In the midst of these uncertain economic times, even some successful companies are hesitant to make major capital purchases, fearing what tomorrow may or may not hold. But one flexible packaging converter has been busy purchasing equipment — and companies — to ensure its future is as bright as its past.

In the past two years, Ampac Flexibles has acquired converting operations across the country in Auburn (Seattle), WA, and around the world in Eberdingen, Germany. In the last four months of 2008, the company also installed new equipment at its facilities in Auburn and Elk Grove Village, IL.

“We're targeting some growth market niches,” explains Sal Pellingra, Ampac's innovation and marketing director. “And in other markets where we're entrenched, we're working to improve our product offering.”

With 15 manufacturing centers in North America and Asia, Ampac has grown “tenfold” to $300 million in annual sales in the past ten years, says Pellingra, both through acquisitions and growth in key market segments. Its product line includes stand-up pouches, high-end performance flexible packaging materials, and rollstock for the food, beverage, medical, pharmaceutical, and health and beauty aids markets, among others.

The company also provides more than 200 custom and proprietary film blends. They are designed to meet customers' specialty film packaging requirements.

In May 2007, Ampac greatly enhanced its market position with the acquisition of Mohawk Northern Plastics, a fully integrated flexible packaging converter in Auburn. Just four months later, Ampac purchased Floeter Flexible Packaging Group, with two manufacturing facilities in Germany and one in Chicago.

Then in December 2008, the company made capital investments at two US facilities, installing a new Windmoeller & Hoelscher extrusion system in its 270,000-sq-ft Auburn plant and a Totani pouchmaking machine in its 55,000-sq-ft Elk Grove Village facility.

Organic Growth

Installation of the 110-in. W&H Varex extruder has given Ampac's Auburn plant, which now converts 55 million pounds of film annually, the ability to increase the output and variety of innovative multilayer film structures. Ampac says the high-speed W&H line improves service to key target markets, including fresh and frozen foods, and provides quality sealant webs to the converting industry. Running speed is 1,500 pph.

“The primary reason [the equipment was installed in the suburban Seattle facility] is in alignment with Ampac's long-term capital investment plan. Ampac is focused on exceeding customer expectations in key markets. With the new line, Seattle is better positioned to service the growing fresh and frozen foods markets,” notes Pellingra. “It also allows Seattle to broaden their product offering in other key sealant and coextruded film markets. This is the first step of a capital growth plan for this key Ampac site.”

In addition to the new extruder, the plant houses 14 others, in widths from 36-110 in., from manufacturers that include Egan Davis-Standard and Gloucester. The plant also has three W&H printing presses — plus two from Carint and one from Paper Converting Machine Co. — with six to ten colors and widths from 13.75-60 in., plus three Stanford rewinders and other ancilliary equipment.