Highlights • Record Group profitability and return on sales despite economic headwinds o Market share gains driven by multinational FMCG and e-commerce customers o Customers increasingly valuing our sustainable packaging solutions, reflected in good pricing and return on sales up 110 basis points • Europe – good organic profit growth • Europac - excellent progress and strong initial contribution o Packaging turnaround to profitability o €70m synergy programme fully on track • Good US domestic performance offset by impact of export paper pricing o Indiana greenfield box plant now operational ▪ Transforms US capability and customer offering ▪ Consistent with strategy to reduce US long paper exposure • Strong cashflow and balance sheet o Plastics disposal (net proceeds c. £400m) expected to complete around the calendar year end o Strong liquidity profile: €600m, seven year bond raised at 0.875% • Future growth prospects continue to benefit from the increased customer focus on sustainability (including plastic replacement) and e-commerce.
AeroFlexx announced a partnership with Fameccanica, an innovation-based group focusing on diversified industrial automated machinery. With an innovative approach to design and wealth of experience in web converting and liquid filling machinery, Fameccanica will make its technological expertise and know-how available for the development of the lead commercial line which will produce AeroFlexx’s revolutionary liquid packaging solution. The AeroFlexx package is a sustainable, customer-focused package solution that uses at least 50 percent less plastic, enhances the consumer experience and is easier to ship throughout the supply chain.
The Association of Magazine Media has released a five-year study on magazine media audience trends. The biggest finds from the report: Magazine media has reached a total audience of 2 billion and is more engaging to consumers online than non-magazine brands. (Magazine brands are defined in the study as titles traditionally founded on a print product.) The report found that 81% of the time, audiences to magazine media sites are more engaged than those consuming similar content on non-magazine brand sites.
Eco-Products®announced the introduction of a line of compostable utensils for use in Cutlerease, a new dispenser that offers customers one fork, knife or spoon at a time. The patented system improves cleanliness, reduces waste, saves space and provides customers with a more convenient way to get compostable utensils. Waddington North America introduced the Cutlerease system for single-use utensils earlier this year. Eco-Products is now offering BPI-certified compostable forks, spoons and knives that are compatible with this dispenser.
The Postal Regulatory Commission (Commission) issued a revised notice of proposed rulemaking aimed at modifying the system for regulating rates and classes for Market Dominant products. This revised rulemaking takes into consideration comments received after the first rulemaking in December 2017, and further consideration by the Commission. The Postal Accountability and Enhancement Act (PAEA) requires the Commission to review the first 10 years of the existing Market Dominant rate and classification system to determine if the system achieved the nine objectives, considering the 14 factors, established by Congress. The objectives reflect the goals of the PAEA to create a flexible, stable, predictable, and streamlined ratemaking system that ensures the Postal Service’s financial health and maintains high-quality service standards and performance. In its first order, the Commission determined that the overall system created by the PAEA had not achieved the objectives taking into account the factors of the PAEA and proposed to amend several parts of title 39 of the Code of Federal Regulations to achieve the objectives of 39 U.S.C. 3622(b). In this revised rulemaking, the Commission proposes new changes to the regulations and modifies and clarifies previous proposals. Click read more below for details.
Look in your kitchen pantry or bathroom cabinet and you’ll probably see dozens of examples of flexible packaging. From tomato paste to toothpaste, from apple juice to applesauce and from soup to soap, flexible packaging lives up to its name, and that’s why it’s also increasingly being used by companies to protect products in transit and extend shelf life. In fact, the global flexible packaging market is expected to grow at a rate of 3 percent from 2018-2024. For manufacturers and shippers, the shift toward flexible packaging has many potential benefits. It requires fewer raw materials than rigid packaging products such as plastic bottles and corrugated boxes, so it is often less expensive to produce. Since it’s lighter in weight and thinner than standard packaging, it usually takes up less room in trucks, creating freight savings and warehousing space. Plus, flexible packaging can be a winning marketing tool, with vibrant colors, bold letter printing and intricate designs. Now, there are even more reasons to embrace flexible packaging materials: efficiency and sustainability.
TC Transcontinental, owner of the Publisac, is responding today to recommendations made by the City of Montréal’s Commission sur l’eau, l’environnement, le développement durable et les grands parcs (Commission on Water, Environment, Sustainable Development and Large Parks) regarding flyer distribution control on its territory, which were publicly presented this evening. “We are disappointed with the recommendations made by the Commission which are insensitive to the needs of the population, incoherent and unworkable,” stated François Olivier, President and Chief Executive Officer of TC Transcontinental. “By recommending the opt-in, which would mean the end of the Publisac, the Commission is disregarding the will of the vast majority of citizens, merchants and local newspaper publishers who want its continuity, as well as the thousands of jobs that depend on it in Montréal and in the regions. At the same time, we are not surprised by these recommendations given the nature of debates at the Commission. It is unfortunate that the social and economic relevance of the Publisac ecosystem was not seriously considered by the Commission.”
Domtar Corporation announced that it has entered into an agreement with Sun Life to purchase group annuity buy-out contracts and to transfer approximately CDN $360 million (US $271 million) in obligations and related assets from its defined benefit pension plans in Ontario, Canada. In addition, Domtar will convert approximately CDN $101 million (US $76 million) of existing buy-in annuities with existing insurers into buy-out annuities to complete the full transfer of these obligations. No cash contributions will be required by Domtar. The transactions will enable Domtar to reduce risk associated with volatility in the Company’s pension plan obligations and assets.
"Over the past 30 years, the Influence® brand has gained a solid reputation with printers because of its consistent quality and unparalleled pressroom performance, printability and runnability," said Verso President Mike Weinhold. "This reputation is largely due to the dedicated and proud Verso workforce that takes personal ownership in making and delivering a high quality product to our customers." Influence® is designed to perform on web offset or rotogravure printing presses, is available in a variety of basis weights and finishes, and offered with chain-of-custody certification and recycled content. It is ideally suited for printing applications including publication covers, catalogs, magazines, brochures, direct mail and custom publishing that is targeted to a particular audience or type of consumer.
“Paper and wood products manufacturers applaud EPA’s action that recognizes its ambient air policy must fit modern times and monitoring technology. This common-sense approach will allow the EPA to embrace realistic exposure scenarios to estimate the air quality impacts of projects aimed at modernizing U.S. manufacturing plants. Moreover, the new policy fulfills the twin purposes of the Clean Air Act to enhance the quality of our air and promote the productive capacity of the nation. As one of the largest manufacturing sectors in the nation, we have invested billions of dollars on environmental stewardship with significant air quality improvements. Our industry welcomes regulatory policy that supports its ability to apply sustainable business practices to help grow the economy and create American manufacturing jobs.”