From the Sector

November 6th through 8th at MarediModa, gain insight into ROICA™ premium partners as they showcase their latest collections. A wide-range of offerings that include innovations using ROICA™ Eco-Smart™ family, the responsible choice. The premium stretch fiber, produced by Asahi Kasei, innovations that meet contemporary business needs and consumer desires for garments in the modern wardrobe; fashion, athleisure, sportswear, intimates and swimwear.

Asahi Kasei, recognized for responsible smart innovations offers the ROICA Eco Smart™ family, the range of the world's first responsibly made premium stretch fibers which includes ROICA™ smart yarns that offer sustainable solutions with impressive certifications: Global Recycled Standard (GRS) certified by Textile Exchange - ROICA™ EF constructed with more than 50% pre-consumer recycled content. Cradle to Cradle Certified™ Gold Level for Material Health product and ingredients - ROICA™ V550 yarn evaluated throughout the supply chain for lower impacts on human and environmental health. Striving toward eliminating all toxic and unidentified chemicals for a safe continuous cycle. Hohenstein Environment Compatibility Certificate - ROICA™ proudly breaks down without releasing harmful substances.

Kick-Off für Neonyt, den globalen Hub für Mode, Nachhaltigkeit und Innovation (15. bis 17. Januar 2019). Im Kraftwerk Berlin lanciert die Messe Frankfurt ein neoneues Konzept, das Style, Business, Inspiration, Knowledge, Fun und Community vereint. Der Hub löst das bisherige Messe-Duo Ethical Fashion Show Berlin und Greenshowroom ab. Die modische Kuratierung rückt noch stärker in den Fokus.
 
Gemeinsam Mode verändern. Durch Kollaboration und Innovation, Nachhaltigkeit und Technologie. Dafür hat die Messe Frankfurt eine neue Business- und Kommunikationsplattform geschaffen: Neonyt – den globalen Hub für Mode, Nachhaltigkeit und Innovation. Eingebettet in die Fashion Week Berlin, international ausgerichtet und weltweit führend. Start für die erste Neonyt ist der 15. Januar 2019 im Kraftwerk Berlin.
 
Das Hub-Konzept.
Mit dem Hub-Konzept vereint Neonyt die wichtigsten Elemente in der Modebranche –  Business, Inspiration, Knowledge, Fun und Community – auf neoneue Weise. Der Hub besteht aus der Neonyt Trade Fair, den Konferenzen Fashionsustain by Messe Frankfurt und #Fashiontech by Premium Group sowie dem Design-Thinking-Format Thinkathon, der Neonyt Fashion Show, Showcases, dem Influencer- und Blogger-Event Prepeek, Networking-Veranstaltungen und nicht zuletzt der Neonyt Party. „Neonyt ist ein Ort, an dem sich Fachleute treffen und austauschen. Wir bringen Produkte und Inhalte mit Menschen und Organisationen zusammen, damit sie wechselseitig ihre Innovationskraft steigern. Dabei greift der globale Hub Neonyt auch auf das Know-how des internationalen Netzwerks ‚Texpertise Network’ der Messe Frankfurt mit weltweit über 50 Messen, rund 22.500 Ausstellern und über einer halben Million Besucher zurück“, erläutert Show Director Thimo Schwenzfeier das neue Konzept.
 
Neo. Nytt. Neonyt.
Der Hub löst das Messe-Duo Greenshowroom und Ethical Fashion Show ab. Mit dem gemeinsamen Namen Neonyt richtet sich die Plattform neu aus und spiegelt selbstbewusst den modischen Anspruch und die Lust, Neues zu gestalten wider. Das Nachhaltigkeitsversprechen von Greenshowroom und Ethical Fashion Show Berlin bleibt dabei unverändert. Das Kunstwort Neonyt leitet sich ab von dem altgriechischen Wort „neo“ (dt. neu, revolutionär“ und dem skandinavischen Wort „nytt“ (dt. neu). „Das erneuerte Neu“ – Neonyt steht als Synonym für den fundamentalen Transformationsprozess der Mode- und Textilbranche.
 
