BoardConverting Serving the North American Corrugated and Folding Carton Industries for 36 years July 20, 2020 VOL. 36, NO. 29
Balancing Clean Air & Reopening Amid New COVID-19 Guidelines BY MONA KELLEY In the aftermath of sweeping stay-at-home orders and a three-month shutdown of many businesses, life in a post-COVID world is going through a “new normal” – a different way of doing things than were done in the past. With a wide range of challenges facing commercial building owners as a result of the coronavirus, the heating, ventilation, and air conditioning (HVAC) and related industries are no exception.
Hood Container To Invest $50M For Expansion In LA Atlanta, Georgia based Hood Container an- nounced it is expanding and upgrading its pa- per mill in West Feliciana Parish, near St. Fran- cisville, Louisiana. The company and the state announced the $50 million project last week. It is expected to support 75 construction jobs. Hood Container acquired the 61-year-old former Crown Zellerbach and Tembec mill in 2015, after it emerged from federal bankrupt- cy protection filed by an interim owner. Since the acquisition, Hood has committed more than $100 million in capital investments to up- grade the facilities. The project will increase the efficiency of the facility’s pulp-refining operation through the installation of two digester blow-line refin- ers. The expansion also will include installa- tion of a secondary headbox and additional dryer cans, which will allow increased paper production with better paper quality. The state offered the company a $200,000 Modernization Tax Credit to be allocated over a five-year period. Hood Container also is ex- pected to utilize the state’s Industrial Tax Ex- emption Program. Hood plans to retain 306 existing employees and a $23 million annual payroll at the mill.
COVID-19 has shined a spotlight on indoor air quality and ventila- tion. It seems clear that business owners, employees, and customers with chronic respiratory illnesses like asthma, COPD, and emphysema all benefit from improved indoor air quality and whole building ventila- tion. This is true even outside of the flu and respiratory illness season. Short and long-term exposure to any poor air quality can not only cause exacerbations of chronic respiratory illness and reduce lung function, these same factors have been associated with increased se- verity of COVID-19 pneumonia and increased risk of contracting air- borne illnesses in people both with and people WITHOUT chronic re- spiratory illnesses. As a result of these factors relating to COVID concerns, experts from the commercial building industry, US EPA Energy Star program, and American Society of Heating, Refrigeration, Air-conditioning Engineers (ASHRAE) met in May to discuss how to best operate HVAC and related systems, and to offer recommendations on Building HVAC Operations amid COVID-19. Takeaways and Q & A included:
6 x x 8 x x 12 x x 26 x x 4 AICC Crafts Business Interruption Template 6 NAM: Job Openings Improve But Well Below 2019 Levels 0 John S. Carman, Formerly Of Stand Fast, Dies At 90 12 McLean Packaging Commits To Full Renewable Energy
CONTINUED ON PAGE 24
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
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.
42# Kraft Liner 26#
AVERAGE CONTAINERBOARD PRICES.indd 1
3/7/19 2:04 PM
for working so hard thru all the distractions of COVID-19 to keep the supply chain moving for the food and medical industries. Packaging Producers
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July 20, 2020
AICC Crafts Business Interruption Template
AICC, The Independent Packaging Association, has craft- ed a template that can serve as an agreement between an AICC member and another in the event that the mem- ber company cannot complete work due to pandemic, natural disaster, or other unforeseen circumstances. This template, crafted by AICC legal counsel Da- vid Goch, of the firm Webster, Chamberlain & Bean, is meant to serve as a guide for an AICC member compa- ny to complete customer commitments with the support of another converter in the event of a business interrup- tion, while also respecting all applicable fair trade and anti-trust laws. AICC recommends that this document be reviewed and modified to suit by the member’s attorney. This downloadable template is available under “white- papers” at www.AICCbox.org/Store free of charge to AICC members and for $250.00 to non-members. David Goch will speak about the need for a business interruption agreement and best practices for utilizing such a document during the next AICC packaging indus- try COVID-19 videoconference on Friday, July 24, at 2:00 pm EST. More information about the videoconference is available at www.AICCbox.org/Calendar . A recording of the videoconference will be available the following Monday, July 27.
