Germany-based Storopack's 2013 consolidated sales down approximately 2.5% year-over-year to nearly €$316M due to order conditions on Chinese east coast, which were strongly affected by relocation of customers

METZIGEN, Germany , May 21, 2014 (press release) – New milestones for products, production and sales

Storopack is off to a good start in the current fiscal year. The Group of companies, which is represented at 51 locations in 13 countries, is showing positive business development in North America, South America, Europe, Southeast Asia and India, as in the previous year. The Group achieved consolidated sales of close to 316 million euros in 2013. In 2012, the figure was approximately 324 million euros. The decline resulted directly from the order conditions on the Chinese east coast, which was strongly affected by the relocation of customers in the electrical industry to China’s interior and to other Asian countries. Storopack closed the 2013 fiscal year with positive performance versus the previous year and ahead of plan. This success is the result of further investment in ongoing development of products, production and sales.

In Europe, Storopack achieved sales of about 195 million euros in 2013. In North and South America, sales in 2013 amounted to approximately 74 million euros, and in Asia, approximately 47 million euros. The company currently employs 2,362 people worldwide, including 625 in Germany. A decline of around 150 employees is due to the adjustment in the Molding division in China. Due to favorable business conditions, the number of employees in Germany rose by 38 compared to the previous year.

Milestones and innovations in 2013

Storopack continues to expand its sales organization in emerging markets. A milestone in 2013 was the opening of locations in Pune, India and Bangkok, Thailand.

Last year, Storopack introduced further product innovations and enhancements to the market. The PAPERPlus® Classic² machine system was optimized in terms of its ergonomic benefits. New types of AIRplus® (air cushion) films now replace bubble wrap from the roll. And there is even news for the ‘flowable’ padding material classics: the acquisition of Loose Fill (packaging chips) from FP International UK Ltd., including the factory in Brackley, on January 1, 2014, increased Storopack’s production capacity for this product line in Great Britain.

For the development and manufacturing of individualized protective packaging and technical foamed plastics moldings, the Group also invested in production process optimization and in equipping the development department. Storopack is further expanding its services for temperature-controlled transport system with pre-qualified system solutions.

Energy and commodity prices

The energy and raw material sector costs continue to post record levels. And Storopack is meeting this challenge by investing in energy-cost-saving production and the development of products that deliver the same benefits with less raw materials.

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