Illinois thermoformer TEQ invests $6 million in upgrades and infrastructure

By Roger Renstrom
Correspondent

Published: May 27, 2013 10:09 am ET
Updated: May 27, 2013 10:12 am ET

Related to this story

Topics Packaging Sustainability Thermoforming
Companies & Associations

Thermoform Engineered Quality LLC in Huntley, Ill., has invested more than $6 million for new equipment, another clean room and an eco-roof.

President Randall Loga said the upgrades in machinery and infrastructure will enable the custom thermoformer to better serve medical device and packaging customers, and also keep pace with changes in the industry’s quality and safety requirements.

TEQ has ordered four custom-designed all-electric servo motor-driven Speedformer-brand pressure formers — a KMD85 and three KMD78s — from Kiefel Technologies Inc. of Hampton, N.H., a business unit of Brückner Technology Holding GmbH.

TEQ expects to begin operating the automated machines with advanced process and material control features by late July. TEQ is selling three older Kiefel formers and a Sencorp.

Huntair Inc. of Tualatin, Ore., has installed two Class 8 Servicor-brand modular clean rooms in Huntley. TEQ’s recently opened second clean room occupies 2,000 square feet and has two pressure forming lines. Operations began in 2010 in a 3,000-square-foot clean room that houses four lines. Huntair is a subsidiary of the CES Group LLC unit of Nortek Inc.

In an energy-saving move completed in August, TEQ installed a highly reflective white Uniflex-brand elastomeric roof coating from the consumer group of Cleveland-based Sherwin-Williams Co. through its Lake in the Hills, Ill., store. “We believe we are seeing 15 percent savings in cooling costs,” said Todd McDonald, TEQ director of sales and marketing.

For a program generating major growth, TEQ supplies an unidentified U.S. company with disposable probe covers of specially formulated polypropylene for the ThermoScan-brand infrared ear thermometer.

Over two years, TEQ has thermoformed more than 2 billion of the covers with zero defects in the field, McDonald said.

A five-year contract was signed in August 2009 with TEQ projecting program sales of $40 million. The effort involved relocating production capability to Huntley from Carlow, Ireland, and has contributed to TEQ’s major sales growth.

TEQ flexibly collaborates with customers.

One venture utilizes TEQ’s pressure forming expertise, consulting talent at Spartan Design Group LLC of Tonka Bay, Minn., the lid production capability of Technipaq Inc. of Crystal Lake, Ill., and heat-seals machinery from Belco Packaging Systems Inc. of Monrovia, Calif.

“We work to provide total solutions for sterile barrier systems,” McDonald said. “We have been working together for about a year, and we have quoted” numerous jobs.

In addition, TEQ wants to help medical processors with low-volume requirements. “We will try to come out with a stock-size medical-trade program that we can customize with inserts,” McDonald said. “That would allow us to operate with lower tooling costs, smaller minimum quantities and increased lead times.”

McDonald plans to expand on the stock concept in the TEQ booth during the June 18-19 UBM Canon trade show in Philadelphia.

TEQ competitors include Prent Corp. of Janesville, Wis.; the Perfecseal division of Neenah, Wis.-based Bemis Co. Inc.; the Nelipak business of Elmwood Park, N.J.-based Sealed Air Corp.; and Computer Designs Inc. of Whitehall, Pa.

TEQ employs about 100, operates 11 pressure forming lines, owns and occupies 85,000 square feet in two Huntley buildings and reported sales of $36.7 million for the fiscal year ended Sept. 30. That result was up from $30.1 million for the September 2011 FY and $17.5 million for the September 2010 FY.

“We have had a lot of growth,” McDonald said. “This year will be flat (in sales). We are using the time to recover and invest in the business.”

TEQ adopted its current limited-liability-company identity in June 2011 and previously operated as Tek Packaging LLC.

TEQ is a subsidiary of St. Louis-based Esco Technology Inc. and part of Esco’s filtration and fluid flow business segment. In 1997, Esco acquired the assets and stock of TEQ predecessor Filtertek Inc. and related entities including Tek Packaging from Schawk Inc. for about $92 million.


Comments

Illinois thermoformer TEQ invests $6 million in upgrades and infrastructure

By Roger Renstrom
Correspondent

Published: May 27, 2013 10:09 am ET
Updated: May 27, 2013 10:12 am ET

Post Your Comments


Back to story


More stories

Image

Bemis Co. reports sales growth

April 24, 2015 9:57 am ET

Bemis Co. Inc., in what the company is describing as a strong quarter, saw consistent earnings from continuing operations.    More

Image

KHS cuts packaging with direct printing on PET bottles, adhesive multi-packs

April 23, 2015 1:39 pm ET

KHS GmbH has been pouring a lot of time into solving issues related to direct printing on PET bottles, and after eight years of work, everyone...    More

Image

MeadWestvaco joins the Recycling Partnership

April 23, 2015 11:19 am ET

MeadWestvaco Corp., a global packaging company with some operations in plastics, is joining the Recycling Partnership.    More

Image

Sidel, BMS reach agreement on spindle patent case

April 20, 2015 1:24 pm ET

Sidel Group and Blow Mold Services LLC have reached an agreement in Sidel's patent infringement lawsuit against BMS involving the spindle chain on a...    More

Image

Adidas phasing out plastic bag use

April 20, 2015 11:50 am ET

Sporting goods company Adidas AG is phasing out the use of plastic bags in its own retail stores as part of a larger effort raise awareness about ocea...    More

Market Reports

Plastics Recycling Trends in North America

This report is a review and analysis of the North American Plastics Recycling Industry, including key trends and statistics based on 2013 performance. We examine market environment factors, regulatory issues, industry challenges, key drivers and emerging trends in post-consumer and post-industrial recycling.

Learn more

Injection Molding Market Analysis & Processor Rankings

Plastics News BUNDLED package contains our in-depth Market Analysis of the Injection Molding segment. You will gain keen insight on current trends and our economic outlook.

As a BONUS this includes PN's updated 2014 database of North American Injection Molders RANKED by sales volume. Sort, merge, mail & prospect by end market, materials processed, region, # of plants and more.

Learn more

Plastics Caps & Closures Market Report

The annual recap of top trends and future outlook for the plastics caps & closures market features interviews with industry thought leaders and Bill Wood’s economic forecast of trends in growing end markets. You will also gain insight on trends in caps design, materials, machinery, molds & tooling and reviews of mergers & acquisitions.

Learn more

Upcoming Plastics News Events

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 15, 2015 - September 17, 2015Plastics Caps & Closures - September 2015

More Events