BoardConverting Serving the North American Corrugated and Folding Carton Industries for 38 years January 17, 2022 VOL. 38, NO. 3
Retaining Key Employees: How To Keep Your ‘A-Team’ Intact BY PHILLIP M. PERRY It’s a nightmare scenario for any business: A star employee sudden- ly decides to jump ship for the competition. Out the door goes years of experience, in-depth knowledge of sales and marketing plans, and even a good number of hard-won customer connections. It’s that last part, with its costly ramifications, that can cause the most immediate damage. “Customers will often follow a departing employee out the door to his or her new employer,” says Richard Avdoian, an
GBP To Build New Corrugator Facility In Fort Worth, Texas Green Bay, Wisconsin based Green Bay Pack- aging Inc. (GBP) has announced it will begin construction of a new 600,000-square-foot corrugator plant in Fort Worth, Texas. Con- struction on the site is set to begin in the first quarter of 2022 and startup operation is scheduled for the second quarter of 2023. The “super-plant” will be replacing GBP’s current 200,000-square-foot corrugator plant in Fort Worth, where the company has oper- ated a plant for more than 50 years. The new plant will be equipped with a new 110-inch Fosber corrugator and new high-speed flexo folder gluers and rotary die cutters. “We are excited to continue to invest in our employees and customers of Fort Worth,” said Will Kress, President and CEO of GBP. “The Fort Worth operation is an important part of GBP, and the leadership and employees of this division are second to none. We believe in investing in our people and our loyal cus- tomers, and we are looking forward to the next phase in Fort Worth.” The announcement is another step in the continued growth and expansion of GBP. Over the last 12 months, GBP completed the
employee development consultant in Metropolitan St. Louis. (Midwest- BusinessInstitute.com). “People like to stay with employees they trust.” Longer range, the ghosting of a top performing employee obviates any plans for grooming that person for a management role. “When you lose your best employees you lose not only their skills but also their leader- ship potential,” says David Dye, President of Lets Grow Leaders, a man- agement consulting firm in Washington DC (letsgrowleaders.com). In rural areas especially, where employers reside far from large cities with concentrated pools of talent, quality employees come at a premium. Spot The Stars How about your own business? Do you think your top performers will hesitate to leave? Maybe so, but the fact remains that people who perform the best in the workplace tend to suffer the most from wan- dering eyes. A survey by SAP and Oxford Economics, published in The Harvard Business Review (“What High Performers Want at Work,” by CONTINUED ON PAGE 26
CONTINUED ON PAGE 4
WHAT’S INSIDE
6 x x 8 x x 12 x x 26 x x 4 Chicago TAPPI Reschedules 2022 What’s New Event 6 Premier Packaging To Build $60M Facility In Lebanon, TN Converter Outlook, Part 2: Pandemic Creates Uncertainty 3 What The Future Holds For Packaging
AVERAGE CONTAINERBOARD PRICES The average prices reported are tabulated from prices PAID by various sources throughout the United States the week previous to issue. Prices in some areas of the country may be higher or lower than the tabulated average. The prices tabulated here are intended only for purposes of reference. They do not connote any commitment to sell any material at the indicated average. Transactions may be completed at any time at a price agreed upon by seller and purchaser.
REGION E. Coast Midwest Southeast Southwest
42# Kraft liner
26# Semi-Chem. Medium
$1005.00-1010.00 $1020.00-1030.00 $1020.00-1030.00 $1020.00-1030.00 $1050.00-1060.00 $1023.00-1032.00
Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del.
$940.00-990.00 $955.00-975.00 $955.00-975.00 $955.00-975.00 $975.00-995.00 $958.00-978.00
West Coast U.S. Average
The Price is Right
SHEET PRICES BY REGION (AVERAGE) Per 1MSF, local delivery included, 50MSF single item order, truckload delivery. Sheets
E. Coast Midwest South-SW S. CA N.CA/WA-OR US Aver.
200# 275#
$62.26
$72.05
$62.69 $82.80
$85.35 119.54
$73.13 101.29
97.32
99.89
90.86
113.65
OYSTER UP-CHARGE 8.34
8.34
8.34
8.34
8.34
8.34
275# DBL-WALL 350# DBL-WALL
107.46 118.45
114.69 129.32
116.54 137.25 117.82 145.56
141.08 148.46
122.76 131.80
More box makers and brokers are relying on the containerboard pricing in Board Converting News to negotiate their contracts with end users.
