Packaging Management Update 04-14-08



April 14, 2008 -

Ben Miyares' Packaging Management Update®

Ben Miyares' Packaging Management Update®

A weekly summary of packaging business and technology developments

Lockable ‘key card’ wallet wins highest compliance packaging award from HCPC

Glipizide Key.In package from Nosco, Inc., Waukegan, IL, wins Compliance Package of the Year award from Healthcare Compliance Packaging Council (HCPC), Falls Church, VA.

Design for Watson Pharmaceuticals, Corona, CA, relies on removable key card to unlock package, provide access to blister card. Key feature gives package child-resistant rating of F-1.

Storing key separately from package ensures blood glucose lowering drug is inaccessible to children. In households without children, seniors leave key in place to simplify opening.

Blister itself provides another level of protection against accidental ingestion by children. Ornate black-and-white pattern printed on paperboard camouflages perforations for blister's push-through feature.

“Throughout the 13 years the HCPC has hosted its annual Compliance Package of the Year competition, I have seen a variety of compliance innovations submitted, but this year the competition was especially tough,” reports Peter Mayberry, HCPC executive director. “Our judges were so impressed with these breakthrough designs as well as the beneficial compliance features of each entry that scoring was particularly close,” he adds. (See page 2 for additional winners). All HCPC Compliance Package of the Year winners will be displayed in The Showcase of Packaging Innovations™ during PACK EXPO International, November 9-13, in Chicago’s McCormick Place. The Showcase of Packaging Innovations is sponsored by The Dow Chemical Company.

Compliance Package of Year winner selects school of packaging to receive $6,000 in scholarship funds. Other winners each designate recipient of $2,000 in scholarship funds. Follow-up: At HCPC, Competition Guidelines, +1 703-538-4030, Link: www.unitdose.org; at Nosco, Marketing Department, +1 847-336-4200; Link: www.nosco.com.

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HCPC names Compliance Package of the Year winners

Judges, who picked Glipizide Key.In package from Nosco, Inc., Waukegan, IL the top winner (page 1) in Healthcare Compliance Packaging Council awards program, also recognize Champix Starting Therapy from Pfizer Inc., New York, NY, as first runner-up, Effexor XR Flow Wrap Titration Package from Wyeth, Madison, NJ, as second runner-up.

Four-panel wallet card for Champix Starting Therapy for Mexican marketplace holds two-week course of smoking cessation product. Champix package integrates required patient regulatory information with attached leaflet, folds neatly into pocket-size wallet with resealable tape closure. Color-shifting sticker provides counterfeit protection.

Wyeth’s Effexor XR Flow Wrap Titration Package from contract packager Sharp Corp., Allentown, PA, provides compliance with mandate from Food and Drug Administration, Washington, DC, that all antidepressants be dispensed with medication guides. Blister in carton with patient insert ensures patients receive all mandated information with medication. Graphics on secondary pouch clearly identify product. Judges note, “Very attractive package with uplifting colors, graphics and fonts appropriate for such therapy. The patient insert will also help encourage compliance.”

Innovative Design category, which recognizes packs that are not yet commercial, honors NextBottle from One World Design and Manufacturing Group, Warren, NJ. NextBottle, which received 92 points out of 100 from judges, opens as traditional child-resistant bottle with push/turn function, but dispenses one dose at a time via dial mechanism that indicates day/time to help patient take medication properly.

HCPC partners with Canon Communications LLC, Los Angeles, CA, publisher of Pharmaceutical and Medical Packaging News, to providing funding. Winners also receive recognition at HCPC’s annual National Symposium on Patient Compliance, 13-14 May 2008 in New Brunswick, NJ, in its Unit Dose Alert magazine, other trade publications, as well as via displays at trade events. Follow-up: At HCPC, Competition Guidelines, +1 703-538-4030, Link: www.unitdose.org; at Nosco, Marketing Department, +1 847-336-4200; Link: www.nosco.com; at Sharp, Bill Walker, +1 610-279-3550, bill.walker@sharpcorporation.com; Link: www.sharpcorporation.com; at One World, Marketing Department, +1 908-769-1234; Link: www.oneworlddmg.com.

