6775 Shady Oak Road / Eden Prairie, MN 55344Customer Support 1.800.328.6650www.packagingincorporated.com

NEW!AIRPAD AP 250

VOID-FILLING AND PRODUCT PROTECTION WITH AIR

The new and compact AIRPAD table top machine from Fromm follows the revolutionary idea of the successful AIRPAD machines AP502 and AP503:

- Production of different pad sizes only at a touch of a button and not by changing film rolls.- Pad sizes from 120 mm to 400 mm- Lower costs by using folded flat films without pre-seals and pre-perforation.- No compressed air / Versatile / Handy

The new table top machine in combination with a wide variety of standard or customized accessories offers customers an extensive range of applications:

Technical specifications:- Power supply: 115 / 230V - 50 / 60Hz- Pad sizes: From 120 - 400mm programmable- Film width: 210mm- Film thickness: From 25my to 50my- Film quality: PE and PE/PA- Folded film / no tube

Easy to operate control panel.Stand alone systems or integrated inmulti-user workstations.

Easy to operate control panel

Packaging Incorporated / 6775 Shady Oak Road / Eden Prairie, MN 55344Customer Support 1.800.328.6650 / www.packagingincorporated.com

AIRPAD AP 250Features of the machine:- Long life design and rugged construction- Minimum maintenance required- Easy Teflon changes- No compressor required- Easy filmload- Easy to operate- Adjustable air volume- Programmable lengths of air-chains- Programmable lengths of airpads

Options:- Movable and adjustable table- Storage hoppers: - attached to table - overhead air supplied- Automatic Storage control- Footswitch- Remote control

Packaging Incorporated is thrilled to be introducing a truly innovative table top airpad machine. The machine which will be available starting in May is truly one-of-a-kind in the industry. The Fromm Airpad is the only table top machine that can adjust pillow size without changing film. It will utilize folded 16” film and can adust the pad length from 3.15” to 31.5” in length by the millimeter.

The machine can hold up to 36 different sizes in its memory and can adjust with the simple touch of a button. It also has an auto cut-off feature to allow you to batch pillows. It uses ambient air, so no compressor is needed; it also boasts an impregnated Teflon coated metal to initiate the t-2 seal. Film for this machine ranges from 20 micron to 42 micron polyamide.

New Fromm Table Top Airpad Machine

Platinum Max machine film is an ultra-performance stretch film that provides unmatched puncture. Platinum Max delivers load containment at gauge levels well below the competition. Highest stretch at the lowest gauge for optimal stretch wrapping performance.

Why settle.....When you can have PLATINUM MAX!

Plastic resin costs continue to increase-Polyethylene (PE) resin costs are still steadily increasing due to tight PE resin supply. This is a result of elevated demand, reduced inventory levels and lower production rates. PE resin suppliers have implemented multiple price increases over the past three months and there are more announced. The forecast for the months ahead indicate that the tight supply of PE resin will continue due to demand pressures and supplier outages. As world tensions mount and petroleum continues to increase we won’t see a stabilizing of prices for a while.

Great deals on Packaging Equipment!Packaging Incorporated has initiated a companywide sale on all packaging equipment. There are great discounts available with a consumable purchase. Please contact your local sales person for an equipment review.

February 2012, Packaging Incorporated opened a tool repair center in Bettendorf Iowa. The repair center will service all brands of pneumatic nail guns and strapping tools. Customers will also be able to purchase basic maintenance items for their tools directly from the repair center. Hours of operation are from 8:00am-1:00pm Monday – Friday.

• Next Generation high performance machine film

• One-Sided Cling

• Higher Pre-Stretch – Higher Puncture Resistance

• 500mm or 750mm widths

• 39 gauge – 44 gauge – 48 gauge – 55 gauge – 61 gauge – 70 gauge

• Available in Convenient (50 rolls / skid)

• Extreme down gauging with superior force-to-load

• Beat every film in the market!

Ultra-High Performance

New Ultra-High Performance Cynch Stretch Film

Quad Cities Service Center

Packaging Incorporated / 6775 Shady Oak Road / Eden Prairie, MN 55344Customer Support 1.800.328.6650 / www.packagingincorporated.com

Bullet ToolsEZ Shear SST 13 and EZ Shear SST 20

CP Supply is pleased to partner with Bullet Tools and offer 2 sizes (SST 13” & SST 20”) of their award winning siding and siding trim shear. Bullet Tools was a recipient of Building Magazine’s 2010 Green Product Award.

Advantages• Cut quickly & quietly with no dust• One premium blade outlasts many saw blades• Quiet – requires no power• Easy & fast – reduced set up time, no cords, works where you are, no need to go outside, clean up is a breeze, just cut and go• Safer than conventional power saws• Economical – shorter job times save you money• Lightweight & portable

Partial Cut List• Fiber Cement: James Hardie, CertainTeed• Vinyl Siding: All Brands• OSB/Hardboard Siding: LP Smartside• Wood Siding: Cedar Lap, Shake Shingles• Asphalt Shingles: All BrandsAnd much more

#213 EZ Shear SST 13 MSRP $259.95#220 EZ Shear SST 20 MSRP $489.95

Strapping NewsIn our industry, we are beginning to see steel strapping prices stabilize; plastic strapping is on the rise. Typical of the time of year and as expected, when fuel prices are on the rise, we are receiving price increases from all the major manufacturers on both Polyester and Polypropylene strapping.

We can say with confidence that plastic costs will likely rise in the next couple of months. Where steel goes from here is anyone’s guess. The steel mills are trying their best to pass increases but weaker than expected steel consumption seems to be halting the mills efforts.