CANADIAN SHEET PRICES (AVERAGE) In Canadian Dollars, per 1MSF, local delivery included, under 50MSF single item order, truckload delivery. 200# 275# Oyster UC 275#DW 350#DW $78.56 $99.18 $9.00 $96.32 $105.83 CANADIAN LINERBOARD & MEDIUM The average prices reported are tabulated from prices PAID by various sources throughout Canada. Prices may be higher or lower in various areas of the country. The prices tabulated here are intended only for purposes of reference. They do not connote any commitment to sell any material at the indicated average. Transactions may be completed at any time at a price agreed upon by seller and purchaser. Prices are Canadian $ and per metric ton.
SEE THE CURRENT PRICES IN PRINT OR ONLINE AT WWW.BOARDCONVERTINGNEWS.COM.
Len Prazych at 518-366-9017 lprazych@nvpublications.com
42# Kraft Liner 26#
Semi-Chem Medium
East West
$970.00
$960.00 $995.00
$1,015.00
3
January 17, 2022
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GBP To Build (CONT’D FROM PAGE 1 )
Core Competency
startup and full production of the Green Bay Recycled Pa- per Mill, startup of a 550,000-square-foot box plant in Tul- sa, Oklahoma; is in the process of a 370,000-square-foot expansion of its state-of-the-art folding carton operation and is doubling the size of the newly acquired Third Di- mension sheet plant in Geneva, Ohio. This is coming off significant expansions of their Green Bay and Minneapolis box plants, and the building of a new sales, marketing and distribution center in Downers Grove, Illinois. “We are committed to this industry, our employees, and customers,” said Bryan Hollenbach, EVP of GBP. “We con- tinue to invest at a high level and work hard to make GBP a great place to work and build a career. It is a fun time to be working for GBP.” Chicago TAPPI Reschedules 2022 What’s New Event Due to the resurgence of the COVID-19 virus and with the health and safety of its members in mind, Chicago TAP- PI has made the decision to reschedule its What’s New event, originally scheduled for February 1st. A new date and additional details will be sent soon. We appreciate your patience. Please refer to tappi.org/chicagotappi for additional updates.
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Premier Packaging To Build $60M Facility In Lebanon, TN
City Manager Scott Brunka said Premier Packaging is currently leasing a facility in Mason, Tennessee, and is building the new facility to expand their operations. He said the final details for the project are being completed and he expects Lebanon City Council to consider the final agreement and land purchase at its Jan. 25 meeting. The economic development agreement also includes the city constructing a new public street for access to the proposed facility. The cost of the new roadway is estimat- ed at more than $1.23 million and will be offset by grants totaling $650,000 from JobsOhio and the Ohio Depart- ment of Transportation. Premier Packaging, LLC is a national manufacturer and distributor of packaging for the e-commerce, technology, manufacturing, medical, and food industries. According to its website, the company operates shipping and produc- tion facilities in 38 states, Canada and Mexico. Michael Merman, Chief Financial Officer for Premier
Louisville, Kentucky based Premier Packaging is planning to purchase 45.4 acres in Lebanon, Tennessee to build a $60 million facility that will consist of two buildings for manufacturing and distribution. According to local media reports, Phase 1 of the project will be the construction of a 277,000-square-foot distribution center, with construction tentatively to begin in the second quarter of 2022. Phase 2 of the project, a 205,000-square-foot manufacturing facility, is planned for construction in the third quarter of 2023. Once the new buildings are complete, it will result in the creation of 80 new jobs and the retention of 49 exist- ing jobs that will move to Lebanon. The project’s associat- ed annual payroll is estimated at more than $6.8 million.
Packaging, said the company has had a fa- cility in Mason for the past five years to serve its markets in Columbus, Cincinnati, Dayton and Northern Kentucky. “It just made sense to expand there be- cause its been a good business environment for us and the employee market has been great,” Merman said. NAM: ‘Great Resignation’ Quits Hit Record High There were 858,000 manufacturing job openings in November, down from a re- cord 955,000 in October, according to Chad Moutray, Ph.D. and Chief Economist at the National Association of Manufacturers (NAM). While the pace of job postings decel- erated somewhat, it was the eighth straight month with openings that have exceeded 800,000, averaging 887,000 over that time frame. Nonfarm business job openings eased from 11,091,000 in October, which was the second highest on record, to 10,562,000 in November. There were 6,877,000 unem- ployed Americans then, translating into 65 unemployed workers for every 100 job open- ings in the U.S. economy. Total nonfarm business quits jumped to 4,527,000 in November, a new all-time high. This speaks to the high degree of “churn” in the labor market, and it exacerbates the diffi- culties that companies are experiencing. Turning to the latest jobs numbers, man- ufacturing employment rose by 26,000 in December, increasing for the eighth straight CONTINUED ON PAGE 8
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40 ft of paper travel from preheater to hot plates 3 seconds of heat, glue and bonding 1 chance to get it right! the ZONE
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• The plate may only be used to heat, only to humidify, or both options at the same time. • The plate is sectored, which allows for applying humidity to the sections. • It provides temperature in previously inaccessible locations and near the location needed. • It compensates the loss of temperature dissipated due to distance, speed or limitations of the exiting preheaters. • Quick transferring of heat to the paper. • The combination of the hot plate and steam shower allows for providing heat even to the hardest papers to heat. • Does not dry out the paper. • Possibility of operating as a humidifier and pre-conditioner. • Maintains and improves the fibre’s elasticity. • Acts according to the operator’s needs. • Facilitates the paper’s hygroscopy to absorb the glue and improve rubberising.
