BoardConverting Serving the North American Corrugated and Folding Carton Industries for 40 years May 12, 2025 VOL. 41, NO. 19
Smooth Successions: Family Box Makers Plan For Their Futures BY SUSAN RILEY Succession planning can be an unpleasant or even painful topic fraught with emotion for family-operated businesses. Who relishes planning, much less formalizing their own demise? Hopefully, the thought of that was less daunting following a breakout session moderated by Dan Prisciotta, founder and Managing Partner of PrisCo Financial, at the recent AICC Spring Meeting in Bonita Springs, Florida. Prisciotta stressed that succession planning, while not a fun topic, is something that family business owners can’t afford to ignore.
Welch Packaging Group Acquires JaMar Packaging Elkhart, Indiana based Welch Packaging Group, Inc., a family-owned and operated manufacturer of custom corrugated products, announced its acquisition of JaMar Packaging of West Chicago, Illinois. Founded in 1979, JaMar Packaging focus- es on creating corrugated packaging solu- tions emphasizing sustainable materials and lean manufacturing programs. JaMar employs Just In Time (JIT), Vendor Managed Invento- ry (VMI), and Kanban practices to efficiently meet customer needs. Owners Jeff Heise and David Maday, along with long-time business associates Julie and Dave Reich, will continue to lead JaMar Packaging and will join Welch Packaging to serve new and existing custom- ers in greater Chicagoland. “We are delighted to expand our presence in this region and welcome Jeff, David and the Reich’s to our management team, along with the dedicated associates at JaMar,” said Scott Welch, President and CEO of Welch Packag- ing. “I have known Jeff for many years and the combination of our businesses will be of great benefit to JaMar customers and their associ- ates. Our expanded capabilities, combined
“Nobody wants to think about their demise, but as they say, ‘No- body gets out of this life alive,’” he said. “When it comes to sharehold- ers agreements, wills, and trusts, it’s not a set it and forget it. You do have to review it every couple of years or have someone walk through it with you and make sure it meets the goals and objectives and is go- ing to accomplish its intended purpose.” An ironclad succession plan helps ensure business continuity for the next generation of corrugators and prevent misunderstandings. The experts on the panel — Jeremy Cohen, Vice President and Gen- eral Manager, Acme Corrugated Box Co.; Kim Nelson, President and CEO, Royal Containers; Mark McNay, President, SMC Packaging Group; and Brock Welch, Sales Manager, Welch Packaging — were candid with their perspectives and willing to share their experiences. CONTINUED ON PAGE 24 From left, Dan Prisciotta, Founder/Managing Partner of PrisCo Financial; Jeremy Cohen, VP/GM of Acme Corrugated Box Co.; Kim Nelson, President/ CEO Royal Containers; Mark McNay, President, SMC Packaging Group; and Brock Welch, Sales Manager, Welch Packaging.
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WHAT’S INSIDE
6 x x 8 x x 12 x x 26 x x
Meyers Acquires Mankato Packaging
IP Celebrates Groundbreaking Of Box Plant In Waterloo, Iowa
10 Greif Closes Paper Mill In Los Angeles 12 Charles ‘Chuck’ Fienning Inducted Into AICC HOF
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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 42# Kraft liner 26# Semi-Chem. Medium $ 900.00-925. 00 $ 825. 00 -$850.00 U.S. Average 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. 42# Kraft Liner 26# Semi-Chem Medium East $970.00 $960.00 West $1,015.00 $995.00 REGION
or safe ground for businesses who are finding it difficult to compete,” said Welch. “They may have strong relations with their associates, they really care about their custom- ers, and they’ve been active in their community, but they just don’t have a good option. With technology and capital costs being so high, it’s not easy to compete anymore. In that circumstance I want that business owner to see Welch Packaging as a possible lifeline, a way for their legacy to continue. Welch Packaging first entered Chicagoland in 1994, and JaMar will become its third sheet plant facility serv- ing this important market. For JaMar customers and as- sociates, this acquisition reinforces Welch’s commitment to serve customers across a seven-state area with broad capabilities while providing a great associate experience. JaMar owners, from left, Jeff Heise and Dave Maday.
