BoardConverting Serving the North American Corrugated and Folding Carton Industries for 36 years May 18, 2020 VOL. 36, NO. 20
ICG Members Keep Supply Chain Intact BY KEVIN KARSTEDT
Royal Containers Ltd. Acquires C&B Display
Brampton, Ontario, Canada based Royal Con- tainers Ltd, has added to its expanding foot- print with the acquisition of Mississauga, On- tario based C&B Display Packaging Inc. The acquisition follows Royal’s 2009 acquisition of Morphy Containers and its 2018 acquisition of Rexdale Corrugated Containers. The com- pany will now add C&B’s team and its Missis- sauga plant to Royal’s Canadian operations. Royal has been a leader in the corrugated industry for over 30 years. With a deep com- mitment to sustainability and performance, the company has been very strategic with its growth and partnerships to become one of the most successful independent corrugat- ed companies in Canada. For over 35 years, C&B has provided inspired packaging solu- tions and its high-quality point of purchase displays, retail ready packaging and industrial packaging have solidified its position in the corrugated marketplace. “C&B’s quality, customer focus and talent for design is an excellent compliment to our existing services,” said Kim Nelson, Royal Container’s President & CEO. “We are thrilled to carry on their legacy. Strategically, this is an
In the very early days of the current health crisis, the Independent Car- ton Group (ICG) met in Park City, Utah, for its Spring Meeting. On March 11th and 12th, while members discussed how empty their flights were and what the status of drupa 2020 might be, their spirits were high and that “can do” attitude, which is in the DNA of all ICG member leader- ship, was already evident. At this time the state of Ohio was just ban-
ning gatherings of more than 1,000 people and U.S. cases of the virus were at 1,100 with just a handful of deaths reported. As a matter of fact, March 11th was when the World Health Organization first declared the Coronavirus outbreak a pandemic. While a group of ICG members were treated to a plant tour of All Packaging’s plant in Salt Lake City, the country and the world were moving to much broader shutdown measures. Talks among members were focused on how they would cope and push through any challeng- es that would arise. Discussions included how companies managed following 911 and an attitude of “we will get through this too” was the prominent buzz in discussions around the dinner table that evening. As the meeting concluded on the 12th and members began their From left, Monroe County Legislator Karla F. Boyce; Monroe County Legisla- ture President Dr. Joe Carbone; David Rydell, President & COO of Diamond Packaging; Karla Fichter, CEO and owner of Diamond Packaging; and Jane Shukitis, President/CEO of University of Rochester Medicine Home Care.
CONTINUED ON PAGE 4
WHAT’S INSIDE 6 ICPF Works Around COVID-19 Pandemic, Continues Donations 10 Jimmie Johnson, Formerly Of Progress Container, Dies At 84 12 When Deciding Who To Bring Back To Work, Be Wary Of Risks 14 TAPPI’s #StrongerTogether Shines Spotlight On Goodwill
CONTINUED ON PAGE 24
T H A C K E R I N D U S T R I A L S E R V I C E C O M P A N Y
O P E R A T O R T R A I N I N G T A I L O R E D T O Y O U R G O A L S Before any training star ts, we need to know your goals. We’ l l help you identi f y them, customize them, measure them and help achieve the expectations set by your team. Our intensive training wi l l encompass two ful l days at your faci l ity for al l par ticipants, during the week or on a weekend. Al l you need is a room for training your group and the machine you want to train on.
O U R T E A M
Our Training team consists of three corrugated industry exper ts with nearly 100 years of combined experience. Their backgrounds are in both integrated and independent companies with roles ranging from Machine Operator to Director of Operations. Making them more than qual i f ied to tackle any machine and training issue. Cal l today to learn how your team can benef it from the industry ’s premier training program.