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calibrations and settings. Bar systems avoid this, but compensate this with the risk of exces- sive glue application. The system contains many wearing parts. Solution The contact roll combines the ad antage of both systems and ensures minimum contact between board and applicator roll. The system uses small pneumatic cylinders in order to achieve a “soft touch.”
6. Gap Control 7. Curved Plate 8. Roller Shoe Press When it comes to a short-term increas of web tension, spring loaded systems with shoes or airpressure activated system have problems in compensating these. The system is lifted for a short time. This may result in de-lamination and in the ‘double kiss’ effect. Solution For a defined and exact bonding point of the web fiv weight rollers will be installed usually over the first flat hotplate of the heating section. The rolls are mounted into a frame, which is actuated by means of two pneumatic cylinders. P oductivity Issu —Double Kiss Bonding
PRODUCTIVITY
PRODUCTIVITY
DOUBLEBACKER IMPROVEMENT
Roller Shoe
DOUBLEBACKER IMPROVEMENT
9. Thin Wall Hot Plates 10. Pressure System Benefits —Exact glue application due to defined contact of applicator roll to web. Web is in contact to less flute tips compared to bar systems. • High precision glue application • Less moisture applied to web —No wear of shoes and springs —No adjustment of shoes or paper gap —Uniform glue application over entire w orking width for all flutes by use of pneumatic cylinders instead of springs — Less contamination by paper dust and glue remains —No jam of board because of web breaks caused by splice joints going through 630-784-0800 Benefits —Rollers secure exact defined first point of contact of liner and single-faced board - No double kiss —Frame design avoids unintended lifting of roller shoe (compared to spring or air loaded systems) - No double kiss —Pressure can be increased or released for special grades or products 490 Tower Blvd., Carol Stream, IL Contact Chicago Electric to GET IT RIGHT 630-784-0800 info@chicagoelectric.com chicagoelectric.com Solution The ProPress system ensures an optimum heat transfer to the board. It offers a wide range of set- tings. The loadi g pressure can be varied, the number of shoes can be lifted in accordance t the line speed. The outer shoes can be lifted in accordance to the paper width. The shoe bars will be delivered pre-assembled for a short installation time. —Liftable for easy paper infeed and for cleaning of the machine —Position adjustable in paper direction to avoid grooves in hotplate Press Productivity Issue—Poor Heat Transfer Rollers are usually limiting the heat transfer, since they often have contact mainly on the edges of the plates due to wear or bent plates. They also cause often loss of caliper and bearing need to be replaced frequently. Airpressure actuated systems can only supply a limited pressure and have com- pared to shoe systems a closed surface. Pressure Shoe
Plate vity Issue—Poor Heat Control l hotplates are slow to react to pressure due to high steam volume and massive y also have high heat radiation and heat profile. Worn plates can damage crease edge crush.
Thin-Wall Hot Plates
t by peripheral drilled hot plates. anufactured out of special wear and nt steel, through which a continuous is drilled, with one inlet and one outlet. ecured by a massive steel frame.
CORR24usa.com
ance from steam to paper surface results in fast heat flow n higher plate surface temperature
Benefits
NAM: ‘Great Resignation’ (CONT’D FROM PAGE 6)
Box Shipments ( U.S. Corrugated Product Shipments) Industry Shipments In Billions of Square Feet Month September 2021
month with solid growth. There were 349,000 workers added in the sector in 2021, the most since 1994, but there remained 219,000 fewer manufacturing employees in De- cember relative to pre-pandemic levels. Average hourly earnings of production and nonsuper- visory workers in manufacturing increased 0.5 percent to $24.33 in December. That represented a 5.2 percent in- crease over the past 12 months, the fastest year-over-year rate of wage growth in the sector since September 1982. Meanwhile, nonfarm payroll employment increased by just 199,000 in December, down from 249,000 in Novem- ber and the slowest monthly gain in 12 months. Nonethe- less, the unemployment rate dropped to 3.9 percent in December, a post-pandemic low. The ISM® Manufacturing Purchasing Managers’ Index declined from 61.1 in November to 58.7 in December, ex- panding at the slowest pace since last January. Even with some easing, new orders and production ended the year with solid growth, and hiring rose at the fastest rate since April. Measures of delivery times and cost pressures con- tinued to reflect a challenging environment New orders for manufactured goods rose 1.6 percent to a new record level in November. Overall, the manufactur- ing sector continues to expand strongly—despite lingering supply chain, workforce and pricing pressures—with new orders soaring 13.6 percent year to date.