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PMMI adds 12 members, expands in all categories

Board of Directors of Packaging Machinery Manufacturers Institute (PMMI), Arlington, VA, approve 12 new members, four each in General (machinery), Materials, Components categories. Newcomers include, ATS Engineering, Brampton, ON, Canada, a manufacturer of weighing, filling machinery; Paktech, Eugene, OR, an injection molder of packaging handles; Superior Paper Handling Solutions, Plymouth, MN, a producer of conveyor, collating, feeding machinery; World Cup Packaging, South Beloit, IL, a builder of filling, conveying machinery; Becker Pumps Corp., Cuyahoga Falls, OH, a maker of pneumatic pumps; Festo Corp., Hauppage, NY, a manufacturer of motion control, pneumatic pump components; Herrmann Ultrasonics, Inc., Bartlett, IL, a producer of knife, closure, sleeve components; Ross Controls, Troy, MI, a manufacturer of safety, pneumatic components; Ampac Flexibles, Cincinnati, OH, a converter of polyethylene, shrink film, plastic bags; Rehrig Pacific Co., Los Angeles, CA, a producer of box/carton/case, tray, pallet materials; Sonoco, Hartsville, SC, a manufacturer of adhesives, paperboard, bag containers; Wilkinson Industries, Inc., Fort Calhoun, NE, a producer of clamshells, trays, polyethylene terephthalate containers. Follow-up: Matt Croson, vp, Member Services, +1 703-516-0655, mcroson@pmmi.org; Link: www.pmmi.org; at ATS, Link: www.atseng.ca; at Paktech, Link: www.paktech-opi.com; at Superior, Link: www.superior-phs.com; at World Cup, Link: www.worldcuppack.com; at Becker Pumps, Link: www.beckerpumps.com; at Festo, Link: www.festo.com/us; at Herrmann Ultrasonics, Link: www.herrmannultrasonics.com; at Ross, Link: www.rosscontrols.com; at Ampac, Link: www.ampaconline.com; at Rehrig Pacific, Link: www.rehrigpacific.com; at Sonoco, Link: www.sonoco.com; at Wilkinson, Link: www.wilkinsonindustries.com.

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Hormel recognizes suppliers for quality, service

Hormel Foods Corp., Austin, MN, bestows Spirit of Excellence Award on 71 suppliers. Packaging-related honorees include Alcan Packaging, American Fuji Seal, Inc., Gamer Packaging, Inc., Graphic Packaging International, Inc., Green Bay Packaging, Inc., Jayhawk Boxes, Inc., Minnesota Corrugated Box Inc., Multivac, Cryovac Division of Sealed Air Corp., Silgan Containers Corp., Smyth Cos., Inc., The Meyers Printing Cos., Inc., Weyerhaeuser, xpedx. Food processor selects winners based on ability to meet requirements, make timely deliveries, provide accurate administrative support, maintain inventories. Awards committee also looks for valueadded benefits, including customer support, awareness of environmental concerns, sales representative performance. Universal measurement system in place since 1990 holds every supplier to same standards.

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Alupak names PTI its representative for Americas

As new representative for Americas for Alupak AG, Belp, Switzerland, PTI Packaging, Tuckahoe, NY, handles its complete line of aluminum trays, lidding materials, cup packaging systems. Alupak’s products for food, pet food, chemical, medical applications complement PTI’s filling and sealing machinery lines. Confirming aluminum’s convenience, Alupak’s Edwin Teufel, sales, marketing manager, says, “A recent study sponsored by the European Aluminum Foil Association (EAFA) [Düsseldorf, Germany] concluded that aluminum packaging can be used safely in microwave ovens…will stimulate major growth opportunities in the development of new products.” Follow-up: At PTI, Michelle Wolf, +1 973-252-6039, m.wolf@ptiusa.com; Link: www.ptipacktech.com; at EAFA, Link: www.alufoil.org.

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Coors beers switch to vented wide-mouth end

To introduce Vented Wide Mouth Can for Coors Light, Coors Banquet beer, Coors Brewing Co., Golden, CO, proclaims 15 April 2008 National Venting Day.

