HP consolidates Imaging and Printing group to cut costs

HP has announced it is to reorganise its Imaging and Printing group by consolidating the division from five groups down to three, in a bid to enable revenue growth and reduce costs within the company.

Vyomesh Joshi, executive vice president of HP's Imaging and Printing group, revealed news of the significant shake-up to employees on Wednesday, however he stayed quiet on the issue of potential job cuts.

However, the company confirmed to PrintWeek there would be a "rebalancing of staff" with people being employed into other areas "as much as possible".

The move will see HP consolidating the group into three areas, Graphics Solutions, Inkjet and Web Solutions and Laserjet and Enterprise Solutions.

Graphics Solutions, will deliver HP's portfolio of products and services for printers, the company said.

Inkjet and Web Solutions will focus on consumers and small businesses. Laserjet and Enterprise Solutions will aid HP's Enterprise customers in optimising their printing and imaging infrastructure and improving workflow.

Through reducing the number of its Global Business Units from five to three, HP says it has created units dedicated to providing print technology determined by each customer segment.

The move also represents a consolidation of consumer services and hardware into one group, with HP's enterprise services and hardware sectioned off into another.

The reorganisation plans are described as being part of HP's Print 2.0 strategy – a pitch to enhance and expand its business to offer a broader range of printing activities, such as large-scale billboard printing and graphic arts to label production.
Source: printweek

Packaging Market Weekly Wrap - P&G to Share Packaging Know How

Procter & Gamble is allowing another company access to its packaging technologies for the first time.

Food manufacturer ConAgra will get access to its industry-leading packaging and design skills in one of the most ambitious cooperation deals struck by the world’s biggest seller of consumer goods, the Financial Times reports.

P&G Vice-President of External Business Jeff Weedman said that under the deal "P&G's packaging capabilities are going to be applied to ConAgra's needs".

The deal has the potential to be one of the biggest to be developed under P&G's "connect and develop" open-innovation strategy.

The deal also covers P&G's nutrition-enhancing food ingredients.

Financial terms of the deal were not unveiled.

BAN CALLED ON REPACKAGED MEDICINE

Drug makers called on Thursday for a ban on the repackaging of medicines within the European Union in order to stamp out the growing threat of counterfeits.

"It is absolutely imperative, if we are going to try and protect consumers from counterfeits, that we do not allow a system that can take our medicines out of its packaging," industry association head and Bayer Healthcare CEO Arthur Higgins said.

Pharmaceutical manufacturers blame the legal practice of parallel trade - in which drugs bought in low-priced markets are repackaged and resold in high-price countries - for fuelling counterfeit traffic. Parallel traders deny the charge.

Preventing repackaging would deal a blow to the parallel trade and could also help drug makers' profits, since companies' revenues are currently eroded by arbitrage dealings in their products across borders.

Under current EU rules, medicines can be repackaged, relabelled and the tablets even removed from blister packs, all of which drug makers argue jeopardises security and provides an opportunity for criminals.

Counterfeit medicines, which may contain the wrong or even toxic ingredients, are on the rise worldwide. The World Health Organisation estimates they may make up 10% of the global pharmaceutical market.

The problem is most acute in developing countries but it is also increasing in Europe, with fake versions of life-saving drugs like AstraZeneca Plc's cancer medicine Casodex and Sanofi-Aventis SA's blood-thinner Plavix turning up in the supply chain in the past year.

Sanofi Chairman Jean-Francois Dehecq said counterfeiting was now being carried out on an industrialised scale, often by the same criminal gangs which dealt in narcotics.

"It is time for Europe to act as the driving force in the fight against this deadly crime," he said.

Dehecq and Higgins said they hoped for tougher EU legislation by the end of the year as part of a new pharmaceutical package being developed in Brussels.

In the meantime, the European Federation of Pharmaceutical Industries and Associations will launch a pilot scheme using complex bar codes and tamper-resistant packaging in Germany next year, designed to show that secure packaging for drugs is feasible.

In the long term, it wants to see a standardised and unique coding system for medicines across Europe.

Reuters

SCA AB TO DOWNSIZE

Swedish paper company SCA AB has announced plans to sell parts of its UK packaging operations to Spain's SAICA and will close down its New Hythe containerboard mill in Kent by 2010.

SAICA is paying £100m for SCA's conventional corrugated business.

After the sale, SCA will focus on specialised packaging in its operations in the UK and Ireland.

EAFA PRESIDENT RE-ELECTED

Hydro Aluminium's head of business unit foil Fred McDonogh has been re-elected President of the European Aluminium Foil Association (EAFA) for a second term.

Group Chairmen Michael Cronin of Flexible Packaging Europe and Hans Hogeveen of Rewinder Group were re-elected as EAFA Vice-Presidents.

Completing the board Felix Steinbrecher was newly elected as EAFA Vice-President representing the Container Group.
Source: packaging-technology

Print finisher Fastnet sold in management buyout

Fastnet, a Mitcham-based print finisher, has been sold to a team of long-serving employees in a management buyout.

The MBO team is being headed up by Richard Ashcroft who has been running production of the company for the past 13 years.

The £2m turnover company, which employs 34 staff, specialises in the finishing of wiro and plastic spiral bound books, calendars, and diaries.

In February this year, Fastnet installed a calendar binding line, increasing output by 18%.

David Martin, who formed the company, will remain during a short transitional period, before moving on to pursue other interests, including some work for Dash Products – the UK's only manufacturer of plastic spiral for the bookbinding industry.

Martin said: "The new team will need some time to settle down and decide how best to make joint decisions, regarding direction and investment. As they have all been with the company since the start, I know the company is in good hands.

"For myself, after 33 years in the printing business, I am now looking for a quieter life away from the red tape that consumes much of everyday life in business these days."
Source: printweek

St Ives reports sales growth despite declining US demand

St Ives has announced continued growth despite a significant drop in volumes in its US division.

The US suffered a 20% drop in sales this year, largely down to the consolidation of Florida plants at the end of the last financial year.

