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Update on Hedwin Division of Zacros America move to Newark, DE

Dear business partner –

First of all, I would like to express our thanks to our valuable customers.

Over the past 18 months, we have been moving the bulk of our operations out of an aging facility in Baltimore, MD, relocating to our newer, larger and cleaner facility in Newark, DE.

Our move has been slow, to allow time for all equipment to be fully serviced and upgraded before placement on the Newark production floor. All lines are being completely re-qualified as they restart in Newark to ensure consistent quality.

At this time, we have all of our warehousing and administrative personnel transferred, along with most of the CUBITAINER® production lines. The remaining CUBITAINER® lines are expected to be removed from Baltimore by the end of this month. The HEDLINER®, PAYLINER®, WINLINER® and TOPLINER® manufacturing equipment will remain in Baltimore until the CUBITAINER® lines are fully operational.

We look forward to completing our move and focusing all of our efforts on improvement and innovation.

I thank you again for your continued interest in the Hedwin division, and I look forward to working with you. If you have any questions, please contact us at 800.890.1183

All the best,

Yasuo Iwasa

President, Hedwin Divsion of Zacros America

Executive Vice President, Zacros America


Pallet Charge Adjustment

Dear Valued Customer,

Effective May 1st, 2016 the Hedwin Division of Zacros America will increase the surcharge for pallets.

It has been several years since the charge for pallets has been adjusted. For some time, we have been allowing the pallets to be charged below our cost.

New pricing for pallets for orders placed after May 1st, 2016 is as follows:

  • Standard pallet: $16.00 each
  • Heat-treated pallet: $20.00 each

Our Cubitainer and Liner products are packed on fiber board shipping trays as standard procedure from our manufacturing lines. All of our customers have the option to take their deliveries in this manner at no additional charge.

If you do need to take delivery on a pallet, the above charges will offset the costs of repacking and the actual pallet.

Please contact your Zacros America/Hedwin Division Customer Service Representative should you have any questions regarding this price adjustment announcement.

On behalf of everyone at Zacros America/Hedwin Division, I thank you for your continued business and for the right to earn it …. Every day.

Sincerely,
Richard F. Broo
President/CEO


Price Increase

Dear Valued Customer –

Due to announced price increases for the price of polyethylene resins required to produce our core products, effective April 30, 2016 the Hedwin Division of Zacros America will increase prices for our CUBITAINER® and Liner product lines by $0.05 per pound.

The main drivers behind these announced polyethylene price increases are:

  • 15% of ethylene production capacity, a feedstock required to manufacture PE Resin, is off-line until May 2016 due to maintenance reasons.
  • Contract and spot ethylene raw material prices have increased due to the decrease inethylene raw material supply.
  • Polyethylene resin inventories are lower than normal due to higher than expected February sales.
  • Export prices for prime and wide-spec polyethylene resins is significantly up versus January and February of this year.

Note: If you currently have a quarterly or semi-annual sales agreement with Zacros America/Hedwin Division, this particular price increase will be implemented per the terms of our negotiated sales agreement. If this is the case, this letter is for informational purposes only.

Orders which are placed upon us prior to April 30th 2016 AND ship before June 30th 2016 will behonored at pricing in effect the day the order was received.

Orders placed upon us after April 30th 2016 OR placed before April 30th 2016 and shipping after June 30th 2016 will be priced per this announced price increase.

Please contact your Zacros America/Hedwin Division Customer Service Representative should you have any questions regarding this price increase announcement.

On behalf of everyone at Zacros America/Hedwin Division, I thank you for your continued business and for the right to earn it …. Every day.

Sincerely,
Richard F. Broo
President/CEO


Governor Markell and Director Whaley Visit Hedwin Division of Zacros America’s Newark Site

Visit between Government and leadership of Hedwin Division of Zacros AmericaOn February 3rd, 2016, the Hedwin Division of Zacros America (HDZA) had the privilege of welcoming the Governor of the State of Delaware, the Honorable Jack A. Markell and Director Bernice Whaley, the Cabinet Secretary of the Delaware Economic Development Office to our Newark, Delaware facility.

Governor Markell and Director Whaley visited our Newark, Delaware facility to learn about our ownership, history and products. Following a brief discussion, the dignitaries donned clean room suits and toured our new production floor to see first-hand the processes used to manufacture CUBITAINER®.

The Governor and Director were excited by the possibilities for our growth and planned expansion in Delaware. In engaging dialogue, both state leaders offered suggestions on how HDZA can benefit from our proximity to world-class manufacturing centers, a strong labor force and the excellent universities in the Newark area.

Mr. Nobuhiko Fujimori, the Vice Chairman of Overseas Operations for our Japanese parent company, Fujimori Kogyo Co., Ltd, was on hand to greet the Governor and Director, along with a contingent of the Delaware HDZA leadership team.

We here at HDZA are pleased to help Governor Markell and Director Whaley live up to their intent to “Keep Delaware moving forward.”

If you’d like to learn more about Hedwin Division of Zacros America’s innovative custom packaging solutions and find out more about the advantages that CUBITAINER® offers, be sure to contact us today, or download our presentation.

Visit between Government and leadership of Hedwin Division of Zacros America


Sale of Hedwin Division Blow Molding Operations

To: All Hedwin Division Customers

From: The Hedwin Division of Zacros America

Subject: Sale of Hedwin Division Blow Molding Operations

Dear Valued Customer,

Today, the Hedwin Division of Zacros America sold its blow molding operation to Anchor Plastics Limited located in Montreal, Canada and has ceased manufacturing blow molded products.

Anchor Plastics Limited is an established blow molder of containers for use in the consumer, food and industrial markets that has been serving Canada and North America for over 30 years. They have a reputation for being customer centric and quality orientated which is why they have been able to continuously grow their business year-over-year.

The Hedwin Division searched for a blow molder with capabilities to manufacture our Hedpak® and WinPak® products with better efficiency, improved product quality and with responsive customer service regarding order fulfillment. Anchor Plastics is this company.

Anchor Plastics will relocate the blow molding assets acquired from the Hedwin Division into their Montreal, Canada facility by early December 2015. Relocation of these assets will begin this week in Baltimore, Maryland.

Prior to ceasing our blow molding operation, the Hedwin Division worked closely with Anchor Plastics to produce increased inventory of high turnover Hedpak® and Winpak® products so Anchor Plastics would be able to quickly fulfill orders.

For the foreseeable future, Anchor Plastics will warehouse Hedpak® and Winpak® products, as well as, other products it manufactures in the Baltimore, Maryland area. Their goal is to earn your business with fast order fulfillment and very responsive customer service.

Effective immediately, all orders for Hedpak® and Winpak® products are to be sent to:

Anchor Plastics Ltd
730 St-Etienne
L’Assomption, Quebec Canada J5W 1Z1
Email: customerservice@anchorplastics.qc.ca
Telephone Number 800-964-9771
Contact: Mr. Angy Potvin – CEO/President

Upon receipt, orders received by the Hedwin Division from our customers for HedPak® and WinPak® products will be forwarded to Anchor Plastics for fulfillment.

On behalf of all Hedwin Division of Zacros America employees, I thank you for your continued support to purchase our CUBITAINER®, Fujitainer® and Liner product lines. We will earn your business … every day!

Thank You,
Richard Broo
President/CEO

*CUBITAINER® is a registered trademark of Zacros America
*Fujitainer® is a registered trademark of Zacros America
*HedPak® is a registeredtrademark of Anchor Plastics Ltd
*WinPak® is a registered trademark of Anchor Plastics Ltd