Ecorr October 10, 2006.

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	October 10, 2006 Contents Out of the Box: Industry News New Products and Equipment Orders News from TAPPI Sponsored by Additional Resources TAPPI BUYER'S GUIDE TAPPI CALENDAR OF EVENTS CORRUGATING INTERNATIONAL ALL MAGAZINE ARCHIVES JOIN TAPPI ONLINE SPONSORSHIP OPPORTUNITIES COMMENTS OR SUGGESTIONS 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. To unsubscribe send an email with no subject to lyris@list.tappi.org. Put ci-ecorr in the body. To unsubscribe send a blank email to leave-ci_ecorr_text-3967180O@list.tappi.org. 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 ACCO BRANDS CORP. reports that it has completed the previously announced divesture of its U.S. and Canadian Perma corrugated storage box brand businesses to Fellowes Inc., an Itasca-Ill.-based, global manufacturer and marketer of business machines, records storage solutions, and technology accessories. ALTIVITY PACKAGING is reportedly planning to install a new high speed sheeter at its folding carton plant in Fort Wayne., Ind. The new, $542,000 sheeter will boost the plant's capacity and overall competitiveness, according to a company spokesperson. The plant, formerly part of the Consumer Packaging Division of Smurfit-Stone Container, is now owned by San Francisco-based Texas Pacific Group Ventures. It has 131 employees FIBRE BOX ASSOCIATION recently donated more than 1,200 handbooks to the International Corrugated Packaging Foundation (ICPF) for use at colleges and universities with packaging curricula, creating a total of 2,700 donated books since 2005. The Fibre Box Handbook, redesigned in 2005, is a reference tool for designers, engineers, buyers, marketers, and students. A CD-ROM of the entire handbook is also included with each book. GREIF INC. announced that it has acquired Delta Petroleum Co. from Riverside Co. of Cleveland, Ohio. Grief, manufactures steel, plastic, fiber, corrugated, and multiwall containers, and protective packaging for a wide range of industries, as well as containerboard. Delta is the largest privately owned blender and packager of lubricants, chemicals, and glycol-based products in North America. It provides blending, filling and packaging, drumming, warehousing, distribution, and logistics services to a variety of clients. Terms of the deal were not disclosed. LONGVIEW FIBRE has appointed Steven Buhaly as senior VP and CFO, replacing 29-year company veteran Lisa McLaughlin, who has resigned to pursue other interests after serving as senior VP-finance, secretary and treasurer, and as a director since 1992. Buhaly was most recently a member of the senior management team at Planar Systems, serving as CFO from 2000-2005, with the additional title of COO from 2004-2005. MONDI PACKAGING is planning to reduce its corrugated board capacity 9% (or 200 million m2) by shutting down two corrugators, one in the U.K. and one in Belgium. The company says it has advised the workforce of its intentions to restructure the Scunthorpe, U.K., site (Mondi Packaging Hypac), closing one of two corrugators there. This will reduce capacity of the plant by approximately 100 million m2 of corrugated board per year, to around 120 million m2 annually. Despite a capital expenditure and restructuring program in 2005 aimed at returning the plant to a sustainable profit position, Mondi says it continues to under-perform due to overcapacity in the industry. The plant has some 270 employees, with 85 positions being at-risk from the closures. The other corrugated packaging plant being closed is at Houthalen, Belgium. As with the U.K. plant, a capital expenditure and restructuring program was launched at this plant in 2005, but it also continues to under-perform due to overcapacity in the industry. The facility has an annual capacity of approximately 100 million m2 of corrugated board and currently has about 110 employees. SCA has acquired the remaining 75% of Cool Logistics Ltd, a packaging company focused on protective packaging for transport of temperature-sensitive products, primarily for the pharmaceutical and biotech industries. The company says the acquisition is in line with SCA Packaging's strategy to focus on segments with high value content. The acquisition follows SCA's purchase of a 25% shareholding in Cool Logistics last year with an option to acquire the remaining 75%. The total purchase price for the entire company is GBP 7.4 million (approximately $13.9 million). Cool Logistics' has some 50 employees and is located in Leighton Buzzard, about 80 km north of London. SCA of Stockholm, Sweden, had approximately 50,000 employees at the beginning of 2006. SMURFIT KAPPA GROUP announced it has completed the disposal of eight facilities as required under the European Union approval of the merger of the operations of Jefferson Smurfit Group with Kappa Packaging. The eight facilities are: two graphic board mills in Holland, one solid board mill and converting operation in Holland, two corrugated facilities in Sweden, two corrugated facilities in Denmark, and one partition facility in Scotland. Total consideration for the eight facilities was approximately EUR 40 million. Net proceeds will be applied to debt reduction. SMURFIT-MBI's Edmonton facility in Alberta, Canada, was recently awarded the prestigious Work Safe Alberta Best Performance Award by Alberta Human Resources and Employment. The award is issued to only 350 companies out of Alberta's 128,000 operating businesses. Recognizing exceptional performance in the workplace, the award commended "ongoing commitment to ensuring the health and safety of Alberta's workers." Smurfit-MBI is a wholly-owned subsidiary of Smurfit-Stone Container Corp., which operates some 200 containerboard-packaging facilities located primarily in the U.S., Canada, and Mexico, and employs approximately 27,000 people. SONOCO reports that it has become a supplier of packaging services to the LEGO Group in Europe. Under terms of the five-year contract, Sonoco will be supplying packaging services for the LEGO Group's Education and Belville products, both from the LEGO Group's Small Business supply chain. Sonoco says it will accordingly establish a new, second service center in the city of Lodz, Poland. Sonoco operates 21 locations worldwide providing packaging displays for retail-focused customers. The U.S. FLEXIBLE PACKAGING MARKET is expected to top $26.5 billion in 2010, according to market research done by Specialists in Business Information (SBI). The overall wholesale market for flexible packaging in the U.S. reached $23.4 billion in 2005, up 3.6% from 2004, according to the SBI report. Flexible packaging material supply, which accounted for 42.4% of the market, was valued at $9.9 billion, while converted flexible packaging-plastic bags, paper bags, and converted aluminum products-reached an estimated $13.5 billion. Growing imports, rising crude oil and pulp and paper costs, and aluminum price volatility are among the factors keeping healthy market growth at bay. High petroleum costs, the report notes, are forcing manufacturers to focus on alternative raw material sources while relying on technological innovations, such as RFID and molecular tracers to stimulate market interest. WAL-MART STORES recently announced a five-year program with its suppliers that will reduce overall packaging by 5%. Under the five-year plan, Wal-Mart will push its 600,000 global suppliers to find more efficient packaging methods. It estimates total supplier savings of $11 billion, and adds that the initiative (to begin in 2008) could help Wal-Mart save $3.4 billion in its own costs. Designed to help reduce landfill trash and global-warming gases at the same time, Wal-Mart says the move is expected to spur packaging changes in the industry. It plans to start working with suppliers in November to prepare for the changes. WEYERHAEUSER anticipates flat containerboard earnings in the third quarter compared with the second, hurt by higher fiber costs and lower volumes, according to a recent Reuters report. The company said volumes during the quarter were partly hurt by lower U.S. demand for fruit boxes as dry, hot weather hurt grape and cherry harvests. Weyerhaeuser is scheduled to release its third quarter 2006 results on October 25. NEW PRODUCTS AND EQUIPMENT ORDERS GIMBERT SURGELES of France has launched a new microwave "fish solution" using Graphic Packaging International's (GPI) Microrite susceptor technology. The specially designed sleeve is used to rapidly heat, brown, and crisp the exterior of the coated fish slice, as well as to reduce cooking time. GPI, a subsidiary of Graphic Packaging Corp., provides paperboard packaging products for the beverage, food, and other consumer products industries. CARAUSTAR INDUSTRIES has developed Binder Tex 45, a recycled paperboard grade used in the manufacture of hardbound textbooks, law books, and library binding