However, between August and May, total sales grew by 4.6% on the previous year, with Service Graphics, which it acquired in November 2006, posting a growth rate of 9%.

The statement said: "Overall market conditions have been more challenging than we had expected when we issued our half-yearly statement, but we continue to seek ways of reducing cost and increasing revenues to mitigate the effect."

Since 1 February 2008, demand for books has remained steady, according to the company, which warned that, although new contracts for magazine printing were being won, pagination was unpredictable.

Sales in the company's multimedia and music division were down but Brian Edwards, chief executive of the company, would not be drawn on plans for a disposal of this business, saying a sale of its Dutch music division remained "under review".

He added that the company had no plans to move into colour book printing at its Clays site, despite the demise of Butler and Tanner.

"With mono work, there is a time sensitivity which means that it has to be produced locally," he said. "With colour work there does not tend to be so many repeat runs meaning that it can be printed at a lower cost elsewhere."

The transition of work under the Royal Mail contract (announced in October 2007) will be completed by the beginning of July 2008.
Source: printweek

De La Rue sells off Cash Systems divisions in £360m deal

De La Rue has entered into a conditional agreement to dispose of its Cash Systems business to private equity house The Carlyle Group for £360m.

The deal, which is subject to shareholder approval, is expected to complete in September of this year and brings to an end months of speculation concerning the possible purchaser for the business.

Nicholas Brookes, chairman of De La Rue, said: "The disposal of Cash Systems, in the more uncertain economic environment, reflects the quality of the business that we have built since 2004 and crystallises its value for our shareholders."

The disposal of Cash Systems will enable De La Rue to focus on its core business as a supplier and manufacturer of banknote printing. In a statement, De La Rue said that a focus on this segment of the business will deliver higher margins.

Cash Systems manufactures and distributes handling technology for the authentication and sorting of bank notes, including ATM machines, which De La Rue invented in 1965.

For the financial year to March 2008, the company reported revenue of £286.6m and operating profit of £35.5m.
Source: printweek

Green plan fails to save struggling Polar Print Group

B1 environmental printer Polar Print Group has gone into administration with 45 redundancies being made.

Administrators at KPMG were called into the business on Wednesday evening.

A statement from Richard Philpott, joint administrator from KPMG said the business "has been experiencing trading difficulties for some time, in the main caused by increasing competition within the printing sector as well as rising business overhead costs."

The Leicester-based printer had recently invested £3m in new KBA pressroom technology with a Rapida 105 six-colour sheet-fed press being installed last November and another 10-colour machine due for installation in the second half of 2008.

Polar said at the time it was hoping to capitalise on the growing demand for "green" printing and believed that the new press would add £2m to the company's existing annual sales of £4.5m.

2007 accounts for the company are not available, but in 2006 Polar Print made a £202,000 pre-tax loss compared to a profit of £105,000 in 2005. The company employs 51 staff.

Managing director David Gask could not be reached for comment. Further details are not available at this stage.
Source: printweek

Snacks debut in resealable pouches

New York Style, a snack brand of Nonni's Food Co., Inc., headquartered in Tulsa, OK, has introduced Focaccia Sticks in packaging designed by brand strategy specialist Murray Brand Communications, Inc. (www.murraybrand.com).

Supplied by C-P Flexible Packaging (www.cpconverters.com), the preformed, stand-up, resealable pouches are flexo-printed in 8 colors and incorporate color-coding to distinguish flavor varieties. The undisclosed packaging structure has excellent oxygen and moisture barrier properties, which preserve product freshness and extend shelf life up to one year.

New York Style marketing manager Bill Corcoran comments, "Consumers have responded very well to our new Focaccia Sticks. The graphics designed by Murray Brand Communications do a great job of standing out on the crowded snack food retail shelf and telling a story about the uniqueness of the product and its usage occasions. The resealable stand-up pouch allows us greater merchandising flexibility, and the packaging structure helps keep the product fresh longer."

New York Style Focaccia Sticks were introduced in retail outlets across the U.S. beginning in February 2008. Average retail price is $3.29 per 5-oz bag.

Source: packworld

Loadhog installs pallet pad wash

Loadhog, the Sheffield-based returnable packaging firm, has installed a layer pad wash plant in the city to speed up service for key customers, such as Quinn Glass.

Plastic layer pads are used in the transport of transit pallet-stacked products, especially in the glass bottle industry, which dictates that pads are cleaned after every trip.

Loadhog currently washes 2.5 million pads for Quinn Glass annually.

The £500,000 Italian-manufactured machine is one of four in the country. It is located in 10,000 sq ft facility on Blast Lane in Sheffield and is open to other transit packaging companies to use.

Loadhog requires that its plants wash pads to British Retail Consortium's Global Standard for Food Packaging and in accordance with the Hazard Analysis Critical Control Point (HACCP) Protocol.

Pads are not released to customers until microbiological testing has been carried out.

Wash plant manager Dave Clark said the plant, which can handle seven million pads a year, "opens up a new income stream from other companies requiring a fast turn round pad cleaning service".
Source: packagingnews

Ball Packaging to employ 100 at second Polish facility

Ball Packaging Europe could employ more than 100 skilled workers at its new 125,000 square metre can-making plant at Lublin, Poland, when it starts production in the first half of next year.

The US-based metal and plastic packaging supplier said it needed the plant to meet "rapid" growth in demand for beverage cans in Central and Eastern Europe.

The "highly-automated" plant, to be built in eastern Poland on the borders of Belarus and Ukraine, will initially have one production line with an annual capacity of approximately 750 million cans a year, but there will be space at the site to accommodate additional lines in the future.

This is Ball's second investment in Poland, it opened a factory at Radomsko in 1995. The site has a workforce of 160 people, it produces 1.5 billion aluminium beverage cans in 330ml and 500ml sizes annually on two lines.

Ball Packaging Europe president Michael Herdman said: "Currently we sell significantly more cans in the Polish market than we produce locally."

