SCA's new facility in Obbola, outside Umeå, has now been inaugurated. This means that the paper mill has the world's largest machine for kraftliner and with it a significantly increased capacity to produce climate-smart packaging material. “This is very good for SCA’s and Obbola's competitiveness and gives us a better ability to deliver in a market that needs to grow as fossil packaging materials are phased out,” says Gustaf Nygren, Mill manager at SCA Obbola. Capacity for kraftliner production is increasing, from 450,000 tons to 725,000 tons annually. The most visible change at the facility is the addition of the world's largest machine, supplied by German Voith, for the production of kraftliner. The machine is 250 meters long and is estimated to weigh around 11,000 tonnes.
Graphic Packaging Holding Company published its 2022 Environmental, Social and Governance (ESG) report, demonstrating progress on all pillars in the company's ESG Vision 2025. The company achieved its climate intensity goals three years early and advanced decarbonization by seeking to set new, science-based climate targets to reduce absolute greenhouse gas emissions. Ethnic diversity reported among the company's U.S. employee base was more than double the industry benchmark, underscoring its commitment to a diverse and inclusive workplace. Graphic Packaging is aggressively pursuing a future fueled by renewable resources. Packaging solutions from the 27-country operation are made primarily with fibers from sustainably sourced trees or recycled materials. Nearly 65 percent of its energy is derived from renewable sources. Most of the company's packaging today is designed to be recyclable, promoting a circular economy.
Berry Global Group, Inc. announced a five-year power purchase agreement (PPA) with multinational renewable energy leader ACCIONA Energía to power all four of its facilities in Mexico with wind and solar power. Procuring nearly 100,000 megawatt hours (MWh) of cost-effective, renewable energy annually, this agreement is projected to avoid around 40,000 metric tons of carbon dioxide equivalent, or CO2e, annually – equivalent to taking over 15,000 cars off the road. This not only helps Berry meet its climate goals, it also helps Berry’s customers advance their ambitious sustainability goals by providing lower-carbon solutions. Utilizing a breakdown of around 70% wind and 30% solar, Berry’s San Luis Potosi, Cuautitlán Izcalli, Atlacomulco, and Tlanepantla sites across Mexico will consume 100% renewable energy thanks to this deal. San Luis Potosi is the largest site powered through the agreement, accounting for roughly two-thirds of Berry’s total energy consumption in the country..
The largest investment of the forest industry in Finland – the new Kemi bioproduct mill and the paperboard mill expansion – came into operation as planned on Wednesday 20 September 2023. The operations will start department by department. Pulp deliveries from the new mill to customers will begin in October 2023. “Metsä Group’s products replace fossil materials in people’s daily lives. Pulp and paperboard are used as raw materials for numerous consumer goods, and we are able to produce them in Kemi with considerably lower emissions. Finland needs sustainable investment that creates employment, income and a strong belief in the future,” says Ilkka Hämälä, President and CEO of Metsä Group. The Kemi bioproduct mill produces 1.5 million tonnes of softwood and hardwood pulp annually. It uses zero fossil fuels and will be completely waste-free by 2030.
WestRock Company announced that its wholly-owned subsidiary WRKCo Inc. commenced a consent solicitation through which it is soliciting consents from registered holders of the Notes to amend certain terms of the indentures governing the respective Notes. The terms and conditions of the Consent Solicitation are set forth in a consent solicitation statement dated as of September 20, 2023. Adoption of the proposed amendments with respect to the applicable Indenture for each series of Notes requires the Consent of the Holders of at least a majority in aggregate principal amount of the then outstanding Notes of such series. The purpose of the Consent Solicitation is to obtain Consents from the Holders to (i) amend the definition of “Change of Control” applicable for the relevant series of the Notes under the Indentures to add an exception for the previously disclosed proposed business combination of WestRock and the Smurfit Kappa group announced by WestRock on September 12, 2023, pursuant to the transaction agreement entered into on September 12, 2023, by and among, inter alios, Smurfit Kappa Group plc, a public limited company incorporated in Ireland, and WestRock; and (ii) make any other changes of a technical or conforming nature to the Indentures necessary or desirable for the implementation of the proposed amendment above.
The Board of Directors of Stora Enso Oyj has appointed Hans Sohlström (58), M.Sc. (tech.) and M.Sc. (econ.), as the new President and CEO of Stora Enso as of today. Hans Sohlström is currently a member of Stora Enso’s Board of Directors from which position he is stepping down today. Stora Enso’s Board of Directors will now have eight members. Hans Sohlström has over 30 years of experience in business leadership, including over 10 years as CEO predominantly in the forest and renewable materials industries. Most recently he led Ahlstrom Corporation, Ahlström Capital and Rettig Group. Prior to that, for over 20 years, he held several leadership positions at UPM-Kymmene Corporation, such as Mill Director, Business Unit Vice President and was a member of the Group Executive Team responsible for Marketing, New Businesses and Biofuels, and Corporate Relations and Development.
International Paper announced that it has completed the sale of its 50% interest in Ilim SA, the holding company for its Ilim joint venture (JV), to its JV partners for $484MM (USD) in cash. In addition, the Company completed the sale of its outstanding shares in JSC Ilim Group to its JV partners for $24MM (USD) in cash and is divesting other non-material residual interests associated with Ilim. With the completion of these transactions, International Paper has divested all of its ownership interests in Ilim.
UPM Specialty Papers now offers a compostable solution for paper-based food stickers. UPM LabelCoatTM and UPM LabelCoatTM Prime label face papers are certified as both industrially (EN13432:2000) and home compostable (NFT51-800:2015), helping customers and brand owners meet EU’s Packaging and Packaging Waste Regulation proposal (PPWR) requirements. PPWR aims to ensure that all packaging in the EU must be reusable or recyclable by 2030. It also sets out the requirements that sticky labels attached to fruits and vegetables need to be compostable in industrially controlled conditions.
International Paper celebrated the opening of its newest state-of-the-art corrugated packaging facility in Atglen, PA. The new $100 million facility is providing more than 100 manufacturing jobs to Atglen and the surrounding communities. The new facility will produce corrugated packaging for produce, processed food, beverage, shipping, distribution and e-commerce customers. "Our corrugated packaging business is an important part of International Paper. This strategic investment will add local jobs and help us better serve our customers," said Tom Hamic, Senior Vice President and Chief Commercial Officer, International Paper.
IPG® has launched the new Tishma® brand AMS (Auto Mailer Machine) in partnership with Garrido Printing Equipment out of Miami, FL. The AMS is a revolutionary design that automatically creates a right sized, paper mailable package around each order. This high speed, inline system adjusts the creation of the mailer length to the product need, at a rate of 30 mailers per minute in random, or up to 80 per minute in a batched mode.
Pratt Industries, Inc. officially opened its $700 million 100% recycled paper mill and corrugated box factory in Henderson, Kentucky. It is the most technologically advanced and environmentally friendly paper mill ever built and will save the equivalent of 25,000 trees every day – more trees than are in New York City’s Central Park. “This is a very proud day for our company because this investment represents a major part of my recent pledge to the United States Ambassador to Australia, Caroline Kennedy, to invest $5 billion in recycling and clean energy infrastructure in the U.S. over the next 10 years,” said Pratt Executive Chairman, Anthony Pratt.
DS Smith PLC and Coca Cola HBC Austria have collaborated to replace plastic handles for 1.5 litre PET soft drink multi-packs with cardboard based outer packaging. This new plastic replacement solution will be delivered to supermarkets in Austria as of September 2023. The innovative packaging solution, DS Smith Lift Up, is a 100% recyclable corrugated handle which improves carry functionality for consumers and is designed to contribute together with other partners to the kraft paper and cardboard based solution that reduces around 200 tonnes of plastic each year for Coca-Cola HBC Austria.
IPG® (Intertape Polymer Group®) a leading manufacturer of packaging and protective solutions, is excited to introduce the new 170e water based acrylic pressure-sensitive carton sealing tape, designed with 30% recycled film. This construction is a significant step in reducing the consumption of new virgin raw materials, thereby providing an overall lower carbon footprint. 170e maintains the performance characteristics and reliability of the carton closure product line. It’s superior tack, UV resistance and broad application temperature performance mirror those of its non-recycled content counterparts and is ideal for both manual and automated applications. 170e is one of several new product launches that support and contribute to IPG’s sustainability and circularity goals. IPG continues to embrace sustainability as a key strategy for achieving the company vision and mission, and as a primary driver of operational excellence.
SCA has been nominated for the German National Sustainability Award, Deutscher Nachhaltigkeitspreis, which is presented in collaboration with the German federal government and several prominent organizations. “It's gratifying that our systematic climate and sustainability efforts are being recognized and proposed for such a prestigious honor. We are, of course, proud of this recognition. We have put a lot of effort into developing sustainability throughout the entire value chain,” says Hans Djurberg, Head of Sustainability, SCA. SCA has been nominated for the German Sustainability in two different categories: raw materials and agriculture and forestry.
Berry Global Group, Inc. earned an “A” environmental, social, and governance (ESG) rating from international ratings agency MSCI for its progress managing ESG risks and opportunities, including improvements in Carbon Emissions, Labor Management, and Packaging Material and Waste. “We are honored to receive such high recognition from MSCI for our continued efforts to increase transparency and prioritize key environmental and social issues across our global business, while strengthening Berry’s resilience to long-term ESG risks,” said Tom Salmon, CEO of Berry Global. “This improved 'A' rating reflects our ongoing investments in our workforce as well as our commitment to reducing the environmental impact of packaging and achieving net-zero emissions by 2050.”
Following the announcement of a possible combination dated 7 September 2023, the Boards of Smurfit Kappa, a FTSE 100 company, and WestRock are pleased to announce the signing of a definitive transaction agreement to create Smurfit WestRock, a global leader in sustainable packaging. The Boards of Smurfit Kappa and WestRock see compelling strategic, commercial and financial rationale for combining Smurfit Kappa and WestRock’s highly complementary paper-based packaging companies to create a global leader in sustainable packaging. The Combination will enhance Smurfit Kappa and WestRock’s existing offerings by creating the global “Go-To” packaging partner of choice and bringing together: *Smurfit Kappa’s industry-leading operational execution and innovation as a European leader in corrugated and containerboard as well as its large-scale pan-regional Americas presence that delivers best-in-class performance and returns; and *WestRock’s leadership in the United States as well as its strong footprint in Brazil and Mexico, across corrugated and consumer packaging delivering a broad portfolio of packaging solutions serving diverse, growing end-markets.
Tetra Pak is pleased to announce the first Custom Printing collaboration. The launch follows the successful validation of the Tetra Pak® Custom Printing solution, encompassing over 100 million packages, and is set to unleash new business and marketing opportunities with increased flexibility and customization, all within the package in the consumer’s hand. Flow Beverage Corp. (TSX:FLOW; OTCQX:FLWBF) (“Flow” or the “Company”), distributing a naturally alkaline spring water across U.S. and Canada, is the first brand to leverage this unique technology to create one-of-a-kind designs, for a truly immersive and engaging consumer experience. "In today’s world, brands need the ability to quickly activate marketing efforts and capitalize on consumer trends. Tetra Pak® Custom Printing allows brands greater agility than ever before to create impactful, unique campaigns that diversify their advertising strategies in a cost-effective way,” said Pedro Gonçalves, Marketing Director U.S. and Canada, Tetra Pak. “We are prou
Mondi has partnered with Robopac, a world-leading manufacturer of pallet-wrapping machinery, to offer a seamless and more sustainable paper wrapping solution for pallet storage and transportation. The two organisations collaborated closely to develop the solution, combining Mondi’s expertise in packaging and paper with Robopac’s know-how about wrapping machines. Robopac’s new paper wrapping machine uses Mondi’s Advantage StretchWrap which is 100% kraft paper, delivering excellent protection for palletised goods due to high strength, puncture resistance and tension absorption. The paper is created with responsibly sourced, renewable materials, containing no plastic or coating making it fully recyclable in existing waste streams across Europe. Robopac’s semi-automated and fully automated machines can both take Mondi’s Advantage StretchWrap, allowing customers to replace unnecessary plastic which is currently the industry standard for pallet wrapping.
Sonoco Products Company announced the completion of its acquisition of the remaining equity interest in RTS Packaging, LLC (“RTS”) from joint venture partner WestRock (NYSE:WRK) and one WestRock paper mill in Chattanooga, Tennessee. The acquisition, originally announced on November 9, 2022, will further strengthen and expand Sonoco’s 100% recycled fiber-based packaging solutions to serve growing consumer wine, spirits, food, beauty and healthcare markets. Prior to closing the transaction, Sonoco was a 35% owner in the joint venture with WestRock. With this acquisition, Sonoco adds a network of 15 operations and 1,100 employees in the U.S., Mexico, and South America. The purchase price for this acquisition was $330 million, subject to customary price adjustments. The Company funded the acquisition with borrowings under its existing credit facilities and cash on hand. After the transaction, the Company’s net debt to adjusted EBITDA ratio is less than 2.9x. The acquisition is expected to be immediately accretive to earnings per share, excluding the impact of purchase accounting adjustments.
Berry Global Group, Inc. announced that it has initiated a formal process to evaluate strategic alternatives for its Health, Hygiene and Specialties segment (“HH&S”). HH&S is a leading provider of nonwovens, specialty films, and tapes for a broad range of end markets, including healthcare, hygiene, consumer, building and construction, and industrials. The segment is well-positioned in its core businesses, providing value-added products to many of the world’s leading brand owners. The Company is considering a wide range of available alternatives to maximize shareholder value, including, but not limited to, a sale, strategic partnership or joint venture, spin-off to shareholders, or other separation transaction for some or all of the businesses within HH&S. Importantly, the Company expects current members of the HH&S leadership team will continue to lead the business in any anticipated outcome.
IPG® has launched the new Tishma brand SafeSeal-AI™ Vision Inspection System which offers a reliable, repeatable, and precise inline seal and product inspection process. “We have harnessed the power of A.I. to offer an unbelievably easy to use in-line heat seal inspection system for the food and medical industries,” explains Micah Ordway, IPG Product Manager - Machinery. “We applied our deep-learning A.I. vision tools to thermal images to find sealing, product or packaging defects - including those that are almost impossible to find with rules-based vision tools or even standard vacuum-check inspections.” This PC-based, turnkey inspection system includes everything needed to reliably inspect heat sealed trays, bags, or packaged products at a rate of 300 scans/minute and includes 20 TB of data storage.
Colbert Packaging announces its new robotic solution for product palletization operations. Designed for fully automated and integrated labeling, orientation and palletization, the new customized system is expected to streamline the current manual processes. Colbert partnered with RōBEX, an industrial robot integration provider, to assess operational challenges and identify a solution. The RōBEX team, with expertise in automotive, aerospace, food and beverage, and palletizing, worked alongside the Colbert team to design the new system. Developing this system was a complex task, given Colbert’s diverse needs. The solution needed the capability to pick and palletize multiple case variations and pallet configurations. Colbert also needed to manage multiple tier sheets and pallet types. RōBEX’s extensive expertise and innovative design approach led to the creation of a unique End-of-Arm Tool (EOAT) that proficiently handles all requirements. The RōBEX solution included a design blueprint, integration plan and meticulous cycle time calculations before final implementation.
Ardian, a world-leading private investment house, has sold its investment in Soteria Flexibles Holdings LLC to TJC LP (TJC). With the Ardian North America Fund team’s support, today Soteria Flexibles is a North American leader in short-run, custom flexible packaging manufacturing serving the healthcare, fresh food, industrial, foodservice, janitorial/sanitation and commercial markets. Led by CEO Brad Herbolsheimer and headquartered in Carol Stream, IL, Soteria Flexibles was created in 2019 following Ardian’s platform acquisition of Colonial Bag, a family-owned company based outside Chicago. It provides customized high-quality packaging products in relatively small volumes to specialized businesses in underserved, high-growth sub-segments that need tailored specifications.
Inteplast Group’s BOPP Films and Engineered Films (IEF) have developed a film portfolio of recyclable, mono-material flexible packaging featuring cutting edge biaxially oriented polyethylene (BOPE) films and low seal initiation temperature (SIT) sealant webs. The portfolio will be exhibited at this September’s Pack Expo in Las Vegas. When used in tandem, these BOPE films and low-SIT sealant webs support the industry-wide shift toward flexible packaging that is recycle-ready and circular economy friendly. Potential applications include stand-up pouches, fresh-cut produce packaging, cold-seal packaging, and vertical and horizontal form, fill and seal.