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July 20, 2020
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NAM: Job Openings Improve But Well Below 2019 Levels BY CHAD MOUTRAY
The COVID-19 outbreak has altered the manufacturing labor market dramatically. Manufacturers hired 426,000 workers in May, the most since April 2001. At the same time, total separations have declined from an all-time high of 804,000 in March, to 762,000 in April, to 284,000 in May, the lowest since November 2016. Net hiring was 142,000 in May, rebounding after net declines of 505,000 and 436,000 in March and April, respectively. There were 1,314,000 initial unemployment claims for the week ending July 4, continuing to decelerate after peaking at 6,867,000 for the week ending March 28 but remaining highly elevated. Meanwhile, 18,062,000 Ameri- cans received unemployment insurance for the week end- ing June 27, or 12.4 percent of the workforce. U.S. consumer credit outstanding fell 5.3 percent in May, with Americans pulling back sharply on spending during the COVID-19 pandemic for the third straight month. In May, revolving credit (which includes credit cards and
There were 328,000 manufacturing job openings in May, up from 315,000 in April and improving for the sec- ond straight month after dropping to 310,000 postings in
March, which was the slowest pace since October 2016, according to Chad Moutray, Chief Economist at the National Association of Manufactur- ers (NAM). For comparison purpos- es, there were 482,000 postings one year ago. In the larger economy, non-
farm business job openings rose from 4,996,000 in April, the slowest pace since December 2014, to 5,397,000 in May, increasing after two months of declines. Chad Moutray
other credit lines) plummeted 28.6 percent, reflecting the anxiousness of the consumer and the extent to which purchases—at least those done on credit—have fallen sharply. Over the past 12 months, consumer credit outstanding has risen just 0.9 per- cent. Nonrevolving credit (which includes auto and student loans) increased 3.8 per- cent year-over-year, but revolving credit dropped 7.2 percent year-over-year. Producer prices for final demand goods and services declined for the fourth time in the past five months, down 0.2 percent in June. At the same time, producer prices for final demand goods increased 0.2 percent in June, extending the 1.6 percent growth in May. Core inflation for raw material goods, which excludes food and energy, edged up 0.1 percent in June. There continue to be deflationary pres- sures in the economy, even with some sta- bilization, due to COVID-19 and the global recession. Over the past 12 months, pro- ducer prices for final demand goods and services have decreased 0.8 percent, the same pace as in May and remaining the lowest since December 2015. At the same time, core producer prices were flat year- over-year in June (seasonally adjusted), up from being down 0.4 percent in May. Real value-added output in the manu- facturing sector declined an annualized 4.9 percent in the first quarter, pulling back for the second straight quarter from the all-time high in the third quarter of 2019. Manufac- turing continued to account for 11 percent of real GDP in the first quarter. Chad Moutray Ph.D. is Chief Economist at NAM.
July 20, 2020
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
Design & Production
Chicago Electric offers 10 technology solutions to control ‘the Zone’ CORRUGATOR Sectoral preheating plate
Our sectoral preheating plates provide direct heat by means of a double steam circuit, allowing for efficient heating in hard-to-access locations, as well as to act as a steam shower to open the paper’s fibre, making it receptive to absorbing the heat and the glue.
This translates into increased speed and improved quality of the cardboard sheet finish.
The system’s main advantages are as follows:
• 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.
1. Wrap Arm - Position & Temperature 2. Preheater Direct Drive
3. Steam Plate 4. Contact Roll 5. Glue Machine Direct Drive Touch Productivity Issue—Glue Unit Many glue units run with a rider roll or a guiding bar system. The rider roll with paper gap allows a precise glue application, but requires frequent Contact Roll
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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
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 working 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 email@example.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.
ance from steam to paper surface results in fast heat flow n higher plate surface temperature
Fastmarkets RISI Names Pratt North American CEO Of The Year Fastmarkets RISI has announced that Anthony Pratt, Ex- ecutive Chairman of Pratt Industries USA and Visy of Aus-
Box Shipments ( U.S. Corrugated Product Shipments) Industry Shipments In Billions of Square Feet Month May 2020
Percent Change Avg Week Percent Change
tralia, has been named the 2020 North American CEO of the Year. Pratt will accept the award and give a keynote address during the Virtu- al North American Conference on October 6, 2020, on iVent. Pratt’s U.S. company, Pratt Indus- tries, was the fifth largest U.S. box-
Percent Change Avg Week Percent Change
Containerboard Consumption (Thousands of Tons)
Percent Change Year-to-Date Percent Change
maker in 2019 with a seven percent market share and an estimated 27.5 billion square-feet of shipments. The boxes are made mostly out of low-cost mixed paper. Pratt’s five containerboard mills with 1.91 million tons TPY of 100 per- cent recycled-content containerboard capacity are nearly fully integrated to 70 Pratt corrugated plants, including 30 sheet plants. Pratt U.S. last year generated more than $3 billion in sales and $550 million in EBITDA. The Fastmarkets RISI North American Conference will be conducted virtually on October 5-7 on iVent, a digi- tal event platform enabled to provide delegates with live and on-demand presentations and panel discussions, as well as open and round-table networking features. Along with Pratt, other executives will speak.
