsible for the company's tax department, in addition to his current internal and external financial reporting, budgeting, and forecasting responsibilities. He previously was VP and corporate controller.


DELL, Round Rock Texas, USA, today reported that it is implementing a plan "to simplify and revolutionize computer packaging" that will result in estimated savings of more than $8 million and the elimination of some 20 million lb of packaging material over the next four years. The company says it will reduce desktop and laptop packaging materials by about 10% worldwide, increase sustainable content in cushioning and corrugated packaging by 40%, and ensure that 75% of packaging components are curbside recyclable by 2012. The company points out that it is integrating air-filled cushion technology and renewable materials including molded pulp cushions and 100% recycled HDPE thermo-formed cushions. Through its MultiPack server-packaging option, the company says it is helping customers save time and simplify server installations by eliminating up to half of the packaging materials and waste that results during typical installations.


DOMTAR CORP., Montreal, Qué., Canada, reports that it has joined the Chicago Climate Exchange (CCX). In doing so, the packaging company made a voluntary, legally-binding commitment to achieve an absolute greenhouse gas emission reduction of 6% below its emission levels in the year 2000, by the end of 2010. Domtar notes that it has already reduced fossil fuel use by 21.3% from 2002 to 2007, increasing the use of renewable energy to approximately 79% and reducing greenhouse gas emissions by 21.6% over the same period. CCX is North America's only active voluntary, legally-binding cap-and-trade system aimed at the registry and reduction of greenhouse gas emissions, with offset projects worldwide.


DURO BAG MANUFACTURING CO., Cincinnati, Ohio, has named John Gillen president and COO of Duro Standard Products Co. Gillen, a 22-year veteran senior executive, most recently served as president for Stora Enso North America. At Duro Bag, Gillen is responsible for managing all aspects of manufacturing, marketing, and sales for Duro Standard Products, the business that produces and markets the majority of the company's paper bags. Duro Bag is the world's largest manufacturer and marketer of paper bags and luxury paper bags.


FEFCO (European Federation of Corrugated Board Manufacturers), Brussels, Belgium, has appointed Bob McLellan as its new president, succeeding John Williams, who has accepted a new position as president and CEO at Domtar, Montreal, Canada. McLellan has been with DS Smith PLC for the past 14 years. He is currently CEO of the Packaging division of DS Smith in the UK (since 2001) and previously was with Reed Corrugated Cases. McLellan has been actively involved in association work and is currently president of the Confederation of Paper Industries (CEPI) in the UK covering Paper, Corrugated, Recovered Paper, and the Tissue Sector. He has been on the FEFCO Board for five years, and was voted "CEO of the year" in 2007 by the UK Packaging industry. The FEFCO General Assembly also elected Phil Almond, president of SCA Packaging Europe, as its VP and Treasurer.


IGGESUND PAPERBOARD, Sweden, reported this week that it has developed a bioplastic coating for its Invercote paperboard, which means that the product "can now be supplied with a barrier that is biodegradable and is also made from a renewable source." Uses include food packaging and drinking cups. Iggesund said it has already received its first order for the new paperboard, which is bioplastic-coated at the company's paperboard finishing department at Strömsbruk, Sweden. The most common barrier material in paperboard packaging is polyethylene, a plastic that is neither bio-based nor biodegradable. The bioplastic that Iggesund is now using meets the European standard EN 13432 for compostability. Current prices for bioplastics are significantly higher than the cost of PE but are expected to fall when availability increases as more and larger production facilities startup, the company notes.


MWV AGI MEDIA, The Netherlands, a MeadWestvaco company, plans to close its Uden facility in the Netherlands. The Uden plant manufactures paper-based packaging for the media and entertainment industry. The facility is expected to discontinue operations by February. Some production will transfer to other MWV AGI Media plants, and the company says its capacity to meet customers' needs will not be affected. The Uden facility employs approximately 60 people.


SMURFIT-STONE CONTAINER CORP., Chicago, Ill., USA, has elected Steven Klinger, president and COO, to its board of directors. Klinger joined the company in May 2006 from Georgia-Pacific, where he most recently served as executive VP of packaging, pulp, and global procurement. He has served on the board of directors of the International Corrugated Case Association and is also a former chairman of the board of the Fibre Box Association.


SONOCO, Hartsville, S.C., USA, is permanently closing its Rockton, Ill., uncoated recycled paperboard mill. Located at 200 Hawick St., the mill has the capacity to produce some 38,000 tpy of paperboard used primarily to supply coreboard and edgeboard markets. The plant closure will impact 44 employees. Following the closure, Sonoco will operate 22 uncoated recycled paperboard mills and 32 paper machines globally, including 12 mills and 20 machines operated in the U.S. and Canada. Earlier this year, the company closed its 48,000-ton Montreal, Canada, uncoated recycled paperboard mill and closed a smaller 5,000-ton specialty paperboard machine at its Holyoke, Mass., mill.

IN OTHER SONOCO NEWS, the company has been awarded a contract to manage all European promotional packing requirements for Colgate-Palmolive's oral care products. Sonoco's pack center will be located in Wroclaw, Poland, which is near Colgate's newly established oral care manufacturing facility in Swidnica. Sonoco will provide a number of services at the new pack center, including program management, materials purchasing, as well as warehouse and distribution management." Colgate-Palmolive and Sonoco expect operations at the new pack center to begin in early 2009.