New end features industry’s first built-in vent (outlined in blue in photo). It also offers 8% wider opening than wide-mouth end brewer introduced in 2006, 27% wider opening than largest found on competing brands of domestic light beer. End with embossed vent opens same as standard bevcan end, but directs air into can to reduce vacuum or “glugging” effect. Smoother pour delivers more draft-like experience. Ball Corp., Broomfield, CO, currently produces Vented Wide Mouth Cans exclusively for Coors based on design originally developed by Alcoa, Pittsburgh, PA. “We know from talking to beer drinkers that more than half of them do not like the way their beer pours from a can and want a smoother pour,” says Lee Dolan, vp of Marketing for Coors family of brands. “The Vented Wide Mouth is the latest step in our attempt to create a can that drinks like a frosty glass. On Tax Day, we’re giving beer drinkers a better way to Vent.” Transition to new Vented Wide Mouth Can will not affect prices to distributors, retailers or consumers. Follow-up: Packaging Sales and Marketing, +1 303-460-4444; Link: www.ball.com.

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Acquisition boosts kraft, linerboard capacity for KapStone

KapStone Paper and Packaging Corp., Northbrook, IL, adds saturating kraft, unbleached kraft to portfolio, expands position in linerboard with $485 million acquisition. Purchase of North Charleston Kraft Division from MWV (formerly MeadWestvaco), Richmond, VA, includes kraft mill in North Charleston, SC, which produced 833,000 tons of saturating kraft, linerboard, kraft folding carton board in 2007, mill’s on-site cogeneration facility, Cogen South, LLC, plus lumber mill in Summerville, SC, chip mills in Elgin, Hampton, Andrews, Kinards, SC. “The acquisition also provides us with the opportunity to participate in geographic markets that we do not currently serve,” reports Roger Stone, ceo of KapStone. “We believe this business is a wonderful fit with our current assets and positions us well for the future,” adds Matt Kaplan, coo of KapStone. Deal, which is expected to close 3Q08, gives KapStone leading position in kraft paper, saturating kraft, boosts annual revenue to $780 million, adds 1,100 employees. In addition, KapStone anticipates synergies of $2.5 million/year within first year of closing. KapStone produces kraft paper, dunnage bags at operations in Roanoke Rapids, NC, Fordyce, AR. MWV continues to provide wood fiber to North Charleston mill under fiber supply agreement, plans to use portion of proceeds to pay down debt. Follow-up: Marketing Department, +1 847-239-8800, information@kapstonepaper.com; Link: www.kapstonepaper.com/.

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Pro Mach consolidates sales force for end-of-line equipment

Pro Mach, Inc., Cincinnati, OH, organizes End-of-Line Industrial Sales Group, End-of-Line National Account Program to provide single point of contact for purchasers of machinery/systems sold under Brenton, Currie, Orion, Wexxar/Bel brands. Members of Industrial Sales Group, led by Steve Holland, support existing Distribution Sales Groups, product managers. Equipment includes Brenton case and tray packers, shrink wrappers, palletizers, robotic systems; Wexxar/Bel automatic, semiautomatic case forming, sealing systems; Orion automatic, semiautomatic stretch wrappers. Follow-up: End-of- Line Industrial Sales Group, +1 800-535-2730; Link: www.ProMachInc.com.

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Strip of easy-open, personalized pill packs aids compliance

For people who need multiple prescription medications each day, it can be tough to take every dose on time. In fact, inability to manage medications is major cause of nursing home admissions. Common compliance aids like seven-day pill boxes help, but require careful maintenance.

Patent-pending PACMED filling system from Parata LLC, Durham, NC, arranges multiple prescriptions by dose time in strip of onePac personalized pouches. Printing in heavy black type shows name of person, day/time of dose, medication names, strength, descriptions, other details to help consumer take right medications at right time, every time. Strip of easy-open 2.75-inchsquare pouches holds pill or pills in sequence to be taken.

