Board Converting News, February 14, 2022

Board Converting News, February 14, 2022

BoardConverting Serving the North American Corrugated and Folding Carton Industries for 38 years February 14, 2022 VOL. 38, NO. 7

Expert To Make Sense of Crypto, Blockchain At AICC Xperience BY GREG KISHBAUGH As technologies advance, new concepts and terminology seeming- ly materialize every day. There are very few people today who have not heard of cryptocurrency and, relatedly, blockchain technology and NFTs, but having a full and working understanding of these incredible advancements can still elude the savviest businesspeople.

McKinley Packaging Expands With New Plant In Texas McKinley Packaging, a sustainably operated paper and packaging company, announced the addition of its seventh packaging plant. The 500,000-square-foot rail-served building in Lancaster, Texas, will create 100 jobs when running at full capacity across three shifts. “We started looking at properties back in July 2020 and decided, as a company, that Lancaster is a market we want to grow in,” said Anthony Garcia, Vice President of Oper- ations at McKinley Packaging. The Lancaster expansion marks anoth- er milestone for the Bio Pappel subsidiary. Known as the largest manufacturer of paper and corrugated materials in Latin America, Bio Pappel launched expansion efforts in the United States seven years ago. Since then, McKinley Packaging has represented the company’s strategic growth success with its now seven plants, two paper mills, and five recycling centers across the United States.. Driven by its emphasis on sustainable operations and recycled materials, McKin- ley Packaging continues to aim for zero-dis- charge water operations upon reaching ca- pacity. This is one example of how McKinley

At the upcoming AICC Packaging Xperience meeting, taking place March 1-3 in Kansas City, Missouri, Adam Peek, Vice President at Mey- ers Printing, will provide an introduction to the concepts of Cryptocur- rency, blockchain technology and NFTs and examine ways in which the packaging industry can benefit from their adoption. Peek, who hosts the People of Packaging podcast and hosts a pack- aging news show, along with a social media presence in which he cre- ates packaging content, had a concentration in supply chain and block chain technology for his MBA. “I’ve been in the packaging industry for 15 years, and my back- ground in these technologies has really driven my interest in exploring ways that packaging companies and brands can partner to leverage emerging technologies like blockchain and crypto,” said Peek. Although these technologies have wide-ranging applications throughout a number of industries and business models, Peek says his presentation will focus specifically on the packaging market. “When I was asked to speak, I thought, ‘What would be interesting CONTINUED ON PAGE 16

CONTINUED ON PAGE 4

WHAT’S INSIDE

6 x x 8 x x 12 x x 26 x x ISM: Manufacturing, Economy Grow Again In January 2022 12 Why Women Are Positioned To Lead (And Succeed) In 2022 2 Bay Cities Expands In-House ISTA-Certified Testing Lab 4 Supplier Reports: Part 2

AVERAGE CONTAINERBOARD PRICES The average prices reported are tabulated from prices PAID by various sources throughout the United States the week previous to issue. Prices in some areas of the country may be higher or lower than the tabulated average. The prices tabulated here are intended only for purposes of reference. They do not connote any commitment to sell any material at the indicated average. Transactions may be completed at any time at a price agreed upon by seller and purchaser.

REGION E. Coast Midwest Southeast Southwest

42# Kraft liner

26# Semi-Chem. Medium

$1005.00-1010.00 $1020.00-1030.00 $1020.00-1030.00 $1020.00-1030.00 $1050.00-1060.00 $1023.00-1032.00

Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del.

$940.00-990.00 $955.00-975.00 $955.00-975.00 $955.00-975.00 $975.00-995.00 $958.00-978.00

West Coast U.S. Average

The Price is Right

SHEET PRICES BY REGION (AVERAGE) Per 1MSF, local delivery included, 50MSF single item order, truckload delivery. Sheets

E. Coast Midwest South-SW S. CA N.CA/WA-OR US Aver.

200# 275#

$62.26

$72.05

$62.69 $82.80

$85.35 119.54

$73.13 101.29

97.32

99.89

90.86

113.65

OYSTER UP-CHARGE 8.34

8.34

8.34

8.34

8.34

8.34

275# DBL-WALL 350# DBL-WALL

107.46 118.45

114.69 129.32

116.54 137.25 117.82 145.56

141.08 148.46

122.76 131.80

More box makers and brokers are relying on the containerboard pricing in Board Converting News to negotiate their contracts with end users.

