North American Plastics Corp. is expanding its facility and trash-bag-making capacity with a seven month, $14 million project. Phase one will be complete Oct. 1, while phase two will be complete within the first month of 1997. The Aurora, Ill.-based company will add over 36 million pounds of trash-bag-making ca-pacity to the current 40 million pounds.
The firm will add 56 employees and six extrusion lines during phase one to increase capacity for linear low-density polyethylene twist tie bags. North American also will add two lines dedicated to drawstring bags. To accommodate the new lines, the company is building a 25,000-square-foot addition.
``We are sparing no expense to install the latest in extrusion and downstream equipment technology. This is consistent with our efforts to be the lowest-cost producer possible,'' Vice Chairman Harold Engh III said in a news release.
Early next year, the company will install six more extrusion lines for LLDPE twist tie bags and add 50 more employees.
The firm has a 120,000-square-foot distribution center, also in Aurora. It will also continue its joint venture with Inteplast Corp. in Lolita, Texas. Inteplast makes high density PE garbage bags for North American.
North American is one of the largest bag manufacturers in the Midwest, according to Gary Kerlagon, president and chief executive officer.
The company employs 265 and has 14 lines for drawstring, folded and separated and individually separated bags on a roll. The company supplies value brand and private-label trash bags including Iron-Hold and Burly brands.
The company tied for 59th place in Plastics News' 1995 survey of North American film and sheet manufacturers, with estimated sales of $75 million.