Smurfit Kappa Group confirms that the boards of directors of Smurfit Kappa and WestRock Company are discussing the key terms of a potential combination to create Smurfit WestRock, a global leader in sustainable packaging. The Potential Combination would be expected to involve the creation of a new holding company, Smurfit WestRock. Smurfit WestRock would be incorporated and domiciled in Ireland with global headquarters in Dublin, Ireland and North and South American operations headquartered in Atlanta, Georgia. The Potential Combination would be effected through an Irish scheme of arrangement involving Smurfit Kappa and a merger of a subsidiary with WestRock. Any such combination would result in WestRock shareholders receiving consideration consisting primarily of shares of the Combined Group.
Mondi is delighted to launch a new more sustainable sleeve packaging, created to replace conventional plastic shrink wrap around 1.5 litre sparkling soft drink multipacks produced by Coca-Cola HBC in Austria and keep them secure. Mondi’s Hug-IT, which keeps six bottles together during transportation, is made of Mondi’s Advantage SpringPack Plus, crowned by Guinness World Records as the strongest paper in the world.¹ The Hug-IT sleeve has high tensile strength and incomparable stretchability, so it can be trusted to wrap around the six bottles tightly, keeping them upright and held together during transit – from factory site, to retailer, to the consumer’s home. It will secure 1.5-liter PET multi-packs of the Coca-Cola, Fanta, Sprite and Mezzo Mix brands and will be sold in retail outlets throughout Austria. Hug-IT is an innovative solution, and Advantage SpringPack Plus is currently the only paper on the market offering such unique capabilities, being strong enough holding the bottle bundles together as final Hug-IT solution.
Tredegar Corporation announced that it has agreed to sell its flexible packaging films business to affiliates of Oben Group for net debt-free base consideration of $116 million. Terphane, which solely comprises the flexible packaging segment reported by Tredegar, has approximately 500 employees with manufacturing sites located in Cabo de Santo Agostinho, Brazil and Bloomfield, New York, and headquarters located in São Paulo, Brazil, and exports to 29 countries. Tredegar expects to realize after-tax cash proceeds from completion of the transaction of $85 million after deducting projected Brazil withholding taxes, escrw funds, US capital gains taxes and transaction costs. Actual after-tax proceeds may differ from estimates due to possible changes in deductions during the potentially lengthy interim period (expected to be between 8 and 14 months) to the closing date. For the 12 months ended June 30, 2023, net sales and EBITDA from ongoing operations for Terphane were $152 million and $16.4 million, respectively.
IPG (Intertape Polymer Group), a leading manufacturer of highly automated packaging machinery and turnkey solutions, has launched the new Tishma brand HYDRA™2, a fully automatic random case erector and bottom sealer. The HYDRA2 is a random case erector that offers manual box selection or seamless data connectivity with your Warehouse Management System for superior operational management and control.
Metsä Group’s Kemi mills are getting ready for a maintenance and connection shutdown to prepare for the deployment of the largest ever investment of the forest industry in Finland – the new bioproduct mill and paperboard mill expansion in Kemi. The shutdown will begin on Sunday, 10 September 2023, and the aim is to start up the mills on 20 September 2023. During shutdown, odours may occur, and there may be temporary traffic congestion around the mill area, especially at the beginning of the week starting on 11 September. Odours may also occur before the shutdown due to preparations for the bioproduct mill's start-up.
Stora Enso has progressed with its restructuring actions, announced on 15 June 2023, aimed at strengthening the Group’s long-term competitiveness and creating a decentralised and more customer centric operating model. These actions would reduce the number of employees by approximately 1,150. The parts of the change negotiations completed so far, will result in a reduction of 710 employees. Closure of pulp unit in Finland, Biomaterials division; Restructurings in the Packaging Materials division; Closure of sawmill in Estonia, Wood Products division; Group office employee reductions.
Holmen Iggesund launches Inverform PET 30, a 30 gsm version of its popular ready-made meal trays. This unique product will help customers lower their climate impact substantially. Compared to the 40 gsm version, the reduction is more than 25%. Food trays made from combined paperboard and PET coatings offer better recyclability than trays made entirely with fossil-based materials. And as well as having a fat and moisture barrier, the PET coating ensures extreme temperature resistance. This makes it ideal for trays that are placed into microwave or conventional ovens with ready-made chilled and frozen food.
Greif, Inc. announced it has acquired 51% of the ownership interest in ColePak, LLC in an all-cash transaction funded through Greif's existing credit facility. ColePak is the second largest supplier of paper partitions in North America and has a compelling future growth path in that unique product niche. As partners, ColePak adds a completely new product offering to the Greif paper converting portfolio, which provides integration to the Greif mill system in both containerboard and URB grades. Additionally, the ColePak margin profile is immediately accretive to the Greif portfolio. A shared set of company values, a growth-oriented business profile, and exposure to stable and growing food and beverage end markets all further highlight the strong strategic fit, which closely reflects the growth priorities we outlined at our Investor Day in 2022.
Ahlstrom is further extending its range of release papers by introducing new products supporting sustainability and circularity in manufacturing Pressure Sensitive Adhesive (PSA) laminates and labels. Ahlstrom strives to develop sustainable products, support the transition to more renewable, bio-based materials, and enable more efficient use of resources. In line with these targets, Ahlstrom is extending its Acti-V® range of high-performance label release liners with new products offering novel options to sustainability-driven laminators, label printers, and end-users, thanks to the use of post-consumer recycled fibers and unbleached cellulose fibers: *Acti-V® RF Yellow is a supercalendered release paper including at least 15% post-consumer recycled fiber, featuring the typical light-yellow color of paper liners that carry most PSA paper labels in Europe. *Acti-V® RF Natural is a supercalendered release paper featuring a light creamy color, naturally resulting from the blend of at least 15% post-consumer recycled fiber and unbleached and bleached cellulose fibers.
Amcor announced the North American launch of curbside-recyclable AmFiber™ Performance Paper packaging, part of the company’s AmFiber portfolio. Prequalified by How2Recycle®, performance paper meets the repulpability standards for curbside recycling, allowing brands to provide consumers with more sustainable end-of-life outcomes for packaging. Paper-based packaging alternatives employ innovative technologies to deliver the right barrier, shelf-life, and machine performance to meet brand and product needs. Consumers often seek paper-based packaging to deliver a more sustainable end-of-life, due to widespread curbside paper collection and recycling. And on the shelf, paper-based solutions meet consumers’ preferences for a natural look and feel.
R.R. Donnelley & Sons Company (RRD), a leading global provider of marketing, packaging, print, and supply chain solutions, highlights the impact of continued eCommerce growth based on its 2023 (Un)Packaging Reality Report. Sixty percent of RRD’s survey respondents reported continued upticks in eCommerce orders through 2022, and of those, 62% said they are working to level-set expectations for inventory due to over-corrections on COVID-19-related shortages. Findings also suggest brands are giving similar attention to packaging design for online and in-person retail. Survey respondents represented packaging and labels decision-makers from a wide range of different product categories. The top categories seeing upticks in eCommerce orders were center aisle food brands (77%), personal care and cosmetics brands (72%) and household products (68%). Across all categories, 92% of affected respondents reported an increase in packaging needs and 86% saw an increase in labeling needs over the past year. However, respondents from the appliances and durable goods category seemed uniquely impacted. While 64% of packaging and label decision-makers in this category reported a rise in eCommerce orders, 98% reported increased packaging needs tied to eCommerce activity.
Diversified Labeling Solutions (DLS), a national converter of pressure-sensitive labels, has added a new Mark Andy Rotoflex DLI 500 series semi-rotary die cutter to its nationwide fleet. Installed in DLS’ Itasca, IL headquarters, the new Rotoflex is part of the company’s ongoing focus on updating and modernizing its fleet of label conversion equipment. The Rotoflex DLI is a top-of-the-line die cutting platform. It is designed with efficiency and accuracy in mind, offering high-speed precision, quality control and flexibility. By investing in this state-of-the-art technology, DLS solidifies its position as a leader in the label industry. The upgraded die cutter not only enhances production capabilities but also demonstrates the company's commitment to staying ahead of the curve and adopting the latest advancements in printing technology.
Largest producer and exporter of packaging paper and sustainable paper packaging solutions in Brazil, and the only one in the country to offer short, long and fluff fiber pulp to the market, Klabin received approval for its use in Blue Angel products – the world's first environmental label, linked to the German Ministry of the Environment and the RAL gGmbH as competent bodies. Created in 1978, the seal takes a holistic view of a product's life cycle in order to assess its sustainability. The German agency approved the PineFluff line, Klabin's fluff cellulose, for use in products that are already or may be certified by Blue Angel, such as children's diapers, adult diapers and feminine sanitary pads. PineFluff's production was designed to provide the stability, homogeneity and quality that the segment of absorbent products requires. Among its properties are low defiber energy, high absorption capacity and speed, liquid retention and uniformity. Alexandre Nicolini, director of Klabin's Pulp Business, reinforces that the adoption of sustainable processes in production is extremely important, as well as the search for partners that endorse the work carried out. “Our Company is committed to offering the market innovative solutions that add productivity and sustainability. Blue Angel attests that the product's lifecycle has less impact on the environment,” he explains.
Ahlstrom has entered into an agreement to divest its Stenay plant in France to Accursia Capital, following the announcement of Accursia Capital’s binding offer in July. The divestment was confirmed after receiving endorsement from the site’s employee representatives. The transaction is expected to be completed by the end of September. "We are delighted to announce this positive outcome for the future of our Stenay plant, its employees and the community of Stenay. This would not have been possible without the role of our team on site and the collaboration of all stakeholders. A new chapter in the plant's history starts now with Accursia Capital,” says Mark Ushpol, EVP, Food and Consumer Packaging division. "This acquisition is part of a long-term investment strategy aimed at making Stenay a leading player in the highly competitive paper-based packaging market. We therefore look forward to developing the business of the Stenay site in collaboration with the employees," says Martin Scheiblegger, Managing Director of Accursia Capital.
Sustainable, paper-based frozen food packaging is now a reality! Ahlstrom and The Paper People LLC have codeveloped and launched an innovative and sustainable solution for frozen food packaging. This new line of fully fiber-based, recyclability-certified packaging is specifically designed to replace traditional fossil-based plastic and films for frozen food packaging. “This new package is designed to be used on existing packaging equipment including vertical form-fill-seal, stand-up pouches and SOS style systems,” said Neil Bretl, President for The Paper People. “The package can also be used in flow wrap and bundle wrap applications. We worked diligently to ensure these materials could easily replace traditional non-renewable substrates on existing equipment.”
Aptar Closures has been the industry leader in providing flow control dispensing solutions for more than 25 years. Its award-winning SimpliCycle recyclable valve is driving sustainability to the forefront of packaging innovation, and in September 2022, RecyClass confirmed its full compatibility with polypropylene (PP), polyethylene terephthalate (PET) and high-density polyethylene (HDPE) recycling streams. RecyClass is a non-profit, cross-industry initiative facilitating the transition toward a circular plastic economy in Europe. The organization published Design for Recycling Guidelines and, in partnership with independent laboratories, evaluates a variety of products to assess their ability to be recycled. The RecyClass approval provides brands with confirmation that Aptar closures featuring the SimpliCycle valve can directly contribute toward their full packaging recyclability goals. As a result, this summer, SimpliCycle has launched in a variety of dispensing closures with brands in several consumer end markets in Europe.
TC Transcontinental Packaging, the Packaging Sector of TC Transcontinental, announces an investment of $60M US (approximately $80M CAD) toward the development of cutting-edge mono-material recyclable flexible plastic packaging solutions, providing high-performance polyethylene films with more heat resistance. In addition to a new innovative film line that will produce biaxially oriented polyethylene (BOPE), a first in North America, the investment includes ancillary equipment and a 120,000 sq. ft building expansion in TC Transcontinental Packaging’s Spartanburg, South Carolina facility. “This new offering will be a game changer in TC Transcontinental's recyclability journey, demonstrating our commitment to distinguish ourselves and gain market share with innovative sustainable solutions for our customers,” said Thomas Morin, President and CEO of TC Transcontinental. “Our offering aligns with our customers’ desire to accelerate speed to market with recyclable products that also protect and preserve their contents throughout their lifecycle, in addition to creating a more circular economy for plastic.”
Mondi has collaborated with Fressnapf, Europe’s market leader for pet supplies, to switch their packaging to a new range of premium mono-material recyclable solutions using process colour printing technology. Fressnapf | Maxi Zoo’s exclusive brand SELECT GOLD dry pet food range will now be packed in Mondi’s FlexiBag Recyclable, BarrierPack Recyclable and Recyclable StandUp Pouches. These mono-material packaging solutions provide strong barrier properties providing protection from moisture, fat and odour and are strong and flexible to pack and store. As certified by Institute cyclos-HTP, the mono-material packaging is recyclable with other mono-polyethylene (PE) films using various existing recycling streams across Europe, contributing to a circular economy. The adaptability of the packs enabled Fressnapf | Maxi Zoo to design around 150 pet food packaging designs from 300 g to 12 kg. All packaging sizes offer long shelf life and ease of use for consumers.
The American Forest & Paper Association (AF&PA) released the July 2023 Packaging Papers Monthly report. According to the report, total packaging papers & specialty packaging shipments in July remained essentially flat (+0.4%) compared to July 2022. They were down 3% when compared to the same 7 months of 2022. Shipments of the biggest subgrade in unbleached packaging papers — bag & sack — were 89,400 short tons for the month of July, down 1.1% year-to-date. The bleached packaging papers operating rate was 78.0%, up 5.4 points from July 2022 and down 2.2 points year-to-date.
Australia’s leading tea producer Madura Tea has taken a significant step toward reducing its own impact on the environment: All packaging materials that were previously based on metalized OPP (oriented polypropylene) have been switched to flexible packaging paper. Together with Gundlach Packaging Group and Koehler Paper, Madura Tea has found the ideal packaging paper for its products in the form of “Koehler NexPlus® Seal Pure MOB 72 gsm,” which has a mineral oil barrier and offers protection against MOSH/MOAH. After several promising tests, the products are now available on the Australian market.
Fiscal 2023 Full Year Highlights • Net sales of $14,694 million, in line with the prior year on a comparable constant currency basis; • GAAP Net Income of $1,048 million; GAAP diluted earnings per share (EPS) of 70.5 cps; • Strong total cash returns to shareholders of $1.2 billion: annual dividend increased to 49.0 cents pershare; $431 million of shares repurchased (approximately 3% of outstanding shares); and • Fiscal 2024 outlook: Adjusted EPS of 67-71 cents per share. Adjusted Free Cash Flow of $850-950million.
Berry Global Group, Inc. announced that its Board of Directors has unanimously elected Kevin Kwilinski as Chief Executive Officer of Berry, effective October 2, 2023. In connection with this appointment, the Board has elected Stephen Sterrett, Lead Independent Director, as Chairman of the Board, also effective on October 2, 2023. As previously announced in February 2023, Tom Salmon will retire from his roles as CEO and Chairman, and he will remain with the Company through the end of the calendar year in an advisory capacity to ensure a smooth transition. Mr. Kwilinski brings to Berry nearly three decades of experience in the packaging industry and a track record of driving operational excellence, expanding margins and managing complex global operations. He currently serves as President and CEO of Multi-Color Corporation, a global provider of label solutions, where he successfully led and integrated multiple acquisitions, resulting in significant EBITDA and revenue growth while delivering above target commercial and operational synergies.
Cardboard is one of the most widely recycled materials in the world. This guide will showcase the seven key steps of how cardboard is recycled, showing the journey of cardboard from waste collection, right through to its new life. Recycling cardboard helps protect the environment and saves valuable resources from landfill. Understanding the recycling process is key to ensuring that cardboard is stored and collected correctly, reducing contamination, and helping to enable a circular economy. Our Recycling, Paper and Packaging divisions at DS Smith work together to achieve this every day. Step 1: Cardboard sorting and storage. Step 2: Managing the quality of cardboard at the recycling facility. Step 3: Transportation to paper mills. Step 4: Processing the cardboard bales to pulp. Step 5: Making the paper. Step 6: Creating the paper reels. Step 7: Creating the cardboard.