CANADIAN SHEET PRICES (AVERAGE) In Canadian Dollars, per 1MSF, local delivery included, under 50MSF single item order, truckload delivery. 200# 275# Oyster UC 275#DW 350#DW $78.56 $99.18 $9.00 $96.32 $105.83 CANADIAN LINERBOARD & MEDIUM The average prices reported are tabulated from prices PAID by various sources throughout Canada. Prices may be higher or lower in various areas of the country. The prices tabulated here are intended only for purposes of reference. They do not connote any commitment to sell any material at the indicated average. Transactions may be completed at any time at a price agreed upon by seller and purchaser. Prices are Canadian $ and per metric ton.

SEE THE CURRENT PRICES IN PRINT OR ONLINE AT WWW.BOARDCONVERTINGNEWS.COM.

Len Prazych at 518-366-9017 [email protected]

42# Kraft Liner 26#

Semi-Chem Medium

East West

$970.00

$960.00 $995.00

$1,015.00

3

February 14, 2022

www.boardconvertingnews.com

McKinley Packaging (CONT’D FROM PAGE 1 )

Core Competency

Packaging continues the “green” legacy of the company’s history. Visit mckinleypackaging.com for more. McKinley Paper Acquires Midwest Paper Group Evanston, Illinois based Industrial Opportunity Partners (IOP) says it has completed the sale of Midwest Paper Group Holdings Inc. to McKinley Paper Co., a subsidiary of Mexico-based Bio Pappel S.A. de C.V. Midwest Paper is a maker of recycled-content contain- erboard for corrugated packaging and recycled-content kraft bags that operates from a 1.2 million-square-foot pa- per mill located in Combined Locks, Wisconsin. The move represents another growth step for Bio Pappel in the U.S., where it has been adding and acquiring facilities for the past several years via its McKinley Paper business unit. “We’re pleased with what the company accomplished during IOP’s ownership period,” says IOP Operating Princi- pal Dave Mackin, who served as Midwest Paper’s Interim CEO and Chairman of the Board, during IOP’s stakeholder period. “The Midwest Paper team successfully executed IOP’s investment operating plan, which included commer- cial initiatives and operational improvements that turned a once struggling paper mill into a thriving business.”

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February 14, 2022

A Century of Innovation In Every Machine Celebrating 100 Years: 1920-2020

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ISM: Manufacturing, Economy Grow Again In January 2022

adjusted December reading of 61 percent. The Production Index registered 57.8 percent, a decrease of 1.6 percent- age points compared to the seasonally adjusted Decem- ber reading of 59.4 percent. “The Prices Index registered 76.1 percent, up 7.9 per- centage points compared to the December figure of 68.2 percent. The Backlog of Orders Index registered 56.4 percent, 6.4 percentage points lower than the December reading of 62.8 percent. The Employment Index registered 54.5 percent, 0.6 percentage point higher compared to the seasonally adjusted December reading of 53.9 per- cent. The Supplier Deliveries Index registered 64.6 per- cent, down 0.3 percentage point from the December fig- ure of 64.9 percent. The Inventories Index registered 53.2 percent, 1.4 percentage points lower than the seasonally adjusted December reading of 54.6 percent. “The New Export Orders Index registered 53.7 percent, up 0.1 percentage point compared to the December read-

Economic activity in the manufacturing sector grew in Jan- uary, with the overall economy achieving a 20th consecu- tive month of growth, say the nation’s supply executives in the latest Manufacturing ISM Report On Business. The report was issued by Timothy R. Fiore, CPSM, C.P.M., Chair of the Institute for Supply Management (ISM) Manufacturing Business Survey Committee. “The January Manufacturing PMI registered 57.6 per- cent, a decrease of 1.2 percentage points from the sea- sonally adjusted December reading of 58.8 percent. This figure indicates expansion in the overall economy for the 20th month in a row after a contraction in April and May 2020. The New Orders Index registered 57.9 percent, down 3.1 percentage points compared to the seasonally

