Top Companies Report

4 Siegwerk NAFTA


4 Siegwerk NAFTA
3535 SW 56th St.
Des Moines, IA 50321
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: Dr. Ansgar Nonn, president NAFTA region; Dave Hiserodt, managing director flexible packaging – U.S. & Canada; Jim Stoelk, managing director labels – U.S. & Canada; 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 application technology – U.S. & Canada; Jyoti Gidvani, raw material purchasing manager; Stefan Schibrowski, director of supply chain and quality; Manuel Rivas, VP business development.

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; 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.

Comments: The North American ink industry faced numerous obstacles during the past year, and Siegwerk was no exception, as higher raw material costs took its toll on profitability. Still, the company enjoyed success as well, as it celebrated its 100th anniversary and integrated Environmental Inks, which it acquired in November 2010, into its operations.

Dr. Ansgar Nonn, president NAFTA region for Siegwerk, noted that 2011 was a challenging year for the industry.

“Gross margin management, due to unprecedented key raw material cost increases, was the key focus for the year,” Dr. Nonn said. “Siegwerk was able to work with its customers to pass along portions of the impact without sacrificing quality, safety or supply continuity of its products.It was a tremendous year that resulted in increased cooperation and dialogue with Siegwerk’s key suppliers and with all customers.”

The November 2010 acquisition of Environmental Inks, a water-based ink specialist, provided Siegwerk with an added presence in the narrow web market as well as new technologies. Dr. Nonn said that the combination has been excellent.

“A major highlight for Siegwerk NAFTA last year was the integration of Environmental Inks into the Siegwerk team,” Dr. Nonn said. “This union has proven to be an excellent fit in terms of expanded technical offerings, stronger infrastructure and manufacturing synergies for both organizations.This acquisition also allows Siegwerk and Environmental Inks to further develop sustainable solutions for our customer base.

“Siegwerk and Environmental Inks see UV/EB inks and coatings for the label market to be a large growth area for moving into the coming years,” Dr. Nonn added. “With the combination of technology from both Siegwerk and Environmental Inks, the label market is projected to be a key growth driver for both Siegwerk and Environmental Inks.”

Dr. Nonn also noted that Siegwerk will be expanding its efforts in the flexible packaging market. “Through substantial product development and research as well as capital investments in R&D and manufacturing, Siegwerk will be well poised to further grow within this existing key focus market,” he said.

Mexico’s printing and converting market is growing at a fast pace, and is also an excellent growth opportunity for Siegwerk NAFTA.

“With the addition of Environmental Ink’s technology portfolio, additional opportunities have been opened for Siegwerk Mexico,” Dr. Nonn said.

Dr. Nonn noted that raw materials remained a major focus for ink manufacturers throughout 2011.

“Siegwerk has not perceived 2011 as a year driven by improvements in the industry,” Dr. Nonn observed. “The past year was mainly driven by the industry’s focus on managing the raw material environment.”

“In the first month of 2012, some raw material costs have stabilized,” Dr. Nonn said. “However, titanium dioxide and other key raw materials continue to pose risks due to supply/demand deficiencies within their global supply chain.Macroeconomic signals such as an impending recession in Europe and slowed growth in China indicate a calmer 2012.However, as we learned in 2011, the environment can change direction very quickly.

“Siegwerk’s position as a global supplier positions us well to forecast and if possible mitigate impending increases,” Dr. Nonn added. “Siegwerk will continue to work closely with its customers to keep them abreast of the ink raw material environment in 2012.”

In order to reduce the impact of higher raw material costs, Siegwerk continued to work to further drive costs out of its internal processes through the implementation of Siegwerk’s Xceed process improvement initiatives.

“This Xceed program is a global initiative throughout Siegwerk and has proven quite beneficial in the improvement of supply chain and manufacturing processes,” Dr. Nonn said.

Dr. Nonn reported that Siegwerk is continuing to invest significant resources into the NAFTA region.

“Siegwerk’s commitment to the industry is exemplified through ambitious product development plans and capital investments in R&D, as well as, manufacturing modernization,” he said. “The region is increasing its research capabilities with the expansion of Siegwerk’s Global Innovation Network (GIN) into the region. GIN allows for a global exchange of knowledge while continually improving the quality of Siegwerk products globally.”

Dr. Nonn said that the major efforts that Siegwerk has put into its personnel, capital investments and technologies will ultimately pay off as the company moves forward in the coming years.
“For 2012 and beyond, Siegwerk welcomes the future through investments in technology, R&D, processes and people to further improve the solutions and services provided to our customers,” Dr. Nonn concluded. “Global economic uncertainty may continue to cast a shadow on the short term, but despite these challenges, Siegwerk and Environmental Inks are well-positioned to continue to be a value-added supplier to the packaging industry.”