APC alters rules to open door for VI
WASHINGTON — The American Plastics Council has agreed to let the Vinyl Institute affiliate with it, but VI officials say they have not decided if they will do that.
A key sticking point had been whether VI resin companies that are not APC members would have to help pay for APC's $41.9 million core operation, including its roughly $20 million advertising campaign.
But the APC board of directors decided at its annual meeting June 2 to let VI affiliate and not require all VI resin companies to contribute to APC, said Gerry Finn, vice president of government and industry relations at Nova Chemicals Corp. Nova President Jeff Lipton is chairman of APC.
VI members had approached APC about affiliating, Finn said.
Tim Burns, VI executive director, said VI did not approach APC, but said he was not sure if member companies had. Burns said the group has not made any decisions about whether it will leave the Washington-based Society of the Plastics Industry Inc.
APC also decided to form a new group to deal with polycarbonate issues, including recent attacks on the safety of baby bottles. Members of the new group will include Dow Chemical Co., Bayer Corp. and GE Plastics.
APC also moved ahead with expanding its mission to handle Food and Drug Administration work, transportation and resin statistics, Finn said.
SPM to close Calgary molding plant
YORKTOWN HEIGHTS, N.Y. — SPM Inc. plans to close its Calgary, Alberta, injection molding plant in 1999's fourth quarter because of a geographical market shift for its plastic products.
The operations will be transferred to an SPM plant in Kirkland, Quebec, and other North American locations of Dynacast/SPM, according to a June 3 news release from Dynacast Inc. of Yorktown Heights.
SPM Calgary began operations in September 1994 in a new 78,000-square-foot facility, principally making telephone parts for Northern Telecom Ltd.'s Calgary site. Currently, the SPM plant employs 130, operates 22 presses with clamping forces to 1,000 tons, and molds plastic parts for customers in the telecommunications, medical and electronics industries. At one time, the facility had 28 presses.
Various customers are moving their molding and assembly requirements out of Calgary, Keith Thompson, Dynacast/SPM director of tooling and engineering, said in a June 4 telephone interview from Yorktown Heights. ``Northern Telecom has been in transition for some time.''
Dynacast/SPM operates 20 plants in North America. For plastics processing, that includes eight U.S. plants, one in Puerto Rico and two in Mexico in addition to the Canadian facilities.
Venture capital firm Cinven of London funded a $528 million management buyout of injection molder SPM and die caster Dynacast from Coats Viyella plc of London. The deal closed April 15.
Carlisle launches Mexican production
OKLAHOMA CITY—Carlisle Foodservice Products Inc. has added another injection molding plant to its litter of eight. The new plant, in Chihuahua, Mexico, started production April 1.
The Oklahoma City-based food-service container maker broke ground on the $6.1 million facility in October, said Scott Miller, a spokesman at Carlisle's Syracuse, N.Y., office. The company also spent $10 million on eight injection molding machines and various equipment for the 170,000-square-foot plant.
Carlisle manufactures 10,000 kinds of durable polypropylene and polyethylene food containers.
The company has ventured outside the United States once before to locate in Zevenaar, Netherlands. The move to Mexico was made to save on labor costs and be closer to current customers, Miller said.
Among the products to be manufactured there are fiberglass food trays, Miller said.
Products from Mexico might head to one of Carlisle's new distribution facilities in Charlotte, N.C., and Oklahoma City. Carlisle opened a 210,000-square-foot facility in Charlotte in December, and recently announced it will build a $7.5 million, 207,000-square-foot distribution center in Oklahoma City, Carlisle President David Shannon said in a telephone interview.
The newest distribution facility will be completed by the end of the year and employ about 25, he said.
Carlisle intends to expand on the West Coast within the next five years, Shannon added.