Corporate Brand Message - Final 6-3-2016

©2015 PaperWorks Industries Inc. Information contained herein is confidential and proprietary to Paperworks Industries Inc. Any reproduction or distribution to any 3rd party is strictly prohibited.

Big picturepackaging

with purpose


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Our company

Paperboard: 43%

Packaging: 57%

Headquartered in Philadelphia, PA and owned by Sun Capital Partners, Inc.

Fully integrated North American packaging provider, specializing in:– Recycled CRB paperboard– Virgin SBS paperboard– Specialized folding cartons

Paperworks Industries manufactures approximately 400,000 tons of 100% recycled paperboard annually for a variety of end uses.

17 North American locations employ approximately 2,000 employees.

Solid financial performance and continued growth driven by:– Strategic partnerships and a shared vision with customers– Helping customers build stronger brands while controlling costs– Acquiring businesses that expand capability within core markets– Company culture that promotes exceptional performance

Sales by End Market


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Our company

Packaging

Packaging is the consumer’s first interaction with your brand. Our folding cartons help brand owners and retailers showcase and protect products from the throughout the distribution channel. We help you enhance visual impact which helps drive sales.

Paperboard

We manufacture CRB, 100% coated recycled paperboard and uncoated paperboard for consumer products packaging applications. Our paperboard is sold on the open market and run at our wholly-owned packaging facilities.

Converting

Strategically located in North America, we operate 8 packaging converting and finishing facilities, specializing in folding carton applications. We operate, and continue to invest in, state-of-the-art automated machinery.


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Our companyThe world’s most respected brands are putting their trust in our hands

Customers

• Household care

• Personal care

• Food & Beverage

• Pet care

• Healthcare

• Other

Markets • $700 Million in Sales

• Diversified base: more than 700 customers with top ten accounting for 45% of revenues

• Serves a broad mix of consumer product companies

• Large national, regional and local consumer products companies

• Keen focus on new technologies and cost control


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% Integration 65% 31% 35% 71% 90%CRB Capacity (tons) 72 133 409 646 1012% Total Industry Capacity 3% 6% 17% 29% 45%% Open Market Volume 4% 14% 38% 29% 16%

72133

409

646

1012

Open MarketInternal

Source: RISI and management estimates

Our companyLeading supplier of open market CRB

white pigeonpaper

company


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Building blocks in place… improved business model to enable continued growth

2008 2009 2011 2015

Acquired folding carton

converting company SPG (Specialized Packaging

Group)

Acquired 2 CRB mills from

Altivity and Graphic

Packaging

build capabilities drive growth

Acquired Manchester Industries

(sheeting) and Rosmar

Packaging (converting)

Acquired CRB Mill Strathcona

Paper and carton

converting Boehmer Box

TODAY

Leveraging competitive

positioning and innovation

strategies for continued

growth


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Integrated supplierWe understand the demands of packaging from the manufacturing floor to the store shelf to consumer homes.

Quality Compliance

Support

Vertical integration• Secure paperboard supply• CRB vertical integration, sustainability benefits• SBS purchasing power

Value added supplier

• Creating future opportunities• Bringing innovative solutions to market• Integrated supply chain • Nimble company speed to market

Contingency• 3 CRB mills• 56" presses in Ontario and North Carolina• Web-fed presses available at multiple sites• Seamless movement between converting

Diverse capabilities

• Strategically-located assets• Expertise in Expanded Color Gamut• Digital printing flexibility• Rapid prototyping


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Philadelphia, PAWabash, IN

Mendon, MI

Hagerstown, IN

Richmond, VA

Dallas, TX

Hastings, NE

Lenexa, KS

Greensboro, NC

Mt. Gilead, NC

Baldwinsville, NY

Alexandria, LA

Kitchener, ONNapanee, ON

Wilkes-Barre, PA

HeadquartersCRB MillsSheeting FacilitiesConverting FacilitiesNear-Site Finishing FacilitiesWarehouse

CRB mills 3

Sheeting facilities 5

Converting facilities 5

CRB Capacity (tons) 401

% CRB capacity market share 17%

Our locations


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Commitment to sustainability

Comprehensive approach to natural resource efficiency– Tracking energy, waste and water across all operations– Using life-cycle thinking to maximize ecological benefit– Partnering with customers to find environmentally-

responsible solutions

Sustainable products– Up to 100% recycled-content paperboard – 55% post-consumer recycled content – 20% of raw materials come directly from

curbside recycling

Product certifications include:– Forest Stewardship Council (FSC)– Sustainable Forestry Initiative (SFI)– Programme for the Endorsement of Forestry Certification (PEFC)

