Newsworthy

> MUNICIPAL / ACQUISITIONS

ReCommunity Acquires Hudson Baylor Co.
ReCommunity Recycling, based in Charlotte, N.C., has acquired Hudson Baylor Corp., a material recovery facility (MRF) operator based in Newburgh, N.Y. The purchase includes Hudson Baylor’s 12 facilities in the Northeast and Southwest, two more facilities set to open this year, its glass bottle recycling facility and the company’s 300 employees.

According to a company statement, the purchase allows ReCommunity to expand its footprint to the Western U.S. with the addition of three MRFs in the Arizona cities of Scottsdale, Phoenix and Tucson. Hudson Baylor’s glass bottle recycling facility also is expected to complement ReCommunity’s operations.

ReCommunity has been on an acquisition run during the past several months. In late 2011, the company acquired two single-stream MRFs from Great Lakes Recycling, based in Roseville, Mich.

“We are grateful and pleased to welcome Hudson Baylor, a market leader that shares our community-centric vision for next-generation resource recovery, to the ReCommunity family,” Jim Bohlig, ReCommunity CEO, says. “Our great admiration for Hudson Baylor and the community partners it serves inspired us to bring our vision for creating value for communities to the broadest possible audience.”

Hudson Baylor facilities and operations will be folded in under the ReCommunity name, Rob Doughty, a company spokesman, says. Major personnel changes are not immediately anticipated, he says, though ReCommunity executives will meet with Hudson Baylor executives in the coming months to determine their long-term roles in relation to the company’s growth strategy. He adds, “They are going in with the view of not making any changes.”

Doughty says ReCommunity’s decision to purchase Hudson Baylor was based upon the additional growth potential the company could contribute. “ReCommunity is looking to grow, and they saw that the cultures and the values of the two companies were very aligned,” he says.

Hudson Baylor has been in the recycling business for 28 years. In September 2011, the company was selected for the second year in row as one of Inc. magazine’s fastest growing private companies.

“I believe the merged company will continue to provide the recycling industry with the best service for its clients through the strong commitment of its loyal employees,” says Scott Tenney, president and owner of Hudson Baylor.

Tenney says ReCommunity approached him about selling his company and the idea made sense. “I just thought that combination of the two companies was a good way to go into the future, and it seemed like a good time for me to bow out, so that’s what I did.”

Tenney says he wasn’t looking for an exit strategy at the time, though that’s what transpired. “I was able to accomplish that end game, if you will, and it’s good to know that the folks from ReCommunity have a lot of the similar types of beliefs that Hudson Baylor had and continues to have.”

Recommunity now owns 35 facilities, including 30 MRFs, four transfer stations and one glass processing facility.
 

> METALS

Alcoa Cuts Smelter Capacity
The Pittsburgh-based aluminum company Alcoa has announced plans to close or curtail 531,000 metric tons, roughly 12 percent, of its global smelting capacity. Alcoa says the move is meant to lower the company’s position on the global aluminum cost curve and to improve its competitiveness.

The company plans to permanently close its smelter in Alcoa, Tenn., which was curtailed in 2009, along with two of the company’s six idled potlines at its Rockdale, Texas, smelter. Together, the closures will reduce Alcoa’s global smelting capacity of 4.5 million metric tons per year by 7 percent.

Alcoa also has announced it is halting production at its smelters in Portovesme, Italy, and in La Coruña and Avilés, Spain. The smelters represent 240,000 metric tons, or 5 percent, of Alcoa’s global capacity.

In addition to the closures and curtailments, Alcoa says it will accelerate actions to reduce the cost of raw materials used by its primary products business and will adjust capacity across its global refining system to reflect internal demand as well as prevailing market conditions.

“These are difficult but necessary steps to improve Alcoa’s competitiveness, preserve and grow shareholder value and protect jobs in the rest of the Alcoa system,” Alcoa Chairman and CEO Klaus Kleinfeld says.

Alcoa says aluminum prices have fallen more than 27 percent from their peak in 2011. The company says the reductions are expected to be complete by the first half of 2012. The company also will reduce alumina production across its global refining system to reflect the final halts in smelting and prevailing market conditions. The reductions will contribute to the company’s goal of lowering Alcoa’s position on the world aluminum production cost curve by 10 percent.
 