www. thacker i ndus t r i a l . com (682) 552 5852 For more Information:
May 18, 2020
C u r r e n t O p e r a t o r E x p e r i e n c e
S T E P 1
M a c h i n e t y p e G o a l s / E x p e c t a t i o n s
I s s u e s
Q U E S T I O N N A I R E
P l a n 2 d a y s w i t h i n y o u r s c h e d u l e
S T E P 2
1 d a y c l a s s r o o m a n d 1 d a y a t m a c h i n e
S C H E D U L E
1 - B o x S e t u p C a l i b r a t i o n T o o l i n g
S T E P 3
T R A I N I N G
T r o u b l e s h o o t i n g
Royal Containers Acquires (CONT’D FROM PAGE 1 )
excellent fit and positions Royal and C&B to compete in the marketplace stronger than ever, as one.” “Royal is also a second-generation family business founded in the early 1980s,” said Pamela Brown, owner of C&B. “It was crucial for us that this happen with a company that has a culture and core values similar to our own. We could not have imagined better hands for the future.” “This acquisition will create expanded services such as online access, strategic supply chain partnerships and enhanced machine capabilities to both C&B and Royal cli- ents,” said Geordie Brown, Vice President of C&B. “We’re very excited for the opportunities and growth this affords our clients and our team.”
The Price is Right More readers rely on Board Converting News’ containerboard pricing to negotiate their contracts. SUBSCRIBE TODAY.
WestRock To Lay Off 67 In VA Paper Mill
Norcross, Georgia based WestRock announced that in re- sponse to the current economic climate and the impact of COVID-19 on demand, it is temporarily shutting down a paper machine in its Covington, Virginia, mill. This will result in a temporary layoff of 67 employees and will begin later this month. The layoff will last a minimum of 30 days, depending on market conditions. WestRock is the largest employer in Covington.
Robyn Smith at 910-553-4055 /email@example.com Len Prazych at 518-366-9017 / firstname.lastname@example.org
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May 18, 2020
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 indi- cated 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 $885.00-890.00 $900.00-910.00 $900.00-910.00 $900.00-910.00 $930.00-940.00 $903.00-912.00
26# Semi-Chem. Medium
Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del.
$820.00-850.00 $835.00-855.00 $835.00-855.00 $835.00-855.00 $865.00-875.00 $838.00-858.00
West Coast U.S. Average
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.
OYSTER UP-CHARGE 8.34
275# DBL-WALL 350# DBL-WALL
116.54 137.25 117.82 145.56
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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.
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AVERAGE CONTAINERBOARD PRICES.indd 1
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ICPF Works Around COVID Pandemic, Continues Donations To Universities Though some deliveries have suffered minor delays during the pandemic, the International Corrugated Pack- aging Foundation (ICPF) continues to provide equipment and grants to its partner universities. Recent equipment and financial awards have been provided or committed to Rutgers, Western Michigan Uni- versity, Millersville University, Indiana State, North Caroli- na State, University of Texas - Arlington, Cal Poly, Virginia Tech, and Lewis Clark State College. These ICPF award commitments have been subject to each university meet- ing annual goals that are tracked by both ICPF and ICPF’s independent auditor. Upcoming 2020 ICPF donations include a TMI Medi- um Fluter and accessories at North Carolina State Uni- versity, where ICPF placed a CAD table last year; 20 com- puters, 20 computer desks and chairs and a stipend for new adjunct packaging instructors at University of Texas Arlington, where ICPF placed a large scale digital printer last year; and a TMI Sommerville Screen Disintegrator at Cal Poly. The timing of these planned placements have been dependent on when faculty and students return to campus and the availability of some components from manufacturers that may not re-open until later this year. CONTINUED ON PAGE 8
Boring? If we didn't paint it this way, it wouldn't get noticed.
When it comes to a baler that takes care of business, boring reliability is the holy grail. But right-sized automation that makes the baler an operator-friendly and low-maintenance part of your operation is no less important. The Balemaster brand of balers delivers both. (Paint job is extra.)
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May 18, 2020
The Broadest Range of Upgrades for the Corrugating Industry...
