Board Converting News, May 2, 2022

Inflation Busters (CONT’D FROM PAGE 32)


by loan agreements. “Banks look at covenant violations closely, so borrowers need to ensure that any squeeze in the relevant ratios—such as income to debt—will not cre- ate problems,” said John McQuaig, managing partner of McQuaig & Welk, the Wenatchee, Wash., based manage- ment consulting firm ( ). “Sometimes there is no quick fix for resolving them.” It’s smart to be proactive. “If you know you’re going to have a covenant violation, you’re better off informing the bank and explaining to them how you’re going to work your way out of it,” said McQuaig. “On occasion, they might change a ratio on a line of credit if you’ve been in good performance and they can see this is not going to remain a problem.” McQuaig gives an example: Suppose a company expe- riences an increase in interest rates because of inflation. As a result, they break even in a year in which they would normally make a profit. The company could inform the bank that their inflation-savvy customers are now willing to accept price increases. As a result, the business can increase its pricing over the coming year to resolve the covenant violation. Phillip M. Perry is an award-winning business journalist whose byline has appeared over 3,000 times in the na- tion’s business press. Contact him at .


Corrugated Replacements, Inc. is a production powerhouse that manufactures high quality machine parts and replace- ment parts for the corrugated and paperboard converting industries. CRI can redesign, engineer, and manufacture any part while providing a rapid turn-around rate, keeping machines running at their peak performance and limiting down time.

C.U.E., INC. www.Anvi

Makers of single and dual-width Timesaver® Anvil Covers, the premier urethane anvil cover for corrugated die cutting. Timesaver® covers feature construction of solid steel back- ing and solid steel locking components to ensure a precise fit every time. C.U.E., Inc. also offers Dura-Latch and Cor- Lock anvil covers, and urethane Lead Edge Feed Wheels.


The EMBA group supports a complete line of corrugated converting machinery for the worldwide market. EMBA’s Quick Set technology enables the highest productivity across a broad range of converting equipment, from mini to super jumbo. EMBA also includes the McKinley jumbo line of flexo folder gluers and rotary die cutters as well as ser- vice, rebuilds and upgrades for both EMBA and McKinley.


Eaglewood Technologies provides the award winning Sitex- co Laser Systems, Sanilox™ Systems and Sani-Blast™ Mobile Service. All systems are safe for the environment and pro- vide proven tested results. Sitexco Laser Systems are the latest technology in anilox roll cleaning and are perfect for packaging and label printers.


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ArtiosCAD and Kongsberg are the most trusted names in CAD/CAM solutions. Esko’s ArtiosCAD is the most widely used CAD software in the world. Esko’s Kongsberg series of tables brings you reliable, outstanding quality for sample- making and short run production.


Domino is a leading manufacturer and distributor of digital printing and product identification solutions. Celebrating its 44th year, Domino is headquartered in the UK and North America headquarters are Illinois. Domino has 25 subsid- iaries, representation in over 120 countries, and over 2,900 employees worldwide .

Len Prazych at 518-366-9017

34 May 2, 2022

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