Phoenix Flexibles has one plant located in Gujarat, India, and the business generates annual revenue of approximately US$20 million from the sale of flexible packaging for food, home care and personal care applications. Amcor currently has four flexible packaging plants in India. The business has delivered double-digit organic sales growth per annum over the last three years, significantly outpacing growth in the underlying market, and is also investing to double its local footprint in the Pharmaceutical and Medical packaging categories.
"Strong liners with excellent printability don’t need to be thick and heavy. With 100% virgin fibers and a multi-layer construction, Billerud´s coated liners are so strong that packaging converters can use a lighter base weight which means better packaging performance and runnability at lower costs. This improves their resource efficiency and reduces their carbon footprint throughout the value chain,” says Rolf Gustafsson, Senior Director Product Management Containerboard at Billerud. The Pure Coated Liner portfolio consists of: Pure Supreme: a double-coated white top kraftliner for litho-laminated packaging, suitable for high quality prints as well as effects like lacquer, foil and embossing. Pure Decor: a light-coated white top kraftliner with a smooth surface suited for high quality pre- and post-print flexo- and digital print applications.
Developed in collaboration with Megaflex Schaumstoff, a family-owned manufacturer for flexible foams, mattresses and sleeping products, Protector Bag ExpandForm replaces the current plastic packaging for mattress rollpacking with a flexible and recyclable paper bag solution. The innovative packaging not only helps to reduce plastic waste but also ensures optimal product protection and handling during the transportation and storage of rolled mattresses. Its unique design and superior strength provide secure packaging that retains its shape and protects the mattresses throughout the transport journey. The great partnership between Mondi and Megaflex Schaumstoff ensured a smooth transition, and implementation of the new solution, with only a few adjustments to the packaging machinery. By the end of 2023, Megaflex plans to switch its entire range of mattress rollpacking to paper packaging, which is already used for instance by Bett1 to package its kids’ mattresses.
We are proud to announce that our production facility has passed its annual food safety inspection and audit performed by the American Institute of Baking (AIB) International. We received a Superior rating. This certificate of achievement signifies that Lamitech produces clean, safe paperboard products qualified for sanitary use in the food industry. As part of the review process, Lamitech was asked to demonstrate performance in the areas of operational methods and personnel practices, sanitation program and procedures, integrated pest control, overall maintenance and thoroughness of documentation to validate on-going activities. Lamitech’s food safe packaging includes Cake Boards, SBS, Polyguard and Sammyboard fish boards.
At EUR 2,181.4 million, the consolidated sales of the group were slightly below the previous year's figure (H1 2022: EUR 2,218.5 million). A decrease in the MM Board & Paper division, which was mainly due to volume, was offset by an increase in the MM Packaging division due to acquisitions and prices. The operating result fell by EUR 181.0 million from EUR 285.0 million to EUR 104.0 million. This decline is mainly due to extensive shutdowns at MM Board & Paper due to market and remodeling. The Group's operating margin was therefore 4.8% (H1 2022: 12.8%). The profit for the period fell from EUR 205.8 million to EUR 63.3 million.
Sonoco has added two new cold seal structures to the growing family of EnviroFlex® Paper products receiving How2Recycle® Widely recyclable pre-qualification. EnviroFlex Paper Ultimate (ULT) 1.0 CS and Advanced (ADV) 4.0 CS are the first of their kind to bring cold seal properties to curbside recyclable paper packaging. This results from Sonoco’s ongoing efforts to develop and provide a range of innovative and sustainable packaging solutions to meet the challenging needs of consumer-packaged goods companies in today’s competitive market. The ULT line of paper-based packaging has high oxygen, moisture, and grease barrier, ideal for moisture sensitive applications like pet treats and products containing nuts. The ADV line provides optimal performance for medium level oxygen and moisture barrier applications, like confections and powdered products.
Second quarter 2023 net income (loss) was $(18.9) million compared to net income (loss) of $14.9 million in the second quarter of 2022. Net income (loss) from ongoing operations, which excludes special items, was $(2.0) million in the second quarter of 2023 compared with $17.2 million in the second quarter of 2022.
*GAAP: Net sales of $3.2 billion; Operating income of $267 million; Earnings per share of $1.18 *Non-GAAP: Operating EBITDA of $522 million; Adjusted earnings per share of $1.90 *Returned $115 million to shareholders in the quarter ($83 million via share repurchases and $32 million in dividends)
Net sales of $1.38 billion, down 3% as reported; down 1% constant currency Net earnings of $94 million, down 18% Earnings per share (Diluted) of $0.65, down 16% Cash flow from operations (year to date) use of $7 million Cash flow from operations includes the impact of the $175 million tax deposit
International technology group ANDRITZ has received an order from Stora Enso to optimize the fiberline at the Enocell pulp mill in Uimaharju, Finland. This will help the customer meet the growing demand for non-bleached renewable packaging materials while at the same time reducing its ecological footprint. The Enocell pulp mill in eastern Finland is part of Stora Enso’s Biomaterials division. It produces softwood and hardwood pulp with an annual production capacity of 630,000 tonnes. The site was founded in 1967 and also includes a sawmill.
Amcor, a global leader in developing and producing responsible packaging solutions, announced that it has earned two AmeriStar awards from the Institute of Packaging Professionals (IoPP) for its McCoy™ dunnage free IBC liners for bulk liquid aseptic products, and Perflex® S grab-n-go shrink bags for meat and poultry. McCoy™ Dunnage Free IBC Liners for Bulk Liquid Aseptic Products Reduces Costs Up to 40% - The 330-gallon McCoy™ dunnage free bulk container liner reduces waste and cost, while enhancing sustainability. The combination of co-polymer blends and decreased materials per ply makes the package less susceptible to pinhole leaks and flex-cracking during transit. Perflex® S Grab-n-go Shrink Bags for Meat and Poultry - Amcor uses an inventive handle design in a shrink bag header to create a one-piece shrink bag that makes it easy to lift and carry slick, heavy, fresh or frozen meat and poultry up to 22 pounds. New Perflex® S shrink bags with integrated grab-n-go handles eliminate the need to use plastic netting with a clipped loop, which previously was the only option to provide a handle to carry heavy products such as turkeys.
Crown Holdings, Inc. announced the acquisition of Helvetia Packaging AG, a beverage can and end manufacturing facility in Saarlouis, Germany. The acquisition of the Saarlouis facility will expand Crown's European beverage can platform to Germany with approximately one billion units of annual can capacity. At closing, and as part of the agreement, Crown will assume the existing Helvetia customer base and accompanying contracts. The unmatched sustainability benefits and infinite recyclability of aluminum has led to an increasing preference for beverage cans to serve both the alcoholic and non-alcoholic drinks segments.
Second Quarter 2023 Financial Highlights: *Net Revenues of $1,426 million for the second quarter of 2023 were down 13% compared to $1,640 million in the second quarter of 2022 and approximately flat compared to $1,431 million in the first quarter of 2023. *Net Loss of $139 million for the second quarter of 2023 compared to $74 million of net income in the second quarter of 2022 and a net loss of $133 million in the first quarter of 2023.
Faced with a labour shortage, this Vaughan, Ont.-based blown film coextruder is using a mix of hiring and retention strategies to staff up. A boxer on the receiving end of a few one-two combos – a jab and the straight right hand – can have his lights turned out pretty quickly. For manufacturers, the one-two combo of a shortage of both skilled workers (which predated the COVID-19 pandemic) and unskilled workers (triggered by the pandemic and continuing to this day) can put a business out of business, literally turning out the lights for good. The ongoing workforce crisis is the most pressing challenge facing manufacturers today, and plastics processing – which is technologically-driven but also labour-centric – can be particularly vulnerable.
Highlights • Strong delivery from continuing operations against the backdrop of challenging market conditions ◦ Underlying EBITDA of €680 million, down 28% (H1 2022: €942 million) ◦ Basic underlying earnings per share (EPS) of 67.0 euro cents, down 32% (H1 2022: 98.7 euro cents) ◦ Improved cash generated from operations of €554 million (H1 2022: €519 million) ◦ Robust balance sheet at 0.8 times net debt to underlying EBITDA (31 December 2022: 0.5 times) ◦ Return on capital employed (ROCE) of 19.1% (31 December 2022: 23.7%) • Delivering value accretive growth, sustainably ◦ €1.2 billion of expansionary projects on track and on budget ◦ Announced acquisition of Hinton Pulp mill (Canada) • Sale process of Syktyvkar mill ongoing within an evolving political and regulatory environment
Third Quarter Highlights and other notable items: *Net sales of $5.121 billion *Net income of $202 million, Adjusted Net Income of $229 million *Earned $0.79 per diluted share (“EPS”) and $0.89 of Adjusted EPS *Consolidated Adjusted EBITDA of $802 million; Corrugated Packaging segment Adjusted EBITDA increased 11.6% year-over-year *Results negatively impacted by $89 million due to economic downtime and a $39 million increase in non-cash pension costs year-over-year; WestRock’s U.S. qualified and non-qualified pension plans remain overfunded
Key Points: *Revenue of €5.8 billion *EBITDA of €1.1 billion and an EBITDA margin of 19.1% *Return on capital employed of 19.0% *Free Cash Flow of €119 million
The largest producer and exporter of packaging paper and sustainable paper packaging solutions in Brazil, Klabin recorded Adjusted EBITDA (Earnings before Interest, Taxes, Fees, Depreciation and Amortization) of R＄ 1,344 billion in the second quarter of 2023, a decrease of 27% compared to the same period of the previous year, excluding one-off effects. In the second quarter of 2023, the company achieved net income of R＄4.293 billion. It is worth highlighting the corrugated cardboard segment, whose revenue grew 5% in the second quarter of 2023 in the annual comparison. The positive result reinforces the benefits of Klabin's integrated business model. The ROIC (return on invested capital) reached 17.4% in the last 12 months, proving the Company's ability to generate value for shareholders even in challenging economic scenarios.
Highlights: *Net Sales were $2,392 million, an increase of 1% versus the prior year quarter. *Net Income was $150 million, an increase of 127% versus the prior year quarter. *Earnings per Diluted Share were $0.49, an increase of 133% versus the prior year quarter. *Announcing definitive agreement to acquire Bell Incorporated, a well-capitalized U.S. packaging provider. *Board of Directors approved $500 million increase to share repurchase authorization.
Hood Container Corporation announced today that it has acquired the corrugated packaging business of Dalton, GA based Sustainable Printing LLC. The transaction includes all printing, converting, and ancillary equipment located in Dalton, GA. Hood will continue operating these assets in the current facility. These assets complement Hood Container’s Southeastern footprint creating greater corrugated capacity and enhanced production capabilities in the Georgia and Tennessee region. This acquisition increases Hood Container’s digital print production footprint and will allow the company to continue expanding its corrugated converting capabilities. Charlie Hodges, President and COO of Hood Container Corporation, commented, “The Dalton facility will provide additional capacity and new capabilities to Hood’s presence in the markets we serve. We are excited to add these capabilities to Hood’s offerings to better serve and care for our existing and new customers.”
Summary *Strong performance and cash flows despite operating in a generally disruptive demand environment *Most of our businesses were at or above expectations for the quarter due to commercial and operational excellence, with particular strength in the flexible packaging and rigid paper container businesses, offset by weakness in the metal packaging and industrial North American region businesses *Inventory management and destocking trends among our customers as well as inflationary pricing pressures led to lower and increasingly uncertain demand which impacted operational efficiency in our metal and industrials businesses *Remained disciplined in managing working capital to generate $349 million of operating cash flow in the first six months of 2023
DS Smith, a leading sustainable packaging provider, today announced it has entered into an agreement to acquire Bosis doo, a high-quality packaging company in Serbia. The acquisition is complementary to the business’ existing regional packaging activity in Eastern Europe, and will support its growth drive in the region. With a focus on fast moving consumer goods (FMCG) customers, Bosis doo is particularly well suited to complement DS Smith’s strategy in the region, which targets higher growth and margin opportunities through its sustainable performance packaging customer proposition. The acquisition will be structured as a share transaction and is expected to complete within the second half of DS Smith’s financial year, subject to customary closing conditions.
The primary reason to use compostable packaging is to help deliver food waste and other organic matter to composting facilities. Food waste in landfills is one of the main sources of methane, a powerful greenhouse gas that has about 20-80 times the power of carbon dioxide. Diverting food waste from landfills is a key intervention to limiting climate change, and compostable packaging can help do that by being the “vehicle” that food scraps ride along with on their way to composting facilities. Composting facilities that accept compostable packaging are able to bring in more food waste than those that don’t. Compostable packaging should be reserved for packaging that is: *Used to serve prepared food or contains frozen or raw food *Likely to deliver food to a composting facility *Food-contact packaging that is not readily recyclable *Often disposed of with food waste (e.g., produce stickers) *Fiber-based and is likely to become food-soiled
Mondi, a global leader in sustainable packaging and paper, is pleased to announce the expansion of its International Safe Transit Association (ISTA) and Amazon Packaging Support and Supplier Network (APASS) certified Performance Lab services to cater to the growing demands of eCommerce customers. Mondi's Performance Lab can now also test converted solutions such as MailerBAGs and corrugated boxes. Located in České Budějovice, Czechia, the Mondi Performance Lab complements its eCommerce service offering for high-performance eCommerce packaging, from base material to converted solutions. The laboratory's state-of-the-art equipment simulates the typical impact of packed goods in each supply chain step.
Second Quarter 2023 Highlights *Reported sales increased 6% and net income increased 31% to $83 million *Core sales increased 4% and adjusted EBITDA of $181 million increased 13% from the prior year *Pharma proprietary drug delivery systems grew across the majority of end-use categories *Beauty’s fragrance dispensing technologies had double-digit growth in the quarter *Issued new Corporate Sustainability Report highlighting ESG commitments and initiatives
Essity has made the decision to close its tissue manufacturing operations in New York state and consolidate production at its other U.S. sites. This closure will include the South Glens Falls paper mill, Greenwich converting facility and Saratoga warehouse/distribution center. The South Glens Falls paper mill will cease papermaking operations immediately, while the Greenwich converting facility and Saratoga Springs warehouse/distribution center will remain open and continue to operate as long as needed to ensure a smooth transition for customers. There are approximately 300 employees across the three locations.
*Net earnings of $235 million ($0.68 per diluted share); Adjusted operating earnings* (non-GAAP) of $204 million ($0.59 per diluted share) *$55 million of earnings achieved from Building a Better IP initiatives, bringing year-to-date to $120 million *Cash provided by operations of $528 million, bringing year-to-date to $873 million; Free cash flow** (non-GAAP) of $265 million year-to-date 2023 *Returned $200 million to shareholders through $40 million share repurchases and $160 million in dividends, bringing year-to-date to $519 million
January–June 2023 (compared to 1–6/2022) *Sales were EUR 1,040.2 million (1,232.5). *The comparable operating result was EUR 116.0 million 267.4), or 11.2% of sales (21.7). Operating result was EUR 117.9 million (283.3). *Net cash flow from operations was EUR 142.0 million (95.3). April–June 2023 (compared to 4–6/2022) *Sales were EUR 498.2 million (650.5). *The comparable operating result was EUR 27.3 million (145.9), or 5.5% (22.4) of sales. Operating result was EUR 29.5 million (142.6). *Net cash flow from operations was EUR 15.6 million (2.7).
R.R. Donnelley & Sons Company will showcase recent investments in Packaging Solutions at PACK EXPO Las Vegas. At the show, RRD will unveil anew single pass digital press to reduce time-to-market on large format runs by 25%. Ideal for retail signage and displays made from thicker substrates like corrugated and poly-based materials, the state-of-the-art technology combines the agility and speed of digital printing with exceptional print quality, a wide color spectrum and minimal energy consumption. RRD will announce full details in the fall. With growing RFID mandates from top retailers, RRD is helping clients navigate the shift by upping its investment in industry-leading technology to offer a complete solution of RFID labels and folding cartons. RRD manufactures the RFID labels and folding cartons and then affixes the label to the folding carton. RRD can also complete the fulfillment and distribution of the finished product. This comprehensive suite of services is a welcomed change from coordinating multiple steps and vendors to one seamless process.
Extended Producer Responsibility (EPR) charges for packaging converters, producers and suppliers have been delayed a year, from October 2024 to 2025. The government blamed economic pressures for the delay, but said it would use the time to finalise plans for the scheme’s implementation with local government, businesses, and waste management companies. Companies involved in packaging will still have to collect and process data on the amount and nature of packaging they use or produce during the delay.