Welch Packaging Acquires (CONT’D FROM PAGE 1)
with the experience and commitment of the JaMar team will be a win for customers and the Chicago market. Also, our network of sheet plants will give JaMar associates op- portunities to grow.” Welch added, “Our collaboration with JaMar aligns with our mission of acquiring top-tier independent sheet plants with strong leadership teams and integrating them into our family of companies while maintaining their legacy.” The acquisition of JaMar Packaging represents Welch’s 40th acquisition—which happens to coincide with the company’s 40th anniversary. “We want to be an umbrella
CONTINUED ON PAGE 6
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Welch Packaging Acquires (CONT’D FROM PAGE 3)
both existing and new clients with greater value and in- novation. “This is an exciting milestone for Meyers as we continue to grow our folding carton capabilities and expand the im- pact we can make for our clients,” said Christopher Dillon, CEO and co-owner of Meyers. “We’re thrilled to welcome new customer relationships and strengthen our presence in an industry that aligns so closely with our purpose. As an independent, family-owned company, we remain deep- ly committed to delivering exceptional service, driving sus- tainable innovation, and building long-term partnerships that go beyond packaging.” Michael Dillon, Chief Revenue Officer and co-owner of Meyers, added: “We’ve built a strong partnership with Mankato Packaging in recent months, and we’re excited to take this next step together. We’ve long respected their contributions to the packaging industry and see this as a great opportunity to expand the value we deliver—espe- cially in the folding cartons space. It’s a meaningful move in our continued commitment to sustainable, high-quality packaging and long-term client partnerships.” Todd Loosbrock, President of Mankato Packaging, shared his excitement about the acquisition: “This acqui- sition brings together two companies that share a deep commitment to quality, service, and sustainability. Meyers’ industry leadership and purpose-driven mission made them the ideal partner to build on the strong foundation CONTINUED ON PAGE 8
“We are excited to join the Welch Packaging family of companies,” stated Heise and Maday. “Becoming part of the Welch sheet plant network, backed by their sheet feeder system, will enable us to offer enhanced product capabilities, design resources, and additional services to both existing and new customers, while also providing a strong cause for our team members.” Specific terms of this agreement were not disclosed. Meyers Acquires Mankato Packaging Minneapolis, Minnesota based Meyers, a leading provider of sustainable packaging solutions, announced the acqui- sition of Mankato Packaging of North Mankato, Minnesota. The company said the strategic move underscores its con- tinued commitment to expand its presence in the folding cartons sector—a key component of its mission to deliver industry-leading, sustainable packaging solutions. The acquisition enhances Meyers’ folding carton solu- tions by combining the resources, technology, and exper- tise of both companies. Mankato Packaging and Meyers serve overlapping industries—including food & beverage, life sciences, and health, beauty, and cosmetics—making this a natural fit that strengthens their ability to support
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Meyers Acquires (CONT’D FROM PAGE 6)
that Mankato Packaging has laid,” said Loosbrock. Meyers said the acquisition adds new client relation- ships, expanded scale, and a talented team to its organi- zation and enables them to deliver more value to custom- ers while maintaining the personalized service its partners have come to expect. The company says it is honored to carry forward Mankato Packaging’s nearly century-long leg- acy of quality and service. IP Celebrates Groundbreaking Of Waterloo, Iowa Box Plant Memphis, Tennessee based International Paper (IP) an- nounced the groundbreaking of its new state-of-the-art sus- tainable, packaging box plant in Waterloo, Iowa. Located in the heart of the Midwest, the new facility will primarily focus on serving the protein segment, providing
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tailored packaging solutions, and meeting the growing de- mand for high-quality, sustainable packaging. “We are thrilled to break ground and invest in our com- pany and the city of Waterloo,” Said John Berry, Group Vice President, International Paper. “This facility represents our dedication to growing in markets where we want to compete, advancing our capa- bilities and ensuring our customers receive quality and re- liable products. We look forward to our continued future in Waterloo and are very grateful to everyone who has made today possible.” International Paper said that the Waterloo box plant will feature cutting-edge technology and equipment, enabling them to deliver innovative and sustainable packaging solu- tions incorporating the latest safety practices and industry technology. The new facility is scheduled to begin operations in the fourth quarter of 2026 and create an estimated 65 new jobs to the current facility with a total of 190 team members. The company employs more than 65,000 team mem- bers and serve customers around the world with operations in more than 30 countries. For more information, visit internationalpaper.com .