Year
Actual
Percent Change Avg Week Percent Change
2021 2020
34.261 34.901
-1.8
8.157 8.310
-1.8
Industry Total
Year-to Date
September 2021
Year
Actual
Percent Change Avg Week Percent Change
2021 2020
312.632 300.767
3.9
8.227 7.873
4.5
Industry Total
Containerboard Consumption (Thousands of Tons)
Year
Month
Percent Change Year-to-Date Percent Change
2021 2020
2.7786 2.8459
-2.4
25.4959 24.5672
3.8
Container Board Inventory - Corrugator Plants (Thousands of Tons)
Corrugator Plants Only
Date
Percent Change Weeks of Supply
Percent Change
Sept.
2.312
3.8
3.5 3.4
2.9
Aug
2.2272
Shipping Days
Year
Month
Year-to-Date
2021 2020
21 21
190 191
SOURCE: Fibre Box Association
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EFI Focuses Investment Strategy With Sale Of Software/Print Business Fremont, California based Electronics For Imaging, Inc. (EFI) has confirmed that it will be prioritizing technology in- vestments to accelerate growth in its fast-growing industri- al EFI™ Inkjet business, as well as in its Fiery® business. As part of this focused strategy, EFI has completed a sale of its eProductivity Softwarepackaging and print productivity software business to an affiliate of Symphony Technology Group. EFI and EPS will continue to collaborate with their joint customers and partners to ensure mutual success. This realignment allows EFI to accelerate investment into its Inkjet and Fiery business units to capitalize on the growth opportunities available in existing segments the company serves, as well as drive expansion into markets that are beginning the transformation toward digital. “We have never been more excited about the opportu- nity in the industrial inkjet markets and our ability to lever- age Fiery Digital Front End technology for digital color printing, to continue to drive the analog-to-digital trans- formation in all high-value segments of imaging – while increasingly serving new adjacencies including e-com- merce, and other rapidly growing segments,” said Jeff Ja- cobson, CEO and Executive Chairman, EFI. “We are mak- ing significant investments in the Packaging & Corrugated, Display Graphics, and Building Materials/Decor markets.”
“The potential of the high-growth industrial inkjet mar- kets is the impetus for us to accelerate our investments in market-leading products and services that drive the an- alog-to-digital transformation. Industrial inkjet imaging is one of the greatest opportunities I have seen in my 35 years in this industry. The sale of the software business provides our industrial inkjet and Fiery teams the focus that will best position them for success.”
NYS Agency To Help Fund Cascades Biofuel Project
A Cascades Containerboard packaging plant in Niagara Falls, New York, has received a grant of more than $2 mil- lion from the New York State Energy Research and Devel- opment Authority (NYSERDA). The grant will pay most of the cost of a project to refine the gases generated by the plant’s wastewater treatment process so those gases can be burned as fuel to help power the plant. A state spokesman said that work performed under the NYSERDA grant is separate and distinct from the DEC’s ongoing enforcement and is not designed to address odor problems at the facility. “It’s something completely differ- ent. It’s not related to the odors, that’s clear,” Cascades spokesman Hugo D’Amours said. “The idea of this project is to improve the quality of bio-gas so we can burn it as an alternative to natural gas.”
