a method and apparatus for forming a shrinkable sleeve of plastic material and applying it as a label to a glass or plastic container . the plastic is fed from a source , cut to successive lengths , wrapped about successive mandrels and sealed to form each sleeve . thereafter each sleeve is transferred from the mandrel onto an overlying container . the mandrels are circumferentially positioned on a turret , and a combined heat seal bar and tucker bar is associated with each mandrel to bond the overlapping ends of the severed length of plastic material to one another . a stripper transfers each sleeve that has been so formed from a position on the mandrel axially onto an overlying aligned container while the path of the container overlies the respective mandrel for a portion of its movement by the turret .