Nearly two years after announcing plans to enter the stretch film industry, Armin Plastics has followed through by opening a plant in Pryor, Okla.
``This facility is utilizing technology to produce high-performance, low-cost films in an extremely competitive environment,'' Armin Stretch Films business manager John Buchan said by telephone.
The 115,000-square-foot facility was completed early this year and production began in April.
Last year, the firm said it would invest $15 million to bring on at least 75 million pounds of stretch film capacity. Buchan could not confirm those numbers.
For now, the plant operates two cast film lines with room for four more, ``depending on how well we grow,'' Buchan said. The highly automated plant runs 24 hours a day, seven days a week.
Primary end markets for the five-layer cast linear low density polyethylene film include pallet wrap and bundling films as well as other specialty applications.
One such application, according to a news release from Midamerica Industrial Park, where Armin's Pryor plant is located, may be a metallocene-based film used to wrap new cars being transported from the factory to the dealer. But Buchan would not say whether the firm is targeting that market.
The stretch film will be sold through industrial packaging distributors. Although Armin has the capability to use recycled material, it does not have any plans in the short term to do so, he said.
Armin expects to invest $8 million in capital improvements, and add 65 employees, after three years, according to a report in the Tulsa World.
The Jersey City, N.J.-based firm also operates an industrial film plant in the same park, which offers Armin low utility rates, an excellent labor market and access to major highways, Buchan said.
Armin is not the only firm to recognize Oklahoma's business benefits. Atlantis Plastics Inc. of Atlanta runs two PE stretch film plants in Tulsa. Last year, Sigma Stretch Film also took up residence in a former Atlantis plant in Tulsa, with 35 million-pound-per-year capacity.
Armin Plastics is part of Tyco International Ltd.'s A&E Products group. Stephen McDonough is A&E president; he replaced the now-retired Armin Kaufman.
Tyco, based in Exeter, N.H., reported estimated film and sheet sales of $650 million for the year ended June 30, 1997, placing the company sixth in Plastics News' ranking of North American film and sheet manufacturers.