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January 17, 2022
Converter Outlook, Part 2: Virus, Variants, Pandemic Continue To Create Uncertainty KRUGER PACKAGING Montreal, Quebec, Canada: Serge Desgagnes reports, “Covid. Pandem- ic. Vaccine. These are the basic few words we keep hearing over and
over again this past year. I’m sure you are all tired of hearing these words and would like to forget about them for a long time, however, we work in an industry that is so deeply connected with the pandemic we have no choice but continuously adapt to it. “There was not one accurate forecast or predic- tion for 2021 from experts and analysts throughout the industry and unfortunately, 2022 is more of
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Serge Desgagnes
the same. Never-before-seen variables are affecting the industry in un- predictable ways and the greatest takeaway from 2021 has been to be adaptable. As change comes quickly, our strategic decisions must come even more quickly. “Looking at the numbers, the 2021 statistics were being compared with a strong 2020 year, especially in regards to the second half of 2020. Even with the strong comparable, 2021 was a very successful year. Let’s take a closer look at 2021. According to the Fibre Box Association (FBA), North American 2021 industry shipments were up 4.1 percent and demand was up 11 percent after nine months. These figures clearly still indicate a strong demand in containerboard, which should carry over to 2022. The million dollar question is how long this strong demand will last? The main ‘squeeze’ for containerboard was felt heavily during the second half of 2020 and first half of 2021. This was due to a combination of factors: 1) lowering inventories in 2020 due to expert predictions of a slowdown and 2) an exponential increase in containerboard demand. “Given these factors, we can look to North American inventories to help better understand the market trend. FBA published North American Box Plant inventories and September 2020 vs September 2021 showed an increase of 17.5 percent. Box plant inventories are much healthier, which means there is more supply in the market and less stress on finding containerboard. North American Mill inventories for September 2020 vs September 2021 is 4.6 percent. Based on these figures, we can assume there is more supply in the market, however the demand still remains very strong. Whenever there is strong demand, more supply will always follow, but these figures are healthy indicators for the time being. “No one can predict 2022 since the pandemic is not over and contin- ues to change as time goes on, however, given the past year we can make educated assumptions that will hopefully help improve our forecasts. As established above, supply in the market has increased and demand re- mains strong. “What other factors affect our industry? Staff. Employees during the pandemic have been difficult to manage. Not only did the government subsidies create more competition for businesses, the new easily conta- gious variant has caused more employees to call in sick. A lack of labor has made it more difficult to produce as efficiently as the demand would like and therefore, backlogs will remain. Another factor in our industry, which has been made quite clear after 2021, is that e-commerce is here to stay. The convenience of online shopping for clothes, groceries and any other items that may come to mind has added to the sharp increase in de- CONTINUED ON PAGE 14
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January 17, 2022
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mand. Another factor that increased the demand for con- tainerboard is the push for sustainable packaging. There is a growing concern and importance to avoid using single use packaging and this social awareness is helping to fuel demand for multi-use, easily recyclable materials such as containerboard. “To conclude, 2021 was filled with pressure and uncer- tainty from every direction. Price increases were passed without objection, costs increased dramatically, employee shortages were common everywhere and e-commerce established itself in almost every household. There will be more supply added to the market in 2022, however, the demand will continue to rise due to the above factors and will keep the industry healthy. Newer and more innovative box plants will continue to open, which will hopefully bring in new employees and inject new blood into the industry. I am very optimistic about our industry and the future of containerboard is an exciting industry to be a part of.” OPUS PACKAGING Grand Rapids, Michigan: Butch Stoner reports, “This too shall pass!” That may have been the advice that Kevin Man- or, my cousin/partner, and I would have received from our fathers. Our fathers started their careers in the corrugated industry shortly after World War II and had a combined 90 years making boxes. I certainly hope their optimism would Converter Outlook, Part 2 (CONT’D FROM PAGE 12)
hold true today, however, the consensus at the beginning of 2021 is that we would be out of the throes of the pan- demic by mid-year. Is the current state the “new normal”?
“The challenges we are fac- ing as we enter 2022 are unique compared to how the corrugated business has operated over the past 70 years. Opus Packaging is facing the same concerns as most manufacturers: lack of employees,
Butch Stoner
supply chain issues and spiraling costs. These factors con- tribute greatly to our ability to service our customers. “Labor is the number one challenge in our ability to service our customers. We have increased our wages and benefits dramatically to attract and retain employ- ees. These changes have helped but we are still short 75 employees across our seven manufacturing plants. This does not even account for the daily task of rearranging our workforce because of Covid-related absences. Hope- fully, we do not see the shutdowns that occurred in March 2020 that crippled our economy or the need to start all over again if the current vaccines are ineffective against the Omicron variant. On the bright side, Opus, through the dedicated and loyal efforts of our core associates, was able to continue our sales growth over a Covid-affected 2020 by 32 percent.