Container Board Inventory - Corrugator Plants (Thousands of Tons)
Corrugator Plants Only
Percent Change Weeks of Supply
SOURCE: Fibre Box Association
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John S. Carman, Formerly Of Stand Fast, Dies At 90
He was a founding member of AICC in 1974 and was active on AICC’s Board of Directors in the 1980s, first as Regional Vice President of AICC’s Region Six (Illinois and Wisconsin) and then as a Director at Large. He served on the Membership and Containerboard and Sheet Supply committees. He was also a founder and member of what was known as the Sheet Plant Owners and Operators Club, aka, the “SPOOC Group,” an informal club of AICC members whose primary purpose was an annual ski out- ing in Vail, Colorado. In addition to Carman, the club’s members included Bill Mazzaco of Packaging Innovators; Jerry Hardison, Lone Star Container Corp.; Douglas Volk, Volk Packaging and Jim Nelson of Nelson Container Corp. Recognizing the success of Stand Fast Packaging Products, the University of Illinois Institute for Entrepre- neurship Studies in 1985 named John to the Chicago Area Entrepreneurship Hall of Fame. He is survived by his wife of 64 years, Patricia; five sons, John Jr., Jay, Keith, Scott and Jeffrey; a daughter Kristin; 10 grandchildren and four great-grandchildren. Expressions of sympathy may be sent to the family c/o, Stand Fast Group, 710 Kimberly Drive, Carol Stream, Illi- nois, 60188. Memorial remembrances may be made to Chicago Alzheimer’s Association via https://www.alz.org/illinois or to Mercy Home in Chicago via https://www.mercy- home.org/ .
John S. Carman, former owner and president, Stand Fast Packaging Products (now Stand Fast Group) in Carol Stream, Illinois, passed away on Thursday, July 2, at 90. Born on April 18, 1930, in Chicago, Carman graduated from St. Gregory’s High School and Loyola University. He
was a U.S. Army veter- an and served in the Korean War from 1953- 1955. After his military service he began his career in the corrugat- ed packaging business working with Geor- gia Pacific. In 1967, he joined his colleague John Morris and found- ed Stand Fast Packag- ing Products in Addi- son, Illinois, beginning only with a bandsaw set up in his basement.
John S. Carman
Today, Stand Fast Group is a $50 million company employ- ing 120 people. It is led by his sons Jay Carman, along with sons John Carman Jr., Keith Carman and Scott Carman.
July 20, 2020
McLean Packaging Commits To Completely Renewable Energy
Moorestown, New Jersey based McLean Packaging, a turnkey provider of rigid set boxes, folding cartons, corrugated displays and thermoformed packaging solutions with emphasis on the beauty and personal care sec- tors, has contracted with national energy advisory firm 5 and ENGIE Re- sources, LLC on a five-year energy agreement that supports the develop- ment of renewables. The deal supports McLean’s zero carbon transition and sustainability goals which include sourcing 100 percent of its electric- ity from renewable resources.
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McLean Packaging’s manufacturing footprint is robust – the compa- ny has three production facilities across New Jersey and Pennsylvania totaling nearly half a million square-feet – making its commitment to 100 percent green energy substantial. McLean utilizes a lengthy lineup of so- phisticated equipment – including industrial printing presses, folder/glu- ers, thermoformers, rigid box converters, and more – to meet its growing demands for concept-to-completion packaging solutions for customers in the beauty, personal care, confectionary, and other sectors. McLean’s usage will be 100 percent matched by Green-e certified Re- newable Energy Credits (RECs), as determined by the Center for Resource Solutions. The independently-verified credits play a critical role in making green power possible for electricity consumers nationwide, by providing revenue to support new projects. The RECs in this agreement include off- shore wind credits, representing environmental benefits equal to remov- ing more than 6,500 gasoline-powered passenger cars from U.S. roads. “From installing more than 75,000 solar panels to utilizing paper prod- ucts certified by the Forest Stewardship Council and Sustainable Forest Initiative, sustainability has been at the forefront of McLean Packaging’s operations for years,” said Jeff Besnick, Vice President of McLean Packag- ing. “As consumers continue to demand products that espouse eco-friend- liness, we are proud to play our part in providing packaging with as small a carbon footprint as possible – from power sourcing to materials.” CONTINUED ON PAGE 14 McLean Packaging entered a five-year agreement that supports its car- bon transition and sustainability goals, which include sourcing 100 per- cent of its electricity from renewable sources.
