An apparatus and method are provided, for alternatively producing either small or bulk packs of napkins from a stack of folded napkins produced by one folding machine, through use of a pack dispatching arrangement having an inlet, a small pack transfer station and a bulk pack transfer station, and configured for operation in a small pack mode for dispatching a stream of spaced apart small packs of folded sheets separated from the stack of folded sheets, and received at an inlet of the pack dispatching arrangement, to the small pack transfer station, and alternatively operable in a bulk pack mode for dispatching a stream of spaced apart bulk packs of folded sheets separated from the stack of folded sheets, and received at an inlet of the pack dispatching arrangement, to the bulk pack transfer station.
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