Fashionable. Sustainable.
Mit der Neuausrichtung rückt die modische Kuratierung noch stärker in den Fokus. „Wir gehen mit Neonyt mutig neue Wege – auch was die Auswahl und Zusammenstellung der Brands unter modischen Gesichtspunkten anbelangt. Das gilt sowohl für die Neonyt Trade Fair als auch für die Neonyt Fashion Show. Unser Anspruch ist es, den State of the Art nachhaltiger Mode abzubilden“, sagt Creative Director Magdalena Schaffrin. „Die weltweit größte Messe für Sustainable Fashion sind wir bereits. Aus dieser Position der Stärke heraus, wollen wir in Zukunft progressiver und pointierter werden. Das ist ein längerfristiger Prozess, an dem wir kontinuierlich arbeiten“, kündigt sie an. Von Contemporary, Casual- und Urbanwear über Denim, Street- und Sportswear bis hin zu Business Outfits – mit einer guten Balance aus Leading Brands und Newcomern spricht die Neonyt Trade Show ein internationales Publikum an. Unterteilt in die Segmente Greenshowroom, Moderncasual, Urbanvibe und Craft umfasst das Sortiment neben DOB, HAKA und Kids auch Outdoor, Schuhe, Accessoires, Schmuck und Beauty.
 
A cross-sector community.
Mit der Neonyt Trade Fair, den Konferenzen, Showcases, Events und Partys vereint Neonyt eine Community, die sich über Mode, Zukunftsorientierung, Technikaffinität und ein nachhaltiges Bewusstsein definiert. Geeint durch den Wunsch, einen Veränderungsprozess in der Modebranche voranzutreiben. Oder angetrieben durch die Neugierde, mehr über diese Themen zu erfahren.

Pedex GmbH, the Wald Michelbach based Perlon Group company was named as a finalist of the ‘Großer Preis des Mittelstandes 2018’ (award for small and medium sized companies) at the gala dinner on 15th September 2018. Together with 21 other finalists from the four competing regions Baden Wurtemberg, Bavaria, Hesse and Thuringia came out on top against 2436 nominated businesses.

The motto for this year’s competition -‘Building for the future’ – is the foundation of the unity within our society.
On 24th May, the Oskar-Patzelt-Stiftung, the founder of this award for small and medium sized companies asked for nominations of excellent medium sized companies for the competition, (nominations cannot come from the company itself.) Only 1 in every 1000 German companies make it onto the list of nominations – this year Pedex GmbH made it! The prize winners meet 12 regional juries and a final jury. The focus of the jury (made up of representatives from business and education) is on the company as a whole and its multifaceted role within society. To aid evaluation, the jury asked about the establishment and safeguarding of jobs and apprenticeships, innovation and modernisation, involvement in the local area as well as service and proximity to customers.

Germany’s most sought after business accolade.
In 2018, more than 7400 institutions from the 16 counties (12 competing regions) throughout Germany nominated a total of 4,917 small and medium sized companies as well as banks and local authorities for the competition, from which a short list of 742 was selected. No other business award in Germany carries such weight (and has now for more than two decades) as the one that the Leipzig based Oskar-Patzelt-Stiftung has been awarding since 1994. The prize doesn’t offer any monetary reward. For the businesses involved, it’s simply about honour, public recognition and approval of their performance, without financial incentive.

ROICA™ experts showcase the world-first ROICA Eco-Smart™ Family that offers 2 responsible made yarns: a GRS (Global Recycled Standard) version 3 certified yarn and the world’s first yarn awarded Cradle2Cradle Material Health Gold Level Certificate and Hohenstein Environment compatibility certification.
ROICA Eco-Smart™ Family is a range of the world's first responsibly made premium stretch fibers, which create ROICA™ smart yarns that offer sustainable solutions with impressive certifications:

• Global Recycled Standard (GRS) certified by Textile Exchange - ROICA™ constructed with more than 50% pre-consumer recycled content.
• Cradle to Cradle Certified™ Gold Level for Material Health product and ingredients - ROICA™ yarn evaluated throughout the supply chain for lower impacts on human and environmental health. Striving toward eliminating all toxic and unidentified chemicals for a safe continuous cycle. Hohenstein Environment Compatibility Certificate - ROICA™ proudly breaks down without releasing harmful substances.

