The Clear Winner. Unveiling the market disruptive TruVue Plastic Can. Jeff Schuetz & Steve Gendreau, Sonoco. The Packaging Conference 2016

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1 The Clear Winner Unveiling the market disruptive TruVue Plastic Can Presenters: Jeff Schuetz & Steve Gendreau, Sonoco The Packaging Conference 2016 Tuesday, February 9, 2016

2 First, A Short Sonoco Commercial

3

4 A SOLUTIONS COMPANY That Offers PACKAGING, Rather Than A Packaging Company That Happens To Offer Solutions

5 Our i6 Process Insights We gather market and consumer insights using research tools like focus groups, online panels and in-home studies. Ideation Using these consumer behavior insights, we invite packaging engineers, marketing gurus and designers to participate in cross-discipline brainstorming, developing a suite of ideas and approaches to evaluate. Invention We test the most promising ideas, using our rapidprototyping capabilities, packaging and material science labs and pilot plant to conduct manufacturing test runs. Integration We determine how to best incorporate solutions from an operational perspective, considering things like process development, manufacturing, designing for sustainability and graphics management. Interaction We examine ways to maximize market impact, including testing in a retail environment, evaluating in-store marketing programs or conducting eye-tracking studies to determine graphics and design appeal. Iteration 2013 Sonoco Products Company The last step, we evaluate next generation solutions including a continuous improvement roadmap to drive productivity and supply chain optimization as well as line extensions

6 The TruVue Can With FUSION FreshLock Technology. Clearly, Uncanny.

7 The Demise Of The Center Store

8 The Center Store Opportunity DISRUPTIVE Innovation To Create Renewed Relevance 70% 60% 50% 40% Importance of seeing a product through its packaging 61% 60% 50% 56% 51% 43% 30% 20% 10% 0% Base: 1,890 internet users aged 18+ who are primary or shared shoppers The Consumer Experience Quality Taste Trust Healthy Fresh Source: Mintel

9 HUGE White Space In Need Of Disruption! All other Fruit Vegetable Pet Food Soup NA = 30Billion cans +/-

10 Seeing Is Believing TruVue

11 Where Others Have Failed =

12 Consumers LOVE It! Overwhelmingly preferred (70%) to metal Believe that food will taste better Expect the product to be fresher The Deli Effect Elevated Brand Trust through transparency Expect and willing to pay a premium You get what you pay for Even Boomers weren t afraid to change

13 Seeing Truly IS Believing! Change Over Friendly Clarity Freshness High Speed Operational Efficiency TruVue Authenticity Brand Lift Better Tasting Continuous v. Batch Process Trust Healthier Existing Plant Infrastructure Shelf Differentiation

14 TruVue Magic Sauce Technology Overview

15 Purpose Driven Innovation Retort Experience Plastic Processing Extrusion Blow Molding Thermoforming Injection Molding Package Closing Technologies Metal Metal Seaming Metal Film Induction Sealing Metal Composite Seaming Film Film Conduction Sealing Plastic to Film / Foil Conduction Heat Sealing Plastic Plastic Spin Welding Sealing

16 Anatomy of the TruVue Can 3 Piece Plastic Can Cylindrical multilayer plastic body Steel Easy-open top and Steel bottom closures Heat sealable interior surface Crimp seam plus induction seal end application Multiple labelling options complete the package Pressure sensitive film or paper labels Full body wrap-around film labels

17 FUSION FreshLock Technology Seal Area (End To Can Body) Crimp Seam Cross Section PP / EVOH Can Wall Heat Sealable Interior Surface

18 Stacking Up v. Other Plastic Alternatives Continuous multilayer extrusion process Wall thickness uniformity and barrier consistency High output / low scrap can making process Transformational metal end seam design Flangeless container wall provides reduced damage and improves seam consistency Combination crimp seam and induction seal provide exceptional abuse resistance Improved heat transfer rate during thermal processing Conveying performance on the customer filling line Depal Conveying - Case packing Magnetic elevators Retort rolling/agitation

19 Processing Performance Proven in commercial hydrostat & continuous retorts Temperature experience up to 267 degrees F Seaming/sealing experience up to 500 cans per minute Range of products (to date): fruits, vegetables and soups Shelf-life demonstrated for up to 2 years

20 Critical Pressure (PSI) TruVue Why does it process so well? 100 FEA Simulated Critical Pressure Temperature and Differential Pressure at which permanent plastic deformation occurs mil critical pressure Retort temperature (deg F)

21 TruVue vs. Metal Can Differential Pressures Steel internal pressure TruVue internal pressure Chamber pressure Steel ΔP 1/3 LOWER FOR FUSION CAN TruVue - ΔP

22 IP Portfolio US Patents Issued: 9,150,328 Container assembly having a heat-sealed metal end, a metal end therefore, and a method for making same 8,998,027 Retort container with thermally fused double-seamed or crimp-seamed metal end 8,939,695 Method for applying a metal end to a container body Published US Patent Applications: Method of Making a Retort Container Apparatus and Method for Induction Sealing of Conveyed Workpieces Retort Container With Thermally Fused Double-Seamed or Crimp-Seamed Metal End Method for Applying a Metal End to a Container Body

23 Clearly Uncanny Transparency = brand impact Robust in rigors of retort Strong barrier for product protection

24 Thank You! 24

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