Packaging Managemenet Update 01-28-08



January 28, 2008 -

Ben Miyares' Packaging Management Update®

Ben Miyares' Packaging Management Update®

A weekly summary of packaging business and technology developments

PET ‘canister’ wins top honors for FUZE energy drink

Resealable, red “valve” overcapped, 22-ounce blue polyethylene terephthalate (PET) bottle for NOS energy drink wins Best Packaging Innovation Award.

Coca-Cola’s FUZE Beverage, Englewood Cliffs, NJ, garners recognition for its Nitrous Oxide (NOS) canister packaging in 2007 competition sponsored by BevNET.com, Inc., Cambridge, MA.

BevNET’s Best Packaging Innovation Award recognizes groundbreaking design, how package relates to brand depicted. “The authentic package design of NOS 22-ounce PET was inspired by the actual nitrous oxide canister, developed by Holley Performance Products, Inc. [Bowling Green, KY], which prompted the design and use of ‘valve’ overcaps,” says Bill Meissner, cmo, FUZE Beverages.

Instantly recognizable packaging, association with Holley’s Nitrous Oxide canisters for automotive applications, vaults NOS to seventh place in energy drink category, helps spur 190% growth rate in 2007. “The 22-ounce package is the best selling stock keeping unit [larger than] 16 ounces in the Coca-Cola system, in the energy drink category,” reports Michael Fine, energy drink brand director at FUZE.

Available in 16-ounce cans, 22-, 11-ounce PET bottles, NOS Energy Drinks sells in convenience stores, grocery stores, automotive speed shops nationwide. Follow-up: Link: www.BevNET.com.

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Tetra Pak works to expand beverage carton recycling

More than 2 million US households gain access to beverage carton recycling in 2007. Work by Tetra Pak, Vernon Hills, IL, with regional recycling coordinators, organizations establishes new programs for 1 million households, expands existing programs for 1 million more. During 2007 more than 40 cities add aseptic/gabletop carton recycling including Chicago, IL; Detroit, MI; Raleigh, NC. With newcomers, 20 million households in 23 states now possess easy access to beverage carton recycling, 10% more than 2006. Effort helps boost carton recycling levels 50% since 2003. Manufacturer of liquid filling equipment, cartons, continues campaign in 2008 to help more communities recycle milk cartons, juice boxes, other cartons. “Our goal is to have another 2 million households come on board in 2008,” says Michele Wagner, environmental manager for Tetra Pak. For consumers located in places without carton recycling programs, Tidewater Fibers, Chester, VA, accepts flattened, dry cartons for recycling. For proper routing, label boxes “Milk Cartons & Drink Boxes,” ship to 12200 Old Stage Rd.; Chester, VA 23836. Follow-up: Giovanna Prestes Lemos, +1 847-955-6281, giovanna.prestes@tetrapak.com; Link: www.TetraPakUSA.com.

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Alcoa pushes for higher recycling rate for used beverage cans

Alcoa, Pittsburgh, PA, wants to increase North American used beverage can (UBC) recycling rate from 52% to 75% by 2015. About 800,000 metric tons were recycled in 2006 out of 1.5 million metric tons produced.

Alcoa seeks to reverse declining recycling rate, which has dropped steadily from high of 68% in 1992, ranks far below 95% rate in Brazil, 92% in Japan. To increase recycling, Greg Wittbecker, director, Corporate Metal Recycling Strategy at Alcoa, advocates making recycling, collection more convenient, improvements in coated scrap processing, alignment of commercial objectives with recycling, formation of alliances across industry.

Recycled aluminum, reports Alcoa, requires 95% less energy to produce, recycles repeatedly without loss of properties. According to company, if 75% of unrecycled UBCs were recycled, approximately 600,000 metric tons of aluminum would be reused, eliminating 11.8 million metric tons of carbon dioxide emissions, saving 1,286 megawatts of electricity, the equivalent of two average coal-fired power plants running at maximum efficiency 24 hours/day, seven days/week. “[The aluminum industry] must approach this with a sense of urgency,” Wittbecker advises aluminum industry leaders during presentation at Platt’s Aluminum Symposium. “It’s all about recapturing this pool of energy before it is lost to the landfill. Aluminum recycling is part of the clean air solution,” he concludes. Follow-up: Link: www.alcoa.com.

