Plastic consumer packaging specialist Berry Plastics has restructured its operations to better serve its customers and drive future growth.
As part of the restructuring, the company created three new market-focused divisions including health, hygiene, and specialties; consumer packaging; and engineered materials.
The move comes on the heels of Berry Plastics' acquisition of specialty materials firm Avintiv (formerly PGI Specialty Materials) from private equity funds managed by Blackstone Group, for around $2.45bn in cash.
To be headed by Avintiv North America president Scott Tracey, the health, hygiene, and specialties division will include Avintiv business, as well as Berry Plastics' heritage flexible packaging personal care and medical product lines that were previously part of the company's flexible packaging division.
The consumer packaging division combines Berry Plastics' rigid open top and rigid closed top divisions, the flexible packaging food and consumer product lines that were formerly part of the company's flexible packaging division, and the shrink film product lines that were formerly part of Berry Plastics' engineered materials division.
This division will be headed by Berry Plastics' rigid closed top division president Tom Salmon.
Berry Plastics' engineered materials division and its flexible packaging converter product line, except the shrink film products that are moving to consumer packaging, will operated as part of the new engineered materials division.
Commenting on the streamlining, Berry Plastics chairman and CEO Jon Rich said: "The new organization streamlines the company while aligning our businesses closely with the markets that we serve.
"I am confident that this new structure will allow us to best integrate the newly acquired Avintiv business into Berry Plastics and accelerate the strategic growth of the Company, while strengthening the service we provide to our customers and the value we create for our shareholders."
Image: Berry Plastics makes plastic consumer packaging and engineered materials. Photo: courtesy of Berry Plastics.