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Smurfit Westrock Announces Capacity Reductions, Closures
career transition assistance and relocation opportunities where possible. “While closing facilities is never an easy decision, it is based on a realistic expectation of current and future ca- pacity needs, operating costs and an unrelenting focus on improving our business,” said Tony Smurfit, President & Group Chief Executive Officer, Smurfit Westrock. “We are very grateful for the significant contributions made by the teams at these locations over the years and we will do all we can to support them throughout this process.” Greif To Close Los Angeles Paperboard Mill Delaware, Ohio based Greif, a global leader in industrial packaging products and services, announced it will per-
Dublin, Ireland based Smurfit Westrock announced it will permanently close its coated recycled board (CRB) mill in St. Paul, Minnesota, and will discontinue production at its containerboard mill in Forney, Texas. The specialty coating facility at Forney will not be impacted. As a result, the com- pany’s containerboard and CRB capacity is expected to be reduced by over 500,000 tons. Smurfit Westrock has also initiated consultations with local works councils in Germany with a view to perma- nently closing two converting facilities there. Some 650 employees in the US and Germany will be impacted as a result of the closures. The company said they will pro- vide support to employees during the transition including
manently close the paperboard mill in Los Angeles, California as part of its previously announced optimization efforts. The Los Angeles mill is expected to cease opera- tion in June 2025. The mill, which produces both coated recycled paperboard (CRB) and uncoated recycled paperboard (URB) is expected to remove 50,000 tons of CRB and 22,000 tons of URB capacity from the market and will end Greif’s coated paperboard pro- duction on the West Coast. “Closing this facility was not an easy decision, especially knowing the effect it has on our team members, their families, and the surrounding community,” said President and CEO Ole Rosgaard. “I want to sincerely thank our Los An- geles colleagues for their hard work and commitment over the years. As we move forward, our focus is on providing mean- ingful support, including severance bene- fits and career transition resources, to help them through this change.” Approximately 72 positions will be im- pacted. Closing the Los Angeles Mill is a result of increased costs and limited inte- gration opportunities. “We remain confident in the strength of our business and its long-term poten- tial. This is a strategic decision intended to strengthen our focus in key markets while enhancing the performance of both our existing mill network and broader business portfolio,” said Rosgaard. Greif produces steel, plastic and fiber drums, intermediate bulk containers, re- conditioned containers, containerboard, corrugated sheets and products, uncoated recycled paperboard, tubes and cores.
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Charles ‘Chuck’ Fienning, Formerly of Sumter Packaging, Inducted Into AICC Hall of Fame Charles “Chuck” Fienning, former owner of Sumter, South Carolina based Sumter Packaging Corporation and longtime AICC member, was official- ly and regally inducted into the association’s Hall of Fame during the opening session of AICC’s Spring Meeting on May 1 at the Hyatt Recency Coconut Point in Bonita Springs, Florida. As is its custom, AICC produced a video about the award winner that masterfully captured the highlights of Fienning’s remarkable life of lead- ership both in and outside of the corrugated box business, a business that was in his blood. Chuck’s mother, Eola, was the youngest Horner sib- ling of the family-owned Horner Boxes Incorporated, where Ed Fienning, Chuck’s father, worked for his brother-in-law, Dick Horner, as a salesman. In 1958, Ed and Eola moved the family to Kankakee, Illinois and built the Kankakee Container Company.