New Products and equipment orders

MOHAWK FINE PAPERS, Cohoes, N.Y., USA, has launched Renewal Folding Board 80% PC White, an FSC-certified folding boxboard with the highest PCW (post consumer waste) content available. Mohawk Renewal's initial product launch will be 18-point board. Mohawk explains that although larger boxes are typically constructed from heavier board, the majority of packaging production uses 18-point board for luxury items such as cosmetics, bath products, jewelry, gift boxes, and CD cases, as well as business collateral such as portfolios and pocket folders.


TAPPI News

Plan now for Sino-Corrugated 2009
With a projected show area up to 600,000 square feet, Sino-Corrugated 2009 is set to become one of Asia's largest packaging shows. Sino-Corrugated 2009 will be held at Shanghai New International Expo Center from April 7 to April 10, 2009. As a biennial global event in the corrugated industry, Sino-Corrugated will showcase exhibiting suppliers' competitiveness and give attendees access to the global packaging market. The 2009 edition will not only attract visitors from Southeast Asia, the Middle East, Africa and other areas with medium and low-end demands, but will also invite competitive buyers targeting medium- and high-end products from Europe, North America, Japan and South Korea. For more information visit the Sino-Corrugated 2009 website.


Don't miss TAPPI Press sale
TAPPI Press is having a year-end sale - and great titles of interest to corrugated packaging professionals are included. Order before December 31, 2008 to get special discounts like these: Many other titles in converting, packaging, and papermaking are available, including TAPPI's popular Papermaking Science and Technology Book Series, which is offering 50% savings on selected titles. View the complete list of sale items and place your order while you can!


Next month: Flexography Basics for Corrugated
Date: January 21-23, 2009
Venue: PrintCon Corrugated Labs, Clemson University
Location: Clemson, South Carolina, USA
A great course for packaging pros! This targeted seminar provides an in-depth overview of the major elements required to produce quality direct print on corrugated with a focus on the challenges associated with flexographic printing on corrugated substrates and linerboard.

Combining lectures and hands-on breakouts, the program includes several press trials and numerous sessions on how to produce clean solids and line work as well as halftones and spot colors. Many typical troubleshooting issues will be addressed from dot gain and die cutting to proper graphic design for corrugated to ensure best results. This targeted course is co-sponsored by TAPPI and Clemson University.

Attendees will gain the tools required to make improvements in their plants, and the skills to better communicate with technical professionals including printing plant staff, suppliers and customers.

Online registration for the 2009 Flexography Basics for Corrugated seminar is now open; or, contact Kristi Ledbetter at kledbetter@tappi.org for more information.


Coming in February: Printing Enhanced Graphics on Corrugated Substrates
Date: 2/25/2009 to 2/27/2009
Venue: PrintCon Corrugated Labs, Clemson University
Location: Clemson, SC USA
This seminar teaches what is required for printing enhanced graphics on combined corrugated board through a balanced mix of presentations and hands-on sessions.

Led by industry experts and Clemson's training staff, you'll experience the entire flexographic printing process for corrugated from press components, fingerprinting, color separations to platemaking and proofing. Learn how to plan a print job all the way through by making color decisions learned from press capabilities and using contract digital proofs.

Online registration for the 2009 Printing Enhanced Graphics on Corrugated Substrates seminar is now open; or contact Kristi Ledbetter at kledbetter@tappi.org for more information


Revisit SCE '08 online
Did you miss SuperCorrExpo '08? Experience the highlights online by reading the recap, viewing session materials, or downloading the 2008 Show Dailies.

The SuperCorr'08 Show Dailies for September 23 and September 25 are available for downloading from the TAPPI website - a great resource for those who may have missed the big event, and a handy remembrance for those who were in attendance. Sessions available include Energy Saving Ideas, Project Commissioning Techniques, and more.

You can also view the winners of the CorrPak® 2008 Competition. CorrPak® 2008 recognizes the finest commercially produced corrugated package products manufactured between August 15, 2006 and August 1, 2008.

So whether you'd like to see what you missed, or relive the happy memories of attending, visit the SuperCorr'08 website today!


TAPPI Members reap energy savings
TAPPI's utility cost reduction affiliate, Power Systems Group, is beginning a pilot program with pulp, paper, and converting operations to offer utility cost reduction services and energy industry information. These services will be offered on a pay-for-performance basis at a significantly discounted rate for TAPPI Members.

Power Systems Group's focus is to create competitive alternatives to drive down the rate and unit cost paid by commercial and industrial end-users of electricity, natural gas, and competing fuels. In short, the company will help you save money on energy costs. Combined with the TAPPI Member discount on services, it's a great benefit! Members can learn more about the PSG benefit by logging in at www.tappi.org and selecting My TAPPI.


Save these important dates
It's not too early to begin making plans for the 2009 CorrExpo at the Hyatt Regency Hotel in Chicago, Illinois, Sept 1 - 3, 2009. You won't want to miss your chance to recharge and reconnect with your industry colleagues.

SuperCorrExpo only comes around every four years, so you'll want to mark your calendars now! Dates have already been set for SuperCorrExpo 2012 at the Georgia World Congress Center in Atlanta, October 1 - 5, 2012. We hope to see you at BOTH of these events.


Corrugated Packaging Division Calendar of Events

January 21 - 23, 2009
Flexography Basics for Corrugated - TAPPI/Clemson Seminar Series
Clemson University, Clemson, SC

February 25 - 27, 2009
Printing Enhanced Graphics on Corrugated Substrates - TAPPI/Clemson Seminar Series
Clemson University, Clemson, SC

April 7 - 10, 2009
2009 Sino-Corrugated Conference & Exhibit
Shanghai New International Expo Center
Shanghai, China

Sept 1 - 3, 2009
2009 CorrExpo Conference and Exhibit
Hyatt Regency Chicago

 

 

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