Gruner + Jahr Extends its U.S. Printing Capacity by Investing $38 Million in its Brown Printing Subsidiary
HAMBURG, GERMANY—July 13, 2007—Gruner + Jahr’s American offset printing subsidiary, the Brown Printing Company (BPC) is celebrating its 50th anniversary on July 13 in Waseca, Minnesota. In the lead-up to the anniversary, the G+J executive board has approved a $38 million investment in expanding the BPC plant in Woodstock, IL, to increase BPC’s capacity. The money will be used among other things to buy a two-web 64-page offset press, an adhesive binder, a gang-stitcher and a new building annex. The new production facilities are scheduled to take up operation in summer 2008.
G+J had invested $55 million in expanding the printing capacity in Waseca as recently as 2005.
Dr. Bernd Kundrun, CEO Gruner + Jahr: “Our Woodstock investment strengthens the competitiveness of our successful Brown Printing subsidiary. BPC has delivered an excellent operating performance for years, generating solid profits in the process. The printing business continues to play an important role in the Gruner + Jahr portfolio, both in the U.S. and in Europe, with our stake in PRINOVIS.”
In 2006, BPC generated $400 million in revenues with its 2,600 employees at plants in Waseca (Minnesota), Woodstock (Illinois) and East Greenville (Pennsylvania). BPC is currently the fourth-largest magazine and catalog printer in the U.S. market; its client list includes Time Inc., Meridith, Bauer and Ikea.
About Gruner + Jahr
The Gruner + Jahr printing and publishing company is Europe’s biggest magazine publisher. Its more than 14,500 employees in 24 countries on three continents publish more than 300 magazines and newspapers, as well as the accompanying online sites. G+J publications include STERN (D), BRIGITTE (D), GEO (D, F, RU), CAPITAL (D, E, F), GALA (D, F, PL, RU), ELTERN (CHN, D, E, PL), titles in the P.M. group (D), FINANCIAL TIMES DEUTSCHLAND (D), ESSEN & TRINKEN (D), and NATIONAL GEOGRAPHIC (D, F, PL, NL). Gruner + Jahr owns 54.9 percent of Motor Presse Stuttgart, one of the biggest special-interest magazine publishers in Europe. G+J also owns a 37.45 percent stake in PRINOVIS Ltd. & Co. KG, Europe’s biggest gravure group. Brown Printing, a G+J subsidiary, is one of the biggest offset printers in the U.S. G+J’s revenues in 2006 were € 2.86 billion. International revenues account for 53.9 percent, making G+J one of the world’s most international publishing companies. Bertelsmann AG owns 74.9 percent of the company; the Jahr publishing family, Hamburg, owns 25.1 Percent.