Board Converting News, July 25, 2022

Board Converting News, July 25, 2022

BoardConverting Serving the North American Corrugated and Folding Carton Industries for 38 years July 25, 2022 VOL. 38. NO. 30

Designing Unitizing And Finished Goods Systems BY RICHARD ETRA

Mill Rock Packaging Acquires Impressions Incorporated New York City based Mill Rock Capital, a pri- vate investment firm, announced that its port- folio company Mill Rock Packaging Partners LLC has acquired Impressions Incorporated, a packaging and printing company specializing in the complete production of custom folding cartons and ancillary products for various end markets. Mill Rock Packaging is a growth-ori- ented specialty packaging company focused on strong design, innovation capabilities. Terms of the transaction were not disclosed. Impressions, is based in St. Paul, Min- nesota, and was founded in 1967 by Mark Jorgensen, Sr. The company’s core offering spans a broad range of high-end, eco-friend- ly, customized folding cartons for consumer staples, pharmaceuticals, health and beauty and other daily-use products. Impressions also offers lithographic printing and a host of value-added services, including product en- gineering, prototyping and post-print produc- tion. The company operates production facili- ties in St. Paul and Hutchinson, Minnesota. Impressions will operate as a sister compa- ny to Mill Rock Packaging’s other operations and become the leading edge to its nation-

As material is produced by converting equipment, it needs to be strapped and either loaded onto trucks or placed in storage. Convert- ing equipment, even in plants whose WIP and sheet handling are not conveyorized, almost always discharge onto main line conveyors that convey the material to the unitizers (strappers), which then discharge onto fork pickups or automated handling systems.

When designing main line conveyors, consider the number and size of units that can be produced by the converting equipment. Obviously, the conveyors and right-angle transfer devices must be wide enough to handle the largest items that can be produced. However, how many lineal feet of conveyor are required to handle all converting machines operating at the same time? That depends upon many factors: the pro- duction rate of each machine, how many units per hour the unitizers can handle, how fast the units can be removed from the unitizer dis- charge, and bottlenecks resulting from the cycle time of conveyor com- ponents such as right-angle transfers. If you don’t have enough floor space for very long finished goods conveyors, can you install parallel conveyors? Still not enough space? How about double decked conveyors, though that is expensive? Machine Production Rates Theoretically, all machines can be operating simultaneously at their maximum design speeds. In practice, however, actual run speeds are CONTINUED ON PAGE 24

CONTINUED ON PAGE 5

WHAT’S INSIDE 8 NAM: Manufacturing Shrinks Again In Both May And June 14 GPI To Unveil New Innovation, Packaging Machinery System 18 Why Non-Recruiters Are Often The Best Recruiters You Have 42 PMMI: The Role Of Robots Grow At CPG Companies

2 July 25, 2022

INNOVATOR of the YEAR

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.

Tools and tooling – Education or employee incentive programs – Employee retention programs – Efficiency, productivity and safety innovations , and more. Share your innovative ideas! Boxmakers! Entry deadline - Friday, August 19, 2022 Open to all AICC Boxmaker members It’s easy to enter!

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

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

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.

Visit aiccbox.org/invboxmaker or scan this code for details!

42# Kraft Liner 26#

Semi-Chem Medium

East West

$970.00

$960.00 $995.00

$1,015.00

T HE I NDEPENDENT P ACKAGING A SSOCIATION

3

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July 25, 2022

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4 July 25, 2022

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Mill Rock Acquires (CONT’D FROM PAGE 1)

al expansion strategy. The combined platform comprises five converting facilities offering high-design paperboard packaging to an attractive range of daily needs-driven consumer markets, supported by a comprehensive suite of value-added services. In connection with the transac- tion, Impressions’ leadership made a significant invest- ment in Mill Rock Packaging. “Joining forces with Impressions is an exciting develop- ment for the clients, suppliers and associates of both or- ganizations,” said Mill Rock Packaging Vice Chairman and Mill Rock Capital Senior Partner Bob Feeser. “The trans- action marks our entry into the important Midwest market and will enable us to expand our product and value-added service offerings across the combined footprint.” “Mill Rock is the ideal partner to sustain Impressions’ longstanding commitment to quality, innovation and re- liability,” said Impressions CEO Mike Jorgensen. “Our shared vision for growth will benefit greatly from the ad- ditional resources and capability of the broader platform.” South Texas Box Maker Upgrades Abilities With Kolbus AutoBox Line Kolbus America announced that a South Texas based manufacturer has invested in Kolbus AutoBox equipment to expand its in-house product packaging capabilities. The specialized manufacturer, who is globally known for its women’s beauty products, recently installed a multi-faceted Autobox equipment line, including the ro- bust AB300 on-demand box making machine. The Au- toBox AB300 is equipped with the MultiCut MC300 and the FP300 flexographic printing module, as well as the ProGluer straightline gluer and RSC314 rotary slitting and creasing machine. Additional modules on the AB300 will providing additional flexibility. The AutoBox AB300 on-demand box maker is suited for short- to medium-sized runs of virtually all sizes and flutes for different packaging needs, including RSC styles, partitions, trays and more. The machine uses 75 percent less energy than conventional converting equipment and allows converters to produce custom flexo-printed pack- aging. The machine is quick to set within a few minutes and is easily operated, with no training required, with the interactive touchscreen interface. The Flexo Print FP300 unit can be programmed to place print on to different box panels, and is easily adjust- able across the width of a box, permitting high quality text, graphics and handling instructions. “This customer achieves superior quality control of their fine products, including the product packaging because it is all done in-house,” said Kelly Adams, Kolbus America Sales Manager. “The AutoBox AB300 line will provide the same control of product, with added flexibility and consid- erable cost savings.”