CONTINUED ON PAGE 16
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January 17, 2022
“The supply chain issues that began in the second quarter of 2020, when demand came back with a ven- geance after the shutdowns, are still with us and not show- ing signs of improvement. Heading up the list of concerns is the inability to procure tractors and trailers, corrugated machinery and spare parts. The lead times for procuring major capital expenditures is 14-24 months. “Investment in converting equipment is at record setting levels by both integrated and independent players. There are a lot of dollars chasing a finite level of equipment avail- able. Opus started the process years ago of purchasing used corrugated equipment and completely refurbishing the machine. This has proven to be an effective method of placing needed equipment in service versus facing the extended lead times of purchasing new equipment. “Backlogs and lead times are at historical levels for Converter Outlook, Part 2 (CONT’D FROM PAGE 14)
sheets and, in turn, boxes. Sheet supply lead time is run- ning between 10-14 days. Specialty or certain container- board grades continue to be hard to get, if not impossible. Heavyweight grades, mullen grades, and white substrates are especially scarce. This has led to integrated box mak- ers leveraging independents for orders to fulfill contractu- al obligations, especially for their e-commerce customers. The expanded lead times have led to expanded invento- ries to service customers during this period of uncertainty. The expanded lead times are not helped with the lack of available tractors/trailers and the hike in fuel costs that has forced independent truckers to seek new careers. “I am going to get positive here in a moment, I prom- ise. Corn starch costs at the mill and corrugator level are projected to double or triple. This is caused by the exit of a major corn starch industrial supplier that has chosen to fo- cus on food processing. This could lead to allotments and seeking new alternatives to corn starch. The added costs
related to labor, freight, starch, etc. is leading to a possible first quarter price hike that is non- related to paper cost. This non-paper related price hike could lead to a parting of the ways with contractual customers. However, we are seeing customers more willing to discuss a prospective hike versus a loss of supply. “Lots of reasons to bury our heads in the sand in Florida! I have been around the inde- pendents for over 50 year; where there is a will there is a way and that has and always will be the mantra of this special breed. We have adapted in bad times and good times and will continue to do so. Opus Packaging is bullish on this market and will continue to be so. In 2021 we were able to make two sheet plant acquisitions, thanks to the strength of our bal- ance sheet. We acquired two fine companies with whom we have had long-standing rela- tionships: Mall City Containers in Kalamazoo, Michigan, and Palmetto Packaging in Flor- ence, South Carolina. We doubled our normal capital expenditures in 2021. We have a world class supplier in CorrChoice (Greif) that has kept us very much in the game. The best part I will save to last: we have outstanding em- ployees who are loyal and dedicated, who just happen to ROCK! “This, too, shall pass…onward and upward to 2022!” OX BOX Addison, Illinois: Guy Ockerland reports, “It was a hectic 2021 as many of our team mem- bers were out with Covid-19. I’ve learned that many others in the industry are experiencing the same thing and this may be the big story, at least for the start of 2022.
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Converter Outlook, Part 2 (CONT’D FROM PAGE 16)
“As for Ox Box, we’re still ex- periencing very high levels of de- mand for our products. We expect this to continue for the foreseeable future. Our main focus has been and will continue to be increasing our capacity to meet the increased demand. This has been challeng- ing with production machinery and
Guy Ockerland
ancillary product lead times stretched. “Here are projects and machinery that have been com- pleted or are in progress: • Upgraded short run box machine: New Solarco box- maker with automatic stacker. Installed Nov. 2020. • Additional jumbo press: Rebuilt Marumatsu 85-inch by 185-inch jumbo with stacker. Installed Aug. 2021. • New jumbo press / die cutter – Makina 110-inch by 196- inch two-color jumbo with die cut section. Delivery/in- stallation in process. • New two-piece stitcher-gluer: Gazzella TO stitcher-glu- er. Delivery / installation in process. • New CAD table: ZUND prototype CAD table. Installed December 2021. • Upgraded scrap system: Reconditioned Balemaster scrap system. Installation in process.
CONTINUED ON PAGE 20
We’ve got our customers covered… …with our fiberglass backed, boltless, full double-wide blankets and an extensive inventory of corrugated parts needed by virtually every box plant in the country. The innovator of the original fiberglass-backed knuckle locking anvil cover, Stafford is the industry’s go-to source for everything corrugated. TM
www.go2stafford.com 800-282-5787 IS THE MANUFACTURER OF STAFFORD ANVIL COVERS ®
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RUSKEN PACKAGING, INC. Cullman, Alabama: Randy Whiteaker reports, “The year 2021 has been a year of consistent adaptations for the Converter Outlook, Part 2 (CONT’D FROM PAGE 18)
cilities at both its Cullman, Alabama, headquarters and in Clarksville, Tennessee, to further serve these major markets. These expansions include added floor space, machine additions, and operational efficiencies. As re- cord-high demands have continued, increasing operation- al capacity remains a high priority. Opportunities for SKU rationalization and design optimization have also been ever-present in the industry to maintain strong customer relations and offset increases. “Rusken’s growth strategy was reinforced through the acquisition of Nelson Packaging, located in Cowpens, South Carolina, just outside of Spartanburg, in the recent months. This acquisition is part of a strategic focus to ex- pand Rusken’s footprint throughout the Southeast United States, increasing existing capabilities and customer base in North and South Carolina. Privately-owned, Nelson Packaging has been operating since 1982 with a wide ar- ray of corrugated manufacturing, corrugated pallets, and inner packaging capabilities with a strong regional cus- tomer base. The Rusken team is thrilled to partner with the Nelson Packaging organization, optimally aligning with its customer-centric approach and culture. “While outside investments have remained a priority to Rusken, it has also been essential to look inward with a continual improvement mindset. The inaugural Rusken1 annual internal audit program kicked off in 2021 across Rusken’s footprint. With all Rusken manufacturing facili-