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It was at Kankakee High School that Chuck would take on his first major leadership role as the All-American captain of the school’s football team. He continued his football career at Harvard University, where he majored in economics, joined the ROTC, and based on his leadership skills, was promoted to Commander of Cadets. After graduating, Lieu- tenant Fienning was assigned to the eighth Army, second Infantry Di- vision and spent the next year in Korea patrolling the DMZ, where his leadership, entrepreneurial spirit, and compassion endeared him to the villagers and helped shape him into a confident and resilient leader. After active duty, Chuck returned to Boston and received his MBA from the Harvard Business School. Driven by his entrepreneurial spirit, Chuck and a partner opened Jim’s Happy Homes Corporation, a network of mobile home dealerships in North Carolina. With the mid-70s econom- ic crisis in full swing, the business venture proved to be less successful than expected. So, in 1977, Chuck returned to the family business, Kanka- kee Container Company. Belief In Miracles “When Gary called me a couple of months ago to tell me that I was this year’s inductee into the Hall of Fame, believe it or not, for about 30 seconds I was speechless,” said a humbled Fienning as he began his acceptance remarks. “Not now. You see, I believe in miracles, which I equate to a turtle ending up on top of a fence post.” Chuck described hearing “the voice of the Creator” telling him to mar- CONTINUED ON PAGE 14 From left, Cathy DeSollar, Sue Fienning, Chuck Fienning, Ben DeSollar, Marga- ret Ezell, and Jimmy Ezell.
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Fienning Inducted (CONT’D FROM PAGE 12)
to expand the company’s footprint to meet the growing demands of their client base. Four years later, however the business landscape shifted unexpectedly when their largest customer decided to move its business elsewhere, to a “single source” supplier. Upon Ed’s retirement in 1984, Chuck was elected pres- ident and CEO of Sumter Packaging and charged by his father to either “save it or sell it.” Naturally, Chuck chose to “save it” and under his strong leadership, unwavering re- solve, and dedication to Sumter's employees and custom- ers, the company again secured its position as a leader in the corrugated industry. “If a leader knows four things, he or she is likely to be a success,” Fienning boomed from the podium. “Recruit, train, motivate, and retain good people. That’s what I did at Sumter Packaging. I built a strong team, and in fact, one of the leaders of that team is here with us today. He’s Jimmy Ezell, Sumter’s Customer Service Manager, and was with the company 43 out of its 45 years.” Chuck and Sue’s son, Ben DeSollar, became the third-generation owner of Sumter Packaging in 2009 — it should be noted that Sue had been Vice President of the company for 40 years, from 1984-2024 — and in January 2004, DeSollar passed his ownership of the company to the Hood Container Corporation, another AICC member. (Ezell is still “in collaboration” with Hood.) Fienning made it a point to “call out” former AICC CONTINUED ON PAGE 16
ry, Sue, the sweetheart of his life he’d met in high school and with whom he reconnected at their 15th high school reunion when they were both 33. The voice told Chuck she was “the one.”
Chuck Fienning
Chuck and Sue married later the same year and raised four sons, Ben, Ted, Sam, and Henry. In 1981, following the advice of their largest customer, Chuck’s father, Ed, opened Sumter Packaging Corpora- tion in Sumter, South Carolina. The new venture aimed
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AICC Midwest Region Taking Applications For $5,000 Scholarships Cassi Malone, Vice President of Sales at Corrugated Sup- plies Company and AICC Midwest Region Director, an- nounced that the Midwest Region is offering two $5,000
Fienning Inducted (CONT’D FROM PAGE 14)
Chairman Joe Palmeri of Jamestown Container Compa- nies to thank him for coming up with the slogan, “Invest and engage and AICC will deliver success.”
scholarships to children or grandchildren of full-time em- ployees of companies who are members or associate mem- bers in good standing of AICC Midwest Region. The AICC Midwest Region’s
objective is to provide financial assistance to young men and women with their college edu- cation and encourage students to strive for higher scho- lastic ideals. The scholarship is available to students accepted to or enrolled in undergraduate or graduate studies at an ac- credited junior college, trade school or university. It will be awarded at the AICC Midwest Region Golf Out- ing on Monday, July 21 at St. Charles Country Club in St. Charles, Illinois. The deadline for applications is June 6. For more information on the scholarship and to obtain an application, contact Shari Saeger at ssaeger@inspi- reautomation.com.
“That’s exactly what happened in my case,” concluded Fienning. “I say do business with the AICC associates be- cause they will help bring you success. I want to thank you again for this wonderful recognition. May God bless you.” AICC Chairman Gary Brewer welcomes Chuck Fienning into AICC’s Hall of Fame.
