Top Companies Report

4. Siegwerk NAFTA


3535 SW 56th St.
Des Moines, IA 53021
Phone: (515) 471-2100 or 
(800) 728-8200
Fax: (515) 471-2202

Total North American Sales: $260 million.

Major Products: Solvent-based, water-based, energy curable and specialty liquid inks and coatings and related point-of-use services for the flexible packaging, label, sheetfed, tobacco, liquid food packaging and paper and board industries using flexo, rotogravure and offset printing.

Key Personnel: Jim Ross, president U.S. & Canada; Paul Schroeder, president narrow web; Javier Treviño, country manager – Mexico; Luis Orozco, country manager – Central America; Bob Davison, VP wide web sales & service – U.S. & Canada; Terry Davis, VP wide web sales & service – U.S.; Dave Cox, VP narrow web sales & service – U.S. & Canada; Dr. Lothar Schäffeler, VP of technology – U.S. & Canada; Jyoti Gidvani, raw material purchasing manager; Jim Stoelk, director of IT, EHS & quality; Stefan Schibrowski, director of supply chain.

Number of Employees: 820 (U.S., Canada, Mexico and Central America).

Operating Facilities: Des Moines, IA – NAFTA headquarters and two manufacturing locations; Spartanburg, SC; Neenah, WI; Drums, PA; New Hope, MN; Vacaville, CA; Morganton, NC; Baltimore, MD; Boston, MA; Chicago, IL; Cincinnati, OH; Dallas, TX; Minneapolis, MN; Ontario, CA; Prescott, Ontario, Canada; Oakville, Ontario, Canada; Montreal, Quebec, Canada; Toluca, Mexico; Guadalajara, Mexico; Queretaro, Mexico; Guatemala City, Guatemala; San Salvador, El Salvador.

Comments: In terms of printing, the packaging market has fared relatively well during the global recession, and consolidation is playing a major role on the ink side of the business. In a major move, Siegwerk acquired Environmental Inks & Coatings (EIC), one of the largest ink suppliers to the narrow web label market in the U.S. and Canada, on Nov. 30. A family-owned company, EIC is noted for its emphasis on water-based inks, which meshes nicely within Siegwerk.

“Siegwerk’s greatest highlight of 2010 was the acquisition of Environmental inks & Coatings, headquartered out of Morganton, NC,” said Jim Ross, president of Siegwerk U.S. and Canada. “This acquisition was a great fit for both companies. It reinforced Siegwerk’s sustainability movement and broadened its product portfolio while also giving Siegwerk a greater footprint into the narrow web market in the U.S. and Canada. Environmental Inks gained better positioning with a global network of knowledge and infrastructure to further grow its already strong presence in the narrow web market.

“Moving forward, Siegwerk’s narrow web business unit will be doing business as ‘Environmental Inks - a member of the Siegwerk group,’” Mr. Ross added. “Siegwerk’s wide web business remains under the Siegwerk brand.”

The addition of Environmental Inks will be a big help as Siegwerk looks to strengthen its narrow web business unit will be doing business as ‘Environmental Inks - a member of the Siegwerk group,’” Mr. Ross added. “Siegwerk’s wide web business remains under the Siegwerk brand.”

The addition of Environmental Inks will be a big help as Siegwerk looks to strengthen its narrow web position, while the company also is looking to add to its wide web efforts.

“Siegwerk NAFTA has two growth areas that it would like to strengthen throughout its company,” Mr. Ross noted. “While continuing to support and exceed the expectations of our larger customer base, Siegwerk’s wide web business unit is also working to grow its mid- to small-sized customers beginning in the Midwest region. Also, Siegwerk is working to grow its narrow web business unit specifically through the Environmental inks & Coatings acquisition. With integration process in full force, Environmental Inks - a member of the Siegwerk group is looking to position itself as a narrow web market leader.”
As for 2010, Mr. Ross noted it was a challenging year for the ink industry, with procurement of raw materials being at the forefront.

“The printing industry remained fairly conservative throughout 2010,” Mr. Ross said. “While 2010 started off much stronger than the previous two years’ performance, 2010 ended slower than anticipated. Siegwerk, both globally and regionally, maintained its focus on the customer while looking internally to continue on process improvement efforts and cost reduction measures.

“Siegwerk’s main focus remains to provide a quality product to its customers,” Mr. Ross added. “Raw material costs and supply issues have made this process much more difficult. With supplier consolidation and regulatory restrictions, ink manufacturers are finding it difficult to procure the raw materials needed at a reasonable price. Siegwerk NAFTA continues to leverage its global network to negotiate raw material purchases and secure product.”

Consolidation remains a major issue for the ink industry.

“Suppliers and customers continue to merge, thus taking raw material supply options and market share out of the industry through consolidations,” Mr. Ross said. “Siegwerk actively looks for new and emerging regional and product markets in order to remain a total solution provider to its customers.”

Mr. Ross said he expects raw materials to remain a concern going forward, and added that there is much enthusiasm as Siegwerk blends in the Environmental Inks personnel.

“Siegwerk NAFTA expects raw material price increases and raw material procurement to be even more of a factor for the ink industry in 2011,” Mr. Ross concluded. “Also in 2011, Siegwerk NAFTA looks forward to integrating the Environmental Inks team into the Siegwerk family.”