Abstract: An automatic handle attaching system and method for precisely securing a plastic handle on an edge of a preformed plastic bag is described. The system comprises a delivery conveyor for conveying spaced-apart groups of flat plastic bags with each group having two or more bags disposed one on top of the other and offset along a leading straight edge thereof which is oriented approximately transverse to a conveying direction of a conveyor. Two or more automated bag handling mechanisms are disposed spaced-apart adjacent the conveyor at respective bag transfer stations. Each of the bag handling mechanisms are independently operated and have an orientable bag engaging hand secured to an articulated arm.