SPARTANBURG, S.C. (Sept. 2, 1:25 p.m. ET) — Exopack Holding Corp. is the process of completing a year-long, $13 million investment in new equipment for its Spartanburg, S.C., and Tomah, Wis. plants.
The centerpiece of the Spartanburg renovation is a new Starlinger woven polypropylene converting cell.
According to a Sept. 1 news release from Spartanburg-based Exopack, this equipment will allow it to manufacture and distribute domestically manufactured Rave WPP woven poly PP sewn and Slider Zipper bags for use in a variety of end-use markets such as pet food, lawn and garden, seed and other agricultural products.
Exopack also invested in an expansion to Spartanburg's existing Rave composite bag manufacturing operations, as well as its printing capabilities. The bag line is being offered with a Slider Zipper easy-open/reclosure feature. A new Comexi 10-color, gearless quick change printing press will be installed by October, according to the release.
At the Tomah plant, investments have been made to enhance the company's Rave and Enduro-brand plastic pre-made bag making capabilities.
A Totani SG8 flat bottom Quad Seal machine, a B&B PET/PE Quad PTC machine and a B&B PE Quad and Edge Seal machine will all be operational by October, to help Exopack serve pet food and lawn and garden customers, according to the release.
“Our recent investments will allow for the development of new sustainable package formats and manufacturing processes, support customer marketing requirements, and provide a production platform capable of supporting future technological innovations,” Scott Ross, vice president and general manager for Exopack's pet food and specialty products business unit, said in the release.
Exopack is owned by Sun Capital Partners. It operates 18 plants employing 2,400 in the United States, Canada and the United Kingdom.
The firm is in negotiations to sell a performance packaging plant in Longview, Texas, which closed June 30. The Longview plant is in the process of being acquired by specialty films maker Dallas Plastics Corp. of Mesquite, Texas,
For the second quarter of 2011, Exopack reported losses of $15.3 million on sales of $219.8 million, compared to losses of $2 million on sales of $179.6 million for the year-ago period.
Most of the second quarter losses were due to paying down debt under a massive recapitalization plan launched in the spring, Exopack spokesman Chris Swalm said Sept. 1.
For full-year 2010, Exopack reported losses of $2 million on sales of $785 million, compared to losses of $5.9 million on sales of $673.7 million in 2009.