A package assembly machine and method for continuously placing articles in open hollow containers to form packages. A transport unit mounted on an endless conveyor moves an article from a pick up station to a package assembly station where the article is placed in an inverted hollow container to form the package. The package is moved by the transport unit along the endless conveyor and turned upside down. As the package is turned, a hook-shaped circumferential lip on the container engages the lip of a support plate of the transport unit and supports the package. The right side up package is carried to a takeaway station and placed on a discharge conveyor for movement to a sealing machine.