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Colbert Packaging Presents TICCIT Program To Elementary Students Students from Riverview School in Silver Lake, Wisconsin, and Bittersweet Elementary School in Mishawaka, Indiana, recently learned the answers during a special presenta- tion given by corporate neighbor Colbert Packaging (col- bertpkg.com). Building on its tradition of educating stu- dents about sustainability and the circular lifecycle of trees and papermaking, Colbert employee teams reached more than 150 second- and third-grade students with ‘TICCIT’ presentations. TICCIT is an acronym for “Trees into Car- tons, Cartons into Trees.” After learning how paper is made from trees, students viewed photos from Colbert’s manufacturing locations showing huge rolls of paperboard ready to be loaded onto presses for printing, cutting, and gluing into cartons to hold medicines and various consumer goods. Since pa- perboard is 100 percent recyclable, photos also depicted how Colbert collects production scrap, recycling tons of material in a typical year. In addition, Colbert’s commitment to sustainability includes support of zero manufacturing waste to landfill practices, certification with the Sustain- able Forestry Initiative (SFI) and the Forest Stewardship Council (FSC), and participation in EcoVadis’ business sus- tainability ratings platform. Colbert Packaging has earned an EcoVadis rating that puts the company in the top 35
percent of rated companies, globally, for sustainability. After the presentation, the hands-on activity gave stu- dents the opportunity to plant a sapling into a biodegrad- able paperboard carton filled with soil to bring home. The carton can be planted directly into the ground, providing
protection and a natural water funnel for the new tree. As the tree grows, the carton will break down and complete the “trees into cartons, cartons into trees” cycle. “The TICCIT curriculum teaches the next generation that trees are a sustainable crop, just like other agricul- CONTINUED ON PAGE 20 Silver Lake third graders enjoyed the planting activity.
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Colbert Packaging Presents (CONT’D FROM PAGE 18)
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tural crops such as corn and soybeans, and highlights the importance of recycling,” said Colbert Marketing Manager Wanda Speer. Riverview School elementary teacher, Andrea Zackery summed it up: “The TICCIT program’s presentation on recycling, reforestation and environmental restoration by planting trees to combat climate change, restore ecosys- tems, and promote biodiversity was very beneficial for our students. They are excited about helping the environment
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by planting their trees. Some of the students even gave their trees a name! The volunteers are helpful and kind and show passion for what they do.” Earth Day 2025 marks the eighth year of Colbert’s in- volvement in TICCIT. The event was organized and led by Colbert Human Resources Managers Todd Douthit and Kevin Pittner, along with volunteer employees from Col- bert’s Kenosha and Elkhart locations. Created by the Paperboard Packaging Council (PPC), of which Colbert Packaging is a member, the TICCIT pro- gram teaches young learners about the role trees play in the environment and underscores the importance of recy- cling. Children learn to recognize sustainable packaging and understand how recycling paper-based packaging completes the circle of cartons into trees. The TICCIT pro- gram was launched by the PPC in 2010 and is available to schools, organizations, home schools and sponsors (like Colbert Packaging) across the country. Visit colbertpkg.com/sustainability/ for more informa- tion or ticcit.info. Kevin Pittner teaches 2nd and 3rd grade students about the lifecycle of trees.
