US demand for cups and lids will advance 4.3 percent annually through 2012. Drinking cups will remain the dominant cup type while packaging cups will grow the fastest. Growth in lids will outpace cups as more drinking cups use lids, especially higher-value specialty lids. Foodservice will remain the dominant market while food packaging will grow more rapidly.

This study analyzes the $6.3 billion US cup and lid industry. It presents historical demand data for the years 1997, 2002 and 2007, and forecasts for 2012 and 2017 by product (e.g., drinking cups, packaging cups, food cups, drinking cup lids, flexible lids), material and market.

The study also considers market environment factors, details industry structure, evaluates company market share and profiles 41 industry participants, including Solo Cup, Dart Container and Georgia-Pacific.

TABLE OF CONTENTS


SECTION                                                                      PAGE

               INTRODUCTION                                                    ix

          I.   EXECUTIVE SUMMARY                                                1

         II.   MARKET ENVIRONMENT                                               4
               General                                                          4
               Demographic & Household Trends                                   5
               Macroeconomic Outlook                                            8
               Consumer Income & Spending                                      13
               Retail Sales Trends                                             14
               Food Consumption Trends                                         17
               Packaging Overview                                              20
               Raw Material Trends                                             23
                   Plastic                                                     25
                   Paperboard                                                  29
                   Metal, Foil & Other                                         31
               Pricing Trends                                                  32
               Environmental & Regulatory Issues                               35
                   Recycling                                                   38
                   Biodegradable Materials                                     41
               International Activity & Foreign Trade                          43

        III.   PRODUCTS                                                        46
               General                                                         46
               Cups                                                            48
                   Drinking Cups                                               51
                     Paper Cups                                                55
                        Types & Applications                                   57
                        Insulated & Environmentally Friendly Paper Cups        58
                     Plastic Cups                                              60
                        Types & Applications                                   62
                        Producers                                              64
                     Foam Cups                                                 65
                   Packaging Cups                                              69
                     Materials                                                 72
                     Producers                                                 73
                   Food Cups                                                   74

                   Portion Cups                                                77
                   Other                                                       80
               Lids                                                            82
                   Types                                                       85
                     Drinking Cup Lids                                         85
                        Standard                                               88
                        Specialty                                              89
                     Flexible Lids                                             92
                     Other Lids                                                95
                   Materials                                                   97
                     Plastic Lids                                              98
                     Other Lids                                                99

         IV.   MARKETS                                                        101
               General                                                        101
               Foodservice                                                    104
                   Foodservice Industry Outlook                               104
                   Cup & Lid Demand                                           107
                     Establishments                                           110
                        Quick Service Restaurants                             110
                        Coffee & Snack Shops                                  112
                        Other Establishments                                  115
                     Applications                                             117
                        Hot Beverages                                         119
                        Soft Drinks                                           121
                        Other                                                 124
               Food Packaging                                                 126
                   Food & Beverage Manufacturing Outlook                      127
                   Cup & Lid Demand                                           129
                     Dairy Products                                           132
                        Yogurt                                                133
                        Coffee Creamers                                       137
                        Pudding                                               139
                        Other Dairy Products                                  140
                     Specialty Processed Food                                 143
                     Fruits & Vegetables                                      146

                     Dry Food                                                 149
                     Other                                                    151
                        Sauces & Dressings                                    153
                        Gelatin & Other Desserts                              154
                        Candy & Snacks                                        154
                        All Other                                             156
               Retail & Other                                                 157

          V.   INDUSTRY STRUCTURE                                             162
               General                                                        162
               Market Share                                                   167
                   Solo Cup                                                   169
                   Dart Container                                             171
                   Georgia-Pacific                                            171
                   Pactiv                                                     173
                   Berry Plastics                                             173
                   International Paper                                        174
               Acquisitions & Divestitures                                    175
               Competitive Strategies                                         179
                   Research & Development                                     181
                   Low Cost Manufacturing                                     184
               Manufacturing                                                  185
               Marketing & Distribution                                       187
               Cooperative Agreements                                         189
               Company Profiles                                               190
                   Airlite Plastics Company                                   191
                   Alcan Incorporated, see Rio Tinto plc                         
                   Alcoa Incorporated                                         192
                   American Plastics Company, see Appleton Papers                
                   Amscan Holdings Incorporated                               193
                   Appleton Papers Incorporated                               195
                   Bemis Company Incorporated                                 197
                   Berry Plastics Group Incorporated                          199
                   C&H Packaging Company, see Appleton Papers                    
                   Cascades Incorporated                                      202
                   Churchill Container Company, see Koller Enterprises