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Online, searchable product specs help users source packaging

Advent of websites devoted to specific industry or packaging format permits product/packaging developers, purchasing agents to narrow choices online. New Medical Technical Center launched by Eastman Chemical Co., Kingsport, TN, helps designers, original equipment manufacturers, processors select, successfully run appropriate Eastman polymer for flexible or rigid packaging as well as noninvasive medical device inside.

Website at www.eastman.com/Medical provides fitness-for-use information, including clarity, toughness, chemical resistance, color stability, compatibility with operations like joining, sterilization, thermoforming. Site’s material maps compare Eastman polymers to other clear polymers used in medical market. “Now the market can easily access Eastman medical-grade polymer attributes and comparisons, and can also take advantage of our extensive product and processing knowledge to achieve optimal results,” says Glenda Eilo, global industry leader at Eastman.

At Graham Packaging Co., LP, York, PA, end users search online database of stock containers for food, beverage, personal-care, household, chemical, automotive products, save downloaded information, drawings for future reference. Site enables searches by multiple criteria including capacity, units of measure, material, shape, description, neck finish. Each search produces specifications, detailed view of container, printable PDF, plus follow-up links.

“There are many size and design options even with stock containers,” says Ken Goldberg, manager of market development for Graham’s Personal Care and Specialty Business Unit. “In addition, stock items can be customized during molding in terms of color, texture and gradation. We also offer world-class decoration services such as multi-pass silk screening, pressure-sensitive label application and hot stamping. The online database opens the door to a highly productive range of choices.” Follow-up: At Eastman: Link: www.eastman.com/medical; at Graham, Ken Goldberg, +1 717-505-6431, ken.goldberg@grahampackaging.com; Link: www.grahamcatalog.com.

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Digital can decorating cuts turnaround, enables short runs

New dPrint service from Impress Group BV, Deventer, The Netherlands, delivers short runs of fully decorated metal cans. Digital printing system, installed at company’s facility in Leeuwarden, The Netherlands, also enables quick turnaround, makes it possible to fill orders on demand. “The process time from artwork to the final printed product can be reduced to a few hours,” reports Woep Möller, managing director, Impress Specialities Division, adding, “This will enable us to bring really short lead times for small lot sizes, which will perfectly fit our customers’ requirements for speed and personalization.” Suitable for cosmetic, aerosol, paint cans, dPrint service meets needs for personalized print; niche brands or products; promotions; test markets; new product launches; seasonal products. Follow-up: Ewoud Vriens, +31 6 51 55 88 75; Link: www.impressgroup.com.

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Prepress techniques sharpen can graphics

High Quality Print process from Crown Holdings, Inc., Philadelphia, PA, reproduces finely detailed, attention-grabbing bevcan graphics in up to eight colors. Combination of proprietary separation techniques, high-resolution lithographic printing plates result in improved dot spacing, superior reproduction of delicate type fonts, complex images like faces. “The use of fine detailed images on packaging is becoming an increasingly popular phenomenon across Europe and North America as marketers look to help differentiate their products from the competition,” says Caroline Archer-Reed, marketing director for Crown Bevcan Europe + Middle East. “Cans have long offered superior benefits in terms of strength, chillability and convenience but with the advent of innovative printing techniques like High Quality Print, they increasingly offer marketers the perfect natural billboard for conveying brand messages, both on shelf and in consumers’ hands.” Follow-up: Tom Hughes, marketing manager, +1 215-698-5298, thomas.hughes@crowncork.com; Caroline Archer-Reed, +33 1 49 18 40 43, caroline.archer-reed@eur.crowncork.com; Link: www.crowncork.com.