At the corporate level, ROICA™ has achieved the following certifications: Oeko Tex 100, ISO 14001:2004, ISO 9001:2008. Moreover, ROICA™ mills in Germany achieved the certification of ISO 50001:2001.
 

The fourth edition of the ICNF - International Conference on Natural Fibers – Smart Sustainable Solutions will be taking place from 1-3 July 2019 in Porto, Portugal, is accepting extended abstracts of two full pages until 31st January 2019.
The Conference, focused on the latest scientific and technical advances in natural fibers will bring together more than 300 participants from universities, research and technological centers and companies.

Program topics
Following up the success of ICNF2017 held in Braga, Portugal, focusing on the topic ‘Advanced Materials for a Greener World’, next year’s ICNF is devoted to the topic ‘Smart Sustainable Solutions’.
The conference topics include:

•    New processes for natural fiber agriculture extraction and processing;
•    Natural fiber reinforced biopolymers;
•    Innovative natural fibers & structures;
•    Functional natural fibers;
•    Natural fiber modification techniques;
•    Advanced fibrous structures based on natural fibers;
•    Nanodimensional natural fibers;
•    Natural fiber based polymeric composites;
•    Green composites;
•    Natural fiber based cementitious composites;
•    Applications of natural fibers in high end sectors;
•    Analytics, modeling and prediction of properties and behavior;
•    Biomimetics;
•    Product development based on natural fibers;
•    Markets for natural fibers;
•    Sustainability of natural fibers: life cycle assessment studies;
•    Textile processing of natural fibers;
•    Properties & characterization of natural fibers & structures.

Natural Fibrenamics Award 2019
After the success of last editions, the Natural Fibrenamics Award is again included in the ICNF2019 program to award the best innovative products in the field of natural fibers. The innovative product applications will be shown during the Conference in a special showroom and evaluated by a selected jury in terms of innovation, design and functionality. The contest intends to be a showcase of the latest innovations in the field of natural fibers, both for the scientific and industrial communities.

The online abstract submission is open until January 31, 2019 at the official ICNF2019 website: www.icnf2019.fibrenamics.com

Premiere mit starker Politik-Präsenz aus Bund und Ländern

Die privatwirtschaftlich organisierten Forschungsinstitute in Deutschland leisten einen zentralen Beitrag für den Transfer wissenschaftlicher Erkenntnisse in Mittelstand und Industrie hinein. Das wurde bei den hochkarätigen Veranstaltungen des ZUSE-TAG REGIONAL deutlich, die am 20.9.2018 bundesweit an rund 30 Standorten mit Beteiligung von mehr als 60 Instituten der Zuse-Gemeinschaft stattfanden. Neben der Präsentation von Innovationen bildete der Austausch mit der Politik aus Bund, Ländern und Kommunen einen Schwerpunkt des ZUSE-TAG REGIONAL, der erstmals in diesem Rahmen stattfand.

„Unsere Forschungseinrichtungen haben am ZUSE-TAG REGIONAL den hohen Wert und die große Vielfalt ihrer Innovationen eindrucksvoll erlebbar gemacht. Im Gegenzug haben wir viel Wertschätzung erfahren. Darauf können wir in unserer Forschungsarbeit an den Instituten ebenso wie für unsere politischen Anliegen aufbauen“, erklärt der Präsident der ZuseGemeinschaft, Dr. Ralf-Uwe Bauer, in einer ersten Bilanz. Zu den Veranstaltungen in elf Bundesländern hatte sich viel Polit-Prominenz eingefunden, so aus dem Bundestag, von Länderregierungen, aus Landtagen und Schlüsselpositionen in Kommunen und Regionen.