"Our existing plant in Radomsko serves us well for central and southern Poland. The Lublin plant will provide us with geographic coverage across Poland and position us to serve even better our customers there, as well as those in countries further to the East."

Source: packagingnews

PI becomes Packaging Federation's first design member

The Packaging Federation has secured its first member from the design sector after signing up PI Group, the London-based packaging design, prototyping and sustainability specialist.

PI Group partner Steve Kelsey said the Federation would be a "very valuable forum" for the company and provided an "excellent perspective on what the packaging business is thinking".

He also said PI could bring some extra qualities to the Federation.

"The sort of things talked about at Federation meetings are very much looking to the future, and if designers can't spot trends they shouldn't really be in their jobs," he added.

PI decided to join as an individual member after a "very, very lukewarm reception" from other design firms to the idea of creating a design group to sit within the Federation.

"It was only after I had been to several Federation meetings that we decided to join," he added. "I was very impressed by the quality of people who attended."

PI has also joined the Cross Industry Waste Strategy Group, which counts major retailers such as Asda and Tesco as members and aims to standardise waste collected by local authorities across the country and ensure that recycled packaging is of a high quality.

Packaging Federation chief executive Dick Searle said signing up PI as a member was a "significant" boost for the organisation and could help to attract other design companies.

Major packaging groups account for the bulk of the Federation's membership, while sector trade associations are affiliates.
Source: packagingnews

Drupa sales total £360m at halfway point

More than 450m euro (£360m) worth of software, equipment and services were sold during the first half of Drupa, according to newly released figures.

Show organisers Messe Düsseldorf revealed the interim figures last Thursday, covering visitor and exhibitor numbers, as well as half-time sales and national growth trends.

Albrecht Bolza-Schünemann, Drupa president and Koenig & Bauer chief executive, said on Wednesday: "By this evening, 213,000 visitors from 115 countries have passed through the turnstiles – 64% of them international. The trend at the event is extremely positive."

Inkjet presses and digital print engines seemed to be leading the sales charge at the show, with presses flying off the HP and Xerox stands, among others.

Meanwhile, heavy-metal manufacturers Goss, Heidelberg, Koenig & Bauer and manroland all began the show as the they meant to go on, with orders from the very first day.

On the prepress side, Agfa led the charge, announcing two significant five-year plate deals in the first week, as well as selling several units of its new Avalon VLF platesetter.

Of the show's 213,000 first-week visitors, 15.2% were from Asia – representing a rise of 3% on 2004, and 7.4% were from South and Central America, whose attendance was up from 4.7% last Drupa.

The Drupacube and the Drupa Innovation Park, both of which are new features of Drupa 2008, were singled out for praise by the Messe, which is already planning ahead for Drupa 2012.

In an announcement earlier this week, Messe Düsseldorf revealed that the 15th Drupa will take place from 3 to 16 May 2012.


--------------------------------------------------------------------------------

Drupa halftime numbers:
213,000 visitors
1,971 exhibitors
52 nations exhibiting
175,000sqm stand space
104,202sqm from international companies
Source: printweek

Packaging Market Weekly Wrap – Bright Future for Pharmaceutical Packaging Market

According to the business research company Freedonia Group, demand for pharmaceutical packaging in the US (including Puerto Rico) will increase 5.5 percent annually to US$16bn in 2012.

The rise is due to the increased focus on regulations and standards that address issues such as barrier protection, infection control, patient drug compliance, drug dispensing errors and drug counterfeiting.

The US-based industry research firm also identifies a 5.2 percent annual increase in demand for primary pharmaceutical containers and anticipates fast growth for prefillable syringes and vials.

Furthermore, it expects plastic bottles to remain the most widely used package for oral drugs distributed in bulk and that the market for pharmaceutical pouches will expand at a fast pace.

CHAMPAGNE INDAGE BUYS CORBY BOTTLERS

Corby Bottlers has been purchased by the Indian firm Champagne Indage for an undisclosed sum.

The Northamptonshire wine bottler and supplier of bag-in-box wines and sister company Darlington Wines have continued trading despite going into administration in March.

The two businesses generate a combined turnover of £25m.

POLYONE SIGNS ON FOR EASTMAN TRITAN COPOLYESTER

PolyOne has signed an agreement with Eastman Chemical Company to become the exclusive compounder of filled systems for Eastman's Tritan copolyester in the US.

The global provider of specialised polymer materials, services and solutions will work with customers and Eastman to develop new applications and markets for compounded materials.

The new copolyester is marketed as durable, resistant to chemical and heat, and easy to process.

It can also apparently be molded with lower levels of residual stress compared to polycarbonate.

AMCOR TO SELL PACKAGING PLANT TO IPG

Amcor is to sell its flexible packaging plant in Western Australia to Integrated Packaging Group (IPG) for about US$35m.

The plant, which is located in Perth, currently produces industrial stretch wrap film for domestic and New Zealand markets.

The proposed sale would mark Amcor's exit from the production of industrial stretch wrap film.

The planned acquisition is part of IPG's growth strategy of buying established businesses and expanding its existing plants in Melbourne and Auckland, New Zealand.

IPG and Amcor are expected to complete the transaction by the end of July.

ASTRAPACK APPOINTS NEW CEO

Plastic packaging company Astrapak has appointed Marco Baglione as its new chief executive office.

Bagilone was previously divisional chief executive of the rigids division and has been at the company for 11 years.

He replaces Ray Crewe-Brown, who will retire at the end of June but remain as a consultant to Astrapak for the next 12 months.
Source: packaging-technology

Printing.com bucks the trend with sales rise of 15%

Printing.com has defied current economic uncertainty, announcing record sales, profits, earnings per share and dividends.

"We said last year we would focus on expanding our franchise base, and that's what we've done," chief executive Tony Rafferty said.

His company saw 51 new outlets open over the year and the successful launch of Printing.com France. Plans to set up operations in Australia are also still on track, he said.

Printing.com, which has 261 outlets in the UK and Ireland, reported a sales rise of more than 15% to £24.5m in the year ending in April.

