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Delivering Innovative (and Reusable) Solutions for the Food Industry. Corporate Overview. Headquarters - St. Louis, MO Privately-held Company Consolidated Sales over $300 Million U.S Sales Tripled since 2001 Ranked 8th Largest U.S. Thermoformer
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Delivering Innovative (and Reusable) Solutions for the Food Industry
Corporate Overview • Headquarters - St. Louis, MO • Privately-held Company • Consolidated Sales over $300 Million • U.S Sales Tripled since 2001 • Ranked 8th Largest U.S. Thermoformer • Largest Manufacturer of PP Takeout Food Containers • Award-Winning Designs • Four Sales Platforms: • Chain Restaurant: QSR, Fast Casual, Casual, Fine Dining, Catering • Retail: Supermarkets, Convenience Stores, Mass Merchandisers • Packer Processor (food packaged for retail sale) • Commercial Distribution-Broadliners, National, Re-D
First 50 years journey Founded in 1963 with a rich heritage of rapid growth, quality and financial stability. At a time when the U.S. thermoforming industry is undergoing dramatic consolidation and isolated bankruptcies, Anchor Packaging remains a successful, privately-held entity with a strong balance sheet. Acquired Mt. Vernon Plastics facility and assets Acquired Borden Chemical film operation in Argentina 2013 2012 Acquired Microlite division of Amoco Purchased Jonesboro, AR manufacturing/warehousing facility for future expansion Second Expansion Paragould, AR facility to accommodate growth 2008 Acquired Innovative Plastics 1998 Added thermoforming, extrusion & blown film Purchased BonFaire Division of Placon Expanded Paragould, AR facility to accommodate growth 1998 1994 1990 1989 1985 1978 1963 New film facility opens in Marmaduke, AR Anchor founded November 8th as a converter of plastic film Ground up construction of new plant in Paragould, AR Anchor Packaging Confidential Information
Our locations Corporate Headquarters Ballwin (St. Louis), MO Manufacturing Plant Paragould, AR Manufacturing Jonesboro, AR Manufacturing Plant Marmaduke, AR Manufacturing Plant San Juan, Argentina Distribution Center Paragould, AR
Operations Arkansas • Paragould – Extrusion/Forming ( 310,000 sq. ft.) • Jonesboro – Extrusion/Forming (424,000 sq. ft.) • Marmaduke – Blown Film ( 260,000 sq. ft.) • Paragould – Distribution Center ( 683,000 sq. ft.) San Juan, Argentina - Blown Film (130,000 sq. ft.)
Recent Investment In Our Business • Paragould plant expansion in 2008 • Significant investment for in-line extrusion/forming and technology • 60” PP in-line • 50” In-lines - 14; more than any other manufacturer (Additional In-line 2014) • 8 Off-line thermoformers; 4-50”, 3-40” • Extruder: side-by-side, multi-layer sheet for off-lines • Trim-in-place for precision flanges (Second Line Q1 2014) • 2 Printing lines • 10 Blown film lines - PVC • 2 Injection molding lines • 2 Lab thermoformers for samples and small production trials • Acquired Rock Castle, KY in 2012 and Jonesboro, AR in 2013 • Automated bagging/packing lines – 2014 Initiation
Why Arkansas? 1 hour to the Nation’s Distribution Hub – Memphis St. Louis: 271 miles Nashville: 274 miles Atlanta: 448 miles Dallas: 453 miles Chicago: 519 miles Houston: 577 miles • INTERMODAL SERVICES • 42 Truck Carriers • 17 with local terminals • 2 Class One Railroads
Core Competencies • Thermoforming Rigid Containers – Inline and Offline • Trim-in-Place in addition to Post Trimming • Extrusion – mono-layer and multiple structures • Materials: • Polypropylene (PP, MFPP) • PET, RPET • Flexible Blown Film – PVC • Custom Design Solutions • Stock Products – Over 450 available
Material Attributes • Polypropylene – PP / MFPP • Impact resistance • Heat Resistance, microwavable • High clarity, anti-fog • Weight reduction, mineral fillers • Seal-ability, venting options • Reusable – 3 R’s (Reduce – Reuse – Recycle) • Polyethylene Terephthalate – PET / RPET • Optical clarity • Best choice for cold applications • Rigidity, durability • Anti-fog • Recyclable and post-consumer recycle content • Polyvinyl Chloride – PVC Film • Cutter Box Film - Best cling properties in the Industry • Dri-Gard coating available for outside of box to extend shelf life • Stretch Film (meat, produce) and Shrink Film • Aluminum • Foil rolls and pop-up sheets
Quality • Product Specifications (Quality Docket, Drawing, Layout, Packaging, Palletizing) • Setup Release Process (verification/QA Lab conf./Inspection) • Operator and QA Audits (Lab & Line; Specs/Visual/GMP’s) • Zontec SPC Software and Training • Lab & Line • Operators, supervisors, auditors • Containment Protocols (Red Tag and Recall procedures) • Continuous Improvement • Kaizen activities, • Environmental initiatives (Energy cost avoidance/scrap reduction/reuse) • 5S-Lean manufacturing