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CREATIVE SYSTEMS & SOLUTIONS SINCE 1929
ISM: Manufacturing PMI At 48.7 Percent; Overall Economy Expands Economic activity in the manufacturing sector contracted in April for the second month in a row, following a two- month expansion preceded by 26 straight months of con- traction, say the nation’s supply executives in the latest Manufacturing ISM Report On Business. The report was issued by Timothy R. Fiore, CPSM, C.P.M., Chair of the Institute for Supply Management (ISM) Manufacturing Business Survey Committee: “The Manufacturing PMI registered 48.7 percent in April, 0.3 percentage point lower compared to the 49 per- cent recorded in March. The overall economy continued in expansion for the 60th month after one month of con- traction in April 2020. (A Manufacturing PMI above 42.3 percent, over a period of time, generally indicates an ex- pansion of the overall economy.) “The New Orders Index contracted for the third month in a row following a three-month period of expansion; the figure of 47.2 percent is 2 percentage points higher than the 45.2 percent recorded in March. “The April reading of the Production Index (44 percent) is 4.3 percentage points lower than March’s figure of 48.3 percent. The index returned to contraction last month af- ter two months of expansion preceded by eight months of contraction. The Prices Index remained in expansion (or
‘increasing’) territory, registering 69.8 percent, up 0.4 per- centage point compared to the reading of 69.4 percent in March. The Backlog of Orders Index registered 43.7 per- cent, down 0.8 percentage point compared to the 44.5 percent recorded in March. The Employment Index regis- tered 46.5 percent, up 1.8 percentage points from March’s figure of 44.7 percent. “The Supplier Deliveries Index indicated a continued slowing of deliveries, registering 55.2 percent, 1.7 per- centage points higher than the 53.5 percent recorded in March. (Supplier Deliveries is the only ISM Report On Busi- ness index that is inversed; a reading of above 50 percent indicates slower deliveries, which is typical as the econo- my improves and customer demand increases.) The Inven- tories Index registered 50.8 percent, down 2.6 percent- age points compared to March’s reading of 53.4 percent. The index indicated expansion for a second consecutive month after six months of contraction. Fiore continues, “In April, U.S. manufacturing activity slipped marginally further into contraction after expanding only marginally in February. Demand and output weak- ened while input strengthened further, conditions that are not considered positive for economic growth. Indications that demand weakened include the (1) New Orders Index continuing in contraction territory, (2) New Export Orders Index dropping sharply further into contraction, (3) Back- log of Orders Index contracting at a faster rate and (4) Cus- tomers’ Inventories Index remaining in ‘too low’ territory.
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Smooth Successions (CONT’D FROM PAGE 1)
Succession Planning & Exit Paths Though every family company is different, succession plans generally choose among four different paths: fam- ily-owned; partnerships and co-shareholders; employee ownership through Employee Stock Ownership Plans or ESOPs; or selling the business to outside parties. Acme Corrugated Box is a third-generation, fami- ly-owned business in Hatboro, Pennsylvania, in operation
COMMUNITY DATA CONNECTION DESIGN INNOVATION
since 1918. Jeremy Cohen said he cut his teeth in the business as a corrugator operator and worked his way up. His father and sole majority owner, Bob Cohen, has been in the industry for 56 years and is “still as passionate as ever,” Cohen said. Though he was not a microman- ager nor did he offer formal training,
ALL IN ONE BOX
Jeremy Cohen
he did give him space to build competency and success through hands-on experience which helped him earn the respect of his peers at the company, Cohen said. Today as GM, he meets one-on-one with his father once a month to discuss the company’s financial performance. It’s a good opportunity to make sure they are aligned, and Cohen said the nice thing about it that he and his father agree on things about 98 percent of the time. “We see things very similarly,” he said. As it stands, Cohen will one day assume ownership along with his two brothers, Erik, who works in sales, and a younger brother, Alex, who is learning the business. “Although I run the business today, there’s no way I’m going to be judge, jury and executioner, it’s going to be the three of us,” Cohen said, noting that the leadership of the company’s executive team, made of nonfamily mem- bers, is also critical to the value and future planning of the business. Royal Containers of Brampton, Ontario, was estab- lished in 1980 by entrepreneur Ross Nelson. Kim Nelson
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was already holding leadership roles in the company and assumed her fa- ther’s role after he died in 2012 from cancer. Though his death was un- timely, Nelson said they had a suc- cession plan in place and succes- sion planning today is embedded in their company culture. Equity in the company will eventually be trans-