Preliminary results revealed an 11% increase in turnover to £13.5m and profit before tax was up nearly 6% to just under £2.5m.

"In this uncertain economic climate, a lot of small printers are putting off big capital investments and buying a slice of our action," he said.

Printers spent an average of £6,000 to £7,000 for a "bolt-on franchise", and Rafferty's company spent £30,000 a month tweaking software to "make life easier" for printers to detail and confirm orders, and to add up payments.

"Who knows if we will see the same size of expansion next year given the economic conditions? But we will seek to push forward and are cautiously optimistic."

Earnings per share rose 2.5% to 3.64p and dividends went up 20% to 3.00p.
Source: printweek

I2r invests in packaging kit after securing grant

I2r Packaging Solutions, the food packaging firm, has invested in new tooling for its Telford-based plant after securing £800,000 of funding through Business Link.

The company, which produces smooth-wall aluminium foil containers for customers including Sainsbury's, Asda, Tesco and Marks & Spencer, declined to give further details of the tooling.

Chief executive Peter Reay said: "The funding from Business Link has enabled us to install new state of the art production lines at our premises and in response to this, 11 new jobs have been created."

I2r, which stands for innovation to ready, was launched in July 2007 by three former Nicholl Food Packaging directors - Reay, Jon West and Richard Chaplin.

The Business Link Access to Finance programme, which is available to all small and medium sized businesses employing less than 250 people, offers support from impartial advice to holding seminars and workshops.
Source: packagingnews

Sainsbury's starts selling milk in a bag

Sainsbury's will start to sell milk packaged in a recyclable plastic pouch in 35 of its stores this week.

The supermarket said the two-pints pouch, produced in partnership with Dairy Crest, would reduce milk packaging waste by 75%. It will be available in 500 stores within a year.

The "Jug-it" pack is made from low-density polyethylene (LDPE) and fits inside a reusable jug. It is opened with a spike that pierces the bag and forms a no-leak seal. Once emptied, the pouch can be put in recycling bins in Sainsbury's stores, or recycled with other plastics at home.

Rival Tesco started selling milk from Welsh organic milk co-operative Calon Wen in low-density "eco pak" polythene bags in 43 stores across Wales in April.

The Tesco move followed Waitrose's trial of the Calon Wen offering that has been running for a year, while Asda trialled the Greenbottle, consisting of a recycled cardboard bottle with a plastic liner, at stores in East Anglia earlier this year.

A spokeswoman from Sainsbury's said its move was a "revolution" in milk packaging, but a previous pouch launched by the supermarket in 2001 did not stir up much interest among consumers and was scrapped.

"Consumers are now ready for it. There is much more demand for products that are environmentally responsible," the spokeswoman added.

"Milk in a bag is an incredibly simple way for families to reduce their environmental impact."

The Jug-it pouch will be on sale across London and the South-East from Wednesday.

Sainsbury's is also considering using bags for its own brand juice and is examining alternatives to the wine box using the same packaging technology.

Source: packagingnews

M-real to phase out four cartonboard grades

M-real, the Finnish cartonboard and paper manufacturer, will phase out four of its cartonboards by the end of the year following the introduction of new grade Carta Elega this month.

The company will discontinue the production of heavier weight cartonboards Gala X, Nova X, Simwhite and Avanta Ultra.

Carta Elega is a fully-coated folding boxboard, available in 200-380gsm, which is recommended for beautycare and other high-quality packaging and graphics.

M-real said it is a combination of the best bits of discontinued grades Simwhite and Avanta Ultra.

The company will continue to produce grades Carta Integra, Carta Solida, Avanta Prima and Simcote alongside Carta Elega.

A spokesperson said that having fewer grades would result in better availability and faster deliveries, mostly due to fewer products per production line.

Mika Joukio, executive vice president of M-real Consumer Packaging, said the company "strives for fast and secure availability, as well as for high quality and consistency of our board without forgetting sustainability issues."

Source: packagingnews

Confectionery machine roll-out boasts 400 products per minute

As ever shorter product life cycles continue to dominate the packaging landscape for confectioners, two Bosch Packaging Technology firms have extended their range of horizontal pillow-pack machines.

Offering a machine suitable for packaging products in trays, the two companies, Tevopharm and Doboy, claim their new Pack-401 is suitable for three-shift operations.

The horizontal pillow-pack machine achieves "medium to high operating speeds for output levels of 20 to 400 products per minute or a film speed of up to 80 meters per minute," they assert in a recent statement.

Tighter margins are driving increased efficiencies for businesses across the food sector. For confectioners, a lift in flexibility changeover rate and more competitive product life cycles could raise efficiencies at the packaging level.

"Its design allows for flexible changeover to various packaging formats for product widths up to 450 millimeters or film widths up to 650 millimetres," add Tevopharm and Doboy, part of the €46bn german Bosch group.

In addition, the design of the Pack-401 enables it to "operate as a standalone machine or to be integrated with other packaging systems such as Delta Robots, secondary packaging machines, product handling, and various infeed modules," add the firms.

The "cantilever design of feeder, longitudinal and transverse sealing" also enables operators to have an "excellent overview during operation and facilitates access for cleaning," they continue.

In today's competitive food sector, companies are, arguably, starting to recognise that brands are among their most valuable assets. Brands account for about one-third of the value of Fortune 500 companies, and a recent report from Milward Brown Optimor found that the combined value of its Top 100 Brandz, across all industries, topped €1.2 trillion in 2008, a 21 per cent rise from about €1 trillion in 2007.


Harnassing this state-of-play, Bosch Packaging technologies stated in a report recently that 'successful brands build on innovative and efficient packaging solutions with high consumer benefit.'

The firm claims that technologies can be applied that completely redefine a product category or, in some cases, create an entirely new product from an existing brand.

An example of pro-active packaging technology design, Bosch Packaging cites the Pull Pack designed by one of its firms Sigpack Systems, that worked with existing equipment and knowledge of existing lines to create a new package that would require minimal alteration of those lines.