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Hormel report updates environmental commitments

Corporate Responsibility Report for 2007 builds on prior year’s efforts, establishes future sustainability goals for Hormel Foods Corp., Austin, MN. Report highlights company’s efforts in environmental stewardship, food safety/quality, employee training, community investment, corporate citizenship, animal husbandry. Hormel establishes benchmarks for each of 41 facilities, pledges to increase recycling of total waste produced from 33% in fiscal 2006 to 40% by November 2008, 50% by November 2011. Latest report, includes data from parent company, subsidiaries, spotlights Hormel’s increased commitment to fight hunger in US, describes donation of 1.18 million pounds of product to food banks, sponsorship of survey to study Americans’ perceptions of hunger. “The process of compiling information for this report has taught us a great deal, and we will continue to find ways to strengthen our commitment to our employees, customers, investors, the environment and animal welfare,” says Jeffrey M. Ettinger, chairman/president/ceo. Follow-up: Link: www.hormelfoods.com.

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Cashew recall warns consumers with nut allergies

Harry and David, Medford, OR, recalls approximately 2,130 4-ounce paperboard boxes of Giant Cashews. Company initiates recall because metallized primary pouch inside carton may contain mixed nuts, including almonds, pecans, Brazil nuts due to commingling of packaging during product changeover. Affected olive green/pale green boxes involve lot codes 2507 MSL 15:00 through 2507 MSL 18:00, use-by date 6/28/08 ink-jetted on bottom of box, also include price sticker on lower portion of back panel or bottom of box, which says, “Nuts Mixed Nuts Box 4oz.” People with allergy or severe sensitivity to peanuts, almonds, pecans, Brazil nuts run risk of serious, life-threatening allergic reaction if product is consumed. However, no illnesses have been reported. Follow-up: Link: www.fda.gov/oc/po/firmrecalls/photos/harrydavid01_08.html.

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TTIs tell consumers when it’s replacement time

Timestrip time-temperature indicator (TTI) labels from Timestrip PLC, Hitchin, UK, tell consumers when its time to change appliance filters. Users include United Pet Group Inc., Cincinnati, OH, for Tetra aquarium filter cartridges sold in North America; Hamilton Beach Brands, Inc., Washington, NC, for Febreze™ activated carbon filters for TrueAir® Odor Eliminators; plus European operations of Whirlpool Corp., Benton Harbor, MI. “Many household items require maintenance, yet are often forgotten and are not replaced in the recommended time frame,” says Reuben Isbitsky, joint ceo of Timestrip. “…Timestrip smart labels act as a helpful reminder for customers to repeat product purchase, which can create high volume sales as consumers strive to better protect the quality of water they drink and the air they breathe.” In addition, DHL, Bonn, Germany, reports positive test results for Timestrip’s iStrip label, which changes color when exposed to freezing, to protect temperature-sensitive products such as vaccines. Trial underway at Premier Foods, St. Albans, UK, studies use of Timestrip smart labels on Branston Original pickles sold throughout British Isles. Consumers remove label from hang tag, activate it when they open jar so they know how long it has been in refrigerator. Follow-up: Marketing Department, +44 8450 944 123, info@timestrip.com; Link: www.timestrip.com.

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Sterilant for low-acid aseptic packaging competes with peroxide

Clarity peracetic acid-based sterilant from FMC Corp., Philadelphia, PA, sterilizes packaging for low-acid aseptic products. Single-component sterilant works at lower temperatures, concentrations than hydrogen peroxide. As result, it’s compatible with high-density polyethylene, foil packaging, as well as less heat-tolerant, more shrink-prone polyethylene terephthalate containers. March 2007 Letter of No Objection from US Food and Drug Administration, Washington, DC, clears Clarity sterilant for use at Kan-Pak LLC, Arkansas City, KS, an aseptic filler of low-acid beverages, desserts. Update on its use for low-acid aseptic packaging occurs at Nova-Pack 2008 conference, organized by Schotland Business Research, Inc., Skillman, NJ, 11-13 February 2008 at Ginn Reunion Resort, Orlando, FL. Follow-up: Wayne Fontaine, business development manager – Microbial Control, +1 215-299-6229; Link: www.fmc.com; at Schotland, Link: www.schotland.com.

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Irradiation enhances properties of antimicrobial film

Treatment with irradiation controls release of active compounds incorporated into polyamide-coated low-density polyethylene. Testing with trans-cinnamaldehyde, a cinnamon-derived component with fungicidal properties, opens door to development of antimicrobial packaging systems.