July 20, 2020
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McLean Packaging (CONT’D FROM PAGE 12)
McLean also is committing to a program of perpetual progress in sustainability via expert consulting. 5’s team will continue to provide market intelligence, account man- agement services, and ongoing analysis to support Mc- Clean Packaging’s commitment to environmental steward- ship and energy cost control. ENGIE Resources, brings a successful history of assisting clients in meeting sustain- ability goals through the use of clean, affordable, innova- tive, and resilient energy solutions. IP To Release 2Q Earnings On July 30 Memphis, Tennessee based International Paper (IP) will re- lease second-quarter earnings on Thursday, July 30, 2020, before the opening of the New York Stock Exchange. The company will host a webcast to discuss earnings and cur- rent market conditions, beginning at 10 a.m. EST. Interest- ed parties are invited to listen at www.internationalpaper. com by going to the Presentations and Events/Webcasts page. Parties who wish to participate in the webcast via teleconference may dial (706) 679-8242 and ask to be connected to the International Paper second-quarter earn- ings call. The conference ID number is 8077936. Partici- pants should call in no later than 9:45 a.m. EST.
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July 20, 2020
Peachtree Packaging Invests In Poteet Printing Ink Kitchen
Digital ink manage- ment is the gold stan- dard for high volume printing companies. The new ink kitchen updates the previous- ly manual process of blending CMYK and base colors. Using SPEC I-Blend software and water-based, en- vironmentally friend- ly products, the ink kitchen works in tan- dem with the high-vol- ume production capa-
Lawrenceville, Georgia based Peachtree Packaging & Display has invested in a new state-of-the-art ink kitch- en to automate and enhance its flexo printing services. Designed by Poteet Printing Systems, the revamped ink kitchen digitally blends raw materials to achieve brilliant and precise custom colors for point-of-purchase (POP) dis- plays and direct to consumer experiential packaging. “Poteet Printing Systems has been Peachtree’s ink supplier going on 20 years. They have helped us tremen- dously grow our display division,” said Chad Wagner, CEO and President of Peachtree Packaging & Display. “Poteet’s lab, customer service and technical representatives are always ready to provide Peachtree Packaging what we need to be successful in flexographic printing.”
bilities of Peachtree Packaging’s Gopfert 5-Color Dual-Die Cutting Press. Brought online in August 2018, the Gopfert
is a best-in-class flexographic printer that provides a total capacity of 10,000 full-size sheets per hour. Peachtree Packaging pro- duces approximately 1.5 million square feet of product daily. That equates to 31 NFL foot- ball fields of corrugated cardboard. AF&PA Offers Guidance Over Recyclability Of Pizza Boxes The American Forest & Paper Association (AF&PA) today released new industry guid- ance that aims to clear up consumer con- fusion regarding the recyclability of pizza boxes. The guidance resulted from a study conducted by WestRock that found the pres- ence of grease and cheese at levels typically found on pizza boxes does not impact manu- facturing in a negative way. “Corrugated pizza boxes are successfully recycled every day at paper mills throughout the country, yet consumers remain confused by mixed messages suggesting that some boxes should not be put in the recycle bin,” said AF&PA President and CEO Heidi Brock. “Pizza boxes are recyclable. Consumers should not be concerned about grease or cheese. Remove any leftover pizza and place the box in the recycle bin. We encourage communities to update their residential recy- cling programs guidelines to explicitly accept pizza boxes that are free of food.” In a membership-wide survey, AF&PA members representing 93.6 percent of the total amount of Old Corrugated Containers consumed by member companies, said they accept corrugated pizza boxes for recycling.