 

> PLASTICS

Coca-Cola Signs Agreement to Boost PlantBottle Packaging
The Coca-Cola Co., headquartered in Atlanta, has signed multi-million dollar partnership agreements with three biotechnology companies designed to accelerate the development of its PlantBottle packaging, which is made from plant-based materials.

The effort to commercialize a plastic bottle made entirely from plants builds on Coca-Cola’s introduction and roll-out of its first generation PlantBottle package, which the company says is the first recyclable PET beverage bottle made partially from plants. Since being introduced in 2009, the company has distributed more than 10 billion PlantBottle packages in 20 countries.

From left: Virent CEO Lee Edwardst; Genvo Inc. CEO Patrick Gruber.; Vice President, Commercial Product Supply, Coca-Cola., Rick Frazier; and Avantium CEO Tom van Aken

Virent, Gevo and Avantium, each of which are involved in developing plant-based alternatives, are the company’s partners. The agreements were signed following a two-year analysis of different technologies by Coca-Cola’s research and development team and technical advisory board.

“While the technology to make bio-based materials in a lab has been available for years, we believe Virent, Gevo and Avantium are companies that possess technologies that have high potential for creating them on a global commercial scale within the next few years,” says Rick Frazier, vice president of commercial product supply, Coca-Cola. “This is a significant R&D investment in packaging innovation and is the next step toward our vision of creating all of our plastic packaging from responsibly sourced plant-based materials.”

Coca-Cola says the agreements with the three companies will help it support its long-term commitments through sustainable practices in sourcing and packaging supply. The company adds that while Virent, Gevo and Avantium will follow their own routes to make bio-based materials, all materials will be developed in line with Coca-Cola’s and overall industry recycling requirements.

Lee Edwards, Virent CEO, says, “PET made from Virent’s bio-based paraxylene features the same high quality and recyclability as materials used today, with the added benefit of being made from a wide range of renewable materials. The company is targeting early 2015 for the opening of its first full-scale commercial plant.”

Patrick Gruber, CEO of Gevo, adds, “New technologies need champions. The Coca-Cola Co. is in a unique position to drive and influence change in the global packaging supply chain with this development. You cannot ask for a better champion than one of the most respected and admired consumer brands.”

Avantium CEO Tom Van Aiken says, “We have produced PEF (polyethylene furanoate) bottles with promising barrier and thermal properties and look forward to our work with Coca-Cola to further develop and commercialize PEF bottles. Our production process fits with existing supply and manufacturing chains and we are targeting commercial production in the next few years.”

Coca-Cola says it will continue to make investments in PlantBottle technology and aims to use PlantBottle packaging for its entire virgin PET supply by 2020.

More information is available at http://www.thecoca-colacompany.com/citizenship/plantbottle.html.
 

 

> ELECTRONICS

New York Bans Disposal of Obsolete Electronics
As of Jan. 1, 2012, private and public waste haulers and transporters in the state of New York are prohibited from collecting electronic scrap unless is it destined to be recycled or reused.

The ban is part of the New York State Electronic Equipment Recycling and Reuse Act, signed into law May 28, 2010. The New York State Department of Environmental Conservation (DEC) administers the law.

According to the DEC, the law also requires retailers of electronics to provide customers with written information regarding available options for recycling obsolete electronics.

In addition, owners and operators of solid or hazardous waste management facilities must post signage about the new law in conspicuous locations.

The law shifts the end-of-life costs of managing electronic scrap from municipalities to product manufacturers. The shift also is designed to encourage consumers to take advantage of the numerous free and convenient recycling opportunities available to them as part of the new law.

More information on the New York State Electronic Equipment Recycling and Reuse Act, including locations where consumers can bring obsolete electronics for recycling, is available from the DEC website at www.dec.ny.gov/chemical/66872.html.
 

 

> ELECTRONICS

Sims Recycling Solutions Joins CAER
The Coalition for American Electronics Recycling (CAER) has announced that Sims Recycling Solutions (SRS), with North American headquarters in Chicago, has joined an industry effort to support federal legislation designed to restrict the export of electronic scrap from the United States. CAER says such action will “create jobs through the expansion of the domestic recycling industry.” In the House of Representatives, 13 co-sponsors have announced support for the bill.

