Landscaping





ART HISTORY

In 1991, a small tire recycling firm called Granutech, Inc. opened its doors in Jacksonville, FL. Its main focus was the collection of scrap tires from surrounding counties such as Duval, Clay and Bradford, as well as local tire dealers. The Company "chopped" the scrap tires into 2" chips and then sold the chips for fuel to Georgia-Pacific. Note: Tire Derived Fuel (TDF) represents the largest market for scrap tires in the US. It is an excellent supplement to coal in cement kilns and power producing plants.

In 1992, AC Thomas, a visionary who founded two previous emerging industry companies, was looking for an investment and met Matthew Rund, a retired Colonel in the Army. Matt Rund and Timothy Huggins were the main investors in Granutech and they were looking for new investors and a Chairman for their Board of Directors.




 
Through research, AC Thomas found that the State of Florida had begun the final test phase of the use of recycled rubber as a modifier in liquid asphalt. The State found through research with the University of Florida and the Florida Department of Transportation (FDOT) that when you combine "Fine Grind" rubber (-20 to -40 mesh) with liquid asphalt you could extend road pavement life by over 25%. They also found that Rubber Modified Asphalt or RMA significantly widens the temperature span of asphalt pavements when compared to conventional asphalt binders. Other advantages include reduced traffic noise, resistance to rutting and most importantly... increased service life, which means lower life cycle costs. With these findings the FDOT decided to specify the use of RMA in all federally funded highways.

With this knowledge and the emergence of "specified" market, AC Thomas invested in Granutech. He also brought in a number of investors and became Chairman of the Board. Together, they decided to change the focus of the company from "chipping tires" to the production of "crumb rubber". With the change in production also came a new name "American Tire Recyclers, Inc." (ATR).

In 1993, ATR moved from their 15,000-sq. ft. facility to its current location on Lane Avenue with over 62,000 sq. ft. With close to a $2 MM investment they began the new production facility, which would collect tires from area tire dealers and local counties with a tip fee charged, based on size and quantity. The tires were then shredded/reduced into chips, then through a series of grinders the chips were processed into crumb rubber with the steel and fiber removed. The remaining crumb was processed into various smaller mesh sizes through ambient attrition mills processing.

In the beginning they found that the equipment produced a variety of sizes during the granulating process, not just the fine mesh needed for the asphalt market. Therefore they hired Tiffany Hughes as Vice President of Marketing to find markets for the other sizes (3/4", 1/4" and -6 mesh).

The Company first captured national attention for value-added recycled rubber products with RubberStuff® (first called SportsTurfTM), a trademarked playground safety surface. Developed to be used under all types of play equipment as a safe landing pad for children. Working with the State of Illinois (who was also looking for new markets for recycled scrap tires), ATR did outside testing through the United States Testing Company for shock absorption, oral ingestion, toxicity and flammability. RubberStuff® (1/4") exceeded all standards posed by the Consumer Product Safety Commission (CPSC). In fact, it exceeds CPSC guidelines for safety and resiliency.

This loose-fill material creates a surface air cushion that will actually absorb impact and rebound quickly. Maintenance is also easy. It can be leveled with a common yard rake, and washed by simply hosing it off. It drains so well that even after a hard rain it is usually ready for play in less than 30 minutes! Note: CPSC recommends a 6" Depth for fall heights above 5 feet (13.5 lbs. per sq. ft.)

RubberStuff® Playground Surfacing is sold to parks, schools, city municipalities, as well as retail. It HISTORICALLY comprised 65% of the product mix. This market can continue to grow through national distribution channels, factory representation and Florida's Waste Tire Grant Funds.

The Waste Tire Grant Funds were developed in 1992 by the Florida State Legislature who was looking for a way to rid the state of scrap tires. To understand the magnitude of the scrap tire and rubber problem and the potential market, according to the EPA, Americans discard over 270 million scrap tires per year (that is one for every man, woman and child in the country); with another 300 million accumulated in stockpiles across the country.

Consequently scrap disposal has become a major concern for government, businesses, and individuals. The primary stimulate for this has been stricter environmental laws, higher disposal tip fees, public awareness and the desire to recycle, as well as the opportunity interest of private entrepreneurs.

Florida decided to enact a $1.00 per tire "Disposal Fee" for every new tire purchased. The monies were managed by the Florida Department of Environmental Protection (FDEP) who was working with state tire recyclers to clean up the massive tire piles, however, the Waste Tire Grants generated more funds than were being awarded for clean up. By 1995, the State had over $30 MM in excess "Waste Tire Grant Funds".

ATR then lobbied the State Legislature to free up the excess grant funds. After much negotiation between the FDEP, ATR and the legislature a ruling was enacted to distribute 50% of each $1.00 collected to the 67 counties in Florida based on their per capita. In the beginning years of the Grant the FDEP had over $13.5 mm to distribute to those counties who applied for "Waste Tire Grant" funds.

Those funds could be used to clean up tire piles, enforcement, salaries for the Recycling Department or for the purchase of "products made from recycled FLORIDA tires"; (example: Duval County had 1MM residents and was awarded $500,000 for Waste Tire Grants. The "Recycling Coordinator" generally awarded and distributed these funds. Please note the Waste Tire Grant was eliminated in 2002 by the Legislature and through combined lobbying efforts is to return in 2004 with approximately $3.5 MM in Grants to "Large Counties".

With the additional funds available to cities, counties and municipalities, ATR began to work closely with the Parks & Recreation Departments and found the need for both the RubberStuff® playground surfacing and a new product called REBOUND® Soil Amendment.