In the pharmacy, when the PACMED form-fill-seal machine receives order for patient, thermal-transfer printer prints dosage instructions/patient information on film, canisters release proper medication to funnel, pill or pills drop into film, which is folded in half. After filling, machine heat seals three sides to form pouch. Machine runs at up to 50 multi-dose pouches/minute, significantly faster than traditional med-prep programs, which can be time-consuming for pharmacy staff to administer. Once packaged, pharmacist verifies that correct pill(s) are present. System relies on proprietary barrier film, which protects contents from moisture, is clear on one half for product visibility, opaque on other to serve as backdrop for pills, enhance readability of printing.

Pouch strips contain 30- to 90-day supply of medication. Perforation between pouches simplifies removal, while ribbed edging provides easy-tear opening. Already in use in retail pharmacies, long-term care facilities, onePac concept is particularly popular with seniors, multiple medication takers, frequent travelers, parents of children who must take meds at camp or school. Cost of onePac packaging depends on pharmacy with some charging premium compared to standard prescription vial. Secondary packaging to dispense strip remains under development. Follow-up: Link: www.myonepac.org.

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FDA issues updated Food Labeling Guide

Updated Food Labeling Guide issued by Food and Drug Administration, Washington, DC, summarizes required statements that must appear on food labels. First update since 1994, presents information in question-and-answer format, devotes sections to general food labeling requirements, food names, net quantity of contents statements, ingredient lists, food allergen labeling, nutrition labeling, nutrient content claims, health claims, qualified health claims, structure/function claims. Guidance documents contain nonbinding recommendations; represent agency’s latest thinking on subject. Agency accepts comments on guidance documents at any time. Follow-up: Link: www.cfsan.fda.gov/~dms/2lg-toc.html#bkgrnd.

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York Label acquires Chilean premium label makers

In ongoing global expansion, York Label, Omaha, NE, becomes single largest label converter in Chile. Company’s existing Cameo-Marinette joint venture purchases Etiprak, SA, as well as 50% interest in Etiquetas Industriales Ltda., both located in Santiago. Etiprak produces pressure-sensitive labels for wine industry, shrink sleeve labels. State-of-the-art equipment includes combination flexographic, screen printing, foil stamping, embossing, laminating. Etiquetas produces premium pressure-sensitive labels for consumer products, provides entry into South American market. York Label’s Rich Egan, president, ceo, says, “These new partnerships provide [us with] a commanding leadership position in the Chilean wine and spirits market. We expect to continue executing our strategy to expand our platform to become a preeminent global provider of premium labeling solutions to the consumer products, wine and spirits, pharmaceutical, and food and beverage markets.” Follow-up: Dave Klotter, marketing department, +1 402-829-4571, dave.klotter@yorklabel.com; Link: www.yorklabel.com.

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Primo Water picks PLA bottle over PET

Polylactide (PLA) bottle with tamper-evident, natural high-density polyethylene cap, polyethylene terephthalate (PET) label launches singleserve Primo water. Primo Water Corp., Winston Salem, NC, characterizes 16.9-ounce bottle made from Ingeo (formerly NatureWorks) PLA from NatureWorks, LLC, Minnetonka, MN, as more environmentally friendly than PET bottle. PLA container offers equivalent durability, originates from annually renewable resource (corn), reduces carbon dioxide emissions 80%-90%, requires 65% less fossil resources than PET bottle. Singleserving Primo water, the first to be distributed nationally in PLA, sells in 18- count shrink film multipack for suggested retail price of $4.99. “With Primo, consumers have told us they feel good twice; once for promoting their own health by drinking more water and avoiding sugar, and twice, for helping to preserve the precious and depleting resources of our planet,” says Dave Burke, president/coo of Primo To Go. Primo focuses on providing mineralenhanced water with environmental benefits. In addition to single-serve product, company offers Zero Waste bulk water program that refills 3-, 5- gallon containers, and an Energy Star-rated water cooler. Noting PLA bottles have three recovery options -- recycling, composting, incineration -- company tells consumers to “please renew.” However because many consumers have no access to any of these options, Primo is plans to convene consortium during summer of 2008 to begin developing long-term, effective, efficient processes for renewing bioplastics.

