RECYCLING DIVISION GROWTH

Resource responsibility and leadership always make good business sense.  Despite plummeting demand and steep market price declines for recovered materials globally, Pratt's Recycling Division continues to focus on growth opportunities. We continue to believe in near term sensibilities but also in long term competitive positioning; opening THREE new facilities in just the past two months with a FOURTH under construction.

The new recycling plants include modern, single-stream Material Recovery Facilities (MRFs) and baling plants in Shreveport, La., Fayetteville, NC, and Savannah, Ga.

In all three cities, Pratt has long-term supply agreements to handle municipal curbside recycled materials including old newspapers, plastic, aluminum and metal containers.  Recyclable materials also come from regional manufacturing plants, retailers and distribution centers.  A fourth new facility will open in early 2009 in Denton, Texas, just north of Dallas, serving a regional metropolitan area of over 6 million people.

While the current state of recycling markets and the economy overall have certainly compelled us to find creative ways to streamline our operations, we remain confident in the future of our company and customers. 

"We continue to invest in this division despite the current market conditions within the industry," said Recycling Division President Myles Cohen. "With our Shreveport mill coming on line in early 2009, Pratt's need for recycling content is actually increasing.  We're here to stay no matter the economic outlook."

The second quarter of 2009 will bring important sustainability benefits to our customers.  We will expand recycling and waste management services to our box and display customers; helping them with their economic and environmental sustainability initiatives. 

This 'closing the loop solution' begins by more fully understanding our customers; their manufacturing processes and full costs.  With a waste audit, we discover where waste can be minimized and costs avoided.  We discover and propose alternatives for the utilization of as many waste materials as possible from re-use, recycling or even diversion to our clean energy facilities.

Our goal is to help customers lower their disposal costs, increase recycling revenues and move closer towards "zero landfill" targets.

CLEAN ENERGY – CLEAN AIR 

Our commitment to the environment will soon extend beyond our pledge to provide customers with 100 percent recycled paper and packaging.

Within the next few months, Pratt will start up its first Clean Energy plant which will convert previously-landfilled materials, including rejects from our paper-making process, into renewable energy to power our Conyers manufacturing complex.

The benefits of our Clean Energy plant to the environment go far beyond reducing just our own carbon footprint.  The new plant will generate almost 9 megawatts of electricity, easing the strain on already over-loaded power grids.  Further, it will divert approximately 700 tons of waste materials from the landfill every day including carpet scraps, construction wood waste, even wax-treated boxes.

All told, the facility will prevent approximately 270 tons a day of Greenhouse Gas emissions.

The Conyers plant, built at a cost of $50 million, is part of our Clinton Global Initiative commitment. Pratt Industries pledged to invest an additional $1 billion in recycling and clean energy infrastructure over the next decade.  It is the first of four such clean energy facilities we’ve outlined under that commitment. 

we’ve got Bulk Packaging covered

When it comes to heavy duty packaging applications in markets such as produce, agriculture and industrial, there are two industry standards.  Pratt Industries in Springfield, Ohio, has both.

BCA triplewall is known for its superior printing surface.  CAA triplewall is the industry standard for heavy duty packaging.  Pratt Industries’ Springfield corrugator now provides both; capable of running triplewall sheets up to 85 by 185 inches with finishing on our state of the art Latitude Jumbo Flexo Folder Gluer. 

While initial tests have shown that Pratt’s bulk bins set performance standards when compared to competitors, the $650,000 project also included conversion of the existing A flute single facer to high crown, or Z flute, to add additional stacking strength for heavy duty applications.

The Springfield facility supplies sheets, converted boxes, and specialty triplewall materials to all regions of the United States and Canada.

For further Bulk Bin sales information please contact Allen Connor at alconner@prattindustries.com  

PRATT HONORED FOR EXCELLENCE 

Pratt Industries was honored to be recognized by one of the true global business leaders – Procter and Gamble.  P&G’s prestigious “Excellence Award” is an honor given to just a few of the more than 80,000 suppliers to the consumer products giant. 

Pratt was cited for performing at consistently high levels, for helping the Ohio-based corporation “bring innovation to life, manage our costs and improve productivity,” said P&G’s Global Product Supply Officer Keith Harrison.

“With the current global economic uncertainty, strong relationships with suppliers are more important than ever to achieve P&G’s sustainability goals and supporting the company’s growth today and going forward,” he said.

David Dennis, Pratt’s Vice-President of Sales & Marketing said: “Pratt takes great pride in supplying corrugated packaging solutions to premier companies like P&G. We continue to explore packaging innovations that will enable P&G to create more sustainable value for their customers.”

For further sales information please contact David Dennis at ddennis@prattindustries.com

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Environmental stewardship is in everyone’s best interest.  Pratt Industries is partnering with former British Prime Minister Tony Blair to provide world leaders with an effective policy implementation framework to fight climate change.  These leaders will be meeting in a global environment summit in Copenhagen, Denmark, December 2009.

Climate change awareness must be followed by global implementation.  Blair, with Pratt executives and customers in support, announced details of the “Breaking the Climate Deadlock” initiative at a kick-off reception in New York City.

Blair, one of the first political leaders to make global warming a major priority, said: “The world has awakened to the dangers of climate change, but now it needs to know what to do. What is essential is that the world – especially the world of business – gets from Copenhagen clear, unequivocal direction.”

The Blair initiative is a process aimed at building political and business support among leaders in the U.S., Europe, China, India, Japan and Russia for a framework agreement on climate change and strategies for its subsequent implementation.

The joint announcement was the first-step in trying to raise $10 million over the next 12 months to support Blair’s proposal. Pratt kicked off the drive with a $300,000 donation.

“It will be money well spent,” said company chairman Anthony Pratt. “The planet faces no greater challenge than global warming and climate change. And our company, with its 3500 green-collar employees, wants to be part of that solution.”

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A STAR IS BORN 

Our New York City paper mill has been getting its share of local media attention since its start-up in 1997, but it’s becoming increasingly the focus of national attention.

First, the History Channel came to shoot an episode of its program, “The Works,” which focused on how the Big Apple disposes of and recycles its waste paper. Now, Good Morning America (GMA) and the Discovery Channel have come calling.

GMA is doing a segment scheduled to air early next month on environmental concerns.  Part of the program is devoted to how our Staten Island campus recycles waste paper and old corrugated containers into recycled boxes for various end uses (including pizza boxes) using some of the most modern box-making equipment in the country.

Meanwhile, the Discovery Channel visited the mill late last year to shoot scenes for a new series scheduled to begin airing later this year on America’s super cities and how they deal with everyday problems like water and waste.

The Staten Island mill, which we call our “Jewel in the Crown,” has recycled almost 3.5 million tons of paper, saved almost 55 million trees and prevented 3 million tons of Greenhouse Gas emissions from entering the atmosphere since it began operations.

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