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ProDrive eliminates obsolete DC motors with an AC vector upgrade and improves reliability of your equipment. DeviceLogix™ – Controls outputs and manages status information locally within the drive, allowing you to operate the drive independently or complementary to supervisory control. Configure for Your Application – Each drive has a slot-based hardware architecture that educes unnec ssary add-ons and gives you the flexibility to select option cards to suit your application and expand your drive for future needs. Supported hardware control options are common for the series to help reduce your inventory and spare parts requirements. Predictive Diagnostics – Prevent unplanned downtime with predictive diagnostics and built-in protection features to help guard your investment. These settings allow the PowerFlex 750-Series to keep track of information that affects the life of the drive components. PowerFlex 755 drives 250 kW/350 Hp and larger have additional diagnostic features including built-in protection devices. The PowerFlex 753 and 755 AC drives offer more selection for control, communications, safety and supporting hardware options than any other drives in their class.
ProGear doublebacker drive upgrade eliminates obsolete DC drive and bull gears.
ProDisplay achieves a new level of plant floor visual management and accountability.
es drives ty: 53 and
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ProPress thermal transfer components improve bonding. Feedback – Options include Universal, Encoder and Dual Encoder feedback options. The Universal Feedback option includes multiple feedback interfaces to support a wide range of applications. Interfaces supported are Incremental, EnDat and Hiperface for Stegmann and Heidenhain high resolution feedback, SSI and BiSS for rotary and linear applications. The drives also provide automatic feedback loss switchover. Application-matched Packaging – Gain additional flexibility with packaging options that address a range of application and environmental protection requirements.
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ProSet combines machine control and set-up control into a single solution for FFGs.
ProTouch patented soft-touch technology eliminates operator adjustment of the paper gap.
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Corr24 is the Chicago Electric brand of upgrades for the corrugating industry. More than 3,500 upgrade solutions have been installed in the last 25 years.
ICPF Works (CONT’D FROM PAGE 6)
Box Shipments ( U.S. Corrugated Product Shipments) Industry Shipments In Billions of Square Feet Month March 2020
By the end of next year, ICPF will have provided over $13 million in donations of equipment and grants to uni- versities, and millions more in design software. Some of the elements of the most recent initiatives enabled by ICPF provided equipment, software and grant awards over the past three years include creation of three new corrugated packaging design labs; funding for addition- al corrugated faculty at four universities; introduction of sales and business into packaging courses; launch of corrugated packaging curricula in two paper science en- gineering programs; creation of a program to promote corrugated packaging to attract high school students into university packaging programs; introduction of digital printing on two campuses; expansion of a packaging de- sign program to include evaluation and testing of corru- gated materials; creation of new packaging degrees and certification programs for undergraduate students; and expansions of existing corrugated testing and packaging design labs. In addition to thanking its corporate partners for en- abling these donations, ICPF wishes to thank TMI, Arden Software, Esko, Gerber Technology and other corrugat- ed suppliers for the discounts and donations provided in support of ICPF’s ongoing Corrugated Packaging Awards Program for universities and students. Visit careersincorrugated.org for more information.
Percent Change Avg Week Percent Change
Percent Change Avg Week Percent Change
Containerboard Consumption (Thousands of Tons)
Percent Change Year-to-Date Percent Change
Container Board Inventory - Corrugator Plants (Thousands of Tons)
Corrugator Plants Only
Percent Change Weeks of Supply
SOURCE: Fibre Box Association
May 18, 2020
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Jimmie Johnson, Formerly Of Progress Container, Dies At 84
on our house, the business opened and soon was thriving. He was the ultimate American entrepreneur.” Johnson was also known for his integrity in life and in business. He believed in treating his employees fairly and with compassion, and many today say that he was the best man they ever worked for. Bill Hammock, who worked with him for decades, said, “I cannot put into words what he has done for me and my family. He made me a better person both in my career and as an individual. I will dearly miss him, and he will always be in my thoughts every day.” Johnson was active in his community, church and the corrugated industry. As a young man, he became a dea- con in his church and he was a longtime member of AICC. Jim Johnson Jr. remembers his father as a devoted family man: “He loved his children dearly, and led with his faith in Christ,” he said. “Each child felt as if they were spe- cial to him. His work ethic and faith taught them the values that would sustain them in their own lives. If you ask any of his children what words of advice did your father give, each would respond with, ‘Remember who you are!’ In our house, that meant if you are from his family, you have a responsibility to do the right thing all the time...and don’t embarrass the Johnsons!” Expressions of sympathy may be sent to Jim Johnson Jr., Progress Container, 635 Patrick Mill Rd. SW, Winder, GA 30680, or firstname.lastname@example.org. Online condolences may be seen or sent to www.wagesfuneralhome.com .