With the addition of SRS, CAER’s membership includes 34 U.S. companies with 89 facilities involved in electronics recycling. Combined, the companies have operations in 32 states as well as in the District of Columbia. Also supporting the legislation are Hewlett-Packard, Dell, Apple, Samsung, Best Buy and LG, according to CAER.

“The addition of these industry leaders reflects growing consensus that the Responsible Electronics Recycling Act is good for business and will create much-needed jobs and enhance sustainability,” says John Shegerian, co-founder and president, Electronic Recyclers International (ERI), Fresno, Calif. “Our members are committed to growing an American industry with the capacity to manage e-waste generated within our borders and the potential to create tens of thousands of jobs in every part of the country.”

Introduced in June, the Responsible Electronics Recycling Act (HR 2284/SB1270) would restrict obsolete electronics exports to developing countries that CAER says “lack adequate safeguards for the environment and workers.” Additional co-sponsors have joined the bill in recent weeks, says CAER, which can be found on the Web at www.americanerecycling.org.

Joining Rep. Gene Green, the lead House sponsor of the bill, are 13 co-sponsors: Mike Thompson, Lee Terry, Steve LaTourette, Anna Eshoo, Blake Farenthold, Charlie Gonzalez, Mazie Hirono, Dennis Ross, Zoe Lofgren, Grace Napolitano, Jeff Denham, Jim Costa and Gus Bilirakis. In the Senate, similar legislation is co-sponsored by U.S. Senators Sherrod Brown, Sheldon Whitehouse and Lisa Murkowski.

According to CAER, by joining CAER, companies such as SRS, ERI and Hugo Neu are “taking a stand in support of export restrictions on unprocessed electronic products that will create jobs and protect the environment.” CAER’s news release says these companies are deviating from the Institute of Scrap Recycling Industries Inc. (ISRI) position on the issue, since the group does not favor a comprehensive trading ban.

“Unrestricted and unfair trade in electronic scrap with developing countries has thwarted the job growth that can come with a robust domestic recycling infrastructure,” says CAER steering committee member David Zimet, president of Hesstech.

“The Responsible Electronics Recycling Act will enable American recyclers to make new investments in facilities and staff and personnel necessary to legitimize and grow an American industry and position America as a leader in global markets,” adds Zimet.

CAER is continuing to work with the House Energy and Commerce Committee and the Senate Environment and Public Works Committee, which have jurisdiction over the bills, as well as other Congressional offices that could “benefit from the possible job creation this legislation could lead to,” accoridng to CAER.

More information about HR 2284/SB1270, can be found at the CAER website, which includes links to the full text of each bill.

A complete list of CAER members is available from Recycling Today’s website at www.recyclingtoday.com/FileUploads/file/Recycling/CAER_Members.pdf.
 

 

> METALS

City OKs Improvements for Ohio Metals Recycler
The Akron, Ohio, City Council has approved a development agreement worked out between TSB Metal Recycling LLC and the Akron Department of Planning and Urban Development.

The agreement is designed to enhance the scrap yard’s operations while also providing improvements to the surrounding neighborhood. The agreement also is expected to increase the amount of scrap metal processed at the Akron scrap yard.

TSB Metal Recycling LLC, a subsidiary of Canton, Ohio-based steelmaker Timken Co., formerly was known as City Scrap & Salvage before Timken acquired the company in early 2011.

According to the Akron Department of Planning and Urban Development, the city will design, construct and provide inspection services for a connector road to the scrap yard, which is expected to ease the amount of truck traffic driving through residential streets surrounding the facility. TSB will pay for the new road, which is expected to cost $450,000.

TSB also says it plans to invest $7 million on a 14,000-square-foot warehouse and a 4,000-square-foot office building at the location to be completed in August 2013.

The city of Akron has agreed to provide TSB with tax-increment financing during the next 30 years to cover the costs of the road and drainage work.
 

 

> METALS

Freedom Metals Acquires Bates Iron and Metal
Freedom Metals, a Louisville, Ky.-based scrap metal recycler, has announced the acquisition of Bates Iron and Metal, located in West Liberty, Ky. Gary Bates, former owner of Bates Iron and Metal, will join Freedom Metals as general manager of the acquired facility.