Quality Certifications *Includes HAACP Plan for critical control points on product safety • ISO 9001:2008 (to 2015-03-29) • NSF* • Kosher • GFSI* (in process)
The Process Begins withthe Customer • Anchor’s Value Proposition: “Develop innovative packaging solutions that meet the needs of a new product or a solution that fulfills the unmet need of a market segment.” • Design to meet customer’s desired price point or less • Thorough testing at customer locations
Responding to OurCustomers’ Needs • 7 Engineers devoted to new designs and tooling to manufacture • Fastturnaround of images, renderings, 3D models, laser-created samples • 2 CNC machines with dedicated operators • 2 Additional design engineers in Asia • Work in tandem with U.S. engineers • Allows round-the-clock product development • In-house SLA/Rapid Prototyping • Dedicated Prototype Production Equipment/ 4 Full-time employees • Capabilities (in-house and offshore) to manufacture tools • On-site design support at customer’s facility available
Award Winning Designs FPI/QSR Innovation Award World Star Packaging Excellence Award Packaging World - Package of the Year Ameristar Package Award Yum Brands Star Supplier–2010, 2011
Culinary Classics • QSR/FPI Foodservice Packaging Award • 1st polypropylene manufacturer to produce one-piece hinged black base / clear lid, side by side • 8 package options Anchor Packaging Confidential Information
White Casserole • Classic white “Corningware style” for a take-out package that can go right to the dining room table. • From store to table to dishwasher to cabinet for RE-USE again and again. Anchor Packaging Confidential Information
Crisp Foods Container • Patented cross-flow ventilation relieves moisture, food remains crispy. • Retains internal temps meeting health dept. regulations • Independent studies at retailers demonstrated better performance than the leading fried chicken container Anchor Packaging Confidential Information
KFC Reusable Sides • Anchor adapted its patented ventless-vent technology to provide a unique solution for KFC’s side dishes. • Leading-edge technology allowed cost savings vs. foam • KFC menu items retain their original quality longer in the new containers than in foam (per KFC Test Kitchen) • Increased customer satisfaction with reusable package Anchor Packaging Confidential Information
Sustainability: Initiatives and Strategy Anchor Packaging Confidential Information
Sustainability Efforts World’s largest manufacturer of reusable polypropylene microwavable takeout containers. • Polypropylene (PP) has smallest carbon footprint of all plastics • Anchor Products: • Many PP products contain 40% perpetual resources • PET products made with minimum 10% post-consumer recycled content (RPET) • Allmade with 50% post-industrial recycle • Reduced amount of material and packaging by 25% in new products through engineering innovation • Reduce and recycle scrap at all Anchor plants (<1% remains) • Anchor does not landfill waste; used in other applications (cutter box core plugs) • R & D is continually researching new technology to increase use of recycled materials and limit use of environmentally sensitive resins
Why Reusable Containers? EPA states: REUSE and REDUCE are preferred methods of waste management Re-Use saves energy, equipment, and other natural resources Reusable containers increase sales. Providing reusable polypropylene containers to the consumer has led to increased sales for companies such as Hillshire Farms, Butterball, Healthy Choice and others. Consumers prefer reusable containers over recyclable or biodegradable. Will reuse containers up to six months
Benefits of Reusable Polypropylene Containers Visit www.ReuseContainers.com • Heat Tolerant. Safe up to 230ºF. • Microwave-safe. Saves energy and time vs. conventional oven. • Dishwasher-safe. Saves energy and time. Store to table to dishwasher to cabinet. • Maintains Food Taste. No flavor change or plastic odor vs. non-heat tolerant plastics (rigid styrene) • Durable and Leak-resistant. Heat and eat right from the container, without cutting, tearing, or breaking. • Good for the Environment. Reduction in material and energy consumption and consumer demand for disposable packaging.
Why Anchor? • Exceed our customer’s expectations on product quality and service. • Committed to continuous improvement in our manufacturing process to assure you are competitively positioned. • Work with you to define the need so the right solution can be put to work on your behalf. • Known for our ability to innovate. • Consolidate all products so they can be shipped out of our centrally located DC. • Value your businessand our daily actions put meaning behind these words!
Restaurant Customers Anchor Packaging Confidential Information
Retail Customers Anchor Packaging Confidential Information
Anchor Packaging “We Make it Happen”