Jimmie Andrew “Jim” Johnson, former President and own- er of Progress Container Corp. in Winder, Georgia, passed
away on Friday, May 8. He was 84. Johnson was born on the family farm in Grayson, Georgia, on April 25, 1936. He graduated from Snell- ville High School and lived in Snell- ville, Georgia, for many years. As a young man he was an accomplished salesperson in the printing industry.
In the 1960’s he went to work for a corrugated box plant in Conyers, Georgia, where he thrived in selling packaging in the north Georgia market. In 1971, he opened Progress Container Corporation in Lilburn, Georgia, and in 1974 moved to a new facility in Lawrenceville, Georgia, expand- ing to provide high graphics packaging and industrial packaging and the name of the company was changed to Progress Container & Display. The business outgrew the Lawrenceville facility and in 2000 moved to Winder, Geor- gia, where it is still owned by the Johnson family. “I have memories as a 7-year-old of my father sitting at our kitchen table with his soon-to-be production manager,” said Jim Johnson Jr. “They were planning the opening of Progress. With a small loan from friends and a mortgage
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Deciding Who To Bring Back To Work: Be Wary Of Discrimination Risks BY JOEL GREENWALD The laws are changing rapidly in the current pandemic/ crisis. Therefore, the legal issues discussed here are sub- ject to constant change. Consult with your counsel for advice.
dates, and demand for products or services may not yet be where it was a few months ago. For others, the pandemic has forced the realization that they can operate without certain employees or job functions. In making such deci- sions, companies should be aware that selecting certain employees to return to work—and not others—can carry discrimination risks. With a limited number of positions to fill, a company should think carefully about who it decides to bring back and about what factors go into making that decision. Imagine selecting someone who has no known health issues over someone that has a known medical condi- tion, or passing over someone older than 60 to rehire someone decades younger. Although these decisions by themselves may not be made for discriminatory rea- sons, a company could face legal claims if it is perceived as making decisions based on a protected class, such as
With more businesses around the US getting the go-ahead to open again, and as businesses plan for their own reopening and ramping back up, many employers will face the reality that they can’t bring back
all their furloughed or laid-off employees. For example, a business’s operations may be limited by government man-
race, gender, religion, etc., under various federal and state discrimination laws, or if those decisions disproportionately impact certain protected classes. In deciding who to bring back to work, employers should have objective criteria such as seniority, documented past sales performance, or other factors that may further business goals. Companies should then apply these criteria across the board and properly document the selection pro- cess and decisions. The selection process doesn’t necessarily need to be rigid, but it does need to be based on a legitimate business reason that is not discriminatory. For example, a company may choose not to rehire more experienced employ- ees because it can no longer afford to pro- duce the product they had been working on. A decision such as this one should be carefully thought out and the business rea- sons for the decision should be well-docu- mented to show that it was based on op- erational needs, rather than, for example, the employees’ ages. Companies may also consider first asking employees whether they would like to come back, as some em- ployees may be reluctant or decline. Ultimately, companies will need to artic- ulate legitimate, non-discriminatory busi- ness reasons for their selection decisions, and ideally be able to provide the relevant documentation if needed as support. Re- hiring decisions involve many legal consid- erations, in addition to discrimination con- cerns. Consult experienced employment counsel about your rehiring plans and to ensure compliance with applicable laws. Reach Joel Greenwald at (845) 589- 9300 or email@example.com.