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Germany exempts bioplastic beverage bottles from deposit

Germany exempts bioplastic bottles from country’s compulsory deposit requirements with passage of 5th Amendment to its Packaging Directive. Exemption for single-use drink bottles, which are certified compostable and “produced from at least 75% renewable resources” takes effect 1 January 2009, expires 31 December 2012.

Action should stimulate market for bioplastic bottles, development of sorting, recycling systems. “Through this regulation, the Federal Government is encouraging the use of renewable resources in beverages packaging and therewith a substantial innovation from the plastics industry,” states Dr Harald Kaeb, chairman of European Bioplastics (EB), Berlin, Germany, an industry association. “This provides strong support for the market introduction of bioplastics,” he adds. Manufacturers using bioplastic bottles still must participate in Germany’s dual system of recycling with most bottles likely to be burned to generate heat/energy. “…based on the fact that they were created from renewable resources, [burning] will contribute to a reduction in carbon dioxide emissions,” notes Jöran Reske, EB vice-spokesperson. According to EB, about a dozen beverages are currently sold in bioplastic bottles worldwide. With annual growth rate estimated at 20%-30% several companies plan to invest in larger production facilities.

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PET bottle reaches heights for elegant water presentation

Design of Evian’s 750-millilitre Palace Bottle, crafted of recyclable polyethylene terephthalate (PET), evokes beauty of French Alps.

Sleek, smooth cylinder rises from cut-out rendering depicting mountains, opens via high-density polyethylene twist-off cap.

Clean lines, simple label with crisp red Evian logo, three blue mountain peaks showcase purity of water.

From Evian Natural Spring Water, Atlanta, GA, business unit of Group Danone, Paris, France, bottle receives award as best package of 2007 from Beverage Industry magazine, recognition in BrandPackaging’s Design Gallery, publications of BNP Media, Troy, MI.

Targeted at upscale restaurants, clubs, hotels, bottle blown, filled in Evian, France, now launches for home delivery. To adorn table, stainless steel stylized spout called Palace Pourer, sits on top of bottle. Water comes in 12-bottle cases for $43.95/case; pourer, coaster sell separately for $15, $12.50, respectively.

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Early career program recruits future packaging leaders

Inaugural class of Compass Program at Multivac Inc., Kansas City, MO, targets young people who want career in packaging. Two-year program offers entry-level recruits opportunity to explore roles, responsibilities as full-time employees at Multivac. Upon completion, graduates move into slots best suited to skills. “Ensuring that we have a capable and well-trained staff now and into the future is critical to the service we provide our customers and to our continued industry leadership,” explains Jan Erik Kuhlmann, president/ceo. “Through the Compass Program, new team members will be able to learn and grow under the guidance of the most experienced and knowledgeable professionals in the packaging business. Multivac is proud to make this investment in the next generation of leaders for our organization and industry.” Rotation through eight modules from product development to sales exposes participants to full range of Multivac’s operations. Follow-up: Human Resources, +1 816-891-0555, applicant@multivac.com; Link: www.multivac.com.

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Reusable bag giveaway supports Earth Day

Fresh & Easy Neighborhood Market, El Segundo, CA, gives away reusable grocery bags in 61 stores. Kickoff on Earth Day, 22 April 2008, packs groceries in “bag for life”, usually priced at $0.20. High-density/low-density polyethylene blend bag contains 10%- 25% recycled content (mixed post-industrial, post-consumer waste). Stores also sell large, reusable canvas bags priced for $2.50 each. With outlets in California, Arizona, Nevada, Fresh & Easy, a new convenience store concept owned by giant UK retailer Tesco PLC, Cheshunt, England, encourages customers to reuse bags to lessen impact on environment, pledges to replace recyclable PE-blend bag for free if damaged. “We want to make it easier for our customers to make more environmentally friendly decisions,” says Tim Mason, Fresh & Easy’s ceo, who adds, “If everyone in the neighborhood shops with reusable bags, we can really make a difference.”