Silgan Holdings Inc. reported second quarter 2023 net sales of $1.43 billion and net income of $78.9 million, or $0.71 per diluted share, as compared to second quarter 2022 net sales of $1.54 billion and net income of $92.7 million, or $0.83 per diluted share. Adjusted net income per diluted share for the second quarter of 2023 was $0.83, after adjustments increasing net income per diluted share by $0.12. Adjusted net income per diluted share for the second quarter of 2022, which included $0.06 per diluted share from non-recurring income associated with Russia, was a record $1.09 after adjustments increasing net income per diluted share by $0.26.
Packaging Corporation of America reported second quarter 2023 net income of $203 million, or $2.24 per share, and net income of $209 million, or $2.31 per share, excluding special items. Second quarter net sales were $2.0 billion in 2023 and $2.2 billion in 2022. Reported earnings in the second quarter of 2023 include special items for certain costs at the Jackson, AL mill for paper-to-containerboard conversion related activities and closure costs related to corrugated products facilities and design centers.
Net sales in the second quarter were $3,109 million compared to $3,510 million in the second quarter of 2022 reflecting higher beverage can volumes in Americas Beverage and favorable foreign currency translation of $11 million, offset by the pass through of $288 million in lower material costs and lower volumes across most other businesses. Income from operations was $367 million in the second quarter compared to $466 million in the second quarter of 2022, which included a gain of $113 million for the sale of the Transit Packaging segment's Kiwiplan business. Segment income in the second quarter of 2023 was $414 million compared to $432 million in the prior year second quarter as benefits from the contractual recovery of prior years' inflationary cost increases in European Beverage and cost reduction initiatives in Transit Packaging were offset by lower volumes.
The 33.9 million euro investment is focused on equipment upgrades including purchasing state-of-the art machinery for innovative packaging to support ongoing plastic replacement and boost productivity as part of our ambitious growth strategy in the East European market. Starting with upgrades at Ierapetra's Box Plant this summer, the investments will not only advance packaging capabilities but also create a safer working environment. Investment into other sites located in Ancient Corinth and Thessaloniki will also see the modernization of equipment and minimize raw material waste. The investments support our customers’ growing demand for sustainable packaging innovations and align with our Now & Next Sustainability Strategy to deliver the circular economy.
Quarter Highlights: *Delivered net sales of $5.1 billion, up 1 percent, with organic sales growth of 5 percent. *Gross margin was 33.7 percent, up 350 basis points; adjusted gross margin was 34.0 percent, up 380 basis points versus the prior year, driven by favorable net revenue realization and productivity, offsetting inflation. *Raised 2023 outlook for organic growth to 3% - 5%, and for adjusted earnings per share growth of 10% - 14%, with adjusted operating margin up 150 basis points at the midpoint versus last year.
Q2/2023 (year-on-year) • Sales decreased by 22% to EUR 2,374 (3,054) million. • Operational EBIT decreased by 93% to EUR 37 (505) million. • Operational EBIT margin decreased to 1.6% (16.5%). • Operating profit (IFRS) decreased to EUR -253 (399) million. • EPS was EUR -0.29 (0.38) and EPS excl. fair valuations (FV) was EUR -0.27 (0.42). • Cash flow from operations amounted to EUR 146 (404) million. Cash flow after investing activities was EUR -70 (247) million. • The net debt to operational EBITDA ratio (last 12 months) was 1.7 (1.0). The target is to keep the ratio below 2.0. • Operational ROCE excluding the Forest division (last 12 months) decreased to 10.7% (21.7%), the target being above 13%.
Our Kingsport Mill is running again, using recycled fiber from a corrugated recycling partnership established with a regional grocery store chain and attracting customers from across the corrugated industry. After a successful two-year conversion project and the production of the mill’s first roll of 100-percent recycled containerboard in January, Domtar hosted a ribbon-cutting ceremony in May to celebrate the Kingsport Mill’s grand reopening. Local and state officials and employees joined together to mark this important milestone. The Kingsport Mill’s production has continued apace through the summer, thanks in part to a new corrugated recycling partnership established with Food City. The mill will collect and recycle old corrugated containers from the chain’s 140 stores and use them to produce 100-percent recycled performance linerboard and medium.
Crews estimate they will continue to battle last night's large commercial fire at an Industrial Way paper mill throughout Wednesday in Longview. Wood chip piles are fueling the blaze at Nippon Dynawave Packaging at 1701 Industrial Way near the entrance on the Longview side of the Lewis and Clark Bridge and Weyerhaeuser's gate 4 near Oregon and Industrial ways. A large plume of smoke could still be seen Wednesday morning.
Q2 2023 in brief • Net sales decreased 8% to EUR 1,052 million (EUR 1,147 million) • Comparable net sales growth at Group level was -2% and -2% in emerging markets • The impact of currency movements on the Group’s net sales was EUR -38 million and EUR -3 million on EBIT. Charles Héaulmé, President and CEO: “The market environment remained muted in the second quarter of 2023, as inflation affected consumption across categories and geographies. Destocking also continued to impact volumes during the second quarter, although at a lower level than during the first quarter. Our financial performance in the second quarter was in line with the first quarter of 2023, however it was soft compared to last year. Market conditions remained challenging, resulting in lower sales volumes. Our comparable net sales decreased by 2% in the second quarter but remained stable during the first half of the year. Adjusted EBIT decreased by 10% in the second quarter and 8% during the first half of the year, mainly due to lower sales volumes and the divested operations in Russia. Free cash flow continued to improve, reaching EUR 28 million during the second quarter and EUR 71 million during the first half of the year, driven by reduced working capital.
Call to correct mistakes in proposed amendments to EU Packaging and Packaging Waste Regulation that will penalize recyclable materials, like cardboard, while promoting the plastics industry. Imagine you’re in charge of regulating packaging in the European Union. You’re bringing in some new rules to reduce waste and pollution. So far, so good. But then it is revealed that an amendment mandating the reuse of packaging will cause a flood of plastic. That is exactly the opposite of what you’re trying to achieve. Do you vote for it anyway? The answer is obvious. Yet this is the exact dilemma now facing the EU, as it debates proposed amendments to the Packaging and Packaging Waste Regulation (PPWR).
Ahlstrom, a leading manufacturer of innovative fiber-based materials, in collaboration with adapa, a leading supplier of flexible packaging solutions, and Maped, a prominent stationery brand, is proud to introduce a groundbreaking flowpack solution for eraser packaging. Ahlstrom’s Cristal™ base papers are an optimum solution for transparent packaging. By partnering with adapa and Maped, the three companies have developed fiber-based window packaging for a popular school supply – erasers. "This collaboration between Ahlstrom, adapa, and Maped is an example of our shared dedication to sustainability and responsible business practices," said Guillaume Lavoue, Product Manager for Ahlstrom. “By offering a transparent paper alternative, we are empowering companies and consumers to find fiber-based alternatives for traditional plastic or film substrates without sacrificing functionality or aesthetics."
Amcor announced its AmFiber™ Performance Paper packaging is now available to customers in Latin America seeking a high barrier, recyclable paper-based packaging solution. Launched first for the confectionery market with cold seal, it has been recently expanded to include heat seal sachets for dry culinary and beverage applications, such as instant coffee, drink powders, spices, seasonings, and dried soups. With more than 80% paper fiber content and PVDC-free, this latest material innovation is recyclable, where a paper recycling stream exists. In addition to expanding its application to new product categories, Amcor has invested in manufacturing capacity to meet growing global demand for this kind of paper packaging, including an integrated a state-of-the-art production line in its Amcor Flexibles Alzira plant in Spain.
Imagine a paper vase, where a “grass” grows, made from popcorn, suitable for consumption by your pet and, even better, rich in fiber, nutrients and mineral salts . The innovation is already available in Brazil, authored by agronomist Márcio Alexandre, better known as “Dr. Plant”, and can already be found in pet shop chains across the country. To package the product, Klabin's KlaCup Natural Kraft® paperboard was chosen, which added sustainability to delivery and, once again, reinforced its versatility and efficiency. For this initiative, Klabin, the largest producer and exporter of paper for packaging and sustainable solutions in paper packaging in Brazil, innovated in the application of KlaCup Natural Kraft®, creating an ideal product for the preservation and commercialization of the content, which has, including , its cover produced in paper.
Huhtamaki, a leading global provider of sustainable packaging solutions for consumers around the world, is making a significant investment in its Paris, Texas facility in the U.S. The investment consists of an expansion of its manufacturing capacity as well as a consolidation of an external warehouse. The investment into production assets is approximately USD 30 million, and the warehouse and manufacturing facility will be leased. This will significantly increase the North America business segment’s capacity in folding cartons to support the growth of the Foodservice business. Production is expected to start ramping up in Q1 2025 and will be key to servicing the growth of existing customers and a growing list of up-and-coming customers throughout the Southern and Midwestern states. The Paris facility is uniquely positioned to meet the increased demand in the U.S. for more innovative and sustainable folding cartons which provide convenient, safe and hygienic food for busy consumers. The site is expected to employ up to 80 employees within the first three years.
Mondi, a global leader in packaging and paper, is investing €16 million in new technology to produce a new packaging range called FunctionalBarrier Paper Ultimate. This ultra-high barrier paper-based solution for food meets growing customer demand for sustainable packaging that contributes to a circular economy. The new addition expands Mondi’s existing portfolio of FunctionalBarrier Papers providing high-barrier paper-based packaging for food products such as dried foods and powdered milk as well as for applications in the home and personal care industry. These products require packaging that offer protection from water vapour and oxygen and can ensure a long shelf life. The current industry standards to achieve this level of barrier protection are unrecyclable solutions made of plastic or lined with aluminium. Mondi’s FunctionalBarrier Paper Ultimate range is designed to be recyclable in paper waste streams across Europe while providing the necessary product protection.
Amcor Rigid Packaging (ARP) is excited to partner with Ron Rubin Winery for the launch of BLUE BIN, the first premium wine packaged in a 750mL bottle made from 100% recycled polyethylene terephthalate (rPET) plastic. PET allows BLUE BIN’s bottles to have several environmental advantages when compared to traditional wine packaging, including a reduction of greenhouse gas emissions, global warming, and other environmental impacts. Additionally, PET wine bottles are lighter and shatterproof, allowing wine enthusiasts to enjoy BLUE BIN at places they previously may not have been able to, including at the beach, by the pool, camping and other outdoor activities.
Billerud has agreed with the investment company Mimir Group about a divestment of Managed Packaging, which offers packaging solutions to global brand owners. The transaction is expected to be completed during August 2023. The intention to divest the business unit Managed Packaging is a consequence of Billerud’s focus on packaging materials, which means a reduced strategic importance of service offerings. The sale will reduce complexity and positively impact Billerud's EBITDA margin.
Pixelle Specialty Solutions announced the launch of its new ARMOR™ brand of barrier paper solutions, featuring FlexArmor™ for uncoated applications and SelectArmor™ with a coated surface for enhanced printability. The barrier papers portfolio features a wide range of capabilities from oxygen, aroma, and mineral oil barriers to chocolate, OGR and moisture vapor barriers among several others. Barriers can be applied individually or layered to enhance packaging performance. “The ARMOR™ portfolio is supported by a team of engineers across multiple mill locations who can tailor a solution to meet specific performance requirements,” said Bob van Helden, Senior Vice President, Sales & Marketing. “For those with a more standard packaging application, Pixelle offers preengineered, off-the-shelf solutions that are available today,” said van Helden. FlexArmor™ and SelectArmor™ are PFAS-Free and plastic free. Both product lines are available as FDA-approved for direct and indirect food contact. Basis weights range from 20lb. to 150lb. with functional one-side (F1S) and functional two-side (F2S) performance options. Wet strength is available along with bleached and unbleached options.
ANDRITZ will convert the idled paper machine PM3 at Steyrermühl mill in Austria to produce kraft papers for sustainable flexible packaging. The machine previously produced graphic paper for UPM. The conversion project has been launched by the Heinzel Group, which will take over the Steyrermühl mill from UPM by January 1, 2024. Once rebuilt by ANDRITZ, the paper machine (then PM6) will produce up to 150,000 tons of brown and white low-basis weight kraft paper per year to be sold under the Heinzel Group’s well-established StarKraft brand. The paper will be used for shopper bags, pouches, and other flexible packaging products. Werner Hartmann, COO of Heinzel Pöls, says: “With this investment, StarKraft will become one of the world’s leading brands for bleached and unbleached kraft paper. ANDRITZ PrimeLine technology is already successfully operating at our Pöls and Laakirchen mills. The current rebuild by ANDRITZ will help us expand our product portfolio for sustainable packaging.”
Mondi plc has agreed to acquire the 250,000 tonne per annum Hinton Pulp mill in Alberta, Canada, from West Fraser Timber Co. Ltd (West Fraser) for a total consideration of USD 5 million. As part of the transaction, Mondi will enter into a long-term partnership with West Fraser to access local, high-quality fibre from a well-established wood basket. The intention, subject to pre-engineering and permitting, is to invest €400 million in the expansion of Hinton, primarily for a new 200,000 tonne per annum kraft paper machine, anticipated to be operational from the second half of 2027. The acquisition of the mill, and investment in the paper machine, will fully integrate operations in the Americas and enable Mondi to secure the long-term supply of high quality, cost competitive kraft paper into its network of 10 paper bags plants in the region, better positioning Mondi to support the growing market demand for industrial and mailer bags.
Brazilian beverage producer Socorro Bebidas (Socorro) has expanded its partnership with Crown Embalagens Metálicas da Amazônia S.A., a subsidiary of Crown Holdings, Inc. (NYSE: CCK) (Crown) (www.crowncork.com), to launch Acquíssima Sabor flavored mineral water in 350ml (12oz) CrownSleek cans. The premium zero-calorie drink features natural aromas, offering a health-conscious alternative for consumers to stay hydrated and incorporate key nutrients into their daily diets. The line made its debut with two flavors, Lychee and Green Apple, and is currently available in Acquíssima stores, restaurants and supermarkets in Brazil. Socorro also previously utilized CrownSleek cans to package its Acquíssima mineral water brand, its first entry into the water market. Total canned water volume in Brazil has increased by nearly 7x between 2021 and 2022, demonstrating a growing trend in the region for water packaged in aluminum and a continued shift away from tap and bulk water. When considering the package format for the brand, Socorro knew it needed to help convey the refreshing and health-conscious nature of the beverage, while also delivering on sustainability. The inherent properties of metal packaging, including providing a powerful barrier against light and oxygen, helps maintain the product's freshness. Aluminum beverage cans are also infinitely recyclable and are the most recycled beverage package in the world. These characteristics resonate with Brazilian consumers, who have recently helped drive the country's recycling rate for aluminum beverage cans to an astounding 100%.
The plastic recycling capacity in Europe is growing according to a recent study made by Plastic Recyclers Europe and is expected to continue growing with the coming legislation on packaging as a key driver. The demand for PCR (Post-Consumer Recyclates) material is expected to increase significantly and Trioworld is investing heavily to meet the demand and secure the supply of PCR for our customers. The study from PRE shows that plastic recycling capacity grew 8 % between 2018 to 2020 alongside considerable improvements in collection, sorting and recycling leading to a growing uptake in a wider range of end applications. “In 2022, Trioworld decided to invest more than 50 million EUR in expanding our recycling capabilities. Investments that will make it possible to supply high-quality post-consumer recycled material to stretch film”, says Oskar Karlsson, CPO and VP Sustainability at Trioworld Group.
Industry-leading Turkish flavour company Aromsa, whose products include sauces, toppings, extracts and seasonings, was faced with a challenge. The company was fully committed to its sustainability strategy, but it had also started to work with a new customer who wanted to use stainless-steel containers for shipping. This would require an investment into approximately 250 stainless-steel containers, which is a costly packaging solution. In addition to high price, there are also the logistical costs of storage and maintenance, washing and sterilising the containers. Mondi was invited to develop an alternative solution and proposed the TankerBox which Aromsa trialled on their production line. After a few months of close collaboration and innovation at the Aromsa facilities, the TankerBox was ready for Aromsa’s commercial use. Produced from corrugated cardboard and developed as a substitute for the traditional Intermediate Bulk Container (IBC) and metal barrel, the TankerBox is an innovative product and a more sustainable solution. Its patented design consists of 5 parts: an outer box, inner octabin, angle frame, bottom star and top cover pieces.
