July 21, 2009
Contents
Out of the Box: Industry News
New Products and Equipment Orders
News from TAPPI
New Products and Equipment Orders
News from TAPPI
Sponsored by
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.
Explore TAPPI's updated website for the latest in news, products and services, and all of your member needs at www.tappi.org.
TAPPI assumes no responsibility for statements of fact and opinion; they are not intended nor should they be construed as a solicitation of or suggestion by TAPPI for any agreed-upon course of conduct or concerted action of any kind.
Tell a friend to subscribe to TAPPI CI E-Corr or send a blank email to subscribe-ci_ecorr@list.tappi.org.
Explore TAPPI's updated website for the latest in news, products and services, and all of your member needs at www.tappi.org.
TAPPI assumes no responsibility for statements of fact and opinion; they are not intended nor should they be construed as a solicitation of or suggestion by TAPPI for any agreed-upon course of conduct or concerted action of any kind.
Tell a friend to subscribe to TAPPI CI E-Corr or send a blank email to subscribe-ci_ecorr@list.tappi.org.
OUT OF THE BOX
THE EARLY BIRD CUT OFF FOR CORREXPO 2009 registration is August 1st and cut off for the hotel is August 2nd. Details on the expanded program for this September 1-2 conference in Chicago, Ill., USA, are included in the TAPPI News section below, along with information to take advantage of the special “one low price” registration package for box plants. Information about the conference exhibit and the CorrExpo Golf Tournament on August 31 is also available in the TAPPI News section of this issue.
CONTAINERBOARD producers appear to have weathered the recession in remarkable fashion, says Mark Wilde, senior analyst at Deutsche Bank, adding that while he thinks prices will remain stable in July, he is not convinced they have yet bottomed for the cycle. In a poll of a variety of trade contacts, Wilde said that most boxmakers and containerboard brokers pointed to continued sluggish volumes over the past two to three weeks. Thus, an autumn price hike in the wake of weak demand and low input costs is hard to reconcile, he warns, adding that, realistically, he believes the first shot at a price increase is probably February/March of 2010. Wilde does not expect more consolidation moves in the containerboard sector during the next two to three years.
CPA (the Corrugated Packaging Alliance), co-sponsored by the American Forest and Paper Association, the Association of Independent Corrugated Converters, and the Fibre Box Association, will bring an important message about corrugated's sustainability to the Food Marketing Institute (FMI)'s second annual Sustainability Summit August 17-19, in San Francisco, Calif., USA. CPA is in the process of finalizing a report on the U.S. corrugated industry's first-ever life-cycle analysis (LCA), detailing corrugated packaging's impact on the environment. At the same time, updated data has been compiled that supports the industry's economic and social sustainability as well, in keeping with current models of sustainable business. Research was conducted for CPA with stakeholders (packaging buyers, end-users including retailers, and influencers such as NGOs) and used to guide development of new communications materials supporting corrugated's positive sustainability story. At the FMI Sustainability Summit, CPA will introduce the first of the new industry communication pieces in a brand-new brochure titled "Responsibility Starts Here."
ENERGY OPPORTUNITIES IN THE N.A. PULP AND PAPER INDUSTRY, a new market report available from TAPPI and BDA (Business Development Advisory), examines:
- New business and development opportunities for suppliers of energy-related equipment and services
- The potential for expanded energy production and the development of energy islands, biorefineries, and energy sales to the grid
- Regions, industry segments, facility types, and process areas that offer the best energy development opportunities
- How much and what types of fuel are consumed by segment and how this mix will change over the next five years.