Dr. Reiner Haseloff: Stärkung heimischer Wirtschaftskreisläufe
In Sachsen-Anhalt besuchte Ministerpräsident Dr. Reiner Haseloff die in Halle gemeinsam von drei Instituten ausgerichtete Veranstaltung. Anlässlich des ZUSE-TAG REGIONAL erklärte Ministerpräsident Haseloff: „Die Forschungsinstitute der Zuse-Gemeinschaft in Sachsen-Anhalt sind wichtige Projektpartner für zahlreiche kleine und mittlere Unternehmen. Sie tragen zur Verbesserung der Wettbewerbsfähigkeit regional bedeutsamer Branchen bei und stärken die heimischen Wirtschaftskreisläufe.“  

Andreas Lämmel: Förderung erleichtern
Bei der Gemeinschaftsveranstaltung von sechs Instituten der Zuse-Gemeinschaft In Dresden ging der CDU-Bundestagsabgeordnete Andreas Lämmel auf die Rahmenbedingungen privatwirtschaftlich organisierter Forschung für den Mittelstand ein. „Die hohe Kompetenz der in der Zuse-Gemeinschaft vereinten Institute wirkt positiv in verschiedenste Industriebranchen hinein. Die Förderung und Finanzierung von Forschungsinnovationen für den Mittelstand, wie sie die Institute der Zuse-Gemeinschaft hervorbringen, kann noch erleichtert werden“, sagte Lämmel.  

Yasmin Fahimi: Wichtige Ergänzung der deutschen Forschungslandschaft
Als „wichtige Ergänzung der deutschen Forschungslandschaft“ würdigte die SPD-Bundestagsabgeordnete Yasmin Fahimi die Zuse-Gemeinschaft. „Am Zuse-Tag REGIONAL haben die Mitgliedseinrichtungen bundesweit gezeigt, wie Innovation und Leistungsfähigkeit aussieht. Ich konnte mir persönlich ein Bild davon machen, wie die Mitglieder der Zuse-Gemeinschaft mit ihrer Arbeit zwischen den Hochschulen und der Industrie als ein Motor für den Mittelstand wirken“, sagte Fahimi bei einer Veranstaltung am IPH in Hannover. Ihr Fraktionskollege und Vorsitzende der SPD-Landesgruppe Baden-Württemberg, der Tübinger Dr. Martin Rosemann erklärte am NMI in Reutlingen: „Gerade in einer Arbeitswelt, die sich im Wandel befindet, brauchen wir neue Ideen und innovative Ansätze, um den starken Mittelstand bei uns in Baden-Württemberg zu unterstützen. Da sind Ideengeber wie die Zuse-Gemeinschaft von enormer Bedeutung. Hier in Reutlingen entstehen spannende Projekte und ich bin sicher, dass die eine oder andere uns bald auch in unserem Alltag begegnen wird."

Beate Müller-Gemmeke: Nachhaltige Produkte und zukunftsfähige Arbeitsplätze
Ebenfalls in Reutlingen betonte die Bundestagsabgeordnete Beate Müller-Gemmeke (Bündnis 90/Die Grünen) den Stellenwert der Forschungsarbeit an Instituten der Zuse-Gemeinschaft für Beschäftigung und Unternehmertum. „Wissenschaft und Forschung sind wichtige Ressourcen für eine zukunftsfähige Gesellschaft. Die Institute in Baden-Württemberg schaffen auch über die Region hinaus nachhaltige Produkte und zukunftsfähige Arbeitsplätze", erklärte die Arbeitsmarktexpertin der Bündnisgrünen bei der Veranstaltung des Naturwissenschaftlichen und Medizinischen Instituts an der Universität Tübingen (NMI).  

