Converting Industry News
- Published: November 01, 2002, By Deborah Donberg, Associate Managing Editor
Covering the Full Spectrum of Industry News, Events, & Activities
If you received PFFC's August and September issues, even a quick glance reveals they are undeniably special.
In appreciation for all the contributions that made these holographic covers possible, associate publisher/editor Yolanda Simonsis (far right) awarded recognition plaques to (from left to right) Tom Williams of Next Communications, Minneapolis, MN; Sam McElree of Kurz Transfer Products L.P., Charlotte, NC; David Bohne of Hinderer and Muehlich (H&M) Dies, Charlotte, NC; and Dick Reindl of Letterhead Press, Waukesha, WI.
Acquisitions
W&H Enhances Position in Blown Film Extrusion Market
LINCOLN, RI, USA—Windmoeller & Hoelscher Corp. has acquired Reinhold Machinery Co., Lengerich, Germany. The sale will be completed and in effect Jan. 1, 2003.
W&H reports the acquisition will further enhance its position in the blown film extrusion market. Reinhold has developed and sold components for blown film extrusion equipment since the 1970s, including film-sizing cages, oscillating haul-off units, and winders. Reinhold will continue to operate independently and under its own name. The existing staff will be retained.
W&H also announces it will celebrate the 25th anniversary of its incorporation as a US company in early December of this year. Parent company Windmöller & Hölscher of Lengerich, Westphalia, Germany, was founded in 1869 and first established an international presence by automating the production of paper bags.
UPM-Kymmene Corp. Adds MACtac to the Fold
HELSINKI, FINLAND—UPM-Kymmene Corp. will acquire p-s materials business MACtac from the US-based Bemis Co. Inc. for US $420 million. Under a separate agreement, UPM-Kymmene will sell its plastic films manufacturer, Walki Films, to Bemis Co. for US $70 million. The acquisition by UPM-Kymmene reportedly will strengthen the global business operations of its subsidiary Raflatac. Both transactions are expected to close by year-end and are subject to approvals by competition authorities.
Economic News
CMM Survey Finds Optimism in Industry
NEW YORK, NY, USA—The results of a recent survey conducted by CMM Events indicate converting machinery and materials suppliers worldwide believe their sector of the economy will improve an average of 13% in 2003.
During the survey, conducted in August, CMM asked converting machinery and materials suppliers that exhibit at CMM Intl. a series of questions regarding the overall converting economy and their company's business outlook. Among the findings: 81% of respondents believe the converting economy will improve by an average of 11% during the next six months; 94% expect a 13% improvement overall through the end of 2003, with 84% predicting the upswing will begin in the second quarter; less than 29% were pessimistic. Optimism was also found regarding future sales improvement and, to a lesser extent, hiring plans.
“These results are very encouraging,” says CMM Events VP Leo Nadolske. “I think it is a combination of guarded optimism and the fact that things have been so tough in the converting industry that even a significant improvement in the economy will just start to get things back to pre-recession levels.”
Despite the optimism, many respondents indicated a continuing concern over economy-related issues, such as cash flow, increasing sales, budgets, and cost control.
For more CMM information contact Jane McDermott at Paperloop Events; 212/268-4160; cmmshow.com.
Purchases
Rayonier Sells to Huaguang Forests
JACKSONVILLE, FL, USA—Rayonier has closed on the previously announced sale of its New Zealand East Coast timberland operations to Huaguang Forests of China. Terms of the transaction include $11 million in initial payments. The balance will be received in interest-bearing monthly payments through Dec. 30, 2002.
Alliances
Novaflex, Robinette to Offer PSI Machinery
CAROL STREAM, IL, USA—Novaflex Inc. and Robinette Machinery, Bristol, TN, have joined to manufacture, install, and service converting equipment formally manufactured by Preferred Systems Inc. (PSI) of Hartford, WI.
Novaflex Inc./PSI equipment, which will be manufactured in Bristol, includes coaters, laminators, in-line coaters/laminators, dryers, unwinds, rewinds, and retrofits. Also manufactured under the Novaflex name will be flexo presses, both CI and stack-type. Sales will be based in Novaflex's suburban Chicago office, with expanded service offered from both locations.
Alliance to Boost Supply-Chain Efficiency
BLOOMINGTON, MN, USA—The Packaging Dept. has formed a strategic alliance with the Packaging Systems Div. of 3M Co., St. Paul, MN. The goal is to improve packaging supply-chain efficiencies worldwide, the company reports.
Targeting product-driven Fortune 1000 companies, the alliance reportedly combines 3M's brand strength, product innovation, and distribution capabilities with the engineering services and information-management expertise of The Packaging Dept.
Facility News
FiberMark Expansion and a Closing
BRATTLEBORO, VT, USA—FiberMark Inc. plans to expand its Lowville, NY, operation and to close its Johnston, RI, site. The company expects this consolidation to generate incremental savings of approximately $5 million, or 40 cents/share.
Both facilities were part of the DSI organization acquired in April 2001. The company expects to add 90,000 sq ft and approximately 85 employees to the Lowville operation. Both sites are converting operations for specialty papers.