HAMBURGER HUNGÁRIA KRAFT CONTAINERBOARD has started up its new PM 7 at Dunaújváros, Hungary, "fast and perfectly on schedule." The packaging paper machine supplied by Voith produced the very first 90 g/m˛ paperboard with a record speed of 1,225 m/min. With a wire width of 8,600 mm, PM 7 is designed for a speed of 1,500 m/min. With a production capacity of 400,000 metric tpy on 100% recycled stock, the machine produces corrugating medium and testliner in a basis weight range of 70 - 150 g/m˛. The entire production line, from stock preparation to reel, uses Voith's One Platform Concept. The DuoFormer Base gap former is equipped with a MasterJet M2 two-layer headbox with ModuleJet dilution water control. The DuoCentri-NipcoFlex press has QualiFlex press sleeves, and the dryer section is basically single-tier (the last group is double-tier). The SpeedSizer AT film coating unit provides uniform application on both sides, while the MasterReel provides a 7,900 mm wide web, permitting maximum roll diameters of 4,000 mm. The Voith deliveries also include an extensive automation package.
Startup crew celebrates first complete reel on PM 7
LONGVIEW FIBRE PAPER AND PACKAGING CO., Longview, Wash., USA, reportedly is beginning to hire again after cutting its work force by 40% over the past two years, according to a recent report in the Seattle Times, Seattle, Wash. The newspaper reports that the company has hired some 25 workers (mainly former employees) due to "improving sales," and plans to add another 20 or so by the end of 2009. The mill currently employs about 1,020 people, up from approximately 1,000 at the beginning of 2009. It employed some 1,700 in 2007, when it was bought by Toronto-based Brookfield Management Associates.
Richmond Times-Dispatch Photo MEADWESTVACO's new headquarters building in downtown Richmond, Va., USA, is nearing a fall completion. According to a recent report in the Richmond Times-Dispatch, the new nine-story building overlooking the James River will be ready for occupancy (some 600 employees) late this year. The move will be made in stages, according to company spokesperson Alison von Puschendorf, with some moving in December and some in early 2010. The building is being constructed as a "green" or environmentally-friendly project. For example, terrazzo floors in the building are made from recycled material. Some 95% of the construction debris has been recycled, and the building will use natural lighting to reduce energy consumption, according to the news report.
IN OTHER MEADWESTVACO NEWS, members of USW Local 8-675 at the company's Covington, Va., USA, paperboard mill have voted in favor of a proposed new labor contract. The new agreement includes $2,600 in cash bonuses and more than 16% in general wage increases during its six-year term. Improvements to the defined benefit pension plan raise the multiplier to $58 per month for each year of service, meaning that an employee who retires with 30 years of service would receive a monthly benefit of roughly $1,740 per month, a high-water mark for workers in the paper industry.
OWENS-ILLINOIS, Perrysburg, Ohio, USA, has named Paul Wang as its managing director in China. Wang joins O-I from International Paper, where he held a number of senior level positions in sales and marketing, business development, government relations, and general management. He will be located in Shanghai and will assume responsibility for all of the company's operations in China, and will also support global operations through low cost strategic sourcing from China through O-I's China Trading Co. and Tianjin Mould Co. A top priority will be accelerating O-I's growth strategy in China, including organic growth and merger and acquisition activity.
PAPERWORKS INDUSTRIES, Philadelphia, Pa., USA, the largest independent manufacturer of coated-recycled board in the U.S., and The Specialized Packaging Group, Hamden, Conn., USA, a global paperboard packaging design, engineering, and manufacturing firm, will merge their operations to form an integrated packaging business that ranks as the third largest integrated company in the coated recycled board market and among the top 10 folding carton companies in the U.S. The combined company will be owned by an affiliate of Sun Capital Partners, Boca Raton, Fla., USA, a private investment firm. PaperWorks, which operates mills in Philadelphia and Wabash, Ind., produces some 300,000 tons of 100% clay-coated recycled paperboard annually. It serves the frozen foods, household goods, oral care, beverage, and general purpose folding carton industries. The Specialized Packaging Group operates five facilities in North America, including Baldwinsville, N.Y., Greensboro, N.C., Kansas City, Kans., and Lenexa, Kans., in the U.S., and London, Ont., Canada. The company targets medium to long runs of paperboard packaging for high-end graphically complex products in the dry laundry detergent, oral care, surface care, personal care, home storage, and pet care consumer products segments.