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July 20, 2020
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AF&PA Offers (CONT’D FROM PAGE 16)
Various industry partners are joining AF&PA in the call for consumers to recycle their pizza boxes: “When speaking at recycling conferences, the question I’m asked most often is: ‘Are pizza boxes recyclable,’” said Dennis Colley, President and CEO of the Fibre Box Asso- ciation. “This guidance from AF&PA should give munici- palities, recycling centers and households the information they need to confidently recycle pizza boxes.” “AICC applauds the work of AF&PA, its members and our fellow organizations in continuing to provide clarify- ing information on this topic,” said Michael M. D’Angelo, President of AICC, The Independent Packaging Associa- tion. “It’s important for consumers to understand that the container of one of America’s favorite foods is recyclable. We are pleased to participate in the confirmation of the recyclability of the pizza box and encourage consumers to recycle them as they would any other box.” “TAPPI is proud to join with AF&PA to clarify the facts on recycling pizza boxes,” said TAPPI President and CEO Larry N. Montague. “Billions of pizzas are sold in the U.S. every year, which means a lot of pizza boxes need to be recycled. Corrugated pizza boxes are a great fiber source for feedstock in many of our mills today.” For more information about the recyclability of pizza boxes, including AF&PA’s Pizza Box Recycling Statement, visit PaperRecycles.org .
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July 20, 2020
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A Three-Pronged Route To Post Pandemic Recovery BY PAUL V. REILLY
Optimize Production Maximize Your Corrugator Speeds With Matched Glue Roller Sets
As we’ve been reminding our clients since COVID-19 first appeared, there’s no need for printing and packaging busi-
ness owners to abandon their long- term strategic plans while they deal with the near-term realities that the pandemic has brought. In fact, mak- ing the right responses now could leave a business in better shape for the future than it would be if noth- ing had happened and the need for
Paul V. Reilly
change hadn’t been as urgent. This is consistent with the duty of a business leader in good times as well as bad: to take whatever steps are necessary to insure that the organization survives. As we see it, business owners have three priority tasks ahead of them in the present circumstances. These are protecting the health and well-being of their employees; securing fi- nancial assistance from the Paycheck Protection Program (PPP); and managing head count in the interest of greater profitability for the company. First on the list is to keep employees safe by follow- ing mandates and protocols for preventing the spread of COVID-19 in the workplace. The COVID-19 Resource Chan- nel from PRINTING United Alliance, its PIA affiliates, and NAPCO Media offers valuable advice along these lines. As conditions return to normal, owners can broaden the focus to include safeguarding the health of their busi- nesses. We think they have an exceptional opportunity to strengthen their positions by taking correct advantage of the PPP, a relief package established by the Coronavirus Aid, Relief, and Economic Security (CARES) Act. By now, the PPP is well known as a provider of forgiv- able cash loans for struggling businesses and, sometimes, as a source of confusion and frustration for business own- ers seeking its assistance. Fortunately, an amendment called the PPP Flexibility Act (PPPFA) aligns its terms and requirements more closely with the actual needs of busi- ness owners, making it a friendlier resource to work with. Wider Window For Recipients One of the most important changes is that those who qualify for loans now have 24 weeks over which to use the money – three times as many weeks as applicants were given in the beginning. Those who received their disbursements prior to the PPPFA adjustment can either keep their original eight-week term or opt for the longer period, which concludes on December 31, 2020. Another beneficial change is that it’s no longer man- datory to spend 75 percent of the loan amount on pay- roll in order to qualify for forgiveness, a requirement that many owners saw as unrealistic. Now, the stipulated set- aside for payroll is 60 percent, leaving the remainder to
Wouldn’t you like faster speeds, less vibration, consistent quality, and happier corrugator operators? If your rollers are engineered,
machined, and balanced to work perfectly with each other, you can get all that —and more. The new Starch Saver glue applicator rollers from ARC International offer you a wide volume range that can accommodate any of your ute sizes or starch requirements. The engineers at ARC are trained to ensure that everything rolling on your corrugator is optimized to give you peak performance and healthy prots. If it involves gluing, coating, or moving board, The ARChitects of Flexo should be on your team.
Contact ARC today to learn more about Starch Saver rollers andMatched Sets that give you unmatched performance.