"The Pull Pack enables consumers to simply pull off the short end of the wrapper for quick access to contents," says the firm.

The cost of production, and efficiencies therein, are clearly also key factors for the evolution of a brand; when coupled with creative design, 'they can be a successful formula', adds Bosch, citing the advent of robots on the line.

Once thought to be too expensive and too difficult to handle by food production and packaging facilities, according to Bosch, 'robots have come down significantly in price'. The german firm continues that 'a robot's enhanced flexibility adds to its process and production speeds.'
Source: foodproductiondaily

154 jobs lost as Trader Media Group closes Wiltshire site

Trader Media Group (TMG) has closed its Wiltshire print plant, resulting in 154 job losses.

The group announced plans to shut the site, which produces Auto Trader magazine, at the beginning of the year, citing an increased use of its online property, coupled with a slip in circulation.

A 90-day period of consultation was entered into with staff and management, but of the 164 positions at the plant, only 10 staff have opted to relocate to the group's other sites.

The Wiltshire site will now be sold with kit, including manroland and Rockwell Goss presses, either sold off or transferred to the group's Apple Web plant.

Production of Auto Trader magazine will also be relocated to the group's other sites.

"The company is committed to retaining people where possible and will examine relocation options elsewhere within the group," the company said in a statement in January.

It continued: "Trader Media Group regrets any potential job losses, but the re-structure is necessary given the shift in media consumption by motorists and increased competition."

The Wiltshire plant was founded in 1953 and moved to its current location in 1995. Three years later it was bought by Hurst Media, which became TMG in 2000.

TMG also owns the Apple Web, Warrington, and Acorn Web, Normanton, web offset print plants.
Source: printweek

Informa and UBM in talks to create possible £3bn 'supergroup'

Informa and rival United Business Media (UBM) are in talks to merge in a deal that would create a £3bn business publishing "supergroup".

In a statement, Informa confirmed it had "received an approach" about a merger from UBM and said it was considering the proposal.

However it added "there can be no certainty that any transaction will take place," and gave no timeframe on a further announcement.

UBM also confirmed early talks were underway on the "commercial merits of an all-share merger". Merrill Lynch International is acting for the company.

Informa publishes journals and books for academic, scientific and professional groups. It has more than 150 offices in upwards of 40 countries, staffed by 7,500 people.

UBM's 5,000 staff in more than 30 countries focuses on professional and commercial sectors. Last year, it made more than £800m in revenue with an operating profit of £176m.

Joining forces would see the emergence of a supergroup valued at around £3bn, reports have claimed. Informa is worth around £1.6bn and UBM about £1.5bn.

Informa stands for Innovative, Non-bureaucratic, For profit, Open, Rewarding, Market-focused, About quality.
Source: printweek

Wyndeham signs five-year plate deal with Agfa

Wyndeham will begin a massive pre-press overhaul at four of its sites next month, after buying seven Avalon VLF platesetters and signing a five-year plate-supply deal with Agfa.

Paul Utting, chief executive of Wyndeham, visited Drupa on Monday where he signed for the CTP upgrade, which included the platesetters, plates and Agfa's Apogee workflow.

Utting said: "After an extensive review of various options, we are delighted to be continuing our long-standing working relationship with Agfa.

"Overall, the package of Avalon Platesetters, Apogee workflow and continuous technical support won Agfa the business."

Web offset sites Heron and Impact will get two Avalons each, as will sheetfed-site Grange. All three will be running Agfa's new long-run, no-bake Energy Elite plate.

Installation of the new pre-press setup is due to begin in July and is expected to run until the end of the summer.

Agfa UK managing director Laurence Roberts said the new contract had been very competitive but ultimately rewarding.

"This is a significant vote of confidence for Agfa. The contract incorporates a wide range of our pre-press technologies, including new developments on show for the first time here at Drupa," he said.
Source: printweek

Packaging industry wary over bio-materials

More than half of respondents to a Packaging News survey would consider using compostable or biodegradable materials made from genetically modified sources, although 75% said industry should not adopt products that divert from food supplies.

The majority (79%) recognised a need for the packaging industry to reduce its dependence on oil-based products, but 80% said that compostable packaging materials had been introduced with little thought for their impact on existing infrastructure or potential to confuse consumers.

Less than half thought the benefits of compostable packaging outweighed any potential disadvantages.

Of the 130-plus respondents, 89% said consumers did not understand sustainable packaging materials, although this in itself should not stop their introduction, but 60% urged retailers and brands to wait until the industrial composting infrastructure had improved before using compostable packaging.

This echoed the Local Authority Recycling Advisory Committee (Larac), which last month called for retailers to clarify to consumers how to deal with sustainable materials.

Larac chairman Lee Marshall said: "The idea of biodegradable packaging is good, but the infrastructure is not yet there to fully realise its potential."

Bath and North East Somerset Council has banned householders from putting biodegradeable plastic packs in garden waste collections because it cannot deal with it.

Asda packaging buyer Shane Monkman said the multiple was not using biodegradable or compostable materials due to performance limitations, the presence of GM crops and the possibility of contaminating waste streams.

The survey respondents had examined the full range of materials, including polylactic acid (71%), materials based on cornstarch and fatty acids, for a variety of applications such as fresh produce (45%), pharmaceuticals and detergents.



Main findings:

73% of respondents highlighted cost as a main barrier to entry, followed by availability of material (49%) and consumer confusion (47%)

72% said local authorities should take responsibility for educating consumers, 65% said it lay with retailers, and 59% with the packaging industry

53% had looked at sustainable materials for packaging films; 39% bags; 33% thermoformed or injection-moulded packaging
Source: packagingnews

Symphony reveals reduced operating loss

Symphony Environmental Technologies, the producer of degradable plastics, reduced its operating loss by 17% to £1.9m in the year to 31 December 2007, showing a "much better" performance in the second half.

The Hertfordshire-based company also reported a 9.5% drop in sales to £3.8m.