100% RECYCLED PAPERBOARD ALLIANCE, Washington, D.C., USA, reports that it had a record number of new licensees in the first six months of this year. Through June 30, 18 U.S. brand owners signed a license agreement with the RPA-100% granting them the right to display the RPA-100% symbol on their packaging. In making the announcement, Paul Schutes, executive director, commented that "this puts our organization on a pace to add 40 new licensees by the close of 2009, exceeding any previous year's total new licensees and exceeding our goal for this year." The new licensees, which include companies such as Harland Check, Nestle' Purina Petcare, and Snyder's of Hanover, are using 100% recycled paperboard to package organic foods, pet food, snacks, office supplies, and even to manufacture coffee cup insulating sleeves. Currently more than 150 companies have signed licensing agreements to display the symbol and be RPA-100% partners. More information on licensing the symbol is available on the RPA-100% website.
SAICA (Sociedad Anónima Celulosa Aragonesa) workers have reportedly ended a major strike at the Spanish packaging giant's Zaragoza and El Burgo de Ebro mills in Spain, according to several news sources. The workers had launched the unlimited strike after 11 co-workers were dismissed when Saica decided to outsource its spare parts services.
SMURFIT-STONE CONTAINER CORP., Chicago, Ill., USA, reports that four of its facilities received top honors and a total of 34 were recognized for outstanding safety achievement at the Pulp & Paper Safety Association's (PPSA) 66th annual Safety and Health Conference. Smurfit-Stone's Richmond-North, Va., container plant and Seattle, Wash., recycling plant were recognized with "Best One-Year Safety Record" awards for having the lowest incident rates in their categories in 2008 as defined by the U.S. Occupational Safety and Health Administration (OSHA). Both plants completed the year without any injuries. The company's Coshocton, Ohio, containerboard mill and Ft. Lauderdale, Fla., recycling plant received "Most Improved" awards for having the most improved incident rates in their categories compared with their weighted average over the previous three years. Smurfit-Stone completed its safest year in company history in 2008 by achieving a 0.94 recordable case rate (RCR), or less than one recordable injury per 100 full-time employees.
TETRA
PAK, Lausanne, Switzerland, today inaugurated its new packaging material
plant in Hohhot, Northern China, which operates completely on power from
renewable resources, often referred to as "green electricity." The company
invested EUR 60 million to build the plant, its most advanced aseptic carton
manufacturing facility worldwide, bringing its total investment in China
to EUR 250 million, with a total capacity of approximately 50 billion packs
a year in its four plants in that country. The Hohhot facility is the first
manufacturing plant in Inner Mongolia and among the first in China to exclusively
use green electricity. The plant consumes an estimated 20 million kwh of
green power annually, which corresponds to an estimated saving of 16,000
metric tons of CO2 per year. The green electricity supplied to Tetra Pak
comes primarily from wind power. New Products and Equipment Orders
BILLERUD, Stockholm, Sweden, recently launched Pure Board, a white board made exclusively of primary fiber to meet strict hygiene requirements in paper packaging for drinks and liquid food. Used to make paper cups, paper plates, lunch boxes, and products that come into direct contact with cooked meals and drinks, Pure Board is available in different PE coatings on one or two sides, which ensures a reliable liquid barrier. The exclusive use of primary fiber produces a pure material better suited to contact with food than paper based on recycled fiber, according to Billerud. The new product is being produced at the company's Gruvön mill in Sweden, which in addition to being FSC and PEFC certified, also has BRC/IoP hygiene certification.
ALCAN PACKAGING, a business unit of U.K.-based Rio Tinto Alcan, and U.S.-based Procter & Gamble were recently honored with a top prize for their Prilosec OTC Pack at the 21st DuPont Awards for Packaging Innovation in Montreal, Que., Canada. The OTC Pack was recognized for its cost effectiveness and enhanced performance. The extended sustainability-oriented redesign made the packaging easy to open, senior-friendly, and child-resistant. John Eadicicco of P&G notes that "the redesigned package came as a result of consumers telling us that they found it hard to use the peel-push primary pack. We partnered with Alcan Packaging to develop this innovative, easier- to-use, and sustainable product. The result is good for our consumers, the environment, and our company as we are reducing our packaging materials by 800,000 lb a year."