corrugated industry as a whole. While some aspects of daily life have returned to quasi-normal, at times, there are certainly lin- gering effects from the COVID-19 pandemic that remain heading into the new year. Rising cost of commodities, constrained supply chains, labor shortages, and ex-
Randy Whiteaker
tended lead times are all still real challenges. Corrugated manufacturers have been forced to maintain fluidity, inno- vation, and determination in order to meet the ever-con- sistent increase in box demands. “While many of these inflationary increases have been offset by multiple price increases for containerboard over the past year, it remains essential to maintain an efficient and innovative operational approach to meet demands and provide value to customers. To combat these chal- lenges, Rusken Packaging, Inc. (“Rusken”) has remained steadfast in its investments to enhance operational capa- bilities across its footprint to better serve customers and partners. “Rusken has taken significant steps to expand its fa-
CONTINUED ON PAGE 22
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ties participating in Rusken1, for a successful first year, the program focused on enhancing process standardization, teamwork, and operational efficiencies. Rusken is excit- ed to continue this program on an annual basis, with the goal of reinforcing a culture of continuous improvement already set forth as a top priority. Additionally, Rusken’s Jackson, Tennessee, facility became ISO 9001:2015 cer- tified in 2021. Achieving this certification allows for even more enhanced process improvements, as well as greater standardization of policies and procedures. “2021 has been a year full of ups and down for all. Rusken is extremely proud to be a part of an industry that has been so essential to keeping supply chains afloat amongst these challenging times and into the near future. Rusken looks forward to continued growth as an organiza- tion and an industry. Jamestown Container Expands Employee Safety Initiatives Falconer, New York based Jamestown Container Com- panies, a sustainable independent designer and manu- facturer of custom packaging, reported that it is working with Spectrum Enterprise, a part of Charter Communica- tions, Inc to deploy Managed Network Edge with camer- Converter Outlook, Part 2 (CONT’D FROM PAGE 20)
as across all six of its facilities in Western New York and Cleveland, Ohio. The cameras will help to enhance on-site security and provide insights for employee training and safety around industrial machinery. “We’re a family-owned business and our employees are fundamental to our success, both through the work they do for us directly and through their volunteer efforts in the communities where we operate,” said Michael Len- nox, IT Director, Jamestown Container Companies. “Their safety and security are foremost. As our partner, Spectrum Enterprise helped us to design and implement a solution that strengthens safety and encourages operational im- provements for enhancing both the employee and cus- tomer experience.” Spectrum Enterprise Managed Network Edge with cameras is a fully managed, turnkey solution that includes design, installation, updates and support (including repair and replace), with no additional licenses or video man- agement software required. Leveraging a Cisco Meraki platform, the solution offers a highly intuitive portal that enables custom views across multiple locations. Foot- age can be viewed easily and securely from any compa- ny site because of a highly reliable Spectrum Enterprise Fiber Internet Access (FIA) connection. Encrypted data and two-factor authentication keep the footage secure from unauthorized personnel. Each camera can be set-up to have different recording schedules, resolutions (up to CONTINUED ON PAGE 24
Let’s Tell Our Recycling Story
Investment, Jobs Created, Tons Produced
Rick Van Horne, Director of Creative Marketing srvan614@me.com Corrugated Supplies Corp. LLC
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Jamestown Container (CONT’D FROM PAGE 22)
maps and motion capture – resulting in a better under- standing of how different areas of the facility, both inside and outside, are being used at different times of day, al- lowing patterns to be easily identified. Video privacy bars can also be incorporated into the camera system to block any sensitive locations or information from being viewed. Spectrum Enterprise has been providing network con- nectivity solutions for Jamestown Container Companies for over 10 years, including Fiber Internet Access and Eth- ernet Virtual Private LAN. Esko North America Names Valentic VP/GM Of NA Operations Miamisburg, Ohio based Esko, the global developer of in- tegrated software and hardware solutions has announced that Sanja Valentic has been appointed VP/GM of its North
1080p), and footage retention timeframes. There is also the ability to view live streams without recording at all. “Having real-time visibility into operations is essential for most businesses, but it is even more impactful when cameras enable proactive opportunities to improve safe- ty and security,” said Rob Roache, Group Vice President, Enterprise Sales, Spectrum Enterprise. “It’s easy for com- panies to equip themselves with an integrated camera system that addresses their unique needs when Spectrum Enterprise is managing all of the technical aspects for them. At Jamestown Container Companies, our managed solution helps to free-up IT personnel and other employ- ees who can provide customers with exceptional products and service.” The Managed Network Edge with camera solution de- livers insights into activities across locations through heat
America operations. The appointment fol- lows the announcement that Steve Bennett will retire as of 4 March 2022. From December 2021, Valentic will be re- sponsible for the management of the com- mercial, support and financial performance of the packaging converters and tradeshops business in the U.S. and Canada, operating
from the company’s headquarters in Mi- amisburg, Ohio. “In the coming year, we will be fo- cusing our efforts on further automating the flexo platemak- ing process, while
Sanja Valentic
continuing to ensure full integration of our AVT print inspection solutions,” said Valen- tic. “We are continually developing innova- tive solutions to enable Esko customers to produce the best flexographic print quality possible, and I look forward to working with our customers as business partners to help them work with our ecosystem of packaging production software solutions.” Valentic joined Esko in February 2020 as Director, Pre-Press Software Solutions. Prior to this, her experience includes leading large business development, sales, and marketing teams in the printing and medical industries. “As we continue to drive innovation into the packaging industry, I am thrilled to be tasked with continuing the work begun by Steve and his team,” she said. “I’m looking forward to working closely with our associ- ates and customers as we continue deliver- ing innovations to support their digital trans- formation journeys.”