ing of 53.6 percent. The Imports Index reg- istered 55.1 percent, a 1.3-percentage point increase from the December reading of 53.8 percent. “The U.S. manufacturing sector remains in a demand-driven, supply chain-constrained environment, but January was the third straight month with indications of improve- ments in labor resources and supplier deliv- ery performance. Still, there were shortages of critical intermediate materials, difficulties in transporting products and lack of direct labor on factory floors due to the COVID-19 omicron variant. Quits rate and early retire- ments hinder reliable consumption. Panel sentiment remains strongly optimistic, with seven positive growth comments for every cautious comment, up from December’s ra- tio of 6-to-1. “Demand expanded, with the (1) New Or- ders Index slowing but remaining in strong growth territory, supported by continued ex- pansion of new export orders, (2) Customers’ Inventories Index remaining at a very low level and (3) Backlog of Orders Index slow- ing but settling at more normal growth lev- els. Consumption (measured by the Produc- tion and Employment indexes) grew during the period, though at a slower rate, with a combined negative one-percentage point change to the Manufacturing PMI calculation. “The Employment Index expanded for a fifth straight month, with signs that ability to hire continues to improve, though somewhat offset by continued challenges of turnover (quits and retirements) and resulting back- filling. Limited expansion strength in produc- tion in January, primarily due to absenteeism CONTINUED ON PAGE 8

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February 14, 2022

40 ft of paper travel from preheater to hot plates 3 seconds of heat, glue and bonding 1 chance to get it right! the ZONE

Design & Production

Chicago Electric offers 10 technology solutions to control ‘the Zone’ CORRUGATOR Sectoral preheating plate

Our sectoral preheating plates provide direct heat by means of a double steam circuit, allowing for efficient heating in hard-to-access locations, as well as to act as a steam shower to open the paper’s fibre, making it receptive to absorbing the heat and the glue.

This translates into increased speed and improved quality of the cardboard sheet finish.

The system’s main advantages are as follows:

• The plate may only be used to heat, only to humidify, or both options at the same time. • The plate is sectored, which allows for applying humidity to the sections. • It provides temperature in previously inaccessible locations and near the location needed. • It compensates the loss of temperature dissipated due to distance, speed or limitations of the exiting preheaters. • Quick transferring of heat to the paper. • The combination of the hot plate and steam shower allows for providing heat even to the hardest papers to heat. • Does not dry out the paper. • Possibility of operating as a humidifier and pre-conditioner. • Maintains and improves the fibre’s elasticity. • Acts according to the operator’s needs. • Facilitates the paper’s hygroscopy to absorb the glue and improve rubberising.

CONTROLLABILITY

1. Wrap Arm - Position & Temperature 2. Preheater Direct Drive

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3. Steam Plate 4. Contact Roll 5. Glue Machine Direct Drive Touch Productivity Issue—Glue Unit Many glue units run with a rider roll or a guiding bar system. The rider roll with paper gap allows a precise glue application, but requires frequent Contact Roll

PRODUCTIVITY

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calibrations and settings. Bar systems avoid this, but compensate this with the risk of exces- sive glue application. The system contains many wearing parts. Solution The contact roll combines the ad antage of both systems and ensures minimum contact between board and applicator roll. The system uses small pneumatic cylinders in order to achieve a “soft touch.”

6. Gap Control 7. Curved Plate 8. Roller Shoe Press When it comes to a short-term increas of web tension, spring loaded systems with shoes or airpressure activated system have problems in compensating these. The system is lifted for a short time. This may result in de-lamination and in the ‘double kiss’ effect. Solution For a defined and exact bonding point of the web fiv weight rollers will be installed usually over the first flat hotplate of the heating section. The rolls are mounted into a frame, which is actuated by means of two pneumatic cylinders. P oductivity Issu —Double Kiss Bonding