TAPPI News
CorrExpo 2009: Expanded program, limitless opportunity
Date: September 1-2, 2009
Venue: Hyatt Regency Chicago
Location: Chicago, IL
With a strong technical program and growing anticipation within the packaging community, exhibitors have responded enthusiastically to CorrExpo 2009 [www.correxpo.org]! Check out this latest information:
Expanded Conference Program: An amazing technical program will be a highlight of CorrExpo 2009. New this year will be sessions featuring management topics, in addition to several general sessions that will be relevant to any member of a box plant or converting facility. The popular technical breakouts will again be included this year. Program highlights include:
- Keynote address by Bill Sweeney, Executive Vice President, Corrugated Products, Packaging Corporation of America
- Opening remarks from TAPPI President Larry Montague and welcome message from TAPPI Corrugated Division Chair Richard White of MarquipWardUnited
- Corrugated industry financial overview by Dick Storat, Storat and Associates followed by remarks from several representatives from the financial community
- Specialty folder gluer techniques
- Technical breakout sessions including troubleshooting for singlefacers and die cutting, quality checks and print quality improvements
- Technology showcase on what's new
- Advice to delegates on how to position their companies for the economic recovery
- Sustainability impact
Registration special: TAPPI once again will offer a special registration package to all box plants. "Box plants may send as many employees to the technical training workshops as they want, for one low price," says Kristi Ledbetter, TAPPI Converting Division Manager. "We plan to offer several small group workshops that will address more advanced topics and will extend for more than twice the amount of time than in previous years. This will allow attendees to receive more advanced training and dive into topics of interest. We have also added a management track this year to expand the audience appeal." Register online today.
Exhibit space: Industry suppliers are moving to ensure their spots at this important event - exhibit space is already more than 50% sold out. Current and prospective exhibitors are demonstrating strong interest, and space sales are well ahead of figures from 2007's successful show. The CorrExpo 2009 exhibit offers an engaging, personal atmosphere, with no booth size larger than 10x20 feet. This environment makes the show easy to navigate for attendees and offers suppliers "equal opportunity" exposure for a remarkably affordable financial commitment.
To date, over 90 suppliers have reserved exhibit space. The CorrExpo 2009 Floor Plan and Exhibitor Application are both available online. For exhibit and sponsorship information contact Linda Cohen at 914-944-0135 or lcohen@tappi.org
CorrExpo Golf Tournament
Date: Monday, August 31, 2009
Venue: Klein Creek Golf Course
Location: Winfield, IL
Help kick off this year's CorrExpo annual conference by participating in the CorrExpo Golf Tournament. Combine this enjoyable social outing with the educational program offered at CorrExpo and the opportunity to see customers and suppliers at the CorrExpo exhibit. A box lunch and bus transportation will be provided from the Hyatt Regency Hotel to the course. Following the last foursome there will be an awards ceremony at the club house. Applications for sponsorships are available online or contact Kristi Ledbetter 770-209-7319 with questions.
9th Annual Chicago TAPPI Golf Outing
Date: Tuesday, August 18th, 2009
Venue: Ruffled Feathers Golf Club
Location: Lemont, IL
At the Chicago TAPPI Golf Outing, you will have a great time golfing and networking with a group devoted to the corrugated packaging arena. Dinner and a prize drawing will follow golfing. Ruffled Feathers Golf Club is located in Lemont, IL, and is an enjoyable course for seasoned pros and beginning golfers alike. (Golf course phone number: 1 630-257-2299.) A block of rooms will be reserved for golf outing guests at the Willowbrook Holiday Inn.
Sponsorship opportunities are also available. To learn more about this fun and popular event, contact Marilyn Beach at mbtappi@comcast.net or (708) 469-7087. See you there!