Read the articles in Board Converting News every week to learn about the people, places and machinery that will open the doors to new or repeat business. Making New Customers
Kim Nelson
ferred to her three children and her brother’s two children, but the company will be operated by an executive team and board of directors. Industry veteran Mark McNay is President of SMC Pack- aging Group of Springfield, Missouri, which was acquired by Green Bay Packaging as of May 31, 2024. “The best way to characterize that is a third-generation family business with a great culture acquired a third-gener-
Len Prazych at 518-366-9017 lprazych@nvpublications.com
CONTINUED ON PAGE 26
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Smooth Successions (CONT’D FROM PAGE 24)
Board Converting NEWS INTERNET DIRECTORY
ation family business with a great culture,” McNay said. In addition to generational transfer from the founders to the second generation of leadership, there has been creation of an ESOP with 25 percent ownership of SMC Packag- ing, key executives afforded a stake in the company, and a strategic alliance between the two companies to boost resources and opportunities, he said. McNay said the business had been experiencing spikes in growth followed by plateaus, but eventually their lead-
ADVANTZWARE www.advantzware.com
Advantzware provides a comprehensive system to address the business management needs of the independent box business, as well as the ERP requirements of full scale pack- aging plants and integrated companies. With modules for estimating, scheduling, production, inventory and account- ing, this scalable system supports companies that produce corrugated boxes, folding cartons, point of purchase dis- plays, assembled partitions, and paperboard products. AIR CONVEYING CORPORATION www.accfilter.com Air Conveying Corporation is a leader in the industry of Pneumatic Conveying Systems and has been in business since 1968. As an equipment manufacturer rather than sim- ply a sales organization, we have complete control over the quality of material and products which make up your pro- posed system. Our equipment is found in printing, folding carton and corrugated plants throughout the world. We've been designing, manufacturing and engineering pneumatic conveying systems since 1984. We partner with our customers to ensure they operate efficiently and guar- antee our systems meet or exceed their specifications. ASDI specializes in full pull-through systems trim separators, and NFPA compliant systems with full electronic controls. AMTECH SOFTWARE www.amtechsoftware.com AIR SYSTEMS DESIGN, INC. www.airsystemsdesign.com Amtech offers the industry’s most innovative and com- prehensive corrugated and packaging ERP, integrated scheduling software, and engineered automation technol- ogy. For over 30 years, Amtech has kept our customers competitive in an ever-changing economy with customer digital storefronts and workflows, business intelligence, automated scheduling for corrugators, converting and shipping, proactive roll stock and inventory management. APEX INTERNATIONAL www.apexinternational.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.
ership group felt that the next step needed to be a strategic alliance. “That gave us the level of re- sources and opportunities for re- gional expansion and new forms of business,” he said. Six months after the acquisition, SMC became food safety certified allowing them the opportunity to enter the food and
Mark McNay
beverage market. “We’re excited about where we are today,” he said. “It’s been good for our employees and good for our leadership team. The relationship has been great.” It is family all the way at Elkhart, Indiana based Welch Packaging. Brock Welch and his sister, Lindsay, and her husband, Joe Stiglitz, are second generation and the com-
pany just celebrated its 40th anni- versary with first generation founder Scott Welch, 65, still very actively at the helm. With 26 locations in seven states around the Midwest, Welch said the company is in a transformation stage with a growth strategy heavy on acquisition and visions of being
Brock Welch
a 100-year-old company. Their succession plan includes bringing in the third generation which currently represents 10 grandchildren under the age of 6. Retirement So, when do these packaging leaders plan to slow down? Or do they? Cohen, nearly 50, doesn’t have a definite plan yet but knows doesn’t want to be like his father, who is still work- ing at nearly 80 and never goes on vacation. He has been in the business his entire life; his hobby is going to work. “That’s just not what I want to do, but at the same time there certainly is an obligation that I feel for both family and our people to make sure that the business is set up for success no matter what my individual path is,” he said. “What I notice when I look at people who are still vibrant as they get older like my father is they stay busy, occu- pied, on the go, those are the people who still have a zeal for life and keep moving.” Cohen said his mother’s retirement is amazing. The 78-year-old retired nurse never stops, she keeps a busy CONTINUED ON PAGE 28