Spencer Blue, Freedom Metals vice president and COO, says of the acquisition, “Bates will enable us to reach out further in the eastern Kentucky area and continue the path of strategic growth within Kentucky.”

Bates Iron serves customers within a 50-mile radius and has been in operation since 2010. The company currently has a warehouse for nonferrous metals and a yard for ferrous metals.

Because the current West Liberty location is small, Freedom Metals says it expects to transition the facility to a new location in the city within the first half of 2012.

“This isn’t one of those ‘mega mergers or acquisitions’ but part of a synergistic strategy for growing our business in an ‘organic’ methodical way,” says Bruce Blue, founder of Freedom Metals.

Bates adds, “With Freedom Metals on board, we will be able to continue to grow in our little area of eastern Kentucky. The strength of Freedom will enable us to grow our retail business while also developing our industrial, C&D and small dealer business.”

Spencer says Freedom Metals is infusing the Bates location with capital to add much-needed equipment in an effort to boost its processing capabilities. Some of the new equipment will include a truck scale, grapples and magnets.

Freedom Metals has yards in Louisville, Elizabethtown, Winchester and West Liberty, Ky.
 

 

> PLASTICS

Ford Motor Co. Boosts Use of Recycled PET
Ford Motor Co. says it plans to significantly increase its use of materials made with post-consumer plastics in its vehicles through the use of Repreve fabrics. The company says it expects to divert approximately 2 million post-consumer plastic bottles in its automobiles, starting with its 2012 Focus Electric, the first vehicle to feature Repreve seat fabric made from recycled plastic bottles.

“Ford is committed to delivering vehicles with leading fuel efficiency, while targeting at least 25 percent clean technology in interior materials across our lineup,” says Carol Kordich, lead designer of sustainable materials for Ford. “The Focus Electric highlights this commitment as Ford’s first gas-free vehicle and the first in the automotive industry to use branded Repreve.”

Roger Berrier, president and COO of Unifi, the producer of Repreve, says, “After decades of education, the United States PET bottle recycling rate is only at 29 percent, about half the rate of Europe.” He continues, “We hope this recycling initiative with Ford will help raise visibility around the importance of recycling with a goal to drive recycling rates to 100 percent.”

The companies say they will collect bottles at events throughout the year, beginning with the North American International Auto Show.
 

 

> ELECTRONICS

Avnet Acquires Round2
The reverse logistics and after-market services firm Avnet Inc., headquartered in Phoenix, has signed an agreement to acquire Austin, Texas-based Round2 Inc. and its parent company Round2 Technologies Inc.

Round2 provides integrated solutions through electronics testing and repair, product disassembly and commodity recycling. The company operates facilities in Texas, Ohio and Georgia.

Steve Church, Avnet Integrated Resources president, says. “The acquisition of Round2 Technologies is important to Avnet, as it complements our strategy to offer a total solution to the after-market.”

More information on Avnet is available at www.avnet.com.
 

 

> METALS

OmniSource Seeks to Open Recycling Plant in Ohio
OmniSource, a scrap metal recycler based in Fort Wayne, Ind., has applied for a permit to open an auto recycling facility in Macedonia, Ohio. The property the company is considering contains two zoning districts—one zoned for limited industrial use and a smaller portion that is zoned for general industrial use.

The Macedonia Planning Commission decided to table approval at its Dec. 12 meeting. A spokeswoman for Macedonia says the company may reschedule a hearing on the project at an upcoming meeting.
 

 

> MUNICIPAL

Report Says Boosting Recycling Could Create 1.5 Million Jobs
The BlueGreen Alliance, Washington, D.C., has released a report that claims a national recycling rate of 75 percent would create nearly 1.5 million jobs, reduce pollution and improve public health and generate strong local economies with stable employment bases.

It also would reduce carbon dioxide emissions by 276 million metric tons by 2030.

The report, “More Jobs, Less Pollution,” is available at www.bluegreenalliance.org/morejobslesspollution.More information also is available at www.bluegreenalliance.org/morejobslesspollution.
 

 

> MUNICIPAL

Waste Management Seeks to Build MRF in Nevada
Waste Management, based in Houston, has been in discussions with the city of Reno, Nev., about converting the city’s recycling program from source separated to single stream.