ARCInternational.com 800-526-4569 The ARChitects of exo
CONTINUED ON PAGE 22
July 20, 2020
7/9/20 8:15 AM
A Three-Pronged Route (CONT’D FROM PAGE 20)
here that we see the opportunity to tie PPP support to the third priority: management of labor costs. We regard this as the single most important step a business can take to protect its profitability not just now, but in the post-COVID rebound to come. We recommend continually taking an objective look at staffing and making the necessary decisions about which positions are and are not essential to the functioning of the business. We know that some company cultures don’t permit laying off employees, and we respect those senti- ments. Keeping everyone on the payroll is acceptable as long as it doesn’t threaten the company’s survival. Unfor- tunately, and especially in a business climate like the one we are now in, the two aims are often incompatible. This makes it a mistake, in our view, to maintain staffing at 100 percent when sales are significantly less than 100% of normal. An even bigger error would be to try to cover payroll for non-essential positions with a PPP loan. Why? Because eventually, that money will be exhaust- ed, and though the loan may not have to be repaid, for- giveness comes at the cost of keeping positions that the business does not need – and thus act as a drag on prof- itability. Since there is no sure way of knowing what busi- ness conditions will be like at the end of the loan period, those positions could be just as burdensome to the com- pany as they were when it began. A better response would be to make judicious staff cuts
be used for the other eligible expenses: rent, utilities, and mortgage interest. PPP applicants can receive loans worth up to two-and-a-half times their average monthly payroll costs, subject to restrictions. The program’s most notable feature is its forgivability. This occurs if the average number of full-time equivalent (FTE) employees per month remains the same at the loan’s FTE measurement date as it was in an FTE reference peri- od prior to receipt of the funds. Then, the loan is 100 per- cent forgivable. Borrowers can choose either of two FTE reference pe- riods to compare against: February 15, 2019, through June 30, 2019, or January 1, 2020, to February 29, 2020. You have several options for choosing a measurement date, the latest of which is December 31, 2020. Maintaining the original FTE count at the FTE measure- ment date is the best-case scenario, as it may fully elimi- nate debt. If the FTE count is smaller at the measurement date, forgiveness is reduced proportionately, and the loan recipient will have to repay the difference – but at a very low rate of interest, and with up to five years to settle. How Not To Use PPP Funding This is a simplified explanation of how PPP lending works. Owners are urged to consult with their accountants to forecast eligible expenses and to find ways of maximiz- ing FTE counts at the FTE measurement date. It is precisely
CONTINUED ON PAGE 38
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July 20, 2020
Balancing Clean Air (CONT’D FROM PAGE 1 )
Board Converting NEWS INTERNET DIRECTORY
Stressing the necessity of new cleaning protocols and low-cost building upgrades -- Property management ex- perts have already instituted a wide range of changes to their buildings, including: • Posting signage and messaging with CDC guidelines in common areas, break rooms, bathrooms, and con- ference rooms. • Defining travel patterns within the tenants’ space. • Limiting conference room capacity. • Bringing in additional outside air and replacing filters with more efficient MERV 13 filters. • Placing greater emphasis on cleaning high-touch sur- faces including doorknobs and elevator buttons. • Providing disinfectant wipes and hand sanitizer sta- tions in lobbies. Observing that business owners have taken it upon themselves to: • Devise new seating arrangements; • Install shields between tables that face each other; • Require employees and customers to check their tem- perature upon arrival; and • Install automated fixtures in restrooms. Emphasizing it’s still necessary to prepare buildings for coming standards -- Some essential tips from ASHRAE to prepare buildings for occupancy re-entry: • Flush the air and water systems. • Assess air filtration systems. • Ensure that HVAC systems undergo maintenance, cleaning and are operating normally. • Install a SMART whole building ventilation controller system. Various chemicals may abound within a business. These range from employee and customer personal care products such as cosmetics, perfume and hair care prod- ucts, to sources of fossil fuel heat. In addition, many clean- ing agents, radon, humidity, and mold can add to respira- tory burdens. Experts recommend using simple measures to decrease exposure to air pollutants such as: • Cleaning; • Not allowing smoking; • Using dehumidifiers in high-humidity areas; • Installing carbon monoxide and radon monitors; and • Ensuring adequate ventilation through air exchange options. Offering technical guidance on changes to HVAC sys- tems -- In examining research from ASHRAE, CDC, WHO, and OSHA among others, the experts found that: • HVAC is not a major transmitter of viruses including COVID-19; transmission is mainly from person-to-per- son close contact over extended periods. However,
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.
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.
AMERICAN CORRUGATED MACHINE www.acm-corp.com
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.