PRODUCTIVITY

PRODUCTIVITY

DOUBLEBACKER IMPROVEMENT

Roller Shoe

DOUBLEBACKER IMPROVEMENT

9. Thin Wall Hot Plates 10. Pressure System Benefits —Exact glue application due to defined contact of applicator roll to web. Web is in contact to less flute tips compared to bar systems. • High precision glue application • Less moisture applied to web —No wear of shoes and springs —No adjustment of shoes or paper gap —Uniform glue application over entire w orking width for all flutes by use of pneumatic cylinders instead of springs — Less contamination by paper dust and glue remains —No jam of board because of web breaks caused by splice joints going through 630-784-0800 Benefits —Rollers secure exact defined first point of contact of liner and single-faced board - No double kiss —Frame design avoids unintended lifting of roller shoe (compared to spring or air loaded systems) - No double kiss —Pressure can be increased or released for special grades or products 490 Tower Blvd., Carol Stream, IL Contact Chicago Electric to GET IT RIGHT 630-784-0800 [email protected] chicagoelectric.com Solution The ProPress system ensures an optimum heat transfer to the board. It offers a wide range of set- tings. The loadi g pressure can be varied, the number of shoes can be lifted in accordance t the line speed. The outer shoes can be lifted in accordance to the paper width. The shoe bars will be delivered pre-assembled for a short installation time. —Liftable for easy paper infeed and for cleaning of the machine —Position adjustable in paper direction to avoid grooves in hotplate Press Productivity Issue—Poor Heat Transfer Rollers are usually limiting the heat transfer, since they often have contact mainly on the edges of the plates due to wear or bent plates. They also cause often loss of caliper and bearing need to be replaced frequently. Airpressure actuated systems can only supply a limited pressure and have com- pared to shoe systems a closed surface. Pressure Shoe

Plate vity Issue—Poor Heat Control l hotplates are slow to react to pressure due to high steam volume and massive y also have high heat radiation and heat profile. Worn plates can damage crease edge crush.

Thin-Wall Hot Plates

t by peripheral drilled hot plates. anufactured out of special wear and nt steel, through which a continuous is drilled, with one inlet and one outlet. ecured by a massive steel frame.

CORR24usa.com

ance from steam to paper surface results in fast heat flow n higher plate surface temperature

Benefits

ISM: Manufacturing (CONT’D FROM PAGE 6)

Box Shipments ( U.S. Corrugated Product Shipments) Industry Shipments In Billions of Square Feet Month December 2021

rates as a result of omicron, was the biggest reason PMI growth was held back. Inputs — expressed as supplier de- liveries, inventories, and imports — continued to constrain production expansion, but there are clear indications of improved delivery performance. The Supplier Deliveries Index again slowed while the Inventories Index expand- ed, both at a slower rate. In January, the Prices Index in- creased for the 20th consecutive month, at a faster rate (an increase of 7.9 percentage points) compared to De- cember, indicating that supplier pricing power continues to rise. “Manufacturing performed well for the 20th straight month, with demand and consumption registering month- over-month growth. Meeting demand remains a challenge, due to hiring difficulties and labor turnover at all tiers. For the third month in a row, Business Survey Committee pan- elists’ comments suggest month-over-month improvement on hiring, offset by backfilling required to address employ- ee turnover at a higher rate, supplier performance and im- provements in the transportation sector,” says Fiore. Among the 14 manufacturing industries reporting growth in January are: Miscellaneous Manufacturing; Ma- chinery; Electrical Equipment, Appliances & Components; Food, Beverage & Tobacco Products; Computer & Elec- tronic Products. The only industry reporting a decrease in January compared to December is Paper Products.

Year

Actual

Percent Change Avg Week Percent Change

2021 2020

34.195 34.916

-2.1

8.549 8.729

-2.1

Industry Total

Year-to Date

December 2021

Year

Actual

Percent Change Avg Week Percent Change

2021 2020

416.338 406.776

2.4

8.294 8.071

2.8

Industry Total

Containerboard Consumption (Thousands of Tons)

Year

Month

Percent Change Year-to-Date Percent Change

2021 2020

2.7372 2.7727

-1.3

33.8477 33.0739

2.3

Container Board Inventory - Corrugator Plants (Thousands of Tons)

Corrugator Plants Only

Date

Percent Change Weeks of Supply

Percent Change

Dec. Nov.