However, sales of the firm's d2w oxo-degradable additive, which can make plastic degrade completely within six months, increased by 36% to £3m.

Since the year end, the firm said it had doubled the number of international d2w distributors to 30.

Last month Symphony signed a 15-year agreement with Fujairah Plastics Group in the United Arab Emirates, the carrier bag producer, and with Albany Bakeries in South Africa for its d2w oxo-degradable technology.

Symphony said in the past 12 months more than five billion plastic products had been made with d2w additives.

The company's share price rose by 2.3% to 4.63p following today's announcement.

Source: packagingnews

Borcombe SP boosts capacity with 12-colour perfector

Borcombe SP, the commercial printer owned by Media Print and Investments (MPI), has completed installation of a new long perfector and made clear its intentions to improve its environmental credentials.

The Romsey-based company has this week completed the installation and commissioning of a new Heidelberg 12 Colour Speedmaster with Cutstar.

A raft of finishing kit, including a Wohlenberg PUR binding line and Sitma mailing line, has also been commissioned.

Simon Hunt, the recently-appointed managing director of the £15m-turnover firm, has overseen the installation and the recruitment of 20 new staff to run the kit.

MPI chief executive Mike Dolan said: "With the demise of Butler and Tanner (B&T), Borcombe now represents around 50% of the overall business. The company has been something of a flagship for us as it was the first company we acquired two years ago."

The company has now introduced a night shift throughout the finishing department to handle the additional workload.

It is also currently testing and developing a new methodology standard to measure green house gas emissions – PAS2050.

The BPIF has been working closely with Borcombe and the BSI2 to develop the methodology, which is expected to be ratified as a standard in June or July.

Dolan added the Friary Press' move from B&T into the Goodman Baylis premises at Worcester was half complete.

"We lost some business because of the situation with Friary Press at Butler and Tanner; we let a few customers down. We are now making a serious effort to win that back… I hope that we succeed in Worcester where we were unable to in Frome."

Source: printweek

HP Indigo signs 'biggest-ever' press sale at Drupa

HP Indigo has scored its biggest deal yet with the signing of a multi-million dollar deal to supply 36 presses to US firm Consolidated Graphics.

Alon Bar-Shany, vice president of HP's Indigo division said the agreement, announced yesterday at Drupa, was likely to be ''the largest deal we have ever announced''.

Consolidated Graphics, which has facilities across the US, Canada and one in the Czech Republic, will use the presses to output a range of print, specifically products for its photobook printing operation.

The deal also includes three HP SmartStream Ultra Print Servers, which will help drive the company's Indigo setup.

Seven of the presses are HP's new Indigo 7000 which, along with the other new machines, will join the company's existing fleet of 19 Indigo presses.

Installation of the presses is scheduled to begin in June, starting with the company's Prague, Czech Republic, and Medford, Oregon facilities.

Joe Davis, chairman and chief executive of Consolidated Graphics, said: "We are proud of our growing relationship with HP and the ability to leverage their technology leadership as a complement to our strategic focus in this high growth portion of our business."

Bar-Shany said: ''This is not just a press deal but a technology one. Consolidated Graphics has the confidence in digital and the confidence in HP."

He added: "The unmatched quality of our technology allows companies like Consolidated Graphics to pursue even greater profitable growth by meeting the exploding demand for photo-quality digital production printing and variable data print campaigns."
Source: printweek

Heidelberg seals kit deals with UK printers

Heidelberg has announced two equipment deals with UK printers as Drupa 2008 gets into full swing.

Winchester-based Colourworld has become early an adopter of the printing giant's Speedmaster XL 75, by ordering a five-colour B2 press.

The new model will be used to produce magazines, brochures and promotional material. It will give the company 50% greater productivity over the 12-year-old SM 74 it replaces.

Chris Tyler-Smith, managing director of Colourworld, said: "This is our first Drupa and it's jaw dropping to hear and see so many machines in one place. It's a real buzz. We are delighted to see the XL 75 in action.

"The press will generate profit for us because it will reduce our spend on overtime and will print on a larger sheet size."

The press will be delivered in the second week of June.

Elsewhere, Stephens and George Group has installed an XL 105 long perfector. It is 100% more efficient than its nine-year-old SM 102-8P and is already running.

The press achieved 3.6m sheets in the first month of installation before Heidelberg's Inpress Control technology was added.

Group director Andrew Jones said: "I'm here at Drupa at the moment knowing we have already made a momentous investment. Our biggest challenge is cultural not technological. With this, press operators have to set it up and then it runs itself."

Source: printweek

Local authorities increase plastic recycling

Kerbside collections continue to play a key role in increasing plastic recycling with 81% of plastic bottles being collected through this method in 2007, a 77% increase on 2006, according to the Annual Local Authorities Plastics Collection Survey 2008.

The research, which received responses from 380 local authorities, revealed that the weight of plastic bottles being collected for recycling across the UK increased by 68% to nearly 182,000 tonnes in 2007, equivalent to 4.5 billion plastic bottles a year.

Local authority bring schemes accounted for approximately 34,482 tonnes of plastic bottles being collected, an increase of 36%. Since 2006, the number of bring sites in the UK has increased by 22% to 7,750. This is expected to increase by 18% to 9,142 sites by 2009.

The South West of England showed the highest levels of plastic bottle recycling with 21,612 tonnes. London, Eastern and North West were the next highest achievers.

The North East and West Midlands showed the lowest levels of recycling at 3,436 tonnes and 4,982 tonnes respectively.

The majority of plastic bottles collected between July and December 2007 were made from HDPE and PET, split 48% HDPE and 52% PET, but 23% could be classified as contamination because they included aluminium and steel cans, other plastics and "unusable waste" such as labels and caps.

The research, funded by Wrap and undertaken by Valpak in partnership with Recoup, also found that 23% of local authorities offered some form of collection for other household plastics, such as carrier bags and food tubs and trays.

Quantities collected ranged from one to 2,562 tonnes a year, with a total reported quantity of 10,857 tonnes.