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May 18, 2020
TAPPI’s #StrongerTogether Shines Spotlight On Corrugated Industry’s Spirit Of Goodwill There is no doubt that the COVID-19 Coronavirus has challenged all of us. It has changed the way we work and live. It is also serving as a re- minder that together, we can emerge from this crisis stronger and better. The TAPPI #StrongerTogether campaign amplifies some of the amazing
Packaging ERP Algorithmic Scheduling Web-Based Access Online Customer Portals
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stories of how the corrugated packaging industry has pulled together to help others in need – whether it be delivering critical aid and supplies to local and global communities or responding to increased demand for essential products crucial for daily life. TAPPI’s Web Content Manager Kristin Whitman has been cataloging the stories on tappi.org/stronger- together and would like to include your story, too. Send an email to her at email@example.com, Here are a few of the stories we’ve heard so far: • SUN Automation Group in Glen Arm, Maryland donated 240 of its own inventory of N95 masks to The University of Maryland Medical System to support medical workers on the front lines. They donated boxed meals to its local EMS Long Green Volunteer Fire Department to say “thank you” to first responders, and also donated boxed meals to the entire Emergency Department of Medstar Union Memorial Hospital in Baltimore who are on the front lines of the COVID-19 fight. • Packaging Corporation of America (PCA) stepped up when severe storms and at least one tornado slammed through Central Tennes- see early in March, causing widespread damage. The areas of devas- tation included the cities of Nashville, Lebanon and Cookeville. • PCA’s local Hexacomb Sales Representative, A.J. Johnson, learned that volunteers at his local disaster recovery site needed boxes — both to collect donated items like water, food and clothing and for families trying to salvage personal items. Johnson turned to PCA’s sheet plant in nearby Gallatin for help. The plant’s Sales Manager, Walter Glenn, had the plant jump into action to produce boxes for the relief efforts. Glenn then packed up the boxes in his car and drove 90 minutes to Johnson’s house to deliver them. Johnson distributed the boxes to the volunteers at the recovery site, as well as to fami- lies who needed containers to collect any found items in the area. He also donated the tape needed to set up the boxes. According
CONTINUED ON PAGE 16
May 18, 2020
“We can help you adapt and optimize with our proven, agile solutions.”
Cosmo DeNicola Chairman, Amtech Software
Customer Service Disruptions Remote Workforce Platform
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Move to the Amtech Cloud Network and Data Security Tools
“Forget months...great things can happen in weeks, days, and hours.”
Give us a call at: 215.639.9540 Reach out to: firstname.lastname@example.org www.amtechsoftware.com
TAPPI’s #StrongerTogether (CONT’D FROM PAGE 14)
Maximize Production You Get Faster Speeds And Less Crush With Matched Feed And Pull Roller Sets
to Johnson, “Bottom line, I feel blessed to be able to help just one person that was affected by this tragedy. Thankfully, with the help of our PCA family in Gallatin, I was able to give a few boxes to four different families to help salvage some memories from the past and pre- serve them for the future. Each family that received the boxes was so appreciative, and even tears of gratitude were shed.” Additional stories of PCA employees’ generous out- reach include: • Rick Geething, Lora Markham and Julie Keener at PCA’s Ashland, Ohio, plant coordinated a box donation to the food bank run by the Ashland Salvation Army Ray & Joan Kroc Center. • Megan Stallings and the team at PCA Morganton do- nated 1,000 unprinted cartons to the Burke Outreach Center. Typically, the center provides food to 280 fam- ilies each month, but due to the coronavirus they are expecting to serve around 1,000. • PCA Vincennes donated boxes to Backpacks of Love for its school system, making sure students still receive their weekend food during school closures. The organi- zation buys and delivers food for students in local com- munities to supply weekend meals to needy children.
Want a simple way to upgrade your production lines for more output with less waste? ARC International has the key: Matched Set feed and pull rollers.
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• Megan Stallings and PCA Morganton donated boxes to Burke County Public Schools to help them distribute meals to children in the community. These kids typically rely on school lunches to meet their nutritional needs. • PCA in International Falls, Minnesota is proud to sup- port the Backus Community Center and its Community Café, which provides a free, hot, nutritious meal to any- one in the community. • PCA corporate has partnered with local hospitals and restaurants to cater meals for the medical staff who are working on the frontlines of this pandemic. This helps local businesses and also shows support to all the medical personnel who are caring for those affected by the virus. • PCA employee and Greater Valdosta United Way Board member Brittney Hull presented Greater Valdosta Unit- ed Way with a generous donation. Visit www.tappi.org/strongertogether to see more how the industry is stepping up. Send your stories to email@example.com.