2.256 2.203

2.4

3.3 3.3

0

Shipping Days

Year

Month

Year-to-Date

2021 2020

20 20

251 252

SOURCE: Fibre Box Association

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February 14, 2022

Kolbus America Names Grestini Production Supervisor In Kalamazoo Cleveland, Ohio based Kolbus America has announced the appointment of Kyle Grestini as Production Supervi- sor and Planner for the company’s production facility in Kalamazoo, Michigan. Grestini started in his new role on Monday, January 24th and reports to Dave Williamson, Di- rector of Operations for Kolbus America. “We’re pleased to bring Kyle onboard as he brings years of experience working in manufacturing, ISO quali- ty standards and program management which will benefit Kolbus and our customers,” said Williamson Kolbus America manufactures spare parts and Hycorr equipment at its facility in Kalamazoo. Thousands of parts are stocked at this location and ready to ship the same day. Kolbus America offer the American-made, Kolbus Hy- corr product line to North American customers. Grestini’s role will help to optimize plant productivity and guarantee precision manufacturing throughout the process. Kolbus is a leading manufacturer of casemaking ma- chines and new solutions for the production of retail and die-cut packaging from corrugated board. The company develops and engineers future-oriented systems capable of delivering creative and sustainable products. Its inno- vative machine concepts feature outstanding ergonomics and minimal set-up times. Visit kolbusamerica.com .

Amtech Opens Registration For 2022 User Conference

Fort Washington, Pennsylvania based Amtech Software has announced that registration is now open for the Am- tech 2022 User Conference, scheduled for October 23rd- 26th in Orlando, Florida. “2020 and 2021 have been pivotal years for our cus- tomers and many have had new staff members join their teams,” said Tracy Rowland, VP of Business Development at Amtech Software. “This User Conference has been de- signed to offer intensive training to our attendees so they can return as ‘Super Users’ within the Amtech System in their respective area of responsibility.” “We will be delivering over 80 training sessions, sched- uled over the course three full days and organized by job/ functional tracks in areas such as: Customer Service, Ac- counting, Production, IT, Scheduling, Reporting, and more. This is an excellent opportunity for our customers to gain the knowledge they need and network with peers at the same time. Not to mention the beautiful location and eve- ning at Epcot!” Amtech’s products are used by more than 60,000 peo- ple in more than 700 plants across North America, Latin America and Europe. Contact Tracy at trowland@amtech- software.com for more information about the event and how to register your team.

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February 14, 2022

Why Women Are Positioned To Lead (And Succeed) In 2022

For decades, women have steadily made impressive strides in the political and corporate arenas. Still, there’s a lot of ground to cover before we’re equally represented, especially in the upper echelons of the business

world. But Deb Boelkes says the changes that have occurred in the last two years have women leaders positioned to leap ahead.

Packaging ERP Algorithmic Scheduling Web-Based Access Online Customer Portals

“The workplace is rapidly changing and evolv- ing in ways no one could have predicted just two years ago,” says Boelkes, author of the new book, “Women on Top: What’s Keeping You From Execu- tive Leadership?” “This is a pivotal time for women. The changes we’ve seen in the workplace call for the skill sets that many women naturally possess. We just need to step up and seize the challenge.” Employees everywhere are struggling with stress, anxiety, and outright trauma due to the pandemic. If they’re working remotely, it’s harder for them to connect with coworkers and leaders. And the nature of business itself gets more complex by the day. Supply chain issues, worker shortag- es, new customer behaviors—it all adds up to a brave new business world that women’s natural skills and abilities are perfectly suited to navigate. “Today’s and tomorrow’s leaders need to break mental health stigmas in the workplace and create an environment of psychological safety,” says Boelkes. “Many will be asked to transform a group of scattered remote workers into a connected team. They’ll all be balancing multiple shifting deadlines, responsibilities, and challenges.” The bottom line: Women tend to do all of these things well. We have the communication skills, emotional intelligence, flexibility, and agility to meet these challenges and step into more prominent roles inside orga- nizations. (No, Boelkes isn’t implying that women are better leaders, but that men and women tend to have different innate skill sets. In fact, she says organizations that blend the special gifts of female and male leaders possess a real “wow!” factor.) Here, Boelkes shares ten reasons why women are uniquely poised to lead and succeed in 2022 and beyond: 1. Women are stellar collaborators. The problems we face in the busi- ness world are more complex than they’ve ever been before. This means we need more perspectives at the table to solve them. Rather than com- peting with others, women are more inclined to join forces with them, which makes us perfectly suited for leading teams. 2. Women know how to share the screen. In 2020, those of us who weren’t already familiar with video conferences, Zoom meetings, virtu- al presentations, and collaborative software got a quick-and-dirty crash course. Boelkes points out that while anyone can use these resources, not everyone can use them effectively—but women’s natural skills give them an edge. “Leaders in the virtual workspace need to be comfortable putting forth ideas and information to the group, while sharing that space with others,” she notes. “Women are great at this. We have a sense of give- and-take and reciprocity that draws people out and encourages others to speak up. We’re good at reading non-verbal cues.” 3. Our natural communication skills serve companies well in hard times. Especially in a disruption or crisis, leaders need to be highly visible: shar- ing information, reassuring, showing empathy and compassion, and re- CONTINUED ON PAGE 14 Deb Boelkes