Temperature, product pH also influence release of trans-cinnamaldehyde, according to J Han, ME Castell-Perez, RG Moreira in paper entitled “Effect of Food Characteristics, Storage Conditions, and Electron Beam Irradiation on Active Agent Release from Polyamide-Coated LDPE Films,” published online on 18 January 2008 in Journal of Food Science, Chicago, IL. Follow-up: Link:
www.blackwell-synergy.com/doi/abs/10.1111/j.1750-3841.2007.00616.x.

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Misprinted instructions cause recall

L’Oreal Paris division of L’Oreal USA, New York, NY, recalls L’Oreal Paris Dream Blonde Bleach and Lightening care kit due to misprinted directions. Recall involves several hundred Baby’s Breath Blonde #100 Ultra Lightening units sold in US retail outlets 1-18 January 2008. Customer complaint about product causing irritation prompts action. Affected consumers receive full refund for returned product.

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Börjesson plans to hand over reins at Rexam

Rexam PLC, London, UK, prepares for change at top. Peter Ellwood, 64, succeeds Rolf Börjesson as chairman, upon his retirement on 1 May 2008. Ellwood’s background includes stints as chairman of ICI, London, UK; group chief executive at Lloyds TSB Group PLC, London, UK.

During Börjesson’s 12-year tenure, initially as ceo, last four years as chairman, Rexam grows to become world’s largest producer of bevcans, major supplier of plastic packaging, particularly for pharmaceuticals. Growth occurs via major acquisitions such as August 2007 purchase of O-I Plastics from Owens-Illinois, Inc., Perrysburg, OH, as well as increased volume. “Although these last three years have been challenging in the face of dramatic increases in input costs and a weak dollar, we have worked hard to compensate for these and to prepare the company for the future through acquisitions in higher growth, higher margin businesses and further investment in organic growth opportunities,” says Börjesson.

“Rolf is the architect of the modern Rexam,” notes Leslie Van de Walle, Rexam ceo. “His vision and determination helped create Rexam to become what it is today - a leading global player in consumer packaging.”

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Bosch inaugurates packaging machinery plant in India

New 2,600-square-metre facility builds packaging, processing equipment for biscuits, candy, food products, pharmaceuticals in vials, ampoules, syringes. Facility in Goa, India, provides Bosch Packaging Technology, Waiblingen, Germany, strong base to serve leading pharmaceutical, confectionery, food processing customers in region where more than 400 Bosch machines are installed.

Plant in Verna Industrial Estate employs 80 people, has capacity of 120 machines/year, expects to double output during next three years. Follow-up: Bosch Packaging Services, Inc., +1 919-877-0886, north-america-hub@boschpackagingservices.com; Link: www.boschpackaging.com.

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Canned green bean recall expands to other products, brands

New Era Canning Co., New Era, MI, expands December 2007 canned cut green bean recall to essentially all low-acid products processed by plant since 2003. Investigation by US Food and Drug Administration (FDA), Bethesda, MD; Michigan Department of Agriculture, Lansing, MI; finds C. botulinum contamination in several lots of canned green beans, one lot of garbanzo beans, serious food safety violations at plant including inadequate retort processing. As result, expanded recall includes cut green beans, Mexican-style chili beans, dark red kidney beans, garbanzo beans distributed under 26 brand names to retailers, restaurants, schools, prisons, foodservice institutions in institutional size cans weighing approximately 6.5 pounds, carrying variety of codes or no codes. List at www.fda.gov/oc/opacom/hottopics/newera.html details affected products. As part of ongoing investigation, FDA prohibits company from manufacturing, shipping low-acid canned food products across state lines until it can prove products are safe. Meanwhile, Michigan Department of Agriculture embargoes New Era’s entire inventory of low-acid canned products in company’s warehouses in Michigan to prevent distribution. To date, no cases of botulism have been linked to product.