Justin Caporusso, a spokesman for Waste Management’s Reno operations, says the company is seeking to expand the single-stream program to cover the whole city as well as surrounding areas.

Currently, the company has 11 different plants in the Reno area. If the city approves the change, Waste Management says it hopes to merge many of the operations.

Waste Management already has purchased land and has designed its proposed EcoCenter facility. Caporusso says he expects the city to reach a decision on converting its program to single stream by the end of the first quarter of 2012.

If an agreement is reached, Waste Management will start construction of the 60,000-square-foot EcoCenter.
 

 

> ELECTRONICS

SRS Opens Facility in Dallas
Sims Recycling Solutions (SRS), Chicago, has opened a new electronics recycling facility in Dallas. Formal operations began November 2011.

According to SRS, the facility, which is slightly larger than 31,500 square feet, will service residents and businesses throughout Texas.

Steve Skurnac, president of SRS, Americas, says, “Electronic waste is an exponentially growing problem all over the world. By bringing our electronics recycling and asset management capabilities to Dallas we are protecting Texas consumers and businesses from the risks associated with electronic waste disposal, minimizing freight costs, reducing greenhouse gas emissions, simplifying logistics and bringing new green jobs to Texas.”

The new facility includes hand dismantling of electronics, hard drive destruction, baling and asset management.

More information is available at http://simsrecycling.com.
 

 

> ELECTRONICS

TechnoCycle Opens San Antonio Plant
The electronics recycling firm TechnoCycle, Houston, has expanded its electronics disposal and recycling services with the opening of a new electronics recycling facility in San Antonio.

The company says its new 30,000-square-foot facility will serve customers throughout San Antonio and Austin as well as in Bexar County and surrounding areas.

TechnoCycle says it is certified to the e-Stewards and R2 (Responsible Recycling Practices) standards for electronics recycling. The company provides on-site and off-site data erasure and shredding of electronics.

Mike Buckles, Technocycle owner and founder, says the new facility will offer the same services as its Houston facility.

“We see a growing demand for the secure and environmentally responsible disposal of end-of-life technology—in a rapidly changing technological society. We are proud of the certifications we have achieved and of our reputation in this industry,” Buckles says.
 

 

> METALS

Empire Recycling to Open Facility in Watertown, N.Y.
Empire Recycling, a recycling company headquartered in Utica, N.Y., has received approval to open a metals recycling facility in an idled Watertown, N.Y., building. The facility, which is expected to open this spring, will service retail and industrial accounts.

Executive Vice President Ed Kowalsky says the purchase of the 75,000-square-foot building will allow the company to process ferrous and nonferrous metals indoors.

According to published reports, Empire had expressed interest several years ago in opening a new facility in the Watertown area, but the costs to construct a facility were cost-prohibitive.

The main section of the building, measuring 50,000 square feet, provides ample room for processing metals, Kowalsky adds. While some renovation will be required, structural changes aren’t anticipated. Kowalsky says the facility will include mobile shears, excavators and skid-steer loaders.

In a related development, the company has acquired Perkins Scrap Metal, a Watertown scrap metal firm. Kowalsky says Perkins has been worked with Empire Recycling for several years.

The Watertown facility will be Empire Recycling’s eighth location in New York. In addition to its scrap metal recycling facilities, Empire operates a paper recycling division, a confidential document destruction service and an electronics recycling facility.
 

 

> ELECTRONICS

WM Recycle America’s eCycling Facilities Attain e-Stewards Certification
WM Recycle America LLC, a subsidiary of Waste Management Inc., Houston, has announced all seven of its electronics recycling facilities have earned certification to the e-Stewards Standard for Responsible Recycling and Reuse of Electronic Equipment.

The e-Stewards certification program was created by the Basel Action Network (BAN), Seattle, to recognize electronics recyclers that adhere to BAN’s environmentally and socially responsible practices.

Pat DeRueda of WM Recycle America says, “By operating e-Stewards-certified eCycling facilities, Waste Management is able to provide our customers with environmentally conscientious recycling services.”
 

 

> METALS

Pacific Steel Opens a Second Facility in Washington City
Pacific Steel and Recycling, a Montana-based scrap metal recycling firm, has opened a 13-acre scrap metal recycling facility in Kennewick, Wash. The new location is less than 1 mile from an existing facility the company operates.