The ARChitects of Flexo should be on your team. Contact us today to learn more about how ARC can engineer Matched Sets to get unmatched performance.
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May 18, 2020
2/3/20 11:10 AM
Creating a Stronger Packaging Industry in the Post COVID-19 Environment
Unfortunately, thanks to COVID-19, the concept of Box plants without walls has gone from a futuris- tic idea to being critical for survival.
COVID-19 has taught us many things. Including the need to be agile to meet the needs of an ex- panding supply chain and surging demand. In addition, it taught us that our office staff, customers, production, and sales teams need to collaborate online, be mobilized, untethered to on-premise computers, and have full access to real-time data stored in The Cloud. Delivering sophisticated packaging (whether digital or brown) while meeting clients’ needs requires systems that are fully INTEGRATED not just INTERFACED. For years the Packaging Industry has met the needs of the emerging e-Commerce industry while themselves escaping from the consumer online revolution. I have always questioned why we can order almost anything online 24/7 (while in our pajamas) without any intervention, but if we need packaging it takes a team of people to fol- low-up and multiple interfaced systems just to initiate the process. Instead of just being an observer, we went to work!
At Amtech we devoted 100,000-man hours creating new and TRANSFORMATIONAL business appli- cations that are hosted in the Amtech Cloud. They provide our customers:
• Online and fully integrated Customer Service Portals with 24/7 collaboration from inquiry to in- voicing • Paperless Workflows with integrated dynamic scheduling from quoting to invoicing • Hosting Services that get clients out of the IT business with included cyber security and man- aged network services • Remote Workforce tools that let you hire the best and brightest with access to the national talent pool, not just your area • Realtime Data and Controls for recording and enhancing productivity with digital sensors
Quite simply, we have the technology NOW to provide “Amazon-like” capabilities that take advantage of Apple devices and Google data.
Obviously, during the current viral scare companies are hesitant to initiate projects. However, most advances can be done incrementally. Forget years and months… great things can be implemented in weeks, days and hours. Examples are everywhere. Banks had 10 days to create their PPP SBA Portal, the Federal Government only had weeks to develop systems to distribute and track millions of stimulus checks. It can be done, plus the best time may be while your administrative workforce is remote and has availability.
Knock down the walls……
Cosmo DeNicola Chairman amtechsoftware.com/agile-business-solutions 215.704.9955
Copyright © 2020 Amtech Software. All rights reserved.
AF&PA: U.S. Paper Industry Achieves Consistently High Recycling Rate The American Forest & Paper Association (AF&PA) last week announced 66.2 percent of paper consumed in the United States was recovered for recycling in 2019. Over the last decade, the U.S. paper industry achieved a consistently high recycling rate, meeting or exceeding 63 percent since 2009 — a rate that’s nearly doubled since 1990, when the industry first set a paper recycling goal. The recycling rate for old corrugated containers (OCC) in 2019 was 92.0 percent, and the three-year average OCC recycling rate is 92.3 percent. “Paper recycling continues to be an environmental suc- cess story,” said AF&PA President and CEO Heidi Brock. “More than twice as much paper is recycled than is sent to landfills, saving an average of 3.3 cubic yards of landfill space for each ton of paper recycled. This is a testament to consumer behavior and an industry commitment to pa- per recycling. AF&PA members continue to invest in man- ufacturing infrastructure that will allow us to recycle even more paper in the years ahead.” Paper recycling helps extend the life of paper and paper-based packaging products, making it an integral part of the industry’s sustainability story. Recycled paper fibers can be used at least seven times to make new and innovative paper products.