With the above mentioned, we are still converting steel strap customers to plastic at a steady pace. The benefits of converting steel to plastic are so overwhelming that the typical price fluctuations of steel and plastic really need not be considered. For those of you who have not had a demonstration to look at replacing your steel with plastic, here are few advantages of plastic to consider:

• Cost savings-Most conversions come with significant cost reductions. • Safety-Steel strap is the culprit behind many workplace accidents.• Ergonomics-Coils often weigh half that of a coil of steel and the tools are easier to use.• Superior tooling-Tool manufacturers see plastic as the future and plastic tooling is where the R&D dollars are going.

With the release of a battery operated 1-1/4” x .050 polyester strapping tool scheduled for summer of 2012, no steel application is safe from plastic. Heavy duty steel applications make way!

Contact your sales person for information on the strap markets, conversions to plastic, or to see a demo today!

Import Freight Rate IncreasesFreight costs on products shipped to the USA from Asia have continued to increase this year due to a number of factors that are creating additional surcharges. Of course, this is increasing the landed costs of all products that are coming in from these markets.

The end of year Peak Season Surcharge remains in effect at $320/container.March 15, 2012 brought an additional $240 per container surcharge.April 15, 2012 brings another announced $320 surcharge per can.A $640/container increase has been announced for May 1, 2012 but is still being negotiated.

The following is a letter by a freight forwarder describing what has occurred up until the end of March:

Dear Industry Partner,

With reference to several announcements from ocean carriers in the Transpacific market,

we understand their impact on your business and want to educate you on what their rate actions

intend.

Peak Season Surcharge (PSS)

January 1 PSS will continue to remain in effect until further notice. It was widely believed that PSS,

implemented in advance of the seasonal cargo surge before Lunar New Year, would cease as

overall volume declined in February. Although this PSS elimination has occurred in past years, it is

not the case this year for several reasons.

Leading up to the pre-Lunar New Year holiday rush, carriers started to pull capacity out of the

Transpacific trade lanes. Removing ships limits the amount of available capacity which artificially

increases market rates. To compound the issue, the market also experienced a faster than ex-

pected recovery in overall volume levels. By most accounts, decreased capacity and heavy volume

ahead of Lunar New Year created a substantial backlog in freight out of Asia. Accordingly, this

backlog kept vessels full for weeks immediately following the holiday rush, while factories ramped

up production to meet somewhat better than expected demand. Vessel utilization factors are now

hovering around 90-95% which is higher than expected at this time of year.

Then again, the biggest attributor to this nonstop PSS is the carrier industry. Most carriers strug-

gled financially last year as market revenue fell below previous profit thresholds. The Drewry

Shipping index recently projected about $5.4 billion in losses for carriers serving the Transpacific

market. Faced with this forecast, carriers are highly motivated to maintain any rate increases.

Artificial volume reduction and slightly better than expected market demand have only bolstered

their resolve to push back any normal expectations from importers to discontinue this PSS.

General Rate Increase (GRI)

On February 14, we notified industry partners that carriers implemented a GRI of $240/20’,

$300/40’, $340/40’HC, $380/45’ and $7/CBM, effective March 15. This increase is over and

above current rates including PSS. Rationale for the March GRI is essentially the same as the

continued PSS. The carrier industry trusts that rates need to be restored to profitable levels as a

means of survival.

The Peak Season Surcharge was $320/container

Packaging Incorporated / 6775 Shady Oak Road / Eden Prairie, MN 55344

Customer Support 1.800.328.6650 / www.packagingincorporated.com

Antidumping Lawsuit against U.A.E

On March 31, 2011, Mid Continent Nail Corporation (Magnum) of Poplar Bluff, MO filed an antidumping petition concerning imports of nails from the United Arab Emirates. The suit claims that imports from the U.A.E. are likely to be sold in the United States at less than fair value as provided by the Tariff Act of 1930.

On May 19, 2011, the International Trade Commission and the Department of Commerce selected Dubai Wire FZE, Precision Fasteners and Tech Fast International Ltd, as mandatory respondents in the investigation. The period of investigation that the commission studied was January 1, 2010- December 31, 2010. The products to be reviewed were all collated and bulk nails, either galvanized or not galvanized. Excluded from the case were roofing nails, staples and finish nails.

On May 20, 2011 the ITC released an Affirmative Preliminary Ruling against the respondents and found that they were indeed in violation and required that the respondents post a cash deposit (tariff) for all exports leaving the U.A.E. equal to the rates that were determined. Dubai Wire FZE 27.73 % tariff Precision Fasteners LLC 19.23 % tariff Tech Fast International Ltd 61.54% tariff

On March 20, 2012 the Department of Commerce announced that after reviewing the data used for the Preliminary Ruling that the duty rate that was established would be reduced to reflect these rates.

Dubai Wire FZE 6.29% tariff Precision Fasteners LLC 2.8% tariff

This latest antidumping case has certainly had an impact on the market in the U.S. The U.A.E was one of the largest importers of collated nails into the U.S. and the high preliminary tariff rates that were imposed effectively shut down the production in the U.A.E. The rest of the world was left to pick up the extra volume and that has led to slight increases and extended lead times on overseas shipments.

Now that the DOC has lowered the duty rates on the U.A.E. the production has picked up but both manufacturers are forced to pay a cash deposit respective to the rate imposed on them. This will certainly have an effect on the market and will most likely lead to increased prices over the upcoming months. The final determination is still to be determined sometime in late April. At this time the U.A.E will find out if this rate will be permanently enforced.

Please contact your Packaging Incorporated sales representative to discuss your fastening options.