Ahlstrom, a leading sustainable specialty materials company, takes another step in becoming the market leader in sustainable and plastic-free solutions with a non-heat sealable tea filter range, which has received certification for home compostability according to OK Compost from TÜV Austria. This certification gives customers assurance that non-heat sealable tea filter papers RegTea Green and RegTea TrulyNatural® ranges will biodegrade in home composting conditions, leaving behind no toxic residue or microplastics. These products can help Ahlstrom customers, whether converters or brand owners, to achieve their own sustainability goals.
Solenis, a leading manufacturer of specialty chemicals used in water-intensive industries, has completed its previously announced acquisition of Diversey Holdings, Ltd., effective July 5, in an all-cash transaction valued at an enterprise value of approximately $4.6 billion. Diversey is a leading provider of hygiene, infection prevention and cleaning products and technology. With the acquisition, Solenis has grown to an enterprise operating in over 130 countries with 71 manufacturing facilities and more than 15,000 employees. Headquartered in Wilmington, Delaware, Solenis was acquired by Platinum Equity in 2021. Bain Capital, the majority shareholder of Diversey, will hold a minority stake in Solenis as a result of this transaction.
The North Carolina Wildlife Federation has announced the 59th Annual Governor’s Conservation Achievement Award recipients- naming Atlantic Packaging as the Business Conservationist of the Year. The NCWF is dedicated to protecting, conserving, and restoring North Carolina wildlife and habitat and have been doing so for the past 78 years. They founded the Governor’s Conservation Achievement awards in order to recognize and honor those individuals and organizations with a strong commitment to protecting and conserving wildlife in NC. Atlantic Packaging actively engages its 800 employees across North Carolina in conservation efforts, providing sustainability and conservation education to inspire more sustainable practices both at work and at home. As a leader in sustainable packaging, their influence extends to cities like Charlotte, Greensboro, and Wilmington, where they collaborate with local organizations to promote environmentally conscious practices during major events and contribute to coastal beautification. Through partnerships, investments, and outreach efforts, Atlantic Packaging impacts conservation initiatives, fostering positive change in North Carolina and beyond.
Metsä Board’s folding boxboard capacity expansion at its Husum mill in Sweden is reaching its final phases before start-up. Once the expansion is completed, the mill’s BM1 folding boxboard machine will be delivering 600,000 tonnes of premium lightweight folding boxboard every year to consumer packaging and food service end uses all around the world. The extended BM1 is expected to start up during the second half of 2023 and to reach full capacity by the end of 2025, but the machine extension is only part of this impressive project. “The most important outcome of this project for our customers will be the increased availability of sustainable, lightweight products that help reduce packaging carbon footprint,” says Jonas Adler, Product Manager for Folding Boxboard at Husum. “BM1 produces MetsäBoard Pro FBB Bright, MetsäBoard Natural FBB, MetsäBoard Pro FSB Cup and MetsäBoard Natural FSB Cup products. Nothing will change in the recipes of these popular and trusted products, it’s just that there will be more available and they’ll be produced in an even more consistent, predictable and sustainable manner,” he highlights.
Following the announcement on 15 December 2022 of the agreement to sell its three Russian packaging converting operations to the Gotek Group for a total consideration of RUB 1.6bn, Mondi plc (“Mondi”) confirms that Gotek Group received all requisite approvals and the sale has now completed. Mondi has received net proceeds of €30.4m from this disposal into its Austrian bank account. The net proceeds from the sale of all our Russian assets will be distributed to shareholders as soon as reasonably practicable following receipt, once our exit from Russia has been completed.
“Reaching net-zero emissions by 2050 is critical to avoiding the most catastrophic environmental, social, and economic impacts of climate change,” said Tom Salmon, CEO and Chairman of the Board at Berry Global. “As a global plastic packaging leader, we have a responsibility to protect the environment by minimizing the impact of our products, operations, and value chain as well as our business by limiting the exposure of our operations and supply chain to climate risk.” Achieving net-zero GHG emissions will require a range of solutions across Berry’s broad geographic footprint and diverse portfolio of converting and decorating technologies. Emissions reduction strategies primarily fall under three categories: *Circular plastics: drive circularity and reduce GHG emissions by moving away from virgin, fossil fuel-based plastic and using lighter weight, less carbon-intensive, circular materials, including recycled plastics and bio-based plastics made from renewable resources, like used cooking oil *Value-chain engagement: because most of the company’s value-chain emissions come from purchased goods and services, work with customers to develop lower-carbon solutions and suppliers to provide lower-carbon materials and services *Cleaner energy: increase investment in renewable energy to decrease use of fossil fuels, minimize the environmental impact of energy sources vital to manufacturing, continually improve energy efficiency to reduce overall energy dependence, and take steps to electrify processes within operations that consume gas and fuel
Trendy unboxing videos are being shared widely across YouTube and social media. The anticipation of a new product, the look and feel of the packaging and the unpacking experience are playing an increasingly important role. This trend contrasts sharply with the dominating habit of throwing things away. The value of a product is already conveyed by the packaging and customers judge the content by the noble luxury packaging. The look and feel of said luxury packaging conveys a feeling of value. Rough and natural-looking surfaces imply an impression of quality, craftsmanship and sustainability. The choice of the optimal packaging material in terms of appearance and haptics therefore plays a major role for companies. It must be carefully coordinated with the corporate identity and should pick up on current trends. With an expanded range of IQ GRASS + PACKAGING papers, Mondi is now serving these trends even better. What is special about IQ GRASS + PACKAGING is the mixture of up to 30 percent grass fibre and 70 percent FSC™ or PEFC-certified fresh fibre pulp. There are around 14,000 different types of grass on our planet – one fifth of all vegetation.
We are so excited to introduce the Cruz Cool (™) sustainable cold chain cooler solution from Cruz Foam, just in time to celebrate Plastic Free July! Currently shipping in limited quantities to customers with pilot programs, the Cruz Cool is the first-of-its-kind premium, sustainable, insulated protective box. It’s the perfect alternative to traditional EPS foam coolers and can be used to safely and sustainably ship perishable goods door-to-door. Cruz Cool is an elegantly designed system using interlocking panels of corrugated paperboard lined with compostable Cruz Foam. It stores flat and is quick and easy to assemble. The system is Cruz Foam’s first curbside recyclable** cold chain product providing 48 hour insulation and protection. It’s ideal for conventional cold chain e-commerce fulfillment.
As consumers around the world look to make more sustainable decisions in their day-to-day lives, the move away from single-use plastic bags has been one of the most noticeable packaging trends. Ecobag Network, the largest producer of ecological paper bags in Poland, has recently turned to Stora Enso for a solution that achieves new levels of lightweight strength and production output. Polish supermarket chains have been encouraging their customers to switch from plastic to paper bags in recent times. This can be seen in the growth in paper bag production across the industry nationwide. Between 2019 and 2023, the number of paper bag producers has doubled from seven to fourteen, while the biggest national retailer now uses 90 million bags a year. What has driven this change? As well as the consumer habits mentioned above, another key factor is the EU’s Single Use Plastics (SUP) Directive, the Polish implementation of which entered into force on 24 May 2023. This directive stipulates that any business that places lightweight plastic carrier bags (below 50 micrometres in thickness) on the market will incur an annual fee. It therefore makes business sense for supermarket chains to look around for viable alternatives.
Ahlstrom further broadens its range of release papers by introducing new products that support the design of more sustainable double-sided Pressure Sensitive Adhesive (PSA) tapes. With many everyday uses, double-sided PSA tapes are hidden components inside many common products. They join different parts or materials with strength, durability, and versatility. While they often directly perform a sustainable function by replacing heavier and more impactful elements, they can also be manufactured with increasingly sustainable materials. An extension of Ahlstrom’s Acti-V® Industrial dedicated range of high-performance release liners, the new products offer novel options to support environmentally conscious tape producers, thanks to the use of post-consumer recycled fiber, and unbleached cellulose fibers: *Acti-V® Industrial RF Brown is a supercalendered release paper including 30% post-consumer recycled fiber, and featuring the typical brown color used in double-sided adhesive tape liners; *Acti-V® Industrial RF Natural is a supercalendered release paper featuring a natural kraft color, based on a combination of post-consumer recycled cellulose fiber (at least 15%) and unbleached cellulose fibers
Mondi, a global leader in sustainable packaging and paper, is investing over €16 million in its Krapkowice plant in Poland in response to demand for sustainable packaging from the eCommerce industry. Durable, lightweight as well as puncture and tear-resistant, Mondi’s MailerBAGs are cost-effective for customers to transport as they save space and weight. Available in a range of sizes, the bags are easy to open and close making them ideal for delivery and returns. Excellent printability also ensures brands can communicate their key messages to consumers easily. The Krapkowice plant is dedicated to the production of Mondi’s MailerBAGs, and based in Poland, is ideally located to serve the whole of Europe. This investment will more than double Mondi’s MailerBAG production capacity for 2023 in Poland and will include a new production line.
Pratt Industries, America’s leading 100% recycled paper and packaging company, will officially open its new $253 million advanced manufacturing box factory in Cedar Hill, Texas, today. At capacity, the 1.1 million square foot plant – one of the largest and most modern of the company’s 71 factories spread across 25 US states – will provide 375 full-time, high-paying, green-collar manufacturing jobs. That brings Pratt’s total workforce to 11,500. “We’re very honored to be in Cedar Hill and we’re committed to the great state of Texas – in fact this is our 5th box factory here,” said Anthony Pratt, executive chairman of Pratt Industries.
ePac Flexible Packaging, an industry leader in custom flexible packaging, is pleased to announce the opening of its new Grade A 2,200 square meter production plant on the Spintex Road in Accra, Ghana. A grand opening celebration was held on June 22nd with nearly 150 local dignitaries, government officials, customers, and media in attendance. Since its establishment in 2021, ePac West Africa, has served a number of customers across Africa, including customers from Ghana, Nigeria, Senegal and Zanzibar, with fulfillment handled by ePac’s plants in the UK and Lyon, France. With the opening of the new plant, ePac West Africa is uniquely positioned to serve CPG brands of all sizes throughout the region with competitively priced flexible packaging and industry best turnaround times.
International technology group ANDRITZ has received an order from DS Smith to supply a complete stock preparation line and an innovative reject treatment system for the mill in Porcari that produces new packaging papers from 100% recycled paper. The equipment provided by ANDRITZ will be used on the new paper machine, due to start up mid-2025, that will provide a range of paper grades for the FMCG and e-commerce sectors serviced by DS Smith. Stefano Andreotti, Project Manager at DS Smith, says: “The new equipment from ANDRITZ, as well as helping us to recover more water, will help us capture, clean and use fibres that would normally get rejected in the paper making process, so they can be once again used in our recycling loops.”
If you recently made a purchase online, you’re not alone. The U.S. Department of Commerce reports that retail e-commerce sales topped $272 billion in the first quarter of 2023, up 7.8% from the same period last year. Along with this continuing growth in online purchases comes an increasing awareness of the materials used to package and ship products, and the impact these materials have on the environment. A new survey commissioned by Two Sides North America and conducted by international research firm Toluna found that U.S. consumers believe paper-based packaging is better for the environment than other packaging materials. Survey respondents were asked to rank their preferred packaging material (paper/cardboard, plastic, glass and metal) based on 15 environmental, aesthetic and practical attributes. Overall, paper/cardboard packaging was preferred for 10 of the 15 attributes, including all environmental attributes, with half of respondents saying paper/cardboard is better for the environment than other types of packaging. Consumers also preferred paper/cardboard packaging for being home compostable (59%) and easier to recycle (43%).
UPM Raflatac is pleased to announce the launch of its new collection of wine, spirits and beverage label materials – Rêverie 3 – that embraces circularity by using recycled fibers in aesthetically attractive labels. The new collection demonstrates, via unique collaborations with five leading Spanish designers, that sustainability and impactful design can work together to deliver stunning results. The Rêverie 3 collection offers packaging designers a toolkit of visually appealing labels that are all made with materials from well-managed, FSC® certified (FSC C012530) forests, recycled materials and other controlled sources. With more and more brands now seeing the inclusion of FSC and PCR packaging as a necessity, UPM Raflatac wanted to showcase the potential of today’s sustainable label materials. With this in mind, five of the company’s responsibly sourced label materials were given to five Spanish design agencies, with the brief to create a new collection.
Metsä Board, the leading European producer of premium fresh fibre paperboards and part of Metsä Group, has, once again, achieved the highest Platinum level in EcoVadis’ sustainability assessment. The company has achieved the highest level or rating every year since 2017. Metsä Board received high scores in each of the four themes assessed, and with a total score of 87/100 is among the highest 1% of companies assessed in the category of paper, paperboard and packaging manufacturers. The overall score remained at the same high level as last year, even though the assessment included several new requirements this year. In the environmental evaluation, the company scored 100/100 for the second year in a row.
After Carlsberg and Johnnie Walker, the latest alcohol brand to trial paper bottles is Absolut. As part of a three-month pilot test, the vodka brand will be sold in paper bottles in 22 Tesco stores across Greater Manchester throughout the summer. Made from 57% paper, the bottles will include a recyclable plastic barrier, with customers able to recycle the packaging as paper through normal household waste. Following trials of the bottle at festivals in the UK and Sweden, this will be the first time such paper bottles will have been sold commercially in-store by a global spirits company. “This is a step closer towards our vision of a fully bio-based bottle,” said Elin Furelid, Director of Future Packaging at Absolut. “We are exploring packaging that has a completely different value proposition. Paper is tactile, it’s beautiful, it’s authentic, it’s light. That was our starting point, but this is not just an idea on paper.”
Pactiv Evergreen announces that four of the Company’s manufacturing facilities were recently awarded International Sustainability and Carbon Certification (ISCC) PLUS designation, three of which were recognized for the third year in a row. ISCC PLUS in an internationally recognized certification process for bio-based and circular (recycled) resins, which audits the supply chain from end-to-end. Pactiv Evergreen’s manufacturing facilities in Bridgeview, IL; Mooresville, SC; Corsicana, TX; and Malvern, AR received the certificate from SCS Global Services. Processes currently located at the certified sites include extrusion and thermoforming, and the products made in these facilities serve the foodservice and food merchandising markets. Pactiv Evergreen aims to achieve ISCC PLUS certification at additional manufacturing facilities this year to provide customers as many options as possible to meet their sustainability goals.
Mondi is introducing SolmixBag, a water-soluble bag for the construction industry. SolmixBag is a one-ply paper bag created to store and transport dry construction materials such as cement and dry mix mortar products. It’s designed to dissolve when getting in contact with water during the mixing process - the fibre of the packaging simply integrates with the product as it is mixed. This eliminates waste, reduces paper waste management costs and minimises dust on the construction site, as the bag is simply placed into the mixer without the necessity to open it up front. The bag is produced in-house thanks to the company’s uniquely integrated value chain: SolmixBag is created from Mondi’s water-soluble sack kraft paper and uses 20% less paper than the industry standard 2-ply paper bags. The solution is able to run on existing filling machines, and it is available in standard sizes, offering customers a smooth transition from their existing solutions. SolmixBag provides the same strength and shelf-life as its predecessors, with good printing results for a quality, stand-out appearance on shelf.
INDEVCO Plastics LLC, a member company of INDEVCO North America, announces its achievement of the SQF Food Safety Code Edition 9 Certification. Covering the manufacture of flexible packaging in rolls, extruded non-printed films, and shrink film, the certification recognizes INDEVCO Plastics’ unwavering dedication to implementing the highest standards in the manufacture of food packaging materials. The SQF Code Edition 9, developed by the Safe Quality Food Institute (SQFI), is the latest benchmark in food safety and quality management. By successfully obtaining this certification, INDEVCO Plastics showcases its adherence to a comprehensive set of protocols and guidelines designed to protect consumers and ensure the safety and integrity of food packaging materials.
TekniPlex Healthcare, which utilizes advanced materials science expertise to help deliver better patient outcomes, is substantially extending its North American footprint and expanding global capacity with a new 200,000-square-foot manufacturing plant in Madison, Wisconsin – the second TekniPlex Healthcare facility in the city. Scheduled to open in early 2024, the new facility will operate under the ISO 13485:2016 quality management system, which certifies the ability to provide medical devices and related services that consistently meet customer and regulatory requirements. TekniPlex Healthcare's new facility will feature sophisticated new manufacturing equipment that will significantly boost the company's lamination capacity for a broad range of materials including PET, nylon, paper, foil, PE, EAA and ionomer, in both peelable and non-peelable structures. This will help drive shorter lead-times and ensure best in class quality. The laminate and coated products are utilized in a wide variety of applications for the medical device, pharmaceutical, and diagnostics end markets, including flexible foil and plastic pouches, contact lens packaging, blisters and blister lidding, and sterilizable protective structures for medical devices, accessories and procedural tools.