Dr. Petra Sitte für verstärke Förderung wissenschaftlicher Exzellenz
Die Bundestagsabgeordnete Dr. Petra Sitte, Die Linke, hob die wichtige Funktion der Forschungseinrichtungen für den Technologietransfer hervor: „Projekte von Forschungsinstituten der Zuse-Gemeinschaft leben vom wirtschaftlichen Erfolg der Technologieentwicklungen. Für einen auch künftig erfolgreichen Technologietransfer von der Forschung in die Industrie bietet sich eine verstärkte Förderung der wissenschaftlichen Exzellenz in den privatwirtschaftlich organisierten Instituten an“, sagte Sitte.

Nicola Beer: Zuse-Gemeinschaft als Bindeglied zwischen Wirtschaft und Wissenschaft
Die FDP-Abgeordnete Nicola Beer erklärte anlässlich des ZUSE-TAGES REGIONAL: „Die Sicherung unseres Wohlstandes wird entscheidend von der Entwicklung und der Anwendung innovativer Technologien abhängen. Die Zuse-Gemeinschaft als Zusammenschluss von privatwirtschaftlich organisierten Forschungsinstituten bildet die dritte wichtige Säule neben den Hochschulen und Großforschungsverbünden. Sie ist ein wichtiges Bindeglied zwischen Wirtschaft und Wissenschaft und wirbt als starker Verbund gegenüber der Politik um die Bedeutung von Forschung und Entwicklung für unsere Zukunft hier in Deutschland.“

Auch über den ZUSE-TAG REGIONAL hinaus zeigt die Zuse-Gemeinschaft ihre Innovationen. Neue Highlights aus der Forschungswelt der Institute werden online im Pressebereich laufend präsentiert, die Themen reichen von Biotechnologie und Ernährungsforschung über Gesundheits- und Medizintechnik, Textilien, Kunststoffe und Metalle bis hin zu Mikrosystem- und Werkzeugtechnik. 

• Italian expertise, research and green innovation.
• METALBOTTONI ups the stakes with one-of-a-kind interpretations, to enhance its market presence.

At Première Vision Accessories (Paris, 19-21 September) the company presents the new collection VÀNITA, a mix of leatherwear and sportswear, based on Made in Italy craft, with an increasingly wide and coordinated range.

Based on product experience, combining new trends in accessories. The METALBOTTONI strategy is enriched with product novelties which aim at exploring new existing market segments. A strategy which increasingly leads great artisan production skills to meet constant research and expansion of the range, with the world of sportswear becoming more and more pivotal; without forgetting the important sustainable innovations of the NO IMPACT protocol.

No Impact becomes “Committed Accessories”

The guideline for restyling the METALBOTTONI range over the past two years has been the recent implementation of the NO IMPACT corporate sustainability protocol, which has just acquired a new “dress”, associated with the following pay-off: “Committed Accessories”. It is a way of underscoring the constant green development of the company over the past few years, in terms of process and product: use of recycled raw materials, development of finishing without chemicals, implementation of processes which today have allowed to reduce electricity and water consumption to almost zero.

Moreover the range of NO IMPACT proposals for this season has expanded to include not only new metal finishing but also leather label completely made from processing scrap, thus establishing Metalbottoni as “partner for branding elements” also in terms of sustainability. Pure Made in Italy and constant expansion of collections towards sportswear The great skill in metal processing, which for sixty years now has characterised the top-of-the-range quality of METALBOTTONI products, is now combined with constant research work conducted by our in-house Style Office, resulting in new collections which are more and more in line with the trends emerging from major trade fairs. Maintaining a presence on strong markets (central Europe, Northern Europe and United States), increasing the depth of segments and intercepting new ones. This is the main goal also chosen for the Première Vision Accessories Exhibition where, alongside the autumn-winter 2019/2020 collections, there will be a preview of VÀNITA, the new collection dedicated to leatherwear and more.

METALBOTTONI is proving to be one of the most dynamic companies in the accessory industry.