The company says it has shifted its operations to the new facility, using the smaller Kennewick yard for storage.

Patrick Kons, Pacific Steel vice president of scrap operations, says the new facility will allow the company to significantly increase its processing capabilities in the Kennewick area.

In addition to being roughly four times larger than the company’s original plant, most of the new facility will be paved, contributing to a cleaner, more efficient operation, according to Kons. The new plant, which officially opened Jan. 3, 2012, also includes scales, a baler, a building for processing nonferrous metals and a remediation building where the company drains fluids from old automobiles.

“The new facility will be very user friendly,” Kons says. “Our former facility was very tight. It limited our ability to do business.”

Pacific Steel operates 42 facilities in nine states, primarily in the Northwestern part of the United States.

More information on the company is available at www.pacific-recycling.com.
 

 

>ELECTRONICS

Cell Phone Recycler Receives $35 Million in Financing
The cell phone recycler eRecyclingCorps (ERC) has raised $35 million in a fundraising effort led by the venture capital firm Kleiner Perkins Caufield & Byers, Menlo Park, Calif.

ERC launched in 2009 with investments from OpenAir Equity Partners and SJF Ventures to help carriers and subscribers recapture the residual value of used wireless devices.

ERC CEO David Edmondson, former CEO of RadioShack, and Ron LeMay, former CEO of Sprint PCS and current managing director of OpenAir Equity Partners, founded the company.

“The success of eRecyclingCorps among major carriers to date can be attributed to an executive team that knows the wireless and retail industries inside and out,” says Michael Linse, a partner with Kleiner Perkins Caufield & Byers. “ERC’s leadership team and the track record of their business has made them the clear leader in this fast-growing industry.”
 

 

>ELECTRONICS

GES Receives e-Stewards Certification
Global Environmental Services (GES), Georgetown, Ky., has announced that its facility has been certified to the e-Stewards Standard for Responsible Recycling and Reuse of Electronic Equipment, which was developed by the Basel Action Network (BAN), Seattle.

According to GES, preparation for the certification took several months and the efforts involved a third-party audit of all the company’s downstream participants and vendors. Orion Registrar Inc., an independent and accredited certifying body, completed the final audit of the facility.

“We are exceptionally proud to have the official e-Stewards certification on our credentials,” Kenny Gravitt, GES CEO, says. “We’d like to see more regulation in the electronics recycling industry and voluntarily taking on the initiative to prove our own transparency is just one of the many steps we can take to promote a positive change.”

GES also has achieved R2 (Responsible Recycling Practices) certification.
 

 

> METALS

Rio Tinto Alcan to Close Potlines at Quebec Smelter
Rio Tinto Alcan, a London-based global metals firm, is idling 288 of its 432 reduction cells at its Alma smelter in Saguenay-Lac-Saint-Jean, Quebec. At full capacity the aluminum smelter can produce 438,000 metric tons of aluminum per year, according to the company. Rio Tinto origianlly announced it would shut down 144 cells Jan.1, but the company expanded the shutdown to include an additional 144 cells the following day.

During the shutdown, Rio Tinto Alcan says it will keep one-third of its production going while a labor disruption at the facility continues. Reports state 755 union employees have been locked out of the plant.

According to a company statement, Rio Tinto Alcan locked out employees after the aluminum workers’ union rejected the company’s final proposal for an agreement. Rio Tinto Alcan had been bargaining with the union since Oct. 4, 2011.
 

 

> METALS

Proler International Signs Deal to Acquire Walco Recycling
Proler Steel International, Houston, has signed a letter of intent to purchase the assets of Walco Recycling LLC, Houston. According to Proler Steel President Chris Proler, the acquisition is part of a growth strategy to increase the company’s retail business.

Proler, whose family has generations of experience in the scrap metal business, left Sims Metal Management in 2008 to form Proler Steel International. Initially the company was focused on brokerage, though Proler says he wanted to strengthen the company by adding processing capabilities. This will be achieved with the purchase of Walco Recycling, he says.

Walco specializes in dismantling rail cars and in ferrous processing. Following the acquisition, Proler says he will work to grow the company’s nonferrous business. One way to do that, he says, is by aggressively targeting the retail business.