With a joint investment of approximately EUR 29 million by Stora Enso and Tetra Pak, a new recycling line for post-consumer beverage cartons is starting operations in Poland. Stora Enso has invested approximately EUR 17 million into a new repulping line that will recover the carton fibers, and Tetra Pak along with Plastigram have invested a total of approximately EUR 12 million to build the new line. The line has the potential to triple the annual recycling capacity of beverage cartons in the country - from 25,000 to 75,000 tonnes – and provides scope to absorb the entire volume of beverage cartons sold in Poland, as well as additional volumes from neighbouring countries, including the Czech Republic, Hungary, Slovakia, Latvia, Estonia and Lithuania. Featuring an annual capacity of 50,000 tonnes, the state-of-the-art line at Stora Enso’s production unit in Ostrołęka (Poland) handles solely beverage carton material separation, detaching fibres from polymers and aluminium. The fibres are then recycled into carton board materials, effectively contributing to material circularity by turning used paper-based packaging into new paper-based packaging materials. This new paper recycling facility is complemented by Czech company Plastigram Industries, that, together with Tetra Pak, is industrialising a solution to recycle polyAl1 into new products.
For many craft brewers, the limited volumes produced have presented an obstacle in being able to make the transition to aluminium cans, as many can manufacturers require minimum order volume quantities which are out of scope for many craft businesses. For Pinthouse, a Texas craft brewery, there has been no such problem. The company has been able to utilise CANPACK’s on-going partnership with Gamer Packaging, a provider of full-service custom packaging solutions. In turn, CANPACK has been tasked with producing cans that enhance the refreshed branding of Pinthouse’s two premium IPA beers. These beautifully creative cans are produced at CANPACK’s new, state-of-the-art beverage can plant in Olyphant, Pennsylvania, which uses an innovative 8-colour can printing process.
Driven by a shared need for innovative solutions to efficiently deliver products to consumers in an ever-changing world, we have further expanded our partnership with Zalando, one of the leading European online platforms for fashion and lifestyle, to become their principal supplier. Working closely together through Innovation Days, PackRight Workshops and testing workshops, Zalando now has a 5-year innovation roadmap for its packaging solutions, designed to drive optimisation and reduce waste in packaging that arrives into the hands of Zalando customers. Partnering with a new, collaborative way of working, we are setting a strong ambition for Zalando to lead the way in reuse, world class efficiency in its packaging and to play a key role in the transition to the circular economy.
Stora Enso opens a new corrugated packaging production factory at De Lier, the Netherlands. The site is part of the recently acquired De Jong Packaging Group, now Business Unit Western Europe in the Packaging Solutions division. The major expansion has been designed with a strong focus on sustainable operations. The expansion adds a new, second factory to the De Lier site and equipping the facility with two new corrugators to augment the existing two. As a result of the expansion, the site is now the largest and most modern corrugated packaging facility in Europe. The De Lier site’s products currently include boxes and trays for fresh produce, horticultural and industrial applications, e-commerce and transport. The newly opened factory at De Lier utilises a variety of sustainable solutions, such as 3.8 MWp of solar panels installed on the roof, which will provide electricity to an equivalent of 1,000 households. The residual heat generated by the corrugators will be used to heat the site’s office buildings, further reducing their carbon footprint.
Leading European thermoforming packaging specialist Waddington® Europe, a division of Novolex®, has become the first to supply a full range of soft-fruit punnets to the UK market that are easier to recycle and use less plastic than conventional punnets. Made with Waddington’s revolutionary MONOAIR™ cushion technology, the new 100% mono-material punnets are now available in large rectangular (WE80), square (WE62) and standard rectangular (WE37) versions.
Amcor has announced the expansion of its AmFiber™ Performance Paper packaging range in Europe to include heat seal sachets for dry culinary and beverage applications, such as instant coffee, drink powders, spices, seasonings, and dried soups. AmFiber™ Performance Paper is a recyclable, high barrier, paper-based packaging that was initially introduced in 2022 for snacks and confectionery. Appearing on store shelves today for prominent snacks and confectionery brands, it offers high-barrier protection against oxygen and moisture, with excellent performance on brand owners’ packing machines.
Created for the circular economy, with resource and waste reduction at the core of the design from inception, the DD Wrap is an innovative and sustainable shelf-ready packaging solution. It is circular economy ready while it is also increasing supply chain efficiency and enhancing the in-store shopping experience. The DD Wrap packaging is customised for a variety of packaging solutions and is created from a single piece of cardboard without perforation at the front side to improve visibility and appeal at the point of display. It is easy to open to improve accessibility which reduces the need for sharp tools during box opening.
Pregis® introduces Pregis AirSpeed® Hybrid Cushioning (HC) Renew™ PCR, the only high-pressure air cushioning film made with 80 percent post-consumer recycled (PCR) content. This innovative product represents a significant advancement for companies seeking to improve the sustainability of their protective packaging without compromising on performance. With consumers becoming progressively environmentally conscious throughout each buying stage, there is a growing demand for sustainable packaging solutions. HC Renew PCR is an inside-the-box shipping solution that meets this need by providing the same level of protection and durability as traditional air cushions while reducing the environmental impact.
Mexico is the second largest economy in Latin America, after Brazil, and has an ideal location for accessing the US market. It is becoming increasingly attractive for global companies that are nearshoring by moving production away from Asia to the north part of the country, between the cities of Monterrey and Tijuana. The Mexican economy is estimated to grow up to 3.0% both this year and next, boosted by increased manufacturing investment, according to the most up-to-date government forecast*. Smurfit Kappa’s latest USD12 million investment in its Tijuana plant includes new machinery and process upgrades which will significantly increase both printing quality and efficiency. Laurent Sellier, Smurfit Kappa CEO of the Americas, commented: “Mexico is an important market for Smurfit Kappa. We have invested substantial resources both in paper machines and corrugated plants while increasing our network to support the country’s economy and our customers’ needs.
Huhtamaki has made the decision to consolidate the production footprint of its Flexible Packaging segment in Europe and will be closing its Flexible Packaging production facility in Prague, Czech Republic. All production and supporting activities at the facility will be scaled down during the second half of the year, with the closure of the operations completed by March 31, 2024. Production will gradually be transferred to Huhtamaki’s other manufacturing sites. The decision affects all 198 employees in the site. Huhtamaki will support its employees during this period, including providing information about vacancies in other Huhtamaki units in the Czech Republic and across Europe. Huhtamaki currently has two manufacturing units in Czech Republic. The closure of the Prague site does not affect the Fiber packaging operations in Okrisky which today employs 274 people.
-Second Quarter Financial Highlights include (all results compared to the second quarter of 2022 unless otherwise noted): *Net income of $111.2 million or $1.90 per diluted Class A share decreased compared to net income of $125.1 million. Net income, excluding the impact of adjustments(1), of $103.8 million decreased compared to net income, excluding the impact of adjustments, of $144.9 million. *Net cash provided by operating activities increased by $71.6 million to $210.8 million. Adjusted free cash flow(3) increased by $70.7 million to a source of $185.5 million.
Blown and cast film maker Sigma Stretch Film, a division of Sigma Plastics Group with operations in Ontario, is boosting its production capacity by 30 million pounds through two new Davis-Standard equipment installations. Sigma’s plant in Belleville, Ont., will receive a Davis-Standard seven-layer agricultural stretch film line aimed at expanding the current silage film offerings. According to Sigma officials, the new line allows production using the latest resins, expanded exploration in sustainability options, and better service for both domestic and international agricultural customers. The new line adds fifteen million pounds of silage film capacity in Belleville. The second machine is a three-layer Davis-Standard blown film line for Sigma’s Shelbyville, Kentucky location. “Supporting the ever-growing demand for prestretched hand films and the Vortex product lines, this equipment will add fifteen million pounds of capacity,” Sigma officials said.
Metsä Group is cooperating with Fiskars Group on a brand new fibre-based gift packaging. The innovative Muoto 3D inner packaging and a box made of Metsä Board’s folding boxboard encase Fiskars ReNew scissors made of recycled material. Pure, safe, sustainable, easy to use and recyclable. That is what the plastic-free Muoto 3D fibre packaging, originating in northern forests and set to revolutionise packaging, is all about. Renewable and sustainably grown Finnish wood is the main raw material of the Muoto 3D fibre packaging. The packaging is made of wet wood-fibre pulp in Äänekoski, at Metsä Group’s and Valmet’s joint demo plant.
Hilex®, a Novolex® brand, announced today new options for its popular ProWAVE® Tote, a recyclable, reusable tote bag that simplifies deliveries and carry-out for supermarkets, restaurants, retailers and their customers. Customers can now choose a ProWAVE Tote that features a 2.25-mil gauge film that’s manufactured with a minimum of 40% post-consumer recycled material — attributes that allow the totes to meet most legislative requirements for reusable bags, including those in California. Customers also can now opt for a ProWAVE Tote made with 1.7-mil gauge film. The ProWAVE tote boasts folded handles and a sturdy double-ply top, ensuring that the bag remains open for easy loading. The flat bottom design allows for efficient packing of larger grocery or retail products.
Our Cartogal packaging plant located in the town of A Pobra do Caramiñal, in Galicia, Spain, will soon see an increase in size, production and storage capacity after a milestone investment of 11.35 million euros. The major investment and expansion plans aim to improve service to customers, as well as to open up new business opportunities in the northwest of Iberia. The project will add 6,000 square meters to the current 11,000 square meters, to see the packaging plant become an industry leader, operating at more than 17,000 square meters. During the seven months that the works are estimated to last, the construction and roofing of the new buildings will be carried out using sustainable and environmentally friendly materials.
Mondi plc confirms that it has advised Augment Investments Limited that it is withdrawing from the agreement to sell Mondi’s most significant facility in Russia, Joint Stock Company Mondi Syktyvkar, together with two affiliated entities, to Augment. This follows recent discussions with Augment on its lack of progress in gaining the necessary approvals to complete this transaction. As per the terms of the Sale and Purchase Agreement, the Disposal to Augment will therefore be terminated and will not complete. The Board remains committed to divest Syktyvkar and will continue to assess all alternative divestment options.
Light Wrap, which has been specifically designed as a wraparound for cartons such as milk and juice cartons, offers a clever design that improves packaging while using less fibre. This results in a remarkable 19% reduction in CO₂ emissions compared to current, alternative packaging methods. Not only does Light Wrap effectively support the weight of stacked packs during transportation and at the point of sale, but it also ensures the safe transportation of cartons without any damage or deformation. By using 19% less paper fibre than other solutions, the innovative design not only minimises environmental impact but also improves protection, efficiency and packaging costs.
UPM Biochemicals and Selenis, a subsidiary of the IMG Group that produces speciality polyester resins for a wide range of applications, announced a partnership today that will help the packaging industry reduce its CO2 footprint and redefine the sustainability goals of its customers. The goal of the strategic partnership is to produce sustainable polyethylene terephthalate glycol (PETG) resin that will accelerate the introduction of renewable, sustainable forest-sourced materials into plastic applications and reduce fossil resource dependency. PETG is a highly transparent, FDA approved material used in a large variety of applications including cosmetics and personal care packaging, heat shrink sleeves, and durable goods, such as bulk dispenser.
The event marked the completion of the mill’s conversion into our first 100 percent recycled containerboard facility. The two-year project transformed the mill’s uncoated freesheet paper machine into the second-largest 100 percent-recycled containerboard machine in North America, capable of producing approximately 600,000 tons of high-quality recycled linerboard and corrugated medium annually. “Our machine is one of the most sophisticated and highly automated machines in North America,” says Mill Manager Troy Wilson. “Its state-of-the-art technology is enabling us to provide our customers a high-quality, consistent product thanks to a highly controllable, stable and repeatable process.” The mill reopened in January and is now the largest recycled manufacturer in the state of Tennessee.
Metsä Board has submitted the EIA report for the Kaskinen paperboard mill in accordance with the Environmental Impact Assessment Procedure Act to the South Ostrobothnia Regional Economic, Transport and Environment Centre (ELY Centre). The report is open for public comment and opinion from 25.05.2023 to 21.07.2023. The EIA procedure addresses the environmental impact of Metsä Board's planned paperboard mill on the existing mill site in Kaskinen. The EIA is a two-stage procedure. In the first stage, the project developer draws up an assessment programme and in the second stage, the evaluations are carried out and an assessment report is prepared. The results of the impact assessment will be considered in the ongoing planning and decision-making process. The EIA process does not make decisions on the project but aims to provide information to support decision-making and to increase public access to information and influence.
Ahlstrom expands its offering for the medical industry by introducing Reliance® Fusion, a next-generation simultaneous sterilization wrap that helps increase efficiency in the sterilization of surgical equipment trays at hospitals. Sterilization wraps are extensively used in healthcare facilities worldwide to help maintain the sterility of surgical instruments. Ahlstrom single-use sterilization wraps help to prevent microorganisms (bacteria, viruses, spores) from easily gaining access to the tray contents, allow sterilization, provide physical protection, and maintain sterility of surgical instruments up to the point of use. They thus play a crucial role in infection prevention and patients’ safety. The sterilization process is often time-consuming, requires the use of expensive processing aids such as tray liners, and involves longer drying cycles and stocking multiple weights of sterilization wrap to ensure all moisture has been eliminated.
Mondi has collaborated with Silbo to upgrade its pallet wrapping from plastic stretch film to Mondi’s kraft paper Advantage StretchWrap. Silbo has installed the first EW Technology PaperWrap machine at its plant in Żory, Poland and provides more sustainable flexible packaging for its broad range of customers, including those supplying fruits and vegetables. Mondi’s Advantage StretchWrap is made with responsibly sourced fibres and does not contain plastic or coating. Made from wood as a renewable resource, it is fully recyclable in existing paper waste streams, supporting the transition to a circular economy. Mondi commissioned an independent Life Cycle Assessment (LCA) which showed that Advantage StretchWrap performs better than standard plastic stretch film in several important environmental impact categories. The paper has exceptional puncture-resistance combined with high stretch properties providing robust protection for a wide range of goods during transportation.
New research from the renewable materials company Stora Enso sheds light on the importance of packaging in achieving greater food systems sustainability. The report entitled “Food packaging for better food systems” identifies 13 impact opportunities for the food packaging value chain, powered by innovation and collaboration, to unlock greater global climate, biodiversity, and social progress. Fiber-based packaging is an enabler of sustainable food systems due in part to its renewable base material, recyclability, and reliability in hygienic food protection. In the report, Stora Enso envisions a new developmental role for packaging to combat the hidden socioeconomic costs created by our food systems. This includes strengthening food system sustainability by advancing opportunities in areas including supporting healthy diets, minimizing food loss, and developing new compostable or waste-based materials. Tiina Pursula, SVP Sustainability commented: “Our food systems play a crucial role in securing a circular, biodiversity- and climate-positive future. We need to look at these systems holistically and consider how can we contribute to food system transformation, such as healthier, plant-based foods and food waste reduction. This way, we can drastically change the way we produce, transport, and consume food.”
Kimberly-Clark Professional™ is a winner of this year's world-renowned iF DESIGN AWARD in the bath category for the Kimberly-Clark Professional™ ICON™ dispenser collection. Hannover-based iF International Design Forum GmbH is the world's oldest independent design organization. The judging panel was comprised of 133 independent design experts from across the globe, and the competition consisted of nearly 11,000 entries submitted from 56 countries. The Kimberly-Clark Professional ICON dispenser collection won the judges over with its unique combination of aesthetic flexibility and functional excellence, elevating the entire user experience. The Kimberly-Clark Professional ICON collection is a family of hand towel, soap and toilet paper dispensers, which includes a first-of-its-kind dispenser that offers interchangeable and customizable faceplate options to elevate commercial washrooms with added sophistication and enhanced functionality.
Amcor, Delterra, Mars and P&G jointly announce the launch of a strategic partnership to stem the tide of plastic pollution in the Global South. These global leaders will work together to scale upstream and downstream solutions for a circular plastics economy, jointly committing $6 million USD over five years. The partners are coming together with a shared commitment to urgent environmental action and a shared understanding that the challenge of plastic pollution cannot be solved without a systemic and holistic approach to roll out scalable and sustainable programs to boost the transition to a circular economy. The strategic partners call on like-minded organizations to join this first group and add their support to drive real change, at scale.