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It’s time to revolutionize The new CorruCUT rotary die-cutter pushes what is possible
The CorruCUT is designed for high-performance rotary production of die-cut corrugated products with ultimate flexo post-printing quality. You will achieve paramount performance from the latest embedded technology with a brand new operating concept. It is available with the industry's shortest lead time from our factory to your floor. The CorruCUT has a maximum production output of 12,000 boards per hour, including setup while running, integrated remote maintenance for the ultimate uptime, and the easiest machine to operate – the CorruCUT will increase your profitability. Call us to set up a custom demonstration. Koenig & Bauer (+1) 214 790-8801 jurgen.gruber@koenig-bauer.com koenig-bauer.com
Retaining Employees (CONT’D FROM PAGE 1 )
average or low-performing ones about competitive com- pensation. You must offer them a salary commensurate with their skills and at least equal to what other employers
Karie Willyerd.) found less than half of high performers sat- isfied with their current duties. One in five is likely to seek a greener pasture in the next six months. “Top performers are often less than content with their jobs,” says Avdoian. “Many want to further their careers by moving on to more promising positions.” You can take steps to keep your own best people from jumping ship. Begin by making sure you focus on the brightest stars. Avdoian suggests looking at your employ- ment pool as a complex of three classes of workers on an escalating scale of value: slackers, foundationals, and high achievers. Slackers are easy to spot: They do the bare minimum to collect their paychecks. Foundational employ- ees, in contrast, perform their duties in a conscientious and dependable manner, serving as reliable anchors to your business. The final category consists of people who outperform the norm. “High achievers are driven go get- ters,” says Avdoian. “They are your most productive em- ployees.” These individuals can deliver up to 400 percent more productivity to a workplace than other employees, according to the HBR report. With this short list in hand, make sure you give your best people the specific things they need to keep them on board. And just what do they want more than anything else? The answer is probably not surprising: The HBR re- port found that top performers care significantly more than
in your region provide. Pay For Performance
High performers also care more than their slacker or foundational coworkers about the ability to earn bonus pay based on performance. “The opportunity to make more money through their achievements is an incentive for your top performers to stick around,” says Donna Cut- ting, CEO of Red Carpet Learning Systems, Asheville, NC (redcarpetlearning.com). Top sales people, for example, will expect additional compensation when they outper- form their peers. The goal is to create a win-win situation for employer and worker: Fixed compensation costs re- main low while employees have the chance to earn more when they excel. A pay for performance system is a far cry from old fa- miliar reward relics of the past, such as the annual senior- ity-based salary hike and the automatic year-end bonus. The problem was that the conventional system wasn’t get- ting the job done, basically because it did not incentivize better performance. Moreover, high performers resented the fact they were not rewarded for their superior produc- tivity at a rate any higher than others. Meanwhile, ongoing salary increases bloated payrolls until the business risked becoming uncompetitive.
CONTINUED ON PAGE 28
Do you need printed sheets? We have your answer.. Introducing Heartland’s ColorCorr. This is “flexo-printing in the round”. On our corrugator we can print up to 109” wide. The advantage is that we can print the equivalent of ½ roll at a time and not be required to keep several rolls of very expensive preprinted paper on the floor. Much less waste and risk. In continual print mode, we use either laser-engraved rubber rolls or solid rubber rolls to print a “flood coat” or a repeating pattern. If we are printing a repeating pattern, we can run a two-color design on the paper. Customers have found that running sheets we print can allow them to run a lighter-grade due to reduced caliper loss, and in some cases eliminate one or more machine passes.
For more information contact: Charlie Freeman | 816-500-8889 | cfreeman@heartlandsheets.com Tim Kramer | 816-841-8317 | color@heartlandsheets.com
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