PWI incorporates environmental responsibility into every functional aspect of its business


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Delivering custom solutions across the packaging platform

Materials ConvertingDigital Services

AssetManagement

InnovationCreativity

Design

MarketInsights

Quality SupportTraining

Paperworks Industries works on behalf of Brand Owners to drive value across the packaging platform


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InsightsThe PaperWorks packaging design and innovation team is dedicated to identifying the future direction of packaging

Packaging technology and materials continue to evolve as manufacturers undergo increasing pressure to:• Minimize waste and environmental degradation• Differentiate products on store shelves• Improve product integrity and traceability• Drive incremental sales• Improve the customer experience

Our market is undergoing a transformation • Maturing baby boomers with evolving consumption needs• 80 million Millennial consumers, largest segment ever will

redefine the market• Heightened competition for shelf space as store formats are

shrinking and product launches accelerate


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A high-strength, visually impactful, recycled paperboard packaging solution designed for warehouse club and mass market retail applications

Club Store packaging

– High-impact graphics offer improved shelf appeal for eye-catching brand billboarding.

– Up to 100% recycled paper fiber, and is recyclable, FSC and SFI certified.

– Meets ISTA 3J (warehouse club) testing requirements for transportation and stackability.

– Enhancements include handles, window panels, easy-open / reclosable tear-strips and dispensing spouts.

– Flexible material options combined with proprietary manufacturing processes offer cost-effective solutions.

– Suitable for food, beverage, household, personal care and electronic product applications


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ClubStak’s construction features: – An outer carton made from coated recycled paperboard (CRB)– An application-specific, paper-based liner material, laminated in a strategic orientation– Up to 20% more compression strength than litho-lam corrugated at a favorable cost– PaperWorks is unique in its ability to provide CRB material up to 38pt – Foil stamping, high-gloss coatings, metallic and specialty inks – Non-fluted material, eliminating washboard printing effect

Made with up to 100% post-consumer recycled paper fiber whileoffering strength and structural integrity similar to virgin materials

Flexible material options combined with proprietary manufacturing processes drive cost effectiveness

The result is a visually impactful crush-resistant package that offers similar performance attributes to corrugated— such as strength, rigidity and with the high-quality graphics appeal of a folding carton.

Club Store packaging


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Value-added display configurations and features:

Club Store packaging enhancements

Handle / carrying options Easy open / recloseable / tearstrip options

Wide access / vertical dispensing spouts


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MasterWorks™ paperboardServicing folding carton converters and our internal converting operationsWe offer a complete line of CRB board and sheeting services, which are used to produce consumer packagingCommodity:

Standard grades to meet most paperboard needs.

Speciality: Specialized paperboard for specific purposes.

Bright: Bringing the great look of SBS to 100% recycled CRB.

• MasterWorks Plus: Sturdy kraft for high-weight applications.

• MasterWorks Lite: The lightest backside of our commodity grades.

• MasterWorks News: Made with newsprint for a lighter backside shade.

• MasterWorks Freeze PHL: Specially created for freezer applications.

• MasterWorks Freeze WAB: Specially created for freezer applications.

• MasterWorks Bev: Wet strength for beverage carriers

• MasterWorks Blister: Created for optimum blister adherence

• MasterWorks URB Plus: Premium uncoated recycled boxboard for high-quality applications such as laminations. Ultra-smooth and durable.

• MasterBright News: The brightest topside in North American CRB, with MasterWorks News backing.

• MasterBright Lite: The brightest topside in North American CRB, backed by MasterWorks Lite


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Sheeting facilitiesFull service provider of paperboard and sheeting expertise

Contract converting

Solid-bleached sulfate

Recycled paperboard

Coated text and cover

Specialty packaging grades

Quality Compliance Support

Dallas,

Texas•3 SHEETERS•28,000 TON CAPACITY

Hagerstown,

Indiana•148” MACHING•140,000 TONS

Wabash,

Indiana•108” MACHING•88” MACHING•155,000 TONS

Wilkes-Barre,

Pennsylvania

•3 SHEETERS•35,000 TON CAPACITY

Mendon,Michigan•2 SHEETERS•52,000 TON CAPACITY

Napanee,

Ontario•113” MACHING•105,000 TONS

•3 SHEETERS•28,000 TON CAPACITY

Richmond,Virginia

•148” MACHING•140,000 TONS

Philadelphia,

Pennsylvania


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Folding carton packaging

Styles:Reverse tuckStraight tuckAuto-bottomSleevesFull sealed endsPartial sealed endsCounter displaysClubStak

