PackStratSample June 15, 2011 : Page 8

June 15, 2011 www.packstrat.com 8 STREET TALK: INTELLIGENCE FOR THE INFORMED PACKAGING EXECUTIVE P&G Forms Ethanol Partnership P&G uses Procter & Gamble (P&G) has moved sugarcane-closer to its goal of replacing petroleum-based material based packaging with biomass for its Pantene NatureFusion feedstocks from plant materials by shampoo bottles. forming a joint development agreement with a startup company. The consumer products giant is joining forces with ZeaChem , a converter of renewable feedstocks into ethanol, to produce plastics packaging from natural sources. ZeaChem, Lakewood, CO, is pioneering a process to create biomass material containing high levels of cellulose, a rigid structural compound found in plants. Its biorefining process ferments plant sugar to acetic acid, which reacts with hydrogen to create ethanol. ZeaChem is building a 250,000-square-foot biorefinery in Boardman, OR, and will make the ethanol-based chemicals for P&G. The company also operates a pilot plant in Golden, CO, and a laboratory in Menlo Park, CA. ZeaChem ceo Jim Imbler said the agreement with P&G will help the company commercialize both natural-based chemicals and other products. The ZeaChem process can use renewable feedstocks from poplar trees and agricultural residues from woods, grasses and the non-edible portions of plants. P&G has a goal to replace 25% of its petroleum-based materials with renewable sources by 2020. P S Sealed Air Cleans Up In a deal that caused analysts to scratch their heads, Sealed Air will acquire Diversey Holdings , a maker of disinfectants and other cleaning products. The $4.3bn deal is one of the first outside of packaging for Sealed Air, Elmwood Park, NJ. Some analysts said the acquisition went beyond the company’s core competencies and was not a recognized fit. But Sealed Air ceo William Hickey explained, in an interview with Dow Jones Newswires , that the Sealed Air is moving into the cleaning supplies business with its latest purchase. Rampant Recycling Collection Agency Percentage of U.S. population with recycling access A new study puts the issue of recycling access in sharper focus. PET The study, conducted by 92.9% containers Moore Recycling Associates HDPE 93.6% containers and sponsored by the American Chemistry Council (ACC), LDPE 65.5% containers showed that 94% of Americans have access to recycling for 0% 20% 40% 60% 80% 100% plastic bottles and 40% can Source: Moore Recycling Associates recycle other types of plastic containers, including yogurt cups, tubs, and lids. The study of close to 2,500 communities also reported that the population percentage with access to recycling in the 100 largest cities has nearly doubled since 2008. The study begs the question of why the U.S. plastics recycling rate is so low. Steve Russell, vp of plastics for the ACC, said the next step was to increase consumer awareness surrounding the availability of recycling opportunities. The study also coincides with the Sustainable Packaging Coalition’s Labeling for Recovery project, initiated to reduce confusion over recycling-related labels on packaging and help consumers understand what can be recycled locally. The project will use new label designs on about 10 packaged brands and build education through a website, REstarttheCYCLE.com. The labels include information on recycling bags and films collected at retail and on measuring community access to recycling through a data-collection effort. P S company wanted to look at adjacent markets. With many among Sealed Air’s large base of foodservice customers considering safety as a primary concern, Hickey said sanitation supplies have become more important. He stated that consumers “want things cleaner. They want things safer. They want to be sure that things won’t make them sick.” Diversey, based in Sturtevant, WI, is about 50% owned by SC Johnson ; other stockholders include a private equity firm and Unilever . P S Unauthorized reproduction in whole or in part prohibited without permission of publisher

Street Talk

P&G Forms Ethanol Partnership Procter & Gamble (P&G) has moved closer to its goal of replacing petroleumbased packaging with biomass feedstocks from plant materials by forming a joint development agreement with a startup company. The consumer products giant is joining forces with ZeaChem, a converter of renewable feedstocks into ethanol, to produce plastics packaging from natural sources.ZeaChem, Lakewood, CO, is pioneering a process to create biomass material containing high levels of cellulose, a rigid structural compound found in plants. Its biorefining process ferments plant sugar to acetic acid, which reacts with hydrogen to create ethanol. ZeaChem is building a 250,000-square-foot biorefinery in Boardman, OR, and will make the ethanol-based chemicals for P&G. The company also operates a pilot plant in Golden, CO, and a laboratory in Menlo Park, CA. ZeaChem ceo Jim Imbler said the agreement with P&G will help the company commercialize both natural-based chemicals and other products. The ZeaChem process can use renewable feedstocks from poplar trees and agricultural residues from woods, grasses and the non-edible portions of plants. P&G has a goal to replace 25% of its petroleum-based materials with renewable sources by 2020. Rampant Recycling A new study puts the issue of recycling access in sharper focus. The study, conducted by Moore Recycling Associates and sponsored by the American Chemistry Council (ACC), showed that 94% of Americans have access to recycling for plastic bottles and 40% can recycle other types of plastic containers, including yogurt cups, tubs, and lids. The study of close to 2,500 communities also reported that the population percentage with access to recycling in the 100 largest cities has nearly doubled since 2008. The study begs the question of why the U.S. plastics recycling rate is so low. Steve Russell, vp of plastics for the ACC, said the next step was to increase consumer awareness surrounding the availability of recycling opportunities. The study also coincides with the Sustainable Packaging Coalition’s Labeling for Recovery project, initiated to reduce confusion over recycling-related labels on packaging and help consumers understand what can be recycled locally. The project will use new label designs on about 10 packaged brands and build education through a website, RestarttheCYCLE.com. The labels include information on recycling bags and films collected at retail and on measuring community access to recycling through a data-collection effort. Sealed Air Cleans Up In a deal that caused analysts to scratch their heads, Sealed Air will acquire Diversey Holdings, a maker of disinfectants and other cleaning products. The $4.3bn deal is one of the first outside of packaging for Sealed Air, Elmwood Park, NJ. Some analysts said the acquisition went beyond the company’s core competencies and was not a recognized fit. But Sealed Air ceo William Hickey explained, in an interview with Dow Jones Newswires, that the Company wanted to look at adjacent markets. With many among Sealed Air’s large base of foodservice customers considering safety as a primary concern, Hickey said sanitation supplies have become more important. He stated that consumers “want things cleaner. They want things safer. They want to be sure that things won’t make them sick.” Diversey, based in Sturtevant, WI, is about 50% owned by SC Johnson; other stockholders include a private equity firm and Unilever.

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