Mondi has created new paper bags for Holz-Bauer’s wooden pellets replacing unnecessary plastic. Mondi’s PelletBags are created from 2-ply Mondi kraft paper which is produced, printed and converted in-house before being sent to Holz-Bauer for filling and closing, using its secure sewing method with a static binder machine. With PelletBag, Holz-Bauer will replace their existent plastic bag solution; currently an industry standard for wooden pellets. Holz-Bauer’s move to paper packaging is indicative of the trend towards using more sustainable packaging solutions. Mondi and Holz-Bauer have complementary sustainability goals, that aim to contribute to a circular economy. Holz-Bauer's wooden pellets are created from sawmill residue sourced from local businesses. Using sawmill residue in this way is in adherence to the principle of the cascading use of wood, which Mondi supports, and leverages the full value of fibre. This means that wood is used first for high performance products with hygiene or strengths requirements, such as kraft paper, and successively recycled until the residues are burned for green energy at the end of live.
Amcor, a global leader in developing and producing responsible packaging solutions, announced today that the Amcor Flexibles manufacturing plant in Londrina, Brazil, is the first Amcor plant in Latin America to achieve International Sustainability and Carbon Certification Plus (ISSC Plus)status. . The certification allows one of Amcor’s largest plants in Latin America to use advanced recycled materials across its product portfolio. The achievement also supports Amcor’s commitment to reach 30% recycled content by 2030 and aligns with the company’s sustainability pledge to make all products recyclable, reusable or compostable by 2025.
Huhtamäki Oyj has signed a EUR 125 million bilateral term loan facility agreement with a maturity of two (2) years. The term loan will be used for refinancing and general corporate purposes of the Group. The facility has a one-year extension option at the discretion of the Lender, and the interest margin is tied to three sustainability indicators: 1. Absolute scope 1 and 2 greenhouse gas emissions amount 2. Share of non-hazardous waste recycled 3. Ecovadis Rating
Duro®, a Novolex® brand, announced today that it has earned Biodegradable Products Institute (BPI) certification for even more of its paper bags and sacks. Now featuring more than 100 SKUs that have been tested and certified by BPI, Duro is adding to the growing number of certified commercially compostable products offered by Novolex. Certification by BPI assures customers that the packaging can be processed in a commercial compost facility. The newly certified bags include Duro recycled kraft paper shopping bags as well as lawn and leaf bags. They join other Novolex products that have already earned BPI certification, including compostable produce bags, T-shirt bags, can liners, and foodservice items from Eco-Products®. BPI says the certifications are important, noting that while the terms “biodegradable” and “compostable” may appear to be synonymous, there are critical differences.
Ortviken's new factory facility was inaugurated on 16 May 2023 with a ceremonial speech by Berit Högman, Governor of Västernorrland County, and a "ribbon cutting" by timber sports profile Ferry Svan. This means that the journey towards the production of 300,000 tonnes of climate-smart CTMP pulp has formally begun. Ulf Larsson, SCA's President and CEO, started the opening ceremony in Herrgårdsparken next to Ortviken's industrial site. He stated that the project was delivered and completed on budget and also ahead of schedule, and now SCA's operations provide strengthened competitiveness on the global market. Ulf also asked the guests to send a thought to the relatives of the employee of a subcontractor who died in a workplace accident during construction. The investment of SEK 1.5 billion in Ortviken's industrial site was announced in 2020 and is aimed to increase the production of Chemi-Thermo-Mechanical Pulp, CTMP, from approximately 90,000 tons per year to 300,000 tons per year.
Norske Skog Bruck announces successful commercial orders of the containerboard grades Testliner 3 and Fluting. This represents the introduction of 210,000 tonnes of competitive containerboard capacity to meet the growing demand for renewable and re-usable packaging. The production is based 100% on recycled fibre and will use steam from the waste-to-energy plant, which opened in April 2022. Norske Skog Bruck is now ramping up production and expects full utilisation of 95% in the second half of 2025. The successful commercial orders of Strato Testliner 3 and Fluting mark a new era for Norske Skog and strengthen the company's asset base and cash flow generation for decades ahead.
Q1 2023 Highlights • Sales of $1,134 million (compared with $1,135 million in Q4 2022 and $1,038 million in Q1 2022) • Operating loss of $(80) million (compared with $(20) million in Q4 2022 and $(4) million in Q1 2022) • Net debt1 of $2,070 million as of March 31, 2023 (compared with $1,966 million as of December 31, 2022). Net debt to EBITDA (A) ratio1 of 4.6x, down from 5.2x as of December 31, 2022.
To meet the growing demand for faster speed to market and a more agile supply chain, Pratt Industries has committed to strategic growth initiatives across our nationwide network, and a top priority is staying at the forefront of the high graphics movement. Pratt’s high graphics investments offer our customers quality graphic solutions through a combination of advanced print technologies and value driven options. We strive to find the best print solution to satisfy the corrugated packaging needs and budgets of our customers by investing in state-of-the-art technology and equipment. Pratt Lewisburg, OH recently added an HP PageWide digital web press to its already impressive equipment lineup in order to increase speed to market and flexibility while complementing their flexo and offset graphic capabilities. “We have the capabilities and expertise to offer customers the best supply chain solution for their high graphics packaging needs,” said Sergio Morales, General Manager.
The expansion makes the plant Smurfit Kappa’s largest in Poland and one of the most high-tech and modern packaging plants in Europe. In addition to the state-of-the-art machinery installed at the plant, it is expected that a further 50 new jobs will be created, bringing employment to more than 250 staff at the location. These new jobs will enable the plant to further serve its customer portfolio that includes some of the leading brands in the FMCG food and beverage sectors and serves both international and local customers. The investment in Poland includes the installation of a new high-tech corrugator and a range of ultra-modern converting machinery. The plant was also equipped with a new finished goods warehouse, which can accommodate upwards of 12,000 pallets. The investment will ultimately double the output from the plant which now spans 37,500 m2.
Kruger Products Q1 2023 Business and Financial Highlights • Revenue was $451.0 million in Q1 2023 compared to $398.7 million in Q1 2022, an increase of $52.3 million or 13.1%. • Net loss was $49.3 million in Q1 2023 compared to net income of $1.4 million in Q1 2022, a decrease of $50.7 million.
Billerud presents a machine glazed kraft paper especially adapted and validated for wrapping toilet and kitchen paper rolls. Hitting the sustainability sweet spot – renewable, recyclable and biodegradable, but also enduring tough handling as good as any PE plastic. Toilet and kitchen paper rolls are consumed in enormous numbers every day. For brand owners, switching from plastic to this paper wrapping would mean a significant sustainability gain. But also, for meeting consumer preferences. An Ipsos Global survey of 20 000 consumers (2021) shows that three out of four consumers want to get rid of single-use plastics. So, this new alternative from Billerud is a strong tool to decrease the gap between brands and consumers. Sustainability and a low carbon footprint are obvious strengths, but the new wrapping has more up its sleeve. Billerud’s white, long, soft virgin fibers enable excellent printability. The packaging will certainly stand out on the shelf.
When the highly-anticipated next generation Koenig & Bauer Rapida 145 eight-color press plus coater arrived on the pressroom floor at Calumet Carton, the leading producer of mailers and packaging products, the South Holland, IL manufacturer fulfilled one of its primary goals to continually reinvest in today’s most modern state-of-the-art equipment for its valued well-known customers. “We are proud to be operating this next generation offset press from Koenig & Bauer,” says Gina Inwood, vice president at Calumet Carton. “In today’s competitive marketplace, we need to provide the utmost speed, automation, and efficiency for our packaging customers, allowing them to offer color consistent eye-popping packaging within tight deadlines. This press, one of the first in North America, sets us apart from our competition, creating additional opportunities and offering lightning-fast production speeds.”
Net revenues in the first quarter of 2023 were $1,431 million compared to $1,495 million in the first quarter of 2022. The decrease was due to lower sales volume and the impact from dispositions, notably the disposition of Beverage Merchandising Asia on August 2, 2022. Lower sales volume was largely due to our focus on value over volume in the Foodservice and Food Merchandising segments and the market softening amid inflationary pressures in the Beverage Merchandising and Food Merchandising segments. These decreases were partially offset by favorable pricing, due to pricing actions in the Food Merchandising and Beverage Merchandising segments and the contractual pass-through of higher material costs across all segments. Net loss was $133 million in the first quarter of 2023 compared to $43 million of net income in the first quarter of 2022. The decrease was mostly due to $187 million of charges associated with the Beverage Merchandising Restructuring and a $27 million decrease due to the gain on the sale of Naturepak Beverage Packaging Co. Ltd in the prior year period. These decreases were partially offset by a $55 million decrease in tax expense, mainly attributable to decreased profitability.
Although many of us use products containing fluff pulp, some of us daily, it is one of those materials which is surprisingly unknown to the wider group of consumers. Fluff pulp is a type of wood pulp typically used in absorption cores of baby diapers, sanitary pads, incontinence products and various forms of air-laid nonwoven products. Not many consumers know what fluff pulp is, and that it in many cases is the only natural raw material in a typical disposable hygiene product. Even if a single absorbent hygiene product only contains a few grams of fluff pulp, the massive number of products consumed every day make that global fluff pulp market big. In 2023 it is projected to reach over 7 million tons globally (Global Fluff Pulp Consumption, projection according to Smithers). We describe NaturaFluff Eco as an oxygen delignified fluff pulp. This means that it is not bleached, only treated with oxygen to remove the remaining lignin after the cooking of the pulp. By not bleaching the fluff pulp we save approximately 80 kgs of bleaching chemicals per airdried tonne of fluff pulp. This corresponds to a saving of the carbon footprint by more than 30% compared to bleached fluff pulp.
Mondi, a global leader in sustainable packaging and paper, is upgrading its Dynäs pulp and paper mill in Sweden. The modernisation programme will increase efficiency and further improve the overall environmental performance of the mill, positioning it well to continue meeting customer demand for sustainable paper and paper-based packaging solutions. The Dynäs mill produces high-quality sack and speciality kraft papers, used for a variety of paper-based packaging solutions for industrial and consumer industries, and is an important part of Mondi’s Flexible Packaging business. The project includes the installation and upgrade of machinery and equipment such as a new cooking plant and bark boiler, which will improve the mill's energy efficiency. Upgrades will also further reduce air and water emissions, and result in better wood utilisation at the mill.
First quarter 2023 net income (loss) was $(1.0) million compared to net income (loss) of $16.4 million in the first quarter of 2022. Net income (loss) from ongoing operations, which excludes special items, was $2.5 million in the first quarter of 2023 compared with $16.8 million in the first quarter of 2022. John Steitz, Tredegar’s president and chief executive officer, said, “Our businesses and markets continue to suffer from a significant slowdown that has been exacerbated by customer inventory corrections, which has resulted in excessive inventory levels for us, too. The timing of a recovery is uncertain, especially for Bonnell Aluminum and the Surface Protection component of PE Films.”
Amcor announced that it has signed a definitive agreement to acquire Moda Systems, a leading manufacturer of state-of-the-art, automated protein packaging machines. Based in New Zealand, privately-held Moda Systems designs, assembles, and supports innovative, high-performance modular vacuum packaging solutions for the meat, poultry, and dairy industries. The acquisition will complement Amcor’s existing strength in film, positioning the company to offer an end-to-end packaging solution that encompasses primary packaging, equipment, on-site technical service, and parts.
Supremex Inc. announced today the acquisition of the assets of Graf-Pak Inc., a provider of folding carton packaging solutions to a variety of commercial markets. The transaction was concluded for a total consideration of approximately $6.0 million, on a cash-free and debt-free basis, subject to customary adjustments, financed through the Company’s existing credit facility. Founded in 1995 and employing close to 25 people, Graf-Pak operates a facility located in Pointe-Claire, Québec, near the Company’s primary folding carton plant in Lachine. Its offering is comprised primarily of the printing and manufacturing of folding carton packaging products, mainly for the food and cosmetics markets. For its last fiscal year, Graf-Pak generated sales of approximately $6.7 million.
Clearwater Paper Corporation announced that the Science Based Target initiative (SBTi) has validated the company’s climate targets. These targets include reducing absolute Scope 1 and 2 greenhouse gas (GHG) emissions by 29.1 percent and absolute Scope 3 GHG emissions by 25 percent by 2030. The Science Based Targets initiative (SBTi) is a global body enabling businesses to set ambitious emissions reductions targets in line with the latest climate science. SBTi is focused on accelerating companies worldwide to halve emissions before 2030 and achieve net-zero emissions before 2050. “By setting science-based targets, we are committing to taking steps to reduce our greenhouse gas emissions, which is crucial to mitigating the impacts of climate change,” said Steve Bowden, senior vice president and general manager of the pulp and paperboard division. “The SBTi goal-setting process helps to strengthen and unify our company’s overall commitment to reduce greenhouse gas (GHG) emissions, while SBTi’s validation of our goals gives our employees, customers, and communities confidence that we are being good stewards of our natural resources.”
Fruit and vegetables are the centerpiece of today’s grocery stores and often the first department that customers experience when walking in the door. Visually appealing produce signals quality and freshness, and for brand owners and retailers, it is critical that fruits and vegetables arrive undamaged. With fruit and vegetable loss already as much as 50% throughout the value chain, strong packaging can play a role at minimizing this by preventing damage to fresh produce. Producers and sellers have high expectations for packaging reliability and at the same time seek to balance this with increasingly ambitious sustainability measures. This includes combating food waste and reducing their packaging’s environmental impact. In the fruits and vegetables category, retailers and brand owners are commonly presented with a choice between recyclable corrugated containerboard packaging and reusable plastic crates. Both offer protection, but how can they know which is the most sustainable choice? To help our customers better understand the options and their potential environmental impacts, we recently conducted a Life Cycle Assessment (LCA) comparing corrugated containerboard box to a reusable plastic crate for transporting fresh produce.
Amcor announced it has launched an Amcor Lift-Off session dedicated to Michigan State University (MSU) with the support of the MSU Research Foundation and its network. The program offers an opportunity for early-stage start-ups from MSU and its wider network to win up to $250,000 in seed funding. Additionally, through collaboration with the MSU’s Burgess Institute for Entrepreneurship and Innovation, MSU student teams will compete for a grant of up to $10,000. This initiative follows the April 20 opening of the newly renovated MSU School of Packaging building, a program Amcor supported with a $10 million investment that included the establishment of an Endowed Chair of Packaging Sustainability.
Stora Enso alongside Blue Ocean Closures and AISA have developed together the first ever paperboard tube with a fiber-based closure. This new, innovative wood fiber-based concept helps brand owners increase the share of renewable material in their packaging. All components of the tube are designed for recycling. The tube is composed of Stora Enso’s barrier-coated board material Natura Shape™ and a screw cap designed in collaboration with Blue Ocean Closures with assembly by AISA. The solution contains more than 85% fiber content, the highest proportion available in a tube design. Intended for cosmetics and personal care applications, it is expected to be commercially available in 2024.
In a recent supplier award ceremony, Ahlstrom was recognized specifically for their packaging contributions to the Taco Bell® brand. “We are extremely humbled to have received this recognition from our Taco Bell® partners,” commented Travis Dahlke, Vice President of Ahlstrom’s North American Food business. Dahlke and members of his team accepted the award during the event. “This is a result of strong collaboration through our entire value chain – from Taco Bell® through our converting partners.” The S.T.A.R. awards (Supplier – Tracking – Assessment – Recognition) uses company-wide audits built to qualify supplier performance in several categories, including Packaging. Ahlstrom leveraged both its FluoroFree® and trulyNatural® technologies in the development of sustainable packaging solutions for Taco Bell.
Cascades inc. is very pleased to announce that it has produced yesterday its first roll of 100% recycled containerboard at its Bear Island, Virginia mill. With annual production capacity of 465,000 short tons of lightweight, high-quality, 100% recycled containerboard, the state-of-the-art mill is equipped to perform within the top quartile of its industry, and will strengthen the operational flexibility, geographic footprint, and competitiveness of Cascades' Containerboard platform. The project created 700 jobs in the region during the construction phase, and 180 permanent jobs with the onset of commercial production. The Bear Island mill is now entering the ramp-up phase of the machine and will gradually increase its production to reach full capacity. An official inauguration will be held in the coming months.