Over the past two years, in fact, it has introduced numerous product and process innovations, aiming at increasing its range especially as regards sportswear accessories. This trend was driven by a substantial increase in demand by read-to-wear and luxury brands in the past two seasons, and today it means new proposals which account for 35% of the range for METALBOTTONI. New collections have been presented in the past two seasons expressly dedicated to the sportswear world, namely GRAVITA, the first line designed by the company for pressure buttons, and MÀRYA, the new beachwear collection. Also the line called LABORA, the classic collection of accessories for fashion and ready-to-wear has been constantly enhanced with proposals combining style and technical performance. This mix of fashion and sport elements is increasingly evident in the company’s product range, for example in the combination of different materials, using metal with nylon or other resins to create new and unique accessories.

Vànita: beyond leatherwear, a world of accessories

The meeting between fashion, luxury and sportswear has produced VÀNITA, the brand new collection which presents a new approach to accessories dedicated to leatherwear, from an allround perspective from luxury to sportswear. Developed starting from solid product research by the company’s in-house Style Office, VÀNITA is a true meeting of styles and elements, a combination of high product standards with unique elegance. This line introduces one-of-a-kind visions for accessories, exploring highly original pathways dedicated to the world of leather. The VÀNITA proposal ranges from accessories for leatherwear and small leatherwear, to those for shoes, bags and the sportswear worlds. There are two main lines within this collection: one is expressly designed for the world of luxury, the other has a more technical and sporty approach. A true mix between artisan metal processing, based on the great METALBOTTONI expertise in this sector, and “ingredients” such as nylon, rubber finishes or innovative 3D processing, which are often combined together.

“Our goal is to offer an increasingly comprehensive range which allows us to explore new segments on the markets where we are present” - says Gregorio Valli, CEO and President of METALBOTTONI S.P.A – “a ‘recipe’ which should be able to integrate our unmatched product expertise with a constant expansion of our range and continuous implementation of our pathway towards corporate responsibility and sustainability”.

• Aus Hanf mach Fleece

CARLSBAD, CA – Die Hanffaser ist umweltfreundlich herzustellen, biologisch abbaubar und passt so erstklassig zum Sustainable Clothing Movement. Begeistert von der pflanzlichen Textilfaser, hat prAna für die Winterkollektion 2018 ein eigenes Fleece-Material aus Hanf kreiert: das Cardiff Fleece. Das flauschige, langlebige und nachhaltige Material wird für warme und weiche Teile wie dem Cozy Up Sweatshirt eingesetzt.

Im Herbst setzt prAna noch stärker auf die nachhaltigste aller Fasern: Hanf. Die außerordentlich robuste Pflanze kann ohne chemische Schädlingsbekämpfer und Dünger angebaut werden. Die Handhabung des schnell nachwachsenden Rohstoffs ist positiv und sicher für Landwirte und hinterlässt außerdem fruchtbare Böden. Auch für Endverbraucher lohnt sich der Griff zur Hanffaser, denn sie besitzt eine natürliche klimaregulierende Funktion, leitet Feuchtigkeit weiter, ist antimikrobiell und sehr langlebig.

Entgegen der landläufigen Meinung kann Hanf auch zu einem sehr flauschigen Material verarbeitet werden. Für den extra Kuschelfaktor hat prAna aus der ökologischen Faser ein eigenes Fleece-Material entwickelt. Das Cardiff Fleece-Material besteht aus Hanf, recyceltem Polyester und dem Zellstoff Tencel®. Das Zusammenspiel der drei nachhaltigen Rohstoffe überzeugt. Dank dem Tencel®-Anteil ist das Fleece butterweich und liegt flauschig auf der Haut. Hanf steuert seine natürliche Langlebigkeit bei, und der Anteil an recyceltem Polyester sorgt für schnellere Trocknungszeiten und geringes Gewicht.

Das Cardiff Fleece-Material wird in lässigen Basics wie Cozy Up Sweatshirt, Wayfree oder Trawler Hooded Henley Fleece verarbeitet. Damit präsentiert prAna nachhaltige, warme und langlebige Allrounder – ideal für Abenteuer an kalten Tagen.