CONTINUED ON PAGE 26
July 20, 2020
YOUR Total Solution Provider in Corrugated APEX INTERNATIONAL
• STAINLESS STEEL GLUE ROLLS AST stainless steel fusion manufacturing process (not simply build-up) • CERAMIC DOCTOR ROLLS Proprietary super-hard, black mirror- finish ceramic Accora Glue Set: Precision and Durability BENEF I TS
ELIMINATES: • Corrosion & Chrome Flaking • Score Lines • Warp, Curl &Washboarding • High Starch Consumption • Uneven Glue Transfer • Improper Bonding
PROMOTES: • Faster Speeds • Glue & Steam Cost Savings • Job Repeatability • Tightest T.I.R. & O.D. • Longer Roll
GTT Corrugated Anilox: REAL Process Improvement
BENEF I TS
• Reduced Skip Feeding • Improved Solid Ink & Print Board Coverage • More Stable & Controllable Ink Viscosities • Reduced Blade Pressures for More Stable Printing
• OPEN SLALOM INK CHANNEL GEOMETRY Ink flows uniformly and calmly onto plate • CONSTANT BEAM LASER ENGRAVING Delivers smooth, hard and precise channel walls • Engraving specifications for L & XL sizes
Ultracell: Conventional anilox, Unconventional quality
BENEF I TS
• ADVANCED GEOMETRY UltraCell cell shallow-profile geometry
VALUE: Greater Ink Release, Faster Clean-Up DURABILITY:
EFFICIENCY: Low-porosity ceramic and shallow geometry enable more complete and consistent ink release to plate
Increased Score Resistance and Corrosion Resistance
The Measure of Quality.
Balancing Clean Air (CONT’D FROM PAGE 24)
Board Converting NEWS INTERNET DIRECTORY
since many viruses, including COVID-19, are spread by airborne transmission, HVAC measures should be tak- en to reduce potential exposure. • HVAC can help prevent the spread of COVID-19 by incorporating evolving best practices that focus on SMART whole building ventilation in order to dilute airborne viruses and filtration to remove dust and air- borne particulates. This can be accomplished by: a) Increasing whole building ventilation using SMART ventilations controllers that compare indoor and outdoor air quality, control outdoor air intake to prevent mold growth while maintaining minimum outside air flow to re- duce the risk of airborne illness transmission. b) Improving filtration to MERV-13 or the highest effi- ciency level feasible, and ensuring that filters are sealed properly to prevent bypass. c) Using SMART whole building ventilations controllers to provide outside air for several hours both before and after occupancy each day. d) Consider adding UV sanitizers to the HVAC system as a secondary method to the fundamental measures list- ed above. Pointing out that post-COVID-19 ventilation standards will increase energy usage (though not cost) with a SMART controller -- Experts analyzed the energy use impact of three measures to reduce virus transmission risk and rec- ommended: • Extending HVAC hours to provide additional outside air for several hours both before and after occupancy each day; • Upgrading to MERV 13 from MERV 8 filters; and • Letting in an additional 50 percent outside air above minimum standards. Experts found that these changes would result in a three to five percent increase in building energy usage, depending on the climate and region. SMART whole building ventilation controllers, however, yield up to 30 percent energy savings. Therefore, implementing new post-COVID-19 ventilation standards with a SMART whole building ventilation controller will still yield a net energy savings. With a professionally installed whole building ventila- tion and annual maintenance, any HVAC system can and will remove airborne viruses and other indoor pollutants before they impact the health of employees, customers, and families. Health measures have never been more im- portant than in a post-COVID 19 world.
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 Charlotte and Las Vegas manufac- turing facilities ensures superior quality and consistency in anilox rollers.
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; hhs systems ensure efficiency and precision across the board. With hhs Xcam Box Monitoring and non-contact flap gluing of corrugated board, hhs offers every option for au- tomated quality assurance in the production of corrugated boxes with flexo folder gluers. 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, carton scrap and much more.
CIMEX CORP. www.cimexcorp.com
Cimex writes affordable yet powerful CAD/CAM software for the packaging and diemaking industries. We also offer numerous samplemakers, etc., to fit all needs and budgets.
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.
CORRUGATED REPLACEMENTS, INC. www.corrugatedparts.com
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.
Mona Kelley, RN, MSN is Managing Member & Regulatory Affairs Spe- cialist with the Lake Wales, Florida based Natural Air E-Controls, LLC. Visit www.naturalair.com for more information
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