Second Quarter Highlights: *Non-GAAP: Operating EBITDA of $541 million; Adjusted earnings per share of $1.96 *Returned $187 million to shareholders in the quarter ($155 million via share repurchases and $32 million in dividends) *Fiscal 2023 outlook: Reaffirmed adjusted EPS and free cash flow ranges
Second Quarter Highlights and other notable items: *Net sales of $5.3 billion *Net loss of $2.0 billion, included a $1.9 billion pre-tax, non-cash goodwill impairment and $445 million of pre-tax restructuring and other costs; Adjusted Net Income of $198 million *Results negatively impacted by $58 million due to economic downtime, as well as a $40 million increase in non-cash pension costs year-over-year; our U.S. qualified and non-qualified pension plans remain overfunded *Loss per diluted share of $7.85 and Adjusted Earnings per Diluted Share of $0.77
The new recovery boiler and turbine of the Husum pulp mill started up at the end of 2022. Thanks to the latest technology and processes the mill’s bio-based energy production will increase and the mill integrate’s electricity self-sufficiency will amount to over 80 per cent. The total value of the investment was approximately EUR 380 million. In the second phase of the renewal, to be decided and implemented later in the decade, the two current fibre lines would be replaced with one new line. An investment programme is also underway at the Husum mill to increase the annual production capacity of folding boxboard by around 200,000 tonnes. The investment is expected to be completed in the fourth quarter of 2023. Metsä Board Husum mill in Sweden is an integrated board and pulp mill producing folding boxboard, uncoated white kraftliner and bleached chemical pulp.
Klabin recorded, in the first quarter of 2023, Adjusted EBITDA (Earnings before Interest, Taxes, Fees , Depreciation and Amortization) of R＄ 1.942 billion, up 13% over the same period of the previous year. In the first three months of the year, the Company's sales volume, excluding wood, totaled 881 thousand tons. The flexibility of Klabin's integrated business model benefited the conversion of paper into packaging, minimizing the Company's exposure to the Kraftliner foreign market. As a result, Net Revenue reached R＄ 4.831 billion in 1Q23, growth of 9% compared to 1Q22, a result that also reflects the price adjustments carried out over the last few months. The ROIC (Return on Invested Capital) reached 19.4% in the period, demonstrating the Company's ability to combine growth with the generation of value for shareholders.
Underlying EBITDA from continuing operations in Q1 2023 was €351 million and broadly flat when compared to Q4 2022 after excluding the non-cash forestry fair value gain1. The quarter was characterised by lower average selling prices; softer demand, driven in part by destocking; and lower input costs from the highs seen in H2 2022. While wood prices remained high in Q1 2023, they have now started to reduce. Corrugated Packaging saw softer demand, driven in part by destocking, and lower prices compared to Q4 2022. Flexible Packaging delivered a stable performance compared to Q4 2022, with weaker industry demand and modestly lower prices being offset by falling input costs. Uncoated Fine Paper demand in Europe was lower compared to Q4 2022, with prices declining towards the end of the quarter. In Southern Africa demand and pricing were stable.
Working in partnership with Fiorini Packaging, the specialist manufacturer of industrial paper sacks, UPM Specialty Papers has co-created a sustainable, fibre-based sack suitable for pet food applications of up to 20 kg. Already available to order from Fiorini, a sample of the new sack will be showcased on the UPM Specialty Papers stand at Interpack 2023. Pet food can be challenging to pack because it has high levels of grease. Standard papers typically used for pet food packaging are unable to offer the required level of grease and moisture resistance. In addition, 20kg pet food sacks need to be strong, creating a need for reinforcement and the possibility to resist external weather conditions. Until now, plastic laminated paper has been usually used to provide the required level of strength and barrier qualities.
WestRock Company (NYSE: WRK) today announced it will permanently cease operating its paper mill in North Charleston, South Carolina, on August 31, 2023. The North Charleston mill produces containerboard, uncoated kraft paper (KraftPak®), and unbleached saturating kraft paper (DuraSorb®), with a combined annual capacity of 550,000 tons. Containerboard and uncoated kraft currently produced at the mill will be manufactured at other WestRock facilities. The Company intends to exit the unbleached saturating kraft paper business when the mill shutdown is completed.
Highlights - Nine Months Ended March 31, 2023 • Net sales of $11,021 million, up 4%; • GAAP Net income of $868 million, up 25%; GAAP diluted earnings per share (EPS) of 58.1 cps, up 27%; • Strong cash returns to shareholders: quarterly dividend of 12.25 cents per share and $200 million of sharerepurchases year-to-date; and
Intertape Polymer Group is proud to announce the exclusive distribution partnership in the US and Canada with IMA Group, a world leader in the design and manufacture of automatic packaging machines. IMA Group established a new IMA E-COMMERCE Division, specifically dedicated to the e-commerce market in response to the increasing demand for online shopping and growing importance of that segment in today's economy.
Tambrite Aqua+ is a new circular packaging material for frozen and chilled food packaging that reduces the need for fossil-based plastics and improves recyclability after use. Tambrite folding box board has been providing industry-leading stiffness and bulk for over fifty years with its excellent printability, runnability, and robustness. Aqua+ is a new water-based dispersion coating that provides the necessary protection and food safety. Tambrite Aqua+ utilises a dispersion coating that helps to reduce the use of plastic that is increasingly subject to costs incurred by packagers, such as extended producer responsibility (EPR) fees. Tambrite Aqua+ is fluorochemical-free, resistant to grease and moisture, comes with the PAP21 logo that shows it is easily recyclable with normal paper and board waste streams.
The long-term collaboration between Koehler Paper and HDG-Verpackungsmaschinen has resulted in a new innovation: For the first time, paper bags can now be produced and filled on horizontal form-fill-seal machines using the "pressure seal module" for the RB-300 HDG packing machine and the specially developed "NexPlus MC" packaging paper from Koehler Paper, which features high mechanical strength and no sealing layer. Possible formats are 3-edge sealing bags, folding flat-bottom bags (fully sealed) and double bags with a bag length of up to 250 mm and a width of at least 50 mm. The new packaging option can be used for all products that do not require an additional barrier, as well as for secondary packaging of dry products.
In the face of the fast-growing demand for sustainable packaging, UPM Specialty Papers is working closely with customers and expert partners from across the food packaging value network to co-create the next generation of transformative and recyclable fibre-based packaging solutions. The aim is to develop and test papers, products and concepts that will support converters and brand owners in the transition to packaging made from sustainable and recyclable materials. This will in turn help them to meet their sustainability targets and comply with upcoming EU regulations on recyclability.
Q1 2023 Highlights: *Net Sales were $2,438 million, an increase of 9% versus the prior year quarter. *Net Organic Sales increased 1% versus the prior year quarter. *Net Income was $207 million, an increase of 93% versus the prior year quarter. *Net leverage was 3.1x versus 3.2x at year-end 2022.
*Net sales decreased 2% year-over-year to $1.7 billion as strong pricing was offset by lower overall volume. *GAAP operating profit increased 36% year-over-year as gains on asset sales and lower acquisition related costs offset lower price cost and lower volume and mix. *GAAP net income increased 29% and Adjusted Earnings decreased 25% from the same period last year. *Diluted GAAP EPS increased 28% while diluted Adjusted EPS decreased 24% from the same period last year.
*Net sales of $1.3 billion, down 5% as reported; down 2% constant currency *Net earnings of $63 million, down 58% *Earnings per share (Diluted) of $0.44, down 56% *Cash flow from operations (year to date) of $52 million, up 7%
Heidelberger Druckmaschinen AG (HEIDELBERG), the largest supplier and technology leader for the folding carton market, expects the segment to grow worldwide by more than two percent annually over the next few years. According to a study by the US market research institute Smithers, the total value of folding carton production will reach 160 billion US dollars by 2026. For HEIDELBERG, folding carton represents a strategic growth segment and already accounts for nearly half of the company’s sales. An important driver in the market is the growing environmental awareness of consumers, who are increasing their preference for more sustainable paperboard packaging over plastic.
First Quarter 2023 Highlights: • Reported sales grew 2% and core sales increased 4% driven by demand in Pharma and Beauty • Aptar Pharma reported sales growth of 4% and core sales growth of 7% • Aptar Beauty reported sales growth of 6% and core sales growth of 9% • Reported earnings per share decreased 12% to $0.82, due to restructuring charges • Operating cash flow was $98 million, up from $92 million in 2022
First Quarter Overview: *EBITDA growth of 13% to €579 million with an EBITDA margin of 19.3% *ROCE of 21.6% *Net Debt to EBITDA ratio of 1.2x *Finalised exit from Russian business. Tony Smurfit, Group CEO, commented: “Smurfit Kappa is reporting another strong performance for the first quarter with EBITDA of €579 million, an EBITDA margin of 19.3%, a ROCE of 21.6% and a net debt to EBITDA of 1.2x. This performance reflects the continuing benefits of our integrated model, the effectiveness of our capital spend, our constant focus on innovation for customers and our geographic footprint.
Together with Nissha Metallizing Solutions, Koehler Paper has developed a premium product and is expanding its offerings in the NexPlus® group of innovative flexible packaging paper products. With its excellent oxygen, grease, and mineral oil barrier properties, the product is suitable for metallizing, making it perfect not only for packaging for food such as chips, energy bars, energy powders, and coffee, but also for non-food products such as cosmetics in powder or solid form. The extremely thin metallized vacuum coating ensures recyclability and contributes to a sustainable circular economy. The Paper is made 100% with virgin fiber pulp from certified sustainable forestry and controlled sources and that is designed to be recyclable in conformity with the latest testing methods. In comparison to conventional plastic packaging, the flexible packaging paper reduces carbon footprints significantly and contributes to a sustainable circular economy.
Mondi has created Protector Bag ExpandForm, a paperbag solution with an expandable feature to safely rollpack mattresses. Protector Bag ExpandForm replaces the current plastic packaging with a flexible and recyclable alternative. The solution is also customisable and can expand to different sizes while holding the mattress securely. The packaging is made with Mondi’s kraft paper, which is responsibly sourced and renewable, and can be recycled contributing to a circular economy. The paper bag is puncture resistant and suitable for printing, meaning brands can customise their deliveries with a high-quality finish. Unlike plastic, the paper layers are also breathable and can emit gas that can evaporate easily with this new packaging.
Leading global packaging solutions company, Huhtamaki has redefined the possible by using science to develop groundbreaking mono-material technology. Its innovative and sustainable flexible packaging, in Paper, PE and PP Retort, is transformational and meets the demands of both its customers and their consumers. Announcing its game-changing innovation, Dr. Marco Hilty, President of Flexible Packaging at Huhtamaki outlined its importance: “What we’ve done, quite simply, is to redesign the future of flexible packaging by setting new industry standards in mono-material solutions. These blueloopTM innovations are both unique to Huhtamaki and transformational. They simultaneously deliver recyclability, with no compromise in either product protection or affordability. This is the power of three. “These at-scale innovations will support our customers reach the commitments many of them have made, including to use only recyclable, compostable or reusable packaging by 2025 and align with the direction of future policy, both in the EU and globally."
Q1 2023 in brief • Net sales stable at EUR 1,047 million (EUR 1,050 million) • Comparable net sales growth was 2% at Group level and 0% in emerging markets • The impact of currency movements was EUR -0 million on the Group’s net sales and EUR 1 million on EBIT
January–March 2023 (compared to 1–3/2022) • Sales were EUR 542.1 million (582.0). • The comparable operating result was EUR 88.7 million 121.5), or 16.4% of sales (20.9). Operating result was EUR 88.4 million (140.7). • Comparable earnings per share were EUR 0.19 (0.26), and earnings per share were EUR 0.19 (0.31). • Comparable return on capital employed was 13.9 % (21.1). • Net cash flow from operations was EUR 126.4 million (92.6).
*First quarter net earnings (loss) of $172 million ($0.49 per diluted share) *Building a Better IP initiatives delivered $65 million of incremental year-over-year earnings benefit in the first quarter 2023 *First quarter cash provided by operations of $345 million; First quarter free cash flow of $4 million included a $193 million final payment to the IRS for the timber monetization restructuring settlement *Returned $319 million to shareholders through $157 million share repurchases and $162 million in dividends in the first quarter 2023
This report was prepared in reference to the Global Reporting Initiative (GRI) Standards and the Sustainability Accounting Standards Board (SASB) Containers and Packaging 2018 Sustainability Accounting Standard. Recent achievements highlighted in the report include: *Reducing Scope 1 and Scope 2 emissions by 0.7% in 2022 excluding the acquisition of Sonoco Metal Packaging, and reducing emissions intensity (tCO2e / thousand $ revenue) by 20% *Joining the United Nations (UN) Global Compact to advance support for the UN’s Sustainable Development Goals and Ten Principles Compact *Discontinuing the use of virgin pulp in mill operations with the completion of Project Horizon; all mills now utilize 100% recycled fiber *Conducting water risk studies at 100% of our paper mills using the World Resource Institute (WRI) assessment; building future improvement plans based on findings *Investing in renewable energy through one completed and three additionally approved solar installations projects *Further expanding our Envirosense® portfolio of more sustainable packaging with new paper-based flexible packaging offerings, which supports our customers’ sustainability goals
Sealed Air and Koenig & Bauer AG announced they have signed a non-binding letter of intent to expand their strategic partnership for digital printing machines. The partnership aims to significantly improve packaging design capabilities by developing state-of-the art digital printing technology, equipment, and services. Solutions developed by SEE and Koenig & Bauer will scale and deliver digitally printed materials dramatically faster, enabling brand owners to promote products by connecting with consumers through a digitally enhanced package. The Koenig & Bauer RotaJET-series of digital printing presses will feature SEE’s prismiq™ intellectual property, software and hardware. By accelerating the digitalization of printing platforms, both companies will drive expansion of their portfolio of solutions. The partnership will expand market opportunities for both companies and result in co-branded digital printing presses.
With the packaging industry preparing to meet EU recyclability targets, the demand for innovative and sustainable solutions is growing fast. In a recent co-creation project with SN Maschinenbau GmbH, a leading manufacturer of horizontal pouch-packaging machines, UPM Specialty Papers tested a range of heat-sealable barrier papers on SN Maschinenbau’s packaging machines. The goal was to create a recyclable, renewable, fibre-based pouch ideal for dry, frozen, and greasy foods. The sample will be displayed at Interpack 2023. As a world-leading manufacturer of packaging machinery, SN Maschinenbau seeks to deliver the best pouch packaging technology to its customers. In the light of current trends, this includes the capability to produce and process the recyclable and renewable packaging materials that customers are looking for. Working closely with partners, SN Maschinenbau is searching for new types of materials that, at best, can be seamlessly integrated into existing pouch packaging machinery.
Cascades announces an important repositioning of its Tissue Papers platform to enhance the performance of the business. The Company will simplify operations by concentrating the majority of its tissue product operating activities at core, geographically well-positioned sites that offer opportunities for future development. These changes will reduce costs, create synergies and significantly improve the Tissue Group’s financial, operational and environmental performance. This decision will not affect the level of service Cascades provides to its customers. Beginning in July 2023, Cascades will progressively close its underperforming plants in Barnwell, South Carolina, and Scappoose, Oregon, as well as the virgin paper tissue machine at its St. Helens plant, also in Oregon. The equipment slated for closure, which have a combined total annual rated capacity of 92,000 short tons of tissue paper and 10 million cases of converted product, have been operating below capacity producing 56,000 short tons of tissue paper and 5 million cases of converted product in 2022, mostly on the West coast. A portion of this production will be absorbed by open capacity at our other facilities and by the increase in productivity at our sites, particularly in the United States. Cascades has the option to evaluate the possibility of redeploying the seven conversion lines impacted by this decision to other sites at a later date.
Net sales were $1.8 billion in the first quarter of 2023, up compared to $1.7 billion in the prior year period primarily due to higher selling prices. Sales volume (in tons) was down 8 percent which was partially offset by favorable change in mix. Approximately 3 to 4 percent of the volume decline was attributed to a challenging prior year comparison (up 6.4 percent) amid record low inventories and disruption from temporary external events impacted volumes around 2 percent. Overall, the company estimates underlying market demand was down approximately 2 to 3 percent primarily due to inventory destocking across the supply chain and softer consumer demand in a few markets given macroeconomic uncertainty. Earnings before income taxes were $270 million in the first quarter of 2023, up $100 million compared to the prior year quarter. Likewise, segment operating profit was $398 million in the first quarter of 2023 compared to $231 million in the prior year period.