2009 Flexble Packaging Symposium
Date: November 10-11, 2009 Location: Mumbai, India
AND
Date: November 13-14, 2009
Location: New Delhi, India
A first for India! In recognition of India being one of the emerging leaders in the flexible packaging industry, the 2009 Flexible Packaging Symposium will be held in India for the first time. The symposium will be designed for professionals from all areas of the flexible packaging and converting industries.
The 2009 Flexible Packaging Symposium is co-hosted by. the TAPPI PLACE Division; the Paper, Film & Foil Converters' Association (PFFCA); and The South Indian Education Society - School of Packaging (SIES-SOP), one of the oldest educational societies in Mumbai. For more information, please contact PLACE Division Technical Program Chair Bruce Foster at bfoster@mica-corp.com or Kristi Ledbetter at TAPPI, kledbetter@tappi.org, or +1.770.209.7319.
TAPPI
PRESS Featured product:The Future of Folding Cartons to 2012
Author/Publisher: PIRA
List Price: $4822
TAPPI Member Price: $4581
Product code: RPTFOLD12
Demand for folding cartons is expected to grow at over 5% per year, reaching over 24 million tonnes by 2012 -- worth nearly $40 billion at today's prices. The Future of Folding Cartons is the essential guide to this growing industry, with in-depth data and analysis on the major players and key drivers, quantitative market sizes and forecasts to 2012, and information on the latest value-added innovations.
This definitive report on the global folding cartons market is based on an exhaustive combination of desk research and fieldwork, and is focused heavily on primary sources, including interviews with leading players in the folding carton supply chain. It includes more than 180 tables and figures illustrating quantitative market sizes and forecasts to 2012 by end-use sector and country; plus analysis of the latest value-added innovations including retail-ready, active and diagnostic packaging, RFID and printed electronics, coatings and inks.
TAPPI Members SAVE more than $200 on this valuable publication - order it online today through our secure website, or check our list of new releases for other great titles from TAPPI PRESS.
FBA & TAPPI Help you benchmark plant performance
TAPPI and the Fibre Box Association (FBA) are offering this updated FBA/TAPPI Productivity and Waste Survey, which provides useful benchmarking data that is otherwise unavailable from any other source. With the information provided in this report, companies can evaluate their productivity, waste and starch consumption data against participating plants. Surveying top performers, it includes information on machinery and labor operations, as well as waste from box plants from primarily U.S. operations as well as several international plants.
For more information on the Productivity and Waste Survey, or to order your copy today, contact Peggy Lacy, FBA Director of Data Services at placy@fibrebox.org or 847-364-9600.
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.
Look your best with TAPPI & PIMA gear
Whether you're at the plant, visiting customers, or hitting the links, make sure everyone knows you're a TAPPI supporter. New TAPPI logo merchandise looks good and lets potential contacts know that you're serious about your commitment to our industry.
This collection of quality apparel includes polo shirts, woven shirts, caps, and wind shirts. Now available: Eagle Dry Goods Classic Polo Shirts, Eagle Dry Goods Classic Twill Shirts, Harriton Brand Caps, Harriton Brand V-Neck Microfiber Pullover Wind Shirt, and more. Visit the TAPPI Bookstore for easy, online ordering.
Save these important dates
It's not too early to begin making plans for the 2009 CorrExpo [www.correxpo.org] at the Hyatt Regency Hotel in Chicago, Illinois, Sept 1 - 2, 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
Sept 1 - 2, 2009
2009 CorrExpo Conference and Exhibit
Hyatt Regency Chicago
TAPPI is the leading technical association for the worldwide pulp, paper, and converting industry.
15 Technology Parkway South
Norcross, GA 30092
1-800-332-8686 (US), 1-800-446-9431 (Canada), +1 770-446-1400. www.tappi.org
© 2009, TAPPI's Corrugating International*E-Corr. All Rights Reserved.
Please read our Privacy Policy.