Wrap plastics technology manager Paul Davidson, while congratulating local authorities on increasing their recycling schemes, said "additional work" was needed to support local authorities who were "involved in or keen to develop their mixed plastics collection".
Source: packagingnews

Reach enforcement consultation begins

The government has opened a 12-week consultation on how the Registration, Evaluation, Authorisation and Restriction of Chemicals (Reach) legislation will be enforced.

The government said it wanted to ensure that "compliance and enforcement burdens" on business and the regulators were "no greater" than strictly necessary.

Reach came into force on 1 June 2007 and will be phased in over 11 years to 2018. It will make those who place chemicals on the market responsible for understanding and managing the risks associated with their use.

Reach also aims to enhance innovation and the competitiveness of the EU chemicals industry.

Some 30,000 chemicals, such as acids, metals, solvents, surfactants and glues, must be pre-registered with the European Chemicals Agency (ECHA) in Helsinki from 1 June to 1 December 2008, to comply with Reach.

Reach requires that all chemicals of one tonne or more, which have been manufactured in or imported into the EU, are registered with the ECHA.

Pre-registration will allow companies to submit their complete registration dossiers by the deadlines of 2010, 2013 or 2018.

The consultation closes on 25 August and the Department for Environment, Food and Rural Affairs (Defra) will consider the responses before deciding whether any amendments need to be made to the regulations.

Under Article 126 of Reach, the government must inform the European Commission of its enforcement provisions by 1 December.
Source: packagingnews

Dutch investment group bids for Quebecor World Europe and RSDB

A Dutch investment firm has made offers for European print giants Quebecor World Europe and RSDB hoping to take advantage of the consolidating market.

Quebecor World is to sell its European arm to Hombergh/De Pundert (HHBV) Group in a deal valued at €133m (£104m).

RSDB, parent of Roto Smeets, has announced HHBV has offered to buy out its shares at €40 each, valuing the company at €131.6m, including the 2007 dividend.

Speaking on behalf of HHBV, RSDB chief executive John Caris told PrintWeek: " It's the strategy I have talked about for a long time: to create a print platform with a good footprint. We want to have the lead in that. This is the first step."

Hendrik van den Hombergh, founder and partner of HHBV, said: "We are very excited about this opportunity and we are looking forward to working with local management to make this transaction a success for our employees and our customers. This transaction is a first and major step in our goal of building a Pan-European printing platform."

Caris said that even with these acquisitions, there are plans to grow the group further.

"It's the goal of us to create a bigger group," he said, adding that plans included further strengthening its grip in Western Europe.

While at least the management team at RSDB will remain in place, ultimately the deals will result in some redundancies and closures, although details have not been finalised.

"But it's 100% sure," said Caris. "Consolidation in the industry means plants will disappear in the market. It's necessary to make the industry more healthy.

"The attraction of the commercial print market to [HHBV] is that it is in consolidation. These are entrepreneurs - they already have a background in investing in consolidating industries such as steel, and concrete. It's not a growing industry."

Caris was also confident that the deal wouldn't create any problems with the competition authorities.

"We don't see any competition issue at all with this. The acquisition of Quebecor World for us is not an item," he said.

Indeed, last December the European Commission cleared a bid by RSDB for Quebecor World Europe (QWE), saying it "would not significantly impede effective competition."

Caris was also positive about the prospects for the HHBV deal meeting shareholder approval, citing earlier announcements that the company had already gained a majority in favour.

"The vote is yet to be made, but the support is there," he said. "It's different from December. I'm confident that this will go through."

The reference to December marked the shareholder revolt that stymied RSDB's $341m (£173m) bid for QWE in November 2007. The ill-fated offer led to the collapse of QWE's UK plant in Corby.

Unlike HHBV's offer for RSDB, the QWE deal is not subject to approval from shareholders in either party and will result in a €46.6m net payment to Quebecor World, which is currently in bankruptcy protection, some of which will be returned to backers of its credit facility.

HHBV will also put aside €46.5m in an escrow account to cover Quebecor World Europe operational costs to be released when the deal closes at the end of June 2008 and will take on €65m of net debt and a €21.5m five-year note from Quebecor World that pays back interest at 7% annually.

Quebecor World president and chief executive Jacques Mallette said: "The sale of our European operations is an important step in our restructuring activities that we believe should enable us to exit creditor protection in North America as a stronger player in our industry."

Source: printweek

Xerox lifts lid on 'next-generation' gel ink technology

Xerox has revealed the details of a next-generation inkjet technology that it has in development.

However, it also urged printers to take a considered approach to rival inkjet products launched at the show.

"Many announcements are built on aspiration, for what people want to have, not what they have today," president of production systems Quincy Allen said.

Allen revealed a raft of developments to the firm's range of presses, workflow and business development tools – including a new flagship colour machine, the iGen4, and a new entry-level machine, the Xerox 700 Digital Color Press.

However, Steve Hooper, vice president of Xerox Research Center Webster, spoke about details of the firm's inkjet developments.

"The challenge for inkjet is to solve a paradox," Hooper said. "We took the challenge to answer the paradox of needing a thin ink to pass through the nozzles of the printhead and to be viscous on contact with paper."

Xerox's solution is a UV-cured gel ink based on the solid ink used in its office products.

The ink is heated to reduce its viscosity when in the printhead and then cools to become a gel by the time it hits the substrate. Finally, for added robustness, it is UV-cured. The ink works on almost any substrate. Xerox demonstrated examples on paper, plastic and metal.

The firm has developed its own printhead technology and in its labs has a 508mm-wide four-colour web press running at 133m per minute. Hooper added he believes the process can be scaled to wider widths, higher speeds and for more colours.

Xerox has not set a date to commercialise gel ink, but Allen said: "The invention has been done; we're working on robustness and latitude".

Chairman Anne Mulcahy added that the firm's solid ink technology might appear in production machines.

"We're taking solid ink up-market in the more near-term than gel ink," she said.
Source: printweek

Print deaths prompt HSE safety alert

The death of two print operators, both crushed by machinery, has prompted health watchdogs to target print employers with a safety alert.