Materials:CRBSBSCUKE-fluteN-flute

We design and manufacture custom folding cartons to suit a variety of retail packaging needs

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http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=EzWOBoa_T09VwM&tbnid=8QBby2TW0dIezM:&ved=0CAUQjRw&url=http://hoosierhomemade.com/bounce-dryer-sheets-uses-around-the-house/&ei=zMZIUpeIF9ai4AOV84CgAg&psig=AFQjCNF19oD7h0Fsk5YzgC4SY6WvJ2brDw&ust=1380587591711086

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Manufacturing capabilitiesA full range of printing & converting technologies

Inline film laminations at press productions speeds– Clear OPP film or PET film– Film lamination will improve rub

resistance and gloss characteristics giving that high end premium look to the finished graphics.

Metallic ink separations(vs metallic substrates)– Metallic ink color builds

using CMYK– Metallic ink effects including

color shifting– Gallus press profiled for virgin

and recycled grade boards– Water-based coating and OPP

film lamination– Line metallic with aqueous ink

Brilliant fluorescent ink options

– Solid or tint fluorescent ink capabilities

– Built as finished ink or build– Multiple unit application

possible to create vibrant color.

Aqueous or energy-curable spot applied coatings– High gloss– Soft touch– Color shift– Pearlescent– Textured


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Converting facilitiesA full service North American supplier

High speed AVT scanning systems

Reverse print units

Die cutting, folding, gluing

Windowing, handle application

In house sheeting

In line Laminating


Baldwinsville New

York

Kansas City

Kansas

Mt. GileadNorth

Carolina

LenexaKansas

Mendon,Michigan•2 SHEETERS•52,000 TON CAPACITY

KitchenerOntario

GreensboroNorth

Carolina


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Extended Color GamutExtending the gamut allows for the creation of colors that are much more vibrant.

4 color printingThe combination of CMYK (cyan, magenta, yellow, black) produces a sufficient color range to reproduce most images, “valleys” must be corrected via the special PMS “spot” colors.

ECG printingBy adding special orange, green and blue inks to traditional 4-color printing, a much wider color gamut is achieved.

ECG

CMY

• The benefit of ECG is cost savings and improved color gamut.


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Traditional printingDesigned for CMYK + Pantone spot color14 inks were used to reproduce 8 customer supplied files, using traditional printing

3 of the files were designed to use 7 colors


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Extended Color GamutOnly 1 spot color is required to achieve the same output resultSavings realized

– Fewer machine set ups (Make Readies)

– Less specialty inks needed

– Creates the ability to run different print copies on a single press pass


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Gallus inline system

Featuring:– 10 print stations for maximum

effectiveness– Inline detection systems to insure

premium quality– 7 color Expanded Color Gamut

capability, to increase the robust and vividness of a process image and eliminate the need for spot colors.

A high-performance inline machine system for the production of folding cartons and other paperboard products. It is optimized for quick changeovers as well as short set up and changeover times.


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Design



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Packaging development & support services



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Packaging development & support services



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Packaging management

Powered by Esko workflow solutions

• Online graphic review and approval

• Online briefing and review portal with workflow automation

• Packaging lifecycle management system

• Packaging asset library

• Online editing solution

• Web-based on your mobile devices

Enabling online management, compliance and transparency of the packaging development process.


Documents are electronically collected, processed internally or externally, approved, produced and then archived… saving time and eliminating errors


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Quality and complianceOur sophisticated prepress infrastructure ensures predictable color results through a regiment of device profiling, electronic brand management and ICC based on-board printing press color controls.

High Definition Screening• Increases shelf appeal• Photo quality image reproduction• Increases from 150 lpi to 250-400lpi• Wider color gamut• Brighter cleaner images


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Carton technology training seminar

Design complexity

Structural development process– Functional packaging– Consumer requirements– Manufacturing requirements– Packaging requirements

Substrate applications

Artwork and project development

Fundamentals of die cutting

Importance of early integration

Offered as a value added service to our customers, emphasizing:


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CertificationsEmphasis on food safety – GMP certification for Food safety -

October 2011 – PACSecure certification (includes HACCP)

– July 2012– Peanut-free and scent-free facilities

G7 Master Printer – Ensures proof-to-print color & color

matching between printers and processes. – 2011

Environmental certification – Forest Stewardship Council® – Nov 2011 – Sustainable Forestry Initiative – Nov 2011 – Rainforest Alliance – June 2011


Thank you