5

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July 25, 2022

2022 Innovator Of The Year Award Competition Is Open

Box Shipments ( U.S. Corrugated Product Shipments) Industry Shipments In Billions of Square Feet Month March 2022

AICC, The Independent Packaging Association, and Board Converting News are accepting submissions for the 2022 Innovator of the Year Competition. This year’s category is open to AICC General Members (box makers) to showcase innovations developed since September 2017. The Innovator of the Year Competition is a video based competition. Winners will be selected by member vote at the AICC/TAPPI 2022 Corrugated Week Conference in San Antonio, Texas, during the general session on Tues- day, September 20, 2022. The winners will be announced on Wednesday, September 21, 2022, during the general session. The Innovator of the Year Competition provides an outlet for AICC’s boxmaker members to showcase their innovations that increase plant productivity, improve plant efficiency, enhance the workforce’s skill, safety and/or well-being or serves as the solution to a specific produc- tion or management problem. Previous winners include: Bay Cities in 2017, President Container Group in 2013, and Jellco Container Inc. in 2009. Competition entry brochure and entry form is available at www.AICCbox.org/innovator . Questions can be direct- ed to Cindy Huber, AICC Director of Conventions & Meet- ings, at [email protected] or (703) 836-2422.

Year

Actual

Percent Change Avg Week Percent Change

2022 2021

37.675 37.992

-0.8

8.190 8.259

-0.8

Industry Total

Year-to Date

March 2022

Year

Actual

Percent Change Avg Week Percent Change

2022 2021

102.648 102.938

-0.3

8.019 8.170

-1.8

Industry Total

Containerboard Consumption (Thousands of Tons)

Year

Month

Percent Change Year-to-Date Percent Change

2022 2021

3.1027 3.0967

0.2

8.4866 8.4625

0.3

Container Board Inventory - Corrugator Plants (Thousands of Tons)

Corrugator Plants Only

Date

Percent Change Weeks of Supply

Percent Change

Mar. Feb.

2.2693 2.3081

-1.7

3.4 3.5

-2.9

Shipping Days

Year

Month

Year-to-Date

2022 2021

23 23

64 63

SOURCE: Fibre Box Association

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July 25, 2022

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NAM: Manufacturing Shrinks Again In Both May And June

Manufacturing production contracted for the second straight month, declining 0.5 percent in both May and June, according to Chad Moutray, Ph.D. and Chief Econ- omist at the National Institute of Manufacturers (NAM). As such, the solid gains in output seen in the spring have waned, with growth stalling in the summer. Manufacturers continue to be challenged by supply chain bottlenecks, workforce shortages and soaring production costs. With that said, manufacturing activity has proven to be quite resilient over the course of the past year, and while manufacturing production has pulled back for two con- secutive months, it has risen 3.6 percent over the past 12 months. In addition, manufacturing capacity utilization has slipped from 80.3 percent in April, the highest since April 2007, to 79.8 percent in May to 79.3 percent in June, but it remains elevated. Manufacturing activity expanded for just the third time this year in the Empire State survey. Input prices decel- erated, remaining elevated but at the slowest pace since February 2021. Yet, manufacturers in the region felt pessi- mistic in their outlook for the next six months, with the for- ward-looking composite index notching the first negative reading since February 2009. CONTINUED ON PAGE 10

Brand Owners, Converters & Decision-makers Read BCN

Share the story of your company’s success with an ARTICLE in Board Converting News. The corrugated and folding carton industries are waiting!

Don’t keep it a secret! Articles generate leads, too!

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

8 July 25, 2022

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NAM: Manufacturing (CONT’D FROM PAGE 8)

ticularly as higher prices dampen their purchasing power and overall household finances. Consumer prices soared 1.3 percent in June, the fastest monthly increase since September 2005. Growth in food and energy costs remained very solid, up 1.0 percent and 7.5 percent in June, respectively, with gasoline prices up 11.2 percent. Excluding food and energy, core consumer prices rose 0.7 percent in June. The Consumer Price Index has risen 9.1 percent over the past 12 months, the fastest year-over-year pace since November 1981. At the same time, core inflation (which ex- cludes food and energy) increased 5.9 percent year-over- year in June. The current forecast is for year-over-year growth in the CPI to be 6.4 percent at year’s end, with core inflation at 5.2 percent. Producer prices for final demand goods and services rose 1.1 percent in June. At the same time, producer prices for final demand goods increased 2.4 percent in June, the

Meanwhile, retail sales increased 1.0 percent in June. Gasoline station spending rose 3.6 percent, pushed high- er by increased prices, with 49.1 percent growth over the past 12 months. Excluding gasoline station sales, retail spending increased 0.7 percent. The >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 Page 45 Page 46 Page 47 Page 48

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