The Health and Safety Executive (HSE) issued the warning after the most recent accident, in Wakefield, Yorkshire, where William Aveyard, 49, died after becoming trapped in machinery at Bezier's site.

Bezier said: "We express great sorrow at the loss of our colleague and we are currently working with the authorities to establish the cause of the accident."

A previous tragedy, 13 months ago at Terry Smith Group, West Drayton, London, mirrored the second in that during both accidents, hand-fed platen machines were in dwell mode – often used for replacing blanks.

"The power to the platen was not isolated before the intervention, and the safety devices did not prevent the platens closing," said HSE.

Hand-fed platens caused many serious incidents, it said. Bigger machines often led users to lean further into the platen area or climb onto the platen bed to intervene.

Bosses must use "robust safe intervention procedures" and consider when access was needed, how to minimise it and what to do when access was unavoidable.

Suitable procedures could include isolation and lock-off of the power supply. Employers must also ensure safe-intervention procedures were fully understood.

HSE said the two accidents were being investigated and refused to give further details. It has written to the BPIF.

Liz Cheetham, the BPIF's health, safety and environmental advisor, called on firms to immediately review risk assessments.

"They must ensure they have systems in place to cover access when making ready or following misfeeds."

Simon Lunken, BPIF head of health and safety, said: "All employers say 'it will never happen to us', but it does. It's all very well having procedures in place.

"But employers have a duty of care, and need assurances their staff are following those safety procedures."
Source: printweek

KBA sees green with sheetfed press offerings

KBA is highlighting its green credentials at Drupa and demonstrating new technology for its presses, which it said is "crucial for the survival" of print.

Sheetfed presses dominate the German manufacturer's stand with the newly launched Rapida 75 and 105 among the products being demonstrated.

KBA has also brought along ultra-compact versions of its Cortina and Commander CT newspaper presses.

Both those machines form part of KBA's green offering which includes sheetfed presses, such as the waterless Genius 52UV and digital offset press, the KBA 74 Karat +C.

"Technological advances are crucial for the survival of the print media industry," KBA president and chief executive Albrecht Bolza-Schünemann said.

"We must regain our self-confidence and redefine our role, as well as actively addressing new issues such as press ecology."

Marketing director Klaus Schmidt added the environment is one of the biggest issues in the industry at the moment: "The customers of our company expect environmentally friendly products. This pushes us to make low carbon footprint machines."

Schmidt also said that inkjet, one of the big talking points of the show, is not currently ready to challenge offset; he believed both technologies would work alongside each other.

He added: "Inkjet has the best potential for the future, but at the moment there will be a coalition between the two processes. That is good for the industry."
Source: printweek

Tanning line saturated in 360° color

Bottles' full-body PETG shrink-sleeve labels provide eye appeal.

Full-body shrink-sleeve labels create stunning swirls of color for a new line of Body Drench tanning products from American Intl. Industries, Los Angeles.

Created to tan the body, legs, and face via five crème formulations, N’Dulge is offered in 13.5-oz (body, legs) and 4-oz (face) polyvinyl chloride bottle designs that offer a bell-shaped body and long, slender neck.

To meet the challenges of manufacturing and applying a full-body label to a bottle with such varying dimensions, American Intl. Industries selected converter Ameri-Seal (www.ameri-seal.com). Ameri-Seal specified PETG film for the application, due to its high shrink ratio of 80%.

Each sleeve is gravure-printed in five colors, with label graphics that depict dramatic spirals of color—in gold, blue, green, red, and purple, depending on the variety—against a deep, black background. Sleeves are directly applied to the bottles at Ameri-Seal’s Contract Sleeving Div. in Chatsworth, CA.

Source: packworld

Dual-head partition inserter

A-B-C’s Model 70 Dual-Head Partition Inserter opens and inserts up to 50 partitions per minute, while cycling at a conservative 25 cycles per minute, providing high speed performance while minimizing machine operating expense and wear.

The Model 70 runs both chipboard and corrugated partitions with 6, 12, 15, 18, 24 and 48 cells. It runs Air cell 6-packs, ‘A’ cell 6-packs, and all standard locking partitions including ‘Q’ lock, center locking, and top and bottom lock. The partitioner’s servo-operated insertion heads ensure precise partition selection from the magazine and placement into the case. Tools-free, repeatable changeover is performed with simple hand cranks. Most size adjustments are completed with no change parts, and no change parts are required to switch from right hand to left hand partitions. The machine’s touchscreen operator station uses “intelligent control” to make speed and motor function settings automatic, simply by choosing from pre-set options. The partitioner may be equipped with locking casters, quick disconnect air and electrical connections for easy portability in multi-line operation. For lower speeds (to 35 cpm), a single head model is offered.

Source: packworld

Spicy chips receive fiery graphics

Salem, OR-based Kettle Foods, a producer of all-natural snack foods, is rolling out Kettle brand Death Valley Chipotle Potato Chips nation-wide during the Summer 2008. The polyethylene bag film, reverse-flexo-printed in five colors, is supplied by Printpack, Inc. (http://www.printpack.com/).

The bag graphics are created by Michael Osborne Design (www.modsf.com). Kettle Foods vp of marketing Michelle Peterman believes that the lively, bright orange flame graphics for the chip bags will help ignite sales. Average retail price of the chips is $2.09 to $3.29, depending on bag size (5 oz or 9 oz) and sales venue. Kettle Foods will donate one dollar for every Facebook internet user who downloads a special Death Valley temperature gauge that monitors the desert heat.In launching the new smoky-hot chip flavor, Kettle Foods is partnering with the Death Valley Natural History Association (DVNHA) to support the association's "Death Valley ROCKS" program and its mission of bringing city kids to the park to experience the natural world.DVNHA executive director David Blacker says, "This is a first-of-its-kind partnership for us. What we love about Kettle Foods' support is that it helps us raise awareness and support for our national park and do it in a fun, tasty way."

Source: packworld