Sonoco Alcore will operate core production in Russia.

Sonoco Alcore S.a.r.l., ( a business of Sonoco, and Mondi have signed a multi-year agreement in which Sonoco Alcore will manage all on-site core production operations at the Mondi Syktyvkar paper mill in Russia.

Effective Dec. 1, 2012, Sonoco Alcore will take over the production and management of cores at the Syktyvkar mill. Under the agreement, Sonoco will purchase Mondi's existing core equipment and then replace it with newer state of the art technology equipment. The new equipment will include one winder, one in-line cutting machine and two off-line core cutters, as well as core drying chambers. In addition, Sonoco will manage 28 employees responsible for core production on site. 

Mario Freissl, head of Supply Chain and Procurement and member of the Board, says, "With this agreement Mondi will receive more stabilized and reliable core quality, and gain access to Sonoco Alcore's operational and technological leadership."

"This agreement significantly benefits both parties," says Adam Wood, vice president, Industrial Converting Europe. "It allows Sonoco to expand its manufacturing footprint in a high-growth market, with the potential to serve additional customers from this location. It also demonstrates our ability to convert self-manufacturers, and aligns with our growth strategy in the Russian core market."