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Changeover: Ball… NutriPure… Portola… PTI… NanoInk…

At Ball Corp., Broomfield, CO, board elects John A. Hayes evp/coo; John R. Friedery, president, Metal Beverage Packaging, Americas, Asia; Michael D. Herdman, president, Ball Packaging Europe… Jessica Dykun joins NutriPure Beverages, Inc., Scottsdale, AZ, as senior research scientist, responsible for researching new formulations, overseeing quality assurance/control, supporting production setup, equipment control, product manufacturing/storage, coordinating sourcing with key vendors; background includes stints at Innovational Center Analytical Chemical Laboratory of HJ Heinz Co., Pittsburgh, PA… With resignation of Michael Morefield, svp/cfo, Andrea Schry, vp/controller, assumes duties of acting cfo at Portola Packaging, Inc., Batavia, IL… Packaging industry machinery veteran Mark V. (Sparky) Ewing joins PTI Packaging Systems, Tuckahoe, NY, as sales manager for stick pack, pre-made pouch packaging machinery; background includes stints at Belcor, now part of Wexxar Packaging Inc., Delta, BC, Canada; Pearson Packaging Systems, Spokane, WA... NanoInk, Inc., Skokie, IL, appoints James M. Hussey, ceo, member of board of directors; Hussey arrives at developer of anti-counterfeiting solutions from Ovation Pharmaceuticals, Inc., Deerfield, IL... Surinder Kumar, first chief innovation officer at Wrigley Co., Chicago, IL, retires 1 July 2008 after serving global confectionery brand leader since 2000; Rob Peterson, vp – New Products/Packaging, member of Wrigley innovation team since 2006, succeeds him, immediately becomes vp – Innovation during transition…

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ShortRuns: Sonoco… Caraustar…

Sonoco, Hartsville, SC, relocates Sonoco Recycling operation in Charleston, SC, to larger, more efficient, 30,000-square-foot building at 2025 Tellico Road in North Charleston to process 250 million pounds of corrugated, paper, metal, plastics per year; company uses recycled fiber in its own paperboard packaging, also exports recovered paper… Rising fiber, energy costs force Caraustar Industries, Inc., Atlanta, GA, to boost prices 8% on all paperboard-based converted products beginning with shipments on 18 February 2008; latest increase follows $40/ton boost for all grades of company’s uncoated recycled paperboard, which takes effect on 28 January 2008…

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EarningsUpdate: Ball… Matthews… Clarcor…

Business consolidation, other costs put pressure on earnings at Ball Corp., Broomfield, CO, which reports net earnings of $281.3 million for 2007 versus $329.6 million in 2006 on sales of $7.39 billion, $6.62 billion, respectively; strong orders for bevcans, especially specialty sizes, help boost sales, offset lower demand for metal cans for food, household products… Matthews International Corp., Pittsburgh, PA, records higher earnings, sales for fiscal 1Q08, ended 31 December 2007, with sales rising to $182.3 million from $175.4 million in fiscal 1Q07, net income increasing to $17.4 million in fiscal 1Q08 from $14.0 million in fiscal 1Q07, despite lower domestic sales, operating profit in Marking Products segment… For 15th year, CLARCOR Inc., Franklin, TN, reports increase in sales, earnings with sales rising 1.9% to $921,191 for fiscal 2007 ended 1 December versus $904,347 for fiscal 2006, net earnings turn in even stronger performance, jump 9.6% to $90,659 from $82,710 in fiscal 2006…

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Upstream: HACCP webinar… Interpack…

Compliance Online, Redwood Shores, CA, hosts Applying Hazard Analysis Critical Control Point (HACCP) Principles for Food Processors at 2 p.m. EST on 30 January 2008; session costs $249… With 2,700 exhibitors from 58 countries at Interpack 2008 Processes and Packaging, 24-30 April 2008, Düsseldorf, Germany, show spans 1.8 million square feet; exhibitor list includes first-timers from Iceland, Oman, Jordan, consists primarily of companies from outside Germany (69%) with strongest representation from China, France, Great Britain, Italy, The Netherlands, Spain, Switzerland, Taiwan, Turkey, US, including 33 participants in North American Pavilion…

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-- Ben Miyares, editor/publisher
-- Hallie Forcinio, managing editor
-- Pat Magee, contributing editor
Copyright 2006 Packaging Machinery Manufacturers Institute (PMMI), 4350 North Fairfax Drive, Suite 600, Arlington, Virginia (USA) 22203.

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