• Successful acquisition of Austrian plastics recycling company Ecoplast Kunststoffrecycling GmbH

Borealis, a leading provider of innovative solutions in the fields of polyolefins, base chemicals and fertilizers, announces today that it has fully acquired the Austrian plastics recycler Ecoplast Kunststoffrecycling GmbH (“Ecoplast”). Based in Wildon, Austria, Ecoplast processes around 35,000 tonnes of post-consumer plastic waste from households and industrial consumers every year, turning them into high-quality LDPE and HDPE recyclates, primarily but not exclusively for the plastic film market.

The expectation of Borealis is that the recycled PO market will grow substantially by 2021, which is the strategic rationale behind the acquisition. The company has made PO recycling a key element of its overall PO strategy because of its potential to support both growth and sustainability. Borealis has been an industry frontrunner in making polyolefins more circular. In 2014, it began offering high-end compound solutions to the automotive industry, consisting of 25% and 50% post-consumer recycled content. Borealis was also the first virgin PO producer to explore the possibilities of mechanical recycling, by acquiring one of Europe's largest producers of post-consumer polyolefin recyclates - mtm plastics GmbH and mtm compact GmbH – in July 2016. Since then it has continued to invest into the development of technology and new products in the area of circular polyolefins.

“Borealis recognises the increasing need for plastic recycling and sees the Circular Economy as a business opportunity. Borealis already has a long-term collaboration with Ecoplast and this acquisition is the next logical step in building our mechanical recycling capabilities. As an important complement to mtm in Germany, Ecoplast will help us address critical sustainability challenges and become a polyolefin recycling leader. Eventually, we want to use our experience to develop an effective blueprint for the end-of-use phases for plastics that can be applied in other parts of the world,” says Borealis Chief Executive Alfred Stern.

“We are very happy that the transaction with a strong and reliable partner such as Borealis has been successfully concluded and are looking forward to our common future activities on the recycling market. We have located potential synergies in many operative and strategic areas, especially in product quality R&D and future applications of polyethylene-film-recyclates. The combination of Ecoplast and Borealis holds the potential to be groundbreaking for the market,” says Ecoplast’s Managing Director Lukas Intemann.

• Decline in revenue due to volatile standard viscose prices and currencies
• Prices for key raw materials still high
• New production line in Heiligenkreuz in start-up phase
• Backward integration into dissolving wood pulp to be strengthened via joint venture in Brazil

Lenzing – The Lenzing Group generated solid results in a challenging market environment in the first half of 2018. The decline in revenue and earnings compared with the first half of the previous year, which was the best half-year in the company’s history, was based on a mix of volatile prices for standard viscose and price increases for key raw materials, coupled with currency effects. The Lenzing Group’s strategic orientation with a focus on specialty fibers had a positive impact in this environment and is increasingly bearing fruit. The corporate strategy sCore TEN is being implemented with great discipline in order to expand the company’s offering of specialty fibers and even more extensively support customers and business partners.

Revenue declined by 6.4 percent compared with the first half of the previous year to EUR 1,075.4 mn. This decrease is primarily attributable to less favorable currency exchange rates. EBITDA (earnings before interest, tax, depreciation and amortization) decreased by 28.1 percent to EUR 194.8 mn, especially due to price increases for key raw materials and higher energy prices. The EBITDA margin fell from 23.6 percent in the first half of 2017 to 18.1 percent in the first half of 2018. EBIT (earnings before interest and tax) declined by 37 percent to EUR 128.7 mn, leading to a lower EBIT margin of 12 percent (H1 2017: 17.8 percent). The net profit for the period dropped by 39.3 percent from EUR 150.3 mn in the previous year to EUR 91.3 mn. Earnings per share equaled EUR 3.44 (H1 2017: EUR 5.55).

“So far, the financial year 2018 proved to be as challenging as expected, and market headwinds were clearly noticeable. In this market environment, we are satisfied with the solid results we report. We are proud that with our corporate strategy sCore TEN and the focus on growth with specialty fibers we show big steps in the right direction. The recently announced joint venture with Duratex is another important step in executing this corporate strategy,” says Stefan Doboczky, Chief Executive Officer of the Lenzing Group. “We will continue to implement our strategy with great discipline and are convinced that this will steadily improve the long-term profitability of Lenzing,” Doboczky adds.