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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Smooth Successions (CONT’D FROM PAGE 26)
Board Converting NEWS INTERNET DIRECTORY
schedule seeing grandkids, spending time with his step- dad, taking vacations. Maybe his retirement, one day, will look like hers. Slowing down in general is not in Nelson’s nature with the business being her priority and passion. A nationally competitive swimmer in her youth, her work-life balance includes participating in Ironman triathlons, weightlifting and CrossFit competitions. “My dad said his success will be defined by my suc- cess. I feel the same way,” she said of the next generation. “What I’m really invested in right now is building our lead- ership culture and our business.” She’s also heavily invested in acquisition decisions. “I want to be a part of that and making sure that we’re choos- ing the right companies that will align with the values of our company.” With 47 years under his belt in the packaging industry, McNay admits he may be “a little closer” to that retirement age, the decision, however, won’t be an easy one. “Our business is who we are. The friendships we make through AICC, and other industry affiliations really defines who we are. I think as I contemplate retirement that’s go- ing to be a struggle.” A struggle because the relationships gained through AICC customers and vendors are not transactional, he said. They evolve into real friendships. “I think we’ve all seen that over the years so that’s go- ing to be a tough thing for me to walk away from,” he said. The other concern is making sure the next generation of leadership understands the culture they were born into, that they embrace it and evolve. “One of the things that we look at is, it’s not about what we do and how we do it, it’s about who we are and why we do it. Certainly, the independent side of the industry are those companies that get it from a cultural standpoint,” McNay said. Retirement is not something Brock Welch is thinking about at this stage in his career. He also doesn’t see a time, regardless of age, when his father won’t be involved in the business. He said he’s focused on helping his dad and continuing to earn his trust, confidence, and respect. “It’s at times painful to work through that process,” Welch said of succession planning. “This is his life’s work, this is the legacy, and we want to do it right and we have the unique opportunity to do it together.” Contingency Plans Businesses should be prepared for worst-case sce- narios that would force them to take action with hopefully a succession plan in place to serve as a guide. Prisciotta asked panelists about their business contingency plan for such unforeseeable events. McNay said that all their top leaders are grooming someone for their roles. The key is being prepared by bringing the right people on board. “It’s looking for people CONTINUED ON PAGE 30
ARC INTERNATIONAL www.ARCInternational.com
ARC International is a world leader in the manufacturing of roller products for flexography. The latest nano-technology laser engraving in our NC and NV manufacturing facilities ensures superior quality and consistency in anilox rollers.
AES (ADVANCED EQUIPMENT SALES) www.aesales.net
AES is a leading full-service provider of integrated convey- ance systems specializing in scrap, trim, and dust. AES en- gineers custom scrap systems and works as a partner in process improvement to help businesses achieve greater profitability, productivity, and sustainability. Products include balers, shredders/hoggers, core shredders, filters, fans, and specialized dust control and collection systems. AES is the ex- clusive distributor for the AirShark Rotary Material Separator. For a wide variety of new and used equipment on to- day’s market, visit our website at www.acm-corp.com. BAUMER HHS CORPORATION www.baumerhhs.com hhs is a global leader in advanced gluing, camera verifica- tion and quality assurance systems for the packaging indus- try. Zero-defect quality and elevated production speeds are key parameters in the manufacturing of corrugated boxes. With hhs Xcam Box Monitoring and non-contact flap gluing of corrugated board, hhs offers every option for quality as- surance in the production of boxes with flexo folder gluers. AMERICAN CORRUGATED MACHINE www.acm-corp.com BLOWER APPLICATION COMPANY (BLOAPCO) www.BloApCo.com BloApCo has served the corrugated industry since 1933 with a variety of scrap handling solutions, including Hori- zontal Floor Shredders, Trim Cutters, and Material Handling Fans and Conveying Systems. BloApCo Shredders allow for continuous shredding and pneumatic removal of sheet waste stacks of all sizes, roll slab, cores, and carton scrap.
CORRUGATED MACHINERY SPECIALISTS www.cmsretrofits.com
Leading manufacturer and installer of quality retrofits, up- grades and replacement parts for S&S and Prime Flexo Folder Gluers. Specialists in reconditioning of S&S Flexo Folder Gluers, including ink, air and electrical systems.
CORRUGATOR BELT SERVICE LLC www.corrugator.com
Serving the corrugated box industry since 1991, Chicago- based Corrugator Belt Service LLC maintains corru- gator belts for peak board quality and performance.
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