Developed and Patented by Robert Malmgren of International Soil Systems (ISSI) and then tested by Colorado State University and Michigan State University, REBOUND® provided a high volume market for ¾" crumb rubber. At the time a Colorado tire-recycling firm, Jaitire, owned the rights to market and distribute REBOUND®. ATR became one of their dealers and sold the first large project to Duval County at Metropolitan Park.

After three years of outside testing ATR acquired the patent from Jaitire. Then in conjunction with major universities and agronomic laboratories such as Turf Diagnostics & Design, the Company found that, when incorporated into the soil, REBOUND® enhances native soil by increasing aeration, nutrition and by reducing compaction - TURF'S #1 PROBLEM.

However the most significant benefit of REBOUND® is that it will reduce the surface hardness of athletic fields by over 30%, thus limiting the potential for serious player injury and liability. In fact TDD stated the "addition of REBOUND clearly is a positive step in improving the safety of athletic fields by reducing the severity of player injury."

REBOUND® is generally a special blend of crumb rubber and organics rototilled into the ground to decrease soil density. The unique "memory characteristics" of rubber allow the particles to compress and return to their original shape when under pressure. The rubber's resiliency reduces compaction, permitting deeper, stronger root structures that produce more robust vigorous turf.

REBOUND® is like no other tool in the turf and sports turf maintenance industry. It allows you to control the hardness on the surface of athletic playing fields. It improves the quality of turf, minimizes the impact characteristics and enhances the root density. By adding REBOUND® it increases pore space in the soil. This insures proper water movement with easier accessibility of nutrients and fertilizers to the root system. REBOUND® can be used on all types of athletic fields, recreational facilities, and landscaping applications. Anywhere turf is subjected to constant use.

The market potential for new construction and renovation with REBOUND® is staggering. To date there are over 450,000 athletic fields across the county. This product alone represents a billion-dollar market.

In 1998, ATR hired Jennifer Campbell to assist with the development of another ¾"-1/4" crumb rubber market, PERMA-FLEX®. Designed to make training and competition safer and less stressful, PERMA-FLEX® was an emerging market with national potential. Made of fiber reinforced rubber, this loose fills material creates a unique shock absorbing surface to cushion every step for both horse and rider. It is the "Premium Footing" for both indoor and outdoor horse arenas and tracks. It reduces impact dust and glare and protects legs and ankles from injury.

During this tenure the Company also began to research a new technology called "Devulcanization". They teamed up with STI-K and Praxair to market "DeVulc" a reversal methodology that enables tire crumb or factory scrap to be revulcanized. Due to poor management and lack of marketing STI-K went out of business. ATR had invested hundreds of thousand of dollars in the cryogenic grinding equipment needed for the process and saw the potential of this market and hired Ying Tang to develop "ReVived® Rubber".

This patented and proven "ReVive" process is a technological advancement for the devulcanization industry. ReVived Rubber is a chemical surface treatment that can devulcanize any form of sulfur cured rubber to virgin-like material ready to enter the rubber manufacturing stream. ReVived Rubber is an excellent, active, ready-mix formulated to work in most compounds. Beyond post-consumer tire rubber (NR and SBR) scrap, the Company's technology can be used to recycle other types of more valuable post-industrial rubber scrap such as EPDM, Neoprene and Nitrile.

In sum, ReVived Rubber can be moderated to function inside almost any masterbatch specification, and when correctly blended/recycled into fresh compound, is a valuable as virgin compounds.

ATR was learning that commodity crumb offered thin margins and to become profitable the Company needed to change its focus towards the manufacturing and marketing of value-added products. They transitioned out of commodity crumb and decided to abandon the RMA market. In 1998 they changed their name to American Rubber Technologies, Inc.

Today, American Rubber Technologies, (ART) is known as an innovative marketer and a leader in the tire and rubber industry. And the innovation continues with the emergence of RubberStuff® Mulch, an environmentally safe solution to the constant hassle of replacing traditional wood mulch. Made from 100% recycled tires, RubberStuff® Mulch can save as much as 70 percent on mulching costs over a 10-year period. Available in a variety of designer colors, one application stays fresh and vibrant for years, dramatically reducing the cost of annual maintenance.

Designed for all types of landscaping uses, RubberStuff® Mulch will add beauty and value to your home or business. Made from 3/4" rubber chips it offers an excellent natural looking texture. With several colors to choose from, homeowners will delight in the options for their outdoor decorating. It is a "permanent" mulch that doesn't rot, dissolve into the ground or wash away from rain. It is also good for the environment (each cubic yard utilizes over 60 tires!), it is non-toxic, non-staining and 98% steel free.

A special coating was developed for RubberStuff® Mulch in order to offer a variety of designer colors such as Rustic Red, Pine Bark, Cypress Brown and even Clover Green for playgrounds! The colorant is designed to resist fading. And because it is made from recycled tires it will not break down or decompose, which helps eliminate weeds! Because it is heavier than wood mulches, it stays in place while allowing water and fertilizers to flow to the root zone. It also does not appeal to insects or termites as a habitat, which makes it perfect for use against a house's foundation.

ART is now in the right place at the right time. Now with the addition of our 2nd state-of-the-art facility in Sealy, TX and under new direction from CEO Gary Burnell, the Company is not only differentiating itself from its competitors, but is proving to be an experienced trailblazer that has survived the perilous learning curve of an emerging industry.

Today ART is a streamlined, reinvented Company who is technologically innovative; who understands and realizes that commodity crumb rubber is a low margin business. Whose philosophy has moved from being a commodity producer into the development and creation of value added rubber products including those designed for the retail marketplace.