Largest dissolving wood pulp line worldwide

In June, the Lenzing Group and Duratex, the largest producer of industrialized wood panels of the southern hemisphere, announced that they had agreed on the terms and conditions to form a joint venture to investigate building the largest dissolving wood pulp plant (single line concept) in the state of Minas Gerais, (Brazil). This decision supports the self-supply with dissolving wood pulp and the growth in specialty fibers, defined in Lenzing’s sCore TEN strategy. The joint venture will investigate the construction of a 450,000 t dissolving wood pulp plant, which is expected to become the largest and most competitive single line dissolving wood pulp plant in the world. The final investment decision to build the dissolving wood pulp plant is subject to the outcome of the basic engineering studies and the approval by the respective supervisory boards.

Even stronger focus on sustainable products

As a pioneer in sustainable fiber solutions, the Lenzing Group is committed to higher standards in the textile and nonwoven sectors. More than EUR 100 mn will be invested in sustainable manufacturing technologies and production facilities by 2022 in order to realize this vision. In line with the Group’s specialty strategy, another two milestones were set in the first half of 2018: Lenzing announced an investment of up to EUR 30 mn in another pilot line for the production of TENCEL™ Luxe filaments at the Lenzing site. In addition, the company also introduced the environmentally friendly process for the production of LENZING™ ECOVERO™ branded viscose fibers at its Chinese site. Both decisions contribute to better meeting the strong demand for environmentally compatible products.

Expansion of capacities

CAPEX (investments in intangible assets and property, plant and equipment) rose by 60.8 percent year-on-year to EUR 117.2 mn in the first half of 2018. This is primarily attributable to the capacity expansions in Heiligenkreuz (Austria) and Mobile, Alabama (USA) and the expansion of the existing dissolving wood pulp plant in Lenzing. The company is pressing ahead with these projects as well as with planning work on the construction of the next state-of-the-art lyocell production facility in Prachinburi (Thailand).

New brand identity

With the new positioning of its master brand and its product brands, the Lenzing Group started a new phase of branding and brand communication in the first half of 2018. Lenzing decided to carry out a new brand strategy in order to sharpen its company and product profile as a sustainable innovation leader for customers and partners along the value chain as well as for consumers. The most important pillar of this new brand strategy is a brand architecture with a focus on fewer brands and a strong message to consumers. With the TENCEL™ brand as an umbrella brand for all specialty products in the textile segment and the VEOCEL™ brand as the umbrella brand for all specialty fibers in the nonwoven segment as well as the new master brand, which was presented in March, Lenzing showcases its strengths in a targeted manner.

Outlook

The International Monetary Fund expects a further acceleration in global economic growth to 3.9 percent for 2018. However, growing protectionist tendencies in the political arena represent a source of uncertainty. Export-oriented companies in the Eurozone are faced with additional challenges from the currency environment.

Developments on the fiber markets should remain positive, but with continuing volatility. The rising demand for cotton should support prices despite the increase in production. Polyester fiber prices have stabilized after the increase in previous years.

The wood-based cellulosic fiber segment, which is relevant for Lenzing, should see further strong demand. After years of moderate capacity expansion in the viscose sector, significant additional volumes will enter the market in 2018 and 2019. As a result, standard viscose prices will remain under pressure. The Lenzing Group is very well positioned in this market environment with its corporate strategy sCore TEN and will continue its consistent focus on growth with specialty fibers.

The Lenzing Group still sees challenging market conditions for the second half of 2018. In addition to the price pressure on standard viscose, the prices of some key raw materials such as caustic soda are still at a very high level and exchange rates continue to be volatile. Our specialty fibers are expected to continue their very positive development. In this context, the Lenzing Group is satisfied with the earnings development to date, but underlines its estimate that the results for the year 2018 will be lower than the outstanding results in the last two years.