Phoenix Closures Inc. is expanding operations in Tennessee by more than 71,000 square feet, a multimillion-dollar project that provides additional space for a variety of operations.
The Newport location processes the largest volume of plastic for the company, which has four locations.
“This allows us to streamline materials flow and add capacity for production, shipping and warehousing,” Co-President H. Giles Miller said in a statement. “We always want to be ahead of what it takes to accommodate our customers.”
Expanding the Tennessee site from 206,068 to 277,607 square feet provides additional room for 14 new pieces of equipment. And the company is creating 18 new positions.
Ed Buck, vice president of manufacturing for Phoenix Closures, said the expansion “eliminates the need for offsite warehousing ensuring on time delivery,” in a short email interview.
Growth in both new and existing customers, he said, brought about the need for more room. The Newport facility provides closures for nuts, peanut butter, mayonnaise and coffee.
The new machinery includes “injection molding, closure lining, automation, and auxiliary equipment,” Buck indicated.
Along with the Newport site, the company also has locations are in Naperville, Ill., Greencastle, Ind., and Davenport, Iowa.
“The cornerstone of Phoenix Closures is a corporate culture based on continuous improvement, comprehensive service and technical excellence throughout the total packaging chain, from concept development to recycling,” the Naperville-based company said in a statement.
Phoenix Closures dates to 1890 when John S. Giles founded Safe Glass Co. in Bowling Green, Ohio. Development of a new closure system to replace cork stoppers in the company's handmade glass jars brought the company into the closures manufacturing business. It wasn't until 1939 that the company starting compression molding of plastic closures. But production was limited due to high resin costs and restrictions associated with World War II.
The company, in 1959, purchased its first injection molding machine and changed its name to Phoenix Closures in 1966 “to reflect its new commitment to thermoplastics,” according to the firm's website.
Phoenix Closures, which says it is in a dynamic growth phase, is in its sixth generation of management and ownership.