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Virtual reality sees into new package designs

Innovation Design Studio in Neenah, WI, that incorporates use of proprietary virtual reality system may be first in US to help design packaging. Dubbed K-C SmartStation, by global brand owner Kimberly-Clark Corp. (K-C), Dallas, TX, threedimensional (3-D) high-tech kiosk simulates consumer’s shopping experience, helps research new product innovations from idea through testing, execution, eliminates time, cost involved with physically constructing mockups. Kiosk’s sophisticated eye-tracking technology enables K-C researchers to study viewers’ engagement, reaction, physical motions in 3-D simulated shopping setting. For example, system can help determine how different environs influence purchasing decisions. System also enables comparison of alternate package designs by showing how units appear on shelf, gauging visual impact to provide immediate consumer feedback on new packaging ideas. Resulting knowledge makes it possible to differentiate product, tailor new product launches to consumers’ wants, needs. “We are one of only a few companies in the world to have an Innovation Design Studio with an integrated virtual reality system,” says K-C’s Ramin Eivaz, vp, North Atlantic Insight, Strategy and Growth, adding, “and we believe ours may well be the most technologically advanced system anywhere. By engaging ourselves and our customers in this virtual world, we can spark better ideas to improve the shopping experience and collaborate on new product concepts and innovations.” Eivaz, who led development of Innovation Design Studio, notes, “The K-C SmartStation allows us to see what catches the consumer’s attention, helping us identify which aisle formats, shelf arrangements or in-store promotions are most effective at driving purchases.”

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Upstream: PETnology…

Part of program at PETnology Europe 2008 (www.petnology.com), 22-23 April 2008 in Düsseldorf, Germany, focuses on electron beam, plasma sterilization processes as well as strategies to control non-intentionally added substances in beverage bottles…

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Changeover: Kroger…

Kroger Co., Cincinnati, OH, promotes Calvin Kaufman corporate gvp/president of Kroger Manufacturing responsible for overseeing 42 US food processing plants that produce bread, dairy products, meat, beverages, other grocery items for retail chain; Kaufman currently serves as senior director of Logistics, succeeds William T. Boehm, corporate svp/president of Kroger Manufacturing, who is retiring after 27 years of service…

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ShortRuns: MOCON... Henkel/Akzo Nobel… Synbra/Plastimar…

MOCON, Inc., Minneapolis, MN, breaks ground for 84,000-square-foot headquarters building for its Lippke division in Neuwied, Germany; new location, scheduled to be completed in September 2008, provides 50% more space for office, laboratory, warehousing for Lippke brand blister, leak/seal strength testing units… Henkel KGaA, Düsseldorf, Germany, finalizes acquisition of adhesives, electronics materials business units of Akzo Nobel NV, Amsterdam, The Netherlands, from ICI Group’s National Starch & Chemical Co., Bridgewater, NJ, for approximately €3.7 billion (US$5.81 billion); deal strengthens position in flexible packaging laminating adhesives, boosts annual revenue of Henkel’s Adhesives Technologies segment to approximately €7.5 billion (US$11.79 billion)… Euro-M Flexible Packaging SA, Mons, Belgium, Ghlin Srl, Ghlin, Belgium, extend flexible packaging converting capabilities with purchase of AEP Industries Nederland BV from AEP Industries Inc., South Hackensack, NJ, for US$28 million in cash; buyers also assume subsidiary’s third-party debt, unfunded pension obligation… Leading European producer of expanded polystyrene (EPS), Synbra Holding bv, Etten- Leur, The Netherlands, will acquire Plastimar Lda, Portimao, Portugal, upon approval of Portuguese competition authorities; 50-year-old Plastimar provides EPS insulation systems, specialized packaging solutions from three factories, two warehouses, employs approximately 200, bringing Synbra’s workforce to 1,600…

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EarningsUpdate: Constantia…

Constantia Packaging AG, Vienna, Austria, set records in 2007 with sales jumping 48% to €1.6 billion ($2.5 billion) from €1.1 billion ($1.7 billion) in 2006, net income soaring 109% to €105 million ($165 million) from €50 million ($79 million) in 2006 due primarily to acquisition of Austria Metall AG, but also to excellent results from aluminum, corrugated board flexible packaging segments…

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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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