Delivering ultra-high performance S-Board ™ liner and medium grades and world-class technical service. Bonus: those boxes make really awesome places to play
BCN(US)202003(o)(出血5mm).pdf 1 2020/4/6 下午 01:37:15
May 18, 2020
WestRock Reports Reduced Q2 Sales
Norcross, Georgia based WestRock Company has an- nounced results for its fiscal second quarter ended March 31, 2020, and provided an update related to the impact of the COVID-19 pandemic on the company. Net sales of $4.45 billion decreased by 3.7 percent compared to the prior year quarter. Corrugated Packag- ing segment net sales declined $108 million, primarily due to lower corrugated selling price/mix, partially offset by higher volumes. Consumer Packaging segment net sales declined $52 million, primarily due to lower selling price/ mix, lower volumes and the unfavorable impact of foreign currency. Segment income decreased $61 million compared to the prior year quarter. Corrugated Packaging segment in- come decreased $66 million and Consumer Packaging segment income increased $6 million. Given the uncertainties associated with COVID-19, the company is building on its financial strength by providing one-time recognition awards to manufacturing and op- erations teammates, matching the supply with customer demand and decreasing salaries and retainers up to 25 percent for the senior executive team and board of direc- tors. The company expects to use company stock to pay its annual incentive and company funded 401(k) contribu- tions in 2020. WestRock has announced a reduction in fiscal 2020 capital investments by approximately $150 million, to a level of $950 million and a reduction in fiscal 2021 capital investments to a range of $600 to $800 million. It is also resetting its quarterly dividend to $0.20 per share for an annual rate of $0.80 per share. IP Donates 10,000 Boxes To North Carolina Food Bank According to local media reports, Memphis, Tennes- see based International Paper (IP) donated 10,000 cor- rugated boxes to the Food Bank of Central and Eastern North Carolina (FBCENC). Boxes were delivered to the FBCENC headquarters and distribution center in Raleigh, where they were packaged and distributed to five other distribution centers across the 34-county service area. They will be picked up by nonprofit partners for their cli- ents and families. Each family typically receives one box filled with enough food for 20 meals, supporting 10,000 families or individuals in a crisis. “Food insecurity is a critical problem in our local com- munities and the COVID-19 pandemic has added to an already existing issue,” said Adam Miklos, Mill Manager at IP’s New Bern, North Carolina, mill. “We are happy to continue our collaboration with FBCENC as they work to meet the increased need during this pandemic.”
May 18, 2020
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Valco Melton Offers SealTak For E-commerce Packaging
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May 18, 2020
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ICG Members (CONT’D FROM PAGE 1 )
travels home, it was obvious that everyone had been in contact with those at home and work and that plans were in the works for how their companies were going to cope with whatever was to come. By mid April, ICG members were adapting to the “new normal” in many ways. By this time it was readily apparent that their businesses were critical for a functional society during the COVID-19 crisis and deemed by the government as “essential businesses” allowing workers to travel empty streets and report to work. Some had to shut down for 24 to 48 hours to sanitize their facilities and get re-entry plans in place, which included taking employee’s temperatures prior to their entry into the building through a new, one- way traffic pattern. Staggered shifts were implemented to keep passing contact at a minimum and working compart- ments were designated with break rooms for each depart- ment, again to minimize contact and many office workers were shifted to working from home. Serving Customers As the country began hitting its stride adjusting to the challenges of working in various stages of social dis- tancing and quarantine, ICG members were busy serving the needs of their customers, many of which are supply- ing critical medical and food products. Outlook Group in Neenah, Wisconsin, were focused on meeting the spike in demand to deliver packaging for critical customers pro- ducing food for our homes and medical products, such as thermometers for our healthcare workers. “We have add- ed hourly workers, most of whom were laid off from local businesses, and added overtime to our schedules to meet the needs of critical customers,” said Jim Woller, Market Development Manager for Outlook Group. “As well, we’ve taken on first priority business from companies converting to the production of hand sanitizing products in our flexi- ble packaging and folding carton categories.”