books. This product is produced at Caraustar's Carotell Paperboard mill, Taylors, S.C., an uncoated recycled paperboard mill and mill converting operation. POTLATCH has introduced a coated, two-side paperboard known as Ancora. The new paperboard product is designed for high profile sales support, direct marketing, and point-of-purchase materials. According to Potlatch, it has improved shade and brightness balance for enhanced color reproduction, and because it is manufactured without optical brightening agents, allows consistent reproduction of natural-looking flesh tones and stands up well to fluorescent lighting with less fading and yellowing. The paperboard is available in a wide range of calipers, from 8 to 24 pt, with 90 brightness and 65 gloss. VANTAGEPOINT SYSTEMS, Vancouver, B.C., a software supplier to the packaging industry, has announced Release 8.5 of its core business software. A key element of Release 8.5 is its re-designed Estimating Module, enabling estimating of assembled and unassembled sets, as well as creation of multiple estimate variations. It allows estimates to be created with multiple quantity calculations as well as with a variety of different manufacturing materials and optional routings. NEWS FROM TAPPI New TAPPI website: Dedicated to Corrugated! TAPPI has officially launched its newly redesigned website at www.tappi.org - and professionals in the corrugated packaging sector will feel right at home. They'll now find their own dedicated section of the website, bringing together the products, services, and events TAPPI offers specifically for the corrugating audience. The new website will make it easier for members and non-members to find what they need quickly and efficiently. "We've created dedicated web environments for different industry areas, which gives users a customized experience," says Karen Roman of TAPPI's IT department. "This will cut the 'information clutter' and help users navigate more efficiently." The new area will feature news and updates related to corrugated packaging, with easy links to corrugating-related events, papers, Test Methods and more. TAPPI Members should log in to access the new site's updated features; nonmembers can join TAPPI online. Two years away - but so much to do! Think it's too early to start planning for SuperCorrExpo®2008? Think again. After all, it is The Largest Corrugated Packaging Machinery Show in the Western Hemisphere! AICC and TAPPI will present SuperCorrExpo®2008 on September 22-26, 2008, in Atlanta, Georgia, USA. Get a first-hand look at all the excitement experienced at SuperCorrExpo®2004 by viewing the SuperCorrExpo® video. Also, view the show wrap-up. This unique, week-long event includes running machinery and world class education provided by AICC and TAPPI. There will be something for everyone in the corrugated packaging industry. Though still two years away, more than 90 exhibitors have already signed on, and more than 55,000 square feet of exhibit space has already been sold. Whether you're an attendee or an exhibitor, you will NOT want to miss SuperCorrExpo®2008! TAPPI members: Receive discount for PDMA Conference The Product Development and Management Association, PDMA, www.pdma.org, has set the stage for its Compete to Win International Conference [www.pdma.org/2006], in Atlanta, Georgia, October 21st to 25th at the Renaissance Waverly Hotel. It's the premier conference for anyone involved in any phase of product lifecycle management. Laser-focused content covers the areas of staying on top in a highly competitive global marketplace, as well as implementing key strategies when considering product creation, marketing a concept and development of new ideas. You'll find new knowledge, new ideas, new contacts and a new desire to compete on levels not considered before with very usable information that can be taken back to the workplace. The Conference's impressive roster of industry leaders as keynote speakers includes John Byrne, Executive Editor of Business Week; Scott Cook, Founder of Intuit; Ping Fu, President and CEO of Geomagic, Inc.; Marc Mathieu, Senior Vice President of Coca Cola Trademark and other core Global Brands; and Debra Wince-Smith, President of the Council on Competitiveness. TAPPI members receive a special discounted rate for the conference when registering using the code "tappi". Please visit the conference website [www.pdma.org/2006] for more information.

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