Advantage: Flexible Packaging

One snapshot of how the downturn has impacted companies that supply flexible packaging in consumer markets can be seen with a look at Bemis Company (www.bemis.com). In its annual report for 2009, it reported its net sales decreased 7.0 percent overall from 2008. While net sales for its flexible packaging business (which accounts for 85 percent of the company's total sales) decreased about 5.4 percent, its operating profit for this business increased from 10 percent of net sales in 2008 to 12.9 percent in 2009. Henry J. Theisen, president and CEO reports: "Our flexible packaging business achieved record operating profit in 2009 driven by lower raw materials costs early in the year, followed by stronger sales of value-added products and manufacturing improvements."