The American Forest & Paper Association released its August 2016 Kraft Paper Report, which said total Kraft paper shipments were 151.5 thousand short tons, 6.6 percent higher compared to August of last year. Bleached Kraft paper shipments increased from 6.7 thousand short tons in July to 9.5 while unbleached Kraft paper increased from 126.3 to 142.1 thousand short tons. Overall, year-to-date shipments in 2016 were 2.4 percent lower compared to the same period in 2015. Total month-end inventories decreased from 80.2 to 74.7 thousand short tons.
Sonoco (NYSE:SON), one of the largest global diversified packaging companies, today announced it will invest $20 million in the development of a new packaging center to support Duracell’s new North America battery packaging operation.
Sonoco’s Display and Packaging unit will be located in Duracell’s new leased facility in the Atlanta area. Sonoco will install and operate state-of-the-art primary packaging equipment at the new center and provide all packaging materials. In addition, the Company will produce retail merchandising displays which will also be packed out at the same facility.
“This unprecedented go-to-market packaging solution for Duracell is unlike any effort provided in our industry,” said Jack Sanders, Sonoco president and chief executive officer. “Because Sonoco is a solutions company which offers multiple packaging products and services, we are able to meet all of Duracell’s unique packaging and retail merchandising needs.”
Full production is expected in the fourth quarter of 2018. Sales of packaging and services annualized over the five-year contract period are expected to be more than $50 million.