                   Clondalkin Group Holdings Limited                          203
                   Constantia Packaging AG                                    204
                   Covalence Specialty Materials Corporation, see Berry
                     Plastics Group Incorporated                                 
                   Crocker (HS) Company Incorporated                          206
                   Curwood Incorporated, see Bemis Company                       
                   Dart Container Corporation                                 207
                   Dopaco Incorporated, see Cascades Incorporated                
                   DuPont (EI) de Nemours                                     209
                   Fabri-Kal Corporation                                      211
                   Genpak LLC, see Pattison (Jim) Group                          
                   Georgia-Pacific Corporation, see Koch Industries              
                   Heinz (HJ) Company LP                                      214
                   Hoffmaster Group Incorporated                              215
                   Huhtamaki Oyj                                              216
                   International Paper Company                                218
                   Jet Plastica Industries Incorporated                       219
                   Koch Industries Incorporated                               220
                   Koller Enterprises Incorporated                            223
                   Letica Corporation                                         224
                   Master Containers Incorporated, see Spirit
                     Foodservice Products                                        
                   New England Extrusions, see Appleton Papers                   
                   Norse Dairy Systems, see Weston (George) Limited              
                   Pactiv Corporation                                         225
                   Pattison (Jim) Group                                       228
                   Plastipak Industries Incorporated                          230
                   Polytainers Limited                                        231
                   Portion Pac Incorporated, see Heinz (HJ) Company              
                   Printpack Incorporated                                     232
                   Reynolds Packaging Group                                   233
                   Rexam plc                                                  235
                   Rio Tinto plc                                              236
                   Sealed Air Corporation                                     238
                   Silgan Holdings Incorporated                               239
                   Solo Cup Company                                           241

                   Sonoco Products Company                                    246
                   Spartech Corporation                                       248
                   Spiralkote Flexible Packaging, see Clondalkin
                     Group Holdings Limited                                      
                   Spirit Foodservice Products                                250
                   Toray Industries Incorporated                              251
                   Waddington North America Incorporated                      253
                   Weston (George) Limited                                    255
                   Whirley-Drinkworks!                                        256
                   Wihuri Oy                                                  258
                   WinCup Incorporated                                        261
                   Winpak Limited, see Wihuri Oy                                 
               Additional Companies in the Cup & Lid Industry                 264
                                LIST OF TABLES
                                        
TABLE NUMBER                                                                 PAGE

               SECTION I -- EXECUTIVE SUMMARY
               Summary Table                                                    3

               SECTION II -- MARKET ENVIRONMENT
           1   Population & Households                                          7
           2   Macroeconomic Indicators                                        12
           3   Personal Consumption Expenditures                               14
           4   Retail Sales                                                    16
           5   Consumer Food & Beverage Indicators                             19
           6   Packaging Supply & Demand                                       23
           7   Raw Material Demand in Cups & Lids                              24
           8   Cup & Lid Pricing                                               35

               SECTION III -- PRODUCTS
           1   Cup & Lid Demand by Type                                        48
           2   Cup Demand by Type, Material & Market                           50
           3   Drinking Cup Demand by Type & Market                            53
           4   Paper Drinking Cup Demand                                       57
           5   Plastic Drinking Cup Demand                                     62
           6   Foam Drinking Cup Demand                                        69
           7   Packaging Cup Demand                                            72
           8   Food Cup Demand                                                 77
           9   Portion Cup Demand                                              80
          10   Other Disposable Cup Demand                                     81
          11   Lid Demand by Type & Market                                     84
          12   Drinking Cup Lid Demand                                         88
          13   Flexible Lid Demand                                             95
          14   Other Lid Demand                                                97
          15   Lid Demand by Material                                          98

               SECTION IV -- MARKETS
           1   Cup & Lid Markets                                              103
           2   Foodservice Revenues & Establishments                          107
           3   Foodservice Markets for Cups & Lids                            109
           4   Quick Service Restaurant Market for Cups & Lids                112
           5   Coffee & Snack Shop Market for Cups & Lids                     114
           6   Other Foodservice Market for Cups & Lids                       117
           7   Foodservice Applications for Cups & Lids                       118

           8   Hot Beverage Cup & Lid Market                                  121
           9   Carbonated Soft Drink Cup & Lid Demand                         124
          10   Other Foodservice Cup & Lid Applications                       126
          11   Food & Beverage Shipments                                      129
          12   Food Packaging Market for Cups & Lids                          131
          13   Dairy Product Cup & Lid Demand                                 133
          14   Yogurt Cup & Lid Demand                                        137
          15   Coffee Creamer Cup & Lid Demand                                139
          16   Pudding Cup & Lid Demand                                       140
          17   Other Dairy Product Cup & Lid Demand                           143
          18   Specialty Processed Food Cup & Lid Demand                      146
          19   Fruit & Vegetable Cup & Lid Demand                             149
          20   Dry Food Cup & Lid Demand                                      151
          21   Other Food & Beverage Markets for Cups & Lids                  153
          22   Retail & Other Markets for Cups & Lids                         161

               SECTION V -- INDUSTRY STRUCTURE
           1   US Cup & Lid Sales by Company, 2007                            164
           2   Selected Acquisitions & Divestitures                           178

                                LIST OF CHARTS
                                        
CHART NUMBER                                                                 PAGE

               SECTION II -- MARKET ENVIRONMENT
           1   Raw Material Demand in Cups & Lids, 2007                        25
           2   Plastic Demand in Cups & Lids, 2007                             29

               SECTION III -- PRODUCTS
           1   Cup Demand by Type, 2007                                        51
           2   Drinking Cup Demand by Material, 2007: by Value
                   & by Unit                                                   54
           3   Lid Demand by Type, 2007                                        85

               SECTION IV -- MARKETS
           1   Cup & Lid Markets, 2007                                        103
           2   Foodservice Markets for Cups & Lids, 2007                      109
           3   Foodservice Applications for Cups & Lids, 2007                 119
           4   Food Packaging Cups & Lids by Application, 2007                132

               SECTION V -- INDUSTRY STRUCTURE
           1   US Cup & Lid Market Share, 2007                                169