In one of the hardest hit areas of the country, Accurate Box in Paterson, New Jersey, and its 300 employees were working hard to keep their customers, many in the club store food sector, supplied in critical packaging. “Many of our customers are struggling to manage their needs and many are ordering 30 percent more than normal while we are producing with many of our employees out due to the
CONTINUED ON PAGE 26
May 18, 2020
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ICG Members (CONT’D FROM PAGE 24)
Board Converting NEWS INTERNET DIRECTORY
illness,” said Lisa Hirsh, President of Accurate Box. “There are a lot of multi-generational families living in very tight quarters in our area and we have lead a drive to help get critical supplies to these families. It’s been a wild ride for our company and for the entire region.” In Lake Forest, Illinois, Colbert Packaging was working hard to address the escalated needs of their majority phar- maceutical and healthcare customers. Over the years Col- bert has proactively developed and maintained a Business Continuity Plan (BCP). “Having a robust BCP is a great as- set for us in these challenging situations and these times
Advantzware provides a flexible and comprehensive sys- tem to address the business management needs of the in- dependent box business, as well as the ERP requirements of full scale packaging plants and integrated companies. With modules for estimating, scheduling, production, inven- tory and accounting, this scalable system supports packag- ing plants that produce corrugated boxes, folding cartons, point of purchase displays, assembled partitions, paper- board products, foam fabrication, as well as distribution of packaging supplies. Advantzware has been in operation for over 25 years and continually enhances our system to ad- dress the needs of the industry. AIR CONVEYING CORPORATION www.accfi lter.com Air Conveying Corporation has been designing, manufac- turing, and installing state of the art trim removal systems for the Corrugated, Folding Carton and Printing industries for more than 49 years. Contact us today.
help us to continually refine the plan and be better prepared for the next challenge,” said John Lackner, Presi- dent at Colbert. “Benefits of being an ICG member are apparent in this sit- uation in that we have been able to leverage collective input to enhance our BCP based on the leanings of
other members. We are also getting great service from our suppliers who have come through with critical compo- nents based on the power of the ICG.” The company participates in a scholarship program with the Elkhart Urban Enterprise Association and while schools were closed they hired several college students in the program allowing them to gain valuable learning ex- perience and an income while official classes are not in session. Colbert also contracted with a local seamstress to make masks for their employees. Anyone trolling LinkedIn these days will see how companies are helping their communities cope with the pandemic, the folding carton industry and ICG members are no exception. Of the few that were contacted for this article all are involved in “giving back” in various ways. With the growing and critical need for Personal Protective Equipment (PPE) by healthcare workers and first respond- ers Diamond Packaging of Rochester, New York, Vista Color of Miami, Florida and Zumbiel Packaging of Hebron, Kentucky are three ICG members that have participated in the design, production and delivery face shields locally and internationally. Diamond Packaging CEO and owner Karla Fichter said “We saw an opportunity to help in this challenging time.
ALBANY INTERNATIONAL www.albint.com
Albany International has a corrugator belt for every appli- cation. Our reputation for durable performance is the trade- mark of the most dependable belts in service today.
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For a wide variety of new and used equipment on today’s market, visit our website. You can e-mail us directly from the site for all your corrugated needs.
AMTECH SOFTWARE www.amtechsoftware.com
Amtech offers the industry’s most innovative and compre- hensive corrugated and packaging ERP, integrated sched- uling software, and engineered automation technology. For over 30 years, Amtech has remained at the backbone of successful businesses from the independent box makers to the largest integrateds. We keep our customers competitive in an ever-changing economy with options such as custom- er digital storefronts and workflows, business intelligence, automated scheduling for corrugators, converting and ship- ping, proactive roll stock and inventory management, and so much more in an integrated, single vendor environment. APEX INTERNATIONAL www.apex-groupofcompanies.com World’s largest Anilox and Glue & Metering roll manufac- turer, providing the widest selection of corrugated engrav- ings and complementary services. Anilox engraving options available from our North American manufacturing facility include elongated 75°, 60°, 45°, plus Apex’s patented GTT technology. Glue rolls are produced with Hardened Stain- less Steel and a max TIR of 10 µ for Single, Double Facers.
We’ve been working on designing, redesigning, and improving the face shields to come up with something that can truly benefit all the brave people out there on the front lines every day and taking chances for themselves and their families.” Di- amond has donated over 10,000
face shields to UR Medicine Home Care in Webster, New York, and nearly 200,000 more to hard hit areas in differ- ent states. Diamond is also supporting essential business-
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