Paperless Workflows Mobile Sales Systems Digital Signage Production Monitoring Mobile Logistics Management Analytics & Reporting Cloud Hosting IT Management Services Cyber Security Management

700+ Plants 60,000 Users North America Latin America Europe

  

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February 14, 2022

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Women To Lead (CONT’D FROM PAGE 12)

We understand the power of giving, whether that means giving of our time, energy, and emotional bandwidth to help someone solve a problem; serving as a mentor; or just finding ways to lift people up. All of these are valuable gifts—especially in tough times like right now when so many people are struggling with personal issues, as well as their mental and emotional health. When employees feel cared about and invested in by leaders, a company’s retention, morale, and productivity all improve. 8. Women aren’t crippled by criticism. There’s a per- nicious stereotype that women are “soft” and “sensitive.” But in reality, women are used to living with—and succeed- ing in spite of—negative feedback. Explicitly and implicitly, we are all bombarded with critiques about our careers, ap- pearance, parenting, tone of voice, priorities, and so much more. 9. We find strength in flexibility. The pandemic was bru- tally effective at teaching leaders the value of being able to rethink, regroup, and adapt at a moment’s notice. Many learned to their detriment that a rigid “my way or the high- way” approach is no longer a sign of strength, but a rapid route to failure in this era of disruptive change. “Adaptability, resilience, flexibility, and agility—all fe- male strengths—are more sought after than ever,” says Boelkes. “Women know how to navigate unexpected roadblocks while still keeping the team on board and the destination in mind—or changing it when necessary.”

inforcing a sense of camaraderie. A communication void causes anxiety. Women can leverage our gift for commu- nication and listening to keep people calm and focused. 4. Women are empathetic connectors. Thanks to the pandemic, not to mention all of the social unrest, political division, and economic uncertainty of the past two years, our society has been through a collective trauma. Many employees are feeling unmoored and uncertain, and oth- ers are struggling with mental health issues. Leaders need to be aware of how each team member is feeling and re- spond with caring and empathy, while still driving prog- ress. Companies’ productivity depends on it. 5. Women are not afraid to ask for help. Women un- derstand that addressing any deficits by asking for help is often the most efficient way to move forward, not a sign of weakness or failure. When you welcome constructive crit- icism and seek out others’ expertise, potential problems are identified earlier and the best solutions rise to the top. 6. Or to offer it. Women don’t tend to view knowledge and expertise with a scarcity mindset; they know that re- sources are most valuable when shared. And they’re just as likely to give help as they are to ask for it. Whether in a formal mentoring role, leading a team, teaching a seminar, or offering a word of advice to a new hire, women don’t hesitate to lift others up. 7. We’re givers. Women are natural givers and nurturers.

CONTINUED ON PAGE 41

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February 14, 2022

Crypto, Blockchain (CONT’D FROM PAGE 1 )

that was a cross section of emerging technology in a world that is a bit more traditional?’” said Peek. Blockchain Explained A blockchain is a distributed >Page 1 Page 2 Page 3 Page 4 Page 5 Page 6 Page 7 Page 8 Page 9 Page 10 Page 11 Page 12 Page 13 Page 14 Page 15 Page 16 Page 17 Page 18 Page 19 Page 20 Page 21 Page 22 Page 23 Page 24 Page 25 Page 26 Page 27 Page 28 Page 29 Page 30 Page 31 Page 32 Page 33 Page 34 Page 35 Page 36 Page 37 Page 38 Page 39 